Food, Conservation, and Energy Act of 2008
PL 110-234 (H.R.2419), enacted 05/22/2008

122 STAT. 923 
PUBLIC LAW 110–234—MAY 22, 2008 
Public Law 110–234 
110th Congress 
An Act 
To provide for the continuation of agricultural programs through fiscal year 2012, 
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; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the ‘‘Food, Con-
servation, and Energy Act of 2008’’. 
(b) TABLE OF CONTENTS.—The table of contents of this Act 
is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Definition of Secretary. 
TITLE I—COMMODITY PROGRAMS 
Sec. 1001. Definitions. 
Subtitle A—Direct Payments and Counter-Cyclical Payments 
Sec. 1102. Payment yields. 
Sec. 1103. Availability of direct payments. 
Sec. 1104. Availability of counter-cyclical payments. 
Sec. 1105. Average crop revenue election program. 
Sec. 1106. Producer agreement required as condition of provision of payments. 
Sec. 1107. Planting flexibility. 
Sec. 1108. Special rule for long grain and medium grain rice. 
Sec. 1109. Period of effectiveness. 
Subtitle B—Marketing Assistance Loans and Loan Deficiency Payments 
Sec. 1201. Availability of nonrecourse marketing assistance loans for loan commod-
ities. 
Sec. 1202. Loan rates for nonrecourse marketing assistance loans. 
Sec. 1203. Term of loans. 
Sec. 1204. Repayment of loans. 
Sec. 1205. Loan deficiency payments. 
Sec. 1206. Payments in lieu of loan deficiency payments for grazed acreage. 
Sec. 1207. Special marketing loan provisions for upland cotton. 
Sec. 1208. Special competitive provisions for extra long staple cotton. 
Sec. 1209. Availability of recourse loans for high moisture feed grains and seed cot-
ton. 
Sec. 1210. Adjustments of loans. 
Subtitle C—Peanuts 
Sec. 1301. Definitions. 
Sec. 1302. Base acres for peanuts for a farm. 
Sec. 1303. Availability of direct payments for peanuts. 
Sec. 1304. Availability of counter-cyclical payments for peanuts. 
Sec. 1305. Producer agreement required as condition on provision of payments. 
Sec. 1306. Planting flexibility. 
Sec. 1307. Marketing assistance loans and loan deficiency payments for peanuts. 
Sec. 1308. Adjustments of loans. 
Subtitle D—Sugar 
Sec. 1401. Sugar program. 
7 USC 8701 note. 
Food, 
Conservation, 
and Energy Act 
of 2008. 
May 22, 2008 
[H.R. 2419] 
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122 STAT. 924 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 1402. United States membership in the International Sugar Organization. 
Sec. 1403. Flexible marketing allotments for sugar. 
Sec. 1404. Storage facility loans. 
Sec. 1405. Commodity Credit Corporation storage payments. 
Subtitle E—Dairy 
Sec. 1501. Dairy product price support program. 
Sec. 1502. Dairy forward pricing program. 
Sec. 1503. Dairy export incentive program. 
Sec. 1504. Revision of Federal marketing order amendment procedures. 
Sec. 1505. Dairy indemnity program. 
Sec. 1506. Milk income loss contract program. 
Sec. 1507. Dairy promotion and research program. 
Sec. 1508. Report on Department of Agriculture reporting procedures for nonfat dry 
milk. 
Sec. 1509. Federal Milk Marketing Order Review Commission. 
Sec. 1510. Mandatory reporting of dairy commodities. 
Subtitle F—Administration 
Sec. 1601. Administration generally. 
Sec. 1602. Suspension of permanent price support authority. 
Sec. 1603. Payment limitations. 
Sec. 1604. Adjusted gross income limitation. 
Sec. 1605. Availability of quality incentive payments for covered oilseed producers. 
Sec. 1606. Personal liability of producers for deficiencies. 
Sec. 1607. Extension of existing administrative authority regarding loans. 
Sec. 1608. Assignment of payments. 
Sec. 1609. Tracking of benefits. 
Sec. 1610. Government publication of cotton price forecasts. 
Sec. 1611. Prevention of deceased individuals receiving payments under farm com-
modity programs. 
Sec. 1612. Hard white wheat development program. 
Sec. 1613. Durum wheat quality program. 
Sec. 1614. Storage facility loans. 
Sec. 1615. State, county, and area committees. 
Sec. 1616. Prohibition on charging certain fees. 
Sec. 1617. Signature authority. 
Sec. 1618. Modernization of Farm Service Agency. 
Sec. 1619. Information gathering. 
Sec. 1620. Leasing of office space. 
Sec. 1621. Geographically disadvantaged farmers and ranchers. 
Sec. 1622. Implementation. 
Sec. 1623. Repeals. 
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. 
Sec. 2002. Review of good faith determinations related to highly erodible land con-
servation. 
Sec. 2003. Review of good faith determinations related to wetland conservation. 
Subtitle B—Conservation Reserve Program 
Sec. 2101. Extension of conservation reserve program. 
Sec. 2102. Land eligible for enrollment in conservation reserve. 
Sec. 2103. Maximum enrollment of acreage in conservation reserve. 
Sec. 2104. Designation of conservation priority areas. 
Sec. 2105. Treatment of multi-year grasses and legumes. 
Sec. 2106. Revised pilot program for enrollment of wetland and buffer acreage in 
conservation reserve. 
Sec. 2107. Additional duty of participants under conservation reserve contracts. 
Sec. 2108. Managed haying, grazing, or other commercial use of forage on enrolled 
land and installation of wind turbines. 
Sec. 2109. Cost sharing payments relating to trees, windbreaks, shelterbelts, and 
wildlife corridors. 
Sec. 2110. Evaluation and acceptance of contract offers, annual rental payments, 
and payment limitations. 
Sec. 2111. Conservation reserve program transition incentives for beginning farm-
ers or ranchers and socially disadvantaged farmers or ranchers. 
Subtitle C—Wetlands Reserve Program 
Sec. 2201. Establishment and purpose of wetlands reserve program. 
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122 STAT. 925 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 2202. Maximum enrollment and enrollment methods. 
Sec. 2203. Duration of wetlands reserve program and lands eligible for enrollment. 
Sec. 2204. Terms of wetlands reserve program easements. 
Sec. 2205. Compensation for easements under wetlands reserve program. 
Sec. 2206. Wetlands reserve enhancement program and reserved rights pilot pro-
gram. 
Sec. 2207. Duties of Secretary of Agriculture under wetlands reserve program. 
Sec. 2208. Payment limitations under wetlands reserve contracts and agreements. 
Sec. 2209. Repeal of payment limitations exception for State agreements for wet-
lands reserve enhancement. 
Sec. 2210. Report on implications of long-term nature of conservation easements. 
Subtitle D—Conservation Stewardship Program 
Sec. 2301. Conservation stewardship program. 
Subtitle E—Farmland Protection and Grassland Reserve 
Sec. 2401. Farmland protection program. 
Sec. 2402. Farm viability program. 
Sec. 2403. Grassland reserve program. 
Subtitle F—Environmental Quality Incentives Program 
Sec. 2501. Purposes of environmental quality incentives program. 
Sec. 2502. Definitions. 
Sec. 2503. Establishment and administration of environmental quality incentives 
program. 
Sec. 2504. Evaluation of applications. 
Sec. 2505. Duties of producers under environmental quality incentives program. 
Sec. 2506. Environmental quality incentives program plan. 
Sec. 2507. Duties of the Secretary. 
Sec. 2508. Limitation on environmental quality incentives program payments. 
Sec. 2509. Conservation innovation grants and payments. 
Sec. 2510. Agricultural water enhancement program. 
Subtitle G—Other Conservation Programs of the Food Security Act of 1985 
Sec. 2601. Conservation of private grazing land. 
Sec. 2602. Wildlife habitat incentive program. 
Sec. 2603. Grassroots source water protection program. 
Sec. 2604. Great Lakes Basin Program for soil erosion and sediment control. 
Sec. 2605. Chesapeake Bay watershed program. 
Sec. 2606. Voluntary public access and habitat incentive program. 
Subtitle H—Funding and Administration of Conservation Programs 
Sec. 2701. Funding of conservation programs under Food Security Act of 1985. 
Sec. 2702. Authority to accept contributions to support conservation programs. 
Sec. 2703. Regional equity and flexibility. 
Sec. 2704. Assistance to certain farmers and ranchers to improve their access to 
conservation programs. 
Sec. 2705. Report regarding enrollments and assistance under conservation pro-
grams. 
Sec. 2706. Delivery of conservation technical assistance. 
Sec. 2707. Cooperative conservation partnership initiative. 
Sec. 2708. Administrative requirements for conservation programs. 
Sec. 2709. Environmental services markets. 
Sec. 2710. Agriculture conservation experienced services program. 
Sec. 2711. Establishment of State technical committees and their responsibilities. 
Subtitle I—Conservation Programs Under Other Laws 
Sec. 2801. Agricultural management assistance program. 
Sec. 2802. Technical assistance under Soil Conservation and Domestic Allotment 
Act. 
Sec. 2803. Small watershed rehabilitation program. 
Sec. 2804. Amendments to Soil and Water Resources Conservation Act of 1977. 
Sec. 2805. Resource Conservation and Development Program. 
Sec. 2806. Use of funds in Basin Funds for salinity control activities upstream of 
Imperial Dam. 
Sec. 2807. Desert terminal lakes. 
Subtitle J—Miscellaneous Conservation Provisions 
Sec. 2901. High Plains water study. 
Sec. 2902. Naming of National Plant Materials Center at Beltsville, Maryland, in 
honor of Norman A. Berg. 
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122 STAT. 926 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 2903. Transition. 
Sec. 2904. Regulations. 
TITLE III—TRADE 
Subtitle A—Food for Peace Act 
Sec. 3001. Short title. 
Sec. 3002. United States policy. 
Sec. 3003. Food aid to developing countries. 
Sec. 3004. Trade and development assistance. 
Sec. 3005. Agreements regarding eligible countries and private entities. 
Sec. 3006. Use of local currency payments. 
Sec. 3007. General authority. 
Sec. 3008. Provision of agricultural commodities. 
Sec. 3009. Generation and use of currencies by private voluntary organizations and 
cooperatives. 
Sec. 3010. Levels of assistance. 
Sec. 3011. Food Aid Consultative Group. 
Sec. 3012. Administration. 
Sec. 3013. Assistance for stockpiling and rapid transportation, delivery, and dis-
tribution of shelf-stable prepackaged foods. 
Sec. 3014. General authorities and requirements. 
Sec. 3015. Definitions. 
Sec. 3016. Use of Commodity Credit Corporation. 
Sec. 3017. Administrative provisions. 
Sec. 3018. Consolidation and modification of annual reports regarding agricultural 
trade issues. 
Sec. 3019. Expiration of assistance. 
Sec. 3020. Authorization of appropriations. 
Sec. 3021. Minimum level of nonemergency food assistance. 
Sec. 3022. Coordination of foreign assistance programs. 
Sec. 3023. Micronutrient fortification programs. 
Sec. 3024. John Ogonowski and Doug Bereuter Farmer-to-Farmer Program. 
Subtitle B—Agricultural Trade Act of 1978 and Related Statutes 
Sec. 3101. Export credit guarantee program. 
Sec. 3102. Market access program. 
Sec. 3103. Export enhancement program. 
Sec. 3104. Foreign market development cooperator program. 
Sec. 3105. Food for Progress Act of 1985. 
Sec. 3106. McGovern-Dole International Food for Education and Child Nutrition 
Program. 
Subtitle C—Miscellaneous 
Sec. 3201. Bill Emerson Humanitarian Trust. 
Sec. 3202. Global Crop Diversity Trust. 
Sec. 3203. Technical assistance for specialty crops. 
Sec. 3204. Emerging markets and facility guarantee loan program. 
Sec. 3205. Consultative Group to Eliminate the Use of Child Labor and Forced 
Labor in Imported Agricultural Products. 
Sec. 3206. Local and regional food aid procurement projects. 
Subtitle D—Softwood Lumber 
Sec. 3301. Softwood lumber. 
TITLE IV—NUTRITION 
Subtitle A—Food Stamp Program 
PART I—RENAMING OF FOOD STAMP ACT AND PROGRAM 
Sec. 4001. Renaming of Food Stamp Act and program. 
Sec. 4002. Conforming amendments. 
PART II—BENEFIT IMPROVEMENTS 
Sec. 4101. Exclusion of certain military payments from income. 
Sec. 4102. Strengthening the food purchasing power of low-income Americans. 
Sec. 4103. Supporting working families with child care expenses. 
Sec. 4104. Asset indexation, education, and retirement accounts. 
Sec. 4105. Facilitating simplified reporting. 
Sec. 4106. Transitional benefits option. 
Sec. 4107. Increasing the minimum benefit. 
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122 STAT. 927 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 4108. Employment, training, and job retention. 
PART III—PROGRAM OPERATIONS 
Sec. 4111. Nutrition education. 
Sec. 4112. Technical clarification regarding eligibility. 
Sec. 4113. Clarification of split issuance. 
Sec. 4114. Accrual of benefits. 
Sec. 4115. Issuance and use of program benefits. 
Sec. 4116. Review of major changes in program design. 
Sec. 4117. Civil rights compliance. 
Sec. 4118. Codification of access rules. 
Sec. 4119. State option for telephonic signature. 
Sec. 4120. Privacy protections. 
Sec. 4121. Preservation of access and payment accuracy. 
Sec. 4122. Funding of employment and training programs. 
PART IV—PROGRAM INTEGRITY 
Sec. 4131. Eligibility disqualification. 
Sec. 4132. Civil penalties and disqualification of retail food stores and wholesale 
food concerns. 
Sec. 4133. Major systems failures. 
PART V—MISCELLANEOUS 
Sec. 4141. Pilot projects to evaluate health and nutrition promotion in the supple-
mental nutrition assistance program. 
Sec. 4142. Study on comparable access to supplemental nutrition assistance for 
Puerto Rico. 
Subtitle B—Food Distribution Programs 
PART I—EMERGENCY FOOD ASSISTANCE PROGRAM 
Sec. 4201. Emergency food assistance. 
Sec. 4202. Emergency food program infrastructure grants. 
PART II—FOOD DISTRIBUTION PROGRAM ON INDIAN RESERVATIONS 
Sec. 4211. Assessing the nutritional value of the FDPIR food package. 
PART III—COMMODITY SUPPLEMENTAL FOOD PROGRAM 
Sec. 4221. Commodity supplemental food program. 
PART IV—SENIOR FARMERS’ MARKET NUTRITION PROGRAM 
Sec. 4231. Seniors farmers’ market nutrition program. 
Subtitle C—Child Nutrition and Related Programs 
Sec. 4301. State performance on enrolling children receiving program benefits for 
free school meals. 
Sec. 4302. Purchases of locally produced foods. 
Sec. 4303. Healthy food education and program replicability. 
Sec. 4304. Fresh fruit and vegetable program. 
Sec. 4305. Whole grain products. 
Sec. 4306. Buy American requirements. 
Sec. 4307. Survey of foods purchased by school food authorities. 
Subtitle D—Miscellaneous 
Sec. 4401. Bill Emerson National Hunger Fellows and Mickey Leland International 
Hunger Fellows. 
Sec. 4402. Assistance for community food projects. 
Sec. 4403. Joint nutrition monitoring and related research activities. 
Sec. 4404. Section 32 funds for purchase of fruits, vegetables, and nuts to support 
domestic nutrition assistance programs. 
Sec. 4405. Hunger-free communities. 
Sec. 4406. Reauthorization of Federal food assistance programs. 
Sec. 4407. Effective and implementation dates. 
TITLE V—CREDIT 
Subtitle A—Farm Ownership Loans 
Sec. 5001. Direct loans. 
Sec. 5002. Conservation loan and loan guarantee program. 
Sec. 5003. Limitations on amount of farm ownership loans. 
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122 STAT. 928 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 5004. Down payment loan program. 
Sec. 5005. Beginning farmer or rancher and socially disadvantaged farmer or 
rancher contract land sales program. 
Subtitle B—Operating Loans 
Sec. 5101. Farming experience as eligibility requirement. 
Sec. 5102. Limitations on amount of operating loans. 
Sec. 5103. Suspension of limitation on period for which borrowers are eligible for 
guaranteed assistance. 
Subtitle C—Emergency Loans 
Sec. 5201. Eligibility of equine farmers and ranchers for emergency loans. 
Subtitle D—Administrative Provisions 
Sec. 5301. Beginning farmer and rancher individual development accounts pilot 
program. 
Sec. 5302. Inventory sales preferences; loan fund set-asides. 
Sec. 5303. Loan authorization levels. 
Sec. 5304. Transition to private commercial or other sources of credit. 
Sec. 5305. Extension of the right of first refusal to reacquire homestead property 
to immediate family members of borrower-owner. 
Sec. 5306. Rural development and farm loan program activities. 
Subtitle E—Farm Credit 
Sec. 5401. Farm Credit System Insurance Corporation. 
Sec. 5402. Technical correction. 
Sec. 5403. Bank for cooperatives voting stock. 
Sec. 5404. Premiums. 
Sec. 5405. Certification of premiums. 
Sec. 5406. Rural utility loans. 
Sec. 5407. Equalization of loan-making powers of certain district associations. 
Subtitle F—Miscellaneous 
Sec. 5501. Loans to purchasers of highly fractioned land. 
TITLE VI—RURAL DEVELOPMENT 
Subtitle A—Consolidated Farm and Rural Development Act 
Sec. 6001. Water, waste disposal, and wastewater facility grants. 
Sec. 6002. SEARCH grants. 
Sec. 6003. Rural business opportunity grants. 
Sec. 6004. Child day care facility grants, loans, and loan guarantees. 
Sec. 6005. Community facility grants to advance broadband. 
Sec. 6006. Rural water and wastewater circuit rider program. 
Sec. 6007. Tribal College and University essential community facilities. 
Sec. 6008. Emergency and imminent community water assistance grant program. 
Sec. 6009. Water systems for rural and native villages in Alaska. 
Sec. 6010. Grants to nonprofit organizations to finance the construction, refur-
bishing, and servicing of individually-owned household water well sys-
tems in rural areas for individuals with low or moderate incomes. 
Sec. 6011. Interest rates for water and waste disposal facilities loans. 
Sec. 6012. Cooperative equity security guarantee. 
Sec. 6013. Rural cooperative development grants. 
Sec. 6014. Grants to broadcasting systems. 
Sec. 6015. Locally or regionally produced agricultural food products. 
Sec. 6016. Appropriate technology transfer for rural areas. 
Sec. 6017. Rural economic area partnership zones. 
Sec. 6018. Definitions. 
Sec. 6019. National rural development partnership. 
Sec. 6020. Historic barn preservation. 
Sec. 6021. Grants for NOAA weather radio transmitters. 
Sec. 6022. Rural microentrepreneur assistance program. 
Sec. 6023. Grants for expansion of employment opportunities for individuals with 
disabilities in rural areas. 
Sec. 6024. Health care services. 
Sec. 6025. Delta Regional Authority. 
Sec. 6026. Northern Great Plains Regional Authority. 
Sec. 6027. Rural Business Investment Program. 
Sec. 6028. Rural Collaborative Investment Program. 
Sec. 6029. Funding of pending rural development loan and grant applications. 
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122 STAT. 929 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle B—Rural Electrification Act of 1936 
Sec. 6101. Energy efficiency programs. 
Sec. 6102. Reinstatement of Rural Utility Services direct lending. 
Sec. 6103. Deferment of payments to allows loans for improved energy efficiency 
and demand reduction and for energy efficiency and use audits. 
Sec. 6104. Rural electrification assistance. 
Sec. 6105. Substantially underserved trust areas. 
Sec. 6106. Guarantees for bonds and notes issued for electrification or telephone 
purposes. 
Sec. 6107. Expansion of 911 access. 
Sec. 6108. Electric loans for renewable energy. 
Sec. 6109. Bonding requirements. 
Sec. 6110. Access to broadband telecommunications services in rural areas. 
Sec. 6111. National Center for Rural Telecommunications Assessment. 
Sec. 6112. Comprehensive rural broadband strategy. 
Sec. 6113. Study on rural electric power generation. 
Subtitle C—Miscellaneous 
Sec. 6201. Distance learning and telemedicine. 
Sec. 6202. Value-added agricultural market development program grants. 
Sec. 6203. Agriculture innovation center demonstration program. 
Sec. 6204. Rural firefighters and emergency medical service assistance program. 
Sec. 6205. Insurance of loans for housing and related facilities for domestic farm 
labor. 
Sec. 6206. Study of rural transportation issues. 
Subtitle D—Housing Assistance Council 
Sec. 6301. Short title. 
Sec. 6302. Assistance to Housing Assistance Council. 
Sec. 6303. Audits and reports. 
Sec. 6304. Persons not lawfully present in the United States. 
Sec. 6305. Limitation on use of authorized amounts. 
TITLE VII—RESEARCH AND RELATED MATTERS 
Subtitle A—National Agricultural Research, Extension, and Teaching Policy Act of 
1977 
Sec. 7101. Definitions. 
Sec. 7102. National Agricultural Research, Extension, Education, and Economics 
Advisory Board. 
Sec. 7103. Specialty crop committee report. 
Sec. 7104. Renewable energy committee. 
Sec. 7105. Veterinary medicine loan repayment. 
Sec. 7106. Eligibility of University of the District of Columbia for grants and fellow-
ships for food and agricultural sciences education. 
Sec. 7107. Grants to 1890 schools to expand extension capacity. 
Sec. 7108. Expansion of food and agricultural sciences awards. 
Sec. 7109. Grants and fellowships for food and agricultural sciences education. 
Sec. 7110. Grants for research on production and marketing of alcohols and indus-
trial hydrocarbons from agricultural commodities and forest products. 
Sec. 7111. Policy research centers. 
Sec. 7112. Education grants to Alaska Native-serving institutions and Native Ha-
waiian-serving institutions. 
Sec. 7113. Emphasis of human nutrition initiative. 
Sec. 7114. Human nutrition intervention and health promotion research program. 
Sec. 7115. Pilot research program to combine medical and agricultural research. 
Sec. 7116. Nutrition education program. 
Sec. 7117. Continuing animal health and disease research programs. 
Sec. 7118. Cooperation among eligible institutions. 
Sec. 7119. Appropriations for research on national or regional problems. 
Sec. 7120. Animal health and disease research program. 
Sec. 7121. Authorization level for extension at 1890 land-grant colleges. 
Sec. 7122. Authorization level for agricultural research at 1890 land-grant colleges. 
Sec. 7123. Grants to upgrade agricultural and food sciences facilities at 1890 land- 
grant colleges, including Tuskegee University. 
Sec. 7124. Grants to upgrade agriculture and food sciences facilities at the District 
of Columbia land-grant university. 
Sec. 7125. Grants to upgrade agriculture and food sciences facilities and equipment 
at insular area land-grant institutions. 
Sec. 7126. National research and training virtual centers. 
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122 STAT. 930 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 7127. Matching funds requirement for research and extension activities of 
1890 institutions. 
Sec. 7128. Hispanic-serving institutions. 
Sec. 7129. Hispanic-serving agricultural colleges and universities. 
Sec. 7130. International agricultural research, extension, and education. 
Sec. 7131. Competitive grants for international agricultural science and education 
programs. 
Sec. 7132. Administration. 
Sec. 7133. Research equipment grants. 
Sec. 7134. University research. 
Sec. 7135. Extension Service. 
Sec. 7136. Supplemental and alternative crops. 
Sec. 7137. New Era Rural Technology Program. 
Sec. 7138. Capacity building grants for NLGCA Institutions. 
Sec. 7139. Borlaug international agricultural science and technology fellowship pro-
gram. 
Sec. 7140. Aquaculture assistance programs. 
Sec. 7141. Rangeland research grants. 
Sec. 7142. Special authorization for biosecurity planning and response. 
Sec. 7143. Resident instruction and distance education grants program for insular 
area institutions of higher education. 
Subtitle B—Food, Agriculture, Conservation, and Trade Act of 1990 
Sec. 7201. National genetics resources program. 
Sec. 7202. National Agricultural Weather Information System. 
Sec. 7203. Partnerships. 
Sec. 7204. High-priority research and extension areas. 
Sec. 7205. Nutrient management research and extension initiative. 
Sec. 7206. Organic Agriculture Research and Extension Initiative. 
Sec. 7207. Agricultural bioenergy feedstock and energy efficiency research and ex-
tension initiative. 
Sec. 7208. Farm business management and benchmarking. 
Sec. 7209. Agricultural telecommunications program. 
Sec. 7210. Assistive technology program for farmers with disabilities. 
Sec. 7211. Research on honey bee diseases. 
Sec. 7212. National Rural Information Center Clearinghouse. 
Subtitle C—Agricultural Research, Extension, and Education Reform Act of 1998 
Sec. 7301. Peer and merit review. 
Sec. 7302. Partnerships for high-value agricultural product quality research. 
Sec. 7303. Precision agriculture. 
Sec. 7304. Biobased products. 
Sec. 7305. Thomas Jefferson Initiative for Crop Diversification. 
Sec. 7306. Integrated research, education, and extension competitive grants pro-
gram. 
Sec. 7307. Fusarium graminearum grants. 
Sec. 7308. Bovine Johne’s disease control program. 
Sec. 7309. Grants for youth organizations. 
Sec. 7310. Agricultural biotechnology research and development for developing 
countries. 
Sec. 7311. Specialty crop research initiative. 
Sec. 7312. Food animal residue avoidance database program. 
Sec. 7313. Office of pest management policy. 
Subtitle D—Other Laws 
Sec. 7401. Critical Agricultural Materials Act. 
Sec. 7402. Equity in Educational Land-Grant Status Act of 1994. 
Sec. 7403. Smith-Lever Act. 
Sec. 7404. Hatch Act of 1887. 
Sec. 7405. Agricultural Experiment Station Research Facilities Act. 
Sec. 7406. Agriculture and food research initiative. 
Sec. 7407. Agricultural Risk Protection Act of 2000. 
Sec. 7408. Exchange or sale authority. 
Sec. 7409. Enhanced use lease authority pilot program. 
Sec. 7410. Beginning farmer and rancher development program. 
Sec. 7411. Public education regarding use of biotechnology in producing food for 
human consumption. 
Sec. 7412. McIntire-Stennis Cooperative Forestry Act. 
Sec. 7413. Renewable Resources Extension Act of 1978. 
Sec. 7414. National Aquaculture Act of 1980. 
Sec. 7415. Construction of Chinese Garden at the National Arboretum. 
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122 STAT. 931 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 7416. National Agricultural Research, Extension, and Teaching Policy Act 
Amendments of 1985. 
Sec. 7417. Eligibility of University of the District of Columbia for certain land- 
grant university assistance. 
Subtitle E—Miscellaneous 
PART I—GENERAL PROVISIONS 
Sec. 7501. Definitions. 
Sec. 7502. Grazinglands research laboratory. 
Sec. 7503. Fort Reno Science Park Research Facility. 
Sec. 7504. Roadmap. 
Sec. 7505. Review of plan of work requirements. 
Sec. 7506. Budget submission and funding. 
PART II—RESEARCH, EDUCATION, AND ECONOMICS 
Sec. 7511. Research, education, and economics. 
PART III—NEW GRANT AND RESEARCH PROGRAMS 
Sec. 7521. Research and education grants for the study of antibiotic-resistant bac-
teria. 
Sec. 7522. Farm and ranch stress assistance network. 
Sec. 7523. Seed distribution. 
Sec. 7524. Live virus foot and mouth disease research. 
Sec. 7525. Natural products research program. 
Sec. 7526. Sun grant program. 
Sec. 7527. Study and report on food deserts. 
Sec. 7528. Demonstration project authority for temporary positions. 
Sec. 7529. Agricultural and rural transportation research and education. 
TITLE VIII—FORESTRY 
Subtitle A—Amendments to Cooperative Forestry Assistance Act of 1978 
Sec. 8001. National priorities for private forest conservation. 
Sec. 8002. Long-term State-wide assessments and strategies for forest resources. 
Sec. 8003. Community forest and open space conservation program. 
Sec. 8004. Assistance to the Federated States of Micronesia, the Republic of the 
Marshall Islands, and the Republic of Palau. 
Sec. 8005. Changes to Forest Resource Coordinating Committee. 
Sec. 8006. Changes to State Forest Stewardship Coordinating Committees. 
Sec. 8007. Competition in programs under Cooperative Forestry Assistance Act of 
1978. 
Sec. 8008. Competitive allocation of funds for cooperative forest innovation partner-
ship projects. 
Subtitle B—Cultural and Heritage Cooperation Authority 
Sec. 8101. Purposes. 
Sec. 8102. Definitions. 
Sec. 8103. Reburial of human remains and cultural items. 
Sec. 8104. Temporary closure for traditional and cultural purposes. 
Sec. 8105. Forest products for traditional and cultural purposes. 
Sec. 8106. Prohibition on disclosure. 
Sec. 8107. Severability and savings provisions. 
Subtitle C—Amendments to Other Forestry-Related Laws 
Sec. 8201. Rural revitalization technologies. 
Sec. 8202. Office of International Forestry. 
Sec. 8203. Emergency forest restoration program. 
Sec. 8204. Prevention of illegal logging practices. 
Sec. 8205. Healthy forests reserve program. 
Subtitle D—Boundary Adjustments and Land Conveyance Provisions 
Sec. 8301. Green Mountain National Forest boundary adjustment. 
Sec. 8302. Land conveyances, Chihuahuan Desert Nature Park, New Mexico, and 
George Washington National Forest, Virginia. 
Sec. 8303. Sale and exchange of National Forest System land, Vermont. 
Subtitle E—Miscellaneous Provisions 
Sec. 8401. Qualifying timber contract options. 
Sec. 8402. Hispanic-serving institution agricultural land national resources leader-
ship program. 
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122 STAT. 932 
PUBLIC LAW 110–234—MAY 22, 2008 
TITLE IX—ENERGY 
Sec. 9001. Energy. 
Sec. 9002. Biofuels infrastructure study. 
Sec. 9003. Renewable fertilizer study. 
TITLE X—HORTICULTURE AND ORGANIC AGRICULTURE 
Sec. 10001. Definitions. 
Subtitle A—Horticulture Marketing and Information 
Sec. 10101. Independent evaluation of Department of Agriculture commodity pur-
chase process. 
Sec. 10102. Quality requirements for clementines. 
Sec. 10103. Inclusion of specialty crops in census of agriculture. 
Sec. 10104. Mushroom promotion, research, and consumer information. 
Sec. 10105. Food safety education initiatives. 
Sec. 10106. Farmers’ market promotion program. 
Sec. 10107. Specialty crops market news allocation. 
Sec. 10108. Expedited marketing order for Hass avocados for grades and standards 
and other purposes. 
Sec. 10109. Specialty crop block grants. 
Subtitle B—Pest and Disease Management 
Sec. 10201. Plant pest and disease management and disaster prevention. 
Sec. 10202. National Clean Plant Network. 
Sec. 10203. Plant protection. 
Sec. 10204. Regulations to improve management and oversight of certain regulated 
articles. 
Sec. 10205. Pest and Disease Revolving Loan Fund. 
Sec. 10206. Cooperative agreements relating to plant pest and disease prevention 
activities. 
Subtitle C—Organic Agriculture 
Sec. 10301. National organic certification cost-share program. 
Sec. 10302. Organic production and market data initiatives. 
Sec. 10303. National Organic Program. 
Subtitle D—Miscellaneous 
Sec. 10401. National Honey Board. 
Sec. 10402. Identification of honey. 
Sec. 10403. Grant program to improve movement of specialty crops. 
Sec. 10404. Market loss assistance for asparagus producers. 
TITLE XI—LIVESTOCK 
Sec. 11001. Livestock mandatory reporting. 
Sec. 11002. Country of origin labeling. 
Sec. 11003. Agricultural Fair Practices Act of 1967 definitions. 
Sec. 11004. Annual report. 
Sec. 11005. Production contracts. 
Sec. 11006. Regulations. 
Sec. 11007. Sense of Congress regarding pseudorabies eradication program. 
Sec. 11008. Sense of Congress regarding the cattle fever tick eradication program. 
Sec. 11009. National Sheep Industry Improvement Center. 
Sec. 11010. Trichinae certification program. 
Sec. 11011. Low pathogenic diseases. 
Sec. 11012. Animal protection. 
Sec. 11013. National Aquatic Animal Health Plan. 
Sec. 11014. Study on bioenergy operations. 
Sec. 11015. Interstate shipment of meat and poultry inspected by Federal and 
State agencies for certain small establishments. 
Sec. 11016. Inspection and grading. 
Sec. 11017. Food safety improvement. 
TITLE XII—CROP INSURANCE AND DISASTER ASSISTANCE PROGRAMS 
Subtitle A—Crop Insurance and Disaster Assistance 
Sec. 12001. Definition of organic crop. 
Sec. 12002. General powers. 
Sec. 12003. Reduction in loss ratio. 
Sec. 12004. Premiums adjustments. 
Sec. 12005. Controlled business insurance. 
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122 STAT. 933 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 12006. Administrative fee. 
Sec. 12007. Time for payment. 
Sec. 12008. Catastrophic coverage reimbursement rate. 
Sec. 12009. Grain sorghum price election. 
Sec. 12010. Premium reduction authority. 
Sec. 12011. Enterprise and whole farm units. 
Sec. 12012. Payment of portion of premium for area revenue plans. 
Sec. 12013. Denial of claims. 
Sec. 12014. Settlement of crop insurance claims on farm-stored production. 
Sec. 12015. Time for reimbursement. 
Sec. 12016. Reimbursement rate. 
Sec. 12017. Renegotiation of Standard Reinsurance Agreement. 
Sec. 12018. Change in due date for Corporation payments for underwriting gains. 
Sec. 12019. Malting barley. 
Sec. 12020. Crop production on native sod. 
Sec. 12021. Information management. 
Sec. 12022. Research and development. 
Sec. 12023. Contracts for additional policies and studies. 
Sec. 12024. Funding from insurance fund. 
Sec. 12025. Pilot programs. 
Sec. 12026. Risk management education for beginning farmers or ranchers. 
Sec. 12027. Coverage for aquaculture under noninsured crop assistance program. 
Sec. 12028. Increase in service fees for noninsured crop assistance program. 
Sec. 12029. Determination of certain sweet potato production. 
Sec. 12030. Declining yield report. 
Sec. 12031. Definition of basic unit. 
Sec. 12032. Crop insurance mediation. 
Sec. 12033. Supplemental agricultural disaster assistance. 
Sec. 12034. Fisheries disaster assistance. 
Subtitle B—Small Business Disaster Loan Program 
Sec. 12051. Short title. 
Sec. 12052. Definitions. 
PART I—DISASTER PLANNING AND RESPONSE 
Sec. 12061. Economic injury disaster loans to nonprofits. 
Sec. 12062. Coordination of disaster assistance programs with FEMA. 
Sec. 12063. Public awareness of disaster declaration and application periods. 
Sec. 12064. Consistency between administration regulations and standard oper-
ating procedures. 
Sec. 12065. Increasing collateral requirements. 
Sec. 12066. Processing disaster loans. 
Sec. 12067. Information tracking and follow-up system. 
Sec. 12068. Increased deferment period. 
Sec. 12069. Disaster processing redundancy. 
Sec. 12070. Net earnings clauses prohibited. 
Sec. 12071. Economic injury disaster loans in cases of ice storms and blizzards. 
Sec. 12072. Development and implementation of major disaster response plan. 
Sec. 12073. Disaster planning responsibilities. 
Sec. 12074. Assignment of employees of the office of disaster assistance and dis-
aster cadre. 
Sec. 12075. Comprehensive disaster response plan. 
Sec. 12076. Plans to secure sufficient office space. 
Sec. 12077. Applicants that have become a major source of employment due to 
changed economic circumstances. 
Sec. 12078. Disaster loan amounts. 
Sec. 12079. Small business bonding threshold. 
PART II—DISASTER LENDING 
Sec. 12081. Eligibility for additional disaster assistance. 
Sec. 12082. Additional economic injury disaster loan assistance. 
Sec. 12083. Private disaster loans. 
Sec. 12084. Immediate Disaster Assistance program. 
Sec. 12085. Expedited disaster assistance loan program. 
Sec. 12086. Gulf Coast Disaster Loan Refinancing Program. 
PART III—MISCELLANEOUS 
Sec. 12091. Reports on disaster assistance. 
TITLE XIII—COMMODITY FUTURES 
Sec. 13001. Short title. 
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122 STAT. 934 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle A—General Provisions 
Sec. 13101. Commission authority over agreements, contracts or transactions in 
foreign currency. 
Sec. 13102. Anti-fraud authority over principal-to-principal transactions. 
Sec. 13103. Criminal and civil penalties. 
Sec. 13104. Authorization of appropriations. 
Sec. 13105. Technical and conforming amendments. 
Sec. 13106. Portfolio margining and security index issues. 
Subtitle B—Significant Price Discovery Contracts on Exempt Commercial Markets 
Sec. 13201. Significant price discovery contracts. 
Sec. 13202. Large trader reporting. 
Sec. 13203. Conforming amendments. 
Sec. 13204. Effective date. 
TITLE XIV—MISCELLANEOUS 
Subtitle A—Socially Disadvantaged Producers and Limited Resource Producers 
Sec. 14001. Improved program delivery by Department of Agriculture on Indian 
reservations. 
Sec. 14002. Foreclosure. 
Sec. 14003. Receipt for service or denial of service from certain Department of Agri-
culture agencies. 
Sec. 14004. Outreach and technical assistance for socially disadvantaged farmers or 
ranchers. 
Sec. 14005. Accurate documentation in the Census of Agriculture and certain stud-
ies. 
Sec. 14006. Transparency and accountability for socially disadvantaged farmers or 
ranchers. 
Sec. 14007. Oversight and compliance. 
Sec. 14008. Minority Farmer Advisory Committee. 
Sec. 14009. National Appeals Division. 
Sec. 14010. Report of civil rights complaints, resolutions, and actions. 
Sec. 14011. Sense of Congress relating to claims brought by socially disadvantaged 
farmers or ranchers. 
Sec. 14012. Determination on merits of Pigford claims. 
Sec. 14013. Office of Advocacy and Outreach. 
Subtitle B—Agricultural Security 
Sec. 14101. Short title. 
Sec. 14102. Definitions. 
CHAPTER 1—AGRICULTURAL SECURITY 
Sec. 14111. Office of Homeland Security. 
Sec. 14112. Agricultural biosecurity communication center. 
Sec. 14113. Assistance to build local capacity in agricultural biosecurity planning, 
preparedness, and response. 
CHAPTER 2—OTHER PROVISIONS 
Sec. 14121. Research and development of agricultural countermeasures. 
Sec. 14122. Agricultural biosecurity grant program. 
Subtitle C—Other Miscellaneous Provisions 
Sec. 14201. Cotton classification services. 
Sec. 14202. Designation of States for cotton research and promotion. 
Sec. 14203. Grants to reduce production of methamphetamines from anhydrous am-
monia. 
Sec. 14204. Grants to improve supply, stability, safety, and training of agricultural 
labor force. 
Sec. 14205. Amendment to the Right to Financial Privacy Act of 1978. 
Sec. 14206. Report on stored quantities of propane. 
Sec. 14207. Prohibitions on dog fighting ventures. 
Sec. 14208. Department of Agriculture conference transparency. 
Sec. 14209. Federal Insecticide, Fungicide, and Rodenticide Act amendments. 
Sec. 14210. Importation of live dogs. 
Sec. 14211. Permanent debarment from participation in Department of Agriculture 
programs for fraud. 
Sec. 14212. Prohibition on closure or relocation of county offices for the Farm Serv-
ice Agency. 
Sec. 14213. USDA Graduate School. 
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122 STAT. 935 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 14214. Fines for violations of the Animal Welfare Act. 
Sec. 14215. Definition of central filing system. 
Sec. 14216. Consideration of proposed recommendations of study on use of cats and 
dogs in Federal research. 
Sec. 14217. Regional economic and infrastructure development. 
Sec. 14218. Coordinator for chronically underserved rural areas. 
Sec. 14219. Elimination of statute of limitations applicable to collection of debt by 
administrative offset. 
Sec. 14220. Availability of excess and surplus computers in rural areas. 
Sec. 14221. Repeal of section 3068 of the Water Resources Development Act of 
2007. 
Sec. 14222. Domestic food assistance programs. 
Sec. 14223. Technical correction. 
TITLE XV—TRADE AND TAX PROVISIONS 
Sec. 15001. Short title; etc. 
Subtitle A—Supplemental Agricultural Disaster Assistance From the Agricultural 
Disaster Relief Trust Fund 
Sec. 15101. Supplemental agricultural disaster assistance. 
Subtitle B—Revenue Provisions for Agriculture Programs 
Sec. 15201. Customs User Fees. 
Sec. 15202. Time for payment of corporate estimated taxes. 
Subtitle C—Tax Provisions 
PART I—CONSERVATION 
SUBPART A—LAND AND SPECIES PRESERVATION PROVISIONS 
Sec. 15301. Exclusion of conservation reserve program payments from SECA tax 
for certain individuals. 
Sec. 15302. Two-year extension of special rule encouraging contributions of capital 
gain real property for conservation purposes. 
Sec. 15303. Deduction for endangered species recovery expenditures. 
SUBPART B—TIMBER PROVISIONS 
Sec. 15311. Temporary reduction in rate of tax on qualified timber gain of corpora-
tions. 
Sec. 15312. Timber REIT modernization. 
Sec. 15313. Mineral royalty income qualifying income for timber REITs. 
Sec. 15314. Modification of taxable REIT subsidiary asset test for timber REITs. 
Sec. 15315. Safe harbor for timber property. 
Sec. 15316. Qualified forestry conservation bonds. 
PART II—ENERGY PROVISIONS 
SUBPART A—CELLULOSIC BIOFUEL 
Sec. 15321. Credit for production of cellulosic biofuel. 
Sec. 15322. Comprehensive study of biofuels. 
SUBPART B—REVENUE PROVISIONS 
Sec. 15331. Modification of alcohol credit. 
Sec. 15332. Calculation of volume of alcohol for fuel credits. 
Sec. 15333. Ethanol tariff extension. 
Sec. 15334. Limitations on duty drawback on certain imported ethanol. 
PART III—AGRICULTURAL PROVISIONS 
Sec. 15341. Increase in loan limits on agricultural bonds. 
Sec. 15342. Allowance of section 1031 treatment for exchanges involving certain 
mutual ditch, reservoir, or irrigation company stock. 
Sec. 15343. Agricultural chemicals security credit. 
Sec. 15344. 3-year depreciation for race horses that are 2-years old or younger. 
Sec. 15345. Temporary tax relief for Kiowa County, Kansas and surrounding area. 
Sec. 15346. Competitive certification awards modification authority. 
PART IV—OTHER REVENUE PROVISIONS 
Sec. 15351. Limitation on excess farm losses of certain taxpayers. 
Sec. 15352. Modification to optional method of computing net earnings from self- 
employment. 
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122 STAT. 936 
PUBLIC LAW 110–234—MAY 22, 2008 
Sec. 15353. Information reporting for Commodity Credit Corporation transactions. 
PART V—PROTECTION OF SOCIAL SECURITY 
Sec. 15361. Protection of social security. 
Subtitle D—Trade Provisions 
PART I—EXTENSION OF CERTAIN TRADE BENEFITS 
Sec. 15401. Short title. 
Sec. 15402. Benefits for apparel and other textile articles. 
Sec. 15403. Labor Ombudsman and technical assistance improvement and compli-
ance needs assessment and remediation program. 
Sec. 15404. Petition process. 
Sec. 15405. Conditions regarding enforcement of circumvention. 
Sec. 15406. Presidential proclamation authority. 
Sec. 15407. Regulations and procedures. 
Sec. 15408. Extension of CBTPA. 
Sec. 15409. Sense of Congress on interpretation of textile and apparel provisions 
for Haiti. 
Sec. 15410. Sense of Congress on trade mission to Haiti. 
Sec. 15411. Sense of Congress on visa systems. 
Sec. 15412. Effective date. 
PART II—MISCELLANEOUS TRADE PROVISIONS 
Sec. 15421. Unused merchandise drawback. 
Sec. 15422. Requirements relating to determination of transaction value of im-
ported merchandise. 
SEC. 2. DEFINITION OF SECRETARY. 
In this Act, the term ‘‘Secretary’’ means the Secretary of Agri-
culture. 
TITLE I—COMMODITY PROGRAMS 
SEC. 1001. DEFINITIONS. 
In this title (other than subtitle C): 
(1) AVERAGE CROP REVENUE ELECTION PAYMENT.—The term 
‘‘average crop revenue election payment’’ means a payment 
made to producers on a farm under section 1105. 
(2) BASE ACRES.— 
(A) IN GENERAL.—The term ‘‘base acres’’, with respect 
to a covered commodity on a farm, means the number 
of acres established under section 1101 of the Farm Secu-
rity and Rural Investment Act of 2002 (7 U.S.C. 7911) 
as in effect on September 30, 2007, subject to any adjust-
ment under section 1101 of this Act. 
(B) PEANUTS.—The term ‘‘base acres for peanuts’’ has 
the meaning given the term in section 1301. 
(3) COUNTER-CYCLICAL
PAYMENT.—The term ‘‘counter- 
cyclical payment’’ means a payment made to producers on 
a farm under section 1104. 
(4) COVERED COMMODITY.—The term ‘‘covered commodity’’ 
means wheat, corn, grain sorghum, barley, oats, upland cotton, 
long grain rice, medium grain rice, pulse crops, soybeans, and 
other oilseeds. 
(5) DIRECT PAYMENT.—The term ‘‘direct payment’’ means 
a payment made to producers on a farm under section 1103. 
(6) EFFECTIVE
PRICE.—The term ‘‘effective price’’, with 
respect to a covered commodity for a crop year, means the 
price calculated by the Secretary under section 1104 to deter-
mine whether counter-cyclical payments are required to be 
made for that crop year. 
7 USC 8702. 
7 USC 8701. 
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122 STAT. 937 
PUBLIC LAW 110–234—MAY 22, 2008 
(7) EXTRA LONG STAPLE COTTON.—The term ‘‘extra long 
staple cotton’’ means cotton that— 
(A) is produced from pure strain varieties of the 
Barbadense species or any hybrid of the species, or other 
similar types of extra long staple cotton, designated by 
the Secretary, having characteristics needed for various 
end uses for which United States upland cotton is not 
suitable and grown in irrigated cotton-growing regions of 
the United States designated by the Secretary or other 
areas designated by the Secretary as suitable for the 
production of the varieties or types; and 
(B) is ginned on a roller-type gin or, if authorized 
by the Secretary, ginned on another type gin for experi-
mental purposes. 
(8) LOAN COMMODITY.—The term ‘‘loan commodity’’ means 
wheat, corn, grain sorghum, barley, oats, upland cotton, extra 
long staple cotton, long grain rice, medium grain rice, soybeans, 
other oilseeds, graded wool, nongraded wool, mohair, honey, 
dry peas, lentils, small chickpeas, and large chickpeas. 
(9) MEDIUM GRAIN RICE.—The term ‘‘medium grain rice’’ 
includes short grain rice. 
(10) OTHER OILSEED.—The term ‘‘other oilseed’’ means a 
crop of sunflower seed, rapeseed, canola, safflower, flaxseed, 
mustard seed, crambe, sesame seed, or any oilseed designated 
by the Secretary. 
(11) PAYMENT ACRES.—The term ‘‘payment acres’’ means, 
in the case of direct payments and counter-cyclical payments— 
(A) except as provided in subparagraph (B), 85 percent 
of the base acres of a covered commodity on a farm on 
which direct payments or counter-cyclical payments are 
made; and 
(B) in the case of direct payments for each of the 
2009 through 2011 crop years, 83.3 percent of the base 
acres for the covered commodity on a farm on which direct 
payments are made. 
(12) PAYMENT YIELD.—The term ‘‘payment yield’’ means 
the yield established for direct payments and the yield estab-
lished for counter-cyclical payments under section 1102 of the 
Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
7912) as in effect on September 30, 2007, or under section 
1102 of this Act, for a farm for a covered commodity. 
(13) PRODUCER.— 
(A) IN
GENERAL.—The term ‘‘producer’’ means an 
owner, operator, landlord, tenant, or sharecropper that 
shares in the risk of producing a crop and is entitled 
to share in the crop available for marketing from the farm, 
or would have shared had the crop been produced. 
(B) HYBRID SEED.—In determining whether a grower 
of hybrid seed is a producer, the Secretary shall— 
(i) not take into consideration the existence of a 
hybrid seed contract; and 
(ii) ensure that program requirements do not 
adversely affect the ability of the grower to receive 
a payment under this title. 
(14) PULSE CROP.—The term ‘‘pulse crop’’ means dry peas, 
lentils, small chickpeas, and large chickpeas. 
(15) STATE.—The term ‘‘State’’ means— 
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122 STAT. 938 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) a State; 
(B) the District of Columbia; 
(C) the Commonwealth of Puerto Rico; and 
(D) any other territory or possession of the United 
States. 
(16) TARGET PRICE.—The term ‘‘target price’’ means the 
price per bushel, pound, or hundredweight (or other appropriate 
unit) of a covered commodity used to determine the payment 
rate for counter-cyclical payments. 
(17) UNITED STATES.—The term ‘‘United States’’, when used 
in a geographical sense, means all of the States. 
(18) UNITED STATES PREMIUM FACTOR.—The term ‘‘United 
States Premium Factor’’ means the percentage by which the 
difference in the United States loan schedule premiums for 
Strict Middling (SM) 11⁄8-inch upland cotton and for Middling 
(M) 13⁄32-inch upland cotton exceeds the difference in the 
applicable premiums for comparable international qualities. 
Subtitle A—Direct Payments and Counter- 
Cyclical Payments 
SEC. 1101. BASE ACRES. 
(a) ADJUSTMENT OF BASE ACRES.— 
(1) IN GENERAL.—The Secretary shall provide for an adjust-
ment, as appropriate, in the base acres for covered commodities 
for a farm whenever any of the following circumstances occurs: 
(A) A conservation reserve contract entered into under 
section 1231 of the Food Security Act of 1985 (16 U.S.C. 
3831) with respect to the farm expires or is voluntarily 
terminated, or was terminated or expired during the period 
beginning on October 1, 2007, and ending on the date 
of enactment of this Act. 
(B) Cropland is released from coverage under a con-
servation reserve contract by the Secretary, or was released 
during the period beginning on October 1, 2007, and ending 
on the date of enactment of this Act. 
(C) The producer has eligible pulse crop acreage, which 
shall be determined in the same manner as eligible oilseed 
acreage under section 1101(a)(2) of the Farm Security and 
Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)). 
(D) The producer has eligible oilseed acreage as the 
result of the Secretary designating additional oilseeds, 
which shall be determined in the same manner as eligible 
oilseed acreage under section 1101(a)(2) of the Farm Secu-
rity and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)). 
(2) SPECIAL
CONSERVATION
RESERVE
ACREAGE
PAYMENT 
RULES.—For the crop year in which a base acres adjustment 
under subparagraph (A) or (B) of paragraph (1) is first made, 
the owner of the farm shall elect to receive either direct pay-
ments and counter-cyclical payments with respect to the acre-
age added to the farm under this subsection or a prorated 
payment under the conservation reserve contract, but not both. 
(b) PREVENTION OF EXCESS BASE ACRES.— 
(1) REQUIRED REDUCTION.—If the sum of the base acres 
for a farm, together with the acreage described in paragraph 
7 USC 8711. 
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122 STAT. 939 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) exceeds the actual cropland acreage of the farm, the Sec-
retary shall reduce the base acres for 1 or more covered 
commodities for the farm or the base acres for peanuts for 
the farm so that the sum of the base acres and acreage 
described in paragraph (2) does not exceed the actual cropland 
acreage of the farm. 
(2) OTHER ACREAGE.—For purposes of paragraph (1), the 
Secretary shall include the following: 
(A) Any base acres for peanuts for the farm. 
(B) Any acreage on the farm enrolled in the conserva-
tion reserve program or wetlands reserve program under 
chapter 1 of subtitle D of title XII of the Food Security 
Act of 1985 (16 U.S.C. 3830 et seq.). 
(C) Any other acreage on the farm enrolled in a Federal 
conservation program for which payments are made in 
exchange for not producing an agricultural commodity on 
the acreage. 
(D) Any eligible pulse crop acreage, which shall be 
determined in the same manner as eligible oilseed acreage 
under section 1101(a)(2) of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 7911(a)(2)). 
(E) If the Secretary designates additional oilseeds, any 
eligible oilseed acreage, which shall be determined in the 
same manner as eligible oilseed acreage under section 
1101(a)(2) of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 7911(a)(2)). 
(3) SELECTION
OF
ACRES.—The Secretary shall give the 
owner of the farm the opportunity to select the base acres 
for a covered commodity or the base acres for peanuts for 
the farm against which the reduction required by paragraph 
(1) will be made. 
(4) 
EXCEPTION
FOR
DOUBLE-CROPPED
ACREAGE.—In 
applying paragraph (1), the Secretary shall make an exception 
in the case of double cropping, as determined by the Secretary. 
(5) COORDINATED
APPLICATION
OF
REQUIREMENTS.—The 
Secretary shall take into account section 1302(b) when applying 
the requirements of this subsection. 
(c) REDUCTION IN BASE ACRES.— 
(1) REDUCTION AT OPTION OF OWNER.— 
(A) IN GENERAL.—The owner of a farm may reduce, 
at any time, the base acres for any covered commodity 
for the farm. 
(B) 
EFFECT
OF
REDUCTION.—A 
reduction 
under 
subparagraph (A) shall be permanent and made in a 
manner prescribed by the Secretary. 
(2) REQUIRED ACTION BY SECRETARY.— 
(A) IN GENERAL.—The Secretary shall proportionately 
reduce base acres on a farm for covered commodities for 
land that has been subdivided and developed for multiple 
residential units or other nonfarming uses if the size of 
the tracts and the density of the subdivision is such that 
the land is unlikely to return to the previous agricultural 
use, unless the producers on the farm demonstrate that 
the land— 
(i) remains devoted to commercial agricultural 
production; or 
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122 STAT. 940 
PUBLIC LAW 110–234—MAY 22, 2008 
(ii) is likely to be returned to the previous agricul-
tural use. 
(B) REQUIREMENT.—The Secretary shall establish 
procedures to identify land described in subparagraph (A). 
(3) REVIEW
AND
REPORT.—Each year, to ensure, to the 
maximum extent practicable, that payments are received only 
by producers, the Secretary shall submit to Congress a report 
that describes the results of the actions taken under paragraph 
(2). 
(d) TREATMENT OF FARMS WITH LIMITED BASE ACRES.— 
(1) PROHIBITION
ON
PAYMENTS.—Except as provided in 
paragraph (2) and notwithstanding any other provision of this 
title, a producer on a farm may not receive direct payments, 
counter-cyclical payments, or average crop revenue election pay-
ments if the sum of the base acres of the farm is 10 acres 
or less, as determined by the Secretary. 
(2) EXCEPTIONS.—Paragraph (1) shall not apply to a farm 
owned by— 
(A) a socially disadvantaged farmer or rancher (as 
defined in section 355(e) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 2003(e)); or 
(B) a limited resource farmer or rancher, as defined 
by the Secretary. 
(3) DATA
COLLECTION
AND
PUBLICATION.—The Secretary 
shall— 
(A) collect and publish segregated data and survey 
information about the farm profiles, utilization of land, 
and crop production; and 
(B) perform an evaluation on the supply and price 
of fruits and vegetables based on the effects of suspension 
of base acres under this section. 
SEC. 1102. PAYMENT YIELDS. 
(a) ESTABLISHMENT AND PURPOSE.—For the purpose of making 
direct payments and counter-cyclical payments under this subtitle, 
the Secretary shall provide for the establishment of a yield for 
each farm for any designated oilseed or eligible pulse crop for 
which a payment yield was not established under section 1102 
of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
7912) in accordance with this section. 
(b) PAYMENT YIELDS FOR DESIGNATED OILSEEDS AND ELIGIBLE 
PULSE CROPS.— 
(1) DETERMINATION OF AVERAGE YIELD.—In the case of des-
ignated oilseeds and eligible pulse crops, the Secretary shall 
determine the average yield per planted acre for the designated 
oilseed or pulse crop on a farm for the 1998 through 2001 
crop years, excluding any crop year in which the acreage 
planted to the designated oilseed or pulse crop was zero. 
(2) ADJUSTMENT FOR PAYMENT YIELD.— 
(A) IN GENERAL.—The payment yield for a farm for 
a designated oilseed or eligible pulse crop shall be equal 
to the product of the following: 
(i) The average yield for the designated oilseed 
or pulse crop determined under paragraph (1). 
(ii) The ratio resulting from dividing the national 
average yield for the designated oilseed or pulse crop 
7 USC 8712. 
Procedures. 
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122 STAT. 941 
PUBLIC LAW 110–234—MAY 22, 2008 
for the 1981 through 1985 crops by the national aver-
age yield for the designated oilseed or pulse crop for 
the 1998 through 2001 crops. 
(B) NO NATIONAL AVERAGE YIELD INFORMATION AVAIL-
ABLE.—To the extent that national average yield informa-
tion for a designated oilseed or pulse crop is not available, 
the Secretary shall use such information as the Secretary 
determines to be fair and equitable to establish a national 
average yield under this section. 
(3) USE OF PARTIAL COUNTY AVERAGE YIELD.—If the yield 
per planted acre for a crop of a designated oilseed or pulse 
crop for a farm for any of the 1998 through 2001 crop years 
was less than 75 percent of the county yield for that designated 
oilseed or pulse crop, the Secretary shall assign a yield for 
that crop year equal to 75 percent of the county yield for 
the purpose of determining the average under paragraph (1). 
(4) NO HISTORIC YIELD DATA AVAILABLE.—In the case of 
establishing yields for designated oilseeds and eligible pulse 
crops, if historic yield data is not available, the Secretary shall 
use the ratio for dry peas calculated under paragraph (2)(A)(ii) 
in determining the yields for designated oilseeds and eligible 
pulse crops, as determined to be fair and equitable by the 
Secretary. 
SEC. 1103. AVAILABILITY OF DIRECT PAYMENTS. 
(a) PAYMENT REQUIRED.—For each of the 2008 through 2012 
crop years of each covered commodity (other than pulse crops), 
the Secretary shall make direct payments to producers on farms 
for which base acres and payment yields are established. 
(b) PAYMENT RATE.—Except as provided in section 1105, the 
payment rates used to make direct payments with respect to covered 
commodities for a crop year shall be as follows: 
(1) Wheat, $0.52 per bushel. 
(2) Corn, $0.28 per bushel. 
(3) Grain sorghum, $0.35 per bushel. 
(4) Barley, $0.24 per bushel. 
(5) Oats, $0.024 per bushel. 
(6) Upland cotton, $0.0667 per pound. 
(7) Long grain rice, $2.35 per hundredweight. 
(8) Medium grain rice, $2.35 per hundredweight. 
(9) Soybeans, $0.44 per bushel. 
(10) Other oilseeds, $0.80 per hundredweight. 
(c) PAYMENT AMOUNT.—The amount of the direct payment to 
be paid to the producers on a farm for a covered commodity for 
a crop year shall be equal to the product of the following: 
(1) The payment rate specified in subsection (b). 
(2) The payment acres of the covered commodity on the 
farm. 
(3) The payment yield for the covered commodity for the 
farm. 
(d) TIME FOR PAYMENT.— 
(1) IN GENERAL.—Except as provided in paragraph (2), in 
the case of each of the 2008 through 2012 crop years, the 
Secretary may not make direct payments before October 1 
of the calendar year in which the crop of the covered commodity 
is harvested. 
(2) ADVANCE PAYMENTS.— 
7 USC 8713. 
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122 STAT. 942 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) OPTION.— 
(i) IN GENERAL.—At the option of the producers 
on a farm, the Secretary shall pay in advance up 
to 22 percent of the direct payment for a covered com-
modity for any of the 2008 through 2011 crop years 
to the producers on a farm. 
(ii) 2008 CROP YEAR.—If the producers on a farm 
elect to receive advance direct payments under clause 
(i) for a covered commodity for the 2008 crop year, 
as soon as practicable after the election, the Secretary 
shall make the advance direct payment to the pro-
ducers on the farm. 
(B) MONTH.— 
(i) SELECTION.—Subject to clauses (ii) and (iii), 
the producers on a farm shall select the month during 
which the advance payment for a crop year will be 
made. 
(ii) OPTIONS.—The month selected may be any 
month during the period— 
(I) beginning on December 1 of the calendar 
year before the calendar year in which the crop 
of the covered commodity is harvested; and 
(II) ending during the month within which 
the direct payment would otherwise be made. 
(iii) CHANGE.—The producers on a farm may 
change the selected month for a subsequent advance 
payment by providing advance notice to the Secretary. 
(3) REPAYMENT OF ADVANCE PAYMENTS.—If a producer on 
a farm that receives an advance direct payment for a crop 
year ceases to be a producer on that farm, or the extent to 
which the producer shares in the risk of producing a crop 
changes, before the date the remainder of the direct payment 
is made, the producer shall be responsible for repaying the 
Secretary the applicable amount of the advance payment, as 
determined by the Secretary. 
SEC. 1104. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS. 
(a) PAYMENT REQUIRED.—Except as provided in section 1105, 
for each of the 2008 through 2012 crop years for each covered 
commodity, the Secretary shall make counter-cyclical payments to 
producers on farms for which payment yields and base acres are 
established with respect to the covered commodity if the Secretary 
determines that the effective price for the covered commodity is 
less than the target price for the covered commodity. 
(b) EFFECTIVE PRICE.— 
(1) COVERED COMMODITIES OTHER THAN RICE.—Except as 
provided in paragraph (2), for purposes of subsection (a), the 
effective price for a covered commodity is equal to the sum 
of the following: 
(A) The higher of the following: 
(i) The national average market price received by 
producers during the 12-month marketing year for the 
covered commodity, as determined by the Secretary. 
(ii) The national average loan rate for a marketing 
assistance loan for the covered commodity in effect 
for the applicable period under subtitle B. 
7 USC 8714. 
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122 STAT. 943 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) The payment rate in effect for the covered com-
modity under section 1103 for the purpose of making direct 
payments with respect to the covered commodity. 
(2) RICE.—In the case of long grain rice and medium grain 
rice, for purposes of subsection (a), the effective price for each 
type or class of rice is equal to the sum of the following: 
(A) The higher of the following: 
(i) The national average market price received by 
producers during the 12-month marketing year for the 
type or class of rice, as determined by the Secretary. 
(ii) The national average loan rate for a marketing 
assistance loan for the type or class of rice in effect 
for the applicable period under subtitle B. 
(B) The payment rate in effect for the type or class 
of rice under section 1103 for the purpose of making direct 
payments with respect to the type or class of rice. 
(c) TARGET PRICE.— 
(1) 2008 CROP YEAR.—For purposes of the 2008 crop year, 
the target prices for covered commodities shall be as follows: 
(A) Wheat, $3.92 per bushel. 
(B) Corn, $2.63 per bushel. 
(C) Grain sorghum, $2.57 per bushel. 
(D) Barley, $2.24 per bushel. 
(E) Oats, $1.44 per bushel. 
(F) Upland cotton, $0.7125 per pound. 
(G) Long grain rice, $10.50 per hundredweight. 
(H) Medium grain rice, $10.50 per hundredweight. 
(I) Soybeans, $5.80 per bushel. 
(J) Other oilseeds, $10.10 per hundredweight. 
(2) 2009 CROP YEAR.—For purposes of the 2009 crop year, 
the target prices for covered commodities shall be as follows: 
(A) Wheat, $3.92 per bushel. 
(B) Corn, $2.63 per bushel. 
(C) Grain sorghum, $2.57 per bushel. 
(D) Barley, $2.24 per bushel. 
(E) Oats, $1.44 per bushel. 
(F) Upland cotton, $0.7125 per pound. 
(G) Long grain rice, $10.50 per hundredweight. 
(H) Medium grain rice, $10.50 per hundredweight. 
(I) Soybeans, $5.80 per bushel. 
(J) Other oilseeds, $10.10 per hundredweight. 
(K) Dry peas, $8.32 per hundredweight. 
(L) Lentils, $12.81 per hundredweight. 
(M) Small chickpeas, $10.36 per hundredweight. 
(N) Large chickpeas, $12.81 per hundredweight. 
(3) SUBSEQUENT CROP YEARS.—For purposes of each of the 
2010 through 2012 crop years, the target prices for covered 
commodities shall be as follows: 
(A) Wheat, $4.17 per bushel. 
(B) Corn, $2.63 per bushel. 
(C) Grain sorghum, $2.63 per bushel. 
(D) Barley, $2.63 per bushel. 
(E) Oats, $1.79 per bushel. 
(F) Upland cotton, $0.7125 per pound. 
(G) Long grain rice, $10.50 per hundredweight. 
(H) Medium grain rice, $10.50 per hundredweight. 
(I) Soybeans, $6.00 per bushel. 
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122 STAT. 944 
PUBLIC LAW 110–234—MAY 22, 2008 
(J) Other oilseeds, $12.68 per hundredweight. 
(K) Dry peas, $8.32 per hundredweight. 
(L) Lentils, $12.81 per hundredweight. 
(M) Small chickpeas, $10.36 per hundredweight. 
(N) Large chickpeas, $12.81 per hundredweight. 
(d) PAYMENT RATE.—The payment rate used to make counter- 
cyclical payments with respect to a covered commodity for a crop 
year shall be equal to the difference between— 
(1) the target price for the covered commodity; and 
(2) the effective price determined under subsection (b) for 
the covered commodity. 
(e) PAYMENT
AMOUNT.—If counter-cyclical payments are 
required to be paid under this section for any of the 2008 through 
2012 crop years of a covered commodity, the amount of the counter- 
cyclical payment to be paid to the producers on a farm for that 
crop year shall be equal to the product of the following: 
(1) The payment rate specified in subsection (d). 
(2) The payment acres of the covered commodity on the 
farm. 
(3) The payment yield for the covered commodity for the 
farm. 
(f) TIME FOR PAYMENTS.— 
(1) GENERAL RULE.—Except as provided in paragraph (2), 
if the Secretary determines under subsection (a) that counter- 
cyclical payments are required to be made under this section 
for the crop of a covered commodity, beginning October 1, 
or as soon as practicable thereafter, after the end of the mar-
keting year for the covered commodity, the Secretary shall 
make the counter-cyclical payments for the crop. 
(2) AVAILABILITY OF PARTIAL PAYMENTS.— 
(A) IN GENERAL.—If, before the end of the 12-month 
marketing year for a covered commodity, the Secretary 
estimates that counter-cyclical payments will be required 
for the crop of the covered commodity, the Secretary shall 
give producers on a farm the option to receive partial 
payments of the counter-cyclical payment projected to be 
made for that crop of the covered commodity. 
(B) ELECTION.— 
(i) IN GENERAL.—The Secretary shall allow pro-
ducers on a farm to make an election to receive partial 
payments for a covered commodity under subparagraph 
(A) at any time but not later than 60 days prior to 
the end of the marketing year for that covered com-
modity. 
(ii) DATE OF ISSUANCE.—The Secretary shall issue 
the partial payment after the date of an announcement 
by the Secretary but not later than 30 days prior 
to the end of the marketing year. 
(3) TIME
FOR
PARTIAL
PAYMENTS.—When the Secretary 
makes partial payments for a covered commodity for any of 
the 2008 through 2010 crop years— 
(A) the first partial payment shall be made after 
completion of the first 180 days of the marketing year 
for the covered commodity; and 
(B) the final partial payment shall be made beginning 
October 1, or as soon as practicable thereafter, after the 
Deadlines. 
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122 STAT. 945 
PUBLIC LAW 110–234—MAY 22, 2008 
end of the applicable marketing year for the covered com-
modity. 
(4) AMOUNT OF PARTIAL PAYMENT.— 
(A) FIRST
PARTIAL
PAYMENT.—For each of the 2008 
through 2010 crops of a covered commodity, the first partial 
payment under paragraph (3) to the producers on a farm 
may not exceed 40 percent of the projected counter-cyclical 
payment for the covered commodity for the crop year, as 
determined by the Secretary. 
(B) FINAL PAYMENT.—The final payment for a covered 
commodity for a crop year shall be equal to the difference 
between— 
(i) the actual counter-cyclical payment to be made 
to the producers for the covered commodity for that 
crop year; and 
(ii) the amount of the partial payment made to 
the producers under subparagraph (A). 
(5) REPAYMENT.—The producers on a farm that receive 
a partial payment under this subsection for a crop year shall 
repay to the Secretary the amount, if any, by which the total 
of the partial payments exceed the actual counter-cyclical pay-
ment to be made for the covered commodity for that crop 
year. 
SEC. 1105. AVERAGE CROP REVENUE ELECTION PROGRAM. 
(a) AVAILABILITY AND ELECTION OF ALTERNATIVE APPROACH.— 
(1) AVAILABILITY OF AVERAGE CROP REVENUE ELECTION PAY-
MENTS.—As an alternative to receiving counter-cyclical pay-
ments under section 1104 or 1304 and in exchange for a 20- 
percent reduction in direct payments under section 1103 or 
1303 and a 30-percent reduction in marketing assistance loan 
rates under section 1202 or 1307, with respect to all covered 
commodities and peanuts on a farm, during each of the 2009, 
2010, 2011, and 2012 crop years, the Secretary shall give the 
producers on the farm an opportunity to make an irrevocable 
election to instead receive average crop revenue election 
(referred to in this section as ‘‘ACRE’’) payments under this 
section for the initial crop year for which the election is made 
through the 2012 crop year. 
(2) LIMITATION.— 
(A) IN GENERAL.—The total number of planted acres 
for which the producers on a farm may receive ACRE 
payments under this section may not exceed the total base 
acreage for all covered commodities and peanuts on the 
farm. 
(B) ELECTION.—If the total number of planted acres 
to all covered commodities and peanuts of the producers 
on a farm exceeds the total base acreage of the farm, 
the producers on the farm may choose which planted acres 
to enroll in the program under this section. 
(3) ELECTION; TIME FOR ELECTION.— 
(A) IN GENERAL.—The Secretary shall provide notice 
to producers regarding the opportunity to make each of 
the elections described in paragraph (1). 
(B) NOTICE REQUIREMENTS.—The notice shall include— 
(i) notice of the opportunity of the producers on 
a farm to make the election; and 
Notice. 
7 USC 8715. 
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122 STAT. 946 
PUBLIC LAW 110–234—MAY 22, 2008 
(ii) information regarding the manner in which 
the election must be made and the time periods and 
manner in which notice of the election must be sub-
mitted to the Secretary. 
(4) ELECTION DEADLINE.—Within the time period and in 
the manner prescribed pursuant to paragraph (3), all of the 
producers on a farm shall submit to the Secretary notice of 
an election made under paragraph (1). 
(5) EFFECT OF FAILURE TO MAKE ELECTION.—If all of the 
producers on a farm fail to make an election under paragraph 
(1), make different elections under paragraph (1), or fail to 
timely notify the Secretary of the election made, as required 
by paragraph (4), all of the producers on the farm shall be 
deemed to have made the election to receive counter-cyclical 
payments under section 1104 or 1304 for all covered commod-
ities and peanuts on the farm, and to otherwise not have 
made the election described in paragraph (1), for the applicable 
crop years. 
(b) PAYMENTS REQUIRED.— 
(1) IN GENERAL.—In the case of producers on a farm who 
make an election under subsection (a) to receive ACRE pay-
ments for any of the 2009 through 2012 crop years for all 
covered commodities and peanuts, the Secretary shall make 
ACRE payments available to the producers on a farm in accord-
ance with this subsection. 
(2) ACRE PAYMENT.— 
(A) IN GENERAL.—Subject to paragraph (3), in the case 
of producers on a farm described in paragraph (1), the 
Secretary shall make ACRE payments available to the 
producers on a farm for each crop year if— 
(i) the actual State revenue for the crop year for 
the covered commodity or peanuts in the State deter-
mined under subsection (c); is less than 
(ii) the ACRE program guarantee for the crop year 
for the covered commodity or peanuts in the State 
determined under subsection (d). 
(B) INDIVIDUAL LOSS.—The Secretary shall make ACRE 
payments available to the producers on a farm in a State 
for a crop year only if (as determined by the Secretary)— 
(i) the actual farm revenue for the crop year for 
the covered commodity or peanuts, as determined 
under subsection (e); is less than 
(ii) the farm ACRE benchmark revenue for the 
crop year for the covered commodity or peanuts, as 
determined under subsection (f). 
(3) TIME FOR PAYMENTS.—In the case of each of the 2009 
through 2012 crop years, the Secretary shall make ACRE pay-
ments beginning October 1, or as soon as practicable thereafter, 
after the end of the applicable marketing year for the covered 
commodity or peanuts. 
(c) ACTUAL STATE REVENUE.— 
(1) IN GENERAL.—For purposes of subsection (b)(2)(A), the 
amount of the actual State revenue for a crop year of a covered 
commodity or peanuts shall equal the product obtained by 
multiplying— 
Notice. 
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122 STAT. 947 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) the actual State yield for each planted acre for 
the crop year for the covered commodity or peanuts deter-
mined under paragraph (2); and 
(B) the national average market price for the crop 
year for the covered commodity or peanuts determined 
under paragraph (3). 
(2) ACTUAL STATE YIELD.—For purposes of paragraph (1)(A), 
the actual State yield for each planted acre for a crop year 
for a covered commodity or peanuts in a State shall equal 
(as determined by the Secretary)— 
(A) the quantity of the covered commodity or peanuts 
that is produced in the State during the crop year; divided 
by 
(B) the number of acres that are planted to the covered 
commodity or peanuts in the State during the crop year. 
(3) NATIONAL
AVERAGE
MARKET
PRICE.—For purposes of 
paragraph (1)(B), the national average market price for a crop 
year for a covered commodity or peanuts in a State shall 
equal the greater of— 
(A) the national average market price received by pro-
ducers during the 12-month marketing year for the covered 
commodity or peanuts, as determined by the Secretary; 
or 
(B) the marketing assistance loan rate for the covered 
commodity or peanuts under section 1202 or 1307, as 
reduced under subsection (a)(1). 
(d) ACRE PROGRAM GUARANTEE.— 
(1) AMOUNT.— 
(A) IN GENERAL.—For purposes of subsection (b)(2)(A) 
and subject to subparagraph (B), the ACRE program guar-
antee for a crop year for a covered commodity or peanuts 
in a State shall equal 90 percent of the product obtained 
by multiplying— 
(i) the benchmark State yield for each planted 
acre for the crop year for the covered commodity or 
peanuts in a State determined under paragraph (2); 
and 
(ii) the ACRE program guarantee price for the 
crop year for the covered commodity or peanuts deter-
mined under paragraph (3). 
(B) MINIMUM AND MAXIMUM GUARANTEE.—In the case 
of each of the 2010 through 2012 crop years, the ACRE 
program guarantee for a crop year for a covered commodity 
or peanuts under subparagraph (A) shall not decrease or 
increase more than 10 percent from the guarantee for 
the preceding crop year. 
(2) BENCHMARK STATE YIELD.— 
(A) IN GENERAL.—For purposes of paragraph (1)(A)(i), 
subject to subparagraph (B), the benchmark State yield 
for each planted acre for a crop year for a covered com-
modity or peanuts in a State shall equal the average yield 
per planted acre for the covered commodity or peanuts 
in the State for the most recent 5 crop year yields, excluding 
each of the crop years with the highest and lowest yields, 
using National Agricultural Statistics Service data. 
(B) ASSIGNED YIELD.—If the Secretary cannot establish 
the benchmark State yield for each planted acre for a 
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122 STAT. 948 
PUBLIC LAW 110–234—MAY 22, 2008 
crop year for a covered commodity or peanuts in a State 
in accordance with subparagraph (A) or if the yield deter-
mined under subparagraph (A) is an unrepresentative aver-
age yield for the State (as determined by the Secretary), 
the Secretary shall assign a benchmark State yield for 
each planted acre for the crop year for the covered com-
modity or peanuts in the State on the basis of— 
(i) previous average yields for a period of 5 crop 
years, excluding each of the crop years with the highest 
and lowest yields; or 
(ii) benchmark State yields for planted acres for 
the crop year for the covered commodity or peanuts 
in similar States. 
(3) ACRE PROGRAM GUARANTEE PRICE.—For purposes of 
paragraph (1)(A)(ii), the ACRE program guarantee price for 
a crop year for a covered commodity or peanuts in a State 
shall be the simple average of the national average market 
price received by producers of the covered commodity or peanuts 
for the most recent 2 crop years, as determined by the Sec-
retary. 
(4) STATES WITH IRRIGATED AND NONIRRIGATED LAND.—In 
the case of a State in which at least 25 percent of the acreage 
planted to a covered commodity or peanuts in the State is 
irrigated and at least 25 percent of the acreage planted to 
the covered commodity or peanuts in the State is not irrigated, 
the Secretary shall calculate a separate ACRE program guar-
antee for the irrigated and nonirrigated areas of the State 
for the covered commodity or peanuts. 
(e) ACTUAL
FARM
REVENUE.—For purposes of subsection 
(b)(2)(B)(i), the amount of the actual farm revenue for a crop year 
for a covered commodity or peanuts shall equal the amount deter-
mined by multiplying— 
(1) the actual yield for the covered commodity or peanuts 
of the producers on the farm; and 
(2) the national average market price for the crop year 
for the covered commodity or peanuts determined under sub-
section (c)(3). 
(f) FARM ACRE BENCHMARK REVENUE.—For purposes of sub-
section (b)(2)(B)(ii), the farm ACRE benchmark revenue for the 
crop year for a covered commodity or peanuts shall equal the 
sum obtained by adding— 
(1) the amount determined by multiplying— 
(A) the average yield per planted acre for the covered 
commodity or peanuts of the producers on the farm for 
the most recent 5 crop years, excluding each of the crop 
years with the highest and lowest yields; and 
(B) the ACRE program guarantee price for the 
applicable crop year for the covered commodity or peanuts 
in a State determined under subsection (d)(3); and 
(2) the amount of the per acre crop insurance premium 
required to be paid by the producers on the farm for the 
applicable crop year for the covered commodity or peanuts 
on the farm. 
(g) PAYMENT AMOUNT.—If ACRE payments are required to 
be paid for any of the 2009 through 2012 crop years of a covered 
commodity or peanuts under this section, the amount of the ACRE 
payment to be paid to the producers on the farm for the crop 
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122 STAT. 949 
PUBLIC LAW 110–234—MAY 22, 2008 
year under this section shall be equal to the product obtained 
by multiplying— 
(1) the lesser of— 
(A) the difference between— 
(i) the ACRE program guarantee for the crop year 
for the covered commodity or peanuts in the State 
determined under subsection (d); and 
(ii) the actual State revenue from the crop year 
for the covered commodity or peanuts in the State 
determined under subsection (c); and 
(B) 25 percent of the ACRE program guarantee for 
the crop year for the covered commodity or peanuts in 
the State determined under subsection (d); 
(2)(A) for each of the 2009 through 2011 crop years, 83.3 
percent of the acreage planted or considered planted to the 
covered commodity or peanuts for harvest on the farm in the 
crop year; and 
(B) for the 2012 crop year, 85 percent of the acreage planted 
or considered planted to the covered commodity or peanuts 
for harvest on the farm in the crop year; and 
(3) the quotient obtained by dividing— 
(A) the average yield per planted acre for the covered 
commodity or peanuts of the producers on the farm for 
the most recent 5 crop years, excluding each of the crop 
years with the highest and lowest yields; by 
(B) the benchmark State yield for the crop year, as 
determined under subsection (d)(2). 
SEC. 1106. PRODUCER AGREEMENT REQUIRED AS CONDITION OF 
PROVISION OF PAYMENTS. 
(a) COMPLIANCE WITH CERTAIN REQUIREMENTS.— 
(1) REQUIREMENTS.—Before the producers on a farm may 
receive direct payments, counter-cyclical payments, or average 
crop revenue election payments with respect to the farm, the 
producers shall agree, during the crop year for which the pay-
ments are made and in exchange for the payments— 
(A) to comply with applicable conservation require-
ments under subtitle B of title XII of the Food Security 
Act of 1985 (16 U.S.C. 3811 et seq.); 
(B) to comply with applicable wetland protection 
requirements under subtitle C of title XII of that Act (16 
U.S.C. 3821 et seq.); 
(C) to comply with the planting flexibility requirements 
of section 1107; 
(D) to use the land on the farm, in a quantity equal 
to the attributable base acres for the farm and any base 
acres for peanuts for the farm under subtitle C, for an 
agricultural or conserving use, and not for a non-
agricultural commercial, industrial, or residential use, as 
determined by the Secretary; and 
(E) to effectively control noxious weeds and otherwise 
maintain the land in accordance with sound agricultural 
practices, as determined by the Secretary, if the agricul-
tural or conserving use involves the noncultivation of any 
portion of the land referred to in subparagraph (D). 
7 USC 8716. 
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122 STAT. 950 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) COMPLIANCE.—The Secretary may issue such rules as 
the Secretary considers necessary to ensure producer compli-
ance with the requirements of paragraph (1). 
(3) MODIFICATION.—At the request of the transferee or 
owner, the Secretary may modify the requirements of this sub-
section if the modifications are consistent with the objectives 
of this subsection, as determined by the Secretary. 
(b) TRANSFER OR CHANGE OF INTEREST IN FARM.— 
(1) TERMINATION.— 
(A) IN GENERAL.—Except as provided in paragraph (2), 
a transfer of (or change in) the interest of the producers 
on a farm in base acres for which direct payments or 
counter-cyclical payments are made, or on which average 
crop revenue election payments are based, shall result in 
the termination of the direct payments, counter-cyclical 
payments, or average crop revenue election payments to 
the extent the payments are made or based on the base 
acres, unless the transferee or owner of the acreage agrees 
to assume all obligations under subsection (a). 
(B) EFFECTIVE DATE.—The termination shall take effect 
on the date determined by the Secretary. 
(2) EXCEPTION.—If a producer entitled to a direct payment, 
counter-cyclical payment, or average crop revenue election pay-
ment dies, becomes incompetent, or is otherwise unable to 
receive the payment, the Secretary shall make the payment, 
in accordance with rules issued by the Secretary. 
(c) REPORTS.— 
(1) ACREAGE REPORTS.—As a condition on the receipt of 
any benefits under this subtitle or subtitle B, the Secretary 
shall require producers on a farm to submit to the Secretary 
annual acreage reports with respect to all cropland on the 
farm. 
(2) PRODUCTION REPORTS.—As a condition on the receipt 
of any benefits under this subtitle or subtitle B, the Secretary 
shall require producers on a farm that receive payments under 
section 1105 to submit to the Secretary annual production 
reports with respect to all covered commodities and peanuts 
produced on the farm. 
(3) PENALTIES.—No penalty with respect to benefits under 
this subtitle or subtitle B shall be assessed against the pro-
ducers on a farm for an inaccurate acreage or production report 
unless the producers on the farm knowingly and willfully fal-
sified the acreage or production report. 
(d) TENANTS AND SHARECROPPERS.—In carrying out this sub-
title, the Secretary shall provide adequate safeguards to protect 
the interests of tenants and sharecroppers. 
(e) SHARING OF PAYMENTS.—The Secretary shall provide for 
the sharing of direct payments, counter-cyclical payments, or aver-
age crop revenue election payments among the producers on a 
farm on a fair and equitable basis. 
SEC. 1107. PLANTING FLEXIBILITY. 
(a) PERMITTED CROPS.—Subject to subsection (b), any com-
modity or crop may be planted on base acres on a farm. 
(b) LIMITATIONS REGARDING CERTAIN COMMODITIES.— 
(1) GENERAL LIMITATION.—The planting of an agricultural 
commodity specified in paragraph (3) shall be prohibited on 
7 USC 8717. 
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122 STAT. 951 
PUBLIC LAW 110–234—MAY 22, 2008 
base acres unless the commodity, if planted, is destroyed before 
harvest. 
(2) TREATMENT
OF
TREES
AND
OTHER
PERENNIALS.—The 
planting of an agricultural commodity specified in paragraph 
(3) that is produced on a tree or other perennial plant shall 
be prohibited on base acres. 
(3) COVERED AGRICULTURAL COMMODITIES.—Paragraphs (1) 
and (2) apply to the following agricultural commodities: 
(A) Fruits. 
(B) Vegetables (other than mung beans and pulse 
crops). 
(C) Wild rice. 
(c) EXCEPTIONS.—Paragraphs (1) and (2) of subsection (b) shall 
not limit the planting of an agricultural commodity specified in 
paragraph (3) of that subsection— 
(1) in any region in which there is a history of double- 
cropping of covered commodities with agricultural commodities 
specified in subsection (b)(3), as determined by the Secretary, 
in which case the double-cropping shall be permitted; 
(2) on a farm that the Secretary determines has a history 
of planting agricultural commodities specified in subsection 
(b)(3) on base acres, except that direct payments and counter- 
cyclical payments shall be reduced by an acre for each acre 
planted to such an agricultural commodity; or 
(3) by the producers on a farm that the Secretary deter-
mines has an established planting history of a specific agricul-
tural commodity specified in subsection (b)(3), except that— 
(A) the quantity planted may not exceed the average 
annual planting history of such agricultural commodity 
by the producers on the farm in the 1991 through 1995 
or 1998 through 2001 crop years (excluding any crop year 
in which no plantings were made), as determined by the 
Secretary; and 
(B) direct payments and counter-cyclical payments 
shall be reduced by an acre for each acre planted to such 
agricultural commodity. 
(d) PLANTING TRANSFERABILITY PILOT PROJECT.— 
(1) PILOT
PROJECT
AUTHORIZED.—Notwithstanding para-
graphs (1) and (2) of subsection (b) and in addition to the 
exceptions provided in subsection (c), the Secretary shall carry 
out a pilot project to permit the planting of cucumbers, green 
peas, lima beans, pumpkins, snap beans, sweet corn, and toma-
toes grown for processing on base acres during each of the 
2009 through 2012 crop years. 
(2) PILOT PROJECT STATES AND ACRES.—The number of base 
acres eligible during each crop year for the pilot project under 
paragraph (1) shall be— 
(A) 9,000 acres in the State of Illinois; 
(B) 9,000 acres in the State of Indiana; 
(C) 1,000 acres in the State of Iowa; 
(D) 9,000 acres in the State of Michigan; 
(E) 34,000 acres in the State of Minnesota; 
(F) 4,000 acres in the State of Ohio; and 
(G) 9,000 acres in the State of Wisconsin. 
(3) CONTRACT
AND
MANAGEMENT
REQUIREMENTS.—To be 
eligible for selection to participate in the pilot project, the 
producers on a farm shall— 
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122 STAT. 952 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) demonstrate to the Secretary that the producers 
on the farm have entered into a contract to produce a 
crop of a commodity specified in paragraph (1) for proc-
essing; 
(B) agree to produce the crop as part of a program 
of crop rotation on the farm to achieve agronomic and 
pest and disease management benefits; and 
(C) provide evidence of the disposition of the crop. 
(4) TEMPORARY REDUCTION IN BASE ACRES.—The base acres 
on a farm for a crop year shall be reduced by an acre for 
each acre planted under the pilot program. 
(5) DURATION OF REDUCTIONS.—The reduction in the base 
acres of a farm for a crop year under paragraph (4) shall 
expire at the end of the crop year. 
(6) RECALCULATION OF BASE ACRES.— 
(A) IN GENERAL.—If the Secretary recalculates base 
acres for a farm while the farm is included in the pilot 
project, the planting and production of a crop of a com-
modity specified in paragraph (1) on base acres for which 
a temporary reduction was made under this section shall 
be considered to be the same as the planting and production 
of a covered commodity. 
(B) PROHIBITION.—Nothing in this paragraph provides 
authority for the Secretary to recalculate base acres for 
a farm. 
(7) PILOT IMPACT EVALUATION.— 
(A) IN
GENERAL.—The Secretary shall periodically 
evaluate the pilot project conducted under this subsection 
to determine the effects of the pilot project on the supply 
and price of— 
(i) fresh fruits and vegetables; and 
(ii) fruits and vegetables for processing. 
(B) DETERMINATION.—An evaluation under subpara-
graph (A) shall include a determination as to whether— 
(i) producers of fresh fruits and vegetables are 
being negatively impacted; and 
(ii) existing production capacities are being sup-
planted. 
(C) REPORT.—As soon as practicable after conducting 
an evaluation under subparagraph (A), the Secretary shall 
submit to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate a report that describes 
the results of the evaluation. 
SEC. 1108. SPECIAL RULE FOR LONG GRAIN AND MEDIUM GRAIN RICE. 
(a) CALCULATION METHOD.—Subject to subsections (b) and (c), 
for the purposes of determining the amount of the counter-cyclical 
payments to be paid to the producers on a farm for long grain 
rice and medium grain rice under section 1104, the base acres 
of rice on the farm shall be apportioned using the 4-year average 
of the percentages of acreage planted in the applicable State to 
long grain rice and medium grain rice during the 2003 through 
2006 crop years, as determined by the Secretary. 
(b) PRODUCER ELECTION.—As an alternative to the calculation 
method described in subsection (a), the Secretary shall provide 
7 USC 8718. 
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122 STAT. 953 
PUBLIC LAW 110–234—MAY 22, 2008 
producers on a farm the opportunity to elect to apportion rice 
base acres on the farm using the 4-year average of— 
(1) the percentages of acreage planted on the farm to long 
grain rice and medium grain rice during the 2003 through 
2006 crop years; 
(2) the percentages of any acreage on the farm that the 
producers were prevented from planting to long grain rice and 
medium grain rice during the 2003 through 2006 crop years 
because of drought, flood, other natural disaster, or other condi-
tion beyond the control of the producers, as determined by 
the Secretary; and 
(3) in the case of a crop year for which a producer on 
a farm elected not to plant to long grain and medium grain 
rice during the 2003 through 2006 crop years, the percentages 
of acreage planted in the applicable State to long grain rice 
and medium grain rice, as determined by the Secretary. 
(c) LIMITATION.—In carrying out this section, the Secretary 
shall use the same total base acres, payment acres, and payment 
yields established with respect to rice under sections 1101 and 
1102 of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 7911, 7912), as in effect on September 30, 2007, subject 
to any adjustment under section 1101 of this Act. 
SEC. 1109. PERIOD OF EFFECTIVENESS. 
This subtitle shall be effective beginning with the 2008 crop 
year of each covered commodity through the 2012 crop year. 
Subtitle B—Marketing Assistance Loans 
and Loan Deficiency Payments 
SEC. 1201. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE 
LOANS FOR LOAN COMMODITIES. 
(a) NONRECOURSE LOANS AVAILABLE.— 
(1) AVAILABILITY.—For each of the 2008 through 2012 crops 
of each loan commodity, the Secretary shall make available 
to producers on a farm nonrecourse marketing assistance loans 
for loan commodities produced on the farm. 
(2) TERMS
AND
CONDITIONS.—The marketing assistance 
loans shall be made under terms and conditions that are pre-
scribed by the Secretary and at the loan rate established under 
section 1202 for the loan commodity. 
(b) ELIGIBLE PRODUCTION.—The producers on a farm shall be 
eligible for a marketing assistance loan under subsection (a) for 
any quantity of a loan commodity produced on the farm. 
(c) COMPLIANCE WITH CONSERVATION AND WETLANDS REQUIRE-
MENTS.—As a condition of the receipt of a marketing assistance 
loan under subsection (a), the producer shall comply with applicable 
conservation requirements under subtitle B of title XII of the Food 
Security Act of 1985 (16 U.S.C. 3811 et seq.) and applicable wetland 
protection requirements under subtitle C of title XII of that Act 
(16 U.S.C. 3821 et seq.) during the term of the loan. 
7 USC 8731. 
7 USC 8719. 
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122 STAT. 954 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE 
LOANS. 
(a) 2008 CROP YEAR.—For purposes of the 2008 crop year, 
the loan rate for a marketing assistance loan under section 1201 
for a loan commodity shall be equal to the following: 
(1) In the case of wheat, $2.75 per bushel. 
(2) In the case of corn, $1.95 per bushel. 
(3) In the case of grain sorghum, $1.95 per bushel. 
(4) In the case of barley, $1.85 per bushel. 
(5) In the case of oats, $1.33 per bushel. 
(6) In the case of base quality of upland cotton, $0.52 
per pound. 
(7) In the case of extra long staple cotton, $0.7977 per 
pound. 
(8) In the case of long grain rice, $6.50 per hundredweight. 
(9) In the case of medium grain rice, $6.50 per hundred-
weight. 
(10) In the case of soybeans, $5.00 per bushel. 
(11) In the case of other oilseeds, $9.30 per hundredweight 
for each of the following kinds of oilseeds: 
(A) Sunflower seed. 
(B) Rapeseed. 
(C) Canola. 
(D) Safflower. 
(E) Flaxseed. 
(F) Mustard seed. 
(G) Crambe. 
(H) Sesame seed. 
(I) Other oilseeds designated by the Secretary. 
(12) In the case of dry peas, $6.22 per hundredweight. 
(13) In the case of lentils, $11.72 per hundredweight. 
(14) In the case of small chickpeas, $7.43 per hundred-
weight. 
(15) In the case of graded wool, $1.00 per pound. 
(16) In the case of nongraded wool, $0.40 per pound. 
(17) In the case of mohair, $4.20 per pound. 
(18) In the case of honey, $0.60 per pound. 
(b) 2009 CROP YEAR.—Except as provided in section 1105, for 
purposes of the 2009 crop year, the loan rate for a marketing 
assistance loan under section 1201 for a loan commodity shall 
be equal to the following: 
(1) In the case of wheat, $2.75 per bushel. 
(2) In the case of corn, $1.95 per bushel. 
(3) In the case of grain sorghum, $1.95 per bushel. 
(4) In the case of barley, $1.85 per bushel. 
(5) In the case of oats, $1.33 per bushel. 
(6) In the case of base quality of upland cotton, $0.52 
per pound. 
(7) In the case of extra long staple cotton, $0.7977 per 
pound. 
(8) In the case of long grain rice, $6.50 per hundredweight. 
(9) In the case of medium grain rice, $6.50 per hundred-
weight. 
(10) In the case of soybeans, $5.00 per bushel. 
(11) In the case of other oilseeds, $9.30 per hundredweight 
for each of the following kinds of oilseeds: 
(A) Sunflower seed. 
7 USC 8732. 
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122 STAT. 955 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) Rapeseed. 
(C) Canola. 
(D) Safflower. 
(E) Flaxseed. 
(F) Mustard seed. 
(G) Crambe. 
(H) Sesame seed. 
(I) Other oilseeds designated by the Secretary. 
(12) In the case of dry peas, $5.40 per hundredweight. 
(13) In the case of lentils, $11.28 per hundredweight. 
(14) In the case of small chickpeas, $7.43 per hundred-
weight. 
(15) In the case of large chickpeas, $11.28 per hundred-
weight. 
(16) In the case of graded wool, $1.00 per pound. 
(17) In the case of nongraded wool, $0.40 per pound. 
(18) In the case of mohair, $4.20 per pound. 
(19) In the case of honey, $0.60 per pound. 
(c) 2010 THROUGH 2012 CROP YEARS.—Except as provided in 
section 1105, for purposes of each of the 2010 through 2012 crop 
years, the loan rate for a marketing assistance loan under section 
1201 for a loan commodity shall be equal to the following: 
(1) In the case of wheat, $2.94 per bushel. 
(2) In the case of corn, $1.95 per bushel. 
(3) In the case of grain sorghum, $1.95 per bushel. 
(4) In the case of barley, $1.95 per bushel. 
(5) In the case of oats, $1.39 per bushel. 
(6) In the case of base quality of upland cotton, $0.52 
per pound. 
(7) In the case of extra long staple cotton, $0.7977 per 
pound. 
(8) In the case of long grain rice, $6.50 per hundredweight. 
(9) In the case of medium grain rice, $6.50 per hundred-
weight. 
(10) In the case of soybeans, $5.00 per bushel. 
(11) In the case of other oilseeds, $10.09 per hundredweight 
for each of the following kinds of oilseeds: 
(A) Sunflower seed. 
(B) Rapeseed. 
(C) Canola. 
(D) Safflower. 
(E) Flaxseed. 
(F) Mustard seed. 
(G) Crambe. 
(H) Sesame seed. 
(I) Other oilseeds designated by the Secretary. 
(12) In the case of dry peas, $5.40 per hundredweight. 
(13) In the case of lentils, $11.28 per hundredweight. 
(14) In the case of small chickpeas, $7.43 per hundred-
weight. 
(15) In the case of large chickpeas, $11.28 per hundred-
weight. 
(16) In the case of graded wool, $1.15 per pound. 
(17) In the case of nongraded wool, $0.40 per pound. 
(18) In the case of mohair, $4.20 per pound. 
(19) In the case of honey, $0.69 per pound. 
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122 STAT. 956 
PUBLIC LAW 110–234—MAY 22, 2008 
(d) SINGLE COUNTY LOAN RATE FOR OTHER OILSEEDS.—The 
Secretary shall establish a single loan rate in each county for 
each kind of other oilseeds described in subsections (a)(11), (b)(11), 
and (c)(11). 
SEC. 1203. TERM OF LOANS. 
(a) TERM OF LOAN.—In the case of each loan commodity, a 
marketing assistance loan under section 1201 shall have a term 
of 9 months beginning on the first day of the first month after 
the month in which the loan is made. 
(b) EXTENSIONS PROHIBITED.—The Secretary may not extend 
the term of a marketing assistance loan for any loan commodity. 
SEC. 1204. REPAYMENT OF LOANS. 
(a) GENERAL RULE.—The Secretary shall permit the producers 
on a farm to repay a marketing assistance loan under section 
1201 for a loan commodity (other than upland cotton, long grain 
rice, medium grain rice, extra long staple cotton, and confectionery 
and each other kind of sunflower seed (other than oil sunflower 
seed)) at a rate that is the lesser of— 
(1) the loan rate established for the commodity under sec-
tion 1202, plus interest (determined in accordance with section 
163 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7283)); 
(2) a rate (as determined by the Secretary) that— 
(A) is calculated based on average market prices for 
the loan commodity during the preceding 30-day period; 
and 
(B) will minimize discrepancies in marketing loan bene-
fits across State boundaries and across county boundaries; 
or 
(3) a rate that the Secretary may develop using alternative 
methods for calculating a repayment rate for a loan commodity 
that the Secretary determines will— 
(A) minimize potential loan forfeitures; 
(B) minimize the accumulation of stocks of the com-
modity by the Federal Government; 
(C) minimize the cost incurred by the Federal Govern-
ment in storing the commodity; 
(D) allow the commodity produced in the United States 
to be marketed freely and competitively, both domestically 
and internationally; and 
(E) minimize discrepancies in marketing loan benefits 
across State boundaries and across county boundaries. 
(b) REPAYMENT RATES FOR UPLAND COTTON, LONG GRAIN RICE, 
AND MEDIUM GRAIN RICE.—The Secretary shall permit producers 
to repay a marketing assistance loan under section 1201 for upland 
cotton, long grain rice, and medium grain rice at a rate that is 
the lesser of— 
(1) the loan rate established for the commodity under sec-
tion 1202, plus interest (determined in accordance with section 
163 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7283)); or 
(2) the prevailing world market price for the commodity, 
as determined and adjusted by the Secretary in accordance 
with this section. 
(c) REPAYMENT RATES
FOR EXTRA LONG STAPLE COTTON.— 
Repayment of a marketing assistance loan for extra long staple 
7 USC 8734. 
7 USC 8733. 
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122 STAT. 957 
PUBLIC LAW 110–234—MAY 22, 2008 
cotton shall be at the loan rate established for the commodity 
under section 1202, plus interest (determined in accordance with 
section 163 of the Federal Agriculture Improvement and Reform 
Act of 1996 (7 U.S.C. 7283)). 
(d) PREVAILING WORLD MARKET PRICE.—For purposes of this 
section and section 1207, the Secretary shall prescribe by regula-
tion— 
(1) a formula to determine the prevailing world market 
price for each of upland cotton, long grain rice, and medium 
grain rice; and 
(2) a mechanism by which the Secretary shall announce 
periodically those prevailing world market prices. 
(e) ADJUSTMENT
OF PREVAILING WORLD MARKET PRICE
FOR 
UPLAND COTTON, LONG GRAIN RICE, AND MEDIUM GRAIN RICE.— 
(1) RICE.—The prevailing world market price for long grain 
rice and medium grain rice determined under subsection (d) 
shall be adjusted to United States quality and location. 
(2) COTTON.—The prevailing world market price for upland 
cotton determined under subsection (d)— 
(A) shall be adjusted to United States quality and 
location, with the adjustment to include— 
(i) a reduction equal to any United States Premium 
Factor for upland cotton of a quality higher than Mid-
dling (M) 13⁄32-inch; and 
(ii) the average costs to market the commodity, 
including average transportation costs, as determined 
by the Secretary; and 
(B) may be further adjusted, during the period begin-
ning on the date of enactment of this Act and ending 
on July 31, 2013, if the Secretary determines the adjust-
ment is necessary to— 
(i) minimize potential loan forfeitures; 
(ii) minimize the accumulation of stocks of upland 
cotton by the Federal Government; 
(iii) ensure that upland cotton produced in the 
United States can be marketed freely and competi-
tively, both domestically and internationally; and 
(iv) ensure an appropriate transition between cur-
rent-crop and forward-crop price quotations, except 
that the Secretary may use forward-crop price 
quotations prior to July 31 of a marketing year only 
if— 
(I) there are insufficient current-crop price 
quotations; and 
(II) the forward-crop price quotation is the 
lowest such quotation available. 
(3) GUIDELINES FOR ADDITIONAL ADJUSTMENTS.—In making 
adjustments under this subsection, the Secretary shall establish 
a mechanism for determining and announcing the adjustments 
in order to avoid undue disruption in the United States market. 
(f) REPAYMENT RATES FOR CONFECTIONERY AND OTHER KINDS 
OF SUNFLOWER SEEDS.—The Secretary shall permit the producers 
on a farm to repay a marketing assistance loan under section 
1201 for confectionery and each other kind of sunflower seed (other 
than oil sunflower seed) at a rate that is the lesser of— 
(1) the loan rate established for the commodity under sec-
tion 1202, plus interest (determined in accordance with section 
Regulations. 
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122 STAT. 958 
PUBLIC LAW 110–234—MAY 22, 2008 
163 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7283)); or 
(2) the repayment rate established for oil sunflower seed. 
(g) PAYMENT OF COTTON STORAGE COSTS.— 
(1) 2008 THROUGH
2011
CROP
YEARS.—Effective for each 
of the 2008 through 2011 crop years, the Secretary shall provide 
cotton storage payments in the same manner, and at the same 
rates as the Secretary provided storage payments for the 2006 
crop of cotton, except that the rates shall be reduced by 10 
percent. 
(2) SUBSEQUENT CROP YEARS.—Beginning with the 2012 
crop year, the Secretary shall provide cotton storage payments 
in the same manner, and at the same rates as the Secretary 
provided storage payments for the 2006 crop of cotton, except 
that the rates shall be reduced by 20 percent. 
(h) AUTHORITY TO TEMPORARILY ADJUST REPAYMENT RATES.— 
(1) ADJUSTMENT
AUTHORITY.—In the event of a severe 
disruption to marketing, transportation, or related infrastruc-
ture, the Secretary may modify the repayment rate otherwise 
applicable under this section for marketing assistance loans 
under section 1201 for a loan commodity. 
(2) DURATION.—Any adjustment made under paragraph (1) 
in the repayment rate for marketing assistance loans for a 
loan commodity shall be in effect on a short-term and temporary 
basis, as determined by the Secretary. 
SEC. 1205. LOAN DEFICIENCY PAYMENTS. 
(a) AVAILABILITY OF LOAN DEFICIENCY PAYMENTS.— 
(1) IN GENERAL.—Except as provided in subsection (d), the 
Secretary may make loan deficiency payments available to pro-
ducers on a farm that, although eligible to obtain a marketing 
assistance loan under section 1201 with respect to a loan com-
modity, agree to forgo obtaining the loan for the commodity 
in return for loan deficiency payments under this section. 
(2) UNSHORN PELTS, HAY, AND SILAGE.— 
(A) 
MARKETING
ASSISTANCE
LOANS.—Subject 
to 
subparagraph (B), nongraded wool in the form of unshorn 
pelts and hay and silage derived from a loan commodity 
are not eligible for a marketing assistance loan under sec-
tion 1201. 
(B) LOAN DEFICIENCY PAYMENT.—Effective for the 2008 
through 2012 crop years, the Secretary may make loan 
deficiency payments available under this section to pro-
ducers on a farm that produce unshorn pelts or hay and 
silage derived from a loan commodity. 
(b) COMPUTATION.—A loan deficiency payment for a loan com-
modity or commodity referred to in subsection (a)(2) shall be com-
puted by multiplying— 
(1) the payment rate determined under subsection (c) for 
the commodity; by 
(2) the quantity of the commodity produced by the eligible 
producers, excluding any quantity for which the producers 
obtain a marketing assistance loan under section 1201. 
(c) PAYMENT RATE.— 
(1) IN GENERAL.—In the case of a loan commodity, the 
payment rate shall be the amount by which— 
7 USC 8735. 
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122 STAT. 959 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) the loan rate established under section 1202 for 
the loan commodity; exceeds 
(B) the rate at which a marketing assistance loan 
for the loan commodity may be repaid under section 1204. 
(2) UNSHORN PELTS.—In the case of unshorn pelts, the 
payment rate shall be the amount by which— 
(A) the loan rate established under section 1202 for 
ungraded wool; exceeds 
(B) the rate at which a marketing assistance loan 
for ungraded wool may be repaid under section 1204. 
(3) HAY AND SILAGE.—In the case of hay or silage derived 
from a loan commodity, the payment rate shall be the amount 
by which— 
(A) the loan rate established under section 1202 for 
the loan commodity from which the hay or silage is derived; 
exceeds 
(B) the rate at which a marketing assistance loan 
for the loan commodity may be repaid under section 1204. 
(d) EXCEPTION FOR EXTRA LONG STAPLE COTTON.—This section 
shall not apply with respect to extra long staple cotton. 
(e) EFFECTIVE DATE FOR PAYMENT RATE DETERMINATION.—The 
Secretary shall determine the amount of the loan deficiency pay-
ment to be made under this section to the producers on a farm 
with respect to a quantity of a loan commodity or commodity 
referred to in subsection (a)(2) using the payment rate in effect 
under subsection (c) as of the date the producers request the pay-
ment. 
SEC. 1206. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR 
GRAZED ACREAGE. 
(a) ELIGIBLE PRODUCERS.— 
(1) IN GENERAL.—Effective for the 2008 through 2012 crop 
years, in the case of a producer that would be eligible for 
a loan deficiency payment under section 1205 for wheat, barley, 
or oats, but that elects to use acreage planted to the wheat, 
barley, or oats for the grazing of livestock, the Secretary shall 
make a payment to the producer under this section if the 
producer enters into an agreement with the Secretary to forgo 
any other harvesting of the wheat, barley, or oats on that 
acreage. 
(2) GRAZING OF TRITICALE ACREAGE.—Effective for the 2008 
through 2012 crop years, with respect to a producer on a 
farm that uses acreage planted to triticale for the grazing 
of livestock, the Secretary shall make a payment to the producer 
under this section if the producer enters into an agreement 
with the Secretary to forgo any other harvesting of triticale 
on that acreage. 
(b) PAYMENT AMOUNT.— 
(1) IN GENERAL.—The amount of a payment made under 
this section to a producer on a farm described in subsection 
(a)(1) shall be equal to the amount determined by multiplying— 
(A) the loan deficiency payment rate determined under 
section 1205(c) in effect, as of the date of the agreement, 
for the county in which the farm is located; by 
(B) the payment quantity determined by multiplying— 
7 USC 8736. 
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122 STAT. 960 
PUBLIC LAW 110–234—MAY 22, 2008 
(i) the quantity of the grazed acreage on the farm 
with respect to which the producer elects to forgo har-
vesting of wheat, barley, or oats; and 
(ii) the payment yield in effect for the calculation 
of direct payments under subtitle A with respect to 
that loan commodity on the farm or, in the case of 
a farm without a payment yield for that loan com-
modity, an appropriate yield established by the Sec-
retary in a manner consistent with section 1102 of 
the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 7912). 
(2) GRAZING OF TRITICALE ACREAGE.—The amount of a pay-
ment made under this section to a producer on a farm described 
in subsection (a)(2) shall be equal to the amount determined 
by multiplying— 
(A) the loan deficiency payment rate determined under 
section 1205(c) in effect for wheat, as of the date of the 
agreement, for the county in which the farm is located; 
by 
(B) the payment quantity determined by multiplying— 
(i) the quantity of the grazed acreage on the farm 
with respect to which the producer elects to forgo har-
vesting of triticale; and 
(ii) the payment yield in effect for the calculation 
of direct payments under subtitle A with respect to 
wheat on the farm or, in the case of a farm without 
a payment yield for wheat, an appropriate yield estab-
lished by the Secretary in a manner consistent with 
section 1102 of the Farm Security and Rural Invest-
ment Act of 2002 (7 U.S.C. 7912). 
(c) TIME, MANNER, AND AVAILABILITY OF PAYMENT.— 
(1) TIME AND MANNER.—A payment under this section shall 
be made at the same time and in the same manner as loan 
deficiency payments are made under section 1205. 
(2) AVAILABILITY.— 
(A) IN
GENERAL.—The Secretary shall establish an 
availability period for the payments authorized by this 
section. 
(B) CERTAIN
COMMODITIES.—In the case of wheat, 
barley, and oats, the availability period shall be consistent 
with the availability period for the commodity established 
by the Secretary for marketing assistance loans authorized 
by this subtitle. 
(d) PROHIBITION
ON CROP INSURANCE INDEMNITY
OR NON-
INSURED CROP ASSISTANCE.—A 2008 through 2012 crop of wheat, 
barley, oats, or triticale planted on acreage that a producer elects, 
in the agreement required by subsection (a), to use for the grazing 
of livestock in lieu of any other harvesting of the crop shall not 
be eligible for an indemnity under a policy or plan of insurance 
authorized under the Federal Crop Insurance Act (7 U.S.C. 1501 
et seq.) or noninsured crop assistance under section 196 of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7333). 
SEC. 1207. SPECIAL MARKETING LOAN PROVISIONS FOR UPLAND 
COTTON. 
(a) SPECIAL IMPORT QUOTA.— 
7 USC 8737. 
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122 STAT. 961 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) DEFINITION OF SPECIAL IMPORT QUOTA.—In this sub-
section, the term ‘‘special import quota’’ means a quantity of 
imports that is not subject to the over-quota tariff rate of 
a tariff-rate quota. 
(2) ESTABLISHMENT.— 
(A) IN GENERAL.—The President shall carry out an 
import quota program during the period beginning on the 
date of enactment of this Act through July 31, 2013, as 
provided in this subsection. 
(B) PROGRAM REQUIREMENTS.—Whenever the Secretary 
determines and announces that for any consecutive 4-week 
period, the Friday through Thursday average price 
quotation for the lowest-priced United States growth, as 
quoted for Middling (M) 13⁄32-inch cotton, delivered to a 
definable and significant international market, as deter-
mined by the Secretary, exceeds the prevailing world 
market price, there shall immediately be in effect a special 
import quota. 
(3) QUANTITY.—The quota shall be equal to 1 week’s 
consumption of cotton by domestic mills at the seasonally 
adjusted average rate of the most recent 3 months for which 
data are available. 
(4) APPLICATION.—The quota shall apply to upland cotton 
purchased not later than 90 days after the date of the Sec-
retary’s announcement under paragraph (2) and entered into 
the United States not later than 180 days after that date. 
(5) OVERLAP.—A special quota period may be established 
that overlaps any existing quota period if required by paragraph 
(2), except that a special quota period may not be established 
under this subsection if a quota period has been established 
under subsection (b). 
(6) PREFERENTIAL TARIFF TREATMENT.—The quantity under 
a special import quota shall be considered to be an in-quota 
quantity for purposes of— 
(A) section 213(d) of the Caribbean Basin Economic 
Recovery Act (19 U.S.C. 2703(d)); 
(B) section 204 of the Andean Trade Preference Act 
(19 U.S.C. 3203); 
(C) section 503(d) of the Trade Act of 1974 (19 U.S.C. 
2463(d)); and 
(D) General Note 3(a)(iv) to the Harmonized Tariff 
Schedule. 
(7) LIMITATION.—The quantity of cotton entered into the 
United States during any marketing year under the special 
import quota established under this subsection may not exceed 
the equivalent of 10 week’s consumption of upland cotton by 
domestic mills at the seasonally adjusted average rate of the 
3 months immediately preceding the first special import quota 
established in any marketing year. 
(b) LIMITED GLOBAL IMPORT QUOTA FOR UPLAND COTTON.— 
(1) DEFINITIONS.—In this subsection: 
(A) SUPPLY.—The term ‘‘supply’’ means, using the 
latest official data of the Bureau of the Census, the Depart-
ment of Agriculture, and the Department of the Treasury— 
(i) the carry-over of upland cotton at the beginning 
of the marketing year (adjusted to 480-pound bales) 
in which the quota is established; 
Deadlines. 
President. 
Time period. 
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122 STAT. 962 
PUBLIC LAW 110–234—MAY 22, 2008 
(ii) production of the current crop; and 
(iii) imports to the latest date available during 
the marketing year. 
(B) DEMAND.—The term ‘‘demand’’ means— 
(i) the average seasonally adjusted annual rate 
of domestic mill consumption of cotton during the most 
recent 3 months for which data are available; and 
(ii) the larger of— 
(I) average exports of upland cotton during 
the preceding 6 marketing years; or 
(II) cumulative exports of upland cotton plus 
outstanding export sales for the marketing year 
in which the quota is established. 
(C) LIMITED GLOBAL IMPORT QUOTA.—The term ‘‘limited 
global import quota’’ means a quantity of imports that 
is not subject to the over-quota tariff rate of a tariff-rate 
quota. 
(2) PROGRAM.—The President shall carry out an import 
quota program that provides that whenever the Secretary deter-
mines and announces that the average price of the base quality 
of upland cotton, as determined by the Secretary, in the des-
ignated spot markets for a month exceeded 130 percent of 
the average price of the quality of cotton in the markets for 
the preceding 36 months, notwithstanding any other provision 
of law, there shall immediately be in effect a limited global 
import quota subject to the following conditions: 
(A) QUANTITY.—The quantity of the quota shall be 
equal to 21 days of domestic mill consumption of upland 
cotton at the seasonally adjusted average rate of the most 
recent 3 months for which data are available or as esti-
mated by the Secretary. 
(B) QUANTITY IF PRIOR QUOTA.—If a quota has been 
established under this subsection during the preceding 12 
months, the quantity of the quota next established under 
this subsection shall be the smaller of 21 days of domestic 
mill consumption calculated under subparagraph (A) or 
the quantity required to increase the supply to 130 percent 
of the demand. 
(C) PREFERENTIAL TARIFF TREATMENT.—The quantity 
under a limited global import quota shall be considered 
to be an in-quota quantity for purposes of— 
(i) section 213(d) of the Caribbean Basin Economic 
Recovery Act (19 U.S.C. 2703(d)); 
(ii) section 204 of the Andean Trade Preference 
Act (19 U.S.C. 3203); 
(iii) section 503(d) of the Trade Act of 1974 (19 
U.S.C. 2463(d)); and 
(iv) General Note 3(a)(iv) to the Harmonized Tariff 
Schedule. 
(D) QUOTA ENTRY PERIOD.—When a quota is estab-
lished under this subsection, cotton may be entered under 
the quota during the 90-day period beginning on the date 
the quota is established by the Secretary. 
(3) NO OVERLAP.—Notwithstanding paragraph (2), a quota 
period may not be established that overlaps an existing quota 
period or a special quota period established under subsection 
(a). 
President. 
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122 STAT. 963 
PUBLIC LAW 110–234—MAY 22, 2008 
(c) ECONOMIC ADJUSTMENT ASSISTANCE TO USERS OF UPLAND 
COTTON.— 
(1) IN GENERAL.—Subject to paragraph (2), the Secretary 
shall, on a monthly basis, provide economic adjustment assist-
ance to domestic users of upland cotton in the form of payments 
for all documented use of that upland cotton during the previous 
monthly period regardless of the origin of the upland cotton. 
(2) VALUE OF ASSISTANCE.— 
(A) BEGINNING PERIOD.—During the period beginning 
on August 1, 2008, and ending on July 31, 2012, the value 
of the assistance provided under paragraph (1) shall be 
4 cents per pound. 
(B) SUBSEQUENT
PERIOD.—Effective beginning on 
August 1, 2012, the value of the assistance provided under 
paragraph (1) shall be 3 cents per pound. 
(3) ALLOWABLE
PURPOSES.—Economic adjustment assist-
ance under this subsection shall be made available only to 
domestic users of upland cotton that certify that the assistance 
shall be used only to acquire, construct, install, modernize, 
develop, convert, or expand land, plant, buildings, equipment, 
facilities, or machinery. 
(4) REVIEW OR AUDIT.—The Secretary may conduct such 
review or audit of the records of a domestic user under this 
subsection as the Secretary determines necessary to carry out 
this subsection. 
(5) IMPROPER USE OF ASSISTANCE.—If the Secretary deter-
mines, after a review or audit of the records of the domestic 
user, that economic adjustment assistance under this subsection 
was not used for the purposes specified in paragraph (3), the 
domestic user shall be— 
(A) liable to repay the assistance to the Secretary, 
plus interest, as determined by the Secretary; and 
(B) ineligible to receive assistance under this sub-
section for a period of 1 year following the determination 
of the Secretary. 
SEC. 1208. SPECIAL COMPETITIVE PROVISIONS FOR EXTRA LONG 
STAPLE COTTON. 
(a) COMPETITIVENESS PROGRAM.—Notwithstanding any other 
provision of law, during the period beginning on the date of enact-
ment of this Act through July 31, 2013, the Secretary shall carry 
out a program— 
(1) to maintain and expand the domestic use of extra long 
staple cotton produced in the United States; 
(2) to increase exports of extra long staple cotton produced 
in the United States; and 
(3) to ensure that extra long staple cotton produced in 
the United States remains competitive in world markets. 
(b) PAYMENTS UNDER PROGRAM; TRIGGER.—Under the program, 
the Secretary shall make payments available under this section 
whenever— 
(1) for a consecutive 4-week period, the world market price 
for the lowest priced competing growth of extra long staple 
cotton (adjusted to United States quality and location and 
for other factors affecting the competitiveness of such cotton), 
as determined by the Secretary, is below the prevailing United 
Effective date. 
Termination 
date. 
7 USC 8738. 
Effective date. 
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122 STAT. 964 
PUBLIC LAW 110–234—MAY 22, 2008 
States price for a competing growth of extra long staple cotton; 
and 
(2) the lowest priced competing growth of extra long staple 
cotton (adjusted to United States quality and location and 
for other factors affecting the competitiveness of such cotton), 
as determined by the Secretary, is less than 134 percent of 
the loan rate for extra long staple cotton. 
(c) ELIGIBLE RECIPIENTS.—The Secretary shall make payments 
available under this section to domestic users of extra long staple 
cotton produced in the United States and exporters of extra long 
staple cotton produced in the United States that enter into an 
agreement with the Commodity Credit Corporation to participate 
in the program under this section. 
(d) PAYMENT AMOUNT.—Payments under this section shall be 
based on the amount of the difference in the prices referred to 
in subsection (b)(1) during the fourth week of the consecutive 4- 
week period multiplied by the amount of documented purchases 
by domestic users and sales for export by exporters made in the 
week following such a consecutive 4-week period. 
SEC. 1209. AVAILABILITY OF RECOURSE LOANS FOR HIGH MOISTURE 
FEED GRAINS AND SEED COTTON. 
(a) HIGH MOISTURE FEED GRAINS.— 
(1) DEFINITION
OF
HIGH
MOISTURE
STATE.—In this sub-
section, the term ‘‘high moisture state’’ means corn or grain 
sorghum having a moisture content in excess of Commodity 
Credit Corporation standards for marketing assistance loans 
made by the Secretary under section 1201. 
(2) RECOURSE
LOANS
AVAILABLE.—For each of the 2008 
through 2012 crops of corn and grain sorghum, the Secretary 
shall make available recourse loans, as determined by the 
Secretary, to producers on a farm that— 
(A) normally harvest all or a portion of their crop 
of corn or grain sorghum in a high moisture state; 
(B) present— 
(i) certified scale tickets from an inspected, cer-
tified commercial scale, including a licensed warehouse, 
feedlot, feed mill, distillery, or other similar entity 
approved by the Secretary, pursuant to regulations 
issued by the Secretary; or 
(ii) field or other physical measurements of the 
standing or stored crop in regions of the United States, 
as determined by the Secretary, that do not have cer-
tified commercial scales from which certified scale 
tickets may be obtained within reasonable proximity 
of harvest operation; 
(C) certify that they were the owners of the feed grain 
at the time of delivery to, and that the quantity to be 
placed under loan under this subsection was in fact har-
vested on the farm and delivered to, a feedlot, feed mill, 
or commercial or on-farm high-moisture storage facility, 
or to a facility maintained by the users of corn and grain 
sorghum in a high moisture state; and 
(D) comply with deadlines established by the Secretary 
for harvesting the corn or grain sorghum and submit 
applications for loans under this subsection within dead-
lines established by the Secretary. 
Certification. 
7 USC 8739. 
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122 STAT. 965 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) ELIGIBILITY OF ACQUIRED FEED GRAINS.—A loan under 
this subsection shall be made on a quantity of corn or grain 
sorghum of the same crop acquired by the producer equivalent 
to a quantity determined by multiplying— 
(A) the acreage of the corn or grain sorghum in a 
high moisture state harvested on the producer’s farm; by 
(B) the lower of the farm program payment yield used 
to make counter-cyclical payments under subtitle A or the 
actual yield on a field, as determined by the Secretary, 
that is similar to the field from which the corn or grain 
sorghum was obtained. 
(b) RECOURSE LOANS AVAILABLE FOR SEED COTTON.—For each 
of the 2008 through 2012 crops of upland cotton and extra long 
staple cotton, the Secretary shall make available recourse seed 
cotton loans, as determined by the Secretary, on any production. 
(c) REPAYMENT RATES.—Repayment of a recourse loan made 
under this section shall be at the loan rate established for the 
commodity by the Secretary, plus interest (determined in accordance 
with section 163 of the Federal Agriculture Improvement and 
Reform Act of 1996 (7 U.S.C. 7283)). 
SEC. 1210. ADJUSTMENTS OF LOANS. 
(a) ADJUSTMENT AUTHORITY.—Subject to subsection (e), the Sec-
retary may make appropriate adjustments in the loan rates for 
any loan commodity (other than cotton) for differences in grade, 
type, quality, location, and other factors. 
(b) MANNER
OF ADJUSTMENT.—The adjustments under sub-
section (a) shall, to the maximum extent practicable, be made 
in such a manner that the average loan level for the commodity 
will, on the basis of the anticipated incidence of the factors, be 
equal to the level of support determined in accordance with this 
subtitle and subtitles B through E. 
(c) ADJUSTMENT ON COUNTY BASIS.— 
(1) IN GENERAL.—The Secretary may establish loan rates 
for a crop for producers in individual counties in a manner 
that results in the lowest loan rate being 95 percent of the 
national average loan rate, if those loan rates do not result 
in an increase in outlays. 
(2) PROHIBITION.—Adjustments under this subsection shall 
not result in an increase in the national average loan rate 
for any year. 
(d) ADJUSTMENT IN LOAN RATE FOR COTTON.— 
(1) IN
GENERAL.—The Secretary may make appropriate 
adjustments in the loan rate for cotton for differences in quality 
factors. 
(2) REVISIONS
TO
QUALITY
ADJUSTMENTS
FOR
UPLAND 
COTTON.— 
(A) IN GENERAL.—Not later than 180 days after the 
date of enactment of this Act, the Secretary shall imple-
ment revisions in the administration of the marketing 
assistance loan program for upland cotton to more 
accurately and efficiently reflect market values for upland 
cotton. 
(B) MANDATORY REVISIONS.—Revisions under subpara-
graph (A) shall include— 
(i) the elimination of warehouse location differen-
tials; 
Deadline. 
7 USC 8740. 
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122 STAT. 966 
PUBLIC LAW 110–234—MAY 22, 2008 
(ii) the establishment of differentials for the var-
ious quality factors and staple lengths of cotton based 
on a 3-year, weighted moving average of the weighted 
designated spot market regions, as determined by 
regional production; 
(iii) the elimination of any artificial split in the 
premium or discount between upland cotton with a 
32 or 33 staple length due to micronaire; and 
(iv) a mechanism to ensure that no premium or 
discount is established that exceeds the premium or 
discount associated with a leaf grade that is 1 better 
than the applicable color grade. 
(C) 
DISCRETIONARY
REVISIONS.—Revisions 
under 
subparagraph (A) may include— 
(i) the use of non-spot market price data, in addi-
tion to spot market price data, that would enhance 
the accuracy of the price information used in deter-
mining quality adjustments under this subsection; 
(ii) adjustments in the premiums or discounts asso-
ciated with upland cotton with a staple length of 33 
or above due to micronaire with the goal of eliminating 
any unnecessary artificial splits in the calculations 
of the premiums or discounts; and 
(iii) such other adjustments as the Secretary deter-
mines appropriate, after consultations conducted in 
accordance with paragraph (3). 
(3) CONSULTATION WITH PRIVATE SECTOR.— 
(A) PRIOR
TO
REVISION.—In making adjustments to 
the loan rate for cotton (including any review of the adjust-
ments) as provided in this subsection, the Secretary shall 
consult with representatives of the United States cotton 
industry. 
(B) INAPPLICABILITY OF FEDERAL ADVISORY COMMITTEE 
ACT.—The Federal Advisory Committee Act (5 U.S.C. App.) 
shall not apply to consultations under this subsection. 
(4) REVIEW OF ADJUSTMENTS.—The Secretary may review 
the operation of the upland cotton quality adjustments imple-
mented pursuant to this subsection and may make further 
revisions to the administration of the loan program for upland 
cotton, by— 
(A) revoking or revising any actions taken under para-
graph (2)(B); or 
(B) revoking or revising any actions taken or author-
ized to be taken under paragraph (2)(C). 
(e) RICE.—The Secretary shall not make adjustments in the 
loan rates for long grain rice and medium grain rice, except for 
differences in grade and quality (including milling yields). 
Subtitle C—Peanuts 
SEC. 1301. DEFINITIONS. 
In this subtitle: 
(1) BASE ACRES FOR PEANUTS.— 
(A) IN GENERAL.—The term ‘‘base acres for peanuts’’ 
means the number of acres assigned to a farm pursuant 
to section 1302 of the Farm Security and Rural Investment 
7 USC 8751. 
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122 STAT. 967 
PUBLIC LAW 110–234—MAY 22, 2008 
Act of 2002 (7 U.S.C. 7952), as in effect on September 
30, 2007, subject to any adjustment under section 1302 
of this Act. 
(B) COVERED COMMODITIES.—The term ‘‘base acres’’, 
with respect to a covered commodity, has the meaning 
given the term in section 1101. 
(2) COUNTER-CYCLICAL
PAYMENT.—The term ‘‘counter- 
cyclical payment’’ means a payment made to producers on 
a farm under section 1304. 
(3) DIRECT PAYMENT.—The term ‘‘direct payment’’ means 
a direct payment made to producers on a farm under section 
1303. 
(4) EFFECTIVE
PRICE.—The term ‘‘effective price’’ means 
the price calculated by the Secretary under section 1304 for 
peanuts to determine whether counter-cyclical payments are 
required to be made under that section for a crop year. 
(5) PAYMENT ACRES.—The term ‘‘payment acres’’ means, 
in the case of direct payments and counter-cyclical payments— 
(A) except as provided in subparagraph (B), 85 percent 
of the base acres of peanuts on a farm on which direct 
payments or counter-cyclical payments are made; and 
(B) in the case of direct payments for each of the 
2009 through 2011 crop years, 83.3 percent of the base 
acres for peanuts on a farm on which direct payments 
are made. 
(6) PAYMENT YIELD.—The term ‘‘payment yield’’ means the 
yield established for direct payments and the yield established 
for counter-cyclical payments under section 1302 of the Farm 
Security and Rural Investment Act of 2002 (7 U.S.C. 7952), 
as in effect on September 30, 2007, for a farm for peanuts. 
(7) PRODUCER.— 
(A) IN
GENERAL.—The term ‘‘producer’’ means an 
owner, operator, landlord, tenant, or sharecropper that 
shares in the risk of producing a crop on a farm and 
is entitled to share in the crop available for marketing 
from the farm, or would have shared had the crop been 
produced. 
(B) HYBRID SEED.—In determining whether a grower 
of hybrid seed is a producer, the Secretary shall— 
(i) not take into consideration the existence of a 
hybrid seed contract; and 
(ii) ensure that program requirements do not 
adversely affect the ability of the grower to receive 
a payment under this subtitle. 
(8) STATE.—The term ‘‘State’’ means— 
(A) a State; 
(B) the District of Columbia; 
(C) the Commonwealth of Puerto Rico; and 
(D) any other territory or possession of the United 
States. 
(9) TARGET PRICE.—The term ‘‘target price’’ means the price 
per ton of peanuts used to determine the payment rate for 
counter-cyclical payments. 
(10) UNITED STATES.—The term ‘‘United States’’, when used 
in a geographical sense, means all of the States. 
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122 STAT. 968 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 1302. BASE ACRES FOR PEANUTS FOR A FARM. 
(a) ADJUSTMENT OF BASE ACREAGE FOR PEANUTS.— 
(1) IN GENERAL.—The Secretary shall provide for an adjust-
ment, as appropriate, in the base acres for peanuts for a farm 
whenever any of the following circumstances occur: 
(A) A conservation reserve contract entered into under 
section 1231 of the Food Security Act of 1985 (16 U.S.C. 
3831) with respect to the farm expires or is voluntarily 
terminated, or was terminated or expired during the period 
beginning on October 1, 2007, and ending on the date 
of enactment of this Act. 
(B) Cropland is released from coverage under a con-
servation reserve contract by the Secretary, or was released 
during the period beginning on October 1, 2007, and ending 
on the date of enactment of this Act. 
(C) The producer has eligible pulse crop acreage, which 
shall be determined in the same manner as eligible oilseed 
acreage under section 1101(a)(2) of the Farm Security and 
Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)). 
(D) The producer has eligible oilseed acreage as the 
result of the Secretary designating additional oilseeds, 
which shall be determined in the same manner as eligible 
oilseed acreage under section 1101(a)(2) of the Farm Secu-
rity and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)). 
(2) SPECIAL
CONSERVATION
RESERVE
ACREAGE
PAYMENT 
RULES.—For the crop year in which a base acres for peanuts 
adjustment under subparagraph (A) or (B) of paragraph (1) 
is first made, the owner of the farm shall elect to receive 
either direct payments and counter-cyclical payments with 
respect to the acreage added to the farm under this subsection 
or a prorated payment under the conservation reserve contract, 
but not both. 
(b) PREVENTION OF EXCESS BASE ACRES FOR PEANUTS.— 
(1) REQUIRED REDUCTION.—If the sum of the base acres 
for peanuts for a farm, together with the acreage described 
in paragraph (2), exceeds the actual cropland acreage of the 
farm, the Secretary shall reduce the base acres for peanuts 
for the farm or the base acres for 1 or more covered commodities 
for the farm so that the sum of the base acres for peanuts 
and acreage described in paragraph (2) does not exceed the 
actual cropland acreage of the farm. 
(2) OTHER ACREAGE.—For purposes of paragraph (1), the 
Secretary shall include the following: 
(A) Any base acres for the farm for a covered com-
modity. 
(B) Any acreage on the farm enrolled in the conserva-
tion reserve program or wetlands reserve program under 
chapter 1 of subtitle D of title XII of the Food Security 
Act of 1985 (16 U.S.C. 3830 et seq.). 
(C) Any other acreage on the farm enrolled in a Federal 
conservation program for which payments are made in 
exchange for not producing an agricultural commodity on 
the acreage. 
(D) Any eligible pulse crop acreage, which shall be 
determined in the same manner as eligible oilseed acreage 
under section 1101(a)(2) of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 7911(a)(2)). 
7 USC 8752. 
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122 STAT. 969 
PUBLIC LAW 110–234—MAY 22, 2008 
(E) If the Secretary designates additional oilseeds, any 
eligible oilseed acreage, which shall be determined in the 
same manner as eligible oilseed acreage under section 
1101(a)(2) of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 7911(a)(2)). 
(3) SELECTION
OF
ACRES.—The Secretary shall give the 
owner of the farm the opportunity to select the base acres 
for peanuts or the base acres for covered commodities against 
which the reduction required by paragraph (1) will be made. 
(4) 
EXCEPTION
FOR
DOUBLE-CROPPED
ACREAGE.—In 
applying paragraph (1), the Secretary shall make an exception 
in the case of double cropping, as determined by the Secretary. 
(5) COORDINATED
APPLICATION
OF
REQUIREMENTS.—The 
Secretary shall take into account section 1101(b) when applying 
the requirements of this subsection. 
(c) REDUCTION IN BASE ACRES.— 
(1) REDUCTION AT OPTION OF OWNER.— 
(A) IN GENERAL.—The owner of a farm may reduce, 
at any time, the base acres for peanuts for the farm. 
(B) 
EFFECT
OF
REDUCTION.—A 
reduction 
under 
subparagraph (A) shall be permanent and made in a 
manner prescribed by the Secretary. 
(2) REQUIRED ACTION BY SECRETARY.— 
(A) IN GENERAL.—The Secretary shall proportionately 
reduce base acres on a farm for peanuts for land that 
has been subdivided and developed for multiple residential 
units or other nonfarming uses if the size of the tracts 
and the density of the subdivision is such that the land 
is unlikely to return to the previous agricultural use, unless 
the producers on the farm demonstrate that the land— 
(i) remains devoted to commercial agricultural 
production; or 
(ii) is likely to be returned to the previous agricul-
tural use. 
(B) REQUIREMENT.—The Secretary shall establish 
procedures to identify land described in subparagraph (A). 
(3) REVIEW
AND
REPORT.—Each year, to ensure, to the 
maximum extent practicable, that payments are received only 
by producers, the Secretary shall submit to Congress a report 
that describes the results of the actions taken under paragraph 
(2). 
(d) TREATMENT OF FARMS WITH LIMITED BASE ACRES.— 
(1) PROHIBITION
ON
PAYMENTS.—Except as provided in 
paragraph (2) and notwithstanding any other provision of this 
title, a producer on a farm may not receive direct payments, 
counter-cyclical payments, or average crop revenue election pay-
ments if the sum of the base acres of the farm is 10 acres 
or less, as determined by the Secretary. 
(2) EXCEPTIONS.—Paragraph (1) shall not apply to a farm 
owned by— 
(A) a socially disadvantaged farmer or rancher (as 
defined in section 355(e) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 2003(e)); or 
(B) a limited resource farmer or rancher, as defined 
by the Secretary. 
(3) DATA
COLLECTION
AND
PUBLICATION.—The Secretary 
shall— 
Procedures. 
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122 STAT. 970 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) collect and publish segregated data and survey 
information about the farm profiles, utilization of land, 
and crop production; and 
(B) perform an evaluation on the supply and price 
of fruits and vegetables based on the effects of suspension 
of base acres under this section. 
SEC. 1303. AVAILABILITY OF DIRECT PAYMENTS FOR PEANUTS. 
(a) PAYMENT REQUIRED.—For each of the 2008 through 2012 
crop years for peanuts, the Secretary shall make direct payments 
to the producers on a farm for which a payment yield and base 
acres for peanuts are established. 
(b) PAYMENT RATE.—Except as provided in section 1105, the 
payment rate used to make direct payments with respect to peanuts 
for a crop year shall be equal to $36 per ton. 
(c) PAYMENT AMOUNT.—The amount of the direct payment to 
be paid to the producers on a farm for peanuts for a crop year 
shall be equal to the product of the following: 
(1) The payment rate specified in subsection (b). 
(2) The payment acres on the farm. 
(3) The payment yield for the farm. 
(d) TIME FOR PAYMENT.— 
(1) IN GENERAL.—Except as provided in paragraph (2), in 
the case of each of the 2008 through 2012 crop years, the 
Secretary may not make direct payments under this section 
before October 1 of the calendar year in which the crop is 
harvested. 
(2) ADVANCE PAYMENTS.— 
(A) OPTION.— 
(i) IN GENERAL.—At the option of the producers 
on a farm, the Secretary shall pay in advance up 
to 22 percent of the direct payment for peanuts for 
any of the 2008 through 2011 crop years to the pro-
ducers on a farm. 
(ii) 2008 CROP YEAR.—If the producers on a farm 
elect to receive advance direct payments under clause 
(i) for peanuts for the 2008 crop year, as soon as 
practicable after the election, the Secretary shall make 
the advance direct payment to the producers on the 
farm. 
(B) MONTH.— 
(i) SELECTION.—Subject to clauses (ii) and (iii), 
the producers on a farm shall select the month during 
which the advance payment for a crop year will be 
made. 
(ii) OPTIONS.—The month selected may be any 
month during the period— 
(I) beginning on December 1 of the calendar 
year before the calendar year in which the crop 
of peanuts is harvested; and 
(II) ending during the month within which 
the direct payment would otherwise be made. 
(iii) CHANGE.—The producers on a farm may 
change the selected month for a subsequent advance 
payment by providing advance notice to the Secretary. 
(3) REPAYMENT OF ADVANCE PAYMENTS.—If a producer on 
a farm that receives an advance direct payment for a crop 
7 USC 8753. 
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122 STAT. 971 
PUBLIC LAW 110–234—MAY 22, 2008 
year ceases to be a producer on that farm, or the extent to 
which the producer shares in the risk of producing a crop 
changes, before the date the remainder of the direct payment 
is made, the producer shall be responsible for repaying the 
Secretary the applicable amount of the advance payment, as 
determined by the Secretary. 
SEC. 1304. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS FOR PEA-
NUTS. 
(a) PAYMENT REQUIRED.—Except as provided in section 1105, 
for each of the 2008 through 2012 crop years for peanuts, the 
Secretary shall make counter-cyclical payments to producers on 
farms for which payment yields and base acres for peanuts are 
established if the Secretary determines that the effective price 
for peanuts is less than the target price for peanuts. 
(b) EFFECTIVE PRICE.—For purposes of subsection (a), the effec-
tive price for peanuts is equal to the sum of the following: 
(1) The higher of the following: 
(A) The national average market price for peanuts 
received by producers during the 12-month marketing year 
for peanuts, as determined by the Secretary. 
(B) The national average loan rate for a marketing 
assistance loan for peanuts in effect for the applicable 
period under this subtitle. 
(2) The payment rate in effect for peanuts under section 
1303 for the purpose of making direct payments. 
(c) TARGET PRICE.—For purposes of subsection (a), the target 
price for peanuts shall be equal to $495 per ton. 
(d) PAYMENT RATE.—The payment rate used to make counter- 
cyclical payments for a crop year shall be equal to the difference 
between— 
(1) the target price for peanuts; and 
(2) the effective price determined under subsection (b) for 
peanuts. 
(e) PAYMENT
AMOUNT.—If counter-cyclical payments are 
required to be paid for any of the 2008 through 2012 crops of 
peanuts, the amount of the counter-cyclical payment to be paid 
to the producers on a farm for that crop year shall be equal 
to the product of the following: 
(1) The payment rate specified in subsection (d). 
(2) The payment acres on the farm. 
(3) The payment yield for the farm. 
(f) TIME FOR PAYMENTS.— 
(1) GENERAL RULE.—Except as provided in paragraph (2), 
if the Secretary determines under subsection (a) that counter- 
cyclical payments are required to be made under this section 
for a crop of peanuts, beginning October 1, or as soon as 
practicable after the end of the marketing year, the Secretary 
shall make the counter-cyclical payments for the crop. 
(2) AVAILABILITY OF PARTIAL PAYMENTS.— 
(A) IN GENERAL.—If, before the end of the 12-month 
marketing year, the Secretary estimates that counter- 
cyclical payments will be required under this section for 
a crop year, the Secretary shall give producers on a farm 
the option to receive partial payments of the counter- 
cyclical payment projected to be made for the crop. 
(B) ELECTION.— 
Deadline. 
7 USC 8754. 
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122 STAT. 972 
PUBLIC LAW 110–234—MAY 22, 2008 
(i) IN GENERAL.—The Secretary shall allow pro-
ducers on a farm to make an election to receive partial 
payments under subparagraph (A) at any time but 
not later than 60 days prior to the end of the marketing 
year for the crop. 
(ii) DATE OF ISSUANCE.—The Secretary shall issue 
the partial payment after the date of an announcement 
by the Secretary but not later than 30 days prior 
to the end of the marketing year. 
(3) TIME
FOR
PARTIAL
PAYMENTS.—When the Secretary 
makes partial payments for any of the 2008 through 2010 
crop years— 
(A) the first partial payment shall be made after 
completion of the first 180 days of the marketing year 
for that crop; and 
(B) the final partial payment shall be made beginning 
October 1, or as soon as practicable thereafter, after the 
end of the applicable marketing year for that crop. 
(4) AMOUNT OF PARTIAL PAYMENTS.— 
(A) FIRST
PARTIAL
PAYMENT.—For each of the 2008 
through 2010 crop years, the first partial payment under 
paragraph (3) to the producers on a farm may not exceed 
40 percent of the projected counter-cyclical payment for 
the crop year, as determined by the Secretary. 
(B) FINAL
PAYMENT.—The final payment for a crop 
year shall be equal to the difference between— 
(i) the actual counter-cyclical payment to be made 
to the producers for that crop year; and 
(ii) the amount of the partial payment made to 
the producers under subparagraph (A). 
(5) REPAYMENT.—The producers on a farm that receive 
a partial payment under this subsection for a crop year shall 
repay to the Secretary the amount, if any, by which the total 
of the partial payments exceed the actual counter-cyclical pay-
ment to be made for that crop year. 
SEC. 1305. PRODUCER AGREEMENT REQUIRED AS CONDITION ON 
PROVISION OF PAYMENTS. 
(a) COMPLIANCE WITH CERTAIN REQUIREMENTS.— 
(1) REQUIREMENTS.—Before the producers on a farm may 
receive direct payments or counter-cyclical payments under this 
subtitle, or average crop revenue election payments under sec-
tion 1105, with respect to the farm, the producers shall agree, 
during the crop year for which the payments are made and 
in exchange for the payments— 
(A) to comply with applicable conservation require-
ments under subtitle B of title XII of the Food Security 
Act of 1985 (16 U.S.C. 3811 et seq.); 
(B) to comply with applicable wetland protection 
requirements under subtitle C of title XII of that Act (16 
U.S.C. 3821 et seq.); 
(C) to comply with the planting flexibility requirements 
of section 1306; 
(D) to use the land on the farm, in a quantity equal 
to the attributable base acres for peanuts and any base 
acres for the farm under subtitle A, for an agricultural 
7 USC 8755. 
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122 STAT. 973 
PUBLIC LAW 110–234—MAY 22, 2008 
or conserving use, and not for a nonagricultural commer-
cial, industrial, or residential use, as determined by the 
Secretary; and 
(E) to effectively control noxious weeds and otherwise 
maintain the land in accordance with sound agricultural 
practices, as determined by the Secretary, if the agricul-
tural or conserving use involves the noncultivation of any 
portion of the land referred to in subparagraph (D). 
(2) COMPLIANCE.—The Secretary may issue such rules as 
the Secretary considers necessary to ensure producer compli-
ance with the requirements of paragraph (1). 
(3) MODIFICATION.—At the request of the transferee or 
owner, the Secretary may modify the requirements of this sub-
section if the modifications are consistent with the objectives 
of this subsection, as determined by the Secretary. 
(b) TRANSFER OR CHANGE OF INTEREST IN FARM.— 
(1) TERMINATION.— 
(A) IN GENERAL.—Except as provided in paragraph (2), 
a transfer of (or change in) the interest of the producers 
on a farm in the base acres for peanuts for which direct 
payments or counter-cyclical payments are made, or on 
which average crop revenue election payments are based, 
shall result in the termination of the direct payments, 
counter-cyclical payments, or average crop revenue election 
payments to the extent the payments are made or based 
on the base acres, unless the transferee or owner of the 
acreage agrees to assume all obligations under subsection 
(a). 
(B) EFFECTIVE DATE.—The termination shall take effect 
on the date determined by the Secretary. 
(2) EXCEPTION.—If a producer entitled to a direct payment, 
counter-cyclical payment, or average crop revenue election pay-
ment dies, becomes incompetent, or is otherwise unable to 
receive the payment, the Secretary shall make the payment, 
in accordance with rules issued by the Secretary. 
(c) ACREAGE REPORTS.— 
(1) IN
GENERAL.—As a condition on the receipt of any 
benefits under this subtitle, the Secretary shall require pro-
ducers on a farm to submit to the Secretary annual acreage 
reports with respect to all cropland on the farm. 
(2) PENALTIES.—No penalty with respect to benefits under 
this subtitle shall be assessed against the producers on a farm 
for an inaccurate acreage report unless the producers on the 
farm knowingly and willfully falsified the acreage report. 
(d) TENANTS AND SHARECROPPERS.—In carrying out this sub-
title, the Secretary shall provide adequate safeguards to protect 
the interests of tenants and sharecroppers. 
(e) SHARING OF PAYMENTS.—The Secretary shall provide for 
the sharing of direct payments, counter-cyclical payments, or aver-
age crop revenue election payments under section 1105 among 
the producers on a farm on a fair and equitable basis. 
SEC. 1306. PLANTING FLEXIBILITY. 
(a) PERMITTED CROPS.—Subject to subsection (b), any com-
modity or crop may be planted on the base acres for peanuts 
on a farm. 
(b) LIMITATIONS REGARDING CERTAIN COMMODITIES.— 
7 USC 8756. 
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122 STAT. 974 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) GENERAL LIMITATION.—The planting of an agricultural 
commodity specified in paragraph (3) shall be prohibited on 
base acres for peanuts unless the commodity, if planted, is 
destroyed before harvest. 
(2) TREATMENT
OF
TREES
AND
OTHER
PERENNIALS.—The 
planting of an agricultural commodity specified in paragraph 
(3) that is produced on a tree or other perennial plant shall 
be prohibited on base acres for peanuts. 
(3) COVERED AGRICULTURAL COMMODITIES.—Paragraphs (1) 
and (2) apply to the following agricultural commodities: 
(A) Fruits. 
(B) Vegetables (other than mung beans and pulse 
crops). 
(C) Wild rice. 
(c) EXCEPTIONS.—Paragraphs (1) and (2) of subsection (b) shall 
not limit the planting of an agricultural commodity specified in 
paragraph (3) of that subsection— 
(1) in any region in which there is a history of double- 
cropping of peanuts with agricultural commodities specified 
in subsection (b)(3), as determined by the Secretary, in which 
case the double-cropping shall be permitted; 
(2) on a farm that the Secretary determines has a history 
of planting agricultural commodities specified in subsection 
(b)(3) on the base acres for peanuts, except that direct payments 
and counter-cyclical payments shall be reduced by an acre 
for each acre planted to such an agricultural commodity; or 
(3) by the producers on a farm that the Secretary deter-
mines has an established planting history of a specific agricul-
tural commodity specified in subsection (b)(3), except that— 
(A) the quantity planted may not exceed the average 
annual planting history of such agricultural commodity 
by the producers on the farm in the 1991 through 1995 
or 1998 through 2001 crop years (excluding any crop year 
in which no plantings were made), as determined by the 
Secretary; and 
(B) direct payments and counter-cyclical payments 
shall be reduced by an acre for each acre planted to such 
agricultural commodity. 
SEC. 1307. MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY 
PAYMENTS FOR PEANUTS. 
(a) NONRECOURSE LOANS AVAILABLE.— 
(1) AVAILABILITY.—For each of the 2008 through 2012 crops 
of peanuts, the Secretary shall make available to producers 
on a farm nonrecourse marketing assistance loans for peanuts 
produced on the farm. 
(2) TERMS
AND
CONDITIONS.—The loans shall be made 
under terms and conditions that are prescribed by the Secretary 
and at the loan rate established under subsection (b). 
(3) ELIGIBLE PRODUCTION.—The producers on a farm shall 
be eligible for a marketing assistance loan under this subsection 
for any quantity of peanuts produced on the farm. 
(4) OPTIONS FOR OBTAINING LOAN.—A marketing assistance 
loan under this subsection, and loan deficiency payments under 
subsection (e), may be obtained at the option of the producers 
on a farm through— 
7 USC 8757. 
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122 STAT. 975 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) a designated marketing association or marketing 
cooperative of producers that is approved by the Secretary; 
or 
(B) the Farm Service Agency. 
(5) STORAGE OF LOAN PEANUTS.—As a condition on the 
Secretary’s approval of an individual or entity to provide storage 
for peanuts for which a marketing assistance loan is made 
under this section, the individual or entity shall agree— 
(A) to provide such storage on a nondiscriminatory 
basis; and 
(B) to comply with such additional requirements as 
the Secretary considers appropriate to accomplish the pur-
poses of this section and promote fairness in the adminis-
tration of the benefits of this section. 
(6) STORAGE, HANDLING, AND ASSOCIATED COSTS.— 
(A) IN
GENERAL.—Beginning with the 2008 crop of 
peanuts, to ensure proper storage of peanuts for which 
a loan is made under this section, the Secretary shall 
pay handling and other associated costs (other than storage 
costs) incurred at the time at which the peanuts are placed 
under loan, as determined by the Secretary. 
(B) REDEMPTION
AND
FORFEITURE.—The Secretary 
shall— 
(i) require the repayment of handling and other 
associated costs paid under subparagraph (A) for all 
peanuts pledged as collateral for a loan that is 
redeemed under this section; and 
(ii) pay storage, handling, and other associated 
costs for all peanuts pledged as collateral that are 
forfeited under this section. 
(7) MARKETING.—A marketing association or cooperative 
may market peanuts for which a loan is made under this 
section in any manner that conforms to consumer needs, 
including the separation of peanuts by type and quality. 
(b) LOAN RATE.—Except as provided in section 1105, the loan 
rate for a marketing assistance loan for peanuts under subsection 
(a) shall be equal to $355 per ton. 
(c) TERM OF LOAN.— 
(1) IN GENERAL.—A marketing assistance loan for peanuts 
under subsection (a) shall have a term of 9 months beginning 
on the first day of the first month after the month in which 
the loan is made. 
(2) EXTENSIONS
PROHIBITED.—The Secretary may not 
extend the term of a marketing assistance loan for peanuts 
under subsection (a). 
(d) REPAYMENT RATE.— 
(1) IN GENERAL.—The Secretary shall permit producers on 
a farm to repay a marketing assistance loan for peanuts under 
subsection (a) at a rate that is the lesser of— 
(A) the loan rate established for peanuts under sub-
section (b), plus interest (determined in accordance with 
section 163 of the Federal Agriculture Improvement and 
Reform Act of 1996 (7 U.S.C. 7283)); or 
(B) a rate that the Secretary determines will— 
(i) minimize potential loan forfeitures; 
(ii) minimize the accumulation of stocks of peanuts 
by the Federal Government; 
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122 STAT. 976 
PUBLIC LAW 110–234—MAY 22, 2008 
(iii) minimize the cost incurred by the Federal 
Government in storing peanuts; and 
(iv) allow peanuts produced in the United States 
to be marketed freely and competitively, both domesti-
cally and internationally. 
(2) AUTHORITY
TO
TEMPORARILY
ADJUST
REPAYMENT 
RATES.— 
(A) ADJUSTMENT AUTHORITY.—In the event of a severe 
disruption to marketing, transportation, or related infra-
structure, the Secretary may modify the repayment rate 
otherwise applicable under this subsection for marketing 
assistance loans for peanuts under subsection (a). 
(B) DURATION.—An adjustment made under subpara-
graph (A) in the repayment rate for marketing assistance 
loans for peanuts shall be in effect on a short-term and 
temporary basis, as determined by the Secretary. 
(e) LOAN DEFICIENCY PAYMENTS.— 
(1) AVAILABILITY.—The Secretary may make loan deficiency 
payments available to producers on a farm that, although 
eligible to obtain a marketing assistance loan for peanuts under 
subsection (a), agree to forgo obtaining the loan for the peanuts 
in return for loan deficiency payments under this subsection. 
(2) COMPUTATION.—A loan deficiency payment under this 
subsection shall be computed by multiplying— 
(A) the payment rate determined under paragraph (3) 
for peanuts; by 
(B) the quantity of the peanuts produced by the pro-
ducers, excluding any quantity for which the producers 
obtain a marketing assistance loan under subsection (a). 
(3) PAYMENT RATE.—For purposes of this subsection, the 
payment rate shall be the amount by which— 
(A) the loan rate established under subsection (b); 
exceeds 
(B) the rate at which a loan may be repaid under 
subsection (d). 
(4) EFFECTIVE DATE FOR PAYMENT RATE DETERMINATION.— 
The Secretary shall determine the amount of the loan deficiency 
payment to be made under this subsection to the producers 
on a farm with respect to a quantity of peanuts using the 
payment rate in effect under paragraph (3) as of the date 
the producers request the payment. 
(f) COMPLIANCE WITH CONSERVATION AND WETLANDS REQUIRE-
MENTS.—As a condition of the receipt of a marketing assistance 
loan under subsection (a), the producer shall comply with applicable 
conservation requirements under subtitle B of title XII of the Food 
Security Act of 1985 (16 U.S.C. 3811 et seq.) and applicable wetland 
protection requirements under subtitle C of title XII of that Act 
(16 U.S.C. 3821 et seq.) during the term of the loan. 
(g) REIMBURSABLE AGREEMENTS AND PAYMENT OF ADMINISTRA-
TIVE EXPENSES.—The Secretary may implement any reimbursable 
agreements or provide for the payment of administrative expenses 
under this subtitle only in a manner that is consistent with such 
activities in regard to other commodities. 
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122 STAT. 977 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 1308. ADJUSTMENTS OF LOANS. 
(a) ADJUSTMENT AUTHORITY.—The Secretary may make appro-
priate adjustments in the loan rates for peanuts for differences 
in grade, type, quality, location, and other factors. 
(b) MANNER
OF ADJUSTMENT.—The adjustments under sub-
section (a) shall, to the maximum extent practicable, be made 
in such a manner that the average loan level for peanuts will, 
on the basis of the anticipated incidence of the factors, be equal 
to the level of support determined in accordance with this subtitle 
and subtitles B, D, and E. 
(c) ADJUSTMENT ON COUNTY BASIS.— 
(1) IN GENERAL.—Subject to paragraph (2), the Secretary 
may establish loan rates for a crop of peanuts for producers 
in individual counties in a manner that results in the lowest 
loan rate being 95 percent of the national average loan rate, 
if those loan rates do not result in an increase in outlays. 
(2) PROHIBITION.—Adjustments under this subsection shall 
not result in an increase in the national average loan rate 
for any year. 
Subtitle D—Sugar 
SEC. 1401. SUGAR PROGRAM. 
(a) IN
GENERAL.—Section 156 of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7272) is amended 
to read as follows: 
‘‘SEC. 156. SUGAR PROGRAM. 
‘‘(a) SUGARCANE.—The Secretary shall make loans available 
to processors of domestically grown sugarcane at a rate equal to— 
‘‘(1) 18.00 cents per pound for raw cane sugar for the 
2008 crop year; 
‘‘(2) 18.25 cents per pound for raw cane sugar for the 
2009 crop year; 
‘‘(3) 18.50 cents per pound for raw cane sugar for the 
2010 crop year; 
‘‘(4) 18.75 cents per pound for raw cane sugar for the 
2011 crop year; and 
‘‘(5) 18.75 cents per pound for raw cane sugar for the 
2012 crop year. 
‘‘(b) SUGAR BEETS.—The Secretary shall make loans available 
to processors of domestically grown sugar beets at a rate equal 
to— 
‘‘(1) 22.9 cents per pound for refined beet sugar for the 
2008 crop year; and 
‘‘(2) a rate that is equal to 128.5 percent of the loan rate 
per pound of raw cane sugar for the applicable crop year under 
subsection (a) for each of the 2009 through 2012 crop years. 
‘‘(c) TERM OF LOANS.— 
‘‘(1) IN GENERAL.—A loan under this section during any 
fiscal year shall be made available not earlier than the begin-
ning of the fiscal year and shall mature at the earlier of— 
‘‘(A) the end of the 9-month period beginning on the 
first day of the first month after the month in which 
the loan is made; or 
Loans. 
7 USC 8758. 
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122 STAT. 978 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the end of the fiscal year in which the loan is 
made. 
‘‘(2) SUPPLEMENTAL LOANS.—In the case of a loan made 
under this section in the last 3 months of a fiscal year, the 
processor may repledge the sugar as collateral for a second 
loan in the subsequent fiscal year, except that the second 
loan shall— 
‘‘(A) be made at the loan rate in effect at the time 
the first loan was made; and 
‘‘(B) mature in 9 months less the quantity of time 
that the first loan was in effect. 
‘‘(d) LOAN TYPE; PROCESSOR ASSURANCES.— 
‘‘(1) NONRECOURSE LOANS.—The Secretary shall carry out 
this section through the use of nonrecourse loans. 
‘‘(2) PROCESSOR ASSURANCES.— 
‘‘(A) IN
GENERAL.—The Secretary shall obtain from 
each processor that receives a loan under this section such 
assurances as the Secretary considers adequate to ensure 
that the processor will provide payments to producers that 
are proportional to the value of the loan received by the 
processor for the sugar beets and sugarcane delivered by 
producers to the processor. 
‘‘(B) MINIMUM PAYMENTS.— 
‘‘(i) IN GENERAL.—Subject to clause (ii), the Sec-
retary may establish appropriate minimum payments 
for purposes of this paragraph. 
‘‘(ii) LIMITATION.—In the case of sugar beets, the 
minimum payment established under clause (i) shall 
not exceed the rate of payment provided for under 
the applicable contract between a sugar beet producer 
and a sugar beet processor. 
‘‘(3) ADMINISTRATION.—The Secretary may not impose or 
enforce any prenotification requirement, or similar administra-
tive requirement not otherwise in effect on May 13, 2002, 
that has the effect of preventing a processor from electing 
to forfeit the loan collateral (of an acceptable grade and quality) 
on the maturity of the loan. 
‘‘(e) LOANS FOR IN-PROCESS SUGAR.— 
‘‘(1) DEFINITION OF IN-PROCESS SUGARS AND SYRUPS.—In 
this subsection, the term ‘in-process sugars and syrups’ does 
not include raw sugar, liquid sugar, invert sugar, invert syrup, 
or other finished product that is otherwise eligible for a loan 
under subsection (a) or (b). 
‘‘(2) AVAILABILITY.—The Secretary shall make nonrecourse 
loans available to processors of a crop of domestically grown 
sugarcane and sugar beets for in-process sugars and syrups 
derived from the crop. 
‘‘(3) LOAN RATE.—The loan rate shall be equal to 80 percent 
of the loan rate applicable to raw cane sugar or refined beet 
sugar, as determined by the Secretary on the basis of the 
source material for the in-process sugars and syrups. 
‘‘(4) FURTHER PROCESSING ON FORFEITURE.— 
‘‘(A) IN GENERAL.—As a condition of the forfeiture of 
in-process sugars and syrups serving as collateral for a 
loan under paragraph (2), the processor shall, within such 
reasonable time period as the Secretary may prescribe 
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122 STAT. 979 
PUBLIC LAW 110–234—MAY 22, 2008 
and at no cost to the Commodity Credit Corporation, con-
vert the in-process sugars and syrups into raw cane sugar 
or refined beet sugar of acceptable grade and quality for 
sugars eligible for loans under subsection (a) or (b). 
‘‘(B) TRANSFER TO CORPORATION.—Once the in-process 
sugars and syrups are fully processed into raw cane sugar 
or refined beet sugar, the processor shall transfer the sugar 
to the Commodity Credit Corporation. 
‘‘(C) PAYMENT
TO
PROCESSOR.—On transfer of the 
sugar, the Secretary shall make a payment to the processor 
in an amount equal to the amount obtained by multi-
plying— 
‘‘(i) the difference between— 
‘‘(I) the loan rate for raw cane sugar or refined 
beet sugar, as appropriate; and 
‘‘(II) the loan rate the processor received under 
paragraph (3); by 
‘‘(ii) the quantity of sugar transferred to the Sec-
retary. 
‘‘(5) LOAN CONVERSION.—If the processor does not forfeit 
the collateral as described in paragraph (4), but instead further 
processes the in-process sugars and syrups into raw cane sugar 
or refined beet sugar and repays the loan on the in-process 
sugars and syrups, the processor may obtain a loan under 
subsection (a) or (b) for the raw cane sugar or refined beet 
sugar, as appropriate. 
‘‘(6) TERM OF LOAN.—The term of a loan made under this 
subsection for a quantity of in-process sugars and syrups, when 
combined with the term of a loan made with respect to the 
raw cane sugar or refined beet sugar derived from the in- 
process sugars and syrups, may not exceed 9 months, consistent 
with subsection (c). 
‘‘(f) AVOIDING FORFEITURES; CORPORATION INVENTORY DISPOSI-
TION.— 
‘‘(1) IN GENERAL.—Subject to subsection (d)(3), to the max-
imum extent practicable, the Secretary shall operate the pro-
gram established under this section at no cost to the Federal 
Government by avoiding the forfeiture of sugar to the Com-
modity Credit Corporation. 
‘‘(2) INVENTORY DISPOSITION.— 
‘‘(A) IN
GENERAL.—To carry out paragraph (1), the 
Commodity Credit Corporation may accept bids to obtain 
raw cane sugar or refined beet sugar in the inventory 
of the Commodity Credit Corporation from (or otherwise 
make available such commodities, on appropriate terms 
and conditions, to) processors of sugarcane and processors 
of sugar beets (acting in conjunction with the producers 
of the sugarcane or sugar beets processed by the processors) 
in return for the reduction of production of raw cane sugar 
or refined beet sugar, as appropriate. 
‘‘(B) BIOENERGY
FEEDSTOCK.—If a reduction in the 
quantity of production accepted under subparagraph (A) 
involves sugar beets or sugarcane that has already been 
planted, the sugar beets or sugarcane so planted may not 
be used for any commercial purpose other than as a bio-
energy feedstock. 
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122 STAT. 980 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) ADDITIONAL AUTHORITY.—The authority provided 
under this paragraph is in addition to any authority of 
the Commodity Credit Corporation under any other law. 
‘‘(g) INFORMATION REPORTING.— 
‘‘(1) DUTY OF PROCESSORS AND REFINERS TO REPORT.—A 
sugarcane processor, cane sugar refiner, and sugar beet proc-
essor shall furnish the Secretary, on a monthly basis, such 
information as the Secretary may require to administer sugar 
programs, including the quantity of purchases of sugarcane, 
sugar beets, and sugar, and production, importation, distribu-
tion, and stock levels of sugar. 
‘‘(2) DUTY OF PRODUCERS TO REPORT.— 
‘‘(A) PROPORTIONATE
SHARE
STATES.—As a condition 
of a loan made to a processor for the benefit of a producer, 
the Secretary shall require each producer of sugarcane 
located in a State (other than the Commonwealth of Puerto 
Rico) in which there are in excess of 250 producers of 
sugarcane to report, in the manner prescribed by the Sec-
retary, the sugarcane yields and acres planted to sugarcane 
of the producer. 
‘‘(B) OTHER STATES.—The Secretary may require each 
producer of sugarcane or sugar beets not covered by 
subparagraph (A) to report, in a manner prescribed by 
the Secretary, the yields of, and acres planted to, sugarcane 
or sugar beets, respectively, of the producer. 
‘‘(3) DUTY OF IMPORTERS TO REPORT.— 
‘‘(A) IN GENERAL.—Except as provided in subparagraph 
(B), the Secretary shall require an importer of sugars, 
syrups, or molasses to be used for human consumption 
or to be used for the extraction of sugar for human 
consumption to report, in the manner prescribed by the 
Secretary, the quantities of the products imported by the 
importer and the sugar content or equivalent of the prod-
ucts. 
‘‘(B) TARIFF-RATE QUOTAS.—Subparagraph (A) shall not 
apply to sugars, syrups, or molasses that are within the 
quantities of tariff-rate quotas that are subject to the lower 
rate of duties. 
‘‘(4) COLLECTION OF INFORMATION ON MEXICO.— 
‘‘(A) COLLECTION.—The Secretary shall collect— 
‘‘(i) information on the production, consumption, 
stocks, and trade of sugar in Mexico, including United 
States exports of sugar to Mexico; and 
‘‘(ii) publicly available information on Mexican 
production, consumption, and trade of high fructose 
corn syrups. 
‘‘(B) PUBLICATION.—The data collected under subpara-
graph (A) shall be published in each edition of the World 
Agricultural Supply and Demand Estimates. 
‘‘(5) PENALTY.—Any person willfully failing or refusing to 
furnish the information required to be reported by paragraph 
(1), (2), or (3), or furnishing willfully false information, shall 
be subject to a civil penalty of not more than $10,000 for 
each such violation. 
‘‘(6) MONTHLY
REPORTS.—Taking into consideration the 
information received under this subsection, the Secretary shall 
Publication. 
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122 STAT. 981 
PUBLIC LAW 110–234—MAY 22, 2008 
publish on a monthly basis composite data on production, 
imports, distribution, and stock levels of sugar. 
‘‘(h) SUBSTITUTION OF REFINED SUGAR.—For purposes of Addi-
tional U.S. Note 6 to chapter 17 of the Harmonized Tariff Schedule 
of the United States and the reexport programs and polyhydric 
alcohol program administered by the Secretary, all refined sugars 
(whether derived from sugar beets or sugarcane) produced by cane 
sugar refineries and beet sugar processors shall be fully substitut-
able for the export of sugar and sugar-containing products under 
those programs. 
‘‘(i) EFFECTIVE PERIOD.—This section shall be effective only 
for the 2008 through 2012 crops of sugar beets and sugarcane.’’. 
(b) TRANSITION.—The Secretary shall make loans for raw cane 
sugar and refined beet sugar available for the 2007 crop year 
on the terms and conditions provided in section 156 of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272), 
as in effect on the day before the date of enactment of this Act. 
SEC. 1402. UNITED STATES MEMBERSHIP IN THE INTERNATIONAL 
SUGAR ORGANIZATION. 
The Secretary shall work with the Secretary of State to restore 
United States membership in the International Sugar Organization 
not later than 1 year after the date of enactment of this Act. 
SEC. 1403. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR. 
(a) DEFINITIONS.—Section 359a of the Agricultural Adjustment 
Act of 1938 (7 U.S.C. 1359aa) is amended— 
(1) by redesignating paragraphs (1), (2), (3), and (4) as 
paragraphs (2), (4), (5), and (6), respectively; 
(2) by inserting before paragraph (2) (as so redesignated) 
the following: 
‘‘(1) HUMAN CONSUMPTION.—The term ‘human consump-
tion’, when used in the context of a reference to sugar (whether 
in the form of sugar, in-process sugar, syrup, molasses, or 
in some other form) for human consumption, includes sugar 
for use in human food, beverages, or similar products.’’; and 
(3) by inserting after paragraph (2) (as so redesignated) 
the following: 
‘‘(3) MARKET.— 
‘‘(A) IN GENERAL.—The term ‘market’ means to sell 
or otherwise dispose of in commerce in the United States. 
‘‘(B) INCLUSIONS.—The term ‘market’ includes— 
‘‘(i) the forfeiture of sugar under the loan program 
for sugar established under section 156 of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 
U.S.C. 7272); 
‘‘(ii) with respect to any integrated processor and 
refiner, the movement of raw cane sugar into the 
refining process; and 
‘‘(iii) the sale of sugar for the production of ethanol 
or other bioenergy product, if the disposition of the 
sugar is administered by the Secretary under section 
9010 of the Farm Security and Rural Investment Act 
of 2002. 
‘‘(C) MARKETING YEAR.—Forfeited sugar described in 
subparagraph (B)(i) shall be considered to have been mar-
keted during the crop year for which a loan is made under 
the loan program described in that subparagraph.’’. 
Deadline. 
7 USC 3602 note. 
7 USC 7272 note. 
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122 STAT. 982 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) FLEXIBLE MARKETING ALLOTMENTS
FOR SUGAR.—Section 
359b of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359bb) 
is amended to read as follows: 
‘‘SEC. 359b. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR. 
‘‘(a) SUGAR ESTIMATES.— 
‘‘(1) IN GENERAL.—Not later than August 1 before the begin-
ning of each of the 2008 through 2012 crop years for sugarcane 
and sugar beets, the Secretary shall estimate— 
‘‘(A) the quantity of sugar that will be subject to human 
consumption in the United States during the crop year; 
‘‘(B) the quantity of sugar that would provide for 
reasonable carryover stocks; 
‘‘(C) the quantity of sugar that will be available from 
carry-in stocks for human consumption in the United States 
during the crop year; 
‘‘(D) the quantity of sugar that will be available from 
the domestic processing of sugarcane, sugar beets, and 
in-process beet sugar; and 
‘‘(E) the quantity of sugars, syrups, and molasses that 
will be imported for human consumption or to be used 
for the extraction of sugar for human consumption in the 
United States during the crop year, whether the articles 
are under a tariff-rate quota or are in excess or outside 
of a tariff-rate quota. 
‘‘(2) EXCLUSION.—The estimates under this subsection shall 
not apply to sugar imported for the production of polyhydric 
alcohol or to any sugar refined and reexported in refined form 
or in products containing sugar. 
‘‘(3) REESTIMATES.—The Secretary shall make reestimates 
of sugar consumption, stocks, production, and imports for a 
crop year as necessary, but not later than the beginning of 
each of the second through fourth quarters of the crop year. 
‘‘(b) SUGAR ALLOTMENTS.— 
‘‘(1) ESTABLISHMENT.—By the beginning of each crop year, 
the Secretary shall establish for that crop year appropriate 
allotments under section 359c for the marketing by processors 
of sugar processed from sugar cane or sugar beets or in-process 
beet sugar (whether the sugar beets or in-process beet sugar 
was produced domestically or imported) at a level that is— 
‘‘(A) sufficient to maintain raw and refined sugar prices 
above forfeiture levels so that there will be no forfeitures 
of sugar to the Commodity Credit Corporation under the 
loan program for sugar established under section 156 of 
the Federal Agriculture Improvement and Reform Act of 
1996 (7 U.S.C. 7272); but 
‘‘(B) not less than 85 percent of the estimated quantity 
of sugar for domestic human consumption for the crop 
year. 
‘‘(2) PRODUCTS.—The Secretary may include sugar products, 
the majority content of which is sucrose for human consump-
tion, derived from sugar cane, sugar beets, molasses, or sugar 
in the allotments established under paragraph (1) if the Sec-
retary determines it to be appropriate for purposes of this 
part. 
‘‘(c) COVERAGE OF ALLOTMENTS.— 
Deadlines. 
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122 STAT. 983 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN GENERAL.—The marketing allotments under this 
part shall apply to the marketing by processors of sugar 
intended for domestic human consumption that has been proc-
essed from sugar cane, sugar beets, or in-process beet sugar, 
whether such sugar beets or in-process beet sugar was produced 
domestically or imported. 
‘‘(2) EXCEPTIONS.—Consistent with the administration of 
marketing allotments for each of the 2002 through 2007 crop 
years, the marketing allotments shall not apply to sugar sold— 
‘‘(A) to facilitate the exportation of the sugar to a 
foreign country, except that the exports of sugar shall 
not be eligible to receive credits under reexport programs 
for refined sugar or sugar containing products administered 
by the Secretary; 
‘‘(B) to enable another processor to fulfill an allocation 
established for that processor; or 
‘‘(C) for uses other than domestic human consumption, 
except for the sale of sugar for the production of ethanol 
or other bioenergy if the disposition of the sugar is adminis-
tered by the Secretary under section 9010 of the Farm 
Security and Rural Investment Act of 2002. 
‘‘(3) REQUIREMENT.—The sale of sugar described in para-
graph (2)(B) shall be— 
‘‘(A) made prior to May 1; and 
‘‘(B) reported to the Secretary. 
‘‘(d) PROHIBITIONS.— 
‘‘(1) IN
GENERAL.—During all or part of any crop year 
for which marketing allotments have been established, no proc-
essor of sugar beets or sugarcane shall market for domestic 
human consumption a quantity of sugar in excess of the alloca-
tion established for the processor, except— 
‘‘(A) to enable another processor to fulfill an allocation 
established for that other processor; or 
‘‘(B) to facilitate the exportation of the sugar. 
‘‘(2) CIVIL PENALTY.—Any processor who knowingly violates 
paragraph (1) shall be liable to the Commodity Credit Corpora-
tion for a civil penalty in an amount equal to 3 times the 
United States market value, at the time of the commission 
of the violation, of that quantity of sugar involved in the viola-
tion.’’. 
(c) ESTABLISHMENT OF FLEXIBLE MARKETING ALLOTMENTS.— 
Section 359c of the Agricultural Adjustment Act of 1938 (7 U.S.C. 
1359cc) is amended— 
(1) by striking subsection (b) and inserting the following: 
‘‘(b) OVERALL ALLOTMENT QUANTITY.— 
‘‘(1) IN GENERAL.—The Secretary shall establish the overall 
quantity of sugar to be allotted for the crop year (referred 
to in this part as the ‘overall allotment quantity’) at a level 
that is— 
‘‘(A) sufficient to maintain raw and refined sugar prices 
above forfeiture levels to avoid forfeiture of sugar to the 
Commodity Credit Corporation; but 
‘‘(B) not less than a quantity equal to 85 percent of 
the estimated quantity of sugar for domestic human 
consumption for the crop year. 
‘‘(2) ADJUSTMENT.—Subject to paragraph (1), the Secretary 
shall adjust the overall allotment quantity to maintain— 
Deadline. 
Reports. 
Applicability. 
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122 STAT. 984 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) raw and refined sugar prices above forfeiture levels 
to avoid the forfeiture of sugar to the Commodity Credit 
Corporation; and 
‘‘(B) adequate supplies of raw and refined sugar in 
the domestic market.’’; 
(2) in subsection (d)(2), by inserting ‘‘or in-process beet 
sugar’’ before the period at the end; 
(3) in subsection (g)(1)— 
(A) by striking ‘‘(1) IN GENERAL.—The Secretary’’ and 
inserting the following: 
‘‘(1) ADJUSTMENTS.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
Secretary’’; and 
(B) by adding at the end the following: 
‘‘(B) LIMITATION.—In carrying out subparagraph (A), 
the Secretary may not reduce the overall allotment quantity 
to a quantity of less than 85 percent of the estimated 
quantity of sugar for domestic human consumption for 
the crop year.’’; and 
(4) by striking subsection (h). 
(d) ALLOCATION OF MARKETING ALLOTMENTS.—Section 359d(b) 
of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359dd(b)) 
is amended— 
(1) in paragraph (1)(F), by striking ‘‘Except as otherwise 
provided in section 359f(c)(8), if’’ and inserting ‘‘If’’; and 
(2) in paragraph (2), by striking subparagraphs (G), (H), 
and (I) and inserting the following: 
‘‘(G) SALE OF FACTORIES OF A PROCESSOR TO ANOTHER 
PROCESSOR.— 
‘‘(i) EFFECT OF SALE.—Subject to subparagraphs 
(E) and (F), if 1 or more factories of a processor of 
beet sugar (but not all of the assets of the processor) 
are sold to another processor of beet sugar during 
a crop year, the Secretary shall assign a pro rata 
portion of the allocation of the seller to the allocation 
of the buyer to reflect the historical contribution of 
the production of the sold 1 or more factories to the 
total allocation of the seller, unless the buyer and 
the seller have agreed upon the transfer of a different 
portion of the allocation of the seller, in which case, 
the Secretary shall transfer that portion agreed upon 
by the buyer and seller. 
‘‘(ii) APPLICATION
OF
ALLOCATION.—The assign-
ment of the allocation under clause (i) shall apply— 
‘‘(I) during the remainder of the crop year 
for which the sale described in clause (i) occurs; 
and 
‘‘(II) during each subsequent crop year. 
‘‘(iii) USE OF OTHER FACTORIES TO FILL ALLOCA-
TION.—If the assignment of the allocation under clause 
(i) to the buyer for the 1 or more purchased factories 
cannot be filled by the production of the 1 or more 
purchased factories, the remainder of the allocation 
may be filled by beet sugar produced by the buyer 
from other factories of the buyer. 
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122 STAT. 985 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(H) 
NEW
ENTRANTS
STARTING
PRODUCTION, 
REOPENING, OR
ACQUIRING
AN
EXISTING
FACTORY
WITH 
PRODUCTION HISTORY.— 
‘‘(i) DEFINITION OF NEW ENTRANT.— 
‘‘(I) IN GENERAL.—In this subparagraph, the 
term ‘new entrant’ means an individual, corpora-
tion, or other entity that— 
‘‘(aa) does not have an allocation of the 
beet sugar allotment under this part; 
‘‘(bb) is not affiliated with any other indi-
vidual, corporation, or entity that has an 
allocation of beet sugar under this part 
(referred to in this clause as a ‘third party’); 
and 
‘‘(cc) will process sugar beets produced by 
sugar beet growers under contract with the 
new entrant for the production of sugar at 
the new or re-opened factory that is the basis 
for the new entrant allocation. 
‘‘(II) AFFILIATION.—For purposes of subclause 
(I)(bb), a new entrant and a third party shall be 
considered to be affiliated if— 
‘‘(aa) the third party has an ownership 
interest in the new entrant; 
‘‘(bb) the new entrant and the third party 
have owners in common; 
‘‘(cc) the third party has the ability to 
exercise control over the new entrant by 
organizational rights, contractual rights, or 
any other means; 
‘‘(dd) the third party has a contractual 
relationship with the new entrant by which 
the new entrant will make use of the facilities 
or assets of the third party; or 
‘‘(ee) there are any other similar cir-
cumstances by which the Secretary determines 
that the new entrant and the third party are 
affiliated. 
‘‘(ii) ALLOCATION FOR A NEW ENTRANT THAT HAS 
CONSTRUCTED A NEW FACTORY OR REOPENED A FACTORY 
THAT WAS NOT OPERATED SINCE BEFORE 1998.—If a new 
entrant constructs a new sugar beet processing factory, 
or acquires and reopens a sugar beet processing factory 
that last processed sugar beets prior to the 1998 crop 
year and there is no allocation currently associated 
with the factory, the Secretary shall— 
‘‘(I) assign an allocation for beet sugar to the 
new entrant that provides a fair and equitable 
distribution of the allocations for beet sugar so 
as to enable the new entrant to achieve a factory 
utilization rate comparable to the factory utiliza-
tion rates of other similarly-situated processors; 
and 
‘‘(II) reduce the allocations for beet sugar of 
all other processors on a pro rata basis to reflect 
the allocation to the new entrant. 
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122 STAT. 986 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(iii) ALLOCATION FOR A NEW ENTRANT THAT HAS 
ACQUIRED AN EXISTING FACTORY WITH A PRODUCTION 
HISTORY.— 
‘‘(I) IN GENERAL.—If a new entrant acquires 
an existing factory that has processed sugar beets 
from the 1998 or subsequent crop year and has 
a production history, on the mutual agreement 
of the new entrant and the company currently 
holding the allocation associated with the factory, 
the Secretary shall transfer to the new entrant 
a portion of the allocation of the current allocation 
holder to reflect the historical contribution of the 
production of the 1 or more sold factories to the 
total allocation of the current allocation holder, 
unless the new entrant and current allocation 
holder have agreed upon the transfer of a different 
portion of the allocation of the current allocation 
holder, in which case, the Secretary shall transfer 
that portion agreed upon by the new entrant and 
the current allocation holder. 
‘‘(II) PROHIBITION.—In the absence of a mutual 
agreement described in subclause (I), the new 
entrant shall be ineligible for a beet sugar alloca-
tion. 
‘‘(iv) APPEALS.—Any decision made under this sub-
section may be appealed to the Secretary in accordance 
with section 359i.’’. 
(e) REASSIGNMENT OF DEFICITS.—Section 359e(b) of the Agricul-
tural Adjustment Act of 1938 (7 U.S.C. 1359ee(b)) is amended 
in paragraphs (1)(D) and (2)(C), by inserting ‘‘of raw cane sugar’’ 
after ‘‘imports’’ each place it appears. 
(f) PROVISIONS APPLICABLE TO PRODUCERS.—Section 359f(c) of 
the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ff(c)) is 
amended— 
(1) by striking paragraph (8); 
(2) by redesignating paragraphs (1) through (7) as para-
graphs (2) through (8), respectively; 
(3) by inserting before paragraph (2) (as so redesignated) 
the following: 
‘‘(1) DEFINITION OF SEED.— 
‘‘(A) IN GENERAL.—In this subsection, the term ‘seed’ 
means only those varieties of seed that are dedicated to 
the production of sugarcane from which is produced sugar 
for human consumption. 
‘‘(B) EXCLUSION.—The term ‘seed’ does not include seed 
of a high-fiber cane variety dedicated to other uses, as 
determined by the Secretary’’; 
(4) in paragraph (3) (as so redesignated)— 
(A) in the first sentence— 
(i) by striking ‘‘paragraph (1)’’ and inserting ‘‘para-
graph (2)’’; and 
(ii) by inserting ‘‘sugar produced from’’ after 
‘‘quantity of’’; and 
(B) in the second sentence, by striking ‘‘paragraph 
(7)’’ and inserting ‘‘paragraph (8)’’; 
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122 STAT. 987 
PUBLIC LAW 110–234—MAY 22, 2008 
(5) in the first sentence of paragraph (6)(C) (as so redesig-
nated), by inserting ‘‘for sugar’’ before ‘‘in excess of the farm’s 
proportionate share’’; and 
(6) in paragraph (8) (as so redesignated), by inserting 
‘‘sugar from’’ after ‘‘the amount of’’. 
(g) SPECIAL RULES.—Section 359g of the Agricultural Adjust-
ment Act of 1938 (7 U.S.C. 1359gg) is amended— 
(1) by striking subsection (a) and inserting the following: 
‘‘(a) TRANSFER OF ACREAGE BASE HISTORY.— 
‘‘(1) TRANSFER
AUTHORIZED.—For the purpose of estab-
lishing proportionate shares for sugarcane farms under section 
359f(c), the Secretary, on application of any producer, with 
the written consent of all owners of a farm, may transfer 
the acreage base history of the farm to any other parcels 
of land of the applicant. 
‘‘(2) CONVERTED ACREAGE BASE.— 
‘‘(A) IN GENERAL.—Sugarcane acreage base established 
under section 359f(c) that has been or is converted to 
nonagricultural use on or after May 13, 2002, may be 
transferred to other land suitable for the production of 
sugarcane that can be delivered to a processor in a propor-
tionate share State in accordance with this paragraph. 
‘‘(B) NOTIFICATION.—Not later than 90 days after the 
Secretary becomes aware of a conversion of any sugarcane 
acreage base to a nonagricultural use, the Secretary shall 
notify the 1 or more affected landowners of the transfer-
ability of the applicable sugarcane acreage base. 
‘‘(C) INITIAL TRANSFER PERIOD.—The owner of the base 
attributable to the acreage at the time of the conversion 
shall be afforded 90 days from the date of the receipt 
of the notification under subparagraph (B) to transfer the 
base to 1 or more farms owned by the owner. 
‘‘(D) GROWER OF RECORD.—If a transfer under subpara-
graph (C) cannot be accomplished during the period speci-
fied in that subparagraph, the grower of record with regard 
to the acreage base on the date on which the acreage 
was converted to nonagricultural use shall— 
‘‘(i) be notified; and 
‘‘(ii) have 90 days from the date of the receipt 
of the notification to transfer the base to 1 or more 
farms operated by the grower. 
‘‘(E) POOL DISTRIBUTION.— 
‘‘(i) IN
GENERAL.—If transfers under subpara-
graphs (B) and (C) cannot be accomplished during the 
periods specified in those subparagraphs, the county 
committee of the Farm Service Agency for the 
applicable county shall place the acreage base in a 
pool for possible assignment to other farms. 
‘‘(ii) ACCEPTANCE OF REQUESTS.—After providing 
reasonable notice to farm owners, operators, and 
growers of record in the county, the county committee 
shall accept requests from owners, operators, and 
growers of record in the county. 
‘‘(iii) ASSIGNMENT.—The county committee shall 
assign the acreage base to other farms in the county 
that are eligible and capable of accepting the acreage 
Notification. 
Time period. 
Deadline. 
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122 STAT. 988 
PUBLIC LAW 110–234—MAY 22, 2008 
base, based on a random drawing from among the 
requests received under clause (ii). 
‘‘(F) STATEWIDE REALLOCATION.— 
‘‘(i) IN
GENERAL.—Any acreage base remaining 
unassigned after the transfers and processes described 
in subparagraphs (A) through (E) shall be made avail-
able to the State committee of the Farm Service Agency 
for allocation among the remaining county committees 
in the State representing counties with farms eligible 
for assignment of the base, based on a random drawing. 
‘‘(ii) ALLOCATION.—Any county committee receiving 
acreage base under this subparagraph shall allocate 
the acreage base to eligible farms using the process 
described in subparagraph (E). 
‘‘(G) STATUS OF REASSIGNED BASE.—After acreage base 
has been reassigned in accordance with this subparagraph, 
the acreage base shall— 
‘‘(i) remain on the farm; and 
‘‘(ii) be subject to the transfer provisions of para-
graph (1).’’; and 
(2) in subsection (d)— 
(A) in paragraph (1)— 
(i) by inserting ‘‘affected’’ before ‘‘crop-share 
owners’’ each place it appears; and 
(ii) by striking ‘‘, and from the processing company 
holding the applicable allocation for such shares,’’; and 
(B) in paragraph (2), by striking ‘‘based on’’ and all 
that follows through the end of subparagraph (B) and 
inserting ‘‘based on— 
‘‘(A) the number of acres of sugarcane base being trans-
ferred; and 
‘‘(B) the pro rata amount of allocation at the processing 
company holding the applicable allocation that equals the 
contribution of the grower to allocation of the processing 
company for the sugarcane acreage base being trans-
ferred.’’. 
(h) APPEALS.—Section 359i of the Agricultural Adjustment Act 
of 1938 (7 U.S.C. 1359ii) is amended— 
(1) in subsection (a), by inserting ‘‘or 359g(d)’’ after ‘‘359f’’; 
and 
(2) by striking subsection (c). 
(i) REALLOCATING SUGAR QUOTA IMPORT SHORTFALLS.—Section 
359k of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359kk) 
is repealed. 
(j) ADMINISTRATION OF TARIFF RATE QUOTAS.—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 (i)) is amended by 
adding at the end the following: 
‘‘SEC. 359k. ADMINISTRATION OF TARIFF RATE QUOTAS. 
‘‘(a) ESTABLISHMENT.— 
‘‘(1) IN
GENERAL.—Except as provided in paragraph (2) 
and notwithstanding any other provision of law, at the begin-
ning of the quota year, the Secretary shall establish the tariff- 
rate quotas for raw cane sugar and refined sugars at the 
minimum level necessary to comply with obligations under 
7 USC 1359kk. 
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122 STAT. 989 
PUBLIC LAW 110–234—MAY 22, 2008 
international trade agreements that have been approved by 
Congress. 
‘‘(2) EXCEPTION.—Paragraph (1) shall not apply to specialty 
sugar. 
‘‘(b) ADJUSTMENT.— 
‘‘(1) BEFORE APRIL 1.—Before April 1 of each fiscal year, 
if there is an emergency shortage of sugar in the United States 
market that is caused by a war, flood, hurricane, or other 
natural disaster, or other similar event as determined by the 
Secretary— 
‘‘(A) the Secretary shall take action to increase 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 
imports; and 
‘‘(B) if there is still a shortage of sugar in the United 
States market, and marketing of domestic sugar has been 
maximized, and domestic raw cane sugar refining capacity 
has been maximized, the Secretary may increase the tariff- 
rate quota for refined sugars sufficient to accommodate 
the supply increase, if the further increase will not threaten 
to result in the forfeiture of sugar pledged as collateral 
for a loan 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 increase 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 
imports; and 
‘‘(B) if there is still a shortage of sugar in the United 
States market, and marketing of domestic 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 collateral 
for a loan under section 156 of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7272).’’. 
(k) PERIOD OF EFFECTIVENESS.—Part VII of subtitle 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: 
‘‘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 mar-
keting 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 enactment of this section.’’. 
SEC. 1404. STORAGE FACILITY LOANS. 
Section 1402(c) of the Farm Security and Rural Investment 
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 paragraph (3); 
(3) by inserting after paragraph (1) the following: 
‘‘(2) not include any penalty for prepayment; and’’; and 
7 USC 1359ll. 
Deadline. 
Deadline. 
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122 STAT. 990 
PUBLIC LAW 110–234—MAY 22, 2008 
(4) in paragraph (3) (as redesignated by paragraph (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 amended by adding at 
the end the following: 
‘‘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 establish 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 hundred-
weight of refined sugar per month; and 
‘‘(2) in the case of raw cane sugar, 10 cents per hundred-
weight of raw cane sugar per month. 
‘‘(b) SUBSEQUENT CROP YEARS.—For each of the 2012 and subse-
quent crop years, the Commodity Credit Corporation shall establish 
rates for the storage of forfeited 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 section, 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 
(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 unrestricted use 
by the Commodity Credit Corporation. 
(b) SUPPORT ACTIVITIES.—During the period beginning 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 pro-
duced in the United States. 
(c) PURCHASE PRICE.—To carry out subsection (b) during the 
period specified in that subsection, the Secretary 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 EXCESS INVEN-
TORIES.— 
(1) ADJUSTMENTS AUTHORIZED.—The Secretary may adjust 
the minimum purchase prices established 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 
Time period. 
7 USC 8771. 
7 USC 7287. 
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122 STAT. 991 
PUBLIC LAW 110–234—MAY 22, 2008 
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. 
(5) BUTTER INVENTORIES IN EXCESS OF 650,000,000 POUNDS.— 
If net removals for a period of 12 consecutive months exceed 
650,000,000 pounds of butter, the Secretary may reduce the 
purchase price under subsection (c)(3) during the immediately 
following month by not more than 20 cents per pound. 
(6) NONFAT DRY MILK INVENTORIES IN EXCESS OF 600,000,000 
POUNDS.—If net removals for a period of 12 consecutive months 
exceed 600,000,000 pounds of nonfat dry milk, but do not exceed 
800,000,000 pounds, the Secretary may reduce the purchase 
price under subsection (c)(4) during the immediately following 
month by not more than 5 cents per pound. 
(7) NONFAT DRY MILK INVENTORIES IN EXCESS OF 800,000,000 
POUNDS.—If net removals for a period of 12 consecutive months 
exceed 800,000,000 pounds of nonfat dry milk, the Secretary 
may reduce the purchase price under subsection (c)(4) during 
the immediately following month by not more than 10 cents 
per pound. 
(e) UNIFORM PURCHASE PRICE.—The prices that the Secretary 
pays for cheese, butter, or nonfat dry milk, 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 speci-
fied in subsection (c) for that commodity. 
SEC. 1502. DAIRY FORWARD PRICING PROGRAM. 
(a) PROGRAM REQUIRED.—The Secretary shall establish a pro-
gram under which milk producers and cooperative associations of 
producers are authorized to voluntarily enter into forward price 
contracts with milk handlers. 
(b) MINIMUM MILK PRICE REQUIREMENTS.—Payments made by 
milk handlers to milk producers and cooperative associations of 
producers, and prices received by milk producers and cooperative 
associations, in accordance with the terms of a forward price con-
tract authorized by subsection (a), shall be treated as satisfying— 
(1) all uniform and minimum milk price requirements of 
subparagraphs (B) and (F) of paragraph (5) of section 8c of 
the Agricultural Adjustment Act (7 U.S.C. 608c), reenacted 
7 USC 8772. 
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122 STAT. 992 
PUBLIC LAW 110–234—MAY 22, 2008 
with amendments by the Agricultural Marketing Agreement 
Act of 1937; and 
(2) the total payment requirement of subparagraph (C) 
of that paragraph. 
(c) MILK COVERED BY PROGRAM.— 
(1) COVERED MILK.—The program shall apply only with 
respect to the marketing of federally regulated milk that— 
(A) is not classified as Class I milk or otherwise 
intended for fluid use; and 
(B) is in the current of interstate or foreign commerce 
or directly burdens, obstructs, or affects interstate or for-
eign commerce in federally 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 handler may allocate milk receipts from producers, 
cooperatives, 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.— 
(1) IN GENERAL.—A milk handler may not require participa-
tion in a forward pricing contract as a condition of the handler 
receiving milk from a producer or cooperative association of 
producers. 
(2) 
PRICING.—A 
producer 
or 
cooperative 
association 
described in paragraph (1) may continue to have their milk 
priced in accordance with the minimum payment provisions 
of the Federal milk marketing order. 
(3) COMPLAINTS.— 
(A) IN GENERAL.—The Secretary shall investigate com-
plaints made by producers or cooperative associations of 
coercion by handlers to enter into forward contracts. 
(B) ACTION.—If the Secretary finds evidence of coer-
cion, the Secretary shall take appropriate action. 
(e) DURATION.— 
(1) NEW CONTRACTS.—No forward price contract may be 
entered into under the program established under this section 
after September 30, 2012. 
(2) APPLICATION.—No forward contract entered into under 
the program may extend beyond September 30, 2015. 
SEC. 1503. DAIRY EXPORT INCENTIVE PROGRAM. 
(a) EXTENSION.—Section 153(a) of the Food Security Act of 
1985 (15 U.S.C. 713a–14(a)) is amended by striking ‘‘2007’’ and 
inserting ‘‘2012’’. 
(b) COMPLIANCE WITH TRADE AGREEMENTS.—Section 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 exports allow-
able consistent with the obligations of the United States under 
the Uruguay Round Agreements 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), except to 
the extent that the export of such a volume under the program 
Termination 
date. 
Deadline. 
Applicability. 
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122 STAT. 993 
PUBLIC LAW 110–234—MAY 22, 2008 
would, in the judgment of the Secretary, exceed the limitations 
on the value permitted 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 para-
graph (2), the Commodity Credit Corporation shall in each 
year use money and commodities for the program under this 
section in the maximum amount consistent with the obligations 
of the United States under the Uruguay Round Agreements 
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 Agricultural Marketing Agree-
ment Act of 1937, is amended by striking subsection (17) and 
inserting the following: 
‘‘(17) PROVISIONS APPLICABLE TO AMENDMENTS.— 
‘‘(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 PRACTICE.— 
‘‘(i) IN
GENERAL.—Not later than 60 days after 
the date of enactment of this subparagraph, the Sec-
retary shall issue, using informal rulemaking, supple-
mental rules of practice to define guidelines and time-
frames for the rulemaking process relating to amend-
ments to orders. 
‘‘(ii) ISSUES.—At a minimum, the supplemental 
rules of practice shall establish— 
‘‘(I) proposal submission requirements; 
‘‘(II) pre-hearing information session specifica-
tions; 
‘‘(III) written testimony and data request 
requirements; 
‘‘(IV) public participation timeframes; and 
‘‘(V) electronic document submission stand-
ards. 
‘‘(iii) EFFECTIVE DATE.—The supplemental 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 marketing order, the Secretary 
shall— 
‘‘(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 additional informa-
tion to be used by the Secretary in making a 
determination regarding the proposal; and 
Notice. 
Deadlines. 
Deadline. 
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122 STAT. 994 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(bb) if the additional information is not pro-
vided to the Secretary within the timeframe 
requested by the Secretary, issue a denial of the 
request; or 
‘‘(III) issue a denial of the request. 
‘‘(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 
marketing order. 
‘‘(iii) RECOMMENDED DECISIONS.—A recommended 
decision on a proposed amendment to an order shall 
be issued not later than 90 days after the deadline 
for the submission of post-hearing briefs. 
‘‘(iv) FINAL DECISIONS.—A final decision on a pro-
posed amendment to an order shall be issued not later 
than 60 days after the deadline for submission of com-
ments and exceptions to the recommended decision 
issued under clause (iii). 
‘‘(D) INDUSTRY ASSESSMENTS.—If the Secretary deter-
mines it is necessary to improve or expedite rulemaking 
under this subsection, the Secretary may impose an assess-
ment 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 section 553 of title 5, United 
States Code, to amend orders, other than provisions of 
orders that directly affect milk prices. 
‘‘(F) AVOIDING DUPLICATION.—The Secretary shall not 
be required to hold a hearing on any amendment proposed 
to be made to a milk marketing order in response to an 
application 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 ALLOW-
ANCES.—As part of any hearing 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 determining whether 
or not to adjust make allowances.’’. 
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: 
7 USC 8773. 
Deadline. 
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122 STAT. 995 
PUBLIC LAW 110–234—MAY 22, 2008 
(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 ‘‘eligible 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 Adjustment Act (7 U.S.C. 608c), reenacted 
with amendments by the Agricultural Marketing Agreement 
Act of 1937. 
(4) PARTICIPATING STATE.—The term ‘‘participating State’’ 
means each State. 
(5) PRODUCER.—The term ‘‘producer’’ means an individual 
or entity that directly or indirectly (as determined by the Sec-
retary)— 
(A) shares in the risk of producing milk; and 
(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 during the 
applicable month established under subsection (e); 
(2) the amount equal to— 
(A) $16.94 per hundredweight, as adjusted under sub-
section (d); less 
(B) the Class I milk price per hundredweight 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; 
(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 there-
after, 34 percent. 
(d) PAYMENT RATE ADJUSTMENT FOR FEED PRICES.— 
(1) INITIAL
ADJUSTMENT
AUTHORITY.—During the period 
beginning on January 1, 2008, and ending on August 31, 2012, 
if the National Average Dairy Feed Ration Cost for a month 
during that period is greater than $7.35 per hundredweight, 
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 $7.35 per hundredweight. 
(2) SUBSEQUENT ADJUSTMENT AUTHORITY.—For any month 
beginning on or after September 1, 2012, if the National Aver-
age Dairy Feed Ration Cost for the month is greater than 
$9.50 per hundredweight, 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. 
Time period. 
Contracts. 
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122 STAT. 996 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) NATIONAL AVERAGE DAIRY FEED RATION COST.—For each 
month, the Secretary shall calculate a National Average Dairy 
Feed Ration Cost per hundredweight using the same procedures 
(adjusted 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 Agricul-
tural Prices publication (including the data and factors noted 
in footnote 4). 
(e) PAYMENT QUANTITY.— 
(1) IN GENERAL.—Subject to paragraph (2), the payment 
quantity for a producer during the applicable 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 pro-
ducers 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; 
(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 determining whether 
producers are producers on separate dairy operations or 
a single dairy operation, the Secretary shall apply the 
same standards as were applied in implementing the dairy 
program under section 805 of the Agriculture, Rural 
Development, Food and Drug Administration, and Related 
Agencies Appropriations Act, 2001 (as enacted into law 
by Public Law 106–387; 114 Stat. 1549A–50). 
(3) RECONSTITUTION.—The Secretary shall ensure 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 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 paragraph (2), any 
contract entered into by producers on a dairy farm under this 
section shall cover eligible production marketed by the pro-
ducers 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. 
Contracts. 
Time period. 
Deadline. 
Applicability. 
Effective date. 
Time periods. 
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122 STAT. 997 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 1507. DAIRY PROMOTION AND RESEARCH PROGRAM. 
(a) 
EXTENSION
OF
DAIRY
PROMOTION
AND
RESEARCH 
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’’. 
(b) DEFINITION OF UNITED STATES FOR PROMOTION 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 geographical 
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 Stabilization 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 District of Columbia, and 
the Commonwealth of Puerto Rico.’’. 
(d) ASSESSMENT RATE FOR IMPORTED DAIRY PRODUCTS.—Section 
113(g) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 
4504(g)) is amended by striking paragraph (3) and inserting the 
following: 
‘‘(3) RATE.— 
‘‘(A) IN GENERAL.—The rate of assessment for milk 
produced in the United States prescribed by the order 
shall be 15 cents per hundredweight of milk for commercial 
use or the equivalent thereof, as determined by the Sec-
retary. 
‘‘(B) IMPORTED DAIRY PRODUCTS.—The rate of assess-
ment 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 Sec-
retary.’’. 
(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 subparagraph 
(B). 
(f) REFUND
OF ASSESSMENTS
ON CERTAIN IMPORTED 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 PROD-
UCTS.— 
‘‘(A) IN GENERAL.—An importer shall be entitled to 
a refund of any assessment paid under this subsection 
on imported dairy products 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 subparagraph (A) 
shall expire 1 year after the date of enactment of the 
Food, Conservation, and Energy Act of 2008.’’. 
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122 STAT. 998 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 1508. REPORT ON DEPARTMENT OF AGRICULTURE REPORTING 
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 Depart-
ment of Agriculture reporting 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 appropria-
tions to carry out this section, the Secretary shall establish a 
commission to be known as the ‘‘Federal Milk Marketing Order 
Review Commission’’ (referred to in this section as the ‘‘commis-
sion’’), which shall conduct a comprehensive review and evaluation 
of— 
(1) the Federal milk marketing order system in effect on 
the date of establishment of the commission; and 
(2) non-Federal milk marketing order systems. 
(b) ELEMENTS OF REVIEW AND EVALUATION.—As part of the 
review and evaluation under subsection (a), the commission shall 
consider legislative and regulatory options for— 
(1) ensuring that the competitiveness of dairy products 
with other competing products in the marketplace is preserved 
and enhanced; 
(2) enhancing the competitiveness of American dairy pro-
ducers in world markets; 
(3) ensuring the competitiveness and transparency in dairy 
pricing; 
(4) streamlining and expediting the process by which 
amendments to Federal milk market orders are adopted; 
(5) simplifying the Federal milk marketing order system; 
(6) evaluating whether the Federal milk marketing order 
system serves the interests of dairy producers, consumers, and 
dairy processors; and 
(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 consist of 14 mem-
bers. 
(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 following requirements: 
(A) At least 1 member shall represent a national con-
sumer organization. 
(B) At least 4 members shall represent land-grant 
universities or NLGCA Institutions (as defined in section 
1404 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103)) with accredited 
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. 
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122 STAT. 999 
PUBLIC LAW 110–234—MAY 22, 2008 
(D) 4 dairy producers and 4 dairy processors, appointed 
so as to balance geographical distribution of milk produc-
tion and dairy processing, 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 termi-
nation of the commission shall be filled in the same manner 
as the original appointment. 
(5) COMPENSATION.—Members of the commission shall 
serve without compensation, but shall be reimbursed by the 
Secretary from existing budget authority for necessary and 
reasonable expenses incurred in the performance of the duties 
of the commission. 
(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 Secretary a report describing the 
results of the review and evaluation conducted under this sec-
tion, including such recommendations regarding the legislative 
and regulatory options considered under subsection (b) as the 
commission considers to be appropriate. 
(2) OPINIONS.—The report findings shall reflect, to the max-
imum extent practicable, a consensus 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 commission are nonbinding. 
(f) NO EFFECT ON EXISTING PROGRAMS.—The Secretary 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, pro-
posed, or near completion. 
(g) ADMINISTRATIVE ASSISTANCE.—The Secretary shall provide 
administrative support to the commission, and expend to carry 
out this section such funds as necessary from budget authority 
available to the Secretary. 
(h) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section. 
(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 COMMODITIES. 
(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 subsection (e); and 
(2) by inserting after subsection (c) the following: 
‘‘(d) ELECTRONIC REPORTING.— 
‘‘(1) IN GENERAL.—Subject to the availability of funds under 
paragraph (3), the Secretary shall establish an electronic 
reporting system to carry out this section. 
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122 STAT. 1000 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) FREQUENCY OF REPORTS.—After the establishment of 
the electronic reporting system in accordance with paragraph 
(1), the Secretary shall increase 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.’’. 
(b) QUARTERLY AUDITS.—Section 273(c) of the Agricultural Mar-
keting Act of 1946 (7 U.S.C. 1637b(c)) is amended by striking 
paragraph (3) and inserting the following: 
‘‘(3) VERIFICATION.— 
‘‘(A) IN
GENERAL.—The Secretary shall take such 
actions as the Secretary considers necessary to verify the 
accuracy of the information submitted or reported under 
this subtitle. 
‘‘(B) QUARTERLY
AUDITS.—The Secretary shall quar-
terly 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 other-
wise provided in this title, the Secretary shall use the funds, facili-
ties, and authorities of the Commodity Credit Corporation to carry 
out this title. 
(b) DETERMINATIONS
BY SECRETARY.—A determination made 
by the Secretary under this title shall be final and conclusive. 
(c) REGULATIONS.— 
(1) IN GENERAL.—Except as otherwise provided in this sub-
section, not later than 90 days after the date of enactment 
of this Act, the Secretary and the Commodity Credit Corpora-
tion, 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 regulations and 
administration of this title and the amendments made by this 
title shall be made without regard to— 
(A) chapter 35 of title 44, United States Code (com-
monly known as the ‘‘Paperwork Reduction Act’’); 
(B) the Statement of Policy of the Secretary of Agri-
culture 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 RULEMAKING.—In 
carrying out this subsection, the Secretary shall use the 
authority provided under section 808 of title 5, United States 
Code. 
(4) INTERIM
REGULATIONS.—Notwithstanding paragraphs 
(1) and (2), the Secretary shall implement 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. 
Deadline. 
7 USC 8781. 
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122 STAT. 1001 
PUBLIC LAW 110–234—MAY 22, 2008 
(d) ADJUSTMENT AUTHORITY RELATED TO TRADE AGREEMENTS 
COMPLIANCE.— 
(1) REQUIRED DETERMINATION; ADJUSTMENT.—If the Sec-
retary determines that expenditures under this title that are 
subject to the total allowable 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 maximum extent practicable, make 
adjustments in the amount of such expenditures during that 
period to ensure that such expenditures do not exceed such 
allowable levels. 
(2) CONGRESSIONAL
NOTIFICATION.—Before making any 
adjustment under paragraph (1), the Secretary shall submit 
to the Committee on Agriculture of the House of Representa-
tives or the Committee on Agriculture, Nutrition, and Forestry 
of 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 Investment 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 commod-
ities, peanuts, and sugar and shall not be applicable to milk during 
the period beginning on the date of enactment of this Act through 
December 31, 2012: 
(1) Parts II through V of subtitle B of title III (7 U.S.C. 
1326 et seq.). 
(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 applicable to the 2008 
through 2012 crops of covered commodities, peanuts, and sugar 
and shall not be applicable to milk during the period beginning 
on the date of enactment 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.). 
Time period. 
7 USC 8782. 
Reports. 
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122 STAT. 1002 
PUBLIC LAW 110–234—MAY 22, 2008 
(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.). 
(c) SUSPENSION OF CERTAIN QUOTA PROVISIONS.—The joint reso-
lution entitled ‘‘A joint resolution relating to corn and wheat mar-
keting quotas under the Agricultural 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 Security and Rural Investment Act 
of 2002’’ each place it appears 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 redesignating para-
graph (3) as paragraph (5); and 
(C) by inserting after paragraph (1) the following: 
‘‘(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 other-
wise by marriage. 
‘‘(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 commodity; or 
‘‘(B) produces an agricultural commodity. 
‘‘(4) PERSON.—The term ‘person’ means a natural 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 PAY-
MENTS, AND ACRE PAYMENTS FOR COVERED COMMODITIES (OTHER 
THAN PEANUTS).— 
‘‘(1) DIRECT PAYMENTS.—The total amount of direct pay-
ments received, directly or indirectly, by a person or legal 
entity (except a joint venture or a general partnership) for 
any crop year under subtitle A of title I of the Food, Conserva-
tion, and Energy Act of 2008 for 1 or more covered commodities 
(except 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 pro-
gram under section 1105 of that Act, $40,000; or 
‘‘(B) in the case of a person or legal entity that partici-
pates 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 
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122 STAT. 1003 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(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 venture or a general partnership) 
that does not participate in the average crop revenue election 
program under section 1105 of the Food, Conservation, and 
Energy Act of 2008, the total amount of counter-cyclical pay-
ments 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 commodities (except for peanuts) 
may not exceed $65,000. 
‘‘(3) ACRE AND COUNTER-CYCLICAL PAYMENTS.—In the case 
of a person or legal entity (except a joint venture or a general 
partnership) that participates in the average crop revenue elec-
tion program under section 1105 of the Food, Conservation, 
and Energy Act of 2008, the total amount of average crop 
revenue election payments and counter-cyclical payments 
received, directly or indirectly, by the person or legal entity 
for any crop year for 1 or more covered commodities (except 
for peanuts) may not exceed the sum of— 
‘‘(A) $65,000; and 
‘‘(B) the amount by which the direct payment limitation 
is reduced under paragraph (1)(B). 
