[House Report 115-661]
[From the U.S. Government Publishing Office]


115th Congress    }                                     {      Report
                        HOUSE OF REPRESENTATIVES
 2d Session       }                                     {     115-661
_______________________________________________________________________

                                     



                 AGRICULTURE AND NUTRITION ACT OF 2018

                               ----------                              

                              R E P O R T

                                 OF THE

                        COMMITTEE ON AGRICULTURE

                             together with

                            DISSENTING VIEWS

                         [To accompany H.R. 2]

      [Including cost estimate of the Congressional Budget Office]






[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]








  May 3, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed





























115th Congress    }                                     {      Report
                        HOUSE OF REPRESENTATIVES
 2d Session       }                                     {     115-661
_______________________________________________________________________

                                     



                 AGRICULTURE AND NUTRITION ACT OF 2018

                               __________


                              R E P O R T

                                 OF THE

                        COMMITTEE ON AGRICULTURE

                             together with

                            DISSENTING VIEWS

                         [To accompany H.R. 2]

      [Including cost estimate of the Congressional Budget Office]







[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]








  May 3, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                ________
                                
                  U.S. GOVERNMENT PUBLISHING OFFICE

29-929                     WASHINGTON : 2018




























115th Congress    }                                     {      Report
                        HOUSE OF REPRESENTATIVES
 2d Session       }                                     {     115-661
======================================================================



 
                 AGRICULTURE AND NUTRITION ACT OF 2018

                                _______
                                

  May 3, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

Mr. Conaway, from the Committee on Agriculture, submitted the following

                              R E P O R T

                             together with

                            DISSENTING VIEWS

                         [To accompany H.R. 2]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Agriculture, to whom was referred the bill 
(H.R. 2) to provide for the reform and continuation of 
agricultural and other programs of the Department of 
Agriculture through fiscal year 2023, and for other purposes, 
having considered the same, reports favorably thereon with an 
amendment and recommends that the bill as amended do pass.
    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Agriculture and 
Nutrition Act of 2018''.
  (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definition of Secretary of Agriculture.

                          TITLE I--COMMODITIES

                      Subtitle A--Commodity Policy

Sec. 1111. Definitions.
Sec. 1112. Base acres.
Sec. 1113. Payment yields.
Sec. 1114. Payment acres.
Sec. 1115. Producer election.
Sec. 1116. Price loss coverage.
Sec. 1117. Agriculture risk coverage.
Sec. 1118. Producer agreements.

                      Subtitle B--Marketing Loans

Sec. 1201. Availability of nonrecourse marketing assistance loans for 
loan commodities.
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.
Sec. 1210. Adjustments of loans.

                           Subtitle C--Sugar

Sec. 1301. Sugar policy.

   Subtitle D--Dairy Risk Management Program and Other Dairy Programs

Sec. 1401. Dairy risk management program for dairy producers.
Sec. 1402. Class I skim milk price.
Sec. 1403. Extension of dairy forward pricing program.
Sec. 1404. Extension of dairy indemnity program.
Sec. 1405. Extension of dairy promotion and research program.
Sec. 1406. Repeal of dairy product donation program.

   Subtitle E--Supplemental Agricultural Disaster Assistance Programs

Sec. 1501. Modification of supplemental agricultural disaster 
assistance.

                       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. Prevention of deceased individuals receiving payments under 
farm commodity programs.
Sec. 1606. Assignment of payments.
Sec. 1607. Tracking of benefits.
Sec. 1608. Signature authority.
Sec. 1609. Personal liability of producers for deficiencies.
Sec. 1610. Implementation.
Sec. 1611. Exemption from certain reporting requirements for certain 
producers.

                         TITLE II--CONSERVATION

                    Subtitle A--Wetland Conservation

Sec. 2101. Program ineligibility.
Sec. 2102. Minimal effect regulations.

                Subtitle B--Conservation Reserve Program

Sec. 2201. Conservation reserve.
Sec. 2202. Farmable wetland program.
Sec. 2203. Duties of owners and operators.
Sec. 2204. Duties of the Secretary.
Sec. 2205. Payments.
Sec. 2206. Contracts.

          Subtitle C--Environmental Quality Incentives Program

Sec. 2301. Definitions.
Sec. 2302. Establishment and administration.
Sec. 2303. Limitation on payments.
Sec. 2304. Conservation innovation grants and payments.

                Subtitle D--Other Conservation Programs

Sec. 2401. Conservation of private grazing land.
Sec. 2402. Grassroots source water protection program.
Sec. 2403. Voluntary public access and habitat incentive program.
Sec. 2404. Watershed protection and flood prevention.
Sec. 2405. Feral swine eradication and control pilot program.
Sec. 2406. Emergency conservation program.

                 Subtitle E--Funding and Administration

Sec. 2501. Commodity Credit Corporation.
Sec. 2502. Delivery of technical assistance.
Sec. 2503. Administrative requirements for conservation programs.
Sec. 2504. Establishment of State technical committees.

         Subtitle F--Agricultural Conservation Easement Program

Sec. 2601. Establishment and purposes.
Sec. 2602. Definitions.
Sec. 2603. Agricultural land easements.
Sec. 2604. Wetland reserve easements.
Sec. 2605. Administration.

         Subtitle G--Regional Conservation Partnership Program

Sec. 2701. Definitions.
Sec. 2702. Regional conservation partnerships.
Sec. 2703. Assistance to producers.
Sec. 2704. Funding.
Sec. 2705. Administration.
Sec. 2706. Critical conservation areas.

 Subtitle H--Repeals and Transitional Provisions; Technical Amendments

Sec. 2801. Repeal of conservation security and conservation stewardship 
programs.
Sec. 2802. Repeal of terminal lakes assistance.
Sec. 2803. Technical amendments.

                            TITLE III--TRADE

                     Subtitle A--Food for Peace Act

Sec. 3001. Findings.
Sec. 3002. Labeling requirements.
Sec. 3003. Food aid quality assurance.
Sec. 3004. Local sale and barter of commodities.
Sec. 3005. Minimum levels of assistance.
Sec. 3006. Extension of termination date of Food Aid Consultative 
Group.
Sec. 3007. Issuance of regulations.
Sec. 3008. Funding for program oversight, monitoring, and evaluation.
Sec. 3009. Assistance for stockpiling and rapid transportation, 
delivery, and distribution of shelf-stable prepackaged foods.
Sec. 3010. Consideration of impact of provision of agricultural 
commodities and other assistance on local farmers and economy.
Sec. 3011. Prepositioning of agricultural commodities.
Sec. 3012. Annual report regarding food aid programs and activities.
Sec. 3013. Deadline for agreements to finance sales or to provide other 
assistance.
Sec. 3014. Minimum level of nonemergency food assistance.
Sec. 3015. Termination date for micronutrient fortification programs.
Sec. 3016. John Ogonowski and Doug Bereuter Farmer-to-Farmer Program.

               Subtitle B--Agricultural Trade Act of 1978

Sec. 3101. Findings.
Sec. 3102. Consolidation of current programs as new International 
Market Development Program.

               Subtitle C--Other Agricultural Trade Laws

Sec. 3201. Local and regional food aid procurement projects.
Sec. 3202. Promotion of agricultural exports to emerging markets.
Sec. 3203. Bill Emerson Humanitarian Trust Act.
Sec. 3204. Food for Progress Act of 1985.
Sec. 3205. McGovern-Dole International Food for Education and Child 
Nutrition Program.
Sec. 3206. Cochran fellowship program.
Sec. 3207. Borlaug fellowship program.
Sec. 3208. Global Crop Diversity Trust.
Sec. 3209. Growing American Food Exports Act of 2018.

                          TITLE IV--NUTRITION

         Subtitle A--Supplemental Nutrition Assistance Program

Sec. 4001. Duplicative enrollment database.
Sec. 4002. Retailer-funded incentives pilot.
Sec. 4003. Gus Schumacher food insecurity nutrition incentive program.
Sec. 4004. Re-evaluation of thrifty food plan.
Sec. 4005. Food distribution programs on Indian reservations.
Sec. 4006. Update to categorical eligibility.
Sec. 4007. Basic allowance for housing.
Sec. 4008. Earned income deduction.
Sec. 4009. Simplified homeless housing costs.
Sec. 4010. Availability of standard utility allowances based on receipt 
of energy assistance.
Sec. 4011. Child support; cooperation with child support agencies.
Sec. 4012. Adjustment to asset limitations.
Sec. 4013. Updated vehicle allowance.
Sec. 4014. Savings excluded from assets.
Sec. 4015. Workforce solutions.
Sec. 4016. Modernization of electronic benefit transfer regulations.
Sec. 4017. Mobile technologies.
Sec. 4018. Processing fees.
Sec. 4019. Replacement of EBT cards.
Sec. 4020. Benefit recovery.
Sec. 4021. Requirements for online acceptance of benefits.
Sec. 4022. National gateway.
Sec. 4023. Access to State systems.
Sec. 4024. Transitional benefits.
Sec. 4025. Incentivizing technology modernization.
Sec. 4026. Supplemental nutrition assistance program benefit transfer 
transaction data report.
Sec. 4027. Adjustment to percentage of recovered funds retained by 
States.
Sec. 4028. Tolerance level for payment errors.
Sec. 4029. State performance indicators.
Sec. 4030. Public-private partnerships.
Sec. 4031. Authorization of appropriations.
Sec. 4032. Emergency food assistance.
Sec. 4033. Nutrition education.
Sec. 4034. Retail food store and recipient trafficking.
Sec. 4035. Technical corrections.
Sec. 4036. Implementation funds.

              Subtitle B--Commodity Distribution Programs

Sec. 4101. Commodity distribution program.
Sec. 4102. Commodity supplemental food program.
Sec. 4103. Distribution of surplus commodities to special nutrition 
projects.

                       Subtitle C--Miscellaneous

Sec. 4201. Purchase of fresh fruits and vegetables for distribution to 
schools and service institutions.
Sec. 4202. Seniors farmers' market nutrition program.
Sec. 4203. Healthy food financing initiative.
Sec. 4204. Amendments to the fruit and vegetable program.

                            TITLE V--CREDIT

                    Subtitle A--Farm Ownership Loans

Sec. 5101. Modification of the 3-year experience eligibility 
requirement for farm ownership loans.
Sec. 5102. Conservation loan and loan guarantee program.
Sec. 5103. Farm ownership loan limits.

                      Subtitle B--Operating Loans

Sec. 5201. Limitations on amount of operating loans.
Sec. 5202. Microloans.

                 Subtitle C--Administrative Provisions

Sec. 5301. Beginning farmer and rancher individual development accounts 
pilot program.
Sec. 5302. Loan authorization levels.
Sec. 5303. Loan fund set-asides.

 Subtitle D--Technical Corrections to the Consolidated Farm and Rural 
                            Development Act

Sec. 5401. Technical corrections to the Consolidated Farm and Rural 
Development Act.

         Subtitle E--Amendments to the Farm Credit Act of 1971

Sec. 5501. Elimination of obsolete references.
Sec. 5502. Conforming repeals.
Sec. 5503. Facility headquarters.
Sec. 5504. Sharing privileged and confidential information.
Sec. 5505. Scope of jurisdiction.
Sec. 5506. Definition.
Sec. 5507. Expansion of acreage exception to loan amount limitation.
Sec. 5508. Compensation of bank directors.
Sec. 5509. Prohibition on use of funds.

                       Subtitle F--Miscellaneous

Sec. 5601. State agricultural mediation programs.
Sec. 5602. Study on loan risk.

        TITLE VI--RURAL INFRASTRUCTURE AND ECONOMIC DEVELOPMENT

       Subtitle A--Improving Health Outcomes in Rural Communities

Sec. 6001. Prioritizing projects to meet health crises in rural 
America.
Sec. 6002. Distance learning and telemedicine.
Sec. 6003. Reauthorization of the Farm and Ranch Stress Assistance 
Network.
Sec. 6004. Supporting agricultural association health plans.

     Subtitle B--Connecting Rural Americans to High Speed Broadband

Sec. 6101. Establishing forward-looking broadband standards.
Sec. 6102. Incentives for hard to reach communities.
Sec. 6103. Requiring guaranteed broadband lending.
Sec. 6104. Smart utility authority for broadband.
Sec. 6105. Modifications to the Rural Gigabit Program.
Sec. 6106. Unified broadband reporting requirements.
Sec. 6107. Improving access by providing certainty to broadband 
borrowers.
Sec. 6108. Simplified application window.
Sec. 6109. Elimination of requirement to give priority to certain 
applicants.
Sec. 6110. Modification of buildout requirement.
Sec. 6111. Improving borrower refinancing options.
Sec. 6112. Elimination of unnecessary reporting requirements.
Sec. 6113. Access to broadband telecommunications services in rural 
areas.
Sec. 6114. Middle mile broadband infrastructure.
Sec. 6115. Outdated broadband systems.
Sec. 6116. Effective date.

        Subtitle C--Consolidated Farm and Rural Development Act

Sec. 6201. Strengthening regional economic development incentives.
Sec. 6202. Expanding access to credit for rural communities.
Sec. 6203. Providing for additional fees for guaranteed loans.
Sec. 6204. Water, waste disposal, and wastewater facility grants.
Sec. 6205. Rural water and wastewater technical assistance and training 
programs.
Sec. 6206. Rural water and wastewater circuit rider program.
Sec. 6207. Tribal college and university essential community 
facilities.
Sec. 6208. Emergency and imminent community water assistance grant 
program.
Sec. 6209. Water systems for rural and native villages in Alaska.
Sec. 6210. Household water well systems.
Sec. 6211. Solid waste management grants.
Sec. 6212. Rural business development grants.
Sec. 6213. Rural cooperative development grants.
Sec. 6214. Locally or regionally produced agricultural food products.
Sec. 6215. Appropriate technology transfer for rural areas program.
Sec. 6216. Rural economic area partnership zones.
Sec. 6217. Intermediary relending program.
Sec. 6218. Exclusion of prison populations from definition of rural 
area.
Sec. 6219. National Rural Development Partnership.
Sec. 6220. Grants for NOAA weather radio transmitters.
Sec. 6221. Rural microentrepreneur assistance program.
Sec. 6222. Health care services.
Sec. 6223. Delta Regional Authority.
Sec. 6224. Northern Great Plains Regional Authority.
Sec. 6225. Rural business investment program.

             Subtitle D--Rural Electrification Act of 1936

Sec. 6301. Guarantees for bonds and notes issued for electrification or 
telephone purposes.
Sec. 6302. Expansion of 911 access.
Sec. 6303. Improvements to the guaranteed underwriter program.
Sec. 6304. Extension of the rural economic development loan and grant 
program.

       Subtitle E--Farm Security and Rural Investment Act of 2002

Sec. 6401. Rural energy savings program.
Sec. 6402. Biobased markets program.
Sec. 6403. Biorefinery, renewable, chemical, and biobased product 
manufacturing assistance.
Sec. 6404. Repowering assistance program.
Sec. 6405. Bioenergy program for advanced biofuels.
Sec. 6406. Biodiesel fuel education program.
Sec. 6407. Rural Energy for America Program.
Sec. 6408. Categorical exclusion for grants and financial assistance 
made under the Rural Energy for America Program.
Sec. 6409. Rural Energy Self-Sufficiency Initiative.
Sec. 6410. Feedstock flexibility.
Sec. 6411. Biomass Crop Assistance Program.

                       Subtitle F--Miscellaneous

Sec. 6501. Value-added agricultural product market development grants.
Sec. 6502. Agriculture innovation center demonstration program.
Sec. 6503. Regional economic and infrastructure development 
commissions.
Sec. 6504. Definition of rural area for purposes of the Housing Act of 
1949.

                      Subtitle G--Program Repeals

Sec. 6601. Elimination of unfunded programs.
Sec. 6602. Repeal of Rural Telephone Bank.
Sec. 6603. Amendments to LOCAL TV Act.

                   Subtitle H--Technical Corrections

Sec. 6701. Corrections relating to the Consolidated Farm and Rural 
Development Act.
Sec. 6702. Corrections relating to the Rural Electrification Act of 
1936.

          TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS

  Subtitle A--National Agricultural Research, Extension, and Teaching 
                           Policy Act of 1977

Sec. 7101. International agriculture research.
Sec. 7102. Matters related to certain school designations and 
declarations.
Sec. 7103. National Agricultural Research, Extension, Education, and 
Economics Advisory Board.
Sec. 7104. Specialty crop committee.
Sec. 7105. Renewable energy committee discontinued.
Sec. 7106. Report on allocations and matching funds for 1890 
institutions.
Sec. 7107. Grants and fellowships for food and agriculture sciences 
education.
Sec. 7108. Agricultural and food policy research centers.
Sec. 7109. Education grants to Alaska Native serving institutions and 
Native Hawaiian serving institutions.
Sec. 7110. Repeal of nutrition education program.
Sec. 7111. Continuing animal health and disease research programs.
Sec. 7112. Extension carryover at 1890 land-grant colleges, including 
Tuskegee University.
Sec. 7113. Scholarships for students at 1890 institutions.
Sec. 7114. Grants to upgrade agricultural and food sciences facilities 
at 1890 land-grant colleges, including Tuskegee University.
Sec. 7115. Grants to upgrade agriculture and food sciences facilities 
and equipment at insular area land-grant institutions.
Sec. 7116. Hispanic-serving institutions.
Sec. 7117. Land-grant designation.
Sec. 7118. Competitive grants for international agricultural science 
and education programs.
Sec. 7119. Limitation on indirect costs for agricultural research, 
education, and extension programs.
Sec. 7120. Research equipment grants.
Sec. 7121. University research.
Sec. 7122. Extension service.
Sec. 7123. Supplemental and alternative crops.
Sec. 7124. Capacity building grants for NLGCA institutions.
Sec. 7125. Aquaculture assistance programs.
Sec. 7126. Rangeland research programs.
Sec. 7127. Special authorization for biosecurity planning and response.
Sec. 7128. Distance education and resident instruction grants program 
for insular area institutions of higher education.
Sec. 7129. Removal of matching funds requirement for certain grants.

   Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990

Sec. 7201. Best utilization of biological applications.
Sec. 7202. Integrated management systems.
Sec. 7203. Sustainable agriculture technology development and transfer 
program.
Sec. 7204. National training program.
Sec. 7205. National Genetics Resources Program.
Sec. 7206. National Agricultural Weather Information System.
Sec. 7207. Agricultural genome to phenome initiative.
Sec. 7208. High-priority research and extension initiatives.
Sec. 7209. Organic agriculture research and extension initiative.
Sec. 7210. Farm business management.
Sec. 7211. Clarification of veteran eligibility for assistive 
technology program for farmers with disabilities.
Sec. 7212. National Rural Information Center Clearinghouse.

Subtitle C--Agricultural Research, Extension, and Education Reform Act 
                                of 1998

Sec. 7300. Ending limitation on funding under national food safety 
training, education, extension, outreach, and technical assistance 
program.
Sec. 7301. National food safety training, education, extension, 
outreach, and technical assistance program.
Sec. 7302. Integrated research, education, and extension competitive 
grants program.
Sec. 7303. Support for research regarding diseases of wheat, triticale, 
and barley caused by Fusarium graminearum or by Tilletia indica.
Sec. 7304. Grants for youth organizations.
Sec. 7305. Specialty crop research initiative.
Sec. 7306. Food Animal Residue Avoidance Database program.
Sec. 7307. Office of Pest Management Policy.
Sec. 7308. Forestry products advanced utilization research.

         Subtitle D--Food, Conservation, and Energy Act of 2008

                     Part I--Agricultural Security

Sec. 7401. Agricultural biosecurity communication center.
Sec. 7402. Assistance to build local capacity in agricultural 
biosecurity planning, preparation, and response.
Sec. 7403. Research and development of agricultural countermeasures.
Sec. 7404. Agricultural biosecurity grant program.

                         Part II--Miscellaneous

Sec. 7411. Grazinglands research laboratory.
Sec. 7412. Natural products research program.
Sec. 7413. Sun grant program.

                  Subtitle E--Amendments to Other Laws

Sec. 7501. Critical Agricultural Materials Act.
Sec. 7502. Equity in Educational Land-Grant Status Act of 1994.
Sec. 7503. Research Facilities Act.
Sec. 7504. Competitive, Special, and Facilities Research Grant Act.
Sec. 7505. Renewable Resources Extension Act of 1978.
Sec. 7506. National Aquaculture Act of 1980.
Sec. 7507. Beginning farmer and rancher development program.
Sec. 7508. Federal agriculture research facilities.
Sec. 7509. Biomass research and development.

                       Subtitle F--Other Matters

Sec. 7601. Enhanced use lease authority program.
Sec. 7602. Functions and Duties of the Under Secretary.
Sec. 7603. Reinstatement of District of Columbia matching requirement 
for certain land-grant university assistance.
Sec. 7604. Farmland tenure, transition, and entry data initiative.
Sec. 7605. Transfer of administrative jurisdiction, portion of Henry A. 
Wallace Beltsville Agricultural Research Center, Beltsville, Maryland.
Sec. 7606. Simplified plan of work.
Sec. 7607. Time and effort reporting exemption.
Sec. 7608. Public education on biotechnology in food and agriculture 
sectors.

                          TITLE VIII--FORESTRY

   Subtitle A--Reauthorization and Modification of Certain Forestry 
                                Programs

Sec. 8101. Support for State assessments and strategies for forest 
resources.
Sec. 8102. Forest legacy program.
Sec. 8103. Community forest and open space conservation program.
Sec. 8104. State and private forest landscape-scale restoration 
program.
Sec. 8105. Rural revitalization technologies.
Sec. 8106. Community wood energy and wood innovation program.
Sec. 8107. Healthy Forests Restoration Act of 2003 amendments.
Sec. 8108. National Forest Foundation Act authorities.

 Subtitle B--Secure Rural Schools and Community Self-Determination Act 
                           of 2000 Amendments

Sec. 8201. Use of reserved funds for title II projects on Federal land 
and certain non-Federal land.
Sec. 8202. Resource advisory committees.
Sec. 8203. Program for title II self-sustaining resource advisory 
committee projects.

 Subtitle C--Availability of Categorical Exclusions To Expedite Forest 
                         Management Activities

                       Part I--General Provisions

Sec. 8301. Definitions.
Sec. 8302. Rule of application for National Forest System lands and 
public lands.
Sec. 8303. Consultation under the Endangered Species Act.
Sec. 8304. Secretarial discretion in the case of two or more 
categorical exclusions.

                    Part II--Categorical Exclusions

Sec. 8311. Categorical exclusion to expedite certain critical response 
actions.
Sec. 8312. Categorical exclusion to expedite salvage operations in 
response to catastrophic events.
Sec. 8313. Categorical exclusion to meet forest plan goals for early 
successional forests.
Sec. 8314. Categorical exclusion for hazard trees.
Sec. 8315. Categorical exclusion to improve or restore National Forest 
System lands or public land or reduce the risk of wildfire.
Sec. 8316. Categorical exclusion for forest restoration.
Sec. 8317. Categorical exclusion for infrastructure forest management 
activities.
Sec. 8318. Categorical exclusion for developed recreation sites.
Sec. 8319. Categorical exclusion for administrative sites.
Sec. 8320. Categorical exclusion for special use authorizations.
Sec. 8321. Clarification of existing categorical exclusion authority 
related to insect and disease infestation.

          Part III--Miscellaneous Forest Management Activities

Sec. 8331. Good neighbor agreements.
Sec. 8332. Promoting cross-boundary wildfire mitigation.
Sec. 8333. Regulations regarding designation of dead or dying trees of 
certain tree species on National Forest System lands in California as 
exempt from prohibition on export of unprocessed timber originating 
from Federal lands.

        Subtitle D--Tribal Forestry Participation and Protection

Sec. 8401. Protection of Tribal forest assets through use of 
stewardship end result contracting and other authorities.
Sec. 8402. Tribal forest management demonstration project.

                       Subtitle E--Other Matters

Sec. 8501. Clarification of research and development program for wood 
building construction.
Sec. 8502. Utility infrastructure rights-of-way vegetation management 
pilot program.
Sec. 8503. Revision of extraordinary circumstances regulations.
Sec. 8504. No loss of funds for wildfire suppression.
Sec. 8505. Technical corrections.

                         TITLE IX--HORTICULTURE

           Subtitle A--Horticulture Marketing and Information

Sec. 9001. Specialty crops market news allocation.
Sec. 9002. Farmers' Market and Local Food Promotion Program.
Sec. 9003. Food safety education initiatives.
Sec. 9004. Specialty crop block grants.
Sec. 9005. Amendments to the Plant Variety Protection Act.
Sec. 9006. Organic programs.

                     Subtitle B--Regulatory Reform

 Part I--State Lead Agencies Under Federal Insecticide, Fungicide, and 
                            Rodenticide Act

Sec. 9101. Recognition and role of State lead agencies.

                Part II--Pesticide Registration and Use

Sec. 9111. Registration of pesticides.
Sec. 9112. Experimental use permits.
Sec. 9113. Administrative review; suspension.
Sec. 9114. Unlawful acts.
Sec. 9115. Authority of States.
Sec. 9116. Regulations.
Sec. 9117. Use of authorized pesticides.
Sec. 9118. Discharges of pesticides.
Sec. 9119. Enactment of Pesticide Registration Improvement Enhancement 
Act of 2017.

            Part III--Amendments to the Plant Protection Act

Sec. 9121. Methyl bromide.

                   Part IV--Amendments to Other Laws

Sec. 9131. Definition of retail facilities.

                       Subtitle C--Other Matters

Sec. 9201. Report on regulation of plant biostimulants.
Sec. 9202. Pecan marketing orders.
Sec. 9203. Report on honey and maple syrup.

                        TITLE X--CROP INSURANCE

Sec. 10001. Treatment of forage and grazing.
Sec. 10002. Administrative basic fee.
Sec. 10003. Prevention of duplicative coverage.
Sec. 10004. Repeal of unused authority.
Sec. 10005. Continued authority.
Sec. 10006. Program administration.
Sec. 10007. Maintenance of policies.
Sec. 10008. Research and development priorities.
Sec. 10009. Extension of funding for research and development.
Sec. 10010. Education and risk management assistance.

                        TITLE XI--MISCELLANEOUS

                         Subtitle A--Livestock

Sec. 11101. Animal Disease Preparedness and Response.
Sec. 11102. National Aquatic Animal Health Plan.
Sec. 11103. Veterinary training.
Sec. 11104. Report on FSIS guidance and outreach to small meat 
processors.

  Subtitle B--Beginning, Socially Disadvantaged, and Veteran Producers

Sec. 11201. Outreach and assistance for socially disadvantaged farmers 
and ranchers and veteran farmers and ranchers.
Sec. 11202. Office of Partnerships and Public Engagement.
Sec. 11203. Commission on Farm Transitions--Needs for 2050.
Sec. 11204. Agricultural youth organization coordinator.

                          Subtitle C--Textiles

Sec. 11301. Repeal of Pima Agriculture Cotton Trust Fund.
Sec. 11302. Repeal of Agriculture Wool Apparel Manufacturers Trust 
Fund.
Sec. 11303. Repeal of wool research and promotion grants funding.
Sec. 11304. Textile Trust Fund.

             Subtitle D--United States Grain Standards Act

Sec. 11401. Restoring certain exceptions to United States Grain 
Standards Act.

        Subtitle E--Noninsured Crop Disaster Assistance Program

Sec. 11501. Eligible crops.
Sec. 11502. Service fee.
Sec. 11503. Payments equivalent to additional coverage.

                       Subtitle F--Other Matters

Sec. 11601. Under Secretary of Agriculture for Farm Production and 
Conservation.
Sec. 11602. Authority of Secretary to carry out certain programs under 
Department of Agriculture Reorganization Act of 1994.
Sec. 11603. Conference report requirement threshold.
Sec. 11604. National agriculture imagery program.
Sec. 11605. Report on inclusion of natural stone products in Commodity 
Promotion, Research, and Information Act of 1996.
Sec. 11606. South Carolina inclusion in Virginia/Carolina peanut 
producing region.
Sec. 11607. Establishment of Food Loss and Waste Reduction Liaison.
Sec. 11608. Cotton classification services.
Sec. 11609. Century farms program.
Sec. 11610. Report on agricultural innovation.
Sec. 11611. Report on dog importation.
Sec. 11612. Prohibition on slaughter of dogs and cats for human 
consumption.

               Subtitle G--Protecting Interstate Commerce

Sec. 11701. Prohibition against interference by State and local 
governments with production or manufacture of items in other States.
Sec. 11702. Federal cause of action to challenge State regulation of 
interstate commerce.

SEC. 2. DEFINITION OF SECRETARY OF AGRICULTURE.

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

                          TITLE I--COMMODITIES

                      Subtitle A--Commodity Policy

SEC. 1111. DEFINITIONS.

  In this subtitle and subtitle B:
          (1) Actual crop revenue.--The term ``actual crop revenue'', 
        with respect to a covered commodity for a crop year, means the 
        amount determined by the Secretary under section 1117(b).
          (2) Agriculture risk coverage.--The term ``agriculture risk 
        coverage'' means coverage provided under section 1117.
          (3) Agriculture risk coverage guarantee.--The term 
        ``agriculture risk coverage guarantee'', with respect to a 
        covered commodity for a crop year, means the amount determined 
        by the Secretary under section 1117(c).
          (4) Base acres.--The term ``base acres'' has the meaning 
        given the term in section 1111(4)(A) of the Agricultural Act of 
        2014 (7 U.S.C. 9011(4)(A)), subject to any reallocation, 
        adjustment, or reduction under section 1112.
          (5) Covered commodity.--The term ``covered commodity'' means 
        wheat, oats, and barley (including wheat, oats, and barley used 
        for haying and grazing), corn, grain sorghum, long grain rice, 
        medium grain rice, pulse crops, soybeans, other oilseeds, seed 
        cotton, and peanuts.
          (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 1116(b) to determine 
        whether price loss coverage payments are required to be 
        provided for that crop year.
          (7) Effective reference price.--The term ``effective 
        reference price'', with respect to a covered commodity for a 
        crop year, means the lesser of the following:
                  (A) An amount equal to 115 percent of the reference 
                price for such covered commodity.
                  (B) An amount equal to the greater of--
                          (i) the reference price for such covered 
                        commodity; or
                          (ii) 85 percent of the average of the 
                        marketing year average price of the covered 
                        commodity for the most recent 5 crop years, 
                        excluding each of the crop years with the 
                        highest and lowest marketing year average 
                        price.
          (8) 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 
                experimental purposes.
          (9) Marketing year average price.--The term ``marketing year 
        average price'' means the national average market price 
        received by producers during the 12-month marketing year for a 
        covered commodity, as determined by the Secretary.
          (10) Medium grain rice.--The term ``medium grain rice'' 
        includes short grain rice and temperate japonica rice.
          (11) 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.
          (12) Payment acres.--The term ``payment acres'', with respect 
        to the provision of price loss coverage payments and 
        agriculture risk coverage payments, means the number of acres 
        determined for a farm under section 1114.
          (13) Payment yield.--The term ``payment yield'', for a farm 
        for a covered commodity--
                  (A) means the yield used to make payments pursuant to 
                section 1116 of the Agricultural Act of 2014 (7 U.S.C. 
                9016); or
                  (B) means the yield established under section 1113.
          (14) Price loss coverage.--The term ``price loss coverage'' 
        means coverage provided under section 1116.
          (15) 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.
          (16) Pulse crop.--The term ``pulse crop'' means dry peas, 
        lentils, small chickpeas, and large chickpeas.
          (17) Reference price.--The term ``reference price'', with 
        respect to a covered commodity for a crop year, means the 
        following:
                  (A) For wheat, $5.50 per bushel.
                  (B) For corn, $3.70 per bushel.
                  (C) For grain sorghum, $3.95 per bushel.
                  (D) For barley, $4.95 per bushel.
                  (E) For oats, $2.40 per bushel.
                  (F) For long grain rice, $14.00 per hundredweight.
                  (G) For medium grain rice, $14.00 per hundredweight.
                  (H) For soybeans, $8.40 per bushel.
                  (I) For other oilseeds, $20.15 per hundredweight.
                  (J) For peanuts, $535.00 per ton.
                  (K) For dry peas, $11.00 per hundredweight.
                  (L) For lentils, $19.97 per hundredweight.
                  (M) For small chickpeas, $19.04 per hundredweight.
                  (N) For large chickpeas, $21.54 per hundredweight.
                  (O) For seed cotton, $0.367 per pound.
          (18) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.
          (19) Seed cotton.--The term ``seed cotton'' means unginned 
        upland cotton that includes both lint and seed.
          (20) 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.
          (21) Temperate japonica rice.--The term ``temperate japonica 
        rice'' means rice that is grown in high altitudes or temperate 
        regions of high latitudes with cooler climate conditions, in 
        the Western United States, as determined by the Secretary, for 
        the purpose of--
                  (A) the establishment of a reference price (as 
                required under section 1116(g)) and an effective price 
                pursuant to section 1116; and
                  (B) the determination of the actual crop revenue and 
                agriculture risk coverage guarantee pursuant to section 
                1117.
          (22) Transitional yield.--The term ``transitional yield'' has 
        the meaning given the term in section 502(b) of the Federal 
        Crop Insurance Act (7 U.S.C. 1502(b)).
          (23) United states.--The term ``United States'', when used in 
        a geographical sense, means all of the States.
          (24) 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) 1\1/8\-inch upland cotton and for Middling (M) 1\3/32\-
        inch upland cotton exceeds the difference in the applicable 
        premiums for comparable international qualities.

SEC. 1112. BASE ACRES.

  (a) Adjustment of Base Acres.--
          (1) In general.--The Secretary shall provide for an 
        adjustment, as appropriate, in the base acres for covered 
        commodities 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.
                  (B) Cropland is released from coverage under a 
                conservation reserve contract by the Secretary.
                  (C) 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)(1)(D) 
                of the Food, Conservation, and Energy Act of 2008 (7 
                U.S.C. 8711(a)(1)(D)).
          (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 price loss coverage or 
        agriculture risk coverage 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.--
          (1) Required reduction.--If the sum of the base acres for a 
        farm and the acreage described in paragraph (2) exceeds the 
        actual cropland acreage of the farm, the Secretary shall reduce 
        the base acres for 1 or more covered commodities for the farm 
        so that the sum of the base acres and the 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 acreage on the farm enrolled in the 
                conservation reserve program or wetlands reserve 
                program (or successor programs) under title XII of the 
                Food Security Act of 1985 (16 U.S.C. 3801 et seq.).
                  (B) 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.
                  (C) If the Secretary designates additional oilseeds, 
                any eligible oilseed acreage, which shall be determined 
                in the same manner as eligible oilseed acreage under 
                subsection (a)(1)(C).
          (3) Selection of acres.--The Secretary shall give the owner 
        of the farm the opportunity to select the base acres for a 
        covered commodity 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.
  (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 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 
                        agricultural use.
                  (B) Requirement.--The Secretary shall establish 
                procedures to identify land described in subparagraph 
                (A).
          (3) Treatment of unplanted base.--In the case of a farm on 
        which no covered commodities (including seed cotton) were 
        planted or prevented from being planted during the period 
        beginning on January 1, 2009, and ending on December 31, 2017, 
        the Secretary shall allocate all base acres on the farm to 
        unassigned crop base for which no payment shall be made under 
        section 1116 or 1117.
          (4) Prohibition on reconstitution of farm.--The Secretary 
        shall ensure that producers on a farm do not reconstitute the 
        farm to void or change the treatment of base acres under this 
        section.

SEC. 1113. PAYMENT YIELDS.

  (a) Treatment of Designated Oilseeds.--
          (1) In general.--For the purpose of making price loss 
        coverage payments under section 1116, the Secretary shall 
        provide for the establishment of a yield for each farm for any 
        designated oilseed for which a payment yield was not 
        established under section 1113 of the Agricultural Act of 2014 
        (7 U.S.C. 9013) in accordance with this section.
          (2) Payment yields for designated oilseeds.--In the case of 
        designated oilseeds, the payment yield shall be equal to 90 
        percent of the average of the yield per planted acre for the 
        most recent five crop years, as determined by the Secretary, 
        excluding any crop year in which the acreage planted to the 
        covered commodity was zero.
          (3) Application.--This subsection shall apply to oilseeds 
        designated after the date of the enactment of this Act.
  (b) Effect of Lack of Payment Yield.--
          (1) Establishment by secretary.--In the case of a covered 
        commodity on a farm for which base acres have been established, 
        if no payment yield is otherwise established for the covered 
        commodity on the farm, the Secretary shall establish an 
        appropriate payment yield for the covered commodity on the farm 
        under paragraph (2).
          (2) Use of similarly situated farms.--To establish an 
        appropriate payment yield for a covered commodity on a farm as 
        required by paragraph (1), the Secretary shall take into 
        consideration the farm program payment yields applicable to 
        that covered commodity for similarly situated farms. The use of 
        such data in an appeal, by the Secretary or by the producer, 
        shall not be subject to any other provision of law.
  (c) Single Opportunity to Update Yields in Counties Affected by 
Drought.--
          (1) Election to update.--In the case of a farm that is 
        physically located in a county in which any area of the county 
        was rated by the U.S. Drought Monitor as having a D4 
        (exceptional drought) intensity for 20 or more consecutive 
        weeks during the period beginning January 1, 2008 and ending 
        December 31, 2012, at the sole discretion of the owner of such 
        farm, the owner of a farm shall have a 1-time opportunity to 
        update, on a covered commodity-by covered-commodity basis, the 
        payment yield that would otherwise be used in calculating any 
        price loss coverage payment for each covered commodity on the 
        farm for which the election is made.
          (2) Method of updating yields for covered commodities.--If 
        the owner of a farm elects to update yields under paragraph 
        (1), the payment yield for covered commodities on the farm, for 
        the purpose of calculating price loss coverage payments only, 
        shall be equal to 90 percent of the average of the yield per 
        planted acre for the crop of covered commodities on the farm 
        for the 2013 through 2017 crop years, as determined by the 
        Secretary, excluding any crop year in which the acreage planted 
        to the covered commodity was zero.
          (3) Use of county average yield.--For the purposes of 
        determining the average yield under paragraph (2), if the yield 
        per planted acre for a crop of a covered commodity for a farm 
        for any of the crop years specified in paragraph (2) was less 
        than 75 percent of the average of county yields for those same 
        years for that commodity, the Secretary shall assign a yield 
        for that crop year equal to 75 percent of the average of the 
        2013 though 2017 county yield for the covered commodity.
          (4) Upland cotton conversion.--In the case of seed cotton, 
        for purposes of determining the average of the yield per 
        planted acre under paragraph (2), the average yield for seed 
        cotton per planted acre shall be equal to 2.4 times the average 
        yield for upland cotton per planted acre.
          (5) Time for election.--An election under this subsection 
        shall be made at a time and manner so as to be in effect 
        beginning with the 2019 crop year, as determined by the 
        Secretary.

SEC. 1114. PAYMENT ACRES.

  (a) Determination of Payment Acres.--Subject to subsection (d), for 
the purpose of price loss coverage and agriculture risk coverage, the 
payment acres for each covered commodity on a farm shall be equal to 85 
percent of the base acres for the covered commodity on the farm.
  (b) Effect of Minimal Payment Acres.--
          (1) Prohibition on payments.--Notwithstanding any other 
        provision of this title, a producer on a farm may not receive 
        price loss coverage payments or agriculture risk coverage 
        payments if the sum of the base acres on the farm is 10 acres 
        or less, as determined by the Secretary, unless the sum of the 
        base acres on the farm, when combined with the base acres of 
        other farms in which the producer has an interest, is more than 
        10 acres.
          (2) Exceptions.--Paragraph (1) does not apply to a producer 
        that is--
                  (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.
  (c) Effect of Planting Fruits and Vegetables.--
          (1) Reduction required.--In the manner provided in this 
        subsection, payment acres on a farm shall be reduced in any 
        crop year in which fruits, vegetables (other than mung beans 
        and pulse crops), or wild rice have been planted on base acres 
        on a farm.
          (2) Price loss coverage and agricultural risk coverage.--In 
        the case of price loss coverage payments and agricultural risk 
        coverage payments, the reduction under paragraph (1) shall be 
        the amount equal to the base acres planted to crops referred to 
        in such paragraph in excess of 15 percent of base acres.
          (3) Reduction exceptions.--No reduction to payment acres 
        shall be made under this subsection if--
                  (A) cover crops or crops referred to in paragraph (1) 
                are grown solely for conservation purposes and not 
                harvested for use or sale, as determined by the 
                Secretary; or
                  (B) in any region in which there is a history of 
                double-cropping covered commodities with crops referred 
                to in paragraph (1) and such crops were so double-
                cropped on the base acres, as determined by the 
                Secretary.
          (4) Effect of reduction.--For each crop year for which 
        fruits, vegetables (other than mung beans and pulse crops), or 
        wild rice are planted to base acres on a farm for which a 
        reduction in payment acres is made under this subsection, the 
        Secretary shall consider such base acres to be planted, or 
        prevented from planting, to a covered commodity for purposes of 
        any adjustment or reduction of base acres for the farm under 
        section 1112.
  (d) Unassigned Crop Base.--The Secretary shall maintain information 
on base acres allocated as unassigned crop base pursuant to--
          (1) section 1112(c)(3); or
          (2) section 1112(a) of the Agricultural Act of 2014 (7 U.S.C. 
        9012(a)).

SEC. 1115. PRODUCER ELECTION.

  (a) Election Required.--For the 2019 through 2023 crop years, all of 
the producers on a farm shall make a 1-time, irrevocable election to 
obtain on a covered-commodity-by-covered-commodity basis--
          (1) price loss coverage under section 1116; or
          (2) agriculture risk coverage under section 1117.
  (b) Effect of Failure to Make Unanimous Election.--If all the 
producers on a farm fail to make a unanimous election under subsection 
(a) for the 2019 crop year--
          (1) the Secretary shall not make any payments with respect to 
        the farm for the 2019 crop year under section 1116 or 1117; and
          (2) the producers on the farm shall be deemed to have elected 
        price loss coverage under section 1116 for all covered 
        commodities on the farm for the 2020 through 2023 crop years.
  (c) Prohibition on Reconstitution.--The Secretary shall ensure that 
producers on a farm do not reconstitute the farm to void or change an 
election made under this section.

SEC. 1116. PRICE LOSS COVERAGE.

  (a) Price Loss Coverage Payments.--If all of the producers on a farm 
make the election under subsection (a) of section 1115 to obtain price 
loss coverage or, subject to subsection (b)(1) of such section, are 
deemed to have made such election under subsection (b)(2) of such 
section, the Secretary shall make price loss coverage payments to 
producers on the farm on a covered-commodity-by-covered-commodity basis 
if the Secretary determines that, for any of the 2019 through 2023 crop 
years--
          (1) the effective price for the covered commodity for the 
        crop year; is less than
          (2) the effective reference price for the covered commodity 
        for the crop year.
  (b) Effective Price.--The effective price for a covered commodity for 
a crop year shall be the higher of--
          (1) the marketing year average price; or
          (2) the national average loan rate for a marketing assistance 
        loan for the covered commodity in effect for such crop year 
        under subtitle B.
  (c) Payment Rate.--The payment rate shall be equal to the difference 
between--
          (1) the effective reference price for the covered commodity; 
        and
          (2) the effective price determined under subsection (b) for 
        the covered commodity.
  (d) Payment Amount.--If price loss coverage payments are required to 
be provided under this section for any of the 2019 through 2023 crop 
years for a covered commodity, the amount of the price loss coverage 
payment to be paid to the producers on a farm for the crop year shall 
be equal to the product obtained by multiplying--
          (1) the payment rate for the covered commodity under 
        subsection (c);
          (2) the payment yield for the covered commodity; and
          (3) the payment acres for the covered commodity determined 
        under section 1114.
  (e) Time for Payments.--If the Secretary determines under this 
section that price loss coverage payments are required to be provided 
for the covered commodity, the payments shall be made beginning October 
1, or as soon as practicable thereafter, after the end of the 
applicable marketing year for the covered commodity.
  (f) Effective Price for Barley.--In determining the effective price 
for barley under subsection (b), the Secretary shall use the all-barley 
price.
  (g) Reference Price for Temperate Japonica Rice.--In order to reflect 
price premiums, the Secretary shall provide a reference price with 
respect to temperate japonica rice in an amount equal to the amount 
established under subparagraph (F) of section 1111(17), as adjusted by 
paragraph (7) of such section, multiplied by the ratio obtained by 
dividing--
          (1) the simple average of the marketing year average price of 
        medium grain rice from the 2012 through 2016 crop years; by
          (2) the simple average of the marketing year average price of 
        all rice from the 2012 through 2016 crop years.

SEC. 1117. AGRICULTURE RISK COVERAGE.

  (a) Agriculture Risk Coverage Payments.--If all of the producers on a 
farm make the election under section 1115(a) to obtain agriculture risk 
coverage, the Secretary shall make agriculture risk coverage payments 
to producers on the farm if the Secretary determines that, for any of 
the 2019 through 2023 crop years--
          (1) the actual crop revenue determined under subsection (b) 
        for the crop year; is less than
          (2) the agriculture risk coverage guarantee determined under 
        subsection (c) for the crop year.
  (b) Actual Crop Revenue.--The amount of the actual crop revenue for a 
county for a crop year of a covered commodity shall be equal to the 
product obtained by multiplying--
          (1) the actual average county yield per planted acre for the 
        covered commodity, as determined by the Secretary; and
          (2) the higher of--
                  (A) the marketing year average price; or
                  (B) the national average loan rate for a marketing 
                assistance loan for the covered commodity in effect for 
                such crop year under subtitle B.
  (c) Agriculture Risk Coverage Guarantee.--
          (1) In general.--The agriculture risk coverage guarantee for 
        a crop year for a covered commodity shall equal 86 percent of 
        the benchmark revenue.
          (2) Benchmark revenue.--The benchmark revenue shall be equal 
        to the product obtained by multiplying--
                  (A) subject to paragraph (3), the average historical 
                county yield as determined by the Secretary for the 
                most recent 5 crop years, excluding each of the crop 
                years with the highest and lowest yields; and
                  (B) subject to paragraph (4), the marketing year 
                average price for the most recent 5 crop years, 
                excluding each of the crop years with the highest and 
                lowest prices.
          (3) Yield conditions.--If the yield per planted acre for the 
        covered commodity or historical county yield per planted acre 
        for the covered commodity for any of the 5 most recent crop 
        years, as determined by the Secretary, is less than 70 percent 
        of the transitional yield, as determined by the Secretary, the 
        amounts used for any of those years in paragraph (2)(A) shall 
        be 70 percent of the transitional yield.
          (4) Reference price.--If the marketing year average price for 
        any of the 5 most recent crop years is lower than the reference 
        price for the covered commodity, the Secretary shall use the 
        reference price for any of those years for the amounts in 
        paragraph (2)(B).
  (d) Payment Rate.--The payment rate for a covered commodity in a 
county shall be equal to the lesser of--
          (1) the amount that--
                  (A) the agriculture risk coverage guarantee for the 
                crop year applicable under subsection (c); exceeds
                  (B) the actual crop revenue for the crop year 
                applicable under subsection (b); or
          (2) 10 percent of the benchmark revenue for the crop year 
        applicable under subsection (c).
  (e) Payment Amount.--If agriculture risk coverage payments are 
required to be paid for any of the 2019 through 2023 crop years, the 
amount of the agriculture risk coverage payment for the crop year shall 
be determined by multiplying--
          (1) the payment rate for the covered commodity determined 
        under subsection (d); and
          (2) the payment acres for the covered commodity determined 
        under section 1114.
  (f) Time for Payments.--If the Secretary determines that agriculture 
risk coverage payments are required to be provided for the covered 
commodity, payments shall be made beginning October 1, or as soon as 
practicable thereafter, after the end of the applicable marketing year 
for the covered commodity.
  (g) Additional Duties of the Secretary.--In providing agriculture 
risk coverage, the Secretary shall--
          (1) to the maximum extent practicable, use all available 
        information and analysis, including data mining, to check for 
        anomalies in the determination of agriculture risk coverage 
        payments;
          (2) calculate a separate actual crop revenue and agriculture 
        risk coverage guarantee for irrigated and nonirrigated covered 
        commodities;
          (3) assign an actual or benchmark county yield for each 
        planted acre for the crop year for the covered commodity--
                  (A) for a county for which county data collected by 
                the Risk Management Agency is sufficient for the 
                Secretary to offer a county-wide insurance product 
                using the actual average county yield determined by the 
                Risk Management Agency; or
                  (B) for a county not described in subparagraph (A) 
                using--
                          (i) other sources of yield information, as 
                        determined by the Secretary; or
                          (ii) the yield history of representative 
                        farms in the State, region, or crop reporting 
                        district, as determined by the Secretary; and
          (4) make payments, as applicable, to producers using the 
        payment rate of the county of the physical location of the base 
        acres of a farm.

SEC. 1118. PRODUCER AGREEMENTS.

  (a) Compliance With Certain Requirements.--
          (1) Requirements.--Before the producers on a farm may receive 
        payments under this subtitle 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 
                requirements 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 effectively control noxious weeds and 
                otherwise maintain the land in accordance with sound 
                agricultural practices, as determined by the Secretary; 
                and
                  (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 an agricultural or conserving use, and 
                not for a nonagricultural commercial, industrial, or 
                residential use, as determined by the Secretary.
          (2) Compliance.--The Secretary may issue such rules as the 
        Secretary considers necessary to ensure producer compliance 
        with the requirements of paragraph (1).
          (3) Modification.--At the request of the transferee or owner, 
        the Secretary may modify the requirements of this subsection 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 for which payments under this 
                subtitle are provided shall result in the termination 
                of the payments, 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 payment under 
        this subtitle 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.--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.
  (d) Effect of Inaccurate Reports.--No penalty with respect to 
benefits under this subtitle or subtitle B shall be assessed against a 
producer on a farm for an inaccurate acreage report unless the 
Secretary determines that the producer on the farm knowingly and 
willfully falsified the acreage report.
  (e) Tenants and Sharecroppers.--In carrying out this subtitle, the 
Secretary shall provide adequate safeguards to protect the interests of 
tenants and sharecroppers.
  (f) Sharing of Payments.--The Secretary shall provide for the sharing 
of payments made under this subtitle among the producers on a farm on a 
fair and equitable basis.

                      Subtitle B--Marketing Loans

SEC. 1201. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR 
                    LOAN COMMODITIES.

  (a) Definition of Loan Commodity.--In this subtitle, the term ``loan 
commodity'' means wheat, corn, grain sorghum, barley, oats, upland 
cotton, extra long staple cotton, long grain rice, medium grain rice, 
peanuts, soybeans, other oilseeds, graded wool, nongraded wool, mohair, 
honey, dry peas, lentils, small chickpeas, and large chickpeas.
  (b) Nonrecourse Loans Available.--
          (1) In general.--For each of the 2019 through 2023 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 prescribed by 
        the Secretary and at the loan rate established under section 
        1202 for the loan commodity.
  (c) Eligible Production.--The producers on a farm shall be eligible 
for a marketing assistance loan under subsection (b) for any quantity 
of a loan commodity produced on the farm.
  (d) Compliance With Conservation and Wetlands Requirements.--As a 
condition of the receipt of a marketing assistance loan under 
subsection (b), 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.
  (e) Special Rules for Peanuts.--
          (1) In general.--This subsection shall apply only to 
        producers of peanuts.
          (2) Options for obtaining loan.--A marketing assistance loan 
        under this section, and loan deficiency payments under section 
        1205, may be obtained at the option of the producers on a farm 
        through--
                  (A) a designated marketing association or marketing 
                cooperative of producers that is approved by the 
                Secretary; or
                  (B) the Farm Service Agency.
          (3) Storage of loan peanuts.--As a condition on the approval 
        by the Secretary 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 the storage on a nondiscriminatory 
                basis; and
                  (B) to comply with such additional requirements as 
                the Secretary considers appropriate to accomplish the 
                purposes of this section and promote fairness in the 
                administration of the benefits of this section.
          (4) Storage, handling, and associated costs.--
                  (A) In general.--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.
          (5) 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.
          (6) Reimbursable agreements and payment of administrative 
        expenses.--The Secretary may implement any reimbursable 
        agreements or provide for the payment of administrative 
        expenses under this subsection only in a manner that is 
        consistent with those activities in regard to other loan 
        commodities.

SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE LOANS.

  (a) In General.--For purposes of each of the 2019 through 2023 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)(A) Subject to subparagraphs (B) and (C), in the case of 
        base quality of upland cotton, the simple average of the 
        adjusted prevailing world price for the 2 immediately preceding 
        marketing years, as determined by the Secretary and announced 
        October 1 preceding the next domestic planting.
          (B) Except as provided in subparagraph (C), the loan rate 
        determined under subparagraph (A) may not equal less than an 
        amount equal to 98 percent of the loan rate for base quality of 
        upland cotton for the preceding year.
          (C) The loan rate determined under subparagraph (A) may not 
        be equal to an amount--
                  (i) less than $0.45 per pound; or
                  (ii) more than $0.52 per pound.
          (7) In the case of extra long staple cotton, $0.95 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 
        hundredweight.
          (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 hundredweight.
          (15) In the case of large chickpeas, $11.28 per 
        hundredweight.
          (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.
          (20) In the case of peanuts, $355 per ton.
  (b) 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 subsection (a)(11).
  (c) Rule for Seed Cotton.--
          (1) In general.--For purposes of sections 1116(b)(2) and 
        1117(b)(2)(B) only, seed cotton shall be deemed to have a loan 
        rate equal to $0.25 per pound.
          (2) Rule of construction.--Nothing in this subsection shall 
        be construed to authorize nonrecourse marketing assistance 
        loans under this subtitle for seed cotton.

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, peanuts 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 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));
          (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 
                benefits 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 
                commodity by the Federal Government;
                  (C) minimize the cost incurred by the Federal 
                Government 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 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)); 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 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 regulation--
          (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 Middling (M) 1\3/32\-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 
                beginning on the date of enactment of this Act and 
                ending on July 31, 2024, if the Secretary determines 
                the adjustment is necessary--
                          (i) to minimize potential loan forfeitures;
                          (ii) to minimize the accumulation of stocks 
                        of upland cotton by the Federal Government;
                          (iii) to ensure that upland cotton produced 
                        in the United States can be marketed freely and 
                        competitively, both domestically and 
                        internationally; and
                          (iv) to ensure an appropriate transition 
                        between current-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 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)); or
          (2) the repayment rate established for oil sunflower seed.
  (g) Payment of Cotton Storage Costs.--Effective for each of the 2019 
through 2023 crop years, the Secretary shall make cotton storage 
payments available 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.
  (h) Repayment Rate for Peanuts.--The Secretary shall permit producers 
on a farm to repay a marketing assistance loan for peanuts under 
section 1201 at a rate that is the lesser of--
          (1) the loan rate established for peanuts under section 
        1202(a)(20), 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) a rate that the Secretary determines will--
                  (A) minimize potential loan forfeitures;
                  (B) minimize the accumulation of stocks of peanuts by 
                the Federal Government;
                  (C) minimize the cost incurred by the Federal 
                Government in storing peanuts; and
                  (D) allow peanuts produced in the United States to be 
                marketed freely and competitively, both domestically 
                and internationally.
  (i) Authority To Temporarily Adjust Repayment Rates.--
          (1) Adjustment authority.--In the event of a severe 
        disruption to marketing, transportation, or related 
        infrastructure, 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 
        producers on a farm that, although eligible to obtain a 
        marketing assistance loan under section 1201 with respect to a 
        loan commodity, 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 
                section 1201.
                  (B) Loan deficiency payment.--Effective for each of 
                the 2019 through 2023 crop years, the Secretary may 
                make loan deficiency payments available under this 
                section to producers 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 commodity or 
commodity referred to in subsection (a)(2) shall be equal to the 
product obtained 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--
                  (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 payment 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 payment.

SEC. 1206. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED 
                    ACREAGE.

  (a) Eligible Producers.--
          (1) In general.--Effective for each of the 2019 through 2023 
        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 each of the 
        2019 through 2023 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--
                          (i) the quantity of the grazed acreage on the 
                        farm with respect to which the producer elects 
                        to forgo harvesting of wheat, barley, or oats; 
                        and
                          (ii)(I) the payment yield in effect for the 
                        calculation of price loss coverage under 
                        section 1116 with respect to that loan 
                        commodity on the farm;
                          (II) in the case of a farm for which 
                        agriculture risk coverage is elected under 
                        section 1117, the payment yield that would 
                        otherwise be in effect with respect to that 
                        loan commodity on the farm in the absence of 
                        such election; or
                          (III) in the case of a farm for which no 
                        payment yield is otherwise established for that 
                        loan commodity on the farm, an appropriate 
                        yield established by the Secretary in a manner 
                        consistent with section 1113(b).
          (2) Grazing of triticale acreage.--The amount of a payment 
        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 harvesting of triticale; and
                          (ii)(I) the payment yield in effect for the 
                        calculation of price loss coverage under 
                        subtitle A with respect to wheat on the farm;
                          (II) in the case of a farm for which 
                        agriculture risk coverage is elected under 
                        section 1117, the payment yield that would 
                        otherwise be in effect for wheat on the farm in 
                        the absence of such election; or
                          (III) in the case of a farm for which no 
                        payment yield is otherwise established for 
                        wheat on the farm, an appropriate yield 
                        established by the Secretary in a manner 
                        consistent with section 1113(b).
  (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 Noninsured Crop 
Assistance.--A 2019 through 2023 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.--
          (1) Definition of special import quota.--In this subsection, 
        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 beginning on August 1, 2019, 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) 1\3/32\-inch upland cotton, 
                delivered to a definable and significant international 
                market, as determined 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 the consumption 
        during a 1-week period of cotton by domestic mills at the 
        seasonally adjusted average rate of the most recent 3 months 
        for which official data of the Department of Agriculture are 
        available or, in the absence of sufficient data, as estimated 
        by the Secretary.
          (4) Application.--The quota shall apply to upland cotton 
        purchased not later than 90 days after the date of the 
        Secretary'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 weeks' 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) 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 
                        official data of the Department of Agriculture 
                        are available or, in the absence of sufficient 
                        data, as estimated by the Secretary; 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.
                  (B) 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.
                  (C) Supply.--The term ``supply'' means, using the 
                latest official data of the Department of Agriculture--
                          (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;
                          (ii) production of the current crop; and
                          (iii) imports to the latest date available 
                        during the marketing year.
          (2) Program.--The President shall carry out an import quota 
        program that provides that whenever the Secretary determines 
        and announces that the average price of the base quality of 
        upland cotton, as determined by the Secretary, in the 
        designated 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 official data of the 
                Department of Agriculture are available or, in the 
                absence of sufficient data, as estimated by the 
                Secretary.
                  (B) Quantity of 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 established 
                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).
  (c) Economic Adjustment Assistance for Textile Mills.--
          (1) In general.--Subject to paragraph (2), the Secretary 
        shall, on a monthly basis, make economic adjustment assistance 
        available 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.--The value of the assistance 
        provided under paragraph (1) shall be 3.15 cents per pound.
          (3) Allowable purposes.--Economic adjustment assistance 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 determines, 
        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 for the repayment of the assistance to the 
                Secretary, plus interest, as determined by the 
                Secretary; and
                  (B) ineligible to receive assistance under this 
                subsection 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 enactment of this Act 
through July 31, 2024, 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 
        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 113 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.

  (a) High Moisture Feed Grains.--
          (1) Definition of high moisture state.--In this subsection, 
        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 2019 through 
        2023 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, certified 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 certified commercial scales 
                        from which certified scale tickets may be 
                        obtained within reasonable proximity of harvest 
                        operation;
                  (C) certify that the producers on the farm 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 harvested 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 deadlines established by the Secretary.
          (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 farm of the 
                producer; by
                  (B) the lower of--
                          (i) the payment yield in effect for the 
                        calculation of price loss coverage under 
                        section 1116, or the payment yield deemed to be 
                        in effect or established under subclause (II) 
                        or (III) of section 1206(b)(1)(B)(ii), with 
                        respect to corn or grain sorghum on a field 
                        that is similar to the field from which the 
                        corn or grain sorghum referred to in 
                        subparagraph (A) was obtained; or
                          (ii) the actual yield of corn or grain 
                        sorghum on a field, as determined by the 
                        Secretary, that is similar to the field from 
                        which the corn or grain sorghum referred to in 
                        subparagraph (A) was obtained.
  (b) Recourse Loans Available for Seed Cotton.--For each of the 2019 
through 2023 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) Recourse Loans Available for Contaminated Commodities.--In the 
case of a loan commodity that is ineligible for 100 percent of the 
nonrecourse marketing loan rate in the county due to a determination 
that the commodity is contaminated yet still merchantable, for each of 
the 2019 through 2023 crops of such loan commodity, the Secretary shall 
make available recourse commodity loans, at the rate provided under 
section 1202, on any production.
  (d) 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 Secretary 
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 subsection (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 subtitle C.
  (c) Cost Saving Option.--In carrying out this title, the Secretary 
shall consider methods to enhance the support, loan, or assistance 
provided under this title in a manner that further minimizes the 
potential for forfeitures.
  (d) 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.
  (e) 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) Types of adjustments.--Loan rate adjustments under 
        paragraph (1) may include--
                  (A) the use of non-spot market price data, in 
                addition to spot market price data, that would enhance 
                the accuracy of the price information used in 
                determining quality adjustments under this subsection;
                  (B) adjustments in the premiums or discounts 
                associated 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
                  (C) such other adjustments as the Secretary 
                determines 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 
                adjustments) 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 implemented 
        pursuant to this subsection and may make further adjustments to 
        the administration of the loan program for upland cotton, by 
        revoking or revising any adjustment taken under paragraph (2).
  (f) 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).
  (g) Continuation of Authority.--Section 166 of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7286) is 
amended by striking ``and Subtitle B of title I of the Agricultural Act 
of 2014'' each place it appears and inserting ``subtitle B of title I 
of the Agricultural Act of 2014, and subtitle B of title I of the 
Agriculture and Nutrition Act of 2018''.

                           Subtitle C--Sugar

SEC. 1301. SUGAR POLICY.

  (a) Continuation of Current Program and Loan Rates.--
          (1) Sugarcane.--Section 156(a)(4) of the Federal Agriculture 
        Improvement and Reform Act of 1996 (7 U.S.C. 7272(a)(4)) is 
        amended by striking ``2018'' and inserting ``2023''.
          (2) Sugar beets.--Section 156(b)(2) of the Federal 
        Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
        7272(b)(2)) is amended by striking ``2018'' and inserting 
        ``2023''.
          (3) Effective period.--Section 156(i) of the Federal 
        Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
        7272(i)) is amended by striking ``2018'' and inserting 
        ``2023''.
  (b) Flexible Marketing Allotments for Sugar.--
          (1) Sugar estimates.--Section 359b(a)(1) of the Agricultural 
        Adjustment Act of 1938 (7 U.S.C. 1359bb(a)(1)) is amended by 
        striking ``2018'' and inserting ``2023''.
          (2) Effective period.--Section 359l(a) of the Agricultural 
        Adjustment Act of 1938 (7 U.S.C. 1359ll(a)) is amended by 
        striking ``2018'' and inserting ``2023''.

   Subtitle D--Dairy Risk Management Program and Other Dairy Programs

SEC. 1401. DAIRY RISK MANAGEMENT PROGRAM FOR DAIRY PRODUCERS.

  (a) Review of Data Used in Calculation of Average Feed Cost.--Not 
later than 60 days after the date of the enactment of this Act, the 
Secretary of Agriculture 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 evaluating the extent to 
which the average cost of feed used by a dairy operation to produce a 
hundredweight of milk calculated by the Secretary as required by 
section 1402(a) of the Agricultural Act of 2014 (7 U.S.C. 9052(a)) is 
representative of actual dairy feed costs.
  (b) Corn Silage Report.--Not later than 1 year after the date of the 
enactment of this Act, the Secretary of Agriculture 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 detailing the costs incurred by dairy operations in the use of 
corn silage as feed, and the difference between the feed cost of corn 
silage and the feed cost of corn.
  (c) Collection of Alfalfa Hay Data.--Not later than 120 days after 
the date of the enactment of this Act, the Secretary of Agriculture, 
acting through the National Agricultural Statistics Service, shall 
revise monthly price survey reports to include prices for high-quality 
alfalfa hay in the top five milk producing States, as measured by 
volume of milk produced during the previous month.
  (d) Registration of Multiproducer Dairy Operations.--Section 1404(b) 
of the Agricultural Act of 2014 (7 U.S.C. 9054(b)) is amended--
          (1) in paragraph (3), by striking ``If'' and inserting 
        ``Subject to paragraph (5), if''; and
          (2) by adding at the end the following new paragraph:
          ``(5) Certain multiproducer dairy operation exclusions.--
                  ``(A) Exclusion of low-percentage owners.--To promote 
                administrative efficiency in the dairy risk management 
                program, a multiproducer dairy operation covered by 
                paragraph (3) may elect, at the option of the 
                multiproducer dairy operation, to exclude information 
                from the registration process regarding any individual 
                owner of the multiproducer dairy operation that--
                          ``(i) holds less than a five percent 
                        ownership interest in the multiproducer dairy 
                        operation; or
                          ``(ii) is entitled to less than five percent 
                        of the income, revenue, profit, gain, loss, 
                        expenditure, deduction, or credit of the 
                        multiproducer dairy operation for any given 
                        year.
                  ``(B) Effect of exclusion on dairy risk management 
                payments.--To the extent that an individual owner of a 
                multiproducer dairy operation is excluded under 
                subparagraph (A) from the registration of the 
                multiproducer dairy operation, any dairy risk 
                management payment made to the multiproducer dairy 
                operation shall be reduced by an amount equal to the 
                greater of the following:
                          ``(i) The amount determined by multiplying 
                        the dairy risk management payment otherwise 
                        determined under section 1406 by the total 
                        percentage of ownership interests represented 
                        by the excluded owners.
                          ``(ii) The amount determined by multiplying 
                        the dairy risk management payment otherwise 
                        determined under section 1406 by the total 
                        percentage of the income, revenue, profit, 
                        gain, loss, expenditure, deduction, or credit 
                        of the multiproducer dairy operation 
                        represented by the excluded owners.''.
  (e) Relation to Livestock Gross Margin for Dairy Program.--Section 
1404(d) of the Agricultural Act of 2014 (7 U.S.C. 9054(d)) is amended--
          (1) by striking ``but not both'' and inserting ``but not on 
        the same production'';
          (2) by striking ``or the'' and inserting ``and the''; and
          (3) by striking ``margin protection program'' and inserting 
        ``dairy risk management program''.
  (f) Production History of Participating Dairy Operators.--
          (1) Continued use of prior dairy operation production 
        history.--Section 1405(a)(1) of the Agricultural Act of 2014 (7 
        U.S.C. 9055(a)(1)) is amended by adding at the end the 
        following new sentence: ``The production history of a 
        participating dairy operation shall continue to be based on 
        annual milk marketings during the 2011, 2012, or 2013 calendar 
        year notwithstanding the operation of the dairy risk management 
        program through 2023.''.
          (2) Adjustment.--Section 1405(a) of the Agricultural Act of 
        2014 (7 U.S.C. 9055(a)) is amended--
                  (A) in paragraph (2), by striking ``In subsequent 
                years'' and inserting ``In the subsequent calendar 
                years ending before January 1, 2019''; and
                  (B) in paragraph (3), by inserting ``, as 
                applicable'' after ``paragraph (2)''.
          (3) Limitation on changes to business structure.--Section 
        1405 of the Agricultural Act of 2014 (7 U.S.C. 9055) is amended 
        by adding at the end the following new subsection:
  ``(d) Limitation on Changes to Business Structure.--The Secretary may 
not make dairy risk management payments to a participating dairy 
operation if the Secretary determines that the participating dairy 
operation has reorganized the structure of such operation solely for 
the purpose of qualifying as a new operation under subsection (b).''.
  (g) Dairy Risk Management Payments.--
          (1) Election of coverage level threshold and coverage 
        percentage.--Section 1406 of the Agricultural Act of 2014 (7 
        U.S.C. 9056) is amended--
                  (A) in subsection (a), by striking ``annually''; and
                  (B) by adding at the end the following new 
                subsection:
  ``(d) Deadline for Election; Duration.--Not later than 90 days after 
the date of the enactment of this subsection, each participating dairy 
operation shall elect a coverage level threshold under subsection 
(a)(1) and a coverage percentage under subsection (a)(2) to be used to 
determine dairy risk management payments. This election shall remain in 
effect for the participating dairy operation for the duration of the 
dairy risk management program, as specified in section 1409.''.
          (2) Additional coverage level thresholds for certain 
        producers.--Section 1406(a)(1) of the Agricultural Act of 2014 
        (7 U.S.C. 9056(a)(1)) is amended by inserting after ``or 
        $8.00'' the following: ``(and in the case of production subject 
        to premiums under section 1407(b), also $8.50 or $9.00)''.
          (3) Election of production history coverage percentage.--
        Section 1406(a)(2) of the Agricultural Act of 2014 (7 U.S.C. 
        9056(a)(2)) is amended by striking ``beginning with 25 percent 
        and not exceeding'' and inserting ``but not to exceed''.
  (h) Premiums for Participation in Dairy Risk Management Program.--
          (1) Premium per hundredweight for first 5 million pounds of 
        production.--Section 1407(b) of the Agricultural Act of 2014 (7 
        U.S.C. 9057(b)) is amended--
                  (A) by striking paragraph (2) and inserting the 
                following new paragraph:
          ``(2) Producer premiums.--The following annual premiums 
        apply:

 
------------------------------------------------------------------------
             ``Coverage Level                     Premium per Cwt.
------------------------------------------------------------------------
$4.00                                       None
$4.50                                       $0.002
$5.00                                       $0.005
$5.50                                       $0.008
$6.00                                       $0.010
$6.50                                       $0.017
$7.00                                       $0.041
$7.50                                       $0.057
$8.00                                       $0.090
$8.50                                       $0.120
$9.00                                       $0.170''; and
------------------------------------------------------------------------


                ''; and  (B) by striking paragraph (3).
          (2) Technical correction.--Section 1407(d) of the 
        Agricultural Act of 2014 (7 U.S.C. 9057(d)) is amended in the 
        subsection heading by striking ``Time for'' and inserting 
        ``Method of''.
  (i) Conforming Amendments Related to Program Name.--
          (1) Heading.--The heading of part I of subtitle D of title I 
        of the Agricultural Act of 2014 (Public Law 113-79; 128 Stat. 
        688) is amended to read as follows:

     ``PART I--DAIRY RISK MANAGEMENT PROGRAM FOR DAIRY PRODUCERS''.

          (2) Definitions.--Section 1401 of the Agricultural Act of 
        2014 (7 U.S.C. 9051) is amended--
                  (A) by striking paragraphs (5) and (6) and inserting 
                the following new paragraphs:
          ``(5) Dairy risk management program.--The terms `dairy risk 
        management program' and `program' mean the dairy risk 
        management program required by section 1403.
          ``(6) Dairy risk management payment.--The term `dairy risk 
        management payment' means a payment made to a participating 
        dairy operation under the program pursuant to section 1406.''; 
        and
                  (B) in paragraphs (7) and (8), by striking ``margin 
                protection'' both places it appears.
          (3) Calculation of actual dairy production margin.--Section 
        1402(b)(1) of the Agricultural Act of 2014 (7 U.S.C. 
        9052(b)(1)) is amended by striking ``margin protection'' and 
        inserting ``dairy risk management''.
          (4) Program operation.--Section 1403 of the Agricultural Act 
        of 2014 (7 U.S.C. 9053) is amended--
                  (A) in the section heading, by striking 
                ``establishment of margin protection'' and inserting 
                ``dairy risk management'';
                  (B) by striking ``Not later than September 1, 2014, 
                the Secretary shall establish and administer a margin 
                protection program'' and inserting ``The Secretary 
                shall continue to administer a dairy risk management 
                program''; and
                  (C) by striking ``margin protection payment'' both 
                places it appears and inserting ``dairy risk management 
                payment''.
          (5) Participation.--Section 1404 of the Agricultural Act of 
        2014 (7 U.S.C. 9054) is amended--
                  (A) in the section heading, by striking ``margin 
                protection'';
                  (B) in subsection (a), by striking ``margin 
                protection program to receive margin protection 
                payments'' and inserting ``dairy risk management 
                program to receive dairy risk management payments''; 
                and
                  (C) in subsections (b) and (c), by striking ``margin 
                protection'' each place it appears.
          (6) Production history.--Section 1405 of the Agricultural Act 
        of 2014 (7 U.S.C. 9055) is amended--
                  (A) in subsection (a)(1)--
                          (i) by striking ``margin protection program'' 
                        the first place it appears and inserting 
                        ``dairy risk management program''; and
                          (ii) by striking ``margin protection'' the 
                        second place it appears; and
                  (B) in subsection (c), by striking ``margin 
                protection''.
          (7) Payments.--Section 1406 of the Agricultural Act of 2014 
        (7 U.S.C. 9056) is amended--
                  (A) in the section heading, by striking ``margin 
                protection'' and inserting ``dairy risk management'';
                  (B) by striking ``margin protection'' each place it 
                appears and inserting ``dairy risk management''; and
                  (C) in the heading of subsection (c), by striking 
                ``Margin Protection''.
          (8) Premiums.--Section 1407 of the Agricultural Act of 2014 
        (7 U.S.C. 9057) is amended--
                  (A) in the section heading, by striking ``margin 
                protection'' and inserting ``dairy risk management'';
                  (B) in subsection (a), by striking ``margin 
                protection program'' and inserting ``dairy risk 
                management program''; and
                  (C) in subsection (e), by striking ``margin 
                protection'' both places it appears.
          (9) Penalties.--Section 1408 of the Agricultural Act of 2014 
        (7 U.S.C. 9058) is amended by striking ``margin protection'' 
        both places it appears and inserting ``dairy risk management''.
          (10) Administration and enforcement.--Section 1410 of the 
        Agricultural Act of 2014 (7 U.S.C. 9060) is amended by striking 
        ``margin protection'' each place it appears and inserting 
        ``dairy risk management''.
  (j) Effective Date.--The amendments made by this section shall take 
effect 60 days after the date of the enactment of this Act.
  (k) Duration.--Section 1409 of the Agricultural Act of 2014 (7 U.S.C. 
9059) is amended--
          (1) by striking ``margin protection'' and inserting ``dairy 
        risk management''; and
          (2) by striking ``2018'' and inserting ``2023''.

SEC. 1402. CLASS I SKIM MILK PRICE.

  (a) Class I Skim Milk Price.--Section 8c(5)(A) of the Agricultural 
Adjustment Act (7 U.S.C. 608c(5)(A)), reenacted with amendments by the 
Agricultural Marketing Agreement Act of 1937, is amended by striking 
``Throughout the 2-year period'' and all that follows through ``such 
handlers.'' and inserting the following new sentence: ``Throughout the 
2-year period beginning on the effective date of this sentence (and 
subsequent to such 2-year period unless modified by amendment to the 
order involved), for purposes of determining prices for milk of the 
highest use classification, the Class I skim milk price per 
hundredweight specified in section 1000.50(b) of title 7, Code of 
Federal Regulations (or successor regulation), shall be the sum of the 
adjusted Class I differential specified in section 1000.52 of such 
title 7, plus the adjustment to Class I prices specified in sections 
1005.51(b), 1006.51(b), and 1007.51(b) of such title 7 (or successor 
regulation), plus the simple average of the advanced pricing factors 
computed in sections 1000.50(q)(1) and 1000.50(q)(2) of such title 7 
(or successor regulation), plus $0.74.''.
  (b) Effective Date and Implementation.--
          (1) Effective date.--The amendment made by subsection (a) 
        shall take effect on the first day of the first month beginning 
        more than 120 days after the date of the enactment of this Act.
          (2) Implementation.--Implementation of the amendment made by 
        subsection (a) is not subject to any of the following:
                  (A) The notice and comment provisions of section 553 
                of title 5, United States Code.
                  (B) The notice and hearing requirements of paragraphs 
                (3) and (4) of section 8c of the Agricultural 
                Adjustment Act (7 U.S.C. 608c), reenacted with 
                amendments by the Agricultural Marketing Agreement Act 
                of 1937.
                  (C) The order amendment requirements of section 
                8c(17) of such Act (7 U.S.C. 608c(17)).
                  (D) A referendum under section 8c(19) of such Act (7 
                U.S.C. 608c(19)).

SEC. 1403. EXTENSION OF DAIRY FORWARD PRICING PROGRAM.

  Section 1502(e) of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 8772(e)) is amended--
          (1) in paragraph (1), by striking ``2018'' and inserting 
        ``2023''; and
          (2) in paragraph (2), by striking ``2021'' and inserting 
        ``2026''.

SEC. 1404. EXTENSION OF DAIRY INDEMNITY PROGRAM.

  Section 3 of Public Law 90-484 (7 U.S.C. 450l) is amended by striking 
``2018'' and inserting ``2023''.

SEC. 1405. EXTENSION OF DAIRY PROMOTION AND RESEARCH PROGRAM.

  Section 113(e)(2) of the Dairy Production Stabilization Act of 1983 
(7 U.S.C. 4504(e)(2)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 1406. REPEAL OF DAIRY PRODUCT DONATION PROGRAM.

  Section 1431 of the Agricultural Act of 2014 (7 U.S.C. 9071) is 
repealed.

   Subtitle E--Supplemental Agricultural Disaster Assistance Programs

SEC. 1501. MODIFICATION OF SUPPLEMENTAL AGRICULTURAL DISASTER 
                    ASSISTANCE.

  (a) Covered Livestock Losses for Livestock Indemnity Payments.--
Section 1501(b) of the Agricultural Act of 2014 (7 U.S.C. 9081(b)) is 
amended--
          (1) in paragraph (1)--
                  (A) by striking ``or'' at the end of subparagraph 
                (A);
                  (B) by striking the period at the end of subparagraph 
                (B) and inserting ``; or''; and
                  (C) by adding at the end the following new 
                subparagraph:
                  ``(C) disease that, as determined by the Secretary--
                          ``(i) is caused or transmitted by a vector; 
                        and
                          ``(ii) is not susceptible to control by 
                        vaccination or acceptable management 
                        practices.''; and
          (2) in paragraph (4), by striking ``A payment'' and inserting 
        ``Payment reductions.--A payment''.
  (b) Payment Limitations and Exclusion of Gross Income Limitation.--
Section 1501(f) of the Agricultural Act of 2014 (7 U.S.C. 9081(f)) is 
amended--
          (1) in paragraph (2)--
                  (A) by striking ``this section (excluding payments 
                received under subsections (b) and (e))'' and inserting 
                ``subsection (c)''; and
                  (B) by striking ``joint venture or general 
                partnership'' and inserting ``qualified pass through 
                entity (as such term is defined in paragraph (5) of 
                section 1001(a) of the Food Security Act of 1985 (7 
                U.S.C. 1308(a)))''; and
          (2) by adding at the end the following new paragraph:
          ``(4) Exclusion of gross income limitation.--For purposes of 
        this section only, subsection (b) of section 1001D of the Food 
        Security Act of 1985 (7 U.S.C. 1308-3a) shall not apply to a 
        person or legal entity if 75 percent or greater of the average 
        adjusted gross income (as such term is defined in subsection 
        (a) of such section) of such person or legal entity derives 
        from farming, ranching, or silviculture activities.''.
  (c) Application of Amendments.--Section 1501 of the Agricultural Act 
of 2014 (7 U.S.C. 9081), as amended by this section, shall apply with 
respect to losses described in such section 1501 incurred on or after 
January 1, 2017.

                       Subtitle F--Administration

SEC. 1601. ADMINISTRATION GENERALLY.

  (a) Use of Commodity Credit Corporation.--The Secretary shall use the 
funds, facilities, 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 
        subsection, not later than 90 days after the date of enactment 
        of this Act, the Secretary and the Commodity Credit 
        Corporation, as appropriate, shall promulgate such regulations 
        as are necessary to implement this title and the amendments 
        made by this title.
          (2) Procedure.--The promulgation of the regulations and 
        administration of this title and the amendments made by this 
        title shall be made without regard to--
                  (A) the notice and comment provisions of section 553 
                of title 5, United States Code; and
                  (B) chapter 35 of title 44, United States Code 
                (commonly known as the ``Paperwork Reduction Act'').
          (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.
  (d) Adjustment Authority Related to Trade Agreements Compliance.--
          (1) Required determination; adjustment.--If the Secretary 
        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 the 
        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 Representatives and 
        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.

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 
2019 through 2023 crops of covered commodities (as defined in section 
1111), cotton, and sugar and shall not be applicable to milk during the 
period beginning on the date of enactment of this Act through December 
31, 2023:
          (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.--
          (1) Applicability.--The following provisions of the 
        Agricultural Act of 1949 shall not be applicable to the 2019 
        through 2023 crops of covered commodities (as defined in 
        section 1111), cotton, and sugar and shall not be applicable to 
        milk during the period beginning on the date of enactment of 
        this Act through December 31, 2023:
                  (A) Section 101 (7 U.S.C. 1441).
                  (B) Section 103(a) (7 U.S.C. 1444(a)).
                  (C) Section 105 (7 U.S.C. 1444b).
                  (D) Section 107 (7 U.S.C. 1445a).
                  (E) Section 110 (7 U.S.C. 1445e).
                  (F) Section 112 (7 U.S.C. 1445g).
                  (G) Section 115 (7 U.S.C. 1445k).
                  (H) Section 201 (7 U.S.C. 1446).
                  (I) Title III (7 U.S.C. 1447 et seq.).
                  (J) Title IV (7 U.S.C. 1421 et seq.), other than 
                sections 404, 412, and 416 (7 U.S.C. 1424, 1429, and 
                1431).
                  (K) Title V (7 U.S.C. 1461 et seq.).
                  (L) Title VI (7 U.S.C. 1471 et seq.).
          (2) Clarifying amendments.--Section 201(a) of the 
        Agricultural Act of 1949 (7 U.S.C. 1446(a)) is amended--
                  (A) by inserting ``, crambe, cottonseed, sesame 
                seed'' after ``mustard seed'';
                  (B) by inserting ``dry peas, lentils, small 
                chickpeas, large chickpeas, graded wool, nongraded 
                wool, mohair, peanuts,'' after ``honey,''; and
                  (C) by striking ``in accordance with this title'' and 
                inserting ``consistent with the percentage levels of 
                support provided under subsection (c), except as 
                otherwise provided for under subsection (b)''.
  (c) Suspension of Certain Quota Provisions.--The joint resolution 
entitled ``A joint resolution relating to corn and wheat marketing 
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 2019 
through 2023.

SEC. 1603. PAYMENT LIMITATIONS.

  (a) In General.--Section 1001 of the Food Security Act of 1985 (7 
U.S.C. 1308) is amended--
          (1) in subsection (a)--
                  (A) in paragraph (1) by striking ``section 1001 of 
                the Food, Conservation, and Energy Act of 2008'' and 
                inserting ``section 1111 of the Agriculture and 
                Nutrition Act of 2018'';
                  (B) in paragraph (2), by inserting ``first cousin, 
                niece, nephew,'' after ``sibling,'';
                  (C) by redesignating paragraph (5) as (6); and
                  (D) by inserting after paragraph (4) the following 
                new paragraph:
          ``(5) Qualified pass through entity.--The term `qualified 
        pass through entity' means a partnership (within the meaning of 
        subchapter K of chapter 1 of the Internal Revenue Code of 1986 
        and including a limited liability company that does not 
        affirmatively elect to be treated as a corporation), an S 
        corporation (as defined in section 1361 of such Code), or a 
        joint venture.'';
          (2) in subsections (b) and (c) by striking ``entity'' through 
        ``Agricultural Act of 2014'' in each place it appears and 
        inserting ``entity (except a qualified pass through entity) for 
        any crop year under sections 1116 and 1117 of the Agriculture 
        and Nutrition Act of 2018'';
          (3) in subsection (d) by striking ``associated'' and all that 
        follows through the end of the sentence and inserting 
        ``associated with subtitle B of title I of the Agriculture and 
        Nutrition Act of 2018.''; and
          (4) in subsection (f), by adding the end the following new 
        paragraph:
          ``(9) Administration of reduction.--The Secretary shall apply 
        any order described in section 1614(d)(1) of the Agricultural 
        Act of 2014 (7 U.S.C. 9097(d)(1)) to payments under sections 
        1116 and 1117 of the Agriculture and Nutrition Act of 2018 
        prior to applying payment limitations under this section.''.
  (b) Treatment of Qualified Pass Through Entities.--Section 
1001(e)(3)(B)(ii) of the Food Security Act of 1985 (7 U.S.C. 
1308(e)(3)(B)(ii)) is amended--
          (1) in the heading, by striking ``joint ventures and general 
        partnerships'' and inserting ``qualified pass through 
        entities'';
          (2) by striking ``joint venture or a general partnership'' 
        and inserting ``qualified pass through entity'';
          (3) by striking ``joint ventures and general partnerships'' 
        and inserting ``qualified pass through entities''; and
          (4) by striking ``joint venture or general partnership'' and 
        inserting ``qualified pass through entity''.
  (c) Conforming Amendments.--
          (1) Treatment of federal agencies and state and local 
        governments.--Section 1001(f) of the Food Security Act of 1985 
        (7 U.S.C. 1308(f)) is amended--
                  (A) in paragraph (5)(A), by striking ``or title XII'' 
                and inserting ``title I of the Agriculture and 
                Nutrition Act of 2018, or title XII''; and
                  (B) in paragraph (6)(A), by striking ``or title XII'' 
                and inserting ``title I of the Agriculture and 
                Nutrition Act of 2018, or title XII''.
          (2) Foreign persons ineligible.--Section 1001C(a) of the Food 
        Security Act of 1985 (7 U.S.C. 1308-3(a)) is amended by 
        inserting ``title I of the Agriculture and Nutrition Act of 
        2018,'' after ``2014,''.
  (d) Application.--The amendments made by this section shall apply 
beginning with the 2019 crop year.

SEC. 1604. ADJUSTED GROSS INCOME LIMITATION.

  (a) Limitations.--Section 1001D(b)(2) of the Food Security Act of 
1985 (7 U.S.C. 1308-3a(b)(2)) is amended--
          (1) in subparagraph (A), by striking ``title I of the 
        Agricultural Act of 2014'' and inserting ``title I of the 
        Agriculture and Nutrition Act of 2018'';
          (2) in subparagraph (C)--
                  (A) by inserting ``title II of the Agriculture and 
                Nutrition Act of 2018,'' after ``under''; and
                  (B) by striking ``Starting with fiscal year 2015, a'' 
                and inserting ``A'';
          (3) by striking subparagraphs (B) and (D); and
          (4) by redesignating subparagraphs (C) and (E) as 
        subparagraphs (B) and (C), respectively.
  (b) Exceptions.--
          (1) In general.--Section 1001D(b) of the Food Security Act of 
        1985 (7 U.S.C. 1308-3a(b)) is amended by adding at the end the 
        following:
          ``(3) Exceptions.--
                  ``(A) Exception for qualified pass through 
                entities.--Paragraph (1) shall not apply with respect 
                to a qualified pass through entity (as such term is 
                defined in section 1001(a)(5)).
                  ``(B) Waiver.--The Secretary may waive the limitation 
                established by paragraph (1) with respect to a payment 
                pursuant to a covered benefit described in paragraph 
                (2)(B), on a case-by-case basis, if the Secretary 
                determines that environmentally sensitive land of 
                special significance would be protected as a result of 
                such waiver.''.
          (2) Conforming amendments.--Section 1001D of the Food 
        Security Act of 1985 (7 U.S.C. 1308-3a) is amended--
                  (A) in subsection (b)(1), by inserting ``subject to 
                paragraph (3),'' after ``of law,''; and
                  (B) in subsection (d), by striking ``, general 
                partnership, or joint venture'' both places it appears.
  (c) Transition.--Section 1001D of the Food Security Act of 1985 (7 
U.S.C. 1308-3a), as in effect on the day before the date of the 
enactment of this Act, shall apply with respect to the 2018 crop, 
fiscal, or program year, as appropriate, for each program described in 
subsection (b)(2) of that section (as so in effect on that day).

SEC. 1605. PREVENTION OF DECEASED INDIVIDUALS RECEIVING PAYMENTS UNDER 
                    FARM COMMODITY PROGRAMS.

  (a) Reconciliation.--At least twice each year, the Secretary shall 
reconcile Social Security numbers of all individuals who receive 
payments under this title, whether directly or indirectly, with the 
Commissioner of Social Security to determine if the individuals are 
alive.
  (b) Preclusion.--The Secretary shall preclude the issuance of 
payments to, and on behalf of, deceased individuals that were not 
eligible for payments.

SEC. 1606. 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. 1607. 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. 1608. SIGNATURE AUTHORITY.

  (a) In General.--In carrying out this title and title II and 
amendments made by those titles, if the Secretary approves a document, 
the Secretary shall not subsequently determine the document is 
inadequate or invalid because of the lack of authority of any person 
signing the document on behalf of the applicant or any other 
individual, entity, or qualified pass through entity (as such term is 
defined in paragraph (5) of section 1001(a) of the Food Security Act of 
1985 (7 U.S.C. 1308(a))) 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 
        Secretary 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 
                requirements.

SEC. 1609. PERSONAL LIABILITY OF PRODUCERS FOR DEFICIENCIES.

   Section 164(a) of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7284(a)) is amended by striking ``this title'' and 
all that follows through ``unless'' and inserting ``this title, title I 
of the Farm Security and Rural Investment Act of 2002, title I of the 
Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8702 et seq.), 
title I of the Agricultural Act of 2014, or Agriculture and Nutrition 
Act of 2018''.

SEC. 1610. IMPLEMENTATION.

  (a) Maintenance of Base Acres and Payment Yields.--The Secretary 
shall maintain, for each covered commodity, base acres and payment 
yields on a farm established under sections 1001 and 1301 of the Food, 
Conservation, and Energy Act of 2008 (7 U.S.C. 8702, 8751), as adjusted 
pursuant to sections 1101, 1102, 1108, and 1302 of such Act (7 U.S.C. 
8711, 8712, 8718, 8752), as in effect on September 30, 2013, and as 
adjusted pursuant to sections 1112 and 1113 of the Agricultural Act of 
2014 (7 U.S.C. 9012, 9013).
  (b) Streamlining.--In implementing this title and amendments made by 
this title, the Secretary shall--
          (1) continue to reduce administrative burdens and costs to 
        producers by streamlining and reducing paperwork, forms, and 
        other administrative requirements, including through the 
        continuation of the Acreage Crop Reporting and Streamlining 
        Initiative that, in part, shall ensure that--
                  (A) a producer (or an agent of a producer) may report 
                information, electronically (including geospatial data) 
                or conventionally, to the Department;
                  (B) upon the request of the producer (or agent 
                thereof), the Department of Agriculture electronically 
                shares with the producer (or agent) in real time and 
                without cost to the producer (or agent) the common land 
                unit data, related farm level data, and other 
                information of the producer; and
                  (C) no agent, approved insurance provider, or 
                employee or contractor of an agency or approved 
                insurance provider, bears responsibility or liability 
                under the Acreage Crop Reporting and Streamlining 
                Initiative for the eligibility of a producer for 
                programs administered by the Department of Agriculture 
                that are not policies or plans of insurance offered 
                under the Federal Crop Insurance Act (7 U.S.C. 1501 et. 
                seq.) except in cases of misrepresentation, fraud, or 
                scheme and device;
          (2) continue to improve coordination, information sharing, 
        and administrative work with the Farm Service Agency, Risk 
        Management Agency, and the Natural Resources Conservation 
        Service;
          (3) continue to take advantage of new technologies to enhance 
        efficiency and effectiveness of program delivery to producers; 
        and
          (4) reduce administrative burdens on producers by offering 
        such producers an option to remotely and electronically sign 
        annual contracts for participation in coverage under sections 
        1116 and 1117.
  (c) Implementation.--The Secretary shall make available to the Farm 
Service Agency to carry out this title and amendments made by this 
title, $25,000,000.
  (d) Loan Implementation.--
          (1) In general.--Section 1614(d)(1) of the Agricultural Act 
        of 2014 (7 U.S.C. 9097(d)(1)) is amended--
                  (A) by inserting ``or subtitles B and C of the 
                Agriculture and Nutrition Act of 2018'' after ``this 
                title'';
                  (B) by striking ``made by subtitles B or C'' and 
                inserting ``made by such subtitles''; and
                  (C) by inserting ``of this title, and sections 
                1207(c) and 1208 of the Agriculture and Nutrition Act 
                of 2018'' after ``1208''.
          (2) Repayment.--Section 1614(d)(2) of the Agricultural Act of 
        2014 (7 U.S.C. 9097(d)(2)) is amended--
                  (A) by striking ``of subtitles B or C'' and inserting 
                ``of subtitle B or C of this title, or subtitle B or C 
                of the Agriculture and Nutrition Act of 2018''; and
                  (B) by striking ``under subtitles B or C'' and 
                inserting ``of subtitle B or C of this title, or 
                subtitle B or C of the Agriculture and Nutrition Act of 
                2018''.

SEC. 1611. EXEMPTION FROM CERTAIN REPORTING REQUIREMENTS FOR CERTAIN 
                    PRODUCERS.

  (a) Definition of Exempted Producer.--In this section, the term 
``exempted producer'' means a producer or landowner eligible to 
participate in any conservation or commodity program administered by 
the Secretary.
  (b) Exemption.--Notwithstanding any other provision of law, including 
the Federal Funding Accountability and Transparency Act of 2006 (Public 
Law 109-282; 31 U.S.C. 6101 note), the requirements of parts 25 and 170 
of title 2, Code of Federal Regulations (and any successor 
regulations), shall not apply with respect to assistance received by an 
exempted producer from the Secretary, acting through the Natural 
Resources Conservation Service or the Farm Service Agency.

                         TITLE II--CONSERVATION

                    Subtitle A--Wetland Conservation

SEC. 2101. PROGRAM INELIGIBILITY.

  Section 1221(d) of the Food Security Act of 1985 (16 U.S.C. 3821(d)) 
is amended--
          (1) by striking ``Except as provided'' and inserting the 
        following:
                  ``(A) In general.--Except as provided''; and
          (2) by adding at the end the following:
                  ``(B) Duty of the secretary.--Before determining that 
                a person is ineligible for program benefits under this 
                subsection, the Secretary shall determine that no 
                exemption under section 1222 applies.''.

SEC. 2102. MINIMAL EFFECT REGULATIONS.

  (a) Identification of Minimal Effect Exemptions.--Section 1222(d) of 
the Food Security Act of 1985 (16 U.S.C. 3822(d)) is amended by 
inserting ``not later than 180 days after the date of enactment of the 
Agriculture and Nutrition Act of 2018,'' before ``the Secretary shall 
identify''.
  (b) Mitigation Banking.--Section 1222(k)(1)(B) of the Food Security 
Act of 1985 (16 U.S.C. 3822(k)(1)(B)) is amended to read as follows:
                  ``(B) Funding.--
                          ``(i) Funds of commodity credit 
                        corporation.--To carry out this paragraph, the 
                        Secretary shall use $10,000,000 of the funds of 
                        the Commodity Credit Corporation beginning in 
                        fiscal year 2019, which funds shall remain 
                        available until expended.
                          ``(ii) Authorization of appropriations.--In 
                        addition to amounts made available under clause 
                        (i), there are authorized to be appropriated to 
                        the Secretary to carry out this paragraph 
                        $5,000,000 for each of fiscal years 2019 
                        through 2023.''.

                Subtitle B--Conservation Reserve Program

SEC. 2201. CONSERVATION RESERVE.

  (a) In General.--Section 1231(a) of the Food Security Act of 1985 (16 
U.S.C. 3831(a)) is amended by striking ``2018'' and inserting ``2023''.
  (b) Enrollment.--Section 1231(d) of the Food Security Act of 1985 (16 
U.S.C. 3831(d)) is amended--
          (1) in paragraph (1)--
                  (A) in subparagraph (D), by striking ``; and'' and 
                inserting a semicolon;
                  (B) in subparagraph (E), by striking the period at 
                the end and inserting a semicolon; and
                  (C) by adding at the end the following:
                  ``(F) fiscal year 2019, no more than 25,000,000 
                acres;
                  ``(G) fiscal year 2020, no more than 26,000,000 
                acres;
                  ``(H) fiscal year 2021, no more than 27,000,000 
                acres;
                  ``(I) fiscal year 2022, no more than 28,000,000 
                acres; and
                  ``(J) fiscal year 2023, no more than 29,000,000 
                acres.'';
          (2) in paragraph (2)--
                  (A) by amending subparagraph (A) to read as follows:
                  ``(A) Limitation.--For purposes of applying the 
                limitations in paragraph (1)--
                          ``(i) no more than 2,000,000 acres of the 
                        land described in subsection (b)(3) may be 
                        enrolled in the program at any one time during 
                        the 2014 through 2018 fiscal years;
                          ``(ii) the Secretary shall enroll and 
                        maintain in the conservation reserve not fewer 
                        than 3,000,000 acres of the land described in 
                        subsection (b)(3) by September 30, 2023; and
                          ``(iii) in carrying out clause (ii), to the 
                        maximum extent practicable, the Secretary shall 
                        maintain in the conservation reserve at any one 
                        time during--
                                  ``(I) fiscal year 2019, 1,000,000 
                                acres;
                                  ``(II) fiscal year 2020, 1,500,000 
                                acres;
                                  ``(III) fiscal year 2021, 2,000,000 
                                acres;
                                  ``(IV) fiscal year 2022, 2,500,000 
                                acres; and
                                  ``(V) fiscal year 2023, 3,000,000 
                                acres.''; and
                  (B) by adding at the end the following:
                  ``(D) Reservation of unenrolled acres.--If the 
                Secretary is unable in a fiscal year to enroll enough 
                acres of land described in subsection (b)(3) to meet 
                the number of acres described in clause (ii) or (iii) 
                of subparagraph (A) for the fiscal year, the Secretary 
                shall reserve the remaining number of acres for that 
                fiscal year for the enrollment of land described in 
                subsection (b)(3), and that number of acres shall not 
                be available for the enrollment of any other type of 
                eligible land.''; and
          (3) by adding at the end the following:
          ``(3) State enrollment rates.--During each of fiscal years 
        2019 through 2023, to the maximum extent practicable, the 
        Secretary shall carry out this subchapter in such a manner as 
        to enroll and maintain acreage in the conservation reserve in 
        accordance with historical State enrollment rates, 
        considering--
                  ``(A) the average number of acres of all lands 
                enrolled in the conservation reserve in each State 
                during each of fiscal years 2007 through 2016;
                  ``(B) the average number of acres of all lands 
                enrolled in the conservation reserve nationally during 
                each of fiscal years 2007 through 2016; and
                  ``(C) the acres available for enrollment during each 
                of fiscal years 2019 through 2023, excluding acres 
                described in paragraph (2).
          ``(4) Frequency.--In carrying out this subchapter, for 
        contracts that are not available on a continuous enrollment 
        basis, the Secretary shall hold a signup not less often than 
        once every other year.''.
  (c) Duration of Contract.--Section 1231(e) of the Food Security Act 
of 1985 (16 U.S.C. 3831(e)) is amended to read as follows:
  ``(e) Duration of Contract.--
          ``(1) In general.--Except as provided in paragraph (2), for 
        the purpose of carrying out this subchapter, the Secretary 
        shall enter into contracts of not less than 10, nor more than 
        15, years.
          ``(2) Certain continuous contracts.--With respect to 
        contracts under this subchapter for the enrollment of land 
        described in paragraph (4) or (5) of subsection (b), the 
        Secretary shall enter into contracts of a period of 15 or 30 
        years.''.
  (d) Eligibility for Consideration.--Section 1231(h) of the Food 
Security Act of 1985 (16 U.S.C. 3831(h)) is amended--
          (1) by striking ``On the expiration'' and inserting the 
        following:
          ``(1) In general.--On the expiration''; and
          (2) by adding at the end the following:
          ``(2) Reenrollment limitation for certain land.--Land subject 
        to a contract entered into under this subchapter shall be 
        eligible for only one reenrollment in the conservation reserve 
        under paragraph (1) if the land is devoted to hardwood 
        trees.''.

SEC. 2202. FARMABLE WETLAND PROGRAM.

  (a) Program Required.--Section 1231B(a)(1) of the Food Security Act 
of 1985 (16 U.S.C. 3831b(a)(1)) is amended by striking ``2018'' and 
inserting ``2023''.
  (b) Eligible Acreage.--Section 1231B(b)(2) of the Food Security Act 
of 1985 (16 U.S.C. 3831b(b)(2)) is amended to read as follows:
          ``(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, with respect to land described in subparagraph 
        (A), (B), or (C) of paragraph (1)--
                  ``(A) is contiguous to such land;
                  ``(B) is used to protect such land; and
                  ``(C) is of such width as the Secretary determines is 
                necessary to protect such land, taking into 
                consideration and accommodating the farming practices 
                (including the straightening of boundaries to 
                accommodate machinery) used with respect to the 
                cropland that surrounds such land.''.
  (c) Program Limitations.--Section 1231B(c) of the Food Security Act 
of 1985 (16 U.S.C. 3831b(c)) is amended--
          (1) in paragraph (1)(B), by striking ``750,000'' and 
        inserting ``500,000'';
          (2) in paragraph (2), by striking ``Subject to paragraph (3), 
        any acreage'' and inserting ``Any acreage''; and
          (3) by striking paragraphs (3) and (4).
  (d) Duties of Owners and Operators.--Section 1231B(e) of the Food 
Security Act of 1985 (16 U.S.C. 3831b(e)) is amended--
          (1) in paragraph (2), by striking the semicolon and inserting 
        ``; and'';
          (2) by striking paragraph (3); and
          (3) by redesignating paragraph (4) as paragraph (3).
  (e) Duties of the Secretary.--Section 1231B(f) of the Food Security 
Act of 1985 (16 U.S.C. 3831b(f)) is amended--
          (1) in paragraph (1), by striking ``paragraphs (2) and (3)'' 
        and inserting ``paragraph (2)'';
          (2) in paragraph (2), by striking ``section 
        1234(d)(2)(A)(ii)'' and inserting ``section 1234(d)(2)(A)''; 
        and
          (3) by striking paragraph (3).

SEC. 2203. DUTIES OF OWNERS AND OPERATORS.

  (a) In General.--Section 1232(a) of the Food Security Act of 1985 (16 
U.S.C. 3832(a)) is amended--
          (1) in paragraph (5), by inserting ``, which may include the 
        use of grazing in accordance with paragraph (8),'' after 
        ``management on the land''; and
          (2) by redesignating paragraphs (10) and (11) as paragraphs 
        (11) and (12), respectively, and inserting after paragraph (9) 
        the following:
          ``(10) on land devoted to hardwood or other trees, excluding 
        windbreaks and shelterbelts, to carry out proper thinning and 
        other practices to improve the condition of resources, promote 
        forest management, and enhance wildlife habitat on the land;''.
  (b) Conservation Plans.--Section 1232(b)(2) of the Food Security Act 
of 1985 (16 U.S.C. 3832(b)(2)) is amended by striking ``, if any,''.

SEC. 2204. DUTIES OF THE SECRETARY.

  (a) Cost-Share and Rental Payments.--Section 1233(a)(2) of the Food 
Security Act of 1985 (16 U.S.C. 3833(a)(2)) is amended by striking 
``pay an annual rental payment in an amount necessary to compensate 
for'' and inserting ``pay an annual rental payment, in accordance with 
section 1234(d), for''.
  (b) Specified Activities Permitted.--Section 1233(b) of the Food 
Security Act of 1985 (16 U.S.C. 3833(b)) is amended--
          (1) in paragraph (2)--
                  (A) in the matter preceding subparagraph (A)--
                          (i) by striking ``not less than 25 percent'' 
                        and inserting ``25 percent''; and
                          (ii) by inserting ``(except that vegetative 
                        cover may not be harvested for seed)'' after 
                        ``managed harvesting'';
                  (B) in subparagraph (A), by striking ``; and'' and 
                inserting a semicolon;
                  (C) in subparagraph (B), by striking ``is at least 
                every 5 but not more than once every 3 years;'' and 
                inserting ``contributes to the health and vigor of the 
                established cover, and is not more than once every 3 
                years; and''; and
                  (D) by adding at the end the following:
                  ``(C) shall ensure that 25 percent of the acres 
                covered by the contract are not harvested, in 
                accordance with an approved plan that provides for 
                wildlife cover and shelter;'';
          (2) in paragraph (3)--
                  (A) in the matter preceding subparagraph (A), by 
                striking ``not less than 25 percent'' and inserting 
                ``25 percent''; and
                  (B) in subparagraph (B)--
                          (i) in the matter preceding clause (i), by 
                        striking ``routine grazing, except that in 
                        permitting such routine grazing'' and inserting 
                        ``grazing, except that in permitting such 
                        grazing'';
                          (ii) in clause (i), by striking ``continued 
                        routine grazing; and'' and inserting 
                        ``grazing;'';
                          (iii) in clause (ii)--
                                  (I) in the matter preceding subclause 
                                (I), by striking ``routine grazing may 
                                be conducted, such that the frequency 
                                is not more than once every 2 years'' 
                                and inserting ``grazing may be 
                                conducted, such that the frequency 
                                contributes to the health and vigor of 
                                the established cover'';
                                  (II) in subclause (II), by striking 
                                ``the number of years that should be 
                                required between routine'' and 
                                inserting ``the appropriate frequency 
                                and duration of''; and
                                  (III) in subclause (III), by striking 
                                ``routine'' each place it appears; and
                          (iv) by adding at the end the following:
                          ``(iii) shall ensure that the grazing is 
                        conducted in accordance with an approved plan 
                        that does not restrict grazing during the 
                        primary nesting season and will reduce the 
                        stocking rate determined under clause (i) by 50 
                        percent; and'';
          (3) by redesignating paragraphs (4) and (5) as paragraphs (5) 
        and (6), respectively;
          (4) by inserting after paragraph (3) the following:
          ``(4) grazing during the applicable normal grazing period 
        determined under subclause (I) of section 1501(c)(3)(D)(i) of 
        the Agricultural Act of 2014 (7 U.S.C. 9081(c)(3)(D)(i)), 
        without any restriction on grazing during the primary nesting 
        period, subject to the condition that the grazing shall be at 
        50 percent of the normal carrying capacity determined under 
        that subclause.'';
          (5) in paragraph (5), as so redesignated, by striking ``; 
        and'' and inserting ``and retains suitable vegetative structure 
        for wildlife cover and shelter;'';
          (6) in paragraph (6)(C), as so redesignated, by striking the 
        period at the end and inserting ``; and''; and
          (7) by adding at the end the following:
          ``(7) grazing pursuant to section 1232(a)(5), without any 
        reduction in the rental rate, if the grazing is consistent with 
        the conservation of soil, water quality, and wildlife 
        habitat.''.
  (c) Natural Disaster or Adverse Weather as Mid-contract Management.--
Section 1233 of the Food Security Act of 1985 (16 U.S.C. 3833) is 
amended by adding at the end the following:
  ``(e) Natural Disaster or Adverse Weather as Mid-contract 
Management.--In the case of a natural disaster or adverse weather event 
that has the effect of a management practice consistent with the 
conservation plan, the Secretary shall not require further management 
practices pursuant to section 1232(a)(5) that are intended to achieve 
the same effect.''.

SEC. 2205. PAYMENTS.

  (a) Cost Sharing Payments.--Section 1234(b) of the Food Security Act 
of 1985 (16 U.S.C. 3834(b)) is amended--
          (1) in paragraph (1), by striking ``50 percent'' and 
        inserting ``not more than 40 percent'';
          (2) by amending paragraph (2) to read as follows:
          ``(2) Limitations.--
                  ``(A) Exception for seed costs.--In the case of seed 
                costs related to the establishment of cover, cost share 
                shall not exceed 25 percent of the total cost of the 
                seed mixture.
                  ``(B) Additional incentive payments.--Except as 
                provided in subsection (c), the Secretary may not make 
                additional incentive payments beyond the actual cost of 
                installing measures and practices described in 
                paragraph (1).
                  ``(C) Mid-contract management grazing.--The Secretary 
                may not make any cost sharing payment to an owner or 
                operator under this subchapter pursuant to section 
                1232(a)(5).''; and
          (3) by striking paragraphs (3) and (4) and redesignating 
        paragraph (5) as paragraph (3).
  (b) Incentive Payments.--Section 1234(c) of the Food Security Act of 
1985 (16 U.S.C. 3834(c)) is amended--
          (1) in the subsection heading, by striking ``Incentive'' and 
        inserting ``Forest Management Payment'';
          (2) in paragraph (1), by striking ``The Secretary'' and 
        inserting ``Using funds made available under section 
        1241(a)(1)(A), the Secretary''; and
          (3) in paragraph (2), by striking ``150 percent'' and 
        inserting ``100 percent''.
  (c) Annual Rental Payments.--Section 1234(d) of the Food Security Act 
of 1985 (16 U.S.C. 3834(d)) is amended--
          (1) in paragraph (1)--
                  (A) by striking ``less intensive use, the Secretary 
                may consider'' and inserting the following: ``less 
                intensive use--
                  ``(A) the Secretary may consider'';
                  (B) by striking the period at the end and inserting 
                ``; and''; and
                  (C) by adding at the end the following:
                  ``(B) the Secretary shall consider the impact on the 
                local farmland rental market.'';
          (2) in paragraph (2)--
                  (A) by amending subparagraph (A) to read as follows:
                  ``(A) In general.--
                          ``(i) Initial enrollment.--The amounts 
                        payable to an owner or operator in the form of 
                        annual rental payments under a contract entered 
                        into under this subchapter with respect to land 
                        that has not previously been subject to such a 
                        contract shall be not more than 80 percent of 
                        the applicable estimated average county rental 
                        rate published pursuant to paragraph (4) for 
                        the year in which the contract is entered into.
                          ``(ii) Multiple enrollments.--If land subject 
                        to a contract entered into under this 
                        subchapter is reenrolled in the conservation 
                        reserve under section 1231(h)(1)--
                                  ``(I) for the first such 
                                reenrollment, the annual rental payment 
                                shall be in an amount that is not more 
                                than 65 percent of the applicable 
                                estimated average county rental rate 
                                published pursuant to paragraph (4) for 
                                the year in which the reenrollment 
                                occurs;
                                  ``(II) for the second such 
                                reenrollment, the annual rental payment 
                                shall be in an amount that is not more 
                                than 55 percent of the applicable 
                                estimated average county rental rate 
                                published pursuant to paragraph (4) for 
                                the year in which the reenrollment 
                                occurs;
                                  ``(III) for the third such 
                                reenrollment, the annual rental payment 
                                shall be in an amount that is not more 
                                than 45 percent of the applicable 
                                estimated average county rental rate 
                                published pursuant to paragraph (4) for 
                                the year in which the reenrollment 
                                occurs; and
                                  ``(IV) for the fourth such 
                                reenrollment, the annual rental payment 
                                shall be in an amount that is not more 
                                than 35 percent of the applicable 
                                estimated average county rental rate 
                                published pursuant to paragraph (4) for 
                                the year in which the reenrollment 
                                occurs.''; and
                  (B) in subparagraph (B), by striking ``In the case'' 
                and inserting ``Notwithstanding subparagraph (A), in 
                the case'';
          (3) by striking paragraph (4) and redesignating paragraph (5) 
        as paragraph (4); and
          (4) in paragraph (4), as so redesignated--
                  (A) by striking ``cash'' each place it appears;
                  (B) in subparagraph (A)--
                          (i) by striking ``, not less frequently than 
                        once every other year,'' and inserting 
                        ``annually''; and
                          (ii) by inserting ``, and shall publish the 
                        estimates derived from such survey not later 
                        than September 15 of each year'' before the 
                        period at the end; and
                  (C) in subparagraph (C)--
                          (i) by striking ``may'' and inserting 
                        ``shall''; and
                          (ii) by striking ``as a factor in 
                        determining'' and inserting ``to determine''.
  (d) Payment Limitation for Rental Payments.--Section 1234(g)(2) of 
the Food Security Act of 1985 (16 U.S.C. 3834(g)(2)) is amended by 
adding at the end the following:
                  ``(C) Limitation on payments.--Payments under 
                subparagraph (B) shall not exceed 50 percent of the 
                cost of activities carried out under the applicable 
                agreement entered into under such subparagraph.''.

SEC. 2206. CONTRACTS.

  (a) Early Termination by Owner or Operator.--Section 1235(e)(1)(A) of 
the Food Security Act of 1985 (16 U.S.C. 3835(e)(1)(A)) is amended by 
striking ``2015'' and inserting ``2019''.
  (b) Transition Option for Certain Farmers or Ranchers.--Section 
1235(f) of the Food Security Act of 1985 (16 U.S.C. 3835(f)) is 
amended--
          (1) in paragraph (1)--
                  (A) by amending subparagraph (A) to read as follows:
                  ``(A) beginning on the date that is 1 year before the 
                date of termination of the contract, allow the covered 
                farmer or rancher, in conjunction with the retired or 
                retiring owner or operator, to make conservation and 
                land improvements, including preparing to plant an 
                agricultural crop;'';
                  (B) by redesignating subparagraphs (B) through (E) as 
                subparagraphs (C) through (F), respectively, and 
                inserting after subparagraph (A) the following:
                  ``(B) beginning on the date that is 3 years before 
                the date of termination of the contract, 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.);'';
                  (C) in subparagraph (D), as so redesignated, by 
                inserting ``, and provide to such farmer or rancher 
                technical and financial assistance to carry out the 
                requirements of the plan, if any'' before the semicolon 
                at the end; and
                  (D) in subparagraph (E), as so redesignated, by 
                striking ``the conservation stewardship program or''; 
                and
          (2) in paragraph (2)--
                  (A) in the matter preceding subparagraph (A), by 
                striking ``The Secretary'' and inserting ``To the 
                extent the maximum number of acres permitted to be 
                enrolled under the program has not been met, the 
                Secretary''; and
                  (B) in subparagraph (A), by striking ``eligible for 
                enrollment under the continuous signup option pursuant 
                to section 1234(d)(2)(A)(ii)'' and inserting ``is 
                carried out on land described in paragraph (4) or (5) 
                of section 1231(b)''.
  (c) End of Contract Considerations.--Section 1235(g) of the Food 
Security Act of 1985 (16 U.S.C. 3835(g)) is amended to read as follows:
  ``(g) End of Contract Considerations.--The Secretary shall not 
consider an owner or operator to be in violation of a term or condition 
of the conservation reserve contract if--
          ``(1) during the year prior to expiration of the contract, 
        the owner or operator--
                  ``(A) enters into an environmental quality incentives 
                program contract; and
                  ``(B) begins the establishment of an environmental 
                quality incentives practice; or
          ``(2) during the three years prior to the expiration of the 
        contract, the owner or operator begins the certification 
        process under the Organic Foods Production Act of 1990.''.

          Subtitle C--Environmental Quality Incentives Program

SEC. 2301. DEFINITIONS.

  (a) Practice.--Section 1240A(4)(B) of the Food Security Act of 1985 
(16 U.S.C. 3839aa-1(4)(B)) is amended--
          (1) in clause (i), by striking ``; and'' and inserting a 
        semicolon; and
          (2) by redesignating clause (ii) as clause (iv) and inserting 
        after clause (i) the following:
                          ``(ii) precision conservation management 
                        planning;
                          ``(iii) the use of cover crops and resource 
                        conserving crop rotations; and''.
  (b) Priority Resource Concern.--Section 1240A of the Food Security 
Act of 1985 (16 U.S.C. 3839aa-1) is amended by redesignating paragraph 
(5) as paragraph (6) and inserting after paragraph (4) the following:
          ``(5) Priority resource concern.--The term `priority resource 
        concern' means a natural resource concern or problem, as 
        determined by the Secretary, that--
                  ``(A) is identified at the national, State, or local 
                level as a priority for a particular area of a State; 
                and
                  ``(B) represents a significant concern in a State or 
                region.''.
  (c) Stewardship Practice.--Section 1240A of the Food Security Act of 
1985 (16 U.S.C. 3839aa-1) is amended by adding at the end the 
following:
          ``(7) Stewardship practice.--The term `stewardship practice' 
        means a practice or set of practices approved by the Secretary 
        that, when implemented and maintained on eligible land, address 
        1 or more priority resource concerns.''.

SEC. 2302. ESTABLISHMENT AND ADMINISTRATION.

  (a) Establishment.--Section 1240B(a) of the Food Security Act of 1985 
(16 U.S.C. 3839aa-2(a)) is amended by striking ``2019'' and inserting 
``2023''.
  (b) Allocation of Funding.--Section 1240B(f) of the Food Security Act 
of 1985 (16 U.S.C. 3839aa-2(f)) is amended to read as follows:
  ``(f) Allocation of Funding.--For each of fiscal years 2014 through 
2023, at least 5 percent of the funds made available for payments under 
the program shall be targeted at practices benefitting wildlife habitat 
under subsection (g).''.
  (c) Water Conservation or Irrigation Efficiency Practice.--Section 
1240B(h) of the Food Security Act of 1985 (16 U.S.C. 3839aa-2(h)) is 
amended--
          (1) by amending paragraph (1) to read as follows:
          ``(1) Availability of payments.--The Secretary may provide 
        water conservation and system efficiency payments under this 
        subsection to a producer for--
                  ``(A) a water conservation scheduling technology or 
                water conservation scheduling management;
                  ``(B) irrigation-related structural practices; or
                  ``(C) a transition to water-conserving crops or 
                water-conserving crop rotations.'';
          (2) by redesignating paragraph (2) as paragraph (3) and 
        inserting after paragraph (1) the following:
          ``(2) Limited eligibility of irrigation districts, irrigation 
        associations, and acequias.--
                  ``(A) In general.--Notwithstanding section 
                1001(f)(6), the Secretary may enter into a contract 
                under this subsection with an irrigation district, 
                irrigation association, or acequia to implement water 
                conservation or irrigation practices pursuant to a 
                watershed-wide project that will effectively conserve 
                water, as determined by the Secretary.
                  ``(B) Implementation.--Water conservation or 
                irrigation practices that are the subject of a contract 
                entered into under this paragraph shall be implemented 
                on--
                          ``(i) eligible land of a producer; or
                          ``(ii) land that is under the control of the 
                        irrigation district, irrigation association, or 
                        acequia, and adjacent to such eligible land, as 
                        determined by the Secretary.
                  ``(C) Waiver authority.--The Secretary may waive the 
                applicability of the limitations in section 1001D(b)(2) 
                or section 1240G of this Act for a payment made under a 
                contract entered into under this paragraph if the 
                Secretary determines that such a waiver is necessary to 
                fulfill the objectives of the project.
                  ``(D) Contract limitations.--If the Secretary grants 
                a waiver under subparagraph (C), the Secretary may 
                impose a separate payment limitation for the contract 
                with respect to which the waiver applies.''; and
          (3) in paragraph (3), as so redesignated--
                  (A) in the matter preceding subparagraph (A), by 
                striking ``to a producer'' and inserting ``under this 
                subsection'';
                  (B) in subparagraph (A), by striking ``the eligible 
                land of the producer is located, there is a reduction 
                in water use in the operation of the producer'' and 
                inserting ``the land on which the practices will be 
                implemented is located, there is a reduction in water 
                use in the operation on such land''; and
                  (C) in subparagraph (B), by inserting ``with respect 
                to an application under paragraph (1),'' before ``the 
                producer agrees''.
  (d) Stewardship Contracts.--Section 1240B of the Food Security Act of 
1985 (16 U.S.C. 3839aa-2) is amended by adding at the end the 
following:
  ``(j) Stewardship Contracts.--
          ``(1) Identification of eligible priority resource concerns 
        for states.--
                  ``(A) In general.--The Secretary, in consultation 
                with the State technical committee, shall identify 
                priority resource concerns within a State that are 
                eligible to be the subject of a stewardship contract 
                under this subsection.
                  ``(B) Limitation.--The Secretary shall identify not 
                more than 3 eligible priority resource concerns under 
                subparagraph (A) within each area of a State.
          ``(2) Contracts.--
                  ``(A) In general.--The Secretary shall enter into 
                contracts with producers under this subsection that--
                          ``(i) provide incentives, through annual 
                        payments, to producers to attain increased 
                        conservation stewardship on eligible land;
                          ``(ii) adopt and install a stewardship 
                        practice to effectively address a priority 
                        resource concern identified as eligible under 
                        paragraph (1); and
                          ``(iii) require management and maintenance of 
                        such stewardship practice for the term of the 
                        contract.
                  ``(B) Term.--A contract under this subsection shall 
                have a term of not less than 5, nor more than 10, 
                years.
                  ``(C) Prioritization.--Section 1240C(b) shall not 
                apply to applications for contracts under this 
                subsection.
          ``(3) Stewardship payments.--
                  ``(A) In general.--The Secretary shall provide 
                payments to producers through contracts entered into 
                under paragraph (2) for--
                          ``(i) adopting and installing stewardship 
                        practices; and
                          ``(ii) managing, maintaining, and improving 
                        the stewardship practices for the duration of 
                        the contract, as determined appropriate by the 
                        Secretary.
                  ``(B) Payment amounts.--In determining the amount of 
                payments under subparagraph (A), the Secretary shall 
                consider, to the extent practicable--
                          ``(i) the level and extent of the stewardship 
                        practice to be installed, adopted, completed, 
                        maintained, managed, or improved;
                          ``(ii) the cost of the installation, 
                        adoption, completion, management, maintenance, 
                        or improvement of the stewardship practice;
                          ``(iii) income foregone by the producer; and
                          ``(iv) the extent to which compensation would 
                        ensure long-term continued maintenance, 
                        management, and improvement of the stewardship 
                        practice.
                  ``(C) Limitation.--The total amount of payments a 
                person or legal entity receives pursuant to 
                subparagraph (A) shall not exceed $50,000 for any 
                fiscal year.
          ``(4) Reservation of funds.--The Secretary may use not more 
        than 50 percent of the funds made available under section 1241 
        to carry out this chapter for payments made pursuant to this 
        subsection.''.

SEC. 2303. LIMITATION ON PAYMENTS.

  Section 1240G of the Food Security Act of 1985 (16 U.S.C. 3839aa-7) 
is amended by inserting ``or the period of fiscal years 2019 through 
2023,'' after ``2018,''.

SEC. 2304. CONSERVATION INNOVATION GRANTS AND PAYMENTS.

  (a) Competitive Grants for Innovative Conservation Approaches.--
Section 1240H(a) of the Food Security Act of 1985 (16 U.S.C. 3839aa-
8(a)) is amended--
          (1) in paragraph (1), by inserting ``use not more than 
        $25,000,000 in each of fiscal years 2019 through 2023 to'' 
        after ``the Secretary may''; and
          (2) in paragraph (2)(A), by inserting ``or persons 
        participating in an educational activity through an institution 
        of higher education, including by carrying out demonstration 
        projects on lands of the institution'' before the semicolon at 
        the end.
  (b) Air Quality Concerns From Agricultural Operations.--Section 
1240H(b)(2) of the Food Security Act of 1985 (16 U.S.C. 3839aa-8(b)(2)) 
is amended by inserting ``, and $37,500,000 for each of fiscal years 
2019 through 2023'' after ``2018''.
  (c) On-Farm Conservation Innovation Trials; Reporting and Database.--
Section 1240H of the Food Security Act of 1985 (16 U.S.C. 3839aa-8) is 
amended by striking subsection (c) and inserting the following:
  ``(c) On-Farm Conservation Innovation Trials.--
          ``(1) In general.--Using not more than $25,000,000 of the 
        funds made available to carry out this chapter in each of 
        fiscal years 2019 through 2023, the Secretary shall carry out 
        on-farm conservation innovation trials, on eligible land of 
        producers, to test new or innovative conservation approaches--
                  ``(A) directly with producers; or
                  ``(B) through eligible entities.
          ``(2) Incentive payments.--
                  ``(A) Agreements.--In carrying out paragraph (1), the 
                Secretary shall enter into agreements with producers on 
                whose land an on-farm conservation innovation trial is 
                being carried out to provide payments (including 
                payments to compensate for foregone income, as 
                appropriate to address the increased economic risk 
                potentially associated with new or innovative 
                conservation approaches) to the producers to assist 
                with adopting and evaluating new or innovative 
                conservation approaches.
                  ``(B) Length of incentives.--An agreement entered 
                into under subparagraph (A) shall be for a period 
                determined by the Secretary that is--
                          ``(i) not less than 3 years; and
                          ``(ii) if appropriate, more than 3 years, 
                        including if such a period is appropriate to 
                        support--
                                  ``(I) adaptive management over 
                                multiple crop years; and
                                  ``(II) adequate data collection and 
                                analysis to report the natural resource 
                                and agricultural production benefits of 
                                the new or innovative conservation 
                                approaches.
          ``(3) Flexible adoption.--A producer or eligible entity 
        participating in an on-farm conservation innovation trial under 
        paragraph (1) may determine the scale of adoption of the new or 
        innovative conservation approaches in the on-farm conservation 
        innovation trial, which may include multiple scales on an 
        operation, including whole farm, field-level, or sub-field 
        scales.
          ``(4) Technical assistance.--The Secretary shall provide 
        technical assistance--
                  ``(A) to a producer or eligible entity participating 
                in an on-farm conservation innovation trial under 
                paragraph (1), with respect to the design, 
                installation, and management of the new or innovative 
                conservation approaches; and
                  ``(B) to an eligible entity participating in an on-
                farm conservation innovation trial under paragraph (1), 
                with respect to data analyses of the on-farm 
                conservation innovation trial.
          ``(5) Definitions.--In this subsection:
                  ``(A) Eligible entity.--The term `eligible entity' 
                means a third-party private entity the primary business 
                of which is related to agriculture.
                  ``(B) New or innovative conservation approaches.--The 
                term `new or innovative conservation approaches' 
                means--
                          ``(i) new or innovative--
                                  ``(I) precision agriculture 
                                technologies;
                                  ``(II) enhanced nutrient management 
                                plans, nutrient recovery systems, and 
                                fertilization systems;
                                  ``(III) soil health management 
                                systems;
                                  ``(IV) water management systems;
                                  ``(V) resource-conserving crop 
                                rotations;
                                  ``(VI) cover crops; and
                                  ``(VII) irrigation systems; and
                          ``(ii) any other conservation approach 
                        approved by the Secretary as new or innovative.
  ``(d) Reporting and Database.--
          ``(1) Report required.--Not later than December 31, 2014, and 
        every two years thereafter, 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 on the status of activities funded 
        under this section, including--
                  ``(A) funding awarded;
                  ``(B) results of the activities; and
                  ``(C) incorporation of findings from the activities, 
                such as new technology and innovative approaches, into 
                the conservation efforts implemented by the Secretary.
          ``(2) Conservation practice database.--
                  ``(A) In general.--The Secretary shall use the data 
                reported under paragraph (1) to establish and maintain 
                a publicly available conservation practice database 
                that provides--
                          ``(i) a compilation and analysis of effective 
                        conservation practices for soil health, 
                        nutrient management, and source water 
                        protection in varying soil compositions, 
                        cropping systems, slopes, and landscapes; and
                          ``(ii) a list of recommended new and 
                        effective conservation practices.
                  ``(B) Privacy.--Information provided under 
                subparagraph (A) shall be transformed into a 
                statistical or aggregate form so as to not include any 
                identifiable or personal information of individual 
                producers.''.

                Subtitle D--Other Conservation Programs

SEC. 2401. 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 ``2018'' and inserting ``2023''.

SEC. 2402. GRASSROOTS SOURCE WATER PROTECTION PROGRAM.

  (a) Authorization of Appropriations.--Section 1240O(b)(1) of the Food 
Security Act of 1985 (16 U.S.C. 3839bb-2(b)(1)) is amended by striking 
``2018'' and inserting ``2023''.
  (b) Availability of Funds.--Section 1240O(b) of the Food Security Act 
of 1985 (16 U.S.C. 3839bb-2(b)) is amended by adding at the end the 
following:
          ``(3) Additional funding.--In addition to any other funds 
        made available under this subsection, of the funds of the 
        Commodity Credit Corporation, the Secretary shall use 
        $5,000,000 beginning in fiscal year 2019, to remain available 
        until expended.''.

SEC. 2403. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE PROGRAM.

  Section 1240R(f)(1) of the Food Security Act of 1985 (16 U.S.C. 
3839bb-5(f)(1)) is amended--
          (1) by striking ``2012 and'' and inserting ``2012,''; and
          (2) by inserting ``, and $50,000,000 for the period of fiscal 
        years 2019 through 2023'' before the period at the end.

SEC. 2404. WATERSHED PROTECTION AND FLOOD PREVENTION.

  (a) 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 ``2018'' and inserting ``2023''.
  (b) Funds of Commodity Credit Corporation.--The Watershed Protection 
and Flood Prevention Act (16 U.S.C. 1001 et seq.) is amended by adding 
at the end the following:

``SEC. 15. FUNDING.

  ``In addition to any other funds made available by this Act, of the 
funds of the Commodity Credit Corporation, the Secretary shall make 
available to carry out this Act $100,000,000 for each of fiscal years 
2019 through 2023, to remain available until expended.''.

SEC. 2405. FERAL SWINE ERADICATION AND CONTROL PILOT PROGRAM.

  (a) In General.--The Secretary of Agriculture shall establish a feral 
swine eradication and control pilot program to respond to the threat 
feral swine pose to agriculture, native ecosystems, and human and 
animal health.
  (b) Duties of the Secretary.--In carrying out the pilot program, the 
Secretary shall--
          (1) study and assess the nature and extent of damage to the 
        pilot areas caused by feral swine;
          (2) develop methods to eradicate or control feral swine in 
        the pilot areas;
          (3) develop methods to restore damage caused by feral swine; 
        and
          (4) provide financial assistance to agricultural producers in 
        pilot areas.
  (c) Assistance.--The Secretary may provide financial assistance to 
agricultural producers under the pilot program to implement methods 
to--
          (1) eradicate or control feral swine in the pilot areas; and
          (2) restore damage caused by feral swine.
  (d) Coordination.--The Secretary shall ensure that the Natural 
Resources Conservation Service and the Animal and Plant Health 
Inspection Service coordinate for purposes of this section through 
State technical committees established under section 1261 of the Food 
Security Act of 1985.
  (e) Pilot Areas.--The Secretary shall carry out the pilot program in 
areas of States in which feral swine have been identified as a threat 
to agriculture, native ecosystems, or human or animal health, as 
determined by the Secretary.
  (f) Cost Sharing.--
          (1) Federal share.--The Federal share of the costs activities 
        under the pilot program may not exceed 75 percent of the total 
        costs of such activities.
          (2) In-kind contributions.--The non-Federal share of the 
        costs of activities under the pilot program may be provided in 
        the form of in-kind contributions of materials or services.
  (g) Funding.--
          (1) Mandatory funding.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall use to carry out this section 
        $100,000,000 for the period of fiscal years 2019 through 2023.
          (2) Distribution of funds.--Of the funds made available under 
        paragraph (1)--
                  (A) 50 percent shall be allocated to the Natural 
                Resources Conservation Service to carry out the pilot 
                program, including the provision of financial 
                assistance to producers for on-farm trapping and 
                technology related to capturing and confining feral 
                swine; and
                  (B) 50 percent shall be allocated to the Animal and 
                Plant Health Inspection Service to carry out the pilot 
                program, including the use of established, and testing 
                of innovative, population reduction methods.
          (3) Limitation on administrative expenses.--Not more than 10 
        percent of funds made available under this section may be used 
        for administrative expenses of the pilot program.

SEC. 2406. EMERGENCY CONSERVATION PROGRAM.

  (a) Repair or Replacement of Fencing.--
          (1) In general.--Section 401 of the Agricultural Credit Act 
        of 1978 (16 U.S.C. 2201) is amended--
                  (A) by striking the section designation and all that 
                follows through ``The Secretary of Agriculture'' and 
                inserting the following:

``SEC. 401. PAYMENTS TO PRODUCERS.

  ``(a) In General.--The Secretary of Agriculture (referred to in this 
title as the `Secretary')'';
                  (B) in subsection (a), as so designated, by inserting 
                ``wildfires,'' after ``hurricanes,''; and
                  (C) by adding at the end the following:
  ``(b) Repair or Replacement of Fencing.--With respect to a payment to 
an agricultural producer under subsection (a) for the repair or 
replacement of fencing, the Secretary shall give the agricultural 
producer the option of receiving the payment, determined based on the 
applicable percentage of the fair market value of the cost of the 
repair or replacement, as determined by the Secretary, before the 
agricultural producer carries out the repair or replacement.''.
          (2) Conforming amendments.--
                  (A) Sections 402, 403, 404, and 405 of the 
                Agricultural Credit Act of 1978 (16 U.S.C. 2202, 2203, 
                2204, 2205) are amended by striking ``Secretary of 
                Agriculture'' each place it appears and inserting 
                ``Secretary''.
                  (B) Section 407(a) of the Agricultural Credit Act of 
                1978 (16 U.S.C. 2206(a)) is amended by striking 
                paragraph (4).
  (b) Cost Share Payments.--Title IV of the Agricultural Credit Act of 
1978 (16 U.S.C. 2201 et seq.) is amended by inserting after section 402 
the following:

``SEC. 402A. COST SHARE REQUIREMENT.

  ``(a) Cost-share Rate.--The maximum cost-share payment under section 
401 and section 402 shall not exceed 75 percent of the total allowable 
cost, as determined by the Secretary.
  ``(b) Exception.--Not withstanding subsection (a), a qualified 
limited resource, socially disadvantaged, or beginning farmer or 
rancher payment under section 401 and 402 shall not exceed 90 percent 
of the total allowable cost, as determined by the Secretary.
  ``(c) Limitation.--In no case shall the total payment under section 
401 and 402 for a single event exceed 50 percent of what the Secretary 
has determined to be the agriculture value of the land.''.

                 Subtitle E--Funding and Administration

SEC. 2501. COMMODITY CREDIT CORPORATION.

  (a) Annual Funding.--Section 1241(a) of the Food Security Act of 1985 
(16 U.S.C. 3841(a)) is amended--
          (1) in the matter preceding paragraph (1), by striking ``2018 
        (and fiscal year 2019 in the case of the program specified in 
        paragraph (5))'' and inserting ``2023'';
          (2) in paragraph (1), by striking ``2018'' each place it 
        appears and inserting ``2023'';
          (3) in paragraph (2)--
                  (A) in subparagraph (D), by striking ``and'' at the 
                end;
                  (B) in subparagraph (E), by striking the period at 
                the end and inserting ``; and''; and
                  (C) by adding at the end the following:
                  ``(F) $500,000,000 for each of fiscal years 2019 
                through 2023.'';
          (4) by striking paragraph (3) and redesignating paragraphs 
        (4) and (5) as paragraphs (3) and (4), respectively;
          (5) in paragraph (3) (as so redesignated), by inserting ``, 
        as in effect on the day before the date of enactment of the 
        Agriculture and Nutrition Act of 2018, using such sums as are 
        necessary to administer contracts entered into before the 
        earlier of September 30, 2018, or such date of enactment'' 
        before the period at the end; and
          (6) in paragraph (4) (as so redesignated)--
                  (A) in subparagraph (D), by striking ``and'' at the 
                end;
                  (B) in subparagraph (E), by striking ``each of fiscal 
                years 2018 through 2019.'' and inserting ``fiscal year 
                2018;''; and
                  (C) by adding at the end the following:
                  ``(F) $2,000,000,000 for fiscal year 2019;
                  ``(G) $2,500,000,000 for fiscal year 2020;
                  ``(H) $2,750,000,000 for fiscal year 2021;
                  ``(I) $2,935,000,000 for fiscal year 2022; and
                  ``(J) $3,000,000,000 for fiscal year 2023.''.
  (b) Availability of Funds.--Section 1241(b) of the Food Security Act 
of 1985 (16 U.S.C. 3841(b)) is amended by striking ``2018 (and fiscal 
year 2019 in the case of the program specified in subsection (a)(5))'' 
and inserting ``2023''.
  (c) Technical Assistance.--Section 1241(c) of the Food Security Act 
of 1985 (16 U.S.C. 3841(c)) is amended--
          (1) by amending paragraph (2) to read as follows:
          ``(2) Priority.--In the delivery of technical assistance 
        under the Soil Conservation and Domestic Allotment Act (16 
        U.S.C. 590a et seq.), the Secretary shall give priority to 
        producers who request technical assistance from the Secretary 
        in order to comply for the first time with the requirements of 
        subtitle B and subtitle C of this title as a result of the 
        amendments made by section 2611 of the Agricultural Act of 
        2014.''; and
          (2) by striking paragraph (3) and redesignating paragraph (4) 
        as paragraph (3).
  (d) Regional Equity.--
          (1) In general.--Section 1241 of the Food Security Act of 
        1985 (16 U.S.C. 3841) is amended by striking subsection (e) and 
        redesignating subsections (f) through (i) as subsections (e) 
        through (h), respectively.
          (2) Conforming amendments.--Section 1221(c) of the Food 
        Security Act of 1985 (16 U.S.C. 3821(c)) is amended by striking 
        ``1241(f)'' and inserting ``1241(e)'' each place it appears.
  (e) Reservation of Funds To Provide Assistance to Certain Farmers or 
Ranchers for Conservation Access.--Section 1241(g) of the Food Security 
Act of 1985 (as redesignated by subsection (d) of this section) is 
amended--
          (1) in paragraph (1), by striking ``2018 to carry out the 
        environmental quality incentives program and the acres made 
        available for each of such fiscal years to carry out the 
        conservation stewardship program'' and inserting ``2023 to 
        carry out the environmental quality incentives program''; and
          (2) by striking paragraph (3) and redesignating paragraph (4) 
        as paragraph (3).
  (f) Report on Program Enrollments and Assistance.--Section 1241(h) of 
the Food Security Act of 1985 (as redesignated by subsection (d) of 
this section) is amended to read as follows:
  ``(h) Report on Program Enrollments and Assistance.--Not later than 
December 15 of each of calendar years 2018 through 2023, 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 an annual report containing statistics by State 
related to enrollments in conservation programs under this subtitle, as 
follows:
          ``(1) The annual and current cumulative activity reflecting 
        active agreement and contract enrollment statistics.
          ``(2) Secretarial exceptions, waivers, and significant 
        payments, including--
                  ``(A) payments made under the agricultural 
                conservation easement program for easements valued at 
                $250,000 or greater;
                  ``(B) payments made under the regional conservation 
                partnership program subject to the waiver of adjusted 
                gross income limitations pursuant to section 
                1271C(c)(3);
                  ``(C) waivers granted by the Secretary under section 
                1001D(b)(3) of this Act;
                  ``(D) exceptions and activity associated with section 
                1240B(h)(2); and
                  ``(E) exceptions provided by the Secretary under 
                section 1265B(b)(2)(C).''.

SEC. 2502. DELIVERY OF TECHNICAL ASSISTANCE.

  (a) Definitions.--Section 1242(a) of the Food Security Act of 1985 
(16 U.S.C. 3842(a)) is amended to read as follows:
  ``(a) Definitions.--In this section:
          ``(1) Eligible participant.--The term `eligible participant' 
        means a producer, landowner, or entity that is participating 
        in, or seeking to participate in, programs in which the 
        producer, landowner, or entity is otherwise eligible to 
        participate under this title.
          ``(2) Third-party provider.--The term `third-party provider' 
        means a commercial entity (including a farmer cooperative, 
        agriculture retailer, or other commercial entity (as defined by 
        the Secretary)), a nonprofit entity, a State or local 
        government (including a conservation district), or a Federal 
        agency, that has expertise in the technical aspect of 
        conservation planning, including nutrient management planning, 
        watershed planning, or environmental engineering.''.
  (b) Certification of Third-Party Providers.--Section 1242(e) of the 
Food Security Act of 1985 (16 U.S.C. 3842(e)) is amended by adding at 
the end the following:
          ``(4) Alternative certification.--
                  ``(A) In general.--In carrying out this subsection, 
                the Secretary shall approve any qualified certification 
                that the Secretary determines meets or exceeds the 
                national criteria provided under paragraph (3)(B).
                  ``(B) Qualified certification.--In this paragraph, 
                the term `qualified certification' means a professional 
                certification that is established by the Secretary, an 
                agriculture retailer, a farmer cooperative, the 
                American Society of Agronomy, or the National Alliance 
                of Independent Crop Consultants, including 
                certification--
                          ``(i) as a Certified Crop Advisor by the 
                        American Society of Agronomy;
                          ``(ii) as a Certified Professional Agronomist 
                        by the American Society of Agronomy; and
                          ``(iii) as a Comprehensive Nutrient 
                        Management Plan Specialist by the Secretary.''.

SEC. 2503. ADMINISTRATIVE REQUIREMENTS FOR CONSERVATION PROGRAMS.

  Section 1244 of the Food Security Act of 1985 (16 U.S.C. 3844) is 
amended--
          (1) by striking subsection (m);
          (2) by redesignating subsections (i) through (l) as 
        subsections (j) through (m), respectively, and inserting after 
        subsection (h) the following:
  ``(i) Source Water Protection Through Targeting of Agricultural 
Practices.--
          ``(1) In general.--In carrying out any conservation program 
        administered by the Secretary, the Secretary shall encourage 
        practices that relate to water quality and water quantity that 
        protect source waters for drinking water (including protecting 
        against public health threats) while also benefitting 
        agricultural producers.
          ``(2) Collaboration with water systems and increased 
        incentives.--In encouraging practices under paragraph (1), the 
        Secretary shall--
                  ``(A) work collaboratively with community water 
                systems and State technical committees established 
                under section 1261 to identify, in each State, local 
                priority areas for the protection of source waters for 
                drinking water; and
                  ``(B) offer to producers increased incentives and 
                higher payment rates than are otherwise statutorily 
                authorized through conservation programs administered 
                by the Secretary for practices that result in 
                significant environmental benefits that the Secretary 
                determines--
                          ``(i) relate to water quality or water 
                        quantity; and
                          ``(ii) occur primarily outside of the land on 
                        which the practices are implemented.
          ``(3) Reservation of funds.--In each of fiscal years 2019 
        through 2023, the Secretary shall use, to carry out this 
        subsection, not less than 10 percent of any funds available 
        with respect to each conservation program administered by the 
        Secretary under this title except the conservation reserve 
        program.''; and
          (3) in subsection (m), as so redesignated, by striking ``the 
        conservation stewardship program under subchapter B of chapter 
        2 of subtitle D and''.

SEC. 2504. ESTABLISHMENT OF STATE TECHNICAL COMMITTEES.

  Section 1261(c) of the Food Security Act of 1985 (16 U.S.C. 3861(c)) 
is amended by adding at the end the following:
          ``(14) The State 1862 Institution (as defined in section 2(1) 
        of the Agricultural Research, Extension, and Education Reform 
        Act of 1998).''.

         Subtitle F--Agricultural Conservation Easement Program

SEC. 2601. ESTABLISHMENT AND PURPOSES.

  Section 1265(b) of the Food Security Act of 1985 (16 U.S.C. 3865(b)) 
is amended--
          (1) in paragraph (3), by inserting ``that negatively affect 
        the agricultural uses and conservation values'' after ``that 
        land''; and
          (2) in paragraph (4), by striking ``restoring and'' and 
        inserting ``restoring or''.

SEC. 2602. DEFINITIONS.

  (a) Agricultural Land Easement.--Section 1265A(1)(B) of the Food 
Security Act of 1985 (16 U.S.C. 3865a(1)(B)) is amended by striking 
``subject to an agricultural land easement plan, as approved by the 
Secretary''.
  (b) Eligible Land.--Section 1265A(3) of the Food Security Act of 1985 
(16 U.S.C. 3865a(3)) is amended--
          (1) by amending subparagraph (A)(iii)(VI) to read as follows:
                                  ``(VI) nonindustrial private forest 
                                land that contributes to the economic 
                                viability of an offered parcel, or 
                                serves as a buffer to protect such land 
                                from development, which may include up 
                                to 100 percent of the parcel if the 
                                Secretary determines enrolling the land 
                                is important to protect a forest to 
                                provide significant conservation 
                                benefits;''; and
          (2) in subparagraph (B)(i)(II), by striking ``, as determined 
        by the Secretary in consultation with the Secretary of the 
        Interior at the local level''.
  (c) Monitoring Report.--Section 1265A of the Food Security Act of 
1985 (16 U.S.C. 3865a) is amended by redesignating paragraphs (4) and 
(5) as paragraphs (5) and (6), respectively, and inserting after 
paragraph (3) the following:
          ``(4) Monitoring report.--The term `monitoring report' means 
        a report, the contents of which are formulated and prepared by 
        the holder of an agricultural land easement, that documents 
        whether the land subject to the agricultural land easement is 
        in compliance with the terms and conditions of the agricultural 
        land easement.''.

SEC. 2603. AGRICULTURAL LAND EASEMENTS.

  (a) Availability of Assistance.--Section 1265B(a)(2) of the Food 
Security Act of 1985 (16 U.S.C. 3865b(a)(2)) is amended by striking 
``provide for the conservation of natural resources pursuant to an 
agricultural land easement plan'' and inserting ``implement the 
program''.
  (b) Cost-Share Assistance.--
          (1) Scope of assistance available.--Section 1265B(b)(2) of 
        the Food Security Act of 1985 (16 U.S.C. 3865b(b)(2)) is 
        amended by striking subparagraphs (B) and (C) and inserting the 
        following:
                  ``(B) Non-federal share.--An eligible entity may use 
                for any part of its share--
                          ``(i) a cash contribution;
                          ``(ii) 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 
                        agricultural land easement will be purchased; 
                        or
                          ``(iii) funding from a Federal source other 
                        than the Department of Agriculture.
                  ``(C) Grasslands exception.--In the case of grassland 
                of special environmental significance, as determined by 
                the Secretary, the Secretary may provide an amount not 
                to exceed 75 percent of the fair market value of the 
                agricultural land easement.''.
          (2) Evaluation and ranking of applications.--Section 
        1265B(b)(3) of the Food Security Act of 1985 (16 U.S.C. 
        3865b(b)(3)) is amended by redesignating subparagraph (C) as 
        subparagraph (D) and inserting after subparagraph (B) the 
        following:
                  ``(C) Accounting for geographic differences.--The 
                Secretary shall, in coordination with State technical 
                committees, adjust the criteria established under 
                subparagraph (A) to account for geographic differences 
                among States, if such adjustments--
                          ``(i) meet the purposes of the program; and
                          ``(ii) continue to maximize the benefit of 
                        the Federal investment under the program.''.
          (3) Agreements with eligible entities.--Section 1265B(b)(4) 
        of the Food Security Act of 1985 (16 U.S.C. 3865b(b)(4)) is 
        amended--
                  (A) in subparagraph (C)--
                          (i) in clause (i), by inserting ``and the 
                        agricultural use of the land that is subject to 
                        the agricultural land easement'' after ``the 
                        program''; and
                          (ii) by striking clauses (iii) and (iv) and 
                        inserting the following:
                          ``(iii) include a right of enforcement for 
                        the Secretary that--
                                  ``(I) may be used only if the terms 
                                and conditions of the easement are not 
                                enforced by the eligible entity; and
                                  ``(II) does not extend to a right of 
                                inspection unless the holder of the 
                                easement fails to provide monitoring 
                                reports in a timely manner;
                          ``(iv) include a conservation plan only for 
                        any portion of the land subject to the 
                        agricultural land easement that is highly 
                        erodible cropland; and'';
                  (B) in subparagraph (E)(ii), by inserting ``in the 
                case of fraud or gross negligence,'' before ``the 
                Secretary may require''; and
                  (C) by adding at the end the following:
                  ``(F) Mineral development.--Upon request by an 
                eligible entity, the Secretary shall allow, under an 
                agreement under this subsection, mineral development on 
                land subject to the agricultural land easement, if the 
                Secretary determines that the mineral development--
                          ``(i) has limited and localized effects;
                          ``(ii) is not irremediably destructive of 
                        significant conservation interests; and
                          ``(iii) would not alter or affect the 
                        topography or landscape.
                  ``(G) Environmental services markets.--The Secretary 
                may not prohibit, through an agreement under this 
                subsection, an owner of land subject to the 
                agricultural land easement from participating in, and 
                receiving compensation from, an environmental services 
                market if a purpose of the market is the facilitation 
                of additional conservation benefits that are consistent 
                with the purposes of the program.''.
          (4) Certification of eligible entities.--Section 1265B(b)(5) 
        of the Food Security Act of 1985 (16 U.S.C. 3865b(b)(5)) is 
        amended--
                  (A) in subparagraph (A)--
                          (i) in clause (ii), by striking ``; and'' and 
                        inserting a semicolon;
                          (ii) in clause (iii), by striking the period 
                        at the end and inserting ``; and''; and
                          (iii) by adding at the end the following:
                          ``(iv) allow a certified eligible entity to 
                        use its own terms and conditions, 
                        notwithstanding paragraph (4)(C), as long as 
                        the terms and conditions are consistent with 
                        the purposes of the program.''; and
                  (B) by amending subparagraph (B) to read as follows:
                  ``(B) Certification criteria.--In order to be 
                certified, an eligible entity shall demonstrate to the 
                Secretary that the entity--
                          ``(i) is a land trust that has--
                                  ``(I) been accredited by the Land 
                                Trust Accreditation Commission, or by 
                                an equivalent accrediting body (as 
                                determined by the Secretary); and
                                  ``(II) acquired not fewer than five 
                                agricultural land easements under the 
                                program; or
                          ``(ii) will maintain, at a minimum, for the 
                        duration of the agreement--
                                  ``(I) a plan for administering 
                                easements that is consistent with the 
                                purpose of the program;
                                  ``(II) the capacity and resources to 
                                monitor and enforce agricultural land 
                                easements; and
                                  ``(III) policies and procedures to 
                                ensure--
                                          ``(aa) the long-term 
                                        integrity of agricultural land 
                                        easements on land subject to 
                                        such easements;
                                          ``(bb) timely completion of 
                                        acquisitions of such easements; 
                                        and
                                          ``(cc) timely and complete 
                                        evaluation and reporting to the 
                                        Secretary on the use of funds 
                                        provided under the program.''.
  (c) Technical Assistance.--Section 1265B(d) of the Food Security Act 
of 1985 (16 U.S.C. 3865b(d)) is amended to read as follows:
  ``(d) Technical Assistance.--The Secretary may provide technical 
assistance, if requested, to assist in compliance with the terms and 
conditions of easements.''.

SEC. 2604. WETLAND RESERVE EASEMENTS.

  Section 1265C(b)(5)(D)(i)(III) of the Food Security Act of 1985 (16 
U.S.C. 3865c(b)(5)(D)(i)(III)) is amended by inserting after ``under 
subsection (f)'' the following: ``or a grazing management plan that is 
consistent with the wetland reserve easement plan and has been 
reviewed, and modified as necessary, at least every five years''.

SEC. 2605. ADMINISTRATION.

  (a) Ineligible Land.--Section 1265D(a)(4) of the Food Security Act of 
1985 (16 U.S.C. 3865d(a)(4)) is amended--
          (1) by striking ``or off-site''; and
          (2) by striking ``proposed or'' and inserting ``permitted 
        or''.
  (b) Subordination, Exchange, Modification, and Termination.--
          (1) Subordination and exchange.--Section 1265D(c)(1) of the 
        Food Security Act of 1985 (16 U.S.C. 3865d(c)(1)) is amended--
                  (A) in the paragraph heading, by striking ``In 
                general'' and inserting ``Subordination and exchange'';
                  (B) by striking ``subordinate, exchange, modify, or 
                terminate'' each place it appears and inserting 
                ``subordinate or exchange''; and
                  (C) by striking ``subordination, exchange, 
                modification, or termination'' each place it appears 
                and inserting ``subordination or exchange''.
          (2) Modification; termination.--Section 1265D(c) of the Food 
        Security Act of 1985 (16 U.S.C. 3865d(c)) is amended--
                  (A) by redesignating paragraphs (2) and (3) as 
                paragraphs (4) and (5), respectively;
                  (B) by inserting after paragraph (1) the following:
          ``(2) Modification.--
                  ``(A) Authority.--The Secretary may modify any 
                interest in land, or portion of such interest, 
                administered by the Secretary, either directly or on 
                behalf of the Commodity Credit Corporation under the 
                program if the modification--
                          ``(i) has a neutral effect on, or increases, 
                        the conservation values;
                          ``(ii) is consistent with the original intent 
                        of the easement; and
                          ``(iii) is consistent with the purposes of 
                        the program.
                  ``(B) Limitation.--In modifying an interest in land, 
                or portion of such interest, under this paragraph, the 
                Secretary may not increase any payment to an eligible 
                entity.
          ``(3) Termination.--The Secretary may terminate any interest 
        in land, or portion of such interest, administered by the 
        Secretary, either directly or on behalf of the Commodity Credit 
        Corporation under the program if--
                  ``(A) the current owner of the land that is subject 
                to the easement and the holder of the easement agree to 
                the termination; and
                  ``(B) the Secretary determines that the termination 
                would be in the public interest.''; and
                  (C) in paragraph (5) (as so redesignated), by 
                striking ``paragraph (1)'' and inserting ``paragraph 
                (3)''.
  (c) Landowner Eligibility.--Section 1265D of the Food Security Act of 
1985 (16 U.S.C. 3865d) is amended by adding at the end the following:
  ``(f) Landowner Eligibility.--The limitation described in paragraph 
(1) of section 1001D(b) shall not apply to a landowner from which an 
easement under the program is to be purchased with respect to any 
benefit described in paragraph (2)(B) of such section related to the 
purchase of such easement.''.

         Subtitle G--Regional Conservation Partnership Program

SEC. 2701. DEFINITIONS.

  (a) Covered Program.--Section 1271A(1) of the Food Security Act of 
1985 (16 U.S.C. 3871a(1)) is amended--
          (1) by striking subparagraph (C) and redesignating 
        subparagraph (D) as subparagraph (C); and
          (2) by adding at the end the following:
                  ``(D) The conservation reserve program established 
                under subchapter B of chapter 1 of subtitle D.
                  ``(E) Programs provided for in the Watershed 
                Protection and Flood Prevention Act (16 U.S.C. 1001 et 
                seq.), other than section 14 of such Act (16 U.S.C. 
                1012).''.
  (b) Eligible Activity.--Section 1271A(2) of the Food Security Act of 
1985 (16 U.S.C. 3871a(2)) is amended--
          (1) in subparagraph (B), by inserting ``resource-conserving 
        crop rotations,'' before ``or dryland farming''; and
          (2) by redesignating subparagraphs (C) through (J) as 
        subparagraphs (D) through (K), respectively, and inserting 
        after subparagraph (B) the following:
                  ``(C) Protection of source waters for drinking 
                water.''.

SEC. 2702. REGIONAL CONSERVATION PARTNERSHIPS.

  (a) Length.--Section 1271B(b) of the Food Security Act of 1985 (16 
U.S.C. 3871b(b)) is amended to read as follows:
  ``(b) Length.--A partnership agreement, including a renewal of a 
partnership agreement under subsection (d)(5), shall be--
          ``(1) for a period not to exceed 5 years, which period the 
        Secretary may extend one time for up to 12 months; or
          ``(2) for a period that is longer than 5 years, if such 
        longer period is necessary to meet the objectives of the 
        program, as determined by the Secretary.''.
  (b) Duties of Partners.--Section 1271B(c)(1)(E) of the Food Security 
Act of 1985 (16 U.S.C. 3871b(c)(1)(E)) is amended by inserting ``, 
including quantification of the project's environmental outcomes'' 
before the semicolon.
  (c) Applications.--Section 1271B(d) of the Food Security Act of 1985 
(16 U.S.C. 3871b(d)) is amended--
          (1) in paragraph (1), by inserting ``simplified'' before 
        ``competitive process to select''; and
          (2) by adding at the end the following:
          ``(5) Renewals.--If a project that is the subject of a 
        partnership agreement has met or exceeded the objectives of the 
        project, as determined by the Secretary, the eligible partners 
        may submit, through an expedited program application process, 
        an application to--
                  ``(A) continue to implement the project under a 
                renewal of the partnership agreement; or
                  ``(B) expand the scope of the project under a renewal 
                of the partnership agreement.''.

SEC. 2703. ASSISTANCE TO PRODUCERS.

  Section 1271C(c) of the Food Security Act of 1985 (16 U.S.C. 
3871c(c)) is amended--
          (1) in paragraph (2), in the matter preceding subparagraph 
        (A), by striking ``a period of 5 years'' and inserting ``the 
        applicable period under section 1271B(b)''; and
          (2) in paragraph (3), by striking ``the Secretary may waive 
        the applicability of the limitation in section 1001D(b)(2) of 
        this Act for participating producers'' and inserting 
        ``notwithstanding the requirements of paragraph (3) of section 
        1001D(b), the Secretary may waive the applicability of the 
        limitation in paragraph (2) of such section, and any limitation 
        on the maximum amount of payments related to the covered 
        programs, for participating producers''.

SEC. 2704. FUNDING.

  Section 1271D(a) of the Food Security Act of 1985 (16 U.S.C. 
3871d(a)) is amended to read as follows:
  ``(a) Availability of Funds.--Of the funds of the Commodity Credit 
Corporation, the Secretary shall use, to carry out the program--
          ``(1) $100,000,000 for each of fiscal years 2014 through 
        2018; and
          ``(2) $250,000,000 for each of fiscal years 2019 through 
        2023.''.

SEC. 2705. ADMINISTRATION.

  Section 1271E of the Food Security Act of 1985 (16 U.S.C. 3871e) is 
amended--
          (1) by redesignating subsection (b) as subsection (c) and 
        inserting after subsection (a) the following:
  ``(b) Guidance.--The Secretary shall provide eligible partners and 
producers participating in the partnership agreements with guidance on 
how to quantify and report on environmental outcomes associated with 
the adoption of conservation practices under the program.''; and
          (2) in subsection (c), as so redesignated--
                  (A) in paragraph (3), by striking ``; and'' and 
                inserting a semicolon;
                  (B) in paragraph (4)(C), by striking the period and 
                inserting ``; and''; and
                  (C) by adding at the end the following:
          ``(5) the progress that eligible partners and producers 
        participating in the partnership agreements are making in 
        quantifying and reporting on environmental outcomes associated 
        with the adoption of conservation practices under the 
        program.''.

SEC. 2706. CRITICAL CONSERVATION AREAS.

  Section 1271F(c) of the Food Security Act of 1985 (16 U.S.C. 
3871f(c)) is amended by striking paragraph (3).

 Subtitle H--Repeals and Transitional Provisions; Technical Amendments

SEC. 2801. REPEAL OF CONSERVATION SECURITY AND CONSERVATION STEWARDSHIP 
                    PROGRAMS.

  (a) Repeal.--Except as provided in subsection (b), chapter 2 of 
subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 
3838d et seq.) is repealed.
  (b) Transitional Provisions for Conservation Stewardship Program.--
          (1) Effect on existing contracts.--The amendment made by this 
        section shall not affect the validity or terms of any contract 
        entered into by the Secretary of Agriculture under subchapter B 
        of chapter 2 of subtitle D of title XII of the Food Security 
        Act of 1985 (16 U.S.C. 3838d et seq.) before the date of 
        enactment of this Act, or any payments required to be made in 
        connection with the contract.
          (2) No renewals.--Notwithstanding paragraph (1), the 
        Secretary may not renew a contract described in such paragraph.

SEC. 2802. REPEAL OF TERMINAL LAKES ASSISTANCE.

  Section 2507 of the Farm Security and Rural Investment Act of 2002 
(16 U.S.C. 3839bb-6) is repealed.

SEC. 2803. TECHNICAL AMENDMENTS.

  (a) Delineation of Wetlands; Exemptions.--Section 1222(j) of the Food 
Security Act of 1985 (16 U.S.C. 3822(j)) is amended by striking 
``National Resources Conservation Service'' and inserting ``Natural 
Resources Conservation Service''.
  (b) Delivery of Technical Assistance.--Section 1242 of the Food 
Security Act of 1985 (16 U.S.C. 3842) is amended by striking ``third 
party'' each place it appears and inserting ``third-party''.
  (c) Administrative Requirements for Conservation Programs.--Section 
1244(b)(4)(B) of the Food Security Act of 1985 (16 U.S.C. 
3844(b)(4)(B)) is amended by striking ``General Accounting Office'' and 
inserting ``General Accountability Office''.
  (d) Watershed Protection and Flood Prevention Act.--Section 5(4) of 
the Watershed Protection and Flood Prevention Act (16 U.S.C. 1005(4)) 
is amended--
          (1) by striking ``goodwater'' and inserting ``floodwater''; 
        and
          (2) by striking ``Secretary of Health, Education, and 
        Welfare'' each place it appears and inserting ``Secretary of 
        Health and Human Services''.

                            TITLE III--TRADE

                     Subtitle A--Food for Peace Act

SEC. 3001. FINDINGS.

  (a) Findings.--Congress finds the following:
          (1) The United States has long been the world's largest donor 
        of international food assistance.
          (2) American farmers have been instrumental in the success of 
        United States international food assistance programs by 
        providing an affordable, safe, and reliable source of 
        nutritious agricultural commodities.
          (3) Through the efforts of the United States maritime 
        industry and private voluntary organizations, agricultural 
        commodities grown in the United States have been delivered to 
        millions of people in need around the globe.
          (4) The United States should continue to use its abundant 
        agricultural productivity to promote the foreign policy of the 
        United States by enhancing the food security of the developing 
        world through the timely provision of agricultural commodities.

SEC. 3002. LABELING REQUIREMENTS.

  Subsection (g) of section 202 of the Food for Peace Act (7 U.S.C. 
1722) is amended to read as follows:
  ``(g) Labeling of Assistance.--Agricultural commodities and other 
assistance provided under this title shall, to the extent practicable, 
be clearly identified with appropriate markings on the package or 
container of such commodities and food procured outside of the United 
States, or on printed material that accompanies other assistance, in 
the language of the locality in which such commodities and other 
assistance are distributed, as being furnished by the people of the 
United States of America.''.

SEC. 3003. FOOD AID QUALITY ASSURANCE.

  Section 202(h)(3) of the Food for Peace Act (7 U.S.C. 1722(h)(3)) is 
amended by striking ``2018'' and inserting ``2023''.

SEC. 3004. LOCAL SALE AND BARTER OF COMMODITIES.

  Section 203 of the Food for Peace Act (7 U.S.C. 1723) is amended--
          (1) in subsection (a), by inserting ``to generate proceeds to 
        be used as provided in this section'' before the period at the 
        end;
          (2) by striking subsection (b); and
          (3) by redesignating subsections (c) and (d) as subsections 
        (b) and (c), respectively.

SEC. 3005. MINIMUM LEVELS OF ASSISTANCE.

  Section 204(a) of the Food for Peace Act (7 U.S.C. 1724(a)) is 
amended in paragraphs (1) and (2) by striking ``2018'' both places it 
appears and inserting ``2023''.

SEC. 3006. EXTENSION OF TERMINATION DATE OF FOOD AID CONSULTATIVE 
                    GROUP.

  Section 205(f) of the Food for Peace Act (7 U.S.C. 1725(f)) is 
amended by striking ``2018'' and inserting ``2023''.

SEC. 3007. ISSUANCE OF REGULATIONS.

  Section 207(c)(1) of the Food for Peace Act (7 U.S.C. 1726a(c)(1)) is 
amended by striking ``the Agricultural Act of 2014''and inserting ``the 
Agriculture and Nutrition Act of 2018''.

SEC. 3008. FUNDING FOR PROGRAM OVERSIGHT, MONITORING, AND EVALUATION.

  Section 207(f)(4) of the Food for Peace Act (7 U.S.C. 1726a(f)(4)) is 
amended--
          (1) in subparagraph (A)--
                  (A) by striking ``$17,000,000'' and inserting ``1.5 
                percent''; and
                  (B) by striking ``2014 through 2018'' the first place 
                it appears and inserting ``2019 through 2023''; and
                  (C) by striking ``2018'' the second place it appears 
                and inserting ``2023''; and
          (2) in subparagraph (B)--
                  (A) in clause (i), by striking ``2018'' and inserting 
                ``2023''; and
                  (B) in clause (ii), by striking ``chapter 1 of part I 
                of''.

SEC. 3009. ASSISTANCE FOR STOCKPILING AND RAPID TRANSPORTATION, 
                    DELIVERY, AND DISTRIBUTION OF SHELF-STABLE 
                    PREPACKAGED FOODS.

  Section 208 the Food for Peace Act (7 U.S.C. 1726b) is amended--
          (1) by amending the section heading to read as follows: 
        ``international food relief partnership''; and
          (2) in subsection (f), by striking ``2018'' and inserting 
        ``2023''.

SEC. 3010. CONSIDERATION OF IMPACT OF PROVISION OF AGRICULTURAL 
                    COMMODITIES AND OTHER ASSISTANCE ON LOCAL FARMERS 
                    AND ECONOMY.

  (a) Inclusion of All Modalities.--Section 403(a) of the Food for 
Peace Act (7 U.S.C. 1733(a)) is amended--
          (1) in the matter preceding paragraph (1), by inserting ``, 
        food procured outside of the United States, food voucher, or 
        cash transfer for food,'' after ``agricultural commodity'';
          (2) in paragraph (1), by inserting ``in the case of the 
        provision of an agricultural commodity,'' before ``adequate''; 
        and
          (3) in paragraph (2), by striking ``commodity'' and inserting 
        ``agricultural commodity or use of the food procured outside of 
        the United States, food vouchers, or cash transfers for food''.
  (b) Avoidance of Disruptive Impact.--Section 403(b) of the Food for 
Peace Act (7 U.S.C. 1733(b)) is amended--
          (1) in the first sentence, by inserting ``, food procured 
        outside of the United States, food vouchers, and cash transfers 
        for food'' after ``agricultural commodities''; and
          (2) in the second sentence, by striking ``of sales of 
        agricultural commodities''.

SEC. 3011. PREPOSITIONING OF AGRICULTURAL COMMODITIES.

  Section 407(c)(4)(A) of the Food for Peace Act (7 U.S.C. 
1736a(c)(4)(A)) is amended by striking ``2018'' each place it appears 
and inserting ``2023''.

SEC. 3012. ANNUAL REPORT REGARDING FOOD AID PROGRAMS AND ACTIVITIES.

  (a) In General.--Section 407(f) of the Food for Peace Act (7 U.S.C. 
1736a(f)(1)) is amended to read as follows:
  ``(f) Annual Report Regarding Food Aid Programs and Activities.--
          ``(1) In general.--Not later than April 1 of each fiscal 
        year, the Administrator and the Secretary shall prepare, either 
        jointly or separately, a report regarding each program and 
        activity carried out under this Act during the prior fiscal 
        year. If the report for a fiscal year will not be submitted to 
        the appropriate committees of Congress by the date specified in 
        this subparagraph, the Administrator and the Secretary shall 
        promptly notify such committees about the delay, including the 
        reasons for the delay, the steps being taken to complete the 
        report, and an estimated submission date.
          ``(2) Contents.--An annual report described in paragraph (1) 
        shall include, with respect to the prior fiscal year, the 
        following:
                  ``(A) A list that contains a description of each 
                country and organization that receives food and other 
                assistance under this Act (including the quantity of 
                food and assistance provided to each country and 
                organization).
                  ``(B) A general description of each project and 
                activity implemented under this Act (including each 
                activity funded through the use of local currencies) 
                and the total number of beneficiaries of the project.
                  ``(C) A statement describing the quantity of 
                agricultural commodities made available to, and the 
                total number of beneficiaries in, each country pursuant 
                to--
                          ``(i) this Act;
                          ``(ii) section 416(b) of the Agricultural Act 
                        of 1949 (7 U.S.C. 1431(b));
                          ``(iii) the Food for Progress Act of 1985 (7 
                        U.S.C. 1736o); and
                          ``(iv) the McGovern-Dole International Food 
                        for Education and Child Nutrition Program 
                        established by section 3107 of the Farm 
                        Security and Rural Investment Act of 2002 (7 
                        U.S.C. 1736o-1).
                  ``(D) An assessment of the progress made through 
                programs under this Act towards reducing food 
                insecurity in the populations receiving food assistance 
                from the United States.
                  ``(E) A description of efforts undertaken by the Food 
                Aid Consultative Group under section 205 to achieve an 
                integrated and effective food assistance program.
                  ``(F) An assessment of--
                          ``(i) each program oversight, monitoring, and 
                        evaluation system implemented under section 
                        207(f); and
                          ``(ii) the impact of each program oversight, 
                        monitoring, and evaluation system on the 
                        effectiveness and efficiency of assistance 
                        provided under this title.
                  ``(G) An assessment of the progress made by the 
                Administrator in addressing issues relating to quality 
                with respect to the provision of food assistance.
                  ``(H) A statement of the amount of funds (including 
                funds for administrative costs, indirect cost recovery, 
                internal transportation, storage and handling, and 
                associated distribution costs) provided to each 
                eligible organization that received assistance under 
                this Act, that further describes the following:
                          ``(i) How such funds were used by the 
                        eligible organization.
                          ``(ii) The actual rate of return for each 
                        commodity made available under this Act, 
                        including factors that influenced the rate of 
                        return, and, for the commodity, the costs of 
                        bagging or further processing, ocean 
                        transportation, inland transportation in the 
                        recipient country, storage costs, and any other 
                        information that the Administrator and the 
                        Secretary determine to be necessary.
                          ``(iii) For each instance in which a 
                        commodity was made available under this Act at 
                        a rate of return less than 70 percent, the 
                        reasons for the rate of return realized.
                  ``(I) For funds expended for the purposes of section 
                202(e), 406(b)(6), and 407(c)(1)(B), a detailed 
                accounting of the expenditures and purposes of such 
                expenditures with respect to each section.
          ``(3) Rate of return described.--For purposes of applying 
        subparagraph (H), the rate of return for a commodity shall be 
        equal to the proportion that--
                  ``(A) the proceeds the implementing partners generate 
                through monetization; bears to
                  ``(B) the cost to the Federal Government to procure 
                and ship the commodity to a recipient country for 
                monetization.''.
  (b) Conforming Repeal.--Subsection (m) of section 403 of the Food for 
Peace Act (7 U.S.C. 1733) is repealed.

SEC. 3013. DEADLINE FOR AGREEMENTS TO FINANCE SALES OR TO PROVIDE OTHER 
                    ASSISTANCE.

  Section 408 of the Food for Peace Act (7 U.S.C. 1736b) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 3014. MINIMUM LEVEL OF NONEMERGENCY FOOD ASSISTANCE.

  Subsection (e) of section 412 of the Food for Peace Act (7 U.S.C. 
1736f) is amended to read as follows:
  ``(e) Minimum Level of Nonemergency Food Assistance.--
          ``(1) In general.--For each of fiscal years 2019 through 
        2023, not less than $365,000,000 of the amounts made available 
        to carry out emergency and nonemergency food assistance 
        programs under title II, nor more than 30 percent of such 
        amounts, shall be expended for nonemergency food assistance 
        programs under such title.
          ``(2) Community development funds.--Funds appropriated each 
        year to carry out part I of the Foreign Assistance Act of 1961 
        (22 U.S.C. 2151 et seq.) that are made available through grants 
        or cooperative agreements to strengthen food security in 
        developing countries and that are consistent with section 
        202(e)(1)(C) may be deemed to be expended on nonemergency food 
        assistance programs for purposes of this section.''.

SEC. 3015. TERMINATION DATE FOR MICRONUTRIENT FORTIFICATION PROGRAMS.

  Section 415(c) of the Food for Peace Act (7 U.S.C. 1736g-2(c)) is 
amended by striking ``2018'' and inserting ``2023''.

SEC. 3016. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO-FARMER PROGRAM.

  (a) Clarification of Nature of Assistance.--Section 501(b)(1) of the 
Food for Peace Act (7 U.S.C. 1737(b)(1)) is amended by inserting 
``technical'' before ``assistance''.
  (b) Eligible Participants.--Section 501(b)(2) of the Food for Peace 
Act (7 U.S.C. 1737(b)(2)) is amended by inserting ``retired extension 
staff of the Department of Agriculture,'' after ``private 
corporations,''.
  (c) Additional Purpose.--Section 501(b) of the Food for Peace Act (7 
U.S.C. 1737(b)) is amended--
          (1) by striking ``and'' at the end of paragraph (5);
          (2) by redesignating paragraph (6) as paragraph (7); and
          (3) by inserting after paragraph (5) the following new 
        paragraph:
          ``(6) foster appropriate investments in institutional 
        capacity-building and allow longer-term and sequenced 
        assignments and partnerships to provide deeper engagement and 
        greater continuity on such projects; and''.
  (d) Minimum Funding.--Subsection (d) of section 501 of the Food for 
Peace Act (7 U.S.C. 1737) is amended to read as follows:
  ``(d) Minimum Funding.--
          ``(1) In general.--Notwithstanding any other provision of 
        law, in addition to any funds that may be specifically 
        appropriated to carry out this section, not less than the 
        greater of $15,000,000 or 0.6 percent of the amounts made 
        available for each of fiscal years 2014 through 2023, to carry 
        out this Act shall be used to carry out programs under this 
        section, of which--
                  ``(A) not less than 0.2 percent to be used for 
                programs in developing countries; and
                  ``(B) not less than 0.1 percent to be used for 
                programs in sub-Saharan African and Caribbean Basin 
                countries.
          ``(2) Treatment of expenditures.--Funds used to carry out 
        programs under this section shall be counted towards the 
        minimum level of nonemergency food assistance specified in 
        section 412(e).''.
  (e) Authorization of Appropriations.--Section 501(e)(1) of the Food 
for Peace Act (7 U.S.C. 1737(e)(1)) is amended in by striking ``2018'' 
and inserting ``2023''.

               Subtitle B--Agricultural Trade Act of 1978

SEC. 3101. FINDINGS.

  Congress finds the following:
          (1) United States export development programs significantly 
        increase demand for United States agriculture products within 
        foreign markets, boosting agricultural export volume and 
        overall farm income, and generating a net return of $28 in 
        added export revenue for each invested program dollar.
          (2) Our global competitors provide substantially more public 
        support for export promotion than is provided to United States 
        agricultural exporters. The Market Access Program and Foreign 
        Market Development Program receive combined annual funding of 
        approximately $234,500,000. In comparison, the European Union 
        allocates $255,000,000 annually for the international promotion 
        of wine alone.
          (3) The preservation and streamlining of United States export 
        market development programs complements the recent 
        reorganization within the Department of Agriculture by ensuring 
        the newly established Under Secretary for Trade and Foreign 
        Agricultural Affairs has the tools necessary to enhance the 
        competitiveness of the United States agricultural industry on 
        the global stage.

SEC. 3102. CONSOLIDATION OF CURRENT PROGRAMS AS NEW INTERNATIONAL 
                    MARKET DEVELOPMENT PROGRAM.

  (a) International Market Development Program.--Section 205 of the 
Agricultural Trade Act of 1978 (7 U.S.C. 5625) is amended to read as 
follows:

``SEC. 205. INTERNATIONAL MARKET DEVELOPMENT PROGRAM.

  ``(a) Program Required.--The Secretary and the Commodity Credit 
Corporation shall establish and carry out a program, to be known as the 
`International Market Development Program', to encourage the 
development, maintenance, and expansion of commercial export markets 
for United States agricultural commodities.
  ``(b) Market Access Program Component.--
          ``(1) In general.--As one of the components of the 
        International Market Development Program, the Commodity Credit 
        Corporation shall carry out a program to encourage the 
        development, maintenance, and expansion of commercial export 
        markets for United States agricultural commodities through 
        cost-share assistance to eligible trade organizations that 
        implement a foreign market development program.
          ``(2) Types of assistance.--Assistance under this subsection 
        may be provided in the form of funds of, or commodities owned 
        by, the Commodity Credit Corporation, as determined appropriate 
        by the Secretary.
          ``(3) Participation requirements.--
                  ``(A) Marketing plan and other requirements.--To be 
                eligible for cost-share assistance under this 
                subsection, an eligible trade organization shall--
                          ``(i) prepare and submit a marketing plan to 
                        the Secretary that meets the guidelines 
                        governing such a marketing plan specified in 
                        this paragraph or otherwise established by the 
                        Secretary;
                          ``(ii) meet any other requirements 
                        established by the Secretary; and
                          ``(iii) enter into an agreement with the 
                        Secretary.
                  ``(B) Purpose of marketing plan.--A marketing plan 
                submitted under this paragraph shall describe the 
                advertising or other market oriented export promotion 
                activities to be carried out by the eligible trade 
                organization with respect to which assistance under 
                this subsection is being requested.
                  ``(C) Specific elements.--To be approved by the 
                Secretary, a marketing plan submitted under this 
                paragraph shall--
                          ``(i) specifically describe the manner in 
                        which assistance received by the eligible trade 
                        organization, in conjunction with funds and 
                        services provided by the eligible trade 
                        organization, will be expended in implementing 
                        the marketing plan;
                          ``(ii) establish specific market goals to be 
                        achieved under the marketing plan; and
                          ``(iii) contain whatever additional 
                        requirements are determined by the Secretary to 
                        be necessary.
                  ``(D) Branded promotion.--A marketing plan approved 
                by the Secretary may provide for the use of branded 
                advertising to promote the sale of United States 
                agricultural commodities in a foreign country under 
                such terms and conditions as may be established by the 
                Secretary.
                  ``(E) Amendments.--An approved marketing plan may be 
                amended by the eligible trade organization at any time, 
                subject to the approval by the Secretary of the 
                amendments.
          ``(4) Level of assistance and cost-share requirements.--
                  ``(A) In general.--The Secretary shall justify in 
                writing the level of assistance to be provided to an 
                eligible trade organization under this subsection and 
                the level of cost sharing required of the organization.
                  ``(B) Limitation on branded promotion.--Assistance 
                provided under this subsection for activities described 
                in paragraph (3)(D) shall not exceed 50 percent of the 
                cost of implementing the marketing plan, except that 
                the Secretary may determine not to apply such 
                limitation in the case of United States agricultural 
                commodities with respect to which there has been a 
                favorable decision by the United States Trade 
                Representative under section 301 of the Trade Act of 
                1974 (19 U.S.C. 2411). Criteria used by the Secretary 
                for determining that the limitation shall not apply 
                shall be consistent and documented.
          ``(5) Other terms and conditions.--
                  ``(A) Multi-year basis.--The Secretary may provide 
                assistance under this subsection on a multi-year basis, 
                subject to annual review by the Secretary for 
                compliance with the approved marketing plan.
                  ``(B) Termination of assistance.--The Secretary may 
                terminate any assistance made, or to be made, available 
                under this subsection if the Secretary determines 
                that--
                          ``(i) the eligible trade organization is not 
                        adhering to the terms and conditions applicable 
                        to the provision of the assistance;
                          ``(ii) the eligible trade organization is not 
                        implementing the approved marketing plan or is 
                        not adequately meeting the established goals of 
                        the plan;
                          ``(iii) the eligible trade organization is 
                        not adequately contributing its own resources 
                        to the implementation of the plan; or
                          ``(iv) the Secretary determines that 
                        termination of assistance in a particular 
                        instance is in the best interests of the 
                        program.
                  ``(C) Evaluations.--Beginning not later than 15 
                months after the initial provision of assistance under 
                this subsection to an eligible trade organization, the 
                Secretary shall monitor the expenditures by the 
                eligible trade organization of such assistance, 
                including the following:
                          ``(i) An evaluation of the effectiveness of 
                        the marketing plan of the eligible trade 
                        organization in developing or maintaining 
                        markets for United States agricultural 
                        commodities.
                          ``(ii) An evaluation of whether assistance 
                        provided under this subsection is necessary to 
                        maintain such markets.
                          ``(iii) A thorough accounting of the 
                        expenditure by the eligible trade organization 
                        of the assistance provided under this 
                        subsection.
          ``(6) Restrictions on use of funds.--Assistance provided 
        under this subsection to an eligible trade organization shall 
        not be used--
                  ``(A) to provide direct assistance to any foreign 
                for-profit corporation for the corporation's use in 
                promoting foreign-produced products; or
                  ``(B) to provide direct assistance to any for-profit 
                corporation that is not recognized as a small business 
                concern, excluding a cooperative, an association 
                described in the first section of the Act entitled `An 
                Act To authorize association of producers of 
                agricultural products', approved February 18, 1922 (7 
                U.S.C. 291), or a nonprofit trade association.
          ``(7) Permissive use of funds.--Assistance provided under 
        this subsection to a United States agricultural trade 
        association, cooperative, or small business may be used for 
        individual branded promotional activity related to a United 
        States branded product, if the beneficiaries of the activity 
        have provided funds for the activity in an amount that is at 
        least equivalent to the amount of assistance provided under 
        this subsection.
          ``(8) Program considerations and priorities.--In providing 
        assistance under this subsection, the Secretary, to the maximum 
        extent practicable, shall--
                  ``(A) give equal consideration to--
                          ``(i) proposals submitted by organizations 
                        that were participating organizations in prior 
                        fiscal years; and
                          ``(ii) proposals submitted by eligible trade 
                        organizations that have not previously 
                        participated in the program established under 
                        this title;
                  ``(B) give equal consideration to--
                          ``(i) proposals submitted for activities in 
                        emerging markets; and
                          ``(ii) proposals submitted for activities in 
                        markets other than emerging markets.
          ``(9) Priority.--In providing assistance for branded 
        promotion, the Secretary should give priority to small-sized 
        entities.
          ``(10) Contribution level.--
                  ``(A) In general.--The Secretary should require a 
                minimum contribution level of 10 percent from an 
                eligible trade organization that receives assistance 
                for nonbranded promotion.
                  ``(B) Increases in contribution level.--The Secretary 
                may increase the contribution level in any subsequent 
                year that an eligible trade organization receives 
                assistance for nonbranded promotion.
          ``(11) Additionality.--The Secretary should require each 
        participant in the program to certify that any Federal funds 
        received supplement, but do not supplant, private or third 
        party participant funds or other contributions to program 
        activities.
          ``(12) Independent audits.--If as a result of an evaluation 
        or audit of activities of a participant under the program, the 
        Secretary determines that a further review is justified in 
        order to ensure compliance with the requirements of the 
        program, the Secretary should require the participant to 
        contract for an independent audit of the program activities, 
        including activities of any subcontractor.
          ``(13) Tobacco.--No funds made available under the market 
        promotion program may be used for activities to develop, 
        maintain, or expand foreign markets for tobacco.
  ``(c) Foreign Market Development Cooperator Component.--
          ``(1) In general.--As one of the components of the 
        International Market Development Program, the Secretary shall 
        carry out a foreign market development cooperator program to 
        maintain and develop foreign markets for United States 
        agricultural commodities.
          ``(2) Cooperation.--The Secretary shall carry out the foreign 
        market development cooperator program in cooperation with 
        eligible trade organizations.
          ``(3) Administration.--Funds made available to carry out the 
        foreign market development cooperator program shall be used 
        only to provide--
                  ``(A) cost-share assistance to an eligible trade 
                organization under a contract or agreement with the 
                organization; and
                  ``(B) assistance for other costs that are necessary 
                or appropriate to carry out the foreign market 
                development cooperator program, including contingent 
                liabilities that are not otherwise funded.
          ``(4) Program considerations.--In providing assistance under 
        this subsection, the Secretary, to the maximum extent 
        practicable, shall--
                  ``(A) give equal consideration to--
                          ``(i) proposals submitted by eligible trade 
                        organizations that were participating 
                        organizations in the foreign market development 
                        cooperator program in prior fiscal years; and
                          ``(ii) proposals submitted by eligible trade 
                        organizations that have not previously 
                        participated in the foreign market development 
                        cooperator program; and
                  ``(B) give equal consideration to--
                          ``(i) proposals submitted for activities in 
                        emerging markets; and
                          ``(ii) proposals submitted for activities in 
                        markets other than emerging markets.
  ``(d) Technical Assistance for Specialty Crops Component.--
          ``(1) In general.--As one of the components of the 
        International Market Development Program, the Secretary shall 
        carry out an export assistance program to address existing or 
        potential barriers that prohibit or threaten the export of 
        United States specialty crops.
          ``(2) Purpose.--The export assistance program required by 
        this subsection shall provide direct assistance through public 
        and private sector projects and technical assistance to remove, 
        resolve, or mitigate existing or potential sanitary and 
        phytosanitary and technical barriers to trade.
          ``(3) Priority.--The export assistance program required by 
        this subsection shall address time sensitive and strategic 
        market access projects based on--
                  ``(A) trade effect on market retention, market 
                access, and market expansion; and
                  ``(B) trade impact.
          ``(4) Annual report.--The Secretary shall submit to the 
        appropriate committees of Congress an annual report that 
        contains, for the period covered by the report, a description 
        of each factor that affects the export of specialty crops, 
        including each factor relating to any significant sanitary or 
        phytosanitary issue or trade barrier.
  ``(e) E. (Kika) De La Garza Emerging Markets Program Component.--
          ``(1) In general.--
                  ``(A) Establishment of program.--The Secretary, in 
                order to develop, maintain, or expand export markets 
                for United States agricultural commodities, is 
                directed--
                          ``(i) to make available to emerging markets 
                        the expertise of the United States to make 
                        assessments of the food and rural business 
                        systems needs of such emerging markets;
                          ``(ii) to make recommendations on measures 
                        necessary to enhance the effectiveness of the 
                        systems, including potential reductions in 
                        trade barriers; and
                          ``(iii) to identify and carry out specific 
                        opportunities and projects to enhance the 
                        effectiveness of those systems.
                  ``(B) Extent of program.--The Secretary shall 
                implement this paragraph with respect to at least 3 
                emerging markets in each fiscal year.
          ``(2) Implementation of program.--The Secretary may implement 
        the requirements of paragraph (1)--
                  ``(A) by providing assistance to teams consisting 
                primarily of agricultural consultants, farmers, other 
                persons from the private sector and government 
                officials expert in assessing the food and rural 
                business systems of other countries to enable such 
                teams to conduct the assessments, make the 
                recommendations, and identify the opportunities and 
                projects specified in such paragraph in emerging 
                markets; and
                  ``(B) by providing for necessary subsistence and 
                transportation expenses of--
                          ``(i) United States food and rural business 
                        system experts, including United States 
                        agricultural producers and other United States 
                        individuals knowledgeable in agricultural and 
                        agribusiness matters, to enable such United 
                        States food and rural business system experts 
                        to assist in transferring knowledge and 
                        expertise to entities in emerging markets; and
                          ``(ii) individuals designated by emerging 
                        markets to enable such designated individuals 
                        to consult with such United States experts to 
                        enhance food and rural business systems of such 
                        emerging markets and to transfer knowledge and 
                        expertise to such emerging markets.
          ``(3) Cost-sharing.--The Secretary shall encourage the 
        nongovernmental experts described in paragraph (2) to share the 
        costs of, and otherwise assist in, the participation of such 
        experts in the program under this paragraph.
          ``(4) Technical assistance.--The Secretary is authorized to 
        provide, or pay the necessary costs for, technical assistance 
        (including the establishment of extension services) necessary 
        to enhance the effectiveness of food and rural business systems 
        needs of emerging markets, including potential reductions in 
        trade barriers.
          ``(5) Reports to secretary.--A team that receives assistance 
        under paragraph (2) shall prepare such reports with respect to 
        the use of such assistance as the Secretary may require.
  ``(f) Definitions.--In this section:
          ``(1) Eligible trade organization.--
                  ``(A) Market access program component.--In subsection 
                (b), the term `eligible trade organization' means--
                          ``(i) a United States agricultural trade 
                        organization or regional State-related 
                        organization that promotes the export and sale 
                        of United States agricultural commodities and 
                        that does not stand to profit directly from 
                        specific sales of United States agricultural 
                        commodities;
                          ``(ii) a cooperative organization or State 
                        agency that promotes the sale of United States 
                        agricultural commodities; or
                          ``(iii) a private organization that promotes 
                        the export and sale of United States 
                        agricultural commodities if the Secretary 
                        determines that such organization would 
                        significantly contribute to United States 
                        export market development.
                  ``(B) Foreign market development cooperator 
                component.--In subsection (c), the term `eligible trade 
                organization'' means a United States trade organization 
                that--
                          ``(i) promotes the export of one or more 
                        United States agricultural commodities; and
                          ``(ii) does not have a business interest in 
                        or receive remuneration from specific sales of 
                        United States agricultural commodities.
          ``(2) Emerging market.--The term `emerging market' means any 
        country that the Secretary determines--
                  ``(A) is taking steps toward a market-oriented 
                economy through the food, agriculture, or rural 
                business sectors of the economy of the country; and
                  ``(B) has the potential to provide a viable and 
                significant market for United States agricultural 
                commodities.
          ``(3) Small-business concern.--The term `small-business 
        concern' has the meaning given that term in section 3(a) of the 
        Small Business Act (15 U.S.C. 632(a)).
          ``(4) United states agricultural commodity.--The term `United 
        States agricultural commodity' has the meaning given the term 
        in section 102 of the Agriculture Trade Act of 1978 (7 U.S.C. 
        5602) and includes commodities that are organically produced 
        (as defined in section 2103 of the Organic Foods Production Act 
        of 1990 (7 U.S.C. 6502)).''.
  (b) Funding Provision.--Subsection (c) of section 211 of the 
Agricultural Trade Act of 1978 (7 U.S.C. 5641) is amended to read as 
follows:
  ``(c) International Market Development Program.--
          ``(1) In general.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall make available for the 
        International Market Development Program under section 205 
        $255,000,000 for each of the fiscal years 2019 through 2023. 
        Such amounts shall remain available until expended.
          ``(2) Set-asides.--
                  ``(A) Market access program component.--Of the funds 
                made available under paragraph (1) for a fiscal year, 
                not less than $200,000,000 shall be used for the market 
                access program component of the International Market 
                Development Program under subsection (b) of section 
                205.
                  ``(B) Foreign market development cooperator 
                component.--Of the funds made available under paragraph 
                (1) for a fiscal year, not less than $34,500,000 shall 
                be used for the foreign market development cooperator 
                component of the International Market Development 
                Program under subsection (c) of section 205.
                  ``(C) Technical assistance for specialty crops 
                component.--Of the funds made available under paragraph 
                (1) for a fiscal year, not more than $9,000,000, shall 
                be used for the specialty crops component of the 
                International Market Development Program under 
                subsection (d) of section 205.
                  ``(D) Agricultural exports to emerging markets 
                component.--Of the funds made available under paragraph 
                (1) for a fiscal year, not more than $10,000,000 shall 
                be used to promote agricultural exports to emerging 
                markets under the International Market Development 
                Program under subsection (e) of section 205.''.
  (c) Repeal of Superseded Programs.--
          (1) Market access program.--Section 203 of the Agricultural 
        Trade Act of 1978 (7 U.S.C. 5623) is repealed.
          (2) Promotional assistance.--Section 1302 of the Omnibus 
        Budget Reconciliation Act of 1993 is repealed.
          (3) Foreign market development cooperator program.--Title VII 
        of the Agricultural Trade Act of 1978 (7 U.S.C. 5721-5723) is 
        repealed.
          (4) Export assistance program for specialty crops.--Section 
        3205 of the Farm Security and Rural Investment Act of 2002 (7 
        U.S.C. 5680) is repealed.
          (5) Emerging markets program.--Section 1542 of the Food, 
        Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5622 
        note; Public Law 101-624) is amended by striking subsection (d) 
        and by redesignating subsection (e) and (f) as subsections (d) 
        and (e), respectively.
  (d) Conforming Amendments.--
          (1) Agricultural trade act of 1978.--The Agricultural Trade 
        Act of 1978 is amended--
                  (A) in section 202 (7 U.S.C. 5622), by adding at the 
                end the following new subsection:
  ``(k) Combination of Programs.--The Commodity Credit Corporation may 
carry out a program under which commercial export credit guarantees 
available under this section are combined with direct credits from the 
Commodity Credit Corporation under section 201 to reduce the effective 
rate of interest on export sales of United States agricultural 
commodities.''; and
                  (B) in section 402(a)(1) (7 U.S.C. 5662(a)(1)), by 
                striking ``203'' and inserting ``205(b)''.
          (2) Agricultural marketing act of 1946.--Section 282(f)(2)(C) 
        of the Agricultural Marketing Act of 1946 (7 U.S.C. 
        1638a(f)(2)(C)) is amended by striking ``section 203 of the 
        Agricultural Trade Act of 1978 (7 U.S.C. 5623)'' and inserting 
        ``section 205 of the Agricultural Trade Act of 1978''.
          (3) Food, agriculture, conservation, and trade act of 1990.--
        Section 1543(b)(5) of the Food, Agriculture, Conservation, and 
        Trade Act of 1990 (7 U.S.C. 3293(b)(5)) is amended by striking 
        ``1542(f)'' and inserting ``1542(e)''.

               Subtitle C--Other Agricultural Trade Laws

SEC. 3201. LOCAL AND REGIONAL FOOD AID PROCUREMENT PROJECTS.

  Section 3206(e)(1) of the Food, Conservation, and Energy Act of 2008 
(7 U.S.C. 1726c(e)(1)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 3202. PROMOTION OF AGRICULTURAL EXPORTS TO EMERGING MARKETS.

  Section 1542(a) of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5622 note; Public Law 101-624) is amended by striking 
``2018'' and inserting ``2023''.

SEC. 3203. BILL EMERSON HUMANITARIAN TRUST ACT.

  Section 302 of the Bill Emerson Humanitarian Trust Act (7 U.S.C. 
1736f-1) is amended--
          (1) in subsection (b)(2)(B)(i), by striking ``2018'' each 
        place it appears and inserting ``2023''; and
          (2) in subsection (h), by striking ``2018'' each place it 
        appears and inserting ``2023''.

SEC. 3204. FOOD FOR PROGRESS ACT OF 1985.

  (a) Extension.--Section 1110 of the Food Security Act of 1985 (also 
known as the Food for Progress Act of 1985; 7 U.S.C. 1736o) is 
amended--
          (1) in subsection (f)(3), by striking ``2018'' and inserting 
        ``2023'';
          (2) in subsection (g), by striking ``2018'' and inserting 
        ``2023'';
          (3) in subsection (k), by striking ``2018'' and inserting 
        ``2023''; and
          (4) in subsection (l)(1), by striking ``2018'' and inserting 
        ``2023''.
  (b) Eligible Entities.--Section 1110(b)(5) of the Food Security Act 
of 1985 (also known as the Food for Progress Act of 1985; 7 U.S.C. 
1736o(b)(5)) is amended--
          (1) by striking ``and'' at the end of subparagraph (E);
          (2) by redesignating subparagraph (F) as subparagraph (G); 
        and
          (3) by inserting after subparagraph (E) the following new 
        subparagraph:
                  ``(F) a college or university (as such terms are 
                defined in section 1404(4) of the Food and Agriculture 
                Act of 1977 (7 U.S.C. 3103(4)); and''.
  (c) Private Voluntary Organizations and Other Private Entities.--
Section 1110(o) of the Food Security Act of 1985 is amended in 
paragraph (1) by striking ``(F)'' and inserting ``(G)''.

SEC. 3205. MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND CHILD 
                    NUTRITION PROGRAM.

  (a) Consideration of Proposals.--Section 3107(f)(1)(B) of the Farm 
Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-1(f)(1)(B)) 
is amended by inserting before the semicolon the following: ``and, to 
the extent practicable, that assistance will be provided on a timely 
basis so as to coincide with the beginning of and when needed during 
the relevant school year''.
  (b) Authorization of Appropriations.--Section 3107(l)(2) of the Farm 
Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-1(l)(2)) is 
amended by striking ``2018'' and inserting ``2023''.

SEC. 3206. COCHRAN FELLOWSHIP PROGRAM.

  (a) Authorized Locations for Training.--Section 1543(a) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 3293(a)) is 
amended by striking ``for study in the United States.'' and inserting 
the following: ``for study--
          ``(1) in the United States; or
          ``(2) at a college or university located in an eligible 
        country that the Secretary determines--
                  ``(A) has sufficient scientific and technical 
                facilities;
                  ``(B) has established a partnership with at least one 
                college or university in the United States; and
                  ``(C) has substantial participation by faculty 
                members of the United States college or university in 
                the design of the fellowship curriculum and classroom 
                instruction under the fellowship.''.
  (b) Fellowship Purposes.--Section 1543(c)(2) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 3293(c)(2)) 
is amended by inserting before the period at the end the following: ``, 
including trade linkages involving regulatory systems governing 
sanitary and phyto-sanitary standards for agricultural products''.

SEC. 3207. BORLAUG FELLOWSHIP PROGRAM.

  Section 1473G of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3319j) is amended to read as 
follows:

``SEC. 1473G. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND TECHNOLOGY 
                    FELLOWSHIP PROGRAM.

  ``(a) Fellowship Program.--
          ``(1) Establishment.--The Secretary shall establish a 
        fellowship program, to be known as the `Borlaug International 
        Agricultural Science and Technology Fellowship Program'.
          ``(2) Fellowships to individuals from eligible countries.--As 
        part of the fellowship program, the Secretary shall provide 
        fellowships to individuals from eligible countries as described 
        in subsection (b) who specialize in agricultural education, 
        research, and extension for scientific training and study 
        designed to assist individual fellowship recipients, including 
        the following 3 programs:
                  ``(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.
                  ``(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.
          ``(3) Fellowships to united states citizens.--As part of the 
        fellowship program, the Secretary shall provide fellowships to 
        citizens of the United States to assist eligible countries in 
        developing school-based agricultural education and youth 
        extension programs.
  ``(b) Eligible Country Described.--For purposes of this section, 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.--
          ``(1) Fellowships to individuals from eligible countries.--A 
        fellowship provided under subsection (a)(2) shall--
                  ``(A) promote food security and economic growth in 
                eligible countries by--
                          ``(i) educating a new generation of 
                        agricultural scientists;
                          ``(ii) increasing scientific knowledge and 
                        collaborative research to improve agricultural 
                        productivity; and
                          ``(iii) extending that knowledge to users and 
                        intermediaries in the marketplace; and
                  ``(B) support--
                          ``(i) training and collaborative research 
                        opportunities through exchanges for entry level 
                        international agricultural research scientists, 
                        faculty, and policymakers from eligible 
                        countries;
                          ``(ii) collaborative research to improve 
                        agricultural productivity;
                          ``(iii) the transfer of new science and 
                        agricultural technologies to strengthen 
                        agricultural practice; and
                          ``(iv) the reduction of barriers to 
                        technology adoption.
          ``(2) Fellowships to united states citizens.--A fellowship 
        provided under subsection (a)(3) shall--
                  ``(A) develop globally minded United States 
                agriculturists with experience living abroad;
                  ``(B) focus on meeting the food and fiber needs of 
                the domestic population of eligible countries; and
                  ``(C) strengthen and enhance trade linkages between 
                eligible countries and the United States agricultural 
                industry.
  ``(d) Fellowship Recipients.--
          ``(1) Fellowships to individuals from eligible countries.--
                  ``(A) Eligible candidates.--The Secretary may provide 
                fellowships under subsection (a)(2) to individuals from 
                eligible countries who specialize or have experience in 
                agricultural education, research, extension, or related 
                fields, including--
                          ``(i) individuals from the public and private 
                        sectors; and
                          ``(ii) private agricultural producers.
                  ``(B) Candidate identification.--For fellowships 
                under subsection (a)(2), the Secretary shall use the 
                expertise of United States land-grant colleges and 
                universities and similar universities, international 
                organizations working in agricultural research and 
                outreach, and national agricultural research 
                organizations to help identify program candidates for 
                fellowships from the public and private sectors of 
                eligible countries.
                  ``(C) Location of training.--The scientific training 
                or study of fellowship recipients under subsection 
                (a)(2) shall occur--
                          ``(i) in the United States; or
                          ``(ii) at a college or university located in 
                        an eligible country that the Secretary 
                        determines--
                                  ``(I) has sufficient scientific and 
                                technical facilities;
                                  ``(II) has established a partnership 
                                with at least one college or university 
                                in the United States; and
                                  ``(III) has substantial participation 
                                by faculty members of the United States 
                                college or university in the design of 
                                the fellowship curriculum and classroom 
                                instruction under the fellowship.
          ``(2) Fellowships to united states citizens.--
                  ``(A) Eligible candidates.--The Secretary may provide 
                fellowships under subsection (a)(3) to citizens of the 
                United States who--
                          ``(i) hold at least a bachelors degree in an 
                        agricultural related field of study; and
                          ``(ii) have an understanding of United States 
                        school-based agricultural education and youth 
                        extension programs, as determined by the 
                        Secretary.
                  ``(B) Candidate identification.--For fellowships 
                under subsection (a)(3), the Secretary shall consult 
                with the National FFA Organization, the National 4-H 
                Council, and other entities as the Secretary deems 
                appropriate to identify candidates for fellowships.
  ``(e) 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), except 
that--
          ``(1) the Secretary may contract out to 1 or more 
        collaborating universities the management of 1 or more of the 
        fellowship programs under subsection (a)(2); and
          ``(2) the Secretary may contract out the management of the 
        fellowship program under subsection (a)(3) to an outside 
        organization with experience in implementing fellowship 
        programs focused on building capacity for school-based 
        agricultural education and youth extension programs in 
        developing countries.
  ``(f) Authorization of Appropriations.--
          ``(1) In general.--There are authorized to be appropriated 
        $6,000,000 to carry out this section.
          ``(2) Set-asides.--Of any funds made available pursuant to 
        paragraph (1), not less than $2,800,000 shall be used to carry 
        out the fellowship program for individuals from eligible 
        countries under subsection (a)(2).
          ``(3) Duration.--Any funds made available pursuant to 
        paragraph (1) shall remain available until expended.''.

SEC. 3208. GLOBAL CROP DIVERSITY TRUST.

  (a) United States Contribution Limit.--Section 3202(b) of the Food, 
Conservation, and Energy Act of 2008 (22 U.S.C. 2220a note; Public Law 
110-246(b)) is amended by striking ``25 percent'' and inserting ``33 
percent''.
  (b) Authorization of Appropriations.--Section 3202(c) of the Food, 
Conservation, and Energy Act of 2008 (Public Law 110-246; 22 U.S.C. 
2220a note) is amended by striking ``for the period of fiscal years 
2014 through 2018'' and inserting ``for the period of fiscal years 2019 
through 2023''.

SEC. 3209. GROWING AMERICAN FOOD EXPORTS ACT OF 2018.

  Section 1543A of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5679) is amended to read as follows:

``SEC. 1543A. BIOTECHNOLOGY AND AGRICULTURAL TRADE PROGRAM.

  ``(a) Establishment.--There is established in the Department of 
Agriculture a program to be known as the `Biotechnology and 
Agricultural Trade Program'.
  ``(b) Purpose.--The purpose of the program established under this 
section shall be to remove, resolve, or mitigate significant regulatory 
nontariff barriers to the export of United States agricultural 
commodities into foreign markets through policy advocacy and targeted 
projects that address--
          ``(1) issues relating to United States agricultural 
        commodities produced with the use of biotechnology or new 
        agricultural production technologies;
          ``(2) advocacy for science-based regulation in foreign 
        markets of biotechnology or new agricultural production 
        technologies; or
          ``(3) quick-response intervention regarding non-tariff 
        barriers to United States exports produced through 
        biotechnology or new agricultural production technologies.
  ``(c) Eligible Programs.--Depending on need, as determined by the 
Secretary, activities authorized under this section may be carried out 
through--
          ``(1) this section;
          ``(2) the emerging markets program under section 1542; or
          ``(3) the Cochran Fellowship Program under section 1543.''.

                          TITLE IV--NUTRITION

         Subtitle A--Supplemental Nutrition Assistance Program

SEC. 4001. DUPLICATIVE ENROLLMENT DATABASE.

  (a) Expansion of the Duplicative Enrollment Database.--The Food and 
Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) is amended by adding at 
the end the following:

``SEC. 30. DUPLICATIVE ENROLLMENT DATABASE.

  ``(a) In General.--The Secretary shall establish an interstate 
database, or system of databases, of supplemental nutrition assistance 
program information to be known as the Duplicative Enrollment Database 
that shall include the data submitted by each State pursuant to section 
11(e)(26) and that shall meet security standards as determined by the 
Secretary.
  ``(b) Purpose.--Any database, or system of databases, established 
pursuant to subsection (a) shall be used by States when making 
eligibility determinations to prevent supplemental nutrition assistance 
program participants from receiving duplicative benefits in multiple 
States.
  ``(c) Implementation.--
          ``(1) Issuance of interim final regulations.--Not later than 
        18 months after the effective date of this section, the 
        Secretary shall issue interim final regulations to carry out 
        this section that--
                  ``(A) incorporate best practices and lessons learned 
                from the regional pilot project referenced in section 
                4032(c) of the Agricultural Act of 2014 (7 U.S.C. 
                2036c(c));
                  ``(B) protect the privacy of supplemental nutrition 
                assistance program participants and applicants 
                consistent with section 11(e)(8); and
                  ``(C) detail the process States will be required to 
                follow for--
                          ``(i) conducting initial and ongoing matches 
                        of participant and applicant data;
                          ``(ii) identifying and acting on all apparent 
                        instances of duplicative participation by 
                        participants or applicants in multiple States;
                          ``(iii) disenrolling an individual who has 
                        applied to participate in another State in a 
                        manner sufficient to allow the State in which 
                        the individual is currently applying to comply 
                        with sections 11(e)(3) and (9); and
                          ``(iv) complying with such other rules and 
                        standards the Secretary determines appropriate 
                        to carry out this section.
          ``(2) Timing.--The initial match and corresponding actions 
        required by paragraph (1)(C) shall occur within 3 years after 
        the date of the enactment of the Agriculture and Nutrition Act 
        of 2018.
  ``(d) Reports.--Using the data submitted to the Duplicative 
Enrollment Database, the Secretary shall publish an annual report 
analyzing supplemental nutrition assistance program participant 
characteristics, including participant tenure on the program. The 
report shall be made available to the public in a manner that prevents 
identification of participants that receive supplemental nutrition 
assistance program benefits.''.
  (b) State Data Collection and Submission Requirements.--Section 11(e) 
of the Food and Nutrition Act of 2008 (7 U.S.C. 2020(e)) is amended--
          (1) in paragraph (24) by striking ``and'' at the end,
          (2) in paragraph (25) by striking the period at the end and 
        inserting ``; and'', and
          (3) by adding at the end the following:
          ``(26) that the State agency shall collect and submit 
        supplemental nutrition assistance program data to the 
        Duplicative Enrollment Database established in section 30, in 
        accordance with guidance or rules issued by the Secretary 
        establishing a uniform method and format for the collection and 
        submission of data, including for each member of a 
        participating household--
                  ``(A) the social security number or the social 
                security number substitute;
                  ``(B) the employment status of such member;
                  ``(C) the amount of income and whether that income is 
                earned or unearned;
                  ``(D) that member's portion of the household monthly 
                allotment, and
                  ``(E) the portion of the aggregate value of household 
                assets attributed to that member.''.

SEC. 4002. RETAILER-FUNDED INCENTIVES PILOT.

  The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.), as 
amended by section 4001, is amended by adding at the end the following:

``SEC. 31. RETAILER-FUNDED INCENTIVES PILOT.

  ``(a) In General.--The Secretary shall establish a pilot project in 
accordance with subsection (d) through which participating retail food 
stores provide bonuses to participating households based on household 
purchases of fruits, vegetables, and fluid milk.
  ``(b) Definitions.--For purposes of this section--
          ``(1) The term `bonus' means a financial incentive provided 
        at the point of sale to a participating household that expends 
        a portion of its allotment for the purchase of fruits, 
        vegetables, or fluid milk.
          ``(2) The term `fluid milk' means cow milk without flavoring 
        or sweeteners and packaged in liquid form.
          ``(3) The term `fruits' means minimally processed fruits.
          ``(4) The term `retail food store' means a retail food store 
        as defined in section 3(o)(1) that is authorized to accept and 
        redeem benefits under the supplemental nutrition assistance 
        program.
          ``(5) The term `vegetables' means minimally processed 
        vegetables.
  ``(c) Project Participant Plans.--To participate in the pilot project 
established under subsection (a), a retail food store shall submit to 
the Secretary for approval a plan that includes--
          ``(1) a method of quantifying the cost of fruits, vegetables, 
        and fluid milk, that will earn households a bonus;
          ``(2) a method of providing bonuses to participating 
        households and adequately testing such method;
          ``(3) a method of ensuring bonuses earned by households may 
        be used only to purchase food eligible for purchase under the 
        supplemental nutrition assistance program;
          ``(4) a method of educating participating households about 
        the availability and use of a bonus;
          ``(5) a method of providing data and reports, as requested by 
        the Secretary, for purposes of analyzing the impact of the 
        pilot project established under subsection (a) on household 
        access, ease of bonus use, and program integrity; and
          ``(6) such other criteria, including security criteria, as 
        established by the Secretary.
  ``(d) Pilot Project Requirements.--Retail food stores with plans 
approved under subsection (c) to participate in the pilot project 
established under subsection (a) shall--
          ``(1) provide a bonus in a dollar amount not to exceed 10 
        percent of the price of the purchased fruits, vegetables, and 
        fluid milk;
          ``(2) fund the dollar amount of bonuses used by households, 
        and pay for administrative costs, such as fees and system 
        costs, associated with providing such bonuses;
          ``(3) ensure that bonuses earned by households may be used 
        only to purchase food eligible for purchase under the 
        supplemental nutrition assistance program; and
          ``(4) provide data and reports as requested by the Secretary 
        for purposes of analyzing the impact of the pilot project 
        established under subsection (a) on household access, ease of 
        bonus use, and program integrity.
  ``(e) Limitation.--A retail food store participating in a project 
under section 4405 of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 7517) shall not be eligible to participate in the pilot project 
established under subsection (a).
  ``(f) Implementation.--Not later than 18 months after the date of the 
enactment of Agriculture and Nutrition Act of 2018, the Secretary shall 
solicit and approve plans submitted under subsection (c) that satisfy 
the requirements of such subsection.
  ``(g) Reimbursements.--
          ``(1) Rate of reimbursement.--Subject to paragraphs (2) and 
        (3), the Secretary shall reimburse retail food stores with 
        plans approved under subsection (f) in an amount not to exceed 
        25 percent of the dollar value of bonuses earned by households 
        and used to purchase food eligible for purchase under the 
        supplemental nutrition assistance program.
          ``(2) Aggregate amount of reimbursements.--The aggregate 
        amount of reimbursements paid in a fiscal year to all retail 
        food stores that participate in the pilot project established 
        under subsection (a) in such fiscal year shall not exceed 
        $120,000,000.
          ``(3) Requirements.--
                  ``(A) Timeline.--Not later than 1 year after the date 
                of the enactment of the Agriculture and Nutrition Act 
                of 2018, the Secretary shall establish requirements to 
                implement this section, including criteria for 
                prioritizing reimbursements to such stores within the 
                limit established in paragraph (2) and subject to 
                subparagraph (B).
                  ``(B) Distribution of reimbursements.--
                          ``(i) Monthly payments.--Reimbursements 
                        payable under this subsection shall be paid on 
                        a monthly basis.
                          ``(ii) Prorated payments.--If funds made 
                        available under subsection (h) are insufficient 
                        to pay in full reimbursements payable for a 
                        month because of the operation of paragraph 
                        (2), such reimbursements shall be paid on a pro 
                        rata basis to the extent funds remain available 
                        for payment.
  ``(h) Funding.--From funds made available under section 18(a)(1) for 
a fiscal year, the Secretary shall allocate not to exceed $120,000,000 
for reimbursements payable under this section for such fiscal year.''.

SEC. 4003. GUS SCHUMACHER FOOD INSECURITY NUTRITION INCENTIVE PROGRAM.

  (a) Amendments.--Section 4405 of the Food, Conservation, and Energy 
Act of 2008 (7 U.S.C. 7517) is amended--
          (1) by striking the heading and inserting ``gus schumacher 
        food insecurity nutrition incentive program'',
          (2) in subsection (b)--
                  (A) in paragraph (2)--
                          (i) in subparagraph (A)(ii)--
                                  (I) in subclause (II) by inserting 
                                ``financial'' after ``providing'',
                                  (II) by amending subclause (III) to 
                                read as follows:
                                  ``(III) has adequate plans to collect 
                                data for reporting and agrees to 
                                participate in a program evaluation; 
                                and''.
                                  (III) in subclause (IV) by striking 
                                ``; and'' at the end and inserting a 
                                period, and
                                  (IV) by striking subclause (V), and
                          (ii) by amending subparagraph (B) to read as 
                        follows:
                  ``(B) Priorities.--In awarding grants under this 
                section--
                          ``(i) the Secretary shall give priority to 
                        projects that--
                                  ``(I) maximize the share of funds 
                                used for direct incentives to 
                                participants;
                                  ``(II) include coordination with 
                                multiple stakeholders, such as farm 
                                organizations, nutrition education 
                                programs, cooperative extension service 
                                programs, public health departments, 
                                health providers, private and public 
                                health insurance agencies, cooperative 
                                grocers, grocery associations, and 
                                community-based and non-governmental 
                                organizations;
                                  ``(III) have the capacity to generate 
                                sufficient data and analysis to 
                                demonstrate effectiveness of program 
                                incentives; and
                          ``(ii) the Secretary may also give priority 
                        to projects that--
                                  ``(I) are located in underserved 
                                communities;
                                  ``(II) use direct-to-consumer sales 
                                marketing;
                                  ``(III) demonstrate a track record of 
                                designing and implementing successful 
                                nutrition incentive programs that 
                                connect low-income consumers and 
                                agricultural producers;
                                  ``(IV) provide locally or regionally 
                                produced fruits and vegetables;
                                  ``(V) offer supplemental services in 
                                high-need communities, including online 
                                ordering, transportation between home 
                                and store, and delivery services;
                                  ``(VI) provide year-round access to 
                                program incentives; and
                                  ``(VII) address other criteria as 
                                established by the Secretary.'',
                  (B) by amending paragraph (4) to read as follows:
          ``(4) Training, evaluation, and information center.--
                  ``(A) In general.--The Secretary, in consultation 
                with the Director of the National Institute of Food and 
                Agriculture, shall establish a Food Insecurity 
                Nutrition Incentive Program Training, Evaluation, and 
                Information Center capable of providing services 
                related to grants under subsection (b), including--
                          ``(i) offering incentive program training and 
                        technical assistance to applicants and grantees 
                        to the extent practicable;
                          ``(ii) collecting, evaluating, and sharing 
                        information on best practices on common 
                        incentive activities;
                          ``(iii) assisting with collaboration among 
                        grantee projects, State agencies, and nutrition 
                        education programs;
                          ``(iv) facilitating communication between 
                        grantees and the Department of Agriculture; and
                          ``(v) compiling program data from grantees 
                        and generating an annual report to Congress on 
                        grant outcomes.
                  ``(B) Cooperative agreement.--To carry out 
                subparagraph (A), the Secretary may enter into a 
                cooperative agreement with an organization with 
                expertise in the supplemental nutrition assistance 
                program incentive programs, including--
                          ``(i) nongovernmental organizations;
                          ``(ii) State cooperative extension services;
                          ``(iii) regional food system centers;
                          ``(iv) Federal and State agencies;
                          ``(v) public, private, and land-grant 
                        colleges and universities; and
                          ``(vi) other appropriate entities as 
                        determined by the Secretary.
                  ``(C) Funding limitation.--Of the funds made 
                available under subsection (c), the Secretary may use 
                to carry out this paragraph not more than--
                          ``(i) $2,000,000 for each of the fiscal years 
                        2019 and 2020, and
                          ``(ii) $1,000,000 for each fiscal year 
                        thereafter.'', and
          (3) in subsection (c)--
                  (A) in paragraph (1) by striking ``2014 through 
                2018'' and inserting ``2019 through 2023'', and
                  (B) in paragraph (2)--
                          (i) in subparagraph (B) by striking ``and'' 
                        at the end;
                          (ii) in subparagraph (C) by striking the 
                        period at the end and inserting ``;'', and
                          (iii) by adding at the end the following:
                  ``(D) $45,000,000 for fiscal year 2019;
                  ``(E) $50,000,000 for fiscal year 2020;
                  ``(F) $55,000,000 for fiscal year 2021;
                  ``(G) $60,000,000 for fiscal year 2022; and
                  ``(H) $65,000,000 for fiscal year 2023 and each 
                fiscal year thereafter.''.
  (b) Conforming Amendment.--The table of contents of Food, 
Conservation, and Energy Act of 2008 is amended by striking the item 
relating to section 4405 by inserting the following:

``Sec. 4405. Gus Schumacher food insecurity nutrition incentive 
program.''.

SEC. 4004. RE-EVALUATION OF THRIFTY FOOD PLAN.

  Section 3(u) of the Food and Nutrition Act of 2008 (7 U.S.C. 2012(u)) 
is amended by inserting after the 1st sentence the following:
``By 2022 and at 5-year intervals thereafter, the Secretary shall re-
evaluate and publish the market baskets of the thrifty food plan based 
on current food prices, food composition data, and consumption 
patterns.''.

SEC. 4005. FOOD DISTRIBUTION PROGRAMS ON INDIAN RESERVATIONS.

  Section 4(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 2013(b)) 
is amended--
          (1) in paragraph (6)--
                  (A) in the heading by striking ``locally-grown'' and 
                inserting ``locally- and regionally-grown'',
                  (B) in subparagraph (A) by striking ``locally-grown'' 
                and inserting ``locally- and regionally-grown'',
                  (C) in subparagraph (C)--
                          (i) by striking ``locally grown'' and 
                        inserting ``locally- and regionally-grown'', 
                        and
                          (ii) by striking ``locally-grown'' and 
                        inserting ``locally- and regionally-grown'',
                  (D) by amending subparagraph (D) to read as follows:
                  ``(D) Purchase of foods.--In carrying out this 
                paragraph, the Secretary shall purchase or offer to 
                purchase those traditional foods that may be procured 
                cost-effectively.'';
                  (E) by striking subparagraph (E), and
                  (F) in subparagraph (F)--
                          (i) by striking ``(F)'' and inserting 
                        ``(E)'', and
                          (ii) by striking ``2018'' and inserting 
                        ``2023'', and
          (2) by adding at the end the following:
          ``(7) Funds availability.--Funds made available for a fiscal 
        year to carry out this subsection shall remain available for 
        obligation for a period of 2 fiscal years.''.

SEC. 4006. UPDATE TO CATEGORICAL ELIGIBILITY.

  Section 5 of the Food and Nutrition Act of 2008 (7 U.S.C. 2014) is 
amended--
          (1) in the 2d sentence of subsection (a)--
                  (A) by striking ``receives benefits'' and inserting 
                ``(1) receives cash assistance or ongoing and 
                substantial services'',
                  (B) by striking ``supplemental security'' and 
                inserting ``with an income eligibility limit of not 
                more than 130 percent of the poverty line as defined in 
                section 5(c)(1), (2) is elderly or disabled and 
                receives cash assistance or ongoing and substantial 
                services under a State program funded under part A of 
                title IV of the Social Security Act (42 U.S.C. 601 et 
                seq.) with an income eligibility limit of not more than 
                200 percent of the poverty line as defined in section 
                5(c)(1), (3) receives supplemental security'', and
                  (C) by striking ``or aid'' and inserting ``or (4) 
                receives aid'', and
          (2) in subsection (j)--
                  (A) by striking ``or who receives benefits'' and 
                inserting ``cash assistance or ongoing and substantial 
                services'' and
                  (B) by striking ``to have'' and inserting ``with an 
                income eligibility limit of not more than 130 percent 
                of the poverty line as defined in section 5(c)(1), or 
                who is elderly or disabled and receives cash assistance 
                or ongoing and substantial services under a State 
                program funded under part A of title IV of the Act (42 
                U.S.C. 601 et seq.) with an income eligibility limit of 
                not more than 200 percent of the poverty line as 
                defined in section 5(c)(1), to have''.

SEC. 4007. BASIC ALLOWANCE FOR HOUSING.

  (a) Exclusion of Basic Allowance for Housing.--Section 5(d) of the 
Food and Nutrition Act of 2008 (7 U.S.C. 2014(d)) is amended--
          (1) in paragraph (18) by striking ``and'' at the end,
          (2) in paragraph (19)(B) by striking the period and inserting 
        ``; and'', and
          (3) by adding at the end the following:
          ``(20) the value of an allowance received under section 403 
        of title 37 of the United States Code that does not exceed $500 
        monthly.''.
  (b) Update to Excess Shelter Expense Deduction.--Section 5(e)(6)(A) 
of the Food and Nutrition Act of 2008 (7 U.S.C. 2014(e)(6)(A)) is 
amended by inserting before the period at the end the following:
                ``, except that for a household that receives the 
                allowance under section 403 of title 37, United States 
                Code, only the expenses in excess of that allowance 
                shall be counted towards a household's expenses for the 
                calculation of the excess shelter deduction''.

SEC. 4008. EARNED INCOME DEDUCTION.

  Section 5(e)(2)(B) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(e)(2)(B)) is amended by striking ``20'' and inserting ``22''.

SEC. 4009. SIMPLIFIED HOMELESS HOUSING COSTS.

  Section 5(e)(6)(D) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(e)(6)(D)) is amended--
          (1) by redesignating clause (ii) as clause (iii), and
          (2) by striking clause (i) and inserting the following:
                          ``(i) Alternative deduction.--The State 
                        agency shall allow a deduction of $143 a month 
                        for households--
                                  ``(I) in which all members are 
                                homeless individuals;
                                  ``(II) that are not receiving free 
                                shelter throughout the month; and
                                  ``(III) that do not opt to claim an 
                                excess shelter expense deduction under 
                                subparagraph (A).
                          ``(ii) Adjustment.--For fiscal year 2019 and 
                        each subsequent fiscal year the amount of the 
                        homeless shelter deduction specified in clause 
                        (i) shall be adjusted to reflect changes for 
                        the 12-month period ending 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.''.

SEC. 4010. AVAILABILITY OF STANDARD UTILITY ALLOWANCES BASED ON RECEIPT 
                    OF ENERGY ASSISTANCE.

  (a) Allowance to Recipients of Energy Assistance.--
          (1) Standard utility allowance.--Section 5(e)(6)(C)(iv)(I) of 
        the of the Food and Nutrition Act of 2008 (7 U.S.C. 
        2014(e)(6)(C)(iv)(I)) is amended by inserting ``with an elderly 
        member'' after ``households''.
          (2) Conforming amendments.--Section 2605(f)(2)(A) of the Low-
        Income Home Energy Assistance Act is amended by inserting 
        ``received by a household with an elderly member'' before ``, 
        consistent with section 5(e)(6)(C)(iv)(I)''.
  (b) Third-party Energy Assistance Payments.--Section 5(k)(4) of the 
Food and Nutrition Act of 2008 (7 U.S.C. 2014(k)(4)) is amended--
          (1) in subparagraph (A) by inserting ``without an elderly 
        member'' after ``household'' the 1st place it appears; and
          (2) in subparagraph (B) by inserting ``with an elderly 
        member'' after ``household'' the 1st place it appears.

SEC. 4011. CHILD SUPPORT; COOPERATION WITH CHILD SUPPORT AGENCIES.

  (a) Deductions for Child Support Payments.--
          (1) Amendments.--Section 5(e) of the Food and Nutrition Act 
        of 2008 (7 U.S.C. 2014(e)) is amended--
                  (A) by striking paragraph (4), and
                  (B) by redesignating paragraphs (5) and (6) as 
                paragraphs (4) and (5), respectively.
          (2) Conforming amendment.--Section 5 of the Food and 
        Nutrition Act of 2008 (7 U.S.C. 2014) is amended--
                  (A) in subsection (k)(4)(B) by striking ``(e)(6)'' 
                and inserting ``(e)(5)'', and
                  (B) in subsection (n) by striking ``Regardless of 
                whether a State agency elects to provide a deduction 
                under subsection (e)(4), the'' and inserting ``The''.
  (b) Cooperation With Child Support Agencies.--
          (1) Amendments.--Section 6 of the Food and Nutrition Act of 
        2008 (7 U.S.C. 2015) is amended--
                  (A) in subsection (l)(1) by striking ``At the option 
                of a State agency, subject'' and inserting ``Subject'',
                  (B) in subsection (m)(1) by striking ``At the option 
                of a State agency, subject'' and inserting ``Subject'', 
                and
                  (C) by striking subsection (n).
          (2) Conforming amendment.--Section 5(a) of the Food and 
        Nutrition Act of 2008 (7 U.S.C. 2014(a)) is amended by striking 
        ``and (r)'' and inserting ``and (p)''.

SEC. 4012. ADJUSTMENT TO ASSET LIMITATIONS.

  Section 5(g)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(g)(1)) is amended--
          (1) in subparagraph (A)--
                  (A) by striking ``$2,000'' and inserting ``$7,000'', 
                and
                  (B) by striking ``$3,000'' and inserting ``$12,000'', 
                and--
          (2) in subparagraph (B) by striking ``2008'' and inserting 
        ``2019''.

SEC. 4013. UPDATED VEHICLE ALLOWANCE.

  Section 5(g) of the Food and Nutrition Act of 2008 (7 U.S.C. 2014(g)) 
is amended--
          (1) in paragraph (1)(B)(i)--
                  (A) by striking ``(i) In general.--Beginning'' and 
                inserting the following:
                          ``(i) In general.--
                                  ``(I) Beginning'', and
                  (B) by adding at the end the following:
                                  ``(II) Beginning on October 1, 2019, 
                                and each October 1 thereafter, the 
                                amount specified in paragraph 
                                (2)(B)(iv) shall be adjusted in the 
                                manner described in subclause (I).'', 
                                and
          (2) in paragraph (2)--
                  (A) by amending subparagraph (B)(iv) to read as 
                follows:
                          ``(iv) subject to subparagraph (C), with 
                        respect to any licensed vehicle that is used 
                        for household transportation or to obtain or 
                        continue employment--
                                  ``(I) 1 vehicle for each licensed 
                                driver who is a member of such 
                                household to the extent that the fair 
                                market value of the vehicle exceeds 
                                $12,000; and
                                  ``(II) each additional vehicle; 
                                and'', and
                  (B) by striking subparagraph (D).

SEC. 4014. SAVINGS EXCLUDED FROM ASSETS.

  Section 5(g) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2014(g)), as amended by section 4013, is amended--
          (1) in paragraph (1)(B)(i) by adding at the end the 
        following:
                                  ``(III) Beginning on October 1, 2019, 
                                and each October 1 thereafter, the 
                                amount specified in paragraph (2)(B)(v) 
                                shall be adjusted in the manner 
                                described in subclause (I).'', and
          (2) in paragraph (2)(B)(v) by inserting ``to the extent that 
        the value exceeds $2,000'' after ``account''.

SEC. 4015. WORKFORCE SOLUTIONS.

  (a) Conditions of Participation.--Section 6(d) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2015(d)) is amended--
          (1) in paragraph (1)--
                  (A) in subparagraph (A)--
                          (i) by striking ``No'' and inserting 
                        ``Subject to subparagraph (C), no'',
                          (ii) by striking ``over the age of 15 and 
                        under the age of 60'' and inserting ``at least 
                        18 years of age and less than 60 years of 
                        age'',
                          (iii) by amending clause (i) to read as 
                        follows:
                          ``(i) without good cause, fails to work or 
                        refuses to participate in either an employment 
                        and training program established in paragraph 
                        (4), a work program, or any combination of 
                        work, an employment and training program, or 
                        work program--
                                  ``(I) a minimum of 20 hours per week, 
                                averaged monthly in fiscal years 2021 
                                through 2025; or
                                  ``(II) a minimum of 25 hours per 
                                week, averaged monthly in fiscal years 
                                2026 and each fiscal year 
                                thereafter;''.
                          (iv) by striking clauses (ii) and (vi),
                          (v) in clause (iv) by adding ``or'' at the 
                        end,
                          (vi) in clause (v)(II) by striking ``30 hours 
                        per week; or'' and inserting ``the hourly 
                        requirements applicable under paragraph 
                        (1)(B)(i).'', and
                          (vii) by redesignating clauses (iii), (iv), 
                        and (v) as clauses (ii), (iii), and (iv), 
                        respectively,
                  (B) by striking subparagraph (B),
                  (C) by amending subparagraph (C) to read as follows:
                  ``(C) Limitation.--Subparagraph (B) shall not apply 
                to an individual during the first month that individual 
                would otherwise become subject to subparagraph (B) and 
                be found in noncompliance with such subparagraph.'',
                  (D) in subparagraph (D)--
                          (i) in clause (iii)(I) by striking ``(A)'' 
                        each place it appears and inserting ``(B)'',
                          (ii) in clause (iv) by striking ``(A)(v)''and 
                        inserting ``(B)(iv)'', and
                          (iii) by striking clauses (v) and (vi),
                  (E) by redesignating subparagraphs (A) and (D) as 
                subparagraphs (B) and (I), respectively,
                  (F) by inserting before subparagraph (B), as so 
                redesignated, the following:
                  ``(A) Definition of work program.--In this 
                subsection, the term `work program' means--
                          ``(i) a program under title I of the 
                        Workforce Innovation and Opportunity Act;
                          ``(ii) a program under section 236 of the 
                        Trade Act of 1974 (19 U.S.C. 2296); and
                          ``(iii) a program of employment and training 
                        operated or supervised by a State or political 
                        subdivision of a State that meets standards 
                        approved by the chief executive officer of the 
                        State and the Secretary, other than a program 
                        under paragraph (4).'', and
                  (G) by inserting after subparagraph (C) the 
                following:
                  ``(D) Transition period.--During each of the fiscal 
                years 2019 and 2020, States shall continue to implement 
                and enforce the work and employment and training 
                program requirements consistent with this subsection, 
                subsection (e), subsection (o) excluding paragraph 
                (6)(F), section 7(i), section 11(e)(19), and section 16 
                (excluding subparagraphs (A), (B), (D), and (C) of 
                subsection (h)(1)) as those provisions were in effect 
                on the day before the effective date of this 
                subparagraph.
                  ``(E) Ineligibility.--
                          ``(i) Notification of failure to meet work 
                        requirements.--The State agency shall issue a 
                        notice of adverse action to an individual not 
                        later than 10 days after the State agency 
                        determines that the individual has failed to 
                        meet the requirements applicable under 
                        subparagraph (B).
                          ``(ii) First violation.--The 1st time an 
                        individual receives a notice of adverse action 
                        issued under clause (i), the individual shall 
                        remain ineligible to participate in the 
                        supplemental nutrition assistance program 
                        until--
                                  ``(I) the date that is 12 months 
                                after the date the individual became 
                                ineligible;
                                  ``(II) the date the individual 
                                obtains employment sufficient to meet 
                                the hourly requirements applicable 
                                under subparagraph (B)(i); or
                                  ``(III) the date that the individual 
                                is no longer subject to the 
                                requirements of subparagraph (B);
                        whichever is earliest.
                          ``(iii) Second or subsequent violation.--The 
                        2d or subsequent time an individual receives a 
                        notice of adverse action issued under clause 
                        (i), the individual shall remain ineligible to 
                        participate in the supplemental nutrition 
                        assistance program until--
                                  ``(I) the date that is 36 months 
                                after the date the individual became 
                                ineligible;
                                  ``(II) the date the individual 
                                obtains employment sufficient to meet 
                                the hourly requirements applicable 
                                under subparagraph (B)(i); or
                                  ``(III) the date the individual is no 
                                longer subject to the requirements of 
                                subparagraph (B);
                        whichever is earliest.
                  ``(F) Waiver.--
                          ``(i) In general.--On the request of a State 
                        agency, the Secretary may waive the 
                        applicability of subparagraph (B) to 
                        individuals in the State if the Secretary makes 
                        a determination that the area in which the 
                        individuals reside--
                                  ``(I) has an unemployment rate of 
                                over 10 percent;
                                  ``(II) is designated as a Labor 
                                Surplus Area by the Employment and 
                                Training Administration of the 
                                Department of Labor for the current 
                                fiscal year based on the criteria for 
                                exceptional circumstances as described 
                                in section 654.5 of title 20 of the 
                                Code of Federal Regulations;
                                  ``(III) has a 24-month average 
                                unemployment rate 20 percent or higher 
                                than the national average for the same 
                                24-month period unless the 24-month 
                                average unemployment rate of the area 
                                is less than 6 percent, except that the 
                                24-month period shall begin no earlier 
                                than the 24-month period the Employment 
                                and Training Administration of the 
                                Department of Labor uses to designate 
                                Labor Surplus Areas for the current 
                                fiscal year; or
                                  ``(IV) is in a State--
                                          ``(aa) that is in an extended 
                                        benefit period (within the 
                                        meaning of section 203 of the 
                                        Federal-State Extended 
                                        Unemployment Compensation Act 
                                        of 1970); or
                                          ``(bb) in which temporary or 
                                        emergency unemployment 
                                        compensation is being provided 
                                        under any Federal law.
                          ``(ii) Jurisdictions with limited data.--In 
                        carrying out clause (i), in the case of a 
                        jurisdiction for which Bureau of Labor 
                        Statistics unemployment data is limited or 
                        unavailable, such as an Indian Reservation or a 
                        territory of the United States, a State may 
                        support its request based on other economic 
                        indicators as determined by the Secretary.
                          ``(iii) Limit on combining jurisdictions.--In 
                        carrying out clause (i), the Secretary may 
                        waive the applicability of subparagraph (B) 
                        only to a State or individual jurisdictions 
                        within a State, except in the case of combined 
                        jurisdictions that are designated as Labor 
                        Market Areas by the Department of Labor.
                          ``(iv) 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, and shall make available to the public, 
                        an annual report on the basis for granting a 
                        waiver under clause (i).
                  ``(G) 15-percent exemption.--
                          ``(i) Definitions.--In this subparagraph:
                                  ``(I) Caseload.--The term `caseload' 
                                means the average monthly number of 
                                individuals receiving supplemental 
                                nutrition assistance program benefits 
                                during the 12-month period ending the 
                                preceding June 30.
                                  ``(II) Covered individual.--The term 
                                `covered individual' means a member of 
                                a household that receives supplemental 
                                nutrition assistance program benefits, 
                                or an individual denied eligibility for 
                                supplemental nutrition assistance 
                                program benefits solely due to the 
                                applicability of subparagraph (B), 
                                who--
                                          ``(aa) is not eligible for an 
                                        exception under paragraph (2);
                                          ``(bb) does not reside in an 
                                        area covered by a waiver 
                                        granted under subparagraph (F); 
                                        and
                                          ``(cc) is not complying with 
                                        subparagraph (B).
                          ``(ii) General rule.--Subject to clauses 
                        (iii) through (v), a State agency may provide 
                        an exemption from the requirements of 
                        subparagraph (B) for covered individuals.
                          ``(iii) Fiscal year 2021 and thereafter.--
                        Subject to clauses (iv) and (v), for fiscal 
                        year 2021 and each subsequent fiscal year, a 
                        State agency may provide a number of exemptions 
                        such that the average monthly number of the 
                        exemptions in effect during the fiscal year 
                        does not exceed 15 percent of the number of 
                        covered individuals in the State in fiscal year 
                        2019, as estimated by the Secretary, based on 
                        the survey conducted to carry out section 16(c) 
                        for the most recent fiscal year and such other 
                        factors as the Secretary considers appropriate 
                        due to the timing and limitations of the 
                        survey.
                          ``(iv) Caseload adjustments.--The Secretary 
                        shall adjust the number of individuals 
                        estimated for a State under clause (iii) during 
                        a fiscal year if the number of members of 
                        households that receive supplemental nutrition 
                        assistance program benefits in the State varies 
                        from the State's caseload by more than 10 
                        percent, as determined by the Secretary.
                          ``(v) Reporting requirements.--
                                  ``(I) Reports by state agencies.--A 
                                State agency shall submit such reports 
                                to the Secretary as the Secretary 
                                determines are necessary to ensure 
                                compliance with this paragraph.
                                  ``(II) Annual report by the 
                                secretary.--The Secretary shall 
                                annually compile and submit to the 
                                Committee on Agriculture of the House 
                                of Representatives and the Committee on 
                                Agriculture, Nutrition, and Forestry of 
                                the Senate, and shall make available to 
                                the public, an annual report that 
                                contains the reports submitted under 
                                subclause (I) by State agencies.
                  ``(H) Other program rules.--Nothing in this 
                subsection shall make an individual eligible for 
                benefits under this Act if the individual is not 
                otherwise eligible for benefits under the other 
                provisions of this Act.'',
          (2) in paragraph (2)--
                  (A) in the 1st sentence--
                          (i) by striking ``paragraph (1)'' and 
                        inserting ``paragraph (1)(B)'', and
                          (ii) by striking ``(E)'' and all that follows 
                        through the period at the end, and inserting 
                        the following:
``(E) receiving weekly earnings which equal the minimum hourly rate 
under section 6(a)(1) of the Fair Labor Standards Act of 1938 (29 
U.S.C. 206(a)(1)), multiplied by the hourly requirement as specified in 
subparagraph (B); (F) medically certified as mentally or physically 
unfit for employment; or (G) a pregnant woman.'', and
                  (B) by striking the last sentence,
          (3) in paragraph (3) by striking ``registration 
        requirements'' and inserting ``requirement'',
          (4) in paragraph (4)--
                  (A) in subparagraph (A)--
                          (i) by redesignating clause (ii) as clause 
                        (iii), and
                          (ii) by inserting after clause (i) the 
                        following:
                          ``(ii) Mandatory minimum services.--Each 
                        State agency shall offer employment and 
                        training program services sufficient for all 
                        individuals subject to the requirements of 
                        paragraph (1)(B)(i) who are not currently 
                        ineligible pursuant to paragraph (1)(E), exempt 
                        pursuant to subparagraphs (F) and (G) or 
                        paragraph (2) of subsection (d), and for all 
                        individuals covered by paragraph (1)(C), to 
                        meet the hourly requirements specified in 
                        paragraph (1)(B)(i) to the extent that such 
                        requirements will not be satisfied by hours of 
                        work or participation in a work program.'', and
                  (B) in subparagraph (B)--
                          (i) by inserting after ``contains'' the 
                        following:
``case management services consisting of comprehensive intake 
assessments, individualized service plans, progress monitoring, and 
coordination with service providers, and'',
                          (ii) by amending clause (i) to read as 
                        follows:
          ``(i) Supervised job search programs that occur at State-
        approved locations in which the activities of participants 
        shall be directly supervised and the timing and activities of 
        participants tracked in accordance with guidelines set forth by 
        the State.'',
                          (iii) in clause (ii) by striking ``jobs 
                        skills assessments, job finding clubs, training 
                        in techniques for'' and inserting 
                        ``employability assessments, training in 
                        techniques to increase'',
                          (iv) by striking clause (iii),
                          (v) in clause (iv) in the 1st sentence by 
                        inserting ``, including subsidized employment, 
                        apprenticeships, and unpaid or volunteer work 
                        that is limited to 6 months out of a 12-month 
                        period'' before the period at the end,
                          (vi) in clause (v) by inserting ``, including 
                        family literacy and financial literacy,'' after 
                        ``literacy'',
                          (vii) in clause (vii) by striking ``not more 
                        than'', and
                          (viii) by redesignating clauses (iv) through 
                        (viii) as clauses (iii) through (vii), 
                        respectively,
                  (C) by striking subparagraphs (D), (E), and (F), and 
                inserting the following:
  ``(D) Each State agency shall establish requirements for 
participation by non-exempt individuals in the employment and training 
program components listed in clauses (i) through (vii) of subparagraph 
(B). Such requirements may vary among participants.'',
                  (D) in subparagraph (H) by striking ``(B)(v)'' and 
                inserting ``(B)(iv)'', and
                  (E) by redesignating subparagraphs (G) through (M) as 
                subparagraphs (E) through (K), respectively.
  (b) Conforming Amendments.--
          (1) Amendments to the food and nutrition act of 2008.--
        Section 5(d)(14) of the Food and Nutrition Act of 2008 (7 
        U.S.C. 2014(d)(14)) is amended by striking ``6(d)(4)(I)'' and 
        inserting ``6(d)(4)(G)''.
          (2) Amendment to other laws.--
                  (A) Internal revenue code of 1986.--Section 
                51(d)(8)(A)(ii) of the Internal Revenue Code of 1986 
                (26 U.S.C. 51(d)(8)(A)(ii)) is amended--
                          (i) in subclause (I) by striking ``, or'' and 
                        inserting a period,
                          (ii) by striking ``family--'' and all that 
                        follows through ``(I) receiving'' and inserting 
                        ``family receiving'', and
                          (iii) by striking subclause (II).
                  (B) Workforce innovation and opportunity act.--The 
                Workforce Innovation and Opportunity Act (Public Law 
                113-128; 128 Stat. 1425) is amended--
                          (i) in section 103(a)(2) by striking 
                        subparagraph (D), and
                          (ii) in section 121(b)(2)(B) by striking 
                        clause (iv).
  (c) Related Requirements.--Section 6 of the Food and Nutrition Act of 
2008 (7 U.S.C. 2015) is amended--
          (1) in subsection (e)(5)(A) by inserting ``or of an 
        incapacitated person'' after ``6'', and
          (2) by striking subsection (o).
  (d) Conforming Amendments.--The Food and Nutrition Act of 2008 (7 
U.S.C. 2011 et seq.) is amended--
          (1) in section 6, as amended by section 4011 and subsection 
        (c), by redesignating subsections (p) through (s) as 
        subparagraphs (n) through (q), respectively, and
          (2) in section 7(i)(1) by striking ``6(o)(2)'' and inserting 
        ``6(d)(1)(B)''.
  (e) State Plan.--Section 11(e)(19) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2020(e)(19)) is amended by striking ``geographic areas 
and households to be covered under such program, and the basis, 
including any cost information,'' and inserting ``extent to which such 
programs will be carried out in coordination with the activities 
carried out under title I of the Workforce Innovation and Opportunity 
Act, the plan for meeting the minimum services requirement under 
section 6(d)(4)(A)(ii) including any cost information, and the basis''.
  (f) Funding of Employment and Training Programs.--Section 16(h) of 
the Food and Nutrition Act of 2008 (7 U.S.C. 2025(h)) is amended--
          (1) in paragraph (1)--
                  (A) in subparagraph (A) by striking ``$90,000,000'' 
                and all that follows through the period at the end and 
                inserting the following:
                ``under section 18(a)(1)--
                          ``(i) $90,000,000 for fiscal year 2019;
                          ``(ii) $250,000,000 for fiscal year 2020; and
                          ``(iii) $1,000,000,000 for each fiscal year 
                        thereafter.'',
                  (B) by amending subparagraph (B)(ii) to read as 
                follows:
                          ``(ii) takes into account--
                                  ``(I) for fiscal years 2019 and 2020, 
                                the number of individuals who are not 
                                exempt from the work requirement under 
                                section 6(o) as that section existed on 
                                the day before the date of the 
                                enactment of the Agriculture and 
                                Nutrition Act of 2018; and
                                  ``(II) for fiscal years 2021 and each 
                                fiscal year thereafter, the number of 
                                individuals who are not exempt from the 
                                requirements under section 
                                6(d)(1)(B).'',
                  (C) in subparagraph (D) by striking ``$50,000'' and 
                inserting ``$100,000'', and
                  (D) by amending subparagraph (E) to read as follows:
                  ``(E) Reservation of funds.--Of the funds made 
                available under this paragraph for fiscal year 2021 and 
                for each fiscal year thereafter, not more than 
                $150,000,000 shall be reserved for allocation to States 
                to provide training services by eligible providers 
                identified under section 122 of the Workforce 
                Innovation and Opportunity Act for participants in the 
                supplemental nutrition assistance program to meet the 
                hourly requirements under section 6(d)(1)(B) of this 
                Act.'', and
          (2) in paragraph (5)(C)--
                  (A) in clause (ii) by adding ``and'' at the end,
                  (B) in clause (iii) by striking ``; and'' and 
                inserting a period, and
                  (C) by striking clause (iv).
  (g) Work Supplementation or Work Support Program.--
          (1) Repealer.--Subsection (b) of section 16 of the Food and 
        Nutrition Act of 2008 (7 U.S.C. 2025(b)) is repealed.
          (2) Conforming amendment.--Section 5(e)(2)(A) of the Food and 
        Nutrition Act of 2008 (7 U.S.C. 2014(e)(2)(A)) is amended to 
        read as follows:
                  ``(A) Definition of earned income.--In this 
                paragraph, the term ``earned income'' does not include 
                income excluded by subsection (d).''.
  (h) Workfare.--
          (1) Repealer.--Section 20 of the Food and Nutrition Act of 
        2008 (7 U.S.C. 2029) is repealed.
          (2) Conforming amendments.--The Food and Nutrition Act of 
        2008 (7 U.S.C. 2011 et seq.) is amended--
                  (A) in section 16(h)--
                          (i) in paragraph (1)(F)--
                                  (I) in clause (i)--
                                          (aa) in subclause (I) by 
                                        inserting ``(as in effect on 
                                        the day before the date of the 
                                        enactment of the Agriculture 
                                        and Nutrition Act of 2018)'' 
                                        after ``this Act'', and
                                          (bb) in subclause (II)(bb) by 
                                        inserting ``(as in effect on 
                                        the day before the date of the 
                                        enactment of the Agriculture 
                                        and Nutrition Act of 2018)'' 
                                        before the period at the end,
                                  (II) in clause (ii)--
                                          (aa) in subclause (II)(cc) by 
                                        inserting ``(as in effect on 
                                        the day before the date of the 
                                        enactment of the Agriculture 
                                        and Nutrition Act of 2018)'' 
                                        after ``20'', and
                                          (bb) in subclause 
                                        (III)(ee)(AA) by inserting ``as 
                                        in effect on the day before the 
                                        date of the enactment of the 
                                        Agriculture and Nutrition Act 
                                        of 2018'' after ``6(o)'', and
                                  (III) in clause (vi)(I) by inserting 
                                ``as in effect on the day before the 
                                date of the enactment of the 
                                Agriculture and Nutrition Act of 2018'' 
                                after ``6(d)'', and
                          (ii) in paragraph (3) by striking ``under 
                        section 6(d)(4)(I)(i)(II)'' and inserting ``for 
                        dependent care expenses under section 
                        6(d)(4)'', and
                  (B) in section 17(b)--
                          (i) in paragraph (1)(B)(iv)(III)(jj) by 
                        inserting ``as in effect on the day before the 
                        date of the enactment of the Agriculture and 
                        Nutrition Act of 2018'' after ``20'', and
                          (ii) by striking paragraph (2).

SEC. 4016. MODERNIZATION OF ELECTRONIC BENEFIT TRANSFER REGULATIONS.

  Section 7(h)(2) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(h)(2)) is amended--
          (1) in the 1st sentence by inserting ``and shall periodically 
        review such regulations and modify such regulations to take 
        into account evolving technology and comparable industry 
        standards'' before the period at the end, and
          (2) in subparagraph (C)--
                  (A) by striking ``(C)(i)'' and all that follows 
                through ``abuse; and'', by inserting the following:
          ``(C)(i) risk-based measures to maximize the security of a 
        system using the most effective technology available that the 
        State agency considers appropriate and cost effective including 
        consideration of recipient access and ease of use and which may 
        include personal identification numbers, photographic 
        identification on electronic benefit transfer cards, 
        alternatives for securing transactions, and other measures to 
        protect against fraud and abuse; and'', and
                  (B) by moving the left margin of clause (ii) 4 ems to 
                the left.

SEC. 4017. MOBILE TECHNOLOGIES.

  Section 7(h)(14) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(h)(14) is amended--
          (1) by amending subparagraph (A) to read as follows:
                  ``(A) In general.--Subject to subparagraph (B), the 
                Secretary shall authorize the use of mobile 
                technologies for the purpose of accessing supplemental 
                nutrition assistance program benefits.'',
          (2) in subparagraph (B)--
                  (A) by striking the heading and inserting 
                ``Demonstration projects on access of benefits through 
                mobile technologies'',
                  (B) by amending clause (i) to read as follows:
                          ``(i) Demonstration projects.--Before 
                        authorizing implementation of subparagraph (A) 
                        in all States, the Secretary shall approve not 
                        more than 5 demonstration project proposals 
                        submitted by State agencies that will pilot the 
                        use of mobile technologies for supplemental 
                        nutrition assistance program benefits 
                        access.'',
                  (C) in clause (ii)--
                          (i) in the heading by striking 
                        ``Demonstration projects'' and inserting 
                        ``Project requirements'',
                          (ii) by striking ``retail food store'' the 
                        first place it appears and inserting ``State 
                        agency'',
                          (iii) by striking ``includes'',
                          (iv) by striking subclauses (I), (II), (III), 
                        and (IV), and inserting the following:
                                  ``(I) provides recipient protections 
                                regarding privacy, ease of use, 
                                household access to benefits, and 
                                support similar to the protections 
                                provided under existing methods;
                                  ``(II) ensures that all recipients, 
                                including those without access to 
                                mobile payment technology and those who 
                                shop across State borders, have a means 
                                of benefit access;
                                  ``(III) requires retail food stores, 
                                unless exempt under section 7(f)(2)(B), 
                                to bear the costs of acquiring and 
                                arranging for the implementation of 
                                point-of-sale equipment and supplies 
                                for the redemption of benefits that are 
                                accessed through mobile technologies, 
                                including any fees not described in 
                                paragraph (13);
                                  ``(IV) requires that foods purchased 
                                with benefits issued under this section 
                                through mobile technologies are 
                                purchased at a price not higher than 
                                the price of the same food purchased by 
                                other methods used by the retail food 
                                store, as determined by the Secretary;
                                  ``(V) ensures adequate documentation 
                                for each authorized transaction, 
                                adequate security measures to deter 
                                fraud, and adequate access to retail 
                                food stores that accept benefits 
                                accessed through mobile technologies, 
                                as determined by the Secretary;
                                  ``(VI) provides for an evaluation of 
                                the demonstration project, including, 
                                but not limited to, an evaluation of 
                                household access to benefits; and
                                  ``(VII) meets other criteria as 
                                established by the Secretary.'',
                  (D) by amending clause (iii) to read as follows:
                          ``(iv) Date of project approval.--The 
                        Secretary shall solicit and approve the 
                        qualifying demonstration projects required 
                        under subparagraph (B)(i) not later than 
                        January 1, 2020.'', and
                  (E) by inserting after clause (ii) the following:
                          ``(iii) Priority.--The Secretary may 
                        prioritize demonstration project proposals that 
                        would--
                                  ``(I) reduce fraud;
                                  ``(II) encourage positive nutritional 
                                outcomes; and
                                  ``(III) meet such other criteria as 
                                determined by the Secretary.'', and
          (3) in subparagraph (C)(i)--
                  (A) by striking ``2017'' and inserting ``2022'', and
                  (B) by inserting ``requires further study by way of 
                an extended pilot period or'' after ``States'' the 2d 
                place it appears .

SEC. 4018. PROCESSING FEES.

  (a) Limitation.--Section 7(h)(13) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2016(h)(13)) is amended to read as follows:
          ``(13) Fees.--No interchange fees shall apply to electronic 
        benefit transfer transactions under this subsection. Neither a 
        State, nor any agent, contractor, or subcontractor of a State 
        who facilitates the provision of supplemental nutrition 
        assistance program benefits in such State may impose a fee for 
        switching or routing such benefits.''.
  (b) Conforming Amendment.--Section 7(j)(1)(H) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2014) is amended to read as follows:
                  ``(H) Switching.--The term `'switching'' means the 
                routing of an intrastate or interstate transaction that 
                consists of transmitting the details of a transaction 
                electronically recorded through the use of an 
                electronic benefit transfer card in one State to the 
                issuer of the card that may be in the same or different 
                State.''.

SEC. 4019. REPLACEMENT OF EBT CARDS.

  Section 7(h)(8)(B)(ii) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2016(h)(8)(B)(ii)) is amended by striking ``an excessive number 
of lost cards'' and inserting ``2 lost cards in a 12-month period''.

SEC. 4020. BENEFIT RECOVERY.

  Section 7(h)(12) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2016(h)(12)) is amended--
          (1) in subparagraph (A) by inserting ``, or due to the death 
        of all members of the household'' after ``inactivity'',
          (2) in subparagraph (B) by striking ``6'' and inserting 
        ``3'', and
          (3) in subparagraph (C) by striking ``12 months'' and 
        inserting ``6 months, or upon verification that all members of 
        the household are deceased''.

SEC. 4021. REQUIREMENTS FOR ONLINE ACCEPTANCE OF BENEFITS.

  (a) Definition.--Section 3(o)(1) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2012(o)(1)) is amended by striking ``or house-to-house 
trade route'' and inserting ``, house-to-house trade route, or online 
entity''.
  (b) Acceptance of Benefits.--Section 7(k) of the Food and Nutrition 
Act of 2008 (7 U.S.C. 2016(k)) is amended--
          (1) by striking the heading and inserting ``Acceptance of 
        Program Benefits Through Online Transactions'',
          (2) in paragraph (4) by striking subparagraph (C), and
          (3) by striking paragraph (5).

SEC. 4022. NATIONAL GATEWAY.

  (a) Issuance of Benefits.--Section 7 of the Food and Nutrition Act of 
2008 (7 U.S.C. 2016) is amended--
          (1) in subsection (d) by striking ``benefits by benefit 
        issuers'' and inserting ``benefit issuers and other independent 
        sales organizations, third-party processors, and web service 
        providers that provide electronic benefit transfer services or 
        equipment to retail food stores and wholesale food concerns,'', 
        and
          (2) by adding at the end the following:
  ``(l) Requirement to Route All Supplemental Nutrition Assistance 
Program Benefit Transfer Transactions Through a National Gateway.--
          ``(1) Definitions.--For purposes of this section:
                  ``(A) The term `independent sales organization ' 
                means a person or entity that--
                          ``(i) is not a third-party processor; and
                          ``(ii) engages in sales or service to retail 
                        food stores with respect to point-of-sale 
                        equipment necessary for electronic benefit 
                        transfer transaction processing.
                  ``(B) The term `third-party processor' means an 
                entity, including a retail food store operating its own 
                point-of-sale terminals, that is capable of routing 
                electronic transfer benefit transactions for 
                authorization.
                  ``(C) The term `web service provider' means an entity 
                that operates a generic online purchasing website that 
                can be customized for online electronic benefit 
                transfer transactions for authorized retail food 
                stores.
          ``(2) In general.--Subject to paragraph (5), the Secretary 
        shall establish a national gateway for the purpose of routing 
        all supplemental nutrition assistance program benefit transfer 
        transactions (in this subsection referred to as `transactions' 
        unless the context specifies otherwise) to the appropriate 
        benefit issuers for purposes of transaction validation and 
        settlement.
          ``(3) Requirements to route transactions.--The Secretary 
        shall--
                  ``(A) ensure that protections regarding privacy, 
                security, ease of use, and access relating to 
                supplemental nutrition assistance benefits are 
                maintained for benefit recipients and retail food 
                stores;
                  ``(B) ensure redundancy for processing of 
                transactions;
                  ``(C) ensure real-time monitoring of transactions;
                  ``(D) ensure that all entities that connect to such 
                gateway, and all others that connect to such entities, 
                meet and follow transaction messaging standards, and 
                other requirements, established by the Secretary;
                  ``(E) ensure the security of transactions by using 
                the most effective technology available that the 
                Secretary considers to be appropriate and cost-
                effective; and
                  ``(F) ensure that all transactions are routed through 
                such gateway.
          ``(4) State agency action.--Each State agency shall ensure 
        that all of its benefit issuers connect to such gateway. A 
        State agency may opt to require its benefit issuer to route 
        cash transactions through such gateway, subject to terms 
        established by the Secretary.
          ``(5) Routing of transactions through a national gateway.--
                  ``(A) In general.--Before the Secretary implements in 
                all the States a national gateway established under 
                paragraph (2), the Secretary shall conduct a 
                feasibility study to assess the feasibility of routing 
                transactions through such gateway.
                  ``(B) Feasibility study.--The feasibility study 
                conducted under subparagraph (A) shall provide, at a 
                minimum, all of the following:
                          ``(i) A comprehensive analysis of 
                        opportunities and challenges presented by 
                        implementation of such gateway.
                          ``(ii) One or more options for carrying 
                        forward each of such opportunities and for 
                        mitigating each of such challenges.
                          ``(iii) Data for purposes of analyzing the 
                        implementation of, and on-going cost of 
                        managing, such gateway.
                          ``(iv) One or more models for cost-neutral 
                        on-going operation of a national gateway.
                          ``(v) Other criteria, including security 
                        criteria, established by the Secretary.
                  ``(C) Date of completion of study.--The Secretary 
                shall complete the feasibility study required by 
                subparagraph (B) not later than 1 year after the date 
                of the enactment of the Agriculture and Nutrition Act 
                of 2018.
                  ``(D) Implementation of a national gateway.--Not 
                later than 1 year after the date of the completion of 
                such study, the Secretary shall complete the nationwide 
                implementation of a national gateway established under 
                paragraph (2) unless the Secretary determines, based on 
                such study, that more time is needed to implement such 
                gateway nationwide or that nationwide implementation of 
                such gateway is not in the best interest of the 
                operation of the supplemental nutrition assistance 
                program.
                  ``(E) Report to congress.--If the Secretary makes a 
                determination described in subparagraph (D), 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 the basis of such determination.
                  ``(F) Nondisclosure of information.--Any information 
                collected through such gateway about a specific retail 
                food store, wholesale food concern, person, or other 
                entity, and any investigative methodology or criteria 
                used for program integrity purposes that operates at or 
                in conjunction with such gateway, shall be exempt from 
                the disclosure requirements of section 552(a) of title 
                5 of the United States Code pursuant to section 
                552(b)(3)(B) of title 5 of the United States Code. The 
                Secretary shall limit the use or disclosure of 
                information obtained under this subsection in a manner 
                consistent with section 9(c).
          ``(6) Authorization of appropriations.--There are authorized 
        to be appropriated $10,500,000 for fiscal year 2019, and 
        $9,500,000 for each of the fiscal years 2020 through 2023, to 
        carry out this subsection. Not more than $1,000,000 of the 
        funds appropriated under this paragraph may be used for the 
        feasibility study under paragraph (5)(B).
          ``(7) Gateway sustainability.--Benefit issuers and third-
        party processors shall pay fees to the gateway operator, in a 
        manner prescribed by the Secretary, to directly access and 
        route transactions through the national gateway.
                  ``(A) Purpose.--The Secretary shall ensure that fees 
                are collected and used solely for the operation of the 
                gateway.
                  ``(B) Amount.--Fees shall be established by the 
                Secretary in amounts proportionate to the number of 
                transactions routed through the gateway by each benefit 
                issuer and third-party processor, and based on the cost 
                of operating the gateway in a fiscal year.
                  ``(C) Adjustment.--The Secretary shall evaluate 
                annually the cost of operating such gateway and shall 
                adjust the fee in effect for a fiscal year to reflect 
                the cost of operating such gateway, except that an 
                adjustment under this subparagraph for any fiscal year 
                may not exceed 10 percent of the fee charged under this 
                paragraph in the preceding fiscal year.''.
  (b) Approval of Retail Food Stores and Wholesale Food Concerns.--The 
1st sentence of section 9(c) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2018(c)) is amended by inserting ``contracts for electronic 
benefit transfer services and equipment, records necessary to validate 
the FNS authorization number to accept and redeem benefits,'' after 
``invoices,''.

SEC. 4023. ACCESS TO STATE SYSTEMS.

  (a) Records.--Section 11(a)(3)(B) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2020(a)(3)(B)) is amended--
          (1) by striking ``Records described'' and inserting ``All 
        records, and the entire information systems in which records 
        are contained, that are covered'', and
          (2) by amending clause (i) to read as follows:
                          ``(i) be made available for inspection and 
                        audit by the Secretary, subject to data and 
                        security protocols agreed to by the State 
                        agency and Secretary;''.
  (b) Reporting Requirements.--Section 16 of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2025) is amended--
          (1) in the last sentence of subsection (c)(4) by inserting 
        ``including providing access to applicable State records and 
        the entire information systems in which the records are 
        contained,'' after ``Secretary,'', and
          (2) in subsection (g)(1)--
                  (A) in subparagraph (E) by striking ``and'' at the 
                end,
                  (B) in subparagraph (F) by striking the period at the 
                end and inserting ``; and'', and
                  (C) by adding at the end the following:
                  ``(G) would be accessible by the Secretary for the 
                purposes of program oversight and would be used by the 
                State agency to make available all records required by 
                the Secretary.''.

SEC. 4024. TRANSITIONAL BENEFITS.

  Section 11(s) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020(s)) is amended--
          (1) by striking the heading and inserting ``Transitional 
        Benefits'',
          (2) in paragraph (1)--
                  (A) by striking ``may'' and inserting ``shall'', and
                  (B) in subparagraph (B) by striking ``at the option 
                of the State,'', and
          (3) in paragraph (2)--
                  (A) by striking ``may'' and inserting ``shall'', and
                  (B) by striking ``not more than''.

SEC. 4025. INCENTIVIZING TECHNOLOGY MODERNIZATION.

  Section 11(t) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2020(t)) is amended--
          (1) by striking the heading and inserting ``Grants for 
        Simplified Supplemental Nutrition Assistance Program 
        Application and Eligibility Determination Systems'',
          (2) in paragraph (1) by striking ``implement--'' and all that 
        follows through the period at the end, and inserting 
        ``implement simplified supplemental nutrition assistance 
        program application and eligibility determination systems.'', 
        and
          (3) in paragraph (2)--
                  (A) by amending subparagraph (B) to read as follows:
                  ``(B) establishing enhanced technological methods for 
                applying for benefits and determining eligibility that 
                improve the administrative infrastructure used in 
                processing applications and determining eligibility; 
                or'',
                  (B) by striking subparagraphs (C) and (D), and
                  (C) by redesignating subparagraph (E) as subparagraph 
                (C).

SEC. 4026. SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM BENEFIT TRANSFER 
                    TRANSACTION DATA REPORT.

  Section 9 of the Food and Nutrition Act of 2008 (7 U.S.C. 2018) is 
amended--
          (1) in subsection (a)(2)--
                  (A) in subparagraph (A) by striking ``and'' at the 
                end,
                  (B) in subparagraph (B) by striking the period at the 
                end and inserting ``; and'', and
                  (C) by adding at the end the following:
          ``(C) parameters for retail food store cooperation with the 
        Secretary sufficient to carry out subsection (i).''.
          (2) by adding at the end the following:
  ``(i) Data Collection for Retail Food Store Transactions.--
          ``(1) Collection of data.--To assist in making improvements 
        to supplemental nutrition assistance program design, for each 
        interval not greater than a 2-year period, the Secretary 
        shall--
                  ``(A) collect a statistically significant sample of 
                retail food store transaction data, including the cost 
                and description of items purchased with supplemental 
                nutrition assistance program benefits, to the extent 
                practicable and without affecting retail food store 
                document retention practices; and
                  ``(B) make a summarized report of aggregated data 
                collected under subparagraph (A) available to the 
                public in a manner that prevents identification of 
                individual retail food stores, individual retail food 
                store chains, and individual members of households that 
                use such benefits.
          ``(2) Nondisclosure.--Any transaction data that contains 
        information specific to a retail food store, a retail food 
        store location, a person, or other entity shall be exempt from 
        the disclosure requirements of Section 552(a) of title 5 of the 
        United States Code pursuant to section 552(b)(3)(B) of title 5 
        of the United States Code. The Secretary shall limit the use or 
        disclosure of information obtained under this subsection in a 
        manner consistent with sections 9(c) and 11(e)(8).''.

SEC. 4027. ADJUSTMENT TO PERCENTAGE OF RECOVERED FUNDS RETAINED BY 
                    STATES.

  Section 16(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 2025(a) 
is amended--
          (1) in the 1st sentence by striking ``35 percent'' and 
        inserting ``50 percent'', and
          (2) by inserting after the 1st sentence the following:
``A State agency may use such funds retained only to carry out the 
supplemental nutrition assistance program, including investments in 
technology, improvements in administration and distribution, and 
actions to prevent fraud.''.

SEC. 4028. TOLERANCE LEVEL FOR PAYMENT ERRORS.

  Section 16(c)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025(c)(1)) is amended--
          (1) in subparagraph (A)(ii)--
                  (A) in subclause (I) by striking ``and'' at the end,
                  (B) in subclause (II)--
                          (i) by striking ``fiscal year thereafter'' 
                        and inserting ``of the fiscal years 2015 
                        through 2017'', and
                          (ii) by striking the period at the end and 
                        inserting ``; and'', and
                  (C) by adding at the end the following:
                                  ``(III) for each fiscal year 
                                thereafter, $0.'', and
          (2) in subparagraph (C) by striking ``fiscal year 2004'' and 
        all that follows through ``second'', and inserting ``any of the 
        fiscal years 2004 through 2018 for which the Secretary 
        determines that for the second or subsequent consecutive fiscal 
        year, and with respect to fiscal year 2019 and any fiscal year 
        thereafter for which the Secretary determines that for the 
        third''.

SEC. 4029. STATE PERFORMANCE INDICATORS.

  Section 16(d) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2025(d)) is amended--
          (1) by striking the heading and inserting ``State Performance 
        Indicators'',
          (2) in paragraph (2)--
                  (A) in the heading by striking ``and thereafter'' and 
                inserting ``through 2017'',
                  (B) in subparagraph (A) by striking ``and each fiscal 
                year thereafter'' and inserting ``through fiscal year 
                2017'', and
                  (C) in subparagraph (B) by striking ``and each fiscal 
                year thereafter'' and inserting ``through fiscal year 
                2017'', and
          (3) by adding at the end the following:
          ``(6)  Fiscal year 2018 and fiscal years thereafter.--With 
        respect to fiscal year 2018 and each fiscal year thereafter, 
        the Secretary shall establish, by regulation, performance 
        criteria relating to--
                  ``(A) actions taken to correct errors, reduce rates 
                of error, and improve eligibility determinations; and
                  ``(B) other indicators of effective administration 
                determined by the Secretary.''.

SEC. 4030. PUBLIC-PRIVATE PARTNERSHIPS.

  Section 17 of the Food and Nutrition Act of 2008 (7 U.S.C. 2026) is 
amended by adding at the end the following:
  ``(m) Pilot Projects to Encourage the Use of Public-private 
Partnerships Committed to Addressing Food Insecurity.--
          ``(1) In general.--The Secretary may, on application, permit 
        not more than 10 eligible entities to carry out pilot projects 
        to support public-private partnerships that address food 
        insecurity and poverty.
          ``(2) Definition.--For purposes of this subsection, an 
        `eligible entity' means--
                  ``(A) a State;
                  ``(B) a unit of local government;
                  ``(C) a nonprofit organization;
                  ``(D) a community-based organization; and
                  ``(E) an institution of higher education.
          ``(3) Project requirements.--Projects approved under this 
        subsection shall be limited to 2 years in length and evaluate 
        the impact of the ability of eligible entities to--
                  ``(A) improve the effectiveness and impact of the 
                supplemental nutrition assistance program;
                  ``(B) develop food security solutions that are 
                contextualized to the needs of a community or region; 
                and
                  ``(C) strengthen the capacity of communities to 
                address food insecurity and poverty.
          ``(4) Reporting.--Participating entities shall report 
        annually to the Secretary who shall submit a final report to 
        the Committee on Agriculture of the House of Representatives 
        and the Committee on Agriculture, Nutrition, and Forestry of 
        the Senate. Such report shall include--
                  ``(A) a summary of the activities conducted under the 
                pilot projects;
                  ``(B) an assessment of the effectiveness of the pilot 
                projects; and
                  ``(C) best practices regarding the use of public-
                private partnerships to improve the effectiveness of 
                public benefit programs to address food insecurity and 
                poverty.
          ``(5) Authorization and advance availability of 
        appropriations.--
                  ``(A) Authorization of appropriations.--There is 
                authorized to be appropriated to carry out this 
                subsection $5,000,000 to remain available until 
                expended.
                  ``(B) Appropriation in advance.--Only funds 
                appropriated under subparagraph (A) in advance 
                specifically to carry out this subsection shall be 
                available to carry out this subsection.''.

SEC. 4031. AUTHORIZATION OF APPROPRIATIONS.

  The 1st sentence of section 18(a)(1) of the Food and Nutrition Act of 
2008 (7 U.S.C. 2027(a)(1)) is amended by striking ``2018'' and 
inserting ``2023''.

SEC. 4032. EMERGENCY FOOD ASSISTANCE.

  Section 27(a) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2036(a)) is amended--
          (1) in paragraph (1) by striking ``2018'' and inserting 
        ``2023'',
          (2) in paragraph (2)--
                  (A) in subparagraph (C) by striking ``2018'' and 
                inserting ``2023'',
                  (B) in subparagraph (D)--
                          (i) by striking ``2018'' the 1st place it 
                        appears and inserting ``2019'',
                          (ii) in clause (iii) by striking ``and'' at 
                        the end, and
                          (iii) by adding at the end the following:
                          ``(v) for fiscal year 2019, $60,000,000; 
                        and'', and
                  (C) in subparagraph (E)--
                          (i) by striking ``2019'' and inserting 
                        ``2020'',
                          (ii) by striking ``(D)(iv)'' and inserting 
                        ``(D)(v)'', and
                          (iii) by striking ``2017'' and inserting 
                        ``2018'', and
          (3) by adding at the end the following:
          ``(4) Farm-to-food-bank fund.--From amounts made available 
        under subparagraphs (D) and (E) of paragraph (2), the Secretary 
        shall distribute $20,000,000 in accordance with section 214 of 
        the Emergency Food Assistance Act of 1983 (7 U.S.C. 7515) that 
        States shall use to procure or enter into agreements with a 
        food bank to procure excess fresh fruits and vegetables grown 
        in the State, or surrounding regions in the United States, to 
        be provided to eligible recipient agencies as defined in 
        section 201A(3) of the Emergency Food Assistance Act of 1983 (7 
        U.S.C. 7501(3)).''.

SEC. 4033. NUTRITION EDUCATION.

  (a)  Nutrition Education and Obesity Prevention Grant Program.--
Section 28 of the Food and Nutrition Act of 2008 (7 U.S.C. 2036a) is 
amended--
          (1) by amending subsection (a) to read as follows:
  ``(a) Definitions.--As used in this section:
          ``(1) Eligible individual.--The term `eligible individual' 
        means an individual who is eligible to receive benefits under a 
        nutrition education and obesity prevention program under this 
        section as a result of being--
                  ``(A) an individual eligible for benefits under--
                          ``(i) this Act;
                          ``(ii) sections 9(b)(1)(A) and 17(c)(4) of 
                        the Richard B Russell National School Lunch Act 
                        (42 U.S.C. 1758(b)(1)(A), 1766(c)(4)); or
                          ``(iii) section 4(e)(1)(A) of the Child 
                        Nutrition Act of 1966 (42 U.S.C. 
                        1773(e)(1)(A));
                  ``(B) an individual who resides in a community with a 
                significant low-income population, as determined by the 
                Secretary; or
                  ``(C) such other low-income individual as is 
                determined to be eligible by the Secretary.
          ``(2) Eligible institution.--The term `eligible institution' 
        includes any `1862 Institution' or `1890 Institution', as 
        defined in section 2 of the Research, Extension, and Education 
        Reform Act of 1998 (7 U.S.C. 7601).'',
          (2) in subsection (b) by striking ``Consistent with the terms 
        and conditions of grants awarded under this section, State 
        agencies may'' and inserting ``The Secretary, acting through 
        the Director of the National Institute of Food and Agriculture, 
        in consultation with the Administrator of the Food and 
        Nutrition Service, shall'',
          (3) in subsection (c)--
                  (A) by amending paragraph (1) to read as follows:
          ``(1) In general.--Consistent with the terms and conditions 
        of grants awarded under this section, eligible institutions 
        shall deliver nutrition education and obesity prevention 
        services under a program described in subsection (b) that--
                  ``(A) to the extent practicable, provide for the 
                employment and training of professional and 
                paraprofessional aides from the target population to 
                engage in direct nutrition education; and
                  ``(B) partner with other public and private entities 
                as appropriate to optimize program delivery.'',
                  (B) in paragraph (2)--
                          (i) by amending subparagraph (A) to read as 
                        follows:
                  ``(A) In general.--A State agency, in consultation 
                with eligible institutions that provide nutrition 
                education and obesity prevention services under this 
                subsection, shall submit to the Secretary for approval 
                a nutrition education State plan.'',
                          (ii) in subparagraph (B) by striking ``Except 
                        as provided in subparagraph (C), a'' and 
                        inserting ``A'', and
                          (iii) by striking subparagraph (C),
                  (C) in paragraph (3)--
                          (i) in subparagraph (A)--
                                  (I) by striking ``A State agency'' 
                                and inserting ``An eligible 
                                institution'', and
                                  (II) by inserting ``the Director of 
                                the National Institute of Food and 
                                Agriculture and'' after ``by'', and
                          (ii) in subparagraph (B) by inserting ``the 
                        Director of the National Institute of Food and 
                        Agriculture and'' after ``education,'', and
                  (D) in paragraph (4) by inserting ``and eligible 
                institutions'' after ``agencies'', and
                  (E) in paragraph (5) by striking ``State agency'' and 
                inserting ``eligible institutions'',
          (4) in subsection (d)--
                  (A) in paragraph (1)--
                          (i) in the heading by striking ``In general'' 
                        and inserting ``Basic funding'',
                          (ii) by striking ``to State agencies'',
                          (iii) in subparagraph (E) by striking ``and'' 
                        at the end,
                          (iv) in subparagraph (F)--
                                  (I) by striking ``year 2016 and each 
                                subsequent fiscal year'' and inserting 
                                ``years 2016 through 2018'', and
                                  (II) by striking the period at the 
                                end and inserting a semicolon, and
                          (v) by adding at the end the following:
                  ``(G) for fiscal year 2019, $485,000,000; and
                  ``(H) for fiscal year 2020 and each subsequent fiscal 
                year, the applicable amount during the preceding fiscal 
                year, as adjusted to reflect any increases for the 12-
                month period ending 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.'',
          (B) in paragraph (2)--
                  (i) in subparagraph (A)--
                          (I) by inserting ``and appropriated under the 
                        authority of paragraph (2)'' after ``paragraph 
                        (1)'', and
                          (II) in clause (ii)--
                                  (aa) by inserting ``(as that section 
                                existed on the day before the date of 
                                the enactment of the Agriculture and 
                                Nutrition Act of 2018)'' after ``(B)'' 
                                and
                                  (bb) in subclause (V) by striking 
                                ``and each fiscal year thereafter'', 
                                and
                  (ii) by amending subparagraph (B) to read as follows:
                  ``(C) Reallocation.--If the Secretary determines that 
                an eligible institution will not expend all of the 
                funds allocated to the eligible institution for a 
                fiscal year under paragraph (1) or in the case of an 
                eligible institution that elects not to receive the 
                entire amount of funds allocated to the eligible 
                institution for a fiscal year, the Secretary shall 
                reallocate the unexpended funds to other eligible 
                institutions during the fiscal year or the subsequent 
                fiscal year (as determined by the Secretary) that have 
                approved State plans under which the eligible 
                institutions may expend the reallocated funds.'', and
                  (iii) by inserting after subparagraph (A) the 
                following:
                  ``(B) Subsequent allocation.--Of the funds set aside 
                under paragraph (1) and appropriated under the 
                authority of paragraph (2) for fiscal year 2019 and 
                each fiscal year thereafter, 100 percent shall be 
                allocated to eligible institutions pro rata based on 
                the respective share of each State of the number of 
                individuals participating in the supplemental nutrition 
                assistance program during the 12-month period ending 
                the preceding January 31, as determined by the 
                Secretary.'',
                  (C) by redesignating paragraphs (2) and (3) as 
                paragraphs (3) and (4), respectively,
                  (D) by inserting after paragraph (1) the following:
          ``(2) Authorization and advance availability of 
        appropriations.--
                  ``(A) Authorization of appropriations.--There is 
                authorized to be appropriated to carry out this section 
                $65,000,000 for each of the fiscal years 2019 through 
                2023.
                  ``(B) Appropriation in advance.--Except as provided 
                in subparagraph (C), only funds appropriated under 
                subparagraph (A) in advance specifically to carry out 
                this section shall be available to carry out this 
                section.
                  ``(C) Other funds.--Funds appropriated under this 
                paragraph shall be in addition to funds made available 
                under paragraph (1).'', and
                  (E) by inserting after paragraph (4), as so 
                redesignated, the following:
          ``(5) Administrative costs.--Not more than 10 percent of the 
        funds allocated to eligible institutions may be used by the 
        eligible institutions for administrative costs.'', and
          (5) in subsection (e) by striking ``January 1, 2012'' and 
        inserting ``18 months after the date of the enactment of the 
        Agriculture and Nutrition Act of 2018''.
  (b) Related Amendment.--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 ``, such as the expanded food and nutrition education 
program''.

SEC. 4034. RETAIL FOOD STORE AND RECIPIENT TRAFFICKING.

  Section 29(c)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
2036b(c)(1)) is amended by striking ``2018'' and inserting ``2023''.

SEC. 4035. TECHNICAL CORRECTIONS.

  The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) is 
amended--
          (1) in section 3--
                  (A) in subsections (d) and (i) by striking ``7(i)'' 
                and inserting ``7(h)'', and
                  (B) in subsection (o)(1)(A) by striking ``(r)(1)'' 
                and inserting ``(q)(1)'',
          (2) in section 5(a) by striking ``and section'' each place it 
        appears and all that follows through ``households'' the 
        respective next place it appears, and inserting ``and section 
        3(m)(4), households'',
          (3) in subsections (e)(1) and (f)(1)(A)(i) of section 8 by 
        striking ``3(n)(5)'' and inserting ``3(m)(5)'',
          (4) in the 1st sentence of section 10--
                  (A) by striking ``or the Federal Savings and Loan 
                Insurance Corporation'' each place it appears, and
                  (B) by striking ``3(p)(4)'' and inserting 
                ``3(o)(4)'',
          (5) in section 11--
                  (A) in subsection (a)(2) by striking ``3(t)(1)'' and 
                inserting ``3(s)(1)'', and
                  (B) in subsection (d)--
                          (i) by striking ``3(t)(1)'' each place it 
                        appears and inserting ``3(s)(1)'', and
                          (ii) by striking ``3(t)(2)'' each place it 
                        appears and inserting ``3(s)(2)'',
                  (C) in subsection (e)--
                          (i) in paragraph (17) by striking ``3(t)(1)'' 
                        inserting ``3(s)(1)'', and
                          (ii) in paragraph (23) by striking 
                        ``Simplified Supplemental Nutrition Assistance 
                        Program'' and inserting ``simplified 
                        supplemental nutrition assistance program'',
          (6) in section 15(e) by striking ``exchange'' and all that 
        follows through ``anything'', and inserting ``exchange for 
        benefits, or anything'',
          (7) in section 17(b)(1)(B)(iv)--
                  (A) in subclause (III)(aa) by striking ``3(n)'' and 
                inserting ``3(m)'', and
                  (B) in subclause (VII) by striking ``7(i)'' and 
                inserting ``7(h)'',
          (8) in section 25(a)(1)(B)(i)(I) by striking the 2d semicolon 
        at the end, and
          (9) in section 26(b) by striking ``out'' and all that follows 
        through ``(referred'', and inserting ``out a simplified 
        supplemental nutrition assistance program (referred''.

SEC. 4036. IMPLEMENTATION FUNDS.

  Out of any funds made available under section 18(a) of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2027(a)) for fiscal year 2019, the 
Secretary shall use to carry out the amendments made by this subtitle 
$150,000,000, to remain available until expended.

              Subtitle B--Commodity Distribution Programs

SEC. 4101. COMMODITY DISTRIBUTION PROGRAM.

  The 1st sentence of section 4(a) of the Agriculture and Consumer 
Protection Act of 1973 (7 U.S.C. 612c note) is amended by striking 
``2018'' and inserting ``2023''.

SEC. 4102. COMMODITY SUPPLEMENTAL FOOD PROGRAM.

  Section 5 of the Agriculture and Consumer Protection Act of 1973 (7 
U.S.C. 612c note) is amended--
          (1) in subsection (a)--
                  (A) in paragraph (1) by striking ``2018'' and 
                inserting ``2023'', and
                  (B) in paragraph (2) by striking ``2018'' and 
                inserting ``2023'', and
          (2) in subsection (d)(2) by striking ``2018'' and inserting 
        ``2023''.

SEC. 4103. 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(a)(2)(A)) is amended by striking ``2018'' and inserting 
``2023''.

                       Subtitle C--Miscellaneous

SEC. 4201. PURCHASE OF FRESH FRUITS AND VEGETABLES FOR DISTRIBUTION TO 
                    SCHOOLS AND SERVICE INSTITUTIONS.

  Section 10603(b) of the Farm Security and Rural Investment Act of 
2002 (7 U.S.C. 612c-4(b)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 4202. SENIORS FARMERS' MARKET NUTRITION PROGRAM.

  Section 4402(a) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 3007(a)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 4203. HEALTHY FOOD FINANCING INITIATIVE.

  Section 243(d) of the Department of Agriculture Reorganization Act of 
1994 (7 U.S.C. 6953) is amended by striking ``until expended'' and 
inserting ``until October 1, 2023''.

SEC. 4204. AMENDMENTS TO THE FRUIT AND VEGETABLE PROGRAM.

  Section 19 of the Richard B. Russell National School Lunch Act (42 
U.S.C. 1769a) is amended--
          (1) in the section heading, by striking ``fresh'' ;
          (2) in subsection (a), by inserting ``, canned, dried, 
        frozen, or pureed'' after ``fresh'';
          (3) in subsection (b), by inserting ``, canned, dried, 
        frozen, or pureed'' after ``fresh''; and
          (4) in subsection (e), by inserting ``, canned, dried, 
        frozen, or pureed'' after ``fresh''.

                            TITLE V--CREDIT

                    Subtitle A--Farm Ownership Loans

SEC. 5101. MODIFICATION OF THE 3-YEAR EXPERIENCE ELIGIBILITY 
                    REQUIREMENT FOR FARM OWNERSHIP LOANS.

  Section 302(b) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1922(b)) is amended by adding at the end the following:
          ``(4) Waiver authority.--In the case of a qualified beginning 
        farmer or rancher, the Secretary may--
                  ``(A) reduce the 3-year requirement in paragraph (1) 
                to--
                          ``(i) 2 years, if the farmer or rancher has--
                                  ``(I) 16 credit hours of post-
                                secondary education in a field related 
                                to agriculture;
                                  ``(II) at least 1 year of direct 
                                substantive management experience in a 
                                business;
                                  ``(III) been honorably discharged 
                                from the armed forces of the United 
                                States;
                                  ``(IV) successfully repaid a youth 
                                loan made under section 311(b); or
                                  ``(V) an established relationship 
                                with an individual participating as a 
                                counselor in a Service Corps of Retired 
                                Executives program authorized under 
                                section 8(b)(1)(B) of the Small 
                                Business Act (15 U.S.C. 637(b)(1)(B)), 
                                or with a local farm or ranch operator 
                                or organization, approved by the 
                                Secretary, that is committed to 
                                mentoring the farmer or rancher; or
                          ``(ii) 1 year, if the farmer or rancher has 
                        military leadership or management experience 
                        from having completed an acceptable military 
                        leadership course; or
                  ``(B) waive the 3-year requirement in paragraph (1) 
                if the farmer or rancher--
                          ``(i) meets a requirement of subparagraph 
                        (A)(i) (other than subclause (V) thereof) and 
                        meets the requirement of subparagraph (A)(ii); 
                        and
                          ``(ii) meets the requirement of subparagraph 
                        (A)(i)(V).''.

SEC. 5102. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM.

  Section 304(h) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1924(h)) is amended--
          (1) by striking ``$150,000,000'' and inserting 
        ``$75,000,000''; and
          (2) by striking ``2018'' and inserting ``2023''.

SEC. 5103. FARM OWNERSHIP LOAN LIMITS.

  Section 305(a) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1925(a)) is amended--
          (1) by striking ``$700,000'' and inserting ``$1,750,000''; 
        and
          (2) by striking ``2000'' and inserting ``2019''.

                      Subtitle B--Operating Loans

SEC. 5201. LIMITATIONS ON AMOUNT OF OPERATING LOANS.

  Section 313(a)(1) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1943(a)(1)) is amended--
          (1) by striking ``$700,000'' and inserting ``$1,750,000''; 
        and
          (2) by striking ``2000'' and inserting ``2019''.

SEC. 5202. MICROLOANS.

  Section 313(c)(2) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1943(c)(2)) is amended by striking ``title'' and inserting 
``subsection''.

                 Subtitle C--Administrative Provisions

SEC. 5301. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOPMENT ACCOUNTS 
                    PILOT PROGRAM.

  Section 333B(h) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1983b(h)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 5302. LOAN AUTHORIZATION LEVELS.

  Section 346(b)(1) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1994(b)(1)) is amended in the matter preceding subparagraph 
(A) by striking ``2018'' and inserting ``2023''.

SEC. 5303. LOAN FUND SET-ASIDES.

  Section 346(b)(2)(A)(ii)(III) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1994(b)(2)(A)(ii)(III)) is amended by 
striking ``2018'' and inserting ``2023''.

 Subtitle D--Technical Corrections to the Consolidated Farm and Rural 
                            Development Act

SEC. 5401. TECHNICAL CORRECTIONS TO THE CONSOLIDATED FARM AND RURAL 
                    DEVELOPMENT ACT.

  (a)(1) Section 310E(d)(3) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1935(d)(3)) is amended by inserting ``and 
socially disadvantaged farmers or ranchers'' after ``ranchers'' the 
second place it appears.
  (2) The amendment made by this subsection shall take effect as if 
included in the enactment of section 5004(4)(A)(i) of the Food, 
Conservation, and Energy Act of 2008 (Public Law 110-246) in lieu of 
the amendment made by such section.
  (b)(1) Section 321(a) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1961(a)) is amended in the second sentence by striking 
``and limited liability companies'' and inserting ``limited liability 
companies, and such other legal entities''.
  (2) The amendment made by this subsection shall take effect as if 
included in the enactment of section 5201 of the Agricultural Act of 
2014 (Public Law 113-79) in lieu of the amendment made by such section.
  (c)(1) Section 331D(e) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1981d(e)) is amended by inserting after ``within 60 days 
after receipt of the notice required in this section'' the following: 
``or, in extraordinary circumstances as determined by the applicable 
State director, after the 60-day period''.
  (2) The amendment made by this subsection shall take effect as if 
included in the enactment of section 10 of the Agricultural Credit 
Improvement Act of 1992 (Public Law 102-554).
  (d)(1) Section 333A(f)(1)(A) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1983a(f)(1)(A)) is amended by striking 
``114'' and inserting ``339''.
  (2) The amendment made by this subsection shall take effect as if 
included in the enactment of section 14 of the Agricultural Credit 
Improvement Act of 1992 (Public Law 102-554).
  (e) Section 339(d)(3) of the Consolidated Farm and Rural Development 
Act (7 U.S.C.1989(d)(3)) is amended by striking ``preferred certified 
lender'' and inserting ``Preferred Certified Lender''.
  (f)(1) Section 343(a)(11)(C) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1991(a)(11)(C)) is amended by striking ``or 
joint operators'' and inserting ``joint operator, or owners''.
  (2) The amendment made by this subsection shall take effect as of the 
effective date of section 5303(a)(2) of the Agricultural Act of 2014.
  (g)(1) Section 343(b) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1991(b)) is amended by striking ``307(e)'' and inserting 
``307(d)''.
  (2) The amendment made by paragraph (1) shall take effect as if 
included in the enactment of section 5004 of the Agricultural Act of 
2014 (Public Law 113-79).
  (h) Section 346(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C.1994(a)) is amended by striking the last comma.

         Subtitle E--Amendments to the Farm Credit Act of 1971

SEC. 5501. ELIMINATION OF OBSOLETE REFERENCES.

  (a) Section 1.2(a) of the Farm Credit Act of 1971 (12 U.S.C. 2002(a)) 
is amended to read as follows:
  ``(a) Composition.--The Farm Credit System shall include the Farm 
Credit Banks, banks for cooperatives, Agricultural Credit Banks, the 
Federal land bank associations, the Federal land credit associations, 
the production credit associations, the Agricultural Credit 
Associations, the Federal Farm Credit Banks Funding Corporation, the 
Federal Agricultural Mortgage Corporation, service corporations 
established pursuant to section 4.25 of this Act, and such other 
institutions as may be made a part of the System, all of which shall be 
chartered by and subject to regulation by the Farm Credit 
Administration.''.
  (b) Section 2.4 of such Act (12 U.S.C. 2075) is amended by striking 
subsection (d).
  (c) Section 3.0 of such Act (12 U.S.C. 2121) is amended--
          (1) in the 3rd sentence, by striking ``and a Central Bank for 
        Cooperatives''; and
          (2) by striking the 5th sentence.
  (d) Section 3.2(a)(1) of such Act (12 U.S.C. 2123(a)(1)) is amended--
          (1) by striking ``not merged into the United Bank for 
        Cooperatives or the National Bank for Cooperatives''; and
          (2) by adding at the end the following: ``Section 7.12(c) 
        shall apply to the board of directors of a merged bank for 
        cooperatives.''.
  (e) Section 3.2(a)(2)(A) of such Act (12 U.S.C. 2123(a)(2)(A)) is 
amended by striking ``(other than the National Bank for 
Cooperatives)''.
  (f) Section 3.2 of such Act (12 U.S.C. 2123) is amended--
          (1) by striking subsection (b);
          (2) in subsection (a)(2)(B), by striking ``paragraph'' and 
        inserting ``subsection'';
          (3) by striking ``(a)(1)'' and inserting ``(a)'';
          (4) by striking ``(2)(A)'' and inserting ``(b)(1)'';
          (5) by striking ``(i)'' and inserting ``(A)'';
          (6) by striking ``(ii)'' and inserting ``(B)''; and
          (7) by striking ``(B)'' and inserting ``(2)''.
  (g) Section 3.5 of such Act (12 U.S.C. 2126) is amended by striking 
``district''.
  (h) Section 3.7(a) of such Act (12 U.S.C. 2128(a)) is amended by 
striking the second sentence.
  (i) Section 3.8(b)(1)(A) of such Act (12 U.S.C. 2129(b)(1)(A)) is 
amended by inserting ``(or successor agency)'' after ``Rural 
Electrification Administration''.
  (j) Section 3.9(a) of such Act (12 U.S.C. 2130(a)) is amended by 
striking the 3rd sentence.
  (k) Section 3.10(c) of such Act (12 U.S.C. 2131(c)) is amended by 
striking the second sentence.
  (l) Section 3.10(d) of such Act (12 U.S.C. 2131(d)) is amended--
          (1) by striking ``district'' each place it appears; and
          (2) by inserting ``for cooperatives or successor bank'' 
        before ``on account of such indebtedness''.
  (m) Section 3.11 of such Act (12 U.S.C. 2132) is amended--
          (1) in subsection (a), by striking ``subsections (b) and 
        (c)'' and inserting ``subsection (b)'';
          (2) in subsection (b)--
                  (A) by striking ``district''; and
                  (B) by striking ``Except as provided in subsection 
                (c) below, all'' and inserting ``All''; and
          (3) by striking subsection (c) and redesignating subsections 
        (d) through (f) as subsections (c) through (e), respectively.
  (n) The heading for part B of title III of such Act is amended by 
striking ``United and''.
  (o) Section 3.20(a) of such Act (12 U.S.C. 2141(a)) is amended by 
striking ``or the United Bank for Cooperatives, as the case may be''.
  (p) Section 3.20(b) of such Act (12 U.S.C. 2141(b)) is amended by 
striking ``the district banks for cooperatives and the Central Bank for 
Cooperatives'' and inserting ``all constituent banks referred to in 
section 413 of the Agricultural Credit Act of 1987''.
  (q) Section 3.21 of such Act (12 U.S.C. 2142) is repealed.
  (r) Section 3.28 of such Act (12 U.S.C. 2149) is amended by striking 
``a district bank for cooperatives and the Central Bank for 
Cooperatives'' and inserting ``its constituent banks referred to in 
section 413 of the Agricultural Credit Act of 1987''.
  (s) Section 3.29 of such Act (12 U.S.C. 2150) is repealed.
  (t)(1) Section 4.0 of such Act (12 U.S.C. 2151) is repealed.
  (2) Section 5.60(b) of such Act (12 U.S.C. 2277a-9(b)) is amended to 
read as follows:
  ``(b) Amounts in Fund.--The Corporation shall deposit in the 
Insurance Fund all premium payments received by the Corporation under 
this part.''.
  (u)(1) Section 4.8 of such Act (12 U.S.C. 2159) is amended--
          (A) by striking ``(a)''; and
          (B) by striking subsection (b).
  (2) Section 1.1(c) of such Act (12 U.S.C. 2001(c)) is amended by 
striking ``including any costs of defeasance under section 4.8(b),''.
  (v) Section 4.9(d)(2) of such Act (12 U.S.C. 2160(d)(2)) is amended 
to read as follows:
          ``(2) Representation on board.--The Farm Credit System 
        Insurance Corporation shall have no representation on the board 
        of directors of the Corporation.''.
  (w) Section 4.9 of such Act (12 U.S.C. 2160) is amended by striking 
subsection (e) and redesignating subsection (f) as subsection (e).
  (x) Section 4.9A(c) of such Act (12 U.S.C. 2162(c)) is amended to 
read as follows:
  ``(c) Inability to Retire Stock at Par Value.--If an institution is 
unable to retire eligible borrower stock at par value due to the 
liquidation of the institution, the Farm Credit System Insurance 
Corporation, acting as receiver, shall retire such stock at par value 
as would have been retired in the ordinary course of business of the 
institution. The Farm Credit System Insurance Corporation shall make 
use of sufficient funds from the Farm Credit Insurance Fund to carry 
out this section.''.
  (y) Section 4.12A(a)(1) of such Act (12 U.S.C. 2184(a)(1)) is amended 
to read as follows:
          ``(1) In general.--Every Farm Credit System bank or 
        association shall provide a current list of its stockholders, 
        within 7 calendar days after receipt of a written request by a 
        stockholder, to the requesting stockholder.''.
  (z) Section 4.14A(a) of such Act (12 U.S.C. 2202a(a)) is amended by 
inserting ``and section 4.36'' after ``As used in this part''.
  (aa)(1) Section 4.14A of such Act (12 U.S.C. 2202a) is amended--
          (A) in subsection (l), by striking ``production credit''; and
          (B) by striking subsection (h) and redesignating subsections 
        (i) through (l) as subsections (h) through (k), respectively.
  (2)(A) Section 5.31 of such Act (12 U.S.C. 2267) is amended by 
striking ``4.14A(i)'' and inserting ``4.14A(h)''.
  (B) Section 5.32(h) of such Act (12 U.S.C. 2268(h)) is amended by 
striking ``4.14A(i)'' and inserting ``4.14A(h)''.
  (bb)(1) Section 4.14C of such Act (12 U.S.C. 2202c) is repealed.
  (2)(A) Section 4.14A(a)(5)(B)(ii)(I) of such Act (12 U.S.C. 
2202a(a)(5)(B)(ii)(I)) is amended by striking ``4.14C,''.
  (B) Section 8.9 of such Act (12 U.S.C. 2279aa-9) is amended by 
striking ``4.14C,'' each place it appears.
  (cc) Section 4.17 of such Act (12 U.S.C. 2205) is amended by striking 
``Federal intermediate credit banks and''.
  (dd) Section 4.19(a) of such Act (12 U.S.C. 2207(a)) is amended--
          (1) by striking ``district'';
          (2) by striking ``Federal land bank association and 
        production credit''; and
          (3) by striking ``units'' and inserting ``institutions''.
  (ee) Section 4.38 of such Act (12 U.S.C. 2219c) is amended by 
striking ``The Assistance Board established under section 6.0 and all'' 
and inserting ``All''.
  (ff) Section 5.17(a)(2) of such Act (12 U.S.C. 2252(a)(2)) is amended 
by striking the second and 3rd sentences.
  (gg) Section 5.18 of such Act (12 U.S.C. 2253) is repealed.
  (hh) Section 5.19(a) of such Act (12 U.S.C. 2254(a)) is amended--
          (1) by striking ``Except for Federal land bank associations, 
        each'' and inserting ``Each''; and
          (2) by striking the second sentence.
  (ii) Section 5.19(b) of such Act (12 U.S.C. 2254(b)) is amended--
          (1) in the second sentence of paragraph (1), by striking 
        ``except with respect to any actions taken by any banks of the 
        System under section 4.8(b),'';
          (2) by striking the third sentence of paragraph (1);
          (3) by striking ``(b)(1)'' and inserting ``(b)''; and
          (4) by striking paragraphs (2) and (3).
  (jj) Section 5.35(4) of such Act (12 U.S.C. 2271(4)) is amended--
          (1) in subparagraph (C)--
                  (A) by striking ``after December 31, 1992,''; and
                  (B) by striking ``by the Farm Credit System 
                Assistance Board under section 6.6 or''; and
          (2) by striking subparagraph (B) and redesignating 
        subparagraph (C) as subparagraph (B).
  (kk) Section 5.38 of such Act (12 U.S.C. 2274) is amended by striking 
``a farm credit district board, bank board, or bank officer or employee 
shall not remove any director or officer of any production credit 
association or Federal land bank association'' and inserting ``a Farm 
Credit Bank board, officer, or employee shall not remove any director 
or officer of any association''.
  (ll) Section 5.44 of such Act (12 U.S.C. 2275) is repealed.
  (mm) Section 5.58(2) of such Act (12 U.S.C. 2277a-7) is amended by 
striking the second sentence.
  (nn) Subtitle A of title VI of such Act (12 U.S.C. 2278a-2278a-11) is 
repealed.
  (oo) Title VI of such Act (12 U.S.C. 2278a-2278b-11) is amended by 
adding at the end the following:

``SEC. 6.32. TERMINATION OF AUTHORITY.

  ``The authority provided in this subtitle shall terminate on December 
31, 2018.''.
  (pp) Section 7.9 of such Act (12 U.S.C. 2279c-2) is amended by 
striking subsection (c).
  (qq) Section 7.10(a)(4) of such Act (12 U.S.C. 2279d(a)(4)) is 
amended to read as follows:
          ``(4) the institution pays to the Farm Credit Insurance Fund 
        the amount by which the total capital of the institution 
        exceeds 6 percent of the assets;''.
  (rr) Section 8.0(2) of such Act (12 U.S.C. 2279aa(2)) is amended to 
read as follows:
          ``(2) Board.--The term `Board' means the board of directors 
        established under section 8.2.''.
  (ss)(1) Section 8.0 of such Act (12 U.S.C. 2279aa) is amended by 
striking paragraphs (6) and (8), and redesignating paragraphs (7), (9), 
and (10) as paragraphs (6) through (8), respectively.
  (2)(A) Section 4.39 of such Act (12 U.S.C. 2219d) is amended by 
striking ``8.0(7)'' and inserting ``8.0(6)''.
  (B) Section 8.6(e)(2) of such Act (12 U.S.C. 2279aa-6(e)(2)) is 
amended by striking ``8.0(9)'' and inserting ``8.0(7)''.
  (C) Section 8.11(e) of such Act (12 U.S.C. 2279aa-11(e)) is amended 
by striking ``8.0(7)'' and inserting ``8.0(6)''.
  (D) Section 8.32(a)(1)(B) of such Act (12 U.S.C. 2279bb-1(a)(1)(B)) 
is amended by striking ``8.0(9)(C)'' and inserting ``8.0(7)(C)''.
  (tt)(1) Section 8.2 of such Act (12 U.S.C. 2279aa-2) is amended--
          (A) in subsection (b)--
                  (i) in the subsection heading, by striking 
                ``Permanent Board'' and inserting ``Board of 
                Directors'';
                  (ii) by striking paragraph (1) and inserting the 
                following:
          ``(1) Establishment.--The Corporation shall be under the 
        management of the Board of Directors.'';
                  (iii) by striking paragraph (3) and redesignating 
                paragraphs (4) through (10) as paragraphs (3) through 
                (9), respectively; and
                  (iv) by striking ``permanent'' each place it appears 
                in paragraphs (2), and (3) through (9) (as so 
                redesignated); and
          (B) by striking subsection (a) and redesignating subsections 
        (b) and (c) as subsections (a) and (b), respectively.
  (2) Section 8.4(a)(1) of such Act (12 U.S.C. 2279aa-4) is amended--
          (A) by striking the 3rd sentence;
          (B) by inserting after the 1st sentence the following: 
        ``Voting common stock shall be offered to banks, other 
        financial entities, insurance companies, and System 
        institutions under such terms and conditions as the Board may 
        adopt. The voting stock shall be fairly and broadly offered to 
        ensure that no institution or institutions acquire a 
        disproportionate amount of the total amount of voting common 
        stock outstanding of a class and that capital contributions and 
        issuances of voting common stock for the contributions are 
        fairly distributed between entities eligible to hold Class A 
        and Class B stock, as provided under this paragraph.'';
          (C) by striking ``8.2(b)(2)(A)'' and inserting 
        ``8.2(a)(2)(A)''; and
          (D) by striking ``8.2(b)(2)(B)'' and inserting 
        ``8.2(a)(2)(B)''.
  (uu)(1) Section 8.6 of such Act (12 U.S.C. 2279aa-6) is amended by 
striking subsection (d) and redesignating subsection (e) as subsection 
(d).
  (2)(A) Paragraph (7)(B)(i) of section 8.0 of such Act (12 U.S.C. 
2279aa), as redesignated by subsection (ss)(1), is amended by striking 
``through (d)'' and inserting ``and (c)''.
  (B) Section 8.33(b)(2)(A) of such Act (12 U.S.C. 2279bb-2(b)(2)(A)) 
is amended by striking ``8.6(e)'' and inserting ``8.6(d)''.
  (vv) Section 8.32(a) of such Act (12 U.S.C. 2279bb-1(a)) is amended 
by striking ``Not sooner than the expiration of the 3-year period 
beginning on the date of enactment of the Farm Credit System Reform Act 
of 1996, the'' and inserting ``The''.
  (ww) Section 8.35 of such Act (12 U.S.C. 2279bb-4) is amended by 
striking subsection (e).
  (xx) Section 8.38 of such Act (12 U.S.C. 2279bb-7) is repealed.

SEC. 5502. CONFORMING REPEALS.

  (a) Sections 4, 5, 6, 7, 8, 14, and 15 of the Agricultural Marketing 
Act (12 U.S.C. 1141b, 1141c, 1141d, 1141e, 1141f, 1141i, and 1141j) are 
repealed.
  (b) The Act of June 22, 1939, (Chapter 239; 53 Stat. 853; 12 U.S.C. 
1141d-1) is repealed.
  (c) Section 201 of the Emergency Relief and Construction Act of 1932 
(12 U.S.C. 1148) is repealed.
  (d) Section 2 of the Act of July 14, 1953, (Chapter 192; 67 Stat. 
150; 12 U.S.C. 1148a-4) is repealed.
  (e) Sections 32 through 34 of the Farm Credit Act of 1937 (12 U.S.C. 
1148b, 1148c, and 1148d) are repealed.
  (f) Sections 1 through 4 of the Act of March 3, 1932, (12 U.S.C. 1401 
through 1404) are repealed.

SEC. 5503. FACILITY HEADQUARTERS.

  Section 5.16 of the Farm Credit Act of 1971 (12 U.S.C. 2251) is 
amended by striking all that precedes ``to the rental of quarters'' and 
inserting the following:

``SEC. 5.16. QUARTERS AND FACILITIES FOR THE FARM CREDIT 
                    ADMINISTRATION.

  ``(a) The Farm Credit Administration shall maintain its principal 
office within the Washington D.C.-Maryland-Virginia standard 
metropolitan statistical area, and such other offices within the United 
States as in its judgment are necessary.
  ``(b) As an alternate''.

SEC. 5504. SHARING PRIVILEGED AND CONFIDENTIAL INFORMATION.

  Section 5.19 of the Farm Credit Act of 1971 (12 U.S.C. 2254) is 
amended by adding at the end the following:
  ``(e) A System institution shall not be considered to have waived the 
confidentiality of a privileged communication with an attorney or 
accountant if the institution provides the content of the communication 
to the Farm Credit Administration pursuant to the supervisory or 
regulatory authorities of the Farm Credit Administration.''.

SEC. 5505. SCOPE OF JURISDICTION.

  Part C of title V of the Farm Credit Act of 1971 (12 U.S.C. 2261-
2274) is amended by inserting after section 5.31 the following:

``SEC. 5.31A. SCOPE OF JURISDICTION.

  ``(a) For purposes of sections 5.25, 5.26, and 5.33, the jurisdiction 
of the Farm Credit Administration over parties, and the authority of 
the Farm Credit Administration to initiate actions, shall include 
enforcement authority over institution-affiliated parties.
  ``(b) The resignation, termination of employment or participation, or 
separation of an institution-affiliated party (including a separation 
caused by the merger, consolidation, conservatorship, or receivership 
of a System institution) shall not affect the jurisdiction and 
authority of the Farm Credit Administration to issue any notice or 
order and proceed under this part against any such party, if the notice 
or order is served before the end of the 6-year period beginning on the 
date the party ceased to be such a party with respect to the System 
institution (whether the date occurs before, on, or after the date of 
the enactment of this section).''.

SEC. 5506. DEFINITION.

  Section 5.35 of the Farm Credit Act of 1971 (12 U.S.C. 2271) is 
amended--
          (1) by striking ``and'' at the end of paragraph (3); and
          (2) by redesignating paragraph (4) as paragraph (5) and 
        inserting after paragraph (3) the following:
          ``(4) the term `institution-affiliated party' means--
                  ``(A) any director, officer, employee, shareholder, 
                or agent of a System institution;
                  ``(B) any independent contractor (including any 
                attorney, appraiser, or accountant) who knowingly or 
                recklessly participates in--
                          ``(i) any violation of law (including 
                        regulations) that is associated with the 
                        operations and activities of 1 or more 
                        institutions;
                          ``(ii) any breach of fiduciary duty; or
                          ``(iii) any unsafe or unsound practice, which 
                        caused or is likely to cause more than a 
                        minimal financial loss to, or a significant 
                        adverse effect on, a System institution; and
                  ``(C) any other person, as determined by the Farm 
                Credit Administration (by regulation or on a case-by-
                case basis) who participates in the conduct of the 
                affairs of a System institution; and''.

SEC. 5507. EXPANSION OF ACREAGE EXCEPTION TO LOAN AMOUNT LIMITATION.

  (a) In General.--Section 8.8(c)(2) of the Farm Credit Act of 1971 (12 
U.S.C. 2279aa-8(c)(2)) is amended by striking ``1,000'' and inserting 
``2,000''.
  (b) Effective Date.--The amendment made by subsection (a) shall take 
effect 1 year after the date a report submitted in accordance with 
section 5602 of this Act indicates that it is feasible to increase the 
acreage limitation in section 8.8(c)(2) of the Farm Credit Act of 1971 
to 2,000 acres.

SEC. 5508. COMPENSATION OF BANK DIRECTORS.

  Section 4.21 of the Farm Credit Act of 1971 (12 U.S.C. 2209) is 
repealed.

SEC. 5509. PROHIBITION ON USE OF FUNDS.

  Section 5.65 of the Farm Credit Act of 1971 (12 U.S.C. 2277a-14) is 
amended by adding at the end the following:
  ``(e) Prohibition on Uses of Funds Related to Federal Agricultural 
Mortgage Corporation.--No funds from administrative accounts or from 
the Farm Credit System Insurance Fund may be used by the Corporation to 
provide assistance to the Federal Agricultural Mortgage Corporation or 
to support any activities related to the Federal Agricultural Mortgage 
Corporation.''.

                       Subtitle F--Miscellaneous

SEC. 5601. STATE AGRICULTURAL MEDIATION PROGRAMS.

  Section 506 of the Agricultural Credit Act of 1987 (7 U.S.C. 5106) is 
amended by striking ``2018''and inserting ``2023''.

SEC. 5602. STUDY ON LOAN RISK.

  (a) Study.--The Farm Credit Administration shall conduct a study 
that--
          (1) analyzes and compares the financial risks inherent in 
        loans made, held, securitized, or purchased by Farm Credit 
        banks, associations, and the Federal Agricultural Mortgage 
        Corporation and how such risks are required to be capitalized 
        under statute and regulations in effect as of the date of the 
        enactment of this Act; and
          (2) assesses the feasibility of increasing the acreage 
        exception provided in section 8.8(c)(2) of the Farm Credit Act 
        of 1971 to 2,000 acres.
  (b) Timeline.--The Farm Credit Administration shall provide the 
results of the study required by subsection (a) to the Committee on 
Agriculture of the House of Representatives and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate no later than 180 
days after the date of the enactment of this Act.

        TITLE VI--RURAL INFRASTRUCTURE AND ECONOMIC DEVELOPMENT

       Subtitle A--Improving Health Outcomes in Rural Communities

SEC. 6001. PRIORITIZING PROJECTS TO MEET HEALTH CRISES IN RURAL 
                    AMERICA.

  (a) Temporary Prioritization of Rural Health Assistance.--Title VI of 
the Rural Development Act of 1972 (7 U.S.C. 2204a-2204b) is amended by 
adding at the end the following:

``SEC. 608. TEMPORARY PRIORITIZATION OF RURAL HEALTH ASSISTANCE.

  ``(a) Authority to Prioritize Certain Rural Health Applications.--The 
Secretary, after consultation with such public health officials as may 
be necessary, may announce a temporary reprioritization for certain 
rural development loan and grant applications to assist rural 
communities in responding to a specific health emergency.
  ``(b) Content of Announcement.--In the announcement, the Secretary 
shall--
          ``(1) specify the nature of the emergency affecting the heath 
        of rural Americans;
          ``(2) describe the actual and potential effects of the 
        emergency on the rural United States;
          ``(3) identify the services and treatments which can be used 
        to reduce those effects; and
          ``(4) publish the specific temporary changes needed to assist 
        rural communities in responding to the emergency
  ``(c) Notice.--Not later than 48 hours after making or extending an 
announcement under 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, and 
transmit to the Secretary of Health and Human Services, a written 
notice of the declaration or extension.
  ``(d) Extension.--The Secretary may extend an announcement under 
subsection (a) if the Secretary determines that the emergency will 
continue after the declaration would otherwise expire.
  ``(e) Expiration.--An announcement under subsection (a) shall expire 
on the earlier of--
          ``(1) the date the Secretary determines that the emergency 
        has ended; or
          ``(2) the end of the 360-day period beginning with the later 
        of--
                  ``(A) the date the announcement was made; or
                  ``(B) the date the announcement was most recently 
                extended.''.
  (b) Distance Learning and Telemedicine.--Section 2333(c) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 950aaa-2(c)) 
is amended by adding at the end the following:
          ``(5) Procedure during temporary reprioritizations.--
                  ``(A) In general.--While a temporary reprioritization 
                announced under section 608 of the Rural Development 
                Act of 1972 is in effect, the Secretary shall make 
                available not less than 10 percent of the amounts made 
                available under section 2335A for financial assistance 
                under this chapter, for telemedicine services to 
                identify and treat individuals affected by the 
                emergency, subject to subparagraph (B).
                  ``(B) Exception.--In the case of a fiscal year for 
                which the Secretary determines that there are not 
                sufficient qualified applicants to receive financial 
                assistance to reach the 10-percent requirement under 
                subparagraph (A), the Secretary may make available less 
                than 10 percent of the amounts made available under 
                section 2335A for those services.''.
  (c) Community Facilities Direct Loans and Grants.--Section 306(a) of 
the Consolidated Farm and Rural Development Act (7 U.S.C. 1926(a)) is 
amended by adding at the end the following:
          ``(27) Procedure during temporary reprioritizations.--
                  ``(A) Selection priority.--While a temporary 
                reprioritization announced under section 608 of the 
                Rural Development Act of 1972 is in effect, in 
                selecting recipients of loans, loan guarantees, or 
                grants for the development of essential community 
                facilities under this section, the Secretary shall give 
                priority to entities eligible for those loans or 
                grants--
                          ``(i) to develop facilities to provide 
                        services related to reducing the effects of the 
                        health emergency, including--
                                  ``(I) prevention services;
                                  ``(II) treatment services;
                                  ``(III) recovery services; or
                                  ``(IV) any combination of those 
                                services; and
                          ``(ii) that employ staff that have 
                        appropriate expertise and training in how to 
                        identify and treat individuals affected by the 
                        emergency.
                  ``(B) Use of funds.--An eligible entity described in 
                subparagraph (A) that receives a loan or grant 
                described in that subparagraph may use the loan or 
                grant funds for the development of telehealth 
                facilities and systems to provide for treatment 
                directly related to the emergency involved.''.
  (d) Rural Health and Safety Education Programs.--
          (1) In general.--Section 502(i) of the Rural Development Act 
        of 1972 (7 U.S.C. 2662(i)) is amended--
                  (A) by redesignating paragraph (5) as paragraph (6); 
                and
                  (B) by inserting after paragraph (4) the following:
          ``(5) Procedure during temporary reprioritizations.--While a 
        temporary reprioritization announced under section 608 of the 
        Rural Development Act of 1972 is in effect, in making grants 
        under this subsection, the Secretary shall give priority to an 
        applicant that will use the grant to address the announced 
        emergency.''.
          (2) Technical amendments.--Title V of the Rural Development 
        Act of 1972 (7 U.S.C. 2661 et seq.), as amended by paragraph 
        (1) of this subsection, is amended--
                  (A) in section 502, in the matter preceding 
                subsection (a), by inserting ``(referred to in this 
                title as the `Secretary')'' after ``Agriculture''; and
                  (B) by striking ``Secretary of Agriculture'' each 
                place it appears (other than in section 502 in the 
                matter preceding subsection (a)) and inserting 
                ``Secretary''.

SEC. 6002. DISTANCE LEARNING AND TELEMEDICINE.

  (a) 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 ``$75,000,000 for each of fiscal years 2014 through 
2018'' and inserting ``$82,000,000 for each of fiscal years 2019 
through 2023''.
  (b) Conforming Amendment.--Section 1(b) of Public Law 102-551 (7 
U.S.C. 950aaa note) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6003. REAUTHORIZATION OF THE FARM AND RANCH STRESS ASSISTANCE 
                    NETWORK.

  Section 7522 of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 5936) is amended--
          (1) in subsection (a), by striking ``coordination with the 
        Secretary of Health and Human Services, shall make competitive 
        grants to support cooperative programs between State 
        cooperative extension services and nonprofit organizations'' 
        and inserting ``consultation with the Secretary of Health and 
        Human Services, shall make competitive grants to State 
        cooperative extension services and Indian Tribes to support 
        programs with nonprofit organizations in order'';
          (2) in subsection (b)--
                  (A) in paragraph (1), by inserting ``Internet'' 
                before ``websites'';
                  (B) by striking paragraph (2) and inserting the 
                following:
          ``(2) training for individuals who may assist farmers in 
        crisis, including programs and workshops;''; and
                  (C) in paragraph (4), by inserting ``, including the 
                dissemination of information and materials'' before the 
                semicolon at the end;
          (3) in subsection (c), by striking ``to enable the State 
        cooperative extension services'' and inserting ``or Indian 
        Tribes, as applicable,'';
          (4) in subsection (d), by striking ``fiscal years'' and all 
        that follows and inserting ``fiscal years 2018 through 2023''; 
        and
          (5) by redesignating subsection (d) as subsection (e) and 
        inserting after subsection (c) the following:
  ``(d) Oversight and Evaluation.--The Secretary, in consultation with 
the Secretary of Health and Human Services, shall review and evaluate 
the stress assistance programs carried out pursuant to this section.
          ``(1) Program review.--Not later than 2 years after the date 
        on which a grant is first provided under this section, and 
        annually thereafter, the Secretary shall--
                  ``(A) review the programs funded under a grant made 
                under this section to evaluate the effectiveness of the 
                services offered through such a program, and suggest 
                alternative services not offered by such a grant 
                recipient that would be appropriate for behavioral 
                health services; and
                  ``(B) submit to the Congress, and make available on 
                the public Internet website of the Department of 
                Agriculture, a report containing the results of the 
                review conducted under subparagraph (A) and a 
                description of the services provided through programs 
                funded under such a grant.
          ``(2) Public availability.--In making the report under 
        paragraph (1) publicly available, the Secretary shall take such 
        steps as may be necessary to ensure that the report does not 
        contain any information that would identify any person who 
        received services under a program funded under a grant made 
        under this section.''.

SEC. 6004. SUPPORTING AGRICULTURAL ASSOCIATION HEALTH PLANS.

  (a) In General.--The Secretary of Agriculture may establish a loan 
program and a grant program to assist in the establishment of 
agricultural association health plans, in order to help bring new 
health options and lower priced health care coverage to rural 
Americans.
  (b) Loans.--
          (1) In general.--With respect to plan years 2019 through 
        2022, the Secretary of Agriculture, in consultation with the 
        Secretary of Labor, may make not more than 10 loans under this 
        section, for purposes of establishing agricultural association 
        health plans, to qualified agricultural associations that have 
        not received a loan under this section.
          (2) Use of funds.--The proceeds of a loan made under this 
        section may only be used to finance costs associated with 
        establishing and carrying out an agricultural association 
        health plan.
          (3) Loan terms.--A loan made under this section shall--
                  (A) bear interest at an annual rate equivalent to the 
                cost of borrowing to the Department of the Treasury for 
                obligations of comparable maturities;
                  (B) have a term of such length, not exceeding 20 
                years, as the borrower may request;
                  (C) be in an amount not to exceed $15,000,000;
                  (D) require that the borrower submit annual audited 
                financial statements to the Secretary; and
                  (E) include any other requirements or documentation 
                the Secretary deems necessary to carry out this 
                section.
  (c) Grants.--The Secretary may make grants to agricultural trade 
associations or industry associations which have been in existence for 
at least three years prior to applying for such a grant to provide for 
technical assistance in establishing an agricultural association health 
plan.
  (d) Authorization of Appropriations.--
          (1) In general.--There are authorized to be appropriated to 
        carry out this section $65,000,000 for the period of fiscal 
        years 2019 through 2022, to be available until expended.
          (2) Reservation of funds.--Of the funds made available under 
        paragraph (1), not more than 15 percent of such funds shall be 
        made available to make grants under subsection (c).
  (e) Definitions.--In this section:
          (1) Agricultural association health plan.--The term 
        ``agricultural association health plan'' means a group health 
        plan within the meaning of section 733(a)(1) of the Employee 
        Retirement Income Security Act of 1974 (42 U.S.C. 1191b)--
                  (A) that is sponsored by a qualified agricultural 
                association; and
                  (B) with respect to which the Secretary has received 
                a letter from the relevant State insurance commissioner 
                certifying that such association may offer such plan in 
                such State.
          (2) Qualified agricultural association.--The term ``qualified 
        agricultural association'' means an association--
                  (A) composed of members that operate a farm or ranch 
                or operate an agribusiness;
                  (B) that qualifies as an association health plan 
                within the meaning of guidance or regulation issued by 
                the Department of Labor;
                  (C) that acts directly or indirectly in the interest 
                of its members in relation to the plan;
                  (D) that is able to demonstrate an ability to 
                implement and manage a group health plan; and
                  (E) that meets any other criteria the Secretary deems 
                necessary to meet the intent of this section.

     Subtitle B--Connecting Rural Americans to High Speed Broadband

SEC. 6101. ESTABLISHING FORWARD-LOOKING BROADBAND STANDARDS.

  (a) In General.--Section 601 of the Rural Electrification Act of 1936 
(7 U.S.C. 950bb) is amended--
          (1) in subsection (d)(1)(A), by striking clause (i) and 
        inserting the following:
                          ``(i) demonstrate the ability to furnish or 
                        improve service in order to meet the broadband 
                        service standards established under subsection 
                        (e)(1) in all or part of an unserved or 
                        underserved rural area;'';
          (2) in subsection (e)--
                  (A) by striking paragraphs (1) and (2) and inserting 
                the following:
          ``(1) In general.--Subject to paragraph (2), for purposes of 
        this section, the Secretary shall establish broadband service 
        standards for rural areas which provide for--
                  ``(A) a minimum acceptable standard of service that 
                requires the speed to be at least 25 megabits per 
                second downstream transmission capacity and 3 megabits 
                per second upstream transmission capacity; and
                  ``(B) projections of minimum acceptable standards of 
                service for 5, 10, 15, 20, and 30 years into the 
                future.
          ``(2) Adjustments.--
                  ``(A) In general.--At least once every 2 years, the 
                Secretary shall review, and may adjust through notice 
                published in the Federal Register, the broadband 
                service standards in effect under paragraph (1) to 
                encourage the delivery of high quality, cost-effective 
                broadband service in rural areas.
                  ``(B) Considerations.--In establishing and adjusting 
                the broadband service standards in effect under 
                paragraph (1), the Secretary shall consider--
                          ``(i) the broadband service needs of rural 
                        families and businesses;
                          ``(ii) broadband service available to urban 
                        and suburban areas;
                          ``(iii) future technology needs of rural 
                        residents;
                          ``(iv) advances in broadband technology; and
                          ``(v) other relevant factors as determined by 
                        the Secretary.''; and
                  (B) by adding at the end the following:
          ``(4) Agreement.--The Secretary shall not provide a loan or 
        loan guarantee under this section for a project unless the 
        Secretary determines, at the time the agreement to provide the 
        loan or loan guarantee is entered into, that, at any time while 
        the loan or loan guarantee is outstanding, the project will be 
        capable of providing broadband service at not less than the 
        minimum acceptable standard of service established under 
        paragraph (1)(B) for that time.
          ``(5) Substitute service standards for unique service 
        territories.--If an applicant shows that it would be cost 
        prohibitive to meet the minimum acceptable level of broadband 
        service established under paragraph (1)(B) for the entirety of 
        a proposed service territory due to the unique characteristics 
        of the proposed service territory, the Secretary and the 
        applicant may agree to utilize substitute standards for any 
        unserved portion of the project. Any substitute service 
        standards should continue to consider the matters described in 
        paragraph (2)(B) and reflect the best technology available to 
        meet the needs of the residents in the unserved area.''; and
          (3) in subsection (g)--
                  (A) in paragraph (2)(A), by striking ``level of 
                broadband service established under subsection (e)'' 
                and inserting ``standard of service established under 
                subsection (e)(1)(A)''; and
                  (B) by adding at the end the following:
          ``(4) Minimum standards.--To the extent possible, the terms 
        and conditions under which a loan or loan guarantee is provided 
        to an applicant for a project shall require that, at any time 
        while the loan or loan guarantee is outstanding, the broadband 
        network provided by the project will meet the lower of--
                  ``(A) the minimum acceptable standard of service 
                projected under subsection (e)(1)(B) for that time, as 
                agreed to by the applicant at the time the loan or loan 
                guarantee is provided; or
                  ``(B) the minimum acceptable standard of service in 
                effect under subsection (e)(1)(A) for that time.''.
  (b) Report to Congress.--Within 12 months after the date of the 
enactment of this Act, the Administrator of the Rural Utilities Service 
(in this subsection referred to as the ``RUS'') shall submit to the 
Committee on Agriculture of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the Senate a 
written report on the effectiveness of RUS loan and loan guarantee 
programs for the purpose of expanding broadband to rural areas (as 
defined in RUS regulations), which shall--
          (1) identify administrative and legislative options for 
        incentivizing private investment by utilizing RUS loan 
        guarantee programs for the purpose of expanding broadband to 
        rural areas;
          (2) evaluate the existing borrower and lending guidelines for 
        RUS loan and loan guarantee applicants to incentivize 
        participation in both programs;
          (3) evaluate the loan and loan guarantee application 
        processes for lenders and borrowers by eliminating burdensome 
        and unnecessary steps in the application process and providing 
        a more streamlined process to decrease the complexity of the 
        application and the timeline from application to approval or 
        denial;
          (4) identify opportunities to provide technical assistance 
        and pre-development planning activities to assist rural 
        counties and communities to assess current and future broadband 
        needs; and
          (5) identify and evaluate emerging technologies, including 
        next-generation satellite technologies, and ways to leverage 
        the technologies to provide high-speed, low-latency internet 
        connectivity to rural areas.

SEC. 6102. INCENTIVES FOR HARD TO REACH COMMUNITIES.

  Title VI of the Rural Electrification Act of 1936 (7 U.S.C. 950bb) is 
amended by adding at the end the following:

``SEC. 604. INCENTIVES FOR HARD TO REACH COMMUNITIES.

  ``(a) Definitions.--In this section:
          ``(1) Associated loan.--The term `associated loan' means a 
        loan or loan guarantee to finance all or part of a project 
        under title I or II or this title for which an application has 
        been submitted under such title and for which an application 
        has also been submitted for a grant under this section.
          ``(2) Density.--
                  ``(A) In general.--The term `density' means service 
                points per road mile.
                  ``(B) Method of calculation.--The Secretary shall 
                further define, by rule, a method for calculating 
                service points per road-mile, where appropriate by 
                geography, which--
                          ``(i) divides the total number of service 
                        points by the total number of road-miles in a 
                        proposed service territory;
                          ``(ii) requires an applicant to count all 
                        potential service points in a proposed service 
                        territory; and
                          ``(iii) includes any other requirements the 
                        Secretary deems necessary to protect the 
                        integrity of the program.
          ``(3) Eligible project.--The term `eligible project' means 
        any project for which the applicant--
                  ``(A) has submitted an application for an associated 
                loan; and
                  ``(B) does not receive any other broadband grant 
                administered by the Rural Utilities Service; and
                  ``(C) proposes to--
                          ``(i) offer retail broadband service to rural 
                        households;
                          ``(ii) serve an area with a density of less 
                        than 12;
                          ``(iii) provide service that meets the 
                        standard that would apply under section 
                        601(e)(4) if the associated loan had been 
                        applied for under section 601;
                          ``(iv) provide service in an area where no 
                        incumbent provider delivers fixed terrestrial 
                        broadband service at or above the minimum 
                        broadband speed described in section 601(e)(1); 
                        and
                          ``(v) provide service in an area where no 
                        eligible borrower, other than the applicant, 
                        has outstanding Rural Utilities Service 
                        telecommunications debt or is subject to a 
                        current Rural Utilities Service 
                        telecommunications grant agreement.
          ``(4) Service point.--The term `service point' means a home, 
        business, or institution in a proposed service area.
          ``(5) Road-mile.--The term `road-mile' means a mile of road 
        in a proposed service area.
  ``(b) Establishment of Grant Program.--The Secretary shall establish 
a competitive grant program to provide applicants funds to carry out 
eligible projects for the purposes of construction, improvement, or 
acquisition of facilities for the provision of broadband service in 
rural areas.
  ``(c) Applications.--The Secretary shall establish an application 
process for grants under this section that--
          ``(1) has 1 application window per year;
          ``(2) permits a single application for the grant and the 
        associated loan; and
          ``(3) provides a single decision to award the grant and the 
        associated loan.
  ``(d) Priority.--In making grants under this section, the Secretary 
shall prioritize applications in which the applicant proposes to--
          ``(1) provide the highest quality of service as measured by--
                  ``(A) network speed;
                  ``(B) network latency; and
                  ``(C) data allowances;
          ``(2) serve the greatest number of service points; and
          ``(3) use the greatest proportion of non-Federal dollars.
  ``(e) Amount.--The Secretary shall make each grant under this section 
in an amount that is--
          ``(1) not greater than 75 percent of the total project cost 
        with respect to an area with a density of less than 4;
          ``(2) not greater than 50 percent of the total project cost 
        with respect to an area with a density of 4 or more and not 
        more than 9; and
          ``(3) not greater than 25 percent of the total project cost 
        with respect to an area with a density of more than 9 and not 
        more than 12.
  ``(f) Terms and Conditions.--With respect to a grant provided under 
this section, the Secretary shall require that--
          ``(1) the associated loan is secured by the assets purchased 
        with funding from the grant and from the loan;
          ``(2) the agreement in which the terms of the grant are 
        established is for a period equal to the duration of the 
        associated loan; and
          ``(3) at any time at which the associated loan is 
        outstanding, the broadband service provided by the project will 
        meet the lower of the standards that would apply under section 
        601(g)(4) if the associated loan had been made under section 
        601.
  ``(g) Payment Assistance for Certain Applicants Under This Title.--
          ``(1) In general.--As part of the grant program under this 
        section, the Secretary, at the sole discretion of the 
        Secretary, may provide to applicants who are eligible borrowers 
        under this title and not eligible borrowers under title I or II 
        all or a portion of the grant funds in the form of payment 
        assistance.
          ``(2) Payment assistance.--The Secretary may provide payment 
        assistance under paragraph (1) by reducing a borrower's 
        interest rate or periodic principal payments or both.
          ``(3) Agreement on milestones and objectives.--With respect 
        to payment assistance provided under paragraph (1), before 
        entering into the agreement for the grant and associated loan 
        under which the payment assistance will be provided, the 
        applicant and the Secretary shall agree to milestones and 
        objectives of the project.
          ``(4) Condition.--The Secretary shall condition any payment 
        assistance provided under paragraph (1) on--
                  ``(A) the applicant fulfilling the terms and 
                conditions of the grant agreement under which the 
                payment assistance will be provided; and
                  ``(B) completion of the milestones and objectives 
                agreed to under paragraph (3).
          ``(5) Amendment of milestones and objectives.--The Secretary 
        and the applicant may jointly agree to amend the milestones and 
        objectives agreed to under paragraph (3).
  ``(h) Existing Projects.--The Secretary may not provide a grant under 
this section to an applicant for a project that was commenced before 
the date of the enactment of this section.
  ``(i) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $350,000,000 for each of fiscal 
years 2019 to 2023.''.

SEC. 6103. REQUIRING GUARANTEED BROADBAND LENDING.

  Section 601(c)(1) of the Rural Electrification Act of 1936 (7 U.S.C. 
950bb(c)(1)) is amended by striking ``shall make or guarantee loans'' 
and inserting ``shall make loans and shall guarantee loans''.

SEC. 6104. SMART UTILITY AUTHORITY FOR BROADBAND.

  (a) Section 331 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1981) is amended by adding at the end the following:
  ``(e)(1) Except as provided in paragraph (2), the Secretary may allow 
a recipient of a grant, loan, or loan guarantee provided by the Office 
of Rural Development under this title to use not more than 10 percent 
of the amount so provided--
          ``(A) for any activity for which assistance may be provided 
        under section 601 of the Rural Electrification Act of 1936; or
          ``(B) to construct other broadband infrastructure.
  ``(2) Paragraph (1) of this subsection shall not apply to a recipient 
who is seeking to provide retail broadband service in any area where 
retail broadband service is available at the minimum broadband speeds, 
as defined under section 601(e) of the Rural Electrification Act of 
1936.''.
  (b) Title I of the Rural Electrification Act of 1936 (7 U.S.C. 901-
918a) is amended by inserting after section 7 the following:

``SEC. 8. LIMITATIONS ON USE OF ASSISTANCE.

  ``(a) Subject to subsections (b) and (c) of this section, the 
Secretary may allow a recipient of a grant, loan, or loan guarantee 
under this title to set aside not more than 10 percent of the amount so 
received to provide retail broadband service.
  ``(b) A recipient who sets aside funds under subsection (a) of this 
section may use the funds only in an area that is not being provided 
with the minimum acceptable level of broadband service established 
under section 601(e), unless the recipient meets the requirements of 
section 601(d).
  ``(c) Nothing in this section shall be construed to limit the ability 
of any borrower to finance or deploy services authorized under this 
title.''.

SEC. 6105. MODIFICATIONS TO THE RURAL GIGABIT PROGRAM.

  Section 603 of the Rural Electrification Act of 1936 (7 U.S.C. 950bb-
2) is amended--
          (1) in the section heading, by striking ``rural gigabit 
        network pilot'' and inserting ``innovative broadband 
        advancement'';
          (2) in subsection (d), by striking ``2014 through 2018'' and 
        inserting ``2019 through 2023'';
          (3) by redesignating subsection (d) as subsection (e); and
          (4) by striking subsections (a) through (c) and inserting the 
        following:
  ``(a) In General.--The Secretary shall establish a program to be 
known as the `Innovative Broadband Advancement Program', under which 
the Secretary may provide a grant, a loan, or both to an eligible 
entity for the purpose of demonstrating innovative broadband 
technologies or methods of broadband deployment that significantly 
decrease the cost of broadband deployment, and provide substantially 
faster broadband speeds than are available, in a rural area.
  ``(b) Rural Area.--In this section, the term `rural area' has the 
meaning provided in section 601(b)(3).
  ``(c) Eligibility.--To be eligible to obtain assistance under this 
section for a project, an entity shall--
          ``(1) submit to the Secretary an application--
                  ``(A) that describes a project designed to decrease 
                the cost of broadband deployment, and substantially 
                increase broadband speed to not less than the 20-year 
                broadband speed established by the Rural Utilities 
                Service under this title, in a rural area to be served 
                by the project; and
                  ``(B) at such time, in such manner, and containing 
                such other information as the Secretary may require;
          ``(2) demonstrate that the entity is able to carry out the 
        project; and
          ``(3) agree to complete the project build-out within 5 years 
        after the date the assistance is first provided for the 
        project.
  ``(d) Prioritization.--In awarding assistance under this section, the 
Secretary shall give priority to proposals for projects that--
          ``(1) involve partnerships between or among multiple 
        entities;
          ``(2) would provide broadband service to the greatest number 
        of rural residents at or above the minimum broadband speed 
        referred to in subsection (c)(1)(A); and
          ``(3) the Secretary determines could be replicated in rural 
        areas described in paragraph (2).''.

SEC. 6106. UNIFIED BROADBAND REPORTING REQUIREMENTS.

  Section 601 of the Rural Electrification Act of 1936 (7 U.S.C. 950bb) 
is amended--
          (1) in subsection (j)--
                  (A) in the matter preceding paragraph (1), by 
                striking ``Not later than'' and all that follows 
                through ``section'' and inserting ``Each year, the 
                Secretary shall submit to the Congress a report that 
                describes the extent of participation in the broadband 
                loan, loan guarantee, and grant programs administered 
                by the Secretary'';
                  (B) in paragraph (1), by striking ``loans applied for 
                and provided under this section'' and inserting 
                ``loans, loan guarantees, and grants applied for and 
                provided under the programs'';
                  (C) in paragraph (2)--
                          (i) in subparagraph (A), by striking 
                        ``loan''; and
                          (ii) in subparagraph (B), by striking ``loans 
                        and loan guarantees provided under this 
                        section'' and inserting ``loans, loan 
                        guarantees, and grants provided under the 
                        programs'';
                  (D) in paragraph (3), by striking ``loan application 
                under this section'' and inserting ``application under 
                the programs'';
                  (E) in each of paragraphs (4) and (6), by striking 
                ``this section'' and inserting ``the programs''; and
                  (F) in paragraph (5)--
                          (i) by striking ``service'' and inserting 
                        ``technology''; and
                          (ii) by striking ``(b)(1)'' and inserting 
                        ``(e)(1)''; and
          (2) in subsection (k)(2), in each of subparagraphs (A)(i) and 
        (C), by striking ``loans'' and inserting ``grants, loans,''.

SEC. 6107. IMPROVING ACCESS BY PROVIDING CERTAINTY TO BROADBAND 
                    BORROWERS.

  (a) Telephone Loan Program.--Title II of the Rural Electrification 
Act of 1936 (7 U.S.C. 922-928) is amended by adding at the end the 
following:

``SEC. 208. AUTHORITY TO OBLIGATE, BUT NOT DISBURSE, FUNDS BEFORE THE 
                    COMPLETION OF REVIEWS.

  ``(a) In General.--The Secretary may obligate, but shall not 
disburse, funds under this title for a project before the completion of 
any otherwise required environmental, historical, or other review of 
the project.
  ``(b) Authority to Deobligate Funds.--The Secretary may deobligate 
funds under this title for a project if any such review will not be 
completed within a reasonable period of time.''.
  (b) Rural Broadband Program.--Section 601(d) of the Rural 
Electrification Act of 1936 (7 U.S.C. 950bb(d)) is amended by adding at 
the end the following:
          ``(11) Authority to obligate, but not disburse, funds before 
        completion of reviews; authority to deobligate funds.--The 
        Secretary may obligate, but shall not disburse, funds under 
        this section for a project before the completion of any 
        otherwise required environmental, historical, or other review 
        of the project. The Secretary may deobligate funds under this 
        section for a project if any such review will not be completed 
        within a reasonable period of time.''.

SEC. 6108. SIMPLIFIED APPLICATION WINDOW.

  Section 601(c)(2)(A) of the Rural Electrification Act of 1936 (7 
U.S.C. 950bb(c)(2)(A)) is amended by striking ``not less than 2 
evaluation periods'' and inserting ``1 evaluation period''.

SEC. 6109. ELIMINATION OF REQUIREMENT TO GIVE PRIORITY TO CERTAIN 
                    APPLICANTS.

  Section 601(c)(2) of the Rural Electrification Act of 1936 (7 U.S.C. 
950bb(c)(2)) is amended--
          (1) by striking ``; and'' at the end of subparagraph (C) and 
        inserting a period; and
          (2) by striking subparagraph (D).

SEC. 6110. MODIFICATION OF BUILDOUT REQUIREMENT.

  Section 601(d)(1)(A)(iii) of the Rural Electrification Act of 1936 (7 
U.S.C. 950bb(d)(1)(A)(iii)) is amended--
          (1) by striking ``service'' and inserting ``infrastructure''; 
        and
          (2) by striking ``3'' and inserting ``5''.

SEC. 6111. IMPROVING BORROWER REFINANCING OPTIONS.

  (a) Refinancing of Broadband Loans.--Section 201 of the Rural 
Electrification Act of 1936 (7 U.S.C. 922) is amended by inserting 
``including indebtedness on a loan made under section 601'' after 
``furnishing telephone service in rural areas''.
  (b) Refinancing of Other Loans.--Section 601(i) of such Act (7 U.S.C. 
950bb(i)) is amended by inserting ``, or on any other loan if the 
purpose for which such other loan was made is a telecommunications 
purpose for which assistance may be provided under this Act,'' before 
``if the use of''.

SEC. 6112. ELIMINATION OF UNNECESSARY REPORTING REQUIREMENTS.

  Section 601(d)(8)(A)(ii) of the Rural Electrification Act of 1936 (7 
U.S.C. 950bb(d)(8)(A)(ii)) is amended--
          (1) in subclause (I), by striking ``and location''; and
          (2) in subclause (IV), by striking ``any changes in broadband 
        service adoption rates, including''.

SEC. 6113. ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES IN RURAL 
                    AREAS.

  Section 601 of the Rural Electrification Act of 1936 (7 U.S.C. 950bb) 
is amended--
          (1) in subsection (k), by striking paragraph (1) and 
        inserting the following:
          ``(1) Limitations on authorization of appropriations.--For 
        loans and loan guarantees under this section, there is 
        authorized to be appropriated to the Secretary $150,000,000 for 
        each of fiscal years 2019 through 2023, to remain available 
        until expended.''; and
          (2) in subsection (l), by striking ``2018'' and inserting 
        ``2023''.

SEC. 6114. MIDDLE MILE BROADBAND INFRASTRUCTURE.

  Section 601 of the Rural Electrification Act of 1936 (7 U.S.C. 950bb) 
is amended--
          (1) in subsection (a), by inserting ``or middle mile 
        infrastructure'' before ``in rural areas'';
          (2) in subsection (b), by redesignating paragraphs (2) and 
        (3) as paragraphs (3) and (4) and inserting after paragraph (1) 
        the following:
          ``(2) Middle mile infrastructure.--The term `middle mile 
        infrastructure' means any broadband infrastructure that does 
        not connect directly to end user locations (including anchor 
        institutions) and may include interoffice transport, backhaul, 
        Internet connectivity, data centers, or special access 
        transport to rural areas.'';
          (3) in subsection (c)--
                  (A) in paragraph (1), by inserting ``and to 
                construct, improve, or acquire middle mile 
                infrastructure'' before ``in rural areas'';
                  (B) in paragraph (2)(B), by inserting ``, or in the 
                case of middle mile infrastructure, offer the future 
                ability to link,'' before ``the greatest proportion''; 
                and
                  (C) by adding at the end the following:
          ``(3) Limitation on middle mile infrastructure projects.--The 
        Secretary shall limit loans or loan guarantees for middle mile 
        infrastructure projects to no more than 20 percent of the 
        amounts made available to carry out this section.'';
          (4) in subsection (d)--
                  (A) in paragraph (1)(A)--
                          (i) in clause (i) (as amended by section 
                        6101(1) of this Act), by inserting ``or extend 
                        middle mile infrastructure'' before ``in all''; 
                        and
                          (ii) in clause (iii), by inserting ``or 
                        middle mile infrastructure'' before 
                        ``described'';
                  (B) in paragraph (2)--
                          (i) in subparagraph (B), by inserting ``or 
                        install middle mile infrastructure'' before 
                        ``in the proposed'';
                          (ii) in subparagraph (C), by striking clause 
                        (ii) and inserting the following:
                          ``(ii) Exception.--Clause (i) shall not apply 
                        with respect to a project if the project is 
                        eligible for funding under another title of 
                        this Act.''; and
                          (iii) by adding at the end the following:
                  ``(D) Exception for middle mile infrastructure.--
                Portions of a middle mile infrastructure project that 
                ultimately meet the rural service requirements of this 
                section may traverse an area not described in 
                subsection (b)(4) when necessary.'';
                  (C) in paragraph (4), by inserting ``, or construct, 
                improve, or acquire middle mile infrastructure in,'' 
                before ``a rural area'';
                  (D) in paragraph (5)(A)(v), by inserting ``or, in the 
                case of middle mile infrastructure, connect'' before 
                the semicolon; and
                  (E) in paragraph (8)(A)(ii)--
                          (i) in subclause (I), by inserting ``or may'' 
                        before ``receive'';
                          (ii) in subclause (II), by inserting ``or 
                        capability of middle mile infrastructure'' 
                        before the semicolon; and
                          (iii) in subclause (III), by inserting ``, if 
                        applicable'' before the semicolon;
          (5) in subsection (i)--
                  (A) in the subsection heading, by inserting ``or 
                Middle Mile Infrastructure'' after ``Service''; and
                  (B) by inserting ``or middle mile infrastructure'' 
                before ``in rural areas''; and
          (6) in subsection (j)(6), by inserting ``or middle mile 
        infrastructure'' after ``service'' the 1st and 3rd places it 
        appears.

SEC. 6115. OUTDATED BROADBAND SYSTEMS.

  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:

``SEC. 605. OUTDATED BROADBAND SYSTEMS.

