Agricultural Programs Adjustment Act of 1984
PL 98-258 (H.R.4072), enacted 04/10/1984

98 STAT. 130 
PUBLIC LAW 98-258—APR. 10, 1984 
Apr. 10, 1984 
[H.R. 4072] 
Agricultural 
Programs 
Adjustment 
Act of 1984. 
7 u s e 1421 note. 
Public Law 98-258 
98th Congress 
An Act 
To make adjustments in the commodity programs for wheat, feed grains, upland 
cotton, and rice, to provide agricultural credit assistance, and for other purposes. 
Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, That this Act may 
be cited as the "Agricultural Programs Adjustment Act of 1984 . 
TITLE I—WHEAT 
TARGET PRICES 
SEC. 101. Section 107B(b)(l)(C) of the Agricultural Act of 1949 (7 
U.S.C. 1445b-l(bXl)(C)) is amended by striking out "$4.45 per bu-^el 
for the 1984 crop, and $4.65 per bushel for the 1985 crop" a;.d 
inserting in lieu thereof "and $4.38 per bushel for the 1984 and lii85 
crops". 
Loans. 
ACREAGE LIMITATION AND PAID DIVERSION PROGRAM FOR WHEAT 
SEC. 102. Section 107B(e) of the Agricultural Act of 1949 (7 U.S.C. 
1445b-l(e)) is amended by— 
(1) striking out in the first sentence of paragraph (1)(A) 
"subparagraph (B)" and inserting in lieu thereof "subpara-
graphs (B), (C), and (D)"; 
(2) adding at the end of paragraph (1) the following new 
subparagraphs: 
"(C) Notwithstanding any previous announcement to the contrary, 
for the 1984 crop of wheat the Secretary shall provide for a combina-
tion of (i) an acreage limitation program as described under para-
graph (2) and (ii) a land diversion program as described under 
paragraph (5) under which the acreage planted to wheat for harvest 
on the farm would be limited to the acreage base for the farm 
reduced by not more than 30 per centum, consisting of a reduction of 
not more than 20 per centum under the acreage limitation program 
and a reduction of 10 per centum under the land diversion program, 
and (iii) a voluntary payment-in-kind land diversion program under 
which the acreage planted to wheat for harvest on the farm would 
be reduced by not less than 10 per centum nor more than 20 per 
centum of the acreage base for the farm, in addition to any reduc-
tion under the acreage limitation and land diversion programs 
provided for under clauses (i) and (ii), as determined by the Secre-
tary. Under the payment-in-kind land diversion program, compensa-
tion in kind for diverted acres shall be made available to producers 
by the Secretary under such terms and conditions as the Secretary 
shall prescribe and in such amounts as the Secretary determines 
appropriate to encourage adequate participation in such program, 
except that the rate of such compensation shall not be less than 85 
per centum of the farm program payment yield. As a condition of 
eligibility for loans, purchases, and payments on the 1984 crop of 
PUBLIC LAW 98-258—APR. 10, 1984 
STAT. 131 
wheat, the producers on a farm must comply with the terms and 
conditions of the combined acreage limitation program and land 
diversion program. 
"(D) For the 1985 crop of wheat the Secretary shall provide for a 
combination of (i) an acreage limitation program as described under 
paragraph (2) and (ii) a land diversion program as described under 
paragraph (5) under which the acreage planted to wheat for harvest 
on the farm would be limited to the acreage base for the farm 
reduced by not more than 30 per centum, consisting of a reduction of 
not more than 20 per centum under the acreage limitation program 
and a reduction of 10 per centum under the land diversion program. 