‘‘(c) LIMITATION ON DIRECT PAYMENTS, COUNTER-CYCLICAL PAY-
MENTS, AND ACRE PAYMENTS FOR PEANUTS.— 
‘‘(1) DIRECT PAYMENTS.—The total amount of direct pay-
ments received, directly or indirectly, by a person or legal 
entity (except a joint venture or a general partnership) for 
any crop year under subtitle C of title I of the Food, Conserva-
tion, and Energy Act of 2008 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 pro-
gram under section 1105 of that Act, $40,000; or 
‘‘(B) in the case of a person or legal entity that partici-
pates 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 venture or a general partnership) 
that does not participate in the average crop revenue election 
program under section 1105 of the Food, Conservation, and 
Energy Act of 2008, the total amount of counter-cyclical pay-
ments received, directly or indirectly, by the person or legal 
entity for any crop year under subtitle C of title I of that 
Act for peanuts may not exceed $65,000. 
‘‘(3) ACRE AND COUNTER-CYCLICAL PAYMENTS.—In the case 
of a person or legal entity (except a joint venture or a general 
partnership) that participates in the average crop revenue elec-
tion program under section 1105 of the Food, Conservation, 
and Energy Act of 2008, the total amount of average 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 
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122 STAT. 1004 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the amount by which the direct payment limitation 
is reduced under paragraph (1)(B). 
‘‘(d) LIMITATION
ON APPLICABILITY.—Nothing in this section 
authorizes any limitation on any benefit associated with the mar-
keting 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 
(B) by inserting after subsection (d) the following: 
‘‘(e) ATTRIBUTION OF PAYMENTS.— 
‘‘(1) IN GENERAL.—In implementing subsections (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 necessary 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 payments. 
‘‘(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 persons who have a direct 
or indirect ownership interest in the legal entity unless 
the payment to 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 VENTURES AND GENERAL 
PARTNERSHIPS.—Payments made to a joint venture or 
a general partnership shall not exceed, for each pay-
ment specified in subsections (b) and (c), the amount 
determined by multiplying the maximum payment 
amount specified in subsections (b) and (c) by the 
number of persons and legal entities (other than joint 
ventures and general partnerships) that comprise the 
ownership of the joint venture or general partnership. 
‘‘(iii) REDUCTION.—Payments made to a legal entity 
shall be reduced proportionately by an amount that 
represents the direct or indirect ownership in the legal 
entity by any person or legal entity that has otherwise 
exceeded the applicable maximum payment limitation. 
‘‘(4) 4 LEVELS OF ATTRIBUTION FOR EMBEDDED LEGAL ENTI-
TIES.— 
‘‘(A) IN GENERAL.—Attribution of payments 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 
Regulations. 
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122 STAT. 1005 
PUBLIC LAW 110–234—MAY 22, 2008 
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 propor-
tion 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 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 provided in clause 
(ii), the Secretary shall attribute 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 under the age of 18 
shall be attributed to the parents of the child. 
‘‘(B) REGULATIONS.—The Secretary shall issue regula-
tions specifying the conditions under which payments 
received by a child under the age of 18 will not be attributed 
to the parents of the child. 
‘‘(2) MARKETING
COOPERATIVES.—Subsections (b) and (c) 
shall not apply to a cooperative association of producers with 
respect to commodities produced by the members of the associa-
tion that are marketed by the association on behalf of the 
members of the association but shall apply to the producers 
as persons. 
‘‘(3) TRUSTS AND ESTATES.— 
‘‘(A) IN GENERAL.—With respect to irrevocable 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 consid-
ered an irrevocable trust, the terms of the trust agree-
ment shall not— 
‘‘(I) allow for modification or termination of 
the trust by the grantor; 
Applicability. 
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122 STAT. 1006 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) allow for the grantor to have any future, 
contingent, or remainder 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 
remainder beneficiary in less than 20 years begin-
ning on the date the trust is established. 
‘‘(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 purposes of this sec-
tion through section 1001F, a 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 sub-
section (b) or (c) only if the tenant makes a significant 
contribution of equipment to the farming operation. 
‘‘(5) FEDERAL AGENCIES.— 
‘‘(A) IN GENERAL.—Notwithstanding subsection (d), a 
Federal agency 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) LAND RENTAL.—A lessee of land owned by a Fed-
eral agency may receive a payment described in subsection 
(b), (c), or (d) if the lessee otherwise meets all applicable 
criteria. 
‘‘(6) STATE AND LOCAL GOVERNMENTS.— 
‘‘(A) IN
GENERAL.—Notwithstanding subsection (d), 
except as provided in subsection (g), a State or local govern-
ment, 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 subdivision or agency of 
the government, may receive payments described in sub-
sections (b), (c), and (d) if the lessee otherwise meets all 
applicable criteria. 
‘‘(7) CHANGES IN FARMING OPERATIONS.— 
‘‘(A) IN GENERAL.—In the administration of this section 
through section 1001F, the Secretary may not approve 
any change in a farming operation that otherwise will 
increase the number of persons to which the limitations 
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122 STAT. 1007 
PUBLIC LAW 110–234—MAY 22, 2008 
under this section are applied unless the Secretary deter-
mines 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 sub-
stantive change in the farming operation. 
‘‘(8) DEATH OF OWNER.— 
‘‘(A) IN GENERAL.—If any ownership interest in land 
or a commodity is transferred as the result of the death 
of a program participant, the new owner of the land or 
commodity may, if the person is otherwise eligible to 
participate in the applicable program, succeed to the con-
tract of the prior owner and receive payments 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. 
‘‘(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 eligible, 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 subsections (b) and (c) that are 
received collectively by the State and local government 
and all political subdivisions or agencies of those govern-
ments shall not exceed $500,000. 
‘‘(B) EXCEPTION.—The limitation in subparagraph (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 ‘‘PREVENTION OF 
CREATION OF ENTITIES TO QUALIFY AS SEPARATE PERSONS’’ 
and inserting ‘‘NOTIFICATION 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 person or legal entity receiving 
payments described in subsections (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 number of each 
legal entity in which the person or legal entity holds an owner-
ship interest.’’. 
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122 STAT. 1008 
PUBLIC LAW 110–234—MAY 22, 2008 
(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.— 
‘‘(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 engaged in farming with respect 
to a farming operation as provided in this subsection or sub-
section (c). 
‘‘(2) CLASSES ACTIVELY ENGAGED.—Except as provided in 
subsections (c) and (d)— 
‘‘(A) a person (including a person participating 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 operation of— 
‘‘(I) capital, equipment, or land; and 
‘‘(II) personal labor or active personal manage-
ment; 
‘‘(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 partnership, charitable 
organization, or other similar entity determined by the 
Secretary (including any such legal entity participating 
in the farming operation as a partner in a general partner-
ship, a participant in a joint venture, a grantor of a rev-
ocable trust, or as a participant in a similar legal entity 
as determined by the Secretary) shall be considered as 
actively engaged in farming with respect to a farming 
operation 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 collectively make 
a significant contribution of personal labor or active 
personal management to the operation; and 
‘‘(iii) the standards provided in clauses (ii) and 
(iii) of subparagraph (A), as applied to the legal entity, 
are met by the legal entity; 
‘‘(C) if a legal entity that is a general partnership, 
joint venture, or similar entity, as determined by the Sec-
retary, separately makes a significant contribution (based 
on the total value of the farming operation involved) of 
capital, equipment, or land, and the standards provided 
in clauses (ii) and (iii) of subparagraph (A), as applied 
to the legal entity, are met by the legal entity, the partners 
or members making a significant contribution of personal 
labor or active personal management shall be considered 
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122 STAT. 1009 
PUBLIC LAW 110–234—MAY 22, 2008 
to be actively engaged in farming with respect to the 
farming operation involved; and 
‘‘(D) in making determinations under this subsection 
regarding equipment and personal labor, the Secretary 
shall take into consideration the equipment and personal 
labor normally and customarily provided by farm operators 
in the area involved to produce program crops. 
‘‘(c) SPECIAL CLASSES ACTIVELY ENGAGED.— 
‘‘(1) LANDOWNER.—A person or legal entity that is a land-
owner contributing the owned land to a farming operation 
shall be considered to be actively engaged in farming with 
respect to the farming operation if— 
‘‘(A) the landowner receives rent or income for the 
use of the land based on the production on the land or 
the operating results of the operation; and 
‘‘(B) the person or legal entity meets the standards 
provided in clauses (ii) and (iii) of subsection (b)(2)(A). 
‘‘(2) ADULT FAMILY MEMBER.—If a majority of the partici-
pants in a farming operation are family members, an adult 
family member shall be considered to be actively engaged in 
farming with respect to the farming operation if the person— 
‘‘(A) makes a significant contribution, based on the 
total value of the farming operation, of active personal 
management or personal labor; and 
‘‘(B) with respect to such contribution, meets the stand-
ards provided in clauses (ii) and (iii) of subsection (b)(2)(A). 
‘‘(3) SHARECROPPER.—A sharecropper who makes a signifi-
cant contribution of personal labor to a farming operation shall 
be considered to be actively engaged in farming with respect 
to the farming operation if the contribution meets the standards 
provided in clauses (ii) and (iii) of subsection (b)(2)(A). 
‘‘(4) GROWERS OF HYBRID SEED.—In determining whether 
a person or legal entity growing hybrid seed under contract 
shall be considered to be actively engaged in farming, the 
Secretary shall not take into consideration the existence of 
a hybrid seed contract. 
‘‘(5) CUSTOM FARMING SERVICES.— 
‘‘(A) IN GENERAL.—A person or legal entity receiving 
custom farming services shall be considered separately 
eligible for payment limitation purposes if the person or 
legal entity is actively engaged in farming based on sub-
section (b)(2) or paragraphs (1) through (4) of this sub-
section. 
‘‘(B) PROHIBITION.—No other rules with respect to cus-
tom farming shall apply. 
‘‘(6) SPOUSE.—If 1 spouse (or estate of a deceased 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 contributing land 
to a farming operation shall not be considered to be actively 
engaged in farming with respect to the farming operation if 
the landlord receives 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. 
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122 STAT. 1010 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) OTHER PERSONS AND LEGAL ENTITIES.—Any other per-
son 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: 
‘‘SEC. 1001B. DENIAL OF PROGRAM BENEFITS. 
‘‘(a) 2-YEAR DENIAL OF PROGRAM BENEFITS.—A person or legal 
entity shall be ineligible to receive payments 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 device 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 engaged 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 know-
ingly engaged in, or aided in the creation of a fraudulent document, 
failed to disclose material information relevant to the administra-
tion of sections 1001 through 1001F, or committed other equally 
serious 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.— 
‘‘(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 otherwise payable to 
a person or legal entity shall be denied in a pro rata manner 
if the person or legal entity 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 entity (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 cooperates with the 
Secretary in enforcing sections 1001, 1001A, and 1001C, and this 
section.’’. 
(f) CONFORMING AMENDMENT TO APPLY DIRECT ATTRIBUTION 
TO NAP.— 
(1) IN GENERAL.—Section 196(i) of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7333(i)) is 
amended— 
Fraud. 
Regulations. 
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122 STAT. 1011 
PUBLIC LAW 110–234—MAY 22, 2008 
(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 Security Act of 1985 (7 U.S.C. 
1308(a)). 
‘‘(2) PAYMENT LIMITATION.—The total amount of payments 
received, directly or indirectly, by a person or legal entity 
(excluding a joint venture or general partnership) for any crop 
year may not exceed $100,000.’’; 
(B) by striking paragraph (4) and inserting the fol-
lowing: 
‘‘(4) ADJUSTED
GROSS
INCOME
LIMITATION.—A person or 
legal entity that has an average adjusted gross income in 
excess of the average adjusted gross income limitation 
applicable under section 1001D(b)(1)(A) of the Food Security 
Act of 1985 (7 U.S.C. 1308–3a(b)(1)(A)), or a successor provision, 
shall not be eligible to receive noninsured crop disaster assist-
ance 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 partnership) in accordance with the 
terms and conditions 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’’. 
(2) Section 609(b)(1) of the Emergency Livestock 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 Insurance 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, Agriculture, Conserva-
tion, 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)’’. 
7 USC 7333 note. 
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122 STAT. 1012 
PUBLIC LAW 110–234—MAY 22, 2008 
(6) Section 291(2) of the Trade Act of 1974 (19 U.S.C. 
2401(2)) is amended by inserting ‘‘(before the amendment made 
by section 1703(a) of the Food, Conservation, and Energy Act 
of 2008)’’ before 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 continue 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 Security 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
INCOME.—The term 
‘average adjusted gross income’, 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
INCOME.—The 
term ‘average adjusted gross farm 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 described 
in subparagraph (A), as determined by the Secretary in 
accordance with subsection (c). 
‘‘(C) AVERAGE
ADJUSTED
GROSS
NONFARM
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 ENTI-
TIES.—In the case of a legal entity that is not required to 
file a Federal income tax return 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 provide, by regula-
tion, a method for determining the average adjusted gross 
income, the average adjusted gross farm income, and the aver-
age adjusted gross 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 statement by a 
certified public accountant or attorney that specifies the 
method by which the average adjusted gross income, aver-
age adjusted gross farm income, and average adjusted gross 
Applicability. 
7 USC 1308 note. 
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122 STAT. 1013 
PUBLIC LAW 110–234—MAY 22, 2008 
nonfarm income would have been declared and reported 
had the persons filed 2 separate returns; and 
‘‘(B) the Secretary determines that the method 
described in the statement is consistent with the informa-
tion supporting the filed joint tax return. 
‘‘(b) LIMITATIONS.— 
‘‘(1) COMMODITY PROGRAMS.— 
‘‘(A) 
NONFARM
LIMITATION.—Notwithstanding 
any 
other provision of law, a person or legal entity shall not 
be eligible to receive any 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 entity shall not be 
eligible to receive a direct payment 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-cyclical payment 
under subtitle A or C of title I of the Food, Conserva-
tion, and Energy Act of 2008 or an average crop rev-
enue election payment under subtitle A of title I of 
that Act. 
‘‘(ii) A marketing loan gain or loan deficiency pay-
ment under subtitle B or C of title I of the Food, 
Conservation, and Energy Act of 2008. 
‘‘(iii) A payment or benefit under section 196 of 
the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7333). 
‘‘(iv) A payment or benefit under section 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 provided 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 appropriate, if the 
average adjusted gross nonfarm 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. 
‘‘(ii) EXCEPTION.—The Secretary may waive the 
limitation established under clause (i) on a case-by- 
case basis if the Secretary determines that environ-
mentally sensitive land of special significance would 
be protected. 
‘‘(B) COVERED
BENEFITS.—Subparagraph (A) applies 
with respect to the following: 
Applicability. 
Waiver authority. 
Applicability. 
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122 STAT. 1014 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(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 Investment 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 section 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 entity, the Secretary 
shall include income or benefits derived from or related to— 
‘‘(A) the production of crops, including specialty crops 
(as defined in section 3 of the Specialty Crops Competitive-
ness 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, honey-
bees, and other animals designated by the Secretary) and 
products produced by, or derived from, livestock; 
‘‘(C) the production of farm-based renewable 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 easements and 
development rights, of farm, ranch, or forestry land, water 
or hunting rights, or environmental benefits; 
‘‘(E) the rental or lease of land or equipment 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, including renewable energy; 
‘‘(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 subtitle 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 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 
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122 STAT. 1015 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(N) any other activity related to farming, ranching, 
or forestry, as determined by the Secretary. 
‘‘(2) INCOME DERIVED FROM FARMING, RANCHING, OR FOR-
ESTRY.—In determining the average adjusted 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 person or legal entity to report income from farming, 
ranching, or forestry operations to the Internal Revenue 
Service, to the extent such income is not already 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 paragraphs (1) and (2), in determining the average adjusted 
gross farm income of the person or legal entity, the Secretary 
shall also include— 
‘‘(A) the sale of equipment to conduct farm, ranch, 
or forestry operations; and 
‘‘(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 entity shall provide to 
the Secretary— 
‘‘(A) a certification by a certified public accountant 
or another third party that is acceptable to the Secretary 
that the average adjusted gross income, average adjusted 
gross farm income, and average adjusted gross nonfarm 
income of the person or legal entity does not exceed the 
applicable limitation specified in that subsection; or 
‘‘(B) information and documentation regarding the 
average adjusted gross income, average 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 deter-
mines that a person or legal entity has failed to comply with 
this section, the Secretary shall deny the issuance of applicable 
payments and 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 statistically valid 
procedures under which the Secretary shall conduct targeted 
audits of such persons or legal entities as the Secretary deter-
mines 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, general 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 subsection (b). 
Procedures. 
Certification. 
Deadline. 
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122 STAT. 1016 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(f) EFFECTIVE PERIOD.—This section shall apply only during 
the 2009 through 2012 crop, program, or fiscal years, as appro-
priate.’’. 
(b) TRANSITION.—Section 1001D of the Food Security Act of 
1985 (7 U.S.C. 1308–3a), as in effect on September 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 subsection (a)). 
SEC. 1605. AVAILABILITY OF QUALITY INCENTIVE PAYMENTS FOR COV-
ERED OILSEED PRODUCERS. 
(a) INCENTIVE PAYMENTS REQUIRED.—Subject to subsection (b) 
and the availability of appropriations under subsection (h), the 
Secretary shall use funds made available under subsection (h) to 
provide quality incentive payments for the production of oilseeds 
with specialized traits that enhance human health, as determined 
by the Secretary. 
(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 hydro-
genate the oil derived from the oilseed for use in human 
consumption; or 
(B) adopting new technology traits; and 
(2) 1 or more impediments to commercialization. 
(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 description 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 subsection (b) 
and the value of the oilseed variety as a matter of public 
policy; 
(D) a range for the base price and premiums per bushel 
or hundredweight to be paid to producers; 
(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 production and esti-
mated acres needed to produce the targeted quantity for 
each year under this section. 
(d) CONTRACTS FOR PRODUCTION.— 
(1) IN GENERAL.—The Secretary shall approve successful 
proposals submitted under subsection (c) on a timely basis. 
Applicability. 
7 USC 1308–3a 
note. 
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122 STAT. 1017 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) TIMING OF PAYMENTS.—The Secretary shall make pay-
ments 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 request for proposals under 
subsection (c), the Secretary shall issue additional requests 
for proposals for subsequent crop years under this section. 
(2) PRORATED PAYMENTS.—If funding provided for a crop 
year is less than the amount otherwise approved by the Sec-
retary or for which approval is sought, the Secretary shall 
prorate the payments 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 Secretary 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 described in the proposal, as approved by the 
Secretary. 
(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— 
(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 require such 
assurances and documentation as may be needed to enforce 
the guarantee. 
(4) ADDITIONAL PENALTIES.— 
(A) IN GENERAL.—In addition to payments required 
under paragraph (2), the Secretary may impose penalties 
on additional persons that use oilseeds the use of which 
is restricted 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 appropriated 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 necessary to carry out this 
section for each of fiscal years 2009 through 2012. 
SEC. 1606. PERSONAL LIABILITY OF PRODUCERS FOR DEFICIENCIES. 
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 Investment Act of 2002’’ 
each place it appears and inserting ‘‘title I of the Farm Security 
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122 STAT. 1018 
PUBLIC LAW 110–234—MAY 22, 2008 
and Rural Investment Act of 2002, and title I of the Food, Conserva-
tion, and Energy Act of 2008’’. 
SEC. 1607. EXTENSION OF EXISTING ADMINISTRATIVE AUTHORITY 
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, Conserva-
tion, and Energy Act of 2008’’; and 
(2) in subsection (c), by adding at the end the following: 
‘‘(3) TERMINATION OF AUTHORITY.—The authority to carry 
out paragraph (1) terminates effective 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 assignment 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 titles I and II and 
the amendments made by those titles. 
SEC. 1610. GOVERNMENT PUBLICATION OF COTTON PRICE FORE-
CASTS. 
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 sub-
sections (d) through (f), respectively. 
SEC. 1611. PREVENTION OF DECEASED INDIVIDUALS RECEIVING PAY-
MENTS UNDER FARM COMMODITY PROGRAMS. 
(a) REGULATIONS.—Not later than 180 days after the date of 
enactment of this Act, the Secretary shall promulgate 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 eligible 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 Administration to determine if the individ-
uals are alive. 
Deadline. 
7 USC 8786. 
7 USC 8785. 
Applicability. 
7 USC 8784. 
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122 STAT. 1019 
PUBLIC LAW 110–234—MAY 22, 2008 
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 Secretary, is— 
(A) certified; 
(B) of a variety that is suitable for the State in which 
the seed will be planted; 
(C) rated at least superior with respect to quality; 
and 
(D) specifically approved under a seed establishment 
program established by the State Department of Agri-
culture and the State Wheat Commission of the 1 or more 
States in which the seed will be planted. 
(2) PROGRAM.—The term ‘‘program’’ means the hard white 
wheat development program established under subsection 
(b)(1). 
(3) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of Agriculture, in consultation with the State Departments 
of Agriculture and the State Wheat Commissions of the States 
in regions in which hard white wheat is produced, as deter-
mined by the Secretary. 
(b) ESTABLISHMENT.— 
(1) IN GENERAL.—Subject to the availability of appropria-
tions, the Secretary shall establish a hard white wheat develop-
ment program in accordance with paragraph (2) to promote 
the establishment of hard white wheat as a viable market 
class of wheat in the United States by encouraging production 
of at least 240,000,000 bushels of hard white wheat by 2012. 
(2) PAYMENTS.— 
(A) IN GENERAL.—Subject to subparagraphs (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 
producers of those crops. 
(B) ACREAGE LIMITATION.—The Secretary shall carry 
out subparagraph (A) subject to a regional limitation deter-
mined by the Secretary on the number of acres for which 
payments may be received that takes into account planting 
history and potential planting, but does not exceed a total 
of 2,900,000 acres or the equivalent 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 
(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 pro-
ducers of durum wheat in an amount not to exceed 50 percent 
of the actual cost of fungicides applied to a crop of durum wheat 
7 USC 8788. 
7 USC 8787. 
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122 STAT. 1020 
PUBLIC LAW 110–234—MAY 22, 2008 
of the producers to control 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 appro-
priated for a fiscal year under subsection (c) are insufficient to 
fulfill all eligible requests for compensation 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. 
SEC. 1614. STORAGE FACILITY LOANS. 
(a) IN GENERAL.—As soon as practicable after the date of enact-
ment of this Act, the Secretary shall establish a storage facility 
loan program to provide funds for producers of grains, oilseeds, 
pulse crops, hay, renewable biomass, and other storable commod-
ities (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 sub-
section (a) that, as determined by the Secretary— 
(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 stor-
age 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, to facilitate the purchase and construc-
tion of eligible facilities. 
(f) LOAN SECURITY.—Approval of a storage facility loan under 
this section shall— 
(1) require the borrower to provide loan security 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 Sec-
retary; 
(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 located, if the borrower— 
(A) agrees to increase the down payment on the storage 
facility by an amount determined appropriate by the Sec-
retary; 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 security for the storage 
facility loan if the subparcel is— 
(A) of adequate size and value to adequately secure 
the loan; and 
7 USC 8789. 
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122 STAT. 1021 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) not subject to any other liens or mortgages 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 appropriately; 
(2) in the matter preceding item (aa) (as redesignated by 
paragraph (1)), by striking ‘‘A committee established’’ and 
inserting the following: 
‘‘(I) IN GENERAL.—Except as provided in sub-
clause (II), a committee established’’; and 
(3) by adding at the end the following: 
‘‘(II) COMBINATION
OR
CONSOLIDATION
OF 
AREAS.—A committee established by combining or 
consolidating 2 or more county or area committees 
shall consist of not fewer than 3 nor more than 
11 members that— 
‘‘(aa) are fairly representative of the agri-
cultural producers within the area covered by 
the county, area, or local committee; and 
‘‘(bb) are elected by the agricultural pro-
ducers that participate or cooperate in pro-
grams administered within the area under the 
jurisdiction of the county, area, or local com-
mittee. 
‘‘(III) REPRESENTATION OF SOCIALLY DISADVAN-
TAGED
FARMERS
AND
RANCHERS.—The Secretary 
shall develop procedures to maintain representa-
tion 
of 
socially 
disadvantaged 
farmers 
and 
ranchers on combined or consolidated committees. 
‘‘(IV) ELIGIBILITY FOR MEMBERSHIP.—Notwith-
standing any other producer eligibility require-
ments 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 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 inserting ‘‘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 com-
modity 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 docu-
ment is inadequate or invalid because of the lack of authority 
of any person signing the document on behalf of the applicant 
or any other individual, entity, general partnership, or joint venture, 
7 USC 8790. 
Procedures. 
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122 STAT. 1022 
PUBLIC LAW 110–234—MAY 22, 2008 
or the documents relied upon were determined inadequate or 
invalid, unless the person signing the program document knowingly 
and willfully falsified the evidence of signature authority or a 
signature. 
(b) AFFIRMATION.— 
(1) IN GENERAL.—Nothing in this section prohibits the Sec-
retary from asking a proper party to affirm any document 
that otherwise would be considered approved under subsection 
(a). 
(2) NO RETROACTIVE EFFECT.—A denial of benefits based 
on a lack of affirmation under paragraph (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 Secretary of 
the documents in good faith; and 
(B) substantively complied with all program require-
ments 
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 Representa-
tives and the Committee on Agriculture, Nutrition, and Forestry 
and the Committee on Appropriations of the Senate a report pre-
pared by a third party that describes— 
(1) the data processing and information technology chal-
lenges experienced in local offices of the Farm Service Agency; 
(2) the impact of those challenges on service to producers, 
on efficiency of personnel, and on implementation 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 mod-
ernization and stabilization of Farm Service Agency information 
technology systems; 
(6) the benefits associated with such modernization 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 appropriately managed. 
SEC. 1619. INFORMATION GATHERING. 
(a) GEOSPATIAL SYSTEMS.—The Secretary shall ensure that all 
the geospatial data of the agencies of the Department of Agriculture 
are portable and standardized. 
(b) LIMITATION ON DISCLOSURES.— 
(1) DEFINITION OF AGRICULTURAL OPERATION.—In this sub-
section, the term ‘‘agricultural operation’’ includes the produc-
tion and marketing of agricultural commodities and livestock. 
(2) PROHIBITION.—Except as provided in paragraphs (3) 
and (4), the Secretary, any officer or employee of the Depart-
ment of Agriculture, or any contractor or cooperator of the 
Department, shall not disclose— 
7 USC 8791. 
Deadline. 
Reports. 
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122 STAT. 1023 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) information provided by an agricultural 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 maintained by the 
Secretary about agricultural land or operations for which 
information described in subparagraph (A) is provided. 
(3) AUTHORIZED DISCLOSURES.— 
(A) LIMITED
RELEASE
OF
INFORMATION.—If the Sec-
retary determines that the information described in para-
graph (2) will not be subsequently disclosed except in 
accordance with paragraph (4), the Secretary may release 
or disclose the information to a person or Federal, State, 
local, or tribal agency working in cooperation with the 
Secretary in any Department program— 
(i) when providing technical or financial assistance 
with respect to the agricultural operation, agricultural 
land, or farming 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 
disclosure of information to a person or cooperating 
government entity is necessary to assist the Secretary 
in responding to the disease or pest threat as author-
ized 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 authorized by law; 
(B) the disclosure of information described in para-
graph (2) if the information has been transformed into 
a statistical or aggregate form without naming any— 
(i) individual owner, operator, or producer; or 
(ii) specific data gathering site; or 
(C) the disclosure of information described in para-
graph (2) pursuant to the consent of the agricultural pro-
ducer 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 agricultural 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 privilege 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 the House of Representa-
tives and the Committee on Agriculture, Nutrition, and Forestry 
and the Committee on Appropriations of the Senate a report that 
describes— 
Deadline. 
Reports. 
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122 STAT. 1024 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) the costs and time associated with complying with 
leasing procedures of the General Services Administration rel-
ative to the previous independent 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 Administration 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
FARMER
OR 
RANCHER.—The term ‘‘geographically disadvantaged farmer or 
rancher’’ has the meaning given the term in section 10906(a) 
of the Farm Security 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 disadvan-
taged farmers or ranchers direct reimbursement payments for 
activities described in subsection (c). 
(c) TRANSPORTATION.— 
(1) IN GENERAL.—Subject to paragraphs (2) and (3), the 
Secretary may provide direct reimbursement payments to a 
geographically disadvantaged farmer or rancher to transport 
an agricultural commodity, or inputs used to produce an agricul-
tural commodity, during a fiscal year. 
(2) PROOF OF ELIGIBILITY.—To be eligible to receive assist-
ance under paragraph (1), a geographically disadvantaged 
farmer or rancher shall demonstrate 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 payments made to a geographically 
disadvantaged 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 geographi-
cally disadvantaged farmer or rancher for transpor-
tation of the agricultural 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 allowance for 
the fiscal year, as determined by the Secretary. 
7 USC 8792. 
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122 STAT. 1025 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) LIMITATION.—The total amount of direct reimburse-
ment payments provided by the Secretary under this sec-
tion shall not exceed $15,000,000 for a fiscal year. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section for each of fiscal years 2009 through 2012. 
SEC. 1622. IMPLEMENTATION. 
The Secretary shall make available to the Farm Service Agency 
to carry out this title $50,000,000. 
SEC. 1623. REPEALS. 
(a) COMMISSION ON APPLICATION OF PAYMENT LIMITATIONS.— 
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 ASSISTANCE 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. 
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 following new para-
graph: 
‘‘(2) BEGINNING FARMER OR RANCHER.—The term ‘beginning 
farmer or rancher’ has the meaning given the term in section 
343(a)(8) of the Consolidated 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: 
‘‘(8) FARM.—The term ‘farm’ means a farm that— 
‘‘(A) is under the general control of one operator; 
‘‘(B) has one or more owners; 
‘‘(C) consists of one or more tracts of land, whether 
or not contiguous; 
‘‘(D) is located within a county or region, as determined 
by the Secretary; and 
‘‘(E) may contain lands that are incidental to the 
production of perennial crops, including conserving uses, 
forestry, and livestock, as determined by the Secretary.’’. 
(c) INDIAN TRIBE.—Section 1201(a) of the Food Security Act 
of 1985 (16 U.S.C. 3801(a)) is amended by inserting after paragraph 
7 USC 8793. 
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122 STAT. 1026 
PUBLIC LAW 110–234—MAY 22, 2008 
(13), as redesignated by subsection (a)(1), the following new para-
graph: 
‘‘(14) INDIAN
TRIBE.—The term ‘Indian tribe’ has the 
meaning given the term in section 4(e) of the Indian Self- 
Determination and Education Assistance Act (25 U.S.C. 
450b(e)).’’. 
(d) INTEGRATED PEST MANAGEMENT; LIVESTOCK; NONINDUS-
TRIAL PRIVATE FOREST LAND; PERSON AND LEGAL ENTITY.—Section 
1201(a) of the Food Security Act of 1985 (16 U.S.C. 3801(a)) is 
amended by inserting after paragraph (15), as redesignated by 
subsection (a)(1), the following new paragraphs: 
‘‘(16) 
INTEGRATED
PEST
MANAGEMENT.—The 
term 
‘integrated pest management’ means a sustainable approach 
to managing pests by combining biological, cultural, physical, 
and chemical tools in a way that minimizes economic, health, 
and environmental risks. 
‘‘(17) LIVESTOCK.—The term ‘livestock’ means all animals 
raised on farms, as determined by the Secretary. 
‘‘(18) NONINDUSTRIAL
PRIVATE
FOREST
LAND.—The term 
‘nonindustrial private forest land’ means rural land, as deter-
mined by the Secretary, that— 
‘‘(A) has existing tree cover or is suitable for growing 
trees; and 
‘‘(B) is owned by any nonindustrial private individual, 
group, association, corporation, Indian tribe, or other pri-
vate legal entity that has definitive decisionmaking 
authority over the land. 
‘‘(19) PERSON AND LEGAL ENTITY.—For purposes of applying 
payment limitations under subtitle D, the terms ‘person’ and 
‘legal entity’ have the meanings given those terms in section 
1001(a) of this Act (7 U.S.C. 1308(a)).’’. 
(e) SOCIALLY DISADVANTAGED FARMER OR RANCHER.—Section 
1201(a) of the Food Security Act of 1985 (16 U.S.C. 3801(a)) is 
amended by inserting after paragraph (22), as redesignated by 
subsection (a)(1), the following new paragraph: 
‘‘(23) SOCIALLY DISADVANTAGED FARMER OR RANCHER.—The 
term ‘socially disadvantaged farmer or rancher’ has the 
meaning given the term in section 2501(e)(2) of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C. 
2279(e)(2)).’’. 
(f) TECHNICAL ASSISTANCE.—Section 1201(a) of the Food Secu-
rity Act of 1985 (16 U.S.C. 3801(a)) is amended by inserting after 
paragraph (24), as redesignated by subsection (a)(1), the following 
new paragraph: 
‘‘(25) TECHNICAL ASSISTANCE.—The term ‘technical assist-
ance’ means technical expertise, information, and tools nec-
essary for the conservation of natural resources on land active 
in agricultural, forestry, or related uses. The term includes 
the following: 
‘‘(A) Technical services provided directly to farmers, 
ranchers, and other eligible entities, such as conservation 
planning, technical consultation, and assistance with 
design and implementation of conservation practices. 
‘‘(B) Technical infrastructure, including activities, proc-
esses, tools, and agency functions needed to support 
delivery of technical services, such as technical standards, 
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122 STAT. 1027 
PUBLIC LAW 110–234—MAY 22, 2008 
resource inventories, training, data, technology, monitoring, 
and effects analyses.’’. 
SEC. 2002. REVIEW OF GOOD FAITH DETERMINATIONS RELATED TO 
HIGHLY ERODIBLE LAND CONSERVATION. 
Section 1212 of the Food Security Act of 1985 (16 U.S.C. 3812) 
is amended by striking subsection (f) and inserting the following 
new subsection: 
‘‘(f) GRADUATED PENALTIES.— 
‘‘(1) INELIGIBILITY.—No person shall become ineligible 
under section 1211 for program loans, payments, and benefits 
as a result of the failure of the person to actively apply a 
conservation plan, if the Secretary determines that the person 
has acted in good faith and without an intent to violate this 
subtitle. 
‘‘(2) ELIGIBLE
REVIEWERS.—A determination of the Sec-
retary, or a designee of the Secretary, under paragraph (1) 
shall be reviewed by the applicable— 
‘‘(A) State Executive Director, with the technical 
concurrence of the State Conservationist; or 
‘‘(B) district director, with the technical concurrence 
of the area conservationist. 
‘‘(3) PERIOD FOR IMPLEMENTATION.—A person who meets 
the requirements of paragraph (1) shall be allowed a reasonable 
period of time, as determined by the Secretary, but not to 
exceed 1 year, during which to implement the measures and 
practices necessary to be considered to be actively applying 
the conservation plan of the person. 
‘‘(4) PENALTIES.— 
‘‘(A) APPLICATION.—This paragraph applies if the Sec-
retary determines that— 
‘‘(i) a person has failed to comply with section 
1211 with respect to highly erodible cropland, and 
has acted in good faith and without an intent to violate 
section 1211; or 
‘‘(ii) the violation— 
‘‘(I) is technical and minor in nature; and 
‘‘(II) has a minimal effect on the erosion control 
purposes of the conservation plan applicable to 
the land on which the violation has occurred. 
‘‘(B) REDUCTION.—If this paragraph applies under 
subparagraph (A), the Secretary shall, in lieu of applying 
the ineligibility provisions of section 1211, reduce program 
benefits described in section 1211 that the producer would 
otherwise be eligible to receive in a crop year by an amount 
commensurate with the seriousness of the violation, as 
determined by the Secretary. 
‘‘(5) SUBSEQUENT CROP YEARS.—Any person whose benefits 
are reduced for any crop year under this subsection shall con-
tinue to be eligible for all of the benefits described in section 
1211 for any subsequent crop year if, prior to the beginning 
of the subsequent crop year, the Secretary determines that 
the person is actively applying a conservation plan according 
to the schedule specified in the plan.’’. 
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122 STAT. 1028 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 2003. REVIEW OF GOOD FAITH DETERMINATIONS RELATED TO 
WETLAND CONSERVATION. 
Section 1222(h) of the Food Security Act of 1985 (16 U.S.C. 
3822(h)) is amended— 
(1) by redesignating paragraph (2) as paragraph (3); 
(2) by inserting after paragraph (1) the following new para-
graph: 
‘‘(2) ELIGIBLE
REVIEWERS.—A determination of the Sec-
retary, or a designee of the Secretary, under paragraph (1) 
shall be reviewed by the applicable— 
‘‘(A) State Executive Director, with the technical 
concurrence of the State Conservationist; or 
‘‘(B) district director, with the technical concurrence 
of the area conservationist.’’; and 
(3) in paragraph (3) (as redesignated by paragraph (1)), 
by inserting ‘‘be’’ before ‘‘actively’’. 
Subtitle B—Conservation Reserve Program 
SEC. 2101. EXTENSION OF CONSERVATION RESERVE PROGRAM. 
Section 1231(a) of the Food Security Act of 1985 (16 U.S.C. 
3831(a)) is amended— 
(1) by striking ‘‘2007 calendar year’’ and inserting ‘‘2012 
fiscal year’’; and 
(2) by inserting before the period the following: ‘‘and to 
address issues raised by State, regional, and national conserva-
tion initiatives’’; and 
SEC. 2102. LAND ELIGIBLE FOR ENROLLMENT IN CONSERVATION 
RESERVE. 
Section 1231(b) of the Food Security Act of 1985 (16 U.S.C. 
3831(b)) is amended— 
(1) in paragraph (1)(B)— 
(A) by striking ‘‘Farm Security and Rural Investment 
Act of 2002’’ and inserting ‘‘Food, Conservation, and Energy 
Act of 2008’’; and 
(B) by striking the period at the end and inserting 
a semicolon; and 
(2) in paragraph (4)— 
(A) in subparagraph (C), by striking ‘‘; or’’ and inserting 
a semicolon; 
(B) in subparagraph (D), by striking ‘‘and’’ at the end 
and inserting ‘‘or’’; and 
(C) in subparagraph (E), by inserting ‘‘or’’ after the 
semicolon at the end. 
SEC. 2103. MAXIMUM ENROLLMENT OF ACREAGE IN CONSERVATION 
RESERVE. 
Section 1231(d) of the Food Security Act of 1985 (16 U.S.C. 
3831(d)) is amended— 
(1) by striking ‘‘2007 calendar years’’ and inserting ‘‘2009 
fiscal years’’; 
(2) by striking ‘‘( 16 U.S.C.’’ and inserting ‘‘(16 U.S.C.’’; 
and 
(3) by adding at the end the following new sentence: 
‘‘During fiscal years 2010, 2011, and 2012, the Secretary may 
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122 STAT. 1029 
PUBLIC LAW 110–234—MAY 22, 2008 
maintain up to 32,000,000 acres in the conservation reserve 
at any 1 time.’’. 
SEC. 2104. DESIGNATION OF CONSERVATION PRIORITY AREAS. 
Section 1231(f) of the Food Security Act of 1985 (16 U.S.C. 
3831(f)) is amended by striking ‘‘the Chesapeake Bay Region 
(Pennsylvania, Maryland, and Virginia)’’ and inserting ‘‘the Chesa-
peake Bay Region’’. 
SEC. 2105. TREATMENT OF MULTI-YEAR GRASSES AND LEGUMES. 
Subsection (g) of section 1231 of the Food Security Act of 
1985 (16 U.S.C. 3831) is amended to read as follows: 
‘‘(g) MULTI-YEAR GRASSES AND LEGUMES.— 
‘‘(1) IN GENERAL.—For purposes of this subchapter, alfalfa 
and other multi-year grasses and legumes in a rotation practice, 
approved by the Secretary, shall be considered agricultural 
commodities. 
‘‘(2) CROPPING HISTORY.—Alfalfa, when grown as part of 
a rotation practice, as determined by the Secretary, is an agri-
cultural commodity subject to the cropping history criteria 
under subsection (b)(1)(B) for the purpose of determining 
whether highly erodible cropland has been planted or consid-
ered planted for 4 of the 6 years referred to in such subsection.’’. 
SEC. 2106. REVISED PILOT PROGRAM FOR ENROLLMENT OF WETLAND 
AND BUFFER ACREAGE IN CONSERVATION RESERVE. 
(a) REVISED PROGRAM.— 
(1) IN GENERAL.—Title XII of the Food Security Act of 
1985 is amended by inserting after section 1231 (16 U.S.C. 
3831) the following new section: 
‘‘SEC. 1231B. PILOT PROGRAM FOR ENROLLMENT OF WETLAND AND 
BUFFER ACREAGE IN CONSERVATION RESERVE. 
‘‘(a) PROGRAM REQUIRED.— 
‘‘(1) IN GENERAL.—During the 2008 through 2012 fiscal 
years, the Secretary shall carry out a program in each State 
under which the Secretary shall enroll eligible acreage 
described in subsection (b). 
‘‘(2) PARTICIPATION AMONG STATES.—The Secretary shall 
ensure, to the maximum extent practicable, that owners and 
operators in each State have an equitable opportunity to partici-
pate in the program established under this section. 
‘‘(b) ELIGIBLE ACREAGE.— 
‘‘(1) WETLAND AND RELATED LAND.—Subject to subsections 
(c) and (d), an owner or operator may enroll in the conservation 
reserve, pursuant to the program established under this section, 
land— 
‘‘(A) that is wetland (including a converted wetland 
described in section 1222(b)(1)(A)) that had a cropping his-
tory during at least 3 of the immediately preceding 10 
crop years; 
‘‘(B) on which a constructed wetland is to be developed 
that will receive flow from a row crop agriculture drainage 
system and is designed to provide nitrogen removal in 
addition to other wetland functions; 
‘‘(C) that was devoted to commercial pond-raised aqua-
culture in any year during the period of calendar years 
2002 through 2007; or 
16 USC 3831b. 
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122 STAT. 1030 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(D) that, after January 1, 1990, and before December 
31, 2002, was— 
‘‘(i) cropped during at least 3 of 10 crop years; 
and 
‘‘(ii) subject to the natural overflow of a prairie 
wetland. 
‘‘(2) BUFFER ACREAGE.—Subject to subsections (c) and (d), 
an owner or operator may enroll in the conservation reserve, 
pursuant to the program established under this section, buffer 
acreage that— 
‘‘(A) with respect to land described in subparagraph 
(A), (B), or (C) of paragraph (1)— 
‘‘(i) is contiguous to such land 
‘‘(ii) is used to protect such land; and 
‘‘(iii) is of such width as the Secretary determines 
is necessary to protect such land, taking into consider-
ation and accommodating the farming practices 
(including the straightening of boundaries to accommo-
date machinery) used with respect to the cropland 
that surrounds such land; and 
‘‘(B) with respect to land described in subparagraph 
(D) of paragraph (1), enhances a wildlife benefit to the 
extent practicable in terms of upland to wetland ratios, 
as determined by the Secretary. 
‘‘(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 ENROLLMENT.—Subject to 
paragraph (3), any acreage enrolled in the conservation reserve 
under this section shall be considered acres maintained in 
the conservation reserve. 
‘‘(3) RELATIONSHIP TO OTHER ENROLLED ACREAGE.—Acreage 
enrolled in the conservation reserve under this section shall 
not affect for any fiscal year the quantity of— 
‘‘(A) acreage enrolled to establish conservation buffers 
as part of the program announced 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 ENROLLMENT ACRE-
AGE.—The Secretary shall conduct a review of the program 
established under this section with respect to each State that 
has enrolled land in the conservation reserve pursuant to the 
program. As a result of the review, the Secretary may increase 
the number of acres that may be enrolled in a State under 
the program to not more than 200,000 acres, notwithstanding 
paragraph (1)(A). 
‘‘(d) OWNER OR OPERATOR ENROLLMENT LIMITATIONS.— 
‘‘(1) WETLAND AND RELATED LAND.— 
‘‘(A) WETLANDS
AND
CONSTRUCTED
WETLANDS.—The 
maximum size of any land described in subparagraph (A) 
or (B) of subsection (b)(1) that an owner or operator may 
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122 STAT. 1031 
PUBLIC LAW 110–234—MAY 22, 2008 
enroll in the conservation reserve, pursuant to the program 
established under this section, shall be 40 contiguous acres. 
‘‘(B) FLOODED FARMLAND.—The maximum size of any 
land described in subparagraph (D) of subsection (b)(1) 
that an owner or operator may enroll in the conservation 
reserve, pursuant to the program established under this 
section, shall be 20 contiguous acres. 
‘‘(C) COVERAGE.—All acres described in subparagraph 
(A) or (B), including acres that are ineligible for payment, 
shall be covered by the conservation contract. 
‘‘(2) BUFFER ACREAGE.—The maximum size of any buffer 
acreage described in subsection (b)(2) that an owner or operator 
may enroll in the conservation reserve under this section shall 
be determined by the Secretary in consultation with the State 
Technical Committee. 
‘‘(3) TRACTS.—Except for land described in subsection 
(b)(1)(C) and buffer acreage related to such land, the maximum 
size of any eligible acreage described in subsection (b)(1) in 
a tract of an owner or operator enrolled in the conservation 
reserve under this section shall be 40 acres. 
‘‘(e) DUTIES
OF OWNERS
AND OPERATORS.—During the term 
of a contract entered into under the program established under 
this section, an owner or operator shall agree— 
‘‘(1) to restore the hydrology of the wetland within the 
eligible acreage to the maximum extent practicable, as deter-
mined by the Secretary; 
‘‘(2) to establish vegetative cover (which may include 
emerging vegetation in water and bottomland hardwoods, 
cypress, and other appropriate tree species) on the eligible 
acreage, as determined by the Secretary; 
‘‘(3) to a general prohibition of commercial use of the 
enrolled land; and 
‘‘(4) to carry out other duties described in section 1232. 
‘‘(f) DUTIES OF THE SECRETARY.— 
‘‘(1) IN GENERAL.—Except as provided in paragraphs (2) 
and (3), in return for a contract entered into under this section, 
the Secretary shall— 
‘‘(A) make payments to the owner or operator based 
on rental rates for cropland; and 
‘‘(B) provide assistance to the owner or operator in 
accordance with sections 1233 and 1234. 
‘‘(2) CONTRACT OFFERS AND PAYMENTS.—The Secretary shall 
use the method of determination described in section 
1234(c)(2)(B) to determine the acceptability of contract offers 
and the amount of rental payments under this section. 
‘‘(3) INCENTIVES.—The amounts payable to owners and 
operators in the form of rental payments under contracts 
entered into under this section shall reflect incentives that 
are provided to owners and operators to enroll filterstrips in 
the conservation reserve under section 1234.’’. 
(2) REPEAL OF SUPERCEDED PROGRAM.—Section 1231 of the 
Food Security Act of 1985 (16 U.S.C. 3831) is amended— 
(A) by striking subsection (h); and 
(B) by redesignating subsections (i) and (j) as sub-
sections (h) and (i), respectively. 
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122 STAT. 1032 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) CONFORMING CHANGES
TO EMERGENCY FORESTRY CON-
SERVATION RESERVE PROGRAM.—Subsection (k) of section 1231 of 
the Food Security Act of 1985 (16 U.S.C. 3831) is amended— 
(1) by striking ‘‘(k) EMERGENCY FORESTRY CONSERVATION 
RESERVE PROGRAM.—’’ and inserting the following: 
‘‘SEC. 1231A. EMERGENCY FORESTRY CONSERVATION RESERVE PRO-
GRAM.’’; 
(2) by striking ‘‘subsection’’ each place it appears (other 
than paragraph (3)(C)(ii)) and inserting ‘‘section’’; 
(3) by redesignating paragraphs (1), (2), and (3) as sub-
sections (a), (b), and (c), respectively; 
(4) in subsection (a), as so redesignated, by redesignating 
subparagraphs (A) and (B) as paragraphs (1) and (2), respec-
tively; and 
(5) in subsection (c), as so redesignated— 
(A) by redesignating subparagraphs (A) through (I) 
as paragraphs (1) through (9), respectively; 
(B) in paragraph (1), as so redesignated, by striking 
‘‘subparagraph (B)’’ and ‘‘subparagraph (G)’’ and inserting 
‘‘paragraph (2)’’ and ‘‘paragraph (7)’’, respectively; 
(C) in paragraph (3), as so redesignated— 
(i) by redesignating clauses (i) and (ii) as subpara-
graphs (A) and (B), respectively; and 
(ii) by striking ‘‘subsection (d)’’ and inserting ‘‘sec-
tion 1231(d)’’; 
(D) in paragraph (4), as so redesignated, by redesig-
nating clauses (i) and (ii) as subparagraphs (A) and (B), 
respectively; 
(E) in paragraph (5), as so redesignated— 
(i) by redesignating clauses (i) through (v) as sub-
paragraphs (A) through (E), respectively, and sub-
clauses (I) and (II) as clauses (i) and (ii), respectively; 
(ii) in subparagraph (B), as so redesignated, by 
striking ‘‘clause (i)(I)’’ and inserting ‘‘subparagraph 
(A)(i)’’; and 
(iii) in subparagraph (C), as so redesignated, by 
striking ‘‘clause (i)(II)’’ and inserting ‘‘subparagraph 
(A)(ii)’’; and 
(F) in paragraph (9), as so redesignated, by redesig-
nating clauses (i) through (iii) as subparagraphs (A) 
through (C), respectively, and subclauses (I) through (III) 
as clauses (i) through (iii), respectively. 
SEC. 2107. ADDITIONAL DUTY OF PARTICIPANTS UNDER CONSERVA-
TION RESERVE CONTRACTS. 
Section 1232(a) of the Food Security Act of 1985 (16 U.S.C. 
3832(a)) is amended— 
(1) by redesignating paragraphs (5) through (10) as para-
graphs (6) through (11), respectively; and 
(2) by inserting after paragraph (4) the following new para-
graph: 
‘‘(5) to undertake management on the land as needed 
throughout the term of the contract to implement the conserva-
tion plan;’’. 
16 USC 3831a. 
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122 STAT. 1033 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 2108. MANAGED HAYING, GRAZING, OR OTHER COMMERCIAL USE 
OF FORAGE ON ENROLLED LAND AND INSTALLATION OF 
WIND TURBINES. 
(a) GENERAL PROHIBITION; EXCEPTIONS.—Section 1232(a) of the 
Food Security Act of 1985 (16 U.S.C. 3832(a)) is amended by striking 
paragraph (8), as redesignated by section 2107, and inserting the 
following new paragraph: 
‘‘(8) not to conduct any harvesting or grazing, nor otherwise 
make commercial use of the forage, on land that is subject 
to the contract, nor adopt any similar practice specified in 
the contract by the Secretary as a practice that would tend 
to defeat the purposes of the contract, except that the Secretary 
may permit, consistent with the conservation of soil, water 
quality, and wildlife habitat (including habitat during nesting 
seasons for birds in the area)— 
‘‘(A) managed harvesting (including the managed har-
vesting of biomass), except that in permitting managed 
harvesting, the Secretary, in coordination with the State 
technical committee— 
‘‘(i) shall develop appropriate vegetation manage-
ment requirements; and 
‘‘(ii) shall identify periods during which managed 
harvesting may be conducted; 
‘‘(B) harvesting and grazing or other commercial use 
of the forage on the land that is subject to the contract 
in response to a drought or other emergency; 
‘‘(C) routine grazing or prescribed grazing for the con-
trol of invasive species, except that in permitting such 
routine grazing or prescribed grazing, the Secretary, in 
coordination with the State technical committee— 
‘‘(i) shall develop appropriate vegetation manage-
ment requirements and stocking rates for the land 
that are suitable for continued routine grazing; and 
‘‘(ii) shall establish the frequency during which 
routine grazing may be conducted, taking into consider-
ation regional differences such as— 
‘‘(I) climate, soil type, and natural resources; 
‘‘(II) the number of years that should be 
required between routine grazing activities; and 
‘‘(III) how often during a year in which routine 
grazing is permitted that routine grazing should 
be allowed to occur; and 
‘‘(D) the installation of wind turbines, except that in 
permitting the installation of wind turbines, the Secretary 
shall determine the number and location of wind turbines 
that may be installed, taking into account— 
‘‘(i) the location, size, and other physical character-
istics of the land; 
‘‘(ii) the extent to which the land contains wildlife 
and wildlife habitat; and 
‘‘(iii) the purposes of the conservation reserve pro-
gram under this subchapter;’’. 
(b) RENTAL PAYMENT REDUCTION.—Section 1232 of the Food 
Security Act of 1985 (16 U.S.C. 3832) is amended by adding at 
the end the following new subsection: 
‘‘(d) RENTAL PAYMENT REDUCTION FOR CERTAIN AUTHORIZED 
USES OF ENROLLED LAND.—In the case of an authorized activity 
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122 STAT. 1034 
PUBLIC LAW 110–234—MAY 22, 2008 
under subsection (a)(8) on land that is subject to a contract under 
this subchapter, the Secretary shall reduce the rental payment 
otherwise payable under the contract by an amount commensurate 
with the economic value of the authorized activity.’’. 
SEC. 
2109. 
COST 
SHARING 
PAYMENTS 
RELATING 
TO 
TREES, 
WINDBREAKS, 
SHELTERBELTS, 
AND 
WILDLIFE 
COR-
RIDORS. 
Section 1234(b) of the Food Security Act of 1985 (16 U.S.C. 
3834(b)) is amended by striking paragraph (3) and inserting the 
following new paragraph: 
‘‘(3) TREES, WINDBREAKS, SHELTERBELTS, AND WILDLIFE COR-
RIDORS.— 
‘‘(A) APPLICABILITY.—This paragraph applies to— 
‘‘(i) land devoted to the production of hardwood 
trees, windbreaks, shelterbelts, or wildlife corridors 
under a contract entered into under this subchapter 
after November 28, 1990; 
‘‘(ii) land converted to such production under sec-
tion 1235A; and 
‘‘(iii) land on which an owner or operator agrees 
to conduct thinning authorized by section 1232(a)(9), 
if the thinning is necessary to improve the condition 
of resources on the land. 
‘‘(B) PAYMENTS.— 
‘‘(i) PERCENTAGE.—In making cost share payments 
to an owner or operator of land described in subpara-
graph (A), the Secretary shall pay 50 percent of the 
reasonable and necessary costs incurred by the owner 
or operator for maintaining trees or shrubs, including 
the cost of replanting (if the trees or shrubs were 
lost due to conditions beyond the control of the owner 
or operator) or thinning. 
‘‘(ii) DURATION.—The Secretary shall make pay-
ments as described in clause (i) for a period of not 
less than 2 years, but not more than 4 years, beginning 
on the date of— 
‘‘(I) the planting of the trees or shrubs; or 
‘‘(II) the thinning of existing stands to improve 
the condition of resources on the land.’’. 
SEC. 2110. EVALUATION AND ACCEPTANCE OF CONTRACT OFFERS, 
ANNUAL RENTAL PAYMENTS, AND PAYMENT LIMITA-
TIONS. 
(a) EVALUATION AND ACCEPTANCE OF CONTRACT OFFERS.—Sec-
tion 1234(c) of the Food Security Act of 1985 (16 U.S.C. 3834(c)) 
is amended by striking paragraph (3) and inserting the following 
new paragraph: 
‘‘(3) ACCEPTANCE OF CONTRACT OFFERS.— 
‘‘(A) EVALUATION
OF
OFFERS.—In determining the 
acceptability of contract offers, the Secretary may take 
into consideration the extent to which enrollment of the 
land that is the subject of the contract offer would improve 
soil resources, water quality, or wildlife habitat or provide 
other environmental benefits. 
‘‘(B) ESTABLISHMENT OF DIFFERENT CRITERIA IN VAR-
IOUS STATES AND REGIONS.—The Secretary may establish 
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122 STAT. 1035 
PUBLIC LAW 110–234—MAY 22, 2008 
different criteria for determining the acceptability of con-
tract offers in various States and regions of the United 
States based on the extent to which water quality or wild-
life habitat may be improved or erosion may be abated. 
‘‘(C) LOCAL PREFERENCE.—In determining the accept-
ability of contract offers for new enrollments, the Secretary 
shall accept, to the maximum extent practicable, an offer 
from an owner or operator that is a resident of the county 
in which the land is located or of a contiguous county 
if, as determined by the Secretary, the land would provide 
at least equivalent conservation benefits to land under 
competing offers.’’. 
(b) ANNUAL SURVEY OF DRYLAND AND IRRIGATED CASH RENTAL 
RATES.— 
(1) ANNUAL ESTIMATES REQUIRED.—Section 1234(c) of the 
Food Security Act of 1985 (16 U.S.C. 3834(c)) is amended by 
adding at the end the following new paragraph: 
‘‘(5) RENTAL RATES.— 
‘‘(A) 
ANNUAL
ESTIMATES.—The 
Secretary 
(acting 
through the National Agricultural Statistics Service) shall 
conduct an annual survey of per acre estimates of county 
average market dryland and irrigated cash rental rates 
for cropland and pastureland in all counties or equivalent 
subdivisions within each State that have 20,000 acres or 
more of cropland and pastureland. 
‘‘(B) PUBLIC
AVAILABILITY
OF
ESTIMATES.—The esti-
mates derived from the annual survey conducted under 
subparagraph (A) shall be maintained on a website of the 
Department of Agriculture for use by the general public.’’. 
(2) FIRST SURVEY.—The first survey required by paragraph 
(5) of section 1234(c) of the Food Security Act of 1985 (16 
U.S.C. 3834(c)), as added by subsection (a), shall be conducted 
not later than 1 year after the date of enactment of this Act. 
(c) PAYMENT LIMITATIONS.—Section 1234(f) of the Food Security 
Act of 1985 (16 U.S.C. 3834(f)) is amended— 
(1) in paragraph (1), by striking ‘‘made to a person’’ and 
inserting ‘‘received by a person or legal entity, directly or 
indirectly,’’; 
(2) by striking paragraph (2); and 
(3) in paragraph (4), by striking ‘‘any person’’ and inserting 
‘‘any person or legal entity’’. 
SEC. 2111. CONSERVATION RESERVE PROGRAM TRANSITION INCEN-
TIVES FOR BEGINNING FARMERS OR RANCHERS AND 
SOCIALLY DISADVANTAGED FARMERS OR RANCHERS. 
(a) CONTRACT MODIFICATION AUTHORITY.—Section 1235(c)(1)(B) 
of the Food Security Act of 1985 (16 U.S.C. 3835(c)(1)(B)) is 
amended— 
(1) in clause (ii), by striking ‘‘or’’ at the end; 
(2) by redesignating clause (iii) as clause (iv); and 
(3) by inserting after clause (ii) the following new clause: 
‘‘(iii) to facilitate a transition of land subject to 
the contract from a retired or retiring owner or oper-
ator to a beginning farmer or rancher or socially dis-
advantaged farmer or rancher for the purpose of 
returning some or all of the land into production using 
sustainable grazing or crop production methods; or’’. 
Deadline. 
16 USC 3834 
note. 
Web site. 
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122 STAT. 1036 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) TRANSITION OPTION.—Section 1235 of the Food Security 
Act of 1985 (16 U.S.C. 3835) is amended by adding at the end 
the following new subsection: 
‘‘(f) TRANSITION OPTION FOR CERTAIN FARMERS OR RANCHERS.— 
‘‘(1) DUTIES OF THE SECRETARY.—In the case of a contract 
modification approved in order to facilitate the transfer, as 
described in subsection (c)(1)(B)(iii), of land to a beginning 
farmer or rancher or socially disadvantaged farmer or rancher 
(in this subsection referred to as a ‘covered farmer or rancher’), 
the Secretary shall— 
‘‘(A) beginning on the date that is 1 year before the 
date of termination of the contract— 
‘‘(i) allow the covered farmer or rancher, in 
conjunction with the retired or retiring owner or oper-
ator, to make conservation and land improvements; 
and 
‘‘(ii) allow the covered farmer or rancher to begin 
the certification process under the Organic Foods 
Production Act of 1990 (7 U.S.C. 6501 et seq.); 
‘‘(B) beginning on the date of termination of the con-
tract, require the retired or retiring owner or operator 
to sell or lease (under a long-term lease or a lease with 
an option to purchase) to the covered farmer or rancher 
the land subject to the contract for production purposes; 
‘‘(C) require the covered farmer or rancher to develop 
and implement a conservation plan; 
‘‘(D) provide to the covered farmer or rancher an oppor-
tunity to enroll in the conservation stewardship program 
or the environmental quality incentives program by not 
later than the date on which the farmer or rancher takes 
possession of the land through ownership or lease; and 
‘‘(E) continue to make annual payments to the retired 
or retiring owner or operator for not more than an addi-
tional 2 years after the date of termination of the contract, 
if the retired or retiring owner or operator is not a family 
member (as defined in section 1001A(b)(3)(B) of this Act) 
of the covered farmer or rancher. 
‘‘(2) REENROLLMENT.—The Secretary shall provide a cov-
ered farmer or rancher with the option to reenroll any 
applicable partial field conservation practice that— 
‘‘(A) is eligible for enrollment under the continuous 
signup requirement of section 1231(h)(4)(B); and 
‘‘(B) is part of an approved conservation plan.’’. 
Subtitle C—Wetlands Reserve Program 
SEC. 2201. ESTABLISHMENT AND PURPOSE OF WETLANDS RESERVE 
PROGRAM. 
Subsection (a) of section 1237 of the Food Security Act of 
1985 (16 U.S.C. 3837) is amended to read as follows: 
‘‘(a) ESTABLISHMENT AND PURPOSES.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish a wet-
lands reserve program to assist owners of eligible lands in 
restoring and protecting wetlands. 
Effective date. 
Contracts. 
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122 STAT. 1037 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) PURPOSES.—The purposes of the wetlands reserve pro-
gram are to restore, protect, or enhance wetlands on private 
or tribal lands that are eligible under subsections (c) and (d).’’. 
SEC. 2202. MAXIMUM ENROLLMENT AND ENROLLMENT METHODS. 
Section 1237(b) of the Food Security Act of 1985 (16 U.S.C. 
3837(b)) is amended— 
(1) by striking paragraph (1) and inserting the following 
new paragraph: 
‘‘(1) MAXIMUM ENROLLMENT.—The total number of acres 
enrolled in the wetlands reserve program shall not exceed 
3,041,200 acres.’’; 
(2) in paragraph (2), by striking ‘‘The Secretary’’ and 
inserting ‘‘Subject to paragraph (3), the Secretary’’; and 
(3) by adding at the end the following new paragraph: 
‘‘(3) ACREAGE OWNED BY INDIAN TRIBES.—In the case of 
acreage owned by an Indian tribe, the Secretary shall enroll 
acreage into the wetlands reserve program through the use 
of— 
‘‘(A) a 30-year contract (the value of which shall be 
equivalent to the value of a 30-year easement); 
‘‘(B) restoration cost-share agreements; or 
‘‘(C) any combination of the options described in sub-
paragraphs (A) and (B).’’. 
SEC. 2203. DURATION OF WETLANDS RESERVE PROGRAM AND LANDS 
ELIGIBLE FOR ENROLLMENT. 
(a) IN GENERAL.—Section 1237(c) of the Food Security Act 
of 1985 (16 U.S.C. 3837(c)) is amended— 
(1) in the matter preceding paragraph (1)— 
(A) by striking ‘‘2007 calendar’’ and inserting ‘‘2012 
fiscal’’; and 
(B) by inserting ‘‘private or tribal’’ before ‘‘land’’ the 
second place it appears; 
(2) by striking paragraph (2) and inserting the following 
new paragraph: 
‘‘(2) such land is— 
‘‘(A) farmed wetland or converted wetland, together 
with the adjacent land that is functionally dependent on 
the wetlands, except that converted wetland with respect 
to which the conversion was not commenced prior to 
December 23, 1985, shall not be eligible to be enrolled 
in the program under this section; or 
‘‘(B) cropland or grassland that was used for agricul-
tural production prior to flooding from the natural overflow 
of a closed basin lake or pothole, as determined by the 
Secretary, together (where practicable) with the adjacent 
land that is functionally dependent on the cropland or 
grassland; and’’. 
(b) CHANGE OF OWNERSHIP.—Section 1237E(a) of the Food Secu-
rity Act of 1985 (16 U.S.C. 3837e(a)) is amended by striking ‘‘in 
the preceding 12 months’’ and inserting ‘‘during the preceding 7- 
year period’’. 
(c) ANNUAL SURVEY AND REALLOCATION.—Section 1237F of the 
Food Security Act of 1985 (16 U.S.C. 3837f) is amended by adding 
at the end the following new subsection: 
‘‘(c) PRAIRIE POTHOLE REGION SURVEY AND REALLOCATION.— 
Contracts. 
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122 STAT. 1038 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) SURVEY.—The Secretary shall conduct a survey during 
fiscal year 2008 and each subsequent fiscal year for the purpose 
of determining interest and allocations for the Prairie Pothole 
Region to enroll eligible land described in section 1237(c)(2)(B). 
‘‘(2) ANNUAL ADJUSTMENT.—The Secretary shall make an 
adjustment to the allocation for an interested State for a fiscal 
year, based on the results of the survey conducted under para-
graph (1) for the State during the previous fiscal year.’’. 
SEC. 2204. TERMS OF WETLANDS RESERVE PROGRAM EASEMENTS. 
Section 1237A(b)(2)(B) of the Food Security Act of 1985 (16 
U.S.C. 3837a(b)(2)(B)) is amended— 
(1) in clause (i), by striking ‘‘or’’ at the end; 
(2) in clause (ii), by striking ‘‘; and’’ and inserting ‘‘; or’’; 
and 
(3) by adding at the end the following new clause: 
‘‘(iii) to meet habitat needs of specific wildlife spe-
cies; and’’. 
SEC. 2205. COMPENSATION FOR EASEMENTS UNDER WETLANDS 
RESERVE PROGRAM. 
Subsection (f) of section 1237A of the Food Security Act of 
1985 (16 U.S.C. 3837a) is amended to read as follows: 
‘‘(f) COMPENSATION.— 
‘‘(1) DETERMINATION.—Effective on the date of the enact-
ment of the Food, Conservation, and Energy Act of 2008, the 
Secretary shall pay as compensation for a conservation ease-
ment acquired under this subchapter the lowest of— 
‘‘(A) the fair market value of the land, as determined 
by the Secretary, using the Uniform Standards of Profes-
sional Appraisal Practices or an area-wide market analysis 
or survey; 
‘‘(B) the amount corresponding to a geographical cap, 
as determined by the Secretary in regulations; or 
‘‘(C) the offer made by the landowner. 
‘‘(2) FORM OF PAYMENT.—Compensation for an easement 
shall be provided by the Secretary in the form of a cash pay-
ment, in an amount determined under paragraph (1) and speci-
fied in the easement agreement. 
‘‘(3) PAYMENT SCHEDULE FOR EASEMENTS.— 
‘‘(A) EASEMENTS VALUED AT $500,000 OR LESS.—For ease-
ments valued at $500,000 or less, the Secretary may pro-
vide easement payments in not more than 30 annual pay-
ments. 
‘‘(B) EASEMENTS IN EXCESS OF $500,000.—For easements 
valued at more than $500,000, the Secretary may provide 
easement payments in at least 5, but not more than 30 
annual payments, except that, if the Secretary determines 
it would further the purposes of the program, the Secretary 
may make a lump sum payment for such an easement. 
‘‘(4) RESTORATION AGREEMENT PAYMENT LIMITATION.—Pay-
ments made to a person or legal entity, directly or indirectly, 
pursuant to a restoration cost-share agreement under this sub-
chapter may not exceed, in the aggregate, $50,000 per year. 
‘‘(5) ENROLLMENT
PROCEDURE.—Lands may be enrolled 
under this subchapter through the submission of bids under 
a procedure established by the Secretary.’’. 
Effective date. 
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122 STAT. 1039 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 2206. WETLANDS RESERVE ENHANCEMENT PROGRAM AND 
RESERVED RIGHTS PILOT PROGRAM. 
Section 1237A of the Food Security Act of 1985 (16 U.S.C. 
3837a) is amended by adding at the end the following new sub-
section: 
‘‘(h) WETLANDS RESERVE ENHANCEMENT PROGRAM.— 
‘‘(1) PROGRAM AUTHORIZED.—The Secretary may enter into 
1 or more agreements with a State (including a political subdivi-
sion or agency of a State), nongovernmental organization, or 
Indian tribe to carry out a special wetlands reserve enhance-
ment program that the Secretary determines would advance 
the purposes of this subchapter. 
‘‘(2) RESERVED RIGHTS PILOT PROGRAM.— 
‘‘(A) RESERVATION OF GRAZING RIGHTS.—As part of the 
wetlands reserve enhancement program, the Secretary 
shall carry out a pilot program for land in which a land-
owner may reserve grazing rights in the warranty easement 
deed restriction if the Secretary determines that the res-
ervation and use of the grazing rights— 
‘‘(i) is compatible with the land subject to the ease-
ment; 
‘‘(ii) is consistent with the long-term wetland 
protection and enhancement goals for which the ease-
ment was established; and 
‘‘(iii) complies with a conservation plan. 
‘‘(B) DURATION.—The pilot program established under 
this paragraph shall terminate on September 30, 2012.’’. 
SEC. 2207. DUTIES OF SECRETARY OF AGRICULTURE UNDER WET-
LANDS RESERVE PROGRAM. 
Section 1237C of the Food Security Act of 1985 (16 U.S.C. 
3837c) is amended— 
(1) in subsection (a)(1), by inserting ‘‘including necessary 
maintenance activities,’’ after ‘‘values,’’; and 
(2) by striking subsection (c) and inserting the following 
new subsection: 
‘‘(c) RANKING OF OFFERS.— 
‘‘(1) CONSERVATION
BENEFITS
AND
FUNDING
CONSIDER-
ATIONS.—When evaluating offers from landowners, the Sec-
retary may consider— 
‘‘(A) the conservation benefits of obtaining an easement 
or other interest in the land; 
‘‘(B) the cost-effectiveness of each easement or other 
interest in eligible land, so as to maximize the environ-
mental benefits per dollar expended; and 
‘‘(C) whether the landowner or another person is 
offering to contribute financially to the cost of the easement 
or other interest in the land to leverage Federal funds. 
‘‘(2) ADDITIONAL
CONSIDERATIONS.—In determining the 
acceptability of easement offers, the Secretary may take into 
consideration— 
‘‘(A) the extent to which the purposes of the easement 
program would be achieved on the land; 
‘‘(B) the productivity of the land; and 
‘‘(C) the on-farm and off-farm environmental threats 
if the land is used for the production of agricultural 
commodities.’’. 
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122 STAT. 1040 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 2208. PAYMENT LIMITATIONS UNDER WETLANDS RESERVE CON-
TRACTS AND AGREEMENTS. 
Section 1237D(c)(1) of the Food Security Act of 1985 (16 U.S.C. 
3837d(c)(1)) is amended— 
(1) by striking ‘‘The total amount of easement payments 
made to a person’’ and inserting ‘‘The total amount of payments 
that a person or legal entity may receive, directly or indirectly,’’; 
and 
(2) by inserting ‘‘or under 30-year contracts’’ before the 
period at the end. 
SEC. 2209. REPEAL OF PAYMENT LIMITATIONS EXCEPTION FOR STATE 
AGREEMENTS FOR WETLANDS RESERVE ENHANCEMENT. 
Section 1237D(c) of the Food Security Act of 1985 (16 U.S.C. 
3837d(c)) is amended by striking paragraph (4). 
SEC. 2210. REPORT ON IMPLICATIONS OF LONG-TERM NATURE OF CON-
SERVATION EASEMENTS. 
(a) REPORT REQUIRED.—Not later than January 1, 2010, the 
Secretary of Agriculture shall submit to the Committee on Agri-
culture of the House of Representatives and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a report that 
evaluates the implications of the long-term nature of conservation 
easements granted under section 1237A of the Food Security Act 
of 1985 (16 U.S.C. 3837a) on resources of the Department of Agri-
culture. 
(b) INCLUSIONS.—The report required by subsection (a) shall 
include the following: 
(1) Data relating to the number and location of conservation 
easements granted under that section that the Secretary holds 
or has a significant role in monitoring or managing. 
(2) An assessment of the extent to which the oversight 
of the conservation easement agreements impacts the avail-
ability of resources, including technical assistance. 
(3) An assessment of the uses and value of agreements 
with partner organizations. 
(4) Any other relevant information relating to costs or 
other effects that would be helpful to the Committees referred 
to in subsection (a). 
Subtitle D—Conservation Stewardship 
Program 
SEC. 2301. CONSERVATION STEWARDSHIP PROGRAM. 
(a) ESTABLISHMENT OF PROGRAM.—Chapter 2 of subtitle D of 
title XII of the Food Security Act of 1985 is amended— 
(1) by redesignating subchapters B (farmland protection 
program) and C (grassland reserve program) as subchapters 
C and D, respectively; and 
(2) by inserting after subchapter A the following new sub-
chapter: 
‘‘Subchapter B—Conservation Stewardship Program 
‘‘SEC. 1238D. DEFINITIONS. 
‘‘In this subchapter: 
16 USC 3838d. 
16 USC 3838h et 
seq., 3838n et seq. 
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122 STAT. 1041 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) CONSERVATION ACTIVITIES.— 
‘‘(A) IN GENERAL.—The term ‘conservation activities’ 
means conservation systems, practices, or management 
measures that are designed to address a resource concern. 
‘‘(B) INCLUSIONS.—The term ‘conservation activities’ 
includes— 
‘‘(i) structural measures, vegetative measures, and 
land management measures, including agriculture 
drainage management systems, as determined by the 
Secretary; and 
‘‘(ii) planning needed to address a resource concern. 
‘‘(2) CONSERVATION MEASUREMENT TOOLS.—The term ‘con-
servation measurement tools’ means procedures to estimate 
the level of environmental benefit to be achieved by a producer 
in implementing conservation activities, including indices or 
other measures developed by the Secretary. 
‘‘(3) CONSERVATION
STEWARDSHIP
PLAN.—The term ‘con-
servation stewardship plan’ means a plan that— 
‘‘(A) identifies and inventories resource concerns; 
‘‘(B) establishes benchmark data and conservation 
objectives; 
‘‘(C) describes conservation activities to be imple-
mented, managed, or improved; and 
‘‘(D) includes a schedule and evaluation plan for the 
planning, installation, and management of the new and 
existing conservation activities. 
‘‘(4) PRIORITY
RESOURCE
CONCERN.—The term ‘priority 
resource concern’ means a resource concern that is identified 
at the State level, in consultation with the State Technical 
Committee, as a priority for a particular watershed or area 
of the State. 
‘‘(5) PROGRAM.—The term ‘program’ means the conservation 
stewardship program established by this subchapter. 
‘‘(6) RESOURCE
CONCERN.—The term ‘resource concern’ 
means a specific natural resource impairment or problem, as 
determined by the Secretary, that— 
‘‘(A) represents a significant concern in a State or 
region; and 
‘‘(B) is likely to be addressed successfully through the 
implementation of conservation activities by producers on 
land eligible for enrollment in the program. 
‘‘(7) STEWARDSHIP
THRESHOLD.—The term ‘stewardship 
threshold’ means the level of natural resource conservation 
and environmental management required, as determined by 
the Secretary using conservation measurement tools, to improve 
and conserve the quality and condition of a resource concern. 
‘‘SEC. 1238E. CONSERVATION STEWARDSHIP PROGRAM. 
‘‘(a) ESTABLISHMENT AND PURPOSE.—During each of fiscal years 
2009 through 2012, the Secretary shall carry out a conservation 
stewardship program to encourage producers to address resource 
concerns in a comprehensive manner— 
‘‘(1) by undertaking additional conservation activities; and 
‘‘(2) by improving, maintaining and managing existing con-
servation activities. 
‘‘(b) ELIGIBLE LAND.— 
16 USC 3838e. 
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122 STAT. 1042 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN GENERAL.—Except as provided in subsection (c), 
the following land is eligible for enrollment in the program: 
‘‘(A) Private agricultural land (including cropland, 
grassland, prairie land, improved pastureland, rangeland, 
and land used for agro-forestry). 
‘‘(B) Agricultural land under the jurisdiction of an 
Indian tribe. 
‘‘(C) Forested land that is an incidental part of an 
agricultural operation. 
‘‘(D) Other private agricultural land (including cropped 
woodland, marshes, and agricultural land used for the 
production of livestock) on which resource concerns related 
to agricultural production could be addressed by enrolling 
the land in the program, as determined by the Secretary. 
‘‘(2) SPECIAL
RULE
FOR
NONINDUSTRIAL
PRIVATE
FOREST 
LAND.—Nonindustrial private forest land is eligible for enroll-
ment in the program, except that not more than 10 percent 
of the annual acres enrolled nationally in any fiscal year may 
be nonindustrial private forest land. 
‘‘(3) AGRICULTURAL OPERATION.—Eligible land shall include 
all acres of an agricultural operation of a producer, whether 
or not contiguous, that are under the effective control of the 
producer at the time the producer enters into a stewardship 
contract, and is operated by the producer with equipment, 
labor, management, and production or cultivation practices that 
are substantially separate from other agricultural operations, 
as determined by the Secretary. 
‘‘(c) EXCLUSIONS.— 
‘‘(1) LAND ENROLLED IN OTHER CONSERVATION PROGRAMS.— 
Subject to paragraph (2), the following land is not be eligible 
for enrollment in the program: 
‘‘(A) Land enrolled in the conservation reserve program. 
‘‘(B) Land enrolled in the wetlands reserve program. 
‘‘(C) Land enrolled in the grassland reserve program. 
‘‘(2) CONVERSION TO CROPLAND.—Land used for crop produc-
tion after the date of enactment of the Food, Conservation, 
and Energy Act of 2008 that had not been planted, considered 
to be planted, or devoted to crop production for at least 4 
of the 6 years preceding that date shall not be the basis for 
any payment under the program, unless the land does not 
meet the requirement because— 
‘‘(A) the land had previously been enrolled in the con-
servation reserve program; 
‘‘(B) the land has been maintained using long-term 
crop rotation practices, as determined by the Secretary; 
or 
‘‘(C) the land is incidental land needed for efficient 
operation of the farm or ranch, as determined by the Sec-
retary. 
‘‘SEC. 1238F. STEWARDSHIP CONTRACTS. 
‘‘(a) SUBMISSION
OF CONTRACT OFFERS.—To be eligible to 
participate in the conservation stewardship program, a producer 
shall submit to the Secretary for approval a contract offer that— 
‘‘(1) demonstrates to the satisfaction of the Secretary that 
the producer, at the time of the contract offer, is meeting 
16 USC 3838f. 
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122 STAT. 1043 
PUBLIC LAW 110–234—MAY 22, 2008 
the stewardship threshold for at least one resource concern; 
and 
‘‘(2) would, at a minimum, meet or exceed the stewardship 
threshold for at least 1 priority resource concern by the end 
of the stewardship contract by— 
‘‘(A) installing and adopting additional conservation 
activities; and 
‘‘(B) improving, maintaining, and managing conserva-
tion activities in place at the operation of the producer 
at the time the contract offer is accepted by the Secretary. 
‘‘(b) EVALUATION OF CONTRACT OFFERS.— 
‘‘(1) RANKING
OF
APPLICATIONS.—In evaluating contract 
offers made by producers to enter into contracts under the 
program, the Secretary shall rank applications based on— 
‘‘(A) the level of conservation treatment on all 
applicable priority resource concerns at the time of applica-
tion, based to the maximum extent practicable on conserva-
tion measurement tools; 
‘‘(B) the degree to which the proposed conservation 
treatment on applicable priority resource concerns effec-
tively increases conservation performance, based to the 
maximum extent possible on conservation measurement 
tools; 
‘‘(C) the number of applicable priority resource concerns 
proposed to be treated to meet or exceed the stewardship 
threshold by the end of the contract; 
‘‘(D) the extent to which other resource concerns, in 
addition to priority resource concerns, will be addressed 
to meet or exceed the stewardship threshold by the end 
of the contract period; and 
‘‘(E) the extent to which the actual and anticipated 
environmental benefits from the contract are provided at 
the least cost relative to other similarly beneficial contract 
offers. 
‘‘(2) PROHIBITION.—The Secretary may not assign a higher 
priority to any application because the applicant is willing 
to accept a lower payment than the applicant would otherwise 
be eligible to receive. 
‘‘(3) ADDITIONAL CRITERIA.—The Secretary may develop and 
use such additional criteria for evaluating applications to enroll 
in the program that the Secretary determines are necessary 
to ensure that national, State, and local conservation priorities 
are effectively addressed. 
‘‘(c) ENTERING INTO CONTRACTS.—After a determination that 
a producer is eligible for the program under subsection (a), and 
a determination that the contract offer ranks sufficiently high under 
the evaluation criteria under subsection (b), the Secretary shall 
enter into a conservation stewardship contract with the producer 
to enroll the land to be covered by the contract. 
‘‘(d) CONTRACT PROVISIONS.— 
‘‘(1) TERM.—A conservation stewardship contract shall be 
for a term of 5 years. 
‘‘(2) PROVISIONS.—The conservation stewardship contract 
of a producer shall— 
‘‘(A) state the amount of the payment the Secretary 
agrees to make to the producer for each year of the con-
servation stewardship contract under section 1238G(e); 
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122 STAT. 1044 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) require the producer— 
‘‘(i) to implement during the term of the conserva-
tion stewardship contract the conservation stewardship 
plan approved by the Secretary; 
‘‘(ii) to maintain, and make available to the Sec-
retary at such times as the Secretary may request, 
appropriate records showing the effective and timely 
implementation of the conservation stewardship con-
tract; and 
‘‘(iii) not to engage in any activity during the term 
of the conservation stewardship contract on the eligible 
land covered by the contract that would interfere with 
the purposes of the conservation stewardship contract; 
‘‘(C) permit all economic uses of the land that— 
‘‘(i) maintain the agricultural nature of the land; 
and 
‘‘(ii) are consistent with the conservation purposes 
of the conservation stewardship contract; 
‘‘(D) include a provision to ensure that a producer 
shall not be considered in violation of the contract for 
failure to comply with the contract due to circumstances 
beyond the control of the producer, including a disaster 
or related condition, as determined by the Secretary; and 
‘‘(E) include such other provisions as the Secretary 
determines necessary to ensure the purposes of the pro-
gram are achieved. 
‘‘(e) CONTRACT RENEWAL.—At the end of an initial conservation 
stewardship contract of a producer, the Secretary may allow the 
producer to renew the contract for one additional five-year period 
if the producer— 
‘‘(1) demonstrates compliance with the terms of the existing 
contract; and 
‘‘(2) agrees to adopt new conservation activities, as deter-
mined by the Secretary. 
‘‘(f) MODIFICATION.—The Secretary may allow a producer to 
modify a stewardship contract if the Secretary determines that 
the modification is consistent with achieving the purposes of the 
program. 
‘‘(g) CONTRACT TERMINATION.— 
‘‘(1) VOLUNTARY TERMINATION.—A producer may terminate 
a conservation stewardship contract if the Secretary determines 
that termination would not defeat the purposes of the program. 
‘‘(2) INVOLUNTARY
TERMINATION.—The Secretary may 
terminate a contract under this subchapter if the Secretary 
determines that the producer violated the contract. 
‘‘(3) REPAYMENT.—If a contract is terminated, the Secretary 
may, consistent with the purposes of the program— 
‘‘(A) allow the producer to retain payments already 
received under the contract; or 
‘‘(B) require repayment, in whole or in part, of pay-
ments already received and assess liquidated damages. 
‘‘(4) CHANGE
OF
INTEREST
IN
LAND
SUBJECT
TO
A
CON-
TRACT.— 
‘‘(A) IN GENERAL.—Except as provided in paragraph 
(B), a change in the interest of a producer in land covered 
by a contract under this chapter shall result in the termi-
nation of the contract with regard to that land. 
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122 STAT. 1045 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) TRANSFER OF DUTIES AND RIGHTS.—Subparagraph 
(A) shall not apply if— 
‘‘(i) within a reasonable period of time (as deter-
mined by the Secretary) after the date of the change 
in the interest in land covered by a contract under 
the program, the transferee of the land provides writ-
ten notice to the Secretary that all duties and rights 
under the contract have been transferred to, and 
assumed by, the transferee; and 
‘‘(ii) the transferee meets the eligibility require-
ments of the program. 
‘‘(h) COORDINATION WITH ORGANIC CERTIFICATION.—The Sec-
retary shall establish a transparent means by which producers 
may initiate organic certification under the Organic Foods Produc-
tion Act of 1990 (7 U.S.C. 6501 et. seq.) while participating in 
a contract under this subchapter. 
‘‘(i) ON-FARM
RESEARCH
AND
DEMONSTRATION
OR
PILOT 
TESTING.—The Secretary may approve a contract offer under this 
subchapter that includes— 
‘‘(1) on-farm conservation research and demonstration 
activities; and 
‘‘(2) pilot testing of new technologies or innovative conserva-
tion practices. 
‘‘SEC. 1238G. DUTIES OF THE SECRETARY. 
‘‘(a) IN GENERAL.—To achieve the conservation goals of a con-
tract under the conservation stewardship program, the Secretary 
shall— 
‘‘(1) make the program available to eligible producers on 
a continuous enrollment basis with 1 or more ranking periods, 
one of which shall occur in the first quarter of each fiscal 
year; 
‘‘(2) identify not less than 3 nor more than 5 priority 
resource concerns in a particular watershed or other appro-
priate region or area within a State; and 
‘‘(3) develop reliable conservation measurement tools for 
purposes of carrying out the program. 
‘‘(b) ALLOCATION TO STATES.—The Secretary shall allocate acres 
to States for enrollment, based— 
‘‘(1) primarily on each State’s proportion of eligible acres 
under section 1238E(b)(1) to the total number of eligible acres 
in all States; and 
‘‘(2) also on consideration of— 
‘‘(A) the extent and magnitude of the conservation 
needs associated with agricultural production in each State; 
‘‘(B) the degree to which implementation of the pro-
gram in the State is, or will be, effective in helping pro-
ducers address those needs; and 
‘‘(C) 
other 
considerations 
to 
achieve 
equitable 
geographic distribution of funds, as determined by the Sec-
retary. 
‘‘(c) SPECIALTY CROP AND ORGANIC PRODUCERS.—The Secretary 
shall ensure that outreach and technical assistance are available, 
and program specifications are appropriate to enable specialty crop 
and organic producers to participate in the program. 
16 USC 3838g. 
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122 STAT. 1046 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(d) ACREAGE ENROLLMENT LIMITATION.—During the period 
beginning on October 1, 2008, and ending on September 30, 2017, 
the Secretary shall, to the maximum extent practicable— 
‘‘(1) enroll in the program an additional 12,769,000 acres 
for each fiscal year; and 
‘‘(2) manage the program to achieve a national average 
rate of $18 per acre, which shall include the costs of all financial 
assistance, technical assistance, and any other expenses associ-
ated with enrollment or participation in the program. 
‘‘(e) CONSERVATION STEWARDSHIP PAYMENTS.— 
‘‘(1) AVAILABILITY OF PAYMENTS.—The Secretary shall pro-
vide a payment under the program to compensate the producer 
for— 
‘‘(A) installing and adopting additional conservation 
activities; and 
‘‘(B) improving, maintaining, and managing conserva-
tion activities in place at the operation of the producer 
at the time the contract offer is accepted by the Secretary. 
‘‘(2) PAYMENT AMOUNT.—The amount of the conservation 
stewardship payment shall be determined by the Secretary 
and based, to the maximum extent practicable, on the following 
factors: 
‘‘(A) Costs incurred by the producer associated with 
planning, design, materials, installation, labor, manage-
ment, maintenance, or training. 
‘‘(B) Income forgone by the producer. 
‘‘(C) Expected environmental benefits as determined 
by conservation measurement tools. 
‘‘(3) EXCLUSIONS.—A payment to a producer under this 
subsection shall not be provided for— 
‘‘(A) the design, construction, or maintenance of animal 
waste storage or treatment facilities or associated waste 
transport or transfer devices for animal feeding operations; 
or 
‘‘(B) conservation activities for which there is no cost 
incurred or income forgone to the producer. 
‘‘(4) TIMING OF PAYMENTS.— 
‘‘(A) IN GENERAL.—The Secretary shall make payments 
as soon as practicable after October 1 of each fiscal year 
for activities carried out in the previous fiscal year. 
‘‘(B) ADDITIONAL
ACTIVITIES.—The Secretary shall 
make payments to compensate producers for installation 
of additional practices at the time at which the practices 
are installed and adopted. 
‘‘(f) SUPPLEMENTAL
PAYMENTS
FOR
RESOURCE-CONSERVING 
CROP ROTATIONS.— 
‘‘(1) AVAILABILITY OF PAYMENTS.—The Secretary shall pro-
vide additional payments to producers that, in participating 
in the program, agree to adopt resource-conserving crop rota-
tions to achieve beneficial crop rotations as appropriate for 
the land of the producers. 
‘‘(2) BENEFICIAL
CROP
ROTATIONS.—The Secretary shall 
determine whether a resource-conserving crop rotation is a 
beneficial crop rotation eligible for additional payments under 
paragraph (1), based on whether the resource-conserving crop 
rotation is designed to provide natural resource conservation 
and production benefits. 
Time period. 
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122 STAT. 1047 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) ELIGIBILITY.—To be eligible to receive a payment 
described in paragraph (1), a producer shall agree to adopt 
and maintain beneficial resource-conserving crop rotations for 
the term of the contract. 
‘‘(4) RESOURCE-CONSERVING CROP ROTATION.—In this sub-
section, the term ‘resource-conserving crop rotation’ means a 
crop rotation that— 
‘‘(A) includes at least 1 resource conserving crop (as 
defined by the Secretary); 
‘‘(B) reduces erosion; 
‘‘(C) improves soil fertility and tilth; 
‘‘(D) interrupts pest cycles; and 
‘‘(E) in applicable areas, reduces depletion of soil mois-
ture or otherwise reduces the need for irrigation. 
‘‘(g) PAYMENT LIMITATIONS.—A person or legal entity may not 
receive, directly or indirectly, payments under this subchapter that, 
in the aggregate, exceed $200,000 for all contracts entered into 
during any 5-year period, excluding funding arrangements with 
federally recognized Indian tribes or Alaska Native corporations, 
regardless of the number of contracts entered into under the pro-
gram by the person or entity. 
‘‘(h) REGULATIONS.—The Secretary shall promulgate regulations 
that— 
‘‘(1) prescribe such other rules as the Secretary determines 
to be necessary to ensure a fair and reasonable application 
of the limitations established under subsection (g); and 
‘‘(2) otherwise enable the Secretary to carry out the pro-
gram. 
‘‘(i) DATA.—The Secretary shall maintain detailed and seg-
mented data on contracts and payments under the program to 
allow for quantification of the amount of payments made for— 
‘‘(1) the installation and adoption of additional conservation 
activities and improvements to conservation activities in place 
on the operation of a producer at the time the conservation 
stewardship offer is accepted by the Secretary; 
‘‘(2) participation in research, demonstration, and pilot 
projects; and 
‘‘(3) the development and periodic assessment and evalua-
tion of conservation plans developed under this subchapter.’’. 
(b) TERMINATION
OF
CONSERVATION
SECURITY
PROGRAM 
AUTHORITY; EFFECT ON EXISTING CONTRACTS.—Section 1238A of 
the Food Security Act of 1985 (16 U.S.C. 3838a) is amended by 
adding at the end the following new subsection: 
‘‘(g) PROHIBITION ON CONSERVATION SECURITY PROGRAM CON-
TRACTS; EFFECT ON EXISTING CONTRACTS.— 
‘‘(1) PROHIBITION.—A conservation security contract may 
not be entered into or renewed under this subchapter after 
September 30, 2008. 
‘‘(2) EXCEPTION.—This subchapter, and the terms and 
conditions of the conservation security program, shall continue 
to apply to— 
‘‘(A) conservation security contracts entered into on 
or before September 30, 2008; and 
‘‘(B) any conservation security contract entered into 
after that date, but for which the application for the con-
tract was received during the 2008 sign-up period. 
Contracts. 
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122 STAT. 1048 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) EFFECT ON PAYMENTS.—The Secretary shall make pay-
ments under this subchapter with respect to conservation secu-
rity contracts described in paragraph (2) during the remaining 
term of the contracts. 
‘‘(4) REGULATIONS.—A contract described in paragraph (2) 
may not be administered under the regulations issued to carry 
out the conservation stewardship program.’’. 
(c) 
REFERENCE
TO
REDESIGNATED
SUBCHAPTER.—Section 
1238A(b)(3)(C) of title XII of the Food Security Act of 1985 (16 
U.S.C. 3838a(b)(3)(C)) is amended by striking ‘‘subchapter C’’ and 
inserting ‘‘subchapter D’’. 
Subtitle E—Farmland Protection and 
Grassland Reserve 
SEC. 2401. FARMLAND PROTECTION PROGRAM. 
(a) DEFINITIONS.—Section 1238H of the Food Security Act of 
1985 (16 U.S.C. 3838h) is amended— 
(1) by striking paragraph (1) and inserting the following 
new paragraph: 
‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible entity’ means— 
‘‘(A) any agency of any State or local government or 
an Indian tribe (including a farmland protection board 
or land resource council established under State law); or 
‘‘(B) any organization that— 
‘‘(i) is organized for, and at all times since the 
formation of the organization has been operated prin-
cipally for, 1 or more of the conservation purposes 
specified in clause (i), (ii), (iii), or (iv) of section 
170(h)(4)(A) of the Internal Revenue Code of 1986; 
‘‘(ii) is an organization described in section 
501(c)(3) of that Code that is exempt from taxation 
under section 501(a) of that Code; and 
‘‘(iii) is— 
‘‘(I) described in paragraph (1) or (2) of section 
509(a) of that Code; or 
‘‘(II) described in section 509(a)(3), and is con-
trolled by an organization described in section 
509(a)(2), of that Code.’’; and 
(2) in paragraph (2)— 
(A) in subparagraph (A)— 
(i) by striking ‘‘that—’’ and inserting ‘‘that is sub-
ject to a pending offer for purchase from an eligible 
entity and—’’; and 
(ii) by striking clauses (i) and (ii) and inserting 
the following new clauses: 
‘‘(i) has prime, unique, or other productive soil; 
‘‘(ii) contains historical or archaeological resources; 
or 
‘‘(iii) the protection of which will further a State 
or local policy consistent with the purposes of the pro-
gram.’’; and 
(B) in subparagraph (B)— 
(i) in clause (iv), by striking ‘‘and’’ at the end; 
and 
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122 STAT. 1049 
PUBLIC LAW 110–234—MAY 22, 2008 
(ii) by striking clause (v) and inserting the fol-
lowing new clauses: 
‘‘(v) forest land that— 
‘‘(I) contributes to the economic viability of 
an agricultural operation; or 
‘‘(II) serves as a buffer to protect an agricul-
tural operation from development; and 
‘‘(vi) land that is incidental to land described in 
clauses (i) through (v), if such land is necessary for 
the efficient administration of a conservation easement, 
as determined by the Secretary.’’. 
(b) FARMLAND PROTECTION.—Section 1238I of the Food Security 
Act of 1985 (16 U.S.C. 3838i) is amended to read as follows: 
‘‘SEC. 1238I. FARMLAND PROTECTION PROGRAM. 
‘‘(a) ESTABLISHMENT.—The Secretary shall establish and carry 
out a farmland protection program under which the Secretary shall 
facilitate and provide funding for the purchase of conservation 
easements or other interests in eligible land. 
‘‘(b) PURPOSE.—The purpose of the program is to protect the 
agricultural use and related conservation values of eligible land 
by limiting nonagricultural uses of that land. 
‘‘(c) COST-SHARE ASSISTANCE.— 
‘‘(1) PROVISION OF ASSISTANCE.—The Secretary shall pro-
vide 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 conservation 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 ENTITY.—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 
acquisition purchase price. 
‘‘(B) LANDOWNER CONTRIBUTION.—As part of the non- 
Federal share of the cost of purchasing a conservation 
easement or other interest in eligible land, an eligible 
entity may include a charitable donation or qualified con-
servation contribution (as defined by section 170(h) of the 
Internal Revenue Code of 1986) from the private landowner 
from which the conservation easement or other interest 
in land will be purchased. 
‘‘(d) DETERMINATION OF FAIR MARKET VALUE.—Effective on the 
date of enactment of the Food, Conservation, and Energy Act of 
2008, the fair market value of the conservation easement or other 
interest in eligible land shall be determined on the basis of an 
appraisal using an industry approved method, selected by the 
eligible entity and approved by the Secretary. 
‘‘(e) BIDDING DOWN PROHIBITED.—If the Secretary determines 
that 2 or more applications for cost-share assistance are comparable 
in achieving the purpose of the program, the Secretary shall not 
assign a higher priority to any 1 of those applications solely on 
the basis of lesser cost to the program. 
‘‘(f) CONDITION ON ASSISTANCE.— 
Effective date. 
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122 STAT. 1050 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) CONSERVATION
PLAN.—Any highly erodible cropland 
for which a conservation easement or other interest is pur-
chased using cost-share assistance provided under the program 
shall be subject to a conservation plan that requires, at the 
option of the Secretary, the conversion of the cropland to less 
intensive uses. 
‘‘(2) CONTINGENT RIGHT OF ENFORCEMENT.—The Secretary 
shall require the inclusion of a contingent right of enforcement 
for the Secretary in the terms of a conservation easement 
or other interest in eligible land that is purchased using cost- 
share assistance provided under the program. 
‘‘(g) AGREEMENTS WITH ELIGIBLE ENTITIES.— 
‘‘(1) IN GENERAL.—The Secretary shall enter into agree-
ments with eligible entities to stipulate the terms and condi-
tions under which the eligible entity is permitted to use cost- 
share assistance provided under subsection (c). 
‘‘(2) LENGTH OF AGREEMENTS.—An agreement under this 
subsection shall be for a term that is— 
‘‘(A) in the case of an eligible entity certified under 
the process described in subsection (h), a minimum of five 
years; and 
‘‘(B) for all other eligible entities, at least three, but 
not more than five years. 
‘‘(3) SUBSTITUTION OF QUALIFIED PROJECTS.—An agreement 
shall allow, upon mutual agreement of the parties, substitution 
of qualified projects that are identified at the time of the 
proposed substitution. 
‘‘(4) MINIMUM REQUIREMENTS.—An eligible entity shall be 
authorized to use its own terms and conditions, as approved 
by the Secretary, for conservation easements and other pur-
chases of interests in land, so long as such terms and condi-
tions— 
‘‘(A) are consistent with the purposes of the program; 
‘‘(B) permit effective enforcement of the conservation 
purposes of such easements or other interests; and 
‘‘(C) include a limit on the impervious surfaces to be 
allowed that is consistent with the agricultural activities 
to be conducted. 
‘‘(5) EFFECT OF VIOLATION.—If a violation occurs of a term 
or condition of an agreement entered into under this sub-
section— 
‘‘(A) the agreement shall remain in force; and 
‘‘(B) the Secretary may require the eligible entity to 
refund all or part of any payments received by the entity 
under the program, with interest on the payments as deter-
mined appropriate by the Secretary. 
‘‘(h) CERTIFICATION OF ELIGIBLE ENTITIES.— 
‘‘(1) CERTIFICATION PROCESS.—The Secretary shall establish 
a process under which the Secretary may— 
‘‘(A) directly certify eligible entities that meet estab-
lished criteria; 
‘‘(B) enter into long-term agreements with certified 
entities, as authorized by subsection (g)(2)(A); and 
‘‘(C) accept proposals for cost-share assistance to cer-
tified entities for the purchase of conservation easements 
or other interests in eligible land throughout the duration 
of such agreements. 
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122 STAT. 1051 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) CERTIFICATION CRITERIA.—In order to be certified, an 
eligible entity shall demonstrate to the Secretary that the entity 
will maintain, at a minimum, for the duration of the agree-
ment— 
‘‘(A) a plan for administering easements that is con-
sistent with the purpose of this subchapter; 
‘‘(B) the capacity and resources to monitor and enforce 
conservation easements or other interests in land; and 
‘‘(C) policies and procedures to ensure— 
‘‘(i) the long-term integrity of conservation ease-
ments or other interests in eligible land; 
‘‘(ii) timely completion of acquisitions of easements 
or other interests in eligible land; and 
‘‘(iii) timely and complete evaluation and reporting 
to the Secretary on the use of funds provided by the 
Secretary under the program. 
‘‘(3) REVIEW AND REVISION.— 
‘‘(A) REVIEW.—The Secretary shall conduct a review 
of eligible entities certified under paragraph (1) every three 
years to ensure that such entities are meeting the criteria 
established under paragraph (2). 
‘‘(B) REVOCATION.—If the Secretary finds that the cer-
tified entity no longer meets the criteria established under 
paragraph (2), the Secretary may— 
‘‘(i) allow the certified entity a specified period 
of time, at a minimum 180 days, in which to take 
such actions as may be necessary to meet the criteria; 
and 
‘‘(ii) revoke the certification of the entity, if after 
the specified period of time, the certified entity does 
not meet the criteria established in paragraph (2).’’. 
SEC. 2402. FARM VIABILITY PROGRAM. 
Section 1238J(b) of the Food Security Act of 1985 (16 U.S.C. 
3838j(b)) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 2403. GRASSLAND RESERVE PROGRAM. 
Subchapter D of chapter 2 of subtitle D of title XII of the 
Food Security Act of 1985 (16 U.S.C. 3838n et seq.), as redesignated 
by section 2301(a)(1), is amended to read as follows: 
‘‘Subchapter D—Grassland Reserve Program 
‘‘SEC. 1238N. GRASSLAND RESERVE PROGRAM. 
‘‘(a) ESTABLISHMENT AND PURPOSE.—The Secretary shall estab-
lish a grassland reserve program (referred to in this subchapter 
as the ‘program’) for the purpose of assisting owners and operators 
in protecting grazing uses and related conservation values by 
restoring and conserving eligible land through rental contracts, 
easements, and restoration agreements. 
‘‘(b) ENROLLMENT OF ACREAGE.— 
‘‘(1) ACREAGE ENROLLED.—The Secretary shall enroll an 
additional 1,220,000 acres of eligible land in the program during 
fiscal years 2009 through 2012. 
‘‘(2) METHODS OF ENROLLMENT.—The Secretary shall enroll 
eligible land in the program through the use of; 
‘‘(A) a 10-year, 15-year, or 20-year rental contract; 
‘‘(B) a permanent easement; or 
16 USC 3838n. 
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122 STAT. 1052 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) in a State that imposes a maximum duration 
for easements, an easement for the maximum duration 
allowed under the law of that State. 
‘‘(3) LIMITATION.—Of the total amount of funds expended 
under the program to acquire rental contracts and easements 
described in paragraph (2), the Secretary shall use, to the 
extent practicable— 
‘‘(A) 40 percent for rental contacts; and 
‘‘(B) 60 percent for easements. 
‘‘(4) ENROLLMENT OF CONSERVATION RESERVE LAND.— 
‘‘(A) PRIORITY.—Upon expiration of a contract under 
subchapter B of chapter 1 of this subtitle, the Secretary 
shall give priority for enrollment in the program to land 
previously enrolled in the conservation reserve program 
if— 
‘‘(i) the land is eligible land, as defined in sub-
section (c); and 
‘‘(ii) the Secretary determines that the land is of 
high ecological value and under significant threat of 
conversion to uses other than grazing. 
‘‘(B) MAXIMUM ENROLLMENT.—The number of acres of 
land enrolled under the priority described in subparagraph 
(A) in a calendar year shall not exceed 10 percent of the 
total number of acres enrolled in the program in that 
calendar year. 
‘‘(c) ELIGIBLE LAND DEFINED.—For purposes of the program, 
the term ‘eligible land’ means private or tribal land that— 
‘‘(1) is grassland, land that contains forbs, or shrubland 
(including improved rangeland and pastureland) for which 
grazing is the predominant use; 
‘‘(2) is located in an area that has been historically domi-
nated by grassland, forbs, or shrubland, and the land— 
‘‘(A) could provide habitat for animal or plant popu-
lations of significant ecological value if the land— 
‘‘(i) is retained in its current use; or 
‘‘(ii) is restored to a natural condition; 
‘‘(B) contains historical or archaeological resources; or 
‘‘(C) would address issues raised by State, regional, 
and national conservation priorities; or 
‘‘(3) is incidental to land described in paragraph (1) or 
(2), if the incidental land is determined by the Secretary to 
be necessary for the efficient administration of a rental contract 
or easement under the program. 
‘‘SEC. 1238O. DUTIES OF OWNERS AND OPERATORS. 
‘‘(a) RENTAL CONTRACTS.—To be eligible to enroll eligible land 
in the program under a rental contract, the owner or operator 
of the land shall agree— 
‘‘(1) to comply with the terms of the contract and, when 
applicable, a restoration agreement; 
‘‘(2) to suspend any existing cropland base and allotment 
history for the land under another program administered by 
the Secretary; and 
‘‘(3) to implement a grazing management plan, as approved 
by the Secretary, which may be modified upon mutual agree-
ment of the parties. 
16 USC 3838o. 
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122 STAT. 1053 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(b) EASEMENTS.—To be eligible to enroll eligible land in the 
program through an easement, the owner of the land shall agree— 
‘‘(1) to grant an easement to the Secretary or to an eligible 
entity described in section 1238Q; 
‘‘(2) to create and record an appropriate deed restriction 
in accordance with applicable State law to reflect the easement; 
‘‘(3) to provide a written statement of consent to the ease-
ment signed by persons holding a security interest or any 
vested interest in the land; 
‘‘(4) to provide proof of unencumbered title to the under-
lying fee interest in the land that is the subject of the easement; 
‘‘(5) to comply with the terms of the easement and, when 
applicable, a restoration agreement; 
‘‘(6) to implement a grazing management plan, as approved 
by the Secretary, which may be modified upon mutual agree-
ment of the parties; and 
‘‘(7) to eliminate any existing cropland base and allotment 
history for the land under another program administered by 
the Secretary. 
‘‘(c) RESTORATION AGREEMENTS.— 
‘‘(1) WHEN APPLICABLE.—To be eligible for cost-share assist-
ance to restore eligible land subject to a rental contract or 
an easement under the program, the owner or operator of 
the land shall agree to comply with the terms of a restoration 
agreement. 
‘‘(2) TERMS AND CONDITIONS.—The Secretary shall prescribe 
the terms and conditions of a restoration agreement by which 
eligible land that is subject to a rental contract or easement 
under the program shall be restored. 
‘‘(3) DUTIES.—The restoration agreement shall describe the 
respective duties of the owner or operator and the Secretary, 
including the Federal share of restoration payments and tech-
nical assistance. 
‘‘(d) TERMS AND CONDITIONS APPLICABLE TO RENTAL CONTRACTS 
AND EASEMENTS.— 
‘‘(1) PERMISSIBLE
ACTIVITIES.—The terms and conditions 
of a rental contract or easement under the program shall 
permit— 
‘‘(A) common grazing practices, including maintenance 
and necessary cultural practices, on the land in a manner 
that is consistent with maintaining the viability of grass-
land, forb, and shrub species appropriate to that locality; 
‘‘(B) haying, mowing, or harvesting for seed production, 
subject to appropriate restrictions during the nesting sea-
son for birds in the local area that are in significant decline 
or are conserved in accordance with Federal or State law, 
as determined by the State Conservationist; 
‘‘(C) fire presuppression, rehabilitation, and construc-
tion of fire breaks; and 
‘‘(D) grazing related activities, such as fencing and 
livestock watering. 
‘‘(2) PROHIBITIONS.—The terms and conditions of a rental 
contract or easement under the program shall prohibit— 
‘‘(A) the production of crops (other than hay), fruit 
trees, vineyards, or any other agricultural commodity that 
is inconsistent with maintaining grazing land; and 
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122 STAT. 1054 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) except as permitted under a restoration plan, the 
conduct of any other activity that would be inconsistent 
with maintaining grazing land enrolled in the program. 
‘‘(3) ADDITIONAL TERMS AND CONDITIONS.—A rental contract 
or easement under the program shall include such additional 
provisions as the Secretary determines are appropriate to carry 
out or facilitate the purposes and administration of the pro-
gram. 
‘‘(e) VIOLATIONS.—On a violation of the terms or conditions 
of a rental contract, easement, or restoration agreement entered 
into under this section— 
‘‘(1) the contract or easement shall remain in force; and 
‘‘(2) the Secretary may require the owner or operator to 
refund all or part of any payments received under the program, 
with interest on the payments as determined appropriate by 
the Secretary. 
‘‘SEC. 1238P. DUTIES OF SECRETARY. 
‘‘(a) EVALUATION AND RANKING OF APPLICATIONS.— 
‘‘(1) CRITERIA.—The Secretary shall establish criteria to 
evaluate and rank applications for rental contracts and ease-
ments under the program . 
‘‘(2) CONSIDERATIONS.—In establishing the criteria, the Sec-
retary shall emphasize support for— 
‘‘(A) grazing operations; 
‘‘(B) plant and animal biodiversity; and 
‘‘(C) grassland, land that contains forbs, and shrubland 
under the greatest threat of conversion to uses other than 
grazing. 
‘‘(b) PAYMENTS.— 
‘‘(1) IN GENERAL.—In return for the execution of a rental 
contract or the granting of an easement by an owner or operator 
under the program, the Secretary shall— 
‘‘(A) make rental contract or easement payments to 
the owner or operator in accordance with paragraphs (2) 
and (3); and 
‘‘(B) make payments to the owner or operator under 
a restoration agreement for the Federal share of the cost 
of restoration in accordance with paragraph (4). 
‘‘(2) RENTAL CONTRACT PAYMENTS.— 
‘‘(A) PERCENTAGE
OF
GRAZING
VALUE
OF
LAND.—In 
return for the execution of a rental contract by an owner 
or operator under the program, the Secretary shall make 
annual payments during the term of the contract in an 
amount, subject to subparagraph (B), that is not more 
than 75 percent of the grazing value of the land covered 
by the contract. 
‘‘(B) PAYMENT LIMITATION.—Payments made under 1 
or more rental contracts to a person or legal entity, directly 
or indirectly, may not exceed, in the aggregate, $50,000 
per year. 
‘‘(3) EASEMENT PAYMENTS.— 
‘‘(A) IN
GENERAL.—Subject to subparagraph (B), in 
return for the granting of an easement by an owner under 
the program, the Secretary shall make easement payments 
in an amount not to exceed the fair market value of the 
16 USC 3838p. 
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122 STAT. 1055 
PUBLIC LAW 110–234—MAY 22, 2008 
land less the grazing value of the land encumbered by 
the easement. 
‘‘(B) METHOD FOR DETERMINATION OF COMPENSATION.— 
In making a determination under subparagraph (A), the 
Secretary shall pay as compensation for a easement 
acquired under the program the lowest of— 
‘‘(i) the fair market value of the land encumbered 
by the easement, as determined by the Secretary, 
using— 
‘‘(I) the Uniform Standards of Professional 
Appraisal Practices; or 
‘‘(II) an area-wide market analysis or survey; 
‘‘(ii) the amount corresponding to a geographical 
cap, as determined by the Secretary in regulations; 
or 
‘‘(iii) the offer made by the landowner. 
‘‘(C) SCHEDULE.—Easement payments may be provided 
in up to 10 annual payments of equal or unequal amount, 
as agreed to by the Secretary and the owner. 
‘‘(4) RESTORATION AGREEMENT PAYMENTS.— 
‘‘(A) FEDERAL SHARE OF RESTORATION.—The Secretary 
shall make payments to an owner or operator under a 
restoration agreement of not more than 50 percent of the 
costs of carrying out measures and practices necessary 
to restore functions and values of that land. 
‘‘(B) PAYMENT LIMITATION.—Payments made under 1 
or more restoration agreements to a person or legal entity, 
directly or indirectly, may not exceed, in the aggregate, 
$50,000 per year. 
‘‘(5) PAYMENTS TO OTHERS.—If an owner or operator who 
is entitled to a payment under the program dies, becomes 
incompetent, is otherwise unable to receive the payment, or 
is succeeded by another person who renders or completes the 
required performance, the Secretary shall make the payment, 
in accordance with regulations promulgated by the Secretary 
and without regard to any other provision of law, in such 
manner as the Secretary determines is fair and reasonable 
in light of all the circumstances. 
‘‘SEC. 1238Q. DELEGATION OF DUTY. 
‘‘(a) AUTHORITY TO DELEGATE.—The Secretary may delegate 
a duty under the program— 
‘‘(1) by transferring title of ownership to an easement to 
an eligible entity to hold and enforce; or 
‘‘(2) by entering into a cooperative agreement with an 
eligible entity for the eligible entity to own, write, and enforce 
an easement. 
‘‘(b) ELIGIBLE ENTITY DEFINED.—In this section, the term 
‘eligible entity’ means— 
‘‘(1) an agency of State or local government or an Indian 
tribe; or 
‘‘(2) an organization that— 
‘‘(A) is organized for, and at all times since the forma-
tion of the organization has been operated principally for, 
one or more of the conservation purposes specified in clause 
(i), (ii), (iii), or (iv) of section 170(h)(4)(A) of the Internal 
Revenue Code of 1986; 
16 USC 3838q. 
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122 STAT. 1056 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) is an organization described in section 501(c)(3) 
of that Code that is exempt from taxation under section 
501(a) of that Code; and 
‘‘(C) is described in— 
‘‘(i) paragraph (1) or (2) of section 509(a) of that 
Code; or 
‘‘(ii) in section 509(a)(3) of that Code, and is con-
trolled by an organization described in section 509(a)(2) 
of that Code. 
‘‘(c) TRANSFER OF TITLE OF OWNERSHIP.— 
‘‘(1) TRANSFER.—The Secretary may transfer title of owner-
ship to an easement to an eligible entity to hold and enforce, 
in lieu of the Secretary, subject to the right of the Secretary 
to conduct periodic inspections and enforce the easement, if— 
‘‘(A) the Secretary determines that the transfer will 
promote protection of grassland, land that contains forbs, 
or shrubland; 
‘‘(B) the owner authorizes the eligible entity to hold 
or enforce the easement; and 
‘‘(C) the eligible entity agrees to assume the costs 
incurred in administering and enforcing the easement, 
including the costs of restoration or rehabilitation of the 
land as specified by the owner and the eligible entity. 
‘‘(2) APPLICATION.—An eligible entity that seeks to hold 
and enforce an easement shall apply to the Secretary for 
approval. 
‘‘(3) APPROVAL BY SECRETARY.—The Secretary may approve 
an application described in paragraph (2) if the eligible entity— 
‘‘(A) has the relevant experience necessary, as appro-
priate for the application, to administer an easement on 
grassland, land that contains forbs, or shrubland; 
‘‘(B) has a charter that describes a commitment to 
conserving ranchland, agricultural land, or grassland for 
grazing and conservation purposes; and 
‘‘(C) has the resources necessary to effectuate the pur-
poses of the charter. 
‘‘(d) COOPERATIVE AGREEMENTS.— 
‘‘(1) AUTHORIZED; TERMS AND CONDITIONS.—The Secretary 
shall establish the terms and conditions of a cooperative agree-
ment under which an eligible entity shall use funds provided 
by the Secretary to own, write, and enforce an easement, in 
lieu of the Secretary. 
‘‘(2) MINIMUM REQUIREMENTS.—At a minimum, the coopera-
tive agreement shall— 
‘‘(A) specify the qualification of the eligible entity to 
carry out the entity’s responsibilities under the program, 
including 
acquisition, 
monitoring, 
enforcement, 
and 
implementation of management policies and procedures 
that ensure the long-term integrity of the easement protec-
tions; 
‘‘(B) require the eligible entity to assume the costs 
incurred in administering and enforcing the easement, 
including the costs of restoration or rehabilitation of the 
land as specified by the owner and the eligible entity; 
‘‘(C) specify the right of the Secretary to conduct peri-
odic inspections to verify the eligible entity’s enforcement 
of the easement; 
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122 STAT. 1057 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(D) subject to subparagraph (E), identify a specific 
project or a range of projects to be funded under the agree-
ment; 
‘‘(E) allow, upon mutual agreement of the parties, 
substitution of qualified projects that are identified at the 
time of substitution; 
‘‘(F) specify the manner in which the eligible entity 
will evaluate and report the use of funds to the Secretary; 
‘‘(G) allow the eligible entity flexibility to develop and 
use terms and conditions for easements, if the Secretary 
finds the terms and conditions consistent with the purposes 
of the program and adequate to enable effective enforce-
ment of the easements; 
‘‘(H) if applicable, allow an eligible entity to include 
a charitable donation or qualified conservation contribution 
(as defined by section 170(h) of the Internal Revenue Code 
of 1986) from the landowner from which the easement 
will be purchased as part of the entity’s share of the cost 
to purchase an easement; and 
‘‘(I) provide for a schedule of payments to an eligible 
entity, as agreed to by the Secretary and the eligible entity. 
‘‘(3) COST SHARING.— 
‘‘(A) IN GENERAL.—As part of a cooperative agreement 
with an eligible entity under this subsection, the Secretary 
may provide a share of the purchase price of an easement 
under the program. 
‘‘(B) MINIMUM SHARE BY ELIGIBLE ENTITY.—The eligible 
entity shall be required to provide a share of the purchase 
price at least equivalent to that provided by the Secretary. 
‘‘(C) PRIORITY.—The Secretary may accord a higher 
priority to proposals from eligible entities that leverage 
a greater share of the purchase price of the easement. 
‘‘(4) VIOLATION.—If an eligible entity violates the terms 
or conditions of a cooperative agreement entered into under 
this subsection— 
‘‘(A) the cooperative agreement shall remain in force; 
and 
‘‘(B) the Secretary may require the eligible entity to 
refund all or part of any payments received by the eligible 
entity under the program, with interest on the payments 
as determined appropriate by the Secretary. 
‘‘(e) PROTECTION OF FEDERAL INVESTMENT.—When delegating 
a duty under this section, the Secretary shall ensure that the 
terms of an easement include a contingent right of enforcement 
for the Department.’’. 
Subtitle F—Environmental Quality 
Incentives Program 
SEC. 2501. PURPOSES OF ENVIRONMENTAL QUALITY INCENTIVES PRO-
GRAM. 
(a) REVISED PURPOSES.—Section 1240 of the Food Security Act 
of 1985 (16 U.S.C. 3839aa) is amended— 
(1) in the matter preceding paragraph (1), by inserting 
‘‘, forest management,’’ after ‘‘agricultural production’’; and 
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122 STAT. 1058 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) by striking paragraphs (3) and (4) and inserting the 
following new paragraphs: 
‘‘(3) providing flexible assistance to producers to install 
and maintain conservation practices that sustain food and fiber 
production while— 
‘‘(A) enhancing soil, water, and related natural 
resources, including grazing land, forestland, wetland, and 
wildlife; and 
‘‘(B) conserving energy; 
‘‘(4) assisting producers to make beneficial, cost effective 
changes to production systems (including conservation practices 
related to organic production), grazing management, fuels 
management, forest management, nutrient management associ-
ated with livestock, pest or irrigation management, or other 
practices on agricultural and forested land; and’’. 
(b) TECHNICAL CORRECTION.—The Food Security Act of 1985 
is amended by inserting immediately before section 1240 (16 U.S.C. 
3839aa) the following: 
‘‘CHAPTER 4—ENVIRONMENTAL QUALITY INCENTIVES 
PROGRAM’’. 
SEC. 2502. DEFINITIONS. 
Section 1240A of the Food Security Act of 1985 (16 U.S.C. 
3839aa–1) is amended to read as follows: 
‘‘SEC. 1240A. DEFINITIONS. 
‘‘In this chapter: 
‘‘(1) ELIGIBLE LAND.— 
‘‘(A) IN GENERAL.—The term ‘eligible land’ means land 
on which agricultural commodities, livestock, or forest- 
related products are produced. 
‘‘(B) INCLUSIONS.—The term ‘eligible land’ includes the 
following: 
‘‘(i) Cropland. 
‘‘(ii) Grassland. 
‘‘(iii) Rangeland. 
‘‘(iv) Pasture land. 
‘‘(v) Nonindustrial private forest land. 
‘‘(vi) Other agricultural land (including cropped 
woodland, marshes, and agricultural land used for the 
production of livestock) on which resource concerns 
related to agricultural production could be addressed 
through a contract under the program, as determined 
by the Secretary. 
‘‘(2) NATIONAL
ORGANIC
PROGRAM.—The term ‘national 
organic program’ means the national organic program estab-
lished under the Organic Foods Production Act of 1990 (7 
U.S.C. 6501 et. seq.). 
‘‘(3) ORGANIC SYSTEM PLAN.—The term ‘organic system plan’ 
means an organic plan approved under the national organic 
program. 
‘‘(4) PAYMENT.—The term ‘payment’ means financial assist-
ance provided to a producer for performing practices under 
this chapter, including compensation for— 
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122 STAT. 1059 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) incurred costs associated with planning, design, 
materials, equipment, installation, labor, management, 
maintenance, or training; and 
‘‘(B) income forgone by the producer. 
‘‘(5) PRACTICE.—The term ‘practice’ means 1 or more 
improvements and conservation activities that are consistent 
with the purposes of the program under this chapter, as deter-
mined by the Secretary, including— 
‘‘(A) improvements to eligible land of the producer, 
including— 
‘‘(i) structural practices; 
‘‘(ii) land management practices; 
‘‘(iii) vegetative practices; 
‘‘(iv) forest management; and 
‘‘(v) other practices that the Secretary determines 
would further the purposes of the program; and 
‘‘(B) conservation activities involving the development 
of plans appropriate for the eligible land of the producer, 
including— 
‘‘(i) comprehensive nutrient management planning; 
and 
‘‘(ii) other plans that the Secretary determines 
would further the purposes of the program under this 
chapter. 
‘‘(6) PROGRAM.—The term ‘program’ means the environ-
mental quality incentives program established by this chapter.’’. 
SEC. 2503. ESTABLISHMENT AND ADMINISTRATION OF ENVIRON-
MENTAL QUALITY INCENTIVES PROGRAM. 
Section 1240B of the Food Security Act of 1985 (16 U.S.C. 
3839aa–2) is amended to read as follows: 
‘‘SEC. 1240B. ESTABLISHMENT AND ADMINISTRATION. 
‘‘(a) ESTABLISHMENT.—During each of the 2002 through 2012 
fiscal years, the Secretary shall provide payments to producers 
that enter into contracts with the Secretary under the program. 
‘‘(b) PRACTICES AND TERM.— 
‘‘(1) PRACTICES.—A contract under the program may apply 
to the performance of one or more practices. 
‘‘(2) TERM.—A contract under the program shall have a 
term that— 
‘‘(A) at a minimum, is equal to the period beginning 
on the date on which the contract is entered into and 
ending on the date that is one year after the date on 
which all practices under the contract have been imple-
mented; but 
‘‘(B) not to exceed 10 years. 
‘‘(c) BIDDING DOWN.—If the Secretary determines that the 
environmental values of two or more applications for payments 
are comparable, the Secretary shall not assign a higher priority 
to the application only because it would present the least cost 
to the program. 
‘‘(d) PAYMENTS.— 
‘‘(1) AVAILABILITY OF PAYMENTS.—Payments are provided 
to a producer to implement one or more practices under the 
program. 
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122 STAT. 1060 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) LIMITATION ON PAYMENT AMOUNTS.—A payment to a 
producer for performing a practice may not exceed, as deter-
mined by the Secretary— 
‘‘(A) 75 percent of the costs associated with planning, 
design, materials, equipment, installation, labor, manage-
ment, maintenance, or training; 
‘‘(B) 100 percent of income foregone by the producer; 
or 
‘‘(C) in the case of a practice consisting of elements 
covered under subparagraphs (A) and (B)— 
‘‘(i) 75 percent of the costs incurred for those ele-
ments covered under subparagraph (A); and 
‘‘(ii) 100 percent of income foregone for those ele-
ments covered under subparagraph (B). 
‘‘(3) SPECIAL
RULE
INVOLVING
PAYMENTS
FOR
FOREGONE 
INCOME.—In determining the amount and rate of payments 
under paragraph (2)(B), the Secretary may accord great signifi-
cance to a practice that, as determined by the Secretary, pro-
motes— 
‘‘(A) residue management; 
‘‘(B) nutrient management; 
‘‘(C) air quality management; 
‘‘(D) invasive species management; 
‘‘(E) pollinator habitat; 
‘‘(F) animal carcass management technology; or 
‘‘(G) pest management. 
‘‘(4) INCREASED PAYMENTS FOR CERTAIN PRODUCERS.— 
‘‘(A) IN GENERAL.—Notwithstanding paragraph (2), in 
the case of a producer that is a limited resource, socially 
disadvantaged farmer or rancher or a beginning farmer 
or rancher, the Secretary shall increase the amount that 
would otherwise be provided to a producer under this sub-
section— 
‘‘(i) to not more than 90 percent of the costs associ-
ated with planning, design, materials, equipment, 
installation, labor, management, maintenance, or 
training; and 
‘‘(ii) to not less than 25 percent above the otherwise 
applicable rate. 
‘‘(B) ADVANCE PAYMENTS.—Not more than 30 percent 
of the amount determined under subparagraph (A) may 
be provided in advance for the purpose of purchasing mate-
rials or contracting. 
‘‘(5) FINANCIAL ASSISTANCE FROM OTHER SOURCES.—Except 
as provided in paragraph (6), any payments received by a 
producer from a State or private organization or person for 
the implementation of one or more practices on eligible land 
of the producer shall be in addition to the payments provided 
to the producer under this subsection. 
‘‘(6) OTHER PAYMENTS.—A producer shall not be eligible 
for payments for practices on eligible land under the program 
if the producer receives payments or other benefits for the 
same practice on the same land under another program under 
this subtitle. 
‘‘(e) MODIFICATION OR TERMINATION OF CONTRACTS.— 
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122 STAT. 1061 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) VOLUNTARY MODIFICATION OR TERMINATION.—The Sec-
retary may modify or terminate a contract entered into with 
a producer under the program if— 
‘‘(A) the producer agrees to the modification or termi-
nation; and 
‘‘(B) the Secretary determines that the modification 
or termination is in the public interest. 
‘‘(2) INVOLUNTARY
TERMINATION.—The Secretary may 
terminate a contract under the program if the Secretary deter-
mines that the producer violated the contract. 
‘‘(f) ALLOCATION OF FUNDING.—For each of fiscal years 2002 
through 2012, 60 percent of the funds made available for payments 
under the program shall be targeted at practices relating to live-
stock production. 
‘‘(g) FUNDING FOR FEDERALLY RECOGNIZED NATIVE AMERICAN 
INDIAN TRIBES AND ALASKA NATIVE CORPORATIONS.—The Secretary 
may enter into alternative funding arrangements with federally 
recognized Native American Indian Tribes and Alaska Native Cor-
porations (including their affiliated membership organizations) if 
the Secretary determines that the goals and objectives of the pro-
gram will be met by such arrangements, and that statutory limita-
tions regarding contracts with individual producers will not be 
exceeded by any Tribal or Native Corporation member. 
‘‘(h) WATER CONSERVATION OR IRRIGATION EFFICIENCY PRAC-
TICE.— 
‘‘(1) AVAILABILITY OF PAYMENTS.—The Secretary may pro-
vide payments under this subsection to a producer for a water 
conservation or irrigation practice. 
‘‘(2) PRIORITY.—In providing payments to a producer for 
a water conservation or irrigation practice, the Secretary shall 
give priority to applications in which— 
‘‘(A) consistent with the law of the State in which 
the eligible land of the producer is located, there is a 
reduction in water use in the operation of the producer; 
or 
‘‘(B) the producer agrees not to use any associated 
water savings to bring new land, other than incidental 
land needed for efficient operations, under irrigated produc-
tion, unless the producer is participating in a watershed- 
wide project that will effectively conserve water, as deter-
mined by the Secretary. 
‘‘(i) PAYMENTS
FOR CONSERVATION PRACTICES RELATED
TO 
ORGANIC PRODUCTION.— 
‘‘(1) PAYMENTS AUTHORIZED.—The Secretary shall provide 
payments under this subsection for conservation practices, on 
some or all of the operations of a producer, related— 
‘‘(A) to organic production; and 
‘‘(B) to the transition to organic production. 
‘‘(2) ELIGIBILITY
REQUIREMENTS.—As a condition for 
receiving payments under this subsection, a producer shall 
agree— 
‘‘(A) to develop and carry out an organic system plan; 
or 
‘‘(B) to develop and implement conservation practices 
for certified organic production that are consistent with 
an organic system plan and the purposes of this chapter. 
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122 STAT. 1062 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) PAYMENT
LIMITATIONS.—Payments under this sub-
section to a person or legal entity, directly or indirectly, may 
not exceed, in the aggregate, $20,000 per year or $80,000 during 
any 6-year period. In applying these limitations, the Secretary 
shall not take into account payments received for technical 
assistance. 
‘‘(4) EXCLUSION
OF
CERTAIN
ORGANIC
CERTIFICATION 
COSTS.—Payments may not be made under this subsection to 
cover the costs associated with organic certification that are 
eligible for cost-share payments under section 10606 of the 
Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
6523). 
‘‘(5) TERMINATION
OF
CONTRACTS.—The Secretary may 
cancel or otherwise nullify a contract to provide payments 
under this subsection if the Secretary determines that the 
producer— 
‘‘(A) is not pursuing organic certification; or 
‘‘(B) is not in compliance with the Organic Foods 
Production Act of 1990 (7 U.S.C. 6501 et seq).’’. 
SEC. 2504. EVALUATION OF APPLICATIONS. 
Section 1240C of the Food Security Act of 1985 (16 U.S.C. 
3839aa–3) is amended to read as follows: 
‘‘SEC. 1240C. EVALUATION OF APPLICATIONS. 
‘‘(a) EVALUATION CRITERIA.—The Secretary shall develop cri-
teria for evaluating applications that will ensure that national, 
State, and local conservation priorities are effectively addressed. 
‘‘(b) PRIORITIZATION OF APPLICATIONS.—In evaluating applica-
tions under this chapter, the Secretary shall prioritize applica-
tions— 
‘‘(1) based on their overall level of cost-effectiveness to 
ensure that the conservation practices and approaches proposed 
are the most efficient means of achieving the anticipated 
environmental benefits of the project; 
‘‘(2) based on how effectively and comprehensively the 
project addresses the designated resource concern or resource 
concerns; 
‘‘(3) that best fulfill the purpose of the environmental 
quality incentives program specified in section 1240(1); and 
‘‘(4) that improve conservation practices or systems in place 
on the operation at the time the contract offer is accepted 
or that will complete a conservation system. 
‘‘(c) GROUPING OF APPLICATIONS.—To the greatest extent prac-
ticable, the Secretary shall group applications of similar crop or 
livestock operations for evaluation purposes or otherwise evaluate 
applications relative to other applications for similar farming oper-
ations.’’. 
SEC. 2505. DUTIES OF PRODUCERS UNDER ENVIRONMENTAL QUALITY 
INCENTIVES PROGRAM. 
Section 1240D of the Food Security Act of 1985 (16 U.S.C. 
3839aa–4) is amended— 
(1) in the matter preceding paragraph (1), by striking ‘‘tech-
nical assistance, cost-share payments, or incentive’’; 
(2) in paragraph (2), by striking ‘‘farm or ranch’’ and 
inserting ‘‘farm, ranch, or forest land’’; and 
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122 STAT. 1063 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) in paragraph (4), by striking ‘‘cost-share payments and 
incentive’’. 
SEC. 2506. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM PLAN. 
(a) PLAN OF OPERATIONS.—Section 1240E(a) of the Food Secu-
rity Act of 1985 (16 U.S.C. 3839aa–5(a)) is amended— 
(1) in the subsection heading, by striking ‘‘IN GENERAL’’ 
and inserting ‘‘PLAN OF OPERATIONS’’; 
(2) in matter preceding paragraph (1), by striking ‘‘cost- 
share payments or incentive’’; 
(3) in paragraph (2), by striking ‘‘and’’ after the semicolon 
at the end; 
(4) in paragraph (3), by striking the period at the end 
and inserting ‘‘; and’’; and 
(5) by adding at the end the following new paragraph: 
‘‘(4) in the case of forest land, is consistent with the provi-
sions of a forest management plan that is approved by the 
Secretary, which may include— 
‘‘(A) a forest stewardship plan described in section 
5 of the Cooperative Forestry Assistance Act of 1978 (16 
U.S.C. 2103a); 
‘‘(B) another practice plan approved by the State for-
ester; or 
‘‘(C) another plan determined appropriate by the Sec-
retary.’’. 
(b) AVOIDANCE
OF DUPLICATION.—Subsection (b) of section 
1240E of the Food Security Act of 1985 (16 U.S.C. 3839aa–5) 
is amended to read as follows: 
‘‘(b) AVOIDANCE OF DUPLICATION.—The Secretary shall— 
‘‘(1) consider a plan developed in order to acquire a permit 
under a water or air quality regulatory program as the equiva-
lent of a plan of operations under subsection (a), if the plan 
contains elements equivalent to those elements required by 
a plan of operations; and 
‘‘(2) to the maximum extent practicable, eliminate duplica-
tion of planning activities under the program under this chapter 
and comparable conservation programs.’’. 
SEC. 2507. DUTIES OF THE SECRETARY. 
Section 1240F(1) of the Food Security Act of 1985 (16 U.S.C. 
3839aa–6(1)) is amended by striking ‘‘cost-share payments or incen-
tive’’. 
SEC. 2508. LIMITATION ON ENVIRONMENTAL QUALITY INCENTIVES 
PROGRAM PAYMENTS. 
Section 1240G of the Food Security Act of 1985 (16 U.S.C. 
3839aa–7) is amended— 
(1) by striking ‘‘An individual or entity’’ and inserting ‘‘(a) 
LIMITATION.—Subject to subsection (b), a person or legal 
entity’’; 
(2) by striking ‘‘$450,000’’ and inserting ‘‘$300,000’’; 
(3) by striking ‘‘the individual’’ both places it appears and 
inserting ‘‘the person’’; and 
(4) by adding at the end the following new subsection: 
‘‘(b) WAIVER AUTHORITY.—In the case of contracts under this 
chapter for projects of special environmental significance (including 
projects involving methane digesters), as determined by the Sec-
retary, the Secretary may— 
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122 STAT. 1064 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) waive the limitation otherwise applicable under sub-
section (a); and 
‘‘(2) raise the limitation to not more than $450,000 during 
any six-year period.’’. 
SEC. 2509. CONSERVATION INNOVATION GRANTS AND PAYMENTS. 
Section 1240H of the Food Security Act of 1985 (16 U.S.C. 
3839aa–8) is amended to read as follows: 
‘‘SEC. 1240H. CONSERVATION INNOVATION GRANTS AND PAYMENTS. 
‘‘(a) COMPETITIVE
GRANTS
FOR
INNOVATIVE
CONSERVATION 
APPROACHES.— 
‘‘(1) GRANTS.—Out of the funds made available to carry 
out this chapter, the Secretary may pay the cost of competitive 
grants that are intended to stimulate innovative approaches 
to leveraging the Federal investment in environmental enhance-
ment and protection, in conjunction with agricultural produc-
tion or forest resource management, through the program. 
‘‘(2) USE.—The Secretary may provide grants under this 
subsection to governmental and non-governmental organiza-
tions and persons, on a competitive basis, to carry out projects 
that— 
‘‘(A) involve producers who are eligible for payments 
or technical assistance under the program; 
‘‘(B) leverage Federal funds made available to carry 
out the program under this chapter with matching funds 
provided by State and local governments and private 
organizations to promote environmental enhancement and 
protection in conjunction with agricultural production; 
‘‘(C) ensure efficient and effective transfer of innovative 
technologies and approaches demonstrated through projects 
that receive funding under this section, such as market 
systems for pollution reduction and practices for the storage 
of carbon in soil; and 
‘‘(D) provide environmental and resource conservation 
benefits through increased participation by producers of 
specialty crops. 
‘‘(b) AIR
QUALITY
CONCERNS
FROM
AGRICULTURAL
OPER-
ATIONS.— 
‘‘(1) IMPLEMENTATION
ASSISTANCE.—The Secretary shall 
provide payments under this subsection to producers to imple-
ment practices to address air quality concerns from agricultural 
operations and to meet Federal, State, and local regulatory 
requirements. The funds shall be made available on the basis 
of air quality concerns in a State and shall be used to provide 
payments to producers that are cost effective and reflect innova-
tive technologies. 
‘‘(2) FUNDING.—Of the funds made available to carry out 
this chapter, the Secretary shall carry out this subsection using 
$37,500,000 for each of fiscal years 2009 through 2012.’’. 
SEC. 2510. AGRICULTURAL WATER ENHANCEMENT PROGRAM. 
Section 1240I of the Food Security Act of 1985 (16 U.S.C. 
3839aa–9) is amended to read as follows: 
‘‘SEC. 1240I. AGRICULTURAL WATER ENHANCEMENT PROGRAM. 
‘‘(a) DEFINITIONS.—In this section: 
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122 STAT. 1065 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) AGRICULTURAL WATER ENHANCEMENT ACTIVITY.—The 
term ‘agricultural water enhancement activity’ includes the 
following activities carried out with respect to agricultural land: 
‘‘(A) Water quality or water conservation plan develop-
ment, including resource condition assessment and mod-
eling. 
‘‘(B) Water conservation restoration or enhancement 
projects, including conversion to the production of less 
water-intensive 
agricultural 
commodities 
or 
dryland 
farming. 
‘‘(C) Water quality or quantity restoration or enhance-
ment projects. 
‘‘(D) Irrigation system improvement and irrigation effi-
ciency enhancement. 
‘‘(E) Activities designed to mitigate the effects of 
drought. 
‘‘(F) Related activities that the Secretary determines 
will help achieve water quality or water conservation bene-
fits on agricultural land. 
‘‘(2) PARTNER.—The term ‘partner’ means an entity that 
enters into a partnership agreement with the Secretary to 
carry out agricultural water enhancement activities on a 
regional basis, including— 
‘‘(A) an agricultural or silvicultural producer associa-
tion or other group of such producers; 
‘‘(B) a State or unit of local government; or 
‘‘(C) a federally recognized Indian tribe. 
‘‘(3) PARTNERSHIP
AGREEMENT.—The term ‘partnership 
agreement’ means an agreement between the Secretary and 
a partner. 
‘‘(4) PROGRAM.—The term ‘program’ means the agricultural 
water enhancement program established under subsection (b). 
‘‘(b) ESTABLISHMENT OF PROGRAM.—Beginning in fiscal year 
2009, the Secretary shall carry out, in accordance with this section 
and using such procedures as the Secretary determines to be appro-
priate, an agricultural water enhancement program as part of the 
environmental quality incentives program to promote ground and 
surface water conservation and improve water quality on agricul-
tural lands— 
‘‘(1) by entering into contracts with, and making payments 
to, producers to carry out agricultural water enhancement 
activities; or 
‘‘(2) by entering into partnership agreements with partners, 
in accordance with subsection (c), on a regional level to benefit 
working agricultural land. 
‘‘(c) PARTNERSHIP AGREEMENTS.— 
‘‘(1) AGREEMENTS AUTHORIZED.—The Secretary may enter 
into partnership agreements to meet the objectives of the pro-
gram described in subsection (b). 
‘‘(2) APPLICATIONS.—An application to the Secretary to 
enter into a partnership agreement under paragraph (1) shall 
include the following: 
‘‘(A) A description of the geographical area to be cov-
ered by the partnership agreement. 
‘‘(B) A description of the agricultural water quality 
or water conservation issues to be addressed by the partner-
ship agreement. 
Effective date. 
Procedures. 
Contracts. 
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122 STAT. 1066 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) A description of the agricultural water enhance-
ment objectives to be achieved through the partnership. 
‘‘(D) A description of the partners collaborating to 
achieve the project objectives and the roles, responsibilities, 
and capabilities of each partner. 
‘‘(E) A description of the program resources, including 
payments the Secretary is requested to make. 
‘‘(F) Such other such elements as the Secretary con-
siders necessary to adequately evaluate and competitively 
select applications for partnership agreements. 
‘‘(3) DUTIES OF PARTNERS.—A partner under a partnership 
agreement shall— 
‘‘(A) identify producers participating in the project and 
act on their behalf in applying for the program; 
‘‘(B) leverage funds provided by the Secretary with 
additional funds to help achieve project objectives; 
‘‘(C) conduct monitoring and evaluation of project 
effects; and 
‘‘(D) at the conclusion of the project, report to the 
Secretary on project results. 
‘‘(d) AGRICULTURAL WATER ENHANCEMENT ACTIVITIES BY PRO-
DUCERS.—The Secretary shall select agricultural water enhance-
ment activities proposed by producers according to applicable 
requirements under the environmental quality incentives program. 
‘‘(e) AGRICULTURAL WATER ENHANCEMENT ACTIVITIES BY PART-
NERS.— 
‘‘(1) COMPETITIVE PROCESS.—The Secretary shall conduct 
a competitive process to select partners. In carrying out the 
process, the Secretary shall make public the criteria used in 
evaluating applications. 
‘‘(2) AUTHORITY TO GIVE PRIORITY TO CERTAIN PROPOSALS.— 
The Secretary may give a higher priority to proposals from 
partners that— 
‘‘(A) include high percentages of agricultural land and 
producers in a region or other appropriate area; 
‘‘(B) result in high levels of applied agricultural water 
quality and water conservation activities; 
‘‘(C) significantly enhance agricultural activity; 
‘‘(D) allow for monitoring and evaluation; and 
‘‘(E) assist producers in meeting a regulatory require-
ment that reduces the economic scope of the producer’s 
operation. 
‘‘(3) PRIORITY
TO
PROPOSALS
FROM
STATES
WITH
WATER 
QUANTITY CONCERNS.—The Secretary shall give a higher pri-
ority to proposals from partners that— 
‘‘(A) include the conversion of agricultural land from 
irrigated farming to dryland farming; 
‘‘(B) leverage Federal funds provided under the pro-
gram with funds provided by partners; and 
‘‘(C) assist producers in States with water quantity 
concerns, as determined by the Secretary. 
‘‘(4) ADMINISTRATION.—In carrying out this subsection, the 
Secretary shall— 
‘‘(A) accept qualified applications— 
‘‘(i) directly from partners applying on behalf of 
producers; or 
Public 
information. 
Reports. 
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122 STAT. 1067 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) from producers applying through a partner 
as part of a regional agricultural water enhancement 
project; and 
‘‘(B) ensure that resources made available for regional 
agricultural water enhancement activities are delivered in 
accordance with applicable program rules. 
‘‘(f) AREAS EXPERIENCING EXCEPTIONAL DROUGHT.—Notwith-
standing the purposes described in section 1240, the Secretary 
shall consider as an eligible agricultural water enhancement activity 
the use of a water impoundment to capture surface water runoff 
on agricultural land if the agricultural water enhancement 
activity— 
‘‘(1) is located in an area that is experiencing or has experi-
enced exceptional drought conditions during the previous two 
calendar years; and 
‘‘(2) will capture surface water runoff through the construc-
tion, improvement, or maintenance of irrigation ponds or small, 
on-farm reservoirs. 
‘‘(g) WAIVER AUTHORITY.—To assist in the implementation of 
agricultural water enhancement activities under the program, the 
Secretary shall waive the applicability of the limitation in section 
1001D(b)(2)(B) of this Act for participating producers if the Sec-
retary determines that the waiver is necessary to fulfill the objec-
tives of the program. 
‘‘(h) PAYMENTS UNDER PROGRAM.— 
‘‘(1) IN GENERAL.—The Secretary shall provide appropriate 
payments to producers participating in agricultural water 
enhancement activities in an amount determined by the sec-
retary to be necessary to achieve the purposes of the program 
described in subsection (b). 
‘‘(2) PAYMENTS
TO
PRODUCERS
IN
STATES
WITH
WATER 
QUANTITY CONCERNS.—The Secretary shall provide payments 
for a period of five years to producers participating in agricul-
tural water enhancement activities under proposals described 
in subsection (e)(3) in an amount sufficient to encourage pro-
ducers to convert from irrigated farming to dryland farming. 
‘‘(i) CONSISTENCY WITH STATE LAW.—Any agricultural water 
enhancement activity conducted under the program shall be con-
ducted in a manner consistent with State water law. 
‘‘(j) FUNDING.— 
‘‘(1) AVAILABILITY OF FUNDS.—In addition to funds made 
available to carry out this chapter under section 1241(a), the 
Secretary shall carry out the program using, of the funds of 
the Commodity Credit Corporation— 
‘‘(A) $73,000,000 for each of fiscal years 2009 and 2010; 
‘‘(B) $74,000,000 for fiscal year 2011; and 
‘‘(C) $60,000,000 for fiscal year 2012 and each fiscal 
year thereafter. 
‘‘(2) LIMITATION ON ADMINISTRATIVE EXPENSES.—None of 
the funds made available for regional agricultural water con-
servation activities under the program may be used to pay 
for the administrative expenses of partners.’’. 
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122 STAT. 1068 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle G—Other Conservation Programs 
of the Food Security Act of 1985 
SEC. 2601. CONSERVATION OF PRIVATE GRAZING LAND. 
Section 1240M(e) of the Food Security Act of 1985 (16 U.S.C. 
3839bb(e)) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 2602. WILDLIFE HABITAT INCENTIVE PROGRAM. 
(a) ELIGIBILITY.—Section 1240N of the Food Security Act of 
1985 (16 U.S.C. 3839bb–1) is amended— 
(1) in subsection (a), by inserting before the period at 
the end the following: ‘‘for the development of wildlife habitat 
on private agricultural land, nonindustrial private forest land, 
and tribal lands’’. 
(2) in subsection (b)(1), by striking ‘‘landowners’’ and 
inserting ‘‘owners of lands referred to in subsection (a)’’. 
(b) INCLUSION OF PIVOT CORNERS AND IRREGULAR AREAS.— 
Section 1240N(b)(1)(E) of the Food Security Act of 1985 (16 U.S.C. 
3839bb–1(b)(1)(E)) is amended by inserting before the period at 
the end the following: ‘‘, including habitat developed on pivot corners 
and irregular areas’’. 
(c) COST
SHARE
FOR
LONG-TERM
AGREEMENTS.—Section 
1240N(b)(2)(B) of the Food Security Act of 1985 (16 U.S.C. 3839bb– 
1(b)(2)(B)) is amended by striking ‘‘15 percent’’ and inserting ‘‘25 
percent’’. 
(d) PRIORITY FOR CERTAIN CONSERVATION INITIATIVES; PAYMENT 
LIMITATION.—Section 1240N of the Food Security Act of 1985 (16 
U.S.C. 3839bb–1) is amended by adding at the end the following 
new subsections: 
‘‘(d) PRIORITY FOR CERTAIN CONSERVATION INITIATIVES.—In car-
rying out this section, the Secretary may give priority to projects 
that would address issues raised by State, regional, and national 
conservation initiatives. 
‘‘(e) PAYMENT LIMITATION.—Payments made to a person or legal 
entity, directly or indirectly, under the program may not exceed, 
in the aggregate, $50,000 per year.’’. 
SEC. 2603. GRASSROOTS SOURCE WATER PROTECTION PROGRAM. 
Section 1240O(b) of the Food Security Act of 1985 (16 U.S.C. 
3839bb–2(b)) is amended by striking ‘‘$5,000,000 for each of fiscal 
years 2002 through 2007’’ and inserting ‘‘$20,000,000 for each of 
fiscal years 2008 through 2012’’. 
SEC. 2604. GREAT LAKES BASIN PROGRAM FOR SOIL EROSION AND 
SEDIMENT CONTROL. 
Section 1240P of the Food Security Act of 1985 (16 U.S.C. 
3839bb–3) is amended to read as follows: 
‘‘SEC. 1240P. GREAT LAKES BASIN PROGRAM FOR SOIL EROSION AND 
SEDIMENT CONTROL. 
‘‘(a) PROGRAM AUTHORIZED.—The Secretary may carry out the 
Great Lakes basin program for soil erosion and sediment control 
(referred to in this section as the ‘program’), including providing 
assistance to implement the recommendations of the Great Lakes 
Regional Collaboration Strategy to Restore and Protect the Great 
Lakes. 
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122 STAT. 1069 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(b) CONSULTATION
AND COOPERATION.—The Secretary shall 
carry out the program in consultation with the Great Lakes 
Commission created by Article IV of the Great Lakes Basin Compact 
(82 Stat. 415) and in cooperation with the Administrator of the 
Environmental Protection Agency and the Secretary of the Army. 
‘‘(c) ASSISTANCE.—In carrying out the program, the Secretary 
may— 
‘‘(1) provide project demonstration grants, provide technical 
assistance, and carry out information and educational programs 
to improve water quality in the Great Lakes basin by reducing 
soil erosion and improving sediment control; and 
‘‘(2) establish a priority for projects and activities that— 
‘‘(A) directly reduce soil erosion or improve sediment 
control; 
‘‘(B) reduce soil loss in degraded rural watersheds; 
or 
‘‘(C) improve water quality for downstream watersheds. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to carry out the program 
$5,000,000 for each of fiscal years 2008 through 2012.’’. 
SEC. 2605. CHESAPEAKE BAY WATERSHED PROGRAM. 
Chapter 5 of subtitle D of title XII of the Food Security Act 
of 1985 is amended by inserting after section 1240P (16 U.S.C. 
3839bb–3) the following new section: 
‘‘SEC. 1240Q. CHESAPEAKE BAY WATERSHED. 
‘‘(a) CHESAPEAKE BAY WATERSHED DEFINED.—In this section, 
the term ‘Chesapeake Bay watershed’ means all tributaries, back-
waters, and side channels, including their watersheds, draining 
into the Chesapeake Bay. 
‘‘(b) ESTABLISHMENT AND PURPOSE.—The Secretary shall assist 
producers in implementing conservation activities on agricultural 
lands in the Chesapeake Bay watershed for the purposes of— 
‘‘(1) improving water quality and quantity in the Chesa-
peake Bay watershed; and 
‘‘(2) restoring, enhancing, and preserving soil, air, and 
related resources in the Chesapeake Bay watershed. 
‘‘(c) CONSERVATION ACTIVITIES.—The Secretary shall deliver the 
funds made available to carry out this section through applicable 
programs under this subtitle to assist producers in enhancing land 
and water resources— 
‘‘(1) by controlling erosion and reducing sediment and 
nutrient levels in ground and surface water; and 
‘‘(2) by planning, designing, implementing, and evaluating 
habitat conservation, restoration, and enhancement measures 
where there is significant ecological value if the lands are— 
‘‘(A) retained in their current use; or 
‘‘(B) restored to their natural condition. 
‘‘(d) AGREEMENTS.— 
‘‘(1) IN GENERAL.—The Secretary shall— 
‘‘(A) enter into agreements with producers to carry 
out the purposes of this section; and 
‘‘(B) use the funds made available to carry out this 
section to cover the costs of the program involved with 
each agreement. 
‘‘(2) SPECIAL
CONSIDERATIONS.—In entering into agree-
ments under this subsection, the Secretary shall give special 
16 USC 
3839bb–4. 
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122 STAT. 1070 
PUBLIC LAW 110–234—MAY 22, 2008 
consideration to, and begin evaluating, applications with pro-
ducers in the following river basins: 
‘‘(A) The Susquehanna River. 
‘‘(B) The Shenandoah River. 
‘‘(C) The Potomac River (including North and South 
Potomac). 
‘‘(D) The Patuxent River. 
‘‘(e) DUTIES OF THE SECRETARY.—In carrying out the purposes 
in this section, the Secretary shall— 
‘‘(1) where available, use existing plans, models, and assess-
ments to assist producers in implementing conservation activi-
ties; and 
‘‘(2) proceed expeditiously with the implementation of any 
agreement with a producer that is consistent with State strate-
gies for the restoration of the Chesapeake Bay watershed. 
‘‘(f) CONSULTATION.—The Secretary, in consultation with appro-
priate Federal agencies, shall ensure conservation activities carried 
out under this section complement Federal and State programs, 
including programs that address water quality, in the Chesapeake 
Bay watershed. 
‘‘(g) SENSE OF CONGRESS REGARDING CHESAPEAKE BAY EXECU-
TIVE COUNCIL.—It is the sense of Congress that the Secretary 
should be a member of the Chesapeake Bay Executive Council, 
and is authorized to do so under section 1(3) of the Soil Conservation 
and Domestic Allotment Act (16 U.S.C. 590a(3)). 
‘‘(h) FUNDING.— 
‘‘(1) AVAILABILITY.—Of the funds of the Commodity Credit 
Corporation, the Secretary shall use, to the maximum extent 
practicable— 
‘‘(A) $23,000,000 for fiscal year 2009; 
‘‘(B) $43,000,000 for fiscal year 2010; 
‘‘(C) $72,000,000 for fiscal year 2011; and 
‘‘(D) $50,000,000 for fiscal year 2012. 
‘‘(2) DURATION
OF
AVAILABILITY.—Funds made available 
under paragraph (1) shall remain available until expended.’’ 
SEC. 2606. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE PRO-
GRAM. 
Chapter 5 of subtitle D of title XII of the Food Security Act 
of 1985 (16 U.S.C. 3839bb et seq.) is amended by inserting after 
section 1240Q, as added by section 2605, the following new section: 
‘‘SEC. 1240R. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE 
PROGRAM. 
‘‘(a) ESTABLISHMENT.—The Secretary shall establish a voluntary 
public access program under which States and tribal governments 
may apply for grants to encourage owners and operators of pri-
vately-held farm, ranch, and forest land to voluntarily make that 
land available for access by the public for wildlife-dependent recre-
ation, including hunting or fishing under programs administered 
by the States and tribal governments. 
‘‘(b) APPLICATIONS.—In submitting applications for a grant 
under the program, a State or tribal government shall describe— 
‘‘(1) the benefits that the State or tribal government intends 
to achieve by encouraging public access to private farm and 
ranch land for— 
‘‘(A) hunting and fishing; and 
16 USC 
3839bb–5. 
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122 STAT. 1071 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) to the maximum extent practicable, other rec-
reational purposes; and 
‘‘(2) the methods that will be used to achieve those benefits. 
‘‘(c) PRIORITY.—In approving applications and awarding grants 
under the program, the Secretary shall give priority to States 
and tribal governments that propose— 
‘‘(1) to maximize participation by offering a program the 
terms of which are likely to meet with widespread acceptance 
among landowners; 
‘‘(2) to ensure that land enrolled under the State or tribal 
government program has appropriate wildlife habitat; 
‘‘(3) to strengthen wildlife habitat improvement efforts on 
land enrolled in a special conservation reserve enhancement 
program described in section 1234(f)(4) by providing incentives 
to increase public hunting and other recreational access on 
that land; 
‘‘(4) to use additional Federal, State, tribal government, 
or private resources in carrying out the program; and 
‘‘(5) to make available to the public the location of land 
enrolled. 
‘‘(d) RELATIONSHIP TO OTHER LAWS.— 
‘‘(1) NO PREEMPTION.—Nothing in this section preempts 
a State or tribal government law, including any State or tribal 
government liability law. 
‘‘(2) EFFECT OF INCONSISTENT OPENING DATES FOR MIGRA-
TORY BIRD HUNTING.—The Secretary shall reduce by 25 percent 
the amount of a grant otherwise determined for a State under 
the program if the opening dates for migratory bird hunting 
in the State are not consistent for residents and non-residents. 
‘‘(e) REGULATIONS.—The Secretary shall promulgate such regu-
lations as are necessary to carry out this section. 
‘‘(f) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary shall use, to the maximum extent practicable, 
$50,000,000 for the period of fiscal years 2009 through 2012.’’. 
Subtitle H—Funding and Administration of 
Conservation Programs 
SEC. 2701. FUNDING OF CONSERVATION PROGRAMS UNDER FOOD 
SECURITY ACT OF 1985. 
(a) IN GENERAL.—Section 1241(a) of the Food Security Act 
of 1985 (16 U.S.C. 3841(a)) is amended in the matter preceding 
paragraph (1), by striking ‘‘2007’’ and inserting ‘‘2012’’. 
(b) CONSERVATION RESERVE PROGRAM.—Paragraph (1) of sec-
tion 1241(a) of the Food Security Act of 1985 (16 U.S.C. 3841(a)) 
is amended by striking the period at the end and inserting the 
following: ‘‘, including to the maximum extent practicable— 
‘‘(A) $100,000,000 for the period of fiscal years 2009 
through 2012 to provide cost share payments under para-
graph (3) of section 1234(b) in connection with thinning 
activities conducted on land described in subparagraph 
(A)(iii) of such paragraph; and 
‘‘(B) $25,000,000 for the period of fiscal years 2009 
through 2012 to carry out section 1235(f) to facilitate the 
transfer of land subject to contracts from retired or retiring 
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122 STAT. 1072 
PUBLIC LAW 110–234—MAY 22, 2008 
owners and operators to beginning farmers or ranchers 
and socially disadvantaged farmers or ranchers.’’. 
(c) CONSERVATION SECURITY AND CONSERVATION STEWARDSHIP 
PROGRAMS.—Paragraph (3) of section 1241(a) of the Food Security 
Act of 1985 (16 U.S.C. 3841(a)) is amended to read as follows: 
‘‘(3)(A) CONSERVATION SECURITY PROGRAM.—The conserva-
tion security program under subchapter A of chapter 2, using 
such sums as are necessary to administer contracts entered 
into before September 30, 2008. 
‘‘(B) CONSERVATION STEWARDSHIP PROGRAM.—The conserva-
tion stewardship program under subchapter B of chapter 2.’’. 
(d) FARMLAND PROTECTION PROGRAM.—Paragraph (4) of section 
1241(a) of the Food Security Act of 1985 (16 U.S.C. 3841(a)) is 
amended to read as follows: 
‘‘(4) The farmland protection program under subchapter 
C of chapter 2, using, to the maximum extent practicable— 
‘‘(A) $97,000,000 in fiscal year 2008; 
‘‘(B) $121,000,000 in fiscal year 2009; 
‘‘(C) $150,000,000 in fiscal year 2010; 
‘‘(D) $175,000,000 in fiscal year 2011; and 
‘‘(E) $200,000,000 in fiscal year 2012.’’. 
(e) GRASSLAND RESERVE PROGRAM.—Paragraph (5) of section 
1241(a) of the Food Security Act of 1985 (16 U.S.C. 3841(a)) is 
amended to read as follows: 
‘‘(5) The grassland reserve program under subchapter D 
of chapter 2.’’. 
(f) ENVIRONMENTAL
QUALITY
INCENTIVES
PROGRAM.—Para-
graph (6) of section 1241(a) of the Food Security Act of 1985 (16 
U.S.C. 3841(a)) is amended to read as follows: 
‘‘(6) The environmental quality incentives program under 
chapter 4, using, to the maximum extent practicable— 
‘‘(A) $1,200,000,000 in fiscal year 2008; 
‘‘(B) $1,337,000,000 in fiscal year 2009; 
‘‘(C) $1,450,000,000 in fiscal year 2010; 
‘‘(D) $1,588,000,000 in fiscal year 2011; and 
‘‘(E) $1,750,000,000 in fiscal year 2012.’’. 
(g) WILDLIFE HABITAT INCENTIVES PROGRAM.—Paragraph (7)(D) 
of section 1241(a) of the Food Security Act of 1985 (16 U.S.C. 
3841(a)) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 2702. AUTHORITY TO ACCEPT CONTRIBUTIONS TO SUPPORT CON-
SERVATION PROGRAMS. 
Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) 
is amended by adding at the end the following new subsection: 
‘‘(e) ACCEPTANCE AND USE OF CONTRIBUTIONS.— 
‘‘(1) AUTHORITY TO ESTABLISH CONTRIBUTION ACCOUNTS.— 
Subject to paragraph (2), the Secretary may establish a sub- 
account for each conservation program administered by the 
Secretary under subtitle D to accept contributions of non-Fed-
eral funds to support the purposes of the program. 
‘‘(2) DEPOSIT AND USE OF CONTRIBUTIONS.—Contributions 
of non-Federal funds received for a conservation program 
administered by the Secretary under subtitle D shall be depos-
ited into the sub-account established under this subsection 
for the program and shall be available to the Secretary, without 
further appropriation and until expended, to carry out the 
program.’’. 
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122 STAT. 1073 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 2703. REGIONAL EQUITY AND FLEXIBILITY. 
(a) REGIONAL EQUITY AND FLEXIBILITY.—Section 1241(d) of the 
Food Security Act of 1985 (16 U.S.C. 3841(d)) is amended— 
(1) by striking ‘‘Before April 1’’ and inserting the following: 
‘‘(1) PRIORITY FUNDING TO PROMOTE EQUITY.—Before April 
1’’; 
(2) by striking ‘‘$12,000,000’’ and inserting ‘‘$15,000,000’’; 
and 
(3) by adding at the end the following new paragraph: 
‘‘(2) SPECIFIC FUNDING ALLOCATIONS.—In determining the 
specific funding allocations for States under paragraph (1), 
the Secretary shall consider the respective demand in each 
State for each program covered by such paragraph.’’. 
(b) ALLOCATIONS REVIEW AND UPDATE.—Section 1241 of the 
Food Security Act of 1985 (16 U.S.C. 3841) is amended by inserting 
after subsection (e), as added by section 2702, the following new 
subsection: 
‘‘(f) ALLOCATIONS REVIEW AND UPDATE.— 
‘‘(1) REVIEW.—Not later than January 1, 2012, the Sec-
retary shall conduct a review of conservation programs and 
authorities under this title that utilize allocation formulas to 
determine the sufficiency of the formulas in accounting for 
State-level economic factors, level of agricultural infrastructure, 
or related factors that affect conservation program costs. 
‘‘(2) UPDATE.—The Secretary shall improve conservation 
program allocation formulas as necessary to ensure that the 
formulas adequately reflect the costs of carrying out the con-
servation programs.’’. 
SEC. 2704. ASSISTANCE TO CERTAIN FARMERS AND RANCHERS TO 
IMPROVE THEIR ACCESS TO CONSERVATION PROGRAMS. 
Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) 
is amended by inserting after subsection (f), as added by section 
2703(b), the following new subsection: 
‘‘(g) ASSISTANCE TO CERTAIN FARMERS OR RANCHERS FOR CON-
SERVATION ACCESS.— 
‘‘(1) ASSISTANCE.—Of the funds made available for each 
of fiscal years 2009 through 2012 to carry out the environmental 
quality incentives program and the acres made available for 
each of such fiscal years to carry out the conservation steward-
ship program, the Secretary shall use, to the maximum extent 
practicable— 
‘‘(A) 5 percent to assist beginning farmers or ranchers; 
and 
‘‘(B) 5 percent to assist socially disadvantaged farmers 
or ranchers. 
‘‘(2) REPOOLING OF FUNDS.—In any fiscal year, amounts 
not obligated under paragraph (1) by a date determined by 
the Secretary shall be available for payments and technical 
assistance to all persons eligible for payments or technical 
assistance in that fiscal year under the environmental quality 
incentives program. 
‘‘(3) REPOOLING OF ACRES.—In any fiscal year, acres not 
obligated under paragraph (1) by a date determined by the 
Secretary shall be available for use in that fiscal year under 
the conservation stewardship program.’’. 
Deadline. 
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122 STAT. 1074 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 2705. REPORT REGARDING ENROLLMENTS AND ASSISTANCE 
UNDER CONSERVATION PROGRAMS. 
Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) 
is amended by inserting after subsection (g), as added by section 
2704, the following new subsection: 
‘‘(h) REPORT ON PROGRAM ENROLLMENTS AND ASSISTANCE.— 
Beginning in calendar year 2009, and each year thereafter, the 
Secretary shall submit to the Committee on Agriculture of the 
House of Representatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate a semiannual report containing 
statistics by State related to enrollments in conservation programs 
under this subtitle, as follows: 
‘‘(1) Payments made under the wetlands reserve program 
for easements valued at $250,000 or greater. 
‘‘(2) Payments made under the farmland protection pro-
gram for easements in which the Federal share is $250,000 
or greater. 
‘‘(3) Payments made under the grassland reserve program 
valued at $250,000 or greater. 
‘‘(4) Payments made under the environmental quality incen-
tives program for land determined to have special environ-
mental significance pursuant to section 1240G(b). 
‘‘(5) Payments made under the agricultural water enhance-
ment program subject to the waiver of adjusted gross income 
limitations pursuant to section 1240I(g). 
‘‘(6) Waivers granted by the Secretary under section 
1001D(b)(2) of this Act in order to protect environmentally 
sensitive land of special significance.’’. 
SEC. 2706. DELIVERY OF CONSERVATION TECHNICAL ASSISTANCE. 
Section 1242 of the Food Security Act of 1985 (16 U.S.C. 3842) 
is amended to read as follows: 
‘‘SEC. 1242. DELIVERY OF TECHNICAL ASSISTANCE. 
‘‘(a) DEFINITION OF ELIGIBLE PARTICIPANT.—In this section, the 
term ‘eligible participant’ means a producer, landowner, or entity 
that is participating in, or seeking to participate in, programs 
for which the producer, landowner, or entity is otherwise eligible 
to participate in under this title or the agricultural management 
assistance program under section 524 of the Federal Crop Insurance 
Act (7 U.S.C. 1524). 
‘‘(b) PURPOSE OF TECHNICAL ASSISTANCE.—The purpose of tech-
nical assistance authorized by this section is to provide eligible 
participants with consistent, science-based, site-specific practices 
designed to achieve conservation objectives on land active in agricul-
tural, forestry, or related uses. 
‘‘(c) PROVISION OF TECHNICAL ASSISTANCE.—The Secretary shall 
provide technical assistance under this title to an eligible partici-
pant— 
‘‘(1) directly; 
‘‘(2) through an agreement with a third-party provider; 
or 
‘‘(3) at the option of the eligible participant, through a 
payment, as determined by the Secretary, to the eligible partici-
pant for an approved third-party provider, if available. 
‘‘(d) NON-FEDERAL ASSISTANCE.—The Secretary may request 
the services of, and enter into cooperative agreements or contracts 
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122 STAT. 1075 
PUBLIC LAW 110–234—MAY 22, 2008 
with, other agencies within the Department or non-Federal entities 
to assist the Secretary in providing technical assistance necessary 
to assist in implementing conservation programs under this title. 
‘‘(e) CERTIFICATION OF THIRD-PARTY PROVIDERS.— 
‘‘(1) PURPOSE.—The purpose of the third-party provider 
program is to increase the availability and range of technical 
expertise available to eligible participants to plan and imple-
ment conservation measures. 
‘‘(2) REGULATIONS.—Not later than 180 days after the date 
of the enactment of the Food, Conservation, and Energy Act 
of 2008, the Secretary shall promulgate such regulations as 
are necessary to carry out this section. 
‘‘(3) EXPERTISE.—In promulgating such regulations, the 
Secretary, to the maximum extent practicable, shall— 
‘‘(A) ensure that persons with expertise in the technical 
aspects of conservation planning, watershed planning, and 
environmental engineering, including commercial entities, 
nonprofit entities, State or local governments or agencies, 
and other Federal agencies, are eligible to become approved 
providers of the technical assistance; 
‘‘(B) provide national criteria for the certification of 
third party providers; and 
‘‘(C) approve any unique certification standards estab-
lished at the State level. 
‘‘(f) ADMINISTRATION.— 
‘‘(1) FUNDING.—Effective for fiscal year 2008 and each sub-
sequent fiscal year, funds of the Commodity Credit Corporation 
made available to carry out technical assistance for each of 
the programs specified in section 1241 shall be available for 
the provision of technical assistance from third-party providers 
under this section. 
‘‘(2) TERM OF AGREEMENT.—An agreement with a third- 
party provider under this section shall have a term that— 
‘‘(A) at a minimum, is equal to the period beginning 
on the date on which the agreement is entered into and 
ending on the date that is 1 year after the date on which 
all activities performed pursuant to the agreement have 
been completed; 
‘‘(B) does not exceed 3 years; and 
‘‘(C) can be renewed, as determined by the Secretary. 
‘‘(3) REVIEW OF CERTIFICATION REQUIREMENTS.—Not later 
than 1 year after the date of enactment of the Food, Conserva-
tion, and Energy Act of 2008, the Secretary shall— 
‘‘(A) review certification requirements for third-party 
providers; and 
‘‘(B) make any adjustments considered necessary by 
the Secretary to improve participation. 
‘‘(4) ELIGIBLE ACTIVITIES.— 
‘‘(A) INCLUSION
OF
ACTIVITIES.—The Secretary may 
include as activities eligible for payments to a third party 
provider— 
‘‘(i) technical services provided directly to eligible 
participants, such as conservation planning, education 
and outreach, and assistance with design and 
implementation of conservation practices; and 
‘‘(ii) related technical assistance services that accel-
erate conservation program delivery. 
Deadline. 
Effective date. 
Criteria. 
Deadline. 
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122 STAT. 1076 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) EXCLUSIONS.—The Secretary shall not designate 
as an activity eligible for payments to a third party provider 
any service that is provided by a business, or equivalent, 
in connection with conducting business and that is custom-
arily provided at no cost. 
‘‘(5) PAYMENT AMOUNTS.—The Secretary shall establish fair 
and reasonable amounts of payments for technical services 
provided by third-party providers. 
‘‘(g) AVAILABILITY OF TECHNICAL SERVICES.— 
‘‘(1) IN GENERAL.—In carrying out the programs under this 
title and the agricultural management assistance program 
under section 524 of the Federal Crop Insurance Act (7 U.S.C. 
1524), the Secretary shall make technical services available 
to all eligible participants who are installing an eligible practice. 
‘‘(2) TECHNICAL SERVICE CONTRACTS.—In any case in which 
financial assistance is not provided under a program referred 
to in paragraph (1), the Secretary may enter into a technical 
service contract with the eligible participant for the purposes 
of assisting in the planning, design, or installation of an eligible 
practice. 
‘‘(h) REVIEW OF CONSERVATION PRACTICE STANDARDS.— 
‘‘(1) REVIEW REQUIRED.—The Secretary shall— 
‘‘(A) review conservation practice standards, including 
engineering design specifications, in effect on the date of 
the enactment of the Food, Conservation, and Energy Act 
of 2008; 
‘‘(B) ensure, to the maximum extent practicable, the 
completeness and relevance of the standards to local agri-
cultural, forestry, and natural resource needs, including 
specialty crops, native and managed pollinators, bioenergy 
crop production, forestry, and such other needs as are 
determined by the Secretary; and 
‘‘(C) ensure that the standards provide for the optimal 
balance between meeting site-specific conservation needs 
and minimizing risks of design failure and associated costs 
of construction and installation. 
‘‘(2) CONSULTATION.—In conducting the review under para-
graph (1), the Secretary shall consult with eligible participants, 
crop consultants, cooperative extension and land grant univer-
sities, nongovernmental organizations, and other qualified enti-
ties. 
‘‘(3) EXPEDITED REVISION OF STANDARDS.—If the Secretary 
determines under paragraph (1) that revisions to the conserva-
tion practice standards, including engineering design specifica-
tions, are necessary, the Secretary shall establish an adminis-
trative process for expediting the revisions. 
‘‘(i) ADDRESSING CONCERNS OF SPECIALITY CROP, ORGANIC, AND 
PRECISION AGRICULTURE PRODUCERS.— 
‘‘(1) IN GENERAL.—The Secretary shall— 
‘‘(A) to the maximum extent practicable, fully incor-
porate specialty crop production, organic crop production, 
and precision agriculture into the conservation practice 
standards; and 
‘‘(B) provide for the appropriate range of conservation 
practices and resource mitigation measures available to 
producers involved with organic or specialty crop produc-
tion or precision agriculture. 
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122 STAT. 1077 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) AVAILABILITY OF ADEQUATE TECHNICAL ASSISTANCE.— 
‘‘(A) IN GENERAL.—The Secretary shall ensure that ade-
quate technical assistance is available for the implementa-
tion of conservation practices by producers involved with 
organic, specialty crop production, or precision agriculture 
through Federal conservation programs. 
‘‘(B) REQUIREMENTS.—In carrying out subparagraph 
(A), the Secretary shall develop— 
‘‘(i) programs that meet specific needs of producers 
involved with organic, specialty crop production or 
precision agriculture through cooperative agreements 
with other agencies and nongovernmental organiza-
tions; and 
‘‘(ii) program specifications that allow for innova-
tive approaches to engage local resources in providing 
technical assistance for planning and implementation 
of conservation practices.’’. 
SEC. 2707. COOPERATIVE CONSERVATION PARTNERSHIP INITIATIVE. 
(a) TRANSFER OF EXISTING PROVISIONS.—Subsections (a), (c), 
and (d) of section 1243 of the Food Security Act of 1985 (16 U.S.C. 
3843) are— 
(1) redesignated as subsections (c), (d), and (e), respectively; 
and 
(2) transferred to appear at the end of section 1244 of 
such Act (16 U.S.C. 3844). 
(b) ESTABLISHMENT OF PARTNERSHIP INITIATIVE.—Section 1243 
of the Food Security Act of 1985 (16 U.S.C. 3843), as amended 
by subsection (a), is amended to read as follows: 
‘‘SEC. 1243. COOPERATIVE CONSERVATION PARTNERSHIP INITIATIVE. 
‘‘(a) ESTABLISHMENT OF INITIATIVE.—The Secretary shall estab-
lish a cooperative conservation partnership initiative (in this section 
referred to as the ‘Initiative’) to work with eligible partners to 
provide assistance to producers enrolled in a program described 
in subsection (c)(1) that will enhance conservation outcomes on 
agricultural and nonindustrial private forest land. 
‘‘(b) PURPOSES.—The purposes of a partnership entered into 
under the Initiative shall be— 
‘‘(1) to address conservation priorities involving agriculture 
and nonindustrial private forest land on a local, State, multi- 
State, or regional level; 
‘‘(2) to encourage producers to cooperate in meeting 
applicable Federal, State, and local regulatory requirements 
related to production involving agriculture and nonindustrial 
private forest land; 
‘‘(3) to encourage producers to cooperate in the installation 
and maintenance of conservation practices that affect multiple 
agricultural or nonindustrial private forest operations; or 
‘‘(4) to promote the development and demonstration of 
innovative conservation practices and delivery methods, 
including those for specialty crop and organic production and 
precision agriculture producers. 
‘‘(c) INITIATIVE PROGRAMS.— 
‘‘(1) COVERED PROGRAMS.—Except as provided in paragraph 
(2), the Initiative applies to all conservation programs under 
subtitle D. 
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122 STAT. 1078 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) EXCLUDED PROGRAMS.—The Initiative shall not include 
the following programs: 
‘‘(A) Conservation reserve program. 
‘‘(B) Wetlands reserve program. 
‘‘(C) Farmland protection program 
‘‘(D) Grassland reserve program. 
‘‘(d) ELIGIBLE PARTNERS.—The Secretary may enter into a part-
nership under the Initiative with one or more of the following: 
‘‘(1) States and local governments. 
‘‘(2) Indian tribes. 
‘‘(3) Producer associations. 
‘‘(4) Farmer cooperatives. 
‘‘(5) Institutions of higher education. 
‘‘(6) Nongovernmental organizations with a history of 
working cooperatively with producers to effectively address con-
servation priorities related to agricultural production and non-
industrial private forest land. 
‘‘(e) IMPLEMENTATION AGREEMENTS.—The Secretary shall carry 
out the Initiative— 
‘‘(1) by selecting, through a competitive process, eligible 
partners from among applications submitted under subsection 
(f); and 
‘‘(2) by entering into multi-year agreements with eligible 
partners so selected for a period not to exceed 5 years. 
‘‘(f) APPLICATIONS.— 
‘‘(1) REQUIRED INFORMATION.—An application to enter into 
a partnership agreement under the Initiative shall include the 
following: 
‘‘(A) A description of the area covered by the agreement, 
conservation priorities in the area, conservation objectives 
to be achieved, and the expected level of participation by 
agricultural producers and nonindustrial private forest 
landowners. 
‘‘(B) A description of the partner, or partners, collabo-
rating to achieve the objectives of the agreement, and the 
roles, responsibilities, and capabilities of the partner. 
‘‘(C) A description of the resources that are requested 
from the Secretary, and the non-Federal resources that 
will be leveraged by the Federal contribution. 
‘‘(D) A description of the plan for monitoring, evalu-
ating, and reporting on progress made towards achieving 
the objectives of the agreement. 
‘‘(E) Such other information that may be required by 
the Secretary. 
‘‘(2) PRIORITIES.—The Secretary shall give priority to 
applications for agreements that— 
‘‘(A) have a high percentage of producers involved and 
working agricultural or nonindustrial private forest land 
included in the area covered by the agreement; 
‘‘(B) significantly leverage non-Federal financial and 
technical resources and coordinate with other local, State, 
or Federal efforts; 
‘‘(C) deliver high percentages of applied conservation 
to address water quality, water conservation, or State, 
regional, or national conservation initiatives; 
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122 STAT. 1079 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(D) provide innovation in conservation methods and 
delivery, including outcome-based performance measures 
and methods; or 
‘‘(E) meet other factors, as determined by the Secretary. 
‘‘(g) RELATIONSHIP TO COVERED PROGRAMS.— 
‘‘(1) COMPLIANCE WITH PROGRAM RULES.—Except as pro-
vided in paragraph (2), the Secretary shall ensure that 
resources made available under the Initiative are delivered 
in accordance with the applicable rules of programs specified 
in subsection (c)(1) through normal program mechanisms 
relating to program functions, including rules governing 
appeals, payment limitations, and conservation compliance. 
‘‘(2) ADJUSTMENT.—The Secretary may adjust the elements 
of any program specified in subsection (c)(1)— 
‘‘(A) to better reflect unique local circumstances and 
purposes if the Secretary determines such adjustments are 
necessary to achieve the purposes of the Initiative; and 
‘‘(B) to provide preferential enrollment to producers 
who are eligible for the applicable program and to partici-
pate in the Initiative. 
‘‘(h) TECHNICAL
AND FINANCIAL ASSISTANCE.—The Secretary 
shall provide appropriate technical and financial assistance to pro-
ducers participating in the Initiative in an amount determined 
to be necessary to achieve the purposes of the Initiative. 
‘‘(i) FUNDING.— 
‘‘(1) RESERVATION.—Of the funds and acres made available 
for each of fiscal years 2009 through 2012 to implement the 
programs described in subsection (c)(1), the Secretary shall 
reserve 6 percent of the funds and acres to ensure an adequate 
source of funds and acres for the Initiative. 
‘‘(2) ALLOCATION REQUIREMENTS.—Of the funds and acres 
reserved for the Initiative for a fiscal year, the Secretary shall 
allocate— 
‘‘(A) 90 percent of the funds and acres to projects 
based on the direction of State conservationists, with the 
advice of State technical committees; and 
‘‘(B) 10 percent of the funds and acres to projects 
based on a national competitive process established by 
the Secretary. 
‘‘(3) UNUSED FUNDING.—Any funds and acres reserved for 
a fiscal year under paragraph (1) that are not obligated by 
April 1 of that fiscal year may be used to carry out other 
activities under the program that is the source of the funds 
or acres during the remainder of that fiscal year. 
‘‘(4) ADMINISTRATIVE
COSTS
OF
PARTNERS.—Overhead or 
administrative costs of partners may not be covered by funds 
provided through the Initiative.’’. 
SEC. 2708. ADMINISTRATIVE REQUIREMENTS FOR CONSERVATION 
PROGRAMS. 
Section 1244 of the Food Security Act of 1985 (16 U.S.C. 3844), 
as amended by section 2707, is further amended— 
(1) by striking subsection (a) and inserting the following 
new subsection: 
‘‘(a) INCENTIVES FOR CERTAIN FARMERS AND RANCHERS AND 
INDIAN TRIBES.— 
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122 STAT. 1080 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) INCENTIVES
AUTHORIZED.—In carrying out any con-
servation program administered by the Secretary, the Secretary 
may provide to a person or entity specified in paragraph (2) 
incentives to participate in the conservation program— 
‘‘(A) to foster new farming and ranching opportunities; 
and 
‘‘(B) to enhance long-term environmental goals. 
‘‘(2) COVERED
PERSONS.—Incentives authorized by para-
graph (1) may be provided to the following: 
‘‘(A) Beginning farmers or ranchers. 
‘‘(B) Socially disadvantaged farmers or ranchers. 
‘‘(C) Limited resource farmers or ranchers. 
‘‘(D) Indian tribes.’’; and 
(2) by adding at the end the following new subsections: 
‘‘(f) ACREAGE LIMITATIONS.— 
‘‘(1) LIMITATIONS.— 
‘‘(A) ENROLLMENTS.—The Secretary shall not enroll 
more than 25 percent of the cropland in any county in 
the programs administered under subchapters B and C 
of chapter 1 of subtitle D. 
‘‘(B) EASEMENTS.—Not more than 10 percent of the 
cropland in a country may be subject to an easement 
acquired under subchapter C of chapter 1 of subtitle D. 
‘‘(2) EXCEPTIONS.—The Secretary may exceed the limitation 
in paragraph (1)(A), if the Secretary determines that— 
‘‘(A) the action would not adversely affect the local 
economy of a county; and 
‘‘(B) operators in the county are having difficulties 
complying with conservation plans implemented under sec-
tion 1212. 
‘‘(3) WAIVER TO EXCLUDE CERTAIN ACREAGE.—The Secretary 
may grant a waiver to exclude acreage enrolled under sub-
section (c)(2)(B) or (f)(4) of section 1234 from the limitations 
in paragraph (1)(A) with the concurrence of the county govern-
ment of the county involved. 
‘‘(4) SHELTERBELTS
AND
WINDBREAKS.—The limitations 
established under paragraph (1) shall not apply to cropland 
that is subject to an easement under subchapter C of chapter 
1 that is used for the establishment of shelterbelts and 
windbreaks. 
‘‘(g) COMPLIANCE AND PERFORMANCE.—For each conservation 
program under subtitle D, the Secretary shall develop procedures— 
‘‘(1) to monitor compliance with program requirements; 
‘‘(2) to measure program performance; 
‘‘(3) to demonstrate whether the long-term conservation 
benefits of the program are being achieved; 
‘‘(4) to track participation by crop and livestock types; and 
‘‘(5) to coordinate activities described in this subsection 
with the national conservation program authorized under sec-
tion 5 of the Soil and Water Resources Conservation Act of 
1977 (16 U.S.C. 2004). 
‘‘(h) ENCOURAGEMENT OF POLLINATOR HABITAT DEVELOPMENT 
AND
PROTECTION.—In carrying out any conservation program 
administered by the Secretary, the Secretary may, as appropriate, 
encourage— 
‘‘(1) the development of habitat for native and managed 
pollinators; and 
Procedures. 
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122 STAT. 1081 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) the use of conservation practices that benefit native 
and managed pollinators. 
‘‘(i) STREAMLINED APPLICATION PROCESS.— 
‘‘(1) IN GENERAL.—In carrying out each conservation pro-
gram under this title, the Secretary shall ensure that the 
application process used by producers and landowners is 
streamlined to minimize complexity and eliminate redundancy. 
‘‘(2) REVIEW AND STREAMLINING.— 
‘‘(A) REVIEW.—The Secretary shall carry out a review 
of the application forms and processes for each conservation 
program covered by this subsection. 
‘‘(B) STREAMLINING.—On completion of the review the 
Secretary shall revise application forms and processes, as 
necessary, to ensure that— 
‘‘(i) all required application information is essential 
for the efficient, effective, and accountable implementa-
tion of conservation programs; 
‘‘(ii) conservation program applicants are not 
required to provide information that is readily avail-
able to the Secretary through existing information sys-
tems of the Department of Agriculture; 
‘‘(iii) information provided by the applicant is man-
aged and delivered efficiently for use in all stages 
of the application process, or for multiple applications; 
and 
‘‘(iv) information technology is used effectively to 
minimize data and information input requirements. 
‘‘(3) IMPLEMENTATION AND NOTIFICATION.—Not later than 
1 year after the date of enactment of the Food, Conservation, 
and Energy Act of 2008, the Secretary shall submit to Congress 
a written notification of completion of the requirements of this 
subsection.’’. 
SEC. 2709. ENVIRONMENTAL SERVICES MARKETS. 
Subtitle E of title XII of the Food Security Act of 1985 is 
amended by inserting after section 1244 (16 U.S.C. 3844) the fol-
lowing new section: 
‘‘SEC. 1245. ENVIRONMENTAL SERVICES MARKETS. 
‘‘(a) TECHNICAL GUIDELINES REQUIRED.—The Secretary shall 
establish technical guidelines that outline science-based methods 
to measure the environmental services benefits from conservation 
and land management activities in order to facilitate the participa-
tion of farmers, ranchers, and forest landowners in emerging 
environmental services markets. The Secretary shall give priority 
to the establishment of guidelines related to farmer, rancher, and 
forest landowner participation in carbon markets. 
‘‘(b) ESTABLISHMENT.—The Secretary shall establish guidelines 
under subsection (a) for use in developing the following: 
‘‘(1) A procedure to measure environmental services bene-
fits. 
‘‘(2) A protocol to report environmental services benefits. 
‘‘(3) A registry to collect, record and maintain the benefits 
measured. 
‘‘(c) VERIFICATION REQUIREMENTS.— 
‘‘(1) VERIFICATION OF REPORTS.—The Secretary shall estab-
lish guidelines for a process to verify that a farmer, rancher, 
or forest landowner who reports an environmental services 
16 USC 3845. 
Deadline. 
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122 STAT. 1082 
PUBLIC LAW 110–234—MAY 22, 2008 
benefit pursuant to the protocol required by paragraph (2) 
of subsection (b) for inclusion in the registry required by para-
graph (3) of such subsection has implemented the conservation 
or land management activity covered by the report. 
‘‘(2) 
ROLE
OF
THIRD
PARTIES.—In 
establishing 
the 
verification guidelines required by paragraph (1), the Secretary 
shall consider the role of third-parties in conducting inde-
pendent verification of benefits produced for environmental 
services markets and other functions, as determined by the 
Secretary. 
‘‘(d) USE OF EXISTING INFORMATION.—In carrying out subsection 
(b), the Secretary shall build on activities or information in existence 
on the date of the enactment of the Food, Conservation, and Energy 
Act of 2008 regarding environmental services markets. 
‘‘(e) CONSULTATION.—In carrying out this section, the Secretary 
shall consult with the following: 
‘‘(1) Federal and State government agencies. 
‘‘(2) Nongovernmental interests including— 
‘‘(A) farm, ranch, and forestry producers; 
‘‘(B) financial institutions involved in environmental 
services trading; 
‘‘(C) institutions of higher education with relevant 
expertise or experience; 
‘‘(D) nongovernmental organizations with relevant 
expertise or experience; and 
‘‘(E) private sector representatives with relevant exper-
tise or experience. 
‘‘(3) Other interested persons, as determined by the Sec-
retary.’’. 
SEC. 2710. AGRICULTURE CONSERVATION EXPERIENCED SERVICES 
PROGRAM. 
Subtitle F of title XII of the Food Security Act of 1985 is 
amended by inserting after section 1251 (16 U.S.C. 2005a) the 
following new section: 
‘‘SEC. 1252. AGRICULTURE CONSERVATION EXPERIENCED SERVICES 
PROGRAM. 
‘‘(a) ESTABLISHMENT AND PURPOSE.—The Secretary shall estab-
lish a conservation experienced services program (in this section 
referred to as the ‘ACES Program’) for the purpose of utilizing 
the talents of individuals who are age 55 or older, but who are 
not employees of the Department of Agriculture or a State agri-
culture department, to provide technical services in support of the 
conservation-related programs and authorities carried out by the 
Secretary. Such technical services may include conservation plan-
ning assistance, technical consultation, and assistance with design 
and implementation of conservation practices. 
‘‘(b) PROGRAM AGREEMENTS.— 
‘‘(1) RELATION
TO
OLDER
AMERICAN
COMMUNITY
SERVICE 
EMPLOYMENT PROGRAM.—Notwithstanding any other provision 
of law relating to Federal grants, cooperative agreements, or 
contracts, to carry out the ACES program during a fiscal year, 
the Secretary may enter into agreements with nonprofit private 
agencies and organizations eligible to receive grants for that 
fiscal year under the Community Service Senior Opportunities 
Act (42 U.S.C. 3056 et seq.) to secure participants for the 
16 USC 3851. 
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122 STAT. 1083 
PUBLIC LAW 110–234—MAY 22, 2008 
ACES program who will provide technical services under the 
ACES program. 
‘‘(2) REQUIRED DETERMINATION.—Before entering into an 
agreement under paragraph (1), the Secretary shall ensure 
that the agreement would not— 
‘‘(A) result in the displacement of individuals employed 
by the Department, including partial displacement through 
reduction of non-overtime hours, wages, or employment 
benefits; 
‘‘(B) result in the use of an individual under the ACES 
program for a job or function in a case in which a Federal 
employee is in a layoff status from the same or a substan-
tially-equivalent job or function with the Department; or 
‘‘(C) affect existing contracts for services. 
‘‘(c) FUNDING SOURCE.— 
‘‘(1) IN GENERAL.—Except as provided in paragraph (2), 
the Secretary may carry out the ACES program using funds 
made available to carry out each program under this title. 
‘‘(2) EXCLUSIONS.—Funds made available to carry out the 
following programs may not be used to carry out the ACES 
program: 
‘‘(A) The conservation reserve program. 
‘‘(B) The wetlands reserve program. 
‘‘(C) The grassland reserve program. 
‘‘(D) The conservation stewardship program. 
‘‘(d) LIABILITY.—An individual providing technical services 
under the ACES program is deemed to be an employee of the 
United States Government for purposes of chapter 171 of title 
28, United States Code, if the individual— 
‘‘(1) is providing technical services pursuant to an agree-
ment entered into under subsection (b); and 
‘‘(2) is acting within the scope of the agreement.’’. 
SEC. 2711. ESTABLISHMENT OF STATE TECHNICAL COMMITTEES AND 
THEIR RESPONSIBILITIES. 
Subtitle G of title XII of the Farm Security Act of 1985 (16 
U.S.C. 3861, 3862) is amended to read as follows: 
‘‘Subtitle G—State Technical Committees 
‘‘SEC. 1261. ESTABLISHMENT OF STATE TECHNICAL COMMITTEES. 
‘‘(a) ESTABLISHMENT.—The Secretary shall establish a technical 
committee in each State to assist the Secretary in the considerations 
relating to implementation and technical aspects of the conservation 
programs under this title. 
‘‘(b) STANDARDS.—Not later than 180 days after the date of 
enactment of the Food, Conservation, and Energy Act of 2008, 
the Secretary shall develop— 
‘‘(1) standard operating procedures to standardize the oper-
ations of State technical committees; and 
‘‘(2) standards to be used by State technical committees 
in the development of technical guidelines under section 1262(b) 
for the implementation of the conservation provisions of this 
title. 
‘‘(c) COMPOSITION.—Each State technical committee shall be 
composed of agricultural producers and other professionals that 
Deadline. 
16 USC 3861. 
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122 STAT. 1084 
PUBLIC LAW 110–234—MAY 22, 2008 
represent a variety of disciplines in the soil, water, wetland, and 
wildlife sciences. The technical committee for a State shall include 
representatives from among the following: 
‘‘(1) The Natural Resources Conservation Service. 
‘‘(2) The Farm Service Agency. 
‘‘(3) The Forest Service. 
‘‘(4) The National Institute of Food and Agriculture. 
‘‘(5) The State fish and wildlife agency. 
‘‘(6) The State forester or equivalent State official. 
‘‘(7) The State water resources agency. 
‘‘(8) The State department of agriculture. 
‘‘(9) The State association of soil and water conservation 
districts. 
‘‘(10) Agricultural producers representing the variety of 
crops and livestock or poultry raised within the State. 
‘‘(11) Owners of nonindustrial private forest land. 
‘‘(12) Nonprofit organizations within the meaning of section 
501(c)(3) of the Internal Revenue Code of 1986 with demon-
strable conservation expertise and experience working with 
agriculture producers in the State. 
‘‘(13) Agribusiness. 
‘‘SEC. 1262. RESPONSIBILITIES. 
‘‘(a) IN GENERAL.—Each State technical committee established 
under section 1261 shall meet regularly to provide information, 
analysis, and recommendations to appropriate officials of the 
Department of Agriculture who are charged with implementing 
the conservation provisions of this title. 
‘‘(b) PUBLIC NOTICE AND ATTENDANCE.—Each State technical 
committee shall provide public notice of, and permit public attend-
ance at, meetings considering issues of concern related to carrying 
out this title. 
‘‘(c) ROLE.— 
‘‘(1) IN GENERAL.—The role of State technical committees 
is advisory in nature, and such committees shall have no 
implementation or enforcement authority. However, the Sec-
retary shall give strong consideration to the recommendations 
of such committees in administering the programs under this 
title. 
‘‘(2) ADVISORY ROLE IN ESTABLISHING PROGRAM PRIORITIES 
AND CRITERIA.—Each State technical committee shall advise 
the Secretary in establishing priorities and criteria for the 
programs in this title, including the review of whether local 
working groups are addressing those priorities. 
‘‘(d) FACA REQUIREMENTS.— 
‘‘(1) EXEMPTION.—Each State technical committee shall be 
exempt from the Federal Advisory Committee Act (5 U.S.C. 
App.). 
‘‘(2) LOCAL WORKING GROUPS.—For purposes of the Federal 
Advisory Committee Act (5 U.S.C. App.), any local working 
group established under this subtitle shall be considered to 
be a subcommittee of the applicable State technical committee.’’. 
16 USC 3862. 
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122 STAT. 1085 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle I—Conservation Programs Under 
Other Laws 
SEC. 2801. AGRICULTURAL MANAGEMENT ASSISTANCE PROGRAM. 
(a) ELIGIBLE STATES.—Section 524(b)(1) of the Federal Crop 
Insurance Act (7 U.S.C. 1524(b)(1)) is amended by inserting 
‘‘Hawaii,’’ after ‘‘Delaware,’’. 
(b) FUNDING.—Section 524(b)(4)(B) of the Federal Crop Insur-
ance Act (7 U.S.C. 1524(b)(4)(B)) is amended— 
(1) in clause (i), by striking ‘‘Except as provided in clauses 
(ii) and (iii)’’ and inserting ‘‘Except as provided in clause (ii)’’; 
and 
(2) by striking clauses (ii) and (iii) and inserting the fol-
lowing new clause: 
‘‘(ii) EXCEPTION FOR FISCAL YEARS 2008 THROUGH 
2012.—For each of fiscal years 2008 through 2012, the 
Commodity Credit Corporation shall make available 
to carry out this subsection $15,000,000.’’. 
(c) CERTAIN USES.—Section 524(b)(4) of the Federal Crop Insur-
ance Act (7 U.S.C. 1524(b)(4)) is amended by adding at the end 
the following new subparagraph: 
‘‘(C) CERTAIN USES.—Of the amounts made available 
to carry out this subsection for a fiscal year, the Commodity 
Credit Corporation shall use not less than— 
‘‘(i) 50 percent to carry out subparagraphs (A), 
(B), and (C) of paragraph (2) through the Natural 
Resources Conservation Service; 
‘‘(ii) 10 percent to provide organic certification cost 
share assistance through the Agricultural Marketing 
Service; and 
‘‘(iii) 40 percent to conduct activities to carry out 
subparagraph (F) of paragraph (2) through the Risk 
Management Agency.’’. 
SEC. 2802. TECHNICAL ASSISTANCE UNDER SOIL CONSERVATION AND 
DOMESTIC ALLOTMENT ACT. 
(a) PREVENTION OF SOIL EROSION.— 
(1) IN GENERAL.—The first section of the Soil Conservation 
and Domestic Allotment Act (16 U.S.C. 590a) is amended— 
(A) by striking ‘‘That it’’ and inserting the following: 
‘‘SECTION 1. PURPOSE. 
‘‘It’’; and 
(B) in the matter preceding paragraph (1), by striking 
‘‘and thereby to preserve natural resources,’’ and inserting 
‘‘to preserve soil, water, and related resources, promote 
soil and water quality,’’. 
(2) POLICIES AND PURPOSES.—Section 7(a)(1) of the Soil 
Conservation and Domestic Allotment Act (16 U.S.C. 590g(a)(1)) 
is amended by striking ‘‘fertility’’ and inserting ‘‘and water 
quality and related resources’’. 
(b) DEFINITIONS.—Section 10 of the Soil Conservation and 
Domestic Allotment Act (16 U.S.C. 590j) is amended to read as 
follows: 
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122 STAT. 1086 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 10. DEFINITIONS. 
‘‘In this Act: 
‘‘(1) AGRICULTURAL
COMMODITY.—The term ‘agricultural 
commodity’ means— 
‘‘(A) an agricultural commodity; and 
‘‘(B) any regional or market classification, type, or 
grade of an agricultural commodity. 
‘‘(2) TECHNICAL ASSISTANCE.— 
‘‘(A) IN
GENERAL.—The term ‘technical assistance’ 
means technical expertise, information, and tools necessary 
for the conservation of natural resources on land active 
in agricultural, forestry, or related uses. 
‘‘(B) INCLUSIONS.—The term ‘technical assistance’ 
includes— 
‘‘(i) technical services provided directly to farmers, 
ranchers, and other eligible entities, such as conserva-
tion planning, technical consultation, and assistance 
with design and implementation of conservation prac-
tices; and 
‘‘(ii) technical infrastructure, including activities, 
processes, tools, and agency functions needed to sup-
port delivery of technical services, such as technical 
standards, resource inventories, training, data, tech-
nology, monitoring, and effects analyses.’’. 
SEC. 2803. SMALL WATERSHED REHABILITATION PROGRAM. 
(a) AVAILABILITY OF FUNDS.—Section 14(h)(1) of the Watershed 
Protection and Flood Prevention Act (16 U.S.C. 1012(h)(1)) is 
amended by adding at the end the following new subparagraph: 
‘‘(G) $100,000,000 for fiscal year 2009, to be available 
until expended.’’. 
(b) AUTHORIZATION OF APPROPRIATIONS.—Section 14(h)(2)(E) of 
the Watershed Protection and Flood Prevention Act (16 U.S.C. 
1012(h)(2)(E)) is amended by striking ‘‘fiscal year 2007’’ and 
inserting ‘‘each of fiscal years 2008 through 2012’’. 
SEC. 2804. AMENDMENTS TO SOIL AND WATER RESOURCES CONSERVA-
TION ACT OF 1977. 
(a) CONGRESSIONAL FINDINGS.—Section 2 of the Soil and Water 
Resources Conservation Act of 1977 (16 U.S.C. 2001) is amended— 
(1) in paragraph (2), by striking ‘‘base, of the’’ and inserting 
‘‘base of the’’; and 
(2) in paragraph (3), by striking ‘‘(3)’’ and all that follows 
through ‘‘Since individual’’ and inserting the following: 
‘‘(3) Appraisal and inventory of resources, assessment and 
inventory of conservation needs, evaluation of the effects of 
conservation practices, and analyses of alternative approaches 
to existing conservation programs are basic to effective soil, 
water, and related natural resource conservation. 
‘‘(4) Since individual’’. 
(b) CONTINUING APPRAISAL
OF SOIL, WATER, AND RELATED 
RESOURCES.—Section 5 of the Soil and Water Resources Conserva-
tion Act of 1977 (16 U.S.C. 2004) is amended— 
(1) in subsection (a)— 
(A) in paragraph (5), by striking ‘‘and’’ at the end; 
(B) in paragraph (6), by striking the period at the 
end and inserting ‘‘; and’’; and 
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122 STAT. 1087 
PUBLIC LAW 110–234—MAY 22, 2008 
(C) by adding at the end the following new paragraph: 
‘‘(7) data on conservation plans, conservation practices 
planned or implemented, environmental outcomes, economic 
costs, and related matters under conservation programs 
administered by the Secretary.’’; 
(2) by redesignating subsection (d) as subsection (e); 
(3) by inserting after subsection (c) the following new sub-
section: 
‘‘(d) EVALUATION OF APPRAISAL.—In conducting the appraisal 
described in subsection (a), the Secretary shall concurrently solicit 
and evaluate recommendations for improving the appraisal, 
including the content, scope, process, participation in, and other 
elements of the appraisal, as determined by the Secretary.’’; and 
(4) in subsection (e), as redesignated by paragraph (2), 
by striking the first sentence and inserting the following: ‘‘The 
Secretary shall conduct comprehensive appraisals under this 
section, to be completed by December 31, 2010, and December 
31, 2015.’’. 
(c) SOIL AND WATER CONSERVATION PROGRAM.—Section 6 of 
the Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 
2005) is amended— 
(1) by redesignating subsection (b) as subsection (d); 
(2) by inserting after subsection (a) the following new sub-
sections: 
‘‘(b) EVALUATION OF EXISTING CONSERVATION PROGRAMS.—In 
evaluating existing conservation programs, the Secretary shall 
emphasize demonstration, innovation, and monitoring of specific 
program components in order to encourage further development 
and adoption of practices and performance-based standards. 
‘‘(c) IMPROVEMENT TO PROGRAM.—In developing a national soil 
and water conservation program under subsection (a), the Secretary 
shall solicit and evaluate recommendations for improving the pro-
gram, including the content, scope, process, participation in, and 
other elements of the program, as determined by the Secretary.’’; 
and 
(3) in subsection (d), as redesignated by paragraph (1), 
by striking ‘‘December 31, 1979’’ and all that follows through 
‘‘December 31, 2007’’ and inserting ‘‘December 31, 2011, and 
December 31, 2016’’. 
(d) REPORTS TO CONGRESS.—Section 7 of the Soil and Water 
Resources Conservation Act of 1977 (16 U.S.C. 2006) is amended 
to read as follows: 
‘‘SEC. 7. REPORTS TO CONGRESS. 
‘‘(a) APPRAISAL.—Not later than the date on which Congress 
convenes in 2011 and 2016, the President shall transmit to the 
Committee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of the Senate 
the appraisal developed under section 5 and completed before the 
end of the previous year. 
‘‘(b) PROGRAM AND STATEMENT OF POLICY.—Not later than the 
date on which Congress convenes in 2012 and 2017, the President 
shall transmit to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate— 
President. 
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122 STAT. 1088 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) the initial program or updated program developed 
under section 6 and completed before the end of the previous 
year; 
‘‘(2) a detailed statement of policy regarding soil and water 
conservation activities of the Department of Agriculture; and 
‘‘(3) a special evaluation of the status, conditions, and 
trends of soil quality on cropland in the United States that 
addresses the challenges and opportunities for reducing soil 
erosion to tolerance levels. 
‘‘(c) IMPROVEMENTS TO APPRAISAL AND PROGRAM.—Not later 
than the date on which Congress convenes in 2012, 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 plans of the Depart-
ment of Agriculture for improving the resource appraisal and 
national conservation program required under this Act, based on 
the recommendations received under sections 5(d) and 6(c).’’. 
(e) TERMINATION
OF PROGRAM.—Section 10 of the Soil and 
Water Resources Conservation Act of 1977 (16 U.S.C. 2009) is 
amended by striking ‘‘2008’’ and inserting ‘‘2018’’. 
SEC. 2805. RESOURCE CONSERVATION AND DEVELOPMENT PROGRAM. 
(a) LOCALLY LED PLANNING PROCESS.—Section 1528 of the Agri-
culture and Food Act of 1981 (16 U.S.C. 3451) is amended— 
(1) in paragraph (1), in the matter preceding subparagraph 
(A), by striking ‘‘planning process’’ and inserting ‘‘locally led 
planning process’’; 
(2) by redesignating paragraphs (8) and (9) as paragraphs 
(9) and (8), respectively, and moving those paragraphs so as 
to appear in numerical order; 
(3) in paragraph (8) (as so redesignated)— 
(A) by striking ‘‘PLANNING
PROCESS’’ and inserting 
‘‘LOCALLY LED PLANNING PROCESS’’; and 
(B) by striking ‘‘council’’ and inserting ‘‘locally led 
council’’. 
(b) AUTHORIZED TECHNICAL ASSISTANCE.—Section 1528(13) of 
the Agriculture and Food Act of 1981 (16 U.S.C. 3451(13)) is 
amended by striking subparagraphs (C) and (D) and inserting the 
following new subparagraphs: 
‘‘(C) providing assistance for the implementation of 
area plans and projects; and 
‘‘(D) providing services that involve the resources of 
Department of Agriculture programs in a local community, 
as defined in the locally led planning process.’’. 
(c) IMPROVED PROVISION OF TECHNICAL ASSISTANCE.—Section 
1531 of the Agriculture and Food Act of 1981 (16 U.S.C. 3454) 
is amended— 
(1) by inserting ‘‘(a) IN GENERAL.—’’ before ‘‘In carrying’’; 
and 
(2) by adding at the end the following new subsection: 
‘‘(b) COORDINATOR.— 
‘‘(1) IN GENERAL.—To improve the provision of technical 
assistance to councils under this subtitle, the Secretary shall 
designate for each council an individual to be the coordinator 
for the council. 
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122 STAT. 1089 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) RESPONSIBILITY.—A coordinator for a council shall be 
directly responsible for the provision of technical assistance 
to the council.’’. 
(d) PROGRAM EVALUATION.—Section 1534 of the Agriculture 
and Food Act of 1981 (16 U.S.C. 3457) is repealed. 
SEC. 2806. USE OF FUNDS IN BASIN FUNDS FOR SALINITY CONTROL 
ACTIVITIES UPSTREAM OF IMPERIAL DAM. 
(a) IN GENERAL.—Section 202(a) of the Colorado River Basin 
Salinity Control Act (43 U.S.C. 1592(a)) is amended by adding 
at the end the following new paragraph: 
‘‘(7) BASIN STATES PROGRAM.— 
‘‘(A) IN GENERAL.—A Basin States Program that the 
Secretary, acting through the Bureau of Reclamation, shall 
implement to carry out salinity control activities in the 
Colorado River Basin using funds made available under 
section 205(f). 
‘‘(B) ASSISTANCE.—The Secretary, in consultation with 
the Colorado River Basin Salinity Control Advisory Council, 
shall carry out this paragraph using funds described in 
subparagraph (A) directly or by providing grants, grant 
commitments, or advance funds to Federal or non-Federal 
entities under such terms and conditions as the Secretary 
may require. 
‘‘(C) ACTIVITIES.—Funds described in subparagraph (A) 
shall be used to carry out, as determined by the Secretary— 
‘‘(i) cost-effective measures and associated works 
to reduce salinity from saline springs, leaking wells, 
irrigation sources, industrial sources, erosion of public 
and private land, or other sources; 
‘‘(ii) operation and maintenance of salinity control 
features constructed under the Colorado River Basin 
salinity control program; and 
‘‘(iii) studies, planning, and administration of 
salinity control activities. 
‘‘(D) REPORT.— 
‘‘(i) IN GENERAL.—Not later than 30 days before 
implementing the program established under this para-
graph, the Secretary shall submit to the appropriate 
committees of Congress a planning report that 
describes the proposed implementation of the program. 
‘‘(ii) IMPLEMENTATION.—The Secretary may not 
expend funds to implement the program established 
under this paragraph before the expiration of the 30- 
day period beginning on the date on which the Sec-
retary submits the report, or any revision to the report, 
under clause (i).’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 202 of the Colorado River Basin Salinity Control 
Act (43 U.S.C. 1592) is amended— 
(A) in subsection (a), in the matter preceding paragraph 
(1), by striking ‘‘program’’ and inserting ‘‘programs’’; and 
(B) in subsection (b)(4)— 
(i) by striking ‘‘program’’ and inserting ‘‘programs’’; 
and 
(ii) by striking ‘‘and (6)’’ and inserting ‘‘(6), and 
(7)’’. 
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122 STAT. 1090 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) Section 205 of the Colorado River Basin Salinity Control 
Act (43 U.S.C. 1595) is amended by striking subsection (f) 
and inserting the following new subsection: 
‘‘(f) UP-FRONT COST SHARE.— 
‘‘(1) IN GENERAL.—Effective beginning on the date of enact-
ment of this paragraph, subject to paragraph (3), the cost 
share obligations required by this section shall be met through 
an up-front cost share from the Basin Funds, in the same 
proportions as the cost allocations required under subsection 
(a), as provided in paragraph (2). 
‘‘(2) BASIN STATES PROGRAM.—The Secretary shall expend 
the required cost share funds described in paragraph (1) 
through the Basin States Program for salinity control activities 
established under section 202(a)(7). 
‘‘(3) EXISTING
SALINITY
CONTROL
ACTIVITIES.—The cost 
share contribution required by this section shall continue to 
be met through repayment in a manner consistent with this 
section for all salinity control activities for which repayment 
was commenced prior to the date of enactment of this para-
graph.’’. 
SEC. 2807. DESERT TERMINAL LAKES. 
Section 2507 of the Farm Security and Rural Investment Act 
of 2002 (43 U.S.C. 2211 note; Public Law 107–171) is amended— 
(1) in subsection (a)— 
(A) by striking ‘‘(a)’’ and all that follows through 
‘‘$200,000,000’’ and inserting ‘‘(a) TRANSFER.—Subject to 
subsection (b) and paragraph (1) of section 207(a) of Public 
Law 108–7 (117 Stat. 146), notwithstanding paragraph (3) 
of that section, on the date of enactment of the Food, 
Conservation, and Energy Act of 2008, the Secretary of 
Agriculture shall transfer $175,000,000’’; and 
(B) by striking the quotation marks at the beginning 
of paragraphs (1) and (2); and 
(2) by striking subsection (b) and inserting the following 
new subsection: 
‘‘(b) PERMITTED USES.—In any case in which there are willing 
sellers, the funds described in subsection (a) may be used— 
‘‘(1) to lease water; or 
‘‘(2) to purchase land, water appurtenant to the land, and 
related interests in the Walker River Basin in accordance with 
section 208(a)(1)(A) of the Energy and Water Development 
Appropriations Act, 2006 (Public Law 109–103; 119 Stat. 