  ``Beginning October 1, 2020, the Secretary shall consider any portion 
of a service territory subject to an outstanding grant agreement 
between the Secretary and a broadband provider in which broadband 
service is not provided at at least 10 megabits per second download and 
at least 1 megabit per second upload as unserved for the purposes of 
all broadband loan programs under this Act, unless the broadband 
provider has constructed or begun to construct broadband facilities in 
the service territory that meet the minimum acceptable standard of 
service established under section 601(e)(1) for the area in which the 
service territory is located.''.

SEC. 6116. EFFECTIVE DATE.

  (a) In General.--The amendments made by this subtitle shall not take 
effect until the Secretary of Agriculture has issued final regulations 
to implement the amendments.
  (b) Deadline for Issuing Regulations.--Within 90 days after the date 
of the enactment of this Act, the Secretary of Agriculture shall 
prescribe final regulations to implement the amendments made by 
sections 6101 and 6102.

        Subtitle C--Consolidated Farm and Rural Development Act

SEC. 6201. STRENGTHENING REGIONAL ECONOMIC DEVELOPMENT INCENTIVES.

  Section 379H of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2008v) is amended to read as follows:

``SEC. 379H. STRATEGIC ECONOMIC AND COMMUNITY DEVELOPMENT.

  ``(a) In General.--In the case of any program as determined by the 
Secretary, the Secretary shall give priority to an application for a 
project that, as determined and approved by the Secretary--
          ``(1) meets the applicable eligibility requirements of this 
        title or other applicable authorizing law;
          ``(2) will be carried out in a rural area; and
          ``(3) supports the implementation of a strategic community 
        investment plan described in subsection (d) on a multisectoral 
        and multijurisdictional basis.
  ``(b) Reserve.--
          ``(1) In general.--Subject to paragraph (2), the Secretary 
        shall reserve a portion of the funds made available for a 
        fiscal year for programs as determined by the Secretary, for 
        projects that support the implementation of a strategic 
        community investment plan described in subsection (d) on a 
        multisectoral and multijurisdictional basis.
          ``(2) Period.--The reservation of funds described in 
        paragraph (1) may only extend through a date of the fiscal year 
        in which the funds were first made available, as determined by 
        the Secretary.
  ``(c) Approved Applications.--
          ``(1) In general.--Any applicant who submitted a funding 
        application that was approved before the date of enactment of 
        this section may amend the application to qualify for the funds 
        reserved under subsection (b).
          ``(2) Rural utilities.--Any rural development application 
        authorized under section 306(a)(2), 306(a)(14), 306(a)(24), 
        306A, or 310B(b) and approved by the Secretary before the date 
        of enactment of this section shall be eligible for the funds 
        reserved under subsection (b) on the same basis as the 
        applications submitted under this section, until September 30, 
        2019.
  ``(d) Strategic Community Investment Plans.--
          ``(1) In general.--The Secretary shall provide assistance to 
        rural communities for developing strategic community investment 
        plans.
          ``(2) Plans.--A strategic community investment plan described 
        in paragraph (1) shall include--
                  ``(A) a variety of activities designed to facilitate 
                a rural community's vision for its future;
                  ``(B) participation by multiple stakeholders, 
                including local and regional partners;
                  ``(C) leverage of applicable regional resources;
                  ``(D) investment from strategic partners, such as--
                          ``(i) private organizations;
                          ``(ii) cooperatives;
                          ``(iii) other government entities;
                          ``(iv) tribes; and
                          ``(v) philanthropic organizations;
                  ``(E) clear objectives with the ability to establish 
                measurable performance metrics;
                  ``(F) action steps for implementation; and
                  ``(G) any other elements necessary to ensure that the 
                plan results in a comprehensive and strategic approach 
                to rural economic development, as determined by the 
                Secretary.
          ``(3) Coordination.--The Secretary shall coordinate with 
        tribes and local, State, regional, and Federal partners to 
        develop strategic community investment plans under this 
        subsection.
          ``(4) Limitations on authorization of appropriations.--
                  ``(A) In general.--There is authorized to be 
                appropriated $5,000,000 for fiscal years 2018 through 
                2023 to carry out this subsection.
                  ``(B) Availability.--The amounts made available to 
                carry out this subsection are authorized to remain 
                available until expended.''.

SEC. 6202. EXPANDING ACCESS TO CREDIT FOR RURAL COMMUNITIES.

  (a) Certain Programs Under the Consolidated Farm and Rural 
Development Act.--Section 343(a)(13) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1991(a)(13)) is amended--
          (1) in subparagraph (B)--
                  (A) in the heading, by striking ``and guaranteed''; 
                and
                  (B) in the text--
                          (i) by striking ``and guaranteed''; and
                          (ii) by striking ``(1), (2), and (24)'' and 
                        inserting ``(1) and (2)''; and
          (2) in subparagraph (C)--
                  (A) by striking ``and guaranteed''; and
                  (B) by striking ``(21), and (24)'' and inserting 
                ``and (21)''.
  (b) Rural Broadband Program.--Paragraph (4)(A)(ii) of section 601(b) 
of the Rural Electrification Act of 1936 (7 U.S.C. 950bb(b)), as 
redesignated by section 6114(2), is amended by inserting ``in the case 
of a direct loan,'' before ``a city''.

SEC. 6203. PROVIDING FOR ADDITIONAL FEES FOR GUARANTEED LOANS.

  (a) Certain Programs Under the Consolidated Farm and Rural 
Development Act.--Section 333 of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1983) is amended--
          (1) by striking ``and'' at the end of paragraph (5);
          (2) by striking the period at the end of paragraph (6) and 
        inserting ``; and''; and
          (3) by adding at the end the following:
          ``(7) in the case of an insured or guaranteed loan issued or 
        modified under section 306(a), charge and collect from the 
        recipient of the insured or guaranteed loan fees in such 
        amounts as are necessary so that the sum of the total amount of 
        fees so charged in each fiscal year and the total of the 
        amounts appropriated for all such insured or guaranteed loans 
        for the fiscal year equals the subsidy cost for the insured or 
        guaranteed loans in the fiscal year.''.
  (b) Rural Broadband Program.--Section 601(c) of the Rural 
Electrification Act of 1936 (7 U.S.C. 950bb(c)), as amended by section 
6114, is further amended by adding at the end the following:
          ``(4) Fees.--In the case of a loan guarantee issued or 
        modified under this section, the Secretary shall charge and 
        collect from the recipient of the guarantee fees in such 
        amounts as are necessary so that the sum of the total amount of 
        fees so charged in each fiscal year and the total of the 
        amounts appropriated for all such loan guarantees for the 
        fiscal year equals the subsidy cost for the loan guarantees in 
        the fiscal year.''.

SEC. 6204. WATER, WASTE DISPOSAL, AND WASTEWATER FACILITY GRANTS.

  Section 306(a)(2)(B) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926(a)(2)(B)) is amended--
          (1) in clause (iii), by striking ``$100,000'' each place it 
        appears and inserting ``$200,000''; and
          (2) in clause (vii), by striking ``$30,000,000 for each of 
        fiscal years 2008 through 2018'' and inserting ``$15,000,000 
        for each of fiscal years 2019 through 2023''.

SEC. 6205. RURAL WATER AND WASTEWATER TECHNICAL ASSISTANCE AND TRAINING 
                    PROGRAMS.

  (a) Section 306(a)(14)(A) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(14)(A)) is amended--
          (1) by striking ``and'' at the end of clause (ii);
          (2) by striking the period at the end of clause (iii) and 
        inserting ``; and''; and
          (3) by adding at the end the following:
                          ``(iv) identify options to enhance long term 
                        sustainability of rural water and waste systems 
                        to include operational practices, revenue 
                        enhancements, policy revisions, partnerships, 
                        consolidation, regionalization, or contract 
                        services.''.
  (b) Section 306(a)(14)(C) of such Act (7 U.S.C. 1926(a)(14)(C)) is 
amended by striking ``1 nor more than 3'' and inserting ``3 nor more 
than 5''.

SEC. 6206. RURAL WATER AND WASTEWATER CIRCUIT RIDER PROGRAM.

  Section 306(a)(22)(B) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926(a)(22)(B)) is amended by striking ``$20,000,000 for 
fiscal year 2014'' and inserting ``$25,000,000 for fiscal year 2018''.

SEC. 6207. TRIBAL COLLEGE AND UNIVERSITY ESSENTIAL COMMUNITY 
                    FACILITIES.

  Section 306(a)(25)(C) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926(a)(25)(C)) is amended by striking ``$10,000,000 for 
each of fiscal years 2008 through 2018'' and inserting ``$5,000,000 for 
each of fiscal years 2019 through 2023''.

SEC. 6208. EMERGENCY AND IMMINENT COMMUNITY WATER ASSISTANCE GRANT 
                    PROGRAM.

  Section 306A(i) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1926a(i)) is amended--
          (1) in paragraph (1), by striking subparagraph (B) and 
        inserting the following:
                  ``(B) Release.--
                          ``(i) In general.--Except as provided in 
                        clause (ii), funds reserved under subparagraph 
                        (A) for a fiscal year shall be reserved only 
                        until July 1 of the fiscal year.
                          ``(ii) Exception.--In response to an eligible 
                        community where the drinking water supplies are 
                        inadequate due to a natural disaster, as 
                        determined by the Secretary, including drought 
                        or severe weather, the Secretary may provide 
                        potable water under this section for an 
                        additional period not to exceed 120 days beyond 
                        the established period otherwise provided under 
                        this section, in order to protect public 
                        health.''; and
          (2) in paragraph (2), by striking ``$35,000,000 for each of 
        fiscal years 2008 through 2018'' and inserting ``$27,000,000 
        for each of fiscal years 2019 through 2023''.

SEC. 6209. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA.

  Section 306D(d)(1) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1926d(d)(1)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6210. HOUSEHOLD WATER WELL SYSTEMS.

  Section 306E(d) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1926e(d)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6211. SOLID WASTE MANAGEMENT GRANTS.

  Section 310B(b)(2) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1932(b)(2)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6212. RURAL BUSINESS DEVELOPMENT GRANTS.

  Section 310B(c)(4)(A) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1932(c)(4)(A)) is amended by striking ``2018'' and 
inserting ``2023''.

SEC. 6213. RURAL COOPERATIVE DEVELOPMENT GRANTS.

  (a) In General.--Section 310B(e)(13) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1932(e)(13)) is amended by striking 
``2018'' and inserting ``2023''.
  (b) Technical Correction.--Section 310B(e)(11)(B)(i) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 
1932(e)(11)(B)(i)) is amended by striking ``(12)'' and inserting 
``(13)''.

SEC. 6214. LOCALLY OR REGIONALLY PRODUCED AGRICULTURAL FOOD PRODUCTS.

  Section 310B(g)(9)(B)(iv)(I) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1932(g)(9)(B)(iv)(I)) is amended by striking 
``2018'' and inserting ``2023''.

SEC. 6215. APPROPRIATE TECHNOLOGY TRANSFER FOR RURAL AREAS PROGRAM.

  Section 310B(i)(4) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1932(i)(4)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6216. RURAL ECONOMIC AREA PARTNERSHIP ZONES.

  Section 310B(j) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1932(j)) is amended by striking ``2018'' and inserting ``2023''.

SEC. 6217. INTERMEDIARY RELENDING PROGRAM.

  Section 310H(e) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1936b(e)) is amended by striking ``$25,000,000 for each of 
fiscal years 2014 through 2018'' and inserting ``$10,000,000 for each 
of fiscal years 2019 through 2023''.

SEC. 6218. EXCLUSION OF PRISON POPULATIONS FROM DEFINITION OF RURAL 
                    AREA.

  Section 343(a)(13) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1991(a)(13) is amended--
          (1) in subparagraph (A), by striking ``(G)'' and inserting 
        ``(H)''; and
          (2) by adding at the end the following:
                  ``(H) Exclusion of populations incarcerated on a 
                long-term basis.--Populations of individuals 
                incarcerated on a long-term or regional basis shall not 
                be included in determining whether an area is `rural' 
                or a `rural area'.''.

SEC. 6219. 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 ``2018'' and inserting 
        ``2023''; and
          (2) in subsection (h), by striking ``2018'' and inserting 
        ``2023''.

SEC. 6220. GRANTS FOR NOAA WEATHER RADIO TRANSMITTERS.

  Section 379B(d) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2008p(d)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6221. RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM.

  Section 379E(d) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2008s(d)) is amended to read as follows:
  ``(d) Funding.--There are authorized to be appropriated to carry out 
this section $4,000,000 for each of fiscal years 2019 through 2023.''.

SEC. 6222. HEALTH CARE SERVICES.

  Section 379G(e) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2008u(e)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6223. 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 ``2008 through 2018'' and inserting ``2019 through 
2023''.
  (b) Termination of Authority.--Section 382N of such Act (7 U.S.C. 
2009aa-13) is amended by striking ``2018'' and inserting ``2023''.

SEC. 6224. NORTHERN GREAT PLAINS REGIONAL AUTHORITY.

  (a) Authorization of Appropriations.--Section 383N(a) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 2009bb-12(a)) is 
amended by striking ``$30,000,000 for each of fiscal years 2008 through 
2018'' and inserting ``$2,000,000 for each of fiscal years 2019 through 
2023''.
  (b) Termination of Authority.--Section 383O of such Act (7 U.S.C. 
2009bb-13) is amended by striking ``2018'' and inserting ``2023''.

SEC. 6225. RURAL BUSINESS INVESTMENT PROGRAM.

  Section 384S of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2009cc-18) is amended by striking ``2018'' and inserting 
``2023''.

             Subtitle D--Rural Electrification Act of 1936

SEC. 6301. GUARANTEES FOR BONDS AND NOTES ISSUED FOR ELECTRIFICATION OR 
                    TELEPHONE PURPOSES.

  Section 313A(f) of the Rural Electrification Act of 1936 (7 U.S.C. 
940c-1(f)) is amended by striking ``2018'' and inserting ``2023''.

SEC. 6302. EXPANSION OF 911 ACCESS.

  Section 315(d) of the Rural Electrification Act of 1936 (7 U.S.C. 
940e(d)) is amended by striking ``2018'' and inserting ``2023''.

SEC. 6303. IMPROVEMENTS TO THE GUARANTEED UNDERWRITER PROGRAM.

  (a) Section 313A of the Rural Electrification Act of 1936 (7 U.S.C. 
940c-1) is amended--
          (1) by striking subsection (a) and inserting the following:
  ``(a) Guarantees.--
          ``(1) In general.--Subject to subsection (b), the Secretary 
        shall guarantee payments on bonds or notes issued by 
        cooperative or other lenders organized on a not-for-profit 
        basis, if the proceeds of the bonds or notes are used to make 
        utility infrastructure loans, or refinance bonds or notes 
        issued for such purposes, to a borrower that has at any time 
        received, or is eligible to receive, a loan under this Act.
          ``(2) Terms.--A bond or note guaranteed under this section 
        shall--
                  ``(A) have a term of 35 years; and
                  ``(B) by agreement between the Secretary and the 
                borrower, be repaid by the borrower by--
                          ``(i) periodic installments of principal and 
                        interest;
                          ``(ii) periodic installments of interest and, 
                        at the end of the term of the bond or note, by 
                        the repayment of the outstanding principal; or
                          ``(iii) a combination of the methods for 
                        repayment provided under clauses (i) and 
                        (ii).''; and
          (2) in subsection (b)--
                  (A) in paragraph (1), by striking ``for eligible 
                electrification or telephone purposes consistent with 
                this Act'' and inserting ``to borrowers described in 
                subsection (a)''; and
                  (B) in paragraph (3)--
                          (i) in subparagraph (A), by striking ``for 
                        electrification or telephone purposes'' and 
                        inserting ``to borrowers under this Act''; and
                          (ii) in subparagraph (C), by striking ``for 
                        eligible purposes described in subsection (a)'' 
                        and inserting ``to borrowers described in 
                        subsection (a)''.
  (b)(1) The Secretary shall carry out section 313A of the Rural 
Electrification Act of 1936 (7 U.S.C. 940c-1), including the amendments 
made by this section, under a Notice of Solicitation of Applications 
until all regulations necessary to carry out the amendments made by 
this section are fully implemented.
  (2) Paragraph (1) shall take effect on the date of the enactment of 
this Act.

SEC. 6304. EXTENSION OF THE RURAL ECONOMIC DEVELOPMENT LOAN AND GRANT 
                    PROGRAM.

  (a) Section 12(b)(3)(D) of the Rural Electrification Act of 1936 (7 
U.S.C. 912(b)(3)(D)) is amended by striking ``313(b)(2)(A)'' and 
inserting ``313(b)(2)''.
  (b) Section 313(b)(2) of such Act (7 U.S.C. 940c(b)(2)) is amended--
          (1) by striking all that precedes ``shall maintain'' and 
        inserting the following:
          ``(2) Rural economic development subaccount.--The 
        Secretary''; and
          (2) by striking subparagraphs (B) through (E).
  (c) Title III of such Act (7 U.S.C. 931-940h) is amended by inserting 
after section 313A the following:

``SEC. 313B. RURAL DEVELOPMENT LOANS AND GRANTS.

  ``(a) In General.--The Secretary shall provide grants or zero 
interest loans to borrowers under this Act for the purpose of promoting 
rural economic development and job creation projects, including funding 
for project feasibility studies, start-up costs, incubator projects, 
and other reasonable expenses for the purpose of fostering rural 
development.
  ``(b) Repayments.--In the case of zero interest loans, the Secretary 
shall establish such reasonable repayment terms as will encourage 
borrower participation.
  ``(c) Proceeds.--All proceeds from the repayment of such loans made 
under this section shall be returned to the subaccount that the 
Secretary shall maintain in accordance with sections 313(b)(2) and 
313B(f).
  ``(d) Number of Grants.--Loans and grants required under this section 
shall be made during each fiscal year to the full extent of the amounts 
made available under subsection (e).
  ``(e) Funding.--
          ``(1) Discretionary funding.--In addition to other funds that 
        are available to carry out this section, there is authorized to 
        be appropriated not more than $10,000,000 for each of fiscal 
        years 2019 through 2023 to carry out this section, to remain 
        available until expended.
          ``(2) Other funds.--In addition to the funds described in 
        paragraph (1), the Secretary shall use to provide grants and 
        loans under this section--
                  ``(A) the interest differential sums credited to the 
                subaccount described in subsection (c); and
                  ``(B) subject to section 313A(e)(2), the fees 
                described in subsection (c)(4) of such section.
  ``(f) Maintenance of Account.--The Secretary shall maintain the 
subaccount described in section 313(b)(2), as in effect in fiscal year 
2017, for purposes of carrying out this section.''.
  (d) Section 313A of the Rural Electrification Act of 1936 (7 U.S.C. 
940c-1) is amended--
          (1) in subsection (c)(4)--
                  (A) in subparagraph (A), by striking ``maintained 
                under section 313(b)(2)(A)'' and inserting ``that shall 
                be maintained as required by sections 313(b)(2) and 
                313B(f)''; and
                  (B) in subparagraph (B), by striking ``313(b)(2)(B)'' 
                and inserting ``313(b)(2)''; and
          (2) in subsection (e)(2), by striking `` maintained under 
        section 313(b)(2)(A)'' and inserting ``required to be 
        maintained by sections 313(b)(2) and 313B(f)''.
  (e)(1) Subject to section 313B(e) of the Rural Electrification Act of 
1936 (as added by this section), the Secretary of Agriculture shall 
carry out the loan and grant program required under such section in the 
same manner as the loan and grant program under section 313(b)(2) of 
such Act is carried out on the day before the date of the enactment of 
this Act, until such time as any regulations necessary to carry out the 
amendments made by this section are fully implemented.
  (2) Paragraph (1) shall take effect on the date of the enactment of 
this Act.

       Subtitle E--Farm Security and Rural Investment Act of 2002

SEC. 6401. RURAL ENERGY SAVINGS PROGRAM.

  Section 6407 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8107a) is amended--
          (1) in subsection (c)--
                  (A) by redesignating paragraphs (4) through (7) as 
                paragraphs (5) through (8), respectively;
                  (B) by inserting after paragraph (3) the following:
          ``(4) Eligibility for other loans.--The Secretary shall not 
        include any debt incurred under this section in the calculation 
        of a borrower's debt-equity ratio for purposes of eligibility 
        for loans made pursuant to the Rural Electrification Act of 
        1936 (7 U.S.C. 901 et. seq.).''; and
                  (C) by adding at the end the following:
          ``(9) Accounting.--The Secretary shall take appropriate steps 
        to streamline the accounting requirements imposed on borrowers 
        under this section while maintaining adequate assurances of 
        repayment of the loan.'';
          (2) in subsection (d)(1)(A), by striking ``3 percent'' and 
        inserting ``5 percent'';
          (3) by redesignating subsection (h) as subsection (i);
          (4) by inserting after subsection (g) the following:
  ``(h) Report to Congress.--Not later than 120 days after the end of 
each fiscal year, the Secretary shall submit to the Committees on 
Agriculture and Appropriations of the House of Representatives and the 
Committees on Agriculture, Nutrition, and Forestry and Appropriations 
of the Senate a report that describes--
          ``(1) the number of applications received under this section 
        in such fiscal year;
          ``(2) the number of loans made to eligible entities under 
        this section in such fiscal year; and
          ``(3) the recipients of such loans.''; and
          (5) in subsection (i), as so redesignated, by striking 
        ``2018'' and inserting ``2023''.

SEC. 6402. BIOBASED MARKETS PROGRAM.

  Section 9002 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8102) is amended--
          (1) by amending subsection (i) to read as follows:
  ``(i) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $2,000,000 for each of fiscal 
years 2014 through 2023.''; and
          (2) by adding at the end the following:
  ``(k) Wood and Wood-based Products.--Notwithstanding any other 
provision of law, a Federal agency may not place limitations on the 
procurement of wood and wood-based products that are more limiting than 
those in this section.''.

SEC. 6403. BIOREFINERY, RENEWABLE, CHEMICAL, AND BIOBASED PRODUCT 
                    MANUFACTURING ASSISTANCE.

  Section 9003 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8103) is amended--
          (1) in subsection (b)(3)(A), by striking ``and'' at the end 
        and inserting ``or''; and
          (2) by amending subsection (g) to read as follows:
  ``(g) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $75,000,000 for each of fiscal 
years 2014 through 2023.''.

SEC. 6404. REPOWERING ASSISTANCE PROGRAM.

  Section 9004(d) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 8104(d)) is amended to read as follows:
  ``(d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $10,000,000 for each of fiscal 
years 2014 through 2023.''.

SEC. 6405. BIOENERGY PROGRAM FOR ADVANCED BIOFUELS.

  Section 9005 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8105) is amended--
          (1) in subsection (e)--
                  (A) by striking ``The Secretary may'' and inserting 
                the following new paragraph:
          ``(1) Amount.--The Secretary shall''; and
                  (B) by adding at the end the following new paragraph:
          ``(2) Feedstock.--The total amount of payments made in a 
        fiscal year under this section to one or more eligible 
        producers for the production of advanced biofuels derived from 
        a single eligible commodity shall not exceed one-third of the 
        total amount of funds made available under subsection (g).''; 
        and
          (2) in subsection (g)--
                  (A) by striking paragraphs (1) and (2) and inserting 
                the following new paragraph:
          ``(1) Authorization of appropriations.--There is authorized 
        to be appropriated to carry out this section $50,000,000 for 
        each of fiscal years 2019 through 2023.''; and
                  (B) by redesignating paragraph (3) as paragraph (2).

SEC. 6406. BIODIESEL FUEL EDUCATION PROGRAM.

  Section 9006(d) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 8106(d)) is amended to read as follows:
  ``(d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $2,000,000 for each of fiscal 
years 2019 through 2023.''.

SEC. 6407. RURAL ENERGY FOR AMERICA PROGRAM.

  Section 9007(g) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 8107(g)) is amended--
          (1) in paragraph (1)(E), by striking ``for fiscal year 2014 
        and each fiscal year thereafter'' and inserting ``for each of 
        the fiscal years 2014 through 2018''; and
          (2) in paragraph (3), by striking ``2018'' and inserting 
        ``2023''.

SEC. 6408. CATEGORICAL EXCLUSION FOR GRANTS AND FINANCIAL ASSISTANCE 
                    MADE UNDER THE RURAL ENERGY FOR AMERICA PROGRAM.

  Section 9007 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8107) is amended by adding at the end the following:
  ``(h) Categorical Exclusion.--The provision of a grant or financial 
assistance under this section to any electric generating facility, 
including one fueled with wind, solar, or biomass, that has a rating of 
10 average megawatts or less is a category of actions hereby designated 
as being categorically excluded from any requirement to prepare an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).''.

SEC. 6409. RURAL ENERGY SELF-SUFFICIENCY INITIATIVE.

  Section 9009 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8109) is repealed.

SEC. 6410. FEEDSTOCK FLEXIBILITY.

  Section 9010(b) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 8110(b)) is amended--
          (1) in paragraph (1)(A), by striking ``2018'' and inserting 
        ``2023''; and
          (2) in paragraph (2)(A), by striking ``2018'' and inserting 
        ``2023''.

SEC. 6411. BIOMASS CROP ASSISTANCE PROGRAM.

  Section 9011(f) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 8111(f)) is amended by striking paragraph (1) and inserting 
the following new paragraph:
          ``(1) Authorization of appropriations.--There is authorized 
        to be appropriated to carry out this section $25,000,000 for 
        each of fiscal years 2019 through 2023.''.

                       Subtitle F--Miscellaneous

SEC. 6501. VALUE-ADDED AGRICULTURAL PRODUCT MARKET DEVELOPMENT GRANTS.

  Section 231(b)(7) of the Agricultural Risk Protection Act of 2000 (7 
U.S.C. 1632a(b)(7)) is amended--
          (1) in subparagraph (B), by striking ``$40,000,000 for each 
        of fiscal years 2008 through 2018'' and inserting ``$50,000,000 
        for each of fiscal years 2019 through 2023''; and
          (2) by striking subparagraph (A) and redesignating 
        subparagraphs (B) and (C) as subparagraphs (A) and (B), 
        respectively.

SEC. 6502. AGRICULTURE INNOVATION CENTER DEMONSTRATION PROGRAM.

  Section 6402(i) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 1632b(i)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 6503. REGIONAL ECONOMIC AND INFRASTRUCTURE DEVELOPMENT 
                    COMMISSIONS.

  Section 15751(a) of title 40, United States Code, is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 6504. DEFINITION OF RURAL AREA FOR PURPOSES OF THE HOUSING ACT OF 
                    1949.

  The second sentence of section 520 of the Housing Act of 1949 (42 
U.S.C. 1490) is amended--
          (1) by striking ``or 2010 decennial census'' and inserting 
        ``2010, or 2020 decennial census'';
          (2) by striking ``December 31, 2010,'' and inserting 
        ``December 31, 2020,'' ; and
          (3) by striking ``year 2020'' and inserting ``year 2030''.

                      Subtitle G--Program Repeals

SEC. 6601. ELIMINATION OF UNFUNDED PROGRAMS.

  (a) Consolidated Farm and Rural Development Act.--
          (1) Repealers.--The following provisions of the Consolidated 
        Farm and Rural Development Act are hereby repealed:
                  (A) Section 306(a)(23) (7 U.S.C. 1926(a)(23)).
                  (B) Section 310B(f) (7 U.S.C. 1932(f)).
                  (C) Section 379 (7 U.S.C. 2008n).
                  (D) Section 379A (7 U.S.C. 2008o).
                  (E) Section 379C (7 U.S.C. 2008q).
                  (F) Section 379D (7 U.S.C. 2008r).
                  (G) Section 379F (7 U.S.C. 2008t).
                  (H) Subtitle I (7 U.S.C. 2009dd-2009dd-7).
          (2) Conforming amendment.--Section 333A(h) of such Act (7 
        U.S.C. 1983a(h)) is amended by striking ``310B(f),''.
  (b) Rural Electrification Act of 1936.--
          (1) In general.--The following provisions of the Rural 
        Electrification Act of 1936 are hereby repealed:
                  (A) Section 314 (7 U.S.C. 940d).
                  (B) Section 602 (7 U.S.C. 950bb-1).
          (2) Conforming amendment.--Sections 604 and 605 of such Act, 
        as added by sections 6102 and 6115 of this Act, are 
        redesignated as sections 602 and 604, respectively, and section 
        602 (as so redesignated) is transferred to just after section 
        601 of the Rural Electrification Act of 1936.

SEC. 6602. REPEAL OF RURAL TELEPHONE BANK.

  (a) Repeal.--Title IV of the Rural Electrification Act of 1936 (7 
U.S.C. 941-950b) is repealed.
  (b) Conforming Amendments.--
          (1) Section 18 of such Act (7 U.S.C. 918) is amended in each 
        of subsections (a) and (b) by striking ``and the Governor of 
        the telephone bank''.
          (2) Section 204 of such Act (7 U.S.C. 925) is amended by 
        striking ``and the Governor of the telephone bank''.
          (3) Section 205(a) of such Act (7 U.S.C. 926) is amended--
                  (A) in the matter preceding paragraph (1), by 
                striking ``and the Governor of the telephone bank''; 
                and
                  (B) in paragraph (2), by striking ``or the Governor 
                of the telephone bank''.
          (4) Section 206(a) of such Act (7 U.S.C. 927(a)) is amended--
                  (A) in the matter preceding paragraph (1), by 
                striking ``and the Governor of the telephone bank''; 
                and
                  (B) in paragraph (4), by striking ``or 408''.
          (5) Section 206(b) of such Act (7 U.S.C. 927(b)) is amended--
                  (A) in the matter preceding paragraph (1), by 
                striking ``and the Governor of the telephone bank'';
                  (B) in paragraph (1), by striking ``, or a Rural 
                Telephone Bank loan,''; and
                  (C) in paragraph (2), by striking ``, the Rural 
                Telephone Bank,''.
          (6) Section 207(1) of such Act (7 U.S.C. 928(1)) is amended--
                  (A) by striking ``305,'' and inserting `` 305 or''; 
                and
                  (B) by striking ``, or a loan under section 408,''.
          (7) Section 301 of such Act (7 U.S.C. 931) is amended--
                  (A) in paragraph (3), by striking ``except for net 
                collection proceeds previously appropriated for the 
                purchase of class A stock in the Rural Telephone 
                Bank,'';
                  (B) by adding ``or'' at the end of paragraph (4);
                  (C) by striking ``; and'' at the end of paragraph (5) 
                and inserting a period; and
                  (D) by striking paragraph (6).
          (8) Section 305(d)(2)(B) of such Act (7 U.S.C. 935(d)(2)(B)) 
        is amended--
                  (A) in clause (i), by striking ``and a loan under 
                section 408''; and
                  (B) in clause (ii), by striking ``and under section 
                408'' each place it appears.
          (9) Section 305(d)(3)(C) of such Act (7 U.S.C. 935(d)(3)(C)) 
        is amended by striking ``and section 408(b)(4)(C), the 
        Secretary and the Governor of the telephone bank'' and 
        inserting ``the Secretary''.
          (10) Section 306 of such Act (7 U.S.C. 936) is amended by 
        striking ``the Rural Telephone Bank, National Rural Utilities 
        Cooperative Finance Corporation,'' and inserting ``the National 
        Rural Utilities Cooperative Finance Corporation''.
          (11) Section 309 of such Act (7 U.S.C. 739) is amended by 
        striking the last sentence.
          (12) Section 2352(b) of the Food, Agriculture, Conservation, 
        and Trade Act of 1990 (7 U.S.C. 901 note) is amended by 
        striking ``the Rural Telephone Bank and''.
          (13) The first section of Public Law 92-12 (7 U.S.C. 921a) is 
        repealed.
          (14) The first section of Public Law 92-324 (7 U.S.C. 921b) 
        is repealed.
          (15) Section 1414 of the Omnibus Budget Reconciliation Act of 
        1987 (7 U.S.C. 944a) is repealed.
          (16) Section 1411 of the Omnibus Budget Reconciliation Act of 
        1987 (7 U.S.C. 948 notes) is amended by striking subsections 
        (a) and (b).
          (17) Section 3.8(b)(1)(A) of the Farm Credit Act of 1971 (12 
        U.S.C. 2129(b)(1)(A)) is amended by striking ``or a loan or 
        loan commitment from the Rural Telephone Bank,''.
          (18) Section 105(d) of the National Consumer Cooperative Bank 
        Act (12 U.S.C. 3015(d)) is amended by striking ``the Rural 
        Telephone Bank,''.
          (19) Section 9101 of title 31, United States Code, is 
        amended--
                  (A) in paragraph (2), by striking subparagraph (H) 
                and redesignating subparagraphs (I), (J), and (K) as 
                subparagraphs (H), (I), and (J), respectively; and
                  (B) in paragraph (3), by striking subparagraph (K) 
                and redesignating subparagraphs (L) through (R) as 
                subparagraphs (K) through (P), respectively.
          (20) Section 9108(d)(2) of title 31, United States Code, is 
        amended by striking ``the Rural Telephone Bank (when the 
        ownership, control, and operation of the Bank are converted 
        under section 410(a) of the Rural Electrification Act of 1936 
        (7 U.S.C. 950(a))),''.

SEC. 6603. AMENDMENTS TO LOCAL TV ACT.

  The Launching Our Communities' Access to Local Television Act of 2000 
(title X of H.R. 5548 of the 106th Congress, as enacted by section 
1(a)(2) of Public Law 106-553; 114 Stat. 2762A-128) is amended--
          (1) by striking the title heading and inserting the 
        following:

       ``TITLE X--SATELLITE CARRIER RETRANSMISSION ELIGIBILITY'';

          (2) by striking sections 1001 through 1007 and 1009 through 
        1012; and
          (3) by redesignating section 1008 as section 1001.

                   Subtitle H--Technical Corrections

SEC. 6701. CORRECTIONS RELATING TO THE CONSOLIDATED FARM AND RURAL 
                    DEVELOPMENT ACT.

  (a)(1) Section 306(a)(19)(A) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(19)(A)) is amended by inserting after 
``nonprofit corporations'' the following: ``, Indian tribes (as defined 
in section 4(e) of the Indian Self-Determination and Education 
Assistance Act)''.
  (2) The amendment made by this subsection shall take effect as if 
included in section 773 of the Agriculture, Rural Development, Food and 
Drug Administration, and Related Agencies Appropriations Act, 2001 
(H.R. 5426 of the 106th Congress, as enacted by Public Law 106-387 (114 
Stat. 1549A-45)) in lieu of the amendment made by such section.
  (b)(1) Section 309A(b) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1929a(b)) is amended by striking ``and section 308''.
  (2) The amendment made by this subsection shall take effect as if 
included in the enactment of section 661(c)(2) of the Federal 
Agricultural Improvement and Reform Act of 1996 (Public Law 104-127).
  (c) Section 310B(c)(3)(A)(v) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1932(c)(3)(A)(v)) is amended by striking 
``and'' after the semicolon and inserting ``or''.
  (d)(1) Section 310B(e)(5)(F) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1932(e)(5)(F)) is amended by inserting ``, 
except that the Secretary shall not require non-Federal financial 
support in an amount that is greater than 5 percent in the case of a 
1994 institution (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))'' before the period at the end.
  (2) The amendment made by this subsection shall take effect as if 
included in the enactment of section 6015 of the Farm Security and 
Rural Investment Act of 2002 (Public Law 107-171).
  (e)(1) Section 381E(d)(3) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2009d(d)(3)) is amended by striking 
subparagraph (A) and redesignating subparagraphs (B) and (C) as 
subparagraphs (A) and (B), respectively.
  (2) The amendment made by paragraph (1) shall take effect as if 
included in the enactment of section 6012(b) of the Agricultural Act of 
2014 (Public Law 113-79).
  (f)(1) Section 382A of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 2009aa) is amended by adding at the end the following:
          ``(4) Notwithstanding any other provision of law, the State 
        of Alabama shall be a full member of the Delta Regional 
        Authority and shall be entitled to all rights and privileges 
        that said membership affords to all other participating States 
        in the Delta Regional Authority.''.
  (2) The amendment made by this subsection shall take effect as if 
included in the enactment of section 153(b) of division B of H.R. 5666, 
as introduced in the 106th Congress, and as enacted by section 1(4) of 
the Consolidated Appropriations Act, 2001 (Appendix D of Public Law 
106-554; 114 Stat. 2763A-252).
  (g) Section 382E(a)(1)(B) of the Consolidated Farm and Rural 
Development Act (7 U.S.C.2009aa-4(a)(1)(B)) is amended by moving clause 
(iv) 2 ems to the right.
  (h) Section 383G(c) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 2009bb-5(c)) is amended--
          (1) in the subsection heading by striking ``Telecommunication 
        Renewable Energy,,'' and inserting ``Telecommunication, 
        Renewable Energy,''; and
          (2) in the text, by striking ``,,'' and inserting a comma.

SEC. 6702. CORRECTIONS RELATING TO THE RURAL ELECTRIFICATION ACT OF 
                    1936.

  (a) Section 201 of the Rural Electrification Act of 1936 (7 U.S.C. 
922) is amended in the 3rd sentence by striking ``wildest'' and 
inserting ``widest''.
  (b)(1) Section 601(d)(8)(A)(ii)(V) of such Act (7 U.S.C. 
950bb(d)(8)(A)(ii)(V)) is amended by striking the semicolon and 
inserting a period.
  (2) The amendment made by paragraph (1) shall take effect as if 
included in the enactment of section 6104(a)(2)(E) of the Agricultural 
Act of 2014 (Public Law 113-79).

          TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS

  Subtitle A--National Agricultural Research, Extension, and Teaching 
                           Policy Act of 1977

SEC. 7101. INTERNATIONAL AGRICULTURE RESEARCH.

  Section 1402 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3101) is amended--
          (1) in paragraph (7), by striking ``and'' at the end;
          (2) in paragraph (8), by striking the period at the end and 
        inserting ``; and''; and
          (3) by adding at the end the following new paragraph:
          ``(9) support international scientific collaboration that 
        leverages resources and advances the food and agricultural 
        interests of the United States.''.

SEC. 7102. MATTERS RELATED TO CERTAIN SCHOOL DESIGNATIONS AND 
                    DECLARATIONS.

  (a) Study of Food and Agricultural Sciences.--
          (1) Amendment.--Section 1404(14) of the National Agricultural 
        Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
        3103(14)) is amended--
                  (A) by amending subparagraph (A) to read as follows:
                  ``(A) In general.--
                          ``(i) Definition.--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 agricultural sciences, 
                        forestry, or both in any area of study 
                        specified in clause (ii).
                          ``(ii) Clarification.--For purposes of clause 
                        (i), an area of study specified in this clause 
                        is any of the following:
                                  ``(I) Agriculture.
                                  ``(II) Agricultural business and 
                                management.
                                  ``(III) Agricultural economics.
                                  ``(IV) Agricultural mechanization.
                                  ``(V) Agricultural production 
                                operations.
                                  ``(VI) Aquaculture.
                                  ``(VII) Agricultural and food 
                                products processing.
                                  ``(VIII) Agricultural and domestic 
                                animal services.
                                  ``(IX) Equestrian or equine studies.
                                  ``(X) Applied horticulture or 
                                horticulture operations.
                                  ``(XI) Ornamental horticulture.
                                  ``(XII) Greenhouse operations and 
                                management.
                                  ``(XIII) Turf and turfgrass 
                                management.
                                  ``(XIV) Plant nursery operations and 
                                management.
                                  ``(XV) Floriculture or floristry 
                                operations and management.
                                  ``(XVI) International agriculture.
                                  ``(XVII) Agricultural public 
                                services.
                                  ``(XVIII) Agricultural and extension 
                                education services.
                                  ``(XIX) Agricultural communication or 
                                agricultural journalism.
                                  ``(XX) Animal sciences.
                                  ``(XXI) Food science.
                                  ``(XXII) Plant sciences.
                                  ``(XXIII) Soil sciences.
                                  ``(XXIV) Forestry.
                                  ``(XXV) Forest sciences and biology.
                                  ``(XXVI) Natural resources or 
                                conservation.
                                  ``(XXVII) Natural resources 
                                management and policy.
                                  ``(XXVIII) Natural resource 
                                economics.
                                  ``(XXIX) Urban forestry.
                                  ``(XXX) Wood science and wood 
                                products or pulp or paper technology.
                                  ``(XXXI) Range science and 
                                management.
                                  ``(XXXII) Agricultural 
                                engineering.''; and
                  (B) in subparagraph (C)--
                          (i) in the matter preceding clause (i), by 
                        inserting ``any institution designated under'' 
                        after ``include'';
                          (ii) by striking clause (i); and
                          (iii) in clause (ii)--
                                  (I) by striking ``(ii) any 
                                institution designated under--'';
                                  (II) by striking subclause (IV);
                                  (III) in subclause (II), by adding 
                                ``or'' at the end;
                                  (IV) in subclause (III), by striking 
                                ``; or'' at the end and inserting a 
                                period; and
                                  (V) by redesignating subclauses (I), 
                                (II), and (III) (as so amended) as 
                                clauses (i), (ii), and (iii), 
                                respectively, and by moving the margins 
                                of such clauses (as so redesignated) 
                                two ems to the left.
          (2) Designation review.--
                  (A) In general.--Not later than 90 days after the 
                date of the enactment of this Act, the Secretary shall 
                establish a process to review each designated NLGCA 
                Institution (as defined in section 1404(14)(A) of the 
                National Agricultural Research, Extension, and Teaching 
                Policy Act of 1977 (7 U.S.C. 3103(14)(A))) to ensure 
                compliance with such section, as amended by this 
                subsection.
                  (B) Violation.--An NLGCA Institution that the 
                Secretary determines under subparagraph (A) to be not 
                in compliance shall have the designation of such 
                institution revoked.
  (b) Termination of Certain Declarations of Intent.--Section 1404 of 
the National Agricultural Research, Extension, and Teaching Policy Act 
of 1977 (7 U.S.C. 3103) is amended--
          (1) in paragraph (5)(B), by striking ``2018'' and inserting 
        ``2023''; and
          (2) in paragraph (10)(C), by striking ``2018'' and inserting 
        ``2023''.

SEC. 7103. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, EDUCATION, AND 
                    ECONOMICS ADVISORY BOARD.

  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 ``25'' and 
                inserting ``15''; and
                  (B) by amending paragraph (3) to read as follows:
          ``(3) Membership categories.--The Advisory Board shall 
        consist of members from each of the following categories:
                  ``(A) 3 members representing national farm or 
                producer organizations, which may include members--
                          ``(i) representing farm cooperatives;
                          ``(ii) who are producers actively engaged in 
                        the production of a food animal commodity and 
                        who are recommended by a coalition of national 
                        livestock organizations;
                          ``(iii) who are producers actively engaged in 
                        the production of a plant commodity and who are 
                        recommended by a coalition of national crop 
                        organizations; or
                          ``(iv) who are producers actively engaged in 
                        aquaculture and who are recommended by a 
                        coalition of national aquacultural 
                        organizations.
                  ``(B) 2 members representing academic or research 
                societies, which may include members representing--
                          ``(i) a national food animal science society;
                          ``(ii) a national crop, soil, agronomy, 
                        horticulture, plant pathology, or weed science 
                        society;
                          ``(iii) a national food science organization;
                          ``(iv) a national human health association; 
                        or
                          ``(v) a national nutritional science society.
                  ``(C) 5 members representing agricultural research, 
                extension, and education, which shall include each of 
                the following:
                          ``(i) 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.).
                          ``(ii) 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.
                          ``(iii) 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)).
                          ``(iv) 1 member representing NLGCA 
                        Institutions or Hispanic-serving institutions.
                          ``(v) 1 member representing the American 
                        Colleges of Veterinary Medicine.
                  ``(D) 5 members representing industry, consumer, or 
                rural interests, including members representing--
                          ``(i) entities engaged in transportation of 
                        food and agricultural products to domestic and 
                        foreign markets;
                          ``(ii) food retailing and marketing 
                        interests;
                          ``(iii) food and fiber processors;
                          ``(iv) rural economic development interests;
                          ``(v) a national consumer interest group;
                          ``(vi) a national forestry group;
                          ``(vii) a national conservation or natural 
                        resource group;
                          ``(viii) a national social science 
                        association; or
                          ``(ix) private sector organizations involved 
                        in international development.'';
          (2) in subsection (c)--
                  (A) in paragraph (1)--
                          (i) in the matter preceding subparagraph (A), 
                        by striking ``review and'' and inserting ``make 
                        recommendations, review, and'';
                          (ii) by striking subparagraph (A) and 
                        inserting the following new subparagraph:
                  ``(A) long-term and short-term national policies and 
                priorities consistent with the--
                          ``(i) purposes specified in section 1402 for 
                        agricultural research, extension, education, 
                        and economics; and
                          ``(ii) priority areas of the Agriculture and 
                        Food Research Initiative specified in 
                        subsection (b)(2) of the Competitive, Special, 
                        and Facilities Research Grant Act (7 U.S.C. 
                        3157(b)(2));''; and
                          (iii) in subparagraph (B), by striking clause 
                        (i) and inserting the following new clause:
                          ``(i) are in accordance with the--
                                  ``(I) purposes specified in a 
                                provision of a covered law (as defined 
                                in subsection (d) of section 1492) 
                                under which competitive grants 
                                (described in subsection (c) of such 
                                section) are awarded; and
                                  ``(II) priority areas of the 
                                Agriculture and Food Research 
                                Initiative specified in subsection 
                                (b)(2) of the Competitive, Special, and 
                                Facilities Research Grant Act (7 U.S.C. 
                                3157(b)(2)); and'';
                  (B) in paragraph (2), by inserting ``and make 
                recommendations to the Secretary based on such 
                evaluation'' after ``priorities''; and
                  (C) in paragraph (4), by inserting ``and make 
                recommendations on'' after ``review''; and
          (3) in subsection (h), by striking ``2018'' and inserting 
        ``2023''.

SEC. 7104. SPECIALTY CROP COMMITTEE.

  Section 1408A(a)(2) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3123a(a)(2)) is amended--
          (1) in subparagraph (A), by striking ``speciality'' and 
        inserting ``specialty'';
          (2) in subparagraph (B)--
                  (A) in the matter preceding clause (i), by striking 
                ``9'' and inserting ``11''; and
                  (B) in clause (i), by striking ``Three'' and 
                inserting ``Five''; and
          (3) in subparagraph (D), by striking ``2018'' and inserting 
        ``2023''.

SEC. 7105. RENEWABLE ENERGY COMMITTEE DISCONTINUED.

  Subtitle B of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3121 et seq.) is amended by 
striking section 1408B. 

SEC. 7106. REPORT ON ALLOCATIONS AND MATCHING FUNDS FOR 1890 
                    INSTITUTIONS.

  The Secretary of Agriculture shall annually transmit to Congress a 
report on the allocations made to, and matching funds received by, 
eligible institutions pursuant to sections 1444 and 1445 of the 
National Agricultural Research, Extension, and Teaching Policy Act of 
1977 (7 U.S.C. 3221, 3222).

SEC. 7107. GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURE SCIENCES 
                    EDUCATION.

  Section 1417(m)(2) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3152(m)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7108. AGRICULTURAL AND FOOD POLICY RESEARCH CENTERS.

  Section 1419A(e) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3155(e)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7109. EDUCATION GRANTS TO ALASKA NATIVE SERVING INSTITUTIONS AND 
                    NATIVE HAWAIIAN SERVING INSTITUTIONS.

  Section 1419B of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3156) is amended--
          (1) in subsection (a)(3), by striking ``2018'' and inserting 
        ``2023''; and
          (2) in subsection (b)(3), by striking ``2018'' and inserting 
        ``2023''.

SEC. 7110. REPEAL OF NUTRITION EDUCATION PROGRAM.

  The National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 is amended by striking section 1425 (7 U.S.C. 3175).

SEC. 7111. CONTINUING ANIMAL HEALTH AND DISEASE RESEARCH PROGRAMS.

  Section 1433(c)(1) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3195(c)(1)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7112. EXTENSION CARRYOVER AT 1890 LAND-GRANT COLLEGES, INCLUDING 
                    TUSKEGEE UNIVERSITY.

  Effective on October 1, 2018, section 1444(a) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3221(a)) is amended by striking paragraph (4).

SEC. 7113. SCHOLARSHIPS FOR STUDENTS AT 1890 INSTITUTIONS.

  Subtitle G of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 is amended by inserting after section 1445 
(7 U.S.C. 3222) the following new section:

``SEC. 1446. SCHOLARSHIPS FOR STUDENTS AT 1890 INSTITUTIONS.

  ``(a) In General.--
          ``(1) Scholarship grant program established.--The Secretary 
        shall establish and carry out a grant program to make grants to 
        each college or university eligible to receive funds under the 
        Act of August 30, 1890 (commonly known as the Second Morrill 
        Act; 7 U.S.C. 322 et seq.), including Tuskegee University, for 
        purposes of awarding scholarships to individuals who--
                  ``(A) have been accepted for admission at such 
                college or university;
                  ``(B) will be enrolled at such college or university 
                not later than one year after the date of such 
                acceptance; and
                  ``(C) intend to pursue a career in the food and 
                agricultural sciences, including a career in--
                          ``(i) agribusiness;
                          ``(ii) energy and renewable fuels; or
                          ``(iii) financial management.
          ``(2) Amount of grant.--Each grant made under this section 
        shall be in the amount of $1,000,000.
  ``(b) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $19,000,000 for each of fiscal 
years 2019 through 2023.''.

SEC. 7114. GRANTS TO UPGRADE AGRICULTURAL AND FOOD SCIENCES FACILITIES 
                    AT 1890 LAND-GRANT COLLEGES, INCLUDING TUSKEGEE 
                    UNIVERSITY.

  Section 1447(b) of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3222b(b)) is amended by striking 
``2018'' and inserting ``2023''.

SEC. 7115. GRANTS TO UPGRADE AGRICULTURE AND FOOD SCIENCES FACILITIES 
                    AND EQUIPMENT AT INSULAR AREA LAND-GRANT 
                    INSTITUTIONS.

  Section 1447B(d) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3222b-2(d)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7116. HISPANIC-SERVING INSTITUTIONS.

  Section 1455(c) of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3241(c)) is amended by striking 
``2018'' and inserting ``2023''.

SEC. 7117. LAND-GRANT DESIGNATION.

  Subtitle C of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3151 et seq.) is amended by 
adding at the end the following new section:

``SEC. 1419C. LAND-GRANT DESIGNATION.

  ``(a) In General.--Notwithstanding any other provision of law, 
beginning on the date of the enactment of this section, no additional 
entity may be designated as eligible to receive funds under a covered 
program.
  ``(b) State Funding.--No State shall receive an increase in funding 
under a covered program as a result of the State's designation of 
additional entities as eligible to receive such funding.
  ``(c) Covered Program Defined.--For purposes of this section, the 
term `covered program' means agricultural research, extension, 
education, and related programs or grants established or available 
under any of the following:
          ``(1) Subsections (b), (c), and (d) of section 3 of the 
        Smith-Lever Act (7 U.S.C. 343).
          ``(2) The Hatch Act of 1887 (7 U.S.C. 361a et seq.).
          ``(3) Sections 1444, 1445, and 1447 of the National 
        Agricultural Research, Extension, and Teaching Policy Act of 
        1977 (7 U.S.C. 3221; 3222; 3222b).
          ``(4) Public Law 87-788 (commonly known as the McIntire-
        Stennis Cooperative Forestry Act; 16 U.S.C. 582a et seq.).
  ``(d) Exception.--Nothing in this section shall be construed as 
limiting eligibility for a capacity and infrastructure program 
specified in section 251(f)(1)(C) of the Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 6971(f)(1)(C)) that is not a 
covered program. ''.

SEC. 7118. COMPETITIVE GRANTS FOR INTERNATIONAL AGRICULTURAL SCIENCE 
                    AND EDUCATION PROGRAMS.

  Section 1459A(c)(2) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3292b(c)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7119. LIMITATION ON INDIRECT COSTS FOR AGRICULTURAL RESEARCH, 
                    EDUCATION, AND EXTENSION PROGRAMS.

  Section 1462 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310) is amended--
          (1) in subsection (a), by striking ``22 percent'' and 
        inserting ``30 percent''; 
          (2) in subsection (b), by striking ``Subsection (a)'' and 
        inserting ``Subsections (a) and (c)''; and
          (3) by adding at the end the following:
  ``(c) Treatment of Subgrants.--In the case of a grant described in 
subsection (a), the limitation on indirect costs specified in such 
subsection shall be applied to both the initial grant award and any 
subgrant of the Federal funds provided under the initial grant award so 
that the total of all indirect costs charged against the total of the 
Federal funds provided under the initial grant award does not exceed 
such limitation.''.

SEC. 7120. RESEARCH EQUIPMENT GRANTS.

  The National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 is amended by inserting after section 1462 (7 U.S.C. 3310) 
the following new section:

``SEC. 1462A. RESEARCH EQUIPMENT GRANTS.

  ``(a) In General.--The Secretary may make competitive grants for the 
acquisition of special purpose scientific research equipment for use in 
the food and agricultural sciences programs of eligible institutions.
  ``(b) Maximum Amount.--The amount of a grant made to an eligible 
institution under this section may not exceed $500,000.
  ``(c) Prohibition on Charge or Equipment as Indirect Costs.--The cost 
of acquisition or depreciation of equipment purchased with a grant 
under this section shall not be--
          ``(1) charged as an indirect cost against another Federal 
        grant; or
          ``(2) included as part of the indirect cost pool for purposes 
        of calculating the indirect cost rate of an eligible 
        institution.
  ``(d) Eligible Institutions Defined.--In this section, the term 
`eligible institution' means--
          ``(1) a college or university; or
          ``(2) a State cooperative institution.
  ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $5,000,000 for each of fiscal 
years 2019 through 2023.''.

SEC. 7121. 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 
``2018'' each place it appears in subsections (a) and (b) and inserting 
``2023''.

SEC. 7122. 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 
``2018'' and inserting ``2023''.

SEC. 7123. SUPPLEMENTAL AND ALTERNATIVE CROPS.

  Section 1473D of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3319d) is amended--
          (1) in subsection (a)--
                  (A) by striking ``2018'' and inserting ``2023''; and
                  (B) by striking ``crops,'' and inserting ``crops 
                (including canola),'';
          (2) in subsection (b)--
                  (A) by inserting ``for agronomic rotational purposes 
                and for use as a habitat for honey bees and other 
                pollinators'' after ``alternative crops''; and
                  (B) by striking ``commodities whose'' and all that 
                follows through the period at the end and inserting 
                ``commodities.''; and
          (3) in subsection (e)(2), by striking ``2018'' and inserting 
        ``2023''.

SEC. 7124. CAPACITY BUILDING GRANTS FOR NLGCA INSTITUTIONS.

  Section 1473F(b) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3319i(b)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7125. AQUACULTURE ASSISTANCE PROGRAMS.

  Section 1477(a)(2) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3324(a)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7126. RANGELAND RESEARCH PROGRAMS.

  Section 1483(a)(2) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3336(a)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7127. SPECIAL AUTHORIZATION FOR BIOSECURITY PLANNING AND RESPONSE.

  Section 1484 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3351) is amended--
          (1) in subsection (a)--
                  (A) in paragraph (1), by striking ``and'' at the end;
                  (B) in paragraph (2), by striking the period at the 
                end and inserting ``; and''; and
                  (C) by adding at the end the following new paragraph:
          ``(3) $30,000,000 for each of fiscal years 2019 through 
        2023.''; and
          (2) in subsection (b)--
                  (A) in the matter preceding paragraph (1), by 
                inserting ``and cooperative agreements'' after 
                ``competitive grants'';
                  (B) in paragraph (3), by striking ``make competitive 
                grants'' and inserting ``award competitive grants and 
                cooperative agreements''; and
                  (C) by adding at the end the following new paragraph:
          ``(5) To coordinate the tactical science activities of the 
        Research, Education, and Economics mission area of the 
        Department that protect the integrity, reliability, 
        sustainability, and profitability of the food and agricultural 
        system of the United States against biosecurity threats from 
        pests, diseases, contaminants, and disasters.''.

SEC. 7128. DISTANCE EDUCATION AND RESIDENT INSTRUCTION GRANTS PROGRAM 
                    FOR INSULAR AREA INSTITUTIONS OF HIGHER EDUCATION.

  (a) Distance Education Grants for Insular Areas.--Section 1490(f)(2) 
of the National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (7 U.S.C. 3362(f)(2)) is amended by striking ``2018'' and 
inserting ``2023''.
  (b) Resident Instruction Grants for Insular Areas.--Section 
1491(c)(2) of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3363(c)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7129. REMOVAL OF MATCHING FUNDS REQUIREMENT FOR CERTAIN GRANTS.

   Section 1492(d) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3371(d)) is amended by 
striking paragraph (5). 

   Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990

SEC. 7201. BEST UTILIZATION OF BIOLOGICAL APPLICATIONS.

  Section 1624 of the Food, Agriculture, Conservation, and Trade Act of 
1990 (7 U.S.C. 5814) is amended in the first sentence by striking 
``2018'' and inserting ``2023''.

SEC. 7202. INTEGRATED MANAGEMENT SYSTEMS.

  Section 1627(d) of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5821(d)) is amended by striking ``2018'' and 
inserting ``2023''.

SEC. 7203. SUSTAINABLE AGRICULTURE TECHNOLOGY DEVELOPMENT AND TRANSFER 
                    PROGRAM.

  Section 1628(f)(2) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5831(f)(2)) is amended by striking ``2018'' and 
inserting ``2023''.

SEC. 7204. NATIONAL TRAINING PROGRAM.

  Section 1629(i) of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5832(i)) is amended by striking ``2018'' and 
inserting ``2023''.

SEC. 7205. NATIONAL GENETICS RESOURCES PROGRAM.

  Section 1635(b)(2) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5844(b)(2)) is amended by striking ``2018'' and 
inserting ``2023''.

SEC. 7206. 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 ``2018'' and 
inserting ``2023''.

SEC. 7207. AGRICULTURAL GENOME TO PHENOME INITIATIVE.

  Section 1671 of the Food, Agriculture, Conservation, and Trade Act of 
1990 (7 U.S.C. 5924) is amended--
          (1) in the section heading, by inserting ``to phenome'' after 
        ``genome'';
          (2) by amending subsection (a) to read as follows:
  ``(a) Goals.--The goals of this section are--
          ``(1) to expand knowledge concerning genomes and phenomes of 
        crops of importance to United States agriculture;
          ``(2) to understand how variable weather, environments, and 
        production systems impact the growth and productivity of 
        specific varieties of crops, thereby providing greater accuracy 
        in predicting crop performance under variable growing 
        conditions;
          ``(3) to support research that leverages plant genomic 
        information with phenotypic and environmental data through an 
        interdisciplinary framework, leading to a novel understanding 
        of plant processes that affect crop growth, productivity, and 
        the ability to predict crop performance, resulting in the 
        deployment of superior varieties to growers and improved crop 
        management recommendations for farmers;
          ``(4) to promote and coordinate research linking genomics and 
        predictive phenomics at different sites nationally to achieve 
        advances in crops that generate societal benefits;
          ``(5) to combine fields such as genetics, genomics, plant 
        physiology, agronomy, climatology, and crop modeling with 
        computation and informatics, statistics, and engineering;
          ``(6) to focus on crops that will yield scientifically 
        important results that will enhance the usefulness of many 
        other crops;
          ``(7) to build on genomic research, such as the Plant Genome 
        Research Project, to understand gene function in production 
        environments that are expected to have considerable payoffs for 
        crops of importance to United States agriculture;
          ``(8) to develop improved data analytics to enhance 
        understanding of the biological function of crop genes;
          ``(9) to allow resources developed under this section, 
        including data, software, germplasm, and other biological 
        materials, to be openly accessible to all persons, subject to 
        any confidentiality requirements imposed by law; and
          ``(10) to encourage international partnerships with each 
        partner country responsible for financing its own research.'';
          (3) by amending subsection (b) to read as follows:
  ``(b) Duties of Secretary.--The Secretary of Agriculture shall 
conduct a research initiative (to be known as the `Agricultural Genome 
to Phenome Initiative') for the purpose of--
          ``(1) studying agriculturally significant crops in production 
        environments to achieve sustainable and secure agricultural 
        production;
          ``(2) ensuring that current gaps in existing knowledge of 
        agricultural crop genetics and phenomics knowledge are filled;
          ``(3) identifying and developing a functional understanding 
        of agronomically relevant genes from crops of importance to 
        United States agriculture;
          ``(4) ensuring future genetic improvement of crops of 
        importance to United States agriculture;
          ``(5) studying the relevance of diverse germplasm as a source 
        of unique genes that may be of importance to United States 
        agriculture in the future;
          ``(6) enhancing crop genetics to reduce the economic impact 
        of plant pathogens on crops of importance to United States 
        agriculture; and
          ``(7) disseminating findings to relevant audiences.'';
          (4) in subsection (c)(1), by inserting ``, acting through the 
        National Institute of Food and Agriculture,'' after ``The 
        Secretary'';
          (5) in subsection (e), by inserting ``to Phenome'' after 
        ``Genome''; and
          (6) by adding at the end the following new subsection:
  ``(f) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $30,000,000 for each of fiscal 
years 2019 through 2023.''.

SEC. 7208. HIGH-PRIORITY RESEARCH AND EXTENSION INITIATIVES.

  Section 1672 of the Food, Agriculture, Conservation, and Trade Act of 
1990 (7 U.S.C. 5925) is amended--
          (1) in subsection (d)--
                  (A) in paragraph (8)--
                          (i) in the heading, by striking ``Alfalfa and 
                        forage'' and inserting ``Alfalfa seed and 
                        alfalfa forage systems'';
                          (ii) by striking ``alfalfa and forage'' and 
                        inserting ``alfalfa seed and alfalfa forage 
                        systems''; and
                          (iii) by striking ``alfalfa and other 
                        forages, and'' and inserting ``alfalfa seed and 
                        other alfalfa forage''; and
                  (B) by adding at the end the following new 
                paragraphs:
          ``(11) Macadamia tree health initiative.--Research and 
        extension grants may be made under this section for the 
        purposes of--
                  ``(A) developing and disseminating science-based 
                tools and treatments to combat the macadamia felted 
                coccid (Eriococcus ironsidei); and
                  ``(B) establishing an areawide integrated pest 
                management program in areas affected by, or areas at 
                risk of being affected by, the macadamia felted coccid.
          ``(12) National turfgrass research initiative.--Research and 
        extension grants may be made under this section for the 
        purposes of--
                  ``(A) carrying out or enhancing research related to 
                turfgrass and sod issues;
                  ``(B) enhancing production and uses of turfgrass for 
                the general public;
                  ``(C) identifying new turfgrass varieties with 
                superior drought, heat, cold, and pest tolerance to 
                reduce water, fertilizer, and pesticide use;
                  ``(D) selecting genetically superior turfgrasses and 
                developing improved technologies for managing 
                commercial, residential, and recreational turfgrass 
                areas;
                  ``(E) producing turfgrasses that--
                          ``(i) aid in mitigating soil erosion;
                          ``(ii) protect against pollutant runoff into 
                        waterways; or
                          ``(iii) provide other environmental benefits;
                  ``(F) investigating, preserving, and protecting 
                native plant species, including grasses not currently 
                utilized in turfgrass systems;
                  ``(G) creating systems for more economical and viable 
                turfgrass seed and sod production throughout the United 
                States; and
                  ``(H) investigating the turfgrass phytobiome and 
                developing biologic products to enhance soil, enrich 
                plants, and mitigate pests.
          ``(13) Fertilizer management initiative.--
                  ``(A) In general.--Research and extension grants may 
                be made under this section for the purpose of carrying 
                out research to improve fertilizer use efficiency in 
                crops--
                          ``(i) to maximize crop yield; and
                          ``(ii) to minimize nutrient losses to surface 
                        and groundwater and the atmosphere.
                  ``(B) Priority.--In awarding grants under 
                subparagraph (A), the Secretary shall give priority to 
                research examining the impact of the source, rate, 
                timing, and placement of plant nutrients.
          ``(14) Cattle fever tick program.--Research and extension 
        grants may be made under this section to study cattle fever 
        ticks--
                  ``(A) to facilitate the understanding of the role of 
                wildlife in the persistence and spread of cattle fever 
                ticks;
                  ``(B) to develop advanced methods for eradication of 
                cattle fever ticks, including--
                          ``(i) alternative treatment methods for 
                        cattle and other susceptible species;
                          ``(ii) field treatment for premises, 
                        including corral pens and pasture loafing 
                        areas;
                          ``(iii) methods for treatment and control on 
                        infested wildlife;
                          ``(iv) biological control agents; and
                          ``(v) new and improved vaccines;
                  ``(C) to evaluate rangeland vegetation that impacts 
                the survival of cattle fever ticks;
                  ``(D) to improve management of diseases relating to 
                cattle fever ticks that are associated with wildlife, 
                livestock, and human health;
                  ``(E) to improve diagnostic detection of tick-
                infested or infected animals and pastures; and
                  ``(F) to conduct outreach to impacted ranchers, 
                hunters, and landowners to integrate tactics and 
                document sustainability of best practices.
          ``(15) Laying hen and turkey research program.--Research 
        grants may be made under this section for the purpose of 
        improving the efficiency and sustainability of laying hen and 
        turkey production through integrated, collaborative research 
        and technology transfer. Emphasis may be placed on laying hen 
        and turkey disease prevention, antimicrobial resistance, 
        nutrition, gut health, and alternative housing systems under 
        extreme seasonal weather conditions.
          ``(16) Algae agriculture research program.--Research and 
        extension grants may be made under this section for the 
        development and testing of algae and algae systems (including 
        micro- and macro-algae systems).'';
          (2) in subsection (e)(5), by striking ``2018'' and inserting 
        ``2023'';
          (3) in subsection (f)(5), by striking ``2018'' and inserting 
        ``2023'';
          (4) in subsection (g), by striking ``2018'' each place it 
        appears and inserting ``2023''; and
          (5) in subsection (h), by striking ``2018'' and inserting 
        ``2023''.

SEC. 7209. ORGANIC AGRICULTURE RESEARCH AND EXTENSION INITIATIVE.

  Section 1672B of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5925b) is amended--
          (1) in subsection (a)(7), by inserting ``, soil health,'' 
        after ``conservation''; and
          (2) in subsection (e)--
                  (A) in paragraph (1)--
                          (i) in subparagraph (B), by striking ``and'' 
                        at the end;
                          (ii) in subparagraph (C), by striking the 
                        period at the end and inserting ``; and''; and
                          (iii) by adding at the end the following new 
                        subparagraph:
                  ``(D) $30,000,000 for each of fiscal years 2019 
                through 2023.''; and
                  (B) in paragraph (2)--
                          (i) in the paragraph heading, by striking 
                        ``for fiscal years 2014 through 2018''; and
                          (ii) by striking ``2018'' and inserting 
                        ``2023''.

SEC. 7210. FARM BUSINESS MANAGEMENT.

  Section 1672D of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5925f) is amended--
          (1) by amending subsection (a) to read as follows:
  ``(a) In General.--The Secretary may make competitive research and 
extension grants for the purpose of improving the farm management 
knowledge and skills of agricultural producers by maintaining and 
expanding a national, publicly available farm financial management 
database to support improved farm management.'';
          (2) in subsection (b)--
                  (A) in paragraph (2), by striking ``and producer'' 
                and inserting ``educational programs and''; and
                  (B) in paragraph (4), by striking ``use and support'' 
                and inserting ``contribute data to''; and
          (3) in subsection (d)(2), by striking ``2018'' and inserting 
        ``2023''.

SEC. 7211. CLARIFICATION OF VETERAN ELIGIBILITY FOR ASSISTIVE 
                    TECHNOLOGY PROGRAM FOR FARMERS WITH DISABILITIES.

  Section 1680 of the Food, Agriculture, Conservation, and Trade Act of 
1990 (7 U.S.C. 5933) is amended--
          (1) in subsection (a), by adding at the end the following new 
        paragraph:
          ``(7) Clarification of application of provisions to veterans 
        with disabilities.--This subsection shall apply with respect to 
        veterans with disabilities, and their families, who--
                  ``(A) are engaged in farming or farm-related 
                occupations; or
                  ``(B) are pursuing new farming opportunities.'';
          (2) in subsection (b)--
                  (A) by inserting ``(including veterans)'' after 
                ``individuals''; and
                  (B) by inserting ``or, in the case of veterans with 
                disabilities, who are pursuing new farming 
                opportunities'' before the period at the end; and
          (3) in subsection (c)(1)(B), by striking ``2018'' and 
        inserting ``2023''.

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 ``2018'' and 
inserting ``2023''.

Subtitle C--Agricultural Research, Extension, and Education Reform Act 
                                of 1998

SEC. 7300. ENDING LIMITATION ON FUNDING UNDER NATIONAL FOOD SAFETY 
                    TRAINING, EDUCATION, EXTENSION, OUTREACH, AND 
                    TECHNICAL ASSISTANCE PROGRAM.

  Section 405(e)(3) of the Agricultural Research, Extension, And 
Education Reform Act of 1998 (7 U.S.C. 7625(e)(3)) is amended to read 
as follows:
          ``(3) Term of grant.--A grant under this section shall have a 
        term that is not more than 3 years.''.

SEC. 7301. NATIONAL FOOD SAFETY TRAINING, EDUCATION, EXTENSION, 
                    OUTREACH, AND TECHNICAL ASSISTANCE PROGRAM.

  Section 405(j) of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (7 U.S.C. 7625(j)) is amended by striking ``2011 
through 2015'' and inserting ``2019 through 2023''.

SEC. 7302. INTEGRATED RESEARCH, EDUCATION, AND EXTENSION COMPETITIVE 
                    GRANTS PROGRAM.

  Section 406(e) of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (7 U.S.C. 7626(e)) is amended by striking ``2018'' 
and inserting ``2023''.

SEC. 7303. SUPPORT FOR RESEARCH REGARDING DISEASES OF WHEAT, TRITICALE, 
                    AND BARLEY CAUSED BY FUSARIUM GRAMINEARUM OR BY 
                    TILLETIA INDICA.

  Section 408(e)(2) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7628(e)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7304. GRANTS FOR YOUTH ORGANIZATIONS.

  Section 410(d)(2) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7630(d)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7305. SPECIALTY CROP RESEARCH INITIATIVE.

  (a) Elements of Initiative.--Section 412(b) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 
7632(b)) is amended--
          (1) in paragraph (1)--
                  (A) in subparagraph (D), by striking ``; and'' and 
                inserting a semicolon;
                  (B) in subparagraph (E), by adding ``and'' at the 
                end; and
                  (C) by adding at the end the following new 
                subparagraph:
                  ``(F) size-controlling rootstock systems for 
                perennial crops;'';
          (2) in paragraph (2)--
                  (A) by striking ``including threats to specialty crop 
                pollinators;'' and inserting the following: 
                ``including--
                  ``(A) threats to specialty crop pollinators; and''; 
                and
                  (B) by adding at the end the following new 
                subparagraph:
                  ``(B) emerging and invasive species;'';
          (3) in paragraph (3), by striking ``marketing);'' and 
        inserting the following: ``marketing) and a better 
        understanding of the soil rhizosphere microbiome, including--
                  ``(A) pesticide application systems and certified 
                drift-reduction technologies; and
                  ``(B) systems to improve and extend storage life of 
                specialty crops;'';
          (4) by redesignating paragraphs (4) and (5) as paragraphs (5) 
        and (6), respectively;
          (5) by inserting after paragraph (3) the following new 
        paragraph:
          ``(4) efforts to promote a more effective understanding and 
        use of existing natural enemy complexes;''; and
          (6) in paragraph (5) (as redesignated by paragraph (4))--
                  (A) by striking ``including improved mechanization 
                and technologies that delay or inhibit ripening; and'' 
                and inserting the following: ``including--
                  ``(A) technologies that delay or inhibit ripening;''; 
                and
                  (B) by adding at the end the following new 
                subparagraphs:
                  ``(B) mechanization and automation of labor-intensive 
                tasks on farms and in packing facilities;
                  ``(C) decision support systems driven by phenology 
                and environmental factors;
                  ``(D) improved monitoring systems for agricultural 
                pests; and
                  ``(E) effective systems for pre- and post-harvest 
                management of quarantine pests; and''.
  (b) Emergency Citrus Disease Research and Extension Program.--Section 
412 of the Agricultural Research, Extension, and Education Reform Act 
of 1998 (7 U.S.C. 7632) is amended--
          (1) in subsection (j)(5), by striking ``2018'' and inserting 
        ``2023''; and
          (2) in subsection (k)(1)(C), by striking ``2018'' and 
        inserting ``2023''.
  (c) Authorization of Appropriations.--Section 412(k)(2) of the 
Agricultural Research, Extension, and Education Reform Act of 1998 (7 
U.S.C. 7632(k)(2)) is amended--
          (1) in the subsection heading, by striking ``2018'' and 
        inserting ``2023''; and
          (2) by striking ``2018'' and inserting ``2023''.

SEC. 7306. FOOD ANIMAL RESIDUE AVOIDANCE DATABASE PROGRAM.

  Section 604(e) of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (7 U.S.C. 7642(e)) is amended by striking ``2018'' 
and inserting ``2023''.

SEC. 7307. OFFICE OF PEST MANAGEMENT POLICY.

  Section 614(f)(2) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7653(f)(2)) is amended by 
striking ``2018'' and inserting ``2023''.

SEC. 7308. FORESTRY PRODUCTS ADVANCED UTILIZATION RESEARCH.

  Section 617(f)(1) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7655b(f)(1)) is amended by 
striking ``2018'' and inserting ``2023''.

         Subtitle D--Food, Conservation, and Energy Act of 2008

                     PART I--AGRICULTURAL SECURITY

SEC. 7401. AGRICULTURAL BIOSECURITY COMMUNICATION CENTER.

  Section 14112(c)(2) of the Food, Conservation, and Energy Act of 2008 
(7 U.S.C. 8912(c)(2)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 7402. ASSISTANCE TO BUILD LOCAL CAPACITY IN AGRICULTURAL 
                    BIOSECURITY PLANNING, PREPARATION, AND RESPONSE.

  Section 14113 of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 8913) is amended--
          (1) in subsection (a)(2)(B), by striking ``2018'' and 
        inserting ``2023''; and
          (2) in subsection (b)(2)(B), by striking ``2018'' and 
        inserting ``2023''.

SEC. 7403. RESEARCH AND DEVELOPMENT OF AGRICULTURAL COUNTERMEASURES.

  Section 14121(b)(2) of the Food, Conservation, and Energy Act of 2008 
(7 U.S.C. 8921(b)(2)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 7404. AGRICULTURAL BIOSECURITY GRANT PROGRAM.

  Section 14122(e)(2) of the Food, Conservation, and Energy Act of 2008 
(7 U.S.C. 8922(e)(2)) is amended by striking ``2018'' and inserting 
``2023''.

                         PART II--MISCELLANEOUS

SEC. 7411. GRAZINGLANDS RESEARCH LABORATORY.

  Section 7502 of the Food, Conservation, and Energy Act of 2008 
(Public Law 110-246; 122 Stat. 2019) is amended by striking ``10-year 
period'' and inserting ``15-year period''.

SEC. 7412. NATURAL PRODUCTS RESEARCH PROGRAM.

  Section 7525(e) of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 5937(e)) is amended by striking ``2018'' and inserting ``2023''.

SEC. 7413. SUN GRANT PROGRAM.

  Section 7526(g) of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 8114(g)) is amended by striking ``2018'' and inserting ``2023''.

                  Subtitle E--Amendments to Other Laws

SEC. 7501. CRITICAL AGRICULTURAL MATERIALS ACT.

  Section 16(a)(2) of the Critical Agricultural Materials Act (7 U.S.C. 
178n(a)(2)) is amended by striking ``2018'' and inserting ``2023''.

SEC. 7502. EQUITY IN EDUCATIONAL LAND-GRANT STATUS ACT OF 1994.

  (a) 1994 Institution Defined.--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 to read as follows:

``SEC. 532. DEFINITION OF 1994 INSTITUTION.

  ``In this part, the term `1994 Institution' means any of the 
following colleges:
          ``(1) Aaniiih Nakoda College.
          ``(2) Bay Mills Community College.
          ``(3) Blackfeet Community College.
          ``(4) Cankdeska Cikana Community College.
          ``(5) Chief Dull Knife College.
          ``(6) College of Menominee Nation.
          ``(7) College of the Muscogee Nation.
          ``(8) D-Q University.
          ``(9) Dine College.
          ``(10) Fond du Lac Tribal and Community College.
          ``(11) Fort Peck Community College.
          ``(12) Haskell Indian Nations University.
          ``(13) Ilisagvik College.
          ``(14) Institute of American Indian and Alaska Native Culture 
        and Arts Development.
          ``(15) Keweenaw Bay Ojibwa Community College.
          ``(16) Lac Courte Oreilles Ojibwa Community College.
          ``(17) Leech Lake Tribal College.
          ``(18) Little Big Horn College.
          ``(19) Little Priest Tribal College.
          ``(20) Navajo Technical University.
          ``(21) Nebraska Indian Community College.
          ``(22) Northwest Indian College.
          ``(23) Nueta Hidatsa Sahnish College.
          ``(24) Oglala Lakota College.
          ``(25) Red Lake Nation College.
          ``(26) Saginaw Chippewa Tribal College.
          ``(27) Salish Kootenai College.
          ``(28) Sinte Gleska University.
          ``(29) Sisseton Wahpeton College.
          ``(30) Sitting Bull College.
          ``(31) Southwestern Indian Polytechnic Institute.
          ``(32) Stone Child College.
          ``(33) Tohono O'odham Community College.
          ``(34) Turtle Mountain Community College.
          ``(35) United Tribes Technical College.
          ``(36) White Earth Tribal and Community College.''.
  (b) Endowment for 1994 Institutions.--Section 533(b) of the Equity in 
Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public 
Law 103-382) is amended in the first sentence by striking ``2018'' and 
inserting ``2023''.
  (c) 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 ``2018'' each place it 
appears in subsections (b)(1) and (c) and inserting ``2023''.
  (d) Research Grants.--Section 536(c) of the Equity in Educational 
Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public Law 103-382) 
is amended in the first sentence by striking ``2018'' and inserting 
``2023''.

SEC. 7503. RESEARCH FACILITIES ACT.

  (a) Agricultural Research Facility Defined.--The Research Facilities 
Act is amended--
          (1) in section 2(1) (7 U.S.C. 390(1)) by striking ``a 
        college, university, or nonprofit institution'' and inserting 
        ``an entity eligible to receive funds under a capacity and 
        infrastructure program (as defined in section 251(f)(1)(C) of 
        the Department of Agriculture Reorganization Act of 1994 (7 
        U.S.C. 6971(f)(1)(C)))''; and
          (2) in section 3(c)(2)(D) (7 U.S.C. 390a(c)(2)(D)), by 
        striking ``recipient college, university, or nonprofit 
        institution'' and inserting ``recipient entity''.
  (b) Long-term Support.--Section 3(c)(2)(D) of the Research Facilities 
Act (7 U.S.C. 390a(c)(2)(D)), as amended by subsection (a), is further 
amended by striking ``operating costs'' and inserting ``operating and 
maintenance costs''.
  (c) Competitive Grant Program.--The Research Facilities Act is 
amended by inserting after section 3 (7 U.S.C. 390a) the following new 
section:

``SEC. 4. COMPETITIVE GRANT PROGRAM.

  ``The Secretary shall establish a program to make competitive grants 
to assist in the construction, alteration, acquisition, modernization, 
renovation, or remodeling of agricultural research facilities.''.
  (d) Authorization of Appropriations and Funding Limitations.--Section 
6 of the Research Facilities Act (7 U.S.C. 390d) is amended--
          (1) in subsection (a)--
                  (A) by striking ``subsection (b),'' and inserting 
                ``subsections (b), (c), and (d),'';
                  (B) by striking ``2018'' and inserting ``2023''; and
                  (C) by adding at the end the following new sentence: 
                ``Funds appropriated pursuant to the preceding sentence 
                shall be available until expended.''; and
          (2) by adding at the end the following new subsections:
  ``(c) Maximum Amount.--Not more than 25 percent of the funds made 
available pursuant to subsection (a) for any fiscal year shall be used 
for any single agricultural research facility project.
  ``(d) Project Limitation.--An entity eligible to receive funds under 
this Act may receive funds for only one project at a time.''.

SEC. 7504. COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH GRANT ACT.

  Subsection (b) of the Competitive, Special, and Facilities Research 
Grant Act (7 U.S.C. 3157(b)) is amended--
          (1) in paragraph (2)--
                  (A) in subparagraph (D)--
                          (i) by redesignating clauses (iii) through 
                        (vii) as clauses (iv) through (viii), 
                        respectively; and
                          (ii) by inserting after clause (ii) the 
                        following new clause:
                          ``(iii) soil health;'';
                  (B) in subparagraph (E)--
                          (i) in clause (iii), by striking ``and'' at 
                        the end;
                          (ii) in clause (iv), by striking the period 
                        at the end and inserting ``; and''; and
                          (iii) by adding at the end the following new 
                        clause:
                          ``(v) tools that accelerate the use of 
                        automation or mechanization for labor-intensive 
                        tasks in the production and distribution of 
                        crops.''; and
                  (C) in subparagraph (F)--
                          (i) in clause (vi), by striking ``and'' at 
                        the end;
                          (ii) in clause (vii), by striking the period 
                        at the end and inserting ``; and''; and
                          (iii) by adding at the end the following new 
                        clause:
                          ``(viii) barriers and bridges to entry and 
                        farm viability for young, beginning, socially 
                        disadvantaged, veteran, and immigrant farmers 
                        and ranchers, including farm succession, 
                        transition, transfer, entry, and profitability 
                        issues.'';
          (2) in paragraph (5)--
                  (A) in subparagraph (A)(ii), by striking ``and'' at 
                the end; and
                  (B) in subparagraph (B), by striking the period at 
                the end and inserting the following: ``that--
                          ``(i) is of national scope; or
                          ``(ii) is commodity-specific, so long as any 
                        such funds allocated for commodity-specific 
                        research are matched with funds from a non-
                        Federal source at least equal to the amount of 
                        such funds so allocated.'';
          (3) in paragraph (9)--
                  (A) in subparagraph (A), by striking clause (iii); 
                and
                  (B) in subparagraph (B)--
                          (i) in clause (i), by striking ``clauses (ii) 
                        and (iii)'' and inserting ``clause (ii)''; and
                          (ii) by striking clause (iii); and
          (4) in paragraph (11)(A)--
                  (A) in the matter preceding clause (i), by striking 
                ``2018'' and inserting ``2023''; and
                  (B) in clause (ii), by striking ``4'' and inserting 
                ``5''.

SEC. 7505. 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 ``2018'' and inserting ``2023''.
  (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 ``2018'' and inserting ``2023''.

SEC. 7506. NATIONAL AQUACULTURE ACT OF 1980.

  Section 10 of the National Aquaculture Act of 1980 (16 U.S.C. 2809) 
is amended by striking ``2018'' each place it appears and inserting 
``2023''.

SEC. 7507. BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM.

  Section 7405 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 3319f) is amended--
          (1) by striking subsection (b) and redesignating subsection 
        (c) as subsection (b);
          (2) in subsection (b), as so redesignated--
                  (A) in the heading, by striking ``Grants'' and 
                inserting ``Programs'';
                  (B) by amending paragraph (1) to read as follows:
          ``(1) In general.--The Secretary shall establish a beginning 
        farmer and rancher development program to provide training, 
        education, outreach, and technical assistance initiatives to 
        increase opportunities for beginning farmers or ranchers.'';
                  (C) by inserting ``or cooperative agreements'' after 
                ``grants'' each place it appears;
                  (D) by inserting ``or cooperative agreement'' after 
                ``grant'' each place it appears;
                  (E) by striking ``subsection'' each place it appears 
                and inserting ``section'';
                  (F) by amending paragraph (4) to read as follows:
          ``(4) Matching requirement.--
                  ``(A) In general.--Except as provided in subparagraph 
                (B), to be eligible to receive a grant under this 
                subsection, a recipient shall provide a match in the 
                form of cash or in-kind contributions in an amount 
                equal to 25 percent of the funds provided by the grant.
                  ``(B) Exception.--The Secretary may waive or reduce 
                the matching requirement in subparagraph (A) if the 
                Secretary determines such a waiver or modification is 
                necessary to effectively reach an underserved area or 
                population.''; and
                  (G) by striking paragraph (8), and redesignating 
                paragraphs (9), (10), (11), and (12) as paragraphs (8), 
                (9), (10), and (11), respectively;
          (3) by inserting after subsection (b), as so redesignated, 
        the following new subsection:
  ``(c) Grant Requirements.--
          ``(1) In general.--In carrying out this section, the 
        Secretary shall make competitive grants to support new and 
        established local and regional training, education, outreach, 
        and technical assistance initiatives to increase opportunities 
        for beginning farmers or ranchers, including programs and 
        services (as appropriate) relating to--
                  ``(A) basic livestock, forest management, and crop 
                farming practices;
                  ``(B) innovative farm, ranch, and private 
                nonindustrial forest land access, and transfer and 
                succession strategies and programs;
                  ``(C) entrepreneurship and business training;
                  ``(D) financial and risk management training 
                (including the acquisition and management of 
                agricultural credit);
                  ``(E) natural resource management and planning;
                  ``(F) diversification and marketing strategies;
                  ``(G) curriculum development;
                  ``(H) mentoring, apprenticeships, and internships;
                  ``(I) resources and referral;
                  ``(J) farm financial benchmarking;
                  ``(K) technical assistance to help beginning farmers 
                or ranchers acquire land from retiring farmers and 
                ranchers;
                  ``(L) agricultural rehabilitation and vocational 
                training for veterans;
                  ``(M) food safety (including good agricultural 
                practices training);
                  ``(N) farm safety and awareness; and
                  ``(O) other similar subject areas of use to beginning 
                farmers or ranchers.
          ``(2) Set-aside.--
                  ``(A) In general.--Not less than 5 percent of the 
                funds used to carry out this subsection for a fiscal 
                year shall be used to support programs and services 
                that address the needs of--
                          ``(i) limited resource beginning farmers or 
                        ranchers (as defined by the Secretary);
                          ``(ii) 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))) who are beginning farmers and 
                        ranchers; and
                          ``(iii) farmworkers desiring to become 
                        farmers or ranchers.
                  ``(B) Veteran farmers and ranchers.--Not less than 5 
                percent of the funds used to carry out this subsection 
                for a fiscal year shall be used to support programs and 
                services that address the needs of veteran farmers and 
                ranchers (as defined in section 2501(e) of the Food, 
                Agriculture, Conservation, and Trade Act of 1990 (7 
                U.S.C. 2279(e))).'';
          (4) in subsection (d)--
                  (A) in paragraph (1)--
                          (i) by striking ``and conduct'' and inserting 
                        ``, conduct''; and
                          (ii) by striking the period at the end and 
                        inserting ``, or provide training and technical 
                        assistance initiatives for beginning farmers or 
                        ranchers or for trainers and service providers 
                        that work with beginning farmers or 
                        ranchers.''; and
                  (B) in paragraph (2)--
                          (i) by inserting ``, educational programs and 
                        workshops, or training and technical assistance 
                        initiatives'' after ``curricula''; and
                          (ii) by striking ``modules'' and inserting 
                        ``content'';
          (5) in subsection (g)--
                  (A) by inserting ``(including retiring farmers and 
                nonfarming landowners)'' before ``from participating in 
                programs''; and
                  (B) by striking ``educating'' and inserting 
                ``increasing opportunities for''; and
          (6) in subsection (h)--
                  (A) in paragraph (1)--
                          (i) in the heading, by striking ``for fiscal 
                        years 2009 through 2018''; and
                          (ii) in subparagraph (C), by striking 
                        ``2018'' and inserting ``2023'';
                  (B) in paragraph (2)--
                          (i) in the paragraph heading, by striking 
                        ``for fiscal years 2014 through 2018''; and
                          (ii) by striking ``2018'' and inserting 
                        ``2023''; and
                  (C) by striking paragraph (3).

SEC. 7508. FEDERAL AGRICULTURE RESEARCH FACILITIES.

  Section 1431 of the National Agricultural Research, Extension, and 
Teaching Policy Act Amendments of 1985 (title XIV of Public Law 99-198; 
99 Stat. 1556) is amended by striking ``2018'' and inserting ``2023''.

SEC. 7509. BIOMASS RESEARCH AND DEVELOPMENT.

  Section 9008(h) of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 8108(h)) is amended to read as follows:
  ``(h) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $20,000,000 for each of fiscal 
years 2019 through 2023.''.

                       Subtitle F--Other Matters

SEC. 7601. ENHANCED USE LEASE AUTHORITY PROGRAM.

  (a) Transition to Permanent Program.--Section 308 of the Federal Crop 
Insurance Reform and Department of Agriculture Reorganization Act of 
1994 (7 U.S.C. 3125a note) is amended--
          (1) in the section heading, by striking ``pilot''; and
          (2) in subsection (a), by striking ``pilot''.
  (b) No Onsite Sales.--Section 308(b)(1)(C) of the Federal Crop 
Insurance Reform and Department of Agriculture Reorganization Act of 
1994 is amended by inserting ``onsite'' before ``public''.
  (c) Termination of Authority Extended.--Section 308(b)(6)(A) of the 
Federal Crop Insurance Reform and Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 3125a note) is amended by striking 
``on the date that is 10 years after the date of enactment of this 
section'' and inserting ``on June 18, 2023''.
  (d) Reports.--Section 308(d)(2) of the Federal Crop Insurance Reform 
and Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 
3125a note) is amended by striking ``Not later than 6, 8, and 10 years 
after the date of enactment of this section'' and inserting ``Not later 
than June 18, 2019, June 18, 2021, and June 18, 2023''.

SEC. 7602. FUNCTIONS AND DUTIES OF THE UNDER SECRETARY.

  Subparagraph (B) of section 251(d)(2) of the Department of 
Agriculture Reorganization Act of 1994 (7 U.S.C. 6971(d)(2)) is amended 
to read as follows:
                  ``(B) ensure that agricultural research, education, 
                extension, economics, and statistical programs--
                          ``(i) are effectively coordinated and 
                        integrated--
                                  ``(I) across disciplines, agencies, 
                                and institutions; and
                                  ``(II) among applicable participants, 
                                grantees, and beneficiaries; and
                          ``(ii) address the priority areas of the 
                        Agriculture and Food Research Initiative 
                        specified in subsection (b)(2) of the 
                        Competitive, Special, and Facilities Research 
                        Grant Act (7 U.S.C. 3157(b)(2));''.

SEC. 7603. REINSTATEMENT OF DISTRICT OF COLUMBIA MATCHING REQUIREMENT 
                    FOR CERTAIN LAND-GRANT UNIVERSITY ASSISTANCE.

  (a) In General.--Section 209(c) of the District of Columbia Public 
Postsecondary Education Reorganization Act (Public Law 93-471; sec. 38-
1202.09(c), D.C. Official Code) is amended in the first sentence, by 
striking the period at the end and inserting ``, which may be used to 
pay no more than one-half of the total cost of providing such extension 
work.''.
  (b) Effective Date.--The amendment made by this section shall take 
effect on October 1, 2018.

SEC. 7604. FARMLAND TENURE, TRANSITION, AND ENTRY DATA INITIATIVE.

  (a) In General.--The Secretary shall collect and report data and 
analysis on farmland ownership, tenure, transition, and entry of 
beginning farmers or ranchers.
  (b) Requirements.--In carrying out subsection (a), the Secretary 
shall--
          (1) collect and distribute comprehensive annual reporting of 
        trends in farmland ownership, tenure, transition, barriers to 
        entry, profitability, and viability of beginning farmers or 
        ranchers; and
          (2) develop surveys and report statistical and economic 
        analysis on farmland ownership, tenure, transition, barriers to 
        entry, profitability, and viability of beginning farmers.
  (c) Funding.--There are authorized to be appropriated to carry out 
this section $2,000,000 for each of fiscal years 2019 through 2023, to 
remain available until expended.
  (d) Conforming Amendment Regarding Confidentiality of Information.--
Section 1770(d) of the Food Security Act of 1985 (7 U.S.C. 2276(d)) is 
amended--
          (1) in paragraph (11), by striking ``or'' at the end;
          (2) in paragraph (12), by striking the period at the end and 
        inserting ``; or''; and
          (3) by adding at the end the following new paragraph:
          ``(13) section 7604 of the Agriculture and Nutrition Act of 
        2018.''.

SEC. 7605. TRANSFER OF ADMINISTRATIVE JURISDICTION, PORTION OF HENRY A. 
                    WALLACE BELTSVILLE AGRICULTURAL RESEARCH CENTER, 
                    BELTSVILLE, MARYLAND.

  (a) Transfer Authorized.--The Secretary of Agriculture may transfer 
to the administrative jurisdiction of the Secretary of the Treasury a 
parcel of real property at the Henry A. Wallace Beltsville Agricultural 
Research Center consisting of approximately 100 acres, which was 
originally acquired by the United States through land acquisitions in 
1910 and 1925 and is generally located off of Poultry Road lying 
between Powder Mill Road and Odell Road in Beltsville, Maryland, for 
the purpose of facilitating the establishment of Bureau of Engraving 
and Printing facilities on the parcel.
  (b) Legal Description and Map.--
          (1) Preparation.--The Secretary of Agriculture shall prepare 
        a legal description and map of the parcel of real property to 
        be transferred under subsection (a).
          (2) Force of law.--The legal description and map prepared 
        under paragraph (1) shall have the same force and effect as if 
        included in this Act, except that the Secretary of Agriculture 
        may correct errors in the legal description and map.
  (c) Retention of Interests.--The transfer of administrative 
jurisdiction under subsection (a) shall be subject to easements and 
rights of record and such other reservations, terms, and conditions as 
the Secretary of Agriculture considers to be necessary.
  (d) Waiver.--The parcel of real property to be transferred under 
subsection (a) is exempt from Federal screening for other possible use 
as there is an identified Federal need for the parcel as the site for 
Bureau of Engraving and Printing facilities.
  (e) Condition on Transfer.--As a condition of the transfer of 
administrative jurisdiction under subsection (a), the Secretary of the 
Treasury shall agree to pay the Secretary of Agriculture the following 
costs:
          (1) The appraisal required under subsection (f).
          (2) Any environmental or administrative analysis required by 
        Federal law with respect to the real property so transferred.
          (3) Any necessary survey of such real property.
          (4) Any hazardous substances assessment of such real 
        property.
  (f) Appraisal.--To determine the fair market value of the parcel of 
real property to be transferred under subsection (a), the Secretary of 
the Treasury shall have the parcel appraised for its highest and best 
use in conformity with the Uniform Appraisal Standards for Federal Land 
Acquisitions developed by the Interagency Land Acquisition Conference. 
The appraisal shall be subject to the review and approval by the 
Secretary of Agriculture.
  (g) Hazardous Materials.--For the parcel of real property to be 
transferred under subsection (a), the Secretary of Agriculture shall 
meet disclosure requirements for hazardous substances, but shall 
otherwise not be required to remediate or abate those substances or any 
other hazardous pollutants, contaminants, or waste that might be 
present on the parcel at the time of transfer of administrative 
jurisdiction.

SEC. 7606. SIMPLIFIED PLAN OF WORK.

  (a) Smith-Lever Act.--The Smith-Lever Act is amended--
          (1) in section 3(h)(2) (7 U.S.C. 343(h)(2)), by striking 
        subparagraph (D); and
          (2) in section 4 (7 U.S.C. 344)--
                  (A) in subsection (c), by striking paragraphs (1) 
                through (5) and inserting the following new paragraphs:
          ``(1) A summary of planned projects or programs in the State 
        using formula funds.
          ``(2) A description of the manner in which the State will 
        meet the requirements of section 3(h).
          ``(3) A description of the manner in which the State will 
        meet the requirements of section 3(i)(2) of the Hatch Act of 
        1887.
          ``(4) A description of matching funds provided by the State 
        with respect to the previous fiscal year.''; and
                  (B) by adding at the end the following new 
                subsection:
  ``(f) Relationship to Audits.--Notwithstanding any other provision of 
law, the procedures established pursuant to subsection (c) shall not be 
subject to audit to determine the sufficiency of such procedures.''.
  (b) Hatch Act.--The Hatch Act of 1887 is amended--
          (1) in section 3 (7 U.S.C. 361c)--
                  (A) by amending subsection (h) to read as follows:
  ``(h) Peer Review.--Research carried out under subsection (c)(3) 
shall be subject to scientific peer review. The review of a project 
conducted under this subsection shall be considered to satisfy the 
merit review requirements of section 103(e) of the Agricultural 
Research, Extension, and Education Reform Act of 1998.''; and
                  (B) in subsection (i)(2), by striking subparagraph 
                (D); and
          (2) in section 7 (7 U.S.C. 361g)--
                  (A) in subsection (e), by striking paragraphs (1) 
                through (4) and inserting the following new paragraphs:
          ``(1) A summary of planned projects or programs in the State 
        using formula funds.
          ``(2) A description of the manner in which the State will 
        meet the requirements of subsections (c)(3) and (i)(2) of 
        section 3.
          ``(3) A description of matching funds provided by the State 
        with respect to the previous fiscal year.''; and
                  (B) by adding at the end the following new 
                subsection:
  ``(h) Relationship to Audits.--Notwithstanding any other provision of 
law, the procedures established pursuant to subsection (e) shall not be 
subject to audit to determine the sufficiency of such procedures.''.
  (c) Extension and Research at 1890 Institutions.--
          (1) Extension.--Section 1444(d) of the National Agricultural 
        Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
        3221(d)) is amended--
                  (A) in paragraph (3), by striking subparagraphs (A) 
                through (E) and inserting the following new 
                subparagraphs:
                  ``(A) A summary of planned projects or programs in 
                the State using formula funds.
                  ``(B) A description of matching funds provided by the 
                State with respect to the previous fiscal year.''; and
                  (B) by adding at the end the following new paragraph:
          ``(6) Relationship to audits.--Notwithstanding any other 
        provision of law, the procedures established pursuant to 
        paragraph (3) shall not be subject to audit to determine the 
        sufficiency of such procedures.''.
          (2) Research.--Section 1445(c) of the National Agricultural 
        Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
        3222(c)) is amended--
                  (A) in paragraph (3), by striking subparagraphs (A) 
                through (E) and inserting the following new 
                subparagraphs:
                  ``(A) A summary of planned projects or programs in 
                the State using formula funds.
                  ``(B) A description of matching funds provided by the 
                State with respect to the previous fiscal year.''; and
                  (B) by adding at the end the following new paragraph:
          ``(6) Relationship to audits.--Notwithstanding any other 
        provision of law, the procedures established pursuant to 
        paragraph (3) shall not be subject to audit to determine the 
        sufficiency of such procedures.''.

SEC. 7607. TIME AND EFFORT REPORTING EXEMPTION.

  Any entity receiving funds under a program referred to in clause 
(iii), (iv), (vii), (viii), or (xii) of section 251(f)(1)(C) of the 
Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 
6971(f)(1)(C)) shall be exempt from the time and effort reporting 
requirements under part 200 of title 2, Code of Federal Regulations (or 
successor regulations), with respect to the use of such funds.

SEC. 7608. PUBLIC EDUCATION ON BIOTECHNOLOGY IN FOOD AND AGRICULTURE 
                    SECTORS.

  (a) In General.--The Secretary, in consultation with the Secretary of 
Health and Human Services, the Secretary of Education, and such other 
persons and organizations as the Secretary determines to be 
appropriate, shall develop and carry out a national science-based 
education campaign to increase public awareness regarding the use of 
technology in food and agriculture production, including--
          (1) the science of biotechnology as applied to the 
        development of products in the food and agricultural sectors, 
        including information about which products of biotechnology in 
        the food and agricultural sectors have been approved for use in 
        the United States;
          (2) the Federal science-based regulatory review process for 
        products made using biotechnology in the food and agricultural 
        sectors conducted under the Coordinated Framework for 
        Regulation of Biotechnology published by the Office of Science 
        and Technology Policy in the Federal Register on June 26, 1986 
        (51 Fed. Reg. 23302), including the studies performed and 
        analyses conducted to ensure that such products are as safe to 
        produce and as safe to eat as products that are not produced 
        using biotechnology;
          (3) developments in the science of plant and animal breeding 
        over time and the impacts of such developments on farmers, 
        consumers, the environment, and the rural economy; and
          (4) the effects of the use of biotechnology on food security, 
        nutrition, and the environment.
  (b) Consumer Friendly Informational Website.--The Secretary, in 
consultation with the Secretary of Health and Human Services, the 
Administrator of the Environmental Protection Agency, the Office of 
Science and Technology Policy, and such other persons and organizations 
as the Secretary determines to be appropriate, shall develop, 
establish, and update as necessary, a single Federal government-
sponsored public Internet website through which the public may obtain, 
in an easy to understand and user-friendly format, information about 
biotechnology used in the food and agricultural sectors, including--
          (1) scientific findings and other data on biotechnology used 
        in the food and agricultural sectors;
          (2) Federal agencies' decisions regarding specific products 
        made using biotechnology in the food and agricultural sectors;
          (3) a list of frequently asked questions pertaining to the 
        use of biotechnology in the food and agricultural sectors;
          (4) an easy-to-understand description of the role of Federal 
        agencies in overseeing the use of biotechnology in the food and 
        agricultural sectors;
          (5) information about novel, emerging technologies within the 
        broader field of biotechnology; and
          (6) a glossary of terms with respect to biotechnology used in 
        the food and agricultural sectors.
  (c) Social Media Resources.--The Secretary may, as appropriate, 
utilize publicly-available social media platforms to supplement the 
campaign established under subsection (a), and as an extension of the 
website established under subsection (b).

                          TITLE VIII--FORESTRY

   Subtitle A--Reauthorization and Modification of Certain Forestry 
                                Programs

SEC. 8101. SUPPORT FOR STATE ASSESSMENTS AND STRATEGIES FOR FOREST 
                    RESOURCES.

  Section 2A(f)(1) of the Cooperative Forestry Assistance Act of 1978 
(16 U.S.C. 2101a(f)(1)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 8102. FOREST LEGACY PROGRAM.

  Subsection (m) of section 7 of the Cooperative Forestry Assistance 
Act of 1978 (16 U.S.C. 2103c) is amended to read as follows:
  ``(m) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $35,000,000 for each of fiscal 
years 2019 through 2023.''.

SEC. 8103. COMMUNITY FOREST AND OPEN SPACE CONSERVATION PROGRAM.

  Subsection (g) of section 7A of the Cooperative Forestry Assistance 
Act of 1978 (16 U.S.C. 2103d) is amended to read as follows:
  ``(g) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $5,000,000 for each of fiscal 
years 2019 through 2023.''.

SEC. 8104. STATE AND PRIVATE FOREST LANDSCAPE-SCALE RESTORATION 
                    PROGRAM.

  Section 13A of the Cooperative Forestry Assistance Act of 1978 (16 
U.S.C. 2109a) is amended to read as follows:

``SEC. 13A. STATE AND PRIVATE FOREST LANDSCAPE-SCALE RESTORATION 
                    PROGRAM.

  ``(a) Purpose.--The purpose of this section is to establish a 
landscape-scale restoration program to support landscape-scale 
restoration and management that results in measurable improvements to 
public benefits derived from State and private forest land, as 
identified in--
          ``(1) a State-wide assessment described in section 2A(a)(1); 
        and
          ``(2) a long-term State-wide forest resource strategy 
        described in section 2A(a)(2).
  ``(b) Definitions.--In this section:
          ``(1) Private forest land.--The term `private forest land' 
        means land that--
                  ``(A)(i) has existing tree cover; or
                  ``(ii) is suitable for growing trees; and
                  ``(B) is owned by--
                          ``(i) an Indian Tribe (as defined in section 
                        4 of the Indian Self-Determination and 
                        Education Assistance Act (25 U.S.C. 5304)); or
                          ``(ii) any private individual or entity.
          ``(2) Regional.--The term `regional' means of any region of 
        the National Association of State Foresters.
          ``(3) Secretary.--The term `Secretary' means the Secretary of 
        Agriculture, acting through the Chief of the Forest Service.
          ``(4) State forest land.--The term `State forest land' means 
        land that is owned by a State or unit of local government.
          ``(5) State forester.--The term `State Forester' means a 
        State Forester or equivalent State official.
  ``(c) Establishment.--The Secretary, in consultation with State 
Foresters or other appropriate State agencies, shall establish a 
landscape-scale restoration program--
          ``(1) to provide financial and technical assistance for 
        landscape-scale restoration projects on State forest land or 
        private forest land; and
          ``(2) that maintains or improves benefits from trees and 
        forests on such land.
  ``(d) Requirements.--The landscape-scale restoration program 
established under subsection (c) shall--
          ``(1) measurably address the national private forest 
        conservation priorities described in section 2(c);
          ``(2) enhance public benefits from trees and forests, as 
        identified in--
                  ``(A) a State-wide assessment described in section 
                2A(a)(1); and
                  ``(B) a long-term State-wide forest resource strategy 
                described in section 2A(a)(2); and
          ``(3) in accordance with the purposes described in section 
        2(b), include one or more of the following objectives--
                  ``(A) protecting or improving water quality or 
                quantity;
                  ``(B) reducing wildfire risk, including through 
                hazardous fuels treatment;
                  ``(C) protecting or enhancing wildlife habitat, 
                consistent with wildlife objectives established by the 
                applicable State fish and wildlife agency;
                  ``(D) improving forest health and forest ecosystems, 
                including addressing native, nonnative, and invasive 
                pests; or
                  ``(E) enhancing opportunities for new and existing 
                markets in which the production and use of wood 
                products strengthens local and regional economies.
  ``(e) Measurement.--The Secretary, in consultation with State 
Foresters, shall establish a measurement system (including measurement 
tools) that--
          ``(1) consistently measures the results of landscape-scale 
        restoration projects described in subsection (c); and
          ``(2) is consistent with the measurement systems of other 
        Federal programs delivered by State Foresters.
  ``(f) Use of Amounts.--
          ``(1) Allocation.--Of the amounts made available for the 
        landscape-scale restoration program established under 
        subsection (c), the Secretary shall allocate to State 
        Foresters--
                  ``(A) 50 percent for the competitive process in 
                accordance with subsection (g); and
                  ``(B) 50 percent proportionally to States, in 
                consultation with State Foresters--
                          ``(i) to maximize the achievement of the 
                        objectives described in subsection (d)(3); and
                          ``(ii) to address the highest national 
                        priorities, as identified in--
                                  ``(I) State-wide assessments 
                                described in section 2A(a)(1); and
                                  ``(II) long-term State-wide forest 
                                resource strategies described in 
                                section 2A(a)(2).
          ``(2) Multiyear projects.--The Secretary may provide amounts 
        under this section for multiyear projects.
  ``(g) Competitive Process.--
          ``(1) In general.--The Secretary shall distribute amounts 
        described in subsection (f)(1)(A) through a competitive process 
        for landscape-scale restoration projects described in 
        subsection (c) to maximize the achievement of the objectives 
        described in subsection (d)(3).
          ``(2) Eligibility.--To be eligible for funding through the 
        competitive process under paragraph (1), a State Forester, or 
        another entity on approval of the State Forester, shall submit 
        to the Secretary one or more landscape-scale restoration 
        proposals that--
                  ``(A) in accordance with paragraph (3)(A), include 
                priorities identified in--
                          ``(i) State-wide assessments described in 
                        section 2A(a)(1); and
                          ``(ii) long-term State-wide forest resource 
                        strategies described in section 2A(a)(2);
                  ``(B) identify one or more measurable results to be 
                achieved through the project;
                  ``(C) to the maximum extent practicable, include 
                activities on all land necessary to accomplish the 
                measurable results in the applicable landscape;
                  ``(D) to the maximum extent practicable, are 
                developed in collaboration with other public and 
                private sector organizations and local communities; and
                  ``(E) derive not less than 50 percent of the funding 
                for the project from non-Federal sources, unless the 
                Secretary determines--
                          ``(i) the applicant is unable to derive not 
                        less than 50 percent of the funding for the 
                        project from non-Federal sources; and
                          ``(ii) the benefits of the project justify 
                        pursuing the project.
          ``(3) Prioritization.--In carrying out the competitive 
        process under paragraph (1), the Secretary--
                  ``(A) shall give priority to projects that, as 
                determined by the Secretary, best carry out priorities 
                identified in State-wide assessments described in 
                section 2A(a)(1) and long-term State-wide forest 
                resource strategies described in section 2A(a)(2), 
                including--
                          ``(i) involvement of public and private 
                        partnerships;
                          ``(ii) inclusion of cross-boundary activities 
                        on--
                                  ``(I) Federal forest land;
                                  ``(II) State forest land; or
                                  ``(III) private forest land;
                          ``(iii) involvement of areas also identified 
                        for cost-share funding by the Natural Resources 
                        Conservation Service or any other relevant 
                        Federal agency;
                          ``(iv) protection or improvement of water 
                        quality or quantity;
                          ``(v) reduction of wildfire risk; and
                          ``(vi) otherwise addressing the national 
                        private forest conservation priorities 
                        described in section 2(c); and
                  ``(B) may give priority to projects in proximity to 
                other landscape-scale projects on other land under the 
                jurisdiction of the Secretary, the Secretary of the 
                Interior, or a Governor of a State, including--
                          ``(i) ecological restoration treatments under 
                        the Collaborative Forest Landscape Restoration 
                        Program established under section 4003 of the 
                        Omnibus Public Land Management Act of 2009 (16 
                        U.S.C. 7303);
                          ``(ii) projects on landscape-scale areas 
                        designated for insect and disease treatment 
                        under section 602 of the Healthy Forests 
                        Restoration Act of 2003 (16 U.S.C. 6591a);
                          ``(iii) authorized restoration services under 
                        section 8206 of the Agricultural Act of 2014 
                        (16 U.S.C. 2113a);
                          ``(iv) watershed restoration and protection 
                        services under section 331 of the Department of 
                        the Interior and Related Agencies 
                        Appropriations Act, 2001 (Public Law 106-291; 
                        16 U.S.C. 1011 note);
                          ``(v) stewardship end result contracting 
                        projects under section 604 of the Healthy 
                        Forests Restoration Act of 2003 (16 U.S.C. 
                        6591c); or
                          ``(vi) projects under other relevant 
                        programs, as determined by the Secretary.
          ``(4) Proposal review.--
                  ``(A) In general.--The Secretary shall establish a 
                process for the review of proposals submitted under 
                paragraph (2) that ranks each proposal based on--
                          ``(i) the extent to which the proposal would 
                        achieve the requirements described in 
                        subsection (d); and
                          ``(ii) the priorities described in paragraph 
                        (3)(A).
                  ``(B) Regional review.--The Secretary may carry out 
                the process described in subparagraph (A) at a regional 
                level.
          ``(5) Compliance with nepa.--Financial and technical 
        assistance carried out under this section for landscape 
        restoration projects on State forest land or private forest 
        land shall not constitute a major Federal action for the 
        purposes of section 102(2)(C) of the National Environmental 
        Policy Act of 1969 (42 U.S.C. 4332(2)(C)).
  ``(h) Report.--Not later than 3 years after the date of the enactment 
of the Agriculture and Nutrition Act of 2018, 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--
          ``(1) a description of the status of the development, 
        execution, and administration of landscape-scale projects 
        selected under the program under this section;
          ``(2) an accounting of expenditures under such program; and
          ``(3) specific accomplishments that have resulted from 
        landscape-scale projects under such program.
  ``(i) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary for the landscape-scale restoration 
program established under subsection (c) $10,000,000 for each of fiscal 
years 2019 through 2023, to remain available until expended.''.

SEC. 8105. 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 ``2018'' and 
inserting ``2023''.

SEC. 8106. COMMUNITY WOOD ENERGY AND WOOD INNOVATION PROGRAM.

  Section 9013 of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8113) is amended to read as follows:

``SEC. 9013. COMMUNITY WOOD ENERGY AND WOOD INNOVATION PROGRAM.

  ``(a) Definitions.--In this section:
          ``(1) Community wood energy system.--
                  ``(A) In general.--The term `community wood energy 
                system' means an energy system that--
                          ``(i) produces thermal energy or combined 
                        thermal energy and electricity where thermal is 
                        the primary energy output;
                          ``(ii) services public facilities owned or 
                        operated by State or local governments 
                        (including schools, town halls, libraries, and 
                        other public buildings) or private or nonprofit 
                        facilities (including commercial and business 
                        facilities, such as hospitals, office 
                        buildings, apartment buildings, and 
                        manufacturing and industrial buildings); and
                          ``(iii) uses woody biomass, including 
                        residuals from wood processing facilities, as 
                        the primary fuel.
                  ``(B) Inclusions.--The term `community wood energy 
                system' includes single-facility central heating, 
                district heating systems serving multiple buildings, 
                combined heat and electric systems where thermal energy 
                is the primary energy output, and other related biomass 
                energy systems.
          ``(2) Innovative wood product facility.--The term `innovative 
        wood product facility' means a manufacturing or processing 
        plant or mill that produces--
                  ``(A) building components or systems that use large 
                panelized wood construction, including mass timber;
                  ``(B) wood products derived from nanotechnology or 
                other new technology processes, as determined by the 
                Secretary; or
                  ``(C) other innovative wood products that use low-
                value, low-quality wood, as determined by the 
                Secretary.
          ``(3) Mass timber.--The term `mass timber' includes--
                  ``(A) cross-laminated timber;
                  ``(B) nail-laminated timber;
                  ``(C) glue-laminated timber;
                  ``(D) laminated strand lumber; and
                  ``(E) laminated veneer lumber.
          ``(4) Program.--The term `Program' means the Community Wood 
        Energy and Wood Innovation Program established under subsection 
        (b).
  ``(b) Competitive Grant Program.--The Secretary, acting through the 
Chief of the Forest Service, shall establish a competitive grant 
program to be known as the `Community Wood Energy and Wood Innovation 
Program'.
  ``(c) Matching Grants.--
          ``(1) In general.--Under the Program, the Secretary shall 
        make grants to cover not more than 35 percent of the capital 
        cost for installing a community wood energy system or building 
        an innovative wood product facility.
          ``(2) Special circumstances.--The Secretary may establish 
        special circumstances, such as in the case of a community wood 
        energy system project or innovative wood product facility 
        project involving a school or hospital in a low-income 
        community, under which grants under the Program may cover up to 
        50 percent of the capital cost.
          ``(3) Source of matching funds.--Matching funds required 
        pursuant to this subsection from a grant recipient must be 
        derived from non-Federal funds.
  ``(d) Project Cap.--The total amount of grants under the Program for 
a community wood energy system project or innovative wood product 
facility project may not exceed--
          ``(1) in the case of grants under the general authority 
        provided under subsection (c)(1), $1,000,000; and
          ``(2) in the case of grants for which the special 
        circumstances apply under subsection (c)(2), $1,500,000.
  ``(e) Selection Criteria.--In selecting applicants for grants under 
the Program, the Secretary shall consider the following:
          ``(1) The energy efficiency of the proposed community wood 
        energy system or innovative wood product facility.
          ``(2) The cost effectiveness of the proposed community wood 
        energy system or innovative wood product facility.
          ``(3) The extent to which the proposed community wood energy 
        system or innovative wood product facility represents the best 
        available commercial technology.
          ``(4) The extent to which the applicant has demonstrated a 
        high likelihood of project success by completing detailed 
        engineering and design work in advance of the grant 
        application.
          ``(5) Other technical, economic, conservation, and 
        environmental criteria that the Secretary considers 
        appropriate.
  ``(f) Grant Priorities.--In selecting applicants for grants under the 
Program, the Secretary shall give priority to proposals that--
          ``(1) would be carried out in a location where markets are 
        needed for the low-value, low-quality wood;
          ``(2) would be carried out in a location with limited access 
        to natural gas pipelines;
          ``(3) would include the use or retrofitting (or both) of 
        existing sawmill facilities located in a location where the 
        average annual unemployment rate exceeded the national average 
        unemployment rate by more than 1 percent during the previous 
        calendar year; or
          ``(4) would be carried out in a location where the project 
        will aid with forest restoration.
  ``(g) Limitations.--
          ``(1) Capacity of community wood energy systems.--A community 
        wood energy system acquired with grant funds under the Program 
        shall not exceed nameplate capacity of 10 megawatts of thermal 
        energy or combined thermal and electric energy.
          ``(2) Funding for innovative wood product facilities.--Not 
        more than 25 percent of funds provided as grants under the 
        Program for a fiscal year may go to applicants proposing 
        innovative wood product facilities, unless the Secretary has 
        received an insufficient number of qualified proposals for 
        community wood energy systems.
  ``(h) Funding.--There is authorized to be appropriated to carry out 
the Program $25,000,000 for each of fiscal years 2019 through 2023.''.

SEC. 8107. HEALTHY FORESTS RESTORATION ACT OF 2003 AMENDMENTS.

  (a) Healthy Forests Reserve Program.--
          (1) Additional purpose of program.--Section 501(a) of the 
        Healthy Forests Restoration Act of 2003 (16 U.S.C. 6571(a)) is 
        amended--
                  (A) by striking ``and'' at the end of paragraph (2);
                  (B) by redesignating paragraph (3) as paragraph (4); 
                and
                  (C) by inserting after paragraph (2) the following 
                new paragraph:
          ``(3) to conserve forest land that provides habitat for 
        species described in section 502(b)(1); and''.
          (2) Eligibility for enrollment.--Subsection (b) of section 
        502 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 
        6572) is amended to read as follows:
  ``(b) Eligibility.--To be eligible for enrollment in the healthy 
forests reserve program, land shall be private forest land, or private 
land being restored to forest land, the enrollment of which will 
maintain, restore, enhance, or otherwise measurably--
          ``(1) increase the likelihood of recovery of a species that 
        is listed as endangered or threatened under section 4 of the 
        Endangered Species Act of 1973 (16 U.S.C. 1533); or
          ``(2) improve the well-being of a species that--
                  ``(A) is--
                          ``(i) not listed as endangered or threatened 
                        under such section; and
                          ``(ii) a candidate for such listing, a State-
                        listed species, or a special concern species; 
                        or
                  ``(B) is deemed a species of greatest conservation 
                need by a State wildlife action plan.''.
          (3) Other enrollment considerations.--Section 502(c) of the 
        Healthy Forests Restoration Act of 2003 (16 U.S.C. 6572(c)) is 
        amended--
                  (A) by striking ``and'' at the end of paragraph (1);
                  (B) by redesignating paragraph (2) as paragraph (3); 
                and
                  (C) by inserting after paragraph (1) the following 
                new paragraph:
          ``(2) conserve forest lands that provide habitat for species 
        described in subsection (b)(1); and''.
          (4) Elimination of limitation on use of easements.--Section 
        502(e) of the Healthy Forests Restoration Act of 2003 (16 
        U.S.C. 6572(e)) is amended by striking paragraph (2) and 
        redesignating paragraph (3) as paragraph (2).
          (5) Enrollment of acreage owned by an indian tribe.--Section 
        502(e)(2)(B) of the Healthy Forests Restoration Act of 2003 (16 
        U.S.C. 6572(e)(3)(B)), as redesignated under paragraph (4), is 
        amended by striking clauses (ii) and (iii) and inserting the 
        following new clauses:
                          ``(ii) a 10-year, cost-share agreement;
                          ``(iii) a permanent easement; or
                          ``(iv) any combination of the options 
                        described in clauses (i) through (iii).''.
          (6) Species-related enrollment priority.--Subparagraph (B) of 
        section 502(f)(1) of the Healthy Forests Restoration Act of 
        2003 (16 U.S.C. 6572(f)(1)) is amended to read as follows:
                  ``(B) secondarily, species that--
                          ``(i) are--
                                  ``(I) not listed as endangered or 
                                threatened under section 4 of the 
                                Endangered Species Act of 1973 (16 
                                U.S.C. 1533); and
                                  ``(II) candidates for such listing, 
                                State-listed species, or special 
                                concern species; or
                          ``(ii) are species of greatest conservation 
                        need, as identified in State wildlife action 
                        plans.''.
          (7) Restoration plans.--Subsection (b) of section 503 of the 
        Healthy Forests Restoration Act of 2003 (16 U.S.C. 6573) is 
        amended to read as follows:
  ``(b) Practices.--The restoration plan shall require such restoration 
practices and measures, as are necessary to restore and enhance habitat 
for species described in section 502(b), including the following:
          ``(1) Land management practices.
          ``(2) Vegetative treatments.
          ``(3) Structural practices and measures.
          ``(4) Other practices and measures.''.
          (8) Funding.--Section 508(b) of the Healthy Forests 
        Restoration Act of 2003 (16 U.S.C. 6578(b)) is amended--
                  (A) in the subsection heading, by striking ``Fiscal 
                Years 2014 Through 2018'' and inserting ``Authorization 
                of Appropriations''; and
                  (B) by striking ``2018'' and inserting ``2023''.
          (9) Technical correction.--Section 503(a) of the Healthy 
        Forests Restoration Act of 2003 (16 U.S.C. 6573(a)) is amended 
        by striking ``Secretary of Interior'' and inserting ``Secretary 
        of the Interior''.
  (b) Insect and Disease Infestation.--
          (1) Treatment of areas.--Section 602(d)(1) of the Healthy 
        Forests Restoration Act of 2003 (16 U.S.C. 6591a(d)(1)) is 
        amended by striking ``subsection (b) to reduce the risk or 
        extent of, or increase the resilience to, insect or disease 
        infestation in the areas.'' and inserting the following: 
        ``subsection (b)--
                  ``(A) to reduce the risk or extent of, or increase 
                the resilience to, insect or disease infestation; or
                  ``(B) to reduce hazardous fuels.''.
          (2) Permanent authority.--Section 602(d)(2) of the Healthy 
        Forests Restoration Act of 2003 (16 U.S.C. 6591a(d)(2)) is 
        amended by striking ``for which a public notice to initiate 
        scoping is issued on or before September 30, 2018,''.
  (c) Administrative Review.--
          (1) Clarification of treatment of areas.--Section 603(a) of 
        the Healthy Forests Restoration Act of 2003 (16 U.S.C. 
        6591b(a)) is amended by striking ``in accordance with section 
        602(d)'' and inserting ``in accordance with section 
        602(d)(1)''.
          (2) Project size and location.--Section 603(c)(1) of the 
        Healthy Forests Restoration Act of 2003 (16 U.S.C. 6591b(c)(1)) 
        is amended by striking ``3000'' and inserting ``6,000''.

SEC. 8108. NATIONAL FOREST FOUNDATION ACT AUTHORITIES.

  (a) Extension of Authority to Provide Matching Funds for 
Administrative and Project Expenses.--Section 405(b) of the National 
Forest Foundation Act (16 U.S.C. 583j-3(b)) is amended by striking 
``2018'' and inserting ``2023''.
  (b) Authorization of Appropriations.--Section 410(b) of the National 
Forest Foundation Act (16 U.S.C. 583j-8(b)) is amended by striking 
``2018'' and inserting ``2023''.

 Subtitle B--Secure Rural Schools and Community Self-Determination Act 
                           of 2000 Amendments

SEC. 8201. USE OF RESERVED FUNDS FOR TITLE II PROJECTS ON FEDERAL LAND 
                    AND CERTAIN NON-FEDERAL LAND.

  Section 204(f) of the Secure Rural Schools and Community Self-
Determination Act of 2000 (16 U.S.C. 7124(f)) is amended to read as 
follows:
  ``(f) Requirements for Project Funds.--
          ``(1) In general.--Subject to paragraph (2), the Secretary 
        concerned shall ensure that at least 50 percent of the project 
        funds reserved under section 102(d) by a participating county 
        shall be available only for projects that--
                  ``(A) include--
                          ``(i) the sale of timber or other forest 
                        products;
                          ``(ii) reduce fire risks; or
                          ``(iii) improve water supplies; and
                  ``(B) implement stewardship objectives that enhance 
                forest ecosystems or restore and improve land health 
                and water quality.
          ``(2) Applicability.--The requirement in paragraph (1) shall 
        apply only to project funds reserved by a participating county 
        whose boundaries include Federal land that the Secretary 
        concerned determines has been subject to a timber or other 
        forest products program within 5 fiscal years before the fiscal 
        year in which the funds are reserved.''.

SEC. 8202. RESOURCE ADVISORY COMMITTEES.

  (a) Recognition of Resource Advisory Committees.--Section 205(a)(4) 
of the Secure Rural Schools and Community Self-Determination Act of 
2000 (16 U.S.C. 7125(a)(4)) is amended by striking ``2018'' each place 
it appears and inserting ``2023''.
  (b) Reduction in Composition of Committees.--Section 205(d) of the 
Secure Rural Schools and Community Self-Determination Act of 2000 (16 
U.S.C. 7125(d)) is amended--
          (1) in paragraph (1), by striking ``15 members'' and 
        inserting ``9 members''; and
          (2) by striking ``5 persons'' each place it appears and 
        inserting ``3 persons''.
  (c) Expanding Local Participation on Committees.--Section 205(d) of 
the Secure Rural Schools and Community Self-Determination Act of 2000 
(16 U.S.C. 7125(d)) is further amended--
          (1) in paragraph (3), by inserting before the period at the 
        end the following: ``, consistent with the requirements of 
        paragraph (4)''; and
          (2) by striking paragraph (4) and inserting the following new 
        paragraph:
          ``(4) Geographic distribution.--The members of a resource 
        advisory committee shall reside within the county or counties 
        in which the committee has jurisdiction, or an adjacent 
        county.''.
  (d) Appointment of Resource Advisory Committees by Applicable 
Designee.--
          (1) In general.--Section 205 of the Secure Rural Schools and 
        Community Self-Determination Act of 2000 (16 U.S.C. 7125) is 
        further amended--
                  (A) in subsection (a)--
                          (i) in paragraph (1), by inserting ``(or 
                        applicable designee)'' after ``The Secretary 
                        concerned'';
                          (ii) in paragraph (3), by inserting ``(or 
                        applicable designee)'' after ``the Secretary 
                        concerned''; and
                          (iii) in paragraph (4), by inserting ``(or 
                        applicable designee)'' after ``the Secretary 
                        concerned'' both places it appears;
                  (B) in subsection (b)(6), by inserting ``(or 
                applicable designee)'' after ``the Secretary 
                concerned'';
                  (C) in subsection (c)--
                          (i) in the subsection heading, by inserting 
                        ``or Applicable Designee'' after ``by the 
                        Secretary'';
                          (ii) in paragraph (1), by inserting ``(or 
                        applicable designee)'' after ``The Secretary 
                        concerned'' both places it appears;
                          (iii) in paragraph (2), by inserting ``(or 
                        applicable designee)'' after ``The Secretary 
                        concerned'';
                          (iv) in paragraph (4), by inserting ``(or 
                        applicable designee)'' after ``The Secretary 
                        concerned''; and
                          (v) by adding at the end the following new 
                        paragraph:
          ``(6) Applicable designee.--In this section, the term 
        `applicable designee' means--
                  ``(A) with respect to Federal land described in 
                section 3(7)(A), the applicable Regional Forester; and
                  ``(B) with respect to Federal land described in 
                section 3(7)(B), the applicable Bureau of Land 
                Management State Director.'';
                  (D) in subsection (d)(3), by inserting ``(or 
                applicable designee)'' after ``the Secretary 
                concerned''; and
                  (E) in subsection (f)(1)--
                          (i) by inserting ``(or applicable designee)'' 
                        after ``the Secretary concerned''; and
                          (ii) by inserting ``(or applicable 
                        designee)'' after ``of the Secretary''.
          (2) Conforming amendment.--Section 201(3) of the Secure Rural 
        Schools and Community Self-Determination Act of 2000 (16 U.S.C. 
        7121(3)) is amended by inserting ``(or applicable designee (as 
        defined in section 205(c)(6)))'' after ``Secretary concerned'' 
        both places it appears.

SEC. 8203. PROGRAM FOR TITLE II SELF-SUSTAINING RESOURCE ADVISORY 
                    COMMITTEE PROJECTS.

  (a) Self-Sustaining Resource Advisory Committee Projects.--Title II 
of the Secure Rural Schools and Community Self-Determination Act of 
2000 (16 U.S.C. 7121 et seq.) is amended by adding at the end the 
following new section:

``SEC. 209. PROGRAM FOR SELF-SUSTAINING RESOURCE ADVISORY COMMITTEE 
                    PROJECTS.

  ``(a) RAC Program.--The Chief of the Forest Service shall conduct a 
program (to be known as the `self-sustaining resource advisory 
committee program' or `RAC program') under which 10 resource advisory 
committees will propose projects authorized by subsection (c) to be 
carried out using project funds reserved by a participating county 
under section 102(d).
  ``(b) Selection of Participating Resource Advisory Committees.--The 
selection of resource advisory committees to participate in the RAC 
program is in the sole discretion of the Chief of the Forest Service.
  ``(c) Authorized Projects.--Notwithstanding the project purposes 
specified in sections 202(b), 203(c), and 204(a)(5), projects under the 
RAC program are intended to--
          ``(1) accomplish forest management objectives or support 
        community development; and
          ``(2) generate receipts.
  ``(d) Deposit and Availability of Revenues.--Any revenue generated by 
a project conducted under the RAC program, including any interest 
accrued from the revenues, shall be--
          ``(1) deposited in the special account in the Treasury 
        established under section 102(d)(2)(A); and
          ``(2) available, in such amounts as may be provided in 
        advance in appropriation Acts, for additional projects under 
        the RAC program.
  ``(e) Termination of Authority.--
          ``(1) In general.--The authority to initiate a project under 
        the RAC program shall terminate on September 30, 2023.
          ``(2) Deposits in treasury.--Any funds available for projects 
        under the RAC program and not obligated by September 30, 2024, 
        shall be deposited in the Treasury of the United States.''.
  (b) Exception to General Rule Regarding Treatment of Receipts.--
Section 403(b) of the Secure Rural Schools and Community Self-
Determination Act of 2000 (16 U.S.C. 7153(b)) is amended by striking 
``All revenues'' and inserting ``Except as provided in section 209, all 
revenues''.

 Subtitle C--Availability of Categorical Exclusions To Expedite Forest 
                         Management Activities

                       PART I--GENERAL PROVISIONS

SEC. 8301. DEFINITIONS.

  In this subtitle:
          (1) Catastrophic event.--The term ``catastrophic event'' 
        means any natural disaster (such as hurricane, tornado, 
        windstorm, snow or ice storm, rain storm, high water, wind-
        driven water, tidal wave, earthquake, volcanic eruption, 
        landslide, mudslide, drought, or insect or disease outbreak) or 
        any fire, flood, or explosion, regardless of cause.
          (2) Coos bay wagon road grant lands.--The term ``Coos Bay 
        Wagon Road Grant lands'' means the lands reconveyed to the 
        United States pursuant to the first section of the Act of 
        February 26, 1919 (40 Stat. 1179).
          (3) Forest management activity.--The term ``forest management 
        activity'' means a project or activity carried out by the 
        Secretary concerned on National Forest System lands or public 
        lands consistent with the forest plan covering the lands.
          (4) Forest plan.--The term ``forest plan'' means--
                  (A) a land use plan prepared by the Bureau of Land 
                Management for public lands pursuant to section 202 of 
                the Federal Land Policy and Management Act of 1976 (43 
                U.S.C. 1712); or
                  (B) a land and resource management plan prepared by 
                the Forest Service for a unit of the National Forest 
                System pursuant to section 6 of the Forest and 
                Rangeland Renewable Resources Planning Act of 1974 (16 
                U.S.C. 1604).
          (5) National forest system.--The term ``National Forest 
        System'' has the meaning given that term in section 11(a) of 
        the Forest and Rangeland Renewable Resources Planning Act of 
        1974 (16 U.S.C. 1609(a)).
          (6) Oregon and california railroad grant lands.--The term 
        ``Oregon and California Railroad Grant lands'' means the 
        following lands:
                  (A) All lands in the State of Oregon revested in the 
                United States under the Act of June 9, 1916 (39 Stat. 
                218), that are administered by the Secretary of the 
                Interior, acting through the Bureau of Land Management, 
                pursuant to the first section of the Act of August 28, 
                1937 (43 U.S.C. 1181a).
                  (B) All lands in that State obtained by the Secretary 
                of the Interior pursuant to the land exchanges 
                authorized and directed by section 2 of the Act of June 
                24, 1954 (43 U.S.C. 1181h).
                  (C) All lands in that State acquired by the United 
                States at any time and made subject to the provisions 
                of title II of the Act of August 28, 1937 (43 U.S.C. 
                1181f).
          (7) Public lands.--The term ``public lands'' has the meaning 
        given that term in section 103 of the Federal Land Policy and 
        Management Act of 1976 (43 U.S.C. 1702), except that the term 
        includes Coos Bay Wagon Road Grant lands and Oregon and 
        California Railroad Grant lands.
          (8) Reforestation activity.--The term ``reforestation 
        activity'' means a forest management activity carried out by 
        the Secretary concerned where the primary purpose is the 
        reforestation of impacted lands following a catastrophic event. 
        The term includes planting, evaluating and enhancing natural 
        regeneration, clearing competing vegetation, and other 
        activities related to reestablishment of forest species on the 
        impacted lands.
          (9) Resource advisory committee.--The term ``resource 
        advisory committee'' has the meaning given that term in section 
        201 of the Secure Rural Schools and Community Self-
        Determination Act of 2000 (16 U.S.C. 7121).
          (10) Salvage operation.--The term ``salvage operation'' means 
        a forest management activity carried out in response to a 
        catastrophic event where the primary purpose is--
                  (A) to prevent wildfire as a result of the 
                catastrophic event, or, if the catastrophic event was 
                wildfire, to prevent a re-burn of the fire-impacted 
                area;
                  (B) to provide an opportunity for utilization of 
                forest materials damaged as a result of the 
                catastrophic event; or
                  (C) to provide a funding source for reforestation for 
                the National Forest System lands or public lands 
                impacted by the catastrophic event.
          (11) Secretary concerned.--The term ``Secretary concerned'' 
        means--
                  (A) the Secretary of Agriculture, with respect to 
                National Forest System lands; and
                  (B) the Secretary of the Interior, with respect to 
                public lands.

SEC. 8302. RULE OF APPLICATION FOR NATIONAL FOREST SYSTEM LANDS AND 
                    PUBLIC LANDS.

  Unless specifically provided by a provision of this subtitle, the 
authorities provided by this subtitle do not apply with respect to any 
National Forest System lands or public lands--
          (1) that are included in the National Wilderness Preservation 
        System;
          (2) that are located within a national or State-specific 
        inventoried roadless area established by the Secretary of 
        Agriculture through regulation, unless--
                  (A) the forest management activity to be carried out 
                under such authority is consistent with the forest plan 
                applicable to the area; or
                  (B) the Secretary of Agriculture determines the 
                forest management activity is permissible under the 
                applicable roadless rule governing such lands; or
          (3) on which timber harvesting for any purpose is prohibited 
        by Federal statute.

SEC. 8303. CONSULTATION UNDER THE ENDANGERED SPECIES ACT.

  (a) No Consultation if Action Not Likely To Adversely Affect a Listed 
Species or Designated Critical Habitat.--With respect to a forest 
management activity carried out pursuant to this subtitle, consultation 
under section 7 of the Endangered Species Act of 1973 (16 U.S.C. 1536) 
shall not be required if the Secretary concerned determines that such 
forest management activity is not likely to adversely affect a listed 
species or designated critical habitat.
  (b) Expedited Consultation.--With respect to a forest management 
activity carried out pursuant to this subtitle, consultation required 
under section 7 of the Endangered Species Act of 1973 (16 U.S.C. 1536) 
shall be concluded within the 90-day period beginning on the date on 
which such consultation was requested by the Secretary concerned.

SEC. 8304. SECRETARIAL DISCRETION IN THE CASE OF TWO OR MORE 
                    CATEGORICAL EXCLUSIONS.

  To the extent that a forest management activity may be categorically 
excluded under more than one of the sections of this subtitle, the 
Secretary concerned shall have full discretion to determine which 
categorical exclusion to use.

                    PART II--CATEGORICAL EXCLUSIONS

SEC. 8311. CATEGORICAL EXCLUSION TO EXPEDITE CERTAIN CRITICAL RESPONSE 
                    ACTIONS.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--The category of forest management activities designated 
under this section for a categorical exclusion are forest management 
activities carried out by the Secretary concerned on National Forest 
System lands or public lands where the primary purpose of such activity 
is--
          (1) to address an insect or disease infestation;
          (2) to reduce hazardous fuel loads;
          (3) to protect a municipal water source;
          (4) to maintain, enhance, or modify critical habitat to 
        protect it from catastrophic disturbances;
          (5) to increase water yield; or
          (6) any combination of the purposes specified in paragraphs 
        (1) through (5).
  (c) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary concerned may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.
  (d) Acreage Limitations.--A forest management activity covered by the 
categorical exclusion established under subsection (a) may not contain 
treatment units exceeding a total of 6,000 acres.

SEC. 8312. CATEGORICAL EXCLUSION TO EXPEDITE SALVAGE OPERATIONS IN 
                    RESPONSE TO CATASTROPHIC EVENTS.

  (a) Categorical Exclusion Established.--Salvage operations carried 
out by the Secretary concerned on National Forest System lands or 
public lands are a category of actions hereby designated as being 
categorically excluded from the preparation of an environmental 
assessment or an environmental impact statement under section 102 of 
the National Environmental Policy Act of 1969 (42 U.S.C. 4332).
  (b) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary concerned may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.
  (c) Acreage Limitation.--A salvage operation covered by the 
categorical exclusion established under subsection (a) may not contain 
treatment units exceeding a total of 6,000 acres.
  (d) Additional Requirements.--
          (1) Stream buffers.--A salvage operation covered by the 
        categorical exclusion established under subsection (a) shall 
        comply with the standards and guidelines for stream buffers 
        contained in the applicable forest plan, except that the 
        Regional Forester, in the case of National Forest System lands, 
        or the State Director of the Bureau of Land Management, in the 
        case of public lands, may, on a case-by-case basis, waive the 
        standards and guidelines.
          (2) Reforestation plan.--A reforestation plan shall be 
        developed under section 3 of the Act of June 9, 1930 (commonly 
        known as the Knutson-Vandenberg Act; (16 U.S.C. 576b)), as part 
        of a salvage operation covered by the categorical exclusion 
        established under subsection (a).

SEC. 8313. CATEGORICAL EXCLUSION TO MEET FOREST PLAN GOALS FOR EARLY 
                    SUCCESSIONAL FORESTS.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--The category of forest management activities designated 
under this section for a categorical exclusion are forest management 
activities carried out by the Secretary concerned on National Forest 
System lands or public lands where the primary purpose of such activity 
is to improve, enhance, or create early successional forests for 
wildlife habitat improvement and other purposes, consistent with the 
applicable forest plan.
  (c) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary concerned may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.
  (d) Project Goals.--To the maximum extent practicable, the Secretary 
concerned shall design a forest management activity under this section 
to meet early successional forest goals in such a manner so as to 
maximize production and regeneration of priority species, as identified 
in the forest plan and consistent with the capability of the activity 
site.
  (e) Acreage Limitations.--A forest management activity covered by the 
categorical exclusion established under subsection (a) may not contain 
treatment units exceeding a total of 6,000 acres.

SEC. 8314. CATEGORICAL EXCLUSION FOR HAZARD TREES.

  (a) Categorical Exclusion Established.--Forest management activities 
carried out by the Secretary concerned to remove hazard trees for 
purposes of the protection of public health or safety, water supply, or 
public infrastructure are a category of actions hereby designated as 
being categorically excluded from the preparation of an environmental 
assessment or an environmental impact statement under section 102 of 
the National Environmental Policy Act of 1969 (42 U.S.C. 4332).
  (b) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary concerned may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.

SEC. 8315. CATEGORICAL EXCLUSION TO IMPROVE OR RESTORE NATIONAL FOREST 
                    SYSTEM LANDS OR PUBLIC LAND OR REDUCE THE RISK OF 
                    WILDFIRE.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--
          (1) Designation.--The category of forest management 
        activities designated under this section for a categorical 
        exclusion are forest management activities described in 
        paragraph (2) that are carried out by the Secretary concerned 
        on National Forest System lands or public lands where the 
        primary purpose of such activity is to improve or restore such 
        lands or reduce the risk of wildfire on those lands.
          (2) Activities authorized.--The following forest management 
        activities may be carried out pursuant to the categorical 
        exclusion established under subsection (a):
                  (A) Removal of juniper trees, medusahead rye, conifer 
                trees, pinon pine trees, cheatgrass, and other noxious 
                or invasive weeds specified on Federal or State noxious 
                weeds lists through late-season livestock grazing, 
                targeted livestock grazing, prescribed burns, and 
                mechanical treatments.
                  (B) Performance of hazardous fuels management.
                  (C) Creation of fuel and fire breaks.
                  (D) Modification of existing fences in order to 
                distribute livestock and help improve wildlife habitat.
                  (E) Stream restoration and erosion control, including 
                the installation of erosion control devices.
                  (F) Construction of new and maintenance of permanent 
                infrastructure, including stock ponds, water 
                catchments, and water spring boxes used to benefit 
                livestock and improve wildlife habitat.
                  (G) Performance of soil treatments, native and non-
                native seeding, and planting of and transplanting 
                sagebrush, grass, forb, shrub, and other species.
                  (H) Use of herbicides, so long as the Secretary 
                concerned determines that the activity is otherwise 
                conducted consistently with agency procedures, 
                including any forest plan applicable to the area 
                covered by the activity.
  (c) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary concerned may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.
  (d) Acreage Limitations.--A forest management activity covered by the 
categorical exclusion established under subsection (a) may not contain 
treatment units exceeding a total of 6,000 acres.
  (e) Definitions.--In this section:
          (1) Hazardous fuels management.--The term ``hazardous fuels 
        management'' means any vegetation management activities that 
        reduce the risk of wildfire.
          (2) Late-season grazing.--The term ``late-season grazing'' 
        means grazing activities that occur after both the invasive 
        species and native perennial species have completed their 
        current-year annual growth cycle until new plant growth begins 
        to appear in the following year.
          (3) Targeted livestock grazing.--The term ``targeted 
        livestock grazing'' means grazing used for purposes of 
        hazardous fuels management.

SEC. 8316. CATEGORICAL EXCLUSION FOR FOREST RESTORATION.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--
          (1) Designation.--The category of forest management 
        activities designated under this section for categorical 
        exclusion are forest management activities described in 
        paragraph (2) that are carried out by the Secretary concerned 
        on National Forest System lands or public lands where the 
        primary purpose of such activity is--
                  (A) to improve forest health and resiliency to 
                disturbances;
                  (B) to reduce hazardous fuels; or
                  (C) to improve wildlife and aquatic habitat.
          (2) Activities authorized.--The following forest management 
        activities may be carried out pursuant the categorical 
        exclusion established under subsection (a):
                  (A) Timber harvests, including commercial and pre-
                commercial timber harvest, salvage harvest, and 
                regeneration harvest.
                  (B) Hazardous fuels reduction.
                  (C) Prescribed burning.
                  (D) Improvement or establishment of wildlife and 
                aquatic habitat.
                  (E) Stream restoration and erosion control.
                  (F) Road and trail decommissioning.
  (c) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary concerned may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.
  (d) Acreage Limitations.--A forest management activity covered by the 
categorical exclusion established under subsection (a) may not contain 
treatment units exceeding a total of 6,000 acres.
  (e) Limitations on Road Building.--
          (1) Permanent roads.--A forest management activity covered by 
        the categorical exclusion established by subsection (a) may 
        include--
                  (A) the construction of permanent roads not to exceed 
                3 miles; and
                  (B) the maintenance and reconstruction of existing 
                permanent roads and trails, including the relocation of 
                segments of existing roads and trails to address 
                resource impacts.
          (2) Temporary roads.--Any temporary road constructed for a 
        forest management activity covered by the categorical exclusion 
        established by subsection (a) shall be decommissioned not later 
        than 3 years after the date on which the project is completed.

SEC. 8317. CATEGORICAL EXCLUSION FOR INFRASTRUCTURE FOREST MANAGEMENT 
                    ACTIVITIES.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--The category of forest management activities designated 
under this section for categorical exclusion are forest management 
activities carried out by the Secretary of Agriculture on National 
Forest System lands where the primary purpose of such activity is--
          (1) constructing, reconstructing, or decommissioning National 
        Forest System roads not exceeding 3 miles;
          (2) adding an existing road to the forest transportation 
        system;
          (3) reclassifying a National Forest System road at a 
        different maintenance level;
          (4) reconstructing, rehabilitating, or decommissioning 
        bridges;
          (5) removing dams; or
          (6) maintaining facilities through the use of pesticides as 
        authorized by applicable Federal and State law and as applied 
        in accordance with label instructions.
  (c) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary of Agriculture may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.

SEC. 8318. CATEGORICAL EXCLUSION FOR DEVELOPED RECREATION SITES.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--
          (1) Designation.--The category of forest management 
        activities designated under this section for a categorical 
        exclusion are forest management activities described in 
        paragraph (2) carried out by the Secretary of Agriculture on 
        National Forest System lands where the primary purpose of such 
        activity is to operate, maintain, modify, reconstruct, or 
        decommission existing developed recreation sites.
          (2) Activities authorized.--The following forest management 
        activities may be carried out pursuant to the categorical 
        exclusion under subsection (a):
                  (A) Constructing, modifying, or reconstructing toilet 
                or shower facilities.
                  (B) Constructing, modifying, or reconstructing 
                fishing piers, wildlife viewing platforms, docks, or 
                other constructed recreation sites or facilities.
                  (C) Constructing, reconstructing, or maintaining, 
                parking areas, National Forest System roads, or 
                National Forest System trails within or connecting to 
                recreation sites, including paving and road and trail 
                rerouting, except that--
                          (i) permanent roads constructed under this 
                        section may not exceed 3 miles; and
                          (ii) temporary roads constructed for projects 
                        covered by this section shall be decommissioned 
                        within 3 years of completion of the project.
                  (D) Modifying or reconstructing existing water or 
                waste disposal systems.
                  (E) Constructing, modifying, or reconstructing single 
                or group use sites.
                  (F) Decommissioning recreation facilities or portions 
                of recreation facilities.
                  (G) Decommissioning National Forest System roads or 
                National Forest System trails not exceeding 3 miles 
                within or connecting to developed recreation sites.
                  (H) Constructing, modifying, or reconstructing boat 
                landings.
                  (I) Reconstructing existing ski lifts.
                  (K) Modifying or reconstructing a recreation lodging 
                rental.
  (c) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary of Agriculture may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.

SEC. 8319. CATEGORICAL EXCLUSION FOR ADMINISTRATIVE SITES.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--The category of forest management activities designated 
under this section for a categorical exclusion are forest management 
activities carried out by the Secretary of Agriculture on National 
Forest System lands where the primary purpose of such activity is to 
construct, reconstruct, maintain, decommission, relocate, or dispose of 
an administrative site.
  (c) Availability of Categorical Exclusion.--On and after the date of 
the enactment of this Act, the Secretary of Agriculture may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.
  (d) Limitations.--
          (1) Permanent roads.--A project covered by the categorical 
        exclusion established by subsection (a) may include--
                  (A) the construction of permanent roads not to exceed 
                3 miles; and
                  (B) the maintenance and reconstruction of existing 
                permanent roads and trails, including the relocation of 
                segments of existing roads and trails to address 
                resource impacts.
          (2) Temporary roads.--Any temporary road constructed for a 
        project covered by the categorical exclusion established by 
        subsection (a) shall be decommissioned not later than 3 years 
        after the date on which the project is completed.
          (3) Pesticides.--Pesticides may only be used to carry out a 
        project covered by the categorical exclusion established by 
        subsection (a) as authorized by applicable Federal and State 
        law and as applied in accordance with label instructions.
  (e) Definition of Administrative Site.--In this section, the term 
``administrative site'' has the meaning given the term in section 
502(1) of the Forest Service Facility Realignment and Enhancement Act 
of 2005 (16 U.S.C. 580d note).

SEC. 8320. CATEGORICAL EXCLUSION FOR SPECIAL USE AUTHORIZATIONS.

  (a) Categorical Exclusion Established.--Forest management activities 
described in subsection (b) are a category of actions hereby designated 
as being categorically excluded from the preparation of an 
environmental assessment or an environmental impact statement under 
section 102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).
  (b) Forest Management Activities Designated for Categorical 
Exclusion.--The category of forest management activities designated 
under this section for a categorical exclusion are forest management 
activities carried out by the Secretary of Agriculture on National 
Forest System lands where the primary purpose of such activity is:
          (1) Issuance of a new special use authorization for an 
        existing or expired special use authorization, without any 
        substantial change in the scope and scale of the authorized use 
        and occupancy when--
                  (A) the issuance is a purely ministerial action to 
                account for administrative changes, such as a change in 
                ownership or expiration of the current authorization; 
                and
                  (B) the applicant or holder is in compliance with the 
                terms and conditions of the existing or expired special 
                use authorization.
          (2) Modification, removal, repair, maintenance, 
        reconstruction, or replacement of a facility or improvement for 
        an existing special use authorization.
          (3) Issuance of a new special use authorization or amendment 
        to an existing special use authorization for activities that 
        will occur on existing roads, trails, facilities, or areas 
        approved for use in a land management plan or other documented 
        decision.
          (4) Approval, modification, or continuation of minor, short-
        term (5 years or less) special uses of National Forest System 
        lands or public lands.
          (5) Issuance of a special use authorization for an existing 
        unauthorized use or occupancy that has not been deemed in 
        trespass where no new ground disturbance is proposed.
          (6) Approval or modification of minor special uses of 
        National Forest System lands or public lands that require less 
        than 20 contiguous acres.
          (7) Approval of vegetative management plans, and vegetation 
        management activities in accordance with an approved vegetation 
        management plan, under a special use authorization for an 
        electric transmission and distribution facility right-of-way.
  (c) Availability of Exclusion.--On and after the date of the 
enactment of this Act, the Secretary of Agriculture may use the 
categorical exclusion established under subsection (a) in accordance 
with this section.
  (d) Document Requirements.--The Secretary of Agriculture shall not be 
required to prepare a project file or decision memorandum to 
categorically exclude a forest management activity described under 
paragraphs (1) through (4) of subsection (b).

SEC. 8321. CLARIFICATION OF EXISTING CATEGORICAL EXCLUSION AUTHORITY 
                    RELATED TO INSECT AND DISEASE INFESTATION.

  Section 603(c)(2)(B) of the Healthy Forests Restoration Act of 2003 
(16 U.S.C. 6591b(c)(2)(B)) is amended by striking ``Fire Regime Groups 
I, II, or III'' and inserting ``Fire Regime I, Fire Regime II, Fire 
Regime III, Fire Regime IV, or Fire Regime V''.

          PART III--MISCELLANEOUS FOREST MANAGEMENT ACTIVITIES

SEC. 8331. GOOD NEIGHBOR AGREEMENTS.

  Section 8206 of the Agricultural Act of 2014 (16 U.S.C. 2113a) is 
amended--
          (1) in subsection (a)--
                  (A) in paragraph (1)(B), by striking ``Secretary or a 
                Governor'' and inserting ``Secretary, Governor, or 
                Indian Tribe'';
                  (B) in paragraph (4) by striking ``Secretary and a 
                Governor'' and inserting ``Secretary and either a 
                Governor or an Indian Tribe'';
                  (C) by redesignating paragraphs (6), (7), and (8) as 
                paragraphs (7), (8), and (9), respectively; and
                  (D) by inserting after paragraph (5) the following 
                new paragraph:
          ``(6) 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. 5304));''; and
          (2) in subsection (b)--
                  (A) in paragraph (1)(A), by inserting ``or an Indian 
                Tribe'' after ``Governor''; and
                  (B) in paragraph (3), by inserting ``or an Indian 
                Tribe'' after ``Governor''.

SEC. 8332. PROMOTING CROSS-BOUNDARY WILDFIRE MITIGATION.

  Section 103 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 
6513) is amended--
          (1) in subsection (d), by adding at the end the following new 
        paragraph:
          ``(3) Cross-boundary considerations.--For any fiscal year for 
        which the amount appropriated to the Secretary for hazardous 
        fuels reduction is in excess of $300,000,000, the Secretary--
                  ``(A) is encouraged to use the excess amounts for 
                hazardous fuels reduction projects that incorporate 
                cross-boundary treatments of landscapes on Federal land 
                and non-Federal land; and
                  ``(B) may use the excess amounts to support 
                authorized hazardous fuels reduction projects on non-
                Federal lands through grants to State Foresters, or 
                equivalent State officials, in accordance with 
                subsection (e) in an amount equal to the greater of--
                          ``(i) 20 percent of the excess amount; and
                          ``(ii) $20,000,000.''; and
          (2) by adding at the end the following new subsection:
  ``(e) Cross-Boundary Fuels Reduction Projects.--
          ``(1) In general.--To the maximum extent practicable, the 
        Secretary shall use the excess funds described in subsection 
        (d)(3) to support hazardous fuels reduction projects that 
        incorporate treatments for hazardous fuels reduction in 
        landscapes across ownership boundaries on Federal, State, 
        county, or Tribal land, private land, and other non-Federal 
        land, particularly in areas identified as priorities in 
        applicable State-wide forest resource assessments or strategies 
        under section 2A(a) of the Cooperative Forestry Assistance Act 
        of 1978 (16 U.S.C. 2101a(a)), as mutually agreed to by the 
        State Forester and the Regional Forester.
          ``(2) Land treatments.--To conduct and fund treatments for 
        projects that include Federal and non-Federal land, the 
        Secretary may--
                  ``(A) use the authorities of the Secretary relating 
                to cooperation and technical and financial assistance, 
                including the good neighbor authority under--
                          ``(i) section 8206 of the Agricultural Act of 
                        2014 (16 U.S.C. 2113a); and
                          ``(ii) section 331 of the Department of the 
                        Interior and Related Agencies Appropriations 
                        Act, 2001 (16 U.S.C. 1011 note; Public Law 106-
                        291); and
                  ``(B) allocate excess funds under subsection (d)(3) 
                for projects carried out pursuant to section 8206 of 
                the Agricultural Act of 2014 (16 U.S.C. 2113a).
          ``(3) Cooperation.--In carrying out this subsection, the 
        State Forester, in consultation with the Secretary (or a 
        designee)--
                  ``(A) shall consult with the owners of State, county, 
                Tribal, and private land and other non-Federal land 
                with respect to hazardous fuels reduction projects; and
                  ``(B) shall not implement any project on non-Federal 
                land without the consent of the owner of the non-
                Federal land.
          ``(4) Existing laws.--Regardless of the individual or entity 
        implementing a project on non-Federal land under this 
        subsection, only the laws and regulations that apply to non-
        Federal land shall be applicable with respect to the 
        project.''.

SEC. 8333. REGULATIONS REGARDING DESIGNATION OF DEAD OR DYING TREES OF 
                    CERTAIN TREE SPECIES ON NATIONAL FOREST SYSTEM 
                    LANDS IN CALIFORNIA AS EXEMPT FROM PROHIBITION ON 
                    EXPORT OF UNPROCESSED TIMBER ORIGINATING FROM 
                    FEDERAL LANDS.

  (a) Issuance of Regulations.--Consistent with the rulemaking 
procedures specified in paragraph (2) of subsection (b) of section 489 
of the Forest Resources Conservation and Shortage Relief Act of 1990 
(16 U.S.C. 620a), the Secretary of Agriculture shall make a 
determination under paragraph (1) of such subsection that unprocessed 
timber derived from dead or dying trees of a covered tree species 
originating on National Forest System lands in the State of California 
are surplus to domestic manufacturing needs and therefore exempt from 
the export prohibition contained in subsection (a) of such section.
  (b) Elimination of Adverse Effects.--In making the determination 
under subsection (a) and in implementing any regulations issued under 
such subsection, the Secretary of Agriculture shall--
          (1) consult with representatives of sawmills in the State of 
        California and other interested persons; and
          (2) make reasonable efforts to avoid adversely impacting the 
        domestic sawmill industry in the State of California.
  (c) Special Contract Provisions.--The Secretary of Agriculture may 
adjust contract provisions for Forest Service contracts in region 5 of 
the National Forest System as the Secretary considers appropriate to 
ensure successful implementation of, and compliance with, the 
regulations issued under subsection (a).
  (d) Relation to Limitations on Timber Substitution.--Section 490 of 
the Forest Resources Conservation and Shortage Relief Act of 1990 (16 
U.S.C. 620b) shall not apply to unprocessed timber designated as 
surplus pursuant to the regulations issued under subsection (a).
  (e) Additional Staff for Implementation.--Using funds otherwise 
available to the Forest Service for management, protection, 
improvement, and utilization of the National Forest System, the 
Secretary of Agriculture may hire additional Forest Service employees 
to implement the regulations issued under subsection (a).
  (f) Duration of Regulations; Periodic Review.--The regulations issued 
under subsection (a) shall remain in effect for a 10-year period 
beginning on the date of the issuance of the regulations, except that 
the continued need for the regulations shall be subject to the periodic 
review required by the second sentence of section 489(b)(2) of the 
Forest Resources Conservation and Shortage Relief Act of 1990 (16 
U.S.C. 620a(b)(2)).
  (g) Definitions.--In this section:
          (1) Covered tree species.--The term ``covered tree species'' 
        means the following pine species:
                  (A) Ponderosa pine (Pinus ponderosa).
                  (B) Sugar pine (Pinus lambertiana).
                  (C) Jeffrey pine (Pinus jefferyi).
                  (D) Lodgepole pine (Pinus contorta).
          (2) Died or dying.--The term ``died or dying'', with respect 
        to a covered tree species, shall be determined in a manner 
        consistent with applicable Forest Service standards.

        Subtitle D--Tribal Forestry Participation and Protection

SEC. 8401. PROTECTION OF TRIBAL FOREST ASSETS THROUGH USE OF 
                    STEWARDSHIP END RESULT CONTRACTING AND OTHER 
                    AUTHORITIES.

  (a) Prompt Consideration of Tribal Requests.--Section 2(b) of the 
Tribal Forest Protection Act of 2004 (25 U.S.C. 3115a(b)) is amended--
          (1) in paragraph (1), by striking ``Not later than 120 days 
        after the date on which an Indian tribe submits to the 
        Secretary'' and inserting ``In response to the submission by an 
        Indian Tribe of''; and
          (2) by adding at the end the following new paragraph:
          ``(4) Time periods for consideration.--
                  ``(A) Initial response.--Not later than 120 days 
                after the date on which the Secretary receives a Tribal 
                request under paragraph (1), the Secretary shall 
                provide an initial response to the Indian Tribe 
                regarding--
                          ``(i) whether the request may meet the 
                        selection criteria described in subsection (c); 
                        and
                          ``(ii) the likelihood of the Secretary 
                        entering into an agreement or contract with the 
                        Indian Tribe under paragraph (2) for activities 
                        described in paragraph (3).
                  ``(B) Notice of denial.--Notice under subsection (d) 
                of the denial of a Tribal request under paragraph (1) 
                shall be provided not later than 1 year after the date 
                on which the Secretary received the request.
                  ``(C) Completion.--Not later than 2 years after the 
                date on which the Secretary receives a Tribal request 
                under paragraph (1), other than a Tribal request denied 
                under subsection (d), the Secretary shall--
                          ``(i) complete all environmental reviews 
                        necessary in connection with the agreement or 
                        contract and proposed activities under the 
                        agreement or contract; and
                          ``(ii) enter into the agreement or contract 
                        with the Indian Tribe under paragraph (2).''.
  (b) Conforming and Technical Amendments.--Section 2 of the Tribal 
Forest Protection Act of 2004 (25 U.S.C. 3115a) is amended--
          (1) in subsections (b)(1) and (f)(1), by striking ``section 
        347 of the Department of the Interior and Related Agencies 
        Appropriations Act, 1999 (16 U.S.C. 2104 note; Public Law 105-
        277) (as amended by section 323 of the Department of the 
        Interior and Related Agencies Appropriations Act, 2003 (117 
        Stat. 275))'' and inserting ``section 604 of the Healthy 
        Forests Restoration Act of 2003 (16 U.S.C. 6591c)''; and
          (2) in subsection (d), by striking ``subsection (b)(1), the 
        Secretary may'' and inserting ``paragraphs (1) and (4)(B) of 
        subsection (b), the Secretary shall''.

SEC. 8402. TRIBAL FOREST MANAGEMENT DEMONSTRATION PROJECT.

  The Secretary of the Interior and the Secretary of Agriculture may 
carry out demonstration projects by which federally recognized Indian 
Tribes or Tribal organizations may contract to perform administrative, 
management, and other functions of programs of the Tribal Forest 
Protection Act of 2004 (25 U.S.C. 3115a et seq.) through contracts 
entered into under the Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 5304 et seq.).

                       Subtitle E--Other Matters

SEC. 8501. CLARIFICATION OF RESEARCH AND DEVELOPMENT PROGRAM FOR WOOD 
                    BUILDING CONSTRUCTION.

  (a) In General.--The Secretary shall conduct performance-driven 
research and development, education, and technical assistance for the 
purpose of facilitating the use of innovative wood products in wood 
building construction in the United States.
  (b) Activities.--In carrying out subsection (a), the Secretary 
shall--
          (1) after receipt of input and guidance from, and 
        collaboration with, the wood products industry, conservation 
        organizations, and institutions of higher education, conduct 
        research and development, education, and technical assistance 
        that meets measurable performance goals for the achievement of 
        the priorities described in subsection (c); and
          (2) after coordination and collaboration with the wood 
        products industry and conservation organizations, make 
        competitive grants to institutions of higher education to 
        conduct research and development, education, and technical 
        assistance that meets measurable performance goals for the 
        achievement of the priorities described in subsection (c).
  (c) Priorities.--The research and development, education, and 
technical assistance conducted under subsection (a) shall give priority 
to--
          (1) ways to improve the commercialization of innovative wood 
        products;
          (2) analyzing the safety of tall wood building materials;
          (3) calculations by the Secretary of the life cycle 
        environmental footprint, from extraction of raw materials 
        through the manufacturing process, of tall wood building 
        construction;
          (4) analyzing methods to reduce the life cycle environmental 
        footprint of tall wood building construction;
          (5) analyzing the potential implications of the use of 
        innovative wood products in building construction on wildlife; 
        and
          (6) one or more other research areas identified by the 
        Secretary, in consultation with conservation organizations, 
        institutions of higher education, and the wood products 
        industry.
  (d) Timeframe.--To the maximum extent practicable, the measurable 
performance goals for the research and development, education, and 
technical assistance conducted under subsection (a) shall be achievable 
within a 5-year period.
  (e) Definitions.--In this section:
          (1) Innovative wood product.--The term ``innovative wood 
        product'' means a type of building component or system that 
        uses large panelized wood construction, including mass timber.
          (2) Mass timber.--The term ``mass timber'' includes--
                  (A) cross-laminated timber;
                  (B) nail-laminated timber;
                  (C) glue-laminated timber;
                  (D) laminated strand lumber; and
                  (E) laminated veneer lumber.
          (3) Secretary.--The term ``Secretary'' means the Secretary of 
        Agriculture, acting through the Research and Development deputy 
        area and the State and Private Forestry deputy area of the 
        Forest Service.
          (4) Tall wood building.--The term ``tall wood building'' 
        means a building designed to be--
                  (A) constructed with mass timber; and
                  (B) more than 85 feet in height.

SEC. 8502. UTILITY INFRASTRUCTURE RIGHTS-OF-WAY VEGETATION MANAGEMENT 
                    PILOT PROGRAM.

  (a) Pilot Program Required.--To encourage owners or operators of 
rights-of-way on National Forest System land to partner with the Forest 
Service to voluntarily perform vegetation management on a proactive 
basis to better protect utility infrastructure from potential passing 
wildfires, the Secretary shall conduct a limited, voluntary pilot 
program, in the manner described in this section, to permit vegetation 
management projects on National Forest System land adjacent to or near 
such rights-of-way.
  (b) Eligible Participants.--A participant in the pilot program must 
have a right-of-way on National Forest System land. In selecting 
participants, the Secretary shall give priority to holders of a right-
of-way who have worked with Forest Service fire scientists and used 
technologies, such as Light Detection and Ranging surveys, to improve 
utility infrastructure protection prescriptions.
  (c) Project Elements.--A vegetation management project under the 
pilot program involves limited and selective vegetation management 
activities, which--
          (1) shall create the least amount of disturbance reasonably 
        necessary to protect utility infrastructure from passing 
        wildfires based on applicable models, including Forest Service 
        fuel models;
          (2) may include thinning, fuel reduction, creation and 
        treatment of shaded fuel breaks, and other measures as 
        appropriate;
          (3) shall only take place adjacent to the participant's 
        right-of-way or within 75 feet of the participant's right-of-
        way;
          (4) shall not take place in any designated wilderness area, 
        wilderness study area, or inventoried roadless area; and
          (5) shall be subject to approval by the Forest Service in 
        accordance with this section.
  (d) Project Costs.--A participant in the pilot program shall be 
responsible for all costs, as determined by the Secretary, incurred in 
participating in the pilot program, unless the Secretary determines 
that it is in the public interest for the Forest Service to contribute 
funds for a vegetation management project conducted under the pilot 
program.
  (e) Liability.--
          (1) In general.--Participation in the pilot program does not 
        affect any existing legal obligations or liability standards 
        that--
                  (A) arise under the right-of-way for activities in 
                the right-of-way; or
                  (B) apply to fires resulting from causes other than 
                activities conducted pursuant to an approved vegetation 
                management project.
          (2) Project work.--A participant shall not be liable to the 
        United States for damage proximately caused by activities 
        conducted pursuant to an approved vegetation management project 
        unless--
                  (A) such activities were carried out in a manner that 
                was grossly negligent or that violated criminal law; or
                  (B) the damage was caused by the failure of the 
                participant to comply with specific safety requirements 
                expressly imposed by the Forest Service as a condition 
                of participating in the pilot program.
  (f) Implementation.--The Secretary shall utilize existing laws and 
regulations in the conduct of the pilot program and, in order to 
implement the pilot program in an efficient and expeditious manner, may 
waive or modify specific provisions of the Federal Acquisition 
Regulation, including modifications to allow for formation of contracts 
or agreements on a noncompetitive basis.
  (g) Treatment of Proceeds.--Notwithstanding any other provision of 
law, the Secretary may--
          (1) retain any funds provided to the Forest Service by a 
        participant in the pilot program; and
          (2) use such funds, in such amounts as may be appropriated, 
        in the conduct of the pilot program.
  (h) Definitions.--In this section:
          (1) National forest system land.--The term ``National Forest 
        System land'' means land within the National Forest System, as 
        defined in section 11(a) of the Forest and Rangeland Renewable 
        Resources Planning Act of 1974 (16 U.S.C. 1609(a)) exclusive of 
        the National Grasslands and land utilization projects 
        designated as National Grasslands administered pursuant to the 
        Act of July 22, 1937 (7 U.S.C. 1010-1012).
          (2) Passing wildfire.--The term ``passing wildfire'' means a 
        wildfire that originates outside the right-of-way.
          (3) Right-of-way.--The term ``right-of-way'' means a special 
        use authorization issued by the Forest Service allowing the 
        placement of utility infrastructure.
          (4) Utility infrastructure.--The term ``utility 
        infrastructure'' means electric transmission lines, natural gas 
        infrastructure, or related structures.
  (i) Duration.--The authority to conduct the pilot program, and any 
vegetation management project under the pilot program, expires December 
21, 2027.
  (j) Report to Congress.--Not later than December 31, 2019, and every 
two years thereafter, the Secretary shall issue a report to the 
Committee on Energy and Natural Resources of the Senate, the Committee 
on Agriculture, Nutrition, and Forestry of the Senate, the Committee on 
Natural Resources of the House of Representatives, and the Committee on 
Agriculture of the House of Representatives on the status of the 
program and any projects established under this section.

SEC. 8503. REVISION OF EXTRAORDINARY CIRCUMSTANCES REGULATIONS.

  (a) Determinations of Extraordinary Circumstances.--In determining 
whether extraordinary circumstances related to a proposed action 
preclude use of a categorical exclusion, the Forest Service shall not 
be required to--
          (1) consider whether a proposed action is within a potential 
        wilderness area;
          (2) consider whether a proposed action affects a Forest 
        Service sensitive species;
          (3) conduct an analysis under section 220.4(f) of title 36, 
        Code of Federal Regulations, of the proposed action's 
        cumulative impact (as the term is defined in section 1508.7 of 
        title 40, Code of Federal Regulations);
          (4) consider a determination under section 7 of the 
        Endangered Species Act of 1973 (16 U.S.C. 1536) that a proposed 
        action may affect, but is not likely to adversely affect, 
        threatened, endangered, or candidate species, or designated 
        critical habitats; or
          (5) consider a determination under section 7 of the 
        Endangered Species Act of 1973 (16 U.S.C. 1536) that a proposed 
        action may affect, and is likely to adversely affect 
        threatened, endangered, candidate species, or designated 
        critical habitat if the agency is in compliance with the 
        applicable provisions of the biological opinion.
  (b) Proposed Rulemaking.--Not later than 60 days after the date of 
the enactment of this Act, the Secretary of Agriculture shall publish a 
notice of proposed rulemaking to revise section 220.6(b) of title 36, 
Code of Federal Regulations to conform such section with subsection 
(a).
  (c) Additional Revision.--As part of the proposed rulemaking 
described in subsection (b), the Secretary of Agriculture shall revise 
section 220.5(a)(2) of title 36, Code of Federal Regulations, to 
provide that the Forest Service shall not be required to consider 
proposals that would substantially alter a potential wilderness area as 
a class of actions normally requiring environmental impact statements.
  (d) Additional Actions.--Not later than 120 days after the date of 
the enactment of this Act, the Secretary of Agriculture shall issue 
final regulations to carry out the revisions described in subsections 
(b) and (c).

SEC. 8504. NO LOSS OF FUNDS FOR WILDFIRE SUPPRESSION.

  Nothing in this title or the amendments made by this title may be 
construed to limit from the availability of funds or other resources 
for wildfire suppression.

SEC. 8505. TECHNICAL CORRECTIONS.

  (a) Wildfire Suppression Funding and Forest Management Activities 
Act.--
          (1) In general.-- The Wildfire Suppression Funding and Forest 
        Management Activities Act (Public Law 115-141) is amended--
                  (A) in section 102(a)(2), by striking ``the date of 
                enactment'' and inserting ``the date of the 
                enactment''; and
                  (B) in section 401(a)(1), by inserting ``of 2000'' 
                after ``Self-Determination Act''.
          (2) Effective date.--The amendments made by paragraph (1) 
        shall take effect as if enacted as part of the Wildfire 
        Suppression Funding and Forest Management Activities Act 
        (Public Law 115-141).
  (b) Agricultural Act of 2014.--Section 8206(a) of the Agricultural 
Act of 2014 (16 U.S.C. 2113a(a)) is amended--
          (1) in paragraph (3)(B)(i)(II), by striking ``Good Neighbor 
        Authority Improvement Act'' and inserting ``Wildfire 
        Suppression Funding and Forest Management Activities Act''; and
          (2) in paragraph (7), as redesignated by section 8331, by 
        striking ``Good Neighbor Authority Improvement Act'' and 
        inserting ``Wildfire Suppression Funding and Forest Management 
        Activities Act''.

                         TITLE IX--HORTICULTURE

           Subtitle A--Horticulture Marketing and Information

SEC. 9001. SPECIALTY CROPS MARKET NEWS ALLOCATION.

  Section 10107(b) of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 1622b(b)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 9002. FARMERS' MARKET AND LOCAL FOOD PROMOTION PROGRAM.

  Section 6(g) of the Farmer-to-Consumer Direct Marketing Act of 1976 
(7 U.S.C. 3005(g)) is amended--
          (1) in paragraph (3), by striking ``this section'' and all 
        that follows through ``2018.'' and inserting the following: 
        ``this section--
                  ``(A) $10,000,000 for each of fiscal years 2014 
                through 2018; and
                  ``(B) $30,000,000 for each of fiscal years 2019 
                through 2023.'';
          (2) by striking paragraph (2); and
          (3) by redesignating paragraphs (3), (4), (5), and (6) as 
        paragraphs (2), (3), (4), and (5), respectively.

SEC. 9003. FOOD SAFETY EDUCATION INITIATIVES.

  Section 10105(c) of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 7655a(c)) is amended by striking ``2018'' and inserting 
``2023''.

SEC. 9004. SPECIALTY CROP BLOCK GRANTS.

  Section 101 of the Specialty Crops Competitiveness Act of 2004 (7 
U.S.C. 1621 note; Public Law 108-465) is amended--
          (1) in subsection (a)--
                  (A) by striking ``2018'' and inserting ``2023''; and
                  (B) by striking ``agriculture solely to enhance the 
                competitiveness of specialty crops.'' and inserting the 
                following: ``agriculture to--
          ``(1) enhance the competitiveness of specialty crops;
          ``(2) leverage efforts to market and promote specialty crops;
          ``(3) assist producers with research and development;
          ``(4) expand availability and access to specialty crops;
          ``(5) address local, regional, and national challenges 
        confronting specialty crop producers; and
          ``(6) other priorities as determined by the Secretary in 
        consultation with relevant State departments of agriculture.'';
          (2) in subsection (k), by adding at the end the following new 
        paragraph:
          ``(3) Evaluation of performance.--The Secretary shall enter 
        into a cooperative agreement with relevant State departments of 
        agriculture and specialty crop industry stakeholders that agree 
        to--
                  ``(A) develop, in consultation with the Secretary, 
                performance measures to be used as the sole means for 
                performing an evaluation under subparagraph (B); and
                  ``(B) periodically evaluate the performance of the 
                program established under this section.''; and
          (3) in subsection (l)(2)(E), by striking ``fiscal year 2018'' 
        and inserting ``each of fiscal years 2018 through 2023''.

SEC. 9005. AMENDMENTS TO THE PLANT VARIETY PROTECTION ACT.

  (a) Asexually Reproduced Defined.--Section 41(a) of the Plant Variety 
Protection Act (7 U.S.C. 2401(a)) is amended--
          (1) by redesignating paragraphs (1), (2), (3), (4), (5), (6), 
        (7), (8), and (9) as paragraphs (2), (3), (4), (5), (6), (7), 
        (8), (9), and (10), respectively; and
          (2) by inserting before paragraph (2), as so redesignated, 
        the following new paragraph:
          ``(1) Asexually reproduced.--The term `asexually reproduced' 
        means produced by a method of plant propagation using 
        vegetative material (other than seed) from a single parent, 
        including cuttings, grafting, tissue culture, and propagation 
        by root division.''.
  (b) Right to Plant Variety Protection; Plant Varieties Protectable.--
Section 42(a) of the Plant Variety Protection Act (7 U.S.C. 2402(a)) is 
amended by striking ``or tuber propagated'' and inserting ``, tuber 
propagated, or asexually reproduced''.
  (c) Infringement of Plant Variety Protection.--Section 111(a)(3) of 
the Plant Variety Protection Act (7 U.S.C. 2541(a)(3)) is amended by 
inserting ``or asexually'' after ``sexually''.
  (d) False Marketing; Cease and Desist Orders.--Section 128(a) of the 
Plant Variety Protection Act (7 U.S.C. 2568(a)) is amended, in the 
matter preceding paragraph (1), by inserting ``or asexually'' after 
``sexually''.

SEC. 9006. ORGANIC PROGRAMS.

  (a) Additional Accreditation Authority.--Section 2115 of the Organic 
Foods Production Act of 1990 (7 U.S.C. 6514) is amended--
          (1) by redesignating subsection (c) as subsection (d); and
          (2) by inserting after subsection (b) the following new 
        subsection:
  ``(c) Satellite Offices and Overseas Operations.--The Secretary--
          ``(1) has oversight and approval authority with respect to a 
        certifying agent accredited under this section who is operating 
        as a certifying agent in a foreign country for the purpose of 
        certifying a farm or handling operation in such foreign country 
        as a certified organic farm or handling operation; and
          ``(2) shall require that each certifying agent that intends 
        to operate in any foreign country as described in paragraph (1) 
        is authorized by the Secretary to so operate on an annual 
        basis.''.
  (b) National List of Approved and Prohibited Substances for Organic 
Farming or Handling Operations.--Section 2119(n) of the Organic Foods 
Production Act of 1990 (7 U.S.C. 6518(n)) is amended to read as 
follows:
  ``(n) Petitions.--
          ``(1) In general.--The Board shall establish procedures under 
        which persons may petition the Board for the purpose of 
        evaluating substances for inclusion on the National List.
          ``(2) Expedited review.--The Secretary shall develop 
        procedures under which the review of a petition referred to in 
        paragraph (1) may be expedited if the petition seeks to include 
        on the National List a postharvest handling substance that is 
        related to food safety or a class of such substances.
          ``(3) Rule of construction.--Nothing in paragraph (2) shall 
        be construed as providing that section 2118(d) does not apply 
        with respect to the inclusion of a substance on the National 
        List pursuant to such paragraph.''.
  (c) Certain Employees Eligible to Serve as National Organics 
Standards Board Members.--Section 2119(b) of the Organic Foods 
Production Act of 1990 (7 U.S.C. 6518(b)) is amended--
          (1) in paragraph (1), by inserting ``, or employees of such 
        individuals'' after ``operation'';
          (2) in paragraph (2), by inserting ``, or employees of such 
        individuals'' after ``operation''; and
          (3) in paragraph (3), by inserting ``, or an employee of such 
        individual'' after ``products''.
  (d) National Organic Standards Board Consultation Requirements.--
Section 2119(l) of the Organic Foods Production Act of 1990 (7 U.S.C. 
6518(l)) is amended--
          (1) in paragraph (2), by striking ``; and'' at the end and 
        inserting a semicolon;
          (2) in paragraph (3)--
                  (A) by striking ``and the evaluation of the technical 
                advisory panel'' and inserting ``, the evaluation of 
                the technical advisory panel, and the determinations of 
                the task force required under paragraph (4)''; and
                  (B) by striking the period at the end and inserting 
                ``; and''; and
          (3) by adding at the end the following new paragraph:
          ``(4) in the case of a substance not included in the National 
        List that the Commissioner of Food and Drugs has determined to 
        be safe for use within the meaning of section 201(s) of the 
        Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321(s)) or the 
        Administrator of the Environmental Protection Agency has 
        determined there is a reasonable certainty that no harm will 
        result from aggregate exposure to the pesticide chemical 
        residue, including all anticipated dietary exposures and all 
        other exposures for which there is reliable information, 
        convene a task force to consult with the Commissioner or 
        Administrator (or the designees thereof), as applicable, to 
        determine if such substance should be included in the National 
        List.''.
  (e) Recordkeeping, Investigation, and Enforcement.--
          (1) Collaborative investigations and enforcement.--Section 
        2120 of the Organic Foods Production Act of 1990 (7 U.S.C. 
        6519) is amended by adding at the end the following new 
        subsection:
  ``(d) Collaborative Investigations and Enforcement.--
          ``(1) Information sharing during active investigation.--In 
        carrying out this title, all parties to an active investigation 
        (including certifying agents, State organic certification 
        programs, and the national organic program) may share 
        confidential business information with Federal and State 
        government officers and employees and certifying agents 
        involved in the investigation as necessary to fully investigate 
        and enforce potential violations of this title.
          ``(2) Access to data documentation systems.--The Secretary 
        shall have access to available data from cross-border 
        documentation systems administered by other Federal agencies, 
        including--
                  ``(A) the Automated Commercial Environment system of 
                U.S. Customs and Border Protection; and
                  ``(B) the Phytosanitary Certificate Issuance and 
                Tracking system of the Animal and Plant Health 
                Inspection Service.
          ``(3) Additional documentation and verification.--The 
        Secretary, acting through the Deputy Administrator of the 
        national organic program under this title, has the authority, 
        and shall grant an accredited certifying agent the authority, 
        to require producers and handlers to provide additional 
        documentation or verification before granting certification 
        under section 2104, in the case of a known area of risk or when 
        there is a specific area of concern, with respect to meeting 
        the national standards for organic production established under 
        section 2105, as determined by the Secretary or the certifying 
        agent.''.
          (2) Modification of regulations on exclusions from 
        certification.--Not later than 1 year after the date of the 
        enactment of this Act, the Secretary of Agriculture shall issue 
        regulations to limit the type of operations that are excluded 
        from certification under section 205.101 of title 7, Code of 
        Federal Regulations (or a successor regulation).
  (f) Reporting Requirement.--Section 2122 of the Organic Foods 
Production Act of 1990 (7 U.S.C. 6521) is amended by adding at the end 
the following new subsection:
  ``(c) Reporting Requirement.--Not later than March 1, 2019, and 
annually thereafter through March 1, 2023, the Secretary shall submit 
to Congress a report describing national organic program activities 
with respect to all domestic and overseas investigations and compliance 
actions taken pursuant to this title during the preceding year.''.
  (g) Authorization of Appropriations for National Organic Program.--
Subsection (b) of section 2123 of the Organic Foods Production Act of 
1990 (7 U.S.C. 6522) is amended to read as follows:
  ``(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) $15,000,000 for fiscal year 2018;
          ``(2) $16,500,000 for fiscal year 2019;
          ``(3) $18,000,000 for fiscal year 2020;
          ``(4) $20,000,000 for fiscal year 2021;
          ``(5) $22,000,000 for fiscal year 2022; and
          ``(6) $24,000,000 for fiscal year 2023.''.
  (h) International Trade Technology Systems and Data Collection.--
Subsection (c) of section 2123 of the Organic Foods Production Act of 
1990 (7 U.S.C. 6522) is amended to read as follows:
  ``(c) Modernization and Improvement of International Trade Technology 
Systems and Data Collection.--
          ``(1) In general.--The Secretary shall modernize 
        international trade tracking and data collection systems of the 
        national organic program.
          ``(2) Activities.--In carrying out paragraph (1), the 
        Secretary shall modernize trade and transaction certificates to 
        ensure full traceability without unduly hindering trade, such 
        as through an electronic trade document exchange system.
          ``(3) Funding.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall make available $5,000,000 for 
        fiscal year 2019 for the purposes of--
                  ``(A) carrying out this subsection; and
                  ``(B) maintaining the database and technology 
                upgrades previously carried out under this subsection, 
                as in effect on the day before the date of the 
                enactment of the Agriculture and Nutrition Act of 2018.
          ``(4) Availability.--The amounts made available under 
        paragraph (3) are in addition to any other funds made available 
        for the purposes specified in such paragraph and shall remain 
        available until expended.''.
  (i) Organic Production and Market Data Initiatives.--Section 7407(d) 
of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
5925c(d)) is amended--
          (1) by striking paragraphs (1) and (2) and inserting the 
        following new paragraph:
          ``(1) Mandatory funding for fiscal year 2019.--Of the funds 
        of the Commodity Credit Corporation, the Secretary shall use to 
        carry out this section $5,000,000 for fiscal year 2019, to 
        remain available until expended.'';
          (2) in paragraph (3)--
                  (A) by striking ``paragraphs (1) and (2)'' and 
                inserting ``paragraph (1)''; and
                  (B) by striking ``2018'' and inserting ``2023''; and
          (3) by redesignating paragraph (3), as so amended, as 
        paragraph (2).

                     Subtitle B--Regulatory Reform

 PART I--STATE LEAD AGENCIES UNDER FEDERAL INSECTICIDE, FUNGICIDE, AND 
                            RODENTICIDE ACT

SEC. 9101. RECOGNITION AND ROLE OF STATE LEAD AGENCIES.

  (a) State Lead Agency Defined.--Section 2(aa) of the Federal 
Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136(aa)) is 
amended--
          (1) by striking ``(aa) State.--The term'' and inserting the 
        following:
  ``(aa) State; State Lead Agency.--
          ``(1) State.--The term''; and
          (2) by adding at the end the following:
          ``(2) State lead agency.--The term `State lead agency' means 
        a statewide department, agency, board, bureau, or other entity 
        in a State that is authorized to regulate, in a manner 
        consistent with section 24(a), the sale or use of any federally 
        registered pesticide or device in such State.''.
  (b) Uniform Regulation of Pesticides.--
          (1) Cooperation with and role of state lead agency.--Section 
        22(b) of the Federal Insecticide, Fungicide, and Rodenticide 
        Act (7 U.S.C. 136t(b)) is amended by inserting before the 
        period at the end the following: ``promulgated by the 
        Administrator or, when authorized pursuant to a cooperative 
        agreement entered into under section 23(a)(1), by a State lead 
        agency for a State''.
          (2) Authority to establish and maintain uniform 
        regulations.--Section 23(a)(1) of the Federal Insecticide, 
        Fungicide, and Rodenticide Act (7 U.S.C. 136u(a)(1)) is amended 
        by inserting after ``enforcement of this Act,'' the following: 
        ``to authorize the State or Indian Tribe to establish and 
        maintain uniform regulation of pesticides within the State or 
        for the Indian Tribe,''.
          (3) Condition on more restrictive regulation.--Section 24(a) 
        of the Federal Insecticide, Fungicide, and Rodenticide Act (7 
        U.S.C. 136v(a)) is amended by striking ``A State may'' and 
        inserting ``A State, but not a political subdivision of a 
        State, may''.
  (c) Role of State Lead Agencies in Promulgation of Regulations.--
Section 25(a)(2) of the Federal Insecticide, Fungicide, and Rodenticide 
Act (7 U.S.C. 136w(a)(2)) is amended--
          (1) in subparagraph (A)--
                  (A) in the first sentence, by inserting ``and each 
                State lead agency'' after ``Agriculture'';
                  (B) by striking the second sentence and inserting the 
                following: ``If the Secretary or any State lead agency 
                comments in writing to the Administrator regarding any 
                such regulation within 30 days after receiving the copy 
                of the regulation, the Administrator shall publish in 
                the Federal Register (with the proposed regulation) all 
                such comments and the response of the Administrator to 
                the comments.''; and
                  (C) in the third sentence, by inserting ``or any 
                State lead agency'' after ``Secretary'';
          (2) in subparagraph (B)--
                  (A) in the first sentence, by inserting ``and each 
                State lead agency'' after ``Agriculture'';
                  (B) by striking the second sentence and inserting the 
                following: ``If the Secretary or any State lead agency 
                comments in writing to the Administrator regarding any 
                such regulation within 15 days after receiving the copy 
                of the regulation, the Administrator shall publish in 
                the Federal Register (with the final regulation) the 
                comments of the Secretary or State lead agency, if 
                requested by the Secretary or State lead agency, and 
                the response of the Administrator to the comments.''; 
                and
                  (C) in the third sentence, by inserting ``or any 
                State lead agency'' after ``Secretary''; and
          (3) in subparagraph (C), by inserting before the period at 
        the end the following: ``, in consultation with the State lead 
        agencies''.

                PART II--PESTICIDE REGISTRATION AND USE

SEC. 9111. REGISTRATION OF PESTICIDES.

  (a) Approval of Registration.--Section 3(c)(5) of the Federal 
Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136a(c)(5)) is 
amended--
          (1) by redesignating subparagraphs (A) through (D) as clauses 
        (i) through (iv), respectively and moving the margins of such 
        clauses (as so redesignated) 2 ems to the right;
          (2) by striking ``registration.--The Administrator'' and 
        inserting the following: ``registration.--
                  ``(A) In general.--The Administrator;'';
          (3) in clause (iii), as so redesignated, by striking ``; 
        and'' at the end and inserting a semicolon;
          (4) in clause (iv), as so redesignated, by striking the 
        period at the end and inserting ``; and'';
          (5) in the matter following clause (iv), as so redesignated, 
        by striking ``The Administrator shall not make any lack'' and 
        all that follows through ``for use of the pesticide in such 
        State.'';
          (6) in subparagraph (A), as amended, by adding at the end the 
        following new clause:
                          ``(v) when used in accordance with widespread 
                        and commonly recognized practice it is not 
                        likely to jeopardize the survival of a 
                        federally listed threatened or endangered 
                        species or directly or indirectly alter, in a 
                        manner that is likely to appreciably diminish 
                        its value, critical habitat for both the 
                        survival and recovery of such species.''; and
          (7) by adding at the end the following new subparagraphs:
                  ``(B) Principles to be applied to certain 
                determinations.--In determining whether the condition 
                specified in subparagraph (A)(v) is met, the 
                Administrator shall take into account the best 
                scientific and commercial information and data 
                available, and shall consider all directions for use 
                and restrictions on use specified by the registration. 
                In making such determination, the Administrator shall 
                use an economical and effective screening process that 
                includes higher-tiered probabilistic ecological risk 
                assessments, as appropriate. Notwithstanding any other 
                provision of law, the Administrator shall not be 
                required to consult or otherwise communicate with the 
                Secretary of the Interior and the Secretary of Commerce 
                except to the extent specified in subparagraphs (C) and 
                (D).
                  ``(C) Species information and data.--
                          ``(i) Request.--Not later than 30 days after 
                        the Administrator begins any determination 
                        under subparagraph (A)(v) with respect to the 
                        registration of a pesticide, the Administrator 
                        shall request that the Secretary of the 
                        Interior and the Secretary of Commerce 
                        transmit, with respect to any federally listed 
                        threatened and endangered species involved in 
                        such determination, the Secretaries' best 
                        available and authoritative information and 
                        data on--
                                  ``(I) the location, life history, 
                                habitat needs, distribution, threats, 
                                population trends and conservation 
                                needs of such species; and
                                  ``(II) relevant physical and 
                                biological features of designated 
                                critical habitat for such species.
                          ``(ii) Transmission of data.--After receiving 
                        a request under clause (i), the Secretary of 
                        the Interior and the Secretary of Commerce 
                        shall transmit the information described in 
                        such clause to the Administrator on a timely 
                        basis, unless the Secretary of the Interior and 
                        the Secretary of Commerce have made such 
                        information available through a web-based 
                        platform that is updated on at least a 
                        quarterly basis.
                          ``(iii) Failure to transmit data.--The 
                        failure of the Secretary of the Interior or the 
                        Secretary of Commerce to provide information to 
                        the Administrator under clause (ii) shall not 
                        constitute grounds for extending any deadline 
                        for action under section 33(f).
                  ``(D) Consultation.--
                          ``(i) In general.--At the request of an 
                        applicant, the Administrator shall request 
                        consultation with the Secretary of the Interior 
                        and the Secretary of Commerce.
                          ``(ii) Requirements.--With respect to a 
                        consultation under this subparagraph, the 
                        Administrator and the Secretary of the Interior 
                        and the Secretary of Commerce shall comply with 
                        subpart D of part 402 of title 50, Code of 
                        Federal Regulations (commonly known as the 
                        Joint Counterpart Endangered Species Act 
                        Section 7 Consultation), or successor 
                        regulations.
                  ``(E) Failure to consult.--
                          ``(i) Not actionable.--Notwithstanding any 
                        other provision of law, beginning on the date 
                        of the enactment of this subparagraph, the 
                        failure of the Administrator to consult with 
                        the Secretary of the Interior and the Secretary 
                        of Commerce, except as provided by this 
                        section, is not actionable in any Federal 
                        court.
                          ``(ii) Remedy.--In any action pending in 
                        Federal court on the date of the enactment of 
                        this subparagraph or any action brought in 
                        Federal court after such date, with respect to 
                        the Administrator's failure to consult with the 
                        Secretary of the Interior and the Secretary of 
                        Commerce, the sole and exclusive remedy for any 
                        such action, other than as otherwise specified 
                        in this Act, shall be scheduling the 
                        determinations required by section 3(c)(5)(E) 
                        for an active ingredient consistent with the 
                        periodic review of registrations established by 
                        this section.
                  ``(F) Essentiality and efficacy.--The Administrator 
                shall not make any lack of essentiality a criterion for 
                denying registration of any pesticide. Where two 
                pesticides meet the requirements of this paragraph, one 
                should not be registered in preference to the other. In 
                considering an application for the registration of a 
                pesticide, the Administrator may waive data 
                requirements pertaining to efficacy, in which event the 
                Administrator may register the pesticide without 
                determining that the pesticide's composition is such as 
                to warrant proposed claims of efficacy. If a pesticide 
                is found to be efficacious by any State under section 
                24(c), a presumption is established that the 
                Administrator shall waive data requirements pertaining 
                to efficacy for use of the pesticide in such State.''.
  (b) Registration Under Special Circumstances.--Section 3(c)(7) of the 
Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 
136a(c)(7)) is amended--
          (1) in subparagraph (A)--
                  (A) by inserting ``and when used in accordance with 
                widespread and commonly recognized practice, it is not 
                likely to jeopardize the survival of a federally listed 
                threatened or endangered species or appreciably 
                diminish the value of critical habitat for both the 
                survival and recovery of the listed species,'' after 
                ``or differ only in ways that would not significantly 
                increase the risk of unreasonable adverse effects on 
                the environment,''; and
                  (B) by inserting ``and it is not likely to jeopardize 
                the survival of a federally listed threatened or 
                endangered species or appreciably diminish the value of 
                critical habitat for both the survival and recovery of 
                the listed species'' before ``. An applicant seeking 
                conditional registration''; and
          (2) in subparagraph (B), by inserting ``and it is not likely 
        to jeopardize the survival of a federally listed threatened or 
        endangered species or directly or indirectly appreciably 
        diminish the value of critical habitat for both the survival 
        and recovery of the listed species'' before ``. Notwithstanding 
        the foregoing provisions''.
  (c) Registration Review.--Section 3(g)(1)(A) of the Federal 
Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136a(g)(1)(A)) is 
amended by adding at the end the following new clause:
                  ``(vi) Ensuring protection of species and habitat.--
                The Administrator shall complete the determination 
                required under subsection (c)(5)(A)(v) for an active 
                ingredient consistent with the periodic review of 
                registrations under clauses (ii) and (iii) in 
                accordance with the following schedule:
                          ``(I) With respect to any active ingredient 
                        first registered on or before October 1, 2007, 
                        not later than October 1, 2026.
                          ``(II) With respect to any active ingredient 
                        first registered between October 1, 2007, and 
                        the day before the date of the enactment of 
                        this clause, not later than October 1, 2033.
                          ``(III) With respect to any active ingredient 
                        first registered on or after the date of the 
                        enactment of this clause, not later than 48 
                        months after the effective date of 
                        registration.''.

SEC. 9112. EXPERIMENTAL USE PERMITS.

  Section 5(a) of the Federal Insecticide, Fungicide, and Rodenticide 
Act (7 U.S.C. 136c(a)) is amended by inserting ``and that the issuance 
of such a permit is not likely to jeopardize the survival of a 
federally listed threatened or endangered species or diminish the value 
of critical habitat for both the survival and recovery of the listed 
species'' after ``section 3 of this Act''.

SEC. 9113. ADMINISTRATIVE REVIEW; SUSPENSION.

  Section 6(b) of the Federal Insecticide, Fungicide, and Rodenticide 
Act (7 U.S.C. 136d(b)) is amended by inserting ``or does not meet the 
criteria specified in section 3(c)(5)(A)(v)'' after ``adverse effects 
on the environment''.

SEC. 9114. UNLAWFUL ACTS.

  Section 12 of the Federal Insecticide, Fungicide, and Rodenticide Act 
(7 U.S.C. 136j) is amended by adding at the end the following new 
subsection:
  ``(c) Lawful Use of Pesticide Resulting in Incidental Taking of 
Certain Species.--If the Administrator determines, with respect to a 
pesticide that is registered under this Act, that the pesticide meets 
the criteria specified in section 3(c)(5)(A)(v), any taking of a 
federally listed threatened or endangered species that is incidental to 
an otherwise lawful use of such pesticide pursuant to this Act shall 
not be considered unlawful under--
          ``(1) section 4(d) of the Endangered Species Act of 1973 (16 
        U.S.C. 1533(d)); or
          ``(2) section 9(a)(1)(B) of the Endangered Species Act of 
        1973 (16 U.S.C. 1538(a)(1)(B)).''.

SEC. 9115. AUTHORITY OF STATES.

  Section 24(c) of the Federal Insecticide, Fungicide, and Rodenticide 
Act (7 U.S.C. 136v(c)) is amended--
          (1) in paragraph (2), in the second sentence, by inserting 
        ``and the State registration is not likely to jeopardize the 
        survival of a federally listed threatened or endangered species 
        or directly or indirectly alter in a manner that is likely to 
        appreciably diminish the value of critical habitat for both the 
        survival and recovery of the listed species'' before the period 
        at the end; and
          (2) by striking paragraph (4).

SEC. 9116. REGULATIONS.

  Not later than 180 days after the date of the enactment of this Act, 
the Administrator of the Environmental Protection Agency shall publish, 
and revise thereafter as appropriate, a work plan and processes for 
completing the determinations required by clause (v) of section 
3(c)(5)(A) of the Federal Insecticide, Fungicide, and Rodenticide Act 
(7 U.S.C. 136a(c)(5)(A)), as added by section 9111(a), and implementing 
and enforcing standards of registration consistent with such clause and 
consistent with registration reviews and other periodic reviews.

SEC. 9117. USE OF AUTHORIZED PESTICIDES.

  Section 3(f) of the Federal Insecticide, Fungicide, and Rodenticide 
Act (7 U.S.C. 136a(f)) is amended by adding at the end the following:
          ``(5) Use of authorized pesticides.--Except as provided in 
        section 402(s) of the Federal Water Pollution Control Act, the 
        Administrator or a State may not require a permit under such 
        Act for a discharge from a point source into navigable waters 
        of a pesticide authorized for sale, distribution, or use under 
        this Act, or the residue of such a pesticide, resulting from 
        the application of such pesticide.''.

SEC. 9118. DISCHARGES OF PESTICIDES.

  Section 402 of the Federal Water Pollution Control Act (33 U.S.C. 
1342) is amended by adding at the end the following:
  ``(s) Discharges of Pesticides.--
          ``(1) No permit requirement.--Except as provided in paragraph 
        (2), a permit shall not be required by the Administrator or a 
        State under this Act for a discharge from a point source into 
        navigable waters of a pesticide authorized for sale, 
        distribution, or use under the Federal Insecticide, Fungicide, 
        and Rodenticide Act, or the residue of such a pesticide, 
        resulting from the application of such pesticide.
          ``(2) Exceptions.--Paragraph (1) shall not apply to the 
        following discharges of a pesticide or pesticide residue:
                  ``(A) A discharge resulting from the application of a 
                pesticide in violation of a provision of the Federal 
                Insecticide, Fungicide, and Rodenticide Act that is 
                relevant to protecting water quality, if--
                          ``(i) the discharge would not have occurred 
                        but for the violation; or
                          ``(ii) the amount of pesticide or pesticide 
                        residue in the discharge is greater than would 
                        have occurred without the violation.
                  ``(B) Stormwater discharges subject to regulation 
                under subsection (p).
                  ``(C) The following discharges subject to regulation 
                under this section:
                          ``(i) Manufacturing or industrial effluent.
                          ``(ii) Treatment works effluent.
                          ``(iii) Discharges incidental to the normal 
                        operation of a vessel, including a discharge 
                        resulting from ballasting operations or vessel 
                        biofouling prevention.''.

SEC. 9119. ENACTMENT OF PESTICIDE REGISTRATION IMPROVEMENT ENHANCEMENT 
                    ACT OF 2017.

  H.R. 1029 of the 115th Congress, entitled the ``Pesticide 
Registration Improvement Enhancement Act of 2017'', as passed by the 
House of Representatives on March 20, 2017, is hereby enacted into law.

            PART III--AMENDMENTS TO THE PLANT PROTECTION ACT

SEC. 9121. METHYL BROMIDE.

  Section 419 of the Plant Protection Act (7 U.S.C. 7719) is amended to 
read as follows:

``SEC. 419. METHYL BROMIDE.

  ``(a) Authorization.--
          ``(1) In general.--Subject to paragraphs (2) and (3), a 
        State, local, or Tribal authority may authorize the use of 
        methyl bromide for a qualified use if the authority determines 
        the use is required to respond to an emergency event. The 
        Secretary may authorize such a use if the Secretary determines 
        such a use is required to respond to an emergency event.
          ``(2) Notification.--Not later than 5 days after the date on 
        which a State, local, or Tribal authority makes the 
        determination described in paragraph (1), the State, local, or 
        Tribal authority intending to authorize the use of methyl 
        bromide for a qualified use shall submit to the Secretary a 
        notification that contains the information described in 
        subsection (b).
          ``(3) Objection.--A State, local, or Tribal authority may not 
        authorize the use of methyl bromide under paragraph (1) if the 
        Secretary objects to such use under subsection (c) within the 
        5-day period specified in such subsection.
  ``(b) Notification Contents.--A notification submitted under 
subsection (a)(2) by a State, local, or Tribal authority shall 
contain--
          ``(1) a certification that the State, local, or Tribal 
        authority requires the use of methyl bromide to respond to an 
        emergency event;
          ``(2) a description of the emergency event and the economic 
        loss that would result from such emergency event;
          ``(3) the identity and contact information for the 
        responsible individual of the authority; and
          ``(4) with respect to the qualified use of methyl bromide 
        that is the subject of the notification--
                  ``(A) the specific location in which the methyl 
                bromide is to be used and the total acreage of such 
                location;
                  ``(B) the identity of the pest or pests to be 
                controlled by such use;
                  ``(C) the total volume of methyl bromide to be used; 
                and
                  ``(D) the anticipated date of such use.
  ``(c) Objection.--
          ``(1) In general.--The Secretary, not later than 5 days after 
        the receipt of a notification submitted under subsection 
        (a)(2), may object to the authorization of the use of methyl 
        bromide under such subsection by a State, local, or Tribal 
        authority by sending the State, local, or Tribal authority a 
        notification in writing of such objection that--
                  ``(A) states the reasons for such objection; and
                  ``(B) specifies any additional information that the 
                Secretary would require to withdraw the objection.
          ``(2) Reasons for objection.--The Secretary may object to an 
        authorization described in paragraph (1) if the Secretary 
        determines that--
                  ``(A) the notification submitted under subsection 
                (a)(2) does not--
                          ``(i) contain all of the information 
                        specified in paragraphs (1) through (4) of 
                        subsection (b); or
                          ``(ii) demonstrate the existence of an 
                        emergency event; or
                  ``(B) the qualified use specified in the notification 
                does not comply with the limitations specified in 
                subsection (e).
          ``(3) Withdrawal of objection.--The Secretary shall withdraw 
        an objection under this subsection if--
                  ``(A) not later than 14 days after the date on which 
                the Secretary sends the notification under paragraph 
                (1) to the State, local, or Tribal authority involved, 
                the State, local, or Tribal authority submits to the 
                Secretary the additional information specified in such 
                notification; and
                  ``(B) such additional information is submitted to the 
                satisfaction of the Secretary.
          ``(4) Effect of withdrawal.--Upon the issuance of a 
        withdrawal under paragraph (3), the State, local, or Tribal 
        authority involved may authorize the use of methyl bromide for 
        the qualified use specified in the notification submitted under 
        subsection (a)(2).
  ``(d) Use for Emergency Events Consistent With FIFRA.--The 
production, distribution, sale, shipment, application, or use of a 
pesticide product containing methyl bromide in accordance with an 
authorization for a use under subsection (a) shall be deemed an 
authorized production, distribution, sale, shipment, application, or 
use of such product under the Federal Insecticide, Fungicide, and 
Rodenticide Act, regardless of whether the intended use is registered 
and included in the label approved for the product by the Administrator 
of the Environmental Protection Agency under such Act.
  ``(e) Limitations on Use.--
          ``(1) Limitations on use per emergency event.--The amount of 
        methyl bromide that may be used per emergency event at a 
        specific location shall not exceed 20 metric tons.
          ``(2) Limits on aggregate amount.--The aggregate amount of 
        methyl bromide allowed pursuant to this section for use in the 
        United States in a calendar year shall not exceed the total 
        amount authorized by the Parties to the Montreal Protocol 
        pursuant to the Montreal Protocol process for critical uses in 
        the United States in calendar year 2011.
  ``(f) Ensuring Adequate Supply of Methyl Bromide.--Notwithstanding 
any other provision of law, it shall not be unlawful for any person or 
entity to produce or import methyl bromide, or otherwise supply methyl 
bromide from inventories (produced or imported pursuant to the Clean 
Air Act for other purposes) in response to an emergency event in 
accordance with subsection (a).
  ``(g) Exclusive Authority of the Secretary.--Nothing in this section 
shall be construed to alter or modify the authority of the Secretary to 
use methyl bromide for quarantine and pre-shipment, without limitation, 
under the Clean Air Act.
  ``(h) Definitions.--
          ``(1) Emergency event.--The term `emergency event' means a 
        situation--
                  ``(A) that occurs at a location on which a plant or 
                commodity is grown or produced or a facility providing 
                for the storage of, or other services with respect to, 
                a plant or commodity;
                  ``(B) for which the lack of availability of methyl 
                bromide for a particular use would result in 
                significant economic loss to the owner, lessee, or 
                operator of such a location or facility or the owner, 
                grower, or purchaser of such a plant or commodity; and
                  ``(C) that, in light of the specific agricultural, 
                meteorological, or other conditions presented, requires 
                the use of methyl bromide to control a pest or disease 
                in such location or facility because there are no 
                technically or economically feasible alternatives to 
                methyl bromide easily accessible by an entity referred 
                to in subparagraph (B) at the time and location of the 
                event that--
                          ``(i) are registered under the Federal 
                        Insecticide, Fungicide, and Rodenticide Act (7 
                        U.S.C. 136 et seq.) for the intended use or 
                        pest to be so controlled; and
                          ``(ii) would adequately control the pest or 
                        disease presented at such location or facility.
          ``(2) Pest.--The term `pest' has the meaning given such term 
        in section 2 of the Federal Insecticide, Fungicide, and 
        Rodenticide Act (7 U.S.C. 136).
          ``(3) Qualified use.--The term `qualified use' means, with 
        respect to methyl bromide, a methyl bromide treatment or 
        application in an amount not to exceed the limitations 
        specified in subsection (e) in response to an emergency 
        event.''.

                   PART IV--AMENDMENTS TO OTHER LAWS

SEC. 9131. DEFINITION OF RETAIL FACILITIES.

  Not later than 180 days of the date of enactment of this Act, the 
Secretary of Labor shall revise the process safety management of highly 
hazardous chemicals standard under section 1910.119 of title 29, Code 
of Federal Regulations, promulgated pursuant to section 6 of the 
Occupational Safety and Health Act of 1970 (29 U.S.C. 655), to provide 
that the definition of the term ``retail facility'', when used with 
respect to a facility that provides direct sales of highly hazardous 
chemicals to end users or consumers (including farmers or ranchers), 
means a facility that is exempt from such standard because such 
facility has obtained more than half of its income during the most 
recent 12-month period from such direct sales.

                       Subtitle C--Other Matters

SEC. 9201. REPORT ON REGULATION OF PLANT BIOSTIMULANTS.

  (a) Report.--Not later than 1 year after the date of the enactment of 
this Act, the Secretary shall submit a report to the President and 
Congress that identifies potential regulatory and legislative reforms 
to ensure the expeditious and appropriate review, approval, uniform 
national labeling, and availability of plant biostimulant products to 
agricultural producers.
  (b) Consultation.--The Secretary of Agriculture shall prepare the 
report required by subsection (a) in consultation with the 
Administrator of the Environmental Protection Agency, the several 
States, industry stakeholders, and such other stakeholders as the 
Secretary determines necessary.
  (c) Plant Biostimulant Defined.--In this section, the term ``plant 
biostimulant'' means a substance or micro-organism that, when applied 
to seeds, plants, or the rhizosphere, stimulates natural processes to 
enhance or benefit nutrient uptake, nutrient efficiency, tolerance to 
abiotic stress, or crop quality and yield.

SEC. 9202. PECAN MARKETING ORDERS.

  Section 8e(a) of the Agricultural Adjustment Act, reenacted with 
amendments by the Agricultural Marketing Agreement Act of 1937 (7 
U.S.C. 608e-1(a)), is amended in the first sentence, by inserting 
``pecans,'' after ``walnuts,''.

SEC. 9203. REPORT ON HONEY AND MAPLE SYRUP.

  Not later than 60 days after the date of the enactment of this Act, 
the Secretary of Agriculture 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 examining 
the effect of the final rule entitled ``Food Labeling: Revision of the 
Nutrition and Supplement Facts Labels'', published in the Federal 
Register by the Department of Agriculture on May 27, 2016 (81 Fed. Reg. 
33742), (providing for updates to the nutrition facts panel on the 
labeling of packaged food) has on consumer perception regarding the 
``added sugar'' statement required to be included on such panel by such 
final rule with respect to packaged food in which no sugar is added 
during processing, including pure honey and maple syrup.

                        TITLE X--CROP INSURANCE

SEC. 10001. TREATMENT OF FORAGE AND GRAZING.

  (a) Availability of Catastrophic Risk Protection for Crops and 
Grasses Used for Grazing.--Section 508(b)(1) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(b)(1)) is amended--
          (1) by striking ``(A) In general.--Except as provided in 
        subparagraph (B), the'' and inserting ``The''; and
          (2) by striking subparagraph (B).
  (b) Limitation on Multiple Benefits for Same Loss.--Section 508(n)(2) 
of the Federal Crop Insurance Act (7 U.S.C. 1508(n)(2)) is amended by 
inserting before the period the following: ``or to coverage described 
in section 508D''.
  (c) Coverage for Forage and Grazing.--The Federal Crop Insurance Act 
is amended by inserting after section 508C (7 U.S.C. 1508C) the 
following new section:

``SEC. 508D. COVERAGE FOR FORAGE AND GRAZING.

  ``Notwithstanding section 508A, and in addition to any other 
available coverage, for crops that can be both grazed and mechanically 
harvested on the same acres during the same growing season, producers 
shall be allowed to purchase, and be independently indemnified on, 
separate policies for each intended use, as determined by the 
Corporation.''.

SEC. 10002. ADMINISTRATIVE BASIC FEE.

  Section 508(b)(5)(A) of the Federal Crop Insurance Act (7 U.S.C. 
1508(b)(5)(A)) is amended by striking ``$300'' and inserting ``$500''.

SEC. 10003. PREVENTION OF DUPLICATIVE COVERAGE.

  (a) In General.--Section 508(c)(1) of the Federal Crop Insurance Act 
(7 U.S.C. 1508(c)(1)) is amended by adding at the end the following new 
subparagraph:
                  ``(C) Ineligible crops and acres.--Crops for which 
                the producer has elected under section 1117 of the 
                Agriculture and Nutrition Act of 2018 to receive 
                agriculture risk coverage and acres that are enrolled 
                in the stacked income protection plan under section 
                508B shall not be eligible for--
                          ``(i) coverage based on an area yield and 
                        loss basis under paragraph (3)(A)(ii); or
                          ``(ii) supplemental coverage under paragraph 
                        (4)(C).''.
  (b) Conforming Amendments.--Section 508(c)(4)(C) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(c)(4)(C)) is amended--
          (1) by striking clause (iv); and
          (2) by redesignating clause (v) as clause (iv).

SEC. 10004. REPEAL OF UNUSED AUTHORITY.

  (a) In General.--Section 508(d) of the Federal Crop Insurance Act (7 
U.S.C. 1508(d)) is amended--
          (1) by striking paragraph (3); and
          (2) by redesignating paragraph (4) as paragraph (3).
  (b) Conforming Amendments.--Section 508(a)(9)(B) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(a)(9)(B)) is amended--
          (1) in clause (i), by inserting ``or'' after the semicolon;
          (2) by striking clause (ii); and
          (3) by redesignating clause (iii) as clause (ii).

SEC. 10005. CONTINUED AUTHORITY.

  Section 508(g) of the Federal Crop Insurance Act (7 U.S.C. 1508(g)) 
is amended by adding at the end the following new paragraph:
          ``(6) Continued authority.--
                  ``(A) In general.--The Corporation shall establish--
                          ``(i) underwriting rules that limit the 
                        decrease in the actual production history of a 
                        producer, at the election of the producer, to 
                        not more than 10 percent of the actual 
                        production history of the previous crop year 
                        provided that the production decline was the 
                        result of drought, flood, natural disaster, or 
                        other insurable loss (as determined by the 
                        Corporation); and
                          ``(ii) actuarially sound premiums to cover 
                        additional risk.
                  ``(B) Other authority.--The authority provided under 
                subparagraph (A) is in addition to any other authority 
                that adjusts the actual production history of the 
                producer under this Act.
                  ``(C) Effect.--Nothing in this paragraph shall be 
                construed to require a change in the carrying out of 
                any provision of this Act as the Act was carried out 
                for the 2018 reinsurance year.''.

SEC. 10006. PROGRAM ADMINISTRATION.

  Section 516(b)(2)(C)(i) of the Federal Crop Insurance Act (7 U.S.C. 
1516(b)(2)(C)(i)) is amended by striking ``$9,000,000'' and inserting 
``$7,000,000''.

SEC. 10007. MAINTENANCE OF POLICIES.

  (a) Section 522(b) of the Federal Crop Insurance Act (7 U.S.C. 
1522(b)) is amended--
          (1) in paragraph (1), by amending subparagraph (B) to read as 
        follows:
                  ``(B) Reimbursement.--
                          ``(i) In general.--An applicant who submits a 
                        policy under section 508(h) shall be eligible 
                        for the reimbursement of reasonable and actual 
                        research and development costs directly related 
                        to the policy if the policy is approved by the 
                        Board for sale to producers.
                          ``(ii) Reasonable costs.--For the purpose of 
                        reimbursing research and development and 
                        maintenance costs under this section, costs of 
                        the applicant shall be considered reasonable 
                        and actual costs if the costs are based on--
                                  ``(I) wage rates equal to 2 times the 
                                hourly wage rate plus benefits, as 
                                provided by the Bureau of Labor 
                                Statistics for the year in which such 
                                costs are incurred, calculated using 
                                the formula applied to an applicant by 
                                the Corporation in reviewing proposed 
                                project budgets under this section on 
                                October 1, 2016; or
                                  ``(II) actual documented costs 
                                incurred by the applicant.''; and
          (2) in paragraph (4)--
                  (A) in subparagraph (C), by striking ``approved 
                insurance provider'' and inserting ``applicant''; and
                  (B) in subparagraph (D)--
                          (i) in clause (i), by striking ``determined 
                        by the approved insurance provider'' and 
                        inserting ``determined by the applicant'';
                          (ii) by striking clause (ii) and inserting 
                        the following new clauses:
                          ``(ii) Approval.--Subject to clause (iii), 
                        the Board shall approve the amount of a fee 
                        determined under clause (i) unless the Board 
                        determines, based on substantial evidence in 
                        the record, that the amount of the fee 
                        unnecessarily inhibits the use of the policy.
                          ``(iii) Consideration.--The Board shall not 
                        disapprove a fee on the basis of--
                                  ``(I) a comparison to maintenance 
                                fees paid with respect to the policy; 
                                or
                                  ``(II) the potential for the fee to 
                                result in a financial gain or loss to 
                                the applicant based on the number of 
                                policies sold.''.
  (b) Applicability.--
          (1) In general.--The amendments made by this section shall 
        apply to reimbursement requests made on or after October 1, 
        2016.
          (2) Resubmission of denied request.--An applicant that was 
        denied all or a portion of a reimbursement request under 
        paragraph (1) of section 522(b) of the Federal Crop Insurance 
        Act (7 U.S.C. 1522(b)) during the period between October 1, 
        2016 and the date of the enactment of this Act shall be given 
        an opportunity to resubmit such request.

SEC. 10008. RESEARCH AND DEVELOPMENT PRIORITIES.

  (a) Repeal of Certain Research and Development Activities.--Section 
522(c) of the Federal Crop Insurance Act (7 U.S.C. 1522(c)) is 
amended--
          (1) by striking paragraphs (7) through (18);
          (2) by striking paragraphs (20) through (23); and
          (3) by redesignating paragraphs (19) and (24) as paragraphs 
        (7) and (8), respectively.
  (b) Whole Farm Application to Beginning Farmers and Ranchers.--
Paragraph (7) of section 522(c) of the Federal Crop Insurance Act (7 
U.S.C. 1522(c)), as redesignated by subsection (a), is amended by 
adding at the end the following new subparagraph:
          ``(E) Beginning farmer or rancher defined.--Notwithstanding 
        section 502(b)(3), with respect to plans described under this 
        paragraph, the term `beginning farmer or rancher' means a 
        farmer or rancher who has not actively operated and managed a 
        farm or ranch with a bona fide insurable interest in a crop or 
        livestock as an owner-operator, landlord, tenant, or 
        sharecropper for more than 10 crop years.''.
  (c) Research and Development Priorities.--Section 522(c) of the 
Federal Crop Insurance Act (7 U.S.C. 1522(c)) as amended by subsection 
(a), is further amended by adding at the end the following new 
paragraphs:
          ``(9) Tropical storm or hurricane insurance.--
                  ``(A) In general.--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 crops, including tomatoes, peppers, 
                and citrus, against losses due to a tropical storm or 
                hurricane.
                  ``(B) Research and development.--Research and 
                development with respect to the policy required under 
                subparagraph (A) shall--
                          ``(i) evaluate the effectiveness of a risk 
                        management tool for a low frequency, 
                        catastrophic loss weather event; and
                          ``(ii) provide protection for production or 
                        revenue losses, or both.
          ``(10) Subsurface irrigation practices.--The Corporation 
        shall offer to enter into a contract with a qualified entity to 
        conduct research and development regarding the creation of a 
        separate practice for subsurface irrigation, including the 
        establishment of a separate transitional yield within the 
        county that is reflective of the average gain in productivity 
        and yield associated with the installation of a subsurface 
        irrigation system.
          ``(11) Study and report on grain sorghum rates and yields.--
                  ``(A) Study.--The Corporation shall contract with a 
                qualified entity to conduct a study to assess the 
                difference in rates, average yields, and coverage 
                levels of grain sorghum policies as compared to other 
                feed grains within a county.
                  ``(B) Report.--Not later than 1 year after the date 
                of enactment of this paragraph, the Corporation 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 results of the study conducted under 
                subparagraph (A).
          ``(12) Quality losses.--
                  ``(A) In general.--The Corporation shall offer to 
                enter into a contract with a qualified entity to 
                conduct research and development regarding the 
                establishment of an alternative method of adjusting for 
                quality losses that does not impact the average 
                production history of producers.
                  ``(B) Requirements.--Notwithstanding subsections (g) 
                and (m) of section 508, if the Corporation uses any 
                method developed as a result of the contract described 
                in subparagraph (A) to adjust for quality losses, such 
                method shall be--
                          ``(i) optional for producers to elect to use; 
                        and
                          ``(ii) offered at an actuarially sound 
                        premium rate.''.

SEC. 10009. EXTENSION OF FUNDING FOR RESEARCH AND DEVELOPMENT.

  Section 522 of the Federal Crop Insurance Act (7 U.S.C. 1522) is 
amended--
          (1) by striking subsection (d);
          (2) in subsection (e)(2)(A)--
                  (A) by striking ``under subsections (c) and (d)'' and 
                inserting ``under subsection (c)'' ; and
                  (B) by striking ``not more than $12,500,000 for 
                fiscal year 2008 and each subsequent fiscal year.'' and 
                inserting the following: ``not more than--
                          ``(i) $12,500,000 for fiscal year 2008 
                        through 2018; and''; and
                  (C) by adding at the end the following:
                          ``(ii) $8,000,000 for fiscal year 2019 and 
                        each fiscal year thereafter.''; and
          (3) by redesignating subsection (e), as so amended, as 
        subsection (d).

SEC. 10010. EDUCATION AND RISK MANAGEMENT ASSISTANCE.

  Section 524 of the Federal Crop Insurance Act (7 U.S.C. 1524) is 
amended to read as follows:

``SEC. 524. EDUCATION AND RISK MANAGEMENT ASSISTANCE.

  ``(a) Education Assistance.--Subject to the amounts made available 
under subsection (d), the Secretary, acting through the National 
Institute of Food and Agriculture, shall carry out the program 
established under subsection (b).
  ``(b) Partnerships for Risk Management Education.--
          ``(1) Authority.--The Secretary, acting through the National 
        Institute of Food and Agriculture, shall establish a program 
        under which competitive grants are made to qualified public and 
        private entities (including land-grant colleges, cooperative 
        extension services, and colleges or universities), as 
        determined by the Secretary, for the purpose of educating 
        agricultural producers about the full range of risk management 
        activities, including futures, options, agricultural trade 
        options, crop insurance, cash forward contracting, debt 
        reduction, production diversification, farm resources risk 
        reduction, farm financial benchmarking, and other risk 
        management strategies.
          ``(2) Basis for grants.--A grant under this subsection shall 
        be awarded on the basis of merit and shall be subject to peer 
        or merit review.
          ``(3) Obligation period.--Funds for a grant under this 
        subsection shall be available to the Secretary for obligation 
        for a 2-year period.
          ``(4) Administrative costs.--The Secretary may use not more 
        than 4 percent of the funds made available for grants under 
        this subsection for administrative costs incurred by the 
        Secretary in carrying out this subsection.
  ``(c)  Requirements.--In carrying out the program established under 
subsection (b), the Secretary shall place special emphasis on risk 
management strategies (including farm financial benchmarking), 
education, and outreach specifically targeted at--
          ``(1) beginning farmers or ranchers;
          ``(2) legal immigrant farmers or ranchers that are attempting 
        to become established producers in the United States;
          ``(3) socially disadvantaged farmers or ranchers; and
          ``(4) farmers or ranchers that--
                  ``(A) are preparing to retire;
                  ``(B) are using transition strategies to help new 
                farmers or ranchers get started; and
                  ``(C) new or established farmers or ranchers that are 
                converting production and marketing systems to pursue 
                new markets.
  ``(d)  Funding.--From the insurance fund established under section 
516(c), there is transferred for the partnerships for risk management 
education program established under subsection (b) $5,000,000 for 
fiscal year 2018 and each subsequent fiscal year.''.

                        TITLE XI--MISCELLANEOUS

                         Subtitle A--Livestock

SEC. 11101. ANIMAL DISEASE PREPAREDNESS AND RESPONSE.

  (a) National Animal Disease Preparedness and Response Program.--The 
Animal Health Protection Act is amended by inserting after section 
10409A (7 U.S.C. 8308A) the following new section:

``SEC. 10409B. NATIONAL ANIMAL DISEASE PREPAREDNESS AND RESPONSE 
                    PROGRAM.

  ``(a) Program Required.--The Secretary shall establish a program, to 
be known as the `National Animal Disease Preparedness and Response 
Program', to address the increasing risk of the introduction and spread 
of animal pests and diseases affecting the economic interests of the 
livestock and related industries of the United States, including the 
maintenance and expansion of export markets.
  ``(b) Eligible Entities.--To carry out the National Animal Disease 
Preparedness and Response Program, the Secretary shall offer to enter 
into cooperative agreements, or other legal instruments, with eligible 
entities, to be selected by the Secretary, which may include any of the 
following entities, either individually or in combination:
          ``(1) A State department of agriculture.
          ``(2) The office of the chief animal health official of a 
        State.
          ``(3) A land-grant college or university or NLGCA Institution 
        (as those terms are defined in section 1404 of the National 
        Agricultural Research, Extension, and Teaching Policy Act of 
        1977 (7 U.S.C. 3103)).
          ``(4) A college of veterinary medicine, including a 
        veterinary emergency team at such college.
          ``(5) A State or national livestock producer organization 
        with direct and significant economic interest in livestock 
        production.
          ``(6) A State emergency agency.
          ``(7) A State, national, allied, or regional veterinary 
        organization or specialty board recognized by the American 
        Veterinary Medical Association.
          ``(8) An Indian Tribe (as defined in section 4 of the Indian 
        Self-Determination and Education Assistance Act (25 U.S.C. 
        5304)).
          ``(9) A Federal agency.
  ``(c) Activities.--
          ``(1) Program activities.--Activities under the National 
        Animal Disease Preparedness and Response Program shall include, 
        to the extent practicable, the following:
                  ``(A) Enhancing animal pest and disease analysis and 
                surveillance.
                  ``(B) Expanding outreach and education.
                  ``(C) Targeting domestic inspection activities at 
                vulnerable points in the safeguarding continuum.
                  ``(D) Enhancing and strengthening threat 
                identification and technology.
                  ``(E) Improving biosecurity.
                  ``(F) Enhancing emergency preparedness and response 
                capabilities, including training additional emergency 
                response personnel.
                  ``(G) Conducting technology development and enhancing 
                electronic sharing of animal health data for risk 
                analysis between State and Federal animal health 
                officials.
                  ``(H) Enhancing the development and effectiveness of 
                animal health technologies to treat and prevent animal 
                disease, including--
                          ``(i) veterinary biologics and diagnostics;
                          ``(ii) animal drugs for minor use and minor 
                        species; and
                          ``(iii) animal medical devices.
                  ``(I) Such other activities as determined appropriate 
                by the Secretary, in consultation with eligible 
                entities specified in subsection (b).
          ``(2) Priorities.--In entering into cooperative agreements or 
        other legal instruments under subsection (b), the Secretary 
        shall give priority to applications submitted by--
                  ``(A) a State department of agriculture or an office 
                of the chief animal health official of a State; or
                  ``(B) an eligible entity that will carry out program 
                activities in a State or region--
                          ``(i) in which an animal pest or disease is a 
                        Federal concern; or
                          ``(ii) which the Secretary determines has 
                        potential for the spread of an animal pest or 
                        disease after taking into consideration--
                                  ``(I) the agricultural industries in 
                                the State or region;
                                  ``(II) factors contributing to animal 
                                disease or pest in the State or region, 
                                such as the climate, natural resources, 
                                and geography of, and native and exotic 
                                wildlife species and other disease 
                                vectors in, the State or region; and
                                  ``(III) the movement of animals in 
                                the State or region.
          ``(3) Consultation.--For purposes of setting priorities under 
        this subsection, the Secretary shall consult with eligible 
        entities specified in subsection (b). The Federal Advisory 
        Committee Act (5 U.S.C. App.) shall not apply to consultation 
        carried out under this paragraph.
  ``(d) Application.--
          ``(1) In general.--An eligible entity specified in subsection 
        (b) seeking to enter into a cooperative agreement, or other 
        legal instrument, under the National Animal Disease 
        Preparedness and Response Program shall submit to the Secretary 
        an application containing such information as the Secretary may 
        require.
          ``(2) Notification.--The Secretary shall notify each 
        applicant of--
                  ``(A) the requirements to be imposed on the recipient 
                of funds under the Program for auditing of, and 
                reporting on, the use of such funds; and
                  ``(B) the criteria to be used to ensure activities 
                supported using such funds are based on sound 
                scientific data or thorough risk assessments.
          ``(3) Non-federal contributions.--When deciding whether to 
        enter into an agreement or other legal instrument under the 
        Program with an eligible entity described in subsection (b), 
        the Secretary--
                  ``(A) may take into consideration an eligible 
                entity's ability to contribute non-Federal funds to 
                carry out such a cooperative agreement or other legal 
                instrument under the Program; and
                  ``(B) shall not require such an entity to make such a 
                contribution.
  ``(e) Use of Funds.--
          ``(1) Use consistent with terms of cooperative agreement.--
        The recipient of funds under the National Animal Disease 
        Preparedness and Response Program shall use the funds for the 
        purposes and in the manner provided in the cooperative 
        agreement, or other legal instrument, under which the funds are 
        provided.
          ``(2) Sub-agreement.--Nothing in this section prevents an 
        eligible entity from using funds received under the Program to 
        enter into sub-agreements with political subdivisions of State 
        that have legal responsibilities relating to animal disease 
        prevention, surveillance, or rapid response.
  ``(f) Reporting Requirement.--Not later than 90 days after the date 
of completion of an activity conducted using funds provided under the 
National Animal Disease Preparedness and Response Program, the 
recipient of such funds shall submit to the Secretary a report that 
describes the purposes and results of the activities.''.
  (b) National Animal Health Vaccine Bank.--The Animal Health 
Protection Act (7 U.S.C. 8301 et seq.) is amended by inserting after 
section 10409B, as added by subsection (a), the following new section:

``SEC. 10409C. NATIONAL ANIMAL HEALTH VACCINE BANK.

  ``(a) Establishment.--The Secretary shall establish a national 
vaccine bank (to be known as the `National Animal Health Vaccine Bank') 
for the benefit of the domestic interests of the United States and to 
help protect the United States agriculture and food system against 
terrorist attack, major disaster, and other emergencies.
  ``(b) Elements of Vaccine Bank.--Through the National Animal Health 
Vaccine Bank, the Secretary shall--
          ``(1) maintain sufficient quantities of animal vaccine, 
        antiviral, therapeutic, or diagnostic products to appropriately 
        and rapidly respond to an outbreak of those animal diseases 
        that would have the most damaging effect on human health or the 
        United States economy; and
          ``(2) leverage, when appropriate, the mechanisms and 
        infrastructure that have been developed for the management, 
        storage, and distribution of the National Veterinary Stockpile 
        of the Animal and Plant Health Inspection Service.
  ``(c) Priority for Response to Foot and Mouth Disease.--The Secretary 
shall prioritize the acquisition of sufficient quantities of foot and 
mouth disease vaccine, and accompanying diagnostic products, for the 
National Animal Health Vaccine Bank. As part of such prioritization, 
the Secretary shall consider contracting with one or more entities that 
are capable of producing foot and mouth disease vaccine and that have 
surge production capacity of the vaccine.''.
  (c) Funding.--
          (1) In general.--Section 10417 of the Animal Health 
        Protection Act (7 U.S.C. 8316) is amended by adding at the end 
        the following new subsection:
  ``(d) Availability of Funds for Specified Purposes.--
          ``(1) Mandatory funding.--
                  ``(A) Fiscal year 2019.--Of the funds of the 
                Commodity Credit Corporation, the Secretary shall make 
                available for fiscal year 2019 $250,000,000 to carry 
                out sections 10409A, 10409B, and 10409C, of which--
                          ``(i) $30,000,000 shall be made available to 
                        carry out the National Animal Health Laboratory 
                        Network under section 10409A;
                          ``(ii) $70,000,000 shall be made available to 
                        carry out the National Animal Disease 
                        Preparedness and Response Program under section 
                        10409B; and
                          ``(iii) $150,000,000 shall be made available 
                        to establish and maintain the National Animal 
                        Health Vaccine Bank under section 10409C.
                  ``(B) Subsequent fiscal years.--Of the funds of the 
                Commodity Credit Corporation, the Secretary shall make 
                available to carry out sections 10409A, 10409B, and 
                10409C, $50,000,000 for each of fiscal years 2020 
                through 2023, of which not less than $30,000,000 shall 
                be made available for each of those fiscal years to 
                carry out the National Animal Disease Preparedness and 
                Response Program under section 10409B.
          ``(2) Additional authorization of appropriations.--In 
        addition to the funds made available under subparagraphs (A)(i) 
        and (B) of paragraph (1) and funds authorized to be 
        appropriated by subsection (a), there are authorized to be 
        appropriated $15,000,000 for each of fiscal years 2019 through 
        2023 to carry out the National Animal Health Laboratory Network 
        under section 10409A.
          ``(3) Administrative costs.--Of the funds made available 
        under subparagraphs (A)(i), (A)(ii), and (B) and subparagraph 
        (B) of paragraph (1), not more than four percent may be 
        retained by the Secretary to pay administrative costs incurred 
        by the Secretary to carry out the National Animal Health 
        Laboratory Network under section 10409A and the National Animal 
        Disease Preparedness and Response Program under section 10409B. 
        Of the funds made available under subparagraphs (A)(ii) and (B) 
        to carry out the National Animal Disease Preparedness and 
        Response Program under section 10409B and (B) of such 
        paragraph, not more than ten percent may be retained by an 
        eligible entity to pay administrative costs incurred by the 
        eligible entity to carry out such program.
          ``(4) Duration of availability.--Funds made available under 
        this subsection, including any proceeds credited under 
        paragraph (5), shall remain available until expended.
          ``(5) Proceeds from vaccine sales.--Any proceeds of a sale of 
        vaccine or antigen from the National Animal Health Vaccine Bank 
        shall be--
                  ``(A) deposited into the Treasury of the United 
                States; and
                  ``(B) credited to the account for the operation of 
                the National Animal Health Vaccine Bank.
          ``(6) Limitations on use of funds for certain purposes.--
        Funds made available under the National Animal Health 
        Laboratory Network, the National Animal Disease Preparedness 
        and Response Program, and the National Animal Health Vaccine 
        Bank shall not be used for the construction of a new building 
        or facility or the acquisition or expansion of an existing 
        building or facility, including site grading and improvement 
        and architect fees.''.
          (2) Conforming amendments.--
                  (A) Section heading.--The heading of section 10417 of 
                the Animal Health Protection Act (7 U.S.C. 8316) is 
                amended to read as follows:

``SEC. 10417. FUNDING.''.

                  (B) Other amendments.--Section 10417 of the Animal 
                Health Protection Act (7 U.S.C. 8316) is further 
                amended--
                          (i) in subsection (a), by striking ``In 
                        General'' and inserting ``General Authorization 
                        of Appropriations''; and
                          (ii) in subsection (c), by striking ``to 
                        carry out this subtitle'' and inserting 
                        ``pursuant to the authorization of 
                        appropriations in subsection (a)''.
          (3) Repeal of separate authorization of national animal 
        health laboratory network.--Section 10409A of the Animal Health 
        Protection Act (7 U.S.C. 8308A(d)) is amended by striking 
        subsection (d).

SEC. 11102. NATIONAL AQUATIC ANIMAL HEALTH PLAN.

  Section 11013(d) of the Food, Conservation, and Energy Act of 2008 (7 
U.S.C. 8322(d)) is amended by striking ``2018'' and inserting ``2023''.

SEC. 11103. VETERINARY TRAINING.

  Section 10504 of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 8318) is amended--
          (1) by inserting ``and veterinary teams, including those 
        based at colleges of veterinary medicine,'' after 
        ``veterinarians''; and
          (2) by inserting before the period at the end the following: 
        ``and who are capable of providing effective services before, 
        during, and after emergencies''.

SEC. 11104. REPORT ON FSIS GUIDANCE AND OUTREACH TO SMALL MEAT 
                    PROCESSORS.

  Not later than one year after the date of the enactment of this Act, 
the Inspector General of the Department of Agriculture shall submit to 
the Secretary a report on the effectiveness of existing Food Safety and 
Inspection Service guidance materials and other tools used by small and 
very small establishments, as defined by regulations issued by the Food 
Safety and Inspection Service, as in effect on such date of enactment, 
including--
          (1) an evaluation of the effectiveness of the outreach 
        conducted by the Food Safety and Inspection Service to small 
        and very small establishments;
          (2) an evaluation of the effectiveness of the guidance 
        materials and other tools used by the Food Safety and 
        Inspection Service to assist small and very small 
        establishments;
          (3) an evaluation of the responsiveness of Food Safety and 
        Inspection Service personnel to inquiries and issues from small 
        and very small establishments; and
          (4) recommendations on measures the Food Safety and 
        Inspection Service should take to improve regulatory clarity 
        and consistency and ensure all guidance materials and other 
        tools take into account small and very small establishments.

  Subtitle B--Beginning, Socially Disadvantaged, and Veteran Producers

SEC. 11201. OUTREACH AND ASSISTANCE FOR SOCIALLY DISADVANTAGED FARMERS 
                    AND RANCHERS AND VETERAN FARMERS AND RANCHERS.

  Section 2501(a)(4) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 2279(a)(4)) is amended--
          (1) in subparagraph (A)--
                  (A) in the heading, by striking ``2018'' and 
                inserting ``2023''; and
                  (B) in clause (iii), by striking ``2018'' and 
                inserting ``2023'';
          (2) by redesignating subparagraph (E) as subparagraph (F);
          (3) by inserting after subparagraph (D) the following new 
        subparagraph:
                  ``(E) Priority.--In making grants and entering into 
                contracts and other agreements under this section, the 
                Secretary shall give priority to projects that--
                          ``(i) deliver agricultural education to youth 
                        under the age of 18 in underserved and 
                        underrepresented communities;
                          ``(ii) provide youth under the age of 18 with 
                        agricultural employment or volunteer 
                        opportunities, or both; and
                          ``(iii) demonstrate experience in providing 
                        such education or opportunities to socially 
                        disadvantaged youth.''; and
          (4) in subparagraph (F), as so redesignated, by striking 
        ``2018'' and inserting ``2023''.

SEC. 11202. OFFICE OF PARTNERSHIPS AND PUBLIC ENGAGEMENT.

  (a) Changing Name of Office.--
          (1) In general.--Section 226B of the Department of 
        Agriculture Reorganization Act of 1994 (7 U.S.C. 6934) is 
        amended--
                  (A) in the section heading, by striking ``advocacy 
                and outreach'' and inserting ``partnerships and public 
                engagement'';
                  (B) by striking ``Advocacy and Outreach'' each place 
                it appears in subsections (a)(2), (b)(1), and (d)(4)(B) 
                and inserting ``Partnerships and Public Engagement'';
          (2) References.--Beginning on the date of the enactment of 
        this Act, any reference to the Office of Advocacy and Outreach 
        established under section 226B of the Department of Agriculture 
        Reorganization Act of 1994 (7 U.S.C. 6934) in any other 
        provision of Federal law shall be deemed to be a reference to 
        the Office of Partnerships and Public Engagement.
  (b) Increasing Outreach.--Section 226B of the Department of 
Agriculture Reorganization Act of 1994 (7 U.S.C. 6934), as amended by 
subsection (a), is further amended--
          (1) in subsection (b)(1)--
                  (A) in subparagraph (A), by striking ``and'' at the 
                end;
                  (B) in subparagraph (B)--
                          (i) in clause (ii), by striking ``and'' at 
                        the end;
                          (ii) in clause (iii), by striking the period 
                        at the end and inserting ``; and''; and
                          (iii) by adding at the end the following new 
                        clauses:
                          ``(iv) limited resource producers;
                          ``(v) veteran farmers and ranchers; and
                          ``(vi) Tribal farmers and ranchers; and''; 
                        and
                  (C) by adding at the end the following new 
                subparagraph:
                  ``(C) to promote youth outreach.''; and
          (2) in subsection (c)--
                  (A) in the matter preceding paragraph (1), by 
                inserting ``veteran farmers and ranchers, Tribal 
                farmers and ranchers,'' after ``beginning farmers or 
                ranchers,'';
                  (B) in paragraph (1), by striking ``or socially 
                disadvantaged'' and inserting ``socially disadvantaged, 
                veteran, or Tribal''; and
                  (C) in paragraph (5), by inserting ``veteran farmers 
                or ranchers, Tribal farmers or ranchers,'' after 
                ``beginning farmers or ranchers,''.
  (c) Authorization of Appropriations.--Section 226B(f)(3)(B) of the 
Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 
6934(f)(3)(B)) is amended by striking ``2018'' and inserting ``2023''.
  (d) Office of Tribal Relations.--Section 309 of the Federal Crop 
Insurance Reform and Department of Agriculture Reorganization Act of 
1994 (7 U.S.C. 6921) is amended by striking ``of the Secretary'' and 
inserting ``of Partnerships and Public Engagement established under 
section 226B''.

SEC. 11203. COMMISSION ON FARM TRANSITIONS--NEEDS FOR 2050.

  (a) Establishment.--There is established a commission to be known as 
the ``Commission on Farm Transitions-Needs for 2050'' (referred to in 
this section as the ``Commission'').
  (b) Study.--The Commission shall conduct a study on issues impacting 
the transition of agricultural operations from established farmers and 
ranchers to the next generation of farmers and ranchers, including--
          (1) access to, and availability of--
                  (A) quality land and necessary infrastructure;
                  (B) affordable credit; and
                  (C) adequate risk management tools;
          (2) agricultural asset transfer strategies in use as of the 
        date of the enactment of this Act and improvements to such 
        strategies;
          (3) incentives that may facilitate agricultural asset 
        transfers to the next generation of farmers and ranchers, 
        including recommendations for new Federal tax policies to 
        facilitate lifetime and estate transfers;
          (4) the causes of the failures of such transitions, if any; 
        and
          (5) the status of programs and incentives providing 
        assistance with respect to such transitions in effect on the 
        date of the enactment of this Act, and opportunities for the 
        revision or modernization of such programs.
  (c) Membership.--
          (1) Composition.--The Commission shall be composed of 10 
        members as follows:
                  (A) 3 members appointed by the Secretary.
                  (B) 3 members appointed by the Committee on 
                Agriculture, Nutrition, and Forestry of the Senate.
                  (C) 3 members appointed by the Committee on 
                Agriculture of the House of Representatives.
                  (D) The Chief Economist of the Department of 
                Agriculture.
          (2) Federal government employment.--In addition to the Chief 
        Economist of the Department of Agriculture, the membership of 
        the Commission may include 1 or more employees of the 
        Department of Agriculture or other Federal agencies.
          (3) Date of appointments.--The appointment of a member of the 
        Commission shall be made not later than 60 days after the date 
        of enactment of this Act.
          (4) Term; vacancies.--
                  (A) Term.--A member shall be appointed for the life 
                of the Commission.
                  (B) Vacancies.--A vacancy on the Commission--
                          (i) shall not affect the powers of the 
                        Commission; and
                          (ii) shall be filled in the same manner as 
                        the original appointment was made.
          (5) Initial meeting.--Not later than 30 days after the date 
        on which all members of the Commission have been appointed, the 
        Commission shall hold the initial meeting of the Commission.
  (d) Quorum.--A majority of the members of the Commission shall 
constitute a quorum for the transaction of business, but a lesser 
number of members may hold hearings.
  (e) Chairperson.--The Secretary shall appoint 1 of the members of the 
Commission to serve as Chairperson of the Commission.
  (f) Report.--Not later than 1 year after the date of enactment of 
this Act, the Commission shall submit to the President, the Committee 
on Agriculture of the House of Representatives, and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a report containing 
the results of the study required by subsection (b), including such 
recommendations as the Commission considers appropriate.
  (g) Hearings.--The Commission may hold such hearings, meet and act at 
such times and places, take such testimony, and receive such evidence 
as the Commission considers advisable to carry out this section.
  (h) Information From Federal Agencies.--The Commission may secure 
directly from a Federal agency such information as the Commission 
considers necessary to carry out this section. On request of the 
Chairperson of the Commission, the head of the agency shall provide the 
information to the Commission.
  (i) Postal Services.--The Commission may use the United States mail 
in the same manner and under the same conditions as other agencies of 
the Federal Government.
  (j) Assistance From Secretary.--The Secretary may provide to the 
Commission appropriate office space and such reasonable administrative 
and support services as the Commission may request.
  (k) Compensation of Members.--
          (1) Non-federal employees.--A member of the Commission who is 
        not an officer or employee of the Federal Government shall be 
        compensated at a rate equal to the daily equivalent of the 
        annual rate of basic pay prescribed for level IV of the 
        Executive Schedule under section 5315 of title 5, United States 
        Code, for each day (including travel time) during which the 
        member is engaged in the performance of the duties of the 
        Commission.
          (2) Federal employees.--A member of the Commission who is an 
        officer or employee of the Federal Government shall serve 
        without compensation in addition to the compensation received 
        for the services of the member as an officer or employee of the 
        Federal Government.
          (3) Travel expenses.--A member of the Commission shall be 
        allowed travel expenses, including per diem in lieu of 
        subsistence, at rates authorized for an employee of an agency 
        under subchapter I of chapter 57 of title 5, United States 
        Code, while away from the home or regular place of business of 
        the member in the performance of the duties of the Commission.
  (l) Federal Advisory Committee Act.--The Federal Advisory Committee 
Act (5 U.S.C. App.) shall not apply to the Commission or any proceeding 
of the Commission.

SEC. 11204. AGRICULTURAL YOUTH ORGANIZATION COORDINATOR.

  Subtitle A of the Department of Agriculture Reorganization Act of 
1994 is amended by inserting after section 220 (7 U.S.C. 6920) the 
following new section:

``SEC. 221. AGRICULTURAL YOUTH ORGANIZATION COORDINATOR.

  ``(a) Authorization.--The Secretary shall establish in the Department 
the position of Agricultural Youth Organization Coordinator.
  ``(b) Duties.--The Agricultural Youth Organization Coordinator 
shall--
          ``(1) promote the role of youth-serving organizations and 
        school-based agricultural education in motivating and preparing 
        young people to pursue careers in the agriculture, food, and 
        natural resources systems;
          ``(2) work to help build awareness of the reach and 
        importance of agriculture, across a diversity of fields and 
        disciplines;
          ``(3) identify short-term and long-term interests of the 
        Department and provide opportunities, resources, input, and 
        coordination with programs and agencies of the Department to 
        youth-serving organizations and school-based agricultural 
        education, including the development of internship 
        opportunities;
          ``(4) share, internally and externally, the extent to which 
        active steps are being taken to encourage collaboration with, 
        and support of, youth-serving organizations and school-based 
        agricultural education;
          ``(5) provide information to young farmers concerning the 
        availability of, and eligibility requirements for, 
        participation in agricultural programs, with particular 
        emphasis on beginning farmer and rancher programs;
          ``(6) serve as a resource for assisting young farmers in 
        applying for participation in agricultural programs; and
          ``(7) advocate on behalf of young farmers in interactions 
        with employees of the Department.
  ``(c) Contracts and Cooperative Agreements.--For purposes of carrying 
out the duties under subsection (b), the Agricultural Youth 
Organization Coordinator shall consult with the cooperative extension 
and the land-grant university systems, and may enter into contracts or 
cooperative agreements with the research centers of the Agricultural 
Research Service, cooperative extension and the land-grant university 
systems, non-land-grant colleges of agriculture, or nonprofit 
organizations for--
          ``(1) the conduct of regional research on the profitability 
        of small farms;
          ``(2) the development of educational materials;
          ``(3) the conduct of workshops, courses, and certified 
        vocational training;
          ``(4) the conduct of mentoring activities; or
          ``(5) the provision of internship opportunities.''.

                          Subtitle C--Textiles

SEC. 11301. REPEAL OF PIMA AGRICULTURE COTTON TRUST FUND.

  Effective December 31, 2018, the Agricultural Act of 2014 (7 U.S.C. 
2101 note; Public Law 113-79) is amended by striking section 12314 (and 
by conforming the items relating to such section in the table of 
sections accordingly).

SEC. 11302. REPEAL OF AGRICULTURE WOOL APPAREL MANUFACTURERS TRUST 
                    FUND.

   Effective December 31, 2018, the Agricultural Act of 2014 (7 U.S.C. 
2101 note; Public Law 113-79) is amended by striking section 12315 (and 
by conforming the items relating to such section in the table of 
sections accordingly).

SEC. 11303. REPEAL OF WOOL RESEARCH AND PROMOTION GRANTS FUNDING.

  Effective December 31, 2018, the Agricultural Act of 2014 (7 U.S.C. 
2101 note; Public Law 113-79) is amended by striking section 12316 (and 
by conforming the items relating to such section in the table of 
sections accordingly).

SEC. 11304. TEXTILE TRUST FUND.

  (a) Establishment.--There is established in the Treasury of the 
United States a trust fund, to be known as the ``Textile Trust Fund'', 
consisting of such amounts as may be transferred to the Textile Trust 
Fund pursuant to subsection (e), and to be used for the purposes of--
          (1) reducing the injury to domestic manufacturers resulting 
        from tariffs on cotton fabric that are higher than tariffs on 
        certain apparel articles made of cotton fabric;
          (2) reducing the injury to domestic manufacturers resulting 
        from tariffs on wool products that are higher than tariffs on 
        certain apparel articles made of wool products; and
          (3) wool research and promotion.
  (b) Distribution of Funds.--From amounts in the Textile Trust Fund, 
the Secretary shall make payments annually, beginning in calendar year 
2019, for each of calendar years 2019 through 2023 as follows:
          (1) Pima cotton.--From amounts specified in subsection 
        (e)(2)(A), the Secretary shall make payments as follows:
                  (A) Twenty-five percent of such amounts for a 
                calendar year shall be paid to one or more nationally 
                recognized associations established for the promotion 
                of pima cotton for use in textile and apparel goods.
                  (B) Twenty-five percent of such amounts for a 
                calendar year shall be paid to yarn spinners of pima 
                cotton that produce ring spun cotton yarns in the 
                United States, to be allocated to each spinner in an 
                amount that bears the same ratio as--
                          (i) the spinner's production of ring spun 
                        cotton yarns, measuring less than 83.33 decitex 
                        (exceeding 120 metric number) from pima cotton 
                        in single and plied form during the previous 
                        calendar year (as evidenced by an affidavit 
                        provided by the spinner that meets the 
                        requirements of subsection (c)(1)); bears to
                          (ii) the production of the yarns described in 
                        clause (i) during the previous calendar year 
                        for all spinners who qualify under this 
                        subparagraph.
                  (C) Fifty percent of such amounts for a calendar year 
                shall be paid to manufacturers who cut and sew cotton 
                shirts in the United States who certify that they used 
                imported cotton fabric during the previous calendar 
                year, to be allocated to each such manufacturer in an 
                amount that bears the same ratio as--
                          (i) the dollar value (excluding duty, 
                        shipping, and related costs) of imported woven 
                        cotton shirting fabric of 80s or higher count 
                        and 2-ply in warp purchased by the manufacturer 
                        during the previous calendar year (as evidenced 
                        by an affidavit provided by the manufacturer 
                        that meets the requirements of subsection 
                        (c)(2)) used in the manufacturing of men's and 
                        boys' cotton shirts; bears to
                          (ii) the dollar value (excluding duty, 
                        shipping, and related costs) of the fabric 
                        described in clause (i) purchased during the 
                        previous calendar year by all manufacturers who 
                        qualify under this subparagraph.
          (2) Wool manufacturers.--From amounts specified in subsection 
        (e)(2)(B), the Secretary shall make payments as follows:
                  (A) To each eligible manufacturer under paragraph (3) 
                of section 4002(c) of the Wool Suit and Textile Trade 
                Extension Act of 2004 (Public Law 108-429; 118 Stat. 
                2600), as amended by section 1633(c) of the 
                Miscellaneous Trade and Technical Corrections Act of 
                2006 (Public Law 109-280; 120 Stat. 1166) and section 
                325(b) of the Tax Extenders and Alternative Minimum Tax 
                Relief Act of 2008 (division C of Public Law 110-343; 
                122 Stat. 3875), and any successor-in-interest to such 
                a manufacturer as provided for under paragraph (4) of 
                such section 4002(c), that submits an affidavit in 
                accordance with subsection (c)(3) for the year of the 
                payment for calendar years 2019 through 2023, payments 
                in amounts authorized under that paragraph.
                  (B) To each eligible manufacturer under paragraph (6) 
                of such section 4002(c) for calendar years 2019 through 
                2023, payments in amounts authorized under that 
                paragraph.
  (c) Affidavits.--
          (1) Yarn spinners.--The affidavit required by subsection 
        (b)(1)(B)(i) for a calendar year is a notarized affidavit 
        provided by an officer of a producer of ring spun yarns that 
        affirms--
                  (A) that the producer used pima cotton during the 
                year in which the affidavit is filed and during the 
                previous calendar year to produce ring spun cotton 
                yarns in the United States, measuring less than 83.33 
                decitex (exceeding 120 metric number), in single and 
                plied form;
                  (B) the quantity, measured in pounds, of ring spun 
                cotton yarns, measuring less than 83.33 decitex 
                (exceeding 120 metric number), in single and plied form 
                during the previous calendar year; and
                  (C) that the producer maintains supporting 
                documentation showing the quantity of such yarns 
                produced, and evidencing the yarns as ring spun cotton 
                yarns, measuring less than 83.33 decitex (exceeding 120 
                metric number), in single and plied form during the 
                previous calendar year.
          (2) Shirting manufacturers.--
                  (A) In general.--The affidavit required by subsection 
                (b)(1)(C)(i) for a calendar year is a notarized 
                affidavit provided by an officer of a manufacturer of 
                men's and boys' shirts that affirms--
                          (i) that the manufacturer used imported 
                        cotton fabric during the year in which the 
                        affidavit is filed and during the previous 
                        calendar year, to cut and sew men's and boys' 
                        woven cotton shirts in the United States;
                          (ii) the dollar value of imported woven 
                        cotton shirting fabric of 80s or higher count 
                        and 2-ply in warp purchased by the manufacturer 
                        during the previous calendar year;
                          (iii) that the manufacturer maintains 
                        invoices along with other supporting 
                        documentation (such as price lists and other 
                        technical descriptions of the fabric qualities) 
                        showing the dollar value of such fabric 
                        purchased, the date of purchase, and evidencing 
                        the fabric as woven cotton fabric of 80s or 
                        higher count and 2-ply in warp; and
                          (iv) that the fabric was suitable for use in 
                        the manufacturing of men's and boys' cotton 
                        shirts.
                  (B) Date of purchase.--For purposes of the affidavit 
                under subparagraph (A), the date of purchase shall be 
                the invoice date, and the dollar value shall be 
                determined excluding duty, shipping, and related costs.
          (3) Filing date for affidavits.--Any person required to 
        provide an affidavit under this section shall file the 
        affidavit with the Secretary or as directed by the Secretary 
        for any of calendar years 2019 through 2023, not later than 
        March 15 of that calendar year.
          (4) Increase in payments to wool manufacturers in case of 
        expiration of duty suspensions.--
                  (A) In general.--In any calendar year in which the 
                suspension of duty on wool products described in 
                subparagraphs (B) and (C) is not in effect, the amount 
                of any payment described in subsection (b)(2) to a 
                manufacturer or successor-in-interest shall be 
                increased by an amount the Secretary, after 
                consultation with the Secretary of Commerce, determines 
                is equal to the amount the manufacturer or successor-
                in-interest would have saved during the calendar year 
                of the payment if the suspension of duty on such wool 
                products were in effect.
                  (B) Special rule for certain fabrics of worsted 
                wool.--
                          (i) In general.--With respect to fabrics of 
                        worsted wool described in clause (ii), 
                        subparagraph (A) shall be applied by 
                        substituting ``rate of duty on such wool 
                        products was 10 percent'' for ``suspension of 
                        duty on such wool products were in effect''.
                          (ii) Fabrics of worsted wool described.--
                        Fabrics of worsted wool described in this 
                        paragraph are fabrics of worsted wool--
                                  (I) with average fiber diameters 
                                greater than 18.5 micron; and
                                  (II) containing 85 percent or more by 
                                weight of wool.
                  (C) Covered wool products.--Subparagraph (A) applies 
                with respect to the following:
                          (i) Yarn, of combed wool, not put up for 
                        retail sale, containing 85 percent or more by 
                        weight of wool, formed with wool fibers having 
                        average diameters of 18.5 micron or less.
                          (ii) Wool fiber, waste, garnetted stock, 
                        combed wool, or wool top, the foregoing having 
                        average fiber diameters of 18.5 micron or less.
                          (iii) Fabrics of combed wool, containing 85 
                        percent or more by weight of wool, with wool 
                        yarns of average fiber diameters of 18.5 micron 
                        or less, certified by the importer as suitable 
                        for use in making men's and boys suits, suit-
                        type jackets, or trousers and must be imported 
                        for the benefit of persons who cut and sew such 
                        clothing in the United States.
                          (iv) Fabrics of combed wool, containing 85 
                        percent or more by weight of wool, with wool 
                        yarns of average fiber diameters of 18.5 micron 
                        or less, certified by the importer as suitable 
                        for use in making men's and boys suits, suit-
                        type jackets, or trousers and must be imported 
                        for the benefit of persons who weave worsted 
                        wool fabric suitable for use in such clothing 
                        in the United States.
                  (D) No appeal of determinations.--A determination of 
                the Secretary under this paragraph shall be final and 
                not subject to appeal or protest.
  (d) Timing for Distributions.--The Secretary shall make a payment 
under subsection (b) for each of calendar years 2019 through 2023, not 
later than April 15 of the year of the payment.
  (e) Funding.--
          (1) Transfer required.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall transfer to the Textile Trust 
        Fund $25,250,000 for each of calendar years 2019 through 2023.
          (2) Allocation of funds.--Of the funds transferred under 
        paragraph (1) for a calendar year--
                  (A) $8,000,000 shall be available for distribution 
                under subsection (b)(1);
                  (B) $15,000,000 shall be available for distribution 
                under subsection (b)(2); and
                  (C) notwithstanding subsection (f) of section 506 of 
                the Trade and Development Act of 2000 (7 U.S.C. 7101 
                note; Public Law 106-200), $2,250,000 shall be 
                available to provide grants described in subsection (d) 
                of such section.
          (3) Sheep production and marketing.--In addition to funds 
        made available under paragraph (1), of the funds of the 
        Commodity Credit Corporation, the Secretary shall use to carry 
        out section 209 of the Agricultural Marketing Act of 1946 (7 
        U.S.C. 1627a), $2,000,000 for fiscal year 2019, to remain 
        available until expended.
          (4) Duration of availability.--Amounts transferred to the 
        Textile Trust Fund pursuant to this subsection shall remain 
        available until expended.

             Subtitle D--United States Grain Standards Act

SEC. 11401. RESTORING CERTAIN EXCEPTIONS TO UNITED STATES GRAIN 
                    STANDARDS ACT.

  (a) In General.--Grain handling facilities described in subsection 
(b) may, on or before the date that is 180 days after the date of the 
enactment of this Act, restore a prior exception with an official 
agency designated under the rule entitled ``Exceptions to Geographic 
Areas for Official Agencies Under the USGSA'' published by the 
Department of Agriculture in the Federal Register on April 18, 2003 (68 
Fed. Reg. 19137) if--
          (1) such grain handling facility and official agency agree to 
        restore such prior exception; and
          (2) such grain handling facility notifies the Secretary of 
        Agriculture of--
                  (A) the exception described in paragraph (1); and
                  (B) the effective date of such exception.
  (b) Eligible Grain Handling Facilities.--Subsection (a) shall apply 
with respect to grain handling facilities that were--
          (1) granted exceptions pursuant to the rule specified in 
        subsection (a); and
          (2) had such exceptions revoked on or after September 30, 
        2015.
  (c) No Unilateral Termination Allowed.--Beginning on the date of the 
enactment of this Act, a nonuse of service exception may only be 
terminated if two or more parties to such exception, including the 
grain handling facility, are in joint agreement with respect to such 
termination.

        Subtitle E--Noninsured Crop Disaster Assistance Program

SEC. 11501. ELIGIBLE CROPS.

  Section 196(a)(2) of the Federal Agriculture Improvement and Reform 
Act of 1996 (7 U.S.C. 7333(a)(2)) is amended by striking subparagraph 
(A) and inserting the following new subparagraph:
                  ``(A) In general.--Subject to subparagraph (B), in 
                this section, the term `eligible crop' means each 
                commercial crop or other agricultural commodity that is 
                produced for food or fiber (except livestock) for which 
                catastrophic risk protection under subsection (b) of 
                section 508 of the Federal Crop Insurance Act (7 U.S.C. 
                1508) and additional coverage under subsections (c) and 
                (h) of such section are not available or, if such 
                coverage is available, it is only available under a 
                policy that provides coverage for specific intervals 
                based on weather indexes or under a whole farm plan of 
                insurance.''.

SEC. 11502. SERVICE FEE.

  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 ``$250'' and inserting 
        ``$350''; and
          (2) in subparagraph (B)--
                  (A) by striking ``$750'' and inserting ``$1,050''; 
                and
                  (B) by striking ``$1,875'' and inserting ``$2,100''.

SEC. 11503. PAYMENTS EQUIVALENT TO ADDITIONAL COVERAGE.

  (a) Premiums.--Section 196(l)(2)(B)(i) of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7333(l)(2)(B)(i)) is 
amended--
          (1) by striking ``and'' at the end of subclause (IV);
          (2) by striking ``or'' at the end of subclause (V) and 
        inserting ``and''; and
          (3) by adding at the end the following new subclause:
                                  ``(VI) the producer's share of the 
                                crop; or''.
  (b) Additional Availability of Coverage.--Section 196(l) of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7333(l)) is amended--
          (1) by striking paragraph (3); and
          (2) by redesignating paragraphs (4) and (5) as paragraphs (3) 
        and (4), respectively.
  (c) Period of Availability.--Paragraph (4) of section 196(l) of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7333(l)), as redesignated by subsection (b)(2), is amended--
          (1) by striking ``Except as provided in paragraph (3)(A), 
        additional'' and inserting ``Additional''; and
          (2) by striking ``2018'' and inserting ``2023''.

                       Subtitle F--Other Matters

SEC. 11601. UNDER SECRETARY OF AGRICULTURE FOR FARM PRODUCTION AND 
                    CONSERVATION.

  (a) References to Former Under Secretary of Agriculture for Farm and 
Foreign Agricultural Services.--
          (1) Food aid consultative group.--Section 205(b) of the Food 
        for Peace Act (7 U.S.C. 1725(b)) is amended by striking 
        paragraph (2) and inserting the following new paragraph:
          ``(2) the Under Secretary of Agriculture for Trade and 
        Foreign Agricultural Affairs;''.
          (2) Office of risk management.--Section 226A(d)(1) of the 
        Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 
        6933(d)(1)) is amended by striking ``Under Secretary of 
        Agriculture for Farm and Foreign Agricultural Services'' and 
        inserting ``Under Secretary of Agriculture for Farm Production 
        and Conservation''.
          (3) Multiagency task force.--Section 242(b)(3) of the 
        Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 
        6952(b)(3)) is amended by striking ``Under Secretary for Farm 
        and Foreign Agricultural Services'' and inserting ``Under 
        Secretary of Agriculture for Trade and Foreign Agricultural 
        Affairs''.
          (4) Interagency committee on minority careers in 
        international affairs.--Section 625(c)(1)(A) of the Higher 
        Education Act of 1965 (20 U.S.C. 1131c(c)(1)(A)) is amended by 
        striking ``Under Secretary for Farm and Foreign Agricultural 
        Services'' and inserting ``Under Secretary of Agriculture for 
        Trade and Foreign Agricultural Affairs''.
  (b) References to Other Designated Department Officials.--
          (1) Definitions under consolidated farm and rural development 
        act.--Section 343(a)(13)(D) of the Agricultural Act of 1961 (7 
        U.S.C. 1991(a)(13)(D)) is amended--
                  (A) in clause (ii)--
                          (i) by inserting ``(or other official 
                        designated by the Secretary)'' after ``Under 
                        Secretary for Rural Development''; and
                          (ii) by inserting ``or designated official'' 
                        after ``Under Secretary'' each other place it 
                        appears; and
                  (B) in clause (iii)--
                          (i) by inserting ``(or other official 
                        designated by the Secretary)'' after ``Under 
                        Secretary for Rural Development''; and
                          (ii) in subclauses (III) and (IV), by 
                        inserting ``or designated official'' after 
                        ``Under Secretary'' both places it appears.
          (2) National sheep industry improvement center.--Section 
        210(f)(3)(B)(i) of the Agricultural Marketing Act of 1946 (7 
        U.S.C. 1627b(f)(3)(B)(i)) is amended by inserting ``(or other 
        official designated by the Secretary of Agriculture)'' after 
        ``Under Secretary of Agriculture for Rural Development''.
          (3) Intertribal tourism demonstration projects.--Section 
        6(a)(2)(A) of the Native American Business Development, Trade 
        Promotion, and Tourism Act of 2000 (25 U.S.C. 4305(a)(2)(A)) is 
        amended by inserting ``(or other official designated by the 
        Secretary of Agriculture)'' after ``Under Secretary of 
        Agriculture for Rural Development''.
          (4) State plans for vocational rehabilitation services.--
        Section 101(a)(11)(C) of the Rehabilitation Act of 1973 (29 
        U.S.C. 721(a)(11)(C)) is amended by inserting ``(or other 
        official designated by the Secretary of Agriculture)'' after 
        ``Under Secretary for Rural Development of the Department of 
        Agriculture''.

SEC. 11602. AUTHORITY OF SECRETARY TO CARRY OUT CERTAIN PROGRAMS UNDER 
                    DEPARTMENT OF AGRICULTURE REORGANIZATION ACT OF 
                    1994.

  Section 296(b)(8) of the Department of Agriculture Reorganization Act 
of 1994 (7 U.S.C. 7014(b)(8)) is amended by inserting ``, section 772 
of the Agriculture, Rural Development, Food and Drug Administration, 
and Related Agencies Appropriations Act, 2018, or the Agriculture and 
Nutrition Act of 2018'' before the period at the end.

SEC. 11603. CONFERENCE REPORT REQUIREMENT THRESHOLD.

  Section 14208(a)(3)(A) of the Food, Conservation, and Energy Act of 
2008 (7 U.S.C. 2255b(a)(3)(A)) is amended by striking ``$10,000'' and 
inserting ``$75,000''.

SEC. 11604. NATIONAL AGRICULTURE IMAGERY PROGRAM.

  (a) In General.--The Secretary of Agriculture, acting through the 
Administrator of the Farm Service Agency, shall carry out a national 
agriculture imagery program to annually acquire aerial imagery during 
agricultural growing seasons from the continental United States.
  (b) Data.--The aerial imagery acquired under this section shall--
          (1) consist of high resolution processed digital imagery;
          (2) be made available in a format that can be provided to 
        Federal, State, and private sector entities;
          (3) be technologically compatible with geospatial information 
        technology; and
          (4) be consistent with the standards established by the 
        Federal Geographic Data Committee.
  (c) Supplemental Satellite Imagery.--The Secretary of Agriculture may 
supplement the aerial imagery collected under this section with 
satellite imagery.
  (d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $23,000,000 for fiscal year 2019 
and each fiscal year thereafter.

SEC. 11605. REPORT ON INCLUSION OF NATURAL STONE PRODUCTS IN COMMODITY 
                    PROMOTION, RESEARCH, AND INFORMATION ACT OF 1996.

  Not later than 180 days after the date of the enactment of this Act, 
the Secretary of Agriculture shall submit to the Committee on 
Agriculture of the House of Representatives a report examining the 
effect the establishment of a Natural Stone Research and Promotion 
Board pursuant to the Commodity Promotion, Research, and Information 
Act of 1996 (7 U.S.C. 7401 et seq.) would have on the natural stone 
industry, including how such a program would effect--
          (1) research conducted on, and the promotion of, natural 
        stone;
          (2) the development and expansion of domestic markets for 
        natural stone;
          (3) economic activity of the natural stone industry subject 
        to such a Board;
          (4) economic development in rural areas; and
          (5) benefits to consumers in the United States of natural 
        stone products.

SEC. 11606. SOUTH CAROLINA INCLUSION IN VIRGINIA/CAROLINA PEANUT 
                    PRODUCING REGION.

  Section 1308(c)(2)(B)(iii) of the Farm Security and Rural Investment 
Act of 2002 (7 U.S.C. 7958(c)(2)(B)(iii)) is amended by striking 
``Virginia and North Carolina'' and inserting ``Virginia, North 
Carolina, and South Carolina''.

SEC. 11607. ESTABLISHMENT OF FOOD LOSS AND WASTE REDUCTION LIAISON.

  Subtitle A of the Department of Agriculture Reorganization Act of 
1994 (7 U.S.C. 6901 et seq.), as amended by section 11204, is further 
amended by adding at the end the following:

``SEC. 222. FOOD LOSS AND WASTE REDUCTION LIAISON.

  ``(a) Establishment.--The Secretary shall establish within the Office 
of the Secretary a Food Loss and Waste Reduction Liaison to coordinate 
Federal programs to measure and reduce the incidence of food loss and 
waste in accordance with this section.
  ``(b) Duties.--The Food Loss and Waste Reduction Liaison shall--
          ``(1) coordinate food loss and waste reduction efforts with 
        other Federal agencies, including the Environmental Protection 
        Agency and the Food and Drug Administration;
          ``(2) support and promote Federal programs to measure and 
        reduce the incidence of food loss and waste and increase food 
        recovery;
          ``(3) provide information to, and serve as a resource for, 
        entities engaged in food loss and waste reduction and food 
        recovery concerning the availability of, and eligibility 
        requirements for, participation in Federal programs;
          ``(4) raise awareness of the liability protections afforded 
        under the Bill Emerson Good Samaritan Food Donation Act (42 
        U.S.C. 1791) to persons engaged in food loss and waste 
        reduction and food recovery; and
          ``(5) make recommendations with respect to expanding food 
        recovery efforts and reducing the incidence of food loss and 
        waste.
  ``(c) Cooperative Agreements.--For purposes of carrying out the 
duties under subsection (b), the Food Loss and Waste Reduction Liaison 
may enter into contracts or cooperative agreements with the research 
centers of the Research, Education, and Economics mission area, 
institutions of higher education (as defined in section 101 of the 
Higher Education Act of 1965 (20 U.S.C. 1001)), or nonprofit 
organizations for--
          ``(1) the development of educational materials;
          ``(2) the conduct of workshops and courses; or
          ``(3) the conduct of research on best practices with respect 
        to food loss and waste reduction and food recovery.''.

SEC. 11608. COTTON CLASSIFICATION SERVICES.

  Section 3a of the Act of March 3, 1927 (7 U.S.C. 473a), is amended--
          (1) by redesignating subsection (g) as subsection (h); and
          (2) by inserting after subsection (f) the following new 
        subsection:
  ``(g) Hiring Authority.--Notwithstanding any other provision of law, 
employees hired to provide cotton classification services pursuant to 
this section may work up to 240 calendar days in a service year and may 
be rehired non-competitively every year in the same or a successor 
position if they meet performance and conduct expectations, as 
determined by the Secretary.''.

SEC. 11609. CENTURY FARMS PROGRAM.

  The Secretary shall establish a program under which the Secretary 
recognizes any farm that--
          (1) a State department of agriculture or similar statewide 
        agricultural organization recognizes as a Century Farm; or
          (2)(A) is defined as a farm or ranch under section 4284.902 
        of title 7, Code of Federal Regulations (as in effect on the 
        date of enactment of this Act);
          (B) has been in continuous operation for at least 100 years; 
        and
          (C) has been owned by the same family for at least 100 
        consecutive years, as verified through deeds, wills, abstracts, 
        tax statements, or other similar legal documents considered 
        appropriate by the Secretary.

SEC. 11610. REPORT ON AGRICULTURAL INNOVATION.

  (a) In General.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary of Agriculture, in consultation 
with the Administrator of the Environmental Protection Agency and the 
Commissioner of the Food and Drug Administration, shall prepare and 
submit a report to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate on plans for improving the Federal government's 
policies and procedures with respect to gene editing and other 
precision plant breeding methods.
  (b) Content.--The report under subsection (a) shall include plans to 
implement measures designed to ensure that--
          (1) the United States continues to provide a favorable 
        environment for research and development in precision plant 
        breeding innovation and maintains its leadership with respect 
        to that innovation;
          (2) for plants for which premarket review is required under 
        the Plant Protection Act (7 U.S.C. 7701 et seq.), the Federal 
        Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136), or 
        the Federal Food, Drug, and Cosmetic Act, the process for such 
        review is designed--
                  (A) to minimize regulatory burden while assuring 
                protection of public health and welfare; and
                  (B) to ensure that resources of the Department of 
                Agriculture are focused on plants with less familiar 
                characteristics, more complex risk pathways, or both;
          (3) each agency referred to in subsection (a) recognizes that 
        certain applications of gene editing in plants do not warrant 
        such a premarket review process;
          (4) each agency referred to in subsection (a) clearly 
        communicates the rationale for the regulatory policies and 
        decisions of such agency to the public through broadly 
        available and easily accessible tools;
          (5) categories of plants that are familiar and have a history 
        of safe use be identified and exempted from such premarket 
        review or be subject to an expedited, independent premarket 
        review process for which data requirements are reduced;
          (6) regulatory processes of each agency referred to in 
        subsection (a) are predictable, efficient, not duplicative, and 
        designed to accommodate rapid advances in plant breeding 
        technology; and
          (7) where Federal law provides for regulatory oversight of 
        plant breeding technology by more than one Federal agency, the 
        relevant Federal agencies enter into appropriate interagency 
        agreements to shift responsibility for particular categories of 
        plant products and regulatory activities for purposes of 
        meeting the goals specified in paragraphs (1) through (6).

SEC. 11611. REPORT ON DOG IMPORTATION.

  Not later than 180 days after the date of the enactment of this Act, 
the Secretary of Agriculture, in consultation with the Secretary of 
Commerce, the Secretary of Health and Human Services, and the Secretary 
of Homeland Security, 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 contains the 
following information, with respect to the importation of dogs into the 
United States:
          (1) An estimate of the number of dogs so imported each year.
          (2) The number of dogs so imported for resale.
          (3) The number of dogs for which such importation for resale 
        was requested but denied because such importation failed to 
        meet the requirements of section 18 of the Animal Welfare Act 
        (7 U.S.C. 2148).
          (4) The Secretary's recommendations for Federal statutory 
        changes determined to be necessary for such importation for 
        resale to meet the requirements of such section.

SEC. 11612. PROHIBITION ON SLAUGHTER OF DOGS AND CATS FOR HUMAN 
                    CONSUMPTION.

  The Animal Welfare Act (7 U.S.C. 2131 et seq.) is amended by adding 
at the end the following new section:

``SEC. 30. PROHIBITION OF SLAUGHTER OF DOGS AND CATS FOR HUMAN 
                    CONSUMPTION.

  ``(a) Prohibition.--No person may--
          ``(1) knowingly slaughter a dog or cat for human consumption; 
        or
          ``(2) knowingly ship, transport, move, deliver, receive, 
        possess, purchase, sell, or donate--
                  ``(A) a dog or cat to be slaughtered for human 
                consumption; or
                  ``(B) dog or cat parts for human consumption.
  ``(b) Penalty.--Any person who violates this section shall be subject 
to imprisonment for not more than 1 year, or a fine of not more than 
$2,500, or both.
  ``(c) Scope.--Subsection (a) shall apply only with respect to conduct 
in or affecting interstate or foreign commerce or within the special 
maritime and territorial jurisdiction of the United States.
  ``(d) Conflict With State Law.--This section shall not be construed 
to limit any State or local law or regulations protecting the welfare 
of animals or to prevent a State or local governing body from adopting 
and enforcing animal welfare laws and regulations that are more 
stringent than this section.''.

               Subtitle G--Protecting Interstate Commerce

SEC. 11701. PROHIBITION AGAINST INTERFERENCE BY STATE AND LOCAL 
                    GOVERNMENTS WITH PRODUCTION OR MANUFACTURE OF ITEMS 
                    IN OTHER STATES.

  (a) In General.--Consistent with article I, section 8, clause 3 of 
the Constitution of the United States, the government of a State or 
locality therein shall not impose a standard or condition on the 
production or manufacture of any agricultural product sold or offered 
for sale in interstate commerce if--
          (1) such production or manufacture occurs in another State; 
        and
          (2) the standard or condition is in addition to the standards 
        and conditions applicable to such production or manufacture 
        pursuant to--
                  (A) Federal law; and
                  (B) the laws of the State and locality in which such 
                production or manufacture occurs.
  (b) Agricultural Product Defined.--In this section, the term 
``agricultural product'' has the meaning given such term in section 207 
of the Agricultural Marketing Act of 1946 (7 U.S.C. 1626).

SEC. 11702. FEDERAL CAUSE OF ACTION TO CHALLENGE STATE REGULATION OF 
                    INTERSTATE COMMERCE.

  (a) Private Right of Action.--A person, including a producer, 
transporter, distributer, consumer, laborer, trade association, the 
Federal Government, a State government, or a unit of local government, 
which is affected by a regulation of a State or unit of local 
government which regulates any aspect of an agricultural product, 
including any aspect of the method of production, which is sold in 
interstate commerce, or any means or instrumentality through which such 
an agriculture product is sold in interstate commerce, may bring an 
action in the appropriate court to invalidate such a regulation and 
seek damages for economic loss resulting from such regulation.
  (b) Preliminary Injunction.--Upon a motion of the plaintiff, the 
court shall issue a preliminary injunction to preclude the State or 
unit of local government from enforcing the regulation at issue until 
such time as the court enters a final judgment in the case, unless the 
State or unit of local government proves by clear and convincing 
evidence that--
          (1) the State or unit of local government is likely to 
        prevail on the merits at trial; and
          (2) the injunction would cause irreparable harm to the State 
        or unit of local government.
  (c) Statute of Limitations.--No action shall be maintained under this 
section unless it is commenced within 10 years after the cause of 
action arose.

                           Brief Explanation


                          TITLE I--COMMODITIES

     Continues the Price Loss Coverage (PLC) and 
Agricultural Risk Coverage (ARC) programs with modifications, 
and discontinues the Agricultural Risk Coverage--Individual 
Coverage (ARC-IC) option.
     Provides producers with a one-time choice between 
PLC and ARC. The choice is made on a farm-by-farm and 
commodity-by-commodity basis.
     Both options utilize the reference prices given 
below, which are all consistent with the reference prices 
enacted in the Agricultural Act of 2014, with the exception of 
seed cotton.

------------------------------------------------------------------------
                                                         Reference Price
        Covered Commodity                  Units               ($)
------------------------------------------------------------------------
Wheat............................  Bu..................            5.50
Rice.............................  Cwt.................           14.00
Corn.............................  Bu..................            3.70
Oats.............................  Bu..................            2.40
Barley...........................  Bu..................            4.95
Sorghum..........................  Bu..................            3.95
Seed Cotton......................  Lb..................            0.367
Peanuts..........................  Ton.................          535
Soybeans.........................  Bu..................            8.40
Other Oilseeds...................  Cwt.................           20.15
Dry Peas.........................  Cwt.................           11.00
Lentils..........................  Cwt.................           19.97
Small Chickpeas..................  Cwt.................           19.04
Large Chickpeas..................  Cwt.................           21.54
------------------------------------------------------------------------

     Maintains seed cotton policy enacted in the 
Bipartisan Budget Act of 2018.
     Establishes an Effective Reference Price for PLC, 
which is set at the higher of the statutory reference price 
listed above, or 85% of the 5-year Olympic average, not to 
exceed 115% of the statutory reference price.
     Provides producers who were affected by drought 
during the previous yield update period a new one-time 
opportunity to update the program yield for a covered commodity 
on the farm to the average yield per planted acre from 2013 to 
2017.
     Improves ARC by prioritizing the use of Risk 
Management Agency (RMA) yield data, basing payment rates on the 
physical location of base acres, and establishing a separate 
irrigated and non-irrigated revenue guarantee in each county.
     Converts base acres on farms that were not planted 
or prevented from being planted to a covered commodity at any 
point in time from 2009 to 2017 to unassigned base, on which no 
payments will be made.
     Reauthorizes nonrecourse loans for loan 
commodities for the 2019 to 2023 crop years and makes 
adjustments to Extra Long Staple (ELS) cotton and the formula 
for upland cotton loan rates.
     Reauthorizes sugar policy in current law.
     Renames the Margin Protection Program (MPP) for 
dairy producers as the Dairy Risk Management Program (DRMP) and 
makes adjustments to coverage levels and applicable premiums 
for Tier I covered production, shown below. DRMP is authorized 
through 2023.

      COMPARISON OF PREMIUMS FOR TIER I COVERED PRODUCTION ($/Cwt.)
------------------------------------------------------------------------
                                         Bipartisan
                    Agricultural Act    Budget Act of    H.R. 2 (first 5
  Coverage Level    of 2014 (first 4    2018 (first 5    million pounds)
                    million pounds)    million pounds)
------------------------------------------------------------------------
          $9.00                N/A                N/A            $0.170
          $8.50                N/A                N/A            $0.120
          $8.00             $0.475             $0.142            $0.090
          $7.50             $0.300             $0.087            $0.057
          $7.00             $0.217             $0.063            $0.041
          $6.50             $0.090             $0.040            $0.017
          $6.00             $0.055             $0.016            $0.010
          $5.50             $0.040             $0.009            $0.008
          $5.00             $0.025               None            $0.005
          $4.50             $0.010               None            $0.002
          $4.00               None               None              None
------------------------------------------------------------------------

     Requires the Secretary to analyze the accuracy of 
feed cost data to ensure the feed cost formula reflects the 
true cost of dairy rations needed to produce a hundredweight of 
milk.
     Allows milk production that is not covered under 
DRMP to be eligible for coverage under a Livestock Gross Margin 
Dairy (LGM-D) insurance policy.
     Modifies the formula used for the calculation of 
Class I milk prices.
     Reauthorizes the Dairy Forward Pricing Program, 
Dairy Indemnity Program, and Dairy Promotion and Research 
Program through 2023.
     Repeals the Dairy Product Donation program.
     Improves the Livestock Indemnity Program (LIP) and 
maintains the Livestock Forage Program (LFP), Emergency 
Assistance for Livestock, Honey Bees and Farm-Raised Fish 
(ELAP), and the Tree Assistance Program (TAP).
     Eliminates the payment limitation on ELAP payments 
and provides for a limited exception from means testing for 
disaster programs for certain persons or entities.
     Maintains a payment limit of $125,000 for combined 
ARC and PLC program assistance.
     Continues to ensure that individuals with a 3-year 
average adjusted gross income in excess of $900,000 are 
ineligible for commodity, disaster, and conservation program 
benefits.
     Defines `qualified pass through entity' to ensure 
that payment limitations and means testing are applied 
consistently across similar entity structures.
     Requires the Secretary to ease regulatory burdens 
on producers by providing additional options for sharing data 
across the Department, and offering additional options to fill 
out the necessary paperwork for participation in farm programs.

                         TITLE II--CONSERVATION

     Continues robust funding of the Conservation 
Title, allowing investments in the locally-led, voluntary, 
incentive-based conservation model.
     Builds on the reforms of the Agricultural Act of 
2014 by streamlining, simplifying, and improving program 
administration, while increasing flexibility throughout the 
Conservation Title.
     Reforms the Conservation Reserve Program (CRP), a 
program that has been in place for over 30 years and is the 
costliest conservation program. These reforms increase the cap 
from the current 24 million acres to 29 million acres by 2023 
with no additional costs by making rental rate, practice cost-
share and incentive reforms within the program. This is 
designed to target the program to the most sensitive lands 
while avoiding direct competition with market rental rates.
     Simplifies the Conservation Stewardship Program 
(CSP) by consolidating it into the Environmental Quality 
Incentives Program (EQIP) while maintaining program function. 
Existing CSP contracts and associated funding will continue 
until their scheduled expiration.
     Provides increased funding for the Voluntary 
Public Access and Habitat Incentive Program while leaving the 
proven, successful underlying authorities in place.
     Provides mandatory annual funding for the 
Watershed Protection and Flood Prevention Program to be used 
across the three program authorities: watershed planning, 
construction, and rehabilitation.
     Introduces and provides funding for a new Feral 
Swine Eradication and Control Pilot Program to explore 
partnership-based solutions to slow the population expansion of 
feral swine and address their threat to agriculture, native 
ecosystems, and human and animal health.
     Provides additional flexibility for the 
Agricultural Conservation Easement Program (ACEP) making the 
program more efficient for farmers, stakeholders, and USDA, 
while restoring a consistent level of mandatory funding.
     Broadens the covered programs, simplifies the 
application process and program administration while adding 
additional flexibility to the innovative and popular Regional 
Conservation Partnership Program (RCPP). Includes an increase 
in mandatory funding and removes the contributing program 
requirement that was administratively cumbersome for the agency 
and partners.
     Removes an impediment to conservation adoption by 
eliminating SAM/DUNS requirements for conservation and 
commodity program participants.
     Focuses on important natural resource concerns 
like water quality and water quantity, by building support from 
``downstream'' water users while decreasing the threat of 
regulatory intervention.

                            TITLE III--TRADE

Trade Promotion

     Streamlines the Market Access Program (MAP), the 
Foreign Market Development (FMD) Program, the Technical 
Assistance for Specialty Crops (TASC) Program, and the Emerging 
Markets Program (EMP) into one International Market Development 
Program, restoring funding for FMD and TASC, and establishing 
overall funding at $255 million per year, moving forward.
     Complements the recent reorganization within the 
Department of Agriculture by ensuring the newly established 
Under Secretary for Trade and Foreign Agriculture Affairs has 
the tools necessary to enhance the competitiveness of the 
United States agricultural industry on the global stage.

International food aid and food security

     Maintains in-kind food aid as the foundation of 
the Food for Peace Program as well as the 20% flexibility 
provided in the 2014 Farm Bill to ensure the appropriate food 
aid modality can be used in each emergency and development 
situation.
     Reauthorizes appropriations for Food for Peace at 
$2.5 billion annually.
     Strengthens Food for Peace oversight, monitoring, 
and evaluation by allowing funding to fluctuate as a percentage 
of available appropriations.
     Extends authority for the Famine Early Warning 
Systems Network (FEWS NET) to provide advance information to 
more quickly and effectively respond to crises as they emerge.
     Enhances the usage of market impact analysis, 
known as Bellmon determinations, and requires that such 
analysis be completed for all forms of assistance to ensure no 
modality has adverse impacts on local markets.
     Updates food aid labeling requirements to ensure 
U.S. generosity is appropriately conveyed on packaging and 
printed materials, including materials to accompany financial 
assistance that indicate the assistance is furnished on behalf 
of the United States.
     Maintains authority for ``monetization'' within 
Food for Peace, but the 15% minimum requirement is removed to 
allow for more flexibility in development program 
implementation.
     Improves the development ``safebox'' minimum by 
increasing it by $15 million to appropriately account for the 
development (rather than emergency) goals of the Farmer-to-
Farmer program, and by authorizing the Administrator to count 
Community Development Funds (CDF) toward the minimum to better 
coordinate development efforts across foreign assistance 
programs.
     Reauthorizes funding for the prepositioning of 
U.S. in-kind commodities at current levels to allow for 
timelier food aid delivery to areas with immediate needs.
     Reauthorizes the Food Aid Consultative Group to 
ensure that key industry stakeholders maintain the ability to 
provide valuable input regarding the effectiveness of 
procedures and regulations governing food aid programs.
     Streamlines annual food aid reporting requirements 
to allow the USAID Administrator and the Secretary to submit a 
joint annual report to Congress on programs and activities; 
outlines required report content; sets an annual April 1 
deadline; and clarifies procedures if the report is not 
submitted on time.
     Renames assistance for stockpiling and rapid 
transportation, delivery, and distribution of shelf-stable 
prepackaged foods as the International Food Relief Partnership 
to reflect common industry terminology, and funding for the 
program is reauthorized to continue the use of Ready-to-Use 
Therapeutic Foods (RUTF) that save millions of lives by 
providing fortified, nutrient-dense products to vulnerable 
populations around the world.
     Reauthorizes Food for Progress to continue non-
emergency development assistance focused on improving 
agricultural productivity in developing countries and updates 
the program to clarify Congressional intent by allowing 
colleges and universities to participate.
     Reauthorizes the John Ogonowski and Doug Bereuter 
Farmer-to-Farmer Program; ensures projects are technical in 
nature; encourages sequenced Farmer-to-Farmer assignments to 
build longer-term continuity and increase capacity building 
within the program; and encourages strengthened communication 
and project coordination to ensure volunteer areas of expertise 
are of direct benefit to host country needs.
     Reauthorizes the Local and Regional Food Aid 
Procurement (LRP) Program to complement in-kind food aid by 
assisting local farmers and communities in building the 
capacity to produce food used in local schools with an emphasis 
on meeting quality standards and product specifications, 
ensuring food safety and nutritional content within each 
project.
     Maintains the Cochran Fellowship Program to 
provide short-term training opportunities to agricultural 
professionals from middle-income countries, emerging markets, 
and emerging democracies; updates programmatic authority to 
allow for in-country training if deemed more appropriate and 
efficient than conducting training in the U.S.; and emphasizes 
the transfer of skills related to sanitary and phytosanitary 
standards for agricultural products.
     Reauthorizes the Borlaug International 
Agricultural Science and Technology Fellowship to continue 
promoting food security and economic growth through training 
fellowships to citizens from developing and middle-income 
countries; updates programmatic authority to allow for in-
country training if deemed more appropriate and efficient than 
conducting training in the U.S.; and expands the program 
purposes to enhance agricultural capacity in eligible countries 
by providing fellowships to U.S. citizens for the development 
of school-based agricultural education and youth extension 
programs.
     Reauthorizes U.S. contributions to the Global Crop 
Diversity Trust at current levels to assist in the conservation 
of genetic diversity in the world's food crops, and increases 
from 25% to 33% the limitation on the aggregate percentage of 
contributions to the trust from the Federal Government.
     Reauthorizes the Bill Emerson Humanitarian Trust 
to enable the Secretary and Administrator to respond to urgent 
food needs without compromising their ability to provide 
assistance to other needy populations.

                          TITLE IV--NUTRITION

     Expands the piloted National Accuracy 
Clearinghouse to create a nationwide Duplicative Enrollment 
Database which will be used by all States when making 
eligibility determinations to prevent SNAP participants from 
receiving duplicative benefits in multiple States.
     Requires States to collect and submit SNAP 
participant data to the Duplicative Enrollment Database that 
will be summarized and published annually in a report analyzing 
participant characteristics including tenure in the program.
     Amends the Food Insecurity Nutrition Incentive 
Program (FINI) to include a training, evaluation, and 
information center, and to provide $65 million in annual 
funding by FY 2023.
     Creates the Retailer-Funded Incentives Pilot, 
improving the current benefit structure to provide the 
opportunity for recipients to increase monthly benefit 
allotments based on purchase of fruits, vegetables, and dairy.
     Requires a published review of the Thrifty Food 
Plan by 2022 and every five years thereafter.
     Allows appropriated Food Distribution Programs on 
Indian Reservations (FDPIR) funds to remain available for two 
fiscal years and strikes the requirements regarding the 
surveying and reporting of traditional foods.
     Updates categorical eligibility to only include 
instances where a beneficiary is receiving cash assistance or 
ongoing and substantial services such as transportation, child 
care, counseling, or other services as determined by the 
Secretary. The latter, known as narrow categorical eligibility, 
will have income limits set at 130% of the Federal poverty 
level (FPL) for non-elderly, non-disabled households, and 200% 
FPL for those households with an elderly or disabled member.
     Strikes the State option of deducting child 
support payments, strikes the State option of child support 
cooperation for both custodial and non-custodial parents, and 
eliminates the SNAP disqualification for child support arrears.
     Excludes up to $500 of the Basic Allowance for 
Housing for military families from any calculation of income or 
resources when determining eligibility to participate in SNAP. 
Ensures that only funding in excess of such allowance can be 
used when determining a household's expenses for the excess 
shelter deduction.
     Increases the earned income deduction percentage 
from 20% to 22%.
     Requires States to apply the simplified homeless 
housing deduction of $143 for homeless individuals not 
receiving free housing during the month.
     Ends abuse of Standard Utility Allowance 
deductions for heating and cooling by mandating households 
actually incur heating and/or cooling expenses and proving as 
such at eligibility determination. This ends the practice of 
increasing benefits for those who do not incur heating and/or 
cooling expenses but still receive the deduction.
     Modernizes asset limits to $7,000 for those 
households without an elderly or disabled member and $12,000 
for households with an elderly or disabled member.
     Updates the vehicle allowance to exclude $12,000 
of the value of one vehicle per licensed driver from a 
household's assets calculations. This figure will be adjusted 
for inflation, going forward. States must use the SNAP vehicle 
allowance at SNAP eligibility determination.
     Requires that up to $2,000 in savings be excluded 
from assets in determining eligibility, adjusted for inflation, 
going forward. This is in addition to the modernized asset 
limits for households.
     Beginning in FY 2021: Eliminates the treatment of 
Able-Bodied Adults Without Dependents (ABAWDs) as a separate 
population from other work-capable adults; establishes a 
substantive work requirement for all work-capable adults (aged 
18-59), with exemptions for the caretaker of a child under six, 
those who are pregnant, and those who are mentally or 
physically disabled; for at least 20 hours per week, work-
eligible individuals must work, participate in a work program 
(e.g., WIOA), or participate in Employment and Training (E&T); 
standardizes the disqualification policy across all States, to 
12 months of ineligibility for the first occurrence of non-
compliance and 36 months for each subsequent occurrence; 
increases the hours-per-week requirement from 20 to 25 after 
five years and amends the components of the work requirement to 
mandate case management, dictates supervised job search, and 
allows for additional options including apprenticeships, time-
limited unpaid or volunteer work, subsidized employment, family 
literacy, and financial literacy; requires States to have 
sufficient E&T slots for all non-exempt SNAP participants 
subject to the work requirement; maintains the option for 
States to exempt up to 15% of the work-eligible population 
based on an updated formula; tightens and modifies geographic 
waivers, specifically addressing the gerrymandering of areas of 
high unemployment; allows for a two year transition period for 
States to enhance their infrastructure to offer such services.
     Permits a mobile technology pilot for up to five 
authorized States.
     Prohibits switching, routing, or processing fees 
within retailer SNAP transactions.
     Requires SNAP households to take action after more 
than two cards are lost, down from four.
     Narrows the time limit for SNAP benefit storage 
and expungement.
     Requires nationwide implementation of online 
acceptance of benefits post-pilot.
     Requires the routing of all SNAP transactions 
through a national gateway for the purposes of transaction 
validation and settlement.
     Requires States to offer five months of 
transitional benefits for households that cease to receive cash 
assistance.
     Requires at least a biennial survey and summary of 
retail food store SNAP EBT transactions.
     Increases the amount of recovered funds States are 
permitted to retain and requires what those funds can be used 
for: investments in technology, improvements in administration 
and distribution, and actions to prevent fraud.
     Reduces the tolerance level for payment errors 
from $37 to $0.
     Eliminates State performance bonuses but maintains 
the evaluation of State performance indicators.
     Increases resources for The Emergency Food 
Assistance Program (TEFAP) and establishes a farm-to-food bank 
program that leverages available food production in the State 
to provide nutrition for low-income individuals.
     Reforms nutrition education by revising funding 
and administration, and ends duplication and improves 
coordination through the combining of SNAP-Ed and the Expanded 
Food and Nutrition Education Program (EFNEP).
     Permits up to $150 million to be used as 
implementation funds for changes to Subtitle A--Supplemental 
Nutrition Assistance Program.
     Allows for all forms to be considered in the 
delivery of the Fruit and Vegetable School Lunch Program.

                            TITLE V--CREDIT

     Amends the Farm Ownership Loan Program to grant 
the Secretary enhanced flexibility to allow military experience 
or agricultural education to qualify for a portion of the 3-
year farming or ranching experience requirement to become an 
eligible borrower.
     Reauthorizes the Conservation Loan and Loan 
Guarantee Program.
     Reauthorizes Farm Ownership and Operating Loans 
with a modest increase in the guaranteed loan limit to account 
for growing financial stress in rural America.
     Extends the Beginning Farmer and Rancher 
Individual Development Accounts Program.
     Reserves Loan Fund Set-Asides, which is a portion 
of the guaranteed farm ownership loan and direct operating loan 
funds, for beginning farmers and ranchers.
     Removes obsolete references from the Farm Credit 
Act and grants the Farm Credit Administration new oversight 
authorities to go after bad actors.
     Extends the State Agricultural Mediation Programs, 
allowing agriculture and USDA-related disputes to be resolved.
     Updates authority of Farmer Mac to more 
appropriately reflect the current size of the average U.S. 
farming operation.

                      TITLE VI--RURAL DEVELOPMENT

     Creates new forward-looking broadband standards, 
requiring projects financed through USDA to provide broadband-
levels of service through the duration of their loan terms.
     Provides new incentives for borrowers seeking to 
serve high-cost, low-density rural areas to finally develop 
high-speed broadband networks in the hardest to serve rural 
areas.
     Provides new authority for the Secretary to 
prioritize projects that will help to combat the opioid crisis 
devastating rural families and communities.
     During a time of record suicides among farmers and 
ranchers, the bill reauthorizes the farmer and rancher mental 
health services program to provide needed mental health 
services to the agricultural community.
     Provides all rural communities under 50,000 people 
access to the guaranteed lending programs that finance critical 
infrastructure projects such as essential community facilities, 
broadband systems, and water systems and waste disposal 
facilities.
     Simplifies and incentivizes regional development, 
to help rural communities maximize the value of cooperation and 
work together to build their economies.
     Provides assistance to farm and ranch 
organizations to establish Association Health Plans for their 
members.
     Reauthorizes and makes improvements to the 
longstanding water and waste, community facilities, 
telecommunications, and electric infrastructure loan and grant 
programs that bring critical health, sanitary, educational, and 
connectivity services to rural regions.
     Reauthorizes the successful energy programs that 
help diversify our nation's energy supply, promote energy 
efficiency, and create new economic opportunities in rural 
America.
     Adjusts eligibility requirements for the Rural 
Energy Savings Program and ensures longevity of the program.
     Ensures that mature markets for biobased products 
made from forestry materials are not put at a competitive 
disadvantage.
     Expands project eligibility for biorefinery and 
biobased product manufacturing assistance.
     Provides equitable distribution of payments to 
feedstocks under the Bioenergy for Advanced Biofuels Program.
     Repeals the Rural Energy Self-Sufficiency 
Initiative.

          TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS

     Reauthorizes extramural research, extension, and 
education grants and formula funds for programs administered by 
the National Institute of Food and Agriculture.
     Reauthorizes university research, extension, and 
education for agricultural activities at 1862, 1890, and 1994 
Land-Grant Colleges and Universities.
     Reauthorizes competitive capacity building and 
education grants for Non-Land Grant Colleges of Agriculture and 
Hispanic-Serving Agricultural Colleges and Universities.
     Reauthorizes the National Agricultural Research, 
Extension, Education, and Economics Advisory Board and the 
Specialty Crop Committee while streamlining the membership 
structure and role to enhance the board's function of providing 
industry and stakeholder input to the Department's research, 
extension, and education priority-setting process.
     Reauthorizes funding and updates priorities of the 
Department's premier competitive research and extension 
program, the Agriculture and Food Research Initiative.
     Maintains permanent funding of $80 million per 
year for the Specialty Crop Research Initiative. The Organic 
Agriculture Research and Extension Initiative and the Beginning 
Farmer and Rancher Development Program are provided a total of 
$50 million in mandatory funding per year.

                          TITLE VIII--FORESTRY

    The Farm Bill encourages proper management for healthy and 
productive Federal, State, and private forests and incentivizes 
infrastructure and new market opportunities to revitalize 
communities and healthy landscapes.
     Promotes conservation on private forests through 
the Forest Legacy Program and the Community Forest and Open 
Space Conservation Program.
     Protects forests through cross-boundary forest 
management projects by authorizing the State and private forest 
landscape-scale restoration program.
     Works to address the need for innovative wood 
products for low value wood.
     Updates and modernizes the Secure Rural Schools 
law and further empowers the Resource Advisory Committees 
(RACs) that have brought diverse viewpoints together to solve 
National Forest management problems.
     Builds upon the successes of categorical 
exclusions (CEs). CEs are used for routine activities with 
known outcomes, and they save the United States Forest Service 
(USFS) time and money while still protecting the environment 
and natural resources.
     Expedites the USFS's ability to quickly remove 
dead trees after wildfires. This will pay for reforestation and 
rehabilitation, including planting trees, surveying for natural 
regeneration, clearing vegetation around seedlings, and other 
activities.
     Ensures robust protection of the environment 
through environmental reviews while making environmental 
process requirements more efficient by reducing project 
planning times and costs of implementing forest management 
projects.
     Authorizes the USFS to immediately implement tools 
to reduce the threat of catastrophic wildfire, insect and 
disease infestation, and damage to municipal watersheds.
     Directs the Secretary to promote the research and 
development of tall wood building construction.
     Creates no new Federal red-tape or requirements--
no new mapping, planning, rule-making, or reports.

                         TITLE IX--HORTICULTURE

     Maintains funding for the Specialty Crop Block 
Grant Program, with funding provided for multi-state projects, 
while streamlining reporting requirements for State agencies.
     Provides authorization of appropriations for the 
Farmers' Market and Local Food Promotion Program to improve and 
expand direct producer-to-consumer market opportunities 
including the development of local food system infrastructure.
     Reauthorizes the National Organic Program and 
Organic Production and Market Data Initiatives and provides for 
modernization of organic import documentation, new technology 
advancements, and stricter enforcement of organic imports.
     Clarifies the role and authority of State lead 
agencies in regulating pesticides under the Federal 
Insecticide, Fungicide, and Rodenticide Act (FIFRA).
     Streamlines the process for Endangered Species Act 
consultations for pesticide registrations and registration 
reviews under FIFRA.
     Provides regulatory relief by eliminating a costly 
and duplicative permitting requirement for pesticide 
applications.

                        TITLE X--CROP INSURANCE

     Allows the Risk Management Agency (RMA) to offer 
insurance for forage and grazing and harvested grain in the 
same season for certain crops.
     Prevents duplication of coverage between certain 
crop insurance policies and Agricultural Risk Coverage (ARC).
     Repeals unused authority to offer additional 
discounts to certain producers.
     Affirms RMA's authority to offer yield adjustments 
in certain instances.
     Establishes guidelines for appropriate 
reimbursement of expenses related to the development or 
maintenance of privately-developed policies.
     Extends the discount for beginning farmers and 
ranchers from 5 years to 10 years for the purposes of 
calculating producer-paid premium for Whole Farm Revenue 
Protection (WFRP).
     Directs research and development of new or 
improved crop insurance policies for certain underserved or 
high priority commodities.
     Repeals the Risk Management Education Partnerships 
Program, the Targeted States Program, and Agricultural 
Management Assistance, and adjusts funding levels accordingly.

                        TITLE XI--MISCELLANEOUS

                         SUBTITLE A--LIVESTOCK

     Reauthorizes the National Animal Health Laboratory 
Network for rapid disease diagnosis.
     Establishes and provides funding for a U.S.-only 
vaccine bank to respond to accidental or intentional 
introduction of animal disease--foot-and-mouth disease (FMD) in 
particular.
     Establishes and provides funding for the National 
Animal Disease Preparedness and Response Program to leverage 
local, State, and national resources in preventing and 
responding to threats such as FMD, cattle fever tick, Highly 
Pathogenic Avian Influenza (HPAI), Porcine Epidemic Diarrhea 
Virus (PEDv), and more.
     Reauthorizes the National Aquatic Animal Health 
Plan.
     Authorizes the Secretary to maintain--in all 
regions of the United States--veterinary teams, including those 
based at colleges of veterinary medicine, who are capable of 
providing effective response services before, during, and after 
emergencies.
     Directs the USDA Inspector General to submit a 
report to the Secretary on the effectiveness of outreach by the 
Food Safety and Inspection Service (FSIS) to small and very-
small processors.
     Establishes a Food Loss and Waste Reduction 
Liaison to coordinate Federal programs to measure and reduce 
the incidence of food loss and waste.

  SUBTITLE B--BEGINNING, SOCIALLY DISADVANTAGED, AND VETERAN PRODUCERS

     Reauthorizes outreach and assistance for socially 
disadvantaged farmers and ranchers and veteran farmers and 
ranchers.
     Reauthorizes appropriations for the Office of 
Partnerships and Public Engagement to increase outreach to 
limited-resource, veteran, Tribal farmers and ranchers, and 
youth.
     Establishes the ``Commission on Farm Transitions--
Needs for 2050'' to study issues impacting the transition of 
farms and ranches to the next generation of producers.
     Directs the Secretary to establish an agricultural 
youth organization coordinator position to promote the role of 
youth organizations in motivating and preparing young people to 
pursue careers in agriculture, food, and natural resource 
systems.

                            Purpose and Need

    Not since the Farm Security and Rural Investment Act of 
2002 was enacted to prevent a farm financial crisis from 
unfolding has the need for a Farm Bill been more evident. 
Today, as then, the U.S. agriculture economy is in a deep, 
prolonged recession.
    Net farm income has fallen by 52 percent over the past five 
years, among the steepest declines since the Great Depression. 
In the midst of a severe five-year recession, net farm income, 
measured in nominal dollars, is the lowest in 12 years, and the 
lowest since 2002 when adjusted for inflation. Meanwhile, costs 
of production have been steadily climbing.
    The result is that farm and ranch income is not able to 
keep up with costs, forcing farmers and ranchers to work 16 
hours or more a day, with many taking on two or three other 
jobs in town alongside their spouses who also work off the 
farm, just to make ends meet. In fact, the Federal Reserve Bank 
of Kansas City has observed that without this off-farm income 
most farmers would be unable to pay their debts.
    According to the Agricultural and Food Policy Center and 
the Food and Agricultural Policy Research Institute, about two-
thirds of the representative farms used nationwide to measure 
the economic health of agriculture are expected to be in 
marginal or poor condition.
    Two Wall Street Journal articles--``The Next American Farm 
Bust is Upon Us'' (Feb. 8, 2017) and ``To Stay on the Land, 
American Farmers Add Extra Jobs'' (Feb. 25, 2018)--encapsulate 
well the economic condition of farm and ranch country in 
America today.
    The impacts are serious, both on and off the farm. Aging 
farmers and ranchers are encouraging their children to take 
jobs in the city rather than take over the family farm or 
ranch. Meanwhile, off the farm, the number of jobs outside of 
the metro areas has remained three percent below the pre-
recession peak even as metro jobs have grown five percent.
    But, even in 2015, near the beginning of the current 
recession in agriculture, the Economic Research Service (ERS) 
had already concluded that 46 percent of midsized family farms 
and 36 percent of large family farms had margins low enough to 
be considered ``high risk''.
    This is because agriculture is an inherently risky 
business. Farmers and ranchers operate in a perfectly 
competitive sector, meaning farmers are price-takers with 
little to no market power. Within this environment, farmers and 
ranchers tend to realize long-run average net returns that are 
near zero. Highly volatile prices and weather-related 
production losses create a high-risk situation for farmers and 
ranchers operating on very thin and often negative margins even 
in relatively ordinary economic times.
    In fact, in 2015, ERS found that, on average, for the top 
four crops, a farmer realized a profit less than 30 percent of 
the time when all costs were taken into account. To contrast 
the level of risk in agriculture versus other sectors of the 
economy, a report comparing the two found that returns on 
agricultural assets exceeded returns on non-agricultural assets 
only once over the thirty-two years that were analyzed. The 
risks in agriculture are truly exceptional.
    This helps explain why even in 2007, during relatively good 
years in agriculture, the Agricultural and Food Policy Center 
concluded that most U.S. farms and ranches would have been 
unable to survive the erosion in farm income resulting from an 
amendment to the Farm Bill at the time that effectively 
proposed to eliminate the farm safety net provided by Title I 
of the Farm Bill. It also explains why U.S. farm policy has 
been around in one form or another since our country began.
    The predatory trade practices employed by foreign countries 
involving high and rising subsidies, tariffs, and non-tariff 
trade barriers; the record losses suffered in 2017 due to 
hurricanes and wildfires; costly government regulations; and 
spiraling health care costs, especially for the self-employed, 
are reminders of factors that lay well beyond the control of 
our nation's farm and ranch families.
    For instance, in a single year, China over-subsidized just 
three crops by more than $100 billion and, more recently, 
illegally retaliated against American farmers in response to 
U.S. efforts to gain China's compliance with its other trade 
commitments. The egregious policies of China and many other 
foreign nations stand in stark contrast with the open market of 
the United States which has among the lowest tariffs and 
domestic supports in the world.
    Despite the lopsided playing field resulting from a global 
market distorted by the predatory trade practices of foreign 
countries, America's farmers and ranchers have worked hard to 
stay competitive, generating a U.S. trade surplus in 
agricultural trade amidst a very substantial overall annual 
trade deficit for the United States.
    The competitiveness of America's farmers and ranchers has 
also produced the smallest grocery bills for U.S. consumers, 
with Americans spending about 6.4 percent of total expenditures 
on food consumed at home.
    Meanwhile, consumers around the world benefit from 
America's farmers and ranchers who truly provide the safest, 
most abundant, most affordable food supply in the world while 
also creating 21 million American jobs at home.
    Although U.S. farm policy undergirds this remarkable record 
of accomplishment, its price tag comes to roughly one-quarter 
of 1 percent of the total federal budget, with the overall farm 
bill, which encompasses far more than a farm safety net, on 
target to save taxpayers more than $112 billion over the next 
ten years.
    The Agriculture and Nutrition Act of 2018 recognizes the 
unique risks inherent in agriculture, the hardship that 
America's farmers and ranchers are currently experiencing, and 
the enormous contributions the nation's farm and ranch families 
make to our country.
    The farm bill keeps faith with these hard working farm and 
ranch families by providing a strong safety net, particularly 
under Title I of the Farm Bill and under Federal Crop 
Insurance, while also keeping faith with taxpayers and future 
generations of Americans by honoring the significant budget 
savings already being achieved under the current Farm Bill.
    The farm bill maintains the broad statutory authority 
invested in the Secretary of Agriculture to respond to any 
extraordinary needs in farm and ranch country, including 
authority to provide direct assistance to farmers and ranchers 
who suffer economic losses as a result of unwarranted trade 
actions by foreign nations, including the illegal retaliatory 
actions recently taken or threatened by China.
    The farm bill also further strengthens America's commitment 
to cleaner air and water, healthy soils, and abundant and 
vibrant wetlands, wildlife, and wildlife habitat; affirms our 
nation's commitment to highly successful humanitarian 
assistance and food aid policy; and renews critical investment 
in trade promotion tools vital to the global competitiveness of 
America's farmers and ranchers.
    The farm bill fully funds the nutrition title, maintaining 
key initiatives in helping low income families put food on 
their tables while offering something far greater: training 
opportunities that will lead them to a good paying job, 
independence, and a brighter future.
    The farm bill also ensures ample credit for our nation's 
farmers and ranchers so they can produce a crop and make long-
term investments in their operations, while providing loans and 
grants for critical rural infrastructure, including reaching 
underserved and unserved areas of rural America with high-
quality broadband service.
    The farm bill provides the Secretary with the tools he 
needs to step up the fight against opioid addiction, 
incentivizes healthy forests and cutting edge research, while 
providing groundbreaking investment in animal disease 
preparedness and response and key initiatives for specialty 
crop farmers.
    And, apart from the nutrition title, the farm bill 
represents the bipartisan work of Committee leadership. This 
work was ongoing and productive until the Ranking Member 
declared, after receiving instructions to halt further 
negotiations, that Democratic opposition to the measure could 
not be overcome due primarily to objections to a 20 hour per 
week work or training requirement for work-capable adults 
participating in SNAP.
    Yet, despite the disagreement over the nutrition title, on 
balance, the farm bill still reflects the bipartisan consensus 
reached after a thorough, open, and transparent three-year 
process that included 114 hearings, six listening sessions in 
the field, and countless meetings with organizations 
representing every American whose life is touched by the farm 
bill.

                          TITLE I--COMMODITIES

    Title I of the farm bill is the front line defense of 
farmers and dairy producers struggling to survive in the face 
of five years of depressed prices and revenue, and ranchers and 
livestock producers coping with production losses resulting 
from natural disasters.
    Generally, farmers, ranchers, dairymen, and other livestock 
producers urged the Committee to maintain the suite of risk 
management tools provided under Title I of current law, 
including Price Loss Coverage (PLC), Agriculture Risk Coverage 
(ARC), Marketing Loans, U.S. sugar policy, dairy risk 
management, and supplemental agricultural disaster assistance 
programs. The challenge facing the Committee was honoring these 
requests with a budget baseline that is $1.7 billion lower than 
the baseline used to write Title I of the 2014 Farm Bill.
    Despite the budgetary challenge, the Farm Bill honors the 
request of producers by providing farmers with a new election 
opportunity between PLC and ARC, with some improvements made to 
each option. Farmers noted that under previous farm bills, 
reference prices could become outdated and lose relevance to 
producers under certain market conditions. Many farmers who 
experienced severe drought during the last opportunity to 
update yields used to administer PLC requested a second 
opportunity. Farmers also frequently observed the disparate 
benefits from county-to-county under ARC and sought several 
ways in which to smooth out these disparities. The farm bill 
addresses these key concerns as well as others.
    The farm bill also fully maintains the broad statutory 
authority invested in the Secretary of Agriculture to respond 
to extraordinary needs, including authority to provide direct 
assistance to farmers and ranchers who suffer economic losses 
as a result of unwarranted trade actions by foreign nations, 
including the illegal retaliatory actions taken or threatened 
by China.
    The farm bill also honors the request of farmers by 
generally maintaining Marketing Loans and U.S. sugar policy. 
U.S. sugar policy is operating at no cost to the taxpayer and 
has done so for all but one of the last 17 years, the year in 
which Mexico was found guilty of dumping sugar onto the U.S. 
market at prices below Mexico's cost of production in violation 
of U.S. trade law.
    USDA estimates that U.S. sugar policy will continue to 
operate at no cost to taxpayers due in part to the suspension 
agreements to halt illegal dumping and injury to U.S. producers 
that were agreed to by the United States and Mexico. Meanwhile, 
recent studies find that both U.S. retail and wholesale sugar 
prices are lower than abroad. The Committee expects the 
Secretary to carry out U.S. sugar policy in a manner that 
maintains these benefits to taxpayers and consumers.
    The Committee did not include proposals put forward by 
manufacturer users of sugar because the proposals would 
legitimize the dumping of heavily subsidized imports onto the 
U.S. market, depressing prices for U.S. sugar producers and 
jeopardizing their ability to repay loans. Manufacturers also 
propose to reduce the sugar loan rate to levels set 33 years 
ago despite significant increases in costs of production since 
1985. Finally, manufacturers seek to eliminate the nonrecourse 
nature of the loan, no longer accepting forfeiture of a crop 
pledged as collateral in satisfaction of loan debt. This 
proposal has serious implications not only for sugar farmers 
but sets a dangerous precedent for farmers of all crops 
eligible for marketing loans. The Committee observes that such 
proposals have also called for the elimination of sugar 
supports world-wide and notes that Congressional approval of H. 
Con. Res. 40 (115th Congress) is the best means to achieve this 
goal, a goal shared by U.S. sugar farmers.
    For purposes of the prevailing world market price for 
cotton described in section 1204(d), the Committee urges the 
Secretary to consider modifying the current formula to include 
the three lowest-priced growths quoted for Middling (M) 1 3/32 
inch, CFR Far East, rather than the current formula that 
utilizes the five lowest-priced growths. Moreover, for purposes 
of the adjustments to the prevailing world market price for 
cotton, as described in section 1204 (e)(2)(A)(ii), the 
Committee urges the Secretary to work with representatives of 
the U.S. cotton industry to ensure that the ``average costs to 
market the commodity, including average transportation costs'' 
fully and consistently account for all associated costs, 
including average storage costs and transportation costs from 
an interior warehouse. The Committee commends the Secretary of 
Agriculture's July 2017 decision to release the results of the 
new cost-to-market survey two weeks in advance of the actual 
Adjusted World Price announcement in which the new survey is 
incorporated, as this decision reflects statutory purpose and 
Congressional intent. The Committee believes that it is 
critical for industry participants to have advance notice of 
the new cost to market data and providing this to the industry 
will help avoid undue disruptions to the U.S. cotton market. 
The Committee urges the Secretary to continue to make these 
announcements in advance.
    Recognizing the importance of timely shipment and delivery 
of cotton to the end-user, the Committee urges the Secretary to 
work with representatives of the U.S. cotton industry to 
achieve consensus among all segments of the industry on how 
best to update and modernize the current Cotton Storage 
Agreement for U.S. cotton warehouses. The Committee expects the 
Secretary to ensure that any updates are based on the consensus 
recommendations of the industry and include the following: (1) 
require the use of Batch 23 for shipping orders to include a 
valid load date; (2) update warehouse hours of service to be 
consistent with the hours of service requirements in the U.S. 
Warehouse Act; and (3) require a bale locator ID to be used 
when issuing a warehouse receipt and recommend that the locator 
ID be updated each time a bale location changes. The Committee 
expects the Secretary to ensure that the shipping order data 
from Batch 23 is utilized to audit warehouse performance in 
order to ensure warehouses are meeting the minimum shipping 
standard of 4.5 percent.
    Dairy policy is maintained with some important 
improvements, including provisions to provide greater coverage 
levels at lower premium cost with respect to the first five 
million pounds of production. The former cap on livestock 
(including dairy) insurance policies available under Federal 
Crop Insurance remains lifted to allow insurance products to 
help all dairy producers manage risk. Finally, the calculation 
of class I milk is adjusted to better enable producers to hedge 
price risk in the futures market.
    Livestock disaster programs are maintained and 
strengthened, including expanding the Livestock Indemnity 
Program to cover the death or sale loss resulting from diseases 
caused or transmitted by a vector that cannot be controlled by 
vaccination or other acceptable management practices, as well 
as through the streamlining of rules that have impeded the 
effectiveness of these programs in responding to disasters. The 
Committee is concerned about the administration of the Farm 
Service Agency's Tree Assistance Program for nursery tree 
growers. The Committee encourages the Secretary, acting through 
FSA, to further define ``stand'' as it relates to eligible 
crops for an eligible nursery tree grower. The Committee also 
expects that FSA gather input from a qualified ornamental 
horticultural expert to determine loss prior to the county 
committee making a determination on an eligible nursery 
grower's application. Further, the Committee expects FSA to 
allow additional time to fully access tree, bush, and vine 
damage to support an eligible nursery grower's application in 
the event that the 90-day disaster event deadline expires and 
disaster-related losses become apparent after the deadline. FSA 
is also expected to provide additional training of state and 
contract personnel regarding FSA emergency assistance programs 
available to eligible nurseries, greenhouses, and Christmas 
tree growers. With respect to the Livestock Forage Program 
(LFP), the Committee observes that FSA has lost a national 
appeals division (NAD) case concerning the regulatory treatment 
of contract growers who are at risk relative to the weight gain 
of livestock. The Committee encourages FSA to revise the 
regulation in order to provide clear and equitable guidelines 
for producers as to who is eligible for an LFP payment based on 
the type of contract under which they operate.
    The Administration subtitle largely reflects previous such 
subtitles to ensure a speedy and seamless transition from old 
law to new. The Adjusted Gross Income test, which was imposed 
by the 2002 Farm Bill and sharply lowered under the 2008 and 
2014 Farm Bills, is maintained at its current level. The lower 
aggregate payment limitation approved under the 2014 Farm Bill 
is also maintained. Pass-through entities are treated the same 
as general partnerships and joint ventures to ensure that farm 
and ranch families are not discriminated against based on how 
they structure their operations. Importantly, this does not 
excuse any persons or entities that comprise pass-through 
entities from the pay limit.
    The Committee supports the Acreage Crop Reporting and 
Streamlining Initiative (ACRSI) insofar as the initiative makes 
reporting more efficient. In this regard, the Committee expects 
the Secretary to ensure that ACRSI complements, rather than 
attempts to supplant, the critical role of Approved Insurance 
Providers (AIP) or agents or any portion of the current 
private-public partnership. The Committee expects the Secretary 
to ensure that the continued success and integrity of Federal 
Crop Insurance remains paramount as ACRSI efforts move forward.
    The Committee expects the Secretary to address 
inconsistencies across FSA offices in accepting Approved 
Insurance Provider-generated maps and urges the Secretary to 
ensure that the integration of resource land units (RLUs) into 
the common land unit (CLU) database is a priority in 
streamlining efforts. The Committee also expects that the 
Secretary will require that third-party reporting standards are 
the same as the standards applied to other data sources. 
Finally, the Committee also urges the Secretary to develop 
metrics to illustrate the status of this initiative, such as 
data on the benefit to producers.

                         TITLE II--CONSERVATION

    The conservation title authorizes technical and financial 
cost-share assistance for farmers, ranchers, foresters, and 
landowners to improve conservation through voluntary, 
incentive-based practices on private lands. Through these 
programs, producers work to restore water quality and quantity, 
air quality, wildlife habitat, soil erosion and health, and 
regulatory compliance. The programs aim to improve our natural 
resources, while continuing to provide a safe, affordable food 
supply. Over the past several farm bills, the conservation 
title has gained significance while incentivizing substantial 
private investment in conservation practices.
    The Food Security Act of 1985 authorized several 
conservation measures intended to address concerns about the 
impact of agricultural production on soil erosion and wetland 
loss. The 1996 Farm Bill took the groundbreaking step of 
consolidating previously discretionary funded programs into one 
new program, the Environmental Quality Incentives Program 
(EQIP), funded with mandatory money from the Commodity Credit 
Corporation (CCC). EQIP is now one of the most successful and 
popular programs among farmers and ranchers.
    Budget circumstances for the Farm Security and Rural 
Investment Act of 2002 allowed for the expansion of 
conservation programs with the addition of $17.5 billion to the 
conservation baseline for the life of the bill and the out-year 
baseline as well. The Conservation Security Program was also 
created.
    Despite budget pressures, the Food, Conservation, and 
Energy Act of 2008 increased conservation spending by nearly 
$4.5 billion during the life of the bill and created new, 
targeted conservation programs such as the Chesapeake Bay 
Program and the Cooperative Conservation Partnership Initiative 
(CCPI). The bill also made significant reforms to and renamed 
the Conservation Stewardship Program (CSP). However, the 
Wetland Reserve Program (WRP), the Grassland Reserve Program 
(GRP), the Small Watershed Rehabilitation Program, and the 
Voluntary Public Access and Habitat Incentive Program remained 
without adequate baselines given the demand and interest in 
these programs.
    Recognizing the growing complexity of the conservation 
title, the Agricultural Act of 2014 eliminated or combined 23 
duplicative and overlapping programs into 13 programs to allow 
for streamlined delivery, while also providing an estimated 
$6.1 billion in savings below baseline funding. Additionally, 
the bill created the Regional Conservation Partnership Program 
(RCPP) to address landscape-scale concerns while leveraging 
significant private investment.
    The Committee recognizes that the programs have been 
successful, yet further consolidation can create a better 
customer service experience for producers with NRCS and return 
a greater conservation impact for the investment. By phasing 
out CSP and incorporating the program into EQIP, which will in 
turn see funding growth over the life of the farm bill, 
producers will be able to address their conservation needs with 
greater precision. Furthermore, by eliminating burdensome 
requirements, the Committee encourages greater participation 
and adoption of practices. The Committee's priority to assist 
farmers and ranchers in addressing environmental regulations 
and conservation needs has not changed.

Conservation Reserve Program (CRP)

    The Committee strongly supports CRP as one of the main 
pillars of cost-effective conservation available to farmers and 
ranchers. However, through the hearing process, it became clear 
that the lower statutory cap of 24 million acres was not 
sufficient to enroll many sensitive acres. Furthermore, the 
Committee believes that in years of high commodity prices, many 
acres capable of production were not available because they 
were enrolled in CRP, directly competing with many producers 
actively seeking land to farm. The Committee-reported bill 
addresses both issues by incrementally raising the statutory 
acreage cap to 29 million acres while eliminating incentive 
payments and capping rental rates for initial and successive 
re-enrollments. These market-based adjustments ensure sensitive 
acres have room in the program without competing directly with 
producers. The reported bill ensures the availability of the 
program across the country by allocating acres for enrollment 
during the sign-up period to each state in proportion to the 
historic enrollment during the period 2007 through 2016.
    The reported bill directs the Secretary to reserve up to 
three million acres of CRP for working grassland contracts and 
retains the priority for transitioning expiring contracts to 
grasslands as an alternative to returning the fields to 
cultivation. The bill provides a step up of grassland acres 
offered for enrollment in each of the five years and reserves 
the unused acres, if any, for grassland enrollment only.
    The Committee recognizes the need for grazing flexibility 
as a method of management, with great environmental and 
economic benefits. The reported bill maintains the authority 
for the Secretary to allow use of CRP during natural disasters 
without penalty. It further provides greater flexibility for 
haying and grazing of the cover throughout the life of the 
contract under a Secretary-approved plan. Additionally, grazing 
as a mid-contract management activity can be accomplished 
without a reduction in the rental payment.
    The Committee adjusted the cost-share rate for conservation 
practices on the enrolled lands. Further, the Committee limited 
the cost-share for seed costs. The Committee intends for the 
choices of conservation cover and associated seed mixtures to 
be constructed with the producer's input, meet the applicable 
conservation practice standard, achieve the program's purposes, 
and responsibly invest the Federal contribution.
    To ensure beginning farmers have access to land, the 
reported bill preserves the Transition Incentives Program (TIP) 
and allocates $33 million to facilitate this effort. The bill 
also continues the flexibility to work with producers on 
expiring contracts to maintain buffers and other high value 
practices in the program while providing assistance in 
transitioning the field to agriculture production during the 
final year of the contract.

Environmental Quality Incentives Program (EQIP)

    The Environmental Quality Incentives Program provides cost-
share incentives to producers to meet or avoid the need for 
national, State, or local regulation. Under the Committee-
reported bill, funding is significantly increased to $3 billion 
per year by 2023 to allow more producers to utilize cost-share 
assistance to improve conservation on their operations.
    The Committee-reported bill updates the program to include 
conservation activities that support precision conservation 
management technologies and further defines priority resource 
concerns and stewardship practices to encompass all innovative 
practices and ensure farmers, ranchers, and foresters have the 
flexibility to address their needs. The Committee-reported bill 
recognizes the importance of stewardship practices promoted 
through the Conservation Stewardship Program in the past. 
Stewardship practices, such as cover crops, have a positive 
impact on soil health and water quality.
    The Committee also recognizes that resource conserving 
crops, such as sorghum and alfalfa, when used in a rotation can 
yield benefits to soil health, water conservation, and water 
quality. Resource conserving crops play a vital role in overall 
conservation of resources in a working operation and should be 
supported through the consolidated EQIP. The Committee 
recognizes that conservation practices have significant value 
for farmers and ranchers, but also have significant downstream 
benefits in addition to those realized on the farm, ranch, or 
forestland by the producer. Incorporating stewardship practices 
into EQIP will continue to support ongoing and further adoption 
of these important agriculture and forest practices. The 
Committee looks forward to working with NRCS to deliver the 
program in a way that encourages the adoption of cover crops 
and conservation benefiting precision agriculture technologies 
on cropland, and practices that promote increased stewardship 
of our grazing lands and forest resources.
    In clarifying an expanded view of a resource conserving 
crop, the Committee offers the following definition: A 
``Resource conserving crop rotation'' refers to a crop rotation 
that includes at least one resource-conserving crop; reduces 
erosion; improves soil fertility and tilth; interrupts pest 
cycles; and in applicable areas, reduces depletion of soil 
moisture or otherwise reduces the quantity of irrigation 
needed. A ``resource conserving crop'' may be: (1) a perennial 
grass, legume, or grass/legume grown for use as a forage, seed 
for planting, or green manure; (2) a high residue producing 
crop; (3) a cover crop following an annual crop; (4) a water 
savings crop (including sorghum); or (5) a crop in rotation 
that interrupts pest or disease cycles or otherwise conserves 
resources.
    Bringing forward the best of the CSP into EQIP, stewardship 
contracts will be available to producers for not less than five 
years but no more than 10 years to receive annual and cost-
share payments for adoption, installation, required management 
and maintenance of stewardship practices that attain increased 
natural resource stewardship on the applicable portion of the 
farm, ranch, or forest as determined by the producer. The 
Committee anticipates stewardship practices with broad resource 
benefits including, but not limited to, cover crops, transition 
to resource conserving crop rotations, and incorporation of 
precision agriculture technologies into agriculture operations 
will be available to producers within the program. Similarly, a 
broad suite of stewardship practices relating to grazing lands 
and forest lands will be available to incentivize increased 
levels of conservation around locally-established resource 
priorities.
    Stewardship practice payments to a producer or legal entity 
will not exceed $50,000 per fiscal year and the Secretary 
cannot use more than 50% of the annual EQIP allocation for 
stewardship contracts. Within the combined program, the 
Committee intends for the stewardship contracts to be driven by 
a locally-led priority setting process that results in adoption 
of conservation practices addressing the highest priority 
conservation needs across all private land uses within a 
particular watershed, or other appropriate region or area 
within a State.
    The reported bill expands the irrigation water conservation 
authorities by making irrigation districts, irrigation 
associations, and acequias eligible for contracts and certain 
other discretionary authorities granted to the Secretary 
ensuring successful adoption of water conserving measures 
within a broader project area. The Committee believes NRCS can 
use this additional flexibility to work cooperatively with 
these associations and directly with landowners to improve 
water conservation measures and create new efficiencies where 
aquifers are in decline and surface water supplies are limited. 
In achieving water conservation benefits, the Committee 
understands the complexity of determining water savings and 
reduction. Therefore, the Committee urges the Department to use 
these authorities to promote adoption of conservation practices 
that promote efficient and effective use of irrigation water, 
and not focus on net water savings per acre irrigated.
    The Committee directs the Secretary to ensure conservation 
practice standards reflect the use of integrated irrigation and 
nutrient management technologies, such as microirrigation 
systems (e.g., drip irrigation). Such technology, in addition 
to providing increased water efficiency, can be used to 
distribute fertilizers and other nutrients directly to plant 
roots, improving soil health, both water quantity and quality, 
and reducing nutrient runoff. In the case of EQIP applications 
involving irrigation projects, the Committee encourages the 
Secretary to consider whether the projects include an 
integrative approach to addressing nutrient management and 
water efficiency issues.
    As in previous farm bills, the Committee-reported bill 
retains 5 percent of the funding for practices that provide 
wildlife habitat. However, it removes the 60 percent allocation 
for livestock. The Committee recognizes the broad 
responsibilities of EQIP and the great work that it does in 
promoting environmental stewardship among livestock and poultry 
farmers around the country. The Committee believes this 
decision will remove an administrative tracking burden from 
NRCS. Combined with the significant increase in funding and 
retaining the locally-led setting of priorities, livestock 
producers will continue to have access to the EQIP. In 
addition, the annual funding dedicated to wildlife-benefiting 
practices will increase as annual funding grows through 2023.
    The Committee addressed the concerns heard in hearings 
regarding beginning farmers by maintaining set-asides for 
beginning farmers and ranchers and socially disadvantaged 
producers, while prioritizing veteran farmers. The set-aside 
will remain unchanged and producers will continue to be 
eligible to have up to 50 percent of upfront project costs 
covered in advance.
    The Committee also heard concerns from community colleges 
and universities who operate farms for teaching and research 
purposes. The reported bill acknowledges them as working farms 
eligible for Conservation Innovation Grants. It further 
establishes clear authority for conservation innovation field 
trials through expanded partnerships, incentive payments, and 
technical assistance.
    Conservation innovation and agriculture technology 
development is occurring at an exceptional pace across rural 
America. Recognizing the recent growth and opportunity for new 
and emerging technologies during the life of this farm bill, 
the Committee created a new option within EQIP for on-farm 
conservation innovation trials. Up to $25 million in annual 
EQIP funding will be used for payments to producers in 
adopting, evaluating, and demonstrating new and innovative 
conservation approaches. This new effort will provide 
flexibilities for scaling, length of contracts, technical 
assistance, and reporting of effectiveness and ``lessons 
learned'' to be shared with others.
    The Committee is aware of concerns within the dairy and 
livestock sectors that NRCS does not currently maintain 
practice standards that easily incorporate nutrient recovery 
technologies. These technologies can help to remove excess 
phosphorus and nitrogen from manure, mitigating the 
environmental impacts of farming while also providing water 
quality benefits beyond the farm gate. The Committee encourages 
the Secretary to develop a new practice standard that would 
allow for nutrient recovery systems to be directly eligible 
under conservation programs.
    The Committee recognizes the broad and significant role of 
the EQIP program in promoting environmental stewardship. In 
addressing water quality as a resource concern, the Committee 
believes that conservation programs should prioritize funding 
for producers implementing fertilizer management practices that 
incorporate the use of the right fertilizer source, the right 
rate (amount of fertilizer), the right placement of fertilizer 
(including precision application) and the right timing of 
fertilizer applications (making the nutrients available when 
the crop needs them). These practices are recognized by the 
USDA-NRCS 590 Nutrient Management Standard and have been proven 
to help producers optimize production potential and protect the 
environment.
    Additionally, the Committee encourages NRCS to include--in 
its outreach and education program--a plan to ensure farmers 
understand that conservation funding (EQIP) is available to 
assist them with incorporating these fertilizer BMPs into their 
nutrient management plans.
    The Committee requests USDA evaluate the use and benefits 
of innovative technologies such as plant biostimulants and 
their role in achieving enhanced conservation benefits. These 
tools and other emerging and innovative technologies recognized 
by USDA to be beneficial to conservation and agriculture 
production should be incorporated into conservation standards 
and specifications for nutrient management and related 
conservation practices.

Other conservation programs

    During the hearing process, stakeholders voiced broad 
support for the Watershed and Flood Prevention programs of 
USDA. By authorizing mandatory funding, the program can 
continue to maintain the integrity of our dams that have been 
created under watershed authorities. This essential 
infrastructure works to protect life and property while 
maintaining the integrity of the landscape. The Committee 
intends for the Secretary to develop a process for identifying 
priorities and allocating the mandatory funding to address 
needs in planning, watershed operations and rehabilitation.
    The reported bill extends the authority to appropriate 
funds for the Conservation of Private Grazing Lands, and 
provides mandatory funding for the Grassroots Source Water 
Protection Program and the Voluntary Public Access Program. 
These program authorities are extended through 2023 without 
modification of the underlying authority.
    The reported bill authorizes the creation of a pilot 
project to eradicate destructive and invasive feral swine. NRCS 
and APHIS will coordinate with State Technical Committees to 
identify and prioritize pilot projects and provide producers 
with financial and technical assistance to control the 
populations, including traps. The pilot will be funded at $100 
million. The Committee looks forward to working with the 
Secretary to initiate pilot project activities within each 
state having issues with expanding feral swine populations to 
demonstrate techniques at a geographic scale where producers, 
State and local governments, and Federal land stewards can work 
cooperatively to substantially impact the swine population.
    During the Committee markup, the bill was amended to 
include provisions that provide flexibilities to the Emergency 
Conservation Program for payments to producers repairing or 
replacing fences due to wildfires and flood events. The 
Committee is aware of varied policies and procedures across the 
states in establishing documentation requirements and payment 
rates. This situation creates uncertainty with producers 
regarding the final financial assistance payments they will 
receive during a time they are working to overcome adversity 
and reestablish their operations impacted by natural disasters. 
The reported bill also codifies cost-share requirements from 
current Federal regulations and expands the enhanced cost-share 
for limited resource producers to include beginning and 
socially disadvantaged producers.
    The reported bill continues the consolidation of 
conservation programs started under the 2014 Farm Bill by 
repealing Terminal Lakes Assistance established in Section 2507 
of the Farm Security and Rural Investment Act of 2002, and the 
Conservation Security Program in Chapter 2, Subchapter A of 
Title XII of the Food Security Act of 1985.

Funding and administration

    The Funding and Administration subtitle allocates funds to 
programs in the conservation title and further streamlines 
delivery. It improves customer service and participation by 
removing barriers to participation. The Committee recognizes 
the need to continue to support beginning farmers and ranchers. 
As such, the reported bill requires that 5 percent of funds in 
EQIP be directed to beginning farmers, and an additional 5 
percent directed to socially disadvantaged farmers. The 
regional equity language is removed with the expectation the 
Secretary will use the funding provided within the bill to 
address locally-driven conservation needs in each State. This 
section is further amended to update annual reporting 
requirements to Congress to conform to the changes made by the 
reported bill.

Delivery of technical assistance

    The Committee recognizes the expanding third-party service 
sector assisting in conservation technical assistance needs 
that are unmet by the limited USDA staff available, and the 
current technical service provider registration maintained by 
USDA. While the Committee maintains and supports the provision 
of conservation technical assistance through USDA, we believe 
there are opportunities for the private-sector to engage and 
augment this assistance, especially within some of the highly 
specialized operation-specific components of some agriculture 
operations. The bill clarifies the role of third-party 
providers and expands options for the Secretary to create 
alternate certification methods in improving access of 
agriculture producers for technical support.
    The Committee is aware of the increased pressure being 
placed on agricultural landscapes to deliver clean and abundant 
drinking water for our communities. The locally driven, 
voluntary, incentive-based conservation programs encompassed in 
the farm bill will play no small role in meeting this need. 
While these programs accrue wide ranging and far reaching 
benefits across America, we believe targeting a portion of 
these resources to source water protection measures is prudent 
for agriculture and our communities. The Committee looks 
forward to working with the Secretary to identify targeted 
water-supplying watersheds and effective conservation measures 
that could produce tangible benefits to water quality and 
watershed health under this new provision.
    The Committee encourages NRCS to continue to work with the 
United States Forest Service and State forestry agencies to 
streamline and align forest management plan requirements in 
non-industrial private forestry assistance programs 
administered by each of these agencies. The Committee 
recognizes the unique interests each agency brings to forest 
management planning and encourages the natural resource 
conservation component of NRCS technical assistance be 
complimentary to the interagency forest planning effort.
    The Committee retains Section 1244(h) of the Food Security 
Act of 1985, ``Encouragement of Pollinator Habitat Development 
and Protection'' without changes. The Committee continues to 
recognize the economic interest of agriculture producers and 
American consumers in ensuring a healthy, sustainable 
population of native and managed pollinators, including managed 
honey bees. The Committee remains concerned about the decline 
in the health and viability of managed honey bees due in part 
to a loss of appropriate habitat. To enhance ongoing efforts of 
increasing pollinator habitat on conservation lands, the 
Committee draws the Department's attention to this existing 
provision and emphasizes our expectation that all the programs 
under the Conservation Title provide support and encourage 
producers to develop, maintain, and protect pollinator habitat.

Establishment of State technical committees

    This bill amends section 1261 of the Food Security Act of 
1985 to include a representative from a State's land-grant 
college or university as a member of the State Technical 
Committee. Although there are commonalities among the States, 
many issues pertaining to soil and water conservation research 
are peculiar and unique to a State. The peculiarities and 
uniqueness are further highlighted and exacerbated on a 
regional level. State land-grant colleges and universities 
conduct soil and water conservation research that is important 
to consider in implementing conservation programs. In fact, 
much concern has been expressed regarding inappropriate soil 
classifications and seed mixtures used in implementing 
conservation programs in a State which were inappropriate for 
the region. Including a representative from each State's land-
grant college or university will ensure that the most up to 
date information is utilized in implementing conservation 
programs.

Agricultural Conservation Easement Program (ACEP)

    The Committee-reported bill maintains the consolidation of 
all easement programs in the Agriculture Conservation Easement 
Program (ACEP) which performs the functions of conserving 
agricultural lands through the Agriculture Land Easements (ALE) 
and wetlands through the Wetland Reserve Easements (WRE). The 
Committee continues to support the efforts of NRCS to preserve 
lands for production and conservation into perpetuity, 
preserving the significant environmental benefits lost when 
land is converted for development. As such, the Committee-
reported bill restores mandatory funding levels and makes 
significant steps to streamline the application process.
    Specifically, the Committee-reported bill clarifies that 
ALE-enrolled easements may be used for nonagricultural purposes 
so long as they do not compromise the environmental benefits. 
It clarifies the Secretary's right of enforcement in the case 
of fraud or negligence, but does not authorize the Secretary 
the right of inspection unless the ALE partner fails to enforce 
the easement. The Committee-reported bill eliminates the burden 
of a conservation plan for ALE easements, but allows the 
Secretary to implement a plan on highly erodible land. The bill 
amends the language associated with the funding sources an 
eligible entity may use to meet the non-Federal share of the 
agricultural land easement purchase.
    The Committee recognizes the partnership between NRCS and 
accredited land trusts in implementing ACEP. Section 2503 of 
the Committee-reported bill creates an equivalency to expedite 
certification of respected land trusts that have been 
accredited by the Land Trust Accreditation Commission, and has 
completed at least five acquisitions of easements under the 
program to be considered certified for the purposes of the 
program. Furthermore, the reported bill directs the Secretary 
to account for geographical differences to maximize on-the-
ground benefits.
    The reported bill waives the adjusted gross income 
limitation for landowners participating in easement programs.

Regional Conservation Partnership Program (RCPP)

    The Committee continues to believe that a targeted approach 
to conservation is the most effective way to address various 
resource concerns on a local landscape-scale. Targeted 
conservation initiatives can help producers alleviate the 
burden of regulations, but also preempt the need by tailoring a 
locally-led, voluntary solution. Through the hearing process, 
stakeholders voiced broad support for RCPP and how it is 
currently working to address resource concerns on a locally-led 
landscape scale.
    The reported bill takes forward-reaching steps in adding 
both CRP and the Watershed Protection and Flood Prevention 
Program to the list of covered programs. Water quality work in 
watersheds serving as source water for drinking is added as an 
eligible activity. The Committee addresses opportunities for 
renewing successful projects and extending projects beyond five 
years when the objectives of the program will be better served. 
Furthermore, the reported bill creates an expectation that the 
Secretary will streamline the application process and provide 
greater clarity to eligible partners and producers on 
quantifying and reporting outcomes from the implemented 
project. Finally, the program will receive a fixed annual 
allocation of funds alleviating the complexity associated with 
using funds appropriated to other programs.

Repeals and transitional provisions; technical amendments

    The Committee-reported bill updated the statute to repeal 
several programs such as the Conservation Security Program and 
the Terminal Lakes Assistance Program. Further, the 
Conservation Stewardship Program is prohibited from enrolling 
any new contracts or renewing contracts. However, it shall have 
no effect on existing contracts. The Committee remains 
committed to the conservation work that the NRCS had 
accomplished with producers through CSP and has incorporated 
the essential authorities into EQIP to carry out the mission.

The sense of the Committee regarding other conservation efforts

    The Rural Conservation Corps have a long history of 
supporting voluntary conservation through partnering with 
Federal agencies to develop and implement critical public lands 
conservation service projects. Corps are authorized to 
accomplish this work with USDA and the Department of the 
Interior (DOI) through the Public Lands Corps Act of 1993. 
These agriculture partnerships have seen successful because of 
the capacity. There is a value to the partnerships between 
Service and Conservation Corps, Conservation Districts, and 
NRCS to meet locally-driven conservation goals, provide farmer 
and rancher outreach and technical assistance, complete 
conservation projects, and develop the next generation of local 
agriculture and conservation leaders.
    The Committee recognizes the importance of maintaining and 
managing non-industrial private forest cover as a watershed 
management tool, assuring dependable and clean supplies of 
water to communities, farmers, ranchers, and downstream 
industries. The Committee is especially concerned with the 
risks that unmanaged forests pose to water supplies, especially 
in areas of high wildfire risk, as well as the impacts of 
forest conversion to developed uses on sedimentation and flow 
management. The Committee encourages the Secretary to utilize 
the program flexibilities and policies within the title to 
encourage public- and private-sector forested watershed 
partnerships. The authorities provided for the State Technical 
Committees should be used to coordinate Federal and private-
sector funding and cost-share efforts that can provide private 
forest landowners resources to implement management actions 
that protect downstream water quality, address water supply, 
and flood protection.
    The Committee also encourages NRCS to establish at least 
one pilot to experiment with streamlined private-sector co-
investing with NRCS in watershed restoration. The Committee 
urges NRCS to explore mechanisms that allow the NRCS and 
private-sector funds to be combined in a watershed restoration 
fund that makes payments for forest management and restoration 
activities on private lands to maintain or improve forested 
watersheds. Such a fund shall ensure that private landowners 
are the recipient of the benefits and maintain existing NRCS 
program eligibility requirements for private landowners.
    The Committee included specific language in the 
Agricultural Conservation Easement Program protecting the 
access of landowners to ecosystem service markets. The 
Committee intends for the Secretary to continue the 
Department's existing policy of not claiming any ownership 
rights over ecosystem services credits generated through 
participation in USDA conservation programs. The Department is 
also urged to help communicate to State and local governments 
about the opportunity to increase the utilization of dairy 
manure management and other agriculture conservation 
technologies by combining USDA funding with ecosystem services 
credits accounting for the full cost of installing and 
maintaining a project.