As a condition of eligibility for loans, purchases, and payments on 
the 1985 crop of wheat, the producers on a farm must comply with 
the terms and conditions of the combined acreage limitation pro-
gram and land diversion program."; 
(3) inserting "for the 1983 crop" immediately before the 
comma in the eighth sentence of paragraph (5); and 
(4) inserting immediately before the last sentence of para-
graph (5) the following: "Notwithstanding the foregoing provi-
sions of this paragraph, the Secretary shall implement a land 
diversion program for the 1984 and 1985 crops of wheat under 
which the Secretary shall make crop retirement and conserva-
tion payments to any producer of the 1984 and 1985 crops of 
wheat whose acreage planted to wheat for harvest on the farm 
for each such crop is reduced so that it does not exceed the 
wheat acreage base for the farm less an amount equivalent to 10 
per centum of the wheat acreage base in addition to the reduc-
tion required under paragraph (2), and who devotes to approved 
conservation uses an acreage of cropland equivalent to the 
reduction required from the wheat acreage base under this para-
graph. Such payments shall be made in an amount computed 
by multiplying (i) the diversion payment rate, by (ii) the farm 
program payment yield for the crop, by (iii) the additional 
acreage diverted under this paragraph. The diversion payment 
rate for the 1984 and 1985 crops of wheat shall be established by 
the Secretary at not less than $2.70 per bushel. The Secretary 
shall make not less than 50 per centum of any payments under 
this paragraph to producers of the 1984 and 1985 crops of wheat 
as soon as practicable after a producer enters into a land 
diversion contract with the Secretary for each such crop and in 
advance of any determination of performance.". 
Loans. 
Conservation. 
HAYING AND GRAZING DIVERTED WHEAT ACREAGE 
SEC. 103. Section 107B(e) of the Agricultural Act of 1949 (7 U.S.C. 
1445b-l(e)) is amended by adding at the end thereof the following 
new paragraph: 
"(8) Notwithstanding any other provision of this subsection, 
in carrying out acreage limitation, cash land diversion, and 
payment-in-kind land diversion programs for the 1984 crop of 
wheat, the Secretary shall permit, at the request of the State 
committee established under section 80t)) of the Soil Conserva-
tion and Domestic Allotment Act for a State and subject to such 
terms and conditions as the Secretary may prescribe that are in 
no event more restrictive than those in effect for producers who 
participated in the payment-in-kind land diversion program for 
that part of the 1983 crop of wheat planted before January 11, 
16 u s e 590h. 
98 STAT. 132 
PUBLIC LAW 98-258—APR. 10, 1984 
1983, all or any part of the acreage diverted from production 
under such programs by participating producers in such State 
to be devoted to hay and grazing.'. 
TITLE II—FEED GRAINS 
TARGET PRICES 
SEC. 201. Section IOSBODXIXC) of the Agricultural Act of 1949 (7 
U.S.C. 1444d(b)(l)(C)) is amended by striking out "$3.03 per bushel 
for the 1984 crop, and $3.18 per bushel for the 1985 crop" and 
inserting in lieu thereof "and $3.03 per bushel for the 1984 and 1985 
crops". 
Corn. 
Loans. 
Conservation. 
ACREAGE LIMITATION AND PAID DIVERSION PROGRAM FOR FEED GRAINS 
SEC. 202. Section 105B(e) of the Agricultural Act of 1949 (7 U.S.C. 
1444d(e)) is amended by— 
(1) striking out in the first sentence of paragraph (1)(A) 
"subparagraph (B)" and inserting in lieu thereof "subpara-
graphs (B) and (C)"; 
(2) adding at the end of paragraph (1) the following new 
subparagraph: 
"(C) For the 1985 crop of feed grains, if the Secretary estimates 
that the quantity of corn on hand in the United States on September 
30, 1985 (not including any quantity of corn produced in the United 
States during calendar year 1985), will exceed one billion one hun-
dred million bushels, the Secretary (i) shall provide for a land 
diversion program as described under paragraph (5) under which the 
acreage planted to feed grains for harvest on the farm would be 
limited to the acreage base for the farm reduced by a total of not less 
than 5 per centum and (ii) may provide for an acreage limitation 
program as described under paragraph (2). If the Secretary imple-