2268).’’. 
Subtitle J—Miscellaneous Conservation 
Provisions 
SEC. 2901. HIGH PLAINS WATER STUDY. 
Notwithstanding any other provision of this Act, no person 
shall become ineligible for any program benefits under this Act 
or an amendment made by this Act solely as a result of participating 
in a 1-time study of recharge potential for the Ogallala Aquifer 
in the High Plains of the State of Texas. 
Texas. 
Effective date. 
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122 STAT. 1091 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 2902. NAMING OF NATIONAL PLANT MATERIALS CENTER AT 
BELTSVILLE, MARYLAND, IN HONOR OF NORMAN A. BERG. 
The National Plant Materials Center at Beltsville, Maryland, 
referenced in section 613.5(a) of title 7, Code of Federal Regulations, 
shall be known and designated as the ‘‘Norman A. Berg National 
Plant Materials Center’’. Any reference in a law, map, regulation, 
document, paper, or other record of the United States to such 
National Plant Materials Center shall be deemed to be a reference 
to the Norman A. Berg National Plant Materials Center. 
SEC. 2903. TRANSITION. 
(a) CONTINUATION OF PROGRAMS IN FISCAL YEAR 2008.—Except 
as otherwise provided by an amendment made by this title, the 
Secretary of Agriculture shall continue to carry out any program 
or activity covered by title XII of the Food Security Act (16 U.S.C. 
3801 et seq.) until September 30, 2008, using the provisions of 
law applicable to the program or activity as they existed on the 
day before the date of the enactment of this Act and using funds 
made available under such title for fiscal year 2008 for the program 
or activity. 
(b) GROUND AND SURFACE WATER CONSERVATION PROGRAM.— 
During the period beginning on the date of the enactment of this 
Act and ending on September 30, 2008, the Secretary of Agriculture 
shall continue to carry out the ground and surface water conserva-
tion program under section 1240I of the Food Security Act of 1985 
(16 U.S.C. 3839aa–9), as in effect before the amendment made 
by section 2510, using the terms, conditions, and funds available 
to the Secretary to carry out such program on the day before 
the date of the enactment of this Act. 
SEC. 2904. REGULATIONS. 
(a) ISSUANCE.—Except as otherwise provided in this title or 
an amendment made by this title, not later than 90 days after 
the date of enactment of this Act, the Secretary of Agriculture, 
in consultation with the Commodity Credit Corporation, shall 
promulgate such regulations as are necessary to implement this 
title. 
(b) APPLICABLE AUTHORITY.—The promulgation of regulations 
under subsection (a) and administration of this title— 
(1) shall be carried out without regard to— 
(A) chapter 35 of title 44, United States Code (com-
monly known as the Paperwork Reduction Act); and 
(B) the Statement of Policy of the Secretary of Agri-
culture effective July 24, 1971 (36 Fed. Reg. 13804) relating 
to notices of proposed rulemaking and public participation 
in rulemaking; and 
(2) may— 
(A) be promulgated with an opportunity for notice and 
comment; or 
(B) if determined to be appropriate by the Secretary 
of Agriculture or the Commodity Credit Corporation, as 
an interim rule effective on publication with an opportunity 
for notice and comment. 
(c) CONGRESSIONAL REVIEW OF AGENCY RULEMAKING.—In car-
rying out this section, the Secretary shall use the authority provided 
under section 808(2) of title 5, United States Code. 
Deadline. 
Time period. 
16 USC 
3839aa–9 note. 
16 USC 3801 
note. 
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122 STAT. 1092 
PUBLIC LAW 110–234—MAY 22, 2008 
TITLE IV—NUTRITION 
Subtitle A—Food Stamp Program 
PART I—RENAMING OF FOOD STAMP ACT AND 
PROGRAM 
SEC. 4001. RENAMING OF FOOD STAMP ACT AND PROGRAM. 
(a) SHORT TITLE.—The first section of the Food Stamp Act 
of 1977 (7 U.S.C. 2011 note; Public Law 88–525) is amended by 
striking ‘‘Food Stamp Act of 1977’’ and inserting ‘‘Food and Nutri-
tion Act of 2008’’. 
(b) PROGRAM.—The Food and Nutrition Act of 2008 (7 U.S.C. 
2011 et seq.) (as amended by subsection (a)) is amended by striking 
‘‘food stamp program’’ each place it appears and inserting ‘‘supple-
mental nutrition assistance program’’. 
SEC. 4002. CONFORMING AMENDMENTS. 
(a) IN GENERAL.— 
(1) Section 4 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2013) is amended in the section heading by striking 
‘‘FOOD STAMP PROGRAM’’ and inserting ‘‘SUPPLEMENTAL NUTRI-
TION ASSISTANCE PROGRAM’’. 
(2) Section 5(h)(2)(A) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2014(h)(2)(A)) is amended by striking ‘‘Food 
Stamp Disaster Task Force’’ and inserting ‘‘Disaster Task 
Force’’. 
(3) Section 6 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2015) is amended— 
(A) in subsection (d)(3), by striking ‘‘for food stamps’’; 
(B) in subsection (j), in the subsection heading, by 
striking ‘‘FOOD STAMP’’; and 
(C) in subsection (o)— 
(i) in paragraph (2), by striking ‘‘food stamp bene-
fits’’ and inserting ‘‘supplemental nutrition assistance 
program benefits’’; and 
(ii) in paragraph (6)— 
(I) in subparagraph (A)— 
(aa) in clause (i), by striking ‘‘food stamps’’ 
and inserting ‘‘supplemental nutrition assist-
ance program benefits’’; and 
(bb) in clause (ii)— 
(AA) in the matter preceding sub-
clause (I), by striking ‘‘a food stamp 
recipient’’ and inserting ‘‘a member of a 
household that receives supplemental 
nutrition assistance program benefits’’; 
and 
(BB) by striking ‘‘food stamp benefits’’ 
each place it appears and inserting 
‘‘supplemental nutrition assistance pro-
gram benefits’’; and 
(II) in subparagraphs (D) and (E), by striking 
‘‘food stamp recipients’’ each place it appears and 
inserting ‘‘members of households that receive 
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122 STAT. 1093 
PUBLIC LAW 110–234—MAY 22, 2008 
supplemental nutrition assistance program bene-
fits’’. 
(4) Section 7 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2016) is amended— 
(A) in subsection (i)— 
(i) in paragraph (3)(B)(ii), by striking ‘‘food stamp 
households’’ 
and 
inserting 
‘‘households 
receiving 
supplemental nutrition assistance program benefits’’; 
and 
(ii) in paragraph (7), by striking ‘‘food stamp 
issuance’’ and inserting ‘‘supplemental nutrition assist-
ance issuance’’; and 
(B) in subsection (k)— 
(i) in paragraph (2), by striking ‘‘food stamp bene-
fits’’ and inserting ‘‘supplemental nutrition assistance 
program benefits’’; and 
(ii) in paragraph (3), by striking ‘‘food stamp retail’’ 
and inserting ‘‘retail’’. 
(5) Section 9(b)(1) of that Food and Nutrition Act of 2008 
(7 U.S.C. 2018(b)(1)) is amended by striking ‘‘food stamp house-
holds’’ and inserting ‘‘households that receive supplemental 
nutrition assistance program benefits’’. 
(6) Section 11 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2020) is amended— 
(A) in subsection (e)— 
(i) by striking ‘‘food stamps’’ each place it appears 
and inserting ‘‘supplemental nutrition assistance pro-
gram benefits’’; 
(ii) by striking ‘‘food stamp offices’’ each place it 
appears and inserting ‘‘supplemental nutrition assist-
ance program offices’’; 
(iii) by striking ‘‘food stamp office’’ each place it 
appears and inserting ‘‘supplemental nutrition assist-
ance program office’’; and 
(iv) in paragraph (25)— 
(I) in the matter preceding subparagraph (A), 
by striking ‘‘Simplified Food Stamp Program’’ and 
inserting 
‘‘Simplified 
Supplemental 
Nutrition 
Assistance Program’’; and 
(II) in subparagraph (A), by striking ‘‘food 
stamp benefits’’ and inserting ‘‘supplemental nutri-
tion assistance program benefits’’; 
(B) in subsection (k), by striking ‘‘may issue, upon 
request by the State agency, food stamps’’ and inserting 
‘‘may provide, on request by the State agency, supplemental 
nutrition assistance program benefits’’; 
(C) in subsection (l), by striking ‘‘food stamp participa-
tion’’ and inserting ‘‘supplemental nutrition assistance pro-
gram participation’’; 
(D) in subsections (q) and (r), in the subsection 
headings, by striking ‘‘FOOD STAMPS’’ each place it appears 
and inserting ‘‘BENEFITS’’; 
(E) in subsection (s), by striking ‘‘food stamp benefits’’ 
each place it appears and inserting ‘‘supplemental nutrition 
assistance program benefits’’; and 
(F) in subsection (t)(1)— 
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122 STAT. 1094 
PUBLIC LAW 110–234—MAY 22, 2008 
(i) in subparagraph (A), by striking ‘‘food stamp 
application’’ and inserting ‘‘supplemental nutrition 
assistance program application’’; and 
(ii) in subparagraph (B), by striking ‘‘food stamp 
benefits’’ and inserting ‘‘supplemental nutrition assist-
ance program benefits’’. 
(7) Section 14(b) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2023(b)) is amended by striking ‘‘food stamp’’. 
(8) Section 16 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2025) is amended— 
(A) in subsection (a)(4), by striking ‘‘food stamp 
informational activities’’ and inserting ‘‘informational 
activities relating to the supplemental nutrition assistance 
program’’; 
(B) in subsection (c)(9)(C), by striking ‘‘food stamp case-
load’’ and inserting ‘‘the caseload under the supplemental 
nutrition assistance program’’; and 
(C) in subsection (h)(1)(E)(i), by striking ‘‘food stamp 
recipients’’ and inserting ‘‘members of households receiving 
supplemental nutrition assistance program benefits’’. 
(9) Section 17 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2026) is amended— 
(A) in subsection (a)(2), by striking ‘‘food stamp bene-
fits’’ each place it appears and inserting ‘‘supplemental 
nutrition assistance program benefits’’; 
(B) in subsection (b)— 
(i) in paragraph (1)— 
(I) in subparagraph (A), by striking ‘‘food 
stamp benefits’’ and inserting ‘‘supplemental nutri-
tion assistance program benefits’’; and 
(II) in subparagraph (B)— 
(aa) in clause (ii)(II), by striking ‘‘food 
stamp recipients’’ and inserting ‘‘supplemental 
nutrition assistance program recipients’’; 
(bb) in clause (iii)(I), by striking ‘‘the 
State’s food stamp households’’ and inserting 
‘‘the number of households in the State 
receiving supplemental nutrition assistance 
program benefits’’; and 
(cc) in clause (iv)(IV)(bb), by striking ‘‘food 
stamp deductions’’ and inserting ‘‘supple-
mental nutrition assistance program deduc-
tions’’; 
(ii) in paragraph (2), by striking ‘‘food stamp bene-
fits’’ and inserting ‘‘supplemental nutrition assistance 
program benefits’’; and 
(iii) in paragraph (3)— 
(I) in subparagraph (A), by striking ‘‘food 
stamp employment’’ and inserting ‘‘supplemental 
nutrition assistance program employment’’; 
(II) in subparagraph (B), by striking ‘‘food 
stamp recipients’’ and inserting ‘‘supplemental 
nutrition assistance program recipients’’; 
(III) in subparagraph (C), by striking ‘‘food 
stamps’’ and inserting ‘‘supplemental nutrition 
assistance program benefits’’; and 
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122 STAT. 1095 
PUBLIC LAW 110–234—MAY 22, 2008 
(IV) in subparagraph (D), by striking ‘‘food 
stamp benefits’’ and inserting ‘‘supplemental nutri-
tion assistance program benefits’’; 
(C) in subsection (c), by striking ‘‘food stamps’’ and 
inserting ‘‘supplemental nutrition assistance’’; 
(D) in subsection (d)— 
(i) in paragraph (1)(B), by striking ‘‘food stamp 
benefits’’ and inserting ‘‘supplemental nutrition assist-
ance program benefits’’; 
(ii) in paragraph (2)— 
(I) in subparagraph (A), by striking ‘‘food 
stamp allotments’’ each place it appears and 
inserting ‘‘allotments’’; and 
(II) in subparagraph (C)(ii), by striking ‘‘food 
stamp benefit’’ and inserting ‘‘supplemental nutri-
tion assistance program benefits’’; and 
(iii) in paragraph (3)(E), by striking ‘‘food stamp 
benefits’’ and inserting ‘‘supplemental nutrition assist-
ance program benefits’’; 
(E) in subsections (e) and (f), by striking ‘‘food stamp 
benefits’’ each place it appears and inserting ‘‘supplemental 
nutrition assistance program benefits’’; 
(F) in subsection (g), in the first sentence, by striking 
‘‘receipt of food stamp’’ and inserting ‘‘receipt of supple-
mental nutrition assistance program’’; and 
(G) in subsection (j), by striking ‘‘food stamp agencies’’ 
and inserting ‘‘supplemental nutrition assistance program 
agencies’’. 
(10) Section 18(a)(3)(A)(ii) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2027(a)(3)(A)(ii)) is amended by striking ‘‘food 
stamps’’ and inserting ‘‘supplemental nutrition assistance pro-
gram benefits’’. 
(11) Section 22 of the Food and Nutrition Act of 2008 
(7 U.S.C. 2031) is amended— 
(A) in the section heading, by striking ‘‘FOOD STAMP 
PORTION OF MINNESOTA FAMILY INVESTMENT PLAN’’ and 
inserting ‘‘MINNESOTA FAMILY INVESTMENT PROJECT’’; 
(B) in subsections (b)(12) and (d)(3), by striking ‘‘the 
Food Stamp Act, as amended,’’ each place it appears and 
inserting ‘‘this Act’’; and 
(C) in subsection (g)(1), by striking ‘‘the Food Stamp 
Act of 1977 (7 U.S.C. 2011 et seq.)’’ and inserting ‘‘this 
Act’’. 
(12) Section 26 of the Food and Nutrition Act of 2008 
(7 U.S.C. 2035) is amended— 
(A) in the section heading, by striking ‘‘SIMPLIFIED 
FOOD
STAMP
PROGRAM’’ and inserting ‘‘SIMPLIFIED 
SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM’’; and 
(B) in subsection (b), by striking ‘‘simplified food stamp 
program’’ and inserting ‘‘simplified supplemental nutrition 
assistance program’’. 
(b) CONFORMING CROSS-REFERENCES.— 
(1) IN GENERAL.—Each provision of law described in para-
graph (2) is amended (as applicable)— 
(A) by striking ‘‘food stamp program’’ each place it 
appears and inserting ‘‘supplemental nutrition assistance 
program’’; 
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122 STAT. 1096 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) by striking ‘‘Food Stamp Act of 1977’’ each place 
it appears and inserting ‘‘Food and Nutrition Act of 2008’’; 
(C) by striking ‘‘Food Stamp Act’’ each place it appears 
and inserting ‘‘Food and Nutrition Act of 2008’’; 
(D) by striking ‘‘food stamp’’ each place it appears 
and inserting ‘‘supplemental nutrition assistance program 
benefits’’; 
(E) by striking ‘‘food stamps’’ each place it appears 
and inserting ‘‘supplemental nutrition assistance program 
benefits’’; 
(F) in each applicable title, subtitle, chapter, sub-
chapter, and section heading, by striking ‘‘FOOD STAMP 
ACT’’ each place it appears and inserting ‘‘FOOD AND NUTRI-
TION ACT OF 2008’’; 
(G) in each applicable subsection and appropriations 
heading, by striking ‘‘FOOD STAMP ACT’’ each place it 
appears and inserting ‘‘FOOD AND NUTRITION ACT OF 2008’’; 
(H) in each applicable heading other than a title, sub-
title, chapter, subchapter, section, subsection, or appropria-
tions heading, by striking ‘‘FOOD STAMP ACT’’ each place 
it appears and inserting ‘‘FOOD AND NUTRITION ACT OF 
2008’’; 
(I) in each applicable title, subtitle, chapter, sub-
chapter, and section heading, by striking ‘‘FOOD STAMP 
PROGRAM’’ each place it appears and inserting ‘‘SUPPLE-
MENTAL NUTRITION ASSISTANCE PROGRAM’’; 
(J) in each applicable subsection and appropriations 
heading, by striking ‘‘FOOD STAMP PROGRAM’’ each place 
it appears and inserting ‘‘SUPPLEMENTAL
NUTRITION 
ASSISTANCE PROGRAM’’; 
(K) in each applicable heading other than a title, sub-
title, chapter, subchapter, section, subsection, or appropria-
tions heading, by striking ‘‘FOOD STAMP PROGRAM’’ each 
place it appears and inserting ‘‘SUPPLEMENTAL NUTRITION 
ASSISTANCE PROGRAM’’; 
(L) in each applicable title, subtitle, chapter, sub-
chapter, and section heading, by striking ‘‘FOOD STAMPS’’ 
each place it appears and inserting ‘‘SUPPLEMENTAL NUTRI-
TION ASSISTANCE PROGRAM BENEFITS’’; 
(M) in each applicable subsection and appropriations 
heading, by striking ‘‘FOOD STAMPS’’ each place it appears 
and inserting ‘‘SUPPLEMENTAL NUTRITION ASSISTANCE PRO-
GRAM BENEFITS’’; and 
(N) in each applicable heading other than a title, sub-
title, chapter, subchapter, section, subsection, or appropria-
tions heading, by striking ‘‘FOOD STAMPS’’ each place it 
appears and inserting ‘‘SUPPLEMENTAL NUTRITION ASSIST-
ANCE PROGRAM BENEFITS’’. 
(2) PROVISIONS OF LAW.—The provisions of law referred 
to in paragraph (1) are the following: 
(A) The Hunger Prevention Act of 1988 (Public Law 
100–435; 102 Stat. 1645). 
(B) The Food Stamp Program Improvements Act of 
1994 (Public Law 103–225; 108 Stat. 106). 
(C) Title IV of the Farm Security and Rural Investment 
Act of 2002 (Public Law 107–171; 116 Stat. 305). 
7 USC 2016 
et seq. 
7 USC 2012 note. 
7 USC 2012 note. 
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122 STAT. 1097 
PUBLIC LAW 110–234—MAY 22, 2008 
(D) Section 2 of Public Law 103–205 (7 U.S.C. 2012 
note). 
(E) Section 807(b) of the Stewart B. McKinney Home-
less Assistance Act (7 U.S.C. 2014 note; Public Law 100– 
77). 
(F) The Electronic Benefit Transfer Interoperability 
and Portability Act of 2000 (Public Law 106–171; 114 Stat. 
3). 
(G) Section 502(b) of the Agricultural Research, Exten-
sion, and Education Reform Act of 1998 (7 U.S.C. 2025 
note; Public Law 105–185). 
(H) The National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3101 et seq.). 
(I) The Emergency Food Assistance Act of 1983 (7 
U.S.C. 7501 et seq.). 
(J) The Immigration and Nationality Act (8 U.S.C. 
1101 et seq.). 
(K) Section 8119 of the Department of Defense Appro-
priations Act, 1999 (10 U.S.C. 113 note; Public Law 105– 
262). 
(L) The Armored Car Industry Reciprocity Act of 1993 
(15 U.S.C. 5901 et seq.). 
(M) Title 18, United States Code. 
(N) The Higher Education Act of 1965 (20 U.S.C. 1001 
et seq.). 
(O) The Internal Revenue Code of 1986. 
(P) Section 650 of the Treasury and General Govern-
ment Appropriations Act, 2000 (26 U.S.C. 7801 note; Public 
Law 106–58). 
(Q) The Wagner-Peysner Act (29 U.S.C. 49 et seq.). 
(R) The Workforce Investment Act of 1998 (29 U.S.C. 
2801 et seq.). 
(S) Title 31, United States Code. 
(T) Title 37, United States Code. 
(U) The Public Health Service Act (42 U.S.C. 201 et 
seq.). 
(V) Titles II through XIX of the Social Security Act 
(42 U.S.C. 401 et seq.). 
(W) Section 406 of the Family Support Act of 1988 
(Public Law 100–485; 102 Stat. 2400). 
(X) Section 232 of the Social Security Act Amendments 
of 1994 (42 U.S.C. 1314a). 
(Y) The United States Housing Act of 1937 (42 U.S.C. 
1437 et seq.). 
(Z) The Richard B. Russell National School Lunch Act 
(42 U.S.C. 1751 et seq.). 
(AA) The Child Nutrition Act of 1966 (42 U.S.C. 1771 
et seq.). 
(BB) The Older Americans Act of 1965 (42 U.S.C. 3001 
et seq.). 
(CC) Section 208 of the Intergovernmental Personnel 
Act of 1970 (42 U.S.C. 4728). 
(DD) The Robert T. Stafford Disaster Relief and Emer-
gency Assistance Act (42 U.S.C. 5121 et seq.). 
(EE) The Low-Income Home Energy Assistance Act 
of 1981 (42 U.S.C. 8621 et seq.). 
42 USC 8622, 
8624. 
42 USC 5179. 
42 USC 3012 
et seq. 
42 USC 1786. 
42 USC 1758, 
1766. 
42 USC 1437f. 
42 USC 405 
et seq. 
42 USC 
290cc–22. 
37 USC 402a. 
31 USC 3803. 
20 USC 2971 
et seq. 
29 USC 49b. 
26 USC 32 et seq. 
18 USC 506, 
1956. 
20 USC 1087ss. 
15 USC 5901, 
5904. 
8 USC 1255a. 
7 USC 7509. 
7 USC 3315. 
7 USC 2016 note. 
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122 STAT. 1098 
PUBLIC LAW 110–234—MAY 22, 2008 
(FF) Section 658K of the Child Care and Development 
Block Grant Act of 1990 (42 U.S.C. 9858i). 
(GG) The Alaska Native Claims Settlement Act (43 
U.S.C. 1601 et seq.). 
(HH) Public Law 95–348 (92 Stat. 487). 
(II) The Agriculture and Food Act of 1981 (Public Law 
97–98; 95 Stat. 1213). 
(JJ) The Disaster Assistance Act of 1988 (Public Law 
100–387; 102 Stat. 924). 
(KK) The Food, Agriculture, Conservation, and Trade 
Act of 1990 (Public Law 101–624; 104 Stat. 3359). 
(LL) The Cranston-Gonzalez National Affordable 
Housing Act (Public Law 101–625; 104 Stat. 4079). 
(MM) Section 388 of the Persian Gulf Conflict Supple-
mental Authorization and Personnel Benefits Act of 1991 
(Public Law 102–25; 105 Stat. 98). 
(NN) The Food, Agriculture, Conservation, and Trade 
Act Amendments of 1991 (Public Law 102–237; 105 Stat. 
1818). 
(OO) The Act of March 26, 1992 (Public Law 102– 
265; 106 Stat. 90). 
(PP) Public Law 105–379 (112 Stat. 3399). 
(QQ) Section 101(c) of the Emergency Supplemental 
Act, 2000 (Public Law 106–246; 114 Stat. 528). 
(c) REFERENCES.—Any reference in any Federal, State, tribal, 
or local law (including regulations) to the ‘‘food stamp program’’ 
established under the Food and Nutrition Act of 2008 (7 U.S.C. 
2011 et seq.) shall be considered to be a reference to the ‘‘supple-
mental nutrition assistance program’’ established under that Act. 
PART II—BENEFIT IMPROVEMENTS 
SEC. 4101. EXCLUSION OF CERTAIN MILITARY PAYMENTS FROM 
INCOME. 
Section 5(d) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(d)) is amended— 
(1) by striking ‘‘(d) Household’’ and inserting ‘‘(d) EXCLU-
SIONS FROM INCOME.—Household’’; 
(2) by striking ‘‘only (1) any’’ and inserting ‘‘only— 
‘‘(1) any’’; 
(3) by indenting each of paragraphs (2) through (18) so 
as to align with the margin of paragraph (1) (as amended 
by paragraph (2)); 
(4) by striking the comma at the end of each of paragraphs 
(1) through (16) and inserting a semicolon; 
(5) in paragraph (3)— 
(A) by striking ‘‘like (A) awarded’’ and inserting ‘‘like— 
‘‘(A) awarded’’; 
(B) by striking ‘‘thereof, (B) to’’ and inserting ‘‘thereof; 
‘‘(B) to’’; and 
(C) by striking ‘‘program, and (C) to’’ and inserting 
‘‘program; and 
‘‘(C) to’’; 
(6) in paragraph (11), by striking ‘‘)), or (B) a’’ and inserting 
‘‘)); or 
‘‘(B) a’’; 
7 USC 2012 note. 
7 USC 2011 note, 
2020 note. 
7 USC 2014 note. 
7 USC 1421 note, 
2026 note. 
7 USC 1421 note. 
42 USC 8011. 
7 USC 2011 
et seq. 
7 USC 2014 note, 
2017 note. 
7 USC 2270, 
4004a. 
48 USC 1841. 
43 USC 1626. 
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122 STAT. 1099 
PUBLIC LAW 110–234—MAY 22, 2008 
(7) in paragraph (17), by striking ‘‘, and’’ at the end and 
inserting a semicolon; 
(8) in paragraph (18), by striking the period at the end 
and inserting ‘‘; and’’; and 
(9) by adding at the end the following: 
‘‘(19) any additional payment under chapter 5 of title 37, 
United States Code, or otherwise designated by the Secretary 
to be appropriate for exclusion under this paragraph, that 
is received by or from a member of the United States Armed 
Forces deployed to a designated combat zone, if the additional 
pay— 
‘‘(A) is the result of deployment to or service in a 
combat zone; and 
‘‘(B) was not received immediately prior to serving 
in a combat zone.’’. 
SEC. 4102. STRENGTHENING THE FOOD PURCHASING POWER OF LOW- 
INCOME AMERICANS. 
Section 5(e)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(e)(1)) is amended— 
(1) in subparagraph (A)(ii), by striking ‘‘not less than $134’’ 
and all that follows through the end of the clause and inserting 
the following: ‘‘not less than— 
‘‘(I) for fiscal year 2009, $144, $246, $203, 
and $127, respectively; and 
‘‘(II) for fiscal year 2010 and each fiscal year 
thereafter, an amount that is equal to the amount 
from the previous fiscal year adjusted to the 
nearest lower dollar increment to reflect changes 
for the 12-month period ending on the preceding 
June 30 in the Consumer Price Index for All Urban 
Consumers published by the Bureau of Labor 
Statistics of the Department of Labor, for items 
other than food.’’; 
(2) in subparagraph (B)(ii), by striking ‘‘not less than $269’’ 
and all that follows through the end of the clause and inserting 
the following: ‘‘not less than— 
‘‘(I) for fiscal year 2009, $289; and 
‘‘(II) for fiscal year 2010 and each fiscal year 
thereafter, an amount that is equal to the amount 
from the previous fiscal year adjusted to the 
nearest lower dollar increment to reflect changes 
for the 12-month period ending on the preceding 
June 30 in the Consumer Price Index for All Urban 
Consumers published by the Bureau of Labor 
Statistics of the Department of Labor, for items 
other than food.’’; and 
(3) by adding at the end the following: 
‘‘(C) REQUIREMENT.—Each adjustment under subpara-
graphs (A)(ii)(II) and (B)(ii)(II) shall be based on the 
unrounded amount for the prior 12-month period.’’. 
SEC. 4103. SUPPORTING WORKING FAMILIES WITH CHILD CARE 
EXPENSES. 
Section 5(e)(3)(A) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2014(e)(3)(A)) is amended by striking ‘‘, the maximum allow-
able level of which shall be $200 per month for each dependent 
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122 STAT. 1100 
PUBLIC LAW 110–234—MAY 22, 2008 
child under 2 years of age and $175 per month for each other 
dependent,’’. 
SEC. 
4104. 
ASSET 
INDEXATION, 
EDUCATION, 
AND 
RETIREMENT 
ACCOUNTS. 
(a) ADJUSTING COUNTABLE RESOURCES FOR INFLATION.—Section 
(5)(g) of the Food and Nutrition Act of 2008 (7 U.S.C. 2014(g)) 
is amended— 
(1) by striking ‘‘(g)(1) The Secretary’’ and inserting the 
following: 
‘‘(g) ALLOWABLE FINANCIAL RESOURCES.— 
‘‘(1) TOTAL AMOUNT.— 
‘‘(A) IN GENERAL.—The Secretary’’. 
(2) in subparagraph (A) (as so designated by paragraph 
(1))— 
(A) by inserting ‘‘(as adjusted in accordance with 
subparagraph (B))’’ after ‘‘$2,000’’; and 
(B) by inserting ‘‘(as adjusted in accordance with 
subparagraph (B))’’ after ‘‘$3,000’’; and 
(3) by adding at the end the following: 
‘‘(B) ADJUSTMENT FOR INFLATION.— 
‘‘(i) IN GENERAL.—Beginning on October 1, 2008, 
and each October 1 thereafter, the amounts specified 
in subparagraph (A) shall be adjusted and rounded 
down to the nearest $250 increment to reflect changes 
for the 12-month period ending the preceding June 
in the Consumer Price Index for All Urban Consumers 
published by the Bureau of Labor Statistics of the 
Department of Labor. 
‘‘(ii) 
REQUIREMENT.—Each 
adjustment 
under 
clause (i) shall be based on the unrounded amount 
for the prior 12-month period.’’. 
(b) EXCLUSION OF RETIREMENT ACCOUNTS FROM ALLOWABLE 
FINANCIAL RESOURCES.— 
(1) IN
GENERAL.—Section 5(g)(2)(B)(v) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2014(g)(2)(B)(v)) is amended 
by striking ‘‘or retirement account (including an individual 
account)’’ and inserting ‘‘account’’. 
(2) MANDATORY AND DISCRETIONARY EXCLUSIONS.—Section 
5(g) of the Food and Nutrition Act of 2008 (7 U.S.C. 2014(g)) 
is amended by adding at the end the following: 
‘‘(7) EXCLUSION OF RETIREMENT ACCOUNTS FROM ALLOWABLE 
FINANCIAL RESOURCES.— 
‘‘(A) MANDATORY
EXCLUSIONS.—The Secretary shall 
exclude from financial resources under this subsection the 
value of— 
‘‘(i) any funds in a plan, contract, or account, 
described in sections 401(a), 403(a), 403(b), 408, 408A, 
457(b), and 501(c)(18) of the Internal Revenue Code 
of 1986 and the value of funds in a Federal Thrift 
Savings Plan account as provided in section 8439 of 
title 5, United States Code; and 
‘‘(ii) any retirement program or account included 
in any successor or similar provision that may be 
enacted and determined to be exempt from tax under 
the Internal Revenue Code of 1986. 
Effective date. 
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122 STAT. 1101 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) DISCRETIONARY EXCLUSIONS.—The Secretary may 
exclude from financial resources under this subsection the 
value of any other retirement plans, contracts, or accounts 
(as determined by the Secretary).’’. 
(c) EXCLUSION
OF EDUCATION ACCOUNTS FROM ALLOWABLE 
FINANCIAL RESOURCES.—Section 5(g) of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2014(g)) (as amended by subsection (b)) 
is amended by adding at the end the following: 
‘‘(8) EXCLUSION OF EDUCATION ACCOUNTS FROM ALLOWABLE 
FINANCIAL RESOURCES.— 
‘‘(A) MANDATORY
EXCLUSIONS.—The Secretary shall 
exclude from financial resources under this subsection the 
value of any funds in a qualified tuition program described 
in section 529 of the Internal Revenue Code of 1986 or 
in a Coverdell education savings account under section 
530 of that Code. 
‘‘(B) DISCRETIONARY EXCLUSIONS.—The Secretary may 
exclude from financial resources under this subsection the 
value of any other education programs, contracts, or 
accounts (as determined by the Secretary).’’. 
SEC. 4105. FACILITATING SIMPLIFIED REPORTING. 
Section 6(c)(1)(A) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2015(c)(1)(A)) is amended— 
(1) by striking ‘‘reporting by’’ and inserting ‘‘reporting’’; 
(2) in clause (i), by inserting ‘‘for periods shorter than 
4 months by’’ before ‘‘migrant’’; 
(3) in clause (ii), by inserting ‘‘for periods shorter than 
4 months by’’ before ‘‘households’’; and 
(4) in clause (iii), by inserting ‘‘for periods shorter than 
1 year by’’ before ‘‘households’’. 
SEC. 4106. TRANSITIONAL BENEFITS OPTION. 
Section 11(s)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020(s)(1)) is amended— 
(1) by striking ‘‘benefits to a household’’; and inserting 
‘‘benefits— 
‘‘(A) to a household’’; 
(2) by striking the period at the end and inserting ‘‘; or’’; 
and 
(3) by adding at the end the following: 
‘‘(B) at the option of the State, to a household with 
children that ceases to receive cash assistance under a 
State-funded public assistance program.’’. 
SEC. 4107. INCREASING THE MINIMUM BENEFIT. 
Section 8(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2017(a)) is amended by striking ‘‘$10 per month’’ and inserting 
‘‘8 percent of the cost of the thrifty food plan for a household 
containing 1 member, as determined by the Secretary under section 
3, rounded to the nearest whole dollar increment’’. 
SEC. 4108. EMPLOYMENT, TRAINING, AND JOB RETENTION. 
Section 6(d)(4) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2015(d)(4)) is amended— 
(1) in subparagraph (B)— 
(A) by redesignating clause (vii) as clause (viii); and 
(B) by inserting after clause (vi) the following: 
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122 STAT. 1102 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(vii) Programs intended to ensure job retention 
by providing job retention services, if the job retention 
services are provided for a period of not more than 
90 days after an individual who received employment 
and training services under this paragraph gains 
employment.’’; and 
(2) in subparagraph (F), by adding at the end the following: 
‘‘(iii) Any individual voluntarily electing to partici-
pate in a program under this paragraph shall not 
be subject to the limitations described in clauses (i) 
and (ii).’’. 
PART III—PROGRAM OPERATIONS 
SEC. 4111. NUTRITION EDUCATION. 
(a) AUTHORITY
TO PROVIDE NUTRITION EDUCATION.—Section 
4(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2013(a)) 
is amended in the first sentence by inserting ‘‘and, through an 
approved State plan, nutrition education’’ after ‘‘an allotment’’. 
(b) IMPLEMENTATION.—Section 11 of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2020) is amended by striking subsection 
(f) and inserting the following: 
‘‘(f) NUTRITION EDUCATION.— 
‘‘(1) IN GENERAL.—State agencies may implement a nutri-
tion education program for individuals eligible for program 
benefits that promotes healthy food choices consistent with 
the most recent Dietary Guidelines for Americans published 
under section 301 of the National Nutrition Monitoring and 
Related Research Act of 1990 (7 U.S.C. 5341). 
‘‘(2) DELIVERY OF NUTRITION EDUCATION.—State agencies 
may deliver nutrition education directly to eligible persons or 
through agreements with the National Institute of Food and 
Agriculture, including through the expanded food and nutrition 
education program under section 3(d) of the Act of May 8, 
1914 (7 U.S.C. 343(d)), and other State and community health 
and nutrition providers and organizations. 
‘‘(3) NUTRITION EDUCATION STATE PLANS.— 
‘‘(A) IN GENERAL.—A State agency that elects to provide 
nutrition education under this subsection shall submit a 
nutrition education State plan to the Secretary for 
approval. 
‘‘(B) REQUIREMENTS.—The plan shall— 
‘‘(i) identify the uses of the funding for local 
projects; and 
‘‘(ii) conform to standards established by the Sec-
retary through regulations or guidance. 
‘‘(C) REIMBURSEMENT.—State costs for providing nutri-
tion education under this subsection shall be reimbursed 
pursuant to section 16(a). 
‘‘(4) NOTIFICATION.—To the maximum extent practicable, 
State agencies shall notify applicants, participants, and eligible 
program participants of the availability of nutrition education 
under this subsection.’’. 
SEC. 4112. TECHNICAL CLARIFICATION REGARDING ELIGIBILITY. 
Section 6(k) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2015(k)) is amended— 
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122 STAT. 1103 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) by redesignating paragraphs (1) and (2) as subpara-
graphs (A) and (B), respectively, and indenting appropriately; 
(2) by striking ‘‘No member’’ and inserting the following: 
‘‘(1) IN GENERAL.—No member’’; and 
(3) by adding at the end the following: 
‘‘(2) PROCEDURES.—The Secretary shall— 
‘‘(A) define the terms ‘fleeing’ and ‘actively seeking’ 
for purposes of this subsection; and 
‘‘(B) ensure that State agencies use consistent proce-
dures established by the Secretary that disqualify individ-
uals whom law enforcement authorities are actively seeking 
for the purpose of holding criminal proceedings against 
the individual.’’. 
SEC. 4113. CLARIFICATION OF SPLIT ISSUANCE. 
Section 7(h) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(h)) is amended by striking paragraph (2) and inserting the 
following: 
‘‘(2) REQUIREMENTS.— 
‘‘(A) IN GENERAL.—Any procedure established under 
paragraph (1) shall— 
‘‘(i) not reduce the allotment of any household for 
any period; and 
‘‘(ii) ensure that no household experiences an 
interval between issuances of more than 40 days. 
‘‘(B) MULTIPLE ISSUANCES.—The procedure may include 
issuing benefits to a household in more than 1 issuance 
during a month only when a benefit correction is nec-
essary.’’. 
SEC. 4114. ACCRUAL OF BENEFITS. 
Section 7(i) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(i)) is amended by adding at the end the following: 
‘‘(12) RECOVERING ELECTRONIC BENEFITS.— 
‘‘(A) IN GENERAL.—A State agency shall establish a 
procedure for recovering electronic benefits from the 
account of a household due to inactivity. 
‘‘(B) BENEFIT
STORAGE.—A State agency may store 
recovered electronic benefits off-line in accordance with 
subparagraph (D), if the household has not accessed the 
account after 6 months. 
‘‘(C) BENEFIT
EXPUNGING.—A State agency shall 
expunge benefits that have not been accessed by a house-
hold after a period of 12 months. 
‘‘(D) NOTICE.—A State agency shall— 
‘‘(i) send notice to a household the benefits of which 
are stored under subparagraph (B); and 
‘‘(ii) not later than 48 hours after request by the 
household, make the stored benefits available to the 
household.’’. 
SEC. 4115. ISSUANCE AND USE OF PROGRAM BENEFITS. 
(a) IN GENERAL.—Section 7 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2016) is amended— 
(1) by striking the section designation and heading and 
all that follows through ‘‘subsection (j)) shall be’’ and inserting 
the following: 
Deadline. 
Procedures. 
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122 STAT. 1104 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 7. ISSUANCE AND USE OF PROGRAM BENEFITS. 
‘‘(a) IN GENERAL.—Except as provided in subsection (i), EBT 
cards shall be’’; 
(2) in subsection (b)— 
(A) by striking ‘‘(b) Coupons’’ and inserting the fol-
lowing: 
‘‘(b) USE.—Benefits’’; and 
(B) by striking the second proviso; 
(3) in subsection (c)— 
(A) by striking ‘‘(c) Coupons’’ and inserting the fol-
lowing: 
‘‘(c) DESIGN.— 
‘‘(1) IN GENERAL.—EBT cards’’; 
(B) in the first sentence, by striking ‘‘and define their 
denomination’’; and 
(C) by striking the second sentence and inserting the 
following: 
‘‘(2) PROHIBITION.—The name of any public official shall 
not appear on any EBT card.’’; 
(4) by striking subsection (d); 
(5) in subsection (e)— 
(A) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’; and 
(B) by striking ‘‘coupon issuers’’ each place it appears 
and inserting ‘‘benefit issuers’’; 
(6) in subsection (f)— 
(A) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’; 
(B) by striking ‘‘coupon issuer’’ and inserting ‘‘benefit 
issuers’’; 
(C) by striking ‘‘including any losses’’ and all that 
follows through ‘‘section 11(e)(20),’’; and 
(D) by striking ‘‘and allotments’’; 
(7) by striking subsection (g) and inserting the following: 
‘‘(g) ALTERNATIVE BENEFIT DELIVERY.— 
‘‘(1) IN GENERAL.—If the Secretary determines, in consulta-
tion with the Inspector General of the Department of Agri-
culture, that it would improve the integrity of the supplemental 
nutrition assistance program, the Secretary shall require a 
State agency to issue or deliver benefits using alternative 
methods. 
‘‘(2) NO IMPOSITION OF COSTS.—The cost of documents or 
systems that may be required by this subsection may not be 
imposed upon a retail food store participating in the supple-
mental nutrition assistance program. 
‘‘(3) DEVALUATION AND TERMINATION OF ISSUANCE OF PAPER 
COUPONS.— 
‘‘(A) COUPON ISSUANCE.—Effective on the date of enact-
ment of the Food, Conservation, and Energy Act of 2008, 
no State shall issue any coupon, stamp, certificate, or 
authorization card to a household that receives supple-
mental nutrition assistance under this Act. 
‘‘(B) EBT CARDS.—Effective beginning on the date that 
is 1 year after the date of enactment of the Food, Conserva-
tion, and Energy Act of 2008, only an EBT card issued 
under subsection (i) shall be eligible for exchange at any 
retail food store. 
Effective dates. 
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122 STAT. 1105 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) 
DE-OBLIGATION
OF
COUPONS.—Coupons 
not 
redeemed during the 1-year period beginning on the date 
of enactment of the Food, Conservation, and Energy Act 
of 2008 shall— 
‘‘(i) no longer be an obligation of the Federal 
Government; and 
‘‘(ii) not be redeemable.’’; 
(8) in subsection (h)(1), by striking ‘‘coupons’’ and inserting 
‘‘benefits’’; 
(9) in subsection (i), by adding at the end the following: 
‘‘(12) INTERCHANGE FEES.—No interchange fees shall apply 
to electronic benefit transfer transactions under this sub-
section.’’; 
(10) in subsection (j)— 
(A) in paragraph (2)(A)(ii), by striking ‘‘printing, ship-
ping, and redeeming coupons’’ and inserting ‘‘issuing and 
redeeming benefits’’; and 
(B) in paragraph (5), by striking ‘‘coupon’’ and inserting 
‘‘benefit’’; 
(11) in subsection (k)— 
(A) by striking ‘‘coupons in the form of’’ each place 
it appears and inserting ‘‘program benefits in the form 
of’’; 
(B) by striking ‘‘a coupon issued in the form of’’ each 
place it appears and inserting ‘‘program benefits in the 
form of’’; and 
(C) in subparagraph (A), by striking ‘‘subsection 
(i)(11)(A)’’ and inserting ‘‘subsection (h)(11)(A)’’; and 
(12) by redesignating subsections (e) through (k) as sub-
sections (d) through (j), respectively. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 3 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2012) is amended— 
(A) in subsection (a), by striking ‘‘coupons’’ and 
inserting ‘‘benefits’’; 
(B) by striking subsection (b) and inserting the fol-
lowing: 
‘‘(b) BENEFIT.—The term ‘benefit’ means the value of supple-
mental nutrition assistance provided to a household by means of— 
‘‘(1) an electronic benefit transfer under section 7(i); or 
‘‘(2) other means of providing assistance, as determined 
by the Secretary.’’; 
(C) in subsection (c), in the first sentence, by striking 
‘‘authorization cards’’ and inserting ‘‘benefits’’; 
(D) in subsection (d), by striking ‘‘or access device’’ 
and all that follows through the end of the subsection 
and inserting a period; 
(E) in subsection (e)— 
(i) by striking ‘‘(e) ‘Coupon issuer’ means’’ and 
inserting the following: 
‘‘(e) BENEFIT ISSUER.—The term ‘benefit issuer’ means’’; and 
(ii) by striking ‘‘coupons’’ and inserting ‘‘benefits’’; 
(F) in subsection (g)(7), by striking ‘‘subsection (r)’’ 
and inserting ‘‘subsection (j)’’; 
(G) in subsection (i)(5)— 
(i) in subparagraph (B), by striking ‘‘subsection 
(r)’’ and inserting ‘‘subsection (j)’’; and 
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122 STAT. 1106 
PUBLIC LAW 110–234—MAY 22, 2008 
(ii) in subparagraph (D), by striking ‘‘coupons’’ and 
inserting ‘‘benefits’’; 
(H) in subsection (j), by striking ‘‘(as that term is 
defined in subsection (p))’’; 
(I) in subsection (k)— 
(i) in paragraph (1)(A), by striking ‘‘subsection 
(u)(1)’’ and inserting ‘‘subsection (r)(1)’’; 
(ii) in paragraph (2), by striking ‘‘subsections (g)(3), 
(4), (5), (7), (8), and (9) of this section’’ and inserting 
‘‘paragraphs (3), (4), (5), (7), (8), and (9) of subsection 
(k)’’; and 
(iii) in paragraph (3), by striking ‘‘subsection (g)(6) 
of this section’’ and inserting ‘‘subsection (k)(6)’’; 
(J) in subsection (t), by inserting ‘‘, including point 
of sale devices,’’ after ‘‘other means of access’’; 
(K) in subsection (u), by striking ‘‘(as defined in sub-
section (g))’’; 
(L) by adding at the end the following: 
‘‘(v) EBT CARD.—The term ‘EBT card’ means an electronic 
benefit transfer card issued under section 7(i).’’; and 
(M) by redesignating subsections (a) through (v) as 
subsections (b), (d), (f), (g), (e), (h), (k), (l), (n), (o), (p), 
(q), (s), (t), (u), (v), (c), (j), (m), (a), (r), and (i), respectively, 
and moving the subsections so as to appear in alphabetical 
order. 
(2) Section 4(a) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2013(a)) is amended— 
(A) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’; and 
(B) by striking ‘‘Coupons issued’’ and inserting ‘‘benefits 
issued’’. 
(3) Section 5 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2014) is amended— 
(A) in subsection (a), by striking ‘‘section 3(i)(4)’’ and 
inserting ‘‘section 3(n)(4)’’; 
(B) in subsection (h)(3)(B), in the second sentence, by 
striking ‘‘section 7(i)’’ and inserting ‘‘section 7(h)’’; and 
(C) in subsection (i)(2)(E), by striking ‘‘, as defined 
in section 3(i) of this Act,’’. 
(4) Section 6 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2015) is amended— 
(A) in subsection (b)(1)— 
(i) in subparagraph (B), by striking ‘‘coupons or 
authorization cards’’ and inserting ‘‘program benefits’’; 
and 
(ii) by striking ‘‘coupons’’ each place it appears 
and inserting ‘‘benefits’’; and 
(B) in subsection (d)(4)(L), by striking ‘‘section 
11(e)(22)’’ and inserting ‘‘section 11(e)(19)’’. 
(5) Section 8 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2017) is amended— 
(A) in subsection (b), by striking ‘‘, whether through 
coupons, access devices, or otherwise’’; and 
(B) in subsections (e)(1) and (f), by striking ‘‘section 
3(i)(5)’’ each place it appears and inserting ‘‘section 3(n)(5)’’. 
(6) Section 9 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2018) is amended— 
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122 STAT. 1107 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’; 
(B) in subsection (a)— 
(i) in paragraph (1), by striking ‘‘coupon business’’ 
and inserting ‘‘benefit transactions’’; and 
(ii) by striking paragraph (3) and inserting the 
following: 
‘‘(3) AUTHORIZATION PERIODS.—The Secretary shall estab-
lish specific time periods during which authorization to accept 
and redeem benefits shall be valid under the supplemental 
nutrition assistance program.’’; and 
(C) in subsection (g), by striking ‘‘section 3(g)(9)’’ and 
inserting ‘‘section 3(k)(9)’’. 
(7) Section 10 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2019) is amended— 
(A) by striking the section designation and heading 
and all that follows through ‘‘Regulations’’ and inserting 
the following: 
‘‘SEC. 10. REDEMPTION OF PROGRAM BENEFITS. 
‘‘Regulations’’; 
(B) by striking ‘‘section 3(k)(4) of this Act’’ and inserting 
‘‘section 3(p)(4)’’; 
(C) by striking ‘‘section 7(i)’’ and inserting ‘‘section 
7(h)’’; and 
(D) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’. 
(8) Section 11 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2020) is amended— 
(A) in subsection (d)— 
(i) by striking ‘‘section 3(n)(1) of this Act’’ each 
place it appears and inserting ‘‘section 3(t)(1)’’; and 
(ii) by striking ‘‘section 3(n)(2) of this Act’’ each 
place it appears and inserting ‘‘section 3(t)(2)’’; 
(B) in subsection (e)— 
(i) in paragraph (8)(E), by striking ‘‘paragraph (16) 
or (20)(B)’’ and inserting ‘‘paragraph (15) or (18)(B)’’; 
(ii) by striking paragraphs (15) and (19); 
(iii) by redesignating paragraphs (16) through (18) 
and (20) through (25) as paragraphs (15) through (17) 
and (18) through (23), respectively; and 
(iv) in paragraph (17) (as so redesignated), by 
striking ‘‘(described in section 3(n)(1) of this Act)’’ and 
inserting ‘‘described in section 3(t)(1)’’; 
(C) in subsection (h), by striking ‘‘coupon or coupons’’ 
and inserting ‘‘benefits’’; 
(D) by striking ‘‘coupon’’ each place it appears and 
inserting ‘‘benefit’’; 
(E) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’; and 
(F) in subsection (q), by striking ‘‘section 11(e)(20)(B)’’ 
and inserting ‘‘subsection (e)(18)(B)’’. 
(9) Section 13 of the Food and Nutrition Act of 2008 (7 
U.S.C. 2022) is amended by striking ‘‘coupons’’ each place it 
appears and inserting ‘‘benefits’’. 
(10) Section 15 of the Food and Nutrition Act of 2008 
(7 U.S.C. 2024) is amended— 
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122 STAT. 1108 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) in subsection (a), by striking ‘‘coupons’’ and 
inserting ‘‘benefits’’; 
(B) in subsection (b)(1)— 
(i) by striking ‘‘coupons, authorization cards, or 
access devices’’ each place it appears and inserting 
‘‘benefits’’; 
(ii) by striking ‘‘coupons or authorization cards’’ 
and inserting ‘‘benefits’’; and 
(iii) by striking ‘‘access device’’ each place it 
appears and inserting ‘‘benefit’’; 
(C) in subsection (c), by striking ‘‘coupons’’ each place 
it appears and inserting ‘‘benefits’’; 
(D) in subsection (d), by striking ‘‘Coupons’’ and 
inserting ‘‘Benefits’’; 
(E) by striking subsections (e) and (f); 
(F) by redesignating subsections (g) and (h) as sub-
sections (e) and (f), respectively; and 
(G) in subsection (e) (as so redesignated), by striking 
‘‘coupon, authorization cards or access devices’’ and 
inserting ‘‘benefits’’. 
(11) Section 16(a) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2025(a)) is amended by striking ‘‘coupons’’ each place 
it appears and inserting ‘‘benefits’’. 
(12) Section 17 of the Food and Nutrition Act of 2008 
(7 U.S.C. 2026) is amended— 
(A) in subsection (a)(2), by striking ‘‘coupon’’ and 
inserting ‘‘benefit’’; 
(B) in subsection (b)(1)— 
(i) in subparagraph (B)— 
(I) in clause (iv)— 
(aa) in subclause (I), inserting ‘‘or other-
wise providing benefits in a form not restricted 
to the purchase of food’’ after ‘‘of cash’’; 
(bb) in subclause (III)(aa), by striking ‘‘sec-
tion 3(i)’’ and inserting ‘‘section 3(n)’’; and 
(cc) in subclause (VII), by striking ‘‘section 
7(j)’’ and inserting ‘‘section 7(i)’’; and 
(II) in clause (v)— 
(aa) by striking ‘‘countersigned food cou-
pons or similar’’; and 
(bb) by striking ‘‘food coupons’’ and 
inserting ‘‘EBT cards’’; and 
(ii) in subparagraph (C)(i)(I), by striking ‘‘coupons’’ 
and inserting ‘‘EBT cards’’; 
(C) in subsection (f), by striking ‘‘section 7(g)(2)’’ and 
inserting ‘‘section 7(f)(2)’’; and 
(D) in subsection (j), by striking ‘‘coupon’’ and inserting 
‘‘benefit’’. 
(13) Section 19(a)(2)(A)(ii) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2028(a)(2)(A)(ii)) is amended by striking ‘‘sec-
tion 3(o)(4)’’ and inserting ‘‘section 3(u)(4)’’. 
(14) Section 21 of the Food and Nutrition Act of 2008 
(7 U.S.C. 2030) is repealed. 
(15) Section 22 of the Food and Nutrition Act of 2008 
(7 U.S.C. 2031) is amended— 
(A) by striking ‘‘food coupons’’ each place it appears 
and inserting ‘‘benefits’’; 
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122 STAT. 1109 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’; and 
(C) in subsection (g)(1)(A), by striking ‘‘coupon’’ and 
inserting ‘‘benefits’’. 
(16) Section 26(f)(3) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2035(f)(3)) is amended— 
(A) in subparagraph (A), by striking ‘‘subsections (a) 
through (g)’’ and inserting ‘‘subsections (a) through (f)’’; 
and 
(B) in subparagraph (E), by striking ‘‘(16), (18), (20), 
(24), and (25)’’ and inserting ‘‘(15), (17), (18), (22), and 
(23)’’. 
(c) CONFORMING CROSS-REFERENCES.— 
(1) IN GENERAL.— 
(A) USE OF TERMS.—Each provision of law described 
in subparagraph (B) is amended (as applicable)— 
(i) by striking ‘‘coupons’’ each place it appears and 
inserting ‘‘benefits’’; 
(ii) by striking ‘‘coupon’’ each place it appears and 
inserting ‘‘benefit’’; 
(iii) by striking ‘‘food coupons’’ each place it 
appears and inserting ‘‘benefits’’; 
(iv) in each section heading, by striking ‘‘FOOD 
COUPONS’’ each place it appears and inserting ‘‘BENE-
FITS’’; 
(v) by striking ‘‘food stamp coupon’’ each place 
it appears and inserting ‘‘benefit’’; and 
(vi) by striking ‘‘food stamps’’ each place it appears 
and inserting ‘‘benefits’’. 
(B) PROVISIONS OF LAW.—The provisions of law referred 
to in subparagraph (A) are the following: 
(i) Section 2 of Public Law 103–205 (7 U.S.C. 2012 
note; 107 Stat. 2418). 
(ii) Section 1956(c)(7)(D) of title 18, United States 
Code. 
(iii) Titles II through XIX of the Social Security 
Act (42 U.S.C. 401 et seq.). 
(iv) Section 401(b)(3) of the Social Security Amend-
ments of 1972 (42 U.S.C. 1382e note; Public Law 92– 
603). 
(v) The Robert T. Stafford Disaster Relief and 
Emergency Assistance Act (42 U.S.C. 5121 et seq.). 
(vi) Section 802(d)(2)(A)(i)(II) of the Cranston- 
Gonzalez National Affordable Housing Act (42 U.S.C. 
8011(d)(2)(A)(i)(II)). 
(2) DEFINITION REFERENCES.— 
(A) Section 2 of Public Law 103–205 (7 U.S.C. 2012 
note; 107 Stat. 2418) is amended by striking ‘‘section 
3(k)(1)’’ and inserting ‘‘section 3(p)(1)’’. 
(B) Section 205 of the Food Stamp Program Improve-
ments Act of 1994 (7 U.S.C. 2012 note; Public Law 103– 
225) is amended by striking ‘‘section 3(k) of such Act (as 
amended by section 201)’’ and inserting ‘‘section 3(p) of 
that Act’’. 
(C) Section 115 of the Personal Responsibility and 
Work Opportunity Reconciliation Act of 1996 (21 U.S.C. 
862a) is amended— 
42 USC 5179. 
42 USC 411, 503. 
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122 STAT. 1110 
PUBLIC LAW 110–234—MAY 22, 2008 
(i) by striking ‘‘section 3(h)’’ each place it appears 
and inserting ‘‘section 3(l)’’; and 
(ii) in subsection (e)(2), by striking ‘‘section 3(m)’’ 
and inserting ‘‘section 3(s)’’. 
(D) Section 402(a) of the Personal Responsibility and 
Work Opportunity Reconciliation Act of 1996 (8 U.S.C. 
1612(a)) is amended— 
(i) in paragraph (2)(F)(ii), by striking ‘‘section 3(r)’’ 
and inserting ‘‘section 3(j)’’; and 
(ii) in paragraph (3)(B), by striking ‘‘section 3(h)’’ 
and inserting ‘‘section 3(l)’’. 
(E) Section 3803(c)(2)(C)(vii) of title 31, United States 
Code, is amended by striking ‘‘section 3(h)’’ and inserting 
‘‘section 3(l)’’. 
(F) Section 303(d)(4) of the Social Security Act (42 
U.S.C. 503(d)(4)) is amended by striking ‘‘section 3(n)(1)’’ 
and inserting ‘‘section 3(t)(1)’’. 
(G) Section 404 of the Social Security Act (42 U.S.C. 
604) is amended by striking ‘‘section 3(h)’’ each place it 
appears and inserting ‘‘section 3(l)’’. 
(H) Section 531 of the Social Security Act (42 U.S.C. 
654) is amended by striking ‘‘section 3(h)’’ each place it 
appears and inserting ‘‘section 3(l)’’. 
(I) Section 802(d)(2)(A)(i)(II) of the Cranston-Gonzalez 
National 
Affordable 
Housing 
Act 
(42 
U.S.C. 
8011(d)(2)(A)(i)(II)) is amended by striking ‘‘(as defined in 
section 3(e) of such Act)’’. 
(d) REFERENCES.—Any reference in any Federal, State, tribal, 
or local law (including regulations) to a ‘‘coupon’’, ‘‘authorization 
card’’, or other access device provided under the Food and Nutrition 
Act of 2008 (7 U.S.C. 2011 et seq.) shall be considered to be 
a reference to a ‘‘benefit’’ provided under that Act. 
SEC. 4116. REVIEW OF MAJOR CHANGES IN PROGRAM DESIGN. 
Section 11 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020) is amended by striking the section enumerator and heading 
and subsection (a) and inserting the following: 
‘‘SEC. 11. ADMINISTRATION. 
‘‘(a) STATE RESPONSIBILITY.— 
‘‘(1) IN GENERAL.—The State agency of each participating 
State shall have responsibility for certifying applicant house-
holds and issuing EBT cards. 
‘‘(2) LOCAL
ADMINISTRATION.—The responsibility of the 
agency of the State government shall not be affected by whether 
the program is operated on a State-administered or county- 
administered basis, as provided under section 3(t)(1). 
‘‘(3) RECORDS.— 
‘‘(A) IN GENERAL.—Each State agency shall keep such 
records as may be necessary to determine whether the 
program is being conducted in compliance with this Act 
(including regulations issued under this Act). 
‘‘(B) INSPECTION
AND
AUDIT.—Records described in 
subparagraph (A) shall— 
‘‘(i) be available for inspection and audit at any 
reasonable time; 
‘‘(ii) subject to subsection (e)(8), be available for 
review in any action filed by a household to enforce 
7 USC 2012 note. 
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122 STAT. 1111 
PUBLIC LAW 110–234—MAY 22, 2008 
any provision of this Act (including regulations issued 
under this Act); and 
‘‘(iii) be preserved for such period of not less than 
3 years as may be specified in regulations. 
‘‘(4) REVIEW
OF
MAJOR
CHANGES
IN
PROGRAM
DESIGN.— 
‘‘(A) IN GENERAL.—The Secretary shall develop stand-
ards for identifying major changes in the operations of 
a State agency, including— 
‘‘(i) large or substantially-increased numbers of 
low-income households that do not live in reasonable 
proximity to an office performing the major functions 
described in subsection (e); 
‘‘(ii) substantial increases in reliance on automated 
systems for the performance of responsibilities pre-
viously performed by personnel described in subsection 
(e)(6)(B); 
‘‘(iii) changes that potentially increase the dif-
ficulty of reporting information under subsection (e) 
or section 6(c); and 
‘‘(iv) changes that may disproportionately increase 
the burdens on any of the types of households described 
in subsection (e)(2)(A). 
‘‘(B) NOTIFICATION.—If a State agency implements a 
major change in operations, the State agency shall— 
‘‘(i) notify the Secretary; and 
‘‘(ii) collect such information as the Secretary shall 
require to identify and correct any adverse effects on 
program integrity or access, including access by any 
of the types of households described in subsection 
(e)(2)(A).’’. 
SEC. 4117. CIVIL RIGHTS COMPLIANCE. 
Section 11 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020) is amended by striking subsection (c) and inserting the fol-
lowing: 
‘‘(c) CIVIL RIGHTS COMPLIANCE.— 
‘‘(1) IN GENERAL.—In the certification of applicant house-
holds for the supplemental nutrition assistance program, there 
shall be no discrimination by reason of race, sex, religious 
creed, national origin, or political affiliation. 
‘‘(2) RELATION TO OTHER LAWS.—The administration of the 
program by a State agency shall be consistent with the rights 
of households under the following laws (including implementing 
regulations): 
‘‘(A) The Age Discrimination Act of 1975 (42 U.S.C. 
6101 et seq.). 
‘‘(B) Section 504 of the Rehabilitation Act of 1973 (29 
U.S.C. 794). 
‘‘(C) The Americans with Disabilities Act of 1990 (42 
U.S.C. 12101 et seq.). 
‘‘(D) Title VI of the Civil Rights Act of 1964 (42 U.S.C. 
2000d et seq.).’’. 
SEC. 4118. CODIFICATION OF ACCESS RULES. 
Section 11(e)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020(e)(1)) is amended— 
(1) by striking ‘‘shall (A) at’’ and inserting ‘‘shall— 
‘‘(A) at’’; and 
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122 STAT. 1112 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) by striking ‘‘and (B) use’’ and inserting ‘‘and 
‘‘(B) comply with regulations of the Secretary requiring 
the use of’’. 
SEC. 4119. STATE OPTION FOR TELEPHONIC SIGNATURE. 
Section 11(e)(2)(C) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2020(e)(2)(C)) is amended— 
(1) by striking ‘‘(C) Nothing in this Act’’ and inserting 
the following: 
‘‘(C) ELECTRONIC AND AUTOMATED SYSTEMS.— 
‘‘(i) IN GENERAL.—Nothing in this Act’’; and 
(2) by adding at the end the following: 
‘‘(ii) STATE OPTION FOR TELEPHONIC SIGNATURE.— 
A State agency may establish a system by which an 
applicant household may sign an application through 
a recorded verbal assent over the telephone. 
‘‘(iii) REQUIREMENTS.—A system established under 
clause (ii) shall— 
‘‘(I) record for future reference the verbal 
assent of the household member and the informa-
tion to which assent was given; 
‘‘(II) include effective safeguards against 
impersonation, identity theft, and invasions of pri-
vacy; 
‘‘(III) not deny or interfere with the right of 
the household to apply in writing; 
‘‘(IV) promptly provide to the household 
member a written copy of the completed applica-
tion, with instructions for a simple procedure for 
correcting any errors or omissions; 
‘‘(V) comply with paragraph (1)(B); 
‘‘(VI) satisfy all requirements for a signature 
on an application under this Act and other laws 
applicable to the supplemental nutrition assistance 
program, with the date on which the household 
member provides verbal assent considered as the 
date of application for all purposes; and 
‘‘(VII) comply with such other standards as 
the Secretary may establish.’’. 
SEC. 4120. PRIVACY PROTECTIONS. 
Section 11(e)(8) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020(e)(8)) is amended— 
(1) in the matter preceding subparagraph (A)— 
(A) by striking ‘‘limit’’ and inserting ‘‘prohibit’’; and 
(B) by striking ‘‘to persons’’ and all that follows through 
‘‘State programs’’; 
(2) by redesignating subparagraphs (A) through (E) as sub-
paragraphs (B) through (F), respectively; 
(3) by inserting before subparagraph (B) (as so redesig-
nated) the following: 
‘‘(A) the safeguards shall permit— 
‘‘(i) the disclosure of such information to persons 
directly connected with the administration or enforce-
ment of the provisions of this Act, regulations issued 
pursuant to this Act, Federal assistance programs, or 
federally-assisted State programs; and 
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122 STAT. 1113 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) the subsequent use of the information by per-
sons described in clause (i) only for such administration 
or enforcement;’’; and 
(4) in subparagraph (F) (as so redesignated) by inserting 
‘‘or subsection (u)’’ before the semicolon at the end. 
SEC. 4121. PRESERVATION OF ACCESS AND PAYMENT ACCURACY. 
Section 16 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025) is amended by striking subsection (g) and inserting the fol-
lowing: 
‘‘(g) COST SHARING FOR COMPUTERIZATION.— 
‘‘(1) IN GENERAL.—Except as provided in paragraphs (2) 
and (3), the Secretary is authorized to pay to each State agency 
the amount provided under subsection (a)(6) for the costs 
incurred by the State agency in the planning, design, develop-
ment, or installation of 1 or more automatic data processing 
and information retrieval systems that the Secretary deter-
mines— 
‘‘(A) would assist in meeting the requirements of this 
Act; 
‘‘(B) meet such conditions as the Secretary prescribes; 
‘‘(C) are likely to provide more efficient and effective 
administration of the supplemental nutrition assistance 
program; 
‘‘(D) would be compatible with other systems used in 
the administration of State programs, including the pro-
gram funded under part A of title IV of the Social Security 
Act (42 U.S.C. 601 et seq.); 
‘‘(E) would be tested adequately before and after 
implementation, including through pilot projects in limited 
areas for major systems changes as determined under rules 
promulgated by the Secretary, data from which shall be 
thoroughly evaluated before the Secretary approves the 
system to be implemented more broadly; and 
‘‘(F) would be operated in accordance with an adequate 
plan for— 
‘‘(i) continuous updating to reflect changed policy 
and circumstances; and 
‘‘(ii) testing the effect of the system on access for 
eligible households and on payment accuracy. 
‘‘(2) LIMITATION.—The Secretary shall not make payments 
to a State agency under paragraph (1) to the extent that the 
State agency— 
‘‘(A) is reimbursed for the costs under any other Fed-
eral program; or 
‘‘(B) uses the systems for purposes not connected with 
the supplemental nutrition assistance program.’’. 
SEC. 4122. FUNDING OF EMPLOYMENT AND TRAINING PROGRAMS. 
Section 16(h)(1)(A) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2025(h)(1)(A)) is amended in subparagraph (A), by striking 
‘‘to remain available until expended’’ and inserting ‘‘to remain avail-
able for 15 months’’. 
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122 STAT. 1114 
PUBLIC LAW 110–234—MAY 22, 2008 
PART IV—PROGRAM INTEGRITY 
SEC. 4131. ELIGIBILITY DISQUALIFICATION. 
Section 6 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2015) is amended by adding at the end the following: 
‘‘(p) DISQUALIFICATION FOR OBTAINING CASH BY DESTROYING 
FOOD
AND COLLECTING DEPOSITS.—Subject to any requirements 
established by the Secretary, any person who has been found by 
a State or Federal court or administrative agency in a hearing 
under subsection (b) to have intentionally obtained cash by pur-
chasing products with supplemental nutrition assistance program 
benefits that have containers that require return deposits, dis-
carding the product, and returning the container for the deposit 
amount shall be ineligible for benefits under this Act for such 
period of time as the Secretary shall prescribe by regulation. 
‘‘(q) DISQUALIFICATION FOR SALE OF FOOD PURCHASED WITH 
SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM BENEFITS.—Sub-
ject to any requirements established by the Secretary, any person 
who has been found by a State or Federal court or administrative 
agency in a hearing under subsection (b) to have intentionally 
sold any food that was purchased using supplemental nutrition 
assistance program benefits shall be ineligible for benefits under 
this Act for such period of time as the Secretary shall prescribe 
by regulation.’’. 
SEC. 4132. CIVIL PENALTIES AND DISQUALIFICATION OF RETAIL FOOD 
STORES AND WHOLESALE FOOD CONCERNS. 
Section 12 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2021) is amended— 
(1) by striking the section designation and heading and 
all that follows through the end of subsection (a) and inserting 
the following: 
‘‘SEC. 12. CIVIL PENALTIES AND DISQUALIFICATION OF RETAIL FOOD 
STORES AND WHOLESALE FOOD CONCERNS. 
‘‘(a) DISQUALIFICATION.— 
‘‘(1) IN GENERAL.—An approved retail food store or whole-
sale food concern that violates a provision of this Act or a 
regulation under this Act may be— 
‘‘(A) disqualified for a specified period of time from 
further participation in the supplemental nutrition assist-
ance program; 
‘‘(B) assessed a civil penalty of up to $100,000 for 
each violation; or 
‘‘(C) both. 
‘‘(2) REGULATIONS.—Regulations promulgated under this 
Act shall provide criteria for the finding of a violation of, 
the suspension or disqualification of and the assessment of 
a civil penalty against a retail food store or wholesale food 
concern on the basis of evidence that may include facts estab-
lished through on-site investigations, inconsistent redemption 
data, or evidence obtained through a transaction report under 
an electronic benefit transfer system.’’; 
(2) in subsection (b)— 
(A) by striking ‘‘(b) Disqualification’’ and inserting the 
following: 
Regulations. 
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122 STAT. 1115 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(b) PERIOD OF DISQUALIFICATION.—Subject to subsection (c), 
a disqualification’’; 
(B) in paragraph (1), by striking ‘‘of no less than six 
months nor more than five years’’ and inserting ‘‘not to 
exceed 5 years’’; 
(C) in paragraph (2), by striking ‘‘of no less than twelve 
months nor more than ten years’’ and inserting ‘‘not to 
exceed 10 years’’; 
(D) in paragraph (3)(B)— 
(i) by inserting ‘‘or a finding of the unauthorized 
redemption, use, transfer, acquisition, alteration, or 
possession of EBT cards’’ after ‘‘concern’’ the first place 
it appears; and 
(ii) by striking ‘‘civil money penalties’’ and 
inserting ‘‘civil penalties’’; and 
(E) by striking ‘‘civil money penalty’’ each place it 
appears and inserting ‘‘civil penalty’’; 
(3) in subsection (c)— 
(A) by striking ‘‘(c) The action’’ and inserting the fol-
lowing: 
‘‘(c) CIVIL PENALTY AND REVIEW OF DISQUALIFICATION AND PEN-
ALTY DETERMINATIONS.— 
‘‘(1) CIVIL PENALTY.—In addition to a disqualification under 
this section, the Secretary may assess a civil penalty in an 
amount not to exceed $100,000 for each violation. 
‘‘(2) REVIEW.—The action’’; and 
(B) in paragraph (2) (as designated by subparagraph 
(A)), by striking ‘‘civil money penalty’’ and inserting ‘‘civil 
penalty’’; 
(4) in subsection (d)— 
(A) by striking ‘‘(d)’’ and all that follows through ‘‘. 
The Secretary shall’’ and inserting the following: 
‘‘(d) CONDITIONS OF AUTHORIZATION.— 
‘‘(1) IN GENERAL.—As a condition of authorization to accept 
and redeem benefits, the Secretary may require a retail food 
store or wholesale food concern that, pursuant to subsection 
(a), has been disqualified for more than 180 days, or has been 
subjected to a civil penalty in lieu of a disqualification period 
of more than 180 days, to furnish a collateral bond or irrev-
ocable letter of credit for a period of not more than 5 years 
to cover the value of benefits that the store or concern may 
in the future accept and redeem in violation of this Act. 
‘‘(2) COLLATERAL.—The Secretary also may require a retail 
food store or wholesale food concern that has been sanctioned 
for a violation and incurs a subsequent sanction regardless 
of the length of the disqualification period to submit a collateral 
bond or irrevocable letter of credit. 
‘‘(3) BOND REQUIREMENTS.—The Secretary shall’’; 
(B) by striking ‘‘If the Secretary finds’’ and inserting 
the following 
‘‘(4) FORFEITURE.—If the Secretary finds’’; and 
(C) by striking ‘‘Such store or concern’’ and inserting 
the following: 
‘‘(5) HEARING.—A store or concern described in paragraph 
(4)’’; 
(5) in subsection (e), by striking ‘‘civil money penalty’’ each 
place it appears and inserting ‘‘civil penalty’’; and 
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122 STAT. 1116 
PUBLIC LAW 110–234—MAY 22, 2008 
(6) by adding at the end the following: 
‘‘(h) FLAGRANT VIOLATIONS.— 
‘‘(1) IN GENERAL.—The Secretary, in consultation with the 
Inspector General of the Department of Agriculture, shall estab-
lish procedures under which the processing of program benefit 
redemptions for a retail food store or wholesale food concern 
may be immediately suspended pending administrative action 
to disqualify the retail food store or wholesale food concern. 
‘‘(2) REQUIREMENTS.—Under the procedures described in 
paragraph (1), if the Secretary, in consultation with the 
Inspector General, determines that a retail food store or whole-
sale food concern is engaged in flagrant violations of this Act 
(including regulations promulgated under this Act), unsettled 
program benefits that have been redeemed by the retail food 
store or wholesale food concern— 
‘‘(A) may be suspended; and 
‘‘(B)(i) if the program disqualification is upheld, may 
be subject to forfeiture pursuant to section 15(g); or 
‘‘(ii) if the program disqualification is not upheld, shall 
be released to the retail food store or wholesale food con-
cern. 
‘‘(3) NO LIABILITY FOR INTEREST.—The Secretary shall not 
be liable for the value of any interest on funds suspended 
under this subsection.’’. 
SEC. 4133. MAJOR SYSTEMS FAILURES. 
Section 13(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2022(b)) is amended by adding at the end the following: 
‘‘(5) OVERISSUANCES CAUSED BY SYSTEMIC STATE ERRORS.— 
‘‘(A) IN GENERAL.—If the Secretary determines that 
a State agency overissued benefits to a substantial number 
of households in a fiscal year as a result of a major systemic 
error by the State agency, as defined by the Secretary, 
the Secretary may prohibit the State agency from collecting 
these overissuances from some or all households. 
‘‘(B) PROCEDURES.— 
‘‘(i) INFORMATION
REPORTING
BY
STATES.—Every 
State agency shall provide to the Secretary all informa-
tion requested by the Secretary concerning the issuance 
of benefits to households by the State agency in the 
applicable fiscal year. 
‘‘(ii) FINAL DETERMINATION.—After reviewing rel-
evant information provided by a State agency, the Sec-
retary shall make a final determination— 
‘‘(I) whether the State agency overissued bene-
fits to a substantial number of households as a 
result of a systemic error in the applicable fiscal 
year; and 
‘‘(II) as to the amount of the overissuance in 
the applicable fiscal year for which the State 
agency is liable. 
‘‘(iii) ESTABLISHING A CLAIM.—Upon determining 
under clause (ii) that a State agency has overissued 
benefits to households due to a major systemic error 
determined under subparagraph (A), the Secretary 
shall establish a claim against the State agency equal 
Procedures. 
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122 STAT. 1117 
PUBLIC LAW 110–234—MAY 22, 2008 
to the value of the overissuance caused by the systemic 
error. 
‘‘(iv) ADMINISTRATIVE
AND
JUDICIAL
REVIEW.— 
Administrative and judicial review, as provided in sec-
tion 14, shall apply to the final determinations by 
the Secretary under clause (ii). 
‘‘(v) REMISSION TO THE SECRETARY.— 
‘‘(I) DETERMINATION
NOT
APPEALED.—If the 
determination of the Secretary under clause (ii) 
is not appealed, the State agency shall, as soon 
as practicable, remit to the Secretary the dollar 
amount specified in the claim under clause (iii). 
‘‘(II) DETERMINATION APPEALED.—If the deter-
mination of the Secretary under clause (ii) is 
appealed, upon completion of administrative and 
judicial review under clause (iv), and a finding 
of liability on the part of the State, the appealing 
State agency shall, as soon as practicable, remit 
to the Secretary a dollar amount subject to the 
finding made in the administrative and judicial 
review. 
‘‘(vi) ALTERNATIVE METHOD OF COLLECTION.— 
‘‘(I) IN GENERAL.—If a State agency fails to 
make a payment under clause (v) within a reason-
able period of time, as determined by the Sec-
retary, the Secretary may reduce any amount due 
to the State agency under any other provision 
of this Act by the amount due. 
‘‘(II) ACCRUAL
OF
INTEREST.—During the 
period of time determined by the Secretary to be 
reasonable under subclause (I), interest in the 
amount owed shall not accrue. 
‘‘(vii) LIMITATION.—Any liability amount estab-
lished under section 16(c)(1)(C) shall be reduced by 
the amount of the claim established under this 
subparagraph.’’. 
PART V—MISCELLANEOUS 
SEC. 4141. PILOT PROJECTS TO EVALUATE HEALTH AND NUTRITION 
PROMOTION IN THE SUPPLEMENTAL NUTRITION ASSIST-
ANCE PROGRAM. 
Section 17 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2026) is amended by adding at the end the following: 
‘‘(k) PILOT PROJECTS
TO EVALUATE HEALTH
AND NUTRITION 
PROMOTION
IN
THE SUPPLEMENTAL NUTRITION ASSISTANCE PRO-
GRAM.— 
‘‘(1) IN GENERAL.—The Secretary shall carry out, under 
such terms and conditions as the Secretary considers to be 
appropriate, pilot projects to develop and test methods— 
‘‘(A) of using the supplemental nutrition assistance 
program to improve the dietary and health status of house-
holds eligible for or participating in the supplemental nutri-
tion assistance program; and 
‘‘(B) to reduce overweight, obesity (including childhood 
obesity), and associated co-morbidities in the United States. 
‘‘(2) GRANTS.— 
Applicability. 
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122 STAT. 1118 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) IN GENERAL.—In carrying out this subsection, the 
Secretary may enter into competitively awarded contracts 
or cooperative agreements with, or provide grants to, public 
or private organizations or agencies (as defined by the 
Secretary), for use in accordance with projects that meet 
the strategy goals of this subsection. 
‘‘(B) APPLICATION.—To be eligible to receive a contract, 
cooperative agreement, or grant under this paragraph, an 
organization shall submit to the Secretary an application 
at such time, in such manner, and containing such informa-
tion as the Secretary may require. 
‘‘(C) SELECTION CRITERIA.—Pilot projects shall be evalu-
ated against publicly disseminated criteria that may 
include— 
‘‘(i) identification of a low-income target audience 
that corresponds to individuals living in households 
with incomes at or below 185 percent of the poverty 
level; 
‘‘(ii) incorporation of a scientifically based strategy 
that is designed to improve diet quality through more 
healthful food purchases, preparation, or consumption; 
‘‘(iii) a commitment to a pilot project that allows 
for a rigorous outcome evaluation, including data 
collection; 
‘‘(iv) strategies to improve the nutritional value 
of food served during school hours and during after- 
school hours; 
‘‘(v) innovative ways to provide significant improve-
ment to the health and wellness of children; 
‘‘(vi) other criteria, as determined by the Secretary. 
‘‘(D) USE OF FUNDS.—Funds provided under this para-
graph shall not be used for any project that limits the 
use of benefits under this Act. 
‘‘(3) PROJECTS.—Pilot projects carried out under paragraph 
(1) may include projects to determine whether healthier food 
purchases by and healthier diets among households partici-
pating in the supplemental nutrition assistance program result 
from projects that— 
‘‘(A) increase the supplemental nutrition assistance 
purchasing power of the participating households by pro-
viding increased supplemental nutrition assistance pro-
gram benefit allotments to the participating households; 
‘‘(B) increase access to farmers markets by partici-
pating households through the electronic redemption of 
supplemental nutrition assistance program benefits at 
farmers’ markets; 
‘‘(C) provide incentives to authorized supplemental 
nutrition assistance program retailers to increase the avail-
ability of healthy foods to participating households; 
‘‘(D) subject authorized supplemental nutrition assist-
ance program retailers to stricter retailer requirements 
with respect to carrying and stocking healthful foods; 
‘‘(E) provide incentives at the point of purchase to 
encourage households participating in the supplemental 
nutrition assistance program to purchase fruits, vegetables, 
or other healthful foods; or 
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122 STAT. 1119 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(F) provide to participating households integrated 
communication and education programs, including the 
provision of funding for a portion of a school-based nutrition 
coordinator to implement a broad nutrition action plan 
and parent nutrition education programs in elementary 
schools, separately or in combination with pilot projects 
carried out under subparagraphs (A) through (E). 
‘‘(4) EVALUATION AND REPORTING.— 
‘‘(A) EVALUATION.— 
‘‘(i) INDEPENDENT EVALUATION.— 
‘‘(I) IN GENERAL.—The Secretary shall provide 
for an independent evaluation of projects selected 
under this subsection that measures the impact 
of the pilot program on health and nutrition as 
described in paragraph (1). 
‘‘(II) REQUIREMENT.—The independent evalua-
tion under subclause (I) shall use rigorous meth-
odologies, particularly random assignment or other 
methods that are capable of producing scientif-
ically valid information regarding which activities 
are effective. 
‘‘(ii) COSTS.—The Secretary may use funds pro-
vided to carry out this section to pay costs associated 
with monitoring and evaluating each pilot project. 
‘‘(B) REPORTING.—Not later than 90 days after the 
last day of fiscal year 2009 and each fiscal year thereafter 
until the completion of the last evaluation under subpara-
graph (A), 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 that includes a description of— 
‘‘(i) the status of each pilot project; 
‘‘(ii) the results of the evaluation completed during 
the previous fiscal year; and 
‘‘(iii) to the maximum extent practicable— 
‘‘(I) the impact of the pilot project on appro-
priate health, nutrition, and associated behavioral 
outcomes among households participating in the 
pilot project; 
‘‘(II) baseline information relevant to the 
stated goals and desired outcomes of the pilot 
project; and 
‘‘(III) equivalent information about similar or 
identical measures among control or comparison 
groups that did not participate in the pilot project. 
‘‘(C) PUBLIC
DISSEMINATION.—In addition to the 
reporting requirements under subparagraph (B), evaluation 
results shall be shared broadly to inform policy makers, 
service providers, other partners, and the public in order 
to promote wide use of successful strategies. 
‘‘(5) FUNDING.— 
‘‘(A) AUTHORIZATION
OF
APPROPRIATIONS.—There are 
authorized to be appropriated such sums as are necessary 
to carry out this section for each of fiscal years 2008 
through 2012. 
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122 STAT. 1120 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) MANDATORY FUNDING.—Out of any funds made 
available under section 18, on October 1, 2008, the Sec-
retary shall make available $20,000,000 to carry out a 
project described in paragraph (3)(E), to remain available 
until expended.’’. 
SEC. 4142. STUDY ON COMPARABLE ACCESS TO SUPPLEMENTAL 
NUTRITION ASSISTANCE FOR PUERTO RICO. 
(a) IN GENERAL.—The Secretary shall carry out a study of 
the feasibility and effects of including the Commonwealth of Puerto 
Rico in the definition of the term ‘‘State’’ under section 3 of the 
Food and Nutrition Act of 2008 (7 U.S.C. 2012), in lieu of providing 
block grants under section 19 of that Act (7 U.S.C. 2028). 
(b) INCLUSIONS.—The study shall include— 
(1) an assessment of the administrative, financial manage-
ment, and other changes that would be necessary for the 
Commonwealth to establish a comparable supplemental nutri-
tion assistance program, including compliance with appropriate 
program rules under the Food and Nutrition Act of 2008 (7 
U.S.C. 2011 et seq.), such as— 
(A) benefit levels under section 3(u) of that Act (7 
U.S.C. 2012(u)); 
(B) income eligibility standards under sections 5(c) and 
6 of that Act (7 U.S.C. 2014(c), 2015); and 
(C) deduction levels under section 5(e) of that Act 
(7 U.S.C. 2014(e)); 
(2) an estimate of the impact on Federal and Common-
wealth benefit and administrative costs; 
(3) an assessment of the impact of the program on low- 
income Puerto Ricans, as compared to the program under sec-
tion 19 of that Act (7 U.S.C. 2028); and 
(4) such other matters as the Secretary considers to be 
appropriate. 
(c) REPORT.—Not later than 2 years after the date of enactment 
of this Act, the Secretary shall submit to the Committee on Agri-
culture of the House of Representatives and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a report that 
describes the results of the study conducted under this section. 
(d) FUNDING.— 
(1) IN GENERAL.—On October 1, 2008, out of any funds 
in the Treasury not otherwise appropriated, the Secretary of 
the Treasury shall transfer to the Secretary to carry out this 
section $1,000,000, to remain available until expended. 
(2) RECEIPT AND ACCEPTANCE.—The Secretary shall be enti-
tled to receive, shall accept, and shall use to carry out this 
section the funds transferred under paragraph (1), without 
further appropriation. 
Subtitle B—Food Distribution Programs 
PART I—EMERGENCY FOOD ASSISTANCE 
PROGRAM 
SEC. 4201. EMERGENCY FOOD ASSISTANCE. 
(a) PURCHASE OF COMMODITIES.—Section 27(a) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2036(a)) is amended by – 
Transfer date. 
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122 STAT. 1121 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) by striking ‘‘(A) PURCHASE OF COMMODITIES’’ and all 
that follows through ‘‘$140,000,000 of’’ and inserting the fol-
lowing: 
‘‘(a) PURCHASE OF COMMODITIES.— 
‘‘(1) IN GENERAL.—From amounts made available to carry 
out this Act, for each of the fiscal years 2008 through 2012, 
the Secretary shall purchase a dollar amount described in para-
graph (2) of’’; and 
(2) by adding at the end the following: 
‘‘(2) AMOUNTS.—The Secretary shall use to carry out para-
graph (1)— 
‘‘(A) for fiscal year 2008, $190,000,000; 
‘‘(B) for fiscal year 2009, $250,000,000; and 
‘‘(C) for each of fiscal years 2010 through 2012, the 
dollar amount of commodities specified in subparagraph 
(B) adjusted by the percentage by which the thrifty food 
plan has been adjusted under section 3(u)(4) between June 
30, 2008, and June 30 of the immediately preceding fiscal 
year.’’. 
(b) STATE PLANS.—Section 202A of the Emergency Food Assist-
ance Act of 1983 (7 U.S.C. 7503) is amended by striking subsection 
(a) and inserting the following: 
‘‘(a) PLANS.— 
‘‘(1) IN GENERAL.—To receive commodities under this Act, 
a State shall submit to the Secretary an operation and adminis-
tration plan for the provision of benefits under this Act. 
‘‘(2) UPDATES.—A State shall submit to the Secretary for 
approval any amendment to a plan submitted under paragraph 
(1) in any case in which the State proposes to make a change 
to the operation or administration of a program described in 
the plan.’’. 
(c) AUTHORIZATION AND APPROPRIATIONS.—Section 204(a)(1) of 
the Emergency Food Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) 
is amended in the first sentence— 
(1) by striking ‘‘$60,000,000’’ and inserting ‘‘$100,000,000’’; 
and 
(2) by inserting ‘‘and donated wild game’’ before the period 
at the end. 
SEC. 4202. EMERGENCY FOOD PROGRAM INFRASTRUCTURE GRANTS. 
The Emergency Food Assistance Act of 1983 is amended by 
inserting after section 208 (7 U.S.C. 7511) the following: 
‘‘SEC. 209. EMERGENCY FOOD PROGRAM INFRASTRUCTURE GRANTS. 
‘‘(a) DEFINITION OF ELIGIBLE ENTITY.—In this section, the term 
‘eligible entity’ means an emergency feeding organization. 
‘‘(b) PROGRAM AUTHORIZED.— 
‘‘(1) IN
GENERAL.—The Secretary shall use funds made 
available under subsection (d) to make grants to eligible entities 
to pay the costs of an activity described in subsection (c). 
‘‘(2) RURAL PREFERENCE.—The Secretary shall use not less 
than 50 percent of the funds described in paragraph (1) for 
a fiscal year to make grants to eligible entities that serve 
predominantly rural communities for the purposes of— 
‘‘(A) expanding the capacity and infrastructure of food 
banks, State-wide food bank associations, and food bank 
collaboratives that operate in rural areas; and 
7 USC 7511a. 
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122 STAT. 1122 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) improving the capacity of the food banks to pro-
cure, receive, store, distribute, track, and deliver time- 
sensitive or perishable food products. 
‘‘(c) USE
OF FUNDS.—An eligible entity shall use a grant 
received under this section for any fiscal year to carry out activities 
of the eligible entity, including— 
‘‘(1) the development and maintenance of a computerized 
system for the tracking of time-sensitive food products; 
‘‘(2) capital, infrastructure, and operating costs associated 
with the collection, storage, distribution, and transportation 
of time-sensitive and perishable food products; 
‘‘(3) improving the security and diversity of the emergency 
food distribution and recovery systems of the United States 
through the support of small or mid-size farms and ranches, 
fisheries, and aquaculture, and donations from local food pro-
ducers and manufacturers to persons in need; 
‘‘(4) providing recovered foods to food banks and similar 
nonprofit emergency food providers to reduce hunger in the 
United States; 
‘‘(5) improving the identification of— 
‘‘(A) potential providers of donated foods; 
‘‘(B) potential nonprofit emergency food providers; and 
‘‘(C) persons in need of emergency food assistance in 
rural areas; and 
‘‘(6) constructing, expanding, or repairing a facility or equip-
ment to support hunger relief agencies in the community. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $15,000,000 for each 
of fiscal years 2008 through 2012.’’. 
PART II—FOOD DISTRIBUTION PROGRAM ON 
INDIAN RESERVATIONS 
SEC. 4211. ASSESSING THE NUTRITIONAL VALUE OF THE FDPIR FOOD 
PACKAGE. 
(a) IN GENERAL.—Section 4 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2013) is amended by striking subsection (b) 
and inserting the following: 
‘‘(b) FOOD DISTRIBUTION PROGRAM ON INDIAN RESERVATIONS.— 
‘‘(1) IN
GENERAL.—Distribution of commodities, with or 
without the supplemental nutrition assistance program, shall 
be made whenever a request for concurrent or separate food 
program operations, respectively, is made by a tribal organiza-
tion. 
‘‘(2) ADMINISTRATION.— 
‘‘(A) IN GENERAL.—Subject to subparagraphs (B) and 
(C), in the event of distribution on all or part of an Indian 
reservation, the appropriate agency of the State govern-
ment in the area involved shall be responsible for the 
distribution. 
‘‘(B) ADMINISTRATION BY TRIBAL ORGANIZATION.—If the 
Secretary determines that a tribal organization is capable 
of effectively and efficiently administering a distribution 
described in paragraph (1), then the tribal organization 
shall administer the distribution. 
‘‘(C) PROHIBITION.—The Secretary shall not approve 
any plan for a distribution described in paragraph (1) that 
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122 STAT. 1123 
PUBLIC LAW 110–234—MAY 22, 2008 
permits any household on any Indian reservation to partici-
pate simultaneously in the supplemental nutrition assist-
ance program and the program established under this sub-
section. 
‘‘(3) DISQUALIFIED PARTICIPANTS.—An individual who is dis-
qualified from participation in the food distribution program 
on Indian reservations under this subsection is not eligible 
to participate in the supplemental nutrition assistance program 
under this Act for a period of time to be determined by the 
Secretary. 
‘‘(4) ADMINISTRATIVE COSTS.—The Secretary is authorized 
to pay such amounts for administrative costs and distribution 
costs on Indian reservations as the Secretary finds necessary 
for effective administration of such distribution by a State 
agency or tribal organization. 
‘‘(5) BISON MEAT.—Subject to the availability of appropria-
tions to carry out this paragraph, the Secretary may purchase 
bison meat for recipients of food distributed under this sub-
section, including bison meat from— 
‘‘(A) Native American bison producers; and 
‘‘(B) producer–owned cooperatives of bison ranchers. 
‘‘(6) TRADITIONAL AND LOCALLY-GROWN FOOD FUND.— 
‘‘(A) IN GENERAL.—Subject to the availability of appro-
priations, the Secretary shall establish a fund for use in 
purchasing traditional and locally-grown foods for recipi-
ents of food distributed under this subsection. 
‘‘(B) NATIVE
AMERICAN
PRODUCERS.—Where prac-
ticable, of the food provided under subparagraph (A), at 
least 50 percent shall be produced by Native American 
farmers, ranchers, and producers. 
‘‘(C) 
DEFINITION
OF
TRADITIONAL
AND
LOCALLY 
GROWN.—The Secretary shall determine the definition of 
the term ‘traditional and locally-grown’ with respect to 
food distributed under this paragraph. 
‘‘(D) SURVEY.—In carrying out this paragraph, the Sec-
retary shall— 
‘‘(i) survey participants of the food distribution pro-
gram on Indian reservations established under this 
subsection to determine which traditional foods are 
most desired by those participants; and 
‘‘(ii) purchase or offer to purchase those traditional 
foods that may be procured cost-effectively. 
‘‘(E) REPORT.—Not later than 1 year after the date 
of enactment of this paragraph, and annually thereafter, 
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 activities carried out under this paragraph 
during the preceding calendar year. 
‘‘(F) AUTHORIZATION
OF
APPROPRIATIONS.—There is 
authorized to be appropriated to the Secretary to carry 
out this paragraph $5,000,000 for each of fiscal years 2008 
through 2012.’’. 
(b) FDPIR FOOD PACKAGE.—Not later than 180 days after 
the date of enactment of this Act, the Secretary shall submit to 
the Committee on Agriculture of the House of Representatives 
Deadline. 
Reports. 
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122 STAT. 1124 
PUBLIC LAW 110–234—MAY 22, 2008 
and the Committee on Agriculture, Nutrition, and Forestry of the 
Senate a report that describes— 
(1) how the Secretary derives the process for determining 
the food package under the food distribution program on Indian 
reservations established under section 4(b) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2013(b)) (referred to in this 
subsection as the ‘‘food package’’); 
(2) the extent to which the food package— 
(A) addresses the nutritional needs of low-income 
Native Americans compared to the supplemental nutrition 
assistance program, particularly for very low-income house-
holds; 
(B) conforms (or fails to conform) to the 2005 Dietary 
Guidelines for Americans published under section 301 of 
the National Nutrition Monitoring and Related Research 
Act of 1990 (7 U.S.C. 5341); 
(C) addresses (or fails to address) the nutritional and 
health challenges that are specific to Native Americans; 
and 
(D) is limited by distribution costs or challenges in 
infrastructure; and 
(3)(A) any plans of the Secretary to revise and update 
the food package to conform with the most recent Dietary 
Guidelines for Americans, including any costs associated with 
the planned changes; or 
(B) if the Secretary does not plan changes to the food 
package, the rationale of the Secretary for retaining the food 
package. 
PART III—COMMODITY SUPPLEMENTAL FOOD 
PROGRAM 
SEC. 4221. COMMODITY SUPPLEMENTAL FOOD PROGRAM. 
Section 5 of the Agriculture and Consumer Protection Act of 
1973 (7 U.S.C. 612c note; Public Law 93–86) is amended by striking 
subsection (g) and inserting the following: 
‘‘(g) PROHIBITION.—Notwithstanding any other provision of law 
(including regulations), the Secretary may not require a State or 
local agency to prioritize assistance to a particular group of individ-
uals that are— 
‘‘(1) low-income persons aged 60 and older; or 
‘‘(2) women, infants, and children.’’. 
PART IV—SENIOR FARMERS’ MARKET 
NUTRITION PROGRAM 
SEC. 4231. SENIORS FARMERS’ MARKET NUTRITION PROGRAM. 
Section 4402 of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 3007) is amended— 
(1) in subsection (b)(1), by inserting ‘‘honey,’’ after ‘‘vegeta-
bles,’’; 
(2) by striking subsection (c) and inserting the following: 
‘‘(c) EXCLUSION OF BENEFITS IN DETERMINING ELIGIBILITY FOR 
OTHER PROGRAMS.—The value of any benefit provided to any eligible 
seniors farmers’ market nutrition program recipient under this 
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122 STAT. 1125 
PUBLIC LAW 110–234—MAY 22, 2008 
section shall not be considered to be income or resources for any 
purposes under any Federal, State, or local law.’’; and 
(3) by adding at the end the following: 
‘‘(d) PROHIBITION ON COLLECTION OF SALES TAX.—Each State 
shall ensure that no State or local tax is collected within the 
State on a purchase of food with a benefit distributed under the 
seniors farmers’ market nutrition program. 
‘‘(e) REGULATIONS.—The Secretary may promulgate such regula-
tions as the Secretary considers to be necessary to carry out the 
seniors farmers’ market nutrition program.’’. 
Subtitle C—Child Nutrition and Related 
Programs 
SEC. 
4301. 
STATE 
PERFORMANCE 
ON 
ENROLLING 
CHILDREN 
RECEIVING PROGRAM BENEFITS FOR FREE SCHOOL 
MEALS. 
(a) IN GENERAL.—Not later than December 31, 2008 and June 
30 of each year thereafter, the Secretary shall submit to the 
Committees on Agriculture and Education and Labor of the House 
of Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate a report that assesses the effectiveness 
of each State in enrolling school-aged children in households 
receiving program benefits under the Food and Nutrition Act of 
2008 (7 U.S.C. 2011 et seq.) (referred to in this section as ‘‘program 
benefits’’) for free school meals using direct certification. 
(b) SPECIFIC MEASURES.—The assessment of the Secretary of 
the performance of each State shall include— 
(1) an estimate of the number of school-aged children, 
by State, who were members of a household receiving program 
benefits at any time in July, August, or September of the 
prior year; 
(2) an estimate of the number of school-aged children, 
by State, who were directly certified as eligible for free lunches 
under the Richard B. Russell National School Lunch Act (42 
U.S.C. 1751 et seq.), based on receipt of program benefits, 
as of October 1 of the prior year; and 
(3) an estimate of the number of school-aged children, 
by State, who were members of a household receiving program 
benefits at any time in July, August, or September of the 
prior year who were not candidates for direct certification 
because on October 1 of the prior year the children attended 
a school operating under the special assistance provisions of 
section 11(a)(1) of the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1759a(a)(1)) that is not operating in a base 
year. 
(c) PERFORMANCE INNOVATIONS.—The report of the Secretary 
shall describe best practices from States with the best performance 
or the most improved performance from the previous year. 
SEC. 4302. PURCHASES OF LOCALLY PRODUCED FOODS. 
Section 9(j) of the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1758(j)) is amended to read as follows: 
‘‘(j) PURCHASES OF LOCALLY PRODUCED FOODS.—The Secretary 
shall— 
Deadline. 
Reports. 
42 USC 1758a. 
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122 STAT. 1126 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) encourage institutions receiving funds under this Act 
and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) 
to purchase unprocessed agricultural products, both locally 
grown and locally raised, to the maximum extent practicable 
and appropriate; 
‘‘(2) advise institutions participating in a program described 
in paragraph (1) of the policy described in that paragraph 
and paragraph (3) and post information concerning the policy 
on the website maintained by the Secretary; and 
‘‘(3) allow institutions receiving funds under this Act and 
the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.), 
including the Department of Defense Fresh Fruit and Vegetable 
Program, to use a geographic preference for the procurement 
of unprocessed agricultural products, both locally grown and 
locally raised.’’. 
SEC. 
4303. 
HEALTHY 
FOOD 
EDUCATION 
AND 
PROGRAM 
REPLICABILITY. 
Section 18(h) of the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1769(h)) is amended— 
(1) in paragraph (1)(C), by inserting ‘‘promotes healthy 
food education in the school curriculum and’’ before ‘‘incor-
porates’’; 
(2) by redesignating paragraph (2) as paragraph (4); and 
(3) by inserting after paragraph (1) the following: 
‘‘(2) ADMINISTRATION.—In providing grants under para-
graph (1), the Secretary shall give priority to projects that 
can be replicated in schools. 
‘‘(3) PILOT PROGRAM FOR HIGH-POVERTY SCHOOLS.— 
‘‘(A) DEFINITIONS.—In this paragraph: 
‘‘(i) ELIGIBLE
PROGRAM.—The term ‘eligible pro-
gram’ means— 
‘‘(I) a school-based program with hands-on 
vegetable gardening and nutrition education that 
is incorporated into the curriculum for 1 or more 
grades at 2 or more eligible schools; or 
‘‘(II) a community-based summer program 
with hands-on vegetable gardening and nutrition 
education that is part of, or coordinated with, a 
summer enrichment program at 2 or more eligible 
schools. 
‘‘(ii) ELIGIBLE SCHOOL.—The term ‘eligible school’ 
means a public school, at least 50 percent of the stu-
dents of which are eligible for free or reduced price 
meals under this Act. 
‘‘(B) ESTABLISHMENT.—The Secretary shall carry out 
a pilot program under which the Secretary shall provide 
to nonprofit organizations or public entities in not more 
than 5 States grants to develop and run, through eligible 
programs, community gardens at eligible schools in the 
States that would— 
‘‘(i) be planted, cared for, and harvested by stu-
dents at the eligible schools; and 
‘‘(ii) teach the students participating in the commu-
nity gardens about agriculture production practices and 
diet. 
Web site. 
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122 STAT. 1127 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) PRIORITY STATES.—Of the States in which grantees 
under this paragraph are located— 
‘‘(i) at least 1 State shall be among the 15 largest 
States, as determined by the Secretary; 
‘‘(ii) at least 1 State shall be among the 16th 
to 30th largest States, as determined by the Secretary; 
and 
‘‘(iii) at least 1 State shall be a State that is 
not described in clause (i) or (ii). 
‘‘(D) USE
OF
PRODUCE.—Produce from a community 
garden provided a grant under this paragraph may be— 
‘‘(i) used to supplement food provided at the eligible 
school; 
‘‘(ii) distributed to students to bring home to the 
families of the students; or 
‘‘(iii) donated to a local food bank or senior center 
nutrition program. 
‘‘(E) NO
COST-SHARING
REQUIREMENT.—A nonprofit 
organization or public entity that receives a grant under 
this paragraph shall not be required to share the cost 
of carrying out the activities assisted under this paragraph. 
‘‘(F) EVALUATION.—A nonprofit organization or public 
entity that receives a grant under this paragraph shall 
be required to cooperate in an evaluation in accordance 
with paragraph (1)(H).’’. 
SEC. 4304. FRESH FRUIT AND VEGETABLE PROGRAM. 
(a) PROGRAM.— 
(1) IN GENERAL.—The Richard B. Russell National School 
Lunch Act is amended by inserting after section 18 (42 U.S.C. 
1769) the following: 
‘‘SEC. 19. FRESH FRUIT AND VEGETABLE PROGRAM. 
‘‘(a) IN GENERAL.—For the school year beginning July 2008 
and each subsequent school year, the Secretary shall provide grants 
to States to carry out a program to make free fresh fruits and 
vegetables available in elementary schools (referred to in this sec-
tion as the ‘program’). 
‘‘(b) PROGRAM.—A school participating in the program shall 
make free fresh fruits and vegetables available to students through-
out the school day (or at such other times as are considered appro-
priate by the Secretary) in 1 or more areas designated by the 
school. 
‘‘(c) FUNDING TO STATES.— 
‘‘(1) MINIMUM GRANT.—Except as provided in subsection 
(i)(2), the Secretary shall provide to each of the 50 States 
and the District of Columbia an annual grant in an amount 
equal to 1 percent of the funds made available for a year 
to carry out the program. 
‘‘(2) ADDITIONAL FUNDING.—Of the funds remaining after 
grants are made under paragraph (1), the Secretary shall allo-
cate additional funds to each State that is operating a school 
lunch program under section 4 based on the proportion that— 
‘‘(A) the population of the State; bears to 
‘‘(B) the population of the United States. 
‘‘(d) SELECTION OF SCHOOLS.— 
Grants. 
42 USC 1769a. 
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122 STAT. 1128 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN
GENERAL.—Except as provided in paragraph (2) 
of this subsection and section 4304(a)(2) of the Food, Conserva-
tion, and Energy Act of 2008, each year, in selecting schools 
to participate in the program, each State shall— 
‘‘(A) ensure that each school chosen to participate in 
the program is a school— 
‘‘(i) in which not less than 50 percent of the stu-
dents are eligible for free or reduced price meals under 
this Act; and 
‘‘(ii) that submits an application in accordance with 
subparagraph (D); 
‘‘(B) to the maximum extent practicable, give the 
highest priority to schools with the highest proportion of 
children who are eligible for free or reduced price meals 
under this Act; 
‘‘(C) ensure that each school selected is an elementary 
school (as defined in section 9101 of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 7801)); 
‘‘(D) solicit applications from interested schools that 
include— 
‘‘(i) information pertaining to the percentage of 
students enrolled in the school submitting the applica-
tion who are eligible for free or reduced price school 
lunches under this Act; 
‘‘(ii) a certification of support for participation in 
the program signed by the school food manager, the 
school principal, and the district superintendent (or 
equivalent positions, as determined by the school); 
‘‘(iii) a plan for implementation of the program, 
including efforts to integrate activities carried out 
under this section with other efforts to promote sound 
health and nutrition, reduce overweight and obesity, 
or promote physical activity; and 
‘‘(iv) such other information as may be requested 
by the Secretary; and 
‘‘(E) encourage applicants to submit a plan for 
implementation of the program that includes a partnership 
with 1 or more entities that will provide non-Federal 
resources (including entities representing the fruit and 
vegetable industry). 
‘‘(2) EXCEPTION.—Clause (i) of paragraph (1)(A) shall not 
apply to a State if all schools that meet the requirements 
of that clause have been selected and the State does not have 
a sufficient number of additional schools that meet the require-
ment of that clause. 
‘‘(3) OUTREACH TO LOW-INCOME SCHOOLS.— 
‘‘(A) IN GENERAL.—Prior to making decisions regarding 
school participation in the program, a State agency shall 
inform the schools within the State with the highest propor-
tion of free and reduced price meal eligibility, including 
Native American schools, of the eligibility of the schools 
for the program with respect to priority granted to schools 
with the highest proportion of free and reduced price eligi-
bility under paragraph (1)(B). 
‘‘(B) 
REQUIREMENT.—In 
providing 
information 
to 
schools in accordance with subparagraph (A), a State 
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122 STAT. 1129 
PUBLIC LAW 110–234—MAY 22, 2008 
agency shall inform the schools that would likely be chosen 
to participate in the program under paragraph (1)(B). 
‘‘(e) NOTICE OF AVAILABILITY.—If selected to participate in the 
program, a school shall widely publicize within the school the avail-
ability of free fresh fruits and vegetables under the program. 
‘‘(f) PER-STUDENT GRANT.—The per-student grant provided to 
a school under this section shall be— 
‘‘(1) determined by a State agency; and 
‘‘(2) not less than $50, nor more than $75. 
‘‘(g) LIMITATION.—To the maximum extent practicable, each 
State agency shall ensure that in making the fruits and vegetables 
provided under this section available to students, schools offer 
the fruits and vegetables separately from meals otherwise provided 
at the school under this Act or the Child Nutrition Act of 1966 
(42 U.S.C. 1771 et seq.). 
‘‘(h) EVALUATION AND REPORTS.— 
‘‘(1) IN GENERAL.—The Secretary shall conduct an evalua-
tion of the program, including a determination as to whether 
children experienced, as a result of participating in the pro-
gram— 
‘‘(A) increased consumption of fruits and vegetables; 
‘‘(B) other dietary changes, such as decreased consump-
tion of less nutritious foods; and 
‘‘(C) such other outcomes as are considered appropriate 
by the Secretary. 
‘‘(2) REPORT.—Not later than September 30, 2011, the Sec-
retary shall submit to the Committee on Education and Labor 
of the House of Representatives and the Committee on Agri-
culture, Nutrition, and Forestry of the Senate a report that 
describes the results of the evaluation under paragraph (1). 
‘‘(i) FUNDING.— 
‘‘(1) IN GENERAL.—Out of the funds made available under 
subsection (b)(2)(A) of section 14222 of the Food, Conservation, 
and Energy Act of 2008, the Secretary shall use the following 
amounts to carry out this section: 
‘‘(A) On October 1, 2008, $40,000,000. 
‘‘(B) On July 1, 2009, $65,000,000. 
‘‘(C) On July 1, 2010, $101,000,000. 
‘‘(D) On July 1, 2011, $150,000,000. 
‘‘(E) On July 1, 2012, and each July 1 thereafter, 
the amount made available for the preceding fiscal year, 
as adjusted to reflect changes for the 12-month period 
ending the preceding April 30 in the Consumer Price Index 
for All Urban Consumers published by the Bureau of Labor 
Statistics of the Department of Labor, for items other than 
food. 
‘‘(2) MAINTENANCE
OF
EXISTING
FUNDING.—In allocating 
funding made available under paragraph (1) among the States 
in accordance with subsection (c), the Secretary shall ensure 
that each State that received funding under section 18(f) on 
the day before the date of enactment of the Food, Conservation, 
and Energy Act of 2008 shall continue to receive sufficient 
funding under this section to maintain the caseload level of 
the State under that section as in effect on that date. 
‘‘(3) EVALUATION
FUNDING.—On October 1, 2008, out of 
any funds made available under subsection (b)(2)(A) of section 
14222 of the Food, Conservation, and Energy Act of 2008, 
Effective date. 
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122 STAT. 1130 
PUBLIC LAW 110–234—MAY 22, 2008 
the Secretary shall use to carry out the evaluation required 
under subsection (h), $3,000,000, to remain available for obliga-
tion until September 30, 2010. 
‘‘(4) RECEIPT
AND
ACCEPTANCE.—The Secretary shall be 
entitled to receive, shall accept, and shall use to carry out 
this section any funds transferred for that purpose, without 
further appropriation. 
‘‘(5) AUTHORIZATION
OF
APPROPRIATIONS.—In addition to 
any other amounts made available to carry out this section, 
there are authorized to be appropriated such sums as are 
necessary to expand the program established under this section. 
‘‘(6) ADMINISTRATIVE COSTS.— 
‘‘(A) IN GENERAL.—Of funds made available to carry 
out this section for a fiscal year, the Secretary may use 
not more than $500,000 for the administrative costs of 
carrying out the program. 
‘‘(B) RESERVATION
OF
FUNDS.—The Secretary shall 
allow each State to reserve such funding as the Secretary 
determines to be necessary to administer the program in 
the State (with adjustments for the size of the State and 
the grant amount), but not to exceed the amount required 
to pay the costs of 1 full-time coordinator for the program 
in the State. 
‘‘(7) REALLOCATION.— 
‘‘(A) AMONG STATES.—The Secretary may reallocate any 
amounts made available to carry out this section that are 
not obligated or expended by a date determined by the 
Secretary. 
‘‘(B) WITHIN STATES.—A State that receives a grant 
under this section may reallocate any amounts made avail-
able under the grant that are not obligated or expended 
by a date determined by the Secretary.’’. 
(2) TRANSITION OF EXISTING SCHOOLS.— 
(A) EXISTING SECONDARY SCHOOLS.—Section 19(d)(1)(C) 
of the Richard B. Russell National School Lunch Act (as 
amended by paragraph (1)) may be waived by a State 
until July 1, 2010, for each secondary school in the State 
that has been awarded funding under section 18(f) of that 
Act (42 U.S.C. 1769(f)) for the school year beginning July 
1, 2008. 
(B) SCHOOL YEAR BEGINNING JULY 1, 2008.—To facilitate 
transition from the program authorized under section 18(f) 
of the Richard B. Russell National School Lunch Act (42 
U.S.C. 1769(f)) (as in effect on the day before the date 
of enactment of this Act) to the program established under 
section 19 of that Act (as amended by paragraph (1))— 
(i) for the school year beginning July 1, 2008, 
the Secretary may permit any school selected for 
participation under section 18(f) of that Act (42 U.S.C. 
1769(f)) for that school year to continue to participate 
under section 19 of that Act until the end of that 
school year; and 
(ii) funds made available under that Act for fiscal 
year 2009 may be used to support the participation 
of any schools selected to participate in the program 
authorized under section 18(f) of that Act (42 U.S.C. 
42 USC 1769a 
note. 
Waiver authority. 
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122 STAT. 1131 
PUBLIC LAW 110–234—MAY 22, 2008 
1769(f)) (as in effect on the day before the date of 
enactment of this Act). 
(b) CONFORMING AMENDMENTS.—Section 18 of the Richard B. 
Russell National School Lunch Act (42 U.S.C. 1769) is amended— 
(1) by striking subsection (f); and 
(2) by redesignating subsections (g) through (j) as sub-
sections (f) through (i), respectively. 
SEC. 4305. WHOLE GRAIN PRODUCTS. 
(a) PURPOSE.—The purpose of this section is to encourage 
greater awareness and interest in the number and variety of whole 
grain products available to schoolchildren, as recommended by the 
2005 Dietary Guidelines for Americans. 
(b) DEFINITION OF ELIGIBLE WHOLE GRAINS AND WHOLE GRAIN 
PRODUCTS.—In this section, the terms ‘‘whole grains’’ and ‘‘whole 
grain products’’ have the meaning given the terms by the Food 
and Nutrition Service in the HealthierUS School Challenge. 
(c) PURCHASE OF WHOLE GRAINS AND WHOLE GRAIN PROD-
UCTS.—In addition to the commodities delivered under section 6 
of the Richard B. Russell National School Lunch Act (42 U.S.C. 
1755), the Secretary shall purchase whole grains and whole grain 
products for use in— 
(1) the school lunch program established under the Richard 
B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.); 
and 
(2) the school breakfast program established by section 
4 of the Child Nutrition Act of 1966 (42 U.S.C. 1773). 
(d) EVALUATION.—Not later than September 30, 2011, the Sec-
retary shall conduct an evaluation of the activities conducted under 
subsection (c) that includes— 
(1) an evaluation of whether children participating in the 
school lunch and breakfast programs increased their consump-
tion of whole grains; 
(2) an evaluation of which whole grains and whole grain 
products are most acceptable for use in the school lunch and 
breakfast programs; 
(3) any recommendations of the Secretary regarding the 
integration of whole grain products in the school lunch and 
breakfast programs; and 
(4) an evaluation of any other outcomes determined to 
be appropriate by the Secretary. 
(e) REPORT.—As soon as practicable after the completion of 
the evaluation under subsection (d), the Secretary shall submit 
to the Committee on Agriculture, Nutrition, and Forestry of the 
Senate and the Committee on Education and Labor of the House 
of Representative a report describing the results of the evaluation. 
SEC. 4306. BUY AMERICAN REQUIREMENTS. 
(a) FINDINGS.—The Congress finds the following: 
(1) Federal law requires that commodities and products 
purchased with Federal funds be, to the extent practicable, 
of domestic origin. 
(2) Federal Buy American statutory requirements seek to 
ensure that purchases made with Federal funds benefit 
domestic producers. 
(3) The Richard B. Russell National School Lunch Act 
(42 U.S.C. 1751 et seq.) requires the use of domestic food 
7 USC 2208 note. 
Deadline. 
42 USC 1755a. 
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122 STAT. 1132 
PUBLIC LAW 110–234—MAY 22, 2008 
products for all meals served under the program, including 
food products purchased with local funds. 
(b) BUY AMERICAN STATUTORY REQUIREMENTS.—The Depart-
ment of Agriculture should undertake training, guidance, and 
enforcement of the various current Buy American statutory require-
ments and regulations, including those of the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1751 et seq.). 
SEC. 4307. SURVEY OF FOODS PURCHASED BY SCHOOL FOOD AUTHORI-
TIES. 
(a) IN GENERAL.—For fiscal year 2009, the Secretary shall 
carry out a nationally representative survey of the foods purchased 
during the most recent school year for which data is available 
by school authorities participating in the school lunch program 
established under the Richard B. Russell National School Lunch 
Act (42 U.S.C. 1751 et seq.). 
(b) REPORT.— 
(1) IN GENERAL.—On completion of the survey, the Sec-
retary shall submit to the Committees on Agriculture and Edu-
cation and Labor of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the 
Senate a report that describes the results of the survey. 
(2) INTERIM REQUIREMENT.—If the initial report required 
under paragraph (1) is not submitted to the Committees 
referred to in that paragraph by June 30, 2009, the Secretary 
shall submit to the Committees an interim report that describes 
the relevant survey data, or a sample of such data, available 
to the Secretary as of that date. 
(c) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary shall use to carry out this section not more 
than $3,000,000. 
Subtitle D—Miscellaneous 
SEC. 4401. BILL EMERSON NATIONAL HUNGER FELLOWS AND MICKEY 
LELAND INTERNATIONAL HUNGER FELLOWS. 
Section 4404 of the Farm Security and Rural Investment Act 
of 2002 (2 U.S.C. 1161) is amended to read as follows: 
‘‘SEC. 4404. BILL EMERSON NATIONAL HUNGER FELLOWS AND MICKEY 
LELAND INTERNATIONAL HUNGER FELLOWS. 
‘‘(a) SHORT TITLE.—This section may be cited as the ‘Bill 
Emerson National Hunger Fellows and Mickey Leland International 
Hunger Fellows Program Act of 2008’. 
‘‘(b) DEFINITIONS.—In this subsection: 
‘‘(1) DIRECTOR.—The term ‘Director’ means the head of 
the Congressional Hunger Center. 
‘‘(2) FELLOW.—The term ‘fellow’ means— 
‘‘(A) a Bill Emerson Hunger Fellow; or 
‘‘(B) Mickey Leland Hunger Fellow. 
‘‘(3) FELLOWSHIP
PROGRAMS.—The term ‘Fellowship Pro-
grams’ means the Bill Emerson National Hunger Fellowship 
Program and the Mickey Leland International Hunger Fellow-
ship Program established under subsection (c)(1). 
‘‘(c) FELLOWSHIP PROGRAMS.— 
Bill Emerson 
National Hunger 
Fellows and 
Mickey Leland 
International 
Hunger Fellows 
Program Act 
of 2008. 
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122 STAT. 1133 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN GENERAL.—There is established the Bill Emerson 
National Hunger Fellowship Program and the Mickey Leland 
International Hunger Fellowship Program. 
‘‘(2) PURPOSES.— 
‘‘(A) IN GENERAL.—The purposes of the Fellowship Pro-
grams are— 
‘‘(i) to encourage future leaders of the United 
States— 
‘‘(I) to pursue careers in humanitarian and 
public service; 
‘‘(II) to recognize the needs of low-income 
people and hungry people; 
‘‘(III) to provide assistance to people in need; 
and 
‘‘(IV) to seek public policy solutions to the 
challenges of hunger and poverty; 
‘‘(ii) 
to 
provide 
training 
and 
development 
opportunities for such leaders through placement in 
programs operated by appropriate organizations or 
entities; and 
‘‘(iii) to increase awareness of the importance of 
public service. 
‘‘(B) BILL EMERSON HUNGER FELLOWSHIP PROGRAM.— 
The purpose of the Bill Emerson Hunger Fellowship Pro-
gram is to address hunger and poverty in the United States. 
‘‘(C) MICKEY LELAND HUNGER FELLOWSHIP PROGRAM.— 
The purpose of the Mickey Leland Hunger Fellowship Pro-
gram is to address international hunger and other humani-
tarian needs. 
‘‘(3) ADMINISTRATION.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
Secretary shall offer to provide a grant to the Congressional 
Hunger Center to administer the Fellowship Programs. 
‘‘(B) TERMS OF GRANT.—The terms of the grant pro-
vided under subparagraph (A), including the length of the 
grant and provisions for the alteration or termination of 
the grant, shall be determined by the Secretary in accord-
ance with this section. 
‘‘(d) FELLOWSHIPS.— 
‘‘(1) IN GENERAL.—The Director shall make available Bill 
Emerson Hunger Fellowships and Mickey Leland Hunger 
Fellowships in accordance with this subsection. 
‘‘(2) CURRICULUM.— 
‘‘(A) IN GENERAL.—The Fellowship Programs shall pro-
vide experience and training to develop the skills necessary 
to train fellows to carry out the purposes described in 
subsection (c)(2), including— 
‘‘(i) training in direct service programs for the 
hungry and other anti-hunger programs in conjunction 
with community-based organizations through a pro-
gram of field placement; and 
‘‘(ii) providing experience in policy development 
through placement in a governmental entity or non-
governmental, nonprofit, or private sector organization. 
‘‘(B) WORK PLAN.—To carry out subparagraph (A) and 
assist in the evaluation of the fellowships under paragraph 
(6), the Director shall, for each fellow, approve a work 
Grants. 
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122 STAT. 1134 
PUBLIC LAW 110–234—MAY 22, 2008 
plan that identifies the target objectives for the fellow 
in the fellowship, including specific duties and responsibil-
ities relating to those objectives. 
‘‘(3) PERIOD OF FELLOWSHIP.— 
‘‘(A) BILL EMERSON HUNGER FELLOW.—A Bill Emerson 
Hunger Fellowship awarded under this section shall be 
for not more than 15 months. 
‘‘(B) MICKEY
LELAND
HUNGER
FELLOW.—A Mickey 
Leland Hunger Fellowship awarded under this section shall 
be for not more than 2 years. 
‘‘(4) SELECTION OF FELLOWS.— 
‘‘(A) IN GENERAL.—Fellowships shall be awarded pursu-
ant to a nationwide competition established by the Director. 
‘‘(B) QUALIFICATIONS.—A successful program applicant 
shall be an individual who has demonstrated— 
‘‘(i) an intent to pursue a career in humanitarian 
services and outstanding potential for such a career; 
‘‘(ii) leadership potential or actual leadership 
experience; 
‘‘(iii) diverse life experience; 
‘‘(iv) proficient writing and speaking skills; 
‘‘(v) an ability to live in poor or diverse commu-
nities; and 
‘‘(vi) such other attributes as are considered to 
be appropriate by the Director. 
‘‘(5) AMOUNT OF AWARD.— 
‘‘(A) IN GENERAL.—A fellow shall receive— 
‘‘(i) a living allowance during the term of the 
Fellowship; and 
‘‘(ii) subject to subparagraph (B), an end-of-service 
award. 
‘‘(B) REQUIREMENT
FOR
SUCCESSFUL
COMPLETION
OF 
FELLOWSHIP.—Each fellow shall be entitled to receive an 
end-of-service award at an appropriate rate for each month 
of satisfactory service completed, as determined by the 
Director. 
‘‘(C) TERMS
OF
FELLOWSHIP.—A fellow shall not be 
considered an employee of— 
‘‘(i) the Department of Agriculture; 
‘‘(ii) the Congressional Hunger Center; or 
‘‘(iii) a host agency in the field or policy placement 
of the fellow. 
‘‘(D) RECOGNITION OF FELLOWSHIP AWARD.— 
‘‘(i) EMERSON FELLOW.—An individual awarded a 
fellowship from the Bill Emerson Hunger Fellowship 
shall be known as an ‘Emerson Fellow’. 
‘‘(ii) LELAND FELLOW.—An individual awarded a 
fellowship from the Mickey Leland Hunger Fellowship 
shall be known as a ‘Leland Fellow’. 
‘‘(6) EVALUATIONS
AND
AUDITS.—Under terms stipulated 
in the contract entered into under subsection (c)(3), the Director 
shall— 
‘‘(A) conduct periodic evaluations of the Fellowship Pro-
grams; and 
‘‘(B) arrange for annual independent financial audits 
of expenditures under the Fellowship Programs. 
‘‘(e) AUTHORITY.— 
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122 STAT. 1135 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN GENERAL.—Subject to paragraph (2), in carrying 
out this section, the Director may solicit, accept, use, and 
dispose of gifts, bequests, or devises of services or property, 
both real and personal, for the purpose of facilitating the work 
of the Fellowship Programs. 
‘‘(2) LIMITATION.—Gifts, bequests, or devises of money and 
proceeds from sales of other property received as gifts, bequests, 
or devises shall be used exclusively for the purposes of the 
Fellowship Programs. 
‘‘(f) REPORT.—The Director shall annually submit to the Sec-
retary of Agriculture, the Committee on Agriculture of the House 
of Representatives, and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate a report that— 
‘‘(1) describes the activities and expenditures of the Fellow-
ship Programs during the preceding fiscal year, including 
expenditures made from funds made available under subsection 
(g); and 
‘‘(2) includes the results of evaluations and audits required 
by subsection (d). 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to the Secretary such sums as are necessary 
to carry out this section, to remain available until expended.’’. 
SEC. 4402. ASSISTANCE FOR COMMUNITY FOOD PROJECTS. 
Section 25 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2034) is amended— 
(1) by striking subsection (a) and inserting the following: 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) COMMUNITY FOOD PROJECT.—In this section, the term 
‘community food project’ means a community-based project 
that— 
‘‘(A) requires a 1-time contribution of Federal assist-
ance to become self-sustaining; and 
‘‘(B) is designed— 
‘‘(i)(I) to meet the food needs of low-income individ-
uals; 
‘‘(II) to increase the self-reliance of communities 
in providing for the food needs of the communities; 
and 
‘‘(III) to promote comprehensive responses to local 
food, farm, and nutrition issues; or 
‘‘(ii) to meet specific State, local, or neighborhood 
food and agricultural needs, including needs relating 
to— 
‘‘(I) infrastructure improvement and develop-
ment; 
‘‘(II) planning for long-term solutions; or 
‘‘(III) the creation of innovative marketing 
activities that mutually benefit agricultural pro-
ducers and low-income consumers. 
‘‘(2) CENTER.—The term ‘Center’ means the healthy urban 
food enterprise development center established under sub-
section (h). 
‘‘(3) UNDERSERVED
COMMUNITY.—The term ‘underserved 
community’ means a community (including an urban or rural 
community or an Indian tribe) that, as determined by the 
Secretary, has— 
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122 STAT. 1136 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) limited access to affordable, healthy foods, 
including fresh fruits and vegetables; 
‘‘(B) a high incidence of a diet-related disease (including 
obesity) as compared to the national average; 
‘‘(C) a high rate of hunger or food insecurity; or 
‘‘(D) severe or persistent poverty.’’; 
(2) by redesignating subsection (h) as subsection (i); and 
(3) by inserting after subsection (g) the following: 
‘‘(h) 
HEALTHY
URBAN
FOOD
ENTERPRISE
DEVELOPMENT 
CENTER.— 
‘‘(1) DEFINITION OF ELIGIBLE ENTITY.—In this subsection, 
the term ‘eligible entity’ means— 
‘‘(A) a nonprofit organization; 
‘‘(B) a cooperative; 
‘‘(C) a commercial entity; 
‘‘(D) an agricultural producer; 
‘‘(E) an academic institution; 
‘‘(F) an individual; and 
‘‘(G) such other entities as the Secretary may designate. 
‘‘(2) ESTABLISHMENT.—The Secretary shall offer to provide 
a grant to a nonprofit organization to establish and support 
a healthy urban food enterprise development center to carry 
out the purpose described in paragraph (3). 
‘‘(3) PURPOSE.—The purpose of the Center is to increase 
access to healthy affordable foods, including locally produced 
agricultural products, to underserved communities. 
‘‘(4) ACTIVITIES.— 
‘‘(A) TECHNICAL ASSISTANCE AND INFORMATION.—The 
Center shall collect, develop, and provide technical assist-
ance and information to small and medium-sized agricul-
tural producers, food wholesalers and retailers, schools, 
and other individuals and entities regarding best practices 
and the availability of assistance for aggregating, storing, 
processing, and marketing locally produced agricultural 
products and increasing the availability of such products 
in underserved communities. 
‘‘(B) AUTHORITY TO SUBGRANT.—The Center may pro-
vide subgrants to eligible entities— 
‘‘(i) to carry out feasibility studies to establish 
businesses for the purpose described in paragraph (3); 
and 
‘‘(ii) to establish and otherwise assist enterprises 
that process, distribute, aggregate, store, and market 
healthy affordable foods. 
‘‘(5) PRIORITY.—In providing technical assistance and 
grants under paragraph (4), the Center shall give priority to 
applications that include projects— 
‘‘(A) to benefit underserved communities; and 
‘‘(B) to develop market opportunities for small and 
mid-sized farm and ranch operations. 
‘‘(6) REPORT.—For each fiscal year for which the nonprofit 
organization described in paragraph (2) receives funds, the 
organization shall submit to the Secretary a report describing 
the activities carried out in the preceding fiscal year, 
including— 
‘‘(A) a description of technical assistance provided by 
the Center; 
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122 STAT. 1137 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the total number and a description of the sub-
grants provided under paragraph (4)(B); 
‘‘(C) a complete listing of cases in which the activities 
of the Center have resulted in increased access to healthy, 
affordable foods, such as fresh fruit and vegetables, particu-
larly for school-aged children and individuals in low-income 
communities; and 
‘‘(D) a determination of whether the activities identified 
in subparagraph (C) are sustained during the years fol-
lowing the initial provision of technical assistance and sub-
grants under this section. 
‘‘(7) COMPETITIVE
AWARD
PROCESS.—The Secretary shall 
use a competitive process to award funds to establish the 
Center. 
‘‘(8) LIMITATION ON ADMINISTRATIVE EXPENSES.—Not more 
than 10 percent of the total amount allocated for this subsection 
in a given fiscal year may be used for administrative expenses. 
‘‘(9) FUNDING.— 
‘‘(A) IN GENERAL.—Out of any funds in the Treasury 
not otherwise appropriated, the Secretary of the Treasury 
shall transfer to the Secretary to carry out this subsection 
$1,000,000 for each of fiscal years 2009 through 2011. 
‘‘(B) ADDITIONAL FUNDING.—There is authorized to be 
appropriated $2,000,000 to carry out this subsection for 
fiscal year 2012.’’. 
SEC. 4403. JOINT NUTRITION MONITORING AND RELATED RESEARCH 
ACTIVITIES. 
The Secretary and the Secretary of Health and Human Services 
shall continue to provide jointly for national nutrition monitoring 
and related research activities carried out as of the date of enact-
ment of this Act— 
(1) to collect continuous dietary, health, physical activity, 
and diet and health knowledge data on a nationally representa-
tive sample; 
(2) to periodically collect data on special at-risk populations, 
as identified by the Secretaries; 
(3) to distribute information on health, nutrition, the 
environment, and physical activity to the public in a timely 
fashion; 
(4) to analyze new data that becomes available; 
(5) to continuously update food composition tables; and 
(6) to research and develop data collection methods and 
standards. 
SEC. 4404. SECTION 32 FUNDS FOR PURCHASE OF FRUITS, VEGETA-
BLES, AND NUTS TO SUPPORT DOMESTIC NUTRITION 
ASSISTANCE PROGRAMS. 
(a) FUNDING FOR ADDITIONAL PURCHASES OF FRUITS, VEGETA-
BLES, AND NUTS.—In addition to the purchases of fruits, vegetables, 
and nuts required by section 10603 of the Farm Security and 
Rural Investment Act of 2002 (7 U.S.C. 612c–4), the Secretary 
of Agriculture shall purchase fruits, vegetables, and nuts for the 
purpose of providing nutritious foods for use in domestic nutrition 
assistance programs, using, of the funds made available under 
section 32 of the Act of August 24, 1935 (7 U.S.C. 612c), the 
following amounts: 
(1) $190,000,000 for fiscal year 2008. 
7 USC 612c–5. 
7 USC 5311a. 
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122 STAT. 1138 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) $193,000,000 for fiscal year 2009. 
(3) $199,000,000 for fiscal year 2010. 
(4) $203,000,000 for fiscal year 2011. 
(5) $206,000,000 for fiscal year 2012 and each fiscal year 
thereafter. 
(b) FORM OF PURCHASES.—Fruits, vegetables, and nuts may 
be purchased under this section in the form of frozen, canned, 
dried, or fresh fruits, vegetables, and nuts. 
(c) PURCHASE OF FRESH FRUITS AND VEGETABLES FOR DISTRIBU-
TION TO SCHOOLS AND SERVICE INSTITUTIONS.—Section 10603 of 
the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
612c–4) is amended by striking subsection (b) and inserting the 
following: 
‘‘(b) PURCHASE OF FRESH FRUITS AND VEGETABLES FOR DIS-
TRIBUTION TO SCHOOLS AND SERVICE INSTITUTIONS.—The Secretary 
of Agriculture shall purchase fresh fruits and vegetables for dis-
tribution to schools and service institutions in accordance with 
section 6(a) of the Richard B. Russell National School Lunch Act 
(42 U.S.C. 1755(a)) using, of the amount specified in subsection 
(a), not less than $50,000,000 for each of fiscal years 2008 through 
2012.’’. 
SEC. 4405. HUNGER-FREE COMMUNITIES. 
(a) DEFINITIONS.—In this section: 
(1) ELIGIBLE ENTITY.—The term ‘‘eligible entity’’ means a 
public food program service provider or nonprofit organization, 
including an emergency feeding organization, that has collabo-
rated, or will collaborate, with 1 or more local partner organiza-
tions to achieve at least 1 hunger-free communities goal. 
(2) EMERGENCY FEEDING ORGANIZATION.—The term ‘‘emer-
gency feeding organization’’ has the meaning given the term 
in section 201A of the Emergency Food Assistance Act of 1983 
(7 U.S.C. 7501). 
(3) HUNGER-FREE COMMUNITIES GOAL.—The term ‘‘hunger- 
free communities goal’’ means any of the 14 goals described 
in the H. Con. Res. 302 (102nd Congress). 
(b) HUNGER-FREE COMMUNITIES COLLABORATIVE GRANTS.— 
(1) PROGRAM.— 
(A) IN GENERAL.—The Secretary shall use not more 
than 50 percent of any funds made available under sub-
section (e) to make grants to eligible entities to pay the 
Federal share of the costs of an activity described in para-
graph (2). 
(B) FEDERAL SHARE.—The Federal share of the cost 
of carrying out an activity under this subsection shall not 
exceed 80 percent. 
(C) NON-FEDERAL SHARE.— 
(i) CALCULATION.—The non-Federal share of the 
cost of an activity under this subsection may be pro-
vided in cash or fairly evaluated in-kind contributions, 
including facilities, equipment, or services. 
(ii) SOURCES.—Any entity may provide the non- 
Federal share of the cost of an activity under this 
subsection through a State government, a local govern-
ment, or a private source. 
7 USC 7517. 
7 USC 612c–4. 
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122 STAT. 1139 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) USE
OF
FUNDS.—An eligible entity in a community 
shall use a grant received under this subsection for any fiscal 
year for hunger relief activities, including— 
(A) meeting the immediate needs of people who experi-
ence hunger in the community served by the eligible entity 
by— 
(i) distributing food; 
(ii) providing community outreach to assist in 
participation in federally assisted nutrition programs, 
including— 
(I) the school breakfast program established 
by section 4 of the Child Nutrition Act of 1966 
(42 U.S.C. 1773); 
(II) the school lunch program established 
under the Richard B. Russell National School 
Lunch Act (42 U.S.C. 1751 et seq.); 
(III) the summer food service program for chil-
dren established under section 13 of that Act; and 
(IV) other Federal programs that provide food 
for children in child care facilities and homeless 
and older individuals; or 
(iii) improving access to food as part of a com-
prehensive service; and 
(B) developing new resources and strategies to help 
reduce hunger in the community and prevent hunger in 
the future by— 
(i) developing creative food resources, such as 
community gardens, buying clubs, food cooperatives, 
community-owned and operated grocery stores, and 
farmers’ markets; 
(ii) coordinating food services with park and recre-
ation programs and other community-based outlets to 
reduce barriers to access; or 
(iii) creating nutrition education programs for at- 
risk populations to enhance food-purchasing and food- 
preparation skills and to heighten awareness of the 
connection between diet and health. 
(c) HUNGER-FREE COMMUNITIES INFRASTRUCTURE GRANTS.— 
(1) PROGRAM AUTHORIZED.— 
(A) IN GENERAL.—The Secretary shall use not more 
than 50 percent of any funds made available for a fiscal 
year under subsection (e) to make grants to eligible entities 
to pay the Federal share of the costs of an activity described 
in paragraph (2). 
(B) FEDERAL SHARE.—The Federal share of the cost 
of carrying out an activity under this subsection shall not 
exceed 80 percent. 
(2) APPLICATION.— 
(A) IN GENERAL.—To receive a grant under this sub-
section, an eligible entity shall submit an application at 
such time, in such form, and containing such information 
as the Secretary may prescribe. 
(B) CONTENTS.—Each application submitted under 
subparagraph (A) shall— 
(i) identify any activity described in paragraph 
(3) that the grant will be used to fund; and 
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122 STAT. 1140 
PUBLIC LAW 110–234—MAY 22, 2008 
(ii) describe the means by which an activity identi-
fied under clause (i) will reduce hunger in the commu-
nity of the eligible entity. 
(C) PRIORITY.—In making grants under this subsection, 
the Secretary shall give priority to eligible entities that 
demonstrate 2 or more of the following: 
(i) The eligible entity serves a community in which 
the rates of food insecurity, hunger, poverty, or 
unemployment are demonstrably higher than national 
average rates. 
(ii) The eligible entity serves a community that 
has successfully carried out long-term efforts to reduce 
hunger in the community. 
(iii) The eligible entity serves a community that 
provides public support for the efforts of the eligible 
entity. 
(iv) The eligible entity is committed to achieving 
more than 1 hunger-free communities goal. 
(3) USE OF FUNDS.—An eligible entity shall use a grant 
received under this subsection to construct, expand, or repair 
a facility or equipment to support hunger relief efforts in the 
community. 
(d) REPORT.—If funds are made available under subsection 
(e) to carry out this section, not later than September 30, 2012, 
the Secretary shall submit to Congress a report that describes— 
(1) each grant made under this section, including— 
(A) a description of any activity funded; and 
(B) the degree of success of each activity funded in 
achieving hunger free-communities goals; and 
(2) the degree of success of all activities funded under 
this section in achieving domestic hunger goals. 
(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section for each of fiscal years 2008 through 2012. 
SEC. 4406. REAUTHORIZATION OF FEDERAL FOOD ASSISTANCE PRO-
GRAMS. 
(a) SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM.— 
(1) AUTHORIZATION OF APPROPRIATIONS.—Section 18(a)(1) 
of the Food and Nutrition Act of 2008 (7 U.S.C. 2027(a)(1)) 
is amended in the first sentence by striking ‘‘for each of the 
fiscal years 2003 through 2007’’ and inserting ‘‘for each of 
fiscal years 2008 through 2012’’. 
(2) GRANTS
FOR
SIMPLE
APPLICATION
AND
ELIGIBILITY 
DETERMINATION SYSTEMS AND IMPROVED ACCESS TO BENEFITS.— 
Section 11(t)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020(t)(1)) is amended by striking ‘‘For each of fiscal years 
2003 through 2007’’ and inserting ‘‘Subject to the availability 
of appropriations under section 18(a), for each fiscal year’’. 
(3) FUNDING OF EMPLOYMENT AND TRAINING PROGRAMS.— 
Section 16(h)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025(h)(1)) is amended— 
(A) in subparagraph (A), by striking ‘‘the amount of— 
’’ and all that follows through the end of the subparagraph 
and inserting ‘‘, $90,000,000 for each fiscal year.’’; and 
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122 STAT. 1141 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) in subparagraph (E)(i), by striking ‘‘for each of 
fiscal years 2002 through 2007’’ and inserting ‘‘for each 
fiscal year’’. 
(4) REDUCTIONS IN PAYMENTS FOR ADMINISTRATIVE COSTS.— 
Section 16(k)(3) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025(k)(3)) is amended— 
(A) in the first sentence of subparagraph (A), by 
striking ‘‘effective for each of fiscal years 1999 through 
2007,’’; and 
(B) in subparagraph (B)(ii), by striking ‘‘through fiscal 
year 2007’’. 
(5) CASH PAYMENT PILOT PROJECTS.—Section 17(b)(1)(B)(vi) 
of 
the 
Food 
and 
Nutrition 
Act 
of 
2008 
(7 
U.S.C. 
2026(b)(1)(B)(vi)) is amended— 
(A) by striking ‘‘Any pilot’’ and inserting ‘‘Subject to 
the availability of appropriations under section 18(a), any 
pilot’’; and 
(B) by striking ‘‘through October 1, 2007,’’. 
(6) CONSOLIDATED BLOCK GRANTS FOR PUERTO RICO AND 
AMERICAN SAMOA.—Section 19(a)(2)(A)(ii) of the Food and Nutri-
tion Act of 2008 (7 U.S.C. 2028(a)(2)(A)(ii)) is amended by 
striking ‘‘for each of fiscal years 2004 through 2007’’ and 
inserting ‘‘subject to the availability of appropriations under 
section 18(a), for each fiscal year thereafter’’. 
(7) ASSISTANCE FOR COMMUNITY FOOD PROJECTS.—Section 
25 of the Food and Nutrition Act of 2008 (7 U.S.C. 2034) 
is amended— 
(A) in subsection (b)(2)(B), by striking ‘‘for each of 
fiscal years 1997 through 2007’’ and inserting ‘‘for fiscal 
year 2008 and each fiscal year thereafter’’; and 
(B) in subsection (i)(4) (as redesignated by section 
4402), by striking ‘‘of fiscal years 2003 through 2007’’ and 
inserting ‘‘fiscal year thereafter’’. 
(b) COMMODITY DISTRIBUTION.— 
(1) EMERGENCY FOOD ASSISTANCE.—Section 204(a)(1) of the 
Emergency Food Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) 
is amended in the first sentence by striking ‘‘for each of the 
fiscal years 2003 through 2007’’ and inserting ‘‘for fiscal year 
2008 and each fiscal year thereafter’’. 
(2) COMMODITY
DISTRIBUTION
PROGRAM.—Section 4(a) of 
the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 
612c note; Public Law 93–86) is amended in the first sentence 
by striking ‘‘years 1991 through 2007’’ and inserting ‘‘years 
2008 through 2012’’. 
(3) COMMODITY SUPPLEMENTAL FOOD PROGRAM.—Section 5 
of the Agriculture and Consumer Protection Act of 1973 (7 
U.S.C. 612c note; Public Law 93–86) is amended— 
(A) in subsection (a)— 
(i) in paragraph (1), by striking ‘‘each of fiscal 
years 2003 through 2007’’ and inserting ‘‘each of fiscal 
years 2008 through 2012’’; and 
(ii) in paragraph (2)(B), by striking the subpara-
graph designation and heading and all that follows 
through ‘‘2007’’ and inserting the following: 
‘‘(B) SUBSEQUENT
FISCAL
YEARS.—For each of fiscal 
years 2004 through 2012’’; and 
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122 STAT. 1142 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) in subsection (d)(2), by striking ‘‘each of the fiscal 
years 1991 through 2007’’ and inserting ‘‘each of fiscal 
years 2008 through 2012’’. 
(4) DISTRIBUTION
OF
SURPLUS
COMMODITIES
TO
SPECIAL 
NUTRITION PROJECTS.—Section 1114(a)(2)(A) of the Agriculture 
and Food Act of 1981 (7 U.S.C. 1431e(2)(A)) is amended in 
the first sentence by striking ‘‘Effective through September 
30, 2007’’ and inserting ‘‘For each of fiscal years 2008 through 
2012’’. 
(c) FARM SECURITY AND RURAL INVESTMENT.— 
(1) SENIORS FARMERS’ MARKET NUTRITION PROGRAM.—Sec-
tion 4402 of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 3007) is amended by striking by striking 
subsection (a) and inserting the following: 
‘‘(a) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary of Agriculture shall use to carry out and expand 
the seniors farmers’ market nutrition program $20,600,000 for each 
of fiscal years 2008 through 2012.’’. 
(2) NUTRITION INFORMATION AND AWARENESS PILOT PRO-
GRAM.—Section 4403(f) of the Farm Security and Rural Invest-
ment Act of 2002 (7 U.S.C. 3171 note; Public Law 107–171) 
is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 4407. EFFECTIVE AND IMPLEMENTATION DATES. 
Except as otherwise provided in this title, this title and the 
amendments made by this title take effect on October 1, 2008. 
TITLE V—CREDIT 
Subtitle A—Farm Ownership Loans 
SEC. 5001. DIRECT LOANS. 
Section 302 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1922) is amended— 
(1) by striking the section designation and heading and 
all that follows through ‘‘(a) The Secretary is authorized to’’ 
and inserting the following: 
‘‘SEC. 302. PERSONS ELIGIBLE FOR REAL ESTATE LOANS. 
‘‘(a) IN GENERAL.—The Secretary may’’; and 
(2) in subsection (a)(2), by inserting ‘‘, taking into consider-
ation all farming experience of the applicant, without regard 
to any lapse between farming experiences’’ after ‘‘farming oper-
ations’’. 
SEC. 5002. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM. 
Section 304 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1924) is amended to read as follows: 
‘‘SEC. 304. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM. 
‘‘(a) IN GENERAL.—The Secretary may make or guarantee quali-
fied conservation loans to eligible borrowers under this section. 
‘‘(b) DEFINITIONS.—In this section: 
‘‘(1) QUALIFIED CONSERVATION LOAN.—The term ‘qualified 
conservation loan’ means a loan, the proceeds of which are 
used to cover the costs to the borrower of carrying out a 
qualified conservation project. 
2 USC 1161 note. 
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122 STAT. 1143 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) QUALIFIED CONSERVATION PROJECT.—The term ‘quali-
fied conservation project’ means conservation measures that 
address provisions of a conservation plan of the eligible bor-
rower. 
‘‘(3) CONSERVATION
PLAN.—The term ‘conservation plan’ 
means a plan, approved by the Secretary, that, for a farming 
or ranching operation, identifies the conservation activities that 
will be addressed with loan funds provided under this section, 
including— 
‘‘(A) the installation of conservation structures to 
address soil, water, and related resources; 
‘‘(B) the establishment of forest cover for sustained 
yield timber management, erosion control, or shelter belt 
purposes; 
‘‘(C) the installation of water conservation measures; 
‘‘(D) the installation of waste management systems; 
‘‘(E) the establishment or improvement of permanent 
pasture; 
‘‘(F) compliance with section 1212 of the Food Security 
Act of 1985; and 
‘‘(G) other purposes consistent with the plan, including 
the adoption of any other emerging or existing conservation 
practices, techniques, or technologies approved by the Sec-
retary. 
‘‘(c) ELIGIBILITY.— 
‘‘(1) IN GENERAL.—The Secretary may make or guarantee 
loans to farmers or ranchers in the United States, farm coopera-
tives, private domestic corporations, partnerships, joint oper-
ations, trusts, or limited liability companies that are controlled 
by farmers or ranchers and engaged primarily and directly 
in agricultural production in the United States. 
‘‘(2) REQUIREMENTS.—To be eligible for a loan under this 
section, applicants shall meet the requirements in paragraphs 
(1) and (2) of section 302(a). 
‘‘(d) PRIORITY.—In making or guaranteeing loans under this 
section, the Secretary shall give priority to— 
‘‘(1) qualified beginning farmers or ranchers and socially 
disadvantaged farmers or ranchers; 
‘‘(2) owners or tenants who use the loans to convert to 
sustainable or organic agricultural production systems; and 
‘‘(3) producers who use the loans to build conservation 
structures or establish conservation practices to comply with 
section 1212 of the Food Security Act of 1985. 
‘‘(e) LIMITATIONS APPLICABLE TO LOAN GUARANTEES.—The por-
tion of a loan that the Secretary may guarantee under this section 
shall be 75 percent of the principal amount of the loan. 
‘‘(f) ADMINISTRATIVE PROVISIONS.—The Secretary shall ensure, 
to the maximum extent practicable, that loans made or guaranteed 
under this section are distributed across diverse geographic regions. 
‘‘(g) CREDIT ELIGIBILITY.—The provisions of paragraphs (1) and 
(3) of section 333 shall not apply to loans made or guaranteed 
under this section. 
‘‘(h) AUTHORIZATION
OF APPROPRIATIONS.—For each of fiscal 
years 2008 through 2012, there are authorized to be appropriated 
to the Secretary such funds as are necessary to carry out this 
section.’’. 
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122 STAT. 1144 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 5003. LIMITATIONS ON AMOUNT OF FARM OWNERSHIP LOANS. 
Section 305(a)(2) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1925(a)(2)) is amended by striking ‘‘$200,000’’ 
and inserting ‘‘$300,000’’. 
SEC. 5004. DOWN PAYMENT LOAN PROGRAM. 
Section 310E of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1935) is amended— 
(1) in subsection (a)(1), by striking ‘‘and ranchers’’ and 
inserting ‘‘or ranchers and socially disadvantaged farmers or 
ranchers’’; 
(2) in subsection (b)— 
(A) by striking paragraph (1) and inserting the fol-
lowing; 
‘‘(1) PRINCIPAL.—Each loan made under this section shall 
be in an amount that does not exceed 45 percent of the least 
of— 
‘‘(A) the purchase price of the farm or ranch to be 
acquired; 
‘‘(B) the appraised value of the farm or ranch to be 
acquired; or 
‘‘(C) $500,000. 
‘‘(2) INTEREST RATE.—The interest rate on any loan made 
by the Secretary under this section shall be a rate equal to 
the greater of— 
‘‘(A) the difference obtained by subtracting 4 percent 
from the interest rate for farm ownership loans under 
this subtitle; or 
‘‘(B) 1.5 percent.’’; and 
(B) in paragraph (3), by striking ‘‘15’’ and inserting 
‘‘20’’; 
(3) in subsection (c)— 
(A) in paragraph (1), by striking ‘‘10’’ and inserting 
‘‘5’’; 
(B) by striking paragraph (2) and redesignating para-
graph (3) as paragraph (2); and 
(C) in paragraph (2)(B) (as so redesignated), by striking 
‘‘15-year’’ and inserting ‘‘20-year’’; 
(4) in subsection (d)— 
(A) in paragraph (3)— 
(i) by inserting ‘‘and socially disadvantaged 
farmers or ranchers’’ after ‘‘ranchers’’; and 
(ii) by striking ‘‘and’’ at the end; 
(B) in paragraph (4), by striking ‘‘and ranchers.’’ and 
inserting ‘‘ or ranchers or socially disadvantaged farmers 
or ranchers; and’’; and 
(C) by adding at the end the following: 
‘‘(5) establish annual performance goals to promote the 
use of the down payment loan program and other joint financing 
arrangements as the preferred choice for direct real estate 
loans made by any lender to a qualified beginning farmer 
or rancher or socially disadvantaged farmer or rancher.’’; and 
(5) by adding at the end the following: 
‘‘(e) SOCIALLY DISADVANTAGED FARMER OR RANCHER DEFINED.— 
In this section, the term ‘socially disadvantaged farmer or rancher’ 
has the meaning given that term in section 355(e)(2).’’. 
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122 STAT. 1145 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 5005. BEGINNING FARMER OR RANCHER AND SOCIALLY DIS-
ADVANTAGED FARMER OR RANCHER CONTRACT LAND 
SALES PROGRAM. 
Section 310F of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1936) is amended to read as follows: 
‘‘SEC. 310F. BEGINNING FARMER OR RANCHER AND SOCIALLY DIS-
ADVANTAGED FARMER OR RANCHER CONTRACT LAND 
SALES PROGRAM. 
‘‘(a) IN GENERAL.—The Secretary shall, in accordance with this 
section, guarantee a loan made by a private seller of a farm or 
ranch to a qualified beginning farmer or rancher or socially dis-
advantaged farmer or rancher (as defined in section 355(e)(2)) on 
a contract land sales basis. 
‘‘(b) ELIGIBILITY.—In order to be eligible for a loan guarantee 
under subsection (a)— 
‘‘(1) the qualified beginning farmer or rancher or socially 
disadvantaged farmer or rancher shall— 
‘‘(A) on the date the contract land sale that is subject 
of the loan is complete, own and operate the farm or 
ranch that is the subject of the contract land sale; 
‘‘(B) have a credit history that— 
‘‘(i) includes a record of satisfactory debt repay-
ment, as determined by the Secretary; and 
‘‘(ii) is acceptable to the Secretary; and 
‘‘(C) demonstrate to the Secretary that the farmer or 
rancher, as the case may be, is unable to obtain sufficient 
credit without a guarantee to finance any actual need 
of the farmer or rancher, as the case may be, at a reason-
able rate or term; and 
‘‘(2) the loan shall meet applicable underwriting criteria, 
as determined by the Secretary. 
‘‘(c) LIMITATIONS.— 
‘‘(1) DOWN PAYMENT.—The Secretary shall not provide a 
loan guarantee under subsection (a) if the contribution of the 
qualified beginning farmer or rancher or socially disadvantaged 
farmer or rancher to the down payment for the farm or ranch 
that is the subject of the contract land sale would be less 
than 5 percent of the purchase price of the farm or ranch. 
‘‘(2) MAXIMUM PURCHASE PRICE.—The Secretary shall not 
provide a loan guarantee under subsection (a) if the purchase 
price or the appraisal value of the farm or ranch that is the 
subject of the contract land sale is greater than $500,000. 
‘‘(d) PERIOD OF GUARANTEE.—The period during which a loan 
guarantee under this section is in effect shall be the 10-year period 
beginning with the date the guarantee is provided. 
‘‘(e) GUARANTEE PLAN.— 
‘‘(1) SELECTION OF PLAN.—A private seller of a farm or 
ranch who makes a loan that is guaranteed by the Secretary 
under subsection (a) may select— 
‘‘(A) a prompt payment guarantee plan, which shall 
cover— 
‘‘(i) 3 amortized annual installments; or 
‘‘(ii) an amount equal to 3 annual installments 
(including an amount equal to the total cost of any 
tax and insurance incurred during the period covered 
by the annual installments); or 
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122 STAT. 1146 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) a standard guarantee plan, which shall cover an 
amount equal to 90 percent of the outstanding principal 
of the loan. 
‘‘(2) ELIGIBLITY FOR STANDARD GUARANTEE PLAN.—In order 
for a private seller to be eligible for a standard guarantee 
plan referred to in paragraph (1)(B), the private seller shall— 
‘‘(A) secure a commercial lending institution or similar 
entity, as determined by the Secretary, to serve as an 
escrow agent; or 
‘‘(B) in cooperation with the farmer or rancher, use 
an appropriate alternate arrangement, as determined by 
the Secretary. 
‘‘(f) TRANSITION FROM PILOT PROGRAM.— 
‘‘(1) IN
GENERAL.—The Secretary may phase-in the 
implementation of the changes to the Beginning Farmer and 
Rancher and Socially Disadvantaged Farmer or Rancher Con-
tract Land Sales Program provided for in this section. 
‘‘(2) LIMITATION.—All changes to the Beginning Farmer 
and Rancher and Socially Disadvantaged Farmer or Rancher 
Contract Land Sales Program must be implemented for the 
2011 Fiscal Year.’’. 
Subtitle B—Operating Loans 
SEC. 5101. FARMING EXPERIENCE AS ELIGIBILITY REQUIREMENT. 
Section 311 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1941) is amended— 
(1) by striking the section designation and all that follows 
through ‘‘(a) The Secretary is authorized to’’ and inserting 
the following: 
‘‘SEC. 311. PERSONS ELIGIBLE FOR LOANS. 
‘‘(a) IN GENERAL.—The Secretary may’’; 
(2) in subsection (a)(2), by inserting ‘‘, taking into consider-
ation all farming experience of the applicant, without regard 
to any lapse between farming experiences’’ after ‘‘farming oper-
ations’’. 
SEC. 5102. LIMITATIONS ON AMOUNT OF OPERATING LOANS. 
Section 313(a)(1) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1943(a)(1)) is amended by striking ‘‘$200,000’’ 
and inserting ‘‘$300,000’’. 
SEC. 5103. SUSPENSION OF LIMITATION ON PERIOD FOR WHICH BOR-
ROWERS ARE ELIGIBLE FOR GUARANTEED ASSISTANCE. 
Section 5102 of the Farm Security And Rural Investment Act 
of 2002 (7 U.S.C. 1949 note; Public Law 107–171) is amended 
by striking ‘‘September 30, 2007’’ and inserting ‘‘December 31, 
2010’’. 
Subtitle C—Emergency Loans 
SEC. 5201. ELIGIBILITY OF EQUINE FARMERS AND RANCHERS FOR 
EMERGENCY LOANS. 
Section 321(a) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1961(a)) is amended— 
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122 STAT. 1147 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) in paragraph (1), by striking ‘‘farmers, ranchers’’ and 
inserting ‘‘farmers or ranchers (including equine farmers or 
ranchers)’’; and 
(2) in paragraph (2)(A), by striking ‘‘farming, ranching,’’ 
and inserting ‘‘farming or ranching (including equine farming 
or ranching)’’. 
Subtitle D—Administrative Provisions 
SEC. 5301. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOP-
MENT ACCOUNTS PILOT PROGRAM. 
Subtitle D of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981–2008r) is amended by inserting after section 
333A the following: 
‘‘SEC. 
333B. 
BEGINNING 
FARMER 
AND 
RANCHER 
INDIVIDUAL 
DEVELOPMENT ACCOUNTS PILOT PROGRAM. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) DEMONSTRATION PROGRAM.—The term ‘demonstration 
program’ means a demonstration program carried out by a 
qualified entity under the pilot program established in sub-
section (b)(1). 
‘‘(2) ELIGIBLE PARTICIPANT.—The term ‘eligible participant’ 
means a qualified beginning farmer or rancher that— 
‘‘(A) lacks significant financial resources or assets; and 
‘‘(B) has an income that is less than— 
‘‘(i) 80 percent of the median income of the State 
in which the farmer or rancher resides; or 
‘‘(ii) 200 percent of the most recent annual Federal 
Poverty Income Guidelines published by the Depart-
ment of Health and Human Services for the State. 
‘‘(3) INDIVIDUAL DEVELOPMENT ACCOUNT.—The term ‘indi-
vidual development account’ means a savings account described 
in subsection (b)(4)(A). 
‘‘(4) QUALIFIED ENTITY.— 
‘‘(A) IN GENERAL.—The term ‘qualified entity’ means— 
‘‘(i) 1 or more organizations— 
‘‘(I) described in section 501(c)(3) of the 
Internal Revenue Code of 1986; and 
‘‘(II) exempt from taxation under section 501(a) 
of such Code; or 
‘‘(ii) a State, local, or tribal government submitting 
an application jointly with an organization described 
in clause (i). 
‘‘(B) 
NO
PROHIBITION
ON
COLLABORATION.—An 
organization described in subparagraph (A)(i) may collabo-
rate with a financial institution or for-profit community 
development corporation to carry out the purposes of this 
section. 
‘‘(b) PILOT PROGRAM.— 
‘‘(1) IN
GENERAL.—The Secretary shall establish a pilot 
program to be known as the ‘New Farmer Individual Develop-
ment Accounts Pilot Program’ under which the Secretary shall 
work through qualified entities to establish demonstration pro-
grams— 
‘‘(A) of at least 5 years in duration; and 
7 USC 1983b. 
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122 STAT. 1148 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) in at least 15 States. 
‘‘(2) COORDINATION.—The Secretary shall operate the pilot 
program through, and in coordination with the farm loan pro-
grams of, the Farm Service Agency. 
‘‘(3) RESERVE FUNDS.— 
‘‘(A) IN GENERAL.—A qualified entity carrying out a 
demonstration program under this section shall establish 
a reserve fund consisting of a non-Federal match of 50 
percent of the total amount of the grant awarded to the 
demonstration program under this section. 
‘‘(B) FEDERAL FUNDS.—After the qualified entity has 
deposited the non-Federal matching funds described in 
subparagraph (A) in the reserve fund, the Secretary shall 
provide the total amount of the grant awarded under this 
section to the demonstration program for deposit in the 
reserve fund. 
‘‘(C) USE OF FUNDS.—Of the funds deposited under 
subparagraph (B) in the reserve fund established for a 
demonstration program, the qualified entity carrying out 
the demonstration program— 
‘‘(i) may use up to 10 percent for administrative 
expenses; and 
‘‘(ii) shall use the remainder in making matching 
awards described in paragraph (4)(B)(ii)(I). 
‘‘(D) INTEREST.—Any interest earned on amounts in 
a reserve fund established under subparagraph (A) may 
be used by the qualified entity as additional matching 
funds for, or to administer, the demonstration program. 
‘‘(E) GUIDANCE.—The Secretary shall issue guidance 
regarding the investment requirements of reserve funds 
established under this paragraph. 
‘‘(F) REVERSION.—On the date on which all funds 
remaining in any individual development account estab-
lished by a qualified entity have reverted under paragraph 
(5)(B)(ii) to the reserve fund established by the qualified 
entity, there shall revert to the Treasury of the United 
States a percentage of the amount (if any) in the reserve 
fund equal to— 
‘‘(i) the amount of Federal funds deposited in the 
reserve fund under subparagraph (B) that were not 
used for administrative expenses; divided by 
‘‘(ii) the total amount of funds deposited in the 
reserve fund. 
‘‘(4) INDIVIDUAL DEVELOPMENT ACCOUNTS.— 
‘‘(A) IN GENERAL.—A qualified entity receiving a grant 
under this section shall establish and administer individual 
development accounts for eligible participants. 
‘‘(B) CONTRACT
REQUIREMENTS.—To be eligible to 
receive funds under this section from a qualified entity, 
an eligible participant shall enter into a contract with 
only 1 qualified entity under which— 
‘‘(i) the eligible participant agrees— 
‘‘(I) to deposit a certain amount of funds of 
the eligible participant in a personal savings 
account, as prescribed by the contractual agree-
ment between the eligible participant and the 
qualified entity; 
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122 STAT. 1149 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) to use the funds described in subclause 
(I) only for 1 or more eligible expenditures 
described in paragraph (5)(A); and 
‘‘(III) to complete financial training; and 
‘‘(ii) the qualified entity agrees— 
‘‘(I) to deposit, not later than 1 month after 
an amount is deposited pursuant to clause (i)(I), 
at least a 100-percent, and up to a 200-percent, 
match of that amount into the individual develop-
ment account established for the eligible partici-
pant; and 
‘‘(II) with uses of funds proposed by the eligible 
participant. 
‘‘(C) LIMITATION.— 
‘‘(i) IN GENERAL.—A qualified entity administering 
a demonstration program under this section may pro-
vide not more than $6,000 for each fiscal year in 
matching funds to the individual development account 
established by the qualified entity for an eligible 
participant. 
‘‘(ii) TREATMENT OF AMOUNT.—An amount provided 
under clause (i) shall not be considered to be a gift 
or loan for mortgage purposes. 
‘‘(5) ELIGIBLE EXPENDITURES.— 
‘‘(A) IN GENERAL.—An eligible expenditure described 
in this subparagraph is an expenditure— 
‘‘(i) to purchase farmland or make a down payment 
on an accepted purchase offer for farmland; 
‘‘(ii) to make mortgage payments on farmland pur-
chased pursuant to clause (i), for up to 180 days after 
the date of the purchase; 
‘‘(iii) to purchase breeding stock, fruit or nut trees, 
or trees to harvest for timber; and 
‘‘(iv) for other similar expenditures, as determined 
by the Secretary. 
‘‘(B) TIMING.— 
‘‘(i) IN
GENERAL.—An eligible participant may 
make an eligible expenditure at any time during the 
2-year period beginning on the date on which the last 
matching 
funds 
are 
provided 
under 
paragraph 
(4)(B)(ii)(I) to the individual development account 
established for the eligible participant. 
‘‘(ii) UNEXPENDED FUNDS.—At the end of the period 
described in clause (i), any funds remaining in an 
individual development account established for an 
eligible participant shall revert to the reserve fund 
of the demonstration program under which the account 
was established. 
‘‘(c) APPLICATIONS.— 
‘‘(1) IN GENERAL.—A qualified entity that seeks to carry 
out a demonstration program under this section may submit 
to the Secretary an application at such time, in such form, 
and containing such information as the Secretary may pre-
scribe. 
‘‘(2) CRITERIA.—In considering whether to approve an 
application to carry out a demonstration program under this 
section, the Secretary shall assess— 
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122 STAT. 1150 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) the degree to which the demonstration program 
described in the application is likely to aid eligible partici-
pants in successfully pursuing new farming opportunities; 
‘‘(B) the experience and ability of the qualified entity 
to responsibly administer the demonstration program; 
‘‘(C) the experience and ability of the qualified entity 
in recruiting, educating, and assisting eligible participants 
to increase economic independence and pursue or advance 
farming opportunities; 
‘‘(D) the aggregate amount of direct funds from non- 
Federal public sector and private sources that are formally 
committed to the demonstration program as matching con-
tributions; 
‘‘(E) the adequacy of the plan of the qualified entity 
to provide information relevant to an evaluation of the 
demonstration program; and 
‘‘(F) such other factors as the Secretary considers to 
be appropriate. 
‘‘(3) PREFERENCES.—In considering an application to con-
duct a demonstration program under this section, the Secretary 
shall give preference to an application from a qualified entity 
that demonstrates— 
‘‘(A) a track record of serving clients targeted by the 
program, including, as appropriate, socially disadvantaged 
farmers or ranchers (as defined in section 355(e)(2)); and 
‘‘(B) expertise in dealing with financial management 
aspects of farming. 
‘‘(4) APPROVAL.—Not later than 1 year after the date of 
enactment of this section, in accordance with this section, the 
Secretary shall, on a competitive basis, approve such applica-
tions to conduct demonstration programs as the Secretary con-
siders appropriate. 
‘‘(5) TERM OF AUTHORITY.—If the Secretary approves an 
application to carry out a demonstration program, the Secretary 
shall authorize the applicant to carry out the project for a 
period of 5 years, plus an additional 2 years to make eligible 
expenditures in accordance with subsection (b)(5)(B). 
‘‘(d) GRANT AUTHORITY.— 
‘‘(1) IN GENERAL.—The Secretary shall make a grant to 
a qualified entity authorized to carry out a demonstration pro-
gram under this section. 
‘‘(2) MAXIMUM AMOUNT OF GRANTS.—The aggregate amount 
of grant funds provided to a demonstration program carried 
out under this section shall not exceed $250,000. 
‘‘(3) TIMING OF GRANT PAYMENTS.—The Secretary shall pay 
the amounts awarded under a grant made under this section— 
‘‘(A) on the awarding of the grant; or 
‘‘(B) pursuant to such payment plan as the qualified 
entity may specify. 
‘‘(e) REPORTS.— 
‘‘(1) ANNUAL PROGRESS REPORTS.— 
‘‘(A) IN GENERAL.—Not later than 60 days after the 
end of the calendar year in which the Secretary authorizes 
a qualified entity to carry out a demonstration program 
under this section, and annually thereafter until the conclu-
sion of the demonstration program, the qualified entity 
Deadline. 
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122 STAT. 1151 
PUBLIC LAW 110–234—MAY 22, 2008 
shall prepare an annual report that includes, for the period 
covered by the report— 
‘‘(i) an evaluation of the progress of the demonstra-
tion program; 
‘‘(ii) information about the demonstration program, 
including the eligible participants and the individual 
development accounts that have been established; and 
‘‘(iii) such other information as the Secretary may 
require. 
‘‘(B) SUBMISSION OF REPORTS.—A qualified entity shall 
submit each report required under subparagraph (A) to 
the Secretary. 
‘‘(2) REPORTS BY THE SECRETARY.—Not later than 1 year 
after the date on which all demonstration programs under 
this section are concluded, the Secretary shall submit to Con-
gress a final report that describes the results and findings 
of all reports and evaluations carried out under this section. 
‘‘(f) ANNUAL REVIEW.—The Secretary may conduct an annual 
review of the financial records of a qualified entity— 
‘‘(1) to assess the financial soundness of the qualified entity; 
and 
‘‘(2) to determine the use of grant funds made available 
to the qualified entity under this section. 
‘‘(g) REGULATIONS.—In carrying out this section, the Secretary 
may promulgate regulations to ensure that the program includes 
provisions for— 
‘‘(1) the termination of demonstration programs; 
‘‘(2) control of the reserve funds in the case of such a 
termination; 
‘‘(3) transfer of demonstration programs to other qualified 
entities; and 
‘‘(4) remissions from a reserve fund to the Secretary in 
a case in which a demonstration program is terminated without 
transfer to a new qualified entity. 
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2008 through 2012.’’. 
SEC. 5302. INVENTORY SALES PREFERENCES; LOAN FUND SET-ASIDES. 
(a) INVENTORY SALES PREFERENCES.—Section 335(c) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1985(c)) 
is amended— 
(1) in paragraph (1)— 
(A) in subparagraph (B)— 
(i) in the subparagraph heading, by inserting ‘‘; 
SOCIALLY DISADVANTAGED FARMER OR RANCHER’’ after 
‘‘OR RANCHER’’; 
(ii) in clause (i), by inserting ‘‘ or a socially dis-
advantaged farmer or rancher’’ after ‘‘or rancher’’; 
(iii) in clause (ii), by inserting ‘‘or socially disadvan-
taged farmer or rancher’’ after ‘‘or rancher’’; 
(iv) in clause (iii), by inserting ‘‘or a socially dis-
advantaged farmer or rancher’’ after ‘‘or rancher’’; and 
(v) in clause (iv), by striking ‘‘and ranchers’’ and 
inserting ‘‘or ranchers and socially disadvantaged 
farmers or ranchers’’; and 
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122 STAT. 1152 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) in subparagraph (C), by inserting ‘‘or a socially 
disadvantaged farmer or rancher’’ after ‘‘or rancher’’; 
(2) in paragraph (5)(B)— 
(A) in clause (i)— 
(i) in the clause heading, by inserting ‘‘; SOCIALLY 
DISADVANTAGED
FARMER
OR
RANCHER’’ after ‘‘OR 
RANCHER’’; 
(ii) by inserting ‘‘or a socially disadvantaged farmer 
or rancher’’ after ‘‘a beginning farmer or rancher’’; and 
(iii) by inserting ‘‘or the socially disadvantaged 
farmer or rancher’’ after ‘‘the beginning farmer or 
rancher’’; and 
(B) in clause (ii)— 
(i) in the matter preceding subclause (I), by 
inserting ‘‘or a socially disadvantaged farmer or 
rancher’’ after ‘‘or rancher’’; and 
(ii) in subclause (II), by inserting ‘‘or the socially 
disadvantaged farmer or rancher’’ after ‘‘or rancher’’; 
and 
(3) in paragraph (6)— 
(A) in subparagraph (A), by inserting ‘‘or a socially 
disadvantaged farmer or rancher’’ after ‘‘or rancher’’; and 
(B) in subparagraph (C)— 
(i) in clause (i)(I), by striking ‘‘and ranchers’’ and 
inserting ‘‘or ranchers and socially disadvantaged 
farmers or ranchers’’; and 
(ii) in clause (ii), by inserting ‘‘or socially disadvan-
taged farmers or ranchers’’ after ‘‘or ranchers’’. 
(b) LOAN FUND SET-ASIDES.—Section 346(b)(2) of such Act (7 
U.S.C. 1994(b)(2)) is amended— 
(1) in subparagraph (A)— 
(A) in clause (i)— 
(i) in subclause (I), by striking ‘‘70 percent’’ and 
inserting ‘‘an amount that is not less than 75 percent 
of the total amount’’; and 
(ii) in subclause (II)— 
(I) in the subclause heading, by inserting ‘‘; 
JOINT FINANCING ARRANGEMENTS’’ after ‘‘PAYMENT 
LOANS’’; 
(II) by striking ‘‘60 percent’’ and inserting ‘‘an 
amount not less than 2⁄3 of the amount’’; and 
(III) by inserting ‘‘and joint financing arrange-
ments under section 307(a)(3)(D)’’ after ‘‘section 
310E’’; and 
(B) in clause (ii)(III), by striking ‘‘2003 through 2007, 
35 percent’’ and inserting ‘‘2008 through 2012, an amount 
that is not less than 50 percent of the total amount’’; 
and 
(2) in subparagraph (B)(i), by striking ‘‘25 percent’’ and 
inserting ‘‘an amount that is not less than 40 percent of the 
total amount’’. 
SEC. 5303. LOAN AUTHORIZATION LEVELS. 
Section 346(b)(1) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1994(b)(1)) is amended— 
(1) in the matter preceding subparagraph (A), by striking 
‘‘$3,796,000,000 for each of fiscal years 2003 through 2007’’ 
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122 STAT. 1153 
PUBLIC LAW 110–234—MAY 22, 2008 
and inserting ‘‘$4,226,000,000 for each of fiscal years 2008 
through 2012’’; and 
(2) in subparagraph (A)— 
(A) in the matter preceding clause (i), by striking 
‘‘$770,000,000’’ and inserting ‘‘$1,200,000,000’’; 
(B) in clause (i), by striking ‘‘$205,000,000’’ and 
inserting ‘‘$350,000,000’’; and 
(C) in clause (ii), by striking ‘‘$565,000,000’’ and 
inserting ‘‘$850,000,000’’. 
SEC. 5304. TRANSITION TO PRIVATE COMMERCIAL OR OTHER SOURCES 
OF CREDIT. 
Subtitle D of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981–2008r) is amended by inserting after section 
344 the following: 
‘‘SEC. 345. TRANSITION TO PRIVATE COMMERCIAL OR OTHER SOURCES 
OF CREDIT. 
‘‘(a) IN GENERAL.—In making or insuring a farm loan under 
subtitle A or B, the Secretary shall establish a plan and promulgate 
regulations (including performance criteria) that promote the goal 
of transitioning borrowers to private commercial credit and other 
sources of credit in the shortest period of time practicable. 
‘‘(b) COORDINATION.—In carrying out this section, the Secretary 
shall integrate and coordinate the transition policy described in 
subsection (a) with— 
‘‘(1) the borrower training program established by section 
359; 
‘‘(2) the loan assessment process established by section 
360; 
‘‘(3) the supervised credit requirement established by sec-
tion 361; 
‘‘(4) the market placement program established by section 
362; and 
‘‘(5) other appropriate programs and authorities, as deter-
mined by the Secretary.’’. 
SEC. 5305. EXTENSION OF THE RIGHT OF FIRST REFUSAL TO 
REACQUIRE 
HOMESTEAD 
PROPERTY 
TO 
IMMEDIATE 
FAMILY MEMBERS OF BORROWER-OWNER. 
Section 352(c)(4)(B) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2000(c)(4)(B)) is amended— 
(1) in the 1st sentence, by striking ‘‘, the borrower-owner’’ 
inserting ‘‘of a borrower-owner who is a socially disadvantaged 
farmer or rancher (as defined in section 355(e)(2)), the borrower- 
owner or a member of the immediate family of the borrower- 
owner’’; and 
(2) in the 2nd sentence, by inserting ‘‘or immediate family 
member, as the case may be,’’ before ‘‘from’’. 
SEC. 5306. RURAL DEVELOPMENT AND FARM LOAN PROGRAM ACTIVI-
TIES. 
Subtitle D of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981–2008r) is amended by inserting after section 
364 the following: 
Plan. 
Regulations. 
Criteria. 
7 USC 1993. 
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122 STAT. 1154 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 365. RURAL DEVELOPMENT AND FARM LOAN PROGRAM ACTIVI-
TIES. 
‘‘The Secretary may not complete a study of, or enter into 
a contract with a private party to carry out, without specific 
authorization in a subsequent Act of Congress, a competitive 
sourcing activity of the Secretary, including support personnel of 
the Department of Agriculture, relating to rural development or 
farm loan programs.’’. 
Subtitle E—Farm Credit 
SEC. 5401. FARM CREDIT SYSTEM INSURANCE CORPORATION. 
(a) IN GENERAL.—Section 1.12(b) of the Farm Credit Act of 
1971 (12 U.S.C. 2020(b)) is amended— 
(1) in the first sentence, by striking ‘‘Each Farm’’ and 
inserting the following; 
‘‘(1) IN GENERAL.—Each Farm’’; and 
(2) by striking the second sentence and inserting the fol-
lowing: 
‘‘(2) COMPUTATION.—The assessment on any association or 
other financing institution described in paragraph (1) for any 
period shall be computed in an equitable manner, as determined 
by the Corporation.’’. 
(b) RULES
AND REGULATIONS.—Section 5.58(10) of such Act 
(12 U.S.C. 2277a-7(10)) is amended by inserting ‘‘and section 
1.12(b)’’ after ‘‘part’’. 
SEC. 5402. TECHNICAL CORRECTION. 
Section 3.3(b) of the Farm Credit Act of 1971 (12 U.S.C. 2124(b)) 
is amended in the first sentence by striking ‘‘per’’ and inserting 
‘‘par’’. 
SEC. 5403. BANK FOR COOPERATIVES VOTING STOCK. 
(a) IN GENERAL.—Section 3.3(c) of the Farm Credit Act of 
1971 (12 U.S.C. 2124(c)) is amended by striking ‘‘and (ii)’’ and 
inserting ‘‘(ii) other categories of persons and entities described 
in sections 3.7 and 3.8 eligible to borrow from the bank, as deter-
mined by the bank’s board of directors; and (iii)’’. 
(b) CONFORMING AMENDMENTS.—Section 4.3A(c)(1)(D) of such 
Act (12 U.S.C. 2154a(c)(1)(D)) is amended by redesignating clauses 
(ii) and (iii) as clauses (iii) and (iv), respectively, and inserting 
after clause (i) the following: 
‘‘(ii) persons and entities eligible to borrow from 
the banks for cooperatives, as described in section 
3.3(c)(ii);’’. 
SEC. 5404. PREMIUMS. 
(a) AMOUNT IN FUND NOT EXCEEDING SECURE BASE AMOUNT.— 
Section 5.55(a) of the Farm Credit Act of 1971 (12 U.S.C. 2277a- 
4(a)) is amended— 
(1) in paragraph (1)— 
(A) in the matter preceding subparagraph (A)— 
(i) by striking ‘‘paragraph (2)’’ and inserting ‘‘para-
graph (3)’’; and 
(ii) by striking ‘‘annual’’ ; and 
(B) by striking subparagraphs (A) through (D) and 
inserting the following: 
7 USC 2008. 
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122 STAT. 1155 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) the average outstanding insured obligations issued 
by the bank for the calendar year, after deducting from 
the obligations the percentages of the guaranteed portions 
of loans and investments described in paragraph (2), multi-
plied by 0.0020; and 
‘‘(B) the product obtained by multiplying— 
‘‘(i) the sum of— 
‘‘(I) the average principal outstanding for the 
calendar year on loans made by the bank that 
are in nonaccrual status; and 
‘‘(II) the average amount outstanding for the 
calendar year of other-than-temporarily impaired 
investments made by the bank; by 
‘‘(ii) 0.0010.’’; 
(2) by striking paragraph (4); 
(3) by redesignating paragraphs (2) and (3) as paragraphs 
(3) and (4), respectively; 
(4) by inserting after paragraph (1) the following: 
‘‘(2) DEDUCTIONS
FROM
AVERAGE
OUTSTANDING
INSURED 
OBLIGATIONS.—The average outstanding insured obligations 
issued by the bank for the calendar year referred to in para-
graph (1)(A) shall be reduced by deducting from the obligations 
the sum of (as determined by the Corporation)— 
‘‘(A) 90 percent of each of— 
‘‘(i) the average principal outstanding for the cal-
endar year on the guaranteed portions of Federal 
government-guaranteed loans made by the bank that 
are in accrual status; and 
‘‘(ii) the average amount outstanding for the cal-
endar year of the guaranteed portions of Federal 
government-guaranteed investments made by the bank 
that are not permanently impaired; and 
‘‘(B) 80 percent of each of— 
‘‘(i) the average principal outstanding for the cal-
endar year on the guaranteed portions of State govern-
ment-guaranteed loans made by the bank that are 
in accrual status; and 
‘‘(ii) the average amount outstanding for the cal-
endar year of the guaranteed portions of State govern-
ment-guaranteed investments made by the bank that 
are not permanently impaired.’’; 
(5) in paragraph (3) (as so redesignated by paragraph (3) 
of this subsection), by striking ‘‘annual’’; and 
(6) in paragraph (4) (as so redesignated by paragraph (3) 
of this subsection)— 
(A) in the paragraph heading, by inserting ‘‘OR INVEST-
MENTS’’ after ‘‘LOANS’’ ; and 
(B) in the matter preceding subparagraph (A), by 
striking ‘‘As used’’ and all that follows through ‘‘guaran-
teed—’’ and inserting ‘‘In this section, the term ‘govern-
ment-guaranteed’, when applied to a loan or an investment, 
means a loan, credit, or investment, or portion of a loan, 
credit, or investment, that is guaranteed—’’. 
(b) AMOUNT IN FUND EXCEEDING SECURE BASE AMOUNT.—Sec-
tion 5.55(b) of such Act (12 U.S.C. 2277a-4(b)) is amended by 
striking ‘‘annual’’. 
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122 STAT. 1156 
PUBLIC LAW 110–234—MAY 22, 2008 
(c) SECURE BASE AMOUNT.—Section 5.55(c) of such Act (12 
U.S.C. 2277a-4(c)) is amended— 
(1) by striking ‘‘For purposes’’ and inserting the following: 
‘‘(1) IN GENERAL.—For purposes’’; 
(2) by striking ‘‘(adjusted downward’’ and all that follows 
through ‘‘by the Corporation)’’ and inserting ‘‘(as adjusted under 
paragraph (2))’’; and 
(3) by adding at the end the following: 
‘‘(2) ADJUSTMENT.—The aggregate outstanding insured 
obligations of all insured System banks under paragraph (1) 
shall be adjusted downward to exclude an amount equal to 
the sum of (as determined by the corporation)— 
‘‘(A) 90 percent of each of— 
‘‘(i) the guaranteed portions of principal out-
standing on Federal government-guaranteed loans in 
accrual status made by the banks; and 
‘‘(ii) the guaranteed portions of the amount of Fed-
eral government-guaranteed investments made by the 
banks that are not permanently impaired; and 
‘‘(B) 80 percent of each of— 
‘‘(i) the guaranteed portions of principal out-
standing on State government-guaranteed loans in 
accrual status made by the banks; and 
‘‘(ii) the guaranteed portions of the amount of State 
government-guaranteed investments made by the 
banks that are not permanently impaired.’’. 
(d) DETERMINATION OF LOAN AND INVESTMENT AMOUNTS.—Sec-
tion 5.55(d) of such Act (12 U.S.C. 2277a-4(d)) is amended— 
(1) in the subsection heading, by striking ‘‘PRINCIPAL OUT-
STANDING’’ and inserting ‘‘LOAN AND INVESTMENT AMOUNTS’’; 
(2) in the matter preceding paragraph (1), by striking ‘‘For 
the purpose’’ and all that follows through ‘‘made—’’ and 
inserting ‘‘For the purpose of subsections (a) and (c), the prin-
cipal outstanding on all loans made by an insured System 
bank, and the amount outstanding on all investments made 
by an insured System bank, shall be determined based on— 
’’; 
(3) in each of paragraphs (1), (2), and (3), by inserting 
‘‘all loans or investments made’’ before ‘‘by’’ the first place 
it appears; and 
(4) in each of paragraphs (1) and (2), by inserting ‘‘or 
investments’’ after ‘‘that is able to make such loans’’ each 
place it appears. 
(e) 
ALLOCATION
TO
SYSTEM
INSTITUTIONS
OF
EXCESS 
RESERVES.—Section 5.55(e) of such Act (12 U.S.C. 2277a-4(e)) is 
amended— 
(1) in paragraph (3), by striking ‘‘the average secure base 
amount for the calendar year (as calculated on an average 
daily balance basis)’’ and inserting ‘‘the secure base amount’’; 
(2) in paragraph (4), by striking subparagraph (B) and 
inserting the following: 
‘‘(B) there shall be credited to the allocated insurance 
reserves account of each insured system bank an amount 
that bears the same ratio to the total amount (less any 
amount credited under subparagraph (A)) as— 
‘‘(i) the average principal outstanding for the cal-
endar year on insured obligations issued by the bank 
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122 STAT. 1157 
PUBLIC LAW 110–234—MAY 22, 2008 
(after deducting from the principal the percentages 
of the guaranteed portions of loans and investments 
described in subsection (a)(2)); bears to 
‘‘(ii) the average principal outstanding for the cal-
endar year on insured obligations issued by all insured 
System banks (after deducting from the principal the 
percentages of the guaranteed portions of loans and 
investments described in subsection (a)(2)).’’; and 
(3) in paragraph (6)— 
(A) in subparagraph (A)— 
(i) in the matter preceding clause (i), by striking 
‘‘beginning more’’ and all that follows through ‘‘January 
1, 2005’’; 
(ii) by striking clause (i) and inserting the fol-
lowing: 
‘‘(i) subject to subparagraph (D), pay to each 
insured System bank, in a manner determined by the 
Corporation, an amount equal to the balance in the 
Allocated Insurance Reserves Account of the System 
bank; and’’; and 
(iii) in clause (ii)— 
(I) by striking ‘‘subparagraphs (C), (E), and 
(F)’’ and inserting ‘‘subparagraphs (C) and (E)’’; 
and 
(II) by striking ‘‘, of the lesser of—’’ and all 
that follows through the end of subclause (II) and 
inserting ‘‘at the time of the termination of the 
Financial Assistance Corporation, of the balance 
in the Allocated Insurance Reserves Account estab-
lished under paragraph (1)(B).’’; 
(B) in subparagraph (C)— 
(i) in clause (i), by striking ‘‘(in addition to the 
amounts described in subparagraph (F)(ii))’’; and 
(ii) by striking clause (ii) and inserting the fol-
lowing: 
‘‘(ii) TERMINATION OF ACCOUNT.—On disbursement 
of an amount equal to $56,000,000, the Corporation 
shall— 
‘‘(I) close the account established under para-
graph (1)(B); and 
‘‘(II) transfer any remaining funds in the 
Account to the remaining Allocated Insurance 
Reserves Accounts in accordance with paragraph 
(4)(B) for the calendar year in which the transfer 
occurs.’’; and 
(C) by striking subparagraph (F). 
SEC. 5405. CERTIFICATION OF PREMIUMS. 
(a) FILING CERTIFIED STATEMENT.—Section 5.56 of the Farm 
Credit Act of 1971 (12 U.S.C. 2277a–5) is amended by striking 
subsection (a) and inserting the following: 
‘‘(a) FILING CERTIFIED STATEMENT.—On a date to be determined 
in the sole discretion of the Board of Directors of the Corporation, 
each insured System bank that became insured before the beginning 
of the period for which premiums are being assessed (referred 
to in this section as the ‘period’) shall file with the Corporation 
a certified statement showing— 
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122 STAT. 1158 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) the average outstanding insured obligations for the 
period issued by the bank; 
‘‘(2)(A) the average principal outstanding for the period 
on the guaranteed portion of Federal government-guaranteed 
loans that are in accrual status; and 
‘‘(B) the average amount outstanding for the period of 
Federal government-guaranteed investments that are not 
permanently impaired (as defined in section 5.55(a)(4)); 
‘‘(3)(A) the average principal outstanding for the period 
on State government-guaranteed loans that are in accrual 
status; and 
‘‘(B) the average amount outstanding for the period of 
State government-guaranteed investments that are not perma-
nently impaired (as defined in section 5.55(a)(4)); 
‘‘(4)(A) the average principal outstanding for the period 
on loans that are in nonaccrual status; and 
‘‘(B) the average amount outstanding for the period of 
other-than-temporarily impaired investments; and 
‘‘(5) the amount of the premium due the Corporation from 
the bank for the period.’’. 
(b) PREMIUM PAYMENTS.—Section 5.56 of such Act (12 U.S.C. 
2277a–5) is amended by striking subsection (c) and inserting the 
following: 
‘‘(c) PREMIUM PAYMENTS.— 
‘‘(1) IN GENERAL.—Except as provided in paragraph (2), 
each insured System bank shall pay to the Corporation the 
premium payments required under subsection (a), not more 
frequently than once in each calendar quarter, in such manner 
and at such 1 or more times as the Board of Directors shall 
prescribe. 
‘‘(2) PREMIUM AMOUNT.—The amount of the premium shall 
be established not later than 60 days after filing the certified 
statement specifying the amount of the premium.’’. 
(c) SUBSEQUENT PREMIUM PAYMENTS.—Section 5.56 of such Act 
(12 U.S.C. 2277a–5) is amended— 
(1) by striking subsection (d); and 
(2) by redesignating subsection (e) as subsection (d). 
SEC. 5406. RURAL UTILITY LOANS. 
(a) DEFINITION OF QUALIFIED LOAN.—Section 8.0(9) of the Farm 
Credit Act of 1971 (12 U.S.C. 2279aa(9)) is amended— 
(1) in subparagraph (A)(iii), by striking ‘‘or’’ at the end; 
(2) in subparagraph (B)(ii), by striking the period at the 
end and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(C) that is a loan, or an interest in a loan, for an 
electric or telephone facility by a cooperative lender to 
a borrower that has received, or is eligible to receive, 
a loan under the Rural Electrification Act of 1936 (7 U.S.C. 
901 et seq.).’’. 
(b) GUARANTEE OF QUALIFIED LOANS.—Section 8.6(a)(1) of such 
Act (12 U.S.C. 2279aa–6(a)(1)) is amended by inserting ‘‘applicable’’ 
before ‘‘standards’’ each place it appears in subparagraphs (A) and 
(B)(i). 
(c) STANDARDS FOR QUALIFIED LOANS.—Section 8.8 of such Act 
(12 U.S.C. 2279aa–8) is amended— 
(1) in subsection (a)— 
Deadline. 
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122 STAT. 1159 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) by striking the first sentence and inserting the 
following: 
‘‘(1) IN GENERAL.—The Corporation shall establish under-
writing, security appraisal, and repayment standards for quali-
fied loans taking into account the nature, risk profile, and 
other differences between different categories of qualified loans. 
‘‘(2) SUPERVISION, EXAMINATION, AND
REPORT
OF
CONDI-
TION.—The standards shall be subject to the authorities of 
the Farm Credit Administration under section 8.11.’’; and 
(B) in the last sentence, by striking ‘‘In establishing’’ 
and inserting the following: 
‘‘(3) MORTGAGE LOANS.—In establishing’’; 
(2) in subsection (b)— 
(A) in the matter preceding paragraph (1), by inserting 
‘‘with respect to loans secured by agricultural real estate’’ 
after ‘‘subsection (a)’’; and 
(B) in paragraph (5)— 
(i) by striking ‘‘borrower’’ the first place it appears 
and inserting ‘‘farmer or rancher’’; and 
(ii) by striking ‘‘site’’ and inserting ‘‘farm or ranch’’; 
(3) in subsection (c)(1), by inserting ‘‘secured by agricultural 
real estate’’ after ‘‘A loan’’; 
(4) by striking subsection (d); and 
(5) by redesignating subsection (e) as subsection (d). 
(d) RISK-BASED CAPITAL LEVELS.—Section 8.32(a)(1) of such 
Act (12 U.S.C. 2279bb–1(a)(1)) is amended— 
(1) by striking ‘‘With respect’’ and inserting the following: 
‘‘(A) IN GENERAL.—With respect’’; and 
(2) by adding at the end the following: 
‘‘(B) RURAL UTILITY LOANS.—With respect to securities 
representing an interest in, or obligation backed by, a 
pool of qualified loans described in section 8.0(9)(C) owned 
or guaranteed by the Corporation, losses occur at a rate 
of default and severity reasonably related to risks in electric 
and telephone facility loans (as applicable), as determined 
by the Director.’’. 
SEC. 5407. EQUALIZATION OF LOAN-MAKING POWERS OF CERTAIN DIS-
TRICT ASSOCIATIONS. 
(a) IN GENERAL.—The Farm Credit Act of 1971 is amended 
by inserting after section 7.6 (12 U.S.C. 2279b) the following: 
‘‘SEC. 7.7. EQUALIZATION OF LOAN-MAKING POWERS OF CERTAIN DIS-
TRICT ASSOCIATIONS. 
‘‘(a) EQUALIZATION OF LOAN-MAKING POWERS.— 
‘‘(1) IN GENERAL.— 
‘‘(A) FEDERAL
LAND
BANK
ASSOCIATIONS.—Subject to 
paragraph (2), any association that owns a Federal land 
bank association authorized as of January 1, 2007, to make 
long-term loans under title I in its chartered territory 
within the geographic area described in subsection (b) may 
make short- and intermediate-term loans and otherwise 
operate as a production credit association under title II 
within that same chartered territory. 
‘‘(B) PRODUCTION
CREDIT
ASSOCIATIONS.—Subject to 
paragraph (2), any association that under its charter has 
title I lending authority and that owns a production credit 
association authorized as of January 1, 2007, to make 
12 USC 2279c. 
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122 STAT. 1160 
PUBLIC LAW 110–234—MAY 22, 2008 
short- and intermediate-term loans under title II in the 
geographic area described in subsection (b) may make long- 
term loans and otherwise operate, directly or through a 
subsidiary association, as a Federal land bank association 
or Federal land credit association under title I in the 
geographic area. 
‘‘(C) FARM
CREDIT
BANK.—Notwithstanding section 
5.17(a), the Farm Credit Bank with which any association 
had a written financing agreement as of January 1, 2007, 
may make loans and extend other comparable financial 
assistance with respect to, and may purchase, any loans 
made under the new authority provided under subpara-
graph (A) or (B) by an association exercising such authority. 
‘‘(2) REQUIRED APPROVALS.—An association may exercise 
the additional authority provided for in paragraph (1) only 
after the exercise of the authority is approved by— 
‘‘(A) the board of directors of the association; and 
‘‘(B) a majority of the voting stockholders of the associa-
tion (or, if the association is a subsidiary of another associa-
tion, the voting stockholders of the parent association) 
voting, in person or by proxy, at a duly authorized meeting 
of stockholders in accordance with the process described 
in section 7.11. 
‘‘(b) APPLICABILITY.—This section applies only to associations 
the chartered territory of which was within the geographic area 
served by the Federal intermediate credit bank immediately prior 
to its merger with a Farm Credit Bank under section 410(e)(1) 
of the Agricultural Credit Act of 1987 (12 U.S.C. 2011 note; Public 
Law 100–233).’’. 
(b) CHARTER AMENDMENTS.—Section 5.17(a) of the Farm Credit 
Act of 1971 (12 U.S.C. 2252(a)) is amended by adding at the end 
the following: 
‘‘(15)(A) Approve amendments to the charters of institutions 
of the Farm Credit System to implement the equalization of 
loan-making powers of a Farm Credit System association under 
section 7.7. 
‘‘(B) Amendments described in subparagraph (A) to the 
charters of an association and the related Farm Credit Bank 
shall be approved by the Farm Credit Administration, subject 
to any conditions of approval imposed, by not later than 30 
days after the date on which the Farm Credit Administration 
receives all approvals required by section 7.7(a)(2).’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 5.17(a)(2) of the Farm Credit Act of 1971 (12 
U.S.C. 2252(a)(2)) is amended— 
(A) by striking ‘‘(2)(A)’’ and inserting ‘‘(2)’’; and 
(B) by striking subparagraphs (B) and (C). 
(2) SECTION 410 OF THE 1987 ACT.—Section 410(e)(1)(A)(iii) 
of the Agricultural Credit Act of 1987 (12 U.S.C. 2011 note; 
Public Law 100–233) is amended by inserting ‘‘(except section 
7.7 of that Act)’’ after ‘‘(12 U.S.C. 2001 et seq.)’’. 
(3) SECTION 401 OF THE 1992 ACT.—Section 401(b) of the 
Farm Credit Banks and Associations Safety and Soundness 
Act of 1992 (12 U.S.C. 2011 note; Public Law 102–552) is 
amended— 
(A) by inserting ‘‘(except section 7.7 of the Farm Credit 
Act of 1971)’’ after ‘‘provision of law’’; and 
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122 STAT. 1161 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) by striking ‘‘, subject to such limitations’’ and all 
that follows through the end of the paragraph and inserting 
a period. 
(d) EFFECTIVE DATE.—The amendments made by this section 
take effect on January 1, 2010. 
Subtitle F—Miscellaneous 
SEC. 5501. LOANS TO PURCHASERS OF HIGHLY FRACTIONED LAND. 
The first section of Public Law 91–229 (25 U.S.C. 488) is 
amended— 
(1) by striking ‘‘That the Secretary’’ and inserting the fol-
lowing: 
‘‘SECTION 1. LOANS TO PURCHASERS OF HIGHLY FRACTIONED LAND. 
‘‘(a) IN GENERAL.—The Secretary’’; and 
(2) by adding at the end the following: 
‘‘(b) HIGHLY FRACTIONATED LAND.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), the Secretary 
of Agriculture may make and insure loans in accordance with 
section 309 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1929) to eligible purchasers of highly fractionated 
land pursuant to section 205(c) of the Indian Land Consolida-
tion Act (25 U.S.C. 2204(c)). 
‘‘(2) EXCLUSION.—Section 4 shall not apply to trust land, 
restricted tribal land, or tribal corporation land that is mort-
gaged in accordance with paragraph (1).’’. 
TITLE VI—RURAL DEVELOPMENT 
Subtitle A—Consolidated Farm and Rural 
Development Act 
SEC. 6001. WATER, WASTE DISPOSAL, AND WASTEWATER FACILITY 
GRANTS. 
Section 306(a)(2)(B)(vii) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(2)(B)(vii)) is amended by striking 
‘‘2002 through 2007’’ and inserting ‘‘2008 through 2012’’. 
SEC. 6002. SEARCH GRANTS. 
(a) IN GENERAL.—Section 306(a)(2) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1926(a)(2)) is amended by 
adding at the end the following: 
‘‘(C) SPECIAL
EVALUATION
ASSISTANCE
FOR
RURAL 
COMMUNITIES AND HOUSEHOLDS PROGRAM.— 
‘‘(i) IN GENERAL.—The Secretary may establish the 
Special Evaluation Assistance for Rural Communities 
and 
Households 
(SEARCH) 
program, 
to 
make 
predevelopment planning grants for feasibility studies, 
design assistance, and technical assistance, to finan-
cially distressed communities in rural areas with popu-
lations of 2,500 or fewer inhabitants for water and 
waste disposal projects described in paragraph (1), this 
paragraph, and paragraph (24). 
‘‘(ii) TERMS.— 
12 USC 2252 
note. 
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122 STAT. 1162 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(I) DOCUMENTATION.—With respect to grants 
made under this subparagraph, the Secretary shall 
require the lowest amount of documentation prac-
ticable. 
‘‘(II) MATCHING.—Notwithstanding any other 
provisions in this subsection, the Secretary may 
fund up to 100 percent of the eligible costs of 
grants provided under this subparagraph, as deter-
mined by the Secretary. 
‘‘(iii) FUNDING.—The Secretary may use not more 
than 4 percent of the total amount of funds made 
available for a fiscal year for water, waste disposal, 
and essential community facility activities under this 
title to carry out this subparagraph. 
‘‘(iv) RELATIONSHIP
TO
OTHER
AUTHORITY.—The 
funds and authorities provided under this subpara-
graph are in addition to any other funds or authorities 
the Secretary may have to carry out activities described 
in clause (i).’’. 
(b) CONFORMING AMENDMENT.—Subtitle D of title VI of the 
Farm Security and Rural Investment Act of 2002 (7 U.S.C. 2009ee 
et seq.) is repealed. 
SEC. 6003. RURAL BUSINESS OPPORTUNITY GRANTS. 
Section 306(a)(11)(D) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(11)(D)) is amended by striking 
‘‘1996 through 2007’’ and inserting ‘‘2008 through 2012’’. 
SEC. 6004. CHILD DAY CARE FACILITY GRANTS, LOANS, AND LOAN 
GUARANTEES. 
Section 306(a)(19)(C)(ii) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(19)(C)(ii)) is amended by striking 
‘‘April’’ and inserting ‘‘June’’. 
SEC. 6005. COMMUNITY FACILITY GRANTS TO ADVANCE BROADBAND. 
Section 306(a)(20)(E) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(20)(E)) is amended— 
(1) by striking ‘‘state’’ and inserting ‘‘State’’; and 
(2) by striking ‘‘dial-up Internet access or’’. 
SEC. 6006. RURAL WATER AND WASTEWATER CIRCUIT RIDER PRO-
GRAM. 
Section 306(a)(22)(C) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(22)(C)) is amended by striking 
‘‘$15,000,000 for fiscal year 2003’’ and inserting ‘‘$25,000,000 for 
fiscal year 2008’’. 
SEC. 6007. TRIBAL COLLEGE AND UNIVERSITY ESSENTIAL COMMUNITY 
FACILITIES. 
Section 306(a)(25) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1926(a)(25)) is amended— 
(1) in subparagraph (A)— 
(A) by striking ‘‘tribal colleges and universities’’ and 
inserting ‘‘an entity that is a Tribal College or University’’; 
and 
(B) by striking ‘‘tribal college or university’’ and 
inserting ‘‘Tribal College or University’’; 
7 USC 2009ee— 
2009ee–3. 
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122 STAT. 1163 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) by striking subparagraph (B) and inserting the fol-
lowing: 
‘‘(B) FEDERAL SHARE.—The Secretary shall establish 
the maximum percentage of the cost of the facility that 
may be covered by a grant under this paragraph, except 
that the Secretary may not require non-Federal financial 
support in an amount that is greater than 5 percent of 
the total cost of the facility.’’; and 
(3) in subparagraph (C), by striking ‘‘2003 through 2007’’ 
and inserting ‘‘2008 through 2012’’. 
SEC. 6008. EMERGENCY AND IMMINENT COMMUNITY WATER ASSIST-
ANCE GRANT PROGRAM. 
Section 306A(i)(2) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1926a(i)(2)) is amended by striking ‘‘2003 
through 2007’’ and inserting ‘‘2008 through 2012’’. 
SEC. 6009. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN 
ALASKA. 
(a) IN GENERAL.—Section 306D(d)(1) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1926d(d)(1)) is amended by 
striking ‘‘2001 through 2007’’ and inserting ‘‘2008 through 2012’’. 
(b) RURAL COMMUNITIES ASSISTANCE.—Section 4009 of the Solid 
Waste Disposal Act (42 U.S.C. 6949) is amended by adding at 
the end the following: 
‘‘(e) ADDITIONAL APPROPRIATIONS.— 
‘‘(1) IN GENERAL.—There are authorized to be appropriated 
to carry out this section for the Denali Commission to provide 
assistance to municipalities in the State of Alaska $1,500,000 
for each of fiscal years 2008 through 2012. 
‘‘(2) ADMINISTRATION.—For the purpose of carrying out this 
subsection, the Denali Commission shall— 
‘‘(A) be considered a State; and 
‘‘(B) comply with all other requirements and limitations 
of this section.’’. 
SEC. 6010. GRANTS TO NONPROFIT ORGANIZATIONS TO FINANCE THE 
CONSTRUCTION, REFURBISHING, AND SERVICING OF 
INDIVIDUALLY-OWNED HOUSEHOLD WATER WELL SYS-
TEMS IN RURAL AREAS FOR INDIVIDUALS WITH LOW OR 
MODERATE INCOMES. 
Section 306E of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926e) is amended— 
(1) in subsection (b)(2)(C), by striking ‘‘$8,000’’ and 
inserting ‘‘$11,000’’; and 
(2) in subsection (d), by striking ‘‘2003 through 2007’’ and 
inserting ‘‘2008 through 2012’’. 
SEC. 6011. INTEREST RATES FOR WATER AND WASTE DISPOSAL FACILI-
TIES LOANS. 
Section 307(a)(3) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1927(a)(3)) is amended by adding at the end 
the following: 
‘‘(E) INTEREST RATES FOR WATER AND WASTE DISPOSAL 
FACILITIES LOANS.— 
‘‘(i) IN
GENERAL.—Except as provided in clause 
(ii) and notwithstanding subparagraph (A), in the case 
of a direct loan for a water or waste disposal facility— 
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122 STAT. 1164 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(I) in the case of a loan that would be subject 
to the 5 percent interest rate limitation under 
subparagraph (A), the Secretary shall establish 
the interest rate at a rate that is equal to 60 
percent of the current market yield for outstanding 
municipal obligations with remaining periods to 
maturity comparable to the average maturity of 
the loan, adjusted to the nearest 1⁄8 of 1 percent; 
and 
‘‘(II) in the case of a loan that would be subject 
to the 7 percent limitation under subparagraph 
(A), the Secretary shall establish the interest rate 
at a rate that is equal to 80 percent of the current 
market yield for outstanding municipal obligations 
with remaining periods to maturity comparable 
to the average maturity of the loan, adjusted to 
the nearest 1⁄8 of 1 percent. 
‘‘(ii) EXCEPTION.—Clause (i) does not apply to a 
loan for a specific project that is the subject of a 
loan that has been approved, but not closed, as of 
the date of enactment of this subparagraph.’’. 
SEC. 6012. COOPERATIVE EQUITY SECURITY GUARANTEE. 
(a) IN GENERAL.—Section 310B of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1932) is amended— 
(1) by striking ‘‘SEC. 310B. (a)’’ and inserting the following: 
‘‘SEC. 310B. ASSISTANCE FOR RURAL ENTITIES. 
‘‘(a) LOANS TO PRIVATE BUSINESS ENTERPRISES.— 
‘‘(1) DEFINITIONS.—In this subsection:’’; 
(2) in subsection (a)— 
(A) by moving the second and fourth sentences so 
as to appear as the second and first sentences, respectively; 
(B) in the sentence beginning ‘‘As used in this sub-
section, the’’ (as moved by subparagraph (A)), by striking 
‘‘As used in this subsection, the’’ and inserting the fol-
lowing: 
‘‘(A) AQUACULTURE.—The’’; 
(C) in the sentence beginning ‘‘For the purposes of 
this subsection, the’’, by striking ‘‘For the purposes of this 
subsection, the’’ and inserting the following: 
‘‘(B) SOLAR ENERGY.—The’’; 
(D) in the sentence beginning ‘‘The Secretary may 
also’’— 
(i) by striking ‘‘The Secretary may also’’ and 
inserting the following: 
‘‘(2) LOAN PURPOSES.—The Secretary may’’; 
(ii) by inserting ‘‘and private investment funds that 
invest primarily in cooperative organizations’’ after ‘‘or 
nonprofit’’; 
(iii) by striking ‘‘of (1) improving’’ and inserting 
‘‘of— 
‘‘(A) improving’’; 
(iv) by striking ‘‘control, (2) the’’ and inserting 
‘‘control; 
‘‘(B) the’’; 
(v) by striking ‘‘areas, (3) reducing’’ and inserting 
‘‘areas; 
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122 STAT. 1165 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) reducing’’; 
(vi) by striking ‘‘areas, and (4) to’’ and inserting 
‘‘areas; and 
‘‘(D) to’’; 
(E) in the sentence beginning ‘‘Such loans,’’, by striking 
‘‘Such loans,’’ and inserting the following: 
‘‘(3) LOAN
GUARANTEES.—Loans described in paragraph 
(2),’’; and 
(F) in the last sentence, by striking ‘‘No loan’’ and 
inserting the following: 
‘‘(4) MAXIMUM AMOUNT OF PRINCIPAL.—No loan’’; and 
(3) in subsection (g)— 
(A) in paragraph (1), by inserting ‘‘, including guaran-
tees described in paragraph (3)(A)(ii)’’ before the period 
at the end; 
(B) in paragraph (3)(A)— 
(i) by striking ‘‘(A) IN GENERAL.—The Secretary’’ 
and inserting the following: 
‘‘(A) ELIGIBILITY.— 
‘‘(i) IN GENERAL.—The Secretary’’; and 
(ii) by adding at the end the following: 
‘‘(ii) EQUITY.—The Secretary may guarantee a loan 
made for the purchase of preferred stock or similar 
equity issued by a cooperative organization or a fund 
that invests primarily in cooperative organizations, if 
the guarantee significantly benefits 1 or more entities 
eligible for assistance for the purposes described in 
subsection (a)(1), as determined by the Secretary.’’; 
and 
(C) in paragraph (8)(A)(ii), by striking ‘‘a project— 
’’ and all that follows through the end of subclause (II) 
and inserting ‘‘a project that— 
‘‘(I)(aa) is in a rural area; and 
‘‘(bb) provides for the value-added processing 
of agricultural commodities; or 
‘‘(II) significantly benefits 1 or more entities 
eligible for assistance for the purposes described 
in subsection (a)(1), as determined by the Sec-
retary.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 307(a)(6)(B) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1927(a)(6)(B)) is amended by 
striking clause (ii) and inserting the following: 
‘‘(ii) section 310B(a)(2)(A); and’’. 
(2) Section 310B(g) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1932(g)) is amended by striking 
‘‘subsection (a)(1)’’ each place it appears in paragraphs (1), 
(6)(A)(iii), and (8)(C) and inserting ‘‘subsection (a)(2)(A)’’. 
(3) Section 333A(g)(1)(B) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1983a(g)(1)(B)) is amended 
by 
striking 
‘‘section 
310B(a)(1)’’ 
and 
inserting 
‘‘section 
310B(a)(2)(A)’’. 
(4) Section 381E(d)(3)(B) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 2009d(d)(3)(B)) is amended 
by 
striking 
‘‘section 
310B(a)(1)’’ 
and 
inserting 
‘‘section 
310B(a)(2)(A)’’. 
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122 STAT. 1166 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 6013. RURAL COOPERATIVE DEVELOPMENT GRANTS. 