                            TITLE III--TRADE

Trade promotion

    The Committee recognizes the immense importance of trade to 
the agriculture industry, with U.S. agricultural exports 
estimated at $140 billion per year and trade accounting for one 
in every five dollars of agricultural production value for 
American producers.
    The Committee also notes that while the U.S. is now among 
the lowest-ranked nations in the Organization for Economic 
Cooperation and Development (OECD) in terms of support provided 
to producers, other countries like China are doing the 
opposite. According to the Office of the United States Trade 
Representative, in 2015 for three commodities (corn, rice, and 
wheat), China illegally exceeded permitted spending levels by 
more than $100 billion--in one year alone. Furthermore, the 
Committee understands that our trading partners have been 
substantially increasing publicly-funded support for export 
promotion in recent years; for example, the EU spends more 
promoting wine than the U.S. spends promoting all crops 
combined.
    The Committee has heard from every segment of the 
agricultural industry about the importance of maintaining 
support for trade promotion and market development programs, 
especially considering the uncertainty of the current trade 
climate. While the Committee is confident that America's 
farmers and ranchers are incredibly efficient and can compete 
with anyone in the world on a level playing field, they simply 
cannot be expected to compete with foreign treasuries on their 
own.
    In an effort to keep American agriculture competitive on 
the global stage, the Committee-reported bill streamlines 
existing authorities for the Market Access Program (MAP), the 
Foreign Market Development (FMD) Program, the Technical 
Assistance for Specialty Crops (TASC) Program, and the Emerging 
Markets Program (EMP) under one International Market 
Development Program, restoring funding for FMD and TASC, and 
establishing overall funding at $255 million per year, moving 
forward.
    The Committee intends this streamlining effort to 
complement the recent reorganization within USDA by ensuring 
the newly established Under Secretary for Trade and Foreign 
Agriculture Affairs has the tools necessary to continue tearing 
down barriers to trade and opening up new markets to U.S. 
agricultural products.
    The Committee wholeheartedly endorses both MAP and FMD as 
valuable tools in advancing our international trade interests 
with proven results and substantial net returns. The Committee 
encourages the agricultural industry to continue utilizing 
these programs in the most efficient manner possible, and urges 
MAP and FMD cooperators to leverage data and analytics to even 
more effectively target promotional efforts for U.S. products 
abroad.
    The Committee also encourages the agricultural industry to 
take full advantage of TASC and EMP as the Committee is 
concerned that these programs have been undersubscribed in 
recent years. However, if these programs continue to be 
underutilized, the Committee intends to ensure the Secretary 
has the flexibility to use remaining funds to supplement the 
popular and often oversubscribed MAP and FMD programs.
    Finally, in recognition of the increasing workload facing 
attorneys focusing on international trade agreements and 
disputes within USDA's Office of General Counsel, the Committee 
encourages the Secretary to maintain a minimum of four 
attorneys within such office dedicated specifically to these 
efforts.

International food aid and food security

    For more than 60 years, the United States has played a 
leading role in global efforts to alleviate hunger and 
malnutrition through international food assistance--primarily 
through the donation or sale of U.S. agricultural commodities. 
Through an extensive review of U.S. international food aid and 
development programs, the Committee heard from the 
administering agencies, program implementers, producers, 
millers, manufactures, and the maritime industry regarding 
their role in not only providing the tools necessary to respond 
to emergency feeding and development needs worldwide, but also 
their contribution to U.S. jobs in the agricultural, 
manufacturing, and maritime sectors. The stakeholders also made 
very clear, and the Committee acknowledges, the importance of 
maintaining broad domestic support for these programs, moving 
forward. In response, the Committee-reported bill modernizes 
and reauthorizes international food aid programs to reduce 
hunger while still recognizing the American farmer's critical 
and historic role in providing an affordable, safe, and 
reliable source of nutritious agricultural commodities that are 
delivered to millions in need around the globe through the help 
of the U.S maritime industry and private voluntary 
organizations.
    As such, the Committee notes the variety of tools necessary 
to address hunger around the globe, whether through the 
provision of cash and vouchers, locally and regionally-procured 
foods, or U.S.-grown commodities. The Committee, however, also 
notes the increased flexibility provided in the 2014 Farm Bill, 
which coupled with existing flexibility in other food 
assistance programs, results in over 50 percent of food 
assistance being provided in modalities other than agricultural 
commodities. The Committee views this unprecedented level of 
flexibility as an adequate means of appropriately responding to 
the diversity of existing and forecasted needs and expects 
USAID to adhere to the intent of the program in its 
implementation and selection of food aid modalities.

Food for peace

Labeling requirements

    Despite providing the lion's share of international food 
assistance, the Committee is concerned that U.S. contributions 
may sometimes be underrepresented on related materials 
including benefit cards and vouchers. The Committee believes 
review of current printed material labeling practices is 
warranted, and intends that the level of U.S. assistance be 
made abundantly clear to reflect the proportional generosity of 
the American people.

Local sale and barter of commodities

    The Committee supports monetization, which is the resale of 
U.S. commodities in recipient countries to generate development 
funding. However, the Committee also acknowledges implementing 
agency challenges regarding monetization and no longer requires 
a 15 percent minimum for monetization within Food for Peace. 
The Committee still directs the continued use of this practice 
wherever market conditions dictate, as deemed appropriate by 
implementers and local entities.

Minimum levels of assistance

    The Committee reauthorizes the required minimum commodity 
levels at not less than 2,500,000 metric tons for emergency 
assistance and not less than 1,875,000 metric tons for non-
emergency assistance as previously outlined in law. While the 
Committee acknowledges these minimums are often not met for a 
variety of reasons, the Committee encourages the Administrator 
to closely review all opportunities in which commodities can be 
used effectively to carry out the purposes of the Food for 
Peace Act.

Funding for program oversight, monitoring, and evaluation

    In response to an agency request that funding for program 
oversight, monitoring, and evaluation fluctuate with 
appropriated funding levels, the Committee replaced the static 
$17,000,000 set-aside for program oversight, monitoring, and 
evaluation with the authority for 1.5 percent of program 
appropriations to be used on such activities. The Committee 
acknowledges the importance of oversight, monitoring, and 
evaluation to overall program integrity and intends for this 
programmatic change to reflect that priority.
    The Committee has been disappointed in the extent to which 
USAID has utilized the Famine Early Warning Systems Network 
(FEWS NET) to provide advance information regarding drought in 
areas where livestock production is a critical source of food 
and income. Livestock production has long-term cycles, and the 
Committee expects--to every extent possible--information on 
droughts predicted by FEWS NET should be translated into 
action, program investment, and interventions to mitigate 
avoidable negative outcomes including the loss of entire 
breeding herds due to a lack of forage or water.

Assistance for stockpiling and rapid transportation, delivery, and 
        distribution of shelf-stable prepackaged foods

    The Committee expresses wholehearted support for American 
producers of Ready-to-Use Therapeutic Foods (RUTF) that create 
domestic jobs, utilize U.S. commodity inputs, and save millions 
of lives by providing fortified, nutrient-dense products to 
vulnerable populations around the world suffering from severe 
acute malnutrition. The statutory reference to this subset of 
food aid providers has been updated to the International Food 
Relief Partnership to reflect industry terminology. The World 
Bank estimates malnutrition can reduce a country's GDP by as 
much as 10 percent, and the Committee recognizes the importance 
of higher GDPs across the globe contributing to not only better 
lives for those in-country, but also stronger markets for 
American agricultural products. The Committee commends the 
innovation of the International Food Relief Partnership that 
contributes to the U.S. economy and national security.

Consideration of impact of provision of agricultural commodities and 
        financial assistance on local farmers and economy

    At the Committee's request, the U.S. Government 
Accountability Office (GAO) completed a report on USAID and 
USDA's use of required market impact analysis, known as Bellmon 
determinations, before signing assistance agreements. The 
Bellmon process is designed to ensure U.S. food assistance does 
not negatively impact recipient agricultural markets. GAO found 
the involved agencies do not consistently complete these 
determinations before distributing aid. The Committee expects 
USAID and USDA to complete Bellmon determinations in a timely 
manner to appropriately use American resources and best serve 
recipients. Further, given the range of flexibility in the 
delivery of food assistance, the Committee emphasizes the 
importance of assessing the potential impacts of all modalities 
of food assistance.

Prepositioning of agricultural commodities

    The Committee notes that the use of prepositioning has been 
proven to reduce the average delivery timeframe for emergency 
food aid. In fact, GAO estimates that on average, compared with 
USAID's standard shipping process, the use of prepositioned 
food aid reduces delivery time by one to two months. The 
Committee recognizes prepositioning of American commodities as 
a valuable tool in the fight against global hunger and 
encourages an increase in the use of prepositioning to ensure 
vulnerable populations receive the life-saving nourishment 
needed in a timelier manner.

Annual report regarding food aid programs and activities

    The Committee notes the annual report on food aid programs 
and activities has consistently been submitted after the 
statutory deadline. USAID and USDA should cooperate to ensure 
annual reporting of food assistance is provided in a timely and 
transparent manner to inform lawmakers about recent activities 
and support important policy decisions. If the report will not 
be submitted by the deadline, the Administrator and the 
Secretary must notify the Committee with pertinent information 
including why the delay has occurred and when the report will 
be provided. The Committee further affirms that data included 
in the report can and should be made available to the public, 
as appropriate, as the data becomes available, even if that is 
prior to the full report being finalized. Finally, the 
Committee expects USAID to provide a more comprehensive and 
detailed explanation of the uses of funds set aside to carry 
out 202(e) of the Act as well as those used for internal 
transportation, storage, and handling purposes. The Committee 
cannot and will not support sweeping changes to such provisions 
without a better understanding of how such funds are currently 
being utilized and any legal obstacles within the current 
framework.

Minimum level of nonemergency food assistance

    The Committee emphasizes the ongoing importance of 
nonemergency development assistance, and seeks to make clear 
the authority of the Administrator to count Community 
Development Funds (CDF) toward the ``safebox'' minimum. Such a 
change, however, should not be interpreted as a departure from 
ardent support of development activities, or an intent to 
reduce aggregate funding dedicated to such purpose. 
Nonemergency development assistance complements capacity 
building to strengthen resiliency and transition countries from 
food aid recipients to trading partners. The Committee strongly 
believes promoting agricultural development, especially in 
Africa and other rapidly developing growth markets, is in our 
national interest.

John Ogonowski and Doug Bereuter Farmer-to-Farmer Program

    The Farmer-to-Farmer Program was designed to leverage the 
expertise of volunteers from U.S. farms, universities, and 
other agricultural entities to assist host-country farmers in 
specific, short-term projects that are technical in nature. The 
Committee contends the best use of program resources is on 
technical projects, and recognizes the importance of 
strengthened communication and project coordination to ensure 
volunteer areas of expertise are of direct benefit to host 
country needs. Additionally, the Committee-reported bill calls 
for sequenced assignments to build longer-term continuity and 
increase capacity building within the program. The Committee 
commends Farmer-to-Farmer for utilization of retired 
agricultural extension personnel within the program, and hopes 
to see increased participation from this knowledgeable pool of 
potential volunteers.

Good governance and social accountability

    The Committee recommends that good governance and social 
accountability approaches be included in all development food 
security activities carried out under Food for Peace. These 
approaches empower citizens to improve their own food security 
by holding governments and institutions accountable, and by 
ensuring they are transparent and responsive to community 
needs. The Committee is encouraged by evidence demonstrating 
that social accountability programs improve service delivery 
and overall project outcomes, which can accelerate the 
graduation of Food for Peace program participants successfully 
off the program and promote the transition of programs toward 
full country ownership.

Local and regional food aid procurement projects

    The Local and Regional Food Aid Procurement (LRP) Program 
complements in-kind programs, especially the McGovern-Dole 
International Food for Education and Child Nutrition Program 
(McGovern-Dole Program), which supports school feeding projects 
around the world. Authorized within the 2014 Farm Bill after a 
successful pilot program, LRP allows USDA to assist local 
farmers and communities in building the capacity to produce 
food used in local schools with an emphasis on meeting quality 
standards and product specifications, ensuring food safety and 
nutritional content within each project. USDA works with 
recipients to address market sensitivities in local and 
regional purchases. The Committee supports continued and 
enhanced use of this program to complement in-kind food aid 
programming and to appropriately serve recipients, including 
children benefitting from the McGovern-Dole Program.

Bill Emerson Humanitarian Trust

    The Bill Emerson Humanitarian Trust (BEHT) was created as a 
reserve under the Secretary's authority for the use of 
commodities in times of emergency. The Committee reaffirms the 
2008 change that transitioned the trust from a reserve of 
actual commodities to a reserve fund to be used for the 
purchase of commodities to provide aid when unforeseen food 
needs arise. As the United States seeks to assist those 
suffering as a result of recent famine and natural disaster, 
over $281 million currently sits available within the BEHT. The 
Committee believes the time has come to access this vital 
reserve, and hopes the Secretary and the Administrator will 
seriously consider using these funds to provide commodities in 
areas impacted by the current famines.

Food for Progress

    The Committee affirms the importance and effectiveness of 
Food for Progress in delivering non-emergency development 
assistance, serving many of those most in need around the 
world. It is also an appropriate avenue, among currently 
approved uses of the program, to address the need to increase 
productivity via improved access to agricultural inputs for 
smallholder farms, particularly in Africa. While corn yields 
for farmers in Africa average around 30 bushels per acre, U.S. 
corn yields are over 175 bushels per acre. For many farmers in 
developing countries, these types of yield gaps could be 
dramatically reduced by having local access to seeds, 
fertilizer, and other basic production inputs and services. 
Those inputs and services can often be delivered via public-
private partnerships to establish commercial value chain 
systems that serve communities and improve food security well 
beyond the involvement of Food for Progress.

McGovern-Dole International Food for Education and Child Nutrition 
        Program

    U.S.-sponsored school feeding projects continue to reduce 
hunger in children around the world. The Committee notes the 
McGovern-Dole International Food for Education and Child 
Nutrition Program's critical nature and seeks to ensure the 
program's primary focus remains on providing food. Such a focus 
more appropriately aligns with USDA expertise and allows other 
agencies, organizations, and funding sources to be used on 
complementary services.
    The Committee-reported bill directs USDA to ensure when 
possible that deliveries of agricultural commodities within the 
McGovern-Dole Program correspond with recipient school term 
start dates. Similarly, subsequent deliveries should take 
academic calendars into account to provide agricultural 
commodities appropriately throughout the term. This 
prioritization will foster program effectiveness and further 
incentivize students to consistently attend school.
    Additionally within the program, the Committee recognizes 
the importance of local engagement for the sustainability of 
school feeding programs beyond the U.S.'s involvement. The 
program is most successful when the government of the recipient 
country is engaged and supports school feeding as a national 
requirement, or is at a minimum transitioning in that 
direction. The Committee urges the Secretary to require 
eligible organizations to indicate agreement in grant proposals 
between the government and the implementing partner regarding 
transition plans and timelines, including milestones for the 
program's successful transition to local institutions, to 
facilitate greater progress toward the graduation requirement, 
and build successful transitions to nationally funded and 
operated school feeding programs.

International technical assistance

    The Committee encourages the Secretary to compile and make 
publicly available information from appropriate mission areas 
including the Food, Nutrition, and Consumer Services (FNCS) 
related to international food security. Additionally, the 
Secretary should provide technical assistance to entities 
seeking food insecurity expertise related to international 
program development as long as the technical assistance does 
not place undue cost or burden on the Department.

Cochran and Borlaug fellowship programs

    Within both the Borlaug International Agricultural Science 
and Technology Fellowship program and Cochran Fellowship 
Program, the Committee encourages the Secretary to leverage the 
impact of the program by connecting newly-trained fellows with 
one another and with U.S. government-sponsored agricultural 
development and research projects in their home countries. 
Further, maintenance of a fellowship network would boost U.S. 
development efforts and strengthen foreign agricultural self-
sufficiency.
    Additionally, within the Borlaug and Cochran Fellowships, 
the Committee notes the intangible benefit of increased 
connection to, and appreciation for, the United States; along 
with technical education. As the Secretary seeks added 
efficiency and cost-effective programming, the Committee 
acknowledges that in-country training may sometimes be 
appropriate as opposed to training within the United States. 
The Committee seeks to maintain programmatic intent, but wants 
to allow flexibility where it may be helpful.
    The Committee recognizes Norman Borlaug as one of the most 
influential agricultural leaders in world history. The Borlaug 
Fellowship pays tribute to his legacy through critical food 
security training and research across the globe. Although the 
Committee creates a new provision within the Borlaug 
Fellowship, in no case should the newly included programming 
detract in purpose or appropriations from the existing 
fellowship program.
    The new provision within the Borlaug Fellowship allows the 
Secretary to offer fellowships to U.S. citizens with relevant 
education in agricultural extension and training to be placed 
in eligible countries. The Committee recognizes that youth 
engagement is critical for agricultural development. The 
Committee believes this provision will provide valuable 
opportunities to young agriculturalists in eligible countries--
a growing and critical population with a need for increased 
access to agricultural knowledge and skills in order to enhance 
food security in their respective countries. Participation in 
such a fellowship will also provide valuable work experience 
for emerging American agricultural leaders.

Global Crop Diversity Trust

    The Committee affirms the importance of the Global Crop 
Diversity Trust for ensuring the conservation and availability 
of crop diversity for food security worldwide. The Committee 
makes a statutory adjustment to the aggregate percentage of 
allowable support based on concerns that the release of funds 
to the Trust is impacted by the form of international 
contributions to the Trust, which can include amounts outside 
of the endowment, including concessional loans and operational 
support. In recent years, the Committee notes the full amount 
appropriated to USAID has not been released to this program 
because of claims the U.S. is at or near the statutory 25-
percent threshold for contribution, but in fact, when donations 
into other categories of funding for the Global Crop Diversity 
Trust are included, the U.S. is far from reaching the maximum 
threshold. However, this change should not reduce any program 
funding, including appropriations made available to the 
Consultative Group on International Agricultural Research 
(CGIAR) and Feed the Future Innovation Labs.

                          TITLE IV--NUTRITION

Supplemental Nutrition Assistance Program

    The Supplemental Nutrition Assistance Program (SNAP) 
currently offers nutrition assistance to 42 million 
individuals, providing an average benefit of $254 per 
household. Total SNAP-related funding in FY 2017 was $68 
million, which includes benefits, administration, nutrition 
education, employment and training, and program integrity. 
Total benefits provided to households in FY 2017 summed to 
$63.7 million.
    In the 114th Congress, the Committee on Agriculture 
embarked upon a comprehensive review and hearing series of SNAP 
entitled, Past, Present, and Future of SNAP. The hearing series 
included 21 hearings and the testimony of 81 witnesses--the 
latter including experts, program administrators, front-line 
operators, and most importantly, SNAP recipients. The Committee 
notes that throughout this hearing series, Members--regardless 
of party affiliation--engaged on the importance of work, the 
necessity for increased funding to support those who are work-
capable, and the necessity to address administrative 
challenges. The review provided the evidence necessary for the 
meaningful reforms included in the Agriculture and Nutrition 
Act of 2018--reforms to a program which continues to help the 
most vulnerable Americans during their time of need while 
assisting those able to move toward sustainable employment and 
self-sufficiency.
    The SNAP reforms included in H.R. 2 are a critical part of 
the Committee's ongoing responsibility to oversee and improve 
the nation's foremost nutrition program. The Committee 
modernizes program delivery, closes program loopholes, improves 
program integrity, invests in employment and training programs, 
incentivizes healthy purchases, and enhances nutrition 
education programs.

Modernize and enforce asset tests and general program administration, 
        streamline State options, reform quality control metrics, and 
        hold States and retailers accountable to combatting fraud, 
        waste, and abuse.

    The Committee establishes the Duplicative Enrollment 
Database (DED), an interstate database system for States to 
utilize when making eligibility determinations to ensure 
households are not receiving SNAP benefits in multiple States. 
The DED is based on the National Accuracy Clearinghouse (NAC) 
pilot project that tested the detection and prevention of 
duplicate participation by beneficiaries of SNAP. The NAC was 
piloted in five southeastern States with much success, saving 
$5.6 million in just one year. The Committee encourages the 
Department and States to build on the success of the NAC pilot, 
and to act expeditiously in implementing the DED. Further, the 
Committee highlights its concern that there is no complete or 
comprehensive data on SNAP recipients or program success. The 
Committee holds that if there is no evaluation of participant 
tenure on the program, there can be no measure of program 
success. To rectify this lack of data necessary to measure and 
improve program design and effectiveness, the bill also 
requires States to capture data on SNAP participants in their 
State and submit reports to the Secretary.
    The passage of the Personal Responsibility and Work 
Opportunity and Reconciliation Act of 1996 afforded States the 
opportunity to use categorical--automatic--eligibility to 
confer SNAP eligibility to households receiving benefits from 
other low-income assistance programs, i.e., Temporary 
Assistance for Needy Families (TANF). As of 2018, 42 States use 
broad-based categorical eligibility (BBCE) to waive asset 
tests; and 31 of those 42 States use it to simultaneously raise 
the gross income limits of SNAP eligibility parameters by 
permitting households to use the asset and gross income test of 
the alternate assistance program, thereby conferring 
eligibility to those households receiving TANF-funded brochures 
or hotline numbers. The Committee limits categorical 
eligibility to households that are determined eligible for cash 
assistance, or ongoing and substantial assistance, or services 
(e.g., child care, transit, and counseling) for programs that 
are income-tested at 130% FPL (200% FPL for households with 
elderly or disabled individuals). The Committee notes that this 
provision also takes into consideration the testimony heard in 
the aforementioned hearing series, and Members' requests for a 
more standardized approach to categorical eligibility. It is 
estimated that less than one percent of SNAP recipients would 
be impacted by this change, but is also important to note that 
the regular channels of SNAP eligibility remain available.
    The Committee recognizes that most asset tests have not 
been updated since the 1970s and sees the need for updated 
asset tests in coordination with the improvements in 
categorical eligibility. Accordingly, the bill modernizes asset 
testing for SNAP households. Overall asset limits for 
households increase from $2,250 to $7,000 (indexed annually for 
inflation), and for households with an elderly or disabled 
member it increases from $3,500 to $12,000 (indexed annually 
for inflation). The bill also allows SNAP participants to 
maintain up to $2,000 (indexed annually for inflation) in 
savings accounts that do not count toward a household's assets 
for eligibility determinations. SNAP households that attempt to 
save and prepare for life's uncertainties will no longer be 
penalized for doing so, and allowing for additional funds in 
savings means a household is more likely to gain the strong 
footing it needs to ultimately move up and off the program.
    Additionally, the bill excludes the first $12,000 in value 
(indexed annually for inflation) of one vehicle per licensed 
driver in a SNAP household. The Committee recognizes the need 
for access to reliable transportation, particularly in rural 
areas, to get to and from work, school, and the grocery store. 
The Committee believes all households nationwide need this sort 
of access; as a result, the bill eliminates the option to use 
TANF vehicle rules. The modernization of asset limits is good, 
sensible policy.
    The Committee eliminates a loophole in SNAP eligibility and 
benefit determinations related to Standard Utility Allowances 
for heating and cooling costs (HCSUA). Currently, many States 
automatically grant an HCSUA to households without heating and 
cooling expenses, and this HCSUA is then used in the 
calculation of household benefits. The practice falsely 
inflates household benefits. This is most often done via States 
providing nominal heating and cooling cost assistance of just 
over $20 to households through Low-Income Home Energy 
Assistance Program (LIHEAP) payments. The Committee notes that 
the changes in this bill do not change the basis of the normal 
pathway of qualifying for the HCSUA--incurring a heating or 
cooling expense. Further, the change is not applicable to 
households with an elderly member, and those households 
continue to be eligible for the HCSUA if they receive heating 
and cooling assistance of more than $20. The Committee also 
notes the ability of States to decide how they will verify a 
household has incurred utility costs and expects that States 
may make adjustments in those requirements for additional 
vulnerable households.
    Benefits for the Supplemental Nutrition Assistance Program 
are based on USDA calculations of the cost of food. However, 
SNAP benefits can become out-of-date based on inconsistent 
review of the Thrifty Food Plan (TFP). The Committee requires 
that the TFP be re-evaluated every five years to ensure it 
reflects current eating habits of Americans, including patterns 
of food preparation, and the items most often purchased by 
consumers.
    The Committee notes two significant issues related to child 
support, and the Agriculture and Nutrition Act of 2018 takes 
important steps to address both. States have the option to 
treat legally obligated child support payments as an income 
exclusion rather than a deduction, impacting SNAP benefit 
determinations. Additionally, States do not enforce child 
support orders, thus discouraging parents to be the first 
avenue of support for their children. The Committee directs 
that child support payments made to non-household members be 
treated as an exclusion from income (rather than a deduction), 
encouraging child support payments by excluding the amount paid 
from the payer's gross income. Additionally, the Committee 
requires child support cooperation for both custodial and non-
custodial parents, given that parents should be the first 
avenue of support before government intervention. The Committee 
also notes that the elimination of SNAP disqualification for 
parents who pay child support, but who may be behind schedule, 
is an incentive for those parents to continue to make payments, 
rather than stop making payments entirely.
    In the SNAP hearing series, the Committee learned that 
there are some active-duty military personnel who require SNAP 
to provide for their families. While the rate of military pay 
is well beyond the jurisdiction of the Committee, and is a much 
more critical determinant of a household's wellbeing and 
financial and food security than any SNAP eligibility rule, the 
Committee takes an important step toward addressing concerns 
about active-duty military households. The Committee provides 
that up to $500 in a household's Basic Allowance for Housing 
(BAH) should not be included in the calculation of household 
income. This level of exclusion guarantees that those 
households which are truly most vulnerable and most likely to 
be food-insecure can be eligible for SNAP. In doing so, the 
Committee also protects against potential double-counting by 
ensuring that only actual housing expenses that exceed the 
amount of the BAH are to be used in the calculation of the 
excess shelter deduction.
    The Committee has significant concerns regarding companies 
associated with the handling of Electronic Benefit Transfer 
(EBT) transactions who have predatory contracts between EBT 
processors. In response, the Committee disallows the charging 
of fees for switching or routing SNAP benefits. EBT systems 
successfully handle eight million transactions per day, nearly 
three billion per year. The establishment of a National Gateway 
provides USDA with necessary oversight over the flow of EBT 
transactions, helping to control costs and allowing USDA to 
develop additional tools to ensure the integrity of SNAP and 
its related transactions is upheld. The National Gateway also 
assists in controlling access to individuals' payment 
information, and enables the discussion of new payment 
technologies. The provision regarding the prohibition of fees 
as noted previously is also maintained.
    The Committee is dissatisfied by the rate of implementation 
of the pilot established in the Agricultural Act of 2014 for 
the online delivery of benefits. Online entities have the 
potential to significantly improve access, including access to 
perishable items, for food-insecure households, and 
particularly those not located in close proximity to a retail 
food store. The Committee believes online delivery will assist 
in improving food access in food deserts in both rural and 
urban America. The Committee encourages the Food and Nutrition 
Service (FNS) to implement and evaluate the pilot 
expeditiously, and directs that upon the completion of the 
online delivery pilot, the Secretary shall approve the 
acceptance of benefits through online transactions nationwide.
    The Federal Government has a responsibility to evaluate 
SNAP for both program improvement and program integrity. To do 
so, USDA needs sufficient access, in accordance with agreements 
with States, to State systems and records. In particular, this 
allows for more transparency and a greater ability to detect 
and reduce fraud. The Committee authorizes USDA access to 
records and information systems in order to better manage the 
program.
    The Committee believes that to improve SNAP program design, 
it is important to have a clearer picture of items being 
purchased with SNAP funds. The Committee recognizes there is 
not a current system in place for collection of real-time, 
purchase-level data from SNAP-authorized retailers. As such, 
the Committee expects the Secretary to work with SNAP 
authorized retailers and their trade associations to devise an 
efficient way to share information about purchases made 
utilizing SNAP as a form of payment, giving consideration to 
the diversity of customers and purchases, geographic location, 
time of year, and day of the month. The Committee further 
recognizes that the Secretary's solution may include the use of 
information from syndicated data providers. The Secretary is 
encouraged to work with SNAP-authorized retailers who are able 
to efficiently share this information, recognizing that many 
SNAP-authorized retailers may face challenges such as 
technological constraints. The Committee recognizes the 
importance of guarding the information of SNAP recipients and 
SNAP-authorized retailers and provides strong protections for 
the privacy of both.
    SNAP is often lauded as having a low error rate, ignoring 
the fact that any underpayment or overpayment error under $37 
is ignored. The reported error rate for SNAP should be based on 
all errors, not errors below this arbitrary threshold. The 
Committee notes that no other safety net program with an error 
rate has a similar error tolerance threshold. Further, the 
Committee notes that the adjustment in the reported error rate 
in no way impacts the dollar value at which States must 
establish claims to recoup overpayment of benefits, which are 
set elsewhere in regulation with options for alternative State 
thresholds.
    The Committee notes significant abuse resulting from the 
incentives to miscalculate error rates in response to State 
performance bonuses. The Committee has ongoing concerns about 
perverse incentives created by the State performance bonuses, 
in addition to a general expectation that States should not 
need a bonus to administer practices that should be standard 
operating procedures. These are more than sufficient reasons to 
end State bonuses while continuing to uphold the measurement of 
State performance. States will continue to be held responsible 
for administering SNAP, and legally bound to processing 
applications in a timely manner, ensuring households receive 
the accurate amount of SNAP benefits, and making certain the 
program is administered in the most effective and efficient 
manner.

Implement and mandate constructive and empowering work requirements 
        that are balanced with a strong investment in proven tactics to 
        assist recipients in climbing the economic ladder

    It is the intent of Congress to augment--not change--the 
purpose of SNAP to include an increase in those employed, 
encourage healthy marriage, and to promote prosperous self-
sufficiency, all the while continuing to strengthen the 
agricultural economy and providing for improved levels of 
nutrition among low-income households through a cooperative 
program.
    The Committee recognizes that insufficient, vague, and 
unenforceable work requirements--further undermined by State 
bureaucrats who find loopholes to waive individuals from 
participating--dissuade employment and restrict opportunities 
for SNAP recipients. The requirement for Able-Bodied Adults 
Without Dependents (ABAWDs) has failed to be implemented 
equitably across States, and where it has been implemented, has 
failed to incentivize employment. The general work requirement 
for those 18-59--an acknowledgement exercise on an eligibility 
form--produces no results and allows for almost 10 million 
individuals to remain on the rolls with no incentive to change 
their outlook or that of their family. Additionally, current 
Employment and Training (E&T) services are inadequate and 
underfunded, resulting in scattered programs and minimal 
participation.
    The Agriculture and Nutrition Act of 2018 pairs a 
realistic, supportive, and simplified work requirement with 
funding for States to provide guaranteed and improved options 
to move participants toward improved wages, higher quality 
employment, and independence of government aid. The bill does 
this by way of establishing a substantive work requirement for 
all work-capable adults age 18-59, thus eliminating both the 
general work requirement and the ABAWD time limit, with 
exemptions for specific populations including the elderly and 
disabled, the caretaker of a child under the age of six or of 
an incapacitated child, or those who are pregnant. This work-
capable population will be prepared for work through a 
modernized and historic investment in E&T, that which provides 
an enhanced suite of ancillary services like assessments, case 
management, and updated and evidence-based activities.
    To ensure this investment yields results, the Committee's 
intent is that these requirements are mandatory; again, the 
Committee has been provided with a unique opportunity to expand 
funding for these life-changing programs by closing loopholes 
and improving opportunities for individuals who have been 
marginalized by a lack of employment, education, and life 
circumstance. For 20 hours per week, and increasing to 25 hours 
per week in 2026, work-capable adults must work, participate in 
a work program (e.g., WIOA), or participate in SNAP E&T. The 
Committee's intent is that each State will offer a slot to 
every eligible adult, and in the event a State fails to do so, 
they are penalized via administrative sanction or funding 
penalty. If the State fails to fulfill this obligation, the 
eligible participant is not penalized. If the participant 
refuses or fails to participate, and good cause has been 
considered and deemed inapplicable, the participant is no 
longer eligible for SNAP for a period of 12 months. Each 
subsequent determination of failure to participate results in 
an ineligibility period of 36 months.
    States will maintain the ability to both exempt up to 15% 
of their work-capable and eligible population, as well as the 
opportunity to apply for waivers in times of high unemployment. 
The 15% exemption is meant to excuse individuals who need 
short-term reprieve from participation, or for those specific 
populations the State determines must be excluded. Annual 
carryover of unused exemptions is no longer permitted. The 
Committee recognizes the problematic history of the practice of 
combining, or gerrymandering, areas to significantly increase 
the area covered by geographic waivers of the previous ABAWD 
work requirement. To address this, the Committee restricts 
waivers to ``individual areas,'' with the intent that States; 
counties, parishes, and other county-equivalents; and 
metropolitan statistical areas be considered individual areas. 
The Committee notes that the Secretary's regulatory language 
shall reflect as such, and not provide consideration for any 
areas smaller than a county or county-equivalent. As an 
example, the Committee does not intend for areas considered 
``community districts'' to qualify for waivers. The Committee 
prohibits the combining of any of these aforementioned types of 
individual areas to increase the areas subject to a waiver. 
Lastly, as it pertains to these waivers, it is the Committee's 
intent to provide the Secretary with discretion as it relates 
to the acceptance or denial of them; waivers shall not be 
readily approved based on the criteria set forth in the 
Agriculture and Nutrition Act of 2018.
    While the Committee emphasizes that there is no benefits 
cliff in SNAP because program benefits adjust relative to 
increases in income, the Committee recognizes that other low-
income assistance programs often result in a significant drop 
(or ``cliff'') in household income when an individual loses 
eligibility for those programs. In order to help address this, 
the Committee provides that all States will offer five months 
of SNAP benefits for individuals who are transitioning off of 
TANF cash assistance.
    The Committee believes in and emphasizes the importance of 
work as a means to improve household food security, far more so 
than the benefits provided by SNAP. The earned income deduction 
is increased by 10% (to 22%) of earned income. This is a direct 
increase in benefits to households with earned income.

Broaden the consumption of healthy foods and readjust nutrition 
        education to better address the needs of low-income individuals

    The Committee emphasizes the importance of healthy eating 
for all Americans, including SNAP participants. The Committee 
also highlights the Foods Typically Purchased by Supplemental 
Nutrition Assistance Program (SNAP) Households report published 
by USDA in 2016, which found 20 percent of SNAP household 
spending was on items such as sweetened drinks, desserts, salty 
snacks, and candy. Further, the Committee recognizes that there 
is additional opportunity to leverage the year-round access and 
convenience provided by retail food stores.
    The Retailer-Funded Incentives Pilot provides $120 million 
per year to supplement up to 25% of the value of bonuses 
retailers are authorized to provide to SNAP recipients for the 
purchase of minimally processed fruits and vegetables, and 
dairy. The design of the program is left to the innovation of 
retailers, to be approved by the Secretary, but the Committee 
envisions it may include leveraging of existing store rewards 
programs.
    The Committee notes the success of the Food Insecurity 
Nutrition Incentive (FINI) Program established by the 
Agricultural Act of 2014. FINI encourages the consumption of 
healthy foods, including fruits and vegetables. Historically, 
FINI was delivered at farmers' markets and the Committee 
believes providing an opportunity for retailers to deliver 
healthy incentives is vital because it allows potential year-
round access to fresh fruits and vegetables for SNAP 
participants. Building on that success, the Committee 
reauthorizes FINI and establishes a training, evaluation, and 
information center for best practices, intended to improve 
effectiveness of applicants and recipients of FINI grants.
    The Agriculture and Nutrition Act of 2018 consolidates two 
existing nutrition programs carried out under two different 
authorities--Section 28 of the Food and Nutrition Act of 2008 
and Section 1425 of the National Agricultural Research 
Extension, and Teaching Policy Act of 1977 (with appropriations 
references to the Smith-Lever Act). In examining these 
programs, the Committee notes that the two programs, operated 
by two different agencies at USDA, encouraged and allowed 
duplication and inefficiency; although the education strategies 
employed by the programs are somewhat distinct, there is no 
policy rationale for separate programs. The Committee 
consolidated the best features of each program into a single, 
improved program, and established funding of $485 million per 
year in mandatory funding and up to $65 million per year in 
discretionary funding. The Committee directs NIFA and FNS to 
work cooperatively in the administration of the program, 
building on the expertise of each, and in coordination with the 
States and with the 1862 and 1890 Land-Grant Universities 
(LGUs) that receive the funding and partner with front-line 
operators to deliver nutrition education. State plans mandated 
by the Agriculture and Nutrition Act of 2018 are intended to 
create a unified nutrition education program in coordination, 
cooperation, and consultation with the State agency 
implementing the SNAP program. The eligible institutions (1862 
and 1890 LGUs) will implement a program that includes 
partnerships with public and private entities as applicable 
that are positioned to advance the effective and efficient 
delivery of the program to eligible individuals. The Committee 
expects the 1862 and 1890 LGU institutions to collaborate and 
determine their appropriate roles, recognizing the capacity 
capabilities and unique abilities of each institution. In 
States with both 1862 and 1890 institutions, extension 
leadership will develop, submit, and implement an equitable 
plan for distribution of funds. Funding streams should 
appropriately recognize the effort expended by each institution 
in each State.
    Further, the Committee expects the Secretary to ensure that 
any State eligible institution no longer has a substantive role 
in implementing State SNAP nutrition education plans is 
provided with focused technical assistance to ensure an 
effective, efficient transition to meet the new program 
delivery requirements. Further, for all States, the Committee 
encourages the Secretary to ensure that each State agency 
provides a transition strategy that adequately provides the 
Secretary assurance of an effective and efficient transition 
while working in good faith to minimize impacts on eligible 
individuals' access to services and benefits during this 
transition phase. The Committee expects NIFA and FNS to 
implement appropriate research strategies, especially within 
the LGU institutions, to ensure the constant improvement and 
efficacy of nutrition education. The statute establishes the 
requirement that NIFA's new administrative responsibilities in 
providing the nutrition education grants to State implementing 
agencies is to be conducted in consultation with FNS to guide 
effective program administration, as well as in the development 
of guidance and regulations as applicable, but provides for the 
Secretary to determine the practical roles and responsibilities 
therein. The Committee expects the Secretary to allocate 
administrative funds to both NIFA and FNS respectively that 
reflect each agency's administrative responsibilities, as 
determined by the Secretary, in accordance with the program and 
the Secretary's authority.
    In addition, USDA currently utilizes the SNAP-Ed Program 
Development Team (SNAP-Ed PDT) to foster communication and 
understanding among Federal and State/university organizational 
systems and to provide leadership to professional/staff 
development and program planning, management, reporting, and 
evaluation. The Committee expects USDA to continue utilizing 
the SNAP-Ed PDT in the implementation of the nutrition 
education program established in the Agriculture and Nutrition 
Act of 2018. The Committee intends that the 10 percent cap on 
administrative costs include the financial costs characterized 
by the following types of activities: dollar value of salaries 
and benefits associated with staff time dedicated to the 
administration of the nutrition education program; cost of 
training for performing administrative functions like record 
keeping and accounting, etc.; cost of reporting nutrition 
education program activities; operating costs; indirect costs 
for those administrative staff not covered above; and other 
overhead charges associated with administrative expenses (e.g., 
space, human resource services, etc.). The Committee requests a 
written report from the Secretary on implementation, including 
agency roles, administrative funds allocations to each agency 
with projected administrative costs for each agency to conduct 
effective oversight and administration, the Federal 
implementation strategy, State-level readiness status of 
eligible institutions for program implementation, as well as 
any remaining unresolved administrative and implementation 
objectives required by statute no later than 180 days following 
enactment.
    The Committee builds on previous successes of The Emergency 
Food Assistance Program (TEFAP) with an increase of $60 million 
each fiscal year, with $20 million each fiscal year to be used 
to establish a Farm-to-Food Bank Program in each State. 
Currently, more than 20 States administer farm-to-food bank 
programs that direct excess agricultural products from farmers 
to food banks for distribution to low-income households. The 
intention of the Farm-to-Food Bank Program is for States to 
administer an agricultural surplus clearance program that 
prevents unnecessary waste and reduces loss in the agricultural 
industry, while providing an inexpensive source of healthy food 
for low-income families.
    The Committee recognizes that there are a variety of 
viewpoints regarding the Scientific Report of the 2015 Dietary 
Guidelines Advisory Committee. The Committee encourages USDA to 
insist that more rigorous and science-based recommendations are 
considered, maintaining the scientific integrity necessary to 
improve nutrition-related outcomes.
    In recognition of the significant program improvements the 
Committee directs in Subtitle A, the Committee provides $150 
million in implementation funds to the Secretary.

                            TITLE V--CREDIT

    The Committee understands that access to credit is crucial 
to America's rural economy, but more importantly to the health 
and success of family farmers, ranchers, and foresters. To that 
end, the Agriculture and Nutrition Act of 2018 provides greater 
flexibility to the Farm Service Agency (FSA) in facilitating 
programs that increase credit availability to rural America.
    The Committee recognizes the diverse needs of producers of 
all sizes, experience, and backgrounds. To address these needs, 
the Committee maintains the loan levels and loan fund set-
asides for beginning farmer and rancher operating loans and 
reauthorizes the microloans program to continue to provide 
greater access for beginning farmers and ranchers. In an effort 
to provide greater participation for beginning farmers and 
ranchers the Committee amends the Farm Ownership Loan Program 
to grant the Secretary enhanced flexibility to allow military 
experience or agricultural education to qualify for a portion 
of the 3-year farming or ranching experience requirement to 
become an eligible borrower.
    The Committee notes that agricultural production is capital 
intensive, yet producers operate in markets with extremely slim 
margins. As such, the Committee-reported bill reauthorizes and 
increases the loan limitations for guaranteed farm ownership 
and operating loans to $1,750,000 to account for growing 
capital needs in rural America. Furthermore, the Committee-
reported bill reauthorizes the conservation loan and loan 
guarantee program at $75,000,000 annually.
    The Committee recognizes the important role the Farm Credit 
System and the national, regional, and community banks plan in 
providing credit to rural America. The Committee-reported bill 
clarifies the oversight authorities of the Farm Credit 
Administration (FCA) to ensure all participants in the System 
are in compliance with the Farm Credit Act. As such, the 
Committee-reported bill updates the Farm Credit Act of 1971 by 
eliminating references that are out of date based on current 
markets and regulations. Additionally, the Committee-reported 
bill grants the FCA civil enforcement authorities--similar to 
those of other agencies--enabling the agency to hold 
accountable employees of System institutions who have resigned 
or been terminated for up to six years following the employee's 
departure from the institution. This authority allows FCA to 
prevent ex-employees from simply leaving the System without any 
repercussions for potential malfeasance.
    The Committee-reported bill modernizes the 1,000 acre 
limitations on farm mortgages sold to Farmer Mac. The Committee 
recognizes U.S. agriculture has undergone substantial 
structural changes over the last 30 years when the average size 
of crop farms was 589 acres. Many farms have consolidated and 
undergone substantial growth to become more resilient to the 
market realities of today. The Agriculture and Nutrition Act of 
2018 updates the limit to 2,000 acres, which will allow for the 
majority of all cropland to access the lending source while 
still holding true to servicing family farms that have grown 
overtime.
    The Committee-reported bill extends the State Agricultural 
Mediation Program to help agricultural producers, their 
lenders, and other persons directly affected by the actions of 
USDA, resolve their disputes. The Committee recognizes 
mediation as a valuable tool for settling disputes in a variety 
of USDA program areas.

                      TITLE VI--RURAL DEVELOPMENT

    The past thirty years have been a time of enormous 
transition for America. The technological revolution that was 
ushered in at the close of the cold war empowered ordinary 
Americans to create, invent, and remake our world in ways that 
few were able to comprehend at the time. It has produced a 
burst of innovation and wealth creation that knows few 
parallels in history.
    Yet, like many other periods of rapid advancement, the 
effects of the change are felt unevenly. This innovation began 
with computers, but it became revolutionary when computers 
became communications tools and access points for a vast 
network of human knowledge. In less than a generation, the 
Internet has become the essential network for business, 
communications, information, and entertainment.
    Despite the rapid and complete adoption of this technology 
in much of modern life, too many rural Americans have been 
locked out of the technological revolution, because they are 
unable to connect to the Internet.
    The implications can be seen across rural America. It is 
notable in health care, where access to specialists and 
advances that are a few clicks away in urban hospitals cannot 
be reached in rural America. It is evident in the economy, 
where the latest technology to boost efficiency is dependent on 
centralized computing resources held in the cloud that cannot 
be reached in rural America. It is obvious in education, where 
research and lectures and data that are available in any 
suburban home cannot be reached in rural America. It is 
apparent in commerce where whole new industries that have 
flourished online cannot be reached in rural America. And is 
evident in our civic life, where citizen engagement and 
government outreach has moved to websites that cannot be 
reached in rural America.
    Today, the inequities of life without reliable, high-speed 
Internet can be compared to those without the other modern 
networks that form the foundations of technological revolutions 
of the past: the transportation networks like canals, 
railroads, and interstates that create markets for commodities 
and goods; the energy networks like rivers and electrical grids 
that multiply the power of labor; and the communications 
networks like the telegraph and telephone that fractionalize 
time and distance.
    The Internet is no less essential than these technologies 
for creating an interconnected, interdependent nation in which 
every American has the opportunity to participate fully in 
commercial and civic life. But it isn't just rural America that 
needs rural internet connectivity. As Mr. Craig Cook, Chief 
Operations Officer for Hill Country Telephone Cooperative, Inc. 
based in Ingram, Texas, explained to the Committee during his 
testimony on March 9, 2017: ``. . . rural areas are extremely 
important, and providing them the same level of service that is 
available in urban areas is critically important, not only for 
the success of those rural areas, and enabling those rural 
areas to compete in a global economy, but also ensuring that 
urban areas are well served by the rural areas.''
    Reliable, high-quality access to the Internet fundamentally 
underpins the economic development needs of all of rural 
America, but it also enables rural Americans to contribute the 
talents and successes of its citizens to our national economy. 
Today, entire businesses and institutions exist solely within 
the confines of the Internet, inaccessible to those without a 
connection. The latest information, the broadest set of ideas, 
and the best options are not only invisible to those who cannot 
access the network, but also devoid of contributions from them. 
We are all poorer for their exclusion.
    Against this backdrop, the Committee considered changes to 
the programs designed to promote economic and social 
development in rural America. The Committee-reported bill 
addresses several issues of priority for rural communities, 
including access to high quality health care services and 
affordable broadband connectivity, expanding credit and capital 
for infrastructure and economic development, and improving the 
coordination of neighboring rural communities. Yet, above all, 
it views the expansion of broadband internet access as the 
foundation on which rural prosperity and rural inclusion must 
be built.

Subtitle A--Improving Health Care In Rural Communities

    While broadband Internet connectivity is the long-term 
infrastructure challenge that the Committee believes will 
underpin rural advancement in the years to come, rural 
Americans also face several immediate health care challenges 
that the reported bill seeks to address.
    Throughout the 2018 Farm Bill process, the Committee has 
remained focused on the opioid crisis that is unfolding across 
the nation. The crisis demands a response from the whole of 
government and USDA has an important role to play in financing 
the infrastructure needed by communities and not-for-profits. 
The 2018 Farm Bill provides the Secretary the authority to 
prioritize those projects that can best help address this 
health crisis.
    In addition to the opioid crisis, the Committee also 
recognizes the challenging economic conditions in farm and 
ranch country that are leading to a silent epidemic of suicides 
among agricultural families. As farm income has fallen 
precipitously, economic stress on families is growing, and the 
agricultural community is in need of reliable sources of mental 
health care.
    In addition to these two specific health issues, rural 
Americans face a more generalized problem of access to health 
care services. Access to both medical care and medical 
insurance services is often more challenging for individuals 
outside of urban and suburban communities. To that end, the 
Committee reauthorizes the Distance Learning and Telemedicine 
Program and establishes a new program to assist farm and ranch 
organizations in establishing Association Health Plans for 
their members.
    Section 6001 provides the Secretary with flexible and 
temporary authority to address a broad range of potential 
health crises in rural America. Today that health crisis is 
opioids, but the Committee-reported bill provides the Secretary 
the authority to address any future health crisis, by providing 
set-asides or priorities in several programs, including the 
Distance Learning and Telemedicine Program, the Community 
Facility Loan and Grant Programs, and the Rural Health and 
Safety Education Program.
    The Committee encourages the Secretary to provide clear 
guidance to potential applicants about the types of projects 
that will qualify for prioritization. The Committee further 
reminds the Secretary that this authority is intended to 
accelerate the completion of projects that can have an impact 
on pressing rural health problems. We encourage the Secretary 
to establish a process for the expedited review of applications 
under this section and to further prioritize those applications 
that utilize or refurbish existing resources and structures, 
and can be completed simply and quickly.
    Finally, it is the Committee's express purpose in enacting 
this section that the Secretary use this authority to 
immediately address the opioid crisis, in addition to any other 
similar future health challenge in rural America.
    Section 6002 reauthorized and increased the authorization 
for the Distance Learning and Telemedicine program. The 
Committee believes that this program provides a critical link 
between rural patients and the health care services they need, 
but are often too far away to access.
    Section 6003 reauthorizes the Farm and Ranch Stress 
Assistance Network with some modest modifications, to provide 
mental health services to those farmers and ranchers in need of 
assistance.
    Section 6004 authorizes a new program to allow the 
Secretary to make loans to qualified Agricultural Associations 
to finance the establishment of new association health plans to 
serve agricultural businesses, their employees, and their 
families.
    The Committee recognizes that the process for reconsidering 
the rules surrounding association health plans is ongoing and 
does not intend this language to disrupt or alter that process. 
It is the Committee's intent that these Agricultural 
Association Health Plans conform with the Executive Order to 
the Department of Labor to establish guidance for expanding 
AHPs under ERISA. In addition, the Committee urges the 
Department to look to this guidance in selecting and overseeing 
grants and loans made to State associations that organize to 
provide a health plan to farmers and the agriculture family.
    The reported bill further empowers the Secretary to provide 
additional requirements on eligibility to be a qualified 
agricultural association. The Committee is supportive of 
restrictions that would generally limit the definition of 
``Qualified Agricultural Association'' to one in which the 
members have an established, pre-existing relationship and a 
history of organized cooperation through membership in an 
existing State-based trade association or industry association, 
which has been in existence for at least three years prior to 
the establishment of the agricultural association health plan, 
prior to the offering of a health plan.
    It is the Committee's belief that the Secretary should 
consider ways to promote long-term sustainability of 
Associations when making loans and grants under this section.

Subtitle B--Connecting Rural Americans to High Speed Broadband

    Rural Broadband concerns were a high priority for members 
and stakeholders during the two rural infrastructure hearings 
the Committee held last year. The Committee focused on 
increasing deployment of broadband networks by solving two main 
problems: network obsolescence and the high cost of building in 
rural areas. The Committee-reported bill tackles both of these 
issues, in addition to other minor reforms aimed at improving 
program delivery.

Building future-proof networks

    A consistent challenge in providing rural broadband is 
continuing improvement in the technology. Unlike telephone and 
electric service, the nature and quality of broadband service 
evolves on a yearly basis.
    In his March 2017 testimony, Mr. Cook touched on the 
challenge of deploying technology that provides broadband-
quality service over the long-term:

        ``.  .  . one of the things that was included in my 
        testimony was this term future-proof, and .  .  . 
        really what we are talking about there is not only 
        providing the best available service for the consumer 
        today, but also providing long-term solutions. So .  .  
        . when you look at the growth of broadband, and now .  
        .  . nationally you are looking at a medium broadband 
        speed of about 41 meg that is generally available 
        across the Nation. When you look at the potential 
        growth of that year over year of about 28 percent, it 
        is not long before you realize that we are going to be 
        at gig-level services that customers are going to be 
        demanding.''

    Ms. Jennifer L. Otwell, Vice President and General Manager, 
Totelcom Communications, De Leon, Texas, testified before the 
full committee on July 19, 2017, and pointed out the challenge 
of obsolescence when building broadband networks:

        ``If you are going to go through putting in a piece of 
        fiber into the ground, you want it to be what will last 
        for 20, 30 years. Some of those older networks, there 
        is really not a midrange network. The older networks, 
        they are already almost obsolete for what we are going 
        to need them for in just a few years.''

    The Committee recognizes that this rapid obsolescence of 
broadband technologies presents a unique challenge for 
communities with networks financed by the broadband program. As 
faithful stewards of taxpayer dollars, the Department is 
careful not to make loans to finance a network that would 
overbuild a network that it has already financed, regardless of 
the quality of the existing network. This helps to protect the 
taxpayer by ensuring the borrower has the subscriber base to 
pay back its loans.
    Yet, for communities served by obsolete networks financed 
with 20 or 25 year loans, this policy can trap them for decades 
in a twilight zone of connectivity: a substandard network 
protected from overbuilding. To remedy this, the Committee-
reported bill adopts new requirements for the broadband 
program, to better align the length of a loan with the expected 
ability of the network to provide broadband quality service 
over time.
    Section 6101 requires the Secretary to promulgate a minimum 
broadband speed standard and to promulgate estimates of what 
those minimum broadband speeds will be 5, 10, 15, 20, and 30 
years in the future. The section further prohibits the 
Secretary from making a loan to any project that would be 
unable to meet the estimated minimum broadband standards for 
the entire duration of the loan. The intent of this requirement 
is to align the service provided by a USDA-financed broadband 
network with the time that the service area is protected by 
USDA's overbuilding rules.
    The Committee expects that the longest loans offered under 
this new policy will be for those technologies that can be 
expected to provide broadband-quality service deep into the 
future, such as fiber optic networks. However, the section is 
technology neutral and will continue to provide loans to any 
broadband technology that is capable of meeting the expected 
service requirements during the term of the loan. For those 
technologies with lower maximum throughput speeds, the 
Committee anticipates shorter loan lengths.
    It is the Committee's goal that, wherever possible, the 
Department invest in the networks with the longest potential 
service life and greatest potential to be upgraded in the 
future. The Committee is committed to a build-it-right-the-
first-time posture for new broadband projects.
    During mark up, the Committee also considered and adopted 
an amendment that would further help those communities 
struggling with obsolete networks. For those networks financed 
with one-time grant funds, the Committee has adopted new 
language requiring those providers to upgrade their networks to 
modern standards. Without additional investments, on October 1, 
2020, the areas served by these networks would be available for 
other potential providers to make applications to USDA to serve 
them under the new rules.
    The Committee also considered and adopted an amendment 
during mark-up that would codify the current minimum standard 
of service for broadband networks at 25 Mbps download and 3 
Mbps upload. The Committee believes that this standard is 
appropriate for today to define the minimum internet service as 
broadband-quality; however, it reminds the department that 
technological obsolescence is rapid and cautions the Secretary 
not to force rural residents to settle for service no better 
than that in the new networks it is financing.

Improving financial assistance for broadband service

    The Committee also recognizes that the low-hanging fruit 
has likely already been financed and that further rural 
deployment of broadband is likely to face significant 
constraints on a network's subscribers being able to afford the 
loan repayments necessary to build out a system. To that end, 
the Committee has authorized the Secretary to provide 
additional assistance to applicants to reduce the cost of 
building networks in rural areas.
    The Committee-reported legislation established a new grant 
program, which works in conjunction with the existing lending 
authorities under the Rural Electrification Act already used by 
the Secretary to finance broadband networks. Under Titles I, 
II, and VI the Secretary already makes loans to entities and 
would continue to make loans under those authorities.
    Section 6102 allows projects eligible for a loan under one 
of those existing authorities the ability to qualify for a 
grant if the project meets certain additional requirements to 
provide service in rural areas. The Committee recognizes that 
the density, or lack thereof, in rural areas represents the 
most significant economic hurdle to deploying broadband 
internet networks. The limited subscriber base and high fixed 
costs of deploying infrastructure can present an insurmountable 
obstacle to providers in creating a ``business case'' for 
broadband investment in rural America. To this end, the 
Committee-reported bill scales up grant incentives for eligible 
borrowers who build networks in less-dense areas.
    Section 6102 also authorizes the Secretary to provide 
grants to certain applicants in the form of payment assistance 
for certain applicants. This authority is a novel form of 
assistance intended to better protect the interests of 
taxpayers and build in accountability for borrowers. In 
developing the Farm Bill, the Committee is seeking to address 
the difficulties the Department faces in holding grant 
recipients accountable to their ongoing obligations. Like loan 
recipients, grant recipients enter into a long-term agreement 
with the government to provide service over time in exchange 
for the grant. They are also enjoined from disposing of their 
assets for a period of time without returning the grant funds 
to the government.
    However, such agreements can prove difficult to enforce 
when a grantee fails to perform. The Committee believes that by 
structuring the assistance provided to an applicant as a loan 
and then allowing the Secretary to provide significant 
additional flexibility in setting the terms of loan, the 
Department and the borrower's ongoing relationship can be 
better represented and borrowers can be held accountable for 
their obligations to the government over the long-term, while 
still receiving significant additional assistance to build in 
very rural areas.

Additional provisions

    The Committee reported legislation also makes numerous 
other changes to the broadband program to improve borrower 
access and accountability, simplify administration, and protect 
taxpayers.
    Section 6114 was considered and adopted through amendment 
to the bill and it would to permit the broadband program to 
make loans to finance middle mile infrastructure projects. The 
Committee recognizes the importance of these projects in 
providing connectivity to rural communities to the high-speed 
internet backbone that makes advanced retail deployments 
possible. Fiber to the Home, 5G wireless, and other advanced 
broadband services require high-speed, high-bandwidth 
connections to existing Internet backbone connections.
    Section 6013 requires the Department to establish a 
separate guaranteed lending program for broadband. The 
Committee has seen the success of guaranteed lending in many 
other programs at the Department and believes that rural 
broadband communities could benefit from the same opportunity 
to access private credit to finance new networks.
    Section 6104 authorizes the Secretary to allow applicants 
under other RD programs to utilize a portion of their awards to 
deploy broadband services. Recipients of funds under the 
Consolidated Farm and Rural Development Act (CON Act) may 
utilize their award to deploy both retail broadband and other 
types of broadband infrastructure, including middle mile 
connections, conduit, and other infrastructure and facilities 
necessary to provide rural broadband connectivity. Recipients 
of assistance under Title I of the Rural Electrification Act 
borrowers, may utilize up to 10% of their award to provide 
retail service.
    The Committee has chosen to limit this authorization 
largely to areas that currently do not have broadband provided 
at the current minimum broadband speeds, with two important 
exceptions. Recipients of funding under CON Act programs may 
utilize up to 10% of their award to install non-retail 
broadband infrastructure, and recipients of funding under Title 
I of the Rural Electrification Act may provide service in areas 
under the existing Section 601(d) rules.
    The Committee looks forward to seeing the innovative ways 
communities will utilize this new flexibility.
    Section 6105 replaces the unfunded Rural Gigabit Program 
with the Innovative Broadband Advancement Program. The 
Innovative Broadband Advancement Program is designed to 
demonstrate innovative broadband technologies and methods of 
deployment that will significantly reduce the cost of deploying 
broadband in rural areas and be replicated by others in other 
rural areas. The program is significantly more flexible than 
the program it replaces, and the Committee believes that it 
will provide innovative companies and communities the 
opportunity to lead the way in developing technologies that 
will be of benefit to all of rural America.
    Section 6106 expands the Department's broadband reporting 
requirements to cover the new grant program established in this 
bill, as well all as of the other loan and grant programs which 
provide broadband service, including Community Connect, the 
Distance Learning and Telemedicine Program, and the new Omnibus 
Loan/Grant Broadband Program.
    Section 6107 provides certainty to broadband borrowers by 
enabling them to be notified of their loan application 
acceptance, before they undertake costly historic or 
environmental reviews. No applicant would be able to draw on 
USDA funds until every required review has been completed, but 
by resequencing the process, borrowers will be better 
positioned to undertake reviews, knowing that there will be 
funds available to them when they have been satisfactorily 
completed.
    Sections 6108-6112 make changes designed to improve the 
administration of the broadband program and simplify applicant 
compliance. Notably, the Committee-reported bill improves the 
Secretary's ability to refinance debt held by applicants to 
better protect the government by securing a first-lien on a 
borrower's assets.

Overbuilding and regulatory coordination

    The Committee is mindful of the concerns that many 
stakeholders who are deploying broadband in and near rural 
areas have about the Department subsidizing networks that 
overbuild existing networks, both those that are financed 
through the FCC's high-cost program and those that were 
financed entirely with private capital.
    The Committee notes the significant work that was 
undertaken during the previous Farm Bill to strengthen 
reporting and disclosure requirements and has worked to build 
on that progress with the changes made in this Farm Bill. The 
Committee intends for the Department to continue to enforce its 
existing requirements to limit overbuilding of existing RUS 
borrowers and areas that already have broadband-quality 
service. The Committee believes that no one is well served when 
government programs duplicate services or replicate private 
sector investments.
    The Committee also notes the work by the Department and the 
FCC to better harmonize existing USDA lending programs and the 
FCC's high cost program. However, we believe that much more can 
be done to strengthen the coordination between these two 
programs. The Committee recognizes that there are different 
minimum broadband speeds for USDA's broadband programs and the 
FCC's broadband program, which could lead to USDA financing 
networks that compete with networks subsidized by the FCC. 
Where there is coordination to be had between USDA and the FCC 
on broadband programs, it should begin with raising standards 
to promote broadband networks that will provide long-term, 
quality broadband service for rural residents and communities.
    The Committee reminds the Department, the FCC, 
stakeholders, and the public that the overarching goal of the 
Committee is for rural residents to have affordable access to 
broadband internet services that is comparable to the service 
offered to urban and suburban Americans. Rural Americans cannot 
and should not be left out of the modern economy because of 
bureaucratic infighting and unrelated political considerations.

Other matters

    As the USDA develops financing, policy and other aspects 
related to rural broadband development, the Committee requests 
USDA take into account Sec. 2110 of the FAA Extension, Safety, 
and Security Act of 2016. This will ensure communication towers 
providing broadband services in rural areas that meet the 
specifications described in Section 2110 are properly marked 
and entered into a FAA database to protect the safety of aerial 
applicators, aerial firefighters, public health applicators, 
medevac units, law enforcement and other low-flying aircraft.
    Finally, the Committee recognizes the intense change that 
the broadband program has been under through the past decade 
and directs the Secretary to develop rules with all due haste, 
but to continue to implement the program as those rules are 
being developed.

Subtitle C--Consolidated Farm and Rural Development Act

    The Committee-reported bill reauthorizes the important 
infrastructure and economic development programs in the CON 
Act, including the water and waste loan and grant programs, the 
community facilities programs, and rural business programs.
    In addition, it makes several important changes to 
encourage regional cooperation and to expand access to credit 
for mid-sized regional communities.

Regional economic development

    Section 6201 of the bill reauthorizes and simplifies the 
Strategic Economic and Community Development Program. The 
Committee has heard from the Department, as well as economic 
development stakeholders about the importance of incentivizing 
regional-focused economic development initiatives.
    The Committee-reported bill provides the Secretary with 
significant latitude in determining the eligible programs and 
appropriate set-asides to ensure there are sufficient resources 
to meet the demands of eligible applicants.

Expanding access to credit for rural communities

    Section 6202 of the Committee-reported bill expands 
opportunities for rural communities to obtain credit through 
the guaranteed lending programs of the community facilities, 
water and waste, and broadband programs. The section expands 
availability of credit to all rural areas for higher education 
and critical services, investing in rural community colleges, 
hospitals, fire stations and other regional-serving 
institutions.
    While the Committee continues to reserve direct lending and 
grant opportunities under these programs for smaller 
communities, it provides the opportunity for any community that 
meets the statutory definition of ``rural'' to access the 
guaranteed lending under those programs. These communities, 
while larger than the currently-eligible communities under 
these programs, nonetheless face similar challenges in 
accessing the necessary loans to finance infrastructure 
deployment.
    Section 6203 requires the Secretary to collect fees for 
guaranteed lending sufficient to offset the cost of providing 
the subsidy. The Committee realizes that expanding access to 
guaranteed lending programs requires a commensurate increase in 
the availability of resources to support the lending program. 
By making the programs self-supporting, additional loan 
guarantees can be provided to meet the needs of the larger 
borrowing class.
    The Committee recognizes that it may take several years for 
the programs to become self-supporting, so it continues to 
provide the appropriators the authorization to appropriate 
funds to support lending under these programs. The Committee 
encourages the Appropriations Committee to work with the 
Department and the Lending Community to establish a program 
level and a fee structure that supports our rural communities.
    As guaranteed lending grows, it will also become necessary 
for USDA to streamline and standardize its approval process for 
these programs. The Secretary is encouraged to take steps to 
ensure that lenders receive timely responses and similar 
treatment of their applications, no matter where in rural 
America the project is located. The Committee believes that 
centralization or regionalization of application processing, as 
well as increased use of technology, can provide applications 
with faster, more consistent review that will safeguard 
taxpayer dollars while still expanding access to credit for 
rural institutions.

Community water systems

    Section 6205 of the Committee-reported bill makes two 
important changes to the Rural Water and Wastewater Technical 
Assistance and Training Programs.
    First, the Section provides the opportunity for entities to 
offer business-planning assistance to small water systems. In 
addition to the traditional technical assistance provided to 
systems for immediate, day-to-day operations, the section also 
authorizes the Secretary to make grants to entities, often the 
same entities providing the technical assistance, to offer 
long-term sustainability planning, including assistance on 
consolidation, partnerships, or service contracts.
    Second, the section increases the authorization to ensure 
that sufficient resources are available to the Secretary to 
provide for adequate assistance.

Prison populations

    Section 6218 of the Committee-reported bill provides the 
Secretary the authority to more accurately count the residents 
of a rural community. The section, as amended, provides 
latitude when considering an application from a community that 
hosts a jail or prison facility which is above a population 
threshold. It would permit the Secretary to consider certain 
individuals, who are incarcerated on a long-term or on a 
regional basis, from being not part of an applicant's 
community.
    When an individual is incarcerated for long periods of 
time, they are unlikely to be able to utilize or support a 
project financed through rural development. While they will 
someday return to a community, for the period of their 
incarceration they cannot support a project and should not be 
included for the purposes of determining a community's size.
    Likewise, there are some communities that host regional 
jail facilities, which temporarily hold individuals from 
outside the host communities on a short-term basis. These 
individuals, who are temporarily held, should be counted not in 
the community that hosts the jail, but in the community in 
which they live.
    The Committee recognizes the challenges posed by trying to 
accurately assess rural populations. It directs the Secretary 
to provide rural communities which host correctional facilities 
the opportunity to provide supplemental population data solely 
for the purposes of qualifying for rural development programs.
    It is not the Committee's intent to marginalize, 
disenfranchise, ignore, or otherwise neglect any individual, no 
matter where he or she lives or if he or she is incarcerated. 
The Committee's sole concern is establishing the total number 
of individuals who will utilize and support a particular 
project or service so that the Department can appropriately 
judge the needs of a community and its eligibility for 
assistance.

Other matters

    The Committee encourages the Secretary to allow for 
national applications under the Community Facility Technical 
Assistance and Training Program without restrictions or award 
caps for funding under this paragraph from qualified national 
non-profit organizations for the sole purpose of providing on-
site training and technical assistance on a national or multi-
state regional basis.
    The current regulatory cap on funding awards is not 
prescribed in the authorizing statue of the program, nor are 
such caps proscribed for the program on which the Committee 
modeled the CF Technical Assistance program, the Water and 
Waste Disposal Technical Assistance and Training Program 
(306(a)(14) of the CON Act.
    The Committee intends that applications not be limited to 
$150,000 for national and multi-state non-profit applications, 
but rather be considered for an amount of no less than $500,000 
to provide community facilities technical assistance and 
training on a national or multi-state basis.
    The Committee is supportive of our cooperative entities in 
providing value and expertise to the agricultural community. 
The Committee notes that the Department of Commerce has begun 
including a question about cooperatives in the bi-decadal 
Economic Census performed by the U.S. Census Bureau. The 
Committee reminds the Secretary of the value of this data and 
encourages him to utilize it in the cooperative research 
program authorized in Section 310B(e)(10) of the CON Act.
    Finally, the Committee notes with some concern the 
proliferation of economic development commissions, programs, 
authorities, and collaborations both in the CON Act and 
elsewhere in statute. It remains unclear what programs and 
authorities are currently utilized by the Department to improve 
economic development activities and what programs and 
authorities are no longer necessary, duplicative, or ill-suited 
to current use. To remedy this, the Committee requests the 
Department prepare a comprehensive report on USDA's Economic 
Development Authorities which:  
        1. Catalogues and describes USDA's statutory programs 
        and authorities devoted to economic development, both 
        current and lapsed;  
        2. Identifies each economic development office, agency, 
        sub-agency, panel, committee, or other organizations 
        created in statute or by regulation, and the decision-
        makers associated with each;  
        3. Enumerates all authorizations and appropriations, as 
        well as number of staff which support each authority, 
        program, and organization, from both federal and non-
        federal sources;  
        4. Provides a comprehensive description of how each 
        program is utilized by the Department, any 
        deficiencies, and overlap with other programs; and  
        5. Makes suggestions for reforming USDA's rural 
        development authorities, including streamlining or sun-
        setting any unnecessary or duplicative programs and 
        authorities; consolidating overlapping authorities; or 
        establishing new authorities where there is a need.

Subtitle D--Rural Electrification Act

    The Committee recognizes the important work that borrowers 
under the Rural Electrification Act perform in rural America. 
Rural telephone companies and cooperatives, electric 
cooperatives, and broadband providers work to connect all 
Americans to seamless telecommunications and energy networks.
    In addition to the changes provided in Subtitle B, the 
Committee-reported bill makes several additional small changes 
to the REA to simplify compliance and promote continuity of 
services.
    Section 6304 places the Rural Economic Development Loan and 
Grant (REDLG) Program on firmer financial footing. While the 
language in the bill significantly redrafts the underlying 
statute, the Committee's intent is that this statutory 
simplification does not alter the existing administration of 
the program. However, the reforms do intend to codify the two 
existing sources of funding for the program, as well as provide 
the appropriators with the authorization to appropriate 
additional funds to the program, if it should require.

Subtitle E--Farm Security and Rural Investment Act of 2002

    The Agriculture and Nutrition Act of 2018 reauthorizes the 
successful energy programs that help diversify our nation's 
energy supply, promote energy efficiency, and create new 
economic opportunities in rural America. These programs promote 
the development of advanced biofuels and renewable energy.
    In an effort to provide greater participation, the Rural 
Energy Savings Program has been amended to ensure that the 
Secretary does not include any other debt incurred in the 
calculation of a borrower's debt equity ratio for eligibility 
purposes as well as streamlining the accounting requirements on 
the borrowers while ensuring that there will be repayment of 
the loan. The Committee intends for the Secretary to continue 
to carry out section 6407 of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 8107) in the same manner as on 
the day before the date of enactment of this Act, except as 
amended under subsection (a), until such time as any 
regulations necessary to carry out the amendments made by this 
section are fully implemented.
    To modernize the Biobased Markets Program, the Committee 
has reauthorized and amended the program by adding in no 
limitations on procurement of wood and wood-based products from 
any other federal agencies.
    The Biorefinery, Renewable, Chemical, and Biobased Product 
Manufacturing Assistance has been amended to tailor the focus 
of the program to ``renewable chemical or biobased product 
technology''.
    The Repowering Assistance Program has been reauthorized, 
and the program has been authorized to be appropriated 
$10,000,000.
    The Biorefinery Program for Advanced Biofuels is amended to 
require the Secretary to place limitations on the amount of 
feedstock payments one or more producers may receive in a year. 
The program also has been authorized to be appropriated 
$50,000,000.
    The Committee bill has reauthorized and authorized to be 
appropriated $2,000,000 to the Biodiesel Fuel Education 
Program.
    The Committee Bill has reauthorized the Rural Energy for 
America Program, Feedstock Flexibility, and the Biomass Crop 
Assistance Program with a specific authorization of 
$25,000,000.

Subtitle F--Miscellaneous

    The Miscellaneous subtitle reauthorizes a number of 
existing USDA programs including the Value Added Producer 
Grants and regional economic and infrastructure development 
commissions.

Subtitle G--Program repeals

    The Committee-reported bill repeals eleven obsolete 
programs.

Subtitle H--Technical corrections

    The Committee-reported bill carries statutory corrections 
identified by the Office of Law Revision Counsel, staff, and 
others.

          TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS

    The research title authorizes several intramural and 
extramural programs, providing resources and direction for 
foundational and basic agricultural research, extension, and 
education. This investment is the foundation for the success 
and viability of our nation's agricultural industry as it 
strives to enhance productivity, improve consumers' standard of 
living, and increase competitiveness of U.S. products in world 
markets.

National Agricultural Research, Extension, Education, and Economics 
        Advisory Board

    The National Agricultural Research, Extension, Education, 
and Economics Advisory Board (NAREEEAB) was created in 1996 to 
replace an existing stakeholder advisory board and consolidated 
the functions of numerous other boards, task forces, and 
counsels. This advisory board has since served as the principal 
advisory mechanism to the Secretary, Under Secretary, agency 
administrators, and the Congress on all aspects of the 
Research, Education, and Economics (REE) mission area.
    In creating the NAREEEAB, Congress intended for this board 
to recommend policies, identify short- and long-term national 
priorities for REE programs, and to evaluate program results 
and effectiveness, among other assigned duties. Congress has 
since added multiple duties and consultative functions to the 
Board's mandate. In doing so, the Committee is aware that the 
workload and learning curve of the volunteer members is high. 
The Agriculture and Nutrition Act of 2018 streamlines Board 
membership in order to allow flexibility for the Secretary in 
making appointments.
    Previously, the Committee has encouraged the Secretary to 
consult with the NAREEEAB, in both the intramural research 
carried out by the Agricultural Research Service and in the 
competitive grants programs carried out through AFRI and other 
authorities, in carrying out and funding research. The 
Committee encourages USDA to utilize the expertise and input of 
the NAREEEAB to refocus and target limited agricultural 
research dollars on issues directly impacting production 
agriculture. The NAREEEAB should be asked to provide input in 
every step of the priority-setting process, and the Secretary 
is strongly encouraged to rely on this input in making final 
decisions.

Renewable Energy Committee discontinued

    The Agriculture and Nutrition Act of 2018 repeals the 
Renewable Energy Committee of the NAREEEAB. The Committee 
understands that this subcommittee was duplicative of the 
subcommittee established under the Biomass Research and 
Development Initiative (BRDI). The Committee encourages the 
Department to continue to utilize the BRDI subcommittee to 
fulfill the important role of studying the scope and 
effectiveness of research, extension, and economics programs 
affecting the renewable energy industry.

Centers for food security

    The Committee encourages USDA to establish centers that 
focus on food security and the impact of food and agricultural 
policies on nutrition, trade, environment, and rural 
communities, both national and globally, at land-grant 
institutions.

The National Drought Mitigation Center

    Drought can have a devastating impact on the food supply, 
food prices, farmer income, and the economic health of rural 
communities. Furthermore, drought impacts water supply and 
quality, energy production, fire threats, landscape changes, 
and tourism and recreation. At any one point in time, drought 
is likely to affect between a fourth and a third of the nation. 
Monitoring, preparedness, response, and resilience are proven 
means of managing the detrimental impacts of drought.
    For many years, the weekly U.S. Drought Monitor has been 
the primary source of information on the extent and severity of 
drought throughout the U.S. In 2016-2017, the U.S. Drought 
Monitor, produced at the National Drought Mitigation Center was 
viewed over 15 million times on the NDMC website alone, and 
distributed even more widely through secondary sources. It is 
the most widely used gauge of drought conditions in the 
country. More recently, other important tools, such as the 
Drought Impact Reporter, drought mitigation plans and 
resilience guidelines or tools have been increasingly utilized. 
Furthermore, the U.S. Drought Monitor serves as a trigger for 
Federal disaster relief funds. The Committee expects that the 
U.S. Drought Monitor will continue to be the primary source of 
information on drought conditions in the U.S., and that 
additional tools for managing and mitigating drought will 
continue to be strengthened, made broadly available and applied 
at the local level.

Extension carryover at 1890 institutions

    The Committee notes the deletion of the statutory maximum 
20% carryover requirement. The Committee intends that USDA 
provide extension funding in a similar manner to both 1890s and 
1862s.

Scholarships for students at 1890 institutions

    The Agriculture and Nutrition Act of 2018 authorizes 
scholarships at the 1890 land-grant institutions for students 
interested in food and agricultural sciences. The Committee 
acknowledges that there is currently an unmet demand for 
highly-skilled jobs within the agricultural industry. The 1890s 
have recognized the opportunity that such a gap presents for 
graduates with degrees in agricultural studies, and they are 
focusing efforts on generating greater interest in the 
agricultural programs within these institutions.

Land-grant designation

    The Committee has strongly supported the continuing mission 
of our nations' land-grant university system to address local, 
State, and national priorities concerning food and agricultural 
sciences. Formula funds provided by USDA support capacity and 
infrastructure for research, education, and extension programs 
related to food and agricultural sciences.
    The Committee is aware of recent efforts to designate a new 
1862 land-grant institution to allocate Federal funds based on 
urban population. Funds allocated to States for agricultural 
research programs under the Hatch Act and agricultural 
extension programs pursuant to the Smith-Lever Act are based on 
individual formulas that take into account rural population and 
farm numbers. Urban population and State land area are not 
considered. The efficiencies gained through central 
administration of research, extension, and education 
programming within the States reduces costs while maximizing 
resources devoted to local, State, and national priorities. The 
Committee recognizes the budgetary limitations facing our 
nation requiring the land-grant system of colleges and 
universities, and all other public-sector entities, to do more 
with less.
    Efforts to divide existing land-grant universities under 
the guise of local control of extension programing would 
establish separate, distinct administrative units with the 
effect of duplicating administrative costs and burdens, while 
significantly disrupting the ability to provide programming on 
high-priority local, State, and national issues.
    The Committee addresses this concern by prohibiting USDA 
from providing capacity funding to institutions not previously 
designated as land-grant universities, thereby preserving the 
capability of the system to address our nation's priorities 
within the budgetary constraints that currently exist.

Genomes to phenomes

    The Committee acknowledges the enormous challenge of 
efficiently and sustainably producing a safe, dependable food 
supply for a growing population. Meeting this challenge 
requires the development and management of crop varieties that 
will perform well despite increased weather variability. By 
improving the ability to predict crop performance in diverse 
environments, the genomes to phenomes initiative will enhance 
capability to develop new varieties, and to manage the effects 
of weather variability on crop productivity. The Committee 
therefore supports a large-scale, interdisciplinary network of 
researchers dedicated to producing and analyzing very large 
datasets of phenotypes to better predict crop yields.
    While this genomes to phenomes initiative is focused on 
crops, it is the Committee's intent that this section not 
detract from existing projects, nor deter future research 
funding in animal genomics. The Committee recognizes the 
importance of animal genomics research conducted and supported 
by the Department. The Committee strongly supports increased 
efforts in genomics research on agriculturally important 
animals to address critical goals including: (1) understanding 
how environment and production systems impact the growth and 
productivity of livestock, poultry, and aquaculture to help 
predict and improve performance under variable conditions; (2) 
leveraging livestock, poultry, and aquaculture genomic 
information with phenotypic and environmental data to assist in 
selection of superior genetics and improved management; (3) 
understanding gene function in production environments to 
improve livestock, poultry, and aquaculture performance; and 
(4) developing improved data analytics to enhance understanding 
of the biological function of genome sequences in livestock, 
poultry, and aquaculture. The Committee commends the university 
community, the private-sector, and the Department for their 
work to advance animal genomics research and encourages 
additional focus on these efforts in the future.

High-priority research and extension initiatives

    The Committee encourages USDA to more effectively 
coordinate intramural and extramural research activities that 
address the cattle fever tick. The fever tick has been a threat 
to American agriculture for generations causing enormous 
economic losses to the U.S. cattle industry in the late 1800s 
and early 1900s. These ticks are capable of carrying the 
protozoa, or microscopic parasites, Babesia bovis or B. 
bigemina, commonly known as cattle fever. The Babesia organism 
attacks and destroys red blood cells, causing acute anemia, 
high fever, and enlargement of the spleen and liver, ultimately 
resulting in death for up to 90 percent of susceptible cattle. 
Over 2,700 premises and 9 million acres in south Texas are 
currently under quarantine from cattle fever ticks, including 
many premises far north of the historic permanent quarantine 
zone along the Mexico border. If not controlled, they could 
spread to historic locations across the southern U.S. currently 
home to more than 400,000 cattle operations.
    The Committee recognizes that it is in the economic 
interest of agricultural producers and American consumers to 
ensure a healthy, sustainable population of native and managed 
pollinators, including managed honey bees. Pollinators are 
essential to the production of an estimated one third of the 
human diet and to the reproduction of at least 80 percent of 
flowering plants. Insect-pollinated agricultural commodities 
result in significant income for agricultural producers and 
account for about $20 billion in U.S. agricultural output 
yearly. Because of the importance of pollinators in the 
production of the nation's food supply and their impact on the 
stability of our agricultural economy, and because the 
knowledge gap is too wide given the continuing seriousness of 
the problem, the Committee directs additional honeybee research 
to be coordinated USDA-wide, utilizing multi-year funding from 
SCRI, AFRI, and other existing funding sources to institute 
longitudinal field studies along major migratory bee routes, 
and to ensure adequate input from the beekeeper, specialty crop 
grower, and scientific community.
    The Secretary should, through competitive awards, make 
funding available for research on the impact of Juniperus 
virginiana (eastern red cedar) on ranchlands and grasslands. 
Funding could be used for enhanced understanding of growth, 
development, and spread of the species; impact of eastern red 
cedar intrusion, including on beef production, water 
availability and fire danger; means of large-scale management 
and control of the species; and development of policies and 
practices for use by ranchers, State and local governments, and 
other relevant decision makers. Priority should be given to 
translational research on how to manage resilience and prevent 
losses of rangeland productivity, and technological and 
infrastructural solutions that address problems on a regional 
scale.
    The Committee recognizes that Chronic Wasting Disease (CWD) 
is a serious issue impacting both wild and farmed cervid 
populations. The Secretary should, through competitive awards, 
make funding available for research as part of the Department's 
CWD management strategy.

Organic agriculture research and extension initiative

    The Committee recognizes that consumer demand for 
organically produced goods continues to show double-digit 
growth, providing market incentives for U.S. farmers across a 
broad range of products. According to USDA, organic products 
are now available in nearly 20,000 natural food stores and 
nearly 3 out of 4 conventional grocery stores. Organic sales 
account for over 4 percent of total U.S. food sales. U.S. farms 
and ranches sold $7.6 billion in certified organic commodities 
in 2016, up 23 percent from $6.2 billion the year before. 
However, increases in domestic production have not been enough 
to keep up with increases in demand. To ensure adequate 
domestic supply, organic agriculture research must provide 
tools and resources American farmers and ranchers can use to 
take advantage of higher premiums and a robust organic market.

Farm business management

    Farm business management activities as provided under 
section 1672D of the Food, Agriculture, Conservation, and Trade 
Act of 1990 are defined as participation in farm business 
management associations and education programs that provide the 
participating farmers and ranchers a year-end whole farm and 
enterprise financial analysis. To be eligible for cost-share 
assistance under this program, participating farms or ranches 
must contribute their year-end financial data to the national 
farm financial database that has been awarded and designated by 
NIFA under section 1672D of the Food, Agriculture, 
Conservation, and Trade Act of 1990. To ensure data 
confidentiality and security, all identifying characteristics 
other than county and State must be removed from individual 
farm or ranch data before being transmitted to the national 
farm financial database.

Specialty crop research initiative

    The Committee is aware that the National Academies of 
Sciences, Engineering, and Medicine; Division on Earth and Life 
Studies; Board on Agriculture and Natural Resources recently 
completed a review of citrus greening research and development 
efforts. The report recommended continued support for both 
basic and applied research and both short- and long-term 
research efforts, but it noted a lack of standardized methods 
and parameters as well as a lack of strategic coordination. The 
Committee directs USDA to create opportunities for 
communication, collaboration, and innovation among researchers, 
representatives of other funding agencies, and the citrus 
industry to address the concerns highlighted in the Academies' 
report.
    The Committee recognizes and supports efforts to increase 
domestic fruit and vegetable production from all growing 
methods. To further the goal of increased domestic production, 
the Committee encourages the Secretary to ensure that there is 
sufficient research to support the growth of this sector 
including: indoor growing, harvesting and packaging 
technologies, impacts of shipping and transportation on 
nutritional value, and energy efficiency among different 
growing methods.

Sun Grant Program

    The Committee-reported bill directs the Secretary to 
utilize and leverage the investment, resources and capacities 
of the current regional Sun Grant Program Centers and Sub-
center to continue their leadership and management of the 
regional Sun Grant competitive grants program.

Research Facilities Act

    The Committee expects the Secretary to require in the 
application process a facilities management plan including 
long-term maintenance of the facility based on industry 
standards. The Committee expects the Secretary to give higher 
priority to those projects that have significant private 
support and multi-State contributions. In determining multi-
State support, the Secretary should consider letters of support 
and/or funding from other State institutions and multi-State 
organizations and corporations. The Secretary should consider 
equally renovations and new construction without bias. 
Proposals should provide justification for renovation over new 
construction, or new construction over renovation, specific to 
the project. The Committee expects the Secretary to rank 
projects on criterion such as scientific merit, national and 
regional need, and other objective criteria; but not the size 
or cost of the project.

Competitive, Special, and Facilities Research Grant Act

    AFRI is the premier competitive research and extension 
grants program within USDA. The AFRI program was established in 
2008 as a successor program to the National Research Initiative 
Competitive Grants Program and the Initiative for Future 
Agriculture and Food Systems. The statutory priorities for AFRI 
are purposefully broad. In developing these priorities, 
Congress was aware that as science evolves, a balance needed to 
be achieved between the need for flexibility to respond to new 
and emerging threats and opportunities, and the need for 
transparency and accountability in the expenditure of taxpayer 
funds. The Committee urges the Secretary to work with 
stakeholders and the NAREEEAB to ensure that the allocation of 
research and extension awards under the AFRI program is 
consistent with our national priorities, as amended in the 
Agriculture and Nutrition Act of 2018.
    Additionally, the Committee notes that labor availability 
is the most critical challenge facing the specialty crop sector 
both in the short- and long-term. Committee hearings in 
Washington, and listening sessions around the country, have 
documented the need for additional mechanization research. The 
Committee therefore encourages the research agencies within 
USDA to more vigorously fund this vital research priority 
through their respective programs.
    The Committee strongly urges USDA to use its authority 
under AFRI to award grants to institutions to support the 
design of one or more extension prototypes that propose 
leveraging digital platforms or other novel means of 
translating, delivering, or demonstrating agricultural 
research, to adapt, apply, translate, and/or demonstrate 
scientific findings, data, technology, and other research 
outcomes to farmers, industry, and other interested persons or 
organizations. These prototypes shall incorporate analytics and 
metrics to assess value and impact.

Beginning Farmer and Rancher Development Program

    The Committee addresses stakeholder concerns by enhancing 
the Beginning Farmer and Rancher Development Program to allow 
the Department greater flexibility in administering the program 
to a more diverse pool of applicants. In addition, it allows 
flexibility in addressing more of the complex challenges that 
beginning farmers and ranchers face.

Biomass Research and Development Initiative

    The purpose of the Biomass Research and Development 
Initiative (BRDI) is to promote research and development 
regarding the production of biofuels and biobased products. The 
Committee encourages the Department to prioritize and focus 
investment in projects which use pre-commercialization 
processes and methods to advance product development. The 
Committee is aware of numerous advanced manufacturing 
facilities around the country that can play an active part in 
the development phase of biofuels and biobased products, and 
urges the Secretary to encourage their involvement in BRDI 
projects.

Agency coordination

    The Committee is concerned that the Department is not 
adequately coordinating implementation of research priorities 
between intramural and extramural research programs. While 
efforts to coordinate research across the agency have been well 
articulated in strategic documents, execution has been lacking. 
The Committee urges the Department to conduct stakeholder 
outreach, and to better coordinate with the NAREEEAB and the 
scientific community to ensure Federal research dollars are 
allocated in a strategic, effective way. In addition, the 
Committee directs USDA to utilize the priorities set out under 
AFRI to coordinate these efforts.
    USDA, HHS, and multiple Federal agencies conduct important 
research on agriculture and food production, disease 
prevention, nutrition, and health. The Committee recognizes the 
value of interagency coordination in addressing how these 
issues impact public health. The Committee encourages USDA, 
HHS, and other relevant Federal agencies to maintain a 
Memorandum of Understanding to coordinate and share research 
findings on the future of nutrition research connecting 
agriculture production, food consumption, nutrition, and 
disease prevention.

University of the District of Columbia

    In the 2008 Farm Bill, the matching funds requirement for 
Smith-Lever funding was eliminated for the University of the 
District of Columbia, thereby making UDC the only 1862 
institution without a matching requirement. It is the 
Committee's intent to reinstate the matching funds requirement 
for UDC in order to affirm its status as an 1862 land-grant 
university, and to incentivize its important cooperative 
extension activities including improving food security in low-
income communities, building viable agriculture businesses 
through hydroponics, aquaponics and vertical systems, creating 
agriculture jobs in high unemployment communities, and training 
the next generation of farmers.

Farmland Tenure, Transition, and Entry Data Initiative

    The Agriculture and Nutrition Act of 2018 includes a new 
Farmland Tenure, Transition, and Entry Data Initiative to 
ensure that the Committee and the public have access to 
important trend data on farmland ownership, tenure, transition, 
barriers to entry, profitability, and viability of beginning 
farmers. In carrying out this program, the Committee directs 
the Secretary to ensure that all personally identifiable 
information is protected. No data should be made publicly 
available if it can be used to distinguish or trace an 
individual's identity, either alone or when combined with other 
personal or identifying information that is linked, or 
linkable, to a specific individual.

Authority to transfer land at Beltsville Agricultural Research Center

    The Committee is aware of the need to provide the 
Agricultural Research Service (ARS) with authority to transfer 
approximately 100 acres of land at the Henry A. Wallace 
Beltsville Agricultural Research Center in Beltsville, Maryland 
to the Bureau of Engraving and Printing (BEP). The Committee 
understands that the transfer will save USDA approximately 
$500,000 in operation and maintenance cost per year by reducing 
ARS' footprint by approximately 98,500 square feet. BEP will 
incur the cost of demolition of multiple ARS unutilized 
buildings. Future shared services between BEP and ARS could 
provide even more savings and efficiencies to both agencies.

Land-grant reporting requirements

    The Committee is concerned with the increasing amount of 
reporting required by the National Institute of Food and 
Agriculture that is connected to the land-grant capacity funds, 
such as the combined plan of work. The perception remains that 
these reports often go unused, proving them unnecessary. In 
response to this notion, the land-grant community has created 
its own source, https://landgrantimpacts.tamu.edu, to document 
and showcase the research and extension impacts provided by the 
system. The changes made by section 7606 of the Agriculture and 
Nutrition Act of 2018 are intended to streamline the combined 
plan of work into a more concise and easier to prepare 
document. The professionals across the land-grant system should 
be spending their time and effort addressing the needs of 
American agriculture through discovery, and not filling out 
unnecessary paperwork.
    In addition, the Committee is concerned that land-grant 
capacity funds are being treated similarly to competitive 
grants, in which an applicant proposes the use of such funds 
and is required to document compensation charges and personnel 
time and effort. Under current law, land-grant capacity funds 
are awarded based on a formula. The Department's role is to 
ensure that any required matching funds are provided and to 
disperse the funds as directed by law. In implementing section 
7607 of the Agriculture and Nutrition Act of 2018, the 
Department should issue updated guidance to affected 
institutions outlining the exemption.

Extension research

    The Cooperative Extension System is a nationwide, non-
formal educational network. Each State, territory, and the 
District of Columbia has an office at its land-grant 
universities, and a network of local or regional offices which 
are staffed by experts who provide practical, research-based 
education to agricultural producers, small business owners, 
youth, consumers, and others in rural and urban communities. 
The Committee encourages the Secretary to ensure that 
Cooperative Extension is effectively utilized to deliver the 
educational component of USDA programs. The Secretary is also 
encouraged to engage in discussions with other Federal 
departments and agencies to consider ways to use Cooperative 
Extension to deliver education for other Federal programs, as 
practicable.
    In addition, the Committee recognizes the unique knowledge 
and information that the Cooperative Extension System experts 
provide to various groups regarding farm and food systems. As 
mentioned, this education and information is disseminated 
through a network of local or regional offices, and when the 
Secretary utilizes the Cooperative Extension to deliver the 
educational component of the various programs at the 
Department, to the extent practicable, the Rural Development 
mission area programs should be included.
    Also, the Committee remains concerned about the agency's 
operation of the Federally Recognized Tribes Extension Program 
as if it were a 3(d) program. The Reservation Extension Agent 
Program was not authorized under Section 3(d) of the Smith-
Lever Act. While this may have made administration of grants 
easier for the agency, it has led to confusion and unintended 
consequences. The Committee encourages the agency to follow 
Congressional intent when implementing programs, old and new.

Challenge of change

    In order to meet the needs of the world's forecasted 
population of over 9 billion in 2050, global food production 
must be 60 percent higher than in 2014. While several Federal 
agencies and departments are involved in addressing food and 
nutrition security and the challenges of today and the future, 
the Committee is concerned that the integrated multi-
disciplinary approach required to achieve the necessary levels 
of domestic and global food production and food and nutrition 
security does not currently exist. Therefore, the Committee 
encourages the Secretary to take a leadership role in working 
with other relevant departments and agencies in establishing a 
Federal interagency task force to meet the food and nutrition 
challenges of 2050. The Secretary, to the maximum extent 
practicable, should align domestic and global programs related 
to food production and food and nutrition security to meet 
these challenges.

Healthy Food Initiative

    The Committee understands and strongly supports the need 
for a multidisciplinary approach and collaboration on research 
and education/outreach efforts across agricultural production, 
food, nutrition and health care systems to make a positive 
difference on human health and chronic disease. The Committee 
notes that recent reports, such as the Healthy Food Systems, 
Healthy People report of the Association of Public and Land-
grant Universities' Board on Agriculture Assembly and Board on 
Human Sciences, identify multidisciplinary scientific 
approaches on human nutrition, food systems, and health as 
making an important contribution to alleviate skyrocketing 
healthcare costs, enhance economic productivity, and contribute 
to our nation's long-term national security. The Committee 
directs the Department to use all existing authority to work 
across Federal agencies with primary roles in agricultural 
production, food, nutrition, and health care systems, including 
the National Institutes of Health, Centers for Disease Control 
and Prevention, the National Science Foundation, and the White 
House Office of Science and Technology Policy. The Committee 
expects the Department to establish priorities and develop a 
cross-agency research program designed to catalyze 
multidisciplinary research in order to understand the 
characteristics, interactions, and challenges of agriculture, 
food, nutrition, and health care systems and how these systems 
can be better integrated to improve health outcomes. Further, 
the Committee intends for the Department to strengthen and 
expand the ability of Cooperative Extension professionals to 
help their patients, clients, and the public improve their 
health, and lessen the burden of chronic disease through the 
implementation and application of the multidisciplinary state-
of-the-science agriculture, food, and nutrition research 
recommendations.

Invasive species

    The Committee expects USDA to accelerate its efforts in the 
development of invasive species research initiatives, and to 
retrench efforts to work with individual States toward 
solutions to threats from those invasive species of plants and 
animals that have direct/indirect impacts, including economic 
impacts, on natural resource water supplies and domestic food 
sources. In carrying out this mission, the Committee expects 
the Department to coordinate invasive species research and 
outreach programs with land-grant institutions, through ARS and 
APHIS, so as to harness local and regional expertise. The 
Committee anticipates that the Department will support these 
initiatives from funds available through annual appropriations.

Methyl bromide alternatives outreach

    Farmers throughout the country continue to face significant 
adverse economic and operational impacts associated with the 
phase out of methyl bromide, a critical crop protection tool. 
Therefore, continued education and outreach collaboration, 
including USDA's Methyl Bromide Alternatives Outreach efforts, 
are critical to allow researchers, Federal regulators, and 
impacted growers the ability to share research information and 
disseminate regulatory information in an effort to minimize the 
impacts of soil and post-harvest pests to agriculture and 
maintain critical domestic and international markets.

Auditing, reporting, bookkeeping, and administrative requirements

    The Committee is concerned about the increasing use of 
assessments, fees, and higher indirect cost rates imposed on 
its university partners by the Agricultural Research Service 
(ARS). These university partners play a major role in achieving 
ARS research priorities and objectives. In a time of scarce 
budgetary resources, ARS must ensure limited research dollars 
are maximized and administrative costs are reduced to the 
fullest extent possible. In recent years, ARS has imposed a 
variety of administrative assessments on its university 
partners, effectively reducing funds intended for important 
research projects. The Committee expects ARS to operate within 
historical administrative cost parameters, namely by imposing a 
total indirect cost rate not exceeding four percent. All 
administrative assessments, fees, dues, or charges, of any 
type, must be included within this overall administrative cost 
cap. ARS must administer its programs more efficiently to 
ensure valuable research funds are maximized so it may continue 
to maintain a robust agricultural research enterprise. The 
Committee encourages ARS to continue university research 
partnerships to ensure our nation's premier educational and 
clinical institutions play a major role in achieving ARS and 
Congressional research objectives.

Food, energy, water nexus

    The Committee expects the Secretary, in each of the three 
fiscal years following enactment of this legislation, to 
conduct a solicitation under the Innovations at the Nexus of 
Food, Energy, and Water Systems (INFEWS) Program. This 
solicitation should be consistent with previous solicitations 
released jointly by USDA and NSF and shall be at least at the 
same level.

National Food Safety Training, Education, Extension, Outreach, and 
        Technical Assistance Competitive Grants Program

    The Committee does not intend that removing the three-year 
limitation on funding under the National Food Safety Training, 
Education, Extension, Outreach, and Technical Assistance 
Competitive Grants Program (known as FSOP) limit the scope or 
reach of the program, and intends that NIFA ensure that a 
diversity of projects continue to be funded that represent a 
range of geographic regions and applicant types. The Committee 
recommends NIFA continue to ensure that representative 
community-based organizations are meaningfully integrated into 
any project that proposes to impact a particular community of 
producers.

                          TITLE VIII--FORESTRY

    The Committee acknowledges that healthy and productive 
Federal, State, and private forests are an important part of 
many rural communities, and their proper management is vital 
for our environment and preventing catastrophic forest fires. 
The Committee believes that ensuring our forests are resilient 
should be a priority at the Department. Accordingly, the 
Committee-reported bill authorizes the necessary tools for the 
Department to improve active management on the nation's 
Federal, State, and private forests.
    The Committee-reported bill acknowledges the importance of 
State and private forests and the work required to manage land, 
providing valuable habitat, clean air, recreation, and much 
more. Furthermore, the Committee recognizes the need to address 
forest health issues on a landscape scale, as private and 
public forests often intersect. Therefore, the Committee amends 
the Cooperative Forestry Assistance Act to authorize further 
cooperation between State Foresters to promote healthy forest 
management and wildfire mitigation. Cross-boundary management 
and hazardous fuels reduction projects will allow greater 
forest fire protection for those who live and work in our 
nation's forests, no matter the jurisdiction.
    The Committee urges the USFS to place priority on those 
actions in the Forest Inventory and Analysis Strategic Plan, as 
authorized in the Agricultural Act of 2014, that provide 
continuity for long-standing historical data sets. As such, the 
Committee directs the USFS to annually prioritize funding and 
program implementation to ensure the elements of Strategic Plan 
``Option B'' (full implementation of the 1998 Farm Bill's 
Strategic Plan) are maintained to include a specific focus on 
meeting the requirements of 20-percent annual plot re-
measurement, annual Timber Products Output Program reporting, 
and implementing the National Woodland Owner Survey. The 
Committee also urges the USFS to continue to find efficiencies 
in program operations through the use of remote sensing 
technologies where appropriate, as well as partnering with 
States and other interested stakeholders to deliver the 
program.
    The Committee recognizes the role private forests play in 
ensuring clean air, water, habitat, and the role that forest 
products play in the economy. The reported bill takes steps to 
ensure private landowners have the tools to help them make 
improvements to their property that benefit the landscape as a 
whole. The Forest Legacy Program and Community Forest and Open 
Space Conservation Program are intended to give USFS the tools 
to assist private forest owners along the way.
    The Committee is concerned about the projected loss of 
private forestland in the United States, as detailed in the 
Resources Planning Act Assessment and regional analyses such as 
the Northern and Southern Forest Futures Reports, and 
associated loss of societal benefits such as clean air and 
water, wildlife habitat, jobs and forest products, and more. 
The Committee directs the Secretary, working through the Forest 
Resource Coordinating Committee, to develop a National 
Reforestation Initiative that addresses the threats to private 
forest retention. Within 24 months from the date of enactment 
of this Act, the Forest Resource Coordinating Committee should 
generate a strategic plan for the initiative to include 
relevant USDA programs that promote ``Keeping Forests as 
Forests'' and incentivize reforestation within priority areas 
identified in the Forest Service Resources Planning Act and 
Statewide Forest Resource Assessments and Strategies.
    The Committee believes that strong rural infrastructure and 
market opportunities lead to healthy resilient communities and 
landscapes. The Committee-reported bill reauthorizes many 
authorities to allow the Secretary to promote new markets for 
wood products. The Committee encourages the Secretary of 
Agriculture to continue to support research and development to 
promote new markets for low-value timber. The new authorities 
in the Community Wood Energy and Wood Innovation Program should 
be used to incentivize private investment in infrastructure.
    The Committee-reported bill addresses the declining health 
of America's forest land managed by the USFS and the Bureau of 
Land Management (BLM) due to a lack of active management.
    The most significant result of this diminished forest 
health is the significant increase in catastrophic wildfires in 
the past 15 years. The alarming increase in catastrophic 
wildfire impacts can be attributed to the decrease in timber 
production. From the mid-1950s to the mid-1990s, the USFS 
typically harvested between 10 and 12 billion board-feet 
annually. Since 1996, that number has declined to a range of 
1.5 to 3.3 billion board-feet. During this same period, the 
average number of acres burned increased to 6.2 million acres.
    The reason for the declining amount of timber production is 
twofold: longer planning periods that result in increased time 
and money and leave our forests vulnerable to insect and 
disease damage, and the effect of unnecessary litigation on 
forest planning decisions.
    A 2012 USFS report estimated between 65 million and 82 
million acres of forest land are facing some level of threat of 
wildfire and are in need of restoration; this is more than one-
third of the National Forest System. In 2014, the USFS treated 
2.9 million acres of land. At this pace, it would take the USFS 
more than 20 years to treat this endangered land.
    During the 115th Congress, the Subcommittee on Conservation 
and Forestry held a hearing to review the management of the 
National Forest System. In the 114th Congress, Members heard 
testimony from former USFS Chief Tom Tidwell, as well as 
stakeholders representing the forestry, sportsmen, and 
conservation industries. The witnesses' testimony highlighted 
the need for active forest management to address the challenges 
the USFS is facing.
    The Committee-reported bill attempts to address the core 
issues facing the USFS: lengthy and costly planning processes 
to complete needed hazardous fuel reduction projects, and the 
threat of litigation forcing the USFS and BLM to take an overly 
cautious approach to forest management. The Committee-reported 
bill addresses these challenges by including categorical 
exclusions for processes that are routine and have known 
effects, allowing the agencies to perform forest management 
activities sooner to save time and taxpayer money; it rewards 
collaboration, giving all interest groups a seat at the table, 
and minimizes the threat of litigation of these collaborative 
projects.
    The Committee-reported bill imposes no new requirements or 
burdens on the USFS or BLM. It expands upon the successes of 
the 2014 Farm Bill and the Healthy Forests Restoration Act. 
Further, the bill retains many environmental safeguards to 
ensure the respective land management agencies use these 
authorities in a reasonable and environmentally responsible 
manner.

                         TITLE IX--HORTICULTURE

    Specialty crops--fruits, vegetables, tree nuts, and nursery 
plants--account for almost half of the domestic crop value in 
the United States. The Committee believes that the specialty 
crop industry can be best served through Federal and State 
efforts that help producers increase their respective 
competitive positions through marketing, promotion, and 
research programs. The Agriculture and Nutrition Act of 2018 
maintains and builds upon the popular and successful programs 
established in previous farm bills with this notion in mind.

National Organic Program

    The Committee expects the National Organic Program (NOP) to 
take all steps necessary to ensure effective oversight, robust 
investigations, and fulsome enforcement of the organic 
regulations across the entire supply chain. This shall include 
(but is not limited to) limiting the importing operations 
excluded from certification under 205.101(b) of the Organic 
Foods Production Act of 1990; implementing requirements for 
modernized import documentation; establishing compliance 
working groups among parties to all organic equivalency 
arrangements; establishing joint compliance working groups 
among accredited certifying agents, State organic programs, and 
NOP; and expediting review of global certifying agents whose 
accreditation has been revoked by another country.
    The Committee notes that the Organic Foods Production Act 
of 1990 grants accredited certifying agents the authority to 
require increased documentation before granting certification, 
especially when there is a specific area of concern. The 
Committee further notes that recent concerns regarding imported 
organic products are precisely the types of situations in which 
accredited certifying agents should exercise this authority.
    Section 9006(b) requires the Secretary to establish 
procedures for expedited review by the National Organic 
Standards Board of materials considered for inclusion on the 
national list, if the material is a postharvest handling 
substance directly related to food safety. The provision is 
intended to address the speed with which the Board reviews such 
petitions, and the prioritization of such reviews, and is not 
intended to bypass any of the material review requirements 
established in the Organic Foods Production Act.
    Section 9006(h) directs the Secretary to modernize 
international trade tracking and data collection systems of the 
NOP. In September 2017, the USDA Inspector General issued an 
audit report (01601-0001-21) evaluating the Agricultural 
Marketing Services' (AMS) controls over the approval and 
oversight of the NOP's agreements for international trade and 
import of organic products. The report found that to combat 
fraudulent imports of organic products, AMS needs to strengthen 
its controls over the approval and oversight of international 
trade arrangements and agreements for the import of organic 
products into the United States. In addition to strengthening 
internal controls, the NOP should be using the expertise of the 
trade professionals at the Foreign Agricultural Service and 
Customs and Border Protection and their foreign counterparts. 
In implementing this section, the Committee expects the 
Secretary to work with these agencies as well as the 
International Trade Commission to expand the list of Harmonized 
Tariff Schedule codes for organic products and direct Foreign 
Agricultural Service staff in overseas posts to identify 
irregular documentation or cargo movements of organic products.

Specialty Crop Block Grant Program

    The bill makes several changes to the Specialty Crop Block 
Grant Program, which has been successful in enhancing the 
competitiveness of specialty crops by promoting increased 
consumption of fruits, vegetables, and nuts, fostering local 
and regional economic development, and enhancing research on 
specialty crops.
    The Committee recognizes the difficulty in coordinating and 
funding multi-State projects within the block grant program, 
and the Committee expects USDA to issue guidance and work with 
States in making grants available for such projects. These 
multi-State projects may include food safety, research, plant 
pest and disease, and crop-specific projects. These projects 
have the ability to link growers across State lines and promote 
much needed collaborative research. In the Secretary's 
guidance, effective multi-State collaborative research should 
not limit needed equipment and facilities if it is found they 
are essential to research advancements.
    To promote clarity at the time requests for grant proposals 
are posted, AMS should seek to post the Notice of Funding 
Availability earlier than the current timeframe of March of 
each year, if possible within budgetary time constraints. 
Recommendations for optimal timing of AMS's notice include 
December of the prior year or January of each grant year.

The Federal Insecticide, Fungicide, and Rodenticide Act and Endangered 
        Species Act consultations

    FIFRA is a regulatory statute that governs the sale and use 
of pesticides in the United States through the registration and 
labeling of such products. Its objective is to protect human 
health and the environment from unreasonable adverse effects of 
pesticides, taking into account the costs and benefits of 
various product uses. Pesticides regulated under FIFRA include 
insecticides, herbicides, fungicides, rodenticides, and other 
designated substances. The Environmental Protection Agency 
(EPA) reviews scientific data submitted by chemical 
manufacturers on toxicity and behavior in the environment to 
evaluate risks and exposure associated with a product's use.
    FIFRA prohibits the sale of any pesticide unless it is 
registered and labeled indicating approved uses and 
restrictions. It is a violation of Federal law to use such a 
chemical in a manner that is inconsistent with the label 
instructions. If a registration is granted, EPA makes a finding 
that the chemical ``when used in accordance with widespread and 
commonly recognized practice it will not generally cause 
unreasonable adverse effects on the environment.'' (7 U.S.C. 
136a(c)(5)(D).) EPA then specifies the approved uses and 
conditions of use of the pesticide, and this is required to be 
explained on the product label.
    The Endangered Species Act (ESA) requires the Fish and 
Wildlife Service and the National Marine Fisheries Service 
(collectively, the Services) to consult with the EPA to assess 
the impact of an active ingredient on a threatened or 
endangered species and critical habitat. To obtain a pesticide 
registration, applicants must submit, and the EPA must review 
the conclusions of over 100 scientific tests on the pesticide's 
effects on the environment. The EPA evaluates potential effects 
of a pesticide on all non-target species, including endangered 
species, ensuring the proposed use does not cause ``any 
unreasonable adverse effects on the environment'', which 
includes fish, wildlife, and ``non-target'' plant species. 
Applicants for a pesticide registration must submit EPA-
required scientific studies to the EPA allowing the Agency to 
conduct a thorough evaluation of the potential environmental 
impacts. The EPA also considers other available data and can 
require additional data to ensure its registration decisions 
are scientifically sound.
    The changes made in the Agriculture and Nutrition Act of 
2018 strengthen the EPA's pesticide registration process by 
incorporating the ESA's standard of protection for threatened 
or endangered species and critical habitat. The changes further 
require the EPA to request the Services' best available data on 
the location, life history, habitat needs, distribution, 
threats, population trends, and conservation needs of the 
species, and the relevant physical and biological features of 
designated critical habitat for the species. The Committee 
expects these changes to result in an improved and more 
efficient consultation process to make the best use of limited 
government resources and to increase transparency and public 
trust in the risk assessment processes.

The Clean Water Act

    The objective of the Federal Water Pollution Control Act 
(Clean Water Act or CWA) is to restore and maintain the 
chemical, physical, and biological integrity of the nation's 
waters. The primary mechanism for achieving this objective is 
the CWA's prohibition on the discharge of any pollutant without 
a National Pollutant Discharge Elimination System (NPDES) 
permit. EPA has the authority to regulate the discharge of 
pollutants either through general permits or through individual 
permits. NPDES permits specify limits on what pollutants may be 
discharged from point sources and in what amounts. Under the 
CWA, 47 States and territories have been authorized to 
implement NPDES permits and enforce permits. EPA manages the 
Clean Water Act program in the remaining States and 
territories.
    NPDES permits are the basic regulatory tool of the CWA. EPA 
or an authorized State may issue compliance orders, or file 
civil suits against those who violate the terms of a permit. In 
addition, in the absence of Federal or State action, 
individuals may bring a citizen suit in United States district 
court against those who violate the terms of an NPDES permit, 
or against those who discharge without a valid permit.

Litigation

    In over 30 years of administering the CWA, EPA had never 
required an NPDES permit for the application of a pesticide, 
when the pesticide was applied in a manner consistent with 
FIFRA and its regulations. While the CWA contains a provision 
granting citizen suits against those who violate permit 
conditions, or those who discharge without an NPDES permit, 
FIFRA has no citizen suit provision. As a result, beginning in 
the late 1990s, a series of citizen lawsuits were filed by 
parties, contending that an NPDES permit is necessary when 
applying a FIFRA-regulated product over, into, or near 
waterbodies. These cases generated several Court of Appeals 
decisions that created confusion and concern among pesticide 
users regarding the applicability of the CWA with regard to 
pesticide use.
    As the litigation continued, concern and confusion grew 
among farmers, forest landowners, and public health officials, 
prompting EPA to issue interim, and later final, interpretive 
guidance in August 2003 and January 2005, and then to undertake 
a rulemaking to clarify and formalize the Agency's 
interpretation of the CWA as it applied to pesticide use. The 
EPA rule was finalized in November 2006 (71 Fed. Reg. 68483 
(Nov. 27, 2006)), and was the culmination of a three year 
participatory rulemaking process that began with the interim 
interpretive statement in 2003 and involved two rounds of 
public comment.
    The 2006 EPA rule codified EPA's long-standing 
interpretation that the application of chemical and biological 
pesticides for their intended purpose, and in compliance with 
pesticide label restrictions, is not a discharge of a 
`pollutant' under the CWA, and therefore, that an NPDES permit 
is not required. The rule clearly defined specific 
circumstances in which the use of pesticides in accordance with 
all relevant requirements under FIFRA is not a CWA `discharge 
of a pollutant,' explaining in detail the rationale for the 
Agency's interpretation.
    When the rule was finalized, environmental groups, as well 
as farm and pesticide industry groups, filed petitions for 
review of the rule in several Federal Circuit Courts of Appeal. 
The petitions were consolidated in the Sixth Circuit. The Sixth 
Circuit ultimately vacated the rule on January 7, 2009 in 
National Cotton Council v. EPA (553 F.3d 927; hereinafter, 
National Cotton Council), concluding that the final rule was 
not a reasonable interpretation of the CWA's permitting 
requirements. The court rejected EPA's contention that, when 
pesticides are applied over, into, or near waterbodies to 
control pests, they are not considered pollutants as long as 
they comply with FIFRA, and held that NPDES permits are 
required for all pesticide applications that may leave a 
residue in water.
    EPA estimated that the ruling would affect approximately 
365,000 pesticide applicators that perform some 5.6 million 
pesticide applications annually. The court's decision, which 
would apply nationally, was to be effective seven days after 
the deadline for rehearing expired or seven days after a denial 
of any petition for rehearing. Parties had until April 9, 2009, 
to seek rehearing.
    On April 9, 2009, the government chose not to seek 
rehearing in the National Cotton Council case. The government 
instead filed a motion to stay issuance of the court's mandate 
for two years to provide EPA time to develop an entirely new 
NPDES permitting process to cover pesticide use. As part of 
this, EPA needed to propose and issue a final NPDES general 
permit for pesticide applications, for States to develop 
permits, and for EPA to provide outreach and education to the 
regulated community. Industry groups filed a petition seeking 
en banc review, asking the full Sixth Circuit to reconsider the 
decision from the three-judge panel.
    On June 8, 2009, the Sixth Circuit granted EPA a two-year 
stay of the court's mandate, in response to their earlier 
request. The Sixth Circuit denied the industry groups' petition 
for rehearing in August 2009. The court-ordered deadline for 
EPA to promulgate a new permitting process for pesticides under 
the Clean Water Act was April 9, 2011. On March 3, 2011, EPA 
filed another request for an extension with the court. On March 
28, 2011, the Sixth Circuit granted an extension through 
October 31, 2011. The Court's extension only temporarily 
postponed the need for an NPDES permit for pesticide use, and 
did not obviate the need for this legislation.
    Two petitions were filed with the U.S. Supreme Court in 
December 2009 by representatives of the agriculture community 
and the pesticide industry, requesting that the U.S. Supreme 
Court review the National Cotton Council case. A number of 
parties, including numerous Members of Congress, filed amicus 
briefs with the U.S. Supreme Court, in support of or opposition 
to the petitions. On February 22, 2010, the U.S. Supreme Court 
denied the petitioners' request without comment.

EPA development of a new permitting process to cover pesticide use

    EPA continued to move ahead and developed a new NPDES 
permitting process to cover pesticide use, and on October 31, 
2011, EPA issued a final NPDES Pesticide General Permit for 
point source discharges from the application of pesticides to 
waters of the United States. The permit covers four pesticide 
uses: (1) mosquito and other flying insect pest control; (2) 
aquatic weed and algae control; (3) aquatic nuisance animal 
control; and (4) forest canopy pest control. It does not cover 
terrestrial applications to control pests on agricultural crops 
or forest floors, and does not cover activities exempt from 
permitting under the CWA (irrigation return flow, agricultural 
stormwater runoff) and discharges that will require coverage 
under an individual permit, such as discharges of pesticides to 
waterbodies that are considered impaired under CWA Sec. 303(d) 
for that discharged pesticide. This general permit provides 
coverage for discharges in the states where EPA is the NPDES 
permitting authority. In the remaining States, the States are 
authorized to develop and issue the NPDES pesticide permits.

Implications

    The Committee has received testimony and other information 
on the implications of the Sixth Circuit's holding in the 
National Cotton Council case, and the new permitting process 
that EPA has had to develop under the CWA as a result of that 
holding, on State and local agencies, mosquito control 
districts, water districts, pesticide applicators, agriculture, 
forest managers, and other stakeholders. On February 16, 2011, 
the Subcommittee on Water Resources and Environment of the 
House Committee on Transportation and Infrastructure held a 
joint hearing with the Nutrition and Horticulture Subcommittee 
of the House Committee on Agriculture to consider means for 
reducing the regulatory burdens posed by the National Cotton 
Council case and to consider related draft legislation.
    Despite being limited to four categories of pesticide uses, 
EPA's new general permit for covered pesticides stands to be 
the single greatest expansion of the permitting process in the 
history of the NPDES program. EPA has estimated that it can 
expect approximately 5.6 million covered pesticide applications 
per year by approximately 365,000 applicators--virtually 
doubling the number of entities currently subject to NPDES 
permitting. (U.S. EPA, Fact Sheet for 2010 Public Notice of: 
Draft National Pollutant Discharge Elimination System (NPDES) 
Pesticides General Permit (PGP) for Discharges from the 
Application of Pesticides to or over, including near Waters of 
the U.S., at 14, available at http://www.epa.gov/npdes/pubs/
proposed_pgp_fs.pdf.)
    With this unprecedented expansion comes real and tangible 
burdens for EPA and the States that will have to issue the 
permits, those whose livelihoods depend on the use of 
pesticides, and even everyday citizens going about their daily 
lives. EPA has said that they will be able to conform the 
current process to meet the Sixth Circuit's mandate. Even so, 
much of the responsibility of developing and issuing general 
permits falls on the States. Forty-five States (and the U.S. 
Virgin Islands) are now facing increased financial and 
administrative burdens in order to comply with the new 
permitting process. In a time when too many States are being 
forced to make difficult budgetary cuts, the nation cannot 
afford to impose more financial burdens.
    The expanded permitting process also imposes enormous 
burdens on pesticide users who encompass a wide range of 
individuals from State agencies, city and county 
municipalities, mosquito control districts, water districts, 
pesticide applicators, farmers, ranchers, forest managers, 
scientists, and others. The new and duplicative permitting 
process is increasing both the administrative difficulty and 
costs for pesticide applicators to come into compliance with 
the law. Compliance no longer means simply following 
instructions on a pesticide label. Instead, applicators have to 
navigate a complex process of identifying the relevant permit, 
filing with the regulatory authority a valid notice of intent 
to comply with the permit, and having a familiarity with all of 
the permit's conditions and restrictions. Along with increased 
administrative burdens comes an increased monetary burden. 
Estimates are that the cost associated with the EPA permit 
scheme to small businesses could be as high as $50,000 per 
business, annually.
    In addition to the costs of coming into compliance, 
pesticide users are subject to an increased risk of litigation 
and exorbitant fines. Applicators not in compliance face fines 
of up to $37,500 per day per violation, not including 
attorney's fees. Given the fact that a large number of 
applicators have never been subject to NPDES and its permitting 
process, even a good faith effort to be in compliance could 
fall short. Moreover, the CWA allows for private actions 
against individuals who may or may not have committed a 
violation. Thus, while EPA may exercise its judgment and 
refrain from prosecuting certain applicators, they remain 
vulnerable to citizen suits. Unless Congress acts, hundreds of 
thousands of farmers, foresters, and public health pesticide 
users will remain under the constant threat of lawsuits.
    It is not only pesticide regulators and applicators who are 
being affected by this permitting requirement. Rather, the 
Sixth Circuit's decision is affecting everyday citizens, who 
rely on the benefits provided by pesticides and their 
responsible application. Pesticide use is an essential part of 
agriculture. Imposing a burdensome and duplicative permitting 
process on our nation's farmers threatens their ability to 
continue to provide the country with a safe and reliable food 
supply. Many family farmers and small applicators lack the 
resources to ensure compliance with a cumbersome and detailed 
permit scheme. Moreover, for those farmers who are able to 
comply, delays that are inherent in permitting schemes are ill-
suited for prompt pest control actions necessary in 
agriculture. Failure to apply a pesticide soon after a pest is 
first detected could result in recurring and greater pest 
damage in subsequent years if a prolific insect were to become 
established in plant hosts. Former Secretary of Agriculture, 
Hon. Thomas J. Vilsack, said that a permitting system under the 
CWA for pesticide use ``is ill-suited to the demands of 
agricultural production.'' (Letter, Hon. Thomas J. Vilsack, 
Secretary of Agriculture, to Hon. Lisa P. Jackson, 
Administrator, U.S. Environmental Protection Agency, Subject: 
The National Cotton Council of America, et al., v. United 
States Environmental Protection Agency (Mar. 6, 2009)).
    Forest landowners also stand to suffer under this permit 
scheme. EPA's permit scheme stands to result in a reduction in 
the use of forest pest control as a forest management tool, 
resulting in the acceleration of tree mortality and general 
decline in overall forest health. It also is erecting barriers 
for the control of pests, such as Gypsy Moth and Forest Tent 
Caterpillar. This may result in a higher incidence of 
preventable tree kills and defoliated landscapes.
    Finally, the Sixth Circuit's holding could have significant 
implications for public health. The National Centers for 
Disease Control officially recognizes the following as a 
partial list of mosquito-borne diseases--Eastern Equine 
Encephalitis, Japanese Encephalitis, La Crosse Encephalitis, 
St. Louis Encephalitis, West Nile Virus, Western Equine 
Encephalitis, Dengue Fever, Malaria, Rift Valley Fever, and 
Yellow Fever. (Centers for Disease Control and Prevention, 
http://www.cdc.gov/ncidod/diseases/list_mosquitoborne.htm.) 
EPA's permit program poses the possibility of critical delays 
in emergency responses to insect and disease outbreaks, and 
stands to divert resources from controlling environmental pests 
to litigation and administrative burdens.

Development of legislation in response to the Sixth Circuit decision

    As a result of concerns raised by Federal, State, local, 
and private stakeholders regarding the interrelationship 
between FIFRA and the CWA and the concerns posed by the new and 
duplicative permitting process under the CWA, the House 
Committee on Transportation and Infrastructure and House 
Committee on Agriculture sought technical assistance from EPA 
to draft very narrow legislation targeted only at addressing 
the Sixth Circuit's holding in National Cotton Council and 
return the state of pesticide regulation to the status quo--
before the courts got involved. The provisions of the 
Agriculture and Nutrition Act of 2018 are based on the 
technical assistance that EPA provided to the Committees, and 
is intended to be consistent with EPA's final rule from 
November 2006. The bill amends FIFRA and the CWA to eliminate 
the requirement of an NPDES permit for applications of 
pesticides authorized for sale, distribution, or use under 
FIFRA.

ARS Aerial Application Technology Program

    The Committee also recognizes the importance of the aerial 
application of pest control tools. These tools are useful not 
only to ensure overall food safety and food security, but also 
to promote public health through improved mosquito control 
techniques. The ARS Aerial Application Technology Program 
conducts innovative research making aerial applications more 
efficient, effective, and precise. This program has yielded 
more effective public health control programs, as well as 
increased efficiencies and greater crop production. Research 
for aerial application serves the public interest as a vital 
tool for the future.

Beneficial insects

    Beneficial insects are an important and sustainable 
component of integrated pest management (IPM). Biological 
control is the practice of releasing natural enemies (predators 
and parasites) that seek out crop-destroying insects and mites. 
These natural predators, which are farm- or laboratory-reared 
in accordance with strict quality control standards, are safe 
to humans and do not harm the environment. Biological control 
is an important component of organic and conventional IPM and 
resistance management programs.
    The Committee believes that the importation of farm-reared 
beneficial insects, mites and nematodes, which are native or 
established in the United States, and which have been 
continuously produced in controlled industrial settings for 
many generations, are appropriately regulated by the Department 
of Agriculture's Animal and Plant Health Inspection Service 
import permits (PPQ 526). Consistent with Federal Regulation 50 
CFR 14.4, which exempts farm-raised insects from the definition 
of wildlife, these beneficial insects, mites and nematodes 
shall not require a Declaration for the Importation or 
Exportation of Wildlife from the U.S. Fish and Wildlife Service 
(USFWS). USFWS permits and inspections are costly, duplicative 
and do not provide any additional environmental protections. 
Further, the duplicative permits cause clearance delays that 
result in the loss of a highly perishable product.

                        TITLE X--CROP INSURANCE

    Farmers and ranchers borrow more money each year to produce 
a crop than most Americans will borrow in a lifetime and this 
investment is extremely risky. As a consequence, producers not 
only depend on Federal Crop Insurance to survive a natural 
disaster, but also to secure operating loans from lenders who 
would not extend credit without something as basic as 
insurance. Most, if not all, farmers and ranchers would prefer 
to be able to purchase crop insurance in the same way they buy 
property and casualty insurance, but this is not an option. As 
the most frequent critics of Federal Crop Insurance have 
confessed, an actuarially viable crop insurance policy would be 
cost prohibitive due to the high risks involved in agriculture.
    Thus, Congress reached a fork in the road between providing 
costly, unbudgeted, government-run ad hoc relief which 
producers would receive free of cost but also could not count 
on, or cost-effective, fully-budgeted Federal Crop Insurance 
that producers could purchase and build into their risk 
management strategies. Beginning in 1980, Congress began 
working to make the second approach a reality.
    Today, Federal Crop Insurance covers 290 million acres, or 
90 percent of all U.S. planted acres, insuring approximately 
130 commodities produced nationwide, with more than $100 
billion in liability protection in force. Farmer participation 
has roughly doubled over the past 18 years and liability 
protection in force has nearly tripled. Meanwhile, loss ratios 
are low. In 2016, the loss ratio was 0.42, meaning for every 
dollar of premium paid in, indemnities paid out equaled 42 
cents. Additionally, the improper payment rate is less than 
half the government-wide average, standing at a mere 1.96 
percent. Moreover, $17 billion in taxpayer savings have been 
achieved through cuts to Federal Crop Insurance since 2008, 
including a more than 30 percent cut to administrative and 
operating expense reimbursement used to pay the agent workforce 
and adjustors whose workload was sharply increasing. These cuts 
to the private sector have resulted in significant 
consolidation among both Approved Insurance Providers and 
agencies, with a number of high profile Approved Insurance 
Providers exiting the industry.
    The 2014 Farm Bill made significant cuts to the Commodity 
Title and new investments in Federal Crop Insurance, reflecting 
a policy shift toward risk management. When the 2014 Farm Bill 
passed, Federal Crop Insurance costs were expected to increase 
by $5.7 billion over 10 years. However, crop insurance has 
instead cost $10 billion less than estimated and is projected 
to save an additional $10 billion over the next 10 years. Thus, 
the actual costs of crop insurance in 2016 and 2017 approximate 
costs of a decade ago. Considerable thanks is owed to farmers 
and ranchers themselves who pay total premiums as high as $4.5 
billion each year for the peace of mind crop insurance 
provides.
    However, the significant taxpayer savings resulting from 
Federal Crop Insurance is understated because it does not 
capture savings resulting from crop insurance having largely 
obviated ad hoc disaster bills, although some relief for 
agriculture was recently included in an overall response to the 
record losses sustained due to hurricanes and wildfires 
occurring in 2017. For instance, had Congress approved the same 
ad hoc disaster program for the 2012 drought as was approved 
for the 1988 drought, which caused comparable losses, the cost 
would have exceeded $17 billion.
    The successes of Federal Crop Insurance were not achieved 
overnight and are, in fact, an ongoing process. However, 
Federal Crop Insurance owes much of its success to key events 
of the past 38 years, beginning with the establishment of the 
current private-public partnership under which private 
companies and agents write, service, and adjust policies for 
farmer and rancher customers. The availability of revenue 
policies and the increase in premium support under the 
Agricultural Risk Protection Act of 2000, are two other 
essential elements to the success of crop insurance. It comes 
as no surprise then that, without exception, the proposals to 
``reform'' Federal Crop Insurance take aim at these key 
components, presumably with the objective of returning Federal 
Crop Insurance to its ineffectual state prior to 1980.
    At the 114 hearings and 6 listening sessions in the field 
conducted by the Committee over the course of the past three 
years, the most common refrain the Committee heard was that 
Washington ``do no harm'' to crop insurance. The Committee 
listened. The farm bill makes targeted improvements to Federal 
Crop Insurance while maintaining the success of this private-
public partnership that America's farm and ranch families rely 
on to weather what Mother Nature throws at them.
    The changes to Federal Crop Insurance provided under the 
farm bill include strengthening research and development, 
including the maintenance fee structure to foster private 
sector innovation in meeting the risk management needs of 
farmers and ranchers. The Committee believes communication 
between private developers of policies and Approved Insurance 
Providers is critical to ensure new policies are being 
developed that address unmet needs and that maintenance fees 
are set at levels that do not inhibit availability or 
participation.
    The Committee is particularly concerned that some crops and 
growing regions affected by the 2017 hurricanes were unserved 
or underserved by Federal Crop Insurance and expects the 
Secretary, acting through the Risk Management Agency (RMA), to 
use the expansive legal authorities Congress has granted to 
ensure that these crops and regions are provided access to 
affordable, high quality coverage through risk management 
products that effectively mitigate the perils unique to them. 
The Committee observes that section 508(h)(2), among other 
authorities, provides significant latitude in addressing these 
needs. The Committee is also concerned that premium rates on 
grain sorghum may be set too high given loss experience and 
expects the Secretary, acting through RMA, to study the matter, 
report to the Committee with its findings, and take steps to 
remedy premium rates if they are found to be inappropriately 
high. The Committee also expects the Secretary, acting through 
RMA, to treat a crop that can be grazed and also subsequently 
harvested for grain as two separate crops, making two separate 
insurance policies available for purchase. The Committee does 
not intend for total indemnities on the two policies to exceed 
the total value of the crop, taking into account the value to 
the producer of the crop when both grazed and harvested. The 
Committee further expects the Secretary, acting through RMA, to 
continue to treat legitimate alternate wetting and drying 
practices in rice production as acceptable practices under the 
current basic policy provisions as the agency works with 
industry, academia, and the private sector to amend the basic 
provisions to accommodate such technology advances, or develop 
policy endorsements relating to these or similar practices.
    The Committee clarifies that the current Federal Crop 
Insurance Act authorizes RMA to employ a 10 percent cap when 
determining the Actual Production History (APH) of a producer 
and that other authorities are also available to RMA in 
mitigating the impacts of natural disasters on the APH of 
producers, including but not limited to the yield adjustment 
authority under section 508(g)(4)(B), the yield exclusion 
authority under section 508(g)(4)(C), and the trend yield 
adjustment under section 508(h). The Committee does not expect 
RMA to alter the availability or design of these adjustments 
and observes that section 508(h)(2) provides significant 
latitude in this regard.
    The Committee also includes provisions to avoid any 
duplication of benefit between Federal Crop Insurance and the 
Commodity Title's Agricultural Risk Coverage, updates fees for 
catastrophic loss coverage, and repeals unused authorities. The 
Committee expects the Secretary, acting through RMA, to make 
written agreements more accessible to farmers, ensuring 
regional offices use a more uniform approach to written 
agreements while easing the administrative burden on farmers 
needing written agreements in order to obtain coverage. The 
Committee is aware that there are farmers who produce a crop in 
a county under a written agreement and if they seek to produce 
the same crop in another county the producer must have three 
years of records. The Committee would observe that this 
requirement can be unnecessarily prescriptive and has injured 
producers suffering crop losses due to natural disasters.
    The Committee urges the Secretary, acting through RMA, to 
continue making improvements to the Whole Farm Revenue Program 
(WFRP) to help diverse producers manage their risks. The 
Committee notes that there is great potential to expand access 
to crop insurance to producers through the continued 
improvement of WFRP and expects RMA to evaluate barriers to 
access to WFRP and work to streamline and reduce these 
barriers. Specifically, the Committee urges the elimination of 
limits that disqualify farmers with expected revenues in excess 
of certain amounts from livestock, nursery, or greenhouses. In 
addition, the Committee is concerned that many producers are 
unable to utilize WFRP due to the overall limit on insured 
revenue. The Committee urges the Secretary, acting through RMA, 
to provide options under WFRP that would provide risk 
management protection for producers whose insured revenue is 
greater than the current limits. Moreover, with the recent 
elimination of the cap on livestock under Federal Crop 
Insurance, the Committee observes that the internal cap within 
WFRP that limits the value of livestock that can be insured is 
inconsistent and outdated. The Committee expects the Secretary, 
acting through RMA, to make improvements, including with the 
help of the private sector, to current insurance policies and 
to continue to expand and develop options that would provide 
risk management tools for livestock producers. The Committee 
further observes the lack of availability of crop insurance for 
much of aquaculture. Multiple feasibility studies have been 
conducted, but have not resulted in a widely available policy 
for aquaculture farmers. The Committee expects the Secretary, 
acting through RMA, to specifically identify barriers to 
participation in WFRP for aquaculture producers. Moreover, the 
Committee urges RMA to consider treating the different growth 
stages of aquatic livestock as separate crops to take into 
account the different perils at different phases of development 
and the provision of enhanced premium support provided for 
diversified producers. The Committee also notes that WFRP is a 
less effective risk management tool the years following 
significant losses due to a reduction in the five-year income 
history of the producer. Additionally, while indemnities from 
insurance policies or the noninsured crop assistance program 
count as revenue received by producers in the year of the loss, 
they do not factor in as Revenue to Count for the revenue 
guarantee going forward, further undermining available WFRP 
coverage in successive loss years. The Committee expects the 
Secretary, acting through RMA, to find ways to improve the 
effectiveness of WFRP so that producers have an effective risk 
management tool following losses. The Committee further notes 
that RMA has taken significant steps to improve crop insurance 
for organic producers (and those transitioning to organic 
production). The Committee urges the availability of options 
that ensure that producers enrolled in WFRP who transition from 
conventional to organic production have insurance coverage 
representative of their organic income potential.
    The Committee would note the popularity and expansion of 
index-based weather insurance products like Pasture, Range, and 
Forage (PRF) and Annual Forage (AF). However, with the 
increased participation in many remote areas of the country, 
the Committee has concerns about the integrity of the data used 
to administer the program in areas with a lower density of 
rainfall data collection sites. Many producers in these areas 
believe the data reported by the National Oceanographic and 
Atmospheric Administration (NOAA) may not be representative of 
the actual rainfall received. The Committee expects the 
Secretary, acting through RMA, to evaluate the coverage of NOAA 
weather stations in remote areas and consider alternative data 
collection methods to supplement where NOAA rainfall data may 
be lacking.
    Moreover, the Committee appreciates efforts by the 
Administration to streamline common functions across agencies 
within the Food Production and Conservation (FPAC) mission area 
by achieving efficiencies through the consolidation of these 
functions within the FPAC Business Center. However, the 
Committee expects that staff who fulfill a role that is unique 
to an agency not be transferred to the Business Center and 
instead remain located within his or her respective agency.
    The Committee notes that Enterprise Units (EU) are an 
important option for producers and encourages the Secretary, 
acting through RMA, to permit producers that farm minimal 
acreage in a county that is ineligible for EU to be combined 
with EU-eligible acreage in an adjacent county in order to form 
a single EU.
    The Committee would note the disparate treatment of 
different varieties of potatoes and believes fresh market 
coverage should be expanded to include additional varieties and 
that further efforts should be made to collect sufficient data 
on specialty variety potatoes so that additional coverage 
options can be made available to producers. In addition, while 
the Committee acknowledges the need for RMA to charge a higher 
interest rate relative to the late payment of premiums to 
encourage repayment, the Committee urges the Secretary, acting 
through RMA, to consider whether a 15 percent annual interest 
rate is exorbitant. Given the significant exits of Approved 
Insurance Providers, the budget neutrality requirements in law, 
and the ongoing and severe agriculture recession, the Committee 
expects the Secretary to forego any action pursuant to section 
508(k)(8)(A)(ii). The Committee expects the Secretary, acting 
through RMA, to protect the integrity of crop insurance through 
the prevention of tying which is not permitted under the 
Federal Crop Insurance Act. The Committee notes that the 2014 
Farm Bill included a sensible provision to allow agents an 
opportunity to correct errors. However, the provision has not 
been implemented in a manner that permits the reasonable 
correction of errors. The Committee expects that the Secretary, 
acting through RMA, will address this as part of the 
Secretary's vision for improving customer service. The 
Committee commends RMA's May 2016 interpretation of entity for 
purposes of 7 U.S.C. 1508(a)(9)(B) as wholly consistent with 
Congressional intent and a plain reading of the statute and 
vital to maintaining the integrity of crop insurance.

                        TITLE XI--MISCELLANEOUS

                         SUBTITLE A--LIVESTOCK

    The Committee understands that although accounting for only 
5% of GDP, food safety and food access affects 100% of the 
population. Animal agriculture is no exception and faces 
disease threats capable of devastating the rural economy and 
our nation's food supply as was made abundantly clear in recent 
years with the devastating outbreaks of PEDv and HPAI. As such, 
the Committee strives to ensure USDA and its partners have the 
tools necessary to prevent and respond to animal pests and 
diseases that pose a threat to the U.S. economy and food 
security.
    More specifically, the Committee believes it is essential 
that USDA's Animal and Plant Health Inspection Service (APHIS), 
State animal health officials, and stakeholders involved in 
animal agriculture have: (1) early detection, prevention, and 
rapid response tools to address any potential animal disease 
outbreak; (2) robust laboratory capacity for surveillance; and 
(3) a viable stockpile of vaccine to rapidly respond to the 
intentional or unintentional introduction of a high-consequence 
disease like FMD.
    In response, the Agriculture and Nutrition Act of 2018 
reauthorizes and funds the National Animal Health Laboratory 
Network (NAHLN), and establishes and funds the National Animal 
Disease Preparedness and Response Program as well as the 
National Animal Health Vaccine Bank.
    The Agriculture and Nutrition Act of 2018 provides 
mandatory funding of $250 million for these programs in Fiscal 
Year 2019 (to remain available until expended), with $30 
million allocated to the enhancement of the NAHLN, $70 million 
allocated to establishment of the National Animal Disease 
Preparedness and Response Program, and $150 million allocated 
for the establishment of a U.S.-only vaccine bank with a 
priority for stockpiling FMD vaccine. The bill provides $50 
million of mandatory funding for Fiscal Years 2020 through 2023 
with $30 million set aside for the National Animal Disease 
Preparedness and Response Program, and the remainder to be used 
at the Secretary's discretion amongst the three components. The 
Committee is confident that the Secretary and his team of 
experts are best positioned to determine the highest priority 
use of such remaining funds based on current and forecasted 
needs.

National Animal Health Laboratory Network (NAHLN)

    Vigilant surveillance of animal disease is a key first step 
in preventing and containing an outbreak. As such, the 
Committee recognizes the NAHLN as the first line of defense in 
animal disease prevention and testing. This role was put to the 
test during the 2015 HPAI outbreaks as thousands of samples 
were rapidly tested to ensure depopulation of infected flocks 
in a timely manner. The NAHLN was also instrumental in 
performing surveillance of surrounding areas to mitigate 
further spread of the disease, and in testing premises to 
determine freedom of disease prior to repopulation. The 
Committee intends to build on this success by providing 
mandatory funding to enhance the capacity of NAHLN, 
particularly through the development and approval of novel and 
expedited diagnostic testing methods.

National Animal Disease Preparedness and Response Program

    Recent outbreaks of animal disease have demonstrated the 
importance of a robust, forward-looking animal health program 
and the need for a coordinated effort between Federal, State, 
and local partners. The Committee intends to help bridge this 
gap by establishing and funding the National Animal Disease 
Preparedness and Response Program modeled after the highly 
successful Plant Pest and Disease Management and Disaster 
Prevention Program. The Committee expects the Secretary to 
enter into multiple cooperative agreements with a variety of 
eligible entities including State Departments of Agriculture 
and agricultural colleges and universities to address both 
wide-spread and localized animal pest and disease threats. Such 
efforts should include the development and implementation of 
biosecurity measures such as continuity of business and secure 
food supply plans.

Foot and Mouth Disease Vaccine Bank

    FMD is a highly contagious, viral disease that affects 
livestock species, including cows, pigs, sheep, and goats. 
Although the last U.S. outbreak was in 1929, FMD still 
circulates throughout the world, posing a threat to the United 
States.
    In 2018, the USDA's National Agricultural Statistics 
Service estimated there were more than 167 million cattle and 
swine, and almost 8 million sheep and goats in the United 
States. Given the current limited stock of viral antigen 
concentrate in the shared North American Vaccine Bank, APHIS 
would only be able to provide vaccine doses for 1.5% of 
susceptible U.S. livestock, assuming only a single inoculation 
for each animal.
    To enhance APHIS's ability to respond to the potential 
introduction of FMD, the Agriculture and Nutrition Act of 2018 
establishes and funds a U.S.-only vaccine bank with priority 
for the procurement of FMD vaccine. Vaccine from the bank 
should be used to support APHIS's current vaccination strategy 
if faced with an outbreak of FMD and used in tandem with 
stockpiles available to the U.S. through the North American 
Vaccine Bank.
    The Committee encourages the Secretary to carefully 
consider all options for stockpiling vaccine and expects 
resources provided to be used on the optimal complement of 
products to address the highest risk FMD strains including 
products capable of differentiating infected animals from those 
that have been vaccinated. In considering stockpiling options, 
the Committee expects the Secretary to review the procurement 
process to identify potential efficiencies and improvements, 
particularly any needed changes to allow for maximum contract 
flexibility and product innovation over time. The Committee 
views such efficiencies as vital to the long-term 
sustainability of the bank.
    While the Committee expects the funding provided in the 
Agriculture and Nutrition Act of 2018 to sufficiently establish 
and maintain an initial supply of FMD-vaccine and related 
products, the Committee understands that greater investment may 
be desired and warranted in later years. The Committee 
encourages the Secretary and interested stakeholders to work 
together to identify alternative funding sources to achieve 
such investment.

Animal disease traceability

    The Committee acknowledges that traceability is achieved 
under the USDA-APHIS Animal Disease Traceability (ADT) Program. 
The Committee requests that APHIS share with the Committee 
action items to be completed by the agency based on stakeholder 
issues identified in the 2017 ADT public listening sessions, as 
well as corrections for operational deficiencies and gaps in 
trace performance measures (TPM) as reported in the April 2017 
ADT performance assessment related to Phase 1 of the program, 
prior to moving ahead to initiate Phase 2.

Agrodefense budget review

    The Committee recommends that the Secretary work with the 
Office of Management and Budget and the Secretary of Homeland 
Security to develop a crosscutting agrodefense budget analysis 
to provide a better understanding of current funding levels for 
all agrodefense-related activities. Such an effort would allow 
agency officials, Congress, and interested stakeholders to make 
more informed decisions, and better prioritize resources in 
ensuring the safety of the U.S. food supply.

  SUBTITLE B--BEGINNING, SOCIALLY DISADVANTAGED, AND VETERAN PRODUCERS

    The Committee-reported bill works to ensure that the needs 
and concerns of beginning, socially-disadvantaged, and veteran 
farmers and ranchers are adequately addressed. The Committee 
appreciates the Secretary's initiative to enhance customer 
service, and with that in mind, the Committee intends for the 
Department to ensure properly trained staff are available to 
this particular group of stakeholders. This will ensure those 
initiatives are prioritized by all USDA staff at all levels. 
The Committee intends for the Secretary to lead this effort in 
coordination with the State offices of the Farm Service Agency, 
the Natural Resources Conservation Service, the Risk Management 
Agency, the Rural Business-Cooperative Service, and the Rural 
Utilities Service to ensure appropriate information and 
technical assistance is available through outreach events and 
activities.
    The Agriculture and Nutrition Act of 2018 establishes the 
``Commission on Farm Transitions--Needs for 2050'' to address 
needs relative to maintaining and strengthening a vital farm 
sector for the future. Ensuring the next generation of farmers 
and ranchers are in place to meet that need is a key concern of 
the Committee.

                          SUBTITLE C--TEXTILES

    The Committee intends to streamline programs that are 
designed to reduce injury to domestic manufacturers of certain 
cotton and wool products as a result of disparate treatment 
under trade agreements. The Committee expects the Textile Trust 
Fund to continue to carry out the functions of the Pima Cotton 
Trust Fund, Wool Apparel Manufacturers Trust Fund, Wool 
Research and Promotion Grants Funding, and the Sheep 
Improvement Center in the same manner as current law at 
adjusted funding levels.

             SUBTITLE D--UNITED STATES GRAIN STANDARDS ACT

    The Committee remains concerned with the Department's 
implementation of the U.S. Grain Standards Act provisions that 
provided for a ``written agreement'' exception program, which 
replaced the former ``non-use of service'' exception program. 
FGIS Directive 9290.18 created uncertainty for grain handling 
facilities. The Committee expects the Department to issue an 
updated directive noting the restored exceptions. In the event 
that any party to a previous agreement was sold and is now a 
different entity since an exception was terminated, the 
Committee expects that an exception could be reinstated as 
requested.

        SUBTITLE E--NONINSURED CROP DISASTER ASSISTANCE PROGRAM

    The Committee notes that the Noninsured Crop Disaster 
Assistance Program (NAP) has served as an effective risk 
management tool for crops for which crop insurance is not 
available. However, when NAP was established, only individual 
yield policies were available through crop insurance. 
Currently, through subsequent farm bills, initiatives 
undertaken by the Risk Management Agency (RMA), and through the 
508(h) private submission process, there is now a variety of 
other insurance options available. The Committee intends to 
clarify the insurance policy type and coverage availability 
that would result in a crop being ineligible for NAP coverage. 
NAP is intended to remain available until an individual yield 
or revenue insurance policy is offered for the crop at both the 
catastrophic and buy-up coverage levels. Weather-based index 
products and insurance for whole farm revenue should not impact 
NAP availability.
    The Committee recognizes the efforts undertaken by FSA to 
maintain the integrity of NAP, but is concerned with a few 
isolated incidents where fraudulent activity has been 
discovered. This runs the risk of undermining the intention, 
purpose, and future availability of NAP coverage. The Committee 
expects FSA to vigilantly enforce the rules and regulations 
associated with NAP to maintain the integrity of the program. 
Additional effort should be made to identify and analyze 
aberrant large claims, or repetitive notices of loss filed by 
the same producer. The Committee would note the success of data 
mining efforts undertaken by RMA in identifying improper 
payments and would encourage FSA to explore all analytical 
options available to enhance oversight of NAP, and to ensure 
that applicable penalties are appropriate and provide an 
adequate deterrent to potential violations.

                       SUBTITLE F--OTHER MATTERS

    The Committee supports the Secretary in the reorganization 
of the Department and, to that end, has included updates to the 
statutory references to the relevant Under Secretary positions 
and provided the Secretary the authority to carry out changes 
under the Department of Agriculture Reorganization Act of 1994.

                           Section-by-Section


             H.R. 2, Agriculture and Nutrition Act of 2018


Sec. 1. Short title; table of contents

Sec. 2. Definition of Secretary of Agriculture

                          TITLE I--COMMODITIES

                      SUBTITLE A--COMMODITY POLICY

Sec. 1111. Definitions

    Section 1111 sets forth definitions for the Title.

Sec. 1112. Base acres

    Section 1112(a) requires the Secretary to provide for 
adjustments to base acres for covered commodities when a 
conservation reserve contract expires or is terminated, acres 
are released from a conservation reserve contract, or when the 
Secretary designates additional oilseeds in the same manner as 
current law.
    Section 1112(b) requires that, except in the case of 
certain double-cropped acreage, the sum of the base acres for a 
farm not exceed actual cropland acreage of the farm, and 
provides an opportunity for the owner of the farm to select the 
base acres that will be reduced.
    Section. 1112(c) allows for the reduction of base acres for 
any covered commodity for a farm at the option of the owner of 
a farm, requires the reduction of base acres on a farm by the 
Secretary where the land has been subdivided and developed for 
nonfarming uses, and allocates unplanted base during a certain 
period to unassigned crop base.

Sec. 1113. Payment yields

    Section 1113(a) continues the Secretary's authority to 
establish payment yields for each farm for any designated 
oilseed that does not have a payment yield for the purposes of 
price loss coverage payments, sets the method of determining 
the payment yield for designated oilseeds, and provides that 
the subsection only applies to oilseeds designated after the 
date of enactment of the Agriculture and Nutrition Act of 2018.
    Section 1113(b) authorizes the Secretary to establish a 
payment yield if no payment yield is otherwise established for 
a covered commodity using the program payment yields of 
similarly situated farms.
    Section 1113(c) provides a single opportunity for the owner 
of a farm to update yields where the farm is physically located 
in a county that experience 20 or more consecutive weeks of 
exceptional drought during a specified period, provides for the 
method of updating yields for covered commodities, and provides 
that the election must be made prior to the 2019 crop year.

Sec. 1114. Payment acres

    Section 1114(a) continues the establishment of payment 
acres for each covered commodity on the farm at 85 percent of 
the base acres for the covered commodity on the farm.
    Section 1114(b) permits price loss coverage and agriculture 
risk coverage payments where the sum of the base acres on farms 
in which the producer has an aggregate interest of more than 10 
acres across all farms.
    Section 1114(c) provides for the reduction of payment acres 
in any crop year in which fruits, vegetables, or wild rice have 
been planted on base acres on a farm, except where such crops 
are grown for conservation purposes, or a region has a history 
of double-cropping.
    Section 1114(d) requires the Secretary to maintain 
information on base acres on a farm allocated as unassigned 
crop base.

Sec. 1115. Producer election

    Section 1115(a) requires producers to make a one-time, 
irrevocable election to obtain price loss coverage or 
agriculture risk coverage on a covered-commodity-by-covered-
commodity basis.
    Section 1115(b) prohibits payments under price loss 
coverage and agriculture risk coverage for the 2019 crop year 
and deems an election of price loss coverage for the 2020 
through 2023 crop years where all of the producers on a farm 
fail to make a unanimous election under section 1115(a).
    Section 1115(c) prohibits farm reconstitution to void or 
change an election made under section 1115.

Sec. 1116. Price loss coverage

    Section 1116(a) requires the Secretary to make price loss 
coverage payments on a covered-commodity-by-covered-commodity 
basis where all of the producers on a farm have elected price 
loss coverage for any of the 2019 through 2023 crop years where 
the Secretary determines that the effective price for the crop 
year is less than the effective reference price.
    Section 1116(b) defines the effective price for a covered 
commodity.
    Section 1116(c) defines the payment rate.
    Section 1116(d) defines the payment amount.
    Section 1116(e) requires that, where required, payments be 
made beginning October 1 or as soon as practicable, after the 
end of the applicable marketing year for the covered commodity.
    Section 1116(f) defines the effective price for barley.
    Section 1116(g) defines the reference price for temperate 
japonica rice.

Sec. 1117. Agriculture risk coverage

    Section 1117(a) requires the Secretary to make agriculture 
risk coverage payments if all of the producers on a farm have 
elected agriculture risk coverage for any of the 2019 through 
2023 crop years where the Secretary determines that the actual 
crop revenue is less than the agriculture risk coverage 
guarantee.
    Section 1117(b) defines actual crop revenue.
    Section 1117(c) sets the agriculture risk coverage 
guarantee for a crop year for a covered commodity to 86 percent 
of the benchmark revenue. Further, this subsection defines 
benchmark revenue, requires that the Secretary use 70 percent 
of the transitional yield for yields in any of the five most 
recent crop years that is less than 70 percent, and requires 
the Secretary use the effective reference price where the 
national average market price for any of the five most recent 
crop years is lower than the effective reference price.
    Section 1117(d) defines the payment rate.
    Section 1117(e) defines the payment amount.
    Section 1117(f) requires that, where required, payments be 
made beginning October 1 or as soon as practicable, after the 
end of the applicable marketing year for the covered commodity.
    Section 1117(g) sets forth additional duties of the 
Secretary, including using available information and analysis 
to check for anomalies in the determination of agriculture risk 
coverage payments; calculating a separate actual crop revenue 
and agriculture risk coverage guarantee for irrigated and 
nonirrigated covered commodities; assigning certain actual or 
benchmark county yields using Risk Management Agency or other 
data, and making payments using the payment rate of the county 
of the physical location of the base acres of a farm.

Sec. 1118. Producer agreements

    Section 1118(a) continues the Secretary's authority to 
require producers agree to comply with certain provisions in 
exchange for receiving payments, to issue rules to ensure 
compliance, and to modify compliance requirements.
    Section 1118(b) requires that a transfer of or change in 
the interest of the producers on a farm will result in the 
termination of payments, unless the transferee or owner agrees 
to assume all obligations under subsection 1118(a). This 
section also provides for an exception for producers who die or 
become incapacitated.
    Section 1118(c) requires the Secretary to require producers 
to submit annual acreage reports with respect to all of the 
cropland on the farm as a condition of receiving benefits.
    Section 1118(d) requires that penalties only be assessed 
for inaccurate reports where the Secretary determines that the 
producer knowingly and willfully falsified the acreage or 
production report.
    Section 1118(e) requires the Secretary to provide adequate 
safeguards to protect the interests of tenants and 
sharecroppers.
    Section 1118(f) requires the Secretary to provide for the 
sharing of payments among producers on a farm.

                      SUBTITLE B--MARKETING LOANS

Sec. 1201. Availability of nonrecourse marketing assistance loans for 
        loan commodities

    Section 1201 authorizes nonrecourse loans for loan 
commodities for 2019 through 2023 crop years in the same manner 
as current law. It also includes a requirement that producers 
comply with certain conservation requirements.

Sec. 1202. Loan rates for nonrecourse marketing assistance loans

    Section 1202 continues the loan rates for commodities in 
current law for the 2019 through 2023 crop years, except for an 
adjustment to upland cotton and establishing a loan rate for 
seed cotton of $0.25 per pound.

Sec. 1203. Term of loans

    Section 1203 continues the provisions of the current law on 
the terms of loans.

Sec. 1204. Repayment of loans

    Section 1204 requires the repayment of marketing assistance 
loans in the same manner as current law.

Sec. 1205. Loan deficiency payments

    Section 1205 authorizes loan deficiency payments for 2019 
through 2023 crop years under same conditions as current law.

Sec. 1206. Payments in lieu of loan deficiency payments for grazed 
        acreage

    Section 1206 continues the authorization for payments in 
lieu of loan deficiency payments for producers who have grazed 
acreage for the 2019 through 2023 crop years under in the same 
manner as current law.

Sec. 1207. Special marketing loan provisions for upland cotton

    Section 1207 continues the authorization for the President 
to issue special import quota for the 2019 through 2023 crop 
years in the same manner as current law.

Sec. 1208. Special competitive provisions for extra long staple cotton

    Section 1208 continues the authorization through July 31, 
2024 of the special competitive provisions for extra long 
staple cotton in the same manner as current law, except for an 
adjustment to the value of assistance available to domestic 
users of upland cotton.

Sec. 1209. Availability of recourse loans

    Section 1209 continues the authorization for recourse loans 
for certain crops for the 2019 through 2023 crop years in same 
manner as current law, except for the provision of recourse 
loans for commodities that are contaminated, but still 
merchantable.

Sec. 1210. Adjustment of loans

    Section 1210 authorizes the Secretary to adjust loan rates 
in the same manner as current law, except for the inclusion of 
cost saving option authority for the Secretary.

                           SUBTITLE C--SUGAR

Sec. 1301. Sugar policy

    Section 1301 reauthorizes the sugar program through the 
2023 crop year in the same manner as current law.

   SUBTITLE D--DAIRY RISK MANAGEMENT PROGRAM AND OTHER DAIRY PROGRAMS

Sec. 1401. Dairy risk management program for dairy producers

    Section 1401(a) requires the Secretary to submit a report 
to the relevant congressional committees evaluating the 
accuracy of the data used by the Secretary to evaluate the 
average cost of feed used by a dairy operation to produce a 
hundredweight of milk.
    Section 1401(b) requires the Secretary to submit a report 
to the relevant congressional committees detailing the costs 
incurred by dairy operation in the use of corn silage as feed 
and the difference between the feed cost of corn silage and the 
feed cost of corn.
    Section 1401(c) requires the Secretary to revise monthly 
price survey reports to include prices for high-quality alfalfa 
hay in the top five milk producing States.
    Section 1401(d) amends section 1404(b) of the Agricultural 
Act of 2014 to allow for the exclusion of certain individual 
owners in multiproducer dairy operations from registration, and 
a corresponding reduction in payments to such operations.
    Section 1401(e) amends section 1404(d) of the Agricultural 
Act of 2014 to allow a dairy operation to participate in both 
the dairy risk management program and the livestock gross 
margin for dairy program, but not on the same production.
    Section 1401(f) amends section 1405(a) of the Agricultural 
Act of 2014 to provide for the use of certain annual milk 
marketings to determine prior dairy operation production 
history through 2023.
    Section 1401(g) amends section 1406 of the Agricultural Act 
of 2014 to provide for the election of coverage level 
thresholds and coverage percentage for each participating dairy 
operation.
    Section 1401(h) amends section 1407(b) of the Agricultural 
Act of 2014 to set forth the premiums for participation in the 
dairy risk management program.
    Section 1401(i) makes conforming amendments related to the 
program name.
    Section 1401(j) requires that the amendments made by this 
section take effect 60 days after the enactment of this Act.
    Section 1401(k) authorizes the dairy risk management 
program through 2023.

Sec. 1402. Class I skim milk price

    Section 1402(a) amends section 8c of the Agricultural 
Adjustment Act to set out the formula for determining the 
prices for milk of the highest use classification for Class I 
milk.
    Section 1402(b) requires that the amendments set out in 
section 1402(a) take effect on the first day of the first month 
no more than 120 days after the date of enactment of the Act.

Sec. 1403. Extension of dairy forward pricing program

    Section 1403 reauthorizes the dairy forward pricing program 
through 2023.

Sec. 1404. Extension of dairy indemnity program

    Section 1404 reauthorizes the dairy indemnity program 
through 2023.

Sec. 1405. Extension of dairy promotion and research program

    Section 1405 reauthorizes the dairy promotion and research 
program through 2023.

Sec. 1406. Repeal of dairy product donation program

    Section 1406 repeals section 1431 of the Agricultural Act 
of 2014, the dairy product donation program.

   SUBTITLE E--SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE PROGRAMS

Sec. 1501. Modification of supplemental agricultural disaster 
        assistance

    Subsection (a) of section 1501 amends section 1501(b) of 
the Agricultural Act of 2014 to expand the livestock indemnity 
program to cover death or sale loss as a result of diseases 
that are caused or transmitted by a vector and that is not able 
to be controlled by vaccination or other acceptable management 
practices.
    Subsection (b) amends section 1501(f) by eliminating the 
payment limitation of $125,000 per crop year for Emergency 
Assistance for Livestock, Honey Bees, and Farm Raised-Fish 
(ELAP). The subsection further excludes a person or legal 
entity from the AGI limitation if 75 percent or more of the 
average adjusted gross income of the person or legal entity 
comes from farming, ranching, or silviculture.
    Subsection (c) applies an effective date of January 1, 
2017.

                       SUBTITLE F--ADMINISTRATION

Sec. 1601. Administration generally

    Section 1601(a) allows the Secretary to use the funds and 
facilities of the Commodity Credit Corporation to carry out 
this title.
    Section 1601(b) provides that a determination made by the 
Secretary under this title shall be final and conclusive.
    Section 1601(c) provides for an expedited implementation of 
this title.
    Section 1601(d) provides for the Secretary's authority, to 
adjust expenditures under this title to ensure the United 
States remains in compliance with our international trade 
agreements, is continued in the same manner as current law.

Sec. 1602. Suspension of permanent price support authority

    Section 1602 continues the suspension of permanent price 
authority in the Agriculture Marketing Adjustment Act of 1938 
and the Agricultural Act of 1949.

Sec. 1603. Payment limitations

    Section 1603 amends section 1001 of the Food Security Act 
of 1985 to limit the total amount of payments a person or a 
legal entity can receive under subtitle A to $125,000. Further, 
section 1603 revises the definition of family member to include 
first cousins, nieces, and nephews. Finally, section 1603 
creates a new definition of `qualified pass through entity' to 
ensure that payment limits are applied to either the individual 
or entity, depending on where taxable revenue is recognized.

Sec. 1604. Adjusted gross income limitation

    Section 1604 amends section 1001D of the Food Security Act 
of 1985 to ensure that the adjusted gross income limitation is 
applied to either the individual or entity, depending on where 
taxable revenue is recognized. This section also provides the 
Secretary the authority to provide a waiver to the adjusted 
gross income limitation to protect environmentally sensitive 
land of special significance.

Sec. 1605. Prevention of deceased individuals receiving payments under 
        farm commodity programs

    Section 1605 continues the requirement that the Secretary 
prevent deceased individuals from receiving farm commodity 
program payments by reconciling the Social Security Numbers of 
all individuals who received payments under this title with the 
Commissioner of Social Security in the same manner as current 
law.

Sec. 1606. Assignment of payments

    Section 1606 continues the authority of a producer who 
receives a payment under this title to assign the payment to 
someone else after proper notice to the Secretary in the same 
manner as current law.

Sec. 1607. Tracking of benefits

    Section 1607 reauthorizes the Secretary to track the 
benefits provided to individuals getting payments under titles 
I and II in the same manner as current law.

Sec. 1608. Signature authority

    Section 1608 continues the signature authority of a 
producer in the same manner as current law.

Sec. 1609. Personal liability of producers for deficiencies

    Section 1609 continues the provisions of personal liability 
of producers for deficiencies in the same manner as current 
law.

Sec. 1610. Implementation

    Section 1610(a) requires the Secretary to maintain base 
acres and payment yields in the same manner as current law.
    Section 1610(b) requires the Secretary to continue to 
streamline administrative burdens and costs in the same manner 
as current law.
    Section 1610(c) requires the Secretary to make $25,000,000 
available to implement this title.
    Section 1610(d) provides for loan implementation in the 
same manner as current law.

Sec. 1611. Exemption from certain reporting requirements for certain 
        producers

    Section 1611 exempts producers who participate in any 
conservation or commodity program from certain reporting 
requirements.

                         TITLE II--CONSERVATION

                    SUBTITLE A--WETLAND CONSERVATION

Sec. 2101. Program ineligibility

    Section 2101 amends section 1221(d) of the Food Security 
Act of 1985 to direct the Secretary to determine that no 
exemption under section 1222 of the Food Security Act of 1985 
exists before determining program ineligibility.

Sec. 2102. Minimal effect regulations

    Subsection (a) amends section 1222(d) of the Food Security 
Act of 1985 to direct the Secretary to identify by regulation 
categorical minimal effect exemptions on a regional basis 
within 180 days of enactment.
    Subsection (b) amends section 1222(k) of the Food Security 
Act of 1985 to provide $10,000,000 in Commodity Credit 
Corporation funds in fiscal year 2019, to remain available 
until expended. In addition, subsection (b) authorizes 
appropriations of $5,000,000 each of the years 2019 through 
2023 for establishment of mitigation banks for conservation 
compliance.

                SUBTITLE B--CONSERVATION RESERVE PROGRAM

Sec. 2201. Conservation reserve

    Subsection (a) amends section 1231(a) of the Food Security 
Act of 1985 to reauthorize the conservation reserve program 
through the 2023 fiscal year.
    Subsection (b) amends section 1231(d) of the Food Security 
Act of 1985 to increase the total CRP enrollment cap from 
24,000,000 acres to 29,000,000 acres by the end of 2023 by 
increasing the cap 1,000,000 acres per year. In addition 
subsection (b) provides for a step up in acres of grassland 
contracts in increments of 500,000 to at least 3 million acres 
by 2023. The provision reserves unused grassland acres solely 
for grassland enrollment. The subsection also requires the 
Secretary to maintain the distribution of enrolled acres across 
the states in proportion to the historic state enrollment in 
the program and requires general signups to be held at least 
every other year.
    Subsection (c) amends section 1231(e) of the Food Security 
Act of 1985 to set a duration range for general contracts for 
10-15 years and continuous signup practices at either 15 years 
or 30 years.
    Subsection (d) amends section 1231(h) of the Food Security 
Act of 1985 to limit the enrollment of land with established 
hardwood trees to one re-enrollment.

Sec. 2202. Farmable wetland program

    Subsection (a) amends section 1231B(a) of the Food Security 
Act of 1985 to extend the Farmable Wetlands Program through 
2023.
    Subsection (b) amends section 1231B(b) of the Food Security 
Act of 1985 to remove the wildlife buffer acreage ratio 
requirement for wetland buffers while retaining the three 
technical criteria and Secretarial discretion for determining 
the allowed buffer size.
    Subsection (c) amends section 1231B(c) of the Food Security 
Act of 1985 to reduce the acreage cap for farmable wetland 
enrollment from 750,000 to 500,000 acres and removes 
discretionary authority for the Secretary to increase the cap 
by 200,000.
    Subsection (d) amends section 1231B(e) of the Food Security 
Act of 1985 to remove the general prohibition for commercial 
use of enrolled lands.
    Subsection (e) amends section 1231B(f) of the Food Security 
Act of 1985 to remove authority for incentive payments for 
farmable wetlands.

Sec. 2203. Duties of owners and operators

    Subsection (a) amends section 1232(a) of the Food Security 
Act of 1985 to allow grazing for limited purpose of management 
as required by contract and specifically to direct the 
Secretary to include thinning and other practices, limited to 
management purposes, that improve the condition of the 
resources, promote forest management, and enhance wildlife 
habitat on land devoted to trees.
    Subsection (b) amends section 1232(b)(2) of the Food 
Security Act of 1985 to create flexibility for some commercial 
use of enrolled lands.

Sec. 2204. Duties of the Secretary

    Subsection (a) amends section 1233(a) of the Food Security 
Act of 1985 to establish a cross reference to the subsection 
for determining annual rental payment rates for the contract.
    Subsection (b) amends section 1233(b) of the Food Security 
Act of 1985 to expand the opportunities for owners and 
operators to use haying, grazing, and other management tools on 
conservation reserve acres under an approved plan by the 
Secretary. The subsection limits haying to no more frequently 
than once in every three years with not less than 25 percent of 
the acres remaining unharvested and includes greater 
flexibility for the Secretary to determine the frequency and 
duration for grazing of enrolled acres and fixes an upper limit 
on stocking rates if the grazing is to occur during the nesting 
season. Subsection (b) further allows intermittent or seasonal 
vegetative buffer practices incidental to production activity 
on adjacent land and provides for a 25 percent reduction in the 
annual rental payment for use of the land unless the activity 
is used to address a mid-contract management requirement which 
would result in no deduction. Finally, this subsection includes 
a provision to automatically make the Conservation Reserve 
Program (CRP) eligible for grazing when the livestock 
assistance program is engaged because of drought.
    Subsection (c) amends section 1233 of the Food Security Act 
of 1985 to provide clearer authority for the Secretary to waive 
planned mid-contract management requirements when the use of 
the cover in response to a natural disaster or adverse weather 
resulted in the same effect on the cover as the planned 
management activity.

Sec. 2205. Payments

    Subsection (a) amends section 1234(b) of the Food Security 
Act of 1985 to reduce practice and measure establishment cost 
share from 50 percent to no more than 40 percent, and limits 
the cost share for the seed component of the cover 
establishment to 25 percent of the seed cost. The subsection 
further places a cap on any incentive payments for installing 
practices to not exceed the actual cost of the practice. 
Finally, the language prevents the Secretary from making a 
cost-share payment when grazing is used as a mid-contract 
management practice.
    Subsection (b) amends section 1234(c) of the Food Security 
Act of 1985 to preserve incentive payments for tree thinning 
and related forest stand management, but reduces the payments 
from 150 percent to 100 percent of the cost.
    Subsection (c) amends section 1234(d) of the Food Security 
Act of 1985 to require USDA, in determining rental rates, to 
consider the impact to local farmland rental market; and to 
reduce the rental payment to 80 percent of the established 
rental rate at the time of enrollment. It further establishes a 
declining scale for each subsequent enrollment in the program 
beginning with 15 percent for the first reenrollment and 10 
percent for each reenrollment thereafter. Further, the 
subsection increases the frequency of the rental rate estimate 
survey from every other year to annual, and requires the rental 
rates to be published by September 15 each year.
    Subsection (d) amends section 1234(g) of the Food Security 
Act of 1985 to require agreements with States for the 
Conservation Reserve Enhancement Program to limit the program 
cost share to 50 percent of the agreement.

Sec. 2206. Contracts

    Subsection (a) amends section 1235(e) of the Food Security 
Act of 1985 to update the authority for the Secretary to allow 
a one-time early termination of contracts in fiscal year 2019.
    Subsection (b) amends section 1235(f) to update provisions 
allowing transition of land to beginning farmer or rancher 
(BFR) buyers of enrolled acreage to prepare land for crop use; 
to provide extended time for entry into Organic Foods 
Production Act of 1990 certification; and to ensure the 
Secretary provides technical and financial assistance to assist 
the BFR in transitioning the enrolled acreage through a 
conservation plan.
    Subsection (c) amends section 1235(g) of the Food Security 
Act of 1985 to allow expiring CRP contract acres to enter into 
an Environmental Quality Incentives Program (EQIP) contract in 
the final year to prepare the land for cropping or grazing 
after expiration, and to allow expiring CRP acreage entering 
into organic food production to be begin preparing for 
transition in the final 3 CRP years of the contract.

          SUBTITLE C--ENVIRONMENTAL QUALITY INCENTIVES PROGRAM

Sec. 2301. Definitions

    Subsection (a) of section 2301 amends section 1240A of the 
Food Security Act of 1985 to include two new conservation 
activities; precision conservation management planning, and 
cover crops and resource conserving crop rotations as eligible 
for the purposes of the program.
    Subsections (b) and (c) provide for the additional 
definitions of ``priority resource concern'' and ``stewardship 
practices'' for the purposes of the program to support the 
addition of stewardship contracts made by 2302(d).

Sec. 2302. Establishment and administration

    Subsection (a) of section 2302 amends section 1240B of the 
Food Security Act of 1985 to extend the authority for the 
environmental quality incentives program through fiscal year 
2023.
    Subsection (b) further amends section 1240B of the Food 
Security Act of 1985 to eliminate the 60 percent livestock 
allocation of funding. The subsection further extends the 
authorization for the at least 5 percent allocation of funding 
for practices benefitting wildlife habitat.
    Subsection (c) amends section 1240B(h) of the Food Security 
Act of 1985 to expand the list of practices available for water 
conservation and irrigation efficiency. This subsection further 
adds limited eligibility of irrigation districts, associations, 
and acequias including waiver authority for adjusted gross 
income and limitations on payments.
    Subsection (d) creates authority for new stewardship 
contracts of 5 to 10 year term within EQIP for the purposes of 
payments for stewardship practices that address locally 
established priority resource concerns. The subsection further 
establishes considerations for determining practice payment 
amounts and a payment limitation for a person or entity of 
$50,000/year. The subsection provides for use of no more than 
50 percent of the EQIP appropriations for these contracts.

Sec. 2303. Limitation on payments

    Section 2303 amends section 1240G of the Food Security Act 
of 1985 to extend the authority for the payment limitation of 
$450,000 for all contracts entered into under the program for 
the period of fiscal years 2019 through 2023.

Sec. 2304. Conservation innovation grants and payments

    Subsection (a) of section 2304 amends section 1240H(a) of 
the Food Security Act of 1985 to limit the amount of EQIP funds 
used for conservation innovation grants at not more than $25 
million for each fiscal year, 2019 through 2023. The subsection 
further extends eligibility for conservation innovation grants 
to persons participating in higher education on lands owned by 
an institution of higher education.
    Subsection (b) of section 2304 amends section 1240H(b) of 
the Food Security Act of 1985 to increase the Air Quality 
Concerns from Agriculture set aside to $37,500,000 each fiscal 
year 2019 through 2023.
    Subsection (c) of section 2304 amends section 1240H of the 
Food Security Act of 1985 to authorize the Secretary to use up 
to $25 million of EQIP funds for each fiscal year 2019 through 
2023 to enter into agreements for on-farm conservation 
innovation trials. This subsection encourages the Secretary to 
provide payments for 3 or more years to producers, including 
forgone income, when adopting new and innovative conservation 
technology, and requires the Secretary to make the results 
available on a public database while protecting individual 
producer's information. Subsection (c) further instructs the 
Secretary regarding provision of technical assistance, eligible 
entities, and examples of new or innovative technologies to be 
included in on-farm trials. The Secretary is to provide 
compilation and analysis of the trials to encourage broader 
adoption of the innovative technologies.

                SUBTITLE D--OTHER CONSERVATION PROGRAMS

Sec. 2401. Conservation of private grazing land

    Section 2401 amends section 1240M of the Food Security Act 
of 1985 to extend the authorization of appropriations for 
conservation of private grazing land program at the current 
level of $60,000,000 a year through fiscal year 2023.

Sec. 2402. Grassroots source water protection program

    Subsection (a) of section 2402 amends section 1240O of the 
Food Security Act of 1985 to extend the authorization of 
appropriations for the grassroots source water protection 
program at the current level of $20,000,000 each year through 
fiscal year 2023.
    Subsection (b) includes an additional $5,000,000 in 
mandatory funding to be made available in fiscal year 2019 and 
remain available until expended.

Sec. 2403. Voluntary public access and habitat incentive program

    Section 2403 amends section 1240R of the Food Security Act 
of 1985 by making $50,000,000 available in mandatory funding 
for the period of fiscal years 2019 through 2023.

Sec. 2404. Watershed protection and flood prevention

    Subsection (a) of section 2404 amends section 14 of the 
Watershed Protection and Flood Prevention Act to extend the 
authorization of appropriations for the small watershed 
rehabilitation program at the current level of $85,000,000 a 
year through fiscal year 2023.
    Subsection (b) amends the Watershed Protection and Flood 
Prevention Act to include a new section that makes an 
additional $100,000,000 in mandatory money to remain available 
until expended for each fiscal year through 2023 for the 
purposes of carrying our programs under the Act.

Sec. 2405. Feral swine eradication and control pilot program

    Subsection (a) of 2405 provides the Secretary the authority 
to establish a pilot project for eradication and control of 
feral swine.
    Subsection (b) enumerates the duties of the Secretary in 
carrying out the pilot including assessment, control methods, 
restoration, and the provision for financial assistance to 
producers.
    Subsection (c) enumerates the actions for which financial 
assistance will be provided.
    Subsection (d) requires coordination between the Natural 
Resources Conservation Service and the Animal and Plant Health 
Inspection Service with State Technical Committees to determine 
the pilot areas for the project.
    Subsection (e) provides that areas considered for the pilot 
will demonstrate feral swine impacts as a threat to 
agriculture, native ecosystems, or human or animal health.
    Subsection (f) establishes the cost-share level of 75 
percent and provides for in-kind contributions of materials and 
services.
    Subsection (g) allocates $100 million in mandatory funds 
for the period 2019 through 2023 and distributes the funding at 
50 percent to each agency and the scope of their work. It 
further limits the use of these funds to no more than 10 
percent for administrative expenses associated with the pilot 
project.

                 SUBTITLE E--FUNDING AND ADMINISTRATION

Sec. 2501. Commodity Credit Corporation

    Subsection (a) of section 2501 amends section 1241 of the 
Food Security Act of 1985 to extend the authorization and amend 
the funding levels for the programs under the Title.
    Funding levels:
    CRP tree thinning incentive--$10,000,000 set aside through 
fiscal year 2023
    CRP-Transition Incentive Program--$33,000,000 set aside 
through fiscal year 2023
    Agriculture Conservation Easement Program (ACEP)--
$500,000,000 each fiscal year through 2023
    EQIP--$2,000,000,000 for fiscal year 2019;
          $2,500,000,000 for fiscal year 2020;
          $2,750,000,000 for fiscal year 2021;
          $2,935,000,000 for fiscal year 2022;
          $3,000,000,000 for fiscal year 2023.
    The subsection further eliminates funding for the 
conservation security program which is repealed. It also 
provides for necessary funding to carry out conservation 
stewardship contracts that were entered into prior to the date 
of enactment of this Act.
    Subsection (b) amends section 1241 of the Food Security Act 
of 1985 to extend the authority to make the funds provided 
under the Title available until expended through 2023.
    Subsection (c) amends section 1241 of the Food Security Act 
of 1985 to repeal a report to Congress on the conservation 
compliance impacts to producers of the Agriculture Act of 2014 
and a report on outreach to specialty crop growers.
    Subsection (d) of section 2501 amends section 1241 of the 
Food Security Act of 1985 to repeal the regional equity 
distribution of funds requirement.
    Subsection (e) of section 2501 amends section 1241 of the 
Food Security Act of 1985 extending the authority to use, to 
the maximum extent practicable, 5 percent of EQIP funds for 
beginning farmers or ranchers, and 5 percent for socially 
disadvantaged farmers or ranchers.
    Subsection (f) updates the requirements of the annual 
report to Congress reflecting the amendments made by this Act.

Sec. 2502. Delivery of technical assistance

    Subsection (a) of section 2502 amends section 1242 of the 
Food Security Act of 1985 to include new definitions for 
``eligible participant'' and ``third-party provider.''
    Subsection (b) amends section 1242 of the Food Security Act 
of 1985 to include a new subsection providing alternative 
certification methods for third-party providers.

Sec. 2503. Administrative requirements for conservation programs

    Section 2503 amends section 1244 of the Food Security Act 
of 1985 to include a new subsection that requires the Secretary 
to promote water quality and water quantity practices that 
protect drinking water. The new subsection requires 
collaboration with community water systems and offers increased 
incentives and higher payment rates for practices that result 
in environmental benefits. The new subsection further reserves 
not less than 10 percent of Title II funds--except CRP--to 
carry out the subsection.

Sec. 2504. Establishment of State technical committees

    Section 2504 amends section 1261(c) of the Food Security 
Act of 1985 to add land-grant university extension programs to 
the list of representatives.

         SUBTITLE F--AGRICULTURAL CONSERVATION EASEMENT PROGRAM

Sec. 2601. Establishment and purposes

    Section 2601 amends section 1265 of the Food Security Act 
of 1985 to clarify that nonagricultural uses that do not 
negatively impact the agricultural operation or conservation 
values of the property are allowed.

Sec. 2602. Definitions

    Subsection (a) of section 2602 amends section 1265A of the 
Food Security Act of 1985 to conform the definition of 
``agricultural land easement'' with the elimination of the 
requirement for an agricultural land easement plan.
    Subsection (b) amends section 1265A of the Food Security 
Act of 1985 to make 100 percent nonindustrial private forest 
land eligible if it provides significant conservation benefit. 
It further removes the requirement for the Secretary to consult 
with the Secretary of the Interior on program priorities for 
wetlands eligibility.
    Subsection (c) amends section 1265A of the Food Security 
Act of 1985 to include a new definition for the term 
``monitoring report.''

Sec. 2603. Agricultural land easements

    Subsection (a) of section 2603 amends section 1265B of the 
Food Security Act of 1985 to conform the availability of 
assistance with the elimination of the requirement for an 
agricultural land easement plan.
    Subsection (b) amends section 1265B of the Food Security 
Act of 1985. Paragraph (1) amends the eligible sources for the 
non-Federal share and describes the exception for grasslands. 
Paragraph (2) amends section 1265B to require the Secretary to 
adjust ranking and evaluation criteria for applications in 
order to account for geographic differences among states, as 
long as such adjustments continue to meet the purpose of the 
program and maximize the benefit to the Federal investment. 
Paragraph (3) further amends section 1265B with respect to the 
minimum terms and conditions of the easements. It includes the 
requirement that the right of enforcement does not create a 
right of inspection by the Secretary of an easement unless an 
eligible entity fails to provide monitoring reports in a timely 
manner. It eliminates the requirement for an agricultural land 
easement plan, but allows the Secretary to require a 
conservation plan only for highly erodible land. It limits the 
Secretary's ability to require a refund after a violation of 
the terms and conditions only in the case of fraud or 
negligence. The subsection further allows for limited mineral 
development on the easement. It also clarifies that owners of 
land subject to an easement may participate in environmental 
services markets if the purpose of the market is the 
facilitation of additional conservation benefits. Paragraph (4) 
amends section 1265B(b)(5) of the Food Security act of 1985 to 
allow certified eligible entities to use their own terms and 
conditions consistent with the purposes of the program. 
Paragraph (4) further allows for a land trust that has been 
accredited by the Land Trust Accreditation Commission, and has 
completed at least five acquisitions of easements under the 
program, to be considered certified for the purposes of the 
program.
    Subsection (c) amends section 1265B of the Food Security 
Act of 1985 to conform the technical assistance authority with 
the elimination of the agricultural land easement requirement.

Sec. 2604. Wetland reserve easements

    Section 2604 amends section 1265(b)(5)(i)(III) of the Food 
Security Act of 1985 to add a grazing management plan as a 
qualifying criteria for reservation of grazing rights 
consistent with the wetland reserve easement plan.

Sec. 2605. Administration

    Subsection (a) amends Section 1265D(a)(4) of the Food 
Security Act of 1985 allowing the Secretary to exclude land for 
easements enrollment when permitted for infrastructure 
development.
    Subsection (b) of section 2605 amends Section 1265D(c)(1) 
of the Food Security Act of 1985 to allow the Secretary to 
subordinate or exchange any interest in land in the 
government's best interest and allows the Secretary to modify 
any interest in the land that has a neutral effect or increase 
in conservation values and intent of the easement. The 
subsection further allows the Secretary to terminate an 
easement if it is in the public interest and agreed to by the 
current land owner. It deems easements as a qualified 
conservation contribution for the purposes of the IRS and 
provides for the treatment of the contribution following an 
administrative action by the Secretary.
    Subsection (c) of section 2605 amends Section 1265D of the 
Food Security Act of 1985 by adding a new subsection (f) 
exempting ACEP from the Adjusted Gross Income requirement in 
section 1001D(b)(1) of the Food Security Act of 1985.

         SUBTITLE G--REGIONAL CONSERVATION PARTNERSHIP PROGRAM

Sec. 2701. Definitions

    Subsection (a) of section 2701 amends section 1271A of the 
Food Security Act of 1985 removes the conservation stewardship 
program from the list of covered programs and adds the 
conservation reserve program and programs under the Watershed 
Protection and Flood Prevention Act.
    Subsection (b) amends section 1271A to include ``resource 
conserving crop rotations'' and the ``protection of source 
water for drinking water'' to this list of eligible activities.

Sec. 2702. Regional conservation partnerships

    Subsection (a) of section 2702 amends section 1271B of the 
Food Security Act of 1985 to allow for partnership agreements 
to exceed 5 years if it is necessary to have a longer agreement 
in order to meet the objectives of the program.
    Subsection (b) amends section 1271B to specify that 
partners should quantify a project's environmental outcomes 
when assessing a projects effects.
    Subsection (c) amends section 1271B to require the 
Secretary to simplify the application process. The subsection 
further allows for the renewal or expansion of existing 
projects through an expedited application process.

Sec. 2703. Assistance to producers

    Section 2703 amends section 1271C to conform with the 
addition of longer partnership agreement terms, and expands the 
Secretary's waiver authority to include the ability to waive 
any existing payment limits in the covered programs.

Sec. 2704. Funding

    Section 2704 makes $250,000,000 of mandatory money 
available each fiscal year from 2019 through 2023 to carry out 
the program. Further, the section does not extend the 
availability of funds or acres from the covered programs to be 
used for the purposes of the program.

Sec. 2705. Administration

    Section 2705 amends section 1271E of the Food Security Act 
of 1985 to require the Secretary to provide guidance on how to 
quantify and report on environmental outcomes associated with 
the adoption of conservation practices under the program. The 
section further adds a requirement to include the progress 
being made on quantifying and reporting of environmental 
outcomes to the report of the Secretary to Congress.

Sec. 2706. Critical conservation areas

    Section 2706 amends section 1271F of the Food Security Act 
of 1985 by eliminating the restriction of watershed programs 
only to critical conservation areas under the regional 
conservation partnership program conforming to the changes made 
by section 2701.

 SUBTITLE H--REPEALS AND TRANSITIONAL PROVISIONS; TECHNICAL AMENDMENTS

Sec. 2801. Repeal of the conservation security and conservation 
        stewardship programs

    Subsection (a) of section 2801 amends the Food Security Act 
of 1985 to repeal the conservation security program and the 
conservation stewardship program.
    Subsection (b) allows for transitional provisions so 
existing contracts may continue unaffected until expiration. 
Renewals under the existing contracts are explicitly 
prohibited.

Sec. 2802. Repeal of terminal lakes assistance

    Section 2802 repeals section 2507 of the Farm Security and 
Rural Investment Act of 2002, the desert terminal lakes 
program.

Sec. 2803. Technical amendments

    Section 2803 provides for necessary technical amendments.

                            TITLE III--TRADE

                     SUBTITLE A--FOOD FOR PEACE ACT

Sec. 3001. Findings

Sec. 3002. Labeling requirements

    Section 3002 amends section 202(g) of the Food for Peace 
Act to require, in the case of commodities or food purchased in 
country, markings on the package or container and, in the case 
of other assistance, accompanying printed material that 
indicate that the assistance was furnished by the people of the 
United States of America.

Sec. 3003. Food aid quality assurance

    Section 3003 amends section 202(h)(3) of the Food for Peace 
Act to reauthorize the funding for food aid quality activities 
through fiscal year 2023.

Sec. 3004. Local sale and barter of commodities

    Section 3004 amends section 203(a) of the Food for Peace 
Act to provide the Administrator discretion in the levels of 
local sales and strikes section 203(b), the minimum level of 
local sales for non-emergency programs.

Sec. 3005. Minimum levels of assistance

    Section 3005 amends section 204(a) of the Food for Peace 
Act to reauthorize minimum levels of commodities available for 
emergency and non-emergency assistance through 2023.

Sec. 3006. Extension of termination date of Food Aid Consultative Group

    Section 3006 amends section 205(f) of the Food for Peace 
Act to reauthorize the Food Aid Consultative Group through 
2023.

Sec. 3007. Issuance of regulations

    Section 3007 amends section 207(c) of the Food for Peace 
Act to allow the Administrator 270 days after the date of 
enactment of the Agriculture and Nutrition Act of 2018 to issue 
regulations and revisions to agency guidance necessary to 
implement the Act.

Sec. 3008. Funding for program oversight, monitoring, and evaluation

    Section 3008 amends section 207(f)(4) of the Food for Peace 
Act to permit the Administrator to use up to 1.5 percent of the 
funds made available under Title II of the Food for Peace Act 
for the 2019 through 2023 fiscal years for monitoring of 
emergency food assistance.

Sec. 3009. Assistance for stockpiling and rapid transportation, 
        delivery, and distribution of shelf-stable prepackaged foods

    Section 3009 amends section 208 of the Food for Peace Act 
to change the section heading to ``International Food Relief 
Partnership'' and, in paragraph (f), to authorize the program 
until 2023.

Sec. 3010. Consideration of impact of provision of agricultural 
        commodities and other assistance on local farmers and economy

    Section 3010(a) amends section 403(a) of the Food for Peace 
Act to ensure that no modalities of assistance are distributed 
in a recipient country where distribution would create a 
substantial disincentive to, or interference with, domestic 
production or marketing.
    Section 3010(b) amends section 403(b) to ensure that, like 
the importation of United States commodities and other 
activities, the distribution of food procured outside of the 
United States, food vouchers, and cash transfers for food will 
not have a disruptive impact on the farmers or local economy of 
a recipient country.

Sec. 3011. Prepositioning of agricultural commodities

    Section 3011 amends section 407(c)(4)(A) of the Food for 
Peace Act to reauthorize the prepositioning of agricultural 
commodities until 2023.

Sec. 3012. Annual report regarding food aid programs and activities

    Section 3012(a) amends section 407(f) of the Food for Peace 
Act to allow the Administrator and the Secretary to file the 
annual report either jointly or separately. In addition, this 
section requires that, where the annual report is not filed by 
the April 1 deadline, the Administrator and the Secretary 
notify the relevant congressional committees of any delay and 
the reasons for such delay. In addition, section 407(f) is 
updated to combine an existing annual report with more detailed 
information about the utilization of funds by eligible 
organizations.
    Section 3012(b) repeals a duplicative report.

Sec. 3013. Deadline for agreements to finance sales or to provide other 
        assistance

    Section 3013 amends section 408 of the Food for Peace Act 
to extend the deadline for agreements to finance sales or to 
provide other assistance until December 31, 2023.

Sec. 3014. Minimum level of nonemergency food assistance

    Section 3014 amends section 412(e) of the Food for Peace 
Act to provide not less than $365,000,000 of the amounts made 
available to carry out title II of the Act, nor more than 30% 
of such funds, be expended for nonemergency food assistance 
programs. Further, section 412(e) is amended to provide that 
certain community development funds that are made available 
through certain grants or cooperative agreements and that are 
consistent with the goals of Title II of the Food for Peace Act 
may be deemed to have been expended on nonemergency food 
assistance programs for the purposes of this section.

Sec. 3015. Termination date for micronutrient fortification programs

    Section 3015 amends section 415(c) of the Food for Peace 
Act to reauthorize the micronutrient fortification program 
until 2023.

Sec. 3016. John Ogonowski and Doug Bereuter Farmer-to-Farmer Program

    Section 3016(a) amends section 501(b)(1) of the Food for 
Peace Act to clarify that the nature of assistance provided by 
the John Ogonowski and Doug Bereuter Farmer-to-Farmer Program 
(Farmer-to-Farmer Program) is technical assistance.
    Section 3016(b) amends section 501(b)(2) of the Food for 
Peace Act to include retired extension staff of the Department 
of Agriculture in the list of entities that may work in 
conjunction with agricultural producers and farm organizations 
on a voluntary basis.
    Section 3016(c) amends section 501(b) of the Food for Peace 
Act to reinforce that longer-term and sequenced assignments and 
partnerships are allowed within the Farmer-to-Farmer Program.
    Section 3016(d) amends section 501(d) of the Food for Peace 
Act to provide, with continued set-asides for certain 
geographic locations, a minimum level of funding of not less 
than the greater of $15,000,000 or 0.6% of amounts made 
available to carry out the Food for Peace Act for each fiscal 
year through 2023. Section 3017(d) also provides that funds 
used to carry out programs under section 501 of the Food for 
Peace Act shall be counted towards the minimum level of 
nonemergency food assistance under section 412(e) of the Food 
for Peace Act.
    Section 3016(e) amends section 501(e) of the Food for Peace 
Act to reauthorize the authorization of appropriations until 
2023.

               SUBTITLE B--AGRICULTURAL TRADE ACT OF 1978

Sec. 3101. Findings

Sec. 3102. Consolidation of current programs as new International 
        Market Development Program

    Section 3102(a) amends section 205 of the Agricultural 
Trade Act of 1978 to create the International Market 
Development Program, a consolidation of the current Market 
Access Program, the Foreign Market Development Cooperator 
Program, the Technical Assistance for Specialty Crops Program, 
and the E. (Kika) De La Garza Emerging Markets Program.
    Section 3102(b) amends section 211(c) to provide funding 
for the International Market Development Program subject to 
certain set-asides.
    Section 3102(c) repeals the Market Access Program, the 
Foreign Market Development Cooperator Program, the Export 
Assistance Program for Specialty Crops, and the Emerging 
Markets Program.
    Section 3102(d) makes conforming amendments.

               SUBTITLE C--OTHER AGRICULTURAL TRADE LAWS

Sec. 3201. Local and regional food aid procurement projects

    Section 3201 amends section 3206(e)(1) of the Food, 
Conservation, and Energy Act of 2008 to authorize 
appropriations for local and regional food aid procurements 
projects until 2023.

Sec. 3202. Promotion of agricultural exports to emerging markets

    Section 3202 amends section 1542(a) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
funding for the promotion of agricultural exports to emerging 
markets through fiscal year 2023.

Sec. 3203. Bill Emerson Humanitarian Trust Act

    Section 3203 amends section 302 of the Bill Emerson 
Humanitarian Trust Act to reauthorize the trust through 2023.

Sec. 3204. Food for Progress Act of 1985

    Section 3204(a) amends section 1110 of the Food Security 
Act of 1985 to reauthorize the program until 2023.
    Section 3204(b) amends section 1110(b)(5) of the Food 
Security Act of 1985 to include colleges and universities in 
the definition of ``eligible entity''.
    Section 3204(c) amends section 1110(o) of the Food Security 
Act of 1985 to ensure that all eligible commodities provided 
for in an agreement with an eligible entity are made available.

Sec. 3205. McGovern-Dole International Food for Education and Child 
        Nutrition Program

    Section 3205(a) amends section 3107(f)(1)(B) of the Farm 
Security and Rural Investment Act of 2002 to require that 
assistance coincides with the start of the school year, and is 
available when needed throughout the relevant school year.
    Section 3205(b) amends section 3107(l)(2) of the Farm 
Security and Rural Investment Act of 2002 to authorize 
appropriations for the program through 2023.

Sec. 3206. Cochran fellowship program

    Section 3206(a) amends section 1543(a) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to permit 
study in foreign colleges or universities that have met certain 
criteria.
    Section 3206(b) amends section 1543(c) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to clarify 
that the purpose of the fellowship includes trade linkages 
involving regulatory systems governing sanity and phyto-
sanitary standards for agricultural products.

Sec. 3207. Borlaug fellowship program

    Section 3207 amends section 1473G of the Food and 
Agriculture Act of 1977 to permit United States citizens to 
receive Borlaug fellowships in order to assist eligible 
countries in developing school-based agriculture and youth 
extension programs and to permit study in foreign colleges or 
universities that have met certain criteria. Further, section 
3207 clarifies that training or study of fellowship recipients 
from eligible countries outside of the United States shall 
occur in the United States, or at a qualified college or 
university outside of the United States. Finally, section 3207 
authorizes appropriations of $6,000,000 for the Borlaug 
fellowship program.

Sec. 3208. Global Crop Diversity Trust.

    Section 3208 amends section 3202(b) of the Food, 
Conservation, and Energy Act of 2008 to limit the aggregate 
contribution of funds of the Federal Government to the trust to 
33% and authorizes appropriations through 2023.

                          TITLE IV--NUTRITION

         SUBTITLE A--SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM

Sec. 4001. Duplicative Enrollment Database

    Subsection (a) of section 4001 amends the Food and 
Nutrition Act of 2008 by adding at the end, section 30 to 
establish the Duplicative Enrollment Database to be used by 
States when making eligibility determinations to prevent SNAP 
participants from receiving duplicative benefits in multiple 
States. Subsection (a) also requires the Secretary to publish 
an annual report using data submitted to the Database that 
analyzes SNAP participant characteristics including tenure on 
the program.
    Subsection (b) amends section 11(e) of the Food and 
Nutrition Act of 2008 to require States to collect and submit 
SNAP participant data to the Duplicative Enrollment Database in 
accordance with guidance or rules issued by the Secretary that 
will be used by the Secretary to generate the annual reports 
required under subsection (a).

Sec. 4002. Retailer-Funded Incentives Pilot

    Section 4002 amends the Food and Nutrition Act of 2008 (as 
amended by Section 4001) by adding at the end, section 31, 
which establishes a pilot project through which authorized 
retail food stores may provide bonuses to participating SNAP 
households based on household purchases of fruits, vegetables, 
and milk. Retail food stores participating in the pilot project 
may be reimbursed in an amount not to exceed 25 percent of the 
dollar value of bonuses earned by households and used to 
purchase SNAP-eligible foods. Section 4002 directs the 
Secretary to provide no more than $120,000,000 annually for 
such reimbursements.

Sec. 4003. Gus Schumacher Food Insecurity Nutrition Incentive Program

    Subsection (a) amends section 4405 of the Food, 
Conservation, and Energy Act of 2008 to rename the program the 
Gus Schumacher Food Insecurity Nutrition Incentive Program. The 
subsection also amends the program by limiting the program 
incentives to financial incentives, updating program 
priorities, and requiring the Secretary to consult with the 
Director of the National Institute of Food and Agriculture to 
establish a training, evaluation, and information center for 
use by program grantees. Subsection (a) reauthorizes the 
program through fiscal year 2023 and provides mandatory funding 
levels of $45,000,000 for fiscal year 2019; $50,000,000 for 
fiscal year 2020; $55,000,000 for fiscal year 2021; $60,000,000 
for fiscal year 2022; and $65,000,000 for 2023 and each fiscal 
year thereafter.
    Subsection (b) makes a conforming amendment to the table of 
contents of the Food, Conservation, and Energy Act of 2008 to 
reflect the change of the program name made under subsection 
(a).

Sec. 4004. Re-evaluation of Thrifty Food Plan

    Section 4004 amends section 3(u) of the Food and Nutrition 
Act of 2008 to, by 2022, and at five-year intervals, require a 
re-evaluation and publication of the Thrifty Food Plan.

Sec. 4005. Food distribution programs on Indian reservations.

    Section 4005 amends section 4(b) of the Food and Nutrition 
Act of 2008 to strike surveying and reporting requirements 
regarding traditional foods, to include regionally-grown in 
addition to traditional and locally-grown foods, and to allow 
appropriated funds for the program to remain available for two 
fiscal years.

Sec. 4006. Update to categorical eligibility

    Section 4006 amends section 5(a) and 5(j) of the Food and 
Nutrition Act of 2008 such that categorical eligibility may 
only be used in instances where a beneficiary is receiving 
either cash assistance or ongoing and substantial services such 
as transportation, childcare, counseling, or other services 
funded under part A of title IV of the Social Security Act with 
an income eligibility limit of not more than 130% (200% for 
elderly or disabled) of the poverty line.

Sec. 4007. Child support; cooperation with child support agencies

    Subsection (a) of section 4007 amends section 5(e) of the 
Food and Nutrition Act of 2008, striking the State option to 
provide a deduction from income for child support payments, 
therefore requiring all states to provide an exclusion for 
child support payments.
    Subsection (b) of section 4007 amends section 6(l)(1) and 
6(m)(1) of the Food and Nutrition Act of 2008 to eliminate the 
State option of child support cooperation for custodial and 
noncustodial parents, thus requiring cooperation. Subsection 
(b) also strikes section 6(n), eliminating SNAP 
disqualification for child support arrears.

Sec. 4008. Basic allowance for housing

    Subsection (a) amends section 5(d) of the Food and 
Nutrition Act of 2008 to exclude up to $500 of a housing 
allowance received under section 403 of title 37 of the United 
States Code from any calculation of income when determining 
eligibility to participate in the supplemental nutrition 
assistance program.
    Subsection (b) amends section 5(e)(6)(A) of the Food and 
Nutrition Act of 2008 so a household that receives the 
allowance covered by section 403 of title 37 of the United 
States Code can only claim expenses in excess of that allowance 
when determining the household's expenses for the excess 
shelter deduction.

Sec. 4009. Earned income deduction

    Section 4009 amends section 5(e)(2)(B) of the Food and 
Nutrition Act of 2008 to increase from 20 to 22 the percentage 
of a household's earned income that may be deducted for 
purposes of calculating of income when determining eligibility 
to participate in the supplemental nutrition assistance 
program.

Sec. 4010. Simplified homeless housing costs

    Section 4008 amends section 5(e)(6)(D) of the Food and 
Nutrition Act of 2008 to require that States provide a 
simplified homeless housing deduction of $143, adjusted for 
inflation, for homeless individuals not receiving free housing 
during the month.

Sec. 4011. Availability of Standard Utility Allowances based on receipt 
        of energy assistance

    Subsection (a) of section 4011 amends section 
5(e)(6)(C)(iv)(I) of the Food and Nutrition Act of 2008 by 
limiting the availability of the Standard Utility Allowance for 
heating and cooling costs to those households consisting of an 
elderly member. Subsection (a) also makes a conforming 
amendment to Section 2605(f)(2)(A) of the Low-Income Home 
Energy Assistance Act.
    Subsection (b) of section 4011 amends section 5(k)(4) of 
the Food and Nutrition Act of 2008 so that third party energy 
assistance payments are considered money payable directly to 
households without an elderly member for purposes of 
calculating exclusions to income, and are no longer considered 
out-of-pocket expenses for such households for determination of 
the excess shelter expense deduction.

Sec. 4012. Adjustment to asset limitations

    Section 4012 amends section 5(g)(1) of the Food and 
Nutrition Act of 2008 by increasing from $2,000 to $7,000 the 
maximum allowable value of assets for participating households, 
and from $3,000 to $12,000 for households including an elderly 
or disabled member. Such levels shall be adjusted for 
inflation.

Sec. 4013. Updated vehicle allowance

    Section 4013 amends section 5(g) of the Food and Nutrition 
Act of 2008 to require all States to exclude $12,000 (adjusted 
annually for inflation) of the value of one vehicle per 
licensed driver from household asset calculations. The section 
also strikes the alternative vehicle allowance.

Sec. 4014. Savings excluded from assets

    Section 4014 amends section 5(g) of the Food and Nutrition 
Act of 2008 to exclude up to $2,000 (adjusted annually for 
inflation) in savings from household assets in determining 
eligibility for the supplemental nutrition assistance program.

Sec. 4015. Workforce solutions

    Subsection (a) of section 4015 amends section 6(d) of the 
Food and Nutrition Act of 2008 to require individuals age 18 to 
59 to work, participate in employment and training or a work 
program, or any combination of work, participation in 
employment and training or a work program a minimum of 20 hours 
per week in fiscal years 2021 through 2025 and 25 hours per 
week in fiscal year 2026 and each fiscal year thereafter. The 
subsection also establishes a two-year transition period for 
State implementation and enforcement of the updated work 
requirement; establishes a revised ineligibility process 
allowing one month for initial compliance, requiring a 12-month 
ineligibility period for the first violation of the work 
requirement, and a 36-month ineligibility period for subsequent 
violations unless an individual obtains employment sufficient 
to meet the hourly requirement or is no longer subject to the 
work requirements at an earlier time; modifies the criteria 
that States may use to request a geographic waiver of the work 
requirements; updates the ``15-percent'' exemption criteria and 
process; strikes provisions related to the selection of a head 
of household; requires States to offer minimum services in 
employment and training (including offering case management 
services) so that every covered individual may meet the work 
requirements, and updates components of employment and training 
programs.
    Subsection (b) of 4015 makes conforming amendments to 
section 5(d)(14) of the Food and Nutrition Act of 2008, section 
51(d)(8)(A)(ii) of the Internal Revenue Code of 1986; and 
sections 103(a)(2) and 121(b)(2)(B) of the Workforce Innovation 
and Opportunity Act.
    Subsection (c) of section 4015 amends section 6(e)(5) of 
the Food and Nutrition Act of 2008 to exempt from the work 
requirement students who are caretakers of an incapacitated 
person. The subsection also strikes section 6(o) pertaining to 
the current ABAWD time limit and accompanying waivers and 
exemptions.
    Subsection (d) of section 4015 makes conforming amendments 
to Section 6 and 7(i)(1) of the Food and Nutrition Act of 2008.
    Subsection (e) of section 4015 amends section 11(e)(19) of 
the Food and Nutrition Act of 2008 to update the information 
required in the State plan regarding employment and training.
    Subsection (f) of section 4015 amends section 16(h) of the 
Food and Nutrition Act of 2008 to provide $250,000,000 in 
fiscal year 2020 and $1,000,000,000 for each fiscal year 
thereafter for employment and training programs; adjusts the 
minimum allocation for each state to not less than $100,000; 
and reserves up to $150,000,000 each year for eligible 
providers under section 122 of the Workforce Innovation and 
Opportunity Act who provide services for supplemental nutrition 
assistance program participants to meet work requirements.
    Subsections (g) and (h) of section 4015 repeals section 
16(b) and section 20 of the Food and Nutrition Act of 2008, and 
makes related conforming amendments.

Sec. 4016. Modernization of Electronic Benefit Transfer regulations

    Section 4015 amends section 7(h)(2) of the Food and 
Nutrition Act of 2008 to allow for periodic review of EBT 
regulations taking into account evolving technology, recipient 
access and ease of use, and alternatives for securing 
transactions.

Sec. 4017. Mobile technologies

    Section 4017 amends section 7(h)(14) of the Food and 
Nutrition Act of 2008 to require the availability of use of 
mobile technologies for the redemption of supplemental 
nutrition assistance program benefits pending the completion of 
up to five authorized demonstration projects, unless the 
Secretary makes a determination that implementation requires 
further study, or is not in the best interest of the 
supplemental nutrition assistance program. If the Secretary 
makes such a determination, a report must be submitted to 
Congress that justifies the finding.

Sec. 4018. Processing fees

    Subsection (a) of section 4018 amends section 7(h)(13) of 
the Food and Nutrition Act of 2008 to affirm that neither a 
State, nor any agent, contractor, or subcontractor can charge 
any fee for switching or routing supplemental nutrition 
assistance program benefits.
    Subsection (b) of section 4018 makes a conforming amendment 
to define the term ``switching'' within section 7(j)(1)(H) of 
the Food and Nutrition Act of 2008.

Sec. 4019. Replacement of EBT cards

    Section 4019 amends section 7(h)(8)(B)(ii) of the Food and 
Nutrition Act of 2008 to require the head of household to 
review program rights and responsibilities after two or more 
lost cards in a 12-month period.

Sec. 4020. Benefit recovery

    Section 4019 amends section 7(h)(12) of the Food and 
Nutrition Act of 2008 to adjust benefit storage from six to 
three months and benefit expungement from 12 to six months, or 
upon verification that all members of a household are deceased.

Sec. 4021. Requirements for online acceptance of benefits

    Subsection (a) of section 4020 amends section 3(o)(1) of 
the Food and Nutrition Act of 2008 to include online entities 
within the definition of ``retail food store''.
    Subsection (b) of section 4020 amends section 7(k) of the 
Food and Nutrition Act of 2008 to strike the required report to 
Congress, and require the nationwide implementation of the 
online acceptance of benefits.

Sec. 4022. National gateway

    Subsection (a) of Section 4022 amends section 7(d) of the 
Food and Nutrition Act of 2008 to expand the parties for which 
the Secretary shall implement controls over related to the 
delivery of benefits. The subsection also adds a section 7(l) 
to the Food and Nutrition Act of 2008 to require the routing of 
all SNAP transactions through a national gateway for the 
purposes of transaction validation and settlement, pending 
completion of a feasibility study; provides funds of 
$10,500,000 in fiscal year 2019 and $9,500,000 in fiscal years 
2020 through 2023; requires that the national gateway be 
sustained through the payment of fees by benefit issuers and 
third-party processors to the gateway operator, and requires 
the Secretary to monitor such fees.
    Subsection (b) of Section 4022 amends section 9(c) of the 
Food and Nutrition Act of 2008 to require retail food stores 
and wholesale food concerns to submit contracts for electronic 
benefit transfer services and equipment and records necessary 
to validate the FNS authorization number.

Sec. 4023. Access to State systems

    Section 4023 amends sections 11(a)(3)(B) and 16 of the Food 
and Nutrition Act of 2008 to require that all State records and 
the entire information systems in which the records are 
contained are made available for inspection and audit by the 
Secretary, subject to security protocols agreed to by the State 
and the Secretary, for purposes of program oversight.

Sec. 4024. Transitional benefits

    Section 4024 amends section 11(s) of the Food and Nutrition 
Act of 2008 by requiring states to offer transitional benefits 
for households that cease to receive cash assistance, for five 
months after the date on which cash assistance is terminated.

Sec. 4025. Incentivizing technology modernization

    Section 4025 amends section 11(t) of the Food and Nutrition 
Act of 2008 to limit grants to funding for simplified 
supplemental nutrition assistance program application and 
eligibility determination systems, and to update the allowed 
types of projects.

Sec. 4026. Supplemental Nutrition Assistance Program Benefit Transfer 
        Transaction Data Report

    Section 4026 amends section 9 of the Food and Nutrition Act 
of 2008 to require the Secretary, not more often than every two 
years, to collect a sample of retail food store transaction 
data to be summarized and reported in a manner that prevents 
identification of individual retail food store chains and SNAP 
participants.

Sec. 4027. Adjustment to percentage of recovered funds retained by 
        States

    Section 4027 amends section 16(a) of the Food and Nutrition 
Act of 2008 to increase from 35 to 50 percent the amount of 
recovered funds States are permitted to retain, and authorizes 
such funds to be used for supplemental nutrition assistance 
program investments in technology, improvements in 
administration and distribution, and actions to prevent fraud.

Sec. 4028. Tolerance level for payment errors

    Section 4028 amends section 16(c)(1) of the Food and 
Nutrition Act of 2008 to adjust the tolerance level for payment 
errors from $37 to $0.

Sec. 4029. State performance indicators

    Section 4029 amends section 16(d) of the Food and Nutrition 
Act of 2008 to repeal bonuses for States that demonstrate high 
or most improved performances for fiscal year 2018 and each 
fiscal year thereafter, while retaining requirements regarding 
performance criteria including actions taken to correct payment 
errors, reduce error rates, and improve eligibility 
determinations.

Sec. 4030. Public-private partnerships

    Section 4030 amends Section 17 of the Food and Nutrition 
Act by permitting not more than 10 pilot projects to support 
public-private partnerships that address food insecurity and 
poverty. The section authorizes appropriations of $5,000,000 to 
carry out the projects, to remain available until expended.

Sec. 4031. Authorization of appropriations

    Section 4031 amends section 18(a)(1) of the Food and 
Nutrition Act of 2008 to extend the authorization of 
appropriations through 2023.

Sec. 4032. Emergency food assistance

    Section 4032 amends section 27(a) of the Food and Nutrition 
Act of 2008 to provide $60,000,000 in funding for fiscal years 
2019 through 2023, and to establish a Farm-to-Food-Bank fund 
through which $20,000,000 of the funds made available in the 
section are distributed to States to be used to procure, or to 
enter into agreements with food banks to procure excess fresh 
fruits and vegetables grown in the State or surrounding region 
to be provided to eligible recipient agencies under Section 
201A(3) of the Emergency Food Assistance Act of 1983.

Sec. 4033. Nutrition education

    Subsection (a) of section 4033 amends section 28 of the 
Food and Nutrition Act of 2008 to define 1862 and 1890 
institutions as eligible institutions for purposes of carrying 
out the program; directs the Secretary, acting through the 
Administrator of the National Institute of Food and 
Agriculture, in consultation with the Administrator of the Food 
and Nutrition Service, to implement the program; requires 
eligible institutions to the extent practicable, to provide for 
the employment and training of professional and 
paraprofessional aides from the target population to engage in 
direct nutrition education, and to partner with other public 
and private entities as appropriate to optimize program 
delivery; increases mandatory funding for the program to 
$485,000,000 beginning in fiscal year 2019; authorizes 
additional appropriations for the program of $65,000,00 for 
fiscal years 2019 through 2023; updates the allocation of funds 
so that, beginning in fiscal year 2019, funds are allocated 
based solely on States' SNAP populations; and limits 
administrative costs for eligible intuitions to 10 percent.
    Subsection (b) of section 4033 amends section 
18(a)(3)(A)(ii) to reflect the repeal of the Expanded Food and 
Nutrition Education Program by section 7110 of this Act.

Sec. 4034. Retail food store and recipient trafficking.

    Section 4034 amends section 29(c)(1) of the Food and 
Nutrition Act of 2008 to extend funding through 2023.

Sec. 4035. Technical corrections.

    Section 4035 makes technical corrections to sections 3, 5, 
8, 10, 11, 15, 17, 25, and 26 of the Food and Nutrition Act of 
2008.

Sec. 4036. Implementation funds

    Section 4036 provides, out of any funds made available 
under section 18(a) of the Food and Nutrition Act of 2008 for 
fiscal year 2019, $150,000,000, to remain available until 
expended to be used by the Secretary in carrying out the 
amendments made by Subtitle A.

              SUBTITLE B--COMMODITY DISTRIBUTION PROGRAMS

Sec. 4101. Commodity Distribution Program

    Section 4101 amends section 4(a) of the Agriculture and 
Consumer Protection Act of 1973 to extend the authority for the 
Secretary to purchase and distribute agricultural commodities 
through 2023.

Sec. 4102. Commodity Supplemental Food Program

    Section 4102 amends section 5 of the Agriculture and 
Consumer Protection Act of 1973 to provide funding to allow the 
Secretary to continue to carry out the Commodity Supplemental 
Food Program through 2023.

Sec. 4103. Distribution of surplus commodities to special nutrition 
        projects

    Section 4103 amends section 1114(a)(2)(A) of the 
Agriculture and Food Act of 1981 to reauthorize the program 
through 2023.

                       SUBTITLE C--MISCELLANEOUS

Sec. 4201. Purchase of fresh fruits and vegetables for distribution to 
        schools and service institutions

    Section 4201 amends section 10603(b) of the Farm Security 
and Rural Investment Act of 2002 to extend funding through 
2023.

Sec. 4202. Seniors Farmers' Market Nutrition Program

    Section 4202 amends section 4402(a) of the Farm Security 
and Rural Investment Act of 2002 to extend funding through 
2023.

Sec. 4203. Healthy Food Financing Initiative

    Section 4203 amends section 243(d) of the Department of 
Agriculture Reorganization Act of 1994 to extend the existing 
authorization of appropriations until October 1, 2023.

Sec. 4204. Amendments to the Fruit and Vegetable School Lunch Program

    Section 4204 amends Section 19 of the Richard B. Russell 
National School Lunch Act to provide grants for providing 
fresh, canned, frozen, and pureed fruits and vegetables in 
elementary schools.

                            TITLE V--CREDIT

                    SUBTITLE A--FARM OWNERSHIP LOANS

Sec. 5101. Modification of the 3-year experience eligibility 
        requirement for farm ownership loans

    Section 5101 amends Section 302(b) of the Consolidated Farm 
and Rural Development Act to expand eligibility for direct farm 
ownership loans by adding a list of criteria that can be deemed 
adequate for an applicant to meet or reduce the necessary 
experience requirements.

Sec. 5102. Conservation loan and loan guarantee program

    Section 5101 amends Section 304(h) of the Consolidated Farm 
and Rural Development Act to reauthorize appropriations of 
$75,000,000 for the program for each fiscal year through fiscal 
year 2023.

Sec. 5103. Farm ownership loan limits

    Section 5103 amends Section 305(a) of the Consolidated Farm 
and Rural Development Act to increase the maximum allowable 
indebtedness for guaranteed loans, from $700,000 to $1,750,000 
adjusted for inflation beginning in fiscal year 2019.

                      SUBTITLE B--OPERATING LOANS

Sec. 5201. Limitations on amount of operating loans

    Section 5201 amends Section 313(a) of the Consolidated Farm 
and Rural Development Act to increase the maximum allowable 
indebtedness for guaranteed loans, from $700,000 to $1,750,000 
adjusted for inflation beginning in fiscal year 2019.

Sec. 5202. Microloans

    Section 5202 amends Section 313(c)(2) of the Consolidated 
Farm and Rural Development Act to clarify that the $50,000 
indebtedness for microloans is limited to the specific 
subsection rather than the title.

                 SUBTITLE C--ADMINISTRATIVE PROVISIONS

Sec. 5301. Beginning farmer and rancher individual development accounts 
        pilot program

    Section 5301 amends Section 333B(h) of the Consolidated 
Farm and Rural Development Act to reauthorize appropriations of 
$5,000,000 for the program for each fiscal year through fiscal 
year 2023.

Sec. 5302. Loan authorization levels

    Section 5302 amends Section 346(b)(1) of the Consolidated 
Farm and Rural Development Act to reauthorize existing funding 
levels for loan programs through 2023.

Sec. 5303. Loan fund set-asides

    Section 5303 amends Section 346(b)(2)(A)(ii)(III) of the 
Consolidated Farm and Rural Development Act to extend the 50% 
operating loan funds set aside for qualified beginning farmers 
and ranchers through 2023.

 SUBTITLE D--TECHNICAL CORRECTIONS TO THE CONSOLIDATED FARM AND RURAL 
                            DEVELOPMENT ACT

Sec. 5401. Technical corrections to the Consolidated Farm and Rural 
        Development Act

    Section 5401(a) amends Section 310E(d)(3) of the 
Consolidated Farm and Rural Development Act to clarify 
Congressional intent and resolve ambiguity from prior 
amendments to the Act.
    Section 5401(b) amends Section 321(a) of the Consolidated 
Farm and Rural Development Act to clarify Congressional intent 
and resolve ambiguity from prior amendments to the Act.
    Section 5401(c) amends Section 331D(e) of the Consolidated 
Farm and Rural Development Act to clarify Congressional intent 
and execute a prior amendment that could not be executed 
because of technical errors.
    Section 5401(d) amends Section 333A(f)(1)(A) of the 
Consolidated Farm and Rural Development Act to correct an 
erroneous reference.
    Section 5401(e) amends Section 339(d)(3) of the 
Consolidated Farm and Rural Development Act to capitalize a 
defined term to conform with other references to such term.
    Section 5401(f) amends Section 343(a)(11)(C) of the 
Consolidated Farm and Rural Development Act to clarify 
Congressional intent and conform phrasing within the section.
    Section 5401(g) amends Section 343(b) of the Consolidated 
Farm and Rural Development Act to correct an erroneous 
reference.
    Section 5401(h) amends Section 346(a) of the Consolidated 
Farm and Rural Development Act by striking an errant comma.

         SUBTITLE E--AMENDMENTS TO THE FARM CREDIT ACT OF 1971

Sec. 5501. Elimination of obsolete references

    Section 5501(a) amends Section 1.2(a) of the Farm Credit 
Act of 1971 to update the list of Farm Credit System 
institutions to include Agricultural Credit Banks, Agricultural 
Credit Associations, the Federal Farm Credit Banks Funding 
Corporation, Federal land credit associations, service 
corporations, and the Federal Agricultural Mortgage 
Corporation.
    Section 5501(b) repeals Section 2.4(d) of the Farm Credit 
Act of 1971 which applies to a unique chartering situation that 
has been resolved.
    Section 5501(c) amends Section 3.0 of the Farm Credit Act 
of 1971 to remove an obsolete reference to the Central Bank for 
Cooperatives and the required location of such bank.
    Section 5501(d) amends Section 3.2(a)(1) of the Farm Credit 
Act of 1971 to strike an obsolete reference to the United Bank 
of Cooperatives and National Bank of Cooperatives and clarifies 
the applicability of section 7.12(c) to merged banks for 
cooperatives.
    Section 5501(e) amends Section 3.2(a)(2)(A) of the Farm 
Credit Act of 1971 to strike an obsolete reference to the 
National Bank for Cooperatives.
    Section 5501(f) amends Section 3.2 of the Farm Credit Act 
of 1971 to repeal subsection (b) regarding requirements for the 
board of directors of the now-obsolete Central Bank for 
Cooperatives.
    Section 5501(g) amends Section 3.5 of the Farm Credit Act 
of 1971 to strike an obsolete reference to district banks.
    Section 5501(h) amends Section 3.7(a) of the Farm Credit 
Act of 1971 to strike an obsolete reference to the Central Bank 
for Cooperatives.
    Section 5501(i) amends Section 3.8(b)(1)(A) of the Farm 
Credit Act of 1971 to update an obsolete reference to the Rural 
Electrification Administration.
    Section 5501(j) amends Section 3.9(a) of the Farm Credit 
Act of 1971 to strike an obsolete reference to the Central Bank 
for Cooperatives.
    Section 5501(k) amends Section 3.10(c) of the Farm Credit 
Act of 1971 to strike an obsolete reference to the Central Bank 
for Cooperatives.
    Section 5501(l) amends Section 3.10(d) of the Farm Credit 
Act of 1971 to strike an obsolete reference to district banks.
    Section 5501(m) amends Section 3.11 of the Farm Credit Act 
of 1971 in subsection (b) by striking an obsolete reference to 
district banks and by striking subsection (c) which includes an 
obsolete reference to the Central Bank for Cooperatives.
    Section 5501(n) amends the heading for part B of title III 
of the Farm Credit Act of 1971 to strike an obsolete reference 
to the United Bank for Cooperatives.
    Section 5501(o) amends Section 3.20(a) of the Farm Credit 
Act of 1971 to strike an obsolete reference to the United Bank 
for Cooperatives.
    Section 5501(p) amends Section 3.20(b) of the Farm Credit 
Act of 1971 to update obsolete references to the Central Bank 
for Cooperatives and district banks.
    Section 5501(q) repeals Section 3.21 of the Farm Credit Act 
of 1971 regarding the obsolete requirements for the board of 
directors for consolidated banks.
    Section 5501(r) amends Section 3.28 of the Farm Credit Act 
of 1971 to update an obsolete reference to the Central Bank for 
Cooperatives.
    Section 5501(s) repeals Section 3.29 from the Farm Credit 
Act of 1971 regarding an obsolete reporting requirement for 
merged banks for cooperatives.
    Section 5501(t) repeals Section 4.0 of the Farm Credit Act 
of 1971 regarding the now-defunct revolving fund made available 
to the Farm Credit Administration and to the now-defunct 
Assistance Board.
    Section 5501(u) amends Section 4.8 of the Farm Credit Act 
of 1971 by striking subsection (b) regarding an expired 
authority.
    Section 5501(v) amends Section 4.9(d)(2) of the Farm Credit 
Act of 1971 to prohibit representation from the Farm Credit 
System Insurance Corporation on the board of directors of the 
Federal Farm Credit Banks Funding Corporation.
    Section 5501(w) repeals Section 4.9(e) of the Farm Credit 
Act of 1971 to eliminate obsolete transitional authority 
regarding the Federal Farm Credit Banks Funding Corporation.
    Section 5501(x) amends Section 4.9A(c) of the Farm Credit 
Act of 1971 to remove obsolete provisions and update references 
within a provision regarding the retirement of eligible 
borrower stock at par value.
    Section 5501(y) amends Section 4.12A(a)(1) of the Farm 
Credit Act of 1971 to update references within a provision 
regarding request for stockholder lists.
    Section 5501(z) amends Section 4.14A(a) of the Farm Credit 
Act of 1971 to add a cross-reference to section 4.36.
    Section 5501(aa) amends Section 4.14A of the Farm Credit 
Act of 1971 to strike an outdated reference and repeal 
subsection (h) regarding an expired reporting requirement.
    Section 5501(bb) repeals Section 4.14C of the Farm Credit 
Act of 1971 regarding loan restructuring by a Farm Credit 
System institution that was receiving financial assistance from 
the now-defunct Assistance Board.
    Section 5501(cc) amends Section 4.17 of the Farm Credit Act 
of 1971 to strike an obsolete reference to ``Federal 
intermediate credit banks''.
    Section 5501(dd) amends Section 4.19(a) of the Farm Credit 
Act of 1971 to strike obsolete references.
    Section 5501(ee) amends Section 4.38 of the Farm Credit Act 
of 1971 to remove an obsolete reference to the now-defunct 
Assistance Board.
    Section 5501(ff) amends Section 5.17(a)(2) of the Farm 
Credit Act of 1971 to strike a reference to an obsolete 
situation.
    Section 5501(gg) repeals Section 5.18 of the Farm Credit 
Act of 1971 which sunset 12 months after enactment of the Farm 
Credits Amendments Act of 1985.
    Section 5501(hh) amends Section 5.19(a) of the Farm Credit 
Act of 1971 to remove language that authorizes the Farm Credit 
Administration to examine Federal land bank associations less 
frequently than other Farm Credit System institutions.
    Section 5501(ii) amends Section 5.19(b) of the Farm Credit 
Act of 1971 to strike obsolete authorities that have sunset and 
a provision regarding the now-defunct Assistance Board.
    Section 5501(jj) amends Section 5.35(4) of the Farm Credit 
Act of 1971 to strike obsolete references to dates and to the 
now-defunct Assistance Board.
    Section 5501(kk) amends Section 5.38 of the Farm Credit Act 
of 1971 to remove obsolete references including a reference to 
the now-defunct farm credit district board.
    Section 5501(ll) repeals Section 5.44 of the Farm Credit 
Act of 1971 regarding an obsolete requirement for a GAO report.
    Section 5501(mm) amends Section 5.58(2) of the Farm Credit 
Act of 1971 to remove obsolete references to the now-defunct 
Assistance Board.
    Section 5501(nn) amends Title VI of the Farm Credit Act of 
1971 to repeal Subtitle A which authorizes the now-defunct 
Assistance Board.
    Section 5501(oo) amends Subtitle B of the Farm Credit Act 
of 1971 to insert section 6.32 to authorize the termination of 
the Subtitle on December 31, 2018.
    Section 5501(pp) amends Section 7.9 of the Farm Credit Act 
of 1971 to repeal subsection (c) regarding an obsolete 
authority for stockholders to seek reconsideration of 
association mergers.
    Section 5501(qq) amends Section 7.10(a)(4) of the Farm 
Credit Act of 1971 to remove an obsolete reference.
    Section 5501(rr) amends Section 8.0(2) of the Farm Credit 
Act of 1971 to update the definition of ``board'' to reflect 
its meaning in Section 8.2.
    Section 5501(ss) makes conforming amendments to Section 8.0 
of the Farm Credit Act of 1971.
    Section 5501(tt)(1) amends Section 8.2 of the Farm Credit 
Act of 1971 to repeal subsection (a), which pertains the now-
defunct interim board of Farmer Mac, amend subsection (b)(1) to 
remove obsolete transition provisions, repeal subsection (b)(3) 
which pertains to the timing of the initial selection of the 
permanent board, and to make necessary conforming amendments.
    Section 5501(tt)(2) amends Section 8.4(a)(1) of the Farm 
Credit Act of 1971 to move a provision from the deleted 
paragraph (9) of section 8.2 regarding the offering and 
distribution of voting common stock of Farmer Mac to paragraph 
(1) of Section 8.4(a) and to make necessary and conforming 
amendments.
    Section 5501(uu) amends Section 8.6 of the Farm Credit Act 
of 1971 to repeal now-obsolete subsection (d).
    Section 5501(vv) amends Section 8.32(a) of the Farm Credit 
Act of 1971 to remove outdated transition periods.
    Section 5501(ww) amends Section 8.35 of the Farm Credit Act 
of 1971 to repeal now-obsolete subsection (e).
    Section 5501(xx) repeals now-obsolete Section 8.38 of the 
Farm Credit Act of 1971.

Sec. 5502. Conforming repeals

    Section 5502(a) amends the Agricultural Marketing Act to 
repeal now-obsolete Sections 4, 5, 6, 7, 8, 14, and 15 
regarding the operation of the Farm Credit Administration.
    Section 5502(b) repeals the Act of June 22, 1939 which 
provided terms for loans from the now-defunct Farm Credit 
Administration revolving fund.
    Section 5502(c) amends Section 201 of the Emergency Relief 
and Construction Act of 1932 by repealing subsection (e) which 
provides conditions for the now-obsolete structure of the Farm 
Credit System.
    Section 5502(d) amends the Act of July 14, 1953 to repeal 
section 2 which provides certain terms and conditions for loans 
for which the authorization was repealed in 1961.
    Section 5502(e) amends the Farm Credit Act of 1937 to 
repeal sections 32 through 34 which relate to the now-defunct 
regional agricultural credit corporations.
    Section 5502(f) amends the Act of March 3, 1932 by 
repealing sections 1 through 4 which relate to the now-obsolete 
authority for the Governor of the Farm Credit Administration to 
make loans to the now-defunct local agricultural-credit 
corporations and livestock-loan companies.

Sec. 5503. Facility headquarters

    Section 5503 amends Section 5.16 of the Farm Credit Act of 
1971 by moving language regarding the location of the Farm 
Credit Administration headquarters from Section 4 of the 
Agricultural Marketing Act to Section 5.16(a) of the Farm 
Credit Act of 1971.

Sec. 5504. Sharing privileged and confidential information

    Section 5504 amends Section 5.19 of the Farm Credit Act of 
1971 by inserting a new subsection (e) which provides authority 
for Farm Credit System institutions to provide privileged 
communications they have with attorneys or accountants to the 
Farm Credit Administration without losing the ability assert 
the privilege with respect to others.

Sec. 5505. Scope of jurisdiction

    Section 5505 amends title V of the Farm Credit Act of 1971 
by inserting a new section 5.31A which provides authority for 
the Farm Credit Administration to hold ``institution-affiliated 
parties'' accountable for violations of laws and regulations 
governing the Farm Credit System even after such individuals 
and entities are no longer an ``institution-affiliated party.''

Sec. 5506. Definition

    Section 5506 amends Section 5.35 of the Farm Credit Act of 
1971 to define ``institution-affiliated party.''

Sec. 5507. Expansion of acreage exception to loan amount limitation

    Section 5507 amends Section 8.8(c)(2) of the Farm Credit 
Act of 1971 by increasing from 1,000 to 2,000 the acreage 
limitation under the acreage exception applicable to qualified 
loans under Section 8.8. The amendment does not become 
effective until one year after the Farm Credit Administration 
submits to Congress a study indicating the feasibility of such 
an increase.

Sec. 5508. Compensation of bank directors

    Section 5508 repeals Section 4.21 of the Farm Credit Act of 
1971 which relates the compensation of members of boards of 
directors of Farm Credit System banks.

Sec. 5509. Prohibition on use of funds

    Section 5509 amends section 5.65 of the Farm Credit Act of 
1971 to insert new subsection (e) to clarify that no funds from 
administrative accounts from the Farm Credit Insurance Fund may 
be used by the Corporation to provide assistance to the Federal 
Agricultural Mortgage Corporation, or to support any activities 
related to the Federal Agricultural Mortgage Corporation.

                       SUBTITLE F--MISCELLANEOUS

Sec. 5601. State agricultural mediation programs

    Section 5601 amends Section 506 of the Agricultural Credit 
Act of 1987 to extend the authorization of appropriations of 
$7,500,000 for each fiscal year to carry out the program 
through 2023.

Sec. 5602. Study on loan risk

    Section 5602 requires that the Farm Credit Administration 
conduct a study that analyzes and compares the financial risks 
inherent in loans made, held, securitized, or purchased by Farm 
Credit banks, associations, and the Federal Agricultural 
Mortgage Corporation, and how such risks are required to be 
capitalized under current statute and regulations, and that 
assesses the feasibility of increasing the acreage exception 
provided in section 8.8(c)(2) of the Farm Credit Act of 1971 to 
2,000 acres. The results of the study must be shared with 
Congress no later than 180 days after enactment of this 
provision.

        TITLE VI--RURAL INFRASTRUCTURE AND ECONOMIC DEVELOPMENT

       SUBTITLE A--IMPROVING HEALTH OUTCOMES IN RURAL COMMUNITIES

Sec. 6001. Prioritizing projects to meet health crises in rural America

    Section 6001(a) amends Title VI of the Rural Development 
Act of 1972 to include a new section which provides the 
Secretary the authority to announce a renewable, one-year, 
temporary reprioritization for certain rural development loan 
and grant applications to assist rural communities in 
responding to a specific rural health emergency. It requires 
the Secretary to issue an announcement that specifies the 
emergency, and to provide notice to the relevant congressional 
committees and the Secretary of Health and Human Services.
    Section 6001(b) amends Section 2333(c) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to provide 
that, pursuant to an announcement under subsection (a), at 
least 10 percent of Distance Learning and Telemedicine Program 
funds are reserved for projects that address the rural health 
emergency.
    Section 6001(c) amends Section 306(a) of the Consolidated 
Farm and Rural Development Act to provide that, pursuant to an 
announcement under subsection (a), Community Facilities Program 
funds may be prioritized for projects that address the rural 
health emergency, including facilities that provide prevention, 
treatment, and recovery services.
    Section 6001(d) amends Section 502(i) of the Rural 
Development Act of 1972 to provide that, pursuant to an 
announcement under subsection (a), Rural Health and Safety 
Education Program funds may be prioritized for projects that 
address the rural health emergency.

Sec. 6002. Distance learning and telemedicine

    Section 6002 amends section 2335A of the Food, Agriculture, 
Conservation, and Trade Act of 1990 by increasing the 
authorization of appropriations to $82,000,000 per fiscal year 
and reauthorizing the program through 2023.

Sec. 6003. Reauthorization of the Farm and Ranch Stress Assistance 
        Network

    Section 6003 amends Section 7522 of the Food, Conservation, 
and Energy Act of 2008 by making technical changes, providing 
for new reporting requirements, and reauthorizing the program 
through 2023.

Sec. 6004. Supporting agricultural association health plans

    Section 6004(a) establishes a new loan and grant program to 
assist in the establishment of agricultural association health 
plans.
    Section 6004(b) provides the Secretary with the authority 
to make not more than 10 loans for the purposes of establishing 
agricultural association health plans, and provides for the 
terms of such loans.
    Section 6004(c) provides the Secretary with the authority 
to make grants for the purposes of providing technical 
assistance in establishing agricultural association health 
plans.
    Section 6004(d) authorizes a one-time appropriation of 
$65,000,000 to be available until expended from 2019 through 
2022.
    Section 6004(e) provides the definitions for terms used in 
this section.

     SUBTITLE B--CONNECTING RURAL AMERICANS TO HIGH SPEED BROADBAND

Sec. 6101. Establishing forward-looking broadband standards

    Section 6101 amends Section 601 of the Rural 
Electrification Act of 1936 to require the Secretary to 
promulgate a current minimum acceptable standard of broadband 
service, as well as projections of minimum acceptable standards 
of service for 5, 10, 15, 20, and 30 years into the future. The 
section further prohibits the Secretary from making any loan to 
finance a project that cannot meet the projected minimum 
acceptable standard of service equal to the length of the loan. 
This section also allows the Secretary and the applicant to 
agree to substitute standards if the standards are cost-
prohibitive to meet. Finally, it requires the Secretary to 
require, for the lifetime of the loan, that the project is 
capable of meeting either the minimum standard currently in 
effect or the projected standard in place at the time the loan 
was agreed to.

Sec. 6102. Incentives for hard to reach communities

    Section 6102 amends Title VI of the Rural Electrification 
Act of 1936 to include a new section that creates a grant 
program for borrowers under Title I, II, or VI of the Rural 
Electrification Act who are financing rural broadband projects 
that provide retail service. The section establishes a density 
formula used to qualify for certain grant amounts. The section 
provides that applicants which meet certain maximum density 
thresholds are eligible for a grant to be an increasing 
percentage of the total award.

Sec. 6103. Requiring guaranteed broadband lending

    Section 6103 amends section 601(c)(1) of the Rural 
Electrification Act of 1936 to require the Secretary to provide 
both a direct lending program and a guaranteed lending program 
to finance rural broadband projects.

Sec. 6104. Smart utility authority for broadband

    Section 6104(a) amends section 331 of the Consolidated Farm 
and Rural Development Act to allow a recipient of certain 
grants, loans, or loan guarantees to use not more than 10 
percent of the amount for rural broadband infrastructure 
projects, including both retail and non-retail activities.
    Section 6104(b) amends Title I of the Rural Electrification 
Act of 1936 include a new section to allow a recipient of 
certain grants, loans or loan guarantees to set aside not more 
than 10 percent of the amount for retail broadband service. 
This subsection requires that any funds used for retail 
broadband service must meet the minimum acceptable level of 
broadband service.

Sec. 6105. Modifications to the Rural Gigabit Program

    Section 6105 amends section 603 of the Rural 
Electrification Act of 1936 to authorize the Innovative 
Broadband Advancement Program, in place of the Rural Gigabit 
Network Pilot Program, from 2019 through 2023. It provides 
grants, loans or both to eligible entities for the purpose of 
demonstrating innovative broadband technologies or methods of 
broadband deployment that significantly reduce the cost of 
broadband deployment. Finally, this section provides for 
eligibility requirements and prioritization of awarding 
assistance.

Sec. 6106. Unified broadband reporting requirements

    Section 6106 amends section 601(j) and (k)(2) of the Rural 
Electrification Act of 1936 to require the Secretary to submit 
a single report to Congress describing all the broadband 
financing activities administered by the Secretary.

Sec. 6107. Improving access by providing certainty to broadband 
        borrowers

    Section 6107(a) amends title II of the Rural 
Electrification Act of 1936 to permit the Secretary to obligate 
funds to approved applications while conditioning the 
disbursement of funds on the successful completion of 
environmental, historic, or other reviews of the project. 
Further, it permits the Secretary to deobligate funds if the 
reviews cannot be completed in a reasonable amount of time.
    Section 6107(b) amends section 601(d) of the Rural 
Electrification Act of 1936 to permit the Secretary to obligate 
funds to approved applications while conditioning the 
disbursement of funds on the successful completion of 
environmental, historic, or other reviews of the project. 
Further, it permits the Secretary to deobligate funds if the 
reviews cannot be completed in a reasonable amount of time.

Sec. 6108. Simplified application window

    Section 6108 amends section 601(c)(2)(A) of the Rural 
Electrification Act of 1936 to require the Secretary to require 
one application period per year for the broadband loan program.

Sec. 6109. Elimination of requirement to give priority to certain 
        applicants

    Section 6109 amends section 601(c)(2) of the Rural 
Electrification Act of 1936 to eliminate an unused priority 
category.

Sec. 6110. Modification of buildout requirement

    Section 6110 amends section 601(d)(1)(A)(iii) of the Rural 
Electrification Act of 1936 to provide 5 years for applicants 
to complete the buildout of a project financed under this 
section.

Sec. 6111. Improving borrower refinancing options

    Section 6111(a) amends section 201 of the Rural 
Electrification Act of 1936 to permit the Telephone Loan 
Program to refinance loans made under section 601 of this Act.
    Section 6111(b) amends section 601(i) of the Rural 
Electrification Act of 1936 to permit the Broadband Loan 
Program to refinance other telecommunications loans made under 
this Act.

Sec. 6112. Elimination of unnecessary reporting requirements

    Section 6112 amends section 601(d)(8)(A)(ii) of the Rural 
Electrification Act of 1936 to eliminate certain reporting 
requirements on borrowers.

Sec. 6113. Access to broadband telecommunications services in rural 
        areas

    Section 6113(1) amends section 601(k) of the Rural 
Electrification Act of 1936 by increasing the authorization of 
appropriations to $150,000,000 for each of fiscal years 2019 
through 2023 and reauthorizing the program through fiscal year 
2023.
    Section 6113(2) amends section 601(l) of the Rural 
Electrification Act of 1936 by delaying the termination of 
authority to make loans and loan guarantees until September 30, 
2023.

Sec. 6114. Effective date

    Section 6114(a) provides that amendments made by this 
subtitle shall not take effect until the Secretary has issued 
final regulations to implement the amendments.
    Section 6114(b) provides that the Secretary has 90 days 
after the date of enactment of this Act to finalize regulations 
to implement the amendments made by sections 6101 and 6102.

        SUBTITLE C--CONSOLIDATED FARM AND RURAL DEVELOPMENT ACT

Sec. 6201. Strengthening regional economic development incentives

    Section 6201 amends section 379H of the Consolidated Farm 
and Rural Development Act to require the Secretary to reserve a 
portion of funds for projects that support the implementation 
of a strategic community investment plan and to sets forth the 
requirements for such plans. It requires the Secretary provide 
technical assistance to communities in developing strategic 
community investment plans. Finally this section provides an 
authorization of appropriations $5,000,000 for each fiscal year 
until 2023 for the purposes of carrying out the technical 
assistance.

Sec. 6202. Expanding access to credit for rural communities

    Section 6202(a) amends section 343(a)(13) of the 
Consolidated Farm and Rural Development Act to ensure that any 
community that meets the definition of ``rural'' or ``rural 
area'' is eligible for guaranteed loans for certain programs.
    Section 6202(b) amends section 601(b)(3)(A)(ii) of the 
Rural Electrification Act of 1936 to ensure that any community 
that meets the definition of ``rural'' or ``rural area'' is 
eligible for guaranteed loans in the rural broadband program.

Sec. 6203. Providing for additional fees for guaranteed loans

    Section 6203(a) amends section 333D(b) of the Consolidated 
Farm and Rural Development Act to require the Secretary to 
collect loan fees on insured or guaranteed loans in amounts 
that when combined with any appropriated funds equal the 
subsidy on such loans.
    Section 6203(b) amends section 601(c) of the Rural 
Electrification Act of 1936 to require the Secretary to collect 
fees on loan guarantees in amounts that when combined with any 
appropriated funds equal the subsidy on such guarantees.

Sec. 6204. Water, waste disposal, and wastewater facility grants

    Section 6204 amends section 306(a)(2)(B) of the 
Consolidated Farm and Rural Development Act by increasing the 
maximum amount for revolving funds for financing water and 
wastewater projects to $200,000 while decreasing the 
authorization of appropriations to $15,000,000 for each fiscal 
year and reauthorizing the program until 2023.

Sec. 6205. Rural water and wastewater technical assistance and training 
        programs

    Section 6204(a) amends section 306(a)(14)(A) of the 
Consolidated Farm and Rural Development Act to permit the 
Secretary to provide grants to entities which assist eligible 
rural water systems with long term sustainability planning.
    Section 6204(b) amends section 306(a)(14)(C) of the 
Consolidated Farm and Rural Development Act to increase the 
set-aside of funds to 3 to 5 percent of funds appropriated.

Sec. 6206. Rural water and wastewater circuit rider program

    Section 6206 amends section 306(a)(22)(B) of the 
Consolidated Farm and Rural Development Act by increasing the 
authorization of appropriations to $25,000,000.

Sec. 6207. Tribal college and university essential community facilities

    Section 6207 amends section 306(a)(25)(C) of the 
Consolidated Farm and Rural Development Act by decreasing the 
authorization of appropriations to $5,000,000 for each fiscal 
year and reauthorizes the program until 2023.

Sec. 6208. Emergency and imminent community water assistance grant 
        program

    Section 6208 amends section 306A(i)(1) of the Consolidated 
Farm and Rural Development Act by permitting the Secretary to 
extend the reservation of funds for an additional 120 days in 
order to protect public health. The section further amends 
paragraph (2) by reducing the authorization of appropriations 
to $27,000,000 for each fiscal year and reauthorizes the 
program until 2023.

Sec. 6209. Water systems for rural and native villages in Alaska

    Section 6209 amends section 306D(d)(1) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6210. Household water well systems

    Section 6210 amends section 306E(d) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6211. Solid waste management grants

    Section 6211 amends section 310B(b)(2) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6212. Rural business development grants

    Section 6212 amends section 310B(c)(4)(A) of the 
Consolidated Farm and Rural Development Act by reauthorizing 
the program until 2023.

Sec. 6213. Rural cooperative development grants

    Section 6213 amends section 310B(e)(13) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6214. Locally or regionally produced agricultural food products

    Section 6214 amends section 310B(g)(9)(B)(iv)(I) of the 
Consolidated Farm and Rural Development Act by reauthorizing 
the program until 2023.

Sec. 6215. Appropriate technology transfer for rural areas program

    Section 6215 amends section 310B(i)(4) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6216. Rural economic area partnership zones

    Section 6216 amends section 310B(j) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6217. Intermediary relending program

    Section 6217 amends section 310H(e) of the Consolidated 
Farm and Rural Development Act by reducing the authorization of 
appropriations to $10,000,000 for each fiscal year and 
reauthorizing the program until 2023.

Sec. 6218. Exclusion of prison populations from definition of rural 
        area

    Section 6217 amends section 343(a)(13) of the Consolidated 
Farm and Rural Development Act by excluding incarcerated prison 
populations from inclusion in the determination of whether an 
area is ``rural'' or a ``rural area.''

Sec. 6219. National Rural Development Partnership

    Section 6219 amends section 378 of the Consolidated Farm 
and Rural Development Act by reauthorizing the program until 
2023.

Sec. 6220. Grants for NOAA weather radio transmitters

    Section 6220 amends section 379B(d) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6221. Rural microentrepreneur assistance program

    Section 6221 amends section 379E(d) of the Consolidated 
Farm and Rural Development Act by reducing the authorization of 
appropriations to $4,000,000 for each fiscal year reauthorizing 
the program until 2023.

Sec. 6222. Health care services

    Section 6222 amends section 379G(e) of the Consolidated 
Farm and Rural Development Act by reauthorizing the program 
until 2023.

Sec. 6223. Delta Regional Authority

    Section 6223 amends section 382M(a) of the Consolidated 
Farm and Rural Development Act by reducing the authorization of 
appropriation to $12,000,000 per fiscal year and reauthorizing 
the program until 2023.

Sec. 6224. Northern Great Plains Regional Authority

    Section 6224 amends section 383N(a) of the Consolidated 
Farm and Rural Development Act by reducing the authorization of 
appropriation to $2,000,000 for each fiscal year and 
reauthorizing the program until 2023.

Sec. 6225. Rural business investment program

    Section 6225 amends section 384S of the Consolidated Farm 
and Rural Development Act by reauthorizing the program until 
2023.

             SUBTITLE D--RURAL ELECTRIFICATION ACT OF 1936

Sec. 6301. Guarantees for bonds and notes issued for electrification or 
        telephone purposes

    Section 6301 amends section 313A(f) of the Rural 
Electrification Act of 1936 by reauthorizing the program 
through 2023.

Sec. 6302. Expansion of 911 access

    Section 6302 amends section 315(d) of the Rural 
Electrification Act of 1936 by reauthorizing the program 
through 2023.

Sec. 6303. Improvements to the guaranteed underwriter program

    Section 6303 amends section 313A of the Rural 
Electrification Act of 1936 by striking the requirement that 
loans be made solely for the purpose of electrification or 
telephone purpose under the Act, and requiring instead that 
utility infrastructure loans be made to eligible borrowers 
(electric cooperatives). In addition, section 313A is amended 
to include terms that provide flexibility for the borrower.

Sec. 6304. Extension of the rural economic development loan and grant 
        program

    Section 6304 amends the Rural Electrification Act of 1936 
to create a new section 313B, and to consolidate the statutory 
description of the Rural Economic Development Loan and Grant 
Program in that section. Finally, this section reauthorizes the 
program through 2023.

       SUBTITLE E--FARM SECURITY AND RURAL INVESTMENT ACT OF 2002

Sec. 6401. Rural energy savings program

    Section 6401 amends section 6407 of the Farm Security and 
Rural Investment Act of 2002 by directing the Secretary not to 
include any other debt incurred in the calculation of a 
borrower's debt equity ratio for eligibility purposes, 
increasing the interest rate cap, and directing the Secretary 
to submit a study to authorizing committees on program 
administration. The section reauthorizes the program through 
2023.

Sec. 6402. Biobased markets program

    Section 6402 amends section 9002(i) of the Farm Security 
and Rural Investment Act of 2002 by authorizing appropriations 
of $2,000,000 per fiscal year and reauthorizing the program 
through 2023. Additionally, the section prohibits other federal 
agencies from placing limitations on procurement of wood 
products.

Sec. 6403. Biorefinery, renewable, chemical, and biobased product 
        manufacturing assistance

    Section 6403 amends section 9003 of the Farm Security and 
Rural Investment Act of 2002 by expanding eligibility of 
eligible projects. The section authorizes appropriations of 
$75,000,000 per fiscal year and reauthorizing the program 
through 2023.

Sec. 6404. Repowering assistance program

    Section 6404 amends section 9004 of the Farm Security and 
Rural Investment Act of 2002 by limiting payments to an 
eligible commodity. The section authorizes appropriations of 
$10,000,000 per fiscal year and reauthorizing the program 
through 2023.

Sec. 6405. Bioenergy program for advanced biofuels

    Section 6405 amends section 9005(g) of the Farm Security 
and Rural Investment Act of 2002 by authorizing appropriations 
of $50,000,000 per fiscal year and reauthorizing the program 
through 2023.

Sec. 6406. Biodiesel fuel education program

    Section 6406 amends section 9006(d) of the Farm Security 
and Rural Investment Act of 2002 by authorizing appropriations 
of $2,000,000 per fiscal year and reauthorizing the program 
through 2023.

Sec. 6407. Rural Energy for America Program

    Section 6407 amends section 9007(g) of the Farm Security 
and Rural Investment Act of 2002 by authorizing appropriations 
of $20,000,000 per fiscal year and reauthorizing the program 
through 2023.

Sec. 6408. Rural Energy Self-Sufficiency Initiative

    Section 6408 repeals section 9009 of the Farm Security and 
Rural Investment Act of 2002.

Sec. 6409. Feedstock flexibility

    Section 6409 amends section 9010(b) of the Farm Security 
and Rural Investment Act of 2002 by reauthorizing the program 
through 2023.

Sec. 6410. Biomass Crop Assistance Program

    Section 6410 amends section 9011(f) of the Farm Security 
and Rural Investment Act of 2002 by authorizing appropriations 
of $25,000,000 per fiscal year and reauthorizing the program 
through 2023.

                       SUBTITLE F--MISCELLANEOUS

Sec. 6501. Value-added agricultural product market development grants

    Section 6501 amends section 231(b)(7) of the Agriculture 
Risk Protection Act of 2000 by increasing the authorization of 
appropriations to $50,000,000 per fiscal year and reauthorizing 
the program through 2023.

Sec. 6502. Agriculture innovation center demonstration program

    Section 6502 amends section 6402(i) of the Farm Security 
and Rural Investment Act of 2002 by reauthorizing the program 
through 2023.

Sec. 6503. Regional economic and infrastructure development commissions

    Section 6503 amends section 15751(a) of title 40, United 
States Code, by reauthorizing the commissions through 2023.

Sec. 6504. Definition of rural area for purposes of the Housing Act of 
        1949

    Section 6504 amends section 520 of the Housing Act of 1949 
to update the census years for the purposes of defining 
``rural'' and ``rural area''.

                      SUBTITLE G--PROGRAM REPEALS

Sec. 6601. Elimination of unfunded programs

    Section 6601(a) repeals sections 306(a)(23), 310B(f), 379, 
379A, 379C, 379D, 379F, and Subtitle I of the Consolidated Farm 
and Rural Development Act and makes conforming amendments.
    Section 6601(b) repeals sections 314 and 602 of the Rural 
Electrification Act of 1936 and makes conforming amendments.

Sec. 6602. Repeal of Rural Telephone Bank

    Section 6602 repeals Title IV of the Rural Electrification 
Act of 1936 and makes conforming amendments.

Sec. 6603. Amendments to LOCAL TV Act

    Section 6603 amends the Launching Our Communities' Access 
to Local Television Act of 2000 by retitling it and repealing 
section 1001, 1002, 1003, 1004, 1005, 1006, 1007, 1009, 1010, 
1011, and 1012.

                   SUBTITLE H--TECHNICAL CORRECTIONS

Sec. 6701. Corrections relating to the Consolidated Farm and Rural 
        Development Act

    Section 6701 provides technical corrections to the 
Consolidated Farm and Rural Development Act.

Sec. 6702. Corrections relating to the Rural Electrification Act of 
        1936

    Section 6702 provides technical corrections to the Rural 
Electrification Act of 1936.

          TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS

  SUBTITLE A--NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING 
                           POLICY ACT OF 1977

Sec. 7101. International agriculture research

    Section 7101 amends section 1402 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to add scientific collaboration that leverages resources 
and advances the food and agricultural interests of the United 
States to the list of purposes of federally supported 
agricultural research.

Sec. 7102. Matters related to certain school designations and 
        declarations

    Subsection (a) of section 7102 amends section 1404(14)(A) 
of the National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 to require colleges and universities seeking 
the Non-Land-Grant College of Agriculture designation to offer 
a baccalaureate or higher degree in any area of study specified 
in statute. Subsection (a) also requires the Secretary to 
establish a process to review each designated institution for 
compliance.
    Subsection (b) of section 7102 amends paragraphs (5)(B) and 
(10)(C) of section 1404 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 to extend the 
termination of declaration dates for the definitions of a 
Cooperating Forestry School and a Hispanic-Serving Institution 
through fiscal year 2023.

Sec. 7103. National Agricultural Research, Extension, Education, and 
        Economics Advisory Board

    Section 7103 amends section 1408 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to alter the membership categories of the National 
Agricultural Research, Extension, Education, and Economics 
Advisory Board, decrease the total number of board members to 
15, clarify that the board shall make recommendations to the 
Secretary, and to include AFRI priority areas in its priority 
development process.

Sec. 7104. Specialty crop committee

    Section 7104 amends section 1408A(a)(2) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to extend the termination date of the specialty crop 
committee of the National Agricultural Research, Extension, 
Education, and Economics Advisory Board through fiscal year 
2023 and to increase the number of members of the Citrus 
Disease Subcommittee to 11 by adding two seats for members 
representing California or Arizona.

Sec. 7105. Renewable energy committee discontinued

    Section 7105 strikes section 1408B of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to discontinue the renewable energy committee of the 
National Agricultural Research, Extension, Education, and 
Economics Advisory Board.

Sec. 7106. Report on allocations and matching funds for 1890 
        institutions

    Section 7106 directs the Secretary to submit an annual 
report noting the allocations of Federal funds made to, and 
matching funds received by, 1890 institutions receiving funding 
pursuant to sections 1444 and 1445 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977.

Sec. 7107. Grants and fellowships for food and agriculture sciences 
        education

    Section 7107 amends section 1417(m)(2) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for grants and fellowships 
for food and agriculture sciences education through fiscal year 
2023.

Sec. 7108. Agricultural and food policy research centers

    Section 7108 amends section 1419A(e) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for agricultural and food 
policy research centers through fiscal year 2023.

Section 7109. Education grants to Alaska Native serving institutions 
        and Native Hawaiian serving institutions

    Section 7109 amends section 1419B of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for education grants to 
Alaska native serving institutions and native Hawaiian serving 
institutions through fiscal year 2023.

Sec. 7110. Repeal of nutrition education program

    Section 7110 strikes section 1425 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to discontinue the nutrition education program.

Sec. 7111. Continuing animal health and disease research programs

    Section 7111 amends section 1433(c)(1) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for continuing animal health 
and disease research programs through fiscal year 2023.

Sec. 7112. Extension carryover at 1890 land-grant colleges, including 
        Tuskegee University

    Section 7112 amends section 1444(a) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to remove the carryover limitation for extension at 1890 
land-grant institutions.

Sec. 7113. Scholarships for students at 1890 institutions

    Section 7113 amends subtitle G of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 by adding 
section 1446 to direct the Secretary to establish and carry out 
a grant program to 1890 land-grant institutions for purposes of 
awarding scholarships. $19,000,000 is authorized to be 
appropriated for each fiscal year 2019 through 2023. Each grant 
made shall be in the amount of $1,000,000.

Sec. 7114. Grants to upgrade agricultural and food sciences facilities 
        at 1890 land-grant colleges, including Tuskegee University

    Section 7114 amends section 1447(b) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for grants to upgrade 
agricultural and food sciences facilities at 1890 land-grant 
institutions through fiscal year 2023.

Sec. 7115. Grants to upgrade agriculture and food sciences facilities 
        and equipment at insular area land-grant institutions

    Section 7115 amends section 1447B(d) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for grants to upgrade 
agriculture and food sciences facilities and equipment at 
insular area land-grant institutions through fiscal year 2023.

Sec. 7116. Hispanic-serving institutions

    Section 7116 amends section 1455(c) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for education grants to 
Hispanic-serving institutions through fiscal year 2023.

Sec. 7117. Land-grant designation

    Section 7117 amends subtitle C of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 by adding 
new section 1419C to prevent additional entities from being 
designated as eligible to receive capacity program or grant 
funding.

Sec. 7118. Competitive grants for international agricultural science 
        and education programs

    Section 7118 amends section 1459A(c)(2) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for competitive grants for 
international agricultural science and education programs 
through fiscal year 2023.

Sec. 7119. Limitation on indirect costs for agricultural research, 
        education, and extension programs

    Section 7119 amends section 1462 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to increase the limitation of indirect costs for 
agricultural research, education, and extension programs to 30 
percent, and clarify that the limitation shall apply to both 
the initial grant award and any subgrant, so that the total of 
all indirect costs charged against the total of Federal funds 
provided under the initial grant award does not exceed such 
limitation.

Sec. 7120. Research equipment grants

    Section 7120 amends the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 by adding section 
1462A to authorize appropriations for research equipment grants 
for fiscal years 2019 through 2023.

Sec. 7121. University research

    Section 7121 amends section 1463 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for various agricultural 
research programs, including research at State agricultural 
experiment stations, through fiscal year 2023.

Sec. 7122. Extension service

    Section 7122 amends section 1464 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations to carry out USDA extension 
programs through fiscal year 2023.

Sec. 7123. Supplemental and alternative crops

    Section 7123 amends section 1473D of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for supplemental and 
alternative crops through fiscal year 2023, to include canola 
as a supplemental or alternative crop, and to emphasize the 
importance of supplemental or alternative crops for agronomical 
rotational purposes and for use as habitat for honey bees and 
other pollinators.

Sec. 7124. Capacity building grants for NLGCA institutions

    Section 7124 amends section 1473F(b) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for capacity building grants 
for Non Land-Grant College of Agriculture institutions through 
fiscal year 2023.

Sec. 7125. Aquaculture assistance programs

    Section 7125 amends section 1477(a)(2) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for aquaculture assistance 
programs through fiscal year 2023.

Sec. 7126. Rangeland research programs

    Section 7126 amends section 1483(a)(2) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to reauthorize appropriations for rangeland research 
programs through fiscal year 2023.

Sec. 7127. Special authorization for biosecurity planning and response

    Section 7127 amends section 1484 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to increase the authorization of appropriations to 
$30,000,000 each year through fiscal year 2023, to allow for 
funds to be used to enter into cooperative agreements in 
addition to grants, and to add the coordination of tactical 
science activities to the list of eligible uses of funds.

Sec. 7128. Distance education and resident instruction grants program 
        for insular area institutions of higher education

    Subsection (a) of section 7128 amends section 1490(f)(2) of 
the National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 to reauthorize appropriations for distance 
education grants for insular areas through fiscal year 2023.
    Subsection (b) of section 7128 amends section 1491(c)(2) of 
the National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 to reauthorize appropriations for resident 
instruction grants for insular areas through fiscal year 2023.

Sec. 7129. Removal of matching funds requirement

    Section 7129 amends section 1492(d) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977 to strike the Competitive, Special, and Facilities 
Research Grant Act from the list of covered laws subject to the 
matching requirement.

  SUBTITLE B--FOOD, AGRICULTURE, CONSERVATION, AND TRADE ACT, OF 1990

Sec. 7201. Best utilization of biological applications

    Section 7201 amends section 1624 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 to reauthorize 
appropriations for best utilization of biological applications 
through fiscal year 2023.

Sec. 7202. Integrated management systems

    Section 7202 amends section 1627(d) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
appropriations for integrated management systems through fiscal 
year 2023.

Sec. 7203. Sustainable Agriculture Technology Development and Transfer 
        Program

    Section 7203 amends section 1628(f)(2) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
appropriations for the Sustainable Agriculture Technology 
Development and Transfer Program through fiscal year 2023.

Sec. 7204. National Training Program

    Section 7204 amends section 1629(i) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
appropriations for a National Training Program in Sustainable 
Agriculture through fiscal year 2023.

Sec. 7205. National Genetics Resources Program

    Section 7205 amends section 1635(b)(2) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
appropriations for the National Genetics Resources Program 
through fiscal year 2023.

Sec. 7206. National Agricultural Weather Information System

    Section 7206 amends section 1641(c) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
appropriations for the National Agricultural Weather 
Information System through fiscal year 2023.

Sec. 7207. Agricultural genome to phenome initiative

    Section 7207 amends section 1671 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 to change the name to the 
Agricultural Genome to Phenome Initiative, add phenome related 
language to the program's goals and duties of the Secretary, 
and authorize appropriations of $30,000,000 for fiscal years 
2019 through 2023.

Sec. 7208. High-priority research and extension initiatives

    Section 7208 amends section 1672 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 to change the name of the 
Alfalfa and Forage Research Program to Alfalfa Seed and Alfalfa 
Forage Systems Research Program and making corresponding 
changes throughout the program authority; authorize the 
Macadamia Tree Health Initiative, the National Turfgrass 
Research Initiative, the Fertilizer Management Initiative, the 
Cattle Fever Tick Program, and the Laying Hen and Turkey 
Research Program; and reauthorize appropriations for the Pulse 
Crop Health Initiative, training coordination for food and 
agriculture protection, pollinator protection, and listed high-
priority research and extension initiatives through fiscal year 
2023.

Sec. 7209. Organic agriculture research and extension initiative

    Section 7209 amends section 1672B of the Food, Agriculture, 
Conservation, and Trade Act of 1990 to add ``soil health'' to 
the list of program funding priorities, increase the 
authorization of mandatory funding to $30,000,000 for fiscal 
years 2019 through 2023, and reauthorize appropriations through 
fiscal year 2023.

Sec. 7210. Farm business management

    Section 7210 amends section 1672D of the Food, Agriculture, 
Conservation, and Trade Act of 1990 to clarify the purpose of 
the program and to reauthorize appropriations for farm business 
management through fiscal year 2023.

Sec. 7211. Clarification of veteran eligibility for assistive 
        technology program for farmers with disabilities

    Section 7211 amends section 1680 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 to clarify the eligibility 
of veterans with disabilities for program assistance and to 
reauthorize appropriations for the program through fiscal year 
2023.

Sec. 7212. National Rural Information Center Clearinghouse

    Section 7212 amends section 2381(e) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
appropriations for the National Rural Information Clearinghouse 
through fiscal year 2023.

SUBTITLE C--AGRICULTURAL RESEARCH, EXTENSION, AND EDUCATION REFORM ACT 
                                OF 1998

Sec. 7301. National Food Safety Training, Education, Extension, 
        Outreach, and Technical Assistance Program

    Section 7301 amends section 405(j) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 to 
reauthorize appropriations for the National Food Safety 
Training, Education, Extension, Outreach, and Technical 
Assistance Program through fiscal year 2023.

Sec. 7302. Integrated research, education, and extension competitive 
        grants program

    Section 7302 amends section 406(e) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 to 
reauthorize appropriations for integrated research, education, 
and extension competitive grants through fiscal year 2023.

Sec. 7303. Support for research regarding diseases of wheat, triticale, 
        and barley caused by Fusarium graminearum or by Tilletia indica

    Section 7303 amends section 408(e)(2) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 to 
reauthorize appropriations for research regarding diseases of 
wheat, triticale, and barley caused by Fusarium graminearum or 
by Tilletia indica through fiscal year 2023.

Sec. 7304. Grants for youth organizations

    Section 7304 amends section 410(d)(2) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 to 
reauthorize appropriations for grants for youth organizations 
section 2023.

Sec. 7305. Specialty Crop Research Initiative

    Subsection (a) of section 7305 amends section 412(b) of the 
Agricultural Research, Extension, and Education Reform Act of 
1998 to clarify priority language regarding the critical needs 
of the specialty crop industry.
    Subsection (b)(1) of section 7305 amends section 412(j)(5) 
of the Agricultural Research, Extension, and Education Reform 
Act of 1998 to reauthorize appropriations for the Emergency 
Citrus Disease Research and Extension Program through fiscal 
year 2023.
    Subsection (b)(2) of section 7305 amends section 
412(k)(1)(C) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 to extend the reservation of 
mandatory funding for the Emergency Citrus Disease Research and 
Extension Program through fiscal year 2023.
    Subsection (c) of section 7305 amends section 412(k)(2) of 
the Agricultural Research, Extension, and Education Reform Act 
of 1998 to reauthorize appropriations for the Specialty Crop 
Research Initiative through fiscal year 2023.

Sec. 7306. Food Animal Residue Avoidance Database Program

    Section 7306 amends section 604(e) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 to 
reauthorize appropriations for the Food Animal Residue 
Avoidance Database Program through fiscal year 2023.

Sec. 7307. Office of Pest Management Policy

    Section 7307 amends section 614(f)(2) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 to 
reauthorize appropriations for the Office of Pest Management 
Policy through fiscal year 2023.

Sec. 7308. Forestry products advanced utilization research

    Section 7308 amends section 617(f)(1) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 to 
reauthorize appropriations for forestry products advanced 
utilization research through fiscal year 2023.

         SUBTITLE D--FOOD, CONSERVATION, AND ENERGY ACT OF 2008

                     PART I--AGRICULTURAL SECURITY

Sec. 7401. Agricultural Biosecurity Communication Center

    Section 7401 amends section 14112(c)(2) of the Food, 
Conservation, and Energy Act of 2008 to reauthorize 
appropriations for the Agricultural Biosecurity Communication 
Center through fiscal year 2023.

Sec. 7402. Assistance to build local capacity in agricultural 
        biosecurity planning, preparation, and response

    Section 7402 amends section 14113 of the Food, 
Conservation, and Energy Act of 2008 to reauthorize 
appropriations for advanced training programs and assessment 
and response capability in agricultural biosecurity through 
fiscal year 2023.

Sec. 7403. Research and development of agricultural countermeasures

    Section 7403 amends section 14121(b)(2) of the Food, 
Conservation, and Energy Act of 2008 to reauthorize 
appropriations for research and development of agricultural 
countermeasures through fiscal year 2023.

Sec. 7404. Agricultural Biosecurity Grant Program

    Section 7404 amends section 14122(e)(2) of the Food, 
Conservation, and Energy Act of 2008 to reauthorize 
appropriations for the Agricultural Biosecurity Grant Program 
through fiscal year 2023.

                         PART II--MISCELLANEOUS

Sec. 7411. Grazinglands Research Laboratory

    Section 7411 amends section 7502 of the Food, Conservation, 
and Energy Act of 2008 to extend the date that the Grazinglands 
Research Laboratory cannot be declared excess or surplus 
Federal property through fiscal year 2023.

Sec. 7412. National Products Research Program

    Section 7412 amends section 7525(e) of the Food, 
Conservation, and Energy Act of 2008 to reauthorize 
appropriations for the Natural Products Research Program 
through fiscal year 2023.

Sec. 7413. Sun Grant Program

    Section 7413 amends section 7526(g) of the Food, 
Conservation, and Energy Act of 2008 to reauthorize 
appropriations for the Sun Grant Program through fiscal year 
2023.

                  SUBTITLE E--AMENDMENTS TO OTHER LAWS

Sec. 7501. Critical Agricultural Materials Act

    Section 7501 amends section 16(a)(2) of the Critical 
Agricultural Materials Act to reauthorize appropriations 
through fiscal year 2023.

Sec. 7502. Equity in Education Land-Grant Status Act of 1994

    Subsection (a) of section 7502 amends section 532 of the 
Equity in Education Land-Grant Status Act of 1994 to update the 
list of 1994 institutions.
    Subsection (b) of section 7502 amends section 533(b) of the 
Equity in Education Land-Grant Status Act of 1994 to 
reauthorize appropriations for the endowment for 1994 
institutions through fiscal year 2023.
    Subsection (c) of section 7502 amends section 535 of the 
Equity in Education Land-Grant Status Act of 1994 to 
reauthorize appropriations for 1994 institutional capacity 
building grants through fiscal year 2023.
    Subsection (d) of section 7502 amends section 536(c) of the 
Equity in Education Land-Grant Status Act of 1994 to 
reauthorize research grants for 1994 institutions through 
fiscal year 2023.

Sec. 7503. Research Facilities Act

    Subsection (a) of section 7503 amends sections 2(1) and 
3(c)(2)(D) of the Research Facilities Act to clarify program 
eligibility.
    Subsection (b) of section 7503 amends section 3(c)(2)(D) of 
the Research Facilities Act to include maintenance costs within 
the criteria for submitted proposals.
    Subsection (c) of section 7503 adds section 4 to the 
Research Facilities Act to direct the Secretary to establish a 
competitive grant program to assist in construction and 
maintenance of agricultural research facilities.
    Subsection (d) of section 7503 amends section 6 of the 
Research Facilities Act to reauthorize appropriations through 
fiscal year 2023 and impose project funding limitations.

Sec. 7504. Competitive, Special, and Facilities Research Grant Act

    Section 7504 amends subsection (b) of section 2 of the 
Competitive, Special, and Facilities Research Grant Act to 
update priority areas to include soil health, automation and 
mechanization for labor intensive tasks in the production and 
distribution of crops, bridges to farm entry for young, 
beginning, socially disadvantaged, veteran, and immigrant 
farmers and ranchers; make conforming amendments necessary due 
to the removal of the Competitive, Special, and Facilities 
Research Grant Act from the list of covered laws subject to 
matching requirements under section 1492 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 
1977; reauthorize appropriations for the Agriculture and Food 
Research Initiative through fiscal year 2023, and increase the 
amount the Secretary may retain for administrative costs to 5 
percent.

Sec. 7505. Renewable Resources Extension Act of 1978

    Subsection (a) of section 7505 amends section 6 of the 
Renewable Resources Extension Act of 1978 to reauthorize 
appropriations through fiscal year 2023.
    Subsection (b) of section 7505 amends section 8 of the 
Renewable Resources Extension Act of 1978 to extend the 
termination date through fiscal year 2023.

Sec. 7506. National Aquaculture Act of 1980

    Section 7506 amends section 10 of the National Aquaculture 
Act of 1980 to reauthorize appropriations through fiscal year 
2023.

Sec. 7507. Beginning Farmer and Rancher Development Program

    Section 7507 amends section 7405 of the Farm Security and 
Rural Investment Act of 2002 to authorize the Secretary to 
enter into cooperative agreements, make structural changes to 
the authorization, add various priority areas, reauthorize 
mandatory funding of $20 million each fiscal year through 2023, 
and reauthorize appropriations through fiscal year 2023.

Sec. 7508. Federal agriculture research facilities

    Section 7508 amends section 1431 of the National 
Agricultural Research, Extension, and Teaching Policy Act 
Amendments of 1985 to reauthorize appropriations for federal 
agriculture research facilities through fiscal year 2023.

Sec. 7509. Biomass research and development

    Section 7509 amends section 9008(h) of the Farm Security 
and Rural Investment Act of 2002 to reauthorize appropriations 
for biomass research and development through fiscal year 2023.

                       SUBTITLE F--OTHER MATTERS

Sec. 7601. Enhanced use lease authority pilot program

    Subsection (a) of section 7601 amends section 308(a) of the 
Department of Agriculture Reorganization Act of 1994 to strike 
``pilot'' from the program's title and from an additional 
program reference.
    Subsection (b) of section 7601 amends section 308(b)(1)(C) 
of the Department of Agriculture Reorganization Act of 1994 to 
clarify allowed activities during a lease agreement.
    Subsection (c) of section 7601 amends section 308(b)(6) of 
the Department of Agriculture Reorganization Act of 1994 to 
extend the termination of authority through fiscal year 2023.
    Subsection (d) of section 7601 amends section 308(d)(2) of 
the Department of Agriculture Reorganization Act of 1994 to 
extend the reporting requirement through fiscal year 2023.

Sec. 7602. Function and duties of the Under Secretary

    Section 7602 amends subparagraph (B) of section 251(d)(2) 
of the Department of Agriculture Reorganizations Act of 1994 to 
ensure that in carrying out the agricultural research, 
education, extension, economics, and statistical programs of 
the department, the Under Secretary consider AFRI priorities.

Sec. 7603. Reinstatement of District of Columbia matching requirement 
        for certain land-grant university assistance

    Section 7603 amends section 209(c) of the District of 
Columbia Public Postsecondary Education Reorganization Act to 
require the District of Columbia to provide matching funds for 
Federal capacity appropriations.

Sec. 7604. Farmland tenure, transition, and entry data initiative

    Section 7604 authorizes appropriations of $2,000,000 each 
year through fiscal year 2023 to collect and report data and 
analysis on farmland ownership, tenure, transition, and entry 
of beginning farmers.

Sec. 7605. Transfer of administrative jurisdiction, portion of Henry A. 
        Wallace Beltsville Agricultural Research Center, Beltsville, 
        Maryland

    Section 7705 authorizes the Secretary to transfer 
administrative jurisdiction of roughly 100 acres of the 
Beltsville Agricultural Research Center to the Secretary of the 
Treasury.

Sec. 7606. Simplified plan of work

    Section 7607 simplifies the plan of work that is required 
by entities who receive formula funding through the Smith-Lever 
Act, Hatch Act, Evans-Allen grants, and 1890 institutions 
extension grants.

Sec. 7607. Time and effort reporting exemption

    Section 7607 exempts any entity receiving formula funds 
through the Smith-Lever Act, Hatch Act, Evans-Allen grants, 
1890 institutions extension grants, and McIntire-Stennis grants 
from time and effort reporting with respect to the use of 
formula funds.

                          TITLE VIII--FORESTRY

   SUBTITLE A--REAUTHORIZATION AND MODIFICATION OF CERTAIN FORESTRY 
                                PROGRAMS

Sec. 8101. Support for State assessments and strategies for forest 
        resources

    Section 8101 amends section 2A(f)(1) of the Cooperative 
Forestry Assistance Act of 1978 by reauthorizing the funding 
for the required state assessment through 2023.

Sec. 8102. Forest legacy program

    Section 8102 amends section 7 of the Cooperative Forestry 
Assistance Act of 1978 by removing the authorization of 
appropriations of ``such sums as necessary'' and authorizing 
$35,000,000 for each of fiscal years 2019 through 2023.

Sec. 8103. Community forest and open space conservation program

    Section 8103 amends section 7A of the Cooperative Forestry 
Assistance Act of 1978 by removing the authorization of 
appropriations of ``such sums as necessary'' and authorizing 
$5,000,000 for each of fiscal years 2019 through 2023.

Sec. 8104. State and private forest landscape-scale restoration program

    Section 8104 amends section 13A of the Cooperative Forestry 
Assistance Act of 1978 to establish a landscape-scale 
restoration program.
    Subsection (a) of the new program enumerates the purpose of 
the program as supporting activities that result in 
improvements to public benefits derived from State and private 
forest land.
    Subsection (b) provides for the relevant definitions.
    Subsection (c) establishes the program that provides 
financial and technical assistance for projects that maintain 
or improve benefits to trees and forests on land.
    Subsection (d) enumerates the requirements under the 
program.
    Subsection (e) requires the Secretary to establish a 
measurement tool to quantify the results of projects.
    Subsection (f) allocates funding for projects equally 
between a national competitive process and to States.
    Subsection (g) requires that the allocation through the 
competitive process maximize the achievement of the objects of 
the program. The subsection further requires the submission of 
proposals to the Secretary to be considered for the competitive 
process. The subsection requires the Secretary to give priority 
to proposals that best carry out priorities identified though 
the State-wide assessments.
    Subsection (h) requires the Secretary to submit a report to 
Congress, not later than 3 years of the passage of the Farm 
Bill that describes the status of the implementation of the 
program, an accounting of expenditures under the program, and 
specific accomplishments that have resulted from projects under 
the program.
    Subsection (i) authorizes $10,000,000 to carry out the 
program for each of fiscal years 2019 through 2023, to remain 
available until expended.

Sec. 8105. Rural revitalization technologies

    Section 8105 amends section 2371(d)(2) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
the Rural Revitalization Technologies Program at the current 
level of $5,000,000 through 2023.

Sec. 8106. Community wood energy and wood innovation program

    Section 8106 amends section 9013 to amend the Community 
Wood Energy and Wood Innovation Program to include public and 
private facilities in the program. The section further 
establishes a priority to projects that use low value, low 
quality wood. The section includes an authorization of 
appropriations for $25,000,000 for each of fiscal years 2019 
through 2023.

Sec. 8107. Healthy Forests Restoration Act of 2003 amendments

    Paragraph (1) of subsection (a) of section 8107 amends 
section 501(a) of the Healthy Forests Restoration Act of 2003 
to expand the purposes of the program to include the 
conservation of land that provides habitat for certain species 
and to ensure that forests that already provide suitable 
habitat, but are at risk for conversion, are eligible. 
Paragraph (2) amends section 502(b) of the Healthy Forests 
Restoration Act of 2003 by limiting eligibility to ensure that 
the land is not only restored but also provides benefits to 
specific types of species. Paragraphs (3) and (4) amend section 
502(c) and 502(e) to include conservation of forest lands that 
provide habitat to certain species as a consideration for 
enrollment of land under the program and are given a priority. 
Paragraph (5) amends section 502(e)(2)(B) to allow Indian 
tribes to sell permanent easements on lands they own in fee 
simple. Paragraph (6) is a technical amendment. Paragraph (7) 
amends section 503(b) to clarify that restoration can be 
achieved through forest management. Paragraph (8) reauthorizes 
the appropriations for the program at the current level of 
$12,000,000 each year through fiscal year 2023. Paragraph (9) 
is a technical correction.
    Paragraph (1) of subsection (b) of section 8107 amends 
section 602(d)(1) to expand Healthy Forest treatment areas to 
include priority projects that reduce hazardous fuels. 
Paragraph (2) extends the authority for treatment areas.
    Subsection (c) includes a clarifying amendment and 
increases the project size limitation of the categorically 
excluded collaborative restoration projects from 3,000 acres to 
6,000 acres.

Sec. 8108. National Forest Foundation Act authorities

    Subsection (a) of section 8108 amends section 405(b) of the 
National Forest Foundation Act by reauthorizing the Secretary's 
authority to provide matching funds for the administration and 
expenses incurred by the Forest Foundation.
    Subsection (b) amends section 410(b) of the National Forest 
Foundation Act by reauthorizing the appropriations at the 
current level of $3,000,000 each of fiscal years through 2023 
to provide for matching funds to be made available for the 
Forest Foundation.

 SUBTITLE B--SECURE RURAL SCHOOLS AND COMMUNITY SELF-DETERMINATION ACT 
                           OF 2000 AMENDMENTS

Sec. 8201. Use of reserved funds for Title II projects on Federal land 
        and certain non-Federal land

    Section 8201 amends section 204(f) of the Secure Rural 
Schools and Community Self-Determination Act of 2000 to require 
50% of Title II funds be spent on projects which include sale 
of forest products and meet land management objectives.

Sec. 8202. Resource advisory committees

    Subsection (a) of section 8202 amends section 205(a)(4) of 
the Secure Rural Schools and Community Self-Determination Act 
of 2000 to extend Title II Resource Advisory Committee (RAC) 
functions, membership through fiscal year 2023.
    Subsection (b) amends section 205(d) of the Secure Rural 
Schools and Community Self-Determination Act of 2000 to reduce 
the membership of RACs from 15 to 9 and to reduce the members 
that are representative of community interests from 5 to 3.
    Subsection (c) adds a requirement for members of the RAC to 
reside in the county or adjacent county where the RAC has 
jurisdiction.
    Subsection (d) allows for a designee of the Secretary to 
perform certain functions.

Sec. 8203. Program for Title II self-sustaining resource advisory 
        committee projects

    Section 8203 amends Title II of the Secure Rural Schools 
and Community Self-Determination Act of 2000 by authorizing the 
Chief of the Forest Service to choose ten RACs that may retain 
revenue from projects to fund future projects that accomplish 
forest management objectives.

 SUBTITLE C--AVAILABILITY OF CATEGORICAL EXCLUSIONS TO EXPEDITE FOREST 
                         MANAGEMENT ACTIVITIES

Part I--General Provisions

Sec. 8301. Definitions

    Section 8301 provides the relevant definitions for Subtitle 
C.

Sec. 8302. Rule of application for National Forest System Lands and 
        public lands

    Section 8302 is a rule of application, limiting the 
application of the authorities provided by subtitle C to 
National Forest or public lands that are not in the National 
Wilderness Preservation System, within an inventoried roadless 
area (unless the forest management activity is consistent with 
the applicable forest plan or allowed under the applicable 
roadless rule), or land on which timber harvest is prohibited 
by Federal law.

Sec. 8303. Consultation under the Endangered Species Act

    Subsection (a) removes the requirement for consultation 
under section 7 of the Endangered Species Act for a project 
carried out by the Forest Service if the project is found not 
likely to adversely affect a listed species.
    Subsection (b) allows for an expedited consultation where 
the projects conducted under a CE for which a section 7 
consultation is required, the action is deemed to have complied 
with the requirements of Section 7 after 90 days.

Sec. 8304. Secretarial discretion in the case of two or more 
        categorical exclusions

    Section 8304 clarifies that if a forest management activity 
might fall under more than one of the categorical exclusions, 
the Secretary has full discretion in determining which 
categorical exclusion to apply.

Part II--Categorical Exclusions

Sec. 8311. Categorical exclusion to expedite certain critical response 
        actions

    Subsections (a) and (b) of section 8302 authorize the use 
of CEs for addressing insect and disease infestation, reducing 
hazardous fuel loads, protecting municipal water sources, 
improving or enhancing critical habitat, and increasing water 
yield.
    Subsection (c) provides for the availability of CEs under 
this section.
    Subsection (d) limits the size of the CEs to 6,000 acres.

Sec. 8312. Categorical exclusion to expedite salvage operations in 
        response to catastrophic events

    Subsection (a) of section 8303 authorizes the use of CEs 
for specific salvage operations carried out by the Secretary.
    Subsection (b) provides for the availability of CEs under 
this section.
    Subsection (c) limits the size of the CE to 6,000 acres.
    Subsection (d) requires that salvage operations covered by 
a CE under this section protect streams and stream buffers as 
provided in the forest plan. The subsection further requires 
the development of a reforestation plan as part of the salvage 
operation.

Sec. 8313. Categorical exclusion to meet forest plan goals for early 
        successional forests

    Subsections (a) and (b) of section 8304 authorize the use 
of CEs for the modification, improvement, enhancement, or 
creation of early successional forests for wildlife habitat 
improvement.
    Subsection (c) provides for the availability of the CE 
under this section.
    Subsection (d) directs the Secretary to maximize production 
and regeneration of priority species in the development of a 
forest management activity conducted under this section.
    Subsection (e) limits the size of the CEs to 6,000 acres.

Sec. 8314. Categorical exclusions for hazard trees

    Section 8305 authorizes the use of CEs in order to remove 
hazardous trees and salvage timber to protect public safety, 
water supply, or public infrastructure.

Sec. 8315. Categorical exclusion to improve or restore National Forest 
        System lands or public land or reduce the risk of wildfire

    Subsections (a) and (b) of section 8314 authorize the use 
of CEs for certain activities when the purpose of those 
activities is to improve, restore, or reduce the risk of 
wildfire on Forest System or public lands.
    Subsection (c) provides for the availability of CEs under 
this section.
    Subsection (d) limits the size of the CEs to 6,000 acres.
    Subsection (e) provides the pertinent definitions.

Sec. 8316. Categorical exclusion for forest restoration

    Subsection (a) and (b) of section 8315 establish a CE for 
certain forest management activities on National Forest System 
lands, including timber harvest, hazardous, fuel reduction, and 
prescribed burning.
    Subsection (c) provides for the availability of CEs under 
this section.
    Subsection (d) limits the size of the CEs to 6,000 acres.
    Subsection (e) provides for limitations on the building of 
permanent and temporary roads under this CE.

Sec. 8317. Categorical exclusion for infrastructure forest management 
        activities

    Section 8317 establishes a CE for certain forest management 
activities related to infrastructure on National Forest System 
land, including activities related to roads, bridges, dams, and 
other facilities.

Sec. 8318. Categorical exclusion for developed recreation sites

    Section 8318 establishes a CE for certain forest management 
activities on National Forest System lands related to the 
operation, maintenance, modification, reconstruction or 
decommissioning of existing recreation sites.

Sec. 8319. Categorical exclusion for administrative sites

    Subsections (a) and (b) of section 8318 establish a CE for 
certain forest management activities on National Forest System 
lands related to the construction, maintenance, 
decommissioning, relocation, and disposal of administrative 
sites.
    Subsection (c) provides for the availability of CEs under 
this section.
    Subsection (d) provides for a limitation on roads and 
pesticide use.
    Subsection (e) provides a definition for administrative 
site.

Sec. 8320. Categorical exclusion for special use authorization

    Subsections (a) and (b) of section 8320 establish a CE for 
certain forest management activities on National Forest System 
lands related to special use authorizations.
    Subsection (c) provides for the availability of CEs under 
this section.
    Subsection (d) requires the preparation of certain 
documents in order to use the CE.

Sec. 8321. Clarification of existing categorical exclusion authority 
        related to insect and disease infestation

    Section 8321 amends section 603(c)(2)(B) of the Healthy 
Forests Restoration Act of 2003 to include Fire Regime IV and V 
(Lodgepole pine) in the Insect & Disease Categorical Exclusion 
included in the 2014 Farm Bill.

Part III--Miscellaneous Forest Management Activities

Sec. 8331. Good neighbor agreements

    Section 8331 amends section 8206 of the Agricultural Act of 
2014 to extend the ability to use good neighbor authority to 
Indian Tribes.

Sec. 8332. Promoting cross-boundary wildfire mitigation

    Section 8332 amends section 103 of the Healthy Forests 
Restoration Act of 2003 by including funding from the Forest 
Service's wildland fire hazardous fuels funding to perform 
cross-boundary work to reduce hazardous fuels, when the funding 
exceeds $300,000,000 in any year. The section further amends 
section 103 by adding a new subsection that requires the funds 
to be used on Federal, State, county, tribal or private lands. 
The subsection also prioritizes high risk areas for use of the 
funds.

Sec. 8333. Regulations regarding designation of dead or dying trees of 
        certain tree species on National Forest System lands in 
        California as exempt from prohibition on export of unprocessed 
        timber originating from Federal lands

    Subsection (a) of section 8333 directs the Secretary to 
issue rulemaking to determine that unprocessed timber from the 
National Forest System lands in California is considered 
surplus to domestic needs and is therefore exempt from export 
prohibitions.
    Subsection (b) requires the Secretary to consult with 
representatives of sawmills in California and make a reasonable 
effort to avoid adverse impacts to the industry.
    Subsection (c) allows the Secretary to adjust contract 
provisions in region 5 of the National Forest System to carry 
out this section.
    Subsection (d) exempts timber harvested under this section 
from the limitation of substitution of unprocessed Federal 
timber.
    Subsection (e) provides authority to hire additional staff 
to implement the regulations issued under subsection (a).
    Subsection (f) requires the regulations to remain in effect 
for 10 years with periodic review.
    Subsection (g) provides relevant definitions for this 
section.

        SUBTITLE D--TRIBAL FORESTRY PARTICIPATION AND PROTECTION

Sec. 8401. Protection of Tribal forest assets through use of 
        stewardship end result contracting and other authorities

    Subsection (a) of section 8401 amends section 2(b) of the 
Tribal Forest Protection Act of 2004 authorizing Federal land 
management agencies up to 120 days to respond to Tribal 
requests for forest management on agency lands and two years to 
complete the analysis.
    Subsection (b) includes conforming amendments.

Sec. 8402. Management of Indian forest land authorized to include 
        related National Forest System lands and public lands

    Section 8402 amends section 305 of the National Indian 
Forest Resources Management Act to give authority to Indian 
Tribes to request to conduct forest management activities on 
Federal lands where they have a Tribal interest. The authority 
to conduct those activities would come from authorities on 
Indian lands.

Sec. 8403. Tribal forest management demonstration projects

    Section 8403 authorizes demonstration projects through 
which Tribes may contract to perform administrative, 
management, and other functions of the Tribal Forest Protection 
Act.

                       SUBTITLE E--OTHER MATTERS

Sec. 8501. Clarification of research and development program for wood 
        building construction

    Subsection (a) of section 8601 directs the Secretary to 
conduct performance-driven research and development, education, 
and technical assistance for the purpose of facilitating the 
use of innovative wood products in wood building construction.
    Subsection (b) requires the Secretary to collaborate with 
the wood products industry, conservation organizations, and 
institutions of higher education to meet these objectives at 
the Forest Products Laboratory or through the State and Private 
Forestry deputy area to achieve measurable performance goals. 
The subsection further requires the Secretary to make 
competitive grants to institutions of higher education to meet 
these measurable performance goals.
    Subsection (c) identifies key priorities that are to be the 
focus of the research and development, education, and technical 
assistance to be conducted under the section including; 
commercialization, safety, life cycle environmental footprint, 
implications on wildlife, and other research areas.
    Subsection (d) calls for a timeframe of 5 years to achieve 
the measurable performance goals called for under the section.
    Subsection (e) provides the relevant definitions for the 
section.

Sec. 8502. Utility infrastructure rights-of-way vegetation management 
        pilot program

    Subsection (a) of section 8502 establishes a limited, 
voluntary pilot program to encourage land owners and operators 
to perform vegetation management on a proactive basis. The 
pilot program permits vegetation management projects on 
National Forest System land that is adjacent to or near rights-
of-way.
    Subsection (b) requires that eligible participants have 
rights-of-way on National Forest System land. The subsection 
further gives priority to eligible participants who have worked 
with the Forest Service to improve utility infrastructure 
protection prescriptions.
    Subsection (c) provides for the elements of a project under 
the pilot program. A project involves limited and select 
management activities that shall create the least amount of 
disturbance to protect utility infrastructure from wildfire; 
shall take place directly adjacent to or within 75 feet of the 
participant's right-of-way; and shall be subject to approval by 
the Forest Service. A project is prohibited from taking place 
within a designated wilderness area, wilderness study area, or 
inventoried roadless area. Activities under the pilot program 
may include thinning, fuel reduction, creation and treatment of 
shaded fuel breaks.
    Subsection (d) requires that a participant be responsible 
for all costs incurred by participating unless the Secretary 
determines that it is in the public interest for the Forest 
Service to contribute funds.
    Subsection (e) is a rule of construction that participation 
in the program does not affect any existing legal obligations 
of liability standards related to the right-of-way or fires 
resulting from causes other than activities performed under the 
project. A participant is not liable for damages caused by 
activities under the project unless in cases of gross 
negligence, in violation of criminal law, or where damages were 
caused by failure of the participant to comply with safety 
requirements imposed by the Forest Service as a condition of 
participation.
    Subsection (f) directs the Secretary to use existing laws 
and regulations to conduct the pilot program. It further allows 
the Secretary to waive or modify specific provisions of the 
Federal Acquisition Regulation in order to implement the pilot 
program in an efficient and expeditious manner.
    Subsection (g) allows the Secretary to retain funds 
provided to the Forest Service by a participant and use such 
funds, in amounts as may be appropriated, in the conduct of the 
pilot program, notwithstanding any other provision of law.
    Subsection (h) provides the relevant definitions for the 
Act.
    Subsection (i) sunsets the authority to conduct the pilot 
program on December 21, 2027.
    Subsection (j) requires the Secretary to report to 
Congress, every two years, on the status of the pilot program 
and any related projects.

Sec. 8503. Revision of extraordinary circumstances regulations

    Subsections (a) and (b) of section 8503 direct the 
Secretary to initiate a rulemaking to clarify that the 
following project characteristics do not need to be examined as 
part of determining whether extraordinary circumstances 
preclude a CE under NEPA; whether a project is within a 
proposed wilderness area; whether a project impacts a FS 
sensitive species; the cumulative impact of a project when 
added to other past, present, and reasonably foreseeable future 
actions; whether a project may affect, but is not likely to 
adversely affect, a listed species or designated critical 
habitat; and whether a project may affect, and is likely to 
adversely affect, a listed species or designated critical 
habitat, if the project is in compliance with the applicable 
provisions of the biological opinion.
    Subsection (c) eliminates the requirement to perform an 
environmental impact statement for all projects that would 
substantially alter a potential wilderness area. Subsection (d) 
requires that the rulemaking be complete within 120 days of 
enactment.

Sec. 8504. No loss of funds for wild-fire suppression

    Section 8504 clarifies that nothing in this title or the 
amendments made by this title may be construed to limit from 
the availability of funds or other resources for wild-fire 
suppression.

Sec. 8505 Technical corrections

    Section 8505 contains technical amendments to the Wildfire 
Suppression Funding and Forest Management Activities Act.

                         TITLE IX--HORTICULTURE

           SUBTITLE A--HORTICULTURE MARKETING AND INFORMATION

Sec. 9001. Specialty crops market news allocation

    Section 9001 amends section 10107(b) of the Food, 
Conservation, and Energy Act of 2008 to extend the 
authorization of appropriations for specialty crops market news 
allocation at the current level of $9,000,000 for each fiscal 
year through 2023, to remain available until expended.

Sec. 9002. Farmers' Market and Local Food Promotion Program

    Section 9002 amends section 6(g) of the Farmer-to-Consumer 
Direct Marketing Act of 1976 by extending the authorization of 
appropriations for the Farmers' Market and Local Food Promotion 
Program and increasing the authorized level from $10,000,000 a 
year to $30,000,000 a year for fiscal years 2019 through 2023. 
The section also strikes an expired one-year authorization of 
appropriations.

Sec. 9003. Food safety education initiatives

    Section 9003 amends section 10105(c) of the Food, 
Conservation, and Energy Act of 2008 to extend the 
authorization of appropriations for the food safety education 
initiatives at the current level of $1,000,000 a year through 
fiscal year 2023, to remain available until expended.

Sec. 9004. Specialty Crop Block Grants

    Section 9004 amends section 101 of the Specialty Crops 
Competitiveness Act of 2004 to extend the authority of the 
Secretary to make grants; expand the types of activities the 
grants can be used to carry out; require the Secretary to enter 
into cooperative agreements with the State departments of 
agriculture who receive the grants in order to develop 
performance measures to periodically evaluate program 
performance; and extend the mandatory funding available for 
multi-state projects at the existing level of $5,000,000 for 
each year through fiscal year 2023, to remain available until 
expended.

Sec. 9005. Amendments to the Plant Variety Protection Act

    Subsection (a) of section 9005 amends section 41(a) of the 
Plant Variety Protection Act to include a definition for the 
term ``asexually reproduced.''
    Subsection (b) of section 9005 amends section 42(a) of the 
Plant Variety Protection Act to expand the authorized types of 
reproduction to include asexual reproduction for the purposes 
of variety protection under the Act.
    Subsection (c) of section 9005 amends section 111(a)(3) of 
the Plant Variety Protection Act to expand the authorized types 
of reproduction to include asexual reproduction for the 
purposes of what constitutes infringement under the Act.
    Subsection (d) of section 9005 amends section 128(a) of the 
Plant Variety Protection Act to expand the authorized types of 
reproduction to include asexual reproduction for the purposes 
of prohibited marketing claims under the Act.

Sec. 9006. Organic programs

    Subsection (a) of section 9006 amends section 2115 of the 
Organic Foods Production Act of 1990 to expand the certifying 
agent accreditation program to the oversight and approval of 
certifying agents certifying farms and handling operations in 
foreign countries.
    Subsection (b) of section 9006 amends section 2118(d) of 
the Organic Foods Production Act of 1990 to direct the 
Secretary to establish expedited and emergency procedures 
related to food, crop, or human safety for placing a substance 
on the National List.
    Subsection (c) of section 9006 amends section 2119(b) of 
the Organic Foods Production Act of 1990 to allow for an 
employee of an owner or operator of an organic farming 
operation to represent the owner or operator on the National 
Organic Standards Board.
    Subsection (d) of section 9006 amends section 2119(l) of 
the Organic Foods Production Act of 1990 to allow for the 
convening of a task force to consult with the FDA or EPA when 
deciding if a substance that has been determined safe within 
the meaning of the Federal Food, Drug, and Cosmetic Act, or 
determined by the EPA to not be harmful, should be included on 
the National List.
    Subsection (e) of section 9006 amends section 2120 of the 
Organic Foods Production Act of 1990 to authorize all parties 
to an investigation to share confidential business information 
with Federal and State government officials, authorize the 
Secretary to access trade data from other Federal agencies, and 
authorize the Secretary to require additional documentation or 
verification. The subsection directs the Secretary to 
promulgate regulations no later than 1 year after enactment to 
limit the type of operations that are excluded from 
certification.
    Subsection (f) of section 9006 amends Section 2122 of the 
Organic Food Production Act of 1990 to require the Secretary to 
submit a report to Congress no later than March 1, 2019, and 
annually thereafter through March 1, 2023, describing National 
Organic Program activities with respect to all domestic and 
overseas investigations and compliance actions taken during the 
preceding year.
    Subsection (g) of section 9006 amends subsection (b) of 
section 2123 of the Organic Foods Production Act of 1990 to 
reauthorize appropriations for the National Organic Program of 
$15,000,000 for fiscal year 2018, $16,500,000 for fiscal year 
2019, $18,000,000 for fiscal year 2020, $20,000,000 for fiscal 
year 2021, $22,000,000 for fiscal year 2022, and $24,000,000 
for fiscal year 2023.
    Subsection (h) of section 9006 amends subsection (c) of 
section 2123 of the Organic Foods Production Act of 1990 to 
direct the Secretary to modernize international organic trade 
tracking and data collection systems and authorizes mandatory 
funding of $5,000,000 for fiscal year 2019.
    Subsection (i) of section 9006 amends section 7407(d) of 
the Farm Security and Rural Investment Act of 2002 to 
reauthorize appropriations for the Organic Production and 
Market Data Initiatives at the current level of $5,000,000 for 
each fiscal year through 2023, to remain available until 
expended, and to provide mandatory funding of $5,000,000 for 
fiscal year 2019, to remain available until expended.

                     SUBTITLE B--REGULATORY REFORM

Part I--State Lead Agencies Under Federal Insecticide, Fungicide, and 
        Rodenticide Act

Sec. 9101. Recognition and role of State lead agencies

    Subsection (a) of section 9101 amends section 2(aa) of the 
Federal Insecticide, Fungicide, and Rodenticide Act to include 
a definition of ``State lead agency'' for the purposes of the 
Act.
    Subsection (b) of section 9101 amends section 22(b) of the 
Federal Insecticide, Fungicide, and Rodenticide Act by limiting 
regulations to those promulgated by the EPA or within the 
authority of a State lead agency. The subsection further amends 
section 23(a)(1) of the Federal Insecticide, Fungicide, and 
Rodenticide Act to authorize States or Tribes to establish and 
maintain uniform regulation of pesticide through cooperative 
agreement with the Administrator of the EPA. The subsection 
further amends section 24(a) of the Federal Insecticide, 
Fungicide, and Rodenticide Act to restrict the authority of a 
political subdivision of a State to regulate a pesticide beyond 
the Federal limits.
    Subsection (c) of section 9101 amends section 25(a)(2) of 
the Federal Insecticide, Fungicide, and Rodenticide Act by 
requiring the Administrator to publish any comments regarding 
prescribed regulations promulgated pursuant to the Act from the 
Secretary of Agriculture or any State lead agency in the 
Federal Register, including any response to the comments, if 
such comments are received within 30 days of receipt of a copy 
of any such regulation. The subsection further allows for the 
Secretary or a State lead agency to request any comments 
regarding prescribed regulations promulgated pursuant to the 
Act sent to the Administrator within 15 days of receipt of a 
copy of the regulation, including any response to the comments, 
be published in the Federal Register.

Part II--Pesticide Registration and Use

Sec. 9111. Registration of pesticides

    Subsection (a) of section 9111 amends section 3(c)(5) of 
the Federal Insecticide, Fungicide, and Rodenticide Act to 
require the Administrator to register a pesticide if the 
Administrator determines that the pesticide, when used in 
accordance with widespread and commonly recognized practices, 
is not likely to jeopardize the survival of a federally listed 
threatened or endangered species or to alter habitat critical 
for the survival or recovery of such species. The subsection 
further amends section 3 to require the Administrator to use 
the best scientific and commercial information available, which 
may include species and habitat information from the Secretary 
of Interior or Secretary of Commerce, and consider all 
restrictions on use when considering the criteria for the 
registration of a pesticide. The Administrator shall not be 
required to consult or communicate with the Secretary of the 
Interior or the Secretary of Commerce under the authority of 
any other statute when making such determination, unless 
otherwise petitioned to by the registrant of the pesticide.
    Subsection (b) of section 9111 amends section 3(c)(7) of 
the Federal Insecticide, Fungicide, and Rodenticide Act to 
require the Administrator to conditionally register or amend 
the registration of a pesticide under special circumstances if 
the Administrator determines that the pesticide, when used in 
accordance with widespread and commonly recognized practices, 
is not likely to jeopardize the survival of a federally listed 
threatened or endangered species or to alter habitat critical 
for the survival or recovery of such species.
    Subsection (c) of section 9111 amends section 3(g)(1)(A) of 
the Federal Insecticide, Fungicide, and Rodenticide Act to 
require the Administrator to complete the determination, and 
subsequent periodic reviews, that a pesticide, when used in 
accordance with widespread and commonly recognized practices, 
is not likely to jeopardize the survival of a federally listed 
threatened or endangered species or to alter habitat critical 
for the survival or recovery of such species, over the 
following schedule: by October 1, 2026 for an active ingredient 
first registered on or before October 1, 2007; by October 1, 
2033 for an active ingredient first registered between October 
1, 2007 and the day before enactment; and not later than 48 
months after the effective date of registration for an active 
ingredient registered on or after the date of enactment.

Sec. 9112. Experimental use permits

    Section 9112 amends section 5(a) of the Federal 
Insecticide, Fungicide, and Rodenticide Act to require the 
Administrator, when issuing an experimental use permit for a 
pesticide, to determine that the pesticide, when used in 
accordance with widespread and commonly recognized practices, 
is not likely to jeopardize the survival of a federally listed 
threatened or endangered species or to alter habitat critical 
for the survival or recovery of such species.

Sec. 9113. Administrative review; suspension

    Section 9113 amends section 6(b) of the Federal 
Insecticide, Fungicide, and Rodenticide Act to require the 
Administrator, when issuing a notice to cancel or change the 
classification of a pesticide, to determine that the pesticide, 
when used in accordance with widespread and commonly recognized 
practices, is not likely to jeopardize the survival of a 
federally listed threatened or endangered species or to alter 
habitat critical for the survival or recovery of such species.

Sec. 9114. Unlawful acts

    Section 9114 amends section 12 of the Federal Insecticide, 
Fungicide, and Rodenticide Act to clarify that any taking of a 
federally listed threatened or endangered species resulting 
from the lawful use of a pesticide determined by the 
Administrator to meet the criteria specified in section 
3(c)(5)(A)(v) is not considered unlawful.

Sec. 9115. Authority of states

    Section 9115 amends section 24(c) of the Federal 
Insecticide, Fungicide, and Rodenticide Act to require the 
Administrator, when disapproving a State pesticide 
registration, to determine that the pesticide, when used in 
accordance with widespread and commonly recognized practices, 
is not likely to jeopardize the survival of a federally listed 
threatened or endangered species or to alter habitat critical 
for the survival or recovery of such species.

Sec. 9116. Regulations

    Section 9116 directs the Administrator to publish and 
continue to review a work plan for completing required 
determinations and implementing and enforcing registration 
standards.

Sec. 9117. Use of authorized pesticides

    Section 9117 amends section 3(f) of the Federal 
Insecticide, Fungicide, and Rodenticide Act to direct the 
Administrator or a State to not require a permit under the 
Federal Water Pollution Control Act for a discharge from a 
point source into navigable waters.

Sec. 9118. Discharges of pesticides

    Section 9118 amends section 402 of the Federal Water 
Pollution Control Act by adding new subsection(s) to prevent 
the Administrator or a State from requiring a permit for a 
discharge into navigable waters of a pesticide authorized under 
the Federal Insecticide, Fungicide, and Rodenticide Act except 
under listed circumstances.

Sec. 9119. Enactment of Pesticide Registration Improvement Act of 2017

    Section 9119 enacts into law H.R. 1029 of the 115th 
Congress.

Part III--Amendments to the Plant Protection Act

Sec. 9121. Methyl bromide

    Section 9121 amends section 419 of the Plant Protection Act 
to clarify the authorized uses of methyl bromide.
    Subsection (a) of section 419 allows the Secretary of 
Agriculture or a State, local, or Tribal authority to authorize 
the qualified use of methyl bromide in response to an emergency 
event. Subsection (a) also requires that any State, local, or 
Tribal authority that authorizes such use notify the Secretary 
within 5 days of such determination. A State, local, or Tribal 
authority may not authorize the use of methyl bromide if the 
Secretary objects to the use within 5 days of the notification.
    Subsection (b) of section 419 requires that a notification 
by any State, local, or Tribal government contain a 
certification of the authorization to use methyl bromide in 
response to an emergency event, a description of the emergency 
event and the economic loss that would result from such event, 
contact information for a designated responsible individual of 
the authority, the location of the emergency event including 
the total acreage of the event, the identity of the pests to be 
controlled, the total volume of methyl bromide to be used, and 
the anticipated date of such use.
    Subsection (c) of section 419 allows the Secretary to 
object to an authorization of use within 5 days of receipt of 
notification by a State, local, or Tribal authority. The 
Secretary shall provide notification of the objection in 
writing, including reasons for such objection and any 
additional information that the Secretary would require to 
withdraw the objection. The Secretary may object to an 
authorization if the Secretary determines the notification does 
not contain all the information required, does not demonstrate 
the existence of an emergency event, or the qualified use does 
not comply with the enumerated limitations on use. Subsection 
(c) also allows the Secretary to withdraw an objection if, 
within 14 days of the transmission of the notification for 
authorized use, the State, local, or Tribal government submits 
additional information to the satisfaction of the Secretary. 
Upon issuance of the withdrawal, the State, local, or Tribal 
authority may authorize the use of methyl bromide subject to 
the limitations of qualified use.
    Subsection (d) of section 419 deems the production, 
distribution, sale, shipment, application, or use of a 
pesticide containing methyl bromide pursuant to an 
authorization under this section to also be authorized under 
the Federal Insecticide, Fungicide, and Rodenticide Act, 
regardless of whether the use is registered under the Act and 
included on the approved label for the product.
    Subsection (e) of section 419 limits the amount of methyl 
bromide that may be used per specific location of an emergency 
to 20 metric tons. Further, the aggregate amount of methyl 
bromide that may be used in the U.S. in a calendar year shall 
not exceed the total amount authorized by the Montreal Protocol 
for critical use in the U.S. in calendar year 2011.
    Subsection (f) of section 419 allows for the production or 
importation of methyl bromide in response to an emergency 
event, notwithstanding any other provision of law.
    Subsection (g) of section 419 gives the Secretary exclusive 
authority for determining which species are considered 
quarantine pests.
    Subsection (h) of section 419 includes definitions of 
relevant terms such as ``emergency event,'' ``pests,'' and 
``qualified use.''

Part IV--Amendments to Other Laws

Sec. 9131. Definition of retail facilities

    Section 9131 amends section 6 of the Occupational Safety 
and Health Act of 1970 to codify an existing exemption for 
agricultural retailers from the U.S. Occupational Safety and 
Health Administration's (OSHA) Process Safety Management (PSM) 
of Hazardous Chemicals standard.

                       SUBTITLE C--OTHER MATTERS

Sec. 9201. Report on regulation of plant biostimulants

    Subsection (a) of section 9201 requires the Secretary, not 
later than 1 year after enactment, to submit a report to the 
President and Congress that identifies potential regulatory and 
legislative reforms to ensure the expeditious and appropriate 
review, approval, uniform national labeling, and availability 
of plant biostimulant products to agricultural producers.
    Subsection (b) of section 9201 requires the Secretary to 
prepare the report required in subsection (a) in consultation 
with the Administrator of the EPA.
    Subsection (c) of section 9201 defines ``plant 
biostimulant'' as a substance or micro-organism that, when 
applied to seeds, plants, or the rhizosphere, stimulates 
natural processes to enhance or benefit nutrient uptake, 
nutrient efficiency, tolerance to abiotic stress, or crop 
quality and yield.

Sec. 9202. Pecan marketing orders

    Section 9202 amends section 8e(a) of the Agricultural 
Marketing Agreement Act of 1937 to add pecans to the list of 
imported agricultural products the Secretary has the authority 
to subject to marketing order terms and conditions regulating 
grade, size, quality, and maturity.

Sec. 9203. Report on honey and maple syrup

    Section 9203 requires the Secretary to submit a report not 
later than 60 days after enactment examining the effect of the 
Nutrition and Supplemental Facts Labels final rule regarding 
the ``added sugar'' statement required on packaged food in 
which no sugar is added during processing, including pure honey 
and maple syrup.

                        TITLE X--CROP INSURANCE

Sec. 10001. Treatment of forage and grazing

    Section 10001(a) amends section 508(b)(1) of the Federal 
Crop Insurance Act to strike the exception that provides that 
catastrophic risk protection plans shall not be available for 
crops and grasses used for grazing.
    Section 10001(b) amends section 508(n)(2) of the Federal 
Crop Insurance Act to provide for an exception to the 
limitation on multiple benefits for the same loss for coverage 
described in the new section 508D of the Federal Crop Insurance 
Act.
    Section 10001(c) amends the Federal Crop Insurance Act to 
include a new section 508D which permits separate crop 
insurance policies, including a catastrophic risk protection 
plan, to be purchased for crops that can be both grazed and 
mechanically harvested on the same acres during the same 
growing season.

Sec. 10002. Administrative basic fee

    Section 10002 amends section 508(b)(5)(A) of the Federal 
Crop Insurance Act to increase the administrative basic fee 
from $300 to $500.

Sec. 10003. Prevention of duplicative coverage

    Section 10003(a) amends section 508(c)(1) of the Federal 
Crop Insurance Act to make crops for which the producer has 
elected agriculture risk coverage, or that are enrolled in the 
stacked income protection plan, ineligible for coverage based 
on an area yield and loss basis, coverage based on a margin 
basis, or supplemental coverage.
    Section 10003(b) makes conforming amendments.

Sec. 10004. Repeal of unused authority

    Section 10004(a) amends section 508(d) of the Federal Crop 
Insurance Act to repeal the performance-based discount for 
producers.
    Section 10004(b) makes conforming amendments.

Sec. 10005. Continued authority

    Section 10005 amends section 508(g) of the Federal Crop 
Insurance Act to continue the use of actual production history 
in the Risk Management Agency's underwriting rules as in 
current law.

Sec. 10006. Program administration

    Section 10006 amends section 516(b)(2)(C)(i) of the Federal 
Crop Insurance Act to extend the authority of the Federal Crop 
Insurance Corporation to pay costs that assist in maintaining 
program actuarial soundness and financial integrity.

Sec. 10007. Maintenance of policies

    Section 10007(a) amends section 522(b) of the Federal Crop 
Insurance Act to provide more specificity on the types of costs 
for research and development costs related to policies that 
have been approved by the Federal Crop Insurance Corporation 
Board that are considered reasonable; clarity on entities that 
may charge a fee for maintaining policies; and the 
circumstances under which a fee shall be disapproved.
    Section 10007(b) provides that this section applies to 
reimbursement requests made on or after October 1, 2016, and 
that requests for reimbursement that were denied between 
October 1, 2016, and the date of enactment of this Act may be 
resubmitted.

Sec. 10008. Research and development priorities

    Section 10008(a) amends section 522(c) of the Federal Crop 
Insurance Act to strike 16 completed studies and research and 
development contracts.
    Section 10008(b) amends section 522(c)(7) of the Federal 
Crop Insurance Act to define ``beginning farmer or rancher'' 
for the purposes of research and development of whole farm 
insurance plans.
    Section 10008(c) amends section 522(c) of the Federal Crop 
Insurance Act to require that the Federal Crop Insurance 
Corporation conduct research and development on a policy to 
insure certain crops due to losses due to tropical storms or 
hurricanes; the creation of a separate practice for subsurface 
irrigation; the difference in rates, average yields, and 
coverage levels of grain sorghum policies as compared to other 
feed grains within a county; and the establishment of an 
alternative method of adjusting for quality losses that does 
not impact the average production history of producers.

Sec. 10009. Extension of funding for research and development

    Section 10009 amends section 522 of the Federal Crop 
Insurance Act to discontinue partnerships for risk management 
development and implementation, and to reauthorize the 
Commodity Credit Corporation's ability to conduct research and 
development and carry out contracting and partnerships at not 
more than $8,000,000 for fiscal year 2019 and each subsequent 
fiscal year.

Sec. 10010. Education and risk management assistance

    Section 10010 amends section 524 of the Federal Crop 
Insurance Act to eliminate the crop insurance education and 
information program for targeted states carried out by the Risk 
Management Agency and the Agricultural Management Assistance 
Program, and to reauthorize the risk management education and 
assistance carried out through the National Institute of Food 
and Agriculture.

                        TITLE XI--MISCELLANEOUS

                         SUBTITLE A--LIVESTOCK

Sec. 11101. Animal Disease Preparedness and Response

    Subsection (a) of section 11101 amends the Animal Health 
Protection Act by inserting after section 10409A a new Section 
10409B to establish the National Animal Preparedness and 
Response Program to address the risk of introduction and spread 
of animal diseases that have an adverse effect on the livestock 
and related industries of the United States. The subsection 
defines eligible entities for purposes of the program; directs 
the Secretary to enter into cooperative agreements with such 
eligible entities to carry out listed program activities; gives 
priority to applications from a State department of 
agriculture, the office of the chief animal health officer of a 
State, and eligible entities carrying out programs in States or 
regions with known factors contributing to the increased risk 
of animal pest or disease; outlines an application process and 
consultation process for setting program priorities; and 
establishes reporting requirements for eligible entities that 
have completed activities using program funds.
    Subsection (b) of section 11101 amends the Animal Health 
Protection Act by inserting after new Section 10409B, 10409C to 
establish a National Animal Health Vaccine Bank for the benefit 
of the domestic interests of the United States and to help 
protect the United States agriculture and food systems against 
terrorist attack, major disaster, and other emergencies. The 
subsection requires the Secretary to maintain within the bank, 
sufficient quantities of animal vaccine, antiviral, 
therapeutic, or other diagnostic products to appropriately and 
rapidly respond to an outbreak of animal disease, leveraging 
when appropriate, the infrastructure developed for the 
management of the National Veterinary Stockpile. The subsection 
further requires the Secretary to prioritize the acquisition of 
foot and mouth disease vaccine and accompanying diagnostic 
products and to consider contracting with one or more entities 
capable of producing the vaccine that have surge production 
capacity.
    Subsection (c) of section 11101 amends section 10417 of the 
Animal Health Protection Act to provide mandatory funding of 
$250,000,000 for fiscal year 2019 to remain available until 
expended, of which $30,000,000 shall be made available to carry 
out the National Animal Health Laboratory Network, $70,000,000 
shall be made available to carry out the National Animal 
Disease Preparedness and Response Program, and $150,000,000 
shall be made available to establish and maintain the National 
Animal Health Vaccine Bank. The subsection provides $50,000,000 
in mandatory funding for fiscal years 2020 through 2023 to 
remain available to be expended, of which $30,000,000 shall be 
made available each year to carry out the National Animal 
Disease Preparedness and Response Program, and reauthorizes 
annual appropriations of $15,000,000 to carry out the National 
Animal Health Laboratory through 2023. Finally, the subsection 
limits administrative program costs; allows for proceeds from 
vaccine sales to be credited to the account for operation and 
maintenance of the vaccine bank; prohibits the use of program 
funds on the construction of new facilities; and makes a 
necessary conforming amendment.

Sec. 11102. National Aquatic Animal Health Plan

    Section 11102 amends section 11013(d) of the Food, 
Conservation, and Energy Act of 2008 to reauthorize the 
national aquatic animal health program through 2023.

Sec. 11103. Veterinary training

    Section 11103 amends section 10504 of the Farm Security and 
Rural Investment Act of 2002 to authorize the Secretary to 
maintain in all regions of the United States veterinary teams, 
including those based at colleges of veterinary medicine, who 
are capable of providing effective response services before, 
during and after emergencies.

Sec. 11104. Report on FSIS guidance and outreach to small meat 
        processors

    Section 11104 requires the USDA Inspector General, not 
later than one year after enactment of this Act, to conduct a 
study on the effectiveness of existing FSIS guidance materials 
and other tools used by small and very small establishments, as 
defined by FSIS regulations, and provide recommendations on 
measures FSIS should take to improve regulatory clarity and 
consistency.

  SUBTITLE B--BEGINNING, SOCIALLY DISADVANTAGED, AND VETERAN PRODUCERS

Sec. 11201. Outreach and assistance for socially disadvantaged farmers 
        and ranchers and veteran farmers and ranchers

    Section 11201 amends section 2501(a)(4) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 to reauthorize 
mandatory funding of $10,000,000 for each fiscal year and 
reauthorize appropriations of $20,000,000 for each fiscal year 
through 2023. The section also establishes a priority for 
projects that deliver agricultural education and provide 
agricultural employment or volunteer opportunities to youth in 
underserved and underrepresented communities.

Sec. 11202. Office of Partnerships and Public Engagement

    Subsection (a) of section 11202 changes the name of the 
Office of Advocacy and Outreach to the Office of Partnerships 
and Public Engagement and updates references to such Office 
accordingly.
    Subsection (b) of Section 11202 expands the purposes of the 
Office to expand outreach to limited resource producers, 
veteran farmers and ranchers, tribal farmers and ranchers, and 
to promote youth outreach.
    Subsection (c) of section 11202 amends section 
226B(f)(3)(B) of the Department of Agriculture Reorganization 
Act of 1994 to reauthorize appropriations of $2,000,0000 each 
fiscal year for the program through 2023.
    Subsection (d) of section 11202 makes a conforming 
amendment to section 309 of the Department of Agriculture 
Reorganization Act of 1994.

Sec. 11203. Commission on Farm Transitions--Needs for 2050

    Subsection (a) of section 11203 establishes the Commission 
on Farm Transitions-Needs for 2050.
    Subsection (b) of section 11203 requires that the 
Commission conduct a study on issues impacting the transition 
of agricultural operations from established farmers and 
ranchers to the next generation of farmers and ranchers.
    Subsection (c) of section 11203 outlines the membership 
composition of the Commission, which shall consist of 10 total 
members including three members appointed by the Secretary, 3 
members appointed by the Committee on Agriculture, Nutrition, 
and Forestry of the Senate, 3 members appointed by the 
Committee on Agriculture of the House of Representatives, and 
the Chief economist of the Department of Agriculture. 
Subsection (c) requires that members be appointed no later than 
60 days after enactment of this Act; establishes that member 
terms shall be for the life of the Commission; and requires 
that the initial meeting of the Commission occur not later than 
30 days after all members have been appointed.
    Subsection (d) of section 11203 establishes quorum 
requirements for purposes of conducting meetings and hearings.
    Subsection (e) of section 11203 requires the Secretary to 
appoint one of the Commission members as Chairperson of the 
Commission.
    Subsection (f) of section 11203 requires the Commission to, 
not later than one year after enactment of this Act, submit to 
the President, Committee on Agriculture, Nutrition, and 
Forestry of the Senate, and the Committee on Agriculture of the 
House of Representatives a report containing the results of the 
study required under subsection (b).
    Subsection (g) of section 11203 authorizes the Commission 
to hold hearings, meet, take testimony, and receive evidence as 
the Commission considers advisable to carry out this section.
    Subsection (h) of section 11203 authorizes the Commission 
to secure information directly from a Federal agency that the 
Commission considers necessary to carry out this section.
    Subsection (i) of section 11203 authorizes the Commission 
to use the United States mail in the same manner as other 
Federal agencies.
    Subsection (j) of section 11203 authorizes the Secretary to 
provide the Commission office space and reasonable 
administrative support services.
    Subsection (k) of section 11203 establishes compensation 
levels for Commission members.
    Subsection (l) of section 11203 exempts the Commission from 
the requirements of the Federal Advisory Committee Act.

Sec. 11204. Agricultural youth organization coordinator

    Section 11204 amends Subtitle A of the Department of 
Agriculture Reorganization Act of 1994 by adding at the end, 
new section 221 to authorize the Secretary to establish the 
position of Agricultural Youth Organization Coordinator. Such 
coordinator shall, among other duties, promote the role of 
youth-serving organizations and school-based agricultural 
education; serve as a resource for assisting young farmers in 
applying for participation in agricultural programs; and 
advocate on behalf of young farmers in interactions with 
employees of the Department.

                          SUBTITLE C--TEXTILES

Sec. 11301. Repeal of Pima Agriculture Cotton Trust Fund

    Section 11301 repeals Section 12314 of the Agricultural Act 
of 2014.

Sec. 11302. Repeal of Agriculture Wool Apparel Manufacturers Trust Fund

    Section 11302 repeals Section 12315 of the Agricultural Act 
of 2014.

Sec. 11303. Repeal of wool research and promotion grants funding

    Section 11303 repeals Section 12316 of the Agricultural Act 
of 2014.

Sec. 11304. Textile Trust Fund

    Section 11304(a) establishes the Textile Trust Fund for the 
purposes of reducing injury for certain domestic manufacturers 
resulting from tariffs on certain cotton and wool products that 
are higher than tariffs on certain cotton and wool apparel 
articles made from those products.
    Section 11304(b) and (c) provide for the distribution of 
funds from the Textile Trust Fund.
    Section 11304(d) provides for the timing of distributions 
of funds from the Textile Trust Fund.
    Section 11304(e) authorizes the Textile Trust Fund through 
2023 and provides funding. The section also provides mandatory 
funding to carry out section 209 of the Agricultural Marketing 
Act of 1946.

             SUBTITLE D--UNITED STATES GRAIN STANDARDS ACT

Sec. 11401. Restoring certain exceptions to United States Grain 
        Standards Act

    Section 11401(a) restores certain exceptions to the United 
States Grain Standards Act where an agreement between an 
eligible grain handling facility and the official agency has 
been reached and the Secretary of Agriculture has been notified 
of such agreement.
    Section 11401(b) provides that grain handling facilities 
that were previously granted exceptions and had such exceptions 
revoked on or after September 30, 2015, may have exceptions 
restored.
    Section 11401(c) provides that after the date of enactment 
of the Act, an exception may only be terminated if two or more 
of the parties to the exception agree to termination.

        SUBTITLE E--NONINSURED CROP DISASTER ASSISTANCE PROGRAM

Sec. 11501. Eligible crops

    Section 11501 amends section 196(a) of the Federal 
Agriculture Improvement and Reform Act to define `eligible 
crops' for the purposes of non-insured assistance as commercial 
crops or other agricultural commodities which are produced for 
food or fiber (except livestock) for which catastrophic risk 
protection or certain additional coverage is not available.

Sec. 11502. Service fee

    Section 11502 amends section 196(k) of the Federal 
Agriculture Improvement and Reform Act of 1996 to increase the 
service fees for eligible crops to the lesser of $350 per crop 
per county or $1,050 per producer per county, but not to exceed 
a total of $2,100 per producer.

Sec. 11503. Payments equivalent to additional coverage

    Section 11503(a) amends section 196(l) of the Federal 
Agriculture Improvement and Reform Act of 1996 to add the 
producer's share of the crop to the list of multipliers 
available to calculate the service fee or premium required to 
be paid by the producer in order to receive payments under 
noninsured assistance.
    Section 11503(b) strikes an obsolete paragraph.
    Section 11503(c) reauthorizes the program through 2023.

                       SUBTITLE F--OTHER MATTERS

Sec. 11601. Under Secretary of Agriculture for Farm Production and 
        Conservation

    Section 11601 updates references to the Under Secretary of 
Agriculture for Farm Production and Conservation and other 
designated department official in various acts.

Sec. 11602. Authority of Secretary to carry our certain programs under 
        Department of Agriculture Reorganization Act of 1994

    Section 11602 amends the Department of Agriculture 
Reorganization Act of 1994 to provide that the Secretary has 
the authority to carry out amendments made to that Act by the 
Agriculture, Rural Development, Food and Drug Administration, 
and Related Agencies Appropriations Act, 2018, and this Act.

Sec. 11603. Conference report requirement threshold

    Section 11603 amends the threshold for reporting 
conferences to $75,000.

Sec. 11604. National agriculture imagery program

    Section 11604(a) requires the Secretary of Agriculture to 
carry out a national agriculture imagery program.
    Section 11604(b) sets forth the requirements for the aerial 
imagery acquired under the national agriculture imagery 
program.
    Section 11604(c) provides an authorization of supplemental 
satellite imagery.
    Section 11604(d) provides an authorization of 
appropriations for the program.

Sec. 11605. Report on inclusion of natural stone products in Commodity 
        Promotion, Research, and Information Act of 1996

    Section 11605 requires the Secretary to provide a report on 
the potential inclusion of ``products of natural stone'' under 
the Commodity Promotion, Research, and Information Act of 1996.

Sec. 11606. South Carolina Inclusion in Virginia/Carolina Peanut 
        Producing Region

    Section 11606 amends section 1308(c)(2(B)(iii) of the Farm 
Security and Rural Investment Act of 2002 to add South Carolina 
to the Virginia/Carolina peanut producing region for the 
purposes of membership on the Peanut Standards Board.

Sec. 11607 Establishment of Food Loss and Waste Reduction Liaison

    Section 11607 amends Subtitle A of the Department of 
Agriculture Reorganization Act of 1994, as amended by section 
12202, to add at the end a new section 222 establishing within 
the Office of the Secretary, a Food Loss and Waste Reduction 
Liaison to coordinate Federal programs to measure and reduce 
the incidence of food loss and waste.

Sec. 11608 Cotton classification services

    Section 11608 amends section 3a of the Act of March 3, 1927 
to provide that employees hired to provide cotton 
classification services may work up to 240 calendar days in a 
service year and may be rehired every year if they meet certain 
expectations.