ments a combined acreage limitation program and land diversion 
program, the total reduction required by the Secretary in the acre-
age planted to feed grains for harvest on the farm shall not exceed 
20 per centum of the acreage base for the farm. Any reduction 
required by the Secretary in excess of 15 per centum of the acreage 
base for the farm shall be equally proportioned between an acreage 
limitation program and a land diversion program. As a condition of 
eligibility for loans, purchases, and payments on the 1985 crop of 
feed grains, if the Secretary implements a land diversion program or 
a combined acreage limitation and land diversion program, the 
producers on a farm must comply with the terms and conditions of 
such programs."; and 
(3) in paragraph (5)— 
(A) adding immediately after the sixth sentence the fol-
lowing new sentence: "Notwithstanding the foregoing pro-
visions of this paragraph, if the Secretary implements a 
land diversion program for the 1985 crop of feed grains 
under the provisions of paragraph (1)(C), the Secretary shall 
make crop retirement and conservation payments to any 
producer of the 1985 crop of feed grains whose acreage 
planted to feed grains for harvest on the farm is reduced so 
that it does not exceed the feed grain acreage base for the 
farm less an amount equivalent to the percentage of the 
acreage base specified by the Secretary, but not less than 5 
PUBLIC LAW 98-258—APR. 10, 1984 
98 STAT. 133 
per centum, in addition to the reduction required under 
paragraph (2), if any, and who devotes to approved conser-
vation uses an acreage of cropland equivalent to the 
reduction required from the feed grain acreage base under 
this paragraph."; 
(B) striking out "Such payments" in the eighth sentence 
(as redesignated under subparagraph (A) of this paragraph) 
and inserting in lieu thereof "Diversion payments made to 
producers under this paragraph"; 
(C) in the ninth sentence (as redesignated under subpara-
graph (A) of this paragraph)— 
(i) striking out "for corn" and inserting in lieu there-
of "for the 1983 crop of corn"; and 
(ii) inserting immediately before the period at the 
end thereof ", and at not less than $1.50 per bushel for 
the 1985 crop of corn"; and 
(D) striking out "1983 crop" in the eleventh sentence (as 
nsal 
redesignated under subparagraph (A) of this paragraph) 
and inserting in lieu thereof "1983 and 1985 crops". 
PRICE SUPPORT TO PRODUCERS WHO CUT CORN FOR SILAGE 
SEC. 203. Section 105B(a) of the Agricultural Act of 1949 (7 U.S.C. 
Loans. 
- a ; 
1444d(a)) is amended by adding at the end thereof the following new 
paragraph: 
"(3) The Secretary may make available loans and purchases, 
as provided in this subsection, to producers on a farm who cut 
for silage corn that they have produced of the 1984 and 1985 
crops and who participate in the program provided for by the 
Secretary under subsection (e). Such loans and purchases may 
be made on a quantity of corn of the same crop, other than the 
corn cut for silage, acquired by the producer equivalent to a 
quantity determined by multiplying the acreage of corn cut for 
silage by the lower of the farm program payment yield or the 
actual yield on a field, as determined by the Secretary, that is 
similar to the field from which such silage was obtained.". 
TITLE III—UPLAND COTTON 
TARGET PRICES 
SEC. 301. Section 103(g)(3)(B) of the Agricultural Act of 1949 (7 
U.S.C. 1444(g)(3)(B)) is amended by striking out "$0.81 per pound for 
the 1984 crop, and $0.86 per pound for the 1985 crop" and inserting 
in lieu thereof "and $0.81 per pound for the 1984 and 1985 crops . 
ACREAGE U M I T A T I O N A N D PAID DIVERSION PROGRAM FOR UPLAND 
COTTON 
SEC. 302. Section 103(g)(9) of the Agricultural Act of 1949 (7 U.S.C. 
1444(g)(9)) is amended by— 
(1) in the first sentence of subparagraph (A), inserting "except 
as provided in the second and third sentences of this subpara-
graph," immediately after the first comma; 
(2) inserting immediately after the first sentence of subpara-
graph (A) the following new sentences: "For the 1985 crop of 
upland cotton, if the Secretary estimates that the quantity of 
98 STAT. 134 
PUBLIC LAW 98-258—APR. 10, 1984 
Loans. 
Conservation. 
Contracts with 
U.S. 