(a) ELIGIBILITY.—Section 310B(e)(5) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1932(e)(5)) is amended— 
(1) in subparagraph (A), by striking ‘‘administering a 
nationally coordinated, regionally or State-wide operated 
project’’ and inserting ‘‘carrying out activities to promote and 
assist the development of cooperatively and mutually owned 
businesses’’; 
(2) in subparagraph (B), by inserting ‘‘to promote and assist 
the 
development 
of 
cooperatively 
and 
mutually 
owned 
businesses’’ before the semicolon; 
(3) by striking subparagraph (D); 
(4) by redesignating subparagraph (E) as subparagraph 
(D); 
(5) in subparagraph (D) (as so redesignated), by striking 
‘‘and’’ at the end; 
(6) by inserting after subparagraph (D) (as so redesignated) 
the following: 
‘‘(E) demonstrate a commitment to— 
‘‘(i) networking with and sharing the results of 
the efforts of the center with other cooperative develop-
ment centers and other organizations involved in rural 
economic development efforts; and 
‘‘(ii) developing multiorganization and multistate 
approaches to addressing the economic development 
and cooperative needs of rural areas; and’’; and 
(7) in subparagraph (F), by striking ‘‘providing greater 
than’’ and inserting ‘‘providing’’. 
(b) AUTHORITY TO AWARD MULTIYEAR GRANTS.—Section 310B(e) 
of the Consolidated Farm and Rural Development Act (7 U.S.C. 
1932(e)) is amended by striking paragraph (6) and inserting the 
following: 
‘‘(6) GRANT PERIOD.— 
‘‘(A) IN GENERAL.—A grant awarded to a center that 
has received no prior funding under this subsection shall 
be made for a period of 1 year. 
‘‘(B) MULTIYEAR GRANTS.—If the Secretary determines 
it to be in the best interest of the program, the Secretary 
shall award grants for a period of more than 1 year, but 
not more than 3 years, to a center that has successfully 
met the parameters described in paragraph (5), as deter-
mined by the Secretary.’’. 
(c) AUTHORITY
TO EXTEND GRANT PERIOD.—Section 310B(e) 
of the Consolidated Farm and Rural Development Act (7 U.S.C. 
1932(e)) is amended— 
(1) by redesignating paragraphs (7), (8), and (9) as para-
graphs (8), (9), and (12), respectively; and 
(2) by inserting after paragraph (6) the following: 
‘‘(7) AUTHORITY TO EXTEND GRANT PERIOD.—The Secretary 
may extend for 1 additional 12-month period the period in 
which a grantee may use a grant made under this subsection.’’. 
(d) COOPERATIVE RESEARCH PROGRAM.—Section 310B(e) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1932(e)) 
is amended by inserting after paragraph (9) (as redesignated by 
subsection (c)(1)) the following: 
‘‘(10) COOPERATIVE
RESEARCH
PROGRAM.—The Secretary 
shall enter into a cooperative research agreement with 1 or 
Contracts. 
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122 STAT. 1167 
PUBLIC LAW 110–234—MAY 22, 2008 
more qualified academic institutions in each fiscal year to con-
duct research on the effects of all types of cooperatives on 
the national economy.’’. 
(e) ADDRESSING NEEDS OF MINORITY COMMUNITIES.—Section 
310B(e) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1932(e)) is amended by inserting after paragraph (10) (as 
added by subsection (d)) the following: 
‘‘(11) ADDRESSING NEEDS OF MINORITY COMMUNITIES.— 
‘‘(A) DEFINITION OF SOCIALLY DISADVANTAGED GROUP.— 
In this paragraph, the term ‘socially disadvantaged group’ 
has the meaning given the term in section 355(e). 
‘‘(B) RESERVATION OF FUNDS.— 
‘‘(i) IN GENERAL.—If the total amount appropriated 
under paragraph (12) for a fiscal year exceeds 
$7,500,000, the Secretary shall reserve an amount 
equal to 20 percent of the total amount appropriated 
for grants for cooperative development centers, indi-
vidual cooperatives, or groups of cooperatives— 
‘‘(I) that serve socially disadvantaged groups; 
and 
‘‘(II) a majority of the boards of directors or 
governing boards of which are comprised of individ-
uals who are members of socially disadvantaged 
groups. 
‘‘(ii) INSUFFICIENT
APPLICATIONS.—To the extent 
there are insufficient applications to carry out clause 
(i), the Secretary shall use the funds as otherwise 
authorized by this subsection.’’. 
(f) AUTHORIZATION OF APPROPRIATIONS.—Paragraph (12) of sec-
tion 310B(e) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1932(e)) (as redesignated by subsection (c)(1)) is 
amended by striking ‘‘1996 through 2007’’ and inserting ‘‘2008 
through 2012’’. 
SEC. 6014. GRANTS TO BROADCASTING SYSTEMS. 
Section 310B(f)(3) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1932(f)(3)) is amended by striking ‘‘2002 through 
2007’’ and inserting ‘‘2008 through 2012’’. 
SEC. 6015. LOCALLY OR REGIONALLY PRODUCED AGRICULTURAL 
FOOD PRODUCTS. 
Section 310B(g) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1932(g)) is amended by adding at the end 
the following: 
‘‘(9) LOCALLY
OR
REGIONALLY
PRODUCED
AGRICULTURAL 
FOOD PRODUCTS.— 
‘‘(A) DEFINITIONS.—In this paragraph: 
‘‘(i) LOCALLY OR REGIONALLY PRODUCED AGRICUL-
TURAL FOOD PRODUCT.—The term ‘locally or regionally 
produced agricultural food product’ means any agricul-
tural food product that is raised, produced, and distrib-
uted in— 
‘‘(I) the locality or region in which the final 
product is marketed, so that the total distance 
that the product is transported is less than 400 
miles from the origin of the product; or 
‘‘(II) the State in which the product is pro-
duced. 
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122 STAT. 1168 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) UNDERSERVED COMMUNITY.—The term ‘under-
served community’ means a community (including an 
urban or rural community and an Indian tribal commu-
nity) that has, as determined by the Secretary— 
‘‘(I) limited access to affordable, healthy foods, 
including fresh fruits and vegetables, in grocery 
retail stores or farmer-to-consumer direct markets; 
and 
‘‘(II) a high rate of hunger or food insecurity 
or a high poverty rate. 
‘‘(B) LOAN AND LOAN GUARANTEE PROGRAM.— 
‘‘(i) IN
GENERAL.—The Secretary shall make or 
guarantee loans to individuals, cooperatives, coopera-
tive organizations, businesses, and other entities to 
establish and facilitate enterprises that process, dis-
tribute, aggregate, store, and market locally or region-
ally produced agricultural food products to support 
community development and farm and ranch income. 
‘‘(ii) REQUIREMENT.—The recipient of a loan or loan 
guarantee under clause (i) shall include in an appro-
priate agreement with retail and institutional facilities 
to which the recipient sells locally or regionally pro-
duced agricultural food products a requirement to 
inform consumers of the retail or institutional facilities 
that the consumers are purchasing or consuming 
locally or regionally produced agricultural food prod-
ucts. 
‘‘(iii) PRIORITY.—In making or guaranteeing a loan 
under clause (i), the Secretary shall give priority to 
projects that have components benefitting underserved 
communities. 
‘‘(iv) REPORTS.—Not later than 2 years after the 
date of enactment of this paragraph and annually 
thereafter, 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 that describes projects carried 
out using loans or loan guarantees made under clause 
(i), including— 
‘‘(I) the characteristics of the communities 
served; and 
‘‘(II) resulting benefits. 
‘‘(v) RESERVATION OF FUNDS.— 
‘‘(I) IN GENERAL.—For each of fiscal years 2008 
through 2012, the Secretary shall reserve not less 
than 5 percent of the funds made available to 
carry out this subsection to carry out this subpara-
graph. 
‘‘(II) AVAILABILITY OF FUNDS.—Funds reserved 
under subclause (I) for a fiscal year shall be 
reserved until April 1 of the fiscal year.’’. 
SEC. 6016. APPROPRIATE TECHNOLOGY TRANSFER FOR RURAL AREAS. 
Section 310B of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1932) is amended by adding at the end the following: 
‘‘(i) APPROPRIATE TECHNOLOGY TRANSFER
FOR RURAL AREAS 
PROGRAM.— 
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122 STAT. 1169 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) DEFINITION
OF
NATIONAL
NONPROFIT
AGRICULTURAL 
ASSISTANCE INSTITUTION.—In this subsection, the term ‘national 
nonprofit 
agricultural 
assistance 
institution’ 
means 
an 
organization that— 
‘‘(A) is described in section 501(c)(3) of the Internal 
Revenue Code of 1986 and exempt from taxation under 
501(a) of that Code; 
‘‘(B) has staff and offices in multiple regions of the 
United States; 
‘‘(C) has experience and expertise in operating national 
agriculture technical assistance programs; 
‘‘(D) expands markets for the agricultural commodities 
produced by producers through the use of practices that 
enhance the environment, natural resource base, and 
quality of life; and 
‘‘(E) improves the economic viability of agricultural 
operations. 
‘‘(2) ESTABLISHMENT.—The Secretary shall establish a 
national appropriate technology transfer for rural areas pro-
gram to assist agricultural producers that are seeking informa-
tion to— 
‘‘(A) reduce input costs; 
‘‘(B) conserve energy resources; 
‘‘(C) diversify operations through new energy crops and 
energy generation facilities; and 
‘‘(D) expand markets for agricultural commodities pro-
duced by the producers by using practices that enhance 
the environment, natural resource base, and quality of 
life. 
‘‘(3) IMPLEMENTATION.— 
‘‘(A) IN GENERAL.—The Secretary shall carry out the 
program under this subsection by making a grant to, or 
offering to enter into a cooperative agreement with, a 
national nonprofit agricultural assistance institution. 
‘‘(B) GRANT AMOUNT.—A grant made, or cooperative 
agreement entered into, under subparagraph (A) shall pro-
vide 100 percent of the cost of providing information 
described in paragraph (2). 
‘‘(4) 
AUTHORIZATION
OF
APPROPRIATIONS.—There 
are 
authorized to be appropriated to carry out this subsection 
$5,000,000 for each of fiscal years 2008 through 2012.’’. 
SEC. 6017. RURAL ECONOMIC AREA PARTNERSHIP ZONES. 
Section 310B of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1932) (as amended by section 6016) is amended 
by adding at the end the following: 
‘‘(j) RURAL ECONOMIC AREA PARTNERSHIP ZONES.—Effective 
beginning on the date of enactment of this subsection through 
September 30, 2012, the Secretary shall carry out those rural eco-
nomic area partnership zones administratively in effect on the 
date of enactment of this subsection in accordance with the terms 
and conditions contained in the memorandums of agreement entered 
into by the Secretary for the rural economic area partnership zones, 
except as otherwise provided in this subsection.’’. 
Effective date. 
Termination 
date. 
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122 STAT. 1170 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 6018. DEFINITIONS. 
(a) RURAL AREA.—Section 343(a) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1991(a)) is amended by 
striking paragraph (13) and inserting the following: 
‘‘(13) RURAL AND RURAL AREA.— 
‘‘(A) IN
GENERAL.—Subject to subparagraphs (B) 
through (G), the terms ‘rural’ and ‘rural area’ mean any 
area other than— 
‘‘(i) a city or town that has a population of greater 
than 50,000 inhabitants; and 
‘‘(ii) any urbanized area contiguous and adjacent 
to a city or town described in clause (i). 
‘‘(B) WATER AND WASTE DISPOSAL GRANTS AND DIRECT 
AND GUARANTEED LOANS.—For the purpose of water and 
waste disposal grants and direct and guaranteed loans 
provided under paragraphs (1), (2), and (24) of section 
306(a), the terms ‘rural’ and ‘rural area’ mean a city, town, 
or unincorporated area that has a population of no more 
than 10,000 inhabitants. 
‘‘(C) COMMUNITY FACILITY LOANS AND GRANTS.—For the 
purpose of community facility direct and guaranteed loans 
and grants under paragraphs (1), (19), (20), (21), and (24) 
of section 306(a), the terms ‘rural’ and ‘rural area’ mean 
any area other than a city, town, or unincorporated area 
that has a population of greater than 20,000 inhabitants. 
‘‘(D) AREAS RURAL IN CHARACTER.— 
‘‘(i) APPLICATION.—This subparagraph applies to— 
‘‘(I) an urbanized area described in subpara-
graphs (A)(ii) and (F) that— 
‘‘(aa) has 2 points on its boundary that 
are at least 40 miles apart; and 
‘‘(bb) is not contiguous or adjacent to a 
city or town that has a population of greater 
than 150,000 inhabitants or an urbanized area 
of such city or town; and 
‘‘(II) an area within an urbanized area 
described in subparagraphs (A)(ii) and (F) that 
is within 1⁄4-mile of a rural area described in 
subparagraph (A). 
‘‘(ii) DETERMINATION.—Notwithstanding any other 
provision of this paragraph, on the petition of a unit 
of local government in an area described in clause 
(i) or on the initiative of the Under Secretary for Rural 
Development, the Under Secretary may determine that 
a part of an area described in clause (i) is a rural 
area for the purposes of this paragraph, if the Under 
Secretary finds that the part is rural in character, 
as determined by the Under Secretary. 
‘‘(iii) 
ADMINISTRATION.—In 
carrying 
out 
this 
subparagraph, the Under Secretary for Rural Develop-
ment shall— 
‘‘(I) not delegate the authority to carry out 
this subparagraph; 
‘‘(II) consult with the applicable rural develop-
ment State or regional director of the Department 
of Agriculture and the governor of the respective 
State; 
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122 STAT. 1171 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(III) provide to the petitioner an opportunity 
to appeal to the Under Secretary a determination 
made under this subparagraph; 
‘‘(IV) release to the public notice of a petition 
filed or initiative of the Under Secretary under 
this subparagraph not later than 30 days after 
receipt of the petition or the commencement of 
the initiative, as appropriate; 
‘‘(V) make a determination under this subpara-
graph not less than 15 days, and not more than 
60 days, after the release of the notice under sub-
clause (IV); 
‘‘(VI) submit to the Committee on Agriculture 
of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the 
Senate an annual report on actions taken to carry 
out this subparagraph; and 
‘‘(VII) terminate a determination under this 
subparagraph that part of an area is a rural area 
on the date that data is available for the next 
decennial census conducted under section 141(a) 
of title 13, United States Code. 
‘‘(E) EXCLUSIONS.—Notwithstanding any other provi-
sion of this paragraph, in determining which census blocks 
in an urbanized area are not in a rural area (as defined 
in this paragraph), the Secretary shall exclude any cluster 
of census blocks that would otherwise be considered not 
in a rural area only because the cluster is adjacent to 
not more than 2 census blocks that are otherwise consid-
ered not in a rural area under this paragraph. 
‘‘(F) URBAN AREA GROWTH.— 
‘‘(i) APPLICATION.—This subparagraph applies to— 
‘‘(I) any area that— 
‘‘(aa) is a collection of census blocks that 
are contiguous to each other; 
‘‘(bb) has a housing density that the Sec-
retary estimates is greater than 200 housing 
units per square mile; and 
‘‘(cc) is contiguous or adjacent to an 
existing boundary of a rural area; and 
‘‘(II) any urbanized area contiguous and adja-
cent to a city or town described in subparagraph 
(A)(i). 
‘‘(ii) ADJUSTMENTS.—The Secretary may, by regula-
tion only, consider— 
‘‘(I) an area described in clause (i)(I) not to 
be a rural area for purposes of subparagraphs 
(A) and (C); and 
‘‘(II) an area described in clause (i)(II) not 
to be a rural area for purposes of subparagraph 
(C). 
‘‘(iii) APPEALS.—A program applicant may appeal 
an estimate made under clause (i)(I) based on appro-
priate data for an area, as determined by the Secretary. 
‘‘(G) HAWAII AND PUERTO RICO.—Notwithstanding any 
other provision of this paragraph, within the areas of the 
County of Honolulu, Hawaii, and the Commonwealth of 
Termination 
date. 
Reports. 
Time period. 
Public 
information. 
Notice. 
Deadline. 
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122 STAT. 1172 
PUBLIC LAW 110–234—MAY 22, 2008 
Puerto Rico, the Secretary may designate any part of the 
areas as a rural area if the Secretary determines that 
the part is not urban in character, other than any area 
included in the Honolulu Census Designated Place or the 
San Juan Census Designated Place.’’. 
(b) REPORT.—Not later than 2 years after the date of enactment 
of this Act, the Secretary shall prepare and submit to the Committee 
on Agriculture of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate a report 
that— 
(1) assesses the various definitions of the term ‘‘rural’’ 
and ‘‘rural area’’ that are used with respect to programs 
administered by the Secretary; 
(2) describes the effects that the variations in those defini-
tions have on those programs; 
(3) make recommendations for ways to better target funds 
provided through rural development programs; and 
(4) determines the effect of the amendment made by sub-
section (a) on the level of rural development funding and partici-
pation in those programs in each State. 
SEC. 6019. NATIONAL RURAL DEVELOPMENT PARTNERSHIP. 
Section 378 of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 2008m) is amended— 
(1) in subsection (g)(1), by striking ‘‘2003 through 2007’’ 
and inserting ‘‘2008 through 2012’’; and 
(2) in subsection (h), by striking ‘‘the date that is 5 years 
after the date of enactment of this section’’ and inserting ‘‘Sep-
tember 30, 2012’’. 
SEC. 6020. HISTORIC BARN PRESERVATION. 
(a) GRANT PRIORITY.—Section 379A(c) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 2008o(c)) is amended— 
(1) in paragraph (2)— 
(A) in subparagraphs (A) and (B), by striking ‘‘a historic 
barn’’ each place it appears and inserting ‘‘historic barns’’; 
and 
(B) in subparagraph (C), by striking ‘‘on a historic 
barn’’ and inserting ‘‘on historic barns (including surveys)’’; 
(2) by redesignating paragraphs (3) and (4) as paragraphs 
(4) and (5), respectively; and 
(3) by inserting after paragraph (2) the following: 
‘‘(3) PRIORITY.—In making grants under this subsection, 
the Secretary shall give the highest priority to funding projects 
described in paragraph (2)(C).’’. 
(b) AUTHORIZATION OF APPROPRIATIONS.—Section 379A(c)(5) of 
the Consolidated Farm and Rural Development Act (7 U.S.C. 
2008o(c)(5)) (as redesignated by subsection (a)(2)) is amended by 
striking ‘‘2002 through 2007’’ and inserting ‘‘2008 through 2012’’. 
SEC. 6021. GRANTS FOR NOAA WEATHER RADIO TRANSMITTERS. 
Section 379B(d) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 2008p(d)) is amended by striking ‘‘2002 through 
2007’’ and inserting ‘‘2008 through 2012’’. 
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122 STAT. 1173 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 6022. RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM. 
Subtitle D of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981 et seq.) is amended by adding at the end 
the following: 
‘‘SEC. 379E. RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) INDIAN TRIBE.—The term ‘Indian tribe’ has the meaning 
given the term in section 4 of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b). 
‘‘(2) MICROENTREPRENEUR.—The term ‘microentrepreneur’ 
means an owner and operator, or prospective owner and oper-
ator, of a rural microenterprise who is unable to obtain suffi-
cient training, technical assistance, or credit other than under 
this section, as determined by the Secretary. 
‘‘(3) MICROENTERPRISE DEVELOPMENT ORGANIZATION.—The 
term ‘microenterprise development organization’ means an 
organization that— 
‘‘(A) is— 
‘‘(i) a nonprofit entity; 
‘‘(ii) an Indian tribe, the tribal government of which 
certifies to the Secretary that— 
‘‘(I) no microenterprise development organiza-
tion serves the Indian tribe; and 
‘‘(II) no rural microentrepreneur assistance 
program exists under the jurisdiction of the Indian 
tribe; or 
‘‘(iii) a public institution of higher education; 
‘‘(B) provides training and technical assistance to rural 
microentrepreneurs; 
‘‘(C) facilitates access to capital or another service 
described in subsection (b) for rural microenterprises; and 
‘‘(D) has a demonstrated record of delivering services 
to rural microentrepreneurs, or an effective plan to develop 
a program to deliver services to rural microentrepreneurs, 
as determined by the Secretary. 
‘‘(4) MICROLOAN.—The term ‘microloan’ means a business 
loan of not more than $50,000 that is provided to a rural 
microenterprise. 
‘‘(5) PROGRAM.—The term ‘program’ means the rural micro-
entrepreneur assistance program established under subsection 
(b). 
‘‘(6) RURAL MICROENTERPRISE.—The term ‘rural microenter-
prise’ means— 
‘‘(A) a sole proprietorship located in a rural area; or 
‘‘(B) a business entity with not more than 10 full- 
time-equivalent employees located in a rural area. 
‘‘(b) RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish a rural 
microentrepreneur assistance program to provide loans and 
grants to support microentrepreneurs in the development and 
ongoing success of rural microenterprises. 
‘‘(2) PURPOSE.—The purpose of the program is to provide 
microentrepreneurs with— 
‘‘(A) the skills necessary to establish new rural micro-
enterprises; and 
7 USC 2008s. 
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122 STAT. 1174 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) continuing technical and financial assistance 
related to the successful operation of rural microenter-
prises. 
‘‘(3) LOANS.— 
‘‘(A) IN GENERAL.—The Secretary shall make loans to 
microenterprise development organizations for the purpose 
of providing fixed interest rate microloans to microentre-
preneurs for startup and growing rural microenterprises. 
‘‘(B) LOAN TERMS.—A loan made by the Secretary to 
a microenterprise development organization under this 
paragraph shall— 
‘‘(i) be for a term not to exceed 20 years; and 
‘‘(ii) bear an annual interest rate of at least 1 
percent. 
‘‘(C) LOAN LOSS RESERVE FUND.—The Secretary shall 
require each microenterprise development organization 
that receives a loan under this paragraph to— 
‘‘(i) establish a loan loss reserve fund; and 
‘‘(ii) maintain the reserve fund in an amount equal 
to at least 5 percent of the outstanding balance of 
such loans owed by the microenterprise development 
organization, until all obligations owed to the Secretary 
under this paragraph are repaid. 
‘‘(D) DEFERRAL OF INTEREST AND PRINCIPAL.—The Sec-
retary may permit the deferral of payments on principal 
and interest due on a loan to a microenterprise develop-
ment organization made under this paragraph for a 2- 
year period beginning on the date the loan is made. 
‘‘(4) GRANTS.— 
‘‘(A) GRANTS
TO
SUPPORT
RURAL
MICROENTERPRISE 
DEVELOPMENT.— 
‘‘(i) IN GENERAL.—The Secretary shall make grants 
to microenterprise development organizations to— 
‘‘(I) provide training, operational support, busi-
ness planning, and market development assist-
ance, and other related services to rural micro-
entrepreneurs; and 
‘‘(II) carry out such other projects and activi-
ties as the Secretary determines appropriate to 
further the purposes of the program. 
‘‘(ii) SELECTION.—In making grants under clause 
(i), the Secretary shall— 
‘‘(I) place an emphasis on microenterprise 
development organizations that serve microentre-
preneurs that are located in rural areas that have 
suffered significant outward migration, as deter-
mined by the Secretary; and 
‘‘(II) ensure, to the maximum extent prac-
ticable, that grant recipients include microenter-
prise development organizations— 
‘‘(aa) of varying sizes; and 
‘‘(bb) that serve racially and ethnically 
diverse populations. 
‘‘(B) GRANTS TO ASSIST MICROENTREPRENEURS.— 
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122 STAT. 1175 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) IN GENERAL.—The Secretary shall make grants 
to microenterprise development organizations to pro-
vide marketing, management, and other technical 
assistance to microentrepreneurs that— 
‘‘(I) received a loan from the microenterprise 
development organization under paragraph (3); or 
‘‘(II) are seeking a loan from the microenter-
prise development organization under paragraph 
(3). 
‘‘(ii) MAXIMUM AMOUNT OF GRANT.—A microenter-
prise development organization shall be eligible to 
receive an annual grant under this subparagraph in 
an amount equal to not more than 25 percent of the 
total outstanding balance of microloans made by the 
microenterprise development organization under para-
graph (3), as of the date the grant is awarded. 
‘‘(C) ADMINISTRATIVE
EXPENSES.—Not more than 10 
percent of a grant received by a microenterprise develop-
ment organization for a fiscal year under this paragraph 
may be used to pay administrative expenses. 
‘‘(c) ADMINISTRATION.— 
‘‘(1) COST SHARE.— 
‘‘(A) FEDERAL
SHARE.—Subject to subparagraph (B), 
the Federal share of the cost of a project funded under 
this section shall not exceed 75 percent. 
‘‘(B) MATCHING REQUIREMENT.—As a condition of any 
grant made under this subparagraph, the Secretary shall 
require the microenterprise development organization to 
match not less than 15 percent of the total amount of 
the grant in the form of matching funds, indirect costs, 
or in-kind goods or services. 
‘‘(C) FORM OF NON-FEDERAL SHARE.—The non-Federal 
share of the cost of a project funded under this section 
may be provided— 
‘‘(i) in cash (including through fees, grants 
(including community development block grants), and 
gifts); or 
‘‘(ii) in the form of in-kind contributions. 
‘‘(2) OVERSIGHT.—At a minimum, not later than December 
1 of each fiscal year, a microenterprise development organiza-
tion that receives a loan or grant under this section shall 
provide to the Secretary such information as the Secretary 
may require to ensure that assistance provided under this 
section is used for the purposes for which the loan or grant 
was made. 
‘‘(d) FUNDING.— 
‘‘(1) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall use to carry out this 
section, to remain available until expended— 
‘‘(A) $4,000,000 for each of fiscal years 2009 through 
2011; and 
‘‘(B) $3,000,000 for fiscal year 2012. 
‘‘(2) DISCRETIONARY
FUNDING.—In addition to amounts 
made available under paragraph (1), there are authorized to 
be appropriated to carry out this section $40,000,000 for each 
of fiscal years 2009 through 2012.’’. 
Deadline. 
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122 STAT. 1176 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 6023. GRANTS FOR EXPANSION OF EMPLOYMENT OPPORTUNITIES 
FOR INDIVIDUALS WITH DISABILITIES IN RURAL AREAS. 
Subtitle D of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981 et seq.) (as amended by section 6022) is amended 
by adding at the end the following: 
‘‘SEC. 379F. GRANTS FOR EXPANSION OF EMPLOYMENT OPPORTUNI-
TIES FOR INDIVIDUALS WITH DISABILITIES IN RURAL 
AREAS. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) INDIVIDUAL WITH A DISABILITY.—The term ‘individual 
with a disability’ means an individual with a disability (as 
defined in section 3 of the Americans with Disabilities Act 
of 1990 (42 U.S.C. 12102)). 
‘‘(2) INDIVIDUALS WITH DISABILITIES.—The term ‘individuals 
with disabilities’ means more than 1 individual with a dis-
ability. 
‘‘(b) GRANTS.—The Secretary shall make grants to nonprofit 
organizations, or to a consortium of nonprofit organizations, to 
expand and enhance employment opportunities for individuals with 
disabilities in rural areas. 
‘‘(c) ELIGIBILITY.—To be eligible to receive a grant under this 
section, a nonprofit organization or consortium of nonprofit 
organizations shall have— 
‘‘(1) a significant focus on serving the needs of individuals 
with disabilities; 
‘‘(2) demonstrated knowledge and expertise in— 
‘‘(A) employment of individuals with disabilities; and 
‘‘(B) advising private entities on accessibility issues 
involving individuals with disabilities; 
‘‘(3) expertise in removing barriers to employment for 
individuals with disabilities, including access to transportation, 
assistive technology, and other accommodations; and 
‘‘(4) existing relationships with national organizations 
focused primarily on the needs of rural areas. 
‘‘(d) USES.—A grant received under this section may be used 
only to expand or enhance— 
‘‘(1) employment opportunities for individuals with disabil-
ities in rural areas by developing national technical assistance 
and education resources to assist small businesses in a rural 
area to recruit, hire, accommodate, and employ individuals 
with disabilities; and 
‘‘(2) self-employment and entrepreneurship opportunities 
for individuals with disabilities in a rural area. 
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $2,000,000 for each 
of fiscal years 2008 through 2012.’’. 
SEC. 6024. HEALTH CARE SERVICES. 
Subtitle D of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981 et seq.) (as amended by section 6023) is amended 
by adding at the end the following: 
7 USC 2000t. 
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122 STAT. 1177 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 379G. HEALTH CARE SERVICES. 
‘‘(a) PURPOSE.—The purpose of this section is to address the 
continued unmet health needs in the Delta region through coopera-
tion among health care professionals, institutions of higher edu-
cation, research institutions, and other individuals and entities 
in the region. 
‘‘(b) DEFINITION OF ELIGIBLE ENTITY.—In this section, the term 
‘eligible entity’ means a consortium of regional institutions of higher 
education, academic health and research institutes, and economic 
development entities located in the Delta region that have experi-
ence in addressing the health care issues in the region. 
‘‘(c) GRANTS.—To carry out the purpose described in subsection 
(a), the Secretary may award a grant to an eligible entity for 
– 
‘‘(1) the development of – 
‘‘(A) health care services; 
‘‘(B) health education programs; and 
‘‘(C) health care job training programs; and 
‘‘(2) the development and expansion of public health-related 
facilities in the Delta region to address longstanding and unmet 
health needs of the region. 
‘‘(d) USE.—As a condition of the receipt of the grant, the eligible 
entity shall use the grant to fund projects and activities described 
in subsection (c), based on input solicited from local governments, 
public health care providers, and other entities in the Delta region. 
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to carry out this section, 
$3,000,000 for each of fiscal years 2008 through 2012.’’. 
SEC. 6025. DELTA REGIONAL AUTHORITY. 
(a) AUTHORIZATION
OF APPROPRIATIONS.—Section 382M(a) of 
the Consolidated Farm and Rural Development Act (7 U.S.C. 
2009aa–12(a)) is amended by striking ‘‘2001 through 2007’’ and 
inserting ‘‘2008 through 2012’’. 
(b) TERMINATION OF AUTHORITY.—Section 382N of the Consoli-
dated Farm and Rural Development Act (7 U.S.C. 2009aa–13) is 
amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
(c) EXPANSION.—Section 4(2) of the Delta Development Act 
(42 U.S.C. 3121 note; Public Law 100–460) is amended— 
(1) in subparagraph (D), by inserting ‘‘Beauregard, 
Bienville, Cameron, Claiborne, DeSoto, Jefferson Davis, Red 
River, St. Mary, Vermillion, Webster,’’ after ‘‘St. James,’’; and 
(2) in subparagraph (E)— 
(A) by inserting ‘‘Jasper,’’ after ‘‘Copiah,’’; and 
(B) by inserting ‘‘Smith,’’ after ‘‘Simpson,’’. 
SEC. 6026. NORTHERN GREAT PLAINS REGIONAL AUTHORITY. 
(a) DEFINITION OF REGION.—Section 383A(4) of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 2009bb(4)) is amended 
by inserting ‘‘Missouri (other than counties included in the Delta 
Regional Authority),’’ after ‘‘Minnesota,’’. 
(b) ESTABLISHMENT.—Section 383B of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 2009bb–1) is amended— 
(1) in subsection (a), by adding at the end the following: 
‘‘(4) FAILURE TO CONFIRM.— 
‘‘(A) FEDERAL
MEMBER.—Notwithstanding any other 
provision of this section, if a Federal member described 
Deadline. 
7 USC 2008u. 
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122 STAT. 1178 
PUBLIC LAW 110–234—MAY 22, 2008 
in paragraph (2)(A) has not been confirmed by the Senate 
by not later than 180 days after the date of enactment 
of this paragraph, the Authority may organize and operate 
without the Federal member. 
‘‘(B) INDIAN CHAIRPERSON.—In the case of the Indian 
Chairperson, if no Indian Chairperson is confirmed by the 
Senate, the regional authority shall consult and coordinate 
with the leaders of Indian tribes in the region concerning 
the activities of the Authority, as appropriate.’’; 
(2) in subsection (d)— 
(A) in paragraph (1), by striking ‘‘to establish priorities 
and’’ and inserting ‘‘for multistate cooperation to advance 
the economic and social well-being of the region and to’’; 
(B) in paragraph (3), by striking ‘‘local development 
districts,’’ and inserting ‘‘regional and local development 
districts or organizations, regional boards established under 
subtitle I,’’; 
(C) in paragraph (4), by striking ‘‘cooperation;’’ and 
inserting ‘‘cooperation for— 
‘‘(i) renewable energy development and trans-
mission; 
‘‘(ii) transportation planning and economic develop-
ment; 
‘‘(iii) information technology; 
‘‘(iv) movement of freight and individuals within 
the region; 
‘‘(v) federally-funded research at institutions of 
higher education; and 
‘‘(vi) conservation land management;’’; 
(D) by striking paragraph (6) and inserting the fol-
lowing: 
‘‘(6) enhance the capacity of, and provide support for, 
multistate development and research organizations, local 
development organizations and districts, and resource conserva-
tion districts in the region;’’; and 
(E) in paragraph (7), by inserting ‘‘renewable energy,’’ 
after ‘‘commercial,’’. 
(3) in subsection (f)(2), by striking ‘‘the Federal cochair-
person’’ and inserting ‘‘a cochairperson’’; 
(4) in subsection (g)(1), by striking subparagraphs (A) 
through (C) and inserting the following: 
‘‘(A) for each of fiscal years 2008 and 2009, 100 percent; 
‘‘(B) for fiscal year 2010, 75 percent; and 
‘‘(C) for fiscal year 2011 and each fiscal year thereafter, 
50 percent.’’. 
(c) INTERSTATE COOPERATION FOR ECONOMIC OPPORTUNITY AND 
EFFICIENCY.— 
(1) IN GENERAL.—Subtitle G of the Consolidated Farm and 
Rural Development Act is amended— 
(A) by redesignating sections 383C through 383N (7 
U.S.C. 2009bb–2 through 2009bb–13) as sections 383D 
through 383O, respectively; and 
(B) by inserting after section 383B (7 U.S.C. 2009bb– 
1) the following: 
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122 STAT. 1179 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 383C. INTERSTATE COOPERATION FOR ECONOMIC OPPOR-
TUNITY AND EFFICIENCY. 
‘‘(a) IN GENERAL.—The Authority shall provide assistance to 
States in developing regional plans to address multistate economic 
issues, including plans— 
‘‘(1) to develop a regional transmission system for move-
ment of renewable energy to markets outside the region; 
‘‘(2) to address regional transportation concerns, including 
the establishment of a Northern Great Plains Regional 
Transportation Working Group; 
‘‘(3) to encourage and support interstate collaboration on 
federally-funded research that is in the national interest; and 
‘‘(4) to establish a Regional Working Group on Agriculture 
Development and Transportation. 
‘‘(b) ECONOMIC
ISSUES.—The multistate economic issues 
referred to in subsection (a) shall include— 
‘‘(1) renewable energy development and transmission; 
‘‘(2) transportation planning and economic development; 
‘‘(3) information technology; 
‘‘(4) movement of freight and individuals within the region; 
‘‘(5) federally-funded research at institutions of higher edu-
cation; and 
‘‘(6) conservation land management.’’. 
(2) CONFORMING AMENDMENTS.— 
(A) Section 383B(c)(3)(B) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 2009bb–1(c)(3)(B)) is 
amended by striking ‘‘383I’’ and inserting ‘‘383J’’. 
(B) Section 383D(a) of the Consolidated Farm and 
Rural Development Act (as redesignated by paragraph 
(1)(A)) is amended by striking ‘‘383I’’ and inserting ‘‘383J’’. 
(C) Section 383E of the Consolidated Farm and Rural 
Development Act (as so redesignated) is amended— 
(i) in subsection (b)(1), by striking ‘‘383F(b)’’ and 
inserting ‘‘383G(b)’’; and 
(ii) in subsection (c)(2)(A), by striking ‘‘383I’’ and 
inserting ‘‘383J’’. 
(D) Section 383G of the Consolidated Farm and Rural 
Development Act (as so redesignated) is amended— 
(i) in subsection (b)— 
(I) in paragraph (1), by striking ‘‘383M’’ and 
inserting ‘‘383N’’; and 
(II) in paragraph (2), by striking ‘‘383D(b)’’ 
and inserting ‘‘383E(b)’’; 
(ii) in subsection (c)(2)(A), by striking ‘‘383E(b)’’ 
and inserting ‘‘383F(b)’’; and 
(iii) in subsection (d)— 
(I) by striking ‘‘383M’’ and inserting ‘‘383N’’; 
and 
(II) by striking ‘‘383C(a)’’ and inserting 
‘‘383D(a)’’. 
(E) Section 383J(c)(2) of the Consolidated Farm and 
Rural Development Act (as so redesignated) is amended 
by striking ‘‘383H’’ and inserting ‘‘383I’’. 
(d) ECONOMIC AND COMMUNITY DEVELOPMENT GRANTS.—Sec-
tion 383D of the Consolidated Farm and Rural Development Act 
(as redesignated by subsection (c)(1)(A)) is amended— 
(1) in subsection (a)— 
7 USC 2009bb–2. 
7 USC 2009bb–8. 
7 USC 2009bb–5. 
7 USC 2009bb–3. 
7 USC 2009bb–2. 
Plans. 
7 USC 
2009bb–1a. 
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122 STAT. 1180 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) in paragraph (1), by striking ‘‘transportation and 
telecommunication’’ and inserting ‘‘transportation, renew-
able energy transmission, and telecommunication’’; and 
(B) by redesignating paragraphs (1) and (2) as para-
graphs (2) and (1), respectively, and moving those para-
graphs so as to appear in numerical order; and 
(2) in subsection (b)(2), by striking ‘‘the activities in the 
following order or priority’’ and inserting ‘‘the following activi-
ties’’. 
(e) SUPPLEMENTS
TO
FEDERAL
GRANT
PROGRAMS.—Section 
383E(a) of the Consolidated Farm and Rural Development Act 
(as redesignated by subsection (c)(1)(A)) is amended by striking 
‘‘, including local development districts,’’. 
(f) MULTISTATE
AND
LOCAL
DEVELOPMENT
DISTRICTS
AND 
ORGANIZATIONS AND NORTHERN GREAT PLAINS INC.—Section 383F 
of the Consolidated Farm and Rural Development Act (as redesig-
nated by subsection (c)(1)(A)) is amended— 
(1) by striking the section heading and inserting 
‘‘MULTISTATE
AND
LOCAL
DEVELOPMENT
DISTRICTS
AND 
ORGANIZATIONS AND NORTHERN GREAT PLAINS INC.’’; and 
(2) by striking subsections (a) through (c) and inserting 
the following: 
‘‘(a) DEFINITION OF MULTISTATE AND LOCAL DEVELOPMENT DIS-
TRICT OR ORGANIZATION.—In this section, the term ‘multistate and 
local development district or organization’ means an entity— 
‘‘(1) that— 
‘‘(A) is a planning district in existence on the date 
of enactment of this subtitle that is recognized by the 
Economic Development Administration of the Department 
of Commerce; or 
‘‘(B) is— 
‘‘(i) organized and operated in a manner that 
ensures broad-based community participation and an 
effective opportunity for other nonprofit groups to con-
tribute to the development and implementation of pro-
grams in the region; 
‘‘(ii) a nonprofit incorporated body organized or 
chartered under the law of the State in which the 
entity is located; 
‘‘(iii) a nonprofit agency or instrumentality of a 
State or local government; 
‘‘(iv) a public organization established before the 
date of enactment of this subtitle under State law 
for creation of multijurisdictional, area-wide planning 
organizations; 
‘‘(v) a nonprofit agency or instrumentality of a 
State that was established for the purpose of assisting 
with multistate cooperation; or 
‘‘(vi) a nonprofit association or combination of 
bodies, agencies, and instrumentalities described in 
clauses (ii) through (v); and 
‘‘(2) that has not, as certified by the Authority (in consulta-
tion with the Federal cochairperson or Secretary, as appro-
priate)— 
‘‘(A) inappropriately used Federal grant funds from 
any Federal source; or 
7 USC 2009bb–4. 
7 USC 2009bb–3. 
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122 STAT. 1181 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) appointed an officer who, during the period in 
which another entity inappropriately used Federal grant 
funds from any Federal source, was an officer of the other 
entity. 
‘‘(b) GRANTS TO MULTISTATE, LOCAL, OR REGIONAL DEVELOP-
MENT DISTRICTS AND ORGANIZATIONS.— 
‘‘(1) IN
GENERAL.—The Authority may make grants for 
administrative expenses under this section to multistate, local, 
and regional development districts and organizations. 
‘‘(2) CONDITIONS FOR GRANTS.— 
‘‘(A) MAXIMUM
AMOUNT.—The amount of any grant 
awarded under paragraph (1) shall not exceed 80 percent 
of the administrative expenses of the multistate, local, or 
regional development district or organization receiving the 
grant. 
‘‘(B) MAXIMUM PERIOD.—No grant described in para-
graph (1) shall be awarded for a period greater than 3 
years. 
‘‘(3) LOCAL SHARE.—The contributions of a multistate, local, 
or regional development district or organization for administra-
tive expenses may be in cash or in kind, fairly evaluated, 
including space, equipment, and services. 
‘‘(c) DUTIES.— 
‘‘(1) IN GENERAL.—Except as provided in paragraph (2), 
a local development district shall operate as a lead organization 
serving multicounty areas in the region at the local level. 
‘‘(2) DESIGNATION.—The Federal cochairperson may des-
ignate an Indian tribe or multijurisdictional organization to 
serve as a lead organization in such cases as the Federal 
cochairperson or Secretary, as appropriate, determines appro-
priate.’’. 
(g) DISTRESSED COUNTIES
AND AREAS
AND NONDISTRESSED 
COUNTIES.—Section 383G of the Consolidated Farm and Rural 
Development Act (as redesignated by subsection (c)(1)(A)) is 
amended— 
(1) in subsection (b)(1), by striking ‘‘75’’ and inserting ‘‘50’’; 
(2) by striking subsection (c); 
(3) by redesignating subsection (d) as subsection (c); and 
(4) in subsection (c) (as so redesignated)— 
(A) in the subsection heading, by inserting ‘‘RENEW-
ABLE ENERGY,’’ after‘‘TELECOMMUNICATION’’; and 
(B) by inserting ‘‘, renewable energy,’’ after ‘‘tele-
communication,’’. 
(h) DEVELOPMENT PLANNING PROCESS.—Section 383H of the 
Consolidated Farm and Rural Development Act (as redesignated 
by subsection (c)(1)(A)) is amended— 
(1) in subsection (c)(1), by striking subparagraph (A) and 
inserting the following: 
‘‘(A) multistate, regional, and local development dis-
tricts and organizations; and’’; and 
(2) in subsection (d)(1), by striking ‘‘State and local develop-
ment districts’’ and inserting ‘‘multistate, regional, and local 
development districts and organizations’’. 
(i) PROGRAM DEVELOPMENT CRITERIA.—Section 383I(a)(1) of the 
Consolidated Farm and Rural Development Act (as redesignated 
by subsection (c)(1)(A)) is amended by inserting ‘‘multistate or’’ 
before ‘‘regional’’. 
7 USC 2009bb–7. 
7 USC 2009bb–6. 
7 USC 2009bb–5. 
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122 STAT. 1182 
PUBLIC LAW 110–234—MAY 22, 2008 
(j) AUTHORIZATION OF APPROPRIATIONS.—Section 383N(a) of the 
Consolidated Farm and Rural Development Act (as redesignated 
by subsection (c)(1)(A)) is amended by striking ‘‘2002 through 2007’’ 
and inserting ‘‘2008 through 2012’’. 
(k) TERMINATION OF AUTHORITY.—Section 383O of the Consoli-
dated Farm and Rural Development Act (as redesignated by sub-
section (c)(1)(A)) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 6027. RURAL BUSINESS INVESTMENT PROGRAM. 
(a) ISSUANCE AND GUARANTEE OF TRUST CERTIFICATES.—Sec-
tion 384F(b)(3)(A) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 2009cc–5(b)(3)(A)) is amended by striking ‘‘In the 
event’’ and inserting the following: 
‘‘(i) AUTHORITY TO PREPAY.—A debenture may be 
prepaid at any time without penalty. 
‘‘(ii) REDUCTION OF GUARANTEE.—Subject to clause 
(i), if’’. 
(b) FEES.—Section 384G of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2009cc–6) is amended— 
(1) in subsection (a), by striking ‘‘such fees as the Secretary 
considers appropriate’’ and inserting ‘‘a fee that does not exceed 
$500’’; 
(2) in subsection (b), by striking ‘‘approved by the Sec-
retary’’ and inserting ‘‘that does not exceed $500’’; and 
(3) in subsection (c)— 
(A) in paragraph (1), by striking ‘‘The’’ and inserting 
‘‘Except as provided in paragraph (3), the’’; 
(B) in paragraph (2)— 
(i) in subparagraph (A), by striking ‘‘and’’ at the 
end; 
(ii) in subparagraph (B), by striking the period 
at the end and inserting ‘‘; and’’; and 
(iii) by adding at the end the following: 
‘‘(C) shall not exceed $500 for any fee collected under 
this subsection.’’; and 
(C) by adding at the end the following: 
‘‘(3) PROHIBITION ON COLLECTION OF CERTAIN FEES.—In the 
case of a license described in paragraph (1) that was approved 
before July 1, 2007, the Secretary shall not collect any fees 
due on or after the date of enactment of this paragraph.’’. 
(c) RURAL BUSINESS INVESTMENT COMPANIES.—Section 384I(c) 
of the Consolidated Farm and Rural Development Act (7 U.S.C. 
2009cc–8(c)) is amended— 
(1) by redesignating paragraph (3) as paragraph (4); and 
(2) by inserting after paragraph (2) the following: 
‘‘(3) TIME FRAME.—Each rural business investment com-
pany shall have a period of 2 years to meet the capital require-
ments of this subsection.’’. 
(d) FINANCIAL INSTITUTION INVESTMENTS.—Section 384J of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 2009cc– 
9) is amended— 
(1) in subsection (a)(1), by inserting ‘‘, including an invest-
ment pool created entirely by such bank or savings association’’ 
before the period at the end; and 
(2) in subsection (c), by striking ‘‘15’’ and inserting ‘‘25’’. 
7 USC 
2009bb–13. 
7 USC 
2009bb–12. 
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122 STAT. 1183 
PUBLIC LAW 110–234—MAY 22, 2008 
(e) CONTRACTING OF FUNCTIONS.—Section 384Q of the Consoli-
dated Farm and Rural Development Act (7 U.S.C. 2009cc–16) is 
repealed. 
(f) FUNDING.—The Consolidated Farm and Rural Development 
Act is amended by striking section 384S (7 U.S.C. 2009cc–18) and 
inserting the following: 
‘‘SEC. 384S. AUTHORIZATION OF APPROPRIATIONS. 
‘‘There is authorized to be appropriated to carry out this subtitle 
$50,000,000 for the period of fiscal years 2008 through 2012.’’. 
SEC. 6028. RURAL COLLABORATIVE INVESTMENT PROGRAM. 
Subtitle I of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 2009dd et seq.) is amended to read as follows: 
‘‘Subtitle I—Rural Collaborative 
Investment Program 
‘‘SEC. 385A. PURPOSE. 
‘‘The purpose of this subtitle is to establish a regional rural 
collaborative investment program— 
‘‘(1) to provide rural regions with a flexible investment 
vehicle, allowing for local control with Federal oversight, assist-
ance, and accountability; 
‘‘(2) to provide rural regions with incentives and resources 
to develop and implement comprehensive strategies for 
achieving regional competitiveness, innovation, and prosperity; 
‘‘(3) to foster multisector community and economic develop-
ment collaborations that will optimize the asset-based competi-
tive advantages of rural regions with particular emphasis on 
innovation, entrepreneurship, and the creation of quality jobs; 
‘‘(4) to foster collaborations necessary to provide the profes-
sional technical expertise, institutional capacity, and economies 
of scale that are essential for the long-term competitiveness 
of rural regions; and 
‘‘(5) to better use Department of Agriculture and other 
Federal, State, and local governmental resources, and to lever-
age those resources with private, nonprofit, and philanthropic 
investments, in order to achieve measurable community and 
economic prosperity, growth, and sustainability. 
‘‘SEC. 385B. DEFINITIONS. 
‘‘In this subtitle: 
‘‘(1) BENCHMARK.—The term ‘benchmark’ means an annual 
set of goals and performance measures established for the 
purpose of assessing performance in meeting a regional invest-
ment strategy of a Regional Board. 
‘‘(2) INDIAN TRIBE.—The term ‘Indian tribe’ has the meaning 
given the term in section 4 of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b). 
‘‘(3) NATIONAL BOARD.—The term ‘National Board’ means 
the National Rural Investment Board established under section 
385C(c). 
7 USC 2009dd–1. 
7 USC 2009dd. 
7 USC 
2009cc–18. 
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122 STAT. 1184 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(4) NATIONAL INSTITUTE.—The term ‘National Institute’ 
means the National Institute on Regional Rural Competitive-
ness 
and 
Entrepreneurship 
established 
under 
section 
385C(b)(2). 
‘‘(5) REGIONAL BOARD.—The term ‘Regional Board’ means 
a Regional Rural Investment Board described in section 
385D(a). 
‘‘(6) REGIONAL
INNOVATION
GRANT.—The term ‘regional 
innovation grant’ means a grant made by the Secretary to 
a certified Regional Board under section 385F. 
‘‘(7) REGIONAL INVESTMENT STRATEGY GRANT.—The term 
‘regional investment strategy grant’ means a grant made by 
the Secretary to a certified Regional Board under section 385E. 
‘‘(8) RURAL HERITAGE.— 
‘‘(A) IN
GENERAL.—The term ‘rural heritage’ means 
historic sites, structures, and districts. 
‘‘(B) INCLUSIONS.—The term ‘rural heritage’ includes 
historic rural downtown areas and main streets, neighbor-
hoods, farmsteads, scenic and historic trails, heritage areas, 
and historic landscapes. 
‘‘SEC. 385C. ESTABLISHMENT AND ADMINISTRATION OF RURAL 
COLLABORATIVE INVESTMENT PROGRAM. 
‘‘(a) ESTABLISHMENT.—The Secretary shall establish a Rural 
Collaborative Investment Program to support comprehensive 
regional investment strategies for achieving rural competitiveness. 
‘‘(b) DUTIES OF SECRETARY.—In carrying out this subtitle, the 
Secretary shall— 
‘‘(1) appoint and provide administrative and program sup-
port to the National Board; 
‘‘(2) establish a national institute, to be known as the 
‘National Institute on Regional Rural Competitiveness and 
Entrepreneurship’, to provide technical assistance to the Sec-
retary and the National Board regarding regional competitive-
ness and rural entrepreneurship, including technical assistance 
for— 
‘‘(A) the development of rigorous analytic programs 
to assist Regional Boards in determining the challenges 
and opportunities that need to be addressed to receive 
the greatest regional competitive advantage; 
‘‘(B) the provision of support for best practices devel-
oped by the Regional Boards; 
‘‘(C) the establishment of programs to support the 
development of appropriate governance and leadership 
skills in the applicable regions; and 
‘‘(D) the evaluation of the progress and performance 
of the Regional Boards in achieving benchmarks estab-
lished in a regional investment strategy; 
‘‘(3) work with the National Board to develop a national 
rural investment plan that shall— 
‘‘(A) create a framework to encourage and support a 
more collaborative and targeted rural investment portfolio 
in the United States; 
‘‘(B) establish a Rural Philanthropic Initiative, to work 
with rural communities to create and enhance the pool 
of permanent philanthropic resources committed to rural 
community and economic development; 
Establishment. 
7 USC 2009dd–2. 
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122 STAT. 1185 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) cooperate with the Regional Boards and State 
and local governments, organizations, and entities to 
ensure investment strategies are developed that take into 
consideration existing rural assets; and 
‘‘(D) encourage the organization of Regional Boards; 
‘‘(4) certify the eligibility of Regional Boards to receive 
regional investment strategy grants and regional innovation 
grants; 
‘‘(5) provide grants for Regional Boards to develop and 
implement regional investment strategies; 
‘‘(6) provide technical assistance to Regional Boards on 
issues, best practices, and emerging trends relating to rural 
development, in cooperation with the National Rural Invest-
ment Board; and 
‘‘(7) provide analytic and programmatic support for regional 
rural 
competitiveness 
through 
the 
National 
Institute, 
including— 
‘‘(A) programs to assist Regional Boards in determining 
the challenges and opportunities that must be addressed 
to receive the greatest regional competitive advantage; 
‘‘(B) support for best practices development by the 
regional investment boards; 
‘‘(C) programs to support the development of appro-
priate governance and leadership skills in the region; and 
‘‘(D) a review and evaluation of the performance of 
the Regional Boards (including progress in achieving bench-
marks established in a regional investment strategy) in 
an annual report submitted to— 
‘‘(i) the Committee on Agriculture of the House 
of Representatives; and 
‘‘(ii) the Committee on Agriculture, Nutrition, and 
Forestry of the Senate. 
‘‘(c) NATIONAL RURAL INVESTMENT BOARD.—The Secretary shall 
establish within the Department of Agriculture a board to be known 
as the ‘National Rural Investment Board’. 
‘‘(d) DUTIES OF NATIONAL BOARD.—The National Board shall— 
‘‘(1) not later than 180 days after the date of establishment 
of the National Board, develop rules relating to the operation 
of the National Board; and 
‘‘(2) provide advice to— 
‘‘(A) the Secretary and subsequently review the design, 
development, and execution of the National Rural Invest-
ment Plan; 
‘‘(B) Regional Boards on issues, best practices, and 
emerging trends relating to rural development; and 
‘‘(C) the Secretary and the National Institute on the 
development and execution of the program under this sub-
title. 
‘‘(e) MEMBERSHIP.— 
‘‘(1) IN GENERAL.—The National Board shall consist of 14 
members appointed by the Secretary not later than 180 days 
after the date of enactment of the Food, Conservation, and 
Energy Act of 2008. 
‘‘(2) SUPERVISION.—The National Board shall be subject 
to the general supervision and direction of the Secretary. 
‘‘(3) SECTORS REPRESENTED.—The National Board shall con-
sist of representatives from each of— 
Deadline. 
Deadline. 
Regulations. 
Establishment. 
Reports. 
Grants. 
Certification. 
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122 STAT. 1186 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) nationally recognized entrepreneurship organiza-
tions; 
‘‘(B) regional strategy and development organizations; 
‘‘(C) community-based organizations; 
‘‘(D) elected members of local governments; 
‘‘(E) members of State legislatures; 
‘‘(F) primary, secondary, and higher education, job 
skills training, and workforce development institutions; 
‘‘(G) the rural philanthropic community; 
‘‘(H) financial, lending, venture capital, entrepreneur-
ship, and other related institutions; 
‘‘(I) private sector business organizations, including 
chambers of commerce and other for-profit business 
interests; 
‘‘(J) Indian tribes; and 
‘‘(K) cooperative organizations. 
‘‘(4) SELECTION OF MEMBERS.— 
‘‘(A) IN
GENERAL.—In selecting members of the 
National Board, the Secretary shall consider recommenda-
tions made by— 
‘‘(i) the chairman and ranking member of each 
of the Committee on Agriculture of the House of Rep-
resentatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate; 
‘‘(ii) the Majority Leader and Minority Leader of 
the Senate; and 
‘‘(iii) the Speaker and Minority Leader of the House 
of Representatives. 
‘‘(B) EX-OFFICIO MEMBERS.—In consultation with the 
chairman and ranking member of each of the Committee 
on Agriculture of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the 
Senate, the Secretary may appoint not more than 3 other 
officers or employees of the Executive Branch to serve 
as ex-officio, nonvoting members of the National Board. 
‘‘(5) TERM OF OFFICE.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
term of office of a member of the National Board appointed 
under paragraph (1)(A) shall be for a period of not more 
than 4 years. 
‘‘(B) STAGGERED TERMS.—The members of the National 
Board shall be appointed to serve staggered terms. 
‘‘(6) INITIAL APPOINTMENTS.—Not later than 1 year after 
the date of enactment of the Food, Conservation, and Energy 
Act of 2008, the Secretary shall appoint the initial members 
of the National Board. 
‘‘(7) VACANCIES.—A vacancy on the National Board shall 
be filled in the same manner as the original appointment. 
‘‘(8) COMPENSATION.—A member of the National Board 
shall receive no compensation for service on the National Board, 
but shall be reimbursed for related travel and other expenses 
incurred in carrying out the duties of the member of the 
National Board in accordance with section 5702 and 5703 of 
title 5, United States Code. 
‘‘(9) CHAIRPERSON.—The National Board shall select a 
chairperson from among the members of the National Board. 
Deadline. 
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122 STAT. 1187 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(10) FEDERAL STATUS.—For purposes of Federal law, a 
member of the National Board shall be considered a special 
Government employee (as defined in section 202(a) of title 
18, United States Code). 
‘‘(f) ADMINISTRATIVE SUPPORT.—The Secretary, on a reimburs-
able basis from funds made available under section 385H, may 
provide such administrative support to the National Board as the 
Secretary determines is necessary. 
‘‘SEC. 385D. REGIONAL RURAL INVESTMENT BOARDS. 
‘‘(a) IN GENERAL.—A Regional Rural Investment Board shall 
be a multijurisdictional and multisectoral group that— 
‘‘(1) represents the long-term economic, community, and 
cultural interests of a region; 
‘‘(2) is certified by the Secretary to establish a rural invest-
ment strategy and compete for regional innovation grants; 
‘‘(3) is composed of residents of a region that are broadly 
representative of diverse public, nonprofit, and private sector 
interests in investment in the region, including (to the max-
imum extent practicable) representatives of— 
‘‘(A) units of local, multijurisdictional, or State govern-
ment, including not more than 1 representative from each 
State in the region; 
‘‘(B) nonprofit community-based development organiza-
tions, including community development financial institu-
tions and community development corporations; 
‘‘(C) agricultural, natural resource, and other asset- 
based related industries; 
‘‘(D) in the case of regions with federally recognized 
Indian tribes, Indian tribes; 
‘‘(E) regional development organizations; 
‘‘(F) private business organizations, including chambers 
of commerce; 
‘‘(G)(i) institutions of higher education (as defined in 
section 101(a) of the Higher Education Act of 1965 (20 
U.S.C. 1001(a))); 
‘‘(ii) tribally controlled colleges or universities (as 
defined in section 2(a) of Tribally Controlled College or 
University Assistance Act of 1978 (25 U.S.C. 1801(a))); 
and 
‘‘(iii) tribal technical institutions; 
‘‘(H) workforce and job training organizations; 
‘‘(I) other entities and organizations, as determined 
by the Regional Board; 
‘‘(J) cooperatives; and 
‘‘(K) consortia of entities and organizations described 
in subparagraphs (A) through (J); 
‘‘(4) represents a region inhabited by— 
‘‘(A) more than 25,000 individuals, as determined in 
the latest available decennial census conducted under sec-
tion 141(a) of title 13, United States Code; or 
‘‘(B) in the case of a region with a population density 
of less than 2 individuals per square mile, at least 10,000 
individuals, as determined in that latest available decen-
nial census; 
‘‘(5) has a membership of which not less than 25 percent, 
nor more than 40 percent, represents— 
Certification. 
7 USC 2009dd–3. 
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122 STAT. 1188 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) units of local government and Indian tribes 
described in subparagraphs (A) and (D) of paragraph (3); 
‘‘(B) nonprofit community and economic development 
organizations and institutions of higher education described 
in subparagraphs (B) and (G) of paragraph (3); or 
‘‘(C) private business (including chambers of commerce 
and cooperatives) and agricultural, natural resource, and 
other asset-based related industries described in subpara-
graphs (C) and (F) of paragraph (3); 
‘‘(6) has a membership that may include an officer or 
employee of a Federal agency, serving as an ex-officio, nonvoting 
member of the Regional Board to represent the agency; and 
‘‘(7) has organizational documents that demonstrate that 
the Regional Board will— 
‘‘(A) create a collaborative public-private strategy 
process; 
‘‘(B) develop, and submit to the Secretary for approval, 
a regional investment strategy that meets the requirements 
of section 385E, with benchmarks— 
‘‘(i) to promote investment in rural areas through 
the use of grants made available under this subtitle; 
and 
‘‘(ii) to provide financial and technical assistance 
to promote a broad-based regional development pro-
gram aimed at increasing and diversifying economic 
growth, improved community facilities, and improved 
quality of life; 
‘‘(C) implement the approved regional investment 
strategy; 
‘‘(D) provide annual reports to the Secretary and the 
National Board on progress made in achieving the bench-
marks of the regional investment strategy, including an 
annual financial statement; and 
‘‘(E) select a non-Federal organization (such as a 
regional development organization) in the local area served 
by the Regional Board that has previous experience in 
the management of Federal funds to serve as fiscal man-
ager of any funds of the Regional Board. 
‘‘(b) URBAN AREAS.—A resident of an urban area may serve 
as an ex-officio member of a Regional Board. 
‘‘(c) DUTIES.—A Regional Board shall— 
‘‘(1) create a collaborative planning process for public-pri-
vate investment within a region; 
‘‘(2) develop, and submit to the Secretary for approval, 
a regional investment strategy; 
‘‘(3) develop approaches that will create permanent 
resources for philanthropic giving in the region, to the max-
imum extent practicable; 
‘‘(4) implement an approved strategy; and 
‘‘(5) provide annual reports to the Secretary and the 
National Board on progress made in achieving the strategy, 
including an annual financial statement. 
Reports. 
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122 STAT. 1189 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 385E. REGIONAL INVESTMENT STRATEGY GRANTS. 
‘‘(a) IN GENERAL.—The Secretary shall make regional invest-
ment strategy grants available to Regional Boards for use in devel-
oping, implementing, and maintaining regional investment strate-
gies. 
‘‘(b) REGIONAL INVESTMENT STRATEGY.—A regional investment 
strategy shall provide— 
‘‘(1) an assessment of the competitive advantage of a region, 
including— 
‘‘(A) an analysis of the economic conditions of the 
region; 
‘‘(B) an assessment of the current economic perform-
ance of the region; 
‘‘(C) an overview of the population, geography, 
workforce, transportation system, resources, environment, 
and infrastructure needs of the region; and 
‘‘(D) such other pertinent information as the Secretary 
may request; 
‘‘(2) an analysis of regional economic and community 
development challenges and opportunities, including— 
‘‘(A) incorporation of relevant material from other 
government-sponsored or supported plans and consistency 
with applicable State, regional, and local workforce invest-
ment strategies or comprehensive economic development 
plans; and 
‘‘(B) an identification of past, present, and projected 
Federal and State economic and community development 
investments in the region; 
‘‘(3) a section describing goals and objectives necessary 
to solve regional competitiveness challenges and meet the 
potential of the region; 
‘‘(4) an overview of resources available in the region for 
use in— 
‘‘(A) establishing regional goals and objectives; 
‘‘(B) developing and implementing a regional action 
strategy; 
‘‘(C) identifying investment priorities and funding 
sources; and 
‘‘(D) identifying lead organizations to execute portions 
of the strategy; 
‘‘(5) an analysis of the current state of collaborative public, 
private, and nonprofit participation and investment, and of 
the strategic roles of public, private, and nonprofit entities 
in the development and implementation of the regional invest-
ment strategy; 
‘‘(6) a section identifying and prioritizing vital projects, 
programs, and activities for consideration by the Secretary, 
including— 
‘‘(A) other potential funding sources; and 
‘‘(B) recommendations for leveraging past and potential 
investments; 
‘‘(7) a plan of action to implement the goals and objectives 
of the regional investment strategy; 
‘‘(8) a list of performance measures to be used to evaluate 
implementation of the regional investment strategy, including— 
7 USC 2009dd–4. 
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122 STAT. 1190 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) the number and quality of jobs, including self- 
employment, created during implementation of the regional 
rural investment strategy; 
‘‘(B) the number and types of investments made in 
the region; 
‘‘(C) the growth in public, private, and nonprofit invest-
ment in the human, community, and economic assets of 
the region; 
‘‘(D) changes in per capita income and the rate of 
unemployment; and 
‘‘(E) other changes in the economic environment of 
the region; 
‘‘(9) a section outlining the methodology for use in inte-
grating the regional investment strategy with the economic 
priorities of the State; and 
‘‘(10) such other information as the Secretary determines 
to be appropriate. 
‘‘(c) MAXIMUM AMOUNT
OF GRANT.—A regional investment 
strategy grant shall not exceed $150,000. 
‘‘(d) COST SHARING.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), of the share 
of the costs of developing, maintaining, evaluating, imple-
menting, and reporting with respect to a regional investment 
strategy funded by a grant under this section— 
‘‘(A) not more than 40 percent may be paid using 
funds from the grant; and 
‘‘(B) the remaining share shall be provided by the 
applicable Regional Board or other eligible grantee. 
‘‘(2) FORM.—A Regional Board or other eligible grantee 
shall pay the share described in paragraph (1)(B) in the form 
of cash, services, materials, or other in-kind contributions, on 
the condition that not more than 50 percent of that share 
is provided in the form of services, materials, and other in- 
kind contributions. 
‘‘SEC. 385F. REGIONAL INNOVATION GRANTS PROGRAM. 
‘‘(a) GRANTS.— 
‘‘(1) IN
GENERAL.—The Secretary shall provide, on a 
competitive basis, regional innovation grants to Regional 
Boards for use in implementing projects and initiatives that 
are identified in a regional rural investment strategy approved 
under section 385E. 
‘‘(2) TIMING.—After October 1, 2008, the Secretary shall 
provide awards under this section on a quarterly funding cycle. 
‘‘(b) ELIGIBILITY.—To be eligible to receive a regional innovation 
grant, a Regional Board shall demonstrate to the Secretary that— 
‘‘(1) the regional rural investment strategy of a Regional 
Board has been reviewed by the National Board prior to 
approval by the Secretary; 
‘‘(2) the management and organizational structure of the 
Regional Board is sufficient to oversee grant projects, including 
management of Federal funds; and 
‘‘(3) the Regional Board has a plan to achieve, to the 
maximum extent practicable, the performance-based bench-
marks of the project in the regional rural investment strategy. 
‘‘(c) LIMITATIONS.— 
7 USC 2009dd–5. 
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122 STAT. 1191 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) AMOUNT RECEIVED.—A Regional Board may not receive 
more than $6,000,000 in regional innovation grants under this 
section during any 5-year period. 
‘‘(2) DETERMINATION
OF
AMOUNT.—The Secretary shall 
determine the amount of a regional innovation grant based 
on— 
‘‘(A) the needs of the region being addressed by the 
applicable regional rural investment strategy consistent 
with the purposes described in subsection (f)(2); and 
‘‘(B) the size of the geographical area of the region. 
‘‘(3) GEOGRAPHIC DIVERSITY.—The Secretary shall ensure 
that not more than 10 percent of funding made available under 
this section is provided to Regional Boards in any State. 
‘‘(d) COST-SHARING.— 
‘‘(1) LIMITATION.—Subject to paragraph (2), the amount 
of a grant made under this section shall not exceed 50 percent 
of the cost of the project. 
‘‘(2) WAIVER OF GRANTEE SHARE.—The Secretary may waive 
the limitation in paragraph (1) under special circumstances, 
as determined by the Secretary, including— 
‘‘(A) a sudden or severe economic dislocation; 
‘‘(B) significant chronic unemployment or poverty; 
‘‘(C) a natural disaster; or 
‘‘(D) other severe economic, social, or cultural duress. 
‘‘(3) OTHER FEDERAL ASSISTANCE.—For the purpose of deter-
mining cost-share limitations for any other Federal program, 
funds provided under this section shall be considered to be 
non-Federal funds. 
‘‘(e) PREFERENCES.—In providing regional innovation grants 
under this section, the Secretary shall give— 
‘‘(1) a high priority to strategies that demonstrate signifi-
cant leverage of capital and quality job creation; and 
‘‘(2) a preference to an application proposing projects and 
initiatives that would— 
‘‘(A) advance the overall regional competitiveness of 
a region; 
‘‘(B) address the priorities of a regional rural invest-
ment strategy, including priorities that— 
‘‘(i) promote cross-sector collaboration, public-pri-
vate partnerships, or the provision of interim financing 
or seed capital for program implementation; 
‘‘(ii) 
exhibit 
collaborative 
innovation 
and 
entrepreneurship, particularly within a public-private 
partnership; and 
‘‘(iii) represent a broad coalition of interests 
described in section 385D(a); 
‘‘(C) include a strategy to leverage public non-Federal 
and private funds and existing assets, including agricul-
tural, natural resource, and public infrastructure assets, 
with substantial emphasis placed on the existence of real 
financial commitments to leverage available funds; 
‘‘(D) create quality jobs; 
‘‘(E) enhance the role, relevance, and leveraging poten-
tial of community and regional foundations in support of 
regional investment strategies; 
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122 STAT. 1192 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(F) demonstrate a history, or involve organizations 
with a history, of successful leveraging of capital for eco-
nomic development and public purposes; 
‘‘(G) address gaps in existing basic services, including 
technology, within a region; 
‘‘(H) address economic diversification, including agri-
cultural and non-agriculturally based economies, within 
a regional framework; 
‘‘(I) improve the overall quality of life in the region; 
‘‘(J) enhance the potential to expand economic develop-
ment successes across diverse stakeholder groups within 
the region; 
‘‘(K) include an effective working relationship with 1 
or more institutions of higher education, tribally controlled 
colleges or universities, or tribal technical institutions; 
‘‘(L) help to meet the other regional competitiveness 
needs identified by a Regional Board; or 
‘‘(M) protect and promote rural heritage. 
‘‘(f) USES.— 
‘‘(1) LEVERAGE.—A Regional Board shall prioritize projects 
and initiatives carried out using funds from a regional innova-
tion grant provided under this section, based in part on the 
degree to which members of the Regional Board are able to 
leverage additional funds for the implementation of the projects. 
‘‘(2) PURPOSES.—A Regional Board may use a regional 
innovation grant— 
‘‘(A) to support the development of critical infrastruc-
ture (including technology deployment and services) nec-
essary to facilitate the competitiveness of a region; 
‘‘(B) to provide assistance to entities within the region 
that provide essential public and community services; 
‘‘(C) to enhance the value-added production, marketing, 
and use of agricultural and natural resources within the 
region, including activities relating to renewable and alter-
native energy production and usage; 
‘‘(D) to assist with entrepreneurship, job training, 
workforce development, housing, educational, or other 
quality of life services or needs, relating to the development 
and maintenance of strong local and regional economies; 
‘‘(E) to assist in the development of unique new 
collaborations that link public, private, and philanthropic 
resources, including community foundations; 
‘‘(F) to provide support for business and entrepre-
neurial investment, strategy, expansion, and development, 
including feasibility strategies, technical assistance, peer 
networks, business development funds, and other activities 
to strengthen the economic competitiveness of the region; 
‘‘(G) to provide matching funds to enable community 
foundations located within the region to build endowments 
which provide permanent philanthropic resources to imple-
ment a regional investment strategy; and 
‘‘(H) to preserve and promote rural heritage. 
‘‘(3) AVAILABILITY OF FUNDS.—The funds made available 
to a Regional Board or any other eligible grantee through 
a regional innovation grant shall remain available for the 7- 
year period beginning on the date on which the award is 
provided, on the condition that the Regional Board or other 
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122 STAT. 1193 
PUBLIC LAW 110–234—MAY 22, 2008 
grantee continues to be certified by the Secretary as making 
adequate progress toward achieving established benchmarks. 
‘‘(g) COST SHARING.— 
‘‘(1) WAIVER OF GRANTEE SHARE.—The Secretary may waive 
the share of a grantee of the costs of a project funded by 
a regional innovation grant under this section if the Secretary 
determines that such a waiver is appropriate, including with 
respect to special circumstances within tribal regions, in the 
event an area experiences— 
‘‘(A) a sudden or severe economic dislocation; 
‘‘(B) significant chronic unemployment or poverty; 
‘‘(C) a natural disaster; or 
‘‘(D) other severe economic, social, or cultural duress. 
‘‘(2) OTHER FEDERAL PROGRAMS.—For the purpose of deter-
mining cost-sharing requirements for any other Federal pro-
gram, funds provided as a regional innovation grant under 
this section shall be considered to be non-Federal funds. 
‘‘(h) NONCOMPLIANCE.—If a Regional Board or other eligible 
grantee fails to comply with any requirement relating to the use 
of funds provided under this section, the Secretary may— 
‘‘(1) take such actions as are necessary to obtain reimburse-
ment of unused grant funds; and 
‘‘(2) reprogram the recaptured funds for purposes relating 
to implementation of this subtitle. 
‘‘(i) PRIORITY TO AREAS WITH AWARDS AND APPROVED STRATE-
GIES.— 
‘‘(1) IN GENERAL.—Subject to paragraph (3), in providing 
rural development assistance under other programs, the Sec-
retary shall give a high priority to areas that receive innovation 
grants under this section. 
‘‘(2) CONSULTATION.—The Secretary shall consult with the 
heads of other Federal agencies to promote the development 
of priorities similar to those described in paragraph (1). 
‘‘(3) EXCLUSION
OF
CERTAIN
PROGRAMS.—Paragraph (1) 
shall not apply to the provision of rural development assistance 
under any program relating to basic health, safety, or infra-
structure, including broadband deployment or minimum 
environmental needs. 
‘‘SEC. 385G. RURAL ENDOWMENT LOANS PROGRAM. 
‘‘(a) IN GENERAL.—The Secretary may provide long-term loans 
to eligible community foundations to assist in the implementation 
of regional investment strategies. 
‘‘(b) ELIGIBLE COMMUNITY FOUNDATIONS.—To be eligible to 
receive a loan under this section, a community foundation shall— 
‘‘(1) be located in an area that is covered by a regional 
investment strategy; 
‘‘(2) match the amount of the loan with an amount that 
is at least 250 percent of the amount of the loan; and 
‘‘(3) use the loan and the matching amount to carry out 
the regional investment strategy in a manner that is targeted 
to community and economic development, including through 
the development of community foundation endowments. 
‘‘(c) TERMS.—A loan made under this section shall— 
‘‘(1) have a term of not less than 10, nor more than 20, 
years; 
‘‘(2) bear an interest rate of 1 percent per annum; and 
7 USC 2009dd–6. 
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122 STAT. 1194 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) be subject to such other terms and conditions as are 
determined appropriate by the Secretary. 
‘‘SEC. 385H. AUTHORIZATION OF APPROPRIATIONS. 
‘‘There are authorized to be appropriated to carry out this 
subtitle $135,000,000 for the period of fiscal years 2009 through 
2012.’’. 
SEC. 6029. FUNDING OF PENDING RURAL DEVELOPMENT LOAN AND 
GRANT APPLICATIONS. 
(a) DEFINITION
OF APPLICATION.—In this section, the term 
‘‘application’’ does not include an application for a loan or grant 
that, as of the date of enactment of this Act, is in the preapplication 
phase of consideration under regulations of the Secretary in effect 
on the date of enactment of this Act. 
(b) USE OF FUNDS.—Subject to subsection (c), the Secretary 
shall use funds made available under subsection (d) to provide 
funds for applications that are pending on the date of enactment 
of this Act for— 
(1) water or waste disposal grants or direct loans under 
paragraph (1) or (2) of section 306(a) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1926(a)); and 
(2) emergency community water assistance grants under 
section 306A of that Act (7 U.S.C. 1926a). 
(c) LIMITATIONS.— 
(1) APPROPRIATED AMOUNTS.—Funds made available under 
this section shall be available to the Secretary to provide funds 
for applications for loans and grants described in subsection 
(b) that are pending on the date of enactment of this Act 
only to the extent that funds for the loans and grants appro-
priated in the annual appropriations Act for fiscal year 2007 
have been exhausted. 
(2) PROGRAM
REQUIREMENTS.—The Secretary may use 
funds made available under this section to provide funds for 
a pending application for a loan or grant described in subsection 
(b) only if the Secretary processes, reviews, and approves the 
application in accordance with regulations in effect on the date 
of enactment of this Act. 
(3) PRIORITY.—In providing funding under this section for 
pending applications for loans or grants described in subsection 
(b), the Secretary shall provide funding in the following order 
of priority (until funds made available under this section are 
exhausted): 
(A) Pending applications for water systems. 
(B) Pending applications for waste disposal systems. 
(d) FUNDING.—Notwithstanding any other provision of law, of 
the funds of the Commodity Credit Corporation, the Secretary shall 
use to carry out this section $120,000,000, to remain available 
until expended. 
7 USC 2009dd–7. 
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122 STAT. 1195 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle B—Rural Electrification Act of 
1936 
SEC. 6101. ENERGY EFFICIENCY PROGRAMS. 
Sections 2(a) and 4 of the Rural Electrification Act of 1936 
(7 U.S.C. 902(a), 904) are amended by inserting ‘‘efficiency and’’ 
before ‘‘conservation’’ each place it appears. 
SEC. 6102. REINSTATEMENT OF RURAL UTILITY SERVICES DIRECT 
LENDING. 
(a) IN GENERAL.—Section 4 of the Rural Electrification Act 
of 1936 (7 U.S.C. 904) is amended— 
(1) by designating the first, second, and third sentences 
as subsections (a), (b), and (d), respectively; and 
(2) by inserting after subsection (b) (as so designated) the 
following: 
‘‘(c) DIRECT LOANS.— 
‘‘(1) DIRECT HARDSHIP LOANS.—Direct hardship loans under 
this section shall be for the same purposes and on the same 
terms and conditions as hardship loans made under section 
305(c)(1). 
‘‘(2) OTHER DIRECT LOANS.—All other direct loans under 
this section shall bear interest at a rate equal to the then 
current cost of money to the Government of the United States 
for loans of similar maturity, plus 1⁄8 of 1 percent.’’. 
(b) ELIMINATION OF FEDERAL FINANCING BANK GUARANTEED 
LOANS.—Section 306 of the Rural Electrification Act of 1936 (7 
U.S.C. 936) is amended— 
(1) in the third sentence, by striking ‘‘guarantee, accommo-
dation, or subordination’’ and inserting ‘‘accommodation or 
subordination’’; and 
(2) by striking the fourth sentence. 
SEC. 6103. DEFERMENT OF PAYMENTS TO ALLOWS LOANS FOR 
IMPROVED ENERGY EFFICIENCY AND DEMAND REDUC-
TION AND FOR ENERGY EFFICIENCY AND USE AUDITS. 
Section 12 of the Rural Electrification Act of 1936 (7 U.S.C. 
912) is amended by adding at the end the following: 
‘‘(c) DEFERMENT OF PAYMENTS ON LOANS.— 
‘‘(1) IN GENERAL.—The Secretary shall allow borrowers to 
defer payment of principal and interest on any direct loan 
made under this Act to enable the borrower to make loans 
to residential, commercial, and industrial consumers— 
‘‘(A) to conduct energy efficiency and use audits; and 
‘‘(B) to install energy efficient measures or devices 
that reduce the demand on electric systems. 
‘‘(2) AMOUNT.—The total amount of a deferment under 
this subsection shall not exceed the sum of the principal and 
interest on the loans made to a customer of the borrower, 
as determined by the Secretary. 
‘‘(3) TERM.—The term of a deferment under this subsection 
shall not exceed 60 months.’’. 
SEC. 6104. RURAL ELECTRIFICATION ASSISTANCE. 
Section 13 of the Rural Electrification Act of 1936 (7 U.S.C. 
913) is amended to read as follows: 
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122 STAT. 1196 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 13. DEFINITIONS. 
‘‘In this Act: 
‘‘(1) FARM.—The term ‘farm’ means a farm, as defined 
by the Bureau of the Census. 
‘‘(2) INDIAN TRIBE.—The term ‘Indian tribe’ has the meaning 
given the term in section 4 of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b). 
‘‘(3) RURAL AREA.—Except as provided otherwise in this 
Act, the term ‘rural area’ means the farm and nonfarm popu-
lation of— 
‘‘(A) any area described in section 343(a)(13)(C) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 
1991(a)(13)(C)); and 
‘‘(B) any area within a service area of a borrower 
for which a borrower has an outstanding loan made under 
titles I through V as of the date of enactment of this 
paragraph. 
‘‘(4) TERRITORY.—The term ‘territory’ includes any insular 
possession of the United States. 
‘‘(5) SECRETARY.—The term ‘Secretary’ means the Secretary 
of Agriculture.’’. 
SEC. 6105. SUBSTANTIALLY UNDERSERVED TRUST AREAS. 
The Rural Electrification Act of 1936 is amended by inserting 
after section 306E (7 U.S.C. 936e) the following: 
‘‘SEC. 306F. SUBSTANTIALLY UNDERSERVED TRUST AREAS. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) ELIGIBLE PROGRAM.—The term ‘eligible program’ means 
a program administered by the Rural Utilities Service and 
authorized in— 
‘‘(A) this Act; or 
‘‘(B) paragraph (1), (2), (14), (22), or (24) of section 
306(a) or section 306A, 306C, 306D, or 306E of the Consoli-
dated Farm and Rural Development Act (7 U.S.C. 1926(a), 
1926a, 1926c, 1926d, 1926e). 
‘‘(2) SUBSTANTIALLY UNDERSERVED TRUST AREA.—The term 
‘substantially underserved trust area’ means a community in 
‘trust land’ (as defined in section 3765 of title 38, United 
States Code) with respect to which the Secretary determines 
has a high need for the benefits of an eligible program. 
‘‘(b) INITIATIVE.—The Secretary, in consultation with local 
governments and Federal agencies, may implement an initiative 
to identify and improve the availability of eligible programs in 
communities in substantially underserved trust areas. 
‘‘(c) AUTHORITY OF SECRETARY.—In carrying out subsection (b), 
the Secretary— 
‘‘(1) may make available from loan or loan guarantee pro-
grams administered by the Rural Utilities Service to qualified 
utilities or applicants financing with an interest rate as low 
as 2 percent, and with extended repayment terms; 
‘‘(2) may waive nonduplication restrictions, matching fund 
requirements, or credit support requirements from any loan 
or grant program administered by the Rural Utilities Service 
to facilitate the construction, acquisition, or improvement of 
infrastructure; 
Waiver authority. 
7 USC 936f. 
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122 STAT. 1197 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) may give the highest funding priority to designated 
projects in substantially underserved trust areas; and 
‘‘(4) shall only make loans or loan guarantees that are 
found to be financially feasible and that provide eligible pro-
gram benefits to substantially underserved trust areas. 
‘‘(d) REPORT.—Not later than 1 year after the date of enactment 
of this section and annually thereafter, the Secretary shall submit 
to Congress a report that describes— 
‘‘(1) the progress of the initiative implemented under sub-
section (b); and 
‘‘(2) recommendations for any regulatory or legislative 
changes that would be appropriate to improve services to 
substantially underserved trust areas.’’. 
SEC. 6106. GUARANTEES FOR BONDS AND NOTES ISSUED FOR ELEC-
TRIFICATION OR TELEPHONE PURPOSES. 
(a) IN GENERAL.—Section 313A of the Rural Electrification 
Act of 1936 (7 U.S.C. 940c–1) is amended— 
(1) in subsection (b)— 
(A) in paragraph (1), by striking ‘‘for electrification’’ 
and all that follows through the end and inserting ‘‘for 
eligible electrification or telephone purposes consistent with 
this Act.’’; and 
(B) by striking paragraph (4) and inserting the fol-
lowing: 
‘‘(4) ANNUAL
AMOUNT.—The total amount of guarantees 
provided by the Secretary under this section during a fiscal 
year shall not exceed $1,000,000,000, subject to the availability 
of funds under subsection (e).’’; 
(2) in subsection (c), by striking paragraphs (2) and (3) 
and inserting the following: 
‘‘(2) AMOUNT.— 
‘‘(A) IN GENERAL.—The amount of the annual fee paid 
for the guarantee of a bond or note under this section 
shall be equal to 30 basis points of the amount of the 
unpaid principal of the bond or note guaranteed under 
this section. 
‘‘(B) PROHIBITION.—Except as otherwise provided in 
this subsection and subsection (e)(2), no other fees shall 
be assessed. 
‘‘(3) PAYMENT.— 
‘‘(A) IN GENERAL.—A lender shall pay the fees required 
under this subsection on a semiannual basis. 
‘‘(B) STRUCTURED
SCHEDULE.—The Secretary shall, 
with the consent of the lender, structure the schedule for 
payment of the fee to ensure that sufficient funds are 
available to pay the subsidy costs for note or bond guaran-
tees as provided for in subsection (e)(2).’’; and 
(3) in subsection (f), by striking ‘‘2007’’ and inserting ‘‘2012’’. 
(b) ADMINISTRATION.—The Secretary shall continue to carry 
out section 313A of the Rural Electrification Act of 1936 (7 U.S.C. 
940c–1) in the same manner as on the day before the date of 
enactment of this Act, except without regard to the limitations 
prescribed in subsection (b)(1) of that section, until such time as 
any regulations necessary to carry out the amendments made by 
this section are fully implemented. 
7 USC 940c–1 
note. 
Recommenda- 
tions. 
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122 STAT. 1198 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 6107. EXPANSION OF 911 ACCESS. 
Section 315 of the Rural Electrification Act of 1936 (7 U.S.C. 
940e) is amended to read as follows: 
‘‘SEC. 315. EXPANSION OF 911 ACCESS. 
‘‘(a) IN GENERAL.—Subject to subsection (c) and such terms 
and conditions as the Secretary may prescribe, the Secretary may 
make loans under this title to entities eligible to borrow from 
the Rural Utilities Service, State or local governments, Indian tribes 
(as defined in section 4 of the Indian Self-Determination and Edu-
cation Assistance Act (25 U.S.C. 450b)), or other public entities 
for facilities and equipment to expand or improve in rural areas— 
‘‘(1) 911 access; 
‘‘(2) integrated interoperable emergency communications, 
including multiuse networks that provide commercial or 
transportation information services in addition to emergency 
communications services; 
‘‘(3) homeland security communications; 
‘‘(4) transportation safety communications; or 
‘‘(5) location technologies used outside an urbanized area. 
‘‘(b) LOAN
SECURITY.—Government-imposed fees related to 
emergency communications (including State or local 911 fees) may 
be considered to be security for a loan under this section. 
‘‘(c) EMERGENCY COMMUNICATIONS EQUIPMENT PROVIDERS.— 
The Secretary may make a loan under this section to an emergency 
communication equipment provider to expand or improve 911 access 
or other communications or technologies described in subsection 
(a) if the local government that has jurisdiction over the project 
is not allowed to acquire the debt resulting from the loan. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—The Secretary shall 
use to make loans under this section any funds otherwise made 
available for telephone loans for each of fiscal years 2008 through 
2012.’’. 
SEC. 6108. ELECTRIC LOANS FOR RENEWABLE ENERGY. 
Title III of the Rural Electrification Act of 1936 is amended 
by inserting after section 316 (7 U.S.C. 940f) the following: 
‘‘SEC. 317. ELECTRIC LOANS FOR RENEWABLE ENERGY. 
‘‘(a) DEFINITION OF RENEWABLE ENERGY SOURCE.—In this sec-
tion, the term ‘renewable energy source’ means an energy conversion 
system fueled from a solar, wind, hydropower, biomass, or geo-
thermal source of energy. 
‘‘(b) LOANS.—In addition to any other funds or authorities other-
wise made available under this Act, the Secretary may make electric 
loans under this title for electric generation from renewable energy 
resources for resale to rural and nonrural residents. 
‘‘(c) RATE.—The rate of a loan under this section shall be 
equal to the average tax-exempt municipal bond rate of similar 
maturities.’’. 
SEC. 6109. BONDING REQUIREMENTS. 
Title III of the Rural Electrification Act of 1936 is amended 
by inserting after section 317 (as added by section 6108) the fol-
lowing: 
7 USC 940g. 
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122 STAT. 1199 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 318. BONDING REQUIREMENTS. 
‘‘The Secretary shall review the bonding requirements for all 
programs administered by the Rural Utilities Service under this 
Act to ensure that bonds are not required if— 
‘‘(1) the interests of the Secretary are adequately protected 
by product warranties; or 
‘‘(2) the costs or conditions associated with a bond exceed 
the benefit of the bond.’’. 
SEC. 6110. ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES 
IN RURAL AREAS. 
(a) IN GENERAL.—Section 601 of the Rural Electrification Act 
of 1936 (7 U.S.C. 950bb) is amended to read as follows: 
‘‘SEC. 601. ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES 
IN RURAL AREAS. 
‘‘(a) PURPOSE.—The purpose of this section is to provide loans 
and loan guarantees to provide funds for the costs of the construc-
tion, improvement, and acquisition of facilities and equipment for 
broadband service in rural areas. 
‘‘(b) DEFINITIONS.—In this section: 
‘‘(1) BROADBAND SERVICE.—The term ‘broadband service’ 
means any technology identified by the Secretary as having 
the capacity to transmit data to enable a subscriber to the 
service to originate and receive high-quality voice, data, 
graphics, and video. 
‘‘(2) INCUMBENT SERVICE PROVIDER.—The term ‘incumbent 
service provider’, with respect to an application submitted under 
this section, means an entity that, as of the date of submission 
of the application, is providing broadband service to not less 
than 5 percent of the households in the service territory pro-
posed in the application. 
‘‘(3) RURAL AREA.— 
‘‘(A) IN GENERAL.—The term ‘rural area’ means any 
area other than— 
‘‘(i) an area described in clause (i) or (ii) of section 
343(a)(13)(A) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1991(a)(13)(A)); and 
‘‘(ii) a city, town, or incorporated area that has 
a population of greater than 20,000 inhabitants. 
‘‘(B) URBAN
AREA
GROWTH.—The Secretary may, by 
regulation only, consider an area described in section 
343(a)(13)(F)(i)(I) of that Act to not be a rural area for 
purposes of this section. 
‘‘(c) LOANS AND LOAN GUARANTEES.— 
‘‘(1) IN GENERAL.—The Secretary shall make or guarantee 
loans to eligible entities described in subsection (d) to provide 
funds for the construction, improvement, or acquisition of facili-
ties and equipment for the provision of broadband service in 
rural areas. 
‘‘(2) PRIORITY.—In making or guaranteeing loans under 
paragraph (1), the Secretary shall give the highest priority 
to applicants that offer to provide broadband service to the 
greatest proportion of households that, prior to the provision 
of the broadband service, had no incumbent service provider. 
‘‘(d) ELIGIBILITY.— 
‘‘(1) ELIGIBLE ENTITIES.— 
Loans. 
Review. 
7 USC 940h. 
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122 STAT. 1200 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) IN GENERAL.—To be eligible to obtain a loan or 
loan guarantee under this section, an entity shall— 
‘‘(i) demonstrate the ability to furnish, improve, 
or extend a broadband service to a rural area; 
‘‘(ii) submit to the Secretary a loan application 
at such time, in such manner, and containing such 
information as the Secretary may require; and 
‘‘(iii) agree to complete buildout of the broadband 
service described in the loan application by not later 
than 3 years after the initial date on which proceeds 
from the loan made or guaranteed under this section 
are made available. 
‘‘(B) LIMITATION.—An eligible entity that provides tele-
communications or broadband service to at least 20 percent 
of the households in the United States may not receive 
an amount of funds under this section for a fiscal year 
in excess of 15 percent of the funds authorized and appro-
priated under subsection (k) for the fiscal year. 
‘‘(2) ELIGIBLE PROJECTS.— 
‘‘(A) IN
GENERAL.—Except as provided in subpara-
graphs (B) and (C), the proceeds of a loan made or guaran-
teed under this section may be used to carry out a project 
in a proposed service territory only if, as of the date on 
which the application for the loan or loan guarantee is 
submitted— 
‘‘(i) not less than 25 percent of the households 
in the proposed service territory is offered broadband 
service by not more than 1 incumbent service provider; 
and 
‘‘(ii) broadband service is not provided in any part 
of the proposed service territory by 3 or more incum-
bent service providers. 
‘‘(B) EXCEPTION
TO
25
PERCENT
REQUIREMENT.— 
Subparagraph (A)(i) shall not apply to the proposed service 
territory of a project if a loan or loan guarantee has been 
made under this section to the applicant to provide 
broadband service in the proposed service territory. 
‘‘(C) EXCEPTION
TO
3
OR
MORE
INCUMBENT
SERVICE 
PROVIDER REQUIREMENT.— 
‘‘(i) IN
GENERAL.—Except as provided in clause 
(ii), subparagraph (A)(ii) shall not apply to an incum-
bent service provider that is upgrading broadband 
service to the existing territory of the incumbent 
service provider. 
‘‘(ii) EXCEPTION.—Clause (i) shall not apply if the 
applicant is eligible for funding under another title 
of this Act. 
‘‘(3) EQUITY AND MARKET SURVEY REQUIREMENTS.— 
‘‘(A) IN GENERAL.—The Secretary may require an entity 
to provide a cost share in an amount not to exceed 10 
percent of the amount of the loan or loan guarantee 
requested in the application of the entity, unless the Sec-
retary determines that a higher percentage is required 
for financial feasibility. 
‘‘(B) MARKET SURVEY.— 
‘‘(i) IN GENERAL.—The Secretary may require an 
entity that proposes to have a subscriber projection 
Deadline. 
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122 STAT. 1201 
PUBLIC LAW 110–234—MAY 22, 2008 
of more than 20 percent of the broadband service 
market in a rural area to submit to the Secretary 
a market survey. 
‘‘(ii) LESS THAN 20 PERCENT.—The Secretary may 
not require an entity that proposes to have a subscriber 
projection of less than 20 percent of the broadband 
service market in a rural area to submit to the Sec-
retary a market survey. 
‘‘(4) STATE AND LOCAL GOVERNMENTS AND INDIAN TRIBES.— 
Subject to paragraph (1), a State or local government (including 
any agency, subdivision, or instrumentality thereof (including 
consortia thereof)) and an Indian tribe shall be eligible for 
a loan or loan guarantee under this section to provide 
broadband services to a rural area. 
‘‘(5) NOTICE REQUIREMENT.—The Secretary shall publish 
a notice of each application for a loan or loan guarantee under 
this section describing the application, including— 
‘‘(A) the identity of the applicant; 
‘‘(B) each area proposed to be served by the applicant; 
and 
‘‘(C) the estimated number of households without 
terrestrial-based broadband service in those areas. 
‘‘(6) PAPERWORK
REDUCTION.—The Secretary shall take 
steps to reduce, to the maximum extent practicable, the cost 
and paperwork associated with applying for a loan or loan 
guarantee under this section by first-time applicants (particu-
larly first-time applicants who are small and start-up 
broadband service providers), including by providing for a new 
application that maintains the ability of the Secretary to make 
an analysis of the risk associated with the loan involved. 
‘‘(7) PREAPPLICATION PROCESS.—The Secretary shall estab-
lish a process under which a prospective applicant may seek 
a determination of area eligibility prior to preparing a loan 
application under this section. 
‘‘(e) BROADBAND SERVICE.— 
‘‘(1) IN GENERAL.—The Secretary shall, from time to time 
as advances in technology warrant, review and recommend 
modifications of rate-of-data transmission criteria for purposes 
of the identification of broadband service technologies under 
subsection (b)(1). 
‘‘(2) PROHIBITION.—The Secretary shall not establish 
requirements for bandwidth or speed that have the effect of 
precluding the use of evolving technologies appropriate for rural 
areas. 
‘‘(f) TECHNOLOGICAL NEUTRALITY.—For purposes of determining 
whether to make a loan or loan guarantee for a project under 
this section, the Secretary shall use criteria that are technologically 
neutral. 
‘‘(g) TERMS AND CONDITIONS FOR LOANS AND LOAN GUARAN-
TEES.— 
‘‘(1) IN GENERAL.—Notwithstanding any other provision of 
law, a loan or loan guarantee under this section shall— 
‘‘(A) bear interest at an annual rate of, as determined 
by the Secretary— 
‘‘(i) in the case of a direct loan, a rate equivalent 
to— 
Publication. 
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122 STAT. 1202 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(I) the cost of borrowing to the Department 
of the Treasury for obligations of comparable matu-
rity; or 
‘‘(II) 4 percent; and 
‘‘(ii) in the case of a guaranteed loan, the current 
applicable market rate for a loan of comparable matu-
rity; and 
‘‘(B) have a term of such length, not exceeding 35 
years, as the borrower may request, if the Secretary deter-
mines that the loan is adequately secured. 
‘‘(2) TERM.—In determining the term of a loan or loan 
guarantee, the Secretary shall consider whether the recipient 
is or would be serving an area that is not receiving broadband 
services. 
‘‘(3) RECURRING REVENUE.—The Secretary shall consider 
the existing recurring revenues of the entity at the time of 
application in determining an adequate level of credit support. 
‘‘(h) ADEQUACY OF SECURITY.— 
‘‘(1) IN GENERAL.—The Secretary shall ensure that the type 
and amount of, and method of security used to secure, any 
loan or loan guarantee under this section is commensurate 
to the risk involved with the loan or loan guarantee, particu-
larly in any case in which the loan or loan guarantee is issued 
to a financially strong and stable entity, as determined by 
the Secretary. 
‘‘(2) DETERMINATION OF AMOUNT AND METHOD OF SECU-
RITY.—In determining the amount of, and method of security 
used to secure, a loan or loan guarantee under this section, 
the Secretary shall consider reducing the security in a rural 
area that does not have broadband service. 
‘‘(i) USE OF LOAN PROCEEDS TO REFINANCE LOANS FOR DEPLOY-
MENT OF BROADBAND SERVICE.—Notwithstanding any other provi-
sion of this Act, the proceeds of any loan made or guaranteed 
by the Secretary under this Act may be used by the recipient 
of the loan for the purpose of refinancing an outstanding obligation 
of the recipient on another telecommunications loan made under 
this Act if the use of the proceeds for that purpose will support 
the construction, improvement, or acquisition of facilities and equip-
ment for the provision of broadband service in rural areas. 
‘‘(j) REPORTS.—Not later than 1 year after the date of enactment 
of the Food, Conservation, and Energy Act of 2008, and annually 
thereafter, the Administrator shall submit to Congress a report 
that describes the extent of participation in the loan and loan 
guarantee program under this section for the preceding fiscal year, 
including a description of — 
‘‘(1) the number of loans applied for and provided under 
this section; 
‘‘(2)(A) the communities proposed to be served in each 
loan application submitted for the fiscal year; and 
‘‘(B) the communities served by projects funded by loans 
and loan guarantees provided under this section; 
‘‘(3) the period of time required to approve each loan 
application under this section; 
‘‘(4) any outreach activities carried out by the Secretary 
to encourage entities in rural areas without broadband service 
to submit applications under this section; 
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122 STAT. 1203 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(5) the method by which the Secretary determines that 
a service enables a subscriber to originate and receive high- 
quality voice, data, graphics, and video for purposes of sub-
section (b)(1); and 
‘‘(6) each broadband service, including the type and speed 
of broadband service, for which assistance was sought, and 
each broadband service for which assistance was provided, 
under this section. 
‘‘(k) FUNDING.— 
‘‘(1) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to the Secretary to carry out this 
section $25,000,000 for each of fiscal years 2008 through 2012, 
to remain available until expended. 
‘‘(2) ALLOCATION OF FUNDS.— 
‘‘(A) IN GENERAL.—From amounts made available for 
each fiscal year under this subsection, the Secretary shall— 
‘‘(i) establish a national reserve for loans and loan 
guarantees to eligible entities in States under this 
section; and 
‘‘(ii) allocate amounts in the reserve to each State 
for each fiscal year for loans and loan guarantees to 
eligible entities in the State. 
‘‘(B) AMOUNT.—The amount of an allocation made to 
a State for a fiscal year under subparagraph (A) shall 
bear the same ratio to the amount of allocations made 
for all States for the fiscal year as— 
‘‘(i) the number of communities with a population 
of 2,500 inhabitants or less in the State; bears to 
‘‘(ii) the number of communities with a population 
of 2,500 inhabitants or less in all States. 
‘‘(C) UNOBLIGATED
AMOUNTS.—Any amounts in the 
reserve established for a State for a fiscal year under 
subparagraph (B) that are not obligated by April 1 of 
the fiscal year shall be available to the Secretary to make 
loans and loan guarantees under this section to eligible 
entities in any State, as determined by the Secretary. 
‘‘(l) TERMINATION OF AUTHORITY.—No loan or loan guarantee 
may be made under this section after September 30, 2012.’’. 
(b) REGULATIONS.—The Secretary may implement the amend-
ment made by subsection (a) through the promulgation of an interim 
regulation. 
(c) APPLICATION.—The amendment made by subsection (a) shall 
not apply to— 
(1) an application submitted under section 601 of the Rural 
Electrification Act of 1936 (7 U.S.C. 950bb) (as it existed before 
the amendment made by subsection (a)) that— 
(A) was pending on the date that is 45 days prior 
to the date of enactment of this Act; and 
(B) is pending on the date of enactment of this Act; 
or 
(2) a petition for reconsideration of a decision on an applica-
tion described in paragraph (1). 
SEC. 6111. NATIONAL CENTER FOR RURAL TELECOMMUNICATIONS 
ASSESSMENT. 
Title VI of the Rural Electrification Act of 1936 (7 U.S.C. 
950bb et seq.) is amended by adding at the end the following: 
7 USC 950bb 
note. 
7 USC 950bb 
note. 
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122 STAT. 1204 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 602. NATIONAL CENTER FOR RURAL TELECOMMUNICATIONS 
ASSESSMENT. 
‘‘(a) DESIGNATION OF CENTER.—The Secretary shall designate 
an entity to serve as the National Center for Rural Telecommuni-
cations Assessment (referred to in this section as the ‘Center’). 
‘‘(b) CRITERIA.—In designating the Center under subsection (a), 
the Secretary shall take into consideration the following criteria: 
‘‘(1) The Center shall be an entity that demonstrates to 
the Secretary— 
‘‘(A) a focus on rural policy research; and 
‘‘(B) a minimum of 5 years of experience relating to 
rural telecommunications research and assessment. 
‘‘(2) The Center shall be capable of assessing broadband 
services in rural areas. 
‘‘(3) The Center shall have significant experience involving 
other rural economic development centers and organizations 
with respect to the assessment of rural policies and the formula-
tion of policy solutions at the Federal, State, and local levels. 
‘‘(c) BOARD OF DIRECTORS.—The Center shall be managed by 
a board of directors, which shall be responsible for the duties 
of the Center described in subsection (d). 
‘‘(d) DUTIES.—The Center shall— 
‘‘(1) assess the effectiveness of programs carried out under 
this title in increasing broadband penetration and purchase 
in rural areas, especially in rural communities identified by 
the Secretary as having no broadband service before the provi-
sion of a loan or loan guarantee under this title; 
‘‘(2) work with existing rural development centers selected 
by the Center to identify policies and initiatives at the Federal, 
State, and local levels that have increased broadband penetra-
tion and purchase in rural areas and provide recommendations 
to Federal, State, and local policymakers on effective strategies 
to bring affordable broadband services to residents of rural 
areas, particularly residents located outside of the municipal 
boundaries of a rural city or town; and 
‘‘(3) develop and publish reports describing the activities 
carried out by the Center under this section. 
‘‘(e) REPORTING REQUIREMENTS.—Not later than December 1 
of each applicable fiscal year, the board of directors of the Center 
shall submit to Congress and the Secretary a report describing 
the activities carried out by the Center during the preceding fiscal 
year and the results of any research conducted by the Center 
during that fiscal year, including— 
‘‘(1) an assessment of each program carried out under this 
title; and 
‘‘(2) an assessment of the effects of the policy initiatives 
identified under subsection (d)(2). 
‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to carry out this section 
$1,000,000 for each of fiscal years 2008 through 2012.’’. 
SEC. 6112. COMPREHENSIVE RURAL BROADBAND STRATEGY. 
(a) IN GENERAL.—Not later than 1 year after the date of enact-
ment of this Act, the Chairman of the Federal Communications 
Commission, in coordination with the Secretary, shall submit to 
Congress a report describing a comprehensive rural broadband 
strategy that includes— 
Deadline. 
Reports. 
Publication. 
Reports. 
7 USC 950bb–1. 
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122 STAT. 1205 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) recommendations— 
(A) to promote interagency coordination of Federal 
agencies in regards to policies, procedures, and targeted 
resources, and to streamline or otherwise improve and 
streamline the policies, programs, and services; 
(B) to coordinate existing Federal rural broadband or 
rural initiatives; 
(C) to address both short- and long-term needs assess-
ments and solutions for a rapid build-out of rural 
broadband solutions and application of the recommenda-
tions for Federal, State, regional, and local government 
policymakers; and 
(D) to identify how specific Federal agency programs 
and resources can best respond to rural broadband require-
ments and overcome obstacles that currently impede rural 
broadband deployment; and 
(2) a description of goals and timeframes to achieve the 
purposes of the report. 
(b) UPDATES.—The Chairman of the Federal Communications 
Commission, in coordination with the Secretary, shall update and 
evaluate the report described in subsection (a) during the third 
year after the date of enactment of this Act. 
SEC. 6113. STUDY ON RURAL ELECTRIC POWER GENERATION. 
(a) IN GENERAL.—The Secretary shall conduct a study on the 
electric power generation needs in rural areas of the United States. 
(b) COMPONENTS.—The study shall include an examination of— 
(1) generation in various areas in rural areas of the United 
States, particularly by rural electric cooperatives;; 
(2) financing available for capacity, including financing 
available through programs authorized under the Rural Elec-
trification Act of 1936 (7 U.S.C. 901 et seq.); 
(3) the impact of electricity costs on consumers and local 
economic development; 
(4) the ability of fuel feedstock technology to meet regu-
latory requirements, such as carbon capture and sequestration; 
and 
(5) any other factors that the Secretary considers appro-
priate. 
(c) REPORT.—Not later than 60 days after the date of enactment 
of this Act, the Secretary shall submit to the Committee on Agri-
culture of the House of Representatives and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a report con-
taining the findings of the study under this section. 
Subtitle C—Miscellaneous 
SEC. 6201. DISTANCE LEARNING AND TELEMEDICINE. 
(a) IN GENERAL.—Section 2333(c)(1) of the Food, Agriculture, 
Conservation and Trade Act of 1990 (7 U.S.C. Sec. 950aaa–2(a)(1)) 
is amended— 
(1) in subparagraph (A), by striking ‘‘and’’ at the end; 
(2) in subparagraph (B), by striking the period at the 
end and inserting a semicolon; and 
(3) by adding at the end the following: 
‘‘(C) libraries.’’. 
Deadline. 
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122 STAT. 1206 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) AUTHORIZATION OF APPROPRIATIONS.—Section 2335A of the 
Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
950aaa–5) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
(c) CONFORMING AMENDMENT.—Section 1(b) of Public Law 102– 
551 (7 U.S.C. 950aaa note; Public Law 102–551) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 6202. VALUE-ADDED AGRICULTURAL MARKET DEVELOPMENT 
PROGRAM GRANTS. 
(a) DEFINITIONS.—Section 231 of the Agricultural Risk Protec-
tion Act of 2000 (7 U.S.C. 1621 note; Public Law 106–224) is 
amended by striking subsection (a) and inserting the following: 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BEGINNING FARMER OR RANCHER.—The term ‘beginning 
farmer or rancher’ has the meaning given the term in section 
343(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1991(a)). 
‘‘(2) FAMILY FARM.—The term ‘family farm’ has the meaning 
given the term in section 761.2 of title 7, Code of Federal 
Regulations (as in effect on December 30, 2007). 
‘‘(3) MID-TIER
VALUE
CHAIN.—The term ‘mid-tier value 
chain’ means local and regional supply networks that link 
independent producers with businesses and cooperatives that 
market value-added agricultural products in a manner that— 
‘‘(A) targets and strengthens the profitability and 
competitiveness of small and medium-sized farms and 
ranches that are structured as a family farm; and 
‘‘(B) obtains agreement from an eligible agricultural 
producer group, farmer or rancher cooperative, or majority- 
controlled producer-based business venture that is engaged 
in the value chain on a marketing strategy. 
‘‘(4) SOCIALLY DISADVANTAGED FARMER OR RANCHER.—The 
term ‘socially disadvantaged farmer or rancher’ has the 
meaning given the term in section 355(e) of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 2003(e)). 
‘‘(5) VALUE-ADDED
AGRICULTURAL
PRODUCT.—The term 
‘value-added agricultural product’ means any agricultural com-
modity or product that— 
‘‘(A)(i) has undergone a change in physical state; 
‘‘(ii) was produced in a manner that enhances the 
value of the agricultural commodity or product, as dem-
onstrated through a business plan that shows the enhanced 
value, as determined by the Secretary; 
‘‘(iii) is physically segregated in a manner that results 
in the enhancement of the value of the agricultural com-
modity or product; 
‘‘(iv) is a source of farm- or ranch-based renewable 
energy, including E–85 fuel; or 
‘‘(v) is aggregated and marketed as a locally-produced 
agricultural food product; and 
‘‘(B) as a result of the change in physical state or the 
manner in which the agricultural commodity or product was 
produced, marketed, or segregated— 
‘‘(i) the customer base for the agricultural commodity 
or product is expanded; and 
‘‘(ii) a greater portion of the revenue derived from 
the marketing, processing, or physical segregation of the 
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122 STAT. 1207 
PUBLIC LAW 110–234—MAY 22, 2008 
agricultural commodity or product is available to the pro-
ducer of the commodity or product.’’. 
(b) GRANT PROGRAM.—Section 231(b) of the Agricultural Risk 
Protection Act of 2000 (7 U.S.C. 1621 note; Public Law 106–224) 
is amended— 
(1) in paragraph (1), by striking ‘‘paragraph (4)’’ and 
inserting ‘‘paragraph (7)’’; and 
(2) by striking paragraph (4) and inserting the following: 
‘‘(4) TERM.—A grant under this subsection shall have a 
term that does not exceed 3 years. 
‘‘(5) SIMPLIFIED APPLICATION.—The Secretary shall offer a 
simplified application form and process for project proposals 
requesting less than $50,000. 
‘‘(6) PRIORITY.—In awarding grants under this subsection, 
the Secretary shall give priority to projects that contribute 
to increasing opportunities for— 
‘‘(A) beginning farmers or ranchers; 
‘‘(B) socially disadvantaged farmers or ranchers; and 
‘‘(C) operators of small- and medium-sized farms and 
ranches that are structured as a family farm. 
‘‘(7) FUNDING.— 
‘‘(A) MANDATORY
FUNDING.—On October 1, 2008, of 
the funds of the Commodity Credit Corporation, the Sec-
retary shall make available to carry out this subsection 
$15,000,000, to remain available until expended. 
‘‘(B) DISCRETIONARY FUNDING.—There is authorized to 
be appropriated to carry out this subsection $40,000,000 
for each of fiscal years 2008 through 2012. 
‘‘(C) RESERVATION OF FUNDS FOR PROJECTS TO BENEFIT 
BEGINNING
FARMERS
OR
RANCHERS, SOCIALLY
DISADVAN-
TAGED
FARMERS
OR
RANCHERS, 
AND
MID-TIER
VALUE 
CHAINS.— 
‘‘(i) IN GENERAL.—The Secretary shall reserve 10 
percent of the amounts made available for each fiscal 
year under this paragraph to fund projects that benefit 
beginning farmers or ranchers or socially disadvan-
taged farmers or ranchers. 
‘‘(ii) MID-TIER VALUE CHAINS.—The Secretary shall 
reserve 10 percent of the amounts made available for 
each fiscal year under this paragraph to fund applica-
tions of eligible entities described in paragraph (1) 
that propose to develop mid-tier value chains. 
‘‘(iii) UNOBLIGATED AMOUNTS.—Any amounts in the 
reserves for a fiscal year established under clauses 
(i) and (ii) that are not obligated by June 30 of the 
fiscal year shall be available to the Secretary to make 
grants under this subsection to eligible entities in any 
State, as determined by the Secretary.’’. 
SEC. 6203. AGRICULTURE INNOVATION CENTER DEMONSTRATION PRO-
GRAM. 
Section 6402 of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 1621 note; Public Law 107–171) is amended 
by striking subsection (i) and inserting the following: 
‘‘(i) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to carry out this section 
$6,000,000 for each of fiscal years 2008 through 2012.’’. 
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122 STAT. 1208 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 6204. RURAL FIREFIGHTERS AND EMERGENCY MEDICAL SERVICE 
ASSISTANCE PROGRAM. 
Section 6405 of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 2655) is amended to read as follows: 
‘‘SEC. 
6405. 
RURAL 
FIREFIGHTERS 
AND 
EMERGENCY 
MEDICAL 
SERVICE ASSISTANCE PROGRAM. 
‘‘(a) DEFINITION OF EMERGENCY MEDICAL SERVICES.—In this 
section: 
‘‘(1) IN GENERAL.—The term ‘emergency medical services’ 
means resources used by a public or nonprofit entity to deliver 
medical care outside of a medical facility under emergency 
conditions that occur as a result of— 
‘‘(A) the condition of a patient; or 
‘‘(B) a natural disaster or related condition. 
‘‘(2) INCLUSION.—The term ‘emergency medical services’ 
includes services (whether compensated or volunteer) delivered 
by an emergency medical services provider or other provider 
recognized by the State involved that is licensed or certified 
by the State as— 
‘‘(A) an emergency medical technician or the equivalent 
(as determined by the State); 
‘‘(B) a registered nurse; 
‘‘(C) a physician assistant; or 
‘‘(D) a physician that provides services similar to serv-
ices provided by such an emergency medical services pro-
vider. 
‘‘(b) GRANTS.—The Secretary shall award grants to eligible enti-
ties— 
‘‘(1) to enable the entities to provide for improved emer-
gency medical services in rural areas; and 
‘‘(2) to pay the cost of training firefighters and emergency 
medical personnel in firefighting, emergency medical practices, 
and responding to hazardous materials and bioagents in rural 
areas. 
‘‘(c) ELIGIBILITY.—To be eligible to receive a grant under this 
section, an entity shall— 
‘‘(1) be— 
‘‘(A) a State emergency medical services office; 
‘‘(B) a State emergency medical services association; 
‘‘(C) a State office of rural health or an equivalent 
agency; 
‘‘(D) a local government entity; 
‘‘(E) an Indian tribe (as defined in section 4 of the 
Indian Self-Determination and Education Assistance Act 
(25 U.S.C. 450b)); 
‘‘(F) a State or local ambulance provider; or 
‘‘(G) any other public or nonprofit entity determined 
appropriate by the Secretary; and 
‘‘(2) prepare and submit to the Secretary an application 
at such time, in such manner, and containing such information 
as the Secretary may require, that includes— 
‘‘(A) a description of the activities to be carried out 
under the grant; and 
‘‘(B) an assurance that the applicant will comply with 
the matching requirement of subsection (f). 
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122 STAT. 1209 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(d) USE OF FUNDS.—An entity shall use amounts received 
under a grant made under subsection (b) only in a rural area— 
‘‘(1) to hire or recruit emergency medical service personnel; 
‘‘(2) to recruit or retain volunteer emergency medical service 
personnel; 
‘‘(3) to train emergency medical service personnel in emer-
gency response, injury prevention, safety awareness, or other 
topics relevant to the delivery of emergency medical services; 
‘‘(4) to fund training to meet State or Federal certification 
requirements; 
‘‘(5) to provide training for firefighters or emergency med-
ical personnel for improvements to the training facility, equip-
ment, curricula, or personnel; 
‘‘(6) to develop new ways to educate emergency health 
care providers through the use of technology-enhanced edu-
cational methods (such as distance learning); 
‘‘(7) to acquire emergency medical services vehicles, 
including ambulances; 
‘‘(8) to acquire emergency medical services equipment, 
including cardiac defibrillators; 
‘‘(9) to acquire personal protective equipment for emergency 
medical services personnel as required by the Occupational 
Safety and Health Administration; or 
‘‘(10) to educate the public concerning cardiopulmonary 
resuscitation (CPR), first aid, injury prevention, safety aware-
ness, illness prevention, or other related emergency prepared-
ness topics. 
‘‘(e) PREFERENCE.—In awarding grants under this section, the 
Secretary shall give preference to— 
‘‘(1) applications that reflect a collaborative effort by 2 
or more of the entities described in subparagraphs (A) through 
(G) of subsection (c)(1); and 
‘‘(2) applications submitted by entities that intend to use 
amounts provided under the grant to fund activities described 
in any of paragraphs (1) through (5) of subsection (d). 
‘‘(f) MATCHING REQUIREMENT.—The Secretary may not make 
a grant under this section to an entity unless the entity makes 
available (directly or through contributions from other public or 
private entities) non-Federal contributions toward the activities 
to be carried out under the grant in an amount equal to at least 
5 percent of the amount received under the grant. 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.— 
‘‘(1) IN GENERAL.—There is authorized to be appropriated 
to the Secretary to carry out this section not more than 
$30,000,000 for each of fiscal years 2008 through 2012. 
‘‘(2) ADMINISTRATIVE COSTS.—Not more than 5 percent of 
the amount appropriated under paragraph (1) for a fiscal year 
may be used for administrative expenses incurred in carrying 
out this section.’’. 
SEC. 6205. INSURANCE OF LOANS FOR HOUSING AND RELATED FACILI-
TIES FOR DOMESTIC FARM LABOR. 
Section 514(f)(3) of the Housing Act of 1949 (42 U.S.C. 
1484(f)(3)) is amended by striking ‘‘or the handling of such commod-
ities in the unprocessed stage’’ and inserting ‘‘, the handling of 
agricultural or aquacultural commodities in the unprocessed stage, 
or the processing of agricultural or aquacultural commodities’’. 
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122 STAT. 1210 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 6206. STUDY OF RURAL TRANSPORTATION ISSUES. 
(a) IN GENERAL.—The Secretary of Agriculture and the Sec-
retary of Transportation shall jointly conduct a study of transpor-
tation issues regarding the movement of agricultural products, 
domestically produced renewable fuels, and domestically produced 
resources for the production of electricity for rural areas of the 
United States, and economic development in those areas. 
(b) INCLUSIONS.—The study shall include an examination of— 
(1) the importance of freight transportation, including rail, 
truck, and barge, to— 
(A) the delivery of equipment, seed, fertilizer, and other 
such products important to the development of agricultural 
commodities and products; 
(B) the movement of agricultural commodities and 
products to market; 
(C) the delivery of ethanol and other renewable fuels; 
(D) the delivery of domestically produced resources 
for use in the generation of electricity for rural areas; 
(E) the location of grain elevators, ethanol plants, and 
other facilities; 
(F) the development of manufacturing facilities in rural 
areas; and 
(G) the vitality and economic development of rural 
communities; 
(2) the sufficiency in rural areas of transportation capacity, 
the sufficiency of competition in the transportation system, 
the reliability of transportation services, and the reasonableness 
of transportation rates; 
(3) the sufficiency of facility investment in rural areas 
necessary for efficient and cost-effective transportation; and 
(4) the accessibility to shippers in rural areas of Federal 
processes for the resolution of grievances arising within various 
transportation modes. 
(c) REPORT TO CONGRESS.—Not later than 1 year after the 
date of enactment of this Act, the Secretary and the Secretary 
of Transportation shall submit to Congress a report that contains 
the results of the study required by subsection (a). 
Subtitle D—Housing Assistance Council 
SEC. 6301. SHORT TITLE. 
This subtitle may be cited as the ‘‘Housing Assistance Council 
Authorization Act of 2008’’. 
SEC. 6302. ASSISTANCE TO HOUSING ASSISTANCE COUNCIL. 
(a) USE.—The Secretary of Housing and Urban Development 
may provide financial assistance to the Housing Assistance Council 
for use by the Council to develop the ability and capacity of commu-
nity-based housing development organizations to undertake commu-
nity development and affordable housing projects and programs 
in rural areas. Assistance provided by the Secretary under this 
section may be used by the Housing Assistance Council for— 
(1) technical assistance, training, support, research, and 
advice to develop the business and administrative capabilities 
of rural community-based housing development organizations; 
42 USC 1490e 
note. 
Housing 
Assistance 
Council 
Authorization 
Act of 2008. 
42 USC 1490e 
note. 
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122 STAT. 1211 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) loans, grants, or other financial assistance to rural 
community-based housing development organizations to carry 
out community development and affordable housing activities 
for low- and moderate-income families; and 
(3) such other activities as may be determined by the 
Secretary of Housing and Urban Development and the Housing 
Assistance Council. 
(b) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated for financial assistance under this section for 
the Housing Assistance Council $10,000,000 for each of fiscal years 
2009 through 2011. 
SEC. 6303. AUDITS AND REPORTS. 
(a) AUDIT.— 
(1) IN GENERAL.—The financial transactions and activities 
of the Housing Assistance Council shall be audited annually 
by an independent certified public accountant or an inde-
pendent licensed public accountant certified or licensed by a 
regulatory authority of a State or other political subdivision 
of the United States. 
(2) REQUIREMENTS OF AUDITS.—The Comptroller General 
of the United States may rely on any audit completed under 
paragraph (1), if the audit complies with— 
(A) the annual programmatic and financial examina-
tion requirements established in OMB Circular A-133; and 
(B) generally accepted government auditing standards. 
(3) REPORT TO CONGRESS.—The Comptroller General shall 
submit to the Committee on Banking, Housing, and Urban 
Affairs of the Senate and the Committee on Financial Services 
of the House of Representative a report detailing each audit 
completed under paragraph (1). 
(b) GAO REPORT.—The Comptroller General of the United 
States shall conduct a study and submit a report to the Committee 
on Banking, Housing, and Urban Affairs of the Senate and the 
Committee on Financial Services of the House of Representative 
on the use of any funds appropriated to the Housing Assistance 
Council over the past 7 years. 
SEC. 6304. PERSONS NOT LAWFULLY PRESENT IN THE UNITED STATES. 
Aliens who are not lawfully present in the United States shall 
be ineligible for financial assistance under this subtitle, as provided 
and defined by section 214 of the Housing and Community Develop-
ment Act of 1980 (42 U.S.C. 1436a). Nothing in this subtitle shall 
be construed to alter the restrictions or definitions in such section 
214. 
SEC. 6305. LIMITATION ON USE OF AUTHORIZED AMOUNTS. 
None of the amounts authorized by this subtitle may be used 
to lobby or retain a lobbyist for the purpose of influencing a Federal, 
State, or local governmental entity or officer. 
42 USC 1490e 
note. 
42 USC 1490e 
note. 
42 USC 1490e 
note. 
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122 STAT. 1212 
PUBLIC LAW 110–234—MAY 22, 2008 
TITLE VII—RESEARCH AND RELATED 
MATTERS 
Subtitle 
A—National 
Agricultural 
Re-
search, Extension, and Teaching Policy 
Act of 1977 
SEC. 7101. DEFINITIONS. 
(a) IN GENERAL.—Section 1404 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3103) is amended— 
(1) in paragraph (4)— 
(A) by redesignating subparagraphs (A) through (E) 
as clauses (i) through (v), respectively; 
(B) by striking ‘‘(4) The terms’’ and inserting the fol-
lowing: 
‘‘(4) COLLEGE AND UNIVERSITY.— 
‘‘(A) IN GENERAL.—The terms’’; and 
(C) by adding at the end the following: 
‘‘(B) INCLUSIONS.—The terms ‘college’ and ‘university’ 
include a research foundation maintained by a college or 
university described in subparagraph (A).’’; 
(2) by redesignating paragraphs (5) through (8), (9) through 
(11), (12) through (14), (15), (16), (17), and (18) as paragraphs 
(6) through (9), (11) through (13), (15) through (17), (20), (5), 
(18), and (19), respectively, and moving the paragraphs so 
as to appear in alphabetical and numerical order; 
(3) in paragraph (9) (as redesignated by paragraph (2))— 
(A) by striking ‘‘renewable natural resources’’ and 
inserting ‘‘renewable energy and natural resources’’; and 
(B) by striking subparagraph (F) and inserting the 
following: 
‘‘(F) Soil, water, and related resource conservation and 
improvement.’’; 
(4) by inserting after paragraph (9) (as so redesignated) 
the following: 
‘‘(10) HISPANIC-SERVING
AGRICULTURAL
COLLEGES
AND 
UNIVERSITIES.— 
‘‘(A) IN GENERAL.—The term ‘Hispanic-serving agricul-
tural colleges and universities’ means colleges or univer-
sities that— 
‘‘(i) qualify as Hispanic-serving institutions; and 
‘‘(ii) offer associate, bachelors, or other accredited 
degree programs in agriculture-related fields. 
‘‘(B) EXCEPTION.—The term ‘Hispanic-serving agricul-
tural colleges and universities’ does not include 1862 
institutions (as defined in section 2 of the Agricultural 
Research, Extension, and Education Reform Act of 1998 
(7 U.S.C. 7601)).’’; 
(5) by striking paragraph (11) (as so redesignated) and 
inserting the following: 
‘‘(11) HISPANIC-SERVING INSTITUTION.—The term ‘Hispanic- 
serving institution’ has the meaning given the term in section 
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122 STAT. 1213 
PUBLIC LAW 110–234—MAY 22, 2008 
502 of the Higher Education Act of 1965 (20 U.S.C. 1101a).’’; 
and 
(6) by inserting after paragraph (13) (as so redesignated) 
the following: 
‘‘(14) NLGCA INSTITUTION; NON-LAND-GRANT COLLEGE OF 
AGRICULTURE.— 
‘‘(A) IN GENERAL.—The terms ‘NLGCA Institution’ and 
‘non-land-grant college of agriculture’ mean a public college 
or university offering a baccalaureate or higher degree 
in the study of agriculture or forestry. 
‘‘(B) EXCLUSIONS.—The terms ‘NLGCA Institution’ and 
‘non-land-grant college of agriculture’ do not include— 
‘‘(i) Hispanic-serving agricultural colleges and 
universities; or 
‘‘(ii) any institution designated under— 
‘‘(I) the Act of July 2, 1862 (commonly known 
as the ‘First Morrill Act’; 7 U.S.C. 301 et seq.); 
‘‘(II) the Act of August 30, 1890 (commonly 
known as the ‘Second Morrill Act’) (7 U.S.C. 321 
et seq.); 
‘‘(III) the Equity in Educational Land-Grant 
Status Act of 1994 (Public Law 103–382; 7 U.S.C. 
301 note); or 
‘‘(IV) Public Law 87–788 (commonly known 
as the ‘McIntire-Stennis Cooperative Forestry Act’) 
(16 U.S.C. 582a et seq.).’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 2(3) of the Research Facilities Act (7 U.S.C. 
390(3)) is amended by striking ‘‘section 1404(8) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 (7 U.S.C. 3103(8))’’ and inserting ‘‘section 1404 of the 
National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (7 U.S.C. 3103)’’. 
(2) Section 2(k) of the Competitive, Special, and Facilities 
Research Grant Act (7 U.S.C. 450i(k)) is amended in the second 
sentence by striking ‘‘section 1404(17) of the National Agricul-
tural Research, Extension, and Teaching Policy Act of 1977 
(7 U.S.C. 3103(17))’’ and inserting ‘‘section 1404 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 (7 U.S.C. 3103)’’. 
(3) Section 18(a)(3)(B) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2027(a)(3)(B)) is amended by striking ‘‘section 
1404(5) of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103(5)))’’ and inserting 
‘‘section 1404 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3103))’’. 
(4) Section 1473 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319) 
is amended in the first sentence by striking ‘‘section 1404(16) 
of this title’’ and inserting ‘‘section 1404(18)’’. 
(5) Section 1619(b) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5801(b)) is amended— 
(A) in paragraph (1), by striking ‘‘section 1404(17) of 
the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103(17))’’ and 
inserting ‘‘section 1404 of the National Agricultural 
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122 STAT. 1214 
PUBLIC LAW 110–234—MAY 22, 2008 
Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3103)’’; 
(B) in paragraph (5), by striking ‘‘section 1404(7) of 
the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103(7))’’ and 
inserting ‘‘section 1404 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3103)’’; and 
(C) in paragraph (8), by striking ‘‘section 1404(13) of 
the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103(13))’’ and 
inserting ‘‘section 1404 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3103)’’. 
(6) Section 125(c)(1)(C) of Public Law 100–238 (5 U.S.C. 
8432 note) is amended by striking ‘‘section 1404(5) of the 
National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (7 U.S.C. 3103(5))’’ and inserting ‘‘section 1404 
of the National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 (7 U.S.C. 3103)’’. 
SEC. 7102. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, EDU-
CATION, AND ECONOMICS ADVISORY BOARD. 
(a) IN GENERAL.—Section 1408 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3123) is amended— 
(1) in subsection (b)— 
(A) in paragraph (1), by striking ‘‘31’’ and inserting 
‘‘25’’; and 
(B) by striking paragraph (3) and inserting the fol-
lowing: 
‘‘(3) MEMBERSHIP CATEGORIES.—The Advisory Board shall 
consist of members from each of the following categories: 
‘‘(A) 1 member representing a national farm organiza-
tion. 
‘‘(B) 1 member representing farm cooperatives. 
‘‘(C) 1 member actively engaged in the production of 
a food animal commodity, recommended by a coalition of 
national livestock organizations. 
‘‘(D) 1 member actively engaged in the production of 
a plant commodity, recommended by a coalition of national 
crop organizations. 
‘‘(E) 1 member actively engaged in aquaculture, rec-
ommended by a coalition of national aquacultural organiza-
tions. 
‘‘(F) 1 member representing a national food animal 
science society. 
‘‘(G) 1 member representing a national crop, soil, 
agronomy, horticulture, plant pathology, or weed science 
society. 
‘‘(H) 1 member representing a national food science 
organization. 
‘‘(I) 1 member representing a national human health 
association. 
‘‘(J) 1 member representing a national nutritional 
science society. 
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122 STAT. 1215 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(K) 1 member representing the land-grant colleges 
and universities eligible to receive funds under the Act 
of July 2, 1862 (7 U.S.C. 301 et seq.). 
‘‘(L) 1 member representing the land-grant colleges 
and universities eligible to receive funds under the Act 
of August 30, 1890 (7 U.S.C. 321 et seq.), including 
Tuskegee University. 
‘‘(M) 1 member representing the 1994 Institutions (as 
defined in section 532 of the Equity in Educational Land- 
Grant Status Act of 1994 (7 U.S.C. 301 note; Public Law 
103–382)). 
‘‘(N) 1 member representing NLGCA Institutions. 
‘‘(O) 1 member representing Hispanic-serving institu-
tions. 
‘‘(P) 1 member representing the American Colleges of 
Veterinary Medicine. 
‘‘(Q) 1 member engaged in the transportation of food 
and agricultural products to domestic and foreign markets. 
‘‘(R) 1 member representing food retailing and mar-
keting interests. 
‘‘(S) 1 member representing food and fiber processors. 
‘‘(T) 1 member actively engaged in rural economic 
development. 
‘‘(U) 1 member representing a national consumer 
interest group. 
‘‘(V) 1 member representing a national forestry group. 
‘‘(W) 1 member representing a national conservation 
or natural resource group. 
‘‘(X) 1 member representing private sector organiza-
tions involved in international development. 
‘‘(Y) 1 member representing a national social science 
association.’’; 
(2) in subsection (g)(1), by striking ‘‘$350,000’’ and inserting 
‘‘$500,000’’; and 
(3) in subsection (h), by striking ‘‘2007’’ and inserting 
‘‘2012’’. 
(b) NO EFFECT
ON TERMS.—Nothing in this section or any 
amendment made by this section affects the term of any member 
of the National Agricultural Research, Extension, Education, and 
Economics Advisory Board serving as of the date of enactment 
of this Act. 
SEC. 7103. SPECIALTY CROP COMMITTEE REPORT. 
Section 1408A(c) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3123a(c)) is amended 
by adding at the end the following: 
‘‘(4) Analyses of changes in macroeconomic conditions, tech-
nologies, and policies on specialty crop production and consump-
tion, with particular focus on the effect of those changes on 
the financial stability of producers. 
‘‘(5) Development of data that provide applied information 
useful to specialty crop growers, their associations, and other 
interested beneficiaries in evaluating that industry from a 
regional and national perspective.’’. 
7 USC 3123 note. 
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122 STAT. 1216 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7104. RENEWABLE ENERGY COMMITTEE. 
The National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 is amended by inserting after section 1408A 
(7 U.S.C. 3123a) the following: 
‘‘SEC. 1408B. RENEWABLE ENERGY COMMITTEE. 
‘‘(a) INITIAL MEMBERS.—Not later than 90 days after the date 
of enactment of this section, the executive committee of the Advisory 
Board shall establish and appoint the initial members of a perma-
nent renewable energy committee. 
‘‘(b) DUTIES.—The permanent renewable energy committee shall 
study the scope and effectiveness of research, extension, and 
economics programs affecting the renewable energy industry. 
‘‘(c) NONADVISORY BOARD MEMBERS.— 
‘‘(1) IN
GENERAL.—An individual who is not a member 
of the Advisory Board may be appointed as a member of the 
renewable energy committee. 
‘‘(2) SERVICE.—A member of the renewable energy com-
mittee shall serve at the discretion of the executive committee. 
‘‘(d) REPORT BY RENEWABLE ENERGY COMMITTEE.—Not later 
than 180 days after the date of establishment of the renewable 
energy committee, and annually thereafter, the renewable energy 
committee shall submit to the Advisory Board a report that contains 
the findings and any recommendations of the renewable energy 
committee with respect to the study conducted under subsection 
(b). 
‘‘(e) CONSULTATION.—In carrying out the duties described in 
subsection (b), the renewable energy committee shall consult with 
the Biomass Research and Development Technical Advisory Com-
mittee established under section 9008(d) of the Biomass Research 
and Development Act of 2000 (7 U.S.C. 8605). 
‘‘(f) MATTERS TO BE CONSIDERED IN BUDGET RECOMMENDA-
TION.—In preparing the annual budget recommendations for the 
Department, the Secretary shall take into consideration those 
findings and recommendations contained in the most recent report 
of the renewable energy committee under subsection (d) that are 
developed by the Advisory Committee. 
‘‘(g) REPORT BY THE SECRETARY.—In the budget material sub-
mitted to Congress by the Secretary in connection with the budget 
submitted pursuant to section 1105 of title 31, United States Code, 
for a fiscal year, the Secretary shall include a report that describes 
the ways in which the Secretary addressed each recommendation 
of the renewable energy committee described in subsection (f).’’. 
SEC. 7105. VETERINARY MEDICINE LOAN REPAYMENT. 
(a) IN GENERAL.—Section 1415A of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3151a) is amended— 
(1) by striking subsection (b) and inserting the following: 
‘‘(b) DETERMINATION OF VETERINARIAN SHORTAGE SITUATIONS.— 
In determining ‘veterinarian shortage situations’, the Secretary may 
consider— 
‘‘(1) geographical areas that the Secretary determines have 
a shortage of veterinarians; and 
‘‘(2) areas of veterinary practice that the Secretary deter-
mines have a shortage of veterinarians, such as food animal 
medicine, public health, epidemiology, and food safety.’’; 
Deadline. 
Establishment. 
7 USC 3123b. 
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122 STAT. 1217 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) in subsection (c), by adding at the end the following: 
‘‘(8) PRIORITY.—In administering the program, the Sec-
retary shall give priority to agreements with veterinarians for 
the practice of food animal medicine in veterinarian shortage 
situations.’’; 
(3) by redesignating subsection (d) as subsection (f); and 
(4) by inserting after subsection (c) the following: 
‘‘(d) USE OF FUNDS.—None of the funds appropriated to the 
Secretary under subsection (f) may be used to carry out section 
5379 of title 5, United States Code. 
‘‘(e) REGULATIONS.—Notwithstanding subchapter II of chapter 
5 of title 5, United States Code, not later than 270 days after 
the date of enactment of this subsection, the Secretary shall promul-
gate regulations to carry out this section.’’. 
(b) DISAPPROVAL
OF
TRANSFER
OF
FUNDS.—Congress dis-
approves the transfer of funds from the Cooperative State Research, 
Education, and Extension Service to the Food Safety and Inspection 
Service described in the notice of use of funds for implementation 
of the veterinary medicine loan repayment program authorized 
by the National Veterinary Medical Service Act (72 Fed. Reg. 48609 
(August 24, 2007)), and such funds shall be rescinded on the date 
of enactment of this Act and made available to the Secretary, 
without further appropriation or fiscal year limitation, for use only 
in accordance with section 1415A of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3151a) (as amended by subsection (a)). 
SEC. 7106. ELIGIBILITY OF UNIVERSITY OF THE DISTRICT OF 
COLUMBIA FOR GRANTS AND FELLOWSHIPS FOR FOOD 
AND AGRICULTURAL SCIENCES EDUCATION. 
Section 1417 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3152) is amended— 
(1) in the matter preceding paragraph (1) of subsection 
(b), by inserting ‘‘(including the University of the District of 
Columbia)’’ after ‘‘land-grant colleges and universities’’; and 
(2) in subsection (d)(2), by inserting ‘‘(including the Univer-
sity of the District of Columbia)’’ after ‘‘universities’’. 
SEC. 7107. GRANTS TO 1890 SCHOOLS TO EXPAND EXTENSION 
CAPACITY. 
Section 1417(b)(4) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3152(b)(4)) is 
amended by striking ‘‘teaching and research’’ and inserting 
‘‘teaching, research, and extension’’. 
SEC. 7108. EXPANSION OF FOOD AND AGRICULTURAL SCIENCES 
AWARDS. 
Section 1417(i) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3152(i)) is 
amended— 
(1) in the subsection heading, by striking ‘‘Teaching 
Awards’’ and inserting ‘‘Teaching, Extension, and Research 
Awards’’; and 
(2) by striking paragraph (1) and inserting the following: 
‘‘(1) ESTABLISHMENT.— 
Deadline. 
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122 STAT. 1218 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) IN
GENERAL.—The Secretary shall establish a 
National Food and Agricultural Sciences Teaching, Exten-
sion, and Research Awards program to recognize and pro-
mote excellence in teaching, extension, and research in 
the food and agricultural sciences at a college or university. 
‘‘(B) MINIMUM
REQUIREMENT.—The Secretary shall 
make at least 1 cash award in each fiscal year to a nominee 
selected by the Secretary for excellence in each of the 
areas of teaching, extension, and research of food and agri-
cultural science at a college or university.’’. 
SEC. 7109. GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURAL 
SCIENCES EDUCATION. 
(a) EDUCATION TEACHING PROGRAMS.—Section 1417(j) of the 
National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (7 U.S.C. 3152(j)) is amended— 
(1) in the subsection heading, by striking ‘‘SECONDARY EDU-
CATION
AND 2-YEAR POSTSECONDARY EDUCATION TEACHING 
PROGRAMS’’ and inserting ‘‘SECONDARY EDUCATION, 2-YEAR 
POSTSECONDARY EDUCATION, AND AGRICULTURE IN THE K–12 
CLASSROOM’’; and 
(2) in paragraph (3)— 
(A) by striking ‘‘secondary schools, and institutions 
of higher education that award an associate’s degree’’ and 
inserting ‘‘secondary schools, institutions of higher edu-
cation that award an associate’s degree, other institutions 
of higher education, and nonprofit organizations’’; 
(B) in subparagraph (E), by striking ‘‘and’’ at the end; 
(C) in subparagraph (F), by striking the period at the 
end and inserting ‘‘; and’’; and 
(D) by adding at the end the following: 
‘‘(G) to support current agriculture in the classroom 
programs for grades K–12.’’. 
(b) REPORT.—Section 1417 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3152) is amended— 
(1) by redesignating subsection (l) as subsection (m); and 
(2) by inserting after subsection (k) the following: 
‘‘(l) REPORT.—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 biennial 
report detailing the distribution of funds used to implement the 
teaching programs under subsection (j).’’. 
(c) AUTHORIZATION OF APPROPRIATIONS.—Section 1417(m) of the 
National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (as redesignated by subsection (b)(1)) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
(d) EFFECTIVE DATE.—The amendments made by subsection 
(a) take effect on October 1, 2008. 
SEC. 7110. GRANTS FOR RESEARCH ON PRODUCTION AND MARKETING 
OF ALCOHOLS AND INDUSTRIAL HYDROCARBONS FROM 
AGRICULTURAL COMMODITIES AND FOREST PRODUCTS. 
(a) IN GENERAL.—Section 1419 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3154) is repealed. 
7 USC 3152 note. 
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122 STAT. 1219 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) CONFORMING AMENDMENT.—Section 1463(a) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 1977 
(7 U.S.C. 3311(a)) is amended by striking ‘‘1419,’’. 
SEC. 7111. POLICY RESEARCH CENTERS. 
Section 1419A of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3155) is amended— 
(1) in subsection (a)(1), by inserting ‘‘(including commod-
ities, livestock, dairy, and specialty crops)’’ after ‘‘agricultural 
sectors’’; 
(2) in subsection (b), by inserting ‘‘(including the Food 
Agricultural Policy Research Institute, the Agricultural and 
Food Policy Center, the Rural Policy Research Institute, and 
the National Drought Mitigation Center)’’ after ‘‘research 
institutions and organizations’’; and 
(3) in subsection (d), by striking ‘‘2007’’ and inserting 
‘‘2012’’. 
SEC. 7112. EDUCATION GRANTS TO ALASKA NATIVE-SERVING INSTITU-
TIONS AND NATIVE HAWAIIAN-SERVING INSTITUTIONS. 
Section 759 of the Agriculture, Rural Development, Food and 
Drug Administration, and Related Agencies Appropriations Act, 
2000 (7 U.S.C. 3242)— 
(1) is amended— 
(A) in subsection (a)(3), by striking ‘‘2006’’ and 
inserting ‘‘2012’’; and 
(B) in subsection (b)— 
(i) in paragraph (2)(A), by inserting before the 
semicolon at the end the following: ‘‘, including permit-
ting consortia to designate fiscal agents for the mem-
bers of the consortia and to allocate among the mem-
bers funds made available under this section’’; and 
(ii) in paragraph (3), by striking ‘‘2006’’ and 
inserting ‘‘2012’’; 
(2) is redesignated as section 1419B of the National Agricul-
tural Research, Extension, and Teaching Policy Act of 1977; 
and 
(3) is moved so as to appear after section 1419A of that 
Act (7 U.S.C. 3155). 
SEC. 7113. EMPHASIS OF HUMAN NUTRITION INITIATIVE. 
Section 1424(b) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3174(b)) is 
amended— 
(1) in paragraph (1), by striking ‘‘and,’’; 
(2) in paragraph (2), by striking the comma at the end 
and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(3) proposals that examine the efficacy of current agri-
culture policies in promoting the health and welfare of economi-
cally disadvantaged populations;’’. 
SEC. 7114. HUMAN NUTRITION INTERVENTION AND HEALTH PRO-
MOTION RESEARCH PROGRAM. 
Section 1424(d) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3174(d)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
7 USC 3156. 
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122 STAT. 1220 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7115. PILOT RESEARCH PROGRAM TO COMBINE MEDICAL AND 
AGRICULTURAL RESEARCH. 
Section 1424A(d) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3174a(d)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7116. NUTRITION EDUCATION PROGRAM. 
(a) IN GENERAL.—Section 1425 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3175) is amended— 
(1) by redesignating subsections (a) through (c) as sub-
sections (b) through (d), respectively; 
(2) by striking the section heading and designation and 
inserting the following: 
‘‘SEC. 1425. NUTRITION EDUCATION PROGRAM. 
‘‘(a) DEFINITION OF 1862 INSTITUTION AND 1890 INSTITUTION.— 
In this section, the terms ‘1862 Institution’ and ‘1890 Institution’ 
have the meaning given those terms in section 2 of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 
7601).’’; 
(3) in subsection (b) (as redesignated by paragraph (1)), 
by striking ‘‘(b) The Secretary’’ and inserting the following: 
‘‘(b) ESTABLISHMENT.—The Secretary’’; 
(4) in subsection (c) (as so redesignated), by striking ‘‘(c) 
In order to enable’’ and inserting the following: 
‘‘(c) EMPLOYMENT AND TRAINING.—To enable’’; 
(5) in subsection (d) (as redesignated by paragraph (1))— 
(A) by striking ‘‘(d) Beginning’’ and inserting the fol-
lowing: 
‘‘(d) ALLOCATION OF FUNDING.—Beginning’’; 
(B) in paragraph (2), by striking subparagraph (B) 
and inserting the following: 
‘‘(B) Notwithstanding section 3(d) of the Act of May 
8, 1914 (7 U.S.C. 343(d)), the remainder shall be allocated 
among the States as follows: 
‘‘(i) $100,000 shall be distributed to each 1862 
Institution and 1890 Institution. 
‘‘(ii) Subject to clause (iii), the remainder shall 
be allocated to each State in an amount that bears 
the same ratio to the total amount to be allocated 
under this clause as— 
‘‘(I) the population living at or below 125 per-
cent of the income poverty guidelines (as pre-
scribed by the Office of Management and Budget 
and as adjusted pursuant to section 673(2) of the 
Community Services Block Grant Act (42 U.S.C. 
9902(2))) in the State; bears to 
‘‘(II) the total population living at or below 
125 percent of those income poverty guidelines 
in all States; 
as determined by the most recent decennial census 
at the time at which each such additional amount 
is first appropriated. 
‘‘(iii)(I) Before any allocation of funds under clause 
(ii), for any fiscal year for which the amount of funds 
appropriated for the conduct of the expanded food and 
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122 STAT. 1221 
PUBLIC LAW 110–234—MAY 22, 2008 
nutrition education program exceeds the amount of 
funds appropriated for the program for fiscal year 2007, 
the following percentage of such excess funds for the 
fiscal year shall be allocated to the 1890 Institutions 
in accordance with subclause (II): 
‘‘(aa) 10 percent for fiscal year 2009. 
‘‘(bb) 11 percent for fiscal year 2010. 
‘‘(cc) 12 percent for fiscal year 2011. 
‘‘(dd) 13 percent for fiscal year 2012. 
‘‘(ee) 14 percent for fiscal year 2013. 
‘‘(ff) 15 percent for fiscal year 2014 and for 
each fiscal year thereafter. 
‘‘(II) Funds made available under subclause (I) 
shall be allocated to each 1890 Institution in an amount 
that bears the same ratio to the total amount to be 
allocated under this clause as— 
‘‘(aa) the population living at or below 125 
percent of the income poverty guidelines (as pre-
scribed by the Office of Management and Budget 
and as adjusted pursuant to section 673(2) of the 
Community Services Block Grant Act (42 U.S.C. 
9902(2))) in the State in which the 1890 Institution 
is located; bears to 
‘‘(bb) the total population living at or below 
125 percent of those income poverty guidelines 
in all States in which 1890 Institutions are located; 
as determined by the most recent decennial census 
at the time at which each such additional amount 
is first appropriated. 
‘‘(iv) Nothing in this subparagraph precludes the 
Secretary from developing educational materials and 
programs for persons in income ranges above the level 
designated in this subparagraph.’’; and 
(C) by striking paragraph (3); and 
(6) by adding at the end the following: 
‘‘(e) COMPLEMENTARY ADMINISTRATION.—The Secretary shall 
ensure the complementary administration of the expanded food 
and nutrition education program by 1862 Institutions and 1890 
Institutions in a State. 
‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out the expanded food and nutrition 
education program established under section 3(d) of the Act of 
May 8, 1914 (7 U.S.C. 343(d)), and this section $90,000,000 for 
each of fiscal years 2009 through 2012.’’. 
(b) CONFORMING AMENDMENT.—Section 1588(b) of the Food 
Security Act of 1985 (7 U.S.C. 3175e(b)) is amended by striking 
‘‘section 1425(c)(2)’’ and inserting ‘‘section 1425(d)(2)’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
take effect on October 1, 2008. 
SEC. 7117. CONTINUING ANIMAL HEALTH AND DISEASE RESEARCH 
PROGRAMS. 
Section 1433(a) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3195(a)) is amended 
in the first sentence by striking ‘‘2007’’ and inserting ‘‘2012’’. 
7 USC 3175 note. 
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122 STAT. 1222 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7118. COOPERATION AMONG ELIGIBLE INSTITUTIONS. 
Section 1433 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3195) is amended by 
adding at the end the following: 
‘‘(g) COOPERATION AMONG ELIGIBLE INSTITUTIONS.—The Sec-
retary, to the maximum extent practicable, shall encourage eligible 
institutions to cooperate in setting research priorities under this 
section through the conduct of regular regional and national 
meetings.’’. 
SEC. 7119. APPROPRIATIONS FOR RESEARCH ON NATIONAL OR 
REGIONAL PROBLEMS. 
Section 1434(a) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3196(a)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7120. ANIMAL HEALTH AND DISEASE RESEARCH PROGRAM. 
Section 1434(b) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3196(b)) is amended 
by inserting after ‘‘universities’’ the following: ‘‘(including 1890 
Institutions (as defined in section 2 of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7601)))’’. 
SEC. 7121. AUTHORIZATION LEVEL FOR EXTENSION AT 1890 LAND- 
GRANT COLLEGES. 
Section 1444(a)(2) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3221(a)(2)) is 
amended by striking ‘‘15 percent’’ and inserting ‘‘20 percent’’. 
SEC. 7122. AUTHORIZATION LEVEL FOR AGRICULTURAL RESEARCH 
AT 1890 LAND-GRANT COLLEGES. 
Section 1445(a)(2) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3222(a)(2)) is 
amended by striking ‘‘25 percent’’ and inserting ‘‘30 percent’’. 
SEC. 7123. GRANTS TO UPGRADE AGRICULTURAL AND FOOD SCIENCES 
FACILITIES AT 1890 LAND-GRANT COLLEGES, INCLUDING 
TUSKEGEE UNIVERSITY. 
Section 1447(b) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3222b(b)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7124. GRANTS TO UPGRADE AGRICULTURE AND FOOD SCIENCES 
FACILITIES AT THE DISTRICT OF COLUMBIA LAND-GRANT 
UNIVERSITY. 
The National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 is amended by inserting after section 1447 
(7 U.S.C. 3222b) the following: 
‘‘SEC. 
1447A. 
GRANTS 
TO 
UPGRADE 
AGRICULTURE 
AND 
FOOD 
SCIENCES FACILITIES AT THE DISTRICT OF COLUMBIA 
LAND-GRANT UNIVERSITY. 
‘‘(a) PURPOSE.—It is the intent of Congress to assist the land- 
grant university in the District of Columbia established under sec-
tion 208 of the District of Columbia Public Postsecondary Education 
Reorganization Act (Public Law 93–471; 88 Stat. 1428) in efforts 
to acquire, alter, or repair facilities or relevant equipment necessary 
for conducting agricultural research. 
7 USC 3222b–1. 
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122 STAT. 1223 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(b) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to carry out this section $750,000 for each 
of fiscal years 2008 through 2012.’’. 
SEC. 7125. GRANTS TO UPGRADE AGRICULTURE AND FOOD SCIENCES 
FACILITIES AND EQUIPMENT AT INSULAR AREA LAND- 
GRANT INSTITUTIONS. 
The National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 (7 U.S.C. 3101 et seq.) is amended by inserting 
after section 1447A (as added by section 7124) the following: 
‘‘SEC. 
1447B. 
GRANTS 
TO 
UPGRADE 
AGRICULTURE 
AND 
FOOD 
SCIENCES FACILITIES AND EQUIPMENT AT INSULAR 
AREA LAND-GRANT INSTITUTIONS. 
‘‘(a) PURPOSE.—It is the intent of Congress to assist the land- 
grant institutions in the insular areas in efforts to acquire, alter, 
or repair facilities or relevant equipment necessary for conducting 
agricultural research. 
‘‘(b) METHOD OF AWARDING GRANTS.—Grants awarded pursuant 
to this section shall be made in such amounts and under such 
terms and conditions as the Secretary determines necessary to 
carry out the purposes of this section. 
‘‘(c) REGULATIONS.—The Secretary may promulgate such rules 
and regulations as the Secretary considers to be necessary to carry 
out this section. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $8,000,000 for each 
of fiscal years 2008 through 2012.’’. 
SEC. 7126. NATIONAL RESEARCH AND TRAINING VIRTUAL CENTERS. 
Section 1448 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3222c) is amended 
by striking ‘‘2007’’ each place it appears in subsections (a)(1) and 
(f) and inserting ‘‘2012’’. 
SEC. 7127. MATCHING FUNDS REQUIREMENT FOR RESEARCH AND 
EXTENSION ACTIVITIES OF 1890 INSTITUTIONS. 
Section 1449(c) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3222d(c)) is 
amended— 
(1) in the first sentence— 
(A) by striking ‘‘for each of fiscal years 2003 through 
2007,’’; and 
(B) by inserting ‘‘equal’’ before ‘‘matching’’; and 
(2) by striking the second sentence and all that follows 
through paragraph (5). 
SEC. 7128. HISPANIC-SERVING INSTITUTIONS. 
Section 1455 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3241) is amended— 
(1) in subsection (a) by striking ‘‘(or grants without regard 
to any requirement for competition)’’; 
(2) in subsection (b)(1), by striking ‘‘of consortia’’; and 
(3) in subsection (c)— 
(A) 
by 
striking 
‘‘$20,000,000’’ 
and 
inserting 
‘‘$40,000,000’’; and 
(B) by striking ‘‘2007’’ and inserting ‘‘2012’’. 
7 USC 3222b–2. 
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122 STAT. 1224 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 
7129. 
HISPANIC-SERVING 
AGRICULTURAL 
COLLEGES 
AND 
UNIVERSITIES. 
(a) IN GENERAL.—The National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 is amended by inserting 
after section 1455 (7 U.S.C. 3241) the following: 
‘‘SEC. 
1456. 
HISPANIC-SERVING 
AGRICULTURAL 
COLLEGES 
AND 
UNIVERSITIES. 
‘‘(a) DEFINITION OF ENDOWMENT FUND.—In this section, the 
term ‘endowment fund’ means the Hispanic-Serving Agricultural 
Colleges and Universities Fund established under subsection (b). 
‘‘(b) ENDOWMENT.— 
‘‘(1) IN
GENERAL.—The Secretary of the Treasury shall 
establish in accordance with this subsection a Hispanic-Serving 
Agricultural Colleges and Universities Fund. 
‘‘(2) AGREEMENTS.—The Secretary of the Treasury may 
enter into such agreements as are necessary to carry out this 
subsection. 
‘‘(3) DEPOSIT TO THE ENDOWMENT FUND.—The Secretary 
of the Treasury shall deposit in the endowment fund any— 
‘‘(A) amounts made available through Acts of appro-
priations, which shall be the endowment fund corpus; and 
‘‘(B) interest earned on the endowment fund corpus. 
‘‘(4) INVESTMENTS.—The Secretary of the Treasury shall 
invest the endowment fund corpus and income in interest- 
bearing obligations of the United States. 
‘‘(5) WITHDRAWALS AND EXPENDITURES.— 
‘‘(A) CORPUS.—The Secretary of the Treasury may not 
make a withdrawal or expenditure from the endowment 
fund corpus. 
‘‘(B) WITHDRAWALS.—On September 30, 2008, and each 
September 30 thereafter, the Secretary of the Treasury 
shall withdraw the amount of the income from the endow-
ment fund for the fiscal year and warrant the funds to 
the Secretary of Agriculture who, after making adjustments 
for the cost of administering the endowment fund, shall 
distribute the adjusted income as follows: 
‘‘(i) 60 percent shall be distributed among the His-
panic-serving agricultural colleges and universities on 
a pro rata basis based on the Hispanic enrollment 
count of each institution. 
‘‘(ii) 40 percent shall be distributed in equal shares 
to the Hispanic-serving agricultural colleges and 
universities. 
‘‘(6) ENDOWMENTS.—Amounts made available under this 
subsection shall be held and considered to be granted to His-
panic-serving agricultural colleges and universities to establish 
an endowment in accordance with this subsection. 
‘‘(7) 
AUTHORIZATION
OF
APPROPRIATIONS.—There 
are 
authorized to be appropriated to the Secretary such sums as 
are necessary to carry out this subsection for fiscal year 2008 
and each fiscal year thereafter. 
‘‘(c) AUTHORIZATION FOR ANNUAL PAYMENTS.— 
‘‘(1) IN
GENERAL.—For fiscal year 2008 and each fiscal 
year thereafter, there are authorized to be appropriated to 
the Department of Agriculture to carry out this subsection 
an amount equal to the product obtained by multiplying— 
7 USC 3243. 
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122 STAT. 1225 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) $80,000; by 
‘‘(B) the number of Hispanic-serving agricultural col-
leges and universities. 
‘‘(2) PAYMENTS.—For fiscal year 2008 and each fiscal year 
thereafter, the Secretary of the Treasury shall pay to the treas-
urer of each Hispanic-serving agricultural college and univer-
sity an amount equal to— 
‘‘(A) the total amount made available by appropriations 
under paragraph (1); divided by 
‘‘(B) the number of Hispanic-serving agricultural col-
leges and universities. 
‘‘(3) USE OF FUNDS.— 
‘‘(A) IN GENERAL.—Amounts authorized to be appro-
priated under this subsection shall be used in the same 
manner as is prescribed for colleges under the Act of August 
30, 1890 (commonly known as the ‘Second Morrill Act’) 
(7 U.S.C. 321 et seq.). 
‘‘(B) RELATIONSHIP TO OTHER LAW.—Except as other-
wise provided in this subsection, the requirements of that 
Act shall apply to Hispanic-serving agricultural colleges 
and universities under this section. 
‘‘(d) INSTITUTIONAL CAPACITY-BUILDING GRANTS.— 
‘‘(1) IN
GENERAL.—For fiscal year 2008 and each fiscal 
year thereafter, the Secretary shall make grants to assist His-
panic-serving agricultural colleges and universities in institu-
tional capacity building (not including alteration, repair, ren-
ovation, or construction of buildings). 
‘‘(2) 
CRITERIA
FOR
INSTITUTIONAL
CAPACITY-BUILDING 
GRANTS.— 
‘‘(A) REQUIREMENTS FOR GRANTS.—The Secretary shall 
make grants under this subsection on the basis of a 
competitive application process under which Hispanic- 
serving agricultural colleges and universities may submit 
applications to the Secretary at such time, in such manner, 
and containing such information as the Secretary may 
require. 
‘‘(B) DEMONSTRATION OF NEED.— 
‘‘(i) IN
GENERAL.—As part of an application for 
a grant under this subsection, the Secretary shall 
require the applicant to demonstrate need for the 
grant, as determined by the Secretary. 
‘‘(ii) OTHER SOURCES OF FUNDING.—The Secretary 
may award a grant under this subsection only to an 
applicant that demonstrates a failure to obtain funding 
for a project after making a reasonable effort to other-
wise obtain the funding. 
‘‘(C) PAYMENT
OF
NON-FEDERAL
SHARE.—A grant 
awarded under this subsection shall be made only if the 
recipient of the grant pays a non-Federal share in an 
amount that is specified by the Secretary and based on 
assessed institutional needs. 
‘‘(3) 
AUTHORIZATION
OF
APPROPRIATIONS.—There 
are 
authorized to be appropriated to the Secretary such sums as 
are necessary to carry out this subsection for fiscal year 2008 
and each fiscal year thereafter. 
‘‘(e) COMPETITIVE GRANTS PROGRAM.— 
Applicability. 
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122 STAT. 1226 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN GENERAL.—The Secretary shall establish a competi-
tive grants program to fund fundamental and applied research 
at Hispanic-serving agricultural colleges and universities in 
agriculture, human nutrition, food science, bioenergy, and 
environmental science. 
‘‘(2) 
AUTHORIZATION
OF
APPROPRIATIONS.—There 
are 
authorized to be appropriated to the Secretary such sums as 
are necessary to carry out this subsection for fiscal year 2008 
and each fiscal year thereafter.’’. 
(b) EXTENSION.—Section 3 of the Smith-Lever Act (7 U.S.C. 
343) is amended— 
(1) in subsection (b), by adding at the end the following: 
‘‘(4) ANNUAL APPROPRIATION FOR HISPANIC-SERVING AGRI-
CULTURAL COLLEGES AND UNIVERSITIES.— 
‘‘(A) AUTHORIZATION
OF
APPROPRIATIONS.—There are 
authorized to be appropriated to the Secretary for payments 
to Hispanic-serving agricultural colleges and universities 
(as defined in section 1404 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3103)) such sums as are necessary to carry out 
this paragraph for fiscal year 2008 and each fiscal year 
thereafter, to remain available until expended. 
‘‘(B) ADDITIONAL AMOUNT.—Amounts made available 
under this paragraph shall be in addition to any other 
amounts made available under this section to States, the 
Commonwealth of Puerto Rico, Guam, or the United States 
Virgin Islands. 
‘‘(C) ADMINISTRATION.—Amounts made available under 
this paragraph shall be— 
‘‘(i) distributed on the basis of a competitive 
application process to be developed and implemented 
by the Secretary; 
‘‘(ii) paid by the Secretary to the State institutions 
established in accordance with the Act of July 2, 1862 
(commonly known as the ‘First Morrill Act’) (7 U.S.C. 
301 et seq.); and 
‘‘(iii) administered by State institutions through 
cooperative agreements with the Hispanic-serving agri-
cultural colleges and universities in the State in accord-
ance with regulations promulgated by the Secretary.’’; 
and 
(2) in subsection (f)— 
(A) in the subsection heading, by inserting ‘‘AND HIS-
PANIC-SERVING
AGRICULTURAL
COLLEGES
AND
UNIVER-
SITIES’’ after ‘‘1994 INSTITUTIONS’’; and 
(B) by striking ‘‘pursuant to subsection (b)(3)’’ and 
inserting ‘‘or Hispanic-serving agricultural colleges and 
universities in accordance with paragraphs (3) and (4) of 
subsection (b)’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 2 of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7601) is amended— 
(A) by redesignating paragraph (6) as paragraph (7); 
and 
(B) by inserting after paragraph (5) the following: 
‘‘(6) 
HISPANIC-SERVING
AGRICULTURAL
COLLEGES
AND 
UNIVERSITIES.—The term ‘Hispanic-serving agricultural colleges 
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122 STAT. 1227 
PUBLIC LAW 110–234—MAY 22, 2008 
and universities’ has the meaning given the term in section 
1404 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103).’’. 
(2) Section 102(c) of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7612(c)) is 
amended— 
(A) in the subsection heading, by inserting ‘‘AND HIS-
PANIC-SERVING
AGRICULTURAL
COLLEGES
AND
UNIVER-
SITIES’’ after ‘‘INSTITUTIONS’’; and 
(B) in paragraph (1), by striking ‘‘ and 1994 Institution’’ 
and inserting ‘‘1994 Institution, and Hispanic-serving agri-
cultural college and university’’. 
(3) Section 103(e) of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7613(e)) is amended 
by adding at the end the following: 
‘‘(3) 
HISPANIC-SERVING
AGRICULTURAL
COLLEGES
AND 
UNIVERSITIES.—To be eligible to obtain agricultural extension 
funds from the Secretary for an activity, each Hispanic-serving 
agricultural college and university shall— 
‘‘(A) establish a process for merit review of the activity; 
and 
‘‘(B) review the activity in accordance with such 
process.’’. 
(4) Section 406(b) of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7626(b)) is 
amended by striking ‘‘and 1994 Institutions’’ and inserting ‘‘, 
1994 Institutions, and Hispanic-serving agricultural colleges 
and universities’’. 
SEC. 7130. INTERNATIONAL AGRICULTURAL RESEARCH, EXTENSION, 
AND EDUCATION. 
Section 1458(a) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3291(a)) is 
amended— 
(1) in paragraph (1)— 
(A) in subparagraph (A), by striking ‘‘and’’ after the 
semicolon; 
(B) in subparagraph (B), by adding ‘‘and’’ at the end; 
and 
(C) by adding at the end the following: 
‘‘(C) giving priority to those institutions with existing 
memoranda of understanding, agreements, or other formal 
ties to United States institutions, or Federal or State agen-
cies;’’; 
(2) by striking paragraph (3) and inserting the following: 
‘‘(3) enter into agreements with land-grant colleges and 
universities, Hispanic-serving agricultural colleges and univer-
sities, the Agency for International Development, and inter-
national organizations (such as the United Nations, the World 
Bank, regional development banks, international agricultural 
research centers), or other organizations, institutions, or 
individuals with comparable goals, to promote and support— 
‘‘(A) the development of a viable and sustainable global 
agricultural system; 
‘‘(B) antihunger and improved international nutrition 
efforts; and 
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122 STAT. 1228 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) increased quantity, quality, and availability of 
food;’’; 
(3) in paragraph (7)(A), by striking ‘‘and land-grant colleges 
and universities’’ and inserting ‘‘, land-grant colleges and 
universities, and Hispanic-serving agricultural colleges and 
universities’’; 
(4) in paragraph (9)— 
(A) in subparagraph (A), by striking ‘‘or other colleges 
and universities’’ and inserting ‘‘, Hispanic-serving agricul-
tural colleges and universities, or other colleges and univer-
sities’’; and 
(B) in subparagraph (D), by striking ‘‘and’’ at the end; 
(5) in paragraph (10), by striking the period at the end 
and inserting ‘‘; and’’; and 
(6) by adding at the end the following: 
‘‘(11) establish a program for the purpose of providing 
fellowships to United States or foreign students to study at 
foreign agricultural colleges and universities working under 
agreements provided for under paragraph (3).’’. 
SEC. 7131. COMPETITIVE GRANTS FOR INTERNATIONAL AGRICUL-
TURAL SCIENCE AND EDUCATION PROGRAMS. 
Section 1459A(c) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3292b(c)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7132. ADMINISTRATION. 
(a) LIMITATION
ON
INDIRECT
COSTS
FOR
AGRICULTURAL 
RESEARCH, 
EDUCATION, 
AND
EXTENSION
PROGRAMS.—Section 
1462(a) of the National Agriculture Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310(a)) is amended— 
(1) by striking ‘‘a competitive’’ and inserting ‘‘any’’; and 
(2) by striking ‘‘19 percent’’ and inserting ‘‘22 percent’’. 
(b) AUDITING, REPORTING, BOOKKEEPING, AND ADMINISTRATIVE 
REQUIREMENTS.—Section 1469(a)(3) of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3315(a)(3)) is amended by striking ‘‘appropriated’’ and inserting 
‘‘made available’’. 
SEC. 7133. RESEARCH EQUIPMENT GRANTS. 
Section 1462A(e) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3310a(e)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7134. UNIVERSITY RESEARCH. 
Section 1463 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3311) is amended by 
striking ‘‘2007’’ each place it appears in subsections (a) and (b) 
and inserting ‘‘2012’’. 
SEC. 7135. EXTENSION SERVICE. 
Section 1464 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3312) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7136. SUPPLEMENTAL AND ALTERNATIVE CROPS. 
Section 1473D(a) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3319d(a)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
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122 STAT. 1229 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7137. NEW ERA RURAL TECHNOLOGY PROGRAM. 
Subtitle K of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) is amended 
by adding at the end the following: 
‘‘SEC. 1473E. NEW ERA RURAL TECHNOLOGY PROGRAM. 
‘‘(a) DEFINITION OF COMMUNITY COLLEGE.—In this section, the 
term ‘community college’ means an institution of higher education 
(as defined in section 101 of the Higher Education Act of 1965 
(20 U.S.C. 1001))— 
‘‘(1) that admits as regular students individuals who— 
‘‘(A) are beyond the age of compulsory school attend-
ance in the State in which the institution is located; and 
‘‘(B) have the ability to benefit from the training offered 
by the institution; 
‘‘(2) that does not provide an educational program for which 
the institution awards a bachelor’s degree or an equivalent 
degree; and 
‘‘(3) that— 
‘‘(A) provides an educational program of not less than 
2 years that is acceptable for full credit toward such a 
degree; or 
‘‘(B) offers a 2-year program in engineering, technology, 
mathematics, or the physical, chemical, or biological 
sciences, designed to prepare a student to work as a techni-
cian or at the semiprofessional level in engineering, sci-
entific, or other technological fields requiring the under-
standing and application of basic engineering, scientific, 
or mathematical principles of knowledge. 
‘‘(b) FUNCTIONS.— 
‘‘(1) ESTABLISHMENT.— 
‘‘(A) IN GENERAL.—The Secretary shall establish a pro-
gram to be known as the ‘New Era Rural Technology 
Program’, to make grants available for technology develop-
ment, applied research, and training to aid in the develop-
ment of an agriculture-based renewable energy workforce. 
‘‘(B) SUPPORT.—The initiative under this section shall 
support the fields of— 
‘‘(i) bioenergy; 
‘‘(ii) pulp and paper manufacturing; and 
‘‘(iii) agriculture-based renewable energy resources. 
‘‘(2) REQUIREMENTS
FOR
FUNDING.—To receive funding 
under this section, an entity shall— 
‘‘(A) be a community college or advanced technological 
center, located in a rural area and in existence on the 
date of the enactment of this section, that participates 
in agricultural or bioenergy research and applied research; 
‘‘(B) have a proven record of development and 
implementation of programs to meet the needs of students, 
educators, and business and industry to supply the agri-
culture-based, renewable energy or pulp and paper manu-
facturing fields with certified technicians, as determined 
by the Secretary; and 
‘‘(C) have the ability to leverage existing partnerships 
and occupational outreach and training programs for sec-
ondary schools, 4-year institutions, and relevant nonprofit 
organizations. 
Grants. 
7 USC 3319e. 
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122 STAT. 1230 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(c) GRANT PRIORITY.—In providing grants under this section, 
the Secretary shall give preference to eligible entities working in 
partnership— 
‘‘(1) to improve information-sharing capacity; and 
‘‘(2) to maximize the ability to meet the requirements of 
this section. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to carry out this section such sums as are 
necessary for each of fiscal years 2008 through 2012.’’. 
SEC. 7138. CAPACITY BUILDING GRANTS FOR NLGCA INSTITUTIONS. 
Subtitle K of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended 
by section 7137) is amended by adding at the end the following: 
‘‘SEC. 1473F. CAPACITY BUILDING GRANTS FOR NLGCA INSTITUTIONS. 
‘‘(a) GRANT PROGRAM.— 
‘‘(1) IN GENERAL.—The Secretary shall make competitive 
grants to NLGCA Institutions to assist the NLGCA Institutions 
in maintaining and expanding the capacity of the NLGCA 
Institutions to conduct education, research, and outreach activi-
ties relating to— 
‘‘(A) agriculture; 
‘‘(B) renewable resources; and 
‘‘(C) other similar disciplines. 
‘‘(2) USE OF FUNDS.—An NLGCA Institution that receives 
a grant under paragraph (1) may use the funds made available 
through the grant to maintain and expand the capacity of 
the NLGCA Institution— 
‘‘(A) to successfully compete for funds from Federal 
grants and other sources to carry out educational, research, 
and outreach activities that address priority concerns of 
national, regional, State, and local interest; 
‘‘(B) to disseminate information relating to priority con-
cerns to— 
‘‘(i) interested members of the agriculture, renew-
able resources, and other relevant communities; 
‘‘(ii) the public; and 
‘‘(iii) any other interested entity; 
‘‘(C) to encourage members of the agriculture, renew-
able resources, and other relevant communities to partici-
pate in priority education, research, and outreach activities 
by providing matching funding to leverage grant funds; 
and 
‘‘(D) through— 
‘‘(i) the purchase or other acquisition of equipment 
and other infrastructure (not including alteration, 
repair, renovation, or construction of buildings); 
‘‘(ii) the professional growth and development of 
the faculty of the NLGCA Institution; and 
‘‘(iii) the development of graduate assistantships. 
‘‘(b) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to carry out this section such sums as are 
necessary for each of fiscal years 2008 through 2012.’’. 
7 USC 3319c. 
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122 STAT. 1231 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7139. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND 
TECHNOLOGY FELLOWSHIP PROGRAM. 
Subtitle K of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended 
by section 7138) is amended by adding at the end the following: 
‘‘SEC. 1473G. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND 
TECHNOLOGY FELLOWSHIP PROGRAM. 
‘‘(a) FELLOWSHIP PROGRAM.— 
‘‘(1) IN GENERAL.—The Secretary shall establish a fellow-
ship program, to be known as the ‘Borlaug International Agri-
cultural Science and Technology Fellowship Program,’ to pro-
vide fellowships for scientific training and study in the United 
States to individuals from eligible countries (as described in 
subsection (b)) who specialize in agricultural education, 
research, and extension. 
‘‘(2) PROGRAMS.—The Secretary shall carry out the fellow-
ship program by implementing 3 programs designed to assist 
individual fellowship recipients, including— 
‘‘(A) a graduate studies program in agriculture to assist 
individuals who participate in graduate agricultural degree 
training at a United States institution; 
‘‘(B) an individual career improvement program to 
assist agricultural scientists from developing countries in 
upgrading skills and understanding in agricultural science 
and technology; and 
‘‘(C) a Borlaug agricultural policy executive leadership 
course to assist senior agricultural policy makers from 
eligible countries, with an initial focus on individuals from 
sub-Saharan Africa and the independent states of the 
former Soviet Union. 
‘‘(b) ELIGIBLE COUNTRIES.—An eligible country is a developing 
country, as determined by the Secretary using a gross national 
income per capita test selected by the Secretary. 
‘‘(c) PURPOSE OF FELLOWSHIPS.—A fellowship provided under 
this section shall— 
‘‘(1) promote food security and economic growth in eligible 
countries by— 
‘‘(A) educating a new generation of agricultural sci-
entists; 
‘‘(B) increasing scientific knowledge and collaborative 
research to improve agricultural productivity; and 
‘‘(C) extending that knowledge to users and inter-
mediaries in the marketplace; and 
‘‘(2) shall support— 
‘‘(A) training and collaborative research opportunities 
through exchanges for entry level international agricultural 
research scientists, faculty, and policymakers from eligible 
countries; 
‘‘(B) collaborative research to improve agricultural 
productivity; 
‘‘(C) the transfer of new science and agricultural tech-
nologies to strengthen agricultural practice; and 
‘‘(D) the reduction of barriers to technology adoption. 
‘‘(d) FELLOWSHIP RECIPIENTS.— 
7 USC 3319j. 
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122 STAT. 1232 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) ELIGIBLE
CANDIDATES.—The Secretary may provide 
fellowships under this section to individuals from eligible coun-
tries who specialize or have experience in agricultural edu-
cation, research, extension, or related fields, including— 
‘‘(A) individuals from the public and private sectors; 
and 
‘‘(B) private agricultural producers. 
‘‘(2) CANDIDATE IDENTIFICATION.—The Secretary shall use 
the expertise of United States land-grant colleges and univer-
sities and similar universities, international organizations 
working in agricultural research and outreach, and national 
agricultural research organizations to help identify program 
candidates for fellowships under this section from the public 
and private sectors of eligible countries. 
‘‘(e) USE OF FELLOWSHIPS.—A fellowship provided under this 
section shall be used— 
‘‘(1) to promote collaborative programs among agricultural 
professionals of eligible countries, agricultural professionals of 
the United States, the international agricultural research 
system, and, as appropriate, United States entities conducting 
research; and 
‘‘(2) to support fellowship recipients through programs 
described in subsection (a)(2). 
‘‘(f) PROGRAM IMPLEMENTATION.—The Secretary shall provide 
for the management, coordination, evaluation, and monitoring of 
the Borlaug International Agricultural Science and Technology 
Fellowship Program and for the individual programs described in 
subsection (a)(2), except that the Secretary may contract out to 
1 or more collaborating universities the management of 1 or more 
of the fellowship programs. 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section, to remain available until expended.’’. 
SEC. 7140. AQUACULTURE ASSISTANCE PROGRAMS. 
Section 1477 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3324) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7141. RANGELAND RESEARCH GRANTS. 
Section 1483(a) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3336(a)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7142. SPECIAL AUTHORIZATION FOR BIOSECURITY PLANNING 
AND RESPONSE. 
Section 1484(a) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3351(a)) is amended 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7143. RESIDENT INSTRUCTION AND DISTANCE EDUCATION 
GRANTS PROGRAM FOR INSULAR AREA INSTITUTIONS OF 
HIGHER EDUCATION. 
(a) DISTANCE EDUCATION GRANTS FOR INSULAR AREAS.—Section 
1490(f) of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3362(f)) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
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122 STAT. 1233 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) RESIDENT INSTRUCTION GRANTS FOR INSULAR AREAS.—Sec-
tion 1491 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3363) is amended— 
(1) by redesignating subsection (e) as subsection (c); and 
(2) in subsection (c) (as so redesignated), by striking ‘‘2007’’ 
and inserting ‘‘2012’’. 
Subtitle B—Food, Agriculture, 
Conservation, and Trade Act of 1990 
SEC. 7201. NATIONAL GENETICS RESOURCES PROGRAM. 
Section 1635(b) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 5844(b)) is amended by striking ‘‘2007’’ 
and inserting ‘‘2012’’. 
SEC. 
7202. 
NATIONAL 
AGRICULTURAL 
WEATHER 
INFORMATION 
SYSTEM. 
Section 1641(c) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 5855(c)) is amended by striking ‘‘1991 
through 1997’’ and inserting ‘‘2008 through 2012’’. 
SEC. 7203. PARTNERSHIPS. 
Section 1672(d) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 5925(d)) is amended by striking ‘‘may’’ 
and inserting ‘‘shall’’. 
SEC. 7204. HIGH-PRIORITY RESEARCH AND EXTENSION AREAS. 
(a) IN GENERAL.—Section 1672 of the Food, Agriculture, Con-
servation, and Trade Act of 1990 (7 U.S.C. 5925) is amended— 
(1) in subsection (e)— 
(A) in paragraph (3), by striking ‘‘and controlling 
aflatoxin in the food and feed chains.’’ and inserting ‘‘, 
improving, and eventually commercializing, alfatoxin con-
trols in corn and other affected agricultural products and 
crops.’’; 
(B) by striking paragraphs (1), (4), (7), (8), (15), (17), 
(21), (23), (26), (27), (32), (34), (41), (42), (43), and (45); 
(C) by redesignating paragraphs (2), (3), (5), (6), (9) 
through (14), (16), (18) through (20), (22), (24), (25), (28) 
through (31), (33), (35) through (40), and (44) as paragraphs 
(1) through (29), respectively; and 
(D) by adding at the end the following: 
‘‘(30) AIR
EMISSIONS
FROM
LIVESTOCK
OPERATIONS.— 
Research and extension grants may be made under this section 
for the purpose of conducting field verification tests and devel-
oping mitigation options for air emissions from animal feeding 
operations. 
‘‘(31) SWINE GENOME PROJECT.—Research grants may be 
made under this section to conduct swine genome research, 
including the mapping of the swine genome. 
‘‘(32) CATTLE FEVER TICK PROGRAM.—Research and exten-
sion grants may be made under this section to study cattle 
fever ticks to facilitate understanding of the role of wildlife 
in the persistence and spread of cattle fever ticks, to develop 
advanced methods for eradication of cattle fever ticks, and 
to improve management of diseases relating to cattle fever 
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122 STAT. 1234 
PUBLIC LAW 110–234—MAY 22, 2008 
ticks that are associated with wildlife, livestock, and human 
health. 
‘‘(33) SYNTHETIC GYPSUM.—Research and extension grants 
may be made under this section to study the uses of synthetic 
gypsum from electric power plants to remediate soil and 
nutrient losses. 
‘‘(34) CRANBERRY
RESEARCH
PROGRAM.—Research and 
extension grants may be made under this section to study 
new technologies to assist cranberry growers in complying with 
Federal and State environmental regulations, increase produc-
tion, develop new growing techniques, establish more efficient 
growing methodologies, and educate cranberry producers about 
sustainable growth practices. 
‘‘(35) SORGHUM RESEARCH INITIATIVE.—Research and exten-
sion grants may be made under this section to study the use 
of sorghum as a bioenergy feedstock, promote diversification 
in, and the environmental benefits of sorghum production, and 
promote water conservation through the use of sorghum. 
‘‘(36) MARINE SHRIMP FARMING PROGRAM.—Research and 
extension grants may be made under this section to establish 
a research program to advance and maintain a domestic shrimp 
farming industry in the United States. 
‘‘(37) TURFGRASS
RESEARCH
INITIATIVE.—Research and 
extension grants may be made under this section to study 
the production of turfgrass (including the use of water, fer-
tilizer, pesticides, fossil fuels, and machinery for turf establish-
ment and maintenance) and environmental protection and 
enhancement relating to turfgrass production. 
‘‘(38) AGRICULTURAL
WORKER
SAFETY
RESEARCH
INITIA-
TIVE.—Research and extension grants may be made under this 
section— 
‘‘(A) to study and demonstrate methods to minimize 
exposure of farm and ranch owners and operators, pesticide 
handlers, and agricultural workers to pesticides, including 
research addressing the unique concerns of farm workers 
resulting from long-term exposure to pesticides; and 
‘‘(B) to develop rapid tests for on-farm use to better 
inform and educate farmers, ranchers, and farm and ranch 
workers regarding safe field re-entry intervals. 
‘‘(39) HIGH PLAINS AQUIFER REGION.—Research and exten-
sion grants may be made under this section to carry out inter-
disciplinary research relating to diminishing water levels and 
increased demand for water in the High Plains aquifer region. 
‘‘(40) DEER INITIATIVE.—Research and extension grants may 
be made under this section to support collaborative research 
focusing on the development of viable strategies for the preven-
tion, diagnosis, and treatment of infectious, parasitic, and toxic 
diseases of farmed deer and the mapping of the deer genome. 
‘‘(41) PASTURE-BASED BEEF SYSTEMS RESEARCH INITIATIVE.— 
Research and extension grants may be made under this section 
to study the development of forage sequences and combinations 
for cow-calf, heifer development, stocker, and finishing systems, 
to deliver optimal nutritive value for efficient production of 
cattle for pasture finishing, to optimize forage systems to 
improve marketability of pasture-finished beef, and to assess 
the effect of forage quality on reproductive fitness. 
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122 STAT. 1235 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(42) AGRICULTURAL
PRACTICES
RELATING
TO
CLIMATE 
CHANGE.—Research and extension grants may be made under 
this section for field and laboratory studies that examine the 
ecosystem from gross to minute scales and for projects that 
explore the relationship of agricultural practices to climate 
change. 
‘‘(43) BRUCELLOSIS CONTROL AND ERADICATION.—Research 
and extension grants may be made under this section to conduct 
research relating to the development of vaccines and vaccine 
delivery systems to effectively control and eliminate brucellosis 
in wildlife, and to assist with the controlling of the spread 
of brucellosis from wildlife to domestic animals. 
‘‘(44) BIGHORN
AND
DOMESTIC
SHEEP
DISEASE
MECHA-
NISMS.—Research and extension grants may be made under 
this section to conduct research relating to the health status 
of (including the presence of infectious diseases in) bighorn 
and domestic sheep under range conditions. 
‘‘(45) AGRICULTURAL
DEVELOPMENT
IN
THE
AMERICAN- 
PACIFIC REGION.—Research and extension grants may be made 
under this section to support food and agricultural science 
at a consortium of land-grant institutions in the American- 
Pacific region. 
‘‘(46) 
TROPICAL
AND
SUBTROPICAL
AGRICULTURAL 
RESEARCH.—Research grants may be made under this section, 
in equal dollar amounts to the Caribbean and Pacific Basins, 
to support tropical and subtropical agricultural research, 
including pest and disease research, at the land-grant institu-
tions in the Caribbean and Pacific regions. 
‘‘(47) VIRAL
HEMORRHAGIC
SEPTICEMIA.—Research and 
extension grants may be made under this section to study— 
‘‘(A) the effects of viral hemorrhagic septicemia 
(referred to in this paragraph as ‘VHS’) on freshwater 
fish throughout the natural and expanding range of VHS; 
and 
‘‘(B) methods for transmission and human-mediated 
transport of VHS among waterbodies. 
‘‘(48) FARM AND RANCH SAFETY.—Research and extension 
grants may be made under this section to carry out projects 
to decrease the incidence of injury and death on farms and 
ranches, including— 
‘‘(A) on-site farm or ranch safety reviews; 
‘‘(B) outreach and dissemination of farm safety 
research and interventions to agricultural employers, 
employees, youth, farm and ranch families, seasonal 
workers, or other individuals; and 
‘‘(C) agricultural safety education and training. 
‘‘(49) WOMEN AND MINORITIES IN STEM FIELDS.—Research 
and extension grants may be made under this section to 
increase participation by women and underrepresented minori-
ties from rural areas in the fields of science, technology, 
engineering, and mathematics, with priority given to eligible 
institutions that carry out continuing programs funded by the 
Secretary. 
‘‘(50) ALFALFA AND FORAGE RESEARCH PROGRAM.—Research 
and extension grants may be made under this section for the 
purpose of studying improvements in alfalfa and forage yields, 
biomass and persistence, pest pressures, the bioenergy potential 
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122 STAT. 1236 
PUBLIC LAW 110–234—MAY 22, 2008 
of alfalfa and other forages, and systems to reduce losses during 
harvest and storage. 
‘‘(51) FOOD
SYSTEMS
VETERINARY
MEDICINE.—Research 
grants may be made under this section to address health issues 
that affect food-producing animals, food safety, and the environ-
ment, and to improve information resources, curriculum, and 
clinical education of students with respect to food animal veteri-
nary medicine and food safety. 
‘‘(52) BIOCHAR RESEARCH.—Grants may be made under this 
section for research, extension, and integrated activities 
relating to the study of biochar production and use, including 
considerations of agronomic and economic impacts, synergies 
of coproduction with bioenergy, and the value of soil enhance-
ments and soil carbon sequestration.’’; 
(2) by redesignating subsection (h) as subsection (j); 
(3) by inserting after subsection (g) the following: 
‘‘(h) POLLINATOR PROTECTION.— 
‘‘(1) RESEARCH AND EXTENSION.— 
‘‘(A) GRANTS.—Research and extension grants may be 
made under this section— 
‘‘(i) to survey and collect data on bee colony produc-
tion and health; 
‘‘(ii) to investigate pollinator biology, immunology, 
ecology, genomics, and bioinformatics; 
‘‘(iii) to conduct research on various factors that 
may be contributing to or associated with colony col-
lapse disorder, and other serious threats to the health 
of honey bees and other pollinators, including— 
‘‘(I) parasites and pathogens of pollinators; and 
‘‘(II) the sublethal effects of insecticides, herbi-
cides, and fungicides on honey bees and native 
and managed pollinators; 
‘‘(iv) to develop mitigative and preventative meas-
ures to improve native and managed pollinator health; 
and 
‘‘(v) to promote the health of honey bees and native 
pollinators through habitat conservation and best 
management practices. 
‘‘(B) AUTHORIZATION
OF
APPROPRIATIONS.—There is 
authorized to be appropriated to carry out this paragraph 
$10,000,000 for each of fiscal years 2008 through 2012. 
‘‘(2) DEPARTMENT OF AGRICULTURE CAPACITY AND INFRA-
STRUCTURE.— 
‘‘(A) IN GENERAL.—The Secretary shall, to the max-
imum extent practicable, increase the capacity and infra-
structure of the Department— 
‘‘(i) to address colony collapse disorder and other 
long-term threats to pollinator health, including the 
hiring of additional personnel; and 
‘‘(ii) to conduct research on colony collapse disorder 
and other pollinator issues at the facilities of the 
Department. 
‘‘(B) AUTHORIZATION
OF
APPROPRIATIONS.—There is 
authorized to be appropriated to carry out this paragraph 
$7,250,000 for each of fiscal years 2008 through 2012. 
‘‘(3) HONEY BEE PEST AND PATHOGEN SURVEILLANCE.—There 
is authorized to be appropriated to conduct a nationwide honey 
Appropriation 
authorization. 
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122 STAT. 1237 
PUBLIC LAW 110–234—MAY 22, 2008 
bee pest and pathogen surveillance program $2,750,000 for 
each of fiscal years 2008 through 2012. 
‘‘(4) ANNUAL REPORT ON RESPONSE TO HONEY BEE COLONY 
COLLAPSE DISORDER.—The Secretary shall submit to the Com-
mittee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of the 
Senate an annual report describing the progress made by the 
Department of Agriculture in— 
‘‘(A) investigating the cause or causes of honey bee 
colony collapse; and 
‘‘(B) finding appropriate strategies to reduce colony 
loss. 
‘‘(i) REGIONAL CENTERS OF EXCELLENCE.— 
‘‘(1) 
ESTABLISHMENT.—The 
Secretary 
shall 
prioritize 
regional centers of excellence established for specific agricul-
tural commodities for the receipt of funding under this section. 
‘‘(2) COMPOSITION.—A regional center of excellence shall 
be composed of 1 or more colleges and universities (including 
land-grant institutions, schools of forestry, schools of veterinary 
medicine, or NLGCA Institutions (as defined in section 1404 
of the National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 (7 U.S.C. 3103))) that provide financial 
support to the regional center of excellence. 
‘‘(3) CRITERIA FOR REGIONAL CENTERS OF EXCELLENCE.— 
The criteria for consideration to be a regional center of excel-
lence shall include efforts— 
‘‘(A) to ensure coordination and cost-effectiveness by 
reducing 
unnecessarily 
duplicative 
efforts 
regarding 
research, teaching, and extension; 
‘‘(B) to leverage available resources by using public/ 
private partnerships among agricultural industry groups, 
institutions of higher education, and the Federal Govern-
ment; 
‘‘(C) to implement teaching initiatives to increase 
awareness and effectively disseminate solutions to target 
audiences through extension activities; 
‘‘(D) to increase the economic returns to rural commu-
nities by identifying, attracting, and directing funds to 
high-priority agricultural issues; and 
‘‘(E) to improve teaching capacity and infrastructure 
at colleges and universities (including land-grant institu-
tions, schools of forestry, and schools of veterinary medi-
cine).’’; and 
(4) in subsection (j) (as redesignated by paragraph (2)), 
by striking ‘‘2007’’ and inserting ‘‘2012’’. 
(b) CONFORMING AMENDMENTS.—Section 1672 of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C. 5925) is 
amended— 
(1) in the first sentence of subsection (a), by striking ‘‘(e), 
(f), and (g)’’ and inserting ‘‘(e) through (i)’’; and 
(2) in subsection (b)— 
(A) in paragraph (1), by striking ‘‘paragraphs (1), (6), 
(7), and (11)’’ and inserting ‘‘paragraphs (4), (7), (8), and 
(11)(B)’’; and 
(B) in paragraph (2), by striking ‘‘subsection (e)’’ and 
inserting ‘‘subsections (e) through (i)’’. 
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122 STAT. 1238 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7205. NUTRIENT MANAGEMENT RESEARCH AND EXTENSION INI-
TIATIVE. 
Section 1672A of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 5925a) is amended— 
(1) in subsection (b), by striking paragraph (1) and inserting 
the following: 
‘‘(1) IN GENERAL.—Paragraphs (4), (7), (8), and (11)(B) of 
subsection (b) of the Competitive, Special, and Facilities 
Research Grant Act (7 U.S.C. 450i) shall apply with respect 
to the making of grants under this section.’’; 
(2) by striking subsection (d) and inserting the following: 
‘‘(d) PRIORITY.—Following the completion of a peer review 
process for grant proposals received under this section, the Sec-
retary shall give priority to those grant proposals that involve— 
‘‘(1) the cooperation of multiple entities; and 
‘‘(2) States or regions with a high concentration of livestock, 
dairy, or poultry operations.’’; 
(3) in subsection (e)— 
(A) in paragraph (1)(B), by inserting ‘‘and dairy and 
beef cattle waste’’ after ‘‘swine waste’’; and 
(B) by striking paragraph (5) and inserting the fol-
lowing: 
‘‘(5) 
ALTERNATIVE
USES
AND
RENEWABLE
ENERGY.— 
Research and extension grants may be made under this section 
for the purpose of finding innovative methods and technologies 
to allow agricultural operators to make use of animal waste, 
such as use as fertilizer, methane digestion, composting, and 
other useful byproducts.’’; 
(4) by redesignating subsection (g) as subsection (f); and 
(5) in subsection (f) (as so redesignated), by striking ‘‘2007’’ 
and inserting ‘‘2012’’. 
SEC. 7206. ORGANIC AGRICULTURE RESEARCH AND EXTENSION INI-
TIATIVE. 
(a) IN GENERAL.—Section 1672B of the Food, Agriculture, Con-
servation, and Trade Act of 1990 (7 U.S.C. 5925b) (commonly known 
as the ‘‘Organic Agriculture Research and Extension Initiative’’) 
is amended— 
(1) in subsection (a)— 
(A) in paragraph (5), by striking ‘‘and’’ after the semi-
colon; 
(B) in paragraph (6), by striking the period at the 
end and inserting a semicolon; and 
(C) by adding at the end the following: 
‘‘(7) examining optimal conservation and environmental 
outcomes relating to organically produced agricultural products; 
and 
‘‘(8) developing new and improved seed varieties that are 
particularly suited for organic agriculture.’’; and 
(2) by adding at the end the following: 
‘‘(f) FUNDING.— 
‘‘(1) IN GENERAL.—Of the funds of the Commodity Credit 
Corporation, the Secretary shall make available to carry out 
this section— 
‘‘(A) $18,000,000 for fiscal year 2009; and 
‘‘(B) $20,000,000 for each of fiscal years 2010 through 
2012. 
Applicability. 
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122 STAT. 1239 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) ADDITIONAL FUNDING.—In addition to amounts made 
available under paragraph (1), there is authorized to be appro-
priated to carry out this section $25,000,000 for each of fiscal 
years 2009 through 2012.’’. 
(b) COORDINATION.—In carrying out the amendment made by 
this section, the Secretary shall ensure that the Division Chief 
of the applicable Research, Education, and Extension Office estab-
lished under section 251 of the Department of Agriculture Reorga-
nization Act of 1994 (7 U.S.C. 6971) coordinates projects and activi-
ties under this section to ensure, to the maximum extent prac-
ticable, that unnecessary duplication of effort is eliminated or mini-
mized. 
SEC. 7207. AGRICULTURAL BIOENERGY FEEDSTOCK AND ENERGY 
EFFICIENCY RESEARCH AND EXTENSION INITIATIVE. 
Title XVI of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5801 et seq.) is amended by inserting after 
section 1672B (7 U.S.C. 5925b) the following: 
‘‘SEC. 1672C. AGRICULTURAL BIOENERGY FEEDSTOCK AND ENERGY 
EFFICIENCY RESEARCH AND EXTENSION INITIATIVE. 
‘‘(a) ESTABLISHMENT AND PURPOSE.—There is established within 
the Department of Agriculture an agricultural bioenergy feedstock 
and energy efficiency research and extension initiative (referred 
to in this section as the ‘Initiative’) for the purpose of enhancing 
the production of biomass energy crops and the energy efficiency 
of agricultural operations. 
‘‘(b) COMPETITIVE RESEARCH AND EXTENSION GRANTS AUTHOR-
IZED.—In carrying out this section, the Secretary shall make 
competitive grants to support research and extension activities 
specified in subsections (c) and (d). 
‘‘(c) AGRICULTURAL
BIOENERGY
FEEDSTOCK
RESEARCH
AND 
EXTENSION AREAS.— 
‘‘(1) 
IN
GENERAL.—Agricultural 
bioenergy 
feedstock 
research and extension activities funded under the Initiative 
shall focus on improving agricultural biomass production, bio-
mass conversion in biorefineries, and biomass use by— 
‘‘(A) supporting on-farm research on crop species, 
nutrient requirements, management practices, environ-
mental impacts, and economics; 
‘‘(B) supporting the development and operation of on- 
farm, integrated biomass feedstock production systems; 
‘‘(C) leveraging the broad scientific capabilities of the 
Department of Agriculture and other entities in— 
‘‘(i) plant genetics and breeding; 
‘‘(ii) crop production; 
‘‘(iii) soil and water science; 
‘‘(iv) use of agricultural waste; and 
‘‘(v) carbohydrate, lipid, protein, and lignin chem-
istry, enzyme development, and biochemistry; and 
‘‘(D) supporting the dissemination of any of the 
research conducted under this subsection that will assist 
in achieving the goals of this section. 
‘‘(2) SELECTION CRITERIA.—In selecting grant recipients for 
projects under paragraph (1), the Secretary shall consider— 
‘‘(A) the capabilities and experiences of the applicant, 
including— 
‘‘(i) research in actual field conditions; and 
7 USC 5925e. 
7 USC 5925b 
note. 
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122 STAT. 1240 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) engineering and research knowledge relating 
to biofuels or the production of inputs for biofuel 
production; 
‘‘(B) the range of species types and cropping practices 
proposed for study (including species types and practices 
studied using side-by-side comparisons of those types and 
practices); 
‘‘(C) the need for regional diversity among feedstocks; 
‘‘(D) the importance of developing multiyear data rel-
evant to the production of biomass feedstock crops; 
‘‘(E) the extent to which the project involves direct 
participation of agricultural producers; 
‘‘(F) the extent to which the project proposal includes 
a plan or commitment to use the biomass produced as 
part of the project in commercial channels; and 
‘‘(G) such other factors as the Secretary may determine. 
‘‘(d) ENERGY-EFFICIENCY RESEARCH AND EXTENSION AREAS.— 
On-farm energy-efficiency research and extension activities funded 
under the Initiative shall focus on developing and demonstrating 
technologies and production practices relating to— 
‘‘(1) improving on-farm renewable energy production; 
‘‘(2) encouraging efficient on-farm energy use; 
‘‘(3) promoting on-farm energy conservation; 
‘‘(4) making a farm or ranch energy-neutral; and 
‘‘(5) enhancing on-farm usage of advanced technologies to 
promote energy efficiency. 
‘‘(e) BEST PRACTICES DATABASE.—The Secretary shall develop 
a best-practices database that includes information, to be available 
to the public, on— 
‘‘(1) the production potential of a variety of biomass crops; 
and 
‘‘(2) best practices for production, collection, harvesting, 
storage, and transportation of biomass crops to be used as 
a source of bioenergy. 
‘‘(f) ADMINISTRATION.— 
‘‘(1) IN GENERAL.—Paragraphs (4), (7), (8), and (11)(B) of 
subsection (b) of the Competitive, Special, and Facilities 
Research Grant Act (7 U.S.C. 450i(b)) shall apply with respect 
to making grants under this section. 
‘‘(2) CONSULTATION
AND
COORDINATION.—The Secretary 
shall— 
‘‘(A) make the grants in consultation with the National 
Agricultural 
Research, 
Extension, 
Education, 
and 
Economics Advisory Board; and 
‘‘(B) coordinate projects and activities carried out under 
the Initiative with projects and activities under section 
9008 of the Farm Security and Rural Investment Act of 
2002 to ensure, to the maximum extent practicable, that— 
‘‘(i) unnecessary duplication of effort is eliminated 
or minimized; and 
‘‘(ii) the respective strengths of the Department 
of Agriculture and the Department of Energy are 
appropriately used. 
‘‘(3) GRANT
PRIORITY.—The Secretary shall give priority 
to grant applications that integrate research and extension 
activities established under subsections (c) and (d), respectively. 
Grants. 
Applicability. 
Public 
information. 
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122 STAT. 1241 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(4) MATCHING
FUNDS
REQUIRED.—As a condition of 
receiving a grant under this section, the Secretary shall require 
the recipient of the grant to provide funds or in-kind support 
from non-Federal sources in an amount that is at least equal 
to the amount provided by the Federal Government. 
‘‘(5) PARTNERSHIPS
ENCOURAGED.—Following the comple-
tion of a peer review process for grant proposals received under 
this section, the Secretary may provide a priority to those 
grant proposals found as a result of the peer review process— 
‘‘(A) to be scientifically meritorious; and 
‘‘(B) that involve cooperation— 
‘‘(i) among multiple entities; and 
‘‘(ii) with agricultural producers. 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $50,000,000 for each 
of fiscal years 2008 through 2012.’’. 
SEC. 7208. FARM BUSINESS MANAGEMENT AND BENCHMARKING. 
The Food, Agriculture, Conservation and Trade Act of 1990 
is amended by inserting after section 1672C (as added by section 
7207) the following: 
‘‘SEC. 1672D. FARM BUSINESS MANAGEMENT. 
‘‘(a) IN
GENERAL.—The Secretary may make competitive 
research and extension grants for the purpose of— 
‘‘(1) improving the farm management knowledge and skills 
of agricultural producers; and 
‘‘(2) establishing and maintaining a national, publicly avail-
able farm financial management database to support improved 
farm management. 
‘‘(b) SELECTION CRITERIA.—In allocating funds made available 
to carry out this section, the Secretary may give priority to grants 
that— 
‘‘(1) demonstrate an ability to work directly with agricul-
tural producers; 
‘‘(2) collaborate with farm management and producer 
associations; 
‘‘(3) address the farm management needs of a variety of 
crops and regions of the United States; and 
‘‘(4) use and support the national farm financial manage-
ment database. 
‘‘(c) ADMINISTRATION.—Paragraphs (4), (7), (8), and (11)(B) of 
subsection (b) of the Competitive, Special, and Facilities Research 
Grant Act (7 U.S.C. 450i(b)) shall apply with respect to the making 
of grants under this section. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section.’’. 
SEC. 7209. AGRICULTURAL TELECOMMUNICATIONS PROGRAM. 
Section 1673 of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5926) is repealed. 
SEC. 7210. ASSISTIVE TECHNOLOGY PROGRAM FOR FARMERS WITH 
DISABILITIES. 
Section 1680(c)(1) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 5933(c)(1)) is amended by striking 
‘‘2007’’ and inserting ‘‘2012’’. 
Applicability. 
7 USC 5925f. 
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122 STAT. 1242 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7211. RESEARCH ON HONEY BEE DISEASES. 
Section 1681 of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5934) is repealed. 
SEC. 7212. NATIONAL RURAL INFORMATION CENTER CLEARINGHOUSE. 
Section 2381(e) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 3125b(e)) is amended by striking 
‘‘2007’’ and inserting ‘‘2012’’. 
Subtitle C—Agricultural Research, Exten-
sion, and Education Reform Act of 1998 
SEC. 7301. PEER AND MERIT REVIEW. 
Section 103(a) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7613(a)) is amended by 
adding at the end the following: 
‘‘(3) CONSIDERATION.—Peer and merit review procedures 
established under paragraphs (1) and (2) shall not take the 
offer or availability of matching funds into consideration.’’. 
SEC. 7302. PARTNERSHIPS FOR HIGH-VALUE AGRICULTURAL PRODUCT 
QUALITY RESEARCH. 
Section 402 of the Agricultural Research, Extension, and Edu-
cation Reform Act of 1998 (7 U.S.C. 7622) is repealed. 
SEC. 7303. PRECISION AGRICULTURE. 
Section 403 of the Agricultural Research, Extension, and Edu-
cation Reform Act of 1998 (7 U.S.C. 7623) is repealed. 
SEC. 7304. BIOBASED PRODUCTS. 
(a) PILOT
PROJECT.—Section 404(e)(2) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 
7624(e)(2)) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
(b) AUTHORIZATION OF APPROPRIATIONS.—Section 404(h) of the 
Agricultural Research, Extension, and Education Reform Act of 
1998 (7 U.S.C. 7624(h)) is amended by striking ‘‘2007’’ and inserting 
‘‘2012’’. 
SEC. 7305. THOMAS JEFFERSON INITIATIVE FOR CROP DIVERSIFICA-
TION. 
Section 405 of the Agricultural Research, Extension, and Edu-
cation Reform Act of 1998 (7 U.S.C. 7625) is repealed. 
SEC. 7306. INTEGRATED RESEARCH, EDUCATION, AND EXTENSION 
COMPETITIVE GRANTS PROGRAM. 
Section 406(f) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7626(f)) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7307. FUSARIUM GRAMINEARUM GRANTS. 
Section 408 of the Agricultural Research, Extension, and Edu-
cation Reform Act of 1998 (7 U.S.C. 7628) is amended— 
(1) in subsection (a), in the subsection heading, by striking 
‘‘GRANT’’ and inserting ‘‘GRANTS’’; and 
(2) in subsection (e), by striking ‘‘2007’’ and inserting 
‘‘2012’’. 
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122 STAT. 1243 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7308. BOVINE JOHNE’S DISEASE CONTROL PROGRAM. 
Section 409(b) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7629(b)) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7309. GRANTS FOR YOUTH ORGANIZATIONS. 
Section 410 of the Agricultural Research, Extension, and Edu-
cation Reform Act of 1998 (7 U.S.C. 7630) is amended by striking 
subsections (b) and (c) and inserting the following: 
‘‘(b) FLEXIBILITY.—The Secretary shall provide maximum flexi-
bility in content delivery to each organization receiving funds under 
this section so as to ensure that the unique goals of each organiza-
tion, as well as the local community needs, are fully met. 
‘‘(c) REDISTRIBUTION
OF
FUNDING
WITHIN
ORGANIZATIONS 
AUTHORIZED.—Recipients of funds under this section may redis-
tribute all or part of the funds received to individual councils 
or local chapters within the councils without further need of 
approval from the Secretary. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to carry out this section such sums as are 
necessary for each of fiscal years 2008 through 2012.’’. 
SEC. 
7310. 
AGRICULTURAL 
BIOTECHNOLOGY 
RESEARCH 
AND 
DEVELOPMENT FOR DEVELOPING COUNTRIES. 
Section 411(c) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7631(c)) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7311. SPECIALTY CROP RESEARCH INITIATIVE. 
(a) IN GENERAL.—Title IV of the Agricultural Research, Exten-
sion, and Education Reform Act of 1998 (7 U.S.C. 7621 et seq.) 
is amended by adding at the end the following: 
‘‘SEC. 412. SPECIALTY CROP RESEARCH INITIATIVE. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) INITIATIVE.—The term ‘Initiative’ means the specialty 
crop research and extension initiative established by subsection 
(b). 
‘‘(2) SPECIALTY CROP.—The term ‘specialty crop’ has the 
meaning given that term in section 3 of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 
108–465). 
‘‘(b) ESTABLISHMENT.—There is established within the Depart-
ment a specialty crop research and extension initiative to address 
the critical needs of the specialty crop industry by developing and 
disseminating science-based tools to address needs of specific crops 
and their regions, including— 
‘‘(1) research in plant breeding, genetics, and genomics 
to improve crop characteristics, such as— 
‘‘(A) product, taste, quality, and appearance; 
‘‘(B) environmental responses and tolerances; 
‘‘(C) nutrient management, including plant nutrient 
uptake efficiency; 
‘‘(D) pest and disease management, including resist-
ance to pests and diseases resulting in reduced application 
management strategies; and 
‘‘(E) enhanced phytonutrient content; 
7 USC 7632. 
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122 STAT. 1244 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) efforts to identify and address threats from pests and 
diseases, including threats to specialty crop pollinators; 
‘‘(3) efforts to improve production efficiency, productivity, 
and profitability over the long term (including specialty crop 
policy and marketing); 
‘‘(4) new innovations and technology, including improved 
mechanization and technologies that delay or inhibit ripening; 
and 
‘‘(5) methods to prevent, detect, monitor, control, and 
respond to potential food safety hazards in the production and 
processing of specialty crops, including fresh produce. 
‘‘(c) ELIGIBLE ENTITIES.—The Secretary may carry out the Ini-
tiative through— 
‘‘(1) Federal agencies; 
‘‘(2) national laboratories; 
‘‘(3) colleges and universities; 
‘‘(4) research institutions and organizations; 
‘‘(5) private organizations or corporations; 
‘‘(6) State agricultural experiment stations; 
‘‘(7) individuals; or 
‘‘(8) groups consisting of 2 or more entities described in 
paragraphs (1) through (7). 
‘‘(d) RESEARCH PROJECTS.—In carrying out this section, the 
Secretary shall award grants on a competitive basis. 
‘‘(e) ADMINISTRATION.— 
‘‘(1) IN GENERAL.—With respect to grants awarded under 
subsection (d), the Secretary shall— 
‘‘(A) seek and accept proposals for grants; 
‘‘(B) determine the relevance and merit of proposals 
through a system of peer and merit review in accordance 
with section 103; and 
‘‘(C) award grants on the basis of merit, quality, and 
relevance. 
‘‘(2) TERM.—The term of a grant under this section may 
not exceed 10 years. 
‘‘(3) MATCHING
FUNDS
REQUIRED.—The Secretary shall 
require the recipient of a grant under this section to provide 
funds or in-kind support from non-Federal sources in an amount 
that is at least equal to the amount provided by the Federal 
Government. 
‘‘(4) OTHER CONDITIONS.—The Secretary may set such other 
conditions on the award of a grant under this section as the 
Secretary determines to be appropriate. 
‘‘(f) PRIORITIES.—In making grants under this section, the Sec-
retary shall provide a higher priority to projects that— 
‘‘(1) are multistate, multi-institutional, or multidisciplinary; 
and 
‘‘(2) include explicit mechanisms to communicate results 
to producers and the public. 
‘‘(g) BUILDINGS AND FACILITIES.—Funds made available under 
this section shall not be used for the construction of a new building 
or facility or the acquisition, expansion, remodeling, or alteration 
of an existing building or facility (including site grading and 
improvement, and architect fees). 
‘‘(h) FUNDING.— 
‘‘(1) IN GENERAL.—Of the funds of the Commodity Credit 
Corporation, the Secretary shall make available to carry out 
Grants. 
Grants. 
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122 STAT. 1245 
PUBLIC LAW 110–234—MAY 22, 2008 
this section $30,000,000 for fiscal year 2008 and $50,000,000 
for each of fiscal years 2009 through 2012, from which activities 
under each of paragraphs (1) through (5) of subsection (b) 
shall be allocated not less than 10 percent. 
‘‘(2) AUTHORIZATION
OF
APPROPRIATIONS.—In addition to 
funds made available under paragraph (1), there is authorized 
to be appropriated to carry out this section $100,000,000 for 
each of fiscal years 2008 through 2012. 