                        Committee Consideration


                              I. HEARINGS

    The Committee on Agriculture and the six Subcommittees held 
21 hearings during the 115th Congress in anticipation of the 
2018 Farm Bill.
    On February 15, 2017, the Full Committee held a hearing 
entitled, ``Rural Economic Outlook: Setting the Stage for the 
Next Farm Bill'' where the following witnesses testified on 
matters included in H.R. 2:
           Dr. Robert Johansson, Chief Economist, 
        United States Department of Agriculture, Washington, 
        D.C.
           Dr. Nathan S. Kauffman, Assistant Vice 
        President and Omaha Branch Executive, Federal Reserve 
        Bank of Kansas City, Omaha Branch, Omaha, NE
           Dr. Joe L. Outlaw, Professor and Extension 
        Economist, and Co-Director of the Agricultural and Food 
        Policy Center, Texas A&M University, Department of 
        Agricultural Economics, College Station, TX
           Dr. Patrick Westhoff, Professor, Director 
        for the Food and Agricultural Policy Research 
        Institute, University of Missouri, Columbia, MO
           Dr. D. Scott Brown, State Agricultural 
        Extension Economist and Assistant Professor, University 
        of Missouri, Columbia, MO
    This hearing focused on the current state of the rural 
economy. Witnesses were five economists from USDA, the Federal 
Reserve, and land-grant universities who provided data and 
perspective on the significant challenges facing America's 
farmers, ranchers, and their rural neighbors. With net farm 
income expected to be down 50 percent over four years from its 
peak in 2013, concerns on the economic realities are front and 
center for the upcoming discussion on the farm bill. Producers 
need a reliable farm safety net that provides reliable risk 
management tools in periods of low prices. Witnesses described 
their concerns on the economy, but also some bright spots when 
comparing the current situation to the farm crisis of the 
1980s. Dairy and cotton were both of particular focus of 
questions, with the economists on the panel providing 
perspective on their concerns with markets and current policy 
for those commodities.
    On February 16, 2017, the Full Committee held a hearing 
entitled, ``Pros and Cons of Restricting SNAP Purchases'' where 
the following witnesses testified on matters included in H.R. 
2:
           Dr. Angela K. Rachidi, Research Fellow in 
        Poverty Studies, American Enterprise Institute, 
        Washington, D.C.
           Dr. Diane Whitmore Schanzenback, Director, 
        The Hamilton Project, Senior Fellow, Economic Studies, 
        Brookings Institution, Washington, D.C.
           Ms. Leslie G. Sarasin, President and CEO, 
        Food Marketing Institute, Arlington, VA
           Mr. John Weidman, Deputy Executive Director, 
        The Food Trust, Philadelphia, PA
           Dr. Brian Wansink, John S. Dyson Professor 
        of Marketing and Director of the Cornell University 
        Food and Brand Lab, Ithaca, NY
    In this hearing Members discussed the implications of 
further restricting what can be purchased with SNAP dollars, 
the implementation process for retailers, and the impact that 
restrictions, incentives, and nutrition education have on 
consumer behavior change. The hearing focused on the best 
avenue to improve the diets of low-income Americans. Members 
heard from a variety of perspectives related to the impact of 
restricting food purchases within SNAP; and their applicable 
impacts on health, behavior patterns, as well as from a 
representative from the retail industry.
    On February 28, 2017, the Subcommittee on Conservation and 
Forestry held a hearing entitled, ``The Next Farm Bill: 
Conservation Policy'' where the following witnesses testified 
on matters included in H.R. 2:
           Mr. Chuck Coffey, Owner/Manager, Double C 
        Cattle Company, Davis, OK; on behalf of the National 
        Cattelmen's Beef Association
           Mr. Timothy Gertson, Co-Owner/Co-Operator, 
        G5 Farms; Member, USA Rice Federation Board of 
        Directors, Lissie, TX
           Mr. Jeremy Peters, Chief Executive Officer, 
        National Association of Conservation Districts, 
        Washington, D.C.; on behalf of Mr. Lee McDaniel, 
        Immediate Past President, NACD
           Mr. David E. Nomsen, Vice President of 
        Governmental Affairs, Pheasants Forever, Inc., 
        Garfield, MN
           The Honorable John F. Piotti, President, 
        American Farmland Trust, Washington, D.C.
    This Subcommittee hearing evaluated reforms made to the 
conservation title (Title II) in the past farm bill. Under the 
2014 Farm Bill, conservation programs were consolidated and 
reformed to provide flexibility and to reduce duplication 
across programs. The farm bill provides farmers, ranchers, 
foresters, and landowners with voluntary, incentive-based 
financial and technical assistance for conservation practices. 
Testimony provided feedback on consolidation as well as 
suggestions for policy changes in the next farm bill. The need 
for technical assistance was a priority for all the witnesses, 
for working lands programs and land retirement programs. All 
witnesses supported incentive-based, voluntary conservation as 
the best way to provide benefits to the environment, the 
farmer, the public, and wildlife.
    On February 28, 2017, the Subcommittee on Livestock and 
Foreign Agriculture held a hearing entitled, ``The Next Farm 
Bill: International Market Development'' where the following 
witnesses testified on matters included in H.R. 2:
           Dr. Gary Williams, Professor of Agricultural 
        Economics & Co-Director of the Food, Agribusiness, and 
        Consumer Economics Research Center, Texas A&M 
        University, College Station, TX
           The Honorable Joseph E. Steinkamp, Member, 
        American Soybean Association Board of Directors, 
        Evansville, IN; on behalf of the Coalition to Promote 
        U.S. Agriculture Exports and the Agribusiness Coalition 
        for Foreign Market Development
           Mr. Tim Hamilton, Executive Director, Food 
        Export--Midwest and Food Export--Northeast, Chicago, IL
           Mr. Philip Seng, President & CEO, U.S. Meat 
        Export Federation, Denver, CO
           Mr. Dean Alanko, Vice President of Sales and 
        Marketing, Allegheny Wood Products, Petersburg, WV; on 
        behalf of the Hardwood Federation
           Mr. Paul Wenger, almond grower and 
        President, California Farm Bureau, Sacramento, CA
    Through this hearing, the Committee sought to develop a 
better understanding of, and record of support for, USDA's 
trade promotion and market development programs--namely the 
Market Access Program (MAP) and the Foreign Market Development 
(FMD) program. Witnesses made clear the importance of these 
programs in opening and developing new markets for U.S. 
products overseas, especially in the face of uncertainty 
regarding the status of existing and future trade agreements.
    On March 9, 2017, the Subcommittee on Commodity Exchanges, 
Energy, and Credit held a hearing entitled, ``The Next Farm 
Bill: Rural Development and Energy Programs'' where the 
following witnesses testified on matters included in H.R. 2:
           The Honorable Bob Fox, Chair, Renville 
        County Board of Commissioners; Member, National 
        Association of Counties Board of Directors, Franklin, 
        MN
           Mr. Dennis L. Chastain, President & CEO, 
        Georgia EMC, Tucker, GA; on behalf of NRECA
           Mr. Steve Fletcher, Manager & Operator, 
        Washington County Water Company; President, National 
        Rural Water Association, Nashville, IL
           Mr. R. Craig Cook, Chief Operations Officer, 
        Hill Country Telephone Cooperative, Inc., Ingram, TX; 
        on behalf of NTCA
           Mr. John Duff, Strategic Business Director, 
        National Sorghum Producers, Lubbock, TX
           The Honorable James C. Greenwood, President 
        and CEO, Biotechnology Innovation Organization, 
        Washington D.C.
    Through this hearing, the Committee reviewed the portfolio 
of rural development and energy programs administered by the 
U.S. Department of Agriculture. The Committee heard from a 
broad array of stakeholders who shared their views on how the 
rural development and renewable energy loan and grant programs 
promote economic growth and rural revitalization.
    On March 9, 2017, the Subcommittee on Biotechnology, 
Horticulture, and Research held a hearing entitled, ``The Next 
Farm Bill: Specialty Crops'' where the following witnesses 
testified on matters included in H.R. 2:
           Mr. James Field, Jr., Director of Business 
        Development, Frey Farms, LLC, Keenes, IL
           Mr. N. Larry Black, Jr., General Manager, 
        Peace River Packing Company, Ft. Meade, FL
           Mr. Sean Gilbert, General Manager, Gilbert 
        Orchards, Inc. and Sundquist Fruit, Yakima, WA
           Mr. Jay Hill, Owner-Operator, Hill Farms and 
        Wholesome Valley Farms, Mesilla Park, NM
           Ms. Laura Davis, Co-Owner/Co-Operator, Long 
        Life Farm; President, Northeast Organic Farming 
        Association--Massachusetts Chapter Board of Directors, 
        Hopkinton, MA
    This hearing continued a series of subcommittee hearings 
that set the stage for the next farm bill. The hearing 
evaluated the effectiveness of the 2014 Farm Bill programs 
aimed at benefiting specialty crop production, which can be 
found in multiple titles. Witnesses raised concerns on a host 
of different programs, such as research funding, pest and 
disease control, trade promotion programs, and immigration 
policy.
    On March 16, 2017, the Subcommittee on Biotechnology, 
Horticulture, and Research held a hearing entitled, ``The Next 
Farm Bill: Agricultural Research'' where the following 
witnesses testified on matters included in H.R. 2:
           Dr. Jay T. Akridge, Glenn W. Sample Dean of 
        Agriculture, Purdue University, West Lafayette, IN; on 
        behalf of APLU
           Mr. Richard Wilkins, Chairman American 
        Soybean Association; Vice President, National Coalition 
        for Food and Agricultural Research, Greenwood, DE
           Dr. James C. Carrington, President, Donald 
        Danforth Plant Science Center, St. Louis, MO
    This hearing explored agricultural research (Title VII of 
the 2014 Farm Bill). The witnesses provided a general overview 
of the topic, stressing the important role that research plays 
in ensuring that American agriculture remains competitive and 
capable of addressing growing needs around the world. The 
witnesses also highlighted growing concerns over declining 
public investment in agricultural research and the fact that 
other countries are now significantly outpacing the United 
States in terms of agricultural research investment.
    On March 16, 2017, the Subcommittee on Conservation and 
Forestry held a hearing entitled, ``The Next Farm Bill: 
Forestry Initiatives'' where the following witnesses testified 
on matters included in H.R. 2:
           Mr. George Geissler, C.F., Oklahoma State 
        Forester, Vice President, National Association of State 
        Foresters, Oklahoma City, OK
           Ms. Susan Benedict, Managing Partner, 
        Beartown Family Limited Partnership, State College, PA
           Mr. Jim D. Neiman, President & CEO, Neiman 
        Enterprises, Inc.; President, Federal Forest Resource 
        Coalition, Hulett, WY
           Ms. Rebecca A. Humphries, Chief Conservation 
        and Operations Officer, National Wild Turkey Federal, 
        Edgefield, SC
           Mr. Tom Harbour, Retired National Director, 
        Fire & Aviation Management, U.S. Forest Service; 
        Founder, Harbour Fire Consulting, Falls Church, VA
    In the hearing the witnesses evaluated the effectiveness of 
farm bill authorized provisions that impact Forest Service 
managed lands, as well as state and private forestry. The focus 
was on the forestry, conservation, and energy titles of the 
2014 Farm Bill. Of particular interest to Members and the 
witnesses was the effect that management decisions had on 
catastrophic wildfires. They discussed challenges to reducing 
fuel loads through the removal of timber and biomass, and 
needed technical assistance for private forests owners to 
manage properly. Witnesses also testified about the importance 
of markets for wood products to drive forest management.
    On March 21, 2017, the Subcommittee on Nutrition held a 
hearing entitled, ``The Next Farm Bill: Nutrition Distribution 
Programs'' where the following witnesses testified on matters 
included in H.R. 2:
           Ms. Carrie Calvert, Director of Tax and 
        Commodity Policy, Feeding America, Washington, D.C.
           Mr. Frank Kubik, CSFP Director, Focus: HOPE, 
        Detroit, MI
           Mr. Jerry Tonubbee, Director--Food 
        Distribution Program, Choctaw Nation of Oklahoma, 
        Durant, OK
           Ms. Diane Kriviski, Deputy Administrator 
        Supplemental Nutrition and Safety Programs, Food and 
        Nutrition Service, USDA, Alexandria, VA
    This hearing provided Members with operational and policy 
perspectives associated with three food distribution programs 
within the nutrition title: The Emergency Food Assistance 
Program (TEFAP), the Commodity Supplemental Food Program 
(CSFP), and the Food Distribution Program on Indian 
Reservations (FDPIR). Witnesses provided information on how 
USDA Foods are distributed, associated eligibility criteria and 
legal authority, as well as how these distribution programs 
differ from one another, how they interact, and how TEFAP, 
CSFP, and FDPIR, along with the Supplemental Nutrition 
Assistance Program (SNAP), strengthen the nutrition safety net 
and provide support to citizens in need.
    On March 21, 2017, the Subcommittee on Livestock and 
Foreign Agriculture held a hearing entitled, ``The Next Farm 
Bill: Livestock Producer Perspectives'' where the following 
witnesses testified on matters included in H.R. 2:
           Mr. Craig Uden, President, National 
        Cattlemen's Beef Association, Johnson Lake, NE
           Mr. Carl Wittenburg, Chairman, National 
        Turkey Federation, Alexandria, MN
           Mr. Bob Buchholz, Region V Executive Board 
        Representative, American Sheep Industry Association, 
        Eldorado, TX
           Mr. David D. Herring, Vice President and 
        Board Member, National Pork Producers Council, Newton 
        Grove, NC
    Despite the lack of a formal ``livestock title'' in the 
most recent farm bill, livestock producers participate in a 
variety of U.S. Department of Agriculture (USDA) programs and 
initiatives. This hearing gave representatives from four of the 
major livestock producer groups the opportunity to discuss 
their experiences with existing programs and initiatives, as 
well as an opportunity to generally discuss the issues facing 
the livestock industry, and namely, to lay out their priorities 
for the upcoming farm bill.
    On March 22, 2017, the Full Committee held a hearing 
entitled, ``The Next Farm Bill: Dairy Policy'' where the 
following witnesses testified on matters included in H.R. 2:
           Mr. James Mulhern, President and CEO, 
        National Milk Producers Federation, Arlington, VA
           Dr. Michael D. Dykes, President and CEO, 
        International Dairy Foods Association, Washington, D.C.
    This hearing reviewed current dairy policy and explored 
options to make it more effective for farmers in the next farm 
bill. The witnesses provided a general overview of the state of 
the dairy industry, which is experiencing an extended period of 
low prices. They discussed the effectiveness of the Margin 
Protection Program (MPP), which was crafted in the 2014 Farm 
Bill during a time when dairy farmers were dealing with record 
feed costs that were squeezing margins on the farm. Witnesses 
also touched on international issues that have arisen, 
hindering their ability to sell their products overseas in 
markets that they have become increasingly dependent upon.
    On March 28, 2017, the Subcommittee on General Farm 
Commodities and Risk Management held a hearing entitled, ``The 
Next Farm Bill: Commodity Policy--Part 1'' where the following 
witnesses testified on matters included in H.R. 2:
           Mr. Wesley Spurlock, President, National 
        Corn Growers Association, Stratford, TX
           Mr. Ron Moore, President, American Soybean 
        Association, Roseville, IL
           Mr. David K. Schemm, President, National 
        Association of Wheat Growers, Sharon Springs, KS
           Mr. Peter Friederichs, President, National 
        Barley Growers Association, Foxhome, MN
           Mr. Dan Atkisson, Vice Chairman, National 
        Sorghum Producers, Stockton, KS
    This was a continuation of a series of subcommittee 
hearings to set the stage for the next farm bill, and the first 
to concentrate on provisions in the commodities (Title I) and 
crop insurance titles (Title XI). The hearing focused on how 
the farm safety net of the 2014 Farm Bill has performed thus 
far and what changes will need to be made in the next farm 
bill. Testimonies expressed the justifications for farm policy, 
its importance to farmers, and contained recommendations to 
improve the safety net. Witnesses were producers representing 
the national associations for corn, soybeans, wheat, barley, 
and grain sorghum producers.
    On March 28, 2017, the Subcommittee on Nutrition held a 
hearing entitled, ``The Next Farm Bill: The Future of SNAP'' 
where the following witnesses testified on matters included in 
H.R. 2:
           Ms. Stacy Dean, Vice President for Food 
        Assistance Policy, Center on Budget and Policy 
        Priorities, Washington, D.C.
           Mr. Russell Sykes, Director, Center for 
        Employment and Economic Well-Being, American Public 
        Human Services Association, Washington, D.C.
           Mr. Joseph ``Joe'' Arthur, Executive 
        Director, Central Pennsylvania Food Bank, Harrisburg, 
        PA
           Mr. Josh Protas, Vice President of Public 
        Policy, MAZON--A Jewish Response to Hunger, Washington, 
        D.C.
           Ms. Jennifer Hatcher, Chief Public Policy 
        Officer and Senior Vice President, Government and 
        Public Affairs, Food Marketing Institute, Arlington, VA
    The House Committee on Agriculture completed a 
comprehensive review of the Supplemental Nutrition Assistance 
Program (SNAP) during the 114th Congress. Known as the Past, 
Present, and Future of SNAP, the purpose of the review was to 
provide a better understanding of SNAP, the population it 
serves, how the program administers food benefits and other 
services to assist that population, and to examine ways the 
program can be improved. This hearing provided an additional 
opportunity for stakeholders and Members to discuss priorities 
for improvements to SNAP in the upcoming farm bill, including 
fostering adequate nutrition, improving self-sufficiency, 
bettering outcomes for children and families via education, and 
continuing to improve program efficiency and integrity.
    On April 4, 2017, the Subcommittee on General Farm 
Commodities and Risk Management held a hearing entitled, ``The 
Next Farm Bill: Commodity Policy--Part 2'' where the following 
witnesses testified on matters included in H.R. 2:
           Mr. Ronnie Lee, Chairman, National Cotton 
        Council, Bronwood, GA
           Mr. Blake Gerard, Chairman, USA Rice Farmers 
        Board of Directors, Cape Giarardeau, MO; on behalf of 
        USA Rice Federation
           The Honorable Timothy E. McMillan, Co-
        Founder and Co-Owner, Southern Grace Farms, Enigma, GA; 
        on behalf of Southern Peanut Farmers Federation
           Mr. Robert Rynning, President, U.S. Canola 
        Association, Kennedy, MN; on behalf of the National 
        Sunflower Association
           Mr. Jack Roney, Director of Economics and 
        Policy Analysis, American Sugar Alliance, Arlington, VA
    This was a continuation of a series of subcommittee 
hearings to set the stage for the next farm bill, and the 
second to concentrate on provisions in the commodities (Title 
I) and crop insurance titles (Title XI). The hearing focused on 
how the farm safety net of the 2014 Farm Bill has performed 
thus far and what changes will need to be made in the next farm 
bill. Testimonies expressed the justifications for farm policy, 
its importance to farmers, and contained recommendations to 
improve the safety net. Witnesses were representatives of the 
national associations for cotton, rice, peanut, oilseed, and 
sugar producers.
    On April 4, 2017, the Subcommittee on Commodity Exchanges, 
Energy, and Credit held a hearing entitled, ``The Next Farm 
Bill: Credit Programs'' where the following witnesses testified 
on matters included in H.R. 2:
           Mr. Douglas Thiessen, CEO, Alabama Ag 
        Credit, Montgomery, AL; on behalf of the Farm Credit 
        System
           Mr. Timothy L. Buzby, President and Chief 
        Executive Officer, Federal Agricultural Mortgage 
        Corporation, Washington, D.C.
           Mr. Nathan E. Franzen, President, Ag 
        Division, First Dakota National Bank, Yankton, SD; on 
        behalf of American Bankers Association
           Mr. Steven J. Handke, President & CEO, The 
        Union State Bank of Everest; At-Large Director, 
        Independent Community Bankers of America, Everest, KS
           Mr. W. Scott Marlow, Executive Director, 
        Rural Advancement Foundation International USA, 
        Pittsboro, NC; on behalf of the National Sustainable 
        Agriculture Coalition
    During this hearing the Committee evaluated the 
effectiveness of the Farm Service Agency credit programs 
authorized by the Committee through the farm bill. The focus 
stayed on the decline in net farm income and how all lending 
institutions are adjusting to the changing needs of producers 
in these economic times. Witnesses spoke to the importance of 
all programs, both direct and guaranteed, to their ability to 
provide reliable credit to producers of all kinds. Additional 
discussion surrounded the use of Farmer Mac as a secondary 
market for agricultural banks to continue to serve customers 
for years to come.
    On June 7, 2017, the Full Committee on Agriculture held a 
hearing entitled, ``The Next Farm Bill: The Future of 
International Food Aid and Agricultural Development'' where the 
following witnesses testified on matters included in H.R. 2:
           Mr. Ronald J. Suppes, dryland wheat and 
        sorghum producer, Dighton, KS; on behalf of U.S. Wheat 
        Associates
           Ms. Margaret Schuler, Senior Vice President 
        of the International Programs Group, World Vision--
        U.S., Washington, D.C.
           Ms. Navyn Salem, Founder and Chief Executive 
        Officer, Edesia Inc., Kingstown, RI
           Mr. Brian W. Schoeneman, J.D., Political and 
        Legislative Director, Seafarers International Union 
        (AFL-CIO), Washington, D.C.; on behalf of USA Maritime
           Dr. Thomas S. Jayne, Foundation Professor of 
        Agricultural, Food, and Resource Economics, Michigan 
        State University, Kalamazoo, MI; on behalf of the Farm 
        Journal Foundation
    The purpose of this hearing was to build on extensive work 
done by the Committee during the 114th Congress reviewing U.S. 
international food aid and agriculture development programs. 
Witnesses representing a broad range of stakeholder viewpoints 
discussed how the Administration's recent budget proposal would 
be detrimental to their work. Testimony was provided on behalf 
of a commodity group, a private voluntary organization (PVO), a 
Ready-to-Use-Food (RUTF) manufacturer, a maritime coalition, 
and a nonprofit policy foundation. The hearing explored how 
programs eliminated or reduced within the President's budget 
proposal actually are a strong fit within the current 
Administration's `America First' policy based on job creation, 
national security, commodity usage, and other benefits. Members 
asked questions related to potential policy changes as they 
prepare to craft the upcoming farm bill.
    On June 8, 2017, the Subcommittee on Nutrition held a 
hearing entitled, ``The Next Farm Bill: SNAP Technology and 
Modernization'' where the following witnesses testified on 
matters included in H.R. 2:
           Mr. Jason Boswell, Vice President for 
        Programs, Conduent, State and Local Solutions, Inc., 
        Florham Park, NJ
           Mr. Steve Mathison, Senior Vice President of 
        Network Relations, First Data Corporation, Washington, 
        D.C.
           Ms. Vickie Yates Brown Glisson, J.D., 
        Secretary, Kentucky Cabinet for Health and Family 
        Services, Frankfort, KY
           Ms. Lauren Aaronson, Assistant Deputy 
        Commissioner, Office of Business Process Innovation, 
        New York City Human Resources Administration, New York, 
        NY
    The House Committee on Agriculture completed a 
comprehensive review of the Supplemental Nutrition Assistance 
Program (SNAP) during the 114th Congress. Known as the Past, 
Present, and Future of SNAP, the purpose of the review was to 
provide a better understanding of SNAP, the population it 
serves, how the program administers food benefits and other 
services to assist that population, and to examine ways the 
program can be improved. This hearing focused on technology and 
modernization, including areas that strengthen program 
integrity, improve the customer experience, streamline delivery 
of services, and ease administrative burden. Witnesses 
reinforced this discussion via testimony on eligibility and 
issuance systems, customer-facing technologies, and business 
enhancements.
    On June 22, 2017, the Full Committee on Agriculture held a 
hearing entitled, ``The Next Farm Bill: University Research'' 
where the following witnesses testified on matters included in 
H.R. 2:
           The Honorable Robert L. Duncan, J.D., 
        Chancellor, Texas Tech University System, Lubbock, TX
           Dr. Jacqueline K. Burns, Dean for Research 
        and Director, University of Florida Institute of Food 
        and Agricultural Sciences, Florida Agricultural 
        Experiment Station, Gainesville, FL
           The Honorable Glenda Humiston, Ph.D., Vice 
        President, Agriculture and Natural Resources, 
        University of California, Oakland, CA
           Dr. Walter H. Hill, Dean of the College of 
        Agriculture, Environment and Nutrition Sciences and 
        Vice Provost for Land-Grant University Affairs, 
        Tuskegee University, Tuskegee, AL
           Dr. Steven H. Tallant, President, Texas A&M 
        University--Kingsville, Kingsville, TX
           Ms. Carrie L. Billy, J.D., President and 
        CEO, American Indian Higher Education Consortium, 
        Alexandria, VA
    The purpose of this hearing was to highlight the importance 
of agricultural research conducted by the U.S. university 
system, and to discuss pressing issues facing these 
institutions including deferred maintenance of research 
infrastructure and facilities. Witnesses represented a variety 
of university types including a non-land-grant agriculture 
institution, two ``1862s'' conventional land-grant 
institutions, a ``1890s'' historically black institution, a 
representative of the ``1994s'' tribal institutions, and a 
Hispanic-serving agriculture institution. The hearing explored 
how various funding streams impact university agricultural 
research and examples of successful research innovations. 
Provided testimony covered areas such as research 
prioritization, infrastructure needs, and funding types. 
Members asked questions related to agricultural research 
funding and potential policy changes as they prepare to craft 
the upcoming farm bill.
    On July 12, 2017, the Full Committee on Agriculture held a 
hearing entitled, ``The Next Farm Bill: Technology and 
Innovation in Specialty Crops'' where the following witnesses 
testified on matters included in H.R. 2:
           Mr. Paul J. Wenger, President, California 
        Farm Bureau Federation, Sacramento, CA
           Mr. Paul Heller, Vice President, Wonderful 
        Citrus, Texas Division, Mission, TX
           Mr. Gary E. Wishnatzki, Owner and CEO, Wish 
        Farms, Plant City, FL
           Mr. Kevin Murphy, Chief Executive Officer, 
        Driscoll's, Inc., Watsonville, CA
           Mr. Andrew W. LaVigne, President and CEO, 
        American Seed Trade Association, Alexandria, VA
    The purpose of this hearing was to highlight innovation in 
the specialty crop industry and discuss ways the next farm bill 
can further benefit specialty crop producers. Witnesses 
represented various parts of the specialty crop industry 
including producers, a marketer, a mechanization start-up co-
founder, a state agriculture federation representative, and a 
trade association official. Provided testimony focused largely 
on the impact of the agricultural labor shortfall on specialty 
producers and the witnesses' experiences with farm bill 
programs such as marketing and promotion, research and 
extension, plant pest and disease protections, and crop 
insurance. The Chairman shared comments related to the need for 
increased public understanding that despite being treated 
differently than many row crops within the farm safety net, a 
variety of supports are in place for specialty crops that 
should not be overlooked. Members asked questions related to 
specialty producers' involvement in current USDA programs and 
potential policy changes as they prepare to craft the upcoming 
farm bill, as well as plant breeding and consumer acceptance of 
new technologies.
    On July 18, 2017, the Subcommittee on Nutrition held a 
hearing entitled, ``The Next Farm Bill: Pathways to Success for 
SNAP Households'' where the following witnesses testified on 
matters included in H.R. 2:
           Dr. Harry J. Holzer, John LaFarge Jr., SJ 
        Professor of Public Policy, McCourt School of Public 
        Policy, Georgetown University, Washington, D.C.
           Mr. Eliyahu Lotzar, M.S.W., Student Success 
        Coordinator, Onondaga Community College Department of 
        Economic & Workforce Development, Syracuse, NY
           Ms. Heather Reynolds, President and CEO, 
        Catholic Charities Fort Worth, Fort Worth, TX
    The House Committee on Agriculture completed a 
comprehensive review of the Supplemental Nutrition Assistance 
Program (SNAP) during the 114th Congress. Known as the Past, 
Present, and Future of SNAP, the purpose of the review was to 
provide a better understanding of SNAP, the population it 
serves, how the program administers food benefits and other 
services to assist that population, and to examine ways the 
program could be improved. This hearing allowed for discussion 
of career and education pathway approaches that could 
facilitate improved opportunities for SNAP recipients and 
households to succeed in the labor market. Witnesses reinforced 
this discussion via testimony on the labor market, curriculum 
development and soft skill education, and the importance of 
case management as an enhancement to work-specific programming.
    In addition to the Committee's farm bill hearings in the 
115th Congress outlined above, the Committee held six listening 
sessions entitled, ``Farm Bill Listening Sessions: 
Conversations in the Field''. The listening sessions were held 
in the following locations:
           Gainesville, FL (June 24, 2017)
           San Angelo, TX (July 31, 2017)
           Morgan, MN (August 3, 2017)
           Modesto, CA (August 5, 2017)
           Decatur, IL (August 30, 2017)
           Cobleskill, NY (October 9, 2017)
    The Committee heard over seventeen hours of testimony and 
had over 1,100 producers and interested parties in attendance.
    In the 114th Congress, the Committee also held hearings in 
anticipation of the reauthorization of the 2014 Farm Bill.
    On February 25, 2015, the Full Committee on Agriculture 
held a hearing entitled, ``Past, Present, and Future of SNAP'' 
where the following witnesses testified on matters included in 
H.R. 2:
           Mr. Douglas J. Besharov, Norman & Florence 
        Brody Professor, School of Public Policy, University of 
        Maryland, College Park, MD
           Mr. Robert Greenstein, Founder and 
        President, Center on Budget and Policy Priorities, 
        Washington, D.C.
    The purpose of the hearing was to launch the top-to-bottom 
review of the Supplemental Nutrition Assistance Program (SNAP) 
by examining the past, present, and future of the program. This 
hearing begins the full-scale review of the SNAP program, so 
that as the Committee approaches reauthorization, the review 
will help prepare the Committee to make meaningful improvements 
to the program. This hearing provided Members of the Committee 
a brief history of the program, the current state of the 
program, and a potential vision for the future.
    On February 26, 2015, the Subcommittee on Nutrition held a 
hearing entitled, ``Past, Present, and Future of SNAP: SNAP 
Recipient Characteristics and Dynamics'' where the following 
witnesses testified on matters included in H.R. 2:
           Ms. Karen Cunnyngham, Senior Researcher, 
        Mathematica Policy Research, Washington, D.C.
           Dr. Gregory B. Mills, Senior Fellow, Urban 
        Institute, Washington, D.C.
           Mr. Stephen J. Tordella, President, Decision 
        Demographics, Washington, D.C.
           Dr. James P. Ziliak, Founding Director, 
        Center for Poverty Research, University of Kentucky, 
        Lexington, KY
    The purpose of this hearing was to better understand the 
SNAP population through published research on the 
characteristics and dynamics of participants in the 
Supplemental Nutrition Assistance Program (SNAP). The hearing 
gave Members an opportunity to gain a better understanding of 
the SNAP population and various subpopulations. Members 
discussed with the witnesses various aspects of SNAP enrollment 
and re-certification, studies on duration of participation in 
the program, and circumstances in which a household would cycle 
on and off the program, known as ``churn.''
    On March 26, 2015, the Subcommittee on General Farm 
Commodities and Risk Management, held a hearing entitled 
``Implementing the Agricultural Act of 2014: Commodity Policy 
and Crop Insurance'' where the following witnesses testified on 
matters included in H.R. 2:
           Mr. Brandon Willis, Administrator, Risk 
        Management Agency, United States Department of 
        Agriculture, Washington, D.C.
           Mr. Val Dolcini, J.D., Administrator, Farm 
        Service Agency, United States Department of 
        Agriculture, Washington, D.C.
    The purpose of this hearing was to examine implementation 
of Titles I and XI of the Agricultural Act of 2014, which was 
signed into law February 7, 2014. With implementation nearing 
completion, much of Act has been implemented satisfactorily by 
USDA's Farm Service Agency (FSA) and Risk Management Agency 
(RMA). However, a small number of technical items have the 
potential to produce many unintended consequences if they are 
not implemented as Congress intended. Subcommittee Members 
heard implementation updates from the two witnesses--the RMA 
Administrator and the FSA Administrator. Subcommittee Members 
inquired about different outstanding implementation issues, 
including assignment of yields on generic base acres; use of 
cover crops on generic base acres; administrative FSA counties; 
and others.
    On April 15, 2015, the Full Committee on Agriculture held a 
hearing entitled, ``Past, Present, and Future of SNAP: The 
World of Nutrition and the Role of the Charitable Sector'' 
where the following witnesses testified on matters included in 
H.R. 2:
           Ms. Kate Maehr, Executive Director and CEO, 
        Greater Chicago Food Depository, Chicago, IL
           Ms. Keleigh Green-Patton, Chicago's 
        Community Kitchens, Chicago, IL
           Mr. Dustin Kunz, Research Manager, 
        Salesforce Administrator and Developer, Texas Hunger 
        Initiative, Waco, TX
           Ms. Lynda Taylor Ender, AGE Director, The 
        Senior Source, Dallas, TX
           Mr. Jonathan Webb, Director of Foundations 
        and Community Engagement, Feed the Children, Edmond, OK
    This hearing is a continuation of the full-scale review, of 
the SNAP program the Agriculture Committee is conducting 
entitled, The Past, Present, and Future of SNAP. This hearing 
provided Members of the Committee a big picture view of the 
world of nutrition to understand that the government is not 
alone in providing nutrition assistance. Many charitable 
organizations and non-governmental entities play a critical 
role in helping families overcome poverty. Our witnesses from 
the charitable sector discussed the collaboration that must 
exist between the private-sector and the government to best 
fight hunger and poverty.
    On April 29, 2015, the Subcommittee on Conservation and 
Forestry held a hearing entitled, ``To Review the National 
Forest System and Active Forest Management'' where the 
following witnesses testified on matters included in H.R. 2:
           Mr. Thomas L. Tidwell, Chief, U.S. Forest 
        Service, USDA, Washington, D.C.
           Ms. Susan Swanson, Executive Director, 
        Allegany Hardwood Utilization Group, Inc., Kane, PA
           Ms. Rebecca A. Humphries, Chief Conservation 
        Officer, National Wild Turkey Federation, Edgefield, SC
           Ms. Laura Falk McCarthy, Director of 
        Conservation Programs, The Nature Conservancy, Santa 
        Fe, NM
    The purpose of this hearing was to review the management of 
the National Forest System and conduct oversight over 
implementation of the forestry provisions in the Agricultural 
Act of 2014. Members heard testimony from U.S. Forest Service 
Chief Tom Tidwell, as well as stakeholders representing 
forestry, sportsmen, and conservation industries. Several 
topics were discussed during questioning, including wildfire 
prevention and suppression funding; timelines for implementing 
the final farm bill provisions; the Endangered Species Act 
recent listings and the impacts on forests; challenges for the 
U.S. Forest Service; and others.
    On May 20, 2015, the Subcommittee on Nutrition held a 
hearing entitled, ``Past, Present, and Future of SNAP: The 
World of Nutrition, Government Duplication and Unmet Needs'' 
where the following witnesses testified on matters included in 
H.R. 2:
           Ms. Kay E. Brown, Director, Education, 
        Workforce, and Income Security, U.S. Government 
        Accountability Office, Washington, D.C.
           Dr. Angela K. Rachidi, Research Fellow in 
        Poverty Studies, American Enterprise Institute, 
        Washington, D.C.
           Mr. Joseph Nader, Executive Chef, Levy 
        Restaurants and Detroit Lions; and volunteer chef for 
        Share Our Strength's Cooking Matters, Detroit, MI
           Sherrie Tussler, Executive Director, Hunger 
        Task Force, Milwaukee, WI
    This hearing provided Members of the Committee a big 
picture view of the world of government nutrition. It is 
important for Members to understand that SNAP, while it is the 
largest, is not the only government program providing nutrition 
assistance and fighting poverty. There are at least 17 other 
federally funded nutrition programs helping families overcome 
poverty, which together account for more than $100 billion 
every year in domestic food assistance. Members heard from 
witnesses suggestions on how to improve coordination among 
various agencies and programs to reduce duplication and better 
target unmet needs.
    On June 10, 2015, the Full Committee on Agriculture held a 
hearing entitled, ``Past, Present, and Future of SNAP: The 
Means to Climbing the Economic Ladder'' where the following 
witnesses testified on matters included in H.R. 2:
           Mr. Patrick J. Raglow, Executive Director, 
        Catholic Charities of the Archdiocese of Oklahoma City, 
        Oklahoma City, OK
           Mr. Leon A. Samauels, Jr., Executive 
        Director, STRIVE DC, Inc., Washington, D.C.
           Dr. Elisabeth D. Babcock, MCRP, President 
        and CEO, Crittenton Women's Union, Boston, MA
           Mr. Grant E. Collins II, Senior Vice 
        President, Workforce Development and Executive 
        Director, Fedcap Rehabilitation Services, Inc., New 
        York, NY
    This hearing continued upon the Committee's review of the 
Past, Present and Future of SNAP. The focus of this hearing was 
for Members to better understand the ways individuals move out 
of poverty and into employment and higher earning jobs. For 
most individuals, getting an entry-level job is easier than 
maintaining that job, or improving toward higher paying jobs 
that can actually support their families. We heard from 
witnesses who work directly with low-income or unemployed 
clients about the innovative methods they utilize for helping 
their clients move out of poverty and up the economic ladder. 
One witness described his organization's three week attitudinal 
job prep class for clients with limited work experience. 
Another witness described conducting comprehensive assessments 
of clients with medical or mental health barriers to determine 
what capabilities they do have so they could be matched with 
appropriate work. The panel was consistent that these shorter-
term efforts must be accompanied by long-term case management 
in order for individuals to achieve overall success.
    On June 11, 2015, the Subcommittee on Conservation and 
Forestry held a hearing entitled, ``Implementing the 
Agricultural Act of 2014: Conservation Programs'' where the 
following witnesses testified on matters included in H.R. 2:
           Mr. Jason Weller, Chief, Natural Resources 
        Conservation Service, U.S. Department of Agriculture, 
        Washington, D.C.
           Mr. Val Dolcini, J.D., Administrator, Farm 
        Service Agency, U.S. Department of Agriculture, 
        Washington, D.C.
           Mr. Brent Van Dyke, 1st Vice President, 
        National Association of Conservation Districts, Hobbs, 
        NM
           Mr. William ``Buddy'' H. Allen, rice 
        producer; Member, USA Rice Federation Conservation 
        Committee, Tunica, MS
           The Honorable Karen L. Martynick, Executive 
        Director, Lancaster Farmland Trust, Strasburg, PA
           Mr. James E. Inglis, Government Affairs 
        Representative, Pheasants Forever, Inc. and Quail 
        Forever, Upper Sandusky, OH
    The purpose of this hearing was to review the 
implementation of the conservation programs in the Agricultural 
Act of 2014. Members heard testimony from Natural Resources 
Conservation Service Chief Jason Weller and Farm Service Agency 
Administrator Val Dolcini. The second panel comprised 
stakeholders representing conservation districts, commodity 
organizations, farmland trusts, and sportsmen groups. Members 
were especially concerned with the implementation of the 
linkage of conservation to crop insurance premium subsidies, 
and the requirement of an AD-1026 form to be filed by June 1, 
2015. Other topics of discussion were implementation of new 
Conservation Reserve Program (CRP) provisions and the new 
Regional Conservation Partnership Program (RCPP).
    On June 25, 2015, the Subcommittee on Biotechnology, 
Horticulture, and Research held a hearing entitled, ``Review of 
USDA Marketing Programs'' where the following witnesses 
testified on matters included in H.R. 2:
           Dr. Craig Morris, Deputy Administrator, 
        Livestock Poultry and Seed Program, Agricultural 
        Marketing Service, USDA, Washington, D.C.
    The purpose of this subcommittee hearing was to review the 
programs of AMS to gain insight into how a national standard 
for genetic engineering marketing claims might work. The 
Quality Assessment Division's (QAD) Audit Services Branch (ASB) 
within the Agricultural Marketing Service, Livestock, Poultry, 
and Seed Program, provides a family of user-fee-funded, audit 
based third-party verification programs and services to the 
agricultural industry under its Quality Systems Verification 
Programs (QSVP). The QSVP are designed to provide suppliers the 
opportunity to assure customers of their ability to provide 
consistent quality products or services. Under a QSVP, a 
supplier's documented quality management system is verified 
through independent third-party audits conducted by qualified 
QAD staff. During an audit, a client's documented quality 
management system is verified to assure customer requirements 
and marketing points are being adhered to. In order to ensure 
consistent auditing practices and promote international 
recognition of audit results, ASB auditors utilize the 
International Organization for Standardization (ISO) 19011:2011 
guidelines for quality management systems auditing. Within the 
umbrella of QSVP, there are three primary audit programs: 
Process Verified Program, Quality System Assessment Program, 
and the Accreditation Program.
    On June 25, 2015, the Subcommittee on Nutrition held a 
joint hearing with the Subcommittee on Human Resources, of the 
Committee on Ways and Means, entitled, ``Past, Present, and 
Future of SNAP: How Our Welfare System Can Discourage Work'' 
where the following witnesses testified on matters included in 
H.R. 2:
           Dr. Casey Mulligan, Professor, Department of 
        Economics, University of Chicago, Chicago, IL
           Ms. Chanel McCorkle, Baltimore MD, 
        accompanied by Marsha Netus, Director of Operations, 
        America Works, Baltimore, MD
           Mr. Erik Randolph, Senior Fellow, Illinois 
        Policy Institute, Chicago, IL
           Ms. Olivia Golden, Executive Director, 
        Center for Law and Social Policy (CLASP), Washington, 
        D.C.
           Dr. Eugene Steuerle, Senior Fellow, Urban 
        Institute, Washington, D.C.
    This hearing is a continuation of the full-scale review, of 
the SNAP program the Agriculture Committee is conducting known 
as the Past, Present, and Future of SNAP. As we have heard 
through our review, sometimes higher earnings do not 
necessarily translate to higher total income. Low-income 
families often receive many types of welfare and tax benefits, 
such as assistance with food, housing, and day care costs; help 
with medical costs; or tax refunds to supplement earnings from 
work. While the goal of these programs is often to support and 
encourage employment, benefit ``phase-out rules''--especially 
when combined across multiple programs--mean that they may do 
just the opposite. This hearing provided information on how 
these program interactions discourage work and possible 
solutions to address the problem to ensure that work always 
pays.
    On July 15, 2015, the Subcommittee on Nutrition held a 
hearing entitled, ``Past, Present, and Future of SNAP: 
Developing and Using Evidence-Based Solutions'' where the 
following witnesses testified on matters included in H.R. 2:
           The Honorable Jon Baron, Vice President for 
        Evidence-Based Policy, Laura & John Arnold Foundation, 
        Washington, D.C.
           Mr. James D. Weill, J.D., President, Food 
        Research and Action Center, Washington, D.C.
           Dr. James X. Sullivan, Rev. Thomas J. 
        McDonagh, C.S.C., Associate Professor of Economics, 
        University of Notre Dame, and Director, Wilson Sheehan 
        Lab for Economic Opportunities, South Bend, IN
           Mr. Jeremy K. Everett, Director, Texas 
        Hunger Initiative, Waco, TX
    This hearing is a continuation of the full-scale review, of 
the SNAP program the Agriculture Committee is conducting known 
as the Past, Present, and Future of SNAP. Evidence-based 
solutions are determined through program evaluation. It is a 
robust approach to collecting, analyzing, interpreting, and 
communicating information about the effectiveness of social 
programs or intervention, which are the variations or 
additional services within the program, for the purpose of 
improving social conditions. Social science research methods 
have greatly improved program metrics: reducing the cost, and 
increasing the timeliness and usability of more sophisticated 
results that can specifically isolate the positive and negative 
impacts of interventions. Yet, these advancements have yet to 
catch on in SNAP. By knowing what works and what doesn't, 
limited program resources can be better targeted to those 
interventions that have the greatest impact to ultimately 
improve the program.
    On July 9, 2015, the Subcommittee on Livestock and Foreign 
Agriculture held a hearing entitled, ``U.S. International Food 
Aid Programs: Oversight and Accountability'' where the 
following witnesses testified on matters included in H.R. 2:
           Mr. Thomas Melito, Director, International 
        Affairs and Trade, U.S. Government Accountability 
        Office, Washington, D.C.
           Ms. Catherine M. Trujillo, Acting Deputy 
        Inspector General, U.S. Agency for International 
        Development, Washington, D.C.
           Mr. Rodney G. DeSmet, Deputy Assistant 
        Inspector General for Audit, USDA Office of the 
        Inspector General, Washington, D.C.
    This hearing was the second in a series to review current 
international food aid programs implemented by USAID and USDA. 
Witnesses from the Government Accountability Office (GAO) and 
the USDA and USAID Offices of the Inspector General testified 
about their work to monitor the implementation of various food 
aid projects. The Members and witnesses made clear that efforts 
have only just begun to evaluate the issues that come with 
shifting to cash-based assistance, and much more attention to 
the matter is needed in order to strike the proper balance of 
in-kind and cash-based assistance made available through the 
next farm bill.
    On September 30, 2015, the Full Committee held a hearing 
entitled, ``U.S. International Food Aid Programs: Stakeholder 
Perspectives'' where the following witnesses testified on 
matters included in H.R. 2:
           Ms. Laura Dills, Deputy Regional Director of 
        Program Quality, East Africa Regional Office, Catholic 
        Relief Services, Baltimore, MD
           Mr. Lucas Koach, Director of Public Policy 
        and Advocacy, Food for the Hungry, Washington, D.C.
           Mr. John Didion, CEO, Didion Milling, 
        Johnson Creek, WI
           Mr. Jeffrey L. Peanick, CEO, Breedlove 
        Foods, Inc., Lubbock, TX
           Mr. Wade Cowan, President, American Soybean 
        Association, Brownfield, TX
           Mr. James William Warshaw, Chairman, Food 
        Aid Subcommittee USA Rice, Lake Charles, LA
    The purpose of this hearing was to continue the Committee's 
review of U.S. international food aid programs by giving 
private voluntary organizations, commodity groups, and 
agricultural suppliers an opportunity to share their 
experiences regarding the strengths and potential weaknesses of 
the current slate of programs administered by the U.S. 
Department of Agriculture (USDA) and the U.S. Agency for 
International Development (USAID). The hearing helped Members 
develop a better understanding of the implementing partners' 
respective roles in the overall scheme of international food 
aid, and the witnesses' input will serve as a valuable guide 
for future farm bill negotiations through which the Committee 
will strive to strike the appropriate balance between in-kind 
and cash-based assistance.
    On October 27, 2015, the Subcommittee on Nutrition held a 
hearing entitled, ``Past, Present, and Future of SNAP: Breaking 
the Cycle'' where the following witnesses testified on matters 
included in H.R. 2:
           Dr. Caroline Ratcliffe, Senior Fellow and 
        Economist, Urban Institute Center on Labor, Human 
        Services, and Population, Washington, D.C.
           Ms. Ruth Riley, former WNBA Athlete and 
        Olympic Gold Medalist, Granger, IN; on behalf of NBA 
        Cares
           Dr. Eduardo Ochoa, Jr., Little Rock, AR; on 
        behalf of Children's HealthWatch
           Dr. Ron Haskins, Senior Fellow, Economic 
        Studies and Co-Director, Brookings Institution Center 
        on Children and Families, Washington, D.C.
    This hearing explored the impact that poverty has on 
children and what factors can help to improve the likelihood of 
success as an adult. Parents want their children to have a 
better chance at succeeding than they did--it's the definition 
of economic mobility and the American Dream. This can be a 
tough goal to attain if the child grows up in a stressful and 
unstable environment. Like prior hearings, the importance of a 
holistic approach to addressing poverty is required in order to 
help children to break the cycle. Testimony was presented by 
policy experts and an individual who has first-hand experience 
breaking the cycle of poverty.
    On November 18, 2015, the Full Committee on Agriculture 
held a hearing entitled, ``Past, Present, and Future of SNAP: 
The National Commission on Hunger'' where the following 
witnesses testified on matters included in H.R. 2:
           Dr. Mariana Chilton, Co-Chair of the 
        National Commission on Hunger, Director of the Center 
        for Hunger-Free Communities, Drexel University, 
        Philadelphia, PA
           Mr. Robert Doar, Co-Chair of the National 
        Commission on Hunger, Morgridge Fellow in Poverty 
        Studies, American Enterprise Institute, Washington, 
        D.C.
    This hearing featured the Co-Chairs of the National 
Commission on Hunger who shared their efforts over the last 
year traveling the country to see and listen to those closest 
to the issue to better understand the challenges, as well as 
learn about the successes. The Commission's final report had 
been expected prior to the hearing, but instead was released at 
the beginning of 2016. The hearing and testimony focused on 
their year-long process, general themes, and a limited number 
of recommendations, including addressing the veteran 
population, utilizing evidence-based strategies, and 
collaboration across the public- and private-sector.
    On January 12, 2016, the Subcommittee on Nutrition held a 
hearing entitled, ``Past, Present, and Future of SNAP: 
Addressing Special Populations'' where the following witnesses 
testified on matters included in H.R. 2:
           Ms. Abby Leibman, J.D., President and CEO, 
        MAZON--A Jewish Response to Hunger, Los Angeles, CA
           Ms. Erika Tebeens, Ballston Spa, NY
           Mr. Vinsen Faris, Executive Director, Meals-
        on-Wheels of Johnson and Ellis Counties in North 
        Central Texas, Cleburne, TX
           Mr. Eric Schneidewind, J.D., President-
        elect, AARP, Washington, D.C.
    This hearing explored the challenges and barriers faced by 
low-income seniors, veterans, and active-duty military. These 
demographics are more vulnerable to disabilities, metabolic 
illnesses, and mental impairments that impede their ability to 
be fully independent. As said in prior hearings, the importance 
of a holistic approach to addressing poverty is required in 
order to best serve the needs of these special populations. 
Testimony was presented by advocacy organizations, policy 
experts, and an individual who has first-hand experience 
dealing with hunger in a low-income military family.
    On February 3, 2016, the Subcommittee on Nutrition held a 
hearing entitled, ``Hearing To Review Incentive Programs Aimed 
At Increasing Low-Income Families' Purchasing Power for Fruits 
and Vegetables'' where the following witnesses testified on 
matters included in H.R. 2:
           Dr. Oran B. Hesterman, CEO, Fair Food 
        Network, Ann Arbor, MI
           Dr. Ashton Potter Wright, Local Food 
        Coordinator, Bluegrass Farm to Table, Office of the 
        Mayor, Lexington, KY
           Ms. Kathleen L. Kiley, Crossroads Farmers' 
        Market shopper and current SNAP recipient, Washington, 
        D.C.
           Mr. Eric S. Cooper, President and CEO, San 
        Antonio Food Bank, San Antonio, TX
           Ms. Barbara J. Petee, Executive Director, 
        The Root Cause Coalition, Washington, D.C.
    This hearing provided Members of the Committee a greater 
understanding of healthy food incentive programs. The 2014 Farm 
Bill authorized $100 million for the Food Insecurity Nutrition 
Incentive (FINI) Grant Program, which supports projects to 
increase the purchase of fruits and vegetables among low-income 
consumers participating in SNAP by providing incentives at the 
point of purchase. Members learned how incentives are 
increasing the consumption of healthier foods; explored the 
challenges and opportunities in incentives moving forward; and 
learned about opportunities for the local agriculture 
economies. Testimony was presented by recipient organizations 
of the FINI grant, a healthcare professional, and a SNAP 
recipient.
    On March 2, 2016, the Full Committee on Agriculture held a 
hearing entitled, ``Past, Present, and Future of SNAP: 
Examining State Options'' where the following witnesses 
testified on matters included in H.R. 2:
           Ms. Stephanie Muth, Deputy Executive 
        Commissioner for the Office of Social Services, Texas 
        Health and Human Services Commission, Austin, TX
           Ms. Stacy Dean, Vice President for Food 
        Assistance Policy, Center on Budget and Policy 
        Priorities, Washington, D.C.
           Ms. Karen Cunnyngham, Senior Researcher, 
        Mathematica Policy Research, Washington, D.C.
    This hearing specifically looked into the various 
flexibilities states have when implementing SNAP. Understanding 
what options states have within this program allow for a more 
holistic understanding of the program and how to best leverage 
the relationship between states and local communities to better 
serve recipients and utilize taxpayer dollars. The hearing and 
testimony highlighted how states are using Federal funds to 
implement SNAP including Broad Based Categorical Eligibility, 
work requirements, and program integrity measures. Testimony 
was presented by a state representative and researchers 
focusing on state implementation.
    On May 12, 2016, the Full Committee on Agriculture held a 
hearing entitled, ``Past, Present, and Future of SNAP: The 
Retailer Perspective'' where the following witnesses testified 
on matters included in H.R. 2:
           Ms. Kathy Hanna, Senior Director Enterprise 
        Payments & Store Support, The Kroger Co., Cincinnati, 
        OH
           Mr. Jimmy Wright, Owner, Wright's Market, 
        Opelika, AL
           Mr. Douglas M. Beech, J.D., Legal Counsel 
        and Director of Government Relations, Casey's General 
        Stores, Inc., Ankeny, IA
           Mr. Carl Martincich, Vice President of Human 
        Resources and Government Affairs, Loves' Travel Stops 
        and Country Stores, Oklahoma City, OK
    In this hearing Members heard from retailers about the 
various opportunities and challenges they experience as they 
execute SNAP. Some of the topics included: how retailers become 
authorized to accept SNAP benefits, initiatives taking place 
within stores to promote healthy eating, food deserts, the 
various challenges facing rural communities, and the 
opportunities with technology to improve program integrity. 
Testimony was presented by representatives of various types of 
store formats including convenience stores, truck stops, a 
single store operator, and a large grocery store chain.
    On June 22, 2016, the Full Committee on Agriculture held a 
hearing entitled, ``Past, Present, and Future of SNAP: 
Evaluating Effectiveness and Outcomes in Nutrition Education'' 
where the following witnesses testified on matters included in 
H.R. 2:
           Dr. Kimberlydawn Wisdom, Senior Vice 
        President, Community Health & Equity and Chief Wellness 
        and Diversity Officer, Henry Ford Health System, 
        Detroit, MI
           Ms. Susan Foerster, M.P.H., Emeritus and 
        Founding Member, Association of SNAP Nutrition 
        Education Administrators, Carmichael, CA
           Dr. Shreela V. Sharma, Associate Professor 
        of Epidemiology at the University of Texas, Co-Founder 
        of Brighter Bites, Houston, TX
           Dr. Jo Britt-Rankin, Associate Dean/Program 
        Director, University of Missouri Human Environmental 
        Sciences Extension, Columbia, MO; on behalf of 
        Extension Committee on Organization and Policy
    In this hearing Members heard from representatives of 
organizations receiving SNAP-Ed funding about the various ways 
SNAP-Ed funding is used to educate SNAP recipients on how to 
prepare nutritious meals at home. The goal of SNAP-Ed is to 
improve the likelihood that persons eligible for SNAP will make 
healthy choices within a limited budget and choose active 
lifestyles consistent with the current Dietary Guidelines for 
Americans. Testimony was presented by grantees and 
administrators of SNAP-Ed funding from across the country who 
spoke specifically on what programs they have seen run 
successfully, and the evaluation metrics utilized to measure 
success in individual programs.
    On July 6, 2016, the Full Committee on Agriculture held a 
hearing entitled, ``Past, Present, and Future of SNAP: 
Evaluating Error Rates and Anti-Fraud Measures to Enhance 
Program Integrity'' where the following witnesses testified on 
matters included in H.R. 2:
           Ms. Jessica Shahin, SNAP Associate 
        Administrator, Food & Nutrition Service, USDA, 
        Washington, D.C.
           Ms. Kay E. Brown, Director, Education, 
        Workforce, & Income Security, U.S. Government 
        Accountability Office, Washington, D.C.
           The Honorable Dave Yost, Auditor of State, 
        Ohio Department of Job and Family Services, Columbus, 
        OH
    In this hearing Members learned what distinguishes an error 
rate from a fraud rate, what factors determine the reported 
rate, and how these measures impact program integrity. Error 
rates are mainly calculated as under- or over-payments to a 
recipient and are unintentional administrative errors. Fraud 
can happen at the retailer or individual level, and it is an 
intentional misuse of Federal SNAP dollars. Witnesses discussed 
what the Federal and state governments, respectively, are in 
charge of, what program integrity measures are currently in 
place to prevent fraud, and what is being done at the Federal 
level to track and calculate state error reports.
    On September 13, 2016, the Subcommittee on Nutrition held a 
hearing entitled, ``Past, Present, and Future of SNAP: 
Improving Innovation and Success in Employment and Training 
Programs'' where the following witnesses testified on matters 
included in H.R. 2:
           Mr. David Stillman, J.D., Assistant 
        Secretary for the Economic Services Administration, 
        Washington Department of Social and Health Services, 
        Olympia, WA
           Mr. Jon Anderson, Deputy Director, Georgia 
        Division of Family and Children Services, Office of 
        Family Independence, Atlanta, GA
           Mr. Peter Weber, Founder, Fresno Bridge 
        Academy, Fresno, CA
    In this hearing Members heard from organization 
representatives to discuss the initiatives by states to further 
improve their SNAP Employment and Training (SNAP E&T) programs 
to better assist recipients' movement into the workforce, or in 
attaining additional skills to increase earnings. The purpose 
of the program is to help recipients meet work requirements, 
and to gain the skills, training, or experience to increase 
their ability to obtain regular employment. Testimony was 
presented by state agencies on their efforts to improve the 
Employment and Training programs in their communities.
    On November 16, 2016, the Full Committee on Agriculture 
held a hearing entitled, ``Past, Present, and Future of SNAP: 
Opportunities for Improving Access to Food'' where the 
following witnesses testified on matters included in H.R. 2:
           Mr. Eric French, Director of Grocery, 
        Amazon, Seattle, WA
           Mr. Gunnar Lovelace, Founder/Co-CEO, Thrive 
        Market, Marina del Ray, CA
           Mr. Mike J. Beal, J.D., Vice President, 
        Secretary, and Chief Operating Officer, Balls Food 
        Stores, Kansas City, KS; on behalf of National Grocers 
        Association
           Ms. Pamela Hess, Executive Director, Arcadia 
        Center for Sustainable Food and Agriculture, 
        Alexandria, VA
           Ms. Melinda R. Newport, M.S., R.D./L.D., 
        Director, WIC/Child Nutrition Programs, Chickasaw 
        Nation Department of Health, Ada, OK
    In this hearing Members heard from representatives to 
discuss how innovative strategies are being used to improve 
access to food and to incentivize healthy food purchases. The 
discussion focused on the potential of online retailing, 
explored the challenges and opportunities in these strategies 
to increase access, and examined how technology plays a role in 
incentivizing healthier purchases. Testimony was presented by 
organizations that are working creatively to increase the 
capacity of their organizations to provide nutritious food to 
low-income individuals in low access areas.

                           II. FULL COMMITTEE

    On April 18, 2018, the Committee on Agriculture met 
pursuant to notice, with a quorum present to consider H.R. 2. 
Chairman Conaway made an opening statement as did Ranking 
Member Peterson.
    Chairman Conaway placed H.R. 2 before the Committee and, 
without objection a first reading of the bill was waived and it 
was open to amendment at any point.
    Chairman Conaway stated that although the bill was open to 
amendment at any point, he encouraged that amendments be 
offered on a Title by Title basis.
    Chairman Conaway offered an En Bloc Amendment. Discussion 
occurred and by a voice vote, the amendment passed.
    Chairman Conaway recognized Mr. Yoho to offer an amendment 
to Title IX to provide Congress with a report on potential 
authorities within USDA for regulation of gene-edited animals. 
Mr. Yoho withdrew his amendment.
    Mr. King offered an amendment to Title XI to stop states 
from regulating the production and manufacturing of 
agricultural products across state lines. Mr. Denham offered a 
second degree amendment striking the underlying amendment and 
replacing it with language requiring USDA to report on existing 
State laws related to the production of agricultural products, 
the sale and labeling of agricultural products, and the 
detection and prevention of invasive pests and diseases. Mr. 
Denham called for a recorded vote on his second degree 
amendment, and it failed by a vote of 12 yeas to 33 nays. A 
vote was then taken on the King amendment. Mr. King's amendment 
passed by a voice vote.
    Mr. Denham offered an amendment to Title XI that would 
amend the Animal Welfare Act to prohibit people from knowingly 
slaughtering a dog or cat for human consumption. The amendment 
passed by a voice vote.
    There being no further amendments, Mr. Thompson moved that 
H.R. 2, as amended, be reported favorably to the House with an 
amendment in the nature of a substitute consisting of the 
amendments agreed to in the markup and with the recommendation 
that the amendment be agreed to and the bill pass. The bill 
passed by a vote of 26 yeas to 20 nays.
    At the conclusion of the meeting, Chairman Conaway advised 
Members that pursuant to the rules of the House of 
Representatives Members had until April 23, 2018, to file any 
supplemental, minority, additional, or dissenting views with 
the Committee.
    Without objection, staff was given permission to make any 
necessary clerical, technical or conforming changes to reflect 
the intent of the Committee. Chairman Conaway thanked all of 
the Members and adjourned the meeting.

                            Committee Votes

    In compliance with clause 3(b) of Rule XIII of the House of 
Representatives, the Committee sets forth the record of the 
following roll call votes taken with respect to H.R. 2.

Rollcall No. 1

    Summary: Second Degree Amendment to King Amendment #23 to 
strike the underlying amendment and replace it with language 
requiring USDA to report on existing State laws related to the 
production of agricultural products, the sale and labeling of 
agriculture products, and the detection and prevention of 
invasive pests and diseases.
    Offered By: Mr. Denham.
    Results: Failed.
    12 yeas, 33 nays, 1 not voting

                                  YEAS

1. Mr. Denham                       7. Mr. Maloney
2. Mr. Faso                         8. Ms. Plaskett
3. Mr. Costa                        9. Ms. Adams
4. Mr. McGovern                     10. Mr. O'Halleran
5. Ms. Kuster                       11. Mr. Panetta
6. Mr. Nolan                        12. Mr. Soto

                                  NAYS

1. Mr. Conaway                      18. Mr. Abraham
2. Mr. Thompson                     19. Mr. Kelly
3. Mr. Goodlatte                    20. Mr. Comer
4. Mr. Lucas                        21. Mr. Marshall
5. Mr. King                         22. Mr. Bacon
6. Mr. Rogers                       23. Mr. Dunn
7. Mr. Gibbs                        24. Mr. Arrington
8. Mr. Austin Scott                 25. Mr. Peterson
9. Mr. Crawford                     26. Mr. David Scott
10. Mr. DesJarlais                  27. Mr. Walz
11. Mrs. Hartzler                   28. Ms. Fudge
12. Mr. LaMalfa                     29. Mr. Vela
13. Mr. Davis                       30. Mrs. Bustos
14. Mr. Yoho                        31. Mr. Evans
15. Mr. Allen                       32. Mr. Lawson
16. Mr. Bost                        33. Ms. Blunt Rochester
17. Mr. Rouzer

                               NOT VOTING

1. Ms. Lujan Grisham

Rollcall No. 2

    Summary: Motion to report the bill, H.R. 2, as amended, be 
reported favorably to the House with an amendment in the nature 
of a substitute consisting of the amendments agreed to in the 
markup and with the recommendation that the amendment be agreed 
to and the bill do pass.
    Offered By: Mr. Thompson.
    Results: Passed.
    26 yeas, 20 nays, 0 not voting

                                  YEAS

1. Mr. Conaway                      14. Mr. Davis
2. Mr. Thompson                     15. Mr. LaMalfa
3. Mr. Goodlatte                    16. Mr. Allen
4. Mr. Lucas                        17. Mr. Rouzer
5. Mr. King                         18. Mr. Abraham
6. Mr. Rogers                       19. Mr. Bost
7. Mr. Gibbs                        20. Mr. Kelly
8. Mr. Austin Scott                 21. Mr. Comer
9. Mr. Crawford                     22. Mr. Marshall
10. Mr. DesJarlais                  23. Mr. Bacon
11. Mrs. Hartzler                   24. Mr. Faso
12. Mr. Denham                      25. Mr. Dunn
13. Mr. Yoho                        26. Mr. Arrington

                                  NAYS

1. Mr. Peterson                     11. Mrs. Bustos
2. Mr. David Scott                  12. Mr. Maloney
3. Mr. Costa                        13. Ms. Plaskett
4. Mr. Walz                         14. Ms. Adams
5. Ms. Fudge                        15. Mr. Evans
6. Mr. McGovern                     16. Mr. Lawson
7. Mr. Vela                         17. Mr. O'Halleran
8. Ms. Lujan Grisham                18. Mr. Panetta
9. Ms. Kuster                       19. Mr. Soto
10. Mr. Nolan                       20. Ms. Blunt Rochester

                      Committee Oversight Findings

    Pursuant to clause 3(c)(1) of Rule XIII of the Rules of the 
House of Representatives, the Committee on Agriculture's 
oversight findings and recommendations are reflected in the 
body of this report.

           Budget Act Compliance (Sections 308, 402, and 423)

    The provisions of clause 3(c)(2) of Rule XIII of the Rules 
of the House of Representatives and section 308(a)(1) of the 
Congressional Budget Act of 1974 (relating to estimates of new 
budget authority, new spending authority, new credit authority, 
or increased or decreased revenues or tax expenditures) are not 
considered applicable. The estimate and comparison required to 
be prepared by the Director of the Congressional Budget Office 
under clause 3(c)(3) of Rule XIII of the Rules of the House of 
Representatives and sections 402 and 423 of the Congressional 
Budget Act of 1974 submitted to the Committee prior to the 
filing of this report are as follows:

                                     U.S. Congress,
                               Congressional Budget Office,
                                       Washington, DC, May 2, 2018.
Hon. K. Michael Conaway,
Chairman, Committee on Agriculture, House of Representatives,
Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 2, the Agriculture 
and Nutrition Act of 2018.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contacts are Kathleen 
FitzGerald (nutrition provisions) and Jim Langley (other 
provisions).
            Sincerely,
                                                Keith Hall,
                                                          Director.
    Enclosure.

H.R. 2--Agriculture and Nutrition Act of 2018

    Summary: The Agriculture and Nutrition Act of 2018 would 
amend and extend some of the nation's major programs for income 
support, food and nutrition, land conservation, trade 
promotion, rural development, research, forestry, horticulture, 
and other miscellaneous programs administered by the Department 
of Agriculture (USDA) for five years through 2023.
    CBO estimates that enacting H.R. 2 would increase net 
direct spending by $3.2 billion over the 2019-2023 period and 
by $0.5 billion over the 2019-2028 period, relative to CBO's 
baseline projections. As specified in law, those baseline 
projections incorporate the assumption that many expiring 
programs continue to operate after their authorizations expire 
in the same manner as they did before such expiration. The cost 
of extending those authorizations through 2023 would total $387 
billion, but because they are already included in the baseline, 
those costs are not attributable to this bill. CBO also 
estimates that enacting the bill would increase revenues by 
$0.5 billion over the 2019-2028 period.
    In addition, H.R. 2 would authorize the appropriation of 
specific amounts, mostly for a wide variety of existing and new 
USDA programs. Assuming appropriation of the specified amounts, 
CBO estimates that implementing those provisions would cost 
$24.3 billion over the 2019-2023 period.
    Because enacting H.R. 2 would affect direct spending and 
revenues, pay-as-you-go procedures apply.
    CBO estimates that enacting H.R. 2 would not increase net 
direct spending or on-budget deficits in any of the four 
consecutive 10-year periods beginning in 2029.
    H.R. 2 would impose intergovernmental and private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA). 
In the aggregate, CBO estimates, the costs of mandates on 
public entities would exceed the annual threshold established 
in UMRA for
intergovernmental mandates ($80 million in 2018, adjusted 
annually for inflation) in at least four of the first five 
years that the mandates were in effect. The costs of mandates 
on private entities would be below the annual threshold 
established in UMRA for private-sector mandates ($160 million 
in 2018, adjusted annually for inflation).
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 2 is shown in Table 1. The costs of 
this legislation fall within budget functions 270 (energy), 300 
(natural resources and environment), 350 (agriculture), 450 
(community and regional development), and 600 (income 
security).

 Table 1. Summary of the Budgetary Effects on Direct Spending and Revenues of H.R. 2, the Agriculture and Nutrition Act of 2018, as Ordered Reported by
                                                  the House Committee on Agriculture on April 18, 2018
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                            By fiscal year, in millions of dollars--
                                       -----------------------------------------------------------------------------------------------------------------
                                         2018   2019    2020    2021    2022    2023     2024     2025     2026     2027     2028   2019-2023  2019-2028
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                      INCREASES OR DECREASES (-) IN DIRECT SPENDING
 
Estimated Budget Authority............      0   1,796   1,233   1,684   1,232     757      -54     -202     -615     -745     -828     6,701      4,258
Estimated Outlays.....................      0     719     630   1,020     582     244     -240     -302     -640     -748     -807     3,195        458
 
                                                                  INCREASES IN REVENUES
 
Estimated Revenues....................      0       0       0       0      55      60       60       65       70       75       80       115        465
 
                                NET INCREASE OR DECREASE (-) IN THE DEFICIT FROM CHANGES IN DIRECT SPENDING AND REVENUES
Effect on the Deficit.................      0     719     630   1,020     527     184     -300     -367     -710     -823     -887     3,080         -7
 
                                                     INCREASES IN SPENDING SUBJECT TO APPROPRIATIONa
 
Authorization Level...................      0   6,176   6,166   6,168   6,170   6,107      650       25       25       25       25    30,787     31,537
Estimated Outlays.....................      0   2,378   4,479   5,433   5,900   6,084    3,952    1,973      803      306       97    24,273     31,403
--------------------------------------------------------------------------------------------------------------------------------------------------------
Components may not sum to totals because of rounding.
a.The estimate includes only amounts specifically authorized to be appropriated. CBO has not completed an estimate of the discretionary costs of
  implementing provisions that do not authorize the appropriation of specific amounts.

    Basis of estimate: For this estimate, CBO assumes that H.R. 
2 will be enacted near the end of fiscal year 2018. The bill 
would provide direct spending authority for most of the USDA 
programs authorized, amended, or created by the legislation 
through the 2019-2023 period. Following the baseline projection 
rules in section 257 of the Balanced Budget and Emergency 
Deficit Control Act of 1985, CBO estimated the 10-year cost of 
the bill by assuming that most of those programs would continue 
to operate indefinitely beyond that five-year authorization 
period. Combined with the estimated spending under the April 
2018 baseline projections for those programs, CBO estimates 
that enacting the bill would bring total spending for those 
USDA programs to $430 billion over the 2019-2023 period and 
$868 billion over the 2019-2028 period.

Direct spending and revenues

    Relative to spending projected in the baseline, CBO 
estimates that enacting H.R. 2 would increase direct spending 
by $3.2 billion over the 2019-2023 period. Following the rules 
specified in the Deficit Control Act, CBO assumes that the 
changes made to those programs would continue after 2023, the 
final year of authorization under the bill. On that basis, CBO 
estimates that direct spending would decrease by $2.7 billion 
over the 2024-2028 period, for a net increase in direct 
spending of $0.5 billion over the 2019-2028 period. CBO also 
estimates that enacting the bill would increase revenues by 
$0.5 billion over the 2019-2028 period.
    Detailed estimates of changes in direct spending and 
revenues for the various titles appear in Table 2. Further 
details of those estimates by major section of each title 
appear in Table 3.
    Title I, Commodities. Title I would reauthorize and amend 
the farm commodity support programs administered by USDA 
through 2023. CBO estimates that enacting title I would 
increase direct spending by $0.2 billion over the 2019-2028 
period. (The current-law authorization of most programs will 
expire on September 30, 2018, although some payments will be 
made after that date.) The two major components of that 
estimate are described below.
    H.R. 2 would reauthorize the two main commodity programs--
Price Loss Coverage (PLC) and Agriculture Revenue Coverage 
(ARC)--through 2023. Under PLC, producers receive payments when 
the annual average market price falls below the reference price 
set in law. Under ARC, producers receive payments when a 
county's average revenue for a crop (the product of price and 
production) falls below the county's historical average 
revenue. Producers may receive payments from only one of those 
programs for the five-year period, and because of recent market 
prices and yields and program changes in the bill, CBO expects 
most producers to choose PLC.

                                         TABLE 2. ESTIMATED CHANGES IN DIRECT SPENDING AND REVENUES UNDER H.R. 2
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                         By fiscal year, in millions of dollars--
                                ------------------------------------------------------------------------------------------------------------------------
                                   2018     2019     2020     2021     2022     2023     2024     2025     2026     2027     2028   2019-2023  2019-2028
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                      INCREASES OR DECREASES (-) IN DIRECT SPENDING
 
Title I, Commodities:
    Estimated Budget Authority.        0       36       16      154        3        1       17      109      -92      -35       57        211        267
    Estimated Outlays..........        0      -18        4      152       10        2       15      107      -93      -38       53        149        193
Title II, Conservation:
    Estimated Budget Authority.        0      873      914      873      709      411      -48     -161     -236     -295     -324      3,780      2,716
    Estimated Outlays..........        0      193      244      212       82      -76     -299     -284     -272     -297     -299        656       -795
Title III, Trade:
    Estimated Budget Authority.        0       65       65       65       65       65       45       45       45       45       45        325        550
    Estimated Outlays..........        0       45       45       45       45       45       45       45       45       45       45        225        450
Title IV, Nutrition:
    Estimated Budget Authority.        0      573      174      528      392      217        5     -123     -260     -388     -534      1,883        583
    Estimated Outlays..........        0      388      230      566      381      207       -1     -125     -260     -388     -534      1,771        463
Title V, Credit:
    Estimated Budget Authority.        0        0        0        0        0        0        0        0        0        0        0          0          0
    Estimated Outlays..........        0        0        0        0        0        0        0        0        0        0        0          0          0
Title VI, Rural Infrastructure
 and Economic Development:
    Estimated Budget Authority.        0      -50      -50      -50      -50      -50      -50      -50      -50      -50      -50       -250       -500
    Estimated Outlays..........        0      -45      -61      -61      -50      -50      -50      -50      -50      -50      -50       -267       -517
Title VII, Research, Extension,
 and Related Matters:
    Estimated Budget Authority.        0       50       50       50       50       50        0        0        0        0        0        250        250
    Estimated Outlays..........        0        8       25       38       48       50       43       25       13        3        0        168        250
Title VIII, Forestry:
    Estimated Budget Authority.        0        0        0        0        0        0        0        0        0        0        0          0          0
    Estimated Outlays..........        0        0        0        0        0        0        0        0        0        0        0          0          0
Title IX, Horticulture:
    Estimated Budget Authority.        0       10        0        0        0        0        0        0        0        0        0         10         10
    Estimated Outlays..........        0        2        2        2        2        2        0        0        0        0        0         10         10
Title X, Crop Insurance:
    Estimated Budget Authority.        0      -19      -19      -19      -19      -19      -19      -19      -19      -19      -18        -93       -184
    Estimated Outlays..........        0       -6      -14      -16      -17      -17      -18      -18      -18      -18      -18        -70       -161
Title XI, Miscellaneous:
    Estimated Budget Authority.        0      258       82       82       82       82       -4       -4       -4       -4       -4        585        566
    Estimated Outlays..........        0      152      156       82       82       82       26       -2       -4       -4       -4        553        566
Total:
    Estimated Budget Authority.        0    1,796    1,233    1,684    1,232      757      -54     -202     -615     -745     -828      6,701      4,258
    Estimated Outlays..........        0      719      630    1,020      582      244     -240     -302     -640     -748     -807      3,195        458
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                  INCREASES IN REVENUES
 
Estimated Revenues.............        0        0        0        0       55       60       60       65       70       75       80        115        465
                                NET INCREASE OR DECREASE (-) IN THE DEFICIT FROM CHANGES IN DIRECT SPENDING AND REVENUES
 
Effect on the Deficit..........        0      719      630    1,020      527      184     -300     -367     -710     -823     -887      3,080         -7
                                                     INCREASES IN SPENDING SUBJECT TO APPROPRIATION
 
Authorization Level............        0    6,176    6,166    6,168    6,170    6,107      650       25       25       25       25     30,787     31,537
Estimated Outlays..............        0    2,378    4,479    5,433    5,900    6,084    3,952    1,973      803      306       97     24,273     31,403
Memorandum:
 
   CBO's April 2018 Baseline
    Spending Projections for
  Expiring Farm Bill Programs
That Are Assumed to Continue in
         the Baselinea
 
    Estimated Budget Authority.   85,277   78,769   77,810   78,981   77,794   77,686   78,206   79,091   80,196   81,521   83,127    391,039    793,181
    Estimated Outlays..........   83,924   77,896   76,897   78,055   77,202   77,111   77,677   78,608   79,682   80,971   82,569    387,162    786,668
 
   CBO's April 2018 Baseline
 Spending Projections for Farm
     Bill Programs That Are
     Permanently Authorized
 
    Estimated Budget Authority.    7,623    7,807    8,015    8,121    8,158    8,202    8,242    8,309    8,344    8,380    8,421     40,303     81,999
    Estimated Outlays..........    7,394    7,475    7,720    7,934    8,061    8,110    8,153    8,192    8,256    8,297    8,332     39,301     80,531
 
 Estimated Total Spending Under
 CBO's April 2018 Baseline for
         Farm Programs
 
    Estimated Budget Authority.   92,900   86,575   85,825   87,102   85,952   85,888   86,449   87,400   88,540   89,901   91,548    431,343    875,181
    Estimated Outlays..........   91,317   85,372   84,617   85,989   85,263   85,221   85,831   86,800   87,938   89,268   90,901    426,462    867,200
--------------------------------------------------------------------------------------------------------------------------------------------------------
Components may not sum to totals because of rounding. Estimates are relative to CBO's April 2018 baseline.
aConsistent with the rules governing baseline projections specified in the Balanced Budget and Emergency Deficit Control Act of 1985, CBO's baseline
  incorporates the assumption that most farm bill programs that expire at the end of 2018 will continue to operate after their authorizations expire in
  the same manner that they did before such expiration.

    The bill would modify the calculation of PLC benefits and 
redefine the reference price to allow an escalation during 
periods of relatively high historical commodity prices. In 
addition, producers in areas subject to severe drought during 
the 2008-2012 period would be allowed to update the yield used 
to calculate PLC benefits. Finally, participants who did not 
plant an eligible crop on their farm during the 2009-2017 
period would not be permitted to receive federal payments on 
those program acres in the future. As a result of those 
changes, CBO estimates that PLC payments under section 1116 
would increase by $0.4 billion over the 2019-2028 period and 
ARC payments under section 1117 would fall by $0.3 billion over 
the same period.

                                                      TABLE 3. INCREASES OR DECREASES IN DIRECT SPENDING OUTLAYS AND REVENUES UNDER H.R. 2
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           By fiscal year, in millions of dollars--
                                                             -----------------------------------------------------------------------------------------------------------------------------------
                                                                 2019       2020       2021       2022       2023       2024       2025       2026       2027       2028    2019-2023  2019-2028
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                          INCREASES OR DECREASES (-) IN DIRECT SPENDING
 
Title I, Commodities:
    Sec. 1116, Price Loss Coverage..........................          0          0        137         55         43         50        134        -59        -16         64        235        408
    Sec. 1117, Agriculture Risk Coverage--County............          0          0         23        -34        -26        -17         -6        -15        -25        -11        -37       -111
    Sec. 1117, Agriculture Risk Coverage--Individual........          0          0        -16        -17        -18        -18        -17        -19        -18        -20        -51       -143
    Sec. 1201, Nonrecourse Marketing Assistance Loans.......          0          0          0          0          0          0          0          0          0          0          0          0
    Sec. 1207, Economic Adjustment Assistance for Textile             2          2          2          2          2          2          2          2          2          2         11         23
     Mills..................................................
    Sec. 1401, Dairy Program................................        -45         -2          4          3         -1         -3         -6         -4         18         17        -41        -20
    Sec. 1501, Supplemental Agriculture Disaster Assistance.          1          2          1          1          1          1          1          1          1          1          6         11
    Sec. 1610, Implementation...............................         24          1          0          0          0          0          0          0          0          0         25         25
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title I...................................        -18          4        152         10          2         15        107        -93        -38         53        149        193
Title II, Conservation:
    Sec. 2101, Wetlands Mitigation Banking..................          2          2          2          2          2          0          0          0          0          0         10         10
    Sec. 2201, Conservation Reserve Program.................        -21         70         98         96         83         73        -43        -76       -137       -166        326        -23
    Sec. 2302, Environmental Quality Incentives Program.....         55        227        424        608        777        921      1,056      1,164      1,217      1,243      2,092      7,693
    Secs. 2402-2405, Other Conservation Programs............         35         58         74         83         94         81         73         52         32         32        344        614
    Sec. 2601, Agricultural Conservation Easement Program...         90        187        221        234        247        247        248        248        249        250        979      2,221
    Sec. 2704, Regional Conservation Partnership Program....         60        106        118        131        143        150        150        150        150        150        558      1,308
    Sec. 2801, Repeal Conservation Stewardship Program......        -28       -406       -725     -1,072     -1,422     -1,771     -1,768     -1,810     -1,808     -1,808     -3,653    -12,618
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title II..................................        193        244        212         82        -76       -299       -284       -272       -297       -299        656       -795
Title III, Trade:
    Sec. 3102, International Development Program............         45         45         45         45         45         45         45         45         45         45        225        450
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title III.................................         45         45         45         45         45         45         45         45         45         45        225        450
Title IV, Nutrition:
    Sec. 4001, Duplicative Enrollment Database..............          0         -8        -25        -45        -60        -80        -90        -90        -95        -95       -138       -588
    Sec. 4002, Retailer-Funded Incentives Pilot.............          2        182        180        120        120        120        120        120        120        120        604      1,204
    Sec. 4003, Gus Schumacher Food Insecurity Nutrition               7         17         30         46         55         59         63         65         65         65        155        472
     Incentive Program......................................
    Sec. 4006, Update to Categorical Eligibilitya...........       -210       -525       -535       -525       -520       -530       -530       -540       -555       -565     -2,315     -5,035
    Sec. 4007, Basic Allowance for Housing..................          8         11         11         11         11         12         12         13         13         14         52        116
    Sec. 4008, Earned Income Deduction......................        350        470        470        470        470        470        470        480        490        500      2,230      4,640
    Sec. 4009, Simplified Homeless Housing Costs............          4          8          8          8          8          8          8          8          8          8         36         76
    Sec. 4010, Availability of Standard Utility Allowances         -240       -560       -550       -550       -540       -550       -550       -560       -570       -580     -2,440     -5,250
     Based on Receipt of Energy Assistance..................
    Sec. 4011, Child Support; Cooperation with Child Support        140        304        321        335        345        355        375        396        446        476      1,446      3,494
     Agencies...............................................
    Secs. 4012-4014, Adjustment to Asset Limitations;                 1        -15          5         30         30         30         30         30         30         30         51        201
     Updated Vehicle Allowance; Savings Excluded From
     Assetsa................................................
    Sec. 4015, Workforce Solutions
        Benefits............................................          0          0       -190       -490       -740       -990     -1,250     -1,540     -1,840     -2,150     -1,420     -9,190
        Administration......................................          0        160        660        730        780        830        940      1,060      1,180      1,310      2,330      7,650
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Total Sec. 4015.....................................          0        160        470        240         40       -160       -310       -480       -660       -840        910     -1,540
    Sec. 4017, Mobile Technologies..........................          0          1          1          1          1          1          1          2          2          2          4         12
    Sec. 4018, Processing Fees..............................          1          3          7         13         20         20         20         20         25         25         44        154
    Sec. 4020, Benefit Recovery.............................          *          *          *          *          *          *          *          *          *          *          *          *
    Sec. 4022, National Gatewayb............................          8         10         10         68         70         78         81         90         95         95        165        601
    Sec. 4024, Transitional Benefits........................         75         90         90         90         90         90         90         90         95         95        435        895
    Sec. 4026, Supplemental Nutrition Assistance Program              4          3          2          3          3          3          3          3          3          3         15         30
     Benefit Transfer Transaction Data Report...............
    Sec. 4027, Adjustment to Percentage of Recovered Funds           10         10         10         10         10         10         10         10         11         11         50        102
     Retained by States.....................................
    Sec. 4028, Tolerance Level for Payment Errors...........          *          *          *          *          *          *          *          *          *          *          *          *
    Sec. 4029, State Performance Indicators.................          0        -48        -48        -48        -48        -48        -48        -48        -48        -48       -192       -432
    Sec. 4032, Emergency Food Assistance....................         45         46         47         48         49         50         52         53         54         55        235        499
    Sec. 4033, Nutrition Education..........................         57         58         59         61         62         64         65         67         69         70        297        632
    Sec. 4036, Implementation Funds.........................        128         17          3          3          0          0          0          0          0          0        150        150
    Interactions............................................         -2         -3          *         -8         -9         -3          3         12         15         25        -22         30
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title IV..................................        388        230        566        381        207         -1       -125       -260       -388       -534      1,771        463
Title V, Credit.............................................          0          0          0          0          0          0          0          0          0          0          0          0
Title VI, Rural Infrastructure and Economic Development:
    Sec. 6403, Biorefinery Assistance.......................        -35        -31        -16          0          0          0          0          0          0          0        -82        -82
    Sec. 6407, Rural Energy for America Program.............        -10        -30        -45        -50        -50        -50        -50        -50        -50        -50       -185       -435
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title VI..................................        -45        -61        -61        -50        -50        -50        -50        -50        -50        -50       -267       -517
Title VII, Research, Extension, and Related Matters:
    Sec. 7209, Organic Agriculture Research and Extension             5         15         23         29         30         26         15          8          2          0        101        150
     Initiative.............................................
    Sec. 7507, Beginning Farmer and Rancher Development               3         10         15         19         20         17         10          5          1          0         67        100
     Program................................................
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title VII.................................          8         25         38         48         50         43         25         13          3          0        168        250
Title VIII, Forestry........................................          0          0          0          0          0          0          0          0          0          0          0          0
Title IX, Horticulture:
    Sec. 9006, National Organic Program Technology Update...          1          1          1          1          1          0          0          0          0          0          5          5
    Sec. 9006, Organic Production and Market Data Initiative          1          1          1          1          1          0          0          0          0          0          5          5
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title IX..................................          2          2          2          2          2          0          0          0          0          0         10         10
Title X, Crop Insurance:
    Sec. 10001, Treatment of Forage and Grazing.............          1          9         10         10         10         10         10         10         10         10         40         90
    Sec. 10002, Administrative Basic Fee....................         -1         -7         -8         -8         -8         -8         -8         -8         -8         -8        -32        -72
    Sec. 10006, Program Administration......................          0         -2         -2         -2         -2         -2         -2         -2         -2         -2         -8        -18
    Sec. 10008, Whole Farm Application to Beginning Farmers           0          1          1          1          1          1          1          1          1          1          4          9
     and Ranchers...........................................
    Sec. 10008, Research and Development Priorities.........         -5         -5         -5         -5         -5         -5         -5         -5         -5         -5        -23        -45
    Sec. 10010, Education and Risk Management Assistance....         -1        -11        -12        -13        -14        -14        -15        -15        -15        -15        -52       -125
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title X...................................         -6        -14        -16        -17        -17        -18        -18        -18        -18        -18        -70       -161
Title XI, Miscellaneous:
    Sec. 11101, National Animal Disease Preparedness and            150        125         50         50         50         25          0          0          0          0        425        450
     Response...............................................
    Sec. 11201, Outreach and Assistance to Socially                   5          8         10         10         10          5          2          0          0          0         43         50
     Disadvantaged Producers................................
    Sec. 11304, Textile Trust Fund..........................          1         26         25         25         25          0          0          0          0          0        103        103
    Sec. 11502, Noninsured Crop Disaster Assistance Program.         -4         -4         -4         -4         -4         -4         -4         -4         -4         -4        -19        -37
                                                             -----------------------------------------------------------------------------------------------------------------------------------
        Subtotal, Title XI..................................        152        156         82         82         82         26         -2         -4         -4         -4        553        566
 
                                                                       TOTAL INCREASES OR DECREASES (-) IN DIRECT SPENDING
 
Total Changes...............................................        719        630      1,020        582        244       -240       -302       -640       -748       -807      3,195        458
 
                                                                                   TOTAL INCREASES IN REVENUES
 
Estimated Revenues..........................................          0          0          0         55         60         60         65         70         75         80        115        465
 
                                                    NET INCREASE OR DECREASE (-) IN THE DEFICIT FROM CHANGES IN DIRECT SPENDING AND REVENUES
 
Effect on the Deficit.......................................        719        630      1,020        527        184       -300       -367       -710       -823       -887      3,080         -7
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Components may not sum to totals because of rounding. The table excludes data on discretionary spending that would be subject to future appropriations. Estimates are relative to CBO's April
  2018 baseline. For revenues, positive numbers indicate a decrease in the deficit.
* = Between -$500,000 and $500,000.
aThis estimate includes direct spending effects from sections 4012, 4013, and 4014, assuming all are enacted concurrently. It also assumes that section 4006 is enacted concurrently with these
  sections, and it includes those interaction affects.
bThis provision would affect both direct spending and revenues.

    Title II, Conservation. This title would reauthorize and 
modify land conservation programs administered by USDA. CBO 
estimates that enacting those provisions would result in a net 
reduction in spending of $0.8 billion over the 2019-2028 
period. Significant changes in conservation programs include:
           Increasing annual funding for the 
        Environmental Quality Incentives Program (section 2302) 
        from $1.8 billion per year under current law to $3.0 
        billion per year by 2023, for a total increase in 
        spending of $7.7 billion over the 10-year period;
           Increasing annual funding for the 
        Agricultural Conservation Easement Program and Regional 
        Conservation Partnership Program (sections 2601 and 
        2704); for a total increase in spending of $3.5 billion 
        over the 2019-2028 period;
           Increasing funding for small watershed 
        rehabilitation by $0.1 billion per year for the 2019-
        2023 period and by $0.1 billion for the Feral Swine 
        Eradication and Control Pilot Program along with other 
        provisions (sections 2402 through 2405), for a total 
        cost of $0.6 billion over the 2019-2028 period; and
           Repealing the Conservation Stewardship 
        Program beginning 2019, which would reduce spending by 
        $12.6 billion over the 2019-2028 period.
    Title III, Trade. Title III would reauthorize USDA's Food 
for Progress program and consolidate four other market 
development programs into a single program. The Market Access 
Program, the Foreign Market Development Cooperator Program, 
Technical Assistance for Specialty Crops, and the E. (Kika) De 
La Garza Emerging Markets Program would be combined into the 
proposed International Market Development Program. CBO 
estimates that spending under the combined program would 
increase by $450 million over the 2019-2028 period.
    Title IV, Nutrition. Title IV would reauthorize the 
Supplemental Nutrition Assistance Program (SNAP) and related 
nutrition programs through fiscal year 2023 and make several 
changes to those programs. CBO estimates that enacting title IV 
would increase direct spending by $1.8 billion over the 2019-
2023 period and by $0.5 billion over the 2019-2028 period. It 
also would increase revenues by $0.5 billion over the 2019-2028 
period.
    Section 4015, Workforce Solutions. Under section 4015, 
starting in 2021 certain SNAP recipients must either be 
employed or in a state-government-sponsored training program 
unless they qualify for certain waivers. CBO estimates that 
this provision would reduce spending on benefits by $9.2 
billion over the 2019-2028 period because it would cause some 
people to lose eligibility. The federal government's 
administrative costs for this provision would increase by $7.7 
billion over the same period, CBO estimates, mostly to fund 
training. Under this provision, SNAP spending would decline, on 
net, by $1.5 billion over the 2019-2028 period.
    Beginning in 2021, SNAP recipients between the ages of 18 
and 59 who are neither disabled nor caring for a child under 
the age of 6 would need to either work or participate in a 
training program for 20 hours each week; that requirement would 
increase to 25 hours each week in 2026. Pregnant women, people 
who care for an incapacitated person, and anyone a state 
determines is unable for ``good cause'' to meet the requirement 
would be exempted. Criteria defined in the bill would permit a 
state to waive the work requirement for people living in areas 
with high unemployment. In addition, using a calculation 
defined in the bill, states could offer a certain number of 
individual monthly exemptions.
    The bill would provide $1 billion each year, divided among 
the states, to help meet the bill's employment and training 
requirements. States also could provide services using their 
own funds, which would be matched with federal dollars (as is 
the case for state funding of some of the program's other 
administrative costs). Allowable training under the proposal 
includes supervised job search and job search training, 
educational programs to improve basic skills, subsidized 
employment, volunteer work (unpaid and limited to 6 out of 12 
months), and other programs designed either to improve 
recipients' employability or their ability to retain 
employment. States would be required to provide case management 
services to training participants.
    Implementation Timeline. CBO expects that states would not 
be able to offer training to all eligible recipients when the 
requirement takes effect in 2021, or even by the end of 2028. 
Although each state currently operates employment and training 
programs for SNAP recipients, the scope of those programs 
varies widely, and CBO expects that offering training services 
to all eligible recipients would require many states to expand 
their programs substantially. CBO estimates that by the end of 
2028, about 80 percent of the beneficiaries who are subject to 
the work requirement would be offered such services through a 
state program. CBO assumes that SNAP recipients would not lose 
benefits if the states failed to offer those people slots in 
employment and training programs.
    Able-Bodied Adults Without Dependents. Under current law, 
time limits are placed on program eligibility for able-bodied 
adults between the ages of 18 and 49 who have no dependents and 
are not disabled. (Those limits may be waived if a beneficiary 
is working or has received some other waiver.) CBO estimates 
that when the policy goes into effect, such recipients will 
constitute 6.5 percent of all beneficiaries. Under the 
proposal, that group ultimately would decline by 7 percent, CBO 
projects, primarily because of tighter criteria for states to 
waive time limits for people who live in areas with high 
unemployment.
    Other Recipients. To estimate the number of affected 
beneficiaries, CBO used USDA's quality control data for SNAP to 
identify additional recipients who might be subject to the work 
requirement. Using those data, CBO estimates that--excluding 
able-bodied adults without dependents--under current law, 17 
percent of SNAP recipients are between the ages of 18 and 59, 
are not receiving disability benefits, and are not caring for a 
child under the age of 6.
    Using those same data, CBO estimates that in an average 
month, 31 percent of those ``other'' SNAP recipients work 
enough hours to meet the bill's work requirement. CBO further 
estimates that 2 percent of that group would meet the 
requirement through participation in a training program under 
the proposal, 8 percent would receive waivers for living in a 
high-unemployment area, and 14 percent in an average month 
would receive an individual exemption (as would be newly 
calculated under that section of the bill). CBO estimates that 
another 21 percent of the ``other'' group, or about half of 
those remaining, would qualify for an exemption from the new 
policy for another reason, including disability or unfitness to 
work (without receiving disability benefits), pregnancy, caring 
for an incapacitated person, or for good cause, as defined by 
the state. Ultimately, of the 17 percent of people that CBO 
identified in the quality control data as potentially subject 
to the requirement, we expect that 76 percent would remain on 
SNAP and the remaining 24 percent would no longer receive 
benefits under the proposal.
    Total Changes in Benefit Spending. In total, CBO estimates 
that in 2028 the SNAP caseload under the bill's proposed work 
requirement would be lower by about 1.2 million people in an 
average month than it is under current law, or about 3.7 
percent of the total caseload. CBO estimates that about 11 
percent of the 1.2 million people who would no longer receive 
benefits would be able-bodied adults between the ages of 18 and 
49 without dependents. About 27 percent of that group would be 
between the ages of 50 and 59 and without dependents. The other 
62 percent would be adults between the ages of 18 and 59 who 
live in households with children (but not including those 
caring for children under 6). CBO estimates that, on average in 
2028, those people would lose an annual benefit amount of 
$1,816.
    Changes in Administrative Spending. Under current law, all 
states share an annual grant of $110 million for employment and 
training programs for SNAP recipients. Each state also can 
receive federal funds that match dollar-for-dollar their 
additional spending on workforce training for SNAP recipients 
or for reimbursing participants for certain expenses incurred 
during training, such as child care or transportation.
    Under section 4015, federal funding for employment and 
training services would increase to $270 million in 2020 and to 
$1 billion in every year thereafter. As under current law, 
those funds would be shared by the states. CBO estimates that 
it will take some time for states to expand their programs 
enough to spend all of the additional funding. From 2021 to 
2025, CBO estimates, the additional grant money would pay for 
services that under current law are covered by matching funds; 
as a result, federal spending for matching funds would be less 
than under current law. From 2026 onward, however, federal 
matching funds would increase relative to CBO's baseline as 
states expand their training programs to serve more recipients. 
In total, direct federal funding for grants would increase by 
$7.3 billion and federal matching funds would decrease by $0.6 
billion over the 10-year period, for a net increase of $6.7 
billion in spending for employment and training under SNAP.
    CBO also estimates that spending on other administrative 
expenses would increase because of an increase in the cost to 
states of tracking who is meeting the work requirements (or is 
exempt from them) under the proposal. Those additional costs 
would be partially offset by a reduction in administrative 
costs because of the overall reduction in the number of people 
receiving benefits. On net, CBO estimates there would be an 
increase in administrative expenses of $0.9 billion over the 
2019-2028 period.
    Section 4006, Update to Categorical Eligibility. Under 
current law, most households that receive SNAP benefits have 
categorical eligibility--they automatically qualify for 
benefits because they participate in certain other federal or 
state programs. Many states have implemented a system, known as 
broad-based categorical eligibility, under which a household 
automatically qualifies because it receives or is authorized to 
receive noncash benefits under the Temporary Assistance for 
Needy Families (TANF) program. At the state's option, 
households can qualify for SNAP benefits if their gross monthly 
income is up to 200 percent of the federal poverty guidelines 
(commonly called the federal poverty level, or FPL).
    Section 4006 of title IV would limit categorical 
eligibility to households whose gross monthly income is no more 
than 130 percent of the FPL and who receive cash assistance or 
``ongoing and substantial services.'' Households with an 
elderly or disabled member would still be eligible under the 
higher threshold of 200 percent of the FPL.
    CBO estimates that in an average year, about 400,000 
households would lose SNAP eligibility as a result of the 
change to the gross income threshold. There would be an 
additional effect on children who are categorically eligible 
for free meals at school because of their eligibility for SNAP. 
If their households lost SNAP eligibility because of the 
revised threshold and their families were not otherwise 
eligible for free meals, those children would be eligible only 
for reduced-price or paid meals. Those meals have smaller 
reimbursement rates to the meal providers and thus the federal 
costs of the child nutrition program would decline. CBO 
estimates that in an average year, about 265,000 children would 
lose access to free school meals under this provision. Based on 
conversations with policy experts, CBO expects that the 
requirement for households to receive ongoing and substantial 
services would not affect how states apply broad-based 
categorical eligibility to eligible households. CBO estimates 
that, including the SNAP and child nutrition effects, enacting 
section 4006 would save $5 billion over the 2019-2028 period.
    Section 4008, Earned Income Deduction. Under current law, 
SNAP benefits are based on income reported by each household to 
enroll in and remain eligible for the program. Under section 
4008, the amount of earnings that SNAP households can deduct 
from their income to arrive at the reportable total would rise 
from 20 percent, under current law, to 22 percent.
    CBO used quality control data from SNAP to recalculate 
benefits for households currently claiming the deduction. CBO 
estimates that employed recipients would increase their 
earnings slightly in response to the new rate and that the 
overall costs of the provision would be lower by about 11 
percent compared to what costs would be if there were no change 
in earnings among employed recipients. CBO also anticipates 
that the proposal would allow a small number of new households 
whose income is now too high to qualify to enroll in SNAP--a 
change that raised CBO's estimate of the overall costs of 
section 4008 by about 3 percent. In total, CBO estimates, the 
provision would increase spending on SNAP benefits by $4.6 
billion over the 2019-2028 period (or 0.8 percent of total 
spending for benefits over that period).
    Section 4022, National Gateway. This section would require 
all SNAP transactions to be routed through a national gateway 
that would collect fees from the state contractors that provide 
Electronic Benefits Transfer (EBT) services and from the 
businesses that manage electronic payments for retailers. CBO 
considers such fees to be revenues. These revenues would be 
used to pay for the costs of operating the gateway. CBO 
estimates that the gateway provision also would increase SNAP 
administrative costs because the states' EBT contractors would 
pass along the additional costs to the states. This section 
would provide about $10 million annually to cover start-up and 
contract-monitoring costs. CBO estimates that from 2019 to 
2028, this provision would increase revenues by $465 million 
and direct spending by $601 million, for a net increase in the 
deficit of $136 million.
    Section 4010, Standard Utility Allowances. Under current 
law, households qualify for a heating or cooling standard 
utility allowance (SUA) if they provide proof that they either 
pay heating or cooling expenses or receive more than $20 in 
assistance through the federal Low-Income Home Energy 
Assistance Program (LIHEAP). Some states currently send $21 in 
LIHEAP benefits to SNAP participants so that they automatically 
qualify for the allowance. The value of the SUA is used, along 
with other factors, to determine the amount of housing expenses 
that households can deduct from their income in calculating 
SNAP benefit amounts.
    Section 4010 of title IV would prohibit SNAP households 
receiving energy assistance from automatically qualifying for 
those allowances. CBO estimates that under this provision, 
about 560,000 households would have their SNAP benefits reduced 
by an average of $84 per month, as their income would be higher 
because they would no longer qualify for the SUA. About two-
thirds of the affected households would be those that qualify 
under current law for the SUA as a result of the minimum LIHEAP 
benefit. This provision would reduce direct spending by $5.2 
billion over the 2019-2028 period.
    Section 4011, Child Support. This section would make 
several changes to SNAP rules related to child support. In 
total, CBO estimates, the provisions would increase direct 
spending by $3.5 billion over the 2019-2028 period.
    Under current law, states may require SNAP participants who 
are parents of children under age 18 to cooperate with child 
support enforcement agencies in order to receive benefits. Five 
states and Guam require that, and section 4011 would direct all 
states to implement that requirement. CBO estimates that 
enacting the provision would have two major budgetary effects 
in states that currently do not require such cooperation: 
First, benefits would be lower for households that began to 
receive child support, and second, the costs of operating the 
child support program would increase.
    CBO expects that under current law, about 4 million 
households with an absent parent will participate in SNAP in 
2028 and that three-quarters of those households will receive 
no child support that year. Using data from the Office of Child 
Support Enforcement concerning payments made to participants in 
TANF--which has a cooperation requirement--CBO estimates that 
about 570,000 additional SNAP households would receive child 
support in 2028, the first year in which the policy is fully 
phased in. On the basis of the child support payments reported 
for SNAP recipients in recent years, CBO estimates that, on 
average, those households would receive about $1,400 less in 
benefits in 2028. In total, CBO estimates, the provision would 
reduce direct spending on SNAP benefits by $800 million in 2028 
and by $4 billion over the 2019-2028 period.
    The federal government reimburses states for 66 percent of 
the costs they incur to process and maintain child support 
orders. Using census data and USDA's quality control data, CBO 
estimates that child support agencies would process information 
for about 1.2 million additional households in 2028 and that 
the average cost to process and maintain each order would be 
about $1,000 in that year. CBO estimates that the total cost to 
establish and maintain orders for SNAP households would be $1.2 
billion in 2028 and $7.2 billion over the 2019-2028 period. 
Other smaller effects would increase net costs by $0.2 billion 
over the same period.
    Other child support provisions of the bill would have 
smaller budgetary effects. CBO estimates that those provisions 
would increase direct spending by $16 million in 2028 and by 
about $125 million over the 2029-2028 period.
    Other Provisions. Title IV would make additional changes to 
SNAP and related nutrition programs, including the following:
       Sections 4002, 4003, and 4033 would amend or 
create several SNAP-related grant programs and pilot projects. 
For example, under section 4002, retailers could provide 
bonuses to SNAP households based on their purchases of fruits, 
vegetables, and milk. CBO estimates that together enacting 
those provisions would cost $2.3 billion over the 2019-2028 
period.
       Sections 4007, 4009, 4012, 4013, 4014, and 4024 
would change the way SNAP eligibility and certain benefits are 
calculated. For example, section 4007 would exclude up to $500 
of a military housing allowance from household income in 
determining SNAP eligibility and benefits. CBO estimates that 
in total, enacting those provisions would cost $1.3 billion 
over the 2019-2028 period.
       Sections 4001, 4017, 4020, 4027, and 4036 would 
change the way states or the federal government administer SNAP 
benefits and operate the program. For example, section 4017 
would allow SNAP participants to redeem benefits using smart 
phones. CBO estimates that enacting those provisions would, on 
net, save $324 million over the 2019-2028 period.
       Sections 4018, 4026, 4028, 4029, and 4032 would 
make other changes to SNAP and to the Emergency Food Assistance 
Program. For example, section 4026 would require the Secretary 
of Agriculture to collect data on the types of food that people 
buy with their SNAP benefits. CBO estimates that enacting those 
provisions would, on net, cost $251 million over the 2019-2028 
period.
    Interaction Effects. Title IV includes several provisions 
that would interact with one another. For example, the 
provision in section 4006 that limits categorical eligibility 
would interact with the provision in section 4015 that imposes 
work requirements on certain SNAP recipients. CBO expects that 
the categorical eligibility provision would decrease the number 
of households eligible for SNAP benefits, and that decrease 
would in turn reduce the savings from imposing work 
requirements on SNAP recipients. In total, CBO estimates, such 
interactions would increase costs by $30 million over the 2019-
2028 period.
    Title V, Credit. Title V would reauthorize farm ownership 
and operating loans and loan guarantees through 2023. It also 
would increase lending limits on loan guarantees for farm 
ownership and operating loans, reauthorize individual 
development accounts for beginning farmers and ranchers through 
2023, and amend farm ownership eligibility requirements for 
loans to beginning farmers and ranchers.
    Title V also would make technical corrections to the 
Consolidated Farm and Rural Development Act and to the Farm 
Credit Act of 1971 to bring the statutes into comportment with 
current USDA practices. CBO estimates that enacting title V 
would have no effect on direct spending; all of the effects on 
spending would be subject to appropriation.
    Title VI, Rural Infrastructure and Economic Development. 
Title VI would eliminate the mandatory funding for USDA's 
Biorefinery Assistance and Rural Energy for America Programs. 
CBO estimates that eliminating those programs would reduce 
direct spending by $517 million over the 2019-2028 period.
    Title VII, Research, Extension, and Related Matters. 
Section 7209 would reauthorize the Organic Agriculture Research 
and Extension Initiative through 2023. CBO estimates that 
provision would increase direct spending by $150 million over 
the 10-year period. Section 7507 would reauthorize the 
Beginning Farmer and Rancher Development program. CBO estimates 
that provision would cost $100 million over the 2019-2028 
period.
    Title VIII, Forestry. Title VIII would reauthorize several 
programs aimed at restoring and conserving forest lands and 
would expedite certain management activities on lands 
administered by the Forest Service. CBO estimates that enacting 
title VIII would not affect direct spending over the 2019-2028 
period. All of the spending effects for this title would be 
subject to appropriation.
    Title IX, Horticulture. Title IX would reauthorize 
specialty crop block grants through 2023. Section 9006 would 
reauthorize programs to support organic agriculture. CBO 
estimates those provisions would cost $10 million over the 
2019-2028 period.
    Title X, Crop Insurance. CBO estimates that the amendments 
to the federal crop insurance program would reduce spending by 
$0.2 billion over the 2019-2028 period. Those amendments would 
expand insurance coverage of forage and grazing lands (section 
10001), impose higher administrative fees for catastrophic 
coverage (section 10002), and a reduce funding for research, 
development, and education assistance (sections 10008 and 
10010).
    Title XI, Miscellaneous. Section 11101 would authorize USDA 
to operate a new National Animal Disease and Preparedness 
Response Program, to include a vaccine bank for rapid response 
to animal disease outbreaks. CBO estimates that enacting that 
provision would cost $450 million over the 10-year period. 
Section 11304 would combine the Pima Cotton Trust Fund, the 
Wool Apparel Trust Fund, and the Wool Research and Promotion 
Fund into a single Textile Trust Fund that is authorized 
through 2023. CBO estimates the outlays from the combined fund 
would total $103 million over the 2019-2023 period. In total, 
enacting the provisions of Title XI would cost $566 million.

Spending subject to appropriation

    Table 4 compiles the amounts specifically authorized to be 
appropriated in H.R. 2. CBO estimates that implementing the 
provisions of H.R. 2 that specify authorizations of 
appropriations would cost $24.3 billion over the 2019-2023 
period and $7.1 billion after 2023, assuming appropriation of 
those specified amounts. Details of specified authorizations in 
the other titles are summarized below. Implementing Titles I 
(Commodities) and X (Crop Insurance) would require additional 
spending, but those titles do not specifically authorize any 
amounts to be appropriated; CBO has not completed an estimate 
of the costs of implementing any provision without an 
authorization of specific amounts.
    Title II, Conservation. Title II would reauthorize 
appropriations that total $0.8 billion over the 2019-2023 
period for several conservation and environmental programs. CBO 
estimates that implementing those provisions would cost $0.7 
billion over the 2019-2023 period and $0.1 billion after 2023.
    Title III, Trade. Title III would amend and reauthorize 
trade promotion and international food assistance programs 
through 2023 that would total $13.0 billion over the 2019-2023 
period and $0.6 billion in 2024. CBO estimates that 
implementing those provisions would cost $10.5 billion over the 
2019-2023 period and $3.1 billion after 2023.
    Title IV, Nutrition. Title IV would amend and reauthorize 
programs related to SNAP and the Food Distribution Program on 
Indian Reservations. The title also would establish pilot 
projects that would create public-private partnerships 
addressing food insecurity and poverty. The authorized amounts 
total $0.4 billion over the 2019-2023 period. CBO estimates 
that implementing those provisions would cost $0.4 billion over 
the 2019-2023 period.
    Title V, Credit. Title V would reauthorize USDA's 
conservation loan and loan guarantee programs, including an 
authorization of $1.3 billion for the appropriations for loan 
subsidies over the 2019-2023 period. CBO estimates that 
implementing those provisions would cost $1.3 billion over the 
2019-2023 period.
    Title VI, Rural Infrastructure and Economic Development. 
Title VI would amend and reauthorize programs related to 
providing rural access to broadband, rural utilities, and 
bioenergy. The title also would authorize funding to improve 
health outcomes in rural communities. The authorized amounts 
total $6.7 billion over the 2019-2023 period. CBO estimates 
that implementing those provisions would cost $3.9 billion over 
the 2019-2023 period and $2.9 billion after 2023.

                        TABLE 4--ESTIMATED SPENDING SUBJECT TO APPROPRIATION UNDER H.R. 2
----------------------------------------------------------------------------------------------------------------
                                                        By fiscal year, in Millions of Dollars
                                    ----------------------------------------------------------------------------
                                        2018       2019       2020       2021       2022       2023    2019-2023
----------------------------------------------------------------------------------------------------------------
                                 INCREASES IN SPENDING SUBJECT TO APPROPRIATION
 
Title II, Conservation:
    Authorization Level............          0        165        165        165        165        165        825
    Estimated Outlays..............          0        106        144        157        165        165        737
Title III, Trade:
    Authorization Level............          0      2,613      2,607      2,607      2,607      2,607     13,041
    Estimated Outlays..............          0        874      2,130      2,417      2,533      2,578     10,532
Title IV, Nutrition:
    Authorization Level............          0         85         80         80         80         80        405
    Estimated Outlays..............          0         74         79         80         80         80        393
Title V, Credit:
    Authorization Level............          0        257        257        257        257        257      1,283
    Estimated Outlays..............          0        248        257        257        257        257      1,274
Title VI, Rural Infrastructure and
 Economic Development:
    Authorization Level............          0      1,351      1,351      1,351      1,351      1,286      6,690
    Estimated Outlays..............          0        179        490        826      1,159      1,292      3,945
Title VII, Research, Extension, and
 Related Matters:
    Authorization Level............          0      1,479      1,479      1,479      1,479      1,479      7,393
    Estimated Outlays..............          0        756      1,183      1,479      1,479      1,479      6,374
Title VIII, Forestry:
    Authorization Level............          0        105        105        105        105        105        525
    Estimated Outlays..............          0         56         81         94        102        105        437
Title IX, Horticulture:
    Authorization Level............          0         62         63         65         67         69        326
    Estimated Outlays..............          0         51         62         65         67         69        313
Title XI, Miscellaneous:
    Authorization Level............          0         60         60         60         60         60        300
    Estimated Outlays..............          0         34         54         60         60         60        268
    Total Changesa:
        Authorization Level........          0      6,176      6,166      6,168      6,170      6,107     30,787
        Estimated Outlays..........          0      2,378      4,479      5,433      5,900      6,084     24,273
----------------------------------------------------------------------------------------------------------------
Components may not sum to totals because of rounding. Title I and Title X do not contain any provisions that
  would authorize the appropriation of specific amounts.
aCBO estimates that implementing the bill would cost $7.1 billion after 2023.

    Title VII, Research, Extension, and Related Matters. Title 
VII would reauthorize appropriations totaling $7.4 billion over 
the 2019-2023 period for various research and educational 
programs. CBO estimates that implementing those provisions 
would cost $6.4 billion over the 2019-2023 period and $1.0 
billion after 2023.
    Title VIII, Forestry. Title VIII would reauthorize 
appropriations totaling $0.5 billion over the 2019-2023 period 
for several forestry programs. CBO estimates that implementing 
those provisions would cost $0.4 billion over the 2019-2023 
period and $0.1 billion after 2023.
    Title IX, Horticulture. Title IX would reauthorize 
appropriations totaling $0.3 billion over the 2019-2023 period 
for the National Organic Program, the Farmers Market and Local 
Food Promotion program, and other programs intended to support 
food safety and specialty crops. CBO estimates that 
implementing those provisions would cost $0.3 billion over the 
2019-2023 period.
    Title XI, Miscellaneous. Title XI would authorize 
appropriations for the new Animal Disease Preparedness and 
Response program and would reauthorize specified amounts for 
outreach to socially disadvantaged farmers and veterans and for 
other programs. Those authorizations would total $0.3 billion 
over the 2019-2023 period. CBO estimates that implementing 
those provisions would cost $0.3 billion over the 2019-2023 
period.
    Uncertainty. CBO tries to produce estimates that generally 
reflect the middle of a range of the most likely outcomes. 
Estimates of commodity support programs are particularly 
sensitive to changes in commodity prices and production, which 
are sensitive to changes in weather and markets, especially 
trade. The nutrition estimates are particularly sensitive to 
how, and how quickly, the states implement the policies 
regarding work requirements, child support, and categorical 
eligibility. Changes in the state of the economy, especially 
inflation and unemployment, could also affect the estimated 
effects.
    Pay-As-You-Go considerations: The Statutory Pay-As-You-Go 
Act of 2010 establishes budget-reporting and enforcement 
procedures for legislation affecting direct spending or 
revenues. The net changes in outlays and revenues that are 
subject to those pay-as-you-go procedures are shown in the 
following table.

   TABLE 5. CBO ESTIMATE OF PAY-AS-YOU-GO EFFECTS FOR H.R. 2, THE AGRICULTURE AND NUTRITION ACT OF 2018, AS ORDERED REPORTED BY THE HOUSE COMMITTEE ON
                                                              AGRICULTURE ON APRIL 18, 2018
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                             By fiscal year, in millions of dollars--
                                         ---------------------------------------------------------------------------------------------------------------
                                           2018   2019   2020    2021    2022   2023     2024     2025     2026     2027     2028   2018-2023  2018-2028
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                       NET INCREASE OR DECREASE (-) IN THE DEFICIT
 
Statutory Pay-As-You-Go Impact..........      0    719     630   1,020    527     184     -300     -367     -710     -823     -887     3,080         -7
Memorandum:
    Changes in Outlays..................      0    719     630   1,020    582     244     -240     -302     -640     -748     -807     3,195        458
    Changes in Revenues.................      0      0       0       0     55      60       60       65       70       75       80       115        465
--------------------------------------------------------------------------------------------------------------------------------------------------------

    Increase in long-term direct spending and deficits: CBO 
estimates that enacting H.R. 2 would not increase net direct 
spending or on-budget deficits in any of the four consecutive 
10-year periods beginning in 2029.
    Mandates: H.R. 2 would impose public- and private-sector 
mandates as defined in UMRA. In the aggregate, CBO estimates, 
the costs of mandates on public entities would exceed the 
annual threshold established in that act ($80 million in 2018, 
adjusted annually for inflation) for intergovernmental mandates 
in at least four of the first five years that the mandates were 
in effect. The costs of mandates on private entities would be 
below the annual threshold for private-sector mandates ($106 
million in 2018, adjusted annually for inflation).

Mandates that apply to state governments only

    The bill would impose intergovernmental mandates by 
amending SNAP eligibility requirements, placing new 
responsibilities on states as administrators of Child Support 
Enforcement, and requiring new state activities in the SNAP 
program. For large entitlement grant programs like SNAP and 
Child Support Enforcement, UMRA defines an increase in the 
stringency of conditions on states or localities as an 
intergovernmental mandate if the affected governments lack 
authority to offset those costs while continuing to provide 
required services. The bill's requirements would increase the 
workload of state agencies in areas where they have limited 
flexibility to amend their responsibilities and offset 
additional costs and thus would be intergovernmental mandates.
    The bill also would preempt state and local laws in some 
areas.
    Various provisions of Title IV would impose mandates on 
state governments, as follows:
     Section 4011 would require SNAP beneficiaries to 
cooperate with state child support agencies to receive 
benefits, increasing the population that would be reviewed for 
compliance with orders for child support. Consequently, the 
increased workload associated with the new requirements would 
be an intergovernmental mandate. Under current law, the federal 
government reimburses states for two-thirds of the 
administrative costs for child support activities. CBO 
estimates that the incremental cost to states of the child 
support changes would total $1.156 billion from 2019 to 2023.
     Section 4015 would require states to offer 
employment and training services to SNAP recipients to satisfy 
new work requirements. Under this provision, states must 
provide sufficient hours in those activities for SNAP 
recipients to meet the federal requirement of 20 hours per week 
of work or participation in a training program (the requirement 
would increase to 25 hours in 2026). H.R. 2 would allow two 
years for implementation and would provide $1 billion annually 
to states, beginning in 2021, for such programs. Under current 
law, funding to states for employment and training programs 
comes from two sources: grant funding from the federal 
government and a 50 percent match on additional costs states 
incur. CBO estimates that states would expand their programs 
gradually, and that initially, states would replace federally 
matched state funds with federal grant funds. Therefore, CBO 
anticipates that the states would incur savings in the early 
years of implementation. As states implemented the work 
requirements fully, CBO expects, annual costs would exceed the 
amount of federally allocated funds; therefore, state spending 
(matched by federal funds) would rise and eventually impose 
costs on states.
     Section 4022 would increase administrative costs 
for states to operate EBT systems because private contractors 
would pass fees that are associated with operating the national 
gateway along to the states. Increasing the cost of complying 
with the existing mandate to operate an electronic benefit 
transfer system would impose a mandate as defined by UMRA. CBO 
estimates that the incremental cost of that mandate would 
average $2 million per year through 2023. Within a couple of 
years, that cost would rise to $15 million each year.
     Section 4024 would require states to offer five 
months of transitional SNAP benefits to households that cease 
to receive cash assistance under certain programs. Under 
current law, states may provide those benefits for up to five 
months. Given the small population of such recipients, CBO 
estimates that the mandate would impose minimal administrative 
costs on states.
     Sections 4001, 4015, and 4023 would impose 
mandates on states by increasing the administrative burden of 
compliance with new verification, notification, and record 
retention rules under SNAP. CBO estimates that the incremental 
costs of those mandates, in the aggregate, would be small 
because they represent only small increases over current 
requirements.
    Other provisions of H.R. 2 would impose intergovernmental 
mandates on state and local governments by preempting local 
laws that regulate the sale or use of pesticides that are 
registered with the Environmental Protection Agency (EPA) and 
state laws that impose additional standards on agricultural 
products that are shipped from other states. Although the 
preemptions would limit the authority of state and local 
governments, they would impose no duty that would result in 
additional spending or loss of revenues.

Mandates that apply to public and private entities

    H.R. 2 would impose mandates on intergovernmental and 
private-sector entities alike by extending for five years, 
through 2023, EPA's authority to collect maintenance fees for 
the use of certain pesticides. (Under current law, those fees 
are to be phased out by 2019.) CBO estimates that those fees 
would total $31 million annually and that most of the cost 
would be borne by private entities. Public entities usually 
receive waivers from maintenance fees for minor uses or for 
public health purposes.

Mandates that apply to private entities only

    H.R. 2 would impose several mandates on private entities as 
follows:
     Section 3002 would amend country-of-origin 
labeling requirements for producers of agricultural commodities 
for foreign aid. Any costs to producers to comply with those 
new requirements would probably be included in the amount 
awarded to producers to fulfill their contracts. Therefore, CBO 
estimates, producers would incur minimal costs to comply with 
that mandate.
     Section 9119 would extend a current-law 
requirement, through 2025, for producers and distributors to 
pay pesticide registration fees to EPA. CBO estimates that 
those fees would total $18 million annually, on average, during 
the first five years that the mandate is in effect.
     Section 11612 would prohibit the knowing 
slaughter, transport, purchase, or possession of a dog or cat 
for human consumption. According to the American Society for 
the Prevention of Cruelty to Animals, the dog and cat meat 
industry in the United States is very small. CBO estimates that 
any lost income to entities participating in the industry would 
be insignificant.

Other effects on private entities

    The bill would impose additional requirements on retailers 
as conditions of participation in the SNAP program. The costs 
of those new requirements would result from participation in a 
voluntary federal program and thus would not be mandates on the 
private-sector as defined by UMRA.
    Section 4022 would establish a national gateway for 
retailers to route EBT information to a single source that 
would validate and settle purchases. That operation would be 
covered by fees imposed on the private-sector entities that 
participate in the EBT system. CBO estimates that the 
incremental cost to those participants would be small because 
the fees imposed by the gateway would replace similar fees that 
participants already pay. Although entities that use EBT 
services could incur additional costs to adapt compliant 
systems, CBO cannot estimate the associated additional costs 
because of uncertainty in the design and operation of the 
gateway. Section 4022 also would require retail food stores 
that apply to accept SNAP/EBT benefits to provide the 
Department of Agriculture with certain information on their 
services and equipment. CBO estimates the costs of that 
requirement to be minimal.
    Previous CBO estimate: On April 13, 2018, CBO transmitted a 
cost estimate of H.R. 2, the Agriculture and Nutrition Act of 
2018, as posted on the website of the House Committee on 
Agriculture on April 12, 2018. CBO's estimate of the direct 
spending and revenue effects of H.R. 2, as ordered reported, 
are the same as the estimates of the posted bill.
    Estimate prepared by: Federal costs: Tia Caldwell, 
Elizabeth Cove Delisle, Kathleen FitzGerald, Jennifer Gray, 
Justin Latus, and Emily Stern (nutrition provisions); Tiffany 
Arthur, Jeff LaFave, Jim Langley, and Robert Reese (other 
provisions).
    Mandates: Andrew Laughlin (nutrition provisions) and 
Zachary Byrum (other provisions).
    Estimate reviewed by: Sheila Dacey, Chief, Income Security 
and Education Cost Estimates Unit; Kim P. Cawley, Chief, 
Natural and Physical Resources Cost Estimate Unit; Susan 
Willie, Chief, Mandates Unit; H. Samuel, Papenfuss, Deputy 
Assistant Director for Budget Analysis; Theresa A. Gullo, 
Assistant Director for Budget Analysis.

                    PERFORMANCE GOALS AND OBJECTIVES

    With respect to the requirement of clause 3(c)(4) of rule 
XIII of the Rules of the House of Representatives, the 
performance goals and objectives of this legislation are to 
provide for the reform and continuation of agricultural and 
other programs of the Department of Agriculture through fiscal 
year 2023, and of other purposes.

                        COMMITTEE COST ESTIMATE

    Pursuant to clause 3(d)(2) of Rule XIII of the Rules of the 
House of Representatives, the Committee report incorporates the 
cost estimate prepared by the Director of the Congressional 
Budget Office pursuant to sections 402 and 423 of the 
Congressional Budget Act of 1974.

                      ADVISORY COMMITTEE STATEMENT

    No advisory committee within the meaning of section 5(b) of 
the Federal Advisory Committee Act was created by this 
legislation.

                APPLICABILITY TO THE LEGISLATIVE BRANCH

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Public Law 
104-1).

                       FEDERAL MANDATES STATEMENT

    The Committee adopted as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act (Public Law 104-4).

EARMARK STATEMENT REQUIRED BY CLAUSE 9 OF RULE XXI OF THE RULES OF THE 
                        HOUSE OF REPRESENTATIVES

    H.R. 2 does not contain any congressional earmarks, limited 
tax benefits, or limited tariff benefits as defined in clause 
9(e), 9(f), or 9(g) of rule XXI of the Rules of the House of 
Representatives.

                    DUPLICATION OF FEDERAL PROGRAMS

    This bill does not establish or reauthorize a program of 
the Federal Government known to be duplicative of another 
Federal program, a program that was included in any report from 
the Government Accountability Office to Congress pursuant to 
section 21 of Public Law 111-139, or a program related to a 
program identified in the most recent Catalog of Federal 
Domestic Assistance.

                  DISCLOSURE OF DIRECTED RULE MAKINGS

    H.R. 2 includes the following rule makings within the 
meaning of 5 U.S.C. 551:
           Sec. 1204 requires the Secretary to define 
        ``prevailing world market price''.
           Sec. 1601 requires the Secretary to 
        promulgate and revise rules to carry out amendments 
        made by Title I of this Act.
           Sec. 3007 requires the Secretary to revise 
        rules to carry out amendments made by Title III of this 
        Act.
           Sec. 4001 requires the Secretary to 
        promulgate rules to carry out the Duplicative 
        Enrollment Database.
           Sec. 4029 requires the Secretary to 
        promulgate rules to establish criteria related to the 
        effective administration of the supplemental nutrition 
        assistance program.
           Sec. 6116 requires the Secretary to revise 
        rules to carry out amendments made to broadband 
        programs.
           Sec. 8333 requires the Secretary to issue 
        regulations related to dead or dying trees on National 
        Forest System lands.
           Sec. 8503 requires the Secretary to revise 
        regulations related to the analysis necessary in order 
        to make a determination of extraordinary circumstances 
        that would preclude the use of a categorical exclusion.
           Sec. 9006 requires the Secretary to issues 
        regulations to limit the type of operations that are 
        excluded from organic certification.
           Sec. 9116 requires the Administrator of the 
        Environmental Protection Agency to publish and review a 
        work plan and processes for completing certain 
        determinations under the Federal Insecticide, Fungicide 
        and Rodenticide Act.
           Sec. 9131 requires the Secretary of Labor to 
        define ``retail facility'' as it relates to the direct 
        sales of highly hazardous chemicals to end-users or 
        consumers.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

         FEDERAL AGRICULTURE IMPROVEMENT AND REFORM ACT OF 1996



           *       *       *       *       *       *       *
TITLE I--AGRICULTURAL MARKET TRANSITION ACT

           *       *       *       *       *       *       *


Subtitle D--Other Commodities

           *       *       *       *       *       *       *


CHAPTER 2--SUGAR

           *       *       *       *       *       *       *


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; and
          (4) 18.75 cents per pound for raw cane sugar for each 
        of the 2011 through [2018] 2023 crop years.
  (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 [2018] 2023 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 beginning 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
                  (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 Secretary 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 
        administrative 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 and at no cost to the Commodity 
                Credit Corporation, convert 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 multiplying--
                          (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 Secretary.
          (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 
Disposition.--
          (1) In general.--Subject to subsection (d)(3), to the 
        maximum extent practicable, the Secretary shall operate 
        the program established under this section at no cost 
        to the Federal Government by avoiding the forfeiture of 
        sugar to the Commodity 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 
                bioenergy feedstock.
                  (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 
        processor 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, distribution, 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 Secretary, 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 products.
                  (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 
                subparagraph (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 publish on a monthly basis composite 
        data on production, imports, distribution, and stock 
        levels of sugar.
  (h) Substitution of Refined Sugar.--For purposes of 
Additional 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 substitutable 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 [2018] 2023 crops of sugar beets and 
sugarcane.

Subtitle E--Administration

           *       *       *       *       *       *       *


SEC. 164. PERSONAL LIABILITY OF PRODUCERS FOR DEFICIENCIES.

  (a) In General.--Except as provided in subsection (b), no 
producer shall be personally liable for any deficiency arising 
from the sale of the collateral securing any nonrecourse loan 
made under [this title title I of the Farm Security and Rural 
Investment Act of 2002, title I of the Food, Conservation, and 
Energy Act of 2008 (7 U.S.C. 8702 et seq.), and title I of the 
Agricultural Act of 2014 unless] this title, title I of the 
Farm Security and Rural Investment Act of 2002, title I of the 
Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8702 et 
seq.), title I of the Agricultural Act of 2014, or Agriculture 
and Nutrition Act of 2018 the loan was obtained through a 
fraudulent representation by the producer.
  (b) Limitations.--Subsection (a) shall not prevent the 
Commodity Credit Corporation or the Secretary from requiring a 
producer to assume liability for--
          (1) a deficiency in the grade, quality, or quantity 
        of a commodity stored on a farm or delivered by the 
        producer;
          (2) a failure to properly care for and preserve a 
        commodity; or
          (3) a failure or refusal to deliver a commodity in 
        accordance with a program established under this title, 
        title I of the Farm Security and Rural Investment Act 
        of 2002, title I of the Food, Conservation, and Energy 
        Act of 2008 (7 U.S.C. 8702 et seq.), and title I of the 
        Agricultural Act of 2014.
  (c) Acquisition of Collateral.--In the case of a nonrecourse 
loan made under this title, title I of the Farm Security and 
Rural Investment Act of 2002, title I of the Food, 
Conservation, and Energy Act of 2008 (7 U.S.C. 8702 et seq.), 
and title I of the Agricultural Act of 2014 or the Commodity 
Credit Corporation Charter Act (15 U.S.C. 714 et seq.), if the 
Commodity Credit Corporation acquires title to the unredeemed 
collateral, the Corporation shall be under no obligation to pay 
for any market value that the collateral may have in excess of 
the loan indebtedness.
  (d) Sugarcane and Sugar Beets.--A security interest obtained 
by the Commodity Credit Corporation as a result of the 
execution of a security agreement by the processor of sugarcane 
or sugar beets shall be superior to all statutory and common 
law liens on raw cane sugar and refined beet sugar in favor of 
the producers of sugarcane and sugar beets and all prior 
recorded and unrecorded liens on the crops of sugarcane and 
sugar beets from which the sugar was derived.

           *       *       *       *       *       *       *


SEC. 166. COMMODITY CERTIFICATES.

  (a) In General.--In making in-kind payments under subtitle C 
of this title, title I of the Farm Security and Rural 
Investment Act of 2002, title I of the Food, Conservation, and 
Energy Act of 2008, [and Subtitle B of title I of the 
Agricultural Act of 2014] subtitle B of title I of the 
Agricultural Act of 2014, and subtitle B of title I of the 
Agriculture and Nutrition Act of 2018, the Commodity Credit 
Corporation may--
          (1) acquire and use commodities that have been 
        pledged to the Commodity Credit Corporation as 
        collateral for loans made by the Corporation;
          (2) use other commodities owned by the Commodity 
        Credit Corporation; and
          (3) redeem negotiable marketing certificates for cash 
        under terms and conditions established by the 
        Secretary.
  (b) Methods of Payment.--The Commodity Credit Corporation may 
make in-kind payments--
          (1) by delivery of the commodity at a warehouse or 
        other similar facility;
          (2) by the transfer of negotiable warehouse receipts;
          (3) by the issuance of negotiable certificates, which 
        the Commodity Credit Corporation shall exchange for a 
        commodity owned or controlled by the Corporation in 
        accordance with regulations promulgated by the 
        Corporation; or
          (4) by such other methods as the Commodity Credit 
        Corporation determines appropriate to promote the 
        efficient, equitable, and expeditious receipt of the 
        in-kind payments so that a person receiving the 
        payments receives the same total return as if the 
        payments had been made in cash.
  (c) Administration.--
          (1) Form.--At the option of a producer, the Commodity 
        Credit Corporation shall make negotiable certificates 
        authorized under subsection (b)(3) available to the 
        producer, in the form of program payments or by sale, 
        in a manner that the Corporation determines will 
        encourage the orderly marketing of commodities pledged 
        as collateral for loans made to producers under 
        subtitle C of this title, title I of the Farm Security 
        and Rural Investment Act of 2002, title I of the Food, 
        Conservation, and Energy Act of 2008, [and Subtitle B 
        of title I of the Agricultural Act of 2014] subtitle B 
        of title I of the Agricultural Act of 2014, and 
        subtitle B of title I of the Agriculture and Nutrition 
        Act of 2018.
          (2) Transfer.--A negotiable certificate issued in 
        accordance with this subsection may be transferred to 
        another person in accordance with regulations 
        promulgated by the Secretary.
          (3) Application of authority.--Beginning with the 
        2015 crop marketing year, the Secretary shall carry out 
        paragraph (1) under the same terms and conditions as 
        were in effect for the 2008 crop year for loans made to 
        producers under subtitle B of title I of the Food, 
        Conservation, and Energy Act of 2008 (7 U.S.C. 8701 et 
        seq.).

           *       *       *       *       *       *       *


Subtitle H--Miscellaneous Commodity Provisions

           *       *       *       *       *       *       *


SEC. 196. ADMINISTRATION AND OPERATION OF NONINSURED CROP ASSISTANCE 
                    PROGRAM.

  (a) Operation and Administration of Program.--
          (1) In general.--
                  (A) Coverages.--In the case of an eligible 
                crop described in paragraph (2), the Secretary 
                of Agriculture shall operate a noninsured crop 
                disaster assistance program to provide 
                coverages based on individual yields (other 
                than for value-loss crops) equivalent to--
                          (i) catastrophic risk protection 
                        available under section 508(b) of the 
                        Federal Crop Insurance Act (7 U.S.C. 
                        1508(b)); or
                          (ii) except in the case of crops and 
                        grasses used for grazing, additional 
                        coverage available under subsections 
                        (c) and (h) of section 508 of that Act 
                        (7 U.S.C. 1508) that does not exceed 65 
                        percent, as described in subsection 
                        (l).
                  (B) Administration.--The Secretary shall 
                carry out this section through the Farm Service 
                Agency (referred to in this section as the 
                ``Agency'').
          (2) Eligible crops.--
                  [(A) In general.--In this section, the term 
                ``eligible crop'' means each commercial crop or 
                other agricultural commodity (except 
                livestock)--
                          [(i) for which catastrophic risk 
                        protection under section 508(b) of the 
                        Federal Crop Insurance Act (7 U.S.C. 
                        1508(b)) is not available;
                                          [(ii) for which 
                                        additional coverage 
                                        under subsections (c) 
                                        and (h) of section 508 
                                        of that Act (7 U.S.C. 
                                        1508) is not available; 
                                        and
                          [(iii) that is produced for food or 
                        fiber.]
                  (A) In general.--Subject to subparagraph (B), 
                in this section, the term ``eligible crop'' 
                means each commercial crop or other 
                agricultural commodity that is produced for 
                food or fiber (except livestock) for which 
                catastrophic risk protection under subsection 
                (b) of section 508 of the Federal Crop 
                Insurance Act (7 U.S.C. 1508) and additional 
                coverage under subsections (c) and (h) of such 
                section are not available or, if such coverage 
                is available, it is only available under a 
                policy that provides coverage for specific 
                intervals based on weather indexes or under a 
                whole farm plan of insurance.
                  (B) Crops specifically included.--The term 
                ``eligible crop'' shall include floricultural, 
                ornamental nursery, and Christmas tree crops, 
                turfgrass sod, seed crops, aquaculture 
                (including ornamental fish), sea grass and sea 
                oats, camelina, sweet sorghum, biomass sorghum, 
                and industrial crops (including those grown 
                expressly for the purpose of producing a 
                feedstock for renewable biofuel, renewable 
                electricity, or biobased products).
                  (C) Combination of similar types or 
                varieties.--At the option of the Secretary, all 
                types or varieties of a crop or commodity, 
                described in subparagraphs (A) and (B), may be 
                considered to be a single eligible crop under 
                this section.
          (3) Cause of loss.--To qualify for assistance under 
        this section, the losses of the noninsured commodity 
        shall be due to drought, flood, or other natural 
        disaster, as determined by the Secretary.
          (4) Program reduction in benefits 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 principally of native grasses, 
                        grasslike plants, forbs, or shrubs 
                        suitable for grazing and browsing; and
                          (ii) that has never been tilled, or 
                        the producer cannot substantiate that 
                        the ground has ever been tilled, for 
                        the production of an annual crop as of 
                        the date of enactment of this 
                        paragraph.
                  (B) Reduction in benefits.--
                          (i) In general.--During the first 4 
                        crop years of planting, as determined 
                        by the Secretary, native sod acreage 
                        that has been tilled for the production 
                        of an annual crop after the date of 
                        enactment of the Agricultural Act of 
                        2014 shall be subject to a reduction in 
                        benefits under this section as 
                        described in this subparagraph.
                          (ii) De minimis acreage exemption.--
                        The Secretary shall exempt areas of 5 
                        acres or less from clause (i).
                          (iii) Reduction.--For purposes of the 
                        reduction in benefits for the acreage 
                        described in clause (i)--
                                  (I) the approved yield shall 
                                be determined by using a yield 
                                equal to 65 percent of the 
                                transitional yield of the 
                                producer; and
                                  (II) the service fees or 
                                premiums for crops planted on 
                                native sod shall be equal to 
                                200 percent of the amount 
                                determined in subsections 
                                (l)(2) or (k), as applicable, 
                                but in no case shall exceed the 
                                amount determined in subsection 
                                (l)(2)(B)(ii).
                  (C) Application.--This paragraph shall only 
                apply to native sod acreage in the States of 
                Minnesota, Iowa, North Dakota, South Dakota, 
                Montana, and Nebraska.
  (b) Application for Noninsured Crop Disaster Assistance.--
          (1) Timely application.--To be eligible for 
        assistance under this section, a producer shall submit 
        an application for noninsured crop disaster assistance 
        at a local office of the Department. The application 
        shall be in such form, contain such information, and be 
        submitted not later than 30 days before the beginning 
        of the coverage period, as determined by the Secretary.
          (2) Records.--To be eligible for assistance under 
        this section, a producer shall provide annually to the 
        Secretary records of crop acreage, acreage yields, and 
        production for each crop, as required by the Secretary.
          (3) Acreage reports.--A producer shall provide annual 
        reports on acreage planted or prevented from being 
        planted, as required by the Secretary, by the 
        designated acreage reporting date for the crop and 
        location as established by the Secretary.
  (c) Loss Requirements.--
          (1) Cause.--To be eligible for assistance under this 
        section, a producer of an eligible crop shall have 
        suffered a loss of a noninsured commodity as the result 
        of a cause described in subsection (a)(3).
          (2) Assistance.--
                  (A) In general.--On making a determination 
                described in subsection (a)(3), the Secretary 
                shall provide assistance under this section to 
                producers of an eligible crop that have 
                suffered a loss as a result of the cause 
                described in subsection (a)(3).
                  (B) Aquaculture producers.--On making a 
                determination described in subsection (a)(3) 
                for aquaculture producers, the Secretary shall 
                provide assistance under this section to 
                aquaculture producers from all losses related 
                to drought.
          (3) Prevented planting.--Subject to paragraph (1), 
        the Secretary shall make a prevented planting 
        noninsured crop disaster assistance payment if the 
        producer is prevented from planting more than 35 
        percent of the acreage intended for the eligible crop 
        because of drought, flood, or other natural disaster, 
        as determined by the Secretary.
          (4) Area trigger.--The Secretary shall provide 
        assistance to individual producers without any 
        requirement of an area loss.
  (d) Payment.--The Secretary shall make available to a 
producer eligible for noninsured assistance under this section 
a payment computed by multiplying--
          (1) the quantity that is less than 50 percent of the 
        established yield for the crop; by
          (2)(A) in the case of each of the 1996 through 1998 
        crop years, 60 percent of the average market price for 
        the crop (or any comparable coverage determined by the 
        Secretary); or
          (B) in the case of each of the 1999 and subsequent 
        crop years, 55 percent of the average market price for 
        the crop (or any comparable coverage determined by the 
        Secretary); by
          (3) a payment rate for the type of crop (as 
        determined by the Secretary) that--
                  (A) in the case of a crop that is produced 
                with a significant and variable harvesting 
                expense, reflects the decreasing cost incurred 
                in the production cycle for the crop that is--
                          (i) harvested;
                          (ii) planted but not harvested; and
                          (iii) prevented from being planted 
                        because of drought, flood, or other 
                        natural disaster (as determined by the 
                        Secretary); and
                  (B) in the case of a crop that is not 
                produced with a significant and variable 
                harvesting expense, as determined by the 
                Secretary.
  (e) Yield Determinations.--
          (1) Establishment.--The Secretary shall establish 
        farm yields for purposes of providing noninsured crop 
        disaster assistance under this section.
          (2) Actual production history.--The Secretary shall 
        determine yield coverage using the actual production 
        history of the producer over a period of not less than 
        the 4 previous consecutive crop years and not more than 
        10 consecutive crop years. Subject to paragraph (3), 
        the yield for the year in which noninsured crop 
        disaster assistance is sought shall be equal to the 
        average of the actual production history of the 
        producer during the period considered.
          (3) Assignment of yield.--If a producer does not 
        submit adequate documentation of production history to 
        determine a crop yield under paragraph (2), the 
        Secretary shall assign to the producer a yield equal to 
        not less than 65 percent of the transitional yield of 
        the producer (adjusted to reflect actual production 
        reflected in the records acceptable to the Secretary 
        for continuous years), as specified in regulations 
        issued by the Secretary based on production history 
        requirements.
          (4) Prohibition on assigned yields in certain 
        counties.--
                  (A) In general.--
                          (i) Documentation.--If sufficient 
                        data are available to demonstrate that 
                        the acreage of a crop in a county for 
                        the crop year has increased by more 
                        than 100 percent over any year in the 
                        preceding 7 crop years or, if data are 
                        not available, if the acreage of the 
                        crop in the county has increased 
                        significantly from the previous crop 
                        years, a producer must provide such 
                        detailed documentation of production 
                        costs, acres planted, and yield for the 
                        crop year for which benefits are being 
                        claimed as is required by the 
                        Secretary. If the Secretary determines 
                        that the documentation provided is not 
                        sufficient, the Secretary may require 
                        documenting proof that the crop, had 
                        the crop been harvested, could have 
                        been marketed at a reasonable price.
                          (ii) Prohibition.--Except as provided 
                        in subparagraph (B), a producer who 
                        produces a crop on a farm located in a 
                        county described in clause (i) may not 
                        obtain an assigned yield.
                  (B) Exception.--A crop or a producer shall 
                not be subject to this subsection if--
                          (i) the planted acreage of the 
                        producer for the crop has been 
                        inspected by a third party acceptable 
                        to the Secretary; or
                          (ii)(I) the County Executive Director 
                        and the State Executive Director 
                        recommend an exemption from the 
                        requirement to the Administrator of the 
                        Agency; and
                          (II) the Administrator approves the 
                        recommendation.
          (5) Limitation on receipt of subsequent assigned 
        yield.--A producer who receives an assigned yield for 
        the current year of a natural disaster because required 
        production records were not submitted to the local 
        office of the Department shall not be eligible for an 
        assigned yield for the year of the next natural 
        disaster unless the required production records of the 
        previous 1 or more years (as applicable) are provided 
        to the local office.
          (6) Yield variations due to different farming 
        practices.--The Secretary shall ensure that noninsured 
        crop disaster assistance accurately reflects 
        significant yield variations due to different farming 
        practices, such as between irrigated and nonirrigated 
        acreage.
  (f) Contract Payments.--A producer who has received a 
guaranteed payment for production, as opposed to delivery, of a 
crop pursuant to a contract shall have the production of the 
producer adjusted upward by the amount of the production equal 
to the amount of the contract payment received.
  (g) Use of Commodity Credit Corporation.--The Secretary may 
use the funds of the Commodity Credit Corporation to carry out 
this section.
  (h) Exclusions.--Noninsured crop disaster assistance under 
this section shall not cover losses due to--
          (1) the neglect or malfeasance of the producer;
          (2) the failure of the producer to reseed to the same 
        crop in those areas and under such circumstances where 
        it is customary to reseed; or
          (3) the failure of the producer to follow good 
        farming practices, as determined by the Secretary.
  (i) Payment and Income Limitations.--
          (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 $125,000.
          (3) Limitation on multiple benefits for same loss.--
                  (A) In general.--Except as provided in 
                subparagraph (B), if a producer who is eligible 
                to receive benefits under this section is also 
                eligible to receive assistance for the same 
                loss under any other program administered by 
                the Secretary, the producer shall be required 
                to elect whether to receive benefits under this 
                section or under the other program, but not 
                both.
                  (B) Exception.--Subparagraph (A) shall not 
                apply to emergency loans under subtitle C of 
                the Consolidated Farm and Rural Development Act 
                (7 U.S.C. 1961 et seq.).
          (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 assistance 
        under this section.
          (5) Regulations.--The Secretary shall issue 
        regulations prescribing such rules as the Secretary 
        determines necessary--
                  (A) to ensure a fair and equitable 
                application of section 1001 of the Food 
                Security Act of 1985 (7 U.S.C. 1308), the 
                general payment limitation regulations of the 
                Secretary, and the limitations established 
                under 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.
  (j) Conforming Repeal.--
  (k) Service Fee.--
          (1) In general.--To be eligible to receive assistance 
        for an eligible crop for a crop year under this 
        section, a producer shall pay to the Secretary (at the 
        time at which the producer submits the application 
        under subsection (b)(1)) a service fee for the eligible 
        crop in an amount that is equal to the lesser of--
                  (A) [$250] $350 per crop per county; or
                  (B) [$750] $1,050 per producer per county, 
                but not to exceed a total of [$1,875] $2,100 
                per producer.
          (2) Waiver.--The Secretary shall waive the service 
        fee required under paragraph (1) in the case of a 
        limited resource, beginning, or socially disadvantaged 
        farmer, as defined by the Secretary.
          (3) Use.--The Secretary shall deposit service fees 
        collected under this subsection in the Commodity Credit 
        Corporation Fund.
  (l) Payment Equivalent to Additional Coverage.--
          (1) In general.--The Secretary shall make available 
        noninsured assistance under this subsection (other than 
        for crops and grasses used for grazing) at a payment 
        amount that is equivalent to an indemnity for 
        additional coverage under subsections (c) and (h) of 
        section 508 of the Federal Crop Insurance Act (7 U.S.C. 
        1508) and equal to the product obtained by 
        multiplying--
                  (A) the amount that--
                          (i) the additional coverage yield, 
                        which shall be equal to the product 
                        obtained by multiplying--
                                  (I) an amount not less than 
                                50 percent nor more than 65 
                                percent, as elected by the 
                                producer and specified in 5-
                                percent increments; and
                                  (II) the approved yield for 
                                the crop, as determined by the 
                                Secretary; exceeds
                          (ii) the actual yield;
                  (B) 100 percent of the average market price 
                for the crop, as determined by the Secretary; 
                and
                  (C) a payment rate for the type of crop, as 
                determined by the Secretary, that reflects--
                          (i) in the case of a crop that is 
                        produced with a significant and 
                        variable harvesting expense, the 
                        decreasing cost incurred in the 
                        production cycle for the crop that is, 
                        as applicable--
                                  (I) harvested;
                                  (II) planted but not 
                                harvested; or
                                  (III) prevented from being 
                                planted because of drought, 
                                flood, or other natural 
                                disaster, as determined by the 
                                Secretary; or
                          (ii) in the case of a crop that is 
                        produced without a significant and 
                        variable harvesting expense, such rate 
                        as shall be determined by the 
                        Secretary.
          (2) Service fee and premium.--To be eligible to 
        receive a payment under this subsection, a producer 
        shall pay--
                  (A) the service fee required by subsection 
                (k); and
                  (B) the lesser of--
                          (i) the sum of the premiums for each 
                        eligible crop, with the premium for 
                        each eligible crop obtained by 
                        multiplying--
                                  (I) the number of acres 
                                devoted to the eligible crop;
                                  (II) the yield, as determined 
                                by the Secretary under 
                                subsection (e);
                                  (III) the coverage level 
                                elected by the producer;
                                  (IV) the average market 
                                price, as determined by the 
                                Secretary; [and]
                                  (V) a 5.25-percent premium 
                                fee; [or] and
                                  (VI) the producer's share of 
                                the crop; or
                          (ii) the product obtained by 
                        multiplying--
                                  (I) a 5.25-percent premium 
                                fee; and
                                  (II) the applicable payment 
                                limit.
          [(3) Additional availability.--
                  [(A) In general.--As soon as practicable 
                after October 1, 2013, the Secretary shall make 
                assistance available to producers of an 
                otherwise eligible crop described in subsection 
                (a)(2) that suffered losses--
                          [(i) to a 2012 annual fruit crop 
                        grown on a bush or tree; and
                          [(ii) in a county covered by a 
                        declaration by the Secretary of a 
                        natural disaster for production losses 
                        due to a freeze or frost.
                  [(B) Assistance.--The Secretary shall make 
                assistance available under subparagraph (A) in 
                an amount equivalent to assistance available 
                under paragraph (1), less any fees not 
                previously paid under paragraph (2).
          [(4)] (3) Limited resource, beginning, and socially 
        disadvantaged farmers.--The coverage made available 
        under this subsection shall be available to limited 
        resource, beginning, and socially disadvantaged 
        farmers, as determined by the Secretary, in exchange 
        for a premium that is 50 percent of the premium 
        determined under paragraph (2).
          [(5)] (4) Effective date.--[Except as provided in 
        paragraph (3)(A), additional] Additional coverage under 
        this subsection shall be available for each of the 2015 
        through [2018] 2023 crop years.

           *       *       *       *       *       *       *

                              ----------                              


                  AGRICULTURAL ADJUSTMENT ACT OF 1938



           *       *       *       *       *       *       *
   TITLE III--LOANS, PARITY PAYMENTS, CONSUMER SAFEGUARDS, MARKETING 
QUOTAS, AND MARKETING CERTIFICATES

           *       *       *       *       *       *       *


Subtitle B--Marketing Quotas

           *       *       *       *       *       *       *


PART VII--FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR

           *       *       *       *       *       *       *


SEC. 359B. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR.

  (a) Sugar Estimates.--
          (1) In general.--Not later than August 1 before the 
        beginning of each of the 2008 through [2018] 2023 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 consumption, derived from sugar cane, sugar 
        beets, molasses, or sugar in the allotments established 
        under paragraph (1) if the Secretary determines it to 
        be appropriate for purposes of this part.
  (c) Coverage of Allotments.--
          (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 processed 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 administered by 
                the Secretary under section 9010 of the Farm 
                Security and Rural Investment Act of 2002.
          (3) Requirement.--The sale of sugar described in 
        paragraph (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 processor of sugar beets or sugarcane shall market 
        for domestic human consumption a quantity of sugar in 
        excess of the allocation 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 Corporation 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 violation.

           *       *       *       *       *       *       *


SEC. 359L. PERIOD OF EFFECTIVENESS.

  (a) In General.--This part shall be effective only for the 
2008 through [2018] 2023 crop years for sugar.
  (b) Transition.--The Secretary shall administer flexible 
marketing allotments for sugar for the 2007 crop year for sugar 
on the terms and conditions provided in this part as in effect 
on the day before the date of enactment of this section.

           *       *       *       *       *       *       *

                              ----------                              


                        AGRICULTURAL ACT OF 2014

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Agricultural 
Act of 2014''.
  (b) Table of Contents.--The table of contents of this Act is 
as follows:

Sec. 1. Short title; table of contents.
     * * * * * * *

                        TITLE XII--MISCELLANEOUS

     * * * * * * *

               Subtitle C--Other Miscellaneous Provisions

     * * * * * * *
[Sec. 12314. Pima agriculture cotton trust fund.
[Sec. 12315. Agriculture Wool Apparel Manufacturers Trust Fund.
[Sec. 12316. Wool research and promotion.]

           *       *       *       *       *       *       *


TITLE I--COMMODITIES

           *       *       *       *       *       *       *


                           Subtitle D--Dairy

  PART I--[MARGIN PROTECTION PROGRAM FOR DAIRY PRODUCERS] DAIRY RISK 
                 MANAGEMENT PROGRAM FOR DAIRY PRODUCERS

SEC. 1401. DEFINITIONS.

  In this part and part III:
          (1) Actual dairy production margin.--The term 
        ``actual dairy production margin'' means the difference 
        between the all-milk price and the average feed cost, 
        as calculated under section 1402.
          (2) All-milk price.--The term ``all-milk price'' 
        means the average price received, per hundredweight of 
        milk, by dairy operations for all milk sold to plants 
        and dealers in the United States, as determined by the 
        Secretary.
          (3) Average feed cost.--The term ``average feed 
        cost'' means the average cost of feed used by a dairy 
        operation to produce a hundredweight of milk, 
        determined under section 1402 using the sum of the 
        following:
                  (A) The product determined by multiplying 
                1.0728 by the price of corn per bushel.
                  (B) The product determined by multiplying 
                0.00735 by the price of soybean meal per ton.
                  (C) The product determined by multiplying 
                0.0137 by the price of alfalfa hay per ton.
          (4) Dairy operation.--
                  (A) In general.--The term ``dairy operation'' 
                means, as determined by the Secretary, 1 or 
                more dairy producers that produce and market 
                milk as a single dairy operation in which each 
                dairy producer--
                          (i) shares in the risk of producing 
                        milk; and
                          (ii) makes contributions (including 
                        land, labor, management, equipment, or 
                        capital) to the dairy operation of the 
                        individual or entity, which are at 
                        least commensurate with the individual 
                        or entity's share of the proceeds of 
                        the operation.
                  (B) Additional ownership structures.--The 
                Secretary shall determine additional ownership 
                structures to be covered by the definition of 
                dairy operation.
          [(5) Margin protection program.--The term ``margin 
        protection program'' means the margin protection 
        program required by section 1403.
          [(6) Margin protection program payment.--The term 
        ``margin protection program payment'' means a payment 
        made to a participating dairy operation under the 
        margin protection program pursuant to section 1406.]
          (5) Dairy risk management program.--The terms ``dairy 
        risk management program'' and ``program'' mean the 
        dairy risk management program required by section 1403.
          (6) Dairy risk management payment.--The term ``dairy 
        risk management payment'' means a payment made to a 
        participating dairy operation under the program 
        pursuant to section 1406.
          (7) Participating dairy operation.--The term 
        ``participating dairy operation'' means a dairy 
        operation that registers under section 1404 to 
        participate in the [margin protection] program.
          (8) Production history.--The term ``production 
        history'' means the production history determined for a 
        participating dairy operation under subsection (a) or 
        (b) of section 1405 when the participating dairy 
        operation first registers to participate in the [margin 
        protection] program.
          (9) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.
          (10) United states.--The term ``United States'', in a 
        geographical sense, means the 50 States, the District 
        of Columbia, American Samoa, Guam, the Commonwealth of 
        the Northern Mariana Islands, the Commonwealth of 
        Puerto Rico, the Virgin Islands of the United States, 
        and any other territory or possession of the United 
        States.

SEC. 1402. CALCULATION OF AVERAGE FEED COST AND ACTUAL DAIRY PRODUCTION 
                    MARGINS.

  (a) Calculation of Average Feed Cost.--The Secretary shall 
calculate the national average feed cost for each month using 
the following data:
          (1) The price of corn for a month shall be the price 
        received during that month by farmers in the United 
        States for corn, as reported in the monthly 
        Agricultural Prices report by the Secretary.
          (2) The price of soybean meal for a month shall be 
        the central Illinois price for soybean meal, as 
        reported in the Market News-Monthly Soybean Meal Price 
        Report by the Secretary.
          (3) The price of alfalfa hay for a month shall be the 
        price received during that month by farmers in the 
        United States for alfalfa hay, as reported in the 
        monthly Agricultural Prices report by the Secretary.
  (b) Calculation of Actual Dairy Production Margin.--
          (1) In general.--For use in the [margin protection] 
        dairy risk management program, the Secretary shall 
        calculate the actual dairy production margin for each 
        month by subtracting--
                  (A) the average feed cost for that month, 
                determined in accordance with subsection (a); 
                from
                  (B) the all-milk price for that month.
          (2) Time for calculation.--The calculation required 
        by this subsection shall be made as soon as practicable 
        using the full-month price of the applicable reference 
        month.

SEC. 1403. [ESTABLISHMENT OF MARGIN PROTECTION]  DAIRY RISK MANAGEMENT 
                    PROGRAM FOR DAIRY PRODUCERS.

   [Not later than September 1, 2014, the Secretary shall 
establish and administer a margin protection program] The 
Secretary shall continue to administer a dairy risk management 
program for dairy producers under which participating dairy 
operations are paid a [margin protection payment] dairy risk 
management payment when actual dairy production margins are 
less than the threshold levels for a [margin protection 
payment] dairy risk management payment.

SEC. 1404. PARTICIPATION OF DAIRY OPERATIONS IN [MARGIN PROTECTION] 
                    PROGRAM.

  (a) Eligibility.--All dairy operations in the United States 
shall be eligible to participate in the [margin protection 
program to receive margin protection payments] dairy risk 
management program to receive dairy risk management payments.
  (b) Registration Process.--
          (1) In general.--The Secretary shall specify the 
        manner and form by which a participating dairy 
        operation may register to participate in the margin 
        protection program, including the establishment of a 
        date each calendar year by which a dairy operation 
        shall register for the calendar year.
          (2) Extension of election period for 2018 calendar 
        year.--The Secretary shall extend the election period 
        for the 2018 calendar year by not less than 90 days 
        after the date of enactment of the Bipartisan Budget 
        Act of 2018 or such additional period as the Secretary 
        determines is necessary for dairy operations to make 
        new elections to participate for that calendar year, 
        including dairy operations that elected to so 
        participate before that date of enactment.
          (3) Treatment of multiproducer dairy operations.--
        [If] Subject to paragraph (5), if a participating dairy 
        operation is operated by more than 1 dairy producer, 
        all of the dairy producers of the participating dairy 
        operation shall be treated as a single dairy operation 
        for purposes of participating in the margin protection 
        program.
          (4) Treatment of producers with multiple dairy 
        operations.--If a dairy producer operates 2 or more 
        dairy operations, each dairy operation of the producer 
        shall separately register to participate in the [margin 
        protection] program.
          (5) Certain multiproducer dairy operation 
        exclusions.--
                  (A) Exclusion of low-percentage owners.--To 
                promote administrative efficiency in the dairy 
                risk management program, a multiproducer dairy 
                operation covered by paragraph (3) may elect, 
                at the option of the multiproducer dairy 
                operation, to exclude information from the 
                registration process regarding any individual 
                owner of the multiproducer dairy operation 
                that--
                          (i) holds less than a five percent 
                        ownership interest in the multiproducer 
                        dairy operation; or
                          (ii) is entitled to less than five 
                        percent of the income, revenue, profit, 
                        gain, loss, expenditure, deduction, or 
                        credit of the multiproducer dairy 
                        operation for any given year.
                  (B) Effect of exclusion on dairy risk 
                management payments.--To the extent that an 
                individual owner of a multiproducer dairy 
                operation is excluded under subparagraph (A) 
                from the registration of the multiproducer 
                dairy operation, any dairy risk management 
                payment made to the multiproducer dairy 
                operation shall be reduced by an amount equal 
                to the greater of the following:
                          (i) The amount determined by 
                        multiplying the dairy risk management 
                        payment otherwise determined under 
                        section 1406 by the total percentage of 
                        ownership interests represented by the 
                        excluded owners.
                          (ii) The amount determined by 
                        multiplying the dairy risk management 
                        payment otherwise determined under 
                        section 1406 by the total percentage of 
                        the income, revenue, profit, gain, 
                        loss, expenditure, deduction, or credit 
                        of the multiproducer dairy operation 
                        represented by the excluded owners.
  (c) Annual Administrative Fee.--
          (1) Administrative fee required.--Each participating 
        dairy operation shall--
                  (A) pay an administrative fee to register to 
                participate in the [margin protection] program; 
                and
                  (B) pay the administrative fee annually 
                through the duration of the [margin protection] 
                program specified in section 1409.
          (2) Amount of fee.--The administrative fee for a 
        participating dairy operation shall be $100.
          (3) Use of fees.--The Secretary shall use 
        administrative fees collected under this subsection to 
        cover administrative costs incurred to carry out the 
        [margin protection] program.
          (4) Exemption.--A limited resource, beginning, 
        veteran, or socially disadvantaged farmer, as defined 
        by the Secretary, shall be exempt from the 
        administrative fee under this subsection.
  (d) Relation to Livestock Gross Margin for Dairy Program.--A 
dairy operation may participate in the [margin protection 
program] dairy risk management program [or the] and the 
livestock gross margin for dairy program under the Federal Crop 
Insurance Act (7 U.S.C. 1501 et seq.), [but not both] but not 
on the same production.

SEC. 1405. PRODUCTION HISTORY OF PARTICIPATING DAIRY OPERATIONS.

  (a) Production History.--
          (1) In general.--Except as provided in subsection 
        (b), when a dairy operation first registers to 
        participate in the [margin protection program] dairy 
        risk management program, the production history of the 
        dairy operation for the [margin protection] program is 
        equal to the highest annual milk marketings of the 
        participating dairy operation during any one of the 
        2011, 2012, or 2013 calendar years. The production 
        history of a participating dairy operation shall 
        continue to be based on annual milk marketings during 
        the 2011, 2012, or 2013 calendar year notwithstanding 
        the operation of the dairy risk management program 
        through 2023.
          (2) Adjustment.--[In subsequent years] In the 
        subsequent calendar years ending before January 1, 
        2019, the Secretary shall adjust the production history 
        of a participating dairy operation determined under 
        paragraph (1) to reflect any increase in the national 
        average milk production.
          (3) Continued applicability of base production 
        history.--A production history established for a dairy 
        operation under paragraph (1) shall be the base 
        production history for the dairy operation in 
        subsequent years (as adjusted under paragraph (2), as 
        applicable).
  (b) Election by New Dairy Operations.--In the case of a 
participating dairy operation that has been in operation for 
less than a year, the participating dairy operation shall elect 
1 of the following methods for the Secretary to determine the 
production history of the participating dairy operation:
          (1) The volume of the actual milk marketings for the 
        months the participating dairy operation has been in 
        operation extrapolated to a yearly amount.
          (2) An estimate of the actual milk marketings of the 
        participating dairy operation based on the herd size of 
        the participating dairy operation relative to the 
        national rolling herd average data published by the 
        Secretary.
  (c) Required Information.--A participating dairy operation 
shall provide all information that the Secretary may require in 
order to establish the production history of the participating 
dairy operation for purposes of participating in the [margin 
protection] program.
  (d) Limitation on Changes to Business Structure.--The 
Secretary may not make dairy risk management payments to a 
participating dairy operation if the Secretary determines that 
the participating dairy operation has reorganized the structure 
of such operation solely for the purpose of qualifying as a new 
operation under subsection (b).

SEC. 1406. [MARGIN PROTECTION]  DAIRY RISK MANAGEMENT PAYMENTS.

  (a) Coverage Level Threshold and Coverage Percentage.--For 
purposes of receiving [margin protection] dairy risk management 
payments for a month, a participating dairy operation shall 
[annually] elect--
          (1) a coverage level threshold that is equal to 
        $4.00, $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, 
        or $8.00 (and in the case of production subject to 
        premiums under section 1407(b), also $8.50 or $9.00); 
        and
          (2) a percentage of coverage, in 5-percent 
        increments, [beginning with 25 percent and not 
        exceeding] but not to exceed 90 percent of the 
        production history of the participating dairy 
        operation.
  (b) Payment Threshold.--A participating dairy operation shall 
receive a [margin protection] dairy risk management payment 
whenever the average actual dairy production margin for a month 
is less than the coverage level threshold selected by the 
participating dairy operation.
  (c) Amount of [Margin Protection] Payment.--The [margin 
protection] dairy risk management payment for the participating 
dairy operation shall be determined as follows:
          (1) The Secretary shall calculate the amount by which 
        the coverage level threshold selected by the 
        participating dairy operation exceeds the average 
        actual dairy production margin for the month.
          (2) The amount determined under paragraph (1) shall 
        be multiplied by--
                  (A) the coverage percentage selected by the 
                participating dairy operation; and
                  (B) the production history of the 
                participating dairy operation divided by 12.
  (d) Deadline for Election; Duration.--Not later than 90 days 
after the date of the enactment of this subsection, each 
participating dairy operation shall elect a coverage level 
threshold under subsection (a)(1) and a coverage percentage 
under subsection (a)(2) to be used to determine dairy risk 
management payments. This election shall remain in effect for 
the participating dairy operation for the duration of the dairy 
risk management program, as specified in section 1409.

SEC. 1407. PREMIUMS FOR [MARGIN PROTECTION]  DAIRY RISK MANAGEMENT 
                    PROGRAM.

  (a) Calculation of Premiums.--For purposes of participating 
in the [margin protection program] dairy risk management 
program, a participating dairy operation shall pay an annual 
premium equal to the product obtained by multiplying--
          (1) the coverage percentage elected by the 
        participating dairy operation under section 1406(a)(2);
          (2) the production history of the participating dairy 
        operation; and
          (3) the premium per hundredweight of milk imposed by 
        this section for the coverage level selected.
  (b) Tier I: Premium Per Hundredweight for First 5,000,000 
Pounds of Production.--
          (1) In general.--For the first 5,000,000 pounds of 
        milk marketings included in the production history of a 
        participating dairy operation, the premium per 
        hundredweight for each coverage level is specified in 
        the table contained in paragraph (2).
          [(2) Producer premiums.--Except as provided in 
        paragraph (3), the following annual premiums apply:


------------------------------------------------------------------------
              [Coverage Level                     Premium per Cwt.
------------------------------------------------------------------------
$4.00                                       None
$4.50                                       None
$5.00                                       None
$5.50                                       $0.009
$6.00                                       $0.016
$6.50                                       $0.040
$7.00                                       $0.063
$7.50                                       $0.087
$8.00                                       $0.142]
------------------------------------------------------------------------

          (2) Producer premiums.--The following annual premiums 
        apply:


------------------------------------------------------------------------
              Coverage Level                      Premium per Cwt.
------------------------------------------------------------------------
$4.00                                       None
$4.50                                       $0.002
$5.00                                       $0.005
$5.50                                       $0.008
$6.00                                       $0.010
$6.50                                       $0.017
$7.00                                       $0.041
$7.50                                       $0.057
$8.00                                       $0.090
$8.50                                       $0.120
$9.00                                       $0.170
------------------------------------------------------------------------

          [(3) Special rule.--The premium per hundredweight 
        specified in the table contained in paragraph (2) for 
        each coverage level (except the $8.00 coverage level) 
        shall be reduced by 25 percent for each of calendar 
        years 2014 and 2015.]
  (c) Tier II: Premium Per Hundredweight for Production in 
Excess of 5,000,000 Pounds.--
          (1) In general.--For milk marketings in excess of 
        5,000,000 pounds included in the production history of 
        a participating dairy operation, the premium per 
        hundredweight for each coverage level is specified in 
        the table contained in paragraph (2).
          (2) Producer premiums.--The following annual premiums 
        apply:


------------------------------------------------------------------------
              Coverage Level                      Premium per Cwt.
------------------------------------------------------------------------
$4.00                                       None
$4.50                                       $0.020
$5.00                                       $0.040
$5.50                                       $0.100
$6.00                                       $0.155
$6.50                                       $0.290
$7.00                                       $0.830
$7.50                                       $1.060
$8.00                                       $1.360
------------------------------------------------------------------------

  (d)  [Time for] Method of Payment of Premium.--The Secretary 
shall provide more than 1 method by which a participating dairy 
operation may pay the premium required under this section in 
any manner that maximizes participating dairy operation payment 
flexibility and program integrity.
  (e) Premium Obligations.--
          (1) Pro-ration of premium for new participants.--In 
        the case of a participating dairy operation that first 
        registers to participate in the [margin protection] 
        program for a calendar year after the start of the 
        calendar year, the participating dairy operation shall 
        pay a pro-rated premium for that calendar year based on 
        the portion of the calendar year for which the 
        participating dairy operation purchases the coverage.
          (2) Legal obligation.--A participating dairy 
        operation in the [margin protection] program for a 
        calendar year shall be legally obligated to pay the 
        applicable premium for that calendar year, except that 
        the Secretary may waive that obligation, under terms 
        and conditions determined by the Secretary, for any 
        participating dairy operation in the case of death, 
        retirement, permanent dissolution of a participating 
        dairy operation, or other circumstances as the 
        Secretary considers appropriate to ensure the integrity 
        of the program.

SEC. 1408. EFFECT OF FAILURE TO PAY ADMINISTRATIVE FEES OR PREMIUMS.

  (a) Loss of Benefits.--A participating dairy operation that 
fails to pay the required annual administrative fee under 
section 1404 or is in arrears on premium payments under section 
1407--
          (1) remains legally obligated to pay the 
        administrative fee or premiums, as the case may be; and
          (2) may not receive [margin protection] dairy risk 
        management payments until the fees or premiums are 
        fully paid.
  (b) Enforcement.--The Secretary may take such action as 
necessary to collect administrative fees and premium payments 
for participation in the [margin protection] dairy risk 
management program.

SEC. 1409. DURATION.

  The [margin protection] dairy risk management program shall 
end on December 31, [2018] 2023.

SEC. 1410. ADMINISTRATION AND ENFORCEMENT.

  (a) In General.--The Secretary shall promulgate regulations 
to address administrative and enforcement issues involved in 
carrying out the [margin protection] dairy risk management 
program.
  (b) Reconstitution.--The Secretary shall promulgate 
regulations to prohibit a dairy producer from reconstituting a 
dairy operation for the purpose of the dairy producer receiving 
[margin protection] dairy risk management payments.
  (c) Administrative Appeals.--Using authorities under section 
1001(h) of the Food Security Act of 1985 (7 U.S.C. 1308(h)) and 
subtitle H of the Department of Agriculture Reorganization Act 
(7 U.S.C. 6991 et seq.), the Secretary shall promulgate 
regulations to provide for administrative appeals of decisions 
of the Secretary that are adverse to participants of the 
[margin protection] dairy risk management program.
  (d) Inclusion of Additional Order.--Section 143(a)(2) of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 
U.S.C. 7253(a)(2)) is amended by adding at the end the 
following new sentence: ``Subsection (b) does not apply to the 
authority of the Secretary under this subsection.''.

           *       *       *       *       *       *       *


                PART III--DAIRY PRODUCT DONATION PROGRAM

[SEC. 1431. DAIRY PRODUCT DONATION PROGRAM.

  [(a) Program Required; Purpose.--Not later than 120 days 
after the date on which the Secretary certifies to Congress 
that the margin protection program is operational, the 
Secretary shall establish and administer a dairy product 
donation program for the purposes of--
          [(1) addressing low operating margins experienced by 
        participating dairy operations; and
          [(2) providing nutrition assistance to individuals in 
        low-income groups.
  [(b) Program Trigger.--The Secretary shall announce that the 
dairy product donation program is in effect for a month, and 
undertake activities under subsection (c) during the month, 
whenever the actual dairy production margin has been $4.00 or 
less per hundredweight of milk for each of the immediately 
preceding 2 months.
  [(c) Required Program Activities.--
          [(1) In general.--Whenever the dairy product donation 
        program is in effect under subsection (b), the 
        Secretary shall immediately purchase dairy products, at 
        prevailing market prices, until such time as one of the 
        termination conditions specified in subsection (d)(1) 
        is met.
          [(2) Consultation.--To determine the types and 
        quantities of dairy products to purchase under the 
        dairy product donation program, the Secretary shall 
        consult with public and private nonprofit organizations 
        organized to feed low-income populations
  [(d) Termination of Program Activities.--
          [(1) Termination thresholds.--The Secretary shall 
        cease activities under the dairy product donation 
        program, and shall not reinitiate activities under the 
        program until the condition specified in subsection (b) 
        is again met, whenever any one of the following occurs:
                  [(A) The Secretary has made purchases under 
                the dairy product donation program for three 
                consecutive months, even if the actual dairy 
                production margin remains $4.00 or less per 
                hundredweight of milk.
                  [(B) The actual dairy production margin has 
                been greater than $4.00 per hundredweight of 
                milk for the immediately preceding month.
                  [(C) The actual dairy production margin has 
                been $4.00 or less, but more than $3.00, per 
                hundredweight of milk for the immediately 
                preceding month and during the same month--
                          [(i) the price in the United States 
                        for cheddar cheese was more than 5 
                        percent above the world price; or
                          [(ii) the price in the United States 
                        for non-fat dry milk was more than 5 
                        percent above the world price of skim 
                        milk powder.
                  [(D) The actual dairy production margin has 
                been $3.00 or less per hundredweight of milk 
                for the immediately preceding month and during 
                the same month--
                          [(i) the price in the United States 
                        for cheddar cheese was more than 7 
                        percent above the world price; or
                          [(ii) the price in the United States 
                        for non-fat dry milk was more than 7 
                        percent above the world price of skim 
                        milk powder.
          [(2) Determinations.--For purposes of this 
        subsection, the Secretary shall determine the price in 
        the United States for cheddar cheese and non-fat dry 
        milk and the world price of cheddar cheese and skim 
        milk powder.
  [(e) Distribution of Purchased Dairy Products.--
          [(1) In general.--The Secretary of Agriculture shall 
        distribute, but not store, the dairy products purchased 
        under the dairy product donation program in a manner 
        that encourages the domestic consumption of such dairy 
        products by diverting them to persons in low-income 
        groups, as determined by the Secretary.
          [(2) Use of public or private nonprofit 
        organizations.--The Secretary shall utilize the 
        services of public and private nonprofit organizations 
        for the distribution of dairy products purchased under 
        the dairy product donation program. A public or private 
        nonprofit organization that receives dairy products may 
        transfer the products to another public or private 
        nonprofit organization that agrees to use the dairy 
        products to provide, without cost or waste, nutrition 
        assistance to individuals in low-income groups.
  [(f) Prohibition on Resale of Products.--A public or private 
nonprofit organization that receives dairy products under 
subsection (e) may not sell the products back into commercial 
markets.
  [(g) Use of Commodity Credit Corporation Funds.--As specified 
in section 1601(a), the funds, facilities, and authorities of 
the Commodity Credit Corporation shall be available to the 
Secretary for the purposes of implementing and administering 
the dairy product donation program.
  [(h) Duration.--In addition to the termination conditions 
specified in subsection (d)(1), the dairy product donation 
program shall end on December 31, 2018.]

           *       *       *       *       *       *       *


   Subtitle E--Supplemental Agricultural Disaster Assistance Programs

SEC. 1501. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE.

  (a) Definitions.--In this section:
          (1) Eligible producer on a farm.--
                  (A) In general.--The term ``eligible producer 
                on a farm'' means an individual or entity 
                described in subparagraph (B) that, as 
                determined by the Secretary, assumes the 
                production and market risks associated with the 
                agricultural 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.
          (2) Farm-raised fish.--The term ``farm-raised fish'' 
        means any aquatic species that is propagated and reared 
        in a controlled environment.
          (3) 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.
          (4) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.
  (b) Livestock Indemnity Payments.--
          (1) Payments.--For fiscal year 2012 and each 
        succeeding fiscal year, the Secretary shall use such 
        sums as are necessary of the funds of the Commodity 
        Credit Corporation to make livestock indemnity payments 
        to eligible producers on farms that have incurred 
        livestock death losses in excess of the normal 
        mortality, sold livestock for a reduced sale price, or 
        both as determined by the Secretary, due to--
                  (A) attacks by animals reintroduced into the 
                wild by the Federal Government or protected by 
                Federal law, including wolves and avian 
                predators; [or]
                  (B) 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[.]; or
                  (C) disease that, as determined by the 
                Secretary--
                          (i) is caused or transmitted by a 
                        vector; and
                          (ii) is not susceptible to control by 
                        vaccination or acceptable management 
                        practices.
          (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 
        affected livestock, as determined by the Secretary, on, 
        as applicable--
                  (A) the day before the date of death of the 
                livestock; or
                  (B) the day before the date of the event that 
                caused the harm to the livestock that resulted 
                in a reduced sale price.
          (3) Special rule for payments made due to disease.--
        The Secretary shall ensure that payments made to an 
        eligible producer under paragraph (1) are not made for 
        the same livestock losses for which compensation is 
        provided pursuant to section 10407(d) of the Animal 
        Health Protection Act (7 U.S.C. 8306(d)).
          (4) [A payment] Payment reductions._A payment  made 
        under paragraph (1) to an eligible producer on a farm 
        that sold livestock for a reduced sale price shall--
                  (A) be made if the sale occurs within a 
                reasonable period following the event, as 
                determined by the Secretary; and
                  (B) be reduced by the amount that the 
                producer received for the sale.
  (c) 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 qualifying 
                                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 producer'' means an eligible 
                        producer on a farm that--
                                  (I) is an owner, cash or 
                                share lessee, or contract 
                                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 producer'' 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.--For fiscal year 2012 and each 
        succeeding fiscal year, the Secretary shall use such 
        sums as are necessary of the funds of the Commodity 
        Credit Corporation 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 
        conditions.--
                  (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 
                        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.).
                  (B) Monthly payment rate.--
                          (i) In general.--Except as provided 
                        in clause (ii), the payment rate for 
                        assistance under this paragraph 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 livestock 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 disposed 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)(II), 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 
                                Secretary that represents the 
                                average number of pounds of 
                                corn per day necessary to feed 
                                the livestock.
                          (iii) Corn price per pound.--For 
                        purposes of clause (i)(III), 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 determine 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 carrying 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 Secretary, 
                                shall be eligible to receive 
                                assistance under this 
                                paragraph--
                                          (aa) in an amount 
                                        equal to 3 monthly 
                                        payments using the 
                                        monthly payment rate 
                                        determined under 
                                        subparagraph (B);
                                          (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 4 
                                        monthly payments using 
                                        the monthly payment 
                                        rate determined under 
                                        subparagraph (B); or
                                          (cc) if the county is 
                                        rated as having a D4 
                                        (exceptional drought) 
                                        intensity in any area 
                                        of the county for at 
                                        least 4 weeks during 
                                        the normal grazing 
                                        period, in an amount 
                                        equal to 5 monthly 
                                        payments using the 
                                        monthly rate determined 
                                        under subparagraph (B).
          (4) Assistance for losses due to fire on public 
        managed 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 permitted 
                        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 Federal 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) No duplicative payments.--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.
  (d) Emergency Assistance for Livestock, Honey Bees, and Farm-
Raised Fish.--
          (1) In general.--For fiscal year 2012 and each 
        succeeding fiscal year, the Secretary shall use the 
        funds of the Commodity Credit Corporation 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 (including cattle 
        tick fever), adverse weather, or other conditions, such 
        as blizzards and wildfires, as determined by the 
        Secretary, that are not covered under subsection (b) or 
        (c).
          (2) Use of funds.--Funds made available under this 
        subsection shall be used to reduce losses caused by 
        feed or water shortages, disease, or other factors as 
        determined by the Secretary.
          (3) Availability of funds.--Any funds made available 
        under this subsection shall remain available until 
        expended.
  (e) 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 determined by the 
                Secretary.
                  (D) Tree.--The term ``tree'' includes a tree, 
                bush, and vine.
          (2) Eligibility.--
                  (A) Loss.--Subject to subparagraph (B), for 
                fiscal year 2012 and each succeeding fiscal 
                year, the Secretary shall use such sums as are 
                necessary of the funds of the Commodity Credit 
                Corporation to 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 history 
                        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 65 percent of the 
                cost of replanting trees lost due to a natural 
                disaster, as determined 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)).
                  (B) 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 1,000 acres.
  (f) 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 Security Act of 1985 (7 U.S.C. 1308(a)).
          (2) Amount.--The total amount of disaster assistance 
        payments received, directly or indirectly, by a person 
        or legal entity (excluding a [joint venture or general 
        partnership] qualified pass through entity (as such 
        term is defined in paragraph (5) of section 1001(a) of 
        the Food Security Act of 1985 (7 U.S.C. 1308(a)))) 
        under [this section (excluding payments received under 
        subsections (b) and (e))] subsection (c) may not exceed 
        $125,000 for any crop year.
          (3) 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.
          (4) Exclusion of gross income limitation.--For 
        purposes of this section only, subsection (b) of 
        section 1001D of the Food Security Act of 1985 (7 
        U.S.C. 1308-3a) shall not apply to a person or legal 
        entity if 75 percent or greater of the average adjusted 
        gross income (as such term is defined in subsection (a) 
        of such section) of such person or legal entity derives 
        from farming, ranching, or silviculture activities.

Subtitle F--Administration

           *       *       *       *       *       *       *


SEC. 1614. IMPLEMENTATION.

  (a) Maintenance of Base Acres and Payment Yields.--The 
Secretary shall maintain, for each covered commodity and upland 
cotton, base acres and payment yields on a farm established 
under sections 1001 and 1301 of the Food, Conservation, and 
Energy Act of 2008 (7 U.S.C. 8702, 8751), as adjusted pursuant 
to sections 1101, 1102, 1108, and 1302 of such Act (7 U.S.C. 
8711, 8712, 8718, 8752), as in effect on September 30, 2013.
  (b) Streamlining.--In implementing this title, the Secretary 
shall--
          (1) reduce administrative burdens and costs to 
        producers by streamlining and reducing paperwork, 
        forms, and other administrative requirements, including 
        through the implementation of the Acreage Crop 
        Reporting and Streamlining Initiative that, in part, 
        shall ensure that--
                  (A) a producer (or an agent of a producer) 
                may report information, electronically 
                (including geospatial data) or conventionally, 
                to the Department; and
                  (B) upon the request of the producer (or 
                agent thereof) the Department of Agriculture 
                electronically shares with the producer (or 
                agent) in real time and without cost to the 
                producer (or agent) the common land unit data, 
                related farm level data, and other information 
                of the producer;
          (2) improve coordination, information sharing, and 
        administrative work with the Farm Service Agency, Risk 
        Management Agency, and the Natural Resources 
        Conservation Service; and
          (3) take advantage of new technologies to enhance 
        efficiency and effectiveness of program delivery to 
        producers.
  (c) Implementation.--
          (1) In general.--The Secretary shall make available 
        to the Farm Service Agency to carry out this title 
        $100,000,000.
          (2) Additional funds.--
                  (A) Initial determination.--If, by September 
                30, 2014, the Secretary notifies the Committee 
                on Agriculture of the House of Representatives 
                and the Committee on Agriculture, Nutrition, 
                and Forestry of the Senate that the Farm 
                Service Agency has made substantial progress 
                toward implementing the requirements of 
                subsection (b)(1), the Secretary shall make 
                available to the Farm Service Agency to carry 
                out this title $10,000,000 on October 1, 2014. 
                The amount made available under this 
                subparagraph is in addition to the amount made 
                available under paragraph (1).
                  (B) Subsequent determination.--If, by 
                September 30, 2015, the Secretary notifies the 
                Committee on Agriculture of the House of 
                Representatives and the Committee on 
                Agriculture, Nutrition, and Forestry of the 
                Senate that the requirements of subsection 
                (b)(1) have been fully implemented and those 
                Committees provide written concurrence to the 
                Secretary, the Secretary shall make available 
                to the Farm Service Agency to carry out this 
                title $10,000,000 on the date the written 
                concurrence is provided or October 1, 2015, 
                whichever is later. The amount made available 
                under this subparagraph is in addition to the 
                amount made available under paragraph (1) and 
                any amount made available under subparagraph 
                (A).
          (3) Producer education.--
                  (A) In general.--Of the funds made available 
                under paragraph (1), the Secretary shall 
                provide $3,000,000 to State extension services 
                for the purpose of educating farmers and 
                ranchers on the options made available under 
                subtitles A, D, and E of this title and under 
                section 196 of the Federal Agriculture 
                Improvement and Reform Act of 1996 (7 U.S.C. 
                7333).
                  (B) Web-based decision aids.--
                          (i) Use of qualified universities.--
                        Of the funds made available under 
                        paragraph (1), the Secretary shall use 
                        $3,000,000 to support qualified 
                        universities (or university-based 
                        organizations) that represent a 
                        diversity of regions and commodities 
                        (including dairy), possess expertise 
                        regarding the programs authorized by 
                        this Act, have a history in the 
                        development of decision aids and 
                        producer outreach initiatives regarding 
                        farm risk management programs, and are 
                        able to meet the deadline established 
                        pursuant to clause (ii) to develop web-
                        based decision aids to assist producers 
                        in understanding available options 
                        described in subparagraph (A) and to 
                        train producers to use these decision 
                        aids.
                          (ii) Deadlines.--To the maximum 
                        extent practicable, the Secretary 
                        shall--
                                  (I) obligate the funds made 
                                available under clause (i) 
                                within 30 days after the date 
                                of the enactment of this Act; 
                                and
                                  (II) require the products 
                                described in clause (i) to be 
                                made available to producers on 
                                the internet within a 
                                reasonable period of time, as 
                                determined by the Secretary, 
                                after the implementation of the 
                                first rule implementing 
                                programs required under 
                                subtitle A of this title.
  (d) Loan Implementation.--
          (1) In general.--In any crop year in which an order 
        is issued pursuant 2 U.S.C. 901(a), the Secretary shall 
        use such sums as necessary of the funds of the 
        Commodity Credit Corporation for such crop year to 
        fully restore the support, loan, or assistance that is 
        otherwise required under subtitles B or C of this title 
        or subtitles B and C of the Agriculture and Nutrition 
        Act of 2018 or under the amendments [made by subtitles 
        B or C] made by such subtitles, except with respect to 
        the assistance provided under sections 1207(c) and 1208 
        of this title, and sections 1207(c) and 1208 of the 
        Agriculture and Nutrition Act of 2018.
          (2) Repayment.--In carrying out this subsection, the 
        Secretary shall ensure that when a producer repays a 
        loan at a rate equal to the loan rate plus interest in 
        accordance with the repayment provisions [of subtitles 
        B or C] of subtitle B or C of this title, or subtitle B 
        or C of the Agriculture and Nutrition Act of 2018 that 
        the repayment amount shall include the portion of the 
        loan amount provided under paragraph (1), except that 
        this paragraph shall not affect or reduce marketing 
        loan gains, loan deficiency payments, or forfeiture 
        benefits provided for [under subtitles B or C] of 
        subtitle B or C of this title, or subtitle B or C of 
        the Agriculture and Nutrition Act of 2018 and as 
        supplemented in accordance with paragraph (1).

           *       *       *       *       *       *       *


TITLE VIII--FORESTRY

           *       *       *       *       *       *       *


Subtitle C--Reauthorization of Other Forestry-Related Laws

           *       *       *       *       *       *       *


SEC. 8206. GOOD NEIGHBOR AUTHORITY.

  (a) Definitions.--In this section:
          (1) Authorized restoration services.--The term 
        ``authorized restoration services'' means similar and 
        complementary forest, rangeland, and watershed 
        restoration services carried out--
                  (A) on Federal land and non-Federal land; and
                  (B) by either the [Secretary or a Governor] 
                Secretary, Governor, or Indian Tribe pursuant 
                to a good neighbor agreement.
          (2) Federal land.--
                  (A) In general.--The term ``Federal land'' 
                means land that is--
                          (i) National Forest System land; or
                          (ii) public land (as defined in 
                        section 103 of the Federal Land Policy 
                        and Management Act of 1976 (43 U.S.C. 
                        1702)).
                  (B) Exclusions.--The term ``Federal land'' 
                does not include--
                          (i) a component of the National 
                        Wilderness Preservation System;
                          (ii) Federal land on which the 
                        removal of vegetation is prohibited or 
                        restricted by Act of Congress or 
                        Presidential proclamation (including 
                        the applicable implementation plan); or
                          (iii) a wilderness study area.
          (3) Forest, rangeland, and watershed restoration 
        services.--
                  (A) In general.--The term ``forest, 
                rangeland, and watershed restoration services'' 
                means--
                          (i) activities to treat insect- and 
                        disease-infected trees;
                          (ii) activities to reduce hazardous 
                        fuels; and
                          (iii) any other activities to restore 
                        or improve forest, rangeland, and 
                        watershed health, including fish and 
                        wildlife habitat.
                  (B) Exclusions.--The term ``forest, 
                rangeland, and watershed restoration services'' 
                does not include--
                          (i) construction, reconstruction, 
                        repair, or restoration of paved or 
                        permanent roads or parking areas, other 
                        than the reconstruction, repair, or 
                        restoration of a National Forest System 
                        road that is--
                                  (I) necessary to carry out 
                                authorized restoration services 
                                pursuant to a good neighbor 
                                agreement; and
                                  (II) in the case of a 
                                National Forest System road 
                                that is determined to be 
                                unneeded in accordance with 
                                section 212.5(b)(2) of title 
                                36, Code of Federal Regulations 
                                (as in effect on the date of 
                                enactment of the [Good Neighbor 
                                Authority Improvement Act] 
                                Wildfire Suppression Funding 
                                and Forest Management 
                                Activities Act), decommissioned 
                                in accordance with subparagraph 
                                (A)(iii)--
                                          (aa) in a manner that 
                                        is consistent with the 
                                        applicable travel 
                                        management plan; and
                                          (bb) not later than 3 
                                        years after the date on 
                                        which the applicable 
                                        authorized restoration 
                                        services project is 
                                        completed; or
                          (ii) construction, alteration, repair 
                        or replacement of public buildings or 
                        works.
          (4) Good neighbor agreement.--The term ``good 
        neighbor agreement'' means a cooperative agreement or 
        contract (including a sole source contract) entered 
        into between the [Secretary and a Governor] Secretary 
        and either a Governor or an Indian Tribe to carry out 
        authorized restoration services under this section.
          (5) Governor.--The term ``Governor'' means the 
        Governor or any other appropriate executive official of 
        an affected State or the Commonwealth of Puerto Rico.
          (6) 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. 
        5304));
          [(6)] (7) National forest system road.--The term 
        ``National Forest System road'' has the meaning given 
        the term in section 212.1 of title 36, Code of Federal 
        Regulations (as in effect on the date of enactment of 
        the [Good Neighbor Authority Improvement Act] Wildfire 
        Suppression Funding and Forest Management Activities 
        Act).
          [(7)] (8) Road.--The term ``road'' has the meaning 
        given the term in section 212.1 of title 36, Code of 
        Federal Regulations (as in effect on the date of 
        enactment of this Act).
          [(8)] (9) Secretary.--The term ``Secretary'' means--
                  (A) the Secretary of Agriculture, with 
                respect to National Forest System land; and
                  (B) the Secretary of the Interior, with 
                respect to Bureau of Land Management land.
  (b) Good Neighbor Agreements.--
          (1) Good neighbor agreements.--
                  (A) In general.--The Secretary may enter into 
                a good neighbor agreement with a Governor or an 
                Indian Tribe to carry out authorized 
                restoration services in accordance with this 
                section.
                  (B) Public availability.--The Secretary shall 
                make each good neighbor agreement available to 
                the public.
          (2) Timber sales.--
                  (A) In general.--Subsections (d) and (g) of 
                section 14 of the National Forest Management 
                Act of 1976 (16 U.S.C. 472a(d) and (g)) shall 
                not apply to services performed under a 
                cooperative agreement or contract entered into 
                under subsection (a).
                  (B) Approval of silviculture prescriptions 
                and marking guides.--The Secretary shall 
                provide or approve all silviculture 
                prescriptions and marking guides to be applied 
                on Federal land in all timber sale projects 
                conducted under this section.
          (3) Retention of nepa responsibilities.--Any decision 
        required to be made under the National Environmental 
        Policy Act of 1969 (42 U.S.C. 4321 et seq.) with 
        respect to any authorized restoration services to be 
        provided under this section on Federal land shall not 
        be delegated to a Governor or an Indian Tribe.

           *       *       *       *       *       *       *


TITLE XII--MISCELLANEOUS

           *       *       *       *       *       *       *


Subtitle C--Other Miscellaneous Provisions

           *       *       *       *       *       *       *


[SEC. 12314. PIMA AGRICULTURE COTTON TRUST FUND.

  [(a) Establishment of Trust Fund.--There is established in 
the Treasury of the United States a trust fund to be known as 
the ``Pima Agriculture Cotton Trust Fund'' (in this section 
referred to as the ``Trust Fund''), consisting of such amounts 
as may be transferred to the Trust Fund pursuant to subsection 
(h), and to be used for the purpose of reducing the injury to 
domestic manufacturers resulting from tariffs on cotton fabric 
that are higher than tariffs on certain apparel articles made 
of cotton fabric.
  [(b) Distribution of Funds.--From amounts in the Trust Fund, 
the Secretary shall make payments annually beginning in 
calendar year 2014 for calendar years 2014 through 2018 as 
follows:
          [(1) Twenty-five percent of the amounts in the Trust 
        Fund shall be paid to one or more nationally recognized 
        associations established for the promotion of pima 
        cotton for use in textile and apparel goods.
          [(2) Twenty-five percent of the amounts in the Trust 
        Fund shall be paid to yarn spinners of pima cotton that 
        produce ring spun cotton yarns in the United States, to 
        be allocated to each spinner in an amount that bears 
        the same ratio as--
                  [(A) the spinner's production of ring spun 
                cotton yarns, measuring less than 83.33 decitex 
                (exceeding 120 metric number) from pima cotton 
                in single and plied form during calendar year 
                2013 (as evidenced by an affidavit provided by 
                the spinner that meets the requirements of 
                subsection (c)), bears to--
                  [(B) the production of the yarns described in 
                subparagraph (A) during calendar year 2013 for 
                all spinners who qualify under this paragraph.
          [(3) Fifty percent of the amounts in the Trust Fund 
        shall be paid to manufacturers who cut and sew cotton 
        shirts in the United States who certify that they used 
        imported cotton fabric during calendar year 2013, to be 
        allocated to each such manufacturer in an amount that 
        bears the same ratio as--
                  [(A) the dollar value (excluding duty, 
                shipping, and related costs) of imported woven 
                cotton shirting fabric of 80s or higher count 
                and 2-ply in warp purchased by the manufacturer 
                during calendar year 2013 (as evidenced by an 
                affidavit provided by the manufacturer that 
                meets the requirements of subsection (d)) used 
                in the manufacturing of men's and boys' cotton 
                shirts, bears to--
                  [(B) the dollar value (excluding duty, 
                shipping, and related costs) of the fabric 
                described in subparagraph (A) purchased during 
                calendar year 2013 by all manufacturers who 
                qualify under this paragraph.
  [(c) Affidavit of Yarn Spinners.--The affidavit required by 
subsection (b)(2)(A) is a notarized affidavit provided annually 
by an officer of a producer of ring spun yarns that affirms--
          [(1) that the producer used pima cotton during the 
        year in which the affidavit is filed and during 
        calendar year 2013 to produce ring spun cotton yarns in 
        the United States, measuring less than 83.33 decitex 
        (exceeding 120 metric number), in single and plied 
        form;
          [(2) the quantity, measured in pounds, of ring spun 
        cotton yarns, measuring less than 83.33 decitex 
        (exceeding 120 metric number), in single and plied form 
        during calendar year 2013; and
          [(3) that the producer maintains supporting 
        documentation showing the quantity of such yarns 
        produced, and evidencing the yarns as ring spun cotton 
        yarns, measuring less than 83.33 decitex (exceeding 120 
        metric number), in single and plied form during 
        calendar year 2013.
  [(d) Affidavit of Shirting Manufacturers.--
          [(1) In general.--The affidavit required by 
        subsection (b)(3)(A) is a notarized affidavit provided 
        annually by an officer of a manufacturer of men's and 
        boys' shirts that affirms--
                  [(A) that the manufacturer used imported 
                cotton fabric during the year in which the 
                affidavit is filed and during calendar year 
                2013, to cut and sew men's and boys' woven 
                cotton shirts in the United States;
                  [(B) the dollar value of imported woven 
                cotton shirting fabric of 80s or higher count 
                and 2-ply in warp purchased by the manufacturer 
                during calendar year 2013;
                  [(C) that the manufacturer maintains invoices 
                along with other supporting documentation (such 
                as price lists and other technical descriptions 
                of the fabric qualities) showing the dollar 
                value of such fabric purchased, the date of 
                purchase, and evidencing the fabric as woven 
                cotton fabric of 80s or higher count and 2-ply 
                in warp; and
                  [(D) that the fabric was suitable for use in 
                the manufacturing of men's and boys' cotton 
                shirts.
          [(2) Date of purchase.--For purposes of the affidavit 
        under paragraph (1), the date of purchase shall be the 
        invoice date, and the dollar value shall be determined 
        excluding duty, shipping, and related costs.
  [(e) Filing Deadline for Affidavits.--Any person required to 
provide an affidavit under this section shall file the 
affidavit with the Secretary or as directed by the Secretary--
          [(1) in the case of an affidavit required for 
        calendar year 2014, not later than 60 days after the 
        date of the enactment of this Act; and
          [(2) in the case of an affidavit required for any of 
        calendar years 2015 through 2018, not later than March 
        15 of that calendar year.
  [(f) Timing of Distributions.--The Secretary shall make a 
payment under paragraph (2) or (3) of subsection (b)--
          [(1) for calendar year 2014--
                  [(A) not later than the date that is 30 days 
                after the filing of the affidavit required with 
                respect to that payment; or
                  [(B) if the Secretary is unable to make the 
                payment by the date described in subparagraph 
                (A), as soon as practicable thereafter; and
          [(2) for calendar years 2015 through 2018, not later 
        than the date that is 30 days after the filing of the 
        affidavit required with respect to that payment.
  [(g) Memorandum of Understanding.--The Secretary and the 
Commissioner responsible for U.S. Customs and Border Protection 
shall, as soon as practicable after the date of the enactment 
of this Act, negotiate a memorandum of understanding to 
establish procedures pursuant to which the Commissioner will 
assist the Secretary in carrying out the provisions of this 
section.
  [(h) Funding.--Of the funds of the Commodity Credit 
Corporation, the Secretary shall transfer to the Trust Fund 
$16,000,000 for each of calendar years 2014 through 2018, to 
remain available until expended.

[SEC. 12315. AGRICULTURE WOOL APPAREL MANUFACTURERS TRUST FUND.

  [(a) Establishment of Trust Fund.--There is established in 
the Treasury of the United States a trust fund to be known as 
the ``Agriculture Wool Apparel Manufacturers Trust Fund'' (in 
this section referred to as the ``Trust Fund''), consisting of 
such amounts as may be transferred to the Trust Fund pursuant 
to subsection (f), and to be used for the purpose of reducing 
the injury to domestic manufacturers resulting from tariffs on 
wool fabric that are higher than tariffs on certain apparel 
articles made of wool fabric.
  [(b) Distribution of Funds.--
          [(1) In general.--From amounts in the Trust Fund, the 
        Secretary may make payments annually beginning in 
        calendar year 2014 for calendar years 2010 through 2019 
        as follows:
                  [(A) To each eligible manufacturer under 
                paragraph (3) of section 4002(c) of the Wool 
                Suit and Textile Trade Extension Act of 2004 
                (Public Law 108-429; 118 Stat. 2600), as 
                amended by section 1633(c) of the Miscellaneous 
                Trade and Technical Corrections Act of 2006 
                (Public Law 109-280; 120 Stat. 1166) and 
                section 325(b) of the Tax Extenders and 
                Alternative Minimum Tax Relief Act of 2008 
                (division C of Public Law 110-343; 122 Stat. 
                3875), and any successor-in-interest to such a 
                manufacturer as provided for under paragraph 
                (4) of such section 4002(c), that submits an 
                affidavit in accordance with paragraph (2) for 
                the year of the payment--
                          [(i) for calendar years 2010 through 
                        2015, payments that, when added to any 
                        other payments made to the manufacturer 
                        or successor-in-interest under 
                        paragraph (3) of such section 4002(c) 
                        in such calendar years, equal the total 
                        amount of payments authorized to be 
                        provided to the manufacturer or 
                        successor-in-interest under that 
                        paragraph, or the provisions of this 
                        section, in such calendar years; and
                          [(ii) for calendar years 2016 through 
                        2019, payments in amounts authorized 
                        under that paragraph.
                  [(B) To each eligible manufacturer under 
                paragraph (6) of such section 4002(c)--
                          [(i) for calendar years 2010 through 
                        2014, payments that, when added to any 
                        other payments made to eligible 
                        manufacturers under that paragraph in 
                        such calendar years, equal the total 
                        amount of payments authorized to be 
                        provided to the manufacturer under that 
                        paragraph, or the provisions of this 
                        section, in such calendar years; and
                          [(ii) for calendar years 2015 through 
                        2019, payments in amounts authorized 
                        under that paragraph.
          [(2) Submission of affidavits.--An affidavit required 
        by paragraph (1)(A) shall be submitted--
                  [(A) in each of calendar years 2010 through 
                2015, to the Commissioner responsible for U.S. 
                Customs and Border Protection not later than 
                April 15; and
                  [(B) in each of calendar years 2016 through 
                2019, to the Secretary, or as directed by the 
                Secretary, and not later than March 1.
  [(c) Payment of Amounts.--The Secretary shall make payments 
to eligible manufacturers and successors-in-interest described 
in paragraphs (1) and (2) of subsection (b)--
          [(1) for calendar years 2010 through 2014, not later 
        than 30 days after the transfer of amounts from the 
        Commodity Credit Corporation to the Trust Fund under 
        subsection (f); and
          [(2) for calendar years 2015 through 2019, not later 
        than April 15 of the year of the payment.
  [(d) Memoranda of Understanding.--The Secretary shall, as 
soon as practicable after the date of the enactment of this 
Act, negotiate memoranda of understanding with the Commissioner 
responsible for U.S. Customs and Border Protection and the 
Secretary of Commerce to establish procedures pursuant to which 
the Commissioner and the Secretary of Commerce will assist in 
carrying out the provisions of this section.
  [(e) Increase in Payments in the Event of Expiration of Duty 
Suspensions.--
          [(1) In general.--In any calendar year in which the 
        suspension of duty on wool fabrics provided for under 
        headings 9902.51.11, 9902.51.13, 9902.51.14, 
        9902.51.15, and 9902.51.16 of the Harmonized Tariff 
        Schedule of the United States are not in effect, the 
        amount of any payment described in subsection (b)(1) to 
        a manufacturer or successor-in-interest shall be 
        increased by an amount the Secretary, after 
        consultation with the Secretary of Commerce, determines 
        is equal to the amount the manufacturer or successor-
        in-interest would have saved during the calendar year 
        of the payment if the suspension of duty on wool 
        fabrics were in effect.
          [(2) No appeal of determinations.--A determination of 
        the Secretary under this subsection shall be final and 
        not subject to appeal or protest.
  [(f) Funding.--
          [(1) In general.--Of the funds of the Commodity 
        Credit Corporation, the Secretary shall transfer to the 
        Trust Fund for each of calendar years 2014 through 2019 
        an amount equal to the lesser of--
                  [(A) the amount the Secretary determines to 
                be necessary to make payments required by this 
                section in that calendar year; or
                  [(B) $30,000,000.
          [(2) Availability.--Amounts transferred to the Trust 
        Fund under paragraph (1) shall remain available until 
        expended.

[SEC. 12316. WOOL RESEARCH AND PROMOTION.

  [(a) In General.--Of the funds of the Commodity Credit 
Corporation, the Secretary shall use to provide grants 
described in section 506(d) of the Trade and Development Act of 
2000 (7 U.S.C. 7101 note) $2,250,000 for each of calendar years 
2015 through 2019, to remain available until expended.
  [(b) Authorization to Distribute Unexpended Balance.--In 
addition to funds made available under subsection (a) and 
notwithstanding subsection (f) of section 506 of the Trade and 
Development Act of 2000 (7 U.S.C. 7101 note), the Secretary may 
use any unexpended balances remaining in the Wool Research, 
Development, and Promotion Trust Fund established under that 
section as of December 31, 2014, to provide grants described in 
subsection (d) of that section.]

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                              ----------                              


                      AGRICULTURAL ADJUSTMENT ACT

TITLE I--AGRICULTURAL ADJUSTMENT

           *       *       *       *       *       *       *


Part 2--Commodity Benefits

           *       *       *       *       *       *       *


                                 ORDERS

  Sec. 8c. (1) The Secretary of Agriculture shall, subject to 
the provisions of this section, issue, and from time to time 
amend, orders applicable to processors, associations of 
producers, and others engaged in the handling of any 
agricultural commodity or product thereof specified in 
subsection (2) of this section. Such persons are referred to in 
this title as ``handlers''. Such orders shall regulate, in the 
manner hereinafter in this section provided, only such handling 
of such agricultural commodity, or product thereof, as is in 
the current of interstate or foreign commerce, or which 
directly burdens, obstructs, or affects, interstate or foreign 
commerce in such commodity or product thereof. In carrying out 
this section, the Secretary shall complete all informal 
rulemaking actions necessary to respond to recommendations 
submitted by administrative committees for such orders as 
expeditiously as possible, but not more than 45 days (to the 
extent practicable) after submission of the committee 
recommendations. The Secretary is authorized to implement a 
producer allotment program and a handler withholding program 
under the cranberry marketing order in the same crop year 
through informal rulemaking based on a recommendation and 
supporting economic analysis submitted by the Cranberry 
Marketing Committee. Such recommendation and analysis shall be 
submitted by the Committee no later than March 1 of each year. 
The Secretary shall establish time frames for each office and 
agency within the Department of Agriculture to consider the 
committee recommendations.

                    COMMODITIES TO WHICH APPLICABLE

  (2) Orders issued pursuant to this section shall be 
applicable only to (A) the following agricultural commodities 
and the products thereof (except canned or frozen pears, 
grapefruit, cherries, apples, or cranberries, the products of 
naval stores, and the products of honeybees), or to any 
regional, or market classification of any such commodity or 
product: Milk, fruits (including filberts, almonds, pecans and 
walnuts but not including apples, other than apples produced in 
the States of Washington, Oregon, Idaho, New York, Michigan, 
Maryland, New Jersey, Indiana, California, Maine, Vermont, New 
Hampshire, Rhode Island, Massachusetts, Connecticut, Colorado, 
Utah, New Mexico, Illinois, and Ohio, and not including fruits 
for canning or freezing other than pears, olives, grapefruit, 
cherries, caneberries (including raspberries, blackberries, and 
loganberries), cranberries, and apples produced in the States 
named above except Washington, Oregon, and Idaho), tobacco, 
vegetables (not including vegetables, other than asparagus, for 
canning or freezing and not including potatoes for canning, 
freezing, or other processing), hops, honeybees and naval 
stores as included in the Naval Stores Act and standards 
established thereunder (including refined or partially refined 
oleoresin): Provided, That no order issued pursuant to this 
section shall be effective as to any grapefruit for canning or 
freezing unless the Secretary of Agriculture determines, in 
addition to other findings and determinations required by this 
Act, that the issuance of such order is approved or favored by 
the processors who, during a representative period determined 
by the Secretary, have been engaged in canning or freezing such 
commodity for market and have canned or frozen for market more 
than 50 per centum of the total volume of such commodity canned 
or frozen for market during such representative period; and (B) 
any agricultural commodity (except honey, cotton, rice, wheat, 
corn, grain sorghums, oats, barley, rye, sugarcane, sugarbeets, 
wool, mohair, livestock, soybeans, cottonseed, flaxseed, 
poultry (but not excepting turkeys and not excepting poultry 
which produce commercial eggs), fruits and vegetables for 
canning or freezing, including potatoes for canning, freezing, 
or other processing and apples), or any regional or market 
classification thereof, not subject to orders under (A) of this 
paragraph, but not the products (including canned or frozen 
commodities or products) thereof. No order issued pursuant to 
this section shall be effective as to cherries, apples, or 
cranberries for canning or freezing unless the Secretary of 
Agriculture determines, in addition to other required findings 
and determinations, that the issuance of such order is approved 
or favored by processors who, during a representative period 
determined by the Secretary, have engaged in canning or 
freezing such commodity for market and have frozen or canned 
more than 50 per centum of the total volume of the commodity to 
be regulated which was canned or frozen within the production 
area, or marketed within the marketing area, defined in such 
order, during such representative period. No order issued 
pursuant to this section shall be applicable to peanuts 
produced in more than one of the following production areas: 
the Virginia-Carolina production area, the Southeast production 
area, and the Southwest production area. If the Secretary 
determines that the declared policy of the title will be better 
achieved thereby (i) the commodities of the same general class 
and used wholly or in part for the same purposes may be 
combined and treated as a single commodity and (ii) the portion 
of an agricultural commodity devoted to or marketed for a 
particular use or combination of uses, may be treated as a 
separate agricultural commodity. All agricultural commodities 
and products covered hereby shall be deemed specified herein 
for the purposes of section 8c (6) and (7) of this title.

                           NOTICE AND HEARING

  (3) Whenever the Secretary of Agriculture has reason to 
believe that the issuance of an order will tend to effectuate 
the declared policy of this title with respect to any commodity 
or product thereof specified in subsection (2) of this section, 
he shall give due notice of and an opportunity for a hearing 
upon a proposed order.
  (4) After such notice and opportunity for hearing, the 
Secretary of Agriculture shall issue an order if he finds, and 
sets forth in such order, upon the evidence introduced at such 
hearing (in addition to such other findings as may be 
specifically required by this section) that the issuance of 
such order and all of the terms and conditions thereof will 
tend to effectuate the declared policy of this title with 
respect to such commodity.

                      TERMS--MILK AND ITS PRODUCTS

  (5) In the case of milk and its products, orders issued 
pursuant to this section shall contain one or more of the 
following terms and conditions, and (except as provided in 
subsection (7) of this section no others:
  (A) Classifying milk in accordance with the form in which or 
the purpose for which it is used, and fixing, or providing a 
method for fixing, minimum prices for each such use 
classification which all handlers shall pay, and the time when 
payments shall be made, for milk purchased from producers or 
associations of producers. Such prices shall be uniform as to 
all handlers, subject only to adjustments for (1) volume, 
market, and production differentials customarily applied by the 
handlers subject to such order, (2) the grade or quality of the 
milk purchased, and (3) the locations at which delivery of such 
milk, or any use classification thereof, is made to such 
handlers. Throughout the 2-year period beginning on the 
effective date of this sentence (and subsequent to such 2-year 
period unless modified by amendment to the order involved), for 
purposes of determining prices for milk of the highest use 
classification, the Class I skim milk price per hundredweight 
specified in section 1000.50(b) of title 7, Code of Federal 
Regulations (or successor regulation), shall be the sum of the 
adjusted Class I differential specified in section 1000.52 of 
such title 7, plus the adjustment to Class I prices specified 
in sections 1005.51(b), 1006.51(b), and 1007.51(b) of such 
title 7 (or successor regulation), plus the simple average of 
the advanced pricing factors computed in sections 1000.50(q)(1) 
and 1000.50(q)(2) of such title 7 (or successor regulation), 
plus $0.74. [Throughout the 2-year period beginning on the 
effective date of this sentence (and subsequent to such 2-year 
period unless modified by amendment to the order involved), the 
minimum aggregate amount of the adjustments, under clauses (1) 
and (2) of the preceding sentence, to prices for milk of the 
highest use classification under orders that are in effect 
under this section on the date of the enactment of the Food 
Security Act of 1985 shall be as follows:]

                                                Minimum Aggregate Dollar
                                              Amount of Such Adjustments
                                               Per Hundredweight of Milk
Marketing Area Subject to Order               Having 3.5 Percent Milkfat
    New England................................................... $3.24
    New York-New Jersey...........................................  3.14
    Middle Atlantic...............................................  3.03
    Georgia.......................................................  3.08
    Alabama-West Florida..........................................  3.08
    Upper Florida.................................................  3.58
    Tampa Bay.....................................................  3.88
    Southeastern Florida..........................................  4.18
    Michigan Upper Peninsula......................................  1.35
    South Michigan................................................  1.75
    Eastern Ohio-Western Pennsylvania.............................  1.95
    Ohio Valley...................................................  2.04
    Indiana.......................................................  2.00
    Chicago Regional..............................................  1.40
    Central Illinois..............................................  1.61
    Southern Illinois.............................................  1.92
    Louisville-Lexington-Evansville...............................  2.11
    Upper Midwest.................................................  1.20
    Eastern South Dakota..........................................  1.50
    Black Hills, South Dakota.....................................  2.05
    Iowa..........................................................  1.55
    Nebraska-Western Iowa.........................................  1.75
    Greater Kansas City...........................................  1.92
    Tennessee Valley..............................................  2.77
    Nashville, Tennessee..........................................  2.52
    Paducah, Kentucky.............................................  2.39
    Memphis, Tennessee............................................  2.77
    Central Arkansas..............................................  2.77
    Fort Smith, Arkansas..........................................  2.77
    Southwest Plains..............................................  2.77
    Texas Panhandle...............................................  2.49
    Lubbock-Plainview, Texas......................................  2.49
    Texas.........................................................  3.28
    Greater Louisiana.............................................  3.28
    New Orleans-Mississippi.......................................  3.85
    Eastern Colorado..............................................  2.73
    Western Colorado..............................................  2.00
    Southwestern Idaho-Eastern Oregon.............................  1.50
    Great Basin...................................................  1.90
    Lake Mead.....................................................  1.60
    Central Arizona...............................................  2.52
    Rio Grande Valley.............................................  2.35
    Puget Sound-Inland............................................  1.85
    Oregon-Washington.............................................  1.95

[Effective at the beginning of such two-year period, the 
minimum prices for milk of the highest use classification shall 
be adjusted for the locations at which delivery of such milk is 
made to such handlers.]
  (B) Providing:
          (i) for the payment to all producers and associations 
        of producers delivering milk to the same handler of 
        uniform prices for all milk delivered by them: 
        Provided, That, except in the case of orders covering 
        milk products only, such provision is approved or 
        favored by at least three-fourths of the producers who, 
        during a representative period determined by the 
        Secretary of Agriculture, have been engaged in the 
        production for market of milk covered in such order or 
        by producers who, during such representative period, 
        have produced at least three-fourths of the volume of 
        such milk produced for market during such period; the 
        approval required hereunder shall be separate and apart 
        from any other approval or disapproval provided for by 
        this section; or
          (ii) for the payment to all producers and 
        associations of producers delivering milk to all 
        handlers of uniform prices for all milk so delivered, 
        irrespective of the uses made of such milk by the 
        individual handler to whom it is delivered;
subject, in either case, only to adjustments for (a) volume, 
market, and production differentials customarily applied by the 
handlers subject to such order, (b) the grade or quality of the 
milk delivered, (c) the locations at which delivery of such 
milk is made, (d) a further adjustment to encourage seasonal 
adjustments in the production of milk through equitable 
apportionment of the total value of the milk purchased by any 
handler, or by all handlers, among producers on the basis of 
their marketings of milk during a representative period of 
time, which need not be limited to one year; (e) a provision 
providing for the accumulation and disbursement of a fund to 
encourage seasonal adjustments in the production of milk may be 
included in an order; and (f) a further adjustment, equitably 
to apportion the total value of milk purchased by all handlers 
among producers on the basis of their marketings of milk, which 
may be adjusted to reflect the utilization of producer milk by 
all handlers in any use classification or classifications, 
during a representative period of one to three years, which 
will be automatically updated each year. In the event a 
producer holding a base allocated under this clause (f) shall 
reduce his marketings, such reduction shall not adversely 
affect his history of production and marketing for the 
determination of future bases, or future updating of bases, 
except that an order may provide that, if a producer reduces 
his marketings below his base allocation in any one or more use 
classifications designated in the order, the amount of any such 
reduction shall be taken into account in determining future 
bases, or future updating of bases. Bases allocated to 
producers under this clause (f) may be transferable under an 
order on such terms and conditions, including those which will 
prevent bases taking on an unreasonable value, as are 
prescribed in the order by the Secretary of Agriculture. 
Provisions shall be made in the order for the allocation of 
bases under this clause (f)--
          (i) for the alleviation of hardship and inequity 
        among producers; and
          (ii) for providing bases for dairy farmers not 
        delivering milk as producers under the order upon 
        becoming producers under the order who did not produce 
        milk during any part of the representative period and 
        these new producers shall within ninety days after the 
        first regular delivery of milk at the price for the 
        lowest use classification specified in such order be 
        allocated a base which the Secretary determines proper 
        after considering supply and demand conditions, the 
        development of orderly and efficient marketing 
        conditions and to the respective interests of producers 
        under the order, all other dairy farmers and the 
        consuming public. Producer bases so allocated shall for 
        a period of not more than three years be reduced by not 
        more than 20 per centum; and
          (iii) dairy farmers not delivering milk as producers 
        under the order upon becoming producers under the order 
        by reason of a plant to which they are making 
        deliveries becoming a pool plant under the order, by 
        amendment or otherwise, shall be provided bases with 
        respect to milk delivered under the order based on 
        their past deliveries of milk on the some basis as 
        other producers under the order; and
          (iv) such order may include such additional 
        provisions as the Secretary deems appropriate in regard 
        to the reentry of producers who have previously 
        discontinued their dairy farm enterprise or transferred 
        bases authorized under this clause (f); and
          (v) notwithstanding any other provision of this Act, 
        dairy farmers not delivering milk as producers under 
        the order, upon becoming producers under the order, 
        shall within ninety days be provided with respect to 
        milk delivered under the order, allocations based on 
        their past deliveries of milk during the representative 
        period from the production facilities from which they 
        are delivering milk under the order on the same basis 
        as producers under the order on the effective date of 
        order provisions authorized under this clause (f): 
        Provided, That bases shall be allocated only to a 
        producer marketing milk from the production facilities 
        from which he marketed milk during the representative 
        period, except that in no event shall such allocation 
        of base exceed the amount of milk actually delivered 
        under such order.
  The assignment of other source milk to various use classes 
shall be made without regard to whether an order contains 
provisions authorized under this clause (f). In the case of any 
producer who during any accounting period delivers a portion of 
his milk to persons not fully regulated by the order, provision 
shall be made for reducing the allocation of, or payment to be 
received by, any such producer under this clause (f) to 
compensate for any marketings of milk to such other persons for 
such period or periods as necessary to insure equitable 
participation in marketings among all producers. 
Notwithstanding the provisions of section 8c(12) and the last 
sentence of section 8c(19) of this Act, order provisions under 
this clause (f) shall not be effective in any marketing order 
unless separately approved by producers in a referendum in 
which each individual producer shall have one vote and may be 
terminated separately whenever the Secretary makes a 
determination with respect to such provisions as is provided 
for the termination of an order in subparagraph 8c(16)(B). 
Disapproval or termination of such order provisions shall not 
be considered disapproval of the order or of other terms of the 
order.
  (C) In order to accomplish the purposes set forth in 
paragraphs (A) and (B) of this subsection (5), providing a 
method for making adjustments in payments, as among handlers 
(including producers who are also handlers), to the end that 
the total sums paid by each handler shall equal the value of 
the milk purchased by him at the prices fixed in accordance 
with paragraph (A) hereof.
  (D) Providing that, in the case of all milk purchased by 
handlers from any producer who did not regularly sell milk 
during a period of 30 days next preceding the effective date of 
such order for consumption in the area covered thereby, 
payments to such producer, for the period beginning with the 
first regular delivery by such producer and continuing until 
the end of two full calendar months following the first day of 
the next succeeding calendar month, shall be made at the price 
for the lowest use classification specified in such order, 
subject to the adjustments specified in paragraph (B) of this 
subsection (5).
  (E) Providing (i) except as to producers for whom such 
services are being rendered by a cooperative marketing 
association, qualified as provided in paragraph (F) of this 
subsection (5), for market information to producers and for the 
verification of weights, sampling, and testing the milk 
purchased from producers, and for making appropriate deductions 
therefor from payments to producers, and (ii) for assurance of, 
and security for, the payment by handlers for milk purchased.
  (F) Nothing contained in this subsection (5) is intended or 
shall be construed to prevent a cooperative marketing 
association qualified under the provisions of the Act of 
Congress of February 18, 1922, as amended, known as the 
``Capper-Volstead Act'', engaged in making collective sales or 
marketing of milk or its products for the producers thereof, 
from blending the net proceeds of all of its sales in all 
markets in all use classifications, and making distribution 
thereof to its producers in accordance with the contract 
between the association and its producers: Provided, That it 
shall not sell milk or its products to any handler for use or 
consumption in any market at prices less than the prices fixed 
pursuant to paragraph (A) of this subsection (5) for such milk.
  (G) No marketing agreement or order applicable to milk and 
its products in any marketing area shall prohibit or in any 
manner limit, in the case of the products of milk, the 
marketing in that area of any milk or product thereof produced 
in any production area in the United States.
  (H) Omitted; see United States Code for notes.
  (I) Establishing or providing for the establishment of 
research and development projects, and advertising (excluding 
brand advertising), sales promotion, educational, and other 
programs, designed to improve or promote the domestic marketing 
and consumption of milk and its products, to be financed by 
producers in a manner and at a rate specified in the order, on 
all producer milk under the order. Producer contributions under 
this subparagraph may be deducted from funds due producers in 
computing total pool value or otherwise computing total funds 
due producers and such deductions shall be in addition to the 
adjustments authorized by subparagraph (B) of subsection 8c(5). 
Provision may be made in the order to exempt, or allow suitable 
adjustments or credits in connection with, milk on which a 
mandatory checkoff for advertising or marketing research is 
required under the authority of any State law. Such funds shall 
be paid to an agency organized by milk producers and producers' 
cooperative associations in such form and with such methods of 
operation as shall be specified in the order. Such agency may 
expend such funds for any of the purposes authorized by this 
subparagraph and may designate, employ, and allocate funds to 
persons and organizations engaged in such programs which meet 
the standards and qualifications specified in the order. All 
funds collected under this subparagraph shall be separately 
accounted for and shall be used only for the purposes for which 
they were collected. Programs authorized by this subparagraph 
may be either local or national in scope, or both, as provided 
in the order, but shall not be international. Order provisions 
under this subparagraph shall not become effective in any 
marketing order unless such provisions are approved by 
producers separately from other order provisions, in the same 
manner provided for the approval of marketing orders, and may 
be terminated separately whenever the Secretary makes a 
determination with respect to such provisions as is provided 
for the termination of an order in subsection 8c(16)(B). 
Disapproval or termination of such order provisions shall not 
be considered disapproval of the order or of other terms of the 
order. Notwithstanding any other provision of this Act, as 
amended, any producer against whose marketing any assessment is 
withheld or collected under the authority of this subparagraph, 
and who is not in favor of supporting the research and 
promotion programs, as provided for herein, shall have the 
right to demand and receive a refund of such assessment 
pursuant to the terms and conditions specified in the order.
  (J) Providing for the payment, from the total sums payable by 
all handlers for milk (irrespective of the use classification 
of such milk) and before computing uniform prices under 
paragraph (A) and making adjustments in payments under 
paragraph (C), to handlers that are cooperative marketing 
associations described in paragraph (F) and to handlers with 
respect to which adjustments in payments are made under 
paragraph (C), for services of marketwide benefit, including 
but not limited to--
          (i) providing facilities to furnish additional 
        supplies of milk needed by handlers and to handle and 
        dispose of milk supplies in excess of quantities needed 
        by handlers;
          (ii) handling on specific days quantities of milk 
        that exceed the quantities needed by handlers; and
          (iii) transporting milk from one location to another 
        for the purpose of fulfilling requirements for milk of 
        a higher use classification or for providing a market 
        outlet for milk of any use classification.
  (K)(i) Notwithstanding any other provision of law, milk 
produced by dairies--
          (I) owned or controlled by foreign persons; and
          (II) financed by or with the use of bonds the 
        interest on which is exempt from Federal income tax 
        under section 103 of the Internal Revenue Code of 1986;
shall be treated as other-source milk, and shall be allocated 
as milk received from producer-handlers for the purposes of 
classifying producer milk, under the milk marketing program 
established under this Act. For the purposes of this 
subparagraph, the term ``foreign person'' has the meaning given 
such term under section 9(3) of the Agricultural Foreign 
Investment Disclosure Act of 1978 (7 U.S.C. 3508(3)).
  (ii) The Secretary of Agriculture shall prescribe regulations 
to carry out this subparagraph.
  (iii) This subparagraph shall not apply with respect to any 
dairy that began operation before May 6, 1986.
  (L) Providing that adjustments in payments by handlers under 
paragraph (A) need not be the same as adjustments to producers 
under paragraph (B) with regard to adjustments authorized by 
subparagraphs (2) and (3) of paragraph (A) and clauses (b), 
(c), and (d) of paragraph (B)(ii).
  (M) Minimum Milk Prices for Handlers.--
          (i) Application of minimum price requirements.--
        Notwithstanding any other provision of this section, a 
        milk handler described in clause (ii) shall be subject 
        to all of the minimum and uniform price requirements of 
        a Federal milk marketing order issued pursuant to this 
        section applicable to the county in which the plant of 
        the handler is located, at Federal order class prices, 
        if the handler has packaged fluid milk product route 
        dispositions, or sales of packaged fluid milk products 
        to other plants, in a marketing area located in a State 
        that requires handlers to pay minimum prices for raw 
        milk purchases.
          (ii) Covered milk handlers.--Except as provided in 
        clause (iv), clause (i) applies to a handler of Class I 
        milk products (including a producer-handler or producer 
        operating as a handler) that--
                  (I) operates a plant that is located within 
                the boundaries of a Federal order milk 
                marketing area (as those boundaries are in 
                effect as of the date of the enactment of this 
                subparagraph);
                  (II) has packaged fluid milk product route 
                dispositions, or sales of packaged fluid milk 
                products to other plants, in a milk marketing 
                area located in a State that requires handlers 
                to pay minimum prices for raw milk purchases; 
                and
                  (III) is not otherwise obligated by a Federal 
                milk marketing order, or a regulated milk 
                pricing plan operated by a State, to pay 
                minimum class prices for the raw milk that is 
                used for such dispositions or sales.
          (iii) Obligation to pay minimum class prices.--For 
        purposes of clause (ii)(III), the Secretary may not 
        consider a handler of Class I milk products to be 
        obligated by a Federal milk marketing order to pay 
        minimum class prices for raw milk unless the handler 
        operates the plant as a fully regulated fluid milk 
        distributing plant under a Federal milk marketing 
        order.
          (iv) Certain handlers exempted.--Clause (i) does not 
        apply to--
                  (I) a handler (otherwise described in clause 
                (ii)) that operates a nonpool plant (as defined 
                in section 1000.8(e) of title 7, Code of 
                Federal Regulations, as in effect on the date 
                of the enactment of this subparagraph);
                  (II) a producer-handler (otherwise described 
                in clause (ii)) for any month during which the 
                producer-handler has route dispositions, and 
                sales to other plants, of packaged fluid milk 
                products equaling less than 3,000,000 pounds of 
                milk; or
                  (III) a handler (otherwise described in 
                clause (ii)) for any month during which--
                          (aa) less than 25 percent of the 
                        total quantity of fluid milk products 
                        physically received at the plant of the 
                        handler (excluding concentrated milk 
                        received from another plant by 
                        agreement for other than Class I use) 
                        is disposed of as route disposition or 
                        is transferred in the form of packaged 
                        fluid milk products to other plants; or
                          (bb) less than 25 percent in 
                        aggregate of the route disposition or 
                        transfers are in a marketing area or 
                        areas located in one or more States 
                        that require handlers to pay minimum 
                        prices for raw milk purchases.
  (N) Exemption for Certain Milk Handlers.--Notwithstanding any 
other provision of this section, no handler with distribution 
of Class I milk products in the marketing area described in 
Order No. 131 shall be exempt during any month from any minimum 
price requirement established by the Secretary under this 
subsection if the total distribution of Class I products during 
the preceding month of any such handler's own farm production 
exceeds 3,000,000 pounds.
  (O) Rule of Construction Regarding Producer-Handlers.--
Subparagraphs (M) and (N) shall not be construed as affecting, 
expanding, or contracting the treatment of producer-handlers 
under this subsection except as provided in such subparagraphs.
                        terms--other commodities
  (6) In the case of the agricultural commodities and the 
products thereof, other than milk and its products, specified 
in subsection (2) orders issued pursuant to this section shall 
contain one or more of the following terms and conditions, and 
(except as provided in subsection (7)), no others:
  (A) Limiting, or providing methods for the limitation of, the 
total quantity of any such commodity or product, or of any 
grade, size, or quality thereof, produced during any specified 
period or periods, which may be marketed in or transported to 
any or all markets in the current of interstate or foreign 
commerce or so as directly to burden, obstruct, or affect 
interstate or foreign commerce in such commodity or product 
thereof, during any specified period or periods by all handlers 
thereof.
  (B) Allotting, or providing methods for allotting, the amount 
of such commodity or product, or any grade, size, or quality 
thereof, which each handler may purchase from or handle on 
behalf of any and all producers thereof, during any specified 
period or periods, under a uniform rule based upon the amounts 
sold by such producers in such prior period as the Secretary 
determines to be representative, or upon the current quantities 
available for sale by such producers, or both, to the end that 
the total quantity thereof to be purchased, or handled during 
any specified period or periods shall be apportioned equitably 
among producers.
  (C) Allotting, or providing methods for allotting, the amount 
of any such commodity or product, or any grade, size, or 
quality thereof, which each handler may market in or transport 
to any or all markets in the current of interstate or foreign 
commerce or so as directly to burden, obstruct, or affect 
interstate or foreign commerce in such commodity or product 
thereof, under a uniform rule based upon the amounts which each 
such handler has available for current shipment, or upon the 
amounts shipped by each such handler in such prior period as 
the Secretary determines to be representative, or both, to the 
end that the total quantity of such commodity or product, or 
any grade, size, or quality thereof, to be marketed in or 
transported to any or all markets in the current of interstate 
or foreign commerce or so as directly to burden, obstruct, or 
affect interstate or foreign commerce in such commodity or 
product thereof, during any specified period or periods shall 
be equitably apportioned among all of the handlers thereof.
  (D) Determining, or providing methods for determining, the 
existence and extent of the surplus of any such commodity or 
product, or of any grade, size, or quality thereof, and 
providing for the control and disposition of such surplus, and 
for equalizing the burden of such surplus elimination or 
control among the producers and handlers thereof.
  (E) Establishing or providing for the establishment of 
reserve pools of any such commodity or product, or of any 
grade, size, or quality thereof, and providing for the 
equitable distribution of the net return derived from the sale 
thereof among the persons beneficially interested therein.
  (F) Requiring or providing for the requirement of inspection 
of any such commodity or product produced during specified 
periods and marketed by handlers.
  (G) In the case of hops and their products, in addition to, 
or in lieu of, the foregoing terms and conditions, orders may 
contain one or more of the following:
  (i) Limiting, or providing methods for the limitation of, the 
total quantity thereof, or of any grade, type, or variety 
thereof, produced during any specified period or periods, which 
all handlers may handle in the current of or so as directly to 
burden, obstruct, or affect interstate or foreign commerce in 
hops or any product thereof.
  (ii) Apportioning, or providing methods for apportioning, the 
total quantity of hops of the production of the then current 
calendar year permitted to be handled equitably among all 
producers in the production area to which the order applies 
upon the basis of one or more or a combination of the 
following: The total quantity of hops available or estimated 
will become available for market by each producer from his 
production during such period; the normal production of the 
acreage of hops operated by each producer during such period 
upon the basis of the number of acres of hops in production, 
and the average yield of that acreage during such period as the 
Secretary determines to be representative, with adjustments 
determined by the Secretary to be proper for age of plantings 
or abnormal conditions affecting yield; such normal production 
or historical record of any acreage for which data as to yield 
of hops are not available or which had no yield during such 
period shall be determined by the Secretary on the basis of the 
yields of other acreage of hops of similar characteristics as 
to productivity, subject to adjustment as just provided for.
  (iii) Allotting, or providing methods for allotting, the 
quantity of hops which any handler may handle so that the 
allotment fixed for that handler shall be limited to the 
quantity of hops apportioned under preceding section (ii) to 
each respective producer of hops; such allotment shall 
constitute an allotment fixed for that handler within the 
meaning of subsection (5) of section 8a of this title (U.S.C. 
1940 edition, title 7, sec. 608a).
  (H) providing a method for fixing the size, capacity, weight, 
dimensions, or pack of the container, or containers, which may 
be used in the packaging, transportation, sale, shipment, or 
handling of any fresh or dried fruits, vegetables, or tree 
nuts: Provided, however, That no action taken hereunder shall 
conflict with the Standard Containers Act of 1916 (15 U.S.C. 
251-256) and the Standard Containers Act of 1928 (15 U.S.C. 
257-257i);
  (I) establishing or providing for the establishment of 
production research, marketing research and development 
projects designed to assist, improve, or promote the marketing, 
distribution, and consumption or efficient production of any 
such commodity or product, the expense of such projects to be 
paid from funds collected pursuant to the marketing order: 
Provided, That with respect to orders applicable to almonds, 
filberts (otherwise known as hazelnuts), California-grown 
peaches, cherries, papayas, carrots, citrus fruits, onions, 
Tokay grapes, pears, dates, plums, nectarines, celery, sweet 
corn, limes, olives, pecans, eggs, avocados, apples, raisins, 
walnuts, tomatoes, caneberries (including raspberries, 
blackberries, and loganberries), Florida grown strawberries, or 
cranberries, such projects may provide for any form of 
marketing promotion including paid advertising and with respect 
to almonds, filberts (otherwise known as hazelnuts), raisins, 
walnuts, olives, Florida Indian River grapefruit, and 
cranberries may provide for crediting the pro rata expense 
assessment obligations of a handler with all or any portion of 
his direct expenditures for such marketing promotion including 
paid advertising as may be authorized by the order and when the 
handling of any commodity for canning or freezing is regulated, 
then any such projects may also deal with the commodity or its 
products in canned or frozen form: Provided further, That the 
inclusion in a Federal marketing order of provisions for 
research and marketing promotion, including paid advertising, 
shall not be deemed to preclude, preempt or supersede any such 
provisions in any State program covering the same commodity.
  (J) In the case of pears for canning or freezing, any order 
for a production area encompassing territory within two or more 
States or portions thereof shall provide that the grade, size, 
quality, maturity, and inspection regulation under the order 
applicable to pears grown within any such State or portion 
thereof may be recommended to the Secretary by the agency 
established to administer the order only if a majority of the 
representatives from that State on such agency concur in the 
recommendation each year.
                       terms common to all orders
  (7) In the case of the agricultural commodities and the 
products thereof specified in subsection (2) orders shall 
contain one or more of the following terms and conditions:
  (A) Prohibiting unfair methods of competition and unfair 
trade practices in the handling thereof.
  (B) Providing that (except for milk and cream to be sold for 
consumption in fluid form) such commodity or product thereof, 
or any grade, size, or quality thereof shall be sold by the 
handlers thereof only at prices filed by such handlers in the 
manner provided in such order.
  (C) Providing for the selection by the Secretary of 
Agriculture, or a method for the selection, of an agency or 
agencies and defining their powers and duties, which shall 
include only the powers:
          (i) To administer such order in accordance with its 
        terms and provisions;
          (ii) To make rules and regulations to effectuate the 
        terms and provisions of such order;
          (iii) To receive, investigate, and report to the 
        Secretary of Agriculture complaints of violations of 
        such order; and
          (iv) To recommend to the Secretary of Agriculture 
        amendments to such order.
No person acting as a member of an agency established pursuant 
to this paragraph (C) shall be deemed to be acting in an 
official capacity, within the meaning of section 10(g) of this 
title, unless such person receives compensation for his 
personal services from funds of the United States. There shall 
be included in the membership of any agency selected to 
administer a marketing order applicable to grapefruit for 
canning or freezing one or more representatives of processors 
of the commodity specified in such order.
  (D) Incidental to, and not inconsistent with, the terms and 
conditions specified in subsections (5), (6), and (7) and 
necessary to effectuate the other provisions of such order.
                    orders with marketing agreement
  (8) Except as provided in subsection (9) of this section, no 
order issued pursuant to this section shall become effective 
until the handlers (excluding cooperative associations of 
producers who are not engaged in processing, distributing, or 
shipping the commodity or product thereof covered by such 
order) of not less than 50 per centum of the volume of the 
commodity or product thereof covered by such order which is 
produced or marketed within the production or marketing area 
defined in such order have signed a marketing agreement, 
entered into pursuant to section 8b of this title, which 
regulates the handling of such commodity or product in the same 
manner as such order, except that as to citrus fruits produced 
in any area producing what is known as California citrus fruits 
no order issued pursuant to this subsection (8) shall become 
effective until the handlers of not less than 80 per centum of 
the volume of such commodity or product thereof covered by such 
order have signed such a marketing agreement: Provided, That no 
order issued pursuant to this subsection shall be effective 
unless the Secretary of Agriculture determines that the 
issuance of such order is approved or favored:
  (A) By at least two-thirds of the producers who (except that 
as to citrus fruits produced in any area producing what is 
known as California citrus fruits said order must be approved 
or favored by three-fourths of the producers), during a 
representative period determined by the Secretary, have been 
engaged, within the production area specified in such marketing 
agreement or order, in the production for market of the 
commodity specified therein, or who, during such representative 
period, have been engaged in the production of such commodity 
for sale in the marketing area specified in such marketing 
agreement or order, or
  (B) By producers who, during such representative period, have 
produced for market at least two-thirds of the volume of such 
commodity produced for market within the production area 
specified in such marketing agreement or order, or who, during 
such representative period, have produced at least two-thirds 
of the volume of such commodity sold within the marketing area 
specified in such marketing agreement or order.
               orders with or without marketing agreement
  (9) Any order issued pursuant to this section shall become 
effective in the event that, notwithstanding the refusal or 
failure of handlers (excluding cooperative associations of 
producers who are not engaged in processing, distributing, or 
shipping the commodity or product thereof covered by such 
order) of more than 50 per centum of the volume of the 
commodity or product thereof (except that as to citrus fruits 
produced in any area producing what is known as California 
citrus fruits said per centum shall be 80 per centum) covered 
by such order which is produced or marketed within the 
production or marketing area defined in such order to sign a 
marketing agreement relating to such commodity or product 
therefore, on which a hearing has been held, the Secretary of 
Agriculture, with the approval of the President, determines:
  (A) That the refusal or failure to sign a marketing agreement 
(upon which a hearing has been held) by the handlers (excluding 
cooperative associations of producers who are not engaged in 
processing, distributing, or shipping the commodity or product 
thereof covered by such order) of more than 50 per centum of 
the volume of the commodity or product thereof (except that as 
to citrus fruits produced in any area producing what is known 
as California citrus fruits said per centum shall be 80 per 
centum) specified therein which is produced or marketed within 
the production or marketing area specified therein tends to 
prevent the effectuation of the declared policy of this title 
with respect to such commodity or product, and
  (B) That the issuance of such order is the only practical 
means of advancing the interests of the producers of such 
commodity pursuant to the declared policy, and is approved or 
favored:
  (i) By at least two-thirds of the producers (except that as 
to citrus fruits produced in any area producing what is known 
as California citrus fruits said order must be approved or 
favored by three-fourths of the producers) who, during a 
representative period determined by the Secretary, have been 
engaged, within the production area specified in such marketing 
agreement or order, in the production for market of the 
commodity specified therein, or who, during such representative 
period, have been engaged in the production of such commodity 
for sale in the marketing area specified in such marketing 
agreement, or order, or
  (ii) By producers who, during such representative period, 
have produced for market at least two-thirds of the volume of 
such commodity produced for market within the production area 
specified in such marketing agreement or order, or who, during 
such representative period, have produced at least two-thirds 
of the volume of such commodity sold within the marketing area 
specified in such marketing agreement or order.
                 manner of regulation and applicability
  (10) No order shall be issued under this section unless it 
regulates the handling of the commodity or product covered 
thereby in the same manner as, and is made applicable only to 
persons in the respective classes of industrial or commercial 
activity specified in, a marketing agreement upon which a 
hearing has been held. No order shall be issued under this 
title prohibiting, regulating, or restricting the advertising 
of any commodity or product covered thereby, nor shall any 
marketing agreement contain any provision prohibiting, 
regulating, or restricting the advertising of any commodity or 
product covered by such marketing agreement.
                          regional application
  (11) (A) No order shall be issued under this section which is 
applicable to all production areas or marketing areas, or both, 
of any commodity or product thereof unless the Secretary finds 
that the issuance of several orders applicable to the 
respective regional production areas or regional marketing 
areas, or both, as the case may be, of the commodity or product 
would not effectively carry out the declared policy of this 
title.
  (B) Except in the case of milk and its products, orders 
issued under this section shall be limited in their application 
to the smallest regional production areas or regional marketing 
areas, or both, as the case may be, which the Secretary finds 
practicable, consistently with carrying out such declared 
policy.
  (C) All orders issued under this section which are applicable 
to the same commodity or product thereof shall, so far as 
practicable, prescribe such different terms, applicable to 
different production areas and marketing areas, as the 
Secretary finds necessary to give due recognition to the 
differences in production and marketing of such commodity or 
product in such areas.
  (D) In the case of milk and its products, no county or other 
political subdivision of the State of Nevada shall be within 
the marketing area definition of any order issued under this 
section.
                 cooperative association representation
  (12) Whenever, pursuant to the provisions of this section, 
the Secretary is required to determine the approval or 
disapproval of producers with respect to the issuance of any 
order, or any term or condition thereof, or the termination 
thereof, the Secretary shall consider the approval or 
disapproval by any cooperative association of producers, bona 
fide engaged in marketing the commodity or product thereof 
covered by such order, or in rendering services for or 
advancing the interests of the producers of such commodity, as 
the approval or disapproval of the producers who are members 
of, stockholders in, or under contract with, such cooperative 
association of producers.
                    retailer and producer exemption
  (13) (A) No order issued under subsection (9) of this section 
shall be applicable to any person who sells agricultural 
commodities or products thereof at retail in his capacity as 
such retailer, except to a retailer in his capacity as a 
retailer of milk and its products.
  (B) No order issued under this title shall be applicable to 
any producer in his capacity as a producer.
                           violation of order
  (14) Any handler subject to an order issued under this 
section, or any officer, director, agent, or employee of such 
handler, who violates any provision of such order (other than a 
provision calling for payment of a pro rata share of expenses) 
shall, on conviction, be fined not less than $50 or more than 
$5,000 for each such violation, and each day during which such 
violation continues shall be deemed a separate violation: 
Provided, That if the court finds that a petition pursuant to 
subsection (15) of this section was filed and prosecuted by the 
defendant in good faith and not for delay, no penalty shall be 
imposed under this subsection for such violations as occurred 
between the date upon which the defendant's petition was filed 
with the Secretary, and the date upon which notice of the 
Secretary's ruling thereon was given to the defendant in 
accordance with regulations prescribed pursuant to subsection 
(15).
                     petition by handler and review
  (15) (A) Any handler subject to an order may file a written 
petition with the Secretary of Agriculture, stating that any 
such order or any provision of any such order or any obligation 
imposed in connection therewith is not in accordance with law 
and praying for a modification thereof or to be exempted 
therefrom. He shall thereupon be given an opportunity for a 
hearing upon such petition, in accordance with regulations made 
by the Secretary of Agriculture, with the approval of the 
President. After such hearing, the Secretary shall make a 
ruling upon the prayer of such petition which shall be final, 
if in accordance with law.
  (B) The District Courts of the United States (including the 
Supreme Court of the District of Columbia) in any district in 
which such handler is an inhabitant, or has his principal place 
of business, are hereby vested with jurisdiction in equity to 
review such ruling, provided a bill in equity for that purpose 
is filed within twenty days from the date of the entry of such 
ruling. Service of process in such proceedings may be had upon 
the Secretary by delivery to him a copy of the bill of 
complaint. If the court determines that such ruling is not in 
accordance with law, it shall remand such proceedings to the 
Secretary with directions either (1) to make such ruling as the 
court shall determine to be in accordance with law, or (2) to 
take such further proceedings as, in its opinion, the law 
requires. The pendency of proceedings instituted pursuant to 
this subsection (15) shall not impede, hinder, or delay the 
United States or the Secretary of Agriculture from obtaining 
relief pursuant to section 8a (6) of this title. Any 
proceedings brought pursuant to section 8a (6) of this title 
(except where brought by way of counterclaim in proceedings 
instituted pursuant to this subsection (15)) shall abate 
whenever a final decree has been rendered in proceedings 
between the same parties, and covering the same subject matter, 
instituted pursuant to this subsection (15).
             termination of orders and marketing agreements
  (16) (A)(i) Except as provided in clause (ii), the Secretary 
of Agriculture shall, whenever he finds that any order issued 
under this section, or any provision thereof, obstructs or does 
not tend to effectuate the declared policy of this title, 
terminate or suspend the operation of such order or such 
provision thereof.
  (ii) The Secretary may not terminate any order issued under 
this section for a commodity for which there is no Federal 
program established to support the price of such commodity 
unless the Secretary gives notice of, and a statement of the 
reasons relied upon by the Secretary for, the proposed 
termination of such order to the Committee on Agriculture, 
Nutrition, and Forestry of the Senate and the Committee on 
Agriculture of the House of Representatives not later than 60 
days before the date such order will be terminated.
  (B) The Secretary shall terminate any marketing agreement 
entered into under section 8b, or order issued under this 
section, at the end of the then current marketing period for 
such commodity, specified in such marketing agreement or order, 
whenever he finds that such termination is favored by a 
majority of the producers who, during a representative period 
determined by the Secretary, have been engaged in the 
production for market of the commodity specified in such 
marketing agreement or order, within the production area 
specified in such marketing agreement or order, or who, during 
such representative period, have been engaged in the production 
of such commodity for sale within the marketing area specified 
in such marketing agreement or order: Provided, That such 
majority have, during such representative period, produced for 
market more than 50 per centum of the volume of such commodity 
produced for market within the production area specified in 
such marketing agreement or order, or have, during such 
representative period, produced more than 50 per centum of the 
volume of such commodity sold in the marketing area specified 
in such marketing agreement or order, but such termination 
shall be effective only if announced on or before such date 
(prior to the end of the then current marketing period) as may 
be specified in such marketing agreement or order.
  (C) Except as otherwise provided in this subsection with 
respect to the termination of an order issued under this 
section, the termination or suspension of any order or 
amendment thereto or provision thereof, shall not be considered 
an order within the meaning of this section.
          (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 Secretary shall 
                        issue, using informal rulemaking, 
                        supplemental rules of practice to 
                        define guidelines and timeframes for 
                        the rulemaking process relating to 
                        amendments to orders.
                          (ii) Issues.--At a minimum, the 
                        supplemental rules of practice shall 
                        establish--
                                  (I) proposal submission 
                                requirements;
                                  (II) pre-hearing information 
                                session specifications;
                                  (III) written testimony and 
                                data request requirements;
                                  (IV) public participation 
                                timeframes; and
                                  (V) electronic document 
                                submission standards.
                          (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 determined 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 information to be 
                                used by the Secretary in making 
                                a determination regarding the 
                                proposal; and
                                  (bb) if the additional 
                                information is not provided 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 proposed amendment to an 
                        order shall be issued not later than 60 
                        days after the deadline for submission 
                        of comments and exceptions to the 
                        recommended decision issued under 
                        clause (iii).
                  (D) Industry assessments.--If the Secretary 
                determines it is necessary to improve or 
                expedite rulemaking under this subsection, the 
                Secretary may impose an assessment on the 
                affected industry to supplement appropriated 
                funds for the procurement of service providers, 
                such as court reporters.
                  (E) Use of informal rulemaking.--The 
                Secretary may use rulemaking under 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 
                allowances.--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.
                              milk prices
  (18) The Secretary of Agriculture, prior to prescribing any 
term in any marketing agreement or order, or amendment thereto, 
relating to milk or its products, if such term is to fix 
minimum prices to be paid to producers or associations of 
producers, or prior to modifying the price fixed in any such 
term, shall ascertain the parity prices of such commodities. 
The prices which it is declared to be the policy of Congress to 
establish in section 2 of this title shall, for the purposes of 
such agreement, order, or amendment, be adjusted to reflect the 
price of feeds, the available supplies of feeds, and other 
economic conditions which affect market supply and demand for 
milk or its products in the marketing area to which the 
contemplated marketing agreement, order, or amendment relates. 
Whenever the Secretary finds, upon the basis of the evidence 
adduced at the hearing required by section 8b or 8c, as the 
case may be, that the parity prices of such commodities are not 
reasonable in view of the price of feeds, the available 
supplies of feeds, and other economic conditions which affect 
market supply and demand for milk and its products in the 
marketing area to which the contemplated agreement, order, or 
amendment relates, he shall fix such prices as he finds will 
reflect such factors, insure a sufficient quantity of pure and 
wholesome milk, and be in the public interest. Thereafter, as 
the Secretary finds necessary on account of changed 
circumstances, he shall, after due notice and opportunity for 
hearing, make adjustments in such prices.
                          producer referendum
  (19) For the purpose of ascertaining whether the issuance of 
an order is approved or favored by producers or processors, as 
required under the applicable provisions of this title, the 
Secretary may conduct a referendum among producers or 
processors and in the case of an order other than an amendatory 
order shall do so. The requirements of approval or favor under 
any such provision shall be held to be complied with if, of the 
total number of producers or processors, or the total volume of 
production, as the case may be, represented in such referendum, 
the percentage approving or favoring is equal to or in excess 
of the percentage required under such provision. The terms and 
conditions of the proposed order shall be described by the 
Secretary in the ballot used in the conduct of the referendum. 
The nature, content, or extent of such description shall not be 
a basic for attacking the legality of the order or any action 
relating thereto. Nothing in this subsection shall be construed 
as limiting representation by cooperative associations as 
provided in subsection (12) of this section. For the purpose of 
ascertaining whether the issuance of an order applicable to 
pears for canning or freezing is approved or favored by 
producers as required under the applicable provisions of this 
title, the Secretary shall conduct a referendum among producers 
in each State in which pears for canning or freezing are 
proposed to be included within the provisions of such marketing 
order and the requirements of approval or favor under any such 
provisions applicable to pears for canning or freezing shall be 
held to be complied with if, of the total number of producers, 
or the total volume of production, as the case may be, 
represented in such referendum, the percentage approving or 
favoring is equal to or in excess of 66\2/3\ per centum except 
that in the event that pear producers in any State fail to 
approve or favor the issuance of any such marketing order, it 
shall not be made effective in such State.
          * * * * * * *
  Sec. 8e. (a) Subject to the provisions of subsections (c) and 
(d) and notwithstanding any other provision of law, whenever a 
marketing order issued by the Secretary of Agriculture pursuant 
to section 8c of this Act contains any terms or conditions 
regulating the grade, size, quality, or maturity of tomatoes, 
raisins, olives (other than Spanish-style green olives), 
prunes, avocados, mangoes, limes, grapefruit, green peppers, 
Irish potatoes, cucumbers, oranges, onions, walnuts, pecans, 
dates, filberts, table grapes, eggplants, kiwifruit, 
nectarines, clementines, plums, pistachios, apples, or 
caneberries (including raspberries, blackberries, and 
loganberries) produced in the United States the importation 
into the United States of any such commodity, other than dates 
for processing, during the period of time such order is in 
effect shall be prohibited unless it complies with the grade, 
size, quality, and maturity provisions of such order or 
comparable restrictions promulgated hereunder: Provided, That 
this prohibition shall not apply to such commodities when 
shipped into continental United States from the Commonwealth of 
Puerto Rico or any Territory or possession of the United States 
where this Act has force and effect: Provided further, That 
whenever two or more such marketing orders regulating the same 
agricultural commodity produced in different areas of the 
United States are concurrently in effect, the importation into 
the United States of any such commodity, other than dates for 
processing, shall be prohibited unless it complies with the 
grade, size, quality, and maturity provisions of the order 
which, as determined by the Secretary of Agriculture, regulates 
the commodity produced in the area with which the imported 
commodity is in most direct competition. Such prohibition shall 
not become effective until after the giving of such notice as 
the Secretary of Agriculture determines reasonable, which shall 
not be less than three days. In determining the amount of 
notice that is reasonable in the case of tomatoes the Secretary 
of Agriculture shall give due consideration to the time 
required for their transportation and entry into the United 
States after picking. Whenever the Secretary of Agriculture 
finds that the application of the restrictions under a 
marketing order to an imported commodity is not practicable 
because of variations in characteristics between the domestic 
and imported commodity he shall establish with respect to the 
imported commodity, other than dates for processing, such 
grade, size, quality, and maturity restrictions by varieties, 
types, or other classifications as he finds will be equivalent 
or comparable to those imposed upon the domestic commodity 
under such order. The Secretary of Agriculture may promulgate 
such rules and regulations as he deems necessary, to carry out 
the provisions of this section. Any person who violates any 
provision if this section or of any rule, regulation, or order 
promulgated hereunder shall be subject to a forfeiture in the 
amount prescribed in section 8a(5) or, upon conviction, a 
penalty in the amount prescribed in section 8c(14) of the Act, 
or to both such forfeiture and penalty.
  (b)(1) The Secretary may provide for a period of time (not to 
exceed 35 days) in addition to the period of time covered by a 
marketing order during which the marketing order requirements 
would be in effect for a particular commodity during any year 
if the Secretary determines that such additional period of time 
is necessary--
          (A) to effectuate the purposes of this Act; and
          (B) to prevent the circumvention of the grade, size, 
        quality, or maturity standards of a seasonal marketing 
        order applicable to a commodity produced in the United 
        States by imports of such commodity.
  (2) In making the determination required by paragraph (1), 
the Secretary, through notice and comment procedures, shall 
consider--
          (A) to what extent, during the previous year, imports 
        of a commodity that did not meet the requirements of a 
        marketing order applicable to such commodity were 
        marketed in the United States during the period that 
        such marketing order requirements were in effect for 
        available domestic commodities (or would have been 
        marketed during such time if not for any additional 
        period established by the Secretary);
          (B) if the importation into the United States of such 
        commodity did, or was likely to, circumvent the grade, 
        size, quality or maturity standards of a seasonal 
        marketing order applicable to such commodity produced 
        in the United States; and
          (C) the availability and price of commodities of the 
        variety covered by the marketing order during any 
        additional period the marketing order requirements are 
        to be in effect.
  (3) An additional period established by the Secretary in 
accordance with this subsection shall be--
          (A) announced not later than 30 days before the date 
        such additional period is to be in effect; and
          (B) reviewed by the Secretary on request, through 
        notice and comment procedures, at least every 3 years 
        in order to determine if the additional period is still 
        needed to prevent circumvention of the seasonal 
        marketing order by imported commodities.
  (4) For the purposes of carrying out this subsection, the 
Secretary is authorized to make such reasonable inspections as 
may be necessary.
  (c) Prior to any important prohibition or regulation under 
this section being made effective with respect to any 
commodity--
          (1) the Secretary of Agriculture shall notify the 
        United States Trade Representative of such import 
        prohibition or regulation; and
          (2) the United States Trade Representative shall 
        advise the Secretary of Agriculture, within 60 days of 
        the notification under paragraph (1), to ensure that 
        the application of the grade, size, quality, and 
        maturity provisions of the relevant marketing order, or 
        comparable restrictions, to imports is not inconsistent 
        with United States international obligations under any 
        trade agreement, including the General Agreement on 
        Tariffs and Trade.
  (d) The Secretary may proceed with the proposed prohibition 
or regulation if the Secretary receives the advice and 
concurrence of the United States Trade Representative within 60 
days of the notification under subsection (c)(1).
          * * * * * * *
                              ----------                              


               FOOD, CONSERVATION, AND ENERGY ACT OF 2008

          * * * * * * *

                      TITLE I--COMMODITY PROGRAMS

          * * * * * * *

                           Subtitle E--Dairy

SEC. 1502. DAIRY FORWARD PRICING PROGRAM.

  (a) Program Required.--The Secretary shall establish a 
program 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 contract 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 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 foreign 
                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 
        participation 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 complaints made by producers or 
                cooperative associations of coercion by 
                handlers to enter into forward contracts.
                  (B) Action.--If the Secretary finds evidence 
                of coercion, 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, [2018] 2023.
          (2) Application.--No forward contract entered into 
        under the program may extend beyond September 30, 
        [2021] 2026.
          * * * * * * *

                            TITLE III--TRADE

          * * * * * * *

                       Subtitle C--Miscellaneous

          * * * * * * *

SEC. 3202. GLOBAL CROP DIVERSITY TRUST.

  (a) Contribution.--The Administrator of the United States 
Agency for International Development shall contribute funds to 
endow the Global Crop Diversity Trust (referred to in this 
section as the ``Trust'') to assist in the conservation of 
genetic diversity in food crops through the collection and 
storage of the germplasm of food crops in a manner that 
provides for--
          (1) the maintenance and storage of seed collections;
          (2) the documentation and cataloguing of the genetics 
        and characteristics of conserved seeds to ensure 
        efficient reference for researchers, plant breeders, 
        and the public;
          (3) building the capacity of seed collection in 
        developing countries;
          (4) making information regarding crop genetic data 
        publicly available for researchers, plant breeders, and 
        the public (including through the provision of an 
        accessible Internet website);
          (5) the operation and maintenance of a back-up 
        facility in which are stored duplicate samples of 
        seeds, in the case of natural or man-made disasters; 
        and
          (6) oversight designed to ensure international 
        coordination of those actions and efficient, public 
        accessibility to that diversity through a cost-
        effective system.
  (b) United States Contribution Limit.--The aggregate 
contributions of funds of the Federal Government provided to 
the Trust shall not exceed [25 percent] 33 percent of the total 
amount of funds contributed to the Trust from all sources.
  (c) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $60,000,000 [for the 
period of fiscal years 2014 through 2018] for the period of 
fiscal years 2019 through 2023.
          * * * * * * *

SEC. 3206. LOCAL AND REGIONAL FOOD AID PROCUREMENT PROJECTS.

  (a) Definitions.--In this section:
          (1) Administrator.--The term ``Administrator'' means 
        the Administrator of the Agency for International 
        Development.
          (2) Appropriate committee of congress.--The term 
        ``appropriate committee of Congress'' means--
                  (A) the Committee on Agriculture, Nutrition, 
                and Forestry of the Senate;
                  (B) the Committee on Agriculture of the House 
                of Representatives; and
                  (C) the Committee on Foreign Affairs of the 
                House of Representatives.
          (3) Eligible commodity.--The term ``eligible 
        commodity'' means an agricultural commodity (or the 
        product of an agricultural commodity) that--
                  (A) is produced in, and procured from, a 
                developing country; and
                  (B) at a minimum, meets each nutritional, 
                quality, and labeling standard of the country 
                that receives the agricultural commodity, as 
                determined by the Secretary.
          (4) Eligible organization.--The term ``eligible 
        organization'' means an organization that is--
                  (A) described in section 202(d) of the Food 
                for Peace Act (7 U.S.C. 1722(d)); and
                  (B) with respect to nongovernmental 
                organizations, subject to regulations 
                promulgated or guidelines issued to carry out 
                this section, including United States audit 
                requirements that are applicable to 
                nongovernmental organizations.
  (b) Field-Based Projects.--
          (1) In general.--In accordance with paragraph (2), 
        the Secretary shall provide grants to, or enter into 
        cooperative agreements with, eligible organizations to 
        carry out field-based projects that consist of local or 
        regional procurements of eligible commodities to 
        respond to food crises and disasters in accordance with 
        this section.
          (2) Consultation with administrator.--In carrying out 
        the development and implementation of field-based 
        projects under paragraph (1), the Secretary shall 
        consult with the Administrator.
  (c) Procurement.--
          (1) In general.--Any eligible commodity that is 
        procured for a field-based project carried out under 
        subsection (b) shall be procured through any approach 
        or methodology that the Secretary considers to be an 
        effective approach or methodology to provide adequate 
        information regarding the manner by which to expedite, 
        to the maximum extent practicable, the provision of 
        food aid to affected populations without significantly 
        increasing commodity costs for low-income consumers who 
        procure commodities sourced from the same markets at 
        which the eligible commodity is procured.
          (2) Requirements.--
                  (A) Impact on local farmers and countries.--
                The Secretary shall ensure that the local or 
                regional procurement of any eligible commodity 
                under this section will not have a disruptive 
                impact on farmers located in, or the economy 
                of--
                          (i) the recipient country of the 
                        eligible commodity; or
                          (ii) any country in the region in 
                        which the eligible commodity may be 
                        procured.
                  (B) Transshipment.--The Secretary shall, in 
                accordance with such terms and conditions as 
                the Secretary considers to be appropriate, 
                require from each eligible organization 
                commitments designed to prevent or restrict--
                          (i) the resale or transshipment of 
                        any eligible commodity procured under 
                        this section to any country other than 
                        the recipient country; and
                          (ii) the use of the eligible 
                        commodity for any purpose other than 
                        food aid.
                  (C) World prices.--
                          (i) In general.--In carrying out this 
                        section, the Secretary shall take any 
                        precaution that the Secretary considers 
                        to be reasonable to ensure that the 
                        procurement of eligible commodities 
                        will not unduly disrupt--
                                  (I) world prices for 
                                agricultural commodities; or
                                  (II) normal patterns of 
                                commercial trade with foreign 
                                countries.
                          (ii) Procurement price.--The 
                        procurement of any eligible commodity 
                        shall be made at a reasonable market 
                        price with respect to the economy of 
                        the country in which the eligible 
                        commodity is procured, as determined by 
                        the Secretary.
  (d) Field-Based Project Grants or Cooperative Agreements.--
          (1) In general.--The Secretary shall award grants to, 
        or enter into cooperative agreements with, eligible 
        organizations to carry out field-based projects.
          (2) Requirements of eligible organizations.--
                  
                          
                          (B) Other applicable requirements.--
                        Any other applicable requirement 
                        relating to the submission of proposals 
                        for consideration shall apply to the 
                        submission of an application required 
                        under subparagraph (A), as determined 
                        by the Secretary.
                  (A) In general.--To be eligible to receive a 
                grant from, or enter into a cooperative 
                agreement with, the Secretary under this 
                subsection, an eligible organization shall 
                submit to the Secretary an application by such 
                date, in such manner, and containing such 
                information as the Secretary may require.
                  (B) Other applicable requirements.--Any other 
                applicable requirement relating to the 
                submission of proposals for consideration shall 
                apply to the submission of an application 
                required under subparagraph (A), as determined 
                by the Secretary.
          (3) Requirements of secretary.--
                  (A) Project diversity.--
                          (i) In general.--Subject to clause 
                        (ii) and subparagraph (B), in selecting 
                        proposals for field-based projects to 
                        fund under this section, the Secretary 
                        shall select a diversity of projects, 
                        including projects located in--
                                  (I) food surplus regions;
                                  (II) food deficit regions 
                                (that are carried out using 
                                regional procurement methods); 
                                and
                                  (III) multiple geographical 
                                regions.
                          (ii) Priority.--In selecting 
                        proposals for field-based projects 
                        under clause (i), the Secretary shall 
                        ensure that the majority of selected 
                        proposals are for field-based projects 
                        that--
                                  (I) are located in Africa; 
                                and
                                  (II) procure eligible 
                                commodities that are produced 
                                in Africa.
                  (B) Development assistance.--A portion of the 
                funds provided under this subsection shall be 
                made available for field-based projects that 
                provide development assistance for a period of 
                not less than 1 year.
  (e) Funding.--
          (1) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this section 
        $80,000,000 for each of fiscal years 2014 through 
        [2018] 2023.
          (2) Preference.--In carrying out this section, the 
        Secretary may give a preference to eligible 
        organizations that have, or are working toward, 
        projects under the McGovern-Dole International Food for 
        Education and Child Nutrition Program established under 
        section 3107 of the Farm Security and Rural Investment 
        Act of 2002 (7 U.S.C. 1736o-1).
          (3) Reporting.--Each year, the Secretary shall submit 
        to the appropriate committees of Congress a report that 
        describes the use of funds under this section, 
        including--
                  (A) the impact of procurements and projects 
                on--
                          (i) local and regional agricultural 
                        producers; and
                          (ii) markets and consumers, including 
                        low-income consumers; and
                  (B) implementation time frames and costs.

                          TITLE IV--NUTRITION

          * * * * * * *

                       Subtitle D--Miscellaneous

          * * * * * * *

SEC. 4405. [FOOD INSECURITY NUTRITION INCENTIVE.]  GUS SCHUMACHER FOOD 
                    INSECURITY NUTRITION INCENTIVE PROGRAM.

  (a) In General.--In this section:
          (1) Eligible entity.--The term ``eligible entity'' 
        means--
                  (A) a nonprofit organization (including an 
                emergency feeding organization);
                  (B) an agricultural cooperative;
                  (C) a producer network or association;
                  (D) a community health organization;
                  (E) a public benefit corporation;
                  (F) an economic development corporation;
                  (G) a farmers' market;
                  (H) a community-supported agriculture 
                program;
                  (I) a buying club;
                  (J) a retail food store participating in the 
                supplemental nutrition assistance program;
                  (K) a State, local, or tribal agency; and
                  (L) any other entity the Secretary 
                designates.
          (2) Emergency feeding organization.--The term 
        ``emergency 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) Supplemental nutrition assistance program.--The 
        term ``supplemental nutrition assistance program'' 
        means the supplemental nutrition assistance program 
        established under the Food and Nutrition Act of 2008 (7 
        U.S.C. 2011 et seq.).
  (b) Food Insecurity Nutrition Incentive Grants.--
          (1) Authorization.--
                  (A) In general.--In each of the years 
                specified in subsection (c), the Secretary 
                shall make grants to eligible entities in 
                accordance with paragraph (2).
                  (B) Federal share.--The Federal share of the 
                cost of carrying out an activity under this 
                subsection shall not exceed 50 percent of the 
                total cost of the activity.
                  (C) Non-Federal share.--
                          (i) In general.--The non-Federal 
                        share of the cost of an activity under 
                        this subsection may be provided--
                                  (I) in cash or in-kind 
                                contributions as determined by 
                                the Secretary, including 
                                facilities, equipment, or 
                                services; and
                                  (II) by a State or local 
                                government or a private source.
                          (ii) Limitation.--In the case of a 
                        for-profit entity, the non-Federal 
                        share described in clause (i) shall not 
                        include services of an employee, 
                        including salaries paid or expenses 
                        covered by the employer.
          (2) Criteria.--
                  (A) In general.--For purposes of this 
                subsection, an eligible entity is a 
                governmental agency or nonprofit organization 
                that--
                          (i) meets the application criteria 
                        set forth by the Secretary; and
                          (ii) proposes a project that, at a 
                        minimum--
                                  (I) has the support of the 
                                State agency;
                                  (II) would increase the 
                                purchase of fruits and 
                                vegetables by low-income 
                                consumers participating in the 
                                supplemental nutrition 
                                assistance program by providing 
                                financial incentives at the 
                                point of purchase;
                                  [(III) agrees to participate 
                                in the evaluation described in 
                                paragraph (4);]
                                  (III) has adequate plans to 
                                collect data for reporting and 
                                agrees to participate in a 
                                program evaluation; and
                                  (IV) ensures that the same 
                                terms and conditions apply to 
                                purchases made by individuals 
                                with benefits issued under this 
                                Act and incentives provided for 
                                in this subsection as apply to 
                                purchases made by individuals 
                                who are not members of 
                                households receiving benefits, 
                                such as provided for in section 
                                278.2(b) of title 7, Code of 
                                Federal Regulations (or a 
                                successor regulation)[; and].
                                  [(V) includes effective and 
                                efficient technologies for 
                                benefit redemption systems that 
                                may be replicated in other 
                                States and communities.]
                  [(B) Priority.--In awarding grants under this 
                section, the Secretary shall give priority to 
                projects that--
                          [(i) maximize the share of funds used 
                        for direct incentives to participants;
                          [(ii) use direct-to-consumer sales 
                        marketing;
                          [(iii) demonstrate a track record of 
                        designing and implementing successful 
                        nutrition incentive programs that 
                        connect low-income consumers and 
                        agricultural producers;
                          [(iv) provide locally or regionally 
                        produced fruits and vegetables;
                          [(v) are located in underserved 
                        communities; or
                          [(vi) address other criteria as 
                        established by the Secretary.]
                  (B) Priorities.--In awarding grants under 
                this section--
                          (i) the Secretary shall give priority 
                        to projects that--
                                  (I) maximize the share of 
                                funds used for direct 
                                incentives to participants;
                                  (II) include coordination 
                                with multiple stakeholders, 
                                such as farm organizations, 
                                nutrition education programs, 
                                cooperative extension service 
                                programs, public health 
                                departments, health providers, 
                                private and public health 
                                insurance agencies, cooperative 
                                grocers, grocery associations, 
                                and community-based and non-
                                governmental organizations;
                                  (III) have the capacity to 
                                generate sufficient data and 
                                analysis to demonstrate 
                                effectiveness of program 
                                incentives; and
                          (ii) the Secretary may also give 
                        priority to projects that--
                                  (I) are located in 
                                underserved communities;
                                  (II) use direct-to-consumer 
                                sales marketing;
                                  (III) demonstrate a track 
                                record of designing and 
                                implementing successful 
                                nutrition incentive programs 
                                that connect low-income 
                                consumers and agricultural 
                                producers;
                                  (IV) provide locally or 
                                regionally produced fruits and 
                                vegetables;
                                  (V) offer supplemental 
                                services in high-need 
                                communities, including online 
                                ordering, transportation 
                                between home and store, and 
                                delivery services;
                                  (VI) provide year-round 
                                access to program incentives; 
                                and
                                  (VII) address other criteria 
                                as established by the 
                                Secretary.
          (3) Applicability.--
                  (A) In general.--The value of any benefit 
                provided to a participant in any activity 
                funded under this subsection shall be treated 
                as supplemental nutrition benefits under 
                section 8(b) of the Food and Nutrition Act of 
                2008 (7 U.S.C. 2017(b)).
                  (B) Prohibition on collection of sales 
                taxes.--Each State shall ensure that no State 
                or local tax is collected on a purchase of food 
                under this subsection.
                  (C) No limitation on benefits.--A grant made 
                available under this subsection shall not be 
                used to carry out any project that limits the 
                use of benefits under the Food and Nutrition 
                Act of 2008 (7 U.S.C. 2011 et seq.) or any 
                other Federal nutrition law.
                  (D) Household allotment.--Assistance provided 
                under this subsection to households receiving 
                benefits under the supplemental nutrition 
                assistance program shall not--
                          (i) be considered part of the 
                        supplemental nutrition assistance 
                        program benefits of the household; or
                          (ii) be used in the collection or 
                        disposition of claims under section 13 
                        of the Food and Nutrition Act of 2008 
                        (7 U.S.C. 2022).
          [(4) Evaluation.--
                  [(A) Independent evaluation.--The Secretary 
                shall provide for an independent evaluation of 
                projects selected under this subsection that 
                measures the impact of each project on--
                          [(i) improving the nutrition and 
                        health status of participating 
                        households receiving incentives under 
                        this subsection; and
                          [(ii) increasing fruit and vegetable 
                        purchases in participating households.
                  [(B) Requirement.--The independent evaluation 
                under subparagraph (A) shall use rigorous 
                methodologies capable of producing 
                scientifically valid information regarding the 
                effectiveness of a project.
                  [(C) Costs.--The Secretary may use funds not 
                to exceed 10 percent of the funding provided to 
                carry out this section to pay costs associated 
                with administering, monitoring, and evaluating 
                each project.]
          (4) Training, evaluation, and information center.--
                  (A) In general.--The Secretary, in 
                consultation with the Director of the National 
                Institute of Food and Agriculture, shall 
                establish a Food Insecurity Nutrition Incentive 
                Program Training, Evaluation, and Information 
                Center capable of providing services related to 
                grants under subsection (b), including--
                          (i) offering incentive program 
                        training and technical assistance to 
                        applicants and grantees to the extent 
                        practicable;
                          (ii) collecting, evaluating, and 
                        sharing information on best practices 
                        on common incentive activities;
                          (iii) assisting with collaboration 
                        among grantee projects, State agencies, 
                        and nutrition education programs;
                          (iv) facilitating communication 
                        between grantees and the Department of 
                        Agriculture; and
                          (v) compiling program data from 
                        grantees and generating an annual 
                        report to Congress on grant outcomes.
                  (B) Cooperative agreement.--To carry out 
                subparagraph (A), the Secretary may enter into 
                a cooperative agreement with an organization 
                with expertise in the supplemental nutrition 
                assistance program incentive programs, 
                including--
                          (i) nongovernmental organizations;
                          (ii) State cooperative extension 
                        services;
                          (iii) regional food system centers;
                          (iv) Federal and State agencies;
                          (v) public, private, and land-grant 
                        colleges and universities; and
                          (vi) other appropriate entities as 
                        determined by the Secretary.
                  (C) Funding limitation.--Of the funds made 
                available under subsection (c), the Secretary 
                may use to carry out this paragraph not more 
                than--
                          (i) $2,000,000 for each of the fiscal 
                        years 2019 and 2020, and
                          (ii) $1,000,000 for each fiscal year 
                        thereafter.
  (c) Funding.--
          (1) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out subsection 
        (b) $5,000,000 for each of fiscal years [2014 through 
        2018] 2019 through 2023.
          (2) Mandatory funding.--Of the funds of the Commodity 
        Credit Corporation, the Secretary shall use to carry 
        out subsection (b)--
                  (A) $35,000,000 for the period of fiscal 
                years 2014 and 2015;
                  (B) $20,000,000 for each of fiscal years 2016 
                and 2017; [and]
                  (C) $25,000,000 for fiscal year 2018[.];
                  (D) $45,000,000 for fiscal year 2019;
                  (E) $50,000,000 for fiscal year 2020;
                  (F) $55,000,000 for fiscal year 2021;
                  (G) $60,000,000 for fiscal year 2022; and
                  (H) $65,000,000 for fiscal year 2023 and each 
                fiscal year thereafter.

           *       *       *       *       *       *       *


TITLE VII--RESEARCH AND RELATED MATTERS

           *       *       *       *       *       *       *


                       Subtitle E--Miscellaneous

PART I--GENERAL PROVISIONS

           *       *       *       *       *       *       *


SEC. 7502. GRAZINGLANDS RESEARCH LABORATORY.

  Except as otherwise specifically authorized by law and 
notwithstanding 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 Laboratory, 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 [10-year period] 15-year period beginning 
on the date of enactment of this Act.

           *       *       *       *       *       *       *


PART III--NEW GRANT AND RESEARCH PROGRAMS

           *       *       *       *       *       *       *


SEC. 7522. FARM AND RANCH STRESS ASSISTANCE NETWORK.

  (a) In General.--The Secretary, in [coordination with the 
Secretary of Health and Human Services, shall make competitive 
grants to support cooperative programs between State 
cooperative extension services and nonprofit organizations] 
consultation with the Secretary of Health and Human Services, 
shall make competitive grants to State cooperative extension 
services and Indian Tribes to support programs with nonprofit 
organizations in order to establish a Farm and Ranch Stress 
Assistance Network that provides stress assistance 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 Internet websites;
          [(2) community education;]
          (2) training for individuals who may assist farmers 
        in crisis, including programs and workshops;
          (3) support groups;
          (4) outreach services and activities, including the 
        dissemination of information and materials; 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] or Indian 
tribes, as applicable, 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) Oversight and Evaluation.--The Secretary, in consultation 
with the Secretary of Health and Human Services, shall review 
and evaluate the stress assistance programs carried out 
pursuant to this section.
          (1) Program review.--Not later than 2 years after the 
        date on which a grant is first provided under this 
        section, and annually thereafter, the Secretary shall--
                  (A) review the programs funded under a grant 
                made under this section to evaluate the 
                effectiveness of the services offered through 
                such a program, and suggest alternative 
                services not offered by such a grant recipient 
                that would be appropriate for behavioral health 
                services; and
                  (B) submit to the Congress, and make 
                available on the public Internet website of the 
                Department of Agriculture, a report containing 
                the results of the review conducted under 
                subparagraph (A) and a description of the 
                services provided through programs funded under 
                such a grant.
          (2) Public availability.--In making the report under 
        paragraph (1) publicly available, the Secretary shall 
        take such steps as may be necessary to ensure that the 
        report does not contain any information that would 
        identify any person who received services under a 
        program funded under a grant made under this section.
  [(d)] (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.] fiscal years 2018 through 2023

           *       *       *       *       *       *       *


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 
        commercialization of products and agrichemicals from 
        bioactive natural products, including products from 
        plant, marine, and microbial sources;
          (2) research to characterize the botanical sources, 
        production, chemistry, and biological properties of 
        plant-derived natural 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 $7,000,000 for each 
of fiscal years 2014 through [2018] 2023.

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 technologies; 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) other appropriate Federal agencies (as 
                determined by the Secretary); 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 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 for the region composed of--
                          (i) the States of Alabama, Florida, 
                        Georgia, Kentucky, 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 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 for the region composed of--
                          (i) the States of Alaska, Arizona, 
                        California, Hawaii, Idaho, Nevada, 
                        Oregon, Utah, and Washington; 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 for the region composed of the 
                States of Connecticut, Delaware, Massachusetts, 
                Maryland, Maine, Michigan, New Hampshire, New 
                Jersey, New York, Ohio, Pennsylvania, Rhode 
                Island, Vermont, and West Virginia.
                  (F) Western insular pacific subcenter.--A 
                western insular Pacific sun grant subcenter 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 
        Secretary 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 requirements 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 integrated, multistate 
                research, extension, and education programs on 
                technology development and technology 
                implementation.
                  (C) 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 proposals through 
                                a system of peer review similar 
                                to that 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
                                  (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 consistent 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 subclauses (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-
                                Federal source.
                                  (II) Exclusion.--Subclause 
                                (I) shall not apply to 
                                fundamental 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)).
                                  (III) Reduction.--The sun 
                                grant center or subcenter may 
                                reduce or eliminate the 
                                requirement 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 necessary and 
                                appropriate pursuant to 
                                guidance issued by the 
                                Secretary.
                                  (IV) Relation to other 
                                matching fund requirement.--The 
                                matching funds requirement 
                                under section 1492 of the 
                                National Agricultural Research, 
                                Extension, and Teaching Policy 
                                Act of 1977 shall not apply in 
                                the case of a grant provided by 
                                a sun grant center or subcenter 
                                under this paragraph.
                          (v) Buildings and facilities.--Funds 
                        made available for grants 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).
                          (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 
        subcenter may use up to 4 percent of the funds 
        described in subsection (b) to pay administrative 
        expenses incurred in carrying 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
                  (B) integrated research, extension, and 
                educational programs 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, 
        the sun grant centers and subcenter shall jointly 
        develop and submit to the Secretary for approval a plan 
        for addressing the bioenergy, biomass, and bioproducts 
        research priorities of the Department of Agriculture 
        and other appropriate Federal agencies at the State and 
        regional levels.
          (2) Funding.--Funds described in subsection (c)(2) 
        shall be available to carry out planning coordination 
        under paragraph (1).
          (3) 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 
analysis 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)(C)(i); and
          (2) a description of progress made in facilitating 
        the priorities 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 [2018] 2023, of which not more 
than $4,000,000 for each fiscal year shall be made available to 
carry out subsection (e).

           *       *       *       *       *       *       *


TITLE X--HORTICULTURE AND ORGANIC AGRICULTURE

           *       *       *       *       *       *       *


Subtitle A--Horticulture Marketing and Information

           *       *       *       *       *       *       *


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--
          (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 [2018] 2023, 
to remain available until expended.

           *       *       *       *       *       *       *


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.
  (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 [2018] 2023, to remain available until expended.

           *       *       *       *       *       *       *


TITLE XI--LIVESTOCK

           *       *       *       *       *       *       *


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, controlling, 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 species specific best management practices 
                relating to activities 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 [2018] 2023.
  (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.

           *       *       *       *       *       *       *


TITLE XIV--MISCELLANEOUS

           *       *       *       *       *       *       *


Subtitle B--Agricultural Security

           *       *       *       *       *       *       *


CHAPTER 1--AGRICULTURAL SECURITY

           *       *       *       *       *       *       *


SEC. 14112. AGRICULTURAL BIOSECURITY COMMUNICATION CENTER.

  (a) Establishment.--The Secretary shall establish a 
communication 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 
        communications activities performed by the Secretary of 
        Homeland Security under any provision of law.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section--
          (1) such sums as are necessary for each of fiscal 
        years 2008 through 2013; and
          (2) $2,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

SEC. 14113. ASSISTANCE TO BUILD LOCAL CAPACITY IN AGRICULTURAL 
                    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 biosecurity planning and response for food 
        science professionals and veterinarians.
          (2) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary to carry 
        out this subsection--
                  (A) such sums as are necessary for each of 
                fiscal years 2008 through 2013; and
                  (B) $15,000,000 for each of fiscal years 2014 
                through [2018] 2023.
  (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 are 
        authorized to be appropriated to carry out this 
        subsection--
                  (A) $25,000,000 for each of fiscal years 2008 
                through 2013; and
                  (B) $15,000,000 for each of fiscal years 2014 
                through [2018] 2023.

                      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.
          (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 disease 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 are authorized to 
be appropriated to carry out this section--
          (1) $50,000,000 for each of fiscal years 2008 through 
        2013; and
          (2) $15,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

SEC. 14122. AGRICULTURAL BIOSECURITY GRANT PROGRAM.

  (a) Competitive Grant Program.--The Secretary shall establish 
a competitive grant program to promote the development of 
teaching programs in agriculture, veterinary medicine, and 
disciplines 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 academic programs that offer 
                postgraduate training for veterinarians 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 to carry out this section--
          (1) such sums as are necessary for each of fiscal 
        years 2008 through 2013, to remain available until 
        expended; and
          (2) $5,000,000 for each of fiscal years 2014 through 
        [2018] 2023, to remain available until expended.

Subtitle C--Other Miscellaneous Provisions

           *       *       *       *       *       *       *


SEC. 14208. DEPARTMENT OF AGRICULTURE CONFERENCE TRANSPARENCY.

  (a) Report.--
          (1) Requirement.--Not later than September 30 of each 
        year, the Secretary of Agriculture 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 
        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 
        contain--
                  (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 awarded a procurement contract, a 
                description of the contracting 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] $75,000; 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 
accordance 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 
``conference''--
          (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.

           *       *       *       *       *       *       *

                              ----------                              


                         ACT OF AUGUST 13, 1968

                          (Public Law 90-484)

         AN ACT To provide indemnity payments to dairy farmers.



           *       *       *       *       *       *       *
  Sec. 3. The authority granted under this Act shall expire on 
September 30, [2018] 2023.
                              ----------                              


               DAIRY PRODUCTION STABILIZATION ACT OF 1983

TITLE I--DAIRY

           *       *       *       *       *       *       *


Subtitle B--Dairy Promotion Program

           *       *       *       *       *       *       *


                        required terms in orders

  Sec. 113. Any order issued under this subtitle shall contain 
terms and conditions as follows:
  (a) The order shall provide for the establishment and 
administration of appropriate plans or projects for 
advertisement and promotion of the sale and consumption of 
dairy products, for research projects related thereto, for 
nutrition education projects, and for the disbursement of 
necessary funds for such purposes. Any such plan or project 
shall be directed toward the sale and marketing or use of dairy 
products to the end that the marketing and use of dairy 
products may be encouraged, expanded, improved, or made more 
acceptable. No such advertising or sales promotion program 
shall make use of unfair or deceptive acts or practices with 
respect to the quality, value, or use of any competing product.
  (b) National Dairy Promotion and Research Board.--
          (1) The order shall provide for the establishment and 
        appointment by the Secretary of a National Dairy 
        Promotion and Research Board that shall consist of not 
        less than thirty-six members.
          (2) Except as provided in paragraph (6), the members 
        of the Board shall be milk producers appointed by the 
        Secretary from nominations submitted by eligible 
        organizations certified under section 114 of this 
        subtitle, or, if the Secretary determines that a 
        substantial number of milk producers are not members 
        of, or their interests are not represented by, any such 
        eligible organization, then from nominations made by 
        such milk producers in the manner authorized by the 
        Secretary.
          (3) In making such appointments, the Secretary shall 
        take into account, to the extent practicable, the 
        geographical distribution of milk production volume 
        throughout the United States.
          (4) In determining geographic representation, whole 
        States shall be considered as a unit.
          (5) A region may be represented by more than one 
        director and a region may be made up of more than one 
        State.
          (6) Importers.--
                  (A) Initial representation.--In making 
                initial appointments to the Board of importer 
                representatives, the Secretary shall appoint 2 
                members who represent importers of dairy 
                products and are subject to assessments under 
                the order.
                  (B) Subsequent representation.--At least once 
                every 3 years after the initial appointment of 
                importer representatives under subparagraph 
                (A), the Secretary shall review the average 
                volume of domestic production of dairy products 
                compared to the average volume of imports of 
                dairy products into the United States during 
                the previous 3 years and, on the basis of that 
                review, shall reapportion importer 
                representation on the Board to reflect the 
                proportional share of the United States market 
                by domestic production and imported dairy 
                products.
                  (C) Additional members; nominations.--The 
                members appointed under this paragraph--
                          (i) shall be in addition to the total 
                        number of members appointed under 
                        paragraph (2); and
                          (ii) shall be appointed from 
                        nominations submitted by importers 
                        under such procedures as the Secretary 
                        determines to be appropriate.
          (7) The term of appointment to the Board shall be for 
        three years with no member serving more than two 
        consecutive terms, except that initial appointments 
        shall be proportionately for one-year, two-year, and 
        three-year terms.
          (8) The Board shall appoint from its members an 
        executive committee whose membership shall equally 
        reflect each of the different regions in the United 
        States in which milk is produced as well as importers 
        of dairy products.
          (9) The executive committee shall have such duties 
        and powers as are conferred upon it by the Board.
Board members shall serve without compensation, but shall be 
reimbursed for their reasonable expenses incurred in performing 
their duties as members of the Board including a per diem 
allowance as recommended by the Board and approved by the 
Secretary.
  (c) The order shall define the powers and duties of the Board 
that shall include only the powers enumerated in this section. 
These shall include, in addition to the powers set forth 
elsewhere in this section, the powers to (1) receive and 
evaluate, or on its own initiative develop, and budget for 
plans or projects to promote the use of fluid milk and dairy 
products as well as projects for research and nutrition 
education and to make recommendations to the Secretary 
regarding such proposals, (2) administer the order in 
accordance with its terms and provisions, (3) make rules and 
regulations to effectuate the terms and provisions of the 
order, (4) receive, investigate, and report to the Secretary 
complaints of violations of the order, and (5) recommend to the 
Secretary amendments to the order. The Board shall solicit, 
among others, research proposals that would increase the use of 
fluid milk and dairy products by the military and by persons in 
developing nations, and that would demonstrate the feasibility 
of converting surplus nonfat dry milk to casein for domestic 
and export use.
  (d) The order shall provide that the Board shall develop and 
submit to the Secretary for approval any promotion, research, 
or nutrition education plan or project and that any such plan 
or project must be approved by the Secretary before becoming 
effective.
  (e) Budgets.--
          (1) Preparation and submission.--The order shall 
        require the Board to submit to the Secretary for 
        approval budgets on a fiscal period basis of its 
        anticipated expenses and disbursements in the 
        administration of the order, including projected costs 
        of dairy products promotion and research projects.
          (2) Foreign market efforts.--The order shall 
        authorize the Board to expend in the maintenance and 
        expansion of foreign markets an amount not to exceed 
        the amount collected from United States producers for a 
        fiscal year. Of those funds, for each of the 2002 
        through [2018] 2023 fiscal years, the Board's budget 
        may provide for the expenditure of revenues available 
        to the Board to develop international markets for, and 
        to promote within such markets, the consumption of 
        dairy products produced or manufactured in the United 
        States.
  (f) The order shall provide that the Board, with the approval 
of the Secretary, may enter into agreements for the 
development, and conduct of the activities authorized under the 
order as specified in subsection (a) and for the payment of the 
cost thereof with funds collected through assessments under the 
order. Any such agreement shall provide that (1) the 
contracting party shall develop and submit to the Board a plan 
or project together with a budget or budgets that shall show 
estimated costs to be incurred for such plan or project, (2) 
the plan or project shall become effective upon the approval of 
the Secretary, and (3) the contracting party shall keep 
accurate records of all of its transactions, account for funds 
received and expended, and made periodic reports to the Board 
of activities conducted, and such other reports as the 
Secretary or the Board may require.
  (g) Assessments.--
          (1) The order shall provide that each person making 
        payment to a producer for milk produced in the United 
        States and purchased from the producer shall, in the 
        manner as prescribed by the order, collect an 
        assessment based upon the number of hundredweights of 
        milk for commercial use handled for the account of the 
        producer and remit the assessment to the Board.
          (2) The assessment shall be used for payment of the 
        expenses in administering the order, with provision for 
        a reasonable reserve, and shall include those 
        administrative costs incurred by the Department after 
        an order has been promulgated under this subtitle.
          (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 
                Secretary.
                  (B) Imported dairy products.--The rate of 
                assessment for imported dairy products 
                prescribed by the order shall be 7.5 cents per 
                hundredweight of milk for commercial use or the 
                equivalent thereof, as determined by the 
                Secretary.
          (4) A milk producer or the producer's cooperative who 
        can establish that the producer is participating in 
        active, ongoing qualified State or regional dairy 
        product promotion or nutrition education programs 
        intended to increase consumption of milk and dairy 
        products generally shall receive credit in determining 
        the assessment due from such producer for contributions 
        to such programs of up to 10 cents per hundredweight of 
        milk marketed or, for the period ending six months 
        after the date of enactment of this Act, up to the 
        aggregate rate in effect on the date of enactment of 
        this Act of such contributions to such programs (but 
        not to exceed 15 cents per hundredweight of milk 
        marketed) if such aggregate rate exceeds 10 cents per 
        hundredweight of milk marketed.
          (5) Any person marketing milk of that person's own 
        production directly to consumers shall remit the 
        assessment directly to the Board in the manner 
        prescribed by the order.
          (6) Importers.--
                  (A) In general.--The order shall provide that 
                each importer of imported dairy products shall 
                pay an assessment to the Board in the manner 
                prescribed by the order.
                  (B) Use of assessments on imported dairy 
                products.--Assessments collected on imported 
                dairy products shall not be used for foreign 
                market promotion.
          (7) Refund of assessments on certain imported 
        products.--
                  (A) In general.--An importer shall be 
                entitled to a refund of any assessment paid 
                under this subsection on imported dairy 
                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.
  (h) The order shall require the Board to (1) maintain such 
books and records (which shall be available to the Secretary 
for inspection and audit) as the Secretary may prescribe, (2) 
prepare and submit to the Secretary, from time to time, such 
reports as the Secretary may prescribe, and (3) account for the 
receipt and disbursement of all funds entrusted to it.
  (i) The order shall provide that the Board, with the approval 
of the Secretary, may invest, pending disbursement under a plan 
or project, funds collected through assessments authorized 
under this subtitle only in obligations of the United States or 
any agency thereof, in general obligations of any State or any 
political subdivision thereof, in any interest-bearing account 
or certificate of deposit of a bank that is a member of the 
Federal Reserve System, or in obligations fully guaranteed as 
to principal and interest by the United States.
  (j) The order shall prohibit any funds collected by the Board 
under the order from being used in any manner for the purpose 
of influencing governmental policy or action except as provided 
by subsection (c)(5).
  (k) The order shall require that each importer of imported 
dairy products, each person receiving milk from farmers for 
commercial use, and any person marketing milk of that person's 
own production directly to consumers, maintain and make 
available for inspection such books and records as may be 
required by the order and file reports at the time, in the 
manner, and having the content prescribed by the order. Such 
information shall be made available to the Secretary as is 
appropriate to the administration or enforcement of this 
subtitle, or any order or regulation issued under this 
subtitle. All information so obtained shall be kept 
confidential by all officers and employees of the Department, 
and only such information so obtained as the Secretary deems 
relevant may be disclosed by them and then only in a suit or 
administrative hearing brought at the request of the Secretary, 
or to which the Secretary or any officer of the United States 
is a party, and involving the order with reference to which the 
information to be disclosed was obtained. Nothing in this 
subsection may be deemed to prohibit (1) the issuance of 
general statements, based upon the reports, of the number of 
persons subject to an order or statistical data collected 
therefrom, which statements do not identify the information 
furnished by any person, or (2) the publication, by direction 
of the Secretary, of the name of any person violating any 
order, together with a statement of the particular provisions 
of the order violated by such person. No information obtained 
under the authority of this subtitle may be made available to 
any agency or officer of the Federal Government for any purpose 
other than the implementation of this subtitle and any 
investigatory or enforcement action necessary for the 
implementation of this subtitle. Any person violating the 
provisions of this subsection shall, upon conviction, be 
subject to a fine of not more than $1,000, or to imprisonment 
for not more than one year, or both, and, if an officer or 
employee of the Board or the Department, shall be removed from 
office.
  (l) The order shall provide terms and conditions, not 
inconsistent with the provisions of this subtitle, as necessary 
to effectuate the provisions of the order.

           *       *       *       *       *       *       *

                              ----------                              


                        AGRICULTURAL ACT OF 1949



           *       *       *       *       *       *       *
         TITLE II--DESIGNATED NONBASIC AGRICULTURAL COMMODITIES

  Sec. 201. (a) The Secretary is authorized and directed to 
make available (without regard to the provisions of title III) 
price support to producers for oilseeds (including soybeans, 
sunflower seed, canola, rapeseed, safflower, flaxseed, mustard 
seed, crambe, cottonseed, sesame seed, and such other oilseeds 
as the Secretary may determine), honey, dry peas, lentils, 
small chickpeas, large chickpeas, graded wool, nongraded wool, 
mohair, peanuts, milk, sugar beets, and sugarcane [in 
accordance with this title] consistent with the percentage 
levels of support provided under subsection (c), except as 
otherwise provided for under subsection (b).
=======================================================================

  (b) The price of honey shall be supported through loans, 
purchases, or other operations at a level not in excess of 90 
per centum nor less than 60 per centum of the parity price 
thereof; and the price of tung nuts for each crop of tung nuts 
through the 1976 crop shall be supported through loans, 
purchases, or other operations at a level not in excess of 90 
per centum nor less than 60 per centum of the parity price 
therefor: Provided, That in any crop year through the 1976 crop 
year in which the Secretary determines that the domestic 
production of tung oil will be less than the anticipated 
domestic demand for such oil, the price of tung nuts shall be 
supported at not less than 65 per centum of the parity price 
therefor.
  (c) Except as provided in section 204, the price of milk 
shall be supported at such level not in excess of 90 per centum 
nor less than 75 per centum of the parity price therefor as the 
Secretary determines necessary in order to assure an adequate 
supply of pure and wholesome milk to meet current needs, 
reflect changes in the cost of production, and assure a level 
of farm income adequate to maintain productive capacity 
sufficient to meet anticipated future needs. Such price support 
shall be provided through purchases of milk and the products of 
milk.
  (d) [subsections (d) through (l) omitted.]

           *       *       *       *       *       *       *

                              ----------                              


                       FOOD SECURITY ACT OF 1985



           *       *       *       *       *       *       *
                 TITLE X--GENERAL COMMODITY PROVISIONS

SEC. 1001. PAYMENT LIMITATIONS.

  (a) Definitions.--In this section through section 1001F:
          (1) Covered commodity.--The term ``covered 
        commodity'' has the meaning given that term in [section 
        1001 of the Food, Conservation, and Energy Act of 2008] 
        section 1111 of the Agriculture and Nutrition Act of 
        2018.
          (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, 
        first cousin, niece, nephew, spouse, or otherwise 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.
          (5) Qualified pass through entity.--The term 
        ``qualified pass through entity'' means a partnership 
        (within the meaning of subchapter K of chapter 1 of the 
        Internal Revenue Code of 1986 and including a limited 
        liability company that does not affirmatively elect to 
        be treated as a corporation), an S corporation (as 
        defined in section 1361 of such Code), or a joint 
        venture.
          [(5)] (6) Secretary.--The term ``Secretary'' means 
        the Secretary of Agriculture.
  (b) Limitation on Payments for Covered Commodities (other 
than Peanuts).--The total amount of payments received, directly 
or indirectly, by a person or legal [entity (except a joint 
venture or general partnership) for any crop year under 
sections 1116 and 1117 and as marketing loan gains or loan 
deficiency payments under subtitle B of title I of the 
Agricultural Act of 2014] entity (except a qualified pass 
through entity) for any crop year under sections 1116 and 1117 
of the Agriculture and Nutrition Act of 2018 (other than for 
peanuts) may not exceed $125,000.
  (c) Limitation on Payments for Peanuts.--The total amount of 
payments received, directly or indirectly, by a person or legal 
[entity (except a joint venture or general partnership) for any 
crop year under sections 1116 and 1117 and as marketing loan 
gains or loan deficiency payments under subtitle B of title I 
of the Agricultural Act of 2014] entity (except a qualified 
pass through entity) for any crop year under sections 1116 and 
1117 of the Agriculture and Nutrition Act of 2018 for peanuts 
may not exceed $125,000.
  (d) Limitation on Applicability.--Nothing in this section 
authorizes any limitation on any benefit [associated with the 
forfeiture of a commodity pledged as collateral for a loan made 
available under subtitle B of title I of the Agricultural Act 
of 2014or title I of the Agricultural Act of 2014.] associated 
with subtitle B of title I of the Agriculture and Nutrition Act 
of 2018.
  (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] qualified 
                        pass through entities.--Payments made 
                        to a [joint venture or a general 
                        partnership] qualified pass through 
                        entity shall not exceed, for each 
                        payment 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] qualified 
                        pass through entities) that comprise 
                        the ownership of the [joint venture or 
                        general partnership] qualified pass 
                        through entity.
                          (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 
        entities.--
                  (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 or in part by a person shall 
                be attributed to the person in an amount that 
                represents the direct ownership in the first-
                tier legal entity by the person.
                  (C) Second level.--
                          (i) In general.--Any payments made to 
                        a first-tier legal entity that is owned 
                        (in whole or in part) by another legal 
                        entity (a second-tier legal entity) 
                        shall be attributed to the second-tier 
                        legal entity in proportion to the 
                        ownership of the second-tier legal 
                        entity in the first-tier legal entity.
                          (ii) Ownership by a person.--If the 
                        second-tier legal entity is owned (in 
                        whole or in part) by a person, the 
                        amount 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 
                regulations 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 association 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 considered an irrevocable trust, 
                        the terms of the trust agreement shall 
                        not--
                                  (I) allow for modification or 
                                termination of the trust by the 
                                grantor;
                                  (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 beginning 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 section 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 
                subsection (b) or (c) only if the tenant makes 
                a significant contribution of equipment to the 
                farming operation.
          (5) Federal agencies.--
                  (A) In general.--Notwithstanding 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, title I of the Agricultural Act of 
                2014, [or title XII] title I of the Agriculture 
                and Nutrition Act of 2018, or title XII of this 
                Act.
                  (B) Land rental.--A lessee of land owned by a 
                Federal 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 government, or political 
                subdivision or agency of the government, shall 
                not be eligible to receive any payment, 
                benefit, or loan under title I of the Food, 
                Conservation, and Energy Act of 2008, title I 
                of the Agricultural Act of 2014, [or title XII] 
                title I of the Agriculture and Nutrition Act of 
                2018, 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 subsections (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 
                under this section are applied unless the 
                Secretary determines that the change is bona 
                fide and substantive.
                  (B) Family members.--The addition of a family 
                member to a farming operation under the 
                criteria set out in section 1001A shall be 
                considered a bona fide and substantive change 
                in the farming operation.
          (8) Death of owner.--
                  (A) In general.--If any ownership 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 
                contract 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.
          (9) Administration of reduction.--The Secretary shall 
        apply any order described in section 1614(d)(1) of the 
        Agricultural Act of 2014 (7 U.S.C. 9097(d)(1)) to 
        payments under sections 1116 and 1117 of the 
        Agriculture and Nutrition Act of 2018 prior to applying 
        payment limitations under this section.
  (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 governments 
                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.''.
  (h) Time Limits; Reliance.--Regulations of the Secretary 
shall establish time limits for the various steps involved with 
notice, hearing, decision, and the appeals procedure in order 
to ensure expeditious handling and settlement of payment 
limitation disputes. Notwithstanding any other provision of 
law, actions taken by an individual or other entity in good 
faith on action or advice of an authorized representative of 
the Secretary may be accepted as meeting the requirement under 
this section or section 1001A, to the extent the Secretary 
deems it desirable in order to provide fair and equitable 
treatment.

           *       *       *       *       *       *       *


SEC. 1001C. FOREIGN PERSONS MADE INELIGIBLE FOR PROGRAM BENEFITS.

  Notwithstanding any other provision of law:
  (a) In General.--Any person who is not a citizen of the 
United States or an alien lawfully admitted into the United 
States for permanent residence under the Immigration and 
Nationality Act (8 U.S.C. 1101 et seq.) shall be ineligible to 
receive any type of loans or payments made available under 
title I of the Food, Conservation, and Energy Act of 2008, 
title I of the Agricultural Act of 2014, title I of the 
Agriculture and Nutrition Act of 2018, the Agricultural Market 
Transition Act, the Commodity Credit Corporation Charter Act 
(15 U.S.C. 714 et seq.), or subtitle D of title XII of the Food 
Security Act of 1985 (16 U.S.C. 3831 et seq.), or under any 
contract entered into under title XII, with respect to any 
commodity produced, or land set aside from production, on a 
farm that is owned or operated by such person, unless such 
person is an individual who is providing land, capital, and a 
substantial amount of personal labor in the production of crops 
on such farm.
  (b) Corporation or Other Entities.--For purposes of 
subsection (a), a corporation or other entity shall be 
considered a person that is ineligible for production 
adjustment payments, price support program loans, payments, or 
benefits if more than 10 percent of the beneficial ownership of 
the entity is held by persons who are not citizens of the 
United States or aliens lawfully admitted into the United 
States for permanent residence under the Immigration and 
Nationality Act, unless such persons provide a substantial 
amount of personal labor in the production of crops on such 
farm. Notwithstanding the foregoing provisions of this 
subsection, with respect to an entity that is determined to be 
ineligible to receive such payments, loans, or other benefits, 
the Secretary may make payments, loans, and other benefits in 
an amount determined by the Secretary to be representative of 
the percentage interests of the entity that is owned by 
citizens of the United States and aliens lawfully admitted into 
the United States for permanent residence under the Immigration 
and Nationality Act.
  (c) Prospective Application.--No person shall become 
ineligible under this section for production adjustment 
payments, price support program loans, payments or benefits as 
the result of the production of a crop of an agricultural 
commodity planted, or commodity program or conservation reserve 
contract entered into, before, the date of the enactment of 
this section.

SEC. 1001D. ADJUSTED GROSS INCOME LIMITATION.

  (a) Definitions.--
          (1) Average adjusted gross income.--In this section, 
        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.
          (2) Special rules for certain persons and legal 
        entities.--In the case of a legal entity that is not 
        required to file a Federal income tax 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 paragraph (1), the Secretary shall 
        provide, by regulation, a method for determining the 
        average adjusted gross 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 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 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 information supporting the filed joint tax 
                return.
  (b) Limitations on Commodity and Conservation Programs.--
          (1) Limitation.--Notwithstanding any other provision 
        of law, subject to paragraph (3), a person or legal 
        entity shall not be eligible to receive any benefit 
        described in paragraph (2) during a crop, fiscal, or 
        program year, as appropriate, if the average adjusted 
        gross income of the person or legal entity exceeds 
        $900,000.
          (2) Covered benefits.--Paragraph (1) applies with 
        respect to the following:
                  (A) A payment or benefit under subtitle A or 
                E of [title I of the Agricultural Act of 2014] 
                title I of the Agricultural and Nutrition Act 
                of 2018.
                  [(B) A marketing loan gain or loan deficiency 
                payment under subtitle B of title I of the 
                Agricultural Act of 2014.
                  [(C) Starting with fiscal year 2015, a] (B) A 
                payment or benefit under title II of the 
                Agriculture and Nutrition Act of 2018, title II 
                of the Agricultural Act of 2014, title II of 
                the Farm Security and Rural Investment Act of 
                2002, title II of the Food, Conservation, and 
                Energy Act of 2008, or title XII of the Food 
                Security Act of 1985.
                  [(D) A payment or benefit under section 
                524(b) of the Federal Crop Insurance Act (7 
                U.S.C. 1524(b)).
                  [(E)] (C) A payment or benefit under section 
                196 of the Federal Agriculture Improvement and 
                Reform Act of 1996 (7 U.S.C. 7333).
          (3) Exceptions.--
                  (A) Exception for qualified pass through 
                entities.--Paragraph (1) shall not apply with 
                respect to a qualified pass through entity (as 
                such term is defined in section 1001(a)(5)).
                  (B) Waiver.--The Secretary may waive the 
                limitation established by paragraph (1) with 
                respect to a payment pursuant to a covered 
                benefit described in paragraph (2)(B), on a 
                case-by-case basis, if the Secretary determines 
                that environmentally sensitive land of special 
                significance would be protected as a result of 
                such waiver.
  (c) 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 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 of the person 
                or legal entity through other procedures 
                established by the Secretary.
          (2) Denial of program benefits.--If the Secretary 
        determines that a person or legal entity has failed to 
        comply with this section, the Secretary shall deny the 
        issuance of applicable payments and benefits specified 
        in subsection (b)(2) 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 determines are most 
        likely to exceed the limitations under subsection (b).
  (d) Commensurate Reduction.--In the case of a payment or 
benefit described in subsection (b)(2) 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 in excess of the applicable 
limitation specified in subsection (b).

           *       *       *       *       *       *       *


                            TITLE XI--TRADE

     Subtitle A--Public Law 480 and Use of Surplus Commodities in 
International Programs

           *       *       *       *       *       *       *


                           FOOD FOR PROGRESS

  Sec. 1110. (a) This section may be cited as the ``Food for 
Progress Act of 1985''.
  (b) Definitions.--In this section:
          (1) Cooperative.--The term ``cooperative'' has the 
        meaning given the term in section 402 of the Food for 
        Peace Act (7 U.S.C. 1732).
          (2) Corporation.--The term ``Corporation'' means the 
        Commodity Credit Corporation.
          (3) Developing country.--The term ``developing 
        country'' has the meaning given the term in section 402 
        of the Food for Peace Act (7 U.S.C. 1732).
          (4) Eligible commodity.--The term ``eligible 
        commodity'' means an agricultural commodity, or a 
        product of an agricultural commodity, in inventories of 
        the Corporation or acquired by the President or the 
        Corporation for disposition through commercial 
        purchases under a program authorized under this 
        section.
          (5) Eligible entity.--The term ``eligible entity'' 
        means--
                  (A) the government of an emerging 
                agricultural country;
                  (B) an intergovernmental organization;
                  (C) a private voluntary organization;
                  (D) a nonprofit agricultural organization or 
                cooperative;
                  (E) a nongovernmental organization; [and]
                  (F) a college or university (as such terms 
                are defined in section 1404(4) of the Food and 
                Agriculture Act of 1977 (7 U.S.C. 3103(4)); and
                  [(F)] (G) any other private entity.
          (6) Food security.--The term ``food security'' means 
        access by all people at all times to sufficient food 
        and nutrition for a healthy and productive life.
          (7) Nongovernmental organization.--The term 
        ``nongovernmental organization'' has the meaning given 
        the term in section 402 of the Food for Peace Act (7 
        U.S.C. 1732).
          (8) Private voluntary organization.--The term 
        ``private voluntary organization'' has the meaning 
        given the term in section 402 of the Food for Peace Act 
        (7 U.S.C. 1732).
          (9) Program.--The term ``program'' means a food 
        assistance or development initiative proposed by an 
        eligible entity and approved by the President under 
        this section.
  (c) Program.--In order to use the food resources of the 
United States more effectively in support of developing 
countries, and countries that are emerging democracies that 
have made commitments to introduce or expand free enterprise 
elements in their agricultural economies through changes in 
commodity pricing, marketing, input availability, distribution, 
and private sector involvement, the President shall enter into 
agreements with eligible entities to furnish to the countries 
eligible commodities made available under subsections (e) and 
(f).
  (d) Consideration for Agreements.--In determining whether to 
enter into an agreement under this section, the President shall 
consider whether a potential recipient country is committed to 
carry out, or is carrying out, policies that promote economic 
freedom, private, domestic production of eligible commodities 
for domestic consumption, and the creation and expansion of 
efficient domestic markets for the purchase and sale of such 
eligible commodities. Such policies may provide for, among 
other things--
          (1) access, on the part of farmers in the country, to 
        private, competitive markets for their products;
          (2) market pricing of eligible commodities to foster 
        adequate private sector incentives to individual 
        farmers to produce food on a regular basis for the 
        country's domestic needs;
          (3) establishment of market-determined foreign 
        exchange rates;
          (4) timely availability of production inputs (such as 
        seed, fertilizer, or pesticides) to farmers;
          (5) access to technologies appropriate to the level 
        of agricultural development in the country; and
          (6) construction of facilities and distribution 
        systems necessary to handle perishable products.
  (e) Funding of Eligible Commodities.--(1) The Corporation 
shall make available to the President such eligible commodities 
as the President may request for purposes of furnishing 
eligible commodities under this section.
  (2) Notwithstanding any other provision of law, the 
Corporation may use funds appropriated to carry out title I of 
the Food for Peace Act in carrying out this section with 
respect to eligible commodities made available under that Act, 
and subsection (g) does not apply to eligible commodities 
furnished on a grant basis or on credit terms under that title.
  (3) The Corporation may finance the sale and exportation of 
eligible commodities, made available under the Food for Peace 
Act, which are furnished under this section. Payment for 
eligible commodities made available under that Act which are 
purchased on credit terms under this section shall be on the 
same basis as the terms provided in section 106 of that Act.
  (4) In the case of eligible commodities made available under 
the Food for Peace Act for purposes of this section, section 
406 of that Act shall apply to eligible commodities furnished 
on a grant basis under this section and sections 402, 403(a), 
403(c), and 403(i) of that Act shall apply to all eligible 
commodities furnished under this section.
          (5) No effect on domestic programs.--The President 
        shall not make an eligible commodity available for 
        disposition under this section in any amount that will 
        reduce the amount of the eligible commodity that is 
        traditionally made available through donations to 
        domestic feeding programs or agencies, as determined by 
        the President.
  (f) Provision of Eligible Commodities to Developing 
Countries.--(1) The Corporation may provide for--
          (A) grants, or
          (B) sales on credit terms,
of eligible commodities made available under section 416(b) of 
the Agricultural Act of 1949 for use in carrying out this 
section.
  (2) In carrying out section 416(b) of the Agricultural Act of 
1949, the Corporation may purchase eligible commodities for use 
under this section if--
          (A) the Corporation does not hold stocks of such 
        eligible commodities; or
          (B) Corporation stocks are insufficient to satisfy 
        commitments made in agreements entered into under this 
        section and such eligible commodities are needed to 
        fulfill such commitments.
  (3) No funds of the Corporation in excess of $40,000,000 
(exclusive of the cost of eligible commodities) may be used for 
each of fiscal years 1996 through [2018] 2023 to carry out this 
section with respect to eligible commodities made available 
under section 416(b) of the Agricultural Act of 1949 unless 
authorized in advance in appropriation Acts.
  (4) The cost of eligible commodities made available under 
section 416(b) of the Agricultural Act of 1949 which are 
furnished under this section, and the expenses incurred in 
connection with furnishing such eligible commodities, shall be 
in addition to the level of assistance programmed under the 
Food for Peace Act and may not be considered expenditures for 
international affairs and finance.
          (5) Sale procedure.--In making sales of eligible 
        commodities under this section, the Secretary shall 
        follow the sale procedure described in section 403(l) 
        of the Food for Peace Act.
  (g) Minimum Tonnage.--Subject to subsection (f)(3), not less 
than 400,000 metric tons of eligible commodities may be 
provided under this section for the program for each of fiscal 
years 2002 through [2018] 2023.
  (h) Prohibition on Resale or Transshipment of Eligible 
Commodities.--An agreement entered into under this section 
shall prohibit the resale or transshipment of the eligible 
commodities provided under the agreement to other countries.
  (i) Displacement of United States Commercial Sales.--In 
entering into agreements under this section, the President 
shall take reasonable steps to avoid displacement of any sales 
of United States commodities that would otherwise be made to 
such countries.
  (j) Multicountry or Multiyear Basis.--
          (1) In general.--In carrying out this section, the 
        President, on request and subject to the availability 
        of eligible commodities, is encouraged to approve 
        agreements that provide for eligible commodities to be 
        made available for distribution or sale by the 
        recipient on a multicountry or multiyear basis if the 
        agreements otherwise meet the requirements of this 
        section.
          (2) Deadline for program announcements.--Before the 
        beginning of any fiscal year, the President shall, to 
        the maximum extent practicable--
                  (A) make all determinations concerning 
                program agreements and resource requests for 
                programs under this section; and
                  (B) announce those determinations.
          (3) Report.--Not later than December 1 of each fiscal 
        year, the President shall submit to the Committee on 
        Agriculture of the House of Representatives and the 
        Committee on Agriculture, Nutrition, and Forestry of 
        the Senate a list of programs, countries, and eligible 
        commodities, and the total amount of funds for 
        transportation and administrative costs, approved to 
        date for the fiscal year under this section.
  (k) Effective and Termination Dates.--This section shall be 
effective during the period beginning October 1, 1985, and 
ending December 31, [2018] 2023.
  (l) Administrative Expenses.--(1) To enhance the development 
of private sector agriculture in countries receiving assistance 
under this section the President may, in each of the fiscal 
years 1996 through [2018] 2023, use in addition to any amounts 
or eligible commodities otherwise made available under this 
section for such activities, not to exceed $15,000,000 (or, in 
the case of fiscal year 1999, $12,000,000) of Corporation funds 
(or eligible commodities of an equal value owned by the 
Corporation), to provide assistance in the administration, 
sale, and monitoring of food assistance programs, and to 
provide technical assistance for monetization programs, to 
strengthen private sector agriculture in recipient countries.
  (2) To carry out this subsection, the President may provide 
eligible commodities under agreements entered into under this 
section in a manner that uses the commodity transaction as a 
means of developing in the recipient countries a competitive 
private sector that can provide for the importation, 
transportation, storage, marketing and distribution of such 
eligible commodities.
  (3) The President may use the assistance provided under this 
subsection and proceeds derived from the sale of eligible 
commodities under paragraph (2) to design, monitor, and 
administer activities undertaken with such assistance, for the 
purpose of strengthening or creating the capacity of recipient 
country private enterprises to undertake commercial 
transactions, with the overall goal of increasing potential 
markets for United States agricultural eligible commodities.
          (4) Humanitarian or development purposes.--The 
        Secretary may authorize the use of proceeds to pay the 
        costs incurred by an eligible entity under this section 
        for--
                  (A)(i) programs targeted at hunger and 
                malnutrition; or
                  (ii) development programs involving food 
                security;
                  (B) transportation, storage, and distribution 
                of eligible commodities provided under this 
                section; and
                  (C) administration, sales, monitoring, and 
                technical assistance.
  (m) Presidential Approval.--In carrying out this section, the 
President shall approve, as determined appropriate by the 
President, agreements with agricultural trade organizations, 
intergovernmental organizations, private voluntary 
organizations, and cooperatives that provide for--
          (1) the sale of eligible commodities, including the 
        marketing of these eligible commodities through the 
        private sector; and
          (2) the use of the proceeds generated in the 
        humanitarian and development programs of such 
        agricultural trade organizations, intergovernmental 
        organizations, private voluntary organizations, and 
        cooperatives.
  (n) Program management.--
          (1) In general.--The President shall ensure, to the 
        maximum extent practicable, that each eligible entity 
        participating in 1 or more programs under this 
        section--
                  (A) uses eligible commodities made available 
                under this section--
                          (i) in an effective manner;
                          (ii) in the areas of greatest need; 
                        and
                          (iii) in a manner that promotes the 
                        purposes of this section;
                  (B) in using eligible commodities, assesses 
                and takes into account the needs of recipient 
                countries and the target populations of the 
                recipient countries;
                  (C) works with recipient countries, and 
                indigenous institutions or groups in recipient 
                countries, to design and carry out mutually 
                acceptable programs authorized under this 
                section; and
                  (D) monitors and reports on the distribution 
                or sale of eligible commodities provided under 
                this section using methods that, as determined 
                by the President, facilitate accurate and 
                timely reporting.
          (2) Requirements.--
                  (A) In general.--Not later than 270 days 
                after the date of enactment of this paragraph, 
                the President shall review and, as necessary, 
                make changes in regulations and internal 
                procedures designed to streamline, improve, and 
                clarify the application, approval, and 
                implementation processes pertaining to 
                agreements under this section.
                  (B) Considerations.--In conducting the 
                review, the President shall consider--
                          (i) revising procedures for 
                        submitting proposals;
                          (ii) developing criteria for program 
                        approval that separately address the 
                        objectives of the program;
                          (iii) pre-screening organizations and 
                        proposals to ensure that the minimum 
                        qualifications are met;
                          (iv) implementing e-government 
                        initiatives and otherwise improving the 
                        efficiency of the proposal submission 
                        and approval processes;
                          (v) upgrading information management 
                        systems;
                          (vi) improving commodity and 
                        transportation procurement processes; 
                        and
                          (vii) ensuring that evaluation and 
                        monitoring methods are sufficient.
                  (C) Consultations.--Not later than 1 year 
                after the date of enactment of this paragraph, 
                the President shall consult with the Committee 
                on Agriculture, and the Committee on 
                International Relations, of the House of 
                Representatives and the Committee on 
                Agriculture, Nutrition, and Forestry of the 
                Senate on changes made in regulations and 
                procedures.
          (3) Reports.--Each eligible entity that enters into 
        an agreement under this section shall submit to the 
        President, at such time as the President may request, a 
        report containing such information as the President may 
        request relating to the use of eligible commodities and 
        funds furnished to the eligible entity under this 
        section.
  (o) Private Voluntary Organizations and Other Private 
Entities.--In entering into agreements described in subsection 
(c), the President (acting through the Secretary)--
          (1) shall enter into agreements with eligible 
        entities described in subparagraphs (C) and [(F)] (G) 
        of subsection (b)(5); and
          (2) shall not discriminate against such eligible 
        entities.

           *       *       *       *       *       *       *


TITLE XII--CONSERVATION

           *       *       *       *       *       *       *


                    Subtitle C--Wetland Conservation

SEC. 1221. PROGRAM INELIGIBILITY.

  (a) Production on Converted Wetland.--Except as provided in 
this subtitle and notwithstanding any other provision of law, 
any person who in any crop year produces an agricultural 
commodity on converted wetland, as determined by the Secretary, 
shall be--
          (1) in violation of this section; and
          (2) ineligible for loans or payments in an amount 
        determined by the Secretary to be proportionate to the 
        severity of the violation.
  (b) Ineligibility for Certain Loans and Payments.--If a 
person is determined to have committed a violation under 
subsection (a) during a crop year, the Secretary shall 
determine which of, and the amount of, the following loans and 
payments for which the person shall be ineligible:
          (1) Contract payments under a production flexibility 
        contract, marketing assistance loans, and any type of 
        price support or payment made available under the 
        Agricultural Market Transition Act, the Commodity 
        Credit Corporation Charter Act (15 U.S.C. 714 et seq.), 
        or any other Act.
          (2) A loan made or guaranteed under the Consolidated 
        Farm and Rural Development Act (7 U.S.C. 1921 et seq.) 
        or any other provision of law administered by the 
        Consolidated Farm Service Agency, if the Secretary 
        determines that the proceeds of the loan will be used 
        for a purpose that will contribute to conversion of a 
        wetland (other than as provided in this subtitle) to 
        produce an agricultural commodity.
          (3) During the crop year:
                  (A) A payment made pursuant to a contract 
                entered into under the environmental quality 
                incentives program under chapter 4 of subtitle 
                D.
                  (B) A payment under any other provision of 
                subtitle D.
                  (C) A payment under section 401 or 402 of the 
                Agricultural Credit Act of 1978 (16 U.S.C. 2201 
                and 2202).
                  (D) A payment, loan, or other assistance 
                under section 3 or 8 of the Watershed 
                Protection and Flood Prevention Act (16 U.S.C. 
                1003 and 1006a).
  (c) Ineligibility for Crop Insurance Premium Assistance.--
          (1) Requirements.--
                  (A) In general.--If a person is determined to 
                have committed a violation under subsection (a) 
                or (d) during a crop year, the person shall be 
                ineligible to receive any payment of any 
                portion of premium paid by the Federal Crop 
                Insurance Corporation for a plan or policy of 
                insurance under the Federal Crop Insurance Act 
                (7 U.S.C. 1501 et seq.) pursuant to this 
                subsection.
                  (B) Applicability.--Ineligibility under this 
                subsection shall--
                          (i) only apply to reinsurance years 
                        subsequent to the date of a final 
                        determination of a violation, including 
                        all administrative appeals; and
                          (ii) not apply to the existing 
                        reinsurance year or any reinsurance 
                        year prior to the date of the final 
                        determination.
          (2) Conversions.--
                  (A) In general.--Notwithstanding paragraph 
                (1), ineligibility for crop insurance premium 
                assistance shall apply in accordance with this 
                paragraph.
                  (B) New conversions.--In the case of a 
                wetland that the Secretary determines was 
                converted after the date of enactment of the 
                Agricultural Act of 2014--
                          (i) the person shall be ineligible to 
                        receive crop insurance premium 
                        subsidies in subsequent reinsurance 
                        years unless the Secretary determines 
                        that an exemption pursuant to section 
                        1222 applies; or
                          (ii) for any violation that the 
                        Secretary determines impacts less than 
                        5 acres of an entire farm, the person 
                        may pay a contribution in an amount 
                        equal to 150 percent of the cost of 
                        mitigation, as determined by the 
                        Secretary, to the fund described in 
                        section [1241(f)] 1241(e) for wetland 
                        restoration in lieu of ineligibility to 
                        receive crop insurance premium 
                        assistance.
                  (C) Prior conversions.--In the case of a 
                wetland that the Secretary determines was 
                converted prior to the date of enactment of the 
                Agricultural Act of 2014, ineligibility under 
                this subsection shall not apply.
                  (D) Conversions and new policies or plans of 
                insurance.--In the case of an agricultural 
                commodity for which an individual policy or 
                plan of insurance is available for the first 
                time to the person after the date of enactment 
                of the Agricultural Act of 2014--
                          (i) ineligibility shall apply only to 
                        conversions that take place after the 
                        date on which the policy or plan of 
                        insurance first becomes available to 
                        the person; and
                          (ii) the person shall take such steps 
                        as the Secretary determines appropriate 
                        to mitigate any prior conversion in a 
                        timely manner but not to exceed 2 
                        reinsurance years.
          (3) Limitations.--
                  (A) Mitigation required.--Except as otherwise 
                provided in this paragraph, a person subject to 
                a final determination, including all 
                administrative appeals, of a violation 
                described in subsection (d) shall have 1 
                reinsurance year to initiate a mitigation plan 
                to remedy the violation, as determined by the 
                Secretary, before becoming ineligible under 
                this subsection in the following reinsurance 
                year to receive any payment of any portion of 
                the premium paid by the Federal Crop Insurance 
                Corporation for a policy or plan of insurance 
                under the Federal Crop Insurance Act (7 U.S.C. 
                1501 et seq.).
                  (B) Persons covered for the first time.--
                Notwithstanding the requirements of paragraph 
                (1), in the case of a person that is subject to 
                this subsection for the first time solely due 
                to the amendment made by section 2611(b) of the 
                Agricultural Act of 2014, the person shall have 
                2 reinsurance years after the reinsurance year 
                in which a final determination is made, 
                including all administrative appeals, of a 
                violation described in this subsection to take 
                such steps as the Secretary determines 
                appropriate to remedy or mitigate the violation 
                in accordance with this subsection.
                  (C) Good faith.--If the Secretary determines 
                that a person subject to a final determination, 
                including all administrative appeals, of a 
                violation described in this subsection acted in 
                good faith and without intent to commit a 
                violation described in this subsection as 
                described in section 1222(h), the person shall 
                have 2 reinsurance years to take such steps as 
                the Secretary determines appropriate to remedy 
                or mitigate the violation in accordance with 
                this subsection.
                  (D) Tenant relief.--
                          (i) In general.--If a tenant is 
                        determined to be ineligible for 
                        payments and other benefits under this 
                        subsection, the Secretary may limit the 
                        ineligibility only to the farm that is 
                        the basis for the ineligibility 
                        determination if the tenant has 
                        established, to the satisfaction of the 
                        Secretary that--
                                  (I) the tenant has made a 
                                good faith effort to meet the 
                                requirements of this section, 
                                including enlisting the 
                                assistance of the Secretary to 
                                obtain a reasonable plan for 
                                restoration or mitigation for 
                                the farm;
                                  (II) the landlord on the farm 
                                refuses to comply with the plan 
                                on the farm; and
                                  (III) the Secretary 
                                determines that the lack of 
                                compliance is not a part of a 
                                scheme or device to avoid the 
                                compliance.
                          (ii) 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 an annual 
                        report concerning the ineligibility 
                        determinations limited during the 
                        previous 12-month period under this 
                        subparagraph.
                  (E) Certificate of compliance.--
                          (i) In general.--Beginning with the 
                        first full reinsurance year immediately 
                        following the date of enactment of this 
                        paragraph, all persons seeking 
                        eligibility for the payment of a 
                        portion of the premium paid by the 
                        Federal Crop Insurance Corporation for 
                        a policy or plan of insurance under the 
                        Federal Crop Insurance Act (7 U.S.C. 
                        1501 et seq.) shall provide 
                        certification of compliance with this 
                        section as determined by the Secretary.
                          (ii) Timely evaluation.--The 
                        Secretary shall evaluate the 
                        certification in a timely manner and--
                                  (I) a person who has properly 
                                complied with certification 
                                shall be held harmless with 
                                regard to eligibility during 
                                the period of evaluation; and
                                  (II) if the Secretary fails 
                                to evaluate the certification 
                                in a timely manner and the 
                                person is subsequently found to 
                                be in violation of this 
                                subsection, ineligibility shall 
                                not apply to the person for 
                                that violation.
                          (iii) Equitable contribution.--
                                  (I) In general.--If a person 
                                fails to notify the Secretary 
                                as required and is subsequently 
                                found to be in violation of 
                                this subsection, the Secretary 
                                shall--
                                          (aa) determine the 
                                        amount of an equitable 
                                        contribution to 
                                        conservation by the 
                                        person for the 
                                        violation; and
                                          (bb) deposit the 
                                        contribution in the 
                                        fund described in 
                                        section [1241(f)] 
                                        1241(e).
                                  (II) Limitation.--The 
                                contribution shall not exceed 
                                the total of the portion of the 
                                premium paid by the Federal 
                                Crop Insurance Corporation for 
                                a policy or plan of insurance 
                                for all years the person is 
                                determined to have been in 
                                violation subsequent to the 
                                date on which certification was 
                                first required under this 
                                subparagraph.
          (4) Duties of the secretary.--
                  (A) In general.--In carrying out this 
                subsection, the Secretary shall use existing 
                processes and procedures for certifying 
                compliance.
                  (B) Responsibility.--The Secretary, acting 
                through the agencies of the Department of 
                Agriculture, shall be solely responsible for 
                determining whether a producer is eligible to 
                receive crop insurance premium subsidies in 
                accordance with this subsection.
                  (C) Limitation.--The Secretary shall ensure 
                that no agent, approved insurance provider, or 
                employee or contractor of an agency or approved 
                insurance provider, bears responsibility or 
                liability for the eligibility of an insured 
                producer under this subsection, other than in 
                cases of misrepresentation, fraud, or scheme 
                and device.
  (d) Wetland Conversion.--[Except as provided]
                  (A) In general._Except as provided  in 
                section 1222 and notwithstanding any other 
                provision of law, any person who in any crop 
                year beginning after November 28, 1990, 
                converts a wetland by draining, dredging, 
                filling, leveling, or any other means for the 
                purpose, or to have the effect, of making the 
                production of an agricultural commodity 
                possible on such converted wetland shall be 
                ineligible for those payments, loans, or 
                programs specified in subsection (b) for that 
                crop year and all subsequent crop years.
                  (B) Duty of the secretary.--Before 
                determining that a person is ineligible for 
                program benefits under this subsection, the 
                Secretary shall determine that no exemption 
                under section 1222 applies.
  (e) Prior Loans.--This section shall not apply to a loan 
described in subsection (b) made before December 23, 1985.
  (f) Wetland.--The Secretary shall have, and shall not 
delegate to any private person or entity, authority to 
determine whether a person has complied with this subtitle.

SEC. 1222. DELINEATION OF WETLANDS; EXEMPTIONS.

  (a) Delineation by the Secretary.--
          (1) In general.--Subject to subsection (b) and 
        paragraph (6), the Secretary shall delineate, 
        determine, and certify all wetlands located on subject 
        land on a farm.
          (2) Wetland delineation maps.--The Secretary shall 
        delineate wetlands on wetland delineation maps. On the 
        request of a person, the Secretary shall make a 
        reasonable effort to make an on-site wetland 
        determination prior to delineation.
          (3) Certification.--On providing notice to affected 
        persons, the Secretary shall--
                  (A) certify whether a map is sufficient for 
                the purpose of making a determination of 
                ineligibility for program benefits under 
                section 1221; and
                  (B) provide an opportunity to appeal the 
                certification prior to the certification 
                becoming final.
          (4) Duration of certification.--A final certification 
        made under paragraph (3) shall remain valid and in 
        effect as long as the area is devoted to an 
        agricultural use or until such time as the person 
        affected by the certification requests review of the 
        certification by the Secretary.
          (5) Review of mapping on appeal.--In the case of an 
        appeal of the Secretary's certification, the Secretary 
        shall review and certify the accuracy of the mapping of 
        all land subject to the appeal to ensure that the 
        subject land has been accurately delineated. Prior to 
        rendering a decision on the appeal, the Secretary shall 
        conduct an on-site inspection of the subject land on a 
        farm.
          (6) Reliance on prior certified delineation.--No 
        person shall be adversely affected because of having 
        taken an action based on a previous certified wetland 
        delineation by the Secretary. The delineation shall not 
        be subject to a subsequent wetland certification or 
        delineation by the Secretary, unless requested by the 
        person under paragraph (4).
  (b) Exemptions.--No person shall become ineligible under 
section 1221 for program loans or payments under the following 
circumstances:
          (1) As the result of the production of an 
        agricultural commodity on the following lands:
                  (A) A converted wetland if the conversion of 
                the wetland was commenced before December 23, 
                1985.
                  (B) Land that is a nontidal drainage or 
                irrigation ditch excavated in upland.
                  (C) A wet area created by a water delivery 
                system, irrigation, irrigation system, or 
                application of water for irrigation.
                  (D) A wetland on which the owner or operator 
                of a farm or ranch uses normal cropping or 
                ranching practices to produce an agricultural 
                commodity in a manner that is consistent for 
                the area where the production is possible as a 
                result of a natural condition, such as drought, 
                and is without action by the producer that 
                destroys a natural wetland characteristic.
                  (E) Land that is an artificial lake or pond 
                created by excavating or diking land (that is 
                not a wetland) to collect and retain water and 
                that is used primarily for livestock watering, 
                fish production, irrigation, wildlife, fire 
                control, flood control, cranberry growing, or 
                rice production, or as a settling pond.
                  (F) A wetland that is temporarily or 
                incidentally created as a result of adjacent 
                development activity.
                  (G) A converted wetland if the original 
                conversion of the wetland was commenced before 
                December 23, 1985, and the Secretary determines 
                the wetland characteristics returned after that 
                date as a result of--
                          (i) the lack of maintenance of 
                        drainage, dikes, levees, or similar 
                        structures;
                          (ii) a lack of management of the 
                        lands containing the wetland; or
                          (iii) circumstances beyond the 
                        control of the person.
                  (H) A converted wetland, if--
                          (i) the converted wetland was 
                        determined by the Natural Resources 
                        Conservation Service to have been 
                        manipulated for the production of an 
                        agricultural commodity or forage prior 
                        to December 23, 1985, and was returned 
                        to wetland conditions through a 
                        voluntary restoration, enhancement, or 
                        creation action subsequent to that 
                        determination;
                          (ii) technical determinations 
                        regarding the prior site conditions and 
                        the restoration, enhancement, or 
                        creation action have been adequately 
                        documented by the Natural Resources 
                        Conservation Service;
                          (iii) the proposed conversion action 
                        is approved by the Natural Resources 
                        Conservation Service prior to 
                        implementation; and
                          (iv) the extent of the proposed 
                        conversion is limited so that the 
                        conditions will be at least equivalent 
                        to the wetland functions and values 
                        that existed prior to implementation of 
                        the voluntary wetland restoration, 
                        enhancement, or creation action.
          (2) For the conversion of the following:
                  (A) An artificial lake or pond created by 
                excavating or diking land that is not a wetland 
                to collect and retain water and that is used 
                primarily for livestock watering, fish 
                production, irrigation, wildlife, fire control, 
                flood control, cranberry growing, rice 
                production, or as a settling pond.
                  (B) A wetland that is temporarily or 
                incidentally created as a result of adjacent 
                development activity.
                  (C) A wetland on which the owner or operator 
                of a farm or ranch uses normal cropping or 
                ranching practices to produce an agricultural 
                commodity in a manner that is consistent for 
                the area where the production is possible as a 
                result of a natural condition, such as drought, 
                and is without action by the producer that 
                destroys a natural wetland characteristic.
                  (D) A wetland previously identified as a 
                converted wetland (if the original conversion 
                of the wetland was commenced before December 
                23, 1985), but that the Secretary determines 
                returned to wetland status after that date as a 
                result of--
                          (i) the lack of maintenance of 
                        drainage, dikes, levees, or similar 
                        structures;
                          (ii) a lack of management of the 
                        lands containing the wetland; or
                          (iii) circumstances beyond the 
                        control of the person.
                  (E) A wetland, if--
                          (i) the wetland was determined by the 
                        Natural Resources Conservation Service 
                        to have been manipulated for the 
                        production of an agricultural commodity 
                        or forage prior to December 23, 1985, 
                        and was returned to wetland conditions 
                        through a voluntary restoration, 
                        enhancement, or creation action 
                        subsequent to that determination;
                          (ii) technical determinations 
                        regarding the prior site conditions and 
                        the restoration, enhancement, or 
                        creation action have been adequately 
                        documented by the Natural Resources 
                        Conservation Service;
                          (iii) the proposed conversion action 
                        is approved by the Natural Resources 
                        Conservation Service prior to 
                        implementation; and
                          (iv) the extent of the proposed 
                        conversion is limited so that the 
                        conditions will be at least equivalent 
                        to the wetland functions and values 
                        that existed prior to implementation of 
                        the voluntary wetland restoration, 
                        enhancement, or creation action.
  (c) On-site Inspection Requirement.--No program loans, 
payments, or benefits shall be withheld from a person under 
this subtitle unless the Secretary has conducted an on-site 
visit of the subject land.
  (d) Identification of Minimal Effect Exemptions.--For 
purposes of applying the minimal effect exemption under 
subsection (f)(1), not later than 180 days after the date of 
enactment of the Agriculture and Nutrition Act of 2018, the 
Secretary shall identify by regulation categorical minimal 
effect exemptions on a regional basis to assist persons in 
avoiding a violation of the ineligibility provisions of section 
1221. The Secretary shall ensure that employees of the 
Department of Agriculture who administer this subtitle receive 
appropriate training to properly apply the minimal effect 
exemptions determined by the Secretary.
  (e) Nonwetlands.--The Secretary shall exempt from the 
ineligibility provisions of section 1221 any action by a person 
upon lands in any case in which the Secretary determines that 
any one of the following does not apply with respect to such 
lands:
          (1) Such lands have a predominance of hydric soils.
          (2) Such lands are inundated or saturated by surface 
        or groundwater at a frequency and duration sufficient 
        to support a prevalence of hydrophytic vegetation 
        typically adapted for life in saturated soil 
        conditions.
          (3) Such lands, under normal circumstances, support a 
        prevalence of such vegetation.
  (f) Minimal Effect; Mitigation.--The Secretary shall exempt a 
person from the ineligibility provisions of section 1221 for 
any action associated with the production of an agricultural 
commodity on a converted wetland, or the conversion of a 
wetland, if 1 or more of the following conditions apply, as 
determined by the Secretary:
          (1) The action, individually and in connection with 
        all other similar actions authorized by the Secretary 
        in the area, will have a minimal effect on the 
        functional hydrological and biological value of the 
        wetlands in the area, including the value to waterfowl 
        and wildlife.
          (2) The wetland and the wetland values, acreage, and 
        functions are mitigated by the person through the 
        restoration of a converted wetland, the enhancement of 
        an existing wetland, or the creation of a new wetland, 
        and the restoration, enhancement, or creation is--
                  (A) in accordance with a wetland conservation 
                plan;
                  (B) in advance of, or concurrent with, the 
                action;
                  (C) not at the expense of the Federal 
                Government;
                  (D) in the case of enhancement or restoration 
                of wetlands, on not greater than a 1-for-1 
                acreage basis unless more acreage is needed to 
                provide equivalent functions and values that 
                will be lost as a result of the wetland 
                conversion to be mitigated;
                  (E) in the case of creation of wetlands, on 
                greater than a 1-for-1 acreage basis if more 
                acreage is needed to provide equivalent 
                functions and values that will be lost as a 
                result of the wetland conversion that is 
                mitigated;
                  (F) on lands in the same general area of the 
                local watershed as the converted wetland; and
                  (G) with respect to the restored, enhanced, 
                or created wetland, made subject to an easement 
                that--
                          (i) is recorded on public land 
                        records;
                          (ii) remains in force for as long as 
                        the converted wetland for which the 
                        restoration, enhancement, or creation 
                        to be mitigated remains in agricultural 
                        use or is not returned to its original 
                        wetland classification with equivalent 
                        functions and values; and
                          (iii) prohibits making alterations to 
                        the restored, enhanced, or created 
                        wetland that lower the wetland's 
                        functions and values.
          (3) The wetland was converted after December 23, 
        1985, but before November 28, 1990, and the wetland 
        values, acreage, and functions are mitigated by the 
        producer through the requirements of subparagraphs (A), 
        (B), (C), (D), (F), and (G) of paragraph (2).
          (4) The action was authorized by a permit issued 
        under section 404 of the Federal Water Pollution 
        Control Act (33 U.S.C. 1344) and the wetland values, 
        acreage, and functions of the converted wetland were 
        adequately mitigated for the purposes of this subtitle.
  (g) Mitigation Appeals.--A person shall be afforded the right 
to appeal, under section 1243, the imposition of a mitigation 
agreement requiring greater than one-to-one acreage mitigation 
to which the person is subject.
  (h) Good Faith Exemption.--
          (1) Exemption described.--The Secretary may waive a 
        person's ineligibility under section 1221 for program 
        loans, payments, and benefits as the result of the 
        conversion of a wetland subsequent to November 28, 
        1990, or the production of an agricultural commodity on 
        a converted wetland, if the Secretary determines that 
        the person has acted in good faith and without intent 
        to violate this subtitle.
          (2) Eligible reviewers.--A determination of the 
        Secretary, 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 compliance.--The Secretary shall 
        provide a person who the Secretary determines has acted 
        in good faith and without intent to violate this 
        subtitle with a reasonable period, but not to exceed 1 
        year, during which to implement the measures and 
        practices necessary to be considered to be actively 
        restoring the subject wetland.
  (i) Restoration.--Any person who is determined to be 
ineligible for program benefits under section 1221 for any crop 
year shall not be ineligible for such program benefits under 
such section for any subsequent crop year if, prior to the 
beginning of such subsequent crop year, the person has fully 
restored the characteristics of the converted wetland to its 
prior wetland state or has otherwise mitigated for the loss of 
wetland values, as determined by the Secretary, through the 
restoration, enhancement, or creation of wetland values in the 
same general area of the local watershed as the converted 
wetland.
  (j) Determinations; Restoration and Mitigation Plans; 
Monitoring Activities.--Technical determinations, the 
development of restoration and mitigation plans, and monitoring 
activities under this section shall be made by the [National 
Resources Conservation Service] Natural Resources Conservation 
Service.
  (k) Mitigation Banking.--
          (1) Mitigation banking program.--
                  (A) In general.--Using authorities available 
                to the Secretary, the Secretary shall operate a 
                program or work with third parties to establish 
                mitigation banks to assist persons in complying 
                with the provisions of this section while 
                mitigating any loss of wetland values and 
                functions.
                  [(B) Funding.--Of the funds of the Commodity 
                Credit Corporation, the Secretary shall use 
                $10,000,000, to remain available until 
                expended, to carry out this paragraph.]
                  (B) Funding.--
                          (i) Funds of commodity credit 
                        corporation.--To carry out this 
                        paragraph, the Secretary shall use 
                        $10,000,000 of the funds of the 
                        Commodity Credit Corporation beginning 
                        in fiscal year 2019, which funds shall 
                        remain available until expended.
                          (ii) Authorization of 
                        appropriations.--In addition to amounts 
                        made available under clause (i), there 
                        are authorized to be appropriated to 
                        the Secretary to carry out this 
                        paragraph $5,000,000 for each of fiscal 
                        years 2019 through 2023.
          (2) Applicability.--Subsection (f)(2)(C) shall not 
        apply to this subsection.
          (3) Policy and criteria.--The Secretary shall develop 
        the appropriate policy and criteria that will allow 
        willing persons to access existing mitigation banks, 
        under this section or any other authority, that will 
        serve the purposes of this section without requiring 
        the Secretary to hold an easement, in whole or in part, 
        in a mitigation bank.

           *       *       *       *       *       *       *


        Subtitle D--Agricultural Resources Conservation Program

CHAPTER 1--COMPREHENSIVE CONSERVATION ENHANCEMENT PROGRAM

           *       *       *       *       *       *       *


                   Subchapter B--Conservation Reserve

SEC. 1231. CONSERVATION RESERVE.

  (a) In General.--Through the [2018] 2023 fiscal year, the 
Secretary shall formulate and carry out a conservation reserve 
program under which land is enrolled through the use of 
contracts to assist owners and operators of land specified in 
subsection (b) to conserve and improve the soil, water, and 
wildlife resources of such land and to address issues raised by 
State, regional, and national conservation initiatives.
  (b) Eligible Land.--The Secretary may include in the program 
established under this subchapter--
          (1) highly erodible cropland that--
                  (A)(i) if permitted to remain untreated could 
                substantially reduce the agricultural 
                production capability for future generations; 
                or
                  (ii) cannot be farmed in accordance with a 
                plan that complies with the requirements of 
                subtitle B; and
                  (B) the Secretary determines had a cropping 
                history or was considered to be planted for 4 
                of the 6 years preceding the date of enactment 
                of the Agricultural Act of 2014 (except for 
                land enrolled in the conservation reserve 
                program as of that date);
          (2) marginal pasture land to be devoted to 
        appropriate vegetation, including trees, in or near 
        riparian areas, or devoted to similar water quality 
        purposes (including marginal pastureland converted to 
        wetland or established as wildlife habitat);
          (3) grasslands that--
                  (A) contain forbs or shrubland (including 
                improved rangeland and pastureland) for which 
                grazing is the predominant use;
                  (B) are located in an area historically 
                dominated by grasslands; and
                  (C) could provide habitat for animal and 
                plant populations of significant ecological 
                value if the land is retained in its current 
                use or restored to a natural condition;
          (4) cropland that is otherwise ineligible if the 
        Secretary determines that--
                  (A) if permitted to remain in agricultural 
                production, the land would--
                          (i) contribute to the degradation of 
                        soil, water, or air quality; or
                          (ii) pose an on-site or off-site 
                        environmental threat to soil, water, or 
                        air quality;
                  (B) the land is a--
                          (i) newly-created, permanent grass 
                        sod waterway; or
                          (ii) a contour grass sod strip 
                        established and maintained as part of 
                        an approved conservation plan;
                  (C) the land will be devoted to newly 
                established living snow fences, permanent 
                wildlife habitat, windbreaks, shelterbelts, or 
                filterstrips or riparian buffers devoted to 
                trees, shrubs, or grasses;
                  (D) the land poses an off-farm environmental 
                threat, or a threat of continued degradation of 
                productivity due to soil salinity, if permitted 
                to remain in production; or
                  (E) enrollment of the land would facilitate a 
                net savings in groundwater or surface water 
                resources of the agricultural operation of the 
                producer; or
          (5) the portion of land in a field not enrolled in 
        the conservation reserve in a case in which--
                  (A) more than 50 percent of the land in the 
                field is enrolled as a buffer or filterstrip, 
                or more than 75 percent of the land in the 
                field is enrolled as a conservation practice 
                other than as a buffer or filterstrip; and
                  (B) the remainder of the field is--
                          (i) infeasible to farm; and
                          (ii) enrolled at regular rental 
                        rates.
  (c) Planting Status of Certain Land.--For purposes of 
determining the eligibility of land to be placed in the 
conservation reserve established under this subchapter, land 
shall be considered to be planted to an agricultural commodity 
during a crop year if, during the crop year, the land was 
devotedto a conserving use.
  (d) Enrollment.--
          (1) Maximum acreage enrolled.--The Secretary may 
        maintain in the conservation reserve at any one time 
        during--
                  (A) fiscal year 2014, no more than 27,500,000 
                acres;
                  (B) fiscal year 2015, no more than 26,000,000 
                acres;
                  (C) fiscal year 2016, no more than 25,000,000 
                acres;
                  (D) fiscal year 2017, no more than 24,000,000 
                acres[; and];
                  (E) fiscal year 2018, no more than 24,000,000 
                acres[.];
                  (F) fiscal year 2019, no more than 25,000,000 
                acres;
                  (G) fiscal year 2020, no more than 26,000,000 
                acres;
                  (H) fiscal year 2021, no more than 27,000,000 
                acres;
                  (I) fiscal year 2022, no more than 28,000,000 
                acres; and
                  (J) fiscal year 2023, no more than 29,000,000 
                acres.
          (2) Grasslands.--
                  [(A) Limitation.--For purposes of applying 
                the limitations in paragraph (1), no more than 
                2,000,000 acres of the land described in 
                subsection (b)(3) may be enrolled in the 
                program at any one time during the 2014 through 
                2018 fiscal years.]
                  (A) Limitation.--For purposes of applying the 
                limitations in paragraph (1)--
                          (i) no more than 2,000,000 acres of 
                        the land described in subsection (b)(3) 
                        may be enrolled in the program at any 
                        one time during the 2014 through 2018 
                        fiscal years;
                          (ii) the Secretary shall enroll and 
                        maintain in the conservation reserve 
                        not fewer than 3,000,000 acres of the 
                        land described in subsection (b)(3) by 
                        September 30, 2023; and
                          (iii) in carrying out clause (ii), to 
                        the maximum extent practicable, the 
                        Secretary shall maintain in the 
                        conservation reserve at any one time 
                        during--
                                  (I) fiscal year 2019, 
                                1,000,000 acres;
                                  (II) fiscal year 2020, 
                                1,500,000 acres;
                                  (III) fiscal year 2021, 
                                2,000,000 acres;
                                  (IV) fiscal year 2022, 
                                2,500,000 acres; and
                                  (V) fiscal year 2023, 
                                3,000,000 acres.
                  (B) Priority.--In enrolling acres under 
                subparagraph (A), the Secretary may give 
                priority to land with expiring conservation 
                reserve program contracts.
                  (C) Method of enrollment.--In enrolling acres 
                under subparagraph (A), the Secretary shall 
                make the program available to owners or 
                operators of eligible land on a continuous 
                enrollment basis with one or more ranking 
                periods.
                  (D) Reservation of unenrolled acres.--If the 
                Secretary is unable in a fiscal year to enroll 
                enough acres of land described in subsection 
                (b)(3) to meet the number of acres described in 
                clause (ii) or (iii) of subparagraph (A) for 
                the fiscal year, the Secretary shall reserve 
                the remaining number of acres for that fiscal 
                year for the enrollment of land described in 
                subsection (b)(3), and that number of acres 
                shall not be available for the enrollment of 
                any other type of eligible land.
          (3) State enrollment rates.--During each of fiscal 
        years 2019 through 2023, to the maximum extent 
        practicable, the Secretary shall carry out this 
        subchapter in such a manner as to enroll and maintain 
        acreage in the conservation reserve in accordance with 
        historical State enrollment rates, considering--
                  (A) the average number of acres of all lands 
                enrolled in the conservation reserve in each 
                State during each of fiscal years 2007 through 
                2016;
                  (B) the average number of acres of all lands 
                enrolled in the conservation reserve nationally 
                during each of fiscal years 2007 through 2016; 
                and
                  (C) the acres available for enrollment during 
                each of fiscal years 2019 through 2023, 
                excluding acres described in paragraph (2).
          (4) Frequency.--In carrying out this subchapter, for 
        contracts that are not available on a continuous 
        enrollment basis, the Secretary shall hold a signup not 
        less often than once every other year.
  [(e) Duration of Contract.--
          [(1) In general.--For the purpose of carrying out 
        this subchapter, the Secretary shall enter into 
        contracts of not less than 10, nor more than 15, years.
          [(2) Special rule for certain land.--In the case of 
        land devoted to hardwood trees, shelterbelts, 
        windbreaks, or wildlife corridors under a contract 
        entered into under this subchapter, the owner or 
        operator of the land may, within the limitations 
        prescribed under paragraph (1), specify the duration of 
        the contract.]
  (e) Duration of Contract.--
          (1) In general.--Except as provided in paragraph (2), 
        for the purpose of carrying out this subchapter, the 
        Secretary shall enter into contracts of not less than 
        10, nor more than 15, years.
          (2) Certain continuous contracts.--With respect to 
        contracts under this subchapter for the enrollment of 
        land described in paragraph (4) or (5) of subsection 
        (b), the Secretary shall enter into contracts of a 
        period of 15 or 30 years.
  (f) Conservation Priority Areas.--
          (1) Designation.--On application by the appropriate 
        State agency, the Secretary shall designate areas of 
        special environmental sensitivity as conservation 
        priority areas.
          (2) Eligible areas.--Areas eligible for designation 
        under this subsection shall include areas with actual 
        and significant adverse water quality or habitat 
        impacts related to agricultural production activities.
          (3) Expiration.--Conservation priority area 
        designation under this subsection shall expire after 5 
        years, subject to redesignation, except that the 
        Secretary may withdraw an area's designation if the 
        Secretary finds thatthe area no longer contains actual 
        and significant adversewater quality or habitat impacts 
        related to agricultural productionactivities.
          (4) Duty of secretary.--In carrying out this 
        subsection, the Secretary shall attempt to maximize 
        water quality and habitat benefits in the watersheds 
        described in paragraph (1) by promoting a significant 
        level of enrollment of land within the watersheds in 
        the program under this subchapter by whatever means the 
        Secretary determines are appropriate and consistent 
        with the purposes of this subchapter.
  (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 agricultural 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 considered planted for 4 of the 6 
        years referred to in such subsection.
  (h) Eligibility for Consideration.--[On the expiration]
          (1) In general._On the expiration  of a contract 
        entered into under this subchapter, the land subject to 
        the contract shall be eligible to be considered for 
        reenrollment in the conservation reserve.
          (2) Reenrollment limitation for certain land.--Land 
        subject to a contract entered into under this 
        subchapter shall be eligible for only one reenrollment 
        in the conservation reserve under paragraph (1) if the 
        land is devoted to hardwood trees.
  (i) Balance of Natural Resource Purposes.--In determining the 
acceptability of contract offers under this subchapter, the 
Secretary shall ensure, to the maximum extent practicable, an 
equitable balance among the conservation purposes of soil 
erosion, water quality, and wildlife habitat.

SEC. 1231B. FARMABLE WETLAND PROGRAM.

  (a) Program Required.--
          (1) In general.--During the 2008 through [2018] 2023 
        fiscal years, the Secretary shall carry out a farmable 
        wetland 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 participate 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 history during at least 3 
                of the immediately preceding 10 crop years;
                  (B) on which a constructed wetland is to be 
                developed that will receive surface and 
                subsurface flow from row crop agricultural 
                production and is designed to provide nitrogen 
                removal in addition to other wetland functions;
                  (C) that was devoted to commercial pond-
                raised aquaculture in any year during the 
                period of calendar years 2002 through 2007; or
                  (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 
                        consideration and accommodating the 
                        farming practices (including the 
                        straightening of boundaries to 
                        accommodate 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.]
          (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, 
        with respect to land described in subparagraph (A), 
        (B), or (C) of paragraph (1)--
                  (A) is contiguous to such land;
                  (B) is used to protect such land; and
                  (C) is of such width as the Secretary 
                determines is necessary to protect such land, 
                taking into consideration and accommodating the 
                farming practices (including the straightening 
                of boundaries to accommodate machinery) used 
                with respect to the cropland that surrounds 
                such land.
  (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 [750,000] 500,000 acres.
          (2) Relationship to maximum enrollment.--[Subject to 
        paragraph (3), any acreage] 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 
        acreage.--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 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 determined 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[;]; 
        and
          [(3) to a general prohibition of commercial use of 
        the enrolled land; and
          [(4)] (3) 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)] paragraph (2), 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(d)(2)(A)(ii)] section 1234(d)(2)(A) 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.]

SEC. 1232. DUTIES OF OWNERS AND OPERATORS.

  (a) In General.--Under the terms of a contract entered into 
under this subchapter, during the term of the contract, an 
owner or operator of a farm or ranch shall agree--
          (1) to implement a plan approved by the local 
        conservation district (or in an area not located within 
        a conservation district, a plan approved by the 
        Secretary) for converting eligible land normally 
        devoted to the production of an agricultural commodity 
        on the farm or ranch to a less intensive use (as 
        defined by the Secretary), such as pasture, permanent 
        grass, legumes, forbs, shrubs, or trees, substantially 
        in accordance with a schedule outlined in the plan;
          (2) to place highly erodible cropland subject to the 
        contract in the conservation reserve established under 
        this subchapter;
          (3) not to use the land for agricultural purposes, 
        except as permitted by the Secretary;
          (4) to establish approved vegetative cover (which may 
        include emerging vegetation in water), water cover for 
        the enhancement of wildlife, or, where practicable, 
        maintain existing cover on the land, except that--
                  (A) the water cover shall not include ponds 
                for the purpose of watering livestock, 
                irrigating crops, or raising fish for 
                commercial purposes; and
                  (B) the Secretary shall not terminate the 
                contract for failure to establish approved 
                vegetative or water cover on the land if--
                          (i) the failure to plant the cover 
                        was due to excessive rainfall or 
                        flooding;
                          (ii) the land subject to the contract 
                        that could practicably be planted to 
                        the cover is planted to the cover; and
                          (iii) the land on which the owner or 
                        operator was unable to plant the cover 
                        is planted to the cover after the wet 
                        conditions that prevented the planting 
                        subsides;
          (5) to undertake management on the land, which may 
        include the use of grazing in accordance with paragraph 
        (8), as needed throughout the term of the contract to 
        implement the conservation plan;
          (6) on a violation of a term or condition of the 
        contract at any time the owner or operator has control 
        of the land--
                  (A) to forfeit all rights to receive rental 
                payments and cost sharing payments under the 
                contract and to refund to the Secretary any 
                rental payments and cost sharing payments 
                received by the owner or operator under the 
                contract, together with interest on the 
                payments as determined by the Secretary, if the 
                Secretary, after considering the 
                recommendations of the soil conservation 
                district and the Natural Resources Conservation 
                Service, determines that the violation is of 
                such nature as to warrant termination of the 
                contract; or
                  (B) to refund to the Secretary, or accept 
                adjustments to, the rental payments and cost 
                sharing payments provided to the owner or 
                operator, as the Secretary considers 
                appropriate, if the Secretary determines that 
                the violation does not warrant termination of 
                the contract;
          (7) on the transfer of the right and interest of the 
        owner or operator in land subject to the contract--
                  (A) to forfeit all rights to rental payments 
                and cost sharing payments under the contract; 
                and
                  (B) to refund to the United States all rental 
                payments and cost sharing payments received by 
                the owner or operator, or accept such payment 
                adjustments or make such refunds as the 
                Secretary considers appropriate and consistent 
                with the objectives of this subchapter;
        unless the transferee of the land agrees with the 
        Secretary to assume all obligations of the contract, 
        except that no refund of rental payments and cost 
        sharing payments shall be required if the land is 
        purchased by or for the United States Fish and Wildlife 
        Service, or the transferee and the Secretary agree to 
        modifications to the contract, in a case in which the 
        modifications are consistent with the objectives of the 
        program, as determined by the Secretary;
          (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 as provided in subsection (b) or 
        (c) of section1233;
          (9) not to conduct any planting of trees on land that 
        is subject to the contract unless the contract 
        specifies that the harvesting and commercial sale of 
        trees such as Christmas trees are prohibited, nor 
        otherwise make commercial use of trees on land that is 
        subject to the contract unless it is expressly 
        permitted in 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 no contract shall prohibit 
        activities consistent with customary forestry practice, 
        such as pruning, thinning, or stand improvement of 
        trees, on land converted to forestry use;
          (10) on land devoted to hardwood or other trees, 
        excluding windbreaks and shelterbelts, to carry out 
        proper thinning and other practices to improve the 
        condition of resources, promote forest management, and 
        enhance wildlife habitat on the land;
          [(10)] (11) not to adopt any practice specified by 
        the Secretary in the contract as a practice that would 
        tend to defeat the purposes of this subchapter; and
          [(11)] (12) to comply with such additional provisions 
        as the Secretary determines are desirable and are 
        included in the contract to carry out this subchapter 
        or to facilitate the practical administration of this 
        subchapter.
  (b) Conservation Plans.--The plan referred to in subsection 
(a)(1) shall set forth--
          (1) the conservation measures and practices to be 
        carried out by the owner or operator during the term of 
        the contract; and
          (2) the commercial use[, if any,] to be permitted on 
        the land during the term.
  (c) Foreclosure.--
          (1) In general.--Notwithstanding any other provision 
        of law, an owner or operator who is a party to a 
        contract entered into under this subchapter may not be 
        required to make repayments to the Secretary of amounts 
        received under the contract if the land that is subject 
        to the contract has been foreclosed on and the 
        Secretary determines that forgiving the repayments is 
        appropriate in order to provide fair and equitable 
        treatment.
          (2) Resumption of control.--
                  (A) In general.--This subsection shall not 
                void the responsibilities of an owner or 
                operator under the contract if the owner or 
                operator resumes control over the land that is 
                subject to the contract within the period 
                specified in the contract.
                  (B) Contract.--On the resumption of the 
                control over the land by the owner or operator, 
                the provisions of the contract in effect on the 
                date of the foreclosure shall apply.

SEC. 1233. DUTIES OF THE SECRETARY.