Compliance, 
failure. 
upland cotton on hand in the United States on July 31,1985 (not 
including any quantity of upland cotton produced in the United 
States during calendar year 1985), will exceed three million 
seven hundred thousand bales, the Secretary (i) shall provide 
for a land division program as described under subparagraph (B) 
under which the acreage planted to upland cotton for harvest 
on the farm would be limited to the acreage base for the farm 
reduced by not less than 5 per centum and (ii) may provide for 
an acreage limitation program as described under this subpara-
graph under which the acreage planted to upland cotton for 
harvest on the farm would be limited to the acreage base for the 
farm reduced by not more than 20 per centum in addition to the 
reduction required under clause (i). If the Secretary implements 
a combined acreage limitation program and land division pro-
gram, any reduction required by the Secretary in excess of 25 
per centum of the acreage base for the farm shall be made 
under the land diversion program. As a condition of eligibility 
for loans, purchases, and payments on the 1985 crop of upland 
cotton, if the Secretary implements a land diversion program or 
a combined acreage limitation and land diversion program, the 
producers on a farm must comply with the terms and conditions 
of such program."; and 
(3) adding at the end of subparagraph (B) the following new 
sentences: "Notwithstanding the foregoing provisions of this 
subparagraph, if the Secretary implements a land diversion 
program for the 1985 crop of upland cotton under the provisions 
of subparagraph (A), the Secretary shall make crop retirement 
and conservation payments to any producer of the 1985 crop of 
upland cotton whose acreage planted to upland cotton for har-
vest on the farm is reduced so that it does not exceed the upland 
cotton acreage base for the farm less an amount equivalent to 
the percentage of the acreage base specified by the Secretary, 
but not less than 5 per centum, in addition to the reduction 
required under the acreage limitation program under subpara-
graph (A), if any, and who devotes to approved conservation 
uses an acreage of cropland equivalent to the reduction required 
from the upland cotton acreage base under this subparagraph. 
Such payments shall be made in an amount computed by 
multiplying (i) the diversion payment rate, by (ii) the farm 
program payment yield for the crop, by (iii) the acreage diverted 
under this subparagraph. The diversion payment rate shall be 
established by the Secretary at not less than $0,275 per pound: 
Provided, That if the Secretary estimates that the quantity of 
upland cotton on hand in the United States on July 31,1985 (not 
including any quantity of upland cotton produced in the United 
States during calendar year 1985), will exceed (I) four million 
one hundred thousand bales, such rate shall be established by 
the Secretary at not less than $0.30 per pound, and (II) four 
million seven hundred thousand bales such rate shall be estab-
lished by the Secretary at not less than $0.35 per pound. The 
Secretary shall make not less than 50 per centum of any 
payments under this subparagraph to producers of the 1985 
crop as soon as practicable after a producer enters into a land 
diversion contract with the Secretary and in advance of any 
determination of performance. If a producer fails to comply 
with a land diversion contract after obtaining an advance pay-
ment under this subparagraph, the producer shall repay the 
PUBLIC LAW 98-258—APR. 10, 1984 
98 STAT. 135 
advance immediately and, in accordance with regulations issued 
by the Secretary, pay interest on the advance.". 
TITLE IV—RICE 
TARGET PRICES 
SEC. 401. Section 101(i)(2)(C) of the Agricultural Act of 1949 (7 
U.S.C. 1441(i)(2)(C)) is amended by striking out "$11.90 per hundred-
weight for the 1984 crop, and $12.40 per hundredweight for the 1985 
crop" and inserting in lieu thereof "and $11.90 per hundredweight 
for the 1984 and 1985 crops". 
ACREAGE LIMITATION AND PAID DIVERSION PROGRAM FOR RICE 
SEC. 402. Section 101(i)(5) of the Agricultural Act of 1949 (7 U.S.C. 
1441(i)(5)) is amended by— 
(1) striking out in the first sentence of subparagraph (A) 
"third and fourth" and inserting in lieu thereof "third, fourth, 
and fifth"; 
(2) inserting immediately after the third sentence of subpara-
graph (A) the following new sentence: "For the 1985 crop of rice, 
if the Secretary estimates that the quantity of rice on hand in 
the United States on July 31, 1985 (not including any quantity 
of rice produced in the United States during calendar year 
1985), will exceed twenty-five million hundredweight, the Secre-
tary shall provide for a combination of an acreage limitation 
program as described under this subparagraph and a land 
diversion program as described under subparagraph (B) under 
which the acreage planted to rice for harvest on the farm would 
be limited to the acreage base for the farm reduced by a total of 
not less than 25 per centum, consisting of a reduction of 20 per 
centum under the acreage limitation program and a reduction 
under the land diversion program equal to the difference be-
tween the total reduction for the farm and the 20 per centum 
reduction under the acreage limitation program."; 
(3) striking out "1983 crop" in the fifth sentence of subpara-
graph (A) (as redesignated under paragraph (2) of this section) 
and inserting in lieu thereof "1983 and 1985 crops"; 
(4) inserting immediately after the sixth sentence of subpara- 
Conservation. 