‘‘(3) TRANSFER.—Of the funds made available to the Sec-
retary under paragraph (1) for fiscal year 2008 and authorized 
for use for payment of administrative expenses under section 
1469(a)(3) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3315(a)(3)), the 
Secretary shall transfer, upon the date of enactment of this 
section, $200,000 to the Office of Prevention, Pesticides, and 
Toxic Substances of the Environmental Protection Agency for 
use in conducting a meta-analysis relating to methyl bromide. 
‘‘(4) AVAILABILITY.—Funds made available pursuant to this 
subsection for a fiscal year shall remain available until 
expended to pay for obligations incurred in that fiscal year.’’. 
(b) COORDINATION.—In carrying out the amendment made by 
this section, the Secretary shall ensure that the Division Chief 
of the applicable Research, Education, and Extension Office estab-
lished under section 251 of the Department of Agriculture Reorga-
nization Act of 1994 (7 U.S.C. 6971) coordinates projects and activi-
ties under this section to ensure, to the maximum extent prac-
ticable, that unnecessary duplication of effort is eliminated or mini-
mized. 
SEC. 7312. FOOD ANIMAL RESIDUE AVOIDANCE DATABASE PROGRAM. 
Section 604 of the Agricultural Research, Extension, and Edu-
cation Reform Act of 1998 (7 U.S.C. 7642) is amended by adding 
at the end the following: 
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—In addition to any 
other funds available to carry out subsection (c), there is authorized 
to be appropriated to carry out this section $2,500,000 for each 
of fiscal years 2008 through 2012.’’. 
SEC. 7313. OFFICE OF PEST MANAGEMENT POLICY. 
Section 614(f) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7653(f)) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
Subtitle D—Other Laws 
SEC. 7401. CRITICAL AGRICULTURAL MATERIALS ACT. 
Section 16(a) of the Critical Agricultural Materials Act (7 U.S.C. 
178n(a)) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7402. EQUITY IN EDUCATIONAL LAND-GRANT STATUS ACT OF 
1994. 
(a) DEFINITION
OF 1994 INSTITUTIONS.—Section 532 of the 
Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 
301 note; Public Law 103–382) is amended by adding at the end 
the following: 
‘‘(34) Ilisagvik College.’’. 
7 USC 7632 note. 
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122 STAT. 1246 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) ENDOWMENT FOR 1994 INSTITUTIONS.—Section 533 of the 
Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 
301 note; Public Law 103–382) is amended— 
(1) in subsection (a)(3), in the matter preceding subpara-
graph (A), by inserting ‘‘this section and’’ before ‘‘sections 534,’’; 
and 
(2) in the first sentence of subsection (b), by striking ‘‘2007’’ 
and inserting ‘‘2012’’. 
(c) REDISTRIBUTION.—Section 534(a)(3) of the Equity in Edu-
cational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public 
Law 103–382) is amended— 
(1) by striking ‘‘The amounts’’ and inserting the following: 
‘‘(A) IN GENERAL.—Except as provided in subparagraph 
(B), the amounts’’; and 
(2) by adding at the end the following: 
‘‘(B) REDISTRIBUTION.—Funds that would be paid to 
a 1994 Institution under paragraph (2) shall be withheld 
from that 1994 Institution and redistributed among the 
other 1994 Institutions if that 1994 Institution— 
‘‘(i) declines to accept funds under paragraph (2); 
or 
‘‘(ii) fails to meet the accreditation requirements 
under section 533(a)(3).’’. 
(d) INSTITUTIONAL CAPACITY BUILDING GRANTS.—Section 535 
of the Equity in Educational Land-Grant Status Act of 1994 (7 
U.S.C. 301 note; Public Law 103–382) is amended by striking ‘‘2007’’ 
each place it appears and inserting ‘‘2012’’. 
(e) RESEARCH GRANTS.—Section 536(c) of the Equity in Edu-
cational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public 
Law 103–382) is amended in the first sentence by striking ‘‘2007’’ 
and inserting ‘‘2012’’. 
(f) EFFECTIVE DATE.—The amendment made by subsection (a) 
takes effect on October 1, 2008. 
SEC. 7403. SMITH-LEVER ACT. 
(a) PROGRAM.—Section 3(d) of the Smith-Lever Act (7 U.S.C. 
343(d)) is amended in the second sentence by striking ‘‘apply for 
and receive’’ and all that follows through paragraph (2) and 
inserting ‘‘compete for and receive funds directly from the Secretary 
of Agriculture.’’. 
(b) ELIMINATION
OF
THE GOVERNOR’S REPORT REQUIREMENT 
FOR EXTENSION ACTIVITIES.—Section 5 of the Smith-Lever Act (7 
U.S.C. 345) is amended by striking the third sentence. 
(c) CONFORMING
AMENDMENT.—Section 1444(a)(2) of the 
National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (7 U.S.C. 3221(a)(2)) is amended by striking ‘‘after 
September 30, 1995, under section 3(d) of that Act (7 U.S.C. 343(d))’’ 
and all that follows through the end of the sentence and inserting 
‘‘under section 3(d) of that Act (7 U.S.C. 343(d)).’’. 
SEC. 7404. HATCH ACT OF 1887. 
(a) DISTRICT OF COLUMBIA.—Section 3(d)(4) of the Hatch Act 
of 1887 (7 U.S.C. 361c(d)(4)) is amended— 
(1) in the paragraph heading, by inserting ‘‘AND THE DIS-
TRICT OF COLUMBIA’’ after ‘‘AREAS’’; 
(2) in subparagraph (A)— 
(A) by inserting ‘‘and the District of Columbia’’ after 
‘‘United States’’; and 
7 USC 1301 note. 
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122 STAT. 1247 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) by inserting ‘‘and the District of Columbia’’ after 
‘‘respectively,’’; and 
(3) in subparagraph (B), by inserting ‘‘or the District of 
Columbia’’ after ‘‘area’’. 
(b) ELIMINATION OF PENALTY MAIL AUTHORITIES.— 
(1) IN GENERAL.—Section 6 of the Hatch Act of 1887 (7 
U.S.C. 361f) is amended in the first sentence by striking ‘‘under 
penalty indicia:’’ and all that follows through the end of the 
sentence and inserting a period. 
(2) CONFORMING AMENDMENTS IN OTHER LAWS.— 
(A) NATIONAL
AGRICULTURAL
RESEARCH, EXTENSION, 
AND TEACHING POLICY ACT OF 1977.— 
(i) Section 1444(f) of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 
(7 U.S.C. 3221(f)) is amended by striking ‘‘under pen-
alty indicia:’’ and all that follows through the end 
of the sentence and inserting a period. 
(ii) Section 1445(e) of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 
(7 U.S.C. 3222(e)) is amended by striking ‘‘under pen-
alty indicia:’’ and all that follows through the end 
of the sentence and inserting a period. 
(B) OTHER
PROVISIONS.—Section 3202(a) of title 39, 
United States Code, is amended— 
(i) in paragraph (1)— 
(I) in subparagraph (D), by adding ‘‘and’’ at 
the end; 
(II) in subparagraph (E), by striking ‘‘sections; 
and’’ and inserting ‘‘sections.’’; and 
(III) by striking subparagraph (F); 
(ii) in paragraph (2), by adding ‘‘and’’ at the end; 
(iii) in paragraph (3) by striking ‘‘thereof; and’’ 
and inserting ‘‘thereof.’’; and 
(iv) by striking paragraph (4). 
SEC. 7405. AGRICULTURAL EXPERIMENT STATION RESEARCH FACILI-
TIES ACT. 
Section 6(a) of the Research Facilities Act (7 U.S.C. 390d(a)) 
is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7406. AGRICULTURE AND FOOD RESEARCH INITIATIVE. 
(a) IN GENERAL.—Subsection (b) of the Competitive, Special, 
and Facilities Research Grant Act (7 U.S.C. 450i(b)) is amended 
to read as follows: 
‘‘(b) AGRICULTURE AND FOOD RESEARCH INITIATIVE.— 
‘‘(1) ESTABLISHMENT.—There is established in the Depart-
ment of Agriculture an Agriculture and Food Research Initiative 
under which the Secretary of Agriculture (referred to in this 
subsection as ‘the Secretary’) may make competitive grants 
for fundamental and applied research, extension, and education 
to address food and agricultural sciences (as defined under 
section 1404 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3103)). 
‘‘(2) PRIORITY
AREAS.—The competitive grants program 
established under this subsection shall address the following 
areas: 
‘‘(A) PLANT HEALTH AND PRODUCTION AND PLANT PROD-
UCTS.—Plant systems, including— 
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122 STAT. 1248 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) plant genome structure and function; 
‘‘(ii) molecular and cellular genetics and plant bio-
technology; 
‘‘(iii) conventional breeding, including cultivar and 
breed development, selection theory, applied quan-
titative genetics, breeding for improved food quality, 
breeding for improved local adaptation to biotic stress 
and abiotic stress, and participatory breeding; 
‘‘(iv) plant-pest interactions and biocontrol sys-
tems; 
‘‘(v) crop plant response to environmental stresses; 
‘‘(vi) unproved nutrient qualities of plant products; 
and 
‘‘(vii) new food and industrial uses of plant prod-
ucts. 
‘‘(B) ANIMAL
HEALTH
AND
PRODUCTION
AND
ANIMAL 
PRODUCTS.—Animal systems, including— 
‘‘(i) aquaculture; 
‘‘(ii) cellular and molecular basis of animal repro-
duction, growth, disease, and health; 
‘‘(iii) animal biotechnology; 
‘‘(iv) 
conventional 
breeding, 
including 
breed 
development, selection theory, applied quantitative 
genetics, breeding for improved food quality, breeding 
for improved local adaptation to biotic stress and abi-
otic stress, and participatory breeding; 
‘‘(v) identification of genes responsible for improved 
production traits and resistance to disease; 
‘‘(vi) improved nutritional performance of animals; 
‘‘(vii) improved nutrient qualities of animal prod-
ucts and uses; and 
‘‘(viii) the development of new and improved 
animal husbandry and production systems that take 
into account production efficiency, animal well-being, 
and animal systems applicable to aquaculture. 
‘‘(C) FOOD SAFETY, NUTRITION, AND HEALTH.—Nutrition, 
food safety and quality, and health, including— 
‘‘(i) microbial contaminants and pesticides residue 
relating to human health; 
‘‘(ii) links between diet and health; 
‘‘(iii) bioavailability of nutrients; 
‘‘(iv) postharvest physiology and practices; and 
‘‘(v) improved processing technologies. 
‘‘(D) RENEWABLE ENERGY, NATURAL RESOURCES, AND 
ENVIRONMENT.—Natural resources and the environment, 
including— 
‘‘(i) fundamental structures and functions of eco-
systems; 
‘‘(ii) biological and physical bases of sustainable 
production systems; 
‘‘(iii) minimizing soil and water losses and sus-
taining surface water and ground water quality; 
‘‘(iv) global climate effects on agriculture; 
‘‘(v) forestry; and 
‘‘(vi) biological diversity. 
‘‘(E) 
AGRICULTURE
SYSTEMS
AND
TECHNOLOGY.— 
Engineering, products, and processes, including— 
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122 STAT. 1249 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) new uses and new products from traditional 
and nontraditional crops, animals, byproducts, and nat-
ural resources; 
‘‘(ii) robotics, energy efficiency, computing, and 
expert systems; 
‘‘(iii) new hazard and risk assessment and mitiga-
tion measures; and 
‘‘(iv) water quality and management. 
‘‘(F) AGRICULTURE
ECONOMICS
AND
RURAL
COMMU-
NITIES.—Markets, trade, and policy, including— 
‘‘(i) strategies for entering into and being competi-
tive in domestic and overseas markets; 
‘‘(ii) farm efficiency and profitability, including the 
viability and competitiveness of small and medium- 
sized dairy, livestock, crop and other commodity oper-
ations; 
‘‘(iii) new decision tools for farm and market sys-
tems; 
‘‘(iv) choices and applications of technology; 
‘‘(v) technology assessment; and 
‘‘(vi) new approaches to rural development, 
including rural entrepreneurship. 
‘‘(3) TERM.—The term of a competitive grant made under 
this subsection may not exceed 10 years. 
‘‘(4) GENERAL ADMINISTRATION.—In making grants under 
this subsection, the Secretary shall— 
‘‘(A) seek and accept proposals for grants; 
‘‘(B) determine the relevance and merit of proposals 
through a system of peer and merit review in accordance 
with section 103 of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7613); 
‘‘(C) award grants on the basis of merit, quality, and 
relevance; 
‘‘(D) solicit and consider input from persons who con-
duct or use agricultural research, extension, or education 
in accordance with section 102(b) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 
(7 U.S.C. 7612(b)); and 
‘‘(E) in seeking proposals for grants under this sub-
section and in performing peer review evaluations of such 
proposals, seek the widest participation of qualified individ-
uals in the Federal Government, colleges and universities, 
State agricultural experiment stations, and the private 
sector. 
‘‘(5) ALLOCATION OF FUNDS.—In making grants under this 
subsection, the Secretary shall allocate funds to the Agriculture 
and Food Research Initiative to ensure that, of funds allocated 
for research activities— 
‘‘(A) not less than 60 percent is made available to 
make grants for fundamental research (as defined in sub-
section (f)(1) of section 251 of the Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 6971)), of which— 
‘‘(i) not less than 30 percent is made available 
to make grants for research to be conducted by multi-
disciplinary teams; and 
‘‘(ii) not more than 2 percent is used for equipment 
grants under paragraph (6)(A); and 
Grants. 
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122 STAT. 1250 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) not less than 40 percent is made available to 
make grants for applied research (as defined in subsection 
(f)(1) of section 251 of the Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 6971)). 
‘‘(6) SPECIAL
CONSIDERATIONS.—In making grants under 
this subsection, the Secretary may assist in the development 
of capabilities in the agricultural, food, and environmental 
sciences by providing grants— 
‘‘(A) to an institution to allow for the improvement 
of the research, development, technology transfer, and edu-
cation capacity of the institution through the acquisition 
of special research equipment and the improvement of agri-
cultural education and teaching, except that the Secretary 
shall use not less than 25 percent of the funds made 
available for grants under this subparagraph to provide 
fellowships to outstanding pre- and post-doctoral students 
for research in the agricultural sciences; 
‘‘(B) to a single investigator or coinvestigators who 
are beginning research careers and do not have an exten-
sive research publication record, except that, to be eligible 
for a grant under this subparagraph, an individual shall 
be within 5 years of the beginning of the initial career 
track position of the individual; 
‘‘(C) to ensure that the faculty of small, mid-sized, 
and minority-serving institutions who have not previously 
been successful in obtaining competitive grants under this 
subsection receive a portion of the grants; and 
‘‘(D) to improve research, extension, and education 
capabilities in States (as defined in section 1404 of the 
National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 (7 U.S.C. 3103)) in which institutions 
have been less successful in receiving funding under this 
subsection, based on a 3-year rolling average of funding 
levels. 
‘‘(7) ELIGIBLE ENTITIES.—The Secretary may make grants 
to carry out research, extension, and education under this sub-
section to— 
‘‘(A) State agricultural experiment stations; 
‘‘(B) colleges and universities; 
‘‘(C) university research foundations; 
‘‘(D) other research institutions and organizations; 
‘‘(E) Federal agencies; 
‘‘(F) national laboratories; 
‘‘(G) private organizations or corporations; 
‘‘(H) individuals; or 
‘‘(I) any group consisting of 2 or more of the entities 
described in subparagraphs (A) through (H). 
‘‘(8) CONSTRUCTION PROHIBITED.—Funds made available for 
grants under this subsection shall not be used for the construc-
tion of a new building or facility or the acquisition, expansion, 
remodeling, or alteration of an existing building or facility 
(including site grading and improvement, and architect fees). 
‘‘(9) MATCHING FUNDS.— 
‘‘(A) EQUIPMENT GRANTS.— 
‘‘(i) IN
GENERAL.—Except as provided in clause 
(ii), in the case of a grant made under paragraph 
(6)(A), the amount provided under this subsection may 
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122 STAT. 1251 
PUBLIC LAW 110–234—MAY 22, 2008 
not exceed 50 percent of the cost of the special research 
equipment or other equipment acquired using funds 
from the grant. 
‘‘(ii) WAIVER.—The Secretary may waive all or part 
of the matching requirement under clause (i) in the 
case of a college, university, or research foundation 
maintained by a college or university that ranks in 
the lowest 
1⁄3
of such colleges, universities, and 
research foundations on the basis of Federal research 
funds received, if the equipment to be acquired using 
funds from the grant costs not more than $25,000 
and has multiple uses within a single research project 
or is usable in more than 1 research project. 
‘‘(B) APPLIED
RESEARCH.—As a condition of making 
a grant under paragraph (5)(B), the Secretary shall require 
the funding of the grant to be matched with equal matching 
funds from a non-Federal source if the grant is for applied 
research that is— 
‘‘(i) commodity-specific; and 
‘‘(ii) not of national scope. 
‘‘(10) PROGRAM ADMINISTRATION.—To the maximum extent 
practicable, the Director of the National Institute of Food and 
Agriculture, in coordination with the Under Secretary for 
Research, Education, and Economics, shall allocate grants 
under this subsection to high-priority research, taking into 
consideration, when available, the determinations made by the 
National Agricultural Research, Extension, Education, and 
Economics Advisory Board (as established under section 1408 
of the National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 (7 U.S.C. 3123)). 
‘‘(11) AUTHORIZATION OF APPROPRIATIONS.— 
‘‘(A) IN GENERAL.—There is authorized to be appro-
priated to carry out this subsection $700,000,000 for each 
of fiscal years 2008 through 2012, of which— 
‘‘(i) not less than 30 percent shall be made avail-
able for integrated research pursuant to section 406 
of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (7 U.S.C. 7626); and 
‘‘(ii) not more than 4 percent may be retained 
by the Secretary to pay administrative costs incurred 
by the Secretary in carrying out this subsection. 
‘‘(B) AVAILABILITY.—Funds made available under this 
paragraph shall— 
‘‘(i) be available for obligation for a 2-year period 
beginning on October 1 of the fiscal year for which 
the funds are first made available; and 
‘‘(ii) remain available until expended to pay for 
obligations incurred during that 2-year period.’’. 
(b) REPEALS.— 
(1) Section 401 of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7621) is repealed. 
(2) Subsection (d) of the Competitive, Special, and Facilities 
Research Grant Act (7 U.S.C. 450i(d)) is repealed. 
(c) EFFECT
ON CURRENT SOLICITATIONS.—The amendments 
made by this section shall not apply to any solicitation for grant 
applications issued by the Cooperative State Research, Education, 
and Extension Service before the date of enactment of this Act. 
7 USC 450i note. 
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122 STAT. 1252 
PUBLIC LAW 110–234—MAY 22, 2008 
(d) CONFORMING AMENDMENTS.— 
(1) Section 1473 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319) 
is amended in the first sentence by striking ‘‘and subsection 
(d)’’. 
(2) Section 1671(d) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5924(d) is amended by striking 
‘‘Paragraphs (1), (6), (7), and (11)’’ and inserting ‘‘Paragraphs 
(4), (7), (8), and (11)(B)’’. 
(3) Section 1672B(b) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5925b(b)) is amended by 
striking ‘‘Paragraphs (1), (6), (7), and (11)’’ and inserting ‘‘Para-
graphs (4), (7), (8), and (11)(B)’’. 
SEC. 7407. AGRICULTURAL RISK PROTECTION ACT OF 2000. 
Section 221 of the Agricultural Risk Protection Act of 2000 
(7 U.S.C. 6711(g)) is amended by striking subsection (g) and 
inserting the following: 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $15,000,000 for each 
of fiscal years 2007 through 2012.’’. 
SEC. 7408. EXCHANGE OR SALE AUTHORITY. 
Title III of the Department of Agriculture Reorganization Act 
of 1994 (Public Law 103–354; 108 Stat. 3238) is amended by adding 
at the end the following: 
‘‘SEC. 307. EXCHANGE OR SALE AUTHORITY. 
‘‘(a) DEFINITION OF QUALIFIED ITEM OF PERSONAL PROPERTY.— 
In this section, the term ‘qualified item of personal property’ 
means— 
‘‘(1) an animal; 
‘‘(2) an animal product; 
‘‘(3) a plant; or 
‘‘(4) a plant product. 
‘‘(b) GENERAL AUTHORITY.—Except as provided in subsection 
(c), notwithstanding chapter 5 of subtitle I of title 40, United 
States Code, the Secretary, acting through the Under Secretary 
for Research, Education, and Economics, in managing personal 
property for the purpose of carrying out the research functions 
of the Department, may exchange, sell, or otherwise dispose of 
any qualified item of personal property, including by way of public 
auction, and may retain and apply the sale or other proceeds, 
without further appropriation and without fiscal year limitation, 
in whole or in partial payment— 
‘‘(1) to acquire any qualified item of personal property; 
or 
‘‘(2) to offset costs related to the maintenance, care, or 
feeding of any qualified item of personal property. 
‘‘(c) EXCEPTION.—Subsection (b) does not apply to the free 
dissemination of new varieties of seeds and germplasm in accord-
ance with section 520 of the Revised Statutes (commonly known 
as the ‘Department of Agriculture Organic Act’) (7 U.S.C. 2201).’’. 
SEC. 7409. ENHANCED USE LEASE AUTHORITY PILOT PROGRAM. 
Title III of the Department of Agriculture Reorganization Act 
of 1994 (Public Law 103–354; 108 Stat. 3238) (as amended by 
section 7408) is amended by adding at the end the following: 
7 USC 2241a. 
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122 STAT. 1253 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 308. ENHANCED USE LEASE AUTHORITY PILOT PROGRAM. 
‘‘(a) ESTABLISHMENT.—To enhance the use of real property 
administered by agencies of the Department, the Secretary may 
establish a pilot program, in accordance with this section, at the 
Beltsville Agricultural Research Center of the Agricultural Research 
Service and the National Agricultural Library to lease nonexcess 
property of the Center or the Library to any individual or entity, 
including agencies or instrumentalities of State or local govern-
ments. 
‘‘(b) REQUIREMENTS.— 
‘‘(1) IN GENERAL.—Notwithstanding chapter 5 of subtitle 
I of title 40, United States Code, the Secretary may lease 
real property at the Beltsville Agricultural Research Center 
or the National Agricultural Library in accordance with such 
terms and conditions as the Secretary may prescribe, if the 
Secretary determines that the lease— 
‘‘(A) is consistent with, and will not adversely affect, 
the mission of the Department agency administering the 
property; 
‘‘(B) will enhance the use of the property; 
‘‘(C) will not permit any portion of Department agency 
property or any facility of the Department to be used 
for the public retail or wholesale sale of merchandise or 
residential development; 
‘‘(D) will not permit the construction or modification 
of facilities financed by non-Federal sources to be used 
by an agency, except for incidental use; and 
‘‘(E) will not include any property or facility required 
for any Department agency purpose without prior consider-
ation of the needs of the agency. 
‘‘(2) TERM.—The term of a lease under this section shall 
not exceed 30 years. 
‘‘(3) CONSIDERATION.— 
‘‘(A) IN GENERAL.—Consideration provided for a lease 
under this section shall be— 
‘‘(i) in an amount equal to fair market value, as 
determined by the Secretary; and 
‘‘(ii) in the form of cash. 
‘‘(B) USE OF FUNDS.— 
‘‘(i) IN
GENERAL.—Consideration provided for a 
lease under this section shall be— 
‘‘(I) deposited in a capital asset account to 
be established by the Secretary; and 
‘‘(II) available until expended, without further 
appropriation, for maintenance, capital revitaliza-
tion, and improvements of the Department prop-
erties and facilities at the Beltsville Agricultural 
Research 
Center 
and 
National 
Agricultural 
Library. 
‘‘(ii) BUDGETARY TREATMENT.—For purposes of the 
budget, the amounts described in clause (i) shall not 
be treated as a receipt of any Department agency or 
any other agency leasing property under this section. 
‘‘(4) COSTS.—The lessee shall cover all costs associated 
with a lease under this section, including the cost of— 
‘‘(A) the project to be carried out on property or at 
a facility covered by the lease; 
7 USC 3125a 
note. 
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122 STAT. 1254 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) provision and administration of the lease; 
‘‘(C) construction of any needed facilities; 
‘‘(D) provision of applicable utilities; and 
‘‘(E) any other facility cost normally associated with 
the operation of a leased facility. 
‘‘(5) PROHIBITION
OF
USE
OF
APPROPRIATIONS.—The Sec-
retary shall not use any funds made available to the Secretary 
in an appropriations Act for the construction or operating costs 
of any space covered by a lease under this section. 
‘‘(6) TERMINATION
OF
AUTHORITY.—This section and the 
authority provided by this section terminate— 
‘‘(A) on the date that is 5 years after the date of 
enactment of this section; or 
‘‘(B) with respect to any particular leased property, 
on the date of termination of the lease. 
‘‘(c) EFFECT OF OTHER LAWS.— 
‘‘(1) UTILIZATION.—Property that is leased pursuant to this 
section shall not be considered to be unutilized or underutilized 
for purposes of section 501 of the Stewart B. McKinney Home-
less Assistance Act (42 U.S.C. 11411). 
‘‘(2) DISPOSAL.—Property at the Beltsville Agricultural 
Research Center or the National Agricultural Library that is 
leased pursuant to this section shall not be considered to be 
disposed of by sale, lease, rental, excessing, or surplusing for 
purposes of section 523 of Public Law 100–202 (101 Stat. 1329- 
417). 
‘‘(d) ADMINISTRATION.— 
‘‘(1) IN GENERAL.—Not later than 90 days 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 that describes detailed management 
objectives and performance measurements by which the Sec-
retary intends to evaluate the success of the program under 
this section. 
‘‘(2) REPORTS.—Not later than 1, 3, and 5 years after the 
date of enactment of this section, the Secretary shall submit 
to the Committee on Agriculture of the House of Representa-
tives and the Committee on Agriculture, Nutrition, and Forestry 
of the Senate a report describing the implementation of the 
program under this section, including— 
‘‘(A) a copy of each lease entered into pursuant to 
this section; and 
‘‘(B) an assessment by the Secretary of the success 
of the program using the management objectives and 
performance measurements developed by the Secretary.’’. 
SEC. 7410. BEGINNING FARMER AND RANCHER DEVELOPMENT PRO-
GRAM. 
(a) GRANTS.—Section 7405(c) of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 3319f(c)) is amended— 
(1) by striking paragraph (3) and inserting the following: 
‘‘(3) MAXIMUM TERM AND SIZE OF GRANT.— 
‘‘(A) IN
GENERAL.—A grant under this subsection 
shall— 
‘‘(i) have a term that is not more than 3 years; 
and 
Deadline. 
Reports. 
Maryland. 
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122 STAT. 1255 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) be in an amount that is not more than 
$250,000 for each year. 
‘‘(B) CONSECUTIVE GRANTS.—An eligible recipient may 
receive consecutive grants under this subsection.’’; 
(2) by redesignating paragraphs (5) through (7) as para-
graphs (8) through (10), respectively; 
(3) by inserting after paragraph (4) the following: 
‘‘(5) EVALUATION CRITERIA.—In making grants under this 
subsection, the Secretary shall evaluate— 
‘‘(A) relevancy; 
‘‘(B) technical merit; 
‘‘(C) achievability; 
‘‘(D) the expertise and track record of 1 or more 
applicants; 
‘‘(E) the adequacy of plans for the participatory evalua-
tion process, outcome-based reporting, and the communica-
tion of findings and results beyond the immediate target 
audience; and 
‘‘(F) other appropriate factors, as determined by the 
Secretary. 
‘‘(6) REGIONAL BALANCE.—In making grants under this sub-
section, the Secretary shall, to the maximum extent practicable, 
ensure geographical diversity. 
‘‘(7) PRIORITY.—In making grants under this subsection, 
the Secretary shall give priority to partnerships and collabora-
tions that are led by or include nongovernmental and commu-
nity-based organizations with expertise in new agricultural pro-
ducer training and outreach.’’. 
(b) FUNDING.—Section 7405 of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 3319f) is amended by striking 
subsection (h) and inserting the following: 
‘‘(h) FUNDING.— 
‘‘(1) IN GENERAL.—Of the funds of the Commodity Credit 
Corporation, the Secretary shall make available to carry out 
this section— 
‘‘(A) $18,000,000 for fiscal year 2009; and 
‘‘(B) $19,000,000 for each of fiscal years 2010 through 
2012. 
‘‘(2) AUTHORIZATION
OF
APPROPRIATIONS.—In addition to 
funds provided under paragraph (1), there is authorized to 
be appropriated to carry out this section $30,000,000 for each 
of fiscal years 2008 through 2012.’’. 
SEC. 7411. PUBLIC EDUCATION REGARDING USE OF BIOTECHNOLOGY 
IN PRODUCING FOOD FOR HUMAN CONSUMPTION. 
Section 10802 of the Farm Security and Rural Investment 
Act of 2002 (7 U.S.C. 5921a) is repealed. 
SEC. 7412. MCINTIRE-STENNIS COOPERATIVE FORESTRY ACT. 
(a) IN GENERAL.—Section 2 of Public Law 87–788 (commonly 
known as the ‘‘McIntire-Stennis Cooperative Forestry Act’’) (16 
U.S.C. 582a–1) is amended by inserting ‘‘and 1890 Institutions 
(as defined in section 2 of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7601)),’’ before ‘‘and 
(b)’’. 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
takes effect on October 1, 2008. 
16 USC 502a–1 
note. 
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122 STAT. 1256 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7413. RENEWABLE RESOURCES EXTENSION ACT OF 1978. 
(a) AUTHORIZATION
OF
APPROPRIATIONS.—Section 6 of the 
Renewable Resources Extension Act of 1978 (16 U.S.C. 1675) is 
amended in the first sentence by striking ‘‘2007’’ and inserting 
‘‘2012’’. 
(b) TERMINATION DATE.—Section 8 of the Renewable Resources 
Extension Act of 1978 (16 U.S.C. 1671 note; Public Law 95–306) 
is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 7414. NATIONAL AQUACULTURE ACT OF 1980. 
Section 10 of the National Aquaculture Act of 1980 (16 U.S.C. 
2809) is amended by striking ‘‘2007’’ each place it appears and 
inserting ‘‘2012’’. 
SEC. 7415. CONSTRUCTION OF CHINESE GARDEN AT THE NATIONAL 
ARBORETUM. 
The Act of March 4, 1927 (20 U.S.C. 191 et seq.), is amended 
by adding at the end the following: 
‘‘SEC. 7. CONSTRUCTION OF CHINESE GARDEN AT THE NATIONAL 
ARBORETUM. 
‘‘A Chinese Garden may be constructed at the National Arbo-
retum established under this Act with— 
‘‘(1) funds accepted under section 5; 
‘‘(2) authorities provided to the Secretary of Agriculture 
under section 6; and 
‘‘(3) appropriations provided for this purpose.’’. 
SEC. 7416. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND 
TEACHING POLICY ACT AMENDMENTS OF 1985. 
Section 1431 of the National Agricultural Research, Extension, 
and Teaching Policy Act Amendments of 1985 (Public Law 99– 
198; 99 Stat. 1556) is amended by striking ‘‘2007’’ and inserting 
‘‘2012’’. 
SEC. 7417. ELIGIBILITY OF UNIVERSITY OF THE DISTRICT OF 
COLUMBIA 
FOR 
CERTAIN 
LAND-GRANT 
UNIVERSITY 
ASSISTANCE. 
(a) IN GENERAL.—Section 208 of the District of Columbia Public 
Postsecondary Education Reorganization Act (Public Law 93–471; 
88 Stat. 1428) is amended— 
(1) in subsection (b)(2), by striking ‘‘, except’’ and all that 
follows through the period and inserting a period; and 
(2) in subsection (c)— 
(A) by striking ‘‘section 3’’ each place it appears and 
inserting ‘‘section 3(c)’’; and 
(B) by striking ‘‘Such sums may be used to pay’’ and 
all that follows through ‘‘work.’’. 
(b) EFFECTIVE DATE.—The amendments made by this section 
take effect on October 1, 2008. 
Subtitle E—Miscellaneous 
PART I—GENERAL PROVISIONS 
SEC. 7501. DEFINITIONS. 
Except as otherwise provided in this subtitle, in this subtitle: 
7 USC 7614. 
20 USC 197. 
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122 STAT. 1257 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) CAPACITY AND INFRASTRUCTURE PROGRAM.—The term 
‘‘capacity and infrastructure program’’ has the meaning given 
the term in subsection (f)(1) of section 251 of the Department 
of Agriculture Reorganization Act of 1994 (7 U.S.C. 6971) (as 
added by section 7511(a)(4)). 
(2) CAPACITY AND INFRASTRUCTURE PROGRAM CRITICAL BASE 
FUNDING.—The term ‘‘capacity and infrastructure program crit-
ical base funding’’ means the aggregate amount of Federal 
funds made available for capacity and infrastructure programs 
for fiscal year 2006, as appropriate. 
(3) COMPETITIVE
PROGRAM.—The term ‘‘competitive pro-
gram’’ has the meaning given the term in subsection (f)(1) 
of section 251 of the Department of Agriculture Reorganization 
Act of 1994 (7 U.S.C. 6971) (as added by section 7511(a)(4)). 
(4) COMPETITIVE PROGRAM CRITICAL BASE FUNDING.—The 
term ‘‘competitive program critical base funding’’ means the 
aggregate amount of Federal funds made available for competi-
tive programs for fiscal year 2006, as appropriate. 
(5) 
HISPANIC-SERVING
AGRICULTURAL
COLLEGES
AND 
UNIVERSITIES.—The term ‘‘Hispanic-serving agricultural col-
leges and universities’’ has the meaning given the term in 
section 1404 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3103). 
(6) NLGCA INSTITUTION.—The term ‘‘NLGCA Institution’’ 
has the meaning given the term in section 1404 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 (7 U.S.C. 3103). 
(7) 1862 INSTITUTION; 1890 INSTITUTION; 1994 INSTITUTION.— 
The terms ‘‘1862 Institution’’, ‘‘1890 Institution’’, and ‘‘1994 
Institution’’ have the meanings given the terms in section 2 
of the Agricultural Research, Extension, and Education Reform 
Act of 1998 (7 U.S.C. 7601). 
SEC. 7502. GRAZINGLANDS RESEARCH LABORATORY. 
Except as otherwise specifically authorized by law and notwith-
standing any other provision of law, the Federal land and facilities 
at El Reno, Oklahoma, administered by the Secretary (as of the 
date of enactment of this Act) as the Grazinglands Research Labora-
tory, shall not at any time, in whole or in part, be declared to 
be excess or surplus Federal property under chapter 5 of subtitle 
I of title 40, United States Code, or otherwise be conveyed or 
transferred in whole or in part, for the 5-year period beginning 
on the date of enactment of this Act. 
SEC. 7503. FORT RENO SCIENCE PARK RESEARCH FACILITY. 
The Secretary may lease land to the University of Oklahoma 
at the Grazinglands Research Laboratory at El Reno, Oklahoma, 
on such terms and conditions as the University and the Secretary 
may agree in furtherance of cooperative research and existing ease-
ment arrangements. 
SEC. 7504. ROADMAP. 
(a) IN GENERAL.—Not later than 90 days after the date of 
enactment of this Act, the Secretary, acting through the Under 
Secretary of Research, Education, and Economics (referred to in 
this section as the ‘‘Under Secretary’’), shall commence preparation 
of a roadmap for agricultural research, education, and extension 
that— 
Deadline. 
7 USC 7614a. 
Oklahoma. 
Oklahoma. 
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122 STAT. 1258 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) identifies current trends and constraints; 
(2) identifies major opportunities and gaps that no single 
entity within the Department of Agriculture would be able 
to address individually; 
(3) involves— 
(A) interested parties from the Federal Government 
and nongovernmental entities; and 
(B) the National Agricultural Research, Extension, 
Education, and Economics Advisory Board established 
under section 1408 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3123); 
(4) incorporates roadmaps for agricultural research, edu-
cation, and extension made publicly available by other Federal 
entities, agencies, or offices; and 
(5) describes recommended funding levels for areas of agri-
cultural research, education, and extension, including— 
(A) competitive programs; 
(B) capacity and infrastructure programs, with atten-
tion to the future growth needs of— 
(i) small 1862 Institutions, 1890 Institutions, and 
1994 Institutions; 
(ii) Hispanic-serving agricultural colleges and 
universities; 
(iii) NLGCA Institutions; and 
(iv) colleges of veterinary medicine; and 
(C) intramural programs at agencies within the 
research, education, and economics mission area; and 
(6) describes how organizational changes enacted by this 
Act have impacted agricultural research, extension, and edu-
cation across the Department of Agriculture, including mini-
mization of unnecessary programmatic and administrative 
duplication. 
(b) REVIEWABILITY.—The roadmap described in this section 
shall not be subject to review by any officer or employee of the 
Federal Government other than the Secretary (or a designee of 
the Secretary). 
(c) ROADMAP IMPLEMENTATION AND REPORT.—Not later than 
1 year after the date on which the Secretary commences preparation 
of the roadmap under this section, the Secretary shall— 
(1) implement and use the roadmap to set the research, 
education, and extension agenda of the Department of Agri-
culture; and 
(2) make the roadmap available to the public. 
SEC. 7505. REVIEW OF PLAN OF WORK REQUIREMENTS. 
(a) REVIEW.—The Secretary shall work with university partners 
in extension and research to review and identify measures to 
streamline the submission, reporting under, and implementation 
of plan of work requirements, including those requirements under— 
(1) sections 1444(d) and 1445(c) of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3221(d) and 3222(c), respectively); 
(2) section 7 of the Hatch Act of 1887 (7 U.S.C. 361g); 
and 
(3) section 4 of the Smith-Lever Act (7 U.S.C. 344). 
7 USC 7614b. 
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122 STAT. 1259 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) CONSULTATION.—In carrying out the review and formulating 
and compiling the recommendations, the Secretary shall consult 
with the land-grant institutions. 
SEC. 7506. BUDGET SUBMISSION AND FUNDING. 
(a) DEFINITION OF COMPETITIVE PROGRAMS.—In this section, 
the term ‘‘competitive programs’’ includes only competitive programs 
for which annual appropriations are requested in the annual budget 
submission of the President. 
(b) BUDGET REQUEST.—The President shall submit to Congress, 
together with the annual budget submission of the President, a 
single budget line item reflecting the total amount requested by 
the President for funding for research, education, and extension 
activities of the Research, Education, and Economics mission area 
of the Department for that fiscal year and for the preceding 5 
fiscal years. 
(c) CAPACITY AND INFRASTRUCTURE PROGRAM REQUEST.—Of the 
funds requested for capacity and infrastructure programs in excess 
of the capacity and infrastructure program critical base funding 
level, budgetary emphasis should be placed on enhancing funding 
for— 
(1) 1890 Institutions; 
(2) 1994 Institutions; 
(3) NLGCA Institutions; 
(4) Hispanic-serving agricultural colleges and universities; 
and 
(5) small 1862 Institutions. 
(d) COMPETITIVE PROGRAM REQUEST.—Of the funds requested 
for competitive programs in excess of the competitive program crit-
ical base funding level, budgetary emphasis should be placed on— 
(1) enhancing funding for emerging problems; and 
(2) finding solutions for those problems. 
PART II—RESEARCH, EDUCATION, AND 
ECONOMICS 
SEC. 7511. RESEARCH, EDUCATION, AND ECONOMICS. 
(a) IN GENERAL.—Section 251 of the Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 6971) is amended— 
(1) in subsection (a), by inserting ‘‘(referred to in this sec-
tion as the ‘Under Secretary’)’’ before the period at the end; 
(2) by striking subsections (b) through (d); 
(3) by redesignating subsection (e) as subsection (g); and 
(4) by inserting after subsection (a) the following: 
‘‘(b) CONFIRMATION REQUIRED.—The Under Secretary shall be 
appointed by the President, by and with the advice and consent 
of the Senate, from among distinguished scientists with specialized 
training or significant experience in agricultural research, edu-
cation, and economics. 
‘‘(c) CHIEF SCIENTIST.—The Under Secretary shall— 
‘‘(1) hold the title of Chief Scientist of the Department; 
and 
‘‘(2) be responsible for the coordination of the research, 
education, and extension activities of the Department. 
‘‘(d) FUNCTIONS OF UNDER SECRETARY.— 
‘‘(1) PRINCIPAL
FUNCTION.—The Secretary shall delegate 
to the Under Secretary those functions and duties under the 
President. 
Congress. 
5 USC 5314. 
7 USC 7614c. 
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122 STAT. 1260 
PUBLIC LAW 110–234—MAY 22, 2008 
jurisdiction of the Department that relate to research, edu-
cation, and economics. 
‘‘(2) SPECIFIC
FUNCTIONS
AND
DUTIES.—The Under Sec-
retary shall— 
‘‘(A) identify, address, and prioritize current and 
emerging agricultural research, education, and extension 
needs (including funding); 
‘‘(B) ensure that agricultural research, education, and 
extension 
programs 
are 
effectively 
coordinated 
and 
integrated— 
‘‘(i) across disciplines, agencies, and institutions; 
and 
‘‘(ii) among applicable participants, grantees, and 
beneficiaries; 
‘‘(C) promote the collaborative use of all agricultural 
research, education, and extension resources from the local, 
State, tribal, regional, national, and international levels 
to address priority needs; and 
‘‘(D) foster communication among agricultural research, 
education, and extension beneficiaries, including the public, 
to ensure the delivery of agricultural research, education, 
and extension knowledge. 
‘‘(3) ADDITIONAL FUNCTIONS.—The Under Secretary shall 
perform such other functions and duties as may be required 
by law or prescribed by the Secretary. 
‘‘(e) RESEARCH, EDUCATION, AND EXTENSION OFFICE.— 
‘‘(1) ESTABLISHMENT.—The Under Secretary shall organize 
within the office of the Under Secretary 6 Divisions, to be 
known collectively as the ‘Research, Education, and Extension 
Office’, which shall coordinate the research programs and activi-
ties of the Department. 
‘‘(2) DIVISION
DESIGNATIONS.—The Divisions within the 
Research, Education, and Extension Office shall be as follows: 
‘‘(A) Renewable energy, natural resources, and environ-
ment. 
‘‘(B) Food safety, nutrition, and health. 
‘‘(C) Plant health and production and plant products. 
‘‘(D) Animal health and production and animal prod-
ucts. 
‘‘(E) Agricultural systems and technology. 
‘‘(F) Agricultural economics and rural communities. 
‘‘(3) DIVISION CHIEFS.— 
‘‘(A) SELECTION.—The Under Secretary shall select a 
Division Chief for each Division using available personnel 
authority under title 5, United States Code, including— 
‘‘(i) by term, temporary, or other appointment, 
without regard to— 
‘‘(I) the provisions of title 5, United States 
Code, governing appointments in the competitive 
service; 
‘‘(II) the provisions of subchapter I of chapter 
35 of title 5, United States Code, relating to reten-
tion preference; and 
‘‘(III) the provisions of chapter 51 and sub-
chapter III of chapter 53 of title 5, United States 
Code, relating to classification and General 
Schedule pay rates; 
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122 STAT. 1261 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) by detail, notwithstanding any Act making 
appropriations for the Department of Agriculture, 
whether enacted before, on, or after the date of enact-
ment of this paragraph, requiring reimbursement for 
those details unless the appropriation Act specifically 
refers to this subsection and specifically includes these 
details; 
‘‘(iii) by reassignment or transfer from any other 
civil service position; and 
‘‘(iv) by an assignment under subchapter VI of 
chapter 33 of title 5, United States Code. 
‘‘(B) SELECTION GUIDELINES.—To the maximum extent 
practicable, the Under Secretary shall select Division 
Chiefs under subparagraph (A) in a manner that— 
‘‘(i) promotes leadership and professional develop-
ment; 
‘‘(ii) enables personnel to interact with other agen-
cies of the Department; and 
‘‘(iii) maximizes the ability of the Under Secretary 
to allow for rotations of Department personnel into 
the position of Division Chief. 
‘‘(C) TERM
OF
SERVICE.—Notwithstanding title 5, 
United States Code, the maximum length of service for 
an individual selected as a Division Chief under subpara-
graph (A) shall not exceed 4 years. 
‘‘(D) QUALIFICATIONS.—To be eligible for selection as 
a Division Chief, an individual shall have— 
‘‘(i) conducted exemplary research, education, or 
extension in the field of agriculture or forestry; and 
‘‘(ii) earned an advanced degree at an institution 
of higher education (as defined in section 101 of the 
Higher Education Act of 1965 (20 U.S.C. 1001)). 
‘‘(E) DUTIES OF DIVISION CHIEFS.—Except as otherwise 
provided in this Act, each Division Chief shall— 
‘‘(i) assist the Under Secretary in identifying and 
addressing emerging agricultural research, education, 
and extension needs; 
‘‘(ii) assist the Under Secretary in identifying and 
prioritizing Department-wide agricultural research, 
education, and extension needs, including funding; 
‘‘(iii) assess the strategic workforce needs of the 
research, education, and extension functions of the 
Department, and develop strategic workforce plans to 
ensure that existing and future workforce needs are 
met; 
‘‘(iv) communicate with research, education, and 
extension beneficiaries, including the public, and rep-
resentatives of the research, education, and extension 
system, including the National Agricultural Research, 
Extension, Education, and Economics Advisory Board, 
to promote the benefits of agricultural research, edu-
cation, and extension; 
‘‘(v) assist the Under Secretary in preparing and 
implementing the roadmap for agricultural research, 
education, and extension, as described in section 7504 
of the Food, Conservation, and Energy Act of 2008; 
and 
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122 STAT. 1262 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(vi) perform such other duties as the Under Sec-
retary may determine. 
‘‘(4) GENERAL ADMINISTRATION.— 
‘‘(A) FUNDING.—Notwithstanding any Act making 
appropriations for the Department of Agriculture, whether 
enacted before, on, or after the date of enactment of this 
paragraph unless the appropriation Act specifically refers 
to this subsection and specifically includes the administra-
tion of funds under this section, the Secretary may transfer 
funds made available to an agency in the research, edu-
cation, and economics mission area to fund the costs of 
Division personnel. 
‘‘(B) LIMITATION.—To the maximum extent prac-
ticable— 
‘‘(i) the Under Secretary shall minimize the 
number of full-time equivalent positions in the Divi-
sions; and 
‘‘(ii) at no time shall the aggregate number of 
staff for all Divisions exceed 30 full-time equivalent 
positions. 
‘‘(C) ROTATION
OF
PERSONNEL.—To the maximum 
extent practicable, and using the authority described in 
paragraph (3)(A), the Under Secretary shall rotate per-
sonnel among the Divisions, and between the Divisions 
and agencies of the Department, in a manner that— 
‘‘(i) promotes leadership and professional develop-
ment; and 
‘‘(ii) enables personnel to interact with other agen-
cies of the Department. 
‘‘(5) ORGANIZATION.—The Under Secretary shall integrate 
leadership functions of the national program staff of the 
research agencies into the Research, Education and Extension 
Office in such form as is required to ensure that administrative 
duplication does not occur. 
‘‘(f) NATIONAL INSTITUTE OF FOOD AND AGRICULTURE.— 
‘‘(1) DEFINITIONS.—In this subsection: 
‘‘(A) ADVISORY
BOARD.—The term ‘Advisory Board’ 
means the National Agricultural Research, Extension, Edu-
cation, and Economics Advisory Board established under 
section 1408 of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3123). 
‘‘(B) APPLIED RESEARCH.—The term ‘applied research’ 
means research that includes expansion of the findings 
of fundamental research to uncover practical ways in which 
new knowledge can be advanced to benefit individuals and 
society. 
‘‘(C) CAPACITY
AND
INFRASTRUCTURE
PROGRAM.—The 
term ‘capacity and infrastructure program’ means each of 
the following agricultural research, extension, education, 
and related programs for which the Secretary has adminis-
trative or other authority as of the day before the date 
of enactment of the Food, Conservation, and Energy Act 
of 2008: 
‘‘(i) Each program providing funding to any of the 
1994 Institutions under sections 533, 534(a), and 535 
of the Equity in Educational Land-Grant Status Act 
of 1994 (7 U.S.C. 301 note; Public Law 103–382). 
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122 STAT. 1263 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) The program established under section 536 
of the Equity in Educational Land-Grant Status Act 
of 1994 (7 U.S.C. 301 note; Public Law 103–382) pro-
viding research grants for 1994 Institutions. 
‘‘(iii) Each program established under subsections 
(b) and (c) of section 3 of the Smith-Lever Act (7 
U.S.C. 343). 
‘‘(iv) Each program established under the Hatch 
Act of 1887 (7 U.S.C. 361a et seq.). 
‘‘(v) Each program established under section 
1417(b) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 
3152(b)). 
‘‘(vi) The animal health and disease research pro-
gram established under subtitle E of the National Agri-
cultural Research, Extension, and Teaching Policy Act 
of 1977 (7 U.S.C. 3191 et seq.). 
‘‘(vii) Each extension program available to 1890 
Institutions established under section 1444 of the 
National 
Agricultural 
Research, 
Extension, 
and 
Teaching Policy Act of 1977 (7 U.S.C. 3221). 
‘‘(viii) The program established under section 1445 
of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3222). 
‘‘(ix) The program providing grants to upgrade 
agricultural and food sciences facilities at 1890 Institu-
tions established under section 1447 of the National 
Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (7 U.S.C. 3222b). 
‘‘(x) The program providing distance education 
grants for insular areas established under section 1490 
of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3362). 
‘‘(xi) The program providing resident instruction 
grants for insular areas established under section 1491 
of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3363). 
‘‘(xii) Each research and development and related 
program established under Public Law 87–788 (com-
monly known as the ‘McIntire-Stennis Cooperative For-
estry Act’) (16 U.S.C. 582a et seq.). 
‘‘(xiii) Each program established under the Renew-
able Resources Extension Act of 1978 (16 U.S.C. 1671 
et seq.). 
‘‘(xiv) Each program providing funding to Hispanic- 
serving agricultural colleges and universities under 
section 1456 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977. 
‘‘(xv) The program providing capacity grants to 
NLGCA Institutions under section 1473F of the 
National 
Agricultural 
Research, 
Extension, 
and 
Teaching Policy Act of 1977. 
‘‘(xvi) Other programs that are capacity and infra-
structure programs, as determined by the Secretary. 
‘‘(D) COMPETITIVE
PROGRAM.—The term ‘competitive 
program’ means each of the following agricultural research, 
extension, education, and related programs for which the 
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122 STAT. 1264 
PUBLIC LAW 110–234—MAY 22, 2008 
Secretary has administrative or other authority as of the 
day before the date of enactment of the Food, Conservation, 
and Energy Act of 2008: 
‘‘(i) The Agriculture and Food Research Initiative 
established under section 2(b) of the Competitive, Spe-
cial, and Facilities Research Grant Act (7 U.S.C. 
450i(b)). 
‘‘(ii) The program providing competitive grants for 
risk management education established under section 
524(a)(3) of the Federal Crop Insurance Act (7 U.S.C. 
1524(a)(3)). 
‘‘(iii) The program providing community food 
project competitive grants established under section 
25 of the Food and Nutrition Act of 2008 (7 U.S.C. 
2034). 
‘‘(iv) The program providing grants for beginning 
farmer and rancher development established under sec-
tion 7405 of the Farm Security and Rural Investment 
Act of 2002 (7 U.S.C. 3319f). 
‘‘(v) The program providing grants under section 
1417(j) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3152(j)). 
‘‘(vi) The program providing grants for Hispanic- 
serving institutions established under section 1455 of 
the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3241). 
‘‘(vii) The program providing competitive grants 
for international agricultural science and education 
programs under section 1459A of the National Agricul-
tural Research, Extension, and Teaching Policy Act 
of 1977 (7 U.S.C. 3292b). 
‘‘(viii) The research and extension projects carried 
out under section 1621 of the Food, Agriculture, Con-
servation, and Trade Act of 1990 (7 U.S.C. 5811). 
‘‘(ix) The organic agriculture research and exten-
sion initiative established under section 1672B of the 
Food, Agriculture, Conservation, and Trade Act of 1990 
(7 U.S.C. 5925b). 
‘‘(x) The specialty crop research initiative under 
section 412 of the Agricultural Research, Extension, 
and Education Reform Act of 1998. 
‘‘(xi) The administration and management of the 
Agricultural Bioenergy Feedstock and Energy Effi-
ciency Research and Extension Initiative carried out 
under section 1672C of the Food, Agriculture, Con-
servation, and Trade Act of 1990. 
‘‘(xii) The research, extension, and education pro-
grams authorized by section 407 of the Agricultural 
Research, Extension, and Education Reform Act of 
1998 (7 U.S.C. 7627) relating to the competitiveness, 
viability and sustainability of small- and medium-sized 
dairy, livestock, and poultry operations. 
‘‘(xiii) Other programs that are competitive pro-
grams, as determined by the Secretary. 
‘‘(E) 
DIRECTOR.—The 
term 
‘Director’ 
means 
the 
Director of the Institute. 
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122 STAT. 1265 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(F) FUNDAMENTAL RESEARCH.—The term ‘fundamental 
research’ means research that— 
‘‘(i) increases knowledge or understanding of the 
fundamental aspects of phenomena and has the poten-
tial for broad application; and 
‘‘(ii) has an effect on agriculture, food, nutrition, 
or the environment. 
‘‘(G) INSTITUTE.—The term ‘Institute’ means the 
National Institute of Food and Agriculture established by 
paragraph (2)(A). 
‘‘(2) ESTABLISHMENT OF NATIONAL INSTITUTE OF FOOD AND 
AGRICULTURE.— 
‘‘(A) ESTABLISHMENT.—The Secretary shall establish 
within the Department an agency to be known as the 
‘National Institute of Food and Agriculture’. 
‘‘(B) TRANSFER OF AUTHORITIES.—The Secretary shall 
transfer to the Institute, effective not later than October 
1, 2009, the authorities (including all budget authorities, 
available appropriations, and personnel), duties, obliga-
tions, and related legal and administrative functions pre-
scribed by law or otherwise granted to the Secretary, the 
Department, or any other agency or official of the Depart-
ment under— 
‘‘(i) the capacity and infrastructure programs; 
‘‘(ii) the competitive programs; 
‘‘(iii) the research, education, economic, cooperative 
State research programs, cooperative extension and 
education programs, international programs, and other 
functions and authorities delegated by the Under Sec-
retary to the Administrator of the Cooperative State 
Research, Education, and Extension Service pursuant 
to section 2.66 of title 7, Code of Federal Regulations 
(or successor regulations); and 
‘‘(iv) any and all other authorities administered 
by the Administrator of the Cooperative State 
Research, Education, and Extension Service. 
‘‘(3) DIRECTOR.— 
‘‘(A) IN GENERAL.—The Institute shall be headed by 
a Director, who shall be an individual who is— 
‘‘(i) a distinguished scientist; and 
‘‘(ii) appointed by the President. 
‘‘(B) SUPERVISION.—The Director shall report directly 
to the Secretary, or the designee of the Secretary. 
‘‘(C) FUNCTIONS
OF
THE
DIRECTOR.—The Director 
shall— 
‘‘(i) serve for a 6-year term, subject to reappoint-
ment for an additional 6-year term; 
‘‘(ii) periodically report to the Secretary, or the 
designee of the Secretary, with respect to activities 
carried out by the Institute; and 
‘‘(iii) consult regularly with the Secretary, or the 
designee of the Secretary, to ensure, to the maximum 
extent practicable, that— 
‘‘(I) research of the Institute is relevant to 
agriculture in the United States and otherwise 
serves the national interest; and 
Deadline. 
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122 STAT. 1266 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) the research of the Institute supplements 
and enhances, and does not supplant, research 
conducted or funded by other Federal agencies. 
‘‘(D) COMPENSATION.—The Director shall receive basic 
pay at a rate not to exceed the maximum amount of com-
pensation payable to a member of the Senior Executive 
Service under subsection (b) of section 5382 of title 5, 
United States Code, except that the certification require-
ment in that subsection shall not apply to the compensation 
of the Director. 
‘‘(E) AUTHORITY AND RESPONSIBILITIES OF DIRECTOR.— 
Except as otherwise specifically provided in this subsection, 
the Director shall— 
‘‘(i) exercise all of the authority provided to the 
Institute by this subsection; 
‘‘(ii) formulate and administer programs in accord-
ance with policies adopted by the Institute, in coordina-
tion with the Under Secretary; 
‘‘(iii) establish offices within the Institute; 
‘‘(iv) establish procedures for the provision and 
administration of grants by the Institute; and 
‘‘(v) consult regularly with the Advisory Board. 
‘‘(4) REGULATIONS.—The Institute shall have such authority 
as is necessary to carry out this subsection, including the 
authority to promulgate such regulations as the Institute con-
siders to be necessary for governance of operations, organiza-
tion, and personnel. 
‘‘(5) ADMINISTRATION.— 
‘‘(A) IN GENERAL.—The Director shall organize offices 
and functions within the Institute to administer funda-
mental and applied research and extension and education 
programs. 
‘‘(B) RESEARCH PRIORITIES.—The Director shall ensure 
the research priorities established by the Under Secretary 
through the Research, Education and Extension Office are 
carried out by the offices and functions of the Institute, 
where applicable. 
‘‘(C) FUNDAMENTAL
AND
APPLIED
RESEARCH.—The 
Director shall— 
‘‘(i) determine an appropriate balance between fun-
damental and applied research programs and functions 
to ensure future research needs are met; and 
‘‘(ii) designate staff, as appropriate, to assist in 
carrying out this subparagraph. 
‘‘(D) COMPETITIVELY
FUNDED
AWARDS.—The Director 
shall— 
‘‘(i) promote the use and growth of grants awarded 
through a competitive process; and 
‘‘(ii) designate staff, as appropriate, to assist in 
carrying out this subparagraph. 
‘‘(E) COORDINATION.—The Director shall ensure that 
the offices and functions established under subparagraph 
(A) are effectively coordinated for maximum efficiency. 
‘‘(6) FUNDING.— 
‘‘(A) IN
GENERAL.—In addition to funds otherwise 
appropriated to carry out each program administered by 
the Institute, there are authorized to be appropriated such 
Procedures. 
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122 STAT. 1267 
PUBLIC LAW 110–234—MAY 22, 2008 
sums as are necessary to carry out this subsection for 
each fiscal year. 
‘‘(B) ALLOCATION.—Funding made available under 
subparagraph (A) shall be allocated according to rec-
ommendations contained in the roadmap described in sec-
tion 7504 of the Food, Conservation, and Energy Act of 
2008.’’. 
(b) FUNCTIONS.—Section 296(b) of the Department of Agri-
culture Reorganization Act of 1994 (7 U.S.C. 7014(b)) is amended— 
(1) in paragraph (4), by striking ‘‘or’’ at the end; 
(2) in paragraph (5), by striking the period at the end 
and inserting ‘‘; or’’; and 
(3) by adding at the end the following: 
‘‘(6) the authority of the Secretary to establish in the 
Department, under section 251— 
‘‘(A) the position of Under Secretary of Agriculture 
for Research, Education, and Economics; 
‘‘(B) the Research, Education, and Extension Office; 
and 
‘‘(C) the National Institute of Food and Agriculture.’’. 
(c) CONFORMING
AMENDMENTS.—The following conforming 
amendments shall take effect on October 1, 2009: 
(1) Section 522(d)(2) of the Federal Crop Insurance Act 
(7 U.S.C. 1522(d)(2)) is amended by striking ‘‘the Cooperative 
State Research, Education, and Extension Service’’ and 
inserting ‘‘the National Institute of Food and Agriculture’’. 
(2) Section 524(a) of the Federal Crop Insurance Act (7 
U.S.C. 1524(a)) is amended in each of paragraphs (1)(B) and 
(3)(A) by striking ‘‘the Cooperative State Research, Education, 
and Extension Service’’ each place it appears and inserting 
‘‘the National Institute of Food and Agriculture’’. 
(3) Section 306(a)(11)(C) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1926(a)(11)(C)) is amended 
by striking ‘‘the Cooperative State Research, Education, and 
Extension Service’’ and inserting ‘‘the National Institute of 
Food and Agriculture’’. 
(4) Section 5(b)(2)(E) of the Agricultural Credit Improve-
ment Act of 1992 (7 U.S.C. 1929 note; Public Law 102–554) 
is amended by striking ‘‘Cooperative Extension Service’’ and 
inserting ‘‘National Institute of Food and Agriculture’’. 
(5) Section 11(f)(1) of the Food and Nutrition Act of 2008 
(7 U.S.C. 2020(f)(1)) is amended by striking ‘‘Cooperative Exten-
sion Service’’ and inserting ‘‘National Institute of Food and 
Agriculture’’. 
(6) Section 502(h) of the Rural Development Act of 1972 
(7 U.S.C. 2662(h)) is amended— 
(A) in paragraph (1), by striking ‘‘Extension Service’’ 
and inserting ‘‘National Institute of Food and Agriculture’’; 
and 
(B) in paragraph (4), by striking ‘‘Extension Service 
staff’’ and inserting ‘‘National Institute of Food and Agri-
culture staff’’. 
(7) Section 7404(b)(1)(B) of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 3101 note; Public Law 107– 
171) is amended by striking clause (vi) and inserting the fol-
lowing: 
Effective date. 
7 USC 1522 note. 
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122 STAT. 1268 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(vi) the National Institute of Food and Agri-
culture.’’. 
(8) Section 1408(b)(4) of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3123(b)(4)) is amended by striking ‘‘the Administrator of the 
Cooperative State Research, Education, and Extension Service’’ 
and inserting ‘‘the Director of the National Institute of Food 
and Agriculture’’. 
(9) Section 2381(a) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 3125b(a)) is amended by 
striking ‘‘Extension Service’’ and inserting ‘‘National Institute 
of Food and Agriculture’’. 
(10) The National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 is amended— 
(A) in section 1424A(b) (7 U.S.C. 3174a(b)), by striking 
‘‘the Cooperative State Research, Education, and Extension 
Service’’ and inserting ‘‘the National Institute of Food and 
Agriculture’’; and 
(B) in section 1458(a)(10) (7 U.S.C. 3291(a)(10)), by 
striking ‘‘the Cooperative State Research, Education, and 
Extension Service’’ and inserting ‘‘the National Institute 
of Food and Agriculture’’. 
(11) Section 1587(a) of the Food Security Act of 1985 (7 
U.S.C. 3175d(a)) is amended by striking ‘‘Extension Service’’ 
each place it appears and inserting ‘‘National Institute of Food 
and Agriculture’’. 
(12) Section 1444(b)(2)(A) of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3221(b)(2)(A)) is amended by striking ‘‘Extension Service’’ and 
inserting ‘‘National Institute of Food and Agriculture’’. 
(13) Section 1473D(d) of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3319d(d)) is amended by striking ‘‘the Cooperative State 
Research Service, the Extension Service’’ and inserting ‘‘the 
National Institute of Food and Agriculture’’. 
(14) Section 1499(c) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5506(c)) is amended by striking 
‘‘the Cooperative State Research Service’’ and all that follows 
through ‘‘extension services;’’ and inserting ‘‘the National 
Institute of Food and Agriculture, in conjunction with the 
system of State agricultural experiment stations and State 
and county cooperative extension services; the Economic 
Research Service;’’. 
(15) Section 1622 of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5812) is amended— 
(A) in subsection (a)(1), by striking ‘‘the Cooperative 
State Research Service in close cooperation with the Exten-
sion Service’’ and inserting ‘‘the National Institute of Food 
and Agriculture’’; 
(B) in subsection (b)(1)— 
(i) by striking subparagraphs (B) and (C) and 
inserting the following: 
‘‘(B) the National Institute of Food and Agriculture;’’; 
and 
(ii) by redesignating subparagraphs (D) through 
(L) as subparagraphs (C) through (K), respectively. 
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122 STAT. 1269 
PUBLIC LAW 110–234—MAY 22, 2008 
(16) Section 1627(d) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5821(d)) is amended by striking 
‘‘Extension Service’’ and inserting ‘‘National Institute of Food 
and Agriculture’’. 
(17) Section 1629 of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5832) is amended— 
(A) in subsection (b), in the first sentence, by striking 
‘‘the Extension Service’’ and inserting ‘‘the National 
Institute of Food and Agriculture’’; and 
(B) in subsection (h), by striking ‘‘Extension Service’’ 
and inserting ‘‘National Institute of Food and Agriculture’’. 
(18) Section 1638(b) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5852(b)) is amended— 
(A) in paragraph (3), by striking ‘‘Cooperative State 
Research Service’’ and inserting ‘‘National Institute of Food 
and Agriculture’’; and 
(B) in paragraph (5), by striking ‘‘Cooperative State 
Research Service’’ and inserting ‘‘National Institute of Food 
and Agriculture’’. 
(19) Section 1640(a)(2) of the Food, Agriculture, Conserva-
tion, and Trade Act of 1990 (7 U.S.C. 5854(a)(2)) is amended 
by striking ‘‘the Administrator of the Extension Service, the 
Administrator of the Cooperative State Research Service’’ and 
inserting ‘‘the Director of the National Institute of Food and 
Agriculture’’. 
(20) Section 1641(a) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5855(a)) is amended— 
(A) in paragraph (2), by striking ‘‘Cooperative State 
Research Service’’ and inserting ‘‘National Institute of Food 
and Agriculture’’; and 
(B) in paragraph (4,) by striking ‘‘Extension Service’’ 
and inserting ‘‘National Institute of Food and Agriculture’’. 
(21) Section 1668(b) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5921(b)) is amended by striking 
‘‘Cooperative State Research, Education, and Extension Service’’ 
and inserting ‘‘National Institute of Food and Agriculture’’. 
(22) Section 1670(a)(4) of the Food, Agriculture, Conserva-
tion, and Trade Act of 1990 (7 U.S.C. 5923(a)(4)) is amended 
by striking ‘‘the Administrator of the Cooperative State 
Research, Education, and Extension Service’’ and inserting ‘‘the 
Director of the National Institute of Food and Agriculture’’. 
(23) Section 1677(a) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 5930(a)) is amended by striking 
‘‘Extension Service’’ and inserting ‘‘National Institute of Food 
and Agriculture’’. 
(24) Section 2122(b)(1) of the Food, Agriculture, Conserva-
tion, and Trade Act of 1990 (7 U.S.C. 6521(b)(1)) is amended 
by striking ‘‘Extension Service’’ and inserting ‘‘National 
Institute of Food and Agriculture’’. 
(25) Section 2371 of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 6601) is amended— 
(A) in subsection (a), by striking ‘‘Extension Service’’ 
and inserting ‘‘National Institute of Food and Agriculture’’; 
and 
(B) in subsection (c)(3), by striking ‘‘Service’’ and 
inserting ‘‘System’’. 
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122 STAT. 1270 
PUBLIC LAW 110–234—MAY 22, 2008 
(26) Section 2377(a) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 6615(a)) is amended by striking 
‘‘Extension Service’’ and inserting ‘‘National Institute of Food 
and Agriculture’’. 
(27) Section 212(a)(2)(A) of the Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 6912(a)(2)(A)) is amended 
by striking ‘‘251(d),’’ and inserting ‘‘251(f),’’. 
(28) Section 537 of the Federal Agriculture Improvement 
and Reform Act of 1996 (7 U.S.C. 7446) is amended in each 
of subsections (a)(2) and (b)(3)(B)(i) by striking ‘‘Cooperative 
State Research, Education, and Extension Service’’ and 
inserting ‘‘cooperative extension’’. 
(29) Section 101(b)(2) of the Agricultural Research, Exten-
sion, and Education Reform Act of 1998 (7 U.S.C. 7611(b)(2)) 
is amended by striking ‘‘Cooperative State Research, Education, 
and Extension Service’’ and inserting ‘‘National Institute of 
Food and Agriculture’’. 
(30) Section 103(a) of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7613(a)) is 
amended— 
(A) in the subsection heading, by striking ‘‘Cooperative 
State Research, Education, and Extension Service’’ and 
inserting ‘‘National Institute of Food and Agriculture’’; and 
(B) in each of paragraphs (1) and (2)(A), by striking 
‘‘the Cooperative State Research, Education, and Extension 
Service’’ and inserting ‘‘the National Institute of Food and 
Agriculture’’. 
(31) Section 407(c) of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7627(c)) is amended 
by striking ‘‘the Cooperative State Research, Education, and 
Extension Service’’ and inserting ‘‘the National Institute of 
Food and Agriculture’’. 
(32) Section 410(a) of the Agricultural Research, Extension, 
and Education Reform Act of 1998 (7 U.S.C. 7630(a)) is 
amended by striking ‘‘the Administrator of the Cooperative 
State Research, Education, and Extension Service’’ and 
inserting ‘‘the Director of the National Institute of Food and 
Agriculture’’. 
(33) Section 307(g)(5) of the Agricultural Risk Protection 
Act of 2000 (7 U.S.C. 8606(g)(5)) is amended by striking 
‘‘Administrator of the Cooperative State Research, Education, 
and Extension Service’’ and inserting ‘‘Director of the National 
Institute of Food and Agriculture’’. 
(34) Section 5(a) of the Renewable Resources Extension 
Act of 1978 (16 U.S.C. 1674a(a)) is amended by striking ‘‘Exten-
sion Service’’ and inserting ‘‘National Institute of Food and 
Agriculture’’. 
(35) Section 6(b) of the Cooperative Forestry Assistance 
Act of 1978 (16 U.S.C. 2103b(b)) is amended by striking ‘‘the 
Cooperative State Research, Education, and Extension Service, 
may provide technical, financial, and related assistance to State 
foresters, equivalent State officials, or Cooperative Extension 
officials’’ and inserting ‘‘the National Institute of Food and 
Agriculture, may provide technical, financial, and related assist-
ance to State foresters, equivalent State officials, or cooperative 
extension officials’’. 
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122 STAT. 1271 
PUBLIC LAW 110–234—MAY 22, 2008 
(36) Section 9(g)(2)(A)(viii) of the Cooperative Forestry 
Assistance Act of 1978 (16 U.S.C. 2105(g)(2)(A)(viii)) is amended 
by striking ‘‘Extension Service’’ and inserting ‘‘National 
Institute of Food and Agriculture’’. 
(37) Section 19(b)(1)(B)(i) of the Cooperative Forestry 
Assistance Act of 1978 (16 U.S.C. 2113(b)(1)(B)(i)) is amended 
by striking ‘‘Extension Service’’ and inserting ‘‘National 
Institute of Food and Agriculture’’. 
(38) Section 1261(c)(4) of the Food Security Act of 1985 
(16 U.S.C. 3861(c)(4)) is amended by striking ‘‘Extension 
Service’’ and inserting ‘‘National Institute of Food and Agri-
culture’’. 
(39) Section 105(a) of the Africa: Seeds of Hope Act of 
1998 (22 U.S.C. 2293 note; Public Law 105–385) is amended 
by striking ‘‘the Cooperative State, Research, Education, and 
Extension Service (CSREES)’’ and inserting ‘‘the National 
Institute of Food and Agriculture’’. 
(40) Section 307(a)(4) of the National Aeronautic and Space 
Administration 
Authorization 
Act 
of 
2005 
(42 
U.S.C. 
16657(a)(4)) is amended by striking subparagraph (B) and 
inserting the following: 
‘‘(B) the program and structure of, peer review process 
of, management of conflicts of interest by, compensation 
of reviewers of, and the effects of compensation on reviewer 
efficiency and quality within, the National Institute of Food 
and Agriculture of the Department of Agriculture;’’. 
PART III—NEW GRANT AND RESEARCH 
PROGRAMS 
SEC. 7521. RESEARCH AND EDUCATION GRANTS FOR THE STUDY OF 
ANTIBIOTIC-RESISTANT BACTERIA. 
(a) IN GENERAL.—The Secretary shall provide research and 
education grants, on a competitive basis— 
(1) to study the development of antibiotic-resistant bacteria, 
including— 
(A) movement of antibiotic-resistant bacteria into 
groundwater and surface water; and 
(B) the effect on antibiotic resistance from various drug 
use regimens; and 
(2) to study and ensure the judicious use of antibiotics 
in veterinary and human medicine, including— 
(A) methods and practices of animal husbandry; 
(B) safe and effective alternatives to antibiotics; 
(C) the development of better veterinary diagnostics 
to improve decisionmaking; and 
(D) the identification of conditions or factors that affect 
antibiotic use on farms. 
(b) ADMINISTRATION.—Paragraphs (4), (7), (8), and (11)(B) of 
subsection (b) of the Competitive, Special, and Facilities Research 
Grant Act (7 U.S.C. 450i) shall apply with respect to the making 
of grants under this section. 
(c) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section for each of fiscal years 2008 through 2012. 
Applicability. 
7 USC 3202. 
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122 STAT. 1272 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7522. FARM AND RANCH STRESS ASSISTANCE NETWORK. 
(a) IN GENERAL.—The Secretary, in coordination with the Sec-
retary of Health and Human Services, shall make competitive 
grants to support cooperative programs between State cooperative 
extension services and nonprofit organizations to establish a Farm 
and Ranch Stress Assistance Network that provides stress assist-
ance programs to individuals who are engaged in farming, ranching, 
and other agriculture-related occupations. 
(b) ELIGIBLE PROGRAMS.—Grants awarded under subsection (a) 
may be used to initiate, expand, or sustain programs that provide 
professional agricultural behavioral health counseling and referral 
for other forms of assistance as necessary through— 
(1) farm telephone helplines and websites; 
(2) community education; 
(3) support groups; 
(4) outreach services and activities; and 
(5) home delivery of assistance, in a case in which a farm 
resident is homebound. 
(c) EXTENSION SERVICES.—Grants shall be awarded under this 
subsection directly to State cooperative extension services to enable 
the State cooperative extension services to enter into contracts, 
on a multiyear basis, with nonprofit, community-based, direct- 
service organizations to initiate, expand, or sustain cooperative 
programs described in subsections (a) and (b). 
(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section for each of fiscal years 2008 through 2012. 
SEC. 7523. SEED DISTRIBUTION. 
(a) IN GENERAL.—The Secretary shall make competitive grants 
to eligible entities to carry out a seed distribution program to 
administer and maintain the distribution of vegetable seeds donated 
by commercial seed companies. 
(b) PURPOSES.—The purposes of this program include— 
(1) the distribution of seeds donated by commercial seed 
companies free-of-charge to appropriate— 
(A) individuals; 
(B) groups; 
(C) institutions; 
(D) governmental and nongovernmental organizations; 
and 
(E) such other entities as the Secretary may designate; 
(2) distribution of seeds to underserved communities, such 
as communities that experience— 
(A) limited access to affordable fresh vegetables; 
(B) a high rate of hunger or food insecurity; or 
(C) severe or persistent poverty. 
(c) ADMINISTRATION.—Paragraphs (4), (7), (8), and (11)(B) of 
subsection (b) of the Competitive, Special, and Facilities Research 
Grant Act (7 U.S.C. 450i) shall apply with respect to the making 
of grants under this section. 
(d) SELECTION.—An eligible entity selected to receive a grant 
under subsection (a) shall have— 
(1) expertise regarding the distribution of vegetable seeds 
donated by commercial seed companies; and 
(2) the ability to achieve the purpose of the seed distribu-
tion program. 
Applicability. 
7 USC 415–1. 
7 USC 5936. 
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122 STAT. 1273 
PUBLIC LAW 110–234—MAY 22, 2008 
(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section for each of fiscal years 2008 through 2012. 
SEC. 7524. LIVE VIRUS FOOT AND MOUTH DISEASE RESEARCH. 
(a) IN GENERAL.—The Secretary shall issue a permit required 
under section 12 of the Act of May 29, 1884 (21 U.S.C. 113a) 
to the Secretary of Homeland Security for work on the live virus 
of foot and mouth disease at any facility that is a successor to 
the Plum Island Animal Disease Center and charged with 
researching high-consequence biological threats involving zoonotic 
and foreign animal diseases (referred to in this section as the 
‘‘successor facility’’). 
(b) LIMITATION TO SINGLE FACILITY.—Not more than 1 facility 
shall be issued a permit under subsection (a). 
(c) LIMITATION ON VALIDITY.—The permit issued under this 
section shall be valid unless the Secretary determines that the 
study of live foot and mouth disease virus at the successor facility 
is not being carried out in accordance with the regulations promul-
gated by the Secretary pursuant to the Agricultural Bioterrorism 
Protection Act of 2002 (7 U.S.C. 8401 et seq.). 
(d) AUTHORITY.—The suspension, revocation, or other impair-
ment of the permit issued under this section— 
(1) shall be made by the Secretary; and 
(2) is a nondelegable function. 
SEC. 7525. NATURAL PRODUCTS RESEARCH PROGRAM. 
(a) IN GENERAL.—The Secretary shall establish within the 
Department a natural products research program. 
(b) DUTIES.—In carrying out the program established under 
subsection (a), the Secretary shall coordinate research relating to 
natural products, including— 
(1) research to improve human health and agricultural 
productivity through the discovery, development, and commer-
cialization of products and agrichemicals from bioactive natural 
products, including products from plant, marine, and microbial 
sources; 
(2) research to characterize the botanical sources, produc-
tion, chemistry, and biological properties of plant-derived nat-
ural products; and 
(3) other research priorities identified by the Secretary. 
(c) PEER AND MERIT REVIEW.—The Secretary shall— 
(1) determine the relevance and merit of research under 
this section through a system of peer review established by 
the Secretary pursuant to section 103 of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (7 
U.S.C. 7613); and 
(2) approve funding for research on the basis of merit, 
quality, and relevance to advancing the purposes of this section. 
(d) BUILDINGS AND FACILITIES.—Funds made available under 
this section shall not be used for the construction of a new building 
or facility or the acquisition, expansion, remodeling, or alteration 
of an existing building or facility (including site grading and 
improvement and architect fees). 
(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to carry out this section such sums as are 
necessary for each of fiscal years 2008 through 2012. 
7 USC 5937. 
21 USC 113a 
note. 
Permits. 
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122 STAT. 1274 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 7526. SUN GRANT PROGRAM. 
(a) ESTABLISHMENT.—The Secretary shall establish and carry 
out a program to provide grants to the sun grant centers and 
subcenter specified in subsection (b)— 
(1) to enhance national energy security through the 
development, distribution, and implementation of biobased 
energy technologies; 
(2) to promote diversification in, and the environmental 
sustainability of, agricultural production in the United States 
through biobased energy and product technologies; 
(3) to promote economic diversification in rural areas of 
the United States through biobased energy and product tech-
nologies; and 
(4) to enhance the efficiency of bioenergy and biomass 
research 
and 
development 
programs 
through 
improved 
coordination and collaboration among— 
(A) the Department of Agriculture; 
(B) the Department of Energy; and 
(C) land-grant colleges and universities. 
(b) GRANTS.— 
(1) IN GENERAL.—The Secretary shall use amounts made 
available under subsection (g) to provide grants to each of 
the following: 
(A) NORTH-CENTRAL
CENTER.—A north-central sun 
grant center at South Dakota State University for the 
region composed of the States of Illinois, Indiana, Iowa, 
Minnesota, Montana, Nebraska, North Dakota, South 
Dakota, Wisconsin, and Wyoming. 
(B) SOUTHEASTERN CENTER.—A southeastern sun grant 
center at the University of Tennessee at Knoxville for 
the region composed of— 
(i) the States of Alabama, Florida, Georgia, Ken-
tucky, Mississippi, North Carolina, South Carolina, 
Tennessee, and Virginia; 
(ii) the Commonwealth of Puerto Rico; and 
(iii) the United States Virgin Islands. 
(C) SOUTH-CENTRAL
CENTER.—A south-central sun 
grant center at Oklahoma State University for the region 
composed of the States of Arkansas, Colorado, Kansas, 
Louisiana, Missouri, New Mexico, Oklahoma, and Texas. 
(D) WESTERN CENTER.—A western sun grant center 
at Oregon State University for the region composed of— 
(i) the States of Alaska, Arizona, California, 
Hawaii, Idaho, Nevada, Oregon, Utah, and Wash-
ington; and 
(ii) insular areas (as defined in section 1404 of 
the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103 (other than 
the insular areas referred to in clauses (ii) and (iii) 
of subparagraph (B))). 
(E) NORTHEASTERN CENTER.—A northeastern sun grant 
center at Cornell University for the region composed of 
the States of Connecticut, Delaware, Massachusetts, Mary-
land, Maine, Michigan, New Hampshire, New Jersey, New 
York, Ohio, Pennsylvania, Rhode Island, Vermont, and 
West Virginia. 
State listing. 
7 USC 8114. 
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122 STAT. 1275 
PUBLIC LAW 110–234—MAY 22, 2008 
(F) WESTERN INSULAR PACIFIC SUBCENTER.—A western 
insular Pacific sun grant subcenter at the University of 
Hawaii for the region of Alaska, Hawaii, Guam, American 
Samoa, the Commonwealth of the Northern Mariana 
Islands, the Federated States of Micronesia, the Republic 
of the Marshall Islands, and the Republic of Palau. 
(2) MANNER OF DISTRIBUTION.— 
(A) CENTERS.—In providing any funds made available 
under subsection (g), the Secretary shall distribute the 
grants in equal amounts to the sun grant centers described 
in subparagraphs (A) through (E) of paragraph (1). 
(B) SUBCENTER.—The sun grant center described in 
paragraph (1)(D) shall allocate a portion of the funds 
received under paragraph (1) to the subcenter described 
in paragraph (1)(F) pursuant to guidance issued by the 
Secretary. 
(3) FAILURE TO COMPLY WITH REQUIREMENTS.—If the Sec-
retary finds on the basis of a review of the annual report 
required under subsection (f) or on the basis of an audit of 
a sun grant center or subcenter conducted by the Secretary 
that the center or subcenter has not complied with the require-
ments of this section, the sun grant center or subcenter shall 
be ineligible to receive further grants under this section for 
such period of time as may be prescribed by the Secretary. 
(c) USE OF FUNDS.— 
(1) COMPETITIVE GRANTS.— 
(A) IN GENERAL.—A sun grant center or subcenter shall 
use 75 percent of the funds described in subsection (b) 
to provide competitive grants to entities that are— 
(i) eligible to receive grants under subsection (b)(7) 
of the Competitive, Special, and Facilities Research 
Grant Act (7 U.S.C. 450i(b)(7)); and 
(ii) located in the region covered by the sun grant 
center or subcenter. 
(B) ACTIVITIES.—Grants described in subparagraph (A) 
shall be used by the grant recipient to conduct, in a manner 
consistent with the purposes described in subsection (a), 
multi-institutional and multistate— 
(i) research, extension, and education programs 
on technology development; and 
(ii) integrated research, extension, and education 
programs on technology implementation. 
(C) FUNDING
ALLOCATION.—Of the amount of funds 
that is used to provide grants under subparagraph (A), 
the sun grant center or subcenter shall use— 
(i) not less than 30 percent of the funds to carry 
out the programs described in subparagraph (B)(i); and 
(ii) not less than 30 percent of the funds to carry 
out the programs described in subparagraph (B)(ii). 
(D) ADMINISTRATION.— 
(i) PEER AND MERIT REVIEW.—In making grants 
under this paragraph, a sun grant center or subcenter 
shall— 
(I) seek and accept proposals for grants; 
(II) determine the relevance and merit of pro-
posals through a system of peer review similar 
to that established by the Secretary pursuant to 
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122 STAT. 1276 
PUBLIC LAW 110–234—MAY 22, 2008 
section 103 of the Agricultural Research, Exten-
sion, and Education Reform Act of 1998 (7 U.S.C. 
7613); and 
(III) award grants on the basis of merit, 
quality, and relevance to advancing the purposes 
of this section. 
(ii) PRIORITY.—A sun grant center or subcenter 
shall give a higher priority to programs that are con-
sistent with the plan approved by the Secretary under 
subsection (d). 
(iii) TERM.—A grant awarded by a sun grant center 
or subcenter shall have a term that does not exceed 
5 years. 
(iv) MATCHING FUNDS REQUIRED.— 
(I) IN GENERAL.—Except as provided in sub-
clauses (II) and (III), as a condition of receiving 
a grant under this paragraph, the sun grant center 
or subcenter shall require that not less than 20 
percent of the cost of an activity described in 
subparagraph 
(B) 
be 
matched 
with 
funds, 
including in-kind contributions, from a non-Fed-
eral source. 
(II) EXCLUSION.—Subclause (I) shall not apply 
to fundamental research (as defined in subsection 
(f)(1) of section 251 of the Department of Agri-
culture Reorganization Act of 1994 (7 U.S.C. 6971) 
(as added by section 7511(a)(4)). 
(III) REDUCTION.—The sun grant center or 
subcenter may reduce or eliminate the require-
ment for non-Federal funds under subclause (I) 
for applied research (as defined in subsection (f)(1) 
of section 251 of the Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 6971) (as 
added by section 7511(a)(4)) if the sun grant center 
or subcenter determines that the reduction is nec-
essary and appropriate pursuant to guidance 
issued by the Secretary. 
(v) BUILDINGS AND FACILITIES.—Funds made avail-
able for grants shall not be used for the construction 
of a new building or facility or the acquisition, expan-
sion, remodeling, or alteration of an existing building 
or facility (including site grading and improvement 
and architect fees). 
(vi) LIMITATION ON INDIRECT COSTS.—A sun grant 
center or subcenter may not recover the indirect costs 
of making grants under subparagraph (A). 
(2) ADMINISTRATIVE EXPENSES.—A sun grant center or sub-
center may use up to 4 percent of the funds described in 
subsection (b) to pay administrative expenses incurred in car-
rying out paragraph (1). 
(3) RESEARCH, EXTENSION AND EDUCATIONAL ACTIVITIES.— 
The sun grant centers and subcenter shall use the remainder 
of the funds described in subsection (b) to conduct, in a manner 
consistent with the purposes described in subsection (a), multi- 
institutional and multistate— 
(A) research, extension, and educational programs on 
technology development; and 
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122 STAT. 1277 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) integrated research, extension, and educational pro-
grams on technology implementation. 
(d) PLAN FOR RESEARCH ACTIVITIES TO BE FUNDED.— 
(1) IN GENERAL.—Subject to the availability of funds under 
subsection (g), and in cooperation with land-grant colleges and 
universities and private industry in accordance with paragraph 
(2), the sun grant centers and subcenter shall jointly develop 
and submit to the Secretary for approval a plan for addressing 
the bioenergy, biomass, and gasification research priorities of 
the Department of Agriculture and the Department of Energy 
at the State and regional levels. 
(2) GASIFICATION COORDINATION.—With respect to gasifi-
cation research activity, the sun grant centers and subcenter 
shall coordinate planning with land-grant colleges and univer-
sities in their respective regions that have ongoing research 
activities in that area. 
(3) FUNDING.—Funds described in subsection (c)(2) shall 
be available to carry out planning coordination under paragraph 
(1). 
(4) USE OF PLAN.—The sun grant centers and subcenter 
shall use the plan described in paragraph (1) in making grants 
under subsection (c)(1). 
(e) GRANT INFORMATION ANALYSIS CENTER.—The sun grant 
centers and subcenter shall maintain a Sun Grant Information 
Analysis Center at the sun grant center specified in subsection 
(b)(1)(A) to provide the sun grant centers and subcenter with anal-
ysis and data management support. 
(f) ANNUAL REPORTS.—Not later than 90 days after the end 
of each fiscal year, a sun grant center or subcenter receiving a 
grant under this section shall submit to the Secretary a report 
that describes the policies, priorities, and operations of the program 
carried out by the center or subcenter during the fiscal year, 
including— 
(1) the results of all peer and merit review procedures 
conducted pursuant to subsection (c)(1)(D)(i); and 
(2) a description of progress made in facilitating the prior-
ities described in subsection (d)(1). 
(g) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $75,000,000 for each 
of fiscal years 2008 through 2012, of which not more than $4,000,000 
for each fiscal year shall be made available to carry out subsection 
(e). 
SEC. 7527. STUDY AND REPORT ON FOOD DESERTS. 
(a) DEFINITION OF FOOD DESERT.—In this section, the term 
‘‘food desert’’ means an area in the United States with limited 
access to affordable and nutritious food, particularly such an area 
composed of predominantly lower-income neighborhoods and 
communities. 
(b) STUDY AND REPORT.—The Secretary shall carry out a study 
of, and prepare a report on, food deserts. 
(c) CONTENTS.—The study and report shall— 
(1) assess the incidence and prevalence of food deserts; 
(2) identify— 
(A) characteristics and factors causing and influencing 
food deserts; and 
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122 STAT. 1278 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) the effect on local populations of limited access 
to affordable and nutritious food; and 
(3) provide recommendations for addressing the causes and 
effects of food deserts through measures that include— 
(A) community and economic development initiatives; 
(B) incentives for retail food market development, 
including supermarkets, small grocery stores, and farmers’ 
markets; and 
(C) improvements to Federal food assistance and nutri-
tion education programs. 
(d) COORDINATION WITH OTHER AGENCIES
AND ORGANIZA-
TIONS.—The Secretary shall conduct the study under this section 
in coordination and consultation with— 
(1) the Secretary of Health and Human Services; 
(2) the Administrator of the Small Business Administra-
tion; 
(3) the Institute of Medicine; and 
(4) representatives of appropriate businesses, academic 
institutions, and nonprofit and faith-based organizations. 
(e) SUBMISSION TO CONGRESS.—Not later than 1 year 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 the report prepared under this section, including the findings 
and recommendations described in subsection (c). 
(f) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $500,000. 
SEC. 7528. DEMONSTRATION PROJECT AUTHORITY FOR TEMPORARY 
POSITIONS. 
Notwithstanding section 4703(d)(1) of title 5, United States 
Code, the amendment to the personnel management demonstration 
project established in the Department of Agriculture (67 Fed. Reg. 
70776 (2002)), shall become effective upon the date of enactment 
of this Act and shall remain in effect unless modified by law. 
SEC. 7529. AGRICULTURAL AND RURAL TRANSPORTATION RESEARCH 
AND EDUCATION. 
(a) IN GENERAL.—The Secretary, in consultation with the Sec-
retary of Transportation, shall make competitive grants to institu-
tions of higher education to carry out agricultural and rural 
transportation research and education activities. 
(b) ACTIVITIES.—Research and education grants made under 
this section shall be used to address rural transportation and logis-
tics needs of agricultural producers and related rural businesses, 
including— 
(1) the transportation of biofuels; and 
(2) the export of agricultural products. 
(c) SELECTION CRITERIA.— 
(1) IN GENERAL.—The Secretary shall award grants under 
this section on the basis of the transportation research, edu-
cation, and outreach expertise of the applicant, as determined 
by the Secretary. 
(2) PRIORITY.—In awarding grants under this section, the 
Secretary shall give priority to institutions of higher education 
for use in coordinating research and education activities with 
other institutions of higher education with similar agricultural 
and rural transportation research and education programs. 
7 USC 5938. 
Effective date. 
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122 STAT. 1279 
PUBLIC LAW 110–234—MAY 22, 2008 
(d) DIVERSIFICATION OF RESEARCH.—The Secretary shall award 
grants under this section in areas that are regionally diverse and 
broadly representative of the diversity of agricultural production 
and related transportation needs in the rural areas of the United 
States. 
(e) MATCHING
FUNDS
REQUIREMENT.—The Secretary shall 
require each recipient of a grant under this section to provide, 
from non-Federal sources, in cash or in kind, 50 percent of the 
cost of carrying out activities under the grant. 
(f) GRANT REVIEW.—A grant shall be awarded under this section 
on a competitive, peer- and merit-reviewed basis in accordance 
with section 103(a) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7613(a)). 
(g) NO DUPLICATION.—In awarding grants under this section, 
the Secretary shall ensure that activities funded under this section 
do not duplicate the efforts of the University Transportation Centers 
described in sections 5505 and 5506 of title 49, United States 
Code. 
(h) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2008 through 2012. 
TITLE VIII—FORESTRY 
Subtitle A—Amendments to Cooperative 
Forestry Assistance Act of 1978 
SEC. 8001. NATIONAL PRIORITIES FOR PRIVATE FOREST CONSERVA-
TION. 
Section 2 of the Cooperative Forestry Assistance Act of 1978 
(16 U.S.C. 2101) is amended— 
(1) by redesignating subsections (c) and (d) as subsections 
(e) and (f), respectively; and 
(2) by inserting after subsection (b) the following new sub-
sections: 
‘‘(c) PRIORITIES.—In allocating funds appropriated or otherwise 
made available under this Act, the Secretary shall focus on the 
following national private forest conservation priorities, notwith-
standing other priorities specified elsewhere in this Act: 
‘‘(1) Conserving and managing working forest landscapes 
for multiple values and uses. 
‘‘(2) Protecting forests from threats, including catastrophic 
wildfires, hurricanes, tornados, windstorms, snow or ice storms, 
flooding, drought, invasive species, insect or disease outbreak, 
or development, and restoring appropriate forest types in 
response to such threats. 
‘‘(3) Enhancing public benefits from private forests, 
including air and water quality, soil conservation, biological 
diversity, carbon storage, forest products, forestry-related jobs, 
production of renewable energy, wildlife, wildlife corridors and 
wildlife habitat, and recreation. 
‘‘(d) REPORTING REQUIREMENT.—Not later than September 30, 
2011, the Secretary shall submit to Congress a report describing 
how funds were used under this Act, and through other programs 
administered by the Secretary, to address the national priorities 
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122 STAT. 1280 
PUBLIC LAW 110–234—MAY 22, 2008 
specified in subsection (c) and the outcomes achieved in meeting 
the national priorities.’’. 
SEC. 8002. LONG-TERM STATE-WIDE ASSESSMENTS AND STRATEGIES 
FOR FOREST RESOURCES. 
The Cooperative Forestry Assistance Act of 1978 is amended 
by inserting after section 2 (16 U.S.C. 2101) the following new 
section: 
‘‘SEC. 2A. STATE-WIDE ASSESSMENT AND STRATEGIES FOR FOREST 
RESOURCES. 
‘‘(a) ASSESSMENT AND STRATEGIES FOR FOREST RESOURCES.— 
For a State to be eligible to receive funds under the authorities 
of this Act, the State forester of that State or equivalent State 
official shall develop and submit to the Secretary, not later than 
two years after the date of enactment of the Food, Conservation, 
and Energy Act of 2008, the following: 
‘‘(1) A State-wide assessment of forest resource conditions, 
including— 
‘‘(A) the conditions and trends of forest resources in 
that State; 
‘‘(B) the threats to forest lands and resources in that 
State consistent with the national priorities specified in 
section 2(c); 
‘‘(C) any areas or regions of that State that are a 
priority; and 
‘‘(D) any multi-State areas that are a regional priority. 
‘‘(2) A long-term State-wide forest resource strategy, 
including— 
‘‘(A) strategies for addressing threats to forest 
resources in the State outlined in the assessment required 
by paragraph (1); and 
‘‘(B) a description of the resources necessary for the 
State forester or equivalent State official from all sources 
to address the State-wide strategy. 
‘‘(b) UPDATING.—At such times as the Secretary determines 
to be necessary, the State forester or equivalent State official shall 
update and resubmit to the Secretary the State-wide assessment 
and State-wide strategy required by subsection (a). 
‘‘(c) COORDINATION.—In developing or updating the State-wide 
assessment and State-wide strategy required by subsection (a), 
the State Forester or equivalent State official shall coordinate 
with— 
‘‘(1) the State Forest Stewardship Coordinating Committee 
established for the State under section 19(b); 
‘‘(2) the State wildlife agency, with respect to strategies 
contained in the State wildlife action plans; 
‘‘(3) the State Technical Committee; 
‘‘(4) applicable Federal land management agencies; and 
‘‘(5) for purposes of the Forest Legacy Program under sec-
tion 7, the State lead agency designated by the Governor. 
‘‘(d) INCORPORATION
OF
OTHER
PLANS.—In developing or 
updating the State-wide assessment and State-wide strategy 
required by subsection (a), the State forester or equivalent State 
official shall incorporate any forest management plan of the State, 
including community wildfire protection plans and State wildlife 
action plans. 
Deadline. 
16 USC 2101a. 
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122 STAT. 1281 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(e) SUFFICIENCY.—Once approved by the Secretary, a State- 
wide assessment and State-wide strategy developed under sub-
section (a) shall be deemed to be sufficient to satisfy all relevant 
State planning and assessment requirements under this Act. 
‘‘(f) FUNDING.— 
‘‘(1) 
AUTHORIZATION
OF
APPROPRIATIONS.—There 
are 
authorized to be appropriated to carry out this section up 
to $10,000,000 for each of fiscal years 2008 through 2012. 
‘‘(2) ADDITIONAL
FUNDING
SOURCES.—In addition to the 
funds appropriated for a fiscal year pursuant to the authoriza-
tion of appropriations in paragraph (1) to carry out this section, 
the Secretary may use any other funds made available for 
planning under this Act to carry out this section, except that 
the total amount of combined funding used to carry out this 
section may not exceed $10,000,000 in any fiscal year. 
‘‘(g) ANNUAL REPORT ON USE OF FUNDS.—The State forester 
or equivalent State official shall submit to the Secretary an annual 
report detailing how funds made available to the State under this 
Act are being used.’’. 
SEC. 8003. COMMUNITY FOREST AND OPEN SPACE CONSERVATION 
PROGRAM. 
(a) FINDINGS.—Congress finds that— 
(1) the Forest Service projects that, by calendar year 2030, 
approximately 44,000,000 acres of privately-owned forest land 
will be developed throughout the United States; 
(2) public access to parcels of privately-owned forest land 
for outdoor recreational activities, including hunting, fishing, 
and trapping, has declined and, as a result, participation in 
those activities has also declined in cases in which public access 
is not secured; 
(3) rising rates of obesity and other public health problems 
relating to the inactivity of the citizens of the United States 
have been shown to be ameliorated by improving public access 
to safe and attractive areas for outdoor recreation; 
(4) in rapidly-growing communities of all sizes throughout 
the United States, remaining parcels of forest land play an 
essential role in protecting public water supplies; 
(5) forest parcels owned by local governmental entities 
and nonprofit organizations are providing important demonstra-
tion sites for private landowners to learn forest management 
techniques; 
(6) throughout the United States, communities of diverse 
types and sizes are deriving significant financial and commu-
nity benefits from managing forest land owned by local govern-
mental entities for timber and other forest products; and 
(7) there is an urgent need for local governmental entities 
to be able to leverage financial resources in order to purchase 
important parcels of privately-owned forest land as the parcels 
are offered for sale. 
(b) COMMUNITY FOREST AND OPEN SPACE CONSERVATION PRO-
GRAM.—The Cooperative Forestry Assistance Act of 1978 is amended 
by inserting after section 7 (16 U.S.C. 2103c) the following new 
section: 
‘‘SEC. 7A. COMMUNITY FOREST AND OPEN SPACE CONSERVATION PRO-
GRAM. 
‘‘(a) DEFINITIONS.—In this section: 
16 USC 2103d. 
16 USC 2103d 
note. 
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122 STAT. 1282 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible entity’ means a 
local governmental entity, Indian tribe, or nonprofit organiza-
tion that owns or acquires a parcel under the program. 
‘‘(2) INDIAN TRIBE.—The term ‘Indian tribe’ has the meaning 
given the term in section 4 of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b). 
‘‘(3) LOCAL GOVERNMENTAL ENTITY.—The term ‘local govern-
mental entity’ includes any municipal government, county 
government, or other local government body with jurisdiction 
over local land use decisions. 
‘‘(4) 
NONPROFIT
ORGANIZATION.—The 
term 
‘nonprofit 
organization’ means any organization that— 
‘‘(A) is described in section 170(h)(3) of the Internal 
Revenue Code of 1986; and 
‘‘(B) operates in accordance with 1 or more of the 
purposes specified in section 170(h)(4)(A) of that Code. 
‘‘(5) PROGRAM.—The term ‘Program’ means the community 
forest and open space conservation program established under 
subsection (b). 
‘‘(6) SECRETARY.—The term ‘Secretary’ means the Secretary 
of Agriculture, acting through the Chief of the Forest Service. 
‘‘(b) ESTABLISHMENT.—The Secretary shall establish a program, 
to be known as the ‘community forest and open space conservation 
program’. 
‘‘(c) GRANT PROGRAM.— 
‘‘(1) IN
GENERAL.—The Secretary may award grants to 
eligible entities to acquire private forest land, to be owned 
in fee simple, that— 
‘‘(A) are threatened by conversion to nonforest uses; 
and 
‘‘(B) provide public benefits to communities, including— 
‘‘(i) economic benefits through sustainable forest 
management; 
‘‘(ii) environmental benefits, including clean water 
and wildlife habitat; 
‘‘(iii) benefits from forest-based educational pro-
grams, including vocational education programs in for-
estry; 
‘‘(iv) benefits from serving as models of effective 
forest stewardship for private landowners; and 
‘‘(v) recreational benefits, including hunting and 
fishing. 
‘‘(2) FEDERAL COST SHARE.—An eligible entity may receive 
a grant under the Program in an amount equal to not more 
than 50 percent of the cost of acquiring 1 or more parcels, 
as determined by the Secretary. 
‘‘(3) NON-FEDERAL SHARE.—As a condition of receipt of the 
grant, an eligible entity that receives a grant under the Pro-
gram shall provide, in cash, donation, or in kind, a non-Federal 
matching share in an amount that is at least equal to the 
amount of the grant received. 
‘‘(4) APPRAISAL OF PARCELS.—To determine the non-Federal 
share of the cost of a parcel of privately-owned forest land 
under paragraph (2), an eligible entity shall require appraisals 
of the land that comply with the Uniform Appraisal Standards 
for Federal Land Acquisitions developed by the Interagency 
Land Acquisition Conference. 
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122 STAT. 1283 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(5) APPLICATION.—An eligible entity that seeks to receive 
a grant under the Program shall submit to the State forester 
or equivalent official (or in the case of an Indian tribe, an 
equivalent official of the Indian tribe) an application that 
includes— 
‘‘(A) a description of the land to be acquired; 
‘‘(B) a forest plan that provides— 
‘‘(i) a description of community benefits to be 
achieved from the acquisition of the private forest land; 
and 
‘‘(ii) an explanation of the manner in which any 
private forest land to be acquired using funds from 
the grant will be managed; and 
‘‘(C) such other relevant information as the Secretary 
may require. 
‘‘(6) EFFECT ON TRUST LAND.— 
‘‘(A) INELIGIBILITY.—The Secretary shall not provide 
a grant under the Program for any project on land held 
in trust by the United States (including Indian reservations 
and allotment land). 
‘‘(B) ACQUIRED LAND.—No land acquired using a grant 
provided under the Program shall be converted to land 
held in trust by the United States on behalf of any Indian 
tribe. 
‘‘(7) APPLICATIONS TO SECRETARY.—The State forester or 
equivalent official (or in the case of an Indian tribe, an equiva-
lent official of the Indian tribe) shall submit to the Secretary 
a list that includes a description of each project submitted 
by an eligible entity at such times and in such form as the 
Secretary shall prescribe. 
‘‘(d) DUTIES OF ELIGIBLE ENTITY.—An eligible entity shall pro-
vide public access to, and manage, forest land acquired with a 
grant under this section in a manner that is consistent with the 
purposes for which the land was acquired under the Program. 
‘‘(e) PROHIBITED USES.— 
‘‘(1) IN GENERAL.—Subject to paragraphs (2) and (3), an 
eligible entity that acquires a parcel under the Program shall 
not sell the parcel or convert the parcel to nonforest use. 
‘‘(2) REIMBURSEMENT OF FUNDS.—An eligible entity that 
sells or converts to nonforest use a parcel acquired under the 
Program shall pay to the Federal Government an amount equal 
to the greater of the current sale price, or current appraised 
value, of the parcel. 
‘‘(3) LOSS OF ELIGIBILITY.—An eligible entity that sells or 
converts a parcel acquired under the Program shall not be 
eligible for additional grants under the Program. 
‘‘(f) STATE ADMINISTRATION AND TECHNICAL ASSISTANCE.—The 
Secretary may allocate not more than 10 percent of all funds made 
available to carry out the Program for each fiscal year to State 
foresters or equivalent officials (including equivalent officials of 
Indian tribes) for Program administration and technical assistance. 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section.’’. 
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122 STAT. 1284 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 8004. ASSISTANCE TO THE FEDERATED STATES OF MICRONESIA, 
THE REPUBLIC OF THE MARSHALL ISLANDS, AND THE 
REPUBLIC OF PALAU. 
Section 13(d)(1) of the Cooperative Forestry Act of 1978 (16 
U.S.C. 2109(d)(1)) is amended by striking ‘‘the Trust Territory of 
the Pacific Islands,’’ and inserting ‘‘the Federated States of Micro-
nesia, the Republic of the Marshall Islands, the Republic of Palau,’’. 
SEC. 8005. CHANGES TO FOREST RESOURCE COORDINATING COM-
MITTEE. 
Section 19 of the Cooperative Forestry Assistance Act of 1978 
(16 U.S.C. 2113) is amended by striking subsection (a) and inserting 
the following new subsection: 
‘‘(a) FOREST RESOURCE COORDINATING COMMITTEE.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish a com-
mittee, to be known as the ‘Forest Resource Coordinating Com-
mittee’ (in this section referred to as the ‘Coordinating Com-
mittee’), to coordinate nonindustrial private forestry activities 
within the Department of Agriculture and with the private 
sector. 
‘‘(2) COMPOSITION.—The Coordinating Committee shall be 
composed of the following: 
‘‘(A) The Chief of the Forest Service. 
‘‘(B) The Chief of the Natural Resources Conservation 
Service. 
‘‘(C) The Director of the Farm Service Agency. 
‘‘(D) The Director of the National Institute of Food 
and Agriculture. 
‘‘(E) Non-Federal representatives appointed by the Sec-
retary to 3 year terms, although initial appointees shall 
have staggered terms, including the following persons: 
‘‘(i) At least three State foresters or equivalent 
State officials from geographically diverse regions of 
the United States. 
‘‘(ii) A representative of a State fish and wildlife 
agency. 
‘‘(iii) An owner of nonindustrial private forest land. 
‘‘(iv) A forest industry representative. 
‘‘(v) A conservation organization representative. 
‘‘(vi) A land-grant university or college representa-
tive. 
‘‘(vii) A private forestry consultant. 
‘‘(viii) A representative from a State Technical 
Committee established under section 1261 of the Food 
Security Act of 1985 (16 U.S.C. 3861). 
‘‘(F) Such other persons as determined by the Secretary 
to be appropriate. 
‘‘(3) CHAIRPERSON.—The Chief of the Forest Service shall 
serve as chairperson of the Coordinating Committee. 
‘‘(4) DUTIES.—The Coordinating Committee shall— 
‘‘(A) provide direction and coordination of actions 
within the Department of Agriculture, and coordination 
with State agencies and the private sector, to effectively 
address the national priorities specified in section 2(c), 
with specific focus owners of nonindustrial private forest 
land; 
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122 STAT. 1285 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) clarify individual agency responsibilities of each 
agency represented on the Coordinating Committee con-
cerning the national priorities specified in section 2(c), 
with specific focus on nonindustrial private forest land; 
‘‘(C) provide advice on the allocation of funds, including 
the competitive funds set-aside by sections 13A and 13B; 
and 
‘‘(D) assist the Secretary in developing and reviewing 
the report required by section 2(d). 
‘‘(5) MEETING.—The Coordinating Committee shall meet 
annually to discuss progress in addressing the national prior-
ities specified in section 2(c) and issues regarding nonindustrial 
private forest land. 
‘‘(6) COMPENSATION.— 
‘‘(A) FEDERAL MEMBERS.—Members of the Coordinating 
Committee who are full-time officers or employees of the 
United States shall receive no additional pay, allowances, 
or benefits by reason of their service on the Coordinating 
Committee. 
‘‘(B) NON-FEDERAL MEMBERS.—Non-federal members of 
the Coordinating Committee shall serve without pay, but 
may be reimbursed for reasonable costs incurred while 
performing their duties on behalf of the Coordinating Com-
mittee.’’. 
SEC. 8006. CHANGES TO STATE FOREST STEWARDSHIP COORDINATING 
COMMITTEES. 
Section 19(b) of the Cooperative Forestry Assistance Act of 
1978 (16 U.S.C. 2113(b)) is amended— 
(1) in paragraph (1)(B)(ii)— 
(A) by striking ‘‘and’’ at the end of subclause (VII); 
and 
(B) by adding at the end the following new subclause: 
‘‘(IX) the State Technical Committee.’’. 
(2) in paragraph (2)(C), by striking ‘‘a Forest Stewardship 
Plan under paragraph (3)’’ and inserting ‘‘the State-wide assess-
ment and strategy regarding forest resource conditions under 
section 2A’’; 
(3) by striking paragraphs (3) and (4); and 
(4) by redesignating paragraphs (5) and (6) as paragraphs 
(3) and (4), respectively. 
SEC. 8007. COMPETITION IN PROGRAMS UNDER COOPERATIVE FOR-
ESTRY ASSISTANCE ACT OF 1978. 
The Cooperative Forestry Assistance Act of 1978 is amended 
by inserting after section 13 (16 U.S.C. 2109) the following new 
section: 
‘‘SEC. 13A. COMPETITIVE ALLOCATION OF FUNDS TO STATE FOR-
ESTERS OR EQUIVALENT STATE OFFICIALS. 
‘‘(a) COMPETITION.—Beginning not later than 3 years after the 
date of the enactment of the Food, Conservation, and Energy Act 
of 2008, the Secretary shall competitively allocate a portion, to 
be determined by the Secretary, of the funds available under this 
Act to State foresters or equivalent State officials. 
‘‘(b) DETERMINATION.—In determining the competitive alloca-
tion of funds under subsection (a), the Secretary shall consult 
Deadline. 
16 USC 2109a. 
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122 STAT. 1286 
PUBLIC LAW 110–234—MAY 22, 2008 
with the Forest Resource Coordinating Committee established by 
section 19(a). 
‘‘(c) PRIORITY.—The Secretary shall give priority for funding 
to States for which the long-term State-wide forest resource strate-
gies submitted under section 2A(a)(2) will best promote the national 
priorities specified in section 2(c).’’. 
SEC. 8008. COMPETITIVE ALLOCATION OF FUNDS FOR COOPERATIVE 
FOREST INNOVATION PARTNERSHIP PROJECTS. 
The Cooperative Forestry Assistance Act of 1978 is amended 
by inserting after section 13A, as added by section 8006, the fol-
lowing new section: 
‘‘SEC. 13B. COMPETITIVE ALLOCATION OF FUNDS FOR COOPERATIVE 
FOREST INNOVATION PARTNERSHIP PROJECTS. 
‘‘(a) 
COOPERATIVE
FOREST
INNOVATION
PARTNERSHIP 
PROJECTS.—The Secretary may competitively allocate not more than 
5 percent of the funds made available under this Act to support 
innovative national, regional, or local education, outreach, or tech-
nology transfer projects that the Secretary determines would 
substantially increase the ability of the Department of Agriculture 
to address the national priorities specified in section 2(c). 
‘‘(b) ELIGIBILITY.—Notwithstanding the eligibility limitations 
contained in this Act, any State or local government, Indian tribe, 
land-grant college or university, or private entity shall be eligible 
to compete for funds to be competitively allocated under subsection 
(a). 
‘‘(c) COST-SHARE REQUIREMENT.—In carrying out subsection (a), 
the Secretary shall not cover more than 50 percent of the total 
cost of a project under such subsection. In calculating the total 
cost of a project and contributions made with regard to the project, 
the Secretary shall include in-kind contributions.’’. 
Subtitle B—Cultural and Heritage 
Cooperation Authority 
SEC. 8101. PURPOSES. 
The purposes of this subtitle are— 
(1) to authorize the reburial of human remains and cultural 
items on National Forest System land, including human 
remains and cultural items repatriated under the Native Amer-
ican Graves Protection and Repatriation Act (25 U.S.C. 3001 
et seq.); 
(2) to prevent the unauthorized disclosure of information 
regarding reburial sites, including the quantity and identity 
of human remains and cultural items on sites and the location 
of sites; 
(3) to authorize the Secretary of Agriculture to ensure 
access to National Forest System land, to the maximum extent 
practicable, by Indians and Indian tribes for traditional and 
cultural purposes; 
(4) to authorize the Secretary to provide forest products, 
without consideration, to Indian tribes for traditional and cul-
tural purposes; 
25 USC 3051. 
Native 
Americans. 
16 USC 2109b. 
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122 STAT. 1287 
PUBLIC LAW 110–234—MAY 22, 2008 
(5) to authorize the Secretary to protect the confidentiality 
of certain information, including information that is culturally 
sensitive to Indian tribes; 
(6) to increase the availability of Forest Service programs 
and resources to Indian tribes in support of the policy of the 
United States to promote tribal sovereignty and self-determina-
tion; and 
(7) to strengthen support for the policy of the United States 
of protecting and preserving the traditional, cultural, and 
ceremonial rites and practices of Indian tribes, in accordance 
with Public Law 95–341 (commonly known as the American 
Indian Religious Freedom Act; 42 U.S.C. 1996). 
SEC. 8102. DEFINITIONS. 
In this subtitle: 
(1) ADJACENT SITE.—The term ‘‘adjacent site’’ means a site 
that borders a boundary line of National Forest System land. 
(2) CULTURAL ITEMS.—The term ‘‘cultural items’’ has the 
meaning given the term in section 2 of the Native American 
Graves Protection and Repatriation Act (25 U.S.C. 3001), except 
that the term does not include human remains. 
(3) HUMAN REMAINS.—The term ‘‘human remains’’ means 
the physical remains of the body of a person of Indian ancestry. 
(4) INDIAN.—The term ‘‘Indian’’ means an individual who 
is a member of an Indian tribe. 
(5) INDIAN
TRIBE.—The term ‘‘Indian tribe’’ means any 
Indian or Alaska Native tribe, band, nation, pueblo, village, 
or other community the name of which is included on a list 
published by the Secretary of the Interior pursuant to section 
104 of the Federally Recognized Indian Tribe List Act of 1994 
(25 U.S.C. 479a–1). 
(6) LINEAL
DESCENDANT.—The term ‘‘lineal descendant’’ 
means an individual that can trace, directly and without 
interruption, the ancestry of the individual through the tradi-
tional kinship system of an Indian tribe, or through the common 
law system of descent, to a known Indian, the human remains, 
funerary objects, or other sacred objects of whom are claimed 
by the individual. 
(7) NATIONAL FOREST SYSTEM.—The term ‘‘National Forest 
System’’ has the meaning given the term in section 11(a) of 
the Forest and Rangeland Renewable Resources Planning Act 
of 1974 (16 U.S.C. 1609(a)). 
(8) REBURIAL SITE.—The term ‘‘reburial site’’ means a spe-
cific physical location at which cultural items or human remains 
are reburied. 
(9) TRADITIONAL AND CULTURAL PURPOSE.—The term ‘‘tradi-
tional and cultural purpose’’, with respect to a definable use, 
area, or practice, means that the use, area, or practice is 
identified by an Indian tribe as traditional or cultural because 
of the long-established significance or ceremonial nature of 
the use, area, or practice to the Indian tribe. 
SEC. 8103. REBURIAL OF HUMAN REMAINS AND CULTURAL ITEMS. 
(a) REBURIAL SITES.—In consultation with an affected Indian 
tribe or lineal descendant, the Secretary may authorize the use 
of National Forest System land by the Indian tribe or lineal descend-
ant for the reburial of human remains or cultural items in the 
25 USC 3053. 
25 USC 3052. 
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122 STAT. 1288 
PUBLIC LAW 110–234—MAY 22, 2008 
possession of the Indian tribe or lineal descendant that have been 
disinterred from National Forest System land or an adjacent site. 
(b) REBURIAL.—With the consent of the affected Indian tribe 
or lineal descendent, the Secretary may recover and rebury, at 
Federal expense or using other available funds, human remains 
and cultural items described in subsection (a) at the National Forest 
System land identified under that subsection. 
(c) AUTHORIZATION OF USE.— 
(1) IN GENERAL.—Subject to paragraph (2), the Secretary 
may authorize such uses of reburial sites on National Forest 
System land, or on the National Forest System land imme-
diately surrounding a reburial site, as the Secretary determines 
to be necessary for management of the National Forest System. 
(2) AVOIDANCE OF ADVERSE IMPACTS.—In carrying out para-
graph (1), the Secretary shall avoid adverse impacts to cultural 
items and human remains, to the maximum extent practicable. 
SEC. 8104. TEMPORARY CLOSURE FOR TRADITIONAL AND CULTURAL 
PURPOSES. 
(a) RECOGNITION OF HISTORIC USE.—To the maximum extent 
practicable, the Secretary shall ensure access to National Forest 
System land by Indians for traditional and cultural purposes, in 
accordance with subsection (b), in recognition of the historic use 
by Indians of National Forest System land. 
(b) CLOSING LAND FROM PUBLIC ACCESS.— 
(1) AUTHORITY TO CLOSE.—Upon the approval by the Sec-
retary of a request from an Indian tribe, the Secretary may 
temporarily close from public access specifically identified 
National Forest System land to protect the privacy of tribal 
activities for traditional and cultural purposes. 
(2) LIMITATION.—A closure of National Forest System land 
under paragraph (1) shall affect the smallest practicable area 
for the minimum period necessary for activities of the applicable 
Indian tribe. 
(3) CONSISTENCY.—Access by Indian tribes to National 
Forest System land under this subsection shall be consistent 
with the purposes of Public Law 95–341 (commonly known 
as the American Indian Religious Freedom Act; 42 U.S.C. 1996). 
SEC. 8105. FOREST PRODUCTS FOR TRADITIONAL AND CULTURAL PUR-
POSES. 
(a) IN GENERAL.—Notwithstanding section 14 of the National 
Forest Management Act of 1976 (16 U.S.C. 472a), the Secretary 
may provide free of charge to Indian tribes any trees, portions 
of trees, or forest products from National Forest System land for 
traditional and cultural purposes. 
(b) PROHIBITION.—Trees, portions of trees, or forest products 
provided under subsection (a) may not be used for commercial 
purposes. 
SEC. 8106. PROHIBITION ON DISCLOSURE. 
(a) NONDISCLOSURE OF INFORMATION.— 
(1) IN GENERAL.—The Secretary shall not disclose under 
section 552 of title 5, United States Code (commonly known 
as the ‘‘Freedom of Information Act’’), information relating to— 
(A) subject to subsection (b)(l), human remains or cul-
tural items reburied on National Forest System land under 
section 8103; or 
25 USC 3056. 
25 USC 3055. 
25 USC 3054. 
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122 STAT. 1289 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) subject to subsection (b)(2), resources, cultural 
items, uses, or activities that— 
(i) have a traditional and cultural purpose; and 
(ii) are provided to the Secretary by an Indian 
or Indian tribe under an express expectation of con-
fidentiality in the context of forest and rangeland 
research activities carried out under the authority of 
the Forest Service. 
(2) LIMITATIONS
ON
DISCLOSURE.—Subject to subsection 
(b)(2), the Secretary shall not be required to disclose informa-
tion under section 552 of title 5, United States Code (commonly 
known as the ‘‘Freedom of Information Act’’), concerning the 
identity, use, or specific location in the National Forest System 
of— 
(A) a site or resource used for traditional and cultural 
purposes by an Indian tribe; or 
(B) any cultural items not covered under section 8103. 
(b) LIMITED RELEASE OF INFORMATION.— 
(1) REBURIAL.—The Secretary may disclose information 
described in subsection (a)(l)(A) if, before the disclosure, the 
Secretary— 
(A) consults with an affected Indian tribe or lineal 
descendent; 
(B) determines that disclosure of the information— 
(i) would advance the purposes of this subtitle; 
and 
(ii) is necessary to protect the human remains 
or cultural items from harm, theft, or destruction; and 
(C) attempts to mitigate any adverse impacts identified 
by an Indian tribe or lineal descendant that reasonably 
could be expected to result from disclosure of the informa-
tion. 
(2) OTHER INFORMATION.—The Secretary, in consultation 
with appropriate Indian tribes, may disclose information 
described under paragraph (1)(B) or (2) of subsection (a) if 
the Secretary determines that disclosure of the information 
to the public— 
(A) would advance the purposes of this subtitle; 
(B) would not create an unreasonable risk of harm, 
theft, or destruction of the resource, site, or object, 
including individual organic or inorganic specimens; and 
(C) would be consistent with other applicable laws. 
SEC. 8107. SEVERABILITY AND SAVINGS PROVISIONS. 
(a) SEVERABILITY.—If any provision of this subtitle, or the 
application of any provision of this subtitle to any person or cir-
cumstance is held invalid, the application of such provision or 
circumstance and the remainder of this subtitle shall not be affected 
thereby. 
(b) SAVINGS.—Nothing in this subtitle— 
(1) diminishes or expands the trust responsibility of the 
United States to Indian tribes, or any legal obligation or remedy 
resulting from that responsibility; 
(2) alters, abridges, repeals, or affects any valid agreement 
between the Forest Service and an Indian tribe; 
(3) alters, abridges, diminishes, repeals, or affects any 
reserved or other right of an Indian tribe; or 
25 USC 3057. 
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122 STAT. 1290 
PUBLIC LAW 110–234—MAY 22, 2008 
(4) alters, abridges, diminishes, repeals, or affects any other 
valid existing right relating to National Forest System land 
or other public land. 
Subtitle C—Amendments to Other 
Forestry-Related Laws 
SEC. 8201. RURAL REVITALIZATION TECHNOLOGIES. 
Section 2371(d)(2) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 6601(d)(2)) is amended by striking 
‘‘2004 through 2008’’ and inserting ‘‘2008 through 2012’’. 
SEC. 8202. OFFICE OF INTERNATIONAL FORESTRY. 
Section 2405(d) of the Global Climate Change Prevention Act 
of 1990 (7 U.S.C. 6704(d)) is amended by striking ‘‘2007’’ and 
inserting ‘‘2012’’. 
SEC. 8203. EMERGENCY FOREST RESTORATION PROGRAM. 
(a) ESTABLISHMENT.—Title IV of the Agricultural Credit Act 
of 1978 (16 U.S.C. 2201 et seq.) is amended by adding at the 
end the following new section: 
‘‘SEC. 407. EMERGENCY FOREST RESTORATION PROGRAM. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) EMERGENCY MEASURES.—The term ‘emergency meas-
ures’ means those measures that— 
‘‘(A) are necessary to address damage caused by a 
natural disaster to natural resources on nonindustrial pri-
vate forest land, and the damage, if not treated— 
‘‘(i) would impair or endanger the natural 
resources on the land; and 
‘‘(ii) would materially affect future use of the land; 
and 
‘‘(B) would restore forest health and forest-related 
resources on the land. 
‘‘(2) NATURAL
DISASTER.—The term ‘natural disaster’ 
includes wildfires, hurricanes or excessive winds, drought, ice 
storms or blizzards, floods, or other resource-impacting events, 
as determined by the Secretary. 
‘‘(3) NONINDUSTRIAL PRIVATE FOREST LAND.—The term ‘non-
industrial private forest land’ means rural land, as determined 
by the Secretary, that— 
‘‘(A) has existing tree cover (or had tree cover imme-
diately before the natural disaster and is suitable for 
growing trees); and 
‘‘(B) is owned by any nonindustrial private individual, 
group, association, corporation, or other private legal entity, 
that has definitive decision-making authority over the land. 
‘‘(4) SECRETARY.—The term ‘Secretary’ means the Secretary 
of Agriculture. 
‘‘(b) AVAILABILITY OF ASSISTANCE.—The Secretary may make 
payments to an owner of nonindustrial private forest land who 
carries out emergency measures to restore the land after the land 
is damaged by a natural disaster. 
‘‘(c) ELIGIBILITY.—To be eligible to receive a payment under 
subsection (b), an owner must demonstrate to the satisfaction of 
16 USC 2206. 
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122 STAT. 1291 
PUBLIC LAW 110–234—MAY 22, 2008 
the Secretary that the nonindustrial private forest land on which 
the emergency measures are carried out had tree cover immediately 
before the natural disaster. 
‘‘(d) COST SHARE REQUIREMENT.—Payments made under sub-
section (b) shall not exceed 75 percent of the total cost of the 
emergency measures carried out by an owner of nonindustrial pri-
vate forest land. 
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to the Secretary such funds as may be necessary 
to carry out this section. Amounts so appropriated shall remain 
available until expended.’’. 
(b) REGULATIONS.—Not later than one year after the date of 
the enactment of this Act, the Secretary of Agriculture shall issue 
regulations to carry out section 407 of the Agricultural Credit 
Act of 1978, as added by subsection (a). 
SEC. 8204. PREVENTION OF ILLEGAL LOGGING PRACTICES. 
(a) DEFINITIONS.— 
(1) PLANT.—Subsection (f) of section 2 of the Lacey Act 
Amendments of 1981 (16 U.S.C. 3371) is amended to read 
as follows: 
‘‘(f) PLANT.— 
‘‘(1) IN GENERAL.—The terms ‘plant’ and ‘plants’ mean any 
wild member of the plant kingdom, including roots, seeds, parts, 
or products thereof, and including trees from either natural 
or planted forest stands. 
‘‘(2) EXCLUSIONS.—The terms ‘plant’ and ‘plants’ exclude— 
‘‘(A) common cultivars, except trees, and common food 
crops (including roots, seeds, parts, or products thereof); 
‘‘(B) a scientific specimen of plant genetic material 
(including roots, seeds, germplasm, parts, or products 
thereof) that is to be used only for laboratory or field 
research; and 
‘‘(C) any plant that is to remain planted or to be 
planted or replanted. 
‘‘(3) EXCEPTIONS
TO
APPLICATION
OF
EXCLUSIONS.—The 
exclusions made by subparagraphs (B) and (C) of paragraph 
(2) do not apply if the plant is listed— 
‘‘(A) in an appendix to the Convention on International 
Trade in Endangered Species of Wild Fauna and Flora 
(27 UST 1087; TIAS 8249); 
‘‘(B) as an endangered or threatened species under 
the Endangered Species Act of 1973 (16 U.S.C. 1531 et 
seq.); or 
‘‘(C) pursuant to any State law that provides for the 
conservation of species that are indigenous to the State 
and are threatened with extinction.’’. 
(2) INCLUSION
OF
SECRETARY
OF
AGRICULTURE.—Section 
2(h) of the Lacey Act Amendments of 1981 (16 U.S.C. 3371(h)) 
is amended by striking ‘‘plants the term means’’ and inserting 
‘‘plants, the term also means’’. 
(3) TAKEN AND TAKING.—Subsection (j) of section 2 of the 
Lacey Act Amendments of 1981 (16 U.S.C. 3371) is amended 
to read as follows: 
‘‘(j) TAKEN AND TAKING.— 
Deadline. 
16 USC 2206 
note. 
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122 STAT. 1292 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) TAKEN.—The term ‘taken’ means captured, killed, or 
collected and, with respect to a plant, also means harvested, 
cut, logged, or removed. 
‘‘(2) TAKING.—The term ‘taking’ means the act by which 
fish, wildlife, or plants are taken.’’. 
(b) PROHIBITED ACTS.— 
(1) OFFENSES OTHER THAN MARKING.—Section 3(a) of the 
Lacey Act Amendments of 1981 (16 U.S.C. 3372(a)) is 
amended— 
(A) in paragraph (2), by striking subparagraph (B) 
and inserting the following new subparagraph: 
‘‘(B) any plant— 
‘‘(i) taken, possessed, transported, or sold in viola-
tion of any law or regulation of any State, or any 
foreign law, that protects plants or that regulates— 
‘‘(I) the theft of plants; 
‘‘(II) the taking of plants from a park, forest 
reserve, or other officially protected area; 
‘‘(III) the taking of plants from an officially 
designated area; or 
‘‘(IV) the taking of plants without, or contrary 
to, required authorization; 
‘‘(ii) taken, possessed, transported, or sold without 
the payment of appropriate royalties, taxes, or stump-
age fees required for the plant by any law or regulation 
of any State or any foreign law; or 
‘‘(iii) taken, possessed, transported, or sold in viola-
tion of any limitation under any law or regulation 
of any State, or under any foreign law, governing the 
export or transshipment of plants; or’’; and 
(B) in paragraph (3), by striking subparagraph (B) 
and inserting the following subparagraph: 
‘‘(B) to possess any plant— 
‘‘(i) taken, possessed, transported, or sold in viola-
tion of any law or regulation of any State, or any 
foreign law, that protects plants or that regulates— 
‘‘(I) the theft of plants; 
‘‘(II) the taking of plants from a park, forest 
reserve, or other officially protected area; 
‘‘(III) the taking of plants from an officially 
designated area; or 
‘‘(IV) the taking of plants without, or contrary 
to, required authorization; 
‘‘(ii) taken, possessed, transported, or sold without 
the payment of appropriate royalties, taxes, or stump-
age fees required for the plant by any law or regulation 
of any State or any foreign law; or 
‘‘(iii) taken, possessed, transported, or sold in viola-
tion of any limitation under any law or regulation 
of any State, or under any foreign law, governing the 
export or transshipment of plants; or’’. 
(2) PLANT
DECLARATIONS.—Section 3 of the Lacey Act 
Amendments of 1981 (16 U.S.C. 3372) is amended by adding 
at the end the following new subsection: 
‘‘(f) PLANT DECLARATIONS.— 
‘‘(1) IMPORT DECLARATION.—Effective 180 days from the 
date of enactment of this subsection, and except as provided 
Effective date. 
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122 STAT. 1293 
PUBLIC LAW 110–234—MAY 22, 2008 
in paragraph (3), it shall be unlawful for any person to import 
any plant unless the person files upon importation a declaration 
that contains— 
‘‘(A) the scientific name of any plant (including the 
genus and species of the plant) contained in the importa-
tion; 
‘‘(B) a description of— 
‘‘(i) the value of the importation; and 
‘‘(ii) the quantity, including the unit of measure, 
of the plant; and 
‘‘(C) the name of the country from which the plant 
was taken. 
‘‘(2) DECLARATION RELATING TO PLANT PRODUCTS.—Until 
the date on which the Secretary promulgates a regulation under 
paragraph (6), a declaration relating to a plant product shall— 
‘‘(A) in the case in which the species of plant used 
to produce the plant product that is the subject of the 
importation varies, and the species used to produce the 
plant product is unknown, contain the name of each species 
of plant that may have been used to produce the plant 
product; 
‘‘(B) in the case in which the species of plant used 
to produce the plant product that is the subject of the 
importation is commonly taken from more than one 
country, and the country from which the plant was taken 
and used to produce the plant product is unknown, contain 
the name of each country from which the plant may have 
been taken; and 
‘‘(C) in the case in which a paper or paperboard plant 
product includes recycled plant product, contain the aver-
age percent recycled content without regard for the species 
or country of origin of the recycled plant product, in addi-
tion to the information for the non-recycled plant content 
otherwise required by this subsection. 
‘‘(3) EXCLUSIONS.—Paragraphs (1) and (2) shall not apply 
to plants used exclusively as packaging material to support, 
protect, or carry another item, unless the packaging material 
itself is the item being imported. 
‘‘(4) REVIEW.—Not later than two years after the date of 
enactment of this subsection, the Secretary shall review the 
implementation of each requirement imposed by paragraphs 
(1) and (2) and the effect of the exclusion provided by paragraph 
(3). In conducting the review, the Secretary shall provide public 
notice and an opportunity for comment. 
‘‘(5) REPORT.—Not later than 180 days after the date on 
which the Secretary completes the review under paragraph 
(4), the Secretary shall submit to the appropriate committees 
of Congress a report containing— 
‘‘(A) an evaluation of— 
‘‘(i) the effectiveness of each type of information 
required under paragraphs (1) and (2) in assisting 
enforcement of this section; and 
‘‘(ii) the potential to harmonize each requirement 
imposed by paragraphs (1) and (2) with other 
applicable import regulations in existence as of the 
date of the report; 
Deadline. 
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122 STAT. 1294 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) recommendations for such legislation as the Sec-
retary determines to be appropriate to assist in the identi-
fication of plants that are imported into the United States 
in violation of this section; and 
‘‘(C) an analysis of the effect of subsection (a) and 
this subsection on— 
‘‘(i) the cost of legal plant imports; and 
‘‘(ii) the extent and methodology of illegal logging 
practices and trafficking. 
‘‘(6) PROMULGATION OF REGULATIONS.—Not later than 180 
days after the date on which the Secretary completes the review 
under paragraph (4), the Secretary may promulgate regula-
tions— 
‘‘(A) to limit the applicability of any requirement 
imposed by paragraph (2) to specific plant products; 
‘‘(B) to make any other necessary modification to any 
requirement imposed by paragraph (2), as determined by 
the Secretary based on the review; and 
‘‘(C) to limit the scope of the exclusion provided by 
paragraph (3), if the limitations in scope are warranted 
as a result of the review.’’. 
(c) CROSS-REFERENCES TO NEW REQUIREMENT.—Section 4 of 
the Lacey Act Amendments of 1981 (16 U.S.C. 3373) is amended— 
(1) by striking ‘‘subsections (b) and (d)’’ each place it 
appears and inserting ‘‘subsections (b), (d), and (f)’’; 
(2) by striking ‘‘section 3(d)’’ each place it appears and 
inserting ‘‘subsection (d) or (f) of section 3’’; and 
(3) in subsection (a)(2), by striking ‘‘subsection 3(b)’’ and 
inserting ‘‘subsection (b) or (f) of section 3, except as provided 
in paragraph (1),’’. 
(d) CIVIL FORFEITURES.—Section 5 of the Lacey Act Amend-
ments of 1981 (16 U.S.C. 3374) is amended by adding at the 
end the following new subsection: 
‘‘(d) CIVIL FORFEITURES.—Civil forfeitures under this section 
shall be governed by the provisions of chapter 46 of title 18, United 
States Code.’’. 
(e) ADMINISTRATION.—Section 7 of the Lacey Act Amendments 
of 1981 (16 U.S.C. 3376) is amended— 
(1) in subsection (a)(1), by striking ‘‘section 4 and section’’ 
and inserting ‘‘sections 3(f), 4, and’’; and 
(2) by adding at the end the following new subsection: 
‘‘(c) CLARIFICATION
OF
EXCLUSIONS
FROM
DEFINITION
OF 
PLANT.—The Secretary of Agriculture and the Secretary of the 
Interior, after consultation with the appropriate agencies, shall 
jointly promulgate regulations to define the terms used in section 
2(f)(2)(A) for the purposes of enforcement under this Act.’’. 
(f) TECHNICAL CORRECTION.—Effective as of November 14, 1988, 
and as if included therein as enacted, section 102(c) of Public 
Law 100–653 (102 Stat. 3825) is amended— 
(1) by inserting ‘‘of the Lacey Act Amendments of 1981’’ 
after ‘‘Section 4’’; and 
(2) by striking ‘‘(other than section 3(b))’’ and inserting 
‘‘(other than subsection 3(b))’’. 
SEC. 8205. HEALTHY FORESTS RESERVE PROGRAM. 
(a) ENROLLMENT.—Section 502 of the Healthy Forests Restora-
tion Act of 2003 (16 U.S.C. 6572(f)(1)) is amended— 
Effective date. 
16 USC 3373 
note. 
16 USC 3373. 
Regulations. 
Deadline. 
Recommenda- 
tions. 
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122 STAT. 1295 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) by striking subsections (e) and (f); 
(2) by redesignating subsection (g) as subsection (f); and 
(3) by inserting after subsection (d) the following new sub-
section: 
‘‘(e) METHODS OF ENROLLMENT.— 
‘‘(1) AUTHORIZED METHODS.—Land may be enrolled in the 
healthy forests reserve program in accordance with— 
‘‘(A) a 10-year cost-share agreement; 
‘‘(B) a 30-year easement; or 
‘‘(C)(i) a permanent easement; or 
‘‘(ii) in a State that imposes a maximum duration 
for easements, an easement for the maximum duration 
allowed under State law. 
‘‘(2) LIMITATION ON USE OF COST-SHARE AGREEMENTS AND 
EASEMENTS.— 
‘‘(A) IN
GENERAL.—Of the total amount of funds 
expended under the program for a fiscal year to acquire 
easements and enter into cost-share agreements described 
in paragraph (1)— 
‘‘(i) not more than 40 percent shall be used for 
cost-share agreements described in paragraph (1)(A); 
and 
‘‘(ii) not more than 60 percent shall be used for 
easements described in subparagraphs (B) and (C) of 
paragraph (1). 
‘‘(B) REPOOLING.—The Secretary may use any funds 
allocated under clause (i) or (ii) of subparagraph (A) that 
are not obligated by April 1 of the fiscal year for which 
the funds are made available to carry out a different 
method of enrollment during that fiscal year. 
‘‘(3) ACREAGE OWNED BY INDIAN TRIBES.—In the case of 
acreage owned by an Indian tribe, the Secretary may enroll 
acreage into the healthy forests reserve program through the 
use of— 
‘‘(A) a 30-year contract (the value of which shall be 
equivalent to the value of a 30-year easement); 
‘‘(B) a 10-year cost-share agreement; or 
‘‘(C) any combination of the options described in sub-
paragraphs (A) and (B).’’. 
(b) FINANCIAL ASSISTANCE.—Section 504(a) of the Healthy For-
ests Restoration Act of 2003 (16 U.S.C. 6574(a)) is amended by 
striking ‘‘(a) EASEMENTS OF NOT MORE THAN 99 YEARS’’ and all 
that follows through ‘‘502(f)(1)(C)’’ and inserting the following: 
‘‘(a) PERMANENT EASEMENTS.—In the case of land enrolled in 
the healthy forests reserve program using a permanent easement 
(or an easement described in section 502(f)(1)(C)(ii))’’. 
(c) FUNDING.—Section 508 of the Healthy Forests Restoration 
Act of 2003 (16 U.S.C. 6578) is amended to read as follows: 
‘‘SEC. 508. FUNDING. 
‘‘(a) IN GENERAL.—Of the funds of the Commodity Credit Cor-
poration, the Secretary of Agriculture shall make available 
$9,750,000 for each of fiscal years 2009 through 2012 to carry 
out this title. 
‘‘(b) DURATION OF AVAILABILITY.—The funds made available 
under subsection (a) shall remain available until expended.’’. 
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122 STAT. 1296 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle D—Boundary Adjustments and 
Land Conveyance Provisions 
SEC. 8301. GREEN MOUNTAIN NATIONAL FOREST BOUNDARY ADJUST-
MENT. 
(a) IN
GENERAL.—The boundary of the Green Mountain 
National Forest is modified to include the 13 designated expansion 
units as generally depicted on the forest maps entitled ‘‘Green 
Mountain Expansion Area Map I’’ and ‘‘Green Mountain Expansion 
Area Map II’’ and dated February 20, 2002 (copies of which shall 
be on file and available for public inspection in the Office of the 
Chief of the Forest Service, Washington, District of Columbia), 
and more particularly described according to the site specific maps 
and legal descriptions on file in the office of the Forest Supervisor, 
Green Mountain National Forest. 
(b) MANAGEMENT.—Federally owned land delineated on the 
maps acquired for National Forest purposes shall continue to be 
managed in accordance with the laws (including regulations) 
applicable to the National Forest System. 
(c) LAND AND WATER CONSERVATION FUND.—For the purposes 
of section 7 of the Land and Water Conservation Fund Act of 
1965 (16 U.S.C. 460 l–9), the boundaries of the Green Mountain 
National Forest, as adjusted by this section, shall be considered 
to be the boundaries of the national forest as of January 1, 1965. 
SEC. 8302. LAND CONVEYANCES, CHIHUAHUAN DESERT NATURE PARK, 
NEW MEXICO, AND GEORGE WASHINGTON NATIONAL 
FOREST, VIRGINIA. 
(a) CHIHUAHUAN DESERT NATURE PARK CONVEYANCE.— 
(1) IN
GENERAL.—As soon as practicable after the date 
of enactment of this Act, subject to valid existing rights and 
subsection (b), the Secretary of Agriculture shall convey to 
the Chihuahuan Desert Nature Park, Inc., a nonprofit corpora-
tion in the State of New Mexico (in this section referred to 
as the ‘‘Nature Park’’), by quitclaim deed and for no consider-
ation, all right, title, and interest of the United States in 
and to the land described in paragraph (2) 
(2) DESCRIPTION OF LAND.— 
(A) IN GENERAL.—The parcel of land referred to in 
paragraph (1) consists of the approximately 935.62 acres 
of land in Dona Ana County, New Mexico, which is more 
particularly described— 
(i) as sections 17, 20, and 21 of T. 21 S., R. 2 
E., N.M.P.M.; and 
(ii) in an easement deed dated May 14, 1998, from 
the Department of Agriculture to the Nature Park. 
(B) MODIFICATIONS.—The Secretary may modify the 
description of the land under subparagraph (A) to— 
(i) correct errors in the description; or 
(ii) facilitate management of the land. 
(b) CONDITIONS.—The conveyance of land under subsection (a) 
shall be subject to— 
(1) the reservation by the United States of all mineral 
and subsurface rights to the land, including any geothermal 
resources; 
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122 STAT. 1297 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) the condition that the Chihuahuan Desert Nature Park 
Board pay any costs relating to the conveyance; 
(3) any rights-of-way reserved by the Secretary; 
(4) a covenant or restriction in the deed to the land 
requiring that— 
(A) the land may be used only for educational or sci-
entific purposes; and 
(B) if the land is no longer used for the purposes 
described in subparagraph (A), the land may, at the discre-
tion of the Secretary, revert to the United States in accord-
ance with subsection (c); and 
(5) any other terms and conditions that the Secretary deter-
mines to be appropriate. 
(c) REVERSION.—If the land conveyed under subsection (a) is 
no longer used for the purposes described in subsection (b)(4)(A), 
the land may, at the discretion of the Secretary, revert to the 
United States. If the Secretary chooses to have the land revert 
to the United States, the Secretary shall— 
(1) determine whether the land is environmentally contami-
nated, including contamination from hazardous wastes, haz-
ardous substances, pollutants, contaminants, petroleum, or 
petroleum by-products; and 
(2) if the Secretary determines that the land is environ-
mentally contaminated, the Nature Park, the successor to the 
Nature Park, or any other person responsible for the contamina-
tion shall be required to remediate the contamination. 
(d) WITHDRAWAL.—All federally owned mineral and subsurface 
rights to the land to be conveyed under subsection (a) are withdrawn 
from— 
(1) location, entry, and patent under the mining laws; 
and 
(2) the operation of the mineral leasing laws, including 
the geothermal leasing laws. 
(e) WATER RIGHTS.—Nothing in subsection (a) authorizes the 
conveyance of water rights to the Nature Park. 
(f) GEORGE WASHINGTON NATIONAL FOREST CONVEYANCE, VIR-
GINIA.— 
(1) CONVEYANCE REQUIRED.—The Secretary of Agriculture 
shall convey, without consideration, to the Central Advent 
Christian Church of Alleghany County, Virginia (in this sub-
section referred to as the ‘‘recipient’’), all right, title, and 
interest of the United States in and to a parcel of real property 
in the George Washington National Forest, Alleghany County, 
Virginia, consisting of not more than 8 acres, including a ceme-
tery encompassing approximately 6 acres designated as an 
area of special use for the recipient, and depicted on the Forest 
Service map showing tract G–2032c and dated August 20, 2002, 
and the Forest Service map showing the area of special use 
and dated March 14, 2001. 
(2) CONDITION
OF
CONVEYANCE.—The conveyance under 
this subsection shall be subject to the condition that the 
recipient accept the real property described in paragraph (1) 
in its condition at the time of the conveyance, commonly known 
as conveyance ‘‘as is’’. 
(3) DESCRIPTION
OF
PROPERTY.—The exact acreage and 
legal description of the real property to be conveyed under 
this subsection shall be determined by a survey satisfactory 
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122 STAT. 1298 
PUBLIC LAW 110–234—MAY 22, 2008 
to the Secretary. The cost of the survey shall be borne by 
the recipient. 
(4) ADDITIONAL
TERMS
AND
CONDITIONS.—The Secretary 
may require such additional terms and conditions in connection 
with the conveyance under this subsection as the Secretary 
considers appropriate to protect the interests of the United 
States. 
SEC. 8303. SALE AND EXCHANGE OF NATIONAL FOREST SYSTEM LAND, 
VERMONT. 
(a) DEFINITIONS.—In this section: 
(1) BROMLEY.—The term ‘‘Bromley’’ means Bromley Moun-
tain Ski Resort, Inc. 
(2) MAP.—The term ‘‘map’’ means the map entitled ‘‘Pro-
posed Bromley Land Sale or Exchange’’ and dated April 7, 
2004. 
(3) STATE.—The term ‘‘State’’ means the State of Vermont. 
(b) SALE OR EXCHANGE OF GREEN MOUNTAIN NATIONAL FOREST 
LAND.— 
(1) IN GENERAL.—The Secretary of Agriculture may, under 
any terms and conditions that the Secretary may prescribe, 
sell or exchange any right, title, and interest of the United 
States in and to the parcels of National Forest System land 
described in paragraph (2). 
(2) DESCRIPTION OF LAND.—The parcels of National Forest 
System land referred to in paragraph (1) are the 5 parcels 
of land in Bennington County in the State, as generally depicted 
on the map. 
(3) MAP AND LEGAL DESCRIPTIONS.— 
(A) IN GENERAL.—The map shall be on file and avail-
able for public inspection in— 
(i) the office of the Chief of the Forest Service; 
and 
(ii) the office of the Supervisor of the Green Moun-
tain National Forest. 
(B) MODIFICATIONS.—The Secretary may modify the 
map and legal descriptions to— 
(i) correct technical errors; or 
(ii) facilitate the conveyance under paragraph (1). 
(4) 
CONSIDERATION.—Consideration 
for 
the 
sale 
or 
exchange of land described in paragraph (2)— 
(A) shall be equal to an amount that is not less than 
the fair market value of the land sold or exchanged; and 
(B) may be in the form of cash, land, or a combination 
of cash and land. 
(5) APPRAISALS.—Any appraisal carried out to facilitate 
the sale or exchange of land under paragraph (1) shall conform 
with the Uniform Appraisal Standards for Federal Land 
Acquisitions. 
(6) METHODS OF SALE.— 
(A) CONVEYANCE TO BROMLEY.— 
(i) IN
GENERAL.—Before soliciting offers under 
subparagraph (B), the Secretary shall offer to convey 
to Bromley the land described in paragraph (2). 
(ii) CONTRACT DEADLINE.—If Bromley accepts the 
offer under clause (i), the Secretary and Bromley shall 
have not more than 180 days after the date on which 
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122 STAT. 1299 
PUBLIC LAW 110–234—MAY 22, 2008 
any environmental analyses with respect to the land 
are completed to enter into a contract for the sale 
or exchange of the land. 
(B) PUBLIC OR PRIVATE SALE.—If the Secretary and 
Bromley do not enter into a contract for the sale or 
exchange of the land by the date specified in subparagraph 
(A)(ii), the Secretary may sell or exchange the land at 
public or private sale (including auction), in accordance 
with such terms, conditions, and procedures as the Sec-
retary determines to be in the public interest. 
(C) REJECTION OF OFFERS.—The Secretary may reject 
any offer received under this paragraph if the Secretary 
determines that the offer is not adequate or is not in 
the public interest. 
(D) BROKERS.—In any sale or exchange of land under 
this subsection, the Secretary may— 
(i) use a real estate broker or other third party; 
and 
(ii) pay the real estate broker or third party a 
commission in an amount comparable to the amounts 
of commission generally paid for real estate trans-
actions in the area. 
(7) CASH EQUALIZATION.—Notwithstanding section 206(b) 
of the Federal Land Policy and Management Act of 1976 (43 
U.S.C. 1716(b)), the Secretary may accept a cash equalization 
payment in excess of 25 percent of the value of any Federal 
land exchanged under this section. 
(c) DISPOSITION OF PROCEEDS.— 
(1) IN GENERAL.—The Secretary shall deposit the net pro-
ceeds from a sale or exchange under this section in the fund 
established under Public Law 90–171 (16 U.S.C. 484a) (com-
monly known as the ‘‘Sisk Act’’). 
(2) USE.—Amounts deposited under paragraph (1) shall 
be available to the Secretary until expended, without further 
appropriation, for— 
(A) the location and relocation of the Appalachian 
National Scenic Trail and the Long National Recreation 
Trail in the State; 
(B) the acquisition of land and interests in land by 
the Secretary for National Forest System purposes within 
the boundary of the Green Mountain National Forest, 
including land for and adjacent to the Appalachian National 
Scenic Trail and the Long National Recreation Trail; 
(C) the acquisition of wetland or an interest in wetland 
within the boundary of the Green Mountain National 
Forest to offset the loss of wetland from the parcels sold 
or exchanged; and 
(D) the payment of direct administrative costs incurred 
in carrying out this section. 
(3) LIMITATION.—Amounts deposited under paragraph (1) 
shall not— 
(A) be paid or distributed to the State or counties 
or towns in the State under any provision of law; or 
(B) be considered to be money received from units 
of the National Forest System for purposes of— 
(i) the Act of May 23, 1908 (16 U.S.C. 500); or 
(ii) the Act of March 4, 1913 (16 U.S.C. 501). 
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122 STAT. 1300 
PUBLIC LAW 110–234—MAY 22, 2008 
(4) PROHIBITION
OF
TRANSFER
OR
REPROGRAMMING.— 
Amounts deposited under paragraph (1) shall not be subject 
to transfer or reprogramming for wildfire management or any 
other emergency purposes. 
(d) ACQUISITION OF LAND.—The Secretary may acquire, using 
funds made available under subsection (c) or otherwise made avail-
able for acquisition, land or an interest in land for National Forest 
System purposes within the boundary of the Green Mountain 
National Forest. 
(e) EXEMPTION FROM CERTAIN LAWS.—Subtitle I of title 40, 
United States Code, shall not apply to any sale or exchange of 
National Forest System land under this section. 
Subtitle E—Miscellaneous Provisions 
SEC. 8401. QUALIFYING TIMBER CONTRACT OPTIONS. 
(a) DEFINITIONS.—In this section: 
(1) 
AUTHORIZED
PRODUCER
PRICE
INDEX.—The 
term 
‘‘authorized Producer Price Index’’ includes— 
(A) the softwood commodity index (code number WPU 
0811); 
(B) the hardwood commodity index (code number WPU 
0812); 
(C) 
the 
wood 
chip 
index 
(code 
number 
PCU 
3211133211135); and 
(D) any other subsequent comparable index, as estab-
lished by the Bureau of Labor Statistics of the Department 
of Labor and utilized by the Secretary of Agriculture. 
(2) QUALIFYING CONTRACT.—The term ‘‘qualifying contract’’ 
means a contract for the sale of timber on National Forest 
System land— 
(A) that was awarded during the period beginning 
on July 1, 2004, and ending on December 31, 2006; 
(B) for which there is unharvested volume remaining; 
(C) for which, not later than 90 days after the date 
of enactment of this Act, the timber purchaser makes a 
written request to the Secretary for one or more of the 
options described in subsection (b); 
(D) that is not a salvage sale; 
(E) for which the Secretary determines there is not 
an urgent need to harvest due to deteriorating timber 
conditions that developed after the award of the contract; 
and 
(F) that is not in breach or in default. 
(3) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of Agriculture, acting through the Chief of the Forest Service. 
(b) OPTIONS FOR QUALIFYING CONTRACTS.— 
(1) CANCELLATION OR RATE REDETERMINATION.—Notwith-
standing any other provision of law, if the rate at which a 
qualifying contract would be advertised as of the date of enact-
ment of this Act is at least 50 percent less than the sum 
of the original bid rates for all of the species of timber that 
are the subject of the qualifying contract, the Secretary may, 
at the sole discretion of the Secretary— 
(A) cancel the qualifying contract if the timber pur-
chaser— 
16 USC 472a 
note. 
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122 STAT. 1301 
PUBLIC LAW 110–234—MAY 22, 2008 
(i) pays 30 percent of the total value of the timber 
remaining in the qualifying contract based on bid rates; 
(ii) 
completes 
each 
contractual 
obligation 
(including the removal of downed timber, the comple-
tion of road work, and the completion of erosion control 
work) of the timber purchaser with respect to each 
unit on which harvest has begun to a logical stopping 
point, as determined by the Secretary after consulta-
tion with the timber purchaser; and 
(iii) terminates its rights under the qualifying con-
tract; or 
(B) modify the qualifying contract to redetermine the 
current contract rate of the qualifying contract to equal 
the sum obtained by adding— 
(i) 25 percent of the bid premium on the qualifying 
contract; and 
(ii) the rate at which the qualifying contract would 
be advertised as of the date of enactment of this Act. 
(2) SUBSTITUTION OF INDEX.— 
(A) SUBSTITUTION.—Notwithstanding any other provi-
sion of law, the Secretary may, at the sole discretion of 
the Secretary, substitute the Producer Price Index specified 
in the qualifying contract of a timber purchaser if the 
timber purchaser identifies— 
(i) the products the timber purchaser intends to 
produce from the timber harvested under the quali-
fying contract; and 
(ii) a substitute index from an authorized Producer 
Price Index that more accurately represents the 
predominant product identified in clause (i) for which 
there is an index. 
(B) RATE REDETERMINATION FOLLOWING SUBSTITUTION 
OF INDEX.—If the Secretary substitutes the Producer Price 
Index of a qualifying contract under subparagraph (A), 
the Secretary may, at the sole discretion of the Secretary, 
modify the qualifying contract to provide for— 
(i) an emergency rate redetermination under the 
terms of the contract; or 
(ii) a rate redetermination under paragraph (1)(B). 
(C) LIMITATION ON MARKET-RELATED CONTRACT TERM 
ADDITION; PERIODIC PAYMENTS.—Notwithstanding any other 
provision of law, if the Secretary substitutes the Producer 
Price Index of a qualifying contract under subparagraph 
(A), the Secretary may, at the sole discretion of the Sec-
retary, modify the qualifying contract— 
(i) to adjust the term in accordance with the 
market-related contract term addition provision in the 
qualifying contract and section 223.52 of title 36, Code 
of Federal Regulations, as in effect on the date of 
the adjustment, but only if the drastic reduction cri-
teria in such section are met for 2 or more consecutive 
calendar year quarters beginning with the calendar 
quarter in which the Secretary substitutes the Pro-
ducer Price Index under subparagraph (A); and 
(ii) to adjust the periodic payments required under 
the contract in accordance with applicable law and 
policies. 
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122 STAT. 1302 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) CONTRACTS
USING
HARDWOOD
LUMBER
INDEX.—With 
respect to a qualifying contract using the hardwood commodity 
index referred to in subsection (a)(1)(B) for which the Secretary 
does not substitute the Producer Price Index under paragraph 
(2), the Secretary may, at the sole discretion of the Secretary— 
(A) extend the contract term for a 1-year period begin-
ning on the current contract termination date; and 
(B) adjust the periodic payments required under the 
contract in accordance with applicable law and policies. 
(c) EXTENSION OF MARKET-RELATED CONTRACT TERM ADDITION 
TIME LIMIT FOR CERTAIN CONTRACTS.—Notwithstanding any other 
provision of law, upon the written request of a timber purchaser, 
the Secretary may, at the sole discretion of the Secretary, modify 
a timber sale contract (including a qualifying contract) awarded 
to the purchaser before January 1, 2007, to adjust the term of 
the contract in accordance with the market-related contract term 
addition provision in the contract and section 223.52 of title 36, 
Code of Federal Regulations, as in effect on the date of the modifica-
tion, except that the Secretary may add no more than 4 years 
to the original contract length. 
(d) EFFECT OF OPTIONS.— 
(1) NO SURRENDER OF CLAIMS.—Operation of this section 
shall not have the effect of surrendering any claim by the 
United States against any timber purchaser that arose— 
(A) under a qualifying contract before the date on 
which the Secretary cancels the contract or redetermines 
the rate under subsection (b)(1), substitutes a Producer 
Price Index under subsection (b)(2), or modifies the contract 
under subsection (b)(3); or 
(B) under a timber sale contract, including a qualifying 
contract, before the date on which the Secretary adjusts 
the contract term under subsection (c). 
(2) RELEASE OF LIABILITY.—In the written request for any 
option provided under subsections (b) and (c), a timber pur-
chaser shall release the United States from all liability, 
including further consideration or compensation, resulting 
from— 
(A) the cancellation of a qualifying contract of the 
purchaser or rate redetermination under subsection (b)(1), 
the substitution of a Producer Price Index under subsection 
(b)(2), the modification of the contract under subsection 
(b)(3) or a determination by the Secretary not to provide 
the cancellation, redetermination, substitution, or modifica-
tion; or 
(B) the modification of the term of a timber sale con-
tract (including a qualifying contract) of the purchaser 
under subsection (c) or a determination by the Secretary 
not to provide the modification. 
(3) LIMITATION.—Subject to subsection (b)(1)(A), the can-
cellation of a qualifying contract by the Secretary under sub-
section (b)(1) shall release the timber purchaser from further 
obligation under the canceled contract. 
SEC. 8402. HISPANIC-SERVING INSTITUTION AGRICULTURAL LAND 
NATIONAL RESOURCES LEADERSHIP PROGRAM. 
(a) DEFINITION OF HISPANIC-SERVING INSTITUTION.—In this sec-
tion, the term ‘‘Hispanic-serving institution’’ has the meaning given 
16 USC 1649a. 
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122 STAT. 1303 
PUBLIC LAW 110–234—MAY 22, 2008 
that term in section 502(a)(5) of the Higher Education Act of 1965 
(20 U.S.C. 1101a(a)(5)). 
(b) GRANT AUTHORITY.—The Secretary of Agriculture may make 
grants, on a competitive basis, to Hispanic-serving institutions for 
the purpose of establishing an undergraduate scholarship program 
to assist in the recruitment, retention, and training of Hispanics 
and other under-represented groups in forestry and related fields. 
(c) USE OF GRANT FUNDS.—Grants made under this section 
shall be used to recruit, retain, train, and develop professionals 
to work in forestry and related fields with Federal agencies, such 
as the Forest Service, State agencies, and private-sector entities. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to the Secretary for each of fiscal years 2008 
through 2012 such sums as may be necessary to carry out this 
section. 
TITLE IX—ENERGY 
SEC. 9001. ENERGY. 
(a) IN GENERAL.—Title IX of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 8101 et seq.) is amended to 
read as follows: 
‘‘TITLE IX—ENERGY 
‘‘SEC. 9001. DEFINITIONS. 
‘‘Except as otherwise provided, in this title: 
‘‘(1) ADMINISTRATOR.—The term ‘Administrator’ means the 
Administrator of the Environmental Protection Agency. 
‘‘(2) ADVISORY COMMITTEE.—The term ‘Advisory Committee’ 
means the Biomass Research and Development Technical 
Advisory Committee established by section 9008(d)(1). 
‘‘(3) ADVANCED BIOFUEL.— 
‘‘(A) IN GENERAL.—The term ‘advanced biofuel’ means 
fuel derived from renewable biomass other than corn kernel 
starch. 
‘‘(B) INCLUSIONS.—Subject to subparagraph (A), the 
term ‘advanced biofuel’ includes— 
‘‘(i) biofuel derived from cellulose, hemicellulose, 
or lignin; 
‘‘(ii) biofuel derived from sugar and starch (other 
than ethanol derived from corn kernel starch); 
‘‘(iii) biofuel derived from waste material, including 
crop residue, other vegetative waste material, animal 
waste, food waste, and yard waste; 
‘‘(iv) diesel-equivalent fuel derived from renewable 
biomass, including vegetable oil and animal fat; 
‘‘(v) biogas (including landfill gas and sewage waste 
treatment gas) produced through the conversion of 
organic matter from renewable biomass; 
‘‘(vi) butanol or other alcohols produced through 
the conversion of organic matter from renewable bio-
mass; and 
‘‘(vii) other fuel derived from cellulosic biomass. 
7 USC 8101. 
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122 STAT. 1304 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(4) BIOBASED
PRODUCT.—The term ‘biobased product’ 
means a product determined by the Secretary to be a commer-
cial or industrial product (other than food or feed) that is— 
‘‘(A) composed, in whole or in significant part, of 
biological products, including renewable domestic agricul-
tural materials and forestry materials; or 
‘‘(B) an intermediate ingredient or feedstock. 
‘‘(5) BIOFUEL.—The term ‘biofuel’ means a fuel derived 
from renewable biomass. 
‘‘(6) BIOMASS
CONVERSION
FACILITY.—The term ‘biomass 
conversion facility’ means a facility that converts or proposes 
to convert renewable biomass into— 
‘‘(A) heat; 
‘‘(B) power; 
‘‘(C) biobased products; or 
‘‘(D) advanced biofuels. 
‘‘(7) BIOREFINERY.—The term ‘biorefinery’ means a facility 
(including equipment and processes) that— 
‘‘(A) converts renewable biomass into biofuels and 
biobased products; and 
‘‘(B) may produce electricity. 
‘‘(8) BOARD.—The term ‘Board’ means the Biomass 
Research and Development Board established by section 
9008(c). 
‘‘(9) INDIAN TRIBE.—The term ‘Indian tribe’ has the meaning 
given the term in section 4 of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b). 
‘‘(10) INSTITUTION
OF
HIGHER
EDUCATION.—The term 
‘institution of higher education’ has the meaning given the 
term in section 102(a) of the Higher Education Act of 1965 
(20 U.S.C. 1002(a)). 
‘‘(11) INTERMEDIATE INGREDIENT OR FEEDSTOCK.—The term 
‘intermediate ingredient or feedstock’ means a material or com-
pound made in whole or in significant part from biological 
products, including renewable agricultural materials (including 
plant, animal, and marine materials) or forestry materials, 
that are subsequently used to make a more complex compound 
or product. 
‘‘(12) RENEWABLE BIOMASS.—The term ‘renewable biomass’ 
means— 
‘‘(A) materials, pre-commercial thinnings, or invasive 
species from National Forest System land and public lands 
(as defined in section 103 of the Federal Land Policy and 
Management Act of 1976 (43 U.S.C. 1702)) that— 
‘‘(i) are byproducts of preventive treatments that 
are removed— 
‘‘(I) to reduce hazardous fuels; 
‘‘(II) to reduce or contain disease or insect 
infestation; or 
‘‘(III) to restore ecosystem health; 
‘‘(ii) would not otherwise be used for higher-value 
products; and 
‘‘(iii) are harvested in accordance with— 
‘‘(I) applicable law and land management 
plans; and 
‘‘(II) the requirements for— 
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122 STAT. 1305 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(aa) old-growth maintenance, restoration, 
and management direction of paragraphs (2), 
(3), and (4) of subsection (e) of section 102 
of the Healthy Forests Restoration Act of 2003 
(16 U.S.C. 6512); and 
‘‘(bb) large-tree retention of subsection (f) 
of that section; or 
‘‘(B) any organic matter that is available on a renew-
able or recurring basis from non-Federal land or land 
belonging to an Indian or Indian tribe that is held in 
trust by the United States or subject to a restriction against 
alienation imposed by the United States, including— 
‘‘(i) renewable plant material, including— 
‘‘(I) feed grains; 
‘‘(II) other agricultural commodities; 
‘‘(III) other plants and trees; and 
‘‘(IV) algae; and 
‘‘(ii) waste material, including— 
‘‘(I) crop residue; 
‘‘(II) other vegetative waste material (including 
wood waste and wood residues); 
‘‘(III) animal waste and byproducts (including 
fats, oils, greases, and manure); and 
‘‘(IV) food waste and yard waste. 
‘‘(13) RENEWABLE ENERGY.—The term ‘renewable energy’ 
means energy derived from— 
‘‘(A) a wind, solar, renewable biomass, ocean (including 
tidal, wave, current, and thermal), geothermal, or hydro-
electric source; or 
‘‘(B) hydrogen derived from renewable biomass or water 
using an energy source described in subparagraph (A). 
‘‘(14) SECRETARY.—The term ‘Secretary’ means the Sec-
retary of Agriculture. 
‘‘SEC. 9002. BIOBASED MARKETS PROGRAM. 
‘‘(a) FEDERAL PROCUREMENT OF BIOBASED PRODUCTS.— 
‘‘(1) DEFINITION OF PROCURING AGENCY.—In this subsection, 
the term ‘procuring agency’ means— 
‘‘(A) any Federal agency that is using Federal funds 
for procurement; or 
‘‘(B) a person that is a party to a contract with any 
Federal agency, with respect to work performed under such 
a contract. 
‘‘(2) PROCUREMENT PREFERENCE.— 
‘‘(A) IN GENERAL.— 
‘‘(i) PROCURING AGENCY DUTIES.—Except as pro-
vided in clause (ii) and subparagraph (B), after the 
date specified in applicable guidelines prepared pursu-
ant to paragraph (3), each procuring agency shall— 
‘‘(I) establish a procurement program, develop 
procurement specifications, and procure biobased 
products identified under the guidelines described 
in paragraph (3) in accordance with this section; 
and 
‘‘(II) with respect to items described in the 
guidelines, give a procurement preference to those 
items that— 
7 USC 8102. 
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122 STAT. 1306 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(aa) are composed of the highest percent-
age of biobased products practicable; or 
‘‘(bb) comply with the regulations issued 
under section 103 of Public Law 100–556 (42 
U.S.C. 6914b–1). 
‘‘(ii) EXCEPTION.—The requirements of clause (i)(I) 
to establish a procurement program and develop 
procurement specifications shall not apply to a person 
described in paragraph (1)(B). 
‘‘(B) FLEXIBILITY.—Notwithstanding subparagraph (A), 
a procuring agency may decide not to procure items 
described in that subparagraph if the procuring agency 
determines that the items— 
‘‘(i) are not reasonably available within a reason-
able period of time; 
‘‘(ii) fail to meet— 
‘‘(I) the performance standards set forth in 
the applicable specifications; or 
‘‘(II) the reasonable performance standards of 
the procuring agencies; or 
‘‘(iii) are available only at an unreasonable price. 
‘‘(C) MINIMUM REQUIREMENTS.—Each procurement pro-
gram required under this subsection shall, at a minimum— 
‘‘(i) be consistent with applicable provisions of Fed-
eral procurement law; 
‘‘(ii) ensure that items composed of biobased prod-
ucts will be purchased to the maximum extent prac-
ticable; 
‘‘(iii) include a component to promote the procure-
ment program; 
‘‘(iv) provide for an annual review and monitoring 
of the effectiveness of the procurement program; and 
‘‘(v) adopt 1 of the 2 polices described in subpara-
graph (D) or (E), or a policy substantially equivalent 
to either of those policies. 
‘‘(D) CASE-BY-CASE POLICY.— 
‘‘(i) IN GENERAL.—Subject to subparagraph (B) and 
except as provided in clause (ii), a procuring agency 
adopting the case-by-case policy shall award a contract 
to the vendor offering an item composed of the highest 
percentage of biobased products practicable. 
‘‘(ii) EXCEPTION.—Subject to subparagraph (B), an 
agency adopting the policy described in clause (i) may 
make an award to a vendor offering items with less 
than the maximum biobased products content. 
‘‘(E) 
MINIMUM
CONTENT
STANDARDS.—Subject 
to 
subparagraph (B), a procuring agency adopting the min-
imum content standards policy shall establish minimum 
biobased products content specifications for awarding con-
tracts in a manner that ensures that the biobased products 
content required is consistent with this subsection. 
‘‘(F) CERTIFICATION.—After the date specified in any 
applicable guidelines prepared pursuant to paragraph (3), 
contracting offices shall require that vendors certify that 
the biobased products to be used in the performance of 
the contract will comply with the applicable specifications 
or other contractual requirements. 
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122 STAT. 1307 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) GUIDELINES.— 
‘‘(A) IN GENERAL.—The Secretary, after consultation 
with the Administrator, the Administrator of General Serv-
ices, and the Secretary of Commerce (acting through the 
Director of the National Institute of Standards and Tech-
nology), shall prepare, and from time to time revise, guide-
lines for the use of procuring agencies in complying with 
the requirements of this subsection. 
‘‘(B) REQUIREMENTS.—The guidelines under this para-
graph shall— 
‘‘(i) designate those items (including finished prod-
ucts) that are or can be produced with biobased prod-
ucts (including biobased products for which there is 
only a single product or manufacturer in the category) 
that will be subject to the preference described in para-
graph (2); 
‘‘(ii) designate those intermediate ingredients and 
feedstocks that are or can be used to produce items 
that will be subject to the preference described in para-
graph (2); 
‘‘(iii) automatically designate items composed of 
intermediate ingredients and feedstocks designated 
under clause (ii), if the content of the designated inter-
mediate ingredients and feedstocks exceeds 50 percent 
of the item (unless the Secretary determines a different 
composition percentage is appropriate); 
‘‘(iv) set forth recommended practices with respect 
to the procurement of biobased products and items 
containing such materials; 
‘‘(v) provide information as to the availability, rel-
ative price, performance, and environmental and public 
health benefits of such materials and items; and 
‘‘(vi) take effect on the date established in the 
guidelines, which may not exceed 1 year after publica-
tion. 
‘‘(C) INFORMATION
PROVIDED.—Information provided 
pursuant to subparagraph (B)(v) with respect to a material 
or item shall be considered to be provided for another 
item made with the same material or item. 
‘‘(D) PROHIBITION.—Guidelines issued under this para-
graph may not require a manufacturer or vendor of 
biobased products, as a condition of the purchase of 
biobased products from the manufacturer or vendor, to 
provide to procuring agencies more data than would be 
required to be provided by other manufacturers or vendors 
offering products for sale to a procuring agency, other than 
data confirming the biobased content of a product. 
‘‘(E) QUALIFYING
PURCHASES.—The guidelines shall 
apply with respect to any purchase or acquisition of a 
procurement item for which— 
‘‘(i) the purchase price of the item exceeds $10,000; 
or 
‘‘(ii) the quantity of the items or of functionally- 
equivalent items purchased or acquired during the pre-
ceding fiscal year was at least $10,000. 
‘‘(4) ADMINISTRATION.— 
Effective date. 
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122 STAT. 1308 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) OFFICE OF FEDERAL PROCUREMENT POLICY.—The 
Office of Federal Procurement Policy, in cooperation with 
the Secretary, shall— 
‘‘(i) coordinate the implementation of this sub-
section with other policies for Federal procurement; 
‘‘(ii) annually collect the information required to 
be reported under subparagraph (B) and make the 
information publicly available; 
‘‘(iii) take a leading role in informing Federal agen-
cies concerning, and promoting the adoption of and 
compliance 
with, 
procurement 
requirements 
for 
biobased products by Federal agencies; and 
‘‘(iv) not less than once every 2 years, submit to 
Congress a report that— 
‘‘(I) describes the progress made in carrying 
out this subsection; and 
‘‘(II) contains a summary of the information 
reported pursuant to subparagraph (B). 
‘‘(B) OTHER AGENCIES.—To assist the Office of Federal 
Procurement Policy in carrying out subparagraph (A)— 
‘‘(i) each procuring agency shall submit each year 
to the Office of Federal Procurement Policy, to the 
maximum extent practicable, information concerning— 
‘‘(I) actions taken to implement paragraph (2); 
‘‘(II) the results of the annual review and mon-
itoring program established under paragraph 
(2)(C)(iv); 
‘‘(III) the number and dollar value of contracts 
entered into during the year that include the direct 
procurement of biobased products; 
‘‘(IV) the number of service and construction 
(including renovations) contracts entered into 
during the year that include language on the use 
of biobased products; and 
‘‘(V) the types and dollar value of biobased 
products actually used by contractors in carrying 
out service and construction (including renova-
tions) contracts during the previous year; and 
‘‘(ii) the General Services Administration and the 
Defense Logistics Agency shall submit each year to 
the Office of Federal Procurement Policy information 
concerning, to the maximum extent practicable, the 
types and dollar value of biobased products purchased 
by procuring agencies. 
‘‘(C) PROCUREMENT
SUBJECT
TO
OTHER
LAW.—Any 
procurement by any Federal agency that is subject to regu-
lations of the Administrator under section 6002 of the 
Solid Waste Disposal Act (42 U.S.C. 6962) shall not be 
subject to the requirements of this section to the extent 
that the requirements are inconsistent with the regula-
tions. 
‘‘(b) LABELING.— 
‘‘(1) IN GENERAL.—The Secretary, in consultation with the 
Administrator, shall establish a voluntary program under which 
the Secretary authorizes producers of biobased products to use 
the label ‘USDA Certified Biobased Product’. 
‘‘(2) ELIGIBILITY CRITERIA.— 
Reports. 
Deadline. 
Reports. 
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122 STAT. 1309 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) CRITERIA.— 
‘‘(i) IN
GENERAL.—Not later than 90 days after 
the date of the enactment of the Food, Conservation, 
and Energy Act of 2008 and except as provided in 
clause (ii), the Secretary, in consultation with the 
Administrator and representatives from small and 
large businesses, academia, other Federal agencies, 
and such other persons as the Secretary considers 
appropriate, shall issue criteria (as of the date of enact-
ment of that Act) for determining which products may 
qualify to receive the label under paragraph (1). 
‘‘(ii) EXCEPTION.—Clause (i) shall not apply to final 
criteria that have been issued (as of the date of enact-
ment of that Act) by the Secretary. 
‘‘(B) REQUIREMENTS.—Criteria issued under subpara-
graph (A) shall— 
‘‘(i) encourage the purchase of products with the 
maximum biobased content; 
‘‘(ii) provide that the Secretary may designate as 
biobased for the purposes of the voluntary program 
established under this subsection finished products 
that contain significant portions of biobased materials 
or components; and 
‘‘(iii) to the maximum extent practicable, be con-
sistent with the guidelines issued under subsection 
(a)(3). 
‘‘(3) USE OF LABEL.—The Secretary shall ensure that the 
label referred to in paragraph (1) is used only on products 
that meet the criteria issued pursuant to paragraph (2). 
‘‘(c) RECOGNITION.—The Secretary shall— 
‘‘(1) establish a program to recognize Federal agencies and 
private entities that use a substantial amount of biobased prod-
ucts; and 
‘‘(2) encourage Federal agencies to establish incentives pro-
grams to recognize Federal employees or contractors that make 
exceptional contributions to the expanded use of biobased prod-
ucts. 
‘‘(d) LIMITATION.—Nothing in this section shall apply to the 
procurement of motor vehicle fuels, heating oil, or electricity. 
‘‘(e) INCLUSION.—Effective beginning on the date that is 90 
days after the date of enactment of the Food, Conservation, and 
Energy Act of 2008, the Architect of the Capitol, the Sergeant 
at Arms of the Senate, and the Chief Administrative Officer of 
the House of Representatives shall consider the biobased product 
designations made under this section in making procurement 
decisions for the Capitol Complex. 
‘‘(f) NATIONAL TESTING CENTER REGISTRY.—The Secretary shall 
establish a national registry of testing centers for biobased products 
that will serve biobased product manufacturers. 
‘‘(g) REPORTS.— 
‘‘(1) IN GENERAL.—Not later than 180 days after the date 
of enactment of the Food, Conservation, and Energy Act of 
2008 and each year thereafter, the Secretary shall submit to 
Congress a report on the implementation of this section. 
‘‘(2) CONTENTS.—The report shall include— 
‘‘(A) a comprehensive management plan that estab-
lishes tasks, milestones, and timelines, organizational roles 
Establishment. 
Effective date. 
Deadline. 
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122 STAT. 1310 
PUBLIC LAW 110–234—MAY 22, 2008 
and responsibilities, and funding allocations for fully imple-
menting this section; and 
‘‘(B) information on the status of implementation of— 
‘‘(i) item designations (including designation of 
intermediate ingredients and feedstocks); and 
‘‘(ii) the voluntary labeling program established 
under subsection (b). 
‘‘(h) FUNDING.— 
‘‘(1) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall use to provide manda-
tory funding for biobased products testing and labeling as 
required to carry out this section— 
‘‘(A) $1,000,000 for fiscal year 2008; and 
‘‘(B) $2,000,000 for each of fiscal years 2009 through 
2012. 
‘‘(2) DISCRETIONARY FUNDING.—In addition to any other 
funds made available to carry out this section, there is author-
ized to be appropriated to carry out this section $2,000,000 
for each of fiscal years 2009 through 2012. 
‘‘SEC. 9003. BIOREFINERY ASSISTANCE. 
‘‘(a) PURPOSE.—The purpose of this section is to assist in the 
development of new and emerging technologies for the development 
of advanced biofuels, so as to— 
‘‘(1) increase the energy independence of the United States; 
‘‘(2) promote resource conservation, public health, and the 
environment; 
‘‘(3) diversify markets for agricultural and forestry products 
and agriculture waste material; and 
‘‘(4) create jobs and enhance the economic development 
of the rural economy. 
‘‘(b) DEFINITIONS.—In this section: 
‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible entity’ means an 
individual, entity, Indian tribe, or unit of State or local govern-
ment, including a corporation, farm cooperative, farmer coopera-
tive 
organization, 
association 
of 
agricultural 
producers, 
National Laboratory, institution of higher education, rural elec-
tric cooperative, public power entity, or consortium of any of 
those entities. 
‘‘(2) ELIGIBLE TECHNOLOGY.—The term ‘eligible technology’ 
means, as determined by the Secretary— 
‘‘(A) a technology that is being adopted in a viable 
commercial-scale operation of a biorefinery that produces 
an advanced biofuel; and 
‘‘(B) a technology not described in subparagraph (A) 
that has been demonstrated to have technical and economic 
potential for commercial application in a biorefinery that 
produces an advanced biofuel. 
‘‘(c) ASSISTANCE.—The Secretary shall make available to eligible 
entities— 
‘‘(1) grants to assist in paying the costs of the development 
and construction of demonstration-scale biorefineries to dem-
onstrate the commercial viability of 1 or more processes for 
converting renewable biomass to advanced biofuels; and 
‘‘(2) guarantees for loans made to fund the development, 
construction, and retrofitting of commercial-scale biorefineries 
using eligible technology. 
7 USC 8103. 
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122 STAT. 1311 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(d) GRANTS.— 
‘‘(1) COMPETITIVE BASIS.—The Secretary shall award grants 
under subsection (c)(1) on a competitive basis. 
‘‘(2) SELECTION CRITERIA.— 
‘‘(A) IN GENERAL.—In approving grant applications, the 
Secretary shall establish a priority scoring system that 
assigns priority scores to each application and only approve 
applications that exceed a specified minimum, as deter-
mined by the Secretary. 
‘‘(B) FEASIBILITY.—In approving a grant application, 
the Secretary shall determine the technical and economic 
feasibility of the project based on a feasibility study of 
the project described in the application conducted by an 
independent third party. 
‘‘(C) SCORING
SYSTEM.—In determining the priority 
scoring system, the Secretary shall consider— 
‘‘(i) the potential market for the advanced biofuel 
and the byproducts produced; 
‘‘(ii) the level of financial participation by the 
applicant, including support from non-Federal and pri-
vate sources; 
‘‘(iii) whether the applicant is proposing to use 
a feedstock not previously used in the production of 
advanced biofuels; 
‘‘(iv) whether the applicant is proposing to work 
with producer associations or cooperatives; 
‘‘(v) whether the applicant has established that 
the adoption of the process proposed in the application 
will have a positive impact on resource conservation, 
public health, and the environment; 
‘‘(vi) the potential for rural economic development; 
‘‘(vii) whether the area in which the applicant pro-
poses to locate the biorefinery has other similar facili-
ties; 
‘‘(viii) whether the project can be replicated; and 
‘‘(ix) scalability for commercial use. 
‘‘(3) COST SHARING.— 
‘‘(A) LIMITS.—The amount of a grant awarded for 
development and construction of a biorefinery under sub-
section (c)(1) shall not exceed an amount equal to 30 per-
cent of the cost of the project. 
‘‘(B) FORM OF GRANTEE SHARE.— 
‘‘(i) IN GENERAL.—The grantee share of the cost 
of a project may be made in the form of cash or mate-
rial. 
‘‘(ii) LIMITATION.—The amount of the grantee share 
that is made in the form of material shall not exceed 
15 percent of the amount of the grantee share deter-
mined under subparagraph (A). 
‘‘(e) LOAN GUARANTEES.— 
‘‘(1) SELECTION CRITERIA.— 
‘‘(A) IN
GENERAL.—In approving loan guarantee 
applications, the Secretary shall establish a priority scoring 
system that assigns priority scores to each application and 
only approve applications that exceed a specified minimum, 
as determined by the Secretary. 
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122 STAT. 1312 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) FEASIBILITY.—In approving a loan guarantee 
application, the Secretary shall determine the technical 
and economic feasibility of the project based on a feasibility 
study of the project described in the application conducted 
by an independent third party. 
‘‘(C) SCORING
SYSTEM.—In determining the priority 
scoring system for loan guarantees under subsection (c)(2), 
the Secretary shall consider— 
‘‘(i) whether the applicant has established a market 
for the advanced biofuel and the byproducts produced; 
‘‘(ii) whether the area in which the applicant pro-
poses to place the biorefinery has other similar facili-
ties; 
‘‘(iii) whether the applicant is proposing to use 
a feedstock not previously used in the production of 
advanced biofuels; 
‘‘(iv) whether the applicant is proposing to work 
with producer associations or cooperatives; 
‘‘(v) the level of financial participation by the 
applicant, including support from non-Federal and pri-
vate sources; 
‘‘(vi) whether the applicant has established that 
the adoption of the process proposed in the application 
will have a positive impact on resource conservation, 
public health, and the environment; 
‘‘(vii) whether the applicant can establish that if 
adopted, the biofuels production technology proposed 
in the application will not have any significant negative 
impacts on existing manufacturing plants or other 
facilities that use similar feedstocks; 
‘‘(viii) the potential for rural economic develop-
ment; 
‘‘(ix) the level of local ownership proposed in the 
application; and 
‘‘(x) whether the project can be replicated. 
‘‘(2) LIMITATIONS.— 
‘‘(A) MAXIMUM AMOUNT OF LOAN GUARANTEED.—The 
principal amount of a loan guaranteed under subsection 
(c)(2) may not exceed $250,000,000. 
‘‘(B) MAXIMUM PERCENTAGE OF LOAN GUARANTEED.— 
‘‘(i) IN
GENERAL.—Except as otherwise provided 
in this subparagraph, a loan guaranteed under sub-
section (c)(2) shall be in an amount not to exceed 
80 percent of the project costs, as determined by the 
Secretary. 
‘‘(ii) 
OTHER
DIRECT
FEDERAL
FUNDING.—The 
amount of a loan guaranteed for a project under sub-
section (c)(2) shall be reduced by the amount of other 
direct Federal funding that the eligible entity receives 
for the same project. 
‘‘(iii) AUTHORITY TO GUARANTEE THE LOAN.—The 
Secretary may guarantee up to 90 percent of the prin-
cipal and interest due on a loan guaranteed under 
subsection (c)(2). 
‘‘(C) LOAN
GUARANTEE
FUND
DISTRIBUTION.—Of the 
funds made available for loan guarantees for a fiscal year 
under subsection (h), 50 percent of the funds shall be 
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122 STAT. 1313 
PUBLIC LAW 110–234—MAY 22, 2008 
reserved for obligation during the second half of the fiscal 
year. 
‘‘(f) CONSULTATION.—In carrying out this section, the Secretary 
shall consult with the Secretary of Energy. 
‘‘(g) CONDITION ON PROVISION OF ASSISTANCE.— 
‘‘(1) IN GENERAL.—As a condition of receiving a grant or 
loan guarantee under this section, an eligible entity shall 
ensure that all laborers and mechanics employed by contractors 
or subcontractors in the performance of construction work 
financed, in whole or in part, with the grant or loan guarantee, 
as the case may be, shall be paid wages at rates not less 
than those prevailing on similar construction in the locality, 
as determined by the Secretary of Labor in accordance with 
sections 3141 through 3144, 3146, and 3147 of title 40, United 
States Code. 
‘‘(2) AUTHORITY AND FUNCTIONS.—The Secretary of Labor 
shall have, with respect to the labor standards described in 
paragraph (1), the authority and functions set forth in Reorga-
nization Plan Numbered 14 of 1950 (5 U.S.C. App) and section 
3145 of title 40, United States Code. 
‘‘(h) FUNDING.— 
‘‘(1) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall use for the cost of 
loan guarantees under this section, to remain available until 
expended— 
‘‘(A) $75,000,000 for fiscal year 2009; and 
‘‘(B) $245,000,000 for fiscal year 2010. 
‘‘(2) DISCRETIONARY FUNDING.—In addition to any other 
funds made available to carry out this section, there is author-
ized to be appropriated to carry out this section $150,000,000 
for each of fiscal years 2009 through 2012. 
‘‘SEC. 9004. REPOWERING ASSISTANCE. 
‘‘(a) IN GENERAL.—The Secretary shall carry out a program 
to encourage biorefineries in existence on the date of enactment 
of the Food, Conservation, and Energy Act of 2008 to replace fossil 
fuels used to produce heat or power to operate the biorefineries 
by making payments for— 
‘‘(1) the installation of new systems that use renewable 
biomass; or 
‘‘(2) the new production of energy from renewable biomass. 
‘‘(b) PAYMENTS.— 
‘‘(1) IN
GENERAL.—The Secretary may make payments 
under this section to any biorefinery that meets the require-
ments of this section for a period determined by the Secretary. 
‘‘(2) AMOUNT.—The Secretary shall determine the amount 
of payments to be made under this section to a biorefinery 
after considering— 
‘‘(A) the quantity of fossil fuels a renewable biomass 
system is replacing; 
‘‘(B) the percentage reduction in fossil fuel used by 
the biorefinery that will result from the installation of 
the renewable biomass system; and 
‘‘(C) the cost and cost effectiveness of the renewable 
biomass system. 
‘‘(c) ELIGIBILITY.—To be eligible to receive a payment under 
this section, a biorefinery shall demonstrate to the Secretary that 
7 USC 8104. 
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122 STAT. 1314 
PUBLIC LAW 110–234—MAY 22, 2008 
the renewable biomass system of the biorefinery is feasible based 
on an independent feasibility study that takes into account the 
economic, technical and environmental aspects of the system. 
‘‘(d) FUNDING.— 
‘‘(1) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall use to make payments 
under this section $35,000,000 for fiscal year 2009, to remain 
available until expended. 
‘‘(2) DISCRETIONARY FUNDING.—In addition to any other 
funds made available to carry out this section, there is author-
ized to be appropriated to carry out this section $15,000,000 
for each of fiscal years 2009 through 2012. 
‘‘SEC. 9005. BIOENERGY PROGRAM FOR ADVANCED BIOFUELS. 
‘‘(a) DEFINITION OF ELIGIBLE PRODUCER.—In this section, the 
term ‘eligible producer’ means a producer of advanced biofuels. 
‘‘(b) PAYMENTS.—The Secretary shall make payments to eligible 
producers to support and ensure an expanding production of 
advanced biofuels. 
‘‘(c) CONTRACTS.—To receive a payment, an eligible producer 
shall— 
‘‘(1) enter into a contract with the Secretary for production 
of advanced biofuels; and 
‘‘(2) submit to the Secretary such records as the Secretary 
may require as evidence of the production of advanced biofuels. 
‘‘(d) BASIS FOR PAYMENTS.—The Secretary shall make payments 
under this section to eligible producers based on— 
‘‘(1) the quantity and duration of production by the eligible 
producer of an advanced biofuel; 
‘‘(2) the net nonrenewable energy content of the advanced 
biofuel, if sufficient data is available, as determined by the 
Secretary; and 
‘‘(3) other appropriate factors, as determined by the Sec-
retary. 
‘‘(e) EQUITABLE DISTRIBUTION.—The Secretary may limit the 
amount of payments that may be received by a single eligible 
producer under this section in order to distribute the total amount 
of funding available in an equitable manner. 
‘‘(f) OTHER REQUIREMENTS.—To receive a payment under this 
section, an eligible producer shall meet any other requirements 
of Federal and State law (including regulations) applicable to the 
production of advanced biofuels. 
‘‘(g) FUNDING.— 
‘‘(1) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall use to carry out this 
section, to remain available until expended— 
‘‘(A) $55,000,000 for fiscal year 2009; 
‘‘(B) $55,000,000 for fiscal year 2010; 
‘‘(C) $85,000,000 for fiscal year 2011; and 
‘‘(D) $105,000,000 for fiscal year 2012. 
‘‘(2) DISCRETIONARY FUNDING.—In addition to any other 
funds made available to carry out this section, there is author-
ized to be appropriated to carry out this section $25,000,000 
for each of fiscal years 2009 through 2012. 
‘‘(3) LIMITATION.—Of the funds provided for each fiscal 
year, not more than 5 percent of the funds shall be made 
Records. 
7 USC 8105. 
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122 STAT. 1315 
PUBLIC LAW 110–234—MAY 22, 2008 
available to eligible producers for production at facilities with 
a total refining capacity exceeding 150,000,000 gallons per year. 
‘‘SEC. 9006. BIODIESEL FUEL EDUCATION PROGRAM. 
‘‘(a) ESTABLISHMENT.—The Secretary shall, under such terms 
and conditions as the Secretary determines to be appropriate, make 
competitive grants to eligible entities to educate governmental and 
private entities that operate vehicle fleets, other interested entities 
(as determined by the Secretary), and the public about the benefits 
of biodiesel fuel use. 
‘‘(b) ELIGIBLE ENTITIES.—To receive a grant under subsection 
(b), an entity shall— 
‘‘(1) be a nonprofit organization or institution of higher 
education; 
‘‘(2) have demonstrated knowledge of biodiesel fuel produc-
tion, use, or distribution; and 
‘‘(3) have demonstrated the ability to conduct educational 
and technical support programs. 
‘‘(c) CONSULTATION.—In carrying out this section, the Secretary 
shall consult with the Secretary of Energy. 
‘‘(d) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary shall use to carry out this section $1,000,000 
for each of fiscal years 2008 through 2012. 
‘‘SEC. 9007. RURAL ENERGY FOR AMERICA PROGRAM. 
‘‘(a) ESTABLISHMENT.—The Secretary, in consultation with the 
Secretary of Energy, shall establish a Rural Energy for America 
Program to promote energy efficiency and renewable energy 
development for agricultural producers and rural small businesses 
through— 
‘‘(1) grants for energy audits and renewable energy develop-
ment assistance; and 
‘‘(2) financial assistance for energy efficiency improvements 
and renewable energy systems. 
‘‘(b) ENERGY AUDITS AND RENEWABLE ENERGY DEVELOPMENT 
ASSISTANCE.— 
‘‘(1) IN GENERAL.—The Secretary shall make competitive 
grants to eligible entities to provide assistance to agricultural 
producers and rural small businesses— 
‘‘(A) to become more energy efficient; and 
‘‘(B) to use renewable energy technologies and 
resources. 
‘‘(2) ELIGIBLE ENTITIES.—An eligible entity under this sub-
section is— 
‘‘(A) a unit of State, tribal, or local government; 
‘‘(B) a land-grant college or university or other institu-
tion of higher education; 
‘‘(C) a rural electric cooperative or public power entity; 
and 
‘‘(D) any other similar entity, as determined by the 
Secretary. 
‘‘(3) SELECTION
CRITERIA.—In reviewing applications of 
eligible entities to receive grants under paragraph (1), the 
Secretary shall consider— 
‘‘(A) the ability and expertise of the eligible entity 
in providing professional energy audits and renewable 
energy assessments; 
Grants. 
7 USC 8107. 
Grants. 
7 USC 8106. 
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122 STAT. 1316 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the geographic scope of the program proposed 
by the eligible entity in relation to the identified need; 
‘‘(C) the number of agricultural producers and rural 
small businesses to be assisted by the program; 
‘‘(D) the potential of the proposed program to produce 
energy savings and environmental benefits; 
‘‘(E) the plan of the eligible entity for performing out-
reach and providing information and assistance to agricul-
tural producers and rural small businesses on the benefits 
of energy efficiency and renewable energy development; 
and 
‘‘(F) the ability of the eligible entity to leverage other 
sources of funding. 
‘‘(4) USE OF GRANT FUNDS.—A recipient of a grant under 
paragraph (1) shall use the grant funds to assist agricultural 
producers and rural small businesses by— 
‘‘(A) conducting and promoting energy audits; and 
‘‘(B) providing recommendations and information on 
how— 
‘‘(i) to improve the energy efficiency of the oper-
ations of the agricultural producers and rural small 
businesses; and 
‘‘(ii) to use renewable energy technologies and 
resources in the operations. 
‘‘(5) LIMITATION.—Grant recipients may not use more than 
5 percent of a grant for administrative expenses. 
‘‘(6) COST SHARING.—A recipient of a grant under paragraph 
(1) that conducts an energy audit for an agricultural producer 
or rural small business under paragraph (4) shall require that, 
as a condition of the energy audit, the agricultural producer 
or rural small business pay at least 25 percent of the cost 
of the energy audit, which shall be retained by the eligible 
entity for the cost of the energy audit. 
‘‘(c) FINANCIAL ASSISTANCE FOR ENERGY EFFICIENCY IMPROVE-
MENTS AND RENEWABLE ENERGY SYSTEMS.— 
‘‘(1) IN GENERAL.—In addition to any similar authority, 
the Secretary shall provide loan guarantees and grants to agri-
cultural producers and rural small businesses— 
‘‘(A) to purchase renewable energy systems, including 
systems that may be used to produce and sell electricity; 
and 
‘‘(B) to make energy efficiency improvements. 
‘‘(2) AWARD CONSIDERATIONS.—In determining the amount 
of a loan guarantee or grant provided under this section, the 
Secretary shall take into consideration, as applicable— 
‘‘(A) the type of renewable energy system to be pur-
chased; 
‘‘(B) the estimated quantity of energy to be generated 
by the renewable energy system; 
‘‘(C) the expected environmental benefits of the renew-
able energy system; 
‘‘(D) the quantity of energy savings expected to be 
derived from the activity, as demonstrated by an energy 
audit; 
‘‘(E) the estimated period of time for the energy savings 
generated by the activity to equal the cost of the activity; 
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122 STAT. 1317 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(F) the expected energy efficiency of the renewable 
energy system; and 
‘‘(G) other appropriate factors. 
‘‘(3) FEASIBILITY STUDIES.— 
‘‘(A) IN GENERAL.—The Secretary may provide assist-
ance in the form of grants to an agricultural producer 
or rural small business to conduct a feasibility study for 
a project for which assistance may be provided under this 
subsection. 
‘‘(B) LIMITATION.—The Secretary shall use not more 
than 10 percent of the funds made available to carry out 
this subsection to provide assistance described in subpara-
graph (A). 
‘‘(C) AVOIDANCE
OF
DUPLICATIVE
ASSISTANCE.—An 
entity shall be ineligible to receive assistance to carry 
out a feasibility study for a project under this paragraph 
if the entity has received other Federal or State assistance 
for a feasibility study for the project. 
‘‘(4) LIMITS.— 
‘‘(A) GRANTS.—The amount of a grant under this sub-
section shall not exceed 25 percent of the cost of the activity 
carried out using funds from the grant. 
‘‘(B) MAXIMUM
AMOUNT
OF
LOAN
GUARANTEES.—The 
amount of a loan guaranteed under this subsection shall 
not exceed $25,000,000. 
‘‘(C) MAXIMUM AMOUNT OF COMBINED GRANT AND LOAN 
GUARANTEE.—The combined amount of a grant and loan 
guaranteed under this subsection shall not exceed 75 per-
cent of the cost of the activity funded under this subsection. 
‘‘(d) OUTREACH.—The Secretary shall ensure, to the maximum 
extent practicable, that adequate outreach relating to this section 
is being conducted at the State and local levels. 
‘‘(e) LOWER-COST ACTIVITIES.— 
‘‘(1) LIMITATION ON USE OF FUNDS.—Except as provided 
in paragraph (2), the Secretary shall use not less than 20 
percent of the funds made available under subsection (g) to 
provide grants of $20,000 or less. 
‘‘(2) EXCEPTION.—Effective beginning on June 30 of each 
fiscal year, paragraph (1) shall not apply to funds made avail-
able under subsection (g) for the fiscal year. 
‘‘(f) REPORT.—Not later than 4 years after the date of enactment 
of the Food, Conservation, and Energy Act of 2008, the Secretary 
shall submit to Congress a report on the implementation of this 
section, including the outcomes achieved by projects funded under 
this section. 
‘‘(g) FUNDING.— 
‘‘(1) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall use to carry out this 
section, to remain available until expended— 
‘‘(A) $55,000,000 for fiscal year 2009; 
‘‘(B) $60,000,000 for fiscal year 2010; 
‘‘(C) $70,000,000 for fiscal year 2011; and 
‘‘(D) $70,000,000 for fiscal year 2012. 
‘‘(2) AUDIT AND TECHNICAL ASSISTANCE FUNDING.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), of the 
funds made available for each fiscal year under paragraph 
Effective date. 
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122 STAT. 1318 
PUBLIC LAW 110–234—MAY 22, 2008 
(1), 4 percent shall be available to carry out subsection 
(b). 
‘‘(B) OTHER USE.—Funds not obligated under subpara-
graph (A) by April 1 of each fiscal year to carry out sub-
section (b) shall become available to carry out subsection 
(c). 
‘‘(3) DISCRETIONARY FUNDING.—In addition to any other 
funds made available to carry out this section, there is author-
ized to be appropriated to carry out this section $25,000,000 
for each of fiscal years 2009 through 2012. 
‘‘SEC. 9008. BIOMASS RESEARCH AND DEVELOPMENT. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BIOBASED
PRODUCT.—The term ‘biobased product’ 
means— 
‘‘(A) an industrial product (including chemicals, mate-
rials, and polymers) produced from biomass; or 
‘‘(B) a commercial or industrial product (including 
animal feed and electric power) derived in connection with 
the conversion of biomass to fuel. 
‘‘(2) DEMONSTRATION.—The term ‘demonstration’ means 
demonstration of technology in a pilot plant or semi-works 
scale facility, including a plant or facility located on a farm. 
‘‘(3) INITIATIVE.—The term ‘Initiative’ means the Biomass 
Research and Development Initiative established under sub-
section (e). 
‘‘(b) COOPERATION AND COORDINATION IN BIOMASS RESEARCH 
AND DEVELOPMENT.— 
‘‘(1) IN GENERAL.—The Secretary of Agriculture and the 
Secretary of Energy shall coordinate policies and procedures 
that promote research and development regarding the produc-
tion of biofuels and biobased products. 
‘‘(2) POINTS
OF
CONTACT.—To coordinate research and 
development programs and activities relating to biofuels and 
biobased products that are carried out by their respective 
departments— 
‘‘(A) the Secretary of Agriculture shall designate, as 
the point of contact for the Department of Agriculture, 
an officer of the Department of Agriculture appointed by 
the President to a position in the Department before the 
date of the designation, by and with the advice and consent 
of the Senate; and 
‘‘(B) the Secretary of Energy shall designate, as the 
point of contact for the Department of Energy, an officer 
of the Department of Energy appointed by the President 
to a position in the Department before the date of the 
designation, by and with the advice and consent of the 
Senate. 
‘‘(c) BIOMASS RESEARCH AND DEVELOPMENT BOARD.— 
‘‘(1) ESTABLISHMENT.—There is established the Biomass 
Research and Development Board to carry out the duties 
described in paragraph (3). 
‘‘(2) MEMBERSHIP.—The Board shall consist of— 
‘‘(A) the point of contacts of the Department of Energy 
and the Department of Agriculture, who shall serve as 
cochairpersons of the Board; 
7 USC 8108. 
Deadline. 
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122 STAT. 1319 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) a senior officer of each of the Department of the 
Interior, 
the 
Environmental 
Protection 
Agency, 
the 
National Science Foundation, and the Office of Science 
and Technology Policy, each of whom shall have a rank 
that is equivalent to the rank of the points of contact; 
and 
‘‘(C) at the option of the Secretary of Agriculture and 
the Secretary of Energy, other members appointed by the 
Secretaries (after consultation with the Board). 
‘‘(3) DUTIES.—The Board shall— 
‘‘(A) coordinate research and development activities 
relating to biofuels and biobased products— 
‘‘(i) between the Department of Agriculture and 
the Department of Energy; and 
‘‘(ii) with other departments and agencies of the 
Federal Government; 
‘‘(B) provide recommendations to the points of contact 
concerning administration of this title; 
‘‘(C) ensure that— 
‘‘(i) solicitations are open and competitive with 
awards made annually; and 
‘‘(ii) objectives and evaluation criteria of the solici-
tations are clearly stated and minimally prescriptive, 
with no areas of special interest; and 
‘‘(D) ensure that the panel of scientific and technical 
peers assembled under subsection (e) to review proposals 
is composed predominantly of independent experts selected 
from outside the Departments of Agriculture and Energy. 
‘‘(4) FUNDING.—Each agency represented on the Board is 
encouraged to provide funds for any purpose under this section. 
‘‘(5) MEETINGS.—The Board shall meet at least quarterly. 
‘‘(d) 
BIOMASS
RESEARCH
AND
DEVELOPMENT
TECHNICAL 
ADVISORY COMMITTEE.— 
‘‘(1) ESTABLISHMENT.—There is established the Biomass 
Research and Development Technical Advisory Committee to 
carry out the duties described in paragraph (3). 
‘‘(2) MEMBERSHIP.— 
‘‘(A) IN GENERAL.—The Advisory Committee shall con-
sist of— 
‘‘(i) an individual affiliated with the biofuels 
industry; 
‘‘(ii) an individual affiliated with the biobased 
industrial and commercial products industry; 
‘‘(iii) an individual affiliated with an institution 
of higher education who has expertise in biofuels and 
biobased products; 
‘‘(iv) 2 prominent engineers or scientists from 
government or academia who have expertise in biofuels 
and biobased products; 
‘‘(v) an individual affiliated with a commodity trade 
association; 
‘‘(vi) 2 individuals affiliated with environmental 
or conservation organizations; 
‘‘(vii) an individual associated with State govern-
ment who has expertise in biofuels and biobased prod-
ucts; 
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122 STAT. 1320 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(viii) an individual with expertise in energy and 
environmental analysis; 
‘‘(ix) an individual with expertise in the economics 
of biofuels and biobased products; 
‘‘(x) an individual with expertise in agricultural 
economics; 
‘‘(xi) an individual with expertise in plant biology 
and biomass feedstock development; 
‘‘(xii) an individual with expertise in agronomy, 
crop science, or soil science; and 
‘‘(xiii) at the option of the points of contact, other 
members. 
‘‘(B) APPOINTMENT.—The members of the Advisory 
Committee shall be appointed by the points of contact. 
‘‘(3) DUTIES.—The Advisory Committee shall— 
‘‘(A) advise the points of contact with respect to the 
Initiative; and 
‘‘(B) evaluate and make recommendations in writing 
to the Board regarding whether— 
‘‘(i) funds authorized for the Initiative are distrib-
uted and used in a manner that is consistent with 
the objectives, purposes, and considerations of the Ini-
tiative; 
‘‘(ii) solicitations are open and competitive with 
awards made annually; 
‘‘(iii) objectives and evaluation criteria of the solici-
tations are clearly stated and minimally prescriptive, 
with no areas of special interest; 
‘‘(iv) the points of contact are funding proposals 
under this title that are selected on the basis of merit, 
as determined by an independent panel of scientific 
and technical peers predominantly from outside the 
Departments of Agriculture and Energy; and 
‘‘(v) activities under this title are carried out in 
accordance with this title. 
‘‘(4) COORDINATION.—To avoid duplication of effort, the 
Advisory Committee shall coordinate its activities with those 
of other Federal advisory committees working in related areas. 
‘‘(5) MEETINGS.—The Advisory Committee shall meet at 
least quarterly. 
‘‘(6) TERMS.—Members of the Advisory Committee shall 
be appointed for a term of 3 years. 
‘‘(e) BIOMASS RESEARCH AND DEVELOPMENT INITIATIVE.— 
‘‘(1) IN GENERAL.—The Secretary of Agriculture and the 
Secretary of Energy, acting through their respective points 
of contact and in consultation with the Board, shall establish 
and carry out a Biomass Research and Development Initiative 
under which competitively awarded grants, contracts, and 
financial assistance are provided to, or entered into with, 
eligible entities to carry out research on and development and 
demonstration of— 
‘‘(A) biofuels and biobased products; and 
‘‘(B) the methods, practices, and technologies, for the 
production of biofuels and biobased products. 
‘‘(2) OBJECTIVES.—The objectives of the Initiative are to 
develop— 
Establishment. 
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122 STAT. 1321 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) technologies and processes necessary for abundant 
commercial production of biofuels at prices competitive with 
fossil fuels; 
‘‘(B) high-value biobased products— 
‘‘(i) to enhance the economic viability of biofuels 
and power; 
‘‘(ii) to serve as substitutes for petroleum-based 
feedstocks and products; and 
‘‘(iii) to enhance the value of coproducts produced 
using the technologies and processes; and 
‘‘(C) a diversity of economically and environmentally 
sustainable domestic sources of renewable biomass for 
conversion to biofuels, bioenergy, and biobased products. 
‘‘(3) TECHNICAL AREAS.—The Secretary of Agriculture and 
the Secretary of Energy, in consultation with the Administrator 
of the Environmental Protection Agency and heads of other 
appropriate departments and agencies (referred to in this sub-
section as the ‘Secretaries’), shall direct the Initiative in the 
3 following areas: 
‘‘(A) FEEDSTOCKS
DEVELOPMENT.—Research, develop-
ment, and demonstration activities regarding feedstocks 
and feedstock logistics (including the harvest, handling, 
transport, preprocessing, and storage) relevant to produc-
tion of raw materials for conversion to biofuels and biobased 
products. 
‘‘(B) BIOFUELS
AND
BIOBASED
PRODUCTS
DEVELOP-
MENT.—Research, development, and demonstration activi-
ties to support— 
‘‘(i) the development of diverse cost-effective tech-
nologies for the use of cellulosic biomass in the produc-
tion of biofuels and biobased products; and 
‘‘(ii) product diversification through technologies 
relevant to production of a range of biobased products 
(including chemicals, animal feeds, and cogenerated 
power) that potentially can increase the feasibility of 
fuel production in a biorefinery. 
‘‘(C) BIOFUELS DEVELOPMENT ANALYSIS.— 
‘‘(i) STRATEGIC
GUIDANCE.—The development of 
analysis that provides strategic guidance for the 
application of renewable biomass technologies to 
improve sustainability and environmental quality, cost 
effectiveness, security, and rural economic develop-
ment. 
‘‘(ii) 
ENERGY
AND
ENVIRONMENTAL
IMPACT.— 
Development of systematic evaluations of the impact 
of expanded biofuel production on the environment 
(including forest land) and on the food supply for 
humans and animals, including the improvement and 
development of tools for life cycle analysis of current 
and potential biofuels. 
‘‘(iii) ASSESSMENT OF FEDERAL LAND.—Assessments 
of the potential of Federal land resources to increase 
the production of feedstocks for biofuels and biobased 
products, consistent with the integrity of soil and water 
resources and with other environmental considerations. 
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122 STAT. 1322 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(4) ADDITIONAL
CONSIDERATIONS.—Within the technical 
areas described in paragraph (3), the Secretaries shall support 
research and development— 
‘‘(A) to create continuously expanding opportunities for 
participants in existing biofuels production by seeking 
synergies and continuity with current technologies and 
practices; 
‘‘(B) to maximize the environmental, economic, and 
social benefits of production of biofuels and derived 
biobased products on a large scale; and 
‘‘(C) to facilitate small-scale production and local and 
on-farm use of biofuels, including the development of small- 
scale gasification technologies for production of biofuel from 
cellulosic feedstocks. 
‘‘(5) ELIGIBILITY.—To be eligible for a grant, contract, or 
assistance under this section, an applicant shall be— 
‘‘(A) an institution of higher education; 
‘‘(B) a National Laboratory; 
‘‘(C) a Federal research agency; 
‘‘(D) a State research agency; 
‘‘(E) a private sector entity; 
‘‘(F) a nonprofit organization; or 
‘‘(G) a consortium of 2 or more entities described in 
subparagraphs (A) through (F). 
‘‘(6) ADMINISTRATION.— 
‘‘(A) IN GENERAL.—After consultation with the Board, 
the points of contact shall— 
‘‘(i) publish annually 1 or more joint requests for 
proposals for grants, contracts, and assistance under 
this subsection; 
‘‘(ii) require that grants, contracts, and assistance 
under this section be awarded based on a scientific 
peer review by an independent panel of scientific and 
technical peers; 
‘‘(iii) give special consideration to applications 
that— 
‘‘(I) involve a consortia of experts from mul-
tiple institutions; 
‘‘(II) encourage the integration of disciplines 
and application of the best technical resources; 
and 
‘‘(III) increase the geographic diversity of dem-
onstration projects; and 
‘‘(iv) require that the technical areas described in 
each of subparagraphs (A), (B), and (C) of paragraph 
(3) receive not less than 15 percent of funds made 
available to carry out this section. 
‘‘(B) COST SHARE.— 
‘‘(i) RESEARCH AND DEVELOPMENT PROJECTS.— 
‘‘(I) IN GENERAL.—Except as provided in sub-
clause (II), the non-Federal share of the cost of 
a research or development project under this sec-
tion shall be not less than 20 percent. 
‘‘(II) REDUCTION.—The Secretary of Agri-
culture or the Secretary of Energy, as appropriate, 
may reduce the non-Federal share required under 
Publication. 