  (a) Cost-Share and Rental Payments.--In return for a contract 
entered into by an owner or operator under the conservation 
reserve program, the Secretary shall--
          (1) share the cost of carrying out the conservation 
        measures and practices set forth in the contract for 
        which the Secretary determines that cost sharing is 
        appropriate and in the public interest; and
          (2) for a period of years not in excess of the term 
        of the contract, [pay an annual rental payment in an 
        amount necessary to compensate for] pay an annual 
        rental payment, in accordance with section 1234(d), 
        for--
                  (A) the conversion of highly erodible 
                cropland or other eligible lands normally 
                devoted to the production of an agricultural 
                commodity on a farm or ranch to a less 
                intensive use;
                  (B) the retirement of any base history that 
                the owner or operator agrees to retire 
                permanently; and
                  (C) the development and management of 
                grasslands for multiple natural resource 
                conservation benefits, including to soil, 
                water, air, and wildlife.
  (b) Specified Activities Permitted.--The Secretary shall 
permit certain activities or commercial uses of land that is 
subject to a contract under the conservation reserve program if 
those activities or uses are consistent with a plan approved by 
the Secretary and include--
          (1) harvesting, grazing, or other commercial use of 
        the forage in response to a drought, flooding, or other 
        emergency, without any reduction in the rental rate;
          (2) consistent with the conservation of soil, water 
        quality, and wildlife habitat (including habitat during 
        primary nesting seasons for birds in the area), and in 
        exchange for a reduction of [not less than 25 percent] 
        25 percent in the annual rental rate for the acres 
        covered by the authorized activity, managed harvesting 
        (except that vegetative cover may not be harvested for 
        seed) and other commercial use (including the managed 
        harvesting of biomass), except that in permitting those 
        activities, the Secretary, in coordination with the 
        State technical committee--
                  (A) shall develop appropriate vegetation 
                management requirements[; and];
                  (B) shall identify periods during which the 
                activities may be conducted, such that the 
                frequency [is at least every 5 but not more 
                than once every 3 years;] contributes to the 
                health and vigor of the established cover, and 
                is not more than once every 3 years; and
                  (C) shall ensure that 25 percent of the acres 
                covered by the contract are not harvested, in 
                accordance with an approved plan that provides 
                for wildlife cover and shelter;
          (3) subject to appropriate restrictions during the 
        nesting season for birds in the local area that are 
        economically significant, in significant decline, or 
        conserved in accordance with Federal or State law, as 
        determined by the Secretary in consultation with the 
        State technical committee, and in exchange for a 
        reduction of [not less than 25 percent] 25 percent in 
        the annual rental rate for the acres covered by the 
        authorized activity--
                  (A) prescribed grazing for the control of 
                invasive species, which may be conducted 
                annually;
                  (B) [routine grazing, except that in 
                permitting such routine grazing] grazing, 
                except that in permitting such grazing, the 
                Secretary, in coordination with the State 
                technical committee--
                          (i) shall develop appropriate 
                        vegetation management requirements and 
                        stocking rates for the land that are 
                        suitable for [continued routine 
                        grazing; and] grazing;
                          (ii) shall identify the periods 
                        during which [routine grazing may be 
                        conducted, such that the frequency is 
                        not more than once every 2 years] 
                        grazing may be conducted, such that the 
                        frequency contributes to the health and 
                        vigor of the established cover, taking 
                        into consideration regional differences 
                        such as--
                                  (I) climate, soil type, and 
                                natural resources;
                                  (II) [the number of years 
                                that should be required between 
                                routine] the appropriate 
                                frequency and duration of 
                                grazing activities; and
                                  (III) how often during a year 
                                in which [routine] grazing is 
                                permitted that [routine] 
                                grazing should be allowed to 
                                occur; and
                          (iii) shall ensure that the grazing 
                        is conducted in accordance with an 
                        approved plan that does not restrict 
                        grazing during the primary nesting 
                        season and will reduce the stocking 
                        rate determined under clause (i) by 50 
                        percent; and
                  (C) the installation of wind turbines and 
                associated access, 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 characteristics of the land;
                          (ii) the extent to which the land 
                        contains threatened or endangered 
                        wildlife and wildlife habitat; and
                          (iii) the purposes of the 
                        conservation reserve program under this 
                        subchapter;
          (4) grazing during the applicable normal grazing 
        period determined under subclause (I) of section 
        1501(c)(3)(D)(i) of the Agricultural Act of 2014 (7 
        U.S.C. 9081(c)(3)(D)(i)), without any restriction on 
        grazing during the primary nesting period, subject to 
        the condition that the grazing shall be at 50 percent 
        of the normal carrying capacity determined under that 
        subclause.
          [(4)] (5) the intermittent and seasonal use of 
        vegetative buffer practices incidental to agricultural 
        production on lands adjacent to the buffer such that 
        the permitted use does not destroy the permanent 
        vegetative cover[; and] and retains suitable vegetative 
        structure for wildlife cover and shelter;
          [(5)] (6) grazing by livestock of a beginning farmer 
        or rancher without any reduction in the rental rate, if 
        the grazing is--
                  (A) consistent with the conservation of soil, 
                water quality, and wildlife habitat;
                  (B) subject to appropriate restrictions 
                during the nesting season for birds in the 
                local area that are economically significant, 
                in significant decline, or conserved in 
                accordance with Federal or State law, as 
                determined by the Secretary in consultation 
                with the State technical committee; and
                  (C) described in subparagraph (A) or (B) of 
                paragraph (3)[.]; and
          (7) grazing pursuant to section 1232(a)(5), without 
        any reduction in the rental rate, if the grazing is 
        consistent with the conservation of soil, water 
        quality, and wildlife habitat.
  (c) Authorized Activities on Grasslands.--For eligible land 
described in section 1231(b)(3), the Secretary shall permit the 
following activities:
          (1) Common grazing practices, including maintenance 
        and necessary cultural practices, on the land in a 
        manner that is consistent with maintaining the 
        viability of grassland, forb, and shrub species 
        appropriate to that locality.
          (2) Haying, mowing, or harvesting for seed 
        production, subject to appropriate restrictions during 
        the nesting season for birds in the local area that are 
        economically significant, in significant decline, or 
        conserved in accordance with Federal or State law, as 
        determined by the Secretary in consultation with the 
        State technical committee.
          (3) Fire presuppression, fire-related rehabilitation, 
        and construction of fire breaks.
          (4) Grazing-related activities, such as fencing and 
        livestock watering.
  (d) Resource Conserving Use.--
          (1) In general.--Beginning on the date that is 1 year 
        before the date of termination of a contract under the 
        program, the Secretary shall allow an owner or operator 
        to make conservation and land improvements for economic 
        use that facilitate maintaining protection of enrolled 
        land after expiration of the contract.
          (2) Conservation plan.--The Secretary shall require 
        an owner or operator carrying out the activities 
        described in paragraph (1) to develop and implement a 
        conservation plan.
          (3) Re-enrollment prohibited.--Land improved under 
        paragraph (1) may not be re-enrolled in the 
        conservation reserve program for 5 years after the date 
        of termination of the contract.
          (4) Payment reduction.--In the case of an activity 
        carried out under paragraph (1), the Secretary shall 
        reduce the payment otherwise payable under the contract 
        by an amount commensurate with the economic value of 
        the activity.
  (e) Natural Disaster or Adverse Weather as Mid-contract 
Management.--In the case of a natural disaster or adverse 
weather event that has the effect of a management practice 
consistent with the conservation plan, the Secretary shall not 
require further management practices pursuant to section 
1232(a)(5) that are intended to achieve the same effect.

SEC. 1234. PAYMENTS.

  (a) Timing.--The Secretary shall provide payment for 
obligations incurred by the Secretary under a contract entered 
into under this subchapter--
          (1) with respect to any cost-sharing payment 
        obligation incurred by the Secretary, as soon as 
        practicable after the obligation is incurred; and
          (2) with respect to any annual rental payment 
        obligation incurred by the Secretary--
                  (A) as soon as practicable after October 1 of 
                each calendar year; or
                  (B) at the option of the Secretary, at any 
                time prior to such date during the year that 
                the obligation is incurred.
  (b)  Cost Sharing Payments.--
          (1) In general.--In making cost sharing payments to 
        an owner or operator under a contract entered into 
        under this subchapter, the Secretary shall pay [50 
        percent] not more than 40 percent of the cost of 
        establishing water quality and conservation measures 
        and practices required under each contract for which 
        the Secretary determines that cost sharing is 
        appropriate and in the public interest.
          [(2) Limitation.--The Secretary shall not make any 
        payment to an owner or operator under this subchapter 
        to the extent that the total amount of cost sharing 
        payments provided to the owner or operator from all 
        sources would exceed 100 percent of the total cost of 
        establishing measures and practices described in 
        paragraph (1).
          [(3) Trees, windbreaks, shelterbelts, and wildlife 
        corridors.--
                  [(A) Applicability.--This paragraph applies 
                to 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.
                  [(B) Payments.--
                          [(i) Percentage.--In making cost 
                        share payments to an owner or operator 
                        of land described in subparagraph (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).
                          [(ii) Duration.--The Secretary shall 
                        make payments 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 the planting 
                        of the trees or shrubs.
          [(4) Hardwood tree planting.--The Secretary may 
        permit owners or operators that contract to devote at 
        least 10 acres of land to the production of hardwood 
        trees under this subchapter to extend the planting of 
        the trees over a 3-year period if at least \1/3\ of the 
        trees are planted in each of the first 2 years.]
          (2) Limitations.--
                  (A) Exception for seed costs.--In the case of 
                seed costs related to the establishment of 
                cover, cost share shall not exceed 25 percent 
                of the total cost of the seed mixture.
                  (B) Additional incentive payments.--Except as 
                provided in subsection (c), the Secretary may 
                not make additional incentive payments beyond 
                the actual cost of installing measures and 
                practices described in paragraph (1).
                  (C) Mid-contract management grazing.--The 
                Secretary may not make any cost sharing payment 
                to an owner or operator under this subchapter 
                pursuant to section 1232(a)(5).
          [(5)] (3) Other federal cost share assistance.--An 
        owner or operator shall not be eligible to receive or 
        retain cost share assistance under this subsection if 
        the owner or operator receives any other Federal cost 
        share assistance with respect to the land under any 
        other provision of law.
  (c)  [Incentive] Forest Management Payment Payments.--
          (1) In general.--[The Secretary] Using funds made 
        available under section 1241(a)(1)(A), the Secretary 
        may make incentive payments to an owner or operator of 
        eligible land in an amount sufficient to encourage 
        proper thinning and other practices to improve the 
        condition of resources, promote forest management, or 
        enhance wildlife habitat on the land.
          (2) Limitation.--A payment described in paragraph (1) 
        may not exceed [150 percent] 100 percent of the total 
        cost of thinning and other practices conducted by the 
        owner or operator.
  (d) Annual Rental Payments.--
          (1) In general.--In determining the amount of annual 
        rental payments to be paid to owners and operators for 
        converting highly erodible cropland or other eligible 
        lands normally devoted to the production of an 
        agricultural commodity to [less intensive use, the 
        Secretary may consider] less intensive use--
                  (A) the Secretary may consider, among other 
                things, the amount necessary to encourage 
                owners or operators of highly erodible cropland 
                or other eligible lands to participate in the 
                program established by this subchapter[.]; and
                  (B) the Secretary shall consider the impact 
                on the local farmland rental market.
          (2) Methods of determination.--
                  [(A) In general.--The amounts payable to 
                owners or operators in the form of rental 
                payments under contracts entered into under 
                this subchapter may be determined through--
                          [(i) the submission of bids for such 
                        contracts by owners and operators in 
                        such manner as the Secretary may 
                        prescribe; or
                          [(ii) such other means as the 
                        Secretary determines are appropriate.]
                  (A) In general.--
                          (i) Initial enrollment.--The amounts 
                        payable to an owner or operator in the 
                        form of annual rental payments under a 
                        contract entered into under this 
                        subchapter with respect to land that 
                        has not previously been subject to such 
                        a contract shall be not more than 80 
                        percent of the applicable estimated 
                        average county rental rate published 
                        pursuant to paragraph (4) for the year 
                        in which the contract is entered into.
                          (ii) Multiple enrollments.--If land 
                        subject to a contract entered into 
                        under this subchapter is reenrolled in 
                        the conservation reserve under section 
                        1231(h)(1)--
                                  (I) for the first such 
                                reenrollment, the annual rental 
                                payment shall be in an amount 
                                that is not more than 65 
                                percent of the applicable 
                                estimated average county rental 
                                rate published pursuant to 
                                paragraph (4) for the year in 
                                which the reenrollment occurs;
                                  (II) for the second such 
                                reenrollment, the annual rental 
                                payment shall be in an amount 
                                that is not more than 55 
                                percent of the applicable 
                                estimated average county rental 
                                rate published pursuant to 
                                paragraph (4) for the year in 
                                which the reenrollment occurs;
                                  (III) for the third such 
                                reenrollment, the annual rental 
                                payment shall be in an amount 
                                that is not more than 45 
                                percent of the applicable 
                                estimated average county rental 
                                rate published pursuant to 
                                paragraph (4) for the year in 
                                which the reenrollment occurs; 
                                and
                                  (IV) for the fourth such 
                                reenrollment, the annual rental 
                                payment shall be in an amount 
                                that is not more than 35 
                                percent of the applicable 
                                estimated average county rental 
                                rate published pursuant to 
                                paragraph (4) for the year in 
                                which the reenrollment occurs.
                  (B) Grasslands.--[In the case] 
                Notwithstanding subparagraph (A), in the case 
                of eligible land described in section 
                1231(b)(3), the Secretary shall make annual 
                payments in an amount that is not more than 75 
                percent of the grazing value of the land 
                covered by the contract.
          (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 
                various states and regions.--The Secretary may 
                establish different criteria for determining 
                the acceptability of contract offers in various 
                States and regions of the United States based 
                on the extent to which water quality or 
                wildlife habitat may be improved or erosion may 
                be abated.
                  (C) Local preference.--In determining the 
                acceptability 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.
          [(4) Hardwood tree acreage.--In the case of acreage 
        enrolled in the conservation reserve established under 
        this subchapter that is to be devoted to hardwood 
        trees, the Secretary may consider bids for contracts 
        under this subsection on a continuous basis.
          [(5)] (4) Rental rates.--
                  (A) Annual estimates.--The Secretary (acting 
                through the National Agricultural Statistics 
                Service) shall [, not less frequently than once 
                every other year,] annually conduct a 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, and shall publish the estimates 
                derived from such survey not later than 
                September 15 of each year.
                  (B) Public availability of estimates.--The 
                estimates derived from the survey conducted 
                under subparagraph (A) shall be maintained on a 
                website of the Department of Agriculture for 
                use by the general public.
                  (C) Use.--The Secretary [may] shall use the 
                estimates derived from the survey conducted 
                under subparagraph (A) relating to dryland 
                [cash] rental rates [as a factor in 
                determining] to determine rental rates under 
                this section in a manner determined appropriate 
                by the Secretary.
  (e) Payment Schedule.--
          (1) In general.--Except as otherwise provided in this 
        section, payments under this subchapter shall be made 
        in cash in such amount and on such time schedule as is 
        agreed on and specified in the contract.
          (2) Advance payment.--Payments under this subchapter 
        may be made in advance of determination of performance.
  (f) Payments on Death, Disability, or Succession.--If an 
owner or operator that is entitled to a payment under a 
contract entered into under this subchapter dies, becomes 
incompetent, is otherwise unable to receive the payment, or is 
succeeded by another person that renders or completes the 
required performance, the Secretary shall make the payment, in 
accordance with regulations prescribed 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 
of the circumstances.
  (g) Payment Limitation for Rental Payments.--
          (1) In general.--The total amount of rental payments 
        received by a person or legal entity, directly or 
        indirectly, under this subchapter for any fiscal year 
        may not exceed $50,000.
          (2) Special conservation reserve enhancement 
        program.--
                  (A) In general.--The provisions of this 
                subsection that limit payments to any person or 
                legal entity, and section 1305(d) of the 
                Agricultural Reconciliation Act of 1987 (7 
                U.S.C. 1308 note; Public Law 100-203), shall 
                not be applicable to payments received by a 
                State, political subdivision, or agency thereof 
                in connection with agreements entered into 
                under a special conservation reserve 
                enhancement program carried out by that entity 
                that has been approved by the Secretary.
                  (B) Agreements.--The Secretary may enter into 
                such agreements for payments to States 
                (including political subdivisions and agencies 
                of States) that the Secretary determines will 
                advance the purposes of this subchapter.
                  (C) Limitation on payments.--Payments under 
                subparagraph (B) shall not exceed 50 percent of 
                the cost of activities carried out under the 
                applicable agreement entered into under such 
                subparagraph.
  (h) Other State or Local Assistance.--In addition to any 
payment under this subchapter, an owner or operator may receive 
cost share assistance, rental payments, or tax benefits from a 
State or subdivision thereof for enrolling land in the 
conservation reserve program.

SEC. 1235. CONTRACTS.

  (a) Ownership or Operation Requirements.--
          (1) In general.--Except as provided in paragraph (2), 
        no contract shall be entered into under this subchapter 
        concerning land with respect to which the ownership has 
        changed in the 1-year period preceding the first year 
        of the contract period unless--
                  (A) the new ownership was acquired by will or 
                succession as a result of the death of the 
                previous owner;
                  (B) the new ownership was acquired before 
                January 1, 1985;
                  (C) the Secretary determines that the land 
                was acquired under circumstances that give 
                adequate assurance that the land was not 
                acquired for the purpose of placing the land in 
                the program established by this subchapter; or
                  (D) the ownership change occurred due to 
                foreclosure on the land and the owner of the 
                land immediately before the foreclosure 
                exercises a right of redemption from the 
                mortgage holder in accordance with State law.
          (2) Exceptions.--Paragraph (1) shall not--
                  (A) prohibit the continuation of an agreement 
                by a new owner after an agreement has been 
                entered into under this subchapter; or
                  (B) require a person to own the land as a 
                condition of eligibility for entering into the 
                contract if the person--
                          (i) has operated the land to be 
                        covered by a contract under this 
                        section for at least 1 year preceding 
                        the date of the contract or since 
                        January 1, 1985, whichever is later; 
                        and
                          (ii) controls the land for the 
                        contract period.
  (b) Sales or Transfers.--If, during the term of a contract 
entered into under this subchapter, an owner or operator of 
land subject to the contract sells or otherwise transfers the 
ownership or right of occupancy of the land, the new owner or 
operator of the land may--
          (1) continue the contract under the same terms or 
        conditions;
          (2) enter into a new contract in accordance with this 
        subchapter; or
          (3) elect not to participate in the program 
        established by this subchapter.
  (c) Modifications.--
          (1) In general.--The Secretary may modify a contract 
        entered into with an owner or operator under this 
        subchapter if--
                  (A) the owner or operator agrees to the 
                modification; and
                  (B) the Secretary determines that the 
                modification is desirable--
                          (i) to carry out this subchapter;
                          (ii) to facilitate the practical 
                        administration of this subchapter;
                          (iii) to facilitate a transition of 
                        land subject to the contract from a 
                        retired or retiring owner or operator 
                        to a beginning farmer or rancher or 
                        socially disadvantaged farmer or 
                        rancher for the purpose of returning 
                        some or all of the land into production 
                        using sustainable grazing or crop 
                        production methods; or
                          (iv) to achieve such other goals as 
                        the Secretary determines are 
                        appropriate, consistent with this 
                        subchapter.
          (2) Production of agricultural commodities.--The 
        Secretary may modify or waive a term or condition of a 
        contract entered into under this subchapter in order to 
        permit all or part of the land subject to such contract 
        to be devoted to the production of an agricultural 
        commodity during a crop year, subject to such 
        conditions as the Secretary determines are appropriate.
  (d) Termination.--
          (1) In general.--The Secretary may terminate a 
        contract entered into with an owner or operator under 
        this subchapter if--
                  (A) the owner or operator agrees to the 
                termination; and
                  (B) the Secretary determines that the 
                termination would be in the public interest.
          (2) Notice to congressional committees.--At least 90 
        days before taking any action to terminate under 
        paragraph (1) all conservation reserve contracts 
        entered into under this subchapter, the Secretary shall 
        provide to the Committee on Agriculture of the House of 
        Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate written notice of 
        the action.
  (e) Early Termination by Owner or Operator.--
          (1) Early termination.--
                  (A) In general.--During fiscal year [2015] 
                2019, the Secretary shall allow a participant 
                that entered into a contract under this 
                subchapter to terminate the contract at any 
                time if the contract has been in effect for at 
                least 5 years.
                  (B) Liability for contract violation.--The 
                termination shall not relieve the participant 
                of liability for a contract violation occurring 
                before the date of the termination.
                  (C) Notice to secretary.--The participant 
                shall provide the Secretary with reasonable 
                notice of the desire of the participant to 
                terminate the contract.
          (2) Certain land excepted.--The following land shall 
        not be subject to an early termination of contract 
        under this subsection:
                  (A) Filterstrips, waterways, strips adjacent 
                to riparian areas, windbreaks, and 
                shelterbelts.
                  (B) Land with an erodibility index of more 
                than 15.
                  (C) Land devoted to hardwood trees.
                  (D) Wildlife habitat, duck nesting habitat, 
                pollinator habitat, upland bird habitat buffer, 
                wildlife food plots, State acres for wildlife 
                enhancement, shallow water areas for wildlife, 
                and rare and declining habitat.
                  (E) Farmable wetland and restored wetland.
                  (F) Land that contains diversions, erosion 
                control structures, flood control structures, 
                contour grass strips, living snow fences, 
                salinity reducing vegetation, cross wind trap 
                strips, and sediment retention structures.
                  (G) Land located within a federally 
                designated wellhead protection area.
                  (H) Land that is covered by an easement under 
                the conservation reserve program.
                  (I) Land located within an average width, 
                according to the applicable Natural Resources 
                Conservation Service field office technical 
                guide, of a perennial stream or permanent water 
                body.
                  (J) Land enrolled under the conservation 
                reserve enhancement program.
          (3) Effective date.--The contract termination shall 
        become effective upon approval by the Secretary.
          (4) Prorated rental payment.--If a contract entered 
        into under this subchapter is terminated under this 
        subsection before the end of the fiscal year for which 
        a rental payment is due, the Secretary shall provide a 
        prorated rental payment covering the portion of the 
        fiscal year during which the contract was in effect.
          (5) Renewed enrollment.--The termination of a 
        contract entered into under this subchapter shall not 
        affect the ability of the owner or operator that 
        requested the termination to submit a subsequent bid to 
        enroll the land that was subject to the contract into 
        the conservation reserve.
          (6) Conservation requirements.--If land that was 
        subject to a contract is returned to production of an 
        agricultural commodity, the conservation requirements 
        under subtitles B and C shall apply to the use of the 
        land to the extent that the requirements are similar to 
        those requirements imposed on other similar land in the 
        area, except that the requirements may not be more 
        onerous than the requirements imposed on other land.
  (f) Transition Option for Certain Farmers or Ranchers.--
          (1) Transition to covered farmer or rancher.--In the 
        case of a contract modification approved in order to 
        facilitate the transfer of land subject to a contract 
        from a retired farmer or rancher to a beginning farmer 
        or rancher, a veteran farmer or rancher (as defined in 
        section 2501(e) of the Food, Agriculture, Conservation, 
        and Trade Act of 1990 (7 U.S.C. 2279(e))), or a 
        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 operator, 
                        to make conservation and land 
                        improvements, including preparing to 
                        plant an agricultural crop; 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.);]
                  (A) beginning on the date that is 1 year 
                before the date of termination of the contract, 
                allow the covered farmer or rancher, in 
                conjunction with the retired or retiring owner 
                or operator, to make conservation and land 
                improvements, including preparing to plant an 
                agricultural crop;
                  (B) beginning on the date that is 3 years 
                before the date of termination of the contract, 
                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)] (C) beginning on the date of 
                termination of the contract, 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)] (D) require the covered farmer or 
                rancher to develop and implement a conservation 
                plan, and provide to such farmer or rancher 
                technical and financial assistance to carry out 
                the requirements of the plan, if any;
                  [(D)] (E) provide to the covered farmer or 
                rancher an opportunity to enroll in [the 
                conservation stewardship program or] the 
                environmental quality incentives program by not 
                later than the date on which the covered farmer 
                or rancher takes possession of the land through 
                ownership or lease; and
                  [(E)] (F) continue to make annual payments to 
                the retired or retiring owner or operator for 
                not more than an additional 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 1001 of 
                this Act) of the covered farmer or rancher.
          (2) Reenrollment.--[The Secretary] To the extent the 
        maximum number of acres permitted to be enrolled under 
        the program has not been met, the Secretary shall 
        provide a covered farmer or rancher with the option to 
        reenroll any applicable partial field conservation 
        practice that--
                  (A) is [eligible for enrollment under the 
                continuous signup option pursuant to section 
                1234(d)(2)(A)(ii)] is carried out on land 
                described in paragraph (4) or (5) of section 
                1231(b); and
                  (B) is part of an approved conservation plan.
  [(g) Final Year of Contract.--The Secretary shall not 
consider an owner or operator to be in violation of a term or 
condition of the conservation reserve contract if--
          [(1) during the year prior to expiration of the 
        contract, the land is enrolled in the conservation 
        stewardship program; and
          [(2) the activity required under the conservation 
        stewardship program pursuant to such enrollment is 
        consistent with this subchapter.]
  (g) End of Contract Considerations.--The Secretary shall not 
consider an owner or operator to be in violation of a term or 
condition of the conservation reserve contract if--
          (1) during the year prior to expiration of the 
        contract, the owner or operator--
                  (A) enters into an environmental quality 
                incentives program contract; and
                  (B) begins the establishment of an 
                environmental quality incentives practice; or
          (2) during the three years prior to the expiration of 
        the contract, the owner or operator begins the 
        certification process under the Organic Foods 
        Production Act of 1990.
  (h) Land Enrolled in Agricultural Conservation Easement 
Program.--The Secretary may terminate or modify a contract 
entered into under this subchapter if eligible land that is 
subject to such contract is transferred into the agricultural 
conservation easement program under subtitle H.

       [CHAPTER 2--CONSERVATION SECURITY AND FARMLAND PROTECTION

              [Subchapter A--Conservation Security Program

[SEC. 1238. DEFINITIONS.

   [In this subchapter:
          [(1) Base payment.--The term ``base payment'' means 
        an amount that is--
                  [(A) determined in accordance with the rate 
                described in section 1238C(b)(1)(A); and
                  [(B) paid to a producer under a conservation 
                security contract in accordance with clause (i) 
                of subparagraph (C), (D), or (E) of section 
                1238C(b)(1), as appropriate.
          [(2) Beginning farmer or rancher.--The term 
        ``beginning farmer or rancher'' has the meaning given 
        the term under section 343(a) of the Consolidated Farm 
        and Rural Development Act (7 U.S.C. 1991(a)).
          [(3) Conservation practice.--The term ``conservation 
        practice'' means a conservation farming practice 
        described in section 1238A(d)(4) that--
                  [(A) requires planning, implementation, 
                management, and maintenance; and
                  [(B) promotes 1 or more of the purposes 
                described in section 1238A(a).
          [(4) Conservation security contract.--The term 
        ``conservation security contract'' means a contract 
        described in section 1238A(e).
          [(5) Conservation security plan.--The term 
        ``conservation security plan'' means a plan described 
        in section 1238A(c).
          [(6) Conservation security program.--The term 
        ``conservation security program'' means the program 
        established under section 1238A(a).
          [(7) Enhanced payment.--The term ``enhanced payment'' 
        means the amount paid to a producer under a 
        conservation security contract that is equal to the 
        amount described in section 1238C(b)(1)(C)(iii).
          [(8) Nondegradation standard.--The term 
        ``nondegradation standard'' means the level of measures 
        required to adequately protect, and prevent degradation 
        of, 1 or more natural resources, as determined by the 
        Secretary in accordance with the quality criteria 
        described in handbooks of the Natural Resources 
        Conservation Service.
          [(9) Producer.--
                  [(A) In general.--The term ``producer'' means 
                an owner, operator, landlord, tenant, or 
                sharecropper that--
                          [(i) shares in the risk of producing 
                        any crop or livestock; and
                          [(ii) is entitled to share in the 
                        crop or livestock available for 
                        marketing from a farm (or would have 
                        shared had the crop or livestock been 
                        produced).
                  [(B) Hybrid seed growers.--In determining 
                whether a grower of hybrid seed is a producer, 
                the Secretary shall not take into consideration 
                the existence of a hybrid seed contract.
          [(10) Resource-conserving crop rotation.--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 moisture (or otherwise reduces the need 
                for irrigation).
          [(11) Resource management system.--The term 
        ``resource management system'' means a system of 
        conservation practices and management relating to land 
        or water use that is designed to prevent resource 
        degradation and permit sustained use of land, water, 
        and other natural resources, as defined in accordance 
        with the technical guide of the Natural Resources 
        Conservation Service.
          [(12) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture, acting through the Chief of 
        the Natural Resources Conservation Service.
          [(13) Tier i conservation security contract.--The 
        term ``Tier I conservation security contract'' means a 
        contract described in section 1238A(d)(5)(A).
          [(14) Tier ii conservation security contract.--The 
        term ``Tier II conservation security contract'' means a 
        contract described in section 1238A(d)(5)(B).
          [(15) Tier iii conservation security contract.--The 
        term ``Tier III conservation security contract'' means 
        a contract described in section 1238A(d)(5)(C).

[SEC. 1238A. CONSERVATION SECURITY PROGRAM.

  [(a) In General.--The Secretary shall establish and, for each 
of fiscal years 2003 through 2011, carry out a conservation 
security program to assist producers of agricultural operations 
in promoting, as is applicable with respect to land to be 
enrolled in the program, conservation and improvement of the 
quality of soil, water, air, energy, plant and animal life, and 
any other conservation purposes, as determined by the 
Secretary.
  [(b) Eligibility.--
          [(1) Eligible producers.--To be eligible to 
        participate in the conservation security program (other 
        than to receive technical assistance under section 
        1238C(g) for the development of conservation security 
        contracts), a producer shall--
                  [(A) develop and submit to the Secretary, and 
                obtain the approval of the Secretary of, a 
                conservation security plan that meets the 
                requirements of subsection (c)(1); and
                  [(B) enter into a conservation security 
                contract with the Secretary to carry out the 
                conservation security plan.
          [(2) Eligible land.--Except as provided in paragraph 
        (3), private agricultural land (including cropland, 
        grassland, prairie land, improved pasture land, and 
        rangeland), land under the jurisdiction of an Indian 
        tribe (as defined by the Secretary), and forested land 
        that is an incidental part of an agricultural operation 
        shall be eligible for enrollment in the conservation 
        security program.
          [(3) Exclusions.--
                  [(A) Conservation reserve program.--Land 
                enrolled in the conservation reserve program 
                under subchapter B of chapter 1 shall not be 
                eligible for enrollment in the conservation 
                security program.
                  [(B) Wetlands reserve program.--Land enrolled 
                in the wetlands reserve program established 
                under subchapter C of chapter 1 shall not be 
                eligible for enrollment in the conservation 
                security program.
                  [(C) Grassland reserve program.--Land 
                enrolled in the grassland reserve program 
                established under subchapter D of chapter 2 
                shall not be eligible for enrollment in the 
                conservation security program.
                  [(D) Conversion to cropland.--Land that is 
                used for crop production after the date of 
                enactment of this subchapter 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 (except for land 
                enrolled in the conservation reserve program 
                under subchapter B of chapter 1) or that has 
                been maintained using long-term crop rotation 
                practices, as determined by the Secretary, 
                shall not be the basis for any payment under 
                the conservation security program.
          [(4) Economic uses.--The Secretary shall permit a 
        producer to implement, with respect to all eligible 
        land covered by a conservation security plan, economic 
        uses that--
                  [(A) maintain the agricultural nature of the 
                land; and
                  [(B) are consistent with the natural resource 
                and conservation objectives of the conservation 
                security program.
  [(c) Conservation Security Plans.--
          [(1) In general.--A conservation security plan 
        shall--
                  [(A) identify the designated land and 
                resources to be conserved under the 
                conservation security plan;
                  [(B) describe the tier of conservation 
                security contract, and the particular 
                conservation practices to be implemented, 
                maintained, or improved, in accordance with 
                subsection (d) on the land covered by the 
                conservation security contract for the 
                specified term; and
                  [(C) contain a schedule for the 
                implementation, maintenance, or improvement of 
                the conservation practices described in the 
                conservation security plan during the term of 
                the conservation security contract.
          [(2) Resource planning.--The Secretary may assist 
        producers that enter into conservation security 
        contracts in developing a comprehensive, long-term 
        strategy for improving and maintaining all natural 
        resources of the agricultural operation of the 
        producer.
  [(d) Conservation Contracts and Practices.--
          [(1) In general.--
                  [(A) Establishment of tiers.--The Secretary 
                shall establish, and offer to eligible 
                producers, 3 tiers of conservation contracts 
                under which a payment under this subchapter may 
                be received.
                  [(B) Eligible conservation practices.--
                          [(i) In general.--The Secretary shall 
                        make eligible for payment under a 
                        conservation security contract land 
                        management, vegetative, and structural 
                        practices.
                          [(ii) Determination.--In determining 
                        the eligibility of a practice described 
                        in clause (i), the Secretary shall 
                        require, to the maximum extent 
                        practicable, that the lowest cost 
                        alternatives be used to fulfill the 
                        purposes of the conservation security 
                        plan, as determined by the Secretary.
          [(2) On-farm research and demonstration or pilot 
        testing.--With respect to land enrolled in the 
        conservation security program, the Secretary may 
        approve a conservation security plan that includes--
                  [(A) on-farm conservation research and 
                demonstration activities; and
                  [(B) pilot testing of new technologies or 
                innovative conservation practices.
          [(3) Use of handbook and guides; state and local 
        conservation concerns.--
                  [(A) Use of handbook and guides.--In 
                determining eligible conservation practices and 
                the criteria for implementing or maintaining 
                the conservation practices under the 
                conservation security program, the Secretary 
                shall use the National Handbook of Conservation 
                Practices of the Natural Resources Conservation 
                Service.
                  [(B) State and local conservation 
                priorities.--The conservation priorities of a 
                State or locality in which an agricultural 
                operation is situated shall be determined by 
                the State Conservationist, in consultation 
                with--
                          [(i) the State technical committee 
                        established under subtitle G; and
                          [(ii) local agricultural producers 
                        and conservation working groups.
          [(4) Conservation practices.--Conservation practices 
        that may be implemented by a producer under a 
        conservation security contract (as appropriate for the 
        agricultural operation of a producer) include--
                  [(A) nutrient management;
                  [(B) integrated pest management;
                  [(C) water conservation (including through 
                irrigation) and water quality management;
                  [(D) grazing, pasture, and rangeland 
                management;
                  [(E) soil conservation, quality, and residue 
                management;
                  [(F) invasive species management;
                  [(G) fish and wildlife habitat conservation, 
                restoration, and management;
                  [(H) air quality management;
                  [(I) energy conservation measures;
                  [(J) biological resource conservation and 
                regeneration;
                  [(K) contour farming;
                  [(L) strip cropping;
                  [(M) cover cropping;
                  [(N) controlled rotational grazing;
                  [(O) resource-conserving crop rotation;
                  [(P) conversion of portions of cropland from 
                a soil-depleting use to a soil-conserving use, 
                including production of cover crops;
                  [(Q) partial field conservation practices;
                  [(R) native grassland and prairie protection 
                and restoration; and
                  [(S) any other conservation practices that 
                the Secretary determines to be appropriate and 
                comparable to other conservation practices 
                described in this paragraph.
          [(5) Tiers.--Subject to paragraph (6), to carry out 
        this subsection, the Secretary shall establish the 
        following 3 tiers of conservation contracts:
                  [(A) Tier i conservation security 
                contracts.--A conservation security plan for 
                land enrolled under a Tier I conservation 
                security contract shall--
                          [(i) be for a period of 5 years; and
                          [(ii) include conservation practices 
                        appropriate for the agricultural 
                        operation, that, at a minimum (as 
                        determined by the Secretary)--
                                  [(I) address at least 1 
                                significant resource of concern 
                                for the enrolled portion of the 
                                agricultural operation at a 
                                level that meets the 
                                appropriate nondegradation 
                                standard; and
                                  [(II) cover active management 
                                of conservation practices that 
                                are implemented or maintained 
                                under the conservation security 
                                contract.
                  [(B) Tier ii conservation security 
                contracts.--A conservation security plan for 
                land enrolled under a Tier II conservation 
                security contract shall--
                          [(i) be for a period of not less than 
                        5 nor more than 10 years, as determined 
                        by the producer;
                          [(ii) include conservation practices 
                        appropriate for the agricultural 
                        operation, that, at a minimum--
                                  [(I) address at least 1 
                                significant resource of concern 
                                for the entire agricultural 
                                operation, as determined by the 
                                Secretary, at a level that 
                                meets the appropriate 
                                nondegradation standard; and
                                  [(II) cover active management 
                                of conservation practices that 
                                are implemented or maintained 
                                under the conservation security 
                                contract.
                  [(C) Tier iii conservation security 
                contracts.--A conservation security plan for 
                land enrolled under a Tier III conservation 
                security contract shall--
                          [(i) be for a period of not less than 
                        5 nor more than 10 years, as determined 
                        by the producer; and
                          [(ii) include conservation practices 
                        appropriate for the agricultural 
                        operation that, at a minimum--
                                  [(I) apply a resource 
                                management system that meets 
                                the appropriate nondegradation 
                                standard for all resources of 
                                concern of the entire 
                                agricultural operation, as 
                                determined by the Secretary; 
                                and
                                  [(II) cover active management 
                                of conservation practices that 
                                are implemented or maintained 
                                under the conservation security 
                                contract.
          [(6) Minimum requirements.--The minimum requirements 
        for each tier of conservation contracts implemented 
        under paragraph (5) shall be determined and approved by 
        the Secretary.
  [(e) Conservation Security Contracts.--
          [(1) In general.--On approval of a conservation 
        security plan of a producer, the Secretary shall enter 
        into a conservation security contract with the producer 
        to enroll the land covered by the conservation security 
        plan in the conservation security program.
          [(2) Modification.--
                  [(A) Optional modifications.--A producer may 
                apply to the Secretary for a modification of 
                the conservation security contract of the 
                producer that is consistent with the purposes 
                of the conservation security program.
                  [(B) Other modifications.--
                          [(i) In general.--The Secretary may, 
                        in writing, require a producer to 
                        modify a conservation security contract 
                        before the expiration of the 
                        conservation security contract if the 
                        Secretary determines that a change made 
                        to the type, size, management, or other 
                        aspect of the agricultural operation of 
                        the producer would, without the 
                        modification of the contract, 
                        significantly interfere with achieving 
                        the purposes of the conservation 
                        security program.
                          [(ii) Participation in other 
                        programs.--If appropriate payment 
                        reductions and other adjustments (as 
                        determined by the Secretary) are made 
                        to the conservation security contract 
                        of a producer, the producer may--
                                  [(I) simultaneously 
                                participate in--
                                          [(aa) the 
                                        conservation security 
                                        program;
                                          [(bb) the 
                                        conservation reserve 
                                        program under 
                                        subchapter B of chapter 
                                        1; and
                                          [(cc) the wetlands 
                                        reserve program under 
                                        subchapter C of chapter 
                                        1; and
                                  [(II) may remove land 
                                enrolled in the conservation 
                                security program for enrollment 
                                in a program described in item 
                                (bb) or (cc) of subclause (I).
          [(3) Termination.--
                  [(A) Optional termination.--A producer may 
                terminate a conservation security contract and 
                retain payments received under the conservation 
                security contract, if--
                          [(i) the producer is in full 
                        compliance with the terms and 
                        conditions (including any maintenance 
                        requirements) of the conservation 
                        security contract as of the date of the 
                        termination; and
                          [(ii) the Secretary determines that 
                        termination of the contract would not 
                        defeat the purposes of the conservation 
                        security plan of the producer.
                  [(B) Other termination.--A producer that is 
                required to modify a conservation security 
                contract under paragraph (2)(B)(i) may, in lieu 
                of modifying the contract--
                          [(i) terminate the conservation 
                        security contract; and
                          [(ii) retain payments received under 
                        the conservation security contract, if 
                        the producer has fully complied with 
                        the terms and conditions of the 
                        conservation security contract before 
                        termination of the contract, as 
                        determined by the Secretary.
          [(4) Renewal.--
                  [(A) In general.--Except as provided in 
                subparagraph (B), at the option of a producer, 
                the conservation security contract of the 
                producer may be renewed for an additional 
                period of not less than 5 nor more than 10 
                years.
                  [(B) Tier i renewals.--In the case of a Tier 
                I conservation security contract of a producer, 
                the producer may renew the contract only if the 
                producer agrees--
                          [(i) to apply additional conservation 
                        practices that meet the nondegradation 
                        standard on land already enrolled in 
                        the conservation security program; or
                          [(ii) to adopt new conservation 
                        practices with respect to another 
                        portion of the agricultural operation 
                        that address resource concerns and meet 
                        the nondegradation standard under the 
                        terms of the Tier I conservation 
                        security contract.
  [(f) Noncompliance Due to Circumstances Beyond the Control of 
Producers.--The Secretary shall include in the conservation 
security contract a provision, and may permit modification of a 
conservation security contract under subsection (e)(1), to 
ensure that a producer shall not be considered in violation of 
a conservation security contract for failure to comply with the 
conservation security contract due to circumstances beyond the 
control of the producer, including a disaster or related 
condition, as determined by the Secretary.
  [(g) Prohibition on Conservation Security Program Contracts; 
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 contract was received 
                during the 2008 sign-up period.
          [(3) Effect on payments.--The Secretary shall make 
        payments under this subchapter with respect to 
        conservation security 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.

[SEC. 1238B. DUTIES OF PRODUCERS.

   [Under a conservation security contract, a producer shall 
agree, during the term of the conservation security contract--
          [(1) to implement the applicable conservation 
        security plan approved by the Secretary;
          [(2) to maintain, and make available to the Secretary 
        at such times as the Secretary may request, appropriate 
        records showing the effective and timely implementation 
        of the conservation security plan;
          [(3) not to engage in any activity that would 
        interfere with the purposes of the conservation 
        security program; and
          [(4) on the violation of a term or condition of the 
        conservation security contract--
                  [(A) if the Secretary determines that the 
                violation warrants termination of the 
                conservation security contract--
                          [(i) to forfeit all rights to receive 
                        payments under the conservation 
                        security contract; and
                          [(ii) to refund to the Secretary all 
                        or a portion of the payments received 
                        by the producer under the conservation 
                        security contract, including any 
                        advance payments and interest on the 
                        payments, as determined by the 
                        Secretary; or
                  [(B) if the Secretary determines that the 
                violation does not warrant termination of the 
                conservation security contract, to refund to 
                the Secretary, or accept adjustments to, the 
                payments provided to the producer, as the 
                Secretary determines to be appropriate.

[SEC. 1238C. DUTIES OF THE SECRETARY.

  [(a) Timing of Payments.--The Secretary shall make payments 
under a conservation security contract as soon as practicable 
after October 1 of each fiscal year.
  [(b) Annual Payments.--
          [(1) Criteria for determining amount of payments.--
                  [(A) Base payment.--A base payment under this 
                paragraph shall be (as determined by the 
                Secretary)--
                          [(i) the average national per-acre 
                        rental rate for a specific land use 
                        during the 2001 crop year; or
                          [(ii) another appropriate rate for 
                        the 2001 crop year that ensures 
                        regional equity.
                  [(B) Payments.--A payment for a conservation 
                practice under this paragraph shall be 
                determined in accordance with subparagraphs (C) 
                through (E).
                  [(C) Tier i conservation security 
                contracts.--The payment for a Tier I 
                conservation security contract shall consist of 
                the total of the following amounts:
                          [(i) An amount equal to 5 percent of 
                        the applicable base payment for land 
                        covered by the contract.
                          [(ii) An amount that does not exceed 
                        75 percent (or, in the case of a 
                        beginning farmer or rancher, 90 
                        percent) of the average county costs of 
                        practices for the 2001 crop year that 
                        are included in the conservation 
                        security contract, as determined by the 
                        Secretary, including the costs of--
                                  [(I) the adoption of new 
                                management, vegetative, and 
                                land-based structural 
                                practices;
                                  [(II) the maintenance of 
                                existing land management and 
                                vegetative practices; and
                                  [(III) the maintenance of 
                                existing land-based structural 
                                practices that are approved by 
                                the Secretary but not already 
                                covered by a Federal or State 
                                maintenance requirement.
                          [(iii) An enhanced payment that is 
                        determined by the Secretary in a manner 
                        that ensures equity across regions of 
                        the United States, if the producer--
                                  [(I) implements or maintains 
                                multiple conservation practices 
                                that exceed minimum 
                                requirements for the applicable 
                                tier of participation 
                                (including practices that 
                                involve a change in land use, 
                                such as resource-conserving 
                                crop rotation, managed 
                                rotational grazing, or 
                                conservation buffer practices);
                                  [(II) addresses local 
                                conservation priorities in 
                                addition to resources of 
                                concern for the agricultural 
                                operation;
                                  [(III) participates in an on-
                                farm conservation research, 
                                demonstration, or pilot 
                                project;
                                  [(IV) participates in a 
                                watershed or regional resource 
                                conservation plan that involves 
                                at least 75 percent of 
                                producers in a targeted area; 
                                or
                                  [(V) carries out assessment 
                                and evaluation activities 
                                relating to practices included 
                                in a conservation security 
                                plan.
                  [(D) Tier ii conservation security 
                contracts.--The payment for a Tier II 
                conservation security contract shall consist of 
                the total of the following amounts:
                          [(i) An amount equal to 10 percent of 
                        the applicable base payment for land 
                        covered by the conservation security 
                        contract.
                          [(ii) An amount that does not exceed 
                        75 percent (or, in the case of a 
                        beginning farmer or rancher, 90 
                        percent) of the average county cost of 
                        adopting or maintaining practices for 
                        the 2001 crop year that are included in 
                        the conservation security contract, as 
                        described in subparagraph (C)(ii).
                          [(iii) An enhanced payment that is 
                        determined in accordance with 
                        subparagraph (C)(iii).
                  [(E) Tier iii conservation security 
                contracts.--The payment for a Tier III 
                conservation security contract shall consist of 
                the total of the following amounts:
                          [(i) An amount equal to 15 percent of 
                        the base payment for land covered by 
                        the conservation security contract.
                          [(ii) An amount that does not exceed 
                        75 percent (or, in the case of a 
                        beginning farmer or rancher, 90 
                        percent) of the average county cost of 
                        adopting or maintaining practices for 
                        the 2001 crop year that are included in 
                        the conservation security contract, as 
                        described in subparagraph (C)(ii).
                          [(iii) An enhanced payment that is 
                        determined in accordance with 
                        subparagraph (C)(iii).
          [(2) Limitation on payments.--
                  [(A) In general.--Subject to paragraphs (1) 
                and (3), the Secretary shall make an annual 
                payment, directly or indirectly, to an 
                individual or entity covered by a conservation 
                security contract in an amount not to exceed--
                          [(i) in the case of a Tier I 
                        conservation security contract, 
                        $20,000;
                          [(ii) in the case of a Tier II 
                        conservation security contract, 
                        $35,000; or
                          [(iii) in the case of a Tier III 
                        conservation security contract, 
                        $45,000.
                  [(B) Limitation on base payments.--In 
                applying the payment limitation under each of 
                clauses (i), (ii), and (iii) of subparagraph 
                (A), an individual or entity may not receive, 
                directly or indirectly, payments described in 
                clause (i) of paragraph (1)(C), (1)(D), or 
                (1)(E), as appropriate, in an amount that 
                exceeds--
                          [(i) in the case of Tier I contracts, 
                        25 percent of the applicable payment 
                        limitation; or
                          [(ii) in the case of Tier II 
                        contracts and Tier III contracts, 30 
                        percent of the applicable payment 
                        limitation.
                  [(C) Other usda payments.--A producer shall 
                not receive payments under the conservation 
                security program and any other conservation 
                program administered by the Secretary for the 
                same practices on the same land.
                  [(D) Commensurate share.--To be eligible to 
                receive a payment under this subchapter, an 
                individual or entity shall make contributions 
                (including contributions of land, labor, 
                management, equipment, or capital) to the 
                operation of the farm that are at least 
                commensurate with the share of the proceeds of 
                the operation of the individual or entity.
          [(3) Equipment or facilities.--A payment to a 
        producer under this subchapter shall not be provided 
        for--
                  [(A) construction or maintenance of animal 
                waste storage or treatment facilities or 
                associated waste transport or transfer devices 
                for animal feeding operations; or
                  [(B) the purchase or maintenance of equipment 
                or a non-land based structure that is not 
                integral to a land-based practice, as 
                determined by the Secretary.
  [(c) Minimum Practice Requirement.--In determining a payment 
under subsection (b) for a producer that receives a payment 
under another program administered by the Secretary that is 
contingent on complying with requirements under subtitle B or C 
(relating to the use of highly erodible land or wetland), a 
payment under this subchapter on land subject to those 
requirements shall be for practices only to the extent that the 
practices exceed minimum requirements for the producer under 
those subtitles, as determined by the Secretary.
  [(d) Regulations.--The Secretary shall promulgate regulations 
that--
          [(1) provide for adequate safeguards to protect the 
        interests of tenants and sharecroppers, including 
        provision for sharing payments, on a fair and equitable 
        basis; and
          [(2) prescribe such other rules as the Secretary 
        determines to be necessary to ensure a fair and 
        reasonable application of the limitations established 
        under subsection (b).
  [(e) Transfer or Change of Interest in Land Subject to 
Conservation Security Contract.--
          [(1) In general.--Except as provided in paragraph 
        (2), the transfer, or change in the interest, of a 
        producer in land subject to a conservation security 
        contract shall result in the termination of the 
        conservation security contract.
          [(2) Transfer of duties and rights.--Paragraph (1) 
        shall not apply if, not later than 60 days after the 
        date of the transfer or change in the interest in land, 
        the transferee of the land provides written notice to 
        the Secretary that all duties and rights under the 
        conservation security contract have been transferred 
        to, and assumed by, the transferee.
  [(f) Enrollment Procedure.--In entering into conservation 
security contracts with producers under this subchapter, the 
Secretary shall not use competitive bidding or any similar 
procedure.
  [(g) Technical Assistance.--For each of fiscal years 2003 
through 2007, the Secretary shall provide technical assistance 
to producers for the development and implementation of 
conservation security contracts, in an amount not to exceed 15 
percent of amounts expended for the fiscal year.]

            [Subchapter B--Conservation Stewardship Program

[SEC. 1238D. DEFINITIONS.

  [In this subchapter:
          [(1) Agricultural operation.--The term ``agricultural 
        operation'' means all eligible land, whether or not 
        contiguous, that is--
                  [(A) under the effective control of a 
                producer at the time the producer enters into a 
                contract under the program; and
                  [(B) operated with equipment, labor, 
                management, and production or cultivation 
                practices that are substantially separate from 
                other agricultural operations, as determined by 
                the Secretary.
          [(2) Conservation activities.--
                  [(A) In general.--The term ``conservation 
                activities'' means conservation systems, 
                practices, or management measures.
                  [(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 
                        priority resource concern.
          [(3) Conservation stewardship plan.--The term 
        ``conservation stewardship plan'' means a plan that--
                  [(A) identifies and inventories priority 
                resource concerns;
                  [(B) establishes benchmark data and 
                conservation objectives;
                  [(C) describes conservation activities to be 
                implemented, 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) Eligible land.--
                  [(A) In general.--The term ``eligible land'' 
                means--
                          [(i) private or tribal land on which 
                        agricultural commodities, livestock, or 
                        forest-related products are produced; 
                        and
                          [(ii) lands associated with the land 
                        described in clause (i) on which 
                        priority resource concerns could be 
                        addressed through a contract under the 
                        program.
                  [(B) Inclusions.--The term ``eligible land'' 
                includes--
                          [(i) cropland;
                          [(ii) grassland;
                          [(iii) rangeland;
                          [(iv) pasture land;
                          [(v) nonindustrial private forest 
                        land; and
                          [(vi) other land in agricultural 
                        areas (including cropped woodland, 
                        marshes, and agricultural land used or 
                        capable of being used for the 
                        production of livestock), as determined 
                        by the Secretary.
          [(5) Priority resource concern.--The term ``priority 
        resource concern'' means a natural resource concern or 
        problem, as determined by the Secretary, that--
                  [(A) is identified at the national, State, or 
                local level as a priority for a particular area 
                of a State;
                  [(B) represents a significant concern in a 
                State or region; and
                  [(C) is likely to be addressed successfully 
                through the implementation of conservation 
                activities under this program.
          [(6) Program.--The term ``program'' means the 
        conservation stewardship program established by this 
        subchapter.
          [(7) Stewardship threshold.--The term ``stewardship 
        threshold'' means the level of management required, as 
        determined by the Secretary, to conserve and improve 
        the quality and condition of a natural resource.

[SEC. 1238E. CONSERVATION STEWARDSHIP PROGRAM.

  [(a) Establishment and Purpose.--During each of fiscal years 
2014 through 2018, the Secretary shall carry out a conservation 
stewardship program to encourage producers to address priority 
resource concerns and improve and conserve the quality and 
condition of natural resources in a comprehensive manner--
          [(1) by undertaking additional conservation 
        activities; and
          [(2) by improving, maintaining, and managing existing 
        conservation activities.
  [(b) Exclusions.--
          [(1) Land enrolled in other conservation programs.--
        Subject to paragraph (2), the following land (even if 
        covered by the definition of eligible land) is not 
        eligible for enrollment in the program:
                  [(A) Land enrolled in the conservation 
                reserve program, unless--
                          [(i) the conservation reserve 
                        contract will expire at the end of the 
                        fiscal year in which the land is to be 
                        enrolled in the program; and
                          [(ii) conservation reserve program 
                        payments for land enrolled in the 
                        program cease before the first program 
                        payment is made to the applicant under 
                        this subchapter.
                  [(B) Land enrolled in a wetland reserve 
                easement through the agricultural conservation 
                easement program.
                  [(C) Land enrolled in the conservation 
                security program.
          [(2) Conversion to cropland.--Eligible land used for 
        crop production after the date of enactment of the 
        Agricultural Act of 2014, 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 such requirement 
        because--
                  [(A) the land had previously been enrolled in 
                the conservation 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 Secretary.

[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 a contract offer for the 
agricultural operation that--
          [(1) demonstrates to the satisfaction of the 
        Secretary that the producer, at the time of the 
        contract offer, meets or exceeds the stewardship 
        threshold for at least 2 priority resource concerns; 
        and
          [(2) would, at a minimum, meet or exceed the 
        stewardship threshold for at least 1 additional 
        priority resource concern by the end of the stewardship 
        contract by--
                  [(A) installing and adopting additional 
                conservation activities; and
                  [(B) improving, maintaining, and managing 
                existing conservation activities across the 
                entire agricultural operation in a manner that 
                increases or extends the conservation benefits 
                in place at the time the contract offer is 
                accepted by the Secretary.
  [(b) Evaluation of Contract Offers.--
          [(1) Ranking of applications.--In evaluating contract 
        offers submitted under subsection (a), the Secretary 
        shall rank applications based on--
                  [(A) the level of conservation treatment on 
                all applicable priority resource concerns at 
                the time of application;
                  [(B) the degree to which the proposed 
                conservation activities effectively increase 
                conservation performance;
                  [(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 priority 
                resource concerns will be addressed to meet or 
                exceed the stewardship threshold by the end of 
                the contract period;
                  [(E) the extent to which the actual and 
                anticipated conservation benefits from the 
                contract are provided at the least cost 
                relative to other similarly beneficial contract 
                offers; and
                  [(F) the extent to which priority resource 
                concerns will be addressed when transitioning 
                from the conservation reserve program to 
                agricultural production.
          [(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 that the Secretary 
        determines are necessary to ensure that national, 
        State, and local priority resource concerns 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 eligible 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) Required 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 conservation stewardship 
                contract under section 1238G(d);
                  [(B) require the producer--
                          [(i) to implement a conservation 
                        stewardship plan that describes the 
                        program purposes to be achieved through 
                        1 or more conservation activities;
                          [(ii) to maintain and supply 
                        information as required by the 
                        Secretary to determine compliance with 
                        the conservation stewardship plan and 
                        any other requirements of the program; 
                        and
                          [(iii) not to conduct any activities 
                        on the agricultural operation that 
                        would tend to defeat the purposes of 
                        the program;
                  [(C) permit all economic uses of the eligible 
                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;
                  [(E) include provisions requiring that upon 
                the violation of a term or condition of the 
                contract at any time the producer has control 
                of the land--
                          [(i) if the Secretary determines that 
                        the violation warrants termination of 
                        the contract--
                                  [(I) the producer shall 
                                forfeit all rights to receive 
                                payments under the contract; 
                                and
                                  [(II) the producer shall 
                                refund all or a portion of the 
                                payments received by the 
                                producer under the contract, 
                                including any interest on the 
                                payments, as determined by the 
                                Secretary; or
                          [(ii) if the Secretary determines 
                        that the violation does not warrant 
                        termination of the contract, the 
                        producer shall refund or accept 
                        adjustments to the payments provided to 
                        the producer, as the Secretary 
                        determines to be appropriate;
                  [(F) include provisions in accordance with 
                paragraphs (3) and (4); and
                  [(G) include any additional provisions the 
                Secretary determines are necessary to carry out 
                the program.
          [(3) Change of interest in land subject to a 
        contract.--
                  [(A) In general.--At the time of application, 
                a producer shall have control of the eligible 
                land to be enrolled in the program. Except as 
                provided in subparagraph (B), a change in the 
                interest of a producer in eligible land covered 
                by a contract under the program shall result in 
                the termination of the contract with regard to 
                that land.
                  [(B) Transfer of duties and rights.--
                Subparagraph (A) shall not apply if--
                          [(i) within a reasonable period of 
                        time (as determined by the Secretary) 
                        after the date of the change in the 
                        interest in eligible land covered by a 
                        contract under the program, the 
                        transferee of the land provides written 
                        notice to the Secretary that all duties 
                        and rights under the contract have been 
                        transferred to, and assumed by, the 
                        transferee for the portion of the land 
                        transferred;
                          [(ii) the transferee meets the 
                        eligibility requirements of the 
                        program; and
                          [(iii) the Secretary approves the 
                        transfer of all duties and rights under 
                        the contract.
          [(4) Modification and termination of contracts.--
                  [(A) Voluntary modification or termination.--
                The Secretary may modify or terminate a 
                contract with a producer if--
                          [(i) the producer agrees to the 
                        modification or termination; and
                          [(ii) the Secretary determines that 
                        the modification or termination is in 
                        the public interest.
                  [(B) Involuntary termination.--The Secretary 
                may terminate a contract if the Secretary 
                determines that the producer violated the 
                contract.
          [(5) 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 payments received and assess liquidated 
                damages.
  [(e) Contract Renewal.--At the end of the initial 5-year 
contract period, the Secretary may allow the producer to renew 
the contract for 1 additional 5-year period if the producer--
          [(1) demonstrates compliance with the terms of the 
        initial contract;
          [(2) agrees to adopt and continue to integrate 
        conservation activities across the entire agricultural 
        operation, as determined by the Secretary; and
          [(3) agrees, by the end of the contract period--
                  [(A) to meet the stewardship threshold of at 
                least 2 additional priority resource concerns 
                on the agricultural operation; or
                  [(B) to exceed the stewardship threshold of 2 
                existing priority resource concerns that are 
                specified by the Secretary in the initial 
                contract.

[SEC. 1238G. DUTIES OF THE SECRETARY.

  [(a) In General.--To achieve the conservation goals of a 
contract 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, 1 of which shall occur in the first quarter of 
        each fiscal year;
          [(2) identify not less than 5 priority resource 
        concerns in a particular watershed or other appropriate 
        region or area within a State; and
          [(3) establish a science-based stewardship threshold 
        for each priority resource concern identified under 
        paragraph (2).
  [(b) Allocation to States.--The Secretary shall allocate 
acres to States for enrollment, based--
          [(1) primarily on each State's proportion of eligible 
        land to the total acreage of eligible land 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 program in the State is, or will be, 
                effective in helping producers address those 
                needs; and
                  [(C) other considerations to achieve 
                equitable geographic distribution of funds, as 
                determined by the Secretary.
  [(c) Acreage Enrollment Limitation.--During the period 
beginning on the date of enactment of the Agricultural Act of 
2014, and ending on September 30, 2022, the Secretary shall, to 
the maximum extent practicable--
          [(1) enroll in the program an additional 10,000,000 
        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 associated with enrollment or 
        participation in the program.
  [(d) Conservation Stewardship Payments.--
          [(1) Availability of payments.--The Secretary shall 
        provide annual payments under the program to compensate 
        the producer for--
                  [(A) installing and adopting additional 
                conservation activities; and
                  [(B) improving, maintaining, and managing 
                conservation activities in place at the 
                agricultural operation of the producer at the 
                time the contract offer is accepted by the 
                Secretary.
          [(2) Payment amount.--The amount of the annual 
        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, management, maintenance, 
                or training.
                  [(B) Income forgone by the producer.
                  [(C) Expected conservation benefits.
                  [(D) The extent to which priority resource 
                concerns will be addressed through the 
                installation and adoption of conservation 
                activities on the agricultural operation.
                  [(E) The level of stewardship in place at the 
                time of application and maintained over the 
                term of the contract.
                  [(F) The degree to which the conservation 
                activities will be integrated across the entire 
                agricultural operation for all applicable 
                priority resource concerns over the term of the 
                contract.
                  [(G) Such other factors as are determined 
                appropriate by the Secretary.
          [(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) Delivery of payments.--In making payments under 
        this subsection, the Secretary shall, to the extent 
        practicable--
                  [(A) prorate conservation performance over 
                the term of the contract so as to accommodate, 
                to the extent practicable, producers earning 
                equal annual payments in each fiscal year; and
                  [(B) make such payments as soon as 
                practicable after October 1 of each fiscal year 
                for activities carried out in the previous 
                fiscal year.
  [(e) Supplemental Payments for Resource-Conserving Crop 
Rotations.--
          [(1) Availability of payments.--The Secretary shall 
        provide additional payments to producers that, in 
        participating in the program, agree to adopt or improve 
        resource-conserving crop rotations to achieve 
        beneficial crop rotations as appropriate for the 
        eligible 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.
          [(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 
        subsection, 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 moisture or otherwise reduces the need 
                for irrigation.
  [(f) Payment Limitations.--A person or legal entity may not 
receive, directly or indirectly, payments under the program 
that, in the aggregate, exceed $200,000 under all contracts 
entered into during fiscal years 2014 through 2018, excluding 
funding arrangements with Indian tribes, regardless of the 
number of contracts entered into under the program by the 
person or legal entity.
  [(g) 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.
  [(h) Coordination with Organic Certification.--The Secretary 
shall establish a transparent means by which producers may 
initiate organic certification under the Organic Foods 
Production Act of 1990 (7 U.S.C. 6501 et seq.) while 
participating in a contract under the program.
  [(i) 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 (f); and
          [(2) otherwise enable the Secretary to carry out the 
        program.]

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CHAPTER 4--ENVIRONMENTAL QUALITY INCENTIVES PROGRAM

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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) Organic system plan.--The term ``organic system 
        plan'' means an organic plan approved under the 
        national organic program established under the Organic 
        Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).
          (3) Payment.--The term ``payment'' means financial 
        assistance provided to a producer for performing 
        practices under this chapter, including compensation 
        for--
                  (A) incurred costs associated with planning, 
                design, materials, equipment, installation, 
                labor, management, maintenance, or training; 
                and
                  (B) income forgone by the producer.
          (4) 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 determined 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) precision conservation 
                        management planning;
                          (iii) the use of cover crops and 
                        resource conserving crop rotations; and
                          [(ii)] (iv) other plans that the 
                        Secretary determines would further the 
                        purposes of the program under this 
                        chapter.
          (5) Priority resource concern.--The term ``priority 
        resource concern'' means a natural resource concern or 
        problem, as determined by the Secretary, that--
                  (A) is identified at the national, State, or 
                local level as a priority for a particular area 
                of a State; and
                  (B) represents a significant concern in a 
                State or region.
          [(5)] (6) Program.--The term ``program'' means the 
        environmental quality incentives program established by 
        this chapter.
          (7) Stewardship practice.--The term ``stewardship 
        practice'' means a practice or set of practices 
        approved by the Secretary that, when implemented and 
        maintained on eligible land, address 1 or more priority 
        resource concerns.

SEC. 1240B. ESTABLISHMENT AND ADMINISTRATION.

  (a) Establishment.--During each of the 2002 through [2019] 
2023 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 does not 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.
          (2) Limitation on payment amounts.--A payment to a 
        producer for performing a practice may not exceed, as 
        determined by the Secretary--
                  (A) 75 percent of the costs associated with 
                planning, design, materials, equipment, 
                installation, labor, management, 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 elements covered under 
                        subparagraph (A); and
                          (ii) 100 percent of income foregone 
                        for those elements 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 
        significance to a practice that, as determined by the 
        Secretary, promotes--
                  (A) soil health;
                  (B) water quality and quantity improvement;
                  (C) nutrient management;
                  (D) pest management;
                  (E) air quality improvement;
                  (F) wildlife habitat development, including 
                pollinator habitat; or
                  (G) invasive species 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, a veteran farmer or rancher (as 
                defined in section 2501(e) of the Food, 
                Agriculture, Conservation, and Trade Act of 
                1990 (7 U.S.C. 2279(e))), or a beginning farmer 
                or rancher, the Secretary shall increase the 
                amount that would otherwise be provided to a 
                producer under this subsection--
                          (i) to not more than 90 percent of 
                        the costs associated 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.--
                          (i) In general.--Not more than 50 
                        percent of the amount determined under 
                        subparagraph (A) may be provided in 
                        advance for the purpose of purchasing 
                        materials or contracting.
                          (ii) Return of funds.--If funds 
                        provided in advance are not expended 
                        during the 90-day period beginning on 
                        the date of receipt of the funds, the 
                        funds shall be returned within a 
                        reasonable timeframe, as determined by 
                        the Secretary.
          (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.--
          (1) Voluntary modification or termination.--The 
        Secretary may modify or terminate a contract entered 
        into with a producer under the program if--
                  (A) the producer agrees to the modification 
                or termination; 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 
        determines that the producer violated the contract.
  [(f) Allocation of Funding.--
          [(1) Livestock.--For each of fiscal years 2014 
        through 2018, at least 60 percent of the funds made 
        available for payments under the program shall be 
        targeted at practices relating to livestock production.
          [(2) Wildlife habitat.--For each of fiscal years 2014 
        through 2018, at least 5 percent of the funds made 
        available for payments under the program shall be 
        targeted at practices benefitting wildlife habitat 
        under subsection (g).]
  (f) Allocation of Funding.--For each of fiscal years 2014 
through 2023, at least 5 percent of the funds made available 
for payments under the program shall be targeted at practices 
benefitting wildlife habitat under subsection (g).
  (g) Wildlife Habitat Incentive Program.--
          (1) In general.--The Secretary shall provide payments 
        under the environmental quality incentives program for 
        conservation practices that support the restoration, 
        development, protection, and improvement of wildlife 
        habitat on eligible land, including--
                  (A) upland wildlife habitat;
                  (B) wetland wildlife habitat;
                  (C) habitat for threatened and endangered 
                species;
                  (D) fish habitat;
                  (E) habitat on pivot corners and other 
                irregular areas of a field; and
                  (F) other types of wildlife habitat, as 
                determined by the Secretary.
          (2) State technical committee.--In determining the 
        practices eligible for payment under paragraph (1) and 
        targeted for funding under subsection (f), the 
        Secretary shall consult with the relevant State 
        technical committee not less often than once each year.
  (h) Water Conservation or Irrigation Efficiency Practice.--
          [(1) Availability of payments.--The Secretary may 
        provide payments under this subsection to a producer 
        for a water conservation or irrigation practice.]
          (1) Availability of payments.--The Secretary may 
        provide water conservation and system efficiency 
        payments under this subsection to a producer for--
                  (A) a water conservation scheduling 
                technology or water conservation scheduling 
                management;
                  (B) irrigation-related structural practices; 
                or
                  (C) a transition to water-conserving crops or 
                water-conserving crop rotations.
          (2) Limited eligibility of irrigation districts, 
        irrigation associations, and acequias.--
                  (A) In general.--Notwithstanding section 
                1001(f)(6), the Secretary may enter into a 
                contract under this subsection with an 
                irrigation district, irrigation association, or 
                acequia to implement water conservation or 
                irrigation practices pursuant to a watershed-
                wide project that will effectively conserve 
                water, as determined by the Secretary.
                  (B) Implementation.--Water conservation or 
                irrigation practices that are the subject of a 
                contract entered into under this paragraph 
                shall be implemented on--
                          (i) eligible land of a producer; or
                          (ii) land that is under the control 
                        of the irrigation district, irrigation 
                        association, or acequia, and adjacent 
                        to such eligible land, as determined by 
                        the Secretary.
                  (C) Waiver authority.--The Secretary may 
                waive the applicability of the limitations in 
                section 1001D(b)(2) or section 1240G of this 
                Act for a payment made under a contract entered 
                into under this paragraph if the Secretary 
                determines that such a waiver is necessary to 
                fulfill the objectives of the project.
                  (D) Contract limitations.--If the Secretary 
                grants a waiver under subparagraph (C), the 
                Secretary may impose a separate payment 
                limitation for the contract with respect to 
                which the waiver applies.
          [(2)] (3) Priority.--In providing payments [to a 
        producer] under this subsection 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] the land on 
                which the practices will be implemented is 
                located, there is a reduction in water use in 
                the operation on such land; or
                  (B) with respect to an application under 
                paragraph (1), the producer agrees not to use 
                any associated water savings to bring new land, 
                other than incidental land needed for efficient 
                operations, under irrigated production, unless 
                the producer is participating in a watershed-
                wide project that will effectively conserve 
                water, as determined 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.
          (3) Payment limitations.--Payments under this 
        subsection 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).
  (j) Stewardship Contracts.--
          (1) Identification of eligible priority resource 
        concerns for states.--
                  (A) In general.--The Secretary, in 
                consultation with the State technical 
                committee, shall identify priority resource 
                concerns within a State that are eligible to be 
                the subject of a stewardship contract under 
                this subsection.
                  (B) Limitation.--The Secretary shall identify 
                not more than 3 eligible priority resource 
                concerns under subparagraph (A) within each 
                area of a State.
          (2) Contracts.--
                  (A) In general.--The Secretary shall enter 
                into contracts with producers under this 
                subsection that--
                          (i) provide incentives, through 
                        annual payments, to producers to attain 
                        increased conservation stewardship on 
                        eligible land;
                          (ii) adopt and install a stewardship 
                        practice to effectively address a 
                        priority resource concern identified as 
                        eligible under paragraph (1); and
                          (iii) require management and 
                        maintenance of such stewardship 
                        practice for the term of the contract.
                  (B) Term.--A contract under this subsection 
                shall have a term of not less than 5, nor more 
                than 10, years.
                  (C) Prioritization.--Section 1240C(b) shall 
                not apply to applications for contracts under 
                this subsection.
          (3) Stewardship payments.--
                  (A) In general.--The Secretary shall provide 
                payments to producers through contracts entered 
                into under paragraph (2) for--
                          (i) adopting and installing 
                        stewardship practices; and
                          (ii) managing, maintaining, and 
                        improving the stewardship practices for 
                        the duration of the contract, as 
                        determined appropriate by the 
                        Secretary.
                  (B) Payment amounts.--In determining the 
                amount of payments under subparagraph (A), the 
                Secretary shall consider, to the extent 
                practicable--
                          (i) the level and extent of the 
                        stewardship practice to be installed, 
                        adopted, completed, maintained, 
                        managed, or improved;
                          (ii) the cost of the installation, 
                        adoption, completion, management, 
                        maintenance, or improvement of the 
                        stewardship practice;
                          (iii) income foregone by the 
                        producer; and
                          (iv) the extent to which compensation 
                        would ensure long-term continued 
                        maintenance, management, and 
                        improvement of the stewardship 
                        practice.
                  (C) Limitation.--The total amount of payments 
                a person or legal entity receives pursuant to 
                subparagraph (A) shall not exceed $50,000 for 
                any fiscal year.
          (4) Reservation of funds.--The Secretary may use not 
        more than 50 percent of the funds made available under 
        section 1241 to carry out this chapter for payments 
        made pursuant to this subsection.

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SEC. 1240G. LIMITATION ON PAYMENTS.

  A person or legal entity may not receive, directly or 
indirectly, cost-share or incentive payments under this chapter 
that, in aggregate, exceed $450,000 for all contracts entered 
into under this chapter by the person or legal entity during 
the period of fiscal years 2014 through 2018, or the period of 
fiscal years 2019 through 2023, regardless of the number of 
contracts entered into under this chapter by the person or 
legal entity.

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 use not more than 
        $25,000,000 in each of fiscal years 2019 through 2023 
        to pay the cost of competitive grants that are intended 
        to stimulate innovative approaches to leveraging the 
        Federal investment in environmental enhancement and 
        protection, in conjunction with agricultural production 
        or forest resource management, through the program.
          (2) Use.--The Secretary may provide grants under this 
        subsection to governmental and non-governmental 
        organizations 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 or persons participating in an 
                educational activity through an institution of 
                higher education, including by carrying out 
                demonstration projects on lands of the 
                institution;
                  (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;
                  (D) provide environmental and resource 
                conservation benefits through increased 
                participation by producers of specialty crops;
                  (E) facilitate on-farm conservation research 
                and demonstration activities; and
                  (F) facilitate pilot testing of new 
                technologies or innovative conservation 
                practices.
  (b) Air Quality Concerns From Agricultural Operations.--
          (1) Implementation assistance.--The Secretary shall 
        provide payments under this subsection to producers to 
        implement 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 innovative technologies.
          (2) Funding.--Of the funds made available to carry 
        out this chapter, the Secretary shall carry out this 
        subsection using $25,000,000 for each of fiscal years 
        2009 through 2018, and $37,500,000 for each of fiscal 
        years 2019 through 2023.
  [(c) Reporting.--Not later than December 31, 2014, and every 
two years thereafter, 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 on the status of projects funded under 
this section, including--
          [(1) funding awarded;
          [(2) project results; and
          [(3) incorporation of project findings, such as new 
        technology and innovative approaches, into the 
        conservation efforts implemented by the Secretary.]
  (c) On-farm Conservation Innovation Trials.--
          (1) In general.--Using not more than $25,000,000 of 
        the funds made available to carry out this chapter in 
        each of fiscal years 2019 through 2023, the Secretary 
        shall carry out on-farm conservation innovation trials, 
        on eligible land of producers, to test new or 
        innovative conservation approaches--
                  (A) directly with producers; or
                  (B) through eligible entities.
          (2) Incentive payments.--
                  (A) Agreements.--In carrying out paragraph 
                (1), the Secretary shall enter into agreements 
                with producers on whose land an on-farm 
                conservation innovation trial is being carried 
                out to provide payments (including payments to 
                compensate for foregone income, as appropriate 
                to address the increased economic risk 
                potentially associated with new or innovative 
                conservation approaches) to the producers to 
                assist with adopting and evaluating new or 
                innovative conservation approaches.
                  (B) Length of incentives.--An agreement 
                entered into under subparagraph (A) shall be 
                for a period determined by the Secretary that 
                is--
                          (i) not less than 3 years; and
                          (ii) if appropriate, more than 3 
                        years, including if such a period is 
                        appropriate to support--
                                  (I) adaptive management over 
                                multiple crop years; and
                                  (II) adequate data collection 
                                and analysis to report the 
                                natural resource and 
                                agricultural production 
                                benefits of the new or 
                                innovative conservation 
                                approaches.
          (3) Flexible adoption.--A producer or eligible entity 
        participating in an on-farm conservation innovation 
        trial under paragraph (1) may determine the scale of 
        adoption of the new or innovative conservation 
        approaches in the on-farm conservation innovation 
        trial, which may include multiple scales on an 
        operation, including whole farm, field-level, or sub-
        field scales.
          (4) Technical assistance.--The Secretary shall 
        provide technical assistance--
                  (A) to a producer or eligible entity 
                participating in an on-farm conservation 
                innovation trial under paragraph (1), with 
                respect to the design, installation, and 
                management of the new or innovative 
                conservation approaches; and
                  (B) to an eligible entity participating in an 
                on-farm conservation innovation trial under 
                paragraph (1), with respect to data analyses of 
                the on-farm conservation innovation trial.
          (5) Definitions.--In this subsection:
                  (A) Eligible entity.--The term ``eligible 
                entity'' means a third-party private entity the 
                primary business of which is related to 
                agriculture.
                  (B) New or innovative conservation 
                approaches.--The term ``new or innovative 
                conservation approaches'' means--
                          (i) new or innovative--
                                  (I) precision agriculture 
                                technologies;
                                  (II) enhanced nutrient 
                                management plans, nutrient 
                                recovery systems, and 
                                fertilization systems;
                                  (III) soil health management 
                                systems;
                                  (IV) water management 
                                systems;
                                  (V) resource-conserving crop 
                                rotations;
                                  (VI) cover crops; and
                                  (VII) irrigation systems; and
                          (ii) any other conservation approach 
                        approved by the Secretary as new or 
                        innovative.
  (d) Reporting and Database.--
          (1) Report required.--Not later than December 31, 
        2014, and every two years thereafter, 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 
        on the status of activities funded under this section, 
        including--
                  (A) funding awarded;
                  (B) results of the activities; and
                  (C) incorporation of findings from the 
                activities, such as new technology and 
                innovative approaches, into the conservation 
                efforts implemented by the Secretary.
          (2) Conservation practice database.--
                  (A) In general.--The Secretary shall use the 
                data reported under paragraph (1) to establish 
                and maintain a publicly available conservation 
                practice database that provides--
                          (i) a compilation and analysis of 
                        effective conservation practices for 
                        soil health, nutrient management, and 
                        source water protection in varying soil 
                        compositions, cropping systems, slopes, 
                        and landscapes; and
                          (ii) a list of recommended new and 
                        effective conservation practices.
                  (B) Privacy.--Information provided under 
                subparagraph (A) shall be transformed into a 
                statistical or aggregate form so as to not 
                include any identifiable or personal 
                information of individual producers.

                 CHAPTER 5--OTHER CONSERVATION PROGRAMS

SEC. 1240M. CONSERVATION OF PRIVATE GRAZING LAND.

  (a) Purpose.--It is the purpose of this section to authorize 
the Secretary to provide a coordinated technical, educational, 
and related assistance program to conserve and enhance private 
grazing land resources and provide related benefits to all 
citizens of the United States by--
          (1) establishing a coordinated and cooperative 
        Federal, State, and local grazing conservation program 
        for management of private grazing land;
          (2) strengthening technical, educational, and related 
        assistance programs that provide assistance to owners 
        and managers of private grazing land;
          (3) conserving and improving wildlife habitat on 
        private grazing land;
          (4) conserving and improving fish habitat and aquatic 
        systems through grazing land conservation treatment;
          (5) protecting and improving water quality;
          (6) improving the dependability and consistency of 
        water supplies;
          (7) identifying and managing weed, noxious weed, and 
        brush encroachment problems on private grazing land; 
        and
          (8) integrating conservation planning and management 
        decisions by owners and managers of private grazing 
        land, on a voluntary basis.
  (b) Definitions.--In this section:
          (1) Department.--The term ``Department'' means the 
        Department of Agriculture.
          (2) Private grazing land.--The term ``private grazing 
        land'' means private, State-owned, tribally-owned, and 
        any other non-federally owned rangeland, pastureland, 
        grazed forest land, and hay land.
          (3) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.
  (c) Private Grazing Land Conservation Assistance.--
          (1) Assistance to grazing landowners and others.--
        Subject to the availability of appropriations for this 
        section, the Secretary shall establish a voluntary 
        program to provide technical, educational, and related 
        assistance to owners and managers of private grazing 
        land and public agencies, through local conservation 
        districts, to enable the landowners, managers, and 
        public agencies to voluntarily carry out activities 
        that are consistent with this section, including--
                  (A) maintaining and improving private grazing 
                land and the multiple values and uses that 
                depend on private grazing land;
                  (B) implementing grazing land management 
                technologies;
                  (C) managing resources on private grazing 
                land, including--
                          (i) planning, managing, and treating 
                        private grazing land resources;
                          (ii) ensuring the long-term 
                        sustainability of private grazing land 
                        resources;
                          (iii) harvesting, processing, and 
                        marketing private grazing land 
                        resources; and
                          (iv) identifying and managing weed, 
                        noxious weed, and brush encroachment 
                        problems;
                  (D) protecting and improving the quality and 
                quantity of water yields from private grazing 
                land;
                  (E) maintaining and improving wildlife and 
                fish habitat on private grazing land;
                  (F) enhancing recreational opportunities on 
                private grazing land;
                  (G) maintaining and improving the aesthetic 
                character of private grazing land;
                  (H) identifying the opportunities and 
                encouraging the diversification of private 
                grazing land enterprises; and
                  (I) encouraging the use of sustainable 
                grazing systems, such as year-round, 
                rotational, or managed grazing.
          (2) Program elements.--
                  (A) Funding.--If funding is provided to carry 
                out this section, it shall be provided through 
                a specific line-item in the annual 
                appropriations for the Natural Resources 
                Conservation Service.
                  (B) Technical assistance and education.--
                Personnel of the Department trained in pasture 
                and range management shall be made available 
                under the program to deliver and coordinate 
                technical assistance and education to owners 
                and managers of private grazing land, at the 
                request of the owners and managers.
  (d) Grazing Technical Assistance Self-Help.--
          (1) Findings.--Congress finds that--
                  (A) there is a severe lack of technical 
                assistance for farmers and ranchers that graze 
                livestock;
                  (B) Federal budgetary constraints preclude 
                any significant expansion, and may force a 
                reduction of, current levels of technical 
                support; and
                  (C) farmers and ranchers have a history of 
                cooperatively working together to address 
                common needs in the promotion of their products 
                and in the drainage of wet areas through 
                drainage districts.
          (2) Establishment of grazing demonstration.--In 
        accordance with paragraph (3), the Secretary may 
        establish 2 grazing management demonstration districts 
        at the recommendation of the grazing land conservation 
        initiative steering committee.
          (3) Procedure.--
                  (A) Proposal.--Within a reasonable time after 
                the submission of a request of an organization 
                of farmers or ranchers engaged in grazing, the 
                Secretary shall propose that a grazing 
                management district be established.
                  (B) Funding.--The terms and conditions of the 
                funding and operation of the grazing management 
                district shall be proposed by the producers.
                  (C) Approval.--The Secretary shall approve 
                the proposal if the Secretary determines that 
                the proposal--
                          (i) is reasonable;
                          (ii) will promote sound grazing 
                        practices; and
                          (iii) contains provisions similar to 
                        the provisions contained in the beef 
                        promotion and research order issued 
                        under section 4 of the Beef Research 
                        and Information Act (7 U.S.C. 2903) in 
                        effect on April 4, 1996.
                  (D) Area included.--The area proposed to be 
                included in a grazing management district shall 
                be determined by the Secretary on the basis of 
                an application by farmers or ranchers.
                  (E) Authorization.--The Secretary may use 
                authority under the Agricultural Adjustment Act 
                (7 U.S.C. 601 et seq.), reenacted with 
                amendments by the Agricultural Marketing 
                Agreement Act of 1937, to operate, on a 
                demonstration basis, a grazing management 
                district.
                  (F) Activities.--The activities of a grazing 
                management district shall be scientifically 
                sound activities, as determined by the 
                Secretary in consultation with a technical 
                advisory committee composed of ranchers, 
                farmers, and technical experts.
  (e) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $60,000,000 for each 
of fiscal years 2002 through [2018] 2023.

SEC. 1240O. GRASSROOTS SOURCE WATER PROTECTION PROGRAM.

  (a) In General.--The Secretary shall establish a national 
grassroots water protection program to more effectively use 
onsite technical assistance capabilities of each State rural 
water association that, as of the date of enactment of this 
section, operates a wellhead or groundwater protection program 
in the State.
  (b) Funding.--
          (1) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this section 
        $20,000,000 for each of fiscal years 2008 through 
        [2018] 2023.
          (2) Availability of funds.--In addition to funds made 
        available under paragraph (1), of the funds of the 
        Commodity Credit Corporation, the Secretary shall use 
        $5,000,000, to remain available until expended.
          (3) Additional funding.--In addition to any other 
        funds made available under this subsection, of the 
        funds of the Commodity Credit Corporation, the 
        Secretary shall use $5,000,000 beginning in fiscal year 
        2019, to remain available until expended.

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 
privately-held farm, ranch, and forest land to voluntarily make 
that land available for access by the public for wildlife-
dependent recreation, 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
                  (B) to the maximum extent practicable, other 
                recreational 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 
        migratory 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 
regulations as are necessary to carry out this section.
  (f) Funding.--
          (1) Mandatory funding.--Of the funds of the Commodity 
        Credit Corporation, the Secretary shall use to carry 
        out this section, to the maximum extent practicable, 
        $50,000,000 for the period of fiscal years 2009 through 
        [2012 and] 2012, $40,000,000 for the period of fiscal 
        years 2014 through 2018, and $50,000,000 for the period 
        of fiscal years 2019 through 2023.
          (2) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this section 
        $10,000,000 for fiscal year 2013.

                 Subtitle E--Funding and Administration

SEC. 1241. COMMODITY CREDIT CORPORATION.

  (a) Annual Funding.--For each of fiscal years 2014 through 
[2018 (and fiscal year 2019 in the case of the program 
specified in paragraph (5))] 2023, the Secretary shall use the 
funds, facilities, and authorities of the Commodity Credit 
Corporation to carry out the following programs under this 
title (including the provision of technical assistance):
          (1) The conservation reserve program under subchapter 
        B of chapter 1 of subtitle D, including, to the maximum 
        extent practicable--
                  (A) $10,000,000 for the period of fiscal 
                years 2014 through [2018] 2023 to provide 
                payments under section 1234(c); and
                  (B) $33,000,000 for the period of fiscal 
                years 2014 through [2018] 2023 to carry out 
                section 1235(f) to facilitate the transfer of 
                land subject to contracts from retired or 
                retiring owners and operators to beginning 
                farmers or ranchers and socially disadvantaged 
                farmers or ranchers.
          (2) The agricultural conservation easement program 
        under subtitle H using to the maximum extent 
        practicable--
                  (A) $400,000,000 for fiscal year 2014;
                  (B) $425,000,000 for fiscal year 2015;
                  (C) $450,000,000 for fiscal year 2016;
                  (D) $500,000,000 for fiscal year 2017; [and]
                  (E) $250,000,000 for fiscal year 2018[.]; and
                  (F) $500,000,000 for each of fiscal years 
                2019 through 2023.
          [(3) The conservation security program under 
        subchapter A of chapter 2 of subtitle D, using such 
        sums as are necessary to administer contracts entered 
        into before September 30, 2008.
          [(4)] (3) The conservation stewardship program under 
        subchapter B of chapter 2 of subtitle D, as in effect 
        on the day before the date of enactment of the 
        Agriculture and Nutrition Act of 2018, using such sums 
        as are necessary to administer contracts entered into 
        before the earlier of September 30, 2018, or such date 
        of enactment.
          [(5)] (4) The environmental quality incentives 
        program under chapter 4 of subtitle D, using, to the 
        maximum extent practicable--
                  (A) $1,350,000,000 for fiscal year 2014;
                  (B) $1,600,000,000 for fiscal year 2015;
                  (C) $1,650,000,000 for fiscal year 2016;
                  (D) $1,650,000,000 for fiscal year 2017; 
                [and]
                  (E) $1,750,000,000 for [each of fiscal years 
                2018 through 2019.] fiscal year 2018;
                  (F) $2,000,000,000 for fiscal year 2019;
                  (G) $2,500,000,000 for fiscal year 2020;
                  (H) $2,750,000,000 for fiscal year 2021;
                  (I) $2,935,000,000 for fiscal year 2022; and
                  (J) $3,000,000,000 for fiscal year 2023.
  (b) Availability of Funds.--Amounts made available by 
subsection (a) for fiscal years 2014 through [2018 (and fiscal 
year 2019 in the case of the program specified in subsection 
(a)(5))] 2023 shall be used by the Secretary to carry out the 
programs specified in such subsection and shall remain 
available until expended.
  (c) Technical Assistance.--
          (1) Availability.--Commodity Credit Corporation funds 
        made available for a fiscal year for each of the 
        programs specified in subsection (a)--
                  (A) shall be available for the provision of 
                technical assistance for the programs for which 
                funds are made available as necessary to 
                implement the programs effectively;
                  (B) except for technical assistance for the 
                conservation reserve program under subchapter B 
                of chapter 1 of subtitle D, shall be 
                apportioned for the provision of technical 
                assistance in the amount determined by the 
                Secretary, at the sole discretion of the 
                Secretary; and
                  (C) shall not be available for the provision 
                of technical assistance for conservation 
                programs specified in subsection (a) other than 
                the program for which the funds were made 
                available.
          [(2) Priority.--
                  [(A) In general.--In the delivery of 
                technical assistance under the Soil 
                Conservation and Domestic Allotment Act (16 
                U.S.C. 590a et seq.), the Secretary shall give 
                priority to producers who request technical 
                assistance from the Secretary in order to 
                comply for the first time with the requirements 
                of subtitle B and subtitle C of this title as a 
                result of the amendments made by section 2611 
                of the Agricultural Act of 2014.
                  [(B) Report.--Not later than 270 days after 
                the date of enactment of the Agricultural Act 
                of 2014, 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 the extent to which 
                the conservation compliance requirements 
                contained in the amendments made by section 
                2611 of the Agricultural Act of 2014 apply to 
                and impact specialty crop growers, including 
                national analysis and surveys to determine the 
                extent of specialty crop acreage that includes 
                highly erodible land and wetlands.
          [(3) Report.--Not later than December 31, 2014, the 
        Secretary shall submit (and update as necessary in 
        subsequent years) to the Committee on Agriculture of 
        the House of Representatives and the Committee on 
        Agriculture, Nutrition, and Forestry of the Senate a 
        report--
                  [(A) detailing the amount of technical 
                assistance funds requested and apportioned in 
                each program specified in subsection (a) during 
                the preceding fiscal year; and
                  [(B) any other data relating to this 
                provision that would be helpful to such 
                Committees.]
          (2) Priority.--In the delivery of technical 
        assistance under the Soil Conservation and Domestic 
        Allotment Act (16 U.S.C. 590a et seq.), the Secretary 
        shall give priority to producers who request technical 
        assistance from the Secretary in order to comply for 
        the first time with the requirements of subtitle B and 
        subtitle C of this title as a result of the amendments 
        made by section 2611 of the Agricultural Act of 2014.
          [(4)] (3) Compliance report.--Not later than November 
        1 of each year, 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) a description of the extent to which the 
                requests for highly erodible land conservation 
                and wetland compliance determinations are being 
                addressed in a timely manner;
                  (B) the total number of requests completed in 
                the previous fiscal year;
                  (C) the incomplete determinations on record; 
                and
                  (D) the number of requests that are still 
                outstanding more than 1 year since the date on 
                which the requests were received from the 
                producer.
  (d) Relationship to Other Law.--The use of Commodity Credit 
Corporation funds under subsection (c) to provide technical 
assistance shall not be considered an allotment or fund 
transfer from the Commodity Credit Corporation for purposes of 
the limit on expenditures for technical assistance imposed by 
section 11 of the Commodity Credit Corporation Charter Act (15 
U.S.C. 714i).
  [(e) Regional Equity.--
          [(1) Equitable distribution.--When determining 
        funding allocations each fiscal year, the Secretary 
        shall, after considering available funding and program 
        demand in each State, provide a distribution of funds 
        for conservation programs under subtitle D (excluding 
        the conservation reserve program under subchapter B of 
        chapter 1), subtitle H, and subtitle I to ensure 
        equitable program participation proportional to 
        historical funding allocations and usage by all States.
          [(2) Minimum percentage.--In determining the specific 
        funding allocations under paragraph (1), the Secretary 
        shall--
                  [(A) ensure that during the first quarter of 
                each fiscal year each State has the opportunity 
                to establish that the State can use an 
                aggregate allocation amount of at least 0.6 
                percent of the funds made available for those 
                conservation programs; and
                  [(B) for each State that can so establish, 
                provide an aggregate amount of at least 0.6 
                percent of the funds made available for those 
                conservation programs.
  [(f)] (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-Federal 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 deposited 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.
  [(g)] (f) Allocations Review and Update.--
          (1) Review.--Not later than January 1, 2012, the 
        Secretary 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 conservation programs.
  [(h)] (g) Assistance to Certain Farmers or Ranchers for 
Conservation Access.--
          (1) Assistance.--Of the funds made available for each 
        of fiscal years 2009 through [2018 to carry out the 
        environmental quality incentives program and the acres 
        made available for each of such fiscal years to carry 
        out the conservation stewardship program] 2023 to carry 
        out the environmental quality incentives 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.
          [(4)] (3) Preference.--In providing assistance under 
        paragraph (1), the Secretary shall give preference to a 
        veteran farmer or rancher (as defined in section 
        2501(e) of the Food, Agriculture, Conservation, and 
        Trade Act of 1990 (7 U.S.C. 2279(e))) that qualifies 
        under subparagraph (A) or (B) of paragraph (1).
  [(i) 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, Nutrition, 
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 agricultural 
        conservation easement program for easements valued at 
        $250,000 or greater.
          [(2) Payments made under the environmental quality 
        incentives program for land determined to have special 
        environmental significance pursuant to section 
        1240G(b).
          [(3) Payments made under the regional conservation 
        partnership program subject to the waiver of adjusted 
        gross income limitations pursuant to section 
        1271C(c)(3).
          [(4) Waivers granted by the Secretary under section 
        1001D(b)(2) of this Act in order to protect 
        environmentally sensitive land of special significance.
          [(5) Payments made under the conservation stewardship 
        program.
          [(6) Exceptions provided by the Secretary under 
        section 1265B(b)(2)(C).]
  (h) Report on Program Enrollments and Assistance.--Not later 
than December 15 of each of calendar years 2018 through 2023, 
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 an annual report 
containing statistics by State related to enrollments in 
conservation programs under this subtitle, as follows:
          (1) The annual and current cumulative activity 
        reflecting active agreement and contract enrollment 
        statistics.
          (2) Secretarial exceptions, waivers, and significant 
        payments, including--
                  (A) payments made under the agricultural 
                conservation easement program for easements 
                valued at $250,000 or greater;
                  (B) payments made under the regional 
                conservation partnership program subject to the 
                waiver of adjusted gross income limitations 
                pursuant to section 1271C(c)(3);
                  (C) waivers granted by the Secretary under 
                section 1001D(b)(3) of this Act;
                  (D) exceptions and activity associated with 
                section 1240B(h)(2); and
                  (E) exceptions provided by the Secretary 
                under section 1265B(b)(2)(C).

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).]
  (a) Definitions.--In this section:
          (1) Eligible participant.--The term ``eligible 
        participant'' means a producer, landowner, or entity 
        that is participating in, or seeking to participate in, 
        programs in which the producer, landowner, or entity is 
        otherwise eligible to participate under this title.
          (2) Third-party provider.--The term ``third-party 
        provider'' means a commercial entity (including a 
        farmer cooperative, agriculture retailer, or other 
        commercial entity (as defined by the Secretary)), a 
        nonprofit entity, a State or local government 
        (including a conservation district), or a Federal 
        agency, that has expertise in the technical aspect of 
        conservation planning, including nutrient management 
        planning, watershed planning, or environmental 
        engineering.
  (b) Purpose of Technical Assistance.--The purpose of 
technical 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 agricultural, forestry, or related uses.
  (c) Provision of Technical Assistance.--The Secretary shall 
provide technical assistance under this title to an eligible 
participant--
          (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 participant 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 
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 implement 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] third-party 
                providers; and
                  (C) approve any unique certification 
                standards established at the State level.
          (4) Alternative certification.--
                  (A) In general.--In carrying out this 
                subsection, the Secretary shall approve any 
                qualified certification that the Secretary 
                determines meets or exceeds the national 
                criteria provided under paragraph (3)(B).
                  (B) Qualified certification.--In this 
                paragraph, the term ``qualified certification'' 
                means a professional certification that is 
                established by the Secretary, an agriculture 
                retailer, a farmer cooperative, the American 
                Society of Agronomy, or the National Alliance 
                of Independent Crop Consultants, including 
                certification--
                          (i) as a Certified Crop Advisor by 
                        the American Society of Agronomy;
                          (ii) as a Certified Professional 
                        Agronomist by the American Society of 
                        Agronomy; and
                          (iii) as a Comprehensive Nutrient 
                        Management Plan Specialist by the 
                        Secretary.
  (f) Administration.--
          (1) Funding.--Effective for fiscal year 2008 and each 
        subsequent 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, 
        Conservation, 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] 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 accelerate conservation 
                        program delivery.
                  (B) Exclusions.--The Secretary shall not 
                designate as an activity eligible for payments 
                to a [third party] third-party provider any 
                service that is provided by a business, or 
                equivalent, in connection with conducting 
                business and that is customarily 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 agricultural, 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 
        paragraph (1), the Secretary shall consult with 
        eligible participants, crop consultants, cooperative 
        extension and land grant universities, nongovernmental 
        organizations, and other qualified entities.
          (3) Expedited revision of standards.--If the 
        Secretary determines under paragraph (1) that revisions 
        to the conservation practice standards, including 
        engineering design specifications, are necessary, the 
        Secretary shall establish an administrative process for 
        expediting the revisions.
  (i) Addressing Concerns of Specialty Crop, Organic, and 
Precision Agriculture Producers.--
          (1) In general.--The Secretary shall--
                  (A) to the maximum extent practicable, fully 
                incorporate 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 production or 
                precision agriculture.
          (2) Availability of adequate technical assistance.--
                  (A) In general.--The Secretary shall ensure 
                that adequate technical assistance is available 
                for the implementation 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 organizations; and
                          (ii) program specifications that 
                        allow for innovative approaches to 
                        engage local resources in providing 
                        technical assistance for planning and 
                        implementation of conservation 
                        practices.

SEC. 1244. ADMINISTRATIVE REQUIREMENTS FOR CONSERVATION PROGRAMS.

  (a) Incentives for Certain Farmers and Ranchers and Indian 
Tribes.--
          (1) Incentives authorized.--In carrying out any 
        conservation 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 
        paragraph (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.
                  (E) Veteran 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))).
  (b) Privacy of Personal Information Relating to Natural 
Resources Conservation Programs.--
          (1) Information received for technical and financial 
        assistance.--
                  (A) In general.--In accordance with section 
                552(b)(3) of title 5, United States Code, 
                except as provided in subparagraph (C) and 
                paragraph (2), information described in 
                subparagraph (B)--
                          (i) shall not be considered to be 
                        public information; and
                          (ii) shall not be released to any 
                        person or Federal, State, local agency 
                        or Indian tribe (as defined by the 
                        Secretary) outside the Department of 
                        Agriculture.
                  (B) Information.--The information referred to 
                in subparagraph (A) is information--
                          (i) provided to the Secretary or a 
                        contractor of the Secretary (including 
                        information provided under subtitle D) 
                        for the purpose of providing technical 
                        or financial assistance to an owner, 
                        operator, or producer with respect to 
                        any natural resources conservation 
                        program administered by the Natural 
                        Resources Conservation Service or the 
                        Farm Service Agency; and
                          (ii) that is proprietary (within the 
                        meaning of section 552(b)(4) of title 
                        5, United States Code) to the 
                        agricultural operation or land that is 
                        a part of an agricultural operation of 
                        the owner, operator, or producer.
                  (C) Exception.--Nothing in this section 
                affects the availability of payment information 
                (including payment amounts and the names and 
                addresses of recipients of payments) under 
                section 552 of title 5, United States Code.
          (2) Exceptions.--
                  (A) Release and disclosure for enforcement.--
                The Secretary may release or disclose to the 
                Attorney General information covered by 
                paragraph (1) to the extent necessary to 
                enforce the natural resources conservation 
                programs referred to in paragraph (1)(B)(i).
                  (B) Disclosure to cooperating persons and 
                agencies.--
                          (i) In general.--The Secretary may 
                        release or disclose information covered 
                        by paragraph (1) to a person or 
                        Federal, State, local, or tribal agency 
                        working in cooperation with the 
                        Secretary in providing technical and 
                        financial assistance described in 
                        paragraph (1)(B)(i) or collecting 
                        information from data gathering sites.
                          (ii) Use of information.--The person 
                        or Federal, State, local, or tribal 
                        agency that receives information 
                        described in clause (i) may release the 
                        information only for the purpose of 
                        assisting the Secretary--
                                  (I) in providing the 
                                requested technical or 
                                financial assistance; or
                                  (II) in collecting 
                                information from data gathering 
                                sites.
                  (C) Statistical and aggregate information.--
                Information covered by paragraph (1) may be 
                disclosed to the public 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.
                  (D) Consent of owner, operator, or 
                producer.--
                          (i) In general.--An owner, operator, 
                        or producer may consent to the 
                        disclosure of information described in 
                        paragraph (1).
                          (ii) Condition of other programs.--
                        The participation of the owner, 
                        operator, or producer in, and the 
                        receipt of any benefit by the owner, 
                        operator, or producer under, this title 
                        or any other program administered by 
                        the Secretary may not be conditioned on 
                        the owner, operator, or producer 
                        providing consent under this paragraph.
          (3) Violations; penalties.--Section 1770(c) shall 
        apply with respect to the release of information 
        collected in any manner or for any purpose prohibited 
        by this subsection.
          (4) Data collection, disclosure, and review.--Nothing 
        in this subsection--
                  (A) affects any procedure for data collection 
                or disclosure through the National Resources 
                Inventory; or
                  (B) limits the authority of Congress or the 
                [General Accounting Office] General 
                Accountability Office to review information 
                collected or disclosed under this subsection.
  (c) Plans.--The Secretary shall, to the extent practicable, 
avoid duplication in--
          (1) the conservation plans required for--
                  (A) highly erodible land conservation under 
                subtitle B; and
                  (B) the conservation reserve program 
                established under subchapter B of chapter 1 of 
                subtitle D;
          (2) the agricultural conservation easement program 
        established under subtitle H; and
          (3) the environmental quality incentives program 
        established under chapter 4 of subtitle D.
  (d) Tenant Protection.--Except for a person who is a tenant 
on land that is subject to a conservation reserve contract that 
has been extended by the Secretary, the Secretary shall provide 
adequate safeguards to protect the interests of tenants and 
sharecroppers, including provision for sharing, on a fair and 
equitable basis, in payments under the programs established 
under subtitles B through D, H, and I.
  (e) Provision of Technical Assistance by Other Sources.--In 
the preparation and application of a conservation compliance 
plan under subtitle B or similar plan required as a condition 
for assistance from the Department of Agriculture, the 
Secretary shall permit persons to secure technical assistance 
from approved sources, as determined by the Secretary, other 
than the Natural Resources Conservation Service. If the 
Secretary rejects a technical determination made by such a 
source, the basis of the Secretary's determination must be 
supported by documented evidence.
  (f) Acreage Limitations.--
          (1) Limitations.--
                  (A) Enrollments.--The Secretary shall not 
                enroll more than 25 percent of the cropland in 
                any county in the conservation reserve program 
                established under subchapter B of chapter 1 of 
                subtitle D and wetland reserve easements under 
                section 1265C.
                  (B) Easements.--Not more than 10 percent of 
                the cropland in a county may be subject to a 
                wetland reserve easement under section 1265C.
          (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 section 1212.
          (3) Waiver to exclude certain acreage.--The Secretary 
        may grant a waiver to exclude acreage enrolled under 
        subsection (d)(2)(A)(ii) or (g)(2) of section 1234 from 
        the limitations in paragraph (1)(A) with the 
        concurrence of the county government of the county 
        involved.
          (4) Exclusions.--
                  (A) Shelterbelts and windbreaks.--The 
                limitations established under paragraph (1) 
                shall not apply to cropland that is subject to 
                an easement under subchapter B of chapter 1 of 
                subtitle D that is used for the establishment 
                of shelterbelts and windbreaks.
                  (B) Wet and saturated soils.--For the 
                purposes of enrolling land in a wetland reserve 
                easement under section 1265C, the limitations 
                established under paragraph (1) shall not apply 
                to cropland designated by the Secretary with 
                subclass w in the land capability classes IV 
                through VIII because of severe use limitations 
                due to soil saturation or inundation.
          (5) Calculation.--In calculating the percentages 
        described in paragraph (1), the Secretary shall include 
        any acreage that was included in calculations of 
        percentages made under such paragraph, as in effect on 
        the day before the date of enactment of the 
        Agricultural Act of 2014, and that remains enrolled 
        when the calculation is made after that date under 
        paragraph (1).
  (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 section 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
          (2) the use of conservation practices that benefit 
        native and managed pollinators, including, to the 
        extent practicable, practices that maximize benefits 
        for honey bees.
  (i) Source Water Protection Through Targeting of Agricultural 
Practices.--
          (1) In general.--In carrying out any conservation 
        program administered by the Secretary, the Secretary 
        shall encourage practices that relate to water quality 
        and water quantity that protect source waters for 
        drinking water (including protecting against public 
        health threats) while also benefitting agricultural 
        producers.
          (2) Collaboration with water systems and increased 
        incentives.--In encouraging practices under paragraph 
        (1), the Secretary shall--
                  (A) work collaboratively with community water 
                systems and State technical committees 
                established under section 1261 to identify, in 
                each State, local priority areas for the 
                protection of source waters for drinking water; 
                and
                  (B) offer to producers increased incentives 
                and higher payment rates than are otherwise 
                statutorily authorized through conservation 
                programs administered by the Secretary for 
                practices that result in significant 
                environmental benefits that the Secretary 
                determines--
                          (i) relate to water quality or water 
                        quantity; and
                          (ii) occur primarily outside of the 
                        land on which the practices are 
                        implemented.
          (3) Reservation of funds.--In each of fiscal years 
        2019 through 2023, the Secretary shall use, to carry 
        out this subsection, not less than 10 percent of any 
        funds available with respect to each conservation 
        program administered by the Secretary under this title 
        except the conservation reserve program.
  [(i)] (j) Streamlined Application Process.--
          (1) In general.--In carrying out each conservation 
        program 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 
                        implementation of conservation 
                        programs;
                          (ii) conservation program applicants 
                        are not required to provide information 
                        that is readily available to the 
                        Secretary through existing information 
                        systems of the Department of 
                        Agriculture;
                          (iii) information provided by the 
                        applicant is managed 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.
  [(j)] (k) Improved Administrative Efficiency and 
Effectiveness.--In administrating a conservation program under 
this title, the Secretary shall, to the maximum extent 
practicable--
          (1) seek to reduce administrative burdens and costs 
        to producers by streamlining conservation planning and 
        program resources; and
          (2) take advantage of new technologies to enhance 
        efficiency and effectiveness.
  [(k)] (l) Relation to Other Payments.--Any payment received 
by an owner or operator under this title, including an easement 
payment or rental payment, shall be in addition to, and not 
affect, the total amount of payments that the owner or operator 
is otherwise eligible to receive under any of the following:
          (1) This Act.
          (2) The Agricultural Act of 1949 (7 U.S.C. 1421 et 
        seq.).
          (3) The Agricultural Act of 2014.
          (4) Any law that succeeds a law specified in 
        paragraph (1), (2), or (3).
  [(l)] (m) Funding for Indian Tribes.--In carrying out [the 
conservation stewardship program under subchapter B of chapter 
2 of subtitle D and] the environmental quality incentives 
program under chapter 4 of subtitle D, the Secretary may enter 
into alternative funding arrangements with Indian tribes if the 
Secretary determines that the goals and objectives of the 
programs will be met by such arrangements, and that statutory 
limitations regarding contracts with individual producers will 
not be exceeded by any tribal member.
  [(m) Exemption From Certain Reporting Requirements.--
          [(1) Definition of exempted producer.--In this 
        subsection, the term ``exempted producer'' means a 
        producer or landowner eligible to participate in any 
        conservation program administered by the Secretary.
          [(2) Exemption.--Notwithstanding the Federal Funding 
        Accountability and Transparency Act of 2006 (Public Law 
        109-282; 31 U.S.C. 6101 note), the requirements of 
        parts 25 and 170 of title 2, Code of Federal 
        Regulations (and any successor regulations), shall not 
        apply with respect to assistance received by an 
        exempted producer from the Secretary, acting through 
        the Natural Resources Conservation Service.]

           *       *       *       *       *       *       *


                 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.--The Secretary shall review and update as 
necessary--
          (1) standard operating procedures to standardize the 
        operations 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 
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 demonstrable conservation expertise and experience 
        working with agriculture producers in the State.
          (13) Agribusiness.
          (14) The State 1862 Institution (as defined in 
        section 2(1) of the Agricultural Research, Extension, 
        and Education Reform Act of 1998).

           *       *       *       *       *       *       *


         Subtitle H--Agricultural Conservation Easement Program

SEC. 1265. ESTABLISHMENT AND PURPOSES.

  (a) Establishment.--The Secretary shall establish an 
agricultural conservation easement program for the conservation 
of eligible land and natural resources through easements or 
other interests in land.
  (b) Purposes.--The purposes of the program are to--
          (1) combine the purposes and coordinate the functions 
        of the wetlands reserve program established under 
        section 1237, the grassland reserve program established 
        under section 1238N, and the farmland protection 
        program established under section 1238I, as such 
        sections were in effect on the day before the date of 
        enactment of the Agricultural Act of 2014;
          (2) restore, protect, and enhance wetlands on 
        eligible land;
          (3) protect the agricultural use and future 
        viability, and related conservation values, of eligible 
        land by limiting nonagricultural uses of that land that 
        negatively affect the agricultural uses and 
        conservation values; and
          (4) protect grazing uses and related conservation 
        values by [restoring and] restoring or conserving 
        eligible land.

SEC. 1265A. DEFINITIONS.

  In this subtitle:
          (1) Agricultural land easement.--The term 
        ``agricultural land easement'' means an easement or 
        other interest in eligible land that--
                  (A) is conveyed for the purpose of protecting 
                natural resources and the agricultural nature 
                of the land; and
                  (B) permits the landowner the right to 
                continue agricultural production and related 
                uses [subject to an agricultural land easement 
                plan, as approved by the Secretary].
          (2) Eligible entity.--The term ``eligible entity'' 
        means--
                  (A) an agency of State or local government or 
                an Indian tribe (including a farmland 
                protection board or land resource council 
                established under State law); or
                  (B) an organization that is--
                          (i) organized for, and at all times 
                        since the formation of the organization 
                        has been operated principally 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) an organization described in 
                        section 501(c)(3) of that Code that is 
                        exempt from taxation under section 
                        501(a) of that Code; or
                          (iii) described in--
                                  (I) paragraph (1) or (2) of 
                                section 509(a) of that Code; or
                                  (II) section 509(a)(3) of 
                                that Code and is controlled by 
                                an organization described in 
                                section 509(a)(2) of that Code.
          (3) Eligible land.--The term ``eligible land'' means 
        private or tribal land that is--
                  (A) in the case of an agricultural land 
                easement, agricultural land, including land on 
                a farm or ranch--
                          (i) that is subject to a pending 
                        offer for purchase of an agricultural 
                        land easement from an eligible entity;
                          (ii)(I) that has prime, unique, or 
                        other productive soil;
                          (II) that contains historical or 
                        archaeological resources;
                          (III) the enrollment of which would 
                        protect grazing uses and related 
                        conservation values by restoring and 
                        conserving land; or
                          (IV) the protection of which will 
                        further a State or local policy 
                        consistent with the purposes of the 
                        program; and
                          (iii) that is--
                                  (I) cropland;
                                  (II) rangeland;
                                  (III) grassland or land that 
                                contains forbs, or shrubland 
                                for which grazing is the 
                                predominant use;
                                  (IV) located in an area that 
                                has been historically dominated 
                                by grassland, forbs, or shrubs 
                                and could provide habitat for 
                                animal or plant populations of 
                                significant ecological value;
                                  (V) pastureland; or
                                  [(VI) nonindustrial private 
                                forest land that contributes to 
                                the economic viability of an 
                                offered parcel or serves as a 
                                buffer to protect such land 
                                from development;]
                                  (VI) nonindustrial private 
                                forest land that contributes to 
                                the economic viability of an 
                                offered parcel, or serves as a 
                                buffer to protect such land 
                                from development, which may 
                                include up to 100 percent of 
                                the parcel if the Secretary 
                                determines enrolling the land 
                                is important to protect a 
                                forest to provide significant 
                                conservation benefits;
                  (B) in the case of a wetland reserve 
                easement, a wetland or related area, 
                including--
                          (i) farmed or converted wetlands, 
                        together with adjacent land that is 
                        functionally dependent on that land, if 
                        the Secretary determines it--
                                  (I) is likely to be 
                                successfully restored in a 
                                cost-effective manner; and
                                  (II) will maximize the 
                                wildlife benefits and wetland 
                                functions and values[, as 
                                determined by the Secretary in 
                                consultation with the Secretary 
                                of the Interior at the local 
                                level];
                          (ii) cropland or grassland that was 
                        used for agricultural production prior 
                        to flooding from the natural overflow 
                        of--
                                  (I) a closed basin lake and 
                                adjacent land that is 
                                functionally dependent upon it, 
                                if the State or other entity is 
                                willing to provide 50 percent 
                                share of the cost of an 
                                easement; or
                                  (II) a pothole and adjacent 
                                land that is functionally 
                                dependent on it;
                          (iii) farmed wetlands and adjoining 
                        lands that--
                                  (I) are enrolled in the 
                                conservation reserve program;
                                  (II) have the highest wetland 
                                functions and values, as 
                                determined by the Secretary; 
                                and
                                  (III) are likely to return to 
                                production after they leave the 
                                conservation reserve program;
                          (iv) riparian areas that link 
                        wetlands that are protected by 
                        easements or some other device that 
                        achieves the same purpose as an 
                        easement; or
                          (v) other wetlands of an owner that 
                        would not otherwise be eligible, if the 
                        Secretary determines that the inclusion 
                        of such wetlands in a wetland reserve 
                        easement would significantly add to the 
                        functional value of the easement; or
                  (C) in the case of either an agricultural 
                land easement or a wetland reserve easement, 
                other land that is incidental to land described 
                in subparagraph (A) or (B), if the Secretary 
                determines that it is necessary for the 
                efficient administration of an easement under 
                the program.
          (4) Monitoring report.--The term ``monitoring 
        report'' means a report, the contents of which are 
        formulated and prepared by the holder of an 
        agricultural land easement, that documents whether the 
        land subject to the agricultural land easement is in 
        compliance with the terms and conditions of the 
        agricultural land easement.
          [(4)] (5) Program.--The term ``program'' means the 
        agricultural conservation easement program established 
        by this subtitle.
          [(5)] (6) Wetland reserve easement.--The term 
        ``wetland reserve easement'' means a reserved interest 
        in eligible land that--
                  (A) is defined and delineated in a deed; and
                  (B) stipulates--
                          (i) the rights, title, and interests 
                        in land conveyed to the Secretary; and
                          (ii) the rights, title, and interests 
                        in land that are reserved to the 
                        landowner.

SEC. 1265B. AGRICULTURAL LAND EASEMENTS.

  (a) Availability of Assistance.--The Secretary shall 
facilitate and provide funding for--
          (1) the purchase by eligible entities of agricultural 
        land easements in eligible land; and
          (2) technical assistance to [provide for the 
        conservation of natural resources pursuant to an 
        agricultural land easement plan] implement the program.
  (b) Cost-Share Assistance.--
          (1) In general.--The Secretary shall protect the 
        agricultural use, including grazing, and related 
        conservation values of eligible land through cost-share 
        assistance to eligible entities for purchasing 
        agricultural land easements.
          (2) Scope of assistance available.--
                  (A) Federal share.--An agreement described in 
                paragraph (4) shall provide for a Federal share 
                determined by the Secretary of an amount not to 
                exceed 50 percent of the fair market value of 
                the agricultural land easement, as determined 
                by the Secretary using--
                          (i) the Uniform Standards of 
                        Professional Appraisal Practice;
                          (ii) an areawide market analysis or 
                        survey; or
                          (iii) another industry-approved 
                        method.
                  [(B) Non-federal share.--
                          [(i) In general.--Under the 
                        agreement, the eligible entity shall 
                        provide a share that is at least 
                        equivalent to that provided by the 
                        Secretary.
                          [(ii) Source of contribution.--An 
                        eligible entity may include as part of 
                        its share under clause (i) a charitable 
                        donation or qualified conservation 
                        contribution (as defined by section 
                        170(h) of the Internal Revenue Code of 
                        1986) from the private landowner if the 
                        eligible entity contributes its own 
                        cash resources in an amount that is at 
                        least 50 percent of the amount 
                        contributed by the Secretary.
                  [(C) Exception.--
                          [(i) Grasslands.--In the case of 
                        grassland of special environmental 
                        significance, as determined by the 
                        Secretary, the Secretary may provide an 
                        amount not to exceed 75 percent of the 
                        fair market value of the agricultural 
                        land easement.
                          [(ii) Cash contribution.--For 
                        purposes of subparagraph (B)(ii), the 
                        Secretary may waive any portion of the 
                        eligible entity cash contribution 
                        requirement for projects of special 
                        significance, subject to an increase in 
                        the private landowner donation that is 
                        equal to the amount of the waiver, if 
                        the donation is voluntary and the 
                        property is in active agricultural 
                        production. ]
                  (B) Non-federal share.--An eligible entity 
                may use for any part of its share--
                          (i) a cash contribution;
                          (ii) 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 agricultural 
                        land easement will be purchased; or
                          (iii) funding from a Federal source 
                        other than the Department of 
                        Agriculture.
                  (C) Grasslands exception.--In the case of 
                grassland of special environmental 
                significance, as determined by the Secretary, 
                the Secretary may provide an amount not to 
                exceed 75 percent of the fair market value of 
                the agricultural land easement.
          (3) Evaluation and ranking of applications.--
                  (A) Criteria.--The Secretary shall establish 
                evaluation and ranking criteria to maximize the 
                benefit of Federal investment under the 
                program.
                  (B) Considerations.--In establishing the 
                criteria, the Secretary shall emphasize support 
                for--
                          (i) protecting agricultural uses and 
                        related conservation values of the 
                        land; and
                          (ii) maximizing the protection of 
                        areas devoted to agricultural use.
                  (C) Accounting for geographic differences.--
                The Secretary shall, in coordination with State 
                technical committees, adjust the criteria 
                established under subparagraph (A) to account 
                for geographic differences among States, if 
                such adjustments--
                          (i) meet the purposes of the program; 
                        and
                          (ii) continue to maximize the benefit 
                        of the Federal investment under the 
                        program.
                  [(C)] (D) Bidding down.--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 of those applications solely on the basis 
                of lesser cost to the program.
          (4) Agreements with eligible entities.--
                  (A) In general.--The Secretary shall enter 
                into agreements with eligible entities to 
                stipulate the terms and conditions under which 
                the eligible entity is permitted to use cost-
                share assistance provided under this section.
                  (B) Length of agreements.--An agreement shall 
                be for a term that is--
                          (i) in the case of an eligible entity 
                        certified under the process described 
                        in paragraph (5), a minimum of five 
                        years; and
                          (ii) for all other eligible entities, 
                        at least three, but not more than five 
                        years.
                  (C) Minimum terms and conditions.--An 
                eligible entity shall be authorized to use its 
                own terms and conditions for agricultural land 
                easements so long as the Secretary determines 
                such terms and conditions--
                          (i) are consistent with the purposes 
                        of the program and the agricultural use 
                        of the land that is subject to the 
                        agricultural land easement;
                          (ii) permit effective enforcement of 
                        the conservation purposes of such 
                        easements;
                          [(iii) include a right of enforcement 
                        for the Secretary, that may be used 
                        only if the terms of the easement are 
                        not enforced by the holder of the 
                        easement;
                          [(iv) subject the land in which an 
                        interest is purchased to an 
                        agricultural land easement plan that--
                                  [(I) describes the activities 
                                which promote the long-term 
                                viability of the land to meet 
                                the purposes for which the 
                                easement was acquired;
                                  [(II) requires the management 
                                of grasslands according to a 
                                grasslands management plan; and
                                  [(III) includes a 
                                conservation plan, where 
                                appropriate, and requires, at 
                                the option of the Secretary, 
                                the conversion of highly 
                                erodible cropland to less 
                                intensive uses; and]
                          (iii) include a right of enforcement 
                        for the Secretary that--
                                  (I) may be used only if the 
                                terms and conditions of the 
                                easement are not enforced by 
                                the eligible entity; and
                                  (II) does not extend to a 
                                right of inspection unless the 
                                holder of the easement fails to 
                                provide monitoring reports in a 
                                timely manner;
                          (iv) include a conservation plan only 
                        for any portion of the land subject to 
                        the agricultural land easement that is 
                        highly erodible cropland; and
                          (v) include a limit on the impervious 
                        surfaces to be allowed that is 
                        consistent with the agricultural 
                        activities to be conducted.
                  (D) 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.
                  (E) Effect of violation.--If a violation 
                occurs of a term or condition of an agreement 
                under this subsection--
                          (i) the Secretary may terminate the 
                        agreement; and
                          (ii) in the case of fraud or gross 
                        negligence, 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 determined 
                        appropriate by the Secretary.
                  (F) Mineral development.--Upon request by an 
                eligible entity, the Secretary shall allow, 
                under an agreement under this subsection, 
                mineral development on land subject to the 
                agricultural land easement, if the Secretary 
                determines that the mineral development--
                          (i) has limited and localized 
                        effects;
                          (ii) is not irremediably destructive 
                        of significant conservation interests; 
                        and
                          (iii) would not alter or affect the 
                        topography or landscape.
                  (G) Environmental services markets.--The 
                Secretary may not prohibit, through an 
                agreement under this subsection, an owner of 
                land subject to the agricultural land easement 
                from participating in, and receiving 
                compensation from, an environmental services 
                market if a purpose of the market is the 
                facilitation of additional conservation 
                benefits that are consistent with the purposes 
                of the program.
          (5) Certification of eligible entities.--
                  (A) Certification process.--The Secretary 
                shall establish a process under which the 
                Secretary may--
                          (i) directly certify eligible 
                        entities that meet established 
                        criteria;
                          (ii) enter into long-term agreements 
                        with certified eligible entities[; 
                        and];
                          (iii) accept proposals for cost-share 
                        assistance for the purchase of 
                        agricultural land easements throughout 
                        the duration of such agreements[.]; and
                          (iv) allow a certified eligible 
                        entity to use its own terms and 
                        conditions, notwithstanding paragraph 
                        (4)(C), as long as the terms and 
                        conditions are consistent with the 
                        purposes of the program.
                  [(B) 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 
                agreement--
                          [(i) a plan for administering 
                        easements that is consistent with the 
                        purpose of the program;
                          [(ii) the capacity and resources to 
                        monitor and enforce agricultural land 
                        easements; and
                          [(iii) policies and procedures to 
                        ensure--
                                  [(I) the long-term integrity 
                                of agricultural land easements 
                                on eligible land;
                                  [(II) timely completion of 
                                acquisitions of such easements; 
                                and
                                  [(III) timely and complete 
                                evaluation and reporting to the 
                                Secretary on the use of funds 
                                provided under the program.]
                  (B) Certification criteria.--In order to be 
                certified, an eligible entity shall demonstrate 
                to the Secretary that the entity--
                          (i) is a land trust that has--
                                  (I) been accredited by the 
                                Land Trust Accreditation 
                                Commission, or by an equivalent 
                                accrediting body (as determined 
                                by the Secretary); and
                                  (II) acquired not fewer than 
                                five agricultural land 
                                easements under the program; or
                          (ii) will maintain, at a minimum, for 
                        the duration of the agreement--
                                  (I) a plan for administering 
                                easements that is consistent 
                                with the purpose of the 
                                program;
                                  (II) the capacity and 
                                resources to monitor and 
                                enforce agricultural land 
                                easements; and
                                  (III) policies and procedures 
                                to ensure--
                                          (aa) the long-term 
                                        integrity of 
                                        agricultural land 
                                        easements on land 
                                        subject to such 
                                        easements;
                                          (bb) timely 
                                        completion of 
                                        acquisitions of such 
                                        easements; and
                                          (cc) timely and 
                                        complete evaluation and 
                                        reporting to the 
                                        Secretary on the use of 
                                        funds provided under 
                                        the program.
                  (C) Review and revision.--
                          (i) Review.--The Secretary shall 
                        conduct a review of eligible entities 
                        certified under subparagraph (A) every 
                        three years to ensure that such 
                        entities are meeting the criteria 
                        established under subparagraph (B).
                          (ii) Revocation.--If the Secretary 
                        finds that a certified eligible entity 
                        no longer meets the criteria 
                        established under subparagraph (B), the 
                        Secretary may--
                                  (I) allow the certified 
                                eligible 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 eligible entity, if, 
                                after the specified period of 
                                time, the certified eligible 
                                entity does not meet such 
                                criteria.
  (c) Method of Enrollment.--The Secretary shall enroll 
eligible land under this section through the use of--
          (1) permanent easements; or
          (2) easements for the maximum duration allowed under 
        applicable State laws.
  [(d) Technical Assistance.--The Secretary may provide 
technical assistance, if requested, to assist in--
          [(1) compliance with the terms and conditions of 
        easements; and
          [(2) implementation of an agricultural land easement 
        plan.]
  (d) Technical Assistance.--The Secretary may provide 
technical assistance, if requested, to assist in compliance 
with the terms and conditions of easements.

SEC. 1265C. WETLAND RESERVE EASEMENTS.

  (a) Availability of Assistance.--The Secretary shall provide 
assistance to owners of eligible land to restore, protect, and 
enhance wetlands through--
          (1) wetland reserve easements and related wetland 
        reserve easement plans; and
          (2) technical assistance.
  (b) Easements.--
          (1) Method of enrollment.--The Secretary shall enroll 
        eligible land under this section through the use of--
                  (A) 30-year easements;
                  (B) permanent easements;
                  (C) easements for the maximum duration 
                allowed under applicable State laws; or
                  (D) as an option for Indian tribes only, 30-
                year contracts.
          (2) Limitations.--
                  (A) Ineligible land.--The Secretary may not 
                acquire easements on--
                          (i) land established to trees under 
                        the conservation reserve program, 
                        except in cases where the Secretary 
                        determines it would further the 
                        purposes of this section; and
                          (ii) farmed wetlands or converted 
                        wetlands where the conversion was not 
                        commenced prior to December 23, 1985.
                  (B) Changes in ownership.--No wetland reserve 
                easement shall be created on land that has 
                changed ownership during the preceding 24-month 
                period unless--
                          (i) the new ownership was acquired by 
                        will or succession as a result of the 
                        death of the previous owner;
                          (ii)(I) the ownership change occurred 
                        because of foreclosure on the land; and
                          (II) immediately before the 
                        foreclosure, the owner of the land 
                        exercises a right of redemption from 
                        the mortgage holder in accordance with 
                        State law; or
                          (iii) the Secretary determines that 
                        the land was acquired under 
                        circumstances that give adequate 
                        assurances that such land was not 
                        acquired for the purposes of placing it 
                        in the program.
          (3) Evaluation and ranking of offers.--
                  (A) Criteria.--The Secretary shall establish 
                evaluation and ranking criteria for offers from 
                landowners under this section to maximize the 
                benefit of Federal investment under the 
                program.
                  (B) Considerations.--When evaluating offers 
                from landowners, the Secretary may consider--
                          (i) the conservation benefits of 
                        obtaining a wetland reserve easement, 
                        including the potential environmental 
                        benefits if the land was removed from 
                        agricultural production;
                          (ii) the cost effectiveness of each 
                        wetland reserve easement, so as to 
                        maximize the environmental benefits per 
                        dollar expended;
                          (iii) whether the landowner or 
                        another person is offering to 
                        contribute financially to the cost of 
                        the wetland reserve easement to 
                        leverage Federal funds; and
                          (iv) such other factors as the 
                        Secretary determines are necessary to 
                        carry out the purposes of the program.
                  (C) Priority.--The Secretary shall give 
                priority to acquiring wetland reserve easements 
                based on the value of the wetland reserve 
                easement for protecting and enhancing habitat 
                for migratory birds and other wildlife.
          (4) Agreement.--To be eligible to place eligible land 
        into the program through a wetland reserve easement, 
        the owner of such land shall enter into an agreement 
        with the Secretary to--
                  (A) grant an easement on such land to the 
                Secretary;
                  (B) authorize the implementation of a wetland 
                reserve easement plan developed for the 
                eligible land under subsection (f);
                  (C) create and record an appropriate deed 
                restriction in accordance with applicable State 
                law to reflect the easement agreed to;
                  (D) provide a written statement of consent to 
                such easement signed by those holding a 
                security interest in the land;
                  (E) comply with the terms and conditions of 
                the easement and any related agreements; and
                  (F) permanently retire any existing base 
                history for the land on which the easement has 
                been obtained.
          (5) Terms and conditions of easement.--
                  (A) In general.--A wetland reserve easement 
                shall include terms and conditions that--
                          (i) permit--
                                  (I) repairs, improvements, 
                                and inspections on the land 
                                that are necessary to maintain 
                                existing public drainage 
                                systems; and
                                  (II) owners to control public 
                                access on the easement areas 
                                while identifying access routes 
                                to be used for restoration 
                                activities and management and 
                                easement monitoring;
                          (ii) prohibit--
                                  (I) the alteration of 
                                wildlife habitat and other 
                                natural features of such land, 
                                unless specifically authorized 
                                by the Secretary;
                                  (II) the spraying of such 
                                land with chemicals or the 
                                mowing of such land, except 
                                where such spraying or mowing 
                                is authorized by the Secretary 
                                or is necessary--
                                          (aa) to comply with 
                                        Federal or State 
                                        noxious weed control 
                                        laws;
                                          (bb) to comply with a 
                                        Federal or State 
                                        emergency pest 
                                        treatment program; or
                                          (cc) to meet habitat 
                                        needs of specific 
                                        wildlife species;
                                  (III) any activities to be 
                                carried out on the owner's or 
                                successor's land that is 
                                immediately adjacent to, and 
                                functionally related to, the 
                                land that is subject to the 
                                easement if such activities 
                                will alter, degrade, or 
                                otherwise diminish the 
                                functional value of the 
                                eligible land; and
                                  (IV) the adoption of any 
                                other practice that would tend 
                                to defeat the purposes of the 
                                program, as determined by the 
                                Secretary;
                          (iii) provide for the efficient and 
                        effective establishment of wetland 
                        functions and values; and
                          (iv) include such additional 
                        provisions as the Secretary determines 
                        are desirable to carry out the program 
                        or facilitate the practical 
                        administration thereof.
                  (B) Violation.--On the violation of a term or 
                condition of a wetland reserve easement, the 
                wetland reserve easement shall remain in force 
                and the Secretary may require the owner to 
                refund all or part of any payments received by 
                the owner under the program, with interest on 
                the payments as determined appropriate by the 
                Secretary.
                  (C) Compatible uses.--Land subject to a 
                wetland reserve easement may be used for 
                compatible economic uses, including such 
                activities as hunting and fishing, managed 
                timber harvest, or periodic haying or grazing, 
                if such use is specifically permitted by the 
                wetland reserve easement plan developed for the 
                land under subsection (f) and is consistent 
                with the long-term protection and enhancement 
                of the wetland resources for which the easement 
                was established.
                  (D) Reservation of grazing rights.--The 
                Secretary may include in the terms and 
                conditions of a wetland reserve easement a 
                provision under which the owner reserves 
                grazing rights if--
                          (i) the Secretary determines that the 
                        reservation and use of the grazing 
                        rights--
                                  (I) is compatible with the 
                                land subject to the easement;
                                  (II) is consistent with the 
                                historical natural uses of the 
                                land and the long-term 
                                protection and enhancement 
                                goals for which the easement 
                                was established; and
                                  (III) complies with the 
                                wetland reserve easement plan 
                                developed for the land under 
                                subsection (f) or a grazing 
                                management plan that is 
                                consistent with the wetland 
                                reserve easement plan and has 
                                been reviewed, and modified as 
                                necessary, at least every five 
                                years; and
                          (ii) the agreement provides for a 
                        commensurate reduction in the easement 
                        payment to account for the grazing 
                        value, as determined by the Secretary.
          (6) Compensation.--
                  (A) Determination.--
                          (i) Permanent easements.--The 
                        Secretary shall pay as compensation for 
                        a permanent wetland reserve easement 
                        acquired under the program an amount 
                        necessary to encourage enrollment in 
                        the program, based on the lowest of--
                                  (I) the fair market value of 
                                the land, as determined by the 
                                Secretary, using the Uniform 
                                Standards of Professional 
                                Appraisal Practice or an 
                                areawide 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.
                          (ii) Other.--Compensation for a 30-
                        year contract or 30-year wetland 
                        reserve easement shall be not less than 
                        50 percent, but not more than 75 
                        percent, of the compensation that would 
                        be paid for a permanent wetland reserve 
                        easement.
                  (B) Form of payment.--Compensation for a 
                wetland reserve easement shall be provided by 
                the Secretary in the form of a cash payment, in 
                an amount determined under subparagraph (A).
                  (C) Payment schedule.--
                          (i) Easements valued at $500,000 or 
                        less.--For wetland reserve easements 
                        valued at $500,000 or less, the 
                        Secretary may provide payments in not 
                        more than 10 annual payments.
                          (ii) Easements valued at more than 
                        $500,000.--For wetland reserve 
                        easements valued at more than $500,000, 
                        the Secretary may provide payments in 
                        at least 5, but not more than 10 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.
  (c) Easement Restoration.--
          (1) In general.--The Secretary shall provide 
        financial assistance to owners of eligible land to 
        carry out the establishment of conservation measures 
        and practices and protect wetland functions and values, 
        including necessary maintenance activities, as set 
        forth in a wetland reserve easement plan developed for 
        the eligible land under subsection (f).
          (2) Payments.--The Secretary shall--
                  (A) in the case of a permanent wetland 
                reserve easement, pay an amount that is not 
                less than 75 percent, but not more than 100 
                percent, of the eligible costs, as determined 
                by the Secretary; and
                  (B) in the case of a 30-year contract or 30-
                year wetland reserve easement, pay an amount 
                that is not less than 50 percent, but not more 
                than 75 percent, of the eligible costs, as 
                determined by the Secretary.
  (d) Technical Assistance.--
          (1) In general.--The Secretary shall assist owners in 
        complying with the terms and conditions of a wetland 
        reserve easement.
          (2) Contracts or agreements.--The Secretary may enter 
        into 1 or more contracts with private entities or 
        agreements with a State, nongovernmental organization, 
        or Indian tribe to carry out necessary restoration, 
        enhancement, or maintenance of a wetland reserve 
        easement if the Secretary determines that the contract 
        or agreement will advance the purposes of the program.
  (e) Wetland Reserve Enhancement Option.--The Secretary may 
enter into 1 or more agreements with a State (including a 
political subdivision or agency of a State), nongovernmental 
organization, or Indian tribe to carry out a special wetland 
reserve enhancement option that the Secretary determines would 
advance the purposes of program.
  (f) Administration.--
          (1) Wetland reserve easement plan.--The Secretary 
        shall develop a wetland reserve easement plan for any 
        eligible land subject to a wetland reserve easement, 
        which shall include practices and activities necessary 
        to restore, protect, enhance, and maintain the enrolled 
        land.
          (2) Delegation of easement administration.--
                  (A) In general.--The Secretary may delegate 
                any of the management, monitoring, and 
                enforcement responsibilities of the Secretary 
                under this section to other Federal or State 
                agencies that have the appropriate authority, 
                expertise, and resources necessary to carry out 
                such delegated responsibilities, or to 
                conservation organizations if the Secretary 
                determines the organization has similar 
                expertise and resources.
                  (B) Limitation.--The Secretary shall not 
                delegate any of the monitoring or enforcement 
                responsibilities under this section to 
                conservation organizations.
          (3) Payments.--
                  (A) Timing of payments.--The Secretary shall 
                provide payment for obligations incurred by the 
                Secretary under this section--
                          (i) with respect to any easement 
                        restoration obligation under subsection 
                        (c), as soon as possible after the 
                        obligation is incurred; and
                          (ii) with respect to any annual 
                        easement payment obligation incurred by 
                        the Secretary, as soon as possible 
                        after October 1 of each calendar year.
                  (B) Payments to others.--If an owner who is 
                entitled to a payment under this section dies, 
                becomes incompetent, is otherwise unable to 
                receive such payment, or is succeeded by 
                another person or entity who renders or 
                completes the required performance, the 
                Secretary shall make such payment, in 
                accordance with regulations prescribed 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 of the circumstances.
  (g) Application.--The relevant provisions of this section 
shall also apply to a 30-year contract.

SEC. 1265D. ADMINISTRATION.

  (a) Ineligible Land.--The Secretary may not use program funds 
for the purposes of acquiring an easement on--
          (1) lands owned by an agency of the United States, 
        other than land held in trust for Indian tribes;
          (2) lands owned in fee title by a State, including an 
        agency or a subdivision of a State, or a unit of local 
        government;
          (3) land subject to an easement or deed restriction 
        which, as determined by the Secretary, provides similar 
        protection as would be provided by enrollment in the 
        program; or
          (4) lands where the purposes of the program would be 
        undermined due to on-site [or off-site] conditions, 
        such as risk of hazardous substances, [proposed or] 
        permitted or existing rights of way, infrastructure 
        development, or adjacent land uses.
  (b) Priority.--In evaluating applications under the program, 
the Secretary may give priority to land that is currently 
enrolled in the conservation reserve program in a contract that 
is set to expire within 1 year and--
          (1) in the case of an agricultural land easement, is 
        grassland that would benefit from protection under a 
        long-term easement; and
          (2) in the case of a wetland reserve easement, is a 
        wetland or related area with the highest wetland 
        functions and value and is likely to return to 
        production after the land leaves the conservation 
        reserve program.
  (c) Subordination, Exchange, Modification, and Termination.--
          (1)  [In general] Subordination and exchange.--The 
        Secretary may [subordinate, exchange, modify, or 
        terminate] subordinate or exchange any interest in 
        land, or portion of such interest, administered by the 
        Secretary, either directly or on behalf of the 
        Commodity Credit Corporation under the program if the 
        Secretary determines that--
                  (A) it is in the Federal Government's 
                interest to [subordinate, exchange, modify, or 
                terminate] subordinate or exchange the interest 
                in land;
                  (B) the [subordination, exchange, 
                modification, or termination] subordination or 
                exchange action--
                          (i) will address a compelling public 
                        need for which there is no practicable 
                        alternative; or
                          (ii) such action will further the 
                        practical administration of the 
                        program; and
                  (C) the [subordination, exchange, 
                modification, or termination] subordination or 
                exchange action will result in comparable 
                conservation value and equivalent or greater 
                economic value to the United States.
          (2) Modification.--
                  (A) Authority.--The Secretary may modify any 
                interest in land, or portion of such interest, 
                administered by the Secretary, either directly 
                or on behalf of the Commodity Credit 
                Corporation under the program if the 
                modification--
                          (i) has a neutral effect on, or 
                        increases, the conservation values;
                          (ii) is consistent with the original 
                        intent of the easement; and
                          (iii) is consistent with the purposes 
                        of the program.
                  (B) Limitation.--In modifying an interest in 
                land, or portion of such interest, under this 
                paragraph, the Secretary may not increase any 
                payment to an eligible entity.
          (3) Termination.--The Secretary may terminate any 
        interest in land, or portion of such interest, 
        administered by the Secretary, either directly or on 
        behalf of the Commodity Credit Corporation under the 
        program if--
                  (A) the current owner of the land that is 
                subject to the easement and the holder of the 
                easement agree to the termination; and
                  (B) the Secretary determines that the 
                termination would be in the public interest.
          [(2)] (4) Consultation.--The Secretary shall work 
        with the owner, and eligible entity if applicable, to 
        address any subordination, exchange, modification, or 
        termination of the interest, or portion of such 
        interest, in land.
          [(3)] (5) Notice.--At least 90 days before taking any 
        termination action described in [paragraph (1)] 
        paragraph (3), the Secretary shall provide written 
        notice of such action to the Committee on Agriculture 
        of the House of Representatives and the Committee on 
        Agriculture, Nutrition, and Forestry of the Senate.
  (d) Land Enrolled in Other Programs.--
          (1) Conservation reserve program.--The Secretary may 
        terminate or modify a contract entered into under 
        section 1231(a) if eligible land that is subject to 
        such contract is transferred into the program.
          (2) Other.--In accordance with the provisions of 
        subtitle H of title II of the Agricultural Act of 2014, 
        land enrolled in the wetlands reserve program, 
        grassland reserve program, or farmland protection 
        program on the day before the date of enactment of the 
        Agricultural Act of 2014 shall be considered enrolled 
        in the program.
  (e) Compliance With Certain Requirements.--The Secretary may 
not provide assistance under this subtitle to an eligible 
entity or owner of eligible land unless the eligible entity or 
owner agrees, during the crop year for which the assistance is 
provided--
          (1) to comply with applicable conservation 
        requirements under subtitle B; and
          (2) to comply with applicable wetland protection 
        requirements under subtitle C.
  (f) Landowner Eligibility.--The limitation described in 
paragraph (1) of section 1001D(b) shall not apply to a 
landowner from which an easement under the program is to be 
purchased with respect to any benefit described in paragraph 
(2)(B) of such section related to the purchase of such 
easement.

Subtitle I--Regional Conservation Partnership Program

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SEC. 1271A. DEFINITIONS.

  In this subtitle:
          (1) Covered program.--The term ``covered program'' 
        means the following:
                  (A) The agricultural conservation easement 
                program.
                  (B) The environmental quality incentives 
                program.
                  [(C) The conservation stewardship program.]
                  [(D)] (C) The healthy forests reserve program 
                established under section 501 of the Healthy 
                Forests Restoration Act of 2003 (16 U.S.C. 
                6571).
                  (D) The conservation reserve program 
                established under subchapter B of chapter 1 of 
                subtitle D.
                  (E) Programs provided for in the Watershed 
                Protection and Flood Prevention Act (16 U.S.C. 
                1001 et seq.), other than section 14 of such 
                Act (16 U.S.C. 1012).
          (2) Eligible activity.--The term ``eligible 
        activity'' means a conservation activity for any of the 
        following:
                  (A) Water quality restoration or enhancement 
                projects, including nutrient management and 
                sediment reduction.
                  (B) Water quantity conservation, restoration, 
                or enhancement projects relating to surface 
                water and groundwater resources, including--
                          (i) the conversion of irrigated 
                        cropland to the production of less 
                        water-intensive agricultural 
                        commodities resource-conserving crop 
                        rotations, or dryland farming; or
                          (ii) irrigation system improvement 
                        and irrigation efficiency enhancement.
                  (C) Protection of source waters for drinking 
                water.
                  [(C)] (D) Drought mitigation.
                  [(D)] (E) Flood prevention.
                  [(E)] (F) Water retention.
                  [(F)] (G) Air quality improvement.
                  [(G)](H) Habitat conservation, restoration, 
                and enhancement.
                  [(H)] (I) Erosion control and sediment 
                reduction.
                  [(I)] (J) Forest restoration.
                  [(J)] (K) Other related activities that the 
                Secretary determines will help achieve 
                conservation benefits.
          (3) Eligible land.--
                  (A) In general.--The term ``eligible land'' 
                means--
                          (i) land on which agricultural 
                        commodities, livestock, or forest-
                        related products are produced; and
                          (ii) lands associated with the lands 
                        described in clause (i).
                  (B) Inclusions.--The term ``eligible land'' 
                includes--
                          (i) cropland;
                          (ii) grassland;
                          (iii) rangeland;
                          (iv) pastureland;
                          (v) nonindustrial private forest 
                        land; and
                          (vi) other land incidental to 
                        agricultural production (including 
                        wetlands and riparian buffers) on which 
                        significant natural resource issues 
                        could be addressed under the program.
          (4) Eligible partner.--The term ``eligible partner'' 
        means any of the following:
                  (A) An agricultural or silvicultural producer 
                association or other group of producers.
                  (B) A State or unit of local government.
                  (C) An Indian tribe.
                  (D) A farmer cooperative.
                  (E) A water district, irrigation district, 
                rural water district or association, or other 
                organization with specific water delivery 
                authority to producers on agricultural land.
                  (F) A municipal water or wastewater treatment 
                entity.
                  (G) An institution of higher education.
                  (H) An organization or entity with an 
                established history of working cooperatively 
                with producers on agricultural land, as 
                determined by the Secretary, to address--
                          (i) local conservation priorities 
                        related to agricultural production, 
                        wildlife habitat development, or 
                        nonindustrial private forest land 
                        management; or
                          (ii) critical watershed-scale soil 
                        erosion, water quality, sediment 
                        reduction, or other natural resource 
                        issues.
          (5) Partnership agreement.--The term ``partnership 
        agreement'' means an agreement entered into under 
        section 1271B between the Secretary and an eligible 
        partner.
          (6) Program.--The term ``program'' means the regional 
        conservation partnership program established by this 
        subtitle.

SEC. 1271B. REGIONAL CONSERVATION PARTNERSHIPS.

  (a) Partnership Agreements Authorized.--The Secretary may 
enter into a partnership agreement with an eligible partner to 
implement a project that will assist producers with installing 
and maintaining an eligible activity on eligible land.
  [(b) Length.--A partnership agreement shall be for a period 
not to exceed 5 years, except that the Secretary may extend the 
agreement one time for up to 12 months when an extension is 
necessary to meet the objectives of the program.]
  (b) Length.--A partnership agreement, including a renewal of 
a partnership agreement under subsection (d)(5), shall be--
          (1) for a period not to exceed 5 years, which period 
        the Secretary may extend one time for up to 12 months; 
        or
          (2) for a period that is longer than 5 years, if such 
        longer period is necessary to meet the objectives of 
        the program, as determined by the Secretary.
  (c) Duties of Partners.--
          (1) In general.--Under a partnership agreement, the 
        eligible partner shall--
                  (A) define the scope of a project, 
                including--
                          (i) the eligible activities to be 
                        implemented;
                          (ii) the potential agricultural or 
                        nonindustrial private forest land 
                        operations affected;
                          (iii) the local, State, multistate, 
                        or other geographic area covered; and
                          (iv) the planning, outreach, 
                        implementation, and assessment to be 
                        conducted;
                  (B) conduct outreach and education to 
                producers for potential participation in the 
                project;
                  (C) at the request of a producer, act on 
                behalf of a producer participating in the 
                project in applying for assistance under 
                section 1271C;
                  (D) leverage financial or technical 
                assistance provided by the Secretary with 
                additional funds to help achieve the project 
                objectives;
                  (E) conduct an assessment of the project's 
                effects, including quantification of the 
                project's environmental outcomes; and
                  (F) at the conclusion of the project, report 
                to the Secretary on its results and funds 
                leveraged.
          (2) Contribution.--An eligible partner shall provide 
        a significant portion of the overall costs of the scope 
        of the project that is the subject of the agreement 
        entered into under subsection (a), as determined by the 
        Secretary.
  (d) Applications.--
          (1) Competitive process.--The Secretary shall conduct 
        a simplified competitive process to select applications 
        for partnership agreements and may assess and rank 
        applications with similar conservation purposes as a 
        group.
          (2) Criteria used.--In carrying out the process 
        described in paragraph (1), the Secretary shall make 
        public the criteria used in evaluating applications.
          (3) Content.--An application to the Secretary shall 
        include a description of--
                  (A) the scope of the project, as described in 
                subsection (c)(1)(A);
                  (B) the plan for monitoring, evaluating, and 
                reporting on progress made toward achieving the 
                project's objectives;
                  (C) the program resources requested for the 
                project, including the covered programs to be 
                used and estimated funding needed from the 
                Secretary;
                  (D) each eligible partner collaborating to 
                achieve project objectives, including their 
                roles, responsibilities, capabilities, and 
                financial contribution; and
                  (E) any other elements the Secretary 
                considers necessary to adequately evaluate and 
                competitively select applications for funding 
                under the program.
          (4) Priority to certain applications.--The Secretary 
        may give a higher priority to applications that--
                  (A) assist producers in meeting or avoiding 
                the need for a natural resource regulatory 
                requirement;
                  (B) have a high percentage of producers in 
                the area to be covered by the agreement;
                  (C) significantly leverage non-Federal 
                financial and technical resources and 
                coordinate with other local, State, or national 
                efforts;
                  (D) deliver high percentages of applied 
                conservation to address conservation priorities 
                or regional, State, or national conservation 
                initiatives;
                  (E) provide innovation in conservation 
                methods and delivery, including outcome-based 
                performance measures and methods; or
                  (F) meet other factors that are important for 
                achieving the purposes of the program, as 
                determined by the Secretary.
          (5) Renewals.--If a project that is the subject of a 
        partnership agreement has met or exceeded the 
        objectives of the project, as determined by the 
        Secretary, the eligible partners may submit, through an 
        expedited program application process, an application 
        to--
                  (A) continue to implement the project under a 
                renewal of the partnership agreement; or
                  (B) expand the scope of the project under a 
                renewal of the partnership agreement.

SEC. 1271C. ASSISTANCE TO PRODUCERS.

  (a) In General.--The Secretary shall enter into contracts 
with producers to provide financial and technical assistance 
to--
          (1) producers participating in a project with an 
        eligible partner; or
          (2) producers that fit within the scope of a project 
        described in section 1271B or a critical conservation 
        area designated under section 1271F, but who are 
        seeking to implement an eligible activity on eligible 
        land independent of an eligible partner.
  (b) Terms and Conditions.--
          (1) Consistency with program rules.--
                  (A) In general.--Except as provided in 
                subparagraph (B) and paragraph (2), the 
                Secretary shall ensure that the terms and 
                conditions of a contract under this section are 
                consistent with the applicable rules of the 
                covered programs to be used as part of the 
                partnership agreement, as described in the 
                application under section 1271B(d)(3)(C).
                  (B) Adjustments.--
                          (i) In general.--The Secretary may 
                        adjust the rules of a covered program, 
                        including--
                                  (I) operational guidance and 
                                requirements for a covered 
                                program at the discretion of 
                                the Secretary so as to provide 
                                a simplified application and 
                                evaluation process; and
                                  (II) nonstatutory, regulatory 
                                rules or provisions to better 
                                reflect unique local 
                                circumstances and purposes if 
                                the Secretary determines such 
                                adjustments are necessary to 
                                achieve the purposes of the 
                                covered program.
                          (ii) Limitation.--The Secretary shall 
                        not adjust the application of statutory 
                        requirements for a covered program, 
                        including requirements governing 
                        appeals, payment limits, and 
                        conservation compliance.
                          (iii) Irrigation.--In States where 
                        irrigation has not been used 
                        significantly for agricultural 
                        purposes, as determined by the 
                        Secretary, the Secretary shall not 
                        limit eligibility under section 1271B 
                        or this section on the basis of prior 
                        irrigation history.
          (2) Alternative funding arrangements.--
                  (A) In general.--For the purposes of 
                providing assistance for land described in 
                subsection (a) and section 1271F, the Secretary 
                may enter into alternative funding arrangements 
                with a multistate water resource agency or 
                authority if--
                          (i) the Secretary determines that the 
                        goals and objectives of the program 
                        will be met by the alternative funding 
                        arrangements;
                          (ii) the agency or authority 
                        certifies that the limitations 
                        established under this section on 
                        agreements with individual producers 
                        will not be exceeded; and
                          (iii) all participating producers 
                        meet applicable payment eligibility 
                        provisions.
                  (B) Conditions.--As a condition of receiving 
                funding under subparagraph (A), the multistate 
                water resource agency or authority shall 
                agree--
                          (i) to submit an annual independent 
                        audit to the Secretary that describes 
                        the use of funds under this paragraph;
                          (ii) to provide any data necessary 
                        for the Secretary to issue a report on 
                        the use of funds under this paragraph; 
                        and
                          (iii) not to use any of the funds 
                        provided pursuant to subparagraph (A) 
                        for administration or to provide for 
                        administrative costs through contracts 
                        with another entity.
                  (C) Limitation.--The Secretary may enter into 
                not more than 20 alternative funding 
                arrangements under this paragraph.
  (c) Payments.--
          (1) In general.--In accordance with statutory 
        requirements of the covered programs involved, the 
        Secretary may make payments to a producer in an amount 
        determined by the Secretary to be necessary to achieve 
        the purposes of the program.
          (2) Payments to certain producers.--The Secretary may 
        provide payments for [a period of 5 years] the period 
        at the end of the applicable sentence under section 
        1271B(b)--
                  (A) to producers participating in a project 
                that addresses water quantity concerns and in 
                an amount sufficient to encourage conversion 
                from irrigated to dryland farming; and
                  (B) to producers participating in a project 
                that addresses water quality concerns and in an 
                amount sufficient to encourage adoption of 
                conservation practices and systems that improve 
                nutrient management.
          (3) Waiver authority.--To assist in the 
        implementation of the program, [the Secretary may waive 
        the applicability of the limitation in section 
        1001D(b)(2) of this Act for participating producers]  
        notwithstanding the requirements of paragraph (3) of 
        section 1001D(b), the Secretary may waive the 
        applicability of the limitation in paragraph (2) of 
        such section, and any limitation on the maximum amount 
        of payments related to the covered programs, for 
        participating producers if the Secretary determines 
        that the waiver is necessary to fulfill the objectives 
        of the program.

SEC. 1271D. FUNDING.

  [(a) Availability of Funds.--The Secretary shall use 
$100,000,000 of the funds of the Commodity Credit Corporation 
for each of fiscal years 2014 through 2018 to carry out the 
program.]
  (a) Availability of Funds.--Of the funds of the Commodity 
Credit Corporation, the Secretary shall use, to carry out the 
program--
          (1) $100,000,000 for each of fiscal years 2014 
        through 2018; and
          (2) $250,000,000 for each of fiscal years 2019 
        through 2023.
  (b) Duration of Availability.--Funds made available under 
subsection (a) shall remain available until expended.
  (c) Additional Funding and Acres.--
          (1) In general.--In addition to the funds made 
        available under subsection (a), the Secretary shall 
        reserve 7 percent of the funds and acres made available 
        for a covered program for each of fiscal years 2014 
        through 2018 in order to ensure additional resources 
        are available to carry out this program.
          (2) Unused funds and acres.--Any funds or acres 
        reserved under paragraph (1) for a fiscal year from a 
        covered program that are not committed under this 
        program by April 1 of that fiscal year shall be 
        returned for use under the covered program.
  (d) Allocation of Funding.--Of the funds and acres made 
available for the program under subsection (a) and reserved for 
the program under subsection (c), the Secretary shall 
allocate--
          (1) 25 percent of the funds and acres to projects 
        based on a State competitive process administered by 
        the State Conservationist, with the advice of the State 
        technical committee established under subtitle G;
          (2) 40 percent of the funds and acres to projects 
        based on a national competitive process to be 
        established by the Secretary; and
          (3) 35 percent of the funds and acres to projects for 
        critical conservation areas designated under section 
        1271F.
  (e) Limitation on Administrative Expenses.--None of the funds 
made available or reserved for the program may be used to pay 
for the administrative expenses of eligible partners.

SEC. 1271E. ADMINISTRATION.

  (a) Disclosure.--In addition to the criteria used in 
evaluating applications as described in section 1271B(d)(2), 
the Secretary shall make publicly available information on 
projects selected through the competitive process described in 
section 1271B(d)(1).
  (b) Guidance.--The Secretary shall provide eligible partners 
and producers participating in the partnership agreements with 
guidance on how to quantify and report on environmental 
outcomes associated with the adoption of conservation practices 
under the program.
  [(b)] (c) Reporting.--Not later than December 31, 2014, and 
every two years 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 on the status of projects funded under the 
program, including--
          (1) the number and types of eligible partners and 
        producers participating in the partnership agreements 
        selected;
          (2) the number of producers receiving assistance;
          (3) total funding committed to projects, including 
        from Federal and non-Federal resources[; and];
          (4) a description of how the funds under section 
        1271C(b)(2) are being administered, including--
                  (A) any oversight mechanisms that the 
                Secretary has implemented;
                  (B) the process through which the Secretary 
                is resolving appeals by program participants; 
                and
                  (C) the means by which the Secretary is 
                tracking adherence to any applicable provisions 
                for payment eligibility[.]; and
          (5) the progress that eligible partners and producers 
        participating in the partnership agreements are making 
        in quantifying and reporting on environmental outcomes 
        associated with the adoption of conservation practices 
        under the program.

SEC. 1271F. CRITICAL CONSERVATION AREAS.

  (a) In General.--In administering funds under section 
1271D(d)(3), the Secretary shall select applications for 
partnership agreements and producer contracts within critical 
conservation areas designated under this section.
  (b) Critical Conservation Area Designations.--
          (1) Priority.--In designating critical conservation 
        areas under this section, the Secretary shall give 
        priority to geographical areas based on the degree to 
        which the geographical area--
                  (A) includes multiple States with significant 
                agricultural production;
                  (B) is covered by an existing regional, 
                State, binational, or multistate agreement or 
                plan that has established objectives, goals, 
                and work plans and is adopted by a Federal, 
                State, or regional authority;
                  (C) would benefit from water quality 
                improvement, including through reducing 
                erosion, promoting sediment control, and 
                addressing nutrient management activities 
                affecting large bodies of water of regional, 
                national, or international significance;
                  (D) would benefit from water quantity 
                improvement, including improvement relating 
                to--
                          (i) groundwater, surface water, 
                        aquifer, or other water sources; or
                          (ii) a need to promote water 
                        retention and flood prevention; or
                  (E) contains producers that need assistance 
                in meeting or avoiding the need for a natural 
                resource regulatory requirement that could have 
                a negative impact on the economic scope of the 
                agricultural operations within the area.
          (2) Expiration.--Critical conservation area 
        designations under this section shall expire after 5 
        years, subject to redesignation, except that the 
        Secretary may withdraw designation from an area if the 
        Secretary finds the area no longer meets the conditions 
        described in paragraph (1).
          (3) Limitation.--The Secretary may not designate more 
        than 8 geographical areas as critical conservation 
        areas under this section.
  (c) Administration.--
          (1) In general.--Except as provided in paragraph (2), 
        the Secretary shall administer any partnership 
        agreement or producer contract under this section in a 
        manner that is consistent with the terms of the 
        program.
          (2) Relationship to existing activity.--The Secretary 
        shall, to the maximum extent practicable, ensure that 
        eligible activities carried out in critical 
        conservation areas designated under this section 
        complement and are consistent with other Federal and 
        State programs and water quality and quantity 
        strategies.
          [(3) Additional authority.--For a critical 
        conservation area described in subsection (b)(1)(D), 
        the Secretary may use authorities under the Watershed 
        Protection and Flood Prevention Act (16 U.S.C. 1001 et 
        seq.), other than section 14 of such Act (16 U.S.C. 
        1012), to carry out projects for the purposes of this 
        section.]

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TITLE XVII--RELATED AND MISCELLANEOUS MATTERS

           *       *       *       *       *       *       *


Subtitle G--Miscellaneous

           *       *       *       *       *       *       *


                     confidentiality of information

  Sec. 1770. (a) In the case of information furnished under a 
provision of law referred to in subsection (d), neither the 
Secretary of Agriculture, any other officer or employee of the 
Department of Agriculture or agency thereof, nor any other 
person may--
          (1) use such information for a purpose other than the 
        development or reporting of aggregate data in a manner 
        such that the identity of the person who supplied such 
        information is not discernible and is not material to 
        the intended uses of such information;
          (2) disclose such information to the public, unless 
        such information has been transformed into a 
        statistical or aggregate form that does not allow the 
        identification of the person who supplied particular 
        information; or
          (3) in the case of information collected under the 
        authority described in subsection (d)(12), disclose the 
        information to any person or any Federal, State, local, 
        or tribal agency outside the Department of Agriculture, 
        unless the information has been converted into a 
        statistical or aggregate form that does not allow the 
        identification of the person that supplied particular 
        information.
  (b)(1) In carrying out a provision of law referred to in 
subsection (d), no department, agency, officer, or employee of 
the Federal Government, other than the Secretary of 
Agriculture, shall require a person to furnish a copy of 
statistical information provided to the Department of 
Agriculture.
  (2) A copy of such information--
          (A) shall be immune from mandatory disclosure of any 
        type, including legal process; and
          (B) shall not, without the consent of such person, be 
        admitted as evidence or used for any purpose in any 
        action, suit, or other judicial or administrative 
        proceeding.
  (c) Any person who shall publish, cause to be published, or 
otherwise publicly release information collected pursuant to a 
provision of law referred to in subsection (d), in any manner 
or for any purpose prohibited in section (a), shall be fined 
not more than $10,000 or imprisoned for not more than 1 year, 
or both.
  (d) For purposes of this section, a provision of law referred 
to in this subsection means--
          (1) the first section of the Act entitled ``An Act 
        authorizing the Secretary of Agriculture to collect and 
        publish statistics of the grade and staple length of 
        cotton'', approved March 3, 1927 (7 U.S.C. 471) 
        (commonly referred to as the ``Cotton Statistics and 
        Estimates Act'');
          (2) the first section of the Act entitled ``An Act to 
        provide for the collection and publication of 
        statistics of tobacco by the Department of 
        Agriculture'', approved January 14, 1929 (7 U.S.C. 
        501);
          (3) the first section of the Act entitled ``An Act to 
        provide for the collection and publication of 
        statistics of peanuts by the Department of 
        Agriculture'', approved June 24, 1936 (7 U.S.C. 951);
          (4) section 203(g) of the Agricultural Marketing Act 
        of 1946 (7 U.S.C. 1622(g));
          (5) section 526(a) of the Revised Statutes (7 U.S.C. 
        2204(a));
          (6) the Act entitled ``An Act providing for the 
        publication of statistics relating to spirits of 
        turpentine and resin'', approved August 15, 1935 (7 
        U.S.C. 2248);
          (7) section 42 of title 13, United States Code;
          (8) section 4 of the Act entitled ``An Act to 
        establish the Department of Commerce and Labor'', 
        approved February 14, 1903 (15 U.S.C. 1516);
          (9) section 2 of the joint resolution entitled 
        ``Joint resolution relating to the publication of 
        economic and social statistics for Americans of Spanish 
        origin or descent'', approved June 16, 1976 (15 U.S.C. 
        1516a);
          (10) section 3(e) of the Forest and Rangeland 
        Renewable Resources Research Act of 1978 (16 U.S.C. 
        1642(e));
          (11) section 2 of the Census of Agriculture Act of 
        1997; [or]
          (12) section 302 of the Rural Development Act of 1972 
        (7 U.S.C. 1010a) regarding the authority to collect 
        data for the National Resources Inventory[.]; or
          (13) section 7604 of the Agriculture and Nutrition 
        Act of 2018.
  (e) Information Provided to Secretary of Commerce.--This 
section shall not prohibit the release of information under 
section 2(f)(2) of the Census of Agriculture Act of 1997.

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             WATERSHED PROTECTION AND FLOOD PREVENTION ACT



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  Sec. 5. (1) At such time as the Secretary and the interested 
local organization have agreed on a plan for works of 
improvement, and the Secretary has determined that the benefits 
exceed the costs, and the local organization has met the 
requirements for participation in carrying out the works of 
improvement as set forth in section 4, the local organization 
may secure engineering and other services, including the 
design, preparation of contracts and specifications, awarding 
of contracts, and supervision of construction, in connection 
with such works of improvement, by retaining or employing a 
professional engineer or engineers satisfactory to the 
Secretary or may request the Secretary to provide such 
services: Provided, That if the local organization elects to 
employ a professional engineer or engineers, the Secretary 
shall reimburse the local organization for the costs of such 
engineering and other services secured by the local 
organization as are properly chargeable to such works of 
improvement in an amount not to exceed the amount agreed upon 
in the plan for works of improvement or any modification 
thereof: Provided further, That the Secretary may advance such 
amounts as may be necessary to pay for such services, but such 
advances with respect to any works of improvement shall not 
exceed 5 per centum of the estimated installation cost of such 
works.
  (2) Except as to the installation of works of improvement on 
Federal lands, the Secretary shall not construct or enter into 
any contract for the construction of any structure: Provided, 
That, if requested to do so by the local organization, the 
Secretary may enter into contracts for the construction of 
structures.
  (3) Whenever the estimated Federal contribution to the 
construction cost of works of improvement in the plan for any 
watershed or subwatershed area shall exceed $25,000,000 or the 
works of improvement include any structure having a total 
capacity in excess of twenty-five hundred acre-feet, the 
Secretary shall transmit a copy of the plan and the 
justification therefor to the Congress through the President.
  (4) Any plan for works of improvement involving an estimated 
Federal contribution to construction costs in excess of 
$25,000,000 or including any structure having a total capacity 
in excess of twenty-five hundred acre-feet (a) which includes 
works of improvement for reclamation or irrigation, or which 
affects public or other lands or wildlife under the 
jurisdiction of the Secretary of the Interior, (b) which 
includes Federal assistance for [goodwater] floodwater 
detention structures, (c) which includes features which may 
affect the public health, or (d) which includes measures for 
control or abatement of water pollution, shall be submitted to 
the Secretary of the Interior, the Secretary of the Army, the 
[Secretary of Health, Education, and Welfare] Secretary of 
Health and Human Services, or the Administrator of the 
Environmental Protection Agency, respectively, for his views 
and recommendations at least thirty days prior to transmission 
of the plan to the Congress through the President. The views 
and recommendations of the Secretary of the Interior, the 
Secretary of the Army, the [Secretary of Health, Education, and 
Welfare] Secretary of Health and Human Services, and the 
Administrator of the Environmental Protection Agency, if 
received by the Secretary prior to the expiration of the above 
thirty-day period, shall accompany the plan transmitted by the 
Secretary to the Congress through the President.
  (5) Prior to any Federal participation in the works of 
improvement under this Act, the President shall issue such 
rules and regulations as he deems necessary or desirable to 
carry out the purposes of this Act, and to assure the 
coordination of the work authorized under this Act and related 
work of other agencies, including the Department of the 
Interior and the Department of the Army.

           *       *       *       *       *       *       *


SEC. 14. REHABILITATION OF STRUCTURAL MEASURES NEAR, AT, OR PAST THEIR 
                    EVALUATED LIFE EXPECTANCY.

  (a) Definitions.--For purposes of this section:
          (1) Rehabilitation.--The term ``rehabilitation'', 
        with respect to a structural measure constructed as 
        part of a covered water resource project, means the 
        completion of all work necessary to extend the service 
        life of the structural measure and meet applicable 
        safety and performance standards. This may include: (A) 
        protecting the integrity of the structural measure or 
        prolonging the useful life of the structural measure 
        beyond the original evaluated life expectancy; (B) 
        correcting damage to the structural measure from a 
        catastrophic event; (C) correcting the deterioration of 
        structural components that are deteriorating at an 
        abnormal rate; (D) upgrading the structural measure to 
        meet changed land use conditions in the watershed 
        served by the structural measure or changed safety 
        criteria applicable to the structural measure; or (E) 
        decommissioning the structure, if requested by the 
        local organization.
          (2) Covered water resource project.--The term 
        ``covered water resource project'' means a work of 
        improvement carried out under any of the following:
                  (A) This Act.
                  (B) Section 13 of the Act of December 22, 
                1944 (Public Law 78-534; 58 Stat. 905).
                  (C) The pilot watershed program authorized 
                under the heading ``Flood Prevention'' of the 
                Department of Agriculture Appropriation Act, 
                1954 (Public Law 156; 67 Stat. 214).
                  (D) Subtitle H of title XV of the Agriculture 
                and Food Act of 1981 (16 U.S.C. 3451 et seq.; 
                commonly known as the Resource Conservation and 
                Development Program).
          (3) Structural measure.--The term ``structural 
        measure'' means a physical improvement that impounds 
        water, commonly known as a dam, which was constructed 
        as part of a covered water resource project, including 
        the impoundment area and flood pool.
  (b) Cost Share Assistance for Rehabilitation.--
          (1) Assistance authorized.--The Secretary may provide 
        financial assistance to a local organization to cover a 
        portion of the total costs incurred for the 
        rehabilitation of structural measures originally 
        constructed as part of a covered water resource 
        project. The total costs of rehabilitation include the 
        costs associated with all components of the 
        rehabilitation project, including acquisition of land, 
        easements, and rights-of-ways, rehabilitation project 
        administration, the provision of technical assistance, 
        contracting, and construction costs, except that the 
        local organization shall be responsible for securing 
        all land, easements, or rights-of-ways necessary for 
        the project.
          (2) Amount of assistance; limitations.--The amount of 
        Federal funds that may be made available under this 
        subsection to a local organization for construction of 
        a particular rehabilitation project shall be equal to 
        65 percent of the total rehabilitation costs, but not 
        to exceed 100 percent of actual construction costs 
        incurred in the rehabilitation. However, the local 
        organization shall be responsible for the costs of 
        water, mineral, and other resource rights and all 
        Federal, State, and local permits.
          (3) Relation to land use and development 
        regulations.--As a condition on entering into an 
        agreement to provide financial assistance under this 
        subsection, the Secretary, working in concert with the 
        affected unit or units of general purpose local 
        government, may require that proper zoning or other 
        developmental regulations are in place in the watershed 
        in which the structural measures to be rehabilitated 
        under the agreement are located so that--
                  (A) the completed rehabilitation project is 
                not quickly rendered inadequate by additional 
                development; and
                  (B) society can realize the full benefits of 
                the rehabilitation investment.
  (c) Technical Assistance for Watershed Project 
Rehabilitation.--The Secretary, acting through the Natural 
Resources Conservation Service, may provide technical 
assistance in planning, designing, and implementing 
rehabilitation projects should a local organization request 
such assistance. Such assistance may consist of specialists in 
such fields as engineering, geology, soils, agronomy, biology, 
hydraulics, hydrology, economics, water quality, and contract 
administration.
  (d) Prohibited Use.--
          (1) Performance of operation and maintenance.--
        Rehabilitation assistance provided under this section 
        may not be used to perform operation and maintenance 
        activities specified in the agreement for the covered 
        water resource project entered into between the 
        Secretary and the local organization responsible for 
        the works of improvement. Such operation and 
        maintenance activities shall remain the responsibility 
        of the local organization, as provided in the project 
        work plan.
          (2) Renegotiation.--Notwithstanding paragraph (1), as 
        part of the provision of financial assistance under 
        subsection (b), the Secretary may renegotiate the 
        original agreement for the covered water resource 
        project entered into between the Secretary and the 
        local organization regarding responsibility for the 
        operation and maintenance of the project when the 
        rehabilitation is finished.
  (e) Application for Rehabilitation Assistance.--A local 
organization may apply to the Secretary for technical and 
financial assistance under this section if the application has 
also been submitted to and approved by the State agency having 
supervisory responsibility over the covered water resource 
project at issue or, if there is no State agency having such 
responsibility, by the Governor of the State. The Secretary 
shall request the State dam safety officer (or equivalent State 
official) to be involved in the application process if State 
permits or approvals are required. The rehabilitation of 
structural measures shall meet standards established by the 
Secretary and address other dam safety issues. At the request 
of the local organization, personnel of the Natural Resources 
Conservation Service of the Department of Agriculture may 
assist in preparing applications for assistance.
  (f) Ranking of Requests for Rehabilitation Assistance.--The 
Secretary shall establish such system of approving 
rehabilitation requests, recognizing that such requests will be 
received throughout the fiscal year and subject to the 
availability of funds to carry out this section, as is 
necessary for proper administration by the Department of 
Agriculture and equitable for all local organizations. The 
approval process shall be in writing, and made known to all 
local organizations and appropriate State agencies.
  (g) Prohibition on Certain Rehabilitation Assistance.--The 
Secretary may not approve a rehabilitation request if the need 
for rehabilitation of the structure is the result of a lack of 
adequate maintenance by the party responsible for the 
maintenance.
  (h) Funding.--
          (1) Funds of commodity credit corporation.--In 
        carrying out this section, of the funds of the 
        Commodity Credit Corporation, the Secretary shall make 
        available, to remain available until expended--
                  (A) $45,000,000 for fiscal year 2003;
                  (B) $50,000,000 for fiscal year 2004;
                  (C) $55,000,000 for fiscal year 2005;
                  (D) $60,000,000 for fiscal year 2006;
                  (E) $65,000,000 for fiscal year 2007;
                  (F) $0 for fiscal year 2008;
                  (G) $100,000,000 for fiscal year 2009, to be 
                available until expended; and
                  (H) $250,000,000 for fiscal year 2014, to 
                remain available until expended.
          (2) Authorization of appropriations.--In addition to 
        amounts made available under paragraph (1), there are 
        authorized to be appropriated to the Secretary to carry 
        out this section, to remain available until expended--
                  (A) $45,000,000 for fiscal year 2003;
                  (B) $55,000,000 for fiscal year 2004;
                  (C) $65,000,000 for fiscal year 2005;
                  (D) $75,000,000 for fiscal year 2006; and
                  (E) $85,000,000 for each of fiscal years 2008 
                through [2018] 2023.
  (i) Assessment of Rehabilitation Needs.--The Secretary, in 
concert with the responsible State agencies, shall conduct an 
assessment of the rehabilitation needs of covered water 
resource projects in all States in which such projects are 
located.
  (j) Recordkeeping and Reports.--
          (1) Secretary.--The Secretary shall maintain a data 
        base to track the benefits derived from rehabilitation 
        projects supported under this section and the 
        expenditures made under this section. On the basis of 
        such data and the reports submitted under paragraph 
        (2), the Secretary shall prepare and submit to Congress 
        an annual report providing the status of activities 
        conducted under this section.
          (2) Grant recipients.--Not later than 90 days after 
        the completion of a specific rehabilitation project for 
        which assistance is provided under this section, the 
        local organization that received the assistance shall 
        make a report to the Secretary giving the status of any 
        rehabilitation effort undertaken using financial 
        assistance provided under this section.

SEC. 15. FUNDING.

  In addition to any other funds made available by this Act, of 
the funds of the Commodity Credit Corporation, the Secretary 
shall make available to carry out this Act $100,000,000 for 
each of fiscal years 2019 through 2023, to remain available 
until expended.
                              ----------                              


                    AGRICULTURAL CREDIT ACT OF 1978



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                TITLE IV--EMERGENCY CONSERVATION PROGRAM

  [Sec. 401. The Secretary of Agriculture]

SEC. 401. PAYMENTS TO PRODUCERS.

  (a) In General.--The Secretary of Agriculture (referred to in 
this title as the ``Secretary'') is authorized to make payments 
to agricultural producers who carry out emergency measures to 
control wind erosion on farmlands or to rehabilitate farmlands 
damaged by wind erosion, floods, hurricanes, wildfires, or 
other natural disasters when, as a result of the foregoing, new 
conservation problems have been created that (1) if not 
treated, will impair or endanger the land, (2) materially 
affect the productive capacity of the land, (3) represent 
damage that is unusual in character and, except for wind 
erosion, is not the type that would recur frequently in the 
same area, and (4) will be so costly to rehabilitate that 
Federal assistance is or will be required to return the land to 
productive agricultural use.
  (b) Repair or Replacement of Fencing.--With respect to a 
payment to an agricultural producer under subsection (a) for 
the repair or replacement of fencing, the Secretary shall give 
the agricultural producer the option of receiving the payment, 
determined based on the applicable percentage of the fair 
market value of the cost of the repair or replacement, as 
determined by the Secretary, before the agricultural producer 
carries out the repair or replacement.
  Sec. 402. The [Secretary of Agriculture] Secretary is 
authorized to make payments to agricultural producers who carry 
out emergency water conservation or water enhancing measures 
(including measures carried out to assist confined livestock) 
during periods of severe drought as determined by the 
Secretary.

SEC. 402A. COST SHARE REQUIREMENT.

  (a) Cost-share Rate.--The maximum cost-share payment under 
section 401 and section 402 shall not exceed 75 percent of the 
total allowable cost, as determined by the Secretary.
  (b) Exception.--Not withstanding subsection (a), a qualified 
limited resource, socially disadvantaged, or beginning farmer 
or rancher payment under section 401 and 402 shall not exceed 
90 percent of the total allowable cost, as determined by the 
Secretary.
  (c) Limitation.--In no case shall the total payment under 
section 401 and 402 for a single event exceed 50 percent of 
what the Secretary has determined to be the agriculture value 
of the land.

SEC. 403. EMERGENCY MEASURES.

  (a) In General.--The [Secretary of Agriculture] Secretary is 
authorized to undertake emergency measures, including the 
purchase of floodplain easements, for runoff retardation and 
soil-erosion prevention, in cooperation with landowners and 
land users, as the Secretary deems necessary to safeguard lives 
and property from floods, drought, and the products of erosion 
on any watershed whenever fire, flood, or any other natural 
occurrence is causing or has caused a sudden impairment of that 
watershed.
  (b) Floodplain Easements.--
          (1) Modification and termination.--The Secretary may 
        modify or terminate a floodplain easement administered 
        by the Secretary under this section if--
                  (A) the current owner agrees to the 
                modification or termination; and
                  (B) the Secretary determines that the 
                modification or termination--
                          (i) will address a compelling public 
                        need for which there is no practicable 
                        alternative; and
                          (ii) is in the public interest.
          (2) Consideration.--
                  (A) Termination.--As consideration for 
                termination of an easement and associated 
                agreements under paragraph (1), the Secretary 
                shall enter into compensatory arrangements as 
                determined to be appropriate by the Secretary.
                  (B) Modification.--In the case of a 
                modification under paragraph (1)--
                          (i) as a condition of the 
                        modification, the current owner shall 
                        enter into a compensatory arrangement 
                        (as determined to be appropriate by the 
                        Secretary) to incur the costs of 
                        modification; and
                          (ii) the Secretary shall ensure 
                        that--
                                  (I) the modification will not 
                                adversely affect the floodplain 
                                functions and values for which 
                                the easement was acquired;
                                  (II) any adverse impacts will 
                                be mitigated by enrollment and 
                                restoration of other land that 
                                provides greater floodplain 
                                functions and values at no 
                                additional cost to the Federal 
                                Government; and
                                  (III) the modification will 
                                result in equal or greater 
                                environmental and economic 
                                values to the United States.
  Sec. 404. There are authorized to be appropriated such funds 
as may be necessary to carry out the purposes of this title. 
Such funds shall remain available until expended. In 
implementing the provisions of this title, the [Secretary of 
Agriculture] Secretary may use the facilities, services, and 
authorities of the Commodity Credit Corporation. The 
Corporation shall not make any expenditures to carry out the 
provisions of this title unless funds specifically appropriated 
for such purpose have been transferred to it.
  Sec. 405. The [Secretary of Agriculture] Secretary is 
authorized to prescribe such regulations as the Secretary 
determines necessary to carry out the provisions of this title.

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SEC. 407. EMERGENCY FOREST RESTORATION PROGRAM.

  (a) Definitions.--In this section:
          (1) Emergency measures.--The term ``emergency 
        measures'' means those measures that--
                  (A) are necessary to address damage caused by 
                a natural disaster to natural resources on 
                nonindustrial private 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 
        ``nonindustrial private forest land'' means rural land, 
        as determined by the Secretary, that--
                  (A) has existing tree cover (or had tree 
                cover immediately 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 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 subsection 
(b) shall not exceed 75 percent of the total cost of the 
emergency measures carried out by an owner of nonindustrial 
private 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.
                              ----------                              


             FARM SECURITY AND RURAL INVESTMENT ACT OF 2002



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TITLE I--COMMODITY PROGRAMS

           *       *       *       *       *       *       *


Subtitle C--Peanuts

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SEC. 1308. MISCELLANEOUS PROVISIONS.

  (a) Mandatory Inspection.--All peanuts marketed in the United 
States shall be officially inspected and graded by Federal or 
Federal-State inspectors.
  (b) Termination of Peanut Administrative Committee.--The 
Peanut Administrative Committee established under Marketing 
Agreement No. 146 issued pursuant to the Agricultural 
Adjustment Act (7 U.S.C. 601 et seq.), reenacted with 
amendments by the Agricultural Marketing Agreement Act of 1937, 
is terminated.
  (c) Peanut Standards Board.--
          (1) Establishment and purpose.--The Secretary shall 
        establish a Peanut Standards Board for the purpose of 
        advising the Secretary regarding the establishment of 
        quality and handling standards for domestically 
        produced and imported peanuts.
          (2) Membership and appointment.--
                  (A) Total members.--The Board shall consist 
                of 18 members, with representation equally 
                divided between peanut producers and peanut 
                industry representatives.
                  (B) Appointment process for producers.--The 
                Secretary shall appoint--
                          (i) 3 producers from the Southeast 
                        (Alabama, Georgia, and Florida) peanut 
                        producing region;
                          (ii) 3 producers from the Southwest 
                        (Texas, Oklahoma, and New Mexico) 
                        peanut producing region; and
                          (iii) 3 producers from the Virginia/
                        Carolina ([Virginia and North Carolina] 
                        Virginia, North Carolina, and South 
                        Carolina) peanut producing region.
                  (C) Appointment process for industry 
                representatives.--The Secretary shall appoint 3 
                peanut industry representatives from each of 
                the 3 peanut producing regions in the United 
                States.
          (3) Terms.--
                  (A) In general.--A member of the Board shall 
                serve a 3-year term.
                  (B) Initial appointment.--In making the 
                initial appointments to the Board, the 
                Secretary shall stagger the terms of the 
                members so that--
                          (i) 1 producer member and peanut 
                        industry member from each peanut 
                        producing region serves a 1-year term;
                          (ii) 1 producer member and peanut 
                        industry member from each peanut 
                        producing region serves a 2-year term; 
                        and
                          (iii) 1 producer member and peanut 
                        industry member from each peanut 
                        producing region serves a 3-year term.
          (4) Consultation required.--The Secretary shall 
        consult with the Board in advance whenever the 
        Secretary establishes or changes, or considers the 
        establishment of or a change to, quality and handling 
        standards for peanuts.
          (5) Federal advisory committee act.--The Federal 
        Advisory Committee Act (5 U.S.C. App.) shall not apply 
        to the Board.
  (d) Priority.--The Secretary shall make identifying and 
combating the presence of all quality concerns related to 
peanuts a priority in the development of quality and handling 
standards for peanuts and in the inspection of domestically 
produced and imported peanuts. The Secretary shall consult with 
appropriate Federal and State agencies to provide adequate 
safeguards against all quality concerns related to peanuts.
  (e) Consistent Standards.--Imported peanuts shall be subject 
to the same quality and handling standards as apply to 
domestically produced peanuts.
  (f) Authorization of Appropriations.--
          (1) In general.--In addition to other funds that are 
        available to carry out this section, there is 
        authorized to be appropriated such sums as are 
        necessary to carry out this section.
          (2) Treatment of board expenses.--The expenses of the 
        Peanut Standards Board shall not be counted toward any 
        general limitation on the expenses of advisory 
        committees, panels, commissions, and task forces of the 
        Department of Agriculture, whether enacted before, on, 
        or after the date of enactment of this Act, unless the 
        limitation specifically refers to this paragraph and 
        specifically includes the Peanut Standards Board within 
        the general limitation.
  (g) Transition Rule.--
          (1) Temporary designation of peanut administrative 
        committee members.--Notwithstanding the appointment 
        process specified in subsection (c) for the Peanut 
        Standards Board, during the transition period, the 
        Secretary may designate persons serving as members of 
        the Peanut Administrative Committee on the day before 
        the date of enactment of this Act to serve as members 
        of the Peanut Standards Board for the purpose of 
        carrying out the duties of the Board described in this 
        section.
          (2) Funds.--The Secretary may transfer any funds 
        available to carry out the activities of the Peanut 
        Administrative Committee to the Peanut Standards Board 
        to carry out the duties of the Board described in this 
        section.
          (3) Transition period.--In paragraph (1), the term 
        ``transition period'' means the period beginning on the 
        date of enactment of this Act and ending on the earlier 
        of--
                  (A) the date the Secretary appoints the 
                members of the Peanut Standards Board pursuant 
                to subsection (c); or
                  (B) 180 days after the date of enactment of 
                this Act.
  (h) Effective Date.--This section shall take effect with the 
2002 crop of peanuts.

           *       *       *       *       *       *       *


TITLE II--CONSERVATION

           *       *       *       *       *       *       *


Subtitle F--Other Conservation Programs

           *       *       *       *       *       *       *


[SEC. 2507. TERMINAL LAKES ASSISTANCE.

  [(a) Definitions.--In this section:
          [(1) Eligible land.--The term ``eligible land'' means 
        privately owned agricultural land (including land in 
        which a State has a property interest as a result of 
        State water law)--
                  [(A) that a landowner voluntarily agrees to 
                sell to a State; and
                  [(B) which--
                          [(i)(I) is ineligible for enrollment 
                        as a wetland reserve easement 
                        established under the agricultural 
                        conservation easement program under 
                        subtitle H of the Food Security Act of 
                        1985;
                                  [(II) is flooded to--
                                          [(aa) an average 
                                        depth of at least 6.5 
                                        feet; or
                                          [(bb) a level below 
                                        which the State 
                                        determines the 
                                        management of the water 
                                        level is beyond the 
                                        control of the State or 
                                        landowner; or
                                  [(III) is inaccessible for 
                                agricultural use due to the 
                                flooding of adjoining property 
                                (such as islands of 
                                agricultural land created by 
                                flooding);
                          [(ii) is located within a watershed 
                        with water rights available for lease 
                        or purchase; and
                          [(iii) has been used during at least 
                        5 of the immediately preceding 30 
                        years--
                                  [(I) to produce crops or hay; 
                                or
                                  [(II) as livestock pasture or 
                                grazing.
          [(2) Program.--The term ``program'' means the 
        voluntary land purchase program established under this 
        section.
          [(3) Terminal lake.--The term ``terminal lake'' means 
        a lake and its associated riparian and watershed 
        resources that is--
                  [(A) considered flooded because there is no 
                natural outlet for water accumulating in the 
                lake or the associated riparian area such that 
                the watershed and surrounding land is 
                consistently flooded; or
                  [(B) considered terminal because it has no 
                natural outlet and is at risk due to a history 
                of consistent Federal assistance to address 
                critical resource conditions, including 
                insufficient water available to meet the needs 
                of the lake, general uses, and water rights.
  [(b) Assistance.--The Secretary shall--
          [(1) provide grants under subsection (c) for the 
        purchase of eligible land impacted by a terminal lake 
        described in subsection (a)(3)(A); and
          [(2) provide funds to the Secretary of the Interior 
        pursuant to subsection (e)(2) with assistance in 
        accordance with subsection (d) for terminal lakes 
        described in subsection (a)(3)(B).
  [(c) Land Purchase Grants.--
          [(1) In general.--Using funds provided under 
        subsection (e)(1), the Secretary shall make available 
        land purchase grants to States for the purchase of 
        eligible land in accordance with this subsection.
          [(2) Implementation.--
                  [(A) Amount.--A land purchase grant shall be 
                in an amount not to exceed the lesser of--
                          [(i) 50 percent of the total purchase 
                        price per acre of the eligible land; or
                          [(ii)(I) in the case of eligible land 
                        that was used to produce crops or hay, 
                        $400 per acre; and
                                  [(II) in the case of eligible 
                                land that was pasture or 
                                grazing land, $200 per acre.
                  [(B) Determination of purchase price.--A 
                State purchasing eligible land with a land 
                purchase grant shall ensure, to the maximum 
                extent practicable, that the purchase price of 
                such land reflects the value, if any, of other 
                encumbrances on the eligible land to be 
                purchased, including easements and mineral 
                rights.
                  [(C) Cost-share required.--To be eligible to 
                receive a land purchase grant, a State shall 
                provide matching non-Federal funds in an amount 
                equal to 50 percent of the amount described in 
                subparagraph (A), including additional non-
                Federal funds.
                  [(D) Conditions.--To receive a land purchase 
                grant, a State shall agree--
                          [(i) to ensure that any eligible land 
                        purchased is--
                                  [(I) conveyed in fee simple 
                                to the State; and
                                  [(II) free from mortgages or 
                                other liens at the time title 
                                is transferred;
                          [(ii) to maintain ownership of the 
                        eligible land in perpetuity;
                          [(iii) to pay (from funds other than 
                        grant dollars awarded) any costs 
                        associated with the purchase of 
                        eligible land under this section, 
                        including surveys and legal fees; and
                          [(iv) to keep eligible land in a 
                        conserving use, as defined by the 
                        Secretary.
                  [(E) Loss of federal benefits.--Eligible land 
                purchased with a grant under this section shall 
                lose eligibility for any benefits under other 
                Federal programs, including--
                          [(i) benefits under title XII of the 
                        Food Security Act of 1985 (16 U.S.C. 
                        3801 et seq.);
                          [(ii) benefits under the Federal Crop 
                        Insurance Act (7 U.S.C. 1501 et seq.); 
                        and
                          [(iii) covered benefits described in 
                        section 1001D(b) of the Food Security 
                        Act of 1985 (7 U.S.C. 1308-3a).
                  [(F) Prohibition.--Any Federal rights or 
                benefits associated with eligible land prior to 
                purchase by a State may not be transferred to 
                any other land or person in anticipation of or 
                as a result of such purchase.
  [(d) Water Assistance.--
          [(1) In general.--The Secretary of the Interior, 
        acting through the Commissioner of Reclamation, may use 
        the funds described in subsection (e)(2) to administer 
        and provide financial assistance to carry out this 
        subsection to provide water and assistance to a 
        terminal lake described in subsection (a)(3)(B) through 
        willing sellers or willing participants only--
                  [(A) to lease water;
                  [(B) to purchase land, water appurtenant to 
                the land, and related interests; and
                  [(C) to carry out research, support, and 
                conservation activities for associated fish, 
                wildlife, plant, and habitat resources.
          [(2) Exclusions.--The Secretary of the Interior may 
        not use this subsection to deliver assistance to the 
        Great Salt Lake in Utah, lakes that are considered dry 
        lakes, or other lakes that do not meet the purposes of 
        this section, as determined by the Secretary of the 
        Interior.
          [(3) Transitional provision.--
                  [(A) In general.--Notwithstanding any other 
                provision of this section, any funds made 
                available before the date of enactment of the 
                Agricultural Act of 2014 under a provision of 
                law described in subparagraph (B) shall remain 
                available using the provisions of law 
                (including regulations) in effect on the day 
                before the date of enactment of that Act.
                  [(B) Described laws.--The provisions of law 
                described in this section are--
                          [(i) section 2507 of the Farm 
                        Security and Rural Investment Act of 
                        2002 (43 U.S.C. 2211 note; Public Law 
                        107-171) (as in effect on the day 
                        before the date of enactment of the 
                        Agricultural Act of 2014);
                          [(ii) section 207 of the Energy and 
                        Water Development Appropriations Act, 
                        2003 (Public Law 108-7; 117 Stat. 146);
                          [(iii) section 208 of the Energy and 
                        Water Development Appropriations Act, 
                        2006 (Public Law 109-103; 119 Stat. 
                        2268, 123 Stat. 2856); and
                          [(iv) section 208 of the Energy and 
                        Water Development and Related Agencies 
                        Appropriations Act, 2010 (Public Law 
                        111-85; 123 Stat. 2858, 123 Stat. 2967, 
                        125 Stat. 867).
  [(e) Funding.--
          [(1) Authorization of appropriations.--There is 
        authorized to be appropriated to the Secretary to carry 
        out subsection (c) $25,000,000, to remain available 
        until expended.
          [(2) Commodity credit corporation.--As soon as 
        practicable after the date of enactment of the 
        Agricultural Act of 2014, the Secretary shall transfer 
        to the ``Bureau of Reclamation--Water and Related 
        Resources'' account $150,000,000 from the funds of the 
        Commodity Credit Corporation to carry out subsection 
        (d), to remain available until expended.]

           *       *       *       *       *       *       *


TITLE III--TRADE

           *       *       *       *       *       *       *


SEC. 3107. MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND CHILD 
                    NUTRITION PROGRAM.

  (a) Definition of Agricultural Commodity.--In this section, 
the term ``agricultural commodity'' means an agricultural 
commodity, or a product of an agricultural commodity, that is 
produced in the United States.
  (b) Program.--Subject to subsection (l), the Secretary may 
establish a program, to be known as ``McGovern-Dole 
International Food for Education and Child Nutrition Program'', 
requiring the procurement of agricultural commodities and the 
provision of financial and technical assistance to carry out--
          (1) preschool and school food for education programs 
        in foreign countries to improve food security, reduce 
        the incidence of hunger, and improve literacy and 
        primary education, particularly with respect to girls; 
        and
          (2) maternal, infant, and child nutrition programs 
        for pregnant women, nursing mothers, infants, and 
        children who are 5 years of age or younger.
  (c) Eligible Commodities and Cost Items.--Notwithstanding any 
other provision of law--
          (1) any agricultural commodity is eligible to be 
        provided under this section;
          (2) as necessary to achieve the purposes of this 
        section, funds appropriated under this section may be 
        used to pay--
                  (A)(i) the cost of acquiring agricultural 
                commodities;
                  (ii) the costs associated with packaging, 
                enrichment, preservation, and fortification of 
                agricultural commodities;
                  (iii) the processing, transportation, 
                handling, and other incidental costs up to the 
                time of the delivery of agricultural 
                commodities free on board vessels in United 
                States ports;
                  (iv) the vessel freight charges from United 
                States ports or designated Canadian 
                transshipment ports, as determined by the 
                Secretary, to designated ports of entry abroad;
                  (v) the costs associated with transporting 
                agricultural commodities from United States 
                ports to designated points of entry abroad in 
                the case--
                          (I) of landlocked countries;
                          (II) of ports that cannot be used 
                        effectively because of natural or other 
                        disturbances;
                          (III) of the unavailability of 
                        carriers to a specific country; or
                          (IV) of substantial savings in costs 
                        or time that may be effected by the 
                        utilization of points of entry other 
                        than ports; and
                  (vi) the charges for general average 
                contributions arising out of the ocean 
                transport of agricultural commodities 
                transferred pursuant thereto;
                  (B) all or any part of the internal 
                transportation, storage, and handling costs 
                incurred in moving the eligible commodity, if 
                the Secretary determines that--
                          (i) payment of the costs is 
                        appropriate; and
                          (ii) the recipient country is a low 
                        income, net food-importing country 
                        that--
                                  (I) meets the poverty 
                                criteria established by the 
                                International Bank for 
                                Reconstruction and Development 
                                for Civil Works Preference; and
                                  (II) has a national 
                                government that is committed to 
                                or is working toward, through a 
                                national action plan, the goals 
                                of the World Declaration on 
                                Education for All convened in 
                                1990 in Jomtien, Thailand, and 
                                the followup Dakar Framework 
                                for Action of the World 
                                Education Forum, convened in 
                                2000;
                  (C) the costs of activities conducted in the 
                recipient countries by a nonprofit voluntary 
                organization, cooperative, or intergovernmental 
                agency or organization that would enhance the 
                effectiveness of the activities implemented by 
                such entities under this section; and
                  (D) the costs of meeting the allowable 
                administrative expenses of private voluntary 
                organizations, cooperatives, or 
                intergovernmental organizations that are 
                implementing activities under this section.
  (d) General Authorities.--The Secretary shall--
          (1) implement the program established under this 
        section;
          (2) ensure that the program established under this 
        section is consistent with the foreign policy and 
        development assistance objectives of the United States; 
        and
          (3) consider, in determining whether a country should 
        receive assistance under this section, whether the 
        government of the country is taking concrete steps to 
        improve the preschool and school systems in the 
        country.
  (e) Eligible Entities.--Assistance may be provided under this 
section to private voluntary organizations, cooperatives, 
intergovernmental organizations, governments of developing 
countries and their agencies, and other organizations.
  (f) Procedures.--
          (1) In general.--In carrying out subsection (b), the 
        Secretary shall ensure that procedures are established 
        that--
                  (A) provide for the submission of proposals 
                by eligible entities, each of which may include 
                1 or more recipient countries, for commodities 
                and other assistance under this section;
                  (B) provide for eligible commodities and 
                assistance on a multiyear basis and, to the 
                extent practicable, that assistance will be 
                provided on a timely basis so as to coincide 
                with the beginning of and when needed during 
                the relevant school year;
                  (C) ensure that eligible entities demonstrate 
                the organizational capacity and the ability to 
                develop, implement, monitor, report on, and 
                provide accountability for activities conducted 
                under this section;
                  (D) provide for the expedited development, 
                review, and approval of proposals submitted in 
                accordance with this section;
                  (E) ensure monitoring and reporting by 
                eligible entities on the use of commodities and 
                other assistance provided under this section; 
                and
                  (F) allow for the sale or barter of 
                commodities by eligible entities to acquire 
                funds to implement activities that improve the 
                food security of women and children or 
                otherwise enhance the effectiveness of programs 
                and activities authorized under this section.
          (2) Priorities for program funding.--In carrying out 
        paragraph (1) with respect to criteria for determining 
        the use of commodities and other assistance provided 
        for programs and activities authorized under this 
        section, the Secretary may consider the ability of 
        eligible entities to--
                  (A) identify and assess the needs of 
                beneficiaries, especially malnourished or 
                undernourished mothers and their children who 
                are 5 years of age or younger, and school-age 
                children who are malnourished, undernourished, 
                or do not regularly attend school;
                  (B)(i) in the case of preschool and school-
                age children, target low-income areas where 
                children's enrollment and attendance in school 
                is low or girls' enrollment and participation 
                in preschool or school is low, and incorporate 
                developmental objectives for improving literacy 
                and primary education, particularly with 
                respect to girls; and
                  (ii) in the case of programs to benefit 
                mothers and children who are 5 years of age or 
                younger, coordinate supplementary feeding and 
                nutrition programs with existing or newly-
                established maternal, infant, and children 
                programs that provide health-needs 
                interventions, including maternal, prenatal, 
                and postnatal and newborn care;
                  (C) involve indigenous institutions as well 
                as local communities and governments in the 
                development and implementation of the programs 
                and activities to foster local capacity 
                building and leadership; and
                  (D) carry out multiyear programs that foster 
                local self-sufficiency and ensure the longevity 
                of programs in the recipient country.
  (g) Use of Food and Nutrition Service.--The Food and 
Nutrition Service of the Department of Agriculture may provide 
technical advice on the establishment of programs under 
subsection (b)(1) and on implementation of the programs in the 
field in recipient countries.
  (h) Multilateral Involvement.--
          (1) In general.--The Secretary is urged to engage 
        existing international food aid coordinating mechanisms 
        to ensure multilateral commitments to, and 
        participation in, programs similar to programs 
        supported under this section.
          (2) Reports.--The Secretary shall annually submit to 
        the Committee on International Relations and the 
        Committee on Agriculture of the House of 
        Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate a report on the 
        commitments and activities of governments, including 
        the United States government, in the global effort to 
        reduce child hunger and increase school attendance.
  (i) Private Sector Involvement.--The Secretary is urged to 
encourage the support and active involvement of the private 
sector, foundations, and other individuals and organizations in 
programs assisted under this section.
  (j) Graduation.--An agreement with an eligible organization 
under this section shall include provisions--
          (1) to--
                  (A) sustain the benefits to the education, 
                enrollment, and attendance of children in 
                schools in the targeted communities when the 
                provision of commodities and assistance to a 
                recipient country under a program under this 
                section terminates; and
                  (B) estimate the period of time required 
                until the recipient country or eligible 
                organization is able to provide sufficient 
                assistance without additional assistance under 
                this section; or
          (2) to provide other long-term benefits to targeted 
        populations of the recipient country.
  (k) Requirement To Safeguard Local Production and Usual 
Marketing.--The requirement of section 403(a) of the Food for 
Peace Act (7 U.S.C. 1733(a)) applies with respect to the 
availability of commodities under this section.
  (l) Funding.--
          (1) Use of commodity credit corporation funds.--Of 
        the funds of the Commodity Credit Corporation, the 
        Secretary shall use to carry out this section 
        $84,000,000 for fiscal year 2009, to remain available 
        until expended.
          (2) 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 [2018] 2023.
          (3) Administrative expenses.--Funds made available to 
        carry out this section may be used to pay the 
        administrative expenses of the Department of 
        Agriculture or any other Federal agency assisting in 
        the implementation of this section.

           *       *       *       *       *       *       *


[SEC. 3205. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS.

  [(a) Establishment.--The Secretary of Agriculture shall 
establish an export assistance program (referred to in this 
section as the ``program'') to address unique barriers that 
prohibit or threaten the export of United States specialty 
crops.
  [(b) Purpose.--The program shall provide direct assistance 
through public and private sector projects and technical 
assistance to remove, resolve, or mitigate sanitary and 
phytosanitary and technical barriers to trade.
  [(c) Priority.--The program shall address time sensitive and 
strategic market access projects based on--
          [(1) trade effect on market retention, market access, 
        and market expansion; and
          [(2) trade impact.
  [(d) Annual Report.--Not later than 180 days after the date 
of enactment of the Food, Conservation, and Energy Act of 2008 
and annually thereafter, the Secretary shall submit to the 
appropriate committees of Congress a report that contains, for 
the period covered by the report, a description of each factor 
that affects the export of specialty crops, including each 
factor relating to any--
          [(1) significant sanitary or phytosanitary issue; or
          [(2) trade barrier.
  [(e) Funding.--
          [(1) Commodity credit corporation.--The Secretary 
        shall use the funds, facilities, and authorities of the 
        Commodity Credit Corporation to carry out this section.
          [(2) Funding amounts.--Of the funds of the Commodity 
        Credit Corporation, the Secretary shall use to carry 
        out this section--
                  [(A) $4,000,000 for fiscal year 2008;
                  [(B) $7,000,000 for fiscal year 2009;
                  [(C) $8,000,000 for fiscal year 2010; and
                  [(D) $9,000,000 for each of fiscal years 2011 
                through 2018.]

           *       *       *       *       *       *       *


TITLE IV--NUTRITION PROGRAMS

           *       *       *       *       *       *       *


Subtitle D--Miscellaneous

           *       *       *       *       *       *       *


SEC. 4402. SENIORS FARMERS' MARKET NUTRITION PROGRAM.

  (a) Funding.--Of the funds of the Commodity Credit 
Corporation, 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 [2018] 2023.
  (b) Program Purposes.--The purposes of the seniors farmers' 
market nutrition program are--
          (1) to provide resources in the form of fresh, 
        nutritious, unprepared, locally grown fruits, 
        vegetables, honey, and herbs from farmers' markets, 
        roadside stands, and community supported agriculture 
        programs to low-income seniors;
          (2) to increase the domestic consumption of 
        agricultural commodities by expanding or aiding in the 
        expansion of domestic farmers' markets, roadside 
        stands, and community supported agriculture programs; 
        and
          (3) to develop or aid in the development of new and 
        additional farmers' markets, roadside stands, and 
        community supported agriculture programs.
  (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 section shall not be considered to be income or 
resources for any purposes under any Federal, State, or local 
law.
  (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 
regulations as the Secretary considers to be necessary to carry 
out the seniors farmers' market nutrition program.
  (f) Federal Law Not Applicable.--Section 920 of the 
Electronic Fund Transfer Act shall not apply to electronic 
benefit transfer systems established under this section.

           *       *       *       *       *       *       *


TITLE VI--RURAL DEVELOPMENT

           *       *       *       *       *       *       *


Subtitle E--Miscellaneous

           *       *       *       *       *       *       *


SEC. 6402. AGRICULTURE INNOVATION CENTER DEMONSTRATION PROGRAM.

  (a) Purpose.--The purpose of this section is to direct the 
Secretary of Agriculture to establish a demonstration program 
under which agricultural producers are provided--
          (1) technical assistance, consisting of engineering 
        services, applied research, scale production, and 
        similar services, to enable the agricultural producers 
        to establish businesses to produce value-added 
        agricultural commodities or products;
          (2) assistance in marketing, market development, and 
        business planning; and
          (3) organizational, outreach, and development 
        assistance to increase the viability, growth, and 
        sustainability of businesses that produce value-added 
        agricultural commodities or products.
  (b) Definitions.--In this section:
          (1) Program.--The term ``Program'' means the 
        Agriculture Innovation Center Demonstration Program 
        established under subsection (c).
          (2) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.
  (c) Establishment of Program.--The Secretary shall establish 
a demonstration program, to be known as the ``Agriculture 
Innovation Center Demonstration Program'' under which the 
Secretary shall--
          (1) make grants to assist eligible entities in 
        establishing Agriculture Innovation Centers to enable 
        agricultural producers to obtain the assistance 
        described in subsection (a); and
          (2) provide assistance to eligible entities in 
        establishing Agriculture Innovation Centers through the 
        research and technical services of the Department of 
        Agriculture.
  (d) Eligibility Requirements.--
          (1) In general.--An entity shall be eligible for a 
        grant and assistance described in subsection (c) to 
        establish an Agriculture Innovation Center if--
                  (A) the entity--
                          (i) has provided services similar to 
                        the services described in subsection 
                        (a); or
                          (ii) demonstrates the capability of 
                        providing such services;
                  (B) the application of the entity for the 
                grant and assistance includes a plan, in 
                accordance with regulations promulgated by the 
                Secretary, that outlines--
                          (i) the support for the entity in the 
                        agricultural community;
                          (ii) the technical and other 
                        expertise of the entity; and
                          (iii) the goals of the entity for 
                        increasing and improving the ability of 
                        local agricultural producers to develop 
                        markets and processes for value-added 
                        agricultural commodities or products;
                  (C) the entity demonstrates that adequate 
                resources (in cash or in kind) are available, 
                or have been committed to be made available, to 
                the entity, to increase and improve the ability 
                of local agricultural producers to develop 
                markets and processes for value-added 
                agricultural commodities or products; and
                  (D) the Agriculture Innovation Center of the 
                entity has a board of directors established in 
                accordance with paragraph (2).
          (2) Board of directors.--Each Agriculture Innovation 
        Center of an eligible entity shall have a board of 
        directors composed of representatives of each of the 
        following groups:
                  (A) The 2 general agricultural organizations 
                with the greatest number of members in the 
                State in which the eligible entity is located.
                  (B) The department of agriculture, or similar 
                State department or agency, of the State in 
                which the eligible entity is located.
                  (C) Entities representing the 4 highest 
                grossing commodities produced in the State, 
                determined on the basis of annual gross cash 
                sales.
  (e) Grants and Assistance.--
          (1) In general.--Subject to subsection (i), under the 
        Program, the Secretary shall make, on a competitive 
        basis, annual grants to eligible entities.
          (2) Maximum amount of grants.--A grant under 
        paragraph (1) shall be in an amount that does not 
        exceed the lesser of--
                  (A) $1,000,000; or
                  (B) twice the dollar amount of the resources 
                (in cash or in kind) that the eligible entity 
                demonstrates are available, or have been 
                committed to be made available, to the eligible 
                entity in accordance with subsection (d)(1)(C).
          (3) Maximum number of grants.--
                  (A) First fiscal year of program.--In the 
                first fiscal year of the Program, the Secretary 
                shall make grants to not more than 5 eligible 
                entities.
                  (B) Second fiscal year of program.--In the 
                second fiscal year of the Program, the 
                Secretary may make grants to--
                          (i) the eligible entities to which 
                        grants were made under subparagraph 
                        (A); and
                          (ii) not more than 10 additional 
                        eligible entities.
          (4) State limitation.--
                  (A) In general.--Subject to subparagraph (B), 
                in the first 3 fiscal years of the Program, the 
                Secretary shall not make a grant under the 
                Program to more than 1 entity in any 1 State.
                  (B) Collaboration.--Nothing in subparagraph 
                (A) precludes a recipient of a grant under the 
                Program from collaborating with any other 
                institution with respect to activities 
                conducted using the grant.
  (f) Use of Funds.--An eligible entity to which a grant is 
made under the Program may use the grant only for the following 
purposes (but only to the extent that the use is not described 
in section 231(d) of the Agricultural Risk Protection Act of 
2000 (7 U.S.C. 1621 note; Public Law 106-224)):
          (1) Applied research.
          (2) Consulting services.
          (3) Hiring of employees, at the discretion of the 
        board of directors of the Agriculture Innovation Center 
        of the eligible entity.
          (4) The making of matching grants, each of which 
        shall be in an amount not to exceed $5,000, to 
        agricultural producers, except that the aggregate 
        amount of all such matching grants made by the eligible 
        entity shall be not more than $50,000.
          (5) Legal services.
          (6) Any other related cost, as determined by the 
        Secretary.
  (g) Research on Effects on the Agricultural Sector.--
          (1) In general.--Of the amount made available under 
        subsection (i) for each fiscal year, the Secretary 
        shall use $300,000 to support research at a university 
        concerning the effects of projects for value-added 
        agricultural commodities or products on agricultural 
        producers and the commodity markets.
          (2) Research elements.--Research under paragraph (1) 
        shall systematically examine, using linked, long-term, 
        global projections of the agricultural sector, the 
        potential effects of projects described in subparagraph 
        (A) on--
                  (A) demand for agricultural commodities;
                  (B) market prices;
                  (C) farm income; and
                  (D) Federal outlays on commodity programs.
  (h) Report to Congress.--
          (1) In general.--Not later than 3 years after the 
        date on which the last of the first 10 grants is made 
        under the Program, 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--
                  (A) the effectiveness of the Program in 
                improving and expanding the production of 
                value-added agricultural commodities or 
                products; and
                  (B) the effects of the Program on the 
                economic viability of agricultural producers.
          (2) Required elements.--The report under paragraph 
        (1) shall--
                  (A) include a description of the best 
                practices and innovations found at each of the 
                Agriculture Innovation Centers established 
                under the Program; and
                  (B) specify the number and type of activities 
                assisted, and the type of assistance provided, 
                under the Program.
  (i) 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 2014 through [2018] 2023.

           *       *       *       *       *       *       *


SEC. 6407. RURAL ENERGY SAVINGS PROGRAM.

  (a) Purpose.--The purpose of this section is to help rural 
families and small businesses achieve cost savings by providing 
loans to qualified consumers to implement durable cost-
effective energy efficiency measures.
  (b) Definitions.--In this section:
          (1) Eligible entity.--The term ``eligible entity'' 
        means--
                  (A) any public power district, public utility 
                district, or similar entity, or any electric 
                cooperative described in section 501(c)(12) or 
                1381(a)(2) of the Internal Revenue Code of 
                1986, that borrowed and repaid, prepaid, or is 
                paying an electric loan made or guaranteed by 
                the Rural Utilities Service (or any predecessor 
                agency);
                  (B) any entity primarily owned or controlled 
                by 1 or more entities described in subparagraph 
                (A); or
                  (C) any other entity that is an eligible 
                borrower of the Rural Utilities Service, as 
                determined under section 1710.101 of title 7, 
                Code of Federal Regulations (or a successor 
                regulation).
          (2) Energy efficiency measures.--The term ``energy 
        efficiency measures'' means, for or at property served 
        by an eligible entity, structural improvements and 
        investments in cost-effective, commercial technologies 
        to increase energy efficiency.
          (3) Qualified consumer.--The term ``qualified 
        consumer'' means a consumer served by an eligible 
        entity that has the ability to repay a loan made under 
        subsection (d), as determined by the eligible entity.
          (4) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture, acting through the 
        Administrator of the Rural Utilities Service.
  (c) Loans to Eligible Entities.--
          (1) In general.--Subject to paragraph (2), the 
        Secretary shall make loans to eligible entities that 
        agree to use the loan funds to make loans to qualified 
        consumers for the purpose of implementing energy 
        efficiency measures.
          (2) Requirements.--
                  (A) In general.--As a condition of receiving 
                a loan under this subsection, an eligible 
                entity shall--
                          (i) establish a list of energy 
                        efficiency measures that is expected to 
                        decrease energy use or costs of 
                        qualified consumers;
                          (ii) prepare an implementation plan 
                        for use of the loan funds, including 
                        use of any interest to be received 
                        pursuant to subsection (d)(1)(A);
                          (iii) provide for appropriate 
                        measurement and verification to 
                        ensure--
                                  (I) the effectiveness of the 
                                energy efficiency loans made by 
                                the eligible entity; and
                                  (II) that there is no 
                                conflict of interest in 
                                carrying out this section; and
                          (iv) demonstrate expertise in 
                        effective use of energy efficiency 
                        measures at an appropriate scale.
                  (B) Revision of list of energy efficiency 
                measures.--Subject to the approval of the 
                Secretary, an eligible entity may update the 
                list required under subparagraph (A)(i) to 
                account for newly available efficiency 
                technologies.
                  (C) Existing energy efficiency programs.--An 
                eligible entity that, at any time before the 
                date that is 60 days after the date of 
                enactment of this section, has established an 
                energy efficiency program for qualified 
                consumers may use an existing list of energy 
                efficiency measures, implementation plan, or 
                measurement and verification system of that 
                program to satisfy the requirements of 
                subparagraph (A) if the Secretary determines 
                the list, plan, or systems are consistent with 
                the purposes of this section.
          (3) No interest.--A loan under this subsection shall 
        bear no interest.
          (4) Eligibility for other loans.--The Secretary shall 
        not include any debt incurred under this section in the 
        calculation of a borrower's debt-equity ratio for 
        purposes of eligibility for loans made pursuant to the 
        Rural Electrification Act of 1936 (7 U.S.C. 901 et. 
        seq.).
          [(4)] (5) Repayment.--With respect to a loan under 
        paragraph (1)--
                  (A) the term shall not exceed 20 years from 
                the date on which the loan is closed; and
                  (B) except as provided in paragraph (6), the 
                repayment of each advance shall be amortized 
                for a period not to exceed 10 years.
          [(5)] (6) Amount of advances.--Any advance of loan 
        funds to an eligible entity in any single year shall 
        not exceed 50 percent of the approved loan amount.
          [(6)] (7) Special advance for start-up activities.--
                  (A) In general.--In order to assist an 
                eligible entity in defraying the appropriate 
                start-up costs (as determined by the Secretary) 
                of establishing new programs or modifying 
                existing programs to carry out subsection (d), 
                the Secretary shall allow an eligible entity to 
                request a special advance.
                  (B) Amount.--No eligible entity may receive a 
                special advance under this paragraph for an 
                amount that is greater than 4 percent of the 
                loan amount received by the eligible entity 
                under paragraph (1).
                  (C) Repayment.--Repayment of the special 
                advance--
                          (i) shall be required during the 10-
                        year period beginning on the date on 
                        which the special advance is made; and
                          (ii) at the election of the eligible 
                        entity, may be deferred to the end of 
                        the 10-year period.
          [(7)] (8) Limitation.--All special advances shall be 
        made under a loan described in paragraph (1) during the 
        first 10 years of the term of the loan.
          (9) Accounting.--The Secretary shall take appropriate 
        steps to streamline the accounting requirements imposed 
        on borrowers under this section while maintaining 
        adequate assurances of repayment of the loan.
  (d) Loans to Qualified Consumers.--
          (1) Terms of loans.--Loans made by an eligible entity 
        to qualified consumers using loan funds provided by the 
        Secretary under subsection (c)--
                  (A) may bear interest, not to exceed [3 
                percent] 5 percent, to be used for purposes 
                that include--
                          (i) to establish a loan loss reserve; 
                        and
                          (ii) to offset personnel and program 
                        costs of eligible entities to provide 
                        the loans;
                  (B) shall finance energy efficiency measures 
                for the purpose of decreasing energy usage or 
                costs of the qualified consumer by an amount 
                that ensures, to the maximum extent 
                practicable, that a loan term of not more than 
                10 years will not pose an undue financial 
                burden on the qualified consumer, as determined 
                by the eligible entity;
                  (C) shall not be used to fund purchases of, 
                or modifications to, personal property unless 
                the personal property is or becomes attached to 
                real property (including a manufactured home) 
                as a fixture;
                  (D) shall be repaid through charges added to 
                the electric bill for the property for, or at 
                which, energy efficiency measures are or will 
                be implemented, on the condition that this 
                requirement does not prohibit--
                          (i) the voluntary prepayment of a 
                        loan by the owner of the property; or
                          (ii) the use of any additional 
                        repayment mechanisms that are--
                                  (I) demonstrated to have 
                                appropriate risk mitigation 
                                features, as determined by the 
                                eligible entity; or
                                  (II) required if the 
                                qualified consumer is no longer 
                                a customer of the eligible 
                                entity; and
                  (E) shall require an energy audit by an 
                eligible entity to determine the impact of 
                proposed energy efficiency measures on the 
                energy costs and consumption of the qualified 
                consumer.
          (2) Contractors.--In addition to any other qualified 
        general contractor, eligible entities may serve as 
        general contractors.
  (e) Contract for Measurement and Verification, Training, and 
Technical Assistance.--
          (1) In general.--Not later than 90 days after the 
        date of enactment of this section, the Secretary--
                  (A) shall establish a plan for measurement 
                and verification, training, and technical 
                assistance of the program; and
                  (B) may enter into 1 or more contracts with a 
                qualified entity for the purposes of--
                          (i) providing measurement and 
                        verification activities; and
                          (ii) developing a program to provide 
                        technical assistance and training to 
                        the employees of eligible entities to 
                        carry out this section.
          (2) Use of subcontractors authorized.--A qualified 
        entity that enters into a contract under paragraph (1) 
        may use subcontractors to assist the qualified entity 
        in carrying out the contract.
  (f) Additional Authority.--The authority provided in this 
section is in addition to any other authority of the Secretary 
to offer loans under any other law.
  (g) Effective Period.--Subject to the availability of funds 
and except as otherwise provided in this section, the loans and 
other expenditures required to be made under this section shall 
be available until expended, with the Secretary authorized to 
make new loans as loans are repaid.
  (h) Report to Congress.--Not later than 120 days after the 
end of each fiscal year, the Secretary shall submit to the 
Committees on Agriculture and Appropriations of the House of 
Representatives and the Committees on Agriculture, Nutrition, 
and Forestry and Appropriations of the Senate a report that 
describes--
          (1) the number of applications received under this 
        section in such fiscal year;
          (2) the number of loans made to eligible entities 
        under this section in such fiscal year; and
          (3) the recipients of such loans.
  [(h)] (i) Authorization of Appropriations.--There is 
authorized to be appropriated to carry out this section 
$75,000,000 for each of fiscal years 2014 through [2018] 2023.

TITLE VII--RESEARCH AND RELATED MATTERS

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Subtitle D--New Authorities

           *       *       *       *       *       *       *


SEC. 7405. BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM.

  (a) Definition of Beginning Farmer or Rancher.--In this 
section, the term ``beginning farmer or rancher'' means a 
person that--
          (1)(A) has not operated a farm or ranch; or
          (B) has operated a farm or ranch for not more than 10 
        years; and
          (2) meets such other criteria as the Secretary may 
        establish.
  [(b) Program.--The Secretary shall establish a beginning 
farmer and rancher development program to provide training, 
education, outreach, and technical assistance initiatives for 
beginning farmers or ranchers.
  [(c) Grants.--] (b) Programs._
          [(1) In general.--In carrying out this section, the 
        Secretary shall make competitive grants or cooperative 
        agreements to support new and established local and 
        regional training, education, outreach, and technical 
        assistance initiatives for beginning farmers or 
        ranchers, including programs and services (as 
        appropriate) relating to--
                  [(A) basic livestock, forest management, and 
                crop farming practices;
                  [(B) innovative farm, ranch, and private, 
                nonindustrial forest land transfer strategies;
                  [(C) entrepreneurship and business training;
                  [(D) financial and risk management training 
                (including the acquisition and management of 
                agricultural credit);
                  [(E) natural resource management and 
                planning;
                  [(F) diversification and marketing 
                strategies;
                  [(G) curriculum development;
                  [(H) mentoring, apprenticeships, and 
                internships;
                  [(I) resources and referral;
                  [(J) farm financial benchmarking;
                  [(K) assisting beginning farmers or ranchers 
                in acquiring land from retiring farmers and 
                ranchers;
                  [(L) agricultural rehabilitation and 
                vocational training for veterans;
                  [(M) farm safety and awareness; and
                  [(N) other similar subject areas of use to 
                beginning farmers or ranchers.]
          (1) In general.--The Secretary shall establish a 
        beginning farmer and rancher development program to 
        provide training, education, outreach, and technical 
        assistance initiatives to increase opportunities for 
        beginning farmers or ranchers.
          (2) Eligibility.--To be eligible to receive a grant 
        or cooperative agreement under this [subsection] 
        section, the recipient shall be a collaborative State, 
        tribal, local, or regionally-based network or 
        partnership of public or private entities, which may 
        include--
                  (A) a State cooperative extension service;
                  (B) a Federal, State, or tribal agency;
                  (C) a community-based or nongovernmental 
                organization;
                  (D) a college or university (including an 
                institution awarding an associate's degree) or 
                foundation maintained by a college or 
                university; or
                  (E) any other appropriate partner, as 
                determined by the Secretary.
          (3) Maximum term and size of grant.--
                  (A) In general.--A grant or cooperative 
                agreement under this [subsection] section 
                shall--
                          (i) have a term that is not more than 
                        3 years; and
                          (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 or 
                cooperative agreements under this [subsection] 
                section.
          [(4) Matching requirement.--To be eligible to receive 
        a grant under this subsection, a recipient shall 
        provide a match in the form of cash or in-kind 
        contributions in an amount equal to 25 percent of the 
        funds provided by the grant.]
          (4) Matching requirement.--
                  (A) In general.--Except as provided in 
                subparagraph (B), to be eligible to receive a 
                grant under this subsection, a recipient shall 
                provide a match in the form of cash or in-kind 
                contributions in an amount equal to 25 percent 
                of the funds provided by the grant.
                  (B) Exception.--The Secretary may waive or 
                reduce the matching requirement in subparagraph 
                (A) if the Secretary determines such a waiver 
                or modification is necessary to effectively 
                reach an underserved area or population.
          (5) Evaluation criteria.--In making grants or 
        cooperative agreements under this [subsection] section, 
        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 evaluation process, outcome-based 
                reporting, and the communication 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 or 
        cooperative agreements under this [subsection] section, 
        the Secretary shall, to the maximum extent practicable, 
        ensure geographical diversity.
          (7) Priority.--In making grants or cooperative 
        agreements under this [subsection] section, the 
        Secretary shall give priority to partnerships and 
        collaborations that are led by or include 
        nongovernmental, community-based organizations, and 
        school-based agricultural educational organizations 
        with expertise in new agricultural producer training 
        and outreach.
          [(8) Set-asides.--
                  [(A) In general.--Not less than 5 percent of 
                the funds used to carry out this subsection for 
                a fiscal year shall be used to support programs 
                and services that address the needs of--
                          [(i) limited resource beginning 
                        farmers or ranchers (as defined by the 
                        Secretary);
                          [(ii) 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)) who are beginning farmers or 
                        ranchers; and
                          [(iii) farmworkers desiring to become 
                        farmers or ranchers.
                  [(B) Veteran farmers and ranchers.--Not less 
                than 5 percent of the funds used to carry out 
                this subsection for a fiscal year shall be used 
                to support programs and services that address 
                the needs of veteran farmers and ranchers (as 
                defined in section 2501(e) of the Food, 
                Agriculture, Conservation, and Trade Act of 
                1990 (7 U.S.C. 2279(e))).]
          [(9)] (8) Prohibition.--A grant or cooperative 
        agreement made under this [subsection] section may not 
        be used for the planning, repair, rehabilitation, 
        acquisition, or construction of a building or facility.
          [(10)] (9) Administrative costs.--The Secretary shall 
        use not more than 4 percent of the funds made available 
        to carry out this [subsection] section for 
        administrative costs incurred by the Secretary in 
        carrying out this section.
          [(11)] (10) Limitation on indirect costs.--A 
        recipient of a grant or cooperative agreement under 
        this [subsection] section may not use more than 10 
        percent of the funds provided by the grant or 
        cooperative agreement for the indirect costs of 
        carrying out the initiatives described in paragraph 
        (1).
          [(12)] (11) Coordination permitted.--A recipient of a 
        grant or cooperative agreement under this [subsection] 
        section using the grant or cooperative agreement as 
        described in paragraph (8)(B) may coordinate with a 
        recipient of a grant or cooperative agreement under 
        section 1680 of the Food, Agriculture, Conservation, 
        and Trade Act of 1990 (7 U.S.C. 5933) in addressing the 
        needs of veteran farmers and ranchers with 
        disabilities.
  (c) Grant Requirements.--
          (1) In general.--In carrying out this section, the 
        Secretary shall make competitive grants to support new 
        and established local and regional training, education, 
        outreach, and technical assistance initiatives to 
        increase opportunities for beginning farmers or 
        ranchers, including programs and services (as 
        appropriate) relating to--
                  (A) basic livestock, forest management, and 
                crop farming practices;
                  (B) innovative farm, ranch, and private 
                nonindustrial forest land access, and transfer 
                and succession strategies and programs;
                  (C) entrepreneurship and business training;
                  (D) financial and risk management training 
                (including the acquisition and management of 
                agricultural credit);
                  (E) natural resource management and planning;
                  (F) diversification and marketing strategies;
                  (G) curriculum development;
                  (H) mentoring, apprenticeships, and 
                internships;
                  (I) resources and referral;
                  (J) farm financial benchmarking;
                  (K) technical assistance to help beginning 
                farmers or ranchers acquire land from retiring 
                farmers and ranchers;
                  (L) agricultural rehabilitation and 
                vocational training for veterans;
                  (M) food safety (including good agricultural 
                practices training);
                  (N) farm safety and awareness; and
                  (O) other similar subject areas of use to 
                beginning farmers or ranchers.
          (2) Set-aside.--
                  (A) In general.--Not less than 5 percent of 
                the funds used to carry out this subsection for 
                a fiscal year shall be used to support programs 
                and services that address the needs of--
                          (i) limited resource beginning 
                        farmers or ranchers (as defined by the 
                        Secretary);
                          (ii) 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))) who are beginning farmers and 
                        ranchers; and
                          (iii) farmworkers desiring to become 
                        farmers or ranchers.
                  (B) Veteran farmers and ranchers.--Not less 
                than 5 percent of the funds used to carry out 
                this subsection for a fiscal year shall be used 
                to support programs and services that address 
                the needs of veteran farmers and ranchers (as 
                defined in section 2501(e) of the Food, 
                Agriculture, Conservation, and Trade Act of 
                1990 (7 U.S.C. 2279(e))).
  (d) Education Teams.--
          (1) In general.--In carrying out this section, the 
        Secretary shall establish beginning farmer and rancher 
        education teams to develop curricula [and conduct], 
        conduct educational programs and workshops for 
        beginning farmers or ranchers in diverse geographical 
        areas of the United States[.], or provide training and 
        technical assistance initiatives for beginning farmers 
        or ranchers or for trainers and service providers that 
        work with beginning farmers or ranchers.
          (2) Curriculum.--In promoting the development of 
        curricula, educational programs and workshops, or 
        training and technical assistance initiatives, the 
        Secretary shall, to the maximum extent practicable, 
        include [modules] content tailored to specific 
        audiences of beginning farmers or ranchers, based on 
        crop or regional diversity.
          (3) Composition.--In establishing an education team 
        for a specific program or workshop, the Secretary 
        shall, to the maximum extent practicable--
                  (A) obtain the short-term services of 
                specialists with knowledge and expertise in 
                programs serving beginning farmers or ranchers; 
                and
                  (B) use officers and employees of the 
                Department with direct experience in programs 
                of the Department that may be taught as part of 
                the curriculum for the program or workshop.
          (4) Cooperation.--
                  (A) In general.--In carrying out this 
                subsection, the Secretary shall cooperate, to 
                the maximum extent practicable, with--
                          (i) State cooperative extension 
                        services;
                          (ii) Federal and State agencies;
                          (iii) community-based and 
                        nongovernmental organizations;
                          (iv) colleges and universities 
                        (including an institution awarding an 
                        associate's degree) or foundations 
                        maintained by a college or university; 
                        and
                          (v) other appropriate partners, as 
                        determined by the Secretary.
                  (B) Cooperative agreement.--Notwithstanding 
                chapter 63 of title 31, United States Code, the 
                Secretary may enter into a cooperative 
                agreement to reflect the terms of any 
                cooperation under subparagraph (A).
  (e) Curriculum and Training Clearinghouse.--The Secretary 
shall establish an online clearinghouse that makes available to 
beginning farmers or ranchers education curricula and training 
materials and programs, which may include online courses for 
direct use by beginning farmers or ranchers.
  (f) Stakeholder Input.--In carrying out this section, the 
Secretary shall seek stakeholder input from--
          (1) beginning farmers and ranchers;
          (2) national, State, tribal, and local organizations 
        and other persons with expertise in operating beginning 
        farmer and rancher programs; and
          (3) the Advisory Committee on Beginning Farmers and 
        Ranchers established under section 5 of the 
        Agricultural Credit Improvement Act of 1992 (7 U.S.C. 
        1929 note; Public Law 102-554).
  (g) Participation by Other Farmers and Ranchers.--Nothing in 
this section prohibits the Secretary from allowing farmers and 
ranchers who are not beginning farmers or ranchers (including 
retiring farmers and nonfarming landowners) from participating 
in programs authorized under this section to the extent that 
the Secretary determines that such participation is appropriate 
and will not detract from the primary purpose of [educating] 
increasing opportunities for beginning farmers and ranchers.
  (h) Funding.--
          (1) Mandatory funding [for fiscal years 2009 through 
        2018].--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;
                  (B) $19,000,000 for each of fiscal years 2010 
                through 2012; and
                  (C) $20,000,000 for each of fiscal years 2014 
                through [2018] 2023, to remain available until 
                expended.
          (2) Authorization of appropriations [for fiscal years 
        2014 through 2018].--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 2014 through [2018] 2023.
          [(3) Fiscal year 2013.--There is authorized to be 
        appropriated to carry out this section $30,000,000 for 
        fiscal year 2013.]

           *       *       *       *       *       *       *


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 
Secretary 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 
enactment of this subsection 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--
          (1) describes the progress that has been made in 
        implementing this section;
          (2) describes how data collection agencies (such as 
        the Agricultural Marketing Service and the National 
        Agricultural Statistics Service) are coordinating with 
        data user agencies (such as the Risk Management Agency) 
        to ensure that data collected under this section can be 
        used by data user agencies, including by the Risk 
        Management Agency to offer price elections for all 
        organic crops; and
          (3) identifies any additional production and 
        marketing data needs.
  (d) Funding.--
          [(1) Mandatory funding through fiscal year 2012.--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) Mandatory funding.--In addition to any funds 
        made available under paragraph (1), 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.]
          (1) Mandatory funding for fiscal year 2019.--Of the 
        funds of the Commodity Credit Corporation, the 
        Secretary shall use to carry out this section 
        $5,000,000 for fiscal year 2019, to remain available 
        until expended.
          [(3)] (2) Discretionary funding.--In addition to 
        funds made available under [paragraphs (1) and (2)] 
        paragraph (1), there are authorized to be appropriated 
        to carry out this section not more than $5,000,000 for 
        each of fiscal years 2008 through [2018] 2023, to 
        remain available until expended.

           *       *       *       *       *       *       *


TITLE IX--ENERGY

           *       *       *       *       *       *       *


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 provided in clause (ii) and 
                        subparagraph (B), after the date 
                        specified in applicable guidelines 
                        prepared pursuant 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;
                                  (II) with respect to items 
                                described in the guidelines, 
                                give a procurement preference 
                                to those items that--
                                          (aa) are composed of 
                                        the highest percentage 
                                        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); and
                                  (III) establish a targeted 
                                biobased-only procurement 
                                requirement under which the 
                                procuring agency shall issue a 
                                certain number of biobased-only 
                                contracts when the procuring 
                                agency is purchasing products, 
                                or purchasing services that 
                                include the use of products, 
                                that are included in a biobased 
                                product category designated by 
                                the Secretary.
                          (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 reasonable 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 
                program required under this subsection shall, 
                at a minimum--
                          (i) be consistent with applicable 
                        provisions of Federal procurement law;
                          (ii) ensure that items composed of 
                        biobased products will be purchased to 
                        the maximum extent practicable;
                          (iii) include a component to promote 
                        the procurement 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 subparagraph (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 minimum content standards policy shall 
                establish minimum biobased products content 
                specifications for awarding contracts 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.
          (3) Guidelines.--
                  (A) In general.--The Secretary, after 
                consultation with the Administrator, the 
                Administrator of General Services, and the 
                Secretary of Commerce (acting through the 
                Director of the National Institute of Standards 
                and Technology), shall prepare, and from time 
                to time revise, guidelines for the use of 
                procuring agencies in complying with the 
                requirements of this subsection.
                  (B) Requirements.--The guidelines under this 
                paragraph shall--
                          (i) designate those items (including 
                        finished products) that are or can be 
                        produced with biobased products 
                        (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 paragraph (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 paragraph (2);
                          (iii) automatically designate items 
                        composed of intermediate ingredients 
                        and feedstocks designated under clause 
                        (ii), if the content of the designated 
                        intermediate 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) require reporting of quantities 
                        and types of biobased products 
                        purchased by procuring agencies;
                          (vi) promote biobased products, 
                        including forest products, that apply 
                        an innovative approach to growing, 
                        harvesting, sourcing, procuring, 
                        processing, manufacturing, or 
                        application of biobased products 
                        regardless of the date of entry into 
                        the marketplace;
                          (vii) as determined to be necessary 
                        by the Secretary based on the 
                        availability of data, provide 
                        information as to the availability, 
                        relative price, performance, and 
                        environmental and public health 
                        benefits of such materials and items; 
                        and
                          (viii) take effect on the date 
                        established in the guidelines, which 
                        may not exceed 1 year after 
                        publication.
                  (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 paragraph 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 preceding fiscal 
                        year was at least $10,000.
                  (F) Required designations.--Not later than 1 
                year after the date of enactment of this 
                subparagraph, the Secretary shall begin to 
                designate intermediate ingredients or 
                feedstocks and assembled and finished biobased 
                products in the guidelines issued under this 
                paragraph.
          (4) Administration.--
                  (A) Office of federal procurement policy.--
                The Office of Federal Procurement Policy, in 
                cooperation with the Secretary, shall--
                          (i) coordinate the implementation of 
                        this subsection 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 agencies 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 monitoring 
                                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 
                                renovations) 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 regulations 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 
                regulations.
  (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.--
                  (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 
                        enactment 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 enactment of 
                        that Act) by the Secretary.
                  (B) Requirements.--Criteria issued under 
                subparagraph (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 consistent with the 
                        guidelines issued under subsection 
                        (a)(3).
          (3) Use of label.--
                  (A) In general.--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).
                  (B) Auditing and compliance.--The Secretary 
                may carry out such auditing and compliance 
                activities as the Secretary determines to be 
                necessary to ensure compliance with 
                subparagraph (A).
          (4) Assembled and finished products.--Not later than 
        1 year after the date of enactment of this paragraph, 
        the Secretary shall begin issuing criteria for 
        determining which assembled and finished products may 
        qualify to receive the label under paragraph (1).
  (c) Recognition.--The Secretary shall--
          (1) establish a program to recognize Federal agencies 
        and private entities that use a substantial amount of 
        biobased products; and
          (2) encourage Federal agencies to establish 
        incentives programs to recognize Federal employees or 
        contractors that make exceptional contributions to the 
        expanded use of biobased products.
  (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) Forest Products Laboratory Coordination.--In determining 
whether products are eligible for the ``USDA Certified Biobased 
Product'' label, the Secretary (acting through the Forest 
Products Laboratory) shall provide appropriate technical and 
other assistance to the program and applicants for forest 
products.
  (h) 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.--Each report under paragraph (1) shall 
        include--
                  (A) a comprehensive management plan that 
                establishes tasks, milestones, and timelines, 
                organizational roles and responsibilities, and 
                funding allocations for fully implementing this 
                section;
                  (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); and
                  (C) the progress made by other Federal 
                agencies in compliance with the biobased 
                procurement requirements, including the 
                quantity of purchases made.
          (3) Economic impact study and report.--
                  (A) In general.--The Secretary shall conduct 
                a study to assess the economic impact of the 
                biobased products industry, including--
                          (i) the quantity of biobased products 
                        sold;
                          (ii) the value of the biobased 
                        products;
                          (iii) the quantity of jobs created;
                          (iv) the quantity of petroleum 
                        displaced;
                          (v) other environmental benefits; and
                          (vi) areas in which the use or 
                        manufacturing of biobased products 
                        could be more effectively used, 
                        including identifying any technical and 
                        economic obstacles and recommending how 
                        those obstacles can be overcome.
                  (B) Report.--Not later than 1 year after the 
                date of enactment of this subparagraph, the 
                Secretary shall submit to Congress a report 
                describing the results of the study conducted 
                under subparagraph (A).
  [(i) Funding.--
          [(1) Mandatory funding.--Of the funds of the 
        Commodity Credit Corporation, the Secretary shall use 
        to carry out this section $3,000,000 for each of fiscal 
        years 2014 through 2018.
          [(2) Discretionary funding.--There is authorized to 
        be appropriated to carry out this section $2,000,000 
        for each of fiscal years 2014 through 2018.]
  (i) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $2,000,000 for each 
of fiscal years 2014 through 2023.
  (j) Biobased Product Inclusion.--In this section, the term 
``biobased product'' (as defined in section 9001) includes, 
with respect to forestry materials, forest products that meet 
biobased content requirements, notwithstanding the market share 
the product holds, the age of the product, or whether the 
market for the product is new or emerging.
  (k) Wood and Wood-based Products.--Notwithstanding any other 
provision of law, a Federal agency may not place limitations on 
the procurement of wood and wood-based products that are more 
limiting than those in this section.

SEC. 9003. BIOREFINERY, RENEWABLE CHEMICAL, AND BIOBASED PRODUCT 
                    MANUFACTURING 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, renewable chemicals, and 
biobased product manufacturing 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) Biobased product manufacturing.--The term 
        ``biobased product manufacturing'' means development, 
        construction, and retrofitting of technologically new 
        commercial-scale processing and manufacturing equipment 
        and required facilities that will be used to convert 
        renewable chemicals and other biobased outputs of 
        biorefineries into end-user products on a commercial 
        scale.
          (2) Eligible entity.--The term ``eligible entity'' 
        means an individual, entity, Indian tribe, or unit of 
        State or local government, including a corporation, 
        farm cooperative, farmer cooperative organization, 
        association of agricultural producers, National 
        Laboratory, institution of higher education, rural 
        electric cooperative, public power entity, or 
        consortium of any of those entities.
          (3) 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] or
                  (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 to available to 
eligible entities guarantees for loans made to fund the 
development, construction, and retrofitting of commercial-scale 
biorefineries using eligible technology.
  (d) 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.
                  (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), 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 proposes to place the 
                        biorefinery has other similar 
                        facilities;
                          (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 
                        private 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 development;
                          (ix) the level of local ownership 
                        proposed in the application; and
                          (x) whether the project can be 
                        replicated.
                  (D) Project diversity.--In approving loan 
                guarantee applications, the Secretary shall 
                ensure that, to the extent practicable, there 
                is diversity in the types of projects approved 
                for loan guarantees to ensure that as wide a 
                range as possible of technologies, products, 
                and approaches are assisted.
          (2) Limitations.--
                  (A) Maximum amount of loan guaranteed.--The 
                principal amount of a loan guaranteed under 
                subsection (c) 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 subsection (c) 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 subsection (c) 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 principal and 
                        interest due on a loan guaranteed under 
                        subsection (c).
                  (C) Loan guarantee fund distribution.--Of the 
                funds made available for loan guarantees for a 
                fiscal year under subsection (g), 50 percent of 
                the funds shall be reserved for obligation 
                during the second half of the fiscal year.
  (e) Consultation.--In carrying out this section, the 
Secretary shall consult with the Secretary of Energy.
  (f) 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 Reorganization Plan Numbered 14 of 1950 (5 
        U.S.C. App) and section 3145 of title 40, United States 
        Code.
  [(g) Funding.--
          [(1) Mandatory funding.--
                  [(A) In general.--Subject to subparagraph 
                (B), 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--
                          [(i) $100,000,000 for fiscal year 
                        2014; and
                          [(ii) $50,000,000 for each of fiscal 
                        years 2015 and 2016.
                  [(B) Biobased product manufacturing.--Of the 
                total amount of funds made available for fiscal 
                years 2014 and 2015 under subparagraph (A), the 
                Secretary may use for the cost of loan 
                guarantees under this section not more than 15 
                percent of such funds to promote biobased 
                product manufacturing.
          [(2) Discretionary funding.--In addition to any other 
        funds made available to carry out this section, there 
        is authorized to be appropriated to carry out this 
        section $75,000,000 for each of fiscal years 2014 
        through 2018.]
  (g) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $75,000,000 for each 
of fiscal years 2014 through 2023.

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 
        requirements 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 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 $12,000,000 for 
        fiscal year 2014, to remain available until expended.
          [(2) Discretionary funding.--In addition to any other 
        funds made available to carry out this section, there 
        is authorized to be appropriated to carry out this 
        section $10,000,000 for each of fiscal years 2014 
        through 2018.]
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $10,000,000 for each 
of fiscal years 2014 through 2023.

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 
        Secretary.
  (e) Equitable Distribution.--[The Secretary may]
          (1) Amount._The Secretary shall  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.
          (2) Feedstock.--The total amount of payments made in 
        a fiscal year under this section to one or more 
        eligible producers for the production of advanced 
        biofuels derived from a single eligible commodity shall 
        not exceed one-third of the total amount of funds made 
        available under subsection (g).
  (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) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this section 
        $50,000,000 for each of fiscal years 2019 through 2023.
          [[(3)] (2) Limitation.--Of the funds provided for 
        each fiscal year, not more than 5 percent of the funds 
        shall be made 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 
        production, 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.--
          [(1) Mandatory funding.--Of the funds of the 
        Commodity Credit Corporation, the Secretary shall use 
        to carry out this section $1,000,000 for each of fiscal 
        years 2008 through 2018.
          [(2) Discretionary funding.--There is authorized to 
        be appropriated to carry out this section $1,000,000 
        for each of fiscal years 2014 through 2018.]
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $2,000,000 for each 
of fiscal years 2019 through 2023.

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 
        development 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 
        subsection is--
                  (A) a unit of State, tribal, or local 
                government;
                  (B) a land-grant college or university or 
                other institution of higher education;
                  (C) a rural electric cooperative or public 
                power entity;
                  (D) a council (as defined in section 1528 of 
                the Agriculture and Food Act of 1981 (16 U.S.C. 
                3451)); and
                  (E) 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;
                  (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 outreach and providing information 
                and assistance to agricultural 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 operations 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 Improvements 
and Renewable Energy Systems.--
          (1) In general.--In addition to any similar 
        authority, the Secretary shall provide loan guarantees 
        and grants to agricultural 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 
                purchased;
                  (B) the estimated quantity of energy to be 
                generated by the renewable energy system;
                  (C) the expected environmental benefits of 
                the renewable 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;
                  (F) the expected energy efficiency of the 
                renewable energy system; and
                  (G) other appropriate factors.
          (3) Limits.--
                  (A) Grants.--The amount of a grant under this 
                subsection 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 percent of the cost of the activity 
                funded under this subsection.
          (4) Tiered application process.--
                  (A) In general.--In providing loan guarantees 
                and grants under this subsection, the Secretary 
                shall use a 3-tiered application process that 
                reflects the size of proposed projects in 
                accordance with this paragraph.
                  (B) Tier 1.--The Secretary shall establish a 
                separate application process for projects for 
                which the cost of the activity funded under 
                this subsection is not more than $80,000.
                  (C) Tier 2.--The Secretary shall establish a 
                separate application process for projects for 
                which the cost of the activity funded under 
                this subsection is greater than $80,000 but 
                less than $200,000.
                  (D) Tier 3.--The Secretary shall establish a 
                separate application process for projects for 
                which the cost of the activity funded under 
                this subsection is equal to or greater than 
                $200,000.
                  (E) Application process.--The Secretary shall 
                establish an application, evaluation, and 
                oversight process that is the most simplified 
                for tier I projects and more comprehensive for 
                each subsequent tier.
  (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 available 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;
                  (D) $70,000,000 for fiscal year 2012; and
                  (E) $50,000,000 [for fiscal year 2014 and 
                each fiscal year thereafter] for each of the 
                fiscal years 2014 through 2018.
          (2) Audit and technical assistance funding.--
                  (A) In general.--Subject to subparagraph (B), 
                of the funds made available for each fiscal 
                year under paragraph (1), 4 percent shall be 
                available to carry out subsection (b).
                  (B) Other use.--Funds not obligated under 
                subparagraph (A) by April 1 of each fiscal year 
                to carry out subsection (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 authorized to be appropriated to carry out this 
        section $20,000,000 for each of fiscal years 2014 
        through [2018] 2023.
  (h) Categorical Exclusion.--The provision of a grant or 
financial assistance under this section to any electric 
generating facility, including one fueled with wind, solar, or 
biomass, that has a rating of 10 average megawatts or less is a 
category of actions hereby designated as being categorically 
excluded from any requirement to prepare an environmental 
assessment or an environmental impact statement under section 
102 of the National Environmental Policy Act of 1969 (42 U.S.C. 
4332).

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, materials, 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 subsection (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 production 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;
                  (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 solicitations 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 
                consist 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 government who has expertise in 
                        biofuels and biobased products;
                          (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 distributed and used in 
                        a manner that is consistent with the 
                        objectives, purposes, and 
                        considerations of the Initiative;
                          (ii) solicitations are open and 
                        competitive with awards made annually;
                          (iii) objectives and evaluation 
                        criteria of the solicitations 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--
                  (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 subsection as the 
        ``Secretaries''), shall direct the Initiative in the 3 
        following areas:
                  (A) Feedstocks development.--Research, 
                development, and demonstration activities 
                regarding feedstocks and feedstock logistics 
                (including the harvest, handling, transport, 
                preprocessing, and storage) relevant to 
                production of raw materials for conversion to 
                biofuels and biobased products.
                  (B) Biofuels and biobased products 
                development.--Research, development, and 
                demonstration activities to support--
                          (i) the development of diverse cost-
                        effective technologies for the use of 
                        cellulosic biomass in the production 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 development.
                          (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.
          (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 multiple 
                                institutions;
                                  (II) encourage the 
                                integration of disciplines and 
                                application of the best 
                                technical resources; and
                                  (III) increase the geographic 
                                diversity of demonstration 
                                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 subclause (II), the 
                                non-Federal share of the cost 
                                of a research or development 
                                project under this section 
                                shall be not less than 20 
                                percent.
                                  (II) Reduction.--The 
                                Secretary of Agriculture or the 
                                Secretary of Energy, as 
                                appropriate, may reduce the 
                                non-Federal share required 
                                under subclause (I) if the 
                                appropriate Secretary 
                                determines the reduction to be 
                                necessary and appropriate.
                          (ii) Demonstration and commercial 
                        projects.--The non-Federal share of the 
                        cost of a demonstration 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 established 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 
        Secretary 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 appropriated for the Initiative have been 
        distributed and used in a manner that is consistent 
        with the objectives and requirements 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;
                  [(D) $40,000,000 for fiscal year 2012; and
                  [(E) $3,000,000 for each of fiscal years 2014 
                through 2017.
          [(2) Discretionary funding.--In addition to any other 
        funds made available to carry out this section, there 
        is authorized to be appropriated to carry out this 
        section $20,000,000 for each of fiscal years 2014 
        through 2018.]
  (h) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $20,000,000 for each 
of fiscal years 2019 through 2023.

[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 substantially increase the energy self-
sufficiency of the eligible rural communities.
  [(c) Grant Assistance.--
          [(1) In general.--The Secretary shall make grants 
        available 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 community 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.
          [(5) Cost-sharing.--The amount of a grant under the 
        Initiative 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 2013.]

SEC. 9010. FEEDSTOCK FLEXIBILITY PROGRAM FOR BIOENERGY PRODUCERS.

  (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 [2018] 2023 crops, the Secretary 
                shall purchase eligible commodities from 
                eligible entities and sell such commodities 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 Government 
                by avoiding forfeitures to the Commodity Credit 
                Corporation.
                  (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 necessary 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 September 1, 
                [2018] 2023, the Secretary shall provide notice 
                to eligible entities and bioenergy producers of 
                the quantity of eligible commodities that shall 
                be made available for purchase 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 
                determined 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 provided in clause (ii), to the 
                        extent that an eligible commodity is 
                        owned and held in inventory 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)), the 
                        Secretary shall--
                                  (I) sell the eligible 
                                commodity to bioenergy 
                                producers under this section 
                                consistent with paragraph 
                                (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 commodity through 
                                the buyback of certificates of 
                                quota entry.
                          (ii) Preservation of other 
                        authorities.--Nothing in this section 
                        limits the use of other authorities 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, consistent 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 inventory 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 
                commodities 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 maximum extent practicable, 
                        carry out this section in a 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 inventory 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)).
                  (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 practicable 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--
                          (i) any crop that is eligible to 
                        receive payments under title I of the 
                        Agricultural Act of 2014 or an 
                        amendment made by that title; or
                          (ii) any plant that is invasive or 
                        noxious or species or varieties of 
                        plants that credible risk assessment 
                        tools or other credible sources 
                        determine are potentially invasive, as 
                        determined by the Secretary in 
                        consultation with other appropriate 
                        Federal or State departments and 
                        agencies.
          (5) Eligible land.--
                  (A) In general.--The term ``eligible land'' 
                includes--
                          (i) agricultural and nonindustrial 
                        private forest lands (as defined in 
                        section 5(c) of the Cooperative 
                        Forestry Assistance Act of 1978 (16 
                        U.S.C. 2103a(c)); and
                          (ii) land enrolled in the 
                        conservation reserve program 
                        established under subchapter B of 
                        chapter I of subtitle D of title XII of 
                        the Food Security Act of 1985 (16 
                        U.S.C. 3831 et seq.), or the 
                        Agricultural Conservation Easement 
                        Program established under subtitle H of 
                        title XII of that Act, under a contract 
                        that will expire at the end of the 
                        current fiscal year.
                  (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 (7 
                        U.S.C. 8701 et seq.);
                          (iii) land enrolled in the 
                        conservation reserve program 
                        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.), other than land 
                        described in subparagraph (A)(ii); or
                          (iv) land enrolled in the 
                        Agricultural Conservation Easement 
                        Program established under subtitle H of 
                        title XII of that Act, other than land 
                        described in subparagraph (A)(ii).
          (6) Eligible material.--
                  (A) In general.--The term ``eligible 
                material'' means renewable biomass harvested 
                directly from the land, including crop residue 
                from any crop that is eligible to receive 
                payments under title I of the Agricultural Act 
                of 2014 or an amendment made by that title.
                  (B) Inclusions.--The term ``eligible 
                material'' shall only include--
                          (i) eligible material that is 
                        collected or harvested by the eligible 
                        material owner--
                                  (I) directly from--
                                          (aa) National Forest 
                                        System;
                                          (bb) Bureau of Land 
                                        Management land;
                                          (cc) non-Federal 
                                        land; or
                                          (dd) land owned by an 
                                        individual Indian or 
                                        Indian tribe that is 
                                        held in trust by the 
                                        United States for the 
                                        benefit of the 
                                        individual Indian or 
                                        Indian tribe or subject 
                                        to a restriction 
                                        against alienation 
                                        imposed by the United 
                                        States;
                                  (II) in a manner that is 
                                consistent with--
                                          (aa) a conservation 
                                        plan;
                                          (bb) a forest 
                                        stewardship plan; or
                                          (cc) a plan that the 
                                        Secretary determines is 
                                        equivalent to a plan 
                                        described in item (aa) 
                                        or (bb) and consistent 
                                        with Executive Order 
                                        13112 (42 U.S.C. 4321 
                                        note; relating to 
                                        invasive species);
                          (ii) if woody eligible material, 
                        woody eligible material that is 
                        produced on land other than contract 
                        acreage that--
                                  (I) is a byproduct of a 
                                preventative treatment that is 
                                removed to reduce hazardous 
                                fuel or to reduce or contain 
                                disease or insect infestation; 
                                and
                                  (II) if harvested from 
                                Federal land, is harvested in 
                                accordance with section 102(e) 
                                of the Healthy Forests 
                                Restoration Act of 2003 (16 
                                U.S.C. 6512(e)); and
                          (iii) eligible material that is 
                        delivered to a qualified biomass 
                        conversion facility to be used for 
                        heat, power, biobased products, 
                        research, or advanced biofuels.
                  (C) Exclusions.--The term ``eligible 
                material'' does not include--
                          (i) material that is whole grain from 
                        any crop that is eligible to receive 
                        payments under title I of the 
                        Agricultural Act of 2014 or an 
                        amendment made by that title, 
                        including--
                                  (I) barley, corn, grain 
                                sorghum, oats, rice, or wheat;
                                  (II) honey;
                                  (III) mohair;
                                  (IV) oilseeds, including 
                                canola, crambe, flaxseed, 
                                mustard seed, rapeseed, 
                                safflower seed, soybeans, 
                                sesame seed, and sunflower 
                                seed;
                                  (V) peanuts;
                                  (VI) pulse;
                                  (VII) chickpeas, lentils, and 
                                dry peas;
                                  (VIII) dairy products;
                                  (IX) sugar; and
                                  (X) wool and cotton boll 
                                fiber;
                          (ii) animal waste and byproducts, 
                        including fat, oil, grease, and manure;
                          (iii) food waste and yard waste;
                          (iv) algae;
                          (v) woody eligible material that--
                                  (I) is removed outside 
                                contract acreage; and
                                  (II) is not a byproduct of a 
                                preventative treatment to 
                                reduce hazardous fuel or to 
                                reduce or contain disease or 
                                insect infestation;
                          (vi) any woody eligible material 
                        collected or harvested outside contract 
                        acreage that would otherwise be used 
                        for existing market products; or
                          (vii) bagasse.
          (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.
          (9) 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, Agriculture, Conservation, and Trade Act of 1990 
        (7 U.S.C. 2279(e)).
  (b) Establishment and Purpose.--The Secretary shall establish 
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 
        operators with the collection, harvest, storage, and 
        transportation of eligible material for use in a 
        biomass conversion facility.
  (c) BCAP Project Area.--
          (1) In general.--The Secretary shall provide 
        financial assistance to a producer of an eligible crop 
        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, at a minimum, includes--
                          (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 conversion 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 operational at the time 
                        the proposal is submitted to the 
                        Secretary; and
                          (iv) any other information about the 
                        biomass conversion facility or proposed 
                        biomass conversion facility that the 
                        Secretary determines necessary for the 
                        Secretary to be reasonably assured that 
                        the plant will be in operation by the 
                        date on which the eligible crops are 
                        ready for harvest.
                  (B) BCAP project area selection criteria.--In 
                selecting BCAP project areas, the Secretary 
                shall consider--
                          (i) the volume of the eligible crops 
                        proposed to be produced in the proposed 
                        BCAP project area and the probability 
                        that those 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 proposed BCAP project area;
                          (iv) the opportunity for producers 
                        and local investors 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 Consolidated Farm and 
                                Rural Development Act (7 U.S.C. 
                                1991(a))); or
                                  (II) socially disadvantaged 
                                farmers or ranchers;
                          (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;
                          (viii) the range of eligible crops 
                        among project areas;
                          (ix) existing project areas that have 
                        received funding under this section and 
                        the continuation of funding of such 
                        project areas to advance the maturity 
                        of such project areas; and
                          (x) any additional information that 
                        the Secretary determines to be 
                        necessary.
          (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, a contract 
                under this subsection shall include terms that 
                cover--
                          (i) an agreement to make available to 
                        the Secretary, 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 conservation 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;
                                  (II) a forest stewardship 
                                plan; or
                                  (III) a plan that is 
                                equivalent to a conservation or 
                                forest stewardship plan; and
                          (iv) any additional requirements that 
                        Secretary determines to be necessary.
                  (C) Duration.--A contract under this 
                subsection shall have a term of not more than--
                          (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 
                establishment and annual payments directly to 
                producers to support the establishment and 
                production of eligible crops on contract 
                acreage.
                  (B) Amount of establishment payments.--
                          (i) In general.--Subject to clause 
                        (ii), the amount of an establishment 
                        payment under this subsection shall be 
                        not more than 50 percent of the costs 
                        of establishing an eligible perennial 
                        crop covered by the contract but not to 
                        exceed $500 per acre, 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.
                          (ii) Socially disadvantaged farmers 
                        or ranchers.--In the case of socially 
                        disadvantaged farmers or ranchers, the 
                        costs of establishment may not exceed 
                        $750 per acre.
                  (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 appropriate by the 
                        Secretary, if--
                                  (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 contract; or
                                  (V) the Secretary determines 
                                a reduction is necessary to 
                                carry out this section.
                  (D) Exclusion.--The Secretary shall not make 
                any BCAP payments on land for which payments 
                are received under the conservation reserve 
                program 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.) or the agricultural conservation easement 
                program established under subtitle H of title 
                XII of that Act.
  (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, regardless of 
                whether the eligible material is produced on 
                contract acreage.
          (2) Payments.--
                  (A) Costs covered.--A payment under this 
                subsection 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 up to $1 for each $1 per ton provided 
                by the biomass conversion facility, in an 
                amount not to exceed $20 per dry ton for a 
                period of 2 years.
          (3) Limitation on assistance for bcap contract 
        acreage.--As a condition of the receipt of an annual 
        payment under subsection (c), a producer receiving a 
        payment under this subsection for collection, harvest, 
        storage, or transportation of an eligible crop produced 
        on BCAP acreage shall agree to a reduction in the 
        annual payment.
  (e) Report.--Not later than 4 years after the date of 
enactment of the Agricultural Act of 2014, 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 
Secretary of the best practice data and information gathered 
from participants receiving assistance under this section.
  (f) Funding.--
          [(1) In general.--Of the funds of the Commodity 
        Credit Corporation, the Secretary shall use to carry 
        out this section $25,000,000 for each of fiscal years 
        2014 through 2018.]
          (1) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this section 
        $25,000,000 for each of fiscal years 2019 through 2023.
          (2) Collection, harvest, storage, and transportation 
        payments.--Of the amount made available under paragraph 
        (1) for each fiscal year, the Secretary shall use not 
        less than 10 percent, nor more than 50 percent, of the 
        amount to make collection, harvest, transportation, and 
        storage payments under subsection (d)(2).
          (3) Technical assistance.--
                  (A) In general.--Effective for fiscal year 
                2014 and each subsequent fiscal year, funds 
                made available under this subsection shall be 
                available for the provision of technical 
                assistance with respect to activities 
                authorized under this section.
                  (B) Relationship to other laws.--To the 
                extent funds obligated or expended under 
                subparagraph (A) include funds of the Commodity 
                Credit Corporation, such funds shall not be 
                considered an allotment or fund transfer from 
                the Commodity Credit Corporation for purposes 
                of the limit on expenditures for technical 
                assistance imposed by section 11 of the 
                Commodity Credit Corporation Charter Act (15 
                U.S.C. 714i).

[SEC. 9013. COMMUNITY WOOD ENERGY PROGRAM.

  [(a) Definitions.--In this section:
          [(1) Biomass consumer cooperative.--The term 
        ``biomass consumer cooperative'' means a consumer 
        membership organization the purpose of which is to 
        provide members with services or discounts relating to 
        the purchase of biomass heating products or biomass 
        heating systems.
          [(2) Community wood energy plan.--The term 
        ``community wood energy plan'' means an assessment of--
                  [(A) available feedstocks necessary to supply 
                a community wood energy system; and
                  [(B) the long-term feasibility of supplying 
                and operating a community wood energy system.
          [(3) 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 governments (or designees) to develop 
                community wood energy plans;
                  [(B) competitive grants to State and local 
                governments to acquire or upgrade community 
                wood energy systems; and
                  [(C) grants of up to $50,000 to biomass 
                consumer cooperatives for the purpose of 
                establishing or expanding biomass consumer 
                cooperatives that will provide consumers with 
                services or discounts relating to--
                          [(i) the purchase of biomass heating 
                        systems;
                          [(ii) biomass heating products, 
                        including wood chips, wood pellets, and 
                        advanced biofuels; or
                          [(iii) the delivery and storage of 
                        biomass of heating products.
          [(2) Considerations.--In selecting applicants for 
        grants under paragraph (1)(B), the Secretary shall 
        consider--
                  [(A) the energy efficiency of the proposed 
                system;
                  [(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.--
          [(1) State and local governments.--A State or local 
        government that receives a grant under subparagraph (A) 
        or (B) of subsection (b)(1) 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.
          [(2) Biomass consumer cooperatives.--A biomass 
        consumer cooperative that receives a grant under 
        subsection (b)(1)(C) shall contribute an amount of non-
        Federal funds (which may include State, local, and 
        nonprofit funds and membership dues) toward the 
        establishment or expansion of a biomass consumer 
        cooperative that is at least equal to 50 percent of the 
        amount of Federal funds received for that purpose.
  [(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 2018.]

SEC. 9013. COMMUNITY WOOD ENERGY AND WOOD INNOVATION PROGRAM.

  (a) Definitions.--In this section:
          (1) Community wood energy system.--
                  (A) In general.--The term ``community wood 
                energy system'' means an energy system that--
                          (i) produces thermal energy or 
                        combined thermal energy and electricity 
                        where thermal is the primary energy 
                        output;
                          (ii) services public facilities owned 
                        or operated by State or local 
                        governments (including schools, town 
                        halls, libraries, and other public 
                        buildings) or private or nonprofit 
                        facilities (including commercial and 
                        business facilities, such as hospitals, 
                        office buildings, apartment buildings, 
                        and manufacturing and industrial 
                        buildings); and
                          (iii) uses woody biomass, including 
                        residuals from wood processing 
                        facilities, as the primary fuel.
                  (B) Inclusions.--The term ``community wood 
                energy system'' includes single-facility 
                central heating, district heating systems 
                serving multiple buildings, combined heat and 
                electric systems where thermal energy is the 
                primary energy output, and other related 
                biomass energy systems.
          (2) Innovative wood product facility.--The term 
        ``innovative wood product facility'' means a 
        manufacturing or processing plant or mill that 
        produces--
                  (A) building components or systems that use 
                large panelized wood construction, including 
                mass timber;
                  (B) wood products derived from nanotechnology 
                or other new technology processes, as 
                determined by the Secretary; or
                  (C) other innovative wood products that use 
                low-value, low-quality wood, as determined by 
                the Secretary.
          (3) Mass timber.--The term ``mass timber'' includes--
                  (A) cross-laminated timber;
                  (B) nail-laminated timber;
                  (C) glue-laminated timber;
                  (D) laminated strand lumber; and
                  (E) laminated veneer lumber.
          (4) Program.--The term ``Program'' means the 
        Community Wood Energy and Wood Innovation Program 
        established under subsection (b).
  (b) Competitive Grant Program.--The Secretary, acting through 
the Chief of the Forest Service, shall establish a competitive 
grant program to be known as the ``Community Wood Energy and 
Wood Innovation Program''.
  (c) Matching Grants.--
          (1) In general.--Under the Program, the Secretary 
        shall make grants to cover not more than 35 percent of 
        the capital cost for installing a community wood energy 
        system or building an innovative wood product facility.
          (2) Special circumstances.--The Secretary may 
        establish special circumstances, such as in the case of 
        a community wood energy system project or innovative 
        wood product facility project involving a school or 
        hospital in a low-income community, under which grants 
        under the Program may cover up to 50 percent of the 
        capital cost.
          (3) Source of matching funds.--Matching funds 
        required pursuant to this subsection from a grant 
        recipient must be derived from non-Federal funds.
  (d) Project Cap.--The total amount of grants under the 
Program for a community wood energy system project or 
innovative wood product facility project may not exceed--
          (1) in the case of grants under the general authority 
        provided under subsection (c)(1), $1,000,000; and
          (2) in the case of grants for which the special 
        circumstances apply under subsection (c)(2), 
        $1,500,000.
  (e) Selection Criteria.--In selecting applicants for grants 
under the Program, the Secretary shall consider the following:
          (1) The energy efficiency of the proposed community 
        wood energy system or innovative wood product facility.
          (2) The cost effectiveness of the proposed community 
        wood energy system or innovative wood product facility.
          (3) The extent to which the proposed community wood 
        energy system or innovative wood product facility 
        represents the best available commercial technology.
          (4) The extent to which the applicant has 
        demonstrated a high likelihood of project success by 
        completing detailed engineering and design work in 
        advance of the grant application.
          (5) Other technical, economic, conservation, and 
        environmental criteria that the Secretary considers 
        appropriate.
  (f) Grant Priorities.--In selecting applicants for grants 
under the Program, the Secretary shall give priority to 
proposals that--
          (1) would be carried out in a location where markets 
        are needed for the low-value, low-quality wood;
          (2) would be carried out in a location with limited 
        access to natural gas pipelines;
          (3) would include the use or retrofitting (or both) 
        of existing sawmill facilities located in a location 
        where the average annual unemployment rate exceeded the 
        national average unemployment rate by more than 1 
        percent during the previous calendar year; or
          (4) would be carried out in a location where the 
        project will aid with forest restoration.
  (g) Limitations.--
          (1) Capacity of community wood energy systems.--A 
        community wood energy system acquired with grant funds 
        under the Program shall not exceed nameplate capacity 
        of 10 megawatts of thermal energy or combined thermal 
        and electric energy.
          (2) Funding for innovative wood product facilities.--
        Not more than 25 percent of funds provided as grants 
        under the Program for a fiscal year may go to 
        applicants proposing innovative wood product 
        facilities, unless the Secretary has received an 
        insufficient number of qualified proposals for 
        community wood energy systems.
  (h) Funding.--There is authorized to be appropriated to carry 
out the Program $25,000,000 for each of fiscal years 2019 
through 2023.

TITLE X--MISCELLANEOUS

           *       *       *       *       *       *       *


Subtitle F--Livestock

           *       *       *       *       *       *       *


SEC. 10504. VETERINARY TRAINING.

   The Secretary of Agriculture may develop a program to 
maintain in all regions of the United States a sufficient 
number of Federal and State veterinarians and veterinary teams, 
including those based at colleges of veterinary medicine, who 
are well trained in recognition and diagnosis of exotic and 
endemic animal diseases.

           *       *       *       *       *       *       *


Subtitle G--Specialty Crops

           *       *       *       *       *       *       *


SEC. 10603. PURCHASE OF SPECIALTY CROPS.

  (a) General Purchase Authority.--Of the funds made available 
under section 32 of the Act of August 24, 1935 (7 U.S.C. 612c), 
for fiscal year 2002 and each subsequent fiscal year, the 
Secretary of Agriculture shall use not less than $200,000,000 
each fiscal year to purchase fruits, vegetables, and other 
specialty food crops.
  (b) Purchase of Fresh Fruits and Vegetables for Distribution 
to Schools and Service Institutions.--The Secretary of 
Agriculture shall purchase fresh fruits and vegetables for 
distribution 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 [2018] 2023.
  (c) Definitions.--In this section, the terms ``fruits'', 
``vegetables'', and ``other specialty food crops'' shall have 
the meaning given the terms by the Secretary of Agriculture.

           *       *       *       *       *       *       *

                              ----------                              


                           FOOD FOR PEACE ACT



           *       *       *       *       *       *       *
TITLE II--EMERGENCY AND PRIVATE ASSISTANCE PROGRAMS

           *       *       *       *       *       *       *


SEC. 202. PROVISION OF AGRICULTURAL COMMODITIES.

  (a) Emergency Assistance.--Notwithstanding any other 
provision of law, the Administrator may provide agricultural 
commodities to meet emergency food needs under this title 
through governments and public or private agencies, including 
intergovernmental organizations such as the World Food Program 
and other multilateral organizations, in such manner and on 
such terms and conditions as the Administrator determines 
appropriate to respond to the emergency.
  (b) Nonemergency Assistance.--
          (1) In general.--The Administrator may provide 
        agricultural commodities for nonemergency assistance 
        under this title through eligible organizations (as 
        described in subsection (d)) that have entered into an 
        agreement with the Administrator to use the commodities 
        in accordance with this title.
          (2) Limitation.--The Administrator may not use as a 
        sole rationale for denying a request for funds 
        submitted under this subsection because the program for 
        which the funds are requested--
                  (A) would be carried out by the eligible 
                organization in a foreign country in which the 
                Agency for International Development does not 
                have a mission, office, or other presence; or
                  (B) is not part of a development plan for the 
                country prepared by the Agency.
          (3) Program diversity.--The Administrator shall--
                  (A) encourage eligible organizations to 
                propose and implement program plans to address 
                1 or more aspects of the program under section 
                201; and
                  (B) consider proposals that incorporate a 
                variety of program objectives and strategic 
                plans based on the identification by eligible 
                organizations of appropriate activities, 
                consistent with section 201, to assist 
                development of foreign countries.
  (c) Uses of Assistance.--Agricultural commodities provided 
under this title may be made available for direct distribution, 
sale, barter, or other appropriate disposition.
  (d) Eligible Organizations.--To be eligible to receive 
assistance under subsection (b) an organization shall be--
          (1) a private voluntary organization or cooperative 
        that is, to the extent practicable, registered with the 
        Administrator; or
          (2) an intergovernmental organization, such as the 
        World Food Program.
  (e) Support for Eligible Organizations.--
          (1) In general.--Of the funds made available in each 
        fiscal year under this title to the Administrator, not 
        less than 7.5 percent nor more than 20 percent of the 
        funds shall be made available in each fiscal year to 
        eligible organizations described in subsection (d), to 
        assist the organizations in--
                  (A) establishing and enhancing programs under 
                this title;
                  (B) meeting specific administrative, 
                management, personnel, transportation, storage, 
                and distribution costs for carrying out 
                programs in foreign countries under this title;
                  (C) implementing income-generating, community 
                development, health, nutrition, cooperative 
                development, agricultural, and other 
                developmental activities within 1 or more 
                recipient countries or within 1 or more 
                countries in the same region; and
                  (D) improving and implementing methodologies 
                for food aid programs, including needs 
                assessments (upon the request of the 
                Administrator), monitoring, and evaluation.
          (2) Request for funds.--To receive funds made 
        available under paragraph (1), an eligible organization 
        described in subsection (d) shall submit a request for 
        the funds that is subject to approval by the 
        Administrator.
          (3) Assistance with respect to sale.--Upon the 
        request of an eligible organization, the Administrator 
        may provide assistance to the eligible organization 
        with respect to the sale of agricultural commodities 
        made available to it under this title.
          (4) Investment authority.--An eligible organization 
        that receives funds made available under paragraph (1) 
        may invest the funds pending the eligible 
        organization's use of the funds. Any interest earned on 
        such investment may be used for the purposes for which 
        the assistance was provided to the eligible 
        organization without further appropriation by Congress.
  (f) Effective Use of Commodities.--To ensure that 
agricultural commodities made available under this title are 
used effectively and in the areas of greatest need, 
organizations or cooperatives through which such commodities 
are distributed shall--
          (1) to the extent feasible, work with indigenous 
        institutions and employ indigenous workers;
          (2) assess and take into account nutritional and 
        other needs of beneficiary groups;
          (3) help such beneficiary groups design and carry out 
        mutually acceptable projects;
          (4) recommend to the Administrator methods of making 
        assistance available that are the most appropriate for 
        each local setting;
          (5) supervise the distribution of commodities 
        provided and the implementation of programs carried out 
        under this title; and
          (6) periodically evaluate the effectiveness of 
        projects undertaken under this title.
  [(g) Labeling.--Commodities provided under this title shall, 
to the extent practicable, be clearly identified with 
appropriate markings on the package or container of such 
commodity in the language of the locality in which such 
commodities are distributed, as being furnished by the people 
of the United States of America.]
  (g) Labeling of Assistance.--Agricultural commodities and 
other assistance provided under this title shall, to the extent 
practicable, be clearly identified with appropriate markings on 
the package or container of such commodities and food procured 
outside of the United States, or on printed material that 
accompanies other assistance, in the language of the locality 
in which such commodities and other assistance are distributed, 
as being furnished by the people of the United States of 
America.
  (h) Food Aid Quality.--
          (1) In general.--The Administrator shall use funds 
        made available for fiscal year 2014 and subsequent 
        fiscal years to carry out this title--
                  (A) to assess the types and quality of 
                agricultural commodities and products donated 
                for food aid;
                  (B) to adjust products and formulations, 
                including potential introduction of new 
                fortificants and products, as necessary to 
                cost-effectively meet nutrient needs of target 
                populations;
                  (C) to test prototypes;
                  (D) to adopt new specifications or improve 
                existing specifications for micronutrient 
                fortified food aid products, based on the 
                latest developments in food and nutrition 
                science, and in coordination with other 
                international partners;
                  (E) to develop new program guidance to 
                facilitate improved matching of products to 
                purposes having nutritional intent, in 
                coordination with other international partners;
                  (F) to develop improved guidance for 
                implementing partners on how to address 
                nutritional deficiencies that emerge among 
                recipients for whom food assistance is the sole 
                source of diet in emergency programs that 
                extend beyond 1 year, in coordination with 
                other international partners; and
                  (G) to evaluate, in appropriate settings and 
                as necessary, the performance and cost-
                effectiveness of new or modified specialized 
                food products and program approaches designed 
                to meet the nutritional needs of the most 
                vulnerable groups, such as pregnant and 
                lactating mothers, and children under the age 
                of 5.
          (2) Administration.--The Administrator--
                  (A) shall carry out this subsection in 
                consultation with and through independent 
                entities with proven expertise in food aid 
                commodity quality enhancements;
                  (B) may enter into contracts to obtain the 
                services of such entities; and
                  (C) shall consult with the Food Aid 
                Consultative Group on how to carry out this 
                subsection.
          (3) Funding limitation.--Of the funds made available 
        under section 207(f), for fiscal years 2014 through 
        [2018] 2023, not more than $4,500,000 may be used to 
        carry out this subsection.

SEC. 203. GENERATION AND USE OF CURRENCIES BY PRIVATE VOLUNTARY 
                    ORGANIZATIONS AND COOPERATIVES.

  (a) Local Sale and Barter of Commodities.--An agreement 
entered into between the Administrator and a private voluntary 
organization or cooperative to provide food assistance through 
such organization or cooperative under this title may provide 
for the sale or barter in 1 or more recipient countries, or 1 
or more countries in the same region, of the commodities to be 
provided under such agreement to generate proceeds to be used 
as provided in this section.
  [(b) Minimum Level of Local Sales.--In carrying out 
agreements of the type referred to in subsection (a), the 
Administrator shall permit private voluntary organizations and 
cooperatives to sell, in 1 or more recipient countries, or in 1 
or more countries in the same region, an amount of commodities 
equal to not less than 15 percent of the aggregate amounts of 
all commodities distributed under non-emergency programs under 
this title for each fiscal year, to generate proceeds to be 
used as provided in this section.]
  [(c)] (b) Description of Intended Uses.--A private voluntary 
organization or cooperative submitting a proposal to enter into 
a non-emergency food assistance agreement under this title 
shall include in such proposal a description of the intended 
uses of any proceeds that may be generated through the sale, in 
1 or more recipient countries, or in 1 or more countries in the 
same region, of any commodities provided under an agreement 
entered into between the Administrator and the organization or 
cooperative.
  [(d)] (c) Use.--Proceeds generated from any partial or full 
sale or barter of commodities by a private voluntary 
organization or cooperative under a non-emergency food 
assistance agreement under this title may--
          (1) be used to transport, store, distribute, and 
        otherwise enhance the effectiveness of the use of 
        agricultural commodities provided under this title;
          (2) be used to implement income-generating, community 
        development, health, nutrition, cooperative 
        development, agricultural, and other developmental 
        activities within 1 or more recipient countries or 
        within 1 or more countries in the same region; or
          (3) be invested, and any interest earned on such 
        investment may be used, for the purposes for which the 
        assistance was provided to that organization, without 
        further appropriation by Congress.

SEC. 204. LEVELS OF ASSISTANCE.

  (a) Minimum Levels.--
          (1) Minimum assistance.--Except as provided in 
        paragraph (3), the Administrator shall make 
        agricultural commodities available for food 
        distribution under this title in an amount that for 
        each of fiscal years 2008 through [2018] 2023 is not 
        less than 2,500,000 metric tons.
          (2) Minimum non-emergency assistance.--Of the amounts 
        specified in paragraph (1), and except as provided in 
        paragraph (3), the Administrator shall make 
        agricultural commodities available for non-emergency 
        food distribution through eligible organizations under 
        section 202 in an amount that for each of fiscal years 
        2008 through [2018] 2023 is not less than 1,875,000 
        metric tons.
          (3) Exception.--The Administrator may waive the 
        requirements of paragraphs (1) and (2) for any fiscal 
        year if the Administrator determines that such 
        quantities of commodities cannot be used effectively to 
        carry out this title or in order to meet an emergency. 
        In making a waiver under this paragraph, the 
        Administrator shall prepare and submit to the 
        Committees on International Relations, Agriculture and 
        Appropriations of the House of Representatives, and the 
        Committees on Appropriations and Agriculture, 
        Nutrition, and Forestry of the Senate a report 
        containing the reasons for the waiver. No waiver shall 
        be made before the beginning of the applicable fiscal 
        year.
  (b) Use of Value-Added Commodities.--
          (1) Minimum levels.--Except as provided in paragraph 
        (2), in making agricultural commodities available under 
        this title, the Administrator shall ensure that not 
        less than 75 percent of the quantity of such 
        commodities required to be distributed during each 
        fiscal year under subsection (a)(2) be in the form of 
        processed, fortified, or bagged commodities and that 
        not less than 50 percent of the quantity of the bagged 
        commodities that are whole grain commodities be bagged 
        in the United States.
          (2) Waiver of minimum.--The Administrator may waive 
        the requirement of paragraph (1) for any fiscal year in 
        which the Administrator determines that the 
        requirements of the programs established under this 
        title will not be best served by the enforcement of 
        such requirement under such paragraph.

SEC. 205. FOOD AID CONSULTATIVE GROUP.

  (a) Establishment.--There is established a Food Aid 
Consultative Group (hereinafter referred to in this section as 
the ``Group'') that shall meet regularly to review and address 
issues concerning the effectiveness of the regulations and 
procedures that govern food assistance programs established and 
implemented under this title, and the implementation of other 
provisions of this title that may involve eligible 
organizations described in section 202(d)(1).
  (b) Membership.--The Group shall be composed of--
          (1) the Administrator;
          [(2) the Under Secretary of Agriculture for Farm and 
        Foreign Agricultural Services;]
          (2) the Under Secretary of Agriculture for Trade and 
        Foreign Agricultural Affairs;
          (3) the Inspector General of the Agency for 
        International Development;
          (4) a representative of each private voluntary 
        organization and cooperative participating in a program 
        under this title, or receiving planning assistance 
        funds from the Agency to establish programs under this 
        title;
          (5) representatives from African, Asian and Latin 
        American indigenous non-governmental organizations 
        determined appropriate by the Administrator;
          (6) representatives from agricultural producer groups 
        in the United States;
          (7) representatives from the United States 
        agricultural processing sector involved in providing 
        agricultural commodities for programs under this Act; 
        and
          (8) representatives from the maritime transportation 
        sector involved in transporting agricultural 
        commodities overseas for programs under this Act.
  (c) Chairperson.--The Administrator shall be the chairperson 
of the Group.
  (d) Consultations.--
          (1) Consultation in advance of issuance of 
        implementation regulations, handbooks, and 
        guidelines.--Not later than 45 days before a proposed 
        regulation, handbook, or guideline implementing this 
        title, or a proposed significant revision to a 
        regulation, handbook, or guideline implementing this 
        title, becomes final, the Administrator shall provide 
        the proposal to the Group for review and comment. The 
        Administrator shall consult and, when appropriate (but 
        at least twice per year), meet with the Group regarding 
        such proposed regulations, handbooks, guidelines, or 
        revisions thereto prior to the issuance of such.
          (2) Consultation regarding food aid quality 
        efforts.--The Administrator shall seek input from and 
        consult with the Group on the implementation of section 
        202(h).
  (e) Advisory Committee Act.--The Federal Advisory Committee 
Act (5 U.S.C. App.) shall not apply to the Group.
  (f) Termination.--The Group shall terminate on December 31, 
[2018] 2023.

           *       *       *       *       *       *       *


SEC. 207. ADMINISTRATION.

  (a) Proposals.--
          (1) Recipient countries.--A proposal to enter into a 
        nonemergency food assistance agreement under this title 
        shall identify the recipient country or countries that 
        are the subject of the agreement.
          (2) Timing.--Not later than 120 days after the date 
        of receipt by the Administrator of a proposal submitted 
        by an eligible organization under this title, the 
        Administrator shall determine whether to accept the 
        proposal.
          (3) Denial.--If a proposal under paragraph (1) is 
        denied, the response shall specify the reasons for 
        denial.
  (b) Notice and Comment.--Not later than 30 days prior to the 
issuance of a final guideline or annual policy guidance to 
carry out this title, the Administrator shall--
          (1) provide notice of the existence of a proposed 
        guideline or annual policy guidance, and that such 
        guideline or annual policy guidance is available for 
        review and comment, to eligible organizations that 
        participate in programs under this title, and to other 
        interested persons;
          (2) make the proposed guideline or annual policy 
        guidance available, on request, to the eligible 
        organizations and other persons referred to in 
        paragraph (1); and
          (3) take any comments received into consideration 
        prior to the issuance of the final guideline or annual 
        policy guidance.
  (c) Regulations and Guidance.--
          (1) In general.--The Administrator shall promptly 
        issue all necessary regulations and make revisions to 
        agency guidelines with respect to changes in the 
        operation or implementation of the program established 
        under this title. Not later than 270 days after the 
        date of the enactment of [the Agricultural Act of 2014] 
        the Agriculture and Nutrition Act of 2018, the 
        Administrator shall issue all regulations and revisions 
        to agency guidance necessary to implement the 
        amendments made to this title by such Act.
          (2) Requirements.--The Administrator shall develop 
        regulations and guidance with the intent of--
                  (A) simplifying procedures for participation 
                in the programs established under this title;
                  (B) reducing paperwork requirements under 
                such programs;
                  (C) establishing reasonable and realistic 
                accountability standards to be applied to 
                eligible organizations participating in the 
                programs established under this title, taking 
                into consideration the problems associated with 
                carrying out programs in developing countries; 
                and
                  (D) providing flexibility for carrying out 
                programs under this title.
  (d) Timely Provision of Commodities.--The Administrator, in 
consultation with the Secretary, shall develop procedures that 
ensure expedited processing of commodity call forwards in order 
to provide commodities overseas in a timely manner and to the 
extent feasible, according to planned delivery schedules.
  (e) Timely Approval.--The Administrator is encouraged to 
finalize program agreements and resource requests for programs 
under this section before the beginning of each fiscal year.
  (f) Program Oversight, Monitoring, and Evaluation.--
          (1) Duties of administrator.--The Administrator, in 
        consultation with the Secretary, shall establish 
        systems and carry out activities--
                  (A) to determine the need for assistance 
                provided under this title; and
                  (B) to improve, monitor, and evaluate the 
                effectiveness and efficiency of the assistance 
                provided under this title to maximize the 
                impact of the assistance.
          (2) Requirements of systems and activities.--The 
        systems and activities described in paragraph (1) shall 
        include--
                  (A) program monitors in countries that 
                receive assistance under this title;
                  (B) country and regional food aid impact 
                evaluations;
                  (C) the identification and implementation of 
                best practices for food aid programs;
                  (D) the evaluation of monetization programs;
                  (E) early warning assessments and systems to 
                help prevent famines; and
                  (F) maintenance of information technology 
                systems.
          (3) Contract authority.--
                  (A) In general.--Subject to subparagraphs (B) 
                and (C), in carrying out administrative and 
                management activities relating to each activity 
                carried out by the Administrator under 
                paragraph (1), the Administrator may enter into 
                contracts with 1 or more individuals for 
                personal service to be performed in recipient 
                countries or neighboring countries.
                  (B) Prohibition.--An individual who enters 
                into a contract with the Administrator under 
                subparagraph (A) shall not be considered to be 
                an employee of the Federal Government for the 
                purpose of any law (including regulations) 
                administered by the Office of Personnel 
                Management.
                  (C) Personal service.--Subparagraph (A) does 
                not limit the ability of the Administrator to 
                enter into a contract with any individual for 
                personal service under section 202(a).
          (4) Funding.--
                  (A) In general.--Subject to section 
                202(h)(3), in addition to other funds made 
                available to the Administrator to carry out the 
                monitoring of emergency food assistance, the 
                Administrator may implement this subsection 
                using up to [$17,000,000] 1.5 percent of the 
                funds made available under this title for each 
                of fiscal years [2014 through 2018] 2019 
                through 2023, except for paragraph (2)(F), for 
                which not more than $500,000 shall be made 
                available for each of the fiscal years 2014 
                through [2018] 2023.
                  (B) Limitations.--
                          (i) In general.--Subject to clause 
                        (ii), of the funds made available under 
                        subparagraph (A), for each of fiscal 
                        years 2009 through [2018] 2023, not 
                        more than $8,000,000 may be used by the 
                        Administrator to carry out paragraph 
                        (2)(E).
                          (ii) Condition.--No funds shall be 
                        made available under subparagraph (A), 
                        in accordance with clause (i), unless 
                        not less than $8,000,000 is made 
                        available under [chapter 1 of part I 
                        of] the Foreign Assistance Act of 1961 
                        (22 U.S.C. 2151 et seq.) for such 
                        purposes for such fiscal year.
  (g) Project Reporting.--
          (1) In general.--In submitting project reports to the 
        Administrator, a private voluntary organization or 
        cooperative shall provide a copy of the report in such 
        form as is necessary for the report to be displayed for 
        public use on the website of the United States Agency 
        for International Development.
          (2) Confidential information.--An organization or 
        cooperative described in paragraph (1) may omit any 
        confidential information from the copy of the report 
        submitted for public display under that paragraph.

SEC. 208. [ASSISTANCE FOR STOCKPILING AND RAPID TRANSPORTATION, 
                    DELIVERY, AND DISTRIBUTION OF SHELF-STABLE 
                    PREPACKAGED FOODS.]  INTERNATIONAL FOOD RELIEF 
                    PARTNERSHIP.

  (a) In General.--The Administrator may provide grants to--
          (1) United States nonprofit organizations (described 
        in section 501(c)(3) of the Internal Revenue Code of 
        1986 and exempt from tax under section 501(a) of the 
        Internal Revenue Code of 1986) for the preparation of 
        shelf-stable prepackaged foods requested by eligible 
        organizations and the establishment and maintenance of 
        stockpiles of the foods in the United States; and
          (2) private voluntary organizations and international 
        organizations for the rapid transportation, delivery, 
        and distribution of shelf-stable prepackaged foods 
        described in paragraph (1) to needy individuals in 
        foreign countries.
  (b) Grants for Establishment of Stockpiles.--
          (1) In general.--Not more than 70 percent of the 
        amount made available to carry out this section shall 
        be used to provide grants under subsection (a)(1).
          (2) Priority.--In providing grants under subsection 
        (a)(1), the Administrator shall provide a preference to 
        a United States nonprofit organization that agrees to 
        provide--
                  (A) non-Federal funds in an amount equal to 
                50 percent of the amount of funds received 
                under a grant under subsection (a)(1);
                  (B) an in-kind contribution in an amount 
                equal to that percentage; or
                  (C) a combination of such funds and an in-
                kind contribution,
        for the preparation of shelf-stable prepackaged foods 
        and the establishment and maintenance of stockpiles of 
        the foods in the United States in accordance with 
        subsection (a)(1).
  (c) Grants for Rapid Transportation, Delivery, and 
Distribution.--Not less than 20 percent of the amount made 
available to carry out this section shall be used to provide 
grants under subsection (a)(2).
  (d) Administration.--Not more than 10 percent of the amount 
made available to carry out this section may be used by the 
Administrator for the administration of grants under subsection 
(a).
  (e) Regulations or Guidelines.--Not later than 180 days after 
the date of the enactment of this section, the Administrator, 
in consultation with the Secretary, shall issue such 
regulations or guidelines as the Administrator determines to be 
necessary to carry out this section, including regulations or 
guidelines that provide to United States nonprofit 
organizations eligible to receive grants under subsection 
(a)(1) guidance with respect to the requirements for qualified 
shelf-stable prepackaged foods and the quantity of the foods to 
be stockpiled by the organizations.
  (f) Authorization of Appropriations.--There is authorized to 
be appropriated to the Administrator to carry out this section, 
in addition to amounts otherwise available to carry out this 
section, $10,000,000 for each of fiscal years 2014 through 
[2018] 2023, to remain available until expended.

           *       *       *       *       *       *       *


TITLE IV--GENERAL AUTHORITIES AND REQUIREMENTS

           *       *       *       *       *       *       *


SEC. 403. GENERAL PROVISIONS.

  (a) Prohibition.--No agricultural commodity, food procured 
outside of the United States, food voucher, or cash transfer 
for food, shall be made available under this Act unless it is 
determined that--
          (1) in the case of the provision of an agricultural 
        commodity, adequate storage facilities will be 
        available in the recipient country at the time of the 
        arrival of the commodity to prevent the spoilage or 
        waste of the commodity; and
          (2) the distribution of the [commodity] agricultural 
        commodity or use of the food procured outside of the 
        United States, food vouchers, or cash transfers for 
        food in the recipient country will not result in a 
        substantial disincentive to or interference with 
        domestic production or marketing in that country.
  (b) Impact on Local Farmers and Economy.--The Secretary or 
the Administrator, as appropriate, shall ensure that the 
importation of United States agricultural commodities, food 
procured outside of the United States, food vouchers, and cash 
transfers for food and the use of local currencies for 
development purposes will not have a disruptive impact on the 
farmers or the local economy of the recipient country. The 
Secretary or the Administrator, as appropriate, shall seek 
information, as part of the regular proposal and submission 
process, from implementing agencies on the potential costs and 
benefits to the local economy [of sales of agricultural 
commodities] within the recipient country.
  (c) Transshipment.--The Secretary or the Administrator, as 
appropriate, shall, under such terms and conditions as are 
determined to be appropriate, require commitments designed to 
prevent or restrict the resale or transshipment to other 
countries, or use for other than domestic purposes, of 
agricultural commodities donated or purchased under this Act.
  (d) Private Trade Channels and Small Business.--Private trade 
channels shall be used under this Act to the maximum extent 
practicable in the United States and in the recipient countries 
with respect to--
          (1) sales from privately owned stocks;
          (2) sales from stocks owned by the Commodity Credit 
        Corporation; and
          (3) donations.
Small businesses shall be provided adequate and fair 
opportunity to participate in such sales.
  (e) World Prices.--
          (1) In general.--In carrying out this Act, reasonable 
        precautions shall be taken to assure that sales or 
        donations of agricultural commodities will not unduly 
        disrupt world prices for agricultural commodities or 
        normal patterns of commercial trade with foreign 
        countries.
          (2) Sale price.--Sales of agricultural commodities 
        described in paragraph (1) shall be made at a 
        reasonable market price in the economy where the 
        agricultural commodity is to be sold, as determined by 
        the Secretary or the Administrator, as appropriate.
  (f) Publicity.--Commitments shall be obtained from countries 
or private entities, as appropriate, receiving commodities 
under this Act that such countries or private entities will 
widely publicize, to the extent practicable, through the use of 
the public media and through other means, that such commodities 
are being provided through the friendship of the American 
people as food for peace.
  (g) Participation of Private Sector.--The Secretary or the 
Administrator, as appropriate, shall encourage the private 
sector of the United States and private importers in developing 
countries to participate in the programs established under this 
Act.
  (h) Safeguard Usual Marketings.--In carrying out this Act, 
reasonable precautions shall be taken to safeguard the usual 
marketings of the United States and to avoid displacing any 
sales of the United States agricultural commodities that the 
Secretary or Administrator determines would otherwise be made.
  (i) Military Distribution of Food Aid.--
          (1) In general.--The Secretary or the Administrator, 
        as appropriate, shall attempt to ensure that 
        agricultural commodities made available under this Act 
        will be provided without regard to the political 
        affiliation, geographic location, ethnic, tribal, or 
        religious identity of the recipient or without regard 
        to other extraneous factors.
          (2) Prohibition on handling of commodities by the 
        military.--
                  (A) In general.--Except as provided in 
                subparagraph (B), the Secretary or the 
                Administrator, as appropriate, shall not enter 
                into an agreement under this Act to provide 
                agricultural commodities if such agreement 
                requires or permits the distribution, handling, 
                or allocation of such commodities by the 
                military forces of any government or insurgent 
                group.
                  (B) Exception.--Notwithstanding subparagraph 
                (A), the Secretary or the Administrator, as 
                appropriate, may authorize the handling or 
                distribution of commodities by the military 
                forces of a country in exceptional 
                circumstances in which--
                          (i) nonmilitary channels are not 
                        available for such handling or 
                        distribution;
                          (ii) such action is consistent with 
                        the requirements of paragraph (1); and
                          (iii) the Secretary or the 
                        Administrator, as appropriate, 
                        determines that such action is 
                        necessary to meet the emergency health, 
                        safety, or nutritional requirements of 
                        the recipient population.
          (3) Encouragement of safe passage.--When entering 
        into agreements under this Act that involve areas 
        within recipient countries that are experiencing 
        protracted warfare or civil strife, the Secretary or 
        the Administrator, as appropriate, shall, to the extent 
        practicable, encourage all parties to the conflict to 
        permit safe passage of the commodities and other relief 
        supplies and to establish safe zones for medical and 
        humanitarian treatment and evacuation of injured 
        persons.
  (j) Violations of Human Rights.--
          (1) Ineligible countries.--The Secretary or the 
        Administrator, as appropriate, shall not enter into any 
        agreement under this Act to provide agricultural 
        commodities, or to finance the sale of agricultural 
        commodities, to the government of any country 
        determined by the President to engage in a consistent 
        pattern of gross violations of internationally 
        recognized human rights, including--
                  (A) the torture or cruel, inhuman, or 
                degrading treatment or punishment of 
                individuals;
                  (B) the prolonged detention of individuals 
                without charges;
                  (C) the responsibility for causing the 
                disappearance of individuals through the 
                abduction and clandestine detention of such 
                individuals; or
                  (D) other flagrant denials of the right to 
                life, liberty, and the security of persons.
          (2) Waiver.--Paragraph (1) shall not prohibit the 
        provision of assistance to such a country if the 
        assistance is targeted to the most needy people in such 
        country and is made available in such country through 
        channels other than the government.
  (k) Abortion Prohibition.--Local currencies that are made 
available for use under this Act may not be used to pay for the 
performance of abortions as a method of family planning or to 
motivate or coerce any person to practice abortions.
  (l) Sale Procedure.--
          (1) In general.--Subsections (b) and (h) shall apply 
        to sales of commodities in recipient countries to 
        generate proceeds to carry out projects under--
                  (A) titles I and II;
                  (B) section 416(b) of the Agricultural Act of 
                1949 (7 U.S.C. 1431(b)); and
                  (C) the Food for Progress Act of 1985 (7 
                U.S.C. 1736o).
          (2) Currency.--A sale described in paragraph (1) may 
        be made in United States dollars or other currencies.
  [(m) Report on Use of Funds.--
          [(1) Report required.--Not later than 180 days after 
        the date of the enactment of the Agricultural Act of 
        2014, and annually thereafter, the Administrator shall 
        submit to Congress a report that--
                  [(A) specifies the amount of funds (including 
                funds for administrative costs, indirect cost 
                recovery, internal transportation, storage, and 
                handling, and associated distribution costs) 
                provided to each eligible organization that 
                received assistance under this Act in the 
                previous fiscal year;
                  [(B) describes how those funds were used by 
                the eligible organization;
                  [(C) describes the actual rate of return for 
                each commodity made available under this Act, 
                including--
                          [(i) factors that influenced the rate 
                        of return; and
                          [(ii) for the commodity, the costs of 
                        bagging or further processing, ocean 
                        transportation, inland transportation 
                        in the recipient country, storage 
                        costs, and any other information that 
                        the Administrator determines to be 
                        necessary; and
                  [(D) for each instance in which a commodity 
                was made available under this Act at a rate of 
                return less than 70 percent, describes the 
                reasons for the rate of return realized.
          [(2) Rate of return described.--For purposes of 
        applying paragraph (1)(C), the rate of return for a 
        commodity shall be equal to the proportion that--
                  [(A) the proceeds the implementing partners 
                generate through monetization; bears to
                  [(B) the cost to the Federal Government to 
                procure and ship the commodity to a recipient 
                country for monetization.]

           *       *       *       *       *       *       *


SEC. 407. ADMINISTRATIVE PROVISIONS.

  (a) Title I Programs.--
          (1) Acquisitions.--The importing country or private 
        entity that enters into an agreement under title I 
        shall acquire the agricultural commodities to be 
        financed under title I.
          (2) Invitation for bid.--No purchase of agricultural 
        commodities from private stock or purchase of ocean 
        transportation shall be financed under title I unless 
        such purchases are made on the basis of an invitation 
        for bid that is publicly advertised in the United 
        States, and on the basis of bid offerings that shall 
        conform to such invitation and be received and publicly 
        opened in the United States. All awards in the purchase 
        of commodities or ocean transportation financed under 
        title I shall be consistent with open, competitive, and 
        responsive bid procedures, as determined appropriate by 
        the Secretary. Resulting contracts may contain such 
        terms and conditions as the Secretary determines are 
        necessary and appropriate.
  (b) Agents.--
          (1) Authority of the Secretary or Commodity Credit 
        Corporation.--
                  (A) General rule.--Except as provided in 
                subparagraph (B), if it is determined 
                appropriate, the Secretary or the Commodity 
                Credit Corporation may serve as the purchasing 
                or shipping agent, or both, for the importer or 
                importing country in arranging the purchase or 
                shipping of commodities financed under title I.
                  (B) Exception.--Notwithstanding subparagraph 
                (A), the Secretary or the Commodity Credit 
                Corporation may award, under a competitive 
                bidding process, contracts for establishing 
                freight agents who shall act on behalf of the 
                Secretary or the Corporation to handle the 
                shipping of commodities financed under this 
                Act.
                  (C) Avoidance of conflict of interest of 
                contractors.--Freight agents employed by the 
                Secretary or the Commodity Credit Corporation 
                under title I shall not represent any foreign 
                government during the period of their contract 
                with the United States Government.
          (2) Reasonable fees and commissions.--
                  (A) Fees.--Notwithstanding any other 
                provision of law, the Secretary or the 
                Commodity Credit Corporation may enter into an 
                agreement with the importer or importing 
                country that contains the terms and conditions 
                that will govern the provision of purchasing or 
                shipping agent services by the Secretary or the 
                Corporation, including the establishment of 
                fees for such services. Any such fees shall be 
                fair and reasonable in relation to the services 
                performed and shall be available as 
                reimbursement for costs incurred in providing 
                such services.
                  (B) Prohibition on commissions.--Commissions, 
                fees, or other payments to any selling agent or 
                to any agent of a purchaser shall be prohibited 
                in the purchase of agricultural commodities 
                that are financed under title I of this Act.
          (3) Limitations.--No commission, fees, or other 
        payments to an agent, broker, consultant, or other 
        representative of the importer or importing country for 
        ocean transportation brokerage services in connection 
        with the carriage of commodities provided under title I 
        of this Act may--
                  (A) be paid in excess of an amount determined 
                appropriate by the Secretary; and
                  (B) be shared by such person with the 
                importer or importing country or any agent 
                thereof.
          (4) Avoidance of conflict of interest.--A person may 
        not be an agent, broker, consultant, or other 
        representative of the United States Government, an 
        importer, or an importing country in connection with 
        agricultural commodities provided under this Act during 
        a fiscal year in which such person provides or acts as 
        an agent, broker, consultant, or other representative 
        of a person engaged in providing ocean transportation 
        or ocean transportation-related services for such 
        commodities. For the purpose of this paragraph, the 
        term ``transportation-related services'' means 
        lightening, stevedoring, bagging, or inland 
        transportation to the destination point.
  (c) Title II and III Program.--
          (1) Acquisition.--
                  (A) In general.--The Administrator shall 
                transfer, arrange for the transportation, and 
                take other steps necessary to make available 
                agricultural commodities to be provided under 
                title II and title III.
          (B) Certain commodities made available for 
        nonemergency assistance.--In the case of agricultural 
        commodities made available for nonemergency assistance 
        under title II for least developed countries that meet 
        the poverty and other eligibility criteria established 
        by the International Bank for Reconstruction and 
        Development for financing under the International 
        Development Association, the Administrator may pay the 
        transportation costs incurred in moving the 
        agricultural commodities from designated points of 
        entry or ports of entry abroad to storage and 
        distribution sites and associated storage and 
        distribution costs.
          (2) Freight procurement.--Notwithstanding the Federal 
        Property and Administrative Services Act of 1949 (40 
        U.S.C. 471 et seq.) or other similar provisions of law 
        relating to the making or performance of Federal 
        Government contracts, ocean transportation under titles 
        II and III may be procured on the basis of full and 
        open competitive procedures. Resulting contracts may 
        contain such terms and conditions as the Administrator 
        determines are necessary and appropriate.
          (3) Avoidance of conflict of interest.--Freight 
        agents employed by the Agency for International 
        Development under titles II and III shall not represent 
        any foreign government during the period of their 
        contract with the United States Government.
          (4) Prepositioning.--
                  (A) In general.--Funds made available for 
                fiscal years 2001 through [2018] 2023 to carry 
                out titles II and III may be used by the 
                Administrator to procure, transport, and store 
                agricultural commodities for prepositioning 
                within the United States and in foreign 
                countries, except that for each of fiscal years 
                2001 through 2013 not more than $10,000,000 of 
                such funds and for each of fiscal years 2014 
                through [2018] 2023 not more than $15,000,000 
                of such funds may be used to store agricultural 
                commodities for prepositioning in foreign 
                countries.
                  (B) Additional prepositioning sites.--The 
                Administrator may establish additional sites 
                for prepositioning in foreign countries or 
                change the location of current sites for 
                prepositioning in foreign countries after 
                conducting, and based on the results of, 
                assessments of need, the availability of 
                appropriate technology for long-term storage, 
                feasibility, and cost.
          (5) Nonemergency or multiyear agreements.--Annual 
        resource requests for ongoing nonemergency or ongoing 
        multiyear agreements under title II shall be finalized 
        not later than October 1 of the fiscal year in which 
        the agricultural commodities will be shipped under the 
        agreement.
  (d) Timing of Shipments.--In determining the timing of the 
shipment of agricultural commodities to be provided under this 
Act, the Secretary or the Administrator, as appropriate, shall 
consider--
          (1) the time of harvest of any competing commodities 
        in the recipient country; and
          (2) such other concerns determined to be appropriate.
  (e) Deadline for Agreements Under Titles I and III.--An 
agreement under titles I and III shall, to the extent 
practicable, be entered into not later than--
          (1) November 30 of the first fiscal year in which 
        agricultural commodities are to be shipped under the 
        agreement; or
          (2) 60 days after the date of enactment of the annual 
        Rural Development, Agriculture, and Related Agencies 
        Appropriations Act for the first fiscal year in which 
        agricultural commodities are to be shipped under the 
        agreement,
whichever is later.
  [(f) Annual Reports.--
          [(1) Annual report regarding food aid programs and 
        activities.--
                  [(A) Annual report.--Not later than April 1 
                of each fiscal year, the Administrator and the 
                Secretary shall jointly prepare and submit to 
                the appropriate committees of Congress a report 
                regarding each program and activity carried out 
                under this Act during the prior fiscal year.
                  [(B) Contents.--An annual report described in 
                subparagraph (A) shall include, with respect to 
                the prior fiscal year--
                          [(i) a list that contains a 
                        description of each country and 
                        organization that receives food and 
                        other assistance under this Act 
                        (including the quantity of food and 
                        assistance provided to each country and 
                        organization);
                          [(ii) a general description of each 
                        project and activity implemented under 
                        this Act (including each activity 
                        funded through the use of local 
                        currencies) and the total number of 
                        beneficiaries of the project and the 
                        activities carried out through such 
                        project;
                          [(iii) a statement describing the 
                        quantity of agricultural commodities 
                        made available to, and the total number 
                        of beneficiaries in, each country 
                        pursuant to--
                                  [(I) section 416(b) of the 
                                Agricultural Act of 1949 (7 
                                U.S.C. 1431(b));
                                  [(II) the Food for Progress 
                                Act of 1985 (7 U.S.C. 1736o); 
                                and
                                  [(III) the McGovern-Dole 
                                International Food for 
                                Education and Child Nutrition 
                                Program established by section 
                                3107 of the Farm Security and 
                                Rural Investment Act of 2002 (7 
                                U.S.C. 1736o-1);
                          [(iv) an assessment of the progress 
                        made through programs under this Act 
                        towards reducing food insecurity in the 
                        populations receiving food assistance 
                        from the United States;
                          [(v) a description of efforts 
                        undertaken by the Food Aid Consultative 
                        Group under section 205 to achieve an 
                        integrated and effective food 
                        assistance program;
                          [(vi) an assessment of--
                                  [(I) each program oversight, 
                                monitoring, and evaluation 
                                system implemented under 
                                section 207(f); and
                                  [(II) the impact of each 
                                program oversight, monitoring, 
                                and evaluation system on the 
                                effectiveness and efficiency of 
                                assistance provided under this 
                                title; and
                          [(vii) an assessment of the progress 
                        made by the Administrator in addressing 
                        issues relating to quality with respect 
                        to the provision of food assistance.
          [(2) Annual report regarding the provision of 
        agricultural commodities to foreign countries.--
                  [(A) Annual report.--Not later than February 
                1 of each fiscal year, the Administrator shall 
                prepare and submit to the appropriate 
                committees of Congress a report regarding the 
                administration of food assistance programs 
                under title II to benefit foreign countries 
                during the prior fiscal year.
                  [(B) Contents.--An annual report described in 
                subparagraph (A) shall include, with respect to 
                the prior fiscal year--
                          [(i) a list that contains a 
                        description of each program, country, 
                        and commodity approved for assistance 
                        under section 207; and
                          [(ii) a statement that contains a 
                        description of the total amount of 
                        funds approved for transportation and 
                        administrative costs under section 
                        207.]
  (f) Annual Report Regarding Food Aid Programs and 
Activities.--
          (1) In general.--Not later than April 1 of each 
        fiscal year, the Administrator and the Secretary shall 
        prepare, either jointly or separately, a report 
        regarding each program and activity carried out under 
        this Act during the prior fiscal year. If the report 
        for a fiscal year will not be submitted to the 
        appropriate committees of Congress by the date 
        specified in this subparagraph, the Administrator and 
        the Secretary shall promptly notify such committees 
        about the delay, including the reasons for the delay, 
        the steps being taken to complete the report, and an 
        estimated submission date.
          (2) Contents.--An annual report described in 
        paragraph (1) shall include, with respect to the prior 
        fiscal year, the following:
                  (A) A list that contains a description of 
                each country and organization that receives 
                food and other assistance under this Act 
                (including the quantity of food and assistance 
                provided to each country and organization).
                  (B) A general description of each project and 
                activity implemented under this Act (including 
                each activity funded through the use of local 
                currencies) and the total number of 
                beneficiaries of the project.
                  (C) A statement describing the quantity of 
                agricultural commodities made available to, and 
                the total number of beneficiaries in, each 
                country pursuant to--
                          (i) this Act;
                          (ii) section 416(b) of the 
                        Agricultural Act of 1949 (7 U.S.C. 
                        1431(b));
                          (iii) the Food for Progress Act of 
                        1985 (7 U.S.C. 1736o); and
                          (iv) the McGovern-Dole International 
                        Food for Education and Child Nutrition 
                        Program established by section 3107 of 
                        the Farm Security and Rural Investment 
                        Act of 2002 (7 U.S.C. 1736o-1).
                  (D) An assessment of the progress made 
                through programs under this Act towards 
                reducing food insecurity in the populations 
                receiving food assistance from the United 
                States.
                  (E) A description of efforts undertaken by 
                the Food Aid Consultative Group under section 
                205 to achieve an integrated and effective food 
                assistance program.
                  (F) An assessment of--
                          (i) each program oversight, 
                        monitoring, and evaluation system 
                        implemented under section 207(f); and
                          (ii) the impact of each program 
                        oversight, monitoring, and evaluation 
                        system on the effectiveness and 
                        efficiency of assistance provided under 
                        this title.
                  (G) An assessment of the progress made by the 
                Administrator in addressing issues relating to 
                quality with respect to the provision of food 
                assistance.
                  (H) A statement of the amount of funds 
                (including funds for administrative costs, 
                indirect cost recovery, internal 
                transportation, storage and handling, and 
                associated distribution costs) provided to each 
                eligible organization that received assistance 
                under this Act, that further describes the 
                following:
                          (i) How such funds were used by the 
                        eligible organization.
                          (ii) The actual rate of return for 
                        each commodity made available under 
                        this Act, including factors that 
                        influenced the rate of return, and, for 
                        the commodity, the costs of bagging or 
                        further processing, ocean 
                        transportation, inland transportation 
                        in the recipient country, storage 
                        costs, and any other information that 
                        the Administrator and the Secretary 
                        determine to be necessary.
                          (iii) For each instance in which a 
                        commodity was made available under this 
                        Act at a rate of return less than 70 
                        percent, the reasons for the rate of 
                        return realized.
                  (I) For funds expended for the purposes of 
                section 202(e), 406(b)(6), and 407(c)(1)(B), a 
                detailed accounting of the expenditures and 
                purposes of such expenditures with respect to 
                each section.
          (3) Rate of return described.--For purposes of 
        applying subparagraph (H), the rate of return for a 
        commodity shall be equal to the proportion that--
                  (A) the proceeds the implementing partners 
                generate through monetization; bears to
                  (B) the cost to the Federal Government to 
                procure and ship the commodity to a recipient 
                country for monetization.

SEC. 408. EXPIRATION DATE.

  No agreements to finance sales or to provide other assistance 
under this Act shall be entered into after December 31, [2018] 
2023.

           *       *       *       *       *       *       *


SEC. 412. AUTHORIZATION OF APPROPRIATIONS.

  (a) Authorization of Appropriations.--There are authorized to 
be appropriated--
          (1) for fiscal year 2008 and each fiscal year 
        thereafter, $2,500,000,000 to carry out the emergency 
        and nonemergency food assistance programs under title 
        II; and
          (2) such sums as are necessary--
                  (A) to carry out the concessional credit 
                sales program established under title I;
                  (B) to carry out the grant program 
                established under title III; and
                  (C) to make payments to the Commodity Credit 
                Corporation to the extent the Commodity Credit 
                Corporation is not reimbursed under the 
                programs under this Act for the actual costs 
                incurred or to be incurred by the Commodity 
                Credit Corporation in carrying out such 
                programs.
  (b) Transfer of Funds.--
          (1) In general.--Except as provided in paragraph (2) 
        and notwithstanding any other provision of law, the 
        President may direct that up to 15 percent of the funds 
        available for any fiscal year for carrying out any 
        title of this Act be used to carry out any other title 
        of this Act.
          (2) Title iii funds.--The President may direct that 
        up to 50 percent of the funds available for any fiscal 
        year for carrying out title III be used to carry out 
        title II.
  (c) Budget.--In presenting the Budget of the United States, 
the President shall classify expenditures under this Act as 
expenditures for international affairs and finance rather than 
for agriculture and agricultural resources.
  (d) Value of Commodities.--Notwithstanding any other 
provision of law, in determining the reimbursement due the 
Commodity Credit Corporation for all expenses incurred under 
this Act, commodities from the inventory of the Commodity 
Credit Corporation that were acquired under dairy price support 
operations shall be valued at a price not greater than the 
export market price for such commodities, as determined by the 
Secretary, as of the time such commodity is made available 
under this Act.
  [(e) Minimum Level of Nonemergency Food Assistance.--
          [(1) In general.--Subject to paragraph (2), of the 
        amounts made available to carry out emergency and 
        nonemergency food assistance programs under title II, 
        not less than 20 nor more than 30 percent for each of 
        fiscal years 2014 through 2018 shall be expended for 
        nonemergency food assistance programs under title II.
          [(2) Minimum level.--The amount made available to 
        carry out nonemergency food assistance programs under 
        title II shall not be less than $350,000,000 for any 
        fiscal year.]
  (e) Minimum Level of Nonemergency Food Assistance.--
          (1) In general.--For each of fiscal years 2019 
        through 2023, not less than $365,000,000 of the amounts 
        made available to carry out emergency and nonemergency 
        food assistance programs under title II, nor more than 
        30 percent of such amounts, shall be expended for 
        nonemergency food assistance programs under such title.
          (2) Community development funds.--Funds appropriated 
        each year to carry out part I of the Foreign Assistance 
        Act of 1961 (22 U.S.C. 2151 et seq.) that are made 
        available through grants or cooperative agreements to 
        strengthen food security in developing countries and 
        that are consistent with section 202(e)(1)(C) may be 
        deemed to be expended on nonemergency food assistance 
        programs for purposes of this section.

           *       *       *       *       *       *       *


SEC. 415. MICRONUTRIENT FORTIFICATION PROGRAMS.

  (a) In General.--
          (1) Programs.--Not later than September 30, 2008, the 
        Administrator, in consultation with the Secretary, 
        shall establish micronutrient fortification programs.
          (2) Purpose.--The purpose of a program shall be to--
                  (A) assist developing countries in correcting 
                micronutrient dietary deficiencies among 
                segments of the populations of the countries; 
                and
                  (B) assess and apply technologies and systems 
                to improve and ensure the quality, shelf life, 
                bioavailability, and safety of fortified food 
                aid agricultural commodities, and products of 
                those agricultural commodities.
  (b) Fortification.--Under a program, grains and other 
commodities made available to a developing country selected to 
participate in a program may be fortified with 1 or more 
micronutrients (such as vitamin A, iron, iodine, and folic 
acid) with respect to which a substantial portion of the 
population in the country is deficient. The commodity may be 
fortified in the United States or in the developing country.
  (c) Termination of Authority.--The authority to carry out 
programs established under this section shall terminate on 
September 30, [2018] 2023.

           *       *       *       *       *       *       *


                   TITLE V--FARMER-TO-FARMER PROGRAM

SEC. 501. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO-FARMER PROGRAM.

  (a) Definitions.--In this section:
          (1) Caribbean basin country.--The term ``Caribbean 
        Basin country'' means a country eligible for 
        designation as a beneficiary country under section 212 
        of the Caribbean Basin Economic Recovery Act (19 U.S.C. 
        2702).
          (2) Emerging market.--The term ``emerging market'' 
        means a country that the Secretary determines--
                  (A) is taking steps toward a market-oriented 
                economy through the food, agriculture, or rural 
                business sectors of the economy of the country; 
                and
                  (B) has the potential to provide a viable and 
                significant market for United States 
                agricultural commodities or products of United 
                States agricultural commodities.
          (3) Middle income country.--The term ``middle income 
        country'' means a country that has developed 
        economically to the point at which the country does not 
        receive bilateral development assistance from the 
        United States.
          (4) Sub-saharan african country.--The term ``sub-
        Saharan African country'' has the meaning given the 
        term in section 107 of the Trade and Development Act of 
        2000 (19 U.S.C. 3706).
  (b) Provision.--Notwithstanding any other provision of law, 
to further assist developing countries, middle-income 
countries, emerging markets, sub-Saharan African countries, and 
Caribbean Basin countries to increase farm production and 
farmer incomes, the President may--
          (1) establish and administer a program, to be known 
        as the ``John Ogonowski and Doug Bereuter Farmer-to-
        Farmer Program'', of farmer-to-farmer technical 
        assistance between the United States and such countries 
        to assist in--
                  (A) increasing food production and 
                distribution; and
                  (B) improving the effectiveness of the 
                farming and marketing operations of 
                agricultural producers in those countries;
          (2) use United States agricultural producers, 
        agriculturalists, colleges and universities (including 
        historically black colleges and universities, land 
        grant colleges or universities, and foundations 
        maintained by colleges or universities), private 
        agribusinesses, private organizations (including 
        grassroots organizations with an established and 
        demonstrated capacity to carry out such a bilateral 
        exchange program), private corporations, retired 
        extension staff of the Department of Agriculture, and 
        nonprofit farm organizations to work in conjunction 
        with agricultural producers and farm organizations in 
        those countries, on a voluntary basis--
                  (A) to improve agricultural and agribusiness 
                operations and agricultural systems in those 
                countries, including improving--
                          (i) animal care and health;
                          (ii) field crop cultivation;
                          (iii) fruit and vegetable growing;
                          (iv) livestock operations;
                          (v) food processing and packaging;
                          (vi) farm credit;
                          (vii) marketing;
                          (viii) inputs; and
                          (ix) agricultural extension; and
                  (B) to strengthen cooperatives and other 
                agricultural groups in those countries;
          (3) transfer the knowledge and expertise of United 
        States agricultural producers and businesses, on an 
        individual basis, to those countries while enhancing 
        the democratic process by supporting private and public 
        agriculturally related organizations that request and 
        support technical assistance activities through cash 
        and in-kind services;
          (4) to the maximum extent practicable, make grants to 
        or enter into contracts or other cooperative agreements 
        with private voluntary organizations, cooperatives, 
        land grant universities, private agribusiness, or 
        nonprofit farm organizations to carry out this section 
        (except that any such contract or other agreement may 
        obligate the United States to make outlays only to the 
        extent that the budget authority for such outlays is 
        available under subsection (d) or has otherwise been 
        provided in advance in appropriation Acts);
          (5) coordinate programs established under this 
        section with other foreign assistance programs and 
        activities carried out by the United States; [and]
          (6) foster appropriate investments in institutional 
        capacity-building and allow longer-term and sequenced 
        assignments and partnerships to provide deeper 
        engagement and greater continuity on such projects; and
          [(6)] (7) to the extent that local currencies can be 
        used to meet the costs of a program established under 
        this section, augment funds of the United States that 
        are available for such a program through the use, 
        within the country in which the program is being 
        conducted, of--
                  (A) foreign currencies that accrue from the 
                sale of agricultural commodities and products 
                under this Act; and
                  (B) local currencies generated from other 
                types of foreign assistance activities.
  (c) Special Emphasis on Sub-Saharan African and Caribbean 
Basin Countries.--
          (1) Findings.--Congress finds that--
                  (A) agricultural producers in sub-Saharan 
                African and Caribbean Basin countries need 
                training in agricultural techniques that are 
                appropriate for the majority of eligible 
                agricultural producers in those countries, 
                including training in--
                          (i) standard growing practices;
                          (ii) insecticide and sanitation 
                        procedures; and
                          (iii) other agricultural methods that 
                        will produce increased yields of more 
                        nutritious and healthful crops;
                  (B) agricultural producers in the United 
                States (including African-American agricultural 
                producers) and banking and insurance 
                professionals have agribusiness expertise that 
                would be invaluable for agricultural producers 
                in sub-Saharan African and Caribbean Basin 
                countries;
                  (C) a commitment by the United States is 
                appropriate to support the development of a 
                comprehensive agricultural skills training 
                program for those agricultural producers that 
                focuses on--
                          (i) improving knowledge of 
                        insecticide and sanitation procedures 
                        to prevent crop destruction;
                          (ii) teaching modern agricultural 
                        techniques that would facilitate a 
                        continual analysis of crop production, 
                        including--
                                  (I) the identification and 
                                development of standard growing 
                                practices; and
                                  (II) the establishment of 
                                systems for recordkeeping;
                          (iii) the use and maintenance of 
                        agricultural equipment that is 
                        appropriate for the majority of 
                        eligible agricultural producers in sub-
                        Saharan African or Caribbean Basin 
                        countries;
                          (iv) the expansion of small 
                        agricultural operations into 
                        agribusiness enterprises by increasing 
                        access to credit for agricultural 
                        producers through--
                                  (I) the development and use 
                                of village banking systems; and
                                  (II) the use of agricultural 
                                risk insurance pilot products; 
                                and
                          (v) marketing crop yields to 
                        prospective purchasers (including 
                        businesses and individuals) for local 
                        needs and export; and
                  (D) programs that promote the exchange of 
                agricultural knowledge and expertise through 
                the exchange of American and foreign 
                agricultural producers have been effective in 
                promoting improved agricultural techniques and 
                food security and the extension of additional 
                resources to such farmer-to-farmer exchanges is 
                warranted.
          (2) Goals for programs carried out in sub-saharan 
        african and caribbean countries.--The goals of programs 
        carried out under this section in sub-Saharan African 
        and Caribbean Basin countries shall be--
                  (A) to expand small agricultural operations 
                in those countries into agribusiness 
                enterprises by increasing access to credit for 
                agricultural producers through--
                          (i) the development and use of 
                        village banking systems; and
                          (ii) the use of agricultural risk 
                        insurance pilot products;
                  (B) to provide training to agricultural 
                producers in those countries that will--
                          (i) enhance local food security; and
                          (ii) help mitigate and alleviate 
                        hunger;
                  (C) to provide training to agricultural 
                producers in those countries in groups to 
                encourage participants to share and pass on to 
                other agricultural producers in the home 
                communities of the participants, the 
                information and skills obtained from the 
                training, rather than merely retaining the 
                information and skills for the personal 
                enrichment of the participants; and
                  (D) to maximize the number of beneficiaries 
                of the programs in sub-Saharan African and 
                Caribbean Basin countries.
  [(d) Minimum Funding.--Notwithstanding any other provision of 
law, in addition to any funds that may be specifically 
appropriated to carry out this section, not less than the 
greater of $10,000,000 or 0.5 percent of the amounts made 
available for each of fiscal years 2008 through 2013, and not 
less than the greater of $15,000,000 or 0.6 percent of the 
amounts made available for each of fiscal years 2014 through 
2018, to carry out this Act shall be used to carry out programs 
under this section, with--
          [(1) not less than 0.2 percent to be used for 
        programs in developing countries; and
          [(2) not less than 0.1 percent to be used for 
        programs in sub-Saharan African and Caribbean Basin 
        countries.]
  (d) Minimum Funding.--
          (1) In general.--Notwithstanding any other provision 
        of law, in addition to any funds that may be 
        specifically appropriated to carry out this section, 
        not less than the greater of $15,000,000 or 0.6 percent 
        of the amounts made available for each of fiscal years 
        2014 through 2023, to carry out this Act shall be used 
        to carry out programs under this section, of which--
                  (A) not less than 0.2 percent to be used for 
                programs in developing countries; and
                  (B) not less than 0.1 percent to be used for 
                programs in sub-Saharan African and Caribbean 
                Basin countries.
          (2) Treatment of expenditures.--Funds used to carry 
        out programs under this section shall be counted 
        towards the minimum level of nonemergency food 
        assistance specified in section 412(e).
  (e) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated for each of fiscal years 2008 through 
        [2018] 2023 to carry out the programs under this 
        section--
                  (A) $10,000,000 for sub-Saharan African and 
                Caribbean Basin countries; and
                  (B) $5,000,000 for other developing or 
                middle-income countries or emerging markets not 
                described in subparagraph (A).
          (2) Administrative costs.--Not more than 5 percent of 
        the funds made available for a fiscal year under 
        paragraph (1) may be used to pay administrative costs 
        incurred in carrying out programs in sub-Saharan 
        African and Caribbean Basin countries.

           *       *       *       *       *       *       *

                              ----------                              


                     AGRICULTURAL TRADE ACT OF 1978



           *       *       *       *       *       *       *
                 TITLE II--AGRICULTURAL EXPORT PROGRAMS

Subtitle A--Programs

           *       *       *       *       *       *       *


SEC. 202. EXPORT CREDIT GUARANTEE PROGRAM.

  (a) Short-Term Credit Guarantees.--The Commodity Credit 
Corporation may guarantee the repayment of credit made 
available to finance commercial export sales of agricultural 
commodities, including processed agricultural products and 
high-value agricultural products, from privately owned stocks 
on credit terms that do not exceed a 24-month period.
  (b) Purpose of Program.--The Commodity Credit Corporation may 
use export credit guarantees authorized under this section--
          (1) to increase exports of agricultural commodities;
          (2) to compete against foreign agricultural exports;
          (3) to assist countries in meeting their food and 
        fiber needs, particularly--
                  (A) developing countries; and
                  (B) countries that are emerging markets that 
                have committed to carry out, or are carrying 
                out, policies that promote economic freedom, 
                private domestic production of food commodities 
                for domestic consumption, and the creation and 
                expansion of efficient domestic markets for the 
                purchase and sale of agricultural commodities; 
                and
          (4) for such other purposes as the Secretary 
        determines appropriate.
  (c) Restrictions on Use of Credit Guarantees.--Export credit 
guarantees authorized by this section shall not be used for 
foreign aid, foreign policy, or debt rescheduling purposes. The 
provisions of the cargo preference laws shall not apply to 
export sales with respect to which credit is guaranteed under 
this section.
  (d) Restrictions.--The Commodity Credit Corporation shall not 
make credit guarantees available in connection with sales of 
agricultural commodities to any obligor that the Secretary 
determines cannot adequately service the debt associated with 
such sale.
  (e) Terms.--Export credit guarantees issued pursuant to this 
section shall contain such terms and conditions as the 
Commodity Credit Corporation determines to be necessary.
  (f) United States Agricultural Commodities.--The Commodity 
Credit Corporation shall finance or guarantee under this 
section only United States agricultural commodities.
  (g) Ineligibility of Financial Institutions.--
          (1) In general.--A financial institution shall be 
        ineligible to receive an assignment of a credit 
        guarantee issued by the Commodity Credit Corporation 
        under this section if it is determined by the 
        Corporation, at the time of the assignment, that such 
        financial institution--
                  (A) is the financial institution issuing the 
                letter of credit or a subsidiary of such 
                institution; or
                  (B) is owned or controlled by an entity that 
                owns or controls that financial institution 
                issuing the letter of credit.
          (2) Third country banks.--The Commodity Credit 
        Corporation may guarantee under subsection (a) the 
        repayment of credit made available to finance an export 
        sale irrespective of whether the obligor is located in 
        the country to which the export sale is destined.
  (h) Conditions for Fish and Processed Fish Products.--In 
making available any guarantees of credit under this section in 
connection with sales of fish and processed fish products, the 
Secretary shall make such guarantees available under terms and 
conditions that are comparable to the terms and conditions that 
apply to guarantees provided with respect to sales of other 
agricultural commodities under this section.
  (i) Consultation on Agricultural Export Credit Programs.--The 
Secretary and the United States Trade Representative shall 
consult on a regular basis with the Committee on Agriculture, 
and the Committee on International Relations, of the House of 
Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate on the status of multilateral 
negotiations regarding agricultural export credit programs.
  (j) Administration.--
          (1) Definition of long term.--In this subsection, the 
        term ``long term'' means a period of 10 or more years.
          (2) Guarantees.--In administering the export credit 
        guarantees authorized under this section, the Secretary 
        shall--
                  (A) develop an approach to risk evaluation 
                that facilitates accurate country risk 
                designations and timely adjustments to the 
                designations (on an ongoing basis) in response 
                to material changes in country risk conditions, 
                with ongoing opportunity for input and 
                evaluation from the private sector;
                  (B) adjust risk-based guarantees as necessary 
                to ensure program effectiveness and United 
                States competitiveness;
                  (C) work with industry to ensure, to the 
                maximum extent practicable, that risk-based 
                fees associated with the guarantees cover the 
                operating costs and losses over the long term; 
                and
                  (D) notwithstanding any other provision of 
                this section, administer and carry out (only 
                after consulting with the Committee on 
                Agriculture of the House of Representatives and 
                the Committee on Agriculture, Nutrition and 
                Forestry of the Senate) the program pursuant to 
                such terms as may be agreed between the parties 
                to address the World Trade Organization dispute 
                WTO/DS267 to the extent not superseded by any 
                applicable international undertakings on 
                officially supported export credits to which 
                the United States is a party.
  (k) Combination of Programs.--The Commodity Credit 
Corporation may carry out a program under which commercial 
export credit guarantees available under this section are 
combined with direct credits from the Commodity Credit 
Corporation under section 201 to reduce the effective rate of 
interest on export sales of United States agricultural 
commodities.

[SEC. 203. MARKET ACCESS PROGRAM.

  [(a) In General.--The Commodity Credit Corporation shall 
establish and carry out a program to encourage the development, 
maintenance, and expansion of commercial export markets for 
agricultural commodities (including commodities that are 
organically produced (as defined in section 2103 of the Organic 
Foods Production Act of 1990 (7 U.S.C. 6502))) through cost-
share assistance to eligible trade organizations that implement 
a foreign market development program.
  [(b) Type of Assistance.--Assistance under this section may 
be provided in the form of funds of, or commodities owned by, 
the Commodity Credit Corporation, as determined appropriate by 
the Secretary.
  [(c) Requirements for Participation.--To be eligible for 
cost-share assistance under this section, an organization 
shall--
          [(1) be an eligible trade organization;
          [(2) prepare and submit a marketing plan to the 
        Secretary that meets the guidelines governing such 
        plans established by the Secretary; and
          [(3) meet any other requirements established by the 
        Secretary.
  [(d) Eligible Trade Organizations.--An eligible trade 
organization shall be--
          [(1) a United States agricultural trade organization 
        or regional State-related organization that promotes 
        the export and sale of agricultural commodities and 
        that does not stand to profit directly from specific 
        sales of agricultural commodities;
          [(2) a cooperative organization or State agency that 
        promotes the sale of agricultural commodities; or
          [(3) a private organization that promotes the export 
        and sale of agricultural commodities if the Secretary 
        determines that such organization would significantly 
        contribute to United States export market development.
  [(e) Approved Marketing Plan.--
          [(1) In general--A marketing plan submitted by an 
        eligible trade organization under this section shall 
        describe the advertising or other market oriented 
        export promotion activities to be carried out by the 
        eligible trade organization with respect to which 
        assistance under this section is being requested.
          [(2) Requirements.--To be approved by the Secretary, 
        a marketing plan submitted under this subsection 
        shall--
                  [(A) specifically describe the manner in 
                which assistance received by the eligible trade 
                organization in conjunction with funds and 
                services provided by the eligible trade 
                organization will be expended in implementing 
                the marketing plan;
                  [(B) establish specific market goals to be 
                achieved as a result of the market access 
                program; and
                  [(C) contain whatever additional requirements 
                are determined by the Secretary to be 
                necessary.
          [(3) Amendments.--A marketing plan may be amended by 
        the eligible trade organization at any time, with the 
        approval of the Secretary.
          [(4) Branded promotion.--An agreement entered into 
        under this section may provide for the use of branded 
        advertising to promote the sale of agricultural 
        commodities in a foreign country under such terms and 
        conditions as may be established by the Secretary.
  [(f) Other Terms and conditions.--
          [(1) Multi-year basis.--The Secretary may provide 
        assistance under this section on a multi-year basis, 
        subject to annual review by the Secretary for 
        compliance with the approved marketing plan.
          [(2) Termination of assistance.--The Secretary may 
        terminate any assistance made, or to be made, available 
        under this section if the Secretary determines that--
                  [(A) the eligible trade organization is not 
                adhering to the terms and conditions of the 
                program established under this section;
                  [(B) the eligible trade organization is not 
                implementing the approved marketing plan or is 
                not adequately meeting the established goals of 
                the market access program;
                  [(C) the eligible trade organization is not 
                adequately contributing its own resources to 
                the market access program; or
                  [(D) the Secretary determines that 
                termination of assistance in a particular 
                instance is in the best interests of the 
                program.
          [(3) Evaluations.--The Secretary shall monitor the 
        expenditure of funds received under this section by 
        recipients of such funds. The Secretary shall make 
        evaluations of such expenditure, including--
                  [(A) an evaluation of the effectiveness of 
                the program in developing or maintaining 
                markets for United States agricultural 
                commodities;
                  [(B) an evaluation of whether assistance 
                provided under this section is necessary to 
                maintain such markets; and
                  [(C) a thorough accounting of the expenditure 
                of such funds by the recipient.
        The Secretary shall make an initial evaluation of 
        expenditures of a recipient not later than 15 months 
        after the initial provision of funds to the recipient.
          [(4) Use of funds.--Funds made available to carry out 
        this section--
                  [(A) shall not be used to provide direct 
                assistance to any foreign for-profit 
                corporation for the corporation's use in 
                promoting foreign-produced products;
                  [(B) shall not be used to provide direct 
                assistance to any for-profit corporation that 
                is not recognized as a small-business concern 
                described in section 3(a) of the Small Business 
                Act (15 U.S.C. 632(a)), excluding--
                          [(i) a cooperative;
                          [(ii) an association described in the 
                        first section of the Act entitled ``An 
                        Act To authorize association of 
                        producers of agricultural products'', 
                        approved February 18, 1922 (7 U.S.C. 
                        291); and
                          [(iii) a nonprofit trade association; 
                        and
                  [(C) may be used by a United States trade 
                association, cooperative, or small business for 
                individual branded promotional activity related 
                to a United States branded product, if the 
                beneficiaries of the activity have provided 
                funds for the activity in an amount that is at 
                least equivalent to the amount of assistance 
                provided under this section.
  [(g) Level of Marketing Assistance.--
          [(1) In general.--The Secretary shall justify in 
        writing the level of assistance provided to an eligible 
        trade organization under the program under this section 
        and the level of cost-sharing required of such 
        organization.
          [(2) Limitation.--Assistance provided under this 
        section for activities described in subsection (e)(4) 
        shall not exceed 50 percent of the cost of implementing 
        the marketing plan, except that the Secretary may 
        determine not to apply such limitation in the case of 
        agricultural commodities with respect to which there 
        has been a favorable decision by the United States 
        Trade Representative under section 301 of the Trade Act 
        of 1974. Criteria for determining that the limitation 
        shall not apply shall be consistent and documented.
          [(3) Staged reduction in assistance.--In the case of 
        participants that received assistance under section 
        1124 of the Food Security Act of 1985 prior to November 
        28, 1990, and with respect to which assistance under 
        this section would be limited under paragraph (2), any 
        such reduction in assistance shall be phased down in 
        equal increments over a 5-year period.]

           *       *       *       *       *       *       *


[SEC. 205. COMBINATION OF PROGRAMS.

  [The Commodity Credit Corporation may carry out a program 
under which commercial export credit guarantees available under 
section 202 are combined with direct credits from the Commodity 
Credit Corporation under section 201 to reduce the effective 
rate of interest on export sales of agricultural commodities.]

SEC. 205. INTERNATIONAL MARKET DEVELOPMENT PROGRAM.

  (a) Program Required.--The Secretary and the Commodity Credit 
Corporation shall establish and carry out a program, to be 
known as the ``International Market Development Program'', to 
encourage the development, maintenance, and expansion of 
commercial export markets for United States agricultural 
commodities.
  (b) Market Access Program Component.--
          (1) In general.--As one of the components of the 
        International Market Development Program, the Commodity 
        Credit Corporation shall carry out a program to 
        encourage the development, maintenance, and expansion 
        of commercial export markets for United States 
        agricultural commodities through cost-share assistance 
        to eligible trade organizations that implement a 
        foreign market development program.
          (2) Types of assistance.--Assistance under this 
        subsection may be provided in the form of funds of, or 
        commodities owned by, the Commodity Credit Corporation, 
        as determined appropriate by the Secretary.
          (3) Participation requirements.--
                  (A) Marketing plan and other requirements.--
                To be eligible for cost-share assistance under 
                this subsection, an eligible trade organization 
                shall--
                          (i) prepare and submit a marketing 
                        plan to the Secretary that meets the 
                        guidelines governing such a marketing 
                        plan specified in this paragraph or 
                        otherwise established by the Secretary;
                          (ii) meet any other requirements 
                        established by the Secretary; and
                          (iii) enter into an agreement with 
                        the Secretary.
                  (B) Purpose of marketing plan.--A marketing 
                plan submitted under this paragraph shall 
                describe the advertising or other market 
                oriented export promotion activities to be 
                carried out by the eligible trade organization 
                with respect to which assistance under this 
                subsection is being requested.
                  (C) Specific elements.--To be approved by the 
                Secretary, a marketing plan submitted under 
                this paragraph shall--
                          (i) specifically describe the manner 
                        in which assistance received by the 
                        eligible trade organization, in 
                        conjunction with funds and services 
                        provided by the eligible trade 
                        organization, will be expended in 
                        implementing the marketing plan;
                          (ii) establish specific market goals 
                        to be achieved under the marketing 
                        plan; and
                          (iii) contain whatever additional 
                        requirements are determined by the 
                        Secretary to be necessary.
                  (D) Branded promotion.--A marketing plan 
                approved by the Secretary may provide for the 
                use of branded advertising to promote the sale 
                of United States agricultural commodities in a 
                foreign country under such terms and conditions 
                as may be established by the Secretary.
                  (E) Amendments.--An approved marketing plan 
                may be amended by the eligible trade 
                organization at any time, subject to the 
                approval by the Secretary of the amendments.
          (4) Level of assistance and cost-share 
        requirements.--
                  (A) In general.--The Secretary shall justify 
                in writing the level of assistance to be 
                provided to an eligible trade organization 
                under this subsection and the level of cost 
                sharing required of the organization.
                  (B) Limitation on branded promotion.--
                Assistance provided under this subsection for 
                activities described in paragraph (3)(D) shall 
                not exceed 50 percent of the cost of 
                implementing the marketing plan, except that 
                the Secretary may determine not to apply such 
                limitation in the case of United States 
                agricultural commodities with respect to which 
                there has been a favorable decision by the 
                United States Trade Representative under 
                section 301 of the Trade Act of 1974 (19 U.S.C. 
                2411). Criteria used by the Secretary for 
                determining that the limitation shall not apply 
                shall be consistent and documented.
          (5) Other terms and conditions.--
                  (A) Multi-year basis.--The Secretary may 
                provide assistance under this subsection on a 
                multi-year basis, subject to annual review by 
                the Secretary for compliance with the approved 
                marketing plan.
                  (B) Termination of assistance.--The Secretary 
                may terminate any assistance made, or to be 
                made, available under this subsection if the 
                Secretary determines that--
                          (i) the eligible trade organization 
                        is not adhering to the terms and 
                        conditions applicable to the provision 
                        of the assistance;
                          (ii) the eligible trade organization 
                        is not implementing the approved 
                        marketing plan or is not adequately 
                        meeting the established goals of the 
                        plan;
                          (iii) the eligible trade organization 
                        is not adequately contributing its own 
                        resources to the implementation of the 
                        plan; or
                          (iv) the Secretary determines that 
                        termination of assistance in a 
                        particular instance is in the best 
                        interests of the program.
                  (C) Evaluations.--Beginning not later than 15 
                months after the initial provision of 
                assistance under this subsection to an eligible 
                trade organization, the Secretary shall monitor 
                the expenditures by the eligible trade 
                organization of such assistance, including the 
                following:
                          (i) An evaluation of the 
                        effectiveness of the marketing plan of 
                        the eligible trade organization in 
                        developing or maintaining markets for 
                        United States agricultural commodities.
                          (ii) An evaluation of whether 
                        assistance provided under this 
                        subsection is necessary to maintain 
                        such markets.
                          (iii) A thorough accounting of the 
                        expenditure by the eligible trade 
                        organization of the assistance provided 
                        under this subsection.
          (6) Restrictions on use of funds.--Assistance 
        provided under this subsection to an eligible trade 
        organization shall not be used--
                  (A) to provide direct assistance to any 
                foreign for-profit corporation for the 
                corporation's use in promoting foreign-produced 
                products; or
                  (B) to provide direct assistance to any for-
                profit corporation that is not recognized as a 
                small business concern, excluding a 
                cooperative, an association described in the 
                first section of the Act entitled ``An Act To 
                authorize association of producers of 
                agricultural products'', approved February 18, 
                1922 (7 U.S.C. 291), or a nonprofit trade 
                association.
          (7) Permissive use of funds.--Assistance provided 
        under this subsection to a United States agricultural 
        trade association, cooperative, or small business may 
        be used for individual branded promotional activity 
        related to a United States branded product, if the 
        beneficiaries of the activity have provided funds for 
        the activity in an amount that is at least equivalent 
        to the amount of assistance provided under this 
        subsection.
          (8) Program considerations and priorities.--In 
        providing assistance under this subsection, the 
        Secretary, to the maximum extent practicable, shall--
                  (A) give equal consideration to--
                          (i) proposals submitted by 
                        organizations that were participating 
                        organizations in prior fiscal years; 
                        and
                          (ii) proposals submitted by eligible 
                        trade organizations that have not 
                        previously participated in the program 
                        established under this title;
                  (B) give equal consideration to--
                          (i) proposals submitted for 
                        activities in emerging markets; and
                          (ii) proposals submitted for 
                        activities in markets other than 
                        emerging markets.
          (9) Priority.--In providing assistance for branded 
        promotion, the Secretary should give priority to small-
        sized entities.
          (10) Contribution level.--
                  (A) In general.--The Secretary should require 
                a minimum contribution level of 10 percent from 
                an eligible trade organization that receives 
                assistance for nonbranded promotion.
                  (B) Increases in contribution level.--The 
                Secretary may increase the contribution level 
                in any subsequent year that an eligible trade 
                organization receives assistance for nonbranded 
                promotion.
          (11) Additionality.--The Secretary should require 
        each participant in the program to certify that any 
        Federal funds received supplement, but do not supplant, 
        private or third party participant funds or other 
        contributions to program activities.
          (12) Independent audits.--If as a result of an 
        evaluation or audit of activities of a participant 
        under the program, the Secretary determines that a 
        further review is justified in order to ensure 
        compliance with the requirements of the program, the 
        Secretary should require the participant to contract 
        for an independent audit of the program activities, 
        including activities of any subcontractor.
          (13) Tobacco.--No funds made available under the 
        market promotion program may be used for activities to 
        develop, maintain, or expand foreign markets for 
        tobacco.
  (c) Foreign Market Development Cooperator Component.--
          (1) In general.--As one of the components of the 
        International Market Development Program, the Secretary 
        shall carry out a foreign market development cooperator 
        program to maintain and develop foreign markets for 
        United States agricultural commodities.
          (2) Cooperation.--The Secretary shall carry out the 
        foreign market development cooperator program in 
        cooperation with eligible trade organizations.
          (3) Administration.--Funds made available to carry 
        out the foreign market development cooperator program 
        shall be used only to provide--
                  (A) cost-share assistance to an eligible 
                trade organization under a contract or 
                agreement with the organization; and
                  (B) assistance for other costs that are 
                necessary or appropriate to carry out the 
                foreign market development cooperator program, 
                including contingent liabilities that are not 
                otherwise funded.
          (4) Program considerations.--In providing assistance 
        under this subsection, the Secretary, to the maximum 
        extent practicable, shall--
                  (A) give equal consideration to--
                          (i) proposals submitted by eligible 
                        trade organizations that were 
                        participating organizations in the 
                        foreign market development cooperator 
                        program in prior fiscal years; and
                          (ii) proposals submitted by eligible 
                        trade organizations that have not 
                        previously participated in the foreign 
                        market development cooperator program; 
                        and
                  (B) give equal consideration to--
                          (i) proposals submitted for 
                        activities in emerging markets; and
                          (ii) proposals submitted for 
                        activities in markets other than 
                        emerging markets.
  (d) Technical Assistance for Specialty Crops Component.--
          (1) In general.--As one of the components of the 
        International Market Development Program, the Secretary 
        shall carry out an export assistance program to address 
        existing or potential barriers that prohibit or 
        threaten the export of United States specialty crops.
          (2) Purpose.--The export assistance program required 
        by this subsection shall provide direct assistance 
        through public and private sector projects and 
        technical assistance to remove, resolve, or mitigate 
        existing or potential sanitary and phytosanitary and 
        technical barriers to trade.
          (3) Priority.--The export assistance program required 
        by this subsection shall address time sensitive and 
        strategic market access projects based on--
                  (A) trade effect on market retention, market 
                access, and market expansion; and
                  (B) trade impact.
          (4) Annual report.--The Secretary shall submit to the 
        appropriate committees of Congress an annual report 
        that contains, for the period covered by the report, a 
        description of each factor that affects the export of 
        specialty crops, including each factor relating to any 
        significant sanitary or phytosanitary issue or trade 
        barrier.
  (e) E. (kika) De La Garza Emerging Markets Program 
Component.--
          (1) In general.--
                  (A) Establishment of program.--The Secretary, 
                in order to develop, maintain, or expand export 
                markets for United States agricultural 
                commodities, is directed--
                          (i) to make available to emerging 
                        markets the expertise of the United 
                        States to make assessments of the food 
                        and rural business systems needs of 
                        such emerging markets;
                          (ii) to make recommendations on 
                        measures necessary to enhance the 
                        effectiveness of the systems, including 
                        potential reductions in trade barriers; 
                        and
                          (iii) to identify and carry out 
                        specific opportunities and projects to 
                        enhance the effectiveness of those 
                        systems.
                  (B) Extent of program.--The Secretary shall 
                implement this paragraph with respect to at 
                least 3 emerging markets in each fiscal year.
          (2) Implementation of program.--The Secretary may 
        implement the requirements of paragraph (1)--
                  (A) by providing assistance to teams 
                consisting primarily of agricultural 
                consultants, farmers, other persons from the 
                private sector and government officials expert 
                in assessing the food and rural business 
                systems of other countries to enable such teams 
                to conduct the assessments, make the 
                recommendations, and identify the opportunities 
                and projects specified in such paragraph in 
                emerging markets; and
                  (B) by providing for necessary subsistence 
                and transportation expenses of--
                          (i) United States food and rural 
                        business system experts, including 
                        United States agricultural producers 
                        and other United States individuals 
                        knowledgeable in agricultural and 
                        agribusiness matters, to enable such 
                        United States food and rural business 
                        system experts to assist in 
                        transferring knowledge and expertise to 
                        entities in emerging markets; and
                          (ii) individuals designated by 
                        emerging markets to enable such 
                        designated individuals to consult with 
                        such United States experts to enhance 
                        food and rural business systems of such 
                        emerging markets and to transfer 
                        knowledge and expertise to such 
                        emerging markets.
          (3) Cost-sharing.--The Secretary shall encourage the 
        nongovernmental experts described in paragraph (2) to 
        share the costs of, and otherwise assist in, the 
        participation of such experts in the program under this 
        paragraph.
          (4) Technical assistance.--The Secretary is 
        authorized to provide, or pay the necessary costs for, 
        technical assistance (including the establishment of 
        extension services) necessary to enhance the 
        effectiveness of food and rural business systems needs 
        of emerging markets, including potential reductions in 
        trade barriers.
          (5) Reports to secretary.--A team that receives 
        assistance under paragraph (2) shall prepare such 
        reports with respect to the use of such assistance as 
        the Secretary may require.
  (f) Definitions.--In this section:
          (1) Eligible trade organization.--
                  (A) Market access program component.--In 
                subsection (b), the term ``eligible trade 
                organization'' means--
                          (i) a United States agricultural 
                        trade organization or regional State-
                        related organization that promotes the 
                        export and sale of United States 
                        agricultural commodities and that does 
                        not stand to profit directly from 
                        specific sales of United States 
                        agricultural commodities;
                          (ii) a cooperative organization or 
                        State agency that promotes the sale of 
                        United States agricultural commodities; 
                        or
                          (iii) a private organization that 
                        promotes the export and sale of United 
                        States agricultural commodities if the 
                        Secretary determines that such 
                        organization would significantly 
                        contribute to United States export 
                        market development.
                  (B) Foreign market development cooperator 
                component.--In subsection (c), the term 
                ``eligible trade organization''' means a United 
                States trade organization that--
                          (i) promotes the export of one or 
                        more United States agricultural 
                        commodities; and
                          (ii) does not have a business 
                        interest in or receive remuneration 
                        from specific sales of United States 
                        agricultural commodities.
          (2) Emerging market.--The term ``emerging market'' 
        means any country that the Secretary determines--
                  (A) is taking steps toward a market-oriented 
                economy through the food, agriculture, or rural 
                business sectors of the economy of the country; 
                and
                  (B) has the potential to provide a viable and 
                significant market for United States 
                agricultural commodities.
          (3) Small-business concern.--The term ``small-
        business concern'' has the meaning given that term in 
        section 3(a) of the Small Business Act (15 U.S.C. 
        632(a)).
          (4) United states agricultural commodity.--The term 
        ``United States agricultural commodity'' has the 
        meaning given the term in section 102 of the 
        Agriculture Trade Act of 1978 (7 U.S.C. 5602) and 
        includes commodities that are organically produced (as 
        defined in section 2103 of the Organic Foods Production 
        Act of 1990 (7 U.S.C. 6502)).