graph (B) the following new sentence: "Notwithstanding the 
foregoing provisions of this subparagraph, if the Secretary im-
plements a land diversion program for the 1985 crop of rice 
under the provisions of subparagraph (A), the Secretary shall 
make crop retirement and conservation payments to any pro-
ducer of the 1985 crop of rice whose acreage planted to rice for 
harvest on the farm is reduced so that it does not exceed the 
rice acreage base for the farm less an amount equivalent to the 
percentage of the acreage base specified by the Secretary, but 
not less than 5 per centum, in addition to the reduction required 
under the acreage limitation program under subparagraph (A), 
and who devotes to approved conservation uses an acreage of 
cropland equivalent to the reduction required from the rice 
acreage base under this subparagraph."; 
(5) striking out "Such payments" in the eighth sentence of 
subparagraph (B) (as redesignated under paragraph (4) of this 
98 STAT. 136 
PUBLIC LAW 98-258—APR. 10, 1984 
section) and inserting in lieu thereof "Diversion payments made 
to producers under this subparagraph"; 
(6) in the ninth sentence of subparagraph (B) (as redesignated 
under paragraph (4) of this section)— 
(A) striking out "$3.00 per hundredweight," and inserting 
in Heu thereof "$3.00 per hundredweight for the 1983 crop 
of rice,"; and 
(B) inserting immediately before the period at the end 
thereof ", and at not less than $2.70 per hundredweight for 
..;. 
the 1985 crop of rice: Provided, That if the Secretary esti-
mates that the quantity of rice on hand in the United 
States on July 31, 1985 (not including any quantity of rice 
produced in the United States during calendar year 1985), 
will exceed (I) thirty-five million hundredweight, such rate 
shall be established by the Secretary at not less than $3.25 
per hundredweight, and (II) forty-two million five hundred 
thousand hundredweight, such rate shall be established by 
the Secretary at not less than $3.50 per hundredweight ; 
and 
(7) striking out "1983 crop" in the tenth sentence of subpara-
graph (B) (as redesignated under paragraph (4) of this section) 
and inserting in lieu thereof "1983 and 1985 crops". 
TITLE V—AGRICULTURAL EXPORTS 
EXPORT ASSISTANCE 
President of U.S. 
SEC. 501. It is the sense of Congress that the President should 
implement, as soon as practicable after the enactment of this Act, 
the actions, proposed by the Administration to complement the 
provisions of this Act, to further assist in the development, mainte-
nance, and expansion of international markets for United States 
agricultural commodities and products thereof, as follows— 
(1) for the fiscal year ending September 30, 1984, the Presi-
dent will— 
(A) request congressional approval for the appropriation 
of funds in the amount of $150,000,000, in addition to the 
President's February 1984 request for a supplemental ap-
propriation of $90,000,000, to carry out programs of assist-
ance under titles I, II, and III of the Agricultural Trade 
7 use 1701, 
Development and Assistance Act of 1954 (Public Law 480); 
1721,1727. 
a n d 
(B) direct the Secretary of Agriculture to increase fund-
ing, over the current budgeted level, for the Export Credit 
Guarantee Program (GSM-102), carried out through the 
Commodity 
Credit 
Corporation, 
by 
not 
less 
than 
$500,000,000; and 
(2) for the fiscal year ending September 30, 1985, the Presi-
dent will— 
(A) request congressional approval for the appropriation 
of funds in the amount of at least $175,000,000, in addition 
to the current funding level contained in the President's 
budget for that year, to carry out programs of assistance 
under titles I, II, and III of Public Law 480; 
(B) direct the Secretary of Agriculture to increase fund-
ing, over the levels contained in the President's budget for 
that year or otherwise required by law, by not less than 
PUBLIC LAW 98-258—APR. 10, 1984 
98 STAT. 137 
$1,100,000,000 for the Export Credit Guarantee Program 
(GSM-102) and by not less than $100,000,000 for direct 
export credit programs carried out through the Commodity 
Credit Corporation (GSM-5, GSM-201, and GSM-301); and 
(C) request or use an additional amount of $50,000,000 
(over the amounts specified in clauses (2)(A) and (2)(B)) 
either for increased funding for direct export credit pro-
grams carried out through the Commodity Credit Corpora-
tion or for additional assistance under Public Law 480, in 
such proportions as determined necessary and appropriate 
by the President. 