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122 STAT. 1323 
PUBLIC LAW 110–234—MAY 22, 2008 
subclause (I) if the appropriate Secretary deter-
mines the reduction to be necessary and appro-
priate. 
‘‘(ii) 
DEMONSTRATION
AND
COMMERCIAL 
PROJECTS.—The non-Federal share of the cost of a dem-
onstration or commercial project under this section 
shall be not less than 50 percent. 
‘‘(C) TECHNOLOGY AND INFORMATION TRANSFER.—The 
Secretary of Agriculture and the Secretary of Energy shall 
ensure that applicable research results and technologies 
from the Initiative are— 
‘‘(i) adapted, made available, and disseminated, 
as appropriate; and 
‘‘(ii) included in the best practices database estab-
lished under section 1672C(e) of the Food, Agriculture, 
Conservation, and Trade Act of 1990. 
‘‘(f) ADMINISTRATIVE SUPPORT AND FUNDS.— 
‘‘(1) IN GENERAL.—The Secretary of Energy and the Sec-
retary of Agriculture may provide such administrative support 
and funds of the Department of Energy and the Department 
of Agriculture to the Board and the Advisory Committee as 
are necessary to enable the Board and the Advisory Committee 
to carry out their duties under this section. 
‘‘(2) OTHER AGENCIES.—The heads of the agencies referred 
to in subsection (c)(2)(B), and the other members of the Board 
appointed under subsection (c)(2)(C), are encouraged to provide 
administrative support and funds of their respective agencies 
to the Board and the Advisory Committee. 
‘‘(3) LIMITATION.—Not more than 4 percent of the amount 
made available for each fiscal year under subsection (h) may 
be used to pay the administrative costs of carrying out this 
section. 
‘‘(g) REPORTS.—For each fiscal year for which funds are made 
available to carry out this section, the Secretary of Energy and 
the Secretary of Agriculture shall jointly submit to Congress a 
detailed report on— 
‘‘(1) the status and progress of the Initiative, including 
a report from the Advisory Committee on whether funds appro-
priated for the Initiative have been distributed and used in 
a manner that is consistent with the objectives and require-
ments of this section; 
‘‘(2) the general status of cooperation and research and 
development efforts carried out at each agency with respect 
to biofuels and biobased products; and 
‘‘(3) the plans of the Secretary of Energy and the Secretary 
of Agriculture for addressing concerns raised in the report, 
including concerns raised by the Advisory Committee. 
‘‘(h) FUNDING.— 
‘‘(1) MANDATORY FUNDING.—Of the funds of the Commodity 
Credit Corporation, the Secretary of Agriculture shall use to 
carry out this section, to remain available until expended— 
‘‘(A) $20,000,000 for fiscal year 2009; 
‘‘(B) $28,000,000 for fiscal year 2010; 
‘‘(C) $30,000,000 for fiscal year 2011; and 
‘‘(D) $40,000,000 for fiscal year 2012. 
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122 STAT. 1324 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) DISCRETIONARY FUNDING.—In addition to any other 
funds made available to carry out this section, there is author-
ized to be appropriated to carry out this section $35,000,000 
for each of fiscal years 2009 through 2012. 
‘‘SEC. 9009. RURAL ENERGY SELF-SUFFICIENCY INITIATIVE. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) ELIGIBLE RURAL COMMUNITY.—The term ‘eligible rural 
community’ means a community located in a rural area (as 
defined in section 343(a)(13)(A) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1991(a)(13)(A))). 
‘‘(2) INITIATIVE.—The term ‘Initiative’ means the Rural 
Energy Self-Sufficiency Initiative established under this section. 
‘‘(3) INTEGRATED RENEWABLE ENERGY SYSTEM.—The term 
‘integrated renewable energy system’ means a community-wide 
energy system that— 
‘‘(A) reduces conventional energy use; and 
‘‘(B) increases the use of energy from renewable 
sources. 
‘‘(b) ESTABLISHMENT.—The Secretary shall establish a Rural 
Energy Self-Sufficiency Initiative to provide financial assistance 
for the purpose of enabling eligible rural communities to substan-
tially increase the energy self-sufficiency of the eligible rural 
communities. 
‘‘(c) GRANT ASSISTANCE.— 
‘‘(1) IN GENERAL.—The Secretary shall make grants avail-
able under the Initiative to eligible rural communities to carry 
out an activity described in paragraph (2). 
‘‘(2) USE OF GRANT FUNDS.—An eligible rural community 
may use a grant— 
‘‘(A) to conduct an energy assessment that assesses 
the total energy use of all energy users in the eligible 
rural community; 
‘‘(B) to formulate and analyze ideas for reducing energy 
usage by the eligible rural community from conventional 
sources; and 
‘‘(C) to develop and install an integrated renewable 
energy system. 
‘‘(3) GRANT SELECTION.— 
‘‘(A) APPLICATION.—To be considered for a grant, an 
eligible rural community shall submit an application to 
the Secretary that describes the ways in which the commu-
nity would use the grant to carry out an activity described 
in paragraph (2). 
‘‘(B) PREFERENCE.—The Secretary shall give preference 
to those applications that propose to carry out an activity 
in coordination with— 
‘‘(i) institutions of higher education or nonprofit 
foundations of institutions of higher education; 
‘‘(ii) Federal, State, or local government agencies; 
‘‘(iii) public or private power generation entities; 
or 
‘‘(iv) government entities with responsibility for 
water or natural resources. 
‘‘(4) REPORT.—An eligible rural community receiving a 
grant under the Initiative shall submit to the Secretary a 
report on the project of the eligible rural community. 
7 USC 8109. 
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122 STAT. 1325 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(5) COST-SHARING.—The amount of a grant under the Ini-
tiative shall not exceed 50 percent of the cost of the activities 
described in the application. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2009 through 2012. 
‘‘SEC. 9010. FEEDSTOCK FLEXIBILITY PROGRAM FOR BIOENERGY PRO-
DUCERS. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BIOENERGY.—The term ‘bioenergy’ means fuel grade 
ethanol and other biofuel. 
‘‘(2) BIOENERGY PRODUCER.—The term ‘bioenergy producer’ 
means a producer of bioenergy that uses an eligible commodity 
to produce bioenergy under this section. 
‘‘(3) ELIGIBLE COMMODITY.—The term ‘eligible commodity’ 
means a form of raw or refined sugar or in-process sugar 
that is eligible to be marketed in the United States for human 
consumption or to be used for the extraction of sugar for human 
consumption. 
‘‘(4) ELIGIBLE ENTITY.—The term ‘eligible entity’ means an 
entity located in the United States that markets an eligible 
commodity in the United States. 
‘‘(b) FEEDSTOCK FLEXIBILITY PROGRAM.— 
‘‘(1) IN GENERAL.— 
‘‘(A) PURCHASES
AND
SALES.—For each of the 2008 
through 2012 crops, the Secretary shall purchase eligible 
commodities from eligible entities and sell such commod-
ities to bioenergy producers for the purpose of producing 
bioenergy in a manner that ensures that section 156 of 
the Federal Agriculture Improvement and Reform Act (7 
U.S.C. 7272) is operated at no cost to the Federal Govern-
ment by avoiding forfeitures to the Commodity Credit Cor-
poration. 
‘‘(B) COMPETITIVE PROCEDURES.—In carrying out the 
purchases and sales required under subparagraph (A), the 
Secretary shall, to the maximum extent practicable, use 
competitive procedures, including the receiving, offering, 
and accepting of bids, when entering into contracts with 
eligible entities and bioenergy producers, provided that 
such procedures are consistent with the purposes of 
subparagraph (A). 
‘‘(C) LIMITATION.—The purchase and sale of eligible 
commodities under subparagraph (A) shall only be made 
in crop years in which such purchases and sales are nec-
essary to ensure that the program authorized under section 
156 of the Federal Agriculture Improvement and Reform 
Act (7 U.S.C. 7272) is operated at no cost to the Federal 
Government by avoiding forfeitures to the Commodity 
Credit Corporation. 
‘‘(2) NOTICE.— 
‘‘(A) IN
GENERAL.—As soon as practicable after the 
date of enactment of the Food, Conservation, and Energy 
Act of 2008 and each September 1 thereafter through Sep-
tember 1, 2012, the Secretary shall provide notice to eligible 
entities and bioenergy producers of the quantity of eligible 
commodities that shall be made available for purchase 
Deadlines. 
7 USC 8110. 
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122 STAT. 1326 
PUBLIC LAW 110–234—MAY 22, 2008 
and sale for the crop year following the date of the notice 
under this section. 
‘‘(B) REESTIMATES.—Not later than the January 1, 
April 1, and July 1 of the calendar year following the 
date of a notice under subparagraph (A), the Secretary 
shall reestimate the quantity of eligible commodities deter-
mined under subparagraph (A), and provide notice and 
make purchases and sales based on such reestimates. 
‘‘(3) COMMODITY CREDIT CORPORATION INVENTORY.— 
‘‘(A) DISPOSITIONS.— 
‘‘(i) BIOENERGY AND GENERALLY.—Except as pro-
vided in clause (ii), to the extent that an eligible com-
modity is owned and held in inventory by the Com-
modity Credit Corporation (accumulated pursuant to 
the program authorized under section 156 of the Fed-
eral Agriculture Improvement and Reform Act (7 
U.S.C. 7272)), the Secretary shall— 
‘‘(I) sell the eligible commodity to bioenergy 
producers under this section consistent with para-
graph (1)(C); 
‘‘(II) dispose of the eligible commodity in 
accordance with section 156(f)(2) of that Act; or 
‘‘(III) otherwise dispose of the eligible com-
modity through the buyback of certificates of quota 
entry. 
‘‘(ii) PRESERVATION
OF
OTHER
AUTHORITIES.— 
Nothing in this section limits the use of other authori-
ties for the disposition of an eligible commodity held 
in the inventory of the Commodity Credit Corporation 
for nonfood use or otherwise in a manner that does 
not increase the net quantity of sugar available for 
human consumption in the United States market, con-
sistent with section 156(f)(1) of the Federal Agriculture 
Improvement and Reform Act (7 U.S.C. 7272(f)(1)). 
‘‘(B) 
EMERGENCY
SHORTAGES.—Notwithstanding 
subparagraph (A), if there is an emergency shortage of 
sugar for human consumption in the United States market 
that is caused by a war, flood, hurricane, or other natural 
disaster, or other similar event, the Secretary may dispose 
of an eligible commodity that is owned and held in inven-
tory by the Commodity Credit Corporation (accumulated 
pursuant to the program authorized under section 156 
of the Federal Agriculture Improvement and Reform Act 
(7 U.S.C. 7272)) through disposition as authorized under 
section 156(f) of that Act or through the use of any other 
authority of the Commodity Credit Corporation. 
‘‘(4) TRANSFER RULE; STORAGE FEES.— 
‘‘(A) GENERAL
TRANSFER
RULE.—Except with regard 
to emergency dispositions under paragraph (3)(B) and as 
provided in subparagraph (C), the Secretary shall ensure 
that bioenergy producers that purchase eligible commod-
ities pursuant to this section take possession of the eligible 
commodities within 30 calendar days of the date of such 
purchase from the Commodity Credit Corporation. 
‘‘(B) PAYMENT OF STORAGE FEES PROHIBITED.— 
‘‘(i) IN GENERAL.—The Secretary shall, to the max-
imum extent practicable, carry out this section in a 
Deadline. 
Deadlines. 
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122 STAT. 1327 
PUBLIC LAW 110–234—MAY 22, 2008 
manner that ensures no storage fees are paid by the 
Commodity Credit Corporation in the administration 
of this section. 
‘‘(ii) EXCEPTION.—Clause (i) shall not apply with 
respect to any commodities owned and held in inven-
tory by the Commodity Credit Corporation (accumu-
lated pursuant to the program authorized under section 
156 of the Federal Agriculture Improvement and 
Reform Act (7 U.S.C. 7272)). 
‘‘(C) OPTION TO PREVENT STORAGE FEES.— 
‘‘(i) IN GENERAL.—The Secretary may enter into 
contracts with bioenergy producers to sell eligible 
commodities to such producers prior in time to entering 
into contracts with eligible entities to purchase the 
eligible commodities to be used to satisfy the contracts 
entered into with the bioenergy producers. 
‘‘(ii) SPECIAL
TRANSFER
RULE.—If the Secretary 
makes a sale and purchase referred to in clause (i), 
the Secretary shall ensure that the bioenergy producer 
that purchased eligible commodities takes possession 
of such commodities within 30 calendar days of the 
date the Commodity Credit Corporation purchases the 
eligible commodities. 
‘‘(5) RELATION TO OTHER LAWS.—If sugar that is subject 
to a marketing allotment under part VII of subtitle B of title 
III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa 
et seq.) is the subject of a payment under this section, the 
sugar shall be considered marketed and shall count against 
a processor’s allocation of an allotment under such part, as 
applicable. 
‘‘(6) FUNDING.—The Secretary shall use the funds, facilities, 
and authorities of the Commodity Credit Corporation, including 
the use of such sums as are necessary, to carry out this section. 
‘‘SEC. 9011. BIOMASS CROP ASSISTANCE PROGRAM. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BCAP.—The term ‘BCAP’ means the Biomass Crop 
Assistance Program established under this section. 
‘‘(2) BCAP PROJECT AREA.—The term ‘BCAP project area’ 
means an area that— 
‘‘(A) has specified boundaries that are submitted to 
the Secretary by the project sponsor and subsequently 
approved by the Secretary; 
‘‘(B) includes producers with contract acreage that will 
supply a portion of the renewable biomass needed by a 
biomass conversion facility; and 
‘‘(C) is physically located within an economically prac-
ticable distance from the biomass conversion facility. 
‘‘(3) CONTRACT
ACREAGE.—The term ‘contract acreage’ 
means eligible land that is covered by a BCAP contract entered 
into with the Secretary. 
‘‘(4) ELIGIBLE CROP.— 
‘‘(A) IN GENERAL.—The term ‘eligible crop’ means a 
crop of renewable biomass. 
‘‘(B) EXCLUSIONS.—The term ‘eligible crop’ does not 
include— 
7 USC 8111. 
Sugar. 
Deadline. 
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122 STAT. 1328 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) any crop that is eligible to receive payments 
under title I of the Food, Conservation, and Energy 
Act of 2008 or an amendment made by that title; 
or 
‘‘(ii) any plant that is invasive or noxious or has 
the potential to become invasive or noxious, as deter-
mined by the Secretary, in consultation with other 
appropriate Federal or State departments and agen-
cies. 
‘‘(5) ELIGIBLE LAND.— 
‘‘(A) IN
GENERAL.—The term ‘eligible land’ includes 
agricultural and nonindustrial private forest lands (as 
defined in section 5(c) of the Cooperative Forestry Assist-
ance Act of 1978 (16 U.S.C. 2103a(c))). 
‘‘(B) EXCLUSIONS.—The term ‘eligible land’ does not 
include— 
‘‘(i) Federal- or State-owned land; 
‘‘(ii) land that is native sod, as of the date of 
enactment of the Food, Conservation, and Energy Act 
of 2008; 
‘‘(iii) land enrolled in the conservation reserve pro-
gram established under subchapter B of chapter 1 
of subtitle D of title XII of the Food Security Act 
of 1985 (16 U.S.C. 3831 et seq.); 
‘‘(iv) land enrolled in the wetlands reserve program 
established under subchapter C of chapter 1 of subtitle 
D of title XII of that Act (16 U.S.C. 3837 et seq.); 
or 
‘‘(v) land enrolled in the grassland reserve program 
established under subchapter D of chapter 2 of subtitle 
D of title XII of that Act (16 U.S.C. 3838n et seq.). 
‘‘(6) ELIGIBLE MATERIAL.— 
‘‘(A) IN GENERAL.—The term ‘eligible material’ means 
renewable biomass. 
‘‘(B) EXCLUSIONS.—The term ‘eligible material’ does not 
include— 
‘‘(i) any crop that is eligible to receive payments 
under title I of the Food, Conservation, and Energy 
Act of 2008 or an amendment made by that title; 
‘‘(ii) animal waste and byproducts (including fats, 
oils, greases, and manure); 
‘‘(iii) food waste and yard waste; or 
‘‘(iv) algae. 
‘‘(7) PRODUCER.—The term ‘producer’ means an owner or 
operator of contract acreage that is physically located within 
a BCAP project area. 
‘‘(8) PROJECT SPONSOR.—The term ‘project sponsor’ means— 
‘‘(A) a group of producers; or 
‘‘(B) a biomass conversion facility. 
‘‘(b) ESTABLISHMENT AND PURPOSE.—The Secretary shall estab-
lish and administer a Biomass Crop Assistance Program to— 
‘‘(1) support the establishment and production of eligible 
crops for conversion to bioenergy in selected BCAP project 
areas; and 
‘‘(2) assist agricultural and forest land owners and opera-
tors with collection, harvest, storage, and transportation of 
eligible material for use in a biomass conversion facility. 
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122 STAT. 1329 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(c) BCAP PROJECT AREA.— 
‘‘(1) IN GENERAL.—The Secretary shall provide financial 
assistance to producers of eligible crops in a BCAP project 
area. 
‘‘(2) SELECTION OF PROJECT AREAS.— 
‘‘(A) IN GENERAL.—To be considered for selection as 
a BCAP project area, a project sponsor shall submit to 
the Secretary a proposal that includes, at a minimum— 
‘‘(i) a description of the eligible land and eligible 
crops of each producer that will participate in the 
proposed BCAP project area; 
‘‘(ii) a letter of commitment from a biomass conver-
sion facility that the facility will use the eligible crops 
intended to be produced in the proposed BCAP project 
area; 
‘‘(iii) evidence that the biomass conversion facility 
has sufficient equity available, as determined by the 
Secretary, if the biomass conversion facility is not oper-
ational at the time the proposal is submitted to the 
Secretary; and 
‘‘(iv) any other appropriate information about the 
biomass conversion facility or proposed biomass conver-
sion facility that gives the Secretary a reasonable 
assurance that the plant will be in operation by the 
time that the eligible crops are ready for harvest. 
‘‘(B) BCAP PROJECT
AREA
SELECTION
CRITERIA.—In 
selecting BCAP project areas, the Secretary shall con-
sider— 
‘‘(i) the volume of the eligible crops proposed to 
be produced in the proposed BCAP project area and 
the probability that such crops will be used for the 
purposes of the BCAP; 
‘‘(ii) the volume of renewable biomass projected 
to be available from sources other than the eligible 
crops grown on contract acres; 
‘‘(iii) the anticipated economic impact in the pro-
posed BCAP project area; 
‘‘(iv) the opportunity for producers and local inves-
tors to participate in the ownership of the biomass 
conversion facility in the proposed BCAP project area; 
‘‘(v) the participation rate by— 
‘‘(I) beginning farmers or ranchers (as defined 
in accordance with section 343(a) of the Consoli-
dated Farm and Rural Development Act (7 U.S.C. 
1991(a))); or 
‘‘(II) 
socially 
disadvantaged 
farmers 
or 
ranchers (as defined in section 2501(e) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 
(7 U.S.C. 2279(e))); 
‘‘(vi) the impact on soil, water, and related 
resources; 
‘‘(vii) the variety in biomass production approaches 
within a project area, including (as appropriate)— 
‘‘(I) agronomic conditions; 
‘‘(II) harvest and postharvest practices; and 
‘‘(III) monoculture and polyculture crop mixes; 
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122 STAT. 1330 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(viii) the range of eligible crops among project 
areas; and 
‘‘(ix) any additional information, as determined by 
the Secretary. 
‘‘(3) CONTRACT.— 
‘‘(A) IN GENERAL.—On approval of a BCAP project area 
by the Secretary, each producer in the BCAP project area 
shall enter into a contract directly with the Secretary. 
‘‘(B) MINIMUM TERMS.—At a minimum, contracts shall 
include terms that cover— 
‘‘(i) an agreement to make available to the Sec-
retary, or to an institution of higher education or other 
entity designated by the Secretary, such information 
as the Secretary considers to be appropriate to promote 
the production of eligible crops and the development 
of biomass conversion technology; 
‘‘(ii) compliance with the highly erodible land con-
servation requirements of subtitle B of title XII of 
the Food Security Act of 1985 (16 U.S.C. 3811 et seq.) 
and the wetland conservation requirements of subtitle 
C of title XII of that Act (16 U.S.C. 3821 et seq.); 
‘‘(iii) the implementation of (as determined by the 
Secretary)— 
‘‘(I) a conservation plan; or 
‘‘(II) a forest stewardship plan or an equivalent 
plan; and 
‘‘(iv) any additional requirements the Secretary 
considers appropriate. 
‘‘(C) DURATION.—A contract under this subsection shall 
have a term of up to— 
‘‘(i) 5 years for annual and perennial crops; or 
‘‘(ii) 15 years for woody biomass. 
‘‘(4) RELATIONSHIP TO OTHER PROGRAMS.—In carrying out 
this subsection, the Secretary shall provide for the preservation 
of cropland base and yield history applicable to the land 
enrolled in a BCAP contract. 
‘‘(5) PAYMENTS.— 
‘‘(A) IN GENERAL.—The Secretary shall make establish-
ment and annual payments directly to producers to support 
the establishment and production of eligible crops on con-
tract acreage. 
‘‘(B) AMOUNT
OF
ESTABLISHMENT
PAYMENTS.—The 
amount of an establishment payment under this subsection 
shall be up to 75 percent of the costs of establishing an 
eligible perennial crop covered by the contract, including— 
‘‘(i) the cost of seeds and stock for perennials; 
‘‘(ii) the cost of planting the perennial crop, as 
determined by the Secretary; and 
‘‘(iii) in the case of nonindustrial private forestland, 
the costs of site preparation and tree planting. 
‘‘(C) AMOUNT OF ANNUAL PAYMENTS.— 
‘‘(i) IN GENERAL.—Subject to clause (ii), the amount 
of an annual payment under this subsection shall be 
determined by the Secretary. 
‘‘(ii) REDUCTION.—The Secretary shall reduce an 
annual payment by an amount determined to be appro-
priate by the Secretary, if— 
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122 STAT. 1331 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(I) an eligible crop is used for purposes other 
than the production of energy at the biomass 
conversion facility; 
‘‘(II) an eligible crop is delivered to the biomass 
conversion facility; 
‘‘(III) the producer receives a payment under 
subsection (d); 
‘‘(IV) the producer violates a term of the con-
tract; or 
‘‘(V) there are such other circumstances, as 
determined by the Secretary to be necessary to 
carry out this section. 
‘‘(d) ASSISTANCE WITH COLLECTION, HARVEST, STORAGE, AND 
TRANSPORTATION.— 
‘‘(1) IN GENERAL.—The Secretary shall make a payment 
for the delivery of eligible material to a biomass conversion 
facility to— 
‘‘(A) a producer of an eligible crop that is produced 
on BCAP contract acreage; or 
‘‘(B) a person with the right to collect or harvest eligible 
material. 
‘‘(2) PAYMENTS.— 
‘‘(A) COSTS
COVERED.—A payment under this sub-
section shall be in an amount described in subparagraph 
(B) for— 
‘‘(i) collection; 
‘‘(ii) harvest; 
‘‘(iii) storage; and 
‘‘(iv) transportation to a biomass conversion 
facility. 
‘‘(B) AMOUNT.—Subject to paragraph (3), the Secretary 
may provide matching payments at a rate of $1 for each 
$1 per ton provided by the biomass conversion facility, 
in an amount equal to not more than $45 per ton for 
a period of 2 years. 
‘‘(3) LIMITATION ON ASSISTANCE FOR BCAP CONTRACT ACRE-
AGE.—As a condition of the receipt of annual payment under 
subsection (c), a producer receiving a payment under this sub-
section for collection, harvest, storage or transportation of an 
eligible crop produced on BCAP acreage shall agree to a reduc-
tion in the annual payment. 
‘‘(e) REPORT.—Not later than 4 years after the date of enactment 
of the Food, Conservation, and Energy Act of 2008, 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 on the dissemination by the Sec-
retary of the best practice data and information gathered from 
participants receiving assistance under this section. 
‘‘(f) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary shall use to carry out this section such sums 
as are necessary for each of fiscal years 2008 through 2012. 
‘‘SEC. 9012. FOREST BIOMASS FOR ENERGY. 
‘‘(a) IN GENERAL.—The Secretary, acting through the Forest 
Service, shall conduct a competitive research and development pro-
gram to encourage use of forest biomass for energy. 
7 USC 8112. 
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122 STAT. 1332 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(b) ELIGIBLE ENTITIES.—Entities eligible to compete under the 
program under this section include— 
‘‘(1) the Forest Service (acting through Research and 
Development); 
‘‘(2) other Federal agencies; 
‘‘(3) State and local governments; 
‘‘(4) Indian tribes; 
‘‘(5) land-grant colleges and universities; and 
‘‘(6) private entities. 
‘‘(c) PRIORITY FOR PROJECT SELECTION.—In carrying out this 
section, the Secretary shall give priority to projects that— 
‘‘(1) develop technology and techniques to use low-value 
forest biomass, such as byproducts of forest health treatments 
and hazardous fuels reduction, for the production of energy; 
‘‘(2) develop processes that integrate production of energy 
from forest biomass into biorefineries or other existing manufac-
turing streams; 
‘‘(3) develop new transportation fuels from forest biomass; 
and 
‘‘(4) improve the growth and yield of trees intended for 
renewable energy production. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $15,000,000 for each 
of fiscal years 2009 through 2012. 
‘‘SEC. 9013. COMMUNITY WOOD ENERGY PROGRAM. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) COMMUNITY WOOD ENERGY PLAN.—The term ‘commu-
nity wood energy plan’ means an assessment of— 
‘‘(A) available feedstocks necessary to supply a commu-
nity wood energy system; and 
‘‘(B) the long-term feasibility of supplying and oper-
ating a community wood energy system. 
‘‘(2) COMMUNITY WOOD ENERGY SYSTEM.— 
‘‘(A) IN GENERAL.—The term ‘community wood energy 
system’ means an energy system that— 
‘‘(i) primarily services public facilities owned or 
operated by State or local governments, including 
schools, town halls, libraries, and other public 
buildings; and 
‘‘(ii) uses woody biomass as the primary fuel. 
‘‘(B) INCLUSIONS.—The term ‘community wood energy 
system’ includes single facility central heating, district 
heating, combined heat and energy systems, and other 
related biomass energy systems. 
‘‘(b) GRANT PROGRAM.— 
‘‘(1) IN GENERAL.—The Secretary, acting through the Chief 
of the Forest Service, shall establish a program to be known 
as the ‘Community Wood Energy Program’ to provide— 
‘‘(A) grants of up to $50,000 to State and local govern-
ments (or designees) to develop community wood energy 
plans; and 
‘‘(B) competitive grants to State and local governments 
to acquire or upgrade community wood energy systems. 
‘‘(2) CONSIDERATIONS.—In selecting applicants for grants 
under paragraph (1)(B), the Secretary shall consider— 
‘‘(A) the energy efficiency of the proposed system; 
7 USC 8113. 
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122 STAT. 1333 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the cost effectiveness of the proposed system; and 
‘‘(C) other conservation and environmental criteria that 
the Secretary considers appropriate. 
‘‘(3) USE OF PLAN.—A State or local government applying 
to receive a competitive grant described in paragraph (1)(B) 
shall submit to the Secretary as part of the grant application 
the applicable community wood energy plan. 
‘‘(c) LIMITATION.—A community wood energy system acquired 
with grant funds provided under subsection (b)(1)(B) shall not 
exceed an output of— 
‘‘(1) 50,000,000 Btu per hour for heating; and 
‘‘(2) 2 megawatts for electric power production. 
‘‘(d) MATCHING FUNDS.—A State or local government that 
receives a grant under subsection (b) shall contribute an amount 
of non-Federal funds towards the development of the community 
wood energy plan, or acquisition of the community wood energy 
systems that is at least equal to the amount of grant funds received 
by the State or local government under that subsection. 
‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2009 through 2012.’’. 
(b) CONFORMING AMENDMENT.—The Biomass Research and 
Development Act of 2000 (7 U.S.C. 8601 et seq.) is repealed. 
SEC. 9002. BIOFUELS INFRASTRUCTURE STUDY. 
(a) IN GENERAL.—The Secretary of Agriculture, the Secretary 
of Energy, the Administrator of the Environmental Protection 
Agency, and the Secretary of Transportation (referred to in this 
section as the ‘‘Secretaries’’), shall jointly conduct a study that 
includes— 
(1) an assessment of the infrastructure needs for expanding 
the domestic production, transport, and distribution of biofuels 
given current and likely future market trends; 
(2) recommendations for infrastructure needs and develop-
ment approaches, taking into account cost and other associated 
factors; and 
(3) a report that includes— 
(A) a summary of infrastructure needs; 
(B) an analysis of alternative development approaches 
to meeting the needs described in subparagraph (A), 
including cost, siting, and other regulatory issues; and 
(C) 
recommendations 
for 
specific 
infrastructure 
development actions to be taken. 
(b) SCOPE OF STUDY.— 
(1) IN GENERAL.—In conducting the study described in sub-
section (a), the Secretaries shall address— 
(A) current and likely future market trends for biofuels 
through calendar year 2025; 
(B) current and future availability of feedstocks; 
(C) water resource needs, including water requirements 
for biorefineries; 
(D) shipping and storage needs for biomass feedstock 
and biofuels, including the adequacy of rural roads; and 
(E) modes of transportation and delivery for biofuels 
(including shipment by rail, truck, pipeline or barge) and 
associated infrastructure issues. 
Reports. 
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122 STAT. 1334 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) CONSIDERATIONS.—In addressing the issues described 
in paragraph (1), the Secretaries shall consider— 
(A) the effects of increased tank truck, rail, and barge 
transport on existing infrastructure and safety; 
(B) the feasibility of shipping biofuels through pipelines 
in existence as the date of enactment of this Act; 
(C) the development of new biofuels pipelines, including 
siting, financing, timing, and other economic issues; 
(D) the implications of various biofuel blend levels 
on infrastructure needs; 
(E) the implications of various approaches to infra-
structure development on resource use and conservation; 
(F) regional differences in biofuels infrastructure needs; 
and 
(G) other infrastructure issues, as determined by the 
Secretaries. 
(c) IMPLEMENTATION.—In carrying out this section, the Secre-
taries — 
(1) shall— 
(A) consult with individuals and entities with interest 
or expertise in the areas described in subsection (b); 
(B) to the extent available, use the information devel-
oped and results of the related studies authorized under 
sections 243 and 245 of the Energy Independence and 
Security Act of 2007 (Public Law 110–140; 121 Stat. 1540, 
1546)); and 
(C) submit to Congress the report required under sub-
section (a)(3), including— 
(i) in the Senate— 
(I) the Committee on Agriculture, Nutrition, 
and Forestry ; 
(II) the Committee on Commerce, Science, and 
Transportation; 
(III) the Committee on Energy and Natural 
Resources; and 
(IV) the Committee on Environment and 
Public Works; and 
(ii) in the House of Representatives— 
(I) the Committee on Agriculture; 
(II) the Committee on Energy and Commerce; 
(III) the Committee on Transportation and 
Infrastructure; and 
(IV) the Committee on Science and Tech-
nology; and 
(2) may issue a solicitation for a competition to select 
a contractor to support the Secretaries. 
SEC. 9003. RENEWABLE FERTILIZER STUDY. 
(a) IN GENERAL.—Not later than 1 year after the date of receipt 
of appropriations to carry out this section, the Secretary shall— 
(1) conduct a study to assess the current state of knowledge 
regarding the potential for the production of fertilizer from 
renewable energy sources in rural areas, including— 
(A) identification of the critical challenges to commer-
cialization of rural production of nitrogen and phosphorus- 
based fertilizer from renewables; 
Deadline. 
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122 STAT. 1335 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) the most promising processes and technologies for 
renewable fertilizer production; 
(C) the potential cost-competitiveness of renewable fer-
tilizer; and 
(D) the potential impacts of renewable fertilizer on 
fossil fuel use and the environment; and 
(2) submit to the Committee on Agriculture of the House 
of Representatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate a report describing the results 
of the study. 
(b) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $1,000,000 for fiscal 
year 2009. 
TITLE X—HORTICULTURE AND 
ORGANIC AGRICULTURE 
SEC. 10001. DEFINITIONS. 
In this title: 
(1) SPECIALTY CROP.—The term ‘‘specialty crop’’ has the 
meaning given the term in section 3 of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 
108–465). 
(2) STATE DEPARTMENT OF AGRICULTURE.—The term ‘‘State 
department of agriculture’’ means the agency, commission, or 
department of a State government responsible for protecting 
and promoting agriculture in the State. 
Subtitle A—Horticulture Marketing and 
Information 
SEC. 10101. INDEPENDENT EVALUATION OF DEPARTMENT OF AGRI-
CULTURE COMMODITY PURCHASE PROCESS. 
(a) EVALUATION REQUIRED.—The Secretary shall arrange to 
have performed an independent evaluation of the purchasing proc-
esses (including the budgetary, statutory, and regulatory authority 
underlying the processes) used by the Department of Agriculture 
to implement the requirement that funds available under section 
32 of the Act of August 24, 1935 (7 U.S.C. 612c), shall be principally 
devoted to perishable agricultural commodities. 
(b) SUBMISSION OF RESULTS.—Not later than 18 months after 
the date of the 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 on the results of the evaluation. 
SEC. 10102. QUALITY REQUIREMENTS FOR CLEMENTINES. 
Section 8e(a) of the Agricultural Adjustment Act (7 U.S.C. 
608e–1(a)), reenacted with amendments by the Agricultural Mar-
keting Agreement Act of 1937, is amended in the matter preceding 
the first proviso in the first sentence by inserting ‘‘clementines,’’ 
after ‘‘nectarines,’’. 
Deadline. 
7 USC 1622b 
note. 
Reports. 
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122 STAT. 1336 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 10103. INCLUSION OF SPECIALTY CROPS IN CENSUS OF AGRI-
CULTURE. 
Section 2(a) of the Census of Agriculture Act of 1997 (7 U.S.C. 
2204g(a)) is amended— 
(1) by striking ‘‘In 1998’’ and inserting the following: 
‘‘(1) IN GENERAL.—In 1998’’; and 
(2) by adding at the end the following: 
‘‘(2) INCLUSION OF SPECIALTY CROPS.—Effective beginning 
with the census of agriculture required to be conducted in 
2008, the Secretary shall conduct as part of each census of 
agriculture a census of specialty crops (as that term is defined 
in section 3 of the Specialty Crops Competitiveness Act of 
2004 (7 U.S.C. 1621 note; Public Law 108-465)).’’. 
SEC. 10104. MUSHROOM PROMOTION, RESEARCH, AND CONSUMER 
INFORMATION. 
(a) REGIONS AND MEMBERS.—Section 1925(b)(2) of the Mush-
room Promotion, Research, and Consumer Information Act of 1990 
(7 U.S.C. 6104(b)(2)) is amended— 
(1) in subparagraph (B), by striking ‘‘4 regions’’ and 
inserting ‘‘3 regions’’; 
(2) in subparagraph (D), by striking ‘‘35,000,000 pounds’’ 
and inserting ‘‘50,000,000 pounds’’; and 
(3) by striking subparagraph (E) and inserting the fol-
lowing: 
‘‘(E) ADDITIONAL MEMBERS.—In addition to the mem-
bers appointed pursuant to paragraph (1), and subject to 
the 9-member limit of members on the Council provided 
in that paragraph, the Secretary shall appoint additional 
members to the council from a region that attains addi-
tional pounds of production as follows: 
‘‘(i) If the annual production of a region is greater 
than 110,000,000 pounds, but less than or equal to 
180,000,000 pounds, the region shall be represented 
by 1 additional member. 
‘‘(ii) If the annual production of a region is greater 
than 180,000,000 pounds, but less than or equal to 
260,000,000 pounds, the region shall be represented 
by 2 additional members. 
‘‘(iii) If the annual production of a region is greater 
than 260,000,000 pounds, the region shall be rep-
resented by 3 additional members.’’. 
(b) POWERS AND DUTIES OF COUNCIL.—Section 1925(c) of the 
Mushroom Promotion, Research, and Consumer Information Act 
of 1990 (7 U.S.C. 6104(c)) is amended— 
(1) by redesignating paragraphs (6), (7), and (8) as para-
graphs (7), (8), and (9), respectively; and 
(2) by inserting after paragraph (5) the following: 
‘‘(6) to develop and propose to the Secretary programs 
for good agricultural and good handling practices and related 
activities for mushrooms;’’. 
SEC. 10105. FOOD SAFETY EDUCATION INITIATIVES. 
(a) INITIATIVE AUTHORIZED.—The Secretary may carry out a 
food safety education program to educate the public and persons 
in the fresh produce industry about— 
7 USC 7655a. 
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122 STAT. 1337 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) scientifically proven practices for reducing microbial 
pathogens on fresh produce; and 
(2) methods of reducing the threat of cross-contamination 
of fresh produce through sanitary handling practices. 
(b) COOPERATION.—The Secretary may carry out the education 
program in cooperation with public and private partners. 
(c) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to carry out this section 
$1,000,000 for each of fiscal years 2008 through 2012, to remain 
available until expended. 
SEC. 10106. FARMERS’ MARKET PROMOTION PROGRAM. 
Section 6 of the Farmer-to-Consumer Direct Marketing Act 
of 1976 (7 U.S.C. 3005) is amended— 
(1) in subsection (a), by inserting ‘‘and to promote direct 
producer-to-consumer marketing’’ before the period at the end; 
(2) in subsection (b)(1)— 
(A) in subparagraph (A), by inserting ‘‘agri-tourism 
activities,’’ after ‘‘programs,’’; and 
(B) in subparagraph (B)— 
(i) by inserting ‘‘agri-tourism activities,’’ after ‘‘pro-
grams,’’ and 
(ii) by striking ‘‘infrastructure’’ and inserting ‘‘mar-
keting opportunities’’; 
(3) in subsection (c)(1), by inserting ‘‘or a producer network 
or association’’ after ‘‘cooperative’’; and 
(4) by striking subsection (e) and inserting the following: 
‘‘(e) FUNDING.— 
‘‘(1) IN GENERAL.—Of the funds of the Commodity Credit 
Corporation, the Secretary shall use to carry out this section— 
‘‘(A) $3,000,000 for fiscal year 2008; 
‘‘(B) $5,000,000 for each of fiscal years 2009 through 
2010; and 
‘‘(C) $10,000,000 for each of fiscal years 2011 and 2012. 
‘‘(2) USE OF FUNDS.—Not less than 10 percent of the funds 
used to carry out this section in a fiscal year under paragraph 
(1) shall be used to support the use of electronic benefits trans-
fers for Federal nutrition programs at farmers’ markets. 
‘‘(3) INTERDEPARTMENTAL COORDINATION.—In carrying out 
this subsection, the Secretary shall ensure coordination between 
the various agencies to the maximum extent practicable. 
‘‘(4) LIMITATION.—Funds described in paragraph (2)— 
‘‘(A) may not be used for the ongoing cost of carrying 
out any project; and 
‘‘(B) shall only be provided to eligible entities that 
demonstrate a plan to continue to provide EBT card access 
at 1 or more farmers’ markets following the receipt of 
the grant.’’. 
SEC. 10107. SPECIALTY CROPS MARKET NEWS ALLOCATION. 
(a) IN GENERAL.—The Secretary shall— 
(1) carry out market news activities to provide timely price 
and shipment information of specialty crops in the United 
States; and 
(2) use funds made available under subsection (b) to 
increase the reporting levels for specialty crops in effect on 
the date of enactment of this Act. 
7 USC 1622b. 
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122 STAT. 1338 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) AUTHORIZATION
OF APPROPRIATIONS.—In addition to any 
other funds made available through annual appropriations for 
market news services, there is authorized to be appropriated to 
carry out this section $9,000,000 for each of fiscal years 2008 
through 2012, to remain available until expended. 
SEC. 10108. EXPEDITED MARKETING ORDER FOR HASS AVOCADOS FOR 
GRADES AND STANDARDS AND OTHER PURPOSES. 
(a) IN GENERAL.—The Secretary shall initiate procedures under 
the Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted 
with amendments by the Agricultural Marketing Agreement Act 
of 1937, to determine whether it would be appropriate to establish 
a Federal marketing order for Hass avocados relating to grades 
and standards and for other purposes under that Act. 
(b) EXPEDITED PROCEDURES.— 
(1) PROPOSAL FOR AN ORDER.—An organization of domestic 
avocado producers in existence on the date of enactment of 
this Act may request the issuance of, and submit to the Sec-
retary a proposal for, an order described in subsection (a). 
(2) PUBLICATION OF PROPOSAL.—Not later than 60 days 
after the date on which the Secretary receives a proposed 
order under paragraph (1), the Secretary shall initiate proce-
dures described in subsection (a) to determine whether the 
proposed order should proceed. 
(c) EFFECTIVE DATE.—Any order issued under this section shall 
become effective not later than 15 months after the date on which 
the Secretary initiates procedures under the Agricultural Adjust-
ment Act (7 U.S.C. 601 et seq.), reenacted with amendments by 
the Agricultural Marketing Agreement Act of 1937. 
SEC. 10109. SPECIALTY CROP BLOCK GRANTS. 
(a) DEFINITION OF SPECIALTY CROP.—Section 3(1) of the Spe-
cialty Crops Competitiveness Act of 2004 (Public Law 108–465; 
7 U.S.C. 1621 note) is amended by inserting ‘‘horticulture and’’ 
before ‘‘nursery’’. 
(b) DEFINITION OF STATE.—Section 3(2) of the Specialty Crops 
Competitiveness Act of 2004 (Public Law 108–465; 7 U.S.C. 1621 
note) is amended by striking ‘‘and the Commonwealth of Puerto 
Rico’’ and inserting ‘‘the Commonwealth of Puerto Rico, Guam, 
American Samoa, the United States Virgin Islands, and the 
Commonwealth of the Northern Mariana Islands’’. 
(c) SPECIALTY CROP BLOCK GRANTS.—Section 101 of the Spe-
cialty Crops Competitiveness Act of 2004 (Public Law 108–465; 
7 U.S.C. 1621 note) is amended— 
(1) in subsection (a)— 
(A) by striking ‘‘Subject to the appropriation of funds 
to carry out this section’’ and inserting ‘‘Using the funds 
made available under subsection (j)’’; and 
(B) by striking ‘‘2009’’ and inserting ‘‘2012’’; 
(2) in subsection (b), by striking ‘‘appropriated pursuant 
to the authorization of appropriations in subsection (i)’’ and 
inserting ‘‘made available under subsection (j)’’; 
(3) by striking subsection (c) and inserting the following: 
‘‘(c) MINIMUM GRANT AMOUNT.—Notwithstanding subsection 
(b), each State shall receive a grant under this section for each 
fiscal year in an amount that is at least equal to the higher 
of— 
‘‘(1) $100,000; or 
Deadline. 
Procedures. 
7 USC 608c note. 
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122 STAT. 1339 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) 1⁄3 of 1 percent of the total amount of funding made 
available to carry out this section for the fiscal year.’’; and 
(4) by striking subsection (i) and inserting the following: 
‘‘(i) REALLOCATION.— 
‘‘(1) IN GENERAL.—The Secretary shall reallocate to other 
States in accordance with paragraph (2) any amounts made 
available for a fiscal year under this section that are not obli-
gated or expended by a date during that fiscal year determined 
by the Secretary. 
‘‘(2) PRO RATA ALLOCATION.—The Secretary shall allocate 
funds described in paragraph (1) pro rata to the remaining 
States that applied during the specified grant application 
period. 
‘‘(3) USE OF REALLOCATED FUNDS.—Funds allocated to a 
State under this subsection shall be used by the State only 
to carry out projects that were previously approved in the 
State plan of the State. 
‘‘(j) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary of Agriculture shall make grants under this 
section, using— 
‘‘(1) $10,000,000 for fiscal year 2008; 
‘‘(2) $49,000,000 for fiscal year 2009; and 
‘‘(3) $55,000,000 for each of fiscal years 2010 through 
2012.’’. 
Subtitle B—Pest and Disease Management 
SEC. 10201. PLANT PEST AND DISEASE MANAGEMENT AND DISASTER 
PREVENTION. 
(a) IN GENERAL.—Subtitle A of the Plant Protection Act (7 
U.S.C. 7711 et seq.) is amended by adding at the end the following: 
‘‘SEC. 420. PLANT PEST AND DISEASE MANAGEMENT AND DISASTER 
PREVENTION. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) EARLY PLANT PEST DETECTION AND SURVEILLANCE.— 
The term ‘early plant pest detection and surveillance’ means 
the full range of activities undertaken to find newly introduced 
plant pests, whether the plant pests are new to the United 
States or new to certain areas of the United States, before— 
‘‘(A) the plant pests become established; or 
‘‘(B) the plant pest infestations become too large and 
costly to eradicate or control. 
‘‘(2) SPECIALTY CROP.—The term ‘specialty crop’ has the 
meaning given the term in section 3 of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 
108–465). 
‘‘(3) STATE DEPARTMENT OF AGRICULTURE.—The term ‘State 
department of agriculture’ means an agency of a State that 
has a legal responsibility to perform early plant pest detection 
and surveillance activities. 
‘‘(b) EARLY
PLANT
PEST
DETECTION
AND
SURVEILLANCE 
IMPROVEMENT PROGRAM.— 
‘‘(1) COOPERATIVE AGREEMENTS.—The Secretary shall enter 
into a cooperative agreement with each State department of 
7 USC 7721. 
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122 STAT. 1340 
PUBLIC LAW 110–234—MAY 22, 2008 
agriculture that agrees to conduct early plant pest detection 
and surveillance activities. 
‘‘(2) CONSULTATION.—In carrying out this subsection, the 
Secretary shall consult with— 
‘‘(A) the National Plant Board; and 
‘‘(B) other interested parties. 
‘‘(3) FEDERAL
ADVISORY
COMMITTEE
ACT.—The Federal 
Advisory Committee Act (5 U.S.C. App.) shall not apply to 
consultations under this subsection. 
‘‘(4) APPLICATION.— 
‘‘(A) IN GENERAL.—A State department of agriculture 
seeking to enter into a cooperative agreement under this 
subsection shall submit to the Secretary an application 
containing such information as the Secretary may require. 
‘‘(B) 
NOTIFICATION.—The 
Secretary 
shall 
notify 
applicants of— 
‘‘(i) the requirements to be imposed on a State 
department of agriculture for auditing of, and reporting 
on, the use of any funds provided by the Secretary 
under the cooperative agreement; 
‘‘(ii) the criteria to be used to ensure that early 
pest detection and surveillance activities supported 
under the cooperative agreement are based on sound 
scientific data or thorough risk assessments; and 
‘‘(iii) the means of identifying pathways of pest 
introductions. 
‘‘(5) USE OF FUNDS.— 
‘‘(A) PLANT PEST DETECTION AND SURVEILLANCE ACTIVI-
TIES.—A State department of agriculture that receives 
funds under this subsection shall use the funds to carry 
out early plant pest detection and surveillance activities 
approved by the Secretary to prevent the introduction or 
spread of a plant pest. 
‘‘(B) SUBAGREEMENTS.—Nothing in this subsection pre-
vents a State department of agriculture from using funds 
received under paragraph (4) to enter into subagreements 
with political subdivisions of the State that have legal 
responsibilities relating to agricultural plant pest and dis-
ease surveillance. 
‘‘(C) NON-FEDERAL SHARE.—The non-Federal share of 
the cost of carrying out a cooperative agreement under 
this section may be provided in-kind, including through 
provision of such indirect costs of the cooperative agreement 
as the Secretary considers to be appropriate. 
‘‘(D) ABILITY TO PROVIDE FUNDS.—The Secretary shall 
not take the ability to provide non-Federal costs to carry 
out a cooperative agreement entered into under subpara-
graph (A) into consideration when deciding whether to 
enter into a cooperative agreement with a State department 
of agriculture. 
‘‘(6) SPECIAL
FUNDING
CONSIDERATIONS.—The Secretary 
shall provide funds to a State department of agriculture if 
the Secretary determines that— 
‘‘(A) the State department of agriculture is in a State 
that has a high risk of being affected by 1 or more plant 
pests or diseases, taking into consideration— 
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122 STAT. 1341 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) the number of international ports of entry in 
the State; 
‘‘(ii) the volume of international passenger and 
cargo entry into the State; 
‘‘(iii) the geographic location of the State and if 
the location or types of agricultural commodities pro-
duced in the State are conducive to agricultural pest 
and disease establishment due to the climate, crop 
diversity, or natural resources (including unique plant 
species) of the State; and 
‘‘(iv) whether the Secretary has determined that 
an agricultural pest or disease in the State is a Federal 
concern ; and 
‘‘(B) the early plant pest detection and surveillance 
activities supported with the funds will likely— 
‘‘(i) prevent the introduction and establishment of 
plant pests; and 
‘‘(ii) provide a comprehensive approach to com-
pliment Federal detection efforts. 
‘‘(7) REPORTING
REQUIREMENT.—Not later than 90 days 
after the date of completion of an early plant pest detection 
and surveillance activity conducted by a State department of 
agriculture using funds provided under this section, the State 
department of agriculture shall submit to the Secretary a report 
that describes the purposes and results of the activities. 
‘‘(c) THREAT IDENTIFICATION AND MITIGATION PROGRAM.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish a 
threat identification and mitigation program to determine and 
address threats to the domestic production of crops. 
‘‘(2) REQUIREMENTS.—In conducting the program estab-
lished under paragraph (1), the Secretary shall— 
‘‘(A) develop risk assessments of the potential threat 
to the agricultural industry of the United States from for-
eign sources; 
‘‘(B) collaborate with the National Plant Board; and 
‘‘(C) implement action plans for high consequence plant 
pest and diseases to assist in preventing the introduction 
and widespread dissemination of new plant pest and dis-
ease threats in the United States. 
‘‘(3) REPORTS.—Not later than 1 year after the date of 
enactment of this paragraph, and annually thereafter, the Sec-
retary 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 on the action 
plans described in paragraph (2), including an accounting of 
funds expended on the action plans. 
‘‘(d) SPECIALTY CROP CERTIFICATION AND RISK MANAGEMENT 
SYSTEMS.—The Secretary shall provide funds and technical assist-
ance to specialty crop growers, organizations representing specialty 
crop growers, and State and local agencies working with specialty 
crop 
growers 
and 
organizations 
for 
the 
development 
and 
implementation of— 
‘‘(1) audit-based certification systems, such as best manage-
ment practices— 
‘‘(A) to address plant pests; and 
‘‘(B) to mitigate the risk of plant pests in the movement 
of plants and plant products; and 
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122 STAT. 1342 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) nursery plant pest risk management systems, in 
collaboration with the nursery industry, research institutions, 
and other appropriate entities— 
‘‘(A) to enable growers to identify and prioritize nursery 
plant pests and diseases of regulatory significance; 
‘‘(B) to prevent the introduction, establishment, and 
spread of those plant pests and diseases; and 
‘‘(C) to reduce the risk of and mitigate those plant 
pests and diseases. 
‘‘(e) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary shall make available to carry out this section— 
‘‘(1) $12,000,000 for fiscal year 2009; 
‘‘(2) $45,000,000 for fiscal year 2010; 
‘‘(3) $50,000,000 for fiscal year 2011; and 
‘‘(4) $50,000,000 for fiscal year 2012 and each fiscal year 
thereafter.’’. 
(b) CONGRESSIONAL DISAPPROVAL.—Congress disapproves the 
rule submitted by the Secretary of Agriculture relating to cost- 
sharing for animal and plant health emergency programs (68 Fed. 
Reg. 40541 (2003)), and such rule shall have no force or effect. 
SEC. 10202. NATIONAL CLEAN PLANT NETWORK. 
(a) IN GENERAL.—The Secretary shall establish a program to 
be known as the ‘‘National Clean Plant Network’’ (referred to in 
this section as the ‘‘Program’’). 
(b) REQUIREMENTS.—Under the Program, the Secretary shall 
establish a network of clean plant centers for diagnostic and 
pathogen elimination services to— 
(1) produce clean propagative plant material; and 
(2) maintain blocks of pathogen-tested plant material in 
sites located throughout the United States. 
(c) AVAILABILITY OF CLEAN PLANT SOURCE MATERIAL.—Clean 
plant source material may be made available to— 
(1) a State for a certified plant program of the State; 
and 
(2) private nurseries and producers. 
(d) CONSULTATION AND COLLABORATION.—In carrying out the 
Program, the Secretary shall— 
(1) consult with State departments of agriculture, land 
grant universities, and NLGCA Institutions (as defined in sec-
tion 1404 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3103)); and 
(2) to the extent practicable and with input from the appro-
priate State officials and industry representatives, use existing 
Federal or State facilities to serve as clean plant centers. 
(e) FUNDING.—Of the funds of the Commodity Credit Corpora-
tion, the Secretary shall use to carry out the Program $5,000,000 
for each of fiscal years 2009 through 2012, to remain available 
until expended. 
SEC. 10203. PLANT PROTECTION. 
(a) REVIEW
OF PAYMENT
OF COMPENSATION.—Section 415(e) 
of the Plant Protection Act (7 U.S.C. 7715(e)) is amended in the 
second sentence by striking ‘‘of longer than 60 days’’. 
(b) SECRETARIAL DISCRETION.—Section 442(c) of the Plant 
Protection Act (7 U.S.C. 7772(c)) is amended by striking ‘‘of longer 
than 60 days’’. 
7 USC 7761. 
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122 STAT. 1343 
PUBLIC LAW 110–234—MAY 22, 2008 
(c) SUBPOENA AUTHORITY.—Section 423 of the Plant Protection 
Act (7 U.S.C. 7733) is amended— 
(1) by striking subsection (a) and inserting the following: 
‘‘(a) AUTHORITY TO ISSUE.—The Secretary shall have the power 
to subpoena the attendance and testimony of any witness, the 
production of all evidence (including books, papers, documents, elec-
tronically stored information, and other tangible things that con-
stitute or contain evidence), or to require the person to whom 
the subpoena is directed to permit the inspection of premises 
relating to the administration or enforcement of this title or any 
matter under investigation in connection with this title.’’; 
(2) in subsection (b), by striking ‘‘documentary’’; and 
(3) in subsection (c)— 
(A) in the first sentence, by striking ‘‘testimony of 
any witness and the production of documentary evidence’’ 
and inserting ‘‘testimony of any witness, the production 
of evidence, or the inspection of premises’’; and 
(B) in the second sentence, by striking ‘‘question or 
to produce documentary evidence’’ and inserting ‘‘question, 
produce evidence, or permit the inspection of premises’’. 
(d) WILLFUL VIOLATIONS.—Section 424(b)(1)(A) of the Plant 
Protection Act (7 U.S.C. 7734(b)(1)(A)) is amended by striking ‘‘and 
$500,000 for all violations adjudicated in a single proceeding’’ and 
inserting ‘‘$500,000 for all violations adjudicated in a single pro-
ceeding if the violations do not include a willful violation, and 
$1,000,000 for all violations adjudicated in a single proceeding 
if the violations include a willful violation’’. 
SEC. 10204. REGULATIONS TO IMPROVE MANAGEMENT AND OVER-
SIGHT OF CERTAIN REGULATED ARTICLES. 
(a) IN GENERAL.—Not later than 18 months after the date 
of enactment of this Act, the Secretary shall— 
(1) take action on each issue identified in the document 
entitled ‘‘Lessons Learned and Revisions under Consideration 
for APHIS’ Biotechnology Framework’’, dated October 4, 2007; 
and 
(2) as the Secretary considers appropriate, promulgate 
regulations to improve the management and oversight of arti-
cles regulated under the Plant Protection Act (7 U.S.C. 7701 
et seq.). 
(b) INCLUSIONS.—In carrying out subsection (a), the Secretary 
shall take actions that are designed to enhance— 
(1) the quality and completeness of records; 
(2) the availability of representative samples; 
(3) the maintenance of identity and control in the event 
of an unauthorized release; 
(4) corrective actions in the event of an unauthorized 
release; 
(5) protocols for conducting molecular forensics; 
(6) clarity in contractual agreements; 
(7) the use of the latest scientific techniques for isolation 
and confinement distances; 
(8) standards for quality management systems and effective 
research; and 
(9) the design of electronic permits to store documents 
and other information relating to the permit and notification 
processes. 
Deadlines. 
7 USC 7701 note. 
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122 STAT. 1344 
PUBLIC LAW 110–234—MAY 22, 2008 
(c) CONSIDERATION.—In carrying out subsection (a), the Sec-
retary shall consider— 
(1) establishing— 
(A) a system of risk-based categories to classify each 
regulated article; 
(B) a means to identify regulated articles (including 
the retention of seed samples); and 
(C) standards for isolation and containment distances; 
and 
(2) requiring permit holders— 
(A) to maintain a positive chain of custody; 
(B) to provide for the maintenance of records; 
(C) to provide for the accounting of material; 
(D) to conduct periodic audits; 
(E) to establish an appropriate training program; 
(F) to provide contingency and corrective action plans; 
and 
(G) to submit reports as the Secretary considers to 
be appropriate. 
SEC. 10205. PEST AND DISEASE REVOLVING LOAN FUND. 
(a) DEFINITIONS.—In this section: 
(1) AUTHORIZED EQUIPMENT.— 
(A) IN
GENERAL.—The term ‘‘authorized equipment’’ 
means any equipment necessary for the management of 
forest land. 
(B) INCLUSIONS.—The term ‘‘authorized equipment’’ 
includes— 
(i) cherry pickers; 
(ii) equipment necessary for— 
(I) the construction of staging and marshalling 
areas; 
(II) the planting of trees; and 
(III) the surveying of forest land; 
(iii) vehicles capable of transporting harvested 
trees; 
(iv) wood chippers; and 
(v) any other appropriate equipment, as deter-
mined by the Secretary. 
(2) FUND.—The term ‘‘Fund’’ means the Pest and Disease 
Revolving Loan Fund established by subsection (b). 
(3) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of Agriculture, acting through the Deputy Chief of the State 
and Private Forestry organization. 
(b) ESTABLISHMENT
OF FUND.—There is established in the 
Treasury of the United States a revolving fund, to be known as 
the ‘‘Pest and Disease Revolving Loan Fund’’, consisting of such 
amounts as are appropriated to the Fund under subsection (f). 
(c) EXPENDITURES FROM FUND.— 
(1) IN GENERAL.—Subject to paragraph (2), on request by 
the Secretary, the Secretary of the Treasury shall transfer 
from the Fund to the Secretary such amounts as the Secretary 
determines are necessary to provide loans under subsection 
(e). 
(2) ADMINISTRATIVE EXPENSES.—An amount not exceeding 
10 percent of the amounts in the Fund shall be available 
16 USC 2104a. 
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122 STAT. 1345 
PUBLIC LAW 110–234—MAY 22, 2008 
for each fiscal year to pay the administrative expenses nec-
essary to carry out this section. 
(d) TRANSFERS OF AMOUNTS.— 
(1) IN GENERAL.—The amounts required to be transferred 
to the Fund under this section shall be transferred at least 
monthly from the general fund of the Treasury to the Fund 
on the basis of estimates made by the Secretary of the Treasury. 
(2) ADJUSTMENTS.—Proper adjustment shall be made in 
amounts subsequently transferred to the extent prior estimates 
were in excess of or less than the amounts required to be 
transferred. 
(e) USES OF FUND.— 
(1) LOANS.— 
(A) IN
GENERAL.—The Secretary shall use amounts 
in the Fund to provide loans to eligible units of local 
government to finance purchases of authorized equipment 
to monitor, remove, dispose of, and replace infested trees 
that are located— 
(i) on land under the jurisdiction of the eligible 
units of local government; and 
(ii) within the borders of quarantine areas infested 
by plant pests. 
(B) MAXIMUM AMOUNT.—The maximum amount of a 
loan that may be provided by the Secretary to an eligible 
unit of local government under this subsection shall be 
the lesser of— 
(i) the amount that the eligible unit of local govern-
ment has appropriated to finance purchases of author-
ized equipment in accordance with subparagraph (A); 
or 
(ii) $5,000,000. 
(C) INTEREST
RATE.—The interest rate on any loan 
made by the Secretary under this paragraph shall be a 
rate equal to 2 percent. 
(D) REPORT.—Not later than 180 days after the date 
on which an eligible unit of local government receives a 
loan provided by the Secretary under subparagraph (A), 
the eligible unit of local government shall submit to the 
Secretary a report that describes each purchase made by 
the eligible unit of local government using assistance pro-
vided through the loan. 
(2) LOAN REPAYMENT SCHEDULE.— 
(A) IN GENERAL.—To be eligible to receive a loan from 
the Secretary under paragraph (1), in accordance with each 
requirement described in subparagraph (B), an eligible unit 
of local government shall enter into an agreement with 
the Secretary to establish a loan repayment schedule 
relating to the repayment of the loan. 
(B) REQUIREMENTS
RELATING
TO
LOAN
REPAYMENT 
SCHEDULE.—A loan repayment schedule established under 
subparagraph (A) shall require the eligible unit of local 
government— 
(i) to repay to the Secretary of the Treasury, not 
later than 1 year after the date on which the eligible 
unit of local government receives a loan under para-
graph (1), and semiannually thereafter, an amount 
equal to the quotient obtained by dividing— 
Deadline. 
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122 STAT. 1346 
PUBLIC LAW 110–234—MAY 22, 2008 
(I) the principal amount of the loan (including 
interest); by 
(II) the total quantity of payments that the 
eligible unit of local government is required to 
make during the repayment period of the loan; 
and 
(ii) not later than 20 years after the date on which 
the eligible unit of local government receives a loan 
under paragraph (1), to complete repayment to the 
Secretary of the Treasury of the loan made under 
this section (including interest). 
(f) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to the Fund such sums as are necessary to 
carry out this section. 
SEC. 10206. COOPERATIVE AGREEMENTS RELATING TO PLANT PEST 
AND DISEASE PREVENTION ACTIVITIES. 
Section 431 of the Plant Protection Act (7 U.S.C. 7751) is 
amended by adding at the end the following: 
‘‘(f) TRANSFER OF COOPERATIVE AGREEMENT FUND.— 
‘‘(1) IN GENERAL.—A State may provide to a unit of local 
government in the State described in paragraph (2) any cost- 
sharing assistance or financing mechanism provided to the 
State under a cooperative agreement entered into under this 
Act between the Secretary and the State relating to the eradi-
cation, prevention, control, or suppression of plant pests. 
‘‘(2) REQUIREMENTS.—To be eligible for assistance or 
financing under paragraph (1), a unit of local government shall 
be— 
‘‘(A) engaged in any activity relating to the eradication, 
prevention, control, or suppression of the plant pest infesta-
tion covered under the cooperative agreement between the 
Secretary and the State; and 
‘‘(B) capable of documenting each plant pest infestation 
eradication, prevention, control, or suppression activity gen-
erally carried out by— 
‘‘(i) the Department of Agriculture; or 
‘‘(ii) the State department of agriculture that has 
jurisdiction over the unit of local government.’’. 
Subtitle C—Organic Agriculture 
SEC. 10301. NATIONAL ORGANIC CERTIFICATION COST-SHARE PRO-
GRAM. 
Section 10606 of the Farm Security and Rural Investment 
Act of 2002 (7 U.S.C. 6523) is amended— 
(1) in subsection (a), by striking ‘‘$5,000,000 for fiscal year 
2002’’ and inserting ‘‘$22,000,000 for fiscal year 2008’’; 
(2) in subsection (b)(2), by striking ‘‘$500’’ and inserting 
‘‘$750’’; and 
(3) by adding at the end the following: 
‘‘(c) REPORTING.—Not later than March 1 of each year, the 
Secretary shall submit to the Committee on Agriculture of the 
House of Representatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate a report that describes the requests 
by, disbursements to, and expenditures for each State under the 
Deadline. 
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122 STAT. 1347 
PUBLIC LAW 110–234—MAY 22, 2008 
program during the current and previous fiscal year, including 
the number of producers and handlers served by the program 
in the previous fiscal year.’’. 
SEC. 10302. ORGANIC PRODUCTION AND MARKET DATA INITIATIVES. 
Section 7407 of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 5925c) is amended to read as follows: 
‘‘SEC. 7407. ORGANIC PRODUCTION AND MARKET DATA INITIATIVES. 
‘‘(a) IN GENERAL.—The Secretary shall collect and report data 
on the production and marketing of organic agricultural products. 
‘‘(b) REQUIREMENTS.—In carrying out subsection (a), the Sec-
retary shall, at a minimum— 
‘‘(1) collect and distribute comprehensive reporting of prices 
relating to organically produced agricultural products; 
‘‘(2) conduct surveys and analysis and publish reports 
relating to organic production, handling, distribution, retail, 
and trend studies (including consumer purchasing patterns); 
and 
‘‘(3) develop surveys and report statistical analysis on 
organically produced agricultural products. 
‘‘(c) REPORT.—Not later than 180 days after the date of enact-
ment of this subsection, 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 
that— 
‘‘(1) describes the progress that has been made in imple-
menting this section; and 
‘‘(2) identifies any additional production and marketing 
data needs. 
‘‘(d) FUNDING.— 
‘‘(1) IN GENERAL.—Of the funds of the Commodity Credit 
Corporation, the Secretary shall use to carry out this section 
$5,000,000, to remain available until expended. 
‘‘(2) ADDITIONAL
FUNDING.—In addition to funds made 
available under paragraph (1), there are authorized to be appro-
priated to carry out this section not more than $5,000,000 
for each of fiscal years 2008 through 2012, to remain available 
until expended.’’. 
SEC. 10303. NATIONAL ORGANIC PROGRAM. 
Section 2123 of the Organic Foods Production Act of 1990 
(7 U.S.C. 6522) is amended— 
(1) by striking ‘‘There are’’ and inserting the following: 
‘‘(a) IN GENERAL.—There are’’; and 
(2) by adding at the end the following: 
‘‘(b) NATIONAL ORGANIC PROGRAM.—Notwithstanding any other 
provision of law, in order to carry out activities under the national 
organic program established under this title, there are authorized 
to be appropriated— 
‘‘(1) $5,000,000 for fiscal year 2008; 
‘‘(2) $6,500,000 for fiscal year 2009; 
‘‘(3) $8,000,000 for fiscal year 2010; 
‘‘(4) $9,500,000 for fiscal year 2011; 
‘‘(5) $11,000,000 for fiscal year 2012; and 
‘‘(6) in addition to those amounts, such additional sums 
as are necessary for fiscal year 2009 and each fiscal year 
thereafter.’’. 
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122 STAT. 1348 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle D—Miscellaneous 
SEC. 10401. NATIONAL HONEY BOARD. 
Section 7(c) of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4606(c)) is amended by adding at the 
end the following: 
‘‘(12) REFERENDUM REQUIREMENT.— 
‘‘(A) DEFINITION OF EXISTING HONEY BOARD.—The term 
‘existing Honey Board’ means the Honey Board in effect 
on the date of enactment of this paragraph. 
‘‘(B) CONDUCT OF REFERENDA.—Notwithstanding any 
other provision of law, subject to subparagraph (C), the 
order providing for the establishment and operation of the 
existing Honey Board shall continue in force, until the 
Secretary first conducts, at the earliest practicable date, 
but not later than 180 days after the date of enactment 
of this paragraph, referenda on orders to establish a honey 
packer-importer board or a United States honey producer 
board. 
‘‘(C) REQUIREMENTS.—In conducting referenda under 
subparagraph (B), and in exercising fiduciary responsibil-
ities in any transition to any 1 or more successor boards, 
the Secretary shall— 
‘‘(i) conduct a referendum of eligible United States 
honey producers for the establishment of a marketing 
board solely for United States honey producers; 
‘‘(ii) conduct a referendum of eligible packers, 
importers, and handlers of honey for the establishment 
of a marketing board for packers, importers, and han-
dlers of honey; 
‘‘(iii) notwithstanding the timing of the referenda 
required under clauses (i) and (ii) or of the establish-
ment of any 1 or more successor boards pursuant to 
those referenda, ensure that the rights and interests 
of honey producers, importers, packers, and handlers 
of honey are equitably protected in any disposition 
of the assets, facilities, intellectual property, and pro-
grams of the existing Honey Board and in the transi-
tion to any 1 or more new successor marketing boards; 
‘‘(iv) ensure that the existing Honey Board con-
tinues in operation until such time as the Secretary 
determines that— 
‘‘(I) any 1 or more successor boards, if 
approved, are operational; and 
‘‘(II) the interests of producers, importers, 
packers, and handlers of honey can be equitably 
protected during any remaining period in which 
a referendum on a successor board or the establish-
ment of such a board is pending; and 
‘‘(v) discontinue collection of assessments under 
the order establishing the existing Honey Board on 
the date the Secretary requires that collections com-
mence pursuant to an order approved in a referendum 
by eligible producers or processors and importers of 
honey. 
Deadline. 
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122 STAT. 1349 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(D) HONEY BOARD REFERENDUM.—If 1 or more orders 
are approved pursuant to paragraph (C)— 
‘‘(i) the Secretary shall not be required to conduct 
a continuation referendum on the order in existence 
on the date of enactment of this paragraph; and 
‘‘(ii) that order shall be terminated pursuant to 
the provisions of the order.’’. 
SEC. 10402. IDENTIFICATION OF HONEY. 
(a) IN GENERAL.—Section 203(h) of the Agricultural Marketing 
Act of 1946 (7 U.S.C. 1622(h)) is amended— 
(1) by designating the first through sixth sentences as 
paragraphs (1), (2)(A), (2)(B), (3), (4), and (5), respectively; 
and 
(2) by adding at the end the following: 
‘‘(6) IDENTIFICATION OF HONEY.— 
‘‘(A) IN GENERAL.—The use of a label or advertising 
material on, or in conjunction with, packaged honey that 
bears any official certificate of quality, grade mark or state-
ment, continuous inspection mark or statement, sampling 
mark or statement, or any combination of the certificates, 
marks, or statements of the Department of Agriculture 
is hereby prohibited under this Act unless there appears 
legibly and permanently in close proximity (such as on 
the same side(s) or surface(s)) to the certificate, mark, 
or statement, and in at least a comparable size, the 1 
or more names of the 1 or more countries of origin of 
the lot or container of honey, preceded by the words 
‘Product of’ or other words of similar meaning. 
‘‘(B) VIOLATION.—A violation of the requirements of 
subparagraph (A) may be deemed by the Secretary to be 
sufficient cause for debarment from the benefits of this 
Act only with respect to honey.’’. 
(b) EFFECTIVE DATE.—The amendments made by subsection 
(a) take effect on the date that is 1 year after the date of enactment 
of this Act. 
SEC. 10403. GRANT PROGRAM TO IMPROVE MOVEMENT OF SPECIALTY 
CROPS. 
(a) GRANTS AUTHORIZED.—The Secretary may make grants 
under this section to an eligible entity described in subsection 
(b)— 
(1) to improve the cost-effective movement of specialty crops 
to local, regional, national, and international markets; and 
(2) to address regional intermodal transportation defi-
ciencies that adversely affect the movement of specialty crops 
to markets inside or outside the United States. 
(b) ELIGIBLE GRANT RECIPIENTS.—Grants may be made under 
this section to any of, or any combination of: 
(1) State and local governments. 
(2) Grower cooperatives. 
(3) National, State, or regional organizations of producers, 
shippers, or carriers. 
(4) Other entities as determined to be appropriate by the 
Secretary. 
(c) MATCHING FUNDS.—The recipient of a grant under this 
section shall contribute an amount of non-Federal funds toward 
the project for which the grant is provided that is at least equal 
7 USC 1622c. 
7 USC 1622 note. 
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122 STAT. 1350 
PUBLIC LAW 110–234—MAY 22, 2008 
to the amount of grant funds received by the recipient under this 
section. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to carry out this section such sums as are 
necessary for each of fiscal years 2008 through 2012. 
SEC. 10404. MARKET LOSS ASSISTANCE FOR ASPARAGUS PRODUCERS. 
(a) IN GENERAL.—As soon as practicable after the date of enact-
ment of this Act, the Secretary shall make payments to producers 
of the 2007 crop of asparagus for market loss resulting from imports 
during the 2004 through 2007 crop years. 
(b) PAYMENT RATE.—The payment rate for a payment under 
this section shall be based on the reduction in revenue received 
by asparagus producers associated with imports during the 2004 
through 2007 crop years. 
(c) PAYMENT QUANTITY.—The payment quantity for asparagus 
for which the producers on a farm are eligible for payments under 
this section shall be equal to the average quantity of the 2003 
crop of asparagus produced by producers on the farm. 
(d) FUNDING.— 
(1) IN GENERAL.—Subject to paragraph (2), the Secretary 
shall make available $15,000,000 of the funds of the Commodity 
Credit Corporation to carry out a program to provide market 
loss payments to producers of asparagus under this section. 
(2) ALLOCATION.—Of the amount made available under 
paragraph (1), the Secretary shall use— 
(A) $7,500,000 to make payments to producers of aspar-
agus for the fresh market; and 
(B) $7,500,000 to make payments to producers of aspar-
agus for the processed or frozen market. 
TITLE XI—LIVESTOCK 
SEC. 11001. LIVESTOCK MANDATORY REPORTING. 
(a) WEB SITE IMPROVEMENTS AND USER EDUCATION.— 
(1) IN GENERAL.—Section 251(g) of the Agricultural Mar-
keting Act of 1946 (7 U.S.C. 1636(g)) is amended to read as 
follows: 
‘‘(g) ELECTRONIC REPORTING AND PUBLISHING.— 
‘‘(1) IN GENERAL.—The Secretary shall, to the maximum 
extent practicable, provide for the reporting and publishing 
of the information required under this subtitle by electronic 
means. 
‘‘(2) IMPROVEMENTS AND EDUCATION.— 
‘‘(A) ENHANCED
ELECTRONIC
PUBLISHING.—The Sec-
retary shall develop and implement an enhanced system 
of electronic publishing to disseminate information collected 
pursuant to this subtitle. Such system shall— 
‘‘(i) present information in a format that can be 
readily understood by producers, packers, and other 
market participants; 
‘‘(ii) adhere to the publication deadlines in this 
subtitle; 
‘‘(iii) present information in charts and graphs, 
as appropriate; 
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122 STAT. 1351 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(iv) present comparative information for prior 
reporting periods, as the Secretary considers appro-
priate; and 
‘‘(v) be updated as soon as practicable after 
information is reported to the Secretary. 
‘‘(B) EDUCATION.—The Secretary shall carry out a 
market news education program to educate the public and 
persons in the livestock and meat industries about— 
‘‘(i) usage of the system developed under subpara-
graph (A); and 
‘‘(ii) interpreting and understanding information 
collected and disseminated through such system.’’. 
(2) APPLICABILITY.— 
(A) ENHANCED
REPORTING.—The Secretary of Agri-
culture shall develop and implement the system required 
under paragraph (2)(A) of section 251(g) of the Agricultural 
Marketing Act of 1946 (7 U.S.C. 1636(g)), as amended 
by paragraph (1), not later than one year after the date 
on which the Secretary determines sufficient funds have 
been appropriated pursuant to subsection (c). 
(B) CURRENT
SYSTEM.—Notwithstanding the amend-
ment made by paragraph (1), the Secretary shall continue 
to use the information format for disseminating information 
under subtitle B of the Agricultural Marketing Act of 1946 
(7 U.S.C. 1621 et seq.) in effect on the date of the enactment 
of this Act at least until the date that is two years after 
the date on which the Secretary makes the determination 
referred to in subparagraph (A). 
(b) STUDY AND REPORT.— 
(1) STUDY.—The Secretary shall conduct a study on the 
effects of requiring packer processing plants to report to the 
Secretary information on wholesale pork cuts (including price 
and volume information), including— 
(A) the positive or negative economic effects on pro-
ducers and consumers; and 
(B) the effects of a confidentiality requirement on 
mandatory reporting. 
(2) INFORMATION.—During the period preceding the submis-
sion of the report under paragraph (3), the Secretary may 
collect, and each packer processing plant shall provide, such 
information as is necessary to enable the Secretary to conduct 
the study required under paragraph (1). 
(3) REPORT.—Not later than one year after the date of 
the 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 on the results of the study conducted under 
paragraph (1). 
(c) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as may be necessary to carry out 
this section. 
SEC. 11002. COUNTRY OF ORIGIN LABELING. 
Subtitle D of the Agricultural Marketing Act of 1946 (7 U.S.C. 
1638 et seq.) is amended— 
(1) in section 281(2)(A)— 
(A) in clause (v), by striking ‘‘and’’; 
7 USC 1638. 
7 USC 1636 note. 
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122 STAT. 1352 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) in clause (vi), by striking the period at the end 
and inserting ‘‘; and’’; and 
(C) by adding at the end the following: 
‘‘(vii) meat produced from goats; 
‘‘(viii) chicken, in whole and in part; 
‘‘(ix) ginseng; 
‘‘(x) pecans; and 
‘‘(xi) macadamia nuts.’’; 
(2) in section 282— 
(A) in subsection (a), by striking paragraphs (2) and 
(3) and inserting the following: 
‘‘(2) DESIGNATION OF COUNTRY OF ORIGIN FOR BEEF, LAMB, 
PORK, CHICKEN, AND GOAT MEAT.— 
‘‘(A) UNITED STATES COUNTRY OF ORIGIN.—A retailer 
of a covered commodity that is beef, lamb, pork, chicken, 
or goat meat may designate the covered commodity as 
exclusively having a United States country of origin only 
if the covered commodity is derived from an animal that 
was— 
‘‘(i) exclusively born, raised, and slaughtered in 
the United States; 
‘‘(ii) born and raised in Alaska or Hawaii and 
transported for a period of not more than 60 days 
through Canada to the United States and slaughtered 
in the United States; or 
‘‘(iii) present in the United States on or before 
July 15, 2008, and once present in the United States, 
remained continuously in the United States. 
‘‘(B) MULTIPLE COUNTRIES OF ORIGIN.— 
‘‘(i) IN
GENERAL.—A retailer of a covered com-
modity that is beef, lamb, pork, chicken, or goat meat 
that is derived from an animal that is— 
‘‘(I) not exclusively born, raised, and slaugh-
tered in the United States, 
‘‘(II) born, raised, or slaughtered in the United 
States, and 
‘‘(III) not imported into the United States for 
immediate slaughter, 
may designate the country of origin of such covered 
commodity as all of the countries in which the animal 
may have been born, raised, or slaughtered. 
‘‘(ii) 
RELATION
TO
GENERAL
REQUIREMENT.— 
Nothing in this subparagraph alters the mandatory 
requirement to inform consumers of the country of 
origin of covered commodities under paragraph (1). 
‘‘(C) IMPORTED FOR IMMEDIATE SLAUGHTER.—A retailer 
of a covered commodity that is beef, lamb, pork, chicken, 
or goat meat that is derived from an animal that is 
imported into the United States for immediate slaughter 
shall designate the origin of such covered commodity as— 
‘‘(i) the country from which the animal was 
imported; and 
‘‘(ii) the United States. 
‘‘(D) FOREIGN
COUNTRY
OF
ORIGIN.—A retailer of a 
covered commodity that is beef, lamb, pork, chicken, or 
goat meat that is derived from an animal that is not 
born, raised, or slaughtered in the United States shall 
7 USC 1638a. 
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122 STAT. 1353 
PUBLIC LAW 110–234—MAY 22, 2008 
designate a country other than the United States as the 
country of origin of such commodity. 
‘‘(E) GROUND BEEF, PORK, LAMB, CHICKEN, AND GOAT.— 
The notice of country of origin for ground beef, ground 
pork, ground lamb, ground chicken, or ground goat shall 
include— 
‘‘(i) a list of all countries of origin of such ground 
beef, ground pork, ground lamb, ground chicken, or 
ground goat; or 
‘‘(ii) a list of all reasonably possible countries of 
origin of such ground beef, ground pork, ground lamb, 
ground chicken, or ground goat. 
‘‘(3) DESIGNATION OF COUNTRY OF ORIGIN FOR FISH.— 
‘‘(A) IN GENERAL.—A retailer of a covered commodity 
that is farm-raised fish or wild fish may designate the 
covered commodity as having a United States country of 
origin only if the covered commodity— 
‘‘(i) in the case of farm-raised fish, is hatched, 
raised, harvested, and processed in the United States; 
and 
‘‘(ii) in the case of wild fish, is— 
‘‘(I) harvested in the United States, a territory 
of the United States, or a State, or by a vessel 
that is documented under chapter 121 of title 46, 
United States Code, or registered in the United 
States; and 
‘‘(II) processed in the United States, a territory 
of the United States, or a State, including the 
waters thereof, or aboard a vessel that is docu-
mented under chapter 121 of title 46, United 
States Code, or registered in the United States. 
‘‘(B) DESIGNATION
OF
WILD
FISH
AND
FARM-RAISED 
FISH.—The notice of country of origin for wild fish and 
farm-raised fish shall distinguish between wild fish and 
farm-raised fish. 
‘‘(4) DESIGNATION OF COUNTRY OF ORIGIN FOR PERISHABLE 
AGRICULTURAL COMMODITIES, GINSENG, PEANUTS, PECANS, AND 
MACADAMIA NUTS.— 
‘‘(A) IN GENERAL.—A retailer of a covered commodity 
that is a perishable agricultural commodity, ginseng, pea-
nut, pecan, or macadamia nut may designate the covered 
commodity as having a United States country of origin 
only if the covered commodity is exclusively produced in 
the United States. 
‘‘(B) STATE, REGION, LOCALITY OF THE UNITED STATES.— 
With respect to a covered commodity that is a perishable 
agricultural commodity, ginseng, peanut, pecan, or maca-
damia nut produced exclusively in the United States, des-
ignation by a retailer of the State, region, or locality of 
the United States where such commodity was produced 
shall be sufficient to identify the United States as the 
country of origin.’’; and 
(B) by striking subsection (d) and inserting the fol-
lowing: 
‘‘(d) AUDIT VERIFICATION SYSTEM.— 
‘‘(1) IN GENERAL.—The Secretary may conduct an audit 
of any person that prepares, stores, handles, or distributes 
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122 STAT. 1354 
PUBLIC LAW 110–234—MAY 22, 2008 
a covered commodity for retail sale to verify compliance with 
this subtitle (including the regulations promulgated under sec-
tion 284(b)). 
‘‘(2) RECORD REQUIREMENTS.— 
‘‘(A) IN GENERAL.—A person subject to an audit under 
paragraph (1) shall provide the Secretary with verification 
of the country of origin of covered commodities. Records 
maintained in the course of the normal conduct of the 
business of such person, including animal health papers, 
import or customs documents, or producer affidavits, may 
serve as such verification. 
‘‘(B) PROHIBITION
ON
REQUIREMENT
OF
ADDITIONAL 
RECORDS.—The Secretary may not require a person that 
prepares, stores, handles, or distributes a covered com-
modity to maintain a record of the country of origin of 
a covered commodity other than those maintained in the 
course of the normal conduct of the business of such per-
son.’’; and 
(3) in section 283— 
(A) by striking subsections (a) and (c); 
(B) by redesignating subsection (b) as subsection (a); 
(C) in subsection (a) (as so redesignated), by striking 
‘‘retailer’’ and inserting ‘‘retailer or person engaged in the 
business of supplying a covered commodity to a retailer’’; 
and 
(D) by adding at the end the following new subsection: 
‘‘(b) FINES.—If, on completion of the 30-day period described 
in subsection (a)(2), the Secretary determines that the retailer 
or person engaged in the business of supplying a covered commodity 
to a retailer has— 
‘‘(1) not made a good faith effort to comply with section 
282, and 
‘‘(2) continues to willfully violate section 282 with respect 
to the violation about which the retailer or person received 
notification under subsection (a)(1), 
after providing notice and an opportunity for a hearing before 
the Secretary with respect to the violation, the Secretary may 
fine the retailer or person in an amount of not more than $1,000 
for each violation.’’. 
SEC. 11003. AGRICULTURAL FAIR PRACTICES ACT OF 1967 DEFINI-
TIONS. 
Section 3 of the Agricultural Fair Practices Act of 1967 (7 
U.S.C. 2302) is amended— 
(1) by striking ‘‘When used in this Act—’’ and inserting 
‘‘In this Act:’’; 
(2) in subsection (a)— 
(A) by redesignating paragraphs (1) through (4) as 
clauses (i) through (iv), respectively; and 
(B) in clause (iv) (as so redesignated), by striking 
‘‘clause (1), (2), or (3) of this paragraph’’ and inserting 
‘‘clause (i), (ii), or (iii)’’; 
(3) by striking subsection (d); 
(4) by redesignating subsections (a), (b), (c), and (e) as 
paragraphs (3), (4), (2), (1), respectively, indenting appro-
priately, and moving those paragraphs so as to appear in 
numerical order; 
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122 STAT. 1355 
PUBLIC LAW 110–234—MAY 22, 2008 
(5) in each paragraph (as so redesignated) that does not 
have a heading, by inserting a heading, in the same style 
as the heading in the amendment made by paragraph (6), 
the text of which is comprised of the term defined in the 
paragraph; 
(6) in paragraph (2) (as so redesignated)— 
(A) by striking ‘‘The term ‘association of producers’ 
means’’ and inserting the following: 
‘‘(2) ASSOCIATION OF PRODUCERS.— 
‘‘(A) IN GENERAL.—The term ‘association of producers’ 
means’’; and 
(B) by adding at the end the following: 
‘‘(B) INCLUSION.—The term ‘association of producers’ 
includes an organization whose membership is exclusively 
limited to agricultural producers and dedicated to pro-
moting the common interest and general welfare of pro-
ducers of agricultural products.’’; and 
(7) in paragraph (3) (as so redesignated)— 
(A) by striking ‘‘The term’’ and inserting the following: 
‘‘(3) HANDLER.— 
‘‘(A) IN GENERAL.—The term’’; and 
(B) by inserting after clause (iv) of subparagraph (A) 
(as redesignated by subparagraph (A) and paragraph (2)) 
the following: 
‘‘(B) EXCLUSION.—The term ‘handler’ does not include 
a person, other than a packer (as defined in section 201 
of the Packers and Stockyards Act, 1921 (7 U.S.C. 191)), 
that provides custom feeding services for a producer.’’. 
SEC. 11004. ANNUAL REPORT. 
(a) IN GENERAL.—The Packers and Stockyards Act, 1921, is 
amended— 
(1) by redesignating section 416 (7 U.S.C. 229) as section 
417; and 
(2) by inserting after section 415 (7 U.S.C. 228d) the fol-
lowing: 
‘‘SEC. 416. ANNUAL REPORT. 
‘‘(a) IN GENERAL.—Not later than March 1 of each year, the 
Secretary shall submit to Congress and make publicly available 
a report that— 
‘‘(1) states, for the preceding year, separately for livestock 
and poultry and separately by enforcement area category (finan-
cial, trade practice, or competitive acts and practices), with 
respect to investigations into possible violations of this Act— 
‘‘(A) the number of investigations opened; 
‘‘(B) the number of investigations that were closed 
or settled without a referral to the General Counsel of 
the Department of Agriculture; 
‘‘(C) for investigations described in subparagraph (B), 
the length of time from initiation of the investigation to 
when the investigation was closed or settled without the 
filing of an enforcement complaint; 
‘‘(D) the number of investigations that resulted in 
referral to the General Counsel of the Department of Agri-
culture for further action, the number of such referrals 
resolved without administrative enforcement action, and 
7 USC 229. 
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122 STAT. 1356 
PUBLIC LAW 110–234—MAY 22, 2008 
the number of enforcement actions filed by the General 
Counsel; 
‘‘(E) for referrals to the General Counsel that resulted 
in an administrative enforcement action being filed, the 
length of time from the referral to the filing of the adminis-
trative action; 
‘‘(F) for referrals to the General Counsel that resulted 
in an administrative enforcement action being filed, the 
length of time from filing to resolution of the administrative 
enforcement action; 
‘‘(G) the number of investigations that resulted in 
referral to the Department of Justice for further action, 
and the number of civil enforcement actions filed by the 
Department of Justice on behalf of the Secretary pursuant 
to such a referral; 
‘‘(H) for referrals that resulted in a civil enforcement 
action being filed by the Department of Justice, the length 
of time from the referral to the filing of the enforcement 
action; 
‘‘(I) for referrals that resulted in a civil enforcement 
action being filed by the Department of Justice, the length 
of time from the filing of the enforcement action to resolu-
tion; and 
‘‘(J) the average civil penalty imposed in administrative 
or civil enforcement actions for violations of this Act, and 
the total amount of civil penalties imposed in all such 
enforcement actions; and 
‘‘(2) includes any other additional information the Secretary 
considers important to include in the annual report. 
‘‘(b) FORMAT OF INFORMATION PROVIDED.—For subparagraphs 
(C), (E), (F), and (H) of subsection (a)(1), the Secretary may, if 
appropriate due to the number of complaints for a given category, 
provide summary statistics (including range, maximum, minimum, 
mean, and average times) and graphical representations.’’. 
(b) SUNSET.—Effective September 30, 2012, section 416 of the 
Packers and Stockyards Act, 1921, as added by subsection (a)(2), 
is repealed. 
SEC. 11005. PRODUCTION CONTRACTS. 
Title II of the Packers and Stockyards Act, 1921 (7 U.S.C. 
198 et seq.) is amended by adding at the end the following: 
‘‘SEC. 208. PRODUCTION CONTRACTS. 
‘‘(a) RIGHT OF CONTRACT PRODUCERS TO CANCEL PRODUCTION 
CONTRACTS.— 
‘‘(1) IN GENERAL.—A poultry grower or swine production 
contract grower may cancel a poultry growing arrangement 
or swine production contract by mailing a cancellation notice 
to the live poultry dealer or swine contractor not later than 
the later of— 
‘‘(A) the date that is 3 business days after the date 
on which the poultry growing arrangement or swine produc-
tion contract is executed; or 
‘‘(B) any cancellation date specified in the poultry 
growing arrangement or swine production contract. 
‘‘(2) DISCLOSURE.—A poultry growing arrangement or swine 
production contract shall clearly disclose— 
7 USC 197a. 
7 USC 729 note. 
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122 STAT. 1357 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) the right of the poultry grower or swine production 
contract grower to cancel the poultry growing arrangement 
or swine production contract; 
‘‘(B) the method by which the poultry grower or swine 
production contract grower may cancel the poultry growing 
arrangement or swine production contract; and 
‘‘(C) the deadline for canceling the poultry growing 
arrangement or swine production contract. 
‘‘(b) REQUIRED DISCLOSURE OF ADDITIONAL CAPITAL INVEST-
MENTS IN PRODUCTION CONTRACTS.— 
‘‘(1) IN GENERAL.—A poultry growing arrangement or swine 
production contract shall contain on the first page a statement 
identified as ‘Additional Capital Investments Disclosure State-
ment’, which shall conspicuously state that additional large 
capital investments may be required of the poultry grower 
or swine production contract grower during the term of the 
poultry growing arrangement or swine production contract. 
‘‘(2) APPLICATION.—Paragraph (1) shall apply to any poultry 
growing arrangement or swine production contract entered into, 
amended, altered, modified, renewed, or extended after the 
date of the enactment of this section. 
‘‘SEC. 209. CHOICE OF LAW AND VENUE. 
‘‘(a) LOCATION OF FORUM.—The forum for resolving any dispute 
among the parties to a poultry growing arrangement or swine 
production or marketing contract that arises out of the arrangement 
or contract shall be located in the Federal judicial district in which 
the principle part of the performance takes place under the arrange-
ment or contract. 
‘‘(b) CHOICE OF LAW.—A poultry growing arrangement or swine 
production or marketing contract may specify which State’s law 
is to apply to issues governed by State law in any dispute arising 
out of the arrangement or contract, except to the extent that doing 
so is prohibited by the law of the State in which the principal 
part of the performance takes place under the arrangement or 
contract. 
‘‘SEC. 210. ARBITRATION. 
‘‘(a) IN GENERAL.—Any livestock or poultry contract that con-
tains a provision requiring the use of arbitration to resolve any 
controversy that may arise under the contract shall contain a provi-
sion that allows a producer or grower, prior to entering the contract 
to decline to be bound by the arbitration provision. 
‘‘(b) DISCLOSURE.—Any livestock or poultry contract that con-
tains a provision requiring the use of arbitration shall contain 
terms that conspicuously disclose the right of the contract producer 
or grower, prior to entering the contract, to decline the requirement 
to use arbitration to resolve any controversy that may arise under 
the livestock or poultry contract. 
‘‘(c) DISPUTE RESOLUTION.—Any contract producer or grower 
that declines a requirement of arbitration pursuant to subsection 
(b) has the right, to nonetheless seek to resolve any controversy 
that may arise under the livestock or poultry contract, if, after 
the controversy arises, both parties consent in writing to use 
arbitration to settle the controversy. 
‘‘(d) APPLICATION.—Subsections (a) (b) and (c) shall apply to 
any contract entered into, amended, altered, modified, renewed, 
7 USC 197c. 
7 USC 197b. 
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122 STAT. 1358 
PUBLIC LAW 110–234—MAY 22, 2008 
or extended after the date of the enactment of the Food, Conserva-
tion, and Energy Act of 2008 . 
‘‘(e) UNLAWFUL PRACTICE.—Any action by or on behalf of a 
packer, swine contractor, or live poultry dealer that violates this 
section (including any action that has the intent or effect of limiting 
the ability of a producer or grower to freely make a choice described 
in subsection (b)) is an unlawful practice under this Act. 
‘‘(f) REGULATIONS.—The Secretary shall promulgate regulations 
to— 
‘‘(1) carry out this section; and 
‘‘(2) establish criteria that the Secretary will consider in 
determining whether the arbitration process provided in a con-
tract provides a meaningful opportunity for the grower or pro-
ducer to participate fully in the arbitration process.’’. 
SEC. 11006. REGULATIONS. 
As soon as practicable, but not later than 2 years after the 
date of the enactment of this Act, the Secretary of Agriculture 
shall promulgate regulations with respect to the Packers and Stock-
yards Act, 1921 (7 U.S.C. 181 et seq.) to establish criteria that 
the Secretary will consider in determining— 
(1) whether an undue or unreasonable preference or advan-
tage has occurred in violation of such Act; 
(2) whether a live poultry dealer has provided reasonable 
notice to poultry growers of any suspension of the delivery 
of birds under a poultry growing arrangement; 
(3) when a requirement of additional capital investments 
over the life of a poultry growing arrangement or swine produc-
tion contract constitutes a violation of such Act; and 
(4) if a live poultry dealer or swine contractor has provided 
a reasonable period of time for a poultry grower or a swine 
production contract grower to remedy a breach of contract 
that could lead to termination of the poultry growing arrange-
ment or swine production contract. 
SEC. 11007. SENSE OF CONGRESS REGARDING PSEUDORABIES ERADI-
CATION PROGRAM. 
It is the sense of Congress that— 
(1) the Secretary of Agriculture should recognize the threat 
feral swine pose to the domestic swine population and the 
entire livestock industry; 
(2) keeping the United States commercial swine herd free 
of pseudorabies is essential to maintaining and growing pork 
export markets; 
(3) the establishment and continued support of a swine 
surveillance system will assist the swine industry in the moni-
toring, surveillance, and eradication of pseudorabies; and 
(4) pseudorabies eradication is a high priority that the 
Secretary should carry out under the authorities of the Animal 
Health Protection Act. 
SEC. 11008. SENSE OF CONGRESS REGARDING THE CATTLE FEVER 
TICK ERADICATION PROGRAM. 
It is the sense of Congress that— 
(1) the cattle fever tick and the southern cattle tick are 
vectors of the causal agent of babesiosis, a severe and often 
fatal disease of cattle; and 
Deadline. 
7 USC 228 note. 
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122 STAT. 1359 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) implementing a national strategic plan for the cattle 
fever tick eradication program is a high priority that the Sec-
retary of Agriculture should carry out in order to— 
(A) prevent the entry of cattle fever ticks into the 
United States; 
(B) enhance and maintain an effective surveillance pro-
gram to rapidly detect any cattle fever tick incursions; 
and 
(C) research, identify, and procure the tools and knowl-
edge necessary to prevent and eradicate cattle fever ticks 
in the United States. 
SEC. 11009. NATIONAL SHEEP INDUSTRY IMPROVEMENT CENTER. 
(a) FUNDING.—Section 375(e)(6) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 2008j(e)(6)) is amended by striking 
subparagraphs (B) and (C) and inserting the following: 
‘‘(B) MANDATORY FUNDING.—Of the funds of the Com-
modity Credit Corporation, the Secretary shall use to carry 
out this section $1,000,000 for fiscal year 2008, to remain 
available until expended. 
‘‘(C) AUTHORIZATION
OF
APPROPRIATIONS.—There is 
authorized to be appropriated to the Secretary to carry 
out this section $10,000,000 for each of fiscal years 2008 
through 2012.’’. 
(b) REPEAL OF REQUIREMENT TO PRIVATIZE REVOLVING FUND.— 
(1) IN GENERAL.—Section 375 of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 2008j) is amended by 
striking subsection (j). 
(2) EFFECTIVE DATE.—The amendment made by paragraph 
(1) takes effect on May 1, 2007. 
SEC. 11010. TRICHINAE CERTIFICATION PROGRAM. 
(a) VOLUNTARY TRICHINAE CERTIFICATION.— 
(1) ESTABLISHMENT.—Not later than 90 days after the date 
of the enactment of this Act, the Secretary of Agriculture shall 
establish a voluntary trichinae certification program. Such pro-
gram shall include the facilitation of the export of pork products 
and certification services related to such products. 
(2) REGULATIONS.—The Secretary shall issue final regula-
tions to implement the program under paragraph (1) not later 
than 90 days after the date of the enactment of this Act. 
(3) REPORT.—If final regulations are not published in 
accordance with paragraph (2) within 90 days of the date of 
the 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 containing— 
(A) an explanation of why the final regulations have 
not been issued in accordance with paragraph (2); and 
(B) the date on which the Secretary expects to issue 
such final regulations. 
(b) FUNDING.—Subject to the availability of appropriations 
under subsection (d)(1)(A) of section 10405 of the Animal Health 
Protection Act (7 U.S.C. 8304), as added by subsection (c), the 
Secretary shall use not less than $6,200,000 of the funds made 
available under such subsection to carry out subsection (a). 
7 USC 8304 note. 
Deadlines. 
7 USC 8304 note. 
7 USC 2008j 
note. 
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122 STAT. 1360 
PUBLIC LAW 110–234—MAY 22, 2008 
(c) AUTHORIZATION OF APPROPRIATIONS.—Section 10405 of the 
Animal Health Protection Act (7 U.S.C. 8304) is amended by adding 
at the end the following new subsection: 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— 
‘‘(1) IN GENERAL.—There is authorized to be appropriated— 
‘‘(A) $1,500,000 for each of fiscal years 2008 through 
2012 to carry out section 11010 of the Food, Conservation, 
and Energy Act of 2008; and 
‘‘(B) such sums as may be necessary for each of fiscal 
years 2008 through 2012 to carry out this section. 
‘‘(2) AVAILABILITY.—Funds appropriated under paragraph 
(1) shall remain available until expended.’’. 
SEC. 11011. LOW PATHOGENIC DISEASES. 
The Animal Health Protection Act (7 U.S.C. 8301 et seq.) is 
amended— 
(1) in section 10407(d)(2)(C) (7 U.S.C. 8306(d)(2)(C)), by 
striking ‘‘of longer than 60 days’’; 
(2) in section 10409(b) (7 U.S.C. 8308(b))— 
(A) by redesignating paragraph (2) as paragraph (3); 
(B) by inserting after paragraph (1) the following new 
paragraph: 
‘‘(2) SPECIFIC COOPERATIVE PROGRAMS.—The Secretary shall 
compensate industry participants and State agencies that 
cooperate with the Secretary in carrying out operations and 
measures under subsection (a) for 100 percent of eligible costs 
relating to cooperative programs involving Federal, State, and 
industry participants to control diseases of low pathogenicity 
in accordance with regulations issued by the Secretary.’’; and 
(C) in paragraph (3) (as so redesignated), by striking 
‘‘of longer than 60 days’’; and 
(3) in section 10417(b)(3) (7 U.S.C. 8316(b)(3)), by striking 
‘‘of longer than 60 days’’. 
SEC. 11012. ANIMAL PROTECTION. 
(a) WILLFUL VIOLATIONS.—Section 10414(b)(1)(A) of the Animal 
Health Protection Act (7 U.S.C. 8316(b)(1)(A)) is amended by 
striking clause (iii) and inserting the following: 
‘‘(iii) for all violations adjudicated in a single pro-
ceeding— 
‘‘(I) $500,000 if the violations do not include 
a willful violation; or 
‘‘(II) $1,000,000 if the violations include 1 or 
more willful violations.’’. 
(b) SUBPOENA AUTHORITY.—Section 10415(a)(2) of the Animal 
Health Protection Act (7 U.S.C. 8314) is amended 
(1) by striking subparagraph (A) and inserting the fol-
lowing: 
‘‘(A) IN GENERAL.—The Secretary shall have the power 
to subpoena the attendance and testimony of any witness, 
the production of all evidence (including books, papers, 
documents, electronically stored information, and other tan-
gible things that constitute or contain evidence), or to 
require the person to whom the subpoena is directed to 
permit the inspection of premises relating to the adminis-
tration or enforcement of this title or any matter under 
investigation in connection with this title.’’; 
(2) in subparagraph (B), by striking ‘‘documentary’’; and 
7 USC 8313. 
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122 STAT. 1361 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) in subparagraph (C)— 
(A) in clause (i), by striking ‘‘testimony of any witness 
and the production of documentary evidence’’ and inserting 
‘‘testimony of any witness, the production of evidence, or 
the inspection of premises’’; and 
(B) in clause (ii), by striking ‘‘question or to produce 
documentary evidence’’ and inserting ‘‘question, produce 
evidence, or permit the inspection of premises’’. 
SEC. 11013. NATIONAL AQUATIC ANIMAL HEALTH PLAN. 
(a) IN GENERAL.—The Secretary of Agriculture may enter into 
a cooperative agreement with an eligible entity to carry out a 
project under a national aquatic animal health plan under the 
authority of the Secretary under section 10411 of the Animal Health 
Protection Act (7 U.S.C. 8310) for the purpose of detecting, control-
ling, or eradicating diseases of aquaculture species and promoting 
species-specific best management practices. 
(b) COOPERATIVE AGREEMENTS BETWEEN ELIGIBLE ENTITIES 
AND THE SECRETARY.— 
(1) DUTIES.—As a condition of entering into a cooperative 
agreement with the Secretary under this section, an eligible 
entity shall agree to— 
(A) assume responsibility for the non-Federal share 
of the cost of carrying out the project under the national 
aquatic health plan, as determined by the Secretary in 
accordance with paragraph (2); and 
(B) act in accordance with applicable disease and spe-
cies specific best management practices relating to activi-
ties to be carried out under such project. 
(2) NON-FEDERAL SHARE.—The Secretary shall determine 
the non-Federal share of the cost of carrying out a project 
under the national aquatic health plan on a case-by-case basis 
for each such project. Such non-Federal share may be provided 
in cash or in-kind. 
(c) APPLICABILITY OF OTHER LAWS.—In carrying out this section, 
the Secretary may make use of the authorities under the Animal 
Health Protection Act (7 U.S.C. 8301 et seq.), including the 
authority to carry out operations and measures to detect, control, 
and eradicate pests and diseases and the authority to pay claims 
arising out of the destruction of any animal, article, or means 
of conveyance. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated such sums as may be necessary to carry out 
this section for each of fiscal years 2008 through 2012. 
(e) ELIGIBLE
ENTITY
DEFINED.—In this section, the term 
‘‘eligible entity’’ means a State, a political subdivision of a State, 
Indian tribe, or other appropriate entity, as determined by the 
Secretary of Agriculture. 
SEC. 11014. STUDY ON BIOENERGY OPERATIONS. 
(a) STUDY.—The Secretary of Agriculture shall conduct a study 
to evaluate the role of animal manure as a source of fertilizer 
and its potential additional uses. Such study shall include— 
(1) a determination of the extent to which animal manure 
is utilized as fertilizer in agricultural operations by type 
(including species and agronomic practices employed) and size; 
7 USC 8322. 
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122 STAT. 1362 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) an evaluation of the potential impact on consumers 
and on agricultural operations (by size) resulting from limita-
tions being placed on the utilization of animal manure as 
fertilizer; and 
(3) an evaluation of the effects on agriculture production 
contributable to the increased competition for animal manure 
use due to bioenergy production, including as a feedstock or 
a replacement for fossil fuels. 
(b) REPORT.—Not later than one year after the date of the 
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 the results 
of the study conducted under subsection (a). 
SEC. 
11015. 
INTERSTATE 
SHIPMENT 
OF 
MEAT 
AND 
POULTRY 
INSPECTED BY FEDERAL AND STATE AGENCIES FOR 
CERTAIN SMALL ESTABLISHMENTS. 
(a) MEAT AND MEAT PRODUCTS.—The Federal Meat Inspection 
Act (21 U.S.C. 601 et seq.) is amended by adding at the end 
the following: 
‘‘TITLE V—INSPECTIONS BY FEDERAL 
AND STATE AGENCIES 
‘‘SEC. 501. INTERSTATE SHIPMENT OF MEAT INSPECTED BY FEDERAL 
AND STATE AGENCIES FOR CERTAIN SMALL ESTABLISH-
MENTS. 
‘‘(a) DEFINITIONS.— 
‘‘(1) APPROPRIATE STATE AGENCY.—The term ‘appropriate 
State agency’ means a State agency described in section 301(b). 
‘‘(2) DESIGNATED PERSONNEL.—The term ‘designated per-
sonnel’ means inspection personnel of a State agency that have 
undergone all necessary inspection training and certification 
to assist the Secretary in the administration and enforcement 
of this Act, including rules and regulations issued under this 
Act. 
‘‘(3) 
ELIGIBLE
ESTABLISHMENT.—The 
term 
‘eligible 
establishment’ means an establishment that is in compliance 
with— 
‘‘(A) the State inspection program of the State in which 
the establishment is located; and 
‘‘(B) this Act, including rules and regulations issued 
under this Act. 
‘‘(4) MEAT ITEM.—The term ‘meat item’ means— 
‘‘(A) a portion of meat; and 
‘‘(B) a meat food product. 
‘‘(5) 
SELECTED
ESTABLISHMENT.—The 
term 
‘selected 
establishment’ means an eligible establishment that is selected 
by the Secretary, in coordination with the appropriate State 
agency of the State in which the eligible establishment is 
located, under subsection (b) to ship carcasses, portions of car-
casses, and meat items in interstate commerce. 
‘‘(b) AUTHORITY OF SECRETARY TO ALLOW SHIPMENTS.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), the Secretary, 
in coordination with the appropriate State agency of the State 
21 USC 683. 
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122 STAT. 1363 
PUBLIC LAW 110–234—MAY 22, 2008 
in which an establishment is located, may select the establish-
ment to ship carcasses, portions of carcasses, and meat items 
in interstate commerce, and place on each carcass, portion 
of a carcass, and meat item shipped in interstate commerce 
a Federal mark, stamp, tag, or label of inspection, if— 
‘‘(A) the carcass, portion of carcass, or meat item quali-
fies for the mark, stamp, tag, or label of inspection under 
the requirements of this Act; 
‘‘(B) the establishment is an eligible establishment; 
and 
‘‘(C) inspection services for the establishment are pro-
vided by designated personnel. 
‘‘(2) PROHIBITED ESTABLISHMENTS.—In carrying out para-
graph (1), the Secretary, in coordination with an appropriate 
State agency, shall not select an establishment that— 
‘‘(A) on average, employs more than 25 employees 
(including supervisory and nonsupervisory employees), as 
defined by the Secretary; 
‘‘(B) as of the date of the enactment of this section, 
ships in interstate commerce carcasses, portions of car-
casses, or meat items that are inspected by the Secretary 
in accordance with this Act; 
‘‘(C)(i) is a Federal establishment; 
‘‘(ii) was a Federal establishment that was reorganized 
on a later date under the same name or a different name 
or person by the person, firm, or corporation that controlled 
the establishment as of the date of the enactment of this 
section; or 
‘‘(iii) was a State establishment as of the date of the 
enactment of this section that— 
‘‘(I) as of the date of the enactment of this section, 
employed more than 25 employees; and 
‘‘(II) was reorganized on a later date by the person, 
firm, or corporation that controlled the establishment 
as of the date of the enactment of this section; 
‘‘(D) is in violation of this Act; 
‘‘(E) is located in a State that does not have a State 
inspection program; or 
‘‘(F) is the subject of a transition carried out in accord-
ance with a procedure developed by the Secretary under 
paragraph (3)(A). 
‘‘(3) ESTABLISHMENTS
THAT
EMPLOY
MORE
THAN
25 
EMPLOYEES.— 
‘‘(A) DEVELOPMENT
OF
PROCEDURE.—The Secretary 
may develop a procedure to transition to a Federal 
establishment any establishment under this section that, 
on average, consistently employs more than 25 employees. 
‘‘(B) ELIGIBILITY OF CERTAIN ESTABLISHMENTS.— 
‘‘(i) IN
GENERAL.—A State establishment that 
employs more than 25 employees but less than 35 
employees as of the date of the enactment of this 
section may be selected as a selected establishment 
under this subsection. 
‘‘(ii) PROCEDURES.—A State establishment shall be 
subject to the procedures established under subpara-
graph (A) beginning on the date that is 3 years after 
the effective date described in subsection (j). 
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122 STAT. 1364 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(c) REIMBURSEMENT
OF STATE COSTS.—The Secretary shall 
reimburse a State for costs related to the inspection of selected 
establishments in the State in accordance with Federal require-
ments in an amount of not less than 60 percent of eligible State 
costs. 
‘‘(d) COORDINATION BETWEEN FEDERAL AND STATE AGENCIES.— 
‘‘(1) IN
GENERAL.—The Secretary shall designate an 
employee of the Federal Government as State coordinator for 
each appropriate State agency— 
‘‘(A) to provide oversight and enforcement of this title; 
and 
‘‘(B) to oversee the training and inspection activities 
of designated personnel of the State agency. 
‘‘(2) SUPERVISION.—A State coordinator shall be under the 
direct supervision of the Secretary. 
‘‘(3) DUTIES OF STATE COORDINATOR.— 
‘‘(A) IN
GENERAL.—A State coordinator shall visit 
selected establishments with a frequency that is appro-
priate to ensure that selected establishments are operating 
in a manner that is consistent with this Act (including 
regulations and policies under this Act). 
‘‘(B) QUARTERLY REPORTS.—A State coordinator shall, 
on a quarterly basis, submit to the Secretary a report 
that describes the status of each selected establishment 
that is under the jurisdiction of the State coordinator with 
respect to the level of compliance of each selected establish-
ment with the requirements of this Act. 
‘‘(C) IMMEDIATE
NOTIFICATION
REQUIREMENT.—If a 
State coordinator determines that any selected establish-
ment that is under the jurisdiction of the State coordinator 
is in violation of any requirement of this Act, the State 
coordinator shall— 
‘‘(i) immediately notify the Secretary of the viola-
tion; and 
‘‘(ii) deselect the selected establishment or suspend 
inspection at the selected establishment. 
‘‘(4) PERFORMANCE
EVALUATIONS.—Performance evalua-
tions of State coordinators designated under this subsection 
shall be conducted by the Secretary as part of the Federal 
agency management control system. 
‘‘(e) AUDITS.— 
‘‘(1) PERIODIC AUDITS CONDUCTED BY INSPECTOR GENERAL 
OF THE DEPARTMENT OF AGRICULTURE.—Not later than 2 years 
after the effective date described in subsection (j), and not 
less often than every 3 years thereafter, the Inspector General 
of the Department of Agriculture shall conduct an audit of 
each activity taken by the Secretary under this section for 
the period covered by the audit to determine compliance with 
this section. 
‘‘(2) AUDIT CONDUCTED BY COMPTROLLER GENERAL OF THE 
UNITED STATES.—Not earlier than 3 years, nor later than 5 
years, after the date of the enactment of this section, the 
Comptroller General of the United States shall conduct an 
audit of the implementation of this section to determine— 
‘‘(A) the effectiveness of the implementation of this 
section; and 
Deadlines. 
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122 STAT. 1365 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the number of selected establishments selected 
by the Secretary to ship carcasses, portions of carcasses, 
or meat items under this section. 
‘‘(f) TECHNICAL ASSISTANCE DIVISION.— 
‘‘(1) ESTABLISHMENT.—Not later than 180 days after the 
effective date described in subsection (j), the Secretary shall 
establish in the Food Safety and Inspection Service of the 
Department of Agriculture a technical assistance division to 
coordinate the initiatives of any other appropriate agency of 
the Department of Agriculture to provide— 
‘‘(A) outreach, education, and training to very small 
or certain small establishments (as defined by the Sec-
retary); and 
‘‘(B) grants to appropriate State agencies to provide 
outreach, technical assistance, education, and training to 
very small or certain small establishments (as defined by 
the Secretary). 
‘‘(2) PERSONNEL.—The technical assistance division shall 
be comprised of individuals that, as determined by the Sec-
retary— 
‘‘(A) are of a quantity sufficient to carry out the duties 
of the technical assistance division; and 
‘‘(B) possess appropriate qualifications and expertise 
relating to the duties of the technical assistance division. 
‘‘(g) TRANSITION GRANTS.—The Secretary may provide grants 
to appropriate State agencies to assist the appropriate State agen-
cies in helping establishments covered by title III to transition 
to selected establishments. 
‘‘(h) VIOLATIONS.—Any selected establishment that the Sec-
retary determines to be in violation of any requirement of this 
Act shall be transitioned to a Federal establishment in accordance 
with a procedure developed by the Secretary under subsection 
(b)(3)(A). 
‘‘(i) EFFECT.—Nothing in this section limits the jurisdiction 
of the Secretary with respect to the regulation of meat and meat 
products under this Act. 
‘‘(j) EFFECTIVE DATE.— 
‘‘(1) IN GENERAL.—This section takes effect on the date 
on which the Secretary, after providing a period of public com-
ment (including through the conduct of public meetings or 
hearings), promulgates final regulations to carry out this sec-
tion. 
‘‘(2) REQUIREMENT.—Not later than 18 months after the 
date of the enactment of this section, the Secretary shall 
promulgate final regulations in accordance with paragraph (1).’’. 
(b) POULTRY AND POULTRY PRODUCTS.—The Poultry Products 
Inspection Act (21 U.S.C. 451 et seq.) is amended by adding at 
the end the following: 
‘‘SEC. 31. INTERSTATE SHIPMENT OF POULTRY INSPECTED BY FED-
ERAL 
AND 
STATE 
AGENCIES 
FOR 
CERTAIN 
SMALL 
ESTABLISHMENTS. 
‘‘(a) DEFINITIONS.— 
‘‘(1) APPROPRIATE STATE AGENCY.—The term ‘appropriate 
State agency’ means a State agency described in section 5(a)(1). 
‘‘(2) DESIGNATED PERSONNEL.—The term ‘designated per-
sonnel’ means inspection personnel of a State agency that have 
21 USC 472. 
Deadline. 
Deadline. 
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122 STAT. 1366 
PUBLIC LAW 110–234—MAY 22, 2008 
undergone all necessary inspection training and certification 
to assist the Secretary in the administration and enforcement 
of this Act, including rules and regulations issued under this 
Act. 
‘‘(3) 
ELIGIBLE
ESTABLISHMENT.—The 
term 
‘eligible 
establishment’ means an establishment that is in compliance 
with— 
‘‘(A) the State inspection program of the State in which 
the establishment is located; and 
‘‘(B) this Act, including rules and regulations issued 
under this Act. 
‘‘(4) POULTRY ITEM.—The term ‘poultry item’ means— 
‘‘(A) a portion of poultry; and 
‘‘(B) a poultry product. 
‘‘(5) 
SELECTED
ESTABLISHMENT.—The 
term 
‘selected 
establishment’ means an eligible establishment that is selected 
by the Secretary, in coordination with the appropriate State 
agency of the State in which the eligible establishment is 
located, under subsection (b) to ship poultry items in interstate 
commerce. 
‘‘(b) AUTHORITY OF SECRETARY TO ALLOW SHIPMENTS.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), the Secretary, 
in coordination with the appropriate State agency of the State 
in which an establishment is located, may select the establish-
ment to ship poultry items in interstate commerce, and place 
on each poultry item shipped in interstate commerce a Federal 
mark, stamp, tag, or label of inspection, if— 
‘‘(A) the poultry item qualifies for the Federal mark, 
stamp, tag, or label of inspection under the requirements 
of this Act; 
‘‘(B) the establishment is an eligible establishment; 
and 
‘‘(C) inspection services for the establishment are pro-
vided by designated personnel. 
‘‘(2) PROHIBITED ESTABLISHMENTS.—In carrying out para-
graph (1), the Secretary, in coordination with an appropriate 
State agency, shall not select an establishment that— 
‘‘(A) on average, employs more than 25 employees 
(including supervisory and nonsupervisory employees), as 
defined by the Secretary; 
‘‘(B) as of the date of the enactment of this section, 
ships in interstate commerce carcasses, portions of car-
casses, or poultry items that are inspected by the Secretary 
in accordance with this Act; 
‘‘(C)(i) is a Federal establishment; 
‘‘(ii) was a Federal establishment as of the date of 
the enactment of this section, and was reorganized on 
a later date under the same name or a different name 
or person by the person, firm, or corporation that controlled 
the establishment as of the date of the enactment of this 
section; or 
‘‘(iii) was a State establishment as of the date of the 
enactment of this section that— 
‘‘(I) as of the date of the enactment of this section, 
employed more than 25 employees; and 
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122 STAT. 1367 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) was reorganized on a later date by the person, 
firm, or corporation that controlled the establishment 
as of the date of the enactment of this section; 
‘‘(D) is in violation of this Act; 
‘‘(E) is located in a State that does not have a State 
inspection program; or 
‘‘(F) is the subject of a transition carried out in accord-
ance with a procedure developed by the Secretary under 
paragraph (3)(A). 
‘‘(3) ESTABLISHMENTS
THAT
EMPLOY
MORE
THAN
25 
EMPLOYEES.— 
‘‘(A) DEVELOPMENT
OF
PROCEDURE.—The Secretary 
may develop a procedure to transition to a Federal 
establishment any establishment under this section that, 
on average, consistently employs more than 25 employees. 
‘‘(B) ELIGIBILITY OF CERTAIN ESTABLISHMENTS.— 
‘‘(i) IN
GENERAL.—A State establishment that 
employs more than 25 employees but less than 35 
employees as of the date of the enactment of this 
section may be selected as a selected establishment 
under this subsection. 
‘‘(ii) PROCEDURES.—A State establishment shall be 
subject to the procedures established under subpara-
graph (A) beginning on the date that is 3 years after 
the effective date described in subsection (i). 
‘‘(c) REIMBURSEMENT
OF STATE COSTS.—The Secretary shall 
reimburse a State for costs related to the inspection of selected 
establishments in the State in accordance with Federal require-
ments in an amount of not less than 60 percent of eligible State 
costs. 
‘‘(d) COORDINATION BETWEEN FEDERAL AND STATE AGENCIES.— 
‘‘(1) IN
GENERAL.—The Secretary shall designate an 
employee of the Federal Government as State coordinator for 
each appropriate State agency— 
‘‘(A) to provide oversight and enforcement of this sec-
tion; and 
‘‘(B) to oversee the training and inspection activities 
of designated personnel of the State agency. 
‘‘(2) SUPERVISION.—A State coordinator shall be under the 
direct supervision of the Secretary. 
‘‘(3) DUTIES OF STATE COORDINATOR.— 
‘‘(A) IN
GENERAL.—A State coordinator shall visit 
selected establishments with a frequency that is appro-
priate to ensure that selected establishments are operating 
in a manner that is consistent with this Act (including 
regulations and policies under this Act). 
‘‘(B) QUARTERLY REPORTS.—A State coordinator shall, 
on a quarterly basis, submit to the Secretary a report 
that describes the status of each selected establishment 
that is under the jurisdiction of the State coordinator with 
respect to the level of compliance of each selected establish-
ment with the requirements of this Act. 
‘‘(C) IMMEDIATE
NOTIFICATION
REQUIREMENT.—If a 
State coordinator determines that any selected establish-
ment that is under the jurisdiction of the State coordinator 
is in violation of any requirement of this Act, the State 
coordinator shall— 
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122 STAT. 1368 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) immediately notify the Secretary of the viola-
tion; and 
‘‘(ii) deselect the selected establishment or suspend 
inspection at the selected establishment. 
‘‘(4) PERFORMANCE
EVALUATIONS.—Performance evalua-
tions of State coordinators designated under this subsection 
shall be conducted by the Secretary as part of the Federal 
agency management control system. 
‘‘(e) AUDITS.— 
‘‘(1) PERIODIC AUDITS CONDUCTED BY INSPECTOR GENERAL 
OF THE DEPARTMENT OF AGRICULTURE.—Not later than 2 years 
after the effective date described in subsection (i), and not 
less often than every 3 years thereafter, the Inspector General 
of the Department of Agriculture shall conduct an audit of 
each activity taken by the Secretary under this section for 
the period covered by the audit to determine compliance with 
this section. 
‘‘(2) AUDIT CONDUCTED BY COMPTROLLER GENERAL OF THE 
UNITED STATES.—Not earlier than 3 years, nor later than 5 
years, after the date of the enactment of this section, the 
Comptroller General of the United States shall conduct an 
audit of the implementation of this section to determine— 
‘‘(A) the effectiveness of the implementation of this 
section; and 
‘‘(B) the number of selected establishments selected 
by the Secretary to ship poultry items under this section. 
‘‘(f) TRANSITION GRANTS.—The Secretary may provide grants 
to appropriate State agencies to assist the appropriate State agen-
cies in helping establishments covered by this Act to transition 
to selected establishments. 
‘‘(g) VIOLATIONS.—Any selected establishment that the Sec-
retary determines to be in violation of any requirement of this 
Act shall be transitioned to a Federal establishment in accordance 
with a procedure developed by the Secretary under subsection 
(b)(3)(A). 
‘‘(h) EFFECT.—Nothing in this section limits the jurisdiction 
of the Secretary with respect to the regulation of poultry and 
poultry products under this Act. 
‘‘(i) EFFECTIVE DATE.— 
‘‘(1) IN GENERAL.—This section takes effect on the date 
on which the Secretary, after providing a period of public com-
ment (including through the conduct of public meetings or 
hearings), promulgates final regulations to carry out this sec-
tion. 
‘‘(2) REQUIREMENT.—Not later than 18 months after the 
date of the enactment of this section, the Secretary shall 
promulgate final regulations in accordance with paragraph (1).’’. 
SEC. 11016. INSPECTION AND GRADING. 
(a) GRADING.—Section 203 of the Agricultural Marketing Act 
of 1946 (7 U.S.C. 1622) is amended— 
(1) by redesignating subsection (n) as subsection (o); and 
(2) by inserting after subsection (m) the following new 
subsection: 
‘‘(n) GRADING PROGRAM.—To establish within the Department 
of Agriculture a voluntary fee based grading program for— 
Deadline. 
Regulations. 
Deadlines. 
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122 STAT. 1369 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) catfish (as defined by the Secretary under paragraph 
(2) of section 1(w) of the Federal Meat Inspection Act (21 
U.S.C. 601(w))); and 
‘‘(2) any additional species of farm-raised fish or farm- 
raised shellfish— 
‘‘(A) for which the Secretary receives a petition 
requesting such voluntary fee based grading; and 
‘‘(B) that the Secretary considers appropriate.’’. 
(b) INSPECTION.— 
(1) IN
GENERAL.—The Federal Meat Inspection Act is 
amended— 
(A) in section 1(w) (21 U.S.C. 601(w)) — 
(i) by striking ‘‘and’’ at the end of paragraph (1); 
(ii) by redesignating paragraph (2) as paragraph 
(3); and 
(iii) by inserting after paragraph (1) the following 
new paragraph: 
‘‘(2) catfish, as defined by the Secretary; and’’; 
(B) by striking section 6 (21 U.S.C. 606) and inserting 
the following new section: 
‘‘SEC. 6. (a) IN GENERAL.—For the purposes hereinbefore set 
forth the Secretary shall cause to be made, by inspectors appointed 
for that purpose, an examination and inspection of all meat food 
products prepared for commerce in any slaughtering, meat-canning, 
salting, packing, rendering, or similar establishment, and for the 
purposes of any examination and inspection and inspectors shall 
have access at all times, by day or night, whether the establishment 
be operated or not, to every part of said establishment; and said 
inspectors shall mark, stamp, tag, or label as ‘Inspected and passed’ 
all such products found to be not adulterated; and said inspectors 
shall label, mark, stamp, or tag as ‘Inspected and condemned’ 
all such products found adulterated, and all such condemned meat 
food products shall be destroyed for food purposes, as hereinbefore 
provided, and the Secretary may remove inspectors from any 
establishment which fails to so destroy such condemned meat food 
products: Provided, That subject to the rules and regulations of 
the Secretary the provisions of this section in regard to preserva-
tives shall not apply to meat food products for export to any foreign 
country and which are prepared or packed according to the specifica-
tions or directions of the foreign purchaser, when no substance 
is used in the preparation or packing thereof in conflict with the 
laws of the foreign country to which said article is to be exported; 
but if said article shall be in fact sold or offered for sale for 
domestic use or consumption then this proviso shall not exempt 
said article from the operation of all the other provisions of this 
chapter. 
‘‘(b) CATFISH.—In the case of an examination and inspection 
under subsection (a) of a meat food product derived from catfish, 
the Secretary shall take into account the conditions under which 
the catfish is raised and transported to a processing establishment.’’; 
and 
(C) by adding at the end of title I the following new 
section: 
‘‘SEC. 25. Notwithstanding any other provision of this Act, 
the requirements of sections 3, 4, 5, 10(b), and 23 shall not apply 
to catfish.’’. 
(2) EFFECTIVE DATE.— 
21 USC 601 note. 
21 USC 625. 
21 USC 606. 
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122 STAT. 1370 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) IN GENERAL.—The amendments made by paragraph 
(1) shall not apply until the date on which the Secretary 
of Agriculture issues final regulations (after providing a 
period of public comment, including through the conduct 
of public meetings or hearings, in accordance with chapter 
5 of title 5, United States Code) to carry out such amend-
ments. 
(B) REGULATIONS.—Not later than 18 months after 
the date of the enactment of this Act, the Secretary of 
Agriculture, in consultation with the Commissioner of Food 
and Drugs, shall issue final regulations to carry out the 
amendments made by paragraph (1). 
(3) BUDGET REQUEST.—Not later than 30 days after the 
date of the enactment of this Act, the Secretary of Agriculture 
shall submit to Congress an estimate of the costs of imple-
menting the amendments made by paragraph (1), including 
the estimated— 
(A) staff years; 
(B) number of establishments; 
(C) volume expected to be produced at such establish-
ments; and 
(D) any other information used in estimating the costs 
of implementing such amendments. 
SEC. 11017. FOOD SAFETY IMPROVEMENT. 
(a) FEDERAL MEAT INSPECTION ACT.—Title I of the Federal 
Meat Inspection Act is further amended by inserting after section 
11 (21 U.S.C. 611) the following: 
‘‘SEC. 12. NOTIFICATION. 
‘‘Any establishment subject to inspection under this Act that 
believes, or has reason to believe, that an adulterated or misbranded 
meat or meat food product received by or originating from the 
establishment has entered into commerce shall promptly notify 
the Secretary with regard to the type, amount, origin, and destina-
tion of the meat or meat food product. 
‘‘SEC. 13. PLANS AND REASSESSMENTS. 
‘‘The Secretary shall require that each establishment subject 
to inspection under this Act shall, at a minimum— 
‘‘(1) prepare and maintain current procedures for the recall 
of all meat or meat food products produced and shipped by 
the establishment; 
‘‘(2) document each reassessment of the process control 
plans of the establishment; and 
‘‘(3) upon request, make the procedures and reassessed 
process control plans available to inspectors appointed by the 
Secretary for review and copying.’’. 
(b) POULTRY PRODUCTS INSPECTION ACT.—Section 10 of the 
Poultry Products Inspection Act (21 U.S.C. 459) is amended— 
(1) by striking the section heading and all that follows 
through ‘‘SEC. 10. No establishment’’ and inserting the following: 
‘‘SEC. 10. COMPLIANCE BY ALL ESTABLISHMENTS. 
‘‘(a) IN GENERAL.—No establishment’’; and 
(2) by adding at the end the following: 
‘‘(b) NOTIFICATION.—Any establishment subject to inspection 
under this Act that believes, or has reason to believe, that an 
21 USC 613. 
21 USC 612. 
Deadline. 
Deadline. 
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122 STAT. 1371 
PUBLIC LAW 110–234—MAY 22, 2008 
adulterated or misbranded poultry or poultry product received by 
or originating from the establishment has entered into commerce 
shall promptly notify the Secretary with regard to the type, amount, 
origin, and destination of the poultry or poultry product. 
‘‘(c) PLANS AND REASSESSMENTS.—The Secretary shall require 
that each establishment subject to inspection under this Act shall, 
at a minimum— 
‘‘(1) prepare and maintain current procedures for the recall 
of all poultry or poultry products produced and shipped by 
the establishment; 
‘‘(2) document each reassessment of the process control 
plans of the establishment; and 
‘‘(3) upon request, make the procedures and reassessed 
process control plans available to inspectors appointed by the 
Secretary for review and copying.’’. 
TITLE XII—CROP INSURANCE AND 
DISASTER ASSISTANCE PROGRAMS 
Subtitle A—Crop Insurance and 
Agricultural Disaster Assistance 
SEC. 12001. DEFINITION OF ORGANIC CROP. 
Section 502(b) of the Federal Crop Insurance Act (7 U.S.C. 
1502(b)) is amended— 
(1) by redesignating paragraphs (7) and (8) as paragraphs 
(8) and (9), respectively; and 
(2) by inserting after paragraph (6) the following: 
‘‘(7) ORGANIC
CROP.—The term ‘organic crop’ means an 
agricultural commodity that is organically produced consistent 
with section 2103 of the Organic Foods Production Act of 1990 
(7 U.S.C. 6502).’’. 
SEC. 12002. GENERAL POWERS. 
(a) IN GENERAL.—Section 506 of the Federal Crop Insurance 
Act (7 U.S.C. 1506) is amended— 
(1) in the first sentence of subsection (d), by striking ‘‘The 
Corporation’’ and inserting ‘‘Subject to section 508(j)(2)(A), the 
Corporation’’; and 
(2) by striking subsection (n). 
(b) CONFORMING AMENDMENTS.— 
(1) Section 506 of the Federal Crop Insurance Act (7 U.S.C. 
1506) is amended by redesignating subsections (o), (p), and 
(q) as subsections (n), (o), and (p), respectively. 
(2) Section 521 of the Federal Crop Insurance Act (7 U.S.C. 
1521) is amended by striking the last sentence. 
SEC. 12003. REDUCTION IN LOSS RATIO. 
(a) PROJECTED LOSS RATIO.—Subsection (n)(2) of section 506 
of the Federal Crop Insurance Act (7 U.S.C. 1506) (as redesignated 
by section 12002(b)(1)) is amended— 
(1) in the paragraph heading, by striking ‘‘AS OF OCTOBER 
1, 1998’’; 
(2) by striking ‘‘, on and after October 1, 1998,’’; and 
(3) by striking ‘‘1.075’’ and inserting ‘‘1.0’’. 
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122 STAT. 1372 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) PREMIUMS REQUIRED.—Section 508(d)(1) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(d)(1)) is amended by striking ‘‘not 
greater than 1.1’’ and all that follows and inserting ‘‘not greater 
than— 
‘‘(A) 1.1 through September 30, 1998; 
‘‘(B) 1.075 for the period beginning October 1, 1998, 
and ending on the day before the date of enactment of 
the Food, Conservation, and Energy Act of 2008; and 
‘‘(C) 1.0 on and after the date of enactment of that 
Act.’’. 
SEC. 12004. PREMIUMS ADJUSTMENTS. 
Section 508(a) of the Federal Crop Insurance Act (7 U.S.C. 
1508(a)) is amended by adding at the end the following: 
‘‘(9) PREMIUM ADJUSTMENTS.— 
‘‘(A) PROHIBITION.—Except as provided in subpara-
graph (B), no person shall pay, allow, or give, or offer 
to pay, allow, or give, directly or indirectly, either as an 
inducement to procure insurance or after insurance has 
been procured, any rebate, discount, abatement, credit, or 
reduction of the premium named in an insurance policy 
or any other valuable consideration or inducement not 
specified in the policy. 
‘‘(B) EXCEPTIONS.—Subparagraph (A) does not apply 
with respect to— 
‘‘(i) a payment authorized under subsection 
(b)(5)(B); 
‘‘(ii) a performance-based discount authorized 
under subsection (d)(3); or 
‘‘(iii) a patronage dividend, or similar payment, 
that is paid— 
‘‘(I) by an entity that was approved by the 
Corporation to make such payments for the 2005, 
2006, or 2007 reinsurance year, in accordance with 
subsection (b)(5)(B) as in effect on the day before 
the date of enactment of this paragraph; and 
‘‘(II) in a manner consistent with the payment 
plan approved in accordance with that subsection 
for the entity by the Corporation for the applicable 
reinsurance year.’’. 
SEC. 12005. CONTROLLED BUSINESS INSURANCE. 
Section 508(a) of the Federal Crop Insurance Act (7 U.S.C. 
1508(a)) (as amended by section 12004) is amended by adding 
at the end the following: 
‘‘(10) COMMISSIONS.— 
‘‘(A) DEFINITION OF IMMEDIATE FAMILY.—In this para-
graph, the term ‘immediate family’ means an individual’s 
father, mother, stepfather, stepmother, brother, sister, step-
brother, stepsister, son, daughter, stepson, stepdaughter, 
grandparent, 
grandson, 
granddaughter, 
father-in-law, 
mother-in-law, brother-in-law, sister-in-law, son-in-law, 
daughter-in-law, the spouse of the foregoing, and the 
individual’s spouse. 
‘‘(B) 
PROHIBITION.—No 
individual 
(including 
a 
subagent) may receive directly, or indirectly through an 
entity, any compensation (including any commission, profit 
sharing, bonus, or any other direct or indirect benefit) 
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122 STAT. 1373 
PUBLIC LAW 110–234—MAY 22, 2008 
for the sale or service of a policy or plan of insurance 
offered under this title if— 
‘‘(i) the individual has a substantial beneficial 
interest, or a member of the individual’s immediate 
family has a substantial beneficial interest, in the 
policy or plan of insurance; and 
‘‘(ii) the total compensation to be paid to the indi-
vidual with respect to the sale or service of the policies 
or plans of insurance that meet the condition described 
in clause (i) exceeds 30 percent or the percentage speci-
fied in State law, whichever is less, of the total of 
all compensation received directly or indirectly by the 
individual for the sale or service of all policies and 
plans of insurance offered under this title for the 
reinsurance year. 
‘‘(C) REPORTING.—Not later than 90 days after the 
annual settlement date of the reinsurance year, any indi-
vidual that received directly or indirectly any compensation 
for the service or sale of any policy or plan of insurance 
offered under this title in the prior reinsurance year shall 
certify to applicable approved insurance providers that the 
compensation that the individual received was in compli-
ance with this paragraph. 
‘‘(D) SANCTIONS.—The procedural requirements and 
sanctions prescribed in section 515(h) shall apply to the 
prosecution of a violation of this paragraph. 
‘‘(E) APPLICABILITY.— 
‘‘(i) IN GENERAL.—Sanctions for violations under 
this paragraph shall only apply to the individuals or 
entities directly responsible for the certification 
required under subparagraph (C) or the failure to 
comply with the requirements of this paragraph. 
‘‘(ii) PROHIBITION.—No sanctions shall apply with 
respect to the policy or plans of insurance upon which 
compensation is received, including the reinsurance 
for those policies or plans.’’. 
SEC. 12006. ADMINISTRATIVE FEE. 
(a) IN GENERAL.—Section 508(b)(5) of the Federal Crop Insur-
ance Act (7 U.S.C. 1508(b)(5)) is amended— 
(1) by striking subparagraph (A) and inserting the fol-
lowing: 
‘‘(A) BASIC FEE.—Each producer shall pay an adminis-
trative fee for catastrophic risk protection in the amount 
of $300 per crop per county.’’; and 
(2) in subparagraph (B)— 
(A) by striking ‘‘PAYMENT ON BEHALF OF PRODUCERS’’ 
and inserting ‘‘PAYMENT OF CATASTROPHIC RISK PROTEC-
TION FEE ON BEHALF OF PRODUCERS’’; 
(B) in clause (i)— 
(i) by striking ‘‘or other payment’’; and 
(ii) by striking ‘‘with catastrophic risk protection 
or additional coverage’’ and inserting ‘‘through the pay-
ment of catastrophic risk protection administrative 
fees’’; 
(C) by striking clauses (ii) and (vi); 
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122 STAT. 1374 
PUBLIC LAW 110–234—MAY 22, 2008 
(D) by redesignating clauses (iii), (iv), and (v) as clauses 
(ii), (iii), and (iv), respectively; 
(E) in clause (iii) (as so redesignated), by striking ‘‘A 
policy or plan of insurance’’ and inserting ‘‘Catastrophic 
risk protection coverage’’; and 
(F) in clause (iv) (as so redesignated)— 
(i) by striking ‘‘or other arrangement under this 
subparagraph’’; and 
(ii) by striking ‘‘additional’’. 
(b) REPEAL.—Section 748 of the Agriculture, Rural Develop-
ment, Food and Drug Administration, and Related Agencies Appro-
priations Act, 1999 (7 U.S.C. 1508 note; Public Law 105–277) is 
repealed. 
SEC. 12007. TIME FOR PAYMENT. 
Section 508 of the Federal Crop Insurance Act (7 U.S.C. 1508) 
is amended— 
(1) in subsection (b)(5)(C), by striking ‘‘the date that pre-
mium’’ and inserting ‘‘the same date on which the premium’’; 
(2) in subsection (c)(10), by adding at the end the following: 
‘‘(C) TIME
FOR
PAYMENT.—Subsection (b)(5)(C) shall 
apply with respect to the collection date for the administra-
tive fee.’’; and 
(3) in subsection (d), by adding at the end the following: 
‘‘(4) BILLING DATE FOR PREMIUMS.—Effective beginning with 
the 2012 reinsurance year, the Corporation shall establish 
August 15 as the billing date for premiums.’’. 
SEC. 12008. CATASTROPHIC COVERAGE REIMBURSEMENT RATE. 
Section 508(b)(11) of the Federal Crop Insurance Act (7 U.S.C. 
1508(b)(11)) is amended by striking ‘‘8 percent’’ and inserting ‘‘6 
percent’’. 
SEC. 12009. GRAIN SORGHUM PRICE ELECTION. 
Section 508(c)(5) of the Federal Crop Insurance Act (7 U.S.C. 
1508(c)(5)) is amended by adding at the end the following: 
‘‘(D) GRAIN SORGHUM PRICE ELECTION.— 
‘‘(i) IN GENERAL.—The Corporation, in conjunction 
with the Secretary (referred to in this subparagraph 
as the ‘Corporation’), shall— 
‘‘(I) not later than 60 days after the date of 
enactment of this subparagraph, make available 
all methods and data, including data from the 
Economic Research Service, used by the Corpora-
tion to develop the expected market prices for grain 
sorghum under the production and revenue-based 
plans of insurance of the Corporation; and 
‘‘(II) request applicable data from the grain 
sorghum industry. 
‘‘(ii) EXPERT REVIEWERS.— 
‘‘(I) IN
GENERAL.—Not later than 120 days 
after the date of enactment of this subparagraph, 
the Corporation shall contract individually with 
5 expert reviewers described in subclause (II) to 
develop and recommend a methodology for deter-
mining an expected market price for sorghum for 
both the production and revenue-based plans of 
Contracts. 
Deadlines. 
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122 STAT. 1375 
PUBLIC LAW 110–234—MAY 22, 2008 
insurance to more accurately reflect the actual 
price at harvest. 
‘‘(II) REQUIREMENTS.—The expert reviewers 
under subclause (I) shall be comprised of agricul-
tural economists with experience in grain sorghum 
and corn markets, of whom— 
‘‘(aa) 2 shall be agricultural economists 
of institutions of higher education; 
‘‘(bb) 2 shall be economists from within 
the Department; and 
‘‘(cc) 1 shall be an economist nominated 
by the grain sorghum industry. 
‘‘(iii) RECOMMENDATIONS.— 
‘‘(I) IN GENERAL.—Not later than 90 days after 
the date of contracting with the expert reviewers 
under clause (ii), the expert reviewers shall 
submit, and the Corporation shall make available 
to the public, the recommendations of the expert 
reviewers. 
‘‘(II) CONSIDERATION.—The Corporation shall 
consider the recommendations under subclause (I) 
when determining the appropriate pricing method-
ology to determine the expected market price for 
grain sorghum under both the production and rev-
enue-based plans of insurance. 
‘‘(III) PUBLICATION.—Not later than 60 days 
after the date on which the Corporation receives 
the recommendations of the expert reviewers, the 
Corporation shall publish the proposed pricing 
methodology for both the production and revenue- 
based plans of insurance for notice and comment 
and, during the comment period, conduct at least 
1 public meeting to discuss the proposed pricing 
methodologies. 
‘‘(iv) APPROPRIATE PRICING METHODOLOGY.— 
‘‘(I) IN
GENERAL.—Not later than 180 days 
after the close of the comment period in clause 
(iii)(III), but effective not later than the 2010 crop 
year, the Corporation shall implement a pricing 
methodology for grain sorghum under the produc-
tion and revenue-based plans of insurance that 
is transparent and replicable. 
‘‘(II) INTERIM METHODOLOGY.—Until the date 
on which the new pricing methodology is imple-
mented, the Corporation may continue to use the 
pricing methodology that the Corporation deter-
mines best establishes the expected market price. 
‘‘(III) AVAILABILITY.—On an annual basis, the 
Corporation shall make available the pricing meth-
odology and data used to determine the expected 
market prices for grain sorghum under the produc-
tion and revenue-based plans of insurance, 
including any changes to the methodology used 
to determine the expected market prices for grain 
sorghum from the previous year.’’. 
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122 STAT. 1376 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 12010. PREMIUM REDUCTION AUTHORITY. 
Subsection 508(e) of the Federal Crop Insurance Act (7 U.S.C. 
1508(e)) is amended— 
(1) in paragraph (2), by striking ‘‘paragraph (4)’’ and 
inserting ‘‘paragraph (3)’’; 
(2) by striking paragraph (3); and 
(3) by redesignating paragraphs (4) and (5) as paragraphs 
(3) and (4), respectively. 
SEC. 12011. ENTERPRISE AND WHOLE FARM UNITS. 
Section 508(e) of Federal Crop Insurance Act (7 U.S.C. 1508(e)) 
(as amended by section 12010) is amended by adding at the end 
the following: 
‘‘(5) ENTERPRISE AND WHOLE FARM UNITS.— 
‘‘(A) IN GENERAL.—The Corporation may carry out a 
pilot program under which the Corporation pays a portion 
of the premiums for plans or policies of insurance for which 
the insurable unit is defined on a whole farm or enterprise 
unit basis that is higher than would otherwise be paid 
in accordance with paragraph (2). 
‘‘(B) AMOUNT.—The percentage of the premium paid 
by the Corporation to a policyholder for a policy with an 
enterprise or whole farm unit under this paragraph shall, 
to the maximum extent practicable, provide the same dollar 
amount of premium subsidy per acre that would otherwise 
have been paid by the Corporation under paragraph (2) 
if the policyholder had purchased a basic or optional unit 
for the crop for the crop year. 
‘‘(C) LIMITATION.—The amount of the premium paid 
by the Corporation under this paragraph may not exceed 
80 percent of the total premium for the enterprise or whole 
farm unit policy.’’. 
SEC. 12012. PAYMENT OF PORTION OF PREMIUM FOR AREA REVENUE 
PLANS. 
Section 508(e) of the Federal Crop Insurance Act (7 U.S.C. 
1508(e)) (as amended by section 12011) is amended— 
(1) in paragraph (2), in the matter preceding subparagraph 
(A), by striking ‘‘paragraph (4)’’ and inserting ‘‘paragraphs (4), 
(6), and (7)’’; and 
(2) by adding at the end the following: 
‘‘(6) PREMIUM SUBSIDY FOR AREA REVENUE PLANS.—Subject 
to paragraph (4), in the case of a policy or plan of insurance 
that covers losses due to a reduction in revenue in an area, 
the amount of the premium paid by the Corporation shall 
be as follows: 
‘‘(A) In the case of additional area coverage equal to 
or greater than 70 percent, but less than 75 percent, of 
the recorded county yield indemnified at not greater than 
100 percent of the expected market price, the amount shall 
be equal to the sum of— 
‘‘(i) 59 percent of the amount of the premium estab-
lished under subsection (d)(2)(B)(i) for the coverage 
level selected; and 
‘‘(ii) the amount determined under subsection 
(d)(2)(B)(ii) for the coverage level selected to cover oper-
ating and administrative expenses. 
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122 STAT. 1377 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) In the case of additional area coverage equal to 
or greater than 75 percent, but less than 85 percent, of 
the recorded county yield indemnified at not greater than 
100 percent of the expected market price, the amount shall 
be equal to the sum of— 
‘‘(i) 55 percent of the amount of the premium estab-
lished under subsection (d)(2)(B)(i) for the coverage 
level selected; and 
‘‘(ii) the amount determined under subsection 
(d)(2)(B)(ii) for the coverage level selected to cover oper-
ating and administrative expenses. 
‘‘(C) In the case of additional area coverage equal to 
or greater than 85 percent, but less than 90 percent, of 
the recorded county yield indemnified at not greater than 
100 percent of the expected market price, the amount shall 
be equal to the sum of— 
‘‘(i) 49 percent of the amount of the premium estab-
lished under subsection (d)(2)(B)(i) for the coverage 
level selected; and 
‘‘(ii) the amount determined under subsection 
(d)(2)(B)(ii) for the coverage level selected to cover oper-
ating and administrative expenses. 
‘‘(D) In the case of additional area coverage equal to 
or greater than 90 percent of the recorded county yield 
indemnified at not greater than 100 percent of the expected 
market price, the amount shall be equal to the sum of— 
‘‘(i) 44 percent of the amount of the premium estab-
lished under subsection (d)(2)(B)(i) for the coverage 
level selected; and 
‘‘(ii) the amount determined under subsection 
(d)(2)(B)(ii) for the coverage level selected to cover oper-
ating and administrative expenses. 
‘‘(7) PREMIUM
SUBSIDY
FOR
AREA
YIELD
PLANS.—Subject 
to paragraph (4), in the case of a policy or plan of insurance 
that covers losses due to a loss of yield or prevented planting 
in an area, the amount of the premium paid by the Corporation 
shall be as follows: 
‘‘(A) In the case of additional area coverage equal to 
or greater than 70 percent, but less than 80 percent, of 
the recorded county yield indemnified at not greater than 
100 percent of the expected market price, the amount shall 
be equal to the sum of— 
‘‘(i) 59 percent of the amount of the premium estab-
lished under subsection (d)(2)(B)(i) for the coverage 
level selected; and 
‘‘(ii) the amount determined under subsection 
(d)(2)(B)(ii) for the coverage level selected to cover oper-
ating and administrative expenses. 
‘‘(B) In the case of additional area coverage equal to 
or greater than 80 percent, but less than 90 percent, of 
the recorded county yield indemnified at not greater than 
100 percent of the expected market price, the amount shall 
be equal to the sum of— 
‘‘(i) 55 percent of the amount of the premium estab-
lished under subsection (d)(2)(B)(i) for the coverage 
level selected; and 
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122 STAT. 1378 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) the amount determined under subsection 
(d)(2)(B)(ii) for the coverage level selected to cover oper-
ating and administrative expenses. 
‘‘(C) In the case of additional area coverage equal to 
or greater than 90 percent, of the recorded county yield 
indemnified at not greater than 100 percent of the expected 
market price, the amount shall be equal to the sum of— 
‘‘(i) 51 percent of the amount of the premium estab-
lished under subsection (d)(2)(B)(i) for the coverage 
level selected; and 
‘‘(ii) the amount determined under subsection 
(d)(2)(B)(ii) for the coverage level selected to cover oper-
ating and administrative expenses.’’. 
SEC. 12013. DENIAL OF CLAIMS. 
Section 508(j)(2)(A) of the Federal Crop Insurance Act (7 U.S.C. 
1508(j)(2)(A)) is amended by inserting ‘‘on behalf of the Corporation’’ 
after ‘‘approved provider’’. 
SEC. 12014. SETTLEMENT OF CROP INSURANCE CLAIMS ON FARM- 
STORED PRODUCTION. 
(a) IN GENERAL.—Section 508(j) of the Federal Crop Insurance 
Act (7 U.S.C. 1508(j)) is amended by adding at the end the following: 
‘‘(5) SETTLEMENT
OF
CLAIMS
ON
FARM-STORED
PRODUC-
TION.—A producer with farm-stored production may, at the 
option of the producer, delay settlement of a crop insurance 
claim relating to the farm-stored production for up to 4 months 
after the last date on which claims may be submitted under 
the policy of insurance.’’. 
(b) STUDY ON THE EFFICACY OF PACK FACTORS.— 
(1) IN GENERAL.—The Secretary shall conduct a study of 
the efficacy and accuracy of the application of pack factors 
regarding the measurement of farm-stored production for pur-
poses of providing policies or plans of insurance under the 
Federal Crop Insurance Act (7 U.S.C. 1501 et seq.). 
(2) CONSIDERATIONS.—The study shall consider— 
(A) structural shape and size; 
(B) time in storage; 
(C) the impact of facility aeration systems; and 
(D) any other factors the Secretary considers appro-
priate. 
(3) REPORT.—Not later than 3 years after the date of enact-
ment of this Act, the Secretary shall submit to the Committee 
on Agriculture of the House of Representatives and the Com-
mittee on Agriculture, Nutrition, and Forestry of the Senate 
a report that includes the findings of the study and any related 
policy recommendations. 
SEC. 12015. TIME FOR REIMBURSEMENT. 
Section 508(k)(4) of the Federal Crop Insurance Act (7 U.S.C. 
1508(k)(4)) is amended by adding at the end the following: 
‘‘(D) TIME FOR REIMBURSEMENT.—Effective beginning 
with the 2012 reinsurance year, the Corporation shall 
reimburse approved insurance providers and agents for 
the allowable administrative and operating costs of the 
providers and agents as soon as practicable after October 
1 (but not later than October 31) after the reinsurance 
year for which reimbursements are earned.’’. 
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122 STAT. 1379 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 12016. REIMBURSEMENT RATE. 
Section 508(k)(4) of the Federal Crop Insurance Act (7 U.S.C. 
1508(k)(4)) (as amended by section 12015) is amended— 
(1) in subparagraph (A), by striking ‘‘Except as provided 
in subparagraph (B)’’ and inserting ‘‘Except as otherwise pro-
vided in this paragraph’’; and 
(2) by adding at the end the following: 
‘‘(E) REIMBURSEMENT RATE REDUCTION.—In the case 
of a policy of additional coverage that received a rate of 
reimbursement for administrative and operating costs for 
the 2008 reinsurance year, for each of the 2009 and subse-
quent reinsurance years, the reimbursement rate for 
administrative and operating costs shall be 2.3 percentage 
points below the rates in effect as of the date of enactment 
of the Food, Conservation, and Energy Act of 2008 for 
all crop insurance policies used to define loss ratio, except 
that only 1⁄2 of the reduction shall apply in a reinsurance 
year to the total premium written in a State in which 
the State loss ratio is greater than 1.2. 
‘‘(F) REIMBURSEMENT
RATE
FOR
AREA
POLICIES
AND 
PLANS OF INSURANCE.—Notwithstanding subparagraphs (A) 
through (E), for each of the 2009 and subsequent reinsur-
ance years, the reimbursement rate for area policies and 
plans of insurance widely available as of the date of enact-
ment of this subparagraph shall be 12 percent of the pre-
mium used to define loss ratio for that reinsurance year.’’. 
SEC. 12017. RENEGOTIATION OF STANDARD REINSURANCE AGREE-
MENT. 
Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 
1508(k)) is amended by adding at the end the following: 
‘‘(8) RENEGOTIATION
OF
STANDARD
REINSURANCE
AGREE-
MENT.— 
‘‘(A) IN GENERAL.—Except as provided in subparagraph 
(B), notwithstanding section 536 of the Agricultural 
Research, Extension, and Education Reform Act of 1998 
(7 U.S.C. 1506 note; Public Law 105–185) and section 148 
of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 
1506 note; Public Law 106–224), the Corporation may 
renegotiate the financial terms and conditions of each 
Standard Reinsurance Agreement— 
‘‘(i) to be effective for the 2011 reinsurance year 
beginning July 1, 2010; and 
‘‘(ii) once during each period of 5 reinsurance years 
thereafter. 
‘‘(B) EXCEPTIONS.— 
‘‘(i) ADVERSE CIRCUMSTANCES.—Subject to clause 
(ii), subparagraph (A) shall not apply in any case in 
which the approved insurance providers, as a whole, 
experience unexpected adverse circumstances, as deter-
mined by the Secretary. 
‘‘(ii) EFFECT OF FEDERAL LAW CHANGES.—If Federal 
law is enacted after the date of enactment of this 
paragraph that requires revisions in the financial 
terms of the Standard Reinsurance Agreement, and 
changes in the Agreement are made on a mandatory 
basis by the Corporation, the changes shall not be 
Time period. 
Effective date. 
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122 STAT. 1380 
PUBLIC LAW 110–234—MAY 22, 2008 
considered to be a renegotiation of the Agreement for 
purposes of subparagraph (A). 
‘‘(C) NOTIFICATION REQUIREMENT.—If the Corporation 
renegotiates a Standard Reinsurance Agreement under 
subparagraph (A)(iii), the Corporation shall notify the Com-
mittee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of 
the Senate of the renegotiation. 
‘‘(D) CONSULTATION.—The approved insurance pro-
viders may confer with each other and collectively with 
the Corporation during any renegotiation under subpara-
graph (A). 
‘‘(E) 2011 REINSURANCE YEAR.— 
‘‘(i) IN GENERAL.—As part of the Standard Reinsur-
ance 
Agreement 
renegotiation 
authorized 
under 
subparagraph (A)(i), the Corporation shall consider 
alternative methods to determine reimbursement rates 
for administrative and operating costs. 
‘‘(ii) ALTERNATIVE METHODS.—Alternatives consid-
ered under clause (i) shall include— 
‘‘(I) methods that— 
‘‘(aa) are graduated and base reimburse-
ment rates in a State on changes in premiums 
in that State; 
‘‘(bb) are graduated and base reimburse-
ment rates in a State on the loss ratio for 
crop insurance for that State; and 
‘‘(cc) are graduated and base reimburse-
ment rates on individual policies on the level 
of total premium for each policy; and 
‘‘(II) any other method that takes into account 
current financial conditions of the program and 
ensures continued availability of the program to 
producers on a nationwide basis.’’. 
SEC. 12018. CHANGE IN DUE DATE FOR CORPORATION PAYMENTS FOR 
UNDERWRITING GAINS. 
Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 
1508(k)) (as amended by section 12017) is amended by adding 
at the end the following: 
‘‘(9) DUE DATE FOR PAYMENT OF UNDERWRITING GAINS.— 
Effective beginning with the 2011 reinsurance year, the Cor-
poration shall make payments for underwriting gains under 
this title on— 
‘‘(A) for the 2011 reinsurance year, October 1, 2012; 
and 
‘‘(B) for each reinsurance year thereafter, October 1 
of the following calendar year.’’. 
SEC. 12019. MALTING BARLEY. 
Section 508(m) of the Federal Crop Insurance Act (7 U.S.C. 
1508(m)) is amended by adding at the end the following: 
‘‘(5) SPECIAL PROVISIONS FOR MALTING BARLEY.—The Cor-
poration shall promulgate special provisions under this sub-
section specific to malting barley, taking into consideration 
any changes in quality factors, as required by applicable market 
conditions.’’. 
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122 STAT. 1381 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 12020. CROP PRODUCTION ON NATIVE SOD. 
(a) FEDERAL CROP INSURANCE.—Section 508 of the Federal 
Crop Insurance Act (7 U.S.C. 1508) is amended by adding at the 
end the following: 
‘‘(o) CROP PRODUCTION ON NATIVE SOD.— 
‘‘(1) DEFINITION OF NATIVE SOD.—In this subsection, the 
term ‘native sod’ means land— 
‘‘(A) on which the plant cover is composed principally 
of native grasses, grasslike plants, forbs, or shrubs suitable 
for grazing and browsing; and 
‘‘(B) that has never been tilled for the production of 
an annual crop as of the date of enactment of this sub-
section. 
‘‘(2) INELIGIBILITY FOR BENEFITS.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B) and 
paragraph (3), native sod acreage that has been tilled for 
the production of an annual crop after the date of enact-
ment of this subsection shall be ineligible during the first 
5 crop years of planting, as determined by the Secretary, 
for benefits under— 
‘‘(i) this title; and 
‘‘(ii) section 196 of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7333). 
‘‘(B) DE MINIMIS ACREAGE EXEMPTION.—The Secretary 
shall exempt areas of 5 acres or less from subparagraph 
(A). 
‘‘(3) APPLICATION.—Paragraph (2) may apply to native sod 
acreage in the Prairie Pothole National Priority Area at the 
election of the Governor of the respective State.’’. 
(b) NONINSURED CROP DISASTER ASSISTANCE.—Section 196(a) 
of the Federal Agriculture Improvement and Reform Act of 1996 
(7 U.S.C. 7333(a)) is amended by adding at the end the following: 
‘‘(4) PROGRAM INELIGIBILITY RELATING TO CROP PRODUCTION 
ON NATIVE SOD.— 
‘‘(A) DEFINITION OF NATIVE SOD.—In this paragraph, 
the term ‘native sod’ means land— 
‘‘(i) on which the plant cover is composed prin-
cipally of native grasses, grasslike plants, forbs, or 
shrubs suitable for grazing and browsing; and 
‘‘(ii) that has never been tilled for the production 
of an annual crop as of the date of enactment of this 
paragraph. 
‘‘(B) INELIGIBILITY FOR BENEFITS.— 
‘‘(i) IN
GENERAL.—Subject to clause (ii) and 
subparagraph (C), native sod acreage that has been 
tilled for the production of an annual crop after the 
date of enactment of this paragraph shall be ineligible 
during the first 5 crop years of planting, as determined 
by the Secretary, for benefits under— 
‘‘(I) this section; and 
‘‘(II) the Federal Crop Insurance Act (7 U.S.C. 
1501 et seq.). 
‘‘(ii) DE MINIMIS ACREAGE EXEMPTION.—The Sec-
retary shall exempt areas of 5 acres or less from clause 
(i). 
‘‘(C) APPLICATION.—Subparagraph (B) may apply to 
native sod acreage in the Prairie Pothole National Priority 
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122 STAT. 1382 
PUBLIC LAW 110–234—MAY 22, 2008 
Area at the election of the Governor of the respective 
State.’’. 
SEC. 12021. INFORMATION MANAGEMENT. 
Section 515 of the Federal Crop Insurance Act (7 U.S.C. 1515) 
is amended— 
(a) in subsection (j)(3), by adding before the period at the 
end the following: ‘‘, which shall be subject to competition on a 
periodic basis, as determined by the Secretary’’; and 
(b) by striking subsection (k) and inserting the following: 
‘‘(k) FUNDING.— 
‘‘(1) INFORMATION TECHNOLOGY.—To carry out subsection 
(j)(1), the Corporation may use, from amounts made available 
from the insurance fund established under section 516(c), not 
more than $15,000,000 for each of fiscal years 2008 through 
2011. 
‘‘(2) DATA MINING.—To carry out subsection (j)(2), the Cor-
poration may use, from amounts made available from the insur-
ance fund established under section 516(c), not more than 
$4,000,000 for fiscal year 2009 and each subsequent fiscal 
year.’’. 
SEC. 12022. RESEARCH AND DEVELOPMENT. 
(a) IN GENERAL.—Section 522(b) of the Federal Crop Insurance 
Act (7 U.S.C. 1522(b)) is amended by striking paragraphs (1) and 
(2) and inserting the following: 
‘‘(1) RESEARCH AND DEVELOPMENT PAYMENT.— 
‘‘(A) IN
GENERAL.—The Corporation shall provide a 
payment to an applicant for research and development 
costs in accordance with this subsection. 
‘‘(B) REIMBURSEMENT.—An applicant who submits a 
policy under section 508(h) shall be eligible for the 
reimbursement of reasonable research and development 
costs directly related to the policy if the policy is approved 
by the Board for sale to producers. 
‘‘(2) ADVANCE PAYMENTS.— 
‘‘(A) IN GENERAL.—Subject to the other provisions of 
this paragraph, the Board may approve the request of 
an applicant for advance payment of a portion of reasonable 
research and development costs prior to submission and 
approval of the policy by the Board under section 508(h). 
‘‘(B) PROCEDURES.—The Board shall establish proce-
dures for approving advance payment of reasonable 
research and development costs to applicants. 
‘‘(C) CONCEPT PROPOSAL.—As a condition of eligibility 
for advance payments, an applicant shall submit a concept 
proposal for the policy that the applicant plans to submit 
to the Board under section 508(h), consistent with proce-
dures established by the Board for submissions under 
subparagraph (B), including— 
‘‘(i) a summary of the qualifications of the 
applicant, including any prior concept proposals and 
submissions to the Board under section 508(h) and, 
if applicable, any work conducted under this section; 
‘‘(ii) a projection of total research and development 
costs that the applicant expects to incur; 
‘‘(iii) a description of the need for the policy, the 
marketability of and expected demand for the policy 
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122 STAT. 1383 
PUBLIC LAW 110–234—MAY 22, 2008 
among affected producers, and the potential impact 
of the policy on producers and the crop insurance 
delivery system; 
‘‘(iv) a summary of data sources available to dem-
onstrate that the policy can reasonably be developed 
and actuarially appropriate rates established; and 
‘‘(v) an identification of the risks the proposed 
policy will cover and an explanation of how the identi-
fied risks are insurable under this title. 
‘‘(D) REVIEW.— 
‘‘(i) EXPERTS.—If the requirements of subpara-
graph (B) and (C) are met, the Board may submit 
a concept proposal described in subparagraph (C) to 
not less than 2 independent expert reviewers, whose 
services are appropriate for the type of concept proposal 
submitted, to assess the likelihood that the proposed 
policy being developed will result in a viable and 
marketable policy, as determined by the Board. 
‘‘(ii) TIMING.—The time frames described in sub-
paragraphs (C) and (D) of section 508(h)(4) shall apply 
to the review of concept proposals under this subpara-
graph. 
‘‘(E) APPROVAL.—The Board may approve up to 50 per-
cent of the projected total research and development costs 
to be paid in advance to an applicant, in accordance with 
the procedures developed by the Board for the making 
of such payments, if, after consideration of the reviewer 
reports described in subparagraph (D) and such other 
information as the Board determines appropriate, the 
Board determines that— 
‘‘(i) the concept, in good faith, will likely result 
in a viable and marketable policy consistent with sec-
tion 508(h); 
‘‘(ii) in the sole opinion of the Board, the concept, 
if developed into a policy and approved by the Board, 
would provide crop insurance coverage— 
‘‘(I) in a significantly improved form; 
‘‘(II) to a crop or region not traditionally served 
by the Federal crop insurance program; or 
‘‘(III) in a form that addresses a recognized 
flaw or problem in the program; 
‘‘(iii) the applicant agrees to provide such reports 
as the Corporation determines are necessary to monitor 
the development effort; 
‘‘(iv) the proposed budget and timetable are reason-
able; and 
‘‘(v) the concept proposal meets any other require-
ments that the Board determines appropriate. 
‘‘(F) SUBMISSION OF POLICY.—If the Board approves 
an advanced payment under subparagraph (E), the Board 
shall establish a date by which the applicant shall present 
a submission in compliance with section 508(h) (including 
the procedures implemented under that section) to the 
Board for approval. 
‘‘(G) FINAL PAYMENT.— 
‘‘(i) APPROVED POLICIES.—If a policy is submitted 
under subparagraph (F) and approved by the Board 
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122 STAT. 1384 
PUBLIC LAW 110–234—MAY 22, 2008 
under section 508(h) and the procedures established 
by the Board (including procedures established under 
subparagraph (B)), the applicant shall be eligible for 
a payment of reasonable research and development 
costs in the same manner as policies reimbursed under 
paragraph (1)(B), less any payments made pursuant 
to subparagraph (E). 
‘‘(ii) POLICIES NOT APPROVED.—If a policy is sub-
mitted under subparagraph (F) and is not approved 
by the Board under section 508(h), the Corporation 
shall— 
‘‘(I) not seek a refund of any payments made 
in accordance with this paragraph; and 
‘‘(II) not make any further research and 
development cost payments associated with the 
submission of the policy under this paragraph. 
‘‘(H) POLICY NOT SUBMITTED.—If an applicant receives 
an advance payment and fails to fulfill the obligation of 
the applicant to the Board by not submitting a completed 
submission without just cause and in accordance with the 
procedures established under subparagraph (B)), including 
notice and reasonable opportunity to respond, as deter-
mined by the Board, the applicant shall return to the 
Board the amount of the advance plus interest. 
‘‘(I) REPEATED SUBMISSIONS.—The Board may prohibit 
advance payments to applicants who have submitted— 
‘‘(i) a concept proposal or submission that did not 
result in a marketable product; or 
‘‘(ii) a concept proposal or submission of poor 
quality. 
‘‘(J) CONTINUED ELIGIBILITY.—A determination that an 
applicant is not eligible for advance payments under this 
paragraph shall not prevent an applicant from reimburse-
ment under paragraph (1)(B).’’. 
(b) CONFORMING AMENDMENTS.—Section 522(b) of the Federal 
Crop Insurance Act (7 U.S.C. 1522(b)) is amended— 
(1) in paragraph (3), by striking ‘‘or (2)’’; and 
(2) in paragraph (4)(A), by striking ‘‘and (2)’’.’’ 
SEC. 12023. CONTRACTS FOR ADDITIONAL POLICIES AND STUDIES. 
Section 522(c) of the Federal Crop Insurance Act (7 U.S.C. 
1522) is amended— 
(1) by redesignating paragraph (10) as paragraph (17); 
and 
(2) by inserting after paragraph (9) the following: 
‘‘(10) CONTRACTS
FOR
ORGANIC
PRODUCTION
COVERAGE 
IMPROVEMENTS.— 
‘‘(A) CONTRACTS REQUIRED.—Not later than 180 days 
after the date of enactment of the Food, Conservation, 
and Energy Act of 2008, the Corporation shall enter into 
1 or more contracts for the development of improvements 
in Federal crop insurance policies covering crops produced 
in compliance with standards issued by the Department 
of Agriculture under the national organic program estab-
lished under the Organic Foods Production Act of 1990 
(7 U.S.C. 6501 et seq.). 
Deadline. 
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122 STAT. 1385 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) REVIEW OF UNDERWRITING RISK AND LOSS EXPERI-
ENCE.— 
‘‘(i) REVIEW REQUIRED.— 
‘‘(I) IN GENERAL.—A contract under subpara-
graph (A) shall include a review of the under-
writing, risk, and loss experience of organic crops 
covered by the Corporation, as compared with the 
same crops produced in the same counties and 
during the same crop years using nonorganic 
methods. 
‘‘(II) REQUIREMENTS.—The review shall— 
‘‘(aa) to the maximum extent practicable, 
be designed to allow the Corporation to deter-
mine whether significant, consistent, or sys-
temic variations in loss history exist between 
organic and nonorganic production; 
‘‘(bb) include the widest available range 
of data collected by the Secretary and other 
outside sources of information; and 
‘‘(cc) not be limited to loss history under 
existing crop insurance policies. 
‘‘(ii) EFFECT ON PREMIUM SURCHARGE.—Unless the 
review under this subparagraph documents the exist-
ence of significant, consistent, and systemic variations 
in loss history between organic and nonorganic crops, 
either collectively or on an individual crop basis, the 
Corporation shall eliminate or reduce the premium 
surcharge that the Corporation charges for coverage 
for organic crops, as determined in accordance with 
the results. 
‘‘(iii) ANNUAL UPDATES.—Beginning with the 2009 
crop year, the review under this subparagraph shall 
be updated on an annual basis as data is accumulated 
by the Secretary and other sources, so that the Cor-
poration may make determinations regarding adjust-
ments to the surcharge in a timely manner as quickly 
as evolving practices and data trends allow. 
‘‘(C) ADDITIONAL PRICE ELECTION.— 
‘‘(i) IN GENERAL.—A contract under subparagraph 
(A) shall include the development of a procedure, 
including any associated changes in policy terms or 
materials required for implementation of the proce-
dure, to offer producers of organic crops an additional 
price election that reflects actual prices received by 
organic producers for crops from the field (including 
appropriate retail and wholesale prices), as established 
using data collected and maintained by the Secretary 
or from other sources. 
‘‘(ii) TIMING.—The development of the procedure 
shall be completed in a timely manner to allow the 
Corporation to begin offering the additional price elec-
tion for organic crops with sufficient data for the 2010 
crop year. 
‘‘(iii) 
EXPANSION.—The 
procedure 
shall 
be 
expanded as quickly as practicable as additional data 
on prices of organic crops collected by the Secretary 
and other sources of information becomes available, 
Procedures. 
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122 STAT. 1386 
PUBLIC LAW 110–234—MAY 22, 2008 
with a goal of applying this procedure to all organic 
crops not later than the fifth full crop year that begins 
after the date of enactment of Food, Conservation, 
and Energy Act of 2008. 
‘‘(D) REPORTING REQUIREMENTS.— 
‘‘(i) IN
GENERAL.—The Corporation shall submit 
to the Committee on Agriculture of the House of Rep-
resentatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate an annual report 
on progress made in developing and improving Federal 
crop insurance for organic crops, including— 
‘‘(I) the numbers and varieties of organic crops 
insured; 
‘‘(II) the development of new insurance 
approaches; and 
‘‘(III) the progress of implementing the initia-
tives required under this paragraph, including the 
rate at which additional price elections are adopted 
for organic crops. 
‘‘(ii) RECOMMENDATIONS.—The report shall include 
such recommendations as the Corporation considers 
appropriate to improve Federal crop insurance cov-
erage for organic crops. 
‘‘(11) ENERGY CROP INSURANCE POLICY.— 
‘‘(A) DEFINITION OF DEDICATED ENERGY CROP.—In this 
subsection, the term ‘dedicated energy crop’ means an 
annual or perennial crop that— 
‘‘(i) is grown expressly for the purpose of producing 
a feedstock for renewable biofuel, renewable electricity, 
or biobased products; and 
‘‘(ii) is not typically used for food, feed, or fiber. 
‘‘(B) AUTHORITY.—The Corporation shall offer to enter 
into 1 or more contracts with qualified entities to carry 
out research and development regarding a policy to insure 
dedicated energy crops. 
‘‘(C) RESEARCH
AND
DEVELOPMENT.—Research and 
development described in subparagraph (B) shall evaluate 
the effectiveness of risk management tools for the produc-
tion of dedicated energy crops, including policies and plans 
of insurance that— 
‘‘(i) are based on market prices and yields; 
‘‘(ii) to the extent that insufficient data exist to 
develop a policy based on market prices and yields, 
evaluate the policies and plans of insurance based 
on the use of weather or rainfall indices to protect 
the interests of crop producers; and 
‘‘(iii) provide protection for production or revenue 
losses, or both. 
‘‘(12) AQUACULTURE INSURANCE POLICY.— 
‘‘(A) DEFINITION OF AQUACULTURE.—In this subsection: 
‘‘(i) IN GENERAL.—The term ‘aquaculture’ means 
the propagation and rearing of aquatic species in con-
trolled or selected environments, including shellfish 
cultivation on grants or leased bottom and ocean 
ranching. 
‘‘(ii) EXCLUSION.—The term ‘aquaculture’ does not 
include the private ocean ranching of Pacific salmon 
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122 STAT. 1387 
PUBLIC LAW 110–234—MAY 22, 2008 
for profit in any State in which private ocean ranching 
of Pacific salmon is prohibited by any law (including 
regulations). 
‘‘(B) AUTHORITY.— 
‘‘(i) IN GENERAL.—As soon as practicable after the 
date of enactment of the Food, Conservation, and 
Energy Act of 2008, the Corporation shall offer to 
enter into 3 or more contracts with qualified entities 
to carry out research and development regarding a 
policy to insure the production of aquacultural species 
in aquaculture operations. 
‘‘(ii) BIVALVE SPECIES.—At least 1 of the contracts 
described in clause (i) shall address insurance of 
bivalve species, including— 
‘‘(I) American oysters (crassostrea virginica); 
‘‘(II) hard clams (mercenaria mercenaria); 
‘‘(III) Pacific oysters (crassostrea gigas); 
‘‘(IV) Manila clams (tapes phillipinnarium); or 
‘‘(V) blue mussels (mytilus edulis). 
‘‘(iii) FRESHWATER SPECIES.—At least 1 of the con-
tracts described in clause (i) shall address insurance 
of freshwater species, including— 
‘‘(I) catfish (icataluridae); 
‘‘(II) rainbow trout (oncorhynchus mykiss); 
‘‘(III) 
largemouth 
bass 
(micropterus 
salmoides); 
‘‘(IV) striped bass (morone saxatilis); 
‘‘(V) bream (abramis brama); 
‘‘(VI) shrimp (penaeus); or 
‘‘(VII) tilapia (oreochromis niloticus). 
‘‘(iv) SALTWATER SPECIES.—At least 1 of the con-
tracts described in clause (i) shall address insurance 
of saltwater species, including— 
‘‘(I) Atlantic salmon (salmo salar); or 
‘‘(II) shrimp (penaeus). 
‘‘(C) RESEARCH
AND
DEVELOPMENT.—Research and 
development described in subparagraph (B) shall evaluate 
the effectiveness of policies and plans of insurance for 
the production of aquacultural species in aquaculture oper-
ations, including policies and plans of insurance that— 
‘‘(i) are based on market prices and yields; 
‘‘(ii) to the extent that insufficient data exist to 
develop a policy based on market prices and yields, 
evaluate how best to incorporate insuring of production 
of aquacultural species in aquaculture operations into 
existing policies covering adjusted gross revenue; and 
‘‘(iii) provide protection for production or revenue 
losses, or both. 
‘‘(13) POULTRY INSURANCE POLICY.— 
‘‘(A) DEFINITION OF POULTRY.—In this paragraph, the 
term ‘poultry’ has the meaning given the term in section 
2(a) of the Packers and Stockyards Act, 1921 (7 U.S.C. 
182(a)). 
‘‘(B) AUTHORITY.—The Corporation shall offer to enter 
into 1 or more contracts with qualified entities to carry 
out research and development regarding a policy to insure 
commercial poultry production. 
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122 STAT. 1388 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) RESEARCH
AND
DEVELOPMENT.—Research and 
development described in subparagraph (B) shall evaluate 
the effectiveness of risk management tools for the produc-
tion of poultry, including policies and plans of insurance 
that provide protection for production or revenue losses, 
or both, while the poultry is in production. 
‘‘(14) APIARY POLICIES.—The Corporation shall offer to enter 
into a contract with a qualified entity to carry out research 
and development regarding insurance policies that cover loss 
of bees. 
‘‘(15) ADJUSTED GROSS REVENUE POLICIES FOR BEGINNING 
PRODUCERS.—The Corporation shall offer to enter into a con-
tract with a qualified entity to carry out research and develop-
ment into needed modifications of adjusted gross revenue insur-
ance policies, consistent with principles of actuarial sufficiency, 
to permit coverage for beginning producers with no previous 
production history, including permitting those producers to 
have production and premium rates based on information with 
similar farming operations. 
‘‘(16) SKIPROW CROPPING PRACTICES.— 
‘‘(A) IN GENERAL.—The Corporation shall offer to enter 
into a contract with a qualified entity to carry out research 
into needed modifications of policies to insure corn and 
sorghum produced in the Central Great Plains (as deter-
mined by the Agricultural Research Service) through use 
of skiprow cropping practices. 
‘‘(B) RESEARCH.—Research described in subparagraph 
(A) shall— 
‘‘(i) review existing research on skiprow cropping 
practices and actual production history of producers 
using skiprow cropping practices; and 
‘‘(ii) evaluate the effectiveness of risk management 
tools for producers using skiprow cropping practices, 
including— 
‘‘(I) the appropriateness of rules in existence 
as of the date of enactment of this paragraph 
relating to the determination of acreage planted 
in skiprow patterns; and 
‘‘(II) whether policies for crops produced 
through skiprow cropping practices reflect actual 
production capabilities.’’. 
SEC. 12024. FUNDING FROM INSURANCE FUND. 
Section 522(e) of the Federal Crop Insurance Act (7 U.S.C. 
1522(e)) is amended— 
(1) in paragraph (1), by striking ‘‘$10,000,000’’ and all 
that follows through the end of the paragraph and inserting 
‘‘$7,500,000 for fiscal year 2008 and each subsequent fiscal 
year’’; 
(2) in paragraph (2)(A), by striking ‘‘$20,000,000 for’’ and 
all that follows through ‘‘year 2004’’ and inserting ‘‘$12,500,000 
for fiscal year 2008’’; and 
(3) in paragraph (3), by striking ‘‘the Corporation may 
use’’ and all that follows through the end of the paragraph 
and inserting ‘‘the Corporation may use— 
‘‘(A) not more than $5,000,000 for each fiscal year 
to improve program integrity, including by— 
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122 STAT. 1389 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) increasing compliance-related training; 
‘‘(ii) improving analysis tools and technology 
regarding compliance; 
‘‘(iii) use of information technology, as determined 
by the Corporation; and 
‘‘(iv) identifying and using innovative compliance 
strategies; and 
‘‘(B) any excess amounts to carry out other activities 
authorized under this section.’’. 
SEC. 12025. PILOT PROGRAMS. 
(a) IN GENERAL.—Section 523 of the Federal Crop Insurance 
Act (7 U.S.C. 1523) is amended by adding at the end the following: 
‘‘(f) CAMELINA PILOT PROGRAM.— 
‘‘(1) IN GENERAL.—The Corporation shall establish a pilot 
program under which producers or processors of camelina may 
propose for approval by the Board policies or plans of insurance 
for camelina, in accordance with section 508(h). 
‘‘(2) DETERMINATION BY BOARD.—The Board shall approve 
a policy or plan of insurance proposed under paragraph (1) 
if, as determined by the Board, the policy or plan of insurance— 
‘‘(A) protects the interests of producers; 
‘‘(B) is actuarially sound; and 
‘‘(C) meets the requirements of this title. 
‘‘(3) TIMEFRAME.—The Corporation shall commence the 
camelina insurance pilot program as soon as practicable after 
the date of enactment of this subsection. 
‘‘(g) SESAME INSURANCE PILOT PROGRAM.— 
‘‘(1) IN GENERAL.—In addition to any other authority of 
the Corporation, the Corporation shall establish and carry out 
a pilot program under which a producer of nondehiscent sesame 
under contract may elect to obtain multiperil crop insurance, 
as determined by the Corporation. 
‘‘(2) TERMS AND CONDITIONS.—The multiperil crop insur-
ance offered under the sesame insurance pilot program shall— 
‘‘(A) be offered through reinsurance arrangements with 
private insurance companies; 
‘‘(B) be actuarially sound; and 
‘‘(C) require the payment of premiums and administra-
tive fees by a producer obtaining the insurance. 
‘‘(3) LOCATION.—The sesame insurance pilot program shall 
be carried out only in the State of Texas. 
‘‘(4) DURATION.—The Corporation shall commence the 
sesame insurance pilot program as soon as practicable after 
the date of the enactment of this subsection. 
‘‘(h) GRASS SEED INSURANCE PILOT PROGRAM.— 
‘‘(1) IN GENERAL.—In addition to any other authority of 
the Corporation, the Corporation shall establish and carry out 
a grass seed pilot program under which a producer of Kentucky 
bluegrass or perennial rye grass under contract may elect to 
obtain multiperil crop insurance, as determined by the Corpora-
tion. 
‘‘(2) TERMS AND CONDITIONS.—The multiperil crop insur-
ance offered under the grass seed insurance pilot program 
shall— 
‘‘(A) be offered through reinsurance arrangements with 
private insurance companies; 
Texas. 
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122 STAT. 1390 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) be actuarially sound; and 
‘‘(C) require the payment of premiums and administra-
tive fees by a producer obtaining the insurance. 
‘‘(3) LOCATION.—The grass seed insurance pilot program 
shall be carried out only in each of the States of Minnesota 
and North Dakota. 
‘‘(4) DURATION.—The Corporation shall commence the grass 
seed insurance pilot program as soon as practicable after the 
date of the enactment of this subsection.’’. 
(b) CONFORMING AMENDMENT.—Section 196(a)(2)(B) of the Fed-
eral Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7333(a)(2)(B)) is amended by adding ‘‘camelina,’’ after ‘‘sea oats,’’. 
SEC. 
12026. 
RISK 
MANAGEMENT 
EDUCATION 
FOR 
BEGINNING 
FARMERS OR RANCHERS. 
Section 524(a) of the Federal Crop Insurance Act (7 U.S.C. 
1524(a)) is amended— 
(1) in paragraph (1), by striking ‘‘paragraph (4)’’ and 
inserting ‘‘paragraph (5)’’; 
(2) by redesignating paragraph (4) as paragraph (5); and 
(3) by inserting after paragraph (3) the following: 
‘‘(4) REQUIREMENTS.—In carrying out the programs estab-
lished under paragraphs (2) and (3), the Secretary shall place 
special emphasis on risk management strategies, education, 
and outreach specifically targeted at— 
‘‘(A) beginning farmers or ranchers; 
‘‘(B) legal immigrant farmers or ranchers that are 
attempting to become established producers in the United 
States; 
‘‘(C) socially disadvantaged farmers or ranchers; 
‘‘(D) farmers or ranchers that— 
‘‘(i) are preparing to retire; and 
‘‘(ii) are using transition strategies to help new 
farmers or ranchers get started; and 
‘‘(E) new or established farmers or ranchers that are 
converting production and marketing systems to pursue 
new markets.’’. 
SEC. 12027. COVERAGE FOR AQUACULTURE UNDER NONINSURED 
CROP ASSISTANCE PROGRAM. 
Section 196(c)(2) of the Federal Agriculture Improvement and 
Reform Act of 1996 (7 U.S.C. 7333(c)(2)) is amended— 
(1) by striking ‘‘On making’’ and inserting the following: 
‘‘(A) IN GENERAL.—On making’’; and 
(2) by adding at the end the following: 
‘‘(B) AQUACULTURE PRODUCERS.—On making a deter-
mination described in subsection (a)(3) for aquaculture pro-
ducers, the Secretary shall provide assistance under this 
section to aquaculture producers from all losses related 
to drought.’’. 
SEC. 12028. INCREASE IN SERVICE FEES FOR NONINSURED CROP 
ASSISTANCE PROGRAM. 
Section 196(k)(1) of the Federal Agriculture Improvement and 
Reform Act of 1996 (7 U.S.C. 7333(k)(1)) is amended— 
(1) in subparagraph (A), by striking ‘‘$100’’ and inserting 
‘‘$250’’; and 
(2) in subparagraph (B)— 
Minnesota. 
North Dakota. 
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122 STAT. 1391 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) by striking ‘‘$300’’ and inserting ‘‘$750’’; and 
(B) by striking ‘‘$900’’ and inserting ‘‘$1,875’’. 
SEC. 12029. DETERMINATION OF CERTAIN SWEET POTATO PRODUC-
TION. 
Section 9001(d) of the U.S. Troop Readiness, Veterans’ Care, 
Katrina Recovery, and Iraq Accountability Appropriations Act, 2007 
(Public Law 110–28; 121 Stat. 211) is amended— 
(1) by redesignating paragraph (8) as paragraph (9); and 
(2) by inserting after paragraph (7) the following: 
‘‘(8) SWEET POTATOES.— 
‘‘(A) DATA.—In the case of sweet potatoes, any data 
obtained under a pilot program carried out by the Risk 
Management Agency shall not be considered for the pur-
pose of determining the quantity of production under the 
crop disaster assistance program established under this 
section. 
‘‘(B) EXTENSION
OF
DEADLINE.—If this paragraph is 
not implemented before the sign-up deadline for the crop 
disaster assistance program established under this section, 
the Secretary shall extend the deadline for producers of 
sweet potatoes to permit sign-up for the program in accord-
ance with this paragraph.’’. 
SEC. 12030. DECLINING YIELD REPORT. 
Not later than 180 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 containing details 
about activities and administrative options of the Federal Crop 
Insurance Corporation and Risk Management Agency that address 
issues relating to— 
(1) declining yields on the actual production histories of 
producers; and 
(2) declining and variable yields for perennial crops, 
including pecans. 
SEC. 12031. DEFINITION OF BASIC UNIT. 
The Secretary shall not modify the definition of ‘‘basic unit’’ 
in accordance with the proposed regulations entitled ‘‘Common Crop 
Insurance Regulations’’ (72 Fed. Reg. 28895; relating to common 
crop insurance regulations) or any successor regulation. 
SEC. 12032. CROP INSURANCE MEDIATION. 
Section 275 of the Department of Agriculture Reorganization 
Act of 1994 (7 U.S.C. 6995) is amended— 
(1) by striking ‘‘If an officer’’ and inserting the following: 
‘‘(a) IN GENERAL.—If an officer’’; 
(2) by striking ‘‘With respect to’’ and inserting the following: 
‘‘(b) FARM SERVICE AGENCY.—With respect to’’; 
(3) by striking ‘‘If a mediation’’; and inserting the following: 
‘‘(c) MEDIATION.—If a mediation’’; and 
(4) in subsection (c) (as so designated)— 
(A) by striking ‘‘participant shall be offered’’ and 
inserting ‘‘participant shall— 
‘‘(1) be offered’’; and 
(B) by striking the period at the end and inserting 
the following: ‘‘; and 
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122 STAT. 1392 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) to the maximum extent practicable, be allowed to use 
both informal agency review and mediation to resolve disputes 
under that title.’’. 
SEC. 12033. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE. 
(a) IN GENERAL.—The Federal Crop Insurance Act (7 U.S.C. 
1501 et seq.) is amended by adding at the end the following: 
‘‘Subtitle B—Supplemental Agricultural 
Disaster Assistance 
‘‘SEC. 531. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) ACTUAL PRODUCTION HISTORY YIELD.—The term ‘actual 
production history yield’ means the weighted average of the 
actual production history for each insurable commodity or non-
insurable commodity, as calculated under subtitle A or the 
noninsured crop disaster assistance program, respectively. 
‘‘(2) ADJUSTED ACTUAL PRODUCTION HISTORY YIELD.—The 
term ‘adjusted actual production history yield’ means— 
‘‘(A) in the case of an eligible producer on a farm 
that has at least 4 years of actual production history yields 
for an insurable commodity that are established other than 
pursuant to section 508(g)(4)(B), the actual production his-
tory for the eligible producer without regard to any yields 
established under that section; 
‘‘(B) in the case of an eligible producer on a farm 
that has less than 4 years of actual production history 
yields for an insurable commodity, of which 1 or more 
were established pursuant to section 508(g)(4)(B), the 
actual production history for the eligible producer as cal-
culated without including the lowest of the yields estab-
lished pursuant to section 508(g)(4)(B); and 
‘‘(C) in all other cases, the actual production history 
of the eligible producer on a farm. 
‘‘(3) ADJUSTED NONINSURED CROP DISASTER ASSISTANCE PRO-
GRAM
YIELD.—The term ‘adjusted noninsured crop disaster 
assistance program yield’ means— 
‘‘(A) in the case of an eligible producer on a farm 
that has at least 4 years of production history under the 
noninsured crop disaster assistance program that are not 
replacement yields, the noninsured crop disaster assistance 
program yield without regard to any replacement yields; 
‘‘(B) in the case of an eligible producer on a farm 
that less than 4 years of production history under the 
noninsured crop disaster assistance program that are not 
replacement yields, the noninsured crop disaster assistance 
program yield as calculated without including the lowest 
of the replacement yields; and 
‘‘(C) in all other cases, the production history of the 
eligible producer on the farm under the noninsured crop 
disaster assistance program. 
‘‘(4) COUNTER-CYCLICAL
PROGRAM
PAYMENT
YIELD.—The 
term ‘counter-cyclical program payment yield’ means the 
weighted average payment yield established under section 1102 
of the Farm Security and Rural Investment Act of 2002 (7 
7 USC 1531. 
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122 STAT. 1393 
PUBLIC LAW 110–234—MAY 22, 2008 
U.S.C. 7912), section 1102 of the Food, Conservation, and 
Energy Act of 2008, or a successor section. 
‘‘(5) DISASTER COUNTY.— 
‘‘(A) IN GENERAL.—The term ‘disaster county’ means 
a county included in the geographic area covered by a 
qualifying natural disaster declaration. 
‘‘(B) INCLUSION.—The term ‘disaster county’ includes— 
‘‘(i) a county contiguous to a county described in 
subparagraph (A); and 
‘‘(ii) any farm in which, during a calendar year, 
the total loss of production of the farm relating to 
weather is greater than 50 percent of the normal 
production of the farm, as determined by the Secretary. 
‘‘(6) ELIGIBLE PRODUCER ON A FARM.— 
‘‘(A) IN GENERAL.—The term ‘eligible producer on a 
farm’ means an individual or entity described in subpara-
graph (B) that, as determined by the Secretary, assumes 
the production and market risks associated with the agri-
cultural production of crops or livestock. 
‘‘(B) DESCRIPTION.—An individual or entity referred 
to in subparagraph (A) is— 
‘‘(i) a citizen of the United States; 
‘‘(ii) a resident alien; 
‘‘(iii) a partnership of citizens of the United States; 
or 
‘‘(iv) a corporation, limited liability corporation, or 
other farm organizational structure organized under 
State law. 
‘‘(7) FARM.— 
‘‘(A) IN GENERAL.—The term ‘farm’ means, in relation 
to an eligible producer on a farm, the sum of all crop 
acreage in all counties that is planted or intended to be 
planted for harvest by the eligible producer. 
‘‘(B) AQUACULTURE.—In the case of aquaculture, the 
term ‘farm’ means, in relation to an eligible producer on 
a farm, all fish being produced in all counties that are 
intended to be harvested for sale by the eligible producer. 
‘‘(C) HONEY.—In the case of honey, the term ‘farm’ 
means, in relation to an eligible producer on a farm, all 
bees and beehives in all counties that are intended to 
be harvested for a honey crop by the eligible producer. 
‘‘(8) FARM-RAISED FISH.—The term ‘farm-raised fish’ means 
any aquatic species that is propagated and reared in a con-
trolled environment. 
‘‘(9) INSURABLE
COMMODITY.—The term ‘insurable com-
modity’ means an agricultural commodity (excluding livestock) 
for which the producer on a farm is eligible to obtain a policy 
or plan of insurance under subtitle A. 
‘‘(10) LIVESTOCK.—The term ‘livestock’ includes— 
‘‘(A) cattle (including dairy cattle); 
‘‘(B) bison; 
‘‘(C) poultry; 
‘‘(D) sheep; 
‘‘(E) swine; 
‘‘(F) horses; and 
‘‘(G) other livestock, as determined by the Secretary. 
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122 STAT. 1394 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(11) NONINSURABLE COMMODITY.—The term ‘noninsurable 
commodity’ means a crop for which the eligible producers on 
a farm are eligible to obtain assistance under the noninsured 
crop assistance program. 
‘‘(12) NONINSURED CROP ASSISTANCE PROGRAM.—The term 
‘noninsured crop assistance program’ means the program car-
ried out under section 196 of the Federal Agriculture Improve-
ment and Reform Act of 1996 (7 U.S.C. 7333). 
‘‘(13) QUALIFYING NATURAL DISASTER DECLARATION.—The 
term ‘qualifying natural disaster declaration’ means a natural 
disaster declared by the Secretary for production losses under 
section 321(a) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1961(a)). 
‘‘(14) SECRETARY.—The term ‘Secretary’ means the Sec-
retary of Agriculture. 
‘‘(15) SOCIALLY DISADVANTAGED FARMER OR RANCHER.—The 
term ‘socially disadvantaged farmer or rancher’ has the 
meaning given the term in section 2501(e) of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e)). 
‘‘(16) STATE.—The term ‘State’ means— 
‘‘(A) a State; 
‘‘(B) the District of Columbia; 
‘‘(C) the Commonwealth of Puerto Rico; and 
‘‘(D) any other territory or possession of the United 
States. 
‘‘(17) TRUST FUND.—The term ‘Trust Fund’ means the Agri-
cultural Disaster Relief Trust Fund established under section 
902 of the Trade Act of 1974. 
‘‘(18) UNITED STATES.—The term ‘United States’ when used 
in a geographical sense, means all of the States. 
‘‘(b) SUPPLEMENTAL REVENUE ASSISTANCE PAYMENTS.— 
‘‘(1) IN GENERAL.—The Secretary shall use such sums as 
are necessary from the Trust Fund to make crop disaster assist-
ance payments to eligible producers on farms in disaster coun-
ties that have incurred crop production losses or crop quality 
losses, or both, during the crop year. 
‘‘(2) AMOUNT.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
Secretary shall provide crop disaster assistance payments 
under this section to an eligible producer on a farm in 
an amount equal to 60 percent of the difference between— 
‘‘(i) the disaster assistance program guarantee, as 
described in paragraph (3); and 
‘‘(ii) the total farm revenue for a farm, as described 
in paragraph (4). 
‘‘(B) LIMITATION.—The disaster assistance program 
guarantee for a crop used to calculate the payments for 
a farm under subparagraph (A)(i) may not be greater than 
90 percent of the sum of the expected revenue, as described 
in paragraph (5) for each of the crops on a farm, as deter-
mined by the Secretary. 
‘‘(3) SUPPLEMENTAL REVENUE ASSISTANCE PROGRAM GUAR-
ANTEE.— 
‘‘(A) IN
GENERAL.—Except as otherwise provided in 
this paragraph, the supplemental assistance program guar-
antee shall be the sum obtained by adding— 
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122 STAT. 1395 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) for each insurable commodity on the farm, 
115 percent of the product obtained by multiplying— 
‘‘(I) a payment rate for the commodity that 
is equal to the price election for the commodity 
elected by the eligible producer; 
‘‘(II) the payment acres for the commodity that 
is equal to the number of acres planted, or pre-
vented from being planted, to the commodity; 
‘‘(III) the payment yield for the commodity 
that is equal to the percentage of the crop insur-
ance yield elected by the producer of the higher 
of— 
‘‘(aa) the adjusted actual production his-
tory yield; or 
‘‘(bb) the counter-cyclical program pay-
ment yield for each crop; and 
‘‘(ii) for each noninsurable commodity on a farm, 
120 percent of the product obtained by multiplying— 
‘‘(I) a payment rate for the commodity that 
is equal to 100 percent of the noninsured crop 
assistance program established price for the com-
modity; 
‘‘(II) the payment acres for the commodity that 
is equal to the number of acres planted, or pre-
vented from being planted, to the commodity; and 
‘‘(III) the payment yield for the commodity 
that is equal to the higher of— 
‘‘(aa) the adjusted noninsured crop assist-
ance program yield guarantee; or 
‘‘(bb) the counter-cyclical program pay-
ment yield for each crop. 
‘‘(B) ADJUSTMENT
INSURANCE
GUARANTEE.—Notwith-
standing subparagraph (A), in the case of an insurable 
commodity for which a plan of insurance provides for an 
adjustment in the guarantee, such as in the case of pre-
vented planting, the adjusted insurance guarantee shall 
be the basis for determining the disaster assistance pro-
gram guarantee for the insurable commodity. 
‘‘(C) ADJUSTED
ASSISTANCE
LEVEL.—Notwithstanding 
subparagraph (A), in the case of a noninsurable commodity 
for which the noninsured crop assistance program provides 
for an adjustment in the level of assistance, such as in 
the case of unharvested crops, the adjusted assistance level 
shall be the basis for determining the disaster assistance 
program guarantee for the noninsurable commodity. 
‘‘(D) EQUITABLE TREATMENT FOR NON-YIELD BASED POLI-
CIES.—The Secretary shall establish equitable treatment 
for non-yield based policies and plans of insurance, such 
as the Adjusted Gross Revenue Lite insurance program. 
‘‘(4) FARM REVENUE.— 
‘‘(A) IN GENERAL.—For purposes of this subsection, the 
total farm revenue for a farm, shall equal the sum obtained 
by adding— 
‘‘(i) the estimated actual value for each crop pro-
duced on a farm by using the product obtained by 
multiplying— 
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122 STAT. 1396 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(I) the actual crop acreage harvested by an 
eligible producer on a farm; 
‘‘(II) the estimated actual yield of the crop 
production; and 
‘‘(III) subject to subparagraphs (B) and (C), 
to the extent practicable, the national average 
market price received for the marketing year, as 
determined by the Secretary; 
‘‘(ii) 15 percent of amount of any direct payments 
made to the producer under sections 1103 and 1303 
of the Food, Conservation, and Energy Act of 2008 
or successor sections; 
‘‘(iii) the total amount of any counter-cyclical pay-
ments made to the producer under sections 1104 and 
1304 of the Food, Conservation, and Energy Act of 
2008 or successor sections or of any average crop rev-
enue election payments made to the producer under 
section 1105 of that Act; 
‘‘(iv) the total amount of any loan deficiency pay-
ments, marketing loan gains, and marketing certificate 
gains made to the producer under subtitles B and 
C of the Food, Conservation, and Energy Act of 2008 
or successor subtitles; 
‘‘(v) the amount of payments for prevented planting 
on a farm; 
‘‘(vi) the amount of crop insurance indemnities 
received by an eligible producer on a farm for each 
crop on a farm; 
‘‘(vii) the amount of payments an eligible producer 
on a farm received under the noninsured crop assist-
ance program for each crop on a farm; and 
‘‘(viii) the value of any other natural disaster 
assistance payments provided by the Federal Govern-
ment to an eligible producer on a farm for each crop 
on a farm for the same loss for which the eligible 
producer is seeking assistance. 
‘‘(B) ADJUSTMENT.—The Secretary shall adjust the 
average market price received by the eligible producer on 
a farm— 
‘‘(i) to reflect the average quality discounts applied 
to the local or regional market price of a crop or 
mechanically harvested forage due to a reduction in 
the intrinsic characteristics of the production resulting 
from adverse weather, as determined annually by the 
State office of the Farm Service Agency; and 
‘‘(ii) to account for a crop the value of which is 
reduced due to excess moisture resulting from a dis-
aster-related condition. 
‘‘(C) MAXIMUM
AMOUNT
FOR
CERTAIN
CROPS.—With 
respect to a crop for which an eligible producer on a farm 
receives assistance under the noninsured crop assistance 
program, the national average market price received during 
the marketing year shall be an amount not more than 
100 percent of the price of the crop established under 
the noninsured crop assistance program. 
‘‘(5) EXPECTED REVENUE.—The expected revenue for each 
crop on a farm shall equal the sum obtained by adding— 
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122 STAT. 1397 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) the product obtained by multiplying— 
‘‘(i) the greatest of— 
‘‘(I) the adjusted actual production history 
yield of the eligible producer on a farm; and 
‘‘(II) the counter-cyclical program payment 
yield; 
‘‘(ii) the acreage planted or prevented from being 
planted for each crop; and 
‘‘(iii) 100 percent of the insurance price guarantee; 
and 
‘‘(B) the product obtained by multiplying— 
‘‘(i) 100 percent of the adjusted noninsured crop 
assistance program yield; and 
‘‘(ii) 100 percent of the noninsured crop assistance 
program price for each of the crops on a farm. 
‘‘(c) LIVESTOCK INDEMNITY PAYMENTS.— 
‘‘(1) PAYMENTS.—The Secretary shall use such sums as 
are necessary from the Trust Fund to make livestock indemnity 
payments to eligible producers on farms that have incurred 
livestock death losses in excess of the normal mortality due 
to adverse weather, as determined by the Secretary, during 
the calendar year, including losses due to hurricanes, floods, 
blizzards, disease, wildfires, extreme heat, and extreme cold. 
‘‘(2) PAYMENT RATES.—Indemnity payments to an eligible 
producer on a farm under paragraph (1) shall be made at 
a rate of 75 percent of the market value of the applicable 
livestock on the day before the date of death of the livestock, 
as determined by the Secretary. 
‘‘(d) LIVESTOCK FORAGE DISASTER PROGRAM.— 
‘‘(1) DEFINITIONS.—In this subsection: 
‘‘(A) COVERED LIVESTOCK.— 
‘‘(i) IN
GENERAL.—Except as provided in clause 
(ii), the term ‘covered livestock’ means livestock of an 
eligible livestock producer that, during the 60 days 
prior to the beginning date of a qualifying drought 
or fire condition, as determined by the Secretary, the 
eligible livestock producer— 
‘‘(I) owned; 
‘‘(II) leased; 
‘‘(III) purchased; 
‘‘(IV) entered into a contract to purchase; 
‘‘(V) is a contract grower; or 
‘‘(VI) sold or otherwise disposed of due to quali-
fying drought conditions during— 
‘‘(aa) the current production year; or 
‘‘(bb) subject to paragraph (3)(B)(ii), 1 or 
both of the 2 production years immediately 
preceding the current production year. 
‘‘(ii) EXCLUSION.—The term ‘covered livestock’ does 
not include livestock that were or would have been 
in a feedlot, on the beginning date of the qualifying 
drought or fire condition, as a part of the normal 
business operation of the eligible livestock producer, 
as determined by the Secretary. 
‘‘(B) DROUGHT MONITOR.—The term ‘drought monitor’ 
means a system for classifying drought severity according 
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122 STAT. 1398 
PUBLIC LAW 110–234—MAY 22, 2008 
to a range of abnormally dry to exceptional drought, as 
defined by the Secretary. 
‘‘(C) ELIGIBLE LIVESTOCK PRODUCER.— 
‘‘(i) IN GENERAL.—The term ‘eligible livestock pro-
ducer’ means an eligible producer on a farm that— 
‘‘(I) is an owner, cash or share lessee, or con-
tract grower of covered livestock that provides the 
pastureland or grazing land, including cash-leased 
pastureland or grazing land, for the livestock; 
‘‘(II) provides the pastureland or grazing land 
for 
covered 
livestock, 
including 
cash-leased 
pastureland or grazing land that is physically 
located in a county affected by drought; 
‘‘(III) certifies grazing loss; and 
‘‘(IV) meets all other eligibility requirements 
established under this subsection. 
‘‘(ii) EXCLUSION.—The term ‘eligible livestock pro-
ducer’ does not include an owner, cash or share lessee, 
or contract grower of livestock that rents or leases 
pastureland or grazing land owned by another person 
on a rate-of-gain basis. 
‘‘(D) NORMAL CARRYING CAPACITY.—The term ‘normal 
carrying capacity’, with respect to each type of grazing 
land or pastureland in a county, means the normal carrying 
capacity, as determined under paragraph (3)(D)(i), that 
would be expected from the grazing land or pastureland 
for livestock during the normal grazing period, in the 
absence of a drought or fire that diminishes the production 
of the grazing land or pastureland. 
‘‘(E) NORMAL
GRAZING
PERIOD.—The term ‘normal 
grazing period’, with respect to a county, means the normal 
grazing period during the calendar year for the county, 
as determined under paragraph (3)(D)(i). 
‘‘(2) PROGRAM.—The Secretary shall use such sums as are 
necessary from the Trust Fund to provide compensation for 
losses to eligible livestock producers due to grazing losses for 
covered livestock due to— 
‘‘(A) a drought condition, as described in paragraph 
(3); or 
‘‘(B) fire, as described in paragraph (4). 
‘‘(3) ASSISTANCE
FOR
LOSSES
DUE
TO
DROUGHT
CONDI-
TIONS.— 
‘‘(A) ELIGIBLE LOSSES.— 
‘‘(i) IN GENERAL.—An eligible livestock producer 
may receive assistance under this subsection only for 
grazing losses for covered livestock that occur on land 
that— 
‘‘(I) is native or improved pastureland with 
permanent vegetative cover; or 
‘‘(II) is planted to a crop planted specifically 
for the purpose of providing grazing for covered 
livestock. 
‘‘(ii) EXCLUSIONS.—An eligible livestock producer 
may not receive assistance under this subsection for 
grazing losses that occur on land used for haying or 
grazing under the conservation reserve program estab-
lished under subchapter B of chapter 1 of subtitle 
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122 STAT. 1399 
PUBLIC LAW 110–234—MAY 22, 2008 
D of title XII of the Food Security Act of 1985 (16 
U.S.C. 3831 et seq.). 
‘‘(B) MONTHLY PAYMENT RATE.— 
‘‘(i) IN
GENERAL.—Except as provided in clause 
(ii), the payment rate for assistance under this para-
graph for 1 month shall, in the case of drought, be 
equal to 60 percent of the lesser of— 
‘‘(I) the monthly feed cost for all covered live-
stock owned or leased by the eligible livestock 
producer, as determined under subparagraph (C); 
or 
‘‘(II) the monthly feed cost calculated by using 
the normal carrying capacity of the eligible grazing 
land of the eligible livestock producer. 
‘‘(ii) PARTIAL COMPENSATION.—In the case of an 
eligible livestock producer that sold or otherwise dis-
posed of covered livestock due to drought conditions 
in 1 or both of the 2 production years immediately 
preceding the current production year, as determined 
by the Secretary, the payment rate shall be 80 percent 
of the payment rate otherwise calculated in accordance 
with clause (i). 
‘‘(C) MONTHLY FEED COST.— 
‘‘(i) IN
GENERAL.—The monthly feed cost shall 
equal the product obtained by multiplying— 
‘‘(I) 30 days; 
‘‘(II) a payment quantity that is equal to the 
feed grain equivalent, as determined under clause 
(ii); and 
‘‘(III) a payment rate that is equal to the corn 
price per pound, as determined under clause (iii). 
‘‘(ii) FEED
GRAIN
EQUIVALENT.—For purposes of 
clause (i)(I), the feed grain equivalent shall equal— 
‘‘(I) in the case of an adult beef cow, 15.7 
pounds of corn per day; or 
‘‘(II) in the case of any other type of weight 
of livestock, an amount determined by the Sec-
retary that represents the average number of 
pounds of corn per day necessary to feed the live-
stock. 
‘‘(iii) CORN
PRICE
PER
POUND.—For purposes of 
clause (i)(II), the corn price per pound shall equal 
the quotient obtained by dividing— 
‘‘(I) the higher of— 
‘‘(aa) the national average corn price per 
bushel for the 12-month period immediately 
preceding March 1 of the year for which the 
disaster assistance is calculated; or 
‘‘(bb) the national average corn price per 
bushel for the 24-month period immediately 
preceding that March 1; by 
‘‘(II) 56. 
‘‘(D) NORMAL GRAZING PERIOD AND DROUGHT MONITOR 
INTENSITY.— 
‘‘(i) FSA COUNTY COMMITTEE DETERMINATIONS.— 
‘‘(I) IN GENERAL.—The Secretary shall deter-
mine the normal carrying capacity and normal 
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122 STAT. 1400 
PUBLIC LAW 110–234—MAY 22, 2008 
grazing period for each type of grazing land or 
pastureland in the county served by the applicable 
committee. 
‘‘(II) CHANGES.—No change to the normal car-
rying capacity or normal grazing period established 
for a county under subclause (I) shall be made 
unless the change is requested by the appropriate 
State and county Farm Service Agency committees. 
‘‘(ii) DROUGHT INTENSITY.— 
‘‘(I) D2.—An eligible livestock producer that 
owns or leases grazing land or pastureland that 
is physically located in a county that is rated by 
the U.S. Drought Monitor as having a D2 (severe 
drought) intensity in any area of the county for 
at least 8 consecutive weeks during the normal 
grazing period for the county, as determined by 
the Secretary, shall be eligible to receive assistance 
under this paragraph in an amount equal to 1 
monthly payment using the monthly payment rate 
determined under subparagraph (B). 
‘‘(II) D3.—An eligible livestock producer that 
owns or leases grazing land or pastureland that 
is physically located in a county that is rated by 
the U.S. Drought Monitor as having at least a 
D3 (extreme drought) intensity in any area of the 
county at any time during the normal grazing 
period for the county, as determined by the Sec-
retary, shall be eligible to receive assistance under 
this paragraph— 
‘‘(aa) in an amount equal to 2 monthly 
payments using the monthly payment rate 
determined under subparagraph (B); or 
‘‘(bb) if the county is rated as having a 
D3 (extreme drought) intensity in any area 
of the county for at least 4 weeks during the 
normal grazing period for the county, or is 
rated as having a D4 (exceptional drought) 
intensity in any area of the county at any 
time during the normal grazing period, in an 
amount equal to 3 monthly payments using 
the monthly payment rate determined under 
subparagraph (B). 