                       Subtitle B--Implementation

SEC. 211. FUNDING LEVELS.

  (a) Direct Credit Programs.--The Commodity Credit Corporation 
may make available for each fiscal year such funds of the 
Commodity Credit Corporation as it determines necessary to 
carry out any direct credit program established under section 
201.
  (b) Export Credit Guarantee Program.--The Commodity Credit 
Corporation shall make available for each fiscal year 
$5,500,000,000 of credit guarantees under section 202(a).
  [(c) Market Access Programs.--
          [(1) In general.--The Commodity Credit Corporation or 
        the Secretary shall make available for market access 
        activities authorized to be carried out by the 
        Commodity Credit Corporation under section 203--
                  [(A) in addition to any funds that may be 
                specifically appropriated to implement a market 
                access program, not more than $90,000,000 for 
                fiscal year 2001, $100,000,000 for fiscal year 
                2002, $110,000,000 for fiscal year 2003, 
                $125,000,000 for fiscal year 2004, $140,000,000 
                for fiscal year 2005, and $200,000,000 for each 
                of fiscal years 2008 through 2018, of the funds 
                of, or an equal value of commodities owned by, 
                the Commodity Credit Corporation; and
                  [(B) any funds that may be specifically 
                appropriated to carry out a market access 
                program under section 203.
          [(2) Program priorities.--In providing any amount of 
        funds made available under paragraph (1)(A) for any 
        fiscal year that is in excess of the amount made 
        available under paragraph (1)(A) for fiscal year 2001, 
        the Secretary shall, to the maximum extent 
        practicable--
                  [(A) give equal consideration to--
                          [(i) proposals submitted by 
                        organizations that were participating 
                        organizations in prior fiscal years; 
                        and
                          [(ii) proposals submitted by eligible 
                        trade organizations that have not 
                        previously participated in the program 
                        established under this title; and
                  [(B) give equal consideration to--
                          [(i) proposals submitted for 
                        activities in emerging markets; and
                          [(ii) proposals submitted for 
                        activities in markets other than 
                        emerging markets.]
  (c) International Market Development Program.--
          (1) In general.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall make available for the 
        International Market Development Program under section 
        205 $255,000,000 for each of the fiscal years 2019 
        through 2023. Such amounts shall remain available until 
        expended.
          (2) Set-asides.--
                  (A) Market access program component.--Of the 
                funds made available under paragraph (1) for a 
                fiscal year, not less than $200,000,000 shall 
                be used for the market access program component 
                of the International Market Development Program 
                under subsection (b) of section 205.
                  (B) Foreign market development cooperator 
                component.--Of the funds made available under 
                paragraph (1) for a fiscal year, not less than 
                $34,500,000 shall be used for the foreign 
                market development cooperator component of the 
                International Market Development Program under 
                subsection (c) of section 205.
                  (C) Technical assistance for specialty crops 
                component.--Of the funds made available under 
                paragraph (1) for a fiscal year, not more than 
                $9,000,000, shall be used for the specialty 
                crops component of the International Market 
                Development Program under subsection (d) of 
                section 205.
                  (D) Agricultural exports to emerging markets 
                component.--Of the funds made available under 
                paragraph (1) for a fiscal year, not more than 
                $10,000,000 shall be used to promote 
                agricultural exports to emerging markets under 
                the International Market Development Program 
                under subsection (e) of section 205.

           *       *       *       *       *       *       *


                      TITLE IV--GENERAL PROVISIONS

Subtitle A--Program Controls

           *       *       *       *       *       *       *


SEC. 402. COMPLIANCE PROVISIONS.

  (a) Records.--
          (1) In general.--In the administration of the 
        programs established under sections 201, 202, and [203] 
        205(b) the Secretary shall require by regulation each 
        exporter or other participant under the program to 
        maintain all records concerning a program transaction 
        for a period of not to exceed 5 years after completion 
        of the program transaction, and to permit the Secretary 
        to have full and complete access, for such 5-year 
        period, to such records.
          (2) Confidentiality.--The personally identifiable 
        information contained in reports under subsection (a) 
        may be withheld in accordance with section 552(b)(4) of 
        title 5, United States Code. Any officer or employee of 
        the Department of Agriculture who knowingly discloses 
        confidential information as defined by section 1905 of 
        title 18, United States Code, shall be subject to 
        section 1905 of title 18, United States Code. Nothing 
        in this subsection shall be construed to authorize the 
        withholding of information from Congress.
  (b) Violation.--If any exporter, assignee, or other 
participant has engaged in fraud with respect to the programs 
authorized under this Act, or has otherwise violated program 
requirements under this Act, the Commodity Credit Corporation 
may--
          (1) hold such exporter, assignee, or participant 
        liable for any and all losses to the Corporation 
        resulting from such fraud or violation;
          (2) require a refund of any assistance provided to 
        such exporter, assignee, or participant plus interest, 
        as determined by the Secretary; and
          (3) collect liquidated damages from such exporter, 
        assignee, or participant in an amount determined 
        appropriate by the Secretary.
The provisions of this subsection shall be without prejudice to 
any other remedy that is available under any other provision of 
law.
  (c) Suspension and Debarment.--The Commodity Credit 
Corporation may suspend or debar for 1 or more years any 
exporter, assignee, or other participant from participation in 
one or more of the programs authorized by this Act if the 
Corporation determines, after opportunity for a hearing, that 
such exporter, assignee, or other participant has violated the 
terms and conditions of the program or of this Act and that the 
violation is of such a nature as to warrant suspension or 
debarment.
  (d) False Certifications.--The provisions of section 1001 of 
title 18, United States Code, shall apply to any false 
certifications issued under this Act.

           *       *       *       *       *       *       *


       [TITLE VII--FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM

[SEC. 701. DEFINITION OF ELIGIBLE TRADE ORGANIZATION.

   [In this title, the term ``eligible trade organization'' 
means a United States trade organization that--
          [(1) promotes the export of 1 or more United States 
        agricultural commodities or products; and
          [(2) does not have a business interest in or receive 
        remuneration from specific sales of agricultural 
        commodities or products.

[SEC. 702. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.

  [(a) In General.--The Secretary shall establish and, in 
cooperation with eligible trade organizations, carry out a 
foreign market development cooperator program to maintain and 
develop foreign markets for United States agricultural 
commodities and products, with a continued significant emphasis 
on the importance of the export of value-added United States 
agricultural products into emerging markets.
  [(b) Administration.--Funds made available to carry out this 
title shall be used only to provide--
          [(1) cost-share assistance to an eligible trade 
        organization under a contract or agreement with the 
        organization; and
          [(2) assistance for other costs that are necessary or 
        appropriate to carry out the foreign market development 
        cooperator program, including contingent liabilities 
        that are not otherwise funded.

[SEC. 703. FUNDING.

  [(a) In General.--To carry out this title, the Secretary 
shall use funds of the Commodity Credit Corporation, or 
commodities of the Commodity Credit Corporation of a comparable 
value, in the amount of $34,500,000 for each of fiscal years 
2008 through 2018.
  [(b) Program Priorities.--In providing any amount of funds or 
commodities made available under subsection (a) for any fiscal 
year that is in excess of the amount made available under this 
section for fiscal year 2001, the Secretary shall, to the 
maximum extent practicable--
          [(1) give equal consideration to--
                  [(A) proposals submitted by organizations 
                that were participating organizations in prior 
                fiscal years; and
                  [(B) proposals submitted by eligible trade 
                organizations that have not previously 
                participated in the program established under 
                this title; and
          [(2) give equal consideration to--
                  [(A) proposals submitted for activities in 
                emerging markets; and
                  [(B) proposals submitted for activities in 
                markets other than emerging markets..]
                              ----------                              


               OMNIBUS BUDGET RECONCILIATION ACT OF 1993



           *       *       *       *       *       *       *
[SEC. 1302. MARKET ACCESS PROGRAM.

  [(a) Reduction of Funding Level.--Section 211(c)(1) of the 
Agricultural Trade Act of 1978 (7 U.S.C. 5641(c)(1)) is amended 
by striking ``through 1995''and inserting ``through 1993, and 
not less than $110,000,000 for each of the fiscal years 1994 
through 1997,''.
  [(b) Secretarial Actions to Achieve Savings.--In order to 
enable the Secretary of Agriculture to achieve the savings 
required in the market access program established by section 
203 of the Agricultural Trade Act of 1978 (7 U.S.C. 5623) as a 
result of the amendments made by this section:
          [(1) Unfair Trade Practices.--Paragraph (2) of 
        section 203(c) of such Act is amended to read as 
        follows:
          [``(2) Unfair Trade Practices.--
                  [``(A) Requirement.--Except as provided in 
                subparagraph (B), the Secretary shall provide 
                assistance under this section only to counter 
                or offset the adverse effects of a subsidy, 
                import quota, or other unfair trade practice of 
                a foreign country.
                  [``(B) Exception.--The Secretary of 
                Agriculture shall waive the requirements of 
                this paragraph in the case of activities 
                conducted by small entities operating through 
                the regional State-related organizations.''.
          [(2) Guidlines.--The Secretary of Agriculture should 
        implement changes in the market access program 
        established by section 203 of such Act, beginning with 
        fiscal year 1994, in order to improve the effectiveness 
        of the program and to meet the following objectives:
                  [(A) Priority.--In providing assistance for 
                branded promotion, the Secretary should give 
                priority to small-sized entities.
                  [(B) Graduation.--The Secretary should not 
                provide assistance under the program to promote 
                a specific branded product in a single market 
                for more than 5 years unless the Secretary 
                determines that further assistance is necessary 
                in order to meet the objectives of the program.
                  [(C) Contribution Level.--
                          [(i) In General.--The Secretary 
                        should require a minimum contribution 
                        level of 10 percent from an eligible 
                        trade organization that receives 
                        assistance for nonbranded promotion.
                          [(ii) Increases in Contribution 
                        Level.--The Secretary may increase the 
                        contribution level in any subsequent 
                        year that an eligible trade 
                        organization receives assistance for 
                        nonbranded promotion.
                  [(D) Additionality.--The Secretary should 
                require each participant in the program to 
                certify that any Federal funds received 
                supplement, but do not supplant, private or 
                third party participant funds or other 
                contributions to program activities.
                  [(E) Independent Audits.--If as a result of 
                an evaluation or audit of activities of a 
                participant under the program, the Secretary 
                determines that a further review is justified 
                in order to ensure compliance with the 
                requirements of the program, the Secretary 
                should require the participant to contract for 
                an independent audit of the program activities, 
                including activities of any subcontractor.
          [(3) Tobacco.--No funds made available under the 
        market access program may be used for activities to 
        develop, maintain, or expand foreign markets for 
        tobacco. (c) Regulations.--Not later than 90 days after 
        the date of enactment of this Act, the Secretary of 
        Agriculture shall issue regulations to implement this 
        section [amending this section and section 5641 of this 
        title] and the amendments made by this section.]
                              ----------                              


         FOOD, AGRICULTURE, CONSERVATION, AND TRADE ACT OF 1990



           *       *       *       *       *       *       *
TITLE XV--AGRICULTURAL TRADE

           *       *       *       *       *       *       *


SEC. 1542. PROMOTION OF AGRICULTURAL EXPORTS TO EMERGING MARKETS.

  (a) Funding.--The Commodity Credit Corporation shall make 
available for fiscal years 1996 through [2018] 2023 not less 
than $1,000,000,000 of direct credits or export credit 
guarantees for exports to emerging markets under section 201 or 
202 of the Agricultural Trade Act of 1978 (7 U.S.C. 5621 and 
5622), in addition to the amounts acquired or authorized under 
section 211 of the Act (7 U.S.C. 5641) for the program.
  (b) Facilities and Services.--
          (1) In general.--A portion of such export credit 
        guarantees shall be made available for--
                  (A) the establishment or improvement of 
                facilities, or
                  (B) the provision of services or United 
                States products goods,
in emerging markets by United States persons to improve 
handling, marketing, processing, storage, or distribution of 
imported agricultural commodities and products thereof if the 
Secretary of Agriculture determines that such guarantees will 
primarily promote the export of United States agricultural 
commodities (as defined in section 102(7) of the Agricultural 
Trade Act of 1978).
          (2) Priority.--The Commodity Credit Corporation shall 
        give priority under this subsection to--
          (A) projects that encourage the privatization of the 
        agricultural sector or that benefit private farms or 
        cooperatives in emerging markets; and
          (B) projects for which nongovernmental persons agree 
        to assume a relatively larger share of the costs.
          (3) Construction waiver.--The Secretary may waive any 
        applicable requirements relating to the use of United 
        States goods in the construction of a proposed 
        facility, if the Secretary determines that--
                  (A) goods from the United States are not 
                available; or
                  (B) the use of goods from the United States 
                is not practicable.
          (4) Term of guarantee.--A facility payment guarantee 
        under this subsection shall be for a term that is not 
        more than the lesser of--
                  (A) the term of the depreciation schedule of 
                the facility assisted; or
                  (B) 20 years.
  (c) Consultations.--Before the authority under this section 
is exercised, the Secretary of Agriculture shall consult with 
exporters of United States agricultural commodities (as defined 
in section 102(7) of the Agricultural Trade Act of 1978), 
nongovernmental experts, and other Federal Government agencies 
in order to ensure that facilities in an emerging market for 
which financing is guaranteed under paragraph (1)(B) do not 
primarily benefit countries which are in close geographic 
proximity to that emerging democracy.
  [(d) E (Kika) de la Garza Agricultural Fellowship Program.--
The Secretary of Agriculture (hereafter in this section 
referred to as the ``Secretary'') shall establish a program, to 
be known as the ``E (Kika) de la Garza Agricultural Fellowship 
Program'', to develop agricultural markets in emerging markets 
and to promote cooperation and exchange of information between 
agricultural institutions and agribusinesses in the United 
States and emerging markets, as follows:
          [(1) Development of agricultural systems.--
                  [(A) In general.--
                          [(i) Establishment of program.--For 
                        each of the fiscal years 1991 through 
                        2018, the Secretary of Agriculture 
                        (hereafter in this section referred to 
                        as the ``Secretary''), in order to 
                        develop, maintain, or expand markets 
                        for United States agricultural exports, 
                        is directed to make available to 
                        emerging markets the expertise of the 
                        United States to make assessments of 
                        the food and rural business systems 
                        needs of such democracies, make 
                        recommendations on measures necessary 
                        to enhance the effectiveness of the 
                        systems, including potential reductions 
                        in trade barriers, and identify and 
                        carry out specific opportunities and 
                        projects to enhance the effectiveness 
                        of those systems.
                          [(ii) Extent of program.--The 
                        Secretary shall implement this 
                        paragraph with respect to at least 3 
                        emerging markets in each fiscal year.
                  [(B) Experts from the united states.--The 
                Secretary may implement the requirements of 
                subparagraph (A)--
                          [(i) by providing assistance to teams 
                        consisting primarily of agricultural 
                        consultants, farmers, other persons 
                        from the private sector and government 
                        officials expert in assessing the food 
                        and rural business systems of other 
                        countries to enable such teams to 
                        conduct the assessments, make the 
                        recommendations, and identify the 
                        opportunities and projects specified in 
                        subparagraph (A) in emerging markets;
                          [(ii) by providing necessary 
                        subsistence expenses in the United 
                        States and necessary transportation 
                        expenses by individuals designated by 
                        emerging markets to enable such 
                        individuals to consult with food and 
                        rural business system experts in the 
                        United States to enhance such systems 
                        of such emerging markets; and
                          [(iii) by providing for necessary 
                        subsistence expenses in emerging 
                        markets and necessary transportation 
                        expenses of United States agricultural 
                        producers and other individuals 
                        knowledgeable in agricultural and 
                        agribusiness matters to assist in 
                        transferring their knowledge and 
                        expertise to entities in emerging 
                        markets.
                  [(C) Cost-sharing.--The Secretary shall 
                encourage the nongovernmental experts described 
                in subparagraph (B) to share the costs of, and 
                otherwise assist in, the participation of such 
                experts in the program under this paragraph.
                  [(D) Technical assistance.--The Secretary is 
                authorized to provide, or pay the necessary 
                costs for, technical assistance (including the 
                establishment of extension services) to enable 
                individuals or other entities to implement the 
                recommendations or to carry out the 
                opportunities and projects identified under 
                subparagraph (A)(i). Notwithstanding any other 
                provision of law, the assistance shall include 
                assistance for administrative and overhead 
                expenses of the International Cooperation and 
                Development Program Area of the Foreign 
                Agriculture Service, to the extent that the 
                expenses were incurred pursuant to reimbursable 
                agreements entered into prior to September 30, 
                1993, the expenses do not exceed $2,000,000 per 
                year, and the expenses are not incurred for 
                information technology systems.
                  [(E) Reports to secretary.--A team that 
                receives assistance under subparagraph (B) 
                shall prepare such reports as the Secretary may 
                designate.
                  [(F) Advisory committee.--To provide the 
                Secretary with information that may be useful 
                to the Secretary in carrying out the provisions 
                of this paragraph, the Secretary shall 
                establish an advisory committee composed of 
                representatives of the various sectors of the 
                food and rural business systems of the United 
                States.
                  [(G) Use of ccc.--The Secretary shall 
                implement this paragraph through the funds and 
                facilities of the Commodity Credit Corporation. 
                The authority provided under this paragraph 
                shall be in addition to and not in place of any 
                other authority of the Secretary or the 
                Commodity Credit Corporation.
                  [(H) Level of assistance.--The Secretary 
                shall provide assistance under this paragraph 
                of not more than $10,000,000 in any fiscal 
                year.
          [(2) Agricultural information program.--
                  [(A) Establishment of program.--The Secretary 
                shall establish a program, administered to 
                complement the emerging markets export 
                promotion program developed under this section, 
                to initiate and develop collaboration between 
                the United States Department of Agriculture, 
                United States agribusinesses, and appropriate 
                agricultural institutions in emerging markets 
                in order to promote the exchange of information 
                and resources that will make a long-term 
                contribution to the establishment of free 
                market food production and distribution systems 
                in emerging markets and the enhancement of 
                agricultural trade with the United States.
                  [(B) Implementation.--The Secretary shall 
                draw on the Department of Agriculture's 
                experience to design, implement, and evaluate, 
                on a cost-sharing basis with cooperating 
                agricultural institutions, a program to--
                          [(i) compile, through contacts with 
                        the governments of emerging markets and 
                        private sector officials in emerging 
                        markets, a list of their agricultural 
                        institutions, including the location, 
                        capabilities, and needs of the 
                        institutions;
                          [(ii) make such information available 
                        through an appropriate agency of the 
                        Department of Agriculture to 
                        agribusinesses and agricultural 
                        institutions in the United States and 
                        other agencies of the United States 
                        Government; and
                          [(iii) carry out a program--
                                  [(I) to review available 
                                agricultural information 
                                resources, to determine which 
                                would be useful for the 
                                purposes of this program;
                                  [(II) to arrange for the 
                                exchange of persons associated 
                                with such agricultural 
                                institutions and agribusinesses 
                                with experience or interest in 
                                the areas of need identified in 
                                clause (i);
                                  [(III) to help establish 
                                contacts between agricultural 
                                entrepreneurs and businesses in 
                                the United States and emerging 
                                markets, which may include 
                                individuals and entities 
                                participating in the program 
                                established under paragraph 
                                (1), to facilitate cooperation 
                                and joint enterprises; and
                                  [(IV) to provide for the 
                                exchange of administrators and 
                                faculty members from 
                                agricultural and other 
                                institutions to strengthen and 
                                revise educational programs in 
                                agricultural economics, 
                                agribusiness, and agrarian law, 
                                to support change towards a 
                                free market economy in emerging 
                                markets.
                  [(C) Consultation and coordination.--The 
                Secretary shall consult and coordinate with the 
                Secretary of State and the Agency for 
                International Development in the formulation 
                and implementation of this program in 
                conjunction with overall assistance to emerging 
                markets.
                  [(D) Authorization for appropriations.--There 
                are authorized to be appropriated such sums as 
                may be necessary to carry out the program 
                established under this paragraph.
  [(e)] (d) Foreign Debt Burdens.--In carrying out the program 
described in subsection (a), the Secretary of Agriculture shall 
ensure that the credits for which repayment is guaranteed under 
subsection (a) do not negatively affect the political and 
economic situation in emerging markets by excessively adding to 
the foreign debt burdens of such countries.
  [(f)] (e) Emerging Market.--In this section and section 1543, 
the term ``emerging market'' means any country that the 
Secretary determines--
          (1) is taking steps toward a market-oriented economy 
        through the food, agriculture, or rural business 
        sectors of the economy of the country; and
          (2) has the potential to provide a viable and 
        significant market for United States agricultural 
        commodities or products of United States agricultural 
        commodities.

SEC. 1543. AGRICULTURAL FELLOWSHIP PROGRAM FOR MIDDLE INCOME COUNTRIES, 
                    EMERGING DEMOCRACIES, AND EMERGING MARKETS.

  (a) Establishment.--The Secretary of Agriculture shall 
establish a fellowship program, to be known as the ``Cochran 
Fellowship Program'', to provide fellowships to individuals 
from eligible countries (as determined under subsection (b)) 
who specialize in agriculture [for study in the United States.] 
for study--
          (1) in the United States; or 
          (2) at a college or university located in an eligible 
        country that the Secretary determines--
                  (A) has sufficient scientific and technical 
                facilities; 
                  (B) has established a partnership with at 
                least one college or university in the United 
                States; and 
                  (C) has substantial participation by faculty 
                members of the United States college or 
                university in the design of the fellowship 
                curriculum and classroom instruction under the 
                fellowship. 
  (b) Eligible Countries.--Countries described in any of the 
following paragraphs shall be eligible to participate in the 
program established under this section:
          (1) Middle-income country.--A country that has 
        developed economically to the point where it no longer 
        qualifies for bilateral foreign aid assistance from the 
        United States because its per capita income level 
        exceeds the eligibility requirements of such assistance 
        programs (hereafter referred to in this section as a 
        ``middle-income'' country).
          (2) Ongoing relationship.--A middle-income country 
        that has never qualified for bilateral foreign aid 
        assistance from the United States, but with respect to 
        which an ongoing relationship with the United States, 
        including technical assistance and training, would 
        provide mutual benefits to such country and the United 
        States.
          (3) Type of government.--A country that has recently 
        begun the transformation of its system of government 
        from a non-representative type of government to a 
        representative democracy and that is encouraging 
        democratic institution building, and the cultural 
        values, institutions, and organizations of democratic 
        pluralism.
          (4) Independent states of the former soviet union.--A 
        country that is an independent state of the former 
        Soviet Union (as defined in section 102(8) of the 
        Agricultural Trade Act of 1978 (7 U.S.C. 5602(8)), to 
        the extent that the Secretary of Agriculture determines 
        that such country should be eligible to participate in 
        the program established under this section.
          (5) Emerging market.--Any emerging market, as defined 
        in section [1542(f)] 1542(e).
  (c) Purpose of the Fellowships.--Fellowships under this 
section shall be provided to permit the recipients to gain 
knowledge and skills that will--
          (1) assist eligible countries to develop agricultural 
        systems necessary to meet the food and fiber needs of 
        their domestic populations; and
          (2) strengthen and enhance trade linkages between 
        eligible countries and agricultural interests in the 
        United States, including trade linkages involving 
        regulatory systems governing sanitary and phyto-
        sanitary standards for agricultural products.
  (d) Individuals Who May Receive Fellowships.--The Secretary 
shall utilize the expertise of United States agricultural 
counselors, trade officers, and commodity trade promotion 
groups working in participating countries to help identify 
program candidates for fellowships under this section from both 
the public and private sectors of those countries. The 
Secretary may provide fellowships under the program authorized 
by this section to private agricultural producers from eligible 
countries.
  (e) Program Implementation.--The Secretary shall consult with 
other United States Government agencies, United States 
universities, and the private agribusiness sector, as 
appropriate, to design and administer training programs to 
accomplish the objectives of the Program established under this 
section.
  (f) Authorization of Appropriations.--There are authorized to 
be appropriated without fiscal year limitation such sums as may 
be necessary to carry out the program established under this 
section, except that the amount of such funds in any fiscal 
year shall not exceed--
          (1) for eligible countries that meet the requirements 
        of subsection (b)(1), $3,000,000;
          (2) for eligible countries that meet the requirements 
        of subsection (b)(2), $2,000,000; and
          (3) for eligible countries that meet the requirements 
        of subsection (b)(3), $5,000,000.
  (g) Complementary Funds.--If the Secretary of Agriculture 
determines that it is advisable in furtherance of the purposes 
of the program established under this section, the Secretary 
may accept money, funds, property, and services of every kind 
by gift, devise, bequest, grant, or otherwise, and may, in any 
manner, dispose of all such holdings and use the receipts 
generated from such disposition as general program funds under 
this section. All funds so designated for the program 
established under this section shall remain available until 
expended.

[SEC. 1543A. BIOTECHNOLOGY AND AGRICULTURAL TRADE PROGRAM.

  [(a) Establishment.--There is established in the Department 
the biotechnology and agricultural trade program.
  [(b) Purpose.--The purpose of the program shall be to remove, 
resolve, or mitigate significant regulatory nontariff barriers 
to the export of United States agricultural commodities (as 
defined in section 102 of the Agricultural Trade Act of 1978 (7 
U.S.C. 5602)) into foreign markets through public and private 
sector projects funded by grants that address--
          [(1) quick response intervention regarding nontariff 
        barriers to United States exports involving--
                  [(A) United States agricultural commodities 
                produced through biotechnology;
                  [(B) food safety;
                  [(C) disease; or
                  [(D) other sanitary or phytosanitary 
                concerns; or
          [(2) developing protocols as part of bilateral 
        negotiations with other countries on issues such as 
        animal health, grain quality, and genetically modified 
        commodities.
  [(c) Eligible Programs.--Depending on need, as determined by 
the Secretary, activities authorized under this section may be 
carried out through--
          [(1) this section;
          [(2) the emerging markets program under section 1542; 
        or
          [(3) the Cochran Fellowship Program under section 
        1543.
  [(d) Funding.--There is authorized to be appropriated 
$6,000,000 for each of fiscal years 2002 through 2007.]

SEC. 1543A. BIOTECHNOLOGY AND AGRICULTURAL TRADE PROGRAM.

  (a) Establishment.--There is established in the Department of 
Agriculture a program to be known as the ``Biotechnology and 
Agricultural Trade Program''.
  (b) Purpose.--The purpose of the program established under 
this section shall be to remove, resolve, or mitigate 
significant regulatory nontariff barriers to the export of 
United States agricultural commodities into foreign markets 
through policy advocacy and targeted projects that address--
          (1) issues relating to United States agricultural 
        commodities produced with the use of biotechnology or 
        new agricultural production technologies;
          (2) advocacy for science-based regulation in foreign 
        markets of biotechnology or new agricultural production 
        technologies; or
          (3) quick-response intervention regarding non-tariff 
        barriers to United States exports produced through 
        biotechnology or new agricultural production 
        technologies.
  (c) Eligible Programs.--Depending on need, as determined by 
the Secretary, activities authorized under this section may be 
carried out through--
          (1) this section;
          (2) the emerging markets program under section 1542; 
        or
          (3) the Cochran Fellowship Program under section 
        1543.

TITLE XVI--RESEARCH

           *       *       *       *       *       *       *


Subtitle B--Sustainable Agriculture Research and Education

           *       *       *       *       *       *       *


CHAPTER 1--BEST UTILIZATION OF BIOLOGICAL APPLICATIONS

           *       *       *       *       *       *       *


SEC. 1624. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
chapter $40,000,000 for each of fiscal years 2013 through 
[2018] 2023. Of amounts appropriated to carry out this chapter 
for a fiscal year, not less than $15,000,000, or not less than 
two thirds of any such appropriation, whichever is greater, 
shall be used to carry out sections 1621 and 1622.

                CHAPTER 2--INTEGRATED MANAGEMENT SYSTEMS

SEC. 1627. INTEGRATED MANAGEMENT SYSTEMS.

  (a) Establishment.--The Secretary shall establish a research 
and education program concerning integrated resource management 
and integrated crop management in order to enhance research 
related to farming operations, practices, and systems that 
optimize crop and livestock production potential and are 
environmentally sound. The purpose of the program shall be--
          (1) to encourage producers to adopt integrated crop 
        and livestock management practices and systems that 
        minimize or abate adverse environmental impacts, reduce 
        soil erosion and loss of water and nutrients, enhance 
        the efficient use of on-farm and off-farm inputs, and 
        maintain or increase profitability and long-term 
        productivity;
          (2) to develop knowledge and information on 
        integrated crop and livestock management systems and 
        practices to assist agricultural producers in the 
        adoption of these systems and practices;
          (3) to accumulate and analyze information on 
        agricultural production practices researched or 
        developed under programs established under this 
        subtitle, subtitle G of title XIV, and section 1650 and 
        other appropriate programs of the Department of 
        Agriculture to further the development of integrated 
        crop and livestock management systems;
          (4) to facilitate the adoption of whole-farm 
        integrated crop and livestock management systems 
        through demonstration projects on individual farms, 
        including small and limited resource farms, throughout 
        the United States; and
          (5) to evaluate and recommend appropriate integrated 
        crop and livestock management policies and programs.
  (b) Development and Adoption of Integrated Crop Management 
Practices.--The Secretary shall encourage agricultural 
producers to adopt and develop individual, site-specific 
integrated crop management practices. On a priority basis, the 
Secretary shall develop and disseminate information on 
integrated crop management systems for agricultural producers 
in specific localities or crop producing regions where the 
Secretary determines--
          (1) water quality is impaired as a result of local or 
        regional agricultural production practices; or
          (2) the adoption of such practices may aid in the 
        recovery of endangered or threatened species.
  (c) Development and Adoption of Integrated Resource 
Management Practices.--The Secretary shall, on a priority 
basis, develop programs to encourage livestock producers to 
develop and adopt individual, site-specific integrated resource 
management practices. These programs shall be designed to 
benefit producers and consumers through--
          (1) optimum use of available resources and improved 
        production and financial efficiency for producers;
          (2) identifying and prioritizing the research and 
        educational needs of the livestock industry relating to 
        production and financial efficiency, competitiveness, 
        environmental stability, and food safety; and
          (3) utilizing an interdisciplinary approach.
  (d) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section through the National 
Institute of Food and Agriculture $20,000,000 for each of 
fiscal years 2013 through [2018] 2023.

CHAPTER 3--SUSTAINABLE AGRICULTURE TECHNOLOGY DEVELOPMENT AND TRANSFER 
                                PROGRAM

SEC. 1628. TECHNICAL GUIDES AND HANDBOOKS.

  (a) Development.--Not later than two years after the date of 
the enactment of this Act, the Secretary shall develop and make 
available handbooks and technical guides, and any other 
educational materials that are appropriate for describing 
sustainable agriculture production systems and practices, as 
researched and developed under this subtitle, subtitle G of 
title XIV, section 1650, and other appropriate research 
programs of the Department.
  (b) Consultation and Coordination.--The Secretary shall 
develop the handbooks, technical guides, and educational 
materials in consultation with the Natural Resources 
Conservation Service and any other appropriate entities 
designated by the Secretary. The Secretary shall coordinate 
activities conducted under this section with those conducted 
under section 1261 of the Food Security Act of 1985, as added 
by section 1446.
  (c) Topics of Handbooks and Guides.--The handbooks and 
guides, and other educational materials, shall include detailed 
information on the selection of crops and crop-plant varieties, 
rotation practices, soil building practices, tillage systems, 
nutrient management, integrated pest management practices, 
habitat protection, pest, weed, and disease management, 
livestock management, soil, water, and energy conservation, and 
any other practices in accordance with or in furtherance of the 
purpose of this subtitle.
  (d) Organization and Contents.--The handbooks and guides, and 
other educational materials, shall provide practical 
instructions and be organized in such a manner as to enable 
agricultural producers desiring to implement the practices and 
systems developed under this subtitle, subtitle G of title XIV, 
section 1650, and other appropriate research programs of the 
Department to address site-specific, environmental and resource 
management problems and to sustain farm profitability, 
including--
          (1) enhancing and maintaining the fertility, 
        productivity, and conservation of farmland and ranch 
        soils, ranges, pastures, and wildlife;
          (2) maximizing the efficient and effective use of 
        agricultural inputs;
          (3) protecting or enhancing the quality of water 
        resources; or
          (4) optimizing the use of on-farm and nonrenewable 
        resources.
  (e) Availability.--The Secretary shall ensure that handbooks 
and technical guides, and other educational materials are made 
available to the agricultural community and the public through 
colleges and universities, the State Cooperative Extension 
Service, the Soil Conservation Service, other State and Federal 
agencies, and any other appropriate entities.
  (f) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section--
          (1) such sums as are necessary for fiscal year 2013; 
        and
          (2) $5,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

SEC. 1629. NATIONAL TRAINING PROGRAM.

  (a) In General.--The Secretary shall establish a National 
Training Program in Sustainable Agriculture to provide 
education and training for Cooperative Extension Service agents 
and other professionals involved in the education and transfer 
of technical information concerning sustainable agriculture in 
order to develop their understanding, competence, and ability 
to teach and communicate the concepts of sustainable 
agriculture to Cooperative Extension Service agents and to 
farmers and urban residents who need information on sustainable 
agriculture.
  (b) Administration.--The National Training Program shall be 
organized and administered by the National Institute of Food 
and Agriculture, in coordination with other appropriate Federal 
agencies. The Secretary shall designate an individual from the 
Cooperative Extension Service in each State to coordinate the 
National Training Program within that State. The coordinators 
shall be responsible, in cooperation with appropriate Federal 
and State agencies, for developing and implementing a statewide 
training program for appropriate field office personnel.
  (c) Required Training.--
          (1) Agricultural agents.--The Secretary shall ensure 
        that all agricultural agents of the Cooperative 
        Extension Service have completed the National Training 
        Program not later than the end of the five-year period 
        beginning on the date of enactment of this Act. Such 
        training may occur at a college or university located 
        within each State as designated by the coordinator 
        designated under this section.
          (2) Proof of training.--Beginning three years after 
        the date of enactment of this Act, the Secretary shall 
        ensure that all new Cooperative Extension Service 
        agents employed by such Service are able to 
        demonstrate, not later than 18 months after the 
        employment of such agents, that such agents have 
        completed the training program established in 
        subsection (a).
  (d) Regional Training Centers.--
          (1) Designation.--The Secretary shall designate not 
        less than two regional training centers to coordinate 
        and administer educational activities in sustainable 
        agriculture as provided for in this section.
          (2) Training program.--Such centers shall offer 
        intensive instructional programs involving classroom 
        and field training work for extension specialists and 
        other individuals who are required to transmit 
        technical information.
          (3) Prohibition on construction.--Such centers shall 
        be located at existing facilities, and no funds 
        appropriated to carry out this chapter shall be used 
        for facility construction.
          (4) Administration.--Such centers should be 
        administered by entities that have a demonstrated 
        capability relating to sustainable agriculture. The 
        Secretary should consider utilizing existing entities 
        with expertise in sustainable agriculture to assist in 
        the design and implementation of the training program 
        under paragraph (2).
          (5) Coordination of resources.--Such centers shall 
        make use of information generated by the Department of 
        Agriculture and the State agricultural experiment 
        stations, and the practical experience of farmers, 
        especially those cooperating in on-farm demonstrations 
        and research projects, in carrying out the functions of 
        such centers.
  (e) Competitive Grants.--
          (1) In General.--The Secretary shall establish a 
        competitive grants program to award grants to 
        organizations, including land-grant colleges and 
        universities, to carry out sustainable agricultural 
        training for county agents and other individuals that 
        need basic information concerning sustainable 
        agriculture practices.
          (2) Short courses.--The purpose of the grants made 
        available under paragraph (1) shall be to establish, in 
        various regions in the United States, training programs 
        that consist of workshops and short courses designed to 
        familiarize participants with the concepts and 
        importance of sustainable agriculture.
  (f) Regional Specialists.--To assist county agents and 
farmers implement production practices developed under this 
subtitle, subtitle G of title XIV, and other appropriate 
research programs of the Department, regional sustainable 
agriculture specialists may be designated within each State who 
shall report to the State coordinator of that State. The 
specialists shall be responsible for developing and 
coordinating local dissemination of sustainable agriculture 
information in a manner that is useful to farmers in the 
region.
  (g) Information Availability.--The Cooperative Extension 
Service within each State shall transfer information developed 
under this subtitle, subtitle G of title XIV, and other 
appropriate research programs of the Department through a 
program that shall--
          (1) assist in developing farmer-to-farmer information 
        exchange networks to enable farmers making transitions 
        to more sustainable farming systems to share ideas and 
        draw on the experiences of other farmers;
          (2) help coordinate and publicize a regular series of 
        sustainable agriculture farm tours and field days 
        within each State;
          (3) plan for extension programming, including 
        extensive farmer input and feedback, in the design of 
        new and ongoing research endeavors related to 
        sustainable agriculture;
          (4) provide technical assistance to individual 
        farmers in the design and implementation of farm 
        management plans and strategies for making a transition 
        to more sustainable agricultural systems;
          (5) consult and work closely with the Soil 
        Conservation Service and the Agricultural Stabilization 
        and Conservation Service in carrying out the 
        information, technical assistance, and related 
        programs;
          (6) develop, coordinate, and direct special education 
        and outreach programs in areas highly susceptible to 
        groundwater contamination, linking sustainable 
        agriculture information with water quality improvement 
        information;
          (7) develop information sources relating to crop 
        diversification, alternative crops, on-farm food or 
        commodity processing, and on-farm energy generation;
          (8) establish a well-water testing program designed 
        to provide those persons dependent upon underground 
        drinking water supplies with an understanding of the 
        need for regular water testing, information on sources 
        of testing, and an understanding of how to interpret 
        test results and provide for the protection of 
        underground water supplies;
          (9) provide specific information on water quality 
        practices developed through the research programs in 
        subtitle G of title XIV;
          (10) provide specific information on nutrient 
        management practices developed through the research 
        programs in subtitle G of title XIV; and
          (11) provide information concerning whole-farm 
        management systems integrating research results under 
        this subtitle, subtitle G of title XIV, and other 
        appropriate research programs of the Department.
  (h) Definition.--For purposes of this section, the term 
``appropriate field office personnel'' includes employees of 
the National Institute of Food and Agriculture, Soil 
Conservation Service, and other appropriate Department of 
Agriculture personnel, as determined by the Secretary, whose 
activities involve the provision of agricultural production and 
conservation information to agricultural producers.
  (i) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out the National Training Program 
$20,000,000 for each of fiscal years 2013 through [2018] 2023.

Subtitle C--National Genetic Resources Program

           *       *       *       *       *       *       *


SEC. 1635. DEFINITIONS AND AUTHORIZATION OF APPROPRIATIONS.

  (a) Definitions.--For purposes of this subtitle:
          (1) The term ``program'' means the National Genetic 
        Resources Program.
          (2) The term ``Secretary'' means the Secretary of 
        Agriculture.
          (3) The term ``Director'' means the Director of the 
        National Genetic Resources Program.
  (b) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this subtitle--
          (1) such sums as are necessary for each of fiscal 
        years 1991 through 2013; and
          (2) $1,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

Subtitle D--National Agricultural Weather Information System

           *       *       *       *       *       *       *


SEC. 1641. FUNDING.

  (a) Allocation of Funds.--
          (1) Cooperative work.--Not less than 15 percent and 
        not more than 25 percent of the funds appropriated for 
        a fiscal year to carry out this subtitle shall be used 
        for cooperative work with the National Weather Service 
        entered into under section 1638(b)(1).
          (2) Competitive grants program.--Not less than 15 
        percent and not more than 25 percent of such funds 
        shall be used by the National Institute of Food and 
        Agriculture for a competitive grants program under 
        section 1638(c).
          (3) Weather information systems.--Not less than 25 
        percent and not more than 35 percent of such funds 
        shall be divided equally between the participating 
        States selected for that fiscal year under section 
        1640.
          (4) Other purposes.--The remaining funds shall be 
        allocated for use by the Agricultural Weather Office 
        and the National Institute of Food and Agriculture in 
        carrying out generally the provisions of this subtitle.
  (b) Limitations on Use of Funds.--Funds provided under the 
authority of this subtitle shall not be used for the 
construction of facilities. Each State or agency receiving 
funds shall not use more than 30 percent of such funds for 
equipment purchases. Any use of the funds in facilitating the 
distribution of agricultural and climate information to 
producers shall be done with consideration for the role that 
the private meteorological sector can play in such information 
delivery.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this subtitle $5,000,000 for each 
of the fiscal years 2008 through 2012 and $1,000,000 for each 
of fiscal years 2014 through [2018] 2023.

Subtitle H--Miscellaneous Research Provisions

           *       *       *       *       *       *       *


SEC. 1671. AGRICULTURAL GENOME  TO PHENOME INITIATIVE.

  [(a) Goals.--The goals of this section are--
          [(1) to expand the knowledge of public and private 
        sector entities and persons concerning genomes for 
        species of importance to the food and agriculture 
        sectors in order to maximize the return on the 
        investment in genomics of agriculturally important 
        species;
          [(2) to focus on the species that will yield 
        scientifically important results that will enhance the 
        usefulness of many agriculturally important species;
          [(3) to build on genomic research, such as the Human 
        Genome Initiative and the Arabidopsis Genome Project, 
        to understand gene structure and function that is 
        expected to have considerable payoffs in agriculturally 
        important species;
          [(4) to develop improved bioinformatics to enhance 
        both sequence or structure determination and analysis 
        of the biological function of genes and gene products;
          [(5) to encourage Federal Government participants to 
        maximize the utility of public and private partnerships 
        for agricultural genome research;
          [(6) to allow resources developed under this section, 
        including data, software, germplasm, and other 
        biological materials, to be openly accessible to all 
        persons, subject to any confidentiality requirements 
        imposed by law; and
          [(7) to encourage international partnerships with 
        each partner country responsible for financing its own 
        strategy for agricultural genome research.
  [(b) Duties of Secretary.--The Secretary of Agriculture 
(referred to in this section as the ``Secretary'') shall 
conduct a research initiative (to be known as the 
``Agricultural Genome Initiative'') for the purpose of--
          [(1) studying and mapping agriculturally significant 
        genes to achieve sustainable and secure agricultural 
        production;
          [(2) ensuring that current gaps in existing 
        agricultural genetics knowledge are filled;
          [(3) identifying and developing a functional 
        understanding of genes responsible for economically 
        important traits in agriculturally important species, 
        including emerging plant and animal pathogens and 
        diseases causing economic hardship;
          [(4) ensuring future genetic improvement of 
        agriculturally important species;
          [(5) supporting preservation of diverse germplasm;
          [(6) ensuring preservation of biodiversity to 
        maintain access to genes that may be of importance in 
        the future;
          [(7) reducing the economic impact of plant pathogens 
        on commercially important crop plants; and
          [(8) otherwise carrying out this section.]
  (a) Goals.--The goals of this section are--
          (1) to expand knowledge concerning genomes and 
        phenomes of crops of importance to United States 
        agriculture;
          (2) to understand how variable weather, environments, 
        and production systems impact the growth and 
        productivity of specific varieties of crops, thereby 
        providing greater accuracy in predicting crop 
        performance under variable growing conditions;
          (3) to support research that leverages plant genomic 
        information with phenotypic and environmental data 
        through an interdisciplinary framework, leading to a 
        novel understanding of plant processes that affect crop 
        growth, productivity, and the ability to predict crop 
        performance, resulting in the deployment of superior 
        varieties to growers and improved crop management 
        recommendations for farmers;
          (4) to promote and coordinate research linking 
        genomics and predictive phenomics at different sites 
        nationally to achieve advances in crops that generate 
        societal benefits;
          (5) to combine fields such as genetics, genomics, 
        plant physiology, agronomy, climatology, and crop 
        modeling with computation and informatics, statistics, 
        and engineering;
          (6) to focus on crops that will yield scientifically 
        important results that will enhance the usefulness of 
        many other crops;
          (7) to build on genomic research, such as the Plant 
        Genome Research Project, to understand gene function in 
        production environments that are expected to have 
        considerable payoffs for crops of importance to United 
        States agriculture;
          (8) to develop improved data analytics to enhance 
        understanding of the biological function of crop genes;
          (9) to allow resources developed under this section, 
        including data, software, germplasm, and other 
        biological materials, to be openly accessible to all 
        persons, subject to any confidentiality requirements 
        imposed by law; and
          (10) to encourage international partnerships with 
        each partner country responsible for financing its own 
        research.
  (b) Duties of Secretary.--The Secretary of Agriculture shall 
conduct a research initiative (to be known as the 
``Agricultural Genome to Phenome Initiative'') for the purpose 
of--
          (1) studying agriculturally significant crops in 
        production environments to achieve sustainable and 
        secure agricultural production;
          (2) ensuring that current gaps in existing knowledge 
        of agricultural crop genetics and phenomics knowledge 
        are filled;
          (3) identifying and developing a functional 
        understanding of agronomically relevant genes from 
        crops of importance to United States agriculture;
          (4) ensuring future genetic improvement of crops of 
        importance to United States agriculture;
          (5) studying the relevance of diverse germplasm as a 
        source of unique genes that may be of importance to 
        United States agriculture in the future;
          (6) enhancing crop genetics to reduce the economic 
        impact of plant pathogens on crops of importance to 
        United States agriculture; and
          (7) disseminating findings to relevant audiences.
  (c) Grants and Cooperative Agreements.--
          (1) Authority.--The Secretary, acting through the 
        National Institute of Food and Agriculture, may make 
        grants or enter into cooperative agreements with 
        individuals and organizations in accordance with 
        section 1472 of the National Agricultural Research, 
        Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
        3318).
          (2) Competitive basis.--A grant or cooperative 
        agreement under this subsection shall be made or 
        entered into on a competitive basis.
          (3) Consortia.--The Secretary shall encourage awards 
        under this section to consortia of eligible entities.
  (d) 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 a grant or cooperative agreement under this 
section.
  (e) Consultation With National Academy of Sciences.--The 
Secretary may use funds made available under this section to 
consult with the National Academy of Sciences regarding the 
administration of the Agricultural Genome to Phenome 
Initiative.
  (f) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $30,000,000 for each 
of fiscal years 2019 through 2023.

SEC. 1672. HIGH-PRIORITY RESEARCH AND EXTENSION INITIATIVES.

  (a) Competitive Specialized Research and Extension Grants 
Authorized.--The Secretary of Agriculture (referred to in this 
section as the ``Secretary'') may make competitive grants to 
support research and extension activities specified in 
subsections (d) through (g). The Secretary shall make the 
grants in consultation with the National Agricultural Research, 
Extension, Education, and Economics Advisory Board.
  (b) Administration.--
          (1) In general.--Except as otherwise provided in this 
        section, 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) Use of task forces.--To facilitate the making of 
        research and extension grants under this section in the 
        research and extension areas specified in subsections 
        (d) through (g), the Secretary may appoint a task force 
        for each such area to make recommendations to the 
        Secretary. The Secretary may not incur costs in excess 
        of $1,000 for any fiscal year in connection with each 
        task force established under this paragraph.
  (c) Partnerships Encouraged.--Following the completion of a 
peer review process for grant proposals received under this 
section, the Secretary shall provide a priority to those grant 
proposals, found in the peer review process to be 
scientifically meritorious, that involve the cooperation of 
multiple entities.
  (d) High-Priority Research and Extension Areas.--
          (1) Dairy financial risk management research and 
        extension.--Research and extension grants may be made 
        under this section for the purpose of providing 
        research, development, or education materials, 
        information, and outreach programs regarding risk 
        management strategies for dairy producers and for dairy 
        cooperatives and other processors and marketers of 
        milk.
          (2) Potato research and extension.--Research and 
        extension grants may be made under this section for the 
        purpose of developing and evaluating new strains of 
        potatoes that are resistant to blight and other 
        diseases, as well as insects. Emphasis may be placed on 
        developing potato varieties that lend themselves to 
        innovative marketing approaches.
          (3) Wood use research and extension.--Research and 
        extension grants may be made under this section for the 
        purpose of developing new uses for wood from underused 
        tree species as well as investigating methods of 
        modifying wood and wood fibers to produce better 
        building materials.
          (4) Bighorn and domestic sheep disease mechanisms.--
        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.
          (5) 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.
          (6) 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 institutions in the 
        Caribbean and Pacific regions.
          (7) Women and minorities in stem fields.--Research 
        and extension grants may be made under this section to 
        increase participation by women and underrepresented 
        minorities 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.
          (8)  [Alfalfa and forage] Alfalfa seed and alfalfa 
        forage systems research program.--Research and 
        extension grants may be made under this section for the 
        purpose of studying improvements in [alfalfa and 
        forage] alfalfa seed and alfalfa forage systems yields, 
        biomass and persistence, pest pressures, the bioenergy 
        potential of [alfalfa and other forages, and] alfalfa 
        seed and other alfalfa forage systems to reduce losses 
        during harvest and storage.
          (9) Coffee plant health initiative.--Research and 
        extension grants may be made under this section for the 
        purposes of--
                  (A) developing and disseminating science-
                based tools and treatments to combat the coffee 
                berry borer (Hypothenemus hampei); and
                  (B) establishing an areawide integrated pest 
                management program in areas affected by, or 
                areas at risk of, being affected by the coffee 
                berry borer.
          (10) Corn, soybean meal, cereal grains, and grain 
        byproducts research and extension.--Research and 
        extension grants may be made under this section for the 
        purpose of carrying out or enhancing research to 
        improve the digestibility, nutritional value, and 
        efficiency of the use of corn, soybean meal, cereal 
        grains, and grain byproducts for the poultry and food 
        animal production industries.
          (11) Macadamia tree health initiative.--Research and 
        extension grants may be made under this section for the 
        purposes of--
                  (A) developing and disseminating science-
                based tools and treatments to combat the 
                macadamia felted coccid (Eriococcus ironsidei); 
                and
                  (B) establishing an areawide integrated pest 
                management program in areas affected by, or 
                areas at risk of being affected by, the 
                macadamia felted coccid.
          (12) National turfgrass research initiative.--
        Research and extension grants may be made under this 
        section for the purposes of--
                  (A) carrying out or enhancing research 
                related to turfgrass and sod issues;
                  (B) enhancing production and uses of 
                turfgrass for the general public;
                  (C) identifying new turfgrass varieties with 
                superior drought, heat, cold, and pest 
                tolerance to reduce water, fertilizer, and 
                pesticide use;
                  (D) selecting genetically superior 
                turfgrasses and developing improved 
                technologies for managing commercial, 
                residential, and recreational turfgrass areas;
                  (E) producing turfgrasses that--
                          (i) aid in mitigating soil erosion;
                          (ii) protect against pollutant runoff 
                        into waterways; or
                          (iii) provide other environmental 
                        benefits;
                  (F) investigating, preserving, and protecting 
                native plant species, including grasses not 
                currently utilized in turfgrass systems;
                  (G) creating systems for more economical and 
                viable turfgrass seed and sod production 
                throughout the United States; and
                  (H) investigating the turfgrass phytobiome 
                and developing biologic products to enhance 
                soil, enrich plants, and mitigate pests.
          (13) Fertilizer management initiative.--
                  (A) In general.--Research and extension 
                grants may be made under this section for the 
                purpose of carrying out research to improve 
                fertilizer use efficiency in crops--
                          (i) to maximize crop yield; and
                          (ii) to minimize nutrient losses to 
                        surface and groundwater and the 
                        atmosphere.
                  (B) Priority.--In awarding grants under 
                subparagraph (A), the Secretary shall give 
                priority to research examining the impact of 
                the source, rate, timing, and placement of 
                plant nutrients.
          (14) Cattle fever tick program.--Research and 
        extension grants may be made under this section to 
        study cattle fever ticks--
                  (A) to facilitate the understanding of the 
                role of wildlife in the persistence and spread 
                of cattle fever ticks;
                  (B) to develop advanced methods for 
                eradication of cattle fever ticks, including--
                          (i) alternative treatment methods for 
                        cattle and other susceptible species;
                          (ii) field treatment for premises, 
                        including corral pens and pasture 
                        loafing areas;
                          (iii) methods for treatment and 
                        control on infested wildlife;
                          (iv) biological control agents; and
                          (v) new and improved vaccines;
                  (C) to evaluate rangeland vegetation that 
                impacts the survival of cattle fever ticks;
                  (D) to improve management of diseases 
                relating to cattle fever ticks that are 
                associated with wildlife, livestock, and human 
                health;
                  (E) to improve diagnostic detection of tick-
                infested or infected animals and pastures; and
                  (F) to conduct outreach to impacted ranchers, 
                hunters, and landowners to integrate tactics 
                and document sustainability of best practices.
          (15) Laying hen and turkey research program.--
        Research grants may be made under this section for the 
        purpose of improving the efficiency and sustainability 
        of laying hen and turkey production through integrated, 
        collaborative research and technology transfer. 
        Emphasis may be placed on laying hen and turkey disease 
        prevention, antimicrobial resistance, nutrition, gut 
        health, and alternative housing systems under extreme 
        seasonal weather conditions.
          (16) Algae agriculture research program.--Research 
        and extension grants may be made under this section for 
        the development and testing of algae and algae systems 
        (including micro- and macro-algae systems).
  (e) Pulse Crop Health Initiative.--
          (1) Definitions.--In this subsection:
                  (A) Initiative.--The term ``Initiative'' 
                means the pulse crop health initiative 
                established by paragraph (2).
                  (B) Pulse crop.--The term ``pulse crop'' 
                means dry beans, dry peas, lentils, and 
                chickpeas.
          (2) Establishment.--The Secretary shall carry out a 
        pulse crop health competitive research and extension 
        initiative to address the critical needs of the pulse 
        crop industry by developing and disseminating science-
        based tools and information, including--
                  (A) research conducted with respect to pulse 
                crops in the areas of health and nutrition, 
                such as--
                          (i) pulse crop diets and the ability 
                        of such diets to reduce obesity and 
                        associated chronic disease; and
                          (ii) the underlying mechanisms of the 
                        health benefits of pulse crop 
                        consumption;
                  (B) research related to the functionality of 
                pulse crops, such as--
                          (i) improving the functional 
                        properties of pulse crops and pulse 
                        crop fractions; and
                          (ii) developing new and innovative 
                        technologies to improve pulse crops as 
                        an ingredient in food products;
                  (C) research conducted with respect to pulse 
                crops for purposes of enhancing sustainability 
                and global food security, such as--
                          (i) improving pulse crop 
                        productivity, nutrient density, and 
                        phytonutrient content using plant 
                        breeding, genetics, and genomics;
                          (ii) improving pest and disease 
                        management, including resistance to 
                        pests and diseases; and
                          (iii) improving nitrogen fixation and 
                        water use efficiency to reduce the 
                        carbon and energy footprint of 
                        agriculture;
                  (D) the optimization of systems used in 
                producing pulse crops to reduce water usage; 
                and
                  (E) education and technical assistance 
                programs with respect to pulse crops, such as 
                programs--
                          (i) providing technical expertise to 
                        help food companies include pulse crops 
                        in innovative and healthy food; and
                          (ii) establishing an educational 
                        program to encourage pulse crop 
                        consumption in the United States.
          (3) 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 a competitive 
        grant under this subsection.
          (4) Priorities.--In making competitive grants under 
        this subsection, the Secretary shall provide a higher 
        priority to projects that--
                  (A) are multistate, multiinstitutional, and 
                multidisciplinary; and
                  (B) include explicit mechanisms to 
                communicate results to the pulse crop industry 
                and the public.
          (5) Authorization of Appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection $25,000,000 for each of fiscal years 2014 
        through [2018] 2023.
  (f) Training Coordination for Food and Agriculture 
Protection.--
          (1) In general.--The Secretary shall make a 
        competitive grant to, or enter into a contract or a 
        cooperative agreement with, an eligible entity 
        (described in paragraph (2)) for purposes of 
        establishing an internationally integrated training 
        system to enhance the protection of the food supply in 
        the United States, to be known as the ``Comprehensive 
        Food Safety Training Network'' (referred to in this 
        subsection as the ``Network'').
          (2) Eligibility.--
                  (A) In general.--For purposes of this 
                subsection, an eligible entity is a 
                multiinstitutional consortium that includes--
                          (i) a nonprofit institution that 
                        provides food safety protection 
                        training; and
                          (ii) one or more training centers in 
                        institutions of higher education (as 
                        defined in section 101 of the Higher 
                        Education Act of 1965 (20 U.S.C. 1001)) 
                        that have demonstrated expertise in 
                        developing and delivering community-
                        based training in food supply and 
                        agricultural safety and defense.
                  (B) Collective consideration.--The Secretary 
                may consider such consortium collectively and 
                not on an institution-by-institution basis.
          (3) Duties of eligible entity.--As a condition of 
        receiving a competitive grant or entering into a 
        contract or a cooperative agreement with the Secretary 
        under this subsection, the eligible entity, in 
        cooperation with the Secretary, shall establish and 
        maintain the Network, including by--
                  (A) providing basic, technical, management, 
                and leadership training (including by 
                developing curricula) to regulatory and public 
                health officials, producers, processors, and 
                other agribusinesses;
                  (B) serving as the hub for the administration 
                of the Network;
                  (C) implementing a standardized national 
                curriculum to ensure the consistent delivery of 
                quality training throughout the United States;
                  (D) building and overseeing a nationally 
                recognized instructor cadre to ensure the 
                availability of highly qualified instructors;
                  (E) reviewing training proposed through the 
                National Institute of Food and Agriculture and 
                other relevant Federal agencies that report to 
                the Secretary on the quality and content of 
                proposed and existing courses;
                  (F) assisting Federal agencies in the 
                implementation of food safety protection 
                training requirements including requirements 
                under the Federal Food, Drug, and Cosmetic Act 
                (21 U.S.C. 301 et seq.), the Agricultural Act 
                of 2014, and any provision of law amended by 
                such Act; and
                  (G) performing evaluation and outcome-based 
                studies to provide to the Secretary information 
                on the effectiveness and impact of training and 
                metrics on jurisdictions and sectors within the 
                food safety system.
          (4) Membership.--An eligible entity may alter the 
        consortium membership to meet specific training 
        expertise needs.
          (5) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection $20,000,000 for each of fiscal years 2014 
        through [2018] 2023, to remain available until 
        expended.
  (g) 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 production 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 collapse 
                        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, herbicides, and 
                                fungicides on honey bees and 
                                native and managed pollinators;
                          (iv) to develop mitigative and 
                        preventative measures 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 [2018] 2023.
          (2) Department of agriculture capacity and 
        infrastructure.--
                  (A) In general.--The Secretary shall, to the 
                maximum extent practicable, increase the 
                capacity and infrastructure 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 [2018] 2023.
          (3) Honey bee surveillance.--There is authorized to 
        be appropriated to conduct a nationwide honey bee pest, 
        pathogen, health, and population status surveillance 
        program $2,750,000 for each of fiscal years 2008 
        through [2018] 2023.
          (4) Consultation.--The Secretary, in consultation 
        with the Secretary of the Interior and the 
        Administrator of the Environmental Protection Agency, 
        shall publish guidance on enhancing pollinator health 
        and the long-term viability of populations of 
        pollinators, including recommendations related to--
                  (A) allowing for managed honey bees to forage 
                on National Forest System lands where 
                compatible with other natural resource 
                management priorities; and
                  (B) planting and maintaining managed honey 
                bee and native pollinator foraging on National 
                Forest System lands where compatible with other 
                natural resource management priorities.
          (5) Annual report on response to honey bee colony 
        collapse disorder.--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 an annual 
        report--
                  (A) describing the progress made by the 
                Department of Agriculture in--
                          (i) investigating the cause or causes 
                        of honey bee colony collapse and honey 
                        bee health disorders;
                          (ii) finding appropriate strategies, 
                        including best management practices to 
                        reduce colony loss; and
                          (iii) addressing the decline of 
                        managed honey bees and native 
                        pollinators;
                  (B) assessing Federal efforts to mitigate 
                pollinator losses and threats to the United 
                States commercial beekeeping industry; and
                  (C) providing recommendations to Congress 
                regarding how to better coordinate Federal 
                agency efforts to address the decline of 
                managed honey bees and native pollinators.
  (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 1999 through [2018] 2023.

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SEC. 1672B. ORGANIC AGRICULTURE RESEARCH AND EXTENSION INITIATIVE.

  (a) Competitive Specialized Research and Extension Grants 
Authorized.--In consultation with the National Agricultural 
Research, Extension, Education, and Economics Advisory Board, 
the Secretary of Agriculture (referred to in this section as 
the ``Secretary'') may make competitive grants to support 
research, education, and extension activities regarding 
organically grown and processed agricultural commodities for 
the purposes of--
          (1) facilitating the development and improvement of 
        organic agriculture production, breeding, and 
        processing methods;
          (2) evaluating the potential economic benefits of 
        organic agricultural production and methods to 
        producers, processors, and rural communities;
          (3) exploring international trade opportunities for 
        organically grown and processed agricultural 
        commodities;
          (4) determining desirable traits for organic 
        commodities;
          (5) identifying marketing and policy constraints on 
        the expansion of organic agriculture;
          (6) conducting advanced on-farm research and 
        development that emphasizes observation of, 
        experimentation with, and innovation for working 
        organic farms, including research relating to 
        production, marketing, food safety, socioeconomic 
        conditions, and farm business management;
          (7) examining optimal conservation, soil health, and 
        environmental outcomes relating to organically produced 
        agricultural products; and
          (8) developing new and improved seed varieties that 
        are particularly suited for organic agriculture.
  (b) Grant Types and Process, Prohibition on Construction.--
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) Partnerships Encouraged.--Following the completion of a 
peer review process for grant proposals received under this 
section, the Secretary may provide a priority to those grant 
proposals, found in the peer review process to be 
scientifically meritorious, that involve the cooperation of 
multiple entities.
  (d) Funding.--On October 1, 2003, and each October 1 
thereafter through October 1, 2007, out of any funds in the 
Treasury not otherwise appropriated, the Secretary of the 
Treasury shall transfer $3,000,000 to the Secretary of 
Agriculture for this section.
  (e) Funding.--
          (1) Mandatory funding.--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;
                  (B) $20,000,000 for each of fiscal years 2010 
                through 2012; [and]
                  (C) $20,000,000 for each of fiscal years 2014 
                through 2018[.]; and
                  (D) $30,000,000 for each of fiscal years 2019 
                through 2023.
          (2) Discretionary funding [for fiscal years 2014 
        through 2018].--In addition to amounts made available 
        under paragraph (1), there is authorized to be 
        appropriated to carry out this section $25,000,000 for 
        each of fiscal years 2014 through [2018] 2023.
          (3) Fiscal year 2013.--There is authorized to be 
        appropriated to carry out this section $25,000,000 for 
        fiscal year 2013.

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 available farm financial management database 
        to support improved farm management.]
  (a) In General.--The Secretary may make competitive research 
and extension grants for the purpose of improving the farm 
management knowledge and skills of agricultural producers by 
maintaining and expanding a national, publicly available 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 
        agricultural producers;
          (2) collaborate with farm management [and producer] 
        educational programs and associations;
          (3) address the farm management needs of a variety of 
        crops and regions of the United States; and
          (4) [use and support] contribute data to the national 
        farm financial management 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 to carry out this section--
          (1) such sums as are necessary for fiscal year 2013; 
        and
          (2) $5,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

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SEC. 1680. ASSISTIVE TECHNOLOGY PROGRAM FOR FARMERS WITH DISABILITIES.

  (a) Special Demonstration Grants.--
          (1) In general.--The Secretary of Agriculture, in 
        consultation with other appropriate Federal agencies, 
        shall make demonstration grants to support cooperative 
        programs between State Cooperative Extension Service 
        agencies and private nonprofit disability organizations 
        to provide on-the-farm agricultural education and 
        assistance directed at accommodating disability in farm 
        operations for individuals with disabilities who are 
        engaged in farming and farm-related occupations and 
        their families.
          (2) Eligible services.--Grants awarded under 
        paragraph (1) may be used to support programs serving 
        individuals with disabilities, and their families, who 
        are engaged in farming and farm-related occupations.
          (3) Eligible programs.--Grants awarded under 
        paragraph (1) may be used to initiate, expand, or 
        sustain programs that--
                  (A) provide direct education and assistance 
                to accommodate disability in farming to 
                individuals with disabilities who engage in 
                farming and farm-related occupations;
                  (B) provide on-the-farm technical advice 
                concerning the design, fabrication, and use of 
                agricultural and related equipment, machinery, 
                and tools, and assist in the modification of 
                farm worksites, operations, and living 
                arrangements to accommodate individuals with 
                disabilities who engage in farming, farm living 
                and farm-related tasks;
                  (C) involve community and health care 
                professionals, including Extension Service 
                agents and others, in the early identification 
                of farm and rural families that are in need of 
                services related to the disability of an 
                individual;
                  (D) provide specialized education programs to 
                enhance the professional competencies of rural 
                agricultural professionals, rehabilitation and 
                health care providers, vocational counselors, 
                and other providers of service to individuals 
                with disabilities, and their families, who 
                engage in farming or farm-related occupations; 
                and
                  (E) mobilize rural volunteer resources, 
                including peer counseling among farmers with 
                disabilities and rural ingenuity networks 
                promoting cost effective methods or 
                accommodating disabilities in farming and farm-
                related activities.
          (4) Extension service agencies.--Grants shall be 
        awarded under this subsection directly to State 
        Extension Service agencies to enable them to enter into 
        contracts, on a multiyear basis, with private nonprofit 
        community-based direct service organizations to 
        initiate, expand, or sustain cooperative programs 
        described under paragraphs (2) and (3).
          (5) Minimum amount.--A grant awarded under this 
        subsection may not be less than $150,000.
          (6) Consideration for grants for new programs.--For 
        each fiscal year that amounts are made available for 
        grants under this subsection, the Secretary may make 
        grants in a manner that ensures that eligible entities 
        who apply for grants, but have not previously received 
        a grant under this subsection, are given full 
        consideration.
          (7) Clarification of application of provisions to 
        veterans with disabilities.--This subsection shall 
        apply with respect to veterans with disabilities, and 
        their families, who--
                  (A) are engaged in farming or farm-related 
                occupations; or
                  (B) are pursuing new farming opportunities.
  (b) National Grant for Technical Assistance, Training and 
Dissemination.--The Secretary of Agriculture shall award a 
competitive grant to a national private nonprofit disability 
organization to enable such organization to provide technical 
assistance, training, information dissemination and other 
activities to support community-based direct service programs 
of on-site rural rehabilitation and assistive technology for 
individuals (including veterans) with disabilities, and their 
families, who are engaged in farming or farm-related 
occupations or, in the case of veterans with disabilities, who 
are pursuing new farming opportunities.
  (c) Authorization of Appropriations.--
          (1) In general.--Subject to paragraph (2), there are 
        authorized to be appropriated to carry out this 
        section--
                  (A) $6,000,000 for each of fiscal years 1999 
                through 2013; and
                  (B) $5,000,000 for each of fiscal years 2014 
                through [2018] 2023.
          (2) National grant.--Not more than 15 percent of the 
        amounts made available under paragraph (1) for a fiscal 
        year shall be used to carry out subsection (b).
  

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TITLE XXIII--RURAL DEVELOPMENT

           *       *       *       *       *       *       *


                 Subtitle D--Enhancing Human Resources

CHAPTER 1--TELEMEDICINE AND DISTANCE LEARNING SERVICES IN RURAL AREAS

           *       *       *       *       *       *       *


SEC. 2333. TELEMEDICINE AND DISTANCE LEARNING SERVICES IN RURAL AREAS.

  (a) Services to Rural Areas.--The Secretary may provide 
financial assistance for the purpose of financing the 
construction of facilities and systems to provide telemedicine 
services and distance learning services in rural areas.
  (b) Financial Assistance.--
          (1) In general.--Financial assistance shall consist 
        of grants or cost of money loans, or both.
          (2) Form.--The Secretary shall determine the portion 
        of the financial assistance provided to a recipient 
        that consists of grants and the portion that consists 
        of cost of money loans so as to result in the maximum 
        feasible repayment to the Federal Government of the 
        financial assistance, based on the ability to repay of 
        the recipient and full utilization of funds made 
        available to carry out this chapter.
  (c) Recipients.--
          (1) In general.--The Secretary may provide financial 
        assistance under this chapter to--
                  (A) entities using telemedicine services or 
                distance learning services;
                  (B) entities providing or proposing to 
                provide telemedicine service or distance 
                learning service to other persons at rates 
                calculated to ensure that the benefit of the 
                financial assistance is passed through to the 
                other persons;
                  (C) libraries.
          (2) Electric or telecommunications borrowers.--
                  (A) Loans to borrowers.--Subject to 
                subparagraph (B), the Secretary may provide a 
                cost of money loan under this chapter to a 
                borrower of an electric or telecommunications 
                loan under the Rural Electrification Act of 
                1936 (7 U.S.C. 901 et seq.). A borrower 
                receiving a cost of money loan under this 
                paragraph shall--
                          (i) make the funds provided available 
                        to entities that qualify under 
                        paragraph (1) for projects satisfying 
                        the requirements of this chapter;
                          (ii) use the funds provided to 
                        acquire, install, improve, or extend a 
                        system referred to in subsection (a); 
                        or
                          (iii) use the funds provided to 
                        install, improve, or extend a facility 
                        referred to in subsection (a).
                  (B) Limitations.--A borrower of an electric 
                or telecommunications loan under the Rural 
                Electrification Act of 1936 shall--
                          (i) make a system or facility funded 
                        under subparagraph (A) available to 
                        entities that qualify under paragraph 
                        (1); and
                          (ii) neither retain from the proceeds 
                        of a loan provided under subparagraph 
                        (A), nor assess a qualifying entity 
                        under paragraph (1), any amount except 
                        as may be required to pay the actual 
                        costs incurred in administering the 
                        loan or making the system or facility 
                        available.
          (3) Appeal.--If the Secretary rejects the application 
        of a borrower who applies for a cost of money loan or 
        grant under this section, the borrower may appeal the 
        decision to the Secretary not later than 10 days after 
        the borrower is notified of the rejection.
          (4) Assistance to provide or improve services.--
        Financial assistance may be provided under this chapter 
        for a facility regardless of the location of the 
        facility if the Secretary determines that the 
        assistance is necessary to provide or improve 
        telemedicine services or distance learning services in 
        a rural area.
          (5) Procedure during temporary reprioritizations.--
                  (A) In general.--While a temporary 
                reprioritization announced under section 608 of 
                the Rural Development Act of 1972 is in effect, 
                the Secretary shall make available not less 
                than 10 percent of the amounts made available 
                under section 2335A for financial assistance 
                under this chapter, for telemedicine services 
                to identify and treat individuals affected by 
                the emergency, subject to subparagraph (B).
                  (B) Exception.--In the case of a fiscal year 
                for which the Secretary determines that there 
                are not sufficient qualified applicants to 
                receive financial assistance to reach the 10-
                percent requirement under subparagraph (A), the 
                Secretary may make available less than 10 
                percent of the amounts made available under 
                section 2335A for those services.
  (d) Priority.--The Secretary shall establish procedures to 
prioritize financial assistance under this chapter 
considering--
          (1) the need for the assistance in the affected rural 
        area;
          (2) the financial need of the applicant;
          (3) the population sparsity of the affected rural 
        area;
          (4) the local involvement in the project serving the 
        affected rural area;
          (5) geographic diversity among the recipients of 
        financial assistance;
          (6) the utilization of the telecommunications 
        facilities of any telecommunications provider serving 
        the affected rural area;
          (7) the portion of total project financing provided 
        by the applicant from the funds of the applicant;
          (8) the portion of project financing provided by the 
        applicant with funds obtained from non-Federal sources;
          (9) the joint utilization of facilities financed by 
        other financial assistance;
          (10) the coordination of the proposed project with 
        regional projects or networks;
          (11) service to the greatest practical number of 
        persons within the general geographic area covered by 
        the financial assistance;
          (12) conformity with the State strategic plan as 
        prepared under section 381D of the Consolidated Farm 
        and Rural Development Act; and
          (13) other factors determined appropriate by the 
        Secretary.
  (e) Maximum Amount of Assistance to Individual Recipients.--
The Secretary may establish the maximum amount of financial 
assistance to be made available to an individual recipient for 
each fiscal year under this chapter, by publishing notice of 
the maximum amount in the Federal Register not more than 45 
days after funds are made available for the fiscal year to 
carry out this chapter.
  (f) Use of Funds.--Financial assistance provided under this 
chapter shall be used for--
          (1) the development and acquisition of instructional 
        programming;
          (2) the development and acquisition, through lease or 
        purchase, of computer hardware and software, audio and 
        visual equipment, computer network components, 
        telecommunications terminal equipment, 
        telecommunications transmission facilities, data 
        terminal equipment, or interactive video equipment, or 
        other facilities that would further telemedicine 
        services or distance learning services;
          (3) providing technical assistance and instruction 
        for the development or use of the programming, 
        equipment, or facilities referred to in paragraphs (1) 
        and (2); or
          (4) other uses that are consistent with this chapter, 
        as determined by the Secretary.
  (g) Salaries and Expenses.--Notwithstanding subsection (f), 
financial assistance provided under this chapter shall not be 
used for paying salaries or administrative expenses.
  (h) Expediting Coordinated Telephone Loans.--
          (1) In general.--The Secretary may establish and 
        carry out procedures to ensure that expedited 
        consideration and determination is given to 
        applications for loans and advances of funds submitted 
        by local exchange carriers under this chapter and the 
        Rural Electrification Act of 1936 (7 U.S.C. 901 et 
        seq.) to enable the exchange carriers to provide 
        advanced telecommunications services in rural areas in 
        conjunction with any other projects carried out under 
        this chapter.
          (2) Deadline imposed on secretary.--Not later than 45 
        days after the receipt of a completed application for 
        an expedited telephone loan under paragraph (1), the 
        Secretary shall notify the applicant in writing of the 
        decision of the Secretary regarding the application.
  (i) Notification of Local Exchange Carrier.--
          (1) Applicants.--Each applicant for a grant for a 
        telemedicine or distance learning project established 
        under this chapter shall notify the appropriate local 
        telephone exchange carrier regarding the application 
        filed with the Secretary for the grant.
          (2) Secretary.--The Secretary shall--
                  (A) publish notice of applications received 
                for grants under this chapter for telemedicine 
                or distance learning projects; and
                  (B) make the applications available for 
                inspection.

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SEC. 2335A. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
chapter [$75,000,000 for each of fiscal years 2014 through 
2018] $82,000,000 for each of fiscal years 2019 through 2023.

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           Subtitle G--Rural Revitalization Through Forestry

                Chapter 1--Forestry Rural Revitalization

SEC. 2371. FORESTRY RURAL REVITALIZATION.

  (a) Establishment of Economic Development and Global 
Marketing Program.--The Secretary of Agriculture, acting 
through the National Institute of Food and Agriculture and the 
Cooperative Extension System, and in consultation with the 
Forest Service, shall establish and implement educational 
programs and provide technical assistance to assist businesses, 
industries, and policymakers to create jobs, raise incomes, and 
increase public revenues in manners consistent with 
environmental concerns.
  (b) Activities.--Each program established under subsection 
(a) shall--
          (1) transfer technologies to natural resource-based 
        industries in the United States to make such industries 
        more efficient, productive, and competitive;
          (2) assist businesses to identify global marketing 
        opportunities, conduct business on an international 
        basis, and market themselves more effectively; and
          (3) train local leaders in strategic community 
        economic development.
  (c) Types of Programs.--The Secretary of Agriculture shall 
establish specific programs under subsection (a) to--
          (1) delivery educational services focused on 
        community economic analysis, economic diversification, 
        economic impact analysis, retention and expansion of 
        existing commodity and noncommodity industries, amenity 
        resource and tourism development, and entrepreneurship 
        focusing on forest lands and rural communities;
          (2) use Cooperative Extension System databases and 
        analytical tools to help communities diversify their 
        economic bases, add value locally to raw forest product 
        materials, and retain revenues by helping to develop 
        local businesses and industries to supply forest 
        products locally; and
          (3) use the full resources of the Cooperative 
        Extension System, including land-grant universities and 
        county offices, to promote economic development that is 
        sustainable and environmentally sound.
  (d) Rural Revitalization Technologies.--
          (1) In general.--The Secretary of Agriculture, acting 
        through the Chief of the Forest Service, in 
        consultation with the State and Private Forestry 
        Technology Marketing Unit at the Forest Products 
        Laboratory, and in collaboration with eligible 
        institutions, may carry out a program--
                  (A) to accelerate adoption of technologies 
                using biomass and small-diameter materials;
                  (B) to create community-based enterprises 
                through marketing activities and demonstration 
                projects; and
                  (C) to establish small-scale business 
                enterprises to make use of biomass and small-
                diameter materials.
          (2) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this 
        subsection $5,000,000 for each of fiscal years 2008 
        through [2018] 2023.

           *       *       *       *       *       *       *


                  Subtitle H--Miscellaneous Provisions

SEC. 2381. NATIONAL RURAL INFORMATION CENTER CLEARINGHOUSE.

  (a) Establishment.--The Secretary shall establish, within the 
National Agricultural Library, in coordination with the 
National Institute of Food and Agriculture, a National Rural 
Information Center Clearinghouse (in this section referred to 
as the ``Clearinghouse'') to perform the functions specified in 
subsection (b).
  (b) Functions.--The Clearinghouse shall provide and 
distribute information and data to any industry, organization, 
or Federal, State, or local government entity, on request, 
about programs and services provided by Federal, State, and 
local agencies and private nonprofit organizations and 
institutions under which individuals residing in, or 
organizations and State and local government entities operating 
in, a rural area may be eligible for any kind of assistance, 
including job training, education, health care, and economic 
development assistance, and emotional and financial counseling. 
To the extent possible, the National Agricultural Library shall 
use telecommunications technology to disseminate information to 
rural areas.
  (c) Federal Agencies.--On request of the Secretary, the head 
of a Federal agency shall provide to the Clearinghouse such 
information as the Secretary may request to enable the 
Clearinghouse to carry out subsection (b).
  (d) State and Local Agencies and Nonprofit Organizations.--
The Secretary shall request State and local governments and 
private nonprofit organizations and institutions to provide to 
the Clearinghouse such information as such agencies and 
organizations may have about any program or service of such 
agencies, organizations, and institutions under which 
individuals residing in a rural area may be eligible for any 
kind of assistance, including job training, educational, health 
care, and economic development assistance, and emotional and 
financial counseling.
  (e) Limitation on Authorization of Appropriations.--To carry 
out this section, there are authorized to be appropriated 
$500,000 for each of the fiscal years 1991 through [2018] 2023.

           *       *       *       *       *       *       *


                  TITLE XXV--OTHER RELATED PROVISIONS

SEC. 2501. OUTREACH AND ASSISTANCE FOR SOCIALLY DISADVANTAGED FARMERS 
                    AND RANCHERS AND VETERAN FARMERS AND RANCHERS.

  (a) Outreach and Assistance.--
          (1) Program.--The Secretary of Agriculture shall 
        carry out an outreach and technical assistance program 
        to encourage and assist socially disadvantaged farmers 
        and ranchers and veteran farmers or ranchers--
                  (A) in owning and operating farms and 
                ranches; and
                  (B) in participating equitably in the full 
                range of agricultural programs offered by the 
                Department.
          (2) Requirements.--The outreach and technical 
        assistance program under paragraph (1) shall be used 
        exclusively--
                  (A) to enhance coordination of the outreach, 
                technical assistance, and education efforts 
                authorized under agriculture programs; and
                  (B) to assist the Secretary in--
                          (i) reaching current and prospective 
                        socially disadvantaged farmers or 
                        ranchers and veteran 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.
          (3) Grants and contracts.--
                  (A) In general.--The Secretary may make 
                grants to, and enter into contracts and other 
                agreements with, an eligible entity that has 
                demonstrated an ability to carry out the 
                requirements described in paragraph (2) to 
                provide outreach and technical assistance under 
                this subsection.
                  (B) Relationship to other law.--The authority 
                to carry out this section shall be in addition 
                to any other authority provided in this or any 
                other Act.
                  (C) Other projects.--Notwithstanding 
                paragraph (1), the Secretary may make grants 
                to, and enter into contracts and other 
                agreements with, an organization or institution 
                that received funding under this section before 
                January 1, 1996, to carry out a project that is 
                similar to a project for which the organization 
                or institution received such funding.
                  (D) 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, 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 provided.
                          (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 entities in trying to 
                        increase participation by current and 
                        prospective socially disadvantaged 
                        farmers or ranchers.
          (4) Funding.--
                  (A) Fiscal years 2009 through [2018] 2023.--
                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;
                          (ii) $20,000,000 for each of fiscal 
                        years 2010 through 2012; and
                          (iii) $10,000,000 for each of fiscal 
                        years 2014 through [2018] 2023.
                  (B) Fiscal year 2013.--There is authorized to 
                be appropriated to carry out this section 
                $20,000,000 for fiscal year 2013.
                  (C) Interagency funding.--In addition to 
                funds authorized to be appropriated under 
                subparagraph (A) or (B), any agency of the 
                Department may participate in any grant, 
                contract, or agreement entered into under this 
                subsection by contributing funds, if the agency 
                determined that the objectives of the grant, 
                contract, or agreement will further the 
                authorized programs of the contributing agency.
                  (D) Limitation on use of funds for 
                administrative expenses.--Not more than 5 
                percent of the amounts made available under 
                subparagraph (A) or (B) for a fiscal year may 
                be used for expenses related to administering 
                the program under this section.
                  (E) Priority.--In making grants and entering 
                into contracts and other agreements under this 
                section, the Secretary shall give priority to 
                projects that--
                          (i) deliver agricultural education to 
                        youth under the age of 18 in 
                        underserved and underrepresented 
                        communities;
                          (ii) provide youth under the age of 
                        18 with agricultural employment or 
                        volunteer opportunities, or both; and
                          (iii) demonstrate experience in 
                        providing such education or 
                        opportunities to socially disadvantaged 
                        youth.
                  [(E)] (F) Authorization of appropriations.--
                There are authorized to be appropriated to 
                carry out this section $20,000,000 for each of 
                fiscal years 2014 through [2018] 2023.
  (b) Designation of Federal Personnel.--
          (1) In general.--The Secretary shall designate from 
        existing Federal personnel resources in the county or 
        region a qualified person who shall, in cooperation 
        with the State cooperative extension services, 
        implement the policies and programs established or 
        modified in accordance with this section.
          (2) Additional personnel.--In counties or regions in 
        which the number of socially disadvantaged farmers and 
        ranchers or veteran farmers and ranchers exceeds 25 
        percent of the total number of farmers and ranchers in 
        the county or region, the Secretary shall designate 
        additional personnel to implement the policies and 
        programs established or modified in accordance with 
        this section.
  (c) Report to Congress.--
          (1) In general.--Not later than September 30, 1992, 
        and every two years thereafter, the Secretary shall 
        report to the Committee on Agriculture of the House of 
        Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate, regarding--
                  (A) the efforts of the Secretary to enhance 
                participation by veteran farmers or ranchers 
                and members of socially disadvantaged groups in 
                agricultural programs;
                  (B) the specific participation goals 
                established for each agricultural program;
                  (C) the results achieved for each 
                agricultural program; and
                  (D) the progress of the Department towards 
                meeting each of the purposes described in 
                paragraph (2)(C).
          (2) Contents.--In addition to the information 
        specified in paragraph (1), the report required by 
        paragraph (1) shall include--
                  (A) a comparison of the participation goals 
                and the actual participation rates of veteran 
                farmers or ranchers and members of socially 
                disadvantaged groups in each agricultural 
                program;
                  (B) an analysis and explanation of the 
                reasons for the success or failure of the 
                Secretary to achieve the goals, and the overall 
                purposes of this section;
                  (C) a listing, on a State-by-State and 
                county-by-county basis, of--
                          (i) the amount of funds loaned to 
                        members of socially disadvantaged 
                        groups; and
                          (ii) the amount of funds used to 
                        guarantee loans to members of socially 
                        disadvantaged groups compared to the 
                        total amount of such guarantees;
                  (D) a breakdown in allocation of crop base in 
                each program crop compared to the target 
                participation rates established pursuant to 
                sections 355(a)(1) and 355(c) of the 
                Consolidated Farm and Rural Development Act (7 
                U.S.C. 2003(a)(1)), on a State-by-State and 
                county-by-county basis; and
                  (E) a review and analysis of participation by 
                members of socially disadvantaged groups, 
                compared to participation by all others, in 
                agricultural programs, on a State-by-State and 
                county-by-county basis, including a survey 
                representative of all farmers and ranchers, 
                including socially disadvantaged farmers and 
                ranchers, to identify reasons for participation 
                and nonparticipation in agricultural programs.
  (d) Affirmative Action, Appeals, and Contracting Review.--
          (1) Purpose.--It is the purpose of this subsection to 
        direct the Secretary to analyze within the Department 
        the design and implementation of affirmative action 
        programs and policies, the appeals process for 
        complaints of discrimination, and contracting and 
        purchasing practices employed by the Department.
          (2) Scope.--The study shall include--
                  (A) an assessment of the successes and 
                failures of these affirmative action programs 
                and policies;
                  (B) a review of the reasons for the successes 
                and failures described in subparagraph (A);
                  (C) a review of procurement, contracting, and 
                purchasing policies of the Department, the 
                level of participation of socially 
                disadvantaged businesses in such activities, 
                and the impact of those policies on the 
                participation of members of socially 
                disadvantaged groups in such contracting with 
                the Department;
                  (D) a review of the reasons for participation 
                or lack of participation of businesses owned by 
                members of socially disadvantaged groups in the 
                activities described in subparagraph (C); and
                  (E) a review of the appeals process for all 
                complaints or allegations regarding acts, 
                practices, or patterns of discrimination filed 
                with the Department by individuals or any other 
                entities that shall include--
                          (i) the number of complaints or 
                        allegations regarding acts, practices, 
                        or patterns of discrimination;
                          (ii) the manner in which the 
                        complaints were investigated and 
                        resolved by the Department; and
                          (iii) the longest, shortest, and 
                        average periods of time taken to 
                        investigate and resolve the complaints 
                        or allegations regarding acts, 
                        practices, or patterns of 
                        discrimination.
          (3) Report.--Not later than November 28, 1991, 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 containing the information 
        described in paragraph (2).
  (e) Definitions.--
          (1) Socially disadvantaged group.--As used in this 
        section, the term ``socially disadvantaged group'' 
        means a group whose members have been subjected to 
        racial or ethnic prejudice because of their identity as 
        members of a group without regard to their individual 
        qualities.
          (2) Socially disadvantaged farmer or rancher.--As 
        used in this section, the term ``socially disadvantaged 
        farmer or rancher'' means a farmer or rancher who is a 
        member of a socially disadvantaged group.
          (3) Agriculture programs.--As used in this section, 
        the term ``agriculture programs'' are those established 
        or authorized by--
                  (A) the Agricultural Act of 1949;
                  (B) the Consolidated Farm and Rural 
                Development Act;
                  (C) the Agricultural Adjustment Act of 1938;
                  (D) the Soil Conservation Act;
                  (E) the Domestic Allotment Assistance Act;
                  (F) the Food Security Act of 1985; and
                  (G) other such Acts as the Secretary deems 
                appropriate.
          (4) Department.--The term ``Department'' means the 
        Department of Agriculture.
          (5) Eligible entity.--The term ``eligible entity'' 
        means any of the following:
                  (A) Any community-based organization, 
                network, or coalition of community-based 
                organizations that--
                          (i) has demonstrated experience in 
                        providing agricultural education or 
                        other agriculturally related services 
                        to socially disadvantaged farmers and 
                        ranchers and veteran farmers or 
                        ranchers;
                          (ii) has provided to the Secretary 
                        documentary evidence of work with, and 
                        on behalf of, socially disadvantaged 
                        farmers or ranchers and veteran farmers 
                        or ranchers during the 3-year period 
                        preceding the submission of an 
                        application for assistance under 
                        subsection (a); and
                          (iii) does not engage in activities 
                        prohibited under section 501(c)(3) of 
                        the Internal Revenue Code of 1986.
                  (B) An 1890 institution or 1994 institution 
                (as defined in section 2 of the Agricultural 
                Research, Extension, and Education Reform Act 
                of 1998 (7 U.S.C. 7601)), including West 
                Virginia State College.
                  (C) An Indian tribal community college or an 
                Alaska Native cooperative college.
                  (D) An Hispanic-serving institution (as 
                defined in section 1404 of the National 
                Agricultural Research, Extension, and Teaching 
                Policy Act of 1977 (7 U.S.C. 3103)).
                  (E) Any other institution of higher education 
                (as defined in section 101 of the Higher 
                Education Act of 1965 (20 U.S.C. 1001)) that 
                has demonstrated experience in providing 
                agriculture education or other agriculturally 
                related services to socially disadvantaged 
                farmers and ranchers in a region.
                  (F) An Indian tribe (as defined in section 4 
                of the Indian Self-Determination and Education 
                Assistance Act (25 U.S.C. 450b)) or a national 
                tribal organization that has demonstrated 
                experience in providing agriculture education 
                or other agriculturally related services to 
                socially disadvantaged farmers and ranchers in 
                a region.
                  (G) An organization or institution that 
                received funding under subsection (a) before 
                January 1, 1996, but only with respect to 
                projects that the Secretary considers are 
                similar to projects previously carried out by 
                the organization or institution under such 
                subsection.
          (6) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.
          (7) Veteran farmer or rancher.--The term ``veteran 
        farmer or rancher'' means a farmer or rancher who has 
        served in the Armed Forces (as defined in section 
        101(10) of title 38 United States Code) and who--
                  (A) has not operated a farm or ranch; or
                  (B) has operated a farm or ranch for not more 
                than 10 years.
  (f)
  (g) Reservations.--
          (1) Consolidated suboffice.--The Secretary shall 
        require the Farm Service Agency and Natural Resources 
        Conservation Service, and such other offices and 
        functions the Secretary may choose to include where 
        there has been a need demonstrated, in each county that 
        has a reservation within its borders, to establish a 
        consolidated suboffice at the tribal headquarters of 
        said reservation and to staff said suboffice as needed, 
        using existing staff, but no less than one day a week 
        or under such other arrangement agreed to by the tribe 
        and the Department offices.
          (2) Cooperative agreements.--For those reservations 
        that are located in more than one county, the 
        Secretary, the relevant county offices and the tribe 
        shall enter into a cooperative agreement to provide the 
        services required by paragraph (1) that avoids 
        duplication of effort.
  (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 production.
  (i) Socially Disadvantaged Farmers and Ranchers Policy 
Research Center.--The Secretary shall award a grant to a 
college or university eligible to receive funds under the Act 
of August 30, 1890 (7 U.S.C. 321 et seq.), including Tuskegee 
University, to establish a policy research center to be known 
as the ``Socially Disadvantaged Farmers and Ranchers Policy 
Research Center'' for the purpose of developing policy 
recommendations for the protection and promotion of the 
interests of socially disadvantaged farmers and ranchers.

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                              ----------                              


                   AGRICULTURAL MARKETING ACT OF 1946

TITLE II

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Subtitle A--General Provisions

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SEC. 210. NATIONAL SHEEP INDUSTRY IMPROVEMENT CENTER.

  (a) Definitions.--In this section:
          (1) Board.--The term ``Board'' means the Board of 
        Directors established under subsection (f).
          (2) Center.--The term ``Center'' means the National 
        Sheep Industry Improvement Center established under 
        subsection (b).
          (3) Eligible entity.--The term ``eligible entity'' 
        means an entity that promotes the betterment of the 
        United States sheep or goat industries and that is--
                  (A) a public, private, or cooperative 
                organization;
                  (B) an association, including a corporation 
                not operated for profit;
                  (C) a federally recognized Indian Tribe; or
                  (D) a public or quasi-public agency.
          (4) Fund.--The term ``Fund'' means the National Sheep 
        Industry Improvement Center Revolving Fund established 
        under subsection (e).
          (5) Intermediary.--The term ``intermediary'' means a 
        financial institution receiving Center funds for 
        establishing a revolving fund and relending to an 
        eligible entity.
  (b) Establishment of Center.--The Secretary shall establish a 
National Sheep Industry Improvement Center.
  (c) Purposes.--The purposes of the Center shall be to--
          (1) promote strategic development activities and 
        collaborative efforts by private and State entities to 
        maximize the impact of Federal assistance to strengthen 
        and enhance production and marketing of sheep or goat 
        products in the United States;
          (2) optimize the use of available human capital and 
        resources within the sheep or goat industries;
          (3) provide assistance to meet the needs of the sheep 
        or goat industry for infrastructure development, 
        business development, production, resource development, 
        and market and environmental research;
          (4) advance activities that empower and build the 
        capacity of the United States sheep or goat industry to 
        design unique responses to the special needs of the 
        sheep or goat industries on both a regional and 
        national basis; and
          (5) adopt flexible and innovative approaches to 
        solving the long-term needs of the United States sheep 
        or goat industry.
  (d) Strategic Plan.--
          (1) In general.--The Center shall submit to the 
        Secretary an annual strategic plan for the delivery of 
        financial assistance provided by the Center.
          (2) Requirements.--A strategic plan shall identify--
                  (A) goals, methods, and a benchmark for 
                measuring the success of carrying out the plan 
                and how the plan relates to the national and 
                regional goals of the Center;
                  (B) the amount and sources of Federal and 
                non-Federal funds that are available for 
                carrying out the plan;
                  (C) funding priorities;
                  (D) selection criteria for funding; and
                  (E) a method of distributing funding.
  (e) Revolving Fund.--
          (1) Establishment.--There is established in the 
        Treasury the National Sheep Industry Improvement Center 
        Revolving Fund. The Fund shall be available to the 
        Center, without fiscal year limitation, to carry out 
        the authorized programs and activities of the Center 
        under this section.
          (2) Contents of fund.--There shall be deposited in 
        the Fund--
                  (A) such amounts as may be appropriated, 
                transferred, or otherwise made available to 
                support programs and activities of the Center;
                  (B) payments received from any source for 
                products, services, or property furnished in 
                connection with the activities of the Center;
                  (C) fees and royalties collected by the 
                Center from licensing or other arrangements 
                relating to commercialization of products 
                developed through projects funded, in whole or 
                part, by grants, contracts, or cooperative 
                agreements executed by the Center;
                  (D) proceeds from the sale of assets, loans, 
                and equity interests made in furtherance of the 
                purposes of the Center;
                  (E) donations or contributions accepted by 
                the Center to support authorized programs and 
                activities; and
                  (F) any other funds acquired by the Center.
          (3) Use of fund.--
                  (A) In general.--The Center may use amounts 
                in the Fund to make direct loans, loan 
                guarantees, cooperative agreements, equity 
                interests, investments, repayable grants, and 
                grants to eligible entities, either directly or 
                through an intermediary, in accordance with a 
                strategic plan submitted under subsection (d).
                  (B) Continued existence.--The Center shall 
                manage the Fund in a manner that ensures that 
                sufficient amounts are available in the Fund to 
                carry out subsection (c). The Fund is intended 
                to furnish the initial capital for a revolving 
                fund that will eventually be privatized for the 
                purposes of assisting the United States sheep 
                and goat industries.
                  (C) Diverse area.--The Center shall, to the 
                maximum extent practicable, use the Fund to 
                serve broad geographic areas and regions of 
                diverse production.
                  (D) Administration.--The Center may not use 
                more than 10 percent of the amounts in the 
                portfolio of the Center for each fiscal year 
                for the administration of the Center. The 
                portfolio shall be calculated at the beginning 
                of each fiscal year and shall include a total 
                of--
                          (i) all outstanding loan balances;
                          (ii) the Fund balance;
                          (iii) the outstanding balance to 
                        intermediaries; and
                          (iv) the amount the Center paid for 
                        all equity interests.
                  (E) Influencing legislation.--None of the 
                amounts in the Fund may be used to influence 
                legislation.
                  (F) Accounting.--To be eligible to receive 
                amounts from the Fund, an entity must agree to 
                account for the amounts using generally 
                accepted accounting principles.
                  (G) Uses of fund.--The Center may use amounts 
                in the Fund to--
                          (i) participate with Federal and 
                        State agencies in financing activities 
                        that are in accordance with a strategic 
                        plan submitted under subsection (d), 
                        including participation with several 
                        States in a regional effort;
                          (ii) participate with other public 
                        and private funding sources in 
                        financing activities that are in 
                        accordance with the strategic plan, 
                        including participation in a regional 
                        effort;
                          (iii) provide security for, or make 
                        principal or interest payments on, 
                        revenue or general obligation bonds 
                        issued by a State, if the proceeds from 
                        the sale of the bonds are deposited in 
                        the Fund;
                          (iv) accrue interest;
                          (v) guarantee or purchase insurance 
                        for local obligations to improve credit 
                        market access or reduce interest rates 
                        for a project that is in accordance 
                        with the strategic plan;
                          (vi) sell assets, loans, and equity 
                        interests acquired in connection with 
                        the financing of projects funded by the 
                        Center; or
                          (vii) purchase equity interests.
          (4) Loans.--
                  (A) Rate.--A loan from the Fund may be made 
                at an interest rate that is below the market 
                rate or may be interest free.
                  (B) Term.--The term of a loan may not exceed 
                the shorter of--
                          (i) the useful life of the activity 
                        financed; or
                          (ii) 40 years.
                  (C) Source of repayment.--The Center may not 
                make a loan from the Fund unless the recipient 
                establishes an assured source of repayment.
                  (D) Proceeds.--All payments of principal and 
                interest on a loan made from the Fund shall be 
                deposited into the Fund.
          (5) Maintenance of effort.--The Center shall use the 
        Fund only to supplement and not to supplant Federal, 
        State, and private funds expended for rural 
        development.
  (f) Board of Directors.--
          (1) In general.--The management of the Center shall 
        be vested in a Board of Directors.
          (2) Powers.--The Board shall--
                  (A) be responsible for the general 
                supervision of the Center;
                  (B) review any contract, direct loan, loan 
                guarantee, cooperative agreement, equity 
                interest, investment, repayable grant, and 
                grant to be made or entered into by the Center 
                and any financial assistance provided to the 
                Center;
                  (C) make the final decision, by majority 
                vote, on whether and how to provide assistance 
                to an applicant; and
                  (D) develop and establish a budget plan and a 
                long-term operating plan to carry out the goals 
                of the Center.
          (3) Composition.--The Board shall be composed of--
                  (A) 7 voting members, of whom--
                          (i) 4 members shall be active 
                        producers of sheep or goats in the 
                        United States;
                          (ii) 2 members shall have expertise 
                        in finance and management; and
                          (iii) 1 member shall have expertise 
                        in lamb, wool, goat, or goat product 
                        marketing; and
                  (B) 2 nonvoting members, of whom--
                          (i) 1 member shall be the Under 
                        Secretary of Agriculture for Rural 
                        Development (or other official 
                        designated by the Secretary of 
                        Agriculture); and
                          (ii) 1 member shall be the Under 
                        Secretary of Agriculture for Research, 
                        Education, and Economics.
          (4) Nomination.--
                  (A) Nominating body.--The Secretary shall 
                appoint the voting members of the Board from 
                nominations submitted by organizations 
                described in subparagraph (B).
                  (B) National organizations.--A national 
                organization is described in this subparagraph 
                if the organization--
                          (i) consists primarily of active 
                        sheep or goat producers in the United 
                        States; and
                          (ii) has as the primary interest of 
                        the organization the production of 
                        sheep or goats in the United States.
          (5) Term of office.--
                  (A) In general.--Subject to subparagraph (B), 
                the term of office of a voting member of the 
                Board shall be 3 years.
                  (B) Staggered initial terms.--The initial 
                voting members of the Board (other than the 
                chairperson of the initially established Board) 
                shall serve for staggered terms of 1, 2, and 3 
                years, as determined by the Secretary.
                  (C) Reappointment.--A voting member may be 
                reappointed for not more than one additional 
                term.
          (6) Vacancy.--
                  (A) In general.--A vacancy on the Board shall 
                be filled in the same manner as the original 
                Board.
                  (B) Reappointment.--A voting member appointed 
                to fill a vacancy for an unexpired term may be 
                reappointed for one full term.
          (7) Chairperson.--
                  (A) In general.--The Board shall select a 
                chairperson from among the voting members of 
                the Board.
                  (B) Term.--The term of office of the 
                chairperson shall be 2 years.
          (8) Annual meeting.--
                  (A) In general.--The Board shall meet not 
                less than once each fiscal year at the call of 
                the chairperson or at the request of the 
                executive director appointed under subsection 
                (g)(1).
                  (B) Location.--The location of a meeting of 
                the Board shall be established by the Board.
          (9) Voting.--
                  (A) Quorum.--A quorum of the Board shall 
                consist of a majority of the voting members.
                  (B) Majority vote.--A decision of the Board 
                shall be made by a majority of the voting 
                members of the Board.
          (10) Conflicts of interest.--
                  (A) In general.--Except as provided in 
                subparagraph (D), a member of the Board shall 
                not vote on any matter respecting any 
                application, contract, claim, or other 
                particular matter pending before the Board in 
                which, to the knowledge of the member, an 
                interest is held by--
                          (i) the member;
                          (ii) any spouse of the member;
                          (iii) any child of the member;
                          (iv) any partner of the member;
                          (v) any organization in which the 
                        member is serving as an officer, 
                        director, trustee, partner, or 
                        employee; or
                          (vi) any person with whom the member 
                        is negotiating or has any arrangement 
                        concerning prospective employment or 
                        with whom the member has a financial 
                        interest.
                  (B) Removal.--Any action by a member of the 
                Board that violates subparagraph (A) shall be 
                cause for removal from the Board.
                  (C) Validity of action.--An action by a 
                member of the Board that violates subparagraph 
                (A) shall not impair or otherwise affect the 
                validity of any otherwise lawful action by the 
                Board.
                  (D) Disclosure.--
                          (i) In general.--If a member of the 
                        Board makes a full disclosure of an 
                        interest and, prior to any 
                        participation by the member, the Board 
                        determines, by majority vote, that the 
                        interest is too remote or too 
                        inconsequential to affect the integrity 
                        of any participation by the member, the 
                        member may participate in the matter 
                        relating to the interest, except as 
                        provided in subparagraph (E)(iii).
                          (ii) Vote.--A member that discloses 
                        an interest under clause (i) shall not 
                        vote on a determination of whether the 
                        member may participate in the matter 
                        relating to the interest.
                  (E) Remands.--
                          (i) In general.--The Secretary may 
                        vacate and remand to the Board for 
                        reconsideration any decision made 
                        pursuant to subsection (e)(3)(H) if the 
                        Secretary determines that there has 
                        been a violation of this paragraph or 
                        any conflict of interest provision of 
                        the bylaws of the Board with respect to 
                        the decision.
                          (ii) Reasons.--In the case of any 
                        violation and remand of a funding 
                        decision to the Board under clause (i), 
                        the Secretary shall inform the Board of 
                        the reasons for the remand.
                          (iii) Conflicted members not to vote 
                        on remanded decisions.--If a decision 
                        with respect to a matter is remanded to 
                        the Board by reason of a conflict of 
                        interest faced by a Board member, the 
                        member may not participate in any 
                        subsequent decision with respect to the 
                        matter.
          (11) Compensation.--
                  (A) In general.--A member of the Board shall 
                not receive any compensation by reason of 
                service on the Board.
                  (B) Expenses.--A member of the Board shall be 
                reimbursed for travel, subsistence, and other 
                necessary expenses incurred by the member in 
                the performance of a duty of the member.
          (12) Bylaws.--The Board shall adopt, and may from 
        time to time amend, any bylaw that is necessary for the 
        proper management and functioning of the Center.
          (13) Public hearings.--Not later than 1 year after 
        the date of enactment of this section, the Board shall 
        hold public hearings on policy objectives of the 
        program established under this section.
          (14) Organizational system.--The Board shall provide 
        a system of organization to fix responsibility and 
        promote efficiency in carrying out the functions of the 
        Board.
          (15) Use of department of agriculture.--The Board 
        may, with the consent of the Secretary, utilize the 
        facilities of and the services of employees of the 
        Department of Agriculture, without cost to the Center.
  (g) Officers and Employees.--
          (1) Executive director.--
                  (A) In general.--The Board shall appoint an 
                executive director to be the chief executive 
                officer of the Center.
                  (B) Tenure.--The executive director shall 
                serve at the pleasure of the Board.
                  (C) Compensation.--Compensation for the 
                executive director shall be established by the 
                Board.
          (2) Other officers and employees.--The Board may 
        select and appoint officers, attorneys, employees, and 
        agents who shall be vested with such powers and duties 
        as the Board may determine.
          (3) Delegation.--The Board may, by resolution, 
        delegate to the chairperson, the executive director, or 
        any other officer or employee any function, power, or 
        duty of the Board other than voting on a grant, loan, 
        contract, agreement, budget, or annual strategic plan.
  (h) Consultation.--To carry out this section, the Board may 
consult with--
          (1) State departments of agriculture;
          (2) Federal departments and agencies;
          (3) nonprofit development corporations;
          (4) colleges and universities;
          (5) banking and other credit-related agencies;
          (6) agriculture and agribusiness organizations; and
          (7) regional planning and development organizations.
  (i) Oversight.--
          (1) In general.--The Secretary shall review and 
        monitor compliance by the Board and the Center with 
        this section.
          (2) Sanctions.--If, following notice and opportunity 
        for a hearing, the Secretary finds that the Board or 
        the Center is not in compliance with this section, the 
        Secretary may--
                  (A) cease making deposits to the Fund;
                  (B) suspend the authority of the Center to 
                withdraw funds from the Fund; or
                  (C) impose other appropriate sanctions, 
                including recoupment of money improperly 
                expended for purposes prohibited or not 
                authorized by this Act and disqualification 
                from receipt of financial assistance under this 
                section.
          (3) Rescission of sanctions.--The Secretary shall 
        rescind sanctions imposed under paragraph (2) on a 
        finding by the Secretary that there is no longer any 
        failure by the Board or the Center to comply with this 
        section or that the noncompliance will be promptly 
        corrected.

           *       *       *       *       *       *       *


Subtitle D--Country of Origin Labeling

           *       *       *       *       *       *       *


SEC. 282. NOTICE OF COUNTRY OF ORIGIN.

  (a) In General.--
          (1) Requirement.--Except as provided in subsection 
        (b), a retailer of a covered commodity shall inform 
        consumers, at the final point of sale of the covered 
        commodity to consumers, of the country of origin of the 
        covered commodity.
          (2) Designation of country of origin for lamb, 
        chicken, goat, and venison meat.--
                  (A) United states country of origin.--A 
                retailer of a covered commodity that is lamb, 
                chicken, goat, or venison 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 commodity that is lamb, 
                        chicken, goat, or venison meat that is 
                        derived from an animal that is--
                                  (I) not exclusively born, 
                                raised, and slaughtered 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 lamb, 
                chicken, goat, or venison 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 lamb, chicken, 
                goat, or venison meat that is derived from an 
                animal that is not born, raised, or slaughtered 
                in the United States shall designate a country 
                other than the United States as the country of 
                origin of such commodity.
                  (E) Ground lamb, chicken, goat, and 
                venison.--The notice of country of origin for 
                ground lamb, ground chicken, ground goat, or 
                ground venison shall include--
                          (i) a list of all countries of origin 
                        of such ground lamb, ground chicken, 
                        ground goat, or ground venison; or
                          (ii) a list of all reasonably 
                        possible countries of origin of such 
                        ground lamb, ground chicken, ground 
                        goat, or ground venison.
          (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 
                                documented 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, peanut, 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 macadamia nut 
                produced exclusively in the United States, 
                designation 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.
  (b) Exemption for Food Service Establishments.--Subsection 
(a) shall not apply to a covered commodity if the covered 
commodity is--
          (1) prepared or served in a food service 
        establishment; and
          (2)(A) offered for sale or sold at the food service 
        establishment in normal retail quantities; or
          (B) served to consumers at the food service 
        establishment.
  (c) Method of Notification.--
          (1) In general.--The information required by 
        subsection (a) may be provided to consumers by means of 
        a label, stamp, mark, placard, or other clear and 
        visible sign on the covered commodity or on the 
        package, display, holding unit, or bin containing the 
        commodity at the final point of sale to consumers.
          (2) Labeled commodities.--If the covered commodity is 
        already individually labeled for retail sale regarding 
        country of origin, the retailer shall not be required 
        to provide any additional information to comply with 
        this section.
  (d) Audit Verification System.--
          (1) In general.--The Secretary may conduct an audit 
        of any person that prepares, stores, handles, or 
        distributes a covered commodity for retail sale to 
        verify compliance with this subtitle (including the 
        regulations promulgated under section 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 commodity 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 person.
  (e) Information.--Any person engaged in the business of 
supplying a covered commodity to a retailer shall provide 
information to the retailer indicating the country of origin of 
the covered commodity.
  (f) Certification of Origin.--
          (1) Mandatory identification.--The Secretary shall 
        not use a mandatory identification system to verify the 
        country of origin of a covered commodity.
          (2) Existing certification programs.--To certify the 
        country of origin of a covered commodity, the Secretary 
        may use as a model certification programs in existence 
        on the date of enactment of this Act, including--
                  (A) the carcass grading and certification 
                system carried out under this Act;
                  (B) the origin verification system 
                established to carry out the child and adult 
                care food program established under section 17 
                of the Richard B. Russell National School Lunch 
                Act (42 U.S.C. 1766); or
                  (C) the origin verification system 
                established to carry out the market access 
                program under [section 203 of the Agricultural 
                Trade Act of 1978 (7 U.S.C. 5623)] section 205 
                of the Agricultural Trade Act of 1978.

           *       *       *       *       *       *       *

                              ----------                              


                  BILL EMERSON HUMANITARIAN TRUST ACT

TITLE III--BILL EMERSON HUMANITARIAN TRUST

           *       *       *       *       *       *       *


SEC. 302. ESTABLISHMENT OF COMMODITY TRUST.

  (a) In General.--To provide for a trust solely to meet 
emergency humanitarian food needs in developing countries, the 
Secretary of Agriculture (referred to in this title as the 
``Secretary'') shall establish and maintain a trust of wheat, 
rice, corn, or sorghum, any combination of the commodities, or 
funds for use as described in subsection (c).
  (b) Commodities or Funds in Trust.--
          (1) In general.--The trust established under this 
        section shall consist of--
                  (A) wheat in the reserve established under 
                the Food Security Wheat Reserve Act of 1980 as 
                of the date of enactment of the Federal 
                Agriculture Improvement and Reform Act of 1996;
                  (B) wheat, rice, corn, and sorghum (referred 
                to in this section as ``eligible commodities'') 
                acquired in accordance with paragraph (2) to 
                replenish eligible commodities released from 
                the trust, including wheat to replenish wheat 
                released from the reserve established under the 
                Food Security Wheat Reserve Act of 1980 but not 
                replenished as of the date of enactment of the 
                Federal Agriculture Improvement and Reform Act 
                of 1996;
                  (C) such rice, corn, and sorghum as the 
                Secretary may, at such time and in such manner 
                as the Secretary determines appropriate, 
                acquire as a result of exchanging an equivalent 
                value of wheat in the trust established under 
                this section; and
                  (D) funds made available--
                          (i) under paragraph (2)(B);
                          (ii) as a result of an exchange of 
                        any commodity held in the trust for an 
                        equivalent amount of funds from the 
                        market, if the Secretary determines 
                        that such a sale of the commodity on 
                        the market will not unduly disrupt 
                        domestic markets; or
                          (iii) to maximize the value of the 
                        trust, in accordance with subsection 
                        (d)(3).
          (2) Replenishment of trust.--
                  (A) In general.--Subject to subsection (h), 
                commodities of equivalent value to eligible 
                commodities in the trust established under this 
                section may be acquired--
                          (i) through purchases--
                                  (I) from producers; or
                                  (II) in the market, if the 
                                Secretary determines that the 
                                purchases will not unduly 
                                disrupt the market; or
                          (ii) by designation by the Secretary 
                        of stocks of eligible commodities of 
                        the Commodity Credit Corporation.
                  (B) Funds.--Any funds used to acquire 
                eligible commodities through purchases from 
                producers or in the market to replenish the 
                trust shall be derived--
                          (i) with respect to fiscal years 2000 
                        through [2018] 2023 from funds made 
                        available to carry out the Food for 
                        Peace Act (7 U.S.C. 1691 et seq.) that 
                        are used to repay or reimburse the 
                        Commodity Credit Corporation for the 
                        release of eligible commodities under 
                        subsections (c)(1) and (f)(2), except 
                        that, of such funds, not more than 
                        $20,000,000 may be expended for this 
                        purpose in each of the fiscal years 
                        2000 through [2018] 2023;
                          (ii) from funds authorized for that 
                        use by an appropriations Act; or
                          (iii) from funds accrued through the 
                        management of the trust under 
                        subsection (d).
  (c) Release of Eligible Commodities.--
          (1) Releases for emergency assistance.--
                  (A) Definition of emergency.--
                          (i) In general.--In this paragraph, 
                        the term ``emergency'' means an urgent 
                        situation--
                                  (I) in which there is clear 
                                evidence that an event or 
                                series of events described in 
                                clause (ii) has occurred--
                                          (aa) that causes 
                                        human suffering; and
                                          (bb) for which a 
                                        government concerned 
                                        has not chosen, or has 
                                        not the means, to 
                                        remedy; or
                                  (II) created by a 
                                demonstrably abnormal event or 
                                series of events that produces 
                                dislocation in the lives of 
                                residents of a country or 
                                region of a country on an 
                                exceptional scale.
                          (ii) Event or series of events.--An 
                        event or series of events referred to 
                        in clause (i) includes 1 or more of--
                                  (I) a sudden calamity, such 
                                as an earthquake, flood, locust 
                                infestation, or similar 
                                unforeseen disaster;
                                  (II) a human-made emergency 
                                resulting in--
                                          (aa) a significant 
                                        influx of refugees;
                                          (bb) the internal 
                                        displacement of 
                                        populations; or
                                          (cc) the suffering of 
                                        otherwise affected 
                                        populations;
                                  (III) food scarcity 
                                conditions caused by slow-onset 
                                events, such as drought, crop 
                                failure, pest infestation, and 
                                disease, that result in an 
                                erosion of the ability of 
                                communities and vulnerable 
                                populations to meet food needs; 
                                and
                                  (IV) severe food access or 
                                availability conditions 
                                resulting from sudden economic 
                                shocks, market failure, or 
                                economic collapse, that result 
                                in an erosion of the ability of 
                                communities and vulnerable 
                                populations to meet food needs.
                  (B) Releases.--
                          (i) In general.--Any funds or 
                        commodities held in the trust may be 
                        released to provide food, and cover any 
                        associated costs, under title II of the 
                        Food for Peace Act (7 U.S.C. 1721 et 
                        seq.)--
                                  (I) to assist in averting an 
                                emergency, including during the 
                                period immediately preceding 
                                the emergency;
                                  (II) to respond to an 
                                emergency; or
                                  (III) for recovery and 
                                rehabilitation after an 
                                emergency.
                          (ii) Procedure.--A release under 
                        clause (i) shall be carried out in the 
                        same manner, and pursuant to the same 
                        authority as provided in title II of 
                        that Act.
                  (C) Insufficiency of other funds.--The funds 
                and commodities held in the trust shall be made 
                immediately available on a determination by the 
                Administrator that funds available for 
                emergency needs under title II of that Act (7 
                U.S.C. 1721 et seq.) for a fiscal year are 
                insufficient to meet emergency needs during the 
                fiscal year.
                  (D) Waiver relating to minimum tonnage 
                requirements.--Nothing in this paragraph 
                requires a waiver by the Administrator of the 
                Agency for International Development under 
                section 204(a)(3) of the Food for Peace Act (7 
                U.S.C. 1724(a)(3)) as a condition for a release 
                of funds or commodities under subparagraph (B).
          (2) Processing of eligible commodities.--Eligible 
        commodities that are released from the trust 
        established under this section may be processed in the 
        United States and shipped to a developing country when 
        conditions in the recipient country require processing.
          (3) Exchange.--The Secretary may exchange an eligible 
        commodity for another United States commodity of equal 
        value, including powdered milk, pulses, and vegetable 
        oil.
          (4) Use of normal commercial practices.--To the 
        maximum extent practicable consistent with the 
        fulfillment of the purposes of this section and the 
        effective and efficient administration of this section, 
        the Secretary shall use the usual and customary 
        channels, facilities, arrangements, and practices of 
        trade and commerce to carry out this subsection.
  (d) Management of Trust.--
          (1) In general.--The Secretary shall provide for the 
        management of eligible commodities and funds held in 
        the trust in a manner that is consistent with 
        maximizing the value of the trust, as determined by the 
        Secretary.
          (2) Eligible commodities.--The Secretary shall 
        provide--
                  (A) for the management of eligible 
                commodities in the trust established under this 
                section as to location and quality of eligible 
                commodities needed to meet emergency 
                situations;
                  (B) for the periodic rotation or replacement 
                of stocks of eligible commodities in the trust 
                to avoid spoilage and deterioration of the 
                commodities;
                  (C) subject to the need for release of 
                commodities from the trust under subsection 
                (c)(1), for the management of the trust to 
                preserve the value of the trust through 
                acquisitions under subsection (b)(2); and
          (3) Funds.--
                  (A) Exchanges.--If any commodity held in the 
                trust is exchanged for funds under subsection 
                (b)(1)(D)(ii), the funds shall be held in the 
                trust until the date on which the funds are 
                released in the case of an emergency under 
                subsection (c).
                  (B) Investment.--The Secretary may invest 
                funds held in the trust in any short-term 
                obligation of the United States or any other 
                low-risk short-term instrument or security 
                insured by the Federal Government in which a 
                regulated insurance company may invest under 
                the laws of the District of Columbia.
  (e) Treatment of Trust Under Other Law.--Eligible commodities 
in the trust established under this section shall not be--
          (1) considered a part of the total domestic supply 
        (including carryover) for the purpose of subsection (c) 
        or for the purpose of administering the Food for Peace 
        Act (7 U.S.C. 1691 et seq.); and
          (2) subject to any quantitative limitation on exports 
        that may be imposed under section 7 of the Export 
        Administration Act of 1979 (50 U.S.C. App. 2406).
  (f) Use of Commodity Credit Corporation.--
          (1) In general.--Subject to the limitations provided 
        in this section, the funds, facilities, and authorities 
        of the Commodity Credit Corporation shall be used by 
        the Secretary in carrying out this section, except that 
        any restriction applicable to the acquisition, storage, 
        or disposition of eligible commodities owned or 
        controlled by the Commodity Credit Corporation shall 
        not apply.
          (2) Reimbursement of the trust.--
                  (A) In general.--The Commodity Credit 
                Corporation shall be reimbursed for the release 
                of eligible commodities from funds made 
                available to carry out the Food for Peace Act 
                (7 U.S.C. 1691 et seq.) and the funds shall be 
                available to replenish the trust under 
                subsection (b).
                  (B) Basis for reimbursement.--The 
                reimbursement shall be made on the basis of the 
                lesser of--
                          (i) the actual costs incurred by the 
                        Commodity Credit Corporation with 
                        respect to the eligible commodity; or
                          (ii) the export market price of the 
                        eligible commodity (as determined by 
                        the Secretary) as of the time the 
                        eligible commodity is released from the 
                        trust.
                  (C) Source of funds.--The reimbursement may 
                be made from funds appropriated for subsequent 
                fiscal years.
  (g) Finality of Determination.--Any determination by the 
Secretary under this section shall be final.
  (h) Termination of Authority.--
          (1) In general.--The authority to replenish stocks of 
        eligible commodities to maintain the trust established 
        under this section shall terminate on September 30, 
        [2018] 2023.
          (2) Disposal of eligible commodities.--Eligible 
        commodities remaining in the trust after September 30, 
        [2018] 2023, shall be disposed of by release for use in 
        providing for emergency humanitarian food needs in 
        developing countries as provided in this section.
                              ----------                              


 NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING POLICY ACT OF 
                                  1977



           *       *       *       *       *       *       *
  TITLE XIV--NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING 
POLICY ACT OF 1977

           *       *       *       *       *       *       *


            Subtitle A--Findings, Purposes, and Definitions

SEC. 1402. PURPOSES OF AGRICULTURAL RESEARCH, EXTENSION, AND EDUCATION.

   The purposes of federally supported agricultural research, 
extension, and education are to--
          (1) enhance the competitiveness of the United States 
        agriculture and food industry in an increasingly 
        competitive world environment;
          (2) increase the long-term productivity of the United 
        States agriculture and food industry while maintaining 
        and enhancing the natural resource base on which rural 
        America and the United States agricultural economy 
        depend;
          (3) develop new uses and new products for 
        agricultural commodities, such as alternative fuels, 
        and develop new crops;
          (4) support agricultural research and extension to 
        promote economic opportunity in rural communities and 
        to meet the increasing demand for information and 
        technology transfer throughout the United States 
        agriculture industry;
          (5) improve risk management in the United States 
        agriculture industry;
          (6) improve the safe production and processing of, 
        and adding of value to, United States food and fiber 
        resources using methods that maintain the balance 
        between yield and environmental soundness;
          (7) support higher education in agriculture to give 
        the next generation of Americans the knowledge, 
        technology, and applications necessary to enhance the 
        competitiveness of United States agriculture; [and]
          (8) maintain an adequate, nutritious, and safe supply 
        of food to meet human nutritional needs and 
        requirements[.]; and
          (9) support international scientific collaboration 
        that leverages resources and advances the food and 
        agricultural interests of the United States.

           *       *       *       *       *       *       *


                              definitions

  Sec. 1404. When used in this title:
          (1) The term ``Advisory Board'' means the National 
        Agricultural Research, Extension, Education, and 
        Economics Advisory Board.
          (2) The term ``agricultural research'' means research 
        in the food and agricultural sciences.
          (3) The term ``aquaculture'' means the propagation 
        and rearing of aquacultural species, including, but not 
        limited to, any species of finfish, mollusk, or 
        crustacean (or other aquatic invertebrate), amphibian, 
        reptile, ornamental fish, or aquatic plant, in 
        controlled or selected environments.
          (4) College and university.--
                  (A) In general.--The terms ``college'' and 
                ``university'' mean an educational institution 
                in any State which (i) admits as regular 
                students only persons having a certificate of 
                graduation from a school providing secondary 
                education, or the recognized equivalent of such 
                a certificate, (ii) is legally authorized 
                within such State to provide a program of 
                education beyond secondary education, (iii) 
                provides an educational program for which a 
                bachelor's degree or any other higher degree is 
                awarded, (iv) is a public or other nonprofit 
                institution, and (v) is accredited by a 
                nationally recognized accrediting agency or 
                association.
                  (B) Inclusions.--The terms ``college'' and 
                ``university'' include a research foundation 
                maintained by a college or university described 
                in subparagraph (A).
          (5) Cooperating forestry school.--
                  (A) In general.--The term ``cooperating 
                forestry school'' means an institution--
                          (i) that is eligible to receive funds 
                        under Public Law 87-788 (commonly known 
                        as the McIntire-Stennis Cooperative 
                        Forestry Act; 16 U.S.C. 582a et seq.); 
                        and
                          (ii) with respect to which the 
                        Secretary has not received a 
                        declaration of the intent of that 
                        institution to not be considered a 
                        cooperating forestry school.
                  (B) Termination of declaration.--A 
                declaration of the intent of an institution to 
                not be considered a cooperating forestry school 
                submitted to the Secretary shall be in effect 
                until September 30, [2018] 2023.
          (6) The term ``cooperative extension services'' means 
        the organizations established at the land-grant 
        colleges and universities under the Smith-Lever Act of 
        May 8, 1914 (38 Stat. 372-374, as amended; 7 U.S.C. 
        341-349), and section 209(b) of the Act of October 26, 
        1974 (88 Stat. 1428, as amended; D.C. Code, sec. 31-
        1719(b)).
          (7) The term ``Department of Agriculture'' means the 
        United States Department of Agriculture.
          (8) The term ``extension'' means the informal 
        education programs conducted in the States in 
        cooperation with the Department of Agriculture.
          (9) Food and agricultural sciences.--The term ``food 
        and agricultural sciences'' means basic, applied, and 
        developmental research, extension, and teaching 
        activities in food and fiber, agricultural, renewable 
        energy and natural resources, forestry, and physical 
        and social sciences, including activities relating to 
        the following:
                  (A) Animal health, production, and well-
                being.
                  (B) Plant health and production.
                  (C) Animal and plant germ plasm collection 
                and preservation.
                  (D) Aquaculture.
                  (E) Food safety.
                  (F) Soil, water, and related resource 
                conservation and improvement.
                  (G) Forestry, horticulture, and range 
                management.
                  (H) Nutritional sciences and promotion.
                  (I) Farm enhancement, including financial 
                management, input efficiency, and 
                profitability.
                  (J) Home economics.
                  (K) Rural human ecology.
                  (L) Youth development and agricultural 
                education, including 4-H clubs.
                  (M) Expansion of domestic and international 
                markets for agricultural commodities and 
                products, including agricultural trade barrier 
                identification and analysis.
                  (N) Information management and technology 
                transfer related to agriculture.
                  (O) Biotechnology related to agriculture.
                  (P) The processing, distributing, marketing, 
                and utilization of food and agricultural 
                products.
          (10) Hispanic-serving agricultural colleges and 
        universities.--
                  (A) In general.--The term ``Hispanic-serving 
                agricultural colleges and universities'' means 
                colleges or universities --
                          (i) that qualify as Hispanic-serving 
                        institutions;
                          (ii) that offer associate, bachelors, 
                        or other accredited degree programs in 
                        agriculture-related fields; and
                          (iii) with respect to which the 
                        Secretary has not received a 
                        declaration of the intent of a college 
                        or university to not be considered a 
                        Hispanic-serving agricultural college 
                        or university.
                  (B) Exception.--The term ``Hispanic-serving 
                agricultural 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)).
                  (C) Termination of declaration of intent.--A 
                declaration of the intent of a college or 
                university to not be considered a Hispanic-
                serving agricultural college or university 
                submitted to the Secretary shall be in effect 
                until September 30, [2018] 2023.
          (11) Hispanic-serving institution.--The term 
        ``Hispanic-serving institution'' has the meaning given 
        the term in section 502 of the Higher Education Act of 
        1965 (20 U.S.C. 1101a).
          (12) Insular area.--The term ``insular area'' means--
                  (A) the Commonwealth of Puerto Rico;
                  (B) Guam;
                  (C) American Samoa;
                  (D) the Commonwealth of the Northern Mariana 
                Islands;
                  (E) the Federated States of Micronesia;
                  (F) the Republic of the Marshall Islands;
                  (G) the Republic of Palau; and
                  (H) the Virgin Islands of the United States.
          (13) The term ``land-grant colleges and 
        universities'' means those institutions eligible to 
        receive funds under the Act of July 2, 1862 (12 Stat. 
        503-505, as amended; 7 U.S.C. 301-305, 307 and 308), or 
        the Act of August 30, 1890 (26 Stat. 417-419, as 
        amended; 7 U.S.C. 321-326 and 328), including Tuskegee 
        University.
          (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 food and agricultural 
                sciences.]
                  (A) In general.--
                          (i) Definition.--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 agricultural sciences, 
                        forestry, or both in any area of study 
                        specified in clause (ii).
                          (ii) Clarification.--For purposes of 
                        clause (i), an area of study specified 
                        in this clause is any of the following:
                                  (I) Agriculture.
                                  (II) Agricultural business 
                                and management.
                                  (III) Agricultural economics.
                                  (IV) Agricultural 
                                mechanization.
                                  (V) Agricultural production 
                                operations.
                                  (VI) Aquaculture.
                                  (VII) Agricultural and food 
                                products processing.
                                  (VIII) Agricultural and 
                                domestic animal services.
                                  (IX) Equestrian or equine 
                                studies.
                                  (X) Applied horticulture or 
                                horticulture operations.
                                  (XI) Ornamental horticulture.
                                  (XII) Greenhouse operations 
                                and management.
                                  (XIII) Turf and turfgrass 
                                management.
                                  (XIV) Plant nursery 
                                operations and management.
                                  (XV) Floriculture or 
                                floristry operations and 
                                management.
                                  (XVI) International 
                                agriculture.
                                  (XVII) Agricultural public 
                                services.
                                  (XVIII) Agricultural and 
                                extension education services.
                                  (XIX) Agricultural 
                                communication or agricultural 
                                journalism.
                                  (XX) Animal sciences.
                                  (XXI) Food science.
                                  (XXII) Plant sciences.
                                  (XXIII) Soil sciences.
                                  (XXIV) Forestry.
                                  (XXV) Forest sciences and 
                                biology.
                                  (XXVI) Natural resources or 
                                conservation.
                                  (XXVII) Natural resources 
                                management and policy.
                                  (XXVIII) Natural resource 
                                economics.
                                  (XXIX) Urban forestry.
                                  (XXX) Wood science and wood 
                                products or pulp or paper 
                                technology.
                                  (XXXI) Range science and 
                                management.
                                  (XXXII) Agricultural 
                                engineering.
                  (B) Designation.--Not later than 90 days 
                after the date of the enactment of this 
                subparagraph, the Secretary shall establish an 
                ongoing process through which public colleges 
                or universities may apply for designation as an 
                NLGCA Institution.
                  (C) Exclusions.--The terms ``NLGCA 
                Institution'' and ``non-land-grant college of 
                agriculture'' do not include any institution 
                designated under--
                          [(i) Hispanic-serving agricultural 
                        colleges and universities; or
                          [(ii) any institution designated 
                        under--]
                          [(I)] (i) the Act of July 2, 1862 
                        (commonly known as the ``First Morrill 
                        Act''; 7 U.S.C. 301 et seq.);
                          [(II)] (ii) the Act of August 30, 
                        1890 (commonly known as the ``Second 
                        Morrill Act'') (7 U.S.C. 321 et seq.); 
                        or
                          [(III)] (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.).]
          (15) The term ``Secretary'' means the Secretary of 
        Agriculture of the United States.
          (16) State.--The term ``State'' means--
                  (A) a State;
                  (B) the District of Columbia; and
                  (C) any insular area.
          (17) The term ``State agricultural experiment 
        stations'' means those institutions eligible to receive 
        funds under the Act of March 2, 1887 (24 Stat. 440-442, 
        as amended; 7 U.S.C. 361a-361i).
          (18) The term ``State cooperative institutions'' or 
        ``State cooperative agents'' means institutions or 
        agents designated by--
                  (A) the Act of July 2, 1862 (7 U.S.C. 301 et 
                seq.), commonly known as the First Morrill Act;
                  (B) the Act of August 30, 1890 (7 U.S.C. 321 
                et seq.), commonly known as the Second Morrill 
                Act, including Tuskegee University;
                  (C) the Act of March 2, 1887 (7 U.S.C. 361a 
                et seq.), commonly known as the Hatch Act of 
                1887;
                  (D) the Act of May 8, 1914 (7 U.S.C. 341 et 
                seq.), commonly known as the Smith-Lever Act;
                  (E) the Act of October 10, 1962 (16 U.S.C. 
                582a et seq.), commonly known as the McIntire-
                Stennis Act of 1962;
                  (F) section 1430; and
                  (G) subtitles G, L, and M of this title.
          (19) The term ``sustainable agriculture'' means an 
        integrated system of plant and animal production 
        practices having a site-specific application that will, 
        over the long-term--
                  (A) satisfy human food and fiber needs;
                  (B) enhance environmental quality and the 
                natural resource base upon which the 
                agriculture economy depends;
                  (C) make the most efficient use of 
                nonrenewable resources and on-farm resources 
                and integrate, where appropriate, natural 
                biological cycles and controls;
                  (D) sustain the economic viability of farm 
                operations; and
                  (E) enhance the quality of life for farmers 
                and society as a whole.
          (20) Teaching and education.--The terms ``teaching'' 
        and ``education'' mean formal classroom instruction, 
        laboratory instruction, and practicum experience in the 
        food and agricultural sciences and matters relating 
        thereto (such as faculty development, student 
        recruitment and services, curriculum development, 
        instructional materials and equipment, and innovative 
        teaching methodologies) conducted by colleges and 
        universities offering baccalaureate or higher degrees.

    Subtitle B--Coordination and Planning of Agricultural Research, 
Extension, and Teaching

           *       *       *       *       *       *       *


SEC. 1408. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, EDUCATION, AND 
                    ECONOMICS ADVISORY BOARD.

  (a) Establishment.--The Secretary shall establish within the 
Department of Agriculture a board to be known as the ``National 
Agricultural Research, Extension, Education, and Economics 
Advisory Board''.
  (b) Membership.--
          (1) In general.--The Advisory Board shall consist of 
        [25] 15 members, appointed by the Secretary.
          (2) Selection of members.--The Secretary shall 
        appoint members of the Advisory Board from nominations 
        submitted by organizations, associations, societies, 
        councils, federations, groups, and companies fitting 
        the criteria specified in paragraph (3).
          [(3) Membership categories.--The Advisory Board shall 
        consist of members from each of the following 
        categories:
                  [(A) 1 member representing a national farm 
                organization.
                  [(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, recommended by a coalition of 
                national aquacultural organizations.
                  [(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.
                  [(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 
                institutions.
                  [(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 
                marketing 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 
                organizations involved in international 
                development.
                  [(Y) 1 member representing a national social 
                science association.]
          (3) Membership categories.--The Advisory Board shall 
        consist of members from each of the following 
        categories:
                  (A) 3 members representing national farm or 
                producer organizations, which may include 
                members--
                          (i) representing farm cooperatives;
                          (ii) who are producers actively 
                        engaged in the production of a food 
                        animal commodity and who are 
                        recommended by a coalition of national 
                        livestock organizations;
                          (iii) who are producers actively 
                        engaged in the production of a plant 
                        commodity and who are recommended by a 
                        coalition of national crop 
                        organizations; or
                          (iv) who are producers actively 
                        engaged in aquaculture and who are 
                        recommended by a coalition of national 
                        aquacultural organizations.
                  (B) 2 members representing academic or 
                research societies, which may include members 
                representing--
                          (i) a national food animal science 
                        society;
                          (ii) a national crop, soil, agronomy, 
                        horticulture, plant pathology, or weed 
                        science society;
                          (iii) a national food science 
                        organization;
                          (iv) a national human health 
                        association; or
                          (v) a national nutritional science 
                        society.
                  (C) 5 members representing agricultural 
                research, extension, and education, which shall 
                include each of the following:
                          (i) 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.).
                          (ii) 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.
                          (iii) 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)).
                          (iv) 1 member representing NLGCA 
                        Institutions or Hispanic-serving 
                        institutions.
                          (v) 1 member representing the 
                        American Colleges of Veterinary 
                        Medicine.
                  (D) 5 members representing industry, 
                consumer, or rural interests, including members 
                representing--
                          (i) entities engaged in 
                        transportation of food and agricultural 
                        products to domestic and foreign 
                        markets;
                          (ii) food retailing and marketing 
                        interests;
                          (iii) food and fiber processors;
                          (iv) rural economic development 
                        interests;
                          (v) a national consumer interest 
                        group;
                          (vi) a national forestry group;
                          (vii) a national conservation or 
                        natural resource group;
                          (viii) a national social science 
                        association; or
                          (ix) private sector organizations 
                        involved in international development.
          (4) Ex officio members.--The Secretary, the Under 
        Secretary of Agriculture for Research, Education, and 
        Economics, the Administrator of the Agricultural 
        Research Service, the Director of the National 
        Institute of Food and Agriculture, the Administrator of 
        the Economic Research Service, and the Administrator of 
        the National Agricultural Statistics Service shall 
        serve as ex officio members of the Advisory Board.
          (5) Officers.--At the first meeting of the Advisory 
        Board each year, the members shall elect from among the 
        members of the Advisory Board a chairperson, vice 
        chairperson, and 7 additional members to serve on the 
        executive committee established under paragraph (6).
          (6) Executive committee.--The Advisory Board shall 
        establish an executive committee charged with the 
        responsibility of working with the Secretary and 
        officers and employees of the Department of Agriculture 
        to summarize and disseminate the recommendations of the 
        Advisory Board.
          (7) Equal representation of public and private sector 
        members.--In appointing members to serve on the 
        Advisory Board, the Secretary shall ensure, to the 
        maximum extent practicable, equal representation of 
        public and private sector members.
  (c) Duties.--The Advisory Board shall--
          (1) [review and] make recommendations, review, and 
        provide consultation to the Secretary, land-grant 
        colleges and universities, and the Committee on 
        Agriculture of the House of Representatives, the 
        Committee on Agriculture, Nutrition, and Forestry of 
        the Senate, the Subcommittee on Agriculture, Rural 
        Development, Food and Drug Administration and Related 
        Agencies of the Committee on Appropriations of the 
        House of Representatives, and the Subcommittee on 
        Agriculture, Rural Development and Related Agencies of 
        the Committee on Appropriations of the Senate on--
                  [(A) long-term and short-term national 
                policies and priorities consistent with the 
                purposes specified in section 1402 for 
                agricultural research, extension, education, 
                and economics; and]
                  (A) long-term and short-term national 
                policies and priorities consistent with the--
                          (i) purposes specified in section 
                        1402 for agricultural research, 
                        extension, education, and economics; 
                        and
                          (ii) priority areas of the 
                        Agriculture and Food Research 
                        Initiative specified in subsection 
                        (b)(2) of the Competitive, Special, and 
                        Facilities Research Grant Act (7 U.S.C. 
                        3157(b)(2));
                  (B) the annual establishment of priorities 
                that--
                          [(i) are in accordance with the 
                        purposes specified in a provision of a 
                        covered law (as defined in subsection 
                        (d) of section 1492) under which 
                        competitive grants (described in 
                        subsection (c) of such section) are 
                        awarded; and ]
                          (i) are in accordance with the--
                                  (I) purposes specified in a 
                                provision of a covered law (as 
                                defined in subsection (d) of 
                                section 1492) under which 
                                competitive grants (described 
                                in subsection (c) of such 
                                section) are awarded; and
                                  (II) priority areas of the 
                                Agriculture and Food Research 
                                Initiative specified in 
                                subsection (b)(2) of the 
                                Competitive, Special, and 
                                Facilities Research Grant Act 
                                (7 U.S.C. 3157(b)(2)); and
                          (ii) the Board determines are 
                        national priorities.
          (2) evaluate the results and effectiveness of 
        agricultural research, extension, education, and 
        economics with respect to the policies and priorities 
        and make recommendations to the Secretary based on such 
        evaluation;
          (3) review and make recommendations to the Under 
        Secretary of Agriculture for Research, Education, and 
        Economics on the research, extension, education, and 
        economics portion of the draft strategic plan required 
        under section 306 of title 5, United States Code;
          (4) review and make recommendations on the mechanisms 
        of the Department of Agriculture for technology 
        assessment (which should be conducted by qualified 
        professionals) for the purposes of--
                  (A) performance measurement and evaluation of 
                the implementation by the Secretary of the 
                strategic plan required under section 306 of 
                title 5, United States Code;
                  (B) implementation of national research 
                policies and priorities that are consistent 
                with the purposes specified in section 1402; 
                and
                  (C) the development of mechanisms for the 
                assessment of emerging public and private 
                agricultural research and technology transfer 
                initiatives; and
          (5) consult with industry groups on agricultural 
        research, extension, education, and economics, and make 
        recommendations to the Secretary based on that 
        consultation.
  (d) Consultation.--
          (1) Duties of advisory board.--In carrying out this 
        section, the Advisory Board shall consult with any 
        appropriate agencies of the Department of Agriculture 
        and solicit opinions and recommendations from persons 
        who will benefit from and use federally funded 
        agricultural research, extension, education, and 
        economics.
          (2) Duties of secretary.--To comply with a provision 
        of this title or any other law that requires the 
        Secretary to consult or cooperate with the Advisory 
        Board or that authorizes the Advisory Board to submit 
        recommendations to the Secretary, the Secretary shall--
                  (A) solicit the written opinions and 
                recommendations of the Advisory Board; and
                  (B) provide a written response to the 
                Advisory Board regarding the manner and extent 
                to which the Secretary will implement 
                recommendations submitted by the Advisory 
                Board.
  (e) Appointment.--A member of the Advisory Board shall be 
appointed by the Secretary for a term of up to 3 years. The 
members of the Advisory Board shall be appointed to serve 
staggered terms.
  (f) Federal Advisory Committee Act.--The Advisory Board shall 
be deemed to have filed a charter for the purpose of section 
9(c) of the Federal Advisory Committee Act (5 U.S.C. App.).
  (g) Annual Limitation on Advisory Board Expenses.--
          (1) Maximum amount.--Not more than $500,000 may be 
        used to cover the necessary expenses of the Advisory 
        Board for each fiscal year.
          (2) General limitation.--The expenses of the Advisory 
        Board shall not be counted toward any general 
        limitation on the expenses of advisory committees, 
        panels, commissions, and task forces of the Department 
        of Agriculture contained in 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 this Advisory Board within the 
        general limitation.
  (h) Termination.--The Advisory Board shall remain in 
existence until September 30, [2018] 2023.

SEC. 1408A. SPECIALTY CROP COMMITTEE.

  (a) Establishment.--
          (1) In general.--Not later than 90 days after the 
        date of the enactment of the Specialty Crops 
        Competitiveness Act of 2004, the executive committee of 
        the Advisory Board shall establish, and appoint the 
        initial members of, a permanent specialty crops 
        committee that will be responsible for studying the 
        scope and effectiveness of research, extension, and 
        economics programs affecting the specialty crop 
        industry.
          (2) Citrus disease subcommittee.--
                  (A) In general.--Not later than 45 days after 
                the date of the enactment of the Agricultural 
                Act of 2014, the Secretary shall establish 
                within the [speciality] specialty crops 
                committee, and appoint the initial members of, 
                a citrus disease subcommittee to carry out the 
                responsibilities of the subcommittee described 
                in subsection (g) in accordance with subsection 
                (j)(3) of section 412 of the Agricultural 
                Research, Extension, and Education Reform Act 
                of 1998 (7 U.S.C. 7632).
                  (B) Composition.--The citrus disease 
                subcommittee shall be composed of [9] 11 
                members, each of whom is a domestic producer of 
                citrus in a State, represented as follows:
                          (i) [Three] Five of such members 
                        shall represent Arizona or California.
                          (ii) Five of such members shall 
                        represent Florida.
                          (iii) One of such members shall 
                        represent Texas.
                  (C) Membership.--The Secretary may appoint 
                individuals who are not members of the 
                specialty crops committee or the Advisory Board 
                established under section 1408 as members of 
                the citrus disease subcommittee
                  (D) Termination.--The subcommittee 
                established under subparagraph (A) shall 
                terminate on September 30, [2018] 2023.
                  (E) Federal Advisory Committee Act.--The 
                subcommittee established under subparagraph (A) 
                shall be covered by the exemption to section 
                9(c) of the Federal Advisory Committee Act (5 
                U.S.C. App.) applicable to the Advisory Board 
                under section 1408(f).
  (b) Members.--
          (1) Eligibility.--Individuals who are not members of 
        the Advisory Board may be appointed as members of the 
        specialty crops committee.
          (2) Service.--Members of the specialty crops 
        committee shall serve at the discretion of the 
        executive committee.
          (3) Diversity.--Membership of the specialty crops 
        committee shall reflect diversity in the specialty 
        crops represented.
  (c) Annual Committee Report.--Not later than 180 days after 
the establishment of the specialty crops committee, and 
annually thereafter, the specialty crops committee shall submit 
to the Advisory Board a report containing the findings of its 
study under subsection (a). The specialty crops committee shall 
include in each report recommendations regarding the following:
          (1) Programs designed to improve the efficiency, 
        productivity, and profitability of specialty crop 
        production in the United States.
          (2) Research, extension, and teaching programs 
        designed to improve competitiveness in the specialty 
        crop industry, including programs that would--
                  (A) enhance the quality and shelf-life of 
                fresh fruits and vegetables, including their 
                taste and appearance;
                  (B) develop new crop protection tools and 
                expand the applicability and cost-effectiveness 
                of integrated pest management;
                  (C) prevent the introduction of foreign 
                invasive pests and diseases;
                  (D) develop new products and new uses of 
                specialty crops, including improving the 
                quality and taste of processed specialty crops;
                  (E) develop new and improved marketing tools 
                for specialty crops;
                  (F) enhance food safety regarding specialty 
                crops;
                  (G) improve the remote sensing and the 
                mechanization of production practices; and
                  (H) enhance irrigation techniques used in 
                specialty crop production.
          (3) Analyses of changes in macroeconomic conditions, 
        technologies, and policies on specialty crop production 
        and consumption, with particular focus on the effect of 
        those changes on the financial stability of producers.
          (4) 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.
          (5) Analysis of the alignment of specialty crops 
        committee recommendations with grants awarded through 
        the specialty crop research initiative established 
        under section 412 of the Agricultural Research, 
        Extension, and Education Reform Act of 1998 (7 U.S.C. 
        7632).
  (d) Consultation With Specialty Crop Industry.--In studying 
the scope and effectiveness of programs under subsection (a), 
the specialty crops committee shall consult on an ongoing basis 
with diverse sectors of the specialty crop industry.
  (e) Consideration by Secretary.--In preparing the annual 
budget recommendations for the Department of Agriculture, the 
Secretary shall take into consideration those findings and 
recommendations contained in the most-recent report of the 
specialty crops committee that are adopted by the Advisory 
Board.
  (f) Annual Report by Secretary.--In the budget material 
submitted 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 describing how the Secretary addressed each 
recommendation of the specialty crops committee described in 
subsection (e).
  (g) Citrus Disease Subcommittee Duties.--For the purposes of 
subsection (j) of section 412 of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7632), 
the citrus disease subcommittee shall--
          (1) advise the Secretary on citrus research, 
        extension, and development needs;
          (2) propose, by a favorable vote of two-thirds of the 
        members of the subcommittee, a research and extension 
        agenda and annual budgets for the funds made available 
        to carry out such subsection;
          (3) evaluate and review ongoing research and 
        extension funded under the emergency citrus disease 
        research and extension program (as defined in such 
        subsection);
          (4) establish, by a favorable vote of two-thirds of 
        the members of the subcommittee, annual priorities for 
        the award of grants under such subsection;
          (5) provide the Secretary any comments on grants 
        awarded under such subsection during the previous 
        fiscal year; and
          (6) engage in regular consultation and collaboration 
        with the Department and other institutional, 
        governmental, and private persons conducting scientific 
        research on, and extension activities related to, the 
        causes or treatments of citrus diseases and pests, both 
        domestic and invasive, for purposes of--
                  (A) maximizing the effectiveness of research 
                and extension projects funded under the citrus 
                disease research and extension program;
                  (B) hastening the development of useful 
                treatments;
                  (C) avoiding duplicative and wasteful 
                expenditures; and
                  (D) providing the Secretary with such 
                information and advice as the Secretary may 
                request.

[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 permanent 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 
        committee 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 
Committee 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 Recommendation.--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 
submitted 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).]

           *       *       *       *       *       *       *


Subtitle C--Agricultural Research and Education Grants and Fellowships

           *       *       *       *       *       *       *


SEC. 1417. GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURAL SCIENCES 
                    EDUCATION.

  (a) Higher Education Teaching Programs.--The Secretary shall 
promote and strengthen higher education in the food and 
agricultural sciences by formulating and administering programs 
to enhance college and university teaching programs in 
agriculture, natural resources, forestry, veterinary medicine, 
home economics, disciplines closely allied to the food and 
agricultural system, and rural economic, community, and 
business development.
  (b) Grants.--The Secretary may make competitive grants (or 
grants without regard to any requirement for competition) to 
land-grant colleges and universities (including the University 
of the District of Columbia), to colleges and universities 
having significant minority enrollments and a demonstrable 
capacity to carry out the teaching of food and agricultural 
sciences, and to other colleges and universities having a 
demonstrable capacity to carry out the teaching of food and 
agricultural sciences, for a period not to exceed 5 years--
          (1) to strengthen institutional capacities, including 
        curriculum, faculty, scientific instrumentation, 
        instruction delivery systems, and student recruitment 
        and retention, to respond to identified State, 
        regional, national, or international educational needs 
        in the food and agricultural sciences, or in rural 
        economic, community, and business development;
          (2) to attract and support undergraduate and graduate 
        students in order to educate the students in national 
        need areas of the food and agricultural sciences, or in 
        rural economic, community, and business development;
          (3) to facilitate cooperative initiatives between two 
        or more eligible institutions, or between eligible 
        institutions and units of State government or 
        organizations in the private sector, to maximize the 
        development and use of resources such as faculty, 
        facilities, and equipment to improve food and 
        agricultural sciences teaching programs, or teaching 
        programs emphasizing rural economic, community, and 
        business development;
          (4) to design and implement food and agricultural 
        programs, or programs emphasizing rural economic, 
        community, and business development, to build teaching, 
        research, and extension capacity at colleges and 
        universities having significant minority enrollments;
          (5) to conduct undergraduate scholarship programs to 
        meet national and international needs for training food 
        and agricultural scientists and professionals, or 
        professionals in rural economic, community, and 
        business development; and
          (6) to conduct graduate and postdoctoral fellowship 
        programs to attract highly promising individuals to 
        research or teaching careers in the food and 
        agricultural sciences.
  (c) Priorities.--In awarding grants under subsection (b), the 
Secretary shall give priority to--
          (1) applications for teaching enhancement projects 
        that demonstrate enhanced coordination among all types 
        of institutions eligible for funding under this 
        section; and
          (2) applications for teaching enhancement projects 
        that focus on innovative, multidisciplinary education 
        programs, material, and curricula.
  (d) Eligibility for Grants.--
          (1) In general.--To be eligible for a grant under 
        subsection (b), a recipient institution must have a 
        significant demonstrable commitment to higher education 
        teaching programs in the food and agricultural 
        sciences, or in rural economic, community, and business 
        development, and to each specific subject area for 
        which the grant is to be used.
          (2) Minority groups.--The Secretary may set aside a 
        portion of the funds appropriated for the awarding of 
        grants under subsection (b), and make such amounts 
        available only for grants to eligible colleges and 
        universities (including the University of the District 
        of Columbia) that the Secretary determines have unique 
        capabilities for achieving the objective of full 
        representation of minority groups in the food and 
        agricultural sciences workforce, or in the rural 
        economic, community, and business development 
        workforce, of the United States.
          (3) Research foundations.--An eligible college or 
        university under subsection (b) includes a research 
        foundation maintained by the college or university.
  (e) Food and Agricultural Education Information System.--From 
amounts made available for grants under this section, the 
Secretary may maintain a national food and agricultural 
education information system that contains--
          (1) information on enrollment, degrees awarded, 
        faculty, and employment placement in the food and 
        agricultural sciences; and
          (2) such other similar information as the Secretary 
        considers appropriate.
  (f) Evaluation of Teaching Programs.--The Secretary shall 
conduct programs to develop, analyze, and provide to colleges 
and universities data and information that are essential to the 
evaluation of the quality of teaching programs and to 
facilitate the design of more effective programs comprising the 
food and agricultural sciences higher education system of the 
United States.
  (g) Continuing Education.--The Secretary shall conduct 
special programs with colleges and universities, and with 
organizations in the private sector, to support educational 
initiatives to enable food and agricultural scientists and 
professionals to maintain their knowledge of changing 
technology, the expanding knowledge base, societal issues, and 
other factors that impact the skills and competencies needed to 
maintain the expertise base available to the agricultural 
system of the United States. The special programs shall include 
grants and technical assistance.
  (h) Transfers of Funds and Functions.--Funds authorized in 
section 22 of the Act of June 29, 1935 (49 Stat. 439, chapter 
338; 7 U.S.C. 329) are transferred to and shall be administered 
by the Secretary of Agriculture. There are transferred to the 
Secretary all the functions and duties of the Secretary of 
Education under such Act applicable to the activities and 
programs for which funds are made available under section 22 of 
such Act.
  (i) National Food and Agricultural Sciences Teaching, 
Extension, and Research Awards.--
          (1) Establishment.--
                  (A) In general.--The Secretary shall 
                establish a National Food and Agricultural 
                Sciences Teaching, Extension, and Research 
                Awards program to recognize and promote 
                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 
                agricultural science at a college or 
                university.
          (2) Funding.--The Secretary may transfer funds from 
        amounts appropriated for the conduct of any 
        agricultural research, extension, or teaching program 
        to an account established pursuant to this section for 
        the purpose of making the awards. The Secretary may 
        accept gifts in accordance with Public Law 95-442 (7 
        U.S.C. 2269) for the purpose of making the awards.
  (j) Secondary Education, 2-Year Postsecondary Education, and 
Agriculture in the K-12 Classroom.--
          (1) Definitions.--In this subsection:
                  (A) Institution of higher education.--The 
                term ``institution of higher education'' has 
                the meaning given the term in section 101 of 
                the Higher Education Act of 1965.
                  (B) Secondary school.--The term ``secondary 
                school'' has the meaning given the term in 
                section 8101 of the Elementary and Secondary 
                Education Act of 1965.
          (2) Agriscience and agribusiness education.--The 
        Secretary shall--
                  (A) promote and strengthen secondary 
                education and 2-year postsecondary education in 
                agriscience and agribusiness in order to help 
                ensure the existence in the United States of a 
                qualified workforce to serve the food and 
                agricultural sciences system; and
                  (B) promote complementary and synergistic 
                linkages among secondary, 2-year postsecondary, 
                and higher education programs in the food and 
                agricultural sciences in order to promote 
                excellence in education and encourage more 
                young Americans to pursue and complete a 
                baccalaureate or higher degree in the food and 
                agricultural sciences.
          (3) Grants.--The Secretary may make competitive or 
        noncompetitive grants, for grant periods not to exceed 
        5 years, to public secondary schools, institutions of 
        higher education that award an associate's degree, 
        other institutions of higher education, and nonprofit 
        organizations, that the Secretary determines have made 
        a commitment to teaching agriscience and agribusiness--
                  (A) to enhance curricula in agricultural 
                education;
                  (B) to increase faculty teaching 
                competencies;
                  (C) to interest young people in pursuing 
                higher education in order to prepare for 
                scientific and professional careers in the food 
                and agricultural sciences;
                  (D) to promote the incorporation of 
                agriscience and agribusiness subject matter 
                into other instructional programs, particularly 
                classes in science, business, and consumer 
                education;
                  (E) to facilitate joint initiatives by the 
                grant recipient with other secondary schools, 
                institutions of higher education that award an 
                associate's degree, and institutions of higher 
                education that award a bachelor's degree to 
                maximize the development and use of resources, 
                such as faculty, facilities, and equipment, to 
                improve agriscience and agribusiness education;
                  (F) to support other initiatives designed to 
                meet local, State, regional, or national needs 
                related to promoting excellence in agriscience 
                and agribusiness education; and
                  (G) to support current agriculture in the 
                classroom programs for grades K-12.
  (k) Administration.--The Federal Advisory Committee Act (5 
U.S.C. App. 2) and title XVIII of the Food and Agriculture Act 
of 1977 (7 U.S.C. 2281 et seq.) shall not apply to a panel or 
board created for the purpose of reviewing applications and 
proposals for grants or nominations for awards submitted under 
this section.
  (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).
  (m) Authorization of Appropriations.--There are authorized to 
be appropriated for carrying out this section--
          (1) $60,000,000 for each of fiscal years 1990 through 
        2013; and
          (2) $40,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

           *       *       *       *       *       *       *


SEC. 1419A. AGRICULTURAL AND FOOD POLICY RESEARCH CENTERS.

  (a) In General.--Consistent with this section, the Secretary 
shall, acting through the Office of the Chief Economist, make 
competitive grants to, or enter into cooperative agreements 
with, policy research centers described in subsection (b) to 
conduct research and education programs that are objective, 
operationally independent, and external to the Federal 
Government and that concern the effect of public policies and 
trade agreements on--
          (1) the farm and agricultural sectors (including 
        commodities, livestock, dairy, and specialty crops);
          (2) the environment;
          (3) rural families, households, and economies; and
          (4) consumers, food, and nutrition.
  (b) Eligible Recipients.--An entity eligible to apply for 
funding under subsection (a) is a State agricultural experiment 
station, college or university, or other public research 
institution or organization that has a history of providing--
          (1) unbiased, nonpartisan economic analysis to 
        Congress on the areas specified in paragraphs (1) 
        through (4) of subsection (a); or
          (2) objective, scientific information to Federal 
        agencies and the public to support and enhance 
        efficient, accurate implementation of Federal drought 
        preparedness and drought response programs, including 
        interagency thresholds used to determine eligibility 
        for mitigation or emergency assistance.
  (c) Preference.--In making awards under this section, the 
Secretary shall give a preference to policy research centers 
that have--
          (1) extensive databases, models, and demonstrated 
        experience in providing Congress with agricultural 
        market projections, rural development analysis, 
        agricultural policy analysis, and baseline projections 
        at the farm, multiregional, national, and international 
        levels; or
          (2) information, analysis, and research relating to 
        drought mitigation.
  (d) Activities.--Under this section, funding may be provided 
for disciplinary and interdisciplinary research and education 
concerning policy research activities consistent with this 
section, including activities that--
          (1) quantify the implications of public policies and 
        regulations;
          (2) develop theoretical and applied research methods;
          (3) collect, analyze, and disseminate data for 
        policymakers, analysts, and individuals; and
          (4) develop programs to train analysts.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $10,000,000 for each 
of fiscal years 2014 through [2018] 2023.

SEC. 1419B. EDUCATION GRANTS TO ALASKA NATIVE SERVING INSTITUTIONS AND 
                    NATIVE HAWAIIAN SERVING INSTITUTIONS..

  (a) Education Grants Program for Alaska Native Serving 
Institutions.--
          (1) Grant authority.--The Secretary of Agriculture 
        may make competitive grants to Alaska Native serving 
        institutions for the purpose of promoting and 
        strengthening the ability of Alaska Native serving 
        institutions to carry out education, applied research, 
        and related community development programs.
          (2) Use of grant funds.--Grants made under this 
        section shall be used--
                  (A) to support the activities of consortia of 
                Alaska Native serving institutions to enhance 
                educational equity for under represented 
                students;
                  (B) to strengthen institutional educational 
                capacities, including libraries, curriculum, 
                faculty, scientific instrumentation, 
                instruction delivery systems, and student 
                recruitment and retention, in order to respond 
                to identified State, regional, national, or 
                international educational needs in the food and 
                agriculture sciences;
                  (C) to attract and support undergraduate and 
                graduate students from under represented groups 
                in order to prepare them for careers related to 
                the food, agricultural, and natural resource 
                systems of the United States, beginning with 
                the mentoring of students at the high school 
                level including by village elders and 
                continuing with the provision of financial 
                support for students through their attainment 
                of a doctoral degree; and
                  (D) to facilitate cooperative initiatives 
                between two or more Alaska Native serving 
                institutions, or between Alaska Native serving 
                institutions and units of State government or 
                the private sector, to maximize the development 
                and use of resources, such as faculty, 
                facilities, and equipment, to improve food and 
                agricultural sciences teaching programs.
          (3) Authorization of appropriations.--There are 
        authorized to be appropriated to make grants under this 
        subsection $10,000,000 in fiscal years 2001 through 
        [2018] 2023.
  (b) Education Grants Program for Native Hawaiian Serving 
Institutions.--
          (1) Grant authority.--The Secretary of Agriculture 
        may make competitive grants to Native Hawaiian serving 
        institutions for the purpose of promoting and 
        strengthening the ability of Native Hawaiian serving 
        institutions to carry out education, applied research, 
        and related community development programs.
          (2) Use of grant funds.--Grants made under this 
        section shall be used--
                  (A) to support the activities of consortia of 
                Native Hawaiian serving institutions to enhance 
                educational equity for under represented 
                students, including permitting consortia to 
                designate fiscal agents for the members of the 
                consortia and to allocate among the members 
                funds made available under this section;
                  (B) to strengthen institutional educational 
                capacities, including libraries, curriculum, 
                faculty, scientific instrumentation, 
                instruction delivery systems, and student 
                recruitment and retention, in order to respond 
                to identified State, regional, national, or 
                international educational needs in the food and 
                agriculture sciences;
                  (C) to attract and support undergraduate and 
                graduate students from under represented groups 
                in order to prepare them for careers related to 
                the food, agricultural, and natural resource 
                systems of the United States, beginning with 
                the mentoring of students at the high school 
                level and continuing with the provision of 
                financial support for students through their 
                attainment of a doctoral degree; and
                  (D) to facilitate cooperative initiatives 
                between two or more Native Hawaiian serving 
                institutions, or between Native Hawaiian 
                serving institutions and units of State 
                government or the private sector, to maximize 
                the development and use of resources, such as 
                faculty, facilities, and equipment, to improve 
                food and agricultural sciences teaching 
                programs.
          (3) Authorization of appropriations.--There are 
        authorized to be appropriated to make grants under this 
        subsection $10,000,000 for each of fiscal years 2001 
        through [2018] 2023.

SEC. 1419C. LAND-GRANT DESIGNATION.

  (a) In General.--Notwithstanding any other provision of law, 
beginning on the date of the enactment of this section, no 
additional entity may be designated as eligible to receive 
funds under a covered program.
  (b) State Funding.--No State shall receive an increase in 
funding under a covered program as a result of the State's 
designation of additional entities as eligible to receive such 
funding.
  (c) Covered Program Defined.--For purposes of this section, 
the term ``covered program'' means agricultural research, 
extension, education, and related programs or grants 
established or available under any of the following:
          (1) Subsections (b), (c), and (d) of section 3 of the 
        Smith-Lever Act (7 U.S.C. 343).
          (2) The Hatch Act of 1887 (7 U.S.C. 361a et seq.).
          (3) Sections 1444, 1445, and 1447 of the National 
        Agricultural Research, Extension, and Teaching Policy 
        Act of 1977 (7 U.S.C. 3221; 3222; 3222b).
          (4) Public Law 87-788 (commonly known as the 
        McIntire-Stennis Cooperative Forestry Act; 16 U.S.C. 
        582a et seq.).
  (d) Exception.--Nothing in this section shall be construed as 
limiting eligibility for a capacity and infrastructure program 
specified in section 251(f)(1)(C) of the Department of 
Agriculture Reorganization Act of 1994 (7 U.S.C. 6971(f)(1)(C)) 
that is not a covered program. 

 Subtitle D--National Food and Human Nutrition Research and Extension 
Program

           *       *       *       *       *       *       *


[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).
  [(b) Establishment.--The Secretary shall establish a national 
education program which shall include, but not be limited to, 
the dissemination of the results of food and human nutrition 
research performed or funded by the Department of Agriculture.
  [(c) Employment and Training.--To enable low-income 
individuals and families to engage in nutritionally sound food 
purchase and preparation practices, the expanded food and 
nutrition education program conducted under section 3(d) of the 
Act of May 8, 1914 (7 U.S.C. 343(d)), shall provide for the 
employment and training of professional and paraprofessional 
aides to engage in direct nutrition education of low-income 
families and in other appropriate nutrition education programs. 
To the maximum extent practicable, such program aides shall be 
hired from the indigenous target population.
  [(d) Allocation of Funding.--Beginning with the fiscal year 
ending September 30, 1982--
          [(1) Any funds annually appropriated under section 
        3(d) of the Act of May 8, 1914, for the conduct of the 
        expanded food and nutrition education program, up to 
        the amount appropriated under such section for such 
        program for the fiscal year ending September 30, 1981, 
        shall be allocated to each State in the same proportion 
        as funds appropriated under such section for the 
        conduct of the program for the fiscal year ending 
        September 30, 1981, are allocated among the States; 
        with the exception that the Secretary may retain up to 
        2 per centum of such amount for the conduct of such 
        program in States that did not participate in such 
        program in the fiscal year ending September 30, 1981.
          [(2) Any funds appropriated annually under section 
        3(d) of the Act of May 8, 1914, for the conduct of the 
        expanded food and nutrition education program in excess 
        of the amount appropriated under such section for the 
        conduct of the program for the fiscal year ending 
        September 30, 1981, shall be allocated as follows:
                  [(A) 4 per centum shall be available to the 
                Secretary for administrative, technical, and 
                other services necessary for the administration 
                of the program.
                  [(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 percent of the 
                                income poverty guidelines (as 
                                prescribed 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 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 
                                prescribed 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.
  [(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 2018.]

           *       *       *       *       *       *       *


Subtitle E--Animal Health and Disease Research

           *       *       *       *       *       *       *


SEC. 1433. CONTINUING ANIMAL HEALTH AND DISEASE, FOOD SECURITY, AND 
                    STEWARDSHIP RESEARCH, EDUCATION, AND EXTENSION 
                    PROGRAMS.

  (a) Capacity and Infrastructure Program.--
          (1) In general.--In each State with one or more 
        accredited colleges of veterinary medicine, the deans 
        of the accredited college or colleges and the director 
        of the State agricultural experiment station shall 
        develop a comprehensive animal health and disease 
        research program for the State based on the animal 
        health research capacity of each eligible institution 
        in the State, which shall be submitted to the Secretary 
        for approval and shall be used for the allocation of 
        funds available to the State under this section.
          (2) Use of funds.--An eligible institution allocated 
        funds to carry out animal health and disease research 
        under this section may only use such funds--
                  (A) to meet the expenses of conducting animal 
                health and disease research, publishing and 
                disseminating the results of such research, and 
                contributing to the retirement of employees 
                subject to the Act of March 4, 1940 (7 U.S.C. 
                331);
                  (B) for administrative planning and 
                direction; and
                  (C) to purchase equipment and supplies 
                necessary for conducting research described in 
                subparagraph (A).
          (3) Cooperation among eligible institutions.--The 
        Secretary, to the maximum extent practicable, shall 
        encourage eligible institutions to cooperate in setting 
        research priorities under this section through 
        conducting regular regional and national meetings.
  (b) Competitive Grant Program.--
          (1) In general.--The Secretary, for purposes of 
        addressing the critical needs of animal agriculture, 
        shall award competitive grants to eligible entities 
        under which such eligible entities--
                  (A) conduct research--
                          (i) to promote food security, such as 
                        by--
                                  (I) improving feed 
                                efficiency;
                                  (II) improving energetic 
                                efficiency;
                                  (III) connecting genomics, 
                                proteomics, metabolomics and 
                                related phenomena to animal 
                                production;
                                  (IV) improving reproductive 
                                efficiency; and
                                  (V) enhancing pre- and post-
                                harvest food safety systems; 
                                and
                          (ii) on the relationship between 
                        animal and human health, such as by--
                                  (I) exploring new approaches 
                                for vaccine development;
                                  (II) understanding and 
                                controlling zoonosis, including 
                                its impact on food safety;
                                  (III) improving animal health 
                                through feed; and
                                  (IV) enhancing product 
                                quality and nutritive value; 
                                and
                  (B) develop and disseminate to the public 
                tools and information based on the research 
                conducted under subparagraph (A) and sound 
                science.
          (2) Eligible entities.--An entity eligible to receive 
        a grant under this subsection is any of the following:
                  (A) A State cooperative institution.
                  (B) An NLGCA Institution.
          (3) Administration.--In carrying out this subsection, 
        the Secretary shall establish procedures--
                  (A) to seek and accept proposals for grants;
                  (B) to review and determine the relevance and 
                merit of proposals, in consultation with 
                representatives of the animal agriculture 
                industry;
                  (C) to provide a scientific peer review of 
                each proposal conducted by a panel of subject 
                matter experts from Federal agencies, academic 
                institutions, State animal health agencies, and 
                the animal agriculture industry; and
                  (D) to award competitive grants on the basis 
                of merit, quality, and relevance.
  (c) Funding.--
          (1) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this section 
        $25,000,000 for each of fiscal years 2014 through 
        [2018] 2023.
          (2) Reservation of funds.--The Secretary shall 
        reserve not less than $5,000,000 of the funds made 
        available under paragraph (1) to carry out the capacity 
        and infrastructure program under subsection (a).
          (3) Initial Apportionment.--The amounts made 
        available under paragraph (1) that are remaining after 
        the reservation of funds under paragraph (2), shall be 
        apportioned as follows:
                  (A) 15 percent of such amounts shall be used 
                to carry out the capacity and infrastructure 
                program under subsection (a).
                  (B) 85 percent of such funds shall be used to 
                carry out the competitive grant program under 
                subsection (b).
          (4) Additional apportionment.--The funds reserved 
        under paragraph (2) and apportioned under paragraph 
        (3)(A) to carry out the capacity and infrastructure 
        program under subsection (a) shall be apportioned as 
        follows:
                  (A) Four percent shall be retained by the 
                Department of Agriculture for administration, 
                program assistance to the eligible 
                institutions, and program coordination.
                  (B) 48 percent shall be distributed among the 
                several States in the proportion that the value 
                of and income to producers from domestic 
                livestock, poultry, and commercial aquaculture 
                species in each State bears to the total value 
                of and income to producers from domestic 
                livestock, poultry, and commercial aquaculture 
                species in all the States. The Secretary shall 
                determine the total value of and income from 
                domestic livestock, poultry, and commercial 
                aquaculture species in all the States and the 
                proportionate value of and income from domestic 
                livestock, poultry, and commercial aquaculture 
                species for each State, based on the most 
                current inventory of all cattle, sheep, swine, 
                horses, poultry, and commercial aquaculture 
                species published by the Department of 
                Agriculture.
                  (C) 48 percent shall be distributed among the 
                several States in the proportion that the 
                animal health research capacity of the eligible 
                institutions in each State bears to the total 
                animal health research capacity in all the 
                States. The Secretary shall determine the 
                animal health research capacity of the eligible 
                institutions.
          (5) Special rules for apportionment of certain 
        funds.--With respect to funds reserved under paragraph 
        (2) and apportioned under paragraph (3)(A) to carry out 
        the capacity and infrastructure program under 
        subsection (a), the following shall apply:
                  (A) When the amount available under this 
                section for allotment to any State on the basis 
                of domestic livestock, poultry, and commercial 
                aquaculture species values and incomes exceeds 
                the amount for which the eligible institution 
                or institutions in the State are eligible on 
                the basis of animal health research capacity, 
                the excess may be used, at the discretion of 
                the Secretary, for remodeling of facilities, 
                construction of new facilities, or increase in 
                staffing, proportionate to the need for added 
                research capacity.
                  (B) Whenever a new college of veterinary 
                medicine is established in a State and is 
                accredited, the Secretary, after consultation 
                with the dean of such college and the director 
                of the State agricultural experiment station 
                and where applicable, deans of other accredited 
                colleges in the State, shall provide for the 
                reallocation of funds available to the State 
                pursuant to paragraph (4) between the new 
                college and other eligible institutions in the 
                State, based on the animal health research 
                capacity of each eligible institution.
                  (C) Whenever two or more States jointly 
                establish an accredited regional college of 
                veterinary medicine or jointly support an 
                accredited college of veterinary medicine 
                serving the States involved, the Secretary is 
                authorized to make funds which are available to 
                such States pursuant to paragraph (4) available 
                for such college in such amount that reflects 
                the combined relative value of, and income 
                from, domestic livestock, poultry, and 
                commercial aquaculture species in the 
                cooperating States, such amount to be adjusted, 
                as necessary, pursuant to subsection (a)(1) and 
                subparagraph (B).

           *       *       *       *       *       *       *


              Subtitle G--1890 Land-Grant College Funding

SEC. 1444. EXTENSION AT 1890 LAND-GRANT COLLEGES, INCLUDING TUSKEGEE 
                    UNIVERSITY.

  (a) Authorization of Appropriations.--
          (1) In general.--There are hereby authorized to be 
        appropriated annually such sums as Congress may 
        determine necessary to support continuing agricultural 
        and forestry extension at colleges eligible to receive 
        funds under the Act of August 30, 1890 (26 Stat. 417-
        419, as amended; 7 U.S.C. 321-326 and 328), including 
        Tuskegee University (hereinafter in this section 
        referred to as ``eligible institutions'').
          (2) Minimum amount.--Beginning with fiscal year 2003, 
        there shall be appropriated under this section for each 
        fiscal year an amount that is not less than 20 percent 
        of the total appropriations for such year under the Act 
        of May 8, 1914 (7 U.S.C. 341 et seq.), and related acts 
        pertaining to cooperative extension work at the land-
        grant institutions identified in the Act of May 8, 1914 
        (38 Stat. 372, chapter 79; 7 U.S.C. 341 et seq.), 
        except that for the purpose of this calculation, the 
        total appropriations shall not include amounts made 
        available under section 3(d) of that Act (7 U.S.C. 
        343(d)).
          (3) Uses.--Funds appropriated under this section 
        shall be used for expenses of conducting extension 
        programs and activities, and for contributing to the 
        retirement of employees subject to the provisions of 
        the Act of March 4, 1940 (54 Stat. 30-40, as amended; 7 
        U.S.C. 331).
          [(4) Carryover.--No more than 20 per centum of the 
        funds received by an institution in any fiscal year may 
        be carried forward to the succeeding fiscal year.]
  (b) Beginning with the fiscal year ending September 30, 
1979--
          (1) any funds annually appropriated under this 
        section up to the amount appropriated for the fiscal 
        year ending September 30, 1978, pursuant to section 
        3(d) of the Act of May 8, 1914, as amended, for 
        eligible institutions, shall be allocated among the 
        eligible institutions in the same proportion as funds 
        appropriated under section 3(d) of the Act of May 8, 
        1914, as amended, for the fiscal year ending September 
        30, 1978, are allocated among the eligible 
        institutions; and
          (2) any funds appropriated annually under this 
        section in excess of an amount equal to the amount 
        appropriated under section 3(d) of the Act of May 8, 
        1914, for the fiscal year ending September 30, 1978, 
        for eligible institutions, shall be distributed as 
        follows:
                  (A) A sum equal to 4 per centum of the total 
                amount appropriated each fiscal year under this 
                section shall be allotted to the National 
                Institute of Food and Agriculture of the 
                Department of Agriculture for administrative, 
                technical, and other services, and for 
                coordinating the extension work of the 
                Department of Agriculture and the several 
                States.
                  (B) Of the remainder, 20 per centum shall be 
                allotted among the eligible institutions in 
                equal proportions; 40 per centum shall be 
                allotted among the eligible institutions in the 
                proportion that the rural population of the 
                State in which each eligible institution is 
                located bears to the total rural population of 
                all the States in which eligible institutions 
                are located, as determined by the last 
                preceding decennial census current at the time 
                each such additional sum is first appropriated; 
                and the balance shall be allotted amount the 
                eligible institutions in the proportion that 
                the farm population of the State in which each 
                eligible institution is located bears to the 
                total farm population of all the States in 
                which the eligible institutions are located, as 
                determined by the last preceding decennial 
                census current at the time each such additional 
                sum is first appropriated.
In computing the distribution of funds allocated under 
paragraph (2) of this subsection, the allotments to Tuskegee 
University and Alabama Agricultural and Mechanical University 
shall be determined as if each institution were in a separate 
State.
  (c) The State director of the cooperative extension service 
and the extension administrator at the eligible institution in 
each State where an eligible institution is located shall 
jointly develop, by mutual agreement, a comprehensive program 
of extension for such State to be submitted for approval by the 
Secretary within one year after the date of enactment of this 
title and each five years thereafter.
  (d) Ascertainment of Entitlement to Funds; Time and Manner of 
Payment; State Reporting Requirements; Plans of Work.--
          (1) Ascertainment of entitlement.--On or about the 
        first day of October in each year after enactment of 
        this title, the Secretary shall ascertain whether each 
        eligible institution is entitled to receive its share 
        of the annual appropriation for extension work under 
        this section and the amount which it is entitled to 
        receive. Before the funds herein provided shall become 
        available to any eligible institution for any fiscal 
        year, plans for the work to be carried out under this 
        section shall be submitted, as part of the State plan 
        of work, and approved by the Secretary.
          (2) Time and manner of payment; related reports.--The 
        amount to which an eligible institution is entitled 
        shall be paid in equal quarterly payments on or about 
        October 1, January 1, April 1, and July 1 of each year 
        to the treasurer or other officer of the eligible 
        institution duly authorized to receive such payments 
        and such officer shall be required to report to the 
        Secretary on or about the first day of December of each 
        year a detailed statement of the amount so received 
        during the previous fiscal year and its disbursement, 
        on forms prescribed by the Secretary.
          (3) Requirements related to plan of work.--Each plan 
        of work for an eligible institution required under this 
        section shall contain descriptions of the following:
                  [(A) The critical short-term, intermediate, 
                and long-term agricultural issues in the State 
                in which the eligible institution is located 
                and the current and planned extension programs 
                and projects targeted to address the issues.
                  [(B) The process established to consult with 
                extension users regarding the identification of 
                critical agricultural issues in the State and 
                the development of extension programs and 
                projects targeted to address the issues.
                  [(C) The efforts made to identify and 
                collaborate with other colleges and 
                universities within the State, and within other 
                States, that have a unique capacity to address 
                the identified agricultural issues in the State 
                and the extent of current and emerging efforts 
                (including regional extension efforts) to work 
                with those other institutions.
                  [(D) The manner in which research and 
                extension, including research and extension 
                activities funded other than through formula 
                funds, will cooperate to address the critical 
                issues in the State, including the activities 
                to be carried out separately, the activities to 
                be carried out sequentially, and the activities 
                to be carried out jointly.
                  [(E) The education and outreach programs 
                already underway to convey currently available 
                research results that are pertinent to a 
                critical agricultural issue, including efforts 
                to encourage multicounty cooperation in the 
                dissemination of research results.]
                  (A) A summary of planned projects or programs 
                in the State using formula funds.
                  (B) A description of matching funds provided 
                by the State with respect to the previous 
                fiscal year.
          (4) Extension protocols.--
                  (A) In general.--The Secretary shall develop 
                protocols to be used to evaluate the success of 
                multistate, multi-institutional, and 
                multidisciplinary extension activities and 
                joint research and extension activities in 
                addressing critical agricultural issues 
                identified in the plans of work submitted under 
                this section.
                  (B) Consultation.--The Secretary shall 
                develop the protocols in consultation with the 
                Advisory Board and land-grant colleges and 
                universities.
          (5) Treatment of plans of work for other purposes.--
        To the maximum extent practicable, the Secretary shall 
        consider a plan of work submitted under this section to 
        satisfy other appropriate Federal reporting 
        requirements.
          (6) Relationship to audits.--Notwithstanding any 
        other provision of law, the procedures established 
        pursuant to paragraph (3) shall not be subject to audit 
        to determine the sufficiency of such procedures.
  (e) If any portion of the moneys received by any eligible 
institution for the support and maintenance of extension work 
as provided in this section shall by any action or contingency 
be diminished or lost or be misapplied, it shall be replaced by 
such institution and until so replaced no subsequent 
appropriation shall be apportioned or paid to such institution. 
No portion of such moneys shall be applied, directly or 
indirectly, to the purchase, erection, preservation, or repair 
of any building or buildings, or the purchase or rental of 
land, or in college course teaching, lectures in college, or 
any other purpose not specified in this section. It shall be 
the duty of such institution, annually, on or about the first 
day of January, to make to the Governor of the State in which 
it is located a full and detailed report of its operations in 
extension work, including a detailed statement of receipts and 
expenditures from all sources for this purpose, a copy of which 
report shall be sent to the Secretary.
  (f) To the extent that the official mail consists of 
correspondence, bulletins, and reports for furtherance of the 
purposes of this section, it shall be transmitted in the mails 
of the United States. Such items may be mailed from a principal 
place of business of each eligible institution or from an 
established subunit of such institution.

SEC. 1445. AGRICULTURAL RESEARCH AT 1890 LAND-GRANT COLLEGES, INCLUDING 
                    TUSKEGEE UNIVERSITY.

  (a) Authorization of Appropriations.--
          (1) In general.--There are hereby authorized to be 
        appropriated annually such sums as Congress may 
        determine necessary to support continuing agricultural 
        research at colleges eligible to receive funds under 
        the Act of August 30, 1890 (26 Stat. 417-419, as 
        amended; 7 U.S.C. 321-326 and 328), including Tuskegee 
        University (hereinafter referred to in this section as 
        ``eligible institutions'').
          (2) Minimum amount.--Beginning with fiscal year 2003, 
        there shall be appropriated under this section for each 
        fiscal year an amount that is not less than 30 percent 
        of the total appropriations for the fiscal year under 
        section 3 of the Hatch Act of 1887 (7 U.S.C. 361c).
          (3) Uses.--Funds appropriated under this section 
        shall be used for expenses of conducting agricultural 
        research, printing, disseminating the results of such 
        research, contributing to the retirement of employees 
        subject to the provisions of the Act of March 4, 1940 
        (54 Stat. 39-40, as amended; 7 U.S.C. 331), 
        administrative planning and direction, and purchase and 
        rental of land and the construction, acquisition, 
        alteration, or repair of buildings necessary for 
        conducting agricultural research.
          (4) Coordination.--The eligible institutions are 
        authorized to plan and conduct agricultural research in 
        cooperation with each other and such agencies, 
        institutions, and individuals as may contribute to the 
        solution of agricultural problems, and moneys 
        appropriated pursuant to this section shall be 
        available for paying the necessary expenses of 
        planning, coordinating, and conducting such cooperative 
        research.
          (5) Carryover.--
                  (A) In general.--The balance of any annual 
                funds provided to an eligible institution for a 
                fiscal year under this section that remains 
                unexpended at the end of the fiscal year may be 
                carried over for use during the following 
                fiscal year.
                  (B) Failure to expend full amount.--
                          (i) In general.--If any unexpended 
                        balance carried over by an eligible 
                        institution is not expended by the end 
                        of the second fiscal year, an amount 
                        equal to the unexpended balance shall 
                        be deducted from the next succeeding 
                        annual allotment to the eligible 
                        institution.
                          (ii) Redistribution.--Federal funds 
                        that are deducted under clause (i) for 
                        a fiscal year shall be redistributed by 
                        the Secretary in accordance with the 
                        formula set forth in subsection 
                        (b)(2)(B) to those eligible 
                        institutions for which no deduction 
                        under clause (i) has been taken for 
                        that fiscal year.
  (b) Beginning with the fiscal year ending September 30, 1979, 
the funds appropriated in each fiscal year under this section 
shall be distributed as follows:
          (1) Three per centum shall be available to the 
        Secretary for administration of this section. These 
        administrative funds may be used for transportation of 
        scientists who are not officers or employees of the 
        United States to research meetings convened for the 
        purpose of assessing research opportunities or research 
        planning.
          (2) The remainder shall be allotted among the 
        eligible institutions as follows:
                  (A) Funds up to the total amount made 
                available to all eligible institutions in the 
                fiscal year ending September 30, 1978, under 
                section 2 of the Act of August 4, 1965 (79 
                Stat. 431; 7 U.S.C. 450i), shall be allocated 
                among the eligible institutions in the same 
                proportion as funds made available under 
                section 2 of the Act of August 4, 1965, for the 
                fiscal year ending September 30, 1978, are 
                allocated among the eligible institutions.
                  (B) Of funds in excess of the amount 
                allocated under subparagraph (A) of this 
                paragraph, 20 per centum shall be allotted 
                among eligible institutions in equal 
                proportions; 40 per centum shall be allotted 
                among the eligible institutions in the 
                proportion that the rural population of the 
                State in which each eligible institution is 
                located bears to the total rural population of 
                all the States in which eligible institution 
                are located, as determined by the last 
                preceding decennial census current at the time 
                each such additional sum is first appropriated; 
                and the balance shall be allotted among the 
                eligible institutions in the proportion that 
                the farm population of the State in which each 
                eligible institution is located bears to the 
                total farm population of all the States in 
                which the eligible institutions are located, as 
                determined by the last preceding decennial 
                census current at the time each such additional 
                sum is first appropriated. In computing the 
                distribution of funds allocated under this 
                subparagraph, the allotments to Tuskegee 
                University and Alabama Agricultural and 
                Mechanical University shall be determined as if 
                each institution were in a separate State.
  (c) Program and Plans of Work.--
          (1) Initial comprehensive program of agricultural 
        research.--The director of the State agricultural 
        experiment station in each State where an eligible 
        institution is located and the research director 
        specified in subsection (d) of this section in each of 
        the eligible institutions in such State shall jointly 
        develop, by mutual agreement, a comprehensive program 
        of agricultural research in such State, to be submitted 
        for approval by the Secretary within one year after the 
        date of enactment of this title.
          (2) Plan of work required.--Before funds may be 
        provided to an eligible institution under this section 
        for any fiscal year, a plan of work to be carried out 
        under this section shall be submitted by the research 
        director specified in subsection (d) and shall be 
        approved by the Secretary.
          (3) Requirements related to plan of work.--Each plan 
        of work required under paragraph (2) shall contain 
        descriptions of the following:
                  [(A) The critical short-term, intermediate, 
                and long-term agricultural issues in the State 
                in which the eligible institution is located 
                and the current and planned research programs 
                and projects targeted to address the issues.
                  [(B) The process established to consult with 
                users of agricultural research regarding the 
                identification of critical agricultural issues 
                in the State and the development of research 
                programs and projects targeted to address the 
                issues.
                  [(C) Other colleges and universities within 
                the State, and within other States, that have a 
                unique capacity to address the identified 
                agricultural issues in the State.
                  [(D) The current and emerging efforts to work 
                with those other institutions to build on each 
                other's experience and take advantage of each 
                institution's unique capacities.
                  [(E) The manner in which research and 
                extension, including research and extension 
                activities funded other than through formula 
                funds, will cooperate to address the critical 
                issues in the State, including the activities 
                to be carried out separately, the activities to 
                be carried out sequentially, and the activities 
                to be carried out jointly.]
                  (A) A summary of planned projects or programs 
                in the State using formula funds.
                  (B) A description of matching funds provided 
                by the State with respect to the previous 
                fiscal year.
          (4) Research protocols.--
                  (A) In general.--The Secretary shall develop 
                protocols to be used to evaluate the success of 
                multistate, multi-institutional, and 
                multidisciplinary research activities and joint 
                research and extension activities in addressing 
                critical agricultural issues identified in the 
                plans of work submitted under paragraph (2).
                  (B) Consultation.--The Secretary shall 
                develop the protocols in consultation with the 
                Advisory Board and land-grant colleges and 
                universities.
          (5) Treatment of plans of work for other purposes.--
        To the maximum extent practicable, the Secretary shall 
        consider a plan of work submitted under paragraph (2) 
        to satisfy other appropriate Federal reporting 
        requirements.
          (6) Relationship to audits.--Notwithstanding any 
        other provision of law, the procedures established 
        pursuant to paragraph (3) shall not be subject to audit 
        to determine the sufficiency of such procedures.
  (d) Sums available for allotment to the eligible institutions 
under the terms of this section shall be paid to such 
institutions in equal quarterly payments beginning on or about 
the first day of October of each year upon vouchers approved by 
the Secretary. The President of each eligible institution shall 
appoint a research director who shall be responsible for 
administration of the program authorized herein. Each eligible 
institution shall designate a treasurer or other officer who 
shall receive and account for all funds allotted to such 
institution under the provisions of this section and shall 
report, with the approval of the chief administrative officer, 
to the Secretary on or before the first day of December of each 
year a detailed statement of the amount received under the 
provisions of this section during the preceding fiscal year and 
its disbursement on schedules prescribed by the Secretary. If 
any portion of the allotted moneys received by any eligible 
institution shall by any action or contingency be diminished, 
lost, or misapplied, it shall be replaced by such institution 
and until so replaced no subsequent appropriation shall be 
allotted or paid to such institution. Funds made available to 
eligible institutions shall not be used for payment of 
negotiated overhead or indirect cost rates.
  (e) Bulletins, reports, periodicals, reprints or articles, 
and other publications necessary for the dissemination of 
results of the research and experiments funded under this 
section including lists of publications available for 
distribution by the eligible institutions, shall be transmitted 
in the mails of the United States. Such publications may be 
mailed from the principal place of business of each eligible 
institution or from an established subunit of such institution.
  (f) The Secretary shall be responsible for the proper 
administration of this section, and is authorized and directed 
to prescribe such rules and regulations as may be necessary to 
carry out its provisions. It shall be the duty of the Secretary 
to furnish such advice and assistance as will best promote the 
purposes of this section, including participation in 
coordination of research initiated under this section by the 
eligible institutions, from time to time to indicate such lines 
of inquiry as to the Secretary seem most important, and to 
encourage and assist in the establishment and maintenance of 
cooperation by and between the several eligible institutions, 
the State agricultural experiment stations, and between them 
and the Department of Agriculture.
  (g) On or before the first day of October in each year after 
the enactment of this title, the Secretary shall ascertain 
whether each eligible institution is entitled to receive its 
share of the annual appropriations under this section and the 
amount which thereupon each is entitled, respectively, to 
receive.
  (h) Nothing in this section shall be construed to impair or 
modify the legal relationship existing between any of the 
eligible institutions and the government of the States in which 
they are respectively located.

SEC. 1446. SCHOLARSHIPS FOR STUDENTS AT 1890 INSTITUTIONS.

  (a) In General.--
          (1) Scholarship grant program established.--The 
        Secretary shall establish and carry out a grant program 
        to make grants to each college or university eligible 
        to receive funds under the Act of August 30, 1890 
        (commonly known as the Second Morrill Act; 7 U.S.C. 322 
        et seq.), including Tuskegee University, for purposes 
        of awarding scholarships to individuals who--
                  (A) have been accepted for admission at such 
                college or university;
                  (B) will be enrolled at such college or 
                university not later than one year after the 
                date of such acceptance; and
                  (C) intend to pursue a career in the food and 
                agricultural sciences, including a career in--
                          (i) agribusiness;
                          (ii) energy and renewable fuels; or
                          (iii) financial management.
          (2) Amount of grant.--Each grant made under this 
        section shall be in the amount of $1,000,000.
  (b) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $19,000,000 for each 
of fiscal years 2019 through 2023.

SEC. 1447. GRANTS TO UPGRADE AGRICULTURAL AND FOOD SCIENCES FACILITIES 
                    AT 1890 LAND-GRANT COLLEGES, INCLUDING TUSKEGEE 
                    UNIVERSITY.

  (a) Purpose.--It is hereby declared to be the intent of 
Congress to assist the institutions eligible to receive funds 
under the Act of August 30, 1890, including Tuskegee University 
(hereafter referred to in this section as ``eligible 
institutions'') in the acquisition and improvement of 
agricultural and food sciences facilities and equipment, 
including libraries, so that the eligible institutions may 
participate fully in the production of human capital.
  (b) Authorization of Appropriations.--There are authorized to 
be appropriated to the Secretary of Agriculture for the 
purposes of carrying out the provisions of this section, 
$25,000,000 for each of fiscal years 2002 through [2018] 2023, 
and such sums shall remain available until expended.
  (c) Use of Grant Funds.--Four percent of the sums 
appropriated pursuant to this section shall be available to the 
Secretary for administration of this grants program. The 
remaining funds shall be available for grants to eligible 
institutions for the purpose of assisting them in the purchase 
of equipment and land, the planning, construction, alteration, 
or renovation of buildings to strengthen their capacity in the 
production of human capital in the food and agricultural 
sciences and can be used at the discretion of the eligible 
institutions in the areas of research, extension, and resident 
instruction or any combination thereof.
  (d) 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 shall determine necessary for 
carrying out the purposes of this section.
  (e) Prohibition of Certain Uses.--Federal funds provided 
under this section may not be utilized for the payment of any 
overhead costs of the eligible institutions.
  (f) Regulations.--The Secretary may promulgate such rules and 
regulations as the Secretary may consider necessary to carry 
out the provisions of this section.

           *       *       *       *       *       *       *


SEC. 1447B. GRANTS TO UPGRADE AGRICULTURE AND FOOD SCIENCES FACILITIES 
                    AND EQUIPMENT AND SUPPORT TROPICAL AND SUBTROPICAL 
                    AGRICULTURAL RESEARCH AT INSULAR AREA LAND-GRANT 
                    COLLEGES AND UNIVERSITIES.

  (a) Purpose.--It is the intent of Congress to assist the 
land-grant colleges and universities in the insular areas in 
efforts to--
          (1) acquire, alter, or repair facilities or relevant 
        equipment necessary for conducting agricultural 
        research; and
          (2) support tropical and subtropical agricultural 
        research, including pest and disease 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 [2018] 2023.

           *       *       *       *       *       *       *


         Subtitle H--Programs for Hispanic-Serving Institutions

SEC. 1455. EDUCATION GRANTS PROGRAMS FOR HISPANIC-SERVING INSTITUTIONS.

  (a) Grant Authority.--The Secretary may make competitive 
grants to Hispanic-serving institutions for the purpose of 
promoting and strengthening the ability of Hispanic-serving 
institutions to carry out education, applied research, and 
related community development programs.
  (b) Use of Grant Funds.--Grants made under this section shall 
be used--
          (1) to support the activities of Hispanic-serving 
        institutions to enhance educational equity for 
        underrepresented students;
          (2) to strengthen institutional educational 
        capacities, including libraries, curriculum, faculty, 
        scientific instrumentation, instruction delivery 
        systems, and student recruitment and retention, in 
        order to respond to identified State, regional, 
        national, or international educational needs in the 
        food and agricultural sciences;
          (3) to attract and support undergraduate and graduate 
        students from underrepresented groups in order to 
        prepare them for careers related to the food, 
        agricultural, and natural resource systems of the 
        United States, beginning with the mentoring of students 
        at the high school level and continuing with the 
        provision of financial support for students through 
        their attainment of a doctoral degree; and
          (4) to facilitate cooperative initiatives between 2 
        or more Hispanic-serving institutions, or between 
        Hispanic-serving institutions and units of State 
        government or the private sector, to maximize the 
        development and use of resources, such as faculty, 
        facilities, and equipment, to improve food and 
        agricultural sciences teaching programs.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to make grants under this section $40,000,000 
for each of fiscal years 1997 through [2018] 2023.

           *       *       *       *       *       *       *


Subtitle I--International Research, Extension, and Teaching

           *       *       *       *       *       *       *


SEC. 1459A. COMPETITIVE GRANTS FOR INTERNATIONAL AGRICULTURAL SCIENCE 
                    AND EDUCATION PROGRAMS.

  (a) Competitive Grants Authorized.--The Secretary may make 
competitive grants to colleges and universities in order to 
strengthen United States economic competitiveness and to 
promote international market development.
  (b) Purpose of Grants.--Grants under this section shall be 
directed to agricultural research, extension, and teaching 
activities that will--
          (1) enhance the international content of the 
        curricula in colleges and universities so as to ensure 
        that United States students acquire an understanding of 
        the international dimensions and trade implications of 
        their studies;
          (2) ensure that United States scientists, extension 
        agents, and educators involved in agricultural research 
        and development activities outside of the United States 
        have the opportunity to convey the implications of 
        their activities and findings to their peers and 
        students in the United States and to the users of 
        agricultural research, extension, and teaching;
          (3) enhance the capabilities of colleges and 
        universities to do collaborative research with other 
        countries, in cooperation with other Federal agencies, 
        on issues relevant to United States agricultural 
        competitiveness;
          (4) enhance the capabilities of colleges and 
        universities to provide cooperative extension education 
        to promote the application of new technology developed 
        in foreign countries to United States agriculture; and
          (5) enhance the capability of United States colleges 
        and universities, in cooperation with other Federal 
        agencies, to provide leadership and educational 
        programs that will assist United States natural 
        resources and food production, processing, and 
        distribution businesses and industries to compete 
        internationally, including product market 
        identification, international policies limiting or 
        enhancing market production, development of new or 
        enhancement of existing markets, and production 
        efficiencies.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section--
          (1) such sums as are necessary for each of fiscal 
        years 1999 through 2013; and
          (2) $5,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

           *       *       *       *       *       *       *


            Subtitle K--Funding and Miscellaneous Provisions

SEC. 1462. LIMITATION ON INDIRECT COSTS FOR AGRICULTURAL RESEARCH, 
                    EDUCATION, AND EXTENSION PROGRAMS.

  (a) In General.--Except as otherwise provided in law, 
indirect costs charged against any agricultural research, 
education, or extension grant awarded under this Act or any 
other Act pursuant to authority delegated to the Under 
Secretary of Agriculture for Research, Education, and Economics 
shall not exceed [22 percent] 30 percent of the total Federal 
funds provided under the grant award, as determined by the 
Secretary.
  (b) Exception.--[Subsection (a)] Subsections (a) and (c) 
shall not apply to a grant awarded competitively under section 
9 of the Small Business Act (15 U.S.C. 638).
  (c) Treatment of Subgrants.--In the case of a grant described 
in subsection (a), the limitation on indirect costs specified 
in such subsection shall be applied to both the initial grant 
award and any subgrant of the Federal funds provided under the 
initial grant award so that the total of all indirect costs 
charged against the total of the Federal funds provided under 
the initial grant award does not exceed such limitation.

SEC. 1462A. RESEARCH EQUIPMENT GRANTS.

  (a) In General.--The Secretary may make competitive grants 
for the acquisition of special purpose scientific research 
equipment for use in the food and agricultural sciences 
programs of eligible institutions.
  (b) Maximum Amount.--The amount of a grant made to an 
eligible institution under this section may not exceed 
$500,000.
  (c) Prohibition on Charge or Equipment as Indirect Costs.--
The cost of acquisition or depreciation of equipment purchased 
with a grant under this section shall not be--
          (1) charged as an indirect cost against another 
        Federal grant; or
          (2) included as part of the indirect cost pool for 
        purposes of calculating the indirect cost rate of an 
        eligible institution.
  (d) Eligible Institutions Defined.--In this section, the term 
``eligible institution'' means--
          (1) a college or university; or
          (2) a State cooperative institution.
  (e) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2019 through 2023.

     authorization for appropriations for existing and certain new 
                     agricultural research programs

  Sec. 1463. (a) Notwithstanding any authorization for 
appropriations for agricultural research in any Act enacted 
prior to the date of enactment of this title, there are hereby 
authorized to be appropriated for the purposes of carrying out 
the provisions of this title, except sections 1417, 1420, and 
the competitive grants program provided for in section 1414, 
and except that the authorization for moneys provided under the 
Act of March 2, 1887 (24 Stat. 440-442, as amended; 7 U.S.C. 
361a-361i), is excluded and is provided for in subsection (b) 
of this section, such sums as may be necessary for each of 
fiscal years 1991 through [2018] 2023.
  (b) Notwithstanding any authorization for appropriations for 
agricultural research at State agricultural experiment stations 
in any Act enacted prior to the date of enactment of this 
title, there are hereby authorized to be appropriated for the 
purpose of conducting agricultural research at State 
agricultural experiment stations pursuant to the Act of March 
2, 1887 (24 Stat. 440-442, as amended; 7 U.S.C. 361a-361i), 
such sums as may be necessary for each of fiscal years 1991 
through [2018] 2023.
  (c) Notwithstanding any other provision of law effective 
beginning October 1, 1983, not less than 25 per centum of the 
total funds appropriated to the Secretary in any fiscal year 
for the conduct of the cooperative research program provided 
for under the Act of March 2, 1887, commonly known as the Hatch 
Act (7 U.S.C. 361a et seq.); the cooperative forestry research 
program provided for under the Act of October 10, 1962, 
commonly known as the McIntire-Stennis Act (16 U.S.C. 582a et 
seq.); the special and competitive grants programs provided for 
in sections 2(b) and 2(c) of the Act of August 4, 1965 (7 
U.S.C. 450i); the animal health research program provided for 
under sections 1433(a) and 1434 of this title; the native latex 
research program provided for in the Native Latex 
Commercialization and Economic Development Act of 1978 (7 
U.S.C. 178 et seq.); and the research provided for under 
various statutes for which funds are appropriated under the 
Agricultural Research heading or a successor heading, shall be 
appropriated for research at State agricultural experiment 
stations pursuant to the provision of the Act of March 2, 1887.

        authorization for appropriations for extension education

  Sec. 1464. Notwithstanding any authorization for 
appropriations for the Cooperative Extension Service in any Act 
enacted prior to the date of enactment of this title, there are 
hereby authorized to be appropriated for the purposes of 
carrying out the extension programs of the Department of 
Agriculture such sums as may be necessary for each of fiscal 
years 1991 through [2018] 2023.

           *       *       *       *       *       *       *


                   supplemental and alternative crops

  Sec. 1473D. (a) Notwithstanding any other provision of law, 
during the period beginning October 1, 1986, and ending 
September 30, [2018] 2023, the Secretary shall develop and 
implement a research project for the development of 
supplemental and alternative [crops,] crops (including canola), 
using such funds as are appropriated to the Secretary each 
fiscal year under this title.
  (b) The development of supplemental and alternative crops for 
agronomic rotational purposes and for use as a habitat for 
honey bees and other pollinators is of critical importance to 
producers of agricultural [commodities whose livelihood is 
threatened by the decline in demand experienced with respect to 
certain of their crops due to changes in consumption patterns 
or other related causes.] commodities.
  (c)(1) The Secretary shall make competitive grants to further 
the purposes of this section in the implementation of a 
comprehensive and integrated program.
  (2) The program developed and implemented by the Secretary 
shall include--
          (A) an examination of the adaptation of supplemental 
        and alternative crops;
          (B) the establishment and extension of various 
        methods of planting, cultivating, harvesting, and 
        processing supplemental and alternative crops;
          (C) the transfer of such applied research to on-farm 
        practice as soon as practicable;
          (D) the establishment through grants, cooperative 
        agreements, or other means of such processing, storage, 
        and transportation facilities for supplemental and 
        alternative crops as the Secretary determines will 
        facilitate the achievement of a successful program; and
          (E) the application of such other resources and 
        expertise as the Secretary considers appropriate to 
        support the program.
  (3) The program may include, but shall not be limited to, 
agreements, grants, and other arrangements--
          (A) to conduct comprehensive resource and 
        infrastructure assessments;
          (B) to develop and introduce supplemental and 
        alternative income-producing crops;
          (C) to develop and expand domestic and export markets 
        for such crops;
          (D) to provide technical assistance to farm owners 
        and operators, marketing cooperative, and others;
          (E) to conduct fundamental and applied research 
        related to the development of new commercial products 
        derived from natural plant material for industrial, 
        medical, and agricultural applications; and
          (F) to participate with colleges and universities, 
        other Federal agencies, and private sector entities in 
        conducting research described in subparagraph (E).
  (d) The Secretary shall use the expertise and resources of 
the Agricultural Research Service, the National Institute of 
Food and Agriculture, and the land-grant colleges and 
universities for the purpose of carrying out this section.
  (e) There are authorized to be appropriated to carry out this 
section--
          (1) such sums as are necessary for fiscal year 2013; 
        and
          (2) $1,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

           *       *       *       *       *       *       *


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 activities 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 concerns to--
                          (i) interested members of the 
                        agriculture, renewable resources, and 
                        other relevant communities;
                          (ii) the public; and
                          (iii) any other interested entity;
                  (C) to encourage members of the agriculture, 
                renewable resources, and other relevant 
                communities to participate 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 [2018] 2023.

[SEC. 1473G. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND TECHNOLOGY 
                    FELLOWSHIP PROGRAM.

  [(a) Fellowship Program.--
          [(1) In general.--The Secretary shall establish a 
        fellowship program, to be known as the ``Borlaug 
        International Agricultural Science and Technology 
        Fellowship Program,'' to provide 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 
        fellowship 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 scientists;
                  [(B) increasing scientific knowledge and 
                collaborative research to improve agricultural 
                productivity; and
                  [(C) extending that knowledge to users and 
                intermediaries 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 technologies to strengthen 
                agricultural practice; and
                  [(D) the reduction of barriers to technology 
                adoption.
  [(d) Fellowship Recipients.--
          [(1) Eligible candidates.--The Secretary may provide 
        fellowships under this section to individuals from 
        eligible countries who specialize or have experience in 
        agricultural education, 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 universities 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. 1473G. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND TECHNOLOGY 
                    FELLOWSHIP PROGRAM.

  (a) Fellowship Program.--
          (1) Establishment.--The Secretary shall establish a 
        fellowship program, to be known as the ``Borlaug 
        International Agricultural Science and Technology 
        Fellowship Program''.
          (2) Fellowships to individuals from eligible 
        countries.--As part of the fellowship program, the 
        Secretary shall provide fellowships to individuals from 
        eligible countries as described in subsection (b) who 
        specialize in agricultural education, research, and 
        extension for scientific training and study designed to 
        assist individual fellowship recipients, including the 
        following 3 programs:
                  (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.
                  (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.
          (3) Fellowships to united states citizens.--As part 
        of the fellowship program, the Secretary shall provide 
        fellowships to citizens of the United States to assist 
        eligible countries in developing school-based 
        agricultural education and youth extension programs.
  (b) Eligible Country Described.--For purposes of this 
section, 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.--
          (1) Fellowships to individuals from eligible 
        countries.--A fellowship provided under subsection 
        (a)(2) shall--
                  (A) promote food security and economic growth 
                in eligible countries by--
                          (i) educating a new generation of 
                        agricultural scientists;
                          (ii) increasing scientific knowledge 
                        and collaborative research to improve 
                        agricultural productivity; and
                          (iii) extending that knowledge to 
                        users and intermediaries in the 
                        marketplace; and
                  (B) support--
                          (i) training and collaborative 
                        research opportunities through 
                        exchanges for entry level international 
                        agricultural research scientists, 
                        faculty, and policymakers from eligible 
                        countries;
                          (ii) collaborative research to 
                        improve agricultural productivity;
                          (iii) the transfer of new science and 
                        agricultural technologies to strengthen 
                        agricultural practice; and
                          (iv) the reduction of barriers to 
                        technology adoption.
          (2) Fellowships to united states citizens.--A 
        fellowship provided under subsection (a)(3) shall--
                  (A) develop globally minded United States 
                agriculturists with experience living abroad;
                  (B) focus on meeting the food and fiber needs 
                of the domestic population of eligible 
                countries; and
                  (C) strengthen and enhance trade linkages 
                between eligible countries and the United 
                States agricultural industry.
  (d) Fellowship Recipients.--
          (1) Fellowships to individuals from eligible 
        countries.--
                  (A) Eligible candidates.--The Secretary may 
                provide fellowships under subsection (a)(2) to 
                individuals from eligible countries who 
                specialize or have experience in agricultural 
                education, research, extension, or related 
                fields, including--
                          (i) individuals from the public and 
                        private sectors; and
                          (ii) private agricultural producers.
                  (B) Candidate identification.--For 
                fellowships under subsection (a)(2), the 
                Secretary shall use the expertise of United 
                States land-grant colleges and universities and 
                similar universities, international 
                organizations working in agricultural research 
                and outreach, and national agricultural 
                research organizations to help identify program 
                candidates for fellowships from the public and 
                private sectors of eligible countries.
                  (C) Location of training.--The scientific 
                training or study of fellowship recipients 
                under subsection (a)(2) shall occur--
                          (i) in the United States; or
                          (ii) at a college or university 
                        located in an eligible country that the 
                        Secretary determines--
                                  (I) has sufficient scientific 
                                and technical facilities;
                                  (II) has established a 
                                partnership with at least one 
                                college or university in the 
                                United States; and
                                  (III) has substantial 
                                participation by faculty 
                                members of the United States 
                                college or university in the 
                                design of the fellowship 
                                curriculum and classroom 
                                instruction under the 
                                fellowship.
          (2) Fellowships to united states citizens.--
                  (A) Eligible candidates.--The Secretary may 
                provide fellowships under subsection (a)(3) to 
                citizens of the United States who--
                          (i) hold at least a bachelors degree 
                        in an agricultural related field of 
                        study; and
                          (ii) have an understanding of United 
                        States school-based agricultural 
                        education and youth extension programs, 
                        as determined by the Secretary.
                  (B) Candidate identification.--For 
                fellowships under subsection (a)(3), the 
                Secretary shall consult with the National FFA 
                Organization, the National 4-H Council, and 
                other entities as the Secretary deems 
                appropriate to identify candidates for 
                fellowships.
  (e) 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), except that--
          (1) the Secretary may contract out to 1 or more 
        collaborating universities the management of 1 or more 
        of the fellowship programs under subsection (a)(2); and
          (2) the Secretary may contract out the management of 
        the fellowship program under subsection (a)(3) to an 
        outside organization with experience in implementing 
        fellowship programs focused on building capacity for 
        school-based agricultural education and youth extension 
        programs in developing countries.
  (f) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated $6,000,000 to carry out this section.
          (2) Set-asides.--Of any funds made available pursuant 
        to paragraph (1), not less than $2,800,000 shall be 
        used to carry out the fellowship program for 
        individuals from eligible countries under subsection 
        (a)(2).
          (3) Duration.--Any funds made available pursuant to 
        paragraph (1) shall remain available until expended.

Subtitle L--Aquaculture

           *       *       *       *       *       *       *


SEC. 1477. AUTHORIZATION OF APPROPRIATIONS.

  (a) In General.--There are authorized to be appropriated to 
carry out this subtitle--
          (1) $7,500,000 for each of fiscal years 1991 through 
        2013; and
          (2) $5,000,000 for each of fiscal years 2014 through 
        [2018] 2023.
  (b) Prohibition on Use.--Funds made available under this 
section may not be used to acquire or construct a building.

Subtitle M--Rangeland Research

           *       *       *       *       *       *       *


                             appropriations

  Sec. 1483. (a) There are authorized to be appropriated, to 
implement the provisions of this subtitle--
          (1) $10,000,000 for each of fiscal years 1991 through 
        2013; and
          (2) $2,000,000 for each of fiscal years 2014 through 
        [2018] 2023.
  (b) Funds appropriated under this section shall be allocated 
by the Secretary to eligible institutions for work to be done 
as mutually agreed upon between the Secretary and the eligible 
institution or institutions.

                        Subtitle N--Biosecurity

SEC. 1484. SPECIAL AUTHORIZATION FOR BIOSECURITY PLANNING AND RESPONSE.

  (a) Authorization of Appropriations.--In addition to amounts 
for agricultural research, extension, and education under this 
Act, there are authorized to be appropriated for agricultural 
research, education, and extension activities for biosecurity 
planning and response--
          (1) such sums as are necessary for each of fiscal 
        years 2002 through 2013; [and]
          (2) $20,000,000 for each of fiscal years 2014 through 
        2018[.]; and
          (3) $30,000,000 for each of fiscal years 2019 through 
        2023.
  (b) Use of Funds.--Using any authority available to the 
Secretary, the Secretary shall use funds made available under 
this section to carry out agricultural research, education, and 
extension activities (including through competitive grants and 
cooperative agreements) for the following:
          (1) To reduce the vulnerability of the United States 
        food and agricultural system to chemical or biological 
        attack.
          (2) To continue partnerships with institutions of 
        higher education and other institutions to help form 
        stable, long-term programs to enhance the biosecurity 
        of the United States, including the coordination of the 
        development, implementation, and enhancement of diverse 
        capabilities for addressing threats to the Nation's 
        agricultural economy and food supply with special 
        emphasis on planning, training, outreach, and research 
        activities related to vulnerability analyses, incident 
        response, and detection and prevention technologies.
          (3) To [make competitive grants] award competitive 
        grants and cooperative agreements to universities and 
        qualified research institutions for research on 
        counterbioterrorism.
          (4) To counter or otherwise respond to chemical or 
        biological attack.
          (5) To coordinate the tactical science activities of 
        the Research, Education, and Economics mission area of 
        the Department that protect the integrity, reliability, 
        sustainability, and profitability of the food and 
        agricultural system of the United States against 
        biosecurity threats from pests, diseases, contaminants, 
        and disasters.

           *       *       *       *       *       *       *


Subtitle O--Institutions of Higher Education in Insular Areas

           *       *       *       *       *       *       *


SEC. 1490. DISTANCE EDUCATION GRANTS FOR INSULAR AREAS.

  (a) In General.--The Secretary may make competitive grants to 
eligible institutions in insular areas to strengthen the 
capacity of such institutions to carry out distance food and 
agricultural education programs using digital network 
technologies.
  (b) Use.--Grants made under this section shall be used--
          (1) to acquire the equipment, instrumentation, 
        networking capability, hardware and software, digital 
        network technology, and infrastructure necessary to 
        teach students and teachers about technology in the 
        classroom;
          (2) to develop and provide educational services 
        (including faculty development) to prepare students or 
        faculty seeking a degree or certificate that is 
        approved by the State or a regional accrediting body 
        recognized by the Secretary of Education;
          (3) to provide teacher education, library and media 
        specialist training, and preschool and teacher aid 
        certification to individuals who seek to acquire or 
        enhance technology skills in order to use technology in 
        the classroom or instructional process;
          (4) to implement a joint project to provide education 
        regarding technology in the classroom with a local 
        educational agency, community-based organization, 
        national nonprofit organization, or business; or
          (5) to provide leadership development to 
        administrators, board members, and faculty of eligible 
        institutions with institutional responsibility for 
        technology education.
  (c) Limitation on Use of Grant Funds.--Funds provided under 
this section shall not be used for the planning, acquisition, 
construction, rehabilitation, or repair of a building or 
facility.
  (d) Administration of program.--The Secretary may carry out 
this section in a manner that recognizes the different needs 
and opportunities for eligible institutions in the Atlantic and 
Pacific Oceans.
  (e) Matching requirement.--
          (1) In general.--The Secretary may establish a 
        requirement that an eligible institution receiving a 
        grant under this section shall provide matching funds 
        from non-Federal sources in an amount equal to not less 
        than 50 percent of the grant.
          (2) Waivers.--If the Secretary establishes a matching 
        requirement under paragraph (1), the Secretary shall 
        retain an option to waive the requirement for an 
        eligible institution for any fiscal year if the 
        Secretary determines that the institution will be 
        unlikely to meet the matching requirement for the 
        fiscal year.
  (f) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section--
          (1) such sums as are necessary for each of fiscal 
        years 2002 through 2013; and
          (2) $2,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

SEC. 1491. RESIDENT INSTRUCTION GRANTS FOR INSULAR AREAS.

  (a) In General.--The Secretary of Agriculture shall make 
competitive grants to eligible institutions to--
          (1) strengthen institutional educational capacities, 
        including libraries, curriculum, faculty, scientific 
        instrumentation, instruction delivery systems, and 
        student recruitment and retention, in order to respond 
        to identified State, regional, national, or 
        international education needs in the food and 
        agricultural sciences;
          (2) attract and support undergraduate and graduate 
        students in order to educate them in identified areas 
        of national need in the food and agriculture sciences;
          (3) facilitate cooperative initiatives between two or 
        more insular area eligible institutions, or between 
        those institutions and units of State Government or 
        organizations in the private sector, to maximize the 
        development and use of resources such as faculty, 
        facilities, and equipment to improve food and 
        agricultural sciences teaching programs; and
          (4) conduct undergraduate scholarship programs to 
        assist in meeting national needs for training food and 
        agricultural scientists.
  (b) Grant Requirements.--
          (1) The Secretary of Agriculture shall ensure that 
        each eligible institution, prior to receiving grant 
        funds under subsection (a), shall have a significant 
        demonstrable commitment to higher education programs in 
        the food and agricultural sciences and to each specific 
        subject area for which grant funds under this section 
        are to be used.
          (2) The Secretary of Agriculture may require that any 
        grant awarded under this section contain provisions 
        that require funds to be targeted to meet the needs 
        identified in section 1402.
  (c) Authorization of appropriations.--There are authorized to 
be appropriated to carry out this section--
          (1) such sums as are necessary for each of fiscal 
        years 2002 through 2013; and
          (2) $2,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

                     Subtitle P--General Provisions

SEC. 1492. MATCHING FUNDS REQUIREMENT.

  (a) In General.--The recipient of a competitive grant that is 
awarded by the Secretary under a covered law shall provide 
funds, in-kind contributions, or a combination of both, from 
sources other than funds provided through such grant in an 
amount that is at least equal to the amount of such grant.
  (b) Exception.--The matching funds requirement under 
subsection (a) shall not apply to grants awarded--
          (1) to a research agency of the Department of 
        Agriculture; or
          (2) to an entity eligible to receive funds under a 
        capacity and infrastructure program (as defined in 
        section 251(f)(1)(C) of the Department of Agriculture 
        Reorganization Act of 1994 (7 U.S.C. 6971(f)(1)(C))), 
        including a partner of such entity.
  (c) Waiver.--The Secretary may waive the matching funds 
requirement under subsection (a) for a year with respect to a 
competitive grant that involves research or extension 
activities that are consistent with the priorities established 
by the National Agricultural Research, Extension, Education, 
and Economics Advisory Board under section 1408(c)(1)(B) for 
the year involved. 
  (d) Covered Law.--In this section, the term ``covered law'' 
means each of the following provisions of law:
          (1) This title.
          (2) Title XVI of the Food, Agriculture, Conservation, 
        and Trade Act of 1990 (7 U.S.C. 5801 et seq.).
          (3) The Agricultural Research, Extension, and 
        Education Reform Act of 1998 (7 U.S.C. 7601 et seq.).
          (4) Part III of subtitle E of title VII of the Food, 
        Conservation, and Energy Act of 2008.
          [(5) The Competitive, Special, and Facilities 
        Research Grant Act (7 U.S.C. 450i).]
                              ----------                              


                     FOOD AND NUTRITION ACT OF 2008



           *       *       *       *       *       *       *
                              DEFINITIONS

  Sec. 3. As used in this Act, the term:
  (a) ``Access device'' means any card, plate, code, account 
number, or other means of access, including point of sale 
devices, that can be used, alone or in conjunction with another 
access device, to obtain payments, allotments, benefits, money, 
goods, or other things of value, or that can be used to 
initiate a transfer of funds under this Act.
  (b) ``Allotment'' means the total value of benefits a 
household is authorized to receive during each month.
  (c) ``Allowable medical expenses'' means expenditures for (1) 
medical and dental care, (2) hospitalization or nursing care 
(including hospitalization or nursing care of an individual who 
was a household member immediately prior to entering a hospital 
or nursing home), (3) prescription drugs when prescribed by a 
licensed practitioner authorized under State law and over-the-
counter medication (including insulin) when approved by a 
licensed practitioner or other qualified health professional, 
(4) health and hospitalization insurance policies (excluding 
the costs of health and accident or income maintenance 
policies), (5) medicare premiums related to coverage under 
title XVIII of the Social Security Act, (6) dentures, hearing 
aids, and prosthetics (including the costs of securing and 
maintaining a seeing eye dog), (7) eye glasses prescribed by a 
physician skilled in eye disease or by an optometrist, (8) 
reasonable costs of transportation necessary to secure medical 
treatment or services, and (9) maintaining an attendant, 
homemaker, home health aide, housekeeper, or child care 
services due to age, infirmity, or illness.
  (d) Benefit.--The term ``benefit'' means the value of 
supplemental nutrition assistance provided to a household by 
means of--
          (1) an electronic benefit transfer under section 
        [7(i)] 7(h); or
          (2) other means of providing assistance, as 
        determined by the Secretary.
  (e) Benefit Issuer.--The term ``benefit issuer'' means any 
office of the State agency or any person, partnership, 
corporation, organization, political subdivision, or other 
entity with which a State agency has contracted for, or to 
which it has delegated functional responsibility in connection 
with, the issuance of benefits to households.
  (f) ``Certification period'' means the period for which 
households shall be eligible to receive benefits. The 
certification period shall not exceed 12 months, except that 
the certification period may be up to 24 months if all adult 
household members are elderly or disabled. A State agency shall 
have at least 1 contact with each certified household every 12 
months. The limits specified in this subsection may be extended 
until the end of any transitional benefit period established 
under section 11(s).
  (g) ``Coupon'' means any coupon, stamp, type of certificate, 
authorization card, cash or check issued in lieu of a coupon.
  (h) ``Drug addiction or alcoholic treatment and 
rehabilitation program'' means any such program conducted by a 
private nonprofit organization or institution, or a publicly 
operated community mental health center, under part B of title 
XIX of the Public Health Service Act (42 U.S.C. 300x et seq.) 
to provide treatment that can lead to the rehabilitation of 
drug addicts or alcoholics.
  (i) EBT Card.--The term ``EBT card'' means an electronic 
benefit transfer card issued under section [7(i)] 7(h).
  (j) ``Elderly or disabled member'' means a member of a 
household who--
          (1) is sixty years of age or older;
          (2)(A) receives supplemental security income benefits 
        under title XVI of the Social Security Act (42 U.S.C. 
        1381 et seq.), or Federally or State administered 
        supplemental benefits of the type described in section 
        212(a) of Public Law 93-66 (42 U.S.C. 1382 note), or
          (B) receives Federally or State administered 
        supplemental assistance of the type described in 
        section 1616(a) of the Social Security Act (42 U.S.C. 
        1382e(a)), interim assistance pending receipt of 
        supplemental security income, disability-related 
        medical assistance under title XIX of the Social 
        Security Act (42 U.S.C. 1396 et seq.), or disability-
        based State general assistance benefits, if the 
        Secretary determines that such benefits are conditioned 
        on meeting disability or blindness criteria at least as 
        stringent as those used under title XVI of the Social 
        Security Act;
          (3) receives disability or blindness payments under 
        title I, II, X, XIV, or XVI of the Social Security Act 
        (42 U.S.C. 301 et seq.) or receives disability 
        retirement benefits from a governmental agency because 
        of a disability considered permanent under section 
        221(i) of the Social Security Act (42 U.S.C. 421(i));
          (4) is a veteran who--
                  (A) has a service-connected or non-service-
                connected disability which is rated as total 
                under title 38, United States Code; or
                  (B) is considered in need of regular aid and 
                attendance or permanently housebound under such 
                title;
          (5) is a surviving spouse of a veteran and--
                  (A) is considered in need of regular aid and 
                attendance or permanently housebound under 
                title 38, United States Code; or
                  (B) is entitled to compensation for a 
                service-connected death or pension benefits for 
                a non-service-connected death under title 38, 
                United States Code, and has a disability 
                considered permanent under section 221(i) of 
                the Social Security Act (42 U.S.C. 421(i));
          (6) is a child of a veteran and--
                  (A) is considered permanently incapable of 
                self-support under section 414 of title 38, 
                United States Code; or
                  (B) is entitled to compensation for a 
                service-connected death or pension benefits for 
                a non-service-connected death under title 38, 
                United States Code, and has a disability 
                considered permanent under section 221(i) of 
                the Social Security Act (42 U.S.C. 421(i)); or
          (7) is an individual receiving an annuity under 
        section 2(a)(1)(iv) or 2(a)(1)(v) of the Railroad 
        Retirement Act of 1974 (45 U.S.C. 231a(a)(1)(iv) or 
        231a(a)(1)(v)), if the individual's service as an 
        employee under the Railroad Retirement Act of 1974, 
        after December 31, 1936, had been included in the term 
        ``employment'' as defined in the Social Security Act, 
        and if an application for disability benefits had been 
        filed.
  (k) ``Food'' means (1) any food or food product for home 
consumption except alcoholic beverages, tobacco, hot foods or 
hot food products ready for immediate consumption other than 
those authorized pursuant to clauses (3), (4), (5), (7), (8), 
and (9) of this subsection, and any deposit fee in excess of 
the amount of the State fee reimbursement (if any) required to 
purchase any food or food product contained in a returnable 
bottle or can, regardless of whether the fee is included in the 
shelf price posted for the food or food product, (2) seeds and 
plants for use in gardens to produce food for the personal 
consumption of the eligible household, (3) in the case of those 
persons who are sixty years of age or over or who receive 
supplemental security income benefits or disability or 
blindness payments under title I, II, X, XIV, or XVI of the 
Social Security Act, and their spouses, meals prepared by and 
served in senior citizens' centers, apartment buildings 
occupied primarily by such persons, public or private nonprofit 
establishments (eating or otherwise) that feed such persons, 
private establishments that contract with the appropriate 
agency of the State to offer meals for such persons at 
concessional prices subject to section 9(h), and meals prepared 
for and served to residents of federally subsidized housing for 
the elderly, (4) in the case of persons sixty years of age or 
over and persons who are physically or mentally handicapped or 
otherwise so disabled that they are unable adequately to 
prepare all of their meals, meals prepared for and delivered to 
them (and their spouses) at their home by a public or private 
nonprofit organization or by a private establishment that 
contracts with the appropriate State agency to perform such 
services at concessional prices subject to section 9(h), (5) in 
the case of narcotics addicts or alcoholics, and their 
children, served by drug addiction or alcoholic treatment and 
rehabilitation programs, meals prepared and served under such 
programs, (6) in the case of certain eligible households living 
in Alaska, equipment for procuring food by hunting and fishing, 
such as nets, hooks, rods, harpoons, and knives (but not 
equipment for purposes of transportation, clothing, or shelter, 
and not firearms, ammunition, and explosives) if the Secretary 
determines that such households are located in an area of the 
State where it is extremely difficult to reach stores selling 
food and that such households depend to a substantial extent 
upon hunting and fishing for subsistence, (7) in the case of 
disabled or blind recipients of benefits under title I, II, X, 
XIV, or XVI of the Social Security Act, and individuals 
described in paragraphs (2) through (7) of subsection (j), who 
are residents in a public or private nonprofit group living 
arrangement that serves no more than sixteen residents and is 
certified by the appropriate State agency or agencies under 
regulations issued under section 1616(e) of the Social Security 
Act or under standards determined by the Secretary to be 
comparable to standards implemented by appropriate State 
agencies under such section, meals prepared and served under 
such arrangement, (8) in the case of women and children 
temporarily residing in public or private nonprofit shelters 
for battered women and children, meals prepared and served, by 
such shelters, and (9) in the case of households that do not 
reside in permanent dwellings and households that have no fixed 
mailing addresses, meals prepared for and served by a public or 
private nonprofit establishment (approved by an appropriate 
State or local agency) that feeds such individuals and by 
private establishments that contract with the appropriate 
agency of the State to offer meals for such individuals at 
concessional prices subject to section 9(h).
  (l) ``Homeless individual'' means--
          (1) an individual who lacks a fixed and regular 
        nighttime residence; or
          (2) an individual who has a primary nighttime 
        residence that is--
                  (A) a supervised publicly or privately 
                operated shelter (including a welfare hotel or 
                congregate shelter) designed to provide 
                temporary living accommodations;
                  (B) an institution that provides a temporary 
                residence for individuals intended to be 
                institutionalized;
                  (C) a temporary accommodation for not more 
                than 90 days in the residence of another 
                individual; or
                  (D) a public or private place not designed 
                for, or ordinarily used as, a regular sleeping 
                accommodation for human beings.
  (m)(1) ``Household'' means--
          (A) an individual who lives alone or who, while 
        living with others, customarily purchases food and 
        prepares meals for home consumption separate and apart 
        from the others; or
          (B) a group of individuals who live together and 
        customarily purchase food and prepare meals together 
        for home consumption.
  (2) Spouses who live together, parents and their children 21 
years of age or younger who live together, and children 
(excluding foster children) under 18 years of age who live with 
and are under the parental control of a person other than their 
parent together with the person exercising parental control 
shall be treated as a group of individuals who customarily 
purchase and prepare meals together for home consumption even 
if they do not do so.
  (3) Notwithstanding paragraphs (1) and (2), an individual who 
lives with others, who is sixty years of age or older, and who 
is unable to purchase food and prepare meals because such 
individual suffers, as certified by a licensed physician, from 
a disability which would be considered a permanent disability 
under section 221(i) of the Social Security Act (42 U.S.C. 
421(i)) or from a severe, permanent, and disabling physical or 
mental infirmity which is not symptomatic of a disease shall be 
considered, together with any of the others who is the spouse 
of such individual, an individual household, without regard to 
the purchase of food and preparation of meals, if the income 
(as determined under section 5(d)) of the others, excluding the 
spouse, does not exceed the poverty line, as described in 
section 5(c)(1), by more than 65 per centum.
  (4) In no event shall any individual or group of individuals 
constitute a household if they reside in an institution or 
boarding house, or else live with others and pay compensation 
to the others for meals.
  (5) For the purposes of this subsection, the following 
persons shall not be considered to be residents of institutions 
and shall be considered to be individual households:
          (A) Residents of federally subsidized housing for the 
        elderly, disabled or blind recipients of benefits under 
        title I, II, X, XIV, or XVI of the Social Security Act.
          (B) Individuals described in paragraphs (2) through 
        (7) of subsection (j), who are residents in a public or 
        private nonprofit group living arrangement that serves 
        no more than sixteen residents and is certified by the 
        appropriate State agency or agencies under regulations 
        issued under section 1616(e) of the Social Security Act 
        or under standards determined by the Secretary to be 
        comparable to standards implemented by appropriate 
        State agencies under that section.
          (C) Temporary residents of public or private 
        nonprofit shelters for battered women and children.
          (D) Residents of public or private nonprofit shelters 
        for individuals who do not reside in permanent 
        dwellings or have no fixed mailing addresses, who are 
        otherwise eligible for benefits.
          (E) Narcotics addicts or alcoholics, together with 
        their children, who live under the supervision of a 
        private nonprofit institution, or a publicly operated 
        community mental health center, for the purpose of 
        regular participation in a drug or alcoholic treatment 
        program.
  (n) ``Reservation'' means the geographically defined area or 
areas over which a tribal organization exercises governmental 
jurisdiction.
  (o) ``Retail food store'' means--
          (1) an establishment [or house-to-house trade route], 
        house-to-house trade route, or online entity that sells 
        food for home preparation and consumption and--
                  (A) offers for sale, on a continuous basis, a 
                variety of at least 7 foods in each of the 4 
                categories of staple foods specified in 
                subsection [(r)(1)] (q)(1), including 
                perishable foods in at least 3 of the 
                categories; or
                  (B) has over 50 percent of the total sales of 
                the establishment or route in staple foods,
        as determined by visual inspection, sales records, 
        purchase records, counting of stockkeeping units, or 
        other inventory or accounting recordkeeping methods 
        that are customary or reasonable in the retail food 
        industry;
          (2) an establishment, organization, program, or group 
        living arrangement referred to in paragraphs (3), (4), 
        (5), (7), (8), and (9) of subsection (k);
          (3) a store purveying the hunting and fishing 
        equipment described in subsection (k)(6);
          (4) any private nonprofit cooperative food purchasing 
        venture, including those in which the members pay for 
        food purchased prior to the receipt of such food, or 
        agricultural producers who market agricultural products 
        directly to consumers; and
          (5) a governmental or private nonprofit food 
        purchasing and delivery service that--
                  (A) purchases food for, and delivers the food 
                to, individuals who are--
                          (i) unable to shop for food; and
                          (ii)(I) not less than 60 years of 
                        age; or
                          (II) physically or mentally 
                        handicapped or otherwise disabled;
                  (B) clearly notifies the participating 
                household at the time the household places a 
                food order--
                          (i) of any delivery fee associated 
                        with the food purchase and delivery 
                        provided to the household by the 
                        service; and
                          (ii) that a delivery fee cannot be 
                        paid with benefits provided under 
                        supplemental nutrition assistance 
                        program; and
                  (C) sells food purchased for the household at 
                the price paid by the service for the food and 
                without any additional cost markup.
  (p) ``Secretary'' means the Secretary of Agriculture.
  (q)(1) Except as provided in paragraph (2), ``staple foods'' 
means foods in the following categories:
          (A) Meat, poultry, or fish.
          (B) Bread or cereals.
          (C) Vegetables or fruits.
          (D) Dairy products.
  (2) ``Staple foods'' do not include accessory food items, 
such as coffee, tea, cocoa, carbonated and uncarbonated drinks, 
candy, condiments, and spices.
  (r) ``State'' means the fifty States, the District of 
Columbia, Guam, the Virgin Islands of the United States, and 
the reservations of an Indian tribe whose tribal organization 
meets the requirements of this Act for participation as a State 
agency.
  (s) ``State agency'' means (1) the agency of State 
government, including the local offices thereof, which has the 
responsibility for the administration of the federally aided 
public assistance programs within such State, and in those 
States where such assistance programs are operated on a 
decentralized basis, the term shall include the counterpart 
local agencies administering such programs, and (2) the tribal 
organization of an Indian tribe determined by the Secretary to 
be capable of effectively administering a food distribution 
program under section 4(b) of this Act or a supplemental 
nutrition assistance program under section 11(d) of this Act.
  (t) ``Supplemental nutrition assistance program'' means the 
program operated pursuant to this Act.
  (u) ``Thrifty food plan'' means the diet required to feed a 
family of four persons consisting of a man and a woman twenty 
through fifty, a child six through eight, and a child nine 
through eleven years of age, determined in accordance with the 
Secretary's calculations. By 2022 and at 5-year intervals 
thereafter, the Secretary shall re-evaluate and publish the 
market baskets of the thrifty food plan based on current food 
prices, food composition data, and consumption patterns. The 
cost of such diet shall be the basis for uniform allotments for 
all households regardless of their actual composition, except 
that the Secretary shall--
          (1) make household-size adjustments (based on the 
        unrounded cost of such diet) taking into account 
        economies of scale;
          (2) make cost adjustments in the thrifty food plan 
        for Hawaii and the urban and rural parts of Alaska to 
        reflect the cost of food in Hawaii and urban and rural 
        Alaska;
          (3) make cost adjustments in the separate thrifty 
        food plans for Guam, and the Virgin Islands of the 
        United States to reflect the cost of food in those 
        States, but not to exceed the cost of food in the fifty 
        States and the District of Columbia; and
          (4) on October 1, 1996, and each October 1 
        thereafter, adjust the cost of the diet to reflect the 
        cost of the diet in the preceding June, and round the 
        result to the nearest lower dollar increment for each 
        household size, except that on October 1, 1996, the 
        Secretary may not reduce the cost of the diet in effect 
        on September 30, 1996, and except that on October 1, 
        2003, in the case of households residing in Alaska and 
        Hawaii the Secretary may not reduce the cost of such 
        diet in effect on September 30, 2002.
  (v) ``Tribal organization'' means the recognized governing 
body of an Indian tribe (including the tribally recognized 
intertribal organization of such tribes), as the term ``Indian 
tribe'' is defined in the Indian Self-Determination Act (25 
U.S.C. 450b(b)), as well as any Indian tribe, band, or 
community holding a treaty with a State government.

     ESTABLISHMENT OF THE SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM

  Sec. 4. (a) Subject to the availability of funds appropriated 
under section 18 of this Act, the Secretary is authorized to 
formulate and administer a supplemental nutrition assistance 
program under which, at the request of the State agency, 
eligible households within the State shall be provided an 
opportunity to obtain a more nutritious diet through the 
issuance to them of an allotment, except that a State may not 
participate in the supplemental nutrition assistance program if 
the Secretary determines that State or local sales taxes are 
collected within that State on purchases of food made with 
benefits issued under this Act. The benefits so received by 
such households shall be used only to purchase food from retail 
food stores which have been approved for participation in the 
supplemental nutrition assistance program. Benefits issued and 
used as provided in this Act shall be redeemable at face value 
by the Secretary through the facilities of the Treasury of the 
United States.
  (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 organization.
          (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 government 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 permits any household on 
                any Indian reservation to participate 
                simultaneously in the supplemental nutrition 
                assistance program and the program established 
                under this subsection.
          (3) Disqualified participants.--An individual who is 
        disqualified 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 
        appropriations to carry out this paragraph, the 
        Secretary may purchase bison meat for recipients of 
        food distributed under this subsection, including bison 
        meat from--
                  (A) Native American bison producers; and
                  (B) producer-owned cooperatives of bison 
                ranchers.
          (6) Traditional and [locally-grown] locally- and 
        regionally-grown food fund.--
                  (A) In general.--Subject to the availability 
                of appropriations, the Secretary shall 
                establish a fund for use in purchasing 
                traditional and [locally-grown] locally- and 
                regionally-grown foods for recipients of food 
                distributed under this subsection.
                  (B) Native american producers.--Where 
                practicable, 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] locally- and regionally-grown.--The 
                Secretary shall determine the definition of the 
                term ``traditional and [locally-grown] locally- 
                and regionally-grown'' with respect to food 
                distributed under this paragraph.
                  [(D) Survey.--In carrying out this paragraph, 
                the Secretary shall--
                          [(i) survey participants of the food 
                        distribution program 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.]
                  (D) Purchase of foods.--In carrying out this 
                paragraph, the Secretary shall purchase or 
                offer to purchase those traditional foods that 
                may be procured cost-effectively.
                  [(F)] (E) 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 [2018] 2023.
          (7) Funds availability.--Funds made available for a 
        fiscal year to carry out this subsection shall remain 
        available for obligation for a period of 2 fiscal 
        years.
  (c) The Secretary shall issue such regulations consistent 
with this Act as the Secretary deems necessary or appropriate 
for the effective and efficient administration of the 
supplemental nutrition assistance program and shall promulgate 
all such regulations in accordance with the procedures set 
forth in section 553 of title 5 of the United States Code. In 
addition, prior to issuing any regulation, the Secretary shall 
provide the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate a copy of the regulation with a 
detailed statement justifying it.

                          ELIGIBLE HOUSEHOLDS

  Sec. 5. (a) Participation in the supplemental nutrition 
assistance program shall be limited to those households whose 
incomes and other financial resources, held singly or in joint 
ownership, are determined to be a substantial limiting factor 
in permitting them to obtain a more nutritious diet. 
Notwithstanding any other provisions of this Act except 
subsections (b), (d)(2), (g), [and (r)] and (p) of section 6 
[and section 3(n)(4), households] and section 3(m)(4), 
households in which each member [receives benefits] (1) 
receives cash assistance or ongoing and substantial services 
under a State program funded under part A of title IV of the 
Social Security Act (42 U.S.C. 601 et seq.), [supplemental 
security] with an income eligibility limit of not more than 130 
percent of the poverty line as defined in section 5(c)(1), (2) 
is elderly or disabled and receives cash assistance or ongoing 
and substantial services under a State program funded under 
part A of title IV of the Social Security Act (42 U.S.C. 601 et 
seq.) with an income eligibility limit of not more than 200 
percent of the poverty line as defined in section 5(c)(1), (3) 
receives supplemental security income benefits under title XVI 
of the Social Security Act, [or aid] or (4) receives aid to the 
aged, blind, or disabled under title I, X, XIV, or XVI of the 
Social Security Act, shall be eligible to participate in the 
supplemental nutrition assistance program. Except for sections 
6, 16(e)(1), [and section 3(n)(4), households] and section 
3(m)(4), households in which each member receives benefits 
under a State or local general assistance program that complies 
with standards established by the Secretary for ensuring that 
the program is based on income criteria comparable to or more 
restrictive than those under subsection (c)(2), and not limited 
to one-time emergency payments that cannot be provided for more 
than one consecutive month, shall be eligible to participate in 
the supplemental nutrition assistance program. Assistance under 
this program shall be furnished to all eligible households who 
make application for such participation.
  (b) Eligibility Standards.--Except as otherwise provided in 
this Act, the Secretary shall establish uniform national 
standards of eligibility (other than the income standards for 
Alaska, Hawaii, Guam, and the Virgin Islands of the United 
States established in accordance with subsections (c) and (e) 
of this section) for participation by households in the 
supplemental nutrition assistance program in accordance with 
the provisions of this section. No plan of operation submitted 
by a State agency shall be approved unless the standards of 
eligibility meet those established by the Secretary, and no 
State agency shall impose any other standards of eligibility as 
a condition for participating in the program.
  (c) The income standards of eligibility shall be adjusted 
each October 1 and shall provide that a household shall be 
ineligible to participate in the supplemental nutrition 
assistance program if--
          (1) the household's income (after the exclusions and 
        deductions provided for in subsections (d) and (e)) 
        exceeds the poverty line, as defined in section 673(2) 
        of the Community Services Block Grant Act (42 U.S.C. 
        9902(2)), for the forty-eight contiguous States and the 
        District of Columbia, Alaska, Hawaii, the Virgin 
        Islands of the United States, and Guam, respectively; 
        and
          (2) in the case of a household that does not include 
        an elderly or disabled member, the household's income 
        (after the exclusions provided for in subsection (d) 
        but before the deductions provided for in subsection 
        (e)) exceeds such poverty line by more than 30 per 
        centum.
In no event shall the standards of eligibility for the Virgin 
Islands of the United States or Guam exceed those in the forty-
eight contiguous States.
  (d) Exclusions From Income.--Household income for purposes of 
the supplemental nutrition assistance program shall include all 
income from whatever source excluding only--
          (1) any gain or benefit which is not in the form of 
        money payable directly to a household (notwithstanding 
        its conversion in whole or in part to direct payments 
        to households pursuant to any demonstration project 
        carried out or authorized under Federal law including 
        demonstration projects created by the waiver of 
        provisions of Federal law), except as provided in 
        subsection (k);
          (2) any income in the certification period which is 
        received too infrequently or irregularly to be 
        reasonably anticipated, but not in excess of $30 in a 
        quarter, subject to modification by the Secretary in 
        light of subsection (f);
          (3) all educational loans on which payment is 
        deferred, grants, scholarships, fellowships, veterans' 
        educational benefits, and the like--
                  (A) awarded to a household member enrolled at 
                a recognized institution of post-secondary 
                education, at a school for the handicapped, in 
                a vocational education program, or in a program 
                that provides for completion of a secondary 
                school diploma or obtaining the equivalent 
                thereof;
                  (B) to the extent that they do not exceed the 
                amount used for or made available as an 
                allowance determined by such school, 
                institution, program, or other grantor, for 
                tuition and mandatory fees (including the 
                rental or purchase of any equipment, materials, 
                and supplies related to the pursuit of the 
                course of study involved), books, supplies, 
                transportation, and other miscellaneous 
                personal expenses (other than living expenses), 
                of the student incidental to attending such 
                school, institution, or program; and
                  (C) to the extent loans include any 
                origination fees and insurance premiums;
          (4) all loans other than educational loans on which 
        repayment is deferred;
          (5) reimbursements which do not exceed expenses 
        actually incurred and which do not represent a gain or 
        benefit to the household and any allowance a State 
        agency provides no more frequently than annually to 
        families with children on the occasion of those 
        children's entering or returning to school or child 
        care for the purpose of obtaining school clothes 
        (except that no such allowance shall be excluded if the 
        State agency reduces monthly assistance under a State 
        program funded under part A of title IV of the Social 
        Security Act (42 U.S.C. 601 et seq.) in the month for 
        which the allowance is provided): Provided, That no 
        portion of benefits provided under title IV-A of the 
        Social Security Act, to the extent it is attributable 
        to an adjustment for work-related or child care 
        expenses (except for payments or reimbursements for 
        such expenses made under an employment, education, or 
        training program initiated under such title after the 
        date of enactment of the Hunger Prevention Act of 1988 
        ), and no portion of any educational loan on which 
        payment is deferred, grant, scholarship, fellowship, 
        veterans' benefits, and the like that are provided for 
        living expenses, shall be considered such 
        reimbursement;
          (6) moneys received and used for the care and 
        maintenance of a third-party beneficiary who is not a 
        household member, and child support payments made by a 
        household member to or for an individual who is not a 
        member of the household if the household member is 
        legally obligated to make the payments;
          (7) income earned by a child who is a member of the 
        household, who is an elementary or secondary school 
        student, and who is 17 years of age or younger;
          (8) moneys received in the form of nonrecurring lump-
        sum payments, including, but not limited to, income tax 
        refunds, rebates, or credits, cash donations based on 
        need that are received from one or more private 
        nonprofit charitable organizations, but not in excess 
        of $300 in the aggregate in a quarter, retroactive 
        lump-sum social security or railroad retirement pension 
        payments and retroactive lump-sum insurance 
        settlements: Provided, That such payments shall be 
        counted as resources, unless specifically excluded by 
        other laws;
          (9) the cost of producing self-employed income, but 
        household income that otherwise is included under this 
        subsection shall be reduced by the extent that the cost 
        of producing self-employment income exceeds the income 
        derived from self-employment as a farmer;
          (10) any income that any other Federal law 
        specifically excludes from consideration as income for 
        purposes of determining eligibility for the 
        supplemental nutrition assistance program except as 
        otherwise provided in subsection (k) of this section;
          (11)(A) any payments or allowances made for the 
        purpose of providing energy assistance under any 
        Federal law (other than part A of title IV of the 
        Social Security Act (42 U.S.C. 601 et seq.)); or
          (B) a 1-time payment or allowance made under a 
        Federal or State law for the costs of weatherization or 
        emergency repair or replacement of an unsafe or 
        inoperative furnace or other heating or cooling device;
          (12) through September 30 of any fiscal year, any 
        increase in income attributable to a cost-of-living 
        adjustment made on or after July 1 of such fiscal year 
        under title II or XVI of the Social Security Act (42 
        U.S.C. 401 et seq.), section 3(a)(1) of the Railroad 
        Retirement Act of 1974 (45 U.S.C. 231b(a)(1)), or 
        section 3112 of title 38, United States Code, if the 
        household was certified as eligible to participate in 
        the supplemental nutrition assistance program or 
        received an allotment in the month immediately 
        preceding the first month in which the adjustment was 
        effective;
          (13) any payment made to the household under section 
        3507 of the Internal Revenue Code of 1986 (relating to 
        advance payment of earned income credit);
          (14) any payment made to the household under section 
        [6(d)(4)(I)] 6(d)(4)(G) or a pilot project under 
        section 16(h)(1)(F) for work related expenses or for 
        dependent care;
          (15) any amounts necessary for the fulfillment of a 
        plan for achieving self-support of a household member 
        as provided under subparagraph (A)(iii) or (B)(iv) of 
        section 1612(b)(4) of the Social Security Act (42 
        U.S.C. 1382a(b)(4));
          (16) at the option of the State agency, any 
        educational loans on which payment is deferred, grants, 
        scholarships, fellowships, veterans' educational 
        benefits, and the like (other than loans, grants, 
        scholarships, fellowships, veterans' educational 
        benefits, and the like excluded under paragraph (3)), 
        to the extent that they are required to be excluded 
        under title XIX of the Social Security Act (42 U.S.C. 
        1396 et seq.);
          (17) at the option of the State agency, any State 
        complementary assistance program payments that are 
        excluded for the purpose of determining eligibility for 
        medical assistance under section 1931 of the Social 
        Security Act (42 U.S.C. 1396u-1);
          (18) at the option of the State agency, any types of 
        income that the State agency does not consider when 
        determining eligibility for (A) cash assistance under a 
        program funded under part A of title IV of the Social 
        Security Act (42 U.S.C. 601 et seq.) or the amount of 
        such assistance, or (B) medical assistance under 
        section 1931 of the Social Security Act (42 U.S.C. 
        1396u-1), except that this paragraph does not authorize 
        a State agency to exclude wages or salaries, benefits 
        under title I, II, IV, X, XIV, or XVI of the Social 
        Security Act (42 U.S.C. 301 et seq.), regular payments 
        from a government source (such as unemployment benefits 
        and general assistance), worker's compensation, child 
        support payments made to a household member by an 
        individual who is legally obligated to make the 
        payments, or such other types of income the 
        consideration of which the Secretary determines by 
        regulation to be essential to equitable determinations 
        of eligibility and benefit levels; [and]
          (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[.]; and
          (20) the value of an allowance received under section 
        403 of title 37 of the United States Code that does not 
        exceed $500 monthly.
  (e) Deductions From Income.--
          (1) Standard deduction.--
                  (A) In general.--
                          (i) Deduction.--The Secretary shall 
                        allow a standard deduction for each 
                        household in the 48 contiguous States 
                        and the District of Columbia, Alaska, 
                        Hawaii, and the Virgin Islands of the 
                        United States in an amount that is--
                                  (I) equal to 8.31 percent of 
                                the income standard of 
                                eligibility established under 
                                subsection (c)(1); but
                                  (II) not more than 8.31 
                                percent of the income standard 
                                of eligibility established 
                                under subsection (c)(1) for a 
                                household of 6 members.
                          (ii) Minimum amount.--Notwithstanding 
                        clause (i), the standard deduction for 
                        each household in the 48 contiguous 
                        States and the District of Columbia, 
                        Alaska, Hawaii, and the Virgin Islands 
                        of the United States shall be 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.
                  (B) Guam.--
                          (i) In general.--The Secretary shall 
                        allow a standard deduction for each 
                        household in Guam in an amount that 
                        is--
                                  (I) equal to 8.31 percent of 
                                twice the income standard of 
                                eligibility established under 
                                subsection (c)(1) for the 48 
                                contiguous States and the 
                                District of Columbia; but
                                  (II) not more than 8.31 
                                percent of twice the income 
                                standard of eligibility 
                                established under subsection 
                                (c)(1) for the 48 contiguous 
                                States and the District of 
                                Columbia for a household of 6 
                                members.
                          (ii) Minimum amount.--Notwithstanding 
                        clause (i), the standard deduction for 
                        each household in Guam shall be 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.
                  (C) Requirement.--Each adjustment under 
                subparagraphs (A)(ii)(II) and (B)(ii)(II) shall 
                be based on the unrounded amount for the prior 
                12-month period.
          (2) Earned income deduction.--
                  [(A) Definition of earned income.--In this 
                paragraph, the term ``earned income'' does not 
                include--
                          [(i) income excluded by subsection 
                        (d); or
                          [(ii) any portion of income earned 
                        under a work supplementation or support 
                        program, as defined under section 
                        16(b), that is attributable to public 
                        assistance.]
                  (A) Definition of earned income.--In this 
                paragraph, the term ``earned income'' does not 
                include income excluded by subsection (d).
                  (B) Deduction.--Except as provided in 
                subparagraph (C), a household with earned 
                income shall be allowed a deduction of [20] 22 
                percent of all earned income to compensate for 
                taxes, other mandatory deductions from salary, 
                and work expenses.
                  (C) Exception.--The deduction described in 
                subparagraph (B) shall not be allowed with 
                respect to determining an overissuance due to 
                the failure of a household to report earned 
                income in a timely manner.
          (3) Dependent care deduction.--
                  (A) In general.--A household shall be 
                entitled, with respect to expenses (other than 
                excluded expenses described in subparagraph 
                (B)) for dependent care, to a dependent care 
                deduction for the actual cost of payments 
                necessary for the care of a dependent if the 
                care enables a household member to accept or 
                continue employment, or training or education 
                that is preparatory for employment.
                  (B) Excluded expenses.--The excluded expenses 
                referred to in subparagraph (A) are--
                          (i) expenses paid on behalf of the 
                        household by a third party;
                          (ii) amounts made available and 
                        excluded, for the expenses referred to 
                        in subparagraph (A), under subsection 
                        (d)(3); and
                          (iii) expenses that are paid under 
                        section 6(d)(4) or a pilot project 
                        under section 16(h)(1)(F).
          [(4) Deduction for child support payments.--
                  [(A) In general.--In lieu of providing an 
                exclusion for legally obligated child support 
                payments made by a household member under 
                subsection (d)(6), a State agency may elect to 
                provide a deduction for the amount of the 
                payments.
                  [(B) Order of determining deductions.--A 
                deduction under this paragraph shall be 
                determined before the computation of the excess 
                shelter expense deduction under paragraph (6).]
          [(5)] (4) Excess medical expense deduction.--
                  (A) In general.--A household containing an 
                elderly or disabled member shall be entitled, 
                with respect to expenses other than expenses 
                paid on behalf of the household by a third 
                party, to an excess medical expense deduction 
                for the portion of the actual costs of 
                allowable medical expenses, incurred by the 
                elderly or disabled member, exclusive of 
                special diets, that exceeds $35 per month.
                  (B) Method of claiming deduction.--
                          (i) In general.--A State agency shall 
                        offer an eligible household under 
                        subparagraph (A) a method of claiming a 
                        deduction for recurring medical 
                        expenses that are initially verified 
                        under the excess medical expense 
                        deduction in lieu of submitting 
                        information on, or verification of, 
                        actual expenses on a monthly basis.
                          (ii) Method.--The method described in 
                        clause (i) shall--
                                  (I) be designed to minimize 
                                the burden for the eligible 
                                elderly or disabled household 
                                member choosing to deduct the 
                                recurrent medical expenses of 
                                the member pursuant to the 
                                method;
                                  (II) rely on reasonable 
                                estimates of the expected 
                                medical expenses of the member 
                                for the certification period 
                                (including changes that can be 
                                reasonably anticipated based on 
                                available information about the 
                                medical condition of the 
                                member, public or private 
                                medical insurance coverage, and 
                                the current verified medical 
                                expenses incurred by the 
                                member); and
                                  (III) not require further 
                                reporting or verification of a 
                                change in medical expenses if 
                                such a change has been 
                                anticipated for the 
                                certification period.
                  (C) Exclusion of medical marijuana.--The 
                Secretary shall promulgate rules to ensure that 
                medical marijuana is not treated as a medical 
                expense for purposes of this paragraph.
          [(6)] (5) Excess shelter expense deduction.--
                  (A) In general.--A household shall be 
                entitled, with respect to expenses other than 
                expenses paid on behalf of the household by a 
                third party, to an excess shelter expense 
                deduction to the extent that the monthly amount 
                expended by a household for shelter exceeds an 
                amount equal to 50 percent of monthly household 
                income after all other applicable deductions 
                have been allowed, except that for a household 
                that receives the allowance under section 403 
                of title 37, United States Code, only the 
                expenses in excess of that allowance shall be 
                counted towards a household's expenses for the 
                calculation of the excess shelter deduction.
                  (B) Maximum amount of deduction.--In the case 
                of a household that does not contain an elderly 
                or disabled individual, in the 48 contiguous 
                States and the District of Columbia, Alaska, 
                Hawaii, Guam, and the Virgin Islands of the 
                United States, the excess shelter expense 
                deduction shall not exceed--
                          (i) for the period beginning on the 
                        date of enactment of this subparagraph 
                        and ending on December 31, 1996, $247, 
                        $429, $353, $300, and $182 per month, 
                        respectively;
                          (ii) for the period beginning on 
                        January 1, 1997, and ending on 
                        September 30, 1998, $250, $434, $357, 
                        $304, and $184 per month, respectively;
                          (iii) for fiscal year 1999, $275, 
                        $478, $393, $334, and $203 per month, 
                        respectively;
                          (iv) for fiscal year 2000, $280, 
                        $483, $398, $339, and $208 per month, 
                        respectively;
                          (v) for fiscal year 2001, $340, $543, 
                        $458, $399, and $268 per month, 
                        respectively; and
                          (vi) for fiscal year 2002 and each 
                        subsequent fiscal year, the applicable 
                        amount during the preceding fiscal 
                        year, as adjusted to reflect changes 
                        for the 12-month period ending 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.
                  (C) Standard utility allowance.--
                          (i) In general.--In computing the 
                        excess shelter expense deduction, a 
                        State agency may use a standard utility 
                        allowance in accordance with 
                        regulations promulgated by the 
                        Secretary, subject to clause (iv), 
                        except that a State agency may use an 
                        allowance that does not fluctuate 
                        within a year to reflect seasonal 
                        variations.
                          (ii) Restrictions on heating and 
                        cooling expenses.--An allowance for a 
                        heating or cooling expense may not be 
                        used in the case of a household that--
                                  (I) does not incur a heating 
                                or cooling expense, as the case 
                                may be;
                                  (II) does incur a heating or 
                                cooling expense but is located 
                                in a public housing unit that 
                                has central utility meters and 
                                charges households, with regard 
                                to the expense, only for excess 
                                utility costs; or
                                  (III) shares the expense 
                                with, and lives with, another 
                                individual not participating in 
                                the supplemental nutrition 
                                assistance program, another 
                                household participating in the 
                                supplemental nutrition 
                                assistance program, or both, 
                                unless the allowance is 
                                prorated between the household 
                                and the other individual, 
                                household, or both.
                          (iii) Mandatory allowance.--
                                  (I) In general.--A State 
                                agency may make the use of a 
                                standard utility allowance 
                                mandatory for all households 
                                with qualifying utility costs 
                                if--
                                          (aa) the State agency 
                                        has developed 1 or more 
                                        standards that include 
                                        the cost of heating and 
                                        cooling and 1 or more 
                                        standards that do not 
                                        include the cost of 
                                        heating and cooling; 
                                        and
                                          (bb) the Secretary 
                                        finds (without regard 
                                        to subclause (III)) 
                                        that the standards will 
                                        not result in an 
                                        increased cost to the 
                                        Secretary.
                                  (II) Household election.--A 
                                State agency that has not made 
                                the use of a standard utility 
                                allowance mandatory under 
                                subclause (I) shall allow a 
                                household to switch, at the end 
                                of a certification period, 
                                between the standard utility 
                                allowance and a deduction based 
                                on the actual utility costs of 
                                the household.
                                  (III) Inapplicability of 
                                certain restrictions.--Clauses 
                                (ii)(II) and (ii)(III) shall 
                                not apply in the case of a 
                                State agency that has made the 
                                use of a standard utility 
                                allowance mandatory under 
                                subclause (I).
                          (iv) Availability of allowance to 
                        recipients of energy assistance.--
                                  (I) In general.--Subject to 
                                subclause (II), if a State 
                                agency elects to use a standard 
                                utility allowance that reflects 
                                heating and cooling costs, the 
                                standard utility allowance 
                                shall be made available to 
                                households with an elderly 
                                member that received a payment, 
                                or on behalf of which a payment 
                                was made, under the Low-Income 
                                Home Energy Assistance Act of 
                                1981 (42 U.S.C. 8621 et seq.) 
                                or other similar energy 
                                assistance program, if in the 
                                current month or in the 
                                immediately preceding 12 
                                months, the household either 
                                received such a payment, or 
                                such a payment was made on 
                                behalf of the household, that 
                                was greater than $20 annually, 
                                as determined by the Secretary.
                                  (II) Separate allowance.--A 
                                State agency may use a separate 
                                standard utility allowance for 
                                households on behalf of which a 
                                payment described in subclause 
                                (I) is made, but may not be 
                                required to do so.
                                  (III) States not electing to 
                                use separate allowance.--A 
                                State agency that does not 
                                elect to use a separate 
                                allowance but makes a single 
                                standard utility allowance 
                                available to households 
                                incurring heating or cooling 
                                expenses (other than a 
                                household described in 
                                subclause (I) or (II) of clause 
                                (ii)) may not be required to 
                                reduce the allowance due to the 
                                provision (directly or 
                                indirectly) of assistance under 
                                the Low-Income Home Energy 
                                Assistance Act of 1981 (42 
                                U.S.C. 8621 et seq.).
                                  (IV) Proration of 
                                assistance.--For the purpose of 
                                the supplemental nutrition 
                                assistance program, assistance 
                                provided under the Low-Income 
                                Home Energy Assistance Act of 
                                1981 (42 U.S.C. 8621 et seq.) 
                                shall be considered to be 
                                prorated over the entire 
                                heating or cooling season for 
                                which the assistance was 
                                provided.
                  (D) Homeless households.--
                          [(i) Alternative deduction.--In lieu 
                        of the deduction provided under 
                        subparagraph (A), a State agency may 
                        elect to allow a household in which all 
                        members are homeless individuals, but 
                        that is not receiving free shelter 
                        throughout the month, to receive a 
                        deduction of $143 per month.]
                          (i) Alternative deduction.--The State 
                        agency shall allow a deduction of $143 
                        a month for households--
                                  (I) in which all members are 
                                homeless individuals;
                                  (II) that are not receiving 
                                free shelter throughout the 
                                month; and
                                  (III) that do not opt to 
                                claim an excess shelter expense 
                                deduction under subparagraph 
                                (A).
                          (ii) Adjustment.--For fiscal year 
                        2019 and each subsequent fiscal year 
                        the amount of the homeless shelter 
                        deduction specified in clause (i) shall 
                        be adjusted to reflect changes for the 
                        12-month period ending 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.
                          [(ii)] (iii) Ineligibility.--The 
                        State agency may make a household with 
                        extremely low shelter costs ineligible 
                        for the alternative deduction under 
                        clause (i).
  (f)(1)(A) Household income for those households that, by 
contract for other than an hourly or piecework basis or by 
self-employment, derive their annual income in a period of time 
shorter than one year shall be calculated by averaging such 
income over a twelve-month period. Notwithstanding the 
preceding sentence, household income resulting from the self-
employment of a member in a farming operation, who derives 
income from such farming operation and who has irregular 
expenses to produce such income, may, at the option of the 
household, be calculated by averaging such income and expenses 
over a 12-month period. Notwithstanding the first sentence, if 
the averaged amount does not accurately reflect the household's 
actual monthly circumstances because the household has 
experienced a substantial increase or decrease in business 
earnings, the State agency shall calculate the self-employment 
income based on anticipated earnings.
  (B) Household income for those households that receive 
nonexcluded income of the type described in subsection (d)(3) 
of this section shall be calculated by averaging such income 
over the period for which it is received.
                  (C) Simplified determination of deductions.--
                          (i) In general.--Except as provided 
                        in clause (ii), for the purposes of 
                        subsection (e), a State agency may 
                        elect to disregard until the next 
                        recertification of eligibility under 
                        section 11(e)(4) 1 or more types of 
                        changes in the circumstances of a 
                        household that affect the amount of 
                        deductions the household may claim 
                        under subsection (e).
                          (ii) Changes that may not be 
                        disregarded.--Under clause (i), a State 
                        agency may not disregard--
                                  (I) any reported change of 
                                residence; or
                                  (II) under standards 
                                prescribed by the Secretary, 
                                any change in earned income.
  (2)(A) Except as provided in subparagraphs (B), (C), and (D), 
households shall have their incomes calculated on a prospective 
basis, as provided in paragraph (3)(A), or, at the option of 
the State agency, on a retrospective basis, as provided in 
paragraph (3)(B).
  (B) In the case of the first month, or at the option of the 
State, the first and second months, during a continuous period 
in which a household is certified, the State agency shall 
determine eligibility and the amount of benefits on the basis 
of the household's income and other relevant circumstances in 
such first or second month.
  (C) Households specified in clauses (i), (ii), and (iii) of 
section 6(c)(1)(A) shall have their income calculated on a 
prospective basis, as provided in paragraph (3)(A).
  (D) Except as provided in subparagraph (B), households 
required to submit monthly reports of their income and 
household circumstances under section 6(c)(1) shall have their 
income calculated on a retrospective basis, as provided in 
paragraph (3)(B).
  (3)(A) Calculation of household income on a prospective basis 
is the calculation of income on the basis of the income 
reasonably anticipated to be received by the household during 
the period for which eligibility or benefits are being 
determined. Such calculation shall be made in accordance with 
regulations prescribed by the Secretary which shall provide for 
taking into account both the income reasonably anticipated to 
be received by the household during the period for which 
eligibility or benefits are being determined and the income 
received by the household during the preceding thirty days.
  (B) Calculation of household income on a retrospective basis 
is the calculation of income for the period for which 
eligibility or benefits are being determined on the basis of 
income received in a previous period. Such calculation shall be 
made in accordance with regulations prescribed by the Secretary 
which may provide for the determination of eligibility on a 
prospective basis in some or all cases in which benefits are 
calculated under this paragraph. Such regulations shall provide 
for supplementing the initial allotments of newly applying 
households in those cases in which the determination of income 
under this paragraph causes serious hardship.
  (4) In promulgating regulations under this subsection, the 
Secretary shall consult with the Secretary of Health and Human 
Services in order to assure that, to the extent feasible and 
consistent with the purposes of this Act and the Social 
Security Act, the income of households receiving benefits under 
this Act and title IV-A of the Social Security Act is 
calculated on a comparable basis under the two Acts. The 
Secretary is authorized, upon the request of a State agency, to 
waive any of the provisions of this subsection (except the 
provisions of paragraph (2)(A)) to the extent necessary to 
permit the State agency to calculate income for purposes of 
this Act on the same basis that income is calculated under 
title IV-A of the Social Security Act in that State.
  (g) Allowable Financial Resources.--
          (1) Total amount.--
                  (A) In general.--The Secretary shall 
                prescribe the types and allowable amounts of 
                financial resources (liquid and nonliquid 
                assets) an eligible household may own, and 
                shall, in so doing, assure that a household 
                otherwise eligible to participate in the 
                supplemental nutrition assistance program will 
                not be eligible to participate if its resources 
                exceed [$2,000] $7,000 (as adjusted in 
                accordance with subparagraph (B)), or, in the 
                case of a household which consists of or 
                includes an elderly or disabled member, if its 
                resources exceed [$3,000] $12,000 (as adjusted 
                in accordance with subparagraph (B)).
                  (B) Adjustment for inflation.--
                          (i) In general.--  [Beginning]
                                  (I) Beginning on October 1, 
                                [2008] 2019, 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) Beginning on October 1, 
                                2019, and each October 1 
                                thereafter, the amount 
                                specified in paragraph 
                                (2)(B)(iv) shall be adjusted in 
                                the manner described in 
                                subclause (I).
                                  (III) Beginning on October 1, 
                                2019, and each October 1 
                                thereafter, the amount 
                                specified in paragraph 
                                (2)(B)(v) shall be adjusted in 
                                the manner described in 
                                subclause (I).
                          (ii) Requirement.--Each adjustment 
                        under clause (i) shall be based on the 
                        unrounded amount for the prior 12-month 
                        period.
          (2) Included assets.--
                  (A) In general.--Subject to the other 
                provisions of this paragraph, the Secretary 
                shall, in prescribing inclusions in, and 
                exclusions from, financial resources, follow 
                the regulations in force as of June 1, 1982 
                (other than those relating to licensed vehicles 
                and inaccessible resources).
                  (B) Additional included assets.--The 
                Secretary shall include in financial 
                resources--
                          (i) any boat, snowmobile, or airplane 
                        used for recreational purposes;
                          (ii) any vacation home;
                          (iii) any mobile home used primarily 
                        for vacation purposes;
                          [(iv) subject to subparagraphs (C) 
                        and (D), any licensed vehicle that is 
                        used for household transportation or to 
                        obtain or continue employment to the 
                        extent that the fair market value of 
                        the vehicle exceeds $4,650;]
                          (iv) subject to subparagraph (C), 
                        with respect to any licensed vehicle 
                        that is used for household 
                        transportation or to obtain or continue 
                        employment--
                                  (I) 1 vehicle for each 
                                licensed driver who is a member 
                                of such household to the extent 
                                that the fair market value of 
                                the vehicle exceeds $12,000; 
                                and
                                  (II) each additional vehicle; 
                                and
                          (v) any savings account to the extent 
                        that the value exceeds $2,000, 
                        regardless of whether there is a 
                        penalty for early withdrawal.
                  (C) Excluded vehicles.--A vehicle (and any 
                other property, real or personal, to the extent 
                the property is directly related to the 
                maintenance or use of the vehicle) shall not be 
                included in financial resources under this 
                paragraph if the vehicle is--
                          (i) used to produce earned income;
                          (ii) necessary for the transportation 
                        of a physically disabled household 
                        member; or
                          (iii) depended on by a household to 
                        carry fuel for heating or water for 
                        home use and provides the primary 
                        source of fuel or water, respectively, 
                        for the household.
                  [(D) Alternative vehicle allowance.--If the 
                vehicle allowance standards that a State agency 
                uses to determine eligibility for assistance 
                under the State program funded under part A of 
                title IV of the Social Security Act (42 U.S.C. 
                601 et seq.) would result in a lower 
                attribution of resources to certain households 
                than under subparagraph (B)(iv), in lieu of 
                applying subparagraph (B)(iv), the State agency 
                may elect to apply the State vehicle allowance 
                standards to all households that would incur a 
                lower attribution of resources under the State 
                vehicle allowance standards.]
  (3) The Secretary shall exclude from financial resources the 
value of a burial plot for each member of a household and 
nonliquid resources necessary to allow the household to carry 
out a plan for self-sufficiency approved by the State agency 
that constitutes adequate participation in an employment and 
training program under section 6(d) or a pilot project under 
section 16(h)(1)(F). The Secretary shall also exclude from 
financial resources any earned income tax credits received by 
any member of the household for a period of 12 months from 
receipt if such member was participating in the supplemental 
nutrition assistance program at the time the credits were 
received and participated in such program continuously during 
the 12-month period.
  (4) In the case of farm property (including land, equipment, 
and supplies) that is essential to the self-employment of a 
household member in a farming operation, the Secretary shall 
exclude from financial resources the value of such property 
until the expiration of the 1-year period beginning on the date 
such member ceases to be self-employed in farming.
  (5) The Secretary shall promulgate rules by which State 
agencies shall develop standards for identifying kinds of 
resources that, as a practical matter, the household is 
unlikely to be able to sell for any significant return because 
the household's interest is relatively slight or because the 
cost of selling the household's interest would be relatively 
great. Resources so identified shall be excluded as 
inaccessible resources. A resource shall be so identified if 
its sale or other disposition is unlikely to produce any 
significant amount of funds for the support of the household. 
The Secretary shall not require the State agency to require 
verification of the value of a resource to be excluded under 
this paragraph unless the State agency determines that the 
information provided by the household is questionable.
          (6) Exclusion of types of financial resources not 
        considered under certain other federal programs.--
                  (A) In general.--Subject to subparagraph (B), 
                a State agency may, at the option of the State 
                agency, exclude from financial resources under 
                this subsection any types of financial 
                resources that the State agency does not 
                consider when determining eligibility for--
                          (i) cash assistance under a program 
                        funded under part A of title IV of the 
                        Social Security Act (42 U.S.C. 601 et 
                        seq.); or
                          (ii) medical assistance under section 
                        1931 of the Social Security Act (42 
                        U.S.C. 1396u-1).
                  (B) Limitations.--Except to the extent that 
                any of the types of resources specified in 
                clauses (i) through (iv) are excluded under 
                another paragraph of this subsection, 
                subparagraph (A) does not authorize a State 
                agency to exclude--
                          (i) cash;
                          (ii) licensed vehicles;
                          (iii) amounts in any account in a 
                        financial institution that are readily 
                        available to the household; or
                          (iv) any other similar type of 
                        resource the inclusion in financial 
                        resources of which the Secretary 
                        determines by regulation to be 
                        essential to equitable determinations 
                        of eligibility under the supplemental 
                        nutrition assistance program.
          (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.
                  (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).
          (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).
  (h)(1) The Secretary shall, after consultation with the 
official empowered to exercise the authority provided for by 
sections 402 and 502 of the Robert T. Stafford Disaster Relief 
and Emergency Assistance Act (42 U.S.C. 5121 et seq.), 
establish temporary emergency standards of eligibility for the 
duration of the emergency for households who are victims of a 
disaster which disrupts commercial channels of food 
distribution, if such households are in need of temporary food 
assistance and if commercial channels of food distribution have 
again become available to meet the temporary food needs of such 
households. Such standards as are prescribed for individual 
emergencies may be promulgated without regard to section 4(c) 
of this Act or the procedures set forth in section 553 of title 
5 of the United States Code.
  (2) The Secretary shall--
          (A) establish a Disaster Task Force to assist States 
        in implementing and operating the disaster program and 
        the regular supplemental nutrition assistance program 
        in the disaster area; and
          (B) if the Secretary, in the Secretary's discretion, 
        determines that it is cost-effective to send members of 
        the Task Force to the disaster area, the Secretary 
        shall send them to such area as soon as possible after 
        the disaster occurs to provide direct assistance to 
        State and local officials.
  (3)(A) The Secretary shall provide, by regulation, for 
emergency allotments to eligible households to replace food 
destroyed in a disaster. The regulations shall provide for 
replacement of the value of food actually lost up to a limit 
approved by the Secretary not greater than the applicable 
maximum monthly allotment for the household size.
  (B) The Secretary shall adjust issuance methods and reporting 
and other application requirements to be consistent with what 
is practicable under actual conditions in the affected area. In 
making this adjustment, the Secretary shall consider the 
availability of the State agency's offices and personnel, any 
conditions that make reliance on electronic benefit transfer 
systems described in section 7(h) impracticable, and any damage 
to or disruption of transportation and communication 
facilities.
  (i)(1) For purposes of determining eligibility for and the 
amount of benefits under this Act for an individual who is an 
alien as described in section 6(f)(2)(B) of this Act, the 
income and resources of any person who as a sponsor of such 
individual's entry into the United States executed an affidavit 
of support or similar agreement with respect to such 
individual, and the income and resources of the sponsor's 
spouse if such spouse is living with the sponsor, shall be 
deemed to be the income and resources of such individual for a 
period of three years after the individual's entry into the 
United States. Any such income deemed to be income of such 
individual shall be treated as unearned income of such 
individual.
  (2)(A) The amount of income of a sponsor, and the sponsor's 
spouse if living with the sponsor, which shall be deemed to be 
the unearned income of an alien for any year shall be 
determined as follows:
          (i) the total yearly rate of earned and unearned 
        income of such sponsor, and such sponsor's spouse if 
        such spouse is living with the sponsor, shall be 
        determined for such year under rules prescribed by the 
        Secretary;
          (ii) the amount determined under clause (i) of this 
        subparagraph shall be reduced by an amount equal to the 
        income eligibility standard as determined under section 
        5(c) of this Act for a household equal in size to the 
        sponsor, the sponsor's spouse if living with the 
        sponsor, and any persons dependent upon or receiving 
        support from the sponsor or the sponsor's spouse if the 
        spouse is living with the sponsor; and
          (iii) the monthly income attributed to such alien 
        shall be one-twelfth of the amount calculated under 
        clause (ii) of this subparagraph.
  (B) The amount of resources of a sponsor, and the sponsor's 
spouse if living with the sponsor, which shall be deemed to be 
the resources of an alien for any year shall be determined as 
follows:
          (i) the total amount of the resources of such sponsor 
        and such sponsor's spouse if such spouse is living with 
        the sponsor shall be determined under rules prescribed 
        by the Secretary;
          (ii) the amount determined under clause (i) of this 
        subparagraph shall be reduced by $1,500; and
          (iii) the resources determined under clause (ii) of 
        this subparagraph shall be deemed to be resources of 
        such alien in addition to any resources of such alien.
  (C)(i) Any individual who is an alien shall, during the 
period of three years after entry into the United States, in 
order to be an eligible individual or eligible spouse for 
purposes of this Act, be required to provide to the State 
agency such information and documentation with respect to the 
alien's sponsor and sponsor's spouse as may be necessary in 
order for the State agency to make any determination required 
under this section, and to obtain any cooperation from such 
sponsor necessary for any such determination. Such alien shall 
also be required to provide such information and documentation 
which such alien or the sponsor provided in support of such 
alien's immigration application as the State agency may 
request.
  (ii) The Secretary shall enter into agreements with the 
Secretary of State and the Attorney General whereby any 
information available to such persons and required in order to 
make any determination under this section will be provided by 
such persons to the Secretary, and whereby such persons shall 
inform any sponsor of an alien, at the time such sponsor 
executes an affidavit of support or similar agreement, of the 
requirements imposed by this section.
  (D) Any sponsor of an alien, and such alien, shall be jointly 
and severably liable for an amount equal to any overpayment 
made to such alien during the period of three years after such 
alien's entry into the United States, on account of such 
sponsor's failure to provide correct information under the 
provisions of this section, except where such sponsor was 
without fault, or where good cause for such failure existed. 
Any such overpayment which is not repaid shall be recovered in 
accordance with the provisions of section 13(b) of this Act.
  (E) The provisions of this subsection shall not apply with 
respect to any alien who is a member of the sponsor's household 
or to any alien who is under 18 years of age.
  (j) Notwithstanding subsections (a) through (i), a State 
agency shall consider a household member who receives 
supplemental security income benefits under title XVI of the 
Social Security Act (42 U.S.C. 1382 et seq.), aid to the aged, 
blind, or disabled under title I, II, X, XIV, or XVI of such 
Act (42 U.S.C. 301 et seq.), [or who receives benefits] cash 
assistance or ongoing and substantial services under a State 
program funded under part A of title IV of the Act (42 U.S.C. 
601 et seq.) [to have] with an income eligibility limit of not 
more than 130 percent of the poverty line as defined in section 
5(c)(1), or who is elderly or disabled and receives cash 
assistance or ongoing and substantial services under a State 
program funded under part A of title IV of the Act (42 U.S.C. 
601 et seq.) with an income eligibility limit of not more than 
200 percent of the poverty line as defined in section 5(c)(1), 
to have satisfied the resource limitations prescribed under 
subsection (g).
  (k)(1) For purposes of subsection (d)(1), except as provided 
in paragraph (2), assistance provided to a third party on 
behalf of a household by a State or local government shall be 
considered money payable directly to the household if the 
assistance is provided in lieu of--
          (A) a regular benefit payable to the household for 
        living expenses under a State program funded under part 
        A of title IV of the Social Security Act (42 U.S.C. 601 
        et seq.); or
          (B) a benefit payable to the household for housing 
        expenses under--
                  (i) a State or local general assistance 
                program; or
                  (ii) another basic assistance program 
                comparable to general assistance (as determined 
                by the Secretary).
  (2) Paragraph (1) shall not apply to--
          (A) medical assistance;
          (B) child care assistance;
          (C) a payment or allowance described in subsection 
        (d)(11);
          (D) assistance provided by a State or local housing 
        authority;
          (E) emergency assistance for migrant or seasonal 
        farmworker households during the period such households 
        are in the job stream;
          (F) emergency and special assistance, to the extent 
        excluded in regulations prescribed by the Secretary; or
          (G) assistance provided to a third party on behalf of 
        a household under a State or local general assistance 
        program, or another local basic assistance program 
        comparable to general assistance (as determined by the 
        Secretary), if, under State law, no assistance under 
        the program may be provided directly to the household 
        in the form of a cash payment.
  (3) For purposes of subsection (d)(1), educational loans on 
which payment is deferred, grants, scholarships, fellowships, 
veterans' educational benefits, and the like that are provided 
to a third party on behalf of a household for living expenses 
shall be treated as money payable directly to the household.
          (4) Third party energy assistance payments.--
                  (A) Energy assistance payments.--For purposes 
                of subsection (d)(1), a payment made under a 
                State law (other than a law referred to in 
                paragraph (2)(G)) to provide energy assistance 
                to a household without an elderly member shall 
                be considered money payable directly to the 
                household.
                  (B) Energy assistance expenses.--For purposes 
                of subsection [(e)(6)] (e)(5), an expense paid 
                on behalf of a household with an elderly member 
                under a State law to provide energy assistance 
                shall be considered an out-of-pocket expense 
                incurred and paid by the household.
  (l) Notwithstanding section 181(a)(2) of the Workforce 
Innovation and Opportunity Act, earnings to individuals 
participating in on-the-job training under title I of such Act 
shall be considered earned income for purposes of the 
supplemental nutrition assistance program, except for 
dependents less than 19 years of age.
  (m) Simplified Calculation of Income for the Self-Employed.--
          (1) In general.--Not later than 1 year after the date 
        of enactment of this subsection, the Secretary shall 
        establish a procedure by which a State may submit a 
        method, designed to not increase Federal costs, for the 
        approval of the Secretary, that the Secretary 
        determines will produce a reasonable estimate of income 
        excluded under subsection (d)(9) in lieu of calculating 
        the actual cost of producing self-employment income.
          (2) Inclusive of all types of income or limited types 
        of income.--The method submitted by a State under 
        paragraph (1) may allow a State to estimate income for 
        all types of self-employment income or may be limited 
        to 1 or more types of self-employment income.
          (3) Differences for different types of income.--The 
        method submitted by a State under paragraph (1) may 
        differ for different types of self-employment income.
  (n) State Options To Simplify Determination of Child Support 
Payments.--[Regardless of whether a State agency elects to 
provide a deduction under subsection (e)(4), the] The Secretary 
shall establish simplified procedures to allow State agencies, 
at the option of the State agencies, to determine the amount of 
any legally obligated child support payments made, including 
procedures to allow the State agency to rely on information 
from the agency responsible for implementing the program under 
part D of title IV of the Social Security Act (42 U.S.C. 651 et 
seq.) concerning payments made in prior months in lieu of 
obtaining current information from the households.

                     ELIGIBILITY DISQUALIFICATIONS

  Sec. 6. (a) In addition to meeting the standards of 
eligibility prescribed in section 5 of this Act, households and 
individuals who are members of eligible households must also 
meet and comply with the specific requirements of this section 
to be eligible for participation in the supplemental nutrition 
assistance program.
  (b)(1) Any person who has been found by any State or Federal 
court or administrative agency to have intentionally (A) made a 
false or misleading statement, or misrepresented, concealed or 
withheld facts, or (B) committed any act that constitutes a 
violation of this Act, the regulations issued thereunder, or 
any State statute, for the purpose of using, presenting, 
transferring, acquiring, receiving, or possessing program 
benefits shall, immediately upon the rendering of such 
determination, become ineligible for further participation in 
the program--
                  
          (i) for a period of 1 year upon the first occasion of 
        any such determination;
          (ii) for a period of 2 years upon--
                  (I) the second occasion of any such 
                determination; or
                  (II) the first occasion of a finding by a 
                Federal, State, or local court of the trading 
                of a controlled substance (as defined in 
                section 102 of the Controlled Substances Act 
                (21 U.S.C. 802)) for benefits; and
          (iii) permanently upon--
                  (I) the third occasion of any such 
                determination;
                  (II) the second occasion of a finding by a 
                Federal, State, or local court of the trading 
                of a controlled substance (as defined in 
                section 102 of the Controlled Substances Act 
                (21 U.S.C. 802)) for benefits;
                  (III) the first occasion of a finding by a 
                Federal, State, or local court of the trading 
                of firearms, ammunition, or explosives for 
                benefits; or
                  (IV) a conviction of an offense under 
                subsection (b) or (c) of section 15 involving 
                an item covered by subsection (b) or (c) of 
                section 15 having a value of $500 or more.
During the period of such ineligibility, no household shall 
receive increased benefits under this Act as the result of a 
member of such household having been disqualified under this 
subsection.
  (2) Each State agency shall proceed against an individual 
alleged to have engaged in such activity either by way of 
administrative hearings, after notice and an opportunity for a 
hearing at the State level, or by referring such matters to 
appropriate authorities for civil or criminal action in a court 
of law.
  (3) Such periods of ineligibility as are provided for in 
paragraph (1) of this subsection shall remain in effect, 
without possibility of administrative stay, unless and until 
the finding upon which the ineligibility is based is 
subsequently reversed by a court of appropriate jurisdiction, 
but in no event shall the period of ineligibility be subject to 
review.
  (4) The Secretary shall prescribe such regulations as the 
Secretary may deem appropriate to ensure that information 
concerning any such determination with respect to a specific 
individual is forwarded to the Office of the Secretary by any 
appropriate State or Federal entity for the use of the 
Secretary in administering the provisions of this section. No 
State shall withhold such information from the Secretary or the 
Secretary's designee for any reason whatsoever.
  (c) Except in a case in which a household is receiving 
transitional benefits during the transitional benefits period 
under section 11(s), no household shall be eligible to 
participate in the supplemental nutrition assistance program if 
it refuses to cooperate in providing information to the State 
agency that is necessary for making a determination of its 
eligibility or for completing any subsequent review of its 
eligibility.
          (1)(A) A State agency may require certain categories 
        of households to file periodic reports of income and 
        household circumstances in accordance with standards 
        prescribed by the Secretary, except that a State agency 
        may not require periodic reporting--
                  (i) for periods shorter than 4 months by 
                migrant or seasonal farmworker households;
                  (ii) for periods shorter than 4 months by 
                households in which all members are homeless 
                individuals; or
                  (iii) for periods shorter than 1 year by 
                households that have no earned income and in 
                which all adult members are elderly or 
                disabled.
          (B) Each household that is not required to file such 
        periodic reports shall be required to report or cause 
        to be reported to the State agency changes in income or 
        household circumstances that the Secretary considers 
        necessary to assure accurate eligibility and benefit 
        determinations.
          (C) A State agency may require periodic reporting on 
        a monthly basis by households residing on a reservation 
        only if--
                  (i) the State agency reinstates benefits, 
                without requiring a new application, for any 
                household residing on a reservation that 
                submits a report not later than 1 month after 
                the end of the month in which benefits would 
                otherwise be provided;
                  (ii) the State agency does not delay, reduce, 
                suspend, or terminate the allotment of a 
                household that submits a report not later than 
                1 month after the end of the month in which the 
                report is due;
                  (iii) on the date of enactment of this 
                subparagraph, the State agency requires 
                households residing on a reservation to file 
                periodic reports on a monthly basis; and
                  (iv) the certification period for households 
                residing on a reservation that are required to 
                file periodic reports on a monthly basis is 2 
                years, unless the State demonstrates just cause 
                to the Secretary for a shorter certification 
                period.
                  (D) Frequency of reporting.--
                          (i) In general.--Except as provided 
                        in subparagraphs (A) and (C), a State 
                        agency may require households that 
                        report on a periodic basis to submit 
                        reports--
                                  (I) not less often than once 
                                each 6 months; but
                                  (II) not more often than once 
                                each month.
                          (ii) Reporting by households with 
                        excess income.--A household required to 
                        report less often than once each 3 
                        months shall, notwithstanding 
                        subparagraph (B), report in a manner 
                        prescribed by the Secretary if the 
                        income of the household for any month 
                        exceeds the income standard of 
                        eligibility established under section 
                        5(c)(2).
          (2) Any household required to file a periodic report 
        under paragraph (1) of this subsection shall, (A) if it 
        is eligible to participate and has filed a timely and 
        complete report, receive its allotment, based on the 
        reported information for a given month, within thirty 
        days of the end of that month unless the Secretary 
        determines that a longer period of time is necessary, 
        (B) have available special procedures that permit the 
        filing of the required information in the event all 
        adult members of the household are mentally or 
        physically handicapped or lacking in reading or writing 
        skills to such a degree as to be unable to fill out the 
        required forms, (C) have a reasonable period of time 
        after the close of the month in which to file their 
        reports on State agency designed forms, (D) be afforded 
        prompt notice of failure to file any report timely or 
        completely, and given a reasonable opportunity to cure 
        that failure (with any applicable time requirements 
        extended accordingly) and to exercise its rights under 
        section 11(e)(10) of this Act, and (E) be provided each 
        month (or other applicable period) with an appropriate, 
        simple form for making the required reports of the 
        household together with clear instructions explaining 
        how to complete the form and the rights and 
        responsibilities of the household under any periodic 
        reporting system.
          (3) Reports required to be filed under paragraph (1) 
        of this subsection shall be considered complete if they 
        contain the information relevant to eligibility and 
        benefit determinations that is specified by the State 
        agency. All report forms, including those related to 
        periodic reports of circumstances, shall contain a 
        description, in understandable terms in prominent and 
        bold face lettering, of the appropriate civil and 
        criminal provisions dealing with violations of this Act 
        including the prescribed penalties. Reports required to 
        be filed monthly under paragraph (1) shall be the sole 
        reporting requirement for subject matter included in 
        such reports. In promulgating regulations implementing 
        these reporting requirements, the Secretary shall 
        consult with the Commissioner of Social Security and 
        the Secretary of Health and Human Services, and, 
        wherever feasible, households that receive assistance 
        under title IV-A of the Social Security Act and that 
        are required to file comparable reports under that Act 
        shall be provided the opportunity to file reports at 
        the same time for purposes of both Acts.
          (4) Except as provided in paragraph (1)(C), any 
        household that fails to submit periodic reports 
        required by paragraph (1) shall not receive an 
        allotment for the payment period to which the 
        unsubmitted report applies until such report is 
        submitted.
          (5) The Secretary is authorized, upon the request of 
        a State agency, to waive any provisions of this 
        subsection (except the provisions of the first sentence 
        of paragraph (1) which relate to households which are 
        not required to file periodic reports) to the extent 
        necessary to permit the State agency to establish 
        periodic reporting requirements for purposes of this 
        Act which are similar to the periodic reporting 
        requirements established under the State program funded 
        under part A of title IV of the Social Security Act (42 
        U.S.C. 601 et seq.) in that State.
  (d) Conditions of Participation.--
          (1) Work requirements.--
                  (A) Definition of work program.--In this 
                subsection, the term ``work program'' means--
                          (i) a program under title I of the 
                        Workforce Innovation and Opportunity 
                        Act;
                          (ii) a program under section 236 of 
                        the Trade Act of 1974 (19 U.S.C. 2296); 
                        and
                          (iii) a program of employment and 
                        training operated or supervised by a 
                        State or political subdivision of a 
                        State that meets standards approved by 
                        the chief executive officer of the 
                        State and the Secretary, other than a 
                        program under paragraph (4).
                  [(A)] (B) In general.--[No] Subject to 
                subparagraph (C), no physically and mentally 
                fit individual [over the age of 15 and under 
                the age of 60] at least 18 years of age and 
                less than 60 years of age shall be eligible to 
                participate in the supplemental nutrition 
                assistance program if the individual--
                          [(i) refuses, at the time of 
                        application and every 12 months 
                        thereafter, to register for employment 
                        in a manner prescribed by the 
                        Secretary;
                          [(ii) refuses without good cause to 
                        participate in an employment and 
                        training program established under 
                        paragraph (4), to the extent required 
                        by the State agency;]
                          (i) without good cause, fails to work 
                        or refuses to participate in either an 
                        employment and training program 
                        established in paragraph (4), a work 
                        program, or any combination of work, an 
                        employment and training program, or 
                        work program--
                                  (I) a minimum of 20 hours per 
                                week, averaged monthly in 
                                fiscal years 2021 through 2025; 
                                or
                                  (II) a minimum of 25 hours 
                                per week, averaged monthly in 
                                fiscal years 2026 and each 
                                fiscal year thereafter;
                          [(iii)] (ii) refuses without good 
                        cause to accept an offer of employment, 
                        at a site or plant not subject to a 
                        strike or lockout at the time of the 
                        refusal, at a wage not less than the 
                        higher of--
                                  (I) the applicable Federal or 
                                State minimum wage; or
                                  (II) 80 percent of the wage 
                                that would have governed had 
                                the minimum hourly rate under 
                                section 6(a)(1) of the Fair 
                                Labor Standards Act of 1938 (29 
                                U.S.C. 206(a)(1)) been 
                                applicable to the offer of 
                                employment;
                          [(iv)] (iii) refuses without good 
                        cause to provide a State agency with 
                        sufficient information to allow the 
                        State agency to determine the 
                        employment status or the job 
                        availability of the individual; or
                          [(v)] (iv) voluntarily and without 
                        good cause--
                                  (I) quits a job; or
                                  (II) reduces work effort and, 
                                after the reduction, the 
                                individual is working less than 
                                [30 hours per week; or] the 
                                hourly requirements applicable 
                                under paragraph (1)(B)(i).
                          [(vi) fails to comply with section 
                        20.]
                  [(B) Household ineligibility.--If an 
                individual who is the head of a household 
                becomes ineligible to participate in the 
                supplemental nutrition assistance program under 
                subparagraph (A), the household shall, at the 
                option of the State agency, become ineligible 
                to participate in the supplemental nutrition 
                assistance program for a period, determined by 
                the State agency, that does not exceed the 
                lesser of--
                          [(i) the duration of the 
                        ineligibility of the individual 
                        determined under subparagraph (C); or
                          [(ii) 180 days.
                  [(C) Duration of ineligibility.--
                          [(i) First violation.--The first time 
                        that an individual becomes ineligible 
                        to participate in the supplemental 
                        nutrition assistance program under 
                        subparagraph (A), the individual shall 
                        remain ineligible until the later of--
                                  [(I) the date the individual 
                                becomes eligible under 
                                subparagraph (A);
                                  [(II) the date that is 1 
                                month after the date the 
                                individual became ineligible; 
                                or
                                  [(III) a date determined by 
                                the State agency that is not 
                                later than 3 months after the 
                                date the individual became 
                                ineligible.
                          [(ii) Second violation.--The second 
                        time that an individual becomes 
                        ineligible to participate in the 
                        supplemental nutrition assistance 
                        program under subparagraph (A), the 
                        individual shall remain ineligible 
                        until the later of--
                                  [(I) the date the individual 
                                becomes eligible under 
                                subparagraph (A);
                                  [(II) the date that is 3 
                                months after the date the 
                                individual became ineligible; 
                                or
                                  [(III) a date determined by 
                                the State agency that is not 
                                later than 6 months after the 
                                date the individual became 
                                ineligible.
                          [(iii) Third or subsequent 
                        violation.--The third or subsequent 
                        time that an individual becomes 
                        ineligible to participate in the 
                        supplemental nutrition assistance 
                        program under subparagraph (A), the 
                        individual shall remain ineligible 
                        until the later of--
                                  [(I) the date the individual 
                                becomes eligible under 
                                subparagraph (A);
                                  [(II) the date that is 6 
                                months after the date the 
                                individual became ineligible;
                                  [(III) a date determined by 
                                the State agency; or
                                  [(IV) at the option of the 
                                State agency, permanently.]
                  (C) Limitation.--Subparagraph (B) shall not 
                apply to an individual during the first month 
                that individual would otherwise become subject 
                to subparagraph (B) and be found in 
                noncompliance with such subparagraph.
                  (D) Transition period.--During each of the 
                fiscal years 2019 and 2020, States shall 
                continue to implement and enforce the work and 
                employment and training program requirements 
                consistent with this subsection, subsection 
                (e), subsection (o) excluding paragraph (6)(F), 
                section 7(i), section 11(e)(19), and section 16 
                (excluding subparagraphs (A), (B), (D), and (C) 
                of subsection (h)(1)) as those provisions were 
                in effect on the day before the effective date 
                of this subparagraph.
                  (E) Ineligibility.--
                          (i) Notification of failure to meet 
                        work requirements.--The State agency 
                        shall issue a notice of adverse action 
                        to an individual not later than 10 days 
                        after the State agency determines that 
                        the individual has failed to meet the 
                        requirements applicable under 
                        subparagraph (B).
                          (ii) First violation.--The 1st time 
                        an individual receives a notice of 
                        adverse action issued under clause (i), 
                        the individual shall remain ineligible 
                        to participate in the supplemental 
                        nutrition assistance program until--
                                  (I) the date that is 12 
                                months after the date the 
                                individual became ineligible;
                                  (II) the date the individual 
                                obtains employment sufficient 
                                to meet the hourly requirements 
                                applicable under subparagraph 
                                (B)(i); or
                                  (III) the date that the 
                                individual is no longer subject 
                                to the requirements of 
                                subparagraph (B);
                        whichever is earliest.
                          (iii) Second or subsequent 
                        violation.--The 2d or subsequent time 
                        an individual receives a notice of 
                        adverse action issued under clause (i), 
                        the individual shall remain ineligible 
                        to participate in the supplemental 
                        nutrition assistance program until--
                                  (I) the date that is 36 
                                months after the date the 
                                individual became ineligible;
                                  (II) the date the individual 
                                obtains employment sufficient 
                                to meet the hourly requirements 
                                applicable under subparagraph 
                                (B)(i); or
                                  (III) the date the individual 
                                is no longer subject to the 
                                requirements of subparagraph 
                                (B);
                        whichever is earliest.
                  (F) Waiver.--
                          (i) In general.--On the request of a 
                        State agency, the Secretary may waive 
                        the applicability of subparagraph (B) 
                        to individuals in the State if the 
                        Secretary makes a determination that 
                        the area in which the individuals 
                        reside--
                                  (I) has an unemployment rate 
                                of over 10 percent;
                                  (II) is designated as a Labor 
                                Surplus Area by the Employment 
                                and Training Administration of 
                                the Department of Labor for the 
                                current fiscal year based on 
                                the criteria for exceptional 
                                circumstances as described in 
                                section 654.5 of title 20 of 
                                the Code of Federal 
                                Regulations;
                                  (III) has a 24-month average 
                                unemployment rate 20 percent or 
                                higher than the national 
                                average for the same 24-month 
                                period unless the 24-month 
                                average unemployment rate of 
                                the area is less than 6 
                                percent, except that the 24-
                                month period shall begin no 
                                earlier than the 24-month 
                                period the Employment and 
                                Training Administration of the 
                                Department of Labor uses to 
                                designate Labor Surplus Areas 
                                for the current fiscal year; or
                                  (IV) is in a State--
                                          (aa) that is in an 
                                        extended benefit period 
                                        (within the meaning of 
                                        section 203 of the 
                                        Federal-State Extended 
                                        Unemployment 
                                        Compensation Act of 
                                        1970); or
                                          (bb) in which 
                                        temporary or emergency 
                                        unemployment 
                                        compensation is being 
                                        provided under any 
                                        Federal law.
                          (ii) Jurisdictions with limited 
                        data.--In carrying out clause (i), in 
                        the case of a jurisdiction for which 
                        Bureau of Labor Statistics unemployment 
                        data is limited or unavailable, such as 
                        an Indian Reservation or a territory of 
                        the United States, a State may support 
                        its request based on other economic 
                        indicators as determined by the 
                        Secretary.
                          (iii) Limit on combining 
                        jurisdictions.--In carrying out clause 
                        (i), the Secretary may waive the 
                        applicability of subparagraph (B) only 
                        to a State or individual jurisdictions 
                        within a State, except in the case of 
                        combined jurisdictions that are 
                        designated as Labor Market Areas by the 
                        Department of Labor.
                          (iv) 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, and shall 
                        make available to the public, an annual 
                        report on the basis for granting a 
                        waiver under clause (i).
                  (G) 15-percent exemption.--
                          (i) Definitions.--In this 
                        subparagraph:
                                  (I) Caseload.--The term 
                                ``caseload'' means the average 
                                monthly number of individuals 
                                receiving supplemental 
                                nutrition assistance program 
                                benefits during the 12-month 
                                period ending the preceding 
                                June 30.
                                  (II) Covered individual.--The 
                                term ``covered individual'' 
                                means a member of a household 
                                that receives supplemental 
                                nutrition assistance program 
                                benefits, or an individual 
                                denied eligibility for 
                                supplemental nutrition 
                                assistance program benefits 
                                solely due to the applicability 
                                of subparagraph (B), who--
                                          (aa) is not eligible 
                                        for an exception under 
                                        paragraph (2);
                                          (bb) does not reside 
                                        in an area covered by a 
                                        waiver granted under 
                                        subparagraph (F); and
                                          (cc) is not complying 
                                        with subparagraph (B).
                          (ii) General rule.--Subject to 
                        clauses (iii) through (v), a State 
                        agency may provide an exemption from 
                        the requirements of subparagraph (B) 
                        for covered individuals.
                          (iii) Fiscal year 2021 and 
                        thereafter.--Subject to clauses (iv) 
                        and (v), for fiscal year 2021 and each 
                        subsequent fiscal year, a State agency 
                        may provide a number of exemptions such 
                        that the average monthly number of the 
                        exemptions in effect during the fiscal 
                        year does not exceed 15 percent of the 
                        number of covered individuals in the 
                        State in fiscal year 2019, as estimated 
                        by the Secretary, based on the survey 
                        conducted to carry out section 16(c) 
                        for the most recent fiscal year and 
                        such other factors as the Secretary 
                        considers appropriate due to the timing 
                        and limitations of the survey.
                          (iv) Caseload adjustments.--The 
                        Secretary shall adjust the number of 
                        individuals estimated for a State under 
                        clause (iii) during a fiscal year if 
                        the number of members of households 
                        that receive supplemental nutrition 
                        assistance program benefits in the 
                        State varies from the State's caseload 
                        by more than 10 percent, as determined 
                        by the Secretary.
                          (v) Reporting requirements.--
                                  (I) Reports by state 
                                agencies.--A State agency shall 
                                submit such reports to the 
                                Secretary as the Secretary 
                                determines are necessary to 
                                ensure compliance with this 
                                paragraph.
                                  (II) Annual report by the 
                                secretary.--The Secretary shall 
                                annually compile and submit to 
                                the Committee on Agriculture of 
                                the House of Representatives 
                                and the Committee on 
                                Agriculture, Nutrition, and 
                                Forestry of the Senate, and 
                                shall make available to the 
                                public, an annual report that 
                                contains the reports submitted 
                                under subclause (I) by State 
                                agencies.
                  (H) Other program rules.--Nothing in this 
                subsection shall make an individual eligible 
                for benefits under this Act if the individual 
                is not otherwise eligible for benefits under 
                the other provisions of this Act.
                  [(D)] (I) Administration.--
                          (i) Good cause.--The Secretary shall 
                        determine the meaning of good cause for 
                        the purpose of this paragraph.
                          (ii) Voluntary quit.--The Secretary 
                        shall determine the meaning of 
                        voluntarily quitting and reducing work 
                        effort for the purpose of this 
                        paragraph.
                          (iii) Determination by state 
                        agency.--
                                  (I) In general.--Subject to 
                                subclause (II) and clauses (i) 
                                and (ii), a State agency shall 
                                determine--
                                          (aa) the meaning of 
                                        any term used in 
                                        subparagraph [(A)] (B);
                                          (bb) the procedures 
                                        for determining whether 
                                        an individual is in 
                                        compliance with a 
                                        requirement under 
                                        subparagraph [(A)] (B); 
                                        and
                                          (cc) whether an 
                                        individual is in 
                                        compliance with a 
                                        requirement under 
                                        subparagraph [(A)] (B).
                                  (II) Not less restrictive.--A 
                                State agency may not use a 
                                meaning, procedure, or 
                                determination under subclause 
                                (I) that is less restrictive on 
                                individuals receiving benefits 
                                under this Act than a 
                                comparable meaning, procedure, 
                                or determination under a State 
                                program funded under part A of 
                                title IV of the Social Security 
                                Act (42 U.S.C. 601 et seq.).
                          (iv) Strike against the government.--
                        For the purpose of subparagraph 
                        [(A)(v)] (B)(iv), an employee of the 
                        Federal Government, a State, or a 
                        political subdivision of a State, who 
                        is dismissed for participating in a 
                        strike against the Federal Government, 
                        the State, or the political subdivision 
                        of the State shall be considered to 
                        have voluntarily quit without good 
                        cause.
                          [(v) Selecting a head of household.--
                                  [(I) In general.--For 
                                purposes of this paragraph, the 
                                State agency shall allow the 
                                household to select any adult 
                                parent of a child in the 
                                household as the head of the 
                                household if all adult 
                                household members making 
                                application under the 
                                supplemental nutrition 
                                assistance program agree to the 
                                selection.
                                  [(II) Time for making 
                                designation.--A household may 
                                designate the head of the 
                                household under subclause (I) 
                                each time the household is 
                                certified for participation in 
                                the supplemental nutrition 
                                assistance program, but may not 
                                change the designation during a 
                                certification period unless 
                                there is a change in the 
                                composition of the household.
                          [(vi) Change in head of household.--
                        If the head of a household leaves the 
                        household during a period in which the 
                        household is ineligible to participate 
                        in the supplemental nutrition 
                        assistance program under subparagraph 
                        (B)--
                                  [(I) the household shall, if 
                                otherwise eligible, become 
                                eligible to participate in the 
                                supplemental nutrition 
                                assistance program; and
                                  [(II) if the head of the 
                                household becomes the head of 
                                another household, the 
                                household that becomes headed 
                                by the individual shall become 
                                ineligible to participate in 
                                the supplemental nutrition 
                                assistance program for the 
                                remaining period of 
                                ineligibility.]
  (2) A person who otherwise would be required to comply with 
the requirements of [paragraph (1)] paragraph (1)(B) of this 
subsection shall be exempt from such requirements if he or she 
is (A) currently subject to and complying with a work 
registration requirement under title IV of the Social Security 
Act, as amended (42 U.S.C. 602), or the Federal-State 
unemployment compensation system, in which case, failure by 
such person to comply with any work requirement to which such 
person is subject shall be the same as failure to comply with 
that requirement of paragraph (1); (B) a parent or other member 
of a household with responsibility for the care of a dependent 
child under age six or of an incapacitated person; (C) a bona 
fide student enrolled at least half time in any recognized 
school, training program, or institution of higher education 
(except that any such person enrolled in an institution of 
higher education shall be ineligible to participate in the 
supplemental nutrition assistance program unless he or she 
meets the requirements of subsection (e) of this section); (D) 
a regular participant in a drug addiction or alcoholic 
treatment and rehabilitation program; [(E) employed a minimum 
of thirty hours per week or receiving weekly earnings which 
equal the minimum hourly rate under the Fair Labor Standards 
Act of 1938, as amended (29 U.S.C. 206(a)(1)), multiplied by 
thirty hours; or (F) a person between the ages of sixteen and 
eighteen who is not a head of a household or who is attending 
school, or enrolled in an employment training program, on at 
least a half-time basis. A State that requested a waiver to 
lower the age specified in subparagraph (B) and had the waiver 
denied by the Secretary as of August 1, 1996, may, for a period 
of not more than 3 years, lower the age of a dependent child 
that qualifies a parent or other member of a household for an 
exemption under subparagraph (B) to between 1 and 6 years of 
age.] (E) receiving weekly earnings which equal the minimum 
hourly rate under section 6(a)(1) of the Fair Labor Standards 
Act of 1938 (29 U.S.C. 206(a)(1)), multiplied by the hourly 
requirement as specified in subparagraph (B); (F) medically 
certified as mentally or physically unfit for employment; or 
(G) a pregnant woman.
  (3) Notwithstanding any other provision of law, a household 
shall not participate in the supplemental nutrition assistance 
program at any time that any member of such household, not 
exempt from the work [registration requirements] requirement of 
paragraph (1) of this subsection, is on strike as defined in 
section 501(2) of the Labor Management Relations Act, 1947, 
because of a labor dispute (other than a lockout) as defined in 
section 2(9) of the National Labor Relations Act: Provided, 
That a household shall not lose its eligibility to participate 
in the supplemental nutrition assistance program as a result of 
one of its members going on strike if the household was 
eligible immediately prior to such strike, however, such 
household shall not receive an increased allotment as the 
result of a decrease in the income of the striking member or 
members of the household: Provided further, That such 
ineligibility shall not apply to any household that does not 
contain a member on strike, if any of its members refuses to 
accept employment at a plant or site because of a strike or 
lockout.
          (4) Employment and training.--
                  (A) In general.--
                          (i) Implementation.--Each State 
                        agency shall implement an employment 
                        and training program designed by the 
                        State agency and approved by the 
                        Secretary for the purpose of assisting 
                        members of households participating in 
                        the supplemental nutrition assistance 
                        program in gaining skills, training, 
                        work, or experience that will increase 
                        their ability to obtain regular 
                        employment.
                          (ii) Mandatory minimum services.--
                        Each State agency shall offer 
                        employment and training program 
                        services sufficient for all individuals 
                        subject to the requirements of 
                        paragraph (1)(B)(i) who are not 
                        currently ineligible pursuant to 
                        paragraph (1)(E), exempt pursuant to 
                        subparagraphs (F) and (G) or paragraph 
                        (2) of subsection (d), and for all 
                        individuals covered by paragraph 
                        (1)(C), to meet the hourly requirements 
                        specified in paragraph (1)(B)(i) to the 
                        extent that such requirements will not 
                        be satisfied by hours of work or 
                        participation in a work program.
                          [(ii)] (iii) Statewide workforce 
                        development system.--Each component of 
                        an employment and training program 
                        carried out under this paragraph shall 
                        be delivered through a statewide 
                        workforce development system, unless 
                        the component is not available locally 
                        through such a system.
  (B) For purposes of this Act, an ``employment and training 
program'' means a program that contains case management 
services consisting of comprehensive intake assessments, 
individualized service plans, progress monitoring, and 
coordination with service providers, and one or more of the 
following components, except that the State agency shall retain 
the option to apply employment requirements prescribed under 
this subparagraph to a program applicant at the time of 
application:
          [(i) Job search programs.]
          (i) Supervised job search programs that occur at 
        State-approved locations in which the activities of 
        participants shall be directly supervised and the 
        timing and activities of participants tracked in 
        accordance with guidelines set forth by the State.
          (ii) Job search training programs that include, to 
        the extent determined appropriate by the State agency, 
        reasonable job search training and support activities 
        that may consist of [jobs skills assessments, job 
        finding clubs, training in techniques for] 
        employability assessments, training in techniques to 
        increase employability, job placement services, or 
        other direct training or support activities, including 
        educational programs, determined by the State agency to 
        expand the job search abilities or employability of 
        those subject to the program.
          [(iii) Workfare programs operated under section 20.
          [(iv)] (iii) Programs designed to improve the 
        employability of household members through actual work 
        experience or training, or both, and to enable 
        individuals employed or trained under such programs to 
        move promptly into regular public or private 
        employment, including subsidized employment, 
        apprenticeships, and unpaid or volunteer work that is 
        limited to 6 months out of a 12-month period. An 
        employment or training experience program established 
        under this clause shall--
                  (I) not provide any work that has the effect 
                of replacing the employment of an individual 
                not participating in the employment or training 
                experience program; and
                  (II) provide the same benefits and working 
                conditions that are provided at the job site to 
                employees performing comparable work for 
                comparable hours.
          [(v)] (iv) Educational programs or activities to 
        improve basic skills and literacy, including family 
        literacy and financial literacy,, or otherwise improve 
        employability, including educational programs 
        determined by the State agency to expand the job search 
        abilities or employability of those subject to the 
        program under this paragraph.
          [(vi)] (v) Programs designed to increase the self-
        sufficiency of recipients through self-employment, 
        including programs that provide instruction for self-
        employment ventures.
          [(vii)] (vi) 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.
          [(viii)] (vii) As approved by the Secretary or the 
        State under regulations issued by the Secretary, other 
        employment, educational and training programs, 
        projects, and experiments, such as a supported work 
        program, aimed at accomplishing the purpose of the 
        employment and training program.
  (C) The State agency may provide that participation in an 
employment and training program may supplement or supplant 
other employment-related requirements imposed on those subject 
to the program.
  [(D)(i) Each State agency may exempt from any requirement for 
participation in any program under this paragraph categories of 
household members.
  [(ii) Each State agency may exempt from any requirement for 
participation individual household members not included in any 
category designated as exempt under clause (i).
  [(iii) Any exemption of a category or individual under this 
subparagraph shall be periodically evaluated to determine 
whether the exemption continues to be valid.
  [(E) Each State agency shall establish requirements for 
participation by individuals not exempt under subparagraph (D) 
in one or more employment and training programs under this 
paragraph, including the extent to which any individual is 
required to participate. Such requirements may vary among 
participants.
  [(F)(i) The total hours of work in an employment and training 
program carried out under this paragraph required of members of 
a household, together with the hours of work of such members in 
any program carried out under section 20, in any month 
collectively may not exceed a number of hours equal to the 
household's allotment for such month divided by the higher of 
the applicable State minimum wage or Federal minimum hourly 
rate under the Fair Labor Standards Act of 1938.
  [(ii) The total hours of participation in such program 
required of any member of a household, individually, in any 
month, together with any hours worked in another program 
carried out under section 20 and any hours worked for 
compensation (in cash or in kind) in any other capacity, shall 
not exceed one hundred and twenty hours per month.
  [(iii) Any individual voluntarily electing to participate in 
a program under this paragraph shall not be subject to the 
limitations described in clauses (i) and (ii).]
  (D) Each State agency shall establish requirements for 
participation by non-exempt individuals in the employment and 
training program components listed in clauses (i) through (vii) 
of subparagraph (B). Such requirements may vary among 
participants.
  [(G)] (E) The State agency may operate any program component 
under this paragraph in which individuals elect to participate.
  [(H)] (F) Federal funds made available to a State agency for 
purposes of the component authorized under subparagraph 
[(B)(v)] (B)(iv) shall not be used to supplant non-Federal 
funds used for existing services and activities that promote 
the purposes of this component.
                  [(I)] (G)(i) The State agency shall provide 
                payments or reimbursements to participants in 
                programs carried out under this paragraph, 
                including individuals participating under 
                subparagraph (G), for--
          (I) the actual costs of transportation and other 
        actual costs (other than dependent care costs), that 
        are reasonably necessary and directly related to 
        participation in the program; and
          (II) the actual costs of such dependent care expenses 
        that are determined by the State agency to be necessary 
        for the participation of an individual in the program 
        (other than an individual who is the caretaker relative 
        of a dependent in a family receiving benefits under 
        part A of title IV of the Social Security Act (42 
        U.S.C. 601 et seq.) in a local area where an 
        employment, training, or education program under title 
        IV of such Act is in operation), except that no such 
        payment or reimbursement shall exceed the applicable 
        local market rate. Individuals subject to the program 
        under this paragraph may not be required to participate 
        if dependent costs exceed the limit established by the 
        State agency under this subclause or other actual costs 
        exceed any limit established under subclause (I).
  (ii) In lieu of providing reimbursements or payments for 
dependent care expenses under clause (i), a State agency may, 
at its option, arrange for dependent care through providers by 
the use of purchase of service contracts or vouchers or by 
providing vouchers to the household.
  (iii) The value of any dependent care services provided for 
or arranged under clause (ii), or any amount received as a 
payment or reimbursement under clause (i), shall--
          (I) not be treated as income for the purposes of any 
        other Federal or federally assisted program that bases 
        eligibility for, or the amount of benefits on, need; 
        and
          (II) not be claimed as an employment-related expense 
        for the purposes of the credit provided under section 
        21 of the Internal Revenue Code of 1986.
  [(J)] (H) The Secretary shall promulgate guidelines that (i) 
enable State agencies, to the maximum extent practicable, to 
design and operate an employment and training program that is 
compatible and consistent with similar programs operated within 
the State, and (ii) ensure, to the maximum extent practicable, 
that employment and training programs are provided for Indians 
on reservations.
                                  [(K)] (I) Limitation on 
                                funding.--Notwithstanding any 
                                other provision of this 
                                paragraph, the amount of funds 
                                a State agency uses to carry 
                                out this paragraph (including 
                                funds used to carry out 
                                subparagraph (I)) for 
                                participants who are receiving 
                                benefits under a State program 
                                funded under part A of title IV 
                                of the Social Security Act (42 
                                U.S.C. 601 et seq.) shall not 
                                exceed the amount of funds the 
                                State agency used in fiscal 
                                year 1995 to carry out this 
                                paragraph for participants who 
                                were receiving benefits in 
                                fiscal year 1995 under a State 
                                program funded under part A of 
                                title IV of the Act (42 U.S.C. 
                                601 et seq.).
  [(L)] (J) The Secretary shall ensure that State agencies 
comply with the requirements of this paragraph and section 
11(e)(19).
  [(M)] (K) The facilities of the State public employment 
offices and other State agencies and providers carrying out 
activities under title I of the Workforce Innovation and 
Opportunity Act may be used to find employment and training 
opportunities for household members under the programs under 
this paragraph.
  (e) No individual who is a member of a household otherwise 
eligible to participate in the supplemental nutrition 
assistance program under this section shall be eligible to 
participate in the supplemental nutrition assistance program as 
a member of that or any other household if the individual is 
enrolled at least half-time in an institution of higher 
education, unless the individual--
          (1) is under age 18 or is age 50 or older;
          (2) is not physically or mentally fit;
          (3) is assigned to or placed in an institution of 
        higher education through or in compliance with the 
        requirements of--
                  (A) a program under title I of the Workforce 
                Innovation and Opportunity Act;
                  (B) an employment and training program under 
                this section, subject to the condition that the 
                course or program of study--
                          (i) is part of a program of career 
                        and technical education (as defined in 
                        section 3 of the Carl D. Perkins Career 
                        and Technical Education Act of 2006 (20 
                        U.S.C. 2302)) that may be completed in 
                        not more than 4 years at an institution 
                        of higher education (as defined in 
                        section 102 of the Higher Education Act 
                        of 1965 (20 U.S.C. 1002)); or
                          (ii) is limited to remedial courses, 
                        basic adult education, literacy, or 
                        English as a second language;
                  (C) a program under section 236 of the Trade 
                Act of 1974 (19 U.S.C. 2296); or
                  (D) another program for the purpose of 
                employment and training operated by a State or 
                local government, as determined to be 
                appropriate by the Secretary;
          (4) is employed a minimum of 20 hours per week or 
        participating in a State or federally financed work 
        study program during the regular school year;
          (5) is--
                  (A) a parent with responsibility for the care 
                of a dependent child under age 6 or of an 
                incapacitated person; or
                  (B) a parent with responsibility for the care 
                of a dependent child above the age of 5 and 
                under the age of 12 for whom adequate child 
                care is not available to enable the individual 
                to attend class and satisfy the requirements of 
                paragraph (4);
          (6) is receiving benefits under a State program 
        funded under part A of title IV of the Social Security 
        Act (42 U.S.C. 601 et seq.);
          (7) is so enrolled as a result of participation in 
        the work incentive program under title IV of the Social 
        Security Act or its successor programs; or
          (8) is enrolled full-time in an institution of higher 
        education, as determined by the institution, and is a 
        single parent with responsibility for the care of a 
        dependent child under age 12.
  (f) No individual who is a member of a household otherwise 
eligible to participate in the supplemental nutrition 
assistance program under this section shall be eligible to 
participate in the supplemental nutrition assistance program as 
a member of that or any other household unless he or she is (1) 
a resident of the United States and (2) either (A) a citizen or 
(B) an alien lawfully admitted for permanent residence as an 
immigrant as defined by sections 101(a)(15) and 101(a)(20) of 
the Immigration and Nationality Act (8 U.S.C. 1101(a)(15) and 8 
U.S.C. 1101(a)(20)), excluding, among others, alien visitors, 
tourists, diplomats, and students who enter the United States 
temporarily with no intention of abandoning their residence in 
a foreign country; or (C) an alien who entered the United 
States prior to June 30, 1948, or such subsequent date as is 
enacted by law, has continuously maintained his or her 
residence in the United States since then, and is not 
ineligible for citizenship, but who is deemed to be lawfully 
admitted for permanent residence as a result of an exercise of 
discretion by the Attorney General pursuant to section 249 of 
the Immigration and Nationality Act (8 U.S.C. 1259); or (D) an 
alien who has qualified for conditional entry pursuant to 
sections 207 and 208 of the Immigration and Nationality Act (8 
U.S.C. 1157 and 1158); or (E) an alien who is lawfully present 
in the United States as a result of an exercise of discretion 
by the Attorney General for emergent reasons or reasons deemed 
strictly in the public interest pursuant to section 212(d)(5) 
of the Immigration and Nationality Act (8 U.S.C. 1182(d)(5)); 
or (F) an alien within the United States as to whom the 
Attorney General has withheld deportation pursuant to section 
243 of the Immigration and Nationality Act (8 U.S.C. 1253(h)). 
No aliens other than the ones specifically described in clauses 
(B) through (F) of this subsection shall be eligible to 
participate in the supplemental nutrition assistance program as 
a member of any household. The income (less, at State option, a 
pro rata share) and financial resources of the individual 
rendered ineligible to participate in the supplemental 
nutrition assistance program under this subsection shall be 
considered in determining the eligibility and the value of the 
allotment of the household of which such individual is a 
member.
  (g) No individual who receives supplemental security income 
benefits under title XVI of the Social Security Act, State 
supplementary payments described in section 1616 of such Act, 
or payments of the type referred to in section 212(a) of Public 
Law 93-66, as amended, shall be considered to be a member of a 
household for any month, if, for such month, such individual 
resides in a State which provides State supplementary payments 
(1) of the type described in section 1616(a) of the Social 
Security Act and section 212(a) of Public Law 93-66, and (2) 
the level of which has been found by the Commissioner of Social 
Security to have been specifically increased so as to include 
the bonus value of food stamps.
  (h) No household that knowingly transfers assets for the 
purpose of qualifying or attempting to qualify for the 
supplemental nutrition assistance program shall be eligible to 
participate in the program for a period of up to one year from 
the date of discovery of the transfer.
  (i) Comparable Treatment for Disqualification.--
          (1) In general.--If a disqualification is imposed on 
        a member of a household for a failure of the member to 
        perform an action required under a Federal, State, or 
        local law relating to a means-tested public assistance 
        program, the State agency may impose the same 
        disqualification on the member of the household under 
        the supplemental nutrition assistance program.
          (2) Rules and procedures.--If a disqualification is 
        imposed under paragraph (1) for a failure of an 
        individual to perform an action required under part A 
        of title IV of the Social Security Act (42 U.S.C. 601 
        et seq.), the State agency may use the rules and 
        procedures that apply under part A of title IV of the 
        Act to impose the same disqualification under the 
        supplemental nutrition assistance program.
          (3) Application after disqualification period.--A 
        member of a household disqualified under paragraph (1) 
        may, after the disqualification period has expired, 
        apply for benefits under this Act and shall be treated 
        as a new applicant, except that a prior 
        disqualification under subsection (d) shall be 
        considered in determining eligibility.
  (j) Disqualification for Receipt of Multiple Benefits.--An 
individual shall be ineligible to participate in the 
supplemental nutrition assistance program as a member of any 
household for a 10-year period if the individual is found by a 
State agency to have made, or is convicted in a Federal or 
State court of having made, a fraudulent statement or 
representation with respect to the identity or place of 
residence of the individual in order to receive multiple 
benefits simultaneously under the supplemental nutrition 
assistance program.
  (k) Disqualification of Fleeing Felons.--
          (1) In general.--No member of a household who is 
        otherwise eligible to participate in the supplemental 
        nutrition assistance program shall be eligible to 
        participate in the program as a member of that or any 
        other household during any period during which the 
        individual is--
                  (A) fleeing to avoid prosecution, or custody 
                or confinement after conviction, under the law 
                of the place from which the individual is 
                fleeing, for a crime, or attempt to commit a 
                crime, that is a felony under the law of the 
                place from which the individual is fleeing or 
                that, in the case of New Jersey, is a high 
                misdemeanor under the law of New Jersey; or
                  (B) violating a condition of probation or 
                parole imposed under a Federal or State law.
          (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 
                procedures established by the Secretary that 
                disqualify individuals whom law enforcement 
                authorities are actively seeking for the 
                purpose of holding criminal proceedings against 
                the individual.
  (l) Custodial Parent's Cooperation With Child Support 
Agencies.--
          (1) In general.--[At the option of a State agency, 
        subject] Subject to paragraphs (2) and (3), no natural 
        or adoptive parent or other individual (collectively 
        referred to in this subsection as ``the individual'') 
        who is living with and exercising parental control over 
        a child under the age of 18 who has an absent parent 
        shall be eligible to participate in the supplemental 
        nutrition assistance program unless the individual 
        cooperates with the State agency administering the 
        program established under part D of title IV of the 
        Social Security Act (42 U.S.C. 651 et seq.)--
                  (A) in establishing the paternity of the 
                child (if the child is born out of wedlock); 
                and
                  (B) in obtaining support for--
                          (i) the child; or
                          (ii) the individual and the child.
          (2) Good cause for noncooperation.--Paragraph (1) 
        shall not apply to the individual if good cause is 
        found for refusing to cooperate, as determined by the 
        State agency in accordance with standards prescribed by 
        the Secretary in consultation with the Secretary of 
        Health and Human Services. The standards shall take 
        into consideration circumstances under which 
        cooperation may be against the best interests of the 
        child.
          (3) Fees.--Paragraph (1) shall not require the 
        payment of a fee or other cost for services provided 
        under part D of title IV of the Social Security Act (42 
        U.S.C. 651 et seq.).
  (m) Noncustodial Parent's Cooperation With Child Support 
Agencies.--
          (1) In general.--[At the option of a State agency, 
        subject] Subject to paragraphs (2) and (3), a putative 
        or identified noncustodial parent of a child under the 
        age of 18 (referred to in this subsection as ``the 
        individual'') shall not be eligible to participate in 
        the supplemental nutrition assistance program if the 
        individual refuses to cooperate with the State agency 
        administering the program established under part D of 
        title IV of the Social Security Act (42 U.S.C. 651 et 
        seq.)--
                  (A) in establishing the paternity of the 
                child (if the child is born out of wedlock); 
                and
                  (B) in providing support for the child.
          (2) Refusal to cooperate.--
                  (A) Guidelines.--The Secretary, in 
                consultation with the Secretary of Health and 
                Human Services, shall develop guidelines on 
                what constitutes a refusal to cooperate under 
                paragraph (1).
                  (B) Procedures.--The State agency shall 
                develop procedures, using guidelines developed 
                under subparagraph (A), for determining whether 
                an individual is refusing to cooperate under 
                paragraph (1).
          (3) Fees.--Paragraph (1) shall not require the 
        payment of a fee or other cost for services provided 
        under part D of title IV of the Social Security Act (42 
        U.S.C. 651 et seq.).
          (4) Privacy.--The State agency shall provide 
        safeguards to restrict the use of information collected 
        by a State agency administering the program established 
        under part D of title IV of the Social Security Act (42 
        U.S.C. 651 et seq.) to purposes for which the 
        information is collected.
  [(n) Disqualification for Child Support Arrears.--
          [(1) In general.--At the option of a State agency, no 
        individual shall be eligible to participate in the 
        supplemental nutrition assistance program as a member 
        of any household during any month that the individual 
        is delinquent in any payment due under a court order 
        for the support of a child of the individual.
          [(2) Exceptions.--Paragraph (1) shall not apply if--
                  [(A) a court is allowing the individual to 
                delay payment; or
                  [(B) the individual is complying with a 
                payment plan approved by a court or the State 
                agency designated under part D of title IV of 
                the Social Security Act (42 U.S.C. 651 et seq.) 
                to provide support for the child of the 
                individual.
  [(o) Work Requirement.--
          [(1) Definition of work program.--In this subsection, 
        the term ``work program'' means--
                  [(A) a program under title I of the Workforce 
                Innovation and Opportunity Act;
                  [(B) a program under section 236 of the Trade 
                Act of 1974 (19 U.S.C. 2296); and
                  [(C) a program of employment and training 
                operated or supervised by a State or political 
                subdivision of a State that meets standards 
                approved by the Governor of the State, 
                including a program under subsection (d)(4), 
                other than a job search program or a job search 
                training program.
          [(2) Work requirement.--Subject to the other 
        provisions of this subsection, no individual shall be 
        eligible to participate in the supplemental nutrition 
        assistance program as a member of any household if, 
        during the preceding 36-month period, the individual 
        received supplemental nutrition assistance program 
        benefits for not less than 3 months (consecutive or 
        otherwise) during which the individual did not--
                  [(A) work 20 hours or more per week, averaged 
                monthly;
                  [(B) participate in and comply with the 
                requirements of a work program for 20 hours or 
                more per week, as determined by the State 
                agency;
                  [(C) participate in and comply with the 
                requirements of a program under section 20 or a 
                comparable program established by a State or 
                political subdivision of a State; or
                  [(D) receive benefits pursuant to paragraph 
                (3), (4), (5), or (6).
          [(3) Exception.--Paragraph (2) shall not apply to an 
        individual if the individual is--
                  [(A) under 18 or over 50 years of age;
                  [(B) medically certified as physically or 
                mentally unfit for employment;
                  [(C) a parent or other member of a household 
                with responsibility for a dependent child;
                  [(D) otherwise exempt under subsection 
                (d)(2); or
                  [(E) a pregnant woman.
          [(4) Waiver.--
                  [(A) In general.--On the request of a State 
                agency, the Secretary may waive the 
                applicability of paragraph (2) to any group of 
                individuals in the State if the Secretary makes 
                a determination that the area in which the 
                individuals reside--
                          [(i) has an unemployment rate of over 
                        10 percent; or
                          [(ii) does not have a sufficient 
                        number of jobs to provide employment 
                        for the individuals.
                  [(B) Report.--The Secretary shall report the 
                basis for a waiver under subparagraph (A) to 
                the Committee on Agriculture of the House of 
                Representatives and the Committee on 
                Agriculture, Nutrition, and Forestry of the 
                Senate.
          [(5) Subsequent eligibility.--
                  [(A) Regaining eligibility.--An individual 
                denied eligibility under paragraph (2) shall 
                regain eligibility to participate in the 
                supplemental nutrition assistance program if, 
                during a 30-day period, the individual--
                          [(i) works 80 or more hours;
                          [(ii) participates in and complies 
                        with the requirements of a work program 
                        for 80 or more hours, as determined by 
                        a State agency; or
                          [(iii) participates in and complies 
                        with the requirements of a program 
                        under section 20 or a comparable 
                        program established by a State or 
                        political subdivision of a State.
                  [(B) Maintaining eligibility.--An individual 
                who regains eligibility under subparagraph (A) 
                shall remain eligible as long as the individual 
                meets the requirements of subparagraph (A), 
                (B), or (C) of paragraph (2).
                  [(C) Loss of employment.--
                          [(i) In general.--An individual who 
                        regained eligibility under subparagraph 
                        (A) and who no longer meets the 
                        requirements of subparagraph (A), (B), 
                        or (C) of paragraph (2) shall remain 
                        eligible for a consecutive 3-month 
                        period, beginning on the date the 
                        individual first notifies the State 
                        agency that the individual no longer 
                        meets the requirements of subparagraph 
                        (A), (B), or (C) of paragraph (2).
                          [(ii) Limitation.--An individual 
                        shall not receive any benefits pursuant 
                        to clause (i) for more than a single 3-
                        month period in any 36-month period.
          [(6)  15-percent exemption.--
                  [(A) Definitions.--In this paragraph:
                          [(i) Caseload.--The term ``caseload'' 
                        means the average monthly number of 
                        individuals receiving supplemental 
                        nutrition assistance program benefits 
                        during the 12-month period ending the 
                        preceding June 30.
                          [(ii) Covered individual.--The term 
                        ``covered individual'' means a member 
                        of a household that receives 
                        supplemental nutrition assistance 
                        program benefits, or an individual 
                        denied eligibility for supplemental 
                        nutrition assistance program benefits 
                        solely due to paragraph (2), who--
                                  [(I) is not eligible for an 
                                exception under paragraph (3);
                                  [(II) does not reside in an 
                                area covered by a waiver 
                                granted under paragraph (4);
                                  [(III) is not complying with 
                                subparagraph (A), (B), or (C) 
                                of paragraph (2);
                                  [(IV) is not receiving 
                                supplemental nutrition 
                                assistance program benefits 
                                during the 3 months of 
                                eligibility provided under 
                                paragraph (2); and
                                  [(V) is not receiving 
                                supplemental nutrition 
                                assistance program benefits 
                                under paragraph (5).
                  [(B) General rule.--Subject to subparagraphs 
                (C) through (G), a State agency may provide an 
                exemption from the requirements of paragraph 
                (2) for covered individuals.
                  [(C) Fiscal year 1998.--Subject to 
                subparagraphs (E) and (G), for fiscal year 
                1998, a State agency may provide a number of 
                exemptions such that the average monthly number 
                of the exemptions in effect during the fiscal 
                year does not exceed 15 percent of the number 
                of covered individuals in the State in fiscal 
                year 1998, as estimated by the Secretary, based 
                on the survey conducted to carry out section 
                16(c) for fiscal year 1996 and such other 
                factors as the Secretary considers appropriate 
                due to the timing and limitations of the 
                survey.
                  [(D) Subsequent fiscal years.--Subject to 
                subparagraphs (E) through (G), for fiscal year 
                1999 and each subsequent fiscal year, a State 
                agency may provide a number of exemptions such 
                that the average monthly number of the 
                exemptions in effect during the fiscal year 
                does not exceed 15 percent of the number of 
                covered individuals in the State, as estimated 
                by the Secretary under subparagraph (C), 
                adjusted by the Secretary to reflect changes in 
                the State's caseload and the Secretary's 
                estimate of changes in the proportion of 
                members of households that receive supplemental 
                nutrition assistance program benefits covered 
                by waivers granted under paragraph (4).
                  [(E) Caseload adjustments.--The Secretary 
                shall adjust the number of individuals 
                estimated for a State under subparagraph (C) or 
                (D) during a fiscal year if the number of 
                members of households that receive supplemental 
                nutrition assistance program benefits in the 
                State varies from the State's caseload by more 
                than 10 percent, as determined by the 
                Secretary.
                  [(F) Exemption adjustments.--During fiscal 
                year 1999 and each subsequent fiscal year, the 
                Secretary shall increase or decrease the number 
                of individuals who may be granted an exemption 
                by a State agency under this paragraph to the 
                extent that the average monthly number of 
                exemptions in effect in the State for the 
                preceding fiscal year under this paragraph is 
                lesser or greater than the average monthly 
                number of exemptions estimated for the State 
                agency for such preceding fiscal year under 
                this paragraph.
                  [(G) Reporting requirement.--A State agency 
                shall submit such reports to the Secretary as 
                the Secretary determines are necessary to 
                ensure compliance with this paragraph.
          [(7) Other program rules.--Nothing in this subsection 
        shall make an individual eligible for benefits under 
        this Act if the individual is not otherwise eligible 
        for benefits under the other provisions of this Act.
  [(p)] (n) 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 
purchasing products with supplemental nutrition assistance 
program benefits that have containers that require return 
deposits, discarding 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)] (o) Disqualification for Sale of Food Purchased With 
Supplemental Nutrition Assistance Program Benefits.--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 
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.
  [(r)] (p) Disqualification for Certain Convicted Felons.--
          (1) In general.--An individual shall not be eligible 
        for benefits under this Act if--
                  (A) the individual is convicted of--
                          (i) aggravated sexual abuse under 
                        section 2241 of title 18, United States 
                        Code;
                          (ii) murder under section 1111 of 
                        title 18, United States Code;
                          (iii) an offense under chapter 110 of 
                        title 18, United States Code;
                          (iv) a Federal or State offense 
                        involving sexual assault, as defined in 
                        40002(a) of the Violence Against Women 
                        Act of 1994 (42 U.S.C. 13925(a)); or
                          (v) an offense under State law 
                        determined by the Attorney General to 
                        be substantially similar to an offense 
                        described in clause (i), (ii), or 
                        (iii); and
                  (B) the individual is not in compliance with 
                the terms of the sentence of the individual or 
                the restrictions under subsection (k).
          (2) Effects on assistance and benefits for others.--
        The amount of benefits otherwise required to be 
        provided to an eligible household under this Act shall 
        be determined by considering the individual to whom 
        paragraph (1) applies not to be a member of the 
        household, except that the income and resources of the 
        individual shall be considered to be income and 
        resources of the household.
          (3) Enforcement.--Each State shall require each 
        individual applying for benefits under this Act to 
        attest to whether the individual, or any member of the 
        household of the individual, has been convicted of a 
        crime described in paragraph (1).
  [(s)] (q) Ineligibility for Benefits due to Receipt of 
Substantial Lottery or Gambling Winnings.--
          (1) In general.--Any household in which a member 
        receives substantial lottery or gambling winnings, as 
        determined by the Secretary, shall lose eligibility for 
        benefits immediately upon receipt of the winnings.
          (2) Duration of ineligibility.--A household described 
        in paragraph (1) shall remain ineligible for 
        participation until the household meets the allowable 
        financial resources and income eligibility requirements 
        under subsections (c), (d), (e), (f), (g), (i), (k), 
        (l), (m), and (n) of section 5.
          (3) Agreements.--As determined by the Secretary, each 
        State agency, to the maximum extent practicable, shall 
        establish agreements with entities responsible for the 
        regulation or sponsorship of gaming in the State to 
        determine whether individuals participating in the 
        supplemental nutrition assistance program have received 
        substantial lottery or gambling winnings.

SEC. 7. ISSUANCE AND USE OF PROGRAM BENEFITS.