7 u s e 1691 note. 
EXPANDED AUTHORITY FOR THE USE ABROAD OF COMMODITY CREDIT 
CORPORATION STOCKS; ACQUISITION AND DONATION OF ULTRA-HIGH 
TEMPERATURE PROCESSED MILK 
SEC. 502. Section 416 of the Agricultural Act of 1949 (7 U.S.C. 
1431) is amended by— 
(1) inserting "(a)" immediately after "SEC. 416."; 
(2) striking out "section" each place that word appears and 
inserting in lieu thereof "subsection"; and 
(3) adding at the end thereof the following new subsections: 
"(b) Dairy products and wheat acquired by the Commodity Credit 
Corporation through price support operations, which the Secretary 
determines meet the criteria specified in subsection (a), may be 
furnished by the Secretary for carrying out title II of the Agricul-
tural Trade Development and Assistance Act of 1954, as approved by 
the Secretary, and for such purposes as approved by the Secretary. 
The provisions of section 203 of that Act shall apply to commodities 
furnished under this subsection. Agreements may be entered into 
under this subsection to provide dairy products and wheat in install-
ments over an extended period of time. To the maximum extent 
practicable, expedited procedures shall be used in implementing the 
provisions of this subsection. Commodities and products furnished 
under this subsection may be sold or bartered, as approved by the 
Secretary, solely as follows: (1) sales and barter which are incidental 
to the donation of the commodities or products, (2) sales and barter, 
the proceeds of which are used to finance the distribution, handling, 
and processing costs of the donated commodities in the importing 
country or other activities in the importing country that are consist-
ent with providing food assistance to needy people, and (3) sales and 
barter of commodities and products donated to intergovernmental 
organizations, insofar as they are consistent with normal program-
ming procedures in the distribution of commodities by those organi-
zations. Except as provided in the foregoing sentence, no portion of 
the proceeds or services realized from such sales or barter may be 
used to meet operating and overhead expenses. The cost of commod-
ities furnished under this subsection and expenses incurred under 
section 203 of that Act in connection therewith shall be in addition 
to the level of assistance programmed under that Act and shall not 
be considered expenditures for international affairs and finance. 
Notwithstanding the foregoing provisions of this subsection, dairy 
products and wheat may not be made available for disposition under 
this subsection in amounts that will, in any way, reduce the 
amounts of commodities that traditionally are made available 
through donations to domestic feeding programs or agencies. 
Dairy products. 
Wheat. 
7 u s e 1721. 
7 u s e 1723. 
Marketing. 
98 STAT. 138 
PUBLIC LAW 98-258—APR. 10, 1984 
Disadvantaged 
persons. 
"(c) To prevent the waste of dairy products acquired by the 
Commodity Credit Corporation through price support operations, 
the Corporation, on such terms and under such regulations as the 
Secretary may prescribe, shall carry out a two-year pilot program 
under which the Corporation shall barter or exchange such dairy 
products, to the extent they are available, for forty thousand metric 
tons (consisting of twenty thousand metric tons in each year of the 
pilot program) of ultra-high temperature processed fluid milk. Such 
barter or exchange shall be effected on the basis of competitive bids 
submitted by domestic processors. The processed milk acquired by 
the Corporation under this subsection shall be available for dona-
tion through foreign governments and public and nonprofit private 
humanitarian organizations for the assistance of needy persons 
outside the United States, and the Corporation may pay, with 
respect to such processed milk donated under this subsection, trans-
porting, handling, and other charges, including the cost of overseas 
delivery. Any donations under this subsection shall be coordinated 
through the mechanism designated by the President to coordinate 
assistance under the Agricultural Trade Development and Assist-
7 use 1691 note, ance Act of 1954 and shall be in addition to the level of assistance 
programmed under that Act. The pilot program shall be imple-
mented by the Corporation as soon as practicable after the enact-
ment of the Agricultural Programs Adjustment Act of 1984 and 
shall be operated for a period of two years after its implementation. 