‘‘(4) ASSISTANCE FOR LOSSES DUE TO FIRE ON PUBLIC MAN-
AGED LAND.— 
‘‘(A) IN GENERAL.—An eligible livestock producer may 
receive assistance under this paragraph only if— 
‘‘(i) the grazing losses occur on rangeland that 
is managed by a Federal agency; and 
‘‘(ii) the eligible livestock producer is prohibited 
by the Federal agency from grazing the normal per-
mitted livestock on the managed rangeland due to 
a fire. 
‘‘(B) PAYMENT RATE.—The payment rate for assistance 
under this paragraph shall be equal to 50 percent of the 
monthly feed cost for the total number of livestock covered 
by the Federal lease of the eligible livestock producer, 
as determined under paragraph (3)(C). 
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122 STAT. 1401 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(C) PAYMENT DURATION.— 
‘‘(i) IN GENERAL.—Subject to clause (ii), an eligible 
livestock producer shall be eligible to receive assistance 
under this paragraph for the period— 
‘‘(I) beginning on the date on which the Fed-
eral agency excludes the eligible livestock producer 
from using the managed rangeland for grazing; 
and 
‘‘(II) ending on the last day of the Federal 
lease of the eligible livestock producer. 
‘‘(ii) LIMITATION.—An eligible livestock producer 
may only receive assistance under this paragraph for 
losses that occur on not more than 180 days per year. 
‘‘(5) MINIMUM
RISK
MANAGEMENT
PURCHASE
REQUIRE-
MENTS.— 
‘‘(A) IN
GENERAL.—Except as otherwise provided in 
this paragraph, a livestock producer shall only be eligible 
for assistance under this subsection if the livestock pro-
ducer— 
‘‘(i) obtained a policy or plan of insurance under 
subtitle A for the grazing land incurring the losses 
for which assistance is being requested; or 
‘‘(ii) filed the required paperwork, and paid the 
administrative fee by the applicable State filing dead-
line, for the noninsured crop assistance program for 
the grazing land incurring the losses for which assist-
ance is being requested. 
‘‘(B) WAIVER FOR SOCIALLY DISADVANTAGED, LIMITED 
RESOURCE, OR
BEGINNING
FARMER
OR
RANCHER.—In the 
case of an eligible livestock producer that is a socially 
disadvantaged farmer or rancher or limited resource or 
beginning farmer or rancher, as determined by the Sec-
retary, the Secretary may— 
‘‘(i) waive subparagraph (A); and 
‘‘(ii) provide disaster assistance under this section 
at a level that the Secretary determines to be equitable 
and appropriate. 
‘‘(C) WAIVER FOR 2008 CALENDAR YEAR.—In the case 
of an eligible livestock producer that suffered losses on 
grazing land during the 2008 calendar year but does not 
meet the requirements of subparagraph (A), the Secretary 
shall waive subparagraph (A) if the eligible livestock pro-
ducer pays a fee in an amount equal to the applicable 
noninsured crop assistance program fee or catastrophic 
risk protection plan fee required under subparagraph (A) 
to the Secretary not later than 90 days after the date 
of enactment of this subtitle. 
‘‘(D) EQUITABLE RELIEF.— 
‘‘(i) IN GENERAL.—The Secretary may provide equi-
table relief to an eligible livestock producer that is 
otherwise ineligible or unintentionally fails to meet 
the requirements of subparagraph (A) for the grazing 
land incurring the loss on a case-by-case basis, as 
determined by the Secretary. 
‘‘(ii) 2008 CALENDAR
YEAR.—In the case of an 
eligible livestock producer that suffered losses on 
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122 STAT. 1402 
PUBLIC LAW 110–234—MAY 22, 2008 
grazing land during the 2008 calendar year, the Sec-
retary shall take special consideration to provide equi-
table relief in cases in which the eligible livestock 
producer failed to meet the requirements of subpara-
graph (A) due to the enactment of this subtitle after 
the closing date of sales periods for crop insurance 
under subtitle A and the noninsured crop assistance 
program. 
‘‘(6) NO DUPLICATIVE PAYMENTS.— 
‘‘(A) IN GENERAL.—An eligible livestock producer may 
elect to receive assistance for grazing or pasture feed losses 
due to drought conditions under paragraph (3) or fire under 
paragraph (4), but not both for the same loss, as determined 
by the Secretary. 
‘‘(B) RELATIONSHIP TO SUPPLEMENTAL REVENUE ASSIST-
ANCE.—An eligible livestock producer that receives assist-
ance under this subsection may not also receive assistance 
for losses to crops on the same land with the same intended 
use under subsection (b). 
‘‘(e) EMERGENCY ASSISTANCE FOR LIVESTOCK, HONEY BEES, AND 
FARM-RAISED FISH.— 
‘‘(1) 
IN
GENERAL.—The 
Secretary 
shall 
use 
up 
to 
$50,000,000 per year from the Trust Fund to provide emergency 
relief to eligible producers of livestock, honey bees, and farm- 
raised fish to aid in the reduction of losses due to disease, 
adverse weather, or other conditions, such as blizzards and 
wildfires, as determined by the Secretary, that are not covered 
under subsection (b), (c), or (d). 
‘‘(2) USE OF FUNDS.—Funds made available under this sub-
section shall be used to reduce losses caused by feed or water 
shortages, disease, or other factors as determined by the Sec-
retary. 
‘‘(3) AVAILABILITY OF FUNDS.—Any funds made available 
under this subsection shall remain available until expended. 
‘‘(f) TREE ASSISTANCE PROGRAM.— 
‘‘(1) DEFINITIONS.—In this subsection: 
‘‘(A) 
ELIGIBLE
ORCHARDIST.—The 
term 
‘eligible 
orchardist’ means a person that produces annual crops 
from trees for commercial purposes. 
‘‘(B) NATURAL DISASTER.—The term ‘natural disaster’ 
means plant disease, insect infestation, drought, fire, 
freeze, flood, earthquake, lightning, or other occurrence, 
as determined by the Secretary. 
‘‘(C) NURSERY TREE GROWER.—The term ‘nursery tree 
grower’ means a person who produces nursery, ornamental, 
fruit, nut, or Christmas trees for commercial sale, as deter-
mined by the Secretary. 
‘‘(D) TREE.—The term ‘tree’ includes a tree, bush, and 
vine. 
‘‘(2) ELIGIBILITY.— 
‘‘(A) LOSS.—Subject to subparagraph (B), the Secretary 
shall provide assistance— 
‘‘(i) under paragraph (3) to eligible orchardists and 
nursery tree growers that planted trees for commercial 
purposes but lost the trees as a result of a natural 
disaster, as determined by the Secretary; and 
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122 STAT. 1403 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) under paragraph (3)(B) to eligible orchardists 
and nursery tree growers that have a production his-
tory for commercial purposes on planted or existing 
trees but lost the trees as a result of a natural disaster, 
as determined by the Secretary. 
‘‘(B) LIMITATION.—An eligible orchardist or nursery 
tree grower shall qualify for assistance under subparagraph 
(A) only if the tree mortality of the eligible orchardist 
or nursery tree grower, as a result of damaging weather 
or related condition, exceeds 15 percent (adjusted for 
normal mortality). 
‘‘(3) ASSISTANCE.—Subject to paragraph (4), the assistance 
provided by the Secretary to eligible orchardists and nursery 
tree growers for losses described in paragraph (2) shall consist 
of— 
‘‘(A)(i) reimbursement of 70 percent of the cost of 
replanting trees lost due to a natural disaster, as deter-
mined by the Secretary, in excess of 15 percent mortality 
(adjusted for normal mortality); or 
‘‘(ii) at the option of the Secretary, sufficient seedlings 
to reestablish a stand; and 
‘‘(B) reimbursement of 50 percent of the cost of pruning, 
removal, and other costs incurred by an eligible orchardist 
or nursery tree grower to salvage existing trees or, in 
the case of tree mortality, to prepare the land to replant 
trees as a result of damage or tree mortality due to a 
natural disaster, as determined by the Secretary, in excess 
of 15 percent damage or mortality (adjusted for normal 
tree damage and mortality). 
‘‘(4) LIMITATIONS ON ASSISTANCE.— 
‘‘(A) DEFINITIONS OF LEGAL ENTITY AND PERSON.—In 
this paragraph, the terms ‘legal entity’ and ‘person’ have 
the meaning given those terms in section 1001(a) of the 
Food Security Act of 1985 (7 U.S.C. 1308(a) (as amended 
by section 1603 of the Food, Conservation, and Energy 
Act of 2008). 
‘‘(B) AMOUNT.—The total amount of payments received, 
directly or indirectly, by a person or legal entity (excluding 
a joint venture or general partnership) under this sub-
section may not exceed $100,000 for any crop year, or 
an equivalent value in tree seedlings. 
‘‘(C) ACRES.—The total quantity of acres planted to 
trees or tree seedlings for which a person or legal entity 
shall be entitled to receive payments under this subsection 
may not exceed 500 acres. 
‘‘(g) RISK MANAGEMENT PURCHASE REQUIREMENT.— 
‘‘(1) IN GENERAL.—Except as otherwise provided in this 
section, the eligible producers on a farm shall not be eligible 
for assistance under this section (other than subsection (c)) 
if the eligible producers on the farm— 
‘‘(A) in the case of each insurable commodity of the 
eligible producers on the farm, did not obtain a policy 
or plan of insurance under subtitle A (excluding a crop 
insurance pilot program under that subtitle); or 
‘‘(B) in the case of each noninsurable commodity of 
the eligible producers on the farm, did not file the required 
paperwork, and pay the administrative fee by the 
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122 STAT. 1404 
PUBLIC LAW 110–234—MAY 22, 2008 
applicable State filing deadline, for the noninsured crop 
assistance program. 
‘‘(2) MINIMUM.—To be considered to have obtained insur-
ance under paragraph (1)(A), an eligible producer on a farm 
shall have obtained a policy or plan of insurance with not 
less than 50 percent yield coverage at 55 percent of the insur-
able price for each crop grazed, planted, or intended to be 
planted for harvest on a whole farm. 
‘‘(3) WAIVER
FOR
SOCIALLY
DISADVANTAGED, 
LIMITED 
RESOURCE, OR BEGINNING FARMER OR RANCHER.—With respect 
to eligible producers that are socially disadvantaged farmers 
or ranchers or limited resource or beginning farmers or 
ranchers, as determined by the Secretary, the Secretary may— 
‘‘(A) waive paragraph (1); and 
‘‘(B) provide disaster assistance under this section at 
a level that the Secretary determines to be equitable and 
appropriate. 
‘‘(4) WAIVER FOR 2008 CROP YEAR.—In the case of an eligible 
producer that suffered losses in an insurable commodity or 
noninsurable commodity during the 2008 crop year but does 
not meet the requirements of paragraph (1), the Secretary 
shall waive paragraph (1) if the eligible producer pays a fee 
in an amount equal to the applicable noninsured crop assistance 
program fee or catastrophic risk protection plan fee required 
under paragraph (1) to the Secretary not later than 90 days 
after the date of enactment of this subtitle. 
‘‘(5) EQUITABLE RELIEF.— 
‘‘(A) IN GENERAL.—The Secretary may provide equi-
table relief to eligible producers on a farm that are other-
wise ineligible or unintentionally fail to meet the require-
ments of paragraph (1) for 1 or more crops on a farm 
on a case-by-case basis, as determined by the Secretary. 
‘‘(B) 2008 CROP YEAR.—In the case of eligible producers 
on a farm that suffered losses in an insurable commodity 
or noninsurable commodity during the 2008 crop year, the 
Secretary shall take special consideration to provide equi-
table relief in cases in which the eligible producers failed 
to meet the requirements of paragraph (1) due to the 
enactment of this subtitle after the closing date of sales 
periods for crop insurance under subtitle A and the non-
insured crop assistance program. 
‘‘(h) PAYMENT LIMITATIONS.— 
‘‘(1) DEFINITIONS OF LEGAL ENTITY AND PERSON.—In this 
subsection, the terms ‘legal entity’ and ‘person’ have the 
meaning given those terms in section 1001(a) of the Food Secu-
rity Act of 1985 (7 U.S.C. 1308(a) (as amended by section 
1603 of the Food, Conservation, and Energy Act of 2008). 
‘‘(2) AMOUNT.—The total amount of disaster assistance pay-
ments received, directly or indirectly, by a person or legal 
entity (excluding a joint venture or general partnership) under 
this section (excluding payments received under subsection (f)) 
may not exceed $100,000 for any crop year. 
‘‘(3) AGI LIMITATION.—Section 1001D of the Food Security 
Act of 1985 (7 U.S.C. 1308–3a) or any successor provision 
shall apply with respect to assistance provided under this sec-
tion. 
Applicability. 
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122 STAT. 1405 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(4) DIRECT ATTRIBUTION.—Subsections (e) and (f) of section 
1001 of the Food Security Act of 1985 (7 U.S.C. 1308) or 
any successor provisions relating to direct attribution shall 
apply with respect to assistance provided under this section. 
‘‘(i) PERIOD OF EFFECTIVENESS.—This section shall be effective 
only for losses that are incurred as the result of a disaster, adverse 
weather, or other environmental condition that occurs on or before 
September 30, 2011, as determined by the Secretary. 
‘‘(j) NO DUPLICATIVE PAYMENTS.—In implementing any other 
program which makes disaster assistance payments (except for 
indemnities made under subtitle A and section 196 of the Federal 
Agriculture Improvement and Reform Act of 1996), the Secretary 
shall prevent duplicative payments with respect to the same loss 
for which a person receives a payment under subsections (b), (c), 
(d), (e), or (f). 
‘‘(k) APPLICATION.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2) and notwith-
standing any provision of subtitle A, subtitle A shall not apply 
to this subtitle. 
‘‘(2) CROSS REFERENCES.—Paragraph (1) shall not apply 
to a specific reference in this subtitle to a provision of subtitle 
A.’’. 
(b) TRANSITION.—For purposes of the 2008 crop year, the Sec-
retary shall carry out subsections (f)(4) and (h) of section 531 
of the Federal Crop Insurance Act (as added by subsection (a)) 
in accordance with the terms and conditions of sections 1001 
through 1001D of the Food Security Act of 1985 (16 U.S.C. 1308 
et seq.), as in effect on September 30, 2007. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 501 of the Federal Crop Insurance Act (7 U.S.C. 
1501) is amended by striking the section heading and enu-
merator and inserting the following: 
‘‘Subtitle A—Federal Crop Insurance Act 
‘‘SEC. 501. SHORT TITLE AND APPLICATION OF OTHER PROVISIONS.’’. 
(2) Subtitle A of the Federal Crop Insurance Act (as des-
ignated under paragraph (1)) is amended— 
(A) by striking ‘‘This title’’ each place it appears and 
inserting ‘‘This subtitle’’; and 
(B) by striking ‘‘this title’’ each place it appears and 
inserting ‘‘this subtitle’’. 
SEC. 12034. FISHERIES DISASTER ASSISTANCE. 
Of the funds of the Commodity Credit Corporation, the Sec-
retary of Agriculture shall transfer to the Secretary of Commerce 
$170,000,000 for fiscal year 2008 for the National Marine Fisheries 
Service to distribute to commercial and recreational members of 
the fishing communities affected by the salmon fishery failure in 
the States of California, Oregon, and Washington designated under 
section 312(a) of the Magnuson-Stevens Fishery Conservation and 
Management Act (16 U.S.C. 1861a(a)) on May 1, 2008, in accordance 
with that section. 
7 USC 1501– 
1503, 1505–1510, 
1514, 1515, 1517, 
1518, 1520–1523. 
State listing. 
7 USC 1501, 
1515. 
Applicability. 
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122 STAT. 1406 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle B—Small Business Disaster Loan 
Program 
SEC. 12051. SHORT TITLE. 
This subtitle may be cited as the ‘‘Small Business Disaster 
Response and Loan Improvements Act of 2008’’. 
SEC. 12052. DEFINITIONS. 
In this subtitle— 
(1) the terms ‘‘Administration’’ and ‘‘Administrator’’ mean 
the Small Business Administration and the Administrator 
thereof, respectively; 
(2) the term ‘‘disaster area’’ means an area affected by 
a natural or other disaster, as determined for purposes of 
paragraph (1) or (2) of section 7(b) of the Small Business 
Act (15 U.S.C. 636(b)), during the period of such declaration; 
(3) the term ‘‘disaster loan program of the Administration’’ 
means assistance under section 7(b) of the Small Business 
Act (15 U.S.C. 636(b)), as amended by this Act; 
(4) the term ‘‘disaster update period’’ means the period 
beginning on the date on which the President declares a major 
disaster (including any major disaster relating to which the 
Administrator declares eligibility for additional disaster assist-
ance under paragraph (9) of section 7(b) of the Small Business 
Act (15 U.S.C. 636(b)), as added by this Act) and ending on 
the date on which such declaration terminates; 
(5) the term ‘‘major disaster’’ has the meaning given that 
term in section 102 of the Robert T. Stafford Disaster Relief 
and Emergency Assistance Act (42 U.S.C. 5122); 
(6) the term ‘‘small business concern’’ has the meaning 
given that term under section 3 of the Small Business Act 
(15 U.S.C. 632); and 
(7) the term ‘‘State’’ means any State of the United States, 
the District of Columbia, the Commonwealth of Puerto Rico, 
the Northern Mariana Islands, the Virgin Islands, Guam, Amer-
ican Samoa, and any territory or possession of the United 
States. 
PART I—DISASTER PLANNING AND RESPONSE 
SEC. 12061. ECONOMIC INJURY DISASTER LOANS TO NONPROFITS. 
(a) IN GENERAL.—Section 7(b)(2) of the Small Business Act 
(15 U.S.C. 636(b)(2)) is amended— 
(1) in the matter preceding subparagraph (A)— 
(A) by inserting after ‘‘small business concern’’ the 
following: ‘‘, private nonprofit organization,’’; and 
(B) by inserting after ‘‘the concern’’ the following: ‘‘, 
the organization,’’; and 
(2) in subparagraph (D) by inserting after ‘‘small business 
concerns’’ the following: ‘‘, private nonprofit organizations,’’. 
(b) CONFORMING AMENDMENT.—Section 7(c)(5)(C) of the Small 
Business Act (15 U.S.C. 636(c)(5)(C)) is amended by inserting after 
‘‘business’’ the following: ‘‘, private nonprofit organization,’’. 
15 USC 636e. 
Small Business 
Disaster 
Response 
and Loan 
Improvements 
Act of 2008. 
15 USC 631 note. 
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122 STAT. 1407 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 12062. COORDINATION OF DISASTER ASSISTANCE PROGRAMS 
WITH FEMA. 
The Small Business Act (15 U.S.C. 631 et seq.) is amended— 
(1) by redesignating section 37 as section 44; and 
(2) by inserting after section 36 the following: 
‘‘SEC. 37. COORDINATION OF DISASTER ASSISTANCE PROGRAMS WITH 
FEMA. 
‘‘(a) COORDINATION REQUIRED.—The Administrator shall ensure 
that the disaster assistance programs of the Administration are 
coordinated, to the maximum extent practicable, with the disaster 
assistance programs of the Federal Emergency Management 
Agency. 
‘‘(b) REGULATIONS REQUIRED.—The Administrator, in consulta-
tion with the Administrator of the Federal Emergency Management 
Agency, shall establish regulations to ensure that each application 
for disaster assistance is submitted as quickly as practicable to 
the Administration or directed to the appropriate agency under 
the circumstances. 
‘‘(c) COMPLETION; REVISION.—The initial regulations shall be 
completed not later than 270 days after the date of the enactment 
of the Small Business Disaster Response and Loan Improvements 
Act of 2008. Thereafter, the regulations shall be revised on an 
annual basis. 
‘‘(d) REPORT.—The Administrator shall include a report on the 
regulations whenever the Administration submits the report 
required by section 43.’’. 
SEC. 12063. PUBLIC AWARENESS OF DISASTER DECLARATION AND 
APPLICATION PERIODS. 
(a) IN GENERAL.—Section 7(b) of the Small Business Act (15 
U.S.C. 636(b)) is amended by inserting immediately after paragraph 
(3), the following: 
‘‘(4) COORDINATION WITH FEMA.— 
‘‘(A) IN GENERAL.—Notwithstanding any other provi-
sion of law, for any disaster declared under this subsection 
or major disaster (including any major disaster relating 
to which the Administrator declares eligibility for addi-
tional disaster assistance under paragraph (9)), the 
Administrator, in consultation with the Administrator of 
the Federal Emergency Management Agency, shall ensure, 
to the maximum extent practicable, that all application 
periods for disaster relief under this Act correspond with 
application deadlines established under the Robert T. Staf-
ford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5121 et seq.), or as extended by the President. 
‘‘(B) DEADLINES.—Notwithstanding any other provision 
of law, not later than 10 days before the closing date 
of an application period for a major disaster (including 
any major disaster relating to which the Administrator 
declares eligibility for additional disaster assistance under 
paragraph (9)), the Administrator, in consultation with the 
Administrator of the Federal Emergency Management 
Agency, shall submit to the Committee on Small Business 
and Entrepreneurship of the Senate and the Committee 
on Small Business of the House of Representatives a report 
that includes— 
Reports. 
Deadline. 
15 USC 657i. 
15 USC 631 note. 
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122 STAT. 1408 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) the deadline for submitting applications for 
assistance under this Act relating to that major dis-
aster; 
‘‘(ii) information regarding the number of loan 
applications and disbursements processed by the 
Administrator relating to that major disaster for each 
day during the period beginning on the date on which 
that major disaster was declared and ending on the 
date of that report; and 
‘‘(iii) an estimate of the number of potential 
applicants that have not submitted an application 
relating to that major disaster. 
‘‘(5) PUBLIC
AWARENESS
OF
DISASTERS.—If a disaster is 
declared under this subsection or the Administrator declares 
eligibility for additional disaster assistance under paragraph 
(9), the Administrator shall make every effort to communicate 
through radio, television, print, and web-based outlets, all rel-
evant 
information 
needed 
by 
disaster 
loan 
applicants, 
including— 
‘‘(A) the date of such declaration; 
‘‘(B) cities and towns within the area of such declara-
tion; 
‘‘(C) loan application deadlines related to such disaster; 
‘‘(D) all relevant contact information for victim services 
available through the Administration (including links to 
small business development center websites); 
‘‘(E) links to relevant Federal and State disaster assist-
ance websites, including links to websites providing 
information regarding assistance available from the Fed-
eral Emergency Management Agency; 
‘‘(F) information on eligibility criteria for Administra-
tion loan programs, including where such applications can 
be found; and 
‘‘(G) application materials that clearly state the func-
tion of the Administration as the Federal source of disaster 
loans for homeowners and renters.’’. 
(b) MARKETING AND OUTREACH.—Not later than 90 days after 
the date of enactment of this Act, the Administrator shall create 
a marketing and outreach plan that— 
(1) encourages a proactive approach to the disaster relief 
efforts of the Administration; 
(2) makes clear the services provided by the Administra-
tion, including contact information, application information, and 
timelines for submitting applications, the review of applications, 
and the disbursement of funds; 
(3) describes the different disaster loan programs of the 
Administration, including how they are made available and 
the eligibility requirements for each loan program; 
(4) provides for regional marketing, focusing on disasters 
occurring in each region before the date of enactment of this 
Act, and likely scenarios for disasters in each such region; 
and 
(5) ensures that the marketing plan is made available 
at small business development centers and on the website 
of the Administration. 
(c) TECHNICAL AND CONFORMING AMENDMENTS.— 
Deadline. 
Plan. 
15 USC 636 note. 
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122 STAT. 1409 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) IN GENERAL.—Section 3 of the Small Business Act (15 
U.S.C. 632) is amended by adding at the end the following: 
‘‘(s) MAJOR DISASTER.—In this Act, the term ‘major disaster’ 
has the meaning given that term in section 102 of the Robert 
T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 
5122).’’. 
(2) TECHNICAL CORRECTION.—Section 7(b)(2) of the Small 
Business Act (15 U.S.C. 636(b)(2)) is amended by striking ‘‘Dis-
aster Relief and Emergency Assistance Act’’ and inserting 
‘‘Robert T. Stafford Disaster Relief and Emergency Assistance 
Act (42 U.S.C. 5121 et seq.)’’. 
SEC. 12064. CONSISTENCY BETWEEN ADMINISTRATION REGULATIONS 
AND STANDARD OPERATING PROCEDURES. 
(a) IN GENERAL.—The Administrator shall, promptly following 
the date of enactment of this Act, conduct a study of whether 
the standard operating procedures of the Administration for loans 
offered under section 7(b) of the Small Business Act (15 U.S.C. 
636(b)) are consistent with the regulations of the Administration 
for administering the disaster loan program. 
(b) REPORT.—Not later than 180 days after the date of enact-
ment of this Act, the Administrator shall submit to Congress a 
report containing all findings and recommendations of the study 
conducted under subsection (a). 
SEC. 12065. INCREASING COLLATERAL REQUIREMENTS. 
Section 7(c)(6) of the Small Business Act (15 U.S.C. 636(c)(6)) 
is amended by striking ‘‘$10,000 or less’’ and inserting ‘‘$14,000 
or less (or such higher amount as the Administrator determines 
appropriate in the event of a major disaster)’’. 
SEC. 12066. PROCESSING DISASTER LOANS. 
(a) AUTHORITY
FOR
QUALIFIED
PRIVATE
CONTRACTORS
TO 
PROCESS DISASTER LOANS.—Section 7(b) of the Small Business Act 
(15 U.S.C. 636(b)) is amended by inserting immediately after para-
graph (5), as added by this Act, the following: 
‘‘(6) AUTHORITY FOR QUALIFIED PRIVATE CONTRACTORS.— 
‘‘(A) DISASTER LOAN PROCESSING.—The Administrator 
may enter into an agreement with a qualified private con-
tractor, as determined by the Administrator, to process 
loans under this subsection in the event of a major disaster 
(including any major disaster relating to which the 
Administrator declares eligibility for additional disaster 
assistance under paragraph (9)), under which the Adminis-
trator shall pay the contractor a fee for each loan processed. 
‘‘(B) LOAN LOSS VERIFICATION SERVICES.—The Adminis-
trator may enter into an agreement with a qualified lender 
or loss verification professional, as determined by the 
Administrator, to verify losses for loans under this sub-
section in the event of a major disaster (including any 
major disaster relating to which the Administrator declares 
eligibility for additional disaster assistance under para-
graph (9)), under which the Administrator shall pay the 
lender or verification professional a fee for each loan for 
which such lender or verification professional verifies 
losses.’’. 
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122 STAT. 1410 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) COORDINATION OF EFFORTS BETWEEN THE ADMINISTRATOR 
AND THE INTERNAL REVENUE SERVICE TO EXPEDITE LOAN PROC-
ESSING.—The Administrator and the Commissioner of Internal Rev-
enue shall, to the maximum extent practicable, ensure that all 
relevant and allowable tax records for loan approval are shared 
with loan processors in an expedited manner, upon request by 
the Administrator. 
SEC. 12067. INFORMATION TRACKING AND FOLLOW-UP SYSTEM. 
The Small Business Act is amended by inserting after section 
37, as added by this Act, the following: 
‘‘SEC. 38. INFORMATION TRACKING AND FOLLOW-UP SYSTEM FOR DIS-
ASTER ASSISTANCE. 
‘‘(a) SYSTEM
REQUIRED.—The Administrator shall develop, 
implement, or maintain a centralized information system to track 
communications between personnel of the Administration and 
applicants for disaster assistance. The system shall ensure that 
whenever an applicant for disaster assistance communicates with 
such personnel on a matter relating to the application, the following 
information is recorded: 
‘‘(1) The method of communication. 
‘‘(2) The date of communication. 
‘‘(3) The identity of the personnel. 
‘‘(4) A summary of the subject matter of the communication. 
‘‘(b) FOLLOW-UP REQUIRED.—The Administrator shall ensure 
that an applicant for disaster assistance receives, by telephone, 
mail, or electronic mail, follow-up communications from the 
Administration at all critical stages of the application process, 
including the following: 
‘‘(1) When the Administration determines that additional 
information or documentation is required to process the applica-
tion. 
‘‘(2) When the Administration determines whether to 
approve or deny the loan. 
‘‘(3) When the primary contact person managing the loan 
application has changed.’’. 
SEC. 12068. INCREASED DEFERMENT PERIOD. 
(a) IN GENERAL.—Section 7 of the Small Business Act (15 
U.S.C. 636) is amended— 
(1) by redesignating subsections (c) and (d) as subsections 
(d) and (e), respectively; and 
(2) by inserting after subsection (e), as so redesignated, 
the following: 
‘‘(f) ADDITIONAL REQUIREMENTS FOR 7(b) LOANS.— 
‘‘(1) INCREASED DEFERMENT AUTHORIZED.— 
‘‘(A) IN GENERAL.—In making loans under subsection 
(b), the Administrator may provide, to the person receiving 
the loan, an option to defer repayment on the loan. 
‘‘(B) PERIOD.—The period of a deferment under 
subparagraph (A) may not exceed 4 years.’’. 
(b) TECHNICAL
AND CONFORMING AMENDMENTS.—The Small 
Business Act (15 U.S.C. 631 et seq.) is amended— 
(1) in section 4(c)— 
(A) in paragraph (1), by striking ‘‘7(c)(2)’’ and inserting 
‘‘7(d)(2)’’; and 
(B) in paragraph (2)— 
15 USC 633. 
15 USC 657j. 
15 USC 636f. 
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122 STAT. 1411 
PUBLIC LAW 110–234—MAY 22, 2008 
(i) by striking ‘‘7(c)(2)’’ and inserting ‘‘7(d)(2)’’; and 
(ii) by striking ‘‘7(e),’’; and 
(2) in section 7(b), in the undesignated matter following 
paragraph (3)— 
(A) by striking ‘‘That the provisions of paragraph (1) 
of subsection (c)’’ and inserting ‘‘That the provisions of 
paragraph (1) of subsection (d)’’; and 
(B) by striking ‘‘Notwithstanding the provisions of any 
other law the interest rate on the Administration’s share 
of any loan made under subsection (b) except as provided 
in subsection (c),’’ and inserting ‘‘Notwithstanding any 
other provision of law, and except as provided in subsection 
(d), the interest rate on the Administration’s share of any 
loan made under subsection (b)’’. 
SEC. 12069. DISASTER PROCESSING REDUNDANCY. 
The Small Business Act (15 U.S.C. 631 et seq.) is amended 
by inserting after section 38, as added by this Act, the following: 
‘‘SEC. 39. DISASTER PROCESSING REDUNDANCY. 
‘‘(a) IN GENERAL.—The Administrator shall ensure that the 
Administration has in place a facility for disaster loan processing 
that, whenever the Administration’s primary facility for disaster 
loan processing becomes unavailable, is able to take over all disaster 
loan processing from that primary facility within 2 days. 
‘‘(b) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as may be necessary to carry out 
this section.’’. 
SEC. 12070. NET EARNINGS CLAUSES PROHIBITED. 
Section 7 of the Small Business Act (15 U.S.C. 636) is amended 
by inserting after subsection (f), as added by this Act, the following: 
‘‘(g) NET EARNINGS CLAUSES PROHIBITED FOR 7(b) LOANS.— 
In making loans under subsection (b), the Administrator shall not 
require the borrower to pay any non-amortized amount for the 
first five years after repayment begins.’’. 
SEC. 12071. ECONOMIC INJURY DISASTER LOANS IN CASES OF ICE 
STORMS AND BLIZZARDS. 
Section 3(k)(2) of the Small Business Act (15 U.S.C. 632(k)(2)) 
is amended— 
(1) in subparagraph (A) by striking ‘‘and’’; 
(2) in subparagraph (B) by striking the period at the end 
and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(C) ice storms and blizzards.’’. 
SEC. 12072. DEVELOPMENT AND IMPLEMENTATION OF MAJOR DIS-
ASTER RESPONSE PLAN. 
(a) IN GENERAL.—Not later than 3 months after the date of 
enactment of this Act, the Administrator shall— 
(1) by rule, amend the 2006 Atlantic hurricane season 
disaster response plan of the Administration (in this section 
referred to as the ‘‘disaster response plan’’) to apply to major 
disasters; and 
(2) submit a report to the Committee on Small Business 
and Entrepreneurship of the Senate and the Committee on 
Reports. 
Regulations. 
Deadline. 
15 USC 636g. 
15 USC 657k. 
15 USC 636. 
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122 STAT. 1412 
PUBLIC LAW 110–234—MAY 22, 2008 
Small Business of the House of Representatives detailing the 
amendments to the disaster response plan. 
(b) CONTENTS.—The report required under subsection (a)(2) 
shall include— 
(1) any updates or modifications made to the disaster 
response plan since the report regarding the disaster response 
plan submitted to Congress on July 14, 2006; 
(2) a description of how the Administrator plans to use 
and integrate District Office personnel of the Administration 
in the response to a major disaster, including information on 
the use of personnel for loan processing and loan disbursement; 
(3) a description of the disaster scalability model of the 
Administration and on what basis or function the plan is scaled; 
(4) a description of how the agency-wide Disaster Oversight 
Council is structured, which offices comprise its membership, 
and whether the Associate Deputy Administrator for Entrepre-
neurial Development of the Administration is a member; 
(5) a description of how the Administrator plans to coordi-
nate the disaster efforts of the Administration with State and 
local government officials, including recommendations on how 
to better incorporate State initiatives or programs, such as 
State-administered bridge loan programs, into the disaster 
response of the Administration; 
(6) recommendations, if any, on how the Administration 
can better coordinate its disaster response operations with the 
operations of other Federal, State, and local entities; 
(7) any surge plan for the disaster loan program of the 
Administration in effect on or after August 29, 2005 (including 
surge plans for loss verification, loan processing, mailroom, 
customer service or call center operations, and a continuity 
of operations plan); 
(8) the number of full-time equivalent employees and job 
descriptions for the planning and disaster response staff of 
the Administration; 
(9) the in-service and preservice training procedures for 
disaster response staff of the Administration; 
(10) information on the logistical support plans of the 
Administration (including equipment and staffing needs, and 
detailed information on how such plans will be scalable 
depending on the size and scope of the major disaster; 
(11) a description of the findings and recommendations 
of the Administrator, if any, based on a review of the response 
of the Administration to Hurricane Katrina of 2005, Hurricane 
Rita of 2005, and Hurricane Wilma of 2005; and 
(12) a plan for how the Administrator, in consultation 
with the Administrator of the Federal Emergency Management 
Agency, will coordinate the provision of accommodations and 
necessary resources for disaster assistance personnel to effec-
tively perform their responsibilities in the aftermath of a major 
disaster. 
(c) BIENNIAL DISASTER SIMULATION EXERCISE.— 
(1) EXERCISE REQUIRED.—The Administrator shall conduct 
a disaster simulation exercise at least once every 2 fiscal years. 
The exercise shall include the participation of, at a minimum, 
not less than 50 percent of the individuals in the disaster 
reserve corps and shall test, at maximum capacity, all of the 
information technology and telecommunications systems of the 
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122 STAT. 1413 
PUBLIC LAW 110–234—MAY 22, 2008 
Administration that are vital to the activities of the Administra-
tion during such a disaster. 
(2) REPORT.—The Administrator shall include a report on 
the disaster simulation exercises conducted under paragraph 
(1) each time the Administration submits a report required 
under section 43 of the Small Business Act, as added by this 
Act. 
SEC. 12073. DISASTER PLANNING RESPONSIBILITIES. 
(a) ASSIGNMENT OF SMALL BUSINESS ADMINISTRATION DISASTER 
PLANNING RESPONSIBILITIES.—The disaster planning function of the 
Administration shall be assigned to an individual appointed by 
the Administrator who— 
(1) is not an employee of the Office of Disaster Assistance 
of the Administration; 
(2) has proven management ability; 
(3) has substantial knowledge in the field of disaster readi-
ness and emergency response; and 
(4) has demonstrated significant experience in the area 
of disaster planning. 
(b) RESPONSIBILITIES.—The individual assigned the disaster 
planning function of the Administration shall report directly and 
solely to the Administrator and shall be responsible for— 
(1) creating, maintaining, and implementing the com-
prehensive disaster response plan of the Administration 
described in section 12072; 
(2) ensuring there are in-service and pre-service training 
procedures for the disaster response staff of the Administration; 
(3) coordinating and directing the training exercises of the 
Administration relating to disasters, including disaster simula-
tion exercises and disaster exercises coordinated with other 
government departments and agencies; and 
(4) other responsibilities relevant to disaster planning and 
readiness, as determined by the Administrator. 
(c) 
COORDINATION.—In 
carrying 
out 
the 
responsibilities 
described in subsection (b), the individual assigned the disaster 
planning function of the Administration shall coordinate with— 
(1) the Office of Disaster Assistance of the Administration; 
(2) the Administrator of the Federal Emergency Manage-
ment Agency; and 
(3) other Federal, State, and local disaster planning offices, 
as necessary. 
(d) RESOURCES.—The Administrator shall ensure that the indi-
vidual assigned the disaster planning function of the Administration 
has adequate resources to carry out the duties under this section. 
(e) REPORT.—Not later than 30 days after the date of enactment 
of this Act, the Administrator shall submit to the Committee on 
Small Business and Entrepreneurship of the Senate and the Com-
mittee on Small Business of the House of Representatives a report 
containing— 
(1) a description of the actions of the Administrator to 
assign an individual the disaster planning function of the 
Administration; 
(2) information detailing the background and expertise of 
the individual assigned; and 
(3) information on the status of the implementation of 
the responsibilities described in subsection (b). 
15 USC 1636h. 
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122 STAT. 1414 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 12074. ASSIGNMENT OF EMPLOYEES OF THE OFFICE OF DISASTER 
ASSISTANCE AND DISASTER CADRE. 
(a) IN GENERAL.—Section 7(b) of the Small Business Act (15 
U.S.C. 636(b)) is amended by inserting immediately after paragraph 
(6), as added by this Act, the following: 
‘‘(7) DISASTER ASSISTANCE EMPLOYEES.— 
‘‘(A) IN GENERAL.—In carrying out this section, the 
Administrator may, where practicable, ensure that the 
number of full-time equivalent employees— 
‘‘(i) in the Office of the Disaster Assistance is not 
fewer than 800; and 
‘‘(ii) in the Disaster Cadre of the Administration 
is not fewer than 1,000. 
‘‘(B) REPORT.—In carrying out this subsection, if the 
number of full-time employees for either the Office of Dis-
aster Assistance or the Disaster Cadre of the Administra-
tion is below the level described in subparagraph (A) for 
that office, not later than 21 days after the date on which 
that staffing level decreased below the level described in 
subparagraph (A), the Administrator shall submit to the 
Committee on Appropriations and the Committee on Small 
Business and Entrepreneurship of the Senate and the Com-
mittee on Appropriations and Committee on Small Business 
of the House of Representatives, a report— 
‘‘(i) detailing staffing levels on that date; 
‘‘(ii) requesting, if practicable and determined 
appropriate by the Administrator, additional funds for 
additional employees; and 
‘‘(iii) containing such additional information, as 
determined appropriate by the Administrator.’’. 
SEC. 12075. COMPREHENSIVE DISASTER RESPONSE PLAN. 
The Small Business Act (15 U.S.C. 631 et seq.) is amended 
inserting after section 39, as added by this Act, the following: 
‘‘SEC. 40. COMPREHENSIVE DISASTER RESPONSE PLAN. 
‘‘(a) PLAN REQUIRED.—The Administrator shall develop, imple-
ment, or maintain a comprehensive written disaster response plan. 
The plan shall include the following: 
‘‘(1) For each region of the Administration, a description 
of the disasters most likely to occur in that region. 
‘‘(2) For each disaster described under paragraph (1)— 
‘‘(A) an assessment of the disaster; 
‘‘(B) an assessment of the demand for Administration 
assistance most likely to occur in response to the disaster; 
‘‘(C) an assessment of the needs of the Administration, 
with respect to such resources as information technology, 
telecommunications, human resources, and office space, to 
meet the demand referred to in subparagraph (B); and 
‘‘(D) guidelines pursuant to which the Administration 
will coordinate with other Federal agencies and with State 
and local authorities to best respond to the demand referred 
to in subparagraph (B) and to best use the resources 
referred to in that subparagraph. 
‘‘(b) COMPLETION; REVISION.—The first plan required by sub-
section (a) shall be completed not later than 180 days after the 
date of the enactment of this section. Thereafter, the Administrator 
Deadline. 
15 USC 657l. 
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122 STAT. 1415 
PUBLIC LAW 110–234—MAY 22, 2008 
shall update the plan on an annual basis and following any major 
disaster relating to which the Administrator declares eligibility 
for additional disaster assistance under section 7(b)(9). 
‘‘(c) KNOWLEDGE REQUIRED.—The Administrator shall carry out 
subsections (a) and (b) through an individual with substantial 
knowledge in the field of disaster readiness and emergency 
response. 
‘‘(d) REPORT.—The Administrator shall include a report on the 
plan whenever the Administration submits the report required by 
section 43.’’. 
SEC. 12076. PLANS TO SECURE SUFFICIENT OFFICE SPACE. 
The Small Business Act is amended by inserting after section 
40, as added by this Act, the following: 
‘‘SEC. 41. PLANS TO SECURE SUFFICIENT OFFICE SPACE. 
‘‘(a) PLANS REQUIRED.—The Administrator shall develop long- 
term plans to secure sufficient office space to accommodate an 
expanded workforce in times of disaster. 
‘‘(b) REPORT.—The Administrator shall include a report on the 
plans developed under subsection (a) each time the Administration 
submits a report required under section 43.’’. 
SEC. 12077. APPLICANTS THAT HAVE BECOME A MAJOR SOURCE OF 
EMPLOYMENT 
DUE 
TO 
CHANGED 
ECONOMIC 
CIR-
CUMSTANCES. 
Section 7(b)(3)(E) of the Small Business Act (15 U.S.C. 
636(b)(3)(E)) is amended by inserting after ‘‘constitutes’’ the fol-
lowing: ‘‘, or have become due to changed economic circumstances,’’. 
SEC. 12078. DISASTER LOAN AMOUNTS. 
(a) INCREASED LOAN CAPS.—Section 7(b) of the Small Business 
Act (15 U.S.C. 636(b)) is amended by inserting immediately after 
paragraph (7), as added by this Act, the following: 
‘‘(8) INCREASED LOAN CAPS.— 
‘‘(A) AGGREGATE LOAN AMOUNTS.—Except as provided 
in subparagraph (B), and notwithstanding any other provi-
sion of law, the aggregate loan amount outstanding and 
committed to a borrower under this subsection may not 
exceed $2,000,000. 
‘‘(B) WAIVER AUTHORITY.—The Administrator may, at 
the discretion of the Administrator, increase the aggregate 
loan amount under subparagraph (A) for loans relating 
to a disaster to a level established by the Administrator, 
based on appropriate economic indicators for the region 
in which that disaster occurred.’’. 
(b) DISASTER MITIGATION.— 
(1) IN GENERAL.—Section 7(b)(1)(A) of the Small Business 
Act (15 U.S.C. 636(b)(1)(A)) is amended by inserting ‘‘of the 
aggregate costs of such damage or destruction (whether or 
not compensated for by insurance or otherwise)’’ after ‘‘20 per 
centum’’. 
(2) EFFECTIVE DATE.—The amendment made by paragraph 
(1) shall apply with respect to a loan or guarantee made after 
the date of enactment of this Act. 
(c) TECHNICAL AMENDMENTS.—Section 7(b) of the Small Busi-
ness Act (15 U.S.C. 636(b)) is amended— 
15 USC 636 note. 
15 USC 657m. 
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122 STAT. 1416 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) in the matter preceding paragraph (1), by striking ‘‘the, 
Administration’’ and inserting ‘‘the Administration’’; and 
(2) in the undesignated matter at the end— 
(A) by striking ‘‘, (2), and (4)’’ and inserting ‘‘and (2)’’; 
and 
(B) by striking ‘‘, (2), or (4)’’ and inserting ‘‘(2)’’. 
SEC. 12079. SMALL BUSINESS BONDING THRESHOLD. 
(a) IN GENERAL.—Except as provided in subsection (b), and 
notwithstanding any other provision of law, for any procurement 
related to a major disaster, the Administrator may, upon such 
terms and conditions as the Administrator may prescribe, guarantee 
and enter into commitments to guarantee any surety against loss 
resulting from a breach of the terms of a bid bond, payment bond, 
performance bond, or bonds ancillary thereto, by a principal on 
any total work order or contract amount at the time of bond execu-
tion that does not exceed $5,000,000. 
(b) INCREASE OF AMOUNT.—Upon request of the head of any 
Federal agency other than the Administration involved in 
reconstruction efforts in response to a major disaster, the Adminis-
trator may guarantee and enter into a commitment to guarantee 
any security against loss under subsection (a) on any total work 
order or contract amount at the time of bond execution that does 
not exceed $10,000,000. 
(c) LIMITATION ON USE OF OTHER FUNDS.—The Administrator 
may carry out this section only with amounts appropriated in 
advance specifically to carry out this section. 
PART II—DISASTER LENDING 
SEC. 12081. ELIGIBILITY FOR ADDITIONAL DISASTER ASSISTANCE. 
Section 7(b) of the Small Business Act (15 U.S.C. 636(b)) is 
amended by inserting immediately after paragraph (8), as added 
by this Act, the following: 
‘‘(9) DECLARATION OF ELIGIBILITY FOR ADDITIONAL DISASTER 
ASSISTANCE.— 
‘‘(A) IN GENERAL.—If the President declares a major 
disaster, the Administrator may declare eligibility for addi-
tional disaster assistance in accordance with this para-
graph. 
‘‘(B) THRESHOLD.—A major disaster for which the 
Administrator declares eligibility for additional disaster 
assistance under this paragraph shall— 
‘‘(i) have resulted in extraordinary levels of casual-
ties or damage or disruption severely affecting the 
population (including mass evacuations), infrastruc-
ture, environment, economy, national morale, or 
government functions in an area; 
‘‘(ii) be comparable to the description of a cata-
strophic incident in the National Response Plan of 
the Administration, or any successor thereto, unless 
there is no successor to such plan, in which case this 
clause shall have no force or effect; and 
‘‘(iii) be of such size and scope that— 
‘‘(I) the disaster assistance programs under 
the other paragraphs under this subsection are 
15 USC 636i. 
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122 STAT. 1417 
PUBLIC LAW 110–234—MAY 22, 2008 
incapable of providing adequate and timely assist-
ance to individuals or business concerns located 
within the disaster area; or 
‘‘(II) a significant number of business concerns 
outside the disaster area have suffered disaster- 
related substantial economic injury as a result of 
the incident.’’. 
SEC. 12082. ADDITIONAL ECONOMIC INJURY DISASTER LOAN ASSIST-
ANCE. 
Paragraph (9) of section 7(b) of the Small Business Act (15 
U.S.C. 636(b)), as added by section 12081, is amended by adding 
at the end the following: 
‘‘(C) ADDITIONAL
ECONOMIC
INJURY
DISASTER
LOAN 
ASSISTANCE.— 
‘‘(i) IN
GENERAL.—If the Administrator declares 
eligibility for additional disaster assistance under this 
paragraph, the Administrator may make such loans 
under this subparagraph (either directly or in coopera-
tion with banks or other lending institutions through 
agreements to participate on an immediate or deferred 
basis) as the Administrator determines appropriate to 
eligible small business concerns located anywhere in 
the United States. 
‘‘(ii) PROCESSING TIME.— 
‘‘(I) IN GENERAL.—If the Administrator deter-
mines that the average processing time for applica-
tions for disaster loans under this subparagraph 
relating to a specific major disaster is more than 
15 days, the Administrator shall give priority to 
the processing of such applications submitted by 
eligible small business concerns located inside the 
disaster area, until the Administrator determines 
that the average processing time for such applica-
tions is not more than 15 days. 
‘‘(II) SUSPENSION OF APPLICATIONS FROM OUT-
SIDE DISASTER AREA.—If the Administrator deter-
mines that the average processing time for applica-
tions for disaster loans under this subparagraph 
relating to a specific major disaster is more than 
30 days, the Administrator shall suspend the proc-
essing of such applications submitted by eligible 
small business concerns located outside the dis-
aster area, until the Administrator determines 
that the average processing time for such applica-
tions is not more than 15 days. 
‘‘(iii) LOAN TERMS.—A loan under this subpara-
graph shall be made on the same terms as a loan 
under paragraph (2). 
‘‘(D) DEFINITIONS.—In this paragraph— 
‘‘(i) the term ‘disaster area’ means the area for 
which the applicable major disaster was declared; 
‘‘(ii) the term ‘disaster-related substantial economic 
injury’ means economic harm to a business concern 
that results in the inability of the business concern 
to— 
‘‘(I) meet its obligations as it matures; 
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122 STAT. 1418 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) meet its ordinary and necessary operating 
expenses; or 
‘‘(III) market, produce, or provide a product 
or service ordinarily marketed, produced, or pro-
vided by the business concern because the business 
concern relies on materials from the disaster area 
or sells or markets in the disaster area; and 
‘‘(iii) the term ‘eligible small business concern’ 
means a small business concern— 
‘‘(I) that has suffered disaster-related substan-
tial economic injury as a result of the applicable 
major disaster; and 
‘‘(II)(aa) for which not less than 25 percent 
of the market share of that small business concern 
is from business transacted in the disaster area; 
‘‘(bb) for which not less than 25 percent of 
an input into a production process of that small 
business concern is from the disaster area; or 
‘‘(cc) that relies on a provider located in the 
disaster area for a service that is not readily avail-
able elsewhere.’’. 
SEC. 12083. PRIVATE DISASTER LOANS. 
(a) IN GENERAL.—Section 7 of the Small Business Act (15 
U.S.C. 636) is amended by inserting after subsection (b) the fol-
lowing: 
‘‘(c) PRIVATE DISASTER LOANS.— 
‘‘(1) DEFINITIONS.—In this subsection— 
‘‘(A) the term ‘disaster area’ means any area for which 
the President declared a major disaster relating to which 
the Administrator declares eligibility for additional disaster 
assistance under subsection (b)(9), during the period of 
that major disaster declaration; 
‘‘(B) the term ‘eligible individual’ means an individual 
who is eligible for disaster assistance under subsection 
(b)(1) relating to a major disaster relating to which the 
Administrator declares eligibility for additional disaster 
assistance under subsection (b)(9); 
‘‘(C) the term ‘eligible small business concern’ means 
a business concern that is— 
‘‘(i) a small business concern, as defined under 
this Act; or 
‘‘(ii) a small business concern, as defined in section 
103 of the Small Business Investment Act of 1958; 
‘‘(D) the term ‘preferred lender’ means a lender partici-
pating in the Preferred Lender Program; 
‘‘(E) the term ‘Preferred Lender Program’ has the 
meaning given that term in subsection (a)(2)(C)(ii); and 
‘‘(F) the term ‘qualified private lender’ means any pri-
vately-owned bank or other lending institution that— 
‘‘(i) is not a preferred lender; and 
‘‘(ii) the Administrator determines meets the cri-
teria established under paragraph (10). 
‘‘(2) PROGRAM REQUIRED.—The Administrator shall carry 
out a program, to be known as the Private Disaster Assistance 
program, under which the Administration may guarantee 
timely payment of principal and interest, as scheduled, on 
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122 STAT. 1419 
PUBLIC LAW 110–234—MAY 22, 2008 
any loan made to an eligible small business concern located 
in a disaster area and to an eligible individual. 
‘‘(3) USE OF LOANS.—A loan guaranteed by the Adminis-
trator under this subsection may be used for any purpose 
authorized under subsection (b). 
‘‘(4) ONLINE APPLICATIONS.— 
‘‘(A) ESTABLISHMENT.—The Administrator may estab-
lish, directly or through an agreement with another entity, 
an online application process for loans guaranteed under 
this subsection. 
‘‘(B) OTHER FEDERAL ASSISTANCE.—The Administrator 
may coordinate with the head of any other appropriate 
Federal agency so that any application submitted through 
an online application process established under this para-
graph may be considered for any other Federal assistance 
program for disaster relief. 
‘‘(C) CONSULTATION.—In establishing an online applica-
tion process under this paragraph, the Administrator shall 
consult with appropriate persons from the public and pri-
vate sectors, including private lenders. 
‘‘(5) MAXIMUM AMOUNTS.— 
‘‘(A) GUARANTEE
PERCENTAGE.—The Administrator 
may guarantee not more than 85 percent of a loan under 
this subsection. 
‘‘(B) LOAN AMOUNT.—The maximum amount of a loan 
guaranteed under this subsection shall be $2,000,000. 
‘‘(6) TERMS
AND
CONDITIONS.—A loan guaranteed under 
this subsection shall be made under the same terms and condi-
tions as a loan under subsection (b). 
‘‘(7) LENDERS.— 
‘‘(A) IN GENERAL.—A loan guaranteed under this sub-
section made to— 
‘‘(i) a qualified individual may be made by a pre-
ferred lender; and 
‘‘(ii) a qualified small business concern may be 
made by a qualified private lender or by a preferred 
lender that also makes loans to qualified individuals. 
‘‘(B) COMPLIANCE.—If the Administrator determines 
that a preferred lender knowingly failed to comply with 
the underwriting standards for loans guaranteed under 
this subsection or violated the terms of the standard oper-
ating procedure agreement between that preferred lender 
and the Administration, the Administrator shall do 1 or 
more of the following: 
‘‘(i) Exclude the preferred lender from participating 
in the program under this subsection. 
‘‘(ii) Exclude the preferred lender from partici-
pating in the Preferred Lender Program for a period 
of not more than 5 years. 
‘‘(8) FEES.— 
‘‘(A) IN GENERAL.—The Administrator may not collect 
a guarantee fee under this subsection. 
‘‘(B) ORIGINATION FEE.—The Administrator may pay 
a qualified private lender or preferred lender an origination 
fee for a loan guaranteed under this subsection in an 
amount agreed upon in advance between the qualified pri-
vate lender or preferred lender and the Administrator. 
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122 STAT. 1420 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(9) DOCUMENTATION.—A qualified private lender or pre-
ferred lender may use its own loan documentation for a loan 
guaranteed by the Administrator under this subsection, to the 
extent authorized by the Administrator. The ability of a lender 
to use its own loan documentation for a loan guaranteed under 
this subsection shall not be considered part of the criteria 
for becoming a qualified private lender under the regulations 
promulgated under paragraph (10). 
‘‘(10) IMPLEMENTATION REGULATIONS.— 
‘‘(A) IN
GENERAL.—Not later than 1 year after the 
date of enactment of the Small Business Disaster Response 
and Loan Improvements Act of 2008, the Administrator 
shall issue final regulations establishing permanent criteria 
for qualified private lenders. 
‘‘(B) REPORT TO CONGRESS.—Not later than 6 months 
after the date of enactment of the Small Business Disaster 
Response and Loan Improvements Act of 2008, the 
Administrator shall submit a report on the progress of 
the regulations required by subparagraph (A) to the Com-
mittee on Small Business and Entrepreneurship of the 
Senate and the Committee on Small Business of the House 
of Representatives. 
‘‘(11) AUTHORIZATION OF APPROPRIATIONS.— 
‘‘(A) IN GENERAL.—Amounts necessary to carry out this 
subsection shall be made available from amounts appro-
priated to the Administration to carry out subsection (b). 
‘‘(B) AUTHORITY TO REDUCE INTEREST RATES AND OTHER 
TERMS
AND
CONDITIONS.—Funds appropriated to the 
Administration to carry out this subsection, may be used 
by the Administrator to meet the loan terms and conditions 
specified in paragraph (6). 
‘‘(12) PURCHASE OF LOANS.—The Administrator may enter 
into an agreement with a qualified private lender or preferred 
lender to purchase any loan guaranteed under this subsection.’’. 
(b) EFFECTIVE DATE.—The amendments made by this section 
shall apply to any major disaster declared on or after the date 
of enactment of this Act. 
SEC. 12084. IMMEDIATE DISASTER ASSISTANCE PROGRAM. 
The Small Business Act is amended by inserting after section 
41, as added by this Act, the following: 
‘‘SEC. 42. IMMEDIATE DISASTER ASSISTANCE PROGRAM. 
‘‘(a) PROGRAM REQUIRED.—The Administrator shall carry out 
a program, to be known as the Immediate Disaster Assistance 
program, under which the Administration participates on a deferred 
(guaranteed) basis in 85 percent of the balance of the financing 
outstanding at the time of disbursement of the loan if such balance 
is less than or equal to $25,000 for businesses affected by a disaster. 
‘‘(b) ELIGIBILITY REQUIREMENT.—To receive a loan guaranteed 
under subsection (a), the applicant shall also apply for, and meet 
basic eligibility standards for, a loan under subsection (b) or (c) 
of section 7. 
‘‘(c) USE OF PROCEEDS.—A person who receives a loan under 
subsection (b) or (c) of section 7 shall use the proceeds of that 
loan to repay all loans guaranteed under subsection (a), if any, 
before using the proceeds for any other purpose. 
‘‘(d) LOAN TERMS.— 
15 USC 657n. 
15 USC 636 note. 
Deadline. 
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122 STAT. 1421 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) NO PREPAYMENT PENALTY.—There shall be no prepay-
ment penalty on a loan guaranteed under subsection (a). 
‘‘(2) REPAYMENT.—A person who receives a loan guaranteed 
under subsection (a) and who is disapproved for a loan under 
subsection (b) or (c) of section 7, as the case may be, shall 
repay the loan guaranteed under subsection (a) not later than 
the date established by the Administrator, which may not be 
earlier than 10 years after the date on which the loan guaran-
teed under subsection is disbursed. 
‘‘(e) APPROVAL
OR
DISAPPROVAL.—The Administrator shall 
ensure that each applicant for a loan under the program receives 
a decision approving or disapproving of the application within 36 
hours after the Administration receives the application.’’. 
SEC. 12085. EXPEDITED DISASTER ASSISTANCE LOAN PROGRAM. 
(a) DEFINITION.—In this section, the term ‘‘program’’ means 
the expedited disaster assistance business loan program established 
under subsection (b). 
(b) CREATION OF PROGRAM.—The Administrator shall take such 
administrative action as is necessary to establish and implement 
an expedited disaster assistance business loan program under which 
the Administration may, on an expedited basis, guarantee timely 
payment of principal and interest, as scheduled on any loan made 
to an eligible small business concern under paragraph (9) of section 
7(b) of the Small Business Act (15 U.S.C. 636(b)), as added by 
this Act. 
(c) CONSULTATION REQUIRED.—In establishing the program, the 
Administrator shall consult with— 
(1) appropriate personnel of the Administration (including 
District Office personnel of the Administration); 
(2) appropriate technical assistance providers (including 
small business development centers); 
(3) appropriate lenders and credit unions; 
(4) the Committee on Small Business and Entrepreneurship 
of the Senate; and 
(5) the Committee on Small Business of the House of Rep-
resentatives. 
(d) RULES.— 
(1) IN
GENERAL.—Not later than 1 year after the date 
of enactment of this Act, the Administrator shall issue rules 
in final form establishing and implementing the program in 
accordance with this section. Such rules shall apply as provided 
for in this section, beginning 90 days after their issuance in 
final form. 
(2) CONTENTS.—The rules promulgated under paragraph 
(1) shall— 
(A) identify whether appropriate uses of funds under 
the program may include— 
(i) paying employees; 
(ii) paying bills and other financial obligations; 
(iii) making repairs; 
(iv) purchasing inventory; 
(v) restarting or operating a small business concern 
in the community in which it was conducting oper-
ations prior to the applicable major disaster, or to 
a neighboring area, county, or parish in the disaster 
area; or 
Applicability. 
Effective date. 
Deadline. 
15 USC 636j. 
Deadline. 
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122 STAT. 1422 
PUBLIC LAW 110–234—MAY 22, 2008 
(vi) covering additional costs until the small busi-
ness concern is able to obtain funding through insur-
ance claims, Federal assistance programs, or other 
sources; and 
(B) set the terms and conditions of any loan made 
under the program, subject to paragraph (3). 
(3) TERMS AND CONDITIONS.—A loan guaranteed by the 
Administration under this section— 
(A) shall be for not more than $150,000; 
(B) shall be a short-term loan, not to exceed 180 days, 
except that the Administrator may extend such term as 
the Administrator determines necessary or appropriate on 
a case-by-case basis; 
(C) shall have an interest rate not to exceed 300 basis 
points above the interest rate established by the Board 
of Governors of the Federal Reserve System that 1 bank 
charges another for reserves that are lent on an overnight 
basis on the date the loan is made; 
(D) shall have no prepayment penalty; 
(E) may only be made to a borrower that meets the 
requirements for a loan under section 7(b) of the Small 
Business Act (15 U.S.C. 636(b)), as amended by this Act; 
(F) may be refinanced as part of any subsequent dis-
aster assistance provided under section 7(b) of the Small 
Business Act (15 U.S.C. 636(b)), as amended by this Act; 
(G) may receive expedited loss verification and loan 
processing, if the applicant is— 
(i) a major source of employment in the disaster 
area (which shall be determined in the same manner 
as under section 7(b)(3)(B) of the Small Business Act 
(15 U.S.C. 636(b)(3)(B))); or 
(ii) vital to recovery efforts in the region (including 
providing 
debris 
removal 
services, 
manufactured 
housing, or building materials); and 
(H) shall be subject to such additional terms as the 
Administrator determines necessary or appropriate. 
(e) REPORT TO CONGRESS.—Not later than 5 months after the 
date of enactment of this Act, the Administrator shall report to 
the Committee on Small Business and Entrepreneurship of the 
Senate and the Committee on Small Business of the House of 
Representatives on the progress of the Administrator in establishing 
the program. 
(f) AUTHORIZATION.—There are authorized to be appropriated 
to the Administrator such sums as are necessary to carry out 
this section. 
SEC. 12086. GULF COAST DISASTER LOAN REFINANCING PROGRAM. 
(a) IN GENERAL.—The Administrator may carry out a program 
to refinance Gulf Coast disaster loans (in this section referred 
to as the ‘‘program’’). 
(b) TERMS.—The terms of a Gulf Coast disaster loan refinanced 
under the program shall be identical to the terms of the original 
loan, except that the Administrator may provide an option to defer 
repayment on the loan. A deferment under the program shall end 
not later than 4 years after the date on which the initial disburse-
ment under the original loan was made. 
Deadline. 
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122 STAT. 1423 
PUBLIC LAW 110–234—MAY 22, 2008 
(c) AMOUNT.—The amount of a Gulf Coast disaster loan 
refinanced under the program shall not exceed the amount of the 
original loan. 
(d) DISCLOSURE OF ACCRUED INTEREST.—If the Administrator 
provides an option to defer repayment under the program, the 
Administrator shall disclose the accrued interest that must be paid 
under the option. 
(e) DEFINITION.—In this section, the term ‘‘Gulf Coast disaster 
loan’’ means a loan— 
(1) made under section 7(b) of the Small Business Act 
(15 U.S.C. 636(b)); 
(2) in response to Hurricane Katrina of 2005, Hurricane 
Rita of 2005, or Hurricane Wilma of 2005; and 
(3) to a small business concern located in a county or 
parish designated by the Administrator as a disaster area by 
reason of a hurricane described in paragraph (2) under disaster 
declaration 10176, 10177, 10178, 10179, 10180, 10181, 10203, 
10204, 10205, 10206, 10222, or 10223. 
(f) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as may be necessary to carry out 
this section. 
PART III—MISCELLANEOUS 
SEC. 12091. REPORTS ON DISASTER ASSISTANCE. 
(a) MONTHLY ACCOUNTING REPORT TO CONGRESS.— 
(1) REPORTING REQUIREMENTS.—Not later than the fifth 
business day of each month during the applicable period for 
a major disaster, the Administrator shall submit to the Com-
mittee on Small Business and Entrepreneurship and the Com-
mittee on Appropriations of the Senate and to the Committee 
on Small Business and the Committee on Appropriations of 
the House of Representatives a report on the operation of 
the disaster loan program authorized under section 7 of the 
Small Business Act (15 U.S.C. 636) for that major disaster 
during the preceding month. 
(2) CONTENTS.—Each report submitted under paragraph 
(1) shall include— 
(A) the daily average lending volume, in number of 
loans and dollars, and the percent by which each category 
has increased or decreased since the previous report under 
paragraph (1); 
(B) the weekly average lending volume, in number 
of loans and dollars, and the percent by which each category 
has increased or decreased since the previous report under 
paragraph (1); 
(C) the amount of funding spent over the month for 
loans, both in appropriations and program level, and the 
percent by which each category has increased or decreased 
since the previous report under paragraph (1); 
(D) the amount of funding available for loans, both 
in appropriations and program level, and the percent by 
which each category has increased or decreased since the 
previous report under paragraph (1), noting the source 
of any additional funding; 
(E) an estimate of how long the available funding 
for such loans will last, based on the spending rate; 
15 USC 636k. 
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122 STAT. 1424 
PUBLIC LAW 110–234—MAY 22, 2008 
(F) the amount of funding spent over the month for 
staff, along with the number of staff, and the percent 
by which each category has increased or decreased since 
the previous report under paragraph (1); 
(G) the amount of funding spent over the month for 
administrative costs, and the percent by which such 
spending has increased or decreased since the previous 
report under paragraph (1); 
(H) the amount of funding available for salaries and 
expenses combined, and the percent by which such funding 
has increased or decreased since the previous report under 
paragraph (1), noting the source of any additional funding; 
and 
(I) an estimate of how long the available funding for 
salaries and expenses will last, based on the spending 
rate. 
(b) WEEKLY DISASTER UPDATES
TO CONGRESS
FOR PRESI-
DENTIALLY DECLARED DISASTERS.— 
(1) IN
GENERAL.—Each week during a disaster update 
period, the Administration shall submit to the Committee on 
Small Business and Entrepreneurship of the Senate and to 
the Committee on Small Business of the House of Representa-
tives a report on the operation of the disaster loan program 
of the Administration for the area in which the President 
declared a major disaster. 
(2) CONTENTS.—Each report submitted under paragraph 
(1) shall include— 
(A) the number of Administration staff performing loan 
processing, field inspection, and other duties for the 
declared disaster, and the allocations of such staff in the 
disaster field offices, disaster recovery centers, workshops, 
and other Administration offices nationwide; 
(B) the daily number of applications received from 
applicants in the relevant area, as well as a breakdown 
of such figures by State; 
(C) the daily number of applications pending applica-
tion entry from applicants in the relevant area, as well 
as a breakdown of such figures by State; 
(D) the daily number of applications withdrawn by 
applicants in the relevant area, as well as a breakdown 
of such figures by State; 
(E) the daily number of applications summarily 
declined by the Administration from applicants in the rel-
evant area, as well as a breakdown of such figures by 
State; 
(F) the daily number of applications declined by the 
Administration from applicants in the relevant area, as 
well as a breakdown of such figures by State; 
(G) the daily number of applications in process from 
applicants in the relevant area, as well as a breakdown 
of such figures by State; 
(H) the daily number of applications approved by the 
Administration from applicants in the relevant area, as 
well as a breakdown of such figures by State; 
(I) the daily dollar amount of applications approved 
by the Administration from applicants in the relevant area, 
as well as a breakdown of such figures by State; 
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122 STAT. 1425 
PUBLIC LAW 110–234—MAY 22, 2008 
(J) the daily amount of loans dispersed, both partially 
and fully, by the Administration to applicants in the rel-
evant area, as well as a breakdown of such figures by 
State; 
(K) the daily dollar amount of loans disbursed, both 
partially and fully, from the relevant area, as well as 
a breakdown of such figures by State; 
(L) the number of applications approved, including 
dollar amount approved, as well as applications partially 
and fully disbursed, including dollar amounts, since the 
last report under paragraph (1); and 
(M) the declaration date, physical damage closing date, 
economic injury closing date, and number of counties 
included in the declaration of a major disaster. 
(c) PERIODS WHEN ADDITIONAL DISASTER ASSISTANCE IS MADE 
AVAILABLE.— 
(1) IN GENERAL.—During any period for which the Adminis-
trator declares eligibility for additional disaster assistance 
under paragraph (9) of section 7(b) of the Small Business Act 
(15 U.S.C. 632(b)), as amended by this Act, the Administrator 
shall, on a monthly basis, submit to the Committee on Small 
Business and Entrepreneurship of the Senate and to the Com-
mittee on Small Business of the House of Representatives a 
report on the disaster assistance operations of the Administra-
tion with respect to the applicable major disaster. 
(2) CONTENTS.—Each report submitted under paragraph 
(1) shall specify— 
(A) the number of applications for disaster assistance 
distributed; 
(B) the number of applications for disaster assistance 
received; 
(C) the average time for the Administration to approve 
or disapprove an application for disaster assistance; 
(D) the amount of disaster loans approved; 
(E) the average time for initial disbursement of disaster 
loan proceeds; and 
(F) the amount of disaster loan proceeds disbursed. 
(d) NOTICE OF THE NEED FOR SUPPLEMENTAL FUNDS.—On the 
same date that the Administrator notifies any committee of the 
Senate or the House of Representatives that supplemental funding 
is necessary for the disaster loan program of the Administration 
in any fiscal year, the Administrator shall notify in writing the 
Committee on Small Business and Entrepreneurship of the Senate 
and the Committee on Small Business of the House of Representa-
tives regarding the need for supplemental funds for that loan pro-
gram. 
(e) REPORT ON CONTRACTING.— 
(1) IN GENERAL.—Not later than 6 months after the date 
on which the President declares a major disaster, and every 
6 months thereafter until the date that is 18 months after 
the date on which the major disaster was declared, the Adminis-
trator shall submit a report to the Committee on Small Business 
and Entrepreneurship of the Senate and to the Committee 
on Small Business of the House of Representatives regarding 
Federal contracts awarded as a result of that major disaster. 
(2) CONTENTS.—Each report submitted under paragraph 
(1) shall include— 
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122 STAT. 1426 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) the total number of contracts awarded as a result 
of that major disaster; 
(B) the total number of contracts awarded to small 
business concerns as a result of that major disaster; 
(C) the total number of contracts awarded to women 
and minority-owned businesses as a result of that major 
disaster; and 
(D) the total number of contracts awarded to local 
businesses as a result of that major disaster. 
(f) REPORT ON LOAN APPROVAL RATE.— 
(1) IN GENERAL.—Not later than 6 months after the date 
of enactment of this Act, the Administrator shall submit a 
report to the Committee on Small Business and Entrepreneur-
ship of the Senate and the Committee on Small Business of 
the House of Representatives detailing how the Administration 
can improve the processing of applications under the disaster 
loan program of the Administration. 
(2) CONTENTS.—The report submitted under paragraph (1) 
shall include— 
(A) recommendations, if any, regarding— 
(i) staffing levels during a major disaster; 
(ii) how to improve the process for processing, 
approving, and disbursing loans under the disaster 
loan program of the Administration, to ensure that 
the maximum assistance is provided to victims in a 
timely manner; 
(iii) the viability of using alternative methods for 
assessing the ability of an applicant to repay a loan, 
including the credit score of the applicant on the day 
before the date on which the disaster for which the 
applicant is seeking assistance was declared; 
(iv) methods, if any, for the Administration to expe-
dite loss verification and loan processing of disaster 
loans during a major disaster for businesses affected 
by, and located in the area for which the President 
declared, the major disaster that are a major source 
of employment in the area or are vital to recovery 
efforts in the region (including providing debris 
removal services, manufactured housing, or building 
materials); 
(v) legislative changes, if any, needed to implement 
findings from the Accelerated Disaster Response Initia-
tive of the Administration; and 
(vi) a description of how the Administration plans 
to integrate and coordinate the response to a major 
disaster with the technical assistance programs of the 
Administration; and 
(B) the plans of the Administrator for implementing 
any recommendation made under subparagraph (A). 
(g) REPORTS ON DISASTER ASSISTANCE.—The Small Business 
Act is amended by inserting after section 42, as added by this 
Act, the following: 
‘‘SEC. 43. ANNUAL REPORTS ON DISASTER ASSISTANCE. 
‘‘Not later than 45 days after the end of a fiscal year, the 
Administrator shall submit to the Committee on Small Business 
and Entrepreneurship of the Senate and the Committee on Small 
15 USC 657o. 
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122 STAT. 1427 
PUBLIC LAW 110–234—MAY 22, 2008 
Business of the House of Representatives a report on the disaster 
assistance operations of the Administration for that fiscal year. 
The report shall— 
‘‘(1) specify the number of Administration personnel 
involved in such operations; 
‘‘(2) describe any material changes to those operations, 
such as changes to technologies used or to personnel responsibil-
ities; 
‘‘(3) describe and assess the effectiveness of the Administra-
tion in responding to disasters during that fiscal year, including 
a description of the number and amounts of loans made for 
damage and for economic injury; and 
‘‘(4) describe the plans of the Administration for preparing 
to respond to disasters during the next fiscal year.’’. 
TITLE XIII—COMMODITY FUTURES 
SEC. 13001. SHORT TITLE. 
This title may be cited as the ‘‘CFTC Reauthorization Act 
of 2008’’. 
Subtitle A—General Provisions 
SEC. 13101. COMMISSION AUTHORITY OVER AGREEMENTS, CONTRACTS 
OR TRANSACTIONS IN FOREIGN CURRENCY. 
(a) IN GENERAL.—Section 2(c)(2) of the Commodity Exchange 
Act (7 U.S.C. 2(c)(2)) is amended by striking subparagraphs (B) 
and (C) and inserting the following: 
‘‘(B) AGREEMENTS, CONTRACTS, AND TRANSACTIONS IN 
RETAIL FOREIGN CURRENCY.— 
‘‘(i) This Act applies to, and the Commission shall 
have jurisdiction over, an agreement, contract, or 
transaction in foreign currency that— 
‘‘(I) is a contract of sale of a commodity for 
future delivery (or an option on such a contract) 
or an option (other than an option executed or 
traded on a national securities exchange registered 
pursuant to section 6(a) of the Securities Exchange 
Act of 1934 (15 U.S.C. 78f(a))); and 
‘‘(II) is offered to, or entered into with, a person 
that is not an eligible contract participant, unless 
the counterparty, or the person offering to be the 
counterparty, of the person is— 
‘‘(aa) a financial institution; 
‘‘(bb)(AA) a broker or dealer registered 
under section 15(b) (except paragraph (11) 
thereof) or 15C of the Securities Exchange 
Act of 1934 (15 U.S.C. 78o(b), 78o–5); or 
‘‘(BB) an associated person of a broker 
or dealer registered under section 15(b) (except 
paragraph (11) thereof) or 15C of the Securi-
ties Exchange Act of 1934 (15 U.S.C. 78o(b), 
78o–5) concerning the financial or securities 
activities of which the broker or dealer makes 
and keeps records under section 15C(b) or 
Applicability. 
CFTC 
Reauthorization 
Act of 2008. 
7 USC 1 note. 
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122 STAT. 1428 
PUBLIC LAW 110–234—MAY 22, 2008 
17(h) of the Securities Exchange Act of 1934 
(15 U.S.C. 78o–5(b), 78q(h)); 
‘‘(cc)(AA) a futures commission merchant 
that is primarily or substantially engaged in 
the business activities described in section 
1a(20) of this Act, is registered under this 
Act, is not a person described in item (bb) 
of this subclause, and maintains adjusted net 
capital equal to or in excess of the dollar 
amount that applies for purposes of clause 
(ii) of this subparagraph; or 
‘‘(BB) an affiliated person of a futures 
commission merchant that is primarily or 
substantially engaged in the business activi-
ties described in section 1a(20) of this Act, 
is registered under this Act, and is not a per-
son described in item (bb) of this subclause, 
if the affiliated person maintains adjusted net 
capital equal to or in excess of the dollar 
amount that applies for purposes of clause 
(ii) of this subparagraph and is not a person 
described in such item (bb), and the futures 
commission 
merchant 
makes 
and 
keeps 
records under section 4f(c)(2)(B) of this Act 
concerning the futures and other financial 
activities of the affiliated person; 
‘‘(dd) an insurance company described in 
section 1a(12)(A)(ii) of this Act, or a regulated 
subsidiary or affiliate of such an insurance 
company; 
‘‘(ee) a financial holding company (as 
defined in section 2 of the Bank Holding Com-
pany Act of 1956); 
‘‘(ff) an investment bank holding company 
(as defined in section 17(i) of the Securities 
Exchange Act of 1934 (15 U.S.C. 78q(i))); or 
‘‘(gg) a retail foreign exchange dealer that 
maintains adjusted net capital equal to or in 
excess of the dollar amount that applies for 
purposes of clause (ii) of this subparagraph 
and is registered in such capacity with the 
Commission, subject to such terms and condi-
tions as the Commission shall prescribe, and 
is a member of a futures association registered 
under section 17. 
‘‘(ii) The dollar amount that applies for purposes 
of this clause is— 
‘‘(I) $10,000,000, beginning 120 days after the 
date of the enactment of this clause; 
‘‘(II) $15,000,000, beginning 240 days after 
such date of enactment; and 
‘‘(III) $20,000,000, beginning 360 days after 
such date of enactment. 
‘‘(iii) Notwithstanding items (cc) and (gg) of clause 
(i)(II) of this subparagraph, agreements, contracts, or 
transactions described in clause (i) of this subpara-
graph shall be subject to subsection (a)(1)(B) of this 
Applicability. 
Effective dates. 
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122 STAT. 1429 
PUBLIC LAW 110–234—MAY 22, 2008 
section and sections 4(b), 4b, 4c(b), 4o, 6(c) and 6(d) 
(except to the extent that sections 6(c) and 6(d) prohibit 
manipulation of the market price of any commodity 
in interstate commerce, or for future delivery on or 
subject to the rules of any market), 6c, 6d, 8(a), 13(a), 
and 13(b) if the agreements, contracts, or transactions 
are offered, or entered into, by a person that is reg-
istered as a futures commission merchant or retail 
foreign exchange dealer, or an affiliated person of a 
futures commission merchant registered under this Act 
that is not also a person described in any of item 
(aa), (bb), (dd), (ee), or (ff) of clause (i)(II) of this 
subparagraph. 
‘‘(iv)(I) Notwithstanding items (cc) and (gg) of 
clause (i)(II), a person, unless registered in such 
capacity as the Commission by rule, regulation, or 
order shall determine and a member of a futures 
association registered under section 17, shall not— 
‘‘(aa) solicit or accept orders from any person 
that is not an eligible contract participant in 
connection with agreements, contracts, or trans-
actions described in clause (i) entered into with 
or to be entered into with a person who is not 
described in item (aa), (bb), (dd), (ee), or (ff) of 
clause (i)(II); 
‘‘(bb) exercise discretionary trading authority 
or obtain written authorization to exercise discre-
tionary trading authority over any account for or 
on behalf of any person that is not an eligible 
contract participant in connection with agree-
ments, contracts, or transactions described in 
clause (i) entered into with or to be entered into 
with a person who is not described in item (aa), 
(bb), (dd), (ee), or (ff) of clause (i)(II); or 
‘‘(cc) operate or solicit funds, securities, or 
property for any pooled investment vehicle that 
is not an eligible contract participant in connection 
with 
agreements, 
contracts, 
or 
transactions 
described in clause (i) entered into with or to be 
entered into with a person who is not described 
in item (aa), (bb), (dd), (ee), or (ff) of clause (i)(II). 
‘‘(II) Subclause (I) of this clause shall not apply 
to— 
‘‘(aa) any person described in any of item (aa), 
(bb), (dd), (ee), or (ff) of clause (i)(II); 
‘‘(bb) any such person’s associated persons; or 
‘‘(cc) any person who would be exempt from 
registration if engaging in the same activities in 
connection with transactions conducted on or sub-
ject to the rules of a contract market or a deriva-
tives transaction execution facility. 
‘‘(III) Notwithstanding items (cc) and (gg) of clause 
(i)(II), the Commission may make, promulgate, and 
enforce such rules and regulations as, in the judgment 
of the Commission, are reasonably necessary to effec-
tuate any of the provisions of, or to accomplish any 
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122 STAT. 1430 
PUBLIC LAW 110–234—MAY 22, 2008 
of the purposes of, this Act in connection with the 
activities of persons subject to subclause (I). 
‘‘(IV) Subclause (III) of this clause shall not apply 
to— 
‘‘(aa) any person described in any of item (aa) 
through (ff) of clause (i)(II); 
‘‘(bb) any such person’s associated persons; or 
‘‘(cc) any person who would be exempt from 
registration if engaging in the same activities in 
connection with transactions conducted on or sub-
ject to the rules of a contract market or a deriva-
tives transaction execution facility. 
‘‘(v) Notwithstanding items (cc) and (gg) of clause 
(i)(II), the Commission may make, promulgate, and 
enforce such rules and regulations as, in the judgment 
of the Commission, are reasonably necessary to effec-
tuate any of the provisions of, or to accomplish any 
of the purposes of, this Act in connection with agree-
ments, contracts, or transactions described in clause 
(i) which are offered, or entered into, by a person 
described in item (cc) or (gg) of clause (i)(II). 
‘‘(C)(i)(I) This subparagraph shall apply to any agree-
ment, contract, or transaction in foreign currency that is— 
‘‘(aa) offered to, or entered into with, a person 
that is not an eligible contract participant (except 
that this subparagraph shall not apply if the 
counterparty, or the person offering to be the 
counterparty, of the person that is not an eligible 
contract participant is a person described in any 
of item (aa), (bb), (dd), (ee), or (ff) of subparagraph 
(B)(i)(II)); and 
‘‘(bb) offered, or entered into, on a leveraged 
or margined basis, or financed by the offeror, the 
counterparty, or a person acting in concert with 
the offeror or counterparty on a similar basis. 
‘‘(II) Subclause (I) of this clause shall not apply to— 
‘‘(aa) a security that is not a security futures 
product; or 
‘‘(bb) a contract of sale that— 
‘‘(AA) results in actual delivery within 2 days; 
or 
‘‘(BB) creates an enforceable obligation to 
deliver between a seller and buyer that have the 
ability to deliver and accept delivery, respectively, 
in connection with their line of business. 
‘‘(ii)(I) Agreements, contracts, or transactions described 
in clause (i) of this subparagraph shall be subject to sub-
section (a)(1)(B) of this section and sections 4(b), 4b, 4c(b), 
4o, 6(c) and 6(d) (except to the extent that sections 6(c) 
and 6(d) prohibit manipulation of the market price of any 
commodity in interstate commerce, or for future delivery 
on or subject to the rules of any market), 6c, 6d, 8(a), 
13(a), and 13(b). 
‘‘(II) Subclause (I) of this clause shall not apply to— 
‘‘(aa) any person described in any of item (aa), 
(bb), (dd), (ee), or (ff) of subparagraph (B)(i)(II); or 
‘‘(bb) any such person’s associated persons. 
Applicability. 
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122 STAT. 1431 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(III) The Commission may make, promulgate, and 
enforce such rules and regulations as, in the judgment 
of the Commission, are reasonably necessary to effectuate 
any of the provisions of or to accomplish any of the purposes 
of this Act in connection with agreements, contracts, or 
transactions described in clause (i) of this subparagraph 
if the agreements, contracts, or transactions are offered, 
or entered into, by a person that is not described in item 
(aa) through (ff) of subparagraph (B)(i)(II). 
‘‘(iii)(I) A person, unless registered in such capacity 
as the Commission by rule, regulation, or order shall deter-
mine and a member of a futures association registered 
under section 17, shall not— 
‘‘(aa) solicit or accept orders from any person that 
is not an eligible contract participant in connection 
with agreements, contracts, or transactions described 
in clause (i) of this subparagraph entered into with 
or to be entered into with a person who is not described 
in item (aa), (bb), (dd), (ee), or (ff) of subparagraph 
(B)(i)(II); 
‘‘(bb) exercise discretionary trading authority or 
obtain written authorization to exercise written trading 
authority over any account for or on behalf of any 
person that is not an eligible contract participant in 
connection with agreements, contracts, or transactions 
described in clause (i) of this subparagraph entered 
into with or to be entered into with a person who 
is not described in item (aa), (bb), (dd), (ee), or (ff) 
of subparagraph (B)(i)(II); or 
‘‘(cc) operate or solicit funds, securities, or property 
for any pooled investment vehicle that is not an eligible 
contract participant in connection with agreements, 
contracts, or transactions described in clause (i) of 
this subparagraph entered into with or to be entered 
into with a person who is not described in item (aa), 
(bb), (dd), (ee), or (ff) of subparagraph (B)(i)(II). 
‘‘(II) Subclause (I) of this clause shall not apply to— 
‘‘(aa) any person described in item (aa), (bb), (dd), 
(ee), or (ff) of subparagraph (B)(i)(II); 
‘‘(bb) any such person’s associated persons; or 
‘‘(cc) any person who would be exempt from reg-
istration if engaging in the same activities in connec-
tion with transactions conducted on or subject to the 
rules of a contract market or a derivatives transaction 
execution facility. 
‘‘(III) The Commission may make, promulgate, and 
enforce such rules and regulations as, in the judgment 
of the Commission, are reasonably necessary to effectuate 
any of the provisions of, or to accomplish any of the pur-
poses of, this Act in connection with the activities of persons 
subject to subclause (I). 
‘‘(IV) Subclause (III) of this clause shall not apply 
to— 
‘‘(aa) any person described in item (aa) through 
(ff) of subparagraph (B)(i)(II); 
‘‘(bb) any such person’s associated persons; or 
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122 STAT. 1432 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(cc) any person who would be exempt from reg-
istration if engaging in the same activities in connec-
tion with transactions conducted on or subject to the 
rules of a contract market or a derivatives transaction 
execution facility. 
‘‘(iv) Sections 4(b) and 4b shall apply to any agreement, 
contract, or transaction described in clause (i) of this 
subparagraph as if the agreement, contract, or transaction 
were a contract of sale of a commodity for future delivery. 
‘‘(v) This subparagraph shall not be construed to limit 
any jurisdiction that the Commission may otherwise have 
under any other provision of this Act over an agreement, 
contract, or transaction that is a contract of sale of a 
commodity for future delivery. 
‘‘(vi) This subparagraph shall not be construed to limit 
any jurisdiction that the Commission or the Securities and 
Exchange Commission may otherwise have under any other 
provision of this Act with respect to security futures prod-
ucts and persons effecting transactions in security futures 
products.’’. 
(b) EFFECTIVE DATE.—The following provisions of the Com-
modity Exchange Act, as amended by subsection (a) of this section, 
shall be effective 120 days after the date of the enactment of 
this Act or at such other time as the Commodity Futures Trading 
Commission shall determine: 
(1) Subparagraphs (B)(i)(II)(gg), (B)(iv), and (C)(iii) of sec-
tion 2(c)(2). 
(2) The provisions of section 2(c)(2)(B)(i)(II)(cc) that set 
forth adjusted net capital requirements, and the provisions 
of such section that require a futures commission merchant 
to be primarily or substantially engaged in certain business 
activities. 
SEC. 13102. ANTI-FRAUD AUTHORITY OVER PRINCIPAL-TO-PRINCIPAL 
TRANSACTIONS. 
Section 4b of the Commodity Exchange Act (7 U.S.C. Section 
6b) is amended— 
(1) by redesignating subsections (b) and (c) as subsections 
(c) and (d), respectively; and 
(2) by striking all through the end of subsection (a) and 
inserting the following: 
‘‘SEC. 4b. CONTRACTS DESIGNED TO DEFRAUD OR MISLEAD. 
‘‘(a) UNLAWFUL ACTIONS.—It shall be unlawful— 
‘‘(1) for any person, in or in connection with any order 
to make, or the making of, any contract of sale of any commodity 
in interstate commerce or for future delivery that is made, 
or to be made, on or subject to the rules of a designated 
contract market, for or on behalf of any other person; or 
‘‘(2) for any person, in or in connection with any order 
to make, or the making of, any contract of sale of any commodity 
for future delivery, or other agreement, contract, or transaction 
subject to paragraphs (1) and (2) of section 5a(g), that is made, 
or to be made, for or on behalf of, or with, any other person, 
other than on or subject to the rules of a designated contract 
market— 
‘‘(A) to cheat or defraud or attempt to cheat or defraud 
the other person; 
7 USC 2 note. 
Applicability. 
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122 STAT. 1433 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) willfully to make or cause to be made to the 
other person any false report or statement or willfully 
to enter or cause to be entered for the other person any 
false record; 
‘‘(C) willfully to deceive or attempt to deceive the other 
person by any means whatsoever in regard to any order 
or contract or the disposition or execution of any order 
or contract, or in regard to any act of agency performed, 
with respect to any order or contract for or, in the case 
of paragraph (2), with the other person; or 
‘‘(D)(i) to bucket an order if the order is either rep-
resented by the person as an order to be executed, or 
is required to be executed, on or subject to the rules of 
a designated contract market; or 
‘‘(ii) to fill an order by offset against the order or 
orders of any other person, or willfully and knowingly 
and without the prior consent of the other person to become 
the buyer in respect to any selling order of the other 
person, or become the seller in respect to any buying order 
of the other person, if the order is either represented by 
the person as an order to be executed, or is required to 
be executed, on or subject to the rules of a designated 
contract market unless the order is executed in accordance 
with the rules of the designated contract market. 
‘‘(b) CLARIFICATION.—Subsection (a)(2) of this section shall not 
obligate any person, in or in connection with a transaction in 
a contract of sale of a commodity for future delivery, or other 
agreement, contract or transaction subject to paragraphs (1) and 
(2) of section 5a(g), with another person, to disclose to the other 
person nonpublic information that may be material to the market 
price, rate, or level of the commodity or transaction, except as 
necessary to make any statement made to the other person in 
or in connection with the transaction not misleading in any material 
respect.’’. 
SEC. 13103. CRIMINAL AND CIVIL PENALTIES. 
(a) ENFORCEMENT POWERS OF THE COMMISSION.—Section 6(c) 
of the Commodity Exchange Act (7 U.S.C. 9, 15) is amended in 
clause (3) of the 10th sentence— 
(1) by inserting ‘‘(A)’’ after ‘‘assess such person’’; and 
(2) by inserting after ‘‘each such violation’’ the following: 
‘‘, or (B) in any case of manipulation or attempted manipulation 
in violation of this subsection, subsection (d) of this section, 
or section 9(a)(2), a civil penalty of not more than the greater 
of $1,000,000 or triple the monetary gain to the person for 
each such violation,’’. 
(b) NONENFORCEMENT OF RULES OF GOVERNMENT OR OTHER 
VIOLATIONS.—Section 6b of such Act (7 U.S.C. 13a) is amended— 
(1) in the first sentence, by inserting before the period 
at the end the following: ‘‘, or, in any case of manipulation 
or attempted manipulation in violation of section 6(c), 6(d), 
or 9(a)(2), a civil penalty of not more than $1,000,000 for 
each such violation’’; and 
(2) in the second sentence, by inserting before the period 
at the end the following: ‘‘, except that if the failure or refusal 
to obey or comply with the order involved any offense under 
section 9(a)(2), the registered entity, director, officer, agent, 
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122 STAT. 1434 
PUBLIC LAW 110–234—MAY 22, 2008 
or employee shall be guilty of a felony and, on conviction, 
shall be subject to penalties under section 9(a)(2)’’. 
(c) ACTION TO ENJOIN OR RESTRAIN VIOLATIONS.—Section 6c(d) 
of such Act (7 U.S.C. 13a–1(d)) is amended by striking all that 
precedes paragraph (2) and inserting the following: 
‘‘(d) CIVIL PENALTIES.— 
‘‘(1) IN GENERAL.—In any action brought under this section, 
the Commission may seek and the court shall have jurisdiction 
to impose, on a proper showing, on any person found in the 
action to have committed any violation— 
‘‘(A) a civil penalty in the amount of not more than 
the greater of $100,000 or triple the monetary gain to 
the person for each violation; or 
‘‘(B) in any case of manipulation or attempted manipu-
lation in violation of section 6(c), 6(d), or 9(a)(2), a civil 
penalty in the amount of not more than the greater of 
$1,000,000 or triple the monetary gain to the person for 
each violation.’’. 
(d) VIOLATIONS GENERALLY.—Section 9(a) of such Act (7 U.S.C. 
13(a)) is amended in the matter preceding paragraph (1)— 
(1) by striking ‘‘(or $500,000 in the case of a person who 
is an individual)’’; and 
(2) by striking ‘‘five years’’ and inserting ‘‘10 years’’. 
SEC. 13104. AUTHORIZATION OF APPROPRIATIONS. 
Section 12(d) of the Commodity Exchange Act (7 U.S.C. 16(d)) 
is amended to read as follows: 
‘‘(d) There are authorized to be appropriated such sums as 
are necessary to carry out this Act for each of the fiscal years 
2008 through 2013.’’. 
SEC. 13105. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) Section 4a(e) of the Commodity Exchange Act (7 U.S.C. 
6a(e)) is amended— 
(1) by inserting ‘‘or certified by a registered entity pursuant 
to section 5c(c)(1)’’ after ‘‘approved by the Commission’’ ; and 
(2) by striking ‘‘section 9(c)’’ and inserting ‘‘section 9(a)(5)’’. 
(b) Section 4f(c)(4)(B)(i) of such Act (7 U.S.C. 6f(c)(4)(B)(i)) 
is amended by striking ‘‘compiled’’ and inserting ‘‘complied’’. 
(c) Section 4k of such Act (7 U.S.C. 6k) is amended by redesig-
nating the second paragraph (5) as paragraph (6). 
(d) The Commodity Exchange Act is amended— 
(1) by redesignating the first section 4p (7 U.S.C. 6o– 
1), as added by section 121 of the Commodity Futures Mod-
ernization Act of 2000, as section 4q; and 
(2) by moving such section to after the second section 
4p, as added by section 206 of Public Law 93–446. 
(e) Subsections (a)(1) and (d)(1) of section 5c of such Act (7 
U.S.C. 7a–2(a)(1), (d)(1)) are each amended by striking ‘‘5b(d)(2)’’ 
and inserting ‘‘5b(c)(2)’’. 
(f) Sections 5c(f) and 17(r) of such Act (7 U.S.C. 7a–2(f), 21(r)) 
are each amended by striking ‘‘4d(3)’’ and inserting ‘‘4d(c)’’. 
(g) Section 8(a)(1) of such Act (7 U.S.C. 12(a)(1)) is amended 
in the matter following subparagraph (B)— 
(1) by striking ‘‘commenced’’ in the 2nd place it appears; 
and 
(2) by inserting ‘‘commenced’’ after ‘‘in a judicial pro-
ceeding’’. 
7 USC 6q. 
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122 STAT. 1435 
PUBLIC LAW 110–234—MAY 22, 2008 
(h) Section 9 of such Act (7 U.S.C. 13) is amended— 
(1) in subsection (f)(1), by striking the period and inserting 
‘‘; or’’; and 
(2) by redesignating subsection (f) as subsection (e). 
(i) Section 22(a)(2) of such Act (7 U.S.C. 25(a)(2)) is amended 
by striking ‘‘5b(b)(1)(E)’’ and inserting ‘‘5b(c)(2)(H)’’. 
(j) Section 1a(33)(A) of such Act (7 U.S.C. 1a(33)(A)) is amended 
by striking ‘‘transactions’’ and all that follows and inserting ‘‘trans-
actions— 
‘‘(i) by accepting bids or offers made by other 
participants that are open to multiple partipants in 
the facility or system; or 
‘‘(ii) through the interaction of multiple bids or 
multiple offers within a system with a pre-determined 
non-discretionary automated trade matching and 
execution algorithm.’’. 
(k) Section 14(d) of such Act (7 U.S.C. 18(d)) is amended— 
(1) by inserting ‘‘(1)’’ before ‘‘If’’; and 
(2) by adding after and below the end the following: 
‘‘(2) A reparation award shall be directly enforceable in 
district court as if it were a judgment pursuant to section 
1963 of title 28, United States Code. This paragraph shall 
operate retroactively from the effective date of its enactment, 
and shall apply to all reparation awards for which a proceeding 
described in paragraph (1) is commenced within 3 years of 
the date of the Commission’s order.’’. 
SEC. 13106. PORTFOLIO MARGINING AND SECURITY INDEX ISSUES. 
(a) The Secretary of the Treasury, the Chairman of the Board 
of Governors of the Federal Reserve System, the Chairman of 
the Securities and Exchange Commission, and the Chairman of 
the Commodity Futures Trading Commission shall work to ensure 
that the Securities and Exchange Commission (SEC), the Com-
modity Futures Trading Commission (CFTC), or both, as appro-
priate, have taken the actions required under subsection (b). 
(b) The SEC, the CFTC, or both, as appropriate, shall take 
action under their existing authorities to permit— 
(1) by September 30, 2009, risk-based portfolio margining 
for security options and security futures products (as defined 
in section 1a(32) of the Commodity Exchange Act); and 
(2) by June 30, 2009, the trading of futures on certain 
security indexes by resolving issues related to foreign security 
indexes. 
Subtitle B—Significant Price Discovery 
Contracts on Exempt Commercial Markets 
SEC. 13201. SIGNIFICANT PRICE DISCOVERY CONTRACTS. 
(a) DEFINITIONS.—Section la of the Commodity Exchange Act 
(7 U.S.C. la) is amended— 
(1) by redesignating paragraph (33) as paragraph (34); 
and 
(2) by inserting after paragraph (32) the following: 
‘‘(33) SIGNIFICANT PRICE DISCOVERY CONTRACT.—The term 
‘significant price discovery contract’ means an agreement, con-
tract, or transaction subject to section 2(h)(7).’’. 
Deadlines. 
7 USC 2 note. 
Applicability. 
Deadline. 
Reparations. 
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122 STAT. 1436 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) STANDARDS APPLICABLE TO SIGNIFICANT PRICE DISCOVERY 
CONTRACTS.—Section 2(h) of such Act (7 U.S.C. 2(h)) is amended 
by adding at the end the following: 
‘‘(7) SIGNIFICANT PRICE DISCOVERY CONTRACTS.— 
‘‘(A) IN GENERAL.—An agreement, contract, or trans-
action conducted in reliance on the exemption in paragraph 
(3) shall be subject to the provisions of subparagraphs 
(B) through (D), under such rules and regulations as the 
Commission shall promulgate, provided that the Commis-
sion determines, in its discretion, that the agreement, con-
tract, or transaction performs a significant price discovery 
function as described in subparagraph (B). 
‘‘(B) SIGNIFICANT PRICE DISCOVERY DETERMINATION.— 
In making a determination whether an agreement, con-
tract, or transaction performs a significant price discovery 
function, the Commission shall consider, as appropriate: 
‘‘(i) PRICE
LINKAGE.—The extent to which the 
agreement, contract, or transaction uses or otherwise 
relies on a daily or final settlement price, or other 
major price parameter, of a contract or contracts listed 
for trading on or subject to the rules of a designated 
contract market or a derivatives transaction execution 
facility, or a significant price discovery contract traded 
on an electronic trading facility, to value a position, 
transfer or convert a position, cash or financially settle 
a position, or close out a position. 
‘‘(ii) ARBITRAGE.—The extent to which the price 
for the agreement, contract, or transaction is suffi-
ciently related to the price of a contract or contracts 
listed for trading on or subject to the rules of a des-
ignated contract market or derivatives transaction 
execution facility, or a significant price discovery con-
tract or contracts trading on or subject to the rules 
of an electronic trading facility, so as to permit market 
participants to effectively arbitrage between the mar-
kets by simultaneously maintaining positions or exe-
cuting trades in the contracts on a frequent and recur-
ring basis. 
‘‘(iii) MATERIAL PRICE REFERENCE.—The extent to 
which, on a frequent and recurring basis, bids, offers, 
or transactions in a commodity are directly based on, 
or are determined by referencing, the prices generated 
by agreements, contracts, or transactions being traded 
or executed on the electronic trading facility. 
‘‘(iv) MATERIAL LIQUIDITY.—The extent to which 
the volume of agreements, contracts, or transactions 
in the commodity being traded on the electronic trading 
facility is sufficient to have a material effect on other 
agreements, contracts, or transactions listed for trading 
on or subject to the rules of a designated contract 
market, a derivatives transaction execution facility, 
or an electronic trading facility operating in reliance 
on the exemption in paragraph (3). 
‘‘(v) OTHER MATERIAL FACTORS.—Such other mate-
rial factors as the Commission specifies by rule as 
relevant to determine whether an agreement, contract, 
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122 STAT. 1437 
PUBLIC LAW 110–234—MAY 22, 2008 
or transaction serves a significant price discovery func-
tion. 
‘‘(C) CORE
PRINCIPLES
APPLICABLE
TO
SIGNIFICANT 
PRICE DISCOVERY CONTRACTS.— 
‘‘(i) IN GENERAL.—An electronic trading facility on 
which significant price discovery contracts are traded 
or executed shall, with respect to those contracts, 
comply with the core principles specified in this 
subparagraph. 
‘‘(ii) CORE
PRINCIPLES.—The electronic trading 
facility shall have reasonable discretion (including 
discretion to account for differences between cleared 
and uncleared significant price discovery contracts) in 
establishing the manner in which it complies with 
the following core principles: 
‘‘(I) CONTRACTS NOT READILY SUSCEPTIBLE TO 
MANIPULATION.—The electronic trading facility 
shall list only significant price discovery contracts 
that are not readily susceptible to manipulation. 
‘‘(II) MONITORING OF TRADING.—The electronic 
trading facility shall monitor trading in significant 
price discovery contracts to prevent market 
manipulation, price distortion, and disruptions of 
the delivery or cash-settlement process through 
market surveillance, compliance, and disciplinary 
practices and procedures, including methods for 
conducting real-time monitoring of trading and 
comprehensive and accurate trade reconstructions. 
‘‘(III) ABILITY TO OBTAIN INFORMATION.—The 
electronic trading facility shall— 
‘‘(aa) establish and enforce rules that will 
allow the electronic trading facility to obtain 
any necessary information to perform any of 
the functions described in this subparagraph; 
‘‘(bb) provide the information to the 
Commission upon request; and 
‘‘(cc) have the capacity to carry out such 
international information-sharing agreements 
as the Commission may require. 
‘‘(IV) POSITION
LIMITATIONS
OR
ACCOUNT-
ABILITY.—The electronic trading facility shall 
adopt, where necessary and appropriate, position 
limitations or position accountability for specu-
lators in significant price discovery contracts, 
taking into account positions in other agreements, 
contracts, and transactions that are treated by 
a derivatives clearing organization, whether reg-
istered or not registered, as fungible with such 
significant price discovery contracts to reduce the 
potential threat of market manipulation or conges-
tion, especially during trading in the delivery 
month. 
‘‘(V) EMERGENCY AUTHORITY.—The electronic 
trading facility shall adopt rules to provide for 
the exercise of emergency authority, in consulta-
tion or cooperation with the Commission, where 
Regulations. 
Regulations. 
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122 STAT. 1438 
PUBLIC LAW 110–234—MAY 22, 2008 
necessary 
and 
appropriate, 
including 
the 
authority— 
‘‘(aa) to liquidate open positions in a 
significant price discovery contract; and 
‘‘(bb) to suspend or curtail trading in a 
significant price discovery contract. 
‘‘(VI) DAILY PUBLICATION OF TRADING INFORMA-
TION.—The electronic trading facility shall make 
public daily information on price, trading volume, 
and other trading data to the extent appropriate 
for significant price discovery contracts 
‘‘(VII) COMPLIANCE
WITH
RULES.—The elec-
tronic trading facility shall monitor and enforce 
compliance with any rules of the electronic trading 
facility applicable to significant price discovery 
contracts, including the terms and conditions of 
the contracts and any limitations on access to the 
electronic trading facility with respect to the con-
tracts. 
‘‘(VIII) CONFLICT OF INTEREST.—The electronic 
trading facility, with respect to significant price 
discovery contracts, shall— 
‘‘(aa) establish and enforce rules to mini-
mize conflicts of interest in its decision-making 
process; and 
‘‘(bb) establish a process for resolving the 
conflicts of interest. 
‘‘(IX) 
ANTITRUST
CONSIDERATIONS.—Unless 
necessary or appropriate to achieve the purposes 
of this Act, the electronic trading facility, with 
respect to significant price discovery contracts, 
shall endeavor to avoid— 
‘‘(aa) adopting any rules or taking any 
actions that result in any unreasonable 
restraints of trade; or 
‘‘(bb) imposing any material anticompeti-
tive burden on trading on the electronic 
trading facility. 
‘‘(D) IMPLEMENTATION.— 
‘‘(i) CLEARING.—The Commission shall take into 
consideration 
differences 
between 
cleared 
and 
uncleared significant price discovery contracts when 
reviewing the implementation of the core principles 
by an electronic trading facility. 
‘‘(ii) REVIEW.—As part of the Commission’s con-
tinual monitoring and surveillance activities, the 
Commission shall, not less frequently than annually, 
evaluate, as appropriate, all the agreements, contracts, 
or transactions conducted on an electronic trading 
facility in reliance on the exemption provided in para-
graph (3) to determine whether they serve a significant 
price discovery function as described in subparagraph 
(B) of this paragraph.’’. 
SEC. 13202. LARGE TRADER REPORTING. 
(a) REPORTING AND RECORDKEEPING.—Section 4g(a) of the Com-
modity Exchange Act (7 U.S.C. 6g(a)) is amended by inserting 
Procedures. 
Regulations. 
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122 STAT. 1439 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘, and in any significant price discovery contract traded or executed 
on an electronic trading facility or any agreement, contract, or 
transaction that is treated by a derivatives clearing organization, 
whether registered or not registered, as fungible with a significant 
price discovery contract’’ after ‘‘elsewhere’’. 
(b) REPORTS OF POSITIONS EQUAL TO OR IN EXCESS OF TRADING 
LIMITS.—Section 4i of such Act (7 U.S.C. 6i) is amended— 
(1) by inserting ‘‘, or any significant price discovery contract 
traded or executed on an electronic trading facility or any 
agreement, contract, or transaction that is treated by a deriva-
tives clearing organization, whether registered or not reg-
istered, as fungible with a significant price discovery contract’’ 
after ‘‘subject to the rules of any contract market or derivatives 
transaction execution facility’’; and 
(2) in the matter following paragraph (2), by inserting 
‘‘or electronic trading facility’’ after ‘‘subject to the rules of 
any other board of trade’’. 
SEC. 13203. CONFORMING AMENDMENTS. 
(a) Section 1a(12)(A)(x) of the Commodity Exchange Act (7 
U.S.C. 1a(12)(A)(x)) is amended by inserting ‘‘(other than an elec-
tronic trading facility with respect to a significant price discovery 
contract)’’ after ‘‘registered entity’’. 
(b) Section 1a(29) of such Act (7 U.S.C. 1a(29)) is amended— 
(1) in subparagraph (C), by striking ‘‘and’’ at the end; 
(2) in subparagraph (D), by striking the period and 
inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(E) with respect to a contract that the Commission 
determines is a significant price discovery contract, any 
electronic trading facility on which the contract is executed 
or traded.’’. 
(c) Section 2(a)(1)(A) of such Act (7 U.S.C. 2(a)(1)(A)) is amended 
by inserting after ‘‘future delivery’’ the following: ‘‘(including signifi-
cant price discovery contracts)’’. 
(d) Section 2(h)(3) of such Act (7 U.S.C. 2(h)(3)) is amended 
by striking ‘‘paragraph (4)’’ and inserting ‘‘paragraphs (4) and (7)’’. 
(e) Section 2(h)(4) of such Act (7 U.S.C. 2(h)(4)) is amended— 
(1) in subparagraph (B), by inserting ‘‘and, for a significant 
price discovery contract, requiring large trader reporting,’’ after 
‘‘proscribing fraud’’; 
(2) by striking ‘‘and’’ at the end of subparagraph (C); and 
(3) by striking subparagraph (D) and inserting the fol-
lowing: 
‘‘(D) such rules, regulations, and orders as the Commis-
sion may issue to ensure timely compliance with any of 
the provisions of this Act applicable to a significant price 
discovery contract traded on or executed on any electronic 
trading facility; and 
‘‘(E) such other provisions of this Act as are applicable 
by their terms to significant price discovery contracts or 
to registered entities or electronic trading facilities with 
respect to significant price discovery contracts.’’. 
(f) Section 2(h)(5)(B)(iii)(I) of such Act (7 U.S.C. 2(h)(5)(B)(iii)(I)) 
is amended by inserting ‘‘or to make the determination described 
in subparagraph (B) of paragraph (7)’’ after ‘‘paragraph (4)’’. 
(g) Section 4a of such Act (7 U.S.C. 6a) is amended— 
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122 STAT. 1440 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) in subsection (a)— 
(A) in the first sentence, by inserting ‘‘, or on electronic 
trading facilities with respect to a significant price dis-
covery contract’’ after ‘‘derivatives transaction execution 
facilities’’; and 
(B) in the second sentence, by inserting ‘‘, or on an 
electronic trading facility with respect to a significant price 
discovery contract,’’ after ‘‘derivatives transaction execution 
facility’’; and 
(2) in subsection (b)— 
(A) in paragraph (1), by inserting ‘‘or electronic trading 
facility with respect to a significant price discovery con-
tract’’ after ‘‘facility or facilities’’; and 
(B) in paragraph (2), by inserting ‘‘or electronic trading 
facility with respect to a significant price discovery con-
tract’’ after ‘‘derivatives transaction execution facility’’; and 
(3) in subsection (e)— 
(A) in the first sentence— 
(i) by inserting ‘‘or by any electronic trading 
facility’’ after ‘‘registered by the Commission’’; 
(ii) by inserting ‘‘or on an electronic trading 
facility’’ 
after 
‘‘derivatives 
transaction 
execution 
facility’’ the second place it appears; and 
(iii) by inserting ‘‘or electronic trading facility’’ 
before ‘‘or such board of trade’’ each place it appears; 
and 
(B) in the second sentence, by inserting ‘‘or electronic 
trading facility with respect to a significant price discovery 
contract’’ after ‘‘registered by the Commission’’. 
(h) Section 5a(d) of such Act (7 U.S.C. 7a(d)(1)) is amended— 
(1) by redesignating paragraphs (4) through (9) as para-
graphs (5) through (10); and 
(2) by inserting after paragraph (3) the following: 
‘‘(4) POSITION LIMITATIONS OR ACCOUNTABILITY.—To reduce 
the potential threat of market manipulation or congestion, espe-
cially during trading in the delivery month, the derivatives 
transaction execution facility shall adopt position limits or posi-
tion accountability for speculators, where necessary and appro-
priate for a contract, agreement or transaction with an under-
lying commodity that has a physically deliverable supply.’’. 
(i) Section 5c(a) of such Act (7 U.S.C. 7a–2(a)) is amended 
in paragraph (1) by inserting ‘‘, and section 2(h)(7) with respect 
to significant price discovery contracts,’’ after ‘‘, and 5b(d)(2)’’. 
(j) Section 5c(b) of such Act (7 U.S.C. 7a–2(b)) is amended— 
(1) by striking paragraph (1) and inserting the following: 
‘‘(1) IN GENERAL.—A contract market, derivatives trans-
action execution facility, or electronic trading facility with 
respect to a significant price discovery contract may comply 
with any applicable core principle through delegation of any 
relevant function to a registered futures association or a reg-
istered entity that is not an electronic trading facility.’’; 
(2) in paragraph (2), by striking ‘‘contract market or deriva-
tives transaction execution facility’’ and inserting ‘‘contract 
market, derivatives transaction execution facility, or electronic 
trading facility’’; and 
(3) in paragraph (3), by striking ‘‘contract market or deriva-
tives transaction execution facility’’ each place it appears and 
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122 STAT. 1441 
PUBLIC LAW 110–234—MAY 22, 2008 
inserting ‘‘contract market, derivatives transaction execution 
facility, or electronic trading facility’’. 
(k) Section 5c(d)(1) of such Act (7 U.S.C. 7a–2(d)(1)) is amended 
by inserting ‘‘or 2(h)(7)(C) with respect to a significant price dis-
covery contract traded or executed on an electronic trading facility,’’ 
after ‘‘5b(d)(2)’’. 
(l) Section 5e of such Act (7 U.S.C. 7b) is amended by inserting 
‘‘, or revocation of the right of an electronic trading facility to 
rely on the exemption set forth in section 2(h)(3) with respect 
to a significant price discovery contract,’’ after ‘‘revocation of des-
ignation as a registered entity’’. 
(m) Section 6(b) of the Commodity Exchange Act (7 U.S.C. 
8(b)) is amended by striking the first sentence and all that follows 
through ‘‘hearing on the record: Provided,’’ and inserting the fol-
lowing: 
‘‘The Commission is authorized to suspend for a period not 
to exceed 6 months or to revoke the designation or registration 
of any contract market or derivatives transaction execution facility, 
or to revoke the right of an electronic trading facility to rely on 
the exemption set forth in section 2(h)(3) with respect to a signifi-
cant price discovery contract, on a showing that the contract market 
or derivatives transaction execution facility is not enforcing or has 
not enforced its rules of government, made a condition of its designa-
tion or registration as set forth in sections 5 through 5b or section 
5f, or that the contract market or derivatives transaction execution 
facility or electronic trading facility, or any director, officer, agent, 
or employee thereof, otherwise is violating or has violated any 
of the provisions of this Act or any of the rules, regulations, or 
orders of the Commission thereunder. Such suspension or revocation 
shall only be made after a notice to the officers of the contract 
market or derivatives transaction execution facility or electronic 
trading facility affected and upon a hearing on the record: Pro-
vided,’’. 
(n) Section 22(b)(1) of such Act (7 U.S.C. 25(b)(1)) is amended 
by inserting ‘‘section 2(h)(7) or’’ before ‘‘sections 5’’. 
SEC. 13204. EFFECTIVE DATE. 
(a) IN GENERAL.—Except as provided in this section, this sub-
title shall become effective on the date of enactment of this Act. 
(b) SIGNIFICANT PRICE DISCOVERY STANDARDS RULEMAKING.— 
(1) The Commodity Futures Trading Commission shall— 
(A) not later than 180 days after the date of the enact-
ment of this Act, issue a proposed rule regarding the 
implementation of section 2(h)(7) of the Commodity 
Exchange Act; and 
(B) not later than 270 days after the date of enactment 
of this Act, issue a final rule regarding the implementation. 
(2) In its rulemaking pursuant to paragraph (1) of this 
subsection, the Commission shall include the standards, terms, 
and conditions under which an electronic trading facility will 
have the responsibility to notify the Commission that an agree-
ment, contract, or transaction conducted in reliance on the 
exemption provided in section 2(h)(3) of the Commodity 
Exchange Act may perform a price discovery function. 
(c) SIGNIFICANT
PRICE
DISCOVERY
DETERMINATIONS.—With 
respect to any electronic trading facility operating on the effective 
date of the final rule issued pursuant to subsection (b)(1), the 
Review. 
Deadline. 
Deadlines. 
7 USC 2 note. 
Notice. 
Contracts. 
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122 STAT. 1442 
PUBLIC LAW 110–234—MAY 22, 2008 
Commission shall complete a review of the agreements, contracts, 
and transactions of the facility not later than 180 days after that 
effective date to determine whether any such agreement, contract, 
or transaction performs a significant price discovery function. 
TITLE XIV—MISCELLANEOUS 
Subtitle A—Socially Disadvantaged Pro-
ducers and Limited Resource Producers 
SEC. 14001. IMPROVED PROGRAM DELIVERY BY DEPARTMENT OF 
AGRICULTURE ON INDIAN RESERVATIONS. 
Section 2501(g)(1) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 2279(g)(1)) is amended— 
(1) in the first sentence— 
(A) by striking ‘‘Agricultural Stabilization and Con-
servation Service, Soil Conservation Service, and Farmers 
Home Administration offices’’ and inserting ‘‘Farm Service 
Agency and Natural Resources Conservation Service’’; and 
(B) by inserting ‘‘where there has been a need dem-
onstrated’’ after ‘‘include’’; and 
(2) by striking the second sentence. 
SEC. 14002. FORECLOSURE. 
(a) IN GENERAL.—Section 331A of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1981a) is amended: 
(1) by inserting ‘‘(a)’’ after ‘‘SEC. 331A.’’; and 
(2) by adding at the end the following: 
‘‘(b) MORATORIUM.— 
‘‘(1) IN GENERAL.—Subject to the other provisions of this 
subsection, effective beginning on the date of the enactment 
of this subsection, there shall be in effect a moratorium, with 
respect to farmer program loans made under subtitle A, B, 
or C, on all acceleration and foreclosure proceedings instituted 
by the Department of Agriculture against any farmer or rancher 
who— 
‘‘(A) has pending against the Department a claim of 
program discrimination that is accepted by the Department 
as valid; or 
‘‘(B) files a claim of program discrimination that is 
accepted by the Department as valid. 
‘‘(2) WAIVER OF INTEREST AND OFFSETS.—During the period 
of the moratorium, the Secretary shall waive the accrual of 
interest and offsets on all farmer program loans made under 
subtitle A, B, or C for which loan acceleration or foreclosure 
proceedings have been suspended under paragraph (1). 
‘‘(3) TERMINATION OF MORATORIUM.—The moratorium shall 
terminate with respect to a claim of discrimination by a farmer 
or rancher on the earlier of— 
‘‘(A) the date the Secretary resolves the claim; or 
‘‘(B) if the farmer or rancher appeals the decision of 
the Secretary on the claim to a court of competent jurisdic-
tion, the date that the court renders a final decision on 
the claim. 
Effective date. 
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122 STAT. 1443 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(4) FAILURE
TO
PREVAIL.—If a farmer or rancher does 
not prevail on a claim of discrimination described in paragraph 
(1), the farmer or rancher shall be liable for any interest and 
offsets that accrued during the period that loan acceleration 
or foreclosure proceedings have been suspended under para-
graph (1).’’. 
(b) FORECLOSURE REPORT.— 
(1) IN
GENERAL.—Not later than 1 year after the date 
of the enactment of this Act, the Inspector General of the 
Department of Agriculture (referred to in this subsection as 
the ‘‘Inspector General’’) shall determine whether decisions of 
the Department to implement foreclosure proceedings with 
respect to farmer program loans made under subtitle A, B, 
or C of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1922 et seq.) to socially disadvantaged farmers or 
ranchers during the 5-year period preceding the date of the 
enactment of this Act were consistent and in conformity with 
the applicable laws (including regulations) governing loan fore-
closures. 
(2) REPORT.—Not later than 1 year after the date of the 
enactment of this Act, the Inspector General 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 that describes the determination of 
the Inspector General under paragraph (1). 
SEC. 14003. RECEIPT FOR SERVICE OR DENIAL OF SERVICE FROM 
CERTAIN DEPARTMENT OF AGRICULTURE AGENCIES. 
Section 2501A of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 2279–1) is amended by adding at 
the end the following new subsection: 
‘‘(e) RECEIPT
FOR SERVICE
OR DENIAL
OF SERVICE.—In any 
case in which a current or prospective producer or landowner, 
in person or in writing, requests from the Farm Service Agency, 
the Natural Resources Conservation Service, or an agency of the 
Rural Development Mission Area any benefit or service offered 
by the Department to agricultural producers or landowners and, 
at the time of the request, also requests a receipt, the Secretary 
shall issue, on the date of the request, a receipt to the producer 
or landowner that contains— 
‘‘(1) the date, place, and subject of the request; and 
‘‘(2) the action taken, not taken, or recommended to the 
producer or landowner.’’. 
SEC. 14004. OUTREACH AND TECHNICAL ASSISTANCE FOR SOCIALLY 
DISADVANTAGED FARMERS OR RANCHERS. 
(a) OUTREACH AND TECHNICAL ASSISTANCE PROGRAM.— 
(1) PROGRAM
REQUIREMENTS.—Paragraph (2) of section 
2501(a) of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 2279(a)) is amended to read as follows: 
‘‘(2) REQUIREMENTS.—The outreach and technical assist-
ance program under paragraph (1) shall be used exclusively— 
‘‘(A) to enhance coordination of the outreach, technical 
assistance, and education efforts authorized under agri-
culture programs; and 
‘‘(B) to assist the Secretary in— 
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122 STAT. 1444 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) reaching current and prospective socially dis-
advantaged farmers or ranchers in a linguistically 
appropriate manner; and 
‘‘(ii) improving the participation of those farmers 
and ranchers in Department programs, as reported 
under section 2501A.’’. 
(2) GRANTS
AND
CONTRACTS
UNDER
PROGRAM.—Section 
2501(a)(3) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 2279(a)(3)) is amended— 
(A) in subparagraph (A), by striking ‘‘entity to provide 
information’’ and inserting ‘‘entity that has demonstrated 
an ability to carry out the requirements described in para-
graph (2) to provide outreach’’; and 
(B) by adding at the end the following new subpara-
graph: 
‘‘(D) REPORT.—The Secretary shall submit to the Com-
mittee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of 
the Senate, and make publicly available, an annual report 
that includes a list of the following: 
‘‘(i) The recipients of funds made available under 
the program. 
‘‘(ii) The activities undertaken and services pro-
vided. 
‘‘(iii) The number of current and prospective 
socially disadvantaged farmers or ranchers served and 
outcomes of such service. 
‘‘(iv) The problems and barriers identified by enti-
ties in trying to increase participation by current and 
prospective 
socially 
disadvantaged 
farmers 
or 
ranchers.’’. 
(3) FUNDING AND LIMITATION ON USE OF FUNDS.—Section 
2501(a)(4) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 2279(a)(4)) is amended— 
(A) by striking subparagraph (A) and inserting the 
following new subparagraph: 
‘‘(A) IN
GENERAL.—Of the funds of the Commodity 
Credit Corporation, the Secretary shall make available to 
carry out this section— 
‘‘(i) $15,000,000 for fiscal year 2009; and 
‘‘(ii) $20,000,000 for each of fiscal years 2010 
through 2012.’’. 
(B) by adding at the end the following new subpara-
graph: 
‘‘(C) LIMITATION ON USE OF FUNDS FOR ADMINISTRATIVE 
EXPENSES.—Not more than 5 percent of the amounts made 
available under subparagraph (A) for a fiscal year may 
be used for expenses related to administering the program 
under this section.’’. 
(b) ELIGIBLE ENTITY DEFINED.—Section 2501(e)(5)(A)(ii) of the 
Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
2279(e)(5)(A)(ii)) is amended by striking ‘‘work with socially dis-
advantaged farmers or ranchers during the 2-year period’’ and 
inserting ‘‘work with, and on behalf of, socially disadvantaged 
farmers or ranchers during the 3-year period’’. 
Public 
information. 
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122 STAT. 1445 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 14005. ACCURATE DOCUMENTATION IN THE CENSUS OF AGRI-
CULTURE AND CERTAIN STUDIES. 
Section 2501 of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 2279) is amended by adding at the end 
the following: 
‘‘(h) ACCURATE DOCUMENTATION.—The Secretary shall ensure, 
to the maximum extent practicable, that the Census of Agriculture 
and studies carried out by the Economic Research Service accurately 
document the number, location, and economic contributions of 
socially disadvantaged farmers or ranchers in agricultural produc-
tion.’’. 
SEC. 14006. TRANSPARENCY AND ACCOUNTABILITY FOR SOCIALLY DIS-
ADVANTAGED FARMERS OR RANCHERS. 
Section 2501A of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 2279–1) is amended by striking sub-
section (c) and inserting the following new subsections: 
‘‘(c) COMPILATION OF PROGRAM PARTICIPATION DATA.— 
‘‘(1) ANNUAL REQUIREMENT.—For each county and State 
in the United States, the Secretary of Agriculture (referred 
to in this section as the ‘Secretary’) shall annually compile 
program application and participation rate data regarding 
socially disadvantaged farmers or ranchers by computing for 
each program of the Department of Agriculture that serves 
agricultural producers and landowners— 
‘‘(A) raw numbers of applicants and participants by 
race, ethnicity, and gender, subject to appropriate privacy 
protections, as determined by the Secretary; and 
‘‘(B) the application and participation rate, by race, 
ethnicity, and gender, as a percentage of the total participa-
tion rate of all agricultural producers and landowners. 
‘‘(2) AUTHORITY TO COLLECT DATA.—The heads of the agen-
cies of the Department of Agriculture shall collect and transmit 
to the Secretary any data, including data on race, gender, 
and ethnicity, that the Secretary determines to be necessary 
to carry out paragraph (1). 
‘‘(3) REPORT.—Using the technologies and systems of the 
National Agricultural Statistics Service, the Secretary shall 
compile and present the data compiled under paragraph (1) 
for each program described in that paragraph in a manner 
that includes the raw numbers and participation rates for— 
‘‘(A) the entire United States; 
‘‘(B) each State; and 
‘‘(C) each county in each State. 
‘‘(4) PUBLIC AVAILABILITY OF REPORT.—The Secretary shall 
maintain and make readily available to the public, via website 
and otherwise in electronic and paper form, the report described 
in paragraph (3). 
‘‘(d) LIMITATIONS ON USE OF DATA.— 
‘‘(1) PRIVACY PROTECTIONS.—In carrying out this section, 
the Secretary shall not disclose the names or individual data 
of any program participant. 
‘‘(2) AUTHORIZED USES.—The data under this section shall 
be used exclusively for the purposes described in subsection 
(a). 
Web site. 
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122 STAT. 1446 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) LIMITATION.—Except as otherwise provided, the data 
under this section shall not be used for the evaluation of 
individual applications for assistance.’’. 
SEC. 14007. OVERSIGHT AND COMPLIANCE. 
The Secretary, acting through the Assistant Secretary for Civil 
Rights of the Department of Agriculture, shall use the reports 
described in subsection (c) of section 2501A of the Food, Agriculture, 
Conservation, and Trade Act of 1990 (7 U.S.C. 2279–1), as amended 
by section 14006, in the conduct of oversight and evaluation of 
civil rights compliance. 
SEC. 14008. MINORITY FARMER ADVISORY COMMITTEE. 
(a) ESTABLISHMENT.—Not later than 18 months after the date 
of the enactment of this Act, the Secretary of Agriculture shall 
establish an advisory committee, to be known as the ‘‘Advisory 
Committee on Minority Farmers’’ (in this section referred to as 
the ‘‘Committee’’). 
(b) DUTIES.—The Committee shall provide advice to the Sec-
retary on— 
(1) the implementation of section 2501 of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279); 
(2) methods of maximizing the participation of minority 
farmers and ranchers in Department of Agriculture programs; 
and 
(3) civil rights activities within the Department as such 
activities relate to participants in such programs. 
(c) MEMBERSHIP.— 
(1) IN GENERAL.—The Committee shall be composed of not 
more than 15 members, who shall be appointed by the Sec-
retary, and shall include— 
(A) not less than four socially disadvantaged farmers 
or ranchers (as defined in section 2501(e)(2) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
2279(e)(2))); 
(B) not less than two representatives of nonprofit 
organizations with a history of working with minority 
farmers and ranchers; 
(C) not less than two civil rights professionals; 
(D) not less than two representatives of institutions 
of higher education with demonstrated experience working 
with minority farmers and ranchers; and 
(E) such other persons as the Secretary considers 
appropriate. 
(2) EX-OFFICIO MEMBERS.—The Secretary may appoint such 
employees of the Department of Agriculture as the Secretary 
considers appropriate to serve as ex-officio members of the 
Committee. 
SEC. 14009. NATIONAL APPEALS DIVISION. 
Section 280 of the Department of Agriculture Reorganization 
Act of 1994 (7 U.S.C. 7000) is amended— 
(1) by striking ‘‘On the return’’ and inserting the following: 
‘‘(a) IN GENERAL.—On the return’’; and 
(2) by adding at the end the following: 
‘‘(b) REPORTS.— 
Deadline. 
7 USC 2279 note. 
7 USC 2279–1 
note. 
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122 STAT. 1447 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN GENERAL.—Not later than 180 days after the date 
of the enactment of this subsection, and every 180 days there-
after, the head of each agency shall submit to the Committee 
on Agriculture of the House of Representatives and the Com-
mittee on Agriculture, Nutrition, and Forestry of the Senate, 
and publish on the website of the Department, a report that 
includes— 
‘‘(A) a description of all cases returned to the agency 
during the period covered by the report pursuant to a 
final determination of the Division; 
‘‘(B) the status of implementation of each final deter-
mination; and 
‘‘(C) if the final determination has not been imple-
mented— 
‘‘(i) the reason that the final determination has 
not been implemented; and 
‘‘(ii) the projected date of implementation of the 
final determination. 
‘‘(2) UPDATES.—Each month, the head of each agency shall 
publish on the website of the Department any updates to the 
reports submitted under paragraph (1).’’. 
SEC. 14010. REPORT OF CIVIL RIGHTS COMPLAINTS, RESOLUTIONS, 
AND ACTIONS. 
Each year, the Secretary shall— 
(1) prepare a report that describes, for each agency of 
the Department of Agriculture— 
(A) the number of civil rights complaints filed that 
relate to the agency, including whether a complaint is 
a program complaint or an employment complaint; 
(B) the length of time the agency took to process each 
civil rights complaint; 
(C) the number of proceedings brought against the 
agency, including the number of complaints described in 
paragraph (1) that were resolved with a finding of discrimi-
nation; and 
(D) the number and type of personnel actions taken 
by the agency following resolution of civil rights complaints; 
(2) submit to the Committee on Agriculture of the House 
of Representatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate a copy of the report; and 
(3) make the report available to the public by posting 
the report on the website of the Department. 
SEC. 14011. SENSE OF CONGRESS RELATING TO CLAIMS BROUGHT 
BY SOCIALLY DISADVANTAGED FARMERS OR RANCHERS. 
It is the sense of Congress that all pending claims and class 
actions brought against the Department of Agriculture by socially 
disadvantaged farmers or ranchers (as defined in section 355(e) 
of the Consolidated Farm and Rural Development Act (7 U.S.C. 
2003(e)), including Native American, Hispanic, and female farmers 
or ranchers, based on racial, ethnic, or gender discrimination in 
farm program participation should be resolved in an expeditious 
and just manner. 
SEC. 14012. DETERMINATION ON MERITS OF PIGFORD CLAIMS. 
(a) DEFINITIONS.—In this section: 
Public 
information. 
Web site. 
7 USC 2279–2. 
Web site. 
Web site. 
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122 STAT. 1448 
PUBLIC LAW 110–234—MAY 22, 2008 
(1) CONSENT DECREE.—The term ‘‘consent decree’’ means 
the consent decree in the case of Pigford v. Glickman, approved 
by the United States District Court for the District of Columbia 
on April 14, 1999. 
(2) DEPARTMENT.—The term ‘‘Department’’ means the 
Department of Agriculture. 
(3) PIGFORD CLAIM.—The term ‘‘Pigford claim’’ means a 
discrimination complaint, as defined by section 1(h) of the con-
sent decree and documented under section 5(b) of the consent 
decree. 
(4) PIGFORD
CLAIMANT.—The term ‘‘Pigford claimant’’ 
means an individual who previously submitted a late-filing 
request under section 5(g) of the consent decree. 
(b) DETERMINATION
ON MERITS.—Any Pigford claimant who 
has not previously obtained a determination on the merits of a 
Pigford claim may, in a civil action brought in the United States 
District Court for the District of Columbia, obtain that determina-
tion. 
(c) LIMITATION.— 
(1) IN GENERAL.—Subject to paragraph (2), all payments 
or debt relief (including any limitation on foreclosure under 
subsection (h)) shall be made exclusively from funds made 
available under subsection (i). 
(2) MAXIMUM AMOUNT.—The total amount of payments and 
debt relief pursuant to actions commenced under subsection 
(b) shall not exceed $100,000,000. 
(d) INTENT OF CONGRESS AS TO REMEDIAL NATURE OF SEC-
TION.—It is the intent of Congress that this section be liberally 
construed so as to effectuate its remedial purpose of giving a full 
determination on the merits for each Pigford claim previously 
denied that determination. 
(e) LOAN DATA.— 
(1) REPORT TO PERSON SUBMITTING PETITION.— 
(A) IN GENERAL.—Not later than 120 days after the 
Secretary receives notice of a complaint filed by a claimant 
under subsection (b), the Secretary shall provide to the 
claimant a report on farm credit loans and noncredit bene-
fits, as appropriate, made within the claimant’s county 
(or if no documents are found, within an adjacent county 
as determined by the claimant), by the Department during 
the period beginning on January 1 of the year preceding 
the period covered by the complaint and ending on 
December 31 of the year following the period. 
(B) REQUIREMENTS.—A report under subparagraph (A) 
shall contain information on all persons whose application 
for a loan or benefit was accepted, including— 
(i) the race of the applicant; 
(ii) the date of application; 
(iii) the date of the loan or benefit decision, as 
appropriate; 
(iv) the location of the office making the loan or 
benefit decision, as appropriate; 
(v) all data relevant to the decisionmaking process 
for the loan or benefit, as appropriate; and 
(vi) all data relevant to the servicing of the loan 
or benefit, as appropriate. 
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122 STAT. 1449 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) NO
PERSONALLY
IDENTIFIABLE
INFORMATION.—The 
reports provided pursuant to paragraph (1) shall not contain 
any information that would identify any person who applied 
for a loan from the Department. 
(3) REPORTING DEADLINE.— 
(A) IN GENERAL.—The Secretary shall— 
(i) provide to claimants the reports required under 
paragraph (1) as quickly as practicable after the Sec-
retary receives notice of a complaint filed by a claimant 
under subsection (b); and 
(ii) devote such resources of the Department as 
are necessary to make providing the reports expedi-
tiously a high priority of the Department. 
(B) EXTENSION.—A court may extend the deadline for 
providing the report required in a particular case under 
paragraph (1) if the Secretary establishes that meeting 
the deadline is not feasible and demonstrates a continuing 
effort and commitment to provide the required report 
expeditiously. 
(f) EXPEDITED RESOLUTIONS AUTHORIZED.— 
(1) IN GENERAL.—Any person filing a complaint under this 
section for discrimination in the application for, or making 
or servicing of, a farm loan, at the discretion of the person, 
may seek liquidated damages of $50,000, discharge of the debt 
that was incurred under, or affected by, the 1 or more programs 
that were the subject of the 1 or more discrimination claims 
that are the subject of the person’s complaint, and a tax pay-
ment in the amount equal to 25 percent of the liquidated 
damages and loan principal discharged, in which case— 
(A) if only such damages, debt discharge, and tax pay-
ment are sought, the complainant shall be able to prove 
the case of the complainant by substantial evidence (as 
defined in section 1(l) of the consent decree); and 
(B) the court shall decide the case based on a review 
of documents submitted by the complainant and defendant 
relevant to the issues of liability and damages. 
(2) NONCREDIT CLAIMS.— 
(A) STANDARD.—In any case in which a claimant 
asserts a noncredit claim under a benefit program of the 
Department, the court shall determine the merits of the 
claim in accordance with section 9(b)(i) of the consent 
decree. 
(B) RELIEF.—A claimant who prevails on a claim of 
discrimination involving a noncredit benefit program of 
the Department shall be entitled to a payment by the 
Department in a total amount of $3,000, without regard 
to the number of such claims on which the claimant pre-
vails. 
(g) ACTUAL DAMAGES.—A claimant who files a claim under 
this section for discrimination under subsection (b) but not under 
subsection (f) and who prevails on the claim shall be entitled 
to actual damages sustained by the claimant. 
(h) LIMITATION ON FORECLOSURES.—Notwithstanding any other 
provision of law, during the pendency of a Pigford claim, the Sec-
retary may not begin acceleration on or foreclosure of a loan if— 
(1) the borrower is a Pigford claimant; and 
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122 STAT. 1450 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) makes a prima facie case in an appropriate administra-
tive proceeding that the acceleration or foreclosure is related 
to a Pigford claim. 
(i) FUNDING.— 
(1) IN GENERAL.—Of the funds of the Commodity Credit 
Corporation, the Secretary shall make available for payments 
and debt relief in satisfaction of claims against the United 
States under subsection (b) and for any actions under subsection 
(g) $100,000,000 for fiscal year 2008, to remain available until 
expended. 
(2) AUTHORIZATION
OF
APPROPRIATIONS.—In addition to 
funds made available under paragraph (1), there are authorized 
to be appropriated such sums as are necessary to carry out 
this section. 
(j) REPORTING REQUIREMENTS.— 
(1) IN GENERAL.—Not later than 180 days after the date 
of the enactment of this Act and every 180 days thereafter 
until the funds made available under subsection (i) are depleted, 
the Secretary shall submit to the Committee on the Judiciary 
of the House of Representatives and the Committee on the 
Judiciary of the Senate a report that describes the status of 
available funds under subsection (i) and the number of pending 
claims under subsection (f). 
(2) DEPLETION
OF
FUNDS
REPORT.—In addition to the 
reports required under paragraph (1), the Secretary shall 
submit to the Committee on the Judiciary of the House of 
Representatives and the Committee on the Judiciary of the 
Senate a report that notifies the Committees when 75 percent 
of the funds made available under subsection (i)(1) have been 
depleted. 
(k) TERMINATION OF AUTHORITY.—The authority to file a claim 
under this section terminates 2 years after the date of the enact-
ment of this Act. 
SEC. 14013. OFFICE OF ADVOCACY AND OUTREACH. 
(a) IN GENERAL.—The Department of Agriculture Reorganiza-
tion Act of 1994 is amended by inserting after section 226A (7 
U.S.C. 6933) the following: 
‘‘SEC. 226B. OFFICE OF ADVOCACY AND OUTREACH. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BEGINNING FARMER OR RANCHER.—The term ‘beginning 
farmer or rancher’ has the meaning given the term in section 
343(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1991(a)). 
‘‘(2) OFFICE.—The term ‘Office’ means the Office of 
Advocacy and Outreach established under this section. 
‘‘(3) SOCIALLY DISADVANTAGED FARMER OR RANCHER.—The 
term ‘socially disadvantaged farmer or rancher’ has the 
meaning given the term in section 2501(e) of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e)). 
‘‘(b) ESTABLISHMENT AND PURPOSE.— 
‘‘(1) IN GENERAL.—The Secretary shall establish within the 
executive operations of the Department an office to be known 
as the ‘Office of Advocacy and Outreach’— 
‘‘(A) to improve access to programs of the Department; 
and 
‘‘(B) to improve the viability and profitability of— 
7 USC 6934. 
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122 STAT. 1451 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) small farms and ranches; 
‘‘(ii) beginning farmers or ranchers; and 
‘‘(iii) socially disadvantaged farmers or ranchers. 
‘‘(2) DIRECTOR.—The Office shall be headed by a Director, 
to be appointed by the Secretary from among the competitive 
service. 
‘‘(c) DUTIES.—The duties of the Office shall be to ensure small 
farms and ranches, beginning farmers or ranchers, and socially 
disadvantaged farmers or ranchers access to, and equitable partici-
pation in, programs and services of the Department by— 
‘‘(1) establishing and monitoring the goals and objectives 
of the Department to increase participation in programs of 
the Department by small, beginning, or socially disadvantaged 
farmers or ranchers; 
‘‘(2) assessing the effectiveness of Department outreach 
programs; 
‘‘(3) developing and implementing a plan to coordinate out-
reach activities and services provided by the Department; 
‘‘(4) providing input to the agencies and offices on pro-
grammatic and policy decisions; 
‘‘(5) measuring outcomes of the programs and activities 
of the Department on small farms and ranches, beginning 
farmers or ranchers, and socially disadvantaged farmers or 
ranchers programs; 
‘‘(6) recommending new initiatives and programs to the 
Secretary; and 
‘‘(7) carrying out any other related duties that the Secretary 
determines to be appropriate. 
‘‘(d) SOCIALLY DISADVANTAGED FARMERS GROUP.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish within 
the Office the Socially Disadvantaged Farmers Group. 
‘‘(2) OUTREACH AND ASSISTANCE.—The Socially Disadvan-
taged Farmers Group— 
‘‘(A) shall carry out section 2501 of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C. 
2279); and 
‘‘(B) in the case of activities described in section 2501(a) 
of that Act, may conduct such activities through other 
agencies and offices of the Department. 
‘‘(3) 
SOCIALLY
DISADVANTAGED
FARMERS
AND
FARM-
WORKERS.—The Socially Disadvantaged Farmers Group shall 
oversee the operations of— 
‘‘(A) the Advisory Committee on Minority Farmers 
established under section 14009 of the Food, Conservation, 
and Energy Act of 2008; and 
‘‘(B) the position of Farmworker Coordinator estab-
lished under subsection (f). 
‘‘(4) OTHER DUTIES.— 
‘‘(A) 
IN
GENERAL.—The 
Socially 
Disadvantaged 
Farmers Group may carry out other duties to improve 
access to, and participation in, programs of the Department 
by socially disadvantaged farmers or ranchers, as deter-
mined by the Secretary. 
‘‘(B) OFFICE OF OUTREACH AND DIVERSITY.—The Office 
of Advocacy and Outreach shall carry out the functions 
and duties of the Office of Outreach and Diversity carried 
out by the Assistant Secretary for Civil Rights as such 
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122 STAT. 1452 
PUBLIC LAW 110–234—MAY 22, 2008 
functions and duties existed immediately before the date 
of the enactment of this section. 
‘‘(e) SMALL FARMS AND BEGINNING FARMERS AND RANCHERS 
GROUP.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish within 
the Office the Small Farms and Beginning Farmers and 
Ranchers Group. 
‘‘(2) DUTIES.— 
‘‘(A) OVERSEE OFFICES.—The Small Farms and Begin-
ning Farmers and Ranchers Group shall oversee the oper-
ations of the Office of Small Farms Coordination estab-
lished by Departmental Regulation 9700-1 (August 3, 2006). 
‘‘(B) BEGINNING FARMER AND RANCHER DEVELOPMENT 
PROGRAM.—The Small Farms and Beginning Farmers and 
Ranchers Group shall consult with the National Institute 
for Food and Agriculture on the administration of the begin-
ning farmer and rancher development program established 
under section 7405 of the Farm Security and Rural Invest-
ment Act of 2002 (7 U.S.C. 3319f). 
‘‘(C) ADVISORY
COMMITTEE
FOR
BEGINNING
FARMERS 
AND RANCHERS.—The Small Farms and Beginning Farmers 
and Ranchers Group shall coordinate the activities of the 
Group with the Advisory Committee for Beginning Farmers 
and Ranchers established under section 5(b) of the Agricul-
tural Credit Improvement Act of 1992 (7 U.S.C. 1621 note; 
Public Law 102–554). 
‘‘(D) OTHER DUTIES.—The Small Farms and Beginning 
Farmers and Ranchers Group may carry out other duties 
to improve access to, and participation in, programs of 
the Department by small farms and ranches and beginning 
farmers or ranchers, as determined by the Secretary. 
‘‘(f) FARMWORKER COORDINATOR.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall establish within 
the Office the position of Farmworker Coordinator (referred 
to in this subsection as the ‘Coordinator’). 
‘‘(2) DUTIES.—The Secretary shall delegate to the Coordi-
nator responsibility for the following: 
‘‘(A) Assisting in administering the program estab-
lished by section 2281 of the Food, Agriculture, Conserva-
tion, and Trade Act of 1990 (42 U.S.C. 5177a). 
‘‘(B) Serving as a liaison to community-based nonprofit 
organizations that represent and have demonstrated 
experience serving low-income migrant and seasonal farm-
workers. 
‘‘(C) Coordinating with the Department, other Federal 
agencies, and State and local governments to ensure that 
farmworker needs are assessed and met during declared 
disasters and other emergencies. 
‘‘(D) Consulting within the Office and with other enti-
ties to better integrate farmworker perspectives, concerns, 
and interests into the ongoing programs of the Department. 
‘‘(E) Consulting with appropriate institutions on 
research, program improvements, or agricultural education 
opportunities that assist low-income and migrant seasonal 
farmworkers. 
‘‘(F) Assisting farmworkers in becoming agricultural 
producers or landowners. 
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122 STAT. 1453 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) 
AUTHORIZATION
OF
APPROPRIATIONS.—There 
are 
authorized to be appropriated such sums as are necessary to 
carry out this subsection for each of fiscal years 2009 through 
2012.’’. 
(b) CONFORMING AMENDMENT.—Section 296(b) of the Depart-
ment of Agriculture Reorganization Act of 1994 (7 U.S.C. 7014(b)), 
as amended by section 7511(b), is further amended— 
(1) in paragraph (5), by striking ‘‘; or’’ and inserting ‘‘;’’; 
(2) in paragraph (6), by striking the period and inserting 
‘‘; or’’; and 
(3) by adding at the end the following new paragraph: 
‘‘(7) the authority of the Secretary to establish in the 
Department the Office of Advocacy and Outreach in accordance 
with section 226B.’’. 
Subtitle B—Agricultural Security 
SEC. 14101. SHORT TITLE. 
This subtitle may be cited as the ‘‘Agricultural Security 
Improvement Act of 2008’’. 
SEC. 14102. DEFINITIONS. 
In this subtitle: 
(1) AGENT.—The term ‘‘agent’’ means a nuclear, biological, 
chemical, or radiological substance that causes agricultural dis-
ease or the adulteration of products regulated by the Secretary 
of Agriculture under any provision of law. 
(2) AGRICULTURAL
BIOSECURITY.—The term ‘‘agricultural 
biosecurity’’ means protection from an agent that poses a threat 
to— 
(A) plant or animal health; 
(B) public health as it relates to the adulteration of 
products regulated by the Secretary of Agriculture under 
any provision of law that is caused by exposure to an 
agent; or 
(C) the environment as it relates to agriculture facili-
ties, farmland, and air and water within the immediate 
vicinity of an area associated with an agricultural disease 
or outbreak. 
(3) AGRICULTURAL COUNTERMEASURE.—The term ‘‘agricul-
tural countermeasure’’— 
(A) means a product, practice, or technology that is 
intended to enhance or maintain the agricultural biosecu-
rity of the United States; and 
(B) does not include a product, practice, or technology 
used solely in response to a human medical incident or 
public health emergency not related to agriculture. 
(4) AGRICULTURAL DISEASE.—The term ‘‘agricultural dis-
ease’’ has the meaning given the term by the Secretary. 
(5) AGRICULTURAL DISEASE EMERGENCY.—The term ‘‘agri-
cultural disease emergency’’ means an incident of agricultural 
disease that requires prompt action to prevent significant dam-
age to people, plants, or animals. 
(6) AGROTERRORIST
ACT.—The term ‘‘agroterrorist act’’ 
means an act that— 
(A) causes or attempts to cause— 
7 USC 8901. 
Agricultural 
Security 
Improvement 
Act of 2008. 
7 USC 8901 note. 
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122 STAT. 1454 
PUBLIC LAW 110–234—MAY 22, 2008 
(i) damage to agriculture; or 
(ii) injury to a person associated with agriculture; 
and 
(B) is committed or appears to be committed with 
the intent to— 
(i) intimidate or coerce a civilian population; or 
(ii) disrupt the agricultural industry in order to 
influence the policy of a government by intimidation 
or coercion. 
(7) ANIMAL.—The term ‘‘animal’’ has the meaning given 
the term in section 10403 of the Animal Health Protection 
Act of 2002 (7 U.S.C. 8302). 
(8) DEPARTMENT.—The term ‘‘Department’’ means the 
Department of Agriculture. 
(9) DEVELOPMENT.—The term ‘‘development’’ means— 
(A) research leading to the identification of products 
or technologies intended for use as agricultural counter-
measures to protect animal health; 
(B) the formulation, production, and subsequent modi-
fication of those products or technologies; 
(C) the conduct of in vitro and in vivo studies; 
(D) the conduct of field, efficacy, and safety studies; 
(E) the preparation of an application for marketing 
approval for submission to an applicable agency; or 
(F) other actions taken by an applicable agency in 
a case in which an agricultural countermeasure is procured 
or used prior to issuance of a license or other form of 
Federal Government approval. 
(10) PLANT.—The term ‘‘plant’’ has the meaning given the 
term in section 411 of the Plant Protection Act of 2000 (7 
U.S.C. 7702). 
(11) QUALIFIED
AGRICULTURAL
COUNTERMEASURE.—The 
term ‘‘qualified agricultural countermeasure’’ means an agricul-
tural countermeasure that the Secretary, in consultation with 
the Secretary of Homeland Security, determines to be a priority 
in order to address an agricultural biosecurity threat. 
CHAPTER 1—AGRICULTURAL SECURITY 
SEC. 14111. OFFICE OF HOMELAND SECURITY. 
(a) ESTABLISHMENT.—There is established within the Depart-
ment the Office of Homeland Security (in this section referred 
to as the ‘‘Office’’). 
(b) DIRECTOR.—The Office shall be headed by a Director of 
Homeland Security, who shall be appointed by the Secretary. 
(c) RESPONSIBILITIES.—The Director of Homeland Security 
shall— 
(1) coordinate all homeland security activities of the 
Department, including integration and coordination of inter-
agency emergency response plans for— 
(A) agricultural disease emergencies; 
(B) agroterrorist acts; and 
(C) other threats to agricultural biosecurity; 
(2) act as the primary liaison on behalf of the Department 
with other Federal departments and agencies on the coordina-
tion of efforts and interagency activities pertaining to agricul-
tural biosecurity; and 
7 USC 8911. 
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122 STAT. 1455 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) advise the Secretary on policies, regulations, processes, 
budget, and actions pertaining to homeland security. 
SEC. 14112. AGRICULTURAL BIOSECURITY COMMUNICATION CENTER. 
(a) ESTABLISHMENT.—The Secretary shall establish a commu-
nication center within the Department to— 
(1) collect and disseminate information and prepare for 
an agricultural disease emergency, agroterrorist act, or other 
threat to agricultural biosecurity; and 
(2) coordinate activities described in paragraph (1) among 
agencies and offices within the Department. 
(b) RELATION TO EXISTING DHS COMMUNICATION SYSTEMS.— 
(1) CONSISTENCY AND COORDINATION.—The communication 
center established under subsection (a) shall, to the maximum 
extent practicable, share and coordinate the dissemination of 
timely information with the Department of Homeland Security 
and other communication systems of appropriate Federal 
departments and agencies. 
(2) AVOIDING REDUNDANCIES.—Paragraph (1) shall not be 
construed to impede, conflict with, or duplicate the communica-
tions activities performed by the Secretary of Homeland Secu-
rity under any provision of law. 
(c) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated such sums as may be necessary to carry out 
this section for each of fiscal years 2008 through 2012. 
SEC. 14113. ASSISTANCE TO BUILD LOCAL CAPACITY IN AGRICUL-
TURAL BIOSECURITY PLANNING, PREPAREDNESS, AND 
RESPONSE. 
(a) ADVANCED TRAINING PROGRAMS.— 
(1) GRANT ASSISTANCE.—The Secretary shall establish a 
competitive grant program to support the development and 
expansion of advanced training programs in agricultural bio-
security planning and response for food science professionals 
and veterinarians. 
(2) AUTHORIZATION OF APPROPRIATIONS.—There are author-
ized to be appropriated to the Secretary such sums as may 
be necessary to carry out this subsection for each of fiscal 
years 2008 through 2012. 
(b) ASSESSMENT OF RESPONSE CAPABILITY.— 
(1) GRANT
AND
LOAN
ASSISTANCE.—The Secretary shall 
establish a competitive grant and low-interest loan assistance 
program to assist States in assessing agricultural disease 
response capability. 
(2) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out this subsection $25,000,000 
for each of fiscal years 2008 through 2012. 
CHAPTER 2—OTHER PROVISIONS 
SEC. 14121. RESEARCH AND DEVELOPMENT OF AGRICULTURAL 
COUNTERMEASURES. 
(a) GRANT PROGRAM.— 
(1) COMPETITIVE
GRANT
PROGRAM.—The Secretary shall 
establish a competitive grant program to encourage basic and 
applied research and the development of qualified agricultural 
countermeasures. 
7 USC 8921. 
7 USC 8913. 
7 USC 8912. 
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122 STAT. 1456 
PUBLIC LAW 110–234—MAY 22, 2008 
(2) WAIVER IN EMERGENCIES.—The Secretary may waive 
the requirement under paragraph (1) that a grant be provided 
on a competitive basis if— 
(A) the Secretary has declared a plant or animal dis-
ease emergency under the Plant Protection Act (7 U.S.C. 
7701 et seq.) or the Animal Health Protection Act (7 U.S.C. 
8301 et seq.); and 
(B) waiving the requirement would lead to the rapid 
development of a qualified agricultural countermeasure, 
as determined by the Secretary. 
(b) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to carry out this section $50,000,000 for each 
of fiscal years 2008 through 2012. 
SEC. 14122. AGRICULTURAL BIOSECURITY GRANT PROGRAM. 
(a) COMPETITIVE GRANT PROGRAM.—The Secretary shall estab-
lish a competitive grant program to promote the development of 
teaching programs in agriculture, veterinary medicine, and dis-
ciplines closely allied to the food and agriculture system to increase 
the number of trained individuals with an expertise in agricultural 
biosecurity. 
(b) ELIGIBILITY.—The Secretary may award a grant under this 
section only to an entity that is— 
(1) an accredited school of veterinary medicine; or 
(2) a department of an institution of higher education with 
a primary focus on— 
(A) comparative medicine; 
(B) veterinary science; or 
(C) agricultural biosecurity. 
(c) PREFERENCE.—The Secretary shall give preference in 
awarding grants based on the ability of an applicant— 
(1) to increase the number of veterinarians or individuals 
with advanced degrees in food and agriculture disciplines who 
are trained in agricultural biosecurity practice areas; 
(2) to increase research capacity in areas of agricultural 
biosecurity; or 
(3) to fill critical agricultural biosecurity shortage situations 
outside of the Federal Government. 
(d) USE OF FUNDS..— 
(1) IN GENERAL.—Amounts received under this section shall 
be used by a grantee to pay— 
(A) costs associated with the acquisition of equipment 
and other capital costs relating to the expansion of food, 
agriculture, and veterinary medicine teaching programs 
in agricultural biosecurity; 
(B) capital costs associated with the expansion of aca-
demic programs that offer postgraduate training for veteri-
narians or concurrent training for veterinary students in 
specific areas of specialization; or 
(C) other capacity and infrastructure program costs 
that the Secretary considers appropriate. 
(2) LIMITATION.—Funds received under this section may 
not be used for the construction, renovation, or rehabilitation 
of a building or facility. 
(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated sums as are necessary to carry out this section 
7 USC 8922. 
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122 STAT. 1457 
PUBLIC LAW 110–234—MAY 22, 2008 
for each of fiscal years 2008 through 2012, to remain available 
until expended. 
Subtitle C—Other Miscellaneous 
Provisions 
SEC. 14201. COTTON CLASSIFICATION SERVICES. 
Section 3a of the Act of March 3, 1927 (7 U.S.C. 473a), is 
amended to read as follows: 
‘‘SEC. 3a. COTTON CLASSIFICATION SERVICES. 
‘‘(a) IN GENERAL.—The Secretary of Agriculture (referred to 
in this section as the ‘Secretary’) shall— 
‘‘(1) make cotton classification services available to pro-
ducers of cotton; and 
‘‘(2) provide for the collection of classification fees from 
participating producers or agents that voluntarily agree to col-
lect and remit the fees on behalf of producers. 
‘‘(b) FEES.— 
‘‘(1) USE OF FEES.—Classification fees collected under sub-
section (a)(2) and the proceeds from the sales of samples sub-
mitted under this section shall, to the maximum extent prac-
ticable, be used to pay the cost of the services provided under 
this section, including administrative and supervisory costs. 
‘‘(2) 
ANNOUNCEMENT
OF
FEES.—The 
Secretary 
shall 
announce a uniform classification fee and any applicable sur-
charge for classification services not later than June 1 of the 
year in which the fee applies. 
‘‘(c) CONSULTATION.— 
‘‘(1) IN GENERAL.—In establishing the amount of fees under 
this section, the Secretary shall consult with representatives 
of the United States cotton industry. 
‘‘(2) EXEMPTION.—The Federal Advisory Committee Act (5 
U.S.C. App.) shall not apply to consultations with representa-
tives of the United States cotton industry under this section. 
‘‘(d) CREDITING OF FEES.—Any fees collected under this section 
and under section 3d, late payment penalties, the proceeds from 
the sales of samples, and interest earned from the investment 
of such funds shall— 
‘‘(1) be credited to the current appropriation account that 
incurs the cost of services provided under this section and 
section 3d; and 
‘‘(2) remain available without fiscal year limitation to pay 
the expenses of the Secretary in providing those services. 
‘‘(e) INVESTMENT
OF FUNDS.—Funds described in subsection 
(d) may be invested— 
‘‘(1) by the Secretary in insured or fully collateralized, 
interest-bearing accounts; or 
‘‘(2) at the discretion of the Secretary, by the Secretary 
of the Treasury in United States Government debt instruments. 
‘‘(f) LEASE AGREEMENTS.—Notwithstanding any other provision 
of law, the Secretary may enter into long-term lease agreements 
that exceed 5 years or may take title to property (including through 
purchase agreements) for the purpose of obtaining offices to be 
used for the classification of cotton in accordance with this Act, 
Deadline. 
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122 STAT. 1458 
PUBLIC LAW 110–234—MAY 22, 2008 
if the Secretary determines that action would best effectuate the 
purposes of this Act. 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—To the extent that 
financing is not available from fees and the proceeds from the 
sales of samples, there are authorized to be appropriated such 
sums as are necessary to carry out this section.’’. 
SEC. 14202. DESIGNATION OF STATES FOR COTTON RESEARCH AND 
PROMOTION. 
Section 17(f) of the Cotton Research and Promotion Act (7 
U.S.C. 2116(f)) is amended— 
(1) by striking ‘‘(f) The term’’ and inserting the following: 
‘‘(f) COTTON-PRODUCING STATE.— 
‘‘(1) IN GENERAL.—The term’’; 
(2) by striking ‘‘more, and the term’’ and all that follows 
through the end of the subsection and inserting the following: 
‘‘more. 
‘‘(2) 
INCLUSIONS.—The 
term 
‘cotton-producing 
State’ 
includes— 
‘‘(A) any combination of States described in paragraph 
(1); and 
‘‘(B) effective beginning with the 2008 crop of cotton, 
the States of Kansas, Virginia, and Florida.’’. 
SEC. 
14203. 
GRANTS 
TO 
REDUCE 
PRODUCTION 
OF 
METHAMPHETAMINES FROM ANHYDROUS AMMONIA. 
(a) DEFINITIONS.—In this section: 
(1) ELIGIBLE ENTITY.—The term ‘‘eligible entity’’ means— 
(A) a producer of agricultural commodities; 
(B) a cooperative association, a majority of the mem-
bers of which produce or process agricultural commodities; 
or 
(C) a person in the trade or business of— 
(i) selling an agricultural product (including an 
agricultural chemical) at retail, predominantly to 
farmers and ranchers; or 
(ii) aerial and ground application of an agricultural 
chemical. 
(2) NURSE TANK.—The term ‘‘nurse tank’’ shall be consid-
ered to be a cargo tank (within the meaning of section 
173.315(m) of title 49, Code of Federal Regulations, as in effect 
as of the date of the enactment of this Act). 
(b) GRANT AUTHORITY.—The Secretary may make a grant to 
an eligible entity to enable the eligible entity to obtain and add 
to an anhydrous ammonia fertilizer nurse tank a physical lock 
or a substance to reduce the amount of methamphetamine that 
can be produced from any anhydrous ammonia removed from the 
nurse tank. 
(c) GRANT AMOUNT.—The amount of a grant made under this 
section to an eligible entity shall be the product obtained by multi-
plying— 
(1) an amount not less than $40 and not more than $60, 
as determined by the Secretary; and 
(2) the number of fertilizer nurse tanks of the eligible 
entity. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 
to be appropriated to the Secretary to make grants under this 
21 USC 864a. 
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122 STAT. 1459 
PUBLIC LAW 110–234—MAY 22, 2008 
section $15,000,000 for the period of fiscal years 2008 through 
2012. 
SEC. 14204. GRANTS TO IMPROVE SUPPLY, STABILITY, SAFETY, AND 
TRAINING OF AGRICULTURAL LABOR FORCE. 
(a) DEFINITION OF ELIGIBLE ENTITY.—In this section, the term 
‘‘eligible entity’’ means an entity described in section 379C(a) of 
the Consolidated Farm and Rural Development Act (7 U.S.C. 
2008q(a)). 
(b) GRANTS.— 
(1) IN
GENERAL.—To assist agricultural employers and 
farmworkers by improving the supply, stability, safety, and 
training of the agricultural labor force, the Secretary may pro-
vide grants to eligible entities for use in providing services 
to assist farmworkers who are citizens or otherwise legally 
present in the United States in securing, retaining, upgrading, 
or returning from agricultural jobs. 
(2) ELIGIBLE SERVICES.—The services referred to in para-
graph (1) include— 
(A) agricultural labor skills development; 
(B) the provision of agricultural labor market informa-
tion; 
(C) transportation; 
(D) short-term housing while in transit to an agricul-
tural worksite; 
(E) workplace literacy and assistance with English as 
a second language; 
(F) health and safety instruction, including ways of 
safeguarding the food supply of the United States; and 
(G) such other services as the Secretary determines 
to be appropriate. 
(c) LIMITATION ON ADMINISTRATIVE EXPENSES.—Not more than 
15 percent of the funds made available to carry out this section 
for a fiscal year may be used to pay for administrative expenses. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section for each of fiscal years 2008 through 2012. 
SEC. 14205. AMENDMENT TO THE RIGHT TO FINANCIAL PRIVACY ACT 
OF 1978. 
Section 1113(k) of the Right to Financial Privacy Act of 1978 
(12 U.S.C. 3413(k)) is amended— 
(1) by striking the subsection heading and inserting the 
following: 
‘‘(k) DISCLOSURE NECESSARY FOR PROPER ADMINISTRATION OF 
PROGRAMS OF CERTAIN GOVERNMENT AUTHORITIES.—’’; and 
(2) by striking paragraph (2) and inserting the following: 
‘‘(2) Nothing in this title shall apply to the disclosure by 
the financial institution of information contained in the finan-
cial records of any customer to any Government authority that 
certifies, disburses, or collects payments, where the disclosure 
of such information is necessary to, and such information is 
used solely for the purpose of— 
‘‘(A) verification of the identity of any person or proper 
routing and delivery of funds in connection with the 
issuance of a Federal payment or collection of funds by 
a Government authority; or 
7 USC 2008q–1. 
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122 STAT. 1460 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the investigation or recovery of an improper Fed-
eral payment or collection of funds or an improperly nego-
tiated Treasury check. 
‘‘(3) Notwithstanding any other provision of law, a request 
authorized by paragraph (1) or (2) (and the information con-
tained therein) may be used by the financial institution or 
its agents solely for the purpose of providing information con-
tained in the financial records of the customer to the Govern-
ment authority requesting the information, and the financial 
institution and its agents shall be barred from redisclosure 
of such information. Any Government authority receiving 
information pursuant to paragraph (1) or (2) may not disclose 
or use the information, except for the purposes set forth in 
such paragraph.’’. 
SEC. 14206. REPORT ON STORED QUANTITIES OF PROPANE. 
(a) REPORT.— 
(1) IN GENERAL.—Not later than 240 days after the date 
of the enactment of this Act, the Secretary of Homeland Secu-
rity (referred to in this section as the ‘‘Secretary’’) shall submit 
to the Committee on Agriculture, Nutrition, and Forestry of 
the Senate and the Committee on Agriculture of the House 
of Representatives a report describing the effect of interim 
or final regulations issued by the Secretary pursuant to section 
550(a) of the Department of Homeland Security Appropriations 
Act, 2007 (6 U.S.C. 121 note; Public Law 109–295), with respect 
to possession of quantities of propane that meet or exceed 
the screening threshold quantity for propane established in 
the final rule under that section. 
(2) INCLUSIONS.—The report under paragraph (1) shall 
include a description of— 
(A) the number of facilities that completed a top screen 
consequence assessment due to possession of quantities 
of propane that meet or exceed the listed screening 
threshold quantity for propane; 
(B) the number of agricultural facilities that completed 
the top screen consequence assessment due to possession 
of quantities of propane that meet or exceed the listed 
screening threshold quantity for propane; 
(C) the number of propane facilities initially deter-
mined to be high risk by the Secretary; 
(D) the number of propane facilities— 
(i) required to complete a security vulnerability 
assessment or a site security plan; or 
(ii) that submit to the Secretary an alternative 
security program; 
(E) the number of propane facilities that file an appeal 
of a finding under the final rule described in paragraph 
(1); and 
(F) to the extent available, the average cost of— 
(i) completing a top screen consequence assessment 
requirement; 
(ii) completing a security vulnerability assessment; 
and 
(iii) completing and implementing a site security 
plan; and 
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122 STAT. 1461 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) FORM.—The report under paragraph (1) shall be sub-
mitted in unclassified form, but may include a classified annex. 
(b) EDUCATIONAL OUTREACH.—Not later than 30 days after 
the date of the enactment of this Act, the Secretary shall conduct 
educational outreach activities for rural facilities that may be 
required to complete a top screen consequence assessment due 
to possession of propane in a quantity that meets or exceeds the 
listed screening threshold quantity for propane. 
SEC. 14207. PROHIBITIONS ON DOG FIGHTING VENTURES. 
(a) IN GENERAL.—Section 26 of the Animal Welfare Act (7 
U.S.C. 2156) is amended— 
(1) in subsection (a)— 
(A) in paragraph (1), by striking ‘‘, if any animal in 
the venture was moved in interstate or foreign commerce’’; 
and 
(B) in the heading of paragraph (2), by striking ‘‘STATE’’ 
and inserting ‘‘STATE’’; 
(2) in subsection (b)— 
(A) by striking ‘‘(b) It shall be’’ and inserting the fol-
lowing: 
‘‘(b) BUYING, SELLING, DELIVERING, POSSESSING, TRAINING, OR 
TRANSPORTING ANIMALS FOR PARTICIPATION IN ANIMAL FIGHTING 
VENTURE.—It shall be’’; and 
(B) by striking ‘‘transport, deliver’’ and all that follows 
through ‘‘participate’’ and inserting ‘‘possess, train, trans-
port, deliver, or receive any animal for purposes of having 
the animal participate’’; 
(3) in subsection (c)— 
(A) by striking ‘‘(c) It shall be’’ and inserting the fol-
lowing: 
‘‘(c) USE OF POSTAL SERVICE OR OTHER INTERSTATE INSTRUMEN-
TALITY FOR PROMOTING OR FURTHERING ANIMAL FIGHTING VEN-
TURE.—It shall be’’; and 
(B) by inserting ‘‘advertising an animal, or an 
instrument described in subsection (e), for use in an animal 
fighting venture,’’ after ‘‘for purposes of’’; 
(4) in subsection (d), by striking ‘‘(d) Notwithstanding’’ 
and inserting the following: 
‘‘(d) VIOLATION OF STATE LAW.—Notwithstanding’’; 
(5) in subsection (e), by striking ‘‘(e) It shall be’’ and 
inserting the following: 
‘‘(e) BUYING, SELLING, DELIVERING, OR TRANSPORTING SHARP 
INSTRUMENTS FOR USE IN ANIMAL FIGHTING VENTURE.—It shall 
be’’; 
(6) in subsection (f)— 
(A) by striking ‘‘(f) The Secretary’’ and inserting the 
following: 
‘‘(f) INVESTIGATION OF VIOLATIONS BY SECRETARY; ASSISTANCE 
BY OTHER FEDERAL AGENCIES; ISSUANCE
OF SEARCH WARRANT; 
FORFEITURE; COSTS
RECOVERABLE
IN
FORFEITURE
OR
CIVIL 
ACTION.—The Secretary’’; and 
(B) in the last sentence— 
(i) by striking ‘‘by the United States’’; 
(ii) by inserting ‘‘(1)’’ after ‘‘owner of the animals’’; 
and 
Deadline. 
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122 STAT. 1462 
PUBLIC LAW 110–234—MAY 22, 2008 
(iii) by striking ‘‘proceeding or in’’ and inserting 
‘‘proceeding, or (2) in’’; 
(7) in subsection (g)— 
(A) by striking ‘‘(g) For purposes of’’ and inserting 
the following: 
‘‘(g) DEFINITIONS.—In’’; 
(B) in paragraph (1), by striking ‘‘any event’’ and all 
that follows through ‘‘entertainment’’ and inserting ‘‘any 
event, in or affecting interstate or foreign commerce, that 
involves a fight conducted or to be conducted between 
at least 2 animals for purposes of sport, wagering, or enter-
tainment,’’; 
(C) by striking paragraph (2); 
(D) in paragraph (5)— 
(i) by striking ‘‘dog or other’’; and 
(ii) by striking ‘‘; and’’ and inserting a period; 
and 
(E) by redesignating paragraphs (3) through (5) as 
paragraphs (2) through (4), respectively; 
(8) by redesignating subsections (h) and (i) as subsections 
(i) and (j), respectively; 
(9) in subsection (i) (as so redesignated), by striking ‘‘(i)(1) 
The provisions’’ and inserting the following: 
‘‘(i) CONFLICT WITH STATE LAW.— 
‘‘(1) IN GENERAL.—The provisions’’; 
(10) in subsection (j) (as so redesignated), by striking ‘‘(j) 
The criminal’’ and inserting the following: 
‘‘(j) CRIMINAL PENALTIES.—The criminal’’; and 
(11) in subsection (g)(6), by striking ‘‘(6) the conduct’’ and 
inserting the following: 
‘‘(h) RELATIONSHIP TO OTHER PROVISIONS.—The conduct’’. 
(b) ENFORCEMENT OF ANIMAL FIGHTING PROHIBITIONS.—Section 
49 of title 18, United States Code, is amended by striking ‘‘3 
years’’ and inserting ‘‘5 years’’. 
SEC. 14208. DEPARTMENT OF AGRICULTURE CONFERENCE TRANS-
PARENCY. 
(a) REPORT.— 
(1) REQUIREMENT.—Not later than September 30 of each 
year, the Secretary of Agriculture shall submit to the Com-
mittee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of the 
Senate, a report on conferences sponsored or held by the 
Department of Agriculture or attended by employees of the 
Department of Agriculture. 
(2) CONTENTS.—Each report under paragraph (1) shall con-
tain— 
(A) for each conference sponsored or held by the 
Department or attended by employees of the Department— 
(i) the name of the conference; 
(ii) the location of the conference; 
(iii) the number of Department of Agriculture 
employees attending the conference; and 
(iv) the costs (including travel expenses) relating 
to such conference; and 
(B) for each conference sponsored or held by the 
Department of Agriculture for which the Department 
7 USC 2255b. 
39 USC 3001. 
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122 STAT. 1463 
PUBLIC LAW 110–234—MAY 22, 2008 
awarded a procurement contract, a description of the con-
tracting procedures related to such conference. 
(3) EXCLUSIONS.—The requirement in paragraph (1) shall 
not apply to any conference— 
(A) for which the cost to the Federal Government was 
less than $10,000; or 
(B) outside of the United States that is attended by 
the Secretary or the Secretary’s designee as an official 
representative of the United States government. 
(b) AVAILABILITY OF REPORT.—Each report submitted in accord-
ance with subsection (a) shall be posted in a searchable format 
on a Department of Agriculture website that is available to the 
public. 
(c) DEFINITION OF CONFERENCE.—In this section, the term ‘‘con-
ference’’— 
(1) means a meeting that— 
(A) is held for consultation, education, awareness, or 
discussion; 
(B) includes participants from at least one agency of 
the Department of Agriculture; 
(C) is held in whole or in part at a facility outside 
of an agency of the Department of Agriculture; and 
(D) involves costs associated with travel and lodging 
for some participants; and 
(2) does not include any training program that is continuing 
education or a curriculum-based educational program, provided 
that such training program is held independent of a conference 
of a non-governmental organization. 
SEC. 14209. FEDERAL INSECTICIDE, FUNGICIDE, AND RODENTICIDE 
ACT AMENDMENTS. 
(a) PAYMENT OF EXPENSES.—Section 17(d) of the Federal Insec-
ticide, Fungicide, and Rodenticide Act (7 U.S.C. 136o(d)) is 
amended— 
(1) by striking ‘‘The Administrator’’ and inserting the fol-
lowing: 
‘‘(1) IN GENERAL.—The Administrator’’; and 
(2) by adding at the end the following new paragraph: 
‘‘(2) DEPARTMENT
OF
STATE
EXPENSES.—Any expenses 
incurred by an employee of the Environmental Protection 
Agency who participates in any international technical, eco-
nomic, or policy review board, committee, or other official body 
that is meeting in relation to an international treaty shall 
be paid by the Department of State.’’. 
(b) CONTAINER RECYCLING.—Section 19(a) of the Federal Insec-
ticide, Fungicide, and Rodenticide Act (7 U.S.C. 136q(a)) is amended 
by adding at the end the following new paragraph: 
‘‘(4) CONTAINER RECYCLING.—The Secretary may promul-
gate a regulation for the return and recycling of disposable 
pesticide containers used for the distribution or sale of reg-
istered pesticide products in interstate commerce. Any such 
regulation requiring recycling of disposable pesticide containers 
shall not apply to antimicrobial pesticides (as defined in section 
2) or other pesticide products intended for non-agricultural 
uses.’’. 
Web site. 
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122 STAT. 1464 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 14210. IMPORTATION OF LIVE DOGS. 
(a) IN GENERAL.—The Animal Welfare Act is amended by 
adding after section 17 (7 U.S.C. 2147) the following: 
‘‘SEC. 18. IMPORTATION OF LIVE DOGS. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) IMPORTER.—The term ‘importer’ means any person 
who, for purposes of resale, transports into the United States 
puppies from a foreign country. 
‘‘(2) RESALE.—The term ‘resale’ includes any transfer of 
ownership or control of an imported dog of less than 6 months 
of age to another person, for more than de minimis consider-
ation. 
‘‘(b) REQUIREMENTS.— 
‘‘(1) IN GENERAL.—Except as provided in paragraph (2), 
no person shall import a dog into the United States for purposes 
of resale unless, as determined by the Secretary, the dog— 
‘‘(A) is in good health; 
‘‘(B) has received all necessary vaccinations; and 
‘‘(C) is at least 6 months of age, if imported for resale. 
‘‘(2) EXCEPTION.— 
‘‘(A) IN GENERAL.—The Secretary, by regulation, shall 
provide an exception to any requirement under paragraph 
(1) in any case in which a dog is imported for— 
‘‘(i) research purposes; or 
‘‘(ii) veterinary treatment. 
‘‘(B) LAWFUL
IMPORTATION
INTO
HAWAII.—Paragraph 
(1)(C) shall not apply to the lawful importation of a dog 
into the State of Hawaii from the British Isles, Australia, 
Guam, or New Zealand in compliance with the applicable 
regulations of the State of Hawaii and the other require-
ments of this section, if the dog is not transported out 
of the State of Hawaii for purposes of resale at less than 
6 months of age. 
‘‘(c) IMPLEMENTATION AND REGULATIONS.—The Secretary, the 
Secretary of Health and Human Services, the Secretary of Com-
merce, and the Secretary of Homeland Security shall promulgate 
such regulations as the Secretaries determine to be necessary to 
implement and enforce this section. 
‘‘(d) ENFORCEMENT.—An importer that fails to comply with 
this section shall— 
‘‘(1) be subject to penalties under section 19; and 
‘‘(2) provide for the care (including appropriate veterinary 
care), forfeiture, and adoption of each applicable dog, at the 
expense of the importer.’’. 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
takes effect on the date of the enactment of this Act. 
SEC. 14211. PERMANENT DEBARMENT FROM PARTICIPATION IN 
DEPARTMENT 
OF 
AGRICULTURE 
PROGRAMS 
FOR 
FRAUD. 
(a) IN GENERAL.—Subject to subsection (b), the Secretary of 
Agriculture shall permanently debar an individual, organization, 
corporation, or other entity convicted of a felony for knowingly 
defrauding the United States in connection with any program 
administered by the Department of Agriculture from any subse-
quent participation in Department of Agriculture programs. 
7 USC 2209j. 
7 USC 2148 note. 
7 USC 2148. 
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122 STAT. 1465 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) EXCEPTIONS.— 
(1) SECRETARY DETERMINATION.—The Secretary may reduce 
a debarment under subsection (a) to a period of not less than 
10 years if the Secretary considers it appropriate. 
(2) FOOD ASSISTANCE.—A debarment under subsection (a) 
shall not apply with respect to participation in domestic food 
assistance programs (as defined by the Secretary). 
SEC. 14212. PROHIBITION ON CLOSURE OR RELOCATION OF COUNTY 
OFFICES FOR THE FARM SERVICE AGENCY. 
(a) TEMPORARY PROHIBITION.— 
(1) IN GENERAL.—Subject to paragraph (2), until the date 
that is two years after the date of the enactment of this Act, 
the Secretary of Agriculture may not close or relocate a county 
or field office of the Farm Service Agency. 
(2) EXCEPTION.—Paragraph (1) shall not apply to— 
(A) an office that is located not more than 20 miles 
from another office of the Farm Service Agency; or 
(B) the relocation of an office within the same county 
in the course of routine leasing operations. 
(b) LIMITATION ON CLOSURE; NOTICE.— 
(1) LIMITATION.—After the period referred to in subsection 
(a)(1), the Secretary shall, before closing any office of the Farm 
Service Agency that is located more than 20 miles from another 
office of the Farm Service Agency, to the maximum extent 
practicable, first close any offices of the Farm Service Agency 
that— 
(A) are located less than 20 miles from another office 
of the Farm Service Agency; and 
(B) have two or fewer permanent full-time employees. 
(2) NOTICE.—After the period referred to in subsection 
(a)(1), the Secretary of Agriculture may not close a county 
or field office of the Farm Service Agency unless— 
(A) not later than 30 days after the Secretary proposes 
to close such office, the Secretary holds a public meeting 
regarding the proposed closure in the county in which 
such office is located; and 
(B) after the public meeting referred to in subpara-
graph (A), but not less than 90 days before the date on 
which the Secretary approves the closure of such office, 
the Secretary notifies the Committee on Agriculture and 
the Committee on Appropriations of the House of Rep-
resentatives, the Committee on Agriculture, Nutrition, and 
Forestry and the Committee on Appropriations of the 
Senate, each Senator representing the State in which the 
office proposed to be closed is located, and the member 
of the House of Representatives who represents the 
Congressional district in which the office proposed to be 
closed is located of the proposed closure of such office. 
SEC. 14213. USDA GRADUATE SCHOOL. 
(a) IN
GENERAL.—Section 921 of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 2279b) is amended— 
(1) in the heading, to read as follows: 
Deadlines. 
7 USC 6932a. 
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122 STAT. 1466 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SEC. 921. DEPARTMENT OF AGRICULTURE EDUCATIONAL, TRAINING, 
AND PROFESSIONAL DEVELOPMENT ACTIVITIES.’’; and 
(2) by striking subsection (b) and inserting the following 
new subsection: 
‘‘(b) OPERATION
AS
NONAPPROPRIATED
FUND
INSTRUMEN-
TALITY.— 
‘‘(1) CEASE OPERATIONS.—Not later than October 1, 2009, 
the Secretary of Agriculture shall cease to maintain or operate 
a nonappropriated fund instrumentality of the United States 
to develop, administer, or provide educational training and 
professional development activities, including educational 
activities for Federal agencies, Federal employees, non-profit 
organizations, other entities, and members of the general 
public. 
‘‘(2) TRANSITION.— 
‘‘(A) IN
GENERAL.—The Secretary of Agriculture is 
authorized to use funds available to the Department of 
Agriculture and such resources of the Department as the 
Secretary considers appropriate (including the assignment 
of such employees of the Department as the Secretary 
considers appropriate) to assist the General Administrative 
Board of the Graduate School in the conversion of the 
Graduate School to an entity that is non-governmental 
and not a nonappropriated fund instrumentality of the 
United States, including such privatization activities not 
otherwise inconsistent with law or regulation. 
‘‘(B) TERMINATION OF AUTHORITY.—The authority under 
paragraph (1) shall terminate on the earlier of— 
‘‘(i) the completion of the transition of the Graduate 
School to an entity that is non-governmental and not 
a nonappropriated fund instrumentality of the United 
States, as determined by the Secretary; or 
‘‘(ii) September 30, 2009.’’. 
(b) PROCUREMENT PROCEDURES.—Notwithstanding the amend-
ments made by subsection (a), effective on the date of the enactment 
of this Act, the Graduate School of the Department of Agriculture 
shall be subject to Federal procurement laws and regulations in 
the same manner and subject to the same requirements as a private 
entity providing services to the Federal Government. 
SEC. 14214. FINES FOR VIOLATIONS OF THE ANIMAL WELFARE ACT. 
Section 19(b) of the Animal Welfare Act (7 U.S.C. 2149(b)) 
is amended in the first sentence by striking ‘‘not more than $2,500 
for each such violation’’ and inserting ‘‘not more than $10,000 
for each such violation’’. 
SEC. 14215. DEFINITION OF CENTRAL FILING SYSTEM. 
Section 1324(c)(2) of the Food Security Act of 1985 (7 U.S.C. 
1631(c)(2)) is amended— 
(1) in subparagraph (C)(ii)(II), by inserting after ‘‘such 
debtors’’ the following: ‘‘, except that the numerical list con-
taining social security or taxpayer identification numbers may 
be encrypted for security purposes if the Secretary of State 
provides a method by which an effective search of the encrypted 
numbers may be conducted to determine whether the farm 
product at issue is subject to 1 or more liens’’; and 
(2) in subparagraph (E)— 
Effective date. 
7 USC 2279b 
note. 
Deadline. 
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122 STAT. 1467 
PUBLIC LAW 110–234—MAY 22, 2008 
(A) by striking ‘‘paragraph (C)’’ and inserting ‘‘subpara-
graph (C)’’; and 
(B) by inserting before the semicolon at the end the 
following: ‘‘except that— 
‘‘(i) the distribution of the portion of the master 
list may be in electronic, written, or printed form; 
and 
‘‘(ii) if social security or taxpayer identification 
numbers on the master list are encrypted, the Sec-
retary of State may distribute the master list only— 
‘‘(I) by compact disc or other electronic media 
that contains— 
‘‘(aa) the recorded list of debtor names; 
and 
‘‘(bb) an encryption program that enables 
the buyer, commission merchant, and selling 
agent to enter a social security number for 
matching against the recorded list of encrypted 
social security or taxpayer identification num-
bers; and 
‘‘(II) on the written request of the buyer, 
commission merchant, or selling agent, by paper 
copy of the list to the requestor’’. 
SEC. 14216. CONSIDERATION OF PROPOSED RECOMMENDATIONS OF 
STUDY ON USE OF CATS AND DOGS IN FEDERAL 
RESEARCH. 
(a) IN GENERAL.—The Secretary of Agriculture shall— 
(1) review— 
(A) any independent reviews conducted by a nationally 
recognized panel of experts of the use of Class B dogs 
and cats in federally supported research to determine how 
frequently such dogs and cats are used in research by 
the National Institutes of Health; and 
(B) any recommendations proposed by such panel out-
lining the parameters of such use; and 
(2) submit to the Committee on Agriculture of the House 
of Representatives and the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate a report on how recommenda-
tions referred to in paragraph (1)(B) can be applied within 
the Department of Agriculture to ensure such dogs and cats 
are treated in accordance with regulations of the Department 
of Agriculture. 
(b) CLASS B DOGS AND CATS DEFINED.—In this section, the 
term ‘‘Class B dogs and cats’’ means dogs and cats obtained from 
a Class ‘‘B’’ licensee, as such term is defined in section 1.1 of 
title 9, Code of Federal Regulations. 
SEC. 14217. REGIONAL ECONOMIC AND INFRASTRUCTURE DEVELOP-
MENT. 
(a) IN GENERAL.—Title 40, United States Code, is amended— 
(1) by redesignating subtitle V as subtitle VI; and 
(2) by inserting after subtitle IV the following: 
Reports. 
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122 STAT. 1468 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘Subtitle V—Regional Economic and 
Infrastructure Development 
‘‘Chapter ..................................................................................................................
‘‘151. GENERAL PROVISIONS ............................................................................ 15101 
‘‘153. REGIONAL COMMISSIONS ...................................................................... 15301 
‘‘155. FINANCIAL ASSISTANCE ......................................................................... 15501 
‘‘157. ADMINISTRATIVE PROVISIONS ............................................................. 15701 
‘‘CHAPTER 1—GENERAL PROVISIONS 
‘‘Sec. 
‘‘15101. Definitions. 
‘‘§ 15101. Definitions 
‘‘In this subtitle, the following definitions apply: 
‘‘(1) 
COMMISSION.—The 
term 
‘Commission’ 
means 
a 
Commission established under section 15301. 
‘‘(2) LOCAL
DEVELOPMENT
DISTRICT.—The term ‘local 
development district’ means an entity that— 
‘‘(A)(i) is an economic development district that is— 
‘‘(I) in existence on the date of the enactment of 
this chapter; and 
‘‘(II) located in the region; or 
‘‘(ii) if an entity described in clause (i) does not exist— 
‘‘(I) is organized and operated in a manner that 
ensures broad-based community participation and an 
effective opportunity for local officials, community 
leaders, and the public to contribute to the development 
and implementation of programs in the region; 
‘‘(II) is governed by a policy board with at least 
a simple majority of members consisting of— 
‘‘(aa) elected officials; or 
‘‘(bb) designees or employees of a general pur-
pose unit of local government that have been 
appointed to represent the unit of local govern-
ment; and 
‘‘(III) is certified by the Governor or appropriate 
State officer as having a charter or authority that 
includes the economic development of counties, por-
tions of counties, or other political subdivisions within 
the region; and 
‘‘(B) has not, as certified by the Federal Cochair-
person— 
‘‘(i) inappropriately used Federal grant funds from 
any Federal source; or 
‘‘(ii) appointed an officer who, during the period 
in which another entity inappropriately used Federal 
grant funds from any Federal source, was an officer 
of the other entity. 
‘‘(3) FEDERAL GRANT PROGRAM.—The term ‘Federal grant 
program’ means a Federal grant program to provide assistance 
in carrying out economic and community development activities. 
‘‘(4) INDIAN TRIBE.—The term ‘Indian tribe’ has the meaning 
given the term in section 4 of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b). 
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122 STAT. 1469 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(5) NONPROFIT ENTITY.—The term ‘nonprofit entity’ means 
any organization described in section 501(c) of the Internal 
Revenue Code of 1986 and exempt from taxation under 501(a) 
of that Code that has been formed for the purpose of economic 
development. 
‘‘(6) REGION.—The term ‘region’ means the area covered 
by a Commission as described in subchapter II of chapter 
157. 
‘‘CHAPTER 2—REGIONAL COMMISSIONS 
‘‘Sec. 
‘‘15301. Establishment, membership, and employees. 
‘‘15302. Decisions. 
‘‘15303. Functions. 
‘‘15304. Administrative powers and expenses. 
‘‘15305. Meetings. 
‘‘15306. Personal financial interests. 
‘‘15307. Tribal participation. 
‘‘15308. Annual report. 
‘‘§ 15301. Establishment, membership, and employees 
‘‘(a) ESTABLISHMENT.—There are established the following 
regional Commissions: 
‘‘(1) The Southeast Crescent Regional Commission. 
‘‘(2) The Southwest Border Regional Commission. 
‘‘(3) The Northern Border Regional Commission. 
‘‘(b) MEMBERSHIP.— 
‘‘(1) FEDERAL
AND
STATE
MEMBERS.—Each Commission 
shall be composed of the following members: 
‘‘(A) A Federal Cochairperson, to be appointed by the 
President, by and with the advice and consent of the 
Senate. 
‘‘(B) The Governor of each participating State in the 
region of the Commission. 
‘‘(2) ALTERNATE MEMBERS.— 
‘‘(A) ALTERNATE FEDERAL COCHAIRPERSON.—The Presi-
dent shall appoint an alternate Federal Cochairperson for 
each Commission. The alternate Federal Cochairperson, 
when not actively serving as an alternate for the Federal 
Cochairperson, shall perform such functions and duties 
as are delegated by the Federal Cochairperson. 
‘‘(B) STATE
ALTERNATES.—The State member of a 
participating State may have a single alternate, who shall 
be appointed by the Governor of the State from among 
the members of the Governor’s cabinet or personal staff. 
‘‘(C) VOTING.—An alternate member shall vote in the 
case of the absence, death, disability, removal, or resigna-
tion of the Federal or State member for which the alternate 
member is an alternate. 
‘‘(3) COCHAIRPERSONS.—A Commission shall be headed by— 
‘‘(A) the Federal Cochairperson, who shall serve as 
a liaison between the Federal Government and the 
Commission; and 
‘‘(B) a State Cochairperson, who shall be a Governor 
of a participating State in the region and shall be elected 
by the State members for a term of not less than 1 year. 
‘‘(4) CONSECUTIVE TERMS.—A State member may not be 
elected to serve as State Cochairperson for more than 2 consecu-
tive terms. 
President. 
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122 STAT. 1470 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(c) COMPENSATION.— 
‘‘(1) FEDERAL
COCHAIRPERSONS.—Each Federal Cochair-
person shall be compensated by the Federal Government at 
level III of the Executive Schedule as set out in section 5314 
of title 5. 
‘‘(2) ALTERNATE FEDERAL COCHAIRPERSONS.—Each Federal 
Cochairperson’s alternate shall be compensated by the Federal 
Government at level V of the Executive Schedule as set out 
in section 5316 of title 5. 
‘‘(3) 
STATE
MEMBERS
AND
ALTERNATES.—Each 
State 
member and alternate shall be compensated by the State that 
they represent at the rate established by the laws of that 
State. 
‘‘(d) EXECUTIVE DIRECTOR AND STAFF.— 
‘‘(1) IN GENERAL.—A Commission shall appoint and fix the 
compensation of an executive director and such other personnel 
as are necessary to enable the Commission to carry out its 
duties. Compensation under this paragraph may not exceed 
the maximum rate of basic pay established for the Senior 
Executive Service under section 5382 of title 5, including any 
applicable locality-based comparability payment that may be 
authorized under section 5304(h)(2)(C) of that title. 
‘‘(2) EXECUTIVE DIRECTOR.—The executive director shall be 
responsible for carrying out the administrative duties of the 
Commission, directing the Commission staff, and such other 
duties as the Commission may assign. 
‘‘(e) NO FEDERAL EMPLOYEE STATUS.—No member, alternate, 
officer, or employee of a Commission (other than the Federal 
Cochairperson, the alternate Federal Cochairperson, staff of the 
Federal Cochairperson, and any Federal employee detailed to the 
Commission) shall be considered to be a Federal employee for 
any purpose. 
‘‘§ 15302. Decisions 
‘‘(a) REQUIREMENTS FOR APPROVAL.—Except as provided in sec-
tion 15304(c)(3), decisions by the Commission shall require the 
affirmative vote of the Federal Cochairperson and a majority of 
the State members (exclusive of members representing States delin-
quent under section 15304(c)(3)(C)). 
‘‘(b) CONSULTATION.—In matters coming before the Commission, 
the Federal Cochairperson shall, to the extent practicable, consult 
with the Federal departments and agencies having an interest 
in the subject matter. 
‘‘(c) QUORUMS.—A Commission shall determine what constitutes 
a quorum for Commission meetings; except that— 
‘‘(1) any quorum shall include the Federal Cochairperson 
or the alternate Federal Cochairperson; and 
‘‘(2) a State alternate member shall not be counted toward 
the establishment of a quorum. 
‘‘(d) PROJECTS AND GRANT PROPOSALS.—The approval of project 
and grant proposals shall be a responsibility of each Commission 
and shall be carried out in accordance with section 15503. 
‘‘§ 15303. Functions 
‘‘A Commission shall— 
‘‘(1) assess the needs and assets of its region based on 
available research, demonstration projects, investigations, 
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122 STAT. 1471 
PUBLIC LAW 110–234—MAY 22, 2008 
assessments, and evaluations of the region prepared by Federal, 
State, and local agencies, universities, local development dis-
tricts, and other nonprofit groups; 
‘‘(2) develop, on a continuing basis, comprehensive and 
coordinated economic and infrastructure development strategies 
to establish priorities and approve grants for the economic 
development of its region, giving due consideration to other 
Federal, State, and local planning and development activities 
in the region; 
‘‘(3) not later than one year after the date of the enactment 
of this section, and after taking into account State plans devel-
oped under section 15502, establish priorities in an economic 
and infrastructure development plan for its region, including 
5-year regional outcome targets; 
‘‘(4)(A) enhance the capacity of, and provide support for, 
local development districts in its region; or 
‘‘(B) if no local development district exists in an area in 
a participating State in the region, foster the creation of a 
local development district; 
‘‘(5) encourage private investment in industrial, commer-
cial, and other economic development projects in its region; 
‘‘(6) cooperate with and assist State governments with the 
preparation of economic and infrastructure development plans 
and programs for participating States; 
‘‘(7) formulate and recommend to the Governors and legisla-
tures of States that participate in the Commission forms of 
interstate cooperation and, where appropriate, international 
cooperation; and 
‘‘(8) work with State and local agencies in developing appro-
priate model legislation to enhance local and regional economic 
development. 
‘‘§ 15304. Administrative powers and expenses 
‘‘(a) POWERS.—In carrying out its duties under this subtitle, 
a Commission may— 
‘‘(1) hold such hearings, sit and act at such times and 
places, take such testimony, receive such evidence, and print 
or otherwise reproduce and distribute a description of the pro-
ceedings and reports on actions by the Commission as the 
Commission considers appropriate; 
‘‘(2) authorize, through the Federal or State Cochairperson 
or any other member of the Commission designated by the 
Commission, the administration of oaths if the Commission 
determines that testimony should be taken or evidence received 
under oath; 
‘‘(3) request from any Federal, State, or local agency such 
information as may be available to or procurable by the agency 
that may be of use to the Commission in carrying out the 
duties of the Commission; 
‘‘(4) adopt, amend, and repeal bylaws and rules governing 
the conduct of business and the performance of duties by the 
Commission; 
‘‘(5) request the head of any Federal agency, State agency, 
or local government to detail to the Commission such personnel 
as the Commission requires to carry out its duties, each such 
detail to be without loss of seniority, pay, or other employee 
status; 
Deadline. 
Plans. 
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122 STAT. 1472 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(6) provide for coverage of Commission employees in a 
suitable retirement and employee benefit system by making 
arrangements or entering into contracts with any participating 
State government or otherwise providing retirement and other 
employee coverage; 
‘‘(7) accept, use, and dispose of gifts or donations or services 
or real, personal, tangible, or intangible property; 
‘‘(8) enter into and perform such contracts, cooperative 
agreements, or other transactions as are necessary to carry 
out Commission duties, including any contracts or cooperative 
agreements with a department, agency, or instrumentality of 
the United States, a State (including a political subdivision, 
agency, or instrumentality of the State), or a person, firm, 
association, or corporation; and 
‘‘(9) maintain a government relations office in the District 
of Columbia and establish and maintain a central office at 
such location in its region as the Commission may select. 
‘‘(b) FEDERAL AGENCY COOPERATION.—A Federal agency shall— 
‘‘(1) cooperate with a Commission; and 
‘‘(2) provide, to the extent practicable, on request of the 
Federal Cochairperson, appropriate assistance in carrying out 
this subtitle, in accordance with applicable Federal laws 
(including regulations). 
‘‘(c) ADMINISTRATIVE EXPENSES.— 
‘‘(1) IN GENERAL.—Subject to paragraph (2), the administra-
tive expenses of a Commission shall be paid— 
‘‘(A) by the Federal Government, in an amount equal 
to 50 percent of the administrative expenses of the Commis-
sion; and 
‘‘(B) by the States participating in the Commission, 
in an amount equal to 50 percent of the administrative 
expenses. 
‘‘(2) EXPENSES
OF
THE
FEDERAL
COCHAIRPERSON.—All 
expenses of the Federal Cochairperson, including expenses of 
the alternate and staff of the Federal Cochairperson, shall 
be paid by the Federal Government. 
‘‘(3) STATE SHARE.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
share of administrative expenses of a Commission to be 
paid by each State of the Commission shall be determined 
by a unanimous vote of the State members of the Commis-
sion. 
‘‘(B) 
NO
FEDERAL
PARTICIPATION.—The 
Federal 
Cochairperson shall not participate or vote in any decision 
under subparagraph (A). 
‘‘(C) DELINQUENT STATES.—During any period in which 
a State is more than 1 year delinquent in payment of 
the State’s share of administrative expenses of the Commis-
sion under this subsection— 
‘‘(i) no assistance under this subtitle shall be pro-
vided to the State (including assistance to a political 
subdivision or a resident of the State) for any project 
not approved as of the date of the commencement 
of the delinquency; and 
‘‘(ii) no member of the Commission from the State 
shall participate or vote in any action by the Commis-
sion. 
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122 STAT. 1473 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(4) EFFECT ON ASSISTANCE.—A State’s share of administra-
tive expenses of a Commission under this subsection shall 
not be taken into consideration when determining the amount 
of assistance provided to the State under this subtitle. 
‘‘§ 15305. Meetings 
‘‘(a) INITIAL MEETING.—Each Commission shall hold an initial 
meeting not later than 180 days after the date of the enactment 
of this section. 
‘‘(b) ANNUAL MEETING.—Each Commission shall conduct at 
least 1 meeting each year with the Federal Cochairperson and 
at least a majority of the State members present. 
‘‘(c) ADDITIONAL MEETINGS.—Each Commission shall conduct 
additional meetings at such times as it determines and may conduct 
such meetings by electronic means. 
‘‘§ 15306. Personal financial interests 
‘‘(a) CONFLICTS OF INTEREST.— 
‘‘(1) NO ROLE ALLOWED.—Except as permitted by paragraph 
(2), an individual who is a State member or alternate, or 
an officer or employee of a Commission, shall not participate 
personally and substantially as a member, alternate, officer, 
or employee of the Commission, through decision, approval, 
disapproval, recommendation, request for a ruling, or other 
determination, contract, claim, controversy, or other matter 
in which, to the individual’s knowledge, any of the following 
has a financial interest: 
‘‘(A) The individual. 
‘‘(B) The individual’s spouse, minor child, or partner. 
‘‘(C) An organization (except a State or political subdivi-
sion of a State) in which the individual is serving as an 
officer, director, trustee, partner, or employee. 
‘‘(D) Any person or organization with whom the indi-
vidual is negotiating or has any arrangement concerning 
prospective employment. 
‘‘(2) EXCEPTION.—Paragraph (1) shall not apply if the indi-
vidual, in advance of the proceeding, application, request for 
a ruling or other determination, contract, claim controversy, 
or other particular matter presenting a potential conflict of 
interest— 
‘‘(A) advises the Commission of the nature and cir-
cumstances of the matter presenting the conflict of interest; 
‘‘(B) makes full disclosure of the financial interest; 
and 
‘‘(C) receives a written decision of the Commission 
that the interest is not so substantial as to be considered 
likely to affect the integrity of the services that the 
Commission may expect from the individual. 
‘‘(3) VIOLATION.—An individual violating this subsection 
shall be fined under title 18, imprisoned for not more than 
1 year, or both. 
‘‘(b) STATE MEMBER OR ALTERNATE.—A State member or alter-
nate member may not receive any salary, or any contribution to, 
or supplementation of, salary, for services on a Commission from 
a source other than the State of the member or alternate. 
‘‘(c) DETAILED EMPLOYEES.— 
Deadline. 
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122 STAT. 1474 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) IN GENERAL.—No person detailed to serve a Commis-
sion shall receive any salary, or any contribution to, or 
supplementation of, salary, for services provided to the Commis-
sion from any source other than the State, local, or intergovern-
mental department or agency from which the person was 
detailed to the Commission. 
‘‘(2) VIOLATION.—Any person that violates this subsection 
shall be fined under title 18, imprisoned not more than 1 
year, or both. 
‘‘(d) FEDERAL COCHAIRMAN, ALTERNATE TO FEDERAL COCHAIR-
MAN, AND
FEDERAL
OFFICERS
AND
EMPLOYEES.—The Federal 
Cochairman, the alternate to the Federal Cochairman, and any 
Federal officer or employee detailed to duty with the Commission 
are not subject to this section but remain subject to sections 202 
through 209 of title 18. 
‘‘(e) RESCISSION.—A Commission may declare void any contract, 
loan, or grant of or by the Commission in relation to which the 
Commission determines that there has been a violation of any 
provision under subsection (a)(1), (b), or (c), or any of the provisions 
of sections 202 through 209 of title 18. 
‘‘§ 15307. Tribal participation 
‘‘Governments of Indian tribes in the region of the Southwest 
Border Regional Commission shall be allowed to participate in 
matters before that Commission in the same manner and to the 
same extent as State agencies and instrumentalities in the region. 
‘‘§ 15308. Annual report 
‘‘(a) IN GENERAL.—Not later than 90 days after the last day 
of each fiscal year, each Commission shall submit to the President 
and Congress a report on the activities carried out by the Commis-
sion under this subtitle in the fiscal year. 
‘‘(b) CONTENTS.—The report shall include— 
‘‘(1) a description of the criteria used by the Commission 
to designate counties under section 15702 and a list of the 
counties designated in each category; 
‘‘(2) an evaluation of the progress of the Commission in 
meeting the goals identified in the Commission’s economic and 
infrastructure development plan under section 15303 and State 
economic and infrastructure development plans under section 
15502; and 
‘‘(3) any policy recommendations approved by the Commis-
sion. 
‘‘CHAPTER 3—FINANCIAL ASSISTANCE 
‘‘Sec. 
‘‘15501. Economic and infrastructure development grants. 
‘‘15502. Comprehensive economic and infrastructure development plans. 
‘‘15503. Approval of applications for assistance. 
‘‘15504. Program development criteria. 
‘‘15505. Local development districts and organizations. 
‘‘15506. Supplements to Federal grant programs. 
‘‘§ 15501. Economic and infrastructure development grants 
‘‘(a) IN GENERAL.—A Commission may make grants to States 
and local governments, Indian tribes, and public and nonprofit 
organizations for projects, approved in accordance with section 
15503— 
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122 STAT. 1475 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) to develop the transportation infrastructure of its 
region; 
‘‘(2) to develop the basic public infrastructure of its region; 
‘‘(3) to develop the telecommunications infrastructure of 
its region; 
‘‘(4) to assist its region in obtaining job skills training, 
skills 
development 
and 
employment-related 
education, 
entrepreneurship, technology, and business development; 
‘‘(5) to provide assistance to severely economically dis-
tressed and underdeveloped areas of its region that lack finan-
cial resources for improving basic health care and other public 
services; 
‘‘(6) to promote resource conservation, tourism, recreation, 
and preservation of open space in a manner consistent with 
economic development goals; 
‘‘(7) to promote the development of renewable and alter-
native energy sources; and 
‘‘(8) to otherwise achieve the purposes of this subtitle. 
‘‘(b) ALLOCATION OF FUNDS.—A Commission shall allocate at 
least 40 percent of any grant amounts provided by the Commission 
in a fiscal year for projects described in paragraphs (1) through 
(3) of subsection (a). 
‘‘(c) SOURCES OF GRANTS.—Grant amounts may be provided 
entirely from appropriations to carry out this subtitle, in combina-
tion with amounts available under other Federal grant programs, 
or from any other source. 
‘‘(d) MAXIMUM COMMISSION CONTRIBUTIONS.— 
‘‘(1) IN GENERAL.—Subject to paragraphs (2) and (3), the 
Commission may contribute not more than 50 percent of a 
project or activity cost eligible for financial assistance under 
this section from amounts appropriated to carry out this sub-
title. 
‘‘(2) DISTRESSED
COUNTIES.—The maximum Commission 
contribution for a project or activity to be carried out in a 
county for which a distressed county designation is in effect 
under section 15702 may be increased to 80 percent. 
‘‘(3) SPECIAL RULE FOR REGIONAL PROJECTS.—A Commission 
may increase to 60 percent under paragraph (1) and 90 percent 
under paragraph (2) the maximum Commission contribution 
for a project or activity if— 
‘‘(A) the project or activity involves 3 or more counties 
or more than one State; and 
‘‘(B) the Commission determines in accordance with 
section 15302(a) that the project or activity will bring 
significant interstate or multicounty benefits to a region. 
‘‘(e) MAINTENANCE
OF EFFORT.—Funds may be provided by 
a Commission for a program or project in a State under this 
section only if the Commission determines that the level of Federal 
or State financial assistance provided under a law other than this 
subtitle, for the same type of program or project in the same 
area of the State within region, will not be reduced as a result 
of funds made available by this subtitle. 
‘‘(f) NO RELOCATION ASSISTANCE.—Financial assistance author-
ized by this section may not be used to assist a person or entity 
in relocating from one area to another. 
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122 STAT. 1476 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘§ 15502. 
Comprehensive 
economic 
and 
infrastructure 
development plans 
‘‘(a) STATE PLANS.—In accordance with policies established by 
a Commission, each State member of the Commission shall submit 
a comprehensive economic and infrastructure development plan 
for the area of the region represented by the State member. 
‘‘(b) CONTENT OF PLAN.—A State economic and infrastructure 
development plan shall reflect the goals, objectives, and priorities 
identified in any applicable economic and infrastructure develop-
ment plan developed by a Commission under section 15303. 
‘‘(c) CONSULTATION WITH INTERESTED LOCAL PARTIES.—In car-
rying out the development planning process (including the selection 
of programs and projects for assistance), a State shall— 
‘‘(1) consult with local development districts, local units 
of government, and local colleges and universities; and 
‘‘(2) take into consideration the goals, objectives, priorities, 
and recommendations of the entities described in paragraph 
(1). 
‘‘(d) PUBLIC PARTICIPATION.— 
‘‘(1) IN GENERAL.—A Commission and applicable State and 
local development districts shall encourage and assist, to the 
maximum extent practicable, public participation in the 
development, revision, and implementation of all plans and 
programs under this subtitle. 
‘‘(2) GUIDELINES.—A Commission shall develop guidelines 
for providing public participation, including public hearings. 
‘‘§ 15503. Approval of applications for assistance 
‘‘(a) EVALUATION
BY STATE MEMBER.—An application to a 
Commission for a grant or any other assistance for a project under 
this subtitle shall be made through, and evaluated for approval 
by, the State member of the Commission representing the applicant. 
‘‘(b) CERTIFICATION.—An application to a Commission for a 
grant or other assistance for a project under this subtitle shall 
be eligible for assistance only on certification by the State member 
of the Commission representing the applicant that the application 
for the project— 
‘‘(1) describes ways in which the project complies with 
any applicable State economic and infrastructure development 
plan; 
‘‘(2) meets applicable criteria under section 15504; 
‘‘(3) adequately ensures that the project will be properly 
administered, operated, and maintained; and 
‘‘(4) otherwise meets the requirements for assistance under 
this subtitle. 
‘‘(c) VOTES FOR DECISIONS.—On certification by a State member 
of a Commission of an application for a grant or other assistance 
for a specific project under this section, an affirmative vote of 
the Commission under section 15302 shall be required for approval 
of the application. 
‘‘§ 15504. Program development criteria 
‘‘In considering programs and projects to be provided assistance 
by a Commission under this subtitle, and in establishing a priority 
ranking of the requests for assistance provided to the Commission, 
the Commission shall follow procedures that ensure, to the max-
imum extent practicable, consideration of— 
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122 STAT. 1477 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) the relationship of the project or class of projects to 
overall regional development; 
‘‘(2) the per capita income and poverty and unemployment 
and outmigration rates in an area; 
‘‘(3) the financial resources available to the applicants for 
assistance seeking to carry out the project, with emphasis on 
ensuring that projects are adequately financed to maximize 
the probability of successful economic development; 
‘‘(4) the importance of the project or class of projects in 
relation to the other projects or classes of projects that may 
be in competition for the same funds; 
‘‘(5) the prospects that the project for which assistance 
is sought will improve, on a continuing rather than a temporary 
basis, the opportunities for employment, the average level of 
income, or the economic development of the area to be served 
by the project; and 
‘‘(6) the extent to which the project design provides for 
detailed outcome measurements by which grant expenditures 
and the results of the expenditures may be evaluated. 
‘‘§ 15505. Local development districts and organizations 
‘‘(a) GRANTS TO LOCAL DEVELOPMENT DISTRICTS.—Subject to 
the requirements of this section, a Commission may make grants 
to a local development district to assist in the payment of develop-
ment planning and administrative expenses. 
‘‘(b) CONDITIONS FOR GRANTS.— 
‘‘(1) MAXIMUM AMOUNT.—The amount of a grant awarded 
under this section may not exceed 80 percent of the administra-
tive and planning expenses of the local development district 
receiving the grant. 
‘‘(2) MAXIMUM PERIOD FOR STATE AGENCIES.—In the case 
of a State agency certified as a local development district, 
a grant may not be awarded to the agency under this section 
for more than 3 fiscal years. 
‘‘(3) LOCAL SHARE.—The contributions of a local develop-
ment district for administrative expenses may be in cash or 
in kind, fairly evaluated, including space, equipment, and serv-
ices. 
‘‘(c) DUTIES
OF
LOCAL
DEVELOPMENT
DISTRICTS.—A local 
development district shall— 
‘‘(1) operate as a lead organization serving multicounty 
areas in the region at the local level; 
‘‘(2) assist the Commission in carrying out outreach activi-
ties for local governments, community development groups, the 
business community, and the public; 
‘‘(3) serve as a liaison between State and local governments, 
nonprofit organizations (including community-based groups and 
educational institutions), the business community, and citizens; 
and 
‘‘(4) assist the individuals and entities described in para-
graph (3) in identifying, assessing, and facilitating projects 
and programs to promote the economic development of the 
region. 