  (a) In General.--Except as provided in subsection (i), EBT 
cards shall be issued only to households which have been duly 
certified as eligible to participate in the supplemental 
nutrition assistance program.
  (b) Use.--Benefits issued to eligible households shall be 
used by them only to purchase food from retail food stores 
which have been approved for participation in the supplemental 
nutrition assistance program at prices prevailing in such 
stores: Provided, That nothing in this Act shall be construed 
as authorizing the Secretary to specify the prices at which 
food may be sold by wholesale food concerns or retail food 
stores.
  (c) Design.--
          (1) In general.--EBT cards issued to eligible 
        households shall be simple in design and shall include 
        only such words or illustrations as are required to 
        explain their purpose.
          (2) Prohibition.--The name of any public official 
        shall not appear on any EBT card.
  (d) The Secretary shall prescribe appropriate procedures for 
the delivery of benefits to benefit issuers and for the 
subsequent controls to be placed over such [benefits by benefit 
issuers] benefit issuers and other independent sales 
organizations, third-party processors, and web service 
providers that provide electronic benefit transfer services or 
equipment to retail food stores and wholesale food concerns, in 
order to ensure adequate accountability.
  (e) Notwithstanding any other provision of this Act, the 
State agency shall be strictly liable to the Secretary for any 
financial losses involved in the acceptance, storage and 
issuance of benefits, except that in the case of losses 
resulting from the issuance and replacement of authorizations 
for benefits which are sent through the mail, the State agency 
shall be liable to the Secretary to the extent prescribed in 
the regulations promulgated by the Secretary.
  (f) Alternative Benefit Delivery.--
          (1) In general.--If the Secretary determines, in 
        consultation with the Inspector General of the 
        Department of Agriculture, 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) Imposition of costs.--
                  (A) In general.--Except as provided in 
                subparagraph (B), the Secretary shall require 
                participating retail food stores (including 
                restaurants participating in a State option 
                restaurant program intended to serve the 
                elderly, disabled, and homeless) to pay 100 
                percent of the costs of acquiring, and arrange 
                for the implementation of, electronic benefit 
                transfer point-of-sale equipment and supplies, 
                including related services.
                  (B) Exemptions.--The Secretary may exempt 
                from subparagraph (A)--
                          (i) farmers' markets and other 
                        direct-to-consumer markets, military 
                        commissaries, nonprofit food buying 
                        cooperatives, and establishments, 
                        organizations, programs, or group 
                        living arrangements described in 
                        paragraphs (5), (7), and (8) of section 
                        3(k); and
                          (ii) establishments described in 
                        paragraphs (3), (4), and (9) of section 
                        3(k), other than restaurants 
                        participating in a State option 
                        restaurant program.
                  (C) Interchange fees.--Nothing in this 
                paragraph permits the charging of fees relating 
                to the redemption of supplemental nutrition 
                assistance program benefits, in accordance with 
                subsection (h)(13).
          (3) Devaluation and termination of issuance of paper 
        coupons.--
                  (A) Coupon issuance.--Effective on the date 
                of enactment 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 supplemental 
                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, Conservation, and Energy Act of 
                2008, only an EBT card issued under subsection 
                (i) shall be eligible for exchange at any 
                retail food store.
                  (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.
          (4) Termination of manual vouchers.--
                  (A) In general.--Effective beginning on the 
                date of enactment of this paragraph, except as 
                provided in subparagraph (B), no State shall 
                issue manual vouchers to a household that 
                receives supplemental nutrition assistance 
                under this Act or allow retail food stores to 
                accept manual vouchers as payment, unless the 
                Secretary determines that the manual vouchers 
                are necessary, such as in the event of an 
                electronic benefit transfer system failure or a 
                disaster situation.
                  (B) Exemptions.--The Secretary may exempt 
                categories of retail food stores or individual 
                retail food stores from subparagraph (A) based 
                on criteria established by the Secretary.
          (5) Unique identification number required.--
                  (A) In general.--To enhance the anti-fraud 
                protections of the program, the Secretary shall 
                require all parties providing electronic 
                benefit transfer services to provide for and 
                maintain unique terminal identification number 
                information through the supplemental nutrition 
                assistance program electronic benefit transfer 
                transaction routing system.
                  (B) Regulations.--
                          (i) In general.--Not earlier than 2 
                        years after the date of enactment of 
                        this paragraph, the Secretary shall 
                        issue proposed regulations to carry out 
                        this paragraph.
                          (ii) Commercial practices.--In 
                        issuing regulations to carry out this 
                        paragraph, the Secretary shall consider 
                        existing commercial practices for other 
                        point-of-sale debit transactions.
  (g)(1) The State agency may establish a procedure for 
staggering the issuance of benefits to eligible households 
throughout the month. Upon the request of the tribal 
organization that exercises governmental jurisdiction over the 
reservation, the State agency shall stagger the issuance of 
benefits for eligible households located on reservations for at 
least 15 days of a month.
          (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 necessary.
  (h) Electronic Benefit Transfers.--
          (1) In general.--
                  (A) Implementation.--Not later than October 
                1, 2002, each State agency shall implement an 
                electronic benefit transfer system under which 
                household benefits determined under section 
                8(a) or 26 are issued from and stored in a 
                central databank, unless the Secretary provides 
                a waiver for a State agency that faces unusual 
                barriers to implementing an electronic benefit 
                transfer system.
                  (B) Timely implementation.--Each State agency 
                is encouraged to implement an electronic 
                benefit transfer system under subparagraph (A) 
                as soon as practicable.
                  (C) State flexibility.--Subject to paragraph 
                (2), a State agency may procure and implement 
                an electronic benefit transfer system under the 
                terms, conditions, and design that the State 
                agency considers appropriate.
                  (D) Operation.--An electronic benefit 
                transfer system should take into account 
                generally accepted standard operating rules 
                based on--
                          (i) commercial electronic funds 
                        transfer technology;
                          (ii) the need to permit interstate 
                        operation and law enforcement 
                        monitoring; and
                          (iii) the need to permit monitoring 
                        and investigations by authorized law 
                        enforcement agencies.
  (2) The Secretary shall issue final regulations that 
establish standards for the approval of such a system and shall 
periodically review such regulations and modify such 
regulations to take into account evolving technology and 
comparable industry standards. The standards shall include--
          (A) defining the required level of recipient 
        protection regarding privacy, ease of use, and access 
        to and service in retail food stores;
          (B) the terms and conditions of participation by 
        retail food stores, financial institutions, and other 
        appropriate parties;
          [(C)(i) measures to maximize the security of a system 
        using the most recent technology available that the 
        State agency considers appropriate and cost effective 
        and which may include personal identification numbers, 
        photographic identification on electronic benefit 
        transfer cards, and other measures to protect against 
        fraud and abuse; and]
          (C)(i) risk-based measures to maximize the security 
        of a system using the most effective technology 
        available that the State agency considers appropriate 
        and cost effective including consideration of recipient 
        access and ease of use and which may include personal 
        identification numbers, photographic identification on 
        electronic benefit transfer cards, alternatives for 
        securing transactions, and other measures to protect 
        against fraud and abuse; and
          (ii) unless determined by the Secretary to be located 
        in an area with significantly limited access to food, 
        measures that require an electronic benefit transfer 
        system--
                  (I) to set and enforce sales restrictions 
                based on benefit transfer payment eligibility 
                by using scanning or product lookup entry; and
                  (II) to deny benefit tenders for manually 
                entered sales of ineligible items.
          (D) system transaction interchange, reliability, and 
        processing speeds;
          (E) financial accountability;
          (F) the required testing of system operations prior 
        to implementation;
          (G) the analysis of the results of system 
        implementation in a limited project area prior to 
        expansion; and
          (H) procurement standards.
  (3) In the case of a system described in paragraph (1) in 
which participation is not optional for households, the 
Secretary shall not approve such a system unless--
          (A) a sufficient number of eligible retail food 
        stores, including those stores able to serve minority 
        language populations, have agreed to participate in the 
        system throughout the area in which it will operate to 
        ensure that eligible households will not suffer a 
        significant reduction in their choice of retail food 
        stores or a significant increase in the cost of food or 
        transportation to participating food stores; and
          (B) any special equipment necessary to allow 
        households to purchase food with the benefits issued 
        under this Act is operational in the case of other 
        participating stores, at a sufficient number of 
        registers to provide service that is comparable to 
        service provided individuals who are not members of 
        households receiving supplemental nutrition assistance 
        program benefits, as determined by the Secretary.
  (4) Administrative costs incurred in connection with 
activities under this subsection shall be eligible for 
reimbursement in accordance with section 16, subject to the 
limitations in section 16(g).
  (5) The Secretary shall periodically inform State agencies of 
the advantages of using electronic benefit systems to issue 
benefits in accordance with this subsection in lieu of issuing 
coupons to households.
  (6) This subsection shall not diminish the authority of the 
Secretary to conduct projects to test automated or electronic 
benefit delivery systems under section 17(f).
          (7) Replacement of benefits.--Regulations issued by 
        the Secretary regarding the replacement of benefits and 
        liability for replacement of benefits under an 
        electronic benefit transfer system shall be similar to 
        the regulations in effect for a paper-based 
        supplemental nutrition assistance issuance system.
          (8) Replacement of cards.--
                  (A) Fees.--A State agency may collect a 
                charge for replacement of an electronic benefit 
                transfer card by reducing the monthly allotment 
                of the household receiving the replacement 
                card.
                  (B) Purposeful loss of cards.--
                          (i) In general.--Subject to terms and 
                        conditions established by the Secretary 
                        in accordance with clause (ii), if a 
                        household makes excessive requests for 
                        replacement of the electronic benefit 
                        transfer card of the household, the 
                        Secretary may require a State agency to 
                        decline to issue a replacement card to 
                        the household unless the household, 
                        upon request of the State agency, 
                        provides an explanation for the loss of 
                        the card.
                          (ii) Requirements.--The terms and 
                        conditions established by the Secretary 
                        shall provide that--
                                  (I) the household be given 
                                the opportunity to provide the 
                                requested explanation and meet 
                                the requirements under this 
                                paragraph promptly;
                                  (II) after [an excessive 
                                number of lost cards] 2 lost 
                                cards in a 12-month period, the 
                                head of the household shall be 
                                required to review program 
                                rights and responsibilities 
                                with State agency personnel 
                                authorized to make 
                                determinations under section 
                                5(a); and
                                  (III) any action taken, 
                                including actions required 
                                under section 6(b)(2), other 
                                than the withholding of the 
                                electronic benefit transfer 
                                card until an explanation 
                                described in subclause (I) is 
                                provided, shall be consistent 
                                with the due process 
                                protections under section 6(b) 
                                or 11(e)(10), as appropriate.
                  (C) Protecting vulnerable persons.--In 
                implementing this paragraph, a State agency 
                shall act to protect homeless persons, persons 
                with disabilities, victims of crimes, and other 
                vulnerable persons who lose electronic benefit 
                transfer cards but are not intentionally 
                committing fraud.
                  (D) Effect on eligibility.--While a State may 
                decline to issue an electronic benefits 
                transfer card until a household satisfies the 
                requirements under this paragraph, nothing in 
                this paragraph shall be considered a denial of, 
                or limitation on, the eligibility for benefits 
                under section 5.
          (9) Optional photographic identification.--
                  (A) In general.--A State agency may require 
                that an electronic benefit card contain a 
                photograph of 1 or more members of a household.
                  (B) Other authorized users.--If a State 
                agency requires a photograph on an electronic 
                benefit card under subparagraph (A), the State 
                agency shall establish procedures to ensure 
                that any other appropriate member of the 
                household or any authorized representative of 
                the household may utilize the card.
          (10) Federal law not applicable.--Section 920 of the 
        Electronic Fund Transfer Act shall not apply to 
        electronic benefit transfer or reimbursement systems 
        under this Act.
          (11) Application of anti-tying restrictions to 
        electronic benefit transfer systems.--
                  (A) Definitions.--In this paragraph:
                          (i) Affiliate.--The term 
                        ``affiliate'' has the meaning provided 
                        the term in section 2(k) of the Bank 
                        Holding Company Act of 1956 (12 U.S.C. 
                        1841(k)).
                          (ii) Company.--The term ``company'' 
                        has the meaning provided the term in 
                        section 106(a) of the Bank Holding 
                        Company Act Amendments of 1970 (12 
                        U.S.C. 1971), but shall not include a 
                        bank, a bank holding company, or any 
                        subsidiary of a bank holding company.
                          (iii) Electronic benefit transfer 
                        service.--The term ``electronic benefit 
                        transfer service'' means the processing 
                        of electronic transfers of household 
                        benefits, determined under section 8(a) 
                        or 26, if the benefits are--
                                  (I) issued from and stored in 
                                a central databank;
                                  (II) electronically accessed 
                                by household members at the 
                                point of sale; and
                                  (III) provided by a Federal 
                                or State government.
                          (iv) Point-of-sale service.--The term 
                        ``point-of-sale service'' means any 
                        product or service related to the 
                        electronic authorization and processing 
                        of payments for merchandise at a retail 
                        food store, including credit or debit 
                        card services, automated teller 
                        machines, point-of-sale terminals, or 
                        access to on-line systems.
                  (B) Restrictions.--A company may not sell or 
                provide electronic benefit transfer services, 
                or fix or vary the consideration for electronic 
                benefit transfer services, on the condition or 
                requirement that the customer--
                          (i) obtain some additional point-of-
                        sale service from the company or an 
                        affiliate of the company; or
                          (ii) not obtain some additional 
                        point-of-sale service from a competitor 
                        of the company or competitor of any 
                        affiliate of the company.
                  (C) Consultation with the federal reserve 
                board.--Before promulgating regulations or 
                interpretations of regulations to carry out 
                this paragraph, the Secretary shall consult 
                with the Board of Governors of the Federal 
                Reserve System.
          (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, or due to the death of all members 
                of the household.
                  (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] 3 months.
                  (C) Benefit expunging.--A State agency shall 
                expunge benefits that have not been accessed by 
                a household after a period of [12 months] 6 
                months, or upon verification that all members 
                of the household are deceased.
                  (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.
          [(13) Interchange fees.--No interchange fees shall 
        apply to electronic benefit transfer transactions under 
        this subsection.]
          (13) Fees.--No interchange fees shall apply to 
        electronic benefit transfer transactions under this 
        subsection. Neither a State, nor any agent, contractor, 
        or subcontractor of a State who facilitates the 
        provision of supplemental nutrition assistance program 
        benefits in such State may impose a fee for switching 
        or routing such benefits.
          (14) Mobile technologies.--
                  [(A) In general.--Subject to subparagraph 
                (B), the Secretary shall approve retail food 
                stores to redeem benefits through electronic 
                means other than wired point of sale devices 
                for electronic benefit transfer transactions, 
                if the retail food stores--
                          [(i) establish recipient protections 
                        regarding privacy, ease of use, access, 
                        and support similar to the protections 
                        provided for transactions made in 
                        retail food stores;
                          [(ii) bear the costs of obtaining, 
                        installing, and maintaining mobile 
                        technologies, including mechanisms 
                        needed to process EBT cards and 
                        transaction fees;
                          [(iii) demonstrate the foods 
                        purchased with benefits issued under 
                        this section through mobile 
                        technologies are purchased at a price 
                        not higher than the price of the same 
                        food purchased by other methods used by 
                        the retail food store, as determined by 
                        the Secretary;
                          [(iv) provide adequate documentation 
                        for each authorized transaction, as 
                        determined by the Secretary; and
                          [(v) meet other criteria as 
                        established by the Secretary.]
                  (A) In general.--Subject to subparagraph (B), 
                the Secretary shall authorize the use of mobile 
                technologies for the purpose of accessing 
                supplemental nutrition assistance program 
                benefits.
                  (B)  [Demonstration project on acceptance of 
                benefits of mobile transactions.--] 
                Demonstration projects on access of benefits 
                through mobile technologies._
                          [(i) In general.--Before authorizing 
                        implementation of subparagraph (A) in 
                        all States, the Secretary shall pilot 
                        the use of mobile technologies 
                        determined by the Secretary to be 
                        appropriate to test the feasibility and 
                        implications for program integrity, by 
                        allowing retail food stores to accept 
                        benefits from recipients of 
                        supplemental nutrition assistance 
                        through mobile transactions.]
                          (i) Demonstration projects.--Before 
                        authorizing implementation of 
                        subparagraph (A) in all States, the 
                        Secretary shall approve not more than 5 
                        demonstration project proposals 
                        submitted by State agencies that will 
                        pilot the use of mobile technologies 
                        for supplemental nutrition assistance 
                        program benefits access.
                          (ii)  [Demonstration projects] 
                        Project requirements.--To be eligible 
                        to participate in a demonstration 
                        project under clause (i), a [retail 
                        food store] State agency shall submit 
                        to the Secretary for approval a plan 
                        that [includes]--
                                  [(I) a description of the 
                                technology;
                                  [(II) the manner by which the 
                                retail food store will provide 
                                proof of the transaction to 
                                households;
                                  [(III) the provision of data 
                                to the Secretary, consistent 
                                with requirements established 
                                by the Secretary, in a manner 
                                that allows the Secretary to 
                                evaluate the impact of the 
                                demonstration on participant 
                                access, ease of use, and 
                                program integrity; and
                                  [(IV) such other criteria as 
                                the Secretary may require.]
                                  (I) provides recipient 
                                protections regarding privacy, 
                                ease of use, household access 
                                to benefits, and support 
                                similar to the protections 
                                provided under existing 
                                methods;
                                  (II) ensures that all 
                                recipients, including those 
                                without access to mobile 
                                payment technology and those 
                                who shop across State borders, 
                                have a means of benefit access;
                                  (III) requires retail food 
                                stores, unless exempt under 
                                section 7(f)(2)(B), to bear the 
                                costs of acquiring and 
                                arranging for the 
                                implementation of point-of-sale 
                                equipment and supplies for the 
                                redemption of benefits that are 
                                accessed through mobile 
                                technologies, including any 
                                fees not described in paragraph 
                                (13);
                                  (IV) requires that foods 
                                purchased with benefits issued 
                                under this section through 
                                mobile technologies are 
                                purchased at a price not higher 
                                than the price of the same food 
                                purchased by other methods used 
                                by the retail food store, as 
                                determined by the Secretary;
                                  (V) ensures adequate 
                                documentation for each 
                                authorized transaction, 
                                adequate security measures to 
                                deter fraud, and adequate 
                                access to retail food stores 
                                that accept benefits accessed 
                                through mobile technologies, as 
                                determined by the Secretary;
                                  (VI) provides for an 
                                evaluation of the demonstration 
                                project, including, but not 
                                limited to, an evaluation of 
                                household access to benefits; 
                                and
                                  (VII) meets other criteria as 
                                established by the Secretary.
                          [(iii) Date of completion.--The 
                        demonstration projects under this 
                        subparagraph shall be completed and 
                        final reports submitted to the 
                        Secretary by not later than July 1, 
                        2016.]
                          (iii) Priority.--The Secretary may 
                        prioritize demonstration project 
                        proposals that would--
                                  (I) reduce fraud;
                                  (II) encourage positive 
                                nutritional outcomes; and
                                  (III) meet such other 
                                criteria as determined by the 
                                Secretary.
                          (iv) Date of project approval.--The 
                        Secretary shall solicit and approve the 
                        qualifying demonstration projects 
                        required under subparagraph (B)(i) not 
                        later than January 1, 2020.
                  (C) Report to Congress.--The Secretary 
                shall--
                          (i) by not later than January 1, 
                        [2017] 2022, authorize implementation 
                        of subparagraph (A) in all States, 
                        unless the Secretary makes a finding, 
                        based on the data provided under 
                        subparagraph (B), that implementation 
                        in all States requires further study by 
                        way of an extended pilot period or is 
                        not in the best interest of the 
                        supplemental nutrition assistance 
                        program; and
                          (ii) if the determination made in 
                        clause (i) is not to implement 
                        subparagraph (A) in all States, submit 
                        a report to the Committee on 
                        Agriculture of the House of 
                        Representatives and the Committee on 
                        Agriculture, Nutrition, and Forestry of 
                        the Senate that includes the basis of 
                        the finding.
  (i) State Option to Issue Benefits to Certain Individuals 
Made Ineligible by Welfare Reform.--
          (1) In general.--Notwithstanding any other provision 
        of law, a State agency may, with the approval of the 
        Secretary, issue benefits under this Act to an 
        individual who is ineligible to participate in the 
        supplemental nutrition assistance program solely as a 
        result of section [6(o)(2)] 6(d)(1)(B) of this Act or 
        section 402 or 403 of the Personal Responsibility and 
        Work Opportunity Reconciliation Act of 1996 (8 U.S.C. 
        1612 or 1613).
          (2) State payments to secretary.--
                  (A) In general.--Not later than the date the 
                State agency issues benefits to individuals 
                under this subsection, the State agency shall 
                pay the Secretary, in accordance with 
                procedures established by the Secretary, an 
                amount that is equal to--
                          (i) the value of the benefits; and
                          (ii) the costs of issuing and 
                        redeeming benefits, and other Federal 
                        costs, incurred in providing the 
                        benefits, as determined by the 
                        Secretary.
                  (B) Crediting.--Notwithstanding section 
                3302(b) of title 31, United States Code, 
                payments received under subparagraph (A) shall 
                be credited to the supplemental nutrition 
                assistance program appropriation account or the 
                account from which the costs were drawn, as 
                appropriate, for the fiscal year in which the 
                payment is received.
          (3) Reporting.--To be eligible to issue benefits 
        under this subsection, a State agency shall comply with 
        reporting requirements established by the Secretary to 
        carry out this subsection.
          (4) Plan.--To be eligible to issue benefits under 
        this subsection, a State agency shall--
                  (A) submit a plan to the Secretary that 
                describes the conditions and procedures under 
                which the benefits will be issued, including 
                eligibility standards, benefit levels, and the 
                methodology the State agency will use to 
                determine amounts due the Secretary under 
                paragraph (2); and
                  (B) obtain the approval of the Secretary for 
                the plan.
          (5) Violations.--A sanction, disqualification, fine, 
        or other penalty prescribed under Federal law 
        (including sections 12 and 15) shall apply to a 
        violation committed in connection with a benefit issued 
        under this subsection.
          (6) Ineligibility for administrative reimbursement.--
        Administrative and other costs incurred in issuing a 
        benefit under this subsection shall not be eligible for 
        Federal funding under this Act.
          (7) Exclusion from enhanced payment accuracy 
        systems.--Section 16(c) shall not apply to benefits 
        issued under this subsection.
  (j) Interoperability and Portability of Electronic Benefit 
Transfer Transactions.--
          (1) Definitions.--In this subsection:
                  (A) Electronic benefit transfer card.--The 
                term ``electronic benefit transfer card'' means 
                a card that provides benefits under this Act 
                through an electronic benefit transfer service 
                (as defined in subsection (h)(11)(A)).
                  (B) Electronic benefit transfer contract.--
                The term ``electronic benefit transfer 
                contract'' means a contract that provides for 
                the issuance, use, or redemption of program 
                benefits in the form of electronic benefit 
                transfer cards.
                  (C) Interoperability.--The term 
                ``interoperability'' means a system that 
                enables program benefits in the form of an 
                electronic benefit transfer card to be redeemed 
                in any State.
                  (D) Interstate transaction.--The term 
                ``interstate transaction'' means a transaction 
                that is initiated in 1 State by the use of an 
                electronic benefit transfer card that is issued 
                in another State.
                  (E) Portability.--The term ``portability'' 
                means a system that enables program benefits in 
                the form of an electronic benefit transfer card 
                to be used in any State by a household to 
                purchase food at a retail food store or 
                wholesale food concern approved under this Act.
                  (F) Settling.--The term ``settling'' means 
                movement, and reporting such movement, of funds 
                from an electronic benefit transfer card issuer 
                that is located in 1 State to a retail food 
                store, or wholesale food concern, that is 
                located in another State, to accomplish an 
                interstate transaction.
                  (G) Smart card.--The term ``smart card'' 
                means an intelligent benefit card described in 
                section 17(f).
                  [(H) Switching.--The term ``switching'' means 
                the routing of an interstate transaction that 
                consists of transmitting the details of a 
                transaction electronically recorded through the 
                use of an electronic benefit transfer card in 1 
                State to the issuer of the card that is in 
                another State.]
                  (H) Switching.--The term ``switching'' means 
                the routing of an intrastate or interstate 
                transaction that consists of transmitting the 
                details of a transaction electronically 
                recorded through the use of an electronic 
                benefit transfer card in one State to the 
                issuer of the card that may be in the same or 
                different State.
          (2) Requirement.--Not later than October 1, 2002, the 
        Secretary shall ensure that systems that provide for 
        the electronic issuance, use, and redemption of program 
        benefits in the form of electronic benefit transfer 
        cards are interoperable, and supplemental nutrition 
        assistance program benefits are portable, among all 
        States.
          (3) Cost.--The cost of achieving the interoperability 
        and portability required under paragraph (2) shall not 
        be imposed on any retail store, or any wholesale food 
        concern, approved to participate in the supplemental 
        nutrition assistance program.
          (4) Standards.--Not later than 210 days after the 
        date of enactment of this subsection, the Secretary 
        shall promulgate regulations that--
                  (A) adopt a uniform national standard of 
                interoperability and portability required under 
                paragraph (2) that is based on the standard of 
                interoperability and portability used by a 
                majority of State agencies; and
                  (B) require that any electronic benefit 
                transfer contract that is entered into 30 days 
                or more after the regulations are promulgated, 
                by or on behalf of a State agency, provide for 
                the interoperability and portability required 
                under paragraph (2) in accordance with the 
                national standard.
          (5) Exemptions.--
                  (A) Contracts.--The requirements of paragraph 
                (2) shall not apply to the transfer of benefits 
                under an electronic benefit transfer contract 
                before the expiration of the term of the 
                contract if the contract--
                          (i) is entered into before the date 
                        that is 30 days after the regulations 
                        are promulgated under paragraph (4); 
                        and
                          (ii) expires after October 1, 2002.
                  (B) Waiver.--At the request of a State 
                agency, the Secretary may provide 1 waiver to 
                temporarily exempt, for a period ending on or 
                before the date specified under clause (iii), 
                the State agency from complying with the 
                requirements of paragraph (2), if the State 
                agency--
                          (i) establishes to the satisfaction 
                        of the Secretary that the State agency 
                        faces unusual technological barriers to 
                        achieving by October 1, 2002, the 
                        interoperability and portability 
                        required under paragraph (2);
                          (ii) demonstrates that the best 
                        interest of the supplemental nutrition 
                        assistance program would be served by 
                        granting the waiver with respect to the 
                        electronic benefit transfer system used 
                        by the State agency to administer the 
                        supplemental nutrition assistance 
                        program; and
                          (iii) specifies a date by which the 
                        State agency will achieve the 
                        interoperability and portability 
                        required under paragraph (2).
                  (C) Smart card systems.--The Secretary shall 
                allow a State agency that is using smart cards 
                for the delivery of supplemental nutrition 
                assistance program benefits to comply with the 
                requirements of paragraph (2) at such time 
                after October 1, 2002, as the Secretary 
                determines that a practicable technological 
                method is available for interoperability with 
                electronic benefit transfer cards.
          (6) Funding.--
                  (A) In general.--In accordance with 
                regulations promulgated by the Secretary, the 
                Secretary shall pay 100 percent of the costs 
                incurred by a State agency under this Act for 
                switching and settling interstate 
                transactions--
                          (i) incurred after the date of 
                        enactment of this subsection and before 
                        October 1, 2002, if the State agency 
                        uses the standard of interoperability 
                        and portability adopted by a majority 
                        of State agencies; and
                          (ii) incurred after September 30, 
                        2002, if the State agency uses the 
                        uniform national standard of 
                        interoperability and portability 
                        adopted under paragraph (4)(A).
                  (B) Limitation.--The total amount paid to 
                State agencies for each fiscal year under 
                subparagraph (A) shall not exceed $500,000.
  (k)  [Option to Accept Program Benefits through On-line 
Transactions.--] Acceptance of Program Benefits Through Online 
Transactions._
          (1) In general.--Subject to paragraph (4), the 
        Secretary shall approve retail food stores to accept 
        benefits from recipients of supplemental nutrition 
        assistance through on-line transactions.
          (2) Requirements to accept benefits.--A retail food 
        store seeking to accept benefits from recipients of 
        supplemental nutrition assistance through on-line 
        transactions shall--
                  (A) establish recipient protections regarding 
                privacy, ease of use, access, and support 
                similar to the protections provided for 
                transactions made in retail food stores;
                  (B) ensure benefits are not used to pay 
                delivery, ordering, convenience, or other fees 
                or charges;
                  (C) clearly notify participating households 
                at the time a food order is placed--
                          (i) of any delivery, ordering, 
                        convenience, or other fee or charge 
                        associated with the food purchase; and
                          (ii) that any such fee cannot be paid 
                        with benefits provided under this Act;
                  (D) ensure the security of on-line 
                transactions by using the most effective 
                technology available that the Secretary 
                considers appropriate and cost-effective and 
                that is comparable to the security of 
                transactions at retail food stores; and
                  (E) meet other criteria as established by the 
                Secretary.
          (3) State agency action.--Each State agency shall 
        ensure that recipients of supplemental nutrition 
        assistance can use benefits on-line as described in 
        this subsection as appropriate.
          (4) Demonstration project on acceptance of benefits 
        through on-line transactions.--
                  (A) In general.--Before the Secretary 
                authorizes implementation of paragraph (1) in 
                all States, the Secretary shall carry out a 
                number of demonstration projects as determined 
                by the Secretary to test the feasibility of 
                allowing retail food stores to accept benefits 
                through on-line transactions.
                  (B) Demonstration projects.--To be eligible 
                to participate in a demonstration project under 
                subparagraph (A), a retail food store shall 
                submit to the Secretary for approval a plan 
                that includes--
                          (i) a method of ensuring that 
                        benefits may be used to purchase only 
                        eligible items under this Act;
                          (ii) a description of the method of 
                        educating participant households about 
                        the availability and operation of on-
                        line purchasing;
                          (iii) adequate testing of the on-line 
                        purchasing option prior to 
                        implementation;
                          (iv) the provision of data as 
                        requested by the Secretary for purposes 
                        of analyzing the impact of the project 
                        on participant access, ease of use, and 
                        program integrity;
                          (v) reports on progress, challenges, 
                        and results, as determined by the 
                        Secretary; and
                          (vi) such other criteria, including 
                        security criteria, as established by 
                        the Secretary.
                  [(C) Date of completion.--The demonstration 
                projects under this paragraph shall be 
                completed and final reports submitted to the 
                Secretary by not later than July 1, 2016.]
          [(5) Report to Congress.--The Secretary shall--
                  [(A) by not later than January 1, 2017, 
                authorize implementation of paragraph (1) in 
                all States, unless the Secretary makes a 
                finding, based on the data provided under 
                paragraph (4), that implementation in all 
                States is not in the best interest of the 
                supplemental nutrition assistance program; and
                  [(B) if the determination made in 
                subparagraph (A) is not to implement in all 
                States, submit a report to the Committee on 
                Agriculture of the House of Representatives and 
                the Committee on Agriculture, Nutrition, and 
                Forestry of the Senate that includes the basis 
                of the finding.]
  (l) Requirement to Route All Supplemental Nutrition 
Assistance Program Benefit Transfer Transactions Through a 
National Gateway.--
          (1) Definitions.--For purposes of this section:
                  (A) The term ``independent sales organization 
                '' means a person or entity that--
                          (i) is not a third-party processor; 
                        and
                          (ii) engages in sales or service to 
                        retail food stores with respect to 
                        point-of-sale equipment necessary for 
                        electronic benefit transfer transaction 
                        processing.
                  (B) The term ``third-party processor'' means 
                an entity, including a retail food store 
                operating its own point-of-sale terminals, that 
                is capable of routing electronic transfer 
                benefit transactions for authorization.
                  (C) The term ``web service provider'' means 
                an entity that operates a generic online 
                purchasing website that can be customized for 
                online electronic benefit transfer transactions 
                for authorized retail food stores.
          (2) In general.--Subject to paragraph (5), the 
        Secretary shall establish a national gateway for the 
        purpose of routing all supplemental nutrition 
        assistance program benefit transfer transactions (in 
        this subsection referred to as ``transactions'' unless 
        the context specifies otherwise) to the appropriate 
        benefit issuers for purposes of transaction validation 
        and settlement.
          (3) Requirements to route transactions.--The 
        Secretary shall--
                  (A) ensure that protections regarding 
                privacy, security, ease of use, and access 
                relating to supplemental nutrition assistance 
                benefits are maintained for benefit recipients 
                and retail food stores;
                  (B) ensure redundancy for processing of 
                transactions;
                  (C) ensure real-time monitoring of 
                transactions;
                  (D) ensure that all entities that connect to 
                such gateway, and all others that connect to 
                such entities, meet and follow transaction 
                messaging standards, and other requirements, 
                established by the Secretary;
                  (E) ensure the security of transactions by 
                using the most effective technology available 
                that the Secretary considers to be appropriate 
                and cost-effective; and
                  (F) ensure that all transactions are routed 
                through such gateway.
          (4) State agency action.--Each State agency shall 
        ensure that all of its benefit issuers connect to such 
        gateway. A State agency may opt to require its benefit 
        issuer to route cash transactions through such gateway, 
        subject to terms established by the Secretary.
          (5) Routing of transactions through a national 
        gateway.--
                  (A) In general.--Before the Secretary 
                implements in all the States a national gateway 
                established under paragraph (2), the Secretary 
                shall conduct a feasibility study to assess the 
                feasibility of routing transactions through 
                such gateway.
                  (B) Feasibility study.--The feasibility study 
                conducted under subparagraph (A) shall provide, 
                at a minimum, all of the following:
                          (i) A comprehensive analysis of 
                        opportunities and challenges presented 
                        by implementation of such gateway.
                          (ii) One or more options for carrying 
                        forward each of such opportunities and 
                        for mitigating each of such challenges.
                          (iii) Data for purposes of analyzing 
                        the implementation of, and on-going 
                        cost of managing, such gateway.
                          (iv) One or more models for cost-
                        neutral on-going operation of a 
                        national gateway.
                          (v) Other criteria, including 
                        security criteria, established by the 
                        Secretary.
                  (C) Date of completion of study.--The 
                Secretary shall complete the feasibility study 
                required by subparagraph (B) not later than 1 
                year after the date of the enactment of the 
                Agriculture and Nutrition Act of 2018.
                  (D) Implementation of a national gateway.--
                Not later than 1 year after the date of the 
                completion of such study, the Secretary shall 
                complete the nationwide implementation of a 
                national gateway established under paragraph 
                (2) unless the Secretary determines, based on 
                such study, that more time is needed to 
                implement such gateway nationwide or that 
                nationwide implementation of such gateway is 
                not in the best interest of the operation of 
                the supplemental nutrition assistance program.
                  (E) Report to congress.--If the Secretary 
                makes a determination described in subparagraph 
                (D), 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 the basis of such 
                determination.
                  (F) Nondisclosure of information.--Any 
                information collected through such gateway 
                about a specific retail food store, wholesale 
                food concern, person, or other entity, and any 
                investigative methodology or criteria used for 
                program integrity purposes that operates at or 
                in conjunction with such gateway, shall be 
                exempt from the disclosure requirements of 
                section 552(a) of title 5 of the United States 
                Code pursuant to section 552(b)(3)(B) of title 
                5 of the United States Code. The Secretary 
                shall limit the use or disclosure of 
                information obtained under this subsection in a 
                manner consistent with section 9(c).
          (6) Authorization of appropriations.--There are 
        authorized to be appropriated $10,500,000 for fiscal 
        year 2019, and $9,500,000 for each of the fiscal years 
        2020 through 2023, to carry out this subsection. Not 
        more than $1,000,000 of the funds appropriated under 
        this paragraph may be used for the feasibility study 
        under paragraph (5)(B).
          (7) Gateway sustainability.--Benefit issuers and 
        third-party processors shall pay fees to the gateway 
        operator, in a manner prescribed by the Secretary, to 
        directly access and route transactions through the 
        national gateway.
                  (A) Purpose.--The Secretary shall ensure that 
                fees are collected and used solely for the 
                operation of the gateway.
                  (B) Amount.--Fees shall be established by the 
                Secretary in amounts proportionate to the 
                number of transactions routed through the 
                gateway by each benefit issuer and third-party 
                processor, and based on the cost of operating 
                the gateway in a fiscal year.
                  (C) Adjustment.--The Secretary shall evaluate 
                annually the cost of operating such gateway and 
                shall adjust the fee in effect for a fiscal 
                year to reflect the cost of operating such 
                gateway, except that an adjustment under this 
                subparagraph for any fiscal year may not exceed 
                10 percent of the fee charged under this 
                paragraph in the preceding fiscal year.

                           VALUE OF ALLOTMENT

  Sec. 8. (a) The value of the allotment which State agencies 
shall be authorized to issue to any households certified as 
eligible to participate in the supplemental nutrition 
assistance program shall be equal to the cost to such 
households of the thrifty food plan reduced by an amount equal 
to 30 per centum of the household's income, as determined in 
accordance with section 5 (d) and (e) of this Act, rounded to 
the nearest lower whole dollar: Provided, That for households 
of one and two persons the minimum allotment shall be 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.
  (b) The value of benefits that may be provided under this Act 
shall not be considered income or resources for any purpose 
under any Federal, State, or local laws, including, but not 
limited to, laws relating to taxation, welfare, and public 
assistance programs, and no participating State or political 
subdivision thereof shall decrease any assistance otherwise 
provided an individual or individuals because of the receipt of 
benefits under this Act.
  (c)(1) The value of the allotment issued to any eligible 
household for the initial month or other initial period for 
which an allotment is issued shall have a value which bears the 
same ratio to the value of the allotment for a full month or 
other initial period for which the allotment is issued as the 
number of days (from the date of application) remaining in the 
month or other initial period for which the allotment is issued 
bears to the total number of days in the month or other initial 
period for which the allotment is issued, except that no 
allotment may be issued to a household for the initial month or 
period if the value of the allotment which such household would 
otherwise be eligible to receive under this subsection is less 
than $10. Households shall receive full months' allotments for 
all months within a certification period, except as provided in 
the first sentence of this paragraph with respect to an initial 
month.
  (2) As used in this subsection, the term ``initial month'' 
means (A) the first month for which an allotment is issued to a 
household, (B) the first month for which an allotment is issued 
to a household following any period in which such household was 
not participating in the supplemental nutrition assistance 
program under this Act after the expiration of a certification 
period or after the termination of the certification of a 
household, during a certification period, when the household 
ceased to be eligible after notice and an opportunity for a 
hearing under section 11(e)(10), and (C) in the case of a 
migrant or seasonal farmworker household, the first month for 
which allotment is issued to a household that applies following 
any period of more than 30 days in which such household was not 
participating in the supplemental nutrition assistance program 
after previous participation in such program.
          (3) Optional combined allotment for expedited 
        households.--A State agency may provide to an eligible 
        household applying after the 15th day of a month, in 
        lieu of the initial allotment of the household and the 
        regular allotment of the household for the following 
        month, an allotment that is equal to the total amount 
        of the initial allotment and the first regular 
        allotment. The allotment shall be provided in 
        accordance with section 11(e)(3) in the case of a 
        household that is not entitled to expedited service and 
        in accordance with paragraphs (3) and (9) of section 
        11(e) in the case of a household that is entitled to 
        expedited service.
  (d) Reduction of Public Assistance Benefits.--
          (1) In general.--If the benefits of a household are 
        reduced under a Federal, State, or local law relating 
        to a means-tested public assistance program for the 
        failure of a member of the household to perform an 
        action required under the law or program, for the 
        duration of the reduction--
                  (A) the household may not receive an 
                increased allotment as the result of a decrease 
                in the income of the household to the extent 
                that the decrease is the result of the 
                reduction; and
                  (B) the State agency may reduce the allotment 
                of the household by not more than 25 percent.
          (2) Rules and procedures.--If the allotment of a 
        household is reduced under this subsection for a 
        failure to perform an action required under part A of 
        title IV of the Social Security Act (42 U.S.C. 601 et 
        seq.), the State agency may use the rules and 
        procedures that apply under part A of title IV of the 
        Act to reduce the allotment under the supplemental 
        nutrition assistance program.
  (e) Allotments for Households Residing in Centers.--
          (1) In general.--In the case of an individual who 
        resides in a center for the purpose of a drug or 
        alcoholic treatment program described in section 
        [3(n)(5)] 3(m)(5), a State agency may provide an 
        allotment for the individual to--
                  (A) the center as an authorized 
                representative of the individual for a period 
                that is less than 1 month; and
                  (B) the individual, if the individual leaves 
                the center.
          (2) Direct payment.--A State agency may require an 
        individual referred to in paragraph (1) to designate 
        the center in which the individual resides as the 
        authorized representative of the individual for the 
        purpose of receiving an allotment.
  (f) Alternative Procedures for Residents of Certain Group 
Facilities.--
          (1) In general.--
                  (A) Applicability.--
                          (i) In general.--Subject to clause 
                        (ii), at the option of the State 
                        agency, allotments for residents of any 
                        facility described in subparagraph (B), 
                        (C), (D), or (E) of section [3(n)(5)] 
                        3(m)(5) (referred to in this subsection 
                        as a ``covered facility'') may be 
                        determined and issued under this 
                        paragraph in lieu of subsection (a).
                          (ii) Limitation.--Unless the 
                        Secretary authorizes implementation of 
                        this paragraph in all States under 
                        paragraph (3), clause (i) shall apply 
                        only to residents of covered facilities 
                        participating in a pilot project under 
                        paragraph (2).
                  (B) Amount of allotment.--The allotment for 
                each eligible resident described in 
                subparagraph (A) shall be calculated in 
                accordance with standardized procedures 
                established by the Secretary that take into 
                account the allotments typically received by 
                residents of covered facilities.
                  (C) Issuance of allotment.--
                          (i) In general.--The State agency 
                        shall issue an allotment determined 
                        under this paragraph to a covered 
                        facility as the authorized 
                        representative of the residents of the 
                        covered facility.
                          (ii) Adjustment.--The Secretary shall 
                        establish procedures to ensure that a 
                        covered facility does not receive a 
                        greater proportion of a resident's 
                        monthly allotment than the proportion 
                        of the month during which the resident 
                        lived in the covered facility.
                  (D) Departures of residents of covered 
                facilities.--
                          (i) Notification.--Any covered 
                        facility that receives an allotment for 
                        a resident under this paragraph shall--
                                  (I) notify the State agency 
                                promptly on the departure of 
                                the resident; and
                                  (II) notify the resident, 
                                before the departure of the 
                                resident, that the resident--
                                          (aa) is eligible for 
                                        continued benefits 
                                        under the supplemental 
                                        nutrition assistance 
                                        program; and
                                          (bb) should contact 
                                        the State agency 
                                        concerning continuation 
                                        of the benefits.
                          (ii) Issuance to departed 
                        residents.--On receiving a notification 
                        under clause (i)(I) concerning the 
                        departure of a resident, the State 
                        agency--
                                  (I) shall promptly issue the 
                                departed resident an allotment 
                                for the days of the month after 
                                the departure of the resident 
                                (calculated in a manner 
                                prescribed by the Secretary) 
                                unless the departed resident 
                                reapplies to participate in the 
                                supplemental nutrition 
                                assistance program; and
                                  (II) may issue an allotment 
                                for the month following the 
                                month of the departure (but not 
                                any subsequent month) based on 
                                this paragraph unless the 
                                departed resident reapplies to 
                                participate in the supplemental 
                                nutrition assistance program.
                          (iii) State option.--The State agency 
                        may elect not to issue an allotment 
                        under clause (ii)(I) if the State 
                        agency lacks sufficient information on 
                        the location of the departed resident 
                        to provide the allotment.
                          (iv) Effect of reapplication.--If the 
                        departed resident reapplies to 
                        participate in the supplemental 
                        nutrition assistance program, the 
                        allotment of the departed resident 
                        shall be determined without regard to 
                        this paragraph.
          (2) Pilot projects.--
                  (A) In general.--Before the Secretary 
                authorizes implementation of paragraph (1) in 
                all States, the Secretary shall carry out, at 
                the request of 1 or more State agencies and in 
                1 or more areas of the United States, such 
                number of pilot projects as the Secretary 
                determines to be sufficient to test the 
                feasibility of determining and issuing 
                allotments to residents of covered facilities 
                under paragraph (1) in lieu of subsection (a).
                  (B) Project plan.--To be eligible to 
                participate in a pilot project under 
                subparagraph (A), a State agency shall submit 
                to the Secretary for approval a project plan 
                that includes--
                          (i) a specification of the covered 
                        facilities in the State that will 
                        participate in the pilot project;
                          (ii) a schedule for reports to be 
                        submitted to the Secretary on the pilot 
                        project;
                          (iii) procedures for standardizing 
                        allotment amounts that takes into 
                        account the allotments typically 
                        received by residents of covered 
                        facilities; and
                          (iv) a commitment to carry out the 
                        pilot project in compliance with the 
                        requirements of this subsection other 
                        than paragraph (1)(B).
          (3) Authorization of implementation in all states.--
                  (A) In general.--The Secretary shall--
                          (i) determine whether to authorize 
                        implementation of paragraph (1) in all 
                        States; and
                          (ii) notify the Committee on 
                        Agriculture of the House of 
                        Representatives and the Committee on 
                        Agriculture, Nutrition, and Forestry of 
                        the Senate of the determination.
                  (B) Determination not to authorize 
                implementation in all states.--
                          (i) In general.--If the Secretary 
                        makes a finding described in clause 
                        (ii), the Secretary--
                                  (I) shall not authorize 
                                implementation of paragraph (1) 
                                in all States; and
                                  (II) shall terminate all 
                                pilot projects under paragraph 
                                (2) within a reasonable period 
                                of time (as determined by the 
                                Secretary).
                          (ii) Finding.--The finding referred 
                        to in clause (i) is that--
                                  (I) an insufficient number of 
                                project plans that the 
                                Secretary determines to be 
                                eligible for approval are 
                                submitted by State agencies 
                                under paragraph (2)(B); or
                                  (II)(aa) a sufficient number 
                                of pilot projects have been 
                                carried out under paragraph 
                                (2)(A); and
                                  (bb) authorization of 
                                implementation of paragraph (1) 
                                in all States is not in the 
                                best interest of the 
                                supplemental nutrition 
                                assistance program.

       APPROVAL OF RETAIL FOOD STORES AND WHOLESALE FOOD CONCERNS

  Sec. 9. (a)(1) Regulations issued pursuant to this Act shall 
provide for the submission of applications for approval by 
retail food stores and wholesale food concerns which desire to 
be authorized to accept and redeem benefits under the 
supplemental nutrition assistance program and for the approval 
of those applicants whose participation will effectuate the 
purposes of the supplemental nutrition assistance program. In 
determining the qualifications of applicants, there shall be 
considered among such other factors as may be appropriate, the 
following: (A) the nature and extent of the food business 
conducted by the applicant; (B) the volume of benefit 
transactions which may reasonably be expected to be conducted 
by the applicant food store or wholesale food concern; (C) 
whether the applicant is located in an area with significantly 
limited access to food; and (D) the business integrity and 
reputation of the applicant. Approval of an applicant shall be 
evidenced by the issuance to such applicant of a 
nontransferable certificate of approval. No retail food store 
or wholesale food concern of a type determined by the 
Secretary, based on factors that include size, location, and 
type of items sold, shall be approved to be authorized or 
reauthorized for participation in the supplemental nutrition 
assistance program unless an authorized employee of the 
Department of Agriculture, a designee of the Secretary, or, if 
practicable, an official of the State or local government 
designated by the Secretary has visited the store or concern 
for the purpose of determining whether the store or concern 
should be approved or reauthorized, as appropriate.
  (2) The Secretary shall issue regulations providing for--
          (A) the periodic reauthorization of retail food 
        stores and wholesale food concerns; [and]
          (B) periodic notice to participating retail food 
        stores and wholesale food concerns of the definitions 
        of ``retail food store'', ``staple foods'', ``eligible 
        foods'', and ``perishable foods''[.]; and
          (C) parameters for retail food store cooperation with 
        the Secretary sufficient to carry out subsection (i).
  (3) Authorization periods.--The Secretary shall establish 
specific time periods during which authorization to accept and 
redeem benefits shall be valid under the supplemental nutrition 
assistance program.
  (b)(1) No wholesale food concern may be authorized to accept 
and redeem benefits unless the Secretary determines that its 
participation is required for the effective and efficient 
operation of the supplemental nutrition assistance program. No 
co-located wholesale-retail food concern may be authorized to 
accept and redeem benefits as a retail food store, unless (A) 
the concern does a substantial level of retail food business, 
or (B) the Secretary determines that failure to authorize such 
a food concern as a retail food store would cause hardship to 
households that receive supplemental nutrition assistance 
program benefits. In addition, no firm may be authorized to 
accept and redeem benefits as both a retail food store and as a 
wholesale food concern at the same time.
  (2)(A) A buyer or transferee (other than a bona fide buyer or 
transferee) of a retail food store or wholesale food concern 
that has been disqualified under section 12(a) may not accept 
or redeem benefits until the Secretary receives full payment of 
any penalty imposed on such store or concern.
  (B) A buyer or transferee may not, as a result of the sale or 
transfer of such store or concern, be required to furnish a 
bond under section 12(d).
  (c) Regulations issued pursuant to this Act shall require an 
applicant retail food store or wholesale food concern to submit 
information, which may include relevant income and sales tax 
filing documents, purchase invoices, contracts for electronic 
benefit transfer services and equipment, records necessary to 
validate the FNS authorization number to accept and redeem 
benefits, or program-related records, which will permit a 
determination to be made as to whether such applicant 
qualifies, or continues to qualify, for approval under the 
provisions of this Act or the regulations issued pursuant to 
this Act. The regulations may require retail food stores and 
wholesale food concerns to provide written authorization for 
the Secretary to verify all relevant tax filings with 
appropriate agencies and to obtain corroborating documentation 
from other sources so that the accuracy of information provided 
by the stores and concerns may be verified. Regulations issued 
pursuant to this Act shall provide for safeguards which limit 
the use or disclosure of information obtained under the 
authority granted by this subsection to purposes directly 
connected with administration and enforcement of the provisions 
of this Act or the regulations issued pursuant to this Act, 
except that such information may be disclosed to any used by 
Federal law enforcement and investigative agencies and law 
enforcement and investigative agencies of a State government 
for the purposes of administering or enforcing this Act or any 
other Federal or State law and the regulations issued under 
this Act or such law, and State agencies that administer the 
special supplemental nutrition program for women, infants and 
children, authorized under section 17 of the Child Nutrition 
Act of 1966, for purposes of administering the provisions of 
that Act and the regulations issued under that Act. Any person 
who publishes, divulges, discloses, or makes known in any 
manner or to any extent not authorized by Federal law 
(including a regulation) any information obtained under this 
subsection shall be fined not more than $1,000 or imprisoned 
not more than 1 year, or both. The regulations shall establish 
the criteria to be used by the Secretary to determine whether 
the information is needed. The regulations shall not prohibit 
the audit and examination of such information by the 
Comptroller General of the United States authorized by any 
other provision of law.
  (d) Any retail food store or wholesale food concern which has 
failed upon application to receive approval to participate in 
the supplemental nutrition assistance program may obtain a 
hearing on such refusal as provided in section 14 of this Act. 
A retail food store or wholesale food concern that is denied 
approval to accept and redeem benefits because the store or 
concern does not meet criteria for approval established by the 
Secretary may not, for at least 6 months, submit a new 
application to participate in the program. The Secretary may 
establish a longer time period under the preceding sentence, 
including permanent disqualification, that reflects the 
severity of the basis of the denial.
  (e) Approved retail food stores shall display a sign 
providing information on how persons may report abuses they 
have observed in the operation of the supplemental nutrition 
assistance program.
  (f) In those areas in which the Secretary, in consultation 
with the Inspector General of the Department of Agriculture, 
finds evidence that the operation of house-to-house trade 
routes damages the program's integrity, the Secretary shall 
limit the participation of house-to-house trade routes to those 
routes that are reasonably necessary to provide adequate access 
to households.
  (g) EBT Service Requirement.--An approved retail food store 
shall provide adequate EBT service as described in section 
7(h)(3)(B).
  (h) Private Establishments.--
          (1) In general.--Subject to paragraph (2), no private 
        establishment that contracts with a State agency to 
        offer meals at concessional prices as described in 
        paragraphs (3), (4), and (9) of section 3(k) may be 
        authorized to accept and redeem benefits unless the 
        Secretary determines that the participation of the 
        private establishment is required to meet a documented 
        need in accordance with section 11(e)(25).
          (2) Existing contracts.--
                  (A) In general.--If, on the day before the 
                date of enactment of this subsection, a State 
                has entered into a contract with a private 
                establishment described in paragraph (1) and 
                the Secretary has not determined that the 
                participation of the private establishment is 
                necessary to meet a documented need in 
                accordance with section 11(e)(25), the 
                Secretary shall allow the operation of the 
                private establishment to continue without that 
                determination of need for a period not to 
                exceed 180 days from the date on which the 
                Secretary establishes determination criteria, 
                by regulation, under section 11(e)(25).
                  (B) Justification.--If the Secretary 
                determines to terminate a contract with a 
                private establishment that is in effect on the 
                date of enactment of this subsection, the 
                Secretary shall provide justification to the 
                State in which the private establishment is 
                located for that termination.
          (3) Report to Congress.--Not later than 90 days after 
        September 30, 2014, and 90 days after the last day of 
        each fiscal year 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 on the 
        effectiveness of a program under this subsection using 
        any information received from States under section 
        11(e)(25) as well as any other information the 
        Secretary may have relating to the manner in which 
        benefits are used.
  (i) Data Collection for Retail Food Store Transactions.--
          (1) Collection of data.--To assist in making 
        improvements to supplemental nutrition assistance 
        program design, for each interval not greater than a 2-
        year period, the Secretary shall--
                  (A) collect a statistically significant 
                sample of retail food store transaction data, 
                including the cost and description of items 
                purchased with supplemental nutrition 
                assistance program benefits, to the extent 
                practicable and without affecting retail food 
                store document retention practices; and
                  (B) make a summarized report of aggregated 
                data collected under subparagraph (A) available 
                to the public in a manner that prevents 
                identification of individual retail food 
                stores, individual retail food store chains, 
                and individual members of households that use 
                such benefits.
          (2) Nondisclosure.--Any transaction data that 
        contains information specific to a retail food store, a 
        retail food store location, a person, or other entity 
        shall be exempt from the disclosure requirements of 
        Section 552(a) of title 5 of the United States Code 
        pursuant to section 552(b)(3)(B) of title 5 of the 
        United States Code. The Secretary shall limit the use 
        or disclosure of information obtained under this 
        subsection in a manner consistent with sections 9(c) 
        and 11(e)(8).

SEC. 10. REDEMPTION OF PROGRAM BENEFITS.

  Regulations issued pursuant to this Act shall provide for the 
redemption of benefits accepted by retail food stores through 
approved wholesale food concerns or through financial 
institutions which are insured by the Federal Deposit Insurance 
Corporation [or the Federal Savings and Loan Insurance 
Corporation], or which are insured under the Federal Credit 
Union Act and have retail food stores or wholesale food 
concerns in their field of membership, with the cooperation of 
the Treasury Department, except that retail food stores defined 
in section [3(p)(4)] 3(o)(4) shall be authorized to redeem 
their members' food benefits prior to receipt by the members of 
the food so purchased, retail food stores authorized to accept 
and redeem benefits through on-line transactions shall be 
authorized to accept benefits prior to the delivery of food if 
the delivery occurs within a reasonable time of the purchase, 
as determined by the Secretary, and publicly operated community 
mental health centers or private nonprofit organizations or 
institutions which serve meals to narcotics addicts or 
alcoholics in drug addiction or alcoholic treatment and 
rehabilitation programs, public and private nonprofit shelters 
that prepare and serve meals for battered women and children, 
and public or private nonprofit group living arrangements that 
serve meals to disabled or blind residents shall not be 
authorized to redeem benefits through financial institutions 
which are insured by the Federal Deposit Insurance Corporation 
[or the Federal Savings and Loan Insurance Corporation] or the 
Federal Credit Union Act. Notwithstanding the preceding 
sentence, a center, organization, institution, shelter, group 
living arrangement, or establishment described in that sentence 
may be authorized to redeem benefits through a financial 
institution described in that sentence if the center, 
organization, institution, shelter, group living arrangement, 
or establishment is equipped with 1 or more point-of-sale 
devices and is operating in an area in which an electronic 
benefit transfer system described in section 7(h) has been 
implemented. No financial institution may impose on or collect 
from a retail food store a fee or other charge for the 
redemption of benefits that are submitted to the financial 
institution in a manner consistent with the requirements, other 
than any requirements relating to cancellation of benefits, for 
the presentation of coupons by financial institutions to the 
Federal Reserve banks.

SEC. 11. ADMINISTRATION.

  (a) State Responsibility.--
          (1) In general.--The State agency of each 
        participating State shall have responsibility for 
        certifying applicant households 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(s)(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] All records, and the entire 
                information systems in which records are 
                contained, that are covered in subparagraph (A) 
                shall--
                          [(i) be available for inspection and 
                        audit at any reasonable time;]
                          (i) be made available for inspection 
                        and audit by the Secretary, subject to 
                        data and security protocols agreed to 
                        by the State agency and Secretary;
                          (ii) subject to subsection (e)(8), be 
                        available for review in any action 
                        filed by a household to enforce 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 
                standards 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 
                        previously performed by personnel 
                        described in subsection (e)(6)(B);
                          (iii) changes that potentially 
                        increase the difficulty 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).
  (b) When a State agency learns, through its own reviews under 
section 16 or other reviews, or through other sources, that it 
has improperly denied, terminated, or underissued benefits to 
an eligible household, the State agency shall promptly restore 
any improperly denied benefits to the extent required by 
sections 11(e)(11) and 14(b), and shall take other steps to 
prevent a recurrence of such errors where such error was caused 
by the application of State agency practices, rules or 
procedures inconsistent with the requirements of this Act or 
with regulations or policies of the Secretary issued under the 
authority of this Act.
  (c) Civil Rights Compliance.--
          (1) In general.--In the certification of applicant 
        households 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.).
  (d) The State agency (as defined in section [3(t)(1)] 
3(s)(1)) of each State desiring to participate in the 
supplemental nutrition assistance program shall submit for 
approval a plan of operation specifying the manner in which 
such program will be conducted within the State in every 
political subdivision. The Secretary may not, as a part of the 
approval process for a plan of operation, require a State to 
submit for prior approval by the Secretary the State agency 
instructions to staff, interpretations of existing policy, 
State agency methods of administration, forms used by the State 
agency, or any materials, documents, memoranda, bulletins, or 
other matter, unless the State determines that the materials, 
documents, memoranda, bulletins, or other matter alter or amend 
the State plan of operation or conflict with the rights and 
levels of benefits to which a household is entitled. In the 
case of all or part of an Indian reservation, the State agency 
as defined in section [3(t)(1)] 3(s)(1) shall be responsible 
for conducting such program on such reservation unless the 
Secretary determines that the State agency (as defined in 
section [3(t)(1)] 3(s)(1)) is failing, subsequent to the 
enactment of this Act, properly to administer such program on 
such reservation in accordance with the purposes of this Act 
and further determines that the State agency as defined in 
section [3(t)(2)] 3(s)(2) is capable of effectively and 
efficiently conducting such program, in light of the distance 
of the reservation from State agency-operated certification and 
issuance centers, the previous experience of such tribal 
organization in the operation of programs authorized under the 
Indian Self-Determination Act (25 U.S.C. 450) and similar Acts 
of Congress, the tribal organization's management and fiscal 
capabilities, and the adequacy of measures taken by the tribal 
organization to ensure that there shall be no discrimination in 
the operation of the program on the basis of race, color, sex, 
or national origin, in which event such State agency shall be 
responsible for conducting such program and submitting for 
approval a plan of operation specifying the manner in which 
such program will be conducted. The Secretary, upon the request 
of a tribal organization, shall provide the designees of such 
organization with appropriate training and technical assistance 
to enable them to qualify as expeditiously as possible as a 
State agency pursuant to section [3(t)(2)] 3(s)(2). A State 
agency, as defined in section [3(t)(1)] 3(s)(1), before it 
submits its plan of operation to the Secretary for the 
administration of the supplemental nutrition assistance program 
on all or part of an Indian reservation, shall consult in good 
faith with the tribal organization about that portion of the 
State's plan of operation pertaining to the implementation of 
the program for members of the tribe, and shall implement the 
program in a manner that is responsive to the needs of the 
Indians on the reservation as determined by ongoing 
consultation with the tribal organization.
  (e) The State plan of operation required under subsection (d) 
of this section shall provide, among such other provisions as 
may be required by regulation--
          (1) that the State agency shall--
                  (A) at the option of the State agency, inform 
                low-income households about the availability, 
                eligibility requirements, application 
                procedures, and benefits of the supplemental 
                nutrition assistance program; and
                  (B) comply with regulations of the Secretary 
                requiring the use of appropriate bilingual 
                personnel and printed material in the 
                administration of the program in those portions 
                of political subdivisions in the State in which 
                a substantial number of members of low-income 
                households speak a language other than English;
          (2)(A) that the State agency shall establish 
        procedures governing the operation of supplemental 
        nutrition assistance program offices that the State 
        agency determines best serve households in the State, 
        including households with special needs, such as 
        households with elderly or disabled members, households 
        in rural areas with low-income members, homeless 
        individuals, households residing on reservations, and 
        households in areas in which a substantial number of 
        members of low-income households speak a language other 
        than English.
          (B) In carrying out subparagraph (A), a State 
        agency--
                  (i) shall provide timely, accurate, and fair 
                service to applicants for, and participants in, 
                the supplemental nutrition assistance program;
                  (ii)(I) shall develop an application 
                containing the information necessary to comply 
                with this Act; and
                  (II) if the State agency maintains a website 
                for the State agency, shall make the 
                application available on the website in each 
                language in which the State agency makes a 
                printed application available;
                  (iii) shall permit an applicant household to 
                apply to participate in the program on the same 
                day that the household first contacts a 
                supplemental nutrition assistance program 
                office in person during office hours;
                  (iv) shall consider an application that 
                contains the name, address, and signature of 
                the applicant to be filed on the date the 
                applicant submits the application;
                  (v) shall require that an adult 
                representative of each applicant household 
                certify in writing, under penalty of perjury, 
                that--
                          (I) the information contained in the 
                        application is true; and
                          (II) all members of the household are 
                        citizens or are aliens eligible to 
                        receive supplemental nutrition 
                        assistance program benefits under 
                        section 6(f);
                  (vi) shall provide a method of certifying and 
                issuing benefits to eligible homeless 
                individuals, to ensure that participation in 
                the supplemental nutrition assistance program 
                is limited to eligible households; and
                  (vii) may establish operating procedures that 
                vary for local supplemental nutrition 
                assistance program offices to reflect regional 
                and local differences within the State.
                  (C) Electronic and automated systems.--
                          (i) In general.--Nothing in this Act 
                        shall prohibit the use of signatures 
                        provided and maintained electronically, 
                        storage of records using automated 
                        retrieval systems only, or any other 
                        feature of a State agency's application 
                        system that does not rely exclusively 
                        on the collection and retention of 
                        paper applications or other records.
                          (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 
                                information to which assent was 
                                given;
                                  (II) include effective 
                                safeguards against 
                                impersonation, identity theft, 
                                and invasions of privacy;
                                  (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 application, 
                                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.
          (D) The signature of any adult under this paragraph 
        shall be considered sufficient to comply with any 
        provision of Federal law requiring a household member 
        to sign an application or statement;
          (3) that the State agency shall thereafter promptly 
        determine the eligibility of each applicant household 
        by way of verification of income other than that 
        determined to be excluded by section 5(d) of this Act 
        (in part through the use of the information, if any, 
        obtained under section 16(e) of this Act and after 
        compliance with the requirement specified in paragraph 
        (24)), household size (in any case such size is 
        questionable), and such other eligibility factors as 
        the Secretary determines to be necessary to implement 
        sections 5 and 6 of this Act, although the State agency 
        may verify prior to certification, whether questionable 
        or not, the size of any applicant household and such 
        other eligibility factors as the State agency 
        determines are necessary, so as to complete 
        certification of and provide an allotment retroactive 
        to the period of application to any eligible household 
        not later than thirty days following its filing of an 
        application, and that the State agency shall provide 
        each applicant household, at the time of application, a 
        clear written statement explaining what acts the 
        household must perform to cooperate in obtaining 
        verification and otherwise completing the application 
        process;
          (4) that the State agency shall insure that each 
        participating household receive a notice of expiration 
        of its certification prior to the start of the last 
        month of its certification period advising the 
        household that it must submit a new application in 
        order to renew its eligibility for a new certification 
        period and, further, that each such household which 
        seeks to be certified another time or more times 
        thereafter by filing an application for such 
        recertification no later than fifteen days prior to the 
        day upon which its existing certification period 
        expires shall, if found to be still eligible, receive 
        its allotment no later than one month after the receipt 
        of the last allotment issued to it pursuant to its 
        prior certification, but if such household is found to 
        be ineligible or to be eligible for a smaller allotment 
        during the new certification period it shall not 
        continue to participate and receive benefits on the 
        basis authorized for the preceding certification period 
        even if it makes a timely request for a fair hearing 
        pursuant to paragraph (10) of this subsection: 
        Provided, That the timeliness standards for submitting 
        the notice of expiration and filing an application for 
        recertification may be modified by the Secretary in 
        light of sections 5(f)(2) and 6(c) of this Act if 
        administratively necessary;
          (5) the specific standards to be used in determining 
        the eligibility of applicant households which shall be 
        in accordance with sections 5 and 6 of this Act and 
        shall include no additional requirements imposed by the 
        State agency;
          (6) that--
                  (A) the State agency shall undertake the 
                certification of applicant households in 
                accordance with the general procedures 
                prescribed by the Secretary in the regulations 
                issued pursuant to this Act; and
                  (B) the State agency personnel utilized in 
                undertaking such certification shall be 
                employed in accordance with the current 
                standards for a Merit System of Personnel 
                Administration or any standards later 
                prescribed by the Office of Personnel 
                Management pursuant to section 208 of the 
                Intergovernmental Personnel Act of 1970 
                modifying or superseding such standards 
                relating to the establishment and maintenance 
                of personnel standards on a merit basis;
          (7) that an applicant household may be represented in 
        the certification process and that an eligible 
        household may be represented in benefit issuance or 
        food purchase by a person other than a member of the 
        household so long as that person has been clearly 
        designated as the representative of that household for 
        that purpose, by the head of the household or the 
        spouse of the head, and, where the certification 
        process is concerned, the representative is an adult 
        who is sufficiently aware of relevant household 
        circumstances, except that the Secretary may restrict 
        the number of households which may be represented by an 
        individual and otherwise establish criteria and 
        verification standards for representation under this 
        paragraph;
          (8) safeguards which prohibit the use or disclosure 
        of information obtained from applicant households, 
        except that--
                  (A) the safeguards shall permit--
                          (i) the disclosure of such 
                        information to persons directly 
                        connected with the administration or 
                        enforcement of the provisions of this 
                        Act, regulations issued pursuant to 
                        this Act, Federal assistance programs, 
                        or federally-assisted State programs; 
                        and
                          (ii) the subsequent use of the 
                        information by persons described in 
                        clause (i) only for such administration 
                        or enforcement;
                  (B) the safeguards shall not prevent the use 
                or disclosure of such information to the 
                Comptroller General of the United States for 
                audit and examination authorized by any other 
                provision of law;
                  (C) notwithstanding any other provision of 
                law, all information obtained under this Act 
                from an applicant household shall be made 
                available, upon request, to local, State or 
                Federal law enforcement officials for the 
                purpose of investigating an alleged violation 
                of this Act or any regulation issued under this 
                Act;
                  (D) the safeguards shall not prevent the use 
                by, or disclosure of such information, to 
                agencies of the Federal Government (including 
                the United States Postal Service) for purposes 
                of collecting the amount of an overissuance of 
                benefits, as determined under section 13(b) of 
                this Act, from Federal pay (including salaries 
                and pensions) as authorized pursuant to section 
                5514 of title 5 of the United States Code or a 
                Federal income tax refund as authorized by 
                section 3720A of title 31, United States Code;
                  (E) notwithstanding any other provision of 
                law, the address, social security number, and, 
                if available, photograph of any member of a 
                household shall be made available, on request, 
                to any Federal, State, or local law enforcement 
                officer if the officer furnishes the State 
                agency with the name of the member and notifies 
                the agency that--
                          (i) the member--
                                  (I) is fleeing to avoid 
                                prosecution, or custody or 
                                confinement after conviction, 
                                for a crime (or attempt to 
                                commit a crime) that, under the 
                                law of the place the member is 
                                fleeing, is a felony (or, in 
                                the case of New Jersey, a high 
                                misdemeanor), or is violating a 
                                condition of probation or 
                                parole imposed under Federal or 
                                State law; or
                                  (II) has information that is 
                                necessary for the officer to 
                                conduct an official duty 
                                related to subclause (I);
                          (ii) locating or apprehending the 
                        member is an official duty; and
                          (iii) the request is being made in 
                        the proper exercise of an official 
                        duty; and
                  (F) the safeguards shall not prevent 
                compliance with paragraph (15) or (18)(B) or 
                subsection (u);
          (9) that the State agency shall--
                  (A) provide benefits no later than 7 days 
                after the date of application to any household 
                which--
                          (i)(I) has gross income that is less 
                        than $150 per month; or
                          (II) is a destitute migrant or a 
                        seasonal farmworker household in 
                        accordance with the regulations 
                        governing such households in effect 
                        July 1, 1982; and
                          (ii) has liquid resources that do not 
                        exceed $100;
                  (B) provide benefits no later than 7 days 
                after the date of application to any household 
                that has a combined gross income and liquid 
                resources that is less than the monthly rent, 
                or mortgage, and utilities of the household; 
                and
                  (C) to the extent practicable, verify the 
                income and liquid resources of a household 
                referred to in subparagraph (A) or (B) prior to 
                issuance of benefits to the household;
          (10) for the granting of a fair hearing and a prompt 
        determination thereafter to any household aggrieved by 
        the action of the State agency under any provision of 
        its plan of operation as it affects the participation 
        of such household in the supplemental nutrition 
        assistance program or by a claim against the household 
        for an overissuance: Provided, That any household which 
        timely requests such a fair hearing after receiving 
        individual notice of agency action reducing or 
        terminating its benefits within the household's 
        certification period shall continue to participate and 
        receive benefits on the basis authorized immediately 
        prior to the notice of adverse action until such time 
        as the fair hearing is completed and an adverse 
        decision rendered or until such time as the household's 
        certification period terminates, whichever occurs 
        earlier, except that in any case in which the State 
        agency receives from the household a written statement 
        containing information that clearly requires a 
        reduction or termination of the household's benefits, 
        the State agency may act immediately to reduce or 
        terminate the household's benefits and may provide 
        notice of its action to the household as late as the 
        date on which the action becomes effective. At the 
        option of a State, at any time prior to a fair hearing 
        determination under this paragraph, a household may 
        withdraw, orally or in writing, a request by the 
        household for the fair hearing. If the withdrawal 
        request is an oral request, the State agency shall 
        provide a written notice to the household confirming 
        the withdrawal request and providing the household with 
        an opportunity to request a hearing;
          (11) upon receipt of a request from a household, for 
        the prompt restoration in the form of benefits to a 
        household of any allotment or portion thereof which has 
        been wrongfully denied or terminated, except that 
        allotments shall not be restored for any period of time 
        more than one year prior to the date the State agency 
        receives a request for such restoration from a 
        household or the State agency is notified or otherwise 
        discovers that a loss to a household has occurred;
          (12) for the submission of such reports and other 
        information as from time to time may be required by the 
        Secretary;
          (13) for indicators of expected performance in the 
        administration of the program;
          (14) that the State agency shall specify a plan of 
        operation for providing supplemental nutrition 
        assistance program benefits for households that are 
        victims of a disaster; that such plan shall include, 
        but not be limited to, procedures for informing the 
        public about the disaster program and how to apply for 
        its benefits, coordination with Federal and private 
        disaster relief agencies and local government 
        officials, application procedures to reduce hardship 
        and inconvenience and deter fraud, and instruction of 
        caseworkers in procedures for implementing and 
        operating the disaster program;
          (15) notwithstanding paragraph (8) of this 
        subsection, for the immediate reporting to the 
        Immigration and Naturalization Service by the State 
        agency of a determination by personnel responsible for 
        the certification or recertification of households that 
        any member of a household is ineligible to receive 
        supplemental nutrition assistance program benefits 
        because that member is present in the United States in 
        violation of the Immigration and Nationality Act;
          (16) at the option of the State agency, for the 
        establishment and operation of an automatic data 
        processing and information retrieval system that meets 
        such conditions as the Secretary may prescribe and that 
        is designed to provide efficient and effective 
        administration of the supplemental nutrition assistance 
        program;
          (17) at the option of the State agency, that 
        information may be requested and exchanged for purposes 
        of income and eligibility verification in accordance 
        with a State system which meets the requirements of 
        section 1137 of the Social Security Act and that any 
        additional information available from agencies 
        administering State unemployment compensation laws 
        under the provisions of section 303(d) of the Social 
        Security Act may be requested and utilized by the State 
        agency described in section [3(t)(1)] 3(s)(1) to the 
        extent permitted under the provisions of section 303(d) 
        of the Social Security Act;
          (18) that the State agency shall establish a system 
        and take action on a periodic basis--
                  (A) to verify and otherwise ensure that an 
                individual does not receive benefits in more 
                than 1 jurisdiction within the State; and
                  (B) to verify and otherwise ensure that an 
                individual who is placed under detention in a 
                Federal, State, or local penal, correctional, 
                or other detention facility for more than 30 
                days shall not be eligible to participate in 
                the supplemental nutrition assistance program 
                as a member of any household, except that--
                          (i) the Secretary may determine that 
                        extraordinary circumstances make it 
                        impracticable for the State agency to 
                        obtain information necessary to 
                        discontinue inclusion of the 
                        individual; and
                          (ii) a State agency that obtains 
                        information collected under section 
                        1611(e)(1)(I)(i)(I) of the Social 
                        Security Act (42 U.S.C. 
                        1382(e)(1)(I)(i)(I)) pursuant to 
                        section 1611(e)(1)(I)(ii)(II) of that 
                        Act (42 U.S.C. 1382(e)(1)(I)(ii)(II)), 
                        or under another program determined by 
                        the Secretary to be comparable to the 
                        program carried out under that section, 
                        shall be considered in compliance with 
                        this subparagraph.
          (19) the plans of the State agency for carrying out 
        employment and training programs under section 6(d)(4), 
        including the nature and extent of such programs, the 
        [geographic areas and households to be covered under 
        such program, and the basis, including any cost 
        information,] extent to which such programs will be 
        carried out in coordination with the activities carried 
        out under title I of the Workforce Innovation and 
        Opportunity Act, the plan for meeting the minimum 
        services requirement under section 6(d)(4)(A)(ii) 
        including any cost information, and the basis for 
        exemptions of categories and individuals and for the 
        choice of employment and training program components 
        reflected in the plans;
          (20) in a project area in which 5,000 or more 
        households participate in the supplemental nutrition 
        assistance program, for the establishment and operation 
        of a unit for the detection of fraud in the 
        supplemental nutrition assistance program, including 
        the investigation, and assistance in the prosecution, 
        of such fraud;
          (21) at the option of the State, for procedures 
        necessary to obtain payment of uncollected overissuance 
        of benefits from unemployment compensation pursuant to 
        section 13(c);
          (22) the guidelines the State agency uses in carrying 
        out section 6(i);
          (23) if a State elects to carry out a [Simplified 
        Supplemental Nutrition Assistance Program] simplified 
        supplemental nutrition assistance program under section 
        26, the plans of the State agency for operating the 
        program, including--
                  (A) the rules and procedures to be followed 
                by the State agency to determine supplemental 
                nutrition assistance program benefits;
                  (B) how the State agency will address the 
                needs of households that experience high 
                shelter costs in relation to the incomes of the 
                households; and
                  (C) a description of the method by which the 
                State agency will carry out a quality control 
                system under section 16(c);
          (24) that the State agency shall request wage data 
        directly from the National Directory of New Hires 
        established under section 453(i) of the Social Security 
        Act (42 U.S.C. 653(i)) relevant to determining 
        eligibility to receive supplemental nutrition 
        assistance program benefits and determining the correct 
        amount of those benefits at the time of certification; 
        [and]
          (25) if the State elects to carry out a program to 
        contract with private establishments to offer meals at 
        concessional prices, as described in paragraphs (3), 
        (4), and (9) of section 3(k)--
                  (A) the plans of the State agency for 
                operating the program, including--
                          (i) documentation of a need that 
                        eligible homeless, elderly, and 
                        disabled clients are underserved in a 
                        particular geographic area;
                          (ii) the manner by which the State 
                        agency will limit participation to only 
                        those private establishments that the 
                        State determines necessary to meet the 
                        need identified in clause (i); and
                          (iii) any other conditions the 
                        Secretary may prescribe, such as the 
                        level of security necessary to ensure 
                        that only eligible recipients 
                        participate in the program; and
                  (B) a report by the State agency to the 
                Secretary annually, the schedule of which shall 
                be established by the Secretary, that 
                includes--
                          (i) the number of households and 
                        individual recipients authorized to 
                        participate in the program, including 
                        any information on whether the 
                        individual recipient is elderly, 
                        disabled, or homeless; and
                          (ii) an assessment of whether the 
                        program is meeting an established need, 
                        as documented under subparagraph 
                        (A)(i)[.]; and
          (26) that the State agency shall collect and submit 
        supplemental nutrition assistance program data to the 
        Duplicative Enrollment Database established in section 
        30, in accordance with guidance or rules issued by the 
        Secretary establishing a uniform method and format for 
        the collection and submission of data, including for 
        each member of a participating household--
                  (A) the social security number or the social 
                security number substitute;
                  (B) the employment status of such member;
                  (C) the amount of income and whether that 
                income is earned or unearned;
                  (D) that member's portion of the household 
                monthly allotment, and
                  (E) the portion of the aggregate value of 
                household assets attributed to that member.
  (g) If the Secretary determines, upon information received by 
the Secretary, investigation initiated by the Secretary, or 
investigation that the Secretary shall initiate upon receiving 
sufficient information evidencing a pattern of lack of 
compliance by a State agency of a type specified in this 
subsection, that in the administration of the supplemental 
nutrition assistance program there is a failure by a State 
agency without good cause to comply with any of the provisions 
of this Act, the regulations issued pursuant to this Act, the 
State plan of operation submitted pursuant to subsection (d) of 
this section, the State plan for automated data processing 
submitted pursuant to subsection (o)(2) of this section, or the 
requirements established pursuant to section 23 of this Act, 
the Secretary shall immediately inform such State agency of 
such failure and shall allow the State agency a specified 
period of time for the correction of such failure. If the State 
agency does not correct such failure within that specified 
period, the Secretary may refer the matter to the Attorney 
General with a request that injunctive relief be sought to 
require compliance forthwith by the State agency and, upon suit 
by the Attorney General in an appropriate district court of the 
United States having jurisdiction of the geographic area in 
which the State agency is located and a showing that 
noncompliance has occurred, appropriate injunctive relief shall 
issue, and, whether or not the Secretary refers such matter to 
the Attorney General, the Secretary shall proceed to withhold 
from the State such funds authorized under sections 16(a), 
16(c), and 16(g) of this Act as the Secretary determines to be 
appropriate, subject to administrative and judicial review 
under section 14 of this Act.
  (h) If the Secretary determines that there has been 
negligence or fraud on the part of the State agency in the 
certification of applicant households, the State shall, upon 
request of the Secretary, deposit into the Treasury of the 
United States, a sum equal to the face value of any benefits 
issued as a result of such negligence or fraud.
  (i) Application and Denial Procedures.--
          (1) Application procedures.--Notwithstanding any 
        other provision of law, households in which all members 
        are applicants for or recipients of supplemental 
        security income shall be informed of the availability 
        of benefits under the supplemental nutrition assistance 
        program and be assisted in making a simple application 
        to participate in such program at the social security 
        office and be certified for eligibility utilizing 
        information contained in files of the Social Security 
        Administration.
          (2) Denial and termination.--Except in a case of 
        disqualification as a penalty for failure to comply 
        with a public assistance program rule or regulation, no 
        household shall have its application to participate in 
        the supplemental nutrition assistance program denied 
        nor its benefits under the supplemental nutrition 
        assistance program terminated solely on the basis that 
        its application to participate has been denied or its 
        benefits have been terminated under any of the programs 
        carried out under the statutes specified in the second 
        sentence of section 5(a) and without a separate 
        determination by the State agency that the household 
        fails to satisfy the eligibility requirements for 
        participation in the supplemental nutrition assistance 
        program.
  (j)(1) Any individual who is an applicant for or recipient of 
supplemental security income or social security benefits (under 
regulations prescribed by the Secretary in conjunction with the 
Commissioner of Social Security) shall be informed of the 
availability of benefits under the supplemental nutrition 
assistance program and informed of the availability of a simple 
application to participate in such program at the social 
security office.
  (2) The Secretary and the Commissioner of Social Security 
shall revise the memorandum of understanding in effect on the 
date of enactment of the Food Security Act of 1985, regarding 
services to be provided in social security offices under this 
subsection and subsection (i), in a manner to ensure that--
          (A) applicants for and recipients of social security 
        benefits are adequately notified in social security 
        offices that assistance may be available to them under 
        this Act;
          (B) applications for assistance under this Act from 
        households in which all members are applicants for or 
        recipients of supplemental security income will be 
        forwarded immediately to the State agency in an 
        efficient and timely manner; and
          (C) the Commissioner of Social Security receives from 
        the Secretary reimbursement for costs incurred to 
        provide such services.
  (k) Subject to the approval of the President, post offices in 
all or part of the State may provide, on request by the State 
agency, supplemental nutrition assistance program benefits to 
eligible households.
  (l) Whenever the ratio of a State's average supplemental 
nutrition assistance program participation in any quarter of a 
fiscal year to the State's total population in that quarter 
(estimated on the basis of the latest available population 
estimates as provided by the Department of Commerce, Bureau of 
the Census, Series P-25, Current Population Reports (or its 
successor series)) exceeds 60 per centum, the Office of the 
Inspector General of the Department of Agriculture shall 
immediately schedule a financial audit review of a sample of 
project areas within that State. Any financial audit review 
subsequent to the first such review, required under the 
preceding sentence, shall be conducted at the option of the 
Office of the Inspector General.
  (m) The Secretary shall provide for the use of fee agents in 
rural Alaska. As used in this subsection ``fee agent'' means a 
paid agent who, although not a State employee, is authorized by 
the State to make applications available to low-income 
households, assist in the completion of applications, conduct 
required interviews, secure required verification, forward 
completed applications and supporting documentation to the 
State agency, and provide other services as required by the 
State agency. Such services shall not include making final 
decisions on household eligibility or benefit levels.
  (n) The Secretary shall require State agencies to conduct 
verification and implement other measures where necessary, but 
no less often than annually, to assure that an individual does 
not receive both benefits and benefits or payments referred to 
in section 6(g) or both benefits and assistance provided in 
lieu of benefits under section 17(b)(1).
  (o)(1) The Secretary shall develop, after consultation with, 
and with the assistance of, an advisory group of State agencies 
appointed by the Secretary without regard to the provisions of 
the Federal Advisory Committee Act, a model plan for the 
comprehensive automation of data processing and computerization 
of information systems under the supplemental nutrition 
assistance program. The plan shall be developed and made 
available for public comment through publication of the 
proposed plan in the Federal Register not later than October 1, 
1986. The Secretary shall complete the plan, taking into 
consideration public comments received, not later than February 
1, 1987. The elements of the plan may include intake 
procedures, eligibility determinations and calculation of 
benefits, verification procedures, coordination with related 
Federal and State programs, the issuance of benefits, 
reconciliation procedures, the generation of notices, and 
program reporting. In developing the plan, the Secretary shall 
take into account automated data processing and information 
systems already in existence in States and shall provide for 
consistency with such systems.
  (2) Not later than October 1, 1987, each State agency shall 
develop and submit to the Secretary for approval a plan for the 
use of an automated data processing and information retrieval 
system to administer the supplemental nutrition assistance 
program in such State. The State plan shall take into 
consideration the model plan developed by the Secretary under 
paragraph (1) and shall provide time frames for completion of 
various phases of the State plan. If a State agency already has 
a sufficient automated data processing and information 
retrieval system, the State plan may, subject to the 
Secretary's approval, reflect the existing State system.
  (3) Not later than April 1, 1988, the Secretary shall prepare 
and submit to Congress an evaluation of the degree and 
sufficiency of each State's automated data processing and 
computerized information systems for the administration of the 
supplemental nutrition assistance program, including State 
plans submitted under paragraph (2). Such report shall include 
an analysis of additional steps needed for States to achieve 
effective and cost-efficient data processing and information 
systems. The Secretary, thereafter, shall periodically update 
such report.
  (4) Based on the Secretary's findings in such report 
submitted under paragraph (3), the Secretary may require a 
State agency, as necessary to rectify identified shortcomings 
in the administration of the supplemental nutrition assistance 
program in the State, except where such direction would 
displace State initiatives already under way, to take specified 
steps to automate data processing systems or computerize 
information systems for the administration of the supplemental 
nutrition assistance program in the State if the Secretary 
finds that, in the absence of such systems, there will be 
program accountability or integrity problems that will 
substantially affect the administration of the supplemental 
nutrition assistance program in the State.
  (5)(A) Subject to subparagraph (B), in the case of a plan for 
an automated data processing and information retrieval system 
submitted by a State agency to the Secretary under paragraph 
(2), such State agency shall--
          (i) commence implementation of its plan not later 
        than October 1, 1988; and
          (ii) meet the time frames set forth in the plan.
  (B) The Secretary shall extend a deadline imposed under 
subparagraph (A) to the extent the Secretary deems appropriate 
based on the Secretary's finding of a good faith effort of a 
State agency to implement its plan in accordance with 
subparagraph (A).
  (p) State Verification Option.--In carrying out the 
supplemental nutrition assistance program, a State agency shall 
be required to use an immigration status verification system 
established under section 1137 of the Social Security Act (42 
U.S.C. 1320b-7), and an income and eligibility verification 
system, in accordance with standards set by the Secretary.
  (q) Denial of Benefits for Prisoners.--The Secretary shall 
assist States, to the maximum extent practicable, in 
implementing a system to conduct computer matches or other 
systems to prevent prisoners described in subsection (e)(18)(B) 
from participating in the supplemental nutrition assistance 
program as a member of any household.
  (r) Denial of Benefits for Deceased Individuals.--Each State 
agency shall--
          (1) enter into a cooperative arrangement with the 
        Commissioner of Social Security, pursuant to the 
        authority of the Commissioner under section 205(r)(3) 
        of the Social Security Act (42 U.S.C. 405(r)(3)), to 
        obtain information on individuals who are deceased; and
          (2) use the information to verify and otherwise 
        ensure that benefits are not issued to individuals who 
        are deceased.
  (s)  [Transitional Benefits Option.--] Transitional 
Benefits._
          (1) In general.--A State agency [may] shall provide 
        transitional supplemental nutrition assistance program 
        benefits--
                  (A) to a household that ceases to receive 
                cash assistance under a State program funded 
                under part A of title IV of the Social Security 
                Act (42 U.S.C. 601 et seq.); or
                  (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.
          (2) Transitional benefits period.--Under paragraph 
        (1), a household [may] shall receive transitional 
        supplemental nutrition assistance program benefits for 
        a period of [not more than] 5 months after the date on 
        which cash assistance is terminated.
          (3) Amount of benefits.--During the transitional 
        benefits period under paragraph (2), a household shall 
        receive an amount of supplemental nutrition assistance 
        program benefits equal to the allotment received in the 
        month immediately preceding the date on which cash 
        assistance was terminated, adjusted for the change in 
        household income as a result of--
                  (A) the termination of cash assistance; and
                  (B) at the option of the State agency, 
                information from another program in which the 
                household participates.
          (4) Determination of future eligibility.--In the 
        final month of the transitional benefits period under 
        paragraph (2), the State agency may--
                  (A) require the household to cooperate in a 
                recertification of eligibility; and
                  (B) initiate a new certification period for 
                the household without regard to whether the 
                preceding certification period has expired.
          (5) Limitation.--A household shall not be eligible 
        for transitional benefits under this subsection if the 
        household--
                  (A) loses eligibility under section 6;
                  (B) is sanctioned for a failure to perform an 
                action required by Federal, State, or local law 
                relating to a cash assistance program described 
                in paragraph (1); or
                  (C) is a member of any other category of 
                households designated by the State agency as 
                ineligible for transitional benefits.
          (6) Applications for recertification.--
                  (A) In general.--A household receiving 
                transitional benefits under this subsection may 
                apply for recertification at any time during 
                the transitional benefits period under 
                paragraph (2).
                  (B) Determination of allotment.--If a 
                household applies for recertification under 
                subparagraph (A), the allotment of the 
                household for all subsequent months shall be 
                determined without regard to this subsection.
  (t)  [Grants for Simple Application and Eligibility 
Determination Systems and Improved Access to Benefits.--] 
Grants for Simplified Supplemental Nutrition Assistance Program 
Application and Eligibility Determination Systems._
          (1) In general.--Subject to the availability of 
        appropriations under section 18(a), for each fiscal 
        year, the Secretary shall use not more than $5,000,000 
        of funds made available under section 18(a)(1) to make 
        grants to pay 100 percent of the costs of eligible 
        entities approved by the Secretary to carry out 
        projects to develop and [implement--] implement 
        simplified supplemental nutrition assistance program 
        application and eligibility determination systems.
                  [(A) simple supplemental nutrition assistance 
                program application and eligibility 
                determination systems; or
                  [(B) measures to improve access to 
                supplemental nutrition assistance program 
                benefits by eligible households.]
          (2) Types of projects.--A project under paragraph (1) 
        may consist of--
                  (A) coordinating application and eligibility 
                determination processes, including verification 
                practices, under the supplemental nutrition 
                assistance program and other Federal, State, 
                and local assistance programs;
                  [(B) establishing methods for applying for 
                benefits and determining eligibility that--
                          [(i) more extensively use--
                                  [(I) communications by 
                                telephone; and
                                  [(II) electronic alternatives 
                                such as the Internet; or
                          [(ii) otherwise improve the 
                        administrative infrastructure used in 
                        processing applications and determining 
                        eligibility;]
                  (B) establishing enhanced technological 
                methods for applying for benefits and 
                determining eligibility that improve the 
                administrative infrastructure used in 
                processing applications and determining 
                eligibility; or
                  [(C) developing procedures, training 
                materials, and other resources aimed at 
                reducing barriers to participation and reaching 
                eligible households;
                  [(D) improving methods for informing and 
                enrolling eligible households; or
                  [(E)] (C) carrying out such other activities 
                as the Secretary determines to be appropriate.
          (3) Limitation.--A grant under this subsection shall 
        not be made for the ongoing cost of carrying out any 
        project.
          (4) Eligible entities.--To be eligible to receive a 
        grant under this subsection, an entity shall be--
                  (A) a State agency administering the 
                supplemental nutrition assistance program;
                  (B) a State or local government;
                  (C) an agency providing health or welfare 
                services;
                  (D) a public health or educational entity; or
                  (E) a private nonprofit entity such as a 
                community-based organization, food bank, or 
                other emergency feeding organization.
          (5) Selection of eligible entities.--The Secretary--
                  (A) shall develop criteria for the selection 
                of eligible entities to receive grants under 
                this subsection; and
                  (B) may give preference to any eligible 
                entity that consists of a partnership between a 
                governmental entity and a nongovernmental 
                entity.
  (u) Agreement for Direct Certification and Cooperation.--
          (1) In general.--Each State agency shall enter into 
        an agreement with the State agency administering the 
        school lunch program established under the Richard B. 
        Russell National School Lunch Act (42 U.S.C. 1751 et 
        seq.).
          (2) Contents.--The agreement shall establish 
        procedures that ensure that--
                  (A) any child receiving benefits under this 
                Act shall be certified as eligible for free 
                lunches under the Richard B. Russell National 
                School Lunch Act (42 U.S.C. 1751 et seq.) and 
                free breakfasts under the Child Nutrition Act 
                of 1966 (42 U.S.C. 1771 et seq.), without 
                further application; and
                  (B) each State agency shall cooperate in 
                carrying out paragraphs (3)(F) and (4) of 
                section 9(b) of the Richard B. Russell National 
                School Lunch Act (42 U.S.C. 1758(b)).
  (v) Data Exchange Standards for Improved Interoperability.--
          (1) Designation.--The Secretary shall, in 
        consultation with an interagency work group established 
        by the Office of Management and Budget, and considering 
        State government perspectives, designate data exchange 
        standards to govern, under this Act--
                  (A) necessary categories of information that 
                State agencies operating related programs are 
                required under applicable law to electronically 
                exchange with another State agency; and
                  (B) Federal reporting and data exchange 
                required under applicable law.
          (2) Requirements.--The data exchange standards 
        required by paragraph (1) shall, to the maximum extent 
        practicable--
                  (A) incorporate a widely accepted, 
                nonproprietary, searchable, computer-readable 
                format, such as the eXtensible Markup Language;
                  (B) contain interoperable standards developed 
                and maintained by intergovernmental 
                partnerships, such as the National Information 
                Exchange Model;
                  (C) incorporate interoperable standards 
                developed and maintained by Federal entities 
                with authority over contracting and financial 
                assistance;
                  (D) be consistent with and implement 
                applicable accounting principles;
                  (E) be implemented in a manner that is cost-
                effective and improves program efficiency and 
                effectiveness; and
                  (F) be capable of being continually upgraded 
                as necessary.
          (3) Rules of construction.--Nothing in this 
        subsection requires a change to existing data exchange 
        standards for Federal reporting found to be effective 
        and efficient.

           *       *       *       *       *       *       *


                       VIOLATIONS AND ENFORCEMENT

  Sec. 15. (a) Notwithstanding any other provision of this Act, 
the Secretary may provide for the issuance or presentment for 
redemption of benefits to such person or persons, and at such 
times and in such manner, as the Secretary deems necessary or 
appropriate to protect the interests of the United States or to 
ensure enforcement of the provisions of this Act or the 
regulations issued pursuant to this Act.
  (b)(1) Subject to the provisions of paragraph (2) of this 
subsection, whoever knowingly uses, transfers, acquires, 
alters, or possesses benefits in any manner contrary to this 
Act or the regulations issued pursuant to this Act shall, if 
such benefits are of a value of $5,000 or more, be guilty of a 
felony and shall be fined not more than $250,000 or imprisoned 
for not more than twenty years, or both, and shall, if such 
benefits are of a value of $100 or more, but less than $5,000, 
or if the item used, transferred, acquired, altered, or 
possessed is a benefit that has a value of $100 or more, but 
less than $5,000, be guilty of a felony and shall, upon the 
first conviction thereof, be fined not more than $10,000 or 
imprisoned for not more than five years, or both, and, upon the 
second and any subsequent conviction thereof, shall be 
imprisoned for not less than six months nor more than five 
years and may also be fined not more than $10,000 or, if such 
benefits are of a value of less than $100, or if the item used, 
transferred, acquired, altered, or processed is a benefit that 
has a value of less than $100, shall be guilty of a 
misdemeanor, and, upon the first conviction thereof, shall be 
fined not more than $1,000 or imprisoned for not more than one 
year, or both, and upon the second and any subsequent 
conviction thereof, shall be imprisoned for not more than one 
year and may also be fined not more than $1,000. In addition to 
such penalties, any person convicted of a felony or misdemeanor 
violation under this subsection may be suspended by the court 
from participation in the supplemental nutrition assistance 
program for an additional period of up to eighteen months 
consecutive to that period of suspension mandated by section 
6(b)(1) of this Act.
  (2) In the case of any individual convicted of an offense 
under paragraph (1) of this subsection, the court may permit 
such individual to perform work approved by the court for the 
purpose of providing restitution for losses incurred by the 
United States and the State agency as a result of the offense 
for which such individual was convicted. If the court permits 
such individual to perform such work and such individual agrees 
thereto, the court shall withhold the imposition of the 
sentence on the condition that such individual perform the 
assigned work. Upon the successful completion of the assigned 
work the court may suspend such sentence.
  (c) Whoever presents, or causes to be presented, benefits for 
payment or redemption of the value of $100 or more, knowing the 
same to have been received, transferred, or used in any manner 
in violation of the provisions of this Act or the regulations 
issued pursuant to this Act, shall be guilty of a felony and, 
upon the first conviction thereof, shall be fined not more than 
$20,000 or imprisoned for not more than five years, or both, 
and, upon the second and any subsequent conviction thereof, 
shall be imprisoned for not less than one year nor more than 
five years and may also be fined not more than $20,000, or, if 
such benefits are of a value of less than $100, shall be guilty 
of a misdemeanor and, upon the first conviction thereof, shall 
be fined not more than $1,000 or imprisoned for not more than 
one year, or both, and, upon the second and any subsequent 
conviction thereof, shall be imprisoned for not more than one 
year and may also be fined not more than $1,000. In addition to 
such penalties, any person convicted of a felony or misdemeanor 
violation under this subsection may be suspended by the court 
from participation in the supplemental nutrition assistance 
program for an additional period of up to eighteen months 
consecutive to that period of suspension mandated by section 
6(b)(1) of this Act.
  (d) Benefits issued pursuant to this Act shall be deemed to 
be obligations of the United States within the meaning of 
section 8 of title 18, United States Code.
  (e) The Secretary may subject to forfeiture and denial of 
property rights any nonfood items, moneys, negotiable 
instruments, securities, or other things of value that are 
furnished by any person in [exchange for coupons, authorization 
cards or access devices, or anything] exchange for benefits, or 
anything of value obtained by use of an access device, in any 
manner contrary to this Act or the regulations issued under 
this Act. Any forfeiture and disposal of property forfeited 
under this subsection shall be conducted in accordance with 
procedures contained in regulations issued by the Secretary.
  (f) Criminal Forfeiture.--
          (1) In general.--In imposing a sentence on a person 
        convicted of an offense in violation of subsection (b) 
        or (c), a court shall order, in addition to any other 
        sentence imposed under this section, that the person 
        forfeit to the United States all property described in 
        paragraph (2).
          (2) Property subject to forfeiture.--All property, 
        real and personal, used in a transaction or attempted 
        transaction, to commit, or to facilitate the commission 
        of, a violation (other than a misdemeanor) of 
        subsection (b) or (c), or proceeds traceable to a 
        violation of subsection (b) or (c), shall be subject to 
        forfeiture to the United States under paragraph (1).
          (3) Interest of owner.--No interest in property shall 
        be forfeited under this subsection as the result of any 
        act or omission established by the owner of the 
        interest to have been committed or omitted without the 
        knowledge or consent of the owner.
          (4) Proceeds.--The proceeds from any sale of 
        forfeited property and any monies forfeited under this 
        subsection shall be used--
                  (A) first, to reimburse the Department of 
                Justice for the costs incurred by the 
                Department to initiate and complete the 
                forfeiture proceeding;
                  (B) second, to reimburse the Department of 
                Agriculture Office of Inspector General for any 
                costs the Office incurred in the law 
                enforcement effort resulting in the forfeiture;
                  (C) third, to reimburse any Federal or State 
                law enforcement agency for any costs incurred 
                in the law enforcement effort resulting in the 
                forfeiture; and
                  (D) fourth, by the Secretary to carry out the 
                approval, reauthorization, and compliance 
                investigations of retail stores and wholesale 
                food concerns under section 9.

            ADMINISTRATIVE COST-SHARING AND QUALITY CONTROL

  Sec. 16. (a) Subject to subsection (k), the Secretary is 
authorized to pay to each State agency an amount equal to 50 
per centum of all administrative costs involved in each State 
agency's operation of the supplemental nutrition assistance 
program, which costs shall include, but not be limited to, the 
cost of (1) the certification of applicant households, (2) the 
acceptance, storage, protection, control, and accounting of 
benefits after their delivery to receiving points within the 
State, (3) the issuance of benefits to all eligible households, 
(4) informational activities relating to the supplemental 
nutrition assistance program, including those undertaken under 
section 11(e)(1)(A), but not including recruitment activities 
designed to persuade an individual to apply forprogram benefits 
or that promote the program through television,radio, or 
billboard advertisements, (5) fair hearings, (6) automated data 
processing and information retrieval systems subject to the 
conditions set forth in subsection (g), (7) supplemental 
nutrition assistance program investigations and prosecutions, 
and (8) implementing and operating the immigration status 
verification system established under section 1137(d) of the 
Social Security Act (42 U.S.C. 1320b-7(d)): Provided, That the 
Secretary is authorized at the Secretary's discretion to pay 
any State agency administering the supplemental nutrition 
assistance program on all or part of an Indian reservation 
under section 11(d) of this Act or in a Native village within 
the State of Alaska identified in section 11(b) of Public Law 
92-203, such amounts for administrative costs as the Secretary 
determines to be necessary for effective operation of the 
supplemental nutrition assistance program, as well as to permit 
each State to retain [35 percent] 50 percent of the value of 
all funds or allotments recovered or collected pursuant to 
sections 6(b) and 13(c) and 20 percent of the value of any 
other funds or allotments recovered or collected, except the 
value of funds or allotments recovered or collected that arise 
from an error of a State agency. A State agency may use such 
funds retained only to carry out the supplemental nutrition 
assistance program, including investments in technology, 
improvements in administration and distribution, and actions to 
prevent fraud.  The officials responsible for making 
determinations of ineligibility under this Act shall not 
receive or benefit from revenues retained by the State under 
the provisions of this subsection.
  [(b) Work Supplementation or Support Program.--
          [(1) Definition of work supplementation or support 
        program.--In this subsection, the term ``work 
        supplementation or support program'' means a program 
        under which, as determined by the Secretary, public 
        assistance (including any benefits provided under a 
        program established by the State and the supplemental 
        nutrition assistance program) is provided to an 
        employer to be used for hiring and employing a public 
        assistance recipient who was not employed by the 
        employer at the time the public assistance recipient 
        entered the program.
          [(2) Program.--A State agency may elect to use an 
        amount equal to the allotment that would otherwise be 
        issued to a household under the supplemental nutrition 
        assistance program, but for the operation of this 
        subsection, for the purpose of subsidizing or 
        supporting a job under a work supplementation or 
        support program established by the State.
          [(3) Procedure.--If a State agency makes an election 
        under paragraph (2) and identifies each household that 
        participates in the supplemental nutrition assistance 
        program that contains an individual who is 
        participating in the work supplementation or support 
        program--
                  [(A) the Secretary shall pay to the State 
                agency an amount equal to the value of the 
                allotment that the household would be eligible 
                to receive but for the operation of this 
                subsection;
                  [(B) the State agency shall expend the amount 
                received under subparagraph (A) in accordance 
                with the work supplementation or support 
                program in lieu of providing the allotment that 
                the household would receive but for the 
                operation of this subsection;
                  [(C) for purposes of--
                          [(i) sections 5 and 8(a), the amount 
                        received under this subsection shall be 
                        excluded from household income and 
                        resources; and
                          [(ii) section 8(b), the amount 
                        received under this subsection shall be 
                        considered to be the value of an 
                        allotment provided to the household; 
                        and
                  [(D) the household shall not receive an 
                allotment from the State agency for the period 
                during which the member continues to 
                participate in the work supplementation or 
                support program.
          [(4) Other work requirements.--No individual shall be 
        excused, by reason of the fact that a State has a work 
        supplementation or support program, from any work 
        requirement under section 6(d), except during the 
        periods in which the individual is employed under the 
        work supplementation or support program.
          [(5) Length of participation.--A State agency shall 
        provide a description of how the public assistance 
        recipients in the program shall, within a specific 
        period of time, be moved from supplemented or supported 
        employment to employment that is not supplemented or 
        supported.
          [(6) Displacement.--A work supplementation or support 
        program shall not displace the employment of 
        individuals who are not supplemented or supported.]
  (c) Quality Control System.--
          (1) In general.--
                  (A) System.--
                          (i) In general.--In carrying out the 
                        supplemental nutrition assistance 
                        program, the Secretary shall carry out 
                        a system that enhances payment accuracy 
                        and improves administration by 
                        establishing fiscal incentives that 
                        require State agencies with high 
                        payment error rates to share in the 
                        cost of payment error.
                          (ii) Tolerance level for excluding 
                        small errors.--The Secretary shall set 
                        the tolerance level for excluding small 
                        errors for the purposes of this 
                        subsection--
                                  (I) for fiscal year 2014, at 
                                an amount not greater than $37; 
                                [and]
                                  (II) for each [fiscal year 
                                thereafter] of the fiscal years 
                                2015 through 2017, the amount 
                                specified in subclause (I) 
                                adjusted by the percentage by 
                                which the thrifty food plan is 
                                adjusted under section 3(u)(4) 
                                between June 30, 2013, and June 
                                30 of the immediately preceding 
                                fiscal year[.]; and
                                  (III) for each fiscal year 
                                thereafter, $0.
                  (B) Adjustment of federal share of 
                administrative costs for fiscal years before 
                fiscal year 2003.--
                          (i) In general.--Subject to clause 
                        (ii), with respect to any fiscal year 
                        before fiscal year 2003, the Secretary 
                        shall adjust a State agency's federally 
                        funded share of administrative costs 
                        under subsection (a), other than the 
                        costs already shared in excess of 50 
                        percent under the proviso in the first 
                        sentence of subsection (a) or under 
                        subsection (g), by increasing that 
                        share of all such administrative costs 
                        by 1 percentage point to a maximum of 
                        60 percent of all such administrative 
                        costs for each full \1/10\ of a 
                        percentage point by which the payment 
                        error rate is less than 6 percent.
                          (ii) Limitation.--Only States with a 
                        rate of invalid decisions in denying 
                        eligibility that is less than a 
                        nationwide percentage that the 
                        Secretary determines to be reasonable 
                        shall be entitled to the adjustment 
                        under clause (i).
                  (C) Establishment of liability amount for 
                fiscal year 2003 and thereafter.--With respect 
                to [fiscal year 2004 and any fiscal year 
                thereafter for which the Secretary determines 
                that, for the second] any of the fiscal years 
                2004 through 2018 for which the Secretary 
                determines that for the second or subsequent 
                consecutive fiscal year, and with respect to 
                fiscal year 2019 and any fiscal year thereafter 
                for which the Secretary determines that for the 
                third or subsequent consecutive fiscal year, a 
                95 percent statistical probability exists that 
                the payment error rate of a State agency 
                exceeds 105 percent of the national performance 
                measure for payment error rates announced under 
                paragraph (6), the Secretary shall establish an 
                amount for which the State agency may be liable 
                (referred to in this paragraph as the 
                ``liability amount'') that is equal to the 
                product obtained by multiplying--
                          (i) the value of all allotments 
                        issued by the State agency in the 
                        fiscal year;
                          (ii) the difference between--
                                  (I) the payment error rate of 
                                the State agency; and
                                  (II) 6 percent; and
                          (iii) 10 percent.
                  (D) Authority of secretary with respect to 
                liability amount.--With respect to the 
                liability amount established for a State agency 
                under subparagraph (C) for any fiscal year, the 
                Secretary shall--
                          (i)
                          (I) require that a portion, not to 
                        exceed 50 percent, of the liability 
                        amount established for the fiscal year 
                        be used by the State agency for new 
                        investment, approved by the Secretary, 
                        to improve administration by the State 
                        agency of the supplemental nutrition 
                        assistance program (referred to in this 
                        paragraph as the ``new investment 
                        amount''), which new investment amount 
                        shall not be matched by Federal funds;
                          (II) designate a portion, not to 
                        exceed 50 percent, of the amount 
                        established for the fiscal year for 
                        payment to the Secretary in accordance 
                        with subparagraph (E) (referred to in 
                        this paragraph as the ``at-risk 
                        amount''); or
                          (III) take any combination of the 
                        actions described in subclauses (I) and 
                        (II); or
                          (ii) make the determinations 
                        described in clause (i) and enter into 
                        a settlement with the State agency, 
                        only with respect to any new investment 
                        amount, before the end of the fiscal 
                        year in which the liability amount is 
                        determined under subparagraph (C).
                  (E) Payment of at-risk amount for certain 
                states.--
                          (i) In general.--A State agency shall 
                        pay to the Secretary the at-risk amount 
                        designated under subparagraph 
                        (D)(i)(II) for any fiscal year in 
                        accordance with clause (ii), if, with 
                        respect to the immediately following 
                        fiscal year, a liability amount has 
                        been established for the State agency 
                        under subparagraph (C).
                          (ii) Method of payment of at-risk 
                        amount.--
                                  (I) Remission to the 
                                secretary.--In the case of a 
                                State agency required to pay an 
                                at-risk amount under clause 
                                (i), as soon as practicable 
                                after completion of all 
                                administrative and judicial 
                                reviews with respect to that 
                                requirement to pay, the chief 
                                executive officer of the State 
                                shall remit to the Secretary 
                                the at-risk amount required to 
                                be paid.
                                  (II) Alternative method of 
                                collection.--
                                          (aa) In general.--If 
                                        the chief executive 
                                        officer of the State 
                                        fails to make the 
                                        payment under subclause 
                                        (I) within a reasonable 
                                        period of time 
                                        determined by the 
                                        Secretary, the 
                                        Secretary may reduce 
                                        any amount due to the 
                                        State agency under any 
                                        other provision of this 
                                        section by the amount 
                                        required to be paid 
                                        under clause (i).
                                          (bb) Accrual of 
                                        interest.--During any 
                                        period of time 
                                        determined by the 
                                        Secretary under item 
                                        (aa), interest on the 
                                        payment under subclause 
                                        (I) shall not accrue 
                                        under section 13(a)(2).
                  (F) Use of portion of liability amount for 
                new investment.--
                          (i) Reduction of other amounts due to 
                        state agency.--In the case of a State 
                        agency that fails to comply with a 
                        requirement for new investment under 
                        subparagraph (D)(i)(I) or clause 
                        (iii)(I), the Secretary may reduce any 
                        amount due to the State agency under 
                        any other provision of this section by 
                        the portion of the liability amount 
                        that has not been used in accordance 
                        with that requirement.
                          (ii) Effect of state agency's wholly 
                        prevailing on appeal.--If a State 
                        agency begins required new investment 
                        under subparagraph (D)(i)(I), the State 
                        agency appeals the liability amount of 
                        the State agency, and the determination 
                        by the Secretary of the liability 
                        amount is reduced to $0 on 
                        administrative or judicial review, the 
                        Secretary shall pay to the State agency 
                        an amount equal to 50 percent of the 
                        new investment amount that was included 
                        in the liability amount subject to the 
                        appeal.
                          (iii) Effect of secretary's wholly 
                        prevailing on appeal.--If a State 
                        agency does not begin required new 
                        investment under subparagraph 
                        (D)(i)(I), the State agency appeals the 
                        liability amount of the State agency, 
                        and the determination by the Secretary 
                        of the liability amount is wholly 
                        upheld on administrative or judicial 
                        review, the Secretary shall--
                                  (I) require all or any 
                                portion of the new investment 
                                amount to be used by the State 
                                agency for new investment, 
                                approved by the Secretary, to 
                                improve administration by the 
                                State agency of the 
                                supplemental nutrition 
                                assistance program, which 
                                amount shall not be matched by 
                                Federal funds; and
                                  (II) require payment of any 
                                remaining portion of the new 
                                investment amount in accordance 
                                with subparagraph (E)(ii).
                          (iv) Effect of neither party's wholly 
                        prevailing on appeal.--The Secretary 
                        shall promulgate regulations regarding 
                        obligations of the Secretary and the 
                        State agency in a case in which the 
                        State agency appeals the liability 
                        amount of the State agency and neither 
                        the Secretary nor the State agency 
                        wholly prevails.
                  (G) Corrective action plans.--The Secretary 
                shall foster management improvements by the 
                States by requiring State agencies, other than 
                State agencies with payment error rates of less 
                than 6 percent, to develop and implement 
                corrective action plans to reduce payment 
                errors.
  (2) As used in this section--
          (A) the term ``payment error rate'' means the sum of 
        the point estimates of an overpayment error rate and an 
        underpayment error rate determined by the Secretary 
        from data collected in a probability sample of 
        participating households;
          (B) the term ``overpayment error rate'' means the 
        percentage of the value of all allotments issued in a 
        fiscal year by a State agency that are either--
                  (i) issued to households that fail to meet 
                basic program eligibility requirements; or
                  (ii) overissued to eligible households; and
          (C) the term ``underpayment error rate'' means the 
        ratio of the value of allotments underissued to 
        recipient households to the total value of allotments 
        issued in a fiscal year by a State agency.
  (3) The following errors may be measured for management 
purposes but shall not be included in the payment error rate:
          (A) Any errors resulting in the application of new 
        regulations promulgated under this Act during the first 
        120 days from the required implementation date for such 
        regulations.
          (B) Errors resulting from the use by a State agency 
        of correctly processed information concerning 
        households or individuals received from Federal 
        agencies or from actions based on policy information 
        approved or disseminated, in writing, by the Secretary 
        or the Secretary's designee.
          (4) Reporting requirements.--The Secretary may 
        require a State agency to report any factors that the 
        Secretary considers necessary to determine a State 
        agency's payment error rate, liability amount or new 
        investment amount under paragraph (1), or performance 
        under the performance measures under subsection (d). If 
        a State agency fails to meet the reporting requirements 
        established by the Secretary, including providing 
        access to applicable State records and the entire 
        information systems in which the records are contained, 
        the Secretary shall base the determination on all 
        pertinent information available to the Secretary.
          (5) Procedures.--To facilitate the implementation of 
        this subsection, each State agency shall expeditiously 
        submit to the Secretary data concerning the operations 
        of the State agency in each fiscal year sufficient for 
        the Secretary to establish the State agency's payment 
        error rate, liability amount or new investment amount 
        under paragraph (1), or performance under the 
        performance measures under subsection (d). The 
        Secretary shall initiate efforts to collect the amount 
        owed by the State agency as a claim established under 
        paragraph (1) for a fiscal year, subject to the 
        conclusion of any formal or informal appeal procedure 
        and administrative or judicial review under section 14 
        (as provided for in paragraph (7)), before the end of 
        the fiscal year following such fiscal year.
          (6) National performance measure for payment error 
        rates.--
                  (A) Announcement.--At the time the Secretary 
                makes the notification to State agencies of 
                their error rates, the Secretary shall also 
                announce a national performance measure that 
                shall be the sum of the products of each State 
                agency's error rate as developed for the 
                notifications under paragraph (8) times that 
                State agency's proportion of the total value of 
                national allotments issued for the fiscal year 
                using the most recent issuance data available 
                at the time of the notifications issued 
                pursuant to paragraph (8).
                  (B) Use of alternative measure of state 
                error.--Where a State fails to meet reporting 
                requirements pursuant to paragraph (4), the 
                Secretary may use another measure of a State's 
                error developed pursuant to paragraph (8), to 
                develop the national performance measure.
                  (C) Use of national performance measure.--The 
                announced national performance measure shall be 
                used in determining the liability amount of a 
                State under paragraph (1)(C) for the fiscal 
                year whose error rates are being announced 
                under paragraph (8).
                  (D) No administrative or judicial review.--
                The national performance measure announced 
                under this paragraph shall not be subject to 
                administrative or judicial review.
          (7) Administrative and judicial review.--
                  (A) In general.--Except as provided in 
                subparagraphs (B) and (C), if the Secretary 
                asserts a financial claim against or 
                establishes a liability amount with respect to 
                a State agency under paragraph (1), the State 
                may seek administrative and judicial review of 
                the action pursuant to section 14.
                  (B) Determination of payment error rate.--
                With respect to any fiscal year, a 
                determination of the payment error rate of a 
                State agency or a determination whether the 
                payment error rate exceeds 105 percent of the 
                national performance measure for payment error 
                rates shall be subject to administrative or 
                judicial review only if the Secretary 
                establishes a liability amount with respect to 
                the fiscal year under paragraph (1)(C).
                  (C) Authority of secretary with respect to 
                liability amount.--An action by the Secretary 
                under subparagraph (D) or (F)(iii) of paragraph 
                (1) shall not be subject to administrative or 
                judicial review.
  (8)(A) This paragraph applies to the determination of whether 
a payment is due by a State agency for a fiscal year under 
paragraph (1).
  (B) Not later than the first May 31 after the end of the 
fiscal year referred to in subparagraph (A), the case review 
and all arbitrations of State-Federal difference cases shall be 
completed.
  (C) Not later than the first June 30 after the end of the 
fiscal year referred to in subparagraph (A), the Secretary 
shall--
          (i) determine final error rates, the national average 
        payment error rate, and the amounts of payment claimed 
        against State agencies or liability amount established 
        with respect to State agencies;
          (ii) notify State agencies of the payment claims or 
        liability amounts; and
          (iii) provide a copy of the document providing 
        notification under clause (ii) to the chief executive 
        officer and the legislature of the State.
  (D) A State agency desiring to appeal a payment claim or 
liability amount determined under subparagraph (C) shall submit 
to an administrative law judge--
          (i) a notice of appeal, not later than 10 days after 
        receiving a notice of the claim or liability amount; 
        and
          (ii) evidence in support of the appeal of the State 
        agency, not later than 60 days after receiving a notice 
        of the claim or liability amount.
  (E) Not later than 60 days after a State agency submits 
evidence in support of the appeal, the Secretary shall submit 
responsive evidence to the administrative law judge to the 
extent such evidence exists.
  (F) Not later than 30 days after the Secretary submits 
responsive evidence, the State agency shall submit rebuttal 
evidence to the administrative law judge to the extent such 
evidence exists.
  (G) The administrative law judge, after an evidentiary 
hearing, shall decide the appeal--
          (i) not later than 60 days after receipt of rebuttal 
        evidence submitted by the State agency; or
          (ii) if the State agency does not submit rebuttal 
        evidence, not later than 90 days after the State agency 
        submits the notice of appeal and evidence in support of 
        the appeal.
  (H) In considering a claim or liability amount under this 
paragraph, the administrative law judge shall consider all 
grounds for denying the claim or liability amount, in whole or 
in part, including the contention of a State agency that the 
claim or liability amount should be waived, in whole or in 
part, for good cause.
  (I) The deadlines in subparagraphs (D), (E), (F), and (G) 
shall be extended by the administrative law judge for cause 
shown.
  (9) As used in this subsection, the term ``good cause'' 
includes--
          (A) a natural disaster or civil disorder that 
        adversely affects supplemental nutrition assistance 
        program operations;
          (B) a strike by employees of a State agency who are 
        necessary for the determination of eligibility and 
        processing of case changes under the supplemental 
        nutrition assistance program;
          (C) a significant growth in the caseload under the 
        supplemental nutrition assistance program in a State 
        prior to or during a fiscal year, such as a 15 percent 
        growth in caseload;
          (D) a change in the supplemental nutrition assistance 
        program or other Federal or State program that has a 
        substantial adverse impact on the management of the 
        supplemental nutrition assistance program of a State; 
        and
          (E) a significant circumstance beyond the control of 
        the State agency.
  (d)  [Bonuses for States That Demonstrate High or Most 
Improved Performance.--] State Performance Indicators._
          (1) Fiscal years 2003 and 2004.--
                  (A) Guidance.--With respect to fiscal years 
                2003 and 2004, the Secretary shall establish, 
                in guidance issued to State agencies not later 
                than October 1, 2002--
                          (i) performance criteria relating 
                        to--
                                  (I) actions taken to correct 
                                errors, reduce rates of error, 
                                and improve eligibility 
                                determinations; and
                                  (II) other indicators of 
                                effective administration 
                                determined by the Secretary; 
                                and
                          (ii) standards for high and most 
                        improved performance to be used in 
                        awarding performance bonus payments 
                        under subparagraph (B)(ii).
                  (B) Performance bonus payments.--With respect 
                to each of fiscal years 2003 and 2004, the 
                Secretary shall--
                          (i) measure the performance of each 
                        State agency with respect to the 
                        criteria established under subparagraph 
                        (A)(i); and
                          (ii) subject to paragraph (3), award 
                        performance bonus payments in the 
                        following fiscal year, in a total 
                        amount of $48,000,000 for each fiscal 
                        year, to State agencies that meet 
                        standards for high or most improved 
                        performance established by the 
                        Secretary under subparagraph (A)(ii).
          (2) Fiscal years 2005 [and thereafter] through 
        2017.--
                  (A) Regulations.--With respect to fiscal year 
                2005 [and each fiscal year thereafter] through 
                fiscal year 2017, the Secretary shall--
                          (i) establish, by regulation, 
                        performance criteria relating to--
                                  (I) actions taken to correct 
                                errors, reduce rates of error, 
                                and improve eligibility 
                                determinations; and
                                  (II) other indicators of 
                                effective administration 
                                determined by the Secretary;
                          (ii) establish, by regulation, 
                        standards for high and most improved 
                        performance to be used in awarding 
                        performance bonus payments under 
                        subparagraph (B)(ii); and
                          (iii) before issuing proposed 
                        regulations to carry out clauses (i) 
                        and (ii), solicit ideas for performance 
                        criteria and standards for high and 
                        most improved performance from State 
                        agencies and organizations that 
                        represent State interests.
                  (B) Performance bonus payments.--With respect 
                to fiscal year 2005 [and each fiscal year 
                thereafter] through fiscal year 2017, the 
                Secretary shall--
                          (i) measure the performance of each 
                        State agency with respect to the 
                        criteria established under subparagraph 
                        (A)(i); and
                          (ii) subject to paragraph (3), award 
                        performance bonus payments in the 
                        following fiscal year, in a total 
                        amount of $48,000,000 for each fiscal 
                        year, to State agencies that meet 
                        standards for high or most improved 
                        performance established by the 
                        Secretary under subparagraph (A)(ii).
          (3) Prohibition on receipt of performance bonus 
        payments.--A State agency shall not be eligible for a 
        performance bonus payment with respect to any fiscal 
        year for which the State agency has a liability amount 
        established under subsection (c)(1)(C).
          (4) Payments not subject to judicial review.--A 
        determination by the Secretary whether, and in what 
        amount, to award a performance bonus payment under this 
        subsection shall not be subject to administrative or 
        judicial review.
          (5) Use of performance bonus payments.--A State 
        agency may use a performance bonus payment received 
        under this subsection only to carry out the program 
        established under this Act, including investments in--
                  (A) technology;
                  (B) improvements in administration and 
                distribution; and
                  (C) actions to prevent fraud, waste, and 
                abuse.
          (6) Fiscal year 2018 and fiscal years thereafter.--
        With respect to fiscal year 2018 and each fiscal year 
        thereafter, the Secretary shall establish, by 
        regulation, performance criteria relating to--
                  (A) actions taken to correct errors, reduce 
                rates of error, and improve eligibility 
                determinations; and
                  (B) other indicators of effective 
                administration determined by the Secretary.
  (e) The Secretary and State agencies shall (1) require, as a 
condition of eligibility for participation in the supplemental 
nutrition assistance program, that each household member 
furnish to the State agency their social security account 
number (or numbers, if they have more than one number), and (2) 
use such account numbers in the administration of the 
supplemental nutrition assistance program. The Secretary and 
State agencies shall have access to the information regarding 
individual supplemental nutrition assistance program applicants 
and participants who receive benefits under title XVI of the 
Social Security Act that has been provided to the Commissioner 
of Social Security, but only to the extent that the Secretary 
and the Commissioner of Social Security determine necessary for 
purposes of determining or auditing a household's eligibility 
to receive assistance or the amount thereof under the 
supplemental nutrition assistance program, or verifying 
information related thereto.
  (f) Notwithstanding any other provision of law, counsel may 
be employed and counsel fees, court costs, bail, and other 
expenses incidental to the defense of officers and employees of 
the Department of Agriculture may be paid in judicial or 
administrative proceedings to which such officers and employees 
have been made parties and that arise directly out of their 
performance of duties under this Act.
  (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, development, or installation of 1 
        or more automatic data processing and information 
        retrieval systems that the Secretary determines--
                  (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 program 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[.]; and
                  (G) would be accessible by the Secretary for 
                the purposes of program oversight and would be 
                used by the State agency to make available all 
                records required by the Secretary.
          (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 Federal program; or
                  (B) uses the systems for purposes not 
                connected with the supplemental nutrition 
                assistance program.
  (h) Funding of Employment and Training Programs.--
          (1) In general.--
                  (A) Amounts.--To carry out employment and 
                training programs, the Secretary shall reserve 
                for allocation to State agencies, to remain 
                available for 24 months, from funds made 
                available for each fiscal year under section 
                18(a)(1), [$90,000,000 for each fiscal year.] 
                under section 18(a)(1)--
                          (i) $90,000,000 for fiscal year 2019;
                          (ii) $250,000,000 for fiscal year 
                        2020; and
                          (iii) $1,000,000,000 for each fiscal 
                        year thereafter.
                  (B) Allocation.--Funds made available under 
                subparagraph (A) shall be made available to and 
                reallocated among State agencies under a 
                reasonable formula that--
                          (i) is determined and adjusted by the 
                        Secretary; and
                          [(ii) takes into account the number 
                        of individuals who are not exempt from 
                        the work requirement under section 
                        6(o).]
                          (ii) takes into account--
                                  (I) for fiscal years 2019 and 
                                2020, the number of individuals 
                                who are not exempt from the 
                                work requirement under section 
                                6(o) as that section existed on 
                                the day before the date of the 
                                enactment of the Agriculture 
                                and Nutrition Act of 2018; and
                                  (II) for fiscal years 2021 
                                and each fiscal year 
                                thereafter, the number of 
                                individuals who are not exempt 
                                from the requirements under 
                                section 6(d)(1)(B).
                  (C) Reallocation.--
                          (i) In general.--If a State agency 
                        will not expend all of the funds 
                        allocated to the State agency for a 
                        fiscal year under subparagraph (B), the 
                        Secretary shall reallocate the 
                        unexpended funds to other States 
                        (during the fiscal year or the 
                        subsequent fiscal year) as the 
                        Secretary considers appropriate and 
                        equitable.
                          (ii) Timing.--The Secretary shall 
                        collect such information as the 
                        Secretary determines to be necessary 
                        about the expenditures and anticipated 
                        expenditures by the State agencies of 
                        the funds initially allocated to the 
                        State agencies under subparagraph (A) 
                        to make reallocations of unexpended 
                        funds under clause (i) within a 
                        timeframe that allows each State agency 
                        to which funds are reallocated at least 
                        270 days to expend the reallocated 
                        funds.
                          (iii) Opportunity.--The Secretary 
                        shall ensure that all State agencies 
                        have an opportunity to obtain 
                        reallocated funds.
                  (D) Minimum allocation.--Notwithstanding 
                subparagraph (B), the Secretary shall ensure 
                that each State agency operating an employment 
                and training program shall receive not less 
                than [$50,000] $100,000 for each fiscal year.
                  [(E) Additional allocations for states that 
                ensure availability of work opportunities.--
                          [(i) In general.--In addition to the 
                        allocations under subparagraph (A), 
                        from funds made available under section 
                        18(a)(1), the Secretary shall allocate 
                        not more than $20,000,000 for each 
                        fiscal year to reimburse a State agency 
                        that is eligible under clause (ii) for 
                        the costs incurred in serving members 
                        of households receiving supplemental 
                        nutrition assistance program benefits 
                        who--
                                  [(I) are not eligible for an 
                                exception under section 
                                6(o)(3); and
                                  [(II) are placed in and 
                                comply with a program described 
                                in subparagraph (B) or (C) of 
                                section 6(o)(2).
                          [(ii) Eligibility.--To be eligible 
                        for an additional allocation under 
                        clause (i), a State agency shall make 
                        and comply with a commitment to offer a 
                        position in a program described in 
                        subparagraph (B) or (C) of section 
                        6(o)(2) to each applicant or recipient 
                        who--
                                  [(I) is in the last month of 
                                the 3-month period described in 
                                section 6(o)(2);
                                  [(II) is not eligible for an 
                                exception under section 
                                6(o)(3);
                                  [(III) is not eligible for a 
                                waiver under section 6(o)(4); 
                                and
                                  [(IV) is not exempt under 
                                section 6(o)(6).]
                  (E) Reservation of funds.--Of the funds made 
                available under this paragraph for fiscal year 
                2021 and for each fiscal year thereafter, not 
                more than $150,000,000 shall be reserved for 
                allocation to States to provide training 
                services by eligible providers identified under 
                section 122 of the Workforce Innovation and 
                Opportunity Act for participants in the 
                supplemental nutrition assistance program to 
                meet the hourly requirements under section 
                6(d)(1)(B) of this Act.
                  (F) Pilot projects to reduce dependency and 
                increase work requirements and work effort 
                under supplemental nutrition assistance 
                program.--
                          (i) Pilot projects required.--
                                  (I) In general.--The 
                                Secretary shall carry out pilot 
                                projects under which State 
                                agencies shall enter into 
                                cooperative agreements with the 
                                Secretary to develop and test 
                                methods, including operating 
                                work programs with certain 
                                features comparable to the 
                                program of block grants to 
                                States for temporary assistance 
                                for needy families established 
                                under part A of title IV of the 
                                Social Security Act (42 U.S.C. 
                                601 et seq.), for employment 
                                and training programs and 
                                services to raise the number of 
                                work registrants under section 
                                6(d) of this Act (as in effect 
                                on the day before the date of 
                                the enactment of the 
                                Agriculture and Nutrition Act 
                                of 2018) who obtain 
                                unsubsidized employment, 
                                increase the earned income of 
                                the registrants, and reduce the 
                                reliance of the registrants on 
                                public assistance, so as to 
                                reduce the need for 
                                supplemental nutrition 
                                assistance benefits.
                                  (II) Requirements.--Pilot 
                                projects shall--
                                          (aa) meet such terms 
                                        and conditions as the 
                                        Secretary considers to 
                                        be appropriate; and
                                          (bb) except as 
                                        otherwise provided in 
                                        this subparagraph, be 
                                        in accordance with the 
                                        requirements of 
                                        sections 6(d) and 20 
                                        (as in effect on the 
                                        day before the date of 
                                        the enactment of the 
                                        Agriculture and 
                                        Nutrition Act of 2018).
                          (ii) Selection criteria.--
                                  (I) In general.--The 
                                Secretary shall select pilot 
                                projects under this 
                                subparagraph in accordance with 
                                the criteria established under 
                                this clause and additional 
                                criteria established by the 
                                Secretary.
                                  (II) Qualifying criteria.--To 
                                be eligible to participate in a 
                                pilot project, a State agency 
                                shall--
                                          (aa) agree to 
                                        participate in the 
                                        evaluation described in 
                                        clause (vii), including 
                                        providing evidence that 
                                        the State has a robust 
                                        data collection system 
                                        for program 
                                        administration and 
                                        cooperating to make 
                                        available State data on 
                                        the employment 
                                        activities and post-
                                        participation 
                                        employment, earnings, 
                                        and public benefit 
                                        receipt of participants 
                                        to ensure proper and 
                                        timely evaluation;
                                          (bb) commit to 
                                        collaborate with the 
                                        State workforce board 
                                        and other job training 
                                        programs in the State 
                                        and local area; and
                                          (cc) commit to 
                                        maintain at least the 
                                        amount of State funding 
                                        for employment and 
                                        training programs and 
                                        services under 
                                        paragraphs (2) and (3) 
                                        and under section 20 
                                        (as in effect on the 
                                        day before the date of 
                                        the enactment of the 
                                        Agriculture and 
                                        Nutrition Act of 2018) 
                                        as the State expended 
                                        for fiscal year 2013.
                                  (III) Selection criteria.--In 
                                selecting pilot projects, the 
                                Secretary shall--
                                          (aa) consider the 
                                        degree to which the 
                                        pilot project would 
                                        enhance existing 
                                        employment and training 
                                        programs in the State;
                                          (bb) consider the 
                                        degree to which the 
                                        pilot project would 
                                        enhance the employment 
                                        and earnings of program 
                                        participants;
                                          (cc) consider whether 
                                        there is evidence that 
                                        the pilot project could 
                                        be replicated easily by 
                                        other States or 
                                        political subdivisions;
                                          (dd) consider whether 
                                        the State agency has a 
                                        demonstrated capacity 
                                        to operate high quality 
                                        employment and training 
                                        programs; and
                                          (ee) ensure the pilot 
                                        projects, when 
                                        considered as a group, 
                                        test a range of 
                                        strategies, including 
                                        strategies that--
                                                  (AA) target 
                                                individuals 
                                                with low skills 
                                                or limited work 
                                                experience, 
                                                individuals 
                                                subject to the 
                                                requirements 
                                                under section 
                                                6(o) as in 
                                                effect on the 
                                                day before the 
                                                date of the 
                                                enactment of 
                                                the Agriculture 
                                                and Nutrition 
                                                Act of 2018, 
                                                and individuals 
                                                who are 
                                                working;
                                                  (BB) are 
                                                located in a 
                                                range of 
                                                geographic 
                                                areas and 
                                                States, 
                                                including rural 
                                                and urban 
                                                areas;
                                                  (CC) 
                                                emphasize 
                                                education and 
                                                training, 
                                                rehabilitative 
                                                services for 
                                                individuals 
                                                with barriers 
                                                to employment, 
                                                rapid 
                                                attachment to 
                                                employment, and 
                                                mixed 
                                                strategies; and
                                                  (DD) test 
                                                programs that 
                                                assign work 
                                                registrants to 
                                                mandatory and 
                                                voluntary 
                                                participation 
                                                in employment 
                                                and training 
                                                activities.
                          (iii) Accountability.--
                                  (I) In general.--The 
                                Secretary shall establish and 
                                implement a process to 
                                terminate a pilot project for 
                                which the State has failed to 
                                meet the criteria described in 
                                clause (ii) or other criteria 
                                established by the Secretary.
                                  (II) Timing.--The process 
                                shall include a reasonable time 
                                period, not to exceed 180 days, 
                                for State agencies found 
                                noncompliant to correct the 
                                noncompliance.
                          (iv) Employment and training 
                        activities.--Allowable programs and 
                        services carried out under this 
                        subparagraph shall include those 
                        programs and services authorized under 
                        this Act and employment and training 
                        activities authorized under the program 
                        of block grants to States for temporary 
                        assistance for needy families 
                        established under part A of title IV of 
                        the Social Security Act (42 U.S.C. 601 
                        et seq.), including:
                                  (I) Employment in the public 
                                or private sector that is not 
                                subsidized by any public 
                                program.
                                  (II) Employment in the 
                                private sector for which the 
                                employer receives a subsidy 
                                from public funds to offset all 
                                or a part of the wages and 
                                costs of employing an adult.
                                  (III) Employment in the 
                                public sector for which the 
                                employer receives a subsidy 
                                from public funds to offset all 
                                or a part of the wages and 
                                costs of employing an adult.
                                  (IV) A work activity that--
                                          (aa) is performed in 
                                        return for public 
                                        benefits;
                                          (bb) provides an 
                                        adult with an 
                                        opportunity to acquire 
                                        the general skills, 
                                        knowledge, and work 
                                        habits necessary to 
                                        obtain employment;
                                          (cc) is designed to 
                                        improve the 
                                        employability of those 
                                        who cannot find 
                                        unsubsidized 
                                        employment; and
                                          (dd) is supervised by 
                                        an employer, work site 
                                        sponsor, or other 
                                        responsible party on an 
                                        ongoing basis.
                                  (V) Training in the public or 
                                private sector that--
                                          (aa) is given to a 
                                        paid employee while the 
                                        employee is engaged in 
                                        productive work; and
                                          (bb) provides 
                                        knowledge and skills 
                                        essential to the full 
                                        and adequate 
                                        performance of the job.
                                  (VI) Job search, obtaining 
                                employment, or preparation to 
                                seek or obtain employment, 
                                including--
                                          (aa) life skills 
                                        training;
                                          (bb) substance abuse 
                                        treatment or mental 
                                        health treatment, 
                                        determined to be 
                                        necessary and 
                                        documented by a 
                                        qualified medical, 
                                        substance abuse, or 
                                        mental health 
                                        professional; and
                                          (cc) rehabilitation 
                                        activities, supervised 
                                        by a public agency or 
                                        other responsible party 
                                        on an ongoing basis.
                                  (VII) Structured programs and 
                                embedded activities--
                                          (aa) in which adults 
                                        perform work for the 
                                        direct benefit of the 
                                        community under the 
                                        auspices of public or 
                                        nonprofit 
                                        organizations;
                                          (bb) that are limited 
                                        to projects that serve 
                                        useful community 
                                        purposes in fields such 
                                        as health, social 
                                        service, environmental 
                                        protection, education, 
                                        urban and rural 
                                        redevelopment, welfare, 
                                        recreation, public 
                                        facilities, public 
                                        safety, and child care;
                                          (cc) that are 
                                        designed to improve the 
                                        employability of adults 
                                        not otherwise able to 
                                        obtain unsubsidized 
                                        employment;
                                          (dd) that are 
                                        supervised on an 
                                        ongoing basis; and
                                          (ee) with respect to 
                                        which a State agency 
                                        takes into account, to 
                                        the maximum extent 
                                        practicable, the prior 
                                        training, experience, 
                                        and skills of a 
                                        recipient in making 
                                        appropriate community 
                                        service assignments.
                                  (VIII) Career and technical 
                                training programs that are--
                                          (aa) directly related 
                                        to the preparation of 
                                        adults for employment 
                                        in current or emerging 
                                        occupations; and
                                          (bb) supervised on an 
                                        ongoing basis.
                                  (IX) Training or education 
                                for job skills that are--
                                          (aa) required by an 
                                        employer to provide an 
                                        adult with the ability 
                                        to obtain employment or 
                                        to advance or adapt to 
                                        the changing demands of 
                                        the workplace; and
                                          (bb) supervised on an 
                                        ongoing basis.
                                  (X) Education that is--
                                          (aa) related to a 
                                        specific occupation, 
                                        job, or job offer; and
                                          (bb) supervised on an 
                                        ongoing basis.
                                  (XI) In the case of an adult 
                                who has not completed secondary 
                                school or received a 
                                certificate of general 
                                equivalence, regular attendance 
                                that is--
                                          (aa) in accordance 
                                        with the requirements 
                                        of the secondary school 
                                        or course of study, at 
                                        a secondary school or 
                                        in a course of study 
                                        leading to a 
                                        certificate of general 
                                        equivalence; and
                                          (bb) supervised on an 
                                        ongoing basis.
                                  (XII) Providing child care to 
                                enable another recipient of 
                                public benefits to participate 
                                in a community service program 
                                that--
                                          (aa) does not provide 
                                        compensation for the 
                                        community service;
                                          (bb) is a structured 
                                        program designed to 
                                        improve the 
                                        employability of adults 
                                        who participate in the 
                                        program; and
                                          (cc) is supervised on 
                                        an ongoing basis.
                          (v) Sanctions.--Subject to clause 
                        (vi), no work registrant shall be 
                        eligible to participate in the 
                        supplemental nutrition assistance 
                        program if the individual refuses 
                        without good cause to participate in an 
                        employment and training program under 
                        this subparagraph, to the extent 
                        required by the State agency.
                          (vi) Standards.--
                                  (I) In general.--Employment 
                                and training activities under 
                                this subparagraph shall be 
                                considered to be carried out 
                                under section 6(d) as in effect 
                                on the day before the date of 
                                the enactment of the 
                                Agriculture and Nutrition Act 
                                of 2018, including for the 
                                purpose of satisfying any 
                                conditions of participation and 
                                duration of ineligibility.
                                  (II) Standards for certain 
                                employment activities.--The 
                                Secretary shall establish 
                                standards for employment 
                                activities described in 
                                subclauses (I), (II), and (III) 
                                of clause (iv) that ensure that 
                                failure to work for reasons 
                                beyond the control of an 
                                individual, such as involuntary 
                                reduction in hours of 
                                employment, shall not result in 
                                ineligibility.
                                  (III) Participation in other 
                                programs.--Before assigning a 
                                work registrant to mandatory 
                                employment and training 
                                activities, a State agency 
                                shall--
                                          (aa) assess whether 
                                        the work registrant is 
                                        participating in 
                                        substantial employment 
                                        and training activities 
                                        outside of the pilot 
                                        project that are 
                                        expected to result in 
                                        the work registrant 
                                        gaining increased 
                                        skills, training, work, 
                                        or experience 
                                        consistent with the 
                                        objectives of the pilot 
                                        project; and
                                          (bb) if determined to 
                                        be acceptable, count 
                                        hours engaged in the 
                                        activities toward any 
                                        minimum participation 
                                        requirement.
                          (vii) Evaluation and reporting.--
                                  (I) Independent evaluation.--
                                          (aa) In general.--The 
                                        Secretary shall, under 
                                        such terms and 
                                        conditions as the 
                                        Secretary determines to 
                                        be appropriate, conduct 
                                        for each State agency 
                                        that enters into a 
                                        cooperative agreement 
                                        under clause (i) an 
                                        independent 
                                        longitudinal evaluation 
                                        of each pilot project 
                                        of the State agency 
                                        under this 
                                        subparagraph, with 
                                        results reported not 
                                        less frequently than in 
                                        consecutive 12-month 
                                        increments.
                                          (bb) Purpose.--The 
                                        purpose of the 
                                        independent evaluation 
                                        shall be to measure the 
                                        impact of employment 
                                        and training programs 
                                        and services provided 
                                        by each State agency 
                                        under the pilot 
                                        projects on the ability 
                                        of adults in each pilot 
                                        project target 
                                        population to find and 
                                        retain employment that 
                                        leads to increased 
                                        household income and 
                                        reduced reliance on 
                                        public assistance, as 
                                        well as other measures 
                                        of household well-
                                        being, compared to what 
                                        would have occurred in 
                                        the absence of the 
                                        pilot project.
                                          (cc) Methodology.--
                                        The independent 
                                        evaluation shall use 
                                        valid statistical 
                                        methods that can 
                                        determine, for each 
                                        pilot project, the 
                                        difference, if any, 
                                        between supplemental 
                                        nutrition assistance 
                                        and other public 
                                        benefit receipt 
                                        expenditures, 
                                        employment, earnings 
                                        and other impacts as 
                                        determined by the 
                                        Secretary--
                                                  (AA) as a 
                                                result of the 
                                                employment and 
                                                training 
                                                programs and 
                                                services 
                                                provided by the 
                                                State agency 
                                                under the pilot 
                                                project; as 
                                                compared to
                                                  (BB) a 
                                                control group 
                                                that is not 
                                                subject to the 
                                                employment and 
                                                training 
                                                programs and 
                                                services 
                                                provided by the 
                                                State agency 
                                                under the pilot 
                                                project.
                                  (II) Reporting.--Not later 
                                than December 31, 2015, and 
                                each December 31 thereafter 
                                until the completion of the 
                                last evaluation under subclause 
                                (I), 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 and 
                                share broadly, including by 
                                posting on the Internet website 
                                of the Department of 
                                Agriculture, a report that 
                                includes a description of--
                                          (aa) the status of 
                                        each pilot project 
                                        carried out under this 
                                        subparagraph;
                                          (bb) the results of 
                                        the evaluation 
                                        completed during the 
                                        previous fiscal year;
                                          (cc) to the maximum 
                                        extent practicable, 
                                        baseline information 
                                        relevant to the stated 
                                        goals and desired 
                                        outcomes of the pilot 
                                        project;
                                          (dd) the employment 
                                        and training programs 
                                        and services each State 
                                        tested under the pilot, 
                                        including--
                                                  (AA) the 
                                                system of the 
                                                State for 
                                                assessing the 
                                                ability of work 
                                                registrants to 
                                                participate in 
                                                and meet the 
                                                requirements of 
                                                employment and 
                                                training 
                                                activities and 
                                                assigning work 
                                                registrants to 
                                                appropriate 
                                                activities; and
                                                  (BB) the 
                                                employment and 
                                                training 
                                                activities and 
                                                services 
                                                provided under 
                                                the pilot;
                                          (ee) the impact of 
                                        the employment and 
                                        training programs and 
                                        services on appropriate 
                                        employment, income, and 
                                        public benefit receipt 
                                        as well as other 
                                        outcomes among 
                                        households 
                                        participating in the 
                                        pilot project, relative 
                                        to households not 
                                        participating; and
                                          (ff) the steps and 
                                        funding necessary to 
                                        incorporate into State 
                                        employment and training 
                                        programs and services 
                                        the components of the 
                                        pilot projects that 
                                        demonstrate increased 
                                        employment and 
                                        earnings.
                          (viii) Funding.--
                                  (I) In general.--Subject to 
                                subclause (II), from amounts 
                                made available under section 
                                18(a)(1), the Secretary shall 
                                use to carry out this 
                                subparagraph--
                                          (aa) for fiscal year 
                                        2014, $10,000,000; and
                                          (bb) for fiscal year 
                                        2015, $190,000,000.
                                  (II) Limitations.--
                                          (aa) In general.--The 
                                        Secretary shall not 
                                        fund more than 10 pilot 
                                        projects under this 
                                        subparagraph.
                                          (bb) Duration.--Each 
                                        pilot project shall be 
                                        in effect for not more 
                                        than 3 years.
                                  (III) Availability of 
                                funds.--Funds made available 
                                under subclause (I) shall 
                                remain available through 
                                September 30, 2018.
                          (ix) Use of funds.--
                                  (I) In general.--Funds made 
                                available under this 
                                subparagraph for pilot projects 
                                shall be used only for--
                                          (aa) pilot projects 
                                        that comply with this 
                                        Act;
                                          (bb) the program and 
                                        administrative costs of 
                                        carrying out the pilot 
                                        projects;
                                          (cc) the costs 
                                        incurred in developing 
                                        systems and providing 
                                        information and data 
                                        for the independent 
                                        evaluations under 
                                        clause (vii); and
                                          (dd) the costs of the 
                                        evaluations under 
                                        clause (vii).
                                  (II) Maintenance of effort.--
                                Funds made available under this 
                                subparagraph shall be used only 
                                to supplement, not to supplant, 
                                non-Federal funds used for 
                                existing employment and 
                                training activities or 
                                services.
                                  (III) Other funds.--In 
                                carrying out pilot projects, 
                                States may contribute 
                                additional funds obtained from 
                                other sources, including 
                                Federal, State, or private 
                                funds, on the condition that 
                                the use of the contributions is 
                                permissible under Federal law.
  (2) If, in carrying out such program during such fiscal year, 
a State agency incurs costs that exceed the amount allocated to 
the State agency under paragraph (1), the Secretary shall pay 
such State agency an amount equal to 50 per centum of such 
additional costs, subject to the first limitation in paragraph 
(3), including the costs for case management and casework to 
facilitate the transition from economic dependency to self-
sufficiency through work.
  (3) The Secretary shall also reimburse each State agency in 
an amount equal to 50 per centum of the total amount of 
payments made or costs incurred by the State agency in 
connection with transportation costs and other expenses 
reasonably necessary and directly related to participation in 
an employment and training program under section 6(d)(4) or a 
pilot project under paragraph (1)(F), except that the amount of 
the reimbursement for dependent care expenses shall not exceed 
an amount equal to the payment made [under section 
6(d)(4)(I)(i)(II)] for dependent care expenses under section 
6(d)(4) but not more than the applicable local market rate, and 
such reimbursement shall not be made out of funds allocated 
under paragraph (1).
  (4) Funds provided to a State agency under this subsection 
may be used only for operating an employment and training 
program under section 6(d)(4) or a pilot project under 
paragraph (1)(F), and may not be used for carrying out other 
provisions of this Act.
          (5) Monitoring.--
                  (A) In general.--The Secretary shall monitor 
                the employment and training programs carried 
                out by State agencies under section 6(d)(4) and 
                assess the effectiveness of the programs in--
                          (i) preparing members of households 
                        participating in the supplemental 
                        nutrition assistance program for 
                        employment, including the acquisition 
                        of basic skills necessary for 
                        employment; and
                          (ii) increasing the number of 
                        household members who obtain and retain 
                        employment subsequent to participation 
                        in the employment and training 
                        programs.
                  (B) Reporting measures.--
                          (i) In general.--The Secretary, in 
                        consultation with the Secretary of 
                        Labor, shall develop State reporting 
                        measures that identify improvements in 
                        the skills, training, education, or 
                        work experience of members of 
                        households participating in the 
                        supplemental nutrition assistance 
                        program.
                          (ii) Requirements.--Measures shall--
                                  (I) be based on common 
                                measures of performance for 
                                Federal workforce training 
                                programs; and
                                  (II) include additional 
                                indicators that reflect the 
                                challenges facing the types of 
                                members of households 
                                participating in the 
                                supplemental nutrition 
                                assistance program who 
                                participate in a specific 
                                employment and training 
                                component.
                          (iii) State requirements.--The 
                        Secretary shall require that each State 
                        employment and training plan submitted 
                        under section 11(e)(19) identifies 
                        appropriate reporting measures for each 
                        proposed component that serves a 
                        threshold number of participants 
                        determined by the Secretary of at least 
                        100 people a year.
                          (iv) Inclusions.--Reporting measures 
                        described in clause (iii) may include--
                                  (I) the percentage and number 
                                of program participants who 
                                received employment and 
                                training services and are in 
                                unsubsidized employment 
                                subsequent to the receipt of 
                                those services;
                                  (II) the percentage and 
                                number of program participants 
                                who obtain a recognized 
                                credential, including a 
                                registered apprenticeship, or a 
                                regular secondary school 
                                diploma or its recognized 
                                equivalent, while participating 
                                in, or within 1 year after 
                                receiving, employment and 
                                training services;
                                  (III) the percentage and 
                                number of program participants 
                                who are in an education or 
                                training program that is 
                                intended to lead to a 
                                recognized credential, 
                                including a registered 
                                apprenticeship or on-the-job 
                                training program, a regular 
                                secondary school diploma or its 
                                recognized equivalent, or 
                                unsubsidized employment;
                                  (IV) subject to terms and 
                                conditions established by the 
                                Secretary, measures developed 
                                by each State agency to assess 
                                the skills acquisition of 
                                employment and training program 
                                participants that reflect the 
                                goals of the specific 
                                employment and training program 
                                components of the State agency, 
                                which may include, at a 
                                minimum--
                                          (aa) the percentage 
                                        and number of program 
                                        participants who are 
                                        meeting program 
                                        requirements in each 
                                        component of the 
                                        education and training 
                                        program of the State 
                                        agency;
                                          (bb) the percentage 
                                        and number of program 
                                        participants who are 
                                        gaining skills likely 
                                        to lead to employment 
                                        as measured through 
                                        testing, quantitative 
                                        or qualitative 
                                        assessment, or other 
                                        method; and
                                          (cc) the percentage 
                                        and number of program 
                                        participants who do not 
                                        comply with employment 
                                        and training 
                                        requirements and who 
                                        are ineligible under 
                                        section 6(b); and
                                  (V) other indicators approved 
                                by the Secretary.
                  (C) Oversight of State employment and 
                training activities.--The Secretary shall 
                assess State employment and training programs 
                on a periodic basis to ensure--
                          (i) compliance with Federal 
                        employment and training program rules 
                        and regulations;
                          (ii) that program activities are 
                        appropriate to meet the needs of the 
                        individuals referred by the State 
                        agency to an employment and training 
                        program component; and
                          (iii) that reporting measures are 
                        appropriate to identify improvements in 
                        skills, training, work and experience 
                        for participants in an employment and 
                        training program component[; and].
                          [(iv) for States receiving additional 
                        allocations under paragraph (1)(E), any 
                        information the Secretary may require 
                        to evaluate the compliance of the State 
                        agency with paragraph (1), which may 
                        include--
                                  [(I) a report for each fiscal 
                                year of the number of 
                                individuals in the State who 
                                meet the conditions of 
                                paragraph (1)(E)(ii), the 
                                number of individuals the State 
                                agency offers a position in a 
                                program described in 
                                subparagraph (B) or (C) of 
                                section 6(o)(2), and the number 
                                who participate in such a 
                                program;
                                  [(II) a description of the 
                                types of employment and 
                                training programs the State 
                                agency uses to comply with 
                                paragraph (1)(E) and the 
                                availability of those programs 
                                throughout the State; and
                                  [(III) any additional 
                                information the Secretary 
                                determines to be appropriate.]
                  (D) State report.--Each State agency shall 
                annually prepare and submit to the Secretary a 
                report on the State employment and training 
                program that includes, using measures 
                identified under subparagraph (B), the numbers 
                of supplemental nutrition assistance program 
                participants who have gained skills, training, 
                work, or experience that will increase the 
                ability of the participants to obtain regular 
                employment.
                  (E) Modifications to the State employment and 
                training plan.--Subject to terms and conditions 
                established by the Secretary, if the Secretary 
                determines that the performance of a State 
                agency with respect to employment and training 
                outcomes is inadequate, the Secretary may 
                require the State agency to make modifications 
                to the State employment and training plan to 
                improve the outcomes.
                  (F) Periodic evaluation.--Subject to terms 
                and conditions established by the Secretary, 
                not later than October 1, 2016, and not less 
                frequently than once every 5 years thereafter, 
                the Secretary shall conduct a study to review 
                existing practice and research to identify 
                employment and training program components and 
                practices that--
                          (i) effectively assist members of 
                        households participating in the 
                        supplemental nutrition assistance 
                        program in gaining skills, training, 
                        work, or experience that will increase 
                        the ability of the participants to 
                        obtain regular employment; and
                          (ii) are best integrated with 
                        statewide workforce development 
                        systems.
  (i)(1) The Department of Agriculture may use quality control 
information made available under this section to determine 
which project areas have payment error rates (as defined in 
subsection (d)(1)) that impair the integrity of the 
supplemental nutrition assistance program.
  (2) The Secretary may require a State agency to carry out new 
or modified procedures for the certification of households in 
areas identified under paragraph (1) if the Secretary 
determines such procedures would improve the integrity of the 
supplemental nutrition assistance program and be cost 
effective.
  (j) Not later than 180 days after the date of the enactment 
of the Hunger Prevention Act of 1988, and annually thereafter, 
the Secretary shall publish instructional materials 
specifically designed to be used by the State agency to provide 
intensive training to State agency personnel who undertake the 
certification of households that include a member who engages 
in farming.
  (k) Reductions in Payments for Administrative Costs.--
          (1) Definitions.--In this subsection:
                  (A) AFDC program.--The term ``AFDC program'' 
                means the program of aid to families with 
                dependent children established under part A of 
                title IV of the Social Security Act (42 U.S.C. 
                601 et seq. (as in effect, with respect to a 
                State, during the base period for that State)).
                  (B) Base period.--The term ``base period'' 
                means the period used to determine the amount 
                of the State family assistance grant for a 
                State under section 403 of the Social Security 
                Act (42 U.S.C. 603).
                  (C) Medicaid program.--The term ``medicaid 
                program'' means the program of medical 
                assistance under a State plan or under a waiver 
                of the plan under title XIX of the Social 
                Security Act (42 U.S.C. 1396 et seq.).
          (2) Determinations of amounts attributable to 
        benefiting programs.--Not later than 180 days after the 
        date of enactment of this subsection, the Secretary of 
        Health and Human Services, in consultation with the 
        Secretary of Agriculture and the States, shall, with 
        respect to the base period for each State, determine--
                  (A) the annualized amount the State received 
                under section 403(a)(3) of the Social Security 
                Act (42 U.S.C. 603(a)(3) (as in effect during 
                the base period)) for administrative costs 
                common to determining the eligibility of 
                individuals, families, and households eligible 
                or applying for the AFDC program and the 
                supplemental nutrition assistance program, the 
                AFDC program and the medicaid program, and the 
                AFDC program, the supplemental nutrition 
                assistance program, and the medicaid program 
                that were allocated to the AFDC program; and
                  (B) the annualized amount the State would 
                have received under section 403(a)(3) of the 
                Social Security Act (42 U.S.C. 603(a)(3) (as so 
                in effect)), section 1903(a)(7) of the Social 
                Security Act (42 U.S.C. 1396b(a)(7) (as so in 
                effect)), and subsection (a) of this section 
                (as so in effect), for administrative costs 
                common to determining the eligibility of 
                individuals, families, and households eligible 
                or applying for the AFDC program and the 
                supplemental nutrition assistance program, the 
                AFDC program and the medicaid program, and the 
                AFDC program, the supplemental nutrition 
                assistance program, and the medicaid program, 
                if those costs had been allocated equally among 
                such programs for which the individual, family, 
                or household was eligible or applied for.
          (3) Reduction in payment.--
                  (A) In general.--Notwithstanding any other 
                provision of this section, the Secretary shall 
                reduce, for each fiscal year, the amount paid 
                under subsection (a) to each State by an amount 
                equal to the amount determined for the 
                supplemental nutrition assistance program under 
                paragraph (2)(B). The Secretary shall, to the 
                extent practicable, make the reductions 
                required by this paragraph on a quarterly 
                basis.
                  (B) Application.--If the Secretary of Health 
                and Human Services does not make the 
                determinations required by paragraph (2) by 
                September 30, 1999--
                          (i) during the fiscal year in which 
                        the determinations are made, the 
                        Secretary shall reduce the amount paid 
                        under subsection (a) to each State by 
                        an amount equal to the sum of the 
                        amounts determined for the supplemental 
                        nutrition assistance program under 
                        paragraph (2)(B) for fiscal year 1999 
                        through the fiscal year during which 
                        the determinations are made; and
                          (ii) for each subsequent fiscal year, 
                        subparagraph (A) applies.
          (4) Appeal of determinations.--
                  (A) In general.--Not later than 5 days after 
                the date on which the Secretary of Health and 
                Human Services makes any determination required 
                by paragraph (2) with respect to a State, the 
                Secretary shall notify the chief executive 
                officer of the State of the determination.
                  (B) Review by administrative law judge.--
                          (i) In general.--Not later than 60 
                        days after the date on which a State 
                        receives notice under subparagraph (A) 
                        of a determination, the State may 
                        appeal the determination, in whole or 
                        in part, to an administrative law judge 
                        of the Department of Health and Human 
                        Services by filing an appeal with the 
                        administrative law judge.
                          (ii) Documentation.--The 
                        administrative law judge shall consider 
                        an appeal filed by a State under clause 
                        (i) on the basis of such documentation 
                        as the State may submit and as the 
                        administrative law judge may require to 
                        support the final decision of the 
                        administrative law judge.
                          (iii) Review.--In deciding whether to 
                        uphold a determination, in whole or in 
                        part, the administrative law judge 
                        shall conduct a thorough review of the 
                        issues and take into account all 
                        relevant evidence.
                          (iv) Deadline.--Not later than 60 
                        days after the date on which the record 
                        is closed, the administrative law judge 
                        shall--
                                  (I) make a final decision 
                                with respect to an appeal filed 
                                under clause (i); and
                                  (II) notify the chief 
                                executive officer of the State 
                                of the decision.
                  (C) Review by departmental appeals board.--
                          (i) In general.--Not later than 30 
                        days after the date on which a State 
                        receives notice under subparagraph (B) 
                        of a final decision, the State may 
                        appeal the decision, in whole or in 
                        part, to the Departmental Appeals Board 
                        established in the Department of Health 
                        and Human Services (referred to in this 
                        paragraph as the ``Board'') by filing 
                        an appeal with the Board.
                          (ii) Review.--The Board shall review 
                        the decision on the record.
                          (iii) Deadline.--Not later than 60 
                        days after the date on which the appeal 
                        is filed, the Board shall--
                                  (I) make a final decision 
                                with respect to an appeal filed 
                                under clause (i); and
                                  (II) notify the chief 
                                executive officer of the State 
                                of the decision.
                  (D) Judicial review.--The determinations of 
                the Secretary of Health and Human Services 
                under paragraph (2), and a final decision of 
                the administrative law judge or Board under 
                subparagraphs (B) and (C), respectively, shall 
                not be subject to judicial review.
                  (E) Reduced payments pending appeal.--The 
                pendency of an appeal under this paragraph 
                shall not affect the requirement that the 
                Secretary reduce payments in accordance with 
                paragraph (3).
          (5) Allocation of administrative costs.--
                  (A) In general.--No funds or expenditures 
                described in subparagraph (B) may be used to 
                pay for costs--
                          (i) eligible for reimbursement under 
                        subsection (a) (or costs that would 
                        have been eligible for reimbursement 
                        but for this subsection); and
                          (ii) allocated for reimbursement to 
                        the supplemental nutrition assistance 
                        program under a plan submitted by a 
                        State to the Secretary of Health and 
                        Human Services to allocate 
                        administrative costs for public 
                        assistance programs.
                  (B) Funds and expenditures.--Subparagraph (A) 
                applies to--
                          (i) funds made available to carry out 
                        part A of title IV, or title XX, of the 
                        Social Security Act (42 U.S.C. 601 et 
                        seq., 1397 et seq.);
                          (ii) expenditures made as qualified 
                        State expenditures (as defined in 
                        section 409(a)(7)(B) of that Act (42 
                        U.S.C. 609(a)(7)(B)));
                          (iii) any other Federal funds (except 
                        funds provided under subsection (a)); 
                        and
                          (iv) any other State funds that are--
                                  (I) expended as a condition 
                                of receiving Federal funds; or
                                  (II) used to match Federal 
                                funds under a Federal program 
                                other than the supplemental 
                                nutrition assistance program.

                RESEARCH, DEMONSTRATION, AND EVALUATIONS

  Sec. 17. (a)(1) The Secretary may enter into contracts with 
or make grants to public or private organizations or agencies 
under this section to undertake research that will help improve 
the administration and effectiveness of the supplemental 
nutrition assistance program in delivering nutrition-related 
benefits. The waiver authority of the Secretary under 
subsection (b) shall extend to all contracts and grants under 
this section.
  (2) The Secretary may, on application, permit not more than 
two State agencies to establish procedures that allow 
households whose monthly supplemental nutrition assistance 
program benefits do not exceed $20, at their option, to 
receive, in lieu of their supplemental nutrition assistance 
program benefits for the initial period under section 8 and 
their regular allotment in following months, and at intervals 
of up to 3 months thereafter, aggregate allotments not to 
exceed $60 and covering not more than 3 months' benefits. The 
allotments shall be provided in accordance with paragraphs (3) 
and (9) of section 11(e) (except that no household shall begin 
to receive combined allotments under this section until it has 
complied with all applicable verification requirements of 
section 11(e)(3)) and (with respect to the first aggregate 
allotment so issued) within 40 days of the last benefit 
issuance.
  (b)(1)(A) The Secretary may conduct on a trial basis, in one 
or more areas of the United States, pilot or experimental 
projects designed to test program changes that might increase 
the efficiency of the supplemental nutrition assistance program 
and improve the delivery of supplemental nutrition assistance 
program benefits to eligible households, and may waive any 
requirement of this Act to the extent necessary for the project 
to be conducted.
                  (B) Project requirements.--
                          (i) Program goal.--The Secretary may 
                        not conduct a project under 
                        subparagraph (A) unless--
                                  (I) the project is consistent 
                                with the goal of the 
                                supplemental nutrition 
                                assistance program of providing 
                                food assistance to raise levels 
                                of nutrition among low-income 
                                individuals; and
                                  (II) the project includes an 
                                evaluation to determine the 
                                effects of the project.
                          (ii) Permissible projects.--The 
                        Secretary may conduct a project under 
                        subparagraph (A) to--
                                  (I) improve program 
                                administration;
                                  (II) increase the self-
                                sufficiency of supplemental 
                                nutrition assistance program 
                                recipients;
                                  (III) test innovative welfare 
                                reform strategies; or
                                  (IV) allow greater conformity 
                                with the rules of other 
                                programs than would be allowed 
                                but for this paragraph.
                          (iii) Restrictions on permissible 
                        projects.--If the Secretary finds that 
                        a project under subparagraph (A) would 
                        reduce benefits by more than 20 percent 
                        for more than 5 percent of households 
                        in the area subject to the project (not 
                        including any household whose benefits 
                        are reduced due to a failure to comply 
                        with work or other conduct 
                        requirements), the project--
                                  (I) may not include more than 
                                15 percent of the number of 
                                households in the State 
                                receiving supplemental 
                                nutrition assistance program 
                                benefits; and
                                  (II) shall continue for not 
                                more than 5 years after the 
                                date of implementation, unless 
                                the Secretary approves an 
                                extension requested by the 
                                State agency at any time.
                          (iv) Impermissible projects.--The 
                        Secretary may not conduct a project 
                        under subparagraph (A) that--
                                  (I) involves the payment of 
                                the value of an allotment in 
                                the form of cash or otherwise 
                                providing benefits in a form 
                                not restricted to the purchase 
                                of food, unless the project was 
                                approved prior to the date of 
                                enactment of this subparagraph;
                                  (II) has the effect of 
                                substantially transferring 
                                funds made available under this 
                                Act to services or benefits 
                                provided primarily through 
                                another public assistance 
                                program, or using the funds for 
                                any purpose other than the 
                                purchase of food, program 
                                administration, or an 
                                employment or training program;
                                  (III) is inconsistent with--
                                          (aa) paragraphs (4) 
                                        and (5) of section 
                                        [3(n)] 3(m);
                                          (bb) the last 
                                        sentence of section 
                                        5(a), insofar as a 
                                        waiver denies 
                                        assistance to an 
                                        otherwise eligible 
                                        household or individual 
                                        if the household or 
                                        individual has not 
                                        failed to comply with 
                                        any work, behavioral, 
                                        or other conduct 
                                        requirement under this 
                                        or another program;
                                          (cc) section 5(c)(2);
                                          (dd) paragraph 
                                        (2)(B), (4)(F)(i), or 
                                        (4)(K) of section 6(d);
                                          (ee) section 8(b);
                                          (ff) section 
                                        11(e)(2)(B);
                                          (gg) the time 
                                        standard under section 
                                        11(e)(3);
                                          (hh) subsection (a), 
                                        (c), (g), (h)(1)(F), 
                                        (h)(2), or (h)(3) of 
                                        section 16;
                                          (ii) this paragraph; 
                                        or
                                          (jj) subsection 
                                        (a)(1) or (g)(1) of 
                                        section 20 as in effect 
                                        on the day before the 
                                        date of the enactment 
                                        of the Agriculture and 
                                        Nutrition Act of 2018;
                                  (IV) modifies the operation 
                                of section 5 so as to have the 
                                effect of--
                                          (aa) increasing the 
                                        shelter deduction to 
                                        households with no out-
                                        of-pocket housing costs 
                                        or housing costs that 
                                        consume a low 
                                        percentage of the 
                                        household's income; or
                                          (bb) absolving a 
                                        State from acting with 
                                        reasonable promptness 
                                        on substantial reported 
                                        changes in income or 
                                        household size (except 
                                        that this subclause 
                                        shall not apply with 
                                        regard to changes 
                                        related to supplemental 
                                        nutrition assistance 
                                        program deductions);
                                  (V) is not limited to a 
                                specific time period;
                                  (VI) waives a provision of 
                                section 26; or
                                  (VII) waives a provision of 
                                section [7(i)] 7(h).
                          (v) Additional included projects.--A 
                        pilot or experimental project may 
                        include projects involving the payment 
                        of the value of allotments or the 
                        average value of allotments by 
                        household size in the form of cash to 
                        eligible households all of whose 
                        members are age sixty-five or over or 
                        any of whose members are entitled to 
                        supplemental security income benefits 
                        under title XVI of the Social Security 
                        Act or are receiving assistance under a 
                        State program funded under part A of 
                        title IV of the Social Security Act (42 
                        U.S.C. 601 et seq.), the use of 
                        identification mechanisms that do not 
                        invade a household's privacy, and the 
                        use of food checks or other voucher-
                        type forms in place of EBT cards.
                          (vi) Cash payment pilot projects.--
                        Subject to the availability of 
                        appropriations under section 18(a), any 
                        pilot or experimental project 
                        implemented under this paragraph and 
                        operating as of October 1, 1981, 
                        involving the payment of the value of 
                        allotments in the form of cash to 
                        eligible households all of whose 
                        members are either age sixty-five or 
                        over or entitled to supplemental 
                        security income benefits under title 
                        XVI of the Social Security Act shall be 
                        continued if the State so requests.
  (C)(i) No waiver or demonstration program shall be approved 
under this Act after the date of enactment of this subparagraph 
unless--
          (I) any household whose food assistance is issued in 
        a form other than EBT cards has its allotment increased 
        to the extent necessary to compensate for any State or 
        local sales tax that may be collected in all or part of 
        the area covered by the demonstration project, the tax 
        on purchases of food by any such household is waived, 
        or the Secretary determines on the basis of information 
        provided by the State agency that the increase is 
        unnecessary on the basis of the limited nature of the 
        items subject to the State or local sales tax; and
          (II) the State agency conducting the demonstration 
        project pays the cost of any increased allotments.
  (ii) Clause (i) shall not apply if a waiver or demonstration 
project already provides a household with assistance that 
exceeds that which the household would otherwise be eligible to 
receive by more than the estimated amount of any sales tax on 
the purchases of food that would be collected from the 
household in the project area in which the household resides.
                  (D) Response to waivers.--
                          (i) Response.--Not later than 60 days 
                        after the date of receiving a request 
                        for a waiver under subparagraph (A), 
                        the Secretary shall provide a response 
                        that--
                                  (I) approves the waiver 
                                request;
                                  (II) denies the waiver 
                                request and describes any 
                                modification needed for 
                                approval of the waiver request;
                                  (III) denies the waiver 
                                request and describes the 
                                grounds for the denial; or
                                  (IV) requests clarification 
                                of the waiver request.
                          (ii) Failure to respond.--If the 
                        Secretary does not provide a response 
                        in accordance with clause (i), the 
                        waiver shall be considered approved, 
                        unless the approval is specifically 
                        prohibited by this Act.
                          (iii) Notice of denial.--On denial of 
                        a waiver request under clause (i)(III), 
                        the Secretary shall provide a copy of 
                        the waiver request and a description of 
                        the reasons for the denial to the 
                        Committee on Agriculture of the House 
                        of Representatives and the Committee on 
                        Agriculture, Nutrition, and Forestry of 
                        the Senate.
  [(2) The Secretary shall, jointly with the Secretary of 
Labor, implement two pilot projects involving the performance 
of work in return for supplemental nutrition assistance program 
benefits in each of the seven administrative regions of the 
Food and Nutrition Service of the Department of Agriculture, 
such projects to be (A) appropriately divided in each region 
between locations that are urban and rural in characteristics 
and among locations selected to provide a representative cross-
section of political subdivisions in the States and (B) 
submitted for approval prior to project implementation, 
together with the names of the agencies or organizations that 
will be engaged in such projects, to the Committee on 
Agriculture of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate. Under 
such pilot projects, any person who is subject to the work 
registration requirements pursuant to section 6(d) of this Act, 
and is a member of a household that does not have earned income 
equal to or exceeding the allotment to which the household is 
otherwise entitled pursuant to section 8(a) of this Act, shall 
be ineligible to participate in the supplemental nutrition 
assistance program as a member of any household during any 
month in which such person refuses, after not being offered 
employment in the private sector of the economy for more than 
thirty days (ten days in at least one pilot project area 
designated by the Secretary) after the initial registration for 
employment referred to in section 6(d)(1)(A)(i) of this Act, to 
accept an offer of employment from a political subdivision or 
provider pursuant to a program carried out under title I of the 
Workforce Innovation and Opportunity Act, for which employment 
compensation shall be paid in the form of the allotment to 
which the household is otherwise entitled pursuant to section 
8(a) of this Act, with each hour of employment entitling the 
household to a portion of the allotment equal in value to 100 
per centum of the Federal minimum hourly rate under the Fair 
Labor Standards Act of 1938, as amended (29 U.S.C. 206(a)(1)); 
which employment shall not, together with any other hours 
worked in any other capacity by such person exceed forty hours 
a week; and which employment shall not be used by the employer 
to fill a job opening created by the action of such employer in 
laying off or terminating the employment of any regular 
employee not supported under this paragraph in anticipation of 
filling the vacancy so created by hiring an employee or 
employees to be supported under this paragraph, if all of the 
jobs supported under the program have been made available to 
participants in the program before the political subdivision or 
provider providing the jobs extends an offer of employment 
under this paragraph, and if the political subdivision or 
provider, in employing the person, complies with the 
requirements of Federal law that relate to the program. The 
Secretary and the Secretary of Labor shall jointly issue 
reports to the appropriate committees of Congress on the 
progress of such pilot projects no later than six and twelve 
months following enactment of this Act, shall issue interim 
reports no later than October 1, 1979, October 1, 1980, and 
March 30, 1981, shall issue a final report describing the 
results of such pilot projects based upon their operation from 
their commencement through the fiscal year ending September 30, 
1981, and shall pay to the agencies or organizations operating 
such pilot projects 50 per centum of all administrative costs 
involved in such operation.]
  (3)(A) The Secretary may conduct demonstration projects to 
test improved consistency or coordination between the 
supplemental nutrition assistance program employment and 
training program and the Job Opportunities and Basic Skills 
program under title IV of the Social Security Act (42 U.S.C. 
601 et seq.).
  (B) Notwithstanding paragraph (1), the Secretary may, as part 
of a project authorized under this paragraph, waive 
requirements under section 6(d) to permit a State to operate an 
employment and training program for supplemental nutrition 
assistance program recipients on the same terms and conditions 
under which the State operates its Job Opportunities and Basic 
Skills program for recipients of aid to families with dependent 
children under part F of title IV of the Social Security Act 
(42 U.S.C. 681 et seq.). Any work experience program conducted 
as part of the project shall be conducted in conformity with 
section 482(f) of such Act (42 U.S.C. 682(f)).
  (C) A State seeking such a waiver shall provide assurances 
that the resulting employment and training program shall meet 
the requirements of subsections (a)(19) and (g) of section 402 
of such Act (42 U.S.C. 602) (but not including the provision of 
transitional benefits under clauses (ii) through (vii) of 
section 402(g)(1)(A)) and sections 481 through 487 of such Act 
(42 U.S.C. 681 through 687). Each reference to ``aid to 
families with dependent children'' in such sections shall be 
deemed to be a reference to supplemental nutrition assistance 
program benefits for purposes of the demonstration project.
  (D) Notwithstanding the other provisions of this paragraph, 
participation in an employment and training activity in which 
supplemental nutrition assistance program benefits are 
converted to cash shall occur only with the consent of the 
participant.
  (E) For the purposes of any project conducted under this 
paragraph, the provisions of this Act affecting the rights of 
recipients may be waived to the extent necessary to conform to 
the provisions of section 402, and sections 481 through 487, of 
the Social Security Act.
  (F) At least 60 days prior to granting final approval of a 
project under this paragraph, the Secretary shall publish the 
terms and conditions for any demonstration project conducted 
under the paragraph for public comment in the Federal Register 
and shall notify the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate.
  (G) Waivers may be granted under this paragraph to conduct 
projects at any one time in a total of up to 60 project areas 
(or parts of project areas), as such areas are defined in 
regulations in effect on January 1, 1990.
  (H) A waiver for a change in program rules may be granted 
under this paragraph only for a demonstration project that has 
been approved by the Secretary, that will be evaluated 
according to criteria prescribed by the Secretary, and that 
will be in operation for no more than 4 years.
  (I) The Secretary may not grant a waiver under this paragraph 
on or after the date of enactment of this subparagraph. Any 
reference in this paragraph to a provision of title IV of the 
Social Security Act shall be deemed to be a reference to such 
provision as in effect on the day before such date.
  (c) The Secretary shall develop and implement measures for 
evaluating, on an annual or more frequent basis, the 
effectiveness of the supplemental nutrition assistance program 
in achieving its stated objectives, including, but not limited 
to, the program's impact upon the nutritional and economic 
status of participating households, the program's impact upon 
all sectors of the agricultural economy, including farmers and 
ranchers, as well as retail food stores, and the program's 
relative fairness to households of different income levels, 
different age composition, different size, and different 
regions of residence. Further, the Secretary shall, by way of 
making contracts with or grants to public or private 
organizations or agencies, implement pilot programs to test 
various means of measuring on a continuing basis the 
nutritional status of low income people, with special emphasis 
on people who are eligible for supplemental nutrition 
assistance, in order to develop minimum common criteria and 
methods for systematic nutrition monitoring that could be 
applied on a nationwide basis. The locations of the pilot 
programs shall be selected to provide a representative 
geographic and demographic cross-section of political 
subdivisions that reflect natural usage patterns of health and 
nutritional services and that contain high proportions of low 
income people. The Secretary shall report on the progress of 
these pilot programs on an annual basis commencing on July 1, 
1982, to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate, together with such recommendations 
as the Secretary deems appropriate.
  (d) Employment Initiatives Program.--
          (1) Election to participate.--
                  (A) In general.--Subject to the other 
                provisions of this subsection, a State may 
                elect to carry out an employment initiatives 
                program under this subsection.
                  (B) Requirement.--A State shall be eligible 
                to carry out an employment initiatives program 
                under this subsection only if not less than 50 
                percent of the households in the State that 
                received supplemental nutrition assistance 
                program benefits during the summer of 1993 also 
                received benefits under a State program funded 
                under part A of title IV of the Social Security 
                Act (42 U.S.C. 601 et seq.) during the summer 
                of 1993.
          (2) Procedure.--
                  (A) In general.--A State that has elected to 
                carry out an employment initiatives program 
                under paragraph (1) may use amounts equal to 
                the allotments that would otherwise be issued 
                to a household under the supplemental nutrition 
                assistance program, but for the operation of 
                this subsection, to provide cash benefits in 
                lieu of the allotments to the household if the 
                household is eligible under paragraph (3).
                  (B) Payment.--The Secretary shall pay to each 
                State that has elected to carry out an 
                employment initiatives program under paragraph 
                (1) an amount equal to the value of the 
                allotment that each household participating in 
                the program in the State would be eligible to 
                receive under this Act but for the operation of 
                this subsection.
                  (C) Other provisions.--For purposes of the 
                supplemental nutrition assistance program 
                (other than this subsection)--
                          (i) cash assistance under this 
                        subsection shall be considered to be an 
                        allotment; and
                          (ii) each household receiving cash 
                        benefits under this subsection shall 
                        not receive any other supplemental 
                        nutrition assistance program benefits 
                        during the period for which the cash 
                        assistance is provided.
                  (D) Additional payments.--Each State that has 
                elected to carry out an employment initiatives 
                program under paragraph (1) shall--
                          (i) increase the cash benefits 
                        provided to each household 
                        participating in the program in the 
                        State under this subsection to 
                        compensate for any State or local sales 
                        tax that may be collected on purchases 
                        of food by the household, unless the 
                        Secretary determines on the basis of 
                        information provided by the State that 
                        the increase is unnecessary on the 
                        basis of the limited nature of the 
                        items subject to the State or local 
                        sales tax; and
                          (ii) pay the cost of any increase in 
                        cash benefits required by clause (i).
          (3) Eligibility.--A household shall be eligible to 
        receive cash benefits under paragraph (2) if an adult 
        member of the household--
                  (A) has worked in unsubsidized employment for 
                not less than the preceding 90 days;
                  (B) has earned not less than $350 per month 
                from the employment referred to in subparagraph 
                (A) for not less than the preceding 90 days;
                  (C)(i) is receiving benefits under a State 
                program funded under part A of title IV of the 
                Social Security Act (42 U.S.C. 601 et seq.); or
                  (ii) was receiving benefits under a State 
                program funded under part A of title IV of the 
                Social Security Act (42 U.S.C. 601 et seq.) at 
                the time the member first received cash 
                benefits under this subsection and is no longer 
                eligible for the State program because of 
                earned income;
                  (D) is continuing to earn not less than $350 
                per month from the employment referred to in 
                subparagraph (A); and
                  (E) elects to receive cash benefits in lieu 
                of supplemental nutrition assistance program 
                benefits under this subsection.
          (4) Evaluation.--A State that operates a program 
        under this subsection for 2 years shall provide to the 
        Secretary a written evaluation of the impact of cash 
        assistance under this subsection. The State agency, 
        with the concurrence of the Secretary, shall determine 
        the content of the evaluation.
  (e) The Secretary shall conduct a study of the effects of 
reductions made in benefits provided under this Act pursuant to 
part 1 of subtitle A of title I of the Omnibus Budget 
Reconciliation Act of 1981, the Food Stamp and Commodity 
Distribution Amendments of 1981, the Food Stamp Act Amendments 
of 1982, and any other laws enacted by the Ninety-seventh 
Congress which affect the supplemental nutrition assistance 
program. The study shall include a study of the effect of 
retrospective accounting and periodic reporting procedures 
established under such Acts, including the impact on benefit 
and administrative costs and on error rates and the degree to 
which eligible households are denied supplemental nutrition 
assistance program benefits for failure to file complete 
periodic reports. 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 
an interim report on the results of such study no later than 
February 1, 1984, and a final report on the results of such 
study no later than March 1, 1985.
  (f) In order to encourage States to plan, design, develop, 
and implement a system for making supplemental nutrition 
assistance program benefits available through the use of 
intelligent benefit cards or other automated or electronic 
benefit delivery systems, the Secretary may conduct one or more 
pilot or experimental projects, subject to the restrictions 
imposed by subsection (b)(1) and section 7(f)(2), designed to 
test whether the use of such cards or systems can enhance the 
efficiency and effectiveness of program operations while 
ensuring that individuals receive correct benefit amounts on a 
timely basis. Intelligent benefit cards developed under such a 
demonstration project shall contain information, encoded on a 
computer chip embedded in a credit card medium, including the 
eligibility of the individual and the amount of benefits to 
which such individual is entitled. Any other automated or 
electronic benefit delivery system developed under such a 
demonstration project shall be able to use a plastic card to 
access such information from a data file.
  (g) In order to assess the effectiveness of the employment 
and training programs established under section 6(d) in placing 
individuals into the work force and withdrawing such 
individuals from the supplemental nutrition assistance program, 
the Secretary is authorized to carry out studies comparing the 
pre- and post-program labor force participation, wage rates, 
family income, level of receipt of supplemental nutrition 
assistance program and other transfer payments, and other 
relevant information, for samples of participants in such 
employment and training programs as compared to the appropriate 
control or comparison groups that did not participate in such 
programs. Such studies shall, to the maximum extent possible--
          (1) collect such data for up to 3 years after the 
        individual has completed the employment and training 
        program; and
          (2) yield results that can be generalized to the 
        national program as a whole.
The results of such studies and reports shall be considered in 
developing or updating the performance standards required under 
section 6.
  (h) The Secretary shall conduct a sufficient number of 
demonstration projects to evaluate the effects, in both rural 
and urban areas, of including in financial resources under 
section 5(g) the fair market value of licensed vehicles to the 
extent the value of each vehicle exceeds $4,500, but excluding 
the value of--
          (1) any licensed vehicle that is used to produce 
        earned income, necessary for transportation of an 
        elderly or physically disabled household member, or 
        used as the household's home; and
          (2) one licensed vehicle used to obtain, continue, or 
        seek employment (including travel to and from work), 
        used to pursue employment-related education or 
        training, or used to secure food or the benefits of the 
        supplemental nutrition assistance program.
  (i) The Secretary shall conduct, under such terms and 
conditions as the Secretary shall prescribe, for a period not 
to exceed 4 years, projects to test allowing not more than 
11,000 eligible households, in the aggregate, to accumulate 
resources up to $10,000 each (which shall be excluded from 
consideration as a resource) for later expenditure for a 
purpose directly related to improving the education, training, 
or employability (including self-employment) of household 
members, for the purchase of a home for the household, for a 
change of the household's residence, or for making major 
repairs to the household's home.
  (j) The Secretary shall use up to $4,000,000 of the funds 
provided in advance in appropriations Acts for projects 
authorized by this section to conduct demonstration projects in 
which State or local supplemental nutrition assistance program 
agencies test innovative ideas for working with State or local 
law enforcement agencies to investigate and prosecute benefit 
trafficking.
  (k) Pilot Projects to Evaluate Health and Nutrition Promotion 
in the Supplemental Nutrition Assistance Program.--
          (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 households eligible for or 
                participating in the supplemental nutrition 
                assistance program; and
                  (B) to reduce overweight, obesity (including 
                childhood obesity), and associated co-
                morbidities in the United States.
          (2) Grants.--
                  (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 information as 
                the Secretary may require.
                  (C) Selection criteria.--Pilot projects shall 
                be evaluated 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 improvement to the health 
                        and wellness of children;
                          (vi) other criteria, as determined by 
                        the Secretary.
                  (D) Use of funds.--Funds provided under this 
                paragraph 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 participating in the supplemental nutrition 
        assistance program result from projects that--
                  (A) increase the supplemental nutrition 
                assistance purchasing power of the 
                participating households by providing increased 
                supplemental nutrition assistance program 
                benefit allotments to the participating 
                households;
                  (B) increase access to farmers markets by 
                participating 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 availability of 
                healthy foods to participating households;
                  (D) subject authorized supplemental nutrition 
                assistance 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
                  (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 evaluation under 
                                subclause (I) shall use 
                                rigorous methodologies, 
                                particularly random assignment 
                                or other methods that are 
                                capable of producing 
                                scientifically valid 
                                information regarding which 
                                activities are effective.
                          (ii) Costs.--The Secretary may use 
                        funds provided 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 subparagraph (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 appropriate 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.
                  (B) Mandatory funding.--Out of any funds made 
                available under section 18, on October 1, 2008, 
                the Secretary shall make available $20,000,000 
                to carry out a project described in paragraph 
                (3)(E), to remain available until expended.
  (l) Cooperation with Program Research and Evaluation.--
Subject to the requirements of this Act, including protections 
under section 11(e)(8), States, State agencies, local agencies, 
institutions, facilities such as data consortiums, and 
contractors participating in programs authorized under this Act 
shall--
          (1) cooperate with officials and contractors acting 
        on behalf of the Secretary in the conduct of 
        evaluations and studies under this Act; and
          (2) submit information at such time and in such 
        manner as the Secretary may require.
  (m) Pilot Projects to Encourage the Use of Public-private 
Partnerships Committed to Addressing Food Insecurity.--
          (1) In general.--The Secretary may, on application, 
        permit not more than 10 eligible entities to carry out 
        pilot projects to support public-private partnerships 
        that address food insecurity and poverty.
          (2) Definition.--For purposes of this subsection, an 
        ``eligible entity'' means--
                  (A) a State;
                  (B) a unit of local government;
                  (C) a nonprofit organization;
                  (D) a community-based organization; and
                  (E) an institution of higher education.
          (3) Project requirements.--Projects approved under 
        this subsection shall be limited to 2 years in length 
        and evaluate the impact of the ability of eligible 
        entities to--
                  (A) improve the effectiveness and impact of 
                the supplemental nutrition assistance program;
                  (B) develop food security solutions that are 
                contextualized to the needs of a community or 
                region; and
                  (C) strengthen the capacity of communities to 
                address food insecurity and poverty.
          (4) Reporting.--Participating entities shall report 
        annually to the Secretary who shall submit a final 
        report to the Committee on Agriculture of the House of 
        Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate. Such report 
        shall include--
                  (A) a summary of the activities conducted 
                under the pilot projects;
                  (B) an assessment of the effectiveness of the 
                pilot projects; and
                  (C) best practices regarding the use of 
                public-private partnerships to improve the 
                effectiveness of public benefit programs to 
                address food insecurity and poverty.
          (5) Authorization and advance availability of 
        appropriations.--
                  (A) Authorization of appropriations.--There 
                is authorized to be appropriated to carry out 
                this subsection $5,000,000 to remain available 
                until expended.
                  (B) Appropriation in advance.--Only funds 
                appropriated under subparagraph (A) in advance 
                specifically to carry out this subsection shall 
                be available to carry out this subsection.

                    AUTHORIZATION FOR APPROPRIATIONS

  Sec. 18. (a)(1) To carry out this Act, there are authorized 
to be appropriated such sums as are necessary for each of 
fiscal years 2008 through [2018] 2023. Not to exceed one-fourth 
of 1 per centum of the previous year's appropriation is 
authorized in each such fiscal year to carry out the provisions 
of section 17 of this Act, subject to paragraph (3).
  (2) No funds authorized to be appropriated under this Act or 
any other Act of Congress shall be used by any person, firm, 
corporation, group, or organization at any time, directly or 
indirectly, to interfere with or impede the implementation of 
any provision of this Act or any rule, regulation, or project 
thereunder, except that this limitation shall not apply to the 
provision of legal and related assistance in connection with 
any proceeding or action before any State or Federal agency or 
court. The President shall ensure that this paragraph is 
complied with by such order or other means as the President 
deems appropriate.
  (3)(A) Of the amounts made available under the second 
sentence of paragraph (1), not more than $2,000,000 in any 
fiscal year may be used by the Secretary to make 2-year 
competitive grants that will--
          (i) enhance interagency cooperation in nutrition 
        education activities; and
          (ii) develop cost effective ways to inform people 
        eligible for supplemental nutrition assistance program 
        benefits about nutrition, resource management, and 
        community nutrition education programs[, such as the 
        expanded food and nutrition education program].
  (B) The Secretary shall make awards under this paragraph to 
one or more State cooperative extension services (as defined in 
section 1404 of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3103)) who shall 
administer the grants in coordination with other State or local 
agencies serving low-income people.
  (C) Each project shall include an evaluation component and 
shall develop an implementation plan for replication in other 
States.
  (D) The Secretary shall report to the appropriate committees 
of Congress on the results of the projects and shall 
disseminate the results through the cooperative extension 
service system and to State human services and health 
department offices, local supplemental nutrition assistance 
program offices, and other entities serving low-income 
households.
  (b) In any fiscal year, the Secretary shall limit the value 
of those allotments issued to an amount not in excess of the 
appropriation for such fiscal year. Notwithstanding any other 
provision of this Act, if in any fiscal year the Secretary 
finds that the requirements of participating States will exceed 
the appropriation, the Secretary shall direct State agencies to 
reduce the value of such allotments to be issued to households 
certified as eligible to participate in the supplemental 
nutrition assistance program to the extent necessary to comply 
with the provisions of this subsection.
  (c) In prescribing the manner in which allotments will be 
reduced under subsection (b) of this section, the Secretary 
shall ensure that such reductions reflect, to the maximum 
extent practicable, the ratio of household income, determined 
under sections 5(d) and 5(e) of this Act, to the income 
standards of eligibility, for households of equal size, 
determined under section 5(c) of this Act. The Secretary may, 
in prescribing the manner in which allotments will be reduced, 
establish (1) special provisions applicable to persons sixty 
years of age or over and persons who are physically or mentally 
handicapped or otherwise disabled, and (2) minimum allotments 
after any reductions are otherwise determined under this 
section.
  (d) Not later than sixty days after the issuance of a report 
under subsection (a) of this section in which the Secretary 
expresses the belief that reductions in the value of allotments 
to be issued to households certified to participate in the 
supplemental nutrition assistance program will be necessary, 
the Secretary shall take the requisite action to reduce 
allotments in accordance with the requirements of this section. 
Not later than seven days after the Secretary takes any action 
to reduce allotments under this section, the Secretary shall 
furnish the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate a statement setting forth (1) the 
basis of the Secretary's determination, (2) the manner in which 
the allotments will be reduced, and (3) the action that has 
been taken by the Secretary to reduce the allotments.
  (e) Funds collected from claims against households or State 
agencies, including claims collected pursuant to section 7(f), 
subsections (g) and (h) of section 11, subsections (b) and (c) 
of section 13, and section 16(c)(1), claims resulting from 
resolution of audit findings, and claims collected from 
households receiving overissuances, shall be credited to the 
supplemental nutrition assistance program appropriation account 
for the fiscal year in which the collection occurs. Funds 
provided to State agencies under section 16(c) of this Act 
shall be paid from the appropriation account for the fiscal 
year in which the funds are provided.
  (f) No funds appropriated to carry out this Act may be 
transferred to the Office of the Inspector General, or the 
Office of the General Counsel, of the Department of 
Agriculture.
  (g) Ban on Recruitment and Promotion Activities.--
          (1) In general.--Except as provided in paragraph (2), 
        no funds authorized to be appropriated under this Act 
        shall be used by the Secretary for--
                  (A) recruitment activities designed to 
                persuade an individual to apply for 
                supplemental nutrition assistance program 
                benefits;
                  (B) television, radio, or billboard 
                advertisements that are designed to promote 
                supplemental nutrition assistance program 
                benefits and enrollment; or
                  (C) any agreements with foreign governments 
                designed to promote supplemental nutrition 
                assistance program benefits and enrollment.
          (2) Limitation.--Paragraph (1)(B) shall not apply to 
        programmatic activities undertaken with respect to 
        benefits made under section 5(h).
  (h) Ban on Recruitment by Entities that Receive Funds.--The 
Secretary shall issue regulations that prohibit entities that 
receive funds under this Act to compensate any person for 
conducting outreach activities relating to participation in, or 
for recruiting individuals to apply to receive benefits under, 
the supplemental nutrition assistance program, if the amount of 
the compensation would be based on the number of individuals 
who apply to receive the benefits.

           *       *       *       *       *       *       *


                               [WORKFARE

  [Sec. 20. (a)(1) The Secretary shall permit any political 
subdivision, in any State, that applies and submits a plan to 
the Secretary in compliance with guidelines promulgated by the 
Secretary to operate a workfare program pursuant to which every 
member of a household participating in the supplemental 
nutrition assistance program who is not exempt by virtue of the 
provisions of subsection (b) of this section shall accept an 
offer from such subdivision to perform work on its behalf, or 
may seek an offer to perform work, in return for compensation 
consisting of the allotment to which the household is entitled 
under section 8(a) of this Act, with each hour of such work 
entitling that household to a portion of its allotment equal in 
value to 100 per centum of the higher of the applicable State 
minimum wage or the Federal minimum hourly rate under the Fair 
Labor Standards Act of 1938.
  [(2)(A) The Secretary shall promulgate guidelines pursuant to 
paragraph (1) which, to the maximum extent practicable, enable 
a political subdivision to design and operate a workfare 
program under this section which is compatible and consistent 
with similar workfare programs operated by the subdivision.
  [(B) A political subdivision may comply with the requirements 
of this section by operating any workfare program which the 
Secretary determines meets the provisions and protections 
provided under this section.
  [(b) A household member shall be exempt from workfare 
requirements imposed under this section if such member is--
          [(1) exempt from section 6(d)(1) as the result of 
        clause (B), (C), (D), (E), or (F) of section 6(d)(2);
          [(2) at the option of the operating agency, subject 
        to and currently actively and satisfactorily 
        participating at least 20 hours a week in a work 
        activity required under title IV of the Social Security 
        Act (42 U.S.C. 601 et seq.);
          [(3) mentally or physically unfit;
          [(4) under sixteen years of age;
          [(5) sixty years of age or older; or
          [(6) a parent or other caretaker of a child in a 
        household in which another member is subject to the 
        requirements of this section or is employed fulltime.
  [(c) No operating agency shall require any participating 
member to work in any workfare position to the extent that such 
work exceeds in value the allotment to which the household is 
otherwise entitled or that such work, when added to any other 
hours worked during such week by such member for compensation 
(in cash or in kind) in any other capacity, exceeds thirty 
hours a week.
  [(d) The operating agency shall--
          [(1) not provide any work that has the effect of 
        replacing or preventing the employment of an individual 
        not participating in the workfare program;
          [(2) provide the same benefits and working conditions 
        that are provided at the job site to employees 
        performing comparable work for comparable hours; and
          [(3) reimburse participants for actual costs of 
        transportation and other actual costs all of which are 
        reasonably necessary and directly related to 
        participation in the program but not to exceed $25 in 
        the aggregate per month.
  [(e) The operating agency may allow a job search period, 
prior to making workfare assignments, of up to thirty days 
following a determination of eligibility.
  [(f) Disqualification.--An individual or a household may 
become ineligible under section 6(d)(1) to participate in the 
supplemental nutrition assistance program for failing to comply 
with this section.
  [(g)(1) The Secretary shall pay to each operating agency 50 
per centum of all administrative expenses incurred by such 
agency in operating a workfare program, including 
reimbursements to participants for work-related expenses as 
described in subsection (d)(3) of this section.
  [(2)(A) From 50 per centum of the funds saved from employment 
related to a workfare program operated under this section, the 
Secretary shall pay to each operating agency an amount not to 
exceed the administrative expenses described in paragraph (1) 
for which no reimbursement is provided under such paragraph.
  [(B) For purposes of subparagraph (A), the term ``funds saved 
from employment related to a workfare program operated under 
this section'' means an amount equal to three times the dollar 
value of the decrease in allotments issued to households, to 
the extent that such decrease results from wages received by 
members of such households for the first month of employment 
beginning after the date such members commence such employment 
if such employment commences--
          [(i) while such members are participating for the 
        first time in a workfare program operated under this 
        section; or
          [(ii) in the thirty-day period beginning on the date 
        such first participation is terminated.
  [(3) The Secretary may suspend or cancel some or all of these 
payments, or may withdraw approval from a political subdivision 
to operate a workfare program, upon a finding that the 
subdivision has failed to comply with the workfare 
requirements.]

           *       *       *       *       *       *       *


SEC. 25. ASSISTANCE FOR COMMUNITY FOOD PROJECTS.

  (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 
                assistance to become self-sustaining; and
                  (B) is designed--
                          (i)(I) to meet the food needs of low-
                        income individuals through food 
                        distribution, community outreach to 
                        assist in participation in Federally 
                        assisted nutrition programs, or 
                        improving access to food as part of a 
                        comprehensive service;[;]
                          (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, food access, 
                        farm, and nutrition issues; or
                          (ii) to meet specific State, local, 
                        or neighborhood food and agricultural 
                        needs, including needs relating to--
                                  (I) equipment necessary for 
                                the efficient operation of a 
                                project;
                                  (II) planning for long-term 
                                solutions; or
                                  (III) the creation of 
                                innovative marketing activities 
                                that mutually benefit 
                                agricultural producers and low-
                                income consumers.
          (2) Gleaner.--The term ``gleaner'' means an entity 
        that--
                  (A) collects edible, surplus food that would 
                be thrown away and distributes the food to 
                agencies or nonprofit organizations that feed 
                the hungry; or
                  (B) harvests for free distribution to the 
                needy, or for donation to agencies or nonprofit 
                organizations for ultimate distribution to the 
                needy, an agricultural crop that has been 
                donated by the owner of the crop.
          (3) Hunger-free communities goal.--The term ``hunger-
        free communities goal'' means any of the 14 goals 
        described in House Concurrent Resolution 302, 102nd 
        Congress, agreed to October 5, 1992.
  (b) Authority To Provide Assistance.--
          (1) In general.--From amounts made available to carry 
        out this Act, the Secretary may make grants to assist 
        eligible private nonprofit entities to establish and 
        carry out community food projects.
          (2) Limitation on grants.--The total amount of funds 
        provided as grants under this section may not exceed--
                  (A) $1,000,000 for fiscal year 1996;
                  (B) $5,000,000 for each of fiscal years 2008 
                through 2014; and
                  (C) $9,000,000 for fiscal year 2015 and each 
                fiscal year thereafter.
  (c) Eligible Entities.--To be eligible for a grant under 
subsection (b), a public food program service provider, a 
tribal organization, or a private nonprofit entity, including 
gleaners, must--
          (1) have experience in the area of--
                  (A) community food work, particularly 
                concerning small and medium-sized farms, 
                including the provision of food to people in 
                low-income communities and the development of 
                new markets in low-income communities for 
                agricultural producers;
                  (B) job training and business development 
                activities for food-related activities in low-
                income communities; or
                  (C) efforts to reduce food insecurity in the 
                community, including food distribution, 
                improving access to services, or coordinating 
                services and programs;
          (2) demonstrate competency to implement a project, 
        provide fiscal accountability, collect data, and 
        prepare reports and other necessary documentation;
          (3) demonstrate a willingness to share information 
        with researchers, practitioners, and other interested 
        parties; and
          (4) collaborate with 1 or more local partner 
        organizations to achieve at least 1 hunger-free 
        communities goal.
  (d) Preference for Certain Projects.--In selecting community 
food projects to receive assistance under subsection (b), the 
Secretary shall give a preference to projects designed to--
          (1) develop linkages between 2 or more sectors of the 
        food system;
          (2) support the development of entrepreneurial 
        projects;
          (3) develop innovative linkages between the for-
        profit and nonprofit food sectors;
          (4) encourage long-term planning activities, and 
        multisystem, interagency approaches with 
        multistakeholder collaborations, that build the long-
        term capacity of communities to address the food and 
        agricultural problems of the communities, such as food 
        policy councils and food planning associations; or
          (5) develop new resources and strategies to help 
        reduce food insecurity in the community and prevent 
        food insecurity in the future by--
                  (A) developing creative food resources;
                  (B) coordinating food services with park and 
                recreation programs and other community-based 
                outlets to reduce barriers to access; or
                  (C) 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.
  (e) Matching Funds Requirements.--
          (1) Requirements.--The Federal share of the cost of 
        establishing or carrying out a community food project 
        that receives assistance under subsection (b) may not 
        exceed 50 percent of the cost of the project during the 
        term of the grant.
          (2) Calculation.--In providing for the non-Federal 
        share of the cost of carrying out a community food 
        project, the entity receiving the grant shall provide 
        for the share through a payment in cash or in kind, 
        fairly evaluated, including facilities, equipment, or 
        services.
          (3) Sources.--An entity may provide for the non-
        Federal share through State government, local 
        government, or private sources.
  (f) Term of Grant.--
          (1) Single grant.--A community food project may be 
        supported by only a single grant under subsection (b).
          (2) Term.--The term of a grant under subsection (b) 
        may not exceed 5 years.
  (g) Technical Assistance and Related Information.--
          (1) Technical assistance.--In carrying out this 
        section, the Secretary may provide technical assistance 
        regarding community food projects, processes, and 
        development to an entity seeking the assistance.
          (2) Sharing Information.--
                  (A) In general.--The Secretary may provide 
                for the sharing of information concerning 
                community food projects and issues among and 
                between government, private for-profit and 
                nonprofit groups, and the public through 
                publications, conferences, and other 
                appropriate forums.
                  (B) Other interested parties.--The Secretary 
                may share information concerning community food 
                projects with researchers, practitioners, and 
                other interested parties.
  (h) Reports to Congress.--Not later than September 30, 2014, 
and each year thereafter, the Secretary shall submit to 
Congress a report that describes each grant made under this 
section, including--
          (1) a description of any activity funded;
          (2) the degree of success of each activity funded in 
        achieving hunger-free community goals; and
          (3) the degree of success in improving the long-term 
        capacity of a community to address food and agriculture 
        problems related to hunger or access to healthy food.

SEC. 26. SIMPLIFIED SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM.

  (a) Definition of Federal Costs.--In this section, the term 
``Federal costs'' does not include any Federal costs incurred 
under section 17.
  (b) Election.--Subject to subsection (d), a State may elect 
to carry [out a Simplified Food Stamp Program (referred] out a 
simplified supplemental nutrition assistance program (referred 
to in this section as a ``Program''), statewide or in a 
political subdivision of the State, in accordance with this 
section.
  (c) Operation of Program.--If a State elects to carry out a 
Program, within the State or a political subdivision of the 
State--
          (1) a household in which no members receive 
        assistance under a State program funded under part A of 
        title IV of the Social Security Act (42 U.S.C. 601 et 
        seq.) may not participate in the Program;
          (2) a household in which all members receive 
        assistance under a State program funded under part A of 
        title IV of the Social Security Act (42 U.S.C. 601 et 
        seq.) shall automatically be eligible to participate in 
        the Program;
          (3) if approved by the Secretary, a household in 
        which 1 or more members but not all members receive 
        assistance under a State program funded under part A of 
        title IV of the Social Security Act (42 U.S.C. 601 et 
        seq.) may be eligible to participate in the Program; 
        and
          (4) subject to subsection (f), benefits under the 
        Program shall be determined under rules and procedures 
        established by the State under--
                  (A) a State program funded under part A of 
                title IV of the Social Security Act (42 U.S.C. 
                601 et seq.);
                  (B) the supplemental nutrition assistance 
                program; or
                  (C) a combination of a State program funded 
                under part A of title IV of the Social Security 
                Act (42 U.S.C. 601 et seq.) and the 
                supplemental nutrition assistance program.
  (d) Approval of Program.--
          (1) State plan.--A State agency may not operate a 
        Program unless the Secretary approves a State plan for 
        the operation of the Program under paragraph (2).
          (2) Approval of plan.--The Secretary shall approve 
        any State plan to carry out a Program if the Secretary 
        determines that the plan--
                  (A) complies with this section; and
                  (B) contains sufficient documentation that 
                the plan will not increase Federal costs for 
                any fiscal year.
  (e) Increased Federal Costs.--
          (1) Determination.--
                  (A) In general.--The Secretary shall 
                determine whether a Program being carried out 
                by a State agency is increasing Federal costs 
                under this Act.
                  (B) No excluded households.--In making a 
                determination under subparagraph (A), the 
                Secretary shall not require the State agency to 
                collect or report any information on households 
                not included in the Program.
                  (C) Alternative accounting periods.--The 
                Secretary may approve the request of a State 
                agency to apply alternative accounting periods 
                to determine if Federal costs do not exceed the 
                Federal costs had the State agency not elected 
                to carry out the Program.
          (2) Notification.--If the Secretary determines that 
        the Program has increased Federal costs under this Act 
        for any fiscal year or any portion of any fiscal year, 
        the Secretary shall notify the State not later than 30 
        days after the Secretary makes the determination under 
        paragraph (1).
          (3) Enforcement.--
                  (A) Corrective action.--Not later than 90 
                days after the date of a notification under 
                paragraph (2), the State shall submit a plan 
                for approval by the Secretary for prompt 
                corrective action that is designed to prevent 
                the Program from increasing Federal costs under 
                this Act.
                  (B) Termination.--If the State does not 
                submit a plan under subparagraph (A) or carry 
                out a plan approved by the Secretary, the 
                Secretary shall terminate the approval of the 
                State agency operating the Program and the 
                State agency shall be ineligible to operate a 
                future Program.
  (f) Rules and Procedures.--
          (1) In general.--In operating a Program, a State or 
        political subdivision of a State may follow the rules 
        and procedures established by the State or political 
        subdivision under a State program funded under part A 
        of title IV of the Social Security Act (42 U.S.C. 601 
        et seq.) or under the supplemental nutrition assistance 
        program.
          (2) Standardized deductions.--In operating a Program, 
        a State or political subdivision of a State may 
        standardize the deductions provided under section 5(e). 
        In developing the standardized deduction, the State 
        shall consider the work expenses, dependent care costs, 
        and shelter costs of participating households.
          (3) Requirements.--In operating a Program, a State or 
        political subdivision shall comply with the 
        requirements of--
                  (A) subsections (a) through (f) of section 7;
                  (B) section 8(a) (except that the income of a 
                household may be determined under a State 
                program funded under part A of title IV of the 
                Social Security Act (42 U.S.C. 601 et seq.));
                  (C) subsections (b) and (d) of section 8;
                  (D) subsections (a), (c), (d), and (n) of 
                section 11;
                  (E) paragraphs (8), (12), (15), (17), (18), 
                (22), and (23) of section 11(e);
                  (F) section 11(e)(10) (or a comparable 
                requirement established by the State under a 
                State program funded under part A of title IV 
                of the Social Security Act (42 U.S.C. 601 et 
                seq.)); and
                  (G) section 16.
          (4) Limitation on eligibility.--Notwithstanding any 
        other provision of this section, a household may not 
        receive benefits under this section as a result of the 
        eligibility of the household under a State program 
        funded under part A of title IV of the Social Security 
        Act (42 U.S.C. 601 et seq.), unless the Secretary 
        determines that any household with income above 130 
        percent of the poverty guidelines is not eligible for 
        the program.

SEC. 27. AVAILABILITY OF COMMODITIES FOR THE EMERGENCY FOOD ASSISTANCE 
                    PROGRAM.

  (a) Purchase of Commodities.--
          (1) In general.--From amounts made available to carry 
        out this Act, for each of the fiscal years 2014 through 
        [2018] 2023, the Secretary shall purchase a dollar 
        amount described in paragraph (2) of a variety of 
        nutritious and useful commodities of the types that the 
        Secretary has the authority to acquire through the 
        Commodity Credit Corporation or under section 32 of the 
        Act entitled ``An Act to amend the Agricultural 
        Adjustment Act, and for other purposes'', approved 
        August 24, 1935 (7 U.S.C. 612c), and distribute the 
        commodities to States for distribution in accordance 
        with section 214 of the Emergency Food Assistance Act 
        of 1983 (7 U.S.C. 7515).
          (2) Amounts.--The Secretary shall use to carry out 
        paragraph (1)--
                  (A) for fiscal year 2008, $190,000,000;
                  (B) for fiscal year 2009, $250,000,000;
                  (C) for each of fiscal years 2010 through 
                [2018] 2023, 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;
                  (D) for each of fiscal years 2015 through 
                [2018] 2019, the sum obtained by adding the 
                total dollar amount of commodities specified in 
                subparagraph (C) and--
                          (i) for fiscal year 2015, 
                        $50,000,000;
                          (ii) for fiscal year 2016, 
                        $40,000,000;
                          (iii) for fiscal year 2017, 
                        $20,000,000; [and]
                          (iv) for fiscal year 2018, 
                        $15,000,000; and
                          (v) for fiscal year 2019, 
                        $60,000,000; and
                  (E) for fiscal year [2019] 2020 and each 
                subsequent fiscal year, the total dollar amount 
                of commodities specified in subparagraph 
                [(D)(iv)] (D)(v) adjusted by the percentage by 
                which the thrifty food plan has been adjusted 
                under section 3(u)(4) to reflect changes 
                between June 30, [2017] 2018, and June 30 of 
                the immediately preceding fiscal year.
          (3) Funds availability.--For purposes of the funds 
        described in this subsection, the Secretary shall--
                  (A) make the funds available for 2 fiscal 
                years; and
                  (B) allow States to carry over unexpended 
                balances to the next fiscal year pursuant to 
                such terms and conditions as are determined by 
                the Secretary.
          (4) Farm-to-food-bank fund.--From amounts made 
        available under subparagraphs (D) and (E) of paragraph 
        (2), the Secretary shall distribute $20,000,000 in 
        accordance with section 214 of the Emergency Food 
        Assistance Act of 1983 (7 U.S.C. 7515) that States 
        shall use to procure or enter into agreements with a 
        food bank to procure excess fresh fruits and vegetables 
        grown in the State, or surrounding regions in the 
        United States, to be provided to eligible recipient 
        agencies as defined in section 201A(3) of the Emergency 
        Food Assistance Act of 1983 (7 U.S.C. 7501(3)).
  (b) Basis for Commodity Purchases.--In purchasing commodities 
under subsection (a), the Secretary shall, to the extent 
practicable and appropriate, make purchases based on--
          (1) agricultural market conditions;
          (2) preferences and needs of States and distributing 
        agencies; and
          (3) preferences of recipients.

SEC. 28. NUTRITION EDUCATION AND OBESITY PREVENTION GRANT PROGRAM.

  [(a) Definition of Eligible Individual.--In this section, the 
term ``eligible individual'' means an individual who is 
eligible to receive benefits under a nutrition education and 
obesity prevention program under this section as a result of 
being--
          [(1) an individual eligible for benefits under--
                  [(A) this Act;
                  [(B) sections 9(b)(1)(A) and 17(c)(4) of the 
                Richard B Russell National School Lunch Act (42 
                U.S.C. 1758(b)(1)(A), 1766(c)(4)); or
                  [(C) section 4(e)(1)(A) of the Child 
                Nutrition Act of 1966 (42 U.S.C. 
                1773(e)(1)(A));
          [(2) an individual who resides in a community with a 
        significant low-income population, as determined by the 
        Secretary; or
          [(3) such other low-income individual as is 
        determined to be eligible by the Secretary.]
  (a) Definitions.--As used in this section:
          (1) Eligible individual.--The term ``eligible 
        individual'' means an individual who is eligible to 
        receive benefits under a nutrition education and 
        obesity prevention program under this section as a 
        result of being--
                  (A) an individual eligible for benefits 
                under--
                          (i) this Act;
                          (ii) sections 9(b)(1)(A) and 17(c)(4) 
                        of the Richard B Russell National 
                        School Lunch Act (42 U.S.C. 
                        1758(b)(1)(A), 1766(c)(4)); or
                          (iii) section 4(e)(1)(A) of the Child 
                        Nutrition Act of 1966 (42 U.S.C. 
                        1773(e)(1)(A));
                  (B) an individual who resides in a community 
                with a significant low-income population, as 
                determined by the Secretary; or
                  (C) such other low-income individual as is 
                determined to be eligible by the Secretary.
          (2) Eligible institution.--The term ``eligible 
        institution'' includes any ``1862 Institution'' or 
        ``1890 Institution'', as defined in section 2 of the 
        Research, Extension, and Education Reform Act of 1998 
        (7 U.S.C. 7601).
  (b) Programs.--[Consistent with the terms and conditions of 
grants awarded under this section, State agencies may] The 
Secretary, acting through the Director of the National 
Institute of Food and Agriculture, in consultation with the 
Administrator of the Food and Nutrition Service, shall 
implement a nutrition education and obesity prevention program 
for eligible individuals that promotes healthy food choices and 
physical activity 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).
  (c) Delivery of Nutrition Education and Obesity Prevention 
Services.--
          [(1) In general.--State agencies may deliver 
        nutrition education and obesity prevention services 
        under a program described in subsection (b)--
                  [(A) directly to eligible individuals; or
                  [(B) through agreements with other State or 
                local agencies or community organizations.]
          (1) In general.--Consistent with the terms and 
        conditions of grants awarded under this section, 
        eligible institutions shall deliver nutrition education 
        and obesity prevention services under a program 
        described in subsection (b) that--
                  (A) to the extent practicable, provide for 
                the employment and training of professional and 
                paraprofessional aides from the target 
                population to engage in direct nutrition 
                education; and
                  (B) partner with other public and private 
                entities as appropriate to optimize program 
                delivery.
          (2) Nutrition education state plans.--
                  [(A) In general.--A State agency that elects 
                to provide nutrition education and obesity 
                prevention services under this subsection shall 
                submit to the Secretary for approval a 
                nutrition education State plan.]
                  (A) In general.--A State agency, in 
                consultation with eligible institutions that 
                provide nutrition education and obesity 
                prevention services under this subsection, 
                shall submit to the Secretary for approval a 
                nutrition education State plan.
                  (B) Requirements.--[Except as provided in 
                subparagraph (C), a] A nutrition education 
                State plan shall--
                          (i) identify the uses of the funding 
                        for local projects;
                          (ii) ensure that the interventions 
                        are appropriate for eligible 
                        individuals who are members of low-
                        income populations by recognizing the 
                        constrained resources, and the 
                        potential eligibility for Federal food 
                        assistance programs, of members of 
                        those populations; and
                          (iii) conform to standards 
                        established by the Secretary through 
                        regulations, guidance, or grant award 
                        documents.
                  [(C) Transition period.--During each of 
                fiscal years 2011 and 2012, a nutrition 
                education State plan under this section shall 
                be consistent with the requirements of section 
                11(f) (as that section, other than paragraph 
                (3)(C), existed on the day before the date of 
                enactment of this section).]
          (3) Use of funds.--
                  (A) In general.--[A State agency] An eligible 
                institution may use funds provided under this 
                section for any evidence-based allowable use of 
                funds identified by the Director of the 
                National Institute of Food and Agriculture and 
                the Administrator of the Food and Nutrition 
                Service of the Department of Agriculture in 
                consultation with the Director of the Centers 
                for Disease Control and Prevention of the 
                Department of Health and Human Services, 
                including--
                          (i) individual and group-based 
                        nutrition education, health promotion, 
                        and intervention strategies;
                          (ii) comprehensive, multilevel 
                        interventions at multiple complementary 
                        organizational and institutional 
                        levels; and
                          (iii) community and public health 
                        approaches to improve nutrition.
                  (B) Consultation.--In identifying allowable 
                uses of funds under subparagraph (A) and in 
                seeking to strengthen delivery, oversight, and 
                evaluation of nutrition education, the Director 
                of the National Institute of Food and 
                Agriculture and the Administrator of the Food 
                and Nutrition Service shall consult with the 
                Director of the Centers for Disease Control and 
                Prevention and outside stakeholders and 
                experts, including--
                          (i) representatives of the academic 
                        and research communities;
                          (ii) nutrition education 
                        practitioners;
                          (iii) representatives of State and 
                        local governments; and
                          (iv) community organizations that 
                        serve low-income populations.
          (4) Notification.--To the maximum extent practicable, 
        State agencies and eligible institutions shall notify 
        applicants, participants, and eligible individuals 
        under this Act of the availability of nutrition 
        education and obesity prevention services under this 
        section in local communities.
          (5) Coordination.--Subject to the approval of the 
        Secretary, projects carried out with funds received 
        under this section may be coordinated with other health 
        promotion or nutrition improvement strategies, whether 
        public or privately funded, if the projects carried out 
        with funds received under this section remain under the 
        administrative control of the [State agency] eligible 
        institutions.
  (d) Funding.--
          (1)  [In general] Basic funding.--Of funds made 
        available each fiscal year under section 18(a)(1), the 
        Secretary shall reserve for allocation [to State 
        agencies] to carry out the nutrition education and 
        obesity prevention grant program under this section, to 
        remain available for obligation for a period of 2 
        fiscal years--
                  (A) for fiscal year 2011, $375,000,000;
                  (B) for fiscal year 2012, $388,000,000;
                  (C) for fiscal year 2013, $285,000,000;
                  (D) for fiscal year 2014, $401,000,000;
                  (E) for fiscal year 2015, $407,000,000; [and]
                  (F) for fiscal [year 2016 and each subsequent 
                fiscal year] years 2016 through 2018, the 
                applicable amount during the preceding fiscal 
                year, as adjusted to reflect any increases for 
                the 12-month period ending 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[.];
                  (G) for fiscal year 2019, $485,000,000; and
                  (H) for fiscal year 2020 and each subsequent 
                fiscal year, the applicable amount during the 
                preceding fiscal year, as adjusted to reflect 
                any increases for the 12-month period ending 
                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.
          (2) Authorization and advance availability of 
        appropriations.--
                  (A) Authorization of appropriations.--There 
                is authorized to be appropriated to carry out 
                this section $65,000,000 for each of the fiscal 
                years 2019 through 2023.
                  (B) Appropriation in advance.--Except as 
                provided in subparagraph (C), only funds 
                appropriated under subparagraph (A) in advance 
                specifically to carry out this section shall be 
                available to carry out this section.
                  (C) Other funds.--Funds appropriated under 
                this paragraph shall be in addition to funds 
                made available under paragraph (1).
          [(2)] (3) Allocation.--
                  (A) Initial allocation.--Of the funds set 
                aside under paragraph (1) and appropriated 
                under the authority of paragraph (2), as 
                determined by the Secretary--
                          (i) for each of fiscal years 2011 
                        through 2013, 100 percent shall be 
                        allocated to State agencies in direct 
                        proportion to the amount of funding 
                        that the State received for carrying 
                        out section 11(f) (as that section 
                        existed on the day before the date of 
                        enactment of this section) during 
                        fiscal year 2009, as reported to the 
                        Secretary as of February 2010; and
                          (ii) subject to a reallocation under 
                        subparagraph (B) (as that section 
                        existed on the day before the date of 
                        the enactment of the Agriculture and 
                        Nutrition Act of 2018)--
                                  (I) for fiscal year 2014--
                                          (aa) 90 percent shall 
                                        be allocated to State 
                                        agencies in accordance 
                                        with clause (i); and
                                          (bb) 10 percent shall 
                                        be allocated to State 
                                        agencies based on the 
                                        respective share of 
                                        each State of the 
                                        number of individuals 
                                        participating in the 
                                        supplemental nutrition 
                                        assistance program 
                                        during the 12-month 
                                        period ending the 
                                        preceding January 31;
                                  (II) for fiscal year 2015--
                                          (aa) 80 percent shall 
                                        be allocated to State 
                                        agencies in accordance 
                                        with clause (i); and
                                          (bb) 20 percent shall 
                                        be allocated in 
                                        accordance with 
                                        subclause (I)(bb);
                                  (III) for fiscal year 2016--
                                          (aa) 70 percent shall 
                                        be allocated to State 
                                        agencies in accordance 
                                        with clause (i); and
                                          (bb) 30 percent shall 
                                        be allocated in 
                                        accordance with 
                                        subclause (I)(bb);
                                  (IV) for fiscal year 2017--
                                          (aa) 60 percent shall 
                                        be allocated to State 
                                        agencies in accordance 
                                        with clause (i); and
                                          (bb) 40 percent shall 
                                        be allocated in 
                                        accordance with 
                                        subclause (I)(bb); and
                                  (V) for fiscal year 2018 [and 
                                each fiscal year thereafter]--
                                          (aa) 50 percent shall 
                                        be allocated to State 
                                        agencies in accordance 
                                        with clause (i); and
                                          (bb) 50 percent shall 
                                        be allocated in 
                                        accordance with 
                                        subclause (I)(bb).
                  [(B) Reallocation.--
                          [(i) In general.--If the Secretary 
                        determines that a State agency will not 
                        expend all of the funds allocated to 
                        the State agency for a fiscal year 
                        under paragraph (1) or in the case of a 
                        State agency that elects not to receive 
                        the entire amount of funds allocated to 
                        the State agency for a fiscal year, the 
                        Secretary shall reallocate the 
                        unexpended funds to other States during 
                        the fiscal year or the subsequent 
                        fiscal year (as determined by the 
                        Secretary) that have approved State 
                        plans under which the State agencies 
                        may expend the reallocated funds.
                          [(ii) Effect of additional funds.--
                                  [(I) Funds received.--Any 
                                reallocated funds received by a 
                                State agency under clause (i) 
                                for a fiscal year shall be 
                                considered to be part of the 
                                fiscal year 2009 base 
                                allocation of funds to the 
                                State agency for that fiscal 
                                year for purposes of 
                                determining allocation under 
                                subparagraph (A) for the 
                                subsequent fiscal year.
                                  [(II) Funds surrendered.--Any 
                                funds surrendered by a State 
                                agency under clause (i) shall 
                                not be considered to be part of 
                                the fiscal year 2009 base 
                                allocation of funds to a State 
                                agency for that fiscal year for 
                                purposes of determining 
                                allocation under subparagraph 
                                (A) for the subsequent fiscal 
                                year.]
                  (B) Subsequent allocation.--Of the funds set 
                aside under paragraph (1) and appropriated 
                under the authority of paragraph (2) for fiscal 
                year 2019 and each fiscal year thereafter, 100 
                percent shall be allocated to eligible 
                institutions pro rata based on the respective 
                share of each State of the number of 
                individuals participating in the supplemental 
                nutrition assistance program during the 12-
                month period ending the preceding January 31, 
                as determined by the Secretary.
                  (C) Reallocation.--If the Secretary 
                determines that an eligible institution will 
                not expend all of the funds allocated to the 
                eligible institution for a fiscal year under 
                paragraph (1) or in the case of an eligible 
                institution that elects not to receive the 
                entire amount of funds allocated to the 
                eligible institution for a fiscal year, the 
                Secretary shall reallocate the unexpended funds 
                to other eligible institutions during the 
                fiscal year or the subsequent fiscal year (as 
                determined by the Secretary) that have approved 
                State plans under which the eligible 
                institutions may expend the reallocated funds.
          [(3)] (4) Limitation on federal financial 
        participation.--
                  (A) In general.--Grants awarded under this 
                section shall be the only source of Federal 
                financial participation under this Act in 
                nutrition education and obesity prevention.
                  (B) Exclusion.--Any costs of nutrition 
                education and obesity prevention in excess of 
                the grants authorized under this section shall 
                not be eligible for reimbursement under section 
                16(a).
          (5) Administrative costs.--Not more than 10 percent 
        of the funds allocated to eligible institutions may be 
        used by the eligible institutions for administrative 
        costs.
  (e) Implementation.--Not later than [January 1, 2012] 18 
months after the date of the enactment of the Agriculture and 
Nutrition Act of 2018, the Secretary shall publish in the 
Federal Register a description of the requirements for the 
receipt of a grant under this section.

SEC. 29. RETAIL FOOD STORE AND RECIPIENT TRAFFICKING.

  (a) Purpose.--The purpose of this section is to provide the 
Department of Agriculture with additional resources to prevent 
trafficking in violation of this Act by strengthening recipient 
and retail food store program integrity.
  (b) Use of Funds.--
          (1) In general.--Additional funds are provided under 
        this section to supplement the retail food store and 
        recipient integrity activities of the Department.
          (2) Information technologies.--The Secretary shall 
        use an appropriate amount of the funds provided under 
        this section to employ information technologies known 
        as data mining and data warehousing and other available 
        information technologies to administer the supplemental 
        nutrition assistance program and enforce regulations 
        promulgated under section 4(c).
  (c) Funding.--
          (1) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this section 
        $5,000,000 for each of fiscal years 2014 through [2018] 
        2023.
          (2) Mandatory 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 section not less 
                than $15,000,000 for fiscal year 2014, to 
                remain available until expended.
                  (B) Receipt and acceptance.--The Secretary 
                shall be entitled to receive, shall accept, and 
                shall use to carry out this section the funds 
                transferred under subparagraph (A), without 
                further appropriation.
                  (C) Maintenance of funding.--The funding 
                provided under subparagraph (A) shall 
                supplement (and not supplant) other Federal 
                funding for programs carried out under this 
                Act.

SEC. 30. DUPLICATIVE ENROLLMENT DATABASE.

  (a) In General.--The Secretary shall establish an interstate 
database, or system of databases, of supplemental nutrition 
assistance program information to be known as the Duplicative 
Enrollment Database that shall include the data submitted by 
each State pursuant to section 11(e)(26) and that shall meet 
security standards as determined by the Secretary.
  (b) Purpose.--Any database, or system of databases, 
established pursuant to subsection (a) shall be used by States 
when making eligibility determinations to prevent supplemental 
nutrition assistance program participants from receiving 
duplicative benefits in multiple States.
  (c) Implementation.--
          (1) Issuance of interim final regulations.--Not later 
        than 18 months after the effective date of this 
        section, the Secretary shall issue interim final 
        regulations to carry out this section that--
                  (A) incorporate best practices and lessons 
                learned from the regional pilot project 
                referenced in section 4032(c) of the 
                Agricultural Act of 2014 (7 U.S.C. 2036c(c));
                  (B) protect the privacy of supplemental 
                nutrition assistance program participants and 
                applicants consistent with section 11(e)(8); 
                and
                  (C) detail the process States will be 
                required to follow for--
                          (i) conducting initial and ongoing 
                        matches of participant and applicant 
                        data;
                          (ii) identifying and acting on all 
                        apparent instances of duplicative 
                        participation by participants or 
                        applicants in multiple States;
                          (iii) disenrolling an individual who 
                        has applied to participate in another 
                        State in a manner sufficient to allow 
                        the State in which the individual is 
                        currently applying to comply with 
                        sections 11(e)(3) and (9); and
                          (iv) complying with such other rules 
                        and standards the Secretary determines 
                        appropriate to carry out this section.
          (2) Timing.--The initial match and corresponding 
        actions required by paragraph (1)(C) shall occur within 
        3 years after the date of the enactment of the 
        Agriculture and Nutrition Act of 2018.
  (d) Reports.--Using the data submitted to the Duplicative 
Enrollment Database, the Secretary shall publish an annual 
report analyzing supplemental nutrition assistance program 
participant characteristics, including participant tenure on 
the program. The report shall be made available to the public 
in a manner that prevents identification of participants that 
receive supplemental nutrition assistance program benefits.

SEC. 31. RETAILER-FUNDED INCENTIVES PILOT.

  (a) In General.--The Secretary shall establish a pilot 
project in accordance with subsection (d) through which 
participating retail food stores provide bonuses to 
participating households based on household purchases of 
fruits, vegetables, and fluid milk.
  (b) Definitions.--For purposes of this section--
          (1) The term ``bonus'' means a financial incentive 
        provided at the point of sale to a participating 
        household that expends a portion of its allotment for 
        the purchase of fruits, vegetables, or fluid milk.
          (2) The term ``fluid milk'' means cow milk without 
        flavoring or sweeteners and packaged in liquid form.
          (3) The term ``fruits'' means minimally processed 
        fruits.
          (4) The term ``retail food store'' means a retail 
        food store as defined in section 3(o)(1) that is 
        authorized to accept and redeem benefits under the 
        supplemental nutrition assistance program.
          (5) The term ``vegetables'' means minimally processed 
        vegetables.
  (c) Project Participant Plans.--To participate in the pilot 
project established under subsection (a), a retail food store 
shall submit to the Secretary for approval a plan that 
includes--
          (1) a method of quantifying the cost of fruits, 
        vegetables, and fluid milk, that will earn households a 
        bonus;
          (2) a method of providing bonuses to participating 
        households and adequately testing such method;
          (3) a method of ensuring bonuses earned by households 
        may be used only to purchase food eligible for purchase 
        under the supplemental nutrition assistance program;
          (4) a method of educating participating households 
        about the availability and use of a bonus;
          (5) a method of providing data and reports, as 
        requested by the Secretary, for purposes of analyzing 
        the impact of the pilot project established under 
        subsection (a) on household access, ease of bonus use, 
        and program integrity; and
          (6) such other criteria, including security criteria, 
        as established by the Secretary.
  (d) Pilot Project Requirements.--Retail food stores with 
plans approved under subsection (c) to participate in the pilot 
project established under subsection (a) shall--
          (1) provide a bonus in a dollar amount not to exceed 
        10 percent of the price of the purchased fruits, 
        vegetables, and fluid milk;
          (2) fund the dollar amount of bonuses used by 
        households, and pay for administrative costs, such as 
        fees and system costs, associated with providing such 
        bonuses;
          (3) ensure that bonuses earned by households may be 
        used only to purchase food eligible for purchase under 
        the supplemental nutrition assistance program; and
          (4) provide data and reports as requested by the 
        Secretary for purposes of analyzing the impact of the 
        pilot project established under subsection (a) on 
        household access, ease of bonus use, and program 
        integrity.
  (e) Limitation.--A retail food store participating in a 
project under section 4405 of the Food, Conservation, and 
Energy Act of 2008 (7 U.S.C. 7517) shall not be eligible to 
participate in the pilot project established under subsection 
(a).
  (f) Implementation.--Not later than 18 months after the date 
of the enactment of Agriculture and Nutrition Act of 2018, the 
Secretary shall solicit and approve plans submitted under 
subsection (c) that satisfy the requirements of such 
subsection.
  (g) Reimbursements.--
          (1) Rate of reimbursement.--Subject to paragraphs (2) 
        and (3), the Secretary shall reimburse retail food 
        stores with plans approved under subsection (f) in an 
        amount not to exceed 25 percent of the dollar value of 
        bonuses earned by households and used to purchase food 
        eligible for purchase under the supplemental nutrition 
        assistance program.
          (2) Aggregate amount of reimbursements.--The 
        aggregate amount of reimbursements paid in a fiscal 
        year to all retail food stores that participate in the 
        pilot project established under subsection (a) in such 
        fiscal year shall not exceed $120,000,000.
          (3) Requirements.--
                  (A) Timeline.--Not later than 1 year after 
                the date of the enactment of the Agriculture 
                and Nutrition Act of 2018, the Secretary shall 
                establish requirements to implement this 
                section, including criteria for prioritizing 
                reimbursements to such stores within the limit 
                established in paragraph (2) and subject to 
                subparagraph (B).
                  (B) Distribution of reimbursements.--
                          (i) Monthly payments.--Reimbursements 
                        payable under this subsection shall be 
                        paid on a monthly basis.
                          (ii) Prorated payments.--If funds 
                        made available under subsection (h) are 
                        insufficient to pay in full 
                        reimbursements payable for a month 
                        because of the operation of paragraph 
                        (2), such reimbursements shall be paid 
                        on a pro rata basis to the extent funds 
                        remain available for payment.
  (h) Funding.--From funds made available under section 
18(a)(1) for a fiscal year, the Secretary shall allocate not to 
exceed $120,000,000 for reimbursements payable under this 
section for such fiscal year.
                              ----------                              


                 LOW-INCOME HOME ENERGY ASSISTANCE ACT



           *       *       *       *       *       *       *
TITLE XXVI--LOW-INCOME HOME ENERGY ASSISTANCE

           *       *       *       *       *       *       *


                     applications and requirements

  Sec. 2605. (a)(1) Each State desiring to receive an allotment 
for any fiscal year under this title shall submit an 
application to the Secretary. Each such application shall be in 
such form as the Secretary shall require. Each such application 
shall contain assurances by the chief executive officer of the 
State that the State will meet the conditions enumerated in 
subsection (b).
  (2) After the expiration of the first fiscal year for which a 
State receives funds under this title, no funds shall be 
allotted to such State for any fiscal year under this title 
unless such State conduct public hearings with respect to the 
proposed use and distribution of funds to be provided under 
this title for such fiscal year.
  (b) As part of the annual application required by subsection 
(a), the chief executive officer of each State shall certify 
that the State agrees to--
          (1) use the funds available under this title to--
                  (A) conduct outreach activities and provide 
                assistance to low income households in meeting 
                their home energy costs, particularly those 
                with the lowest incomes that pay a high 
                proportion of household income for home energy, 
                consistent with paragraph (5);
                  (B) intervene in energy crisis situations;
                  (C) provide low-cost residential 
                weatherization and other cost-effective energy-
                related home repair; and
                  (D) plan, develop, and administer the State's 
                program under this title including leveraging 
                programs,
        and the State agrees not to use such funds for any 
        purposes other than those specified in this title;
          (2) make payments under this title only with respect 
        to--
                  (A) households in which 1 or more individuals 
                are receiving--
                          (i) assistance under the State 
                        program funded under part A of title IV 
                        of the Social Security Act;
                          (ii) supplemental security income 
                        payments under title XVI of the Social 
                        Security Act;
                          (iii) supplemental nutrition 
                        assistance program benefits under the 
                        Food and Nutrition Act of 2008; or
                          (iv) payments under section 415, 521, 
                        541, or 542 of title 38, United States 
                        Code, or under section 306 of the 
                        Veterans' and Survivors' Pension 
                        Improvement Act of 1978; or
                  (B) households with incomes which do not 
                exceed the greater of--
                          (i) an amount equal to 150 percent of 
                        the poverty level for such State; or
                          (ii) an amount equal to 60 percent of 
                        the State median income;
                except that a State may not exclude a household 
                from eligibility in a fiscal year solely on the 
                basis of household income if such income is 
                less than 110 percent of the poverty level for 
                such State, but the State may give priority to 
                those households with the highest home energy 
                costs or needs in relation to household income;
          (3) conduct outreach activities designed to assure 
        that eligible households, especially households with 
        elderly individuals or disabled individuals, or both, 
        and households with high home energy burdens, are made 
        aware of the assistance available under this title, and 
        any similar energy-related assistance available under 
        subtitle B of title VI (relating to community services 
        block grant program) or under any other provision of 
        law which carries out programs which were administered 
        under the Economic Opportunity Act of 1964 before the 
        date of the enactment of this Act;
          (4) coordinate its activities under this title with 
        similar and related programs administered by the 
        Federal Government and such State, particularly low-
        income energy-related programs under subtitle B of 
        title VI (relating to community services block grant 
        program), under the supplemental security income 
        program, under part A of title IV of the Social 
        Security Act, under title XX of the Social Security 
        Act, under the low-income weatherization assistance 
        program under title IV of the Energy Conservation and 
        Production Act, or under any other provision of law 
        which carries out programs which were administered 
        under the Economic Opportunity Act of 1964 before the 
        date of the enactment of this Act;
          (5) provide, in a timely manner, that the highest 
        level of assistance will be furnished to those 
        households which have the lowest incomes and the 
        highest energy costs or needs in relation to income, 
        taking into account family size, except that the State 
        may not differentiate in implementing this section 
        between the households described in clauses (2)(A) and 
        (2)(B) of this subsection;
          (6) to the extent it is necessary to designate local 
        administrative agencies in order to carry out the 
        purposes of this title, to give special consideration, 
        in the designation of such agencies, to any local 
        public or private nonprofit agency which was receiving 
        Federal funds under any low-income energy assistance 
        program or weatherization program under the Economic 
        Opportunity Act of 1964 or any other provision of law 
        on the day before the date of the enactment of this 
        Act, except that--
                  (A) the State shall, before giving such 
                special consideration, determine that the 
                agency involved meets program and fiscal 
                requirements established by the State; and
                  (B) if there is no such agency because of any 
                change in the assistance furnished to programs 
                for economically disadvantaged persons, then 
                the State shall give special consideration in 
                the designation of local administrative 
                agencies to any successor agency which is 
                operated in substantially the same manner as 
                the predecessor agency which did receive funds 
                for the fiscal year preceding the fiscal year 
                for which the determination is made;
          (7) if the State chooses to pay home energy suppliers 
        directly, establish procedures to--
                  (A) notify each participating household of 
                the amount of assistance paid on its behalf;
                  (B) assure that the home energy supplier will 
                charge the eligible household, in the normal 
                billing process, the difference between the 
                actual cost of the home energy and the amount 
                of the payment made by the State under this 
                title;
                  (C) assure that the home energy supplier will 
                provide assurances that any agreement entered 
                into with a home energy supplier under this 
                paragraph will contain provisions to assure 
                that no household receiving assistance under 
                this title will be treated adversely because of 
                such assistance under applicable provisions of 
                State law or public regulatory requirements; 
                and
                  (D) ensure that the provision of vendored 
                payments remains at the option of the State in 
                consultation with local grantees and may be 
                contingent on unregulated vendors taking 
                appropriate measures to alleviate the energy 
                burdens of eligible households, including 
                providing for agreements between suppliers and 
                individuals eligible for benefits under this 
                Act that seek to reduce home energy costs, 
                minimize the risks of home energy crisis, and 
                encourage regular payments by individuals 
                receiving financial assistance for home energy 
                costs;
          (8) provide assurances that (A) the State will not 
        exclude households described in clause (2)(B) of this 
        subsection from receiving home energy assistance 
        benefits under clause (2), and (B) the State will treat 
        owners and renters equitably under the program assisted 
        under this title;
          (9) provide that--
                  (A) the State may use for planning and 
                administering the use of funds under this title 
                an amount not to exceed 10 percent of the funds 
                payable to such State under this title for a 
                fiscal year; and
                  (B) the State will pay from non-Federal 
                sources the remaining costs of planning and 
                administering the program assisted under this 
                title and will not use Federal funds for such 
                remaining costs (except for the costs of the 
                activities described in paragraph (16));
          (10) provide that such fiscal control and fund 
        accounting procedures will be established as may be 
        necessary to assure the proper disbursal of and 
        accounting for Federal funds paid to the State under 
        this title, including procedures for monitoring the 
        assistance provided under this title, and provide that 
        the State will comply with the provisions of chapter 75 
        of title 31, United States Code (commonly known as the 
        ``Single Audit Act'');
          (11) permit and cooperate with Federal investigations 
        undertaken in accordance with section 2608;
          (12) provide for timely and meaningful public 
        participation in the development of the plan described 
        in subsection (c);
          (13) provide an opportunity for a fair administrative 
        hearing to individuals whose claims for assistance 
        under the plan described in subsection (c) are denied 
        or are not acted upon with reasonable promptness;
          (14) cooperate with the Secretary with respect to 
        data collecting and reporting under section 2610;
          (15) beginning in fiscal year 1992, provide, in 
        addition to such services as may be offered by State 
        Departments of Public Welfare at the local level, 
        outreach and intake functions for crisis situations and 
        heating and cooling assistance that is administered by 
        additional State and local governmental entities or 
        community-based organizations (such as community action 
        agencies, area agencies on aging, and not-for-profit 
        neighborhood-based organizations), and in States where 
        such organizations do not administer intake functions 
        as of September 30, 1991, preference in awarding grants 
        or contracts for intake services shall be provided to 
        those agencies that administer the low-income 
        weatherization or energy crisis intervention programs; 
        and
          (16) use up to 5 percent of such funds, at its 
        option, to provide services that encourage and enable 
        households to reduce their home energy needs and 
        thereby the need for energy assistance, including needs 
        assessments, counseling, and assistance with energy 
        vendors, and report to the Secretary concerning the 
        impact of such activities on the number of households 
        served, the level of direct benefits provided to those 
        households, and the number of households that remain 
        unserved.
The Secretary may not prescribe the manner in which the States 
will comply with the provisions of this subsection. The 
Secretary shall issue regulations to prevent waste, fraud, and 
abuse in the programs assisted by this title. Not later than 18 
months after the date of the enactment of the Low-Income Home 
Energy Assistance Amendments of 1994, the Secretary shall 
develop model performance goals and measurements in 
consultation with State, territorial, tribal, and local 
grantees, that the States may use to assess the success of the 
States in achieving the purposes of this title. The model 
performance goals and measurements shall be made available to 
States to be incorporated, at the option of the States, into 
the plans for fiscal year 1997. The Secretary may request data 
relevant to the development of model performance goals and 
measurements.
  (c)(1) As part of the annual application required in 
subsection (a), the chief executive officer of each State shall 
prepare and furnish to the Secretary, in such format as the 
Secretary may require, a plan which--
          (A) describes the eligibility requirements to be used 
        by the State for each type of assistance to be provided 
        under this title, including criteria for designating an 
        emergency under section 2604(c);
          (B) describes the benefit levels to be used by the 
        State for each type of assistance including assistance 
        to be provided for emergency crisis intervention and 
        for weatherization and other energy-related home 
        repair;
          (C) contains estimates of the amount of funds the 
        State will use for each of the programs under such plan 
        and describes the alternative use of funds reserved 
        under section 2604(c) in the event any portion of the 
        amount so reserved is not expended for emergencies;
          (D) describes weatherization and other energy-related 
        home repair the State will provide under subsection 
        (k), including any steps the State will take to address 
        the weatherization and energy-related home repair needs 
        of households that have high home energy burdens, and 
        describes any rules promulgated by the Department of 
        Energy for administration of its Low Income 
        Weatherization Assistance Program which the State, to 
        the extent permitted by the Secretary to increase 
        consistency between federally assisted programs, will 
        follow regarding the use of funds provided under this 
        title by the State for such weatherization and energy-
        related home repairs and improvements;
          (E) describes any steps that will be taken (in 
        addition to those necessary to carry out the assurance 
        contained in paragraph (5) of subsection (b)) to target 
        assistance to households with high home energy burdens;
          (F) describes how the State will carry out assurances 
        in clauses (3), (4), (5), (6), (7), (8), (10), (12), 
        (13), and (15) of subsection (b);
          (G) states, with respect to the 12-month period 
        specified by the Secretary, the number and income 
        levels of households which apply and the number which 
        are assisted with funds provided under this title, and 
        the number of households so assisted with--
                  (i) one or more members who had attained 60 
                years of age;
                  (ii) one or more members who were disabled; 
                and
                  (iii) one or more young children; and
          (H) contains any other information determined by the 
        Secretary to be appropriate for purposes of this title.
The chief executive officer may revise any plan prepared under 
this paragraph and shall furnish the revised plan to the 
Secretary.
  (2) Each plan prepared under paragraph (1) and each 
substantial revision thereof shall be made available for public 
inspection within the State involved in such a manner as will 
facilitate timely and meaningful review of, and comment upon, 
such plan or substantial revision.
  (3) Not later than April 1 of each fiscal year the Secretary 
shall make available to the States a model State plan format 
that may be used, at the option of each State, to prepare the 
plan required under paragraph (1) for the next fiscal year.
  (d) The State shall expend funds in accordance with the State 
plan under this title or in accordance with revisions 
applicable to such plan.
  (e) Each State shall, in carrying out the requirements of 
subsection (b)(10), obtain financial and compliance audits of 
any funds which the State receives under this title. Such 
audits shall be made public within the State on a timely basis. 
The audits shall be conducted in accordance with chapter 75 of 
title 31, United States Code.
  (f)(1) Notwithstanding any other provision of law unless 
enacted in express limitation of this paragraph, the amount of 
any home energy assistance payments or allowances provided 
directly to, or indirectly for the benefit of, an eligible 
household under this title shall not be considered income or 
resources of such household (or any member thereof) for any 
purpose under any Federal or State law, including any law 
relating to taxation, supplemental nutrition assistance program 
benefits, public assistance, or welfare programs.
  (2) For purposes of paragraph (1) of this subsection and for 
purposes of determining any excess shelter expense deduction 
under section 5(e) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2014(e))--
          (A) the full amount of such payments or allowances 
        shall be deemed to be expended by such household for 
        heating or cooling expenses, without regard to whether 
        such payments or allowances are provided directly to, 
        or indirectly for the benefit of, such household, 
        except that, for purposes of the supplemental nutrition 
        assistance program established under the Food and 
        Nutrition Act of 2008 (7 U.S.C. 2011 et seq.), such 
        payments or allowances were greater than $20 annually 
        received by a household with an elderly member, 
        consistent with section 5(e)(6)(C)(iv)(I) of that Act 
        (7 U.S.C. 2014(e)(6)(C)(iv)(I)), as determined by the 
        Secretary of Agriculture; and
          (B) no distinction may be made among households on 
        the basis of whether such payments or allowances are 
        provided directly to, or indirectly for the benefit of, 
        any of such households.
  (g) The State shall repay to the United States amounts found 
not to have been expended in accordance with this title or the 
Secretary may offset such amounts against any other amount to 
which the State is or may become entitled under this title.
  (h) The Comptroller General of the United States shall, from 
time to time evaluate the expenditures by States of grants 
under this title in order to assure that expenditures are 
consistent with the provisions of this title and to determine 
the effectiveness of the State in accomplishing the purposes of 
this title.
  (i) A household which is described in subsection (b)(2)(A) 
solely by reason of clause (ii) thereof shall not be treated as 
a household described in subsection (b)(2) if the eligibility 
of the household is dependent upon--
          (1) an individual whose annual supplemental security 
        income benefit rate is reduced pursuant to section 
        1611(e)(1) of the Social Security Act by reason of 
        being in an institution receiving payments under title 
        XIX of the Social Security Act with respect to such 
        individual;
          (2) an individual to whom the reduction specified in 
        section 1612(a)(2)(A)(i) of the Social Security Act 
        applies; or
          (3) a child described in section 1614(f)(2) of the 
        Social Security Act who is living together with a 
        parent, or the spouse of a parent, of the child.
  (j) In verifying income eligibility for purposes of 
subsection (b)(2)(B), the State may apply procedures and 
policies consistent with procedures and policies used by the 
State agency administering programs under part A of title IV of 
the Social Security Act, under title XX of the Social Security 
Act, under subtitle B of title VI of this Act (relating to 
community services block grant program), under any other 
provision of law which carries out programs which were 
administered under the Economic Opportunity Act of 1964 before 
the date of the enactment of this Act, or under other income 
assistance or service programs (as determined by the State).
  (k)(1) Except as provided in paragraph (2), not more than 15 
percent of the greater of--
          (A) the funds allotted to a State under this title 
        for any fiscal year; or
          (B) the funds available to such State under this 
        title for such fiscal year;
may be used by the State for low-cost residential 
weatherization or other energy-related home repair for low-
income households, particularly those low-income households 
with the lowest incomes that pay a high proportion of household 
income for home energy.
  (2)(A) If a State receives a waiver granted under 
subparagraph (B) for a fiscal year, the State may use not more 
than the greater of 25 percent of--
          (i) the funds allotted to a State under this title 
        for such fiscal year; or
          (ii) the funds available to such State under this 
        title for such fiscal year;
for residential weatherization or other energy-related home 
repair for low-income households, particularly those low-income 
households with the lowest incomes that pay a high proportion 
of household income for home energy.
  (B) For purposes of subparagraph (A), the Secretary may grant 
a waiver to a State for a fiscal year if the State submits a 
written request to the Secretary after March 31 of such fiscal 
year and if the Secretary determines, after reviewing such 
request and any public comments, that--
          (i)(I) the number of households in the State that 
        will receive benefits, other than weatherization and 
        energy-related home repair, under this title in such 
        fiscal year will not be fewer than the number of 
        households in the State that received benefits, other 
        than weatherization and energy-related home repair, 
        under this title in the preceding fiscal year;
          (II) the aggregate amounts of benefits that will be 
        received under this title by all households in the 
        State in such fiscal year will not be less than the 
        aggregate amount of such benefits that were received 
        under this title by all households in the State in the 
        preceding fiscal year; and
          (III) such weatherization activities have been 
        demonstrated to produce measurable savings in energy 
        expenditures by low-income households; or
          (ii) in accordance with rules issued by the 
        Secretary, the State demonstrates good cause for 
        failing to satisfy the requirements specified in clause 
        (i).
  (l)(1) Any State may use amounts provided under this title 
for the purpose of providing credits against State tax to 
energy suppliers who supply home energy at reduced rates to 
low-income households.
  (2) Any such credit provided by a State shall not exceed the 
amount of the loss of revenue to such supplier on account of 
such reduced rate.
  (3) Any certification for such tax credits shall be made by 
the State, but such State may use Federal data available to 
such State with respect to recipients of supplemental security 
income benefits if timely delivery of benefits to households 
described in subsection (b) and suppliers will not be impeded 
by the use of such data.

           *       *       *       *       *       *       *

                              ----------                              


                     INTERNAL REVENUE CODE OF 1986



           *       *       *       *       *       *       *
Subtitle A--Income Taxes

           *       *       *       *       *       *       *


CHAPTER 1--NORMAL TAXES AND SURTAXES

           *       *       *       *       *       *       *


Subchapter A--Determination of Tax Liability

           *       *       *       *       *       *       *


PART IV--CREDITS AGAINST TAX

           *       *       *       *       *       *       *


Subpart F--Rules for Computing Work Opportunity Credit

           *       *       *       *       *       *       *


SEC. 51. AMOUNT OF CREDIT.

  (a) Determination of amount.--For purposes of section 38, the 
amount of the work opportunity credit determined under this 
section for the taxable year shall be equal to 40 percent of 
the qualified first-year wages for such year.
  (b) Qualified wages defined.--For purposes of this subpart--
          (1) In general.--The term ``qualified wages'' means 
        the wages paid or incurred by the employer during the 
        taxable year to individuals who are members of a 
        targeted group.
          (2) Qualified first-year wages.--The term ``qualified 
        first-year wages'' means, with respect to any 
        individual, qualified wages attributable to service 
        rendered during the 1-year period beginning with the 
        day the individual begins work for the employer.
          (3) Limitation on wages per year taken into 
        account.--The amount of the qualified first-year wages 
        which may be taken into account with respect to any 
        individual shall not exceed $6,000 per year ($12,000 
        per year in the case of any individual who is a 
        qualified veteran by reason of subsection 
        (d)(3)(A)(ii)(I), $14,000 per year in the case of any 
        individual who is a qualified veteran by reason of 
        subsection (d)(3)(A)(iv), and $24,000 per year in the 
        case of any individual who is a qualified veteran by 
        reason of subsection (d)(3)(A)(ii)(II)).
  (c) Wages defined.--For purposes of this subpart--
          (1) In general.--Except as otherwise provided in this 
        subsection and subsection (h)(2), the term ``wages'' 
        has the meaning given to such term by subsection (b) of 
        section 3306 (determined without regard to any dollar 
        limitation contained in such section).
          (2) On-the-job training and work supplementation 
        payments.--
                  (A) Exclusion for employers receiving on-the-
                job training payments.--The term ``wages'' 
                shall not include any amounts paid or incurred 
                by an employer for any period to any individual 
                for whom the employer receives federally funded 
                payments for on-the-job training of such 
                individual for such period.
                  (B) Reduction for work supplementation 
                payments to employers.--The amount of wages 
                which would (but for this subparagraph) be 
                qualified wages under this section for an 
                employer with respect to an individual for a 
                taxable year shall be reduced by an amount 
                equal to the amount of the payments made to 
                such employer (however utilized by such 
                employer) with respect to such individual for 
                such taxable year under a program established 
                under section 482(e) of the Social Security 
                Act.
          (3) Payments for services during labor disputes.--
        If--
                  (A) the principal place of employment of an 
                individual with the employer is at a plant or 
                facility, and
                  (B) there is a strike or lockout involving 
                employees at such plant or facility,
        the term ``wages'' shall not include any amount paid or 
        incurred by the employer to such individual for 
        services which are the same as, or substantially 
        similar to, those services performed by employees 
        participating in, or affected by, the strike or lockout 
        during the period of such strike or lockout.
          (4) Termination.--The term ``wages'' shall not 
        include any amount paid or incurred to an individual 
        who begins work for the employer after December 31, 
        2019.
          (5) Coordination with payroll tax forgiveness.--The 
        term ``wages'' shall not include any amount paid or 
        incurred to a qualified individual (as defined in 
        section 3111(d)(3)) during the 1-year period beginning 
        on the hiring date of such individual by a qualified 
        employer (as defined in section 3111(d)) unless such 
        qualified employer makes an election not to have 
        section 3111(d) apply.
  (d) Members of targeted groups.--For purposes of this 
subpart--
          (1) In general.--An individual is a member of a 
        targeted group if such individual is--
                  (A) a qualified IV-A recipient,
                  (B) a qualified veteran,
                  (C) a qualified ex-felon,
                  (D) a designated community resident,
                  (E) a vocational rehabilitation referral,
                  (F) a qualified summer youth employee,
                  (G) a qualified supplemental nutrition 
                assistance program benefits recipient,
                  (H) a qualified SSI recipient,
                  (I) a long-term family assistance recipient, 
                or
                  (J) a qualified long-term unemployment 
                recipient.
          (2) Qualified IV-A recipient.--
                  (A) In general.--The term ``qualified IV-A 
                recipient'' means any individual who is 
                certified by the designated local agency as 
                being a member of a family receiving assistance 
                under a IV-A program for any 9 months during 
                the 18-month period ending on the hiring date.
                  (B) IV-A program.--For purposes of this 
                paragraph, the term ``IV-A program'' means any 
                program providing assistance under a State 
                program funded under part A of title IV of the 
                Social Security Act and any successor of such 
                program.
          (3) Qualified veteran.--
                  (A) In general.--The term ``qualified 
                veteran'' means any veteran who is certified by 
                the designated local agency as--
                          (i) being a member of a family 
                        receiving assistance under a 
                        supplemental nutrition assistance 
                        program under the Food and Nutrition 
                        Act of 2008 for at least a 3-month 
                        period ending during the 12-month 
                        period ending on the hiring date,
                          (ii) entitled to compensation for a 
                        service-connected disability, and--
                                  (I) having a hiring date 
                                which is not more that 1 year 
                                after having been discharged or 
                                released from active duty in 
                                the Armed Forces of the United 
                                States, or
                                  (II) having aggregate periods 
                                of unemployment during the 1-
                                year period ending on the 
                                hiring date which equal or 
                                exceed 6 months,
                          (iii) having aggregate periods of 
                        unemployment during the 1-year period 
                        ending on the hiring date which equal 
                        or exceed 4 weeks (but less than 6 
                        months), or
                          (iv) having aggregate periods of 
                        unemployment during the 1-year period 
                        ending on the hiring date which equal 
                        or exceed 6 months.
                  (B) Veteran.--For purposes of subparagraph 
                (A), the term ``veteran'' means any individual 
                who is certified by the designated local agency 
                as--
                          (i)
                                  (I) having served on active 
                                duty (other than active duty 
                                for training) in the Armed 
                                Forces of the United States for 
                                a period of more than 180 days, 
                                or
                                  (II) having been discharged 
                                or released from active duty in 
                                the Armed Forces of the United 
                                States for a service-connected 
                                disability, and
                          (ii) not having any day during the 
                        60-day period ending on the hiring date 
                        which was a day of extended active duty 
                        in the Armed Forces of the United 
                        States.
                For purposes of clause (ii), the term 
                ``extended active duty'' means a period of more 
                than 90 days during which the individual was on 
                active duty (other than active duty for 
                training).
                  (C) Other definitions.--For purposes of 
                subparagraph (A), the terms ``compensation'' 
                and ``service-connected'' have the meanings 
                given such terms under section 101 of title 38, 
                United States Code.
          (4) Qualified ex-felon.--The term ``qualified ex-
        felon'' means any individual who is certified by the 
        designated local agency--
                  (A) as having been convicted of a felony 
                under any statute of the United States or any 
                State, and
                  (B) as having a hiring date which is not more 
                than 1 year after the last date on which such 
                individual was so convicted or was released 
                from prison.
          (5) Designated community residents.--
                  (A) In general.--The term ``designated 
                community resident'' means any individual who 
                is certified by the designated local agency--
                          (i) as having attained age 18 but not 
                        age 40 on the hiring date, and
                          (ii) as having his principal place of 
                        abode within an empowerment zone, 
                        enterprise community, renewal 
                        community, or rural renewal county.
                  (B) Individual must continue to reside in 
                zone, community, or county.--In the case of a 
                designated community resident, the term 
                ``qualified wages'' shall not include wages 
                paid or incurred for services performed while 
                the individual's principal place of abode is 
                outside an empowerment zone, enterprise 
                community, renewal community, or rural renewal 
                county.
                  (C) Rural renewal county.--For purposes of 
                this paragraph, the term ``rural renewal 
                county'' means any county which--
                          (i) is outside a metropolitan 
                        statistical area (defined as such by 
                        the Office of Management and Budget), 
                        and
                          (ii) during the 5-year periods 1990 
                        through 1994 and 1995 through 1999 had 
                        a net population loss.
          (6) Vocational rehabilitation referral.--The term 
        ``vocational rehabilitation referral'' means any 
        individual who is certified by the designated local 
        agency as--
                  (A) having a physical or mental disability 
                which, for such individual, constitutes or 
                results in a substantial handicap to 
                employment, and
                  (B) having been referred to the employer upon 
                completion of (or while receiving) 
                rehabilitative services pursuant to--
                          (i) an individualized written plan 
                        for employment under a State plan for 
                        vocational rehabilitation services 
                        approved under the Rehabilitation Act 
                        of 1973,
                          (ii) a program of vocational 
                        rehabilitation carried out under 
                        chapter 31 of title 38, United States 
                        Code, or
                          (iii) an individual work plan 
                        developed and implemented by an 
                        employment network pursuant to 
                        subsection (g) of section 1148 of the 
                        Social Security Act with respect to 
                        which the requirements of such 
                        subsection are met.
          (7) Qualified summer youth employee.--
                  (A) In general.--The term ``qualified summer 
                youth employee'' means any individual--
                          (i) who performs services for the 
                        employer between May 1 and September 
                        15,
                          (ii) who is certified by the 
                        designated local agency as having 
                        attained age 16 but not 18 on the 
                        hiring date (or if later, on May 1 of 
                        the calendar year involved),
                          (iii) who has not been an employee of 
                        the employer during any period prior to 
                        the 90-day period described in 
                        subparagraph (B)(i), and
                          (iv) who is certified by the 
                        designated local agency as having his 
                        principal place of abode within an 
                        empowerment zone, enterprise community, 
                        or renewal community.
                  (B) Special rules for determining amount of 
                credit.--For purposes of applying this subpart 
                to wages paid or incurred to any qualified 
                summer youth employee--
                          (i) subsection (b)(2) shall be 
                        applied by substituting ``any 90-day 
                        period between May 1 and September 15'' 
                        for ``the 1-year period beginning with 
                        the day the individual begins work for 
                        the employer'', and
                          (ii) subsection (b)(3) shall be 
                        applied by substituting ``$3,000'' for 
                        ``$6,000''.
                The preceding sentence shall not apply to an 
                individual who, with respect to the same 
                employer, is certified as a member of another 
                targeted group after such individual has been a 
                qualified summer youth employee.
                  (C) Youth must continue to reside in zone or 
                community.--Paragraph (5)(B) shall apply for 
                purposes of subparagraph (A)(iv).
          (8) Qualified supplemental nutrition assistance 
        program benefits recipient.--
                  (A) In general.--The term ``qualified 
                supplemental nutrition assistance program 
                benefits recipient'' means any individual who 
                is certified by the designated local agency--
                          (i) as having attained age 18 but not 
                        age 40 on the hiring date, and
                          (ii) as being a member of a [family--
                        ]
                                  [(I) receiving] family 
                                receiving assistance under a 
                                supplemental nutrition 
                                assistance program under the 
                                Food and Nutrition Act of 2008 
                                for the 6-month period ending 
                                on the hiring date[, or].
                                  [(II) receiving such 
                                assistance for at least 3 
                                months of the 5-month period 
                                ending on the hiring date, in 
                                the case of a member of a 
                                family who ceases to be 
                                eligible for such assistance 
                                under section 6(o) of the Food 
                                and Nutrition Act of 2008.]
                  (B) Participation information.--
                Notwithstanding any other provision of law, the 
                Secretary of the Treasury and the Secretary of 
                Agriculture shall enter into an agreement to 
                provide information to designated local 
                agencies with respect to participation in the 
                supplemental nutrition assistance program.
          (9) Qualified SSI recipient.--The term ``qualified 
        SSI recipient'' means any individual who is certified 
        by the designated local agency as receiving 
        supplemental security income benefits under title XVI 
        of the Social Security Act (including supplemental 
        security income benefits of the type described in 
        section 1616 of such Act or section 212 of Public Law 
        93-66) for any month ending within the 60-day period 
        ending on the hiring date.
          (10) Long-term family assistance recipient.--The term 
        ``long-term family assistance recipient'' means any 
        individual who is certified by the designated local 
        agency--
                  (A) as being a member of a family receiving 
                assistance under a IV-A program (as defined in 
                paragraph (2)(B)) for at least the 18-month 
                period ending on the hiring date,
                  (B)
                          (i) as being a member of a family 
                        receiving such assistance for 18 months 
                        beginning after August 5, 1997, and
                          (ii) as having a hiring date which is 
                        not more than 2 years after the end of 
                        the earliest such 18-month period, or
                  (C)
                          (i) as being a member of a family 
                        which ceased to be eligible for such 
                        assistance by reason of any limitation 
                        imposed by Federal or State law on the 
                        maximum period such assistance is 
                        payable to a family, and
                          (ii) as having a hiring date which is 
                        not more than 2 years after the date of 
                        such cessation.
          (11) Hiring date.--The term ``hiring date'' means the 
        day the individual is hired by the employer.
          (12) Designated local agency.--The term ``designated 
        local agency'' means a State employment security agency 
        established in accordance with the Act of June 6, 1933, 
        as amended (29 U.S.C. 49-49n).
          (13) Special rules for certifications.--
                  (A) In general.--An individual shall not be 
                treated as a member of a targeted group 
                unless--
                          (i) on or before the day on which 
                        such individual begins work for the 
                        employer, the employer has received a 
                        certification from a designated local 
                        agency that such individual is a member 
                        of a targeted group, or
                          (ii)
                                  (I) on or before the day the 
                                individual is offered 
                                employment with the employer, a 
                                pre-screening notice is 
                                completed by the employer with 
                                respect to such individual, and
                                  (II) not later than the 28th 
                                day after the individual begins 
                                work for the employer, the 
                                employer submits such notice, 
                                signed by the employer and the 
                                individual under penalties of 
                                perjury, to the designated 
                                local agency as part of a 
                                written request for such a 
                                certification from such agency.
        For purposes of this paragraph, the term ``pre-
        screening notice'' means a document (in such form as 
        the Secretary shall prescribe) which contains 
        information provided by the individual on the basis of 
        which the employer believes that the individual is a 
        member of a targeted group.
                  (B) Incorrect certifications.--If--
                          (i) an individual has been certified 
                        by a designated local agency as a 
                        member of a targeted group, and
                          (ii) such certification is incorrect 
                        because it was based on false 
                        information provided by such 
                        individual, the certification shall be 
                        revoked and wages paid by the employer 
                        after the date on which notice of 
                        revocation is received by the employer 
                        shall not be treated as qualified 
                        wages.
                  (C) Explanation of denial of request.--If a 
                designated local agency denies a request for 
                certification of membership in a targeted 
                group, such agency shall provide to the person 
                making such request a written explanation of 
                the reasons for such denial.
                  (D) Credit for unemployed veterans.--
                          (i) In general.--Notwithstanding 
                        subparagraph (A), for purposes of 
                        paragraph (3)(A)--
                                  (I) a veteran will be treated 
                                as certified by the designated 
                                local agency as having 
                                aggregate periods of 
                                unemployment meeting the 
                                requirements of clause (ii)(II) 
                                or (iv) of such paragraph 
                                (whichever is applicable) if 
                                such veteran is certified by 
                                such agency as being in receipt 
                                of unemployment compensation 
                                under State or Federal law for 
                                not less than 6 months during 
                                the 1-year period ending on the 
                                hiring date, and
                                  (II) a veteran will be 
                                treated as certified by the 
                                designated local agency as 
                                having aggregate periods of 
                                unemployment meeting the 
                                requirements of clause (iii) of 
                                such paragraph if such veteran 
                                is certified by such agency as 
                                being in receipt of 
                                unemployment compensation under 
                                State or Federal law for not 
                                less than 4 weeks (but less 
                                than 6 months) during the 1-
                                year period ending on the 
                                hiring date.
                          (ii) Regulatory authority.--The 
                        Secretary may provide alternative 
                        methods for certification of a veteran 
                        as a qualified veteran described in 
                        clause (ii)(II), (iii), or (iv) of 
                        paragraph (3)(A), at the Secretary's 
                        discretion.
          (14) Credit allowed for unemployed veterans and 
        disconnected youth hired in 2009 or 2010.--
                  (A) In general.--Any unemployed veteran or 
                disconnected youth who begins work for the 
                employer during 2009 or 2010 shall be treated 
                as a member of a targeted group for purposes of 
                this subpart.
                  (B) Definitions.--For purposes of this 
                paragraph--
                          (i) Unemployed veteran.--The term 
                        ``unemployed veteran'' means any 
                        veteran (as defined in paragraph 
                        (3)(B), determined without regard to 
                        clause (ii) thereof) who is certified 
                        by the designated local agency as--
                                  (I) having been discharged or 
                                released from active duty in 
                                the Armed Forces at any time 
                                during the 5-year period ending 
                                on the hiring date, and
                                  (II) being in receipt of 
                                unemployment compensation under 
                                State or Federal law for not 
                                less than 4 weeks during the 1-
                                year period ending on the 
                                hiring date.
                          (ii) Disconnected youth.--The term 
                        ``disconnected youth'' means any 
                        individual who is certified by the 
                        designated local agency--
                                  (I) as having attained age 16 
                                but not age 25 on the hiring 
                                date,
                                  (II) as not regularly 
                                attending any secondary, 
                                technical, or post-secondary 
                                school during the 6-month 
                                period preceding the hiring 
                                date,
                                  (III) as not regularly 
                                employed during such 6- month 
                                period, and
                                  (IV) as not readily 
                                employable by reason of lacking 
                                a sufficient number of basic 
                                skills.
          (15) Qualified long-term unemployment recipient.--The 
        term ``qualified long-term unemployment recipient'' 
        means any individual who is certified by the designated 
        local agency as being in a period of unemployment 
        which--
                  (A) is not less than 27 consecutive weeks, 
                and
                  (B) includes a period in which the individual 
                was receiving unemployment compensation under 
                State or Federal law.
  (e) Credit for second-year wages for employment of long-term 
family assistance recipients.--
          (1) In general.--With respect to the employment of a 
        long- term family assistance recipient--
                  (A) the amount of the work opportunity credit 
                determined under this section for the taxable 
                year shall include 50 percent of the qualified 
                second-year wages for such year, and
                  (B) in lieu of applying subsection (b)(3), 
                the amount of the qualified first-year wages, 
                and the amount of qualified second-year wages, 
                which may be taken into account with respect to 
                such a recipient shall not exceed $10,000 per 
                year.
          (2) Qualified second-year wages.--For purposes of 
        this subsection, the term ``qualified second-year 
        wages'' means qualified wages--
                  (A) which are paid to a long-term family 
                assistance recipient, and
                  (B) which are attributable to service 
                rendered during the 1-year period beginning on 
                the day after the last day of the 1-year period 
                with respect to such recipient determined under 
                subsection (b)(2).
          (3) Special rules for agricultural and railway 
        labor.--If such recipient is an employee to whom 
        subparagraph (A) or (B) of subsection (h)(1) applies, 
        rules similar to the rules of such subparagraphs shall 
        apply except that--
                  (A) such subparagraph (A) shall be applied by 
                substituting ``$10,000'' for ``$6,000'', and
                  (B) such subparagraph (B) shall be applied by 
                substituting ``$833.33'' for ``$500''.
  (f) Remuneration must be for trade or business employment.--
          (1) In general.--For purposes of this subpart, 
        remuneration paid by an employer to an employee during 
        any taxable year shall be taken into account only if 
        more than one-half of the remuneration so paid is for 
        services performed in a trade or business of the 
        employer.
          (2) Special rule for certain determination.--Any 
        determination as to whether paragraph (1), or 
        subparagraph (A) or (B) of subsection (h)(1), applies 
        with respect to any employee for any taxable year shall 
        be made without regard to subsections (a) and (b) of 
        section 52.
  (g) United States Employment Service to notify employers of 
availability of credit.--The United States Employment Service, 
in consultation with the Internal Revenue Service, shall take 
such steps as may be necessary or appropriate to keep employers 
apprised of the availability of the work opportunity credit 
determined under this subpart.
  (h) Special rules for agricultural labor and railway labor.--
For purposes of this subpart--
          (1) Unemployment insurance wages.--
                  (A) Agricultural labor.--If the services 
                performed by any employee for an employer 
                during more than one-half of any pay period 
                (within the meaning of section 3306(d)) taken 
                into account with respect to any year 
                constitute agricultural labor (within the 
                meaning of section 3306(k)), the term 
                ``unemployment insurance wages'' means, with 
                respect to the remuneration paid by the 
                employer to such employee for such year, an 
                amount equal to so much of such remuneration as 
                constitutes ``wages'' within the meaning of 
                section 3121(a), except that the contribution 
                and benefit base for each calendar year shall 
                be deemed to be $6,000.
                  (B) Railway labor.--If more than one-half of 
                remuneration paid by an employer to an employee 
                during any year is remuneration for service 
                described in section 3306(c)(9), the term 
                ``unemployment insurance wages'' means, with 
                respect to such employee for such year, an 
                amount equal to so much of the remuneration 
                paid to such employee during such year which 
                would be subject to contributions under section 
                8(a) of the Railroad Unemployment Insurance Act 
                (45 USC Sec. 358(a)) if the maximum amount 
                subject to such contributions were $500 per 
                month.
          (2) Wages.--In any case to which subparagraph (A) or 
        (B) of paragraph (1) applies, the term ``wages'' means 
        unemployment insurance wages (determined without regard 
        to any dollar limitation).
  (i) Certain individuals ineligible.--
          (1) Related individuals.--No wages shall be taken 
        into account under subsection (a) with respect to an 
        individual who--
                  (A) bears any of the relationships described 
                in subparagraphs (A) through (G) of section 
                152(d)(2) to the taxpayer, or, if the taxpayer 
                is a corporation, to an individual who owns, 
                directly or indirectly, more than 50 percent in 
                value of the outstanding stock of the 
                corporation, or, if the taxpayer is an entity 
                other than a corporation, to any individual who 
                owns, directly or indirectly, more than 50 
                percent of the capital and profits interests in 
                the entity (determined with the application of 
                section 267(c)),
                  (B) if the taxpayer is an estate or trust, is 
                a grantor, beneficiary, or fiduciary of the 
                estate or trust, or is an individual who bears 
                any of the relationships described in 
                subparagraphs (A) through (G) of section 
                152(d)(2) to a grantor, beneficiary, or 
                fiduciary of the estate or trust, or
                  (C) is a dependent (described in section 
                152(d)(2)(H)) of the taxpayer, or, if the 
                taxpayer is a corporation, of an individual 
                described in subparagraph (A), or, if the 
                taxpayer is an estate or trust, of a grantor, 
                beneficiary, or fiduciary of the estate or 
                trust.
          (2) Nonqualifying rehires.--No wages shall be taken 
        into account under subsection (a) with respect to any 
        individual if, prior to the hiring date of such 
        individual, such individual had been employed by the 
        employer at any time.
          (3) Individuals not meeting minimum employment 
        period.--
                  (A) Reduction of credit for individuals 
                performing fewer than 400 hours of service.--In 
                the case of an individual who has performed at 
                least 120 hours, but less than 400 hours, of 
                service for the employer, subsection (a) shall 
                be applied by substituting ``25 percent'' for 
                ``40 percent''.
                  (B) Denial of credit for individuals 
                performing fewer than 120 hours of service.--No 
                wages shall be taken into account under 
                subsection (a) with respect to any individual 
                unless such individual has performed at least 
                120 hours of service for the employer.
  (j) Election to have work opportunity credit not apply.--
          (1) In general.--A taxpayer may elect to have this 
        section not apply for any taxable year.
          (2) Time for making election.--An election under 
        paragraph (1) for any taxable year may be made (or 
        revoked) at any time before the expiration of the 3-
        year period beginning on the last date prescribed by 
        law for filing the return for such taxable year 
        (determined without regard to extensions)
          (3) Manner of making election.--An election under 
        paragraph (1) (or revocation thereof) shall be made in 
        such manner as the Secretary may by regulations 
        prescribe.
  (k) Treatment of successor employers; treatment of employees 
performing services for other persons.--
          (1) Treatment of successor employers.--Under 
        regulations prescribed by the Secretary, in the case of 
        a successor employer referred to in section 3306(b)(1), 
        the determination of the amount of the credit under 
        this section with respect to wages paid by such 
        successor employer shall be made in the same manner as 
        if such wages were paid by the predecessor employer 
        referred to in such section.
          (2) Treatment of employees performing services for 
        other persons.--No credit shall be determined under 
        this section with respect to remuneration paid by an 
        employer to an employee for services performed by such 
        employee for another person unless the amount 
        reasonably expected to be received by the employer for 
        such services from such other person exceeds the 
        remuneration paid by the employer to such employee for 
        such services.

           *       *       *       *       *       *       *

                              ----------                              


                WORKFORCE INNOVATION AND OPPORTUNITY ACT



           *       *       *       *       *       *       *
               TITLE I--WORKFORCE DEVELOPMENT ACTIVITIES

                      Subtitle A--System Alignment

CHAPTER 1--STATE PROVISIONS

           *       *       *       *       *       *       *


SEC. 103. COMBINED STATE PLAN.

  (a) In general.--
          (1) Authority to submit plan.--A State may develop 
        and submit to the appropriate Secretaries a combined 
        State plan for the core programs and 1 or more of the 
        programs and activities described in paragraph (2) in 
        lieu of submitting 2 or more plans, for the programs 
        and activities and the core programs.
          (2) Programs.--The programs and activities referred 
        to in paragraph (1) are as follows:
                  (A) Career and technical education programs 
                authorized under the Carl D. Perkins Career and 
                Technical Education Act of 2006 (20 U.S.C. 2301 
                et seq.).
                  (B) Programs authorized under part A of title 
                IV of the Social Security Act (42 U.S.C. 601 et 
                seq.).
                  (C) Programs authorized under section 6(d)(4) 
                of the Food and Nutrition Act of 2008 (7 U.S.C. 
                2015(d)(4)).
                  [(D) Work programs authorized under section 
                6(o) of the Food and Nutrition Act of 2008 (7 
                U.S.C. 2015(o)).]
                  (E) Activities authorized under chapter 2 of 
                title II of the Trade Act of 1974 (19 U.S.C. 
                2271 et seq.).
                  (F) Activities authorized under chapter 41 of 
                title 38, United States Code.
                  (G) Programs authorized under State 
                unemployment compensation laws (in accordance 
                with applicable Federal law).
                  (H) Programs authorized under title V of the 
                Older Americans Act of 1965 (42 U.S.C. 3056 et 
                seq.).
                  (I) Employment and training activities 
                carried out by the Department of Housing and 
                Urban Development.
                  (J) Employment and training activities 
                carried out under the Community Services Block 
                Grant Act (42 U.S.C. 9901 et seq.).
                  (K) Programs authorized under section 212 of 
                the Second Chance Act of 2007 (42 U.S.C. 
                17532).
  (b) Requirements.--
          (1) In general.--The portion of a combined plan 
        covering the core programs shall be subject to the 
        requirements of section 102 (including section 
        102(c)(3)). The portion of such plan covering a program 
        or activity described in subsection (a)(2) shall be 
        subject to the requirements, if any, applicable to a 
        plan or application for assistance for that program or 
        activity, under the Federal law authorizing the program 
        or activity. At the election of the State, section 
        102(c)(3) may apply to that portion.
          (2) Additional submission not required.--A State that 
        submits a combined plan that is approved under 
        subsection (c) shall not be required to submit any 
        other plan or application in order to receive Federal 
        funds to carry out the core programs or the program or 
        activities described in subsection (a)(2) that are 
        covered by the combined plan.
          (3) Coordination.--A combined plan shall include--
                  (A) a description of the methods used for 
                joint planning and coordination of the core 
                programs and the other programs and activities 
                covered by the combined plan; and
                  (B) an assurance that the methods included an 
                opportunity for the entities responsible for 
                planning or administering the core programs and 
                the other programs and activities to review and 
                comment on all portions of the combined plan.
  (c) Approval by the Appropriate Secretaries.--
          (1) Jurisdiction.--The appropriate Secretary shall 
        have the authority to approve the corresponding portion 
        of a combined plan as described in subsection (d). On 
        the approval of the appropriate Secretary, that portion 
        of the combined plan, covering a program or activity, 
        shall be implemented by the State pursuant to that 
        portion of the combined plan, and the Federal law 
        authorizing the program or activity.
          (2) Approval of core programs.--No portion of the 
        plan relating to a core program shall be implemented 
        until the appropriate Secretary approves the 
        corresponding portions of the plan for all core 
        programs.
          (3) Timing of approval.--
                  (A) In general.--Except as provided in 
                subparagraphs (B) and (C), a portion of the 
                combined State plan covering the core programs 
                or a program or activity described in 
                subsection (a)(2) shall be considered to be 
                approved by the appropriate Secretary at the 
                end of the 90-day period beginning on the day 
                the plan is submitted.
                  (B) Plan approved by 3 or more appropriate 
                secretaries.--If an appropriate Secretary other 
                than the Secretary of Labor or the Secretary of 
                Education has authority to approve a portion of 
                a combined plan, that portion of the combined 
                plan shall be considered to be approved by the 
                appropriate Secretary at the end of the 120-day 
                period beginning on the day the plan is 
                submitted.
                  (C) Disapproval.--The portion shall not be 
                considered to be approved if the appropriate 
                Secretary makes a written determination, during 
                the 90-day period (or the 120-day period, for 
                an appropriate Secretary covered by 
                subparagraph (B)), that the portion is not 
                consistent with the requirements of the Federal 
                law authorizing or applicable to the program or 
                activity involved, including the criteria for 
                approval of a plan or application, if any, 
                under such law, or the plan is not consistent 
                with the requirements of this section.
          (4) Special Rule.--In paragraph (3), the term 
        ``criteria for approval of a plan or application'', 
        with respect to a State and a core program or a program 
        under the Carl D. Perkins Career and Technical 
        Education Act of 2006 (20 U.S.C. 2301 et seq.), 
        includes a requirement for agreement between the State 
        and the appropriate Secretaries regarding State 
        performance measures or State performance 
        accountability measures, as the case may be, including 
        levels of performance.
  (d) Appropriate Secretary.--In this section, the term 
``appropriate Secretary'' means--
          (1) with respect to the portion of a combined plan 
        relating to any of the core programs (including a 
        description, and an assurance concerning that program, 
        specified in subsection (b)(3)), the Secretary of Labor 
        and the Secretary of Education; and
          (2) with respect to the portion of a combined plan 
        relating to a program or activity described in 
        subsection (a)(2) (including a description, and an 
        assurance concerning that program or activity, 
        specified in subsection (b)(3)), the head of the 
        Federal agency who exercises plan or application 
        approval authority for the program or activity under 
        the Federal law authorizing the program or activity, 
        or, if there are no planning or application 
        requirements for such program or activity, exercises 
        administrative authority over the program or activity 
        under that Federal law.

           *       *       *       *       *       *       *


       Subtitle B--Workforce Investment Activities and Providers

        CHAPTER 1--WORKFORCE INVESTMENT ACTIVITIES AND PROVIDERS

SEC. 121. ESTABLISHMENT OF ONE-STOP DELIVERY SYSTEMS.

  (a) In general.--Consistent with an approved State plan, the 
local board for a local area, with the agreement of the chief 
elected official for the local area, shall--
          (1) develop and enter into the memorandum of 
        understanding described in subsection (c) with one-stop 
        partners;
          (2) designate or certify one-stop operators under 
        subsection (d); and
          (3) conduct oversight with respect to the one-stop 
        delivery system in the local area.
  (b) One-stop Partners.--
          (1) Required partners.--
                  (A) Roles and responsibilities of one-stop 
                partners.--Each entity that carries out a 
                program or activities described in subparagraph 
                (B) in a local area shall--
                          (i) provide access through the one-
                        stop delivery system to such program or 
                        activities carried out by the entity, 
                        including making the career services 
                        described in section 134(c)(2) that are 
                        applicable to the program or activities 
                        available at the one-stop centers (in 
                        addition to any other appropriate 
                        locations);
                          (ii) use a portion of the funds 
                        available for the program and 
                        activities to maintain the one-stop 
                        delivery system, including payment of 
                        the infrastructure costs of one-stop 
                        centers in accordance with subsection 
                        (h);
                          (iii) enter into a local memorandum 
                        of understanding with the local board, 
                        relating to the operation of the one-
                        stop system, that meets the 
                        requirements of subsection (c);
                          (iv) participate in the operation of 
                        the one-stop system consistent with the 
                        terms of the memorandum of 
                        understanding, the requirements of this 
                        title, and the requirements of the 
                        Federal laws authorizing the program or 
                        activities; and
                          (v) provide representation on the 
                        State board to the extent provided 
                        under section 101.
                  (B) Programs and activities.--The programs 
                and activities referred to in subparagraph (A) 
                consist of--
                          (i) programs authorized under this 
                        title;
                          (ii) programs authorized under the 
                        Wagner-Peyser Act (29 U.S.C. 49 et 
                        seq.);
                          (iii) adult education and literacy 
                        activities authorized under title II;
                          (iv) programs authorized under title 
                        I of the Rehabilitation Act of 1973 (29 
                        U.S.C. 720 et seq.) (other than section 
                        112 or part C of title I of such Act 
                        (29 U.S.C. 732, 741);
                          (v) activities authorized under title 
                        V of the Older Americans Act of 1965 
                        (42 U.S.C. 3056 et seq.);
                          (vi) career and technical education 
                        programs at the postsecondary level 
                        authorized under the Carl D. Perkins 
                        Career and Technical Education Act of 
                        2006 (20 U.S.C. 2301 et seq.);
                          (vii) activities authorized under 
                        chapter 2 of title II of the Trade Act 
                        of 1974 (19 U.S.C. 2271 et seq.);
                          (viii) activities authorized under 
                        chapter 41 of title 38, United States 
                        Code;
                          (ix) employment and training 
                        activities carried out under the 
                        Community Services Block Grant Act (42 
                        U.S.C. 9901 et seq.);
                          (x) employment and training 
                        activities carried out by the 
                        Department of Housing and Urban 
                        Development;
                          (xi) programs authorized under State 
                        unemployment compensation laws (in 
                        accordance with applicable Federal 
                        law);
                          (xii) programs authorized under 
                        section 212 of the Second Chance Act of 
                        2007 (42 U.S.C. 17532); and
                          (xiii) programs authorized under part 
                        A of title IV of the Social Security 
                        Act (42 U.S.C. 601 et seq.), subject to 
                        subparagraph (C).
                  (C) Determination by the governor.--
                          (i) In general.--An entity that 
                        carries out a program referred to in 
                        subparagraph (B)(xiii) shall be 
                        included in the one-stop partners for 
                        the local area, as a required partner, 
                        for purposes of this Act and the other 
                        core program provisions that are not 
                        part of this Act, unless the Governor 
                        provides the notification described in 
                        clause (ii).
                          (ii) Notification.--The notification 
                        referred to in clause (i) is a 
                        notification that--
                                  (I) is made in writing of a 
                                determination by the Governor 
                                not to include such entity in 
                                the one-stop partners described 
                                in clause (i); and
                                  (II) is provided to the 
                                Secretary of Labor (referred to 
                                in this subtitle, and subtitles 
                                C through E, as the 
                                ``Secretary'') and the 
                                Secretary of Health and Human 
                                Services.
          (2) Additional partners.--
                  (A) In general.--With the approval of the 
                local board and chief elected official, in 
                addition to the entities described in paragraph 
                (1), other entities that carry out workforce 
                development programs described in subparagraph 
                (B) may be one-stop partners for the local area 
                and carry out the responsibilities described in 
                paragraph (1)(A).
                  (B) Programs.--The programs referred to in 
                subparagraph (A) may include--
                          (i) employment and training programs 
                        administered by the Social Security 
                        Administration, including the Ticket to 
                        Work and Self-Sufficiency Program 
                        established under section 1148 of the 
                        Social Security Act (42 U.S.C. 1320b-
                        19);
                          (ii) employment and training programs 
                        carried out by the Small Business 
                        Administration;
                          (iii) programs authorized under 
                        section 6(d)(4) of the Food and 
                        Nutrition Act of 2008 (7 U.S.C. 
                        2015(d)(4));
                          [(iv) work programs authorized under 
                        section 6(o) of the Food and Nutrition 
                        Act of 2008 (7 U.S.C. 2015(o));]
                          (v) programs carried out under 
                        section 112 of the Rehabilitation Act 
                        of 1973 (29 U.S.C. 732);
                          (vi) programs authorized under the 
                        National and Community Service Act of 
                        1990 (42 U.S.C. 12501 et seq.); and
                          (vii) other appropriate Federal, 
                        State, or local programs, including 
                        employment, education, and training 
                        programs provided by public libraries 
                        or in the private sector.
  (c) Memorandum of Understanding.--
          (1) Development.--The local board, with the agreement 
        of the chief elected official, shall develop and enter 
        into a memorandum of understanding (between the local 
        board and the one-stop partners), consistent with 
        paragraph (2), concerning the operation of the one-stop 
        delivery system in the local area.
          (2) Contents.--Each memorandum of understanding shall 
        contain--
                  (A) provisions describing--
                          (i) the services to be provided 
                        through the one-stop delivery system 
                        consistent with the requirements of 
                        this section, including the manner in 
                        which the services will be coordinated 
                        and delivered through such system;
                          (ii) how the costs of such services 
                        and the operating costs of such system 
                        will be funded, including--
                                  (I) funding through cash and 
                                in-kind contributions (fairly 
                                evaluated), which contributions 
                                may include funding from 
                                philanthropic organizations or 
                                other private entities, or 
                                through other alternative 
                                financing options, to provide a 
                                stable and equitable funding 
                                stream for ongoing one-stop 
                                delivery system operations; and
                                  (II) funding of the 
                                infrastructure costs of one-
                                stop centers in accordance with 
                                subsection (h);
                          (iii) methods of referral of 
                        individuals between the one-stop 
                        operator and the one-stop partners for 
                        appropriate services and activities;
                          (iv) methods to ensure the needs of 
                        workers and youth, and individuals with 
                        barriers to employment, including 
                        individuals with disabilities, are 
                        addressed in the provision of necessary 
                        and appropriate access to services, 
                        including access to technology and 
                        materials, made available through the 
                        one-stop delivery system; and
                          (v) the duration of the memorandum of 
                        understanding and the procedures for 
                        amending the memorandum during the 
                        duration of the memorandum, and 
                        assurances that such memorandum shall 
                        be reviewed not less than once every 3-
                        year period to ensure appropriate 
                        funding and delivery of services; and
                  (B) such other provisions, consistent with 
                the requirements of this title, as the parties 
                to the agreement determine to be appropriate.
  (d) One-stop Operators.--
          (1) Local designation and certification.--Consistent 
        with paragraphs (2) and (3), the local board, with the 
        agreement of the chief elected official, is authorized 
        to designate or certify one-stop operators and to 
        terminate for cause the eligibility of such operators.
          (2) Eligibility.--To be eligible to receive funds 
        made available under this subtitle to operate a one-
        stop center referred to in subsection (e), an entity 
        (which may be a consortium of entities)--
                  (A) shall be designated or certified as a 
                one-stop operator through a competitive 
                process; and
                  (B) shall be an entity (public, private, or 
                nonprofit), or consortium of entities 
                (including a consortium of entities that, at a 
                minimum, includes 3 or more of the one-stop 
                partners described in subsection (b)(1)), of 
                demonstrated effectiveness, located in the 
                local area, which may include--
                          (i) an institution of higher 
                        education;
                          (ii) an employment service State 
                        agency established under the Wagner-
                        Peyser Act (29 U.S.C. 49 et seq.), on 
                        behalf of the local office of the 
                        agency;
                          (iii) a community-based organization, 
                        nonprofit organization, or 
                        intermediary;
                          (iv) a private for-profit entity;
                          (v) a government agency; and
                          (vi) another interested organization 
                        or entity, which may include a local 
                        chamber of commerce or other business 
                        organization, or a labor organization.
          (3) Exception.--Elementary schools and secondary 
        schools shall not be eligible for designation or 
        certification as one-stop operators, except that 
        nontraditional public secondary schools and area career 
        and technical education schools may be eligible for 
        such designation or certification.
          (4) Additional requirements.--The State and local 
        boards shall ensure that in carrying out activities 
        under this title, one-stop operators--
                  (A) disclose any potential conflicts of 
                interest arising from the relationships of the 
                operators with particular training service 
                providers or other service providers;
                  (B) do not establish practices that create 
                disincentives to providing services to 
                individuals with barriers to employment who may 
                require longer-term services, such as intensive 
                employment, training, and education services; 
                and
                  (C) comply with Federal regulations, and 
                procurement policies, relating to the 
                calculation and use of profits.
  (e) Establishment of One-stop Delivery System.--
          (1) In general.--There shall be established in each 
        local area in a State that receives an allotment under 
        section 132(b) a one-stop delivery system, which 
        shall--
                  (A) provide the career services described in 
                section 134(c)(2);
                  (B) provide access to training services as 
                described in section 134(c)(3), including 
                serving as the point of access to training 
                services for participants in accordance with 
                section 134(c)(3)(G);
                  (C) provide access to the employment and 
                training activities carried out under section 
                134(d), if any;
                  (D) provide access to programs and activities 
                carried out by one-stop partners described in 
                subsection (b); and
                  (E) provide access to the data, information, 
                and analysis described in section 15(a) of the 
                Wagner-Peyser Act (29 U.S.C. 49l-2(a)) and all 
                job search, placement, recruitment, and other 
                labor exchange services authorized under the 
                Wagner-Peyser Act (29 U.S.C. 49 et seq.).
          (2) One-stop delivery.--The one-stop delivery 
        system--
                  (A) at a minimum, shall make each of the 
                programs, services, and activities described in 
                paragraph (1) accessible at not less than 1 
                physical center in each local area of the 
                State; and
                  (B) may also make programs, services, and 
                activities described in paragraph (1) 
                available--
                          (i) through a network of affiliated 
                        sites that can provide 1 or more of the 
                        programs, services, and activities to 
                        individuals; and
                          (ii) through a network of eligible 
                        one-stop partners--
                                  (I) in which each partner 
                                provides 1 or more of the 
                                programs, services, and 
                                activities to such individuals 
                                and is accessible at an 
                                affiliated site that consists 
                                of a physical location or an 
                                electronically or 
                                technologically linked access 
                                point; and
                                  (II) that assures individuals 
                                that information on the 
                                availability of the career 
                                services will be available 
                                regardless of where the 
                                individuals initially enter the 
                                statewide workforce development 
                                system, including information 
                                made available through an 
                                access point described in 
                                subclause (I);
                  (C) may have specialized centers to address 
                special needs, such as the needs of dislocated 
                workers, youth, or key industry sectors or 
                clusters; and
                  (D) as applicable and practicable, shall make 
                programs, services, and activities accessible 
                to individuals through electronic means in a 
                manner that improves efficiency, coordination, 
                and quality in the delivery of one-stop partner 
                services.
          (3) Colocation of wagner-peyser services.--Consistent 
        with section 3(d) of the Wagner-Peyser Act (29 U.S.C. 
        49b(d)), and in order to improve service delivery, 
        avoid duplication of services, and enhance coordination 
        of services, including location of staff to ensure 
        access to services in underserved areas, the employment 
        service offices in each State shall be colocated with 
        one-stop centers established under this title.
          (4) Use of common one-stop delivery system 
        identifier.--In addition to using any State or locally 
        developed identifier, each one-stop delivery system 
        shall include in the identification of products, 
        programs, activities, services, facilities, and related 
        property and materials, a common one-stop delivery 
        system identifier. The identifier shall be developed by 
        the Secretary, in consultation with heads of other 
        appropriate departments and agencies, and 
        representatives of State boards and local boards and of 
        other stakeholders in the one-stop delivery system, not 
        later than the beginning of the second full program 
        year after the date of enactment of this Act. Such 
        common identifier may consist of a logo, phrase, or 
        other identifier that informs users of the one-stop 
        delivery system that such products, programs, 
        activities, services, facilities, property, or 
        materials are being provided through such system. 
        Nothing in this paragraph shall be construed to 
        prohibit one-stop partners, States, or local areas from 
        having additional identifiers.
  (f) Application to Certain Vocational Rehabilitation 
Programs.--
          (1) Limitation.--Nothing in this section shall be 
        construed to apply to part C of title I of the 
        Rehabilitation Act of 1973 (29 U.S.C. 741).
          (2) Client assistance.--Nothing in this Act shall be 
        construed to require that any entity carrying out a 
        client assistance program authorized under section 112 
        of the Rehabilitation Act of 1973 (29 U.S.C. 732)--
                  (A) be included as a mandatory one-stop 
                partner under subsection (b)(1); or
                  (B) if the entity is included as an 
                additional one-stop partner under subsection 
                (b)(2)--
                          (i) violate the requirement of 
                        section 112(c)(1)(A) of that Act (29 
                        U.S.C. 732(c)(1)(A)) that the entity be 
                        independent of any agency that provides 
                        treatment, services, or rehabilitation 
                        to individuals under that Act; or
                          (ii) carry out any activity not 
                        authorized under section 112 of that 
                        Act (including appropriate Federal 
                        regulations).
  (g) Certification and Continuous Improvement of One-stop 
Centers.--
          (1) In general.--In order to be eligible to receive 
        infrastructure funding described in subsection (h), the 
        State board, in consultation with chief elected 
        officials and local boards, shall establish objective 
        criteria and procedures for use by local boards in 
        assessing at least once every 3 years the 
        effectiveness, physical and programmatic accessibility 
        in accordance with section 188, if applicable, and the 
        Americans with Disabilities Act of 1990 (42 U.S.C. 
        12101 et seq.), and continuous improvement of one-stop 
        centers and the one-stop delivery system, consistent 
        with the requirements of section 101(d)(6).
          (2) Criteria.--The criteria and procedures developed 
        under this subsection shall include standards relating 
        to service coordination achieved by the one-stop 
        delivery system with respect to the programs 
        administered by the one-stop partners at the one-stop 
        centers. Such criteria and procedures shall--
                  (A) be developed in a manner that is 
                consistent with the guidelines, guidance, and 
                policies provided by the Governor and by the 
                State board, in consultation with the chief 
                elected officials and local boards, for such 
                partners' participation under subsections 
                (h)(1) and (i); and
                  (B) include such factors relating to the 
                effectiveness, accessibility, and improvement 
                of the one-stop delivery system as the State 
                board determines to be appropriate, including 
                at a minimum how well the one-stop center--
                          (i) supports the achievement of the 
                        negotiated local levels of performance 
                        for the indicators of performance 
                        described in section 116(b)(2) for the 
                        local area;
                          (ii) integrates available services; 
                        and
                          (iii) meets the workforce development 
                        and employment needs of local employers 
                        and participants.
          (3) Local criteria.--Consistent with the criteria 
        developed under paragraph (1) by the State, a local 
        board in the State may develop additional criteria (or 
        higher levels of service coordination than required for 
        the State-developed criteria) relating to service 
        coordination achieved by the one-stop delivery system, 
        for purposes of assessments described in paragraph (1), 
        in order to respond to labor market, economic, and 
        demographic, conditions and trends in the local area.
          (4) Effect of certification.--One-stop centers 
        certified under this subsection shall be eligible to 
        receive the infrastructure funding described in 
        subsection (h).
          (5) Review and update.--The criteria and procedures 
        established under this subsection shall be reviewed and 
        updated by the State board or the local board, as the 
        case may be, as part of the biennial process for review 
        and modification of State and local plans described in 
        sections 102(c)(2) and 108(a).
  (h) Funding of One-stop Infrastructure.--
          (1) In general.--
                  (A) Options for infrastructure funding.--
                          (i) Local options.--The local board, 
                        chief elected officials, and one-stop 
                        partners described in subsection (b)(1) 
                        in a local area may fund the costs of 
                        infrastructure of one-stop centers in 
                        the local area through--
                                  (I) methods agreed on by the 
                                local board, chief elected 
                                officials, and one-stop 
                                partners (and described in the 
                                memorandum of understanding 
                                described in subsection (c)); 
                                or
                                  (II) if no consensus 
                                agreement on methods is reached 
                                under subclause (I), the State 
                                infrastructure funding 
                                mechanism described in 
                                paragraph (2).
                          (ii) Failure to reach consensus 
                        agreement on funding methods.--
                        Beginning July 1, 2016, if the local 
                        board, chief elected officials, and 
                        one-stop partners described in 
                        subsection (b)(1) in a local area fail 
                        to reach consensus agreement on methods 
                        of sufficiently funding the costs of 
                        infrastructure of one-stop centers for 
                        a program year, the State 
                        infrastructure funding mechanism 
                        described in paragraph (2) shall be 
                        applicable to such local area for that 
                        program year and for each subsequent 
                        program year for which those entities 
                        and individuals fail to reach such 
                        agreement.
                  (B) Guidance for infrastructure funding.--In 
                addition to carrying out the requirements 
                relating to the State infrastructure funding 
                mechanism described in paragraph (2), the 
                Governor, after consultation with chief elected 
                officials, local boards, and the State board, 
                and consistent with the guidance and policies 
                provided by the State board under subparagraphs 
                (B) and (C)(i) of section 101(d)(7), shall 
                provide, for the use of local areas under 
                subparagraph (A)(i)(I)--
                          (i) guidelines for State-administered 
                        one-stop partner programs, for 
                        determining such programs' 
                        contributions to a one-stop delivery 
                        system, based on such programs' 
                        proportionate use of such system 
                        consistent with chapter II of title 2, 
                        Code of Federal Regulations (or any 
                        corresponding similar regulation or 
                        ruling), including determining funding 
                        for the costs of infrastructure, which 
                        contributions shall be negotiated 
                        pursuant to the memorandum of 
                        understanding under subsection (c); and
                          (ii) guidance to assist local boards, 
                        chief elected officials, and one-stop 
                        partners in local areas in determining 
                        equitable and stable methods of funding 
                        the costs of infrastructure of one-stop 
                        centers in such areas.
          (2) State one-stop infrastructure funding.--
                  (A) Definition.--In this paragraph, the term 
                ``covered portion'', used with respect to 
                funding for a fiscal year for a program 
                described in subsection (b)(1), means a portion 
                determined under subparagraph (C) of the 
                Federal funds provided to a State (including 
                local areas within the State) under the Federal 
                law authorizing that program described in 
                subsection (b)(1) for the fiscal year (taking 
                into account the availability of funding for 
                purposes related to infrastructure from 
                philanthropic organizations, private entities, 
                or other alternative financing options).
                  (B) Partner contributions.--Subject to 
                subparagraph (D), for local areas in a State 
                that are not covered by paragraph (1)(A)(i)(I), 
                the covered portions of funding for a fiscal 
                year shall be provided to the Governor from the 
                programs described in subsection (b)(1), to 
                assist in paying the costs of infrastructure of 
                one-stop centers in those local areas of the 
                State not adequately funded under the option 
                described in paragraph (1)(A)(i)(I).
                  (C) Determination of governor.--
                          (i) In general.--Subject to clause 
                        (ii) and subparagraph (D), the 
                        Governor, after consultation with chief 
                        elected officials, local boards, and 
                        the State board, shall determine the 
                        portion of funds to be provided under 
                        subparagraph (B) by each one-stop 
                        partner from each program described in 
                        subparagraph (B). In making such 
                        determination for the purpose of 
                        determining funding contributions, for 
                        funding pursuant to clause (i)(II) or 
                        (ii) of paragraph (1)(A) by each 
                        partner, the Governor shall calculate 
                        amounts for the proportionate use of 
                        the one-stop centers in the State, 
                        consistent with chapter II of title 2, 
                        Code of Federal Regulations (or any 
                        corresponding similar regulation or 
                        ruling), taking into account the costs 
                        of administration of the one-stop 
                        delivery system for purposes not 
                        related to one-stop centers, for each 
                        partner. The Governor shall exclude 
                        from such determination of funds the 
                        amounts for proportionate use of one-
                        stop centers attributable to the 
                        programs of one-stop partners for those 
                        local areas of the State where the 
                        costs of infrastructure of one-stop 
                        centers are funded under the option 
                        described in paragraph (1)(A)(i)(I). 
                        The Governor shall also take into 
                        account the statutory requirements for 
                        each partner program and the partner 
                        program's ability to fulfill such 
                        requirements.
                          (ii) Special Rule.--In a State in 
                        which the State constitution or a State 
                        statute places policymaking authority 
                        that is independent of the authority of 
                        the Governor in an entity or official 
                        with respect to the funds provided for 
                        adult education and literacy activities 
                        authorized under title II, 
                        postsecondary career and technical 
                        education activities authorized under 
                        the Carl D. Perkins Career and 
                        Technical Education Act of 2006 (20 
                        U.S.C. 2301 et seq.), or vocational 
                        rehabilitation services offered under a 
                        provision covered by section 3(13)(D), 
                        the determination described in clause 
                        (i) with respect to the programs 
                        authorized under that title, Act, or 
                        provision shall be made by the chief 
                        officer of the entity, or the official, 
                        with such authority in consultation 
                        with the Governor.
                  (D) Limitations.--
                          (i) Provision from administrative 
                        funds.--
                                  (I) In general.--Subject to 
                                subclause (II), the funds 
                                provided under this paragraph 
                                by each one-stop partner shall 
                                be provided only from funds 
                                available for the costs of 
                                administration under the 
                                program administered by such 
                                partner, and shall be subject 
                                to the program's limitations 
                                with respect to the portion of 
                                funds under such program that 
                                may be used for administration.
                                  (II) Exceptions.--Nothing in 
                                this clause shall be construed 
                                to apply to the programs 
                                carried out under this title, 
                                or under title V of the Older 
                                Americans Act of 1965 (42 
                                U.S.C. 3056 et seq.).
                          (ii) Cap on required contributions.--
                        For local areas in a State that are not 
                        covered by paragraph (1)(A)(i)(I), the 
                        following rules shall apply:
                                  (I) Wia formula programs and 
                                employment service.--The 
                                portion of funds required to be 
                                contributed under this 
                                paragraph from a program 
                                authorized under chapter 2 or 
                                3, or the Wagner-Peyser Act (29 
                                U.S.C. 49 et seq.) shall not 
                                exceed 3 percent of the amount 
                                of Federal funds provided to 
                                carry out that program in the 
                                State for a fiscal year.
                                  (II) Other one-stop 
                                partners.--The portion of funds 
                                required to be contributed 
                                under this paragraph from a 
                                program described in subsection 
                                (b)(1) other than the programs 
                                described in subclause (I) 
                                shall not exceed 1.5 percent of 
                                the amount of Federal funds 
                                provided to carry out that 
                                program in the State for a 
                                fiscal year.
                                  (III) Vocational 
                                rehabilitation.--
                                Notwithstanding subclauses (I) 
                                and (II), an entity 
                                administering a program 
                                described in subsection 
                                (b)(1)(B)(iv) shall not be 
                                required to provide from that 
                                program, under this paragraph, 
                                a portion that exceeds--
                                          (aa) 0.75 percent of 
                                        the amount of Federal 
                                        funds provided to carry 
                                        out such program in the 
                                        State for the second 
                                        full program year that 
                                        begins after the date 
                                        of enactment of this 
                                        Act;
                                          (bb) 1.0 percent of 
                                        the amount provided to 
                                        carry out such program 
                                        in the State for the 
                                        third full program year 
                                        that begins after such 
                                        date;
                                          (cc) 1.25 percent of 
                                        the amount provided to 
                                        carry out such program 
                                        in the State for the 
                                        fourth full program 
                                        year that begins after 
                                        such date; and
                                          (dd) 1.5 percent of 
                                        the amount provided to 
                                        carry out such program 
                                        in the State for the 
                                        fifth and each 
                                        succeeding full program 
                                        year that begins after 
                                        such date.
                          (iii) Federal direct spending 
                        programs.--For local areas in a State 
                        that are not covered by paragraph 
                        (1)(A)(i)(I), an entity administering a 
                        program funded with direct spending as 
                        defined in section 250(c)(8) of the 
                        Balanced Budget and Emergency Deficit 
                        Control Act of 1985, as in effect on 
                        February 15, 2014 (2 U.S.C. 900(c)(8)) 
                        shall not be required to provide, for 
                        purposes of this paragraph, an amount 
                        in excess of the amount determined 
                        under subparagraph (C)(i) to be 
                        equivalent to the cost of the 
                        proportionate use of the one-stop 
                        centers for the one-stop partner for 
                        such program in the State.
                          (iv) Native American Programs.--One-
                        stop partners for Native American 
                        programs established under section 166 
                        shall not be subject to the provisions 
                        of this subsection (other than this 
                        clause) or subsection (i). For purposes 
                        of subsection (c)(2)(A)(ii)(II), the 
                        method for determining the appropriate 
                        portion of funds to be provided by such 
                        partners to pay for the costs of 
                        infrastructure of a one-stop center 
                        shall be determined as part of the 
                        development of the memorandum of 
                        understanding under subsection (c) for 
                        the one-stop center and shall be stated 
                        in the memorandum.
                  (E) Appeal by one-stop partners.--The 
                Governor shall establish a process, described 
                under section 102(b)(2)(D)(i)(IV), for a one-
                stop partner administering a program described 
                in subsection (b)(1) to appeal a determination 
                regarding the portion of funds to be provided 
                under this paragraph. Such a determination may 
                be appealed under the process on the basis that 
                such determination is inconsistent with the 
                requirements of this paragraph. Such process 
                shall ensure prompt resolution of the appeal in 
                order to ensure the funds are distributed in a 
                timely manner, consistent with the requirements 
                of section 182(e).
          (3) Allocation by governor.--
                  (A) In general.--From the funds provided 
                under paragraph (1), the Governor shall 
                allocate the funds to local areas described in 
                subparagraph (B) in accordance with the formula 
                established under subparagraph (B) for the 
                purposes of assisting in paying the costs of 
                infrastructure of one-stop centers.
                  (B) Allocation formula.--The State board 
                shall develop a formula to be used by the 
                Governor to allocate the funds provided under 
                paragraph (1) to local areas not funding costs 
                of infrastructure under the option described in 
                paragraph (1)(A)(i)(I). The formula shall be 
                based on factors including the number of one-
                stop centers in a local area, the population 
                served by such centers, the services provided 
                by such centers, and other factors relating to 
                the performance of such centers that the State 
                board determines are appropriate.
          (4) Costs of infrastructure.--In this subsection, the 
        term ``costs of infrastructure'', used with respect to 
        a one-stop center, means the nonpersonnel costs that 
        are necessary for the general operation of the one-stop 
        center, including the rental costs of the facilities, 
        the costs of utilities and maintenance, equipment 
        (including assessment-related products and assistive 
        technology for individuals with disabilities), and 
        technology to facilitate access to the one-stop center, 
        including the center's planning and outreach 
        activities.
  (i) Other funds.--
          (1) In general.--Subject to the memorandum of 
        understanding described in subsection (c) for the one-
        stop delivery system involved, in addition to the funds 
        provided to carry out subsection (h), a portion of 
        funds made available under Federal law authorizing the 
        programs described in subsection (b) and administered 
        by one-stop partners, or the noncash resources 
        available under such programs, shall be used to pay the 
        additional costs relating to the operation of the one-
        stop delivery system that are not paid from the funds 
        provided under subsection (h), as determined in 
        accordance with paragraph (3), to the extent not 
        inconsistent with the Federal law involved. Such costs 
        shall include the costs of the provision of career 
        services described in section 134(c)(2) applicable to 
        each program and may include common costs that are not 
        paid from the funds provided under subsection (h).
          (2) Shared services.--The costs described under 
        paragraph (1) may include costs of services that are 
        authorized for and may be commonly provided through the 
        one-stop partner programs to any individual, such as 
        initial intake, assessment of needs, appraisal of basic 
        skills, identification of appropriate services to meet 
        such needs, referrals to other one-stop partners, and 
        other similar services.
          (3) Determination and guidance.--The method for 
        determining the appropriate portion of funds and 
        noncash resources to be provided by the one-stop 
        partner for each program under paragraph (1) for a one-
        stop center shall be determined as part of the 
        development of the memorandum of understanding under 
        subsection (c) for the one-stop center and shall be 
        stated in the memorandum. The State board shall provide 
        guidance to facilitate the determination, for purposes 
        of the memorandum of understanding, of an appropriate 
        allocation of the funds and noncash resources in local 
        areas, consistent with the requirements of section 
        101(d)(6)(C).

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            AGRICULTURE AND CONSUMER PROTECTION ACT OF 1973

                     COMMODITY DISTRIBUTION PROGRAM

  Sec. 4. (a) Notwithstanding any other provision of law, the 
Secretary may, during fiscal years 2008 through [2018] 2023, 
purchase and distribute sufficient agricultural commodities 
with funds appropriated from the general fund of the Treasury 
to maintain the traditional level of assistance for food 
assistance programs as are authorized by law, including but not 
limited to distribution to institutions (including hospitals 
and facilities caring for needy infants and children), 
supplemental feeding programs serving women, infants, and 
children or elderly persons, or both, wherever located, 
disaster areas, summer camps for children, the United States 
Trust Territory of the Pacific Islands, and Indians, whenever a 
tribal organization requests distribution of federally donated 
foods pursuant to section 4(b) of the Food and Nutrition Act of 
2008 (section 2013(b) of this title). In providing for 
commodity distribution to Indians, the Secretary shall improve 
the variety and quantity of commodities supplied to Indians in 
order to provide them an opportunity to obtain a more 
nutritious diet.
  (b) The Secretary may furnish commodities to summer camps for 
children in which the number of adults participating in camp 
activities as compared with the number of children 18 years of 
age and under so participating is not unreasonable in light of 
the nature of such camp and the characteristics of the children 
in attendance.
  (c) Whoever embezzles, willfully misapplies, steals or 
obtains by fraud any agricultural commodity or its products (or 
any funds, assets, or property deriving from donation of such 
commodities) provided under this section, or under section 416 
of the Agricultural Act of 1949 (7 U.S.C. 1431), section 32 of 
the Act of August 24, 1935 (7 U.S.C. 612c), section 709 of the 
Food and Agriculture Act of 1965 (7 U.S.C. 1446a-1), or the 
Emergency Food Assistance Act of 1983, whether received 
directly or indirectly from the United States Department of 
Agriculture, or whoever receives, conceals, or retains such 
commodities, products, funds, assets, or property for personal 
use or gain, knowing such commodities, products, funds, assets, 
or property have been embezzled, willfully misapplied, stolen, 
or obtained by fraud shall, if such commodities, products, 
funds, assets, or property are of a value of $100 or more, be 
fined not more than $10,000 or imprisoned not more than five 
years, or both, or if such commodities, products, funds, 
assets, or property are of value of less than $100, shall be 
fined not more than $1,000 or imprisoned for not more than one 
year, or both.

                  COMMODITY SUPPLEMENTAL FOOD PROGRAM

  Sec. 5. (a) Grants Per Assigned Caseload Slot.--
          (1) In general.--In carrying out the program under 
        section 4 (referred to in this section as the 
        ``commodity supplemental food program''), for each of 
        fiscal years 2008 through [2018] 2023, the Secretary 
        shall provide to each State agency from funds made 
        available to carry out that section (including any such 
        funds remaining available from the preceding fiscal 
        year), a grant per assigned caseload slot for 
        administrative costs incurred by the State agency and 
        local agencies in the State in operating the commodity 
        supplemental food program.
          (2) Amount of grants.--
                  (A) Fiscal year 2003.--For fiscal year 2003, 
                the amount of each grant per assigned caseload 
                slot shall be equal to the amount of the grant 
                per assigned caseload slot for administrative 
                costs in 2001, adjusted by the percentage 
                change between--
                          (i) the value of the State and local 
                        government price index, as published by 
                        the Bureau of Economic Analysis of the 
                        Department of Commerce, for the 12-
                        month period ending June 30, 2001; and
                          (ii) the value of that index for the 
                        12-month period ending June 30, 2002.
                  (B) Subsequent fiscal years.--For each of 
                fiscal years 2004 through [2018] 2023, the 
                amount of each grant per assigned caseload slot 
                shall be equal to the amount of the grant per 
                assigned caseload slot for the preceding fiscal 
                year, adjusted by the percentage change 
                between--
                          (i) the value of the State and local 
                        government price index, as published by 
                        the Bureau of Economic Analysis of the 
                        Department of Commerce, for the 12-
                        month period ending June 30 of the 
                        second preceding fiscal year; and
                          (ii) the value of that index for the 
                        12-month period ending June 30 of the 
                        preceding fiscal year.
  (b) During the first three months of any commodity 
supplemental food program, or until such program reaches its 
projected caseload level, whichever comes first, the Secretary 
shall pay those administrative costs necessary to commence the 
program successfully: Provided, That in no event shall 
administrative costs paid by the Secretary for any fiscal year 
exceed the limitation established in subsection (a) of this 
section.
  (c) Administrative costs for the purposes of the commodity 
supplemental food program shall include, but not be limited to, 
expenses for information and referral, operation, monitoring, 
nutrition education, start-up costs, and general 
administration, including staff, warehouse and transportation 
personnel, insurance, and administration of the State or local 
office.
  (d)(1) During each fiscal year the commodity supplemental 
food program is in operation, the types and varieties of 
commodities and their proportional amounts shall be determined 
by the Secretary, but, if the Secretary proposes to make any 
significant changes in the types, varieties, or proportional 
amounts from those that were available or were planned at the 
beginning of the fiscal year (or as were available during the 
fiscal year ending June 30, 1976, whichever is greater) the 
Secretary shall report such changes before implementation to 
the Committee on Agriculture of the House of Representatives 
and the Committee on Agriculture, Nutrition, and Forestry of 
the Senate.
  (2) Notwithstanding any other provision of law, the Commodity 
Credit Corporation shall, to the extent that the Commodity 
Credit Corporation inventory levels permit, provide not less 
than 9,000,000 pounds of cheese and not less than 4,000,000 
pounds of nonfat dry milk in each of fiscal years 2008 through 
[2018] 2023 to the Secretary of Agriculture. The Secretary 
shall use such amounts of cheese and nonfat dry milk to carry 
out the commodity supplemental food program before the end of 
each fiscal year.
  (e) The Secretary of Agriculture is authorized to issue such 
regulations as may be necessary to carry out the commodity 
supplemental food program.
  (f) The Secretary shall, in any fiscal year, approve 
applications of additional sites for the program, including 
sites that serve only elderly persons, in areas in which the 
program currently does not operate to the full extent that this 
can be done within the appropriations available for the program 
for the fiscal year and without reducing actual participation 
levels (including participation of elderly persons under 
subsection (g)) in areas in which the program is in effect.
  (g) Eligibility.--Except as provided in subsection (m), the 
States shall only provide assistance under the commodity 
supplemental food program to low-income persons aged 60 and 
older.
  (h) Each State agency administering a commodity supplemental 
food program serving women, infants, and children shall--
          (1) ensure that written information concerning the 
        supplemental nutrition assistance program, the State 
        program funded under part A of title IV of the Social 
        Security Act (42 U.S.C. 601 et seq.), and the child 
        support enforcement program under part D of title IV of 
        the Social Security Act (42 U.S.C. 651 et seq.) is 
        provided on at least one occasion to each adult who 
        applies for or participates in the commodity 
        supplemental food program;
          (2) provide each local agency with materials showing 
        the maximum income limits, according to family size, 
        applicable to pregnant women, infants, and children up 
        to age 6 under the medical assistance program 
        established under title XIX of the Social Security Act 
        (42 U.S.C. 1396 et seq.) (hereinafter referred to in 
        this section as the ``medicaid program'') which 
        materials may be identical to those provided under 
        section 17(e)(3) of the Child Nutrition Act of 1966 (42 
        U.S.C. 1786(e)(3)); and
          (3) ensure that local agencies provide to pregnant, 
        breast feeding and post partum women, and adults 
        applying on behalf of infants or children, who apply to 
        the commodity supplemental food program, or who reapply 
        to such program, written information about the medicaid 
        program and referral to the program or to agencies 
        authorized to determine presumptive eligibility for the 
        medicaid program, if the individuals are not 
        participating in the medicaid program.
  (i) Each State agency administering a commodity supplemental 
food program serving elderly persons shall ensure that written 
information is provided on at least one occasion to each 
elderly participant in or applicant for the commodity 
supplemental food program for the elderly concerning--
          (1) supplemental nutrition assistance benefits 
        provided under the Food and Nutrition Act of 2008 (7 
        U.S.C. 2011 et seq.);
          (2) the supplemental security income benefits 
        provided under title XVI of the Social Security Act (42 
        U.S.C. 1381 et seq.); and
          (3) medical assistance provided under title XIX of 
        such Act (42 U.S.C. 1396 et seq.) (including medical 
        assistance provided to a qualified medicare beneficiary 
        (as defined in section 1905(p) of such Act (42 U.S.C. 
        1396d(5)))).
  (j)(1) If the Secretary must pay a significantly higher than 
expected price for one or more types of commodities purchased 
under the commodity supplemental food program, the Secretary 
shall promptly determine whether the price is likely to cause 
the number of persons that can be served in the program in a 
fiscal year to decline.
  (2) If the Secretary determines that such a decline would 
occur, the Secretary shall promptly notify the State agencies 
charged with operating the program of the decline and shall 
ensure that a State agency notify all local agencies operating 
the program in the State of the decline.
  (k)(1) The Secretary or a designee of the Secretary shall 
have the authority to--
          (A) determine the amount of, settle, and adjust any 
        claim arising under the commodity supplemental food 
        program; and
          (B) waive such a claim if the Secretary determines 
        that to do so will serve the purposes of the program.
  (2) Nothing contained in this subsection shall be construed 
to diminish the authority of the Attorney General of the United 
States under section 516 of title 28, United States Code, to 
conduct litigation on behalf of the United States.
  (l) Use of Approved Food Safety Technology.--
          (1) In general.--In acquiring commodities for 
        distribution through a program specified in paragraph 
        (2), the Secretary shall not prohibit the use of any 
        technology to improve food safety that--
                  (A) has been approved by the Secretary; or
                  (B) has been approved or is otherwise allowed 
                by the Secretary of Health and Human Services.
          (2) Programs.--A program referred to in paragraph (1) 
        is a program authorized under--
                  (A) this Act;
                  (B) the Food and Nutrition Act of 2008 (7 
                U.S.C. 2011 et seq.);
                  (C) the Emergency Food Assistance Act of 1983 
                (7 U.S.C. 7501 et seq.);
                  (D) the Richard B. Russell National School 
                Lunch Act (42 U.S.C. 1751 et seq.); or
                  (E) the Child Nutrition Act of 1966 (42 
                U.S.C. 1771 et seq.).
  (m) Phase-Out.--Notwithstanding any other provision of law, 
an individual who receives assistance under the commodity 
supplemental food program on the day before the date of 
enactment of this subsection shall continue to receive that 
assistance until the date on which the individual is no longer 
eligible for assistance under the eligibility requirements for 
the program in effect on the day before the date of enactment 
of this subsection.

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                    AGRICULTURE AND FOOD ACT OF 1981



           *       *       *       *       *       *       *
TITLE XI--MISCELLANEOUS

           *       *       *       *       *       *       *


    DISTRIBUTION OF SURPLUS COMMODITIES; SPECIAL NUTRITION PROJECTS

  Sec. 1114. (a)(1) Notwithstanding any other provision of law, 
whenever Government stocks of commodities are acquired under 
the price support programs and are not likely to be sold by the 
Commodity Credit Corporation or otherwise used in programs of 
commodity sale or distribution, such commodities shall be made 
available without charge or credit to nutrition projects under 
the authority of the Older Americans Act of 1965 (42 U.S.C. 
3001 et seq.), to child nutrition programs providing food 
service, and to food banks participating in the special 
nutrition projects established under section 211 of the 
Agricultural Act of 1980. Such distribution may include bulk 
distribution to congregate nutrition sites and to providers of 
home delivered meals under the Older Americans Act of 1965. The 
Commodity Credit Corporation is authorized to use available 
funds to operate the program under this subsection and to 
further process products to facilitate bonus commodity use. 
Commodities made available under this section shall include, 
but not be limited to, dairy products, wheat or the products 
thereof, rice, honey, and cornmeal.
  (2)(A) For each of fiscal years 2008 through [2018] 2023, 
whenever a commodity is made available without charge or credit 
under any nutrition program administered by the Secretary of 
Agriculture, the Secretary shall encourage consumption of such 
commodity through agreements with private companies under which 
the commodity is reprocessed into end-food products for use by 
eligible recipient agencies. The expense of reprocessing shall 
be paid by such eligible recipient agencies.
  (B) To maintain eligibility to enter into, and to continue, 
any agreement with the Secretary of Agriculture under 
subparagraph (A), a private company shall annually settle all 
accounts with the Secretary and any appropriate State agency 
regarding commodities process under such agreements.
  (C) Whenever commodities are made available to agencies 
pursuant to section 311(a)(4) of the Older Americans Act of 
1965 (42 U.S.C. 3030a(a)(4)), the Secretary shall encourage 
access to processed end products containing the commodities 
when in the Secretary's judgment it is cost effective. The 
requirements of this subparagraph shall be met in the most 
efficient and effective way possible. The Secretary may, among 
other alternatives, use direct purchase, State option contracts 
authorized under section 3A of the Commodity Distribution 
Reform Act and WIC Amendments of 1987 (Public Law 100-237; 7 
U.S.C. 612c note), State processing programs, and (beginning in 
fiscal year 1994) agreements with private companies operated as 
a part of the national commodity processing program.
  (D) In each of fiscal years 1992, 1993, and 1994, the 
Secretary shall conduct a pilot project in not more than three 
States under which any commodity made available to agencies 
pursuant to section 311(a)(4) of the Older Americans Act of 
1965 (42 U.S.C. 3030a(a)(4)) that the Secretary determines to 
be appropriate for reprocessing is made available to the 
agencies as reprocessed end products. The reprocessing shall be 
performed pursuant to agreements with private companies, at the 
expense of the agencies, and operated as part of the national 
commodity processing program established under subparagraph 
(A). In determining the appropriateness of the commodities to 
be reprocessed under the pilot project, the Secretary shall 
consider the common needs of the agencies and the availability 
of processors.
  (b) [Amends other laws--Omitted]
  (c) [Amends other laws--Omitted]
  (d) Section 4(b) of the Food and Nutrition Act of 2008 shall 
not apply with respect to distribution of surplus commodities 
under section 211 of the Agricultural Act of 1980.

           *       *       *       *       *       *       *

                              ----------                              


      FEDERAL CROP INSURANCE REFORM AND DEPARTMENT OF AGRICULTURE 
                       REORGANIZATION ACT OF 1994



           *       *       *       *       *       *       *
TITLE II--DEPARTMENT OF AGRICULTURE REORGANIZATION

           *       *       *       *       *       *       *


Subtitle A--General Reorganization Authorities

           *       *       *       *       *       *       *


SEC. 221. AGRICULTURAL YOUTH ORGANIZATION COORDINATOR.

  (a) Authorization.--The Secretary shall establish in the 
Department the position of Agricultural Youth Organization 
Coordinator.
  (b) Duties.--The Agricultural Youth Organization Coordinator 
shall--
          (1) promote the role of youth-serving organizations 
        and school-based agricultural education in motivating 
        and preparing young people to pursue careers in the 
        agriculture, food, and natural resources systems;
          (2) work to help build awareness of the reach and 
        importance of agriculture, across a diversity of fields 
        and disciplines;
          (3) identify short-term and long-term interests of 
        the Department and provide opportunities, resources, 
        input, and coordination with programs and agencies of 
        the Department to youth-serving organizations and 
        school-based agricultural education, including the 
        development of internship opportunities;
          (4) share, internally and externally, the extent to 
        which active steps are being taken to encourage 
        collaboration with, and support of, youth-serving 
        organizations and school-based agricultural education;
          (5) provide information to young farmers concerning 
        the availability of, and eligibility requirements for, 
        participation in agricultural programs, with particular 
        emphasis on beginning farmer and rancher programs;
          (6) serve as a resource for assisting young farmers 
        in applying for participation in agricultural programs; 
        and
          (7) advocate on behalf of young farmers in 
        interactions with employees of the Department.
  (c) Contracts and Cooperative Agreements.--For purposes of 
carrying out the duties under subsection (b), the Agricultural 
Youth Organization Coordinator shall consult with the 
cooperative extension and the land-grant university systems, 
and may enter into contracts or cooperative agreements with the 
research centers of the Agricultural Research Service, 
cooperative extension and the land-grant university systems, 
non-land-grant colleges of agriculture, or nonprofit 
organizations for--
          (1) the conduct of regional research on the 
        profitability of small farms;
          (2) the development of educational materials;
          (3) the conduct of workshops, courses, and certified 
        vocational training;
          (4) the conduct of mentoring activities; or
          (5) the provision of internship opportunities.

SEC. 222. FOOD LOSS AND WASTE REDUCTION LIAISON.

  (a) Establishment.--The Secretary shall establish within the 
Office of the Secretary a Food Loss and Waste Reduction Liaison 
to coordinate Federal programs to measure and reduce the 
incidence of food loss and waste in accordance with this 
section.
  (b) Duties.--The Food Loss and Waste Reduction Liaison 
shall--
          (1) coordinate food loss and waste reduction efforts 
        with other Federal agencies, including the 
        Environmental Protection Agency and the Food and Drug 
        Administration;
          (2) support and promote Federal programs to measure 
        and reduce the incidence of food loss and waste and 
        increase food recovery;
          (3) provide information to, and serve as a resource 
        for, entities engaged in food loss and waste reduction 
        and food recovery concerning the availability of, and 
        eligibility requirements for, participation in Federal 
        programs;
          (4) raise awareness of the liability protections 
        afforded under the Bill Emerson Good Samaritan Food 
        Donation Act (42 U.S.C. 1791) to persons engaged in 
        food loss and waste reduction and food recovery; and
          (5) make recommendations with respect to expanding 
        food recovery efforts and reducing the incidence of 
        food loss and waste.
  (c) Cooperative Agreements.--For purposes of carrying out the 
duties under subsection (b), the Food Loss and Waste Reduction 
Liaison may enter into contracts or cooperative agreements with 
the research centers of the Research, Education, and Economics 
mission area, institutions of higher education (as defined in 
section 101 of the Higher Education Act of 1965 (20 U.S.C. 
1001)), or nonprofit organizations for--
          (1) the development of educational materials;
          (2) the conduct of workshops and courses; or
          (3) the conduct of research on best practices with 
        respect to food loss and waste reduction and food 
        recovery.

Subtitle B--Farm Production and Conservation

           *       *       *       *       *       *       *


SEC. 226A. OFFICE OF RISK MANAGEMENT.

  (a) Establishment.--Subject to subsection (e), the Secretary 
shall establish and maintain in the Department an independent 
Office of Risk Management.
  (b) Functions of the Office of Risk Management.--The Office 
of Risk Management shall have jurisdiction over the following 
functions:
          (1) Supervision of the Federal Crop Insurance 
        Corporation.
          (2) Administration and oversight of all aspects, 
        including delivery through local offices of the 
        Department, of all programs authorized under the 
        Federal Crop Insurance Act (7 U.S.C. 1501 et seq.).
          (3) Any pilot or other programs involving revenue 
        insurance, risk management savings accounts, or the use 
        of the futures market to manage risk and support farm 
        income that may be established under the Federal Crop 
        Insurance Act or other law.
          (4) Such other functions as the Secretary considers 
        appropriate.
  (c) Administrator.--
          (1) Appointment.--The Office of Risk Management shall 
        be headed by an Administrator who shall be appointed by 
        the Secretary.
          (2) Manager.--The Administrator of the Office of Risk 
        Management shall also serve as Manager of the Federal 
        Crop Insurance Corporation.
  (d) Resources.--
          (1) Functional coordination.--Certain functions of 
        the Office of Risk Management, such as human resources, 
        public affairs, and legislative affairs, may be 
        provided by a consolidation of such functions under the 
        [Under Secretary of Agriculture for Farm and Foreign 
        Agricultural Services] Under Secretary of Agriculture 
        for Farm Production and Conservation.
          (2) Minimum provisions.--Notwithstanding paragraph 
        (1) or any other provision of law or order of the 
        Secretary, the Secretary shall provide the Office of 
        Risk Management with human and capital resources 
        sufficient for the Office to carry out its functions in 
        a timely and efficient manner.

SEC. 226B. OFFICE OF [ADVOCACY AND OUTREACH]  PARTNERSHIPS AND PUBLIC 
                    ENGAGEMENT.

  (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] Partnerships and Public 
        Engagement 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, Agriculture, 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] 
        Partnerships and Public Engagement''--
                  (A) to improve access to programs of the 
                Department; [and]
                  (B) to improve the viability and 
                profitability of--
                          (i) small farms and ranches;
                          (ii) beginning farmers or ranchers; 
                        [and]
                          (iii) socially disadvantaged farmers 
                        or ranchers[.]; and
                          (iv) limited resource producers;
                          (v) veteran farmers and ranchers; and
                          (vi) Tribal farmers and ranchers; and
                  (C) to promote youth outreach.
          (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, veteran 
farmers and ranchers, Tribal farmers and ranchers, and socially 
disadvantaged farmers or ranchers access to, and equitable 
participation 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] socially disadvantaged, 
        veteran, or Tribal farmers or ranchers;
          (2) assessing the effectiveness of Department 
        outreach programs;
          (3) developing and implementing a plan to coordinate 
        outreach activities and services provided by the 
        Department;
          (4) providing input to the agencies and offices on 
        programmatic and policy decisions;
          (5) measuring outcomes of the programs and activities 
        of the Department on small farms and ranches, beginning 
        farmers or ranchers, veteran farmers or ranchers, 
        Tribal 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 
        Disadvantaged Farmers Group--
                  (A) shall carry out section 2501 of the Food, 
                Agriculture, 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 farmworkers.--
        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 
                established 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 
                determined by the Secretary.
                  (B) Office of outreach and diversity.--The 
                Office of [Advocacy and Outreach] Partnerships 
                and Public Engagement 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 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 
                Beginning Farmers and Ranchers Group shall 
                oversee the operations of the Office of Small 
                Farms Coordination established 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 beginning farmer and 
                rancher development program established under 
                section 7405 of the Farm Security and Rural 
                Investment 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 
                Agricultural 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 
        Coordinator responsibility for the following:
                  (A) Assisting in administering the program 
                established by section 2281 of the Food, 
                Agriculture, Conservation, 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 farmworkers.
                  (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 entities 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.
          (3) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection--
                  (A) such sums as are necessary for each of 
                fiscal years 2009 through 2013; and
                  (B) $2,000,000 for each of fiscal years 2014 
                through [2018] 2023.

           *       *       *       *       *       *       *


Subtitle D--Food, Nutrition, and Consumer Services

           *       *       *       *       *       *       *


SEC. 242. MULTIAGENCY TASK FORCE.

  (a) In General.--The Secretary shall establish, in the office 
of the Under Secretary for Food, Nutrition, and Consumer 
Services, a multiagency task force for the purpose of providing 
coordination and direction for commodity programs.
  (b) Composition.--The Task Force shall be composed of at 
least 4 members, including--
          (1) a representative from the Food Distribution 
        Division of the Food and Nutrition Service, who shall--
                  (A) be appointed by the Under Secretary for 
                Food, Nutrition, and Consumer Services; and
                  (B) serve as Chairperson of the Task Force;
          (2) at least 1 representative from the Agricultural 
        Marketing Service, who shall be appointed by the Under 
        Secretary for Marketing and Regulatory Programs;
          (3) at least 1 representative from the Farm Services 
        Agency, who shall be appointed by the [Under Secretary 
        for Farm and Foreign Agricultural Services] Under 
        Secretary of Agriculture for Trade and Foreign 
        Agricultural Affairs; and
          (4) at least 1 representative from the Food Safety 
        and Inspection Service, who shall be appointed by the 
        Under Secretary for Food Safety.
  (c) Duties.--
          (1) In general.--The Task Force shall be responsible 
        for evaluation and monitoring of the commodity programs 
        to ensure that the commodity programs meet the mission 
        of the Department--
                  (A) to support the United States farm sector; 
                and
                  (B) to contribute to the health and well-
                being of individuals in the United States 
                through the distribution of domestic 
                agricultural products through commodity 
                programs.
          (2) Specific duties.--In carrying out paragraph (1), 
        the Task Force shall--
                  (A) review and make recommendations regarding 
                the specifications used for the procurement of 
                food commodities;
                  (B) review and make recommendations regarding 
                the efficient and effective distribution of 
                food commodities; and
                  (C) review and make recommendations regarding 
                the degree to which the quantity, quality, and 
                specifications of procured food commodities 
                align the needs of producers and the 
                preferences of recipient agencies.
  (d) Reports.--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, for 
the period covered by the report--
          (1) the findings and recommendations of the Task 
        Force; and
          (2) policies implemented for the improvement of 
        commodity procurement programs.

SEC. 243. HEALTHY FOOD FINANCING INITIATIVE.

  (a) Purpose.--The purpose of this section is to enhance the 
authorities of the Secretary to support efforts to provide 
access to healthy food by establishing an initiative to improve 
access to healthy foods in underserved areas, to create and 
preserve quality jobs, and to revitalize low-income communities 
by providing loans and grants to eligible fresh, healthy food 
retailers to overcome the higher costs and initial barriers to 
entry in underserved areas.
  (b) Definitions.--In this section:
          (1) Community development financial institution.--The 
        term ``community development financial institution'' 
        has the meaning given the term in section 103 of the 
        Community Development Banking and Financial 
        Institutions Act of 1994 (12 U.S.C. 4702).
          (2) Initiative.--The term ``Initiative'' means the 
        Healthy Food Financing Initiative established under 
        subsection (c)(1).
          (3) National fund manager.--The term ``national fund 
        manager'' means a community development financial 
        institution that is--
                  (A) in existence on the date of enactment of 
                this section; and
                  (B) certified by the Community Development 
                Financial Institution Fund of the Department of 
                Treasury to manage the Initiative for purposes 
                of--
                          (i) raising private capital;
                          (ii) providing financial and 
                        technical assistance to partnerships; 
                        and
                          (iii) funding eligible projects to 
                        attract fresh, healthy food retailers 
                        to underserved areas, in accordance 
                        with this section.
          (4) Partnership.--The term ``partnership'' means a 
        regional, State, or local public-private partnership 
        that--
                  (A) is organized to improve access to fresh, 
                healthy foods;
                  (B) provides financial and technical 
                assistance to eligible projects; and
                  (C) meets such other criteria as the 
                Secretary may establish.
          (5) Perishable food.--The term ``perishable food'' 
        means a staple food that is fresh, refrigerated, or 
        frozen.
          (6) Quality job.--The term ``quality job'' means a 
        job that provides wages and other benefits comparable 
        to, or better than, similar positions in existing 
        businesses of similar size in similar local economies.
          (7) Staple food.--
                  (A) In general.--The term ``staple food'' 
                means food that is a basic dietary item.
                  (B) Inclusions.--The term ``staple food'' 
                includes--
                          (i) bread or cereal;
                          (ii) flour;
                          (iii) fruits;
                          (iv) vegetables;
                          (v) meat; and
                          (vi) dairy products.
  (c) Initiative.--
          (1) Establishment.--The Secretary shall establish an 
        initiative to achieve the purpose described in 
        subsection (a) in accordance with this subsection.
          (2) Implementation.--
                  (A) In general.--
                          (i) In general.--In carrying out the 
                        Initiative, the Secretary shall provide 
                        funding to entities with eligible 
                        projects, as described in subparagraph 
                        (B), subject to the priorities 
                        described in subparagraph (C).
                          (ii) Use of funds.--Funds provided to 
                        an entity pursuant to clause (i) shall 
                        be used--
                                  (I) to create revolving loan 
                                pools of capital or other 
                                products to provide loans to 
                                finance eligible projects or 
                                partnerships;
                                  (II) to provide grants for 
                                eligible projects or 
                                partnerships;
                                  (III) to provide technical 
                                assistance to funded projects 
                                and entities seeking Initiative 
                                funding; and
                                  (IV) to cover administrative 
                                expenses of the national fund 
                                manager in an amount not to 
                                exceed 10 percent of the 
                                Federal funds provided.
                  (B) Eligible projects.--Subject to the 
                approval of the Secretary, the national fund 
                manager shall establish eligibility criteria 
                for projects under the Initiative, which shall 
                include the existence or planned execution of 
                agreements--
                          (i) to expand or preserve the 
                        availability of staple foods in 
                        underserved areas with moderate- and 
                        low-income populations by maintaining 
                        or increasing the number of retail 
                        outlets that offer an assortment of 
                        perishable food and staple food items, 
                        as determined by the Secretary, in 
                        those areas; and
                          (ii) to accept benefits under the 
                        supplemental nutrition assistance 
                        program established under the Food and 
                        Nutrition Act of 2008 (7 U.S.C. 2011 et 
                        seq.).
                  (C) Priorities.--In carrying out the 
                Initiative, priority shall be given to projects 
                that--
                          (i) are located in severely 
                        distressed low-income communities, as 
                        defined by the Community Development 
                        Financial Institutions Fund of the 
                        Department of Treasury; and
                          (ii) include 1 or more of the 
                        following characteristics:
                                  (I) The project will create 
                                or retain quality jobs for low-
                                income residents in the 
                                community.
                                  (II) The project supports 
                                regional food systems and 
                                locally grown foods, to the 
                                maximum extent practicable.
                                  (III) In areas served by 
                                public transit, the project is 
                                accessible by public transit.
                                  (IV) The project involves 
                                women- or minority-owned 
                                businesses.
                                  (V) The project receives 
                                funding from other sources, 
                                including other Federal 
                                agencies.
                                  (VI) The project otherwise 
                                advances the purpose of this 
                                section, as determined by the 
                                Secretary.
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated to the Secretary to carry out this section 
$125,000,000, to remain available [until expended] until 
October 1, 2023.

           *       *       *       *       *       *       *


             Subtitle F--Research, Education, and Economics

SEC. 251. UNDER SECRETARY OF AGRICULTURE FOR RESEARCH, EDUCATION, AND 
                    ECONOMICS.

  (a) Authorization.--The Secretary is authorized to establish 
in the Department the position of Under Secretary of 
Agriculture for Research, Education, and Economics (referred to 
in this section as the ``Under Secretary'').
  (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, education, 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 jurisdiction of the Department that relate to 
        research, education, and economics.
          (2) Specific functions and duties.--The Under 
        Secretary 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;]
                  (B) ensure that agricultural research, 
                education, extension, economics, and 
                statistical programs--
                          (i) are effectively coordinated and 
                        integrated--
                                  (I) across disciplines, 
                                agencies, and institutions; and
                                  (II) among applicable 
                                participants, grantees, and 
                                beneficiaries; and
                          (ii) address the priority areas of 
                        the Agriculture and Food Research 
                        Initiative specified in subsection 
                        (b)(2) of the Competitive, Special, and 
                        Facilities Research Grant Act (7 U.S.C. 
                        3157(b)(2));
                  (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 activities 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 
                environment.
                  (B) Food safety, nutrition, and health.
                  (C) Plant health and production and plant 
                products.
                  (D) Animal health and production and animal 
                products.
                  (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 retention 
                                preference; and
                                  (III) the provisions of 
                                chapter 51 and subchapter III 
                                of chapter 53 of title 5, 
                                United States Code, relating to 
                                classification and General 
                                Schedule pay rates;
                          (ii) by detail, notwithstanding any 
                        Act making appropriations for the 
                        Department of Agriculture, whether 
                        enacted before, on, or after the date 
                        of enactment 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 development;
                          (ii) enables personnel to interact 
                        with other agencies 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 subparagraph (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 
                        representatives 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, 
                        education, 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
                          (vi) perform such other duties as the 
                        Under Secretary 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 administration of funds under this 
                section, the Secretary may transfer funds made 
                available to an agency in the research, 
                education, and economics mission area to fund 
                the costs of Division personnel.
                  (B) Limitation.--To the maximum extent 
                practicable--
                          (i) the Under Secretary shall 
                        minimize the number of full-time 
                        equivalent positions in the Divisions; 
                        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 personnel among the 
                Divisions, and between the Divisions and 
                agencies of the Department, in a manner that--
                          (i) promotes leadership and 
                        professional development; and
                          (ii) enables personnel to interact 
                        with other agencies 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, 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).
                  (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 
                administrative 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).
                          (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) providing 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, Extension, and 
                        Teaching Policy Act of 1977 (7 U.S.C. 
                        3152(b)).
                          (vi) The animal health and disease 
                        research program established under 
                        subtitle E of the National Agricultural 
                        Research, Extension, and Teaching 
                        Policy Act of 1977 (7 U.S.C. 3191 et 
                        seq.) except for the competitive grant 
                        program under section 1433(b).
                          (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 Institutions 
                        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 (commonly known as 
                        the ``McIntire-Stennis Cooperative 
                        Forestry Act'') (16 U.S.C. 582a et 
                        seq.).
                          (xiii) Each program established under 
                        the Renewable 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 infrastructure 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 
                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, Special, 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 section 
                        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, Extension, 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 Agricultural 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, Conservation, 
                        and Trade Act of 1990 (7 U.S.C. 5811).
                          (ix) The organic agriculture research 
                        and extension 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 research, extension, and 
                        education programs 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.
                          (xii) Other programs that are 
                        competitive programs, as determined by 
                        the Secretary.
                  (E) Director.--The term ``Director'' means 
                the Director of the Institute.
                  (F) Fundamental research.--The term 
                ``fundamental research'' means research that--
                          (i) increases knowledge or 
                        understanding of the fundamental 
                        aspects of phenomena and has the 
                        potential 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, 
                obligations, and related legal and 
                administrative functions prescribed by law or 
                otherwise granted to the Secretary, the 
                Department, or any other agency or official of 
                the Department 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 
                        Secretary 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 reappointment 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
                                  (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 compensation 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 requirement 
                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 accordance with policies 
                        adopted by the Institute, in 
                        coordination 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 considers to be necessary for 
        governance of operations, organization, and personnel.
          (5) Administration.--
                  (A) In general.--The Director shall organize 
                offices and functions within the Institute to 
                administer fundamental 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 fundamental 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 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 recommendations contained in the roadmap 
                described in section 7504 of the Food, 
                Conservation, and Energy Act of 2008.
  (g) Executive Schedule.--

           *       *       *       *       *       *       *


Subtitle J--Miscellaneous Reorganization Provisions

           *       *       *       *       *       *       *


SEC. 296. TERMINATION OF AUTHORITY.

  (a) In General.--Subject to subsection (b), the authority 
delegated to the Secretary by this title to reorganize the 
Department shall terminate on the date that is 2 years after 
the date of enactment of this Act.
  (b) Functions.--Subsection (a) shall not affect:
          (1) The authority of the Secretary to continue to 
        carry out a function that the Secretary performs on the 
        date that is 2 years after the date of enactment of 
        this Act.
          (2) The authority delegated to the Secretary under 
        Reorganization Plan No. 2 of 1953 (5 U.S.C. App.; 7 
        U.S.C. 2201 note).
          (3) The authority of an agency, office, officer, or 
        employee of the Department to continue to perform all 
        functions delegated or assigned to the entity or person 
        as of that termination date.
          (4) The authority of the Secretary to establish in 
        the Department the position of Under Secretary of 
        Agriculture for Marketing and Regulatory Programs under 
        section 285.
          (5) The authority of the Secretary to establish 
        within the Department the position of Assistant 
        Secretary of Agriculture for Civil Rights, and delegate 
        duties to the Assistant Secretary, under section 218.
          (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.
          (7) The authority of the Secretary to establish in 
        the Department the Office of Advocacy and Outreach in 
        accordance with section 226B.
          (8) The authority of the Secretary to carry out 
        amendments made to this title by the Agricultural Act 
        of 2014, section 772 of the Agriculture, Rural 
        Development, Food and Drug Administration, and Related 
        Agencies Appropriations Act, 2018, or the Agriculture 
        and Nutrition Act of 2018.

TITLE III--MISCELLANEOUS

           *       *       *       *       *       *       *


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 governments.
  (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 onsite 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 consideration 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 revitalization, and 
                                improvements of the Department 
                                properties 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;
                  (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 
        Secretary 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 10 years after the 
                date of enactment of this section] on June 18, 
                2023; 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 Homeless 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 Secretary intends 
        to evaluate the success of the program under this 
        section.
          (2) Reports.--[Not later than 6, 8, and 10 years 
        after the date of enactment of this section] Not later 
        than June 18, 2019, June 18, 2021, and June 18, 2023, 
        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 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.