Upon completion of the pilot program, the Secretary shall submit a 
report to Congress on its operation.". 
Gifts and 
property. 
Ante, p. 130. 
Report. 
Emergency 
Agricultural 
Credit Act of 
1984. 
7 u s e 1921 note. 
TITLE VI—AGRICULTURAL CREDIT 
SHORT TITLE 
SEC. 601. This title may be cited as the 
Credit Act of 1984". 
'Emergency Agricultural 
42 u s e 5121 
note. 
NATURAL DISASTER EMERGENCY LOANS 
SEC. 602. (a) Section 321(a) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1961(a)) is amended by adding at the end 
thereof the following new sentences: "The Secretary shall accept 
applications from, and make or insure loans pursuant to the require-
ments of this subtitle to, applicants, otherwise eligible under this 
subtitle, that conduct farming, ranching, or aquaculture operations 
in any county contiguous to a county where the Secretary has found 
that farming, ranching, or aquaculture operations have been sub-
stantially affected by a natural disaster in the United States or by a 
major disaster or emergency designated by the President under the 
Disaster Relief Act of 1974. The Secretary shall accept applications 
for assistance under this subtitle from persons affected by a natural 
disaster at any time during the eight-month period beginning (A) on 
the date on which the Secretary determines that farming, ranching, 
or aquaculture operations have been substantially affected by such 
natural disaster or (B) on the date the President makes the major 
disaster or emergency designation with respect to such natural 
disaster, as the case may be.'. 
(b) Section 324(d) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1964(d)) is amended by adding at the end thereof 
the following new sentence: "If farm assets (including land, live-
PUBLIC LAW 98-258—APR. 10, 1984 
98 STAT. 139 
stock, and equipment) are used as collateral to secure a loan made 
under this subtitle, the Secretary shall value the assets based on the 
higher of (A) the value of the assets on the day before the date the 
governor of the State in which the farm is located requests assist-
ance under this subtitle or the Disaster Relief Act of 1974 for any 
portion of such State affected by the disaster with respect to which 
the application for the loan is made, or (B) the value of the assets 
one year before such day.". 
(c) the amendments made by this section shall be applicable to 
disasters occurring after May 30,1983. 
42 u s e 5121 
note. 
7 u s e 1961 note. 
ECONOMIC EMERGENCY LOANS 
SEC. 603. Section 211 of the Emergency Agricultural Credit Ad-
justment Act of 1978 (7 U.S.C. prec. 1961 note) is amended by— 
(1) inserting "(a)" immediately before "The provisions"; and 
(2) adding at end thereof the following new subsection: 
Insurance. 
"(b) With respect to the economic emergency loan program oper-
ated under this title during the period beginning December 22, 1983, 
and ending September 30,1984, the Secretary— 
"(1) shall make available to eligible applicants during such 
period new contracts of insurance totaling, in the aggregate, 
$310,000,000, and 
'~ ^ ' 
i 
"(2) as appropriate to achieve the goals of the economic 
emergency loan program and taking into consideration the 
amount of funds used for loan guarantees, may make available 
to eligible applicants during such period additional new con-
tracts of insurance totaling, in the aggregate, not more than 
$290,000,000.". 
OPERATING LOANS 
SEC. 604. (a) Section 313 of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1943) is amended by striking out 
"$100,000, or, in the case of a loan guaranteed by the Secretary, 
$200,000" and inserting in lieu thereof "$200,000, or, in the case of a 
loan guaranteed by the Secretary, $400,000". 
(b) Section 316(b) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1946(b)) is amended by— 
(1) in the second sentence, inserting "(or, in the case of loans 
for farm operating purposes, fifteen years)" after "seven years"; 
and 
(2) in the fifth sentence, striking out "The interest rate" and 
inserting in lieu thereof "Except as otherwise provided for farm 
loans under section 331B of this title, the interest rate". 