‘‘§ 15506. Supplements to Federal grant programs 
‘‘(a) FINDING.—Congress finds that certain States and local 
communities of the region, including local development districts, 
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122 STAT. 1478 
PUBLIC LAW 110–234—MAY 22, 2008 
may be unable to take maximum advantage of Federal grant pro-
grams for which the States and communities are eligible because— 
‘‘(1) they lack the economic resources to provide the 
required matching share; or 
‘‘(2) there are insufficient funds available under the 
applicable Federal law with respect to a project to be carried 
out in the region. 
‘‘(b) FEDERAL GRANT PROGRAM FUNDING.—A Commission, with 
the approval of the Federal Cochairperson, may use amounts made 
available to carry out this subtitle— 
‘‘(1) for any part of the basic Federal contribution to projects 
or activities under the Federal grant programs authorized by 
Federal laws; and 
‘‘(2) to increase the Federal contribution to projects and 
activities under the programs above the fixed maximum part 
of the cost of the projects or activities otherwise authorized 
by the applicable law. 
‘‘(c) CERTIFICATION REQUIRED.—For a program, project, or 
activity for which any part of the basic Federal contribution to 
the project or activity under a Federal grant program is proposed 
to be made under subsection (b), the Federal contribution shall 
not be made until the responsible Federal official administering 
the Federal law authorizing the Federal contribution certifies that 
the program, project, or activity meets the applicable requirements 
of the Federal law and could be approved for Federal contribution 
under that law if amounts were available under the law for the 
program, project, or activity. 
‘‘(d) LIMITATIONS IN OTHER LAWS INAPPLICABLE.—Amounts pro-
vided pursuant to this subtitle are available without regard to 
any limitations on areas eligible for assistance or authorizations 
for appropriation in any other law. 
‘‘(e) FEDERAL SHARE.—The Federal share of the cost of a project 
or activity receiving assistance under this section shall not exceed 
80 percent. 
‘‘(f) MAXIMUM COMMISSION CONTRIBUTION.—Section 15501(d), 
relating to limitations on Commission contributions, shall apply 
to a program, project, or activity receiving assistance under this 
section. 
‘‘CHAPTER 4—ADMINISTRATIVE PROVISIONS 
‘‘SUBCHAPTER I—GENERAL PROVISIONS 
‘‘Sec. 15701. Consent of States. 
‘‘Sec. 15702. Distressed counties and areas. 
‘‘Sec. 15703. Counties eligible for assistance in more than one region. 
‘‘Sec. 15704. Inspector General; records. 
‘‘Sec. 15705. Biannual meetings of representatives of all Commissions. 
‘‘SUBCHAPTER II—DESIGNATION OF REGIONS 
‘‘Sec. 15731. Southeast Crescent Regional Commission. 
‘‘Sec. 15732. Southwest Border Regional Commission. 
‘‘Sec. 15733. Northern Border Regional Commission. 
‘‘SUBCHAPTER III—AUTHORIZATION OF APPROPRIATIONS 
‘‘Sec. 15751. Authorization of appropriations. 
Applicability. 
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122 STAT. 1479 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SUBCHAPTER I—GENERAL PROVISIONS 
‘‘§ 15701. Consent of States 
‘‘This subtitle does not require a State to engage in or accept 
a program under this subtitle without its consent. 
‘‘§ 15702. Distressed counties and areas 
‘‘(a) DESIGNATIONS.—Not later than 90 days after the date 
of the enactment of this section, and annually thereafter, each 
Commission shall make the following designations: 
‘‘(1) DISTRESSED
COUNTIES.—The Commission shall des-
ignate as distressed counties those counties in its region that 
are the most severely and persistently economically distressed 
and underdeveloped and have high rates of poverty, unemploy-
ment, or outmigration. 
‘‘(2) TRANSITIONAL COUNTIES.—The Commission shall des-
ignate as transitional counties those counties in its region that 
are economically distressed and underdeveloped or have 
recently suffered high rates of poverty, unemployment, or out-
migration. 
‘‘(3) ATTAINMENT COUNTIES.—The Commission shall des-
ignate as attainment counties, those counties in its region 
that are not designated as distressed or transitional counties 
under this subsection. 
‘‘(4) ISOLATED AREAS OF DISTRESS.—The Commission shall 
designate as isolated areas of distress, areas located in counties 
designated as attainment counties under paragraph (3) that 
have high rates of poverty, unemployment, or outmigration. 
‘‘(b) ALLOCATION.—A Commission shall allocate at least 50 per-
cent of the appropriations made available to the Commission to 
carry out this subtitle for programs and projects designed to serve 
the needs of distressed counties and isolated areas of distress in 
the region. 
‘‘(c) ATTAINMENT COUNTIES.— 
‘‘(1) IN GENERAL.—Except as provided in paragraph (2), 
funds may not be provided under this subtitle for a project 
located in a county designated as an attainment county under 
subsection (a). 
‘‘(2) EXCEPTIONS.— 
‘‘(A) ADMINISTRATIVE
EXPENSES
OF
LOCAL
DEVELOP-
MENT DISTRICTS.—The funding prohibition under paragraph 
(1) shall not apply to grants to fund the administrative 
expenses of local development districts under section 15505. 
‘‘(B) MULTICOUNTY AND OTHER PROJECTS.—A Commis-
sion may waive the application of the funding prohibition 
under paragraph (1) with respect to— 
‘‘(i) a multicounty project that includes participa-
tion by an attainment county; and 
‘‘(ii) any other type of project, if a Commission 
determines that the project could bring significant 
benefits to areas of the region outside an attainment 
county. 
‘‘(3) ISOLATED AREAS OF DISTRESS.—For a designation of 
an isolated area of distress to be effective, the designation 
shall be supported— 
‘‘(A) by the most recent Federal data available; or 
Deadlines. 
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122 STAT. 1480 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) if no recent Federal data are available, by the 
most recent data available through the government of the 
State in which the isolated area of distress is located. 
‘‘§ 15703. Counties eligible for assistance in more than one 
region 
‘‘(a) LIMITATION.—A political subdivision of a State may not 
receive assistance under this subtitle in a fiscal year from more 
than one Commission. 
‘‘(b) SELECTION
OF
COMMISSION.—A political subdivision 
included in the region of more than one Commission shall select 
the Commission with which it will participate by notifying, in 
writing, the Federal Cochairperson and the appropriate State 
member of that Commission. 
‘‘(c) CHANGES IN SELECTIONS.—The selection of a Commission 
by a political subdivision shall apply in the fiscal year in which 
the selection is made, and shall apply in each subsequent fiscal 
year unless the political subdivision, at least 90 days before the 
first day of the fiscal year, notifies the Cochairpersons of another 
Commission in writing that the political subdivision will participate 
in that Commission and also transmits a copy of such notification 
to the Cochairpersons of the Commission in which the political 
subdivision is currently participating. 
‘‘(d) INCLUSION OF APPALACHIAN REGIONAL COMMISSION.—In 
this section, the term ‘Commission’ includes the Appalachian 
Regional Commission established under chapter 143. 
‘‘§ 15704. Inspector General; records 
‘‘(a) APPOINTMENT OF INSPECTOR GENERAL.—There shall be an 
Inspector General for the Commissions appointed in accordance 
with section 3(a) of the Inspector General Act of 1978 (5 U.S.C. 
App.). All of the Commissions shall be subject to a single Inspector 
General. 
‘‘(b) RECORDS OF A COMMISSION.— 
‘‘(1) IN GENERAL.—A Commission shall maintain accurate 
and complete records of all its transactions and activities. 
‘‘(2) AVAILABILITY.—All records of a Commission shall be 
available for audit and examination by the Inspector General 
(including authorized representatives of the Inspector General). 
‘‘(c) RECORDS
OF RECIPIENTS
OF COMMISSION ASSISTANCE.— 
‘‘(1) IN GENERAL.—A recipient of funds from a Commission 
under this subtitle shall maintain accurate and complete 
records of transactions and activities financed with the funds 
and report to the Commission on the transactions and activities. 
‘‘(2) AVAILABILITY.—All records required under paragraph 
(1) shall be available for audit by the Commission and the 
Inspector General (including authorized representatives of the 
Commission and the Inspector General). 
‘‘(d) ANNUAL AUDIT.—The Inspector General shall audit the 
activities, transactions, and records of each Commission on an 
annual basis. 
‘‘§ 15705. Biannual meetings of representatives of all Commis-
sions 
‘‘(a) IN GENERAL.—Representatives of each Commission, the 
Appalachian Regional Commission, and the Denali Commission 
shall meet biannually to discuss issues confronting regions suffering 
Applicability. 
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122 STAT. 1481 
PUBLIC LAW 110–234—MAY 22, 2008 
from chronic and contiguous distress and successful strategies for 
promoting regional development. 
‘‘(b) CHAIR
OF MEETINGS.—The chair of each meeting shall 
rotate among the Commissions, with the Appalachian Regional 
Commission to host the first meeting. 
‘‘SUBCHAPTER II—DESIGNATION OF REGIONS 
‘‘§ 15731. Southeast Crescent Regional Commission 
‘‘The region of the Southeast Crescent Regional Commission 
shall consist of all counties of the States of Virginia, North Carolina, 
South Carolina, Georgia, Alabama, Mississippi, and Florida not 
already served by the Appalachian Regional Commission or the 
Delta Regional Authority. 
‘‘§ 15732. Southwest Border Regional Commission 
‘‘The region of the Southwest Border Regional Commission 
shall consist of the following political subdivisions: 
‘‘(1) ARIZONA.—The counties of Cochise, Gila, Graham, 
Greenlee, La Paz, Maricopa, Pima, Pinal, Santa Cruz, and 
Yuma in the State of Arizona. 
‘‘(2) CALIFORNIA.—The counties of Imperial, Los Angeles, 
Orange, Riverside, San Bernardino, San Diego, and Ventura 
in the State of California. 
‘‘(3) NEW MEXICO.—The counties of Catron, Chaves, Dona 
Ana, Eddy, Grant, Hidalgo, Lincoln, Luna, Otero, Sierra, and 
Socorro in the State of New Mexico. 
‘‘(4) TEXAS.—The counties of Atascosa, Bandera, Bee, 
Bexar, Brewster, Brooks, Cameron, Coke, Concho, Crane, 
Crockett, Culberson, Dimmit, Duval, Ector, Edwards, El Paso, 
Frio, Gillespie, Glasscock, Hidalgo, Hudspeth, Irion, Jeff Davis, 
Jim Hogg, Jim Wells, Karnes, Kendall, Kenedy, Kerr, Kimble, 
Kinney, Kleberg, La Salle, Live Oak, Loving, Mason, Maverick, 
McMullen, Medina, Menard, Midland, Nueces, Pecos, Presidio, 
Reagan, Real, Reeves, San Patricio, Shleicher, Sutton, Starr, 
Sterling, Terrell, Tom Green Upton, Uvalde, Val Verde, Ward, 
Webb, Willacy, Wilson, Winkler, Zapata, and Zavala in the 
State of Texas. 
‘‘§ 15733. Northern Border Regional Commission 
‘‘The region of the Northern Border Regional Commission shall 
include the following counties: 
‘‘(1) MAINE.—The counties of Androscoggin, Aroostook, 
Franklin, Hancock, Kennebec, Knox, Oxford, Penobscot, 
Piscataquis, Somerset, Waldo, and Washington in the State 
of Maine. 
‘‘(2) NEW
HAMPSHIRE.—The counties of Carroll, Coos, 
Grafton, and Sullivan in the State of New Hampshire. 
‘‘(3) NEW YORK.—The counties of Cayuga, Clinton, Essex, 
Franklin, Fulton, Hamilton, Herkimer, Jefferson, Lewis, Madi-
son, Oneida, Oswego, Seneca, and St. Lawrence in the State 
of New York. 
‘‘(4) VERMONT.—The counties of Caledonia, Essex, Franklin, 
Grand Isle, Lamoille, and Orleans in the State of Vermont. 
State listing. 
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122 STAT. 1482 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘SUBCHAPTER III—AUTHORIZATION OF APPROPRIATIONS 
‘‘§ 15751. Authorization of appropriations 
‘‘(a) IN GENERAL.—There is authorized to be appropriated to 
each Commission to carry out this subtitle $30,000,000 for each 
of fiscal years 2008 through 2012. 
‘‘(b) ADMINISTRATIVE EXPENSES.—Not more than 10 percent 
of the funds made available to a Commission in a fiscal year 
under this section may be used for administrative expenses.’’. 
(b) CLERICAL AMENDMENT TO TABLE OF SUBTITLES.—The table 
of subtitles for chapter 40, United States Code, is amended by 
striking the item relating to subtitle V and inserting the following: 
‘‘V. REGIONAL ECONOMIC AND INFRASTRUCTURE DEVELOPMENT ....
15101
‘‘VI. MISCELLANEOUS ........................................................................................17101’’. 
(c) CONFORMING AMENDMENTS TO INSPECTOR GENERAL ACT.— 
Section 11 of the Inspector General Act of 1978 (5 U.S.C. App.) 
is amended— 
(1) in paragraph (1), by striking ‘‘or the President of the 
Export-Import Bank;’’ and inserting ‘‘the President of the 
Export-Import Bank; or the Federal Cochairpersons of the 
Commissions established under section 15301 of title 40, United 
States Code;’’; and 
(2) in paragraph (2), by striking ‘‘or the Export-Import 
Bank,’’ and inserting ‘‘the Export-Import Bank, or the Commis-
sions established under section 15301 of title 40, United States 
Code,’’. 
(d) EFFECTIVE DATE.—This section, and the amendments made 
by this section, shall take effect on the first day of the first fiscal 
year beginning after the date of the enactment of this Act. 
SEC. 14218. COORDINATOR FOR CHRONICALLY UNDERSERVED RURAL 
AREAS. 
(a) ESTABLISHMENT.—The Secretary of Agriculture shall estab-
lish a Coordinator for Chronically Underserved Rural Areas (in 
this section referred to as the ‘‘Coordinator’’), to be located in 
the Rural Development Mission Area. 
(b) MISSION.—The mission of the Coordinator shall be to direct 
Department of Agriculture resources to high need, high poverty 
rural areas. 
(c) DUTIES.—The Coordinator shall consult with other offices 
in directing technical assistance, strategic regional planning, at 
the State and local level, for developing rural economic development 
that leverages the resources of State and local governments and 
non-profit and community development organizations. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to the Secretary such sums as necessary to 
carry out this section for fiscal years 2008 through 2012. 
SEC. 14219. ELIMINATION OF STATUTE OF LIMITATIONS APPLICABLE 
TO COLLECTION OF DEBT BY ADMINISTRATIVE OFFSET. 
(a) ELIMINATION.—Section 3716(e) of title 31, United States 
Code, is amended to read as follows: 
‘‘(e)(1) Notwithstanding any other provision of law, regulation, 
or administrative limitation, no limitation on the period within 
which an offset may be initiated or taken pursuant to this section 
shall be effective. 
7 USC 6941a. 
40 USC 15101 
note. 
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122 STAT. 1483 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) This section does not apply when a statute explicitly pro-
hibits using administrative offset or setoff to collect the claim or 
type of claim involved.’’. 
(b) APPLICATION OF AMENDMENT.—The amendment made by 
subsection (a) shall apply to any debt outstanding on or after 
the date of the enactment of this Act. 
SEC. 14220. AVAILABILITY OF EXCESS AND SURPLUS COMPUTERS IN 
RURAL AREAS. 
In addition to any other authority, the Secretary of Agriculture 
may make available to an organization excess or surplus computers 
or other technical equipment of the Department of Agriculture 
for the purposes of distribution to a city, town, or local government 
entity in a rural area (as defined in section 343(a)(13)(A) of the 
Consolidated Farm and Rural Development Act). 
SEC. 14221. REPEAL OF SECTION 3068 OF THE WATER RESOURCES 
DEVELOPMENT ACT OF 2007. 
Effective upon the date of enactment of this Act, section 3068 
of the Water Resources Development Act of 2007 (Public Law 110- 
114; 121 Stat. 1123), and the item relating to section 3068 in 
the table of contents of that Act, are repealed. 
SEC. 14222. DOMESTIC FOOD ASSISTANCE PROGRAMS. 
(a) DEFINITION OF SECTION 32.—In this section, the term ‘‘sec-
tion 32’’ means section 32 of the Act of August 24, 1935 (7 U.S.C. 
612c). 
(b) TRANSFER TO FOOD AND NUTRITION SERVICE.— 
(1) IN GENERAL.—Amounts made available for a fiscal year 
to carry out section 32 in excess of the maximum amount 
calculated under paragraph (2) shall be transferred to the Sec-
retary, acting through the Administrator of the Food and Nutri-
tion Service, to be used to carry out the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1751 et seq.). 
(2) MAXIMUM AMOUNT.—The maximum amount calculated 
under this paragraph for a fiscal year is the sum of— 
(A)(i) in the case of fiscal year 2009, $1,173,000,000; 
(ii) in the case of fiscal year 2010, $1,199,000,000; 
(iii) in the case of fiscal year 2011, $1,215,000,000; 
(iv) in the case of fiscal year 2012, $1,231,000,000; 
(v) in the case of fiscal year 2013, $1,248,000,000; 
(vi) in the case of fiscal year 2014, $1,266,000,000; 
(vii) in the case of fiscal year 2015, $1,284,000,000; 
(viii) in the case of fiscal year 2016, $1,303,000,000; 
(ix) in the case of fiscal year 2017, $1,322,000,000; 
and 
(x) for fiscal year 2018 and each fiscal year thereafter, 
the amount made available for the preceding fiscal year, 
as adjusted to reflect changes for the 12-month period 
ending on the preceding November 30 in the Consumer 
Price Index for All Urban Consumers published by the 
Bureau of Labor Statistics of the Department of Labor; 
and 
(B) any transfers for the fiscal year from section 32 to 
the Department of Commerce under the Fish and Wildlife 
Act of 1956 (16 U.S.C. 742a et seq.). 
(c) FRESH FRUIT AND VEGETABLE PROGRAM.—Of amounts made 
available to carry out section 32 under subsection (b)(2)(A), the 
7 USC 612c–5. 
7 USC 2206b. 
31 USC 3716 
note. 
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122 STAT. 1484 
PUBLIC LAW 110–234—MAY 22, 2008 
Secretary shall transfer for use to carry out the fresh fruit and 
vegetable program under section 19 of the Richard B. Russell 
National School Lunch Act the amounts specified in subsection 
(i) of that section. 
(d) WHOLE GRAIN PRODUCTS.—Of amounts made available to 
carry out section 32 under subsection (b)(2)(A), the Secretary shall 
use to carry out section 4305 $4,000,000 for fiscal year 2009. 
(e) MAINTENANCE OF FUNDING.—The funding provided under 
subsections (c) and (d) shall supplement (and not supplant) other 
Federal funding (including section 32 funding) for programs carried 
out under— 
(1) the Richard B. Russell National School Lunch Act (42 
U.S.C. 1751 et seq.), except for section 19 of that Act; 
(2) the Emergency Food Assistance Act of 1983 (7 U.S.C. 
7501 et seq.); and 
(3) section 27 of the Food Stamp Act of 1977 (7 U.S.C. 
2036). 
SEC. 14223. TECHNICAL CORRECTION. 
Section 923(1)(B) of the Federal Agriculture Improvement and 
Reform Act of 1996 (7 U.S.C. 2206a(1)(B)) is amended by striking 
‘‘as defined in section 316(b) of the Higher Education Act of 1965 
(20 U.S.C. 1059c(b))’’ and inserting ‘‘as defined in section 502(a)(5) 
of the Higher Education Act of 1965 (20 U.S.C. 1101a(a)(5))’’. 
TITLE XV—TRADE AND TAX 
PROVISIONS 
SEC. 15001. SHORT TITLE; ETC. 
(a) SHORT TITLE.—This title may be cited as the ‘‘Heartland, 
Habitat, Harvest, and Horticulture Act of 2008’’. 
(b) AMENDMENTS TO 1986 CODE.—Except as otherwise expressly 
provided, whenever in this title an amendment or repeal is 
expressed in terms of an amendment to, or repeal of, a section 
or other provision, the reference shall be considered to be made 
to a section or other provision of the Internal Revenue Code of 
1986. 
Subtitle A—Supplemental Agricultural Dis-
aster Assistance From the Agricultural 
Disaster Relief Trust Fund 
SEC. 15101. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE. 
(a) IN GENERAL.—The Trade Act of 1974 (19 U.S.C. 2101 et 
seq.) is amended by adding at the end the following: 
‘‘TITLE IX—SUPPLEMENTAL 
AGRICULTURAL DISASTER ASSISTANCE 
‘‘SEC. 901. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE. 
‘‘(a) DEFINITIONS.—In this section: 
19 USC 2497. 
26 USC 1 note. 
Heartland, 
Habitat, Harvest, 
and Horticulture 
Act of 2008. 
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122 STAT. 1485 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) ACTUAL PRODUCTION HISTORY YIELD.—The term ‘actual 
production history yield’ means the weighted average of the 
actual production history for each insurable commodity or non-
insurable commodity, as calculated under the Federal Crop 
Insurance Act (7 U.S.C. 1501 et seq.) or the noninsured crop 
disaster assistance program, respectively. 
‘‘(2) ADJUSTED ACTUAL PRODUCTION HISTORY YIELD.—The 
term ‘adjusted actual production history yield’ means— 
‘‘(A) in the case of an eligible producer on a farm 
that has at least 4 years of actual production history yields 
for an insurable commodity that are established other than 
pursuant to section 508(g)(4)(B) of the Federal Crop Insur-
ance Act (7 U.S.C. 1508(g)(4)(B)), the actual production 
history for the eligible producer without regard to any 
yields established under that section; 
‘‘(B) in the case of an eligible producer on a farm 
that has less than 4 years of actual production history 
yields for an insurable commodity, of which 1 or more 
were established pursuant to section 508(g)(4)(B) of that 
Act, the actual production history for the eligible producer 
as calculated without including the lowest of the yields 
established pursuant to section 508(g)(4)(B) of that Act; 
and 
‘‘(C) in all other cases, the actual production history 
of the eligible producer on a farm. 
‘‘(3) ADJUSTED NONINSURED CROP DISASTER ASSISTANCE PRO-
GRAM
YIELD.—The term ‘adjusted noninsured crop disaster 
assistance program yield’ means— 
‘‘(A) in the case of an eligible producer on a farm 
that has at least 4 years of production history under the 
noninsured crop disaster assistance program that are not 
replacement yields, the noninsured crop disaster assistance 
program yield without regard to any replacement yields; 
‘‘(B) in the case of an eligible producer on a farm 
that less than 4 years of production history under the 
noninsured crop disaster assistance program that are not 
replacement yields, the noninsured crop disaster assistance 
program yield as calculated without including the lowest 
of the replacement yields; and 
‘‘(C) in all other cases, the production history of the 
eligible producer on the farm under the noninsured crop 
disaster assistance program. 
‘‘(4) COUNTER-CYCLICAL
PROGRAM
PAYMENT
YIELD.—The 
term ‘counter-cyclical program payment yield’ means the 
weighted average payment yield established under section 1102 
of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 7912), section 1102 of the Food, Conservation, and 
Energy Act of 2008, or a successor section. 
‘‘(5) DISASTER COUNTY.— 
‘‘(A) IN GENERAL.—The term ‘disaster county’ means 
a county included in the geographic area covered by a 
qualifying natural disaster declaration. 
‘‘(B) INCLUSION.—The term ‘disaster county’ includes— 
‘‘(i) a county contiguous to a county described in 
subparagraph (A); and 
‘‘(ii) any farm in which, during a calendar year, 
the total loss of production of the farm relating to 
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122 STAT. 1486 
PUBLIC LAW 110–234—MAY 22, 2008 
weather is greater than 50 percent of the normal 
production of the farm, as determined by the Secretary. 
‘‘(6) ELIGIBLE PRODUCER ON A FARM.— 
‘‘(A) IN GENERAL.—The term ‘eligible producer on a 
farm’ means an individual or entity described in subpara-
graph (B) that, as determined by the Secretary, assumes 
the production and market risks associated with the agri-
cultural production of crops or livestock. 
‘‘(B) DESCRIPTION.—An individual or entity referred 
to in subparagraph (A) is— 
‘‘(i) a citizen of the United States; 
‘‘(ii) a resident alien; 
‘‘(iii) a partnership of citizens of the United States; 
or 
‘‘(iv) a corporation, limited liability corporation, or 
other farm organizational structure organized under 
State law. 
‘‘(7) FARM.— 
‘‘(A) IN GENERAL.—The term ‘farm’ means, in relation 
to an eligible producer on a farm, the sum of all crop 
acreage in all counties that is planted or intended to be 
planted for harvest by the eligible producer. 
‘‘(B) AQUACULTURE.—In the case of aquaculture, the 
term ‘farm’ means, in relation to an eligible producer on 
a farm, all fish being produced in all counties that are 
intended to be harvested for sale by the eligible producer. 
‘‘(C) HONEY.—In the case of honey, the term ‘farm’ 
means, in relation to an eligible producer on a farm, all 
bees and beehives in all counties that are intended to 
be harvested for a honey crop by the eligible producer. 
‘‘(8) FARM-RAISED FISH.—The term ‘farm-raised fish’ means 
any aquatic species that is propagated and reared in a con-
trolled environment. 
‘‘(9) INSURABLE
COMMODITY.—The term ‘insurable com-
modity’ means an agricultural commodity (excluding livestock) 
for which the producer on a farm is eligible to obtain a policy 
or plan of insurance under the Federal Crop Insurance Act 
(7 U.S.C. 1501 et seq.). 
‘‘(10) LIVESTOCK.—The term ‘livestock’ includes— 
‘‘(A) cattle (including dairy cattle); 
‘‘(B) bison; 
‘‘(C) poultry; 
‘‘(D) sheep; 
‘‘(E) swine; 
‘‘(F) horses; and 
‘‘(G) other livestock, as determined by the Secretary. 
‘‘(11) NONINSURABLE COMMODITY.—The term ‘noninsurable 
commodity’ means a crop for which the eligible producers on 
a farm are eligible to obtain assistance under the noninsured 
crop assistance program. 
‘‘(12) NONINSURED CROP ASSISTANCE PROGRAM.—The term 
‘noninsured crop assistance program’ means the program car-
ried out under section 196 of the Federal Agriculture Improve-
ment and Reform Act of 1996 (7 U.S.C. 7333). 
‘‘(13) QUALIFYING NATURAL DISASTER DECLARATION.—The 
term ‘qualifying natural disaster declaration’ means a natural 
disaster declared by the Secretary for production losses under 
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122 STAT. 1487 
PUBLIC LAW 110–234—MAY 22, 2008 
section 321(a) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1961(a)). 
‘‘(14) SECRETARY.—The term ‘Secretary’ means the Sec-
retary of Agriculture. 
‘‘(15) SOCIALLY DISADVANTAGED FARMER OR RANCHER.—The 
term ‘socially disadvantaged farmer or rancher’ has the 
meaning given the term in section 2501(e) of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e)). 
‘‘(16) STATE.—The term ‘State’ means— 
‘‘(A) a State; 
‘‘(B) the District of Columbia; 
‘‘(C) the Commonwealth of Puerto Rico; and 
‘‘(D) any other territory or possession of the United 
States. 
‘‘(17) TRUST FUND.—The term ‘Trust Fund’ means the Agri-
cultural Disaster Relief Trust Fund established under section 
902. 
‘‘(18) UNITED STATES.—The term ‘United States’ when used 
in a geographical sense, means all of the States. 
‘‘(b) SUPPLEMENTAL REVENUE ASSISTANCE PAYMENTS.— 
‘‘(1) IN GENERAL.—The Secretary shall use such sums as 
are necessary from the Trust Fund to make crop disaster assist-
ance payments to eligible producers on farms in disaster coun-
ties that have incurred crop production losses or crop quality 
losses, or both, during the crop year. 
‘‘(2) AMOUNT.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
Secretary shall provide crop disaster assistance payments 
under this section to an eligible producer on a farm in 
an amount equal to 60 percent of the difference between— 
‘‘(i) the disaster assistance program guarantee, as 
described in paragraph (3); and 
‘‘(ii) the total farm revenue for a farm, as described 
in paragraph (4). 
‘‘(B) LIMITATION.—The disaster assistance program 
guarantee for a crop used to calculate the payments for 
a farm under subparagraph (A)(i) may not be greater than 
90 percent of the sum of the expected revenue, as described 
in paragraph (5) for each of the crops on a farm, as deter-
mined by the Secretary. 
‘‘(3) SUPPLEMENTAL REVENUE ASSISTANCE PROGRAM GUAR-
ANTEE.— 
‘‘(A) IN
GENERAL.—Except as otherwise provided in 
this paragraph, the supplemental assistance program guar-
antee shall be the sum obtained by adding— 
‘‘(i) for each insurable commodity on the farm, 
115 percent of the product obtained by multiplying— 
‘‘(I) a payment rate for the commodity that 
is equal to the price election for the commodity 
elected by the eligible producer; 
‘‘(II) the payment acres for the commodity that 
is equal to the number of acres planted, or pre-
vented from being planted, to the commodity; 
‘‘(III) the payment yield for the commodity 
that is equal to the percentage of the crop insur-
ance yield elected by the producer of the higher 
of— 
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122 STAT. 1488 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(aa) the adjusted actual production his-
tory yield; or 
‘‘(bb) the counter-cyclical program pay-
ment yield for each crop; and 
‘‘(ii) for each noninsurable commodity on a farm, 
120 percent of the product obtained by multiplying— 
‘‘(I) a payment rate for the commodity that 
is equal to 100 percent of the noninsured crop 
assistance program established price for the com-
modity; 
‘‘(II) the payment acres for the commodity that 
is equal to the number of acres planted, or pre-
vented from being planted, to the commodity; and 
‘‘(III) the payment yield for the commodity 
that is equal to the higher of— 
‘‘(aa) the adjusted noninsured crop assist-
ance program yield guarantee; or 
‘‘(bb) the counter-cyclical program pay-
ment yield for each crop. 
‘‘(B) ADJUSTMENT
INSURANCE
GUARANTEE.—Notwith-
standing subparagraph (A), in the case of an insurable 
commodity for which a plan of insurance provides for an 
adjustment in the guarantee, such as in the case of pre-
vented planting, the adjusted insurance guarantee shall 
be the basis for determining the disaster assistance pro-
gram guarantee for the insurable commodity. 
‘‘(C) ADJUSTED
ASSISTANCE
LEVEL.—Notwithstanding 
subparagraph (A), in the case of a noninsurable commodity 
for which the noninsured crop assistance program provides 
for an adjustment in the level of assistance, such as in 
the case of unharvested crops, the adjusted assistance level 
shall be the basis for determining the disaster assistance 
program guarantee for the noninsurable commodity. 
‘‘(D) EQUITABLE TREATMENT FOR NON-YIELD BASED POLI-
CIES.—The Secretary shall establish equitable treatment 
for non-yield based policies and plans of insurance, such 
as the Adjusted Gross Revenue Lite insurance program. 
‘‘(4) FARM REVENUE.— 
‘‘(A) IN GENERAL.—For purposes of this subsection, the 
total farm revenue for a farm, shall equal the sum obtained 
by adding— 
‘‘(i) the estimated actual value for each crop pro-
duced on a farm by using the product obtained by 
multiplying— 
‘‘(I) the actual crop acreage harvested by an 
eligible producer on a farm; 
‘‘(II) the estimated actual yield of the crop 
production; and 
‘‘(III) subject to subparagraphs (B) and (C), 
to the extent practicable, the national average 
market price received for the marketing year, as 
determined by the Secretary; 
‘‘(ii) 15 percent of amount of any direct payments 
made to the producer under sections 1103 and 1303 
of the Food, Conservation, and Energy Act of 2008 
or successor sections; 
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122 STAT. 1489 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(iii) the total amount of any counter-cyclical pay-
ments made to the producer under sections 1104 and 
1304 of the Food, Conservation, and Energy Act of 
2008 or successor sections or of any average crop rev-
enue election payments made to the producer under 
section 1105 of that Act; 
‘‘(iv) the total amount of any loan deficiency pay-
ments, marketing loan gains, and marketing certificate 
gains made to the producer under subtitles B and 
C of the Food, Conservation, and Energy Act of 2008 
or successor subtitles; 
‘‘(v) the amount of payments for prevented planting 
on a farm; 
‘‘(vi) the amount of crop insurance indemnities 
received by an eligible producer on a farm for each 
crop on a farm; 
‘‘(vii) the amount of payments an eligible producer 
on a farm received under the noninsured crop assist-
ance program for each crop on a farm; and 
‘‘(viii) the value of any other natural disaster 
assistance payments provided by the Federal Govern-
ment to an eligible producer on a farm for each crop 
on a farm for the same loss for which the eligible 
producer is seeking assistance. 
‘‘(B) ADJUSTMENT.—The Secretary shall adjust the 
average market price received by the eligible producer on 
a farm— 
‘‘(i) to reflect the average quality discounts applied 
to the local or regional market price of a crop or 
mechanically harvested forage due to a reduction in 
the intrinsic characteristics of the production resulting 
from adverse weather, as determined annually by the 
State office of the Farm Service Agency; and 
‘‘(ii) to account for a crop the value of which is 
reduced due to excess moisture resulting from a dis-
aster-related condition. 
‘‘(C) MAXIMUM
AMOUNT
FOR
CERTAIN
CROPS.—With 
respect to a crop for which an eligible producer on a farm 
receives assistance under the noninsured crop assistance 
program, the national average market price received during 
the marketing year shall be an amount not more than 
100 percent of the price of the crop established under 
the noninsured crop assistance program. 
‘‘(5) EXPECTED REVENUE.—The expected revenue for each 
crop on a farm shall equal the sum obtained by adding— 
‘‘(A) the product obtained by multiplying— 
‘‘(i) the greatest of— 
‘‘(I) the adjusted actual production history 
yield of the eligible producer on a farm; and 
‘‘(II) the counter-cyclical program payment 
yield; 
‘‘(ii) the acreage planted or prevented from being 
planted for each crop; and 
‘‘(iii) 100 percent of the insurance price guarantee; 
and 
‘‘(B) the product obtained by multiplying— 
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122 STAT. 1490 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(i) 100 percent of the adjusted noninsured crop 
assistance program yield; and 
‘‘(ii) 100 percent of the noninsured crop assistance 
program price for each of the crops on a farm. 
‘‘(c) LIVESTOCK INDEMNITY PAYMENTS.— 
‘‘(1) PAYMENTS.—The Secretary shall use such sums as 
are necessary from the Trust Fund to make livestock indemnity 
payments to eligible producers on farms that have incurred 
livestock death losses in excess of the normal mortality due 
to adverse weather, as determined by the Secretary, during 
the calendar year, including losses due to hurricanes, floods, 
blizzards, disease, wildfires, extreme heat, and extreme cold. 
‘‘(2) PAYMENT RATES.—Indemnity payments to an eligible 
producer on a farm under paragraph (1) shall be made at 
a rate of 75 percent of the market value of the applicable 
livestock on the day before the date of death of the livestock, 
as determined by the Secretary. 
‘‘(d) LIVESTOCK FORAGE DISASTER PROGRAM.— 
‘‘(1) DEFINITIONS.—In this subsection: 
‘‘(A) COVERED LIVESTOCK.— 
‘‘(i) IN
GENERAL.—The term ‘covered livestock’ 
means livestock of an eligible livestock producer that, 
during the 60 days prior to the beginning date of 
a qualifying drought or fire condition, as determined 
by the Secretary, the eligible livestock producer— 
‘‘(I) owned; 
‘‘(II) leased; 
‘‘(III) purchased; 
‘‘(IV) entered into a contract to purchase; 
‘‘(V) is a contract grower; or 
‘‘(VI) sold or otherwise disposed of due to quali-
fying drought conditions during— 
‘‘(aa) the current production year; or 
‘‘(bb) subject to paragraph (3)(B)(ii), 1 or 
both of the 2 production years immediately 
preceding the current production year. 
‘‘(ii) EXCLUSION.—The term ‘covered livestock’ does 
not include livestock that were or would have been 
in a feedlot, on the beginning date of the qualifying 
drought or fire condition, as a part of the normal 
business operation of the eligible livestock producer, 
as determined by the Secretary. 
‘‘(B) DROUGHT MONITOR.—The term ‘drought monitor’ 
means a system for classifying drought severity according 
to a range of abnormally dry to exceptional drought, as 
defined by the Secretary. 
‘‘(C) ELIGIBLE LIVESTOCK PRODUCER.— 
‘‘(i) IN GENERAL.—The term ‘eligible livestock pro-
ducer’ means an eligible producer on a farm that— 
‘‘(I) is an owner, cash or share lessee, or con-
tract grower of covered livestock that provides the 
pastureland or grazing land, including cash-leased 
pastureland or grazing land, for the livestock; 
‘‘(II) provides the pastureland or grazing land 
for 
covered 
livestock, 
including 
cash-leased 
pastureland or grazing land that is physically 
located in a county affected by drought; 
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122 STAT. 1491 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(III) certifies grazing loss; and 
‘‘(IV) meets all other eligibility requirements 
established under this subsection. 
‘‘(ii) EXCLUSION.—The term ‘eligible livestock pro-
ducer’ does not include an owner, cash or share lessee, 
or contract grower of livestock that rents or leases 
pastureland or grazing land owned by another person 
on a rate-of-gain basis. 
‘‘(D) NORMAL CARRYING CAPACITY.—The term ‘normal 
carrying capacity’, with respect to each type of grazing 
land or pastureland in a county, means the normal carrying 
capacity, as determined under paragraph (3)(D)(i), that 
would be expected from the grazing land or pastureland 
for livestock during the normal grazing period, in the 
absence of a drought or fire that diminishes the production 
of the grazing land or pastureland. 
‘‘(E) NORMAL
GRAZING
PERIOD.—The term ‘normal 
grazing period’, with respect to a county, means the normal 
grazing period during the calendar year for the county, 
as determined under paragraph (3)(D)(i). 
‘‘(2) PROGRAM.—The Secretary shall use such sums as are 
necessary from the Trust Fund to provide compensation for 
losses to eligible livestock producers due to grazing losses for 
covered livestock due to— 
‘‘(A) a drought condition, as described in paragraph 
(3); or 
‘‘(B) fire, as described in paragraph (4). 
‘‘(3) ASSISTANCE
FOR
LOSSES
DUE
TO
DROUGHT
CONDI-
TIONS.— 
‘‘(A) ELIGIBLE LOSSES.— 
‘‘(i) IN GENERAL.—An eligible livestock producer 
may receive assistance under this subsection only for 
grazing losses for covered livestock that occur on land 
that— 
‘‘(I) is native or improved pastureland with 
permanent vegetative cover; or 
‘‘(II) is planted to a crop planted specifically 
for the purpose of providing grazing for covered 
livestock. 
‘‘(ii) EXCLUSIONS.—An eligible livestock producer 
may not receive assistance under this subsection for 
grazing losses that occur on land used for haying or 
grazing under the conservation reserve program estab-
lished under subchapter B of chapter 1 of subtitle 
D of title XII of the Food Security Act of 1985 (16 
U.S.C. 3831 et seq.). 
‘‘(B) MONTHLY PAYMENT RATE.— 
‘‘(i) IN
GENERAL.—Except as provided in clause 
(ii), the payment rate for assistance under this para-
graph for 1 month shall, in the case of drought, be 
equal to 60 percent of the lesser of— 
‘‘(I) the monthly feed cost for all covered live-
stock owned or leased by the eligible livestock 
producer, as determined under subparagraph (C); 
or 
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122 STAT. 1492 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) the monthly feed cost calculated by using 
the normal carrying capacity of the eligible grazing 
land of the eligible livestock producer. 
‘‘(ii) PARTIAL COMPENSATION.—In the case of an 
eligible livestock producer that sold or otherwise dis-
posed of covered livestock due to drought conditions 
in 1 or both of the 2 production years immediately 
preceding the current production year, as determined 
by the Secretary, the payment rate shall be 80 percent 
of the payment rate otherwise calculated in accordance 
with clause (i). 
‘‘(C) MONTHLY FEED COST.— 
‘‘(i) IN
GENERAL.—The monthly feed cost shall 
equal the product obtained by multiplying— 
‘‘(I) 30 days; 
‘‘(II) a payment quantity that is equal to the 
feed grain equivalent, as determined under clause 
(ii); and 
‘‘(III) a payment rate that is equal to the corn 
price per pound, as determined under clause (iii). 
‘‘(ii) FEED
GRAIN
EQUIVALENT.—For purposes of 
clause (i)(I), the feed grain equivalent shall equal— 
‘‘(I) in the case of an adult beef cow, 15.7 
pounds of corn per day; or 
‘‘(II) in the case of any other type of weight 
of livestock, an amount determined by the Sec-
retary that represents the average number of 
pounds of corn per day necessary to feed the live-
stock. 
‘‘(iii) CORN
PRICE
PER
POUND.—For purposes of 
clause (i)(II), the corn price per pound shall equal 
the quotient obtained by dividing— 
‘‘(I) the higher of— 
‘‘(aa) the national average corn price per 
bushel for the 12-month period immediately 
preceding March 1 of the year for which the 
disaster assistance is calculated; or 
‘‘(bb) the national average corn price per 
bushel for the 24-month period immediately 
preceding that March 1; by 
‘‘(II) 56. 
‘‘(D) NORMAL GRAZING PERIOD AND DROUGHT MONITOR 
INTENSITY.— 
‘‘(i) FSA COUNTY COMMITTEE DETERMINATIONS.— 
‘‘(I) IN GENERAL.—The Secretary shall deter-
mine the normal carrying capacity and normal 
grazing period for each type of grazing land or 
pastureland in the county served by the applicable 
committee. 
‘‘(II) CHANGES.—No change to the normal car-
rying capacity or normal grazing period established 
for a county under subclause (I) shall be made 
unless the change is requested by the appropriate 
State and county Farm Service Agency committees. 
‘‘(ii) DROUGHT INTENSITY.— 
‘‘(I) D2.—An eligible livestock producer that 
owns or leases grazing land or pastureland that 
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122 STAT. 1493 
PUBLIC LAW 110–234—MAY 22, 2008 
is physically located in a county that is rated by 
the U.S. Drought Monitor as having a D2 (severe 
drought) intensity in any area of the county for 
at least 8 consecutive weeks during the normal 
grazing period for the county, as determined by 
the Secretary, shall be eligible to receive assistance 
under this paragraph in an amount equal to 1 
monthly payment using the monthly payment rate 
determined under subparagraph (B). 
‘‘(II) D3.—An eligible livestock producer that 
owns or leases grazing land or pastureland that 
is physically located in a county that is rated by 
the U.S. Drought Monitor as having at least a 
D3 (extreme drought) intensity in any area of the 
county at any time during the normal grazing 
period for the county, as determined by the Sec-
retary, shall be eligible to receive assistance under 
this paragraph— 
‘‘(aa) in an amount equal to 2 monthly 
payments using the monthly payment rate 
determined under subparagraph (B); or 
‘‘(bb) if the county is rated as having a 
D3 (extreme drought) intensity in any area 
of the county for at least 4 weeks during the 
normal grazing period for the county, or is 
rated as having a D4 (exceptional drought) 
intensity in any area of the county at any 
time during the normal grazing period, in an 
amount equal to 3 monthly payments using 
the monthly payment rate determined under 
subparagraph (B). 
‘‘(4) ASSISTANCE FOR LOSSES DUE TO FIRE ON PUBLIC MAN-
AGED LAND.— 
‘‘(A) IN GENERAL.—An eligible livestock producer may 
receive assistance under this paragraph only if— 
‘‘(i) the grazing losses occur on rangeland that 
is managed by a Federal agency; and 
‘‘(ii) the eligible livestock producer is prohibited 
by the Federal agency from grazing the normal per-
mitted livestock on the managed rangeland due to 
a fire. 
‘‘(B) PAYMENT RATE.—The payment rate for assistance 
under this paragraph shall be equal to 50 percent of the 
monthly feed cost for the total number of livestock covered 
by the Federal lease of the eligible livestock producer, 
as determined under paragraph (3)(C). 
‘‘(C) PAYMENT DURATION.— 
‘‘(i) IN GENERAL.—Subject to clause (ii), an eligible 
livestock producer shall be eligible to receive assistance 
under this paragraph for the period— 
‘‘(I) beginning on the date on which the Fed-
eral agency excludes the eligible livestock producer 
from using the managed rangeland for grazing; 
and 
‘‘(II) ending on the last day of the Federal 
lease of the eligible livestock producer. 
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122 STAT. 1494 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(ii) LIMITATION.—An eligible livestock producer 
may only receive assistance under this paragraph for 
losses that occur on not more than 180 days per year. 
‘‘(5) MINIMUM
RISK
MANAGEMENT
PURCHASE
REQUIRE-
MENTS.— 
‘‘(A) IN
GENERAL.—Except as otherwise provided in 
this paragraph, a livestock producer shall only be eligible 
for assistance under this subsection if the livestock pro-
ducer— 
‘‘(i) obtained a policy or plan of insurance under 
the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) 
for the grazing land incurring the losses for which 
assistance is being requested; or 
‘‘(ii) filed the required paperwork, and paid the 
administrative fee by the applicable State filing dead-
line, for the noninsured crop assistance program for 
the grazing land incurring the losses for which assist-
ance is being requested. 
‘‘(B) WAIVER FOR SOCIALLY DISADVANTAGED, LIMITED 
RESOURCE, OR
BEGINNING
FARMER
OR
RANCHER.—In the 
case of an eligible livestock producer that is a socially 
disadvantaged farmer or rancher or limited resource or 
beginning farmer or rancher, as determined by the Sec-
retary, the Secretary may— 
‘‘(i) waive subparagraph (A); and 
‘‘(ii) provide disaster assistance under this section 
at a level that the Secretary determines to be equitable 
and appropriate. 
‘‘(C) WAIVER FOR 2008 CALENDAR YEAR.—In the case 
of an eligible livestock producer that suffered losses on 
grazing land during the 2008 calendar year but does not 
meet the requirements of subparagraph (A), the Secretary 
shall waive subparagraph (A) if the eligible livestock pro-
ducer pays a fee in an amount equal to the applicable 
noninsured crop assistance program fee or catastrophic 
risk protection plan fee required under subparagraph (A) 
to the Secretary not later than 90 days after the date 
of enactment of this subtitle. 
‘‘(D) EQUITABLE RELIEF.— 
‘‘(i) IN GENERAL.—The Secretary may provide equi-
table relief to an eligible livestock producer that is 
otherwise ineligible or unintentionally fails to meet 
the requirements of subparagraph (A) for the grazing 
land incurring the loss on a case-by-case basis, as 
determined by the Secretary. 
‘‘(ii) 2008 CALENDAR
YEAR.—In the case of an 
eligible livestock producer that suffered losses on 
grazing land during the 2008 calendar year, the Sec-
retary shall take special consideration to provide equi-
table relief in cases in which the eligible livestock 
producer failed to meet the requirements of subpara-
graph (A) due to the enactment of this title after the 
closing date of sales periods for crop insurance under 
the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) 
and the noninsured crop assistance program. 
‘‘(6) NO DUPLICATIVE PAYMENTS.— 
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122 STAT. 1495 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) IN GENERAL.—An eligible livestock producer may 
elect to receive assistance for grazing or pasture feed losses 
due to drought conditions under paragraph (3) or fire under 
paragraph (4), but not both for the same loss, as determined 
by the Secretary. 
‘‘(B) RELATIONSHIP TO SUPPLEMENTAL REVENUE ASSIST-
ANCE.—An eligible livestock producer that receives assist-
ance under this subsection may not also receive assistance 
for losses to crops on the same land with the same intended 
use under subsection (b). 
‘‘(e) EMERGENCY ASSISTANCE FOR LIVESTOCK, HONEY BEES, AND 
FARM-RAISED FISH.— 
‘‘(1) 
IN
GENERAL.—The 
Secretary 
shall 
use 
up 
to 
$50,000,000 per year from the Trust Fund to provide emergency 
relief to eligible producers of livestock, honey bees, and farm- 
raised fish to aid in the reduction of losses due to disease, 
adverse weather, or other conditions, such as blizzards and 
wildfires, as determined by the Secretary, that are not covered 
under subsection (b), (c), or (d). 
‘‘(2) USE OF FUNDS.—Funds made available under this sub-
section shall be used to reduce losses caused by feed or water 
shortages, disease, or other factors as determined by the Sec-
retary. 
‘‘(3) AVAILABILITY OF FUNDS.—Any funds made available 
under this subsection shall remain available until expended. 
‘‘(f) TREE ASSISTANCE PROGRAM.— 
‘‘(1) DEFINITIONS.—In this subsection: 
‘‘(A) 
ELIGIBLE
ORCHARDIST.—The 
term 
‘eligible 
orchardist’ means a person that produces annual crops 
from trees for commercial purposes. 
‘‘(B) NATURAL DISASTER.—The term ‘natural disaster’ 
means plant disease, insect infestation, drought, fire, 
freeze, flood, earthquake, lightning, or other occurrence, 
as determined by the Secretary. 
‘‘(C) NURSERY TREE GROWER.—The term ‘nursery tree 
grower’ means a person who produces nursery, ornamental, 
fruit, nut, or Christmas trees for commercial sale, as deter-
mined by the Secretary. 
‘‘(D) TREE.—The term ‘tree’ includes a tree, bush, and 
vine. 
‘‘(2) ELIGIBILITY.— 
‘‘(A) LOSS.—Subject to subparagraph (B), the Secretary 
shall provide assistance— 
‘‘(i) under paragraph (3) to eligible orchardists and 
nursery tree growers that planted trees for commercial 
purposes but lost the trees as a result of a natural 
disaster, as determined by the Secretary; and 
‘‘(ii) under paragraph (3)(B) to eligible orchardists 
and nursery tree growers that have a production his-
tory for commercial purposes on planted or existing 
trees but lost the trees as a result of a natural disaster, 
as determined by the Secretary. 
‘‘(B) LIMITATION.—An eligible orchardist or nursery 
tree grower shall qualify for assistance under subparagraph 
(A) only if the tree mortality of the eligible orchardist 
or nursery tree grower, as a result of damaging weather 
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122 STAT. 1496 
PUBLIC LAW 110–234—MAY 22, 2008 
or related condition, exceeds 15 percent (adjusted for 
normal mortality). 
‘‘(3) ASSISTANCE.—Subject to paragraph (4), the assistance 
provided by the Secretary to eligible orchardists and nursery 
tree growers for losses described in paragraph (2) shall consist 
of— 
‘‘(A)(i) reimbursement of 70 percent of the cost of 
replanting trees lost due to a natural disaster, as deter-
mined by the Secretary, in excess of 15 percent mortality 
(adjusted for normal mortality); or 
‘‘(ii) at the option of the Secretary, sufficient seedlings 
to reestablish a stand; and 
‘‘(B) reimbursement of 50 percent of the cost of pruning, 
removal, and other costs incurred by an eligible orchardist 
or nursery tree grower to salvage existing trees or, in 
the case of tree mortality, to prepare the land to replant 
trees as a result of damage or tree mortality due to a 
natural disaster, as determined by the Secretary, in excess 
of 15 percent damage or mortality (adjusted for normal 
tree damage and mortality). 
‘‘(4) LIMITATIONS ON ASSISTANCE.— 
‘‘(A) DEFINITIONS OF LEGAL ENTITY AND PERSON.—In 
this paragraph, the terms ‘legal entity’ and ‘person’ have 
the meaning given those terms in section 1001(a) of the 
Food Security Act of 1985 (7 U.S.C. 1308(a) (as amended 
by section 1603 of the Food, Conservation, and Energy 
Act of 2008). 
‘‘(B) AMOUNT.—The total amount of payments received, 
directly or indirectly, by a person or legal entity (excluding 
a joint venture or general partnership) under this sub-
section may not exceed $100,000 for any crop year, or 
an equivalent value in tree seedlings. 
‘‘(C) ACRES.—The total quantity of acres planted to 
trees or tree seedlings for which a person or legal entity 
shall be entitled to receive payments under this subsection 
may not exceed 500 acres. 
‘‘(g) RISK MANAGEMENT PURCHASE REQUIREMENT.— 
‘‘(1) IN GENERAL.—Except as otherwise provided in this 
section, the eligible producers on a farm shall not be eligible 
for assistance under this section (other than subsection (c)) 
if the eligible producers on the farm— 
‘‘(A) in the case of each insurable commodity of the 
eligible producers on the farm, did not obtain a policy 
or plan of insurance under the Federal Crop Insurance 
Act (7 U.S.C. 1501 et seq.) (excluding a crop insurance 
pilot program under that Act); or 
‘‘(B) in the case of each noninsurable commodity of 
the eligible producers on the farm, did not file the required 
paperwork, and pay the administrative fee by the 
applicable State filing deadline, for the noninsured crop 
assistance program. 
‘‘(2) MINIMUM.—To be considered to have obtained insur-
ance under paragraph (1)(A), an eligible producer on a farm 
shall have obtained a policy or plan of insurance with not 
less than 50 percent yield coverage at 55 percent of the insur-
able price for each crop grazed, planted, or intended to be 
planted for harvest on a whole farm. 
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122 STAT. 1497 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(3) WAIVER
FOR
SOCIALLY
DISADVANTAGED, 
LIMITED 
RESOURCE, OR BEGINNING FARMER OR RANCHER.—With respect 
to eligible producers that are socially disadvantaged farmers 
or ranchers or limited resource or beginning farmers or 
ranchers, as determined by the Secretary, the Secretary may— 
‘‘(A) waive paragraph (1); and 
‘‘(B) provide disaster assistance under this section at 
a level that the Secretary determines to be equitable and 
appropriate. 
‘‘(4) WAIVER FOR 2008 CROP YEAR.—In the case of an eligible 
producer that suffered losses in an insurable commodity or 
noninsurable commodity during the 2008 crop year but does 
not meet the requirements of paragraph (1), the Secretary 
shall waive paragraph (1) if the eligible producer pays a fee 
in an amount equal to the applicable noninsured crop assistance 
program fee or catastrophic risk protection plan fee required 
under paragraph (1) to the Secretary not later than 90 days 
after the date of enactment of this subtitle. 
‘‘(5) EQUITABLE RELIEF.— 
‘‘(A) IN GENERAL.—The Secretary may provide equi-
table relief to eligible producers on a farm that are other-
wise ineligible or unintentionally fail to meet the require-
ments of paragraph (1) for 1 or more crops on a farm 
on a case-by-case basis, as determined by the Secretary. 
‘‘(B) 2008 CROP YEAR.—In the case of eligible producers 
on a farm that suffered losses in an insurable commodity 
or noninsurable commodity during the 2008 crop year, the 
Secretary shall take special consideration to provide equi-
table relief in cases in which the eligible producers failed 
to meet the requirements of paragraph (1) due to the 
enactment of this title after the closing date of sales periods 
for crop insurance under the Federal Crop Insurance Act 
(7 U.S.C. 1501 et seq.) and the noninsured crop assistance 
program. 
‘‘(h) PAYMENT LIMITATIONS.— 
‘‘(1) DEFINITIONS OF LEGAL ENTITY AND PERSON.—In this 
subsection, the terms ‘legal entity’ and ‘person’ have the 
meaning given those terms in section 1001(a) of the Food Secu-
rity Act of 1985 (7 U.S.C. 1308(a) (as amended by section 
1603 of the Food, Conservation, and Energy Act of 2008). 
‘‘(2) AMOUNT.—The total amount of disaster assistance pay-
ments received, directly or indirectly, by a person or legal 
entity (excluding a joint venture or general partnership) under 
this section (excluding payments received under subsection (f)) 
may not exceed $100,000 for any crop year. 
‘‘(3) AGI LIMITATION.—Section 1001D of the Food Security 
Act of 1985 (7 U.S.C. 1308–3a) or any successor provision 
shall apply with respect to assistance provided under this sec-
tion. 
‘‘(4) DIRECT ATTRIBUTION.—Subsections (e) and (f) of section 
1001 of the Food Security Act of 1985 (7 U.S.C. 1308) or 
any successor provisions relating to direct attribution shall 
apply with respect to assistance provided under this section. 
‘‘(i) PERIOD OF EFFECTIVENESS.—This section shall be effective 
only for losses that are incurred as the result of a disaster, adverse 
weather, or other environmental condition that occurs on or before 
September 30, 2011, as determined by the Secretary. 
Applicability. 
Applicability. 
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122 STAT. 1498 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(j) NO DUPLICATIVE PAYMENTS.—In implementing any other 
program which makes disaster assistance payments (except for 
indemnities made under the Federal Crop Insurance Act (7 U.S.C. 
1501 et seq.)) and section 196 of the Federal Agriculture Improve-
ment and Reform Act of 1996), the Secretary shall prevent duplica-
tive payments with respect to the same loss for which a person 
receives a payment under subsections (b), (c), (d), (e), or (f). 
‘‘SEC. 902. AGRICULTURAL DISASTER RELIEF TRUST FUND. 
‘‘(a) CREATION OF TRUST FUND.—There is established in the 
Treasury of the United States a trust fund to be known as the 
‘Agricultural Disaster Relief Trust Fund’, consisting of such 
amounts as may be appropriated or credited to such Trust Fund 
as provided in this section. 
‘‘(b) TRANSFER TO TRUST FUND.— 
‘‘(1) IN GENERAL.—There are appropriated to the Agricul-
tural Disaster Relief Trust Fund amounts equivalent to 3.08 
percent of the amounts received in the general fund of the 
Treasury of the United States during fiscal years 2008 through 
2011 attributable to the duties collected on articles entered, 
or withdrawn from warehouse, for consumption under the Har-
monized Tariff Schedule of the United States. 
‘‘(2) AMOUNTS BASED ON ESTIMATES.—The amounts appro-
priated under this section shall be transferred at least monthly 
from the general fund of the Treasury of the United States 
to the Agricultural Disaster Relief Trust Fund on the basis 
of estimates made by the Secretary of the Treasury. Proper 
adjustments shall be made in the amounts subsequently trans-
ferred to the extent prior estimates were in excess of or less 
than the amounts required to be transferred. 
‘‘(3) LIMITATION ON TRANSFERS TO AGRICULTURAL DISASTER 
RELIEF TRUST FUND.—No amount may be appropriated to the 
Agricultural Disaster Relief Trust Fund on and after the date 
of any expenditure from the Agricultural Disaster Relief Trust 
Fund which is not permitted by this section. The determination 
of whether an expenditure is so permitted shall be made with-
out regard to— 
‘‘(A) any provision of law which is not contained or 
referenced in this title or in a revenue Act, and 
‘‘(B) whether such provision of law is a subsequently 
enacted provision or directly or indirectly seeks to waive 
the application of this paragraph. 
‘‘(c) ADMINISTRATION.— 
‘‘(1) REPORTS.—The Secretary of the Treasury shall be the 
trustee of the Agricultural Disaster Relief Trust Fund and 
shall submit an annual report to Congress each year on the 
financial condition and the results of the operations of such 
Trust Fund during the preceding fiscal year and on its expected 
condition and operations during the 4 fiscal years succeeding 
such fiscal year. Such report shall be printed as a House 
document of the session of Congress to which the report is 
made. 
‘‘(2) INVESTMENT.— 
‘‘(A) IN GENERAL.—The Secretary of the Treasury shall 
invest such portion of the Agricultural Disaster Relief Trust 
Fund as is not in his judgment required to meet current 
withdrawals. Such investments may be made only in 
19 USC 2497a. 
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122 STAT. 1499 
PUBLIC LAW 110–234—MAY 22, 2008 
interest bearing obligations of the United States. For such 
purpose, such obligations may be acquired— 
‘‘(i) on original issue at the issue price, or 
‘‘(ii) by purchase of outstanding obligations at the 
market price. 
‘‘(B) SALE OF OBLIGATIONS.—Any obligation acquired 
by the Agricultural Disaster Relief Trust Fund may be 
sold by the Secretary of the Treasury at the market price. 
‘‘(C) INTEREST
ON
CERTAIN
PROCEEDS.—The interest 
on, and the proceeds from the sale or redemption of, any 
obligations held in the Agricultural Disaster Relief Trust 
Fund shall be credited to and form a part of such Trust 
Fund. 
‘‘(d) EXPENDITURES FROM TRUST FUND.—Amounts in the Agri-
cultural Disaster Relief Trust Fund shall be available for the pur-
poses of making expenditures to meet those obligations of the 
United States incurred under section 901 or section 531 of the 
Federal Crop Insurance Act (as such sections are in effect on the 
date of the enactment of the Food, Conservation, and Energy Act 
of 2008). 
‘‘(e) AUTHORITY TO BORROW.— 
‘‘(1) IN GENERAL.—There are authorized to be appropriated, 
and are appropriated, to the Agricultural Disaster Relief Trust 
Fund, as repayable advances, such sums as may be necessary 
to carry out the purposes of such Trust Fund. 
‘‘(2) REPAYMENT OF ADVANCES.— 
‘‘(A) IN GENERAL.—Advances made to the Agricultural 
Disaster Relief Trust Fund shall be repaid, and interest 
on such advances shall be paid, to the general fund of 
the Treasury when the Secretary determines that moneys 
are available for such purposes in such Trust Fund. 
‘‘(B) RATE OF INTEREST.—Interest on advances made 
pursuant to this subsection shall be— 
‘‘(i) at a rate determined by the Secretary of the 
Treasury (as of the close of the calendar month pre-
ceding the month in which the advance is made) to 
be equal to the current average market yield on out-
standing marketable obligations of the United States 
with remaining periods to maturity comparable to the 
anticipated period during which the advance will be 
outstanding, and 
‘‘(ii) compounded annually. 
‘‘SEC. 903. JURISDICTION. 
‘‘Legislation in the Senate of the United States amending sec-
tion 901 or 902 shall be referred to the Committee on Finance 
of the Senate.’’. 
(b) TRANSITION.—For purposes of the 2008 crop year, the Sec-
retary shall carry out subsections (f)(4) and (h) of section 901 
of the Trade Act of 1974 (as added by subsection (a)) in accordance 
with the terms and conditions of sections 1001 through 1001D 
of the Food Security Act of 1985 (16 U.S.C. 1308 et seq.), as 
in effect on September 30, 2007. 
(c) CLERICAL AMENDMENT.—The table of contents for the Trade 
Act of 1974 (19 U.S.C. 2101 et seq.) is amended by adding at 
the end the following: 
19 USC 2497 
note. 
19 USC 2497b. 
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122 STAT. 1500 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘TITLE IX—SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE 
‘‘Sec. 901. Supplemental agricultural disaster assistance. 
‘‘Sec. 902. Agricultural Disaster Relief Trust Fund. 
‘‘Sec. 903. Jurisdiction.’’. 
Subtitle B—Revenue Provisions for 
Agriculture Programs 
SEC. 15201. CUSTOMS USER FEES. 
(a) IN GENERAL.—Section 13031(j)(3)(A) of the Consolidated 
Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)(A)) 
is amended by striking ‘‘December 27, 2014’’ and inserting 
‘‘November 14, 2017’’. 
(b) OTHER FEES.—Section 13031(j)(3)(B)(i) of the Consolidated 
Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)(B)(i)) 
is amended by striking ‘‘December 27, 2014’’ and inserting ‘‘Sep-
tember 30, 2017’’. 
(c) TIME
FOR REMITTING CERTAIN COBRA FEES.—Notwith-
standing any other provision of law, any fees authorized under 
paragraphs (1) through (8) of section 13031(a) of the Consolidated 
Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(a) (1) 
through (8)) with respect to customs services provided on or after 
July 1, 2017, and before September 20, 2017, shall be paid not 
later than September 25, 2017. 
(d) TIME FOR REMITTING CERTAIN MERCHANDISE PROCESSING 
FEES.— 
(1) IN GENERAL.—Notwithstanding any other provision of 
law, any fees authorized under paragraphs (9) and (10) of 
section 13031(a) of the Consolidated Omnibus Budget Reconcili-
ation Act of 1985 (19 U.S.C. 58c(a) (9) and (10)) with respect 
to processing merchandise entered on or after October 1, 2017, 
and before November 15, 2017, shall be paid not later than 
September 25, 2017, in an amount equivalent to the amount 
of such fees paid by the person responsible for such fees with 
respect to merchandise entered on or after October 1, 2016, 
and before November 15, 2016, as determined by the Secretary 
of the Treasury. 
(2) RECONCILIATION OF MERCHANDISE PROCESSING FEES.— 
Not later than December 15, 2017, the Secretary of the 
Treasury shall reconcile the fees paid pursuant to paragraph 
(1) with the fees for services actually provided on or after 
October 1, 2017, and before November 15, 2017, and shall 
refund with interest any overpayment of such fees and make 
proper adjustments with respect to any underpayment of such 
fees. No interest may be assessed with respect to any such 
underpayment that was based on the amount of fees paid 
for merchandise entered on or after October 1, 2016, and before 
November 15, 2016. 
SEC. 15202. TIME FOR PAYMENT OF CORPORATE ESTIMATED TAXES. 
The percentage under subparagraph (B) of section 401(1) of 
the Tax Increase Prevention and Reconciliation Act of 2005 in 
effect on the date of the enactment of this Act is increased by 
7.75 percentage points. 
26 USC 6655 
note. 
19 USC 58c note. 
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122 STAT. 1501 
PUBLIC LAW 110–234—MAY 22, 2008 
Subtitle C—Tax Provisions 
PART I—CONSERVATION 
Subpart A—Land and Species Preservation 
Provisions 
SEC. 15301. EXCLUSION OF CONSERVATION RESERVE PROGRAM PAY-
MENTS FROM SECA TAX FOR CERTAIN INDIVIDUALS. 
(a) INTERNAL REVENUE CODE.—Section 1402(a)(1) (defining net 
earnings from self-employment) is amended by inserting ‘‘, and 
including payments under section 1233(2) of the Food Security 
Act of 1985 (16 U.S.C. 3833(2)) to individuals receiving benefits 
under section 202 or 223 of the Social Security Act’’ after ‘‘crop 
shares’’. 
(b) SOCIAL SECURITY ACT.—Section 211(a)(1) of the Social Secu-
rity Act is amended by inserting ‘‘, and including payments under 
section 1233(2) of the Food Security Act of 1985 (16 U.S.C. 3833(2)) 
to individuals receiving benefits under section 202 or 223’’ after 
‘‘crop shares’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to payments made after December 31, 2007. 
SEC. 15302. TWO-YEAR EXTENSION OF SPECIAL RULE ENCOURAGING 
CONTRIBUTIONS OF CAPITAL GAIN REAL PROPERTY 
FOR CONSERVATION PURPOSES. 
(a) IN GENERAL.— 
(1) INDIVIDUALS.—Section 170(b)(1)(E)(vi) (relating to 
termination) is amended by striking ‘‘December 31, 2007’’ and 
inserting ‘‘December 31, 2009’’. 
(2) CORPORATIONS.—Section 170(b)(2)(B)(iii) (relating to 
termination) is amended by striking ‘‘December 31, 2007’’ and 
inserting ‘‘December 31, 2009’’. 
(b) EFFECTIVE DATE.—The amendments made by this section 
shall apply to contributions made in taxable years beginning after 
December 31, 2007. 
SEC. 15303. DEDUCTION FOR ENDANGERED SPECIES RECOVERY 
EXPENDITURES. 
(a) DEDUCTION FOR ENDANGERED SPECIES RECOVERY EXPENDI-
TURES.— 
(1) IN GENERAL.—Paragraph (1) of section 175(c) (relating 
to definitions) is amended by inserting after the first sentence 
the following new sentence: ‘‘Such term shall include expendi-
tures paid or incurred for the purpose of achieving site-specific 
management actions recommended in recovery plans approved 
pursuant to the Endangered Species Act of 1973.’’. 
(2) CONFORMING AMENDMENTS.— 
(A) Section 175 is amended by inserting ‘‘, or for endan-
gered species recovery’’ after ‘‘prevention of erosion of land 
used in farming’’ each place it appears in subsections (a) 
and (c). 
(B) The heading of section 175 is amended by inserting 
‘‘; ENDANGERED SPECIES RECOVERY EXPENDITURES’’ before 
the period. 
(C) The item relating to section 175 in the table of 
sections for part VI of subchapter B of chapter 1 is amended 
26 USC 1402 
note. 
42 USC 411. 
26 USC 1402. 
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122 STAT. 1502 
PUBLIC LAW 110–234—MAY 22, 2008 
by inserting ‘‘; endangered species recovery expenditures’’ 
before the period. 
(b) LIMITATIONS.—Paragraph (3) of section 175(c) (relating to 
additional limitations) is amended— 
(1) in the heading of subparagraph (A), by inserting ‘‘OR 
ENDANGERED
SPECIES
RECOVERY
PLAN’’ after ‘‘CONSERVATION 
PLAN’’, and 
(2) in subparagraph (A)(i), by inserting ‘‘or the recovery 
plan approved pursuant to the Endangered Species Act of 1973’’ 
after ‘‘Department of Agriculture’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to expenditures paid or incurred after December 31, 
2008. 
Subpart B—Timber Provisions 
SEC. 15311. TEMPORARY REDUCTION IN RATE OF TAX ON QUALIFIED 
TIMBER GAIN OF CORPORATIONS. 
(a) IN GENERAL.—Section 1201 (relating to alternative tax for 
corporations) is amended by redesignating subsection (b) as sub-
section (c) and by adding after subsection (a) the following new 
subsection: 
‘‘(b) SPECIAL RATE FOR QUALIFIED TIMBER GAINS.— 
‘‘(1) IN GENERAL.—If, for any taxable year ending after 
the date of the enactment of the Food, Conservation, and 
Energy Act of 2008 and beginning on or before the date which 
is 1 year after such date, a corporation has both a net capital 
gain and qualified timber gain— 
‘‘(A) subsection (a) shall apply to such corporation for 
the taxable year without regard to whether the applicable 
tax rate exceeds 35 percent, and 
‘‘(B) the tax computed under subsection (a)(2) shall 
be equal to the sum of— 
‘‘(i) 15 percent of the least of— 
‘‘(I) qualified timber gain, 
‘‘(II) net capital gain, or 
‘‘(III) taxable income, plus 
‘‘(ii) 35 percent of the excess (if any) of taxable 
income over the sum of the amounts for which a tax 
was determined under subsection (a)(1) and clause (i). 
‘‘(2) QUALIFIED TIMBER GAIN.—For purposes of this section, 
the term ‘qualified timber gain’ means, with respect to any 
taxpayer for any taxable year, the excess (if any) of— 
‘‘(A) the sum of the taxpayer’s gains described in sub-
sections (a) and (b) of section 631 for such year, over 
‘‘(B) the sum of the taxpayer’s losses described in such 
subsections for such year. 
For purposes of subparagraphs (A) and (B), only timber held 
more than 15 years shall be taken into account. 
‘‘(3) COMPUTATION FOR TAXABLE YEARS IN WHICH RATE FIRST 
APPLIES
OR
ENDS.—In the case of any taxable year which 
includes either of the dates set forth in paragraph (1), the 
qualified timber gain for such year shall not exceed the qualified 
timber gain properly taken into account for— 
‘‘(A) in the case of the taxable year including the date 
of the enactment of the Food, Conservation, and Energy 
Act of 2008, the portion of the year after such date, and 
Applicability. 
26 USC 175 note. 
26 USC 175. 
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122 STAT. 1503 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) in the case of the taxable year including the date 
which is 1 year after such date of enactment, the portion 
of the year on or before such later date.’’. 
(b) MINIMUM TAX.—Subsection (b) of section 55 is amended 
by adding at the end the following paragraph: 
‘‘(4) MAXIMUM RATE OF TAX ON QUALIFIED TIMBER GAIN 
OF CORPORATIONS.—In the case of any taxable year to which 
section 1201(b) applies, the amount determined under clause 
(i) of subparagraph (B) shall not exceed the sum of— 
‘‘(A) 20 percent of so much of the taxable excess (if 
any) as exceeds the qualified timber gain (or, if less, the 
net capital gain), plus 
‘‘(B) 15 percent of the taxable excess in excess of the 
amount on which a tax is determined under subparagraph 
(A). 
Any term used in this paragraph which is also used in section 
1201 shall have the meaning given such term by such section, 
except to the extent such term is subject to adjustment under 
this part.’’. 
(c) 
CONFORMING
AMENDMENT.—Section 
857(b)(3)(A)(ii) 
is 
amended by striking ‘‘rate’’ and inserting ‘‘rates’’. 
(d) EFFECTIVE DATE.—The amendments made by this section 
shall apply to taxable years ending after the date of enactment. 
SEC. 15312. TIMBER REIT MODERNIZATION. 
(a) IN GENERAL.—Section 856(c)(5) is amended by adding after 
subparagraph (G) the following new subparagraph: 
‘‘(H) TREATMENT OF TIMBER GAINS.— 
‘‘(i) IN GENERAL.—Gain from the sale of real prop-
erty described in paragraph (2)(D) and (3)(C) shall 
include gain which is— 
‘‘(I) recognized by an election under section 
631(a) from timber owned by the real estate invest-
ment trust, the cutting of which is provided by 
a taxable REIT subsidiary of the real estate invest-
ment trust; 
‘‘(II) recognized under section 631(b); or 
‘‘(III) income which would constitute gain 
under subclause (I) or (II) but for the failure to 
meet the 1-year holding period requirement. 
‘‘(ii) SPECIAL RULES.— 
‘‘(I) For purposes of this subtitle, cut timber, 
the gain from which is recognized by a real estate 
investment trust pursuant to an election under 
section 631(a) described in clause (i)(I) or so much 
of clause (i)(III) as relates to clause (i)(I), shall 
be deemed to be sold to the taxable REIT sub-
sidiary of the real estate investment trust on the 
first day of the taxable year. 
‘‘(II) For purposes of this subtitle, income 
described in this subparagraph shall not be treated 
as gain from the sale of property described in 
section 1221(a)(1). 
‘‘(iii) TERMINATION.—This subparagraph shall not 
apply to dispositions after the termination date.’’. 
(b) TERMINATION
DATE.—Subsection (c) of section 856 is 
amended by adding at the end the following new paragraph: 
26 USC 55 note. 
26 USC 55. 
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122 STAT. 1504 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(8) TERMINATION DATE.—For purposes of this subsection, 
the term ‘termination date’ means, with respect to any taxpayer, 
the last day of the taxpayer’s first taxable year beginning 
after the date of the enactment of this paragraph and before 
the date that is 1 year after such date of enactment.’’. 
(c) EFFECTIVE DATE.—The amendments made by subsection 
(a) shall apply to dispositions in taxable years beginning after 
the date of the enactment of this Act. 
SEC. 15313. MINERAL ROYALTY INCOME QUALIFYING INCOME FOR 
TIMBER REITS. 
(a) IN GENERAL.—Section 856(c)(2) is amended by striking ‘‘and’’ 
at the end of subparagraph (G), by inserting ‘‘and’’ at the end 
of subparagraph (H), and by adding after subparagraph (H) the 
following new subparagraph: 
‘‘(I) mineral royalty income earned in the first taxable 
year beginning after the date of the enactment of this 
subparagraph from real property owned by a timber real 
estate investment trust and held, or once held, in connec-
tion with the trade or business of producing timber by 
such real estate investment trust;’’. 
(b) 
TIMBER
REAL
ESTATE
INVESTMENT
TRUST.—Section 
856(c)(5), as amended by this Act, is amended by adding after 
subparagraph (H) the following new subparagraph: 
‘‘(I) TIMBER
REAL
ESTATE
INVESTMENT
TRUST.—The 
term ‘timber real estate investment trust’ means a real 
estate investment trust in which more than 50 percent 
in value of its total assets consists of real property held 
in connection with the trade or business of producing 
timber.’’. 
(c) EFFECTIVE DATE.—The amendments by this section shall 
apply to taxable years beginning after the date of the enactment 
of this Act. 
SEC. 15314. MODIFICATION OF TAXABLE REIT SUBSIDIARY ASSET TEST 
FOR TIMBER REITS. 
(a) IN
GENERAL.—Section 856(c)(4)(B)(ii) is amended by 
inserting ‘‘(in the case of a quarter which closes on or before the 
termination date, 25 percent in the case of a timber real estate 
investment trust)’’ after ‘‘REIT subsidiaries’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall apply to taxable years beginning after the date of the enact-
ment of this Act. 
SEC. 15315. SAFE HARBOR FOR TIMBER PROPERTY. 
(a) IN GENERAL.—Section 857(b)(6) (relating to income from 
prohibited transactions) is amended by adding at the end the fol-
lowing new subparagraph: 
‘‘(G) SPECIAL RULES FOR SALES TO QUALIFIED ORGANIZA-
TIONS.— 
‘‘(i) IN
GENERAL.—In the case of the sale of a 
real estate asset (as defined in section 856(c)(5)(B)) 
to a qualified organization (as defined in section 
170(h)(3)) exclusively for conservation purposes (within 
the meaning of section 170(h)(1)(C)), subparagraph (D) 
shall be applied— 
‘‘(I) by substituting ‘2 years’ for ‘4 years’ in 
clause (i), and 
26 USC 856 note. 
26 USC 856 note. 
26 USC 856. 
26 USC 856 note. 
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122 STAT. 1505 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) by substituting ‘2-year period’ for ‘4-year 
period’ in clauses (ii) and (iii). 
‘‘(ii) TERMINATION.—This subparagraph shall not 
apply to sales after the termination date.’’. 
(b) PROHIBITED
TRANSACTIONS.—Section 857(b)(6)(D)(v) is 
amended by inserting ‘‘, or, in the case of a sale on or before 
the termination date, a taxable REIT subsidiary’’ after ‘‘any income’’. 
(c) SALES THAT ARE NOT PROHIBITED TRANSACTIONS.—Section 
857(b)(6), as amended by subsection (a), is amended by adding 
at the end the following new subparagraph: 
‘‘(H) SALES OF PROPERTY THAT ARE NOT A PROHIBITED 
TRANSACTION.—In the case of a sale on or before the termi-
nation date, the sale of property which is not a prohibited 
transaction through the application of subparagraph (D) 
shall be considered property held for investment or for 
use in a trade or business and not property described 
in section 1221(a)(1) for all purposes of this subtitle.’’. 
(d) TERMINATION DATE.—Section 857(b)(6), as amended by sub-
sections (a) and (c), is amended by adding at the end the following 
new subparagraph: 
‘‘(I) TERMINATION DATE.—For purposes of this para-
graph, the term ‘termination date’ has the meaning given 
such term by section 856(c)(8).’’. 
(e) EFFECTIVE DATE.—The amendments made by this section 
shall apply to dispositions in taxable years beginning after the 
date of the enactment of this Act. 
SEC. 15316. QUALIFIED FORESTRY CONSERVATION BONDS. 
(a) IN GENERAL.—Part IV of subchapter A of chapter 1 (relating 
to credits against tax) is amended by adding at the end the following 
new subpart: 
‘‘Subpart I—Qualified Tax Credit Bonds 
‘‘Sec. 54A. Credit to holders of qualified tax credit bonds. 
‘‘Sec. 54B. Qualified forestry conservation bonds. 
‘‘SEC. 54A. CREDIT TO HOLDERS OF QUALIFIED TAX CREDIT BONDS. 
‘‘(a) ALLOWANCE OF CREDIT.—If a taxpayer holds a qualified 
tax credit bond on one or more credit allowance dates of the bond 
during any taxable year, there shall be allowed as a credit against 
the tax imposed by this chapter for the taxable year an amount 
equal to the sum of the credits determined under subsection (b) 
with respect to such dates. 
‘‘(b) AMOUNT OF CREDIT.— 
‘‘(1) IN GENERAL.—The amount of the credit determined 
under this subsection with respect to any credit allowance 
date for a qualified tax credit bond is 25 percent of the annual 
credit determined with respect to such bond. 
‘‘(2) ANNUAL CREDIT.—The annual credit determined with 
respect to any qualified tax credit bond is the product of— 
‘‘(A) the applicable credit rate, multiplied by 
‘‘(B) the outstanding face amount of the bond. 
‘‘(3) APPLICABLE CREDIT RATE.—For purposes of paragraph 
(2), the applicable credit rate is the rate which the Secretary 
estimates will permit the issuance of qualified tax credit bonds 
with a specified maturity or redemption date without discount 
and without interest cost to the qualified issuer. The applicable 
26 USC 857 note. 
26 USC 857. 
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122 STAT. 1506 
PUBLIC LAW 110–234—MAY 22, 2008 
credit rate with respect to any qualified tax credit bond shall 
be determined as of the first day on which there is a binding, 
written contract for the sale or exchange of the bond. 
‘‘(4) SPECIAL RULE FOR ISSUANCE AND REDEMPTION.—In the 
case of a bond which is issued during the 3-month period 
ending on a credit allowance date, the amount of the credit 
determined under this subsection with respect to such credit 
allowance date shall be a ratable portion of the credit otherwise 
determined based on the portion of the 3-month period during 
which the bond is outstanding. A similar rule shall apply when 
the bond is redeemed or matures. 
‘‘(c) LIMITATION BASED ON AMOUNT OF TAX.— 
‘‘(1) IN GENERAL.—The credit allowed under subsection (a) 
for any taxable year shall not exceed the excess of— 
‘‘(A) the sum of the regular tax liability (as defined 
in section 26(b)) plus the tax imposed by section 55, over 
‘‘(B) the sum of the credits allowable under this part 
(other than subpart C and this subpart). 
‘‘(2) CARRYOVER OF UNUSED CREDIT.—If the credit allowable 
under subsection (a) exceeds the limitation imposed by para-
graph (1) for such taxable year, such excess shall be carried 
to the succeeding taxable year and added to the credit allowable 
under subsection (a) for such taxable year (determined before 
the application of paragraph (1) for such succeeding taxable 
year). 
‘‘(d) QUALIFIED TAX CREDIT BOND.—For purposes of this sec-
tion— 
‘‘(1) QUALIFIED TAX CREDIT BOND.—The term ‘qualified tax 
credit bond’ means a qualified forestry conservation bond which 
is part of an issue that meets the requirements of paragraphs 
(2), (3), (4), (5), and (6). 
‘‘(2) SPECIAL RULES RELATING TO EXPENDITURES.— 
‘‘(A) IN GENERAL.—An issue shall be treated as meeting 
the requirements of this paragraph if, as of the date of 
issuance, the issuer reasonably expects— 
‘‘(i) 100 percent or more of the available project 
proceeds to be spent for 1 or more qualified purposes 
within the 3-year period beginning on such date of 
issuance, and 
‘‘(ii) a binding commitment with a third party to 
spend at least 10 percent of such available project 
proceeds will be incurred within the 6-month period 
beginning on such date of issuance. 
‘‘(B) FAILURE TO SPEND REQUIRED AMOUNT OF BOND 
PROCEEDS WITHIN 3 YEARS.— 
‘‘(i) IN
GENERAL.—To the extent that less than 
100 percent of the available project proceeds of the 
issue are expended by the close of the expenditure 
period for 1 or more qualified purposes, the issuer 
shall redeem all of the nonqualified bonds within 90 
days after the end of such period. For purposes of 
this paragraph, the amount of the nonqualified bonds 
required to be redeemed shall be determined in the 
same manner as under section 142. 
‘‘(ii) EXPENDITURE PERIOD.—For purposes of this 
subpart, the term ‘expenditure period’ means, with 
respect to any issue, the 3-year period beginning on 
Applicability. 
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122 STAT. 1507 
PUBLIC LAW 110–234—MAY 22, 2008 
the date of issuance. Such term shall include any exten-
sion of such period under clause (iii). 
‘‘(iii) EXTENSION OF PERIOD.—Upon submission of 
a request prior to the expiration of the expenditure 
period (determined without regard to any extension 
under this clause), the Secretary may extend such 
period if the issuer establishes that the failure to 
expend the proceeds within the original expenditure 
period is due to reasonable cause and the expenditures 
for qualified purposes will continue to proceed with 
due diligence. 
‘‘(C) QUALIFIED PURPOSE.—For purposes of this para-
graph, the term ‘qualified purpose’ means a purpose speci-
fied in section 54B(e). 
‘‘(D) REIMBURSEMENT.—For purposes of this subtitle, 
available project proceeds of an issue shall be treated as 
spent for a qualified purpose if such proceeds are used 
to reimburse the issuer for amounts paid for a qualified 
purpose after the date that the Secretary makes an alloca-
tion of bond limitation with respect to such issue, but 
only if— 
‘‘(i) prior to the payment of the original expendi-
ture, the issuer declared its intent to reimburse such 
expenditure with the proceeds of a qualified tax credit 
bond, 
‘‘(ii) not later than 60 days after payment of the 
original expenditure, the issuer adopts an official intent 
to reimburse the original expenditure with such pro-
ceeds, and 
‘‘(iii) the reimbursement is made not later than 
18 months after the date the original expenditure is 
paid. 
‘‘(3) REPORTING.—An issue shall be treated as meeting 
the requirements of this paragraph if the issuer of qualified 
tax credit bonds submits reports similar to the reports required 
under section 149(e). 
‘‘(4) SPECIAL RULES RELATING TO ARBITRAGE.— 
‘‘(A) IN GENERAL.—An issue shall be treated as meeting 
the requirements of this paragraph if the issuer satisfies 
the requirements of section 148 with respect to the proceeds 
of the issue. 
‘‘(B) SPECIAL RULE FOR INVESTMENTS DURING EXPENDI-
TURE
PERIOD.—An issue shall not be treated as failing 
to meet the requirements of subparagraph (A) by reason 
of any investment of available project proceeds during the 
expenditure period. 
‘‘(C) SPECIAL RULE FOR RESERVE FUNDS.—An issue shall 
not be treated as failing to meet the requirements of 
subparagraph (A) by reason of any fund which is expected 
to be used to repay such issue if— 
‘‘(i) such fund is funded at a rate not more rapid 
than equal annual installments, 
‘‘(ii) such fund is funded in a manner reasonably 
expected to result in an amount not greater than an 
amount necessary to repay the issue, and 
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122 STAT. 1508 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(iii) the yield on such fund is not greater than 
the discount rate determined under paragraph (5)(B) 
with respect to the issue. 
‘‘(5) MATURITY LIMITATION.— 
‘‘(A) IN GENERAL.—An issue shall be treated as meeting 
the requirements of this paragraph if the maturity of any 
bond which is part of such issue does not exceed the max-
imum term determined by the Secretary under subpara-
graph (B). 
‘‘(B) MAXIMUM TERM.—During each calendar month, 
the Secretary shall determine the maximum term per-
mitted under this paragraph for bonds issued during the 
following calendar month. Such maximum term shall be 
the term which the Secretary estimates will result in the 
present value of the obligation to repay the principal on 
the bond being equal to 50 percent of the face amount 
of such bond. Such present value shall be determined using 
as a discount rate the average annual interest rate of 
tax-exempt obligations having a term of 10 years or more 
which are issued during the month. If the term as so 
determined is not a multiple of a whole year, such term 
shall be rounded to the next highest whole year. 
‘‘(6) PROHIBITION ON FINANCIAL CONFLICTS OF INTEREST.— 
An issue shall be treated as meeting the requirements of this 
paragraph if the issuer certifies that— 
‘‘(A) applicable State and local law requirements gov-
erning conflicts of interest are satisfied with respect to 
such issue, and 
‘‘(B) if the Secretary prescribes additional conflicts of 
interest rules governing the appropriate Members of Con-
gress, Federal, State, and local officials, and their spouses, 
such additional rules are satisfied with respect to such 
issue. 
‘‘(e) OTHER DEFINITIONS.—For purposes of this subchapter— 
‘‘(1) CREDIT ALLOWANCE DATE.—The term ‘credit allowance 
date’ means— 
‘‘(A) March 15, 
‘‘(B) June 15, 
‘‘(C) September 15, and 
‘‘(D) December 15. 
Such term includes the last day on which the bond is out-
standing. 
‘‘(2) BOND.—The term ‘bond’ includes any obligation. 
‘‘(3) STATE.—The term ‘State’ includes the District of 
Columbia and any possession of the United States. 
‘‘(4) AVAILABLE PROJECT PROCEEDS.—The term ‘available 
project proceeds’ means— 
‘‘(A) the excess of— 
‘‘(i) the proceeds from the sale of an issue, over 
‘‘(ii) the issuance costs financed by the issue (to 
the extent that such costs do not exceed 2 percent 
of such proceeds), and 
‘‘(B) the proceeds from any investment of the excess 
described in subparagraph (A). 
‘‘(f) CREDIT TREATED AS INTEREST.—For purposes of this sub-
title, the credit determined under subsection (a) shall be treated 
as interest which is includible in gross income. 
Certification. 
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122 STAT. 1509 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(g) S CORPORATIONS AND PARTNERSHIPS.—In the case of a 
tax credit bond held by an S corporation or partnership, the alloca-
tion of the credit allowed by this section to the shareholders of 
such corporation or partners of such partnership shall be treated 
as a distribution. 
‘‘(h) BONDS HELD BY REGULATED INVESTMENT COMPANIES AND 
REAL ESTATE INVESTMENT TRUSTS.—If any qualified tax credit bond 
is held by a regulated investment company or a real estate invest-
ment trust, the credit determined under subsection (a) shall be 
allowed to shareholders of such company or beneficiaries of such 
trust (and any gross income included under subsection (f) with 
respect to such credit shall be treated as distributed to such share-
holders or beneficiaries) under procedures prescribed by the Sec-
retary. 
‘‘(i) CREDITS MAY BE STRIPPED.—Under regulations prescribed 
by the Secretary— 
‘‘(1) IN GENERAL.—There may be a separation (including 
at issuance) of the ownership of a qualified tax credit bond 
and the entitlement to the credit under this section with respect 
to such bond. In case of any such separation, the credit under 
this section shall be allowed to the person who on the credit 
allowance date holds the instrument evidencing the entitlement 
to the credit and not to the holder of the bond. 
‘‘(2) CERTAIN RULES TO APPLY.—In the case of a separation 
described in paragraph (1), the rules of section 1286 shall 
apply to the qualified tax credit bond as if it were a stripped 
bond and to the credit under this section as if it were a 
stripped coupon. 
‘‘SEC. 54B. QUALIFIED FORESTRY CONSERVATION BONDS. 
‘‘(a) QUALIFIED FORESTRY CONSERVATION BOND.—For purposes 
of this subchapter, the term ‘qualified forestry conservation bond’ 
means any bond issued as part of an issue if— 
‘‘(1) 100 percent of the available project proceeds of such 
issue are to be used for one or more qualified forestry conserva-
tion purposes, 
‘‘(2) the bond is issued by a qualified issuer, and 
‘‘(3) the issuer designates such bond for purposes of this 
section. 
‘‘(b) LIMITATION ON AMOUNT OF BONDS DESIGNATED.—The max-
imum aggregate face amount of bonds which may be designated 
under subsection (a) by any issuer shall not exceed the limitation 
amount allocated to such issuer under subsection (d). 
‘‘(c) NATIONAL
LIMITATION
ON
AMOUNT
OF
BONDS
DES-
IGNATED.—There is a national qualified forestry conservation bond 
limitation of $500,000,000. 
‘‘(d) ALLOCATIONS.— 
‘‘(1) IN GENERAL.—The Secretary shall make allocations 
of the amount of the national qualified forestry conservation 
bond limitation described in subsection (c) among qualified 
forestry conservation purposes in such manner as the Secretary 
determines appropriate so as to ensure that all of such limita-
tion is allocated before the date which is 24 months after 
the date of the enactment of this section. 
‘‘(2) SOLICITATION OF APPLICATIONS.—The Secretary shall 
solicit applications for allocations of the national qualified for-
estry conservation bond limitation described in subsection (c) 
Deadline. 
Regulations. 
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122 STAT. 1510 
PUBLIC LAW 110–234—MAY 22, 2008 
not later than 90 days after the date of the enactment of 
this section. 
‘‘(e) QUALIFIED FORESTRY CONSERVATION PURPOSE.—For pur-
poses of this section, the term ‘qualified forestry conservation pur-
pose’ means the acquisition by a State or any political subdivision 
or instrumentality thereof or a 501(c)(3) organization (as defined 
in section 150(a)(4)) from an unrelated person of forest and forest 
land that meets the following qualifications: 
‘‘(1) Some portion of the land acquired must be adjacent 
to United States Forest Service Land. 
‘‘(2) At least half of the land acquired must be transferred 
to the United States Forest Service at no net cost to the 
United States and not more than half of the land acquired 
may either remain with or be conveyed to a State. 
‘‘(3) All of the land must be subject to a native fish habitat 
conservation plan approved by the United States Fish and 
Wildlife Service. 
‘‘(4) The amount of acreage acquired must be at least 
40,000 acres. 
‘‘(f) QUALIFIED ISSUER.—For purposes of this section, the term 
‘qualified issuer’ means a State or any political subdivision or 
instrumentality thereof or a 501(c)(3) organization (as defined in 
section 150(a)(4)). 
‘‘(g) SPECIAL ARBITRAGE RULE.—In the case of any qualified 
forestry conservation bond issued as part of an issue, section 
54A(d)(4)(C) shall be applied to such issue without regard to clause 
(i). 
‘‘(h) ELECTION TO TREAT 50 PERCENT OF BOND ALLOCATION 
AS PAYMENT OF TAX.— 
‘‘(1) IN GENERAL.—If— 
‘‘(A) a qualified issuer receives an allocation of any 
portion of the national qualified forestry conservation bond 
limitation described in subsection (c), and 
‘‘(B) the qualified issuer elects the application of this 
subsection with respect to such allocation, 
then the qualified issuer (without regard to whether the issuer 
is subject to tax under this chapter) shall be treated as having 
made a payment against the tax imposed by this chapter, 
for the taxable year preceding the taxable year in which the 
allocation is received, in an amount equal to 50 percent of 
the amount of such allocation. 
‘‘(2) TREATMENT OF DEEMED PAYMENT.— 
‘‘(A) IN GENERAL.—Notwithstanding any other provi-
sion of this title, the Secretary shall not use the payment 
of tax described in paragraph (1) as an offset or credit 
against any tax liability of the qualified issuer but shall 
refund such payment to such issuer. 
‘‘(B) NO INTEREST.—Except as provided in paragraph 
(3)(A), the payment described in paragraph (1) shall not 
be taken into account in determining any amount of 
interest under this title. 
‘‘(3) REQUIREMENT FOR, AND EFFECT OF, ELECTION.— 
‘‘(A) REQUIREMENT.—No election under this subsection 
shall take effect unless the qualified issuer certifies to 
the Secretary that any payment of tax refunded to the 
issuer under this subsection will be used exclusively for 
1 or more qualified forestry conservation purposes. If the 
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122 STAT. 1511 
PUBLIC LAW 110–234—MAY 22, 2008 
qualified issuer fails to use any portion of such payment 
for such purpose, the issuer shall be liable to the United 
States in an amount equal to such portion, plus interest 
at the overpayment rate under section 6621 for the period 
from the date such portion was refunded to the date such 
amount is paid. Any such amount shall be assessed and 
collected in the same manner as tax imposed by this 
chapter, except that subchapter B of chapter 63 (relating 
to deficiency procedures) shall not apply in respect of such 
assessment or collection. 
‘‘(B) EFFECT OF ELECTION ON ALLOCATION.—If a quali-
fied issuer makes the election under this subsection with 
respect to any allocation— 
‘‘(i) the issuer may issue no bonds pursuant to 
the allocation, and 
‘‘(ii) the Secretary may not reallocate such alloca-
tion for any other purpose.’’. 
(b) REPORTING.—Subsection (d) of section 6049 (relating to 
returns regarding payments of interest) is amended by adding at 
the end the following new paragraph: 
‘‘(9) REPORTING
OF
CREDIT
ON
QUALIFIED
TAX
CREDIT 
BONDS.— 
‘‘(A) IN GENERAL.—For purposes of subsection (a), the 
term ‘interest’ includes amounts includible in gross income 
under section 54A and such amounts shall be treated as 
paid on the credit allowance date (as defined in section 
54A(e)(1)). 
‘‘(B) REPORTING
TO
CORPORATIONS, ETC.—Except as 
otherwise provided in regulations, in the case of any 
interest described in subparagraph (A) of this paragraph, 
subsection (b)(4) of this section shall be applied without 
regard to subparagraphs (A), (H), (I), (J), (K), and (L)(i). 
‘‘(C) REGULATORY AUTHORITY.—The Secretary may pre-
scribe such regulations as are necessary or appropriate 
to carry out the purposes of this paragraph, including regu-
lations which require more frequent or more detailed 
reporting.’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Sections 54(c)(2) and 1400N(l)(3)(B) are each amended 
by striking ‘‘subpart C’’ and inserting ‘‘subparts C and I’’. 
(2) Section 1397E(c)(2) is amended by striking ‘‘subpart 
H’’ and inserting ‘‘subparts H and I’’. 
(3) Section 6401(b)(1) is amended by striking ‘‘and H’’ and 
inserting ‘‘H, and I’’. 
(4) The heading of subpart H of part IV of subchapter 
A of chapter 1 is amended by striking ‘‘Certain Bonds’’ and 
inserting ‘‘Clean Renewable Energy Bonds’’. 
(5) The table of subparts for part IV of subchapter A 
of chapter 1 is amended by striking the item relating to subpart 
H and inserting the following new items: 
‘‘SUBPART H. NONREFUNDABLE CREDIT TO HOLDERS OF CLEAN RENEWABLE ENERGY 
BONDS. 
‘‘SUBPART I. QUALIFIED TAX CREDIT BONDS.’’. 
(6) Paragraph (2) of section 1324(b) of title 31, United 
States Code, is amended by striking ‘‘or 6428 or 53(e)’’ and 
inserting ‘‘, 53(e), 54B(h), or 6428’’. 
26 USC 6049. 
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122 STAT. 1512 
PUBLIC LAW 110–234—MAY 22, 2008 
(d) EFFECTIVE DATES.—The amendments made by this section 
shall apply to obligations issued after the date of the enactment 
of this Act. 
PART II—ENERGY PROVISIONS 
Subpart A—Cellulosic Biofuel 
SEC. 15321. CREDIT FOR PRODUCTION OF CELLULOSIC BIOFUEL. 
(a) IN GENERAL.—Subsection (a) of section 40 (relating to 
alcohol used as fuel) is amended by striking ‘‘plus’’ at the end 
of paragraph (1), by striking ‘‘plus’’ at the end of paragraph (2), 
by striking the period at the end of paragraph (3) and inserting 
‘‘, plus’’, and by adding at the end the following new paragraph: 
‘‘(4) the cellulosic biofuel producer credit.’’. 
(b) CELLULOSIC BIOFUEL PRODUCER CREDIT.— 
(1) IN GENERAL.—Subsection (b) of section 40 is amended 
by adding at the end the following new paragraph: 
‘‘(6) CELLULOSIC BIOFUEL PRODUCER CREDIT.— 
‘‘(A) IN GENERAL.—The cellulosic biofuel producer credit 
of any taxpayer is an amount equal to the applicable 
amount for each gallon of qualified cellulosic biofuel produc-
tion. 
‘‘(B) APPLICABLE AMOUNT.—For purposes of subpara-
graph (A), the applicable amount means $1.01, except that 
such amount shall, in the case of cellulosic biofuel which 
is alcohol, be reduced by the sum of— 
‘‘(i) the amount of the credit in effect for such 
alcohol under subsection (b)(1) (without regard to sub-
section (b)(3)) at the time of the qualified cellulosic 
biofuel production, plus 
‘‘(ii) in the case of ethanol, the amount of the 
credit in effect under subsection (b)(4) at the time 
of such production. 
‘‘(C) QUALIFIED CELLULOSIC BIOFUEL PRODUCTION.—For 
purposes of this section, the term ‘qualified cellulosic biofuel 
production’ means any cellulosic biofuel which is produced 
by the taxpayer, and which during the taxable year— 
‘‘(i) is sold by the taxpayer to another person— 
‘‘(I) for use by such other person in the produc-
tion of a qualified cellulosic biofuel mixture in 
such other person’s trade or business (other than 
casual off-farm production), 
‘‘(II) for use by such other person as a fuel 
in a trade or business, or 
‘‘(III) who sells such cellulosic biofuel at retail 
to another person and places such cellulosic biofuel 
in the fuel tank of such other person, or 
‘‘(ii) is used or sold by the taxpayer for any purpose 
described in clause (i). 
The qualified cellulosic biofuel production of any taxpayer 
for any taxable year shall not include any alcohol which 
is purchased by the taxpayer and with respect to which 
such producer increases the proof of the alcohol by addi-
tional distillation. 
‘‘(D) QUALIFIED
CELLULOSIC
BIOFUEL
MIXTURE.—For 
purposes of this paragraph, the term ‘qualified cellulosic 
26 USC 40. 
26 USC 54 note. 
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122 STAT. 1513 
PUBLIC LAW 110–234—MAY 22, 2008 
biofuel mixture’ means a mixture of cellulosic biofuel and 
gasoline or of cellulosic biofuel and a special fuel which— 
‘‘(i) is sold by the person producing such mixture 
to any person for use as a fuel, or 
‘‘(ii) is used as a fuel by the person producing 
such mixture. 
‘‘(E) CELLULOSIC BIOFUEL.—For purposes of this para-
graph— 
‘‘(i) IN
GENERAL.—The term ‘cellulosic biofuel’ 
means any liquid fuel which— 
‘‘(I) is produced from any lignocellulosic or 
hemicellulosic matter that is available on a renew-
able or recurring basis, and 
‘‘(II) meets the registration requirements for 
fuels and fuel additives established by the Environ-
mental Protection Agency under section 211 of the 
Clean Air Act (42 U.S.C. 7545). 
‘‘(ii) EXCLUSION
OF
LOW-PROOF
ALCOHOL.—Such 
term shall not include any alcohol with a proof of 
less than 150. The determination of the proof of any 
alcohol shall be made without regard to any added 
denaturants. 
‘‘(F) ALLOCATION
OF
CELLULOSIC
BIOFUEL
PRODUCER 
CREDIT TO PATRONS OF COOPERATIVE.—Rules similar to the 
rules under subsection (g)(6) shall apply for purposes of 
this paragraph. 
‘‘(G) REGISTRATION REQUIREMENT.—No credit shall be 
determined under this paragraph with respect to any tax-
payer unless such taxpayer is registered with the Secretary 
as a producer of cellulosic biofuel under section 4101. 
‘‘(H) APPLICATION
OF
PARAGRAPH.—This paragraph 
shall apply with respect to qualified cellulosic biofuel 
production after December 31, 2008, and before January 
1, 2013.’’. 
(2) TERMINATION DATE NOT TO APPLY.—Subsection (e) of 
section 40 (relating to termination) is amended— 
(A) by inserting ‘‘or subsection (b)(6)(H)’’ after ‘‘by rea-
son of paragraph (1)’’ in paragraph (2), and 
(B) by adding at the end the following new paragraph: 
‘‘(3) EXCEPTION
FOR
CELLULOSIC
BIOFUEL
PRODUCER 
CREDIT.—Paragraph (1) shall not apply to the portion of the 
credit allowed under this section by reason of subsection (a)(4).’’. 
(3) CONFORMING AMENDMENTS.— 
(A) Paragraph (1) of section 4101(a) is amended— 
(i) by striking ‘‘and every person’’ and inserting 
‘‘, every person’’, and 
(ii) by inserting ‘‘, and every person producing 
cellulosic biofuel (as defined in section 40(b)(6)(E))’’ 
after ‘‘section 6426(b)(4)(A))’’. 
(B) The heading of section 40, and the item relating 
to such section in the table of sections for subpart D of 
part IV of subchapter A of chapter 1, are each amended 
by inserting ‘‘, etc.,’’ after ‘‘Alcohol’’. 
(c) BIOFUEL NOT USED AS A FUEL, ETC.— 
(1) IN GENERAL.—Paragraph (3) of section 40(d) is amended 
by redesignating subparagraph (D) as subparagraph (E) and 
26 USC 4101. 
Time period. 
Applicability. 
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122 STAT. 1514 
PUBLIC LAW 110–234—MAY 22, 2008 
by inserting after subparagraph (C) the following new subpara-
graph: 
‘‘(D) CELLULOSIC BIOFUEL PRODUCER CREDIT.—If— 
‘‘(i) any credit is allowed under subsection (a)(4), 
and 
‘‘(ii) any person does not use such fuel for a purpose 
described in subsection (b)(6)(C), 
then there is hereby imposed on such person a tax equal 
to the applicable amount (as defined in subsection (b)(6)(B)) 
for each gallon of such cellulosic biofuel.’’. 
(2) CONFORMING AMENDMENTS.— 
(A) Subparagraph (C) of section 40(d)(3) is amended 
by striking ‘‘PRODUCER’’ in the heading and inserting 
‘‘SMALL ETHANOL PRODUCER’’. 
(B) Subparagraph (E) of section 40(d)(3), as redesig-
nated by paragraph (1), is amended by striking ‘‘or (C)’’ 
and inserting ‘‘(C), or (D)’’. 
(d) BIOFUEL PRODUCED IN THE UNITED STATES.—Section 40(d) 
is amended by adding at the end the following new paragraph: 
‘‘(6) SPECIAL
RULE
FOR
CELLULOSIC
BIOFUEL
PRODUCER 
CREDIT.—No cellulosic biofuel producer credit shall be deter-
mined under subsection (a) with respect to any cellulosic biofuel 
unless such cellulosic biofuel is produced in the United States 
and used as a fuel in the United States. For purposes of 
this subsection, the term ‘United States’ includes any possession 
of the United States.’’. 
(e) WAIVER OF CREDIT LIMIT FOR CELLULOSIC BIOFUEL PRODUC-
TION
BY
SMALL
ETHANOL
PRODUCERS.—Section 40(b)(4)(C) is 
amended by inserting ‘‘(determined without regard to any qualified 
cellulosic biofuel production)’’ after ‘‘15,000,000 gallons’’. 
(f) DENIAL OF DOUBLE BENEFIT.— 
(1) BIODIESEL.—Paragraph (1) of section 40A(d) is amended 
by adding at the end the following new flush sentence: 
‘‘Such term shall not include any liquid with respect to which 
a credit may be determined under section 40.’’. 
(2) RENEWABLE DIESEL.—Paragraph (3) of section 40A(f) 
is amended by adding at the end the following new flush 
sentence: 
‘‘Such term shall not include any liquid with respect to which 
a credit may be determined under section 40.’’. 
(g) EFFECTIVE DATE.—The amendments made by this section 
shall apply to fuel produced after December 31, 2008. 
SEC. 15322. COMPREHENSIVE STUDY OF BIOFUELS. 
(a) STUDY.—The Secretary of the Treasury, in consultation 
with the Secretary of Agriculture, the Secretary of Energy, and 
the Administrator of the Environmental Protection Agency, shall 
enter into an agreement with the National Academy of Sciences 
to produce an analysis of current scientific findings to determine— 
(1) current biofuels production, as well as projections for 
future production, 
(2) the maximum amount of biofuels production capable 
in United States forests and farmlands, including the current 
quantities and character of the feedstocks and including such 
information as regional forest inventories that are commercially 
available, used in the production of biofuels, 
Contracts. 
26 USC 40 note. 
26 USC 40. 
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122 STAT. 1515 
PUBLIC LAW 110–234—MAY 22, 2008 
(3) the domestic effects of an increase in biofuels production 
levels, including the effects of such levels on— 
(A) the price of fuel, 
(B) the price of land in rural and suburban commu-
nities, 
(C) crop acreage, forest acreage, and other land use, 
(D) the environment, due to changes in crop acreage, 
fertilizer use, runoff, water use, emissions from vehicles 
utilizing biofuels, and other factors, 
(E) the price of feed, 
(F) the selling price of grain crops and forest products, 
(G) exports and imports of grains and forest products, 
(H) taxpayers, through cost or savings to commodity 
crop payments, and 
(I) the expansion of refinery capacity, 
(4) the ability to convert corn ethanol plants for other 
uses, such as cellulosic ethanol or biodiesel, 
(5) a comparative analysis of corn ethanol versus other 
biofuels and renewable energy sources, considering cost, energy 
output, and ease of implementation, 
(6) the impact of the tax credit established by this subpart 
on the regional agricultural and silvicultural capabilities of 
commercially available forest inventories, and 
(7) the need for additional scientific inquiry, and specific 
areas of interest for future research. 
(b) REPORT.—The Secretary of the Treasury shall submit an 
initial report of the findings of the study required under subsection 
(a) to Congress not later than 6 months after the date of the 
enactment of this Act (36 months after such date in the case 
of the information required by subsection (a)(6)), and a final report 
not later than 12 months after such date (42 months after such 
date in the case of the information required by subsection (a)(6)). 
Subpart B—Revenue Provisions 
SEC. 15331. MODIFICATION OF ALCOHOL CREDIT. 
(a) INCOME TAX CREDIT.— 
(1) IN GENERAL.—The table in paragraph (2) of section 
40(h) is amended— 
(A) by striking ‘‘through 2010’’ in the first column 
and inserting ‘‘, 2006, 2007, or 2008’’, 
(B) by striking the period at the end of the third 
row, and 
(C) by adding at the end the following new row: 
‘‘2009 through 2010
45 cents ....................
33.33 cents.’’. 
(2) EXCEPTION.—Section 40(h) is amended by adding at 
the end the following new paragraph: 
‘‘(3) REDUCTION DELAYED UNTIL ANNUAL PRODUCTION OR 
IMPORTATION OF 7,500,000,000 GALLONS.— 
‘‘(A) IN GENERAL.—In the case of any calendar year 
beginning after 2008, if the Secretary makes a determina-
tion described in subparagraph (B) with respect to all pre-
ceding calendar years beginning after 2007, the last row 
in the table in paragraph (2) shall be applied by sub-
stituting ‘51 cents’ for ‘45 cents’. 
Applicability. 
26 USC 40. 
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122 STAT. 1516 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) DETERMINATION.—A determination described in 
this subparagraph with respect to any calendar year is 
a determination, in consultation with the Administrator 
of the Environmental Protection Agency, that an amount 
less than 7,500,000,000 gallons of ethanol (including cel-
lulosic ethanol) has been produced in or imported into 
the United States in such year.’’. 
(b) EXCISE TAX CREDIT.— 
(1) IN GENERAL.—Subparagraph (A) of section 6426(b)(2) 
(relating to alcohol fuel mixture credit) is amended by striking 
‘‘the applicable amount is 51 cents’’ and inserting ‘‘the 
applicable amount is— 
‘‘(i) in the case of calendar years beginning before 
2009, 51 cents, and 
‘‘(ii) in the case of calendar years beginning after 
2008, 45 cents.’’. 
(2) EXCEPTION.—Paragraph (2) of section 6426(b) is 
amended by adding at the end the following new subparagraph: 
‘‘(C) REDUCTION DELAYED UNTIL ANNUAL PRODUCTION 
OR IMPORTATION OF 7,500,000,000 GALLONS.—In the case of 
any calendar year beginning after 2008, if the Secretary 
makes a determination described in section 40(h)(3)(B) with 
respect to all preceding calendar years beginning after 
2007, subparagraph (A)(ii) shall be applied by substituting 
‘51 cents’ for ‘45 cents’.’’ 
(3) CONFORMING AMENDMENT.—Subparagraph (A) of section 
6426(b)(2) is amended by striking ‘‘subparagraph (B)’’ and 
inserting ‘‘subparagraphs (B) and (C)’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall take effect on the date of the enactment of this Act. 
SEC. 15332. CALCULATION OF VOLUME OF ALCOHOL FOR FUEL 
CREDITS. 
(a) IN GENERAL.—Paragraph (4) of section 40(d) (relating to 
volume of alcohol) is amended by striking ‘‘5 percent’’ and inserting 
‘‘2 percent’’. 
(b) CONFORMING AMENDMENT FOR EXCISE TAX CREDIT.—Section 
6426(b) (relating to alcohol fuel mixture credit) is amended by 
redesignating paragraph (5) as paragraph (6) and by inserting 
after paragraph (4) the following new paragraph: 
‘‘(5) VOLUME OF ALCOHOL.—For purposes of determining 
under subsection (a) the number of gallons of alcohol with 
respect to which a credit is allowable under subsection (a), 
the volume of alcohol shall include the volume of any dena-
turant (including gasoline) which is added under any formulas 
approved by the Secretary to the extent that such denaturants 
do not exceed 2 percent of the volume of such alcohol (including 
denaturants).’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to fuel sold or used after December 31, 2008. 
SEC. 15333. ETHANOL TARIFF EXTENSION. 
Headings 9901.00.50 and 9901.00.52 of the Harmonized Tariff 
Schedule of the United States are each amended in the effective 
period column by striking ‘‘1/1/2009’’ and inserting ‘‘1/1/2011’’. 
26 USC 40 note. 
26 USC 40 note. 
Applicability. 
26 USC 6426. 
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122 STAT. 1517 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 15334. LIMITATIONS ON DUTY DRAWBACK ON CERTAIN IMPORTED 
ETHANOL. 
(a) IN GENERAL.—Section 313(p) of the Tariff Act of 1930 (19 
U.S.C. 1313(p)) is amended by adding at the end the following 
new paragraph: 
‘‘(5) SPECIAL
RULES
FOR
ETHYL
ALCOHOL.—For purposes 
of this subsection, any duty paid under subheading 9901.00.50 
of the Harmonized Tariff Schedule of the United States on 
imports of ethyl alcohol or a mixture of ethyl alcohol may 
not be refunded if the exported article upon which a drawback 
claim is based does not contain ethyl alcohol or a mixture 
of ethyl alcohol.’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
applies with respect to— 
(1) imports of ethyl alcohol or a mixture of ethyl alcohol 
entered for consumption, or withdrawn from warehouse for 
consumption, on or after October 1, 2008; and 
(2) imports of ethyl alcohol or a mixture of ethyl alcohol 
entered for consumption, or withdrawn from warehouse for 
consumption, before October 1, 2008, if a duty drawback claim 
is filed with respect to such imports on or after October 1, 
2010. 
PART III—AGRICULTURAL PROVISIONS 
SEC. 15341. INCREASE IN LOAN LIMITS ON AGRICULTURAL BONDS. 
(a) IN
GENERAL.—Subparagraph (A) of section 147(c)(2) 
(relating to exception for first-time farmers) is amended by striking 
‘‘$250,000’’ and inserting ‘‘$450,000’’. 
(b) INFLATION ADJUSTMENT.—Section 147(c)(2) is amended by 
adding at the end the following new subparagraph: 
‘‘(H) ADJUSTMENTS FOR INFLATION.—In the case of any 
calendar year after 2008, the dollar amount in subpara-
graph (A) shall be increased by an amount equal to— 
‘‘(i) such dollar amount, multiplied by 
‘‘(ii) the cost-of-living adjustment determined 
under section 1(f)(3) for the calendar year, determined 
by substituting ‘calendar year 2007’ for ‘calendar year 
1992’ in subparagraph (B) thereof. 
If any amount as increased under the preceding sentence 
is not a multiple of $100, such amount shall be rounded 
to the nearest multiple of $100.’’. 
(c) MODIFICATION
OF SUBSTANTIAL FARMLAND DEFINITION.— 
Section 147(c)(2)(E) (defining substantial farmland) is amended by 
striking ‘‘unless’’ and all that follows through the period and 
inserting ‘‘unless such parcel is smaller than 30 percent of the 
median size of a farm in the county in which such parcel is located.’’. 
(d) CONFORMING
AMENDMENT.—Section 147(c)(2)(C)(i)(II) is 
amended by striking ‘‘$250,000’’ and inserting ‘‘the amount in effect 
under subparagraph (A)’’. 
(e) EFFECTIVE DATE.—The amendments made by this section 
shall apply to bonds issued after the date of the enactment of 
this Act. 
26 USC 147 note. 
26 USC 147. 
Applicability. 
19 USC 1313 
note. 
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122 STAT. 1518 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 
15342. 
ALLOWANCE 
OF 
SECTION 
1031 
TREATMENT 
FOR 
EXCHANGES INVOLVING CERTAIN MUTUAL DITCH, RES-
ERVOIR, OR IRRIGATION COMPANY STOCK. 
(a) IN GENERAL.—Section 1031 (relating to exchange of property 
held for productive use or investment) is amended by adding at 
the end the following new subsection: 
‘‘(i) SPECIAL RULES FOR MUTUAL DITCH, RESERVOIR, OR IRRIGA-
TION COMPANY STOCK.—For purposes of subsection (a)(2)(B), the 
term ‘stocks’ shall not include shares in a mutual ditch, reservoir, 
or irrigation company if at the time of the exchange— 
‘‘(1) the mutual ditch, reservoir, or irrigation company is 
an organization described in section 501(c)(12)(A) (determined 
without regard to the percentage of its income that is collected 
from its members for the purpose of meeting losses and 
expenses), and 
‘‘(2) the shares in such company have been recognized 
by the highest court of the State in which such company was 
organized or by applicable State statute as constituting or 
representing real property or an interest in real property.’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall apply to exchanges completed after the date of the enactment 
of this Act. 
SEC. 15343. AGRICULTURAL CHEMICALS SECURITY CREDIT. 
(a) IN GENERAL.—Subpart D of part IV of subchapter A of 
chapter 1 (relating to business related credits) is amended by adding 
at the end the following new section: 
‘‘SEC. 45O. AGRICULTURAL CHEMICALS SECURITY CREDIT. 
‘‘(a) IN GENERAL.—For purposes of section 38, in the case of 
an eligible agricultural business, the agricultural chemicals security 
credit determined under this section for the taxable year is 30 
percent of the qualified security expenditures for the taxable year. 
‘‘(b) FACILITY LIMITATION.—The amount of the credit deter-
mined under subsection (a) with respect to any facility for any 
taxable year shall not exceed— 
‘‘(1) $100,000, reduced by 
‘‘(2) the aggregate amount of credits determined under 
subsection (a) with respect to such facility for the 5 prior 
taxable years. 
‘‘(c) ANNUAL LIMITATION.—The amount of the credit determined 
under subsection (a) with respect to any taxpayer for any taxable 
year shall not exceed $2,000,000. 
‘‘(d) QUALIFIED CHEMICAL SECURITY EXPENDITURE.—For pur-
poses of this section, the term ‘qualified chemical security expendi-
ture’ means, with respect to any eligible agricultural business for 
any taxable year, any amount paid or incurred by such business 
during such taxable year for— 
‘‘(1) employee security training and background checks, 
‘‘(2) limitation and prevention of access to controls of speci-
fied agricultural chemicals stored at the facility, 
‘‘(3) tagging, locking tank valves, and chemical additives 
to prevent the theft of specified agricultural chemicals or to 
render such chemicals unfit for illegal use, 
‘‘(4) protection of the perimeter of specified agricultural 
chemicals, 
26 USC 1031 
note. 
26 USC 1031. 
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122 STAT. 1519 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(5) installation of security lighting, cameras, recording 
equipment, and intrusion detection sensors, 
‘‘(6) implementation of measures to increase computer or 
computer network security, 
‘‘(7) conducting a security vulnerability assessment, 
‘‘(8) implementing a site security plan, and 
‘‘(9) such other measures for the protection of specified 
agricultural chemicals as the Secretary may identify in regula-
tion. 
Amounts described in the preceding sentence shall be taken into 
account only to the extent that such amounts are paid or incurred 
for the purpose of protecting specified agricultural chemicals. 
‘‘(e) ELIGIBLE AGRICULTURAL BUSINESS.—For purposes of this 
section, the term ‘eligible agricultural business’ means any person 
in the trade or business of— 
‘‘(1) selling agricultural products, including specified agri-
cultural chemicals, at retail predominantly to farmers and 
ranchers, or 
‘‘(2) manufacturing, formulating, distributing, or aerially 
applying specified agricultural chemicals. 
‘‘(f) SPECIFIED AGRICULTURAL CHEMICAL.—For purposes of this 
section, the term ‘specified agricultural chemical’ means— 
‘‘(1) any fertilizer commonly used in agricultural operations 
which is listed under— 
‘‘(A) section 302(a)(2) of the Emergency Planning and 
Community Right-to-Know Act of 1986, 
‘‘(B) section 101 of part 172 of title 49, Code of Federal 
Regulations, or 
‘‘(C) part 126, 127, or 154 of title 33, Code of Federal 
Regulations, and 
‘‘(2) any pesticide (as defined in section 2(u) of the Federal 
Insecticide, Fungicide, and Rodenticide Act), including all active 
and inert ingredients thereof, which is customarily used on 
crops grown for food, feed, or fiber. 
‘‘(g) CONTROLLED GROUPS.—Rules similar to the rules of para-
graphs (1) and (2) of section 41(f) shall apply for purposes of 
this section. 
‘‘(h) REGULATIONS.—The Secretary may prescribe such regula-
tions as may be necessary or appropriate to carry out the purposes 
of this section, including regulations which— 
‘‘(1) provide for the proper treatment of amounts which 
are paid or incurred for purpose of protecting any specified 
agricultural chemical and for other purposes, and 
‘‘(2) provide for the treatment of related properties as one 
facility for purposes of subsection (b). 
‘‘(i) TERMINATION.—This section shall not apply to any amount 
paid or incurred after December 31, 2012.’’. 
(b) CREDIT ALLOWED AS PART OF GENERAL BUSINESS CREDIT.— 
Section 38(b) 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) in the case of an eligible agricultural business (as 
defined in section 45O(e)), the agricultural chemicals security 
credit determined under section 45O(a).’’. 
(c) DENIAL
OF DOUBLE BENEFIT.—Section 280C is amended 
by adding at the end the following new subsection: 
26 USC 280C. 
26 USC 38. 
Applicability. 
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122 STAT. 1520 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(f) CREDIT FOR SECURITY OF AGRICULTURAL CHEMICALS.—No 
deduction shall be allowed for that portion of the expenses otherwise 
allowable as a deduction taken into account in determining the 
credit under section 45O for the taxable year which is equal to 
the amount of the credit determined for such taxable year under 
section 45O(a).’’. 
(d) CLERICAL AMENDMENT.—The table of sections for subpart 
D of part IV of subchapter A of chapter 1 is amended by adding 
at the end the following new item: 
‘‘Sec. 45O. Agricultural chemicals security credit.’’. 
(e) EFFECTIVE DATE.—The amendments made by this section 
shall apply to amounts paid or incurred after the date of the 
enactment of this Act. 
SEC. 15344. 3-YEAR DEPRECIATION FOR RACE HORSES THAT ARE 2- 
YEARS OLD OR YOUNGER. 
(a) IN GENERAL.—Clause (i) of section 168(e)(3)(A) (relating 
to 3-year property) is amended to read as follows: 
‘‘(i) any race horse— 
‘‘(I) which is placed in service before January 
1, 2014, and 
‘‘(II) which is placed in service after December 
31, 2013, and which is more than 2 years old 
at the time such horse is placed in service by 
such purchaser,’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall apply to property placed in service after December 31, 2008. 
SEC. 15345. TEMPORARY TAX RELIEF FOR KIOWA COUNTY, KANSAS 
AND SURROUNDING AREA. 
(a) IN GENERAL.—Subject to the modifications described in this 
section, the following provisions of or relating to the Internal Rev-
enue Code of 1986 shall apply to the Kansas disaster area in 
addition to the areas to which such provisions otherwise apply: 
(1) Section 1400N(d) of such Code (relating to special allow-
ance for certain property). 
(2) Section 1400N(e) of such Code (relating to increase 
in expensing under section 179). 
(3) Section 1400N(f) of such Code (relating to expensing 
for certain demolition and clean-up costs). 
(4) Section 1400N(k) of such Code (relating to treatment 
of net operating losses attributable to storm losses). 
(5) Section 1400N(n) of such Code (relating to treatment 
of representations regarding income eligibility for purposes of 
qualified rental project requirements). 
(6) Section 1400N(o) of such Code (relating to treatment 
of public utility property disaster losses). 
(7) Section 1400Q of such Code (relating to special rules 
for use of retirement funds). 
(8) Section 1400R(a) of such Code (relating to employee 
retention credit for employers). 
(9) Section 1400S(b) of such Code (relating to suspension 
of certain limitations on personal casualty losses). 
(10) Section 405 of the Katrina Emergency Tax Relief Act 
of 2005 (relating to extension of replacement period for non-
recognition of gain). 
Applicability. 
26 USC 168 note. 
26 USC 168. 
26 USC 38 note. 
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122 STAT. 1521 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) KANSAS DISASTER AREA.—For purposes of this section, the 
term ‘‘Kansas disaster area’’ means an area with respect to which 
a major disaster has been declared by the President under section 
401 of the Robert T. Stafford Disaster Relief and Emergency Assist-
ance Act (FEMA–1699–DR, as in effect on the date of the enactment 
of this Act) by reason of severe storms and tornados beginning 
on May 4, 2007, and determined by the President to warrant 
individual or individual and public assistance from the Federal 
Government under such Act with respect to damages attributable 
to such storms and tornados. 
(c) REFERENCES TO AREA OR LOSS.— 
(1) AREA.—Any reference in such provisions to the Katrina 
disaster area or the Gulf Opportunity Zone shall be treated 
as a reference to the Kansas disaster area. 
(2) LOSS.—Any reference in such provisions to any loss 
or damage attributable to Hurricane Katrina shall be treated 
as a reference to any loss or damage attributable to the May 
4, 2007, storms and tornados. 
(d) REFERENCES TO DATES, ETC.— 
(1) SPECIAL ALLOWANCE FOR CERTAIN PROPERTY ACQUIRED 
ON OR AFTER MAY 5, 2007.—Section 1400N(d) of such Code— 
(A) by substituting ‘‘qualified Recovery Assistance prop-
erty’’ for ‘‘qualified Gulf Opportunity Zone property’’ each 
place it appears, 
(B) by substituting ‘‘May 5, 2007’’ for ‘‘August 28, 2005’’ 
each place it appears, 
(C) by substituting ‘‘December 31, 2008’’ for ‘‘December 
31, 2007’’ in paragraph (2)(A)(v), 
(D) by substituting ‘‘December 31, 2009’’ for ‘‘December 
31, 2008’’ in paragraph (2)(A)(v), 
(E) by substituting ‘‘May 4, 2007’’ for ‘‘August 27, 2005’’ 
in paragraph (3)(A), 
(F) by substituting ‘‘January 1, 2009’’ for ‘‘January 
1, 2008’’ in paragraph (3)(B), and 
(G) determined without regard to paragraph (6) 
thereof. 
(2) INCREASE IN EXPENSING UNDER SECTION 179.—Section 
1400N(e) of such Code, by substituting ‘‘qualified section 179 
Recovery Assistance property’’ for ‘‘qualified section 179 Gulf 
Opportunity Zone property’’ each place it appears. 
(3) EXPENSING
FOR
CERTAIN
DEMOLITION
AND
CLEAN-UP 
COSTS.—Section 1400N(f) of such Code— 
(A) by substituting ‘‘qualified Recovery Assistance 
clean-up cost’’ for ‘‘qualified Gulf Opportunity Zone clean- 
up cost’’ each place it appears, and 
(B) by substituting ‘‘beginning on May 4, 2007, and 
ending on December 31, 2009’’ for ‘‘beginning on August 
28, 2005, and ending on December 31, 2007’’ in paragraph 
(2) thereof. 
(4) TREATMENT OF NET OPERATING LOSSES ATTRIBUTABLE 
TO STORM LOSSES.—Section 1400N(k) of such Code— 
(A) by substituting ‘‘qualified Recovery Assistance loss’’ 
for ‘‘qualified Gulf Opportunity Zone loss’’ each place it 
appears, 
(B) by substituting ‘‘after May 3, 2007, and before 
on January 1, 2010’’ for ‘‘after August 27, 2005, and before 
January 1, 2008’’ each place it appears, 
26 USC 1400N. 
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122 STAT. 1522 
PUBLIC LAW 110–234—MAY 22, 2008 
(C) by substituting ‘‘May 4, 2007’’ for ‘‘August 28, 2005’’ 
in paragraph (2)(B)(ii)(I) thereof, 
(D) by substituting ‘‘qualified Recovery Assistance 
property’’ for ‘‘qualified Gulf Opportunity Zone property’’ 
in paragraph (2)(B)(iv) thereof, and 
(E) by substituting ‘‘qualified Recovery Assistance cas-
ualty loss’’ for ‘‘qualified Gulf Opportunity Zone casualty 
loss’’ each place it appears. 
(5) SPECIAL RULES FOR USE OF RETIREMENT FUNDS.—Section 
1400Q of such Code— 
(A) by substituting ‘‘qualified Recovery Assistance dis-
tribution’’ for ‘‘qualified hurricane distribution’’ each place 
it appears, 
(B) by substituting ‘‘on or after May 4, 2007, and 
before January 1, 2009’’ for ‘‘on or after August 25, 2005, 
and before January 1, 2007’’ in subsection (a)(4)(A)(i), 
(C) by substituting ‘‘May 4, 2007’’ for ‘‘August 28, 2005’’ 
in subsections (a)(4)(A)(i) and (c)(3)(B), 
(D) disregarding clauses (ii) and (iii) of subsection 
(a)(4)(A), 
(E) by substituting ‘‘qualified storm distribution’’ for 
‘‘qualified Katrina distribution’’ each place it appears, 
(F) by substituting ‘‘after November 4, 2006, and before 
May 5, 2007’’ for ‘‘after February 28, 2005, and before 
August 29, 2005’’ in subsection (b)(2)(B)(ii), 
(G) by substituting ‘‘the Kansas disaster area (as 
defined in section 15345(b) of the Food, Conservation, and 
Energy Act of 2008) but which was not so purchased or 
constructed on account of the May 4, 2007, storms and 
tornados’’ for ‘‘the Hurricane Katrina disaster area, but 
not so purchased or constructed on account of Hurricane 
Katrina’’ in subsection (b)(2)(B)(iii), 
(H) by substituting ‘‘beginning on May 4, 2007, and 
ending on the date which is 5 months after the date of 
the enactment of the Heartland, Habitat, Harvest, and 
Horticulture Act of 2008’’ for ‘‘beginning on August 25, 
2005, and ending on February 28, 2006’’ in subsection 
(b)(3)(A), 
(I) by substituting ‘‘qualified storm individual’’ for 
‘‘qualified Hurricane Katrina individual’’ each place it 
appears, 
(J) by substituting ‘‘December 31, 2008’’ for ‘‘December 
31, 2006’’ in subsection (c)(2)(A), 
(K) by substituting ‘‘beginning on the date of the enact-
ment of the Food, Conservation, and Energy Act of 2008 
and ending on December 31, 2008’’ for ‘‘beginning on Sep-
tember 24, 2005, and ending on December 31, 2006’’ in 
subsection (c)(4)(A)(i), 
(L) by substituting ‘‘May 4, 2007’’ for ‘‘August 25, 2005’’ 
in subsection (c)(4)(A)(ii), and 
(M) by substituting ‘‘January 1, 2009’’ for ‘‘January 
1, 2007’’ in subsection (d)(2)(A)(ii). 
(6) EMPLOYEE RETENTION CREDIT FOR EMPLOYERS AFFECTED 
BY
MAY
4
STORMS
AND
TORNADOS.—Section 1400R(a) of the 
Internal Revenue Code of 1986— 
(A) by substituting ‘‘May 4, 2007’’ for ‘‘August 28, 2005’’ 
each place it appears, 
26 USC 1400Q. 
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122 STAT. 1523 
PUBLIC LAW 110–234—MAY 22, 2008 
(B) by substituting ‘‘January 1, 2008’’ for ‘‘January 
1, 2006’’ both places it appears, and 
(C) only with respect to eligible employers who 
employed an average of not more than 200 employees on 
business days during the taxable year before May 4, 2007. 
(7) SUSPENSION OF CERTAIN LIMITATIONS ON PERSONAL CAS-
UALTY LOSSES.—Section 1400S(b)(1) of the Internal Revenue 
Code of 1986, by substituting ‘‘May 4, 2007’’ for ‘‘August 25, 
2005’’. 
(8) EXTENSION OF REPLACEMENT PERIOD FOR NONRECOGNI-
TION
OF
GAIN.—Section 405 of the Katrina Emergency Tax 
Relief Act of 2005, by substituting ‘‘on or after May 4, 2007’’ 
for ‘‘on or after August 25, 2005’’. 
SEC. 15346. COMPETITIVE CERTIFICATION AWARDS MODIFICATION 
AUTHORITY. 
(a) IN GENERAL.—Section 48A (relating to qualifying advanced 
coal project credit) is amended by adding at the end the following 
new subsection: 
‘‘(h) 
COMPETITIVE
CERTIFICATION
AWARDS
MODIFICATION 
AUTHORITY.—In implementing this section or section 48B, the Sec-
retary is directed to modify the terms of any competitive certification 
award and any associated closing agreement where such modifica-
tion— 
‘‘(1) is consistent with the objectives of such section, 
‘‘(2) is requested by the recipient of the competitive certifi-
cation award, and 
‘‘(3) involves moving the project site to improve the poten-
tial to capture and sequester carbon dioxide emissions, reduce 
costs of transporting feedstock, and serve a broader customer 
base, 
unless the Secretary determines that the dollar amount of tax 
credits available to the taxpayer under such section would increase 
as a result of the modification or such modification would result 
in such project not being originally certified. In considering any 
such modification, the Secretary shall consult with other relevant 
Federal agencies, including the Department of Energy.’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall take effect on the date of the enactment of this Act and 
is applicable to all competitive certification awards entered into 
under section 48A or 48B of the Internal Revenue Code of 1986, 
whether such awards were issued before, on, or after such date 
of enactment. 
PART IV—OTHER REVENUE PROVISIONS 
SEC. 15351. LIMITATION ON EXCESS FARM LOSSES OF CERTAIN TAX-
PAYERS. 
(a) IN GENERAL.—Section 461 (relating to general rule for tax-
able year of deduction) is amended by adding at the end the fol-
lowing new subsection: 
‘‘(j) LIMITATION
ON EXCESS FARM LOSSES
OF CERTAIN TAX-
PAYERS.— 
‘‘(1) LIMITATION.—If a taxpayer other than a C corporation 
receives any applicable subsidy for any taxable year, any excess 
farm loss of the taxpayer for the taxable year shall not be 
allowed. 
Applicability. 
26 USC 48A note. 
119 Stat. 2028. 
26 USC 1400. 
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122 STAT. 1524 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(2) DISALLOWED LOSS CARRIED TO NEXT TAXABLE YEAR.— 
Any loss which is disallowed under paragraph (1) shall be 
treated as a deduction of the taxpayer attributable to farming 
businesses in the next taxable year. 
‘‘(3) APPLICABLE SUBSIDY.—For purposes of this subsection, 
the term ‘applicable subsidy’ means— 
‘‘(A) any direct or counter-cyclical payment under title 
I of the Food, Conservation, and Energy Act of 2008, or 
any payment elected to be received in lieu of any such 
payment, or 
‘‘(B) any Commodity Credit Corporation loan. 
‘‘(4) EXCESS FARM LOSS.—For purposes of this subsection— 
‘‘(A) IN GENERAL.—The term ‘excess farm loss’ means 
the excess of— 
‘‘(i) the aggregate deductions of the taxpayer for 
the taxable year which are attributable to farming 
businesses of such taxpayer (determined without 
regard to whether or not such deductions are dis-
allowed for such taxable year under paragraph (1)), 
over 
‘‘(ii) the sum of— 
‘‘(I) the aggregate gross income or gain of such 
taxpayer for the taxable year which is attributable 
to such farming businesses, plus 
‘‘(II) the threshold amount for the taxable year. 
‘‘(B) THRESHOLD AMOUNT.— 
‘‘(i) IN
GENERAL.—The term ‘threshold amount’ 
means, with respect to any taxable year, the greater 
of— 
‘‘(I) $300,000 ($150,000 in the case of married 
individuals filing separately), or 
‘‘(II) the excess (if any) of the aggregate 
amounts described in subparagraph (A)(ii)(I) for 
the 5-consecutive taxable year period preceding 
the taxable year over the aggregate amounts 
described in subparagraph (A)(i) for such period. 
‘‘(ii) SPECIAL RULES FOR DETERMINING AGGREGATE 
AMOUNTS.—For purposes of clause (i)(II)— 
‘‘(I) notwithstanding the disregard in subpara-
graph (A)(i) of any disallowance under paragraph 
(1), in the case of any loss which is carried forward 
under paragraph (2) from any taxable year, such 
loss (or any portion thereof) shall be taken into 
account for the first taxable year in which a deduc-
tion for such loss (or portion) is not disallowed 
by reason of this subsection, and 
‘‘(II) the Secretary shall prescribe rules for 
the 
computation 
of 
the 
aggregate 
amounts 
described in such clause in cases where the filing 
status of the taxpayer is not the same for the 
taxable year and each of the taxable years in the 
period described in such clause. 
‘‘(C) FARMING BUSINESS.— 
‘‘(i) IN GENERAL.—The term ‘farming business’ has 
the meaning given such term in section 263A(e)(4). 
‘‘(ii) CERTAIN TRADES AND BUSINESSES INCLUDED.— 
If, without regard to this clause, a taxpayer is engaged 
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122 STAT. 1525 
PUBLIC LAW 110–234—MAY 22, 2008 
in a farming business with respect to any agricultural 
or horticultural commodity— 
‘‘(I) the term ‘farming business’ shall include 
any trade or business of the taxpayer of the proc-
essing of such commodity (without regard to 
whether the processing is incidental to the 
growing, raising, or harvesting of such commodity), 
and 
‘‘(II) if the taxpayer is a member of a coopera-
tive to which subchapter T applies, any trade or 
business of the cooperative described in subclause 
(I) shall be treated as the trade or business of 
the taxpayer. 
‘‘(D) CERTAIN LOSSES DISREGARDED.—For purposes of 
subparagraph (A)(i), there shall not be taken into account 
any deduction for any loss arising by reason of fire, storm, 
or other casualty, or by reason of disease or drought, 
involving any farming business. 
‘‘(5) APPLICATION OF SUBSECTION IN CASE OF PARTNERSHIPS 
AND S CORPORATIONS.—In the case of a partnership or S cor-
poration— 
‘‘(A) this subsection shall be applied at the partner 
or shareholder level, and 
‘‘(B) each partner’s or shareholder’s proportionate share 
of the items of income, gain, or deduction of the partnership 
or S corporation for any taxable year from farming 
businesses attributable to the partnership or S corporation, 
and of any applicable subsidies received by the partnership 
or S corporation during the taxable year, shall be taken 
into account by the partner or shareholder in applying 
this subsection to the taxable year of such partner or 
shareholder with or within which the taxable year of the 
partnership or S corporation ends. 
The Secretary may provide rules for the application of this 
paragraph to any other pass-thru entity to the extent necessary 
to carry out the provisions of this subsection. 
‘‘(6) ADDITIONAL REPORTING.—The Secretary may prescribe 
such additional reporting requirements as the Secretary deter-
mines appropriate to carry out the purposes of this subsection. 
‘‘(7) COORDINATION
WITH
SECTION
469.—This subsection 
shall be applied before the application of section 469.’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall apply to taxable years beginning after December 31, 2009. 
SEC. 15352. MODIFICATION TO OPTIONAL METHOD OF COMPUTING 
NET EARNINGS FROM SELF-EMPLOYMENT. 
(a) AMENDMENTS TO THE INTERNAL REVENUE CODE OF 1986.— 
(1) IN GENERAL.—The matter following paragraph (17) of 
section 1402(a) is amended— 
(A) by striking ‘‘$2,400’’ each place it appears and 
inserting ‘‘the upper limit’’, and 
(B) by striking ‘‘$1,600’’ each place it appears and 
inserting ‘‘the lower limit’’. 
(2) DEFINITIONS.—Section 1402 is amended by adding at 
the end the following new subsection: 
‘‘(l) UPPER
AND LOWER LIMITS.—For purposes of subsection 
(a)— 
26 USC 1402. 
26 USC 461 note. 
Applicability. 
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122 STAT. 1526 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(1) LOWER LIMIT.—The lower limit for any taxable year 
is the sum of the amounts required under section 213(d) of 
the Social Security Act for a quarter of coverage in effect 
with respect to each calendar quarter ending with or within 
such taxable year. 
‘‘(2) UPPER LIMIT.—The upper limit for any taxable year 
is the amount equal to 150 percent of the lower limit for 
such taxable year.’’. 
(b) AMENDMENTS TO THE SOCIAL SECURITY ACT.— 
(1) IN GENERAL.—The matter following paragraph (16) of 
section 211(a) of the Social Security Act is amended— 
(A) by striking ‘‘$2,400’’ each place it appears and 
inserting ‘‘the upper limit’’, and 
(B) by striking ‘‘$1,600’’ each place it appears and 
inserting ‘‘the lower limit’’. 
(2) DEFINITIONS.—Section 211 of such Act is amended by 
adding at the end the following new subsection: 
‘‘(k) UPPER AND LOWER LIMITS.—For purposes of subsection 
(a)— 
‘‘(1) The lower limit for any taxable year is the sum of 
the amounts required under section 213(d) for a quarter of 
coverage in effect with respect to each calendar quarter ending 
with or within such taxable year. 
‘‘(2) The upper limit for any taxable year is the amount 
equal to 150 percent of the lower limit for such taxable year.’’. 
(3) CONFORMING
AMENDMENT.—Section 212 of such Act 
is amended— 
(A) in subsection (b), by striking ‘‘For’’ and inserting 
‘‘Except as provided in subsection (c), for’’; and 
(B) by adding at the end the following new subsection: 
‘‘(c) For the purpose of determining average indexed monthly 
earnings, average monthly wage, and quarters of coverage in the 
case of any individual who elects the option described in clause 
(ii) or (iv) in the matter following section 211(a)(16) for any taxable 
year that does not begin with or during a particular calendar 
year and end with or during such year, the self-employment income 
of such individual deemed to be derived during such taxable year 
shall be allocated to the two calendar years, portions of which 
are included within such taxable year, in the same proportion 
to the total of such deemed self-employment income as the sum 
of the amounts applicable under section 213(d) for the calendar 
quarters ending with or within each such calendar year bears 
to the lower limit for such taxable year specified in section 
211(k)(1).’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to taxable years beginning after December 31, 2007. 
SEC. 15353. INFORMATION REPORTING FOR COMMODITY CREDIT COR-
PORATION TRANSACTIONS. 
(a) IN GENERAL.—Subpart A of part III of subchapter A of 
chapter 61 (relating to information concerning persons subject to 
special provisions) is amended by inserting after section 6039I 
the following new section: 
‘‘SEC. 6039J. INFORMATION REPORTING WITH RESPECT TO COM-
MODITY CREDIT CORPORATION TRANSACTIONS. 
‘‘(a) REQUIREMENT OF REPORTING.—The Commodity Credit Cor-
poration, through the Secretary of Agriculture, shall make a return, 
Regulations. 
26 USC 1402 
note. 
42 USC 412. 
42 USC 411. 
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122 STAT. 1527 
PUBLIC LAW 110–234—MAY 22, 2008 
according to the forms and regulations prescribed by the Secretary 
of the Treasury, setting forth any market gain realized by a tax-
payer during the taxable year in relation to the repayment of 
a loan issued by the Commodity Credit Corporation, without regard 
to the manner in which such loan was repaid. 
‘‘(b) STATEMENTS TO BE FURNISHED TO PERSONS WITH RESPECT 
TO WHOM INFORMATION IS REQUIRED.—The Secretary of Agriculture 
shall furnish to each person whose name is required to be set 
forth in a return required under subsection (a) a written statement 
showing the amount of market gain reported in such return.’’. 
(b) CLERICAL AMENDMENT.—The table of sections for subpart 
A of part III of subchapter A of chapter 61 is amended by inserting 
after the item relating to section 6039I the following new item: 
‘‘Sec. 6039J. Information reporting with respect to Commodity Credit Corporation 
transactions.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to loans repaid on or after January 1, 2007. 
PART V—PROTECTION OF SOCIAL SECURITY 
SEC. 15361. PROTECTION OF SOCIAL SECURITY. 
To ensure that the assets of the trust funds established under 
section 201 of the Social Security Act (42 U.S.C. 401) are not 
reduced as a result of the enactment of this Act, the Secretary 
of the Treasury shall transfer annually from the general revenues 
of the Federal Government to those trust funds the following 
amounts: 
(1) For fiscal year 2009, $5,000,000. 
(2) For fiscal year 2010, $9,000,000. 
(3) For fiscal year 2011, $8,000,000. 
(4) For fiscal year 2012, $7,000,000. 
(5) For fiscal year 2013, $8,000,000. 
(6) For fiscal year 2014, $8,000,000. 
(7) For fiscal year 2015, $8,000,000. 
(8) For fiscal year 2016, $6,000,000. 
(9) For fiscal year 2017, $7,000,000. 
Subtitle D—Trade Provisions 
PART I—EXTENSION OF CERTAIN TRADE 
BENEFITS 
SEC. 15401. SHORT TITLE. 
This part may be cited as the ‘‘Haitian Hemispheric Oppor-
tunity through Partnership Encouragement Act of 2008’’ or the 
‘‘HOPE II Act’’. 
SEC. 15402. BENEFITS FOR APPAREL AND OTHER TEXTILE ARTICLES. 
(a) VALUE-ADDED RULE.—Section 213A(b) of the Carribean 
Basin Economic Recovery Act (19 U.S.C. 2703a(b)) is amended 
as follows: 
(1) The subsection heading is amended to read as follows: 
‘‘APPAREL AND OTHER TEXTILE ARTICLES’’. 
(2) Paragraph (1) is amended to read as follows: 
‘‘(1) VALUE-ADDED RULE FOR APPAREL ARTICLES.— 
Haitian 
Hemispheric 
Opportunity 
through 
Partnership 
Encouragement 
Act of 2008. 
19 USC 2701 
note. 
42 USC 401 note. 
26 USC 6039J 
note. 
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122 STAT. 1528 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(A) IN
GENERAL.—Apparel articles described in 
subparagraph (B) of a producer or entity controlling produc-
tion that are imported directly from Haiti or the Dominican 
Republic shall enter the United States free of duty during 
an applicable 1-year period, subject to the limitations set 
forth in subparagraphs (B) and (C), and subject to subpara-
graph (D).’’. 
(3) Paragraph (2) is amended— 
(A) in subparagraph (A)— 
(i) by moving such subparagraph 2 ems to the 
right; 
(ii) in clause (i), by striking ‘‘subparagraph (C)’’ 
and inserting ‘‘clause (iii)’’; 
(iii) in clause (ii), by striking ‘‘subparagraph (C)’’ 
and inserting ‘‘clause (iii)’’; 
(iv) in the matter following clause (ii), by striking 
‘‘subparagraph (E)(I)’’ and inserting ‘‘clause (v)(I)’’; 
(v) by redesignating clauses (i) and (ii) as sub-
clauses (I) and (II), respectively; and 
(vi) by redesignating subparagraph (A) as clause 
(i); 
(B) in subparagraph (B)— 
(i) by moving such subparagraph 2 ems to the 
right; 
(ii) by striking ‘‘subparagraph (A)(i)’’ each place 
it appears and inserting ‘‘clause (i)(I)’’; 
(iii) by redesignating clauses (i) and (ii) as sub-
clauses (I) and (II), respectively; and 
(iv) by redesignating subparagraph (B) as clause 
(ii); 
(C) in subparagraph (C)— 
(i) by moving such subparagraph 2 ems to the 
right; 
(ii) in the matter preceding clause (i), by striking 
‘‘subparagraph (A)’’ and inserting ‘‘clause (i)’’; 
(iii) in clause (ii), by striking ‘‘that enters into 
force’’ and all that follows through ‘‘et seq.)’’ and 
inserting ‘‘that enters into force thereafter’’; 
(iv) by redesignating clauses (i) through (v) as 
subclauses (I) through (V), respectively; and 
(v) by redesignating subparagraph (C) as clause 
(iii); 
(D) in subparagraph (D)— 
(i) by moving such subparagraph 2 ems to the 
right; 
(ii) in clause (i)— 
(I) in the matter preceding subclause (I), by 
striking ‘‘subparagraph (A)’’ and inserting ‘‘clause 
(i)’’; 
(II) in subclause (I), by striking ‘‘clause (i) 
of subparagraph (A)’’ and inserting ‘‘subclause (I) 
of clause (i)’’; 
(III) in subclause (II), by striking ‘‘clause (ii) 
of subparagraph (A)’’ and inserting ‘‘subclause (II) 
of clause (i)’’; 
(IV) by redesignating subclauses (I) and (II) 
as items (aa) and (bb), respectively; and 
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122 STAT. 1529 
PUBLIC LAW 110–234—MAY 22, 2008 
(V) by redesignating clause (i) as subclause 
(I); 
(iii) in clause (ii)— 
(I) in the matter preceding subclause (I), by 
striking ‘‘subparagraph (A)’’ and inserting ‘‘clause 
(i)’’; 
(II) in subclause (I), by striking ‘‘clause (i) 
of subparagraph (A)’’ and inserting ‘‘subclause (I) 
of clause (i)’’; 
(III) in subclause (II), by striking ‘‘clause (ii) 
of subparagraph (A)’’ and inserting ‘‘subclause (II) 
of clause (i)’’; 
(IV) by redesignating subclauses (I) and (II) 
as items (aa) and (bb), respectively; and 
(V) by redesignating clause (ii) as subclause 
(II); 
(iv) in clause (iii)— 
(I) by striking ‘‘clause (i)(I) or (ii)(I)’’ each place 
it appears and inserting ‘‘subclause (I)(aa) or 
(II)(aa)’’; 
(II) by redesignating subclauses (I) and (II) 
as items (aa) and (bb), respectively; and 
(III) by redesignating clause (iii) as subclause 
(III); 
(v) by amending clause (iv) to read as follows: 
‘‘(IV) INCLUSION
IN
CALCULATION
OF
OTHER 
ARTICLES RECEIVING PREFERENTIAL TREATMENT.— 
Entries of apparel articles that receive preferential 
treatment under any provision of law other than 
this subparagraph or are subject to the ‘General’ 
column 1 rate of duty under the HTS are not 
included in the annual aggregation under sub-
clause (I) or (II) unless the producer or entity 
controlling production elects, at the time the 
annual aggregation calculation is made, to include 
such entries in such aggregation.’’; and 
(vi) by redesignating subparagraph (D) as clause 
(iv); 
(E) in subparagraph (E)— 
(i) by moving such subparagraph 2 ems to the 
right; 
(ii) in clause (i)— 
(I) by redesignating subclauses (I) through 
(III) as items (aa) through (cc), respectively; and 
(II) by redesignating clause (i) as subclause 
(I); 
(iii) in clause (ii)— 
(I) 
by 
striking 
‘‘subparagraph 
(C)’’ 
and 
inserting ‘‘clause (iii)’’; and 
(II) by redesignating clause (ii) as subclause 
(II); and 
(iv) by redesignating subparagraph (E) as clause 
(v); 
(F) in subparagraph (F)— 
(i) by moving such subparagraph 2 ems to the 
right; 
(ii) in clause (i)— 
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122 STAT. 1530 
PUBLIC LAW 110–234—MAY 22, 2008 
(I) by striking ‘‘The Bureau of Customs and 
Border Protection’’ and inserting ‘‘U.S. Customs 
and Border Protection’’; 
(II) by striking ‘‘subparagraphs (A) and (D)’’ 
and inserting ‘‘clauses (i) and (iv)’’; and 
(III) by redesignating clause (i) as subclause 
(I); 
(iii) in clause (ii)— 
(I) in the matter preceding subclause (I)— 
(aa) by striking ‘‘the Bureau of Customs 
and Border Protection’’ and inserting ‘‘U.S. 
Customs and Border Protection’’; 
(bb) by striking ‘‘subparagraph (A)’’ each 
place it appears and inserting ‘‘clause (i)’’; and 
(cc) by striking ‘‘subparagraph (D)’’ and 
inserting ‘‘clause (iv)’’; 
(II) in subclause (I), by striking ‘‘clause (i) 
of subparagraph (A)’’ and inserting ‘‘subclause (I) 
of clause (i)’’; 
(III) in subclause (II), by striking ‘‘clause (ii) 
of subparagraph (A)’’ and inserting ‘‘subclause (II) 
of clause (i)’’; 
(IV) in the matter following subclause (II), 
by striking ‘‘subparagraph (E)(i)’’ and inserting 
‘‘clause (v)(I)’’; 
(V) by redesignating subclauses (I) and (II) 
as items (aa) and (bb), respectively; and 
(VI) by redesignating clause (ii) as subclause 
(II); 
(iv) in clause (iii)— 
(I) in subclause (I)— 
(aa) by striking ‘‘paragraph (1)’’ and 
inserting ‘‘subparagraph (A)’’; and 
(bb) by striking ‘‘subparagraph (A) or (D)’’ 
and inserting ‘‘clause (i) or (iv)’’; 
(II) in subclause (II), by striking ‘‘clause (ii) 
of this subparagraph’’ and inserting ‘‘subclause (II) 
of this clause’’; 
(III) in the matter following subclause (II)— 
(aa) by striking ‘‘the Bureau of Customs 
and Border Protection’’ each place it appears 
and inserting ‘‘U.S. Customs and Border 
Protection’’; and 
(bb) by striking ‘‘subclause (II)’’ and 
inserting ‘‘item (bb)’’; and 
(IV) in item (bb)— 
(aa) by striking ‘‘paragraph (1)’’ and 
inserting ‘‘subparagraph (A)’’; and 
(bb) by striking ‘‘subparagraph (A) or (D)’’ 
and inserting ‘‘clause (i) or (iv)’’; and 
(V) in the matter following item (bb), by 
striking ‘‘paragraph (1)’’ and inserting ‘‘subpara-
graph (A)’’; 
(VI) by redesignating items (aa) and (bb) as 
subitems (AA) and (BB), respectively; 
(VII) by redesignating subclauses (I) and (II) 
as items (aa) and (bb), respectively; and 
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122 STAT. 1531 
PUBLIC LAW 110–234—MAY 22, 2008 
(VIII) by redesignating clause (iii) as subclause 
(III); and 
(v) by redesignating subparagraph (F) as clause 
(vi); 
(G) in subparagraph (G)— 
(i) by moving such subparagraph 2 ems to the 
right; 
(ii) in clause (i)— 
(I) in the matter preceding subclause (I), by 
striking ‘‘subparagraph (A) or (D)’’ and inserting 
‘‘clause (i) or (iv)’’; 
(II) in subclause (II)— 
(aa) in item (dd), by striking ‘‘under the 
Bipartisan Trade Promotion Authority Act of 
2002’’ and inserting ‘‘with respect to the 
United States’’; and 
(bb) by redesignating items (aa) through 
(dd) as subitems (AA) through (DD), respec-
tively; 
(III) by redesignating subclauses (I) and (II) 
as items (aa) and (bb), respectively; and 
(IV) by redesignating clause (i) as subclause 
(I); 
(iii) in clause (ii)— 
(I) in subclause (I), by striking ‘‘clause (i)(I)’’ 
and inserting ‘‘subclause (I)(aa)’’; 
(II) in subclause (II), by striking ‘‘clause (i)(II)’’ 
and inserting ‘‘subclause (I)(bb)’’; 
(III) by redesignating subclauses (I) and (II) 
as items (aa) and (bb), respectively; and 
(IV) by redesignating clause (ii) as subclause 
(II); and 
(iv) by redesignating subparagraph (G) as clause 
(vii); and 
(H) by striking ‘‘(2) APPAREL ARTICLES DESCRIBED.— 
’’ and inserting the following: 
‘‘(B) APPAREL ARTICLES DESCRIBED.—’’. 
(4) Paragraph (3) is amended— 
(A) by redesignating such paragraph as subparagraph 
(C) and moving it 2 ems to the right; 
(B) by striking ‘‘paragraph (1)’’ each place it appears 
and inserting ‘‘subparagraph (A)’’; and 
(C) in the table— 
(i) by striking ‘‘1.5 percent’’ and inserting ‘‘1.25 
percent’’; 
(ii) by striking ‘‘1.75 percent’’ and inserting ‘‘1.25 
percent’’; and 
(iii) by striking ‘‘2 percent’’ and inserting ‘‘1.25 
percent’’. 
(5) The following is added after subparagraph (C), as 
redesignated by paragraph (4)(A) of this subsection: 
‘‘(D) OTHER PREFERENTIAL TREATMENT NOT AFFECTED 
BY QUANTITATIVE LIMITATIONS.—Any apparel article that 
qualifies for preferential treatment under paragraph (2), 
(3), (4), or (5) or any other provision of this title shall 
not be subject to, or included in the calculation of, the 
quantitative limitations under subparagraph (C).’’. 
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122 STAT. 1532 
PUBLIC LAW 110–234—MAY 22, 2008 
(b) SPECIAL RULE FOR WOVEN ARTICLES AND CERTAIN KNIT 
ARTICLES.—Section 213A(b) of the Carribean Basin Economic 
Recovery Act is amended by striking paragraph (4) and inserting 
the following: 
‘‘(2) SPECIAL RULE FOR WOVEN ARTICLES AND CERTAIN KNIT 
ARTICLES.— 
‘‘(A) SPECIAL RULE FOR ARTICLES OF CHAPTER 62 OF 
THE HTS.— 
‘‘(i) GENERAL RULE.—Any apparel article classifi-
able under chapter 62 of the HTS that is wholly assem-
bled, or knit-to-shape, in Haiti from any combination 
of fabrics, fabric components, components knit-to- 
shape, or yarns and is imported directly from Haiti 
or the Dominican Republic shall enter the United 
States free of duty, subject to clauses (ii) and (iii), 
without regard to the source of the fabric, fabric compo-
nents, components knit-to-shape, or yarns from which 
the article is made. 
‘‘(ii) 
LIMITATION.—The 
preferential 
treatment 
described in clause (i) shall be extended, in the 1- 
year period beginning October 1, 2008, and in each 
of the 9 succeeding 1-year periods, to not more than 
70,000,000 square meter equivalents of apparel articles 
described in such clause. 
‘‘(iii) 
OTHER
PREFERENTIAL
TREATMENT
NOT 
AFFECTED BY QUANTITATIVE LIMITATION.—Any apparel 
article that qualifies for preferential treatment under 
paragraph (1), (3), (4), or (5) or subparagraph (B) of 
this paragraph or any other provision of this title shall 
not be subject to, or included in the calculation of, 
the quantitative limitation under clause (ii). 
‘‘(B) SPECIAL RULE FOR CERTAIN ARTICLES OF CHAPTER 
61 OF THE HTS.— 
‘‘(i) GENERAL RULE.—Any apparel article classifi-
able under chapter 61 of the HTS that is wholly assem-
bled, or knit-to-shape, in Haiti from any combination 
of fabrics, fabric components, components knit-to- 
shape, or yarns and is imported directly from Haiti 
or the Dominican Republic shall enter the United 
States free of duty, subject to clauses (ii), (iii), and 
(iv), without regard to the source of the fabric, fabric 
components, components knit-to-shape, or yarns from 
which the article is made. 
‘‘(ii) 
EXCLUSIONS.—The 
preferential 
treatment 
described in clause (i) shall not apply to the following: 
‘‘(I) The following apparel articles of cotton, 
for men or boys, that are classifiable under sub-
heading 6109.10.00 of the HTS: 
‘‘(aa) All white T-shirts, with short 
hemmed sleeves and hemmed bottom, with 
crew or round neckline or with V-neck and 
with a mitered seam at the center of the V, 
and without pockets, trim, or embroidery. 
‘‘(bb) All white singlets, without pockets, 
trim, or embroidery. 
‘‘(cc) Other T-shirts, but not including 
thermal undershirts. 
Extension. 
Effective date. 
19 USC 2703a. 
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122 STAT. 1533 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(II) T-shirts for men or boys that are classifi-
able under subheading 6109.90.10. 
‘‘(III) The following apparel articles of cotton, 
for men or boys, that are classifiable under sub-
heading 6110.20.20 of the HTS: 
‘‘(aa) Sweatshirts. 
‘‘(bb) Pullovers, other than sweaters, vests, 
or garments imported as part of playsuits. 
‘‘(IV) Sweatshirts for men or boys, of man- 
made fibers and containing less than 65 percent 
by weight of man-made fibers, that are classifiable 
under subheading 6110.30.30 of the HTS. 
‘‘(iii) 
LIMITATION.—The 
preferential 
treatment 
described in clause (i) shall be extended, in the 1- 
year period beginning October 1, 2008, and in each 
of the 9 succeeding 1-year periods, to not more than 
70,000,000 square meter equivalents of apparel articles 
described in such clause. 
‘‘(iv) 
OTHER
PREFERENTIAL
TREATMENT
NOT 
AFFECTED BY QUANTITATIVE LIMITATION.—Any apparel 
article that qualifies for preferential treatment under 
paragraph (1), (3), (4), or (5) or subparagraph (A) of 
this paragraph or any other provision of this title shall 
not be subject to, or included in the calculation of, 
the quantitative limitation under clause (iii).’’. 
(c) SINGLE TRANSFORMATION RULES NOT SUBJECT TO QUAN-
TITATIVE LIMITATIONS.—Section 213A(b) of the Caribbean Basin 
Economic Recovery Act is amended by striking paragraph (5) and 
inserting the following: 
‘‘(3) APPAREL AND OTHER ARTICLES SUBJECT TO CERTAIN 
ASSEMBLY RULES.— 
‘‘(A) BRASSIERES.—Any apparel article classifiable 
under subheading 6212.10 of the HTS that is wholly assem-
bled, or knit-to-shape, in Haiti from any combination of 
fabrics, fabric components, components knit-to-shape, or 
yarns and is imported directly from Haiti or the Dominican 
Republic shall enter the United States free of duty, without 
regard to the source of the fabric, fabric components, compo-
nents knit-to-shape, or yarns from which the article is 
made. 
‘‘(B) OTHER APPAREL ARTICLES.—Any of the following 
apparel articles that is wholly assembled, or knit-to-shape, 
in Haiti from any combination of fabrics, fabric components, 
components knit-to-shape, or yarns and is imported directly 
from Haiti or the Dominican Republic shall enter the 
United States free of duty, without regard to the source 
of the fabric, fabric components, components knit-to-shape, 
or yarns from which the article is made: 
‘‘(i) Any apparel article that is of a type listed 
in chapter rule 3, 4, or 5 for chapter 61 of the HTS 
(as such chapter rules are contained in section A of 
the Annex to Proclamation 8213 of the President of 
December 20, 2007) as being excluded from the scope 
of such chapter rule, when such chapter rule is applied 
to determine whether an apparel article is an origi-
nating good for purposes of general note 29(n) to the 
HTS, except that, for purposes of this clause, reference 
19 USC 2703a. 
Extension. 
Effective date. 
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122 STAT. 1534 
PUBLIC LAW 110–234—MAY 22, 2008 
in such chapter rules to ‘6104.12.00’ shall be deemed 
to be a reference to ‘6104.19.60’. 
‘‘(ii)(I) Subject to subclause (II), any apparel article 
that is of a type listed in chapter rule 3(a), 4(a), or 
5(a) for chapter 62 of the HTS, as such chapter rules 
are contained in paragraph 9 of section A of the Annex 
to Proclamation 8213 of the President of December 
20, 2007. 
‘‘(II) Subclause (I) shall not include any apparel 
article to which subparagraph (A) of this paragraph 
applies. 
‘‘(C) LUGGAGE AND SIMILAR ITEMS.—Any article classifi-
able under subheading 4202.12, 4202.22, 4202.32 or 
4202.92 of the HTS that is wholly assembled in Haiti 
and is imported directly from Haiti or the Dominican 
Republic shall enter the United States free of duty, without 
regard to the source of the fabric, components, or materials 
from which the article is made. 
‘‘(D) 
HEADGEAR.—Any 
article 
classifiable 
under 
heading 6501, 6502, or 6504 of the HTS, or under sub-
heading 6505.90 of the HTS, that is wholly assembled, 
knit-to-shape, or formed in Haiti from any combination 
of fabrics, fabric components, components knit-to-shape, 
or yarns and is imported directly from Haiti or the Domini-
can Republic shall enter the United States free of duty, 
without regard to the source of the fabric, fabric compo-
nents, components knit-to-shape, or yarns from which the 
article is made. 
‘‘(E) CERTAIN
SLEEPWEAR.—Any of the following 
apparel articles that is wholly assembled, or knit-to-shape, 
in Haiti from any combination of fabrics, fabric components, 
components knit-to-shape, or yarns and is imported directly 
from Haiti or the Dominican Republic shall enter the 
United States free of duty, without regard to the source 
of the fabric, fabric components, components knit-to-shape, 
or yarns from which the article is made: 
‘‘(i) Pajama bottoms and other sleepwear for 
women and girls, of cotton, that are classifiable under 
subheading 6208.91.30, or of man-made fibers, that 
are classifiable under subheading 6208.92.00. 
‘‘(ii) Pajama bottoms and other sleepwear for girls, 
of other textile materials, that are classifiable under 
subheading 6208.99.20.’’. 
(d) EARNED IMPORT ALLOWANCE RULES.—Section 231A(b) of 
the Caribbean Basin Economic Recovery Act is amended by adding 
at the end the following new paragraph: 
‘‘(4) EARNED IMPORT ALLOWANCE RULE.— 
‘‘(A) IN GENERAL.—Apparel articles wholly assembled, 
or knit-to-shape, in Haiti from any combination of fabrics, 
fabric components, components knit-to-shape, or yarns and 
imported directly from Haiti or the Dominican Republic 
shall enter the United States free of duty, without regard 
to the source of the fabric, fabric components, components 
knit-to-shape, or yarns from which the articles are made, 
if such apparel articles are accompanied by an earned 
import allowance certificate that reflects the amount of 
credits equal to the total square meter equivalents of such 
19 USC 2703a. 
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122 STAT. 1535 
PUBLIC LAW 110–234—MAY 22, 2008 
apparel articles, in accordance with the program estab-
lished under subparagraph (B). For purposes of deter-
mining the quantity of square meter equivalents under 
this subparagraph, the conversion factors listed in ‘Correla-
tion: U.S. Textile and Apparel Industry Category System 
with the Harmonized Tariff Schedule of the United States 
of America, 2008’, or its successor publications, of the 
United States Department of Commerce, shall apply. 
‘‘(B) EARNED IMPORT ALLOWANCE PROGRAM.— 
‘‘(i) ESTABLISHMENT.—The Secretary of Commerce 
shall establish a program to provide earned import 
allowance certificates to any producer or entity control-
ling production for purposes of subparagraph (A), based 
on the elements described in clause (ii). 
‘‘(ii) ELEMENTS.—The elements referred to in 
clause (i) are the following: 
‘‘(I) One credit shall be issued to a producer 
or an entity controlling production for every three 
square meter equivalents of qualifying woven 
fabric or qualifying knit fabric that the producer 
or entity controlling production can demonstrate 
that it purchased for the manufacture in Haiti 
of articles like or similar to any article eligible 
for preferential treatment under subparagraph (A). 
The Secretary of Commerce shall, if requested by 
a producer or entity controlling production, create 
and maintain an account for such producer or 
entity controlling production, into which such 
credits shall be deposited. 
‘‘(II) Such producer or entity controlling 
production may redeem credits issued under sub-
clause (I) for earned import allowance certificates 
reflecting such number of earned credits as the 
producer or entity may request and has available. 
‘‘(III) The Secretary of Commerce may require 
any textile mill or other entity located in the 
United States that exports to Haiti qualifying 
woven fabric or qualifying knit fabric to submit, 
upon such export or upon request, documentation, 
such as a Shipper’s Export Declaration, to the 
Secretary of Commerce— 
‘‘(aa) verifying that the qualifying woven 
fabric or qualifying knit fabric was exported 
to a producer in Haiti or to an entity control-
ling production; and 
‘‘(bb) identifying such producer or entity 
controlling production, and the quantity and 
description of qualifying woven fabric or quali-
fying knit fabric exported to such producer 
or entity controlling production. 
‘‘(IV) The Secretary of Commerce may require 
that a producer or entity controlling production 
submit documentation to verify purchases of quali-
fying woven fabric or qualifying knit fabric. 
‘‘(V) The Secretary of Commerce may make 
available to each person or entity identified in 
documentation submitted under subclause (III) or 
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122 STAT. 1536 
PUBLIC LAW 110–234—MAY 22, 2008 
(IV) information contained in such documentation 
that relates to the purchase of qualifying woven 
fabric or qualifying knit fabric involving such per-
son or entity. 
‘‘(VI) The program under this subparagraph 
shall be established so as to allow, to the extent 
feasible, the submission, storage, retrieval, and 
disclosure of information in electronic format, 
including information with respect to the earned 
import 
allowance 
certificates 
required 
under 
subparagraph (A)(i). 
‘‘(VII) The Secretary of Commerce may rec-
oncile discrepancies in information provided under 
subclause (III) or (IV) and verify the accuracy of 
such information. 
‘‘(VIII) The Secretary of Commerce shall estab-
lish procedures to carry out the program under 
this subparagraph and may establish additional 
requirements to carry out this subparagraph. Such 
additional requirements may include— 
‘‘(aa) submissions by textile mills or other 
entities in the United States documenting 
exports of yarns wholly formed in the United 
States to countries described in paragraph 
(1)(B)(iii) for the manufacture of qualifying 
knit fabric; and 
‘‘(bb) procedures imposed on producers or 
entities controlling production to allow the 
Secretary of Commerce to obtain and verify 
information relating to the production of quali-
fying knit fabric. 
‘‘(iii) QUALIFYING
WOVEN
FABRIC
DEFINED.—For 
purposes of this subparagraph, the term ‘qualifying 
woven fabric’ means fabric wholly formed in the United 
States from yarns wholly formed in the United States, 
except that— 
‘‘(I) fabric otherwise eligible as qualifying 
woven fabric shall not be ineligible as qualifying 
woven fabric because the fabric contains nylon fila-
ment yarn to which section 213(b)(2)(A)(vii)(IV) 
applies; 
‘‘(II) fabric that would otherwise be ineligible 
as qualifying woven fabric because the fabric con-
tains yarns not wholly formed in the United States 
shall not be ineligible as qualifying woven fabric 
if the total weight of all such yarns is not more 
than 10 percent of the total weight of the fabric; 
and 
‘‘(III) fabric otherwise eligible as qualifying 
woven fabric shall not be ineligible as qualifying 
fabric because the fabric contains yarns covered 
by clause (i) or (ii) of paragraph (5)(A). 
‘‘(iv) QUALIFYING KNIT FABRIC DEFINED.—For pur-
poses of this subparagraph, the term ‘qualifying knit 
fabric’ means fabric or knit-to-shape components 
wholly formed or knit-to-shape in any country or any 
combination of countries described in paragraph 
Procedures. 
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122 STAT. 1537 
PUBLIC LAW 110–234—MAY 22, 2008 
(1)(B)(iii), from yarns wholly formed in the United 
States, except that— 
‘‘(I) fabric or knit-to-shape components other-
wise eligible as qualifying knit fabric shall not 
be ineligible as qualifying knit fabric because the 
fabric or knit-to-shape components contain nylon 
filament yarn to which section 213(b)(2)(A)(vii)(IV) 
applies; 
‘‘(II) fabric or knit-to-shape components that 
would otherwise be ineligible as qualifying knit 
fabric because the fabric or knit-to-shape compo-
nents contain yarns not wholly formed in the 
United States shall not be ineligible as qualifying 
knit fabric if the total weight of all such yarns 
is not more than 10 percent of the total weight 
of the fabric or knit-to-shape components; and 
‘‘(III) fabric or knit-to-shape components other-
wise eligible as qualifying knit fabric shall not 
be ineligible as qualifying knit fabric because the 
fabric or knit-to-shape components contain yarns 
covered by clause (i) or (ii) of paragraph (5)(A). 
‘‘(C) REVIEW BY UNITED STATES GOVERNMENT ACCOUNT-
ABILITY OFFICE.—The United States Government Account-
ability Office shall review the program established under 
subparagraph (B) annually for the purpose of evaluating 
the effectiveness of, and making recommendations for 
improvements in, the program. 
‘‘(D) ENFORCEMENT PROVISIONS.— 
‘‘(i) FRAUDULENT
CLAIMS
OF
PREFERENCE.—Any 
person who makes a false claim for preference under 
the program established under subparagraph (B) shall 
be subject to any applicable civil or criminal penalty 
that may be imposed under the customs laws of the 
United States or under title 18, United States Code. 
‘‘(ii) PENALTIES FOR OTHER FRAUDULENT INFORMA-
TION.—The Secretary of Commerce may establish and 
impose penalties for the submission to the Secretary 
of Commerce of fraudulent information under the pro-
gram established under subparagraph (B), other than 
a claim described in clause (i).’’. 
(e) SHORT SUPPLY RULES .—Section 213A(b) of the Caribbean 
Basin Economic Recovery Act is amended by adding at the end 
the following: 
‘‘(5) SHORT SUPPLY PROVISION.— 
‘‘(A) IN GENERAL.—Any apparel article that is wholly 
assembled, or knit-to-shape, in Haiti from any combination 
of fabrics, fabric components, components knit-to-shape, 
or yarns and is imported directly from Haiti or the Domini-
can Republic shall enter the United States free of duty, 
without regard to the source of the fabrics, fabric compo-
nents, components knit-to-shape, or yarns from which the 
article is made, if the fabrics, fabric components, compo-
nents knit-to-shape, or yarns comprising the component 
that determines the tariff classification of the article are 
of any of the following: 
‘‘(i) Fabrics or yarns, to the extent that apparel 
articles of such fabrics or yarns would be eligible for 
19 USC 2703a. 
Penalty. 
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122 STAT. 1538 
PUBLIC LAW 110–234—MAY 22, 2008 
preferential treatment, without regard to the source 
of the fabrics or yarns, under Annex 401 of the NAFTA. 
‘‘(ii) Fabrics or yarns, to the extent that such fab-
rics or yarns are designated as not being available 
in commercial quantities for purposes of— 
‘‘(I) section 213(b)(2)(A)(v) of this Act; 
‘‘(II) section 112(b)(5) of the African Growth 
and Opportunity Act; 
‘‘(III) clause (i)(III) or (ii) of section 204(b)(3)(B) 
of the Andean Trade Preference Act; or 
‘‘(IV) any other provision, relating to deter-
mining whether a textile or apparel article is an 
originating good eligible for preferential treatment, 
of a law that implements a free trade agreement 
entered into by the United States that is in effect 
at the time the claim for preferential treatment 
is made. 
‘‘(B) REMOVAL OF DESIGNATION OF FABRICS OR YARNS 
NOT AVAILABLE IN COMMERCIAL QUANTITIES.—If the Presi-
dent determines that— 
‘‘(i) any fabric or yarn described in clause (i) of 
subparagraph (A) was determined to be eligible for 
preferential treatment, or 
‘‘(ii) any fabric or yarn described in clause (ii) 
of subparagraph (A) was designated as not being avail-
able in commercial quantities, 
on the basis of fraud, the President is authorized to remove 
the eligibility or designation (as the case may be) of that 
fabric or yarn with respect to articles entered after such 
removal.’’. 
(f) MISCELLANEOUS PROVISIONS.— 
(1) RELATIONSHIP
TO
OTHER
PREFERENTIAL
PROGRAMS.— 
Section 213A(b) of the Caribbean Basin Economic Recovery 
Act is amended by adding at the end the following: 
‘‘(6) OTHER PREFERENTIAL TREATMENT NOT AFFECTED.—The 
duty-free treatment provided under this subsection is in addi-
tion to any other preferential treatment under this title.’’. 
(2) DEFINITIONS.—Section 213A(a) of the Caribbean Basin 
Economic Recovery Act (19 U.S.C. 2703a(a)) is amended by 
adding at the end the following: 
‘‘(3) IMPORTED DIRECTLY FROM HAITI OR THE DOMINICAN 
REPUBLIC.—Articles are ‘imported directly from Haiti or the 
Dominican Republic’ if— 
‘‘(A) the articles are shipped directly from Haiti or 
the Dominican Republic into the United States without 
passing through the territory of any intermediate country; 
or 
‘‘(B) the articles are shipped from Haiti or the Domini-
can Republic into the United States through the territory 
of an intermediate country, and— 
‘‘(i) the articles in the shipment do not enter into 
the commerce of any intermediate country, and the 
invoices, bills of lading, and other shipping documents 
specify the United States as the final destination; or 
‘‘(ii) the invoices and other documents do not 
specify the United States as the final destination, but 
the articles in the shipment— 
19 USC 2703a. 
President. 
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122 STAT. 1539 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(I) remain under the control of the customs 
authority in the intermediate country; 
‘‘(II) do not enter into the commerce of the 
intermediate country except for the purpose of a 
sale other than at retail; and 
‘‘(III) have not been subjected to operations 
in the intermediate country other than loading, 
unloading, or other activities necessary to preserve 
the articles in good condition. 
‘‘(4) KNIT-TO-SHAPE.—A good is ‘knit-to-shape’ if 50 percent 
or more of the exterior surface area of the good is formed 
by major parts that have been knitted or crocheted directly 
to the shape used in the good, with no consideration being 
given to patch pockets, applique
´s, or the like. Minor cutting, 
trimming, or sewing of those major parts shall not affect the 
determination of whether a good is ‘knit-to-shape.’ 
‘‘(5) WHOLLY
ASSEMBLED.—A good is ‘wholly assembled’ 
in Haiti if all components, of which there must be at least 
two, pre-existed in essentially the same condition as found 
in the finished good and were combined to form the finished 
good in Haiti. Minor attachments and minor embellishments 
(for example, applique
´s, beads, spangles, embroidery, and but-
tons) not appreciably affecting the identity of the good, and 
minor subassemblies (for example, collars, cuffs, plackets, and 
pockets), shall not affect the determination of whether a good 
is ‘wholly assembled’ in Haiti.’’. 
(g) TERMINATION.—Section 213A of the Caribbean Basin Eco-
nomic Recovery Act (19 U.S.C. 2703a) is amended by adding at 
the end the following new subsection: 
‘‘(g) TERMINATION.—Except as provided in subsection (b)(1), 
the duty-free treatment provided under this section shall remain 
in effect until September 30, 2018.’’. 
(h) CONFORMING AMENDMENTS.—Subsection (e)(1) of section 
213A of the Caribbean Basin Economic Recovery Act (19 U.S.C. 
2703a(e)(1)) is amended by striking ‘‘the Bureau of Customs and 
Border Protection’’ each place it appears and inserting ‘‘U.S. Cus-
toms and Border Protection’’. 
SEC. 
15403. 
LABOR 
OMBUDSMAN 
AND 
TECHNICAL 
ASSISTANCE 
IMPROVEMENT AND COMPLIANCE NEEDS ASSESSMENT 
AND REMEDIATION PROGRAM. 
Section 213A of the Caribbean Basin Economic Recovery Act 
(19 U.S.C. 2703a), as amended by section 15402 of this Act, is 
amended— 
(1) in subsection (a)— 
(A) by redesignating paragraph (5) as paragraph (8): 
(B) by redesignating paragraphs (2) through (4) as 
paragraphs (4) through (6), respectively; 
(C) by inserting after paragraph (1) the following new 
paragraphs: 
‘‘(2) APPROPRIATE CONGRESSIONAL COMMITTEES.—. The term 
‘‘appropriate congressional committees’’ means the Committee 
on Finance of the Senate and the Committee on Ways and 
Means of the House of Representatives. 
‘‘(3) CORE LABOR STANDARDS.—The term ‘‘core labor stand-
ards’’ means— 
‘‘(A) freedom of association; 
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122 STAT. 1540 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(B) the effective recognition of the right to bargain 
collectively; 
‘‘(C) the elimination of all forms of compulsory or forced 
labor; 
‘‘(D) the effective abolition of child labor and a prohibi-
tion on the worst forms of child labor; and 
‘‘(E) the elimination of discrimination in respect of 
employment and occupation.’’; and 
(D) by inserting after paragraph (6) (as redesignated) 
the following new paragraph: 
‘‘(7) TAICNAR PROGRAM.—The term ‘TAICNAR Program’ 
means the Technical Assistance Improvement and Compliance 
Needs Assessment and Remediation Program established 
pursuant to subsection (e).’’; 
(2) by redesignating subsections (e), (f), and (g) as sub-
sections (f), (g), and (h), respectively; and 
(3) by inserting after subsection (d) the following new sub-
section: 
‘‘(e) TECHNICAL ASSISTANCE IMPROVEMENT
AND COMPLIANCE 
NEEDS ASSESSMENT AND REMEDIATION PROGRAM.— 
‘‘(1) CONTINUED ELIGIBILITY FOR PREFERENCES.— 
‘‘(A) PRESIDENTIAL CERTIFICATION OF COMPLIANCE BY 
HAITI
WITH
REQUIREMENTS.—Upon the expiration of the 
16-month period beginning on the date of the enactment 
of the Haitian Hemispheric Opportunity through Partner-
ship Encouragement Act of 2008, Haiti shall continue to 
be eligible for the preferential treatment provided under 
subsection (b) only if the President determines and certifies 
to the Congress that— 
‘‘(i) Haiti has implemented the requirements set 
forth in paragraphs (2) and (3); and 
‘‘(ii) Haiti has agreed to require producers of arti-
cles for which duty-free treatment may be requested 
under subsection (b) to participate in the TAICNAR 
Program described in paragraph (3) and has developed 
a system to ensure participation in such program by 
such 
producers, 
including 
by 
developing 
and 
maintaining the registry described in paragraph 
(2)(B)(i). 
‘‘(B) EXTENSION.—The President may extend the period 
for compliance by Haiti under subparagraph (A) if the 
President— 
‘‘(i) determines that Haiti has made a good faith 
effort toward such compliance and has agreed to take 
additional steps to come into full compliance that are 
satisfactory to the President; and 
‘‘(ii) provides to the appropriate congressional 
committees, not later than 6 months after the last 
day of the 16-month period specified in subparagraph 
(A), and every 6 months thereafter, a report identifying 
the steps that Haiti has agreed to take to come into 
full compliance and the progress made over the pre-
ceding 6-month period in implementing such steps. 
‘‘(C) CONTINUING COMPLIANCE.— 
‘‘(i) TERMINATION OF PREFERENTIAL TREATMENT.— 
If, after making a certification under subparagraph 
(A), the President determines that Haiti is no longer 
Deadlines. 
Reports. 
Effective date. 
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122 STAT. 1541 
PUBLIC LAW 110–234—MAY 22, 2008 
meeting the requirements set forth in subparagraph 
(A), the President shall terminate the preferential 
treatment provided under subsection (b), unless the 
President determines, after consulting with the appro-
priate congressional committees, that meeting such 
requirements is not practicable because of extraor-
dinary circumstances existing in Haiti when the deter-
mination is made. 
‘‘(ii) SUBSEQUENT COMPLIANCE.—If the President, 
after terminating preferential treatment under clause 
(i), determines that Haiti is meeting the requirements 
set forth in subparagraph (A), the President shall 
reinstate the application of preferential treatment 
under subsection (b). 
‘‘(2) LABOR OMBUDSMAN.— 
‘‘(A) IN GENERAL.—The requirement under this para-
graph is that Haiti has established an independent Labor 
Ombudsman’s Office within the national government that— 
‘‘(i) reports directly to the President of Haiti; 
‘‘(ii) is headed by a Labor Ombudsman chosen 
by the President of Haiti, in consultation with Haitian 
labor unions and industry associations; and 
‘‘(iii) is vested with the authority to perform the 
functions described in subparagraph (B). 
‘‘(B) FUNCTIONS.—The functions of the Labor Ombuds-
man’s Office shall include— 
‘‘(i) developing and maintaining a registry of pro-
ducers of articles for which duty-free treatment may 
be requested under subsection (b), and developing, in 
consultation and coordination with any other appro-
priate officials of the Government of Haiti, a system 
to ensure participation by such producers in the 
TAICNAR Program described in paragraph (3); 
‘‘(ii) 
overseeing 
the 
implementation 
of 
the 
TAICNAR Program described in paragraph (3); 
‘‘(iii) receiving and investigating comments from 
any interested party regarding the conditions described 
in paragraph (3)(B) in facilities of producers listed 
in the registry described in clause (i) and, where appro-
priate, referring such comments or the result of such 
investigations to the appropriate Haitian authorities, 
or to the entity operating the TAICNAR Program 
described in paragraph (3); 
‘‘(iv) assisting, in consultation and coordination 
with any other appropriate Haitian authorities, pro-
ducers listed in the registry described in clause (i) 
in meeting the conditions set forth in paragraph (3)(B); 
and 
‘‘(v) coordinating, with the assistance of the entity 
operating the TAICNAR Program described in para-
graph (3), a tripartite committee comprised of appro-
priate 
representatives 
of 
government 
agencies, 
employers, and workers, as well as other relevant 
interested parties, for the purposes of evaluating 
progress in implementing the TAICNAR Program 
described 
in 
paragraph 
(3), 
and 
consulting 
on 
improving core labor standards and working conditions 
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122 STAT. 1542 
PUBLIC LAW 110–234—MAY 22, 2008 
in the textile and apparel sector in Haiti, and on other 
matters of common concern relating to such core labor 
standards and working conditions. 
‘‘(3) TECHNICAL ASSISTANCE IMPROVEMENT AND COMPLIANCE 
NEEDS ASSESSMENT AND REMEDIATION PROGRAM.— 
‘‘(A) IN GENERAL.—The requirement under this para-
graph is that Haiti, in cooperation with the International 
Labor Organization, has established a Technical Assistance 
Improvement and Compliance Needs Assessment and 
Remediation Program meeting the requirements under 
subparagraph (C)— 
‘‘(i) to assess compliance by producers listed in 
the registry described in paragraph (2)(B)(i) with the 
conditions set forth in subparagraph (B) and to assist 
such producers in meeting such conditions; and 
‘‘(ii) to provide assistance to improve the capacity 
of the Government of Haiti— 
‘‘(I) to inspect facilities of producers listed in 
the registry described in paragraph (2)(B)(i); and 
‘‘(II) to enforce national labor laws and resolve 
labor 
disputes, 
including 
through 
measures 
described in subparagraph (E). 
‘‘(B) CONDITIONS DESCRIBED.—The conditions referred 
to in subparagraph (A) are— 
‘‘(i) compliance with core labor standards; and 
‘‘(ii) compliance with the labor laws of Haiti that 
relate directly to core labor standards and to ensuring 
acceptable conditions of work with respect to minimum 
wages, hours of work, and occupational health and 
safety. 
‘‘(C) 
REQUIREMENTS.—The 
requirements 
for 
the 
TAICNAR Program are that the program— 
‘‘(i) be operated by the International Labor 
Organization (or any subdivision, instrumentality, or 
designee thereof), which prepares the biannual reports 
described in subparagraph (D); 
‘‘(ii) be developed through a participatory process 
that includes the Labor Ombudsman described in para-
graph (2) and appropriate representatives of govern-
ment agencies, employers, and workers; 
‘‘(iii) assess compliance by each producer listed 
in the registry described in paragraph (2)(B)(i) with 
the conditions set forth in subparagraph (B) and iden-
tify any deficiencies by such producer with respect 
to meeting such conditions, including by— 
‘‘(I) conducting unannounced site visits to 
manufacturing facilities of the producer; 
‘‘(II) conducting confidential interviews sepa-
rately with workers and management of the facili-
ties of the producer; 
‘‘(III) providing to management and workers, 
and where applicable, worker organizations in the 
facilities of the producer, on a confidential basis— 
‘‘(aa) the results of the assessment carried 
out under this clause; and 
‘‘(bb) specific suggestions for remediating 
any such deficiencies; 
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122 STAT. 1543 
PUBLIC LAW 110–234—MAY 22, 2008 
‘‘(iv) assist the producer in remediating any defi-
ciencies identified under clause (iii); 
‘‘(v) conduct prompt follow-up site visits to the 
facilities of the producer to assess progress on remedi-
ation of any deficiencies identified under clause (iii); 
and 
‘‘(vi) provide training to workers and management 
of the producer, and where appropriate, to other per-
sons or entities, to promote compliance with subpara-
graph (B). 
‘‘(D) BIANNUAL REPORT.—The biannual reports referred 
to in subparagraph (C)(i) are a report, by the entity oper-
ating the TAICNAR Program, that is published (and avail-
able to the public in a readily accessible manner) on a 
biannual basis, beginning 6 months after Haiti implements 
the TAICNAR Program under this paragraph, covering 
the preceding 6-month period, and that includes the fol-
lowing: 
‘‘(i) The name of each producer listed in the reg-
istry described in paragraph (2)(B)(i) that has been 
identified as having met the conditions under subpara-
graph (B). 
‘‘(ii) The name of each producer listed in the reg-
istry described in paragraph (2)(B)(i) that has been 
identified as having deficiencies with respect to the 
conditions under subparagraph (B), and has failed to 
remedy such deficiencies. 
‘‘(iii) For each producer listed under clause (ii)— 
‘‘(I) a description of the deficiencies found to 
exist and the specific suggestions for remediating 
such deficiencies made by the entity operating the 
TAICNAR Program; 
‘‘(II) a description of the efforts by the producer 
to remediate the deficiencies, including a descrip-
tion of assistance provided by any entity to assist 
in such remediation; and 
‘‘(III) with respect to deficiencies that have 
not been remediated, the amount of time that has 
elapsed since the deficiencies were first identified 
in a report under this subparagraph. 
‘‘(iv) For each producer identified as having defi-
ciencies with respect to the conditions described under 
subparagraph (B) in a prior report under this subpara-
graph, a description of the progress made in remedi-
ating such deficiencies since the submission of the 
prior report, and an assessment of whether any aspect 
of such deficiencies persists. 
‘‘(E) CAPACITY
BUILDING.—The assistance to the 
Government of Haiti referred to in subparagraph (A)(ii) 
shall include programs— 
‘‘(i) to review the labor laws and regulations of 
Haiti and to develop and implement strategies for 
bringing the laws and regulations into conformity with 
core labor standards; 
‘‘(ii) to develop additional strategies for facilitating 
protection of core labor standards and providing accept-
able conditions of work with respect to minimum 
Public 
information. 
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122 STAT. 1544 
PUBLIC LAW 110–234—MAY 22, 2008 
wages, hours of work, and occupational safety and 
health, including through legal, regulatory, and institu-
tional reform; 
‘‘(iii) to increase awareness of worker rights, 
including under core labor standards and national 
labor laws; 
‘‘(iv) to promote consultation and cooperation 
between 
government 
representatives, 
employers, 
worker representatives, and United States importers 
on matters relating to core labor standards and 
national labor laws; 
‘‘(v) to assist the Labor Ombudsman appointed 
pursuant to paragraph (2) in establishing and coordi-
nating operation of the committee described in para-
graph (2)(B)(v); 
‘‘(vi) to assist worker representatives in more fully 
and effectively advocating on behalf of their members; 
and 
‘‘(vii) to provide on-the-job training and technical 
assistance to labor inspectors, judicial officers, and 
other relevant personnel to build their capacity to 
enforce national labor laws and resolve labor disputes. 
‘‘(4) COMPLIANCE WITH ELIGIBILITY CRITERIA.— 
‘‘(A) COUNTRY COMPLIANCE WITH WORKER RIGHTS ELIGI-
BILITY CRITERIA.—In making a determination of whether 
Haiti is meeting the requirement set forth in subsection 
(d)(1)(A)(vi) relating to internationally recognized worker 
rights, the President shall consider the reports produced 
under paragraph (3)(D). 
‘‘(B) PRODUCER ELIGIBILITY.— 
‘‘(i) IDENTIFICATION OF PRODUCERS.—Beginning in 
the second calendar year after the President makes 
the certification under paragraph (1)(A), the President 
shall identify on a biennial basis whether a producer 
listed in the registry described in paragraph (2)(B)(i) 
has failed to comply with core labor standards and 
with the labor laws of Haiti that directly relate to 
and are consistent with core labor standards. 
‘‘(ii) ASSISTANCE TO PRODUCERS; WITHDRAWAL, ETC., 
OF PREFERENTIAL TREATMENT.—For each producer that 
the President identifies under clause (i), the President 
shall seek to assist such producer in coming into 
compliance with core labor standards and with the 
labor laws of Haiti that directly relate to and are 
consistent with core labor standards. If such efforts 
fail, the President shall withdraw, suspend, or limit 
the application of preferential treatment under sub-
section (b) to articles of such producer. 
‘‘(iii) REINSTATING PREFERENTIAL TREATMENT.—If 
the President, after withdrawing, suspending, or lim-
iting the application of preferential treatment under 
clause (ii) to articles of a producer, determines that 
such producer is complying with core labor standards 
and with the labor laws of Haiti that directly relate 
to and are consistent with core labor standards, the 
President shall reinstate the application of preferential 
President. 
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122 STAT. 1545 
PUBLIC LAW 110–234—MAY 22, 2008 
treatment under subsection (b) to the articles of the 
producer. 
‘‘(iv) CONSIDERATION OF REPORTS.—In making the 
identification under clause (i) and the determination 
under clause (iii), the President shall consider the 
reports made available under paragraph (3)(D). 
‘‘(5) REPORTS BY THE PRESIDENT.— 
‘‘(A) IN GENERAL.—Not later than one year after the 
date of the enactment of the Haitian Hemispheric Oppor-
tunity through Partnership Encouragement Act of 2008, 
and annually thereafter, the President shall transmit to 
the appropriate congressional committees a report on the 
implementation of this subsection during the preceding 
1-year period. 
‘‘(B) MATTERS TO BE INCLUDED.—Each report required 
by subparagraph (A) shall include the following: 
‘‘(i) An explanation of the efforts of Haiti, the Presi-
dent, and the International Labor Organization to 
carry out this subsection. 
‘‘(ii) A summary of each report produced under 
paragraph (3)(D) during the preceding 1-year period 
and a summary of the findings contained in such 
report. 
‘‘(iii) 
Identifications 
made 
under 
paragraph 
(4)(B)(i) and determinations made under paragraph 
(4)(B)(iii). 
‘‘(6) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out this subsection the sum 
of $10,000,000 for the period beginning on October 1, 2008, 
and ending on September 30, 2013.’’. 
SEC. 15404. PETITION PROCESS. 
Section 213A(d) of the Caribbean Basin Economic Recovery 
Act (19 U.S.C. 2703A(d)) is amended by adding at the end the 
following new paragraph: 
‘‘(4) PETITION PROCESS.—Any interested party may file a 
request to have the status of Haiti reviewed with respect to 
the eligibility requirements listed in paragraph (1), and the 
President shall provide for this purpose the same procedures 
as those that are provided for reviewing the status of eligible 
beneficiary developing countries with respect to the designation 
criteria listed in subsections (b) and (c) of section 502 of the 
Trade Act of 1974 (19 U.S.C. 2642 (b) and (c)).’’. 
SEC. 15405. CONDITIONS REGARDING ENFORCEMENT OF CIRCUMVEN-
TION. 
Section 213A(f) of the Caribbean Basin Economic Recovery 
Act, as redesignated by section 15403(2) of this Act, is amended 
by adding at the end the following new paragraph: 
‘‘(3) LIMITATION ON GOODS SHIPPED FROM THE DOMINICAN 
REPUBLIC.— 
‘‘(A) LIMITATION.—Notwithstanding subsection (a)(5), 
relating to the definition of ‘imported directly from Haiti 
or the Dominican Republic’, articles described in subsection 
(b) that are shipped from the Dominican Republic, directly 
or through the territory of an intermediate country, 
whether or not such articles undergo processing in the 
Dominican Republic, shall not be considered to be ‘imported 
President. 
Certification. 
President. 
Time period. 
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122 STAT. 1546 
PUBLIC LAW 110–234—MAY 22, 2008 
directly from Haiti or the Dominican Republic’ until the 
President certifies to the Congress that Haiti and the 
Dominican Republic have developed procedures to prevent 
unlawful transshipment of the articles and the use of 
counterfeit documents related to the importation of the 
articles into the United States. 
‘‘(B) TECHNICAL AND OTHER ASSISTANCE.—The Commis-
sioner responsible for U.S. Customs and Border Protection 
shall provide technical and other assistance to Haiti and 
the Dominican Republic to develop expeditiously the proce-
dures described in subparagraph (A).’’. 
SEC. 15406. PRESIDENTIAL PROCLAMATION AUTHORITY. 
The President may exercise the authority under section 604 
of the Trade Act of 1974 to proclaim such modifications to the 
Harmonized Tariff Schedule of the United States as may be nec-
essary to carry out this part and the amendments made by this 
part. 
SEC. 15407. REGULATIONS AND PROCEDURES. 
The President shall issue such regulations as may be necessary 
to carry out the amendments made by sections 15402, 15403, and 
15404. Regulations to carry out the amendments made by section 
15402 shall be issued not later than September 30, 2008. The 
Secretary of Commerce shall issue such procedures as may be 
necessary to carry out the amendment made by section 15402(d) 
not later than September 30, 2008. 
SEC. 15408. EXTENSION OF CBTPA. 
Section 213(b) of the Caribbean Basin Economic Recovery Act 
(19 U.S.C. 2703(b)) is amended— 
(1) in paragraph (2)(A)— 
(A) in clause (iii)— 
(i) in subclause (II)(cc), by striking ‘‘2008’’ and 
inserting ‘‘2010’’; and 
(ii) in subclause (IV)(dd), by striking ‘‘2008’’ and 
inserting ‘‘2010’’; and 
(B) in clause (iv)(II), by striking ‘‘6’’ and inserting 
‘‘8’’; and 
(2) in paragraph (5)(D)— 
(A) in clause (i), by striking ‘‘2008’’ and inserting 
‘‘2010’’; and 
(B) in clause (ii), by striking ‘‘108(b)(5)’’ and inserting 
‘‘section 108(b)(5)’’. 
SEC. 15409. SENSE OF CONGRESS ON INTERPRETATION OF TEXTILE 
AND APPAREL PROVISIONS FOR HAITI. 
It is the sense of the Congress that the executive branch, 
particularly the Committee for the Implementation of Textile Agree-
ments (CITA), U.S. Customs and Border Protection of the Depart-
ment of Homeland Security, and the Department of Commerce, 
should interpret, implement, and enforce the provisions of section 
213A(b) of the Caribbean Basin Economic Recovery Act, as amended 
by section 15402 of this Act, relating to preferential treatment 
of textile and apparel articles, broadly in order to expand trade 
by maximizing opportunities for imports of articles eligible for pref-
erential treatment under such section 213A(b). 
President. 
Deadlines. 
19 USC 2703a 
note. 
19 USC 2703a 
note. 
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122 STAT. 1547 
PUBLIC LAW 110–234—MAY 22, 2008 
SEC. 15410. SENSE OF CONGRESS ON TRADE MISSION TO HAITI. 
It is the sense of the Congress that the Secretary of Commerce, 
in coordination with the United States Trade Representative, the 
Secretary of State, and the Commissioner responsible for U.S. Cus-
toms and Border Protection of the Department of Homeland Secu-
rity, should lead a trade mission to Haiti, within 6 months after 
the date of the enactment of this Act, to promote trade between 
the United States and Haiti, to promote new economic opportunities 
afforded under the amendments made by section 15402 of this 
Act, and to help educate United States and Haitian business con-
cerns about such opportunities. 
SEC. 15411. SENSE OF CONGRESS ON VISA SYSTEMS. 
It is the sense of the Congress that Haiti, and other countries 
that receive preferences under trade preference programs of the 
United States that require effective visa systems to prevent trans-
shipment, should ensure that monetary compensation for such visas 
is not required beyond the costs of processing the visa, including 
ensuring that such monetary compensation does not violate an 
applicable system to combat corruption and bribery. 
SEC. 15412. EFFECTIVE DATE. 
(a) IN GENERAL.—Except as provided in subsection (b), this 
part and the amendments made by this part shall take effect 
on the date of the enactment of this Act. 
(b) EXCEPTION.—The amendments made by section 15402 shall 
take effect on October 1, 2008, and shall apply to articles entered, 
or withdrawn from warehouse for consumption, on or after that 
date. 
PART II—MISCELLANEOUS TRADE 
PROVISIONS 
SEC. 15421. UNUSED MERCHANDISE DRAWBACK. 
(a) IN GENERAL.—Section 313(j)(2) of the Tariff Act of 1930 
(19 U.S.C. 1313(j)(2)) is amended by adding at the end the following: 
‘‘For purposes of subparagraph (A) of this paragraph, wine of the 
same color having a price variation not to exceed 50 percent between 
the imported wine and the exported wine shall be deemed to be 
commercially interchangeable.’’. 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
shall apply with respect to claims filed for drawback under section 
313(j)(2) of the Tariff Act of 1930 on or after the date of the 
enactment of this Act. 
SEC. 15422. REQUIREMENTS RELATING TO DETERMINATION OF TRANS-
ACTION VALUE OF IMPORTED MERCHANDISE. 
(a) REQUIREMENT ON IMPORTERS.— 
(1) IN GENERAL.—Pursuant to sections 484 and 485 of the 
Tariff Act of 1930 (19 U.S.C. 1484 and 1485), the Commissioner 
responsible for U.S. Customs and Border Protection shall 
require each importer of merchandise to provide to U.S. Cus-
toms and Border Protection at the time of entry of the merchan-
dise the information described in paragraph (2). 
(2) INFORMATION REQUIRED.—The information referred to 
in paragraph (1) is a declaration as to whether the transaction 
value of the imported merchandise is determined on the basis 
19 USC 1484 
note. 
19 USC 1313 
note. 
19 USC 2703a 
note. 
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122 STAT. 1548 
PUBLIC LAW 110–234—MAY 22, 2008 
of the price paid by the buyer in the first or earlier sale 
occurring prior to introduction of the merchandise into the 
United States. 
(3) EFFECTIVE DATE.—The requirement to provide informa-
tion under this subsection shall be effective for the 1-year 
period beginning 90 days after the date of the enactment of 
this Act. 
(b) REPORT TO INTERNATIONAL TRADE COMMISSION.— 
(1) IN GENERAL.—The Commissioner responsible for U.S. 
Customs and Border Protection shall submit to the United 
States International Trade Commission on a monthly basis 
for the 1-year period specified in subsection (a)(3) a report 
on the information provided by importers under subsection 
(a)(2) during the preceding month. The report required under 
this paragraph shall be submitted in a form agreed upon 
between U.S. Customs and Border Protection and the United 
States International Trade Commission. 
(2) MATTERS TO BE INCLUDED.—The report required under 
paragraph (1) shall include— 
(A) the number of importers that declare the trans-
action value of the imported merchandise is determined 
on the basis of the method described in subsection (a)(2); 
(B) the tariff classification of such imported merchan-
dise under the Harmonized Tariff Schedule of the United 
States; and 
(C) the transaction value of such imported merchan-
dise. 
(c) REPORT TO CONGRESS.— 
(1) IN GENERAL.—Not later than 90 days after the submis-
sion of the final report under subsection (b), the United States 
International Trade Commission shall submit to the appro-
priate congressional committees a report on the information 
contained in all reports submitted under subsection (b). 
(2) MATTERS TO BE INCLUDED.—The report required under 
paragraph (1) shall include— 
(A) the aggregate number of importers that declare 
the transaction value of the imported merchandise is deter-
mined on the basis of the method described in subsection 
(a)(2), including a description of the frequency of the use 
of such method; 
(B) the tariff classification of such imported merchan-
dise under the Harmonized Tariff Schedule of the United 
States on an aggregate basis, including an analysis of 
the tariff classification of such imported merchandise on 
a sectoral basis; 
(C) the aggregate transaction value of such imported 
merchandise, including an analysis of the transaction value 
of such imported merchandise on a sectoral basis; and 
(D) the aggregate transaction value of all merchandise 
imported into the United States during the 1-year period 
specified in subsection (a)(3). 
(d) SENSE OF CONGRESS REGARDING PROHIBITION ON PROPOSED 
INTERPRETATION OF THE TERM ‘‘SOLD FOR EXPORTATION TO THE 
UNITED STATES’’.— 
(1) IN
GENERAL.—It is the sense of Congress that the 
Commissioner responsible for U.S. Customs and Border Protec-
tion should not implement a change to U.S. Customs and Border 
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122 STAT. 1549 
PUBLIC LAW 110–234—MAY 22, 2008 
Protection’s interpretation (as such interpretation is in effect 
on the date of the enactment of this Act) of the term ‘‘sold 
for exportation to the United States’’, as described in section 
402(b) of the Tariff Act of 1930 (19 U.S.C. 1401a(b)), for pur-
poses of applying the transaction value of the imported mer-
chandise in a series of sales, before January 1, 2011. 
(2) EXCEPTION.—It is the sense of Congress that beginning 
on January 1, 2011, the Commissioner responsible for U.S. 
Customs and Border Protection may propose to change or 
change U.S. Customs and Border Protection’s interpretation 
of the term ‘‘sold for exportation to the United States’’, as 
described in paragraph (1), only if U.S. Customs and Border 
Protection— 
(A) consults with, and provides notice to, the appro-
priate congressional committees— 
(i) not less than 180 days prior to proposing a 
change; and 
(ii) not less than 90 days prior to publishing a 
change; 
(B) consults with, provides notice to, and takes into 
consideration views expressed by, the Commercial Oper-
ations Advisory Committee— 
(i) not less than 120 days prior to proposing a 
change; and 
(ii) not less than 60 days prior to publishing a 
change; and 
(C) receives the explicit approval of the Secretary of 
the Treasury prior to publishing a change. 
(3) CONSIDERATION OF INTERNATIONAL TRADE COMMISSION 
REPORT.—It is the sense of Congress that prior to publishing 
a change to U.S. Customs and Border Protection’s interpreta-
tion (as such interpretation is in effect on the date of the 
enactment of this Act) of the term ‘‘sold for exportation to 
the United States’’, as described in section 402(b) of the Tariff 
Act of 1930 (19 U.S.C. 1401a(b)), for purposes of applying 
the transaction value of the imported merchandise in a series 
of sales, the Commissioner responsible for U.S. Customs and 
Border Protection should take into consideration the matters 
included in the report prepared by the United States Inter-
national Trade Commission under subsection (c). 
(e) DEFINITIONS.—In this section: 
(1) APPROPRIATE CONGRESSIONAL COMMITTEES.—The term 
‘‘appropriate congressional committees’’ means the Committee 
on Ways and Means of the House of Representatives and the 
Committee on Finance of the Senate. 
(2) COMMERCIAL OPERATIONS ADVISORY COMMITTEE.—The 
term ‘‘Commercial Operations Advisory Committee’’ means the 
Advisory Committee established pursuant to section 9503(c) 
of the Omnibus Budget Reconciliation Act of 1987 (19 U.S.C. 
2071 note) or any successor committee. 
(3) IMPORTER.—The term ‘‘importer’’ means one of the par-
ties qualifying as an ‘‘importer of record’’ under section 
484(a)(2)(B) in the Tariff Act of 1930 (19 U.S.C. 1484(a)(2)(B)). 
Notice. 
Deadlines. 
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122 STAT. 1550 
PUBLIC LAW 110–234—MAY 22, 2008 
(4) TRANSACTION VALUE OF THE IMPORTED MERCHANDISE.—The 
term ‘‘transaction value of the imported merchandise’’ has the 
meaning described in section 402(b) of the Tariff Act of 1930 
(19 U.S.C. 1401a(b)). 
Nancy Pelosi 
Speaker of the House of Representatives. 
Jon Tester 
Acting President of the Senate pro tempore. 
IN THE HOUSE OF REPRESENTATIVES, U.S. 
May 21, 2008. 
The House of Representatives having proceeded to reconsider the bill (H.R. 2419) 
entitled ‘‘An Act to provide for the continuation of agricultural programs through 
fiscal year 2012, and for other purposes’’, returned by the President of the United 
States with his objections, to the House of Representatives, in which it originated, 
it was 
Resolved, That the said bill pass, two-thirds of the House of Representatives 
agreeing to pass the same. 
Lorraine C. Miller 
Clerk. 
I certify that this Act originated in the House of Representatives. 
Lorraine C. Miller 
Clerk. 
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122 STAT. 1551 
PUBLIC LAW 110–234—MAY 22, 2008 
LEGISLATIVE HISTORY—H.R. 2419 (S. 2302): 
HOUSE REPORTS: Nos. 110–256, Pt. 1 (Comm. on Agriculture) and 110–627 
(Comm. of Conference). 
SENATE REPORTS: No. 110–220 accompanying S. 2302 (Comm. on Agriculture, 
Nutrition, and Forestry). 
CONGRESSIONAL RECORD: 
Vol. 153 (2007): July 26, 27, considered and passed House. 
Nov. 5, 6, 8, 13–16, Dec. 5, 7, 10–14, considered and passed 
Senate, amended. 
Vol. 154 (2008): May 14, House agreed to conference report. Senate considered 
conference report. 
May 15, Senate agreed to conference report. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 44 (2008): 
May 21, Presidential veto message. 
CONGRESSIONAL RECORD, Vol. 154 (2008): 
May 21, House overrode veto. 
May 22, Senate overrode veto. 
IN THE SENATE OF THE UNITED STATES, 
May 22, 2008. 
The Senate having proceeded to reconsider the bill (H.R. 2419) entitled ‘‘An Act 
to provide for the continuation of agricultural programs through fiscal year 2012, 
and for other purposes’’, returned by the President of the United States with his 
objections, to the House of Representatives, in which it originated, and passed by 
the House of Representatives on reconsideration of the same, it was 
Resolved, That the said bill pass, two-thirds of the Senators present having voted 
in the affirmative. 
Nancy Erickson 
Secretary. 
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