Infra. 
FARM LOAN INTEREST RATES 
SEC. 605. The Consolidated Farm and Rural Development Act (7 
U.S.C. 1921 et seq.) is amended by inserting after section 331A the 
following new section: 
"SEC. 331B. Any loan for farm ownership purposes under subtitle 
A of this title, farm operating purposes under subtitle B of this title, 
or disaster emergency purposes under subtitle C of this title, other 
than a guaranteed loan, that is deferred, consolidated, rescheduled, 
or reamortized under this title shall, notwithstanding any other 
provision of this title, bear interest on the balance of the original 
7 u s e 1981b. 
7 u s e 1922, 
1941. 
7 u s e 1961. 
98 STAT. 140 
PUBLIC LAW 98-258—APR. 10, 1984 
loan and for the term of the original loan at a rate that is the lower 
of (1) the rate of interest on the original loan or (2) the rate being 
charged by the Secretary for loans, other than guaranteed loans, of 
the same type at the time of the deferral, consolidation, reschedul-
ing, or reamortization.", 
CONFLICTS OF INTEREST 
SEC. 606. Section 336 of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1986) is amended by— 
(1) designating the first, second, and third sentences as subsec-
tions (a), (c), and (d), respectively; and 
(2) inserting after subsection (a) (as designated under clause 
(a) of this section) the following new subsection: 
"(b) Except as otherwise provided in this subsection, no officer or 
employee of the Department of Agriculture who acts on or reviews 
an application made by any person under this title for a loan to 
purchase land may acquire, directly or indirectly, any interest in 
such land for a period of three years after the date on which such 
action is taken or such review is made. This prohibition shall not 
apply to a former member of a county committee provided for in 
7 use 1982. 
section 332 of this title upon a determination by the Secretary, prior 
to the acquisition of such interest, that such former member acted 
in good faith when acting on or reviewing such application.". 
LIMITED RESOURCE BORROWERS 
SEC. 607. Section 346 of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1994) is amended by adding at the end thereof 
the following new subsection: 
"(e)(1) Notwithstanding any other provision of law, not less than 
20 per centum of the loans for farm ownership purposes under 
7 use 1922. 
subtitle A of this title, and not less than 20 per centum of the loans 
7 use 1941. 
for farm operating purposes under subtitle B of this title, authorized 
to be insured, or made to be sold and insured, from the Agricultural 
Credit Insurance Fund during fiscal year 1984 shall be for low-
income, limited-resource borrowers. 
"(2) The Secretary shall provide notification to farm borrowers 
under this title, as soon as practicable after the date of enactment of 
Ante, p. 138. 
the Emergency Agricultural Credit Act of 1984 and in the normal 
course of loan making and loan servicing operations, of the provi-
sions of this title relating to low-income, limited-resource borrowers 
and the procedures by which persons may apply for loans under the 
low-income, limited-resource borrower program.". 
AMORTIZATION OF DELINQUENT FARMERS HOME ADMINISTRATION 
LOANS 
7 use 1981 note. 
SEC. 608. Notwithstanding any other provision of law, the Secre-
tary of Agriculture may develop and implement a program for the 
amortization of delinquent Farmers Home Administration loans 
PUBLIC LAW 98-258—APR. 10, 1984 
98 STAT. 141 
from future revenues generated by timber crops planted and man-
aged on lands previously used to produce commodities or pasture 
and subject to Farmers Home Administration liens. The Secretary 
Report, 
shall submit a report to Congress by October 1, 1984, outlining the 
feasibility of such program and the plan for its implementation. 
Approved April 10, 1984. 
LEGISLATIVE HISTORY—H.R. 4072: 
HOUSE REPORT No. 98-646 (Comm. of Conference). 
CONGRESSIONAL RECORD: 
Vol. 129 (1983): Nov. 16, considered and passed House. 
Vol. 130 (1984): Mar. 20, 21, 22, considered and passed Senate, amended. 
Apr. 2, Senate agreed to conference report. 
Apr. 3, House agreed to conference report. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 20, No. 15 (1984): 
Apr. 10, Presidential statement.