           *       *       *       *       *       *       *

                              ----------                              


              RICHARD B. RUSSELL NATIONAL SCHOOL LUNCH ACT



           *       *       *       *       *       *       *
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, canned, 
dried, frozen, or pureed fruits and vegetables available in 
elementary schools (referred to in this section as the 
``program'').
  (b) Program.--A school participating in the program shall 
make free fresh, canned, dried, frozen, or pureed fruits and 
vegetables available to students throughout the school day (or 
at such other times as are considered appropriate 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 allocate 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.--
          (1) In general.--Except as provided in paragraph (2) 
        of this subsection and section 4304(a)(2) of the Food, 
        Conservation, 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 students 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 application 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 requirement 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 proportion 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 
                eligibility under paragraph (1)(B).
                  (B) Requirement.--In providing information to 
                schools in accordance with subparagraph (A), a 
                State 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 availability of free fresh, canned, dried, frozen, or 
pureed 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 
        evaluation of the program, including a determination as 
        to whether children experienced, as a result of 
        participating in the program--
                  (A) increased consumption of fruits and 
                vegetables;
                  (B) other dietary changes, such as decreased 
                consumption 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 
        Secretary shall submit to the Committee on Education 
        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 
        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, the Secretary shall use to carry out the 
        evaluation required under subsection (h), $3,000,000, 
        to remain available for obligation 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 available under the grant that are 
                not obligated or expended by a date determined 
                by the Secretary.

           *       *       *       *       *       *       *

                              ----------                              


              CONSOLIDATED FARM AND RURAL DEVELOPMENT ACT



           *       *       *       *       *       *       *
TITLE III--AGRICULTURAL CREDIT

           *       *       *       *       *       *       *


                     Subtitle A--Real Estate Loans

SEC. 302. PERSONS ELIGIBLE FOR REAL ESTATE LOANS.

  (a) In General.--
          (1) Eligibility requirements.--The Secretary may make 
        and insure loans under this subtitle to farmers and 
        ranchers in the United States, and to farm cooperatives 
        and private domestic corporations, partnerships, joint 
        operations, trusts, limited liability companies, and 
        such other legal entities as the Secretary considers 
        appropriate, that are controlled by farmers and 
        ranchers and engaged primarily and directly in farming 
        or ranching in the United States, subject to the 
        conditions specified in this section. To be eligible 
        for such loans, applicants who are individuals, or, in 
        the case of cooperatives, corporations, partnerships, 
        joint operations, trusts, limited liability companies, 
        and such other legal entities, individuals holding a 
        majority interest in such entity, must (A) be citizens 
        of the United States, (B) for direct loans only, have 
        either training or farming experience that the 
        Secretary determines is sufficient to assure reasonable 
        prospects of success in the proposed farming 
        operations, taking into consideration all farming 
        experience of the applicant, without regard to any 
        lapse between farming experiences, (C) be or will 
        become owner-operators of not larger than family farms 
        (or in the case of cooperatives, corporations, 
        partnerships, joint operations, trusts, limited 
        liability companies, and such other legal entities in 
        which a majority interest is held by individuals who 
        are related by blood or marriage, as defined by the 
        Secretary, such individuals must be or will become 
        either owners or operators of not larger than a family 
        farm and at least one such individual must be or will 
        become an operator of not larger than a family farm or, 
        in the case of holders of the entire interest who are 
        related by blood or marriage and all of whom are or 
        will become farm operators, the ownership interest of 
        each such holder separately constitutes not larger than 
        a family farm, even if their interests collectively 
        constitute larger than a family farm, as defined by the 
        Secretary), and (D) be unable to obtain sufficient 
        credit elsewhere to finance their actual needs at 
        reasonable rates and terms, taking into consideration 
        prevailing private and cooperative rates and terms in 
        the community in or near which the applicant resides 
        for loans for similar purposes and periods of time. In 
        addition to the foregoing requirements of this section, 
        in the case of corporations, partnerships, joint 
        operations, trusts, limited liability companies, and 
        such other legal entities, the family farm requirement 
        of subparagraph (C) of the preceding sentence shall 
        apply as well to the farm or farms in which the entity 
        has an ownership and operator interest and the 
        requirement of subparagraph (D) of the preceding 
        sentence shall apply as well to the entity in the case 
        of cooperatives, corporations, partnerships, joint 
        operations, trusts, limited liability companies, and 
        such other legal entities.
          (2) Special rules.--
                  (A) Eligibility of certain operating-only 
                entities.--An entity that is or will become 
                only the operator of a family farm shall be 
                considered to meet the owner-operator 
                requirements of paragraph (1) if the 
                individuals that are the owners of the family 
                farm own more than 50 percent (or such other 
                percentage as the Secretary determines is 
                appropriate) of the entity.
                  (B) Eligibility of certain embedded 
                entities.--An entity that is an owner-operator 
                described in paragraph (1), or an operator 
                described in subparagraph (A) of this paragraph 
                that is owned, in whole or in part, by other 
                entities, shall be considered to meet the 
                direct ownership requirement imposed under 
                paragraph (1) if at least 75 percent of the 
                ownership interests of each embedded entity of 
                the entity is owned directly or indirectly by 
                the individuals that own the family farm.
  (b) Direct Loans.--
          (1) In general.--Subject to paragraph (3), the 
        Secretary may make a direct loan under this subtitle 
        only to a farmer or rancher who has participated in the 
        business operations of a farm or ranch for not less 
        than 3 years or has other acceptable experience for a 
        period of time, as determined by the Secretary, and--
                  (A) is a qualified beginning farmer or 
                rancher;
                  (B) has not received a previous direct farm 
                ownership loan made under this subtitle; or
                  (C) has not received a direct farm ownership 
                loan under this subtitle more than 10 years 
                before the date the new loan would be made.
          (2) Youth loans.--The operation of an enterprise by a 
        youth under section 311(b) shall not be considered the 
        operation of a farm or ranch for purposes of paragraph 
        (1).
          (3) Transition rule.--
                  (A) In general.--Subject to subparagraphs (B) 
                and (C), the Secretary may make a direct loan 
                under this subtitle to a farmer or rancher who 
                has a direct loan outstanding under this 
                subtitle on the date of enactment of this 
                paragraph.
                  (B) Less than 5 years.--If, as of the date of 
                enactment of this paragraph, a farmer or 
                rancher has had a direct loan outstanding under 
                this subtitle for less than 5 years, the 
                Secretary shall not make a loan to the farmer 
                or rancher under subparagraph (A) after the 
                date that is 10 years after the date of 
                enactment of this paragraph.
                  (C)  5 years or more.--If, as of the date of 
                enactment of this paragraph, a farmer or 
                rancher has had a direct loan outstanding under 
                this subtitle for 5 years or more, the 
                Secretary shall not make a loan to the farmer 
                or rancher under subparagraph (A) after the 
                date that is 5 years after the date of 
                enactment of this paragraph.
          (D) Notice.--Beginning with fiscal year 2000 not 
        later than 12 months before a borrower will become 
        ineligible for direct loans under this subtitle by 
        reason of this paragraph, the Secretary shall notify 
        the borrower of such impending ineligibility.
          (4) Waiver authority.--In the case of a qualified 
        beginning farmer or rancher, the Secretary may--
                  (A) reduce the 3-year requirement in 
                paragraph (1) to--
                          (i) 2 years, if the farmer or rancher 
                        has--
                                  (I) 16 credit hours of post-
                                secondary education in a field 
                                related to agriculture;
                                  (II) at least 1 year of 
                                direct substantive management 
                                experience in a business;
                                  (III) been honorably 
                                discharged from the armed 
                                forces of the United States;
                                  (IV) successfully repaid a 
                                youth loan made under section 
                                311(b); or
                                  (V) an established 
                                relationship with an individual 
                                participating as a counselor in 
                                a Service Corps of Retired 
                                Executives program authorized 
                                under section 8(b)(1)(B) of the 
                                Small Business Act (15 U.S.C. 
                                637(b)(1)(B)), or with a local 
                                farm or ranch operator or 
                                organization, approved by the 
                                Secretary, that is committed to 
                                mentoring the farmer or 
                                rancher; or
                          (ii) 1 year, if the farmer or rancher 
                        has military leadership or management 
                        experience from having completed an 
                        acceptable military leadership course; 
                        or
                  (B) waive the 3-year requirement in paragraph 
                (1) if the farmer or rancher--
                          (i) meets a requirement of 
                        subparagraph (A)(i) (other than 
                        subclause (V) thereof) and meets the 
                        requirement of subparagraph (A)(ii); 
                        and
                          (ii) meets the requirement of 
                        subparagraph (A)(i)(V).

           *       *       *       *       *       *       *


SEC. 304. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM.

  (a) In General.--The Secretary may make or guarantee 
qualified 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) Qualified conservation project.--The term 
        ``qualified conservation project'' means conservation 
        measures that address provisions of a conservation plan 
        of the eligible borrower.
          (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 Secretary.
  (c) Eligibility.--
          (1) In general.--The Secretary may make or guarantee 
        loans to farmers or ranchers in the United States, farm 
        cooperatives, private domestic corporations, 
        partnerships, joint operations, trusts, limited 
        liability companies, or such other legal entities as 
        the Secretary considers appropriate 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 
        subparagraphs (A) and (B) of section 302(a)(1).
  (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 portion 
of a loan that the Secretary may guarantee under this section 
shall be--
          (1) 80 percent of the principal amount of the loan; 
        or
          (2) in the case of a producer that is a qualified 
        socially disadvantaged farmer or rancher or a beginning 
        farmer or rancher, 90 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.--There is authorized to 
be appropriated to the Secretary to carry out this section 
[$150,000,000] $75,000,000 for each of fiscal years 2014 
through [2018] 2023.

SEC. 305. LIMITATIONS ON AMOUNT OF FARM OWNERSHIP LOANS.

  (a) In General.--The Secretary shall make or insure no loan 
under sections 302, 303, 304, 310D, and 310E of this title that 
would cause the unpaid indebtedness under such sections of any 
one borrower to exceed the smaller of (1) the value of the farm 
or other security, or (2) in the case of a loan other than a 
loan guaranteed by the Secretary, $300,000, or, in the case of 
a loan guaranteed by the Secretary, [$700,000] $1,750,000 
(increased, beginning with fiscal year [2000] 2019, by the 
inflation percentage applicable to the fiscal year in which the 
loan is guaranteed and reduced by the amount of any unpaid 
indebtedness of the borrower on loans under subtitle B that are 
guaranteed by the Secretary).
  (b) Determination of Value.--In determining the value of the 
farm, the Secretary shall consider appraisals made by competent 
appraisers under rules established by the Secretary.
  (c) Inflation Percentage.--For purposes of this section, the 
inflation percentage applicable to a fiscal year is the 
percentage (if any) by which--
          (1) the average of the Prices Paid By Farmers Index 
        (as compiled by the National Agricultural Statistics 
        Service of the Department of Agriculture) for the 12-
        month period ending on August 31 of the immediately 
        preceding fiscal year; exceeds
          (2) the average of such index (as so defined) for the 
        12-month period ending on August 31, 1996.
  Sec. 306. (a)(1) The Secretary is also authorized to make or 
insure loans to associations, including corporations not 
operated for profit, Indian tribes on Federal and State 
reservations and other federally recognized Indian tribes, and 
public and quasi-public agencies to provide for the application 
or establishment of soil conservation practices, shifts in land 
use, the conservation, development, use, and control of water, 
and the installation or improvement of drainage or waste 
disposal facilities, recreational developments, and essential 
community facilities including necessary related equipment, all 
primarily serving farmers, ranchers, farm tenants, farm 
laborers, rural businesses, and other rural residents, and to 
furnish financial assistance or other aid in planning projects 
for such purposes. The Secretary may also make or insure loans 
to communities that have been designated as rural empowerment 
zones or rural enterprise communities pursuant to part I of 
subchapter U of chapter 1 of the Internal Revenue Code of 1986, 
or as rural enterprise communities pursuant to section 766 of 
the Agriculture, Rural Development, Food and Drug 
Administration, and Related Agencies Appropriations Act, 1999 
(Public Law 105-277; 112 Stat. 2681, 2681-37), to provide for 
the installation or improvement of essential community 
facilities including necessary related equipment, and to 
furnish financial assistance or other aid in planning projects 
for such purposes. The Secretary may also make loans to any 
borrower to whom a loan has been made under the Rural 
Electrification Act of 1936 (7 U.S.C. 901 et seq.), for the 
conservation, development, use, and control of water, and the 
installation of drainage or waste disposal facilities, 
primarily serving farmers, ranchers, farm tenants, farm 
laborers, rural businesses, and other rural residents. When any 
loan made for a purpose specified in this paragraph is sold out 
of the Agricultural Credit Insurance Fund as an insured loan, 
the interest or other income thereon paid to an insured holder 
shall be included in gross income for purposes of chapter 1 of 
the Internal Revenue Code of 1954. With respect to loans of 
less than $500,000 made or insured under this paragraph that 
are evidenced by notes and mortgages, as distinguished from 
bond issues, borrowers shall not be required to appoint bond 
counsel to review the legal validity of the loan whenever the 
Secretary has available legal counsel to perform such review.
          (2) Water, waste disposal, and wastewater facility 
        grants.--
                  (A) Authority.--
                          (i) In general.--The Secretary is 
                        authorized to make grants to such 
                        associations to finance specific 
                        projects for works for the development, 
                        storage, treatment, purification, or 
                        distribution of water or the 
                        collection, treatment, or disposal of 
                        waste in rural areas.
                          (ii) Amount.--The amount of any grant 
                        made under the authority of this 
                        subparagraph shall not exceed 75 per 
                        centum of the development cost of the 
                        project to serve the area which the 
                        association determines can be feasibly 
                        served by the facility and to 
                        adequately serve the reasonably 
                        foreseeable growth needs of the area.
                          (iii) Grant rate.--The Secretary 
                        shall fix the grant rate for each 
                        project in conformity with regulations 
                        issued by the Secretary that shall 
                        provide for a graduated scale of grant 
                        rates establishing higher rates for 
                        projects in communities that have lower 
                        community population and income levels.
                  (B) Revolving funds for financing water and 
                wastewater projects.--
                          (i) In general.--The Secretary may 
                        make grants to qualified private, 
                        nonprofit entities to capitalize 
                        revolving funds for the purpose of 
                        providing financing to eligible 
                        entities for--
                                  (I) predevelopment costs 
                                associated with proposed water 
                                and wastewater projects or with 
                                existing water and wastewater 
                                systems; and
                                  (II) short-term costs 
                                incurred for replacement 
                                equipment, small-scale 
                                extension services, or other 
                                small capital projects that are 
                                not part of the regular 
                                operations and maintenance 
                                activities of existing water 
                                and wastewater systems.
                          (ii) Eligible entities.--To be 
                        eligible to obtain financing from a 
                        revolving fund under clause (i), an 
                        eligible entity must be eligible to 
                        obtain a loan, loan guarantee, or grant 
                        under paragraph (1) or this paragraph.
                          (iii) Maximum amount of financing.--
                        The amount of financing made to an 
                        eligible entity under this subparagraph 
                        shall not exceed--
                                  (I) [$100,000] $200,000 for 
                                costs described in clause 
                                (i)(I); and
                                  (II) [$100,000] $200,000 for 
                                costs described in clause 
                                (i)(II).
                          (iv) Term.--The term of financing 
                        provided to an eligible entity under 
                        this subparagraph shall not exceed 10 
                        years.
                          (v) Administration.--The Secretary 
                        shall limit the amount of grant funds 
                        that may be used by a grant recipient 
                        for administrative costs incurred under 
                        this subparagraph.
                          (vi) Annual report.--A nonprofit 
                        entity receiving a grant under this 
                        subparagraph shall submit to the 
                        Secretary an annual report that 
                        describes the number and size of 
                        communities served and the type of 
                        financing provided.
                          (vii) Authorization of 
                        appropriations.--There are authorized 
                        to be appropriated to carry out this 
                        subparagraph [$30,000,000 for each of 
                        fiscal years 2008 through 2018] 
                        $15,000,000 for each of fiscal years 
                        2019 through 2023.
                  (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 
                        financially distressed communities in 
                        rural areas with populations of 2,500 
                        or fewer inhabitants for water and 
                        waste disposal projects described in 
                        paragraph (1), this paragraph, and 
                        paragraph (24).
                          (ii) Terms.--
                                  (I) Documentation.--With 
                                respect to grants made under 
                                this subparagraph, the 
                                Secretary shall require the 
                                lowest amount of documentation 
                                practicable.
                                  (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 
                                determined 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 subparagraph are in 
                        addition to any other funds or 
                        authorities the Secretary may have to 
                        carry out activities described in 
                        clause (i).
  (3) No grant shall be made under paragraph (2) of this 
subsection in connection with any project unless the Secretary 
determines that the project (i) will serve a rural area which, 
if such project is carried out, is not likely to decline in 
population below that for which the project was designed, (ii) 
is designed and constructed so that adequate capacity will or 
can be made available to serve the present population of the 
area to the extent feasible and to serve the reasonably 
foreseeable growth needs of the area, and (iii) is necessary 
for an orderly community development consistent with a 
comprehensive community water, waste disposal, or other 
development plan of the rural area.
  (4)(A) The term ``development cost'' means the cost of 
construction of a facility and the land, easements, and rights-
of-way, and water rights necessary to the construction and 
operation of the facility.
  (B) The term ``project'' shall include facilities providing 
central service or facilities serving individual properties, or 
both.
          (5) Application requirements.--Not earlier than 60 
        days before a preliminary application is filed for a 
        loan under paragraph (1) or a grant under paragraph (2) 
        for a water or waste disposal purpose, a notice of the 
        intent of the applicant to apply for the loan or grant 
        shall be published in a general circulation newspaper. 
        The selection of engineers for a project design shall 
        be done by a request for proposals by the applicant.
  (6) The Secretary may make grants aggregating not to exceed 
$30,000,000 in any fiscal year to public bodies or such other 
agencies as the Secretary may determine having authority to 
prepare comprehensive plans for the development of water or 
waste disposal systems in rural areas which do not have funds 
available for immediate undertaking of the preparation of such 
plan.
          (7)
  (8) In each instance where the Secretary receives two or more 
applications for financial assistance for projects that would 
serve substantially the same group of residents within a single 
rural area, and one such application is submitted by a city, 
town, county or other unit of general local government, he 
shall, in the absence of substantial reasons to the contrary, 
provide such assistance to such city, town, county or other 
unit of general local government.
          (9) Conformity with state drinking water standards.--
        No Federal funds shall be made available under this 
        section for a water system unless the Secretary 
        determines that the water system will make significant 
        progress toward meeting the standards established under 
        title XIV of the Public Health Service Act (commonly 
        known as the ``Safe Drinking Water Act'') (42 U.S.C. 
        300f et seq.).
          (10) Conformity with federal and state water 
        pollution control standards.--No Federal funds shall be 
        made available under this section for a water treatment 
        discharge or waste disposal system unless the Secretary 
        determines that the effluent from the system conforms 
        with applicable Federal and State water pollution 
        control standards.
  (12)(A) The Secretary shall, in cooperation with institutions 
eligible to receive funds under the Act of July 2, 1862 (12 
Stat. 503-505, as amended; 7 U.S.C. 301-305, 307, and 308), or 
the Act of August 30, 1890 (26 Stat. 417-419, as amended; 7 
U.S.C. 321-326 and 328), including the Tuskegee Institute and 
State, substate, and regional planning bodies, establish a 
system for the dissemination of information and technical 
assistance on federally sponsored or funded programs. The 
system shall be for the use of institutions eligible to receive 
funds under the Act of July 2, 1862 (12 Stat. 503-505, as 
amended; 7 U.S.C. 301-305, 307 and 308), or the Act of August 
30, 1890 (26 Stat. 417-419, as amended; 7 U.S.C. 321-326 and 
328), including the Tuskegee Institute and State, substate, and 
regional planning bodies, and other persons concerned with 
rural development.
  (B) The informational system developed under this paragraph 
shall contain all pertinent information, including, but not 
limited to, information contained in the Federal Procurement 
Data System, Federal Assistance Program Retrieval System, 
Catalogue of Federal Domestic Assistance, Geographic 
Distribution of Federal Funds, United States Census, and Code 
of Federal Regulations.
  (C) The Secretary shall obtain from all other Federal 
departments and agencies comprehensive, relevant, and 
applicable information on programs under their jurisdiction 
that are operated in rural areas.
  (D) Of the sums authorized to be appropriated to carry out 
the provisions of this title, not more than $1,000,000 per year 
may be expended to carry out the provisions of this paragraph.
  (13) In the making of loans and grants for community waste 
disposal and water facilities under paragraphs (1) and (2) of 
this subsection the Secretary shall accord highest priority to 
the application of any municipality or other public agency 
(including an Indian tribe on a Federal or State reservation or 
other federally recognized Indian tribal group) in a rural 
community having a population not in excess of five thousand 
five hundred and which, in the case of water facility loans, 
has a community water supply system, where the Secretary 
determines that due to unanticipated diminution or 
deterioration of its water supply, immediate action is needed, 
or in the case of waste disposal, has a community waste 
disposal system, where the Secretary determines that due to 
unanticipated occurrences the system is not adequate to the 
needs of the community. The Secretary shall utilize the Soil 
Conservation Service in rendering technical assistance to 
applicants under this paragraph to the extent he deems 
appropriate.
          (14) Rural water and wastewater technical assistance 
        and training programs.--
                  (A) In general.--The Secretary may make 
                grants to private nonprofit organizations for 
                the purpose of enabling them to provide to 
                associations described in paragraph (1) of this 
                subsection technical assistance and training 
                to--
                          (i) identify, and evaluate 
                        alternative solutions to, problems 
                        relating to the obtaining, storage, 
                        treatment, purification, or 
                        distribution of water or the 
                        collection, treatment, or disposal of 
                        waste in rural areas;
                          (ii) prepare applications to receive 
                        financial assistance for any purpose 
                        specified in paragraph (2) of this 
                        subsection from any public or private 
                        source; [and]
                          (iii) improve the operation and 
                        maintenance practices at any existing 
                        works for the storage, treatment, 
                        purification, or distribution of water 
                        or the collection, treatment, or 
                        disposal of waste in rural areas[.]; 
                        and
                          (iv) identify options to enhance long 
                        term sustainability of rural water and 
                        waste systems to include operational 
                        practices, revenue enhancements, policy 
                        revisions, partnerships, consolidation, 
                        regionalization, or contract services.
                  (B) Selection priority.--In selecting 
                recipients of grants to be made under 
                subparagraph (A), the Secretary shall give 
                priority to private nonprofit organizations 
                that have experience in providing the technical 
                assistance and training described in 
                subparagraph (A) to associations serving rural 
                areas in which residents have low income and in 
                which water supply systems or waste facilities 
                are unhealthful.
                  (C) Funding.--Not less than [1 nor more than 
                3] 3 nor more than 5 percent of any funds 
                appropriated to carry out paragraph (2) of this 
                subsection for any fiscal year shall be 
                reserved for grants under subparagraph (A) 
                unless the applications, qualifying for grants, 
                received by the Secretary from eligible 
                nonprofit organizations for the fiscal year 
                total less than 1 per centum of those funds.
  (15) In the case of water and waste disposal facility 
projects serving more than one separate rural community, the 
Secretary shall use the median population level and the 
community income level of all the separate communities to be 
served in applying the standards specified in paragraph (2) of 
this subsection and section 307(a)(3)(A).
  (16) Grants under paragraph (2) of this subsection may be 
used to pay the local share requirements of another Federal 
grant-in-aid program to the extent permitted under the law 
providing for such grant-in-aid program.
  (17)(A) In the approval and administration of a loan made 
under paragraph (1) for a water or waste disposal facility, the 
Secretary shall consider fully any recommendation made by the 
loan applicant or borrower concerning the technical design and 
choice of materials to be used for such facility.
  (B) If the Secretary determines that a design or materials, 
other than those that were recommended, should be used in the 
water or waste disposal facility, the Secretary shall provide 
such applicant or borrower with a comprehensive justification 
for such determination.
  (18) In making or insuring loans or making grants under this 
subsection, the Secretary may not condition approval of such 
loans or grants upon any requirement, condition or 
certification other than those specified under this title.
          (19) Community facilities grant program.--
                  (A) In general.--The Secretary may make 
                grants, in a total amount not to exceed 
                $10,000,000 for any fiscal year, to 
                associations, units of general local 
                government, nonprofit corporations, Indian 
                tribes (as defined in section 4(e) of the 
                Indian Self-Determination and Education 
                Assistance Act), Indian tribes (as such term is 
                defined under section 4(e) of Public Law 93-
                638, as amended),, and federally recognized 
                Indian tribes to provide the Federal share of 
                the cost of developing specific essential 
                community facilities in rural areas.
                  (B) Federal share.--
                          (i) In general.--Except as provided 
                        in clauses (ii) and (iii), the 
                        Secretary shall, by regulation, 
                        establish the amount of the Federal 
                        share of the cost of the facility under 
                        this paragraph.
                          (ii) Maximum amount.--The amount of a 
                        grant provided under this paragraph for 
                        a facility shall not exceed 75 percent 
                        of the cost of developing the facility.
                          (iii) Graduated scale.--The Secretary 
                        shall provide for a graduated scale for 
                        the amount of the Federal share 
                        provided under this paragraph, with 
                        higher Federal shares for facilities in 
                        communities that have lower community 
                        population and income levels, as 
                        determined by the Secretary.
          (20) Community facilities grant program for rural 
        communities with extreme unemployment and severe 
        economic depression.--
                  (A) Definition of not employed rate.--In this 
                paragraph, the term ``not employed rate'', with 
                respect to a community, means the percentage of 
                individuals over the age of 18 who reside 
                within the community and who are ready, 
                willing, and able to be employed but are unable 
                to find employment, as determined by the 
                department of labor of the State in which the 
                community is located.
                  (B) Grant authority.--The Secretary may make 
                grants to associations, units of general local 
                government, nonprofit corporations, and Indian 
                tribes (as defined in section 4 of the Indian 
                Self-Determination and Education Assistance Act 
                (25 U.S.C. 450b)) in a State to provide the 
                Federal share of the cost of developing 
                specific essential community facilities in 
                rural communities with respect to which the not 
                employed rate is greater than the lesser of--
                          (i) 500 percent of the average 
                        national unemployment rate on the date 
                        of the enactment of this paragraph, as 
                        determined by the Bureau of Labor 
                        Statistics; or
                          (ii) 200 percent of the average 
                        national unemployment rate during the 
                        Great Depression, as determined by the 
                        Bureau of Labor Statistics.
                  (C) Federal share.--Paragraph (19)(B) shall 
                apply to a grant made under this paragraph.
                  (D) Authorization of appropriations.--There 
                are authorized to be appropriated to carry out 
                this paragraph $50,000,000 for fiscal year 2001 
                and such sums as are necessary for each 
                subsequent fiscal year, of which not more than 
                5 percent of the amount made available for a 
                fiscal year shall be available for community 
                planning and implementation.
                  (E) Rural broadband.--Notwithstanding 
                subparagraph (C), the Secretary may make grants 
                to State agencies for use by regulatory 
                commissions in states with rural communities 
                without local broadband service to establish a 
                competitively, technologically neutral grant 
                program to telecommunications carriers or cable 
                operators that establish common carrier 
                facilities and services which, in the 
                commission's determination, will result in the 
                long-term availability to such communities of 
                affordable broadband services which are used 
                for the provision of high speed Internet 
                access.
          (21) Community facilities grant program for rural 
        communities with high levels of out-migration or loss 
        of population.--
                  (A) Grant authority.--The Secretary may make 
                grants to associations, units of general local 
                government, nonprofit corporations, and Indian 
                tribes (as defined in section 4 of the Indian 
                Self-Determination and Education Assistance Act 
                (25 U.S.C. 450b)) in a State to provide the 
                Federal share of the cost of developing 
                specific essential community facilities in any 
                geographic area--
                          (i) that is represented by--
                                  (I) any political subdivision 
                                of a State;
                                  (II) an Indian tribe on a 
                                Federal or State reservation; 
                                or
                                  (III) other federally 
                                recognized Indian tribal group;
                          (ii) that is located in a rural area 
                        (as defined in section 381A);
                          (iii) with respect to which, during 
                        the most recent 5-year period, the net 
                        out-migration of inhabitants, or other 
                        population loss, from the area equals 
                        or exceeds 5 percent of the population 
                        of the area; and
                          (iv) that has a median household 
                        income that is less than the 
                        nonmetropolitan median household income 
                        of the United States.
                  (B) Federal share.--Paragraph (19)(B) shall 
                apply to a grant made under this paragraph.
                  (C) Authorization of appropriations.--There 
                are authorized to be appropriated to carry out 
                this paragraph $50,000,000 for fiscal year 2001 
                and such sums as are necessary for each 
                subsequent fiscal year, of which not more than 
                5 percent of the amount made available for a 
                fiscal year shall be available for community 
                planning and implementation.
          (22) Rural water and wastewater circuit rider 
        program.--
                  (A) In general.--The Secretary shall continue 
                a national rural water and wastewater circuit 
                rider program that--
                          (i) is consistent with the activities 
                        and results of the program conducted 
                        before the date of enactment of this 
                        clause, as determined by the Secretary; 
                        and
                          (ii) receives funding from the 
                        Secretary, acting through the Rural 
                        Utilities Service.
                  (B) Authorization of appropriations.--There 
                is authorized to be appropriated to carry out 
                this paragraph [$20,000,000 for fiscal year 
                2014] $25,000,000 for fiscal year 2018 and each 
                fiscal year thereafter.
          [(23) Multijurisdictional regional planning 
        organizations.--
                  [(A) Grants.--The Secretary shall provide 
                grants to multijurisdictional regional planning 
                and development organizations to pay the 
                Federal share of the cost of providing 
                assistance to local governments to improve the 
                infrastructure, services, and business 
                development capabilities of local governments 
                and local economic development organizations.
                  [(B) Priority.--In determining which 
                organizations will receive a grant under this 
                paragraph, the Secretary shall give priority to 
                an organization that--
                          [(i) serves a rural area that, during 
                        the most recent 5-year period--
                                  [(I) had a net out-migration 
                                of inhabitants, or other 
                                population loss, from the rural 
                                area that equals or exceeds 5 
                                percent of the population of 
                                the rural area; or
                                  [(II) had a median household 
                                income that is less than the 
                                nonmetropolitan median 
                                household income of the 
                                applicable State; and
                          [(ii) has a history of providing 
                        substantive assistance to local 
                        governments and economic development 
                        organizations.
                  [(C) Federal share.--A grant provided under 
                this paragraph shall be for not more than 75 
                percent of the cost of providing assistance 
                described in subparagraph (A).
                  [(D) Maximum amount of grants.--The amount of 
                a grant provided to an organization under this 
                paragraph shall not exceed $100,000.
                  [(E) Authorization of appropriations.--There 
                is authorized to be appropriated to carry out 
                this paragraph $30,000,000 for each of fiscal 
                years 2003 through 2007.]
          (24) Loan guarantees for water, wastewater, and 
        essential community facilities loans.--
                  (A) In general.--The Secretary may guarantee 
                a loan made to finance a community facility or 
                water or waste facility project in a rural 
                area, including a loan financed by the net 
                proceeds of a bond described in section 142(a) 
                of the Internal Revenue Code of 1986.
                  (B) Requirements.--To be eligible for a loan 
                guarantee under subparagraph (A), an individual 
                or entity offering to purchase the loan shall 
                demonstrate to the Secretary that the person 
                has--
                          (i) the capabilities and resources 
                        necessary to service the loan in a 
                        manner that ensures the continued 
                        performance of the loan, as determined 
                        by the Secretary; and
                          (ii) the ability to generate capital 
                        to provide borrowers of the loan with 
                        the additional credit necessary to 
                        properly service the loan.
                  (C) Use of loan guarantees for community 
                facilities.--The Secretary shall consider the 
                benefits to communities that result from using 
                loan guarantees in carrying out the community 
                facilities program and, to the maximum extent 
                practicable, use guarantees to enhance 
                community involvement.
          (25) Tribal college and university essential 
        community facilities.--
                  (A) In general.--The Secretary may make 
                grants to an entity that is a Tribal College or 
                University (as defined in section 316 of the 
                Higher Education Act of 1965 (20 U.S.C. 1059c)) 
                to provide the Federal share of the cost of 
                developing specific Tribal College or 
                University essential community facilities in 
                rural areas.
                  (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.
                  (C) Authorization of appropriations.--There 
                is authorized to be appropriated to carry out 
                this paragraph [$10,000,000 for each of fiscal 
                years 2008 through 2018] $5,000,000 for each of 
                fiscal years 2019 through 2023.
          (26) Essential community facilities technical 
        assistance and training.--
                  (A) In general.--The Secretary may make 
                grants to public bodies and private nonprofit 
                corporations (such as States, counties, cities, 
                townships, and incorporated towns and villages, 
                boroughs, authorities, districts, and Indian 
                tribes on Federal and State reservations) that 
                will serve rural areas for the purpose of 
                enabling the public bodies and private 
                nonprofit corporations to provide to 
                associations described in paragraph (1) 
                technical assistance and training, with respect 
                to essential community facilities programs 
                authorized under this subsection--
                          (i) to assist communities in 
                        identifying and planning for community 
                        facility needs;
                          (ii) to identify public and private 
                        resources to finance community facility 
                        needs;
                          (iii) to prepare reports and surveys 
                        necessary to request financial 
                        assistance to develop community 
                        facilities;
                          (iv) to prepare applications for 
                        financial assistance;
                          (v) to improve the management, 
                        including financial management, related 
                        to the operation of community 
                        facilities; or
                          (vi) to assist with other areas of 
                        need identified by the Secretary.
                  (B) Selection priority.--In selecting 
                recipients of grants under this paragraph, the 
                Secretary shall give priority to private, 
                nonprofit, or public organizations that have 
                experience in providing technical assistance 
                and training to rural entities.
                  (C) Funding.--Not less than 3 nor more than 5 
                percent of any funds appropriated to carry out 
                each of the essential community facilities 
                grant, loan and loan guarantee programs as 
                authorized under this subsection for a fiscal 
                year shall be reserved for grants under this 
                paragraph.
          (27) Procedure during temporary reprioritizations.--
                  (A) Selection priority.--While a temporary 
                reprioritization announced under section 608 of 
                the Rural Development Act of 1972 is in effect, 
                in selecting recipients of loans, loan 
                guarantees, or grants for the development of 
                essential community facilities under this 
                section, the Secretary shall give priority to 
                entities eligible for those loans or grants--
                          (i) to develop facilities to provide 
                        services related to reducing the 
                        effects of the health emergency, 
                        including--
                                  (I) prevention services;
                                  (II) treatment services;
                                  (III) recovery services; or
                                  (IV) any combination of those 
                                services; and
                          (ii) that employ staff that have 
                        appropriate expertise and training in 
                        how to identify and treat individuals 
                        affected by the emergency.
                  (B) Use of funds.--An eligible entity 
                described in subparagraph (A) that receives a 
                loan or grant described in that subparagraph 
                may use the loan or grant funds for the 
                development of telehealth facilities and 
                systems to provide for treatment directly 
                related to the emergency involved.
  (b) The service provided or made available through any such 
association shall not be curtailed or limited by inclusion of 
the area served by such association within the boundaries of 
any municipal corporation or other public body, or by the 
granting of any private franchise for similar service within 
such area during the term of such loan; nor shall the happening 
of any such event be the basis of requiring such association to 
secure any franchise, license, or permit as a condition to 
continuing to serve the area served by the association at the 
time of the occurrence of such event.
  (d) Any amounts appropriated under this section shall remain 
available until expended, and any amounts authorized for any 
fiscal year under this section but not appropriated may be 
appropriated for any succeeding fiscal year.

SEC. 306A. EMERGENCY AND IMMINENT COMMUNITY WATER ASSISTANCE GRANT 
                    PROGRAM.

  (a) In General.--The Secretary shall provide grants in 
accordance with this section to assist the residents of rural 
areas and small communities to secure adequate quantities of 
safe water--
          (1) after a significant decline in the quantity or 
        quality of water available from the water supplies of 
        such rural areas and small communities, or when such a 
        decline is imminent; or
          (2) when repairs, partial replacement, or significant 
        maintenance efforts on established water systems would 
        remedy--
                  (A) an acute, or imminent, shortage of 
                quality water; or
                  (B) a significant decline, or imminent 
                decline, in the quantity or quality of water 
                that is available.
  (b) Priority.--In carrying out subsection (a), the Secretary 
shall--
          (1) give priority to projects described in subsection 
        (a)(1); and
          (2) provide at least 70 percent of all such grants to 
        such projects.
  (c) Eligibility.--To be eligible to obtain a grant under this 
section, an applicant shall--
          (1) be a public or private nonprofit entity; and
          (2) in the case of a grant made under subsection 
        (a)(1), demonstrate to the Secretary that the decline 
        referred to in such subsection occurred, or will occur, 
        within 2 years of the date the application was filed 
        for such grant.
  (d) Uses.--
          (1) In general.--Grants made under this section may 
        be used--
                  (A) for waterline extensions from existing 
                systems, laying of new waterlines, repairs, 
                significant maintenance, digging of new wells, 
                equipment replacement, and hook and tap fees;
                  (B) for any other appropriate purpose 
                associated with developing sources of, 
                treating, storing, or distributing water;
                  (C) to assist communities in complying with 
                the requirements of the Federal Water Pollution 
                Control Act (33 U.S.C. 1251 et seq.) or the 
                Safe Drinking Water Act (42 U.S.C. 300f et 
                seq.); and
                  (D) to provide potable water to communities 
                through other means.
          (2) Joint proposals.--Nothing in this section shall 
        preclude rural communities from submitting joint 
        proposals for emergency water assistance, subject to 
        the restrictions contained in subsection (e). Such 
        restrictions should be considered in the aggregate, 
        depending on the number of communities involved.
  (e) Restrictions.--
          (1) Maximum population and income.--No grant provided 
        under this section shall be used to assist any rural 
        area or community that--
                  (A) includes any area in any city or town 
                with a population in excess of 10,000 
                inhabitants according to the most recent 
                decennial census of the United States; or
                  (B) has a median household income in excess 
                of the State nonmetropolitan median household 
                income according to the most recent decennial 
                census of the United States.
          (2) Set-aside for smaller communities.--Not less than 
        50 percent of the funds allocated under this section 
        shall be allocated to rural communities with 
        populations that do not exceed 3,000 inhabitants.
  (f) Maximum Grants.--Grants made under this section may not 
exceed--
          (1) in the case of each grant made under subsection 
        (a)(1), $500,000; and
          (2) in the case of each grant made under subsection 
        (a)(2), $150,000.
  (g) Full Funding.--Subject to subsection (e), grants under 
this section shall be made in an amount equal to 100 percent of 
the costs of the projects conducted under this section.
  (h) Application.--
          (1) Nationally competitive application process.--The 
        Secretary shall develop a nationally competitive 
        application process to award grants under this section. 
        The process shall include criteria for evaluating 
        applications, including population, median household 
        income, and the severity of the decline, or imminent 
        decline, in quantity or quality of water.
          (2) Timing of review of applications.--
                  (A) Simplified application.--The application 
                process developed by the Secretary under 
                paragraph (1) shall include a simplified 
                application form that will permit expedited 
                consideration of an application for a grant 
                filed under this section.
                  (B) Priority review.--In processing 
                applications for any water or waste grant or 
                loan authorized under this title, the Secretary 
                shall afford priority processing to an 
                application for a grant under this section to 
                the extent funds will be available for an award 
                on the application at the conclusion of 
                priority processing.
                  (C) Timing.--The Secretary shall, to the 
                maximum extent practicable, review and act on 
                an application under this section within 60 
                days after the date on which the application is 
                submitted to the Secretary.
  (i) Funding.--
          (1) Reservation.--
                  (A) In general.--For each fiscal year, not 
                less than 3 nor more than 5 percent of the 
                total amount made available to carry out 
                section 306(a)(2) for the fiscal year shall be 
                reserved for grants under this section.
                  [(B) Release.--Funds reserved under 
                subparagraph (A) for a fiscal year shall be 
                reserved only until July 1 of the fiscal year.]
                  (B) Release.--
                          (i) In general.--Except as provided 
                        in clause (ii), funds reserved under 
                        subparagraph (A) for a fiscal year 
                        shall be reserved only until July 1 of 
                        the fiscal year.
                          (ii) Exception.--In response to an 
                        eligible community where the drinking 
                        water supplies are inadequate due to a 
                        natural disaster, as determined by the 
                        Secretary, including drought or severe 
                        weather, the Secretary may provide 
                        potable water under this section for an 
                        additional period not to exceed 120 
                        days beyond the established period 
                        otherwise provided under this section, 
                        in order to protect public health.
          (2) Authorization of appropriations.--In addition to 
        funds made available under paragraph (1), there is 
        authorized to be appropriated to carry out this section 
        [$35,000,000 for each of fiscal years 2008 through 
        2018] $27,000,000 for each of fiscal years 2019 through 
        2023.

           *       *       *       *       *       *       *


SEC. 306D. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA.

  (a) In General.--The Secretary may make grants to the State 
of Alaska for the benefit of rural or Native villages in Alaska 
to provide for the development and construction of water and 
wastewater systems to improve the health and sanitation 
conditions in those villages.
  (b) Matching Funds.--To be eligible to receive a grant under 
subsection (a), the State of Alaska shall provide 25 percent in 
matching funds from non-Federal sources.
  (c) Consultation With the State of Alaska.--The Secretary 
shall consult with the State of Alaska on a method of 
prioritizing the allocation of grants under subsection (a) 
according to the needs of, and relative health and sanitation 
conditions in, each village.
  (d) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated to carry out this section $30,000,000 for 
        each of fiscal years 2008 through [2018] 2023.
          (2) Training and technical assistance.--Not more than 
        2 percent of the amount made available under paragraph 
        (1) for a fiscal year may be used by the State of 
        Alaska for training and technical assistance programs 
        relating to the operation and management of water and 
        waste disposal services in rural and Native villages.
          (3) Availability.--Funds appropriated pursuant to the 
        authorization of appropriations in paragraph (1) shall 
        be available until expended.

SEC. 306E. GRANTS TO NONPROFIT ORGANIZATIONS TO FINANCE THE 
                    CONSTRUCTION, REFURBISHING, AND SERVICING OF 
                    INDIVIDUALLY-OWNED HOUSEHOLD WATER WELL SYSTEMS IN 
                    RURAL AREAS FOR INDIVIDUALS WITH LOW OR MODERATE 
                    INCOMES.

  (a) Definition of Eligible Individual.--In this section, the 
term ``eligible individual'' means an individual who is a 
member of a household the members of which have a combined 
income (for the most recent 12-month period for which the 
information is available) that is not more than 100 percent of 
the median nonmetropolitan household income for the State or 
territory in which the individual resides, according to the 
most recent decennial census of the United States.
  (b) Grants.--
          (1) In general.--The Secretary may make grants to 
        private nonprofit organizations for the purpose of 
        providing loans to eligible individuals for the 
        construction, refurbishing, and servicing of individual 
        household water well systems in rural areas that are or 
        will be owned by the eligible individuals.
          (2) Terms of loans.--A loan made with grant funds 
        under this section--
                  (A) shall have an interest rate of 1 percent;
                  (B) shall have a term not to exceed 20 years; 
                and
                  (C) shall not exceed $11,000 for each water 
                well system described in paragraph (1).
          (3) Administrative expenses.--A recipient of a grant 
        made under this section may use grant funds to pay 
        administrative expenses associated with providing the 
        assistance described in paragraph (1), as determined by 
        the Secretary.
  (c) Priority in Awarding Grants.--In awarding grants under 
this section, the Secretary shall give priority to an applicant 
that has substantial expertise and experience in promoting the 
safe and productive use of individually-owned household water 
well systems and ground water.
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2014 through [2018] 2023.

           *       *       *       *       *       *       *

  Sec. 309A. (a) There is hereby created the Rural Development 
Insurance Fund (hereinafter in this section referred to as the 
``Insurance Fund'') which shall be used by the Secretary as a 
revolving fund for the discharge of the obligations of the 
Secretary under contracts guaranteeing or insuring rural 
development loans. For the purpose of this section ``rural 
development loans'' shall be those provided for by sections 
306(a)(1) and 310B, except loans (other than for water systems 
and waste disposal facilities) of a type authorized by section 
306(a)(1) prior to its amendment by the Rural Development Act 
of 1972.
  (b) The assets and liabilities of the Agricultural Credit 
Insurance Fund referred to in section 309(a) applicable to 
loans for water systems and waste disposal facilities under 
section 306(a)(1) are hereby transferred to the Insurance Fund. 
Such assets (including the proceeds thereof) and liabilities 
and rural development loans guaranteed or insured pursuant to 
this title shall be subject to the provisions of this section 
[and section 308].
  (c) Moneys in the Insurance Fund not needed for current 
operations shall be deposited in the Treasury of the United 
States to the credit of the Insurance Fund or invested in 
direct obligations of the United States or obligations 
guaranteed by the United States. The Secretary may purchase 
with money in the Insurance Fund any notes issued by the 
Secretary to the Secretary of the Treasury for the purpose of 
obtaining money for the Insurance Fund.
  (d) The Secretary is authorized to make and issue notes to 
the Secretary of the Treasury for the purpose of obtaining 
funds necessary for discharging obligations under this section 
and for making loans, advances, and authorized expenditures out 
of the Insurance Fund. Such notes shall be in such form and 
denominations and have such maturities and be subject to such 
terms and conditions as may be prescribed by the Secretary with 
the approval of the Secretary of the Treasury. Such notes shall 
bear interest at a rate fixed by the Secretary of the Treasury, 
taking into consideration the current average market yield of 
outstanding marketable obligations of the United States having 
maturities comparable to the average maturities of rural 
development loans made, guaranteed, or insured under this 
title. The Secretary of the Treasury is authorized and directed 
to purchase any notes of the Secretary issued hereunder, and, 
for that purpose, the Secretary of the Treasury is authorized 
to use as a public debt transaction the proceeds from the sale 
of any securities issued under the Second Liberty Bond Act, as 
amended, and the purposes for which such securities may be 
issued under such Act, as amended, are extended to include the 
purchase of notes issued by the Secretary hereunder. All 
redemptions, purchases, and sales by the Secretary of the 
Treasury of such notes shall be treated as public debt 
transactions of the United States.
  (e) Notes and security acquired by the Secretary in 
connection with rural development loans made, guaranteed, or 
insured under this title or transferred by subsection (b) of 
this section shall become a part of the Insurance Fund. Notes 
and other obligations may be held in the Insurance Fund and 
collected in accordance with their terms or may be sold by the 
Secretary with or without agreements for insurance thereof at 
the balance due thereon, or on such other basis as the 
Secretary may determine from time to time, including sale on a 
nonrecourse basis. The Secretary and any subsequent purchaser 
of such notes or other obligations sold by the Secretary on a 
nonrecourse basis shall be relieved of any responsibilities 
that might have been imposed had the borrower remained indebted 
to the Secretary. All net proceeds from such collections, 
including sales of notes or property, shall be deposited in and 
become a part of the Insurance Fund.
  (f) The Secretary shall deposit in the Insurance Fund any 
charges collected for loan services provided by the Secretary 
as well as charges assessed for losses and costs of 
administration in connection with making, guaranteeing, or 
insuring rural development loans under this title.
  (g) The Secretary may utilize the Insurance Fund--
          (1) to pay amounts to which the holder of insured 
        notes is entitled on loans heretofore or hereafter 
        insured accruing between the date of any payments by 
        the borrower and the date of transmittal of any such 
        payments to the holder. In the discretion of the 
        Secretary, payments other than final payments need not 
        be remitted to the holder until due or until the next 
        agreed annual or semiannual remittance date;
          (2) to pay to the holder of insured notes any 
        deferred or defaulted installment, or upon assignment 
        of the note to the Secretary at the Secretary's 
        request, the entire balance due on the loan;
          (3) to purchase notes in accordance with contracts of 
        insurance heretofore or hereafter entered into by the 
        Secretary;
          (4) to make payments in compliance with the 
        Secretary's obligations under contracts of guarantee 
        entered into by him;
          (5) to pay taxes, insurance, prior liens, expenses 
        necessary to make fiscal adjustments in connection with 
        the application and transmittal of collections or 
        necessary to obtain credit reports on applicants or 
        borrowers, expenses for necessary services, including 
        construction inspections, commercial appraisals, loan 
        servicing, consulting business advisory or other 
        commercial and technical services, and other program 
        services, and other expenses and advances authorized in 
        section 335(a) of this title in connection with insured 
        loans. Such items may be paid in connection with 
        guaranteed loans after or in connection with 
        acquisition by the Secretary of such loans or security 
        therefor after default, to an extent determined by the 
        Secretary to be necessary to protect the interest of 
        the Government, or in connection with grants and any 
        other activity authorized in this title;
          (6) to pay the difference between interest payments 
        by borrowers and interest to which holders of insured 
        notes are entitled under contracts of insurance 
        heretofore or hereafter entered into by the Secretary; 
        and
          (7) to pay the Secretary's costs of administration 
        necessary to insure loans under the programs referred 
        to in subsection (a) of this section, make grants under 
        sections 306(a) and 310B of this title, service, and 
        otherwise carry out such programs, including costs of 
        the Secretary incidental to guaranteeing rural 
        development loans under this title, either directly 
        from the Insurance Fund or by transfers from the Fund 
        to, and merger with, any appropriations for 
        administrative expenses.
  (h) When any loan is sold out of the Insurance Fund as an 
insured loan, the interest or other income thereon paid to an 
insured holder shall be included in gross income for purposes 
of chapter 1 of the Internal Revenue Code of 1954.

           *       *       *       *       *       *       *


SEC. 310B. ASSISTANCE FOR RURAL ENTITIES.

  (a) Loans to Private Business Enterprises.--
          (1) Definitions.--In this subsection:
                  (A) Aquaculture.--The term ``aquaculture'' 
                means the culture or husbandry of aquatic 
                animals or plants by private industry for 
                commercial purposes including the culture and 
                growing of fish by private industry for the 
                purpose of creating or augmenting publicly 
                owned and regulated stocks of fish.
                  (B) Solar energy.--The term ``solar energy'' 
                means energy derived from sources (other than 
                fossil fuels) and technologies included in the 
                Federal Nonnuclear Energy Research and 
                Development Act of 1974, as amended.
          (2) Loan purposes.--The Secretary may make and insure 
        loans to public, private, or cooperative organizations 
        organized for profit or nonprofit and private 
        investment funds that invest primarily in cooperative 
        organizations, to Indian tribes on Federal and State 
        reservations or other federally recognized Indian 
        tribal groups, or to individuals for the purposes of--
                  (A) improving, developing, or financing 
                business, industry, and employment (including 
                through the financing of working capital) and 
                improving the economic and environmental 
                climate in rural communities, including 
                pollution abatement and control;
                  (B) the conservation, development, and use of 
                water for aquaculture purposes in rural areas;
                  (C) reducing the reliance on nonrenewable 
                energy resources by encouraging the development 
                and construction of solar energy systems and 
                other renewable energy systems (including wind 
                energy systems and anaerobic digestors for the 
                purpose of energy generation), including the 
                modification of existing systems, in rural 
                areas; and
                  (D) to facilitate economic opportunity for 
                industries undergoing adjustment from 
                terminated Federal agricultural price and 
                income support programs or increased 
                competition from foreign trade.
          (3) Loan guarantees.--Loans described in paragraph 
        (2), when originated, held, and serviced by other 
        lenders, may be guaranteed by the Secretary under this 
        section without regard to paragraphs (1) and (4) of 
        section 333.
          (4) Maximum amount of principal.--No loan may be 
        made, insured, or guaranteed under this subsection that 
        exceeds $25,000,000 in principal amount.
  (b) Solid Waste Management Grants.--
          (1) In general.--The Secretary may make grants to 
        nonprofit organizations for the provision of regional 
        technical assistance to local and regional governments 
        and related agencies for the purpose of reducing or 
        eliminating pollution of water resources and improving 
        the planning and management of solid waste disposal 
        facilities. Grants made under this paragraph for the 
        provision of technical assistance shall be made for 100 
        percent of the cost of such assistance.
          (2) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this 
        subsection $10,000,000 for each of fiscal years 2014 
        through [2018] 2023.
  (c) Rural Business Development Grants.--
          (1) In general.--The Secretary may make grants under 
        this subsection to eligible entities described in 
        paragraph (2) in rural areas that primarily serve rural 
        areas for purposes described in paragraph (3).
          (2) Eligible entities.--The Secretary may make grants 
        under this subsection to--
                  (A) governmental entities;
                  (B) Indian tribes; and
                  (C) nonprofit entities.
          (3) Eligible purposes for grants.--Eligible entities 
        that receive grants under this subsection may use the 
        grant funds for--
                  (A) business opportunity projects that--
                          (i) identify and analyze business 
                        opportunities;
                          (ii) identify, train, and provide 
                        technical assistance to existing or 
                        prospective rural entrepreneurs and 
                        managers;
                          (iii) assist in the establishment of 
                        new rural businesses and the 
                        maintenance of existing businesses, 
                        including through business support 
                        centers;
                          (iv) conduct regional, community, and 
                        local economic development planning and 
                        coordination, and leadership 
                        development; and
                          (v) establish centers for training, 
                        technology, and trade that will provide 
                        training to rural businesses in the use 
                        of interactive communications 
                        technologies to develop international 
                        trade opportunities and markets; [and] 
                        or
                  (B) projects that support the development of 
                business enterprises that finance or 
                facilitate--
                          (i) the development of small and 
                        emerging private business enterprise;
                          (ii) the establishment, expansion, 
                        and operation of rural distance 
                        learning networks;
                          (iii) the development of rural 
                        learning programs that provide 
                        educational instruction or job training 
                        instruction related to potential 
                        employment or job advancement to adult 
                        students; and
                          (iv) the provision of technical 
                        assistance and training to rural 
                        communities for the purpose of 
                        improving passenger transportation 
                        services or facilities.
          (4) Authorization of appropriations.--
                  (A) In general.--There is authorized to be 
                appropriated to the Secretary to carry out this 
                subsection $65,000,000 for each of fiscal years 
                2014 through [2018] 2023, to remain available 
                until expended.
                  (B) Allocation.--Of the funds made available 
                under subparagraph (A) for a fiscal year, not 
                more than 10 percent shall be used for the 
                purposes described in paragraph (3)(A).
  (d)(1) The Secretary may participate in joint financing to 
facilitate development of private business enterprises in rural 
areas with the Economic Development Administration, the Small 
Business Administration, and the Department of Housing and 
Urban Development and other Federal and State agencies and with 
private and quasi-public financial institutions, through joint 
loans to applicants eligible under subsection (a) for the 
purpose of improving, developing, or financing business, 
industry, and employment and improving the economic and 
environmental climate in rural areas or through joint grants to 
applicants eligible under subsection (c) for such purposes, 
including in the case of loans or grants the development, 
construction, or acquisition of land, buildings, plants, 
equipment, access streets and roads, parking areas, utility 
extensions, necessary water supply and waste disposal 
facilities, refining, service and fees.
  (2) No financial or other assistance shall be extended under 
any provision of this section, except for cases in which such 
assistance does not exceed $1,000,000 or for cases in which 
direct employment will not be increased by more than fifty 
employees, that is calculated to or is likely to result in the 
transfer from one area to another of any employment or business 
activity provided by operations of the applicant, but this 
limitation shall not be construed to prohibit assistance for 
the expansion of an existing business entity through the 
establishment of a new branch, affiliate, or subsidiary of such 
entity if the establishment of such branch, affiliate, or 
subsidiary will not result in an increase in unemployment in 
the area of original location or in any other area where such 
entity conducts business operations unless there is reason to 
believe that such branch, affiliate, or subsidiary is being 
established with the intention of closing down the operations 
of the existing business entity in the area of its original 
location or in any other area where it conducts such 
operations.
  (3) No financial or other assistance shall be extended under 
any provision of this section, except for cases in which such 
assistance does not exceed $1,000,000 or for cases in which 
direct employment will not be increased by more than fifty 
employees, which is calculated to or likely to result in an 
increase in the production of goods, materials, or commodities, 
or the availability of services or facilities in the area, when 
there is not sufficient demand for such goods, materials, 
commodities, services, or facilities, to employ the efficient 
capacity of existing competitive commercial or industrial 
enterprises, unless such financial or other assistance will not 
have an adverse effect upon existing competitive enterprises in 
the area.
  (4) No financial or other assistance shall be extended under 
any provision of this section, except for cases in which such 
assistance does not exceed $1,000,000 or for cases in which 
direct employment will not be increased by more than fifty 
employees, if the Secretary of Labor certifies within 30 days 
after the matter has been submitted to him by the Secretary of 
Agriculture that the provisions of paragraphs (2) and (3) of 
this subsection have not been complied with. The Secretary of 
Labor shall, in cooperation with the Secretary of Agriculture, 
develop a system of certification which will insure the 
expeditious processing of requests for assistance under this 
section.
  (5) No grant or loan authorized to be made under this title 
shall require or be subject to the prior approval of any 
officer, employee, or agency of any State.
  (6) No loan commitment issued under this section shall be 
conditioned upon the applicant investing in excess of 10 per 
centum in the business or industrial enterprise for which 
purpose the loan is to be made unless the Secretary determines 
there are special circumstances which necessitate an equity 
investment by the applicant greater than 10 per centum.
  (7) No provision of law shall prohibit issuance by the 
Secretary of certificates evidencing beneficial ownership in a 
block of notes insured or guaranteed under this title or Title 
V of the Housing Act of 1949; any sale by the Secretary of such 
certificates shall be treated as a sale of assets for the 
purposes of the Budget and Accounting Act of 1921. Any security 
representing beneficial ownership in a block of notes 
guaranteed or insured under this title or Title V of the 
Housing Act of 1949 issued by a private entity shall be exempt 
from laws administered by the Securities and Exchange 
Commission, except sections 17, 22, and 24 of the Securities 
Act of 1933, as amended; however, the Secretary shall require 
(i) that the issuer place such notes in the custody of an 
institution chartered by a Federal or State agency to act as 
trustee and (ii) that the issuer provide such periodic reports 
of sales as the Secretary deems necessary.
  (e) Rural Cooperative Development Grants.--
          (1) Definitions.--In this subsection:
                  (A) Nonprofit institution.--The term 
                ``nonprofit institution'' means any 
                organization or institution, including an 
                accredited institution of higher education, no 
                part of the net earnings of which inures, or 
                may lawfully inure, to the benefit of any 
                private shareholder or individual.
                  (B) United states.--The term ``United 
                States'' means the several States, the District 
                of Columbia, the Commonwealth of Puerto Rico, 
                the Virgin Islands, Guam, American Samoa, and 
                the other territories and possessions of the 
                United States.
          (2) Grants.--The Secretary shall make grants 
        effective October 1, 1996, under this subsection to 
        nonprofit institutions for the purpose of enabling the 
        institutions to establish and operate centers for rural 
        cooperative development.
          (3) Goals.--The goals of a center funded under this 
        subsection shall be to facilitate the creation of jobs 
        in rural areas through the development of new rural 
        cooperatives, value added processing, and rural 
        businesses.
          (4) Application.--Any nonprofit institution seeking a 
        grant under paragraph (2) shall submit to the Secretary 
        an application containing a plan for the establishment 
        and operation by the institution of a center or centers 
        for cooperative development. The Secretary may approve 
        the application if the plan contains the following:
                  (A) A provision that substantiates that the 
                center will effectively serve rural areas in 
                the United States.
                  (B) A provision that the primary objective of 
                the center will be to improve the economic 
                condition of rural areas through cooperative 
                development.
                  (C) A description of the activities that the 
                center will carry out to accomplish the 
                objective. The activities may include the 
                following:
                          (i) Programs for applied research and 
                        feasibility studies that may be useful 
                        to individuals, cooperatives, small 
                        businesses, and other similar entities 
                        in rural areas served by the center.
                          (ii) Programs for the collection, 
                        interpretation, and dissemination of 
                        information that may be useful to 
                        individuals, cooperatives, small 
                        businesses, and other similar entities 
                        in rural areas served by the center.
                          (iii) Programs providing training and 
                        instruction for individuals, 
                        cooperatives, small businesses, and 
                        other similar entities in rural areas 
                        served by the center.
                          (iv) Programs providing loans and 
                        grants to individuals, cooperatives, 
                        small businesses, and other similar 
                        entities in rural areas served by the 
                        center.
                          (v) Programs providing technical 
                        assistance, research services, and 
                        advisory services to individuals, 
                        cooperatives, small businesses, and 
                        other similar entities in rural areas 
                        served by the center.
                          (vi) Programs providing for the 
                        coordination of services and sharing of 
                        information among the center.
                  (D) A description of the contributions that 
                the activities are likely to make to the 
                improvement of the economic conditions of the 
                rural areas for which the center will provide 
                services.
                  (E) Provisions that the center, in carrying 
                out the activities, will seek, where 
                appropriate, the advice, participation, 
                expertise, and assistance of representatives of 
                business, industry, educational institutions, 
                the Federal Government, and State and local 
                governments.
                  (F) Provisions that the center will take all 
                practicable steps to develop continuing sources 
                of financial support for the center, 
                particularly from sources in the private 
                sector.
                  (G) Provisions for--
                          (i) monitoring and evaluating the 
                        activities by the nonprofit institution 
                        operating the center; and
                          (ii) accounting for money received by 
                        the institution under this section.
          (5) Awarding grants.--Grants made under paragraph (2) 
        shall be made on a competitive basis. In making grants 
        under paragraph (2), the Secretary shall give 
        preference to grant applications providing for the 
        establishment of centers for rural cooperative 
        development that--
                  (A) demonstrate a proven track record in 
                carrying out activities to promote and assist 
                the development of cooperatively and mutually 
                owned businesses;
                  (B) demonstrate previous expertise in 
                providing technical assistance in rural areas 
                to promote and assist the development of 
                cooperatively and mutually owned businesses;
                  (C) demonstrate the ability to assist in the 
                retention of businesses, facilitate the 
                establishment of cooperatives and new 
                cooperative approaches, and generate employment 
                opportunities that will improve the economic 
                conditions of rural areas;
                  (D) commit to providing technical assistance 
                and other services to underserved and 
                economically distressed areas in rural areas of 
                the United States;
                  (E) demonstrate a commitment to--
                          (i) networking with and sharing the 
                        results of the efforts of the center 
                        with other cooperative development 
                        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
                  (F) commit to providing a 25 percent matching 
                contribution with private funds and in-kind 
                contributions, except that the Secretary shall 
                not require non-Federal financial support in an 
                amount that is greater than 5 percent in the 
                case of a 1994 institution (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)), except that the Secretary 
                shall not require non-Federal financial support 
                in an amount that is greater than 5 percent in 
                the case of a 1994 institution (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)).
          (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 
                determined by the Secretary.
          (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.
          (8) Technical assistance to prevent excessive 
        unemployment or underemployment.--In carrying out this 
        subsection, the Secretary may provide technical 
        assistance to alleviate or prevent conditions of 
        excessive unemployment, underemployment, outmigration, 
        or low employment growth in economically distressed 
        rural areas that the Secretary determines have a 
        substantial need for the assistance. The assistance may 
        include planning and feasibility studies, management 
        and operational assistance, and studies evaluating the 
        need for development potential of projects that 
        increase employment and improve economic growth in the 
        areas.
          (9) Grants to defray administrative costs.--The 
        Secretary may make grants to defray not to exceed 75 
        percent of the costs incurred by organizations and 
        public bodies to carry out projects for which grants or 
        loans are made under this subsection. For purposes of 
        determining the non-Federal share of the costs, the 
        Secretary shall consider contributions in cash and in 
        kind, fairly evaluated, including premises, equipment, 
        and services.
          (10) Cooperative research program.--The Secretary 
        shall enter into a cooperative research agreement with 
        1 or more qualified academic institutions in each 
        fiscal year to conduct research on the effects of all 
        types of cooperatives on the national economy.
          (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)] 
                        (13) 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, 
                        individual 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 individuals 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.
          (12) Interagency working group.--Not later than 90 
        days after the date of enactment of the Agricultural 
        Act of 2014, the Secretary shall coordinate and chair 
        an interagency working group to foster cooperative 
        development and ensure coordination with Federal 
        agencies and national and local cooperative 
        organizations that have cooperative programs and 
        interests.
          (13) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection $40,000,000 for each of fiscal years 2014 
        through [2018] 2023.
  [(f) Grants to Broadcasting Systems.--
          [(1) Definition of statewide.--In this subsection, 
        the term ``statewide'' means having a coverage area of 
        not less than 90 percent of the population of a State 
        and not less than 80 percent of the rural land area of 
        the State (as determined by the Secretary).
          [(2) Grants.--The Secretary may make grants to 
        statewide private nonprofit public television systems, 
        whose coverage area is predominately rural, for the 
        purpose of demonstrating the effectiveness of such 
        systems in providing information on agriculture and 
        other issues of importance to farmers and other rural 
        residents. Grants available under this paragraph may be 
        used for capital equipment expenditures, start-up and 
        program costs, and other costs necessary to the 
        operation of such demonstrations.
          [(3) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this 
        subsection $5,000,000 for each of fiscal years 2008 
        through 2012.]
  (g) Business and Industry Direct and Guaranteed Loans.--
          (1) Definition of business and industry loan.--In 
        this subsection, the term ``business and industry 
        loan'' means a business and industry direct or 
        guaranteed loan that is made or guaranteed by the 
        Secretary under subsection (a)(2)(A), including 
        guarantees described in paragraph (3)(A)(ii).
          (2) Loan guarantees for the purchase of cooperative 
        stock.--
                  (A) In general.--The Secretary may guarantee 
                a business and industry loan to individual 
                farmers or ranchers for the purpose of 
                purchasing capital stock of a farmer or rancher 
                cooperative established for the purpose of 
                processing an agricultural commodity.
                  (B) Processing contracts during initial 
                period.--A cooperative described in 
                subparagraph (A) for which a farmer or rancher 
                receives a guarantee to purchase stock under 
                subparagraph (A) may contract for services to 
                process agricultural commodities, or otherwise 
                process value-added agricultural products, 
                during the 5-year period beginning on the date 
                of the startup of the cooperative in order to 
                provide adequate time for the planning and 
                construction of the processing facility of the 
                cooperative.
                  (C) Financial information.--Financial 
                information required by the Secretary from a 
                farmer or rancher as a condition of making a 
                business and industry loan guarantee under this 
                paragraph shall be provided in the manner 
                generally required by commercial agricultural 
                lenders in the area.
          (3) Loans to cooperatives.--
                  (A) Eligibility.--
                          (i) In general.--The Secretary may 
                        make or guarantee a business and 
                        industry loan to a cooperative 
                        organization that is headquartered in a 
                        metropolitan area if the loan is used 
                        for a project or venture described in 
                        subsection (a) that is located in a 
                        rural area or a loan guarantee that 
                        meets the requirements of paragraph 
                        (6).
                          (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.
                  (B) Refinancing.--A cooperative organization 
                that is eligible for a business and industry 
                loan shall be eligible to refinance an existing 
                business and industry loan with a lender if--
                          (i) the cooperative organization--
                                  (I) is current and performing 
                                with respect to the existing 
                                loan; and
                                  (II) is not, and has not 
                                been, in payment default, or 
                                the collateral of which has not 
                                been converted, with respect to 
                                the existing loan; and
                          (ii) there is adequate security or 
                        full collateral for the refinanced 
                        loan.
          (4) Loan appraisals.--The Secretary may require that 
        any appraisal made in connection with a business and 
        industry loan be conducted by a specialized appraiser 
        that uses standards that are similar to standards used 
        for similar purposes in the private sector, as 
        determined by the Secretary.
          (5) Fees.--The Secretary may assess a 1-time fee for 
        any guaranteed business and industry loan in an amount 
        that does not exceed 2 percent of the guaranteed 
        principal portion of the loan.
          (6) Loan guarantees in nonrural areas.--
                  (A) In general.--The Secretary may guarantee 
                a business and industry loan to a cooperative 
                organization for a facility that is not located 
                in a rural area if--
                          (i) the primary purpose of the loan 
                        guarantee is for a facility to provide 
                        value-added processing for agricultural 
                        producers that are located within 80 
                        miles of the facility;
                          (ii) the applicant demonstrates to 
                        the Secretary that the primary benefit 
                        of the loan guarantee will be to 
                        provide employment for residents of a 
                        rural area; and
                          (iii) the total amount of business 
                        and industry loans guaranteed for a 
                        fiscal year under this paragraph does 
                        not exceed 10 percent of the business 
                        and industry loans guaranteed for the 
                        fiscal year under subsection (a)(2)(A).
                  (B) Principal amounts.--The principal amount 
                of a business and industry loan guaranteed 
                under this paragraph may not exceed 
                $25,000,000.
          (7) Intangible assets.--
                  (A) In general.--In determining whether a 
                cooperative organization is eligible for a 
                guaranteed business and industry loan, the 
                Secretary may consider the market value of a 
                properly appraised brand name, patent, or 
                trademark of the cooperative.
                  (B) Accounts receivable.--In the discretion 
                of the Secretary, if the Secretary determines 
                that the action would not create or otherwise 
                contribute to an unreasonable risk of default 
                or loss to the Federal Government, the 
                Secretary may take accounts receivable as 
                security for the obligations entered into in 
                connection with loans and a borrower may use 
                accounts receivable as collateral to secure a 
                loan made or guaranteed under this subsection.
          (8) Limitations on loan guarantees for cooperative 
        organizations.--
                  (A) Principal amount.--
                          (i) In general.--Subject to clause 
                        (ii), the principal amount of a 
                        business and industry loan made to a 
                        cooperative organization and guaranteed 
                        under this subsection shall not exceed 
                        $40,000,000.
                          (ii) Use.--To be eligible for a 
                        guarantee under this subsection for a 
                        business and industry loan made to a 
                        cooperative organization, the principal 
                        amount of the any such loan in excess 
                        of $25,000,000 shall be used to carry 
                        out 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 Secretary.
                  (B) Applications.--If a cooperative 
                organization submits an application for a 
                guarantee under this subsection of a business 
                and industry loan with a principal amount that 
                is in excess of $25,000,000, the Secretary--
                          (i) shall review and, if appropriate, 
                        approve the application; and
                          (ii) may not delegate the approval 
                        authority.
                  (C) Maximum amount.--The total amount of 
                business and industry loans made to cooperative 
                organizations and guaranteed for a fiscal year 
                under this subsection with principal amounts 
                that are in excess of $25,000,000 may not 
                exceed 10 percent of the business and industry 
                loans guaranteed for the fiscal year under 
                subsection (a)(2)(A).
          (9) Locally or regionally produced agricultural food 
        products.--
                  (A) Definitions.--In this paragraph:
                          (i) Locally or regionally produced 
                        agricultural food product.--The term 
                        ``locally or regionally produced 
                        agricultural food product'' means any 
                        agricultural food product that is 
                        raised, produced, and distributed 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 produced.
                          (ii) Underserved community.--The term 
                        ``underserved community'' means a 
                        community (including an urban or rural 
                        community and an Indian tribal 
                        community) 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, cooperative 
                        organizations, businesses, and other 
                        entities to establish and facilitate 
                        enterprises that process, distribute, 
                        aggregate, store, and market locally or 
                        regionally 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 appropriate 
                        agreement with retail and institutional 
                        facilities to which the recipient sells 
                        locally or regionally produced 
                        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 products.
                          (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) Reservation of funds.--
                                  (I) In general.--For each of 
                                fiscal years 2008 through 
                                [2018] 2023, the Secretary 
                                shall reserve not less than 5 
                                percent of the funds made 
                                available to carry out this 
                                subsection to carry out this 
                                subparagraph.
                                  (II) Availability of funds.--
                                Funds reserved under subclause 
                                (I) for a fiscal year shall be 
                                reserved until April 1 of the 
                                fiscal year.
  (h) Loan Guarantees for Certain Loans.--The Secretary may 
guarantee loans made under subsection (a) to finance the 
issuance of bonds for the projects described in section 
306(a)(24).
  (i) Appropriate Technology Transfer for Rural Areas 
Program.--
          (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 program to assist agricultural producers that are 
        seeking information 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 produced 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 provide 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 [2018] 2023.
  (j) Rural Economic Area Partnership Zones.--Effective 
beginning on the date of enactment of this subsection through 
September 30, [2018] 2023, the Secretary shall carry out those 
rural economic 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.

           *       *       *       *       *       *       *


SEC. 310E. DOWN PAYMENT LOAN PROGRAM.

  (a) In General.--
          (1) Establishment.--Notwithstanding any other section 
        of this subtitle, the Secretary shall establish, within 
        the farm ownership loan program established under this 
        subtitle, a program under which loans shall be made 
        under this section to qualified beginning farmers or 
        ranchers and socially disadvantaged farmers or ranchers 
        for down payments on farm ownership loans.
          (2) Administration.--The Secretary shall be the 
        primary coordinator of credit supervision for the down 
        payment loan program established under this section, in 
        consultation with the commercial or cooperative lender 
        and, if applicable, the contracting credit counseling 
        service selected under section 360(c).
  (b) Loan Terms.--
          (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) $667,000.
          (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.
          (3) Duration.--Each loan under this section shall be 
        made for a period of 20 years or less, at the option of 
        the borrower.
          (4) Repayment.--Each borrower of a loan under this 
        section shall repay the loan to the Secretary in equal 
        annual installments.
          (5) Nature of retained security interest.--The 
        Secretary shall retain an interest in each farm or 
        ranch acquired with a loan made under this section that 
        shall--
                  (A) be secured by the farm or ranch;
                  (B) be junior only to such interests in the 
                farm or ranch as may be conveyed at the time of 
                acquisition to the person (including a lender) 
                from whom the borrower obtained a loan used to 
                acquire the farm or ranch; and
                  (C) require the borrower to obtain the 
                permission of the Secretary before the borrower 
                may grant an additional security interest in 
                the farm or ranch.
  (c) Limitations.--
          (1) Borrowers required to make minimum down 
        payment.--The Secretary shall not make a loan under 
        this section to any borrower with respect to a farm or 
        ranch if the contribution of the borrower to the down 
        payment on the farm or ranch will be less than 5 
        percent of the purchase price of the farm or ranch.
          (2) Prohibited types of financing.--The Secretary 
        shall not make a loan under this section with respect 
        to a farm or ranch if the farm or ranch is to be 
        acquired with other financing that contains any of the 
        following conditions:
                  (A) The financing is to be amortized over a 
                period of less than 30 years.
                  (B) A balloon payment will be due on the 
                financing during the 20-year period beginning 
                on the date the loan is to be made by the 
                Secretary.
  (d) Administration.--In carrying out this section, the 
Secretary shall, to the maximum extent practicable--
          (1) facilitate the transfer of farms and ranches from 
        retiring farmers and ranchers to persons eligible for 
        insured loans under this subtitle;
          (2) make efforts to widely publicize the availability 
        of loans under this section among--
                  (A) potentially eligible recipients of the 
                loans;
                  (B) retiring farmers and ranchers; and
                  (C) applicants for farm ownership loans under 
                this subtitle;
          (3) encourage retiring farmers and ranchers to assist 
        in the sale of their farms and ranches to qualified 
        beginning farmers and ranchers and socially 
        disadvantaged farmers or ranchers by providing seller 
        financing;
          (4) coordinate the loan program established by this 
        section with State programs that provide farm ownership 
        or operating loans for beginning farmers or ranchers or 
        socially disadvantaged farmers or ranchers; and
          (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.
  (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).

           *       *       *       *       *       *       *


SEC. 310H. INTERMEDIARY RELENDING PROGRAM.

  (a) In General.--The Secretary may make or guarantee loans to 
eligible entities described in subsection (b) so that the 
eligible entities may relend the funds to individuals and 
entities for the purposes described in subsection (c).
  (b) Eligible Entities.--Entities eligible for loans and loan 
guarantees described in subsection (a) are--
          (1) public agencies;
          (2) Indian tribes;
          (3) cooperatives; and
          (4) nonprofit corporations.
  (c) Eligible Purposes.--The proceeds from loans made or 
guaranteed by the Secretary pursuant to subsection (a) may be 
relent by eligible entities for projects that--
          (1) predominately serve communities in rural areas; 
        and
          (2) as determined by the Secretary--
                  (A) promote community development;
                  (B) establish new businesses;
                  (C) establish and support microlending 
                programs; and
                  (D) create or retain employment 
                opportunities.
  (d) Limitation.--The Secretary shall not make loans under 
section 623(a) of the Community Economic Development Act of 
1981 (42 U.S.C. 9812(a)).
  (e) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this subsection [$25,000,000 for 
each of fiscal years 2014 through 2018] $10,000,000 for each of 
fiscal years 2019 through 2023.

Subtitle B--Operating Loans

           *       *       *       *       *       *       *


SEC. 313. LIMITATIONS ON AMOUNT OF OPERATING LOANS.

  (a) In General.--The Secretary shall make or insure no loan 
under this subtitle--
          (1) that would cause the total principal indebtedness 
        outstanding at any one time for loans made under this 
        subtitle to any one borrower to exceed, in the case of 
        a loan other than a loan guaranteed by the Secretary, 
        $300,000, or, in the case of a loan guaranteed by the 
        Secretary, [$700,000] $1,750,000 (increased, beginning 
        with fiscal year [2000] 2019, by the inflation 
        percentage applicable to the fiscal year in which the 
        loan is guaranteed and reduced by the unpaid 
        indebtedness of the borrower on loans under the 
        sections specified in section 305 that are guaranteed 
        by the Secretary); or
                  (2) for the purchasing or leasing of land 
                other than for cash rent, or for carrying on 
                any land leasing or land purchasing program.
  (b) Inflation Percentage.--For purposes of this section, the 
inflation percentage applicable to a fiscal year is the 
percentage (if any) by which--
          (1) the average of the Prices Paid By Farmers Index 
        (as compiled by the National Agricultural Statistics 
        Service of the Department of Agriculture) for the 12-
        month period ending on August 31 of the immediately 
        preceding fiscal year; exceeds
          (2) the average of such index (as so defined) for the 
        12-month period ending on August 31, 1996.
  (c) Microloans.--
          (1) In general.--Subject to paragraph (2), the 
        Secretary may establish a program to make or guarantee 
        microloans.
          (2) Limitations.--The Secretary shall not make or 
        guarantee a microloan under this subsection that would 
        cause the total principal indebtedness outstanding at 
        any 1 time for microloans made under this [title] 
        subsection to any 1 borrower to exceed $50,000.
          (3) Applications.--To the maximum extent practicable, 
        the Secretary shall limit the administrative burdens 
        and streamline the application and approval process for 
        microloans under this subsection.
          (4) Cooperative lending pilot projects.--
                  (A) In general.--Subject to subparagraph (B), 
                during each of the 2014 through 2018 fiscal 
                years, the Secretary may carry out a pilot 
                project to make loans to community development 
                financial institutions, as the Secretary 
                determines appropriate--
                          (i) to make or guarantee microloans 
                        consistent with the terms provided 
                        under this subsection; and
                          (ii) to provide business, financial, 
                        marketing, and credit management 
                        services to microloan borrowers.
                  (B) Requirements.--Prior to making a loan to 
                an institution described in subparagraph (A), 
                the Secretary shall--
                          (i) review and approve--
                                  (I) the loan loss reserve 
                                fund for microloans established 
                                by the institution; and
                                  (II) the underwriting 
                                standards for microloans of the 
                                institution; and
                          (ii) establish such other 
                        requirements for making a loan to the 
                        institution as the Secretary determines 
                        necessary.
                  (C) Eligibility.--To be eligible for a loan 
                under subparagraph (A), an institution 
                described in subparagraph (A) shall, as 
                determined by the Secretary--
                          (i) have the legal authority 
                        necessary to carry out the actions 
                        described in subparagraph (A);
                          (ii) have a proven track record of 
                        successfully assisting agricultural 
                        borrowers; and
                          (iii) have the services of a staff 
                        with appropriate loan making and 
                        servicing expertise.
                  (D) Oversight.--Not less often than annually, 
                on a date determined by the Secretary, an 
                institution that has a loan under this 
                paragraph shall provide to the Secretary such 
                information as the Secretary may require to 
                ensure that the services provided by the 
                institution are serving the purposes of this 
                subsection.
                  (E) Limitation.--The Secretary shall not make 
                more than $10,000,000 in loans under this 
                paragraph in any fiscal year.

           *       *       *       *       *       *       *


                      Subtitle C--Emergency Loans

  Sec. 321. (a) The Secretary shall make and insure loans under 
this subtitle only to the extent and in such amounts as 
provided in advance in appropriation Acts to (1) established 
farmers or ranchers (including equine farmers or ranchers), or 
persons engaged in aquaculture, who are citizens of the United 
States and who are (in the case of farm ownership loans in 
accordance with subtitle A) owner-operators or operators, or 
(in the case of loans for a purpose under subtitle B) operators 
of not larger than family farms, and (2) farm cooperatives, 
private domestic corporations, partnerships, joint operations, 
trusts, or limited liability companies, or other legal 
entities, or such other legal entities as the Secretary 
considers appropriate (A) that are engaged primarily in farming 
or ranching (including equine farming or ranching) or 
aquaculture, and (B) in which a majority interest is held by 
individuals who are citizens of the United States and who are 
(in the case of farm ownership loans in accordance with 
subtitle A) owner-operators or operators, or (in the case of 
loans for a purpose under subtitle B) operators of not larger 
than family farms (or in the case of such cooperatives, 
corporations, partnerships, joint operations, trusts, or 
limited liability companies, or other legal entities in which a 
majority interest is held by individuals who are related by 
blood or marriage, as defined by the Secretary, such 
individuals must be either owners or operators of not larger 
than a family farm and at least one such individual must be an 
operator of not larger than a family farm), where the Secretary 
finds that the applicants' farming, ranching, or aquaculture 
operations have been substantially affected by a quarantine 
imposed by the Secretary under the Plant Protection Act or the 
animal quarantine laws (as defined in section 2509 of the Food, 
Agriculture, Conservation, and Trade Act of 1990), a natural 
disaster in the United States, or a major disaster or emergency 
designated by the President under the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et 
seq.): Provided, That they have experience and resources 
necessary to assure a reasonable prospect for successful 
operation with the assistance of such loan and are not able to 
obtain sufficient credit elsewhere. In addition to the 
foregoing requirements of this subsection, in the case of farm 
cooperatives, private domestic corporations, partnerships, 
joint operations, trusts, [and limited liability companies] 
limited liability companies, and such other legal entities, the 
family farm requirement of the preceding sentence shall apply 
as well to all farms in which the entity has an ownership or 
operator interest (in the case of loans for a purpose under 
subtitle A) or an operator interest (in the case of loans for a 
purpose under subtitle B). The Secretary shall accept 
applications from, and make or insure loans pursuant to the 
requirements 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 substantially affected by a 
quarantine imposed by the Secretary under the Plant Protection 
Act or the animal quarantine laws (as defined in section 2509 
of the Food, Agriculture, Conservation, and Trade Act of 1990), 
a natural disaster in the United States, or a major disaster or 
emergency designated by the President under the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act (42 
U.S.C. 5121 et seq.). The Secretary shall accept applications 
for assistance under this subtitle from persons affected by 
such a quarantine or 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 quarantine 
or 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. An entity that is an 
owner-operator or operator described in this subsection shall 
be considered to meet the direct ownership requirement imposed 
under this subsection if at least 75 percent of the ownership 
interests of each embedded entity of the entity is owned 
directly or indirectly by the individuals that own the family 
farm.
  (b) Hazard Insurance Requirement.--
          (1) In general.--After the Secretary makes the 
        determination required by paragraph (2), the Secretary 
        may not make a loan to a farmer or rancher under this 
        subtitle to cover a property loss unless the farmer or 
        rancher had hazard insurance that insured the property 
        at the time of the loss.
          (2) Determination.--Not later than 180 days after the 
        date of enactment of this paragraph, the Secretary 
        shall determine the appropriate level of insurance to 
        be required under paragraph (1).
          (3) Loans to poultry farmers.--
                  (A) Inability to obtain insurance.--
                          (i) In general.--Notwithstanding any 
                        other provision of this subtitle, the 
                        Secretary may make a loan to a poultry 
                        farmer under this subtitle to cover the 
                        loss of a chicken house for which the 
                        farmer did not have hazard insurance at 
                        the time of the loss, if the farmer--
                                  (I) applied for, but was 
                                unable, to obtain hazard 
                                insurance for the chicken 
                                house;
                                  (II) uses the loan to rebuild 
                                the chicken house in accordance 
                                with industry standards in 
                                effect on the date the farmer 
                                submits an application for the 
                                loan (referred to in this 
                                paragraph as ``current industry 
                                standards'');
                                  (III) obtains, for the term 
                                of the loan, hazard insurance 
                                for the full market value of 
                                the chicken house; and
                                  (IV) meets the other 
                                requirements for the loan under 
                                this subtitle.
                          (ii) Amount.--Subject to the 
                        limitation contained in section 
                        324(a)(2), the amount of a loan made to 
                        a poultry farmer under clause (i) shall 
                        be an amount that will allow the farmer 
                        to rebuild the chicken house in 
                        accordance with current industry 
                        standards.
                  (B) Loans to comply with current industry 
                standards.--
                          (i) In general.--Notwithstanding any 
                        other provision of this subtitle, the 
                        Secretary may make a loan to a poultry 
                        farmer under this subtitle to cover the 
                        loss of a chicken house for which the 
                        farmer had hazard insurance at the time 
                        of the loss, if--
                                  (I) the amount of the hazard 
                                insurance is less than the cost 
                                of rebuilding the chicken house 
                                in accordance with current 
                                industry standards;
                                  (II) the farmer uses the loan 
                                to rebuild the chicken house in 
                                accordance with current 
                                industry standards;
                                  (III) the farmer obtains, for 
                                the term of the loan, hazard 
                                insurance for the full market 
                                value of the chicken house; and
                                  (IV) the farmer meets the 
                                other requirements for the loan 
                                under this subtitle.
                          (ii) Amount.--Subject to the 
                        limitation contained in section 
                        324(a)(2), the amount of a loan made to 
                        a poultry farmer under clause (i) shall 
                        be the difference between--
                                  (I) the amount of the hazard 
                                insurance obtained by the 
                                farmer; and
                                  (II) the cost of rebuilding 
                                the chicken house in accordance 
                                with current industry 
                                standards.
  (c) The Secretary shall conduct the emergency loan program 
under this subtitle in a manner that will foster and encourage 
the family farm system of agriculture, consistent with the 
reaffirmation of policy and declaration of the intent of 
Congress contained in section 102(a) of the Food and 
Agriculture Act of 1977.
  (d) For the purposes of this subtitle--
          (1) ``aquaculture'' means the husbandry of aquatic 
        organisms under a controlled or selected environment; 
        and
          (2) ``able to obtain sufficient credit elsewhere'' 
        means able to obtain sufficient credit elsewhere to 
        finance the applicant's actual needs at reasonable 
        rates and terms, taking into consideration prevailing 
        private and cooperative rates and terms in the 
        community in or near which the applicant resides for 
        loans for similar purposes and periods of time.

           *       *       *       *       *       *       *


                 Subtitle D--Administrative Provisions

  Sec. 331. (a) In accordance with section 359, for purposes of 
this title, and for the administration of assets under the 
jurisdiction of the Secretary of Agriculture pursuant to the 
Farmers Home Administration Act of 1946, as amended, the 
Bankhead-Jones Farm Tenant Act, as amended, the Act of August 
28, 1937, as amended, the Act of April 6, 1949, as amended, the 
Act of August 31, 1954, as amended, and the powers and duties 
of the Secretary under any other Act authorizing agricultural 
credit, the Secretary may assign and transfer such powers, 
duties, and assets to such officers or agencies of the 
Department of Agriculture as the Secretary considers 
appropriate.
  (b) The Secretary may--
          (1) administer his powers and duties through such 
        national, area, State, or local offices and employees 
        in the United States as he determines to be necessary 
        and may authorize an office to serve the area composed 
        of two or more States if he determines that the volume 
        of business in the area is not sufficient to justify 
        separate State offices, and until January 1, 1975, make 
        contracts for services incident to making, insuring, 
        collecting, and servicing loans and property as 
        determined by the Secretary to be necessary for 
        carrying out the purposes of this title; (and the 
        Secretary shall prior to June 30, 1974, report to the 
        Congress through the President on the experience in 
        using such contracts, together with recommendations for 
        such legislation as he may see fit);
          (2) accept and utilize voluntary and uncompensated 
        services, and, with the consent of the agency 
        concerned, utilize the officers, employees, equipment, 
        and information of any agency of the Federal 
        Government, or of any State, territory, or political 
        subdivision;
          (3) within the limits of appropriations made 
        therefor, make necessary expenditures for purchase or 
        hire of passenger vehicles, and such other facilities 
        and services as he may from time to time find necessary 
        for the proper administration of this title;
          (4) compromise, adjust, reduce, or charge-off debts 
        or claims (including debts and claims arising from loan 
        guarantees), and adjust, modify, subordinate, or 
        release the terms of security instruments, leases, 
        contracts, and agreements entered into or administered 
        by the Consolidated Farm Service Agency, Rural 
        Utilities Service, Rural Housing Service, Rural 
        Business-Cooperative Service, or a successor agency, or 
        the Rural Development Administration, except for 
        activities under the Housing Act of 1949. In the case 
        of a security instrument entered into under the Rural 
        Electrification Act of 1936 (7 U.S.C. 901 et seq.), the 
        Secretary shall notify the Attorney General of the 
        intent of the Secretary to exercise the authority of 
        the Secretary under this paragraph. The Secretary may 
        not require liquidation of property securing any farmer 
        program loan or acceleration of any payment required 
        under any farmer program loan as a prerequisite to 
        initiating an action authorized under this subsection. 
        After consultation with a local or area county 
        committee, the Secretary may release borrowers or 
        others obligated on a debt, except for debt incurred 
        under the Housing Act of 1949, from personal liability 
        with or without payment of any consideration at the 
        time of the compromise, adjustment, reduction, or 
        charge-off of any claim, except that no compromise, 
        adjustment, reduction, or charge-off of any claim may 
        be made or carried out after the claim has been 
        referred to the Attorney General, unless the Attorney 
        General approves;
          (5) except for activities conducted under the Housing 
        Act of 1949, collect all claims and obligations 
        administered by the Farmers Home Administration, or 
        under any mortgage, lease, contract, or agreement 
        entered into or administered by the Farmers Home 
        Administration and, if in his judgment necessary and 
        advisable, pursue the same to final collection in any 
        court having jurisdiction;
          (6) release mortgage and other contract liens if it 
        appears that they have no present or prospective value 
        or that their enforcement likely would be ineffectual 
        or uneconomical;
          (7) obtain fidelity bonds protecting the Government 
        against fraud and dishonesty of officers and employees 
        of the Farmers Home Administration in lieu of faithful 
        performance of duties bonds under section 14, title 6, 
        United States Code, and regulations issued pursuant 
        thereto, but otherwise in accordance with the 
        provisions thereof;
          (8) consent to (A) long-term leases of facilities 
        financed under this title notwithstanding the failure 
        of the lessee to meet any of the requirements of this 
        title if such long-term leases are necessary to ensure 
        the continuation of services for which financing was 
        extended to the lessor, and (B) the transfer of 
        property securing any loan or financed by any loan or 
        grant made, insured, or held by the Secretary under 
        this title, or the provisions of any other law 
        administered by the Rural Development Administration or 
        by the Farmers Home Administration, upon such terms as 
        he deems necessary to carry out the purpose of the loan 
        or grant or to protect the financial interest of the 
        Government, and shall document the consent of the 
        Secretary for the transfer of the property of a 
        borrower in the file of the borrower; and
          (9) notwithstanding that an area ceases, or has 
        ceased, to be ``rural'', in a ``rural area'', or an 
        eligible area, make loans and grants, and approve 
        transfers and assumptions, under this title on the same 
        basis as though the area still was rural in connection 
        with property securing any loan made, insured, or held 
        by the Secretary under this title or in connection with 
        any property held by the Secretary under this title.
  (c) The Secretary may use for the prosecution or defense of 
any claim or obligation described in subsection (b)(5) the 
Attorney General, the General Counsel of the Department of 
Agriculture, or a private attorney who has entered into a 
contract with the Secretary.
  (d) Rural College Coordinated Strategy.--
          (1) In general.--The Secretary shall develop a 
        coordinated strategy across the relevant programs 
        within the Rural Development mission areas to serve the 
        specific, local needs of rural communities when making 
        investments in rural community colleges and technical 
        colleges through other authorities in effect on the 
        date of enactment of this subsection.
          (2) Consultation.--In developing a coordinated 
        strategy, the Secretary shall consult with groups 
        representing rural-serving community colleges and 
        technical colleges to coordinate critical investments 
        in rural community colleges and technical colleges 
        involved in workforce training.
          (3) Administration.--Nothing in this subsection 
        provides a priority for funding under authorities in 
        effect on the date of enactment of this subsection.
          (4) Use.--The Secretary shall use the coordinated 
        strategy and information developed for the strategy to 
        more effectively serve rural communities with respect 
        to investments in community colleges and technical 
        colleges.
  (e)(1) Except as provided in paragraph (2), the Secretary may 
allow a recipient of a grant, loan, or loan guarantee provided 
by the Office of Rural Development under this title to use not 
more than 10 percent of the amount so provided--
          (A) for any activity for which assistance may be 
        provided under section 601 of the Rural Electrification 
        Act of 1936; or
          (B) to construct other broadband infrastructure.
  (2) Paragraph (1) of this subsection shall not apply to a 
recipient who is seeking to provide retail broadband service in 
any area where retail broadband service is available at the 
minimum broadband speeds, as defined under section 601(e) of 
the Rural Electrification Act of 1936.

           *       *       *       *       *       *       *


SEC. 331D. NOTICE OF LOAN SERVICE PROGRAMS.

  (a) Requirement.--The Secretary shall provide notice by 
certified mail to each borrower who is at least 90 days past 
due on the payment of principal or interest on a loan made or 
insured under this title.
  (b) Contents.--The notice required under subsection (a) 
shall--
          (1) include a summary of all primary loan service 
        programs, preservation loan service programs, debt 
        settlement programs, and appeal procedures, including 
        the eligibility criteria, and terms and conditions of 
        such programs and procedures;
          (2) include a summary of the manner in which the 
        borrower may apply, and be considered, for all such 
        programs, except that the Secretary shall not require 
        the borrower to select among such programs or waive any 
        right in order to be considered for any program carried 
        out by the Secretary;
          (3) advise the borrower regarding all filing 
        requirements and any deadlines that must be met for 
        requesting loan servicing;
          (4) provide any relevant forms, including applicable 
        response forms;
          (5) advise the borrower that a copy of regulations is 
        available on request; and
          (6) be designed to be readable and understandable by 
        the borrower.
  (c) Contained in Regulations.--All notices required by this 
section shall be contained in the regulations implementing this 
title.
  (d) Timing.--The notice described in subsection (b) shall be 
provided--
          (1) at the time an application is made for 
        participation in a loan service program;
          (2) on written request of the borrower; and
          (3) before the earliest of--
                  (A) initiating any liquidation;
                  (B) requesting the conveyance of security 
                property;
                  (C) accelerating the loan;
                  (D) repossessing property;
                  (E) foreclosing on property; or
                  (F) taking any other collection action.
  (e) Consideration of Borrowers for Loan Service Programs.--
The Secretary shall consider a farmer program borrower for all 
loan service programs if, within 60 days after receipt of the 
notice required in this section or, in extraordinary 
circumstances as determined by the applicable State director, 
after the 60-day period, the borrower requests such 
consideration in writing. In considering a borrower for loan 
service programs, the Secretary shall place the highest 
priority on the preservation of the borrower's farming 
operations.

           *       *       *       *       *       *       *

  Sec. 333. In connection with loans made or insured under this 
title, the Secretary shall --
          (1) require the applicant (A) to certify in writing, 
        and the Secretary shall determine, that he is unable to 
        obtain sufficient credit elsewhere to finance his 
        actual needs at reasonable rates and terms, taking into 
        consideration prevailing private and cooperative rates 
        and terms in the community in or near which the 
        applicant resides for loans for similar purposes and 
        periods of time, and (B) to furnish an appropriate 
        written financial statement;
          (2) except with respect to a loan under section 306, 
        310B, or 314, require--
                  (A) an annual review of the credit history 
                and business operation of the borrower; and
                  (B) an annual review of the continued 
                eligibility of the borrower for the loan;
          (3) except for guaranteed loans, require an agreement 
        by the borrower that if at any time it shall appear to 
        the Secretary that the borrower may be able to obtain a 
        loan from a production credit association, a Federal 
        land bank, or other responsible cooperative or private 
        credit source (or, in the case of a borrower under 
        section 310D of this title, the borrower may be able to 
        obtain a loan under section 302 of this title), at 
        reasonable rates and terms for loans for similar 
        purposes and periods of time, the borrower will, upon 
        request by the Secretary, apply for and accept such 
        loan in sufficient amount to repay the Secretary or the 
        insured lender, or both, and to pay for any stock 
        necessary to be purchased in a cooperative lending 
        agency in connection with such loan;
          (4) require such provision for supervision of the 
        borrower's operations as the Secretary shall deem 
        necessary to achieve the objectives of the loan and 
        protect the interests of the United States;
          (5) require the application of a person who is a 
        veteran of any war, as defined in section 101(12) of 
        title 38, United States Code, for a loan under subtitle 
        A or B to be given preference over a similar 
        application from a person who is not a veteran of any 
        war, if the applications are on file in a county or 
        area office at the same time; [and]
          (6) in the case of water and waste disposal direct 
        and guaranteed loans provided under section 306, 
        encourage, to the maximum extent practicable, private 
        or cooperative lenders to finance rural water and waste 
        disposal facilities by--
                  (A) maximizing the use of loan guarantees to 
                finance eligible projects in rural communities 
                in which the population exceeds 5,500;
                  (B) maximizing the use of direct loans to 
                finance eligible projects in rural communities 
                if the impact on ratepayers will be material 
                when compared to financing with a loan 
                guarantee;
                  (C) establishing and applying a materiality 
                standard when determining the difference in 
                impact on ratepayers between a direct loan and 
                a loan guarantee;
                  (D) in the case of projects that require 
                interim financing in excess of $500,000, 
                requiring that the projects initially seek the 
                financing from private or cooperative lenders; 
                and
                  (E) determining if an existing direct loan 
                borrower can refinance with a private or 
                cooperative lender, including with a loan 
                guarantee, prior to providing a new direct 
                loan[.]; and
          (7) in the case of an insured or guaranteed loan 
        issued or modified under section 306(a), charge and 
        collect from the recipient of the insured or guaranteed 
        loan fees in such amounts as are necessary so that the 
        sum of the total amount of fees so charged in each 
        fiscal year and the total of the amounts appropriated 
        for all such insured or guaranteed loans for the fiscal 
        year equals the subsidy cost for the insured or 
        guaranteed loans in the fiscal year.
  Sec. 333A. (a)(1) The Secretary shall approve or disapprove 
an application for a loan or loan guarantee made under this 
title, and notify the applicant of such action, not later than 
60 days after the Secretary has received a complete application 
for such loan or loan guarantee.
  (2)(A) If an application for a loan or loan guarantee under 
this title (other than under subtitle B) is incomplete, the 
Secretary shall inform the applicant of the reasons such 
application is incomplete not later than 20 days after the 
Secretary has received such application.
  (B)(i) Not later than 10 calendar days after the Secretary 
receives an application for an operating loan or loan guarantee 
under subtitle B, the Secretary shall notify the applicant of 
any information required before a decision may be made on the 
application. On receipt of an application, the Secretary shall 
request from other parties such information as may be needed in 
connection with the application.
  (ii) Not later than 15 calendar days after the date an agency 
of the Department of Agriculture receives a request for 
information made pursuant to clause (i), the agency shall 
provide the Secretary with the requested information.
  (iii) If, not later than 20 calendar days after the date a 
request is made pursuant to clause (i) with respect to an 
application, the Secretary has not received the information 
requested, the Secretary shall notify the applicant and the 
district office of the Farmers Home Administration, in writing, 
of the outstanding information.
  (iv) A county office shall notify the district office of the 
Farmers Home Administration of each application for an 
operating loan or loan guarantee under subtitle B that is 
pending more than 45 days after receipt, and the reasons the 
application is pending.
  (v) A district office that receives a notice provided under 
clause (iv) with respect to an application shall immediately 
take steps to ensure that final action is taken on the 
application not later than 15 days after the date of the 
receipt of the notice.
  (vi) The district office shall report to the State office of 
the Farmers Home Administration on each application for an 
operating loan or loan guarantee under subtitle B that is 
pending more than 45 days after receipt by the county 
committee, and the reasons the application is pending.
  (vii) Each month, the Secretary shall notify the Committee on 
Agriculture of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate, on a 
State-by-State basis, as to each application for an operating 
loan or loan guarantee under subtitle B on which final action 
had not been taken within 60 calendar days after receipt by the 
Secretary, and the reasons final action had not been taken.
  (3) If an application for a loan or loan guarantee under this 
title is disapproved by the Secretary, the Secretary shall 
state the reasons for the disapproval in the notice required 
under paragraph (1).
  (4)(A) Notwithstanding paragraph (1), each application for a 
loan or loan guarantee under section 310B(a), or for a loan 
under section 306(a), that is to be disapproved by the 
Secretary solely because the Secretary lacks the necessary 
amount of funds to make the loan or guarantee shall not be 
disapproved but shall be placed in pending status.
  (B) The Secretary shall retain the pending application and 
reconsider the application beginning on the date that 
sufficient funds become available.
  (C) Not later than 60 days after funds become available 
regarding each pending application, the Secretary shall notify 
the applicant of the approval or disapproval of funding for the 
application.
  (b)(1) Except as provided in paragraph (2), if an application 
for an insured loan under this title is approved by the 
Secretary, the Secretary shall provide the loan proceeds to the 
applicant not later than 15 days (or such longer period as the 
applicant may approve) after the application for the loan is 
approved by the Secretary.
  (2) If the Secretary is unable to provide the loan proceeds 
to the applicant within such 15-day period because sufficient 
funds are not available to the Secretary for such purpose, the 
Secretary shall provide the loan proceeds to the applicant as 
soon as practicable (but in no event later than 15 days unless 
the applicant agrees to a longer period) after sufficient funds 
for such purpose become available to the Secretary.
  (c) If an application for a loan or loan guarantee under this 
title is disapproved by the Secretary, but such action is 
subsequently reversed or revised as the result of an appeal 
within the Department of Agriculture or to the courts of the 
United States and the application is returned to the Secretary 
for further consideration, the Secretary shall act on the 
application and provide the applicant with notice of the action 
within 15 days after return of the application to the 
Secretary.
  (d) In carrying out the approved lender program established 
by exhibit A to subpart B of part 1980 of title 7, Code of 
Federal Regulations, the Secretary shall ensure that each 
request of a lending institution for designation as an approved 
lender under such program is reviewed, and a decision made on 
the application, not later than 15 days after the Secretary has 
received a complete application for such designation.
  (e)(1) As soon as practicable after the date of enactment of 
the Food Security Act of 1985, the Secretary shall take such 
steps as are necessary to make personnel, including the payment 
of overtime for such personnel, and other resources of the 
Department of Agriculture available to the Farmers Home 
Administration as are sufficient to enable the Farmers Home 
Administration to expeditiously process loan applications that 
are submitted by farmers and ranchers.
  (2) In carrying out paragraph (1), the Secretary may use any 
authority of law provided to the Secretary, including--
          (A) the Agricultural Credit Insurance Fund 
        established under section 309; and
          (B) the employment procedures used in connection with 
        the emergency loan program established under subtitle 
        C.
  (f)(1) As used in this subsection:
          (A) The term ``approved lender'' means a lender 
        approved prior to the date of enactment of this 
        subsection by the Secretary under the approved lender 
        program established by exhibit A to subpart B of part 
        1980 of title 7, Code of Federal Regulations (as in 
        effect on January 1, 1991), or a lender certified under 
        section [114] 339.
          (B) The term ``seasoned direct loan borrower'' means 
        a borrower receiving a direct loan under this title who 
        has been classified as ``commercial'' or ``standard'' 
        under subpart W of part 2006 of the Instruction Manual 
        (as in effect on January 1, 1991).
  (2) The Secretary, or a contracting third party, shall 
annually review under section 360 the loans of each seasoned 
loan borrower. If, based on the review, it is determined that a 
borrower would be able to obtain a loan, guaranteed by the 
Secretary, from a commercial or cooperative lender at 
reasonable rates and terms for loans for similar purposes and 
periods of time, the Secretary shall assist the borrower in 
applying for the commercial or cooperative loan.
  (3) In accordance with section 362, the Secretary shall 
prepare a prospectus on each seasoned direct loan borrower 
determined eligible to obtain a guaranteed loan. The prospectus 
shall contain a description of the amounts of loan guarantee 
and interest assistance that the Secretary will provide to the 
seasoned direct loan borrower to enable the seasoned direct 
loan borrower to carry out a financially viable farming plan if 
a guaranteed loan is made.
          (4) Verification.--
                  (A) In general.--The Secretary shall provide 
                a prospectus of a seasoned direct loan borrower 
                to each approved lender whose lending area 
                includes the location of the seasoned direct 
                loan borrower.
                  (B) Notification.--The Secretary shall notify 
                each borrower of a loan that a prospectus has 
                been provided to a lender under subparagraph 
                (A).
                  (C) Credit extended.--If the Secretary 
                receives an offer from an approved lender to 
                extend credit to the seasoned direct loan 
                borrower under terms and conditions contained 
                in the prospectus, the seasoned direct loan 
                borrower shall not be eligible for an insured 
                loan from the Secretary under subtitle A or B, 
                except as otherwise provided in this 
                subsection.
  (5) If the Secretary is unable to provide loan guarantees 
and, if necessary, interest assistance to the seasoned direct 
loan borrower under this subsection in amounts sufficient to 
enable the seasoned direct loan borrower to borrow from 
commercial sources the amount required to carry out a 
financially viable farming plan, or if the Secretary does not 
receive an offer from an approved lender to extend credit to a 
seasoned direct loan borrower under the terms and conditions 
contained in the prospectus, the Secretary shall make an 
insured loan to the seasoned direct loan borrower under 
subtitle A or B, whichever is applicable.
  (6) To the extent necessary for the borrower to obtain a 
loan, guaranteed by the Secretary, from a commercial or 
cooperative lender, the Secretary shall provide interest rate 
reductions as provided for under section 351.
  (g) Simplified Application Forms for Loan Guarantees.--
          (1) In general.--The Secretary shall provide to 
        lenders a short, simplified application form for 
        guarantees under this title of--
                  (A) farmer program loans the principal amount 
                of which is $125,000 or less; and
                  (B) business and industry guaranteed loans 
                under section 310B(a)(2)(A) the principal 
                amount of which is--
                          (i) in the case of a loan guarantee 
                        made during fiscal year 2002 or 2003, 
                        $400,000 or less; and
                          (ii) in the case of a loan guarantee 
                        made during any subsequent fiscal 
                        year--
                                  (I) $400,000 or less; or
                                  (II) if the Secretary 
                                determines that there is not a 
                                significant increased risk of a 
                                default on the loan, $600,000 
                                or less.
          (2) Water and waste disposal grants and loans.--The 
        Secretary shall develop an application process that 
        accelerates, to the maximum extent practicable, the 
        processing of applications for water and waste disposal 
        grants or direct or guaranteed loans under paragraph 
        (1) or (2) of section 306(a) the grant award amount or 
        principal loan amount, respectively, of which is 
        $300,000 or less.
          (3) Administration.--In developing an application 
        under this subsection, the Secretary shall--
                  (A) consult with commercial and cooperative 
                lenders; and
                  (B) ensure that--
                          (i) the form can be completed 
                        manually or electronically, at the 
                        option of the lender;
                          (ii) the form minimizes the 
                        documentation required to accompany the 
                        form;
                          (iii) the cost of completing and 
                        processing the form is minimal; and
                          (iv) the form can be completed and 
                        processed in an expeditious manner.
  (h) Simplified Application Forms.--Except as provided in 
subsection (g)(2), the Secretary shall, to the maximum extent 
practicable, develop a simplified application process, 
including a single page application if practicable, for grants 
and relending authorized under sections 306, 306C, 306D, 306E, 
310B(b), 310B(c), 310B(e), [310B(f),] 310H, 379B, and 379E.

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 subsection (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 Department 
                        of Health and Human Services for the 
                        State.
          (3) Individual development account.--The term 
        ``individual 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 collaborate 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 Development Accounts Pilot Program'' under 
        which the Secretary shall work through qualified 
        entities to establish demonstration programs--
                  (A) of at least 5 years in duration; and
                  (B) in at least 15 States.
          (2) Coordination.--The Secretary shall operate the 
        pilot program through, and in coordination with the 
        farm loan programs 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 established 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 agreement 
                                between the eligible 
                                participant and the qualified 
                                entity;
                                  (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 development account 
                                established for the eligible 
                                participant; 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 provide 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 purchased 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 prescribe.
          (2) Criteria.--In considering whether to approve an 
        application to carry out a demonstration program under 
        this section, the Secretary shall assess--
                  (A) the degree to which the demonstration 
                program described in the application is likely 
                to aid eligible participants 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 
                contributions;
                  (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 
        conduct 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 applications to conduct demonstration 
        programs as the Secretary considers 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 program 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 
                conclusion of the demonstration program, the 
                qualified entity shall prepare an annual report 
                that includes, for the period covered by the 
                report--
                          (i) an evaluation of the progress of 
                        the demonstration 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 Congress 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 [2018] 2023.

           *       *       *       *       *       *       *


SEC. 339. RULES AND REGULATIONS.

  (a) In General.--The Secretary is authorized to make such 
rules and regulations, prescribe the terms and conditions for 
making or insuring loans, security instruments and agreements, 
except as otherwise specified herein, and make such delegations 
of authority as he deems necessary to carry out this title.
  (b) Debt Service Margin Requirements.--Notwithstanding 
subsection (a), in providing farmer program loan guarantees 
under this title, the Secretary shall consider the income of 
the borrower adequate if the income is equal to or greater than 
the income necessary--
          (1) to make principal and interest payments on all 
        debt obligations of the borrower, in a timely manner;
          (2) to cover the necessary living expenses of the 
        family of the borrower; and
          (3) to pay all other obligations and expenses of the 
        borrower not financed through debt obligations referred 
        to in paragraph (1).
  (c) Certified Lenders Program.--
          (1) In general.--The Secretary shall establish a 
        program under which the Secretary shall guarantee loans 
        for any purpose specified in subtitle B that are made 
        by lending institutions certified by the Secretary.
          (2) Certification requirements.--The Secretary shall 
        certify a lending institution that meets such criteria 
        as the Secretary may prescribe in regulations, 
        including the ability of the institution to properly 
        make, service, and liquidate the loans of the 
        institution.
          (3) Condition of certification.--As a condition of 
        the certification, the Secretary shall require the 
        institution to undertake to service the loans 
        guaranteed by the Secretary under this subsection, 
        using standards that are not less stringent than 
        generally accepted banking standards concerning loan 
        servicing employed by prudent commercial or cooperative 
        lenders. The Secretary shall, at least annually, 
        monitor the performance of each certified lender to 
        ensure that the conditions of the certification are 
        being met.
          (4) Effect of certification.--Notwithstanding any 
        other provision of law:
                  (A) The Secretary shall guarantee 80 percent 
                of a loan made under this subsection by a 
                certified lending institution as described in 
                paragraph (1), subject to county committee 
                certification that the borrower of the loan 
                meets the eligibility requirements and such 
                other criteria as may be applicable to loans 
                guaranteed by the Secretary under other 
                provisions of this title.
                  (B) With respect to loans to be guaranteed by 
                the Secretary under this subsection, the 
                Secretary shall permit certified lending 
                institutions to make appropriate certifications 
                (as provided by regulations issued by the 
                Secretary)--
                          (i) relating to issues such as 
                        creditworthiness, repayment ability, 
                        adequacy of collateral, and feasibility 
                        of farm operation; and
                          (ii) that the borrower is in 
                        compliance with all requirements of 
                        law, including regulations issued by 
                        the Secretary.
                  (C) The Secretary shall approve or disapprove 
                a guarantee not later than 14 calendar days 
                after the date that the lending institution 
                applied to the Secretary for the guarantee. If 
                the Secretary rejects the loan application 
                within the 14-day period, the Secretary shall 
                state, in writing, all of the reasons the 
                application was rejected.
          (5) Relationship to other requirements.--Neither this 
        subsection nor subsection (d) shall affect the 
        responsibility of the Secretary to certify eligibility, 
        review financial information, and otherwise assess an 
        application.
  (d) Preferred Certified Lenders Program.--
          (1) In general.--Commencing not later than two years 
        after the date of enactment of the Agricultural Credit 
        Improvement Act of 1992, the Secretary shall establish 
        a Preferred Certified Lenders Program for lenders who 
        establish their--
                  (A) knowledge of, and experience under, the 
                program established under subsection (c);
                  (B) knowledge of the regulations concerning 
                the guaranteed loan program; and
                  (C) proficiency related to the certified 
                lender program requirements.
        The Secretary shall certify any lending institution as 
        a Preferred Certified Lender that meets such criteria 
        as the Secretary may prescribe by regulation.
          (2) Revocation of designation.--The designation of a 
        lender as a Preferred Certified Lender shall be revoked 
        at any time that the Secretary determines that such 
        lender is not adhering to the rules and regulations 
        applicable to the program or if the loss experiences of 
        a Preferred Certified Lender are excessive as compared 
        to other Preferred Certified Lenders, except that such 
        suspension or revocation shall not affect any 
        outstanding guarantee.
          (3) Condition of certification.--As a condition of 
        such preferred certification, the Secretary shall 
        require the institution to undertake to service the 
        loans guaranteed by the Secretary under this subsection 
        using generally accepted banking standards concerning 
        loan servicing employed by prudent commercial or 
        cooperative lenders. The Secretary shall, at least 
        annually, monitor the performance of each [preferred 
        certified lender] Preferred Certified Lender to ensure 
        that the conditions of such certification are being 
        met.
          (4) Effect of preferred lender certification.--
        Notwithstanding any other provision of law, the 
        Secretary shall--
                  (A) guarantee 80 percent of an approved loan 
                made by a certified lending institution as 
                described in this subsection, subject to county 
                committee certification that the borrower meets 
                the eligibility requirements or such other 
                criteria as may be applicable to loans 
                guaranteed by the Secretary under other 
                provisions of this title;
                  (B) permit certified lending institutions to 
                make all decisions, with respect to loans to be 
                guaranteed by the Secretary under this 
                subsection relating to credit worthiness, the 
                closing, monitoring, collection and liquidation 
                of loans, and to accept appropriate 
                certifications, as provided by regulations 
                issued by the Secretary, that the borrower is 
                in compliance with all requirements of law or 
                regulations promulgated by the Secretary; and
                  (C) be deemed to have guaranteed 80 percent 
                of a loan made by a preferred certified lending 
                institution as described in paragraph (1), if 
                the Secretary fails to approve or reject the 
                application of such institution within 14 
                calendar days after the date that the lending 
                institution presented the application to the 
                Secretary. If the Secretary rejects the 
                application within the 14-day period, the 
                Secretary shall state, in writing, the reasons 
                the application was rejected.
  (e) Administration of Certified Lenders and Preferred 
Certified Lenders Programs.--The Secretary may administer the 
loan guarantee programs under subsections (c) and (d) through 
central offices established in States or in multi-State areas.

           *       *       *       *       *       *       *

  Sec. 343. (a) As used in this title:
          (1) The term ``farmer'' includes a person who is 
        engaged in, or who, with assistance afforded under this 
        title, intends to engage in, fish farming.
          (2) The term ``farming'' shall be deemed to include 
        fish farming.
          (3) The term ``owner-operator'' shall include in the 
        State of Hawaii the lessee-operator of real property in 
        any case in which the Secretary determines that such 
        real property cannot be acquired in fee simple by such 
        lessee-operator, that adequate security is provided for 
        the loan with respect to such real property for which 
        such lessee-operator applies under this title, and that 
        there is a reasonable probability of accomplishing the 
        objectives and repayment of such loan.
          (4) The word ``insure'' as used in this title 
        includes guarantee, which means to guarantee the 
        payment of a loan originated, held, and serviced by a 
        private financial agency or other lender approved by 
        the Secretary.
          (5) The term ``contract of insurance'' includes a 
        contract of guarantee.
          (6) The terms ``United States'' and ``State'' shall 
        include each of the several States, the Commonwealth of 
        Puerto Rico, the Virgin Islands of the United States, 
        Guam, American Samoa, the Commonwealth of the Northern 
        Mariana Islands, and, to the extent the Secretary 
        determines it to be feasible and appropriate, the Trust 
        Territory of the Pacific Islands.
          (7) The term ``joint operation'' means a joint 
        farming operation in which two or more farmers work 
        together sharing equally or unequally land, labor, 
        equipment, expenses, and income.
          (8) The term ``beginning farmer or rancher'' means 
        such term as defined by the Secretary.
          (9) The term ``direct loan'' means a loan made or 
        insured from funds in the account created by section 
        309.
          (10) The term ``farmer program loan'' means a farm 
        ownership loan (FO) under section 303, operating loan 
        (OL) under section 312, soil and water loan (SW) under 
        section 304, emergency loan (EM) under section 321, 
        economic emergency loan (EE) under section 202 of the 
        Emergency Agricultural Credit Adjustment Act (title II 
        of Public Law 95-334), economic opportunity loan (EO) 
        under the Economic Opportunity Act of 1961 (42 U.S.C. 
        2942), softwood timber loan (ST) under section 1254 of 
        the Food Security Act of 1985, or rural housing loan 
        for farm service buildings (RHF) under section 502 of 
        the Housing Act of 1949.
          (11) The term ``qualified beginning farmer or 
        rancher'' means an applicant, regardless of whether the 
        applicant is participating in a program under section 
        310E--
                  (A) who is eligible for assistance under this 
                title;
                  (B) who has not operated a farm or ranch, or 
                who has operated a farm or ranch for not more 
                than 10 years;
                  (C) in the case of a cooperative, 
                corporation, partnership, joint operation, or 
                such other legal entity as the Secretary 
                considers appropriate, who has members, 
                stockholders, partners, [or joint operators] 
                joint operator, or owners who are all related 
                to one another by blood or marriage;
                  (D)(i) in the case of an owner and operator 
                of a farm or ranch, who--
                          (I) in the case of a loan made to an 
                        individual, individually or with the 
                        immediate family of the applicant--
                                  (aa) materially and 
                                substantially participates in 
                                the operation of the farm or 
                                ranch; and
                                  (bb) provides substantial 
                                day-to-day labor and management 
                                of the farm or ranch, 
                                consistent with the practices 
                                in the State or county in which 
                                the farm or ranch is located; 
                                or
                          (II)(aa) in the case of a loan made 
                        to a cooperative, corporation, 
                        partnership, joint operation, or such 
                        other legal entity as the Secretary 
                        considers appropriate, has members, 
                        stockholders, partners, joint 
                        operators, or owners, materially and 
                        substantially participate in the 
                        operation of the farm or ranch; and
                          (bb) in the case of a loan made to a 
                        cooperative, corporation, partnership, 
                        joint operation, or other such legal 
                        entity as the Secretary considers 
                        appropriate, has members, stockholders, 
                        partners, or joint operators, all of 
                        whom are qualified beginning farmers or 
                        ranchers; and
                  (ii) in the case of an applicant seeking to 
                own and operate a farm or ranch, who--
                          (I) in the case of a loan made to an 
                        individual, individually or with the 
                        immediate family of the applicant, 
                        will--
                                  (aa) materially and 
                                substantially participate in 
                                the operation of the farm or 
                                ranch; and
                                  (bb) provide substantial day-
                                to-day labor and management of 
                                the farm or ranch, consistent 
                                with the practices in the State 
                                or county in which the farm or 
                                ranch is located; or
                          (II)(aa) in the case of a loan made 
                        to a cooperative, corporation, 
                        partnership, joint operation, or such 
                        other legal entity as the Secretary 
                        considers appropriate, will have 
                        members, stockholders, partners, joint 
                        operators, or owners, materially and 
                        substantially participate in the 
                        operation of the farm or ranch; and
                          (bb) in the case of a loan made to a 
                        cooperative, corporation, partnership, 
                        joint operation, or other such legal 
                        entity as the Secretary considers 
                        appropriate, has members, stockholders, 
                        partners, or joint operators, all of 
                        whom are qualified beginning farmers or 
                        ranchers;
                  (E) who agrees to participate in such loan 
                assessment, borrower training, and financial 
                management programs as the Secretary may 
                require;
                  (F) who does not own land or who, directly or 
                through interests in family farm corporations, 
                owns land, the aggregate acreage of which does 
                not exceed 30 percent of the average acreage of 
                the farms or ranches, as the case may be, in 
                the county in which the farm or ranch 
                operations of the applicant are located, as 
                reported in the most recent census of 
                agriculture, except that this subparagraph 
                shall not apply to a loan made or guaranteed 
                under subtitle B; and
                  (G) who demonstrates that the available 
                resources of the applicant and spouse (if any) 
                of the applicant are not sufficient to enable 
                the applicant to continue farming or ranching 
                on a viable scale.
          (12) Debt forgiveness.--
                  (A) In general.--Except as provided in 
                subparagraph (B), the term ``debt forgiveness'' 
                means reducing or terminating a farmer program 
                loan made or guaranteed under this title, in a 
                manner that results in a loss to the Secretary, 
                through--
                          (i) writing down or writing off a 
                        loan under section 353;
                          (ii) compromising, adjusting, 
                        reducing, or charging-off a debt or 
                        claim under section 331;
                          (iii) paying a loss on a guaranteed 
                        loan under section 357; or
                          (iv) discharging a debt as a result 
                        of bankruptcy.
                  (B) Exceptions.--The term ``debt 
                forgiveness'' does not include--
                          (i) consolidation, rescheduling, 
                        reamortization, or deferral of a loan; 
                        or
                          (ii) any write-down provided as part 
                        of a resolution of a discrimination 
                        complaint against the Secretary.
          (13) Rural and rural area.--
                  (A) In general.--Subject to subparagraphs (B) 
                through [(G)] (H), 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)] (1) and (2) 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)] and (21) 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 subparagraphs 
                                (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 Development shall--
                                  (I) not delegate the 
                                authority to carry out this 
                                subparagraph;
                                  (II) consult with the 
                                applicable rural development 
                                State or regional director of 
                                the Department of Agriculture 
                                and the governor of the 
                                respective State;
                                  (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 subparagraph not 
                                less than 15 days, and not more 
                                than 60 days, after the release 
                                of the notice under subclause 
                                (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 
                provision 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 considered 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 
                                        Secretary 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 adjacent to a 
                                city or town described in 
                                subparagraph (A)(i).
                          (ii) Adjustments.--The Secretary may, 
                        by regulation 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 appropriate 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 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.
                  (H) Exclusion of populations incarcerated on 
                a long-term basis.--Populations of individuals 
                incarcerated on a long-term or regional basis 
                shall not be included in determining whether an 
                area is ``rural'' or a ``rural area''.
  (b) As used in sections [307(e)] 307(d), 331D, 335 (e) and 
(f), 338(b), 352 (b) and (c), 353, and 357:
          (1) The term ``borrower'' means any farm borrower who 
        has outstanding obligations to the Secretary under any 
        farmer program loan, without regard to whether the loan 
        has been accelerated, but does not include any farm 
        borrower all of whose loans and accounts have been 
        foreclosed on or liquidated, voluntarily or otherwise.
          (2) The term ``loan service program'' means, with 
        respect to a farmer program borrower, a primary loan 
        service program or a preservation loan service program.
          (3) The term ``primary loan service program'' means--
                  (A) loan consolidation, rescheduling, or 
                reamortization;
                  (B) interest rate reduction, including the 
                use of the limited resource program;
                  (C) loan restructuring, including deferral, 
                set aside, or writing down of the principal or 
                accumulated interest charges, or both, of the 
                loan; or
                  (D) any combination of actions described in 
                subparagraphs (A), (B), and (C).
          (4) Preservation loan service program.--The term 
        ``preservation loan service program'' means homestead 
        retention as authorized under section 352.

           *       *       *       *       *       *       *

  Sec. 346. (a) Effective October 1, 1979, the aggregate 
principal amount of loans under the programs authorized under 
each subtitle of this title during each three-year period 
thereafter shall not exceed such amounts as may be authorized 
by law after the date of enactment of this section. There shall 
be two amounts so established for each of such programs and for 
any maximum levels provided in appropriation Acts for the 
programs authorized under this title, one against which direct 
and insured loans shall be charged and the other against which 
guaranteed loans shall be charged[,].
  (b) Authorization for Loans.--
          (1) In general.--The Secretary may make or guarantee 
        loans under subtitles A and B from the Agricultural 
        Credit Insurance Fund provided for in section 309 for 
        not more than $4,226,000,000 for each of fiscal years 
        2008 through [2018] 2023, of which, for each fiscal 
        year--
                  (A) $1,200,000,000 shall be for direct loans, 
                of which--
                          (i) $350,000,000 shall be for farm 
                        ownership loans under subtitle A; and
                          (ii) $850,000,000 shall be for 
                        operating loans under subtitle B; and
                  (B) $3,026,000,000 shall be for guaranteed 
                loans, of which--
                          (i) $1,000,000,000 shall be for 
                        guarantees of farm ownership loans 
                        under subtitle A; and
                          (ii) $2,026,000,000 shall be for 
                        guarantees of operating loans under 
                        subtitle B.
          (2) Beginning farmers and ranchers.--
                  (A) Direct loans.--
                          (i) Farm ownership loans.--
                                  (I) In general.--Of the 
                                amounts made available under 
                                paragraph (1) for direct farm 
                                ownership loans, the Secretary 
                                shall reserve an amount that is 
                                not less than 75 percent of the 
                                total amount for qualified 
                                beginning farmers and ranchers.
                                  (II) Down payment loans; 
                                joint financing arrangements.--
                                Of the amounts reserved for a 
                                fiscal year under subclause 
                                (I), the Secretary shall 
                                reserve an amount not less than 
                                \2/3\ of the amount for the 
                                down payment loan program under 
                                section 310E and joint 
                                financing arrangements under 
                                section 307(a)(3)(D) until 
                                April 1 of the fiscal year.
                          (ii) Operating loans.--Of the amounts 
                        made available under paragraph (1) for 
                        direct operating loans, the Secretary 
                        shall reserve for qualified beginning 
                        farmers and ranchers--
                                  (I) for each of fiscal years 
                                1996 through 1998, 25 percent;
                                  (II) for fiscal year 1999, 30 
                                percent; and
                                  (III) for each of fiscal 
                                years 2008 through [2018] 2023, 
                                an amount that is not less than 
                                50 percent.
                          (iii) Funds reserved until september 
                        1.--Except as provided in clause 
                        (i)(II), funds reserved for qualified 
                        beginning farmers or ranchers under 
                        this subparagraph for a fiscal year 
                        shall be reserved only until September 
                        1 of the fiscal year.
                  (B) Guaranteed loans.--
                          (i) Farm ownership loans.--Of the 
                        amounts made available under paragraph 
                        (1) for guarantees of farm ownership 
                        loans, the Secretary shall reserve an 
                        amount that is not less than 40 percent 
                        of the total amount for qualified 
                        beginning farmers and ranchers.
                          (ii) Operating loans.--Of the amounts 
                        made available under paragraph (1) for 
                        guarantees of operating loans, the 
                        Secretary shall reserve 40 percent for 
                        qualified beginning farmers and 
                        ranchers.
                          (iii) Funds reserved until april 1.--
                        Funds reserved for qualified beginning 
                        farmers or ranchers under this 
                        subparagraph for a fiscal year shall be 
                        reserved only until April 1 of the 
                        fiscal year.
                  (C) Reserved funds for all qualified 
                beginning farmers and ranchers.--If a qualified 
                beginning farmer or rancher meets the 
                eligibility criteria for receiving a direct or 
                guaranteed loan under section 302, 310E, or 
                311, the Secretary shall make or guarantee the 
                loan if sufficient funds reserved under this 
                paragraph are available to make or guarantee 
                the loan.
          (3) Transfer for down payment loans.--
                  (A) In general.--Notwithstanding subsection 
                (a), subject to subparagraph (B)--
                          beginning on August 1 of each fiscal 
                        year, the Secretary shall use available 
                        unsubsidized guaranteed farm operating 
                        loan funds to provide direct farm 
                        ownership loans approved by the 
                        Secretary to qualified beginning 
                        farmers and ranchers under the down 
                        payment loan program established under 
                        section 310E, if sufficient direct farm 
                        ownership loan funds are not otherwise 
                        available; and
                          (ii) beginning on September 1 of each 
                        fiscal year, the Secretary shall use 
                        available unsubsidized guaranteed farm 
                        operating loan funds to provide direct 
                        farm ownership loans approved by the 
                        Secretary to qualified beginning 
                        farmers and ranchers, if sufficient 
                        direct farm ownership loan funds are 
                        not otherwise available.
                  (B) Limitation.--The Secretary shall limit 
                the transfer of funds under subparagraph (A) so 
                that all guaranteed farm operating loans that 
                have been approved, or will be approved, by the 
                Secretary during the fiscal year will be made 
                to the extent of available amounts.
          (4) Transfer for credit sales of farm inventory 
        property.--
                  (A) In general.--Notwithstanding subsection 
                (a), subject to subparagraphs (B) and (C), 
                beginning on September 1 of each fiscal year, 
                the Secretary may use available funds made 
                available under subtitle C for the fiscal year 
                to fund the credit sale of farm real estate in 
                the inventory of the Secretary.
                  (B) Supplemental appropriations.--The 
                transfer authority provided under subparagraph 
                (A) shall not apply to any funds made available 
                to the Secretary for any fiscal year under an 
                Act making supplemental appropriations.
                  (C) Limitation.--The Secretary shall limit 
                the transfer of funds under subparagraph (A) so 
                that all emergency disaster loans that have 
                been approved, or will be approved, by the 
                Secretary during the fiscal year will be made 
                to the extent of available amounts.
  (c) The Secretary shall develop long-term cost projections 
for loan program authorizations required under subsection (a) 
of this section. Each such projection shall include analyses of 
(1) the long-term costs of the lending levels that the 
Secretary requests to be authorized under subsection (a) of 
this section and (2) the long-term costs for increases in 
lending levels beyond those requested to be authorized, based 
on increments of $10,000,000 or such other levels as the 
Secretary deems appropriate. Long-term cost projections for the 
three-year period beginning with fiscal year 1983 and each 
three-year period thereafter shall be submitted to the House 
Committee on Agriculture, the House Committee on 
Appropriations, the Senate Committee on Agriculture, Nutrition, 
and Forestry, and the Senate Committee on Appropriations at the 
time the requests for authorizations for those periods are 
submitted to Congress. Not later than fifteen days after the 
date of enactment of this subsection the Secretary shall submit 
to such committees long-term cost projections covering 
authorized lending levels for the loan programs for fiscal 
years 1981 and 1982.
  (d)(1) Notwithstanding any other provision of law, not less 
than 25 per centum of the loans for farm ownership purposes 
under subtitle A of this title, and not less than 25 per centum 
of the loans 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 
each fiscal year 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 the Emergency Agricultural Credit Act of 
1984 and in the normal course of loan making and loan servicing 
operations, of the provisions 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.

           *       *       *       *       *       *       *


SEC. 378. NATIONAL RURAL DEVELOPMENT PARTNERSHIP.

  (a) Definitions.--In this section:
          (1) Agency with rural responsibilities.--The term 
        ``agency with rural responsibilities'' means any 
        executive agency (as defined in section 105 of title 5, 
        United States Code) that implements a Federal law, or 
        administers a program, targeted at or having a 
        significant impact on rural areas.
          (2) Coordinating committee.--The term ``Coordinating 
        Committee'' means the National Rural Development 
        Coordinating Committee established by subsection (c).
          (3) Partnership.--The term ``Partnership'' means the 
        National Rural Development Partnership continued by 
        subsection (b).
          (4) State rural development council.--The term 
        ``State rural development council'' means a State rural 
        development council that meets the requirements of 
        subsection (d).
  (b) Partnership.--
          (1) In general.--The Secretary shall continue the 
        National Rural Development Partnership composed of--
                  (A) the Coordinating Committee; and
                  (B) State rural development councils.
          (2) Purposes.--The purposes of the Partnership are to 
        empower and build the capacity of States and rural 
        communities to design flexible and innovative responses 
        to their own special rural development needs, with 
        local determinations of progress and selection of 
        projects and activities.
          (3) Governing panel.--
                  (A) In general.--A panel consisting of 
                representatives of the Coordinating Committee 
                and State rural development councils shall be 
                established to lead and coordinate the 
                strategic operation, policies, and practices of 
                the Partnership.
                  (B) Annual reports.--In conjunction with the 
                Coordinating Committee and State rural 
                development councils, the panel shall prepare 
                and submit to Congress an annual report on the 
                activities of the Partnership.
          (4) Role of federal government.--The role of the 
        Federal Government in the Partnership may be that of a 
        partner and facilitator, with Federal agencies 
        authorized--
                  (A) to cooperate with States to implement the 
                Partnership;
                  (B) to provide States with the technical and 
                administrative support necessary to plan and 
                implement tailored rural development strategies 
                to meet local needs;
                  (C) to ensure that the head of each agency 
                with rural responsibilities designates a 
                senior-level agency official to represent the 
                agency on the Coordinating Committee and 
                directs appropriate field staff to participate 
                fully with the State rural development council 
                within the jurisdiction of the field staff; and
                  (D) to enter into cooperative agreements 
                with, and to provide grants and other 
                assistance to, the Coordinating Committee and 
                State rural development councils.
  (c) National Rural Development Coordinating Committee.--
          (1) Establishment.--The Secretary shall establish a 
        National Rural Development Coordinating Committee 
        within the Department of Agriculture.
          (2) Composition.--The Coordinating Committee shall be 
        composed of--
                  (A) 1 representative of each agency with 
                rural responsibilities; and
                  (B) representatives, approved by the 
                Secretary, of--
                          (i) national associations of State, 
                        regional, local, and tribal governments 
                        and intergovernmental and 
                        multijurisdictional agencies and 
                        organizations;
                          (ii) national public interest groups;
                          (iii) other national nonprofit 
                        organizations that elect to participate 
                        in the activities of the Coordinating 
                        Committee; and
                          (iv) the private sector.
          (3) Duties.--The Coordinating Committee shall--
                  (A) support the work of the State rural 
                development councils;
                  (B) facilitate coordination of rural 
                development policies, programs, and activities 
                among Federal agencies and with those of State, 
                local, and tribal governments, the private 
                sector, and nonprofit organizations;
                  (C) review and comment on policies, 
                regulations, and proposed legislation that 
                affect or would affect rural areas and gather 
                and provide related information;
                  (D) develop and facilitate strategies to 
                reduce or eliminate administrative and 
                regulatory impediments; and
                  (E) require each State rural development 
                council receiving funds under this section to 
                submit an annual report on the use of the 
                funds, including a description of strategic 
                plans, goals, performance measures, and 
                outcomes for the State rural development 
                council of the State.
          (4) Federal participation in coordinating 
        committee.--
                  (A) In general.--A Federal employee shall 
                fully participate in the governance and 
                operations of the Coordinating Committee, 
                including activities related to grants, 
                contracts, and other agreements, in accordance 
                with this section.
                  (B) Conflicts.--Participation by a Federal 
                employee in the Coordinating Committee in 
                accordance with this paragraph shall not 
                constitute a violation of section 205 or 208 of 
                title 18, United States Code.
          (5) Administrative support.--The Secretary may 
        provide such administrative support for the 
        Coordinating Committee as the Secretary determines is 
        necessary to carry out the duties of the Coordinating 
        Committee.
          (6) Procedures.--The Secretary may prescribe such 
        regulations, bylaws, or other procedures as are 
        necessary for the operation of the Coordinating 
        Committee.
  (d) State Rural Development Councils.--
          (1) Establishment.--Notwithstanding chapter 63 of 
        title 31, United States Code, each State may elect to 
        participate in the Partnership by entering into an 
        agreement with the Secretary to recognize a State rural 
        development council.
          (2) Composition.--A State rural development council 
        shall--
                  (A) be composed of representatives of 
                Federal, State, local, and tribal governments, 
                nonprofit organizations, regional 
                organizations, the private sector, and other 
                entities committed to rural advancement; and
                  (B) have a nonpartisan and nondiscriminatory 
                membership that--
                          (i) is broad and representative of 
                        the economic, social, and political 
                        diversity of the State; and
                          (ii) shall be responsible for the 
                        governance and operations of the State 
                        rural development council.
          (3) Duties.--A State rural development council 
        shall--
                  (A) facilitate collaboration among Federal, 
                State, local, and tribal governments and the 
                private and nonprofit sectors in the planning 
                and implementation of programs and policies 
                that have an impact on rural areas of the 
                State;
                  (B) monitor, report, and comment on policies 
                and programs that address, or fail to address, 
                the needs of the rural areas of the State;
                  (C) as part of the Partnership, in 
                conjunction with the Coordinating Committee, 
                facilitate the development of strategies to 
                reduce or eliminate conflicting or duplicative 
                administrative or regulatory requirements of 
                Federal, State, local, and tribal governments; 
                and
                  (D)(i) provide to the Coordinating Committee 
                an annual plan with goals and performance 
                measures; and
                  (ii) submit to the Coordinating Committee an 
                annual report on the progress of the State 
                rural development council in meeting the goals 
                and measures.
          (4) Federal participation in state rural development 
        councils.--
                  (A) In general.--A State Director for Rural 
                Development of the Department of Agriculture, 
                other employees of the Department, and 
                employees of other Federal agencies with rural 
                responsibilities shall fully participate as 
                voting members in the governance and operations 
                of State rural development councils (including 
                activities related to grants, contracts, and 
                other agreements in accordance with this 
                section) on an equal basis with other members 
                of the State rural development councils.
                  (B) Conflicts.--Participation by a Federal 
                employee in a State rural development council 
                in accordance with this paragraph shall not 
                constitute a violation of section 205 or 208 of 
                title 18, United States Code.
  (e) Administrative Support of the Partnership.--
          (1) Detail of employees.--
                  (A) In general.--In order to provide 
                experience in intergovernmental collaboration, 
                the head of an agency with rural 
                responsibilities that elects to participate in 
                the Partnership may, and is encouraged to, 
                detail to the Secretary for the support of the 
                Partnership 1 or more employees of the agency 
                with rural responsibilities without 
                reimbursement for a period of up to 1 year.
                  (B) Civil service status.--The detail shall 
                be without interruption or loss of civil 
                service status or privilege.
          (2) Additional support.--The Secretary may provide 
        for any additional support staff to the Partnership as 
        the Secretary determines to be necessary to carry out 
        the duties of the Partnership.
          (3) Intermediaries.--The Secretary may enter into a 
        contract with a qualified intermediary under which the 
        intermediary shall be responsible for providing 
        administrative and technical assistance to a State 
        rural development council, including administering the 
        financial assistance available to the State rural 
        development council.
  (f) Matching Requirements for State Rural Development 
Councils.--
          (1) In general.--Except as provided in paragraph (2), 
        a State rural development council shall provide 
        matching funds, or in-kind goods or services, to 
        support the activities of the State rural development 
        council in an amount that is not less than 33 percent 
        of the amount of Federal funds received from a Federal 
        agency under subsection (g)(2).
          (2) Exceptions to matching requirement for certain 
        federal funds.--Paragraph (1) shall not apply to funds, 
        grants, funds provided under contracts or cooperative 
        agreements, gifts, contributions, or technical 
        assistance received by a State rural development 
        council from a Federal agency that are used--
                  (A) to support 1 or more specific program or 
                project activities; or
                  (B) to reimburse the State rural development 
                council for services provided to the Federal 
                agency providing the funds, grants, funds 
                provided under contracts or cooperative 
                agreements, gifts, contributions, or technical 
                assistance.
          (3) Department's share.--The Secretary shall develop 
        a plan to decrease, over time, the share of the 
        Department of Agriculture of the cost of the core 
        operations of State rural development councils.
  (g) Funding.--
          (1) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this section 
        $10,000,000 for each of fiscal years 2008 through 
        [2018] 2023.
          (2) Federal agencies.--
                  (A) In general.--Notwithstanding any other 
                provision of law limiting the ability of an 
                agency, along with other agencies, to provide 
                funds to the Coordinating Committee or a State 
                rural development council in order to carry out 
                the purposes of this section, a Federal agency 
                may make grants, gifts, or contributions to, 
                provide technical assistance to, or enter into 
                contracts or cooperative agreements with, the 
                Coordinating Committee or a State rural 
                development council.
                  (B) Assistance.--Federal agencies are 
                encouraged to use funds made available for 
                programs that have an impact on rural areas to 
                provide assistance to, and enter into contracts 
                with, the Coordinating Committee or a State 
                rural development council, as described in 
                subparagraph (A).
          (3) Contributions.--The Coordinating Committee and a 
        State rural development council may accept private 
        contributions.
  (h) Termination.--The authority provided under this section 
shall terminate on September 30, [2018] 2023.

[SEC. 379. RURAL TELEWORK.

  [(a) Definitions.--In this section:
          [(1) Eligible organization.--The term ``eligible 
        organization'' means a nonprofit entity, an educational 
        institution, an Indian tribe (as defined in section 4 
        of the Indian Self-Determination and Education 
        Assistance Act (25 U.S.C. 450b)), or any other 
        organization, in a rural area (except for the 
        institute), that meets the requirements of this section 
        and such other requirements as are established by the 
        Secretary.
          [(2) Institute.--The term ``institute'' means a rural 
        telework institute established using a grant under 
        subsection (b).
          [(3) Telework.--The term ``telework'' means the use 
        of telecommunications to perform work functions at a 
        rural work center located outside the place of business 
        of an employer.
  [(b) Rural Telework Institute.--
          [(1) In general.--The Secretary shall make 1 or more 
        grants to an eligible organization to pay the Federal 
        share of the cost of establishing and operating a 
        national rural telework institute to carry out projects 
        described in paragraph (2).
          [(2) Projects.--The institute shall use grant funds 
        received under this subsection to carry out a 5-year 
        project--
                  [(A) to serve as a clearinghouse for telework 
                research and development;
                  [(B) to conduct outreach to rural communities 
                and rural workers;
                  [(C) to develop and share best practices in 
                rural telework throughout the United States;
                  [(D) to develop innovative, market-driven 
                telework projects and joint ventures with the 
                private sector that employ workers in rural 
                areas in jobs that promote economic self-
                sufficiency;
                  [(E) to share information about the design 
                and implementation of telework arrangements;
                  [(F) to support private sector businesses 
                that are transitioning to telework;
                  [(G) to support and assist telework projects 
                and individuals at the State and local level; 
                and
                  [(H) to perform such other functions as the 
                Secretary considers appropriate.
          [(3) Non-federal share.--
                  [(A) In general.--As a condition of receiving 
                a grant under this subsection, an eligible 
                organization shall agree to obtain, after the 
                application of the eligible organization has 
                been approved and notice of award has been 
                issued, contributions from non-Federal sources 
                that are equal to--
                          [(i) during each of the first, 
                        second, and third years of a project, 
                        30 percent of the amount of the grant; 
                        and
                          [(ii) during each of the fourth and 
                        fifth years of the project, 50 percent 
                        of the amount of the grant.
                  [(B) Indian tribes.--Notwithstanding 
                subparagraph (A), an Indian tribe may use any 
                Federal funds made available to the Indian 
                tribe for self-governance to pay the non-
                Federal contributions required under 
                subparagraph (A).
                  [(C) Form.--The non-Federal contributions 
                required under subparagraph (A) may be in the 
                form of in-kind contributions, including office 
                equipment, office space, computer software, 
                consultant services, computer networking 
                equipment, and related services.
  [(c) Telework Grants.--
          [(1) In general.--Subject to paragraphs (2) through 
        (5), the Secretary shall make grants to eligible 
        organizations to pay the Federal share of the cost of--
                  [(A) obtaining equipment and facilities to 
                establish or expand telework locations in rural 
                areas; and
                  [(B) operating telework locations in rural 
                areas.
          [(2) Applications.--To be eligible to receive a grant 
        under this subsection, an eligible organization shall 
        submit to the Secretary, and receive the approval of 
        the Secretary of, an application for the grant that 
        demonstrates that the eligible organization has 
        adequate resources and capabilities to establish or 
        expand a telework location in a rural area.
          [(3) Non-federal share.--
                  [(A) In general.--As a condition of receiving 
                a grant under this subsection, an eligible 
                organization shall agree to obtain, after the 
                application of the eligible organization has 
                been approved and notice of award has been 
                issued, contributions from non-Federal sources 
                that are equal to 50 percent of the amount of 
                the grant.
                  [(B) Indian tribes.--Notwithstanding 
                subparagraph (A), an Indian tribe may use 
                Federal funds made available to the tribe for 
                self-governance to pay the non-Federal 
                contributions required under subparagraph (A).
                  [(C) Sources.--The non-Federal contributions 
                required under subparagraph (A)--
                          [(i) may be in the form of in-kind 
                        contributions, including office 
                        equipment, office space, computer 
                        software, consultant services, computer 
                        networking equipment, and related 
                        services; and
                          [(ii) may not be made from funds made 
                        available for community development 
                        block grants under title I of the 
                        Housing and Community Development Act 
                        of 1974 (42 U.S.C. 5301 et seq.).
          [(4) Duration.--The Secretary may not provide a grant 
        under this subsection to expand or operate a telework 
        location in a rural area after the date that is 3 years 
        after the establishment of the telework location.
          [(5) Amount.--The amount of a grant provided to an 
        eligible organization under this subsection shall be 
        not less than $1,000,000 and not more than $2,000,000.
  [(d) Applicability of Certain Federal Law.--An eligible 
organization that receives funds under this section shall be 
subject to the provisions of Federal law (including 
regulations) administered by the Secretary of Labor or the 
Equal Employment Opportunity Commission that govern the 
responsibilities of employers to employees.
  [(e) Regulations.--Not later than 180 days after the date of 
enactment of this section, the Secretary shall promulgate 
regulations to carry out this section.
  [(f) Authorization of Appropriation.--There is authorized to 
be appropriated to carry out this section $30,000,000 for each 
of fiscal years 2002 through 2007, of which $5,000,000 shall be 
provided to establish and support an institute under subsection 
(b).

[SEC. 379A. HISTORIC BARN PRESERVATION.

  [(a) Definitions.--In this section:
          [(1) Barn.--The term ``barn'' means a building (other 
        than a dwelling) on a farm, ranch, or other 
        agricultural operation for--
                  [(A) housing animals;
                  [(B) storing or processing crops;
                  [(C) storing and maintaining agricultural 
                equipment; or
                  [(D) serving an essential or useful purpose 
                related to agricultural activities conducted on 
                the adjacent land.
          [(2) Eligible applicant.--The term ``eligible 
        applicant'' means--
                  [(A) a State department of agriculture (or a 
                designee);
                  [(B) a national or State nonprofit 
                organization that--
                          [(i) is described in section 
                        501(c)(3) of the Internal Revenue Code 
                        of 1986 and exempt from taxation under 
                        section 501(a) of such Code; and
                          [(ii) has experience or expertise, as 
                        determined by the Secretary, in the 
                        identification, evaluation, 
                        rehabilitation, preservation, or 
                        protection of historic barns; and
                  [(C) a State historic preservation office.
          [(3) Historic barn.--The term ``historic barn'' means 
        a barn that--
                  [(A) is at least 50 years old;
                  [(B) retains sufficient integrity of design, 
                materials, and construction to clearly identify 
                the barn as an agricultural building; and
                  [(C) meets the criteria for listing on 
                National, State, or local registers or 
                inventories of historic structures.
          [(4) Secretary.--The term ``Secretary'' means the 
        Secretary, acting through the Under Secretary of Rural 
        Development.
  [(b) Program.--The Secretary shall establish a historic barn 
preservation program--
          [(1) to assist States in developing a list of 
        historic barns;
          [(2) to collect and disseminate information on 
        historic barns;
          [(3) to foster educational programs relating to the 
        history, construction techniques, rehabilitation, and 
        contribution to society of historic barns; and
          [(4) to sponsor and conduct research on--
                  [(A) the history of barns; and
                  [(B) best practices to protect and 
                rehabilitate historic barns from the effects of 
                decay, fire, arson, and natural disasters.
  [(c) Grants.--
          [(1) In general.--The Secretary may make grants to, 
        or enter into contracts or cooperative agreements with, 
        eligible applicants to carry out an eligible project 
        under paragraph (2).
          [(2) Eligible projects.--A grant under this 
        subsection may be made to an eligible applicant for a 
        project--
                  [(A) to rehabilitate or repair historic 
                barns;
                  [(B) to preserve historic barns through--
                          [(i) the installation of a fire 
                        protection system, including 
                        fireproofing or fire detection system 
                        and sprinklers; and
                          [(ii) the installation of a system to 
                        prevent vandalism; and
                  [(C) to identify, document, and conduct 
                research on historic barns (including surveys) 
                to develop and evaluate appropriate techniques 
                or best practices for protecting historic 
                barns.
          [(3) Priority.--In making grants under this 
        subsection, the Secretary shall give the highest 
        priority to funding projects described in paragraph 
        (2)(C).
          [(4) Requirements.--An eligible applicant that 
        receives a grant for a project under this subsection 
        shall comply with any standards established by the 
        Secretary of the Interior for historic preservation 
        projects.
          [(5) 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. 379B. GRANTS FOR NOAA WEATHER RADIO TRANSMITTERS.

  (a) In General.--The Secretary, acting through the 
Administrator of the Rural Utilities Service, may make grants 
to public and nonprofit entities, and borrowers of loans made 
by the Rural Utilities Service, for the Federal share of the 
cost of acquiring radio transmitters to increase coverage of 
rural areas by the all hazards weather radio broadcast system 
of the National Oceanic and Atmospheric Administration.
  (b) Eligibility.--To be eligible for a grant under this 
section, an applicant shall provide to the Secretary--
          (1) a binding commitment from a tower owner to place 
        the transmitter on a tower; and
          (2) a description of how the tower placement will 
        increase coverage of a rural area by the all hazards 
        weather radio broadcast system of the National Oceanic 
        and Atmospheric Administration.
  (c) Federal Share.--A grant provided under this section shall 
be not more than 75 percent of the total cost of acquiring a 
radio transmitter, as described in subsection (a).
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $1,000,000 for each 
of fiscal years 2014 through [2018] 2023.

[SEC. 379C. GRANTS TO TRAIN FARM WORKERS IN NEW TECHNOLOGIES AND TO 
                    TRAIN FARM WORKERS IN SPECIALIZED SKILLS NECESSARY 
                    FOR HIGHER VALUE CROPS.

  [(a) In General.--The Secretary shall make grants to 
nonprofit organizations, or to a consortium of nonprofit 
organizations, agribusinesses, State and local governments, 
agricultural labor organizations, farmer or rancher 
cooperatives, and community-based organizations with the 
capacity to train farm workers.
  [(b) Use of Funds.--An entity to which a grant is made under 
this section shall use the grant to train farm workers to use 
new technologies and develop specialized skills for 
agricultural development.
  [(c) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $10,000,000 for each 
of fiscal years 2002 through 2007.

[SEC. 379D. DELTA REGION AGRICULTURAL ECONOMIC DEVELOPMENT.

  [(a) In General.--The Secretary may make grants to assist in 
the development of state-of-the-art technology in animal 
nutrition (including research and development of the 
technology) and value-added manufacturing to promote an 
economic platform for the Delta region (as defined in section 
382A) to relieve severe economic conditions.
  [(b) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $7,000,000 for 
each of fiscal years 2002 through 2007.]

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 operator, of a rural 
        microenterprise who is unable to obtain sufficient 
        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 organization 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 
        microentrepreneur assistance program established under 
        subsection (b).
          (6) Rural microenterprise.--The term ``rural 
        microenterprise'' 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 microenterprises; and
                  (B) continuing technical and financial 
                assistance related to the successful operation 
                of rural microenterprises.
          (3) Loans.--
                  (A) In general.--The Secretary shall make 
                loans to microenterprise development 
                organizations for the purpose of providing 
                fixed interest rate microloans to 
                microentrepreneurs 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 
                Secretary may permit the deferral of payments 
                on principal and interest due on a loan to a 
                microenterprise development 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, business 
                                planning, and market 
                                development assistance, and 
                                other related services to rural 
                                microentrepreneurs; and
                                  (II) carry out such other 
                                projects and activities 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 
                                microentrepreneurs that are 
                                located in rural areas that 
                                have suffered significant 
                                outward migration, as 
                                determined by the Secretary; 
                                and
                                  (II) ensure, to the maximum 
                                extent practicable, that grant 
                                recipients include 
                                microenterprise development 
                                organizations--
                                          (aa) of varying 
                                        sizes; and
                                          (bb) that serve 
                                        racially and ethnically 
                                        diverse populations.
                  (B) Grants to assist microentrepreneurs.--
                          (i) In general.--The Secretary shall 
                        make grants to microenterprise 
                        development organizations to provide 
                        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 microenterprise development 
                                organization under paragraph 
                                (3).
                          (ii) Maximum amount of grant.--A 
                        microenterprise 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 paragraph (3), as of 
                        the date the grant is awarded.
                  (C) Administrative expenses.--Not more than 
                10 percent of a grant received by a 
                microenterprise development 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 
        organization 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;
                  [(B) $3,000,000 for fiscal year 2012; and
                  [(C) $3,000,000 for each of fiscal years 2014 
                through 2018.
          [(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 
        2018.]
  (d) Funding.--There are authorized to be appropriated to 
carry out this section $4,000,000 for each of fiscal years 2019 
through 2023.

[SEC. 379F. GRANTS FOR EXPANSION OF EMPLOYMENT OPPORTUNITIES 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 disability.
  [(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 
        disabilities 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. 379G. HEALTH CARE SERVICES.

  (a) Purpose.--The purpose of this section is to address the 
continued unmet health needs in the Delta region through 
cooperation among health care professionals, institutions of 
higher education, 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 experience 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 [2018] 2023.

[SEC. 379H. STRATEGIC ECONOMIC AND COMMUNITY DEVELOPMENT.

  [(a) In General.--In the case of any rural development 
program described in subsection (d)(2), the Secretary may give 
priority to an application for a project that, as determined 
and approved by the Secretary--
          [(1) meets the applicable eligibility requirements of 
        this title;
          [(2) will be carried out solely in a rural area; and
          [(3) supports strategic community and economic 
        development plans on a multijurisdictional basis.
  [(b) Rural Area.--For purposes of subsection (a)(2), the 
Secretary shall consider an application to be for a project 
that will be carried out solely in a rural area only if--
          [(1) in the case of an application for a project in 
        the rural community facilities category described in 
        subsection (d)(2)(A), the project will be carried out 
        in a rural area described in section 343(a)(13)(C);
          [(2) in the case of an application for a project in 
        the rural utilities category described in subsection 
        (d)(2)(B), the project will be carried out in a rural 
        area described in section 343(a)(13)(B); and
          [(3) in the case of an application for a project in 
        the rural business and cooperative development category 
        described in subsection (d)(2)(C), the project will be 
        carried out in a rural area described in section 
        343(a)(13)(A).
  [(c) Evaluation.--
          [(1) In general.--In evaluating strategic 
        applications, the Secretary shall give a higher 
        priority to strategic applications for a plan described 
        in subsection (a) that demonstrates to the Secretary--
                  [(A) the plan was developed through the 
                collaboration of multiple stakeholders in the 
                service area of the plan, including the 
                participation of combinations of stakeholders 
                such as State, local, and tribal governments, 
                nonprofit institutions, institutions of higher 
                education, and private entities;
                  [(B) an understanding of the applicable 
                regional resources that could support the plan, 
                including natural resources, human resources, 
                infrastructure, and financial resources;
                  [(C) investment from other Federal agencies;
                  [(D) investment from philanthropic 
                organizations; and
                  [(E) clear objectives for the plan and the 
                ability to establish measurable performance 
                measures and to track progress toward meeting 
                the objectives.
          [(2) Consistency with plans.--Applications involving 
        State, county, municipal, or tribal governments shall 
        include an indication of consistency with an adopted 
        regional economic or community development plan.
  [(d) Funds.--
          [(1) In general.--Subject to paragraph (3) and 
        subsection (e), the Secretary may reserve for projects 
        that support multijurisdictional strategic community 
        and economic development plans described in subsection 
        (a) an amount that does not exceed 10 percent of the 
        funds made available for a fiscal year for a functional 
        category described in paragraph (2).
          [(2) Functional categories.--The functional 
        categories described in this subsection are the 
        following:
                  [(A) Rural community facilities category.--
                The rural community facilities category 
                consists of all amounts made available for 
                community facility grants and direct and 
                guaranteed loans under paragraph (1), (19), 
                (20), (21), (24), or (25) of section 306(a).
                  [(B) Rural utilities category.--The rural 
                utilities category consists of all amounts made 
                available for--
                          [(i) water or waste disposal grants 
                        or direct or guaranteed loans under 
                        paragraph (1), (2), or (24) of section 
                        306(a);
                          [(ii) rural water or wastewater 
                        technical assistance and training 
                        grants under section 306(a)(14);
                          [(iii) emergency community water 
                        assistance grants under section 306A; 
                        or
                          [(iv) solid waste management grants 
                        under section 310B(b).
                  [(C) Rural business and cooperative 
                development category.--The rural business and 
                cooperative development category consists of 
                all amounts made available for--
                          [(i) business and industry direct and 
                        guaranteed loans under section 
                        310B(a)(2)(A); or
                          [(ii) rural business development 
                        grants under section 310B(c).
          [(3) Period.--The reservation of funds described in 
        paragraph (2) may only extend through June 30 of the 
        fiscal year in which the funds were first made 
        available.
  [(e) Approved Applications.--
          [(1) In general.--Any applicant who submitted a rural 
        development application that was approved before the 
        date of enactment of this section may amend the 
        application to qualify for the funds reserved under 
        subsection (d)(1).
          [(2) Rural utilities.--Any rural development 
        application authorized under section 306(a)(2), 
        306(a)(14), 306(a)(24), 306A, or 310B(b) and approved 
        by the Secretary before the date of enactment of this 
        section shall be eligible for the funds reserved under 
        subsection (d)(1) on the same basis as the applications 
        submitted under this section until September 30, 2016.]

SEC. 379H. STRATEGIC ECONOMIC AND COMMUNITY DEVELOPMENT.

  (a) In General.--In the case of any program as determined by 
the Secretary, the Secretary shall give priority to an 
application for a project that, as determined and approved by 
the Secretary--
          (1) meets the applicable eligibility requirements of 
        this title or other applicable authorizing law;
          (2) will be carried out in a rural area; and
          (3) supports the implementation of a strategic 
        community investment plan described in subsection (d) 
        on a multisectoral and multijurisdictional basis.
  (b) Reserve.--
          (1) In general.--Subject to paragraph (2), the 
        Secretary shall reserve a portion of the funds made 
        available for a fiscal year for programs as determined 
        by the Secretary, for projects that support the 
        implementation of a strategic community investment plan 
        described in subsection (d) on a multisectoral and 
        multijurisdictional basis.
          (2) Period.--The reservation of funds described in 
        paragraph (1) may only extend through a date of the 
        fiscal year in which the funds were first made 
        available, as determined by the Secretary.
  (c) Approved Applications.--
          (1) In general.--Any applicant who submitted a 
        funding application that was approved before the date 
        of enactment of this section may amend the application 
        to qualify for the funds reserved under subsection (b).
          (2) Rural utilities.--Any rural development 
        application authorized under section 306(a)(2), 
        306(a)(14), 306(a)(24), 306A, or 310B(b) and approved 
        by the Secretary before the date of enactment of this 
        section shall be eligible for the funds reserved under 
        subsection (b) on the same basis as the applications 
        submitted under this section, until September 30, 2019.
  (d) Strategic Community Investment Plans.--
          (1) In general.--The Secretary shall provide 
        assistance to rural communities for developing 
        strategic community investment plans.
          (2) Plans.--A strategic community investment plan 
        described in paragraph (1) shall include--
                  (A) a variety of activities designed to 
                facilitate a rural community's vision for its 
                future;
                  (B) participation by multiple stakeholders, 
                including local and regional partners;
                  (C) leverage of applicable regional 
                resources;
                  (D) investment from strategic partners, such 
                as--
                          (i) private organizations;
                          (ii) cooperatives;
                          (iii) other government entities;
                          (iv) tribes; and
                          (v) philanthropic organizations;
                  (E) clear objectives with the ability to 
                establish measurable performance metrics;
                  (F) action steps for implementation; and
                  (G) any other elements necessary to ensure 
                that the plan results in a comprehensive and 
                strategic approach to rural economic 
                development, as determined by the Secretary.
          (3) Coordination.--The Secretary shall coordinate 
        with tribes and local, State, regional, and Federal 
        partners to develop strategic community investment 
        plans under this subsection.
          (4) Limitations on authorization of appropriations.--
                  (A) In general.--There is authorized to be 
                appropriated $5,000,000 for fiscal years 2018 
                through 2023 to carry out this subsection.
                  (B) Availability.--The amounts made available 
                to carry out this subsection are authorized to 
                remain available until expended.

Subtitle E--Rural Community Advancement Program

           *       *       *       *       *       *       *


SEC. 381E. RURAL DEVELOPMENT TRUST FUND.

  (a) Establishment.--There is established in the Treasury of 
the United States a trust fund which shall be known as the 
Rural Development Trust Fund (in this subtitle referred to as 
the ``Trust Fund'').
  (b) Accounts.--There are established in the Trust Fund the 
following accounts:
          (1) The rural community facilities account.
          (2) The rural utilities account.
          (3) The rural business and cooperative development 
        account.
          (4) The federally recognized Indian tribe account.
  (c) Deposits Into Accounts.--Notwithstanding any other 
provision of law, each fiscal year--
          (1) all amounts made available to carry out the 
        authorities described in subsection (d)(1) for the 
        fiscal year shall be deposited into the rural community 
        facilities account of the Trust Fund;
          (2) all amounts made available to carry out the 
        authorities described in subsection (d)(2) for the 
        fiscal year shall be deposited into the rural utilities 
        account of the Trust Fund; and
          (3) all amounts made available to carry out the 
        authorities described in subsection (d)(3) for the 
        fiscal year shall be deposited into the rural business 
        and cooperative development account of the Trust Fund.
  (d) Function Categories.--The function categories described 
in this subsection are the following:
          (1) Rural community facilities.--The rural community 
        development category consists of all amounts made 
        available for--
                  (A) community facility direct and guaranteed 
                loans under section 306(a)(1); or
                  (B) community facility grants under paragraph 
                (19), (20), or (21) of section 306(a).
          (2) Rural utilities.--The rural utilities category 
        consists of all amounts made available for--
                  (A) water or waste disposal grants or direct 
                or guaranteed loans under paragraph (1) or (2) 
                of section 306(a);
                  (B) rural water or wastewater technical 
                assistance and training grants under section 
                306(a)(14);
                  (C) emergency community water assistance 
                grants under section 306A; or
                  (D) solid waste management grants under 
                section 310B(b).
          (3) Rural business and cooperative development.--The 
        rural business and cooperative development category 
        consists of all amounts made available for--
                  [(A) rural business opportunity grants under 
                section 306(a)(11)(A);
                  [(B)] (A) business and industry direct and 
                guaranteed loans under section 310B(a)(2)(A); 
                or
                  [(C)] (B) rural business enterprise grants or 
                rural educational network grants under section 
                310B(c).
  (e) Federally Recognized Indian Tribe Account.--
          (1) Transfers into account.--Each fiscal year, the 
        Secretary shall transfer to the federally recognized 
        Indian tribe account of the Trust Fund 3 percent of the 
        amount deposited into the Trust Fund for the fiscal 
        year under subsection (d).
          (2) Use of funds.--The Secretary shall make available 
        to federally recognized Indian tribes the amounts in 
        the federally recognized Indian tribe account for use 
        pursuant to any authority described in subsection (d).
  (f) Allocation Among States.--The Secretary shall allocate 
the amounts in each account specified in subsection (c) among 
the States in a fair, reasonable, and appropriate manner that 
takes into consideration rural population, levels of income, 
unemployment, and other relevant factors, as determined by the 
Secretary.
  (g) Availability of Funds Allocated for States.--The 
Secretary shall make available to each State the total amount 
allocated for the State under subsection (f) that remains after 
applying section 381G.

           *       *       *       *       *       *       *


                  Subtitle F--Delta Regional Authority

SEC. 382A. DEFINITIONS.

   In this subtitle:
          (1) Authority.--The term ``Authority'' means the 
        Delta Regional Authority established by section 382B.
          (2) Region.--The term ``region'' means the Lower 
        Mississippi (as defined in section 4 of the Delta 
        Development Act (42 U.S.C. 3121 note; Public Law 100-
        460)).
          (3) Federal grant program.--The term ``Federal grant 
        program'' means a Federal grant program to provide 
        assistance in--
                  (A) acquiring or developing land;
                  (B) constructing or equipping a highway, 
                road, bridge, or facility; or
                  (C) carrying out other economic development 
                activities.
          (4) Notwithstanding any other provision of law, the 
        State of Alabama shall be a full member of the Delta 
        Regional Authority and shall be entitled to all rights 
        and privileges that said membership affords to all 
        other participating States in the Delta Regional 
        Authority.

           *       *       *       *       *       *       *


SEC. 382E. LOCAL DEVELOPMENT DISTRICTS; CERTIFICATION AND 
                    ADMINISTRATIVE EXPENSES.

  (a) Definition of Local Development District.--In this 
section, the term ``local development district'' means an 
entity that--
          (1) is--
                  (A) 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) where an entity described in subparagraph 
                (A) does not exist--
                          (i) organized and operated in a 
                        manner that ensures broad-based 
                        community participation and an 
                        effective opportunity for other 
                        nonprofit groups to contribute to the 
                        development and implementation of 
                        programs in the region;
                          (ii) governed by a policy board with 
                        at least a simple majority of members 
                        consisting of elected officials or 
                        employees of a general purpose unit of 
                        local government who have been 
                        appointed to represent the government;
                          (iii) certified to the Authority as 
                        having a charter or authority that 
                        includes the economic development of 
                        counties or parts of counties or other 
                        political subdivisions within the 
                        region--
                                  (I) by the Governor of each 
                                State in which the entity is 
                                located; or
                                  (II) by the State officer 
                                designated by the appropriate 
                                State law to make the 
                                certification; and
                          (iv)(I) a nonprofit incorporated body 
                        organized or chartered under the law of 
                        the State in which the entity is 
                        located;
                          (II) a nonprofit agency or 
                        instrumentality of a State or local 
                        government;
                          (III) a public organization 
                        established before the date of 
                        enactment of this subtitle under State 
                        law for creation of multi-
                        jurisdictional, area-wide planning 
                        organizations; or
                          (IV) a nonprofit association or 
                        combination of bodies, agencies, and 
                        instrumentalities described in 
                        subclauses (I) through (III); and
          (2) has not, as certified by the Federal 
        cochairperson--
                  (A) inappropriately used Federal grant funds 
                from any Federal source; or
                  (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 Local Development Districts.--
          (1) In general.--The Authority shall make grants for 
        administrative expenses under this section.
          (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 
                local development district receiving the grant.
                  (B) Maximum period.--No grant described in 
                paragraph (1) shall be awarded to a State 
                agency certified as a local development 
                district for a period greater than 3 years.
                  (C) Local share.--The contributions of a 
                local development district for administrative 
                expenses may be in cash or in kind, fairly 
                evaluated, including space, equipment, and 
                services.
  (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; and
          (2) serve as a liaison between State and local 
        governments, nonprofit organizations (including 
        community-based groups and educational institutions), 
        the business community, and citizens that--
                  (A) are involved in multijurisdictional 
                planning;
                  (B) provide technical assistance to local 
                jurisdictions and potential grantees; and
                  (C) provide leadership and civic development 
                assistance.

           *       *       *       *       *       *       *


SEC. 382N. TERMINATION OF AUTHORITY.

  This subtitle and the authority provided under this subtitle 
expire on October 1, [2018] 2023.

Subtitle G--Northern Great Plains Regional Authority

           *       *       *       *       *       *       *


SEC. 383G. DISTRESSED COUNTIES AND AREAS AND NONDISTRESSED COUNTIES.

  (a) Designations.--Not later than 90 days after the date of 
enactment of this subtitle, and annually thereafter, the 
Authority, in accordance with such criteria as the Authority 
may establish, shall designate--
          (1) as distressed counties, counties in the region 
        that are the most severely and persistently distressed 
        and underdeveloped and have high rates of poverty, 
        unemployment, or outmigration;
          (2) as nondistressed counties, counties in the region 
        that are not designated as distressed counties under 
        paragraph (1); and
          (3) as isolated areas of distress, areas located in 
        nondistressed counties (as designated under paragraph 
        (2)) that have high rates of poverty, unemployment, or 
        outmigration.
  (b) Distressed Counties.--
          (1) In general.--The Authority shall allocate at 
        least 50 percent of the appropriations made available 
        under section 383N for programs and projects designed 
        to serve the needs of distressed counties and isolated 
        areas of distress in the region.
          (2) Funding limitations.--The funding limitations 
        under section 383E(b) shall not apply to a project to 
        provide transportation or telecommunication or basic 
        public services to residents of 1 or more distressed 
        counties or isolated areas of distress in the region.
  (c) Transportation, [Telecommunication Renewable Energy,,] 
Telecommunication, Renewable Energy, and Basic Public 
Infrastructure.--The Authority shall allocate at least 50 
percent of any funds made available under section 383N for 
transportation, telecommunication[,,], renewable energy, and 
basic public infrastructure projects authorized under 
paragraphs (1) and (3) of section 383D(a).

           *       *       *       *       *       *       *


SEC. 383N. AUTHORIZATION OF APPROPRIATIONS.

  (a) In General.--There is authorized to be appropriated to 
the Authority to carry out this subtitle [$30,000,000 for each 
of fiscal years 2008 through 2018] $2,000,000 for each of 
fiscal years 2019 through 2023, to remain available until 
expended.
  (b) Administrative Expenses.--Not more than 5 percent of the 
amount appropriated under subsection (a) for a fiscal year 
shall be used for administrative expenses of the Authority.
  (c) Minimum State Share of Grants.--Notwithstanding any other 
provision of this subtitle, for any fiscal year, the aggregate 
amount of grants received by a State and all persons or 
entities in the State under this subtitle shall be not less 
than \1/3\ of the product obtained by multiplying--
          (1) the aggregate amount of grants under this 
        subtitle for the fiscal year; and
          (2) the ratio that--
                  (A) the population of the State (as 
                determined by the Secretary of Commerce based 
                on the most recent decennial census for which 
                data are available); bears to
                  (B) the population of the region (as so 
                determined).

SEC. 383O. TERMINATION OF AUTHORITY.

  The authority provided by this subtitle terminates effective 
October 1, [2018] 2023.

Subtitle H--Rural Business Investment Program

           *       *       *       *       *       *       *


SEC. 384S. AUTHORIZATION OF APPROPRIATIONS.

  There is authorized to be appropriated to carry out this 
subtitle $20,000,000 for each of fiscal years 2014 through 
[2018] 2023.

          [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, assistance, 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 
        development collaborations that will optimize the 
        asset-based competitive advantages of rural regions 
        with particular emphasis on innovation, 
        entrepreneurship, and the creation of quality jobs;
          [(4) to foster collaborations necessary to provide 
        the professional 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 leverage 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 investment 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).
          [(4) National institute.--The term ``National 
        Institute'' means the National Institute on Regional 
        Rural Competitiveness 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, neighborhoods, 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 
        support 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 Secretary and the National 
        Board regarding regional competitiveness 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 developed 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 established 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;
                  [(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 Investment 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; and
                  [(C) programs to support the development of 
                appropriate governance and leadership skills in 
                the region.
  [(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 Investment 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 subtitle.
  [(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 
        consist of representatives from each of--
                  [(A) nationally recognized entrepreneurship 
                organizations;
                  [(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, 
                entrepreneurship, 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 
                recommendations made by--
                          [(i) 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;
                          [(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.
          [(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 
reimbursable 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 investment 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 maximum extent practicable) 
        representatives of--
                  [(A) units of local, multijurisdictional, or 
                State government, including not more than 1 
                representative from each State in the region;
                  [(B) nonprofit community-based development 
                organizations, including community development 
                financial institutions 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 section 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 
                decennial census;
          [(5) has a membership of which not less than 25 
        percent, nor more than 40 percent, represents--
                  [(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 subparagraphs (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 
                        program aimed at increasing and 
                        diversifying economic growth, improved 
                        community facilities, and improved 
                        quality of life;
                  [(C) implement the approved regional 
                investment strategy; and
                  [(D) 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 manager 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-private 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 maximum 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.

[SEC. 385E. REGIONAL INVESTMENT STRATEGY GRANTS.

  [(a) In General.--The Secretary shall make regional 
investment strategy grants available to Regional Boards for use 
in developing, implementing, and maintaining regional 
investment strategies.
  [(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 
                performance 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 investment 
                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 
        investment 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--
                  [(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 investment 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 
        integrating 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, implementing, 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 
        benchmarks of the project in the regional rural 
        investment strategy.
  [(c) Limitations.--
          [(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 
        determining 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 
        significant 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 investment strategy, including priorities 
                that--
                          [(i) promote cross-sector 
                        collaboration, public-private 
                        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 agricultural, 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 potential of community and regional 
                foundations in support of regional investment 
                strategies;
                  [(F) demonstrate a history, or involve 
                organizations with a history, of successful 
                leveraging of capital for economic development 
                and public purposes;
                  [(G) address gaps in existing basic services, 
                including technology, within a region;
                  [(H) address economic diversification, 
                including agricultural 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 
                development 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 innovation 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 
                infrastructure (including technology deployment 
                and services) necessary 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 
                alternative 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 
                entrepreneurial 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 implement 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 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 
        determining cost-sharing requirements for any other 
        Federal program, 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 
        reimbursement 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 Strategies.--
          [(1) In general.--Subject to paragraph (3), in 
        providing rural development assistance under other 
        programs, the Secretary 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 infrastructure, 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
          [(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.]
                              ----------                              


                        FARM CREDIT ACT OF 1971



           *       *       *       *       *       *       *
                         policy and objectives

  Sec. 1.1. (a) It is declared to be the policy of the 
Congress, recognizing that a prosperous, productive agriculture 
is essential to a free nation and recognizing the growing need 
for credit in rural areas, that the farmer-owned cooperative 
Farm Credit System be designed to accomplish the objective of 
improving the income and well-being of American farmers and 
ranchers by furnishing sound, adequate, and constructive credit 
and closely related services to them, their cooperatives, and 
to selected farm-related businesses necessary for efficient 
farm operations.
  (b) It is the objective of this Act to continue to encourage 
farmer- and rancher-borrowers participation in the management, 
control, and ownership of a permanent system of credit for 
agriculture which will be responsive to the credit needs of all 
types of agricultural producers having a basis for credit, and 
to modernize and improve the authorizations and means for 
furnishing such credit and credit for housing in rural areas 
made available through the institutions constituting the Farm 
Credit System as herein provided.
  (c) It is declared to be the policy of Congress that the 
credit needs of farmers, ranchers, and their cooperatives are 
best served if the institutions of the Farm Credit System 
provide equitable and competitive interest rates to eligible 
borrowers, taking into consideration the creditworthiness and 
access to alternative sources of credit for borrowers, the cost 
of funds, [including any costs of defeasance under section 
4.8(b),] the operating costs of the institution, including the 
costs of any loan loss amortization under section 5.19(b), the 
cost of servicing loans, the need to retain earnings to protect 
borrowers' stock, and the volume of net new borrowing. Further, 
it is declared to be the policy of Congress that Farm Credit 
System institutions take action in accordance with the Farm 
Credit Act Amendments of 1986 in such manner that borrowers 
from the institutions derive the greatest benefit practicable 
from that Act: Provided, That in no case is any borrower to be 
charged a rate of interest that is below competitive market 
rates for similar loans made by private lenders to borrowers of 
equivalent creditworthiness and access to alternative credit.

SEC. 1.2. THE FARM CREDIT SYSTEM.

  [(a) Composition.--The Farm Credit System shall include the 
Farm Credit Banks, the Federal land bank associations, the 
production credit associations, the banks for cooperatives, and 
such other institutions as may be made a part of the System, 
all of which shall be chartered by and subject to regulation by 
the Farm Credit Administration.]
  (a) Composition.--The Farm Credit System shall include the 
Farm Credit Banks, banks for cooperatives, Agricultural Credit 
Banks, the Federal land bank associations, the Federal land 
credit associations, the production credit associations, the 
Agricultural Credit Associations, the Federal Farm Credit Banks 
Funding Corporation, the Federal Agricultural Mortgage 
Corporation, service corporations established pursuant to 
section 4.25 of this Act, and such other institutions as may be 
made a part of the System, all of which shall be chartered by 
and subject to regulation by the Farm Credit Administration.
  (b) Farm Credit Districts.--There shall be not more than 
twelve farm credit districts in the United States, which may be 
designated by number, one of which districts shall include the 
Commonwealth of Puerto Rico and one of which districts may, if 
authorized by the Farm Credit Administration, include the 
Virgin Islands of the United States: Provided, That the 
extension of credit and other services authorized by this Act 
in the Virgin Islands of the United States shall be undertaken 
only if determined to be feasible under regulations of the Farm 
Credit Administration. The boundaries of the twelve farm credit 
districts existing on the date of enactment of this Act may be 
readjusted from time to time by the Farm Credit Administration, 
with the concurrence of the boards of the banks in each 
district involved. Two or more districts may be merged as 
provided in section 5.17(a)(2).

           *       *       *       *       *       *       *


                   TITLE II--FARM CREDIT ASSOCIATIONS

Subtitle A--Production Credit Associations

           *       *       *       *       *       *       *


SEC. 2.4. SHORT- AND INTERMEDIATE-TERM LOANS; PARTICIPATION; OTHER 
                    FINANCIAL ASSISTANCE; TERMS; CONDITIONS; INTEREST; 
                    SECURITY.

  (a) Short- and Intermediate-Term Loans.--Each production 
credit association, under standards prescribed by the board of 
directors of the Farm Credit Bank of the district, may make, 
guarantee, or participate with other lenders in short- and 
intermediate-term loans and other similar financial assistance 
to--
          (1) bona fide farmers and ranchers and the producers 
        or harvesters of aquatic products, for agricultural or 
        aquatic purposes and other requirements of such 
        borrowers, including financing for basic processing and 
        marketing directly related to the operations of the 
        borrower and those of other eligible farmers, ranchers, 
        and producers or harvesters of aquatic products, except 
        that the operations of the borrower shall supply some 
        portion of the total processing or marketing for which 
        financing is extended, except that the aggregate of the 
        financing provided by any association for basic 
        processing and marketing directly related to the 
        operations of farmers, ranchers, and producers or 
        harvesters of aquatic products, if the operations of 
        the applicant supply less than 20 percent of the total 
        processing or marketing for which financing is 
        extended, shall not exceed 15 percent of the total of 
        all outstanding loans of all associations in the 
        district at the end of its preceding fiscal year;
          (2) rural residents for housing financing in rural 
        areas, under regulations of the Farm Credit 
        Administration; and
          (3) persons furnishing to farmers and ranchers farm-
        related services directly related to their on-farm 
        operating needs.
  (b) Rural Housing.--
          (1) In general.--Rural housing financed under this 
        subtitle shall be for single-family, moderate-priced 
        dwellings and the appurtenances of such not 
        inconsistent with the general quality and standards of 
        housing existing in, or planned or recommended for, the 
        rural area where it is located.
          (2) Limitation.--The aggregate of such housing loans 
        in an association to persons other than farmers or 
        ranchers shall not exceed 15 percent of the outstanding 
        loans at the end of its preceding fiscal year except on 
        prior approval by the Farm Credit Bank of the district. 
        The aggregate of such housing loans in any farm credit 
        district shall not exceed 15 percent of the outstanding 
        loans of all associations in the district at the end of 
        the preceding fiscal year.
          (3) Rural areas.--For rural housing purposes under 
        this section the term ``rural areas'' shall not be 
        defined to include any city or village having a 
        population in excess of 2,500 inhabitants.
          (4) Equipment.--Each association may own and lease, 
        or lease with option to purchase, to stockholders of 
        the association equipment needed in the operations of 
        the stockholder.
  (c) Interest Rates and Charges.--
          (1) In general.--Loans authorized in subsection (a) 
        hereof shall bear such rate or rates of interest as are 
        determined under standards prescribed by the board of 
        the bank subject to the provisions of section 4.17 of 
        this Act, and shall be made upon such terms, 
        conditions, and upon such security, if any, as shall be 
        authorized in such standards.
          (2) Setting of rates.--In setting rates and charges, 
        it shall be the objective to provide the types of 
        credit needed by eligible borrowers, at the lowest 
        reasonable cost on a sound business basis, taking into 
        account the cost of money to the association, necessary 
        reserves and expenses of the association, and services 
        provided to borrowers and members.
          (3) Varying rates.--The loan documents may provide 
        for the interest rate or rates to vary from time to 
        time during the repayment period of the loan in 
        accordance with the rate or rates currently being 
        charged by the association.
          (4) Prior approval.--Such standards may require prior 
        approval of the bank on certain classes of loans, and 
        may authorize a continuing commitment to a borrower of 
        a line of credit.
  [(d) Special District Rule.--
          [(1) Provision of credit and technical assistance 
        outside service territory.--Notwithstanding any 
        territorial limitation in the chapter of a production 
        credit association located in a district in which there 
        are only two such associations, the Farm Credit 
        Administration Board, on request of such association, 
        may permit such association to provide credit and 
        technical assistance to any borrower who is denied 
        credit by the other production credit association in 
        the district if the Board determines that such other 
        production credit association in the district is unduly 
        restrictive in the application of credit standards.
          [(2) Timing of determination.--If the Farm Credit 
        Administration Board approves the extension of credit 
        and technical assistance under paragraph (1), the 
        association shall approve or deny the application for 
        credit within 90 days after receipt of the application 
        from the borrower.]

           *       *       *       *       *       *       *


                   TITLE III--BANKS FOR COOPERATIVES

                     Part A--Banks for Cooperatives

  Sec. 3.0. Establishment; Titles; Branches.--(a) The banks for 
cooperatives established pursuant to sections 2 and 30 of the 
Farm Credit Act of 1933, as amended, shall continue as 
federally chartered instrumentalities of the United States. The 
Farm Credit Administration shall approve amendments consistent 
with this Act to charters and organizational certificates of 
banks for cooperatives. Unless an existing bank for 
cooperatives is merged with another bank, there shall be a bank 
for cooperatives in each farm credit district [and a Central 
Bank for Cooperatives]. A bank for cooperatives may include in 
its title the name of the city in which it is located or other 
geographical designation. [The Central Bank for Cooperatives 
may be located in such place as its board of directors may 
determine with the approval of the Farm Credit Administration.] 
When authorized by the Farm Credit Administration each bank for 
cooperatives may establish such branches or other offices as 
may be appropriate for the effective operation of its business.
  (b) Each bank for cooperatives shall elect from its voting 
stockholders a board of directors of such number, for such 
term, in such manner, and with such qualifications as may be 
required in its bylaws, except that, at least one member shall 
be elected by the other directors, which member shall not be a 
director, officer, employee, or stockholder of a System 
institution.

           *       *       *       *       *       *       *

  Sec. 3.2. Board of Directors.--
  (a)[(1)] Each bank for cooperatives [not merged into the 
United Bank for Cooperatives or the National Bank for 
Cooperatives] shall elect a board of directors of such number, 
for such term, in such manner, and with such qualifications as 
may be required in its bylaws, except that at least one member 
shall be elected by the other directors, which member shall not 
be a director, officer, employee, or stockholder of a System 
institution. Section 7.12(c) shall apply to the board of 
directors of a merged bank for cooperatives.
  [(2)(A)] (b)(1) If approved by the stockholders through a 
bylaw amendment, the nomination and election of one member from 
a bank for cooperatives [(other than the National Bank for 
Cooperatives)] shall be carried out with each voting 
stockholder of a bank for cooperatives having one vote, plus a 
number of votes (or fractional part thereof) equal to--
                  [(i)] (A) the number of stockholders eligible 
                to vote; multiplied by
                  [(ii)] (B) the percentage (or fractional part 
                thereof) of the total equity interest 
                (including allocated, but not unallocated, 
                surplus and reserves) in the bank of all 
                stockholders held by the individual voting 
                stockholder at the close of the immediately 
                preceding fiscal year of the bank.
          [(B)] (2) The total number of votes under this 
        [paragraph] subsection shall be the number of voting 
        stockholders of a bank for cooperatives multiplied by 
        two.
  [(b) The board of directors of the Central Bank for 
Cooperatives shall consist of one member elected by the board 
of each bank for cooperatives, including the United Bank for 
Cooperatives if the Central Bank for Cooperatives is not merged 
into such bank, and one member appointed by the Farm Credit 
Administration.]

           *       *       *       *       *       *       *

  Sec. 3.5. Retirement of Stock.--Nonvoting investment stock 
and participation certificates may be called for retirement at 
par. With the approval of the issuing bank, the holder may 
elect not to have the called stock or participation 
certificates retired in response to a call, reserving the right 
to have such stock or participation certificates included in 
the next call for retirement. Voting stock may also be retired 
at par, on call or on such revolving basis as the board may 
determine with due regard for its total capital needs: 
Provided, however, That all equities in the [district] banks 
issued or allocated with respect to the year of the enactment 
of this Act and prior years shall be retired on a revolving 
basis according to the year of issue with the oldest 
outstanding equities being first retired. Equities issued for 
subsequent years shall not be called or retired until equities 
described in the preceding sentence of this proviso have been 
retired.

           *       *       *       *       *       *       *

  Sec. 3.7. Lending Power.--(a) The banks for cooperatives are 
authorized to make loans and commitments to eligible 
cooperative associations and to extend to them other technical 
and financial assistance at any time (whether or not they have 
a loan from the bank outstanding), including but not limited to 
discounting notes and other obligations, guarantees, currency 
exchange necessary to service individual transactions that may 
be financed under subsection (b) of this section, collateral 
custody, or participation with other banks for cooperatives and 
commercial banks or other financial institutions in loans to 
eligible cooperatives, under such terms and conditions as may 
be determined to be feasible by the board of directors of each 
bank for cooperatives under regulations of the Farm Credit 
Administration. [Such regulations may include provisions for 
avoiding duplication between the Central Bank and district 
banks for cooperatives.] Each bank may own and lease, or lease 
with option to purchase, to stockholders eligible to borrow 
from the bank equipment needed in the operations of the 
stockholder and may make or participate in loans or commitments 
and extend other technical and financial assistance to other 
domestic parties for the acquisition of equipment and 
facilities to be leased to such stockholders for use in their 
operations in the United States.
  (b)(1) A bank for cooperatives is authorized to make or 
participate in loans and commitments to, and to extend other 
technical and financial assistance to a domestic or foreign 
party with respect to its transactions with an association that 
is a voting stockholder of the bank for the import of 
agricultural commodities or products thereof, agricultural 
supplies, or aquatic products through purchases, sales or 
exchanges, if the bank for cooperatives determines, under 
regulations of the Farm Credit Administration, that the voting 
stockholder will benefit substantially as a result of such 
loan, commitment, or assistance.
  (2)(A) A bank for cooperatives may make or participate in 
loans and commitments to, and extend other technical and 
financial assistance to--
          (i) any domestic or foreign party for the export, 
        including (where applicable) the cost of freight, of 
        agricultural commodities or products thereof, 
        agricultural supplies, or aquatic products from the 
        United States under policies and procedures established 
        by the bank to ensure that the commodities, products, 
        or supplies are originally sourced, where reasonably 
        available, from one or more eligible cooperative 
        associations described in section 3.8(a) on a priority 
        basis, except that if the total amount of the balances 
        outstanding on loans made by a bank under this clause 
        that--
                  (I) are made to finance the export of 
                commodities, products, or supplies that are not 
                originally sourced from a cooperative, and
                  (II) are not guaranteed or insured, in an 
                amount equal to at least 95 percent of the 
                amount loaned, by a department, agency, bureau, 
                board, commission, or establishment of the 
                United States or a corporation wholly-owned 
                directly or indirectly by the United States,
        exceeds an amount that is equal to 50 percent of the 
        bank's capital, then a sufficient interest in the loans 
        shall be sold by the bank for cooperatives to 
        commercial banks and other non-System lenders to reduce 
        the total amount of such outstanding balances to an 
        amount not greater than an amount equal to 50 percent 
        of the bank's capital; and
          (ii) except as provided in subparagraph (B), any 
        domestic or foreign party in which an eligible 
        cooperative association described in section 3.8(a) 
        (including, for the purpose of facilitating its 
        domestic business operations only, a cooperative or 
        other entity described in section 3.8(b)(1)(A)) has an 
        ownership interest, for the purpose of facilitating the 
        domestic or foreign business operations of the 
        association, except that if the ownership interest by 
        an eligible cooperative association, or associations, 
        is less than 50 percent, the financing shall be limited 
        to the percentage held in the party by the association 
        or associations.
  (B) A bank for cooperatives shall not use the authority 
provided in subparagraph (A)(ii) to provide financial 
assistance to a party for the purpose of financing the 
relocation of a plant or facility from the United States to 
another country.
  (3) A bank for cooperatives is authorized to provide such 
services as may be customary and normal in maintaining 
relationships with domestic or foreign entities to facilitate 
the activities specified in paragraphs (1) and (2), consistent 
with this Act.
          (4) Definition of agricultural supply.--In this 
        subsection, the term ``agricultural supply'' includes--
                  (A) a farm supply; and
                  (B)(i) agriculture-related processing 
                equipment;
                  (ii) agriculture-related machinery; and
                  (iii) other capital goods related to the 
                storage or handling of agricultural commodities 
                or products.
  (c) Loans, commitments, and assistance authorized by 
subsection (b) of this section shall be extended in accordance 
with policies adopted by the board of directors of the bank 
under regulations of the Farm Credit Administration.
  (d) The regulations of the Farm Credit Administration 
implementing subsection (b) of this section and the other 
provisions of this title relating to the authority under 
subsection (b) of this section may not confer upon the banks 
for cooperatives powers and authorities greater than those 
specified in this title. The Farm Credit Administration shall, 
during the formulation of such regulations, closely consult on 
a continuing basis with the Board of Governors of the Federal 
Reserve System to ensure that such regulations conform to 
national banking policies, objectives, and limitations.
  (e) Notwithstanding any other provision of this title, the 
banks for cooperatives shall not make or participate in loans 
or commitments for the purpose of financing speculative futures 
transactions by eligible borrowers in foreign currencies.
  (f) The banks for cooperatives may, for the purpose of 
installing, maintaining, expanding, improving, or operating 
water and waste disposal facilities in rural areas, make and 
participate in loans and commitments and extending other 
technical and financial assistance to--
          (1) cooperatives formed specifically for the purpose 
        of establishing or operating such facilities; and
          (2) public and quasi-public agencies and bodies, and 
        other public and private entities that, under authority 
        of State or local law, establish or operate such 
        facilities.
For purposes of this subsection, the term ``rural area'' means 
all territory of a State that is not within the outer boundary 
of any city or town having a population of more than 20,000 
based on the latest decennial census of the United States.
  Sec. 3.8. Eligibility.--(a) Any association of farmers, 
producers or harvesters of aquatic products, or any federation 
of such associations, which is operated on a cooperative basis, 
and has the powers for processing, preparing for market, 
handling, or marketing farm or aquatic products; or for 
purchasing, testing, grading, processing, distributing, or 
furnishing farm or aquatic supplies or furnishing farm or 
aquatic business services or services to eligible cooperatives 
and conforms to either of the two following requirements:
          (1) no member of the association is allowed more than 
        one vote because of the amount of stock or membership 
        capital he may own therein; or
          (2) does not pay dividends on stock or membership 
        capital in excess of such per centum per annum as may 
        be approved under regulations of the Farm Credit 
        Administration; and in any case
          (3) does not deal in farm products or aquatic 
        products, or products processed therefrom, farm or 
        aquatic supplies, farm or aquatic business services, or 
        services to eligible cooperatives with or for 
        nonmembers in an amount greater in value than the total 
        amount of such business transacted by it with or for 
        members, excluding from the total of member and 
        nonmember business transactions with the United States 
        or any agency or instrumentality thereof or services or 
        supplies furnished as a public utility; and
          (4) a percentage of the voting control of the 
        association not less than 80 per centum (60 per centum 
        (A) in the case of rural electric, telephone, public 
        utility, and service cooperatives; (B) in the case of 
        local farm supply cooperatives that have historically 
        served needs of the community that would not adequately 
        be served by other suppliers and have experienced a 
        reduction in the percentage of farmer membership due to 
        changed circumstances beyond their control such as, but 
        not limited to, urbanization of the community; and (C) 
        in the case of local farm supply cooperatives that 
        provide or will provide needed services to a community 
        and that are or will be in competition with a 
        cooperative specified in paragraph (B)) or, with 
        respect to any type of association or cooperative, such 
        higher percentage as established by the bank board, is 
        held by farmers, producers or harvesters of aquatic 
        products, or eligible cooperative associations as 
        defined herein;
shall be eligible to borrow from a bank for cooperatives. Any 
such association that has received a loan from a bank for 
cooperatives shall, without regard to the requirements of 
paragraphs (1) through (4), continue to be eligible for so long 
as more than 50 percent (or such higher percentage as is 
established by the bank board) of the voting control of the 
association is held by farmers, producers or harvesters of 
aquatic products, or eligible cooperative associations.
  (b) Notwithstanding any other provision of this section:
          (1) The following entities shall also be eligible to 
        borrow from a bank for cooperatives:
                  (A) Cooperatives and other entities that have 
                received a loan, loan commitment, or loan 
                guarantee from the Rural Electrification 
                Administration (or successor agency), [or a 
                loan or loan commitment from the Rural 
                Telephone Bank,] or that are eligible under the 
                Rural Electrification Act of 1936 (7 U.S.C. 901 
                et seq.) for a loan, loan commitment, or loan 
                guarantee from the Administration or the Bank 
                (or a successor of the Administration or the 
                Bank), and subsidiaries of such cooperatives or 
                other entities.
                  (B) Any legal entity that (i) holds more than 
                50 percent of the voting control of an 
                association or other entity that is eligible to 
                borrow from a bank for cooperatives under 
                subsection (a) or subparagraph (A) of this 
                paragraph, and (ii) borrows for the purpose of 
                making funds available to that association or 
                entity, and makes funds available to that 
                association or entity under the same terms and 
                conditions that the funds are borrowed from a 
                bank for cooperatives.
                  (C) Any cooperative or other entity described 
                in subsection (b) or (f) of section 3.7.
                  (D) Any creditworthy private entity that 
                satisfies the requirements for a service 
                cooperative under paragraphs (1), (2), and (4), 
                or under the last sentence, of subsection (a) 
                and subsidiaries of the entity, if the entity 
                is organized to benefit agriculture in 
                furtherance of the welfare of its farmer-
                members and is operated on a not-for-profit 
                basis.
          (2) Notwithstanding the provisions of section 3.9, 
        the board of directors of a bank for cooperatives may 
        determine that, with respect to a loan to any borrower 
        eligible to borrow from a bank under paragraph (1)(A) 
        that is fully guaranteed by the United States, no stock 
        purchase requirement shall apply, other than the 
        requirement that a borrower eligible to own voting 
        stock shall purchase one share of such stock.
          (3) Each association and other entity eligible to 
        borrow from a bank for cooperatives under this 
        subsection, for purposes of section 3.7(a), shall be 
        treated as an eligible cooperative association and a 
        stockholder eligible to borrow from the bank.
          (4) Nothing in this subsection shall be construed to 
        adversely affect the eligibility, as it existed on the 
        date of the enactment of this subsection, of 
        cooperatives and other entities for any other credit 
        assistance under Federal law.
  Sec. 3.9. Ownership of Stock by Borrowers.--(a) Each borrower 
entitled to hold voting stock shall, at the time a loan is made 
by a bank for cooperatives, own at least one share of voting 
stock and shall be required by the bank to invest in additional 
voting stock or nonvoting investment stock at that time, or 
from time to time, as the lending bank may determine, but the 
requirement for investment in stock at the time the loan is 
closed shall not exceed an amount equal to 10 per centum of the 
face amount of the loan. Such additional ownership requirements 
may be based on the face amount of the loan, the outstanding 
loan balance or on a percentage of the interest payable by the 
borrower during any year or during any quarter thereof, or upon 
such other basis as the bank determines will provide adequate 
capital for the operation of the bank and equitable ownership 
thereof among borrowers. [In the case of a direct loan by the 
Central Bank, the borrower shall be required to own or invest 
in the necessary stock in a district bank or banks and such 
district bank shall be required to own a corresponding amount 
of stock in the Central Bank, but voting stock shall be in the 
one district bank designated by the Farm Credit 
Administration.]
  (b) Notwithstanding the provisions of subsection (a) of this 
section, the purchase of stock need not be required with 
respect to that part of any loan made by a bank for 
cooperatives which it sells to or makes in participation with 
financial institutions other than any of the banks for 
cooperatives. In such cases the distribution of earnings of the 
bank for cooperatives shall be on the basis of the interest in 
the loan retained by such bank.
  Sec. 3.10. Interest Rates; Security; Lien; Cancellation; and 
Application on Indebtedness.--(a) Loans made by a bank for 
cooperatives shall bear interest at a rate or rates determined 
by the board of directors of the bank from time to time. In 
setting rates and charges, it shall be the objective to provide 
the types of credit needed by eligible borrowers at the lowest 
reasonable cost on a sound business basis, taking into account 
the net cost of money to the bank, necessary reserves and 
expenses of the bank, and services provided. The loan documents 
may provide for the interest rate or rates to vary from time to 
time during the repayment period of the loan, in accordance 
with the rate or rates currently being charged by the bank.
  (b) Loans shall be made upon such terms, conditions, and 
security, if any, as may be determined by the bank in 
accordance with regulations of the Farm Credit Administration.
  (c) Each bank for cooperatives shall have a first lien on all 
stock or other equities in the bank as collateral for the 
payment of any indebtedness of the owner thereof to the bank. 
[In the case of a direct loan to an eligible cooperative by the 
Central Bank, the Central Bank shall have a first lien on the 
stock and equities of the borrower in the district bank and the 
district bank shall have a lien thereon junior only to the lien 
of the Central Bank.]
  (d) In any case where the debt of a borrower is in default, 
or in any case of liquidation or dissolution of a present or 
former borrower from a bank for cooperatives, the bank may, but 
shall not be required to, retire and cancel all or a part of 
the stock, allocated surplus or contingency reserves, or any 
other equity in the bank owned by or allocated to such 
borrower, at the fair market value thereof not exceeding par, 
and, to the extent required in such cases, corresponding shares 
and allocations and other equity interests held by a [district] 
bank in another [district] bank for cooperatives or successor 
bank on account of such indebtedness, shall be retired or 
equitably adjusted. In no event shall the bank's equities be 
retired or canceled if the retirement or cancellation would 
adversely affect the bank's capital structure, as determined by 
the Farm Credit Administration.
  Sec. 3.11. Earnings and Reserves; Application of Savings.--
  (a) At the end of each fiscal year, the net savings shall, 
under regulations prescribed by the Farm Credit Administration, 
continue to be applied on a cooperative basis with provision 
for sound, adequate capitalization to meet the changing 
financing needs of eligible cooperative borrowers and prudent 
corporate fiscal management, to the end that current year's 
patrons carry their fair share of the capitalization, ultimate 
expenses, and reserves related to the year's operations and the 
remaining net savings shall be distributed as patronage refunds 
as provided in [subsections (b) and (c)] subsection (b) of this 
section. Such regulations may provide for application of net 
savings to the restoration or maintenance of an allocated 
surplus account, reasonable additions to unallocated surplus, 
or to unallocated reserves after payment of operating expenses, 
and provide for allocations to patrons not qualified under the 
Internal Revenue Code, or payment of such per centum of 
patronage refunds in cash, as the board may determine.
  (b) The net savings of each [district] bank for cooperatives, 
after the earnings for the fiscal year have been applied in 
accordance with subsection (a) shall be paid in stock, 
participation certificates, or cash, or in any of them, as 
determined by its board, as patronage refunds to borrowers to 
whom such refunds are payable who are borrowers of the fiscal 
year for which such patronage refunds are distributed. [Except 
as provided in subsection (c) below, all] All patronage refunds 
shall be paid in proportion that the amount of interest and 
service fees on the loans to each borrower during the year 
bears to the interest and service fees on the loans of all 
borrowers during the year or on such other proportionate 
patronage basis as may be approved by the board of directors.
  [(c) The net savings of the Central Bank for Cooperatives 
after the earnings for the fiscal year have been applied in 
accordance with subsection (a) shall be paid in stock or cash, 
or both, as determined by the board, as patronage refunds to 
the district banks on the basis of interest held by the Central 
Bank in loans made by the district banks and upon any direct 
loans made by the Central Bank to cooperative associations, or 
on such other proportionate patronage basis as may be approved 
by the board of directors. In cases of direct loans, such 
refund shall be paid to the district bank or banks which issued 
their stock to the borrower incident to such loans, and the 
district bank or banks shall issue a like amount of patronage 
refunds to the borrower.
  [(d)] (c) In the event of a net loss in any fiscal year after 
providing for all operating expenses (including reasonable 
valuation reserves and losses in excess of any applicable 
reserves), such loss may be carried forward or carried back, if 
appropriate, or otherwise shall be absorbed by charges to 
unallocated reserve or surplus accounts established after the 
date of enactment of this Act; charges to allocated contingency 
reserve account; charges to allocated surplus accounts; charges 
to other contingency reserve and surplus accounts; the 
impairment of voting stock; or the impairment of all other 
stock.
  [(e)] (d) Notwithstanding any other provisions of this 
section any costs or expenses attributable to a prior year or 
years but not recognized in determining the net savings for 
such year or years may be charged to reserves or surplus of the 
bank or to patronage allocations for such years, as may be 
determined by the board of directors.
  [(f)] (e) A bank for cooperatives may pay in cash such 
portion of its patronage refunds as will permit its taxable 
income to be determined without taking into account savings 
applied as allocated surplus, allocated contingency reserves, 
and patronage refunds under subsection (a) of this section.

           *       *       *       *       *       *       *


         Part B-- [United and] National Banks for Cooperatives

SEC. 3.20. CHARTER, POWERS, AND OPERATION.

  (a) Charter.--The National Bank for Cooperatives [or the 
United Bank for Cooperatives, as the case may be] (hereinafter 
in this part referred to as the consolidated bank), established 
under section 413 of the Agricultural Credit Act of 1987, shall 
be a federally chartered instrumentality of the United States 
and an institution of the Farm Credit System.
  (b) Powers.--The consolidated bank and the board of directors 
of such bank shall have all of the powers, rights, 
responsibilities, and obligations of [the district banks for 
cooperatives and the Central Bank for Cooperatives] all 
constituent banks referred to in section 413 of the 
Agricultural Credit Act of 1987 and the boards of directors of 
such banks, except as otherwise provided for in this Act.
  (c) Operation.--The consolidated bank shall be organized and 
operated on a cooperative basis.

[SEC. 3.21. BOARD OF DIRECTORS PROVISIONS.

  [(a) Initial Board of Directors.--The initial board of 
directors of a consolidated bank shall include the members of 
the boards of directors of the farm credit districts who were 
elected by voting stockholders of the constituent district 
banks for cooperatives (as such banks existed on the date of 
the enactment of this section) and who shall serve out the 
terms for which they were elected.
  [(b) Permanent Board of Directors.--
          [(1) Composition.--The permanent board of directors 
        of a consolidated bank shall consist of--
                  [(A) three members, elected by the voting 
                stockholders of the consolidated bank, from 
                each of the farm credit districts that had been 
                served by constituent banks, as such districts 
                existed on the date of the enactment of this 
                section, at least one of whom, from each such 
                district, shall be a farmer;
                  [(B) one member elected by the voting 
                stockholders of each district bank for 
                cooperatives that is not a constituent of the 
                consolidated bank; and
                  [(C) one member appointed by the members 
                chosen under subparagraphs (A) and (B) who 
                shall not be a stockholder or borrower of a 
                System institution or an officer or director of 
                any such stockholder or borrower.
          [(2) Nomination and election.--For purposes of 
        nominating and electing members of the board of 
        directors under paragraph (1)(A):
                  [(A) First member.--The nomination and 
                election of the first member from each district 
                shall be carried out on the basis provided for 
                in section 3.3(d).
                  [(B) Second member.--
                          [(i) In general.--The nomination and 
                        election of the second member from each 
                        district shall be carried out with each 
                        voting stockholder of the consolidated 
                        bank located in the district having one 
                        vote, plus a number of votes (or 
                        fractional part thereof) equal to the 
                        number of stockholders eligible to vote 
                        in that district multiplied by the 
                        percentage (or fractional part thereof) 
                        of the total equity interest (including 
                        allocated, but not unallocated, surplus 
                        and reserves) in the consolidated bank 
                        of all such stockholders located in 
                        that district held by the individual 
                        voting stockholder--
                                  [(I) at the close of the 
                                immediately preceding fiscal 
                                year of the consolidated bank; 
                                or
                                  [(II) with respect to the 
                                first election held under this 
                                subsection, as of such date as 
                                the Farm Credit Administration 
                                shall prescribe.
                          [(ii) Total number of votes.--The 
                        total number of votes for each district 
                        under this subparagraph shall be the 
                        number of voting stockholders of the 
                        consolidated bank located in the 
                        district multiplied by two.
                  [(C) Third member.--The nomination and 
                election of the third member from each district 
                shall be carried out in accordance with 
                procedures prescribed in the bylaws of the 
                consolidated bank.
          [(3) Terms.--
                  [(A) In general.--The members of the board of 
                directors of the consolidated bank shall serve 
                for a term of 3 years.
                  [(B) Timing of elections.--Procedures for 
                electing members of the board of directors of 
                the consolidated bank under this subsection 
                shall ensure that the beginning of the terms of 
                such members coincide with the expiration of 
                the terms of members of the interim board of 
                directors of the bank under subsection (a).
          [(4) FCA regulations.--The nomination and election of 
        the members of the board of directors of the 
        consolidated bank under this subsection shall be 
        carried out in accordance with regulations issued by 
        the Farm Credit Administration.
  [(c) Modification of Board of Directors Provisions.--The 
provisions of subsection (b) relating to the board of directors 
of the consolidated bank, other than the provisions relating to 
the initial composition, nomination, and election of the 
members of the board, may be modified on an affirmative vote of 
at least two-thirds of the voting stockholders of the bank, 
with each such stockholder to have, for such purposes, only one 
vote. Any proposals for modifying such provisions shall be 
submitted for a vote by such stockholders in accordance with 
procedures prescribed by the Farm Credit Administration.]

           *       *       *       *       *       *       *


SEC. 3.28. LENDING LIMITS.

  The Farm Credit Administration may not establish lending 
limits for the consolidated bank with respect to any loans or 
borrowers that are more restrictive than the combined lending 
limits that were previously established by the Farm Credit 
Administration for [a district bank for cooperatives and the 
Central Bank for Cooperatives] its constituent banks referred 
to in section 413 of the Agricultural Credit Act of 1987 with 
respect to such loans or borrowers.

[SEC. 3.29. REPORTS BY MERGED BANKS FOR COOPERATIVES.

  [(a) In General.--When two or more banks for cooperatives 
merge, the resulting bank shall, not later than December 31 of 
each year of the succeeding 5 years following the date of the 
merger, file an annual report with the Farm Credit 
Administration that--
          [(1) analyzes the effect of the merger;
          [(2) includes a breakdown of loans outstanding 
        according to the size of the cooperative stockholders 
        of the bank; and
          [(3) describes the adequacy of credit and other 
        assistance services provided smaller cooperatives.
  [(b) Availability.--A copy of the report required in 
subsection (a) shall be made available to the Committee on 
Agriculture of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate.]

TITLE IV--PROVISIONS APPLICABLE TO TWO OR MORE CLASSES OF INSTITUTIONS 
                             OF THE SYSTEM

                            Part A--Funding

[SEC. 4.0. REVOLVING FUND.

  [The revolving fund established by this section (in effect 
immediately before the date of the enactment of the 
Agricultural Credit Act of 1987) shall be available to the Farm 
Credit Administration and the Assistance Board during the 
periods, and for the purposes, provided for in sections 6.13 
and 6.7, respectively.]

           *       *       *       *       *       *       *

  Sec. 4.8. Purchase and Sale of Obligations.--[(a)] Each bank 
of the System may purchase its own obligations and the 
obligations of other banks of the System and may provide for 
the sale of obligations issued by it, consolidated obligations, 
or System-wide obligations through a fiscal agent or agents, by 
negotiation, offer, bid, syndicate sale, and to deliver such 
obligations by book entry, wire transfer, or such other means 
as may be appropriate.
  [(b) Through December 31, 1992, each bank of the System, in 
addition to purchasing obligations as authorized by this Act, 
may, with the prior approval of the Farm Credit Administration 
and subject to such conditions as it may establish, (1) reduce 
the cost of its borrowings by doing one or more of the 
following: (A) contracting with a third party, or an entity 
that is established as a limited purpose System institution 
under section 4.25 and that is not to be included in the 
combined financial statements of other System institutions, 
with respect to the payment of interest on the bank's 
obligations and the obligations of other banks incurred before 
January 1, 1985, in consideration of the payment of market 
interest rates on such obligations, plus a premium, or (B) for 
the period July 1, 1986, through December 31, 1992, 
capitalizing interest costs on obligations incurred before 
January 1, 1985, in excess of the estimated interest costs on 
an equivalent amount of Farm Credit System obligations at 
prevailing market rates on such obligations of similar 
maturities as of the date of the enactment of this subsection, 
or (C) taking other similar action; and (2) amortize, over a 
period of not to exceed 20 years, the capitalization of the 
premium, capitalization of interest expense, or like costs of 
any action taken under clause (1).]

SEC. 4.9. FEDERAL FARM CREDIT BANKS FUNDING CORPORATION.

  (a) Establishment.--There is hereby established the Federal 
Farm Credit Banks Funding Corporation (hereinafter in this 
section referred to as the ``Corporation''), which shall be an 
institution of the Farm Credit System.
  (b) Duties.--The Corporation--
          (1) shall issue, market, and handle the obligations 
        of the banks of the Farm Credit System, and interbank 
        or intersystem flow of funds as may from time to time 
        be required;
          (2) acting for the banks of the Farm Credit System, 
        subject to approval of the Farm Credit Administration, 
        shall determine the amount, maturities, rates of 
        interest, terms, and conditions of participation by the 
        several banks in each issue of joint, consolidated, or 
        System-wide obligations; and
          (3) shall exercise such other powers as were provided 
        to the predecessor Federal Farm Credit Banks Funding 
        Corporation in accordance with its charter issued under 
        section 4.25, in effect immediately before the date of 
        the enactment of the Agricultural Credit Act of 1987.
  (c) Officers and Committees.--
          (1) Designation.--The board of directors may 
        designate such officers and committees for such terms 
        and such purposes as may be agreed on by the board.
          (2) Issuance of obligations.--When appropriate to the 
        board's functions under this section, a committee of 
        the board of directors of the Corporation, or 
        representatives thereof, may act on behalf of the board 
        in connection with the issuance of joint, consolidated, 
        and System-wide obligations.
  (d) Board of Directors.--
          (1) Composition.--The board of directors shall be 
        composed of nine voting members and one nonvoting 
        member, as follows:
                  (A) Four voting members shall be current or 
                former directors of the System banks elected by 
                the shareholders of the Corporation.
                  (B) Three voting members shall be chief 
                executive officers or presidents of System 
                banks elected by the shareholders of the 
                Corporation.
                  (C) Two voting members shall be appointed by 
                the members elected under subparagraphs (A) and 
                (B) after the elected members have received 
                recommendations for such appointments from, and 
                consulted with, the Secretary of the Treasury 
                and the Chairman of the Board of Governors of 
                the Federal Reserve System. The appointed 
                members shall be selected from United States 
                citizens--
                          (i) who are not borrowers from, 
                        shareholders in, or employees or agents 
                        of any System institution, who are not 
                        affiliated with the Farm Credit 
                        Administration, and who are not 
                        actively engaged with a bank or 
                        investment organization that is a 
                        member of the Corporation's selling 
                        group for System-wide securities; and
                          (ii) who are experienced or 
                        knowledgeable in corporate and public 
                        finance, agricultural economics, and 
                        financial reporting and disclosure.
                  (D) The president of the Corporation shall 
                serve as a nonvoting member of the board.
        In selecting candidates under subparagraphs (A) and 
        (B), due consideration shall be given to choosing 
        individuals knowledgeable in agricultural economics, 
        public and corporate finance, and financial reporting 
        and disclosure.
          [(2) Non-voting representatives.--
                  [(A) Assistance board.--During the period in 
                which the Assistance Board is in existence, the 
                board of directors of the Assistance Board 
                shall designate one of its directors to serve 
                as a non-voting representative to the board of 
                directors of the Corporation.
                  [(B) Meetings.--The person designated by the 
                Assistance Board under subparagraph (A) may 
                attend and participate in all deliberations of 
                the board of directors of the Corporation.
                  [(C) Termination of assistance board.--After 
                termination of the Assistance Board, neither 
                the Assistance Board nor its successor, the 
                Farm Credit System Insurance Corporation, shall 
                have any representation on the board of 
                directors of the Corporation.]
          (2) Representation on board.--The Farm Credit System 
        Insurance Corporation shall have no representation on 
        the board of directors of the Corporation.
  [(e) Transitional Authority.--Until a majority of the voting 
members of the board of directors of the Corporation is 
elected, which shall occur as soon as is practicable after the 
enactment of this section--
          [(1) the finance committee established under section 
        4.5 in effect before the date of the enactment of this 
        section, and the fiscal agency established under 
        section 4.9 in effect before such date of enactment, 
        shall continue to operate as if this section had not 
        been enacted; and
          [(2) the board of directors of the predecessor 
        Federal Farm Credit Banks Funding Corporation shall be 
        the board of directors of the Financial Assistance 
        Corporation.
  [(f)] (e) Succession.--
          (1) Assets and liabilities.--The Corporation shall, 
        by operation of law and without any further action by 
        the Farm Credit Administration, the predecessor Federal 
        Farm Credit Banks Funding Corporation (hereinafter 
        referred to in this subsection as ``the predecessor 
        corporation'') chartered under this Act, or any court, 
        succeed to the assets of and assume all debts, 
        obligations, contracts, and other liabilities of the 
        predecessor corporation, matured or unmatured, accrued, 
        absolute, contingent or otherwise, and whether or not 
        reflected or reserved against on balance sheets, books 
        of account, or records of the predecessor corporation.
          (2) Contracts.--The existing contractual obligations, 
        security instruments, and title instruments of the 
        predecessor corporation shall, by operation of law and 
        without any further action by the Farm Credit 
        Administration, the predecessor corporation, or any 
        court, become and be converted into obligations, 
        entitlements, and instruments of the Corporation.
          (3) Stock.--The stock of the predecessor corporation, 
        issued before the date of the enactment of this section 
        shall, by operation of law and without any further 
        action by the Farm Credit Administration, the 
        predecessor corporation, or any court, become and be 
        converted into stock of the Corporation established by 
        this section.
          (4) Taxation.--The succession to assets, assumption 
        of liabilities, conversion of obligations, instruments, 
        and stock, and effectuation of any other transaction by 
        the Corporation to carry out this subsection shall not 
        be treated as a taxable event under the laws of any 
        State or political subdivision thereof.

SEC. 4.9A. PROTECTION OF BORROWER STOCK.

  (a) Retirement of Stock.--Notwithstanding any other section 
of this Act, each institution of the Farm Credit System, when 
retiring eligible borrower stock in accordance with this Act, 
shall retire such stock at par value.
  (b) Certain Powers Not Affected.--This section does not 
affect the authority of any institution of the Farm Credit 
System--
          (1) to retire or cancel borrower stock at part value 
        for application against a loan in default;
          (2) to cancel borrow stock at par value under section 
        4.14B; or
          (3) to apply, against any outstanding indebtedness to 
        a System association arising out of or in connection 
        with a liquidation referred to in subsection (d)(2), 
        the par value of borrower stock frozen in such 
        liquidation.
  [(c) Inability to Retire Stock at Par Value.--If an 
institution is unable to retire eligible borrower stock at par 
value due to the liquidation of the institution, the receiver 
of the institution shall retire such stock at par value as 
would have been retired in the ordinary course of business of 
the institution, and--
          [(1) during the 5-year period beginning on the date 
        of the enactment of the Agricultural Credit Act of 
        1987, the Assistance Board shall direct the Financial 
        Assistance Corporation to provide the receiver with 
        sufficient funds to enable the receiver to carry out 
        this subsection; and
          [(2) after such 5-year period, the Farm Credit System 
        Insurance Corporation shall provide the receiver with 
        sufficient funds from the Farm Credit Insurance Fund to 
        enable the receiver to carry out this subsection.]
  (c) Inability to Retire Stock at Par Value.--If an 
institution is unable to retire eligible borrower stock at par 
value due to the liquidation of the institution, the Farm 
Credit System Insurance Corporation, acting as receiver, shall 
retire such stock at par value as would have been retired in 
the ordinary course of business of the institution. The Farm 
Credit System Insurance Corporation shall make use of 
sufficient funds from the Farm Credit Insurance Fund to carry 
out this section.
  (d) Definitions.--For purposes of this section:
          (1) Borrower stock.--The term ``borrower stock'' 
        means voting and nonvoting stock, equivalent 
        contributions to a guaranty fund, participation 
        certificates, allocated equities, and other similar 
        entities that are subject to retirement under a 
        revolving cycle issued by any System institution and 
        held by any person other than any System institution.
          (2) Eligible borrower stock.--The term ``eligible 
        borrower stock'' means borrower stock that--
                  (A) is outstanding on the date of the 
                enactment of this section;
                  (B) is issued or allocated after the date of 
                the enactment of this section, but prior to the 
                earlier of--
                          (i) in the case of each bank and 
                        association, the date of approval, by 
                        the stockholders of such bank or 
                        association, of the capitalization 
                        requirements of the institution in 
                        accordance with section 4.3A; or
                          (ii) the date that is 9 months after 
                        the date of the enactment of this 
                        section;
                  (C) was, after January 1, 1983, but before 
                the date of the enactment of this section, 
                frozen by an institution that was placed in 
                liquidation; or
                  (D) was retired at less than par value by an 
                institution that was placed in liquidation 
                after January 1, 1983, but before the date of 
                the enactment of this section.
          (3) Institution.--The term ``institution'' means a 
        bank or association chartered under this Act.
          (4) Par value.--The term ``par value'' means--
                  (A) in the case of stock, par value;
                  (B) in the case of participation certificates 
                and other equities and interests not described 
                in subparagraph (C), face or equivalent value; 
                or
                  (C) in the case of participation certificates 
                and allocated equities subject to retirement 
                under a revolving cycle but that a System 
                institution elects to retire out of order for 
                application against a loan in default or 
                otherwise as provided in this Act, par or face 
                value discounted, at a rate determined by the 
                institution, to reflect the present value of 
                the equity or interest as of the date of such 
                retirement.

Part B--Dissolution

           *       *       *       *       *       *       *


SEC. 4.12A. COMMUNICATIONS WITH STOCKHOLDERS.

  (a) Provision of Stockholder Lists.--
          [(1) In general.--Within 7 days after receipt of a 
        written request by a stockholder, a bank for 
        cooperatives, Federal land bank association, or 
        production credit association shall provide a current 
        list of its stockholders to such requesting 
        stockholder.]
          (1) In general.--Every Farm Credit System bank or 
        association shall provide a current list of its 
        stockholders, within 7 calendar days after receipt of a 
        written request by a stockholder, to the requesting 
        stockholder.
          (2) Conditions.--As a condition of providing a 
        stockholder list under paragraph (1), the bank or 
        association may require that the stockholder agree and 
        certify in writing that the stockholder will--
                  (A) use the list exclusively for 
                communicating with stockholders for permissible 
                purposes; and
                  (B) not make the list available to any 
                person, other than the stockholder's attorney 
                or accountant, without first obtaining the 
                written consent of the institution.
  (b) Alternative Communications.--
          (1) Request to issue.--As an alternative to receiving 
        a list of stockholders, a stockholder may request the 
        institution to mail or otherwise furnish to each 
        stockholder a communication for a permissible purpose 
        on behalf of the requesting stockholder.
          (2) When permissible.--Alternative communications may 
        be used, at the discretion of the requesting 
        stockholder, if the requester agrees to defray the 
        reasonable costs of the communication. If the requester 
        decides to exercise this option, the institution shall 
        provide the requester with a written estimate of the 
        costs of handling and mailing the communication as soon 
        as is practicable after receipt of the stockholder's 
        request to furnish the communication.

Part C--Rights of Borrowers; Loan Restructuring

           *       *       *       *       *       *       *


SEC. 4.14A. RESTRUCTURING DISTRESSED LOANS.

  (a) Definitions.--As used in this part and section 4.36:
          (1) Application for restructuring.--The term 
        ``application for restructuring'' means a written 
        request--
                  (A) from a borrower for the restructuring of 
                a distressed loan in accordance with a 
                preliminary restructuring plan proposed by the 
                borrower as a part of the application;
                  (B) submitted on the appropriate forms 
                prescribed by the qualified lender; and
                  (C) accompanied by sufficient financial 
                information and repayment projections, where 
                appropriate, as required by the qualified 
                lender to support a sound credit decision.
          (2) Cost of foreclosure.--The term ``cost of 
        foreclosure'' includes--
                  (A) the difference between the outstanding 
                balance due on a loan made by a qualified 
                lender and the liquidation value of the loan, 
                taking into consideration the borrower's 
                repayment capacity and the liquidation value of 
                the collateral used to secure the loan;
                  (B) the estimated cost of maintaining a loan 
                as a nonperforming asset;
                  (C) the estimated cost of administrative and 
                legal actions necessary to foreclose a loan and 
                dispose of property acquired as the result of 
                the foreclosure, including attorneys' fees and 
                court costs;
                  (D) the estimated cost of changes in the 
                value of collateral used to secure a loan 
                during the period beginning on the date of the 
                initiation of an action to foreclose or 
                liquidate the loan and ending on the date of 
                the disposition of the collateral; and
                  (E) all other costs incurred as the result of 
                the foreclosure or liquidation of a loan.
          (3) Distressed loan.--The term ``distressed loan'' 
        means a loan that the borrower does not have the 
        financial capacity to pay according to its terms and 
        that exhibits one or more of the following 
        characteristics:
                  (A) The borrower is demonstrating adverse 
                financial and repayment trends.
                  (B) The loan is delinquent or past due under 
                the terms of the loan contract.
                  (C) One or both of the factors listed in 
                subparagraphs (A) and (B), together with 
                inadequate collateralization, present a high 
                probability of loss to the lender.
          (4) Foreclosure proceeding.--The term ``foreclosure 
        proceeding'' means--
                  (A) a foreclosure or similar legal proceeding 
                to enforce a lien on property, whether real or 
                personal, that secures a nonaccrual or 
                distressed loan; or
                  (B) the seizing of and realizing on nonreal 
                property collateral, other than collateral 
                subject to a statutory lien arising under title 
                I or II, to effect collection of a nonaccrual 
                or distressed loan.
          (5) Loan.--
                  (A) In general.--Subject to subparagraph (B), 
                the term ``loan'' means a loan made to a 
                farmer, rancher, or producer or harvester of 
                aquatic products, for any agricultural or 
                aquatic purpose and other credit needs of the 
                borrower, including financing for basic 
                processing and marketing directly related to 
                the borrower's operations and those of other 
                eligible farmers, ranchers, and producers or 
                harvesters of aquatic products.
                  (B) Exclusion for loans designated for sale 
                into secondary market.--
                          (i) In general.--Except as provided 
                        in clause (ii), the term ``loan'' does 
                        not include a loan made on or after the 
                        date of enactment of this subparagraph 
                        that is designated, at the time the 
                        loan is made, for sale into a secondary 
                        market.
                          (ii) Unsold loans.--
                                  (I) In general.--Except as 
                                provided in subclause (II), if 
                                a loan designated for sale 
                                under clause (i) is not sold 
                                into a secondary market during 
                                the 180-day period that begins 
                                on the date of the designation, 
                                the provisions of this section 
                                and sections 4.14, 4.14B, 
                                [4.14C,] 4.14D, and 4.36 that 
                                would otherwise apply to the 
                                loan in the absence of the 
                                exclusion described in clause 
                                (i) shall become effective with 
                                respect to the loan.
                                  (II) Later sale.--If a loan 
                                described in subclause (I) is 
                                sold into a secondary market 
                                after the end of the 180-day 
                                period described in subclause 
                                (I), subclause (I) shall not 
                                apply with respect to the loan 
                                beginning on the date of the 
                                sale.
          (6) Qualified lender.--The term ``qualified lender'' 
        means--
                  (A) a System institution that makes loans (as 
                defined in paragraph (5)) except a bank for 
                cooperatives; and
                  (B) each bank, institution, corporation, 
                company, union, and association described in 
                section 1.7(b)(1)(B) but only with respect to 
                loans discounted or pledged under section 
                1.7(b)(1).
          (7) Restructure and restructuring.--The terms 
        ``restructure'' and ``restructuring'' include 
        rescheduling, reamortization, renewal, deferral of 
        principal or interest, monetary concessions, and the 
        taking of any other action to modify the terms of, or 
        forbear on, a loan in any way that will make it 
        probable that the operations of the borrower will 
        become financially viable.
  (b) Notice.--
          (1) In general.--On a determination by a qualified 
        lender that a loan made by the lender is or has become 
        a distressed loan, the lender shall provide written 
        notice to the borrower that the loan may be suitable 
        for restructuring, and include with such notice--
                  (A) a copy of the policy of the lender 
                established under subsection (g) that governs 
                the treatment of distressed loans; and
                  (B) all materials necessary to enable the 
                borrower to submit an application for 
                restructuring on the loan.
          (2) Notice before foreclosure.--Not later than 45 
        days before any qualified lender begins foreclosure 
        proceedings with respect to a loan outstanding to any 
        borrower, the lender shall notify the borrower that the 
        loan may be suitable for restructuring and that the 
        lender will review any such suitable loan for 
        restructuring, and shall include with such notice a 
        copy of the policy and the materials described in 
        paragraph (1).
          (3) Limitation on foreclosure.--No qualified lender 
        may foreclose or continue any foreclosure proceeding 
        with respect to any distressed loan before the lender 
        has completed any pending consideration of the loan for 
        restructuring under this section.
  (c) Meetings.--On determination by a qualified lender that a 
loan made by the lender is or has become a distressed loan, the 
lender shall provide a reasonable opportunity for the borrower 
thereof to personally meet with a representative of the 
lender--
          (1) to review the status of the loan, the financial 
        condition of the borrower, and the suitability of the 
        loan for restructuring; and
          (2) with respect to a loan that is in nonaccrual 
        status, to develop a plan for restructuring the loan if 
        the loan is suitable for restructuring.
  (d) Consideration of Applications.--
          (1) In general.--When a qualified lender receives an 
        application for restructuring from a borrower, the 
        qualified lender shall determine whether or not to 
        restructure the loan, taking into consideration--
                  (A) whether the cost to the lender of 
                restructuring the loan is equal to or less than 
                the cost of foreclosure;
                  (B) whether the borrower is applying all 
                income over and above necessary and reasonable 
                living and operating expenses to the payment of 
                primary obligations;
                  (C) whether the borrower has the financial 
                capacity and the management skills to protect 
                the collateral from diversion, dissipation, or 
                deterioration;
                  (D) whether the borrower is capable of 
                working out existing financial difficulties, 
                reestablishing a viable operation, and repaying 
                the loan on a rescheduled basis; and
                  (E) in the case of a distressed loan that is 
                not delinquent, whether restructuring 
                consistent with sound lending practices may be 
                taken to reasonably ensure that the loan will 
                not become a loan that it is necessary to place 
                in nonaccrual status.
          (2) Applications not required for restructuring 
        plans.--This section shall not prevent a qualified 
        lender from proposing a restructuring plan for an 
        individual borrower in the absence of an application 
        for restructuring from the borrower.
  (e) Restructuring.--
          (1) In general.--If a qualified lender determines 
        that the potential cost to such qualified lender of 
        restructuring the loan in accordance with a proposed 
        restructuring plan is less than or equal to the 
        potential cost of foreclosure, the qualified lender 
        shall restructure the loan in accordance with the plan.
          (2) Computation of cost of restructuring.--In 
        determining whether the potential cost to the qualified 
        lender of restructuring a distressed loan is less than 
        or equal to the potential cost of foreclosure, a 
        qualified lender shall consider all relevant factors, 
        including--
                  (A) the present value of interest income and 
                principal forgone by the lender in carrying out 
                the restructuring plan;
                  (B) reasonable and necessary administrative 
                expenses involved in working with the borrower 
                to finalize and implement the restructuring 
                plan;
                  (C) whether the borrower has presented a 
                preliminary restructuring plan and cash-flow 
                analysis taking into account income from all 
                sources to be applied to the debt and all 
                assets to be pledged, showing a reasonable 
                probability that orderly debt retirement will 
                occur as a result of the proposed 
                restructuring; and
                  (D) whether the borrower has furnished or is 
                willing to furnish complete and current 
                financial statements in a form acceptable to 
                the institution.
  (f) Least Cost Alternative.--If two or more restructuring 
alternatives are available to a qualified lender under this 
section with respect to a distressed loan, the lender shall 
restructure the loan in conformity with the alternative that 
results in the least cost to the lender.
  (g) Restructuring Policy.--
          (1) Establishment.--Each bank board of directors 
        shall develop a policy within 60 days after the date of 
        the enactment of this section, that is consistent with 
        this section, to govern the restructuring of distressed 
        loans. Such policy shall constitute the restructuring 
        policy of each qualified lender within the district.
          (2) Contents of policy.--The policy established under 
        paragraph (1) shall include an explanation of--
                  (A) the procedure for submitting an 
                application for restructuring; and
                  (B) the right of borrowers with distressed 
                loans to seek review by a credit review 
                committee in accordance with section 4.14 of a 
                denial of an application for restructuring.
          (3) Submission of policy to fca.--Each bank board 
        shall submit the policy of the district governing the 
        treatment of distressed loans under this section to the 
        Farm Credit Administration. Notwithstanding the duty 
        imposed by the preceding sentence, the other duties 
        imposed by this section shall take effect on the date 
        of the enactment of this section.
  [(h) Reports.--During the 5-year period beginning on the date 
of the enactment of this section, each qualified lender shall 
submit semiannual reports to the Farm Credit Administration 
containing--
          [(1) the results of the review of distressed loans of 
        the lender; and
          [(2) the financial effect of loan restructurings and 
        liquidations on the lender.
  [(i)] (h) Compliance.--The Farm Credit Administration may 
issue a directive requiring compliance with any provision of 
this section to any qualified lender that fails to comply with 
such provision.
  [(j)] (i) Permitted Foreclosures.--This section shall not be 
construed to prevent any qualified lender from enforcing any 
contractual provision that allows the lender to foreclose a 
loan, or from taking such other lawful action as the lender 
deems appropriate, if the lender has reasonable grounds to 
believe that the loan collateral will be destroyed, dissipated, 
consumed, concealed, or permanently removed from the State in 
which the collateral is located.
  [(k)] (j) Application of Section.--The time limitation 
prescribed in subsection (b)(2), and the requirements of 
subsection (c), shall not apply to a loan that became a 
distressed loan before the date of the enactment of this 
section if the borrower and lender of the loan are in the 
process of negotiating loan restructuring with respect to the 
loan.
  [(l)] (k) Assistance in Restructuring.--Each Farm Credit Bank 
on request of any [production credit] association, may assist 
the association in restructuring loans under this section.

           *       *       *       *       *       *       *


[SEC. 4.14C. REVIEW OF RESTRUCTURING DENIALS.

  [(a) Requirements for Restructuring by System Institutions.--
          [(1) Existing nonaccrual loans.--Within 9 months 
        after a qualified lender is certified under section 
        6.4, such lender shall review each loan that has not 
        been previously restructured and that is in nonaccrual 
        status on the date the lender is certified, and 
        determine whether to restructure the loan.
          [(2) New nonaccrual loans.--Within 6 months after a 
        loan made by a certified lender is placed in nonaccrual 
        status, the lender shall determine whether to 
        restructure the loan.
  [(b) Special Asset Groups.--
          [(1) Establishment.--Within 30 days after a qualified 
        lender in a district is certified to issue preferred 
        stock under section 6.27, the Farm Credit Bank board 
        shall establish a special asset group that shall review 
        each determination by the lender not to restructure a 
        loan.
          [(2) Restructuring plan.--If a special asset group 
        determines under paragraph (1) that a loan under review 
        should be restructured, the group shall prescribe a 
        restructuring plan for the loan that the qualified 
        lender shall implement.
  [(c) National Special Asset Council.--
          [(1) Establishment.--A National Special Asset Council 
        shall be established by the Assistance Board to--
                  [(A) monitor compliance with the 
                restructuring requirements of this section by 
                qualified lenders certified to issue preferred 
                stock under section 6.27, and by special asset 
                groups established under subsection (b); and
                  [(B) review a sample of determinations made 
                by each special asset group that a loan will 
                not be restructured.
          [(2) Review of determination.--The National Special 
        Asset Council shall review a sufficient number of 
        determinations made by each special asset group to 
        foreclose on any loan to assure the Council that such 
        group is complying with this section. With regard to 
        each determination reviewed, the Council shall make an 
        independent judgment on the merits of the decision to 
        foreclose rather than restructure the loan.
          [(3) Noncompliance.--If the National Special Asset 
        Council determines that any special asset group is not 
        in substantial compliance with this section, the 
        Council shall notify the group of the determination, 
        and may take such other action as the Council considers 
        necessary to ensure that such group complies with this 
        section.
  [(d) Report.--With respect to determinations by a special 
asset group that a loan will not be restructured, the special 
asset group shall submit to the National Special Asset Council 
a report evaluating the loan and the basis for the 
determination that the loan should not be restructured.
  [(e) Restructuring Factors.--In determining whether a loan is 
to be restructured, the National Special Asset Council, each 
special asset group, and each qualified lender certified under 
section 6.4 shall take into consideration the factors specified 
in section 4.14A(d)(1).]

           *       *       *       *       *       *       *


Part D--Activities of Institutions of the System

           *       *       *       *       *       *       *


  Sec. 4.17. Interest Rates.--Interest rates on loans from 
institutions of the Farm Credit System shall not be subject to 
any interest rate limitation imposed by any State constitution 
or statute or other laws. Such limitation is preempted for 
purposes of this Act. Interest rates on loans made by 
agricultural credit corporations organized in conjunction with 
cooperative associations for the purpose of financing the 
ordinary crop operations of the members of such associations or 
other producers and eligible to discount with the [Federal 
intermediate credit banks and] Farm Credit Banks shall be 
exempt from any interest rate limitation imposed by any State 
constitution or statute or other laws which are hereby 
preempted for purposes of this Act.

           *       *       *       *       *       *       *

  Sec. 4.19. Young, Beginning, and Small Farmers and 
Ranchers.--
  (a) Under policies of the [district] Farm Credit Bank board, 
each [Federal land bank association and production credit] 
association shall prepare a program for furnishing sound and 
constructive credit and related services to young, beginning, 
and small farmers and ranchers. Such programs shall assure that 
such credit and services are available in coordination with 
other [units] institutions of the Farm Credit System serving 
the territory and with other governmental and private sources 
of credit. Each program shall be subject to review and approval 
by the supervising bank.
  (b) The Farm Credit Bank for each district shall annually 
obtain from associations under its supervision reports of 
activities under programs developed pursuant to subsection (a) 
and progress toward program objectives. On the basis of such 
reports, the bank shall provide to the Farm Credit 
Administration an annual report summarizing the operations and 
achievements in its district under such programs.

           *       *       *       *       *       *       *


[SEC. 4.21. COMPENSATION OF BANK DIRECTORS.

  [(a) In General.--The Farm Credit Administration shall 
monitor the compensation of members of the board of directors 
of a System bank received as compensation for serving as a 
director of the bank to ensure that the amount of the 
compensation does not exceed a level of $20,000 per year, as 
adjusted to reflect changes in the Consumer Price Index for all 
urban consumers published by the Bureau of Labor Statistics, 
unless the Farm Credit Administration determines that such 
level adversely affects the safety and soundness of the bank.
  [(b) Waiver.--The Farm Credit Administration may waive the 
limitation prescribed in subsection (a) under exceptional 
circumstances, as determined in accordance with regulations 
promulgated by the Farm Credit Administration.]

           *       *       *       *       *       *       *


Part G--Miscellaneous

           *       *       *       *       *       *       *


SEC. 4.38. AFFIRMATIVE ACTION.

   [The Assistance Board established under section 6.0 and all] 
All institutions of the Farm Credit System with more than 20 
employees shall establish and maintain an affirmative action 
program plan that applies the affirmative action standards 
otherwise applied to contractors of the Federal Government.

SEC. 4.39. ENCOURAGEMENT OF CONSERVATION PRACTICES.

  At the time a System institution or an agricultural mortgage 
loan originator (as defined in section [8.0(7)] 8.0(6)) 
approves a loan made to a borrower that, in the opinion of the 
institution or originator, would be ineligible for a loan made, 
insured, or guaranteed under the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1921 et seq.) by reason of subtitle B 
or C of title XII of the Food Security Act of 1985 (16 U.S.C. 
3811 et seq.), the institution or originator, as the case may 
be, shall encourage the borrower to contact the Department of 
Agriculture Soil Conservation Service to obtain information 
about soil conservation methods and practices.

TITLE V--FARM CREDIT ADMINISTRATION ORGANIZATION

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Part B--Farm Credit Administration Organization

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  [Sec. 5.16. Quarters and Facilities for the Farm Credit 
Administration.-- As an alternate]

SEC. 5.16. QUARTERS AND FACILITIES FOR THE FARM CREDIT ADMINISTRATION.

  (a) The Farm Credit Administration shall maintain its 
principal office within the Washington D.C.-Maryland-Virginia 
standard metropolitan statistical area, and such other offices 
within the United States as in its judgment are necessary.
  (b) As an alternate to the rental of quarters under section 
5.14, and without regard to any other provision of law, the 
banks of the System, with the concurrence of two-thirds of the 
bank boards, are hereby authorized--
  (1) To lease or acquire real property in the District of 
Columbia or elsewhere for quarters of the Farm Credit 
Administration.
  (2) To construct, develop, furnish, and equip such building 
thereon and such facilities appurtenant thereto as in their 
judgment may be appropriate to provide, to the extent the Board 
may deem advisable, suitable, and adequate quarters and 
facilities for the Farm Credit Administration.
  (3) To enlarge, remodel, or reconstruct the same.
  (4) To make or enter into contracts for any of the foregoing.
  (5) To sell or otherwise dispose of any interest in property 
leased or acquired under the foregoing if authorized by the 
Board.
The Board may require of the respective banks of the System, 
and they shall make to the Farm Credit Administration, such 
advances of funds for the purposes set out in this section as 
in the sole judgment of the Board may from time to time be 
advisable for the purposes of this section. Such advances shall 
be in addition to and kept in a separate fund from the 
assessments authorized in section 5.15 and shall be apportioned 
by the Board among the banks in proportion to the total assets 
of the respective banks, and determined in such manner and at 
such times as the Board may prescribe. The powers of the banks 
of the System and purposes for which obligations may be issued 
by such banks are hereby enlarged to include the purpose of 
obtaining funds to permit the making of advances required by 
this section. The plans and decisions for such building and 
facilities and for the enlargement, remodeling, or 
reconstruction thereof shall be such as is approved in the sole 
discretion of the Board. In actions undertaken by the banks 
pursuant to the foregoing provisions of this section, the Farm 
Credit Administration may act as agent for the banks.
  Sec. 5.17. Enumerated Powers.--(a) The Farm Credit 
Administration shall have the following powers, functions, and 
responsibilities in connection with the institutions of the 
Farm Credit System and the administration of this Act:
          (1) Modify the boundaries of farm credit districts, 
        with due regard for the farm credit needs of the 
        country, as approved by the Board, with the concurrence 
        of the district banks involved.
          (2)(A)(2) Where necessary or appropriate to carry out 
        the policy and objectives of this Act, issue and 
        approve amendments to Federal charters of institutions 
        of the System; approve change in names of banks 
        operating under this Act; approve the merger of 
        districts when agreed to by the district bank boards 
        involved and by a majority vote of the voting 
        stockholders and contributors to the guaranty funds of 
        each bank for each of such districts, voting in the 
        same manner as is provided in section 7.0 of this Act; 
        approve mergers and any related activities as provided 
        for in title VII; and approve the consolidation or 
        division of the territories of institutions when agreed 
        to by a majority vote of the voting stockholders or 
        contributors to the guaranty fund of each of the 
        institutions involved; and approve consolidations of 
        boards of directors when agreed to by a majority vote 
        of the voting stockholders or contributors to the 
        guaranty fund of each of the institutions involved. [In 
        issuing charters and certificates of territory for 
        district-wide mergers of associations where 
        stockholders of one or more associations did not 
        approve the merger, the charter of the new or merged 
        association shall not include the territory of the 
        disagreeing association or associations; charters 
        issued during calendar year 1985 for district-wide new 
        or merged associations which included the territory of 
        a disagreeing association shall be revoked and reissued 
        to exclude such territory, unless subsequently agreed 
        to by the board of directors of such association or 
        associations. The Farm Credit Administration Board 
        shall ensure that disapproving associations (A) shall 
        not be charged any assessment under this Act at a rate 
        higher than that charged other like associations in the 
        district, and (B) shall be provided with financial 
        services and assistance on the same basis as other like 
        associations in the district (including, but not 
        limited to, access to credit and rates of interest on 
        loans and discounts) by a district Farm Credit bank to 
        the association and its member-borrowers.] The Farm 
        Credit Administration Board, after consultation with 
        the respective boards of directors of the affected 
        banks, may require two or more banks operating under 
        the same or different titles to merge if the Board 
        determines that one of such banks has failed to meet 
        its outstanding obligations.
          (B) The Farm Credit Administration shall not issue a 
        charter to, or approve an amendment to the charter of, 
        any institution of the Farm Credit System to operate 
        under title I or II that would authorize the 
        institution to exercise lending authority, whether 
        directly or indirectly as an agent of a Farm Credit 
        Bank, in a territory in which the charter of another 
        such institution authorizes the other institution to 
        exercise like authority, whether directly or indirectly 
        as an agent of a Farm Credit Bank, except with the 
        approval of--
                  (i) in a case affecting only the charter of 
                one or more associations--
                          (I) a majority of the shareholders 
                        (present and voting or voting by proxy) 
                        of each of the associations that would 
                        have like lending authority (whether 
                        directly or indirectly as an agent of a 
                        Farm Credit Bank) in any of that 
                        territory if the charter action were 
                        taken; and
                          (II) a majority of the board of 
                        directors of the Farm Credit Bank with 
                        which the affected associations are 
                        affiliated; or
                  (ii) in a case affecting the charter of one 
                or more banks--
                          (I) a majority of the shareholders 
                        (present and voting or voting by proxy) 
                        of the affiliated associations of each 
                        of the banks that would have like 
                        lending authority in any of that 
                        territory if the charter action were 
                        taken;
                          (II) a majority of the shareholders 
                        (present and voting or voting by proxy) 
                        of each of the banks that would have 
                        like lending authority in any of that 
                        territory if the charter action were 
                        taken; and
                          (III) a majority vote of the boards 
                        of directors of each of the banks that 
                        would have like lending authority in 
                        any of that territory if the charter 
                        action were taken.
          (C) Subparagraph (B) shall apply only in those 
        geographic areas where, due to the failure of a Federal 
        intermediate credit bank to merge in accordance with 
        section 410(a) of the Agricultural Credit Act of 1987 
        (12 U.S.C. 2011 note), the Federal intermediate credit 
        bank or its successor is chartered to provide short- 
        and intermediate-term credit, and a neighboring Farm 
        Credit Bank that is not the successor to the Federal 
        intermediate credit bank is chartered to provide long-
        term credit, in the same geographic territory.
          (3) Make annual reports directly to Congress on the 
        condition of the System and its institutions, based on 
        the examinations carried out under section 5.19 of this 
        Act, and on the manner and extent to which the purposes 
        and objectives of this Act are being carried out and, 
        from time to time, recommend directly legislative 
        changes. The annual reports shall include a summary and 
        analysis of the reports submitted to the Farm Credit 
        Administration by the Farm Credit Banks under section 
        4.19(b) Federal land banks and Federal intermediate 
        credit banks under section 4.19(b) of this Act relating 
        to programs for serving young, beginning, and small 
        farmers and ranchers.
          (4) Approve the issuance of obligations of the System 
        under subsections (c) and (d) of section 4.2 of this 
        Act for the purpose of funding the authorized 
        operations of the institutions of the System, and 
        prescribe collateral therefor.
          (5) Grant approvals provided for under this Act 
        either on a case-by-case basis or through regulations 
        that confer approval on actions of Farm Credit System 
        institutions.
          (6) Establish standards for the System institutions 
        with respect to loan security requirements and regulate 
        the borrowing, repayment, and transfer of funds and 
        equities between institutions of the System.
          (7) Conduct loan and collateral security review.
          (8) Regulate the preparation by System institutions 
        and the dissemination to stockholders and investors of 
        information on the financial condition and operations 
        of such institutions, except that the requirements of 
        the Farm Credit Administration governing the 
        dissemination to stockholders of quarterly reports of 
        System institutions may not be more burdensome or 
        costly than the requirements applicable to national 
        banks, and the Farm Credit Administration may not 
        require any System institution to disclose in any 
        report to stockholders information concerning the 
        condition or classification of a loan--
                  (A) to a director of the institution--
                          (i) who has resigned before the time 
                        for filing the applicable report with 
                        the Farm Credit Administration; or
                          (ii) whose term of office will expire 
                        no later than the date of the meeting 
                        of stockholders to which the report 
                        relates; or
                  (B) to a member of the immediate family of a 
                director of the institution unless--
                          (i) the family member resides in the 
                        same household as the director; or
                          (ii) the director has a material 
                        financial or legal interest in the loan 
                        or business operation of the family 
                        member.
          (9) Prescribe rules and regulations necessary or 
        appropriate for carrying out this Act.
          (10) Exercise the powers conferred on it under part C 
        of this title for the purpose of ensuring the safety 
        and soundness of System institutions.
          (11) Exercise such incidental powers as may be 
        necessary or appropriate to fulfill its duties and 
        carry out the purposes of this Act.
          (12) Require surety bonds or other provisions for 
        protection of the assets of the institutions of the 
        System against losses occasioned by employees.
          (13)(A) Subject to subparagraph (B), the Farm Credit 
        Administration may approve an amendment to the charter 
        of any institution of the Farm Credit System operating 
        under title I or II, which would authorize the 
        institution to exercise lending authority in any 
        territory--
                  (i) in the geographic area served by an 
                association that was reassigned pursuant to 
                section 433 of the Agricultural Credit Act of 
                1987 (12 U.S.C. 2071 note) (where the 
                geographic area was a part of the association's 
                territory as of the date of the reassignment); 
                and
                  (ii) in which the charter of an institution 
                that is not seeking the charter amendment 
                authorizes the institution to exercise the type 
                of lending authority that is the subject of the 
                charter request.
          (B) The Farm Credit Administration may approve a 
        charter amendment under subparagraph (A) only on the 
        approval of--
                  (i) the respective boards of directors of the 
                associations that, if the charter request is 
                approved, would exercise like lending authority 
                in any of the territory that is the subject of 
                the charter request;
                  (ii) a majority of the stockholders of each 
                association described in clause (i) voting, in 
                person or by proxy, at a duly authorized 
                stockholders' meeting; and
                  (iii) the respective boards of directors of 
                the Farm Credit Banks that, if the charter 
                request is approved, would exercise, either 
                directly or through associations, like lending 
                authority in any of the territory described in 
                subparagraph (A)(i).
          (14)(A) Subject to subparagraph (B), the Farm Credit 
        Administration may approve a request to charter an 
        association of the Farm Credit System to operate under 
        title II where the proposed charter--
                  (i) will include any of the geographic area 
                included in the territory served by an 
                association that was reassigned pursuant to 
                section 433 of the Agricultural Credit Act of 
                1987 (12 U.S.C. 2071 note) (where the 
                geographic area was a part of the association's 
                territory as of the date of the reassignment); 
                and
                  (ii) will authorize the association to 
                exercise lending authority in any territory in 
                the geographic area in which the charter of an 
                association that is not requesting the charter 
                authorizes the association to exercise the type 
                of lending authority that is the subject of the 
                charter request.
          (B) The Farm Credit Administration may approve a 
        charter request under subparagraph (A) only on the 
        approval of--
                  (i) the respective boards of directors of the 
                associations that, if the charter request is 
                approved, would exercise like lending authority 
                in any of the territory that is the subject of 
                the charter request;
                  (ii) a majority vote of the stockholders (if 
                any) of each association described in clause 
                (i) voting, in person or by proxy, at a duly 
                authorized stockholder's meeting; and
                  (iii) the respective boards of directors of 
                the Farm Credit Banks that, if the charter 
                request is approved, would exercise, either 
                directly or through associations, like lending 
                authority in any of the territory described in 
                subparagraph (A)(i).
          (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).
  (b) The Farm Credit Administration shall not have authority, 
either direct or indirect, to approve bylaws, or any amendments 
or modifications or changes to bylaws, of System institutions.
  (c)(1) At least thirty days prior to publishing any proposed 
regulation in the Federal Register, the Farm Credit 
Administration shall transmit a copy of the regulation to the 
Committee on Agriculture of the House of Representatives and 
the Committee on Agriculture, Nutrition, and Forestry of the 
Senate. The Farm Credit Administration shall also transmit to 
such committees a copy of any final regulation prior to its 
publication in the Federal Register. Except as provided in 
paragraph (2) of this subsection, no final regulation of the 
Farm Credit Administration shall become effective prior to the 
expiration of thirty calendar days after it is published in the 
Federal Register during which either or both Houses of the 
Congress are in session.
  (2) In the case of an emergency, a final regulation of the 
Farm Credit Administration may become effective without regard 
to the last sentence of paragraph (1) of this subsection if the 
Farm Credit Administration notifies in writing the Committee on 
Agriculture of the House of Representatives and the Committee 
on Agriculture, Nutrition, and Forestry of the Senate setting 
forth the reasons why it is necessary to make the regulation 
effective prior to the expiration of the thirty-day period.
  (d)(1) If there are any unresolved differences between the 
Farm Credit Administration and the Board of Governors of the 
Federal Reserve System as to whether any regulation 
implementing section 3.7(b) or the other provisions of title 
III relating to the authority under secton 3.7(b) conforms to 
national banking policies, objectives, and limitations, 
simultaneously with promulgation of any such regulation under 
this Act, and simultaneously with promulgation of any 
regulation implementing section 1.7(b), the Farm Credit 
Administration shall transmit a copy thereof to the Secretary 
of the Senate and the Clerk of the House of Representatives. 
Except as provided in paragraph (2), the regulation shall not 
become effective if, within ninety calendar days of continuous 
session of Congress after the date of promulgation, both Houses 
of Congress adopt a concurrent resolution, the matter after the 
resolving clause of which is as follows: ``That Congress 
disapproves the regulation promulgated by the Farm Credit 
Administration dealing with the matter of ________, which 
regulation was transmitted to ________ Congress on________'', 
the blank spaces therein being appropriately filled.
  (2) If at the end of sixty calendar days of continuous 
session of Congress after the date of promulgation of a 
regulation, no committee of either House of Congress has 
reported or been discharged from further consideration of a 
concurrent resolution disapproving the regulation, and neither 
House has adopted such a resolution, the regulation may go into 
effect immediately. If, within such sixty calendar days, such a 
committee has reported or been discharged from further 
consideration of such a resolution, or either House has adopted 
such a resolution, the regulation may go into effect not sooner 
than ninety calendar days of continuous session of Congress 
after its promulgation unless disapproved as provided in 
paragraph (1).
  (3) For the purposes of paragraphs (1) and (2) of this 
subsection--
          
          (i) continuity of session is broken only by an 
        adjournment of Congress sine die; and
          (ii) the days on which either House is not in session 
        because of an adjournment of more than three days to a 
        day certain are excluded in the computation of sixty 
        and ninety calendar days of continuous session of 
        Congress.
  (4) Congressional inaction on or rejection of a resolution of 
disapproval shall not be deemed an expression of approval of 
such regulation.
  [Sec. 5.18. Prior Delegations.-- Any delegations by the Farm 
Credit Administration and redelegations thereof made in 
accordance with section 5.19 of the Farm Credit Act of 1971 as 
in effect prior to the effective date of the Farm Credit 
Amendments Act of 1985 may continue in full force and effect, 
at the discretion of the Farm Credit Administration, for the 
period ending twelve months after the date of enactment of such 
Act.]
  Sec. 5.19. Examinations.--(a) [Except for Federal land bank 
associations, each] Each institution of the System shall be 
examined by Farm Credit Administration examiners at such times 
as the Board may determine, but in no event less than once 
during each 18-month period. [Each Federal land bank 
association shall be examined by Farm Credit Administration 
examiners at such times as the Farm Credit Administration Board 
may determine, except that each such association shall be 
examined at least once every three years.] Such examinations 
may include, if appropriate, but are not limited to, an 
analysis of credit and collateral quality and capitalization of 
the institution, and appraisals of the effectiveness of the 
institution's management and application of policies governing 
the carrying out of this Act and regulations of the Farm Credit 
Administration and servicing all eligible borrowers. 
Examination of banks shall include an analysis of the 
compensation paid to the chief executive officer and the salary 
scales of the employees of the bank. At the direction of the 
Board, Farm Credit Administration examiners also shall make 
examinations of the condition of any organization, other than 
federally regulated financial institutions, to, for, or with 
which any institution of the System contemplates making a loan 
or discounting paper. For the purposes of this Act, examiners 
of the Farm Credit Administration shall be subject to the same 
requirements, responsibilities, and penalties as are applicable 
to examiners under the National Bank Act, the Federal Reserve 
Act, and Federal Deposit Insurance Act, and other provisions of 
law and shall have the same powers and privileges as are vested 
in such examiners by law.
  (b)[(1)] Each institution of the System shall make and 
publish an annual report of condition as prescribed by the Farm 
Credit Administration. Each such report shall contain financial 
statements prepared in accordance with generally accepted 
accounting principles, [except with respect to any actions 
taken by any banks of the System under section 4.8(b),] and 
contain such additional information as the Farm Credit 
Administration by regulation may require. [Notwithstanding the 
provisions of the preceding sentence and any other provision of 
this Act, for the period July 1, 1986, through December 31, 
1988, the institutions of the Farm Credit System may, on the 
prior approval of the Farm Credit Administration and subject to 
such conditions as it may establish, capitalize annually their 
provision for losses that is in excess of one-half of 1 percent 
of loans outstanding and amortize such capitalized amounts over 
a period not to exceed 20 years.] Such financial statements of 
System institutions shall be audited by an independent public 
accountant.
  [(2) In accordance with the regulations of the Farm Credit 
Administration, for the period ending December 31, 1992, System 
institutions are authorized to use the authorities contained in 
the third sentence of paragraph (1) except as otherwise 
provided in section 6.6.
  [(3) Any preferred stock issued under section 6.27 shall be 
subordinated to, and impaired before, other stock or equities 
of the institution.]
  (c) The Farm Credit Administration may publish the report of 
examination of any System institution that does not, before the 
end of the 120th day after the date of notification of the 
recommendations and suggestions of the Farm Credit 
Administration, based on such examination, comply with such 
recommendations and suggestions to the satisfaction of the Farm 
Credit Administration. The Farm Credit Administration shall 
give notice of intention to publish in the event of such 
noncompliance at least 90 days before such publication. Such 
notice of intention may be given any time after such 
notification of recommendations and suggestions.
  (d) On receipt of a request made under section 5.59(b)(1)(B) 
with respect to a System institution, the Farm Credit 
Administration shall--
          (1) furnish for the confidential use of the Farm 
        Credit System Insurance Corporation reports of 
        examination of the institution and other reports or 
        information on the institution; and
          (2)(A) examine, or obtain other information on, the 
        institution and furnish for the confidential use of the 
        Farm Credit System Insurance Corporation the report of 
        the examination and such other information; or
          (B) if the Farm Credit Administration Board 
        determines that compliance with the request would 
        substantially impair the ability of the Farm Credit 
        Administration to carry out the other duties and 
        responsibilities of the Farm Credit Administration 
        under this Act, notify the Board of Directors of the 
        Farm Credit System Insurance Corporation that the Farm 
        Credit Administration will be unable to comply with the 
        request.
  (e) A System institution shall not be considered to have 
waived the confidentiality of a privileged communication with 
an attorney or accountant if the institution provides the 
content of the communication to the Farm Credit Administration 
pursuant to the supervisory or regulatory authorities of the 
Farm Credit Administration.

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Part C--Enforcement Powers of Farm Credit Administration

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  Sec. 5.31. Jurisdiction and Enforcement.--The Farm Credit 
Administration may in its discretion apply to the United States 
district court, or the United States court of any territory, 
within the jurisdiction of which the home office of the 
institution is located, for the enforcement of any effective 
and outstanding notice or order issued under this part, and 
such courts shall have jurisdiction and power to order and 
require compliance herewith; but except as otherwise provided 
in this part no court shall have jurisdiction to affect by 
injunction or otherwise the issuance or enforcement of any 
notice or order under this part, or to review, modify, suspend, 
terminate, or set aside any such notice or order. For purposes 
of this section, any directive issued under section 4.3(b)(2), 
4.3A(e), or [4.14A(i)] 4.14A(h) shall be treated as an 
effective and outstanding order issued under section 5.25 that 
has become final.

SEC. 5.31A. SCOPE OF JURISDICTION.

  (a) For purposes of sections 5.25, 5.26, and 5.33, the 
jurisdiction of the Farm Credit Administration over parties, 
and the authority of the Farm Credit Administration to initiate 
actions, shall include enforcement authority over institution-
affiliated parties.
  (b) The resignation, termination of employment or 
participation, or separation of an institution-affiliated party 
(including a separation caused by the merger, consolidation, 
conservatorship, or receivership of a System institution) shall 
not affect the jurisdiction and authority of the Farm Credit 
Administration to issue any notice or order and proceed under 
this part against any such party, if the notice or order is 
served before the end of the 6-year period beginning on the 
date the party ceased to be such a party with respect to the 
System institution (whether the date occurs before, on, or 
after the date of the enactment of this section).
  Sec. 5.32. Penalty.--(a) Any institution in the System that 
violates or any officer, director, employee, agent, or other 
person participating in the conduct of the affairs of such an 
institution who violates the terms of any order that has become 
final and was issued under section 5.25 or 5.26 of this Act, 
shall forfeit and pay a civil penalty of not more than $1,000 
per day for each day during which such violation continues. Any 
such institution or person who violates any provision of this 
Act or any regulation issued under this Act shall forfeit and 
pay a civil penalty of not more than $500 per day for each day 
during which such violation continues. Notwithstanding the 
preceding sentences, the Farm Credit Administration may, in its 
discretion, compromise, modify, or remit any civil money 
penalty that is subject to imposition or has been imposed under 
such authority. The penalty may be assessed and collected by 
the Farm Credit Administration by written notice.
  (b) Before determining whether to assess a civil money 
penalty and determining the amount of such penalty, the Farm 
Credit Administration shall notify the institution or person to 
be assessed of the violation or violations alleged to have 
occurred or to be occurring, and shall solicit the views of the 
institution or person regarding the imposition of such penalty. 
In determining the amount of the penalty, the Farm Credit 
Administration shall take into account the appropriateness of 
the penalty with respect to the size of financial resources and 
good faith of the System institution or person charged, the 
gravity of the violation, the history of previous violations, 
and such other matters as justice may require.
  (c) The System institution or person assessed shall be 
afforded an opportunity for a hearing by the Farm Credit 
Administration, upon request made within ten days after 
issuance of the notice of assessment. In such hearing all 
issues shall be determined on the record pursuant to section 
554 of title 5 of the United States Code. The Farm Credit 
Administration determination shall be made by final order which 
may be reviewed only as provided in subsection (d). If no 
hearing is requested as herein provided, the assessment shall 
constitute a final and unappealable order.
  (d) Any System institution or person against whom an order 
imposing a civil money penalty has been entered after a Farm 
Credit Administration hearing under this section may obtain 
review by the United States court of appeals for the circuit in 
which the home office of the System institution is located, or 
the United States Court of Appeals for the District of Columbia 
Circuit, by filing a notice of appeal in such court within 
twenty days after the service of such order, and simultaneously 
sending a copy of such notice by registered or certified mail 
to the Farm Credit Administration. The Farm Credit 
Administration shall promptly certify and file in such Court 
the record upon which the penalty was imposed, as provided in 
section 2112 of title 28 of the United States Code. Final 
orders of the Farm Credit Administration issued under 
subsection (c) shall be reviewable under chapter 7 of title 5, 
United States Code.
  (e) If any System institution or person fails to pay an 
assessment after it has become a final and unappealable order, 
or after the court of appeals has entered final judgment in 
favor of the Farm Credit Administration, the Farm Credit 
Administration shall refer the matter to the Attorney General, 
who shall recover the amount assessed by action in the 
appropriate United States district court. In such action, the 
validity and appropriateness of the final order imposing the 
penalty shall not be subject to review.
  (f) The Farm Credit Administration shall promulgate 
regulations establishing procedures necessary to implement 
section 5.31 and this section.
  (g) All penalties collected under authority of this section 
shall be covered into the Treasury of the United States.
  (h) For purposes of this section, any directive issued under 
section 4.3(b)(2), 4.3A(e), or [4.14A(i)] 4.14A(h) shall be 
treated as an order that has become final and was issued under 
section 5.25.

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  Sec. 5.35. Definitions.--As used in this part--
          (1) the terms ``cease and desist order that has 
        become final'' and ``order which has become final'' 
        mean a cease and desist order, or an order, issued by 
        the Farm Credit Administration with the consent of the 
        System institution or the director or officer or other 
        person concerned, or with respect to which no petition 
        for review of the action of the Farm Credit 
        Administration has been filed and perfected in a court 
        of appeals as specified in section 5.30(b) of this Act, 
        or with respect to which the action of the court in 
        which such petition is so filed is not subject to 
        further review by the Supreme Court of the United 
        States in proceedings provided for in section 5.30(b) 
        of this Act, or an order issued under section 5.29 of 
        this Act;
          (2) the term ``violation'' includes without 
        limitation any action (alone or with another or others) 
        for or toward causing, bringing about, participating 
        in, counseling, or aiding or abetting a violation;
          (3) the terms ``institution in the System'', ``System 
        institution'', and ``institution'' mean all 
        institutions enumerated in section 1.2 of this Act, any 
        service organization chartered under part E of title IV 
        of this Act, and the Financial Assistance Corporation; 
        [and]
          (4) the term ``institution-affiliated party'' means--
                  (A) any director, officer, employee, 
                shareholder, or agent of a System institution;
                  (B) any independent contractor (including any 
                attorney, appraiser, or accountant) who 
                knowingly or recklessly participates in--
                          (i) any violation of law (including 
                        regulations) that is associated with 
                        the operations and activities of 1 or 
                        more institutions;
                          (ii) any breach of fiduciary duty; or
                          (iii) any unsafe or unsound practice, 
                        which caused or is likely to cause more 
                        than a minimal financial loss to, or a 
                        significant adverse effect on, a System 
                        institution; and
                  (C) any other person, as determined by the 
                Farm Credit Administration (by regulation or on 
                a case-by-case basis) who participates in the 
                conduct of the affairs of a System institution; 
                and
          [(4)] (5) the term ``unsafe or unsound practice'' 
        shall--
                  (A) have the meaning given to it by the Farm 
                Credit Administration by regulation, rule, or 
                order;
                  [(B) during the period beginning on the date 
                of the enactment of this paragraph and ending 
                December 31, 1992, mean any noncompliance by a 
                System institution, as determined by the Farm 
                Credit Administration in consultation with the 
                Assistance Board, with any term or condition 
                imposed on the institution by the Assistance 
                Board under section 6.6; and
                  [(C) after December 31, 1992,] (B) mean any 
                significant noncompliance by a System 
                institution (as determined by the Farm Credit 
                Administration, in consultation with the Farm 
                Credit System Insurance Corporation) with any 
                term or condition imposed on the institution 
                [by the Farm Credit System Assistance Board 
                under section 6.6 or] by the Farm Credit System 
                Insurance Corporation under section 5.61.

           *       *       *       *       *       *       *


SEC. 5.38. POWER TO REMOVE DIRECTORS AND OFFICERS.

  Notwithstanding any other provision of this Act, [a farm 
credit district board, bank board, or bank officer or employee 
shall not remove any director or officer of any production 
credit association or Federal land bank association] a Farm 
Credit Bank board, officer, or employee shall not remove any 
director or officer of any association.

Part D--Miscellaneous

           *       *       *       *       *       *       *


  [Sec. 5.44. General Accounting Office Audit: Report to 
Congress.--
  [(a) The Comptroller General shall conduct an evaluation of 
the programs and activities authorized under the 1980 
amendments to this Act, and shall make an interim report to the 
Congress no later than December 31, 1982, and a final report to 
the Congress no later than December 31, 1984. The Comptroller 
General shall include in such evaluation the effect that this 
Act, as amended, will have on agricultural credit services 
provided by the Farm Credit System, Federal agencies, and other 
entities. The Comptroller General may make such interim reports 
to the Congress on the programs and activities under these 
amendments as the Comptroller General deems necessary or as 
requested by Members of Congress.
  [(b) For the purpose of conducting program evaluations 
required in subsection (a) of this section, the Comptroller 
General or his duly authorized representatives shall have 
access to and the right to examine all books, documents, 
papers, records, or other recorded information within the 
possession or control of the Federal land banks and Federal 
land bank associations, Federal intermediate credit banks and 
production credit associations and banks for cooperatives.]

           *       *       *       *       *       *       *


PART E--FARM CREDIT SYSTEM INSURANCE CORPORATION

           *       *       *       *       *       *       *


SEC. 5.58. GENERAL CORPORATE POWERS.

   On the date of the enactment of this part, the Corporation 
shall become a body corporate and as such shall have the 
following powers:
          (1) Seal.--The Corporation may adopt and use a 
        corporate seal.
          (2) Succession.--The Corporation may have succession 
        until dissolved by an Act of Congress. [The Corporation 
        shall succeed to the rights of the Farm Credit System 
        Assistance Board under agreements between the Farm 
        Credit System Assistance Board and System institutions 
        certifying the institutions as eligible to issue 
        preferred stock pursuant to title VI on the termination 
        of the Assistance Board on the date provided in section 
        6.12.]
          (3) Contracts.--The Corporation may make contracts.
          (4) Legal actions.--
                  (A) In general.--The Corporation may sue and 
                be sued, complain and defend, in any court of 
                law or equity, State or Federal.
                  (B) Jurisdiction.--All suits of a civil 
                nature at common law or in equity to which the 
                Corporation shall be a party shall be deemed to 
                arise under the laws of the United States, and 
                the United States district courts shall have 
                original jurisdiction thereof, without regard 
                to the amount in controversy, and the 
                Corporation, in any capacity, without bond or 
                security, may remove any such action, suit, or 
                proceeding from a State court to the United 
                States district court for the district or 
                division embracing the place where the same is 
                pending by following any procedure for removal 
                then in effect.
                  (C) Attachment and execution.--No attachment 
                or execution may be issued against the 
                Corporation or its property before final 
                judgment in any suit, action, or proceeding in 
                any State, county, municipal, or United States 
                court.
                  (D) Agent for service of process.--The Board 
                of Directors shall designate an agent on whom 
                service of process may be made in any State or 
                jurisdiction in which any insured System bank 
                is located.
          (5) Officers and employees.--
                  (A) In general.--The Corporation may appoint 
                by its Board of Directors such officers and 
                employees as are not otherwise provided for in 
                this part, define their duties, fix their 
                compensation, and require bonds of them and fix 
                the penalty thereof, and dismiss at pleasure 
                such officers or employees.
                  (B) Employees of the united states.--Nothing 
                in this or any other Act shall be construed to 
                prevent the appointment and compensation, as an 
                officer or employee of the Corporation, of any 
                officer or employee of the United States in any 
                board, commission, independent establishment, 
                or executive department thereof.
          (6) Bylaws.--The Corporation may prescribe, by its 
        Board of Directors, bylaws not inconsistent with law, 
        regulating the manner in which its general business may 
        be conducted, and the privileges granted to it by law 
        may be exercised and enjoyed.
          (7) Incidental powers.--The Corporation may exercise 
        by its Board of Directors, or duly authorized officers 
        or agents, all powers specifically granted by the 
        provisions of this part, and such incidental powers as 
        shall be necessary to carry out the powers so granted.
          (8) Information.--The Corporation may, when 
        necessary, make examinations of, and require 
        information and reports from, System institutions, as 
        provided in this part.
          (9) Conservator or receiver.--The Corporation may act 
        as a conservator or receiver.
          (10) Rules and regulations.--The Corporation may 
        prescribe by its Board of Directors such rules and 
        regulations as it considers necessary to carry out this 
        part and section 1.12(b) (except to the extent that 
        authority to issue such rules and regulations has been 
        expressly and exclusively granted to any other 
        regulatory agency).

           *       *       *       *       *       *       *


SEC. 5.60. INSURANCE FUND.

  (a) Establishment.--There is hereby established a Farm Credit 
Insurance Fund (hereinafter referred to in this section as the 
``Insurance Fund'') for insuring the timely payment of 
principal and interest on insured obligations. The assets in 
the Fund shall be held by the Corporation for the uses and 
purposes of the Corporation.
  [(b) Amounts in Fund.--
          [(1) Revolving fund.--All amounts in the revolving 
        fund established by section 4.0 shall be transferred 
        into the Farm Credit Insurance Fund on January 1, 1989, 
        or 12 months after the date of the enactment of this 
        part, whichever is later, except that the obligations 
        to, and rights of, any person in such revolving fund 
        arising out of any event or transaction before the date 
        of the enactment of this part shall remain unimpaired.
          [(2) Deposit of premiums.--The Corporation shall 
        deposit in the Insurance Fund all premium payments 
        received by the Corporation under this part.]
  (b) Amounts in Fund.--The Corporation shall deposit in the 
Insurance Fund all premium payments received by the Corporation 
under this part.
  (c) Uses of Fund.--
          (1) Mandatory use.--Beginning January 1, 1993, the 
        Corporation shall expend amounts in the Insurance Fund 
        to the extent necessary to insure the timely payment of 
        interest and principal on insured obligations.
          (2) Other mandatory uses.--Beginning January 1, 1993, 
        the Corporation shall use amounts in the Insurance Fund 
        to--
                  (A) satisfy System institution defaults 
                through the purchase of preferred stock or 
                other payments as provided for in section 
                6.26(d)(3); and
                  (B) ensure the retirement of eligible 
                borrower stock at par value under section 4.9A.
          (3) Permissive uses.--The Corporation may expend 
        amounts in the Insurance Fund to carry out section 5.61 
        and to cover the operating costs of the Corporation.
          (4) Corporate payment or refunds.--The Corporation 
        shall make all payments and refunds required to be made 
        by the Corporation under this part from amounts in the 
        Insurance Fund.

           *       *       *       *       *       *       *


SEC. 5.65. PROHIBITIONS.

  (a) Corporate Name.--
          (1) Use of corporate name.--It shall be unlawful for 
        any person or entity to use the words ``Farm Credit 
        System Insurance Corporation'' or any combination of 
        such words that would have the effect of leading the 
        public to believe that there is any connection between 
        such person or entity and the Corporation, by virtue of 
        the name under which such person or entity does 
        business.
          (2) False representation.--
                  (A) By outside person or entities.--It shall 
                be unlawful for any person or entity to falsely 
                represent by any device, that the notes, bonds, 
                debentures, or other obligations of the person 
                or entity are insured or in any way guaranteed 
                by the Corporation.
                  (B) System banks.--It shall be unlawful for 
                any insured System bank or person that markets 
                insured obligations to falsely represent the 
                extent to which or the manner in which such 
                obligations are insured by the Corporation.
          (3) Penalty.--Any person or entity that willfully 
        violates any provision of this subsection shall be 
        fined not more than $1,000, imprisoned for not more 
        than 1 year, or both.
  (b) Payments or Distributions While in Default.--
          (1) In general.--It shall be unlawful for any insured 
        System bank to pay any dividends on bank stock or 
        participation certificates or interest on the capital 
        notes or debentures of such bank (if such interest is 
        required to be paid only out of net profits) or 
        distribute any of the capital assets of such bank while 
        the bank remains in default in the payment of any 
        premium due to the Corporation.
          (2) Liability of directors.--Each director or officer 
        of any insured System bank who willfully participates 
        in the declaration or payment of any dividend or 
        interest or in any distribution in violation of this 
        subsection shall be fined not more than $1,000, 
        imprisoned not more than 1 year, or both.
          (3) Applicability.--This subsection shall not apply 
        to any default that is due to a dispute between the 
        insured System bank and the Corporation over the amount 
        of such premium if such bank deposits security 
        satisfactory to the Corporation for payment on final 
        determination of the issue.
  (c) Failure to File Statement or Pay Premium.--
          (1) In general.--Any insured System bank that 
        willfully fails or refuses to file any certified 
        statement or pay any premium required under this part 
        shall be subject to a penalty of not more than $100 for 
        each day that such violations continue, which penalty 
        the Corporation may recover for its use.
          (2) Applicability.--This subsection shall not apply 
        to conduct with respect to any default that is due to a 
        dispute between the insured System bank and the 
        Corporation over the amount of such premium if such 
        bank deposits security satisfactory to the Corporation 
        for payment on final determination of the issue.
  (d) Employment of Persons Convicted of Criminal Offenses.--
          (1) In general.--Except with the prior written 
        consent of the Farm Credit Administration, it shall be 
        unlawful for any person convicted of any criminal 
        offense involving dishonesty or a breach of trust to 
        serve as a director, officer, or employee of any System 
        institution.
          (2) Penalty.--For each willful violation of paragraph 
        (1), the institution involved shall be subject to a 
        penalty of not more than $100 for each day during which 
        the violation continues, which the Corporation may 
        recover for its use.
  (e) Prohibition on Uses of Funds Related to Federal 
Agricultural Mortgage Corporation.--No funds from 
administrative accounts or from the Farm Credit System 
Insurance Fund may be used by the Corporation to provide 
assistance to the Federal Agricultural Mortgage Corporation or 
to support any activities related to the Federal Agricultural 
Mortgage Corporation.

               TITLE VI--ASSISTANCE TO FARM CREDIT SYSTEM

                     [Subtitle A--Assistance Board

[SEC. 6.0. ESTABLISHMENT OF BOARD.

  [(a) Charters.--On the date which is 15 days after the date 
of the enactment of this title, the Farm Credit Administration 
shall revoke the charter of the Farm Credit System Capital 
Corporation (hereinafter referred to in this title as the 
``Capital Corporation'') and shall charter the Farm Credit 
System Assistance Board (hereinafter referred to in this Act as 
the ``Assistance Board'') that, subject to this subtitle, shall 
be a Federally chartered instrumentality of the United States.
  [(b) Use of Capital Corporation Staff.--During the 90-day 
period beginning on the date of the revocation of the charter 
of the Capital Corporation, the Assistance Board may 
temporarily employ, by contract or otherwise under reasonable 
and necessary terms and conditions, such staff of the Capital 
Corporation as is necessary to facilitate and effectuate an 
orderly transition to, and commencement of, the Assistance 
Board, and the termination of the affairs of the Capital 
Corporation.

[SEC. 6.1. PURPOSES.

  [The purposes of the Assistance Board shall be to carry out a 
program to provide assistance to, and protect the stock of 
borrowers of, the institutions of the Farm Credit System, and 
to assist in restoring System institutions to economic 
viability and permitting such institutions to continue to 
provide credit to farmers, ranchers, and the cooperatives of 
such, at reasonable and competitive rates.

[SEC. 6.2. BOARD OF DIRECTORS.

  [(a) Membership.--The Board of Directors of the Assistance 
Board (hereinafter referred to in this subtitle as the ``Board 
of Directors'') shall consist of three members--
          [(1) one of which shall be the Secretary of the 
        Treasury;
          [(2) one of which shall be the Secretary of 
        Agriculture; and
          [(3) one of which shall be an agricultural producer 
        experienced in financial matters, and appointed by the 
        President, by and with the advice and consent of the 
        Senate.
  [(b) Chairman.--The Board of Directors shall elect annually a 
Chairman from among the members of the Board.
  [(c) Terms of Office, Succession, and Vacancies.--
          [(1) Terms of office and succession.--The term of 
        each member of the Board of Directors shall expire when 
        the Assistance Board is terminated.
          [(2) Vacancies.--Vacancies on the Board of Directors 
        shall be filled in the same manner as the vacant 
        position was previously filled.
  [(d) Compensation of Board Members.--Members of the Board of 
Directors--
          [(1) appointed under paragraphs (1) and (2) of 
        subsection (a) shall receive reasonable allowances for 
        necessary expenses of travel, lodging, and subsistence 
        incurred in attending meetings and other activities of 
        the Assistance Board, as set forth in the bylaws issued 
        by the Board of Directors, except that such level shall 
        not exceed the maximum fixed by subchapter I of chapter 
        57 of title 5, United States Code, for officers and 
        employees of the United States; and
          [(2) appointed under paragraph (3) of subsection (a) 
        shall receive compensation for the time devoted to 
        meetings and other activities at a daily rate not to 
        exceed the daily rate of compensation prescribed for 
        Level III of the Executive Schedule under section 5314 
        of title 5, United States Code, and reasonable 
        allowances for necessary expenses of travel, lodging, 
        and subsistence incurred in attending meetings and 
        other activities of the Assistance Board, as set forth 
        in the bylaws issued by the Board of Directors, except 
        that such level shall not exceed the maximum fixed by 
        subchapter I of chapter 57 of title 5, United States 
        Code, for officers and employees of the United States.
  [(e) Rules and Records.--The Board of Directors of the 
Assistance Board shall adopt such rules as it may deem 
appropriate for the transaction of the business of the 
Assistance Board, and shall keep permanent and accurate records 
and minutes of its acts and proceedings.
  [(f) Quorum Required.--A quorum shall consist of two members 
of the Board of Directors. All decisions of the Board shall 
require an affirmative vote of at least a majority of the 
members voting.
  [(g) Chief Executive Officer.--A chief executive officer of 
the Assistance Board shall be selected by the Board of 
Directors of the Assistance Board and shall serve at the 
pleasure of the Board.

[SEC. 6.3. CORPORATE POWERS.

  [(a) In General.--The Assistance Board shall be a body 
corporate that shall have the power to--
          [(1) operate under the direction of its Board of 
        Directors;
          [(2) adopt, alter, and use a corporate seal, which 
        shall be judicially noted;
          [(3) provide for one or more vice presidents, a 
        secretary, a treasurer, and such other officers, 
        employees, and agents, as may be necessary, define 
        their duties, and require surety bonds or make other 
        provisions against losses occasioned by acts of such 
        persons;
          [(4) hire, promote, compensate, and discharge 
        officers and employees of the Assistance Board, without 
        regard to title 5, United States Code, except that no 
        such officer or employee shall receive an annual rate 
        of basic pay in excess of the rate prescribed for Level 
        III of the Executive Schedule under section 5314 of 
        title 5, United States Code;
          [(5) prescribe by its Board of Directors its bylaws, 
        that shall be consistent with law, and that shall 
        provide for the manner in which--
                  [(A) its officers, employees, and agents are 
                selected;
                  [(B) its property is acquired, held, and 
                transferred;
                  [(C) its general operations are to be 
                conducted; and
                  [(D) the privileges granted by law are 
                exercised and enjoyed;
          [(6) with the consent of any executive department or 
        independent agency, use the information, services, 
        staff, and facilities of such in carrying out this 
        title;
          [(7) enter into contracts and make advance, progress, 
        or other payments with respect to such contracts;
          [(8) sue and be sued in its corporate name, and 
        complain and defend in courts of competent 
        jurisdiction;
          [(9) acquire, hold, lease, mortgage, or dispose of, 
        at public or private sale, real and personal property, 
        and otherwise exercise all the usual incidents of 
        ownership of property necessary and convenient to its 
        operations;
          [(10) obtain insurance against loss;
          [(11) modify or consent to the modification of any 
        contract or agreement to which it is a party or in 
        which it has an interest under this title;
          [(12) deposit its securities and its current funds 
        with any member bank of the Federal Reserve System or 
        any insured State nonmember bank (within the meaning of 
        section 3 of the Federal Deposit Insurance Act (12 
        U.S.C. 1813)) and pay fees therefor and receive 
        interest thereon as may be agreed; and
          [(13) exercise other powers as set forth in this 
        title, and such other incidental powers as are 
        necessary to carry out its powers, duties, and 
        functions in accordance with this title.
  [(b) Power to Remove; Jurisdiction.--Notwithstanding any 
other provision of law, any civil action, suit, or proceeding 
to which the Assistance Board is a party shall be deemed to 
arise under the laws of the United States, and the United 
States District Court for the District of Columbia shall have 
exclusive jurisdiction over such. The Assistance Board may, 
without bond or security, remove any such action, suit, or 
proceeding from a State court to the United States District 
Court for the District of Columbia.

[SEC. 6.4. CERTIFICATION OF ELIGIBILITY TO ISSUE PREFERRED STOCK.

  [(a) Book Value Less Than Par Value of Stock and Equities.--
If the book value of the stock, participation certificates, and 
other similar equities of a System institution, based on 
generally accepted accounting principles, is less than the par 
value of the stock or the face value of the certificates or 
equities--
          [(1) the Farm Credit Administration shall notify the 
        Assistance Board of such impairment;
          [(2) the Assistance Board shall monitor the financial 
        condition, business plans, and operations of the 
        institution; and
          [(3) the institution may request the Assistance Board 
        to grant certification to issue preferred stock under 
        section 6.27(a).
  [(b) Book Value Less Than 75 Percent of Par Value of Stock 
and Equities.--If the book value of the stock, participation 
certificates, and other similar equities of a System 
institution, based on generally accepted accounting principles, 
is less than 75 percent of the par value of the stock or the 
face value of the certificates or equities, the institution 
shall request the Assistance Board to grant certification to 
issue preferred stock under section 6.27(a).
  [(c) Mandatory Determination of Eligibility.--
          [(1) In general.--The Assistance Board shall 
        determine whether to certify a System institution as 
        eligible to issue preferred stock under section 6.27, 
        if--
                  [(A) the institution requests such 
                certification;
                  [(B) the book value of the stock, 
                participation certificates, and other similar 
                equities of the institution, based on generally 
                accepted accounting principles, has declined to 
                75 percent of the par value of the stock or the 
                face value of the certificates or equities; and
                  [(C) the institution agrees to meet the terms 
                and conditions specified by the Assistance 
                Board pursuant to section 6.6.
          [(2) Effective date of certification.--If the 
        determination of the Assistance Board is to certify the 
        institution under paragraph (1), such certification 
        shall be effective at the time of such determination.
  [(d) Implementation.--As soon as practicable after the date 
of the enactment of this title, the Assistance Board shall take 
such actions as are necessary to carry out this section.
  [(e) Definition.--Except where otherwise provided in this 
Act, the term ``other similar equities'' includes allocated 
equities.

[SEC. 6.5. ASSISTANCE.

  [(a) In General.--The Assistance Board shall assist an 
institution that has been certified under section 6.4 by--
          [(1) authorizing the institution to issue preferred 
        stock under section 6.27, in amounts necessary to 
        maintain the book value of stock, participation 
        certificates, and other similar equities of the 
        institution, at the level provided for in subsection 
        (c);
          [(2) in the case of high-cost debt for which the 
        institution is primarily liable, authorizing the 
        institution to issue preferred stock under section 
        6.27, in an amount equal to the premium that would be 
        required by the holder of the debt for the institution 
        to retire the debt at the then current market value;
          [(3) on a request by the institution, authorizing the 
        issuance of preferred stock under section 6.27 to 
        facilitate the merger of the requesting institution 
        with one or more other System institutions; or
          [(4) providing assistance by such other methods as 
        the Assistance Board determines appropriate.
  [(b) Definition of High-Cost Debt.--For purposes of 
subsection (a)(2), the term ``high-cost debt'' means securities 
or similar obligations issued before January 1, 1986, that 
mature on or after December 31, 1987, and bear a rate of 
interest in excess of the then current market rate for similar 
securities or obligations.
  [(c) Minimum Equity Value.--The Assistance Board shall 
authorize a certified institution to issue amounts of preferred 
stock under section 6.27 sufficient to--
          [(1) maintain the value of stock, participation 
        certificates and other similar equities at no less than 
        75 percent of the par value of the stock or the face 
        value of the certificates or equities, as determined 
        under generally accepted accounting principles; and
          [(2) strengthen the institution to a point where it 
        is economically viable, and capable of delivering 
        credit at reasonable and competitive rates.
  [(d) Limitation.--Except as provided in section 410(c) of the 
Agricultural Credit Act of 1987, no assistance shall be 
provided in connection with a merger until the stockholders and 
the institutions involved have approved the merger and the Farm 
Credit Administration has given final approval to the merger 
plan.

[SEC. 6.6. SPECIAL POWERS.

  [(a) In General.--In the case of a System institution that 
requests certification under section 6.4, the Assistance Board 
may--
          [(1) require the institution to obtain approval from 
        the Assistance Board before implementing business, 
        operating, and investment plans and policies;
          [(2) if one or more of the conditions described in 
        section 4.12(b) are met, as determined by the Farm 
        Credit Administration, direct the Farm Credit 
        Administration Board to appoint a conservator for the 
        institution, in accordance with such section, and to 
        instruct the conservator to evaluate the operations of 
        the institution and report to the Farm Credit 
        Administration Board and the Assistance Board on the 
        possibility of restoring the institution to sound 
        financial condition;
          [(3) request that the Farm Credit Administration 
        Board or the Farm Credit Administration, as 
        appropriate--
                  [(A) approve or require a merger or 
                consolidation of the institution to the extent 
                authorized under this Act;
                  [(B) initiate action to appoint a receiver 
                under section 4.12(b); or
                  [(C) exercise any enforcement power 
                authorized under this Act;
          [(4) require the institution to obtain approval from 
        the Assistance Board before setting the terms and 
        conditions of any debt issuances of the institution;
          [(5) require the institution to obtain approval from 
        the Assistance Board before setting the policy on 
        credit standards to be used, and the policy on rates of 
        interest to be charged on loans, by the institution, 
        including requiring that--
                  [(A) the institution set interest rates at 
                levels necessary to ensure that the cost of 
                money to the institution reflects the marginal 
                cost to the institution of borrowing an 
                additional amount of money at the time a new 
                loan is made; and
                  [(B) loans primarily secured by real estate 
                mortgages not exceed 85 percent of the 
                appraised agricultural value of the real estate 
                security, or 75 percent of the then current 
                market value of the real estate security, 
                whichever is greater;
          [(6) require the institution to obtain approval from 
        the Assistance Board for the design of management 
        information and accounting systems at the institution, 
        and of the continued use by the institution of 
        regulatory accounting practices in accordance with 
        sections 4.8(b) and 5.19(b);
          [(7) require that the plans and policies of the 
        institution resulting from the merger of System banks 
        reduce the overhead costs of such institution, to the 
        maximum extent practicable, with respect to the 
        delivery of services to, and performance of duties for, 
        System associations in the district;
          [(8) require the institution to obtain approval from 
        the Assistance Board of--
                  [(A) the hiring policies of the institution;
                  [(B) the compensation and retirement benefits 
                of the chief executive officer, other managers, 
                and directors of the institution;
                  [(C) any change in the management of the 
                institution; and
                  [(D) policy decisions regarding continued 
                employment and promotion of the officials 
                referred to in subparagraph (B);
          [(9) suspend for any period of time, or terminate, 
        any certification granted to an institution under 
        section 6.4 if the Farm Credit Administration notifies 
        the Assistance Board that the institution has 
        substantially deviated from the institution's business 
        plan or has failed to comply with a term or condition 
        governing the use of any financial assistance provided 
        to the institution under this title; and
          [(10) take such other action as the Assistance Board 
        determines may be necessary to establish prudent 
        operating practices at the institution and to return 
        the institution to a sound financial condition.
  [(b) Suspension of Assistance.--
          [(1) Notification.--The Assistance Board shall 
        promptly notify the Farm Credit Administration of any 
        action taken by the Assistance Board under subsection 
        (a)(9).
          [(2) Enforcement.--The Farm Credit Administration may 
        use any of its enforcement powers, with respect to any 
        institution to which the Assistance Board has provided 
        assistance or has certified the institution to issue 
        preferred stock under section 6.27, to obtain the 
        compliance of the institution with the terms or 
        conditions governing the use of financial assistance 
        provided under this title.
  [(c) Undated Letters of Resignation.--The Assistance Board 
shall not, for any reason, request or require any member of the 
board of directors of any System institution to submit to the 
Assistance Board an undated letter of resignation. Immediately 
after the date of the enactment of this title, the Assistance 
Board shall destroy all such letters over which it has control.
  [(d) Reports.--During the 5-year period beginning on the date 
of the enactment of this title, the Assistance Board, in 
coordination with the Financial Assistance Corporation, shall 
report annually to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate on the extent to which System 
institutions translate the savings in the cost of the 
operations of such institutions due to the Federal assistance 
provided to the System under this title into lower interest 
rates charged to System borrowers or enhanced financial 
solvency of such institutions.

[SEC. 6.7. ADMINISTRATION.

  [(a) Expenses.--The Financial Assistance Corporation shall 
pay the necessary and reasonable administrative expenses of the 
Assistance Board from funds in the Assistance Fund established 
in section 6.25.
  [(b) Interim Funding.--Before the availability of funding 
from the Assistance Fund, the Assistance Board may use the 
revolving fund established under section 4.0. Such amounts used 
shall be repaid to the revolving fund out of the Assistance 
Fund within the same fiscal year that such funds were received 
by the Assistance Board.
  [(c) Assistance Operations.--The Farm Credit Administration 
shall provide such personnel and facilities to the Assistance 
Board as the Farm Credit Administration considers are necessary 
to avoid unnecessary duplication and waste.
  [(d) Access to FCA Documents.--The Assistance Board shall 
have access to all reports of examination and supervisory 
documents of the Farm Credit Administration, and relevant 
supporting material, for the purpose of carrying out the 
special powers of the Assistance Board under section 6.6, under 
such terms and conditions, acceptable to the Farm Credit 
Administration Board, as are necessary and appropriate to 
protect the confidentiality of the documents and materials.

[SEC. 6.8. LIMITATION OF POWERS.

  [(a) Purposes.--The powers of the Assistance Board under this 
title shall be exercised only for the purposes specified in 
this title and shall not be exercised in a manner that would 
result in the Assistance Board supplanting the Farm Credit 
System lending institutions as the primary providers of credit 
and other financial services to farmers, ranchers, and the 
cooperatives of such.
  [(b) Prohibition.--The powers of the Assistance Board under 
this title shall not include the management, administration, or 
disposition of any loans or other assets owned by other System 
institutions, or the providing of technical assistance or other 
related services to other System institutions in connection 
with the administration of loans owned by such other 
institutions.

[SEC. 6.9. SUCCESSION.

  [(a) Assets and Liabilities.--On the issuance by the Farm 
Credit Administration of the charter for the Assistance Board 
under this subtitle, the Assistance Board shall succeed to the 
assets of and assume all debts, obligations, contracts, and 
other liabilities of the Capital Corporation, matured or 
unmatured, accrued, absolute, contingent or otherwise, and 
whether or not reflected or reserved against on balance sheets, 
books of account, or records of the Capital Corporation.
  [(b) Contracts.--The existing contractual obligations, 
security instruments, and title instruments of the Capital 
Corporation shall, by operation of law and without any further 
action by the Farm Credit Administration, the Capital 
Corporation, or any court, become and be converted into 
obligations, entitlements, and instruments of the Assistance 
Board chartered under this subtitle.
  [(c) Adjustment of Assessments.--Not later than 15 days after 
the issuance of the charter of the Assistance Board, the Board 
shall retire all debt and equity obligations issued to any 
System institution under section 4.28G(a)(14) or 4.28H (as in 
effect immediately before the date of the enactment of this 
title) at the book value of such obligations (determined as of 
such date of enactment) and shall pay such amounts to the 
holders of such debt and equity obligations.
  [(d) Surplus Funds.--To the extent that, on the extinguishing 
of liabilities assumed by the Assistance Board under this 
section, and on full performance or other final disposition of 
contract obligations of the Assistance Board, there remain 
surplus funds attributable to such obligations or contracts, 
the Assistance Board shall distribute such surplus funds among 
the System institutions that contributed funds to the Capital 
Corporation on the basis of the relative amount of funds so 
contributed by each institution.
  [(e) Preservation Agreements.--
          [(1) Transfer of obligations.--Notwithstanding any 
        other provision of this Act or the terms and conditions 
        of the Thirty-Seven Banks Capital Preservation 
        Agreement, the Federal Land Banks Capital Preservation 
        Agreement, the Federal Intermediate Credit Banks 
        Capital Preservation Agreement, and the Banks for 
        Cooperatives Loss Sharing Agreement--
                  [(A) at the time the receiving bank receives 
                funds from the Financial Assistance Corporation 
                in an equal and equivalent amount in accordance 
                with this subsection, any amounts received by, 
                or that remain accrued to, any System bank in 
                accordance with the activation of any such 
                agreement for the calendar quarter ending on 
                September 30, 1986, shall be--
                          [(i) repaid to the contributing bank 
                        by the bank that received such 
                        payments; or
                          [(ii) cancelled;
                  [(B) on the date the Financial Assistance 
                Corporation is chartered, the accounts payable 
                of each contributing bank under such agreements 
                for the calendar quarter ending on September 
                30, 1986, shall, by operation of law and 
                without any further action by such contributing 
                bank, any other bank, or any court, become and 
                be converted into accounts payable of the 
                Financial Assistance Corporation to each 
                receiving bank under such agreement for such 
                calendar quarter in the same amounts as 
                previously carried on the books of each such 
                receiving bank; and
                  [(C) on the date the Financial Assistance 
                Corporation is chartered, the accounts 
                receivable of each receiving bank under such 
                agreements for the calendar quarter ending 
                September 30, 1986, shall, by operation of law 
                and without any further action by such 
                receiving bank or any other bank, or any court, 
                become and be converted into accounts 
                receivable to such receiving bank from the 
                Financial Assistance Corporation, in the same 
                amount as previously carried on the books of 
                such receiving bank and such receivables shall, 
                for all financial reporting purposes, be 
                accounted for as an asset on the books of such 
                receiving bank in accordance with generally 
                accepted accounting practices.
          [(2)(A) Not later than 30 days after the first 
        issuance of obligations by the Financial Assistance 
        Corporation in accordance with section 6.26, the 
        Corporation shall pay to each receiving bank such sums 
        as are necessary to permit each receiving bank to 
        repay, in accordance with paragraph (1), the amounts 
        each such receiving bank received under any such 
        agreement.
          [(B) The accruals shall be paid by the Corporation to 
        each receiving bank for the actual net loan charge-offs 
        recorded on the books of each such bank before January 
        1, 1993, not previously paid by the contributing banks.
          [(3) Debt obligations.--
                  [(A) Issuance.--For the purpose of obtaining 
                funds to carry out this subsection, the 
                Financial Assistance Corporation shall issue 
                debt obligations under section 6.26. Such 
                obligations shall be subject to the terms and 
                conditions of such section, except as provided 
                for in this paragraph.
                  [(B) Payment of interest.--During each year 
                of the 15-year period of such obligation issued 
                pursuant to subparagraph (A), the banks 
                operating under this Act shall pay to the 
                Financial Assistance Corporation, at such times 
                as the Corporation shall determine, an amount 
                equal to the entire amount of interest due on 
                such obligation. Each bank shall pay a 
                proportion of such interest equal to--
                          [(i) the average accruing loan volume 
                        of the bank during the year preceding 
                        the year of such payment; divided by
                          [(ii) the average accruing loan 
                        volume of all of the banks of the 
                        System for the same period.
                  [(C) Payment of principal.--
                          [(i) In general.--After the end of 
                        the 15-year period beginning on the 
                        date of the issuance of any obligation 
                        issued to carry out this subsection, 
                        the banks operating under this Act 
                        shall pay to the Financial Assistance 
                        Corporation, on demand, an amount equal 
                        to the outstanding principal of the 
                        obligation. Each bank shall pay a 
                        proportion of the principal equal to--
                                  [(I) the average accruing 
                                loan volume of the bank for the 
                                preceding 15 years; divided by
                                  [(II) the average accruing 
                                loan volume of all banks of the 
                                System for the same period.
                          [(ii) Banks leaving system.--Any bank 
                        leaving the Farm Credit System pursuant 
                        to section 7.10 shall be required, 
                        under regulations of the Farm Credit 
                        Administration, to pay to the Financial 
                        Assistance Corporation the estimated 
                        present value of the payment required 
                        under this subparagraph had the bank 
                        remained in the System.
                          [(iii) Banks undergoing 
                        liquidation.--With respect to any bank 
                        undergoing liquidation under this Act, 
                        a liability to the Financial Assistance 
                        Corporation in the amount of the 
                        payment required under this 
                        subparagraph (calculated as if the bank 
                        had left the System on the date it was 
                        placed in liquidation) shall be 
                        recognized as a claim in favor of the 
                        Financial Assistance Corporation 
                        against the estate of the bank.
                          [(iv) Obligations of other banks.--
                        The obligations of other banks shall 
                        not be reduced in anticipation of any 
                        recoveries under this subparagraph from 
                        banks leaving the System or in 
                        liquidation, but the Financial 
                        Assistance Corporation shall apply the 
                        recoveries, when received, and all 
                        earnings on the recoveries, to reduce 
                        the other banks' payment obligations, 
                        or, to the extent the recoveries are 
                        received after the other banks have met 
                        their entire payment obligation, shall 
                        refund the recoveries, when received, 
                        to the other banks in proportion to the 
                        other banks' payments.
                  [(D) Annual payments.--
                          [(i) In general.--In order to provide 
                        for the orderly funding and discharge 
                        over time of the obligation of each 
                        System bank to the Financial Assistance 
                        Corporation under subparagraph (C), 
                        each System bank shall enter into or 
                        continue in effect an agreement with 
                        the Financial Assistance Corporation 
                        under which the bank will make annual 
                        annuity-type payments to the Financial 
                        Assistance Corporation, beginning no 
                        later than December 31, 1992 (except 
                        for any bank that did not meet its 
                        interim capital requirement on December 
                        31, 1990, in which case the bank shall 
                        begin making the payments no later than 
                        December 31, 1993) in amounts designed 
                        to accumulate, in total, including 
                        earnings on the amounts, to 90 percent 
                        of the bank's ultimate obligation. The 
                        Financial Assistance Corporation shall 
                        partially discharge the bank from its 
                        obligation under subparagraph (C) to 
                        the extent of each such payment and the 
                        earnings on the payment as earned.
                          [(ii) Capital requirements.--The 
                        agreement shall not require payments to 
                        be made to the extent that making a 
                        particular payment or part of a payment 
                        would cause the bank to fail to satisfy 
                        applicable regulatory permanent capital 
                        requirements, but shall provide for 
                        recalculation of subsequent payments 
                        accordingly.
                          [(iii) Investment; availability.--The 
                        funds received by the Financial 
                        Assistance Corporation pursuant to the 
                        agreements shall be invested in 
                        eligible investments as defined in 
                        section 6.25(a)(1). The funds and the 
                        earnings on the funds shall be 
                        available only for the payment of the 
                        principal of the bonds issued by the 
                        Financial Assistance Corporation under 
                        this subsection.
                  [(E) Until each obligation issued in 
                accordance with this subsection reaches 
                maturity, for all financial reporting purposes, 
                such obligation shall be considered to be the 
                sole obligation of the Financial Assistance 
                Corporation and shall not be considered a 
                liability of any System bank, nor shall the 
                obligation to make future annuity payments to 
                the Financial Assistance Corporation under 
                subparagraph (D) be considered a liability of 
                any System bank.
          [(4) Funds not considered financial assistance.--The 
        funds made available to each bank, whether through the 
        issuance of stock or otherwise, by the Financial 
        Assistance Corporation to meet obligations under any 
        agreement referred to in paragraph (1) or to meet any 
        obligations of the contributing banks under any such 
        agreement, as required by this subsection, shall not be 
        considered financial assistance under this Act.
          [(5) Suspension of preservation agreements.--During 
        the 5-year period beginning on the date of enactment of 
        this subsection and thereafter whenever funds from the 
        Farm Credit System Insurance Fund are available for use 
        in assisting System institutions to meet their 
        obligations on their debt instruments, activation of 
        the Thirty-Seven Banks Capital Preservation Agreement, 
        the Federal Land Banks Capital Preservation Agreement, 
        the Federal Intermediate Credit Banks Capital 
        Preservation Agreement, and the Banks for Cooperatives 
        Loss Sharing Agreement shall be suspended, in exchange 
        for the benefits flowing to the signatories to such 
        agreements under the Agricultural Credit Act of 1987.

[SEC. 6.10. EFFECT OF REGULATIONS; AUDITS.

  [(a) Issuance.--The Assistance Board may issue such 
regulations, policies, procedures, guidelines, or statements as 
the Board considers necessary or appropriate to carry out this 
title, all of which shall be promulgated and enforced without 
regard to subchapter II of chapter 5 of title 5, United States 
Code.
  [(b) Regulation by Farm Credit Administration.--The 
Assistance Board shall not be subject to regulation by the Farm 
Credit Administration.
  [(c) Audits.--The Assistance Board shall not require an audit 
or examination of a System institution that would be 
duplicative of an audit or examination that is conducted under 
other provisions of law.

[SEC. 6.11. EXEMPTION FROM TAXATION.

  [The Assistance Board, the capital, reserves, and surplus 
thereof, and the income derived therefrom, shall be exempt from 
Federal, State, municipal, and local taxation, except taxes on 
real estate held by the Assistance Board to the same extent, 
according to its value, as other similar property held by other 
persons is taxed.

[SEC. 6.12. TERMINATION.

  [The Assistance Board and the authority provided to the 
Assistance Board by this subtitle shall terminate on December 
31, 1992.

[SEC. 6.13. TRANSITIONAL PROVISIONS.

  [(a) Exercise of Powers.--The powers of the Assistance Board 
under this title shall be exercised by the Farm Credit 
Administration Board until the issuance of the charter of the 
Assistance Board, or such later date not to exceed 30 days 
thereafter, as may be requested by the Assistance Board.
  [(b) Limitation on Assistance.--Any assistance provided to 
System institutions by the Farm Credit Administration in 
accordance with this section shall be provided from, and shall 
not exceed, the amounts contained in the revolving fund 
established under section 4.0.
  [(c) Issuance of Stock.--Each institution that receives 
assistance from the Farm Credit Administration during the 
interim period specified in subsection (a), in consideration 
thereof, shall issue preferred stock to the Financial 
Assistance Corporation in an amount equal to the amount of such 
assistance. Payments by the Financial Assistance Corporation 
under subsection (d) shall be considered to be payments to each 
such institution for such stock.
  [(d) Repayment.--The Financial Assistance Corporation shall 
pay to the Farm Credit Administration, for return to the 
revolving fund established under section 4.0, the full amount 
of all financial assistance provided by the Farm Credit 
Administration in accordance with this section, from the 
proceeds from the sale of the first issue of obligations by the 
Financial Assistance Corporation in accordance with section 
6.26.]

Subtitle B--FINANCIAL ASSISTANCE CORPORATION

           *       *       *       *       *       *       *


SEC. 6.32. TERMINATION OF AUTHORITY.

  The authority provided in this subtitle shall terminate on 
December 31, 2018.

TITLE VII--RESTRUCTURING OF SYSTEM INSTITUTIONS

           *       *       *       *       *       *       *


 Subtitle B--Mergers, Transfers of Assets, and Powers of Associations 
Within a District

           *       *       *       *       *       *       *


                       Chapter 3--Reconsideration

SEC. 7.9. RECONSIDERATION.

  (a) Period.--A stockholder vote in favor of--
          (1) the merger of districts under this Act;
          (2) the merger of banks within a district under 
        section 7.0;
          (3) the transfer of the lending authority of a 
        Federal land bank or a merged bank having a Federal 
        land bank as one of its constituents, under section 7.6 
        or 7.13;
          (4) the merger of two or more associations under 
        section 7.8;
          (5) the termination of the status of an institution 
        as a System institution under section 7.10; or
          (6) the merger of similar banks under section 7.12;
shall not take effect except in accordance with subsection (b).
  (b) Reconsideration.--
          (1) Notice.--Not later than 30 days after a 
        stockholder vote in favor of any of the actions 
        described in subsection (a), the officer or employee 
        that records such vote shall ensure that all 
        stockholders of the voting entity receive notice of the 
        final results of the vote.
          (2) Effective date.--A voluntary merger, transfer, or 
        termination that is approved by a vote of the 
        stockholders of two or more banks or associations shall 
        not take effect until the expiration of 30 days after 
        the date on which the stockholders of such banks or 
        associations are notified of the final result of the 
        vote in accordance with paragraph (1).
          (3) Petition filed.--If a petition for 
        reconsideration of a merger, transfer, or termination 
        vote, signed by at least 15 percent of the stockholders 
        of one or more of the affected banks or associations, 
        is presented to the Farm Credit Administration within 
        30 days after the date of the notification required 
        under paragraph (1)--
                  (A) a voluntary merger, transfer, or 
                termination shall not take effect until the 
                expiration of 60 days after the date on which 
                the stockholders were notified of the final 
                result of the vote; and
                  (B) a special meeting of the stockholders of 
                the affected banks or associations shall be 
                held during the period referred to in 
                subparagraph (A) to reconsider the vote.
          (4) Vote on reconsideration.--If a majority of 
        stockholders of any one of the affected banks or 
        associations voting, in person or by written proxy, at 
        a duly authorized stockholders' meeting, vote against 
        the proposed merger, transfer, or termination, such 
        action shall not take place.
          (5) Failure to file petition.--If a petition for 
        reconsideration of such vote is either not filed prior 
        to the 60th day after the vote or, if timely filed, is 
        not signed by at least 15 percent of the stockholders, 
        the merger, transfer, or termination shall become 
        effective in accordance with the plan of merger, 
        transfer, or termination.
  [(c) Special Reconsideration.--
          [(1) Issuance of regulations.--Notwithstanding any 
        other provision of this Act, the Farm Credit 
        Administration shall issue regulations under which the 
        stockholders of any association that voluntarily merged 
        with one or more associations after December 23, 1985, 
        and before the date of the enactment of this section, 
        may petition for the opportunity to organize as a 
        separate association.
          [(2) Requirements.--The regulations issued by the 
        Farm Credit Administration shall require that--
                  [(A) the petition be filed within 1 year 
                after the date of the implementation of such 
                regulations;
                  [(B) the petition be signed by at least 15 
                percent of the stockholders of any one of the 
                associations that merged during the period;
                  [(C) the petition describe the territory in 
                which the proposed separate association will 
                operate;
                  [(D) if the petition is approved--
                          [(i) the loans of the members of the 
                        new association will be transferred 
                        from the current association to such 
                        new association;
                          [(ii) the stock, participation 
                        certificates, and other similar 
                        equities of the current association 
                        held by members of the new association 
                        will be retired at book value and the 
                        proceeds of such will be transferred to 
                        the new association, and an equivalent 
                        amount of stock, participation 
                        certificates, and other similar 
                        equities will be issued to the members 
                        by the new association; and
                          [(iii) the other assets of the 
                        current association will be distributed 
                        equitably among the current association 
                        and any resulting new association.
          [(3) Notification.--
                  [(A) In general.--Not later than 30 days 
                after the filing of the petition for 
                organization, the current association shall 
                notify its stockholders that a petition to 
                establish the separate association has been 
                filed.
                  [(B) Contents.--The notification required 
                under this paragraph shall contain--
                          [(i) the date of a special 
                        stockholders' meeting to consider the 
                        petition for organization; and
                          [(ii) an enumerated statement of the 
                        anticipated benefits and the potential 
                        disadvantages to such stockholders if 
                        the new association is established.
                  [(C) FCA approval.--
                          [(i) In general.--All notifications 
                        under this paragraph shall be submitted 
                        to the Farm Credit Administration Board 
                        for approval prior to being distributed 
                        to the stockholders.
                          [(ii) Amending notification.--The 
                        Farm Credit Administration Board shall 
                        require that, prior to the distribution 
                        of the notification to the 
                        stockholders, the notification be 
                        amended as determined necessary by the 
                        Board to provide accurate information 
                        to the stockholders that will enable 
                        such stockholders to make an informed 
                        decision as to the advisability of 
                        establishing a new association.
                  [(D) Special stockholders' meeting.--
                          [(i) Timing of meeting.--The special 
                        stockholders' meeting to consider the 
                        petition shall be held within 60 days 
                        after the filing of the petition.
                          [(ii) Approval.--If, at the special 
                        stockholders' meeting, a majority of 
                        the stockholders of the current 
                        association who would be served by the 
                        new association approve, by voting in 
                        person or by proxy, the establishment 
                        of the separate association, the Farm 
                        Credit Administration shall, within 30 
                        days of such vote, issue a charter to 
                        the new association and amend the 
                        charter of the current association to 
                        reflect the territory to be served by 
                        the new association.]

         Chapter 4--Termination and Dissolution of Institutions

SEC. 7.10. TERMINATION OF SYSTEM INSTITUTION STATUS.

  (a) Conditions.--A System institution may terminate the 
status of the institution as a System institution if--
          (1) the institution provides written notice to the 
        Farm Credit Administration Board not later than 90 days 
        prior to the proposed termination date;
          (2) the termination is approved by the Farm Credit 
        Administration Board;
          (3) the appropriate Federal or State authority grants 
        approval to charter the institution as a bank, savings 
        and loan association, or other financial institution;
          [(4) the institution pays to the Farm Credit 
        Assistance Fund, as created under section 6.25, if the 
        termination is prior to January 1, 1992, or pays to the 
        Farm Credit Insurance Fund, if the termination is after 
        such date, the amount by which the total capital of the 
        institution exceeds, 6 percent of the assets;]
          (4) the institution pays to the Farm Credit Insurance 
        Fund the amount by which the total capital of the 
        institution exceeds 6 percent of the assets;
          (5) the institution pays or makes adequate provision 
        for payment of all outstanding debt obligations of the 
        institution;
          (6) the termination is approved by a majority of the 
        stockholders of the institution voting, in person or by 
        written proxy, at a duly authorized stockholders' 
        meeting, held prior to giving notice to the Farm Credit 
        Administration Board; and
          (7) the institution meets such other conditions as 
        the Farm Credit Administration Board by regulation 
        considers appropriate.
  (b) Effect.--On termination of its status as a System 
institution--
          (1) the Farm Credit Administration Board shall revoke 
        the charter of the institution; and
          (2) the institution shall no longer be an 
        instrumentality of the United States under this Act.

           *       *       *       *       *       *       *


           TITLE VIII--AGRICULTURAL MORTGAGE SECONDARY MARKET

SEC. 8.0. DEFINITIONS.

   For purposes of this title:
          (1) Agricultural real estate.--The term 
        ``agricultural real estate'' means--
                  (A) a parcel or parcels of land, or a 
                building or structure affixed to the parcel or 
                parcels, that--
                          (i) is used for the production of one 
                        or more agricultural commodities or 
                        products; and
                          (ii) consists of a minimum acreage or 
                        is used in producing minimum annual 
                        receipts, as determined by the 
                        Corporation; or
                  (B) a principal residence that is a single 
                family, moderate-priced residential dwelling 
                located in a rural area, excluding--
                          (i) any community having a population 
                        in excess of 2,500 inhabitants; and
                          (ii) any dwelling, excluding the land 
                        to which the dwelling is affixed, with 
                        a value exceeding $100,000 (as adjusted 
                        for inflation).
          [(2) Board.--The term ``Board'' means--
                  [(A) the interim board of directors 
                established in section 8.2(a); and
                  [(B) the permanent board of directors 
                established in section 8.2(b);
        as the case may be.]
          (2) Board.--The term ``Board'' means the board of 
        directors established under section 8.2.
          (3) Certified facility.--The term ``certified 
        facility'' means--
                  (A) an agricultural mortgage marketing 
                facility that is certified under section 8.5; 
                or
                  (B) the Corporation and any affiliate 
                thereof.
          (4) Corporation.--The term ``Corporation'' means the 
        Federal Agricultural Mortgage Corporation established 
        in section 8.1.
          (5) Guarantee.--The term ``guarantee'' means the 
        guarantee of timely payment of the principal and 
        interest on securities representing interests in, or 
        obligations backed by, pools of qualified loans, in 
        accordance with this title.
          [(6) Interim board.--The term ``interim board'' means 
        the interim board of directors established in section 
        8.2(a).
          [(7)] (6) Originator.--The term ``originator'' means 
        any Farm Credit System institution, bank, insurance 
        company, business and industrial development company, 
        savings and loan association, association of 
        agricultural producers, agricultural cooperative, 
        commercial finance company, trust company, credit 
        union, or other entity that originates and services 
        agricultural mortgage loans.
          [(8) Permanent board.--The term ``permanent board'' 
        means the permanent board of directors established in 
        section 8.2(b).
          [(9)] (7) Qualified loan.--The term ``qualified 
        loan'' means an obligation--
                  (A)(i) that is secured by a fee-simple or 
                leasehold mortgage with status as a first lien, 
                on agricultural real estate located in the 
                United States that is not subject to any legal 
                or equitable claims deriving from a preceding 
                fee-simple or leasehold mortgage;
                  (ii) of--
                          (I) a citizen or national of the 
                        United States or an alien lawfully 
                        admitted for permanent residence in the 
                        United States; or
                          (II) a private corporation or 
                        partnership whose members, 
                        stockholders, or partners holding a 
                        majority interest in the corporation or 
                        partnership are individuals described 
                        in subclause (I); and
                  (iii) of a person, corporation, or 
                partnership that has training or farming 
                experience that, under criteria established by 
                the Corporation, is sufficient to ensure a 
                reasonable likelihood that the loan will be 
                repaid according to its terms;
                  (B) that is the portion of a loan guaranteed 
                by the Secretary of Agriculture pursuant to the 
                Consolidated Farm and Rural Development Act (7 
                U.S.C. 1921 et seq.), except that--
                          (i) subsections (b) [through (d)] and 
                        (c) of section 8.6, and sections 8.8 
                        and 8.9, shall not apply to the portion 
                        of a loan guaranteed by the Secretary 
                        or to an obligation, pool, or security 
                        representing an interest in or 
                        obligation backed by a pool of 
                        obligations relating to the portion of 
                        a loan guaranteed by the Secretary; and
                          (ii) the portion of a loan guaranteed 
                        by the Secretary shall be considered to 
                        meet all standards for qualified loans 
                        for all purposes under this Act; or
                  (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.).
          [(10)] (8) State.--The term ``State'' has the meaning 
        given such term in section 5.51.

   Subtitle A--Establishment and Activities of Federal Agricultural 
Mortgage Corporation

           *       *       *       *       *       *       *


SEC. 8.2. BOARD OF DIRECTORS.

  [(a) Interim Board.--
          [(1) Number and appointment.--Until the permanent 
        board of directors established in subsection (b) first 
        meets with a quorum of its members present, the 
        Corporation shall be under the management of an interim 
        board of directors composed of 9 members appointed by 
        the President within 90 days after the date of the 
        enactment of this title as follows:
                  [(A) 3 members appointed from among persons 
                who are representatives of banks, other 
                financial institutions or entities, and 
                insurance companies.
                  [(B) 3 members appointed from among persons 
                who are representatives of the Farm Credit 
                System institutions.
                  [(C) 2 members appointed from among persons 
                who are farmers or ranchers who are not 
                serving, and have not served, as directors or 
                officers of any financial institution or 
                entity, of which not more than 1 may be a 
                stockholder of any Farm Credit System 
                institution.
                  [(D) 1 member appointed from among persons 
                who represent the interests of the general 
                public and are not serving, and have not 
                served, as directors or officers of any 
                financial institution or entity.
          [(2) Political affiliation.--Not more than 5 members 
        of the interim board shall be of the same political 
        party.
          [(3) Vacancy.--A vacancy in the interim board shall 
        be filled in the manner in which the original 
        appointment was made.
          [(4) Continuation of membership.--If--
                  [(A) any member of the interim board who was 
                appointed to such board from among persons who 
                are representatives of banks, other financial 
                institutions or entities, insurance companies, 
                or Farm Credit System institutions ceases to be 
                such a representative; or
                  [(B) any member who was appointed from among 
                persons who are not or have not been directors 
                or officers of any financial institution or 
                entity becomes a director or an officer of any 
                financial institution or entity;
        such member may continue as a member for not longer 
        than the 45-day period beginning on the date such 
        member ceases to be such a representative or becomes 
        such a director or officer, as the case may be.
          [(5) Terms.--The members of the interim board shall 
        be appointed for the life of such board.
          [(6) Quorum.--5 members of the interim board shall 
        constitute a quorum.
          [(7) Chairperson.--The President shall designate 1 of 
        the members of the interim board as the chairperson of 
        the interim board.
          [(8) Meetings.--The interim board shall meet at the 
        call of the chairperson or a majority of its members.
          [(9) Voting common stock.--
                  [(A) Initial offering.--Upon the appointment 
                of sufficient members of the interim board to 
                convene a meeting with a quorum present, the 
                interim board shall arrange for an initial 
                offering of common stock and shall take 
                whatever other actions are necessary to proceed 
                with the operations of the Corporation.
                  [(B) Purchasers.--Subject to subparagraph 
                (C), the voting common stock shall be offered 
                to banks, other financial entities, insurance 
                companies, and System institutions under such 
                terms and conditions as the interim board may 
                adopt.
                  [(C) Distribution.--The voting stock shall be 
                fairly and broadly offered to ensure that no 
                institution or institutions acquire a 
                disproportionate amount of the total amount of 
                voting common stock outstanding of a class and 
                that capital contributions and issuances of 
                voting common stock for the contributions are 
                fairly distributed between entities eligible to 
                hold class A and class B stock, as provided 
                under section 8.4.
          [(10) Termination.--The interim board shall terminate 
        when the permanent board of directors established in 
        subsection (b) first meets with a quorum present.
  [(b) Permanent Board.--] (a) Board of Directors._
          [(1) Establishment.--Immediately after the date that 
        banks, other financial institutions or entities, 
        insurance companies, and System institutions have 
        subscribed and fully paid for at least $20,000,000 of 
        common stock of the Corporation, the Corporation shall 
        arrange for the election and appointment of a permanent 
        board of directors. After the termination of the 
        interim board, the Corporation shall be under the 
        management of the permanent board.]
          (1) Establishment.--The Corporation shall be under 
        the management of the Board of Directors.
          (2) Composition.--The [permanent] board shall consist 
        of 15 members, of which--
                  (A) 5 members shall be elected by holders of 
                common stock that are insurance companies, 
                banks, or other financial institutions or 
                entities;
                  (B) 5 members shall be elected by holders of 
                common stock that are Farm Credit System 
                institutions; and
                  (C) 5 members shall be appointed by the 
                President, by and with the advice and consent 
                of the Senate--
                          (i) which members shall not be, or 
                        have been, officers or directors of any 
                        financial institutions or entities;
                          (ii) which members shall be 
                        representatives of the general public;
                          (iii) of which members not more than 
                        3 shall be members of the same 
                        political party; and
                          (iv) of which members at least 2 
                        shall be experienced in farming or 
                        ranching.
          [(3) Presidential appointees.--The President shall 
        appoint the members of the permanent board referred to 
        in paragraph (2)(C) not later than the later of--
                  [(A) the date referred to in paragraph (1); 
                or
                  [(B) the expiration of the 270-day period 
                beginning on the date of the enactment of this 
                title.
          [(4)] (3) Vacancy.--
                  (A) Elected members.--Subject to paragraph 
                (6), a vacancy among the members elected to the 
                [permanent] board in the manner described in 
                subparagraph (A) or (B) of paragraph (2) shall 
                be filled by the [permanent] board from among 
                persons eligible for election to the position 
                for which the vacancy exists.
                  (B) Appointed members.--A vacancy among the 
                members appointed to the [permanent] board 
                under paragraph (2)(C) shall be filled in the 
                manner in which the original appointment was 
                made.
          [(5)] (4) Continuation of membership.--If--
                  (A) any member of the [permanent] board who 
                was appointed or elected to the [permanent] 
                board from among persons who are 
                representatives of banks, other financial 
                institutions or entities, insurance companies, 
                or Farm Credit System institutions ceases to be 
                such a representative; or
                  (B) any member who was appointed from persons 
                who are not or have not been directors or 
                officers of any financial institution or entity 
                becomes a director or an officer of any 
                financial institution or entity;
        such member may continue as a member for not longer 
        than the 45-day period beginning on the date such 
        member ceases to be such a representative, officer, or 
        employee or becomes such a director or officer, as the 
        case may be.
          [(6)] (5) Terms.--
                  (A) Appointed members.--The members appointed 
                by the President shall serve at the pleasure of 
                the President.
                  (B) Elected members.--The members elected 
                under subparagraphs (A) and (B) of subsection 
                (b)(2) shall each be elected annually for a 
                term ending on the date of the next annual 
                meeting of the common stockholders of the 
                Corporation and shall serve until their 
                successors are elected and qualified. Any seat 
                on the [permanent] board that becomes vacant 
                after the annual election of the directors 
                shall be filled by the members of the 
                [permanent] board from the same category of 
                directors, but only for the unexpired portion 
                of the term.
                  (C) Vacancy appointment.--Any member 
                appointed to fill a vacancy occurring before 
                the expiration of the term for which the 
                predecessor of the member was appointed shall 
                be appointed only for the remainder of such 
                term.
                  (D) Service after expiration of term.--A 
                member may serve after the expiration of the 
                term of the member until the successor of the 
                member has taken office.
          [(7)] (6) Quorum.--8 members of the [permanent] board 
        shall constitute a quorum.
          [(8)] (7) No additional pay for federal officers or 
        employees.--Members of the [permanent] board who are 
        fulltime officers or employees of the United States 
        shall receive no additional pay by reason of service on 
        the [permanent] board.
          [(9)] (8) Chairperson.--The President shall designate 
        1 of the members of the [permanent] board who are 
        appointed by the President as the chairperson of the 
        [permanent] board.
          [(10)] (9) Meetings.--The [permanent] board shall 
        meet at the call of the chairperson or a majority of 
        its members.
  [(c)] (b) Officers and Staff.--The Board may appoint, employ, 
fix the pay of, and provide other allowances and benefits for 
such officers and employees of the Corporation as the Board 
determines to be appropriate.

           *       *       *       *       *       *       *


SEC. 8.4. STOCK ISSUANCE.

  (a) Voting Common Stock.--
          (1) Issue.--The Corporation shall issue voting common 
        stock having such par value as may be fixed by the 
        Board from time to time. Voting common stock shall be 
        offered to banks, other financial entities, insurance 
        companies, and System institutions under such terms and 
        conditions as the Board may adopt. The voting stock 
        shall be fairly and broadly offered to ensure that no 
        institution or institutions acquire a disproportionate 
        amount of the total amount of voting common stock 
        outstanding of a class and that capital contributions 
        and issuances of voting common stock for the 
        contributions are fairly distributed between entities 
        eligible to hold Class A and Class B stock, as provided 
        under this paragraph. Each share of voting common stock 
        shall be entitled to one vote with rights of cumulative 
        voting at all elections of directors. [Voting shall be 
        by classes as described in section 8.2(a)(9).] The 
        stock shall be divided into two classes with the same 
        par value per share. Class A stock may be held only by 
        entities that are not Farm Credit System institutions 
        and that are entitled to vote for directors specified 
        in section [8.2(b)(2)(A)] 8.2(a)(2)(A), including 
        national banking associations (which shall be allowed 
        to purchase and hold such stock). Class B stock may be 
        held only by Farm Credit System institutions that are 
        entitled to vote for directors specified in section 
        [8.2(b)(2)(B)] 8.2(a)(2)(B).
          (2) Limitation on issue.--After the date the 
        permanent board first meets with a quorum of its 
        members present, voting common stock of the Corporation 
        may be issued only to originators and certified 
        facilities.
          (3) Authority of board to establish terms and 
        procedures.--The Board shall adopt such terms, 
        conditions, and procedures with regard to the issue of 
        stock under this section as may be necessary, including 
        the establishment of a maximum amount limitation on the 
        number of shares of voting common stock that may be 
        outstanding at any time.
          (4) Transferability.--Subject to such limitations as 
        the Board may impose, any share of any class of voting 
        common stock issued under this section shall be 
        transferable among the institutions or entities to 
        which shares of such class of common stock may be 
        offered under paragraph (1), except that, as to the 
        Corporation, such shares shall be transferable only on 
        the books of the Corporation.
          (5) Maximum number of shares.--No stockholder, other 
        than a holder of class B stock, may own, directly or 
        indirectly, more than 33 percent of the outstanding 
        shares of such class of the voting common stock of the 
        Corporation.
  (b) Required Capital Contributions.--
          (1) In general.--The Corporation may require each 
        originator and each certified facility to make, or 
        commit to make, such nonrefundable capital 
        contributions to the Corporation as are reasonable and 
        necessary to meet the administrative expenses of the 
        Corporation.
          (2) Stock issued as consideration for contribution.--
        The Corporation, from time to time, shall issue to each 
        originator or certified facility voting common stock 
        evidencing any capital contributions made pursuant to 
        this subsection.
  (c) Dividends.--
          (1) In general.--Such dividends as may be declared by 
        the Board, in the discretion of the Board, shall be 
        paid by the Corporation to the holders of the voting 
        common stock of the Corporation pro rata based on the 
        total number of shares of both classes of stock 
        outstanding.
          (2) Reserves requirement.--No dividend may be 
        declared or paid by the Board under this section unless 
        the Board determines that adequate provision has been 
        made for the reserve required under section 8.10(c)(1).
          (3) Dividends prohibited while obligations are 
        outstanding.--No dividend may be declared or paid by 
        the Board under this section while any obligation 
        issued by the Corporation to the Secretary of the 
        Treasury under section 8.13 remains outstanding.
  (d) Nonvoting Common Stock.--The Corporation is authorized to 
issue nonvoting common stock having such par value as may be 
fixed by the Board from time to time. Such nonvoting common 
stock shall be freely transferable, except that, as to the 
Corporation, such stock shall be transferable only on the books 
of the Corporation. Such dividends as may be declared by the 
Board, in the discretion of the Board, may be paid by the 
Corporation to the holders of the nonvoting common stock of the 
Corporation, subject to paragraphs (2) and (3) of subsection 
(c).
  (e) Preferred Stock.--
          (1) Authority of board.--The Corporation is 
        authorized to issue nonvoting preferred stock having 
        such par value as may be fixed by the Board from time 
        to time. Such preferred stock issued shall be freely 
        transferable, except that, as to the Corporation, such 
        stock shall be transferred only on the books of the 
        Corporation.
          (2) Rights of preferred stock.--Subject to paragraphs 
        (2) and (3) of subsection (c), the holders of the 
        preferred stock shall be entitled to such rate of 
        cumulative dividends, and such holders shall be subject 
        to such redemption or other conversion provisions, as 
        may be provided for at the time of issuance. No 
        dividends shall be payable on any share of common stock 
        at any time when any dividend is due on any share of 
        preferred stock and has not been paid.
          (3) Preference on termination of business.--In the 
        event of any liquidation, dissolution, or winding up of 
        the business of the Corporation, the holders of the 
        preferred shares of stock shall be paid in full at the 
        par value thereof, plus all accrued dividends, before 
        the holders of the common shares receive any payment.

           *       *       *       *       *       *       *


SEC. 8.6. GUARANTEE OF QUALIFIED LOANS.

  (a) Guarantee Authorized for Certified Facilities.--
          (1) In general.--Subject to the requirements of this 
        section and on such other terms and conditions as the 
        Corporation shall consider appropriate, the 
        Corporation--
                  (A) shall guarantee the timely payment of 
                principal and interest on the securities issued 
                by a certified facility that represents 
                interests solely in, or obligations fully 
                backed by, any pool consisting solely of 
                qualified loans which meet the applicable 
                standards established under section 8.8 and 
                which are held by such facility; and
                  (B) may issue a security, guaranteed as to 
                the timely payment of principal and interest, 
                that represents an interest solely in, or an 
                obligation fully backed by, a pool consisting 
                of qualified loans that--
                          (i) meet the applicable standards 
                        established under section 8.8; and
                          (ii) have been purchased and held by 
                        the Corporation.
          (2) Inability of facility to pay.--If the facility is 
        unable to make any payment of principal or interest on 
        any security for which a guarantee has been provided by 
        the Corporation under paragraph (1), the Corporation 
        shall make such payment as and when due in cash, and on 
        such payment shall be subrogated fully to the rights 
        satisfied by such payment.
          (3) Power of corporation.--Notwithstanding any other 
        provision of law, the Corporation is empowered, in 
        connection with any guarantee under this subsection, 
        whether before or after any default, to provide by 
        contract with the facility for the extinguishment, on 
        default by the facility, of any redemption, equitable, 
        legal, or other right, title, or interest of the 
        facility in any mortgage or mortgages constituting the 
        pool against which the guaranteed securities are 
        issued. With respect to any issue of guaranteed 
        securities, in the event of default and pursuant 
        otherwise to the terms of the contract, the mortgages 
        that constitute such pool shall become the absolute 
        property of the Corporation subject only to the 
        unsatisfied rights of the holders of the securities 
        based on and backed by such pool.
  (b) Other Responsibilities of and Limitations on Certified 
Facilities.--As a condition for providing any guarantees under 
this section for securities issued by a certified facility that 
represent interests in, or obligations backed by, any pool of 
qualified loans, the Corporation shall require such facility to 
agree to comply with the following requirements:
          (1) Loan default resolution.--The facility shall act 
        in accordance with the standards of a prudent 
        institutional lender to resolve loan defaults.
          (2) Subrogation of united states and corporation to 
        interests of facility.--The proceeds of any collateral, 
        judgments, settlements, or guarantees received by the 
        facility with respect to any loan in such pool, shall 
        be applied, after payment of costs of collection--
                  (A) first, to reduce the amount of any 
                principal outstanding on any obligation of the 
                Corporation that was purchased by the Secretary 
                of the Treasury under section 8.13 to the 
                extent the proceeds of such obligation were 
                used to make guarantees in connection with such 
                securities; and
                  (B) second, to reimburse the Corporation for 
                any such guarantee payments.
          (3) Loan servicing.--The originator of any loan in 
        such pool shall be permitted to retain the right to 
        service the loan.
          (4) Minority participation in public offerings.--The 
        facility shall take such steps as may be necessary to 
        ensure that minority owned or controlled investment 
        banking firms, underwriters, and bond counsels 
        throughout the United States have an opportunity to 
        participate to a significant degree in any public 
        offering of securities.
          (5) No discrimination against states with borrowers 
        rights.--The facility may not refuse to purchase 
        qualified loans originating in States that have 
        established borrowers rights laws either by statute or 
        under the constitution of such States, except that the 
        facility may require discounts or charge fees 
        reasonably related to costs and expenses arising from 
        such statutes or constitutional provisions.
  (c) Additional Authority of the Board.--To ensure the 
liquidity of securities for which guarantees have been provided 
under this section, the Board shall adopt appropriate standards 
regarding--
          (1) the characteristics of any pool of qualified 
        loans serving as collateral for such securities; and
          (2) transfer requirements.
  [(d) Aggregate Principal Amounts of Qualified Loans.--
          [(1) Initial year.--During the first year after the 
        date of the enactment of this title, the Corporation 
        may not provide guarantees for securities representing 
        interests in, or obligations backed by, qualified loans 
        (other than loans which back securities issued by Farm 
        Credit System institutions for which the Corporation 
        provides a guarantee) in an aggregate principal amount 
        in excess of 2 percent of the total agricultural real 
        estate debt outstanding at the close of the prior 
        calendar year (as published by the Board of Governors 
        of the Federal Reserve System), less all Farmers Home 
        Administration agricultural real estate debt.
          [(2) Second year.--During the year following the year 
        referred to in paragraph (1), the Corporation may not 
        provide guarantees for securities representing 
        interests in, or obligations backed by, qualified loans 
        (other than loans which back securities issued by Farm 
        Credit System institutions for which the Corporation 
        provides a guarantee) in an additional principal amount 
        in excess of 4 percent of the total agricultural real 
        estate debt outstanding at the close of the prior 
        calendar year, less all Farmers Home Administration 
        agricultural real estate debt.
          [(3) Third year.--During the year following the year 
        referred to in paragraph (2), the Corporation may not 
        provide guarantees for securities representing 
        interests in, or obligations backed by, qualified loans 
        (other than loans which back securities issued by Farm 
        Credit System institutions for which the Corporation 
        provides a guarantee) in an additional principal amount 
        in excess of 8 percent of the total agricultural real 
        estate debt outstanding at the close of the prior 
        calendar year, less all Farmers Home Administration 
        agricultural real estate debt.
          [(4) Subsequent years.--In years subsequent to the 
        year referred to in paragraph (3), the Corporation may 
        provide guarantees without regard to the principal 
        amount of the qualified loans guaranteed.
  [(e)] (d) Purchase of Guaranteed Securities.--
          (1) Purchase authority.--The Corporation (and 
        affiliates) may purchase, hold, and sell any securities 
        guaranteed under this section by the Corporation that 
        represent interests in, or obligations backed by, pools 
        of qualified loans. Securities issued under this 
        section shall have maturities and bear rates of 
        interest as determined by the Corporation.
          (2) Issuance of debt obligations.--The Corporation 
        (and affiliates) may issue debt obligations solely for 
        the purpose of obtaining amounts for the purchase of 
        any securities under paragraph (1), for the purchase of 
        qualified loans (as defined in section [8.0(9)] 
        8.0(7)), and for maintaining reasonable amounts for 
        business operations (including adequate liquidity) 
        relating to activities under this subsection.
          (3) Terms and limitations.--
                  (A) Terms.--The obligations issued under this 
                subsection shall have maturities and bear rates 
                of interest as determined by the Corporation, 
                and may be redeemable at the option of the 
                Corporation before maturity in the manner 
                stipulated in the obligations.
                  (B) Requirement.--Each obligation shall 
                clearly indicate that the obligation is not an 
                obligation of, and is not guaranteed as to 
                principal and interest by, the Farm Credit 
                Administration, the United States, or any other 
                agency or instrumentality of the United States 
                (other than the Corporation).
                  (C) Authority.--The Corporation may not issue 
                obligations pursuant to paragraph (2) under 
                this subsection while any obligation issued by 
                the Corporation under section 8.13(a) remains 
                outstanding.

SEC. 8.8. STANDARDS FOR QUALIFIED LOANS.

  (a) Standards.--
          (1) In general.--The Corporation shall establish 
        underwriting, security appraisal, and repayment 
        standards for qualified loans taking into account the 
        nature, risk profile, and other differences between 
        different categories of qualified loans.
          (2) Supervision, examination, and report of 
        condition.--The standards shall be subject to the 
        authorities of the Farm Credit Administration under 
        section 8.11.
          (3) Mortgage loans.--In establishing standards for 
        qualified loans, the Corporation shall confine 
        corporate operations, so far as practicable, to 
        mortgage loans that are deemed by the Board to be of 
        such quality so as to meet, substantially and 
        generally, the purchase standards imposed by private 
        institutional mortgage investors.
  (b) Minimum Criteria.--To further the purpose of this title 
to provide a new source of long-term fixed rate financing to 
assist farmers and ranchers to purchase agricultural real 
estate, the standards established by the Board pursuant to 
subsection (a) with respect to loans secured by agricultural 
real estate shall, at a minimum--
          (1) provide that no agricultural mortgage loan with a 
        loan-to-value ratio in excess of 80 percent may be 
        treated as a qualified loan;
          (2) require each borrower to demonstrate sufficient 
        cash-flow to adequately service the agricultural 
        mortgage loan;
          (3) contain sufficient documentation standards;
          (4) contain adequate standards to protect the 
        integrity of the appraisal process with respect to any 
        agricultural mortgage loans;
          (5) contain adequate standards to ensure that the 
        farmer or rancher is or will be actively engaged in 
        agricultural production, and require the borrower to 
        certify to the originator that the borrower intends to 
        continue agricultural production on the farm or ranch 
        involved;
          (6) minimize speculation in agricultural real estate 
        for nonagricultural purposes; and
          (7) in establishing the value of agricultural real 
        estate, consider the purpose for which the real estate 
        is taxed.
  (c) Loan Amount Limitation.--
          (1) In general.--A loan secured by agricultural real 
        estate may not be treated as a qualified loan if the 
        principal amount of such loan exceeds $2,500,000, 
        adjusted for inflation, except as provided in paragraph 
        (2).
          (2) Acreage exception.--Paragraph (1) shall not apply 
        with respect to any agricultural mortgage loan 
        described in such paragraph if such loan is secured by 
        agricultural real estate that, in the aggregate, 
        comprises not more than [1,000] 2,000 acres.
  (d) Nondiscrimination Requirement.--The standards established 
under subsection (a) shall not discriminate against small 
originators or small agricultural mortgage loans that are at 
least $50,000. The Board shall promote and encourage the 
inclusion of qualified loans for small farms and family farmers 
in the agricultural mortgage secondary market.

SEC. 8.9. EXEMPTION FROM RESTRUCTURING AND BORROWERS RIGHTS PROVISIONS 
                    FOR POOLED LOANS.

  (a) Restructuring.--Notwithstanding any other provision of 
law, sections 4.14, 4.14A, 4.14B, [4.14C,] 4.14D, and 4.36 
shall not apply to any loan included in a pool of qualified 
loans backing securities or obligations for which the 
Corporation provides guarantee. The loan servicing standards 
established by the Corporation shall be patterned after similar 
standards adopted by other federally sponsored secondary market 
facilities.
  (b) Borrowers Rights.--At the time of application for a loan 
(as defined in section 4.14A(a)(5)), originators that are Farm 
Credit System institutions shall give written notice to each 
applicant of the terms and conditions of the loan, setting 
forth separately terms and conditions for pooled loans and 
loans that are not pooled. This notice shall include a 
statement, if applicable, that the loan may be pooled and that, 
if pooled, sections 4.14, 4.14A, 4.14B, [4.14C,] 4.14D, and 
4.36 shall not apply. This notice also shall inform the 
applicant that he or she has the right not to have the loan 
pooled. Within 3 days from the time of commitment, an applicant 
has the right to refuse to allow the loan to be pooled, thereby 
retaining rights under sections 4.14, 4.14A, 4.14B, [4.14C,] 
4.14D, and 4.36, if applicable.

           *       *       *       *       *       *       *


SEC. 8.11. SUPERVISION, EXAMINATION, AND REPORT OF CONDITION.

  (a) Regulation.--
          (1) Authority.--Notwithstanding any other provision 
        of this Act, the Farm Credit Administration shall have 
        the authority to provide, acting through the Office of 
        Secondary Market Oversight--
                  (A) for the examination of the Corporation 
                and its affiliates; and
                  (B) for the general supervision of the safe 
                and sound performance of the powers, functions, 
                and duties vested in the Corporation and its 
                affiliates by this title, including through the 
                use of the authorities granted to the Farm 
                Credit Administration under--
                          (i) part C of title V; and
                          (ii) beginning 6 months after 
                        December 13, 1991, section 5.17(a)(9).
          (2) Considerations.--In exercising its authority 
        pursuant to this section, the Farm Credit 
        Administration shall consider--
                  (A) the purposes for which the Corporation 
                was created;
                  (B) the practices appropriate to the conduct 
                of secondary markets in agricultural loans; and
                  (C) the reduced levels of risk associated 
                with appropriately structured secondary market 
                transactions.
          (3) Office of secondary market oversight.--
                  (A) Not later than 180 days after the date of 
                enactment of this paragraph, the Farm Credit 
                Administration Board shall establish within the 
                Farm Credit Administration the Office of 
                Secondary Market Oversight.
                  (B) The Farm Credit Administration Board 
                shall carry out the authority set forth in this 
                section through the Office of Secondary Market 
                Oversight.
                  (C) The Office of Secondary Market Oversight 
                shall be managed by a full-time Director who 
                shall be selected by and report to the Farm 
                Credit Administration Board.
  (b) Examinations and Audits.--
          (1) In general.--The financial transactions of the 
        Corporation shall be examined by examiners of the Farm 
        Credit Administration in accordance with the principles 
        and procedures applicable to commercial corporate 
        transactions under such rules and regulations as may be 
        prescribed by the Administration.
          (2) Frequency.--The examinations shall occur at such 
        times as the Farm Credit Administration Board may 
        determine, but in no event less than once each year.
          (3) Access.--The examiners shall--
                  (A) have access to all books, accounts, 
                financial records, reports, files, and all 
                other papers, things, or property belonging to 
                or in use by the Corporation and necessary to 
                facilitate the audit; and
                  (B) be afforded full access for verifying 
                transactions with certified facilities and 
                other entities with whom the Corporation 
                conducts transactions.
  (c) Annual Report of Condition.--The Corporation shall make 
and publish an annual report of condition as prescribed by the 
Farm Credit Administration. Each report shall contain financial 
statements prepared in accordance with generally accepted 
accounting principles and contain such additional information 
as the Farm Credit Administration may by regulation prescribe. 
The financial statements of the Corporation shall be audited by 
an independent public accountant.
  (d) FCA Assessments to Cover Costs.--The Farm Credit 
Administration shall assess the Corporation for the cost to the 
Administration of any regulatory activities conducted under 
this section, including the cost of any examination.
  (e) Definition of Affiliate.--As used in this title, the term 
``affiliate'' shall mean an entity effectively controlled or 
owned by the Corporation, except that such term shall not 
include an originator (as defined in section [8.0(7)] 8.0(6)).
  (f) The Farm Credit Administration Board shall ensure that--
          (1) the Office of Secondary Market Oversight has 
        access to a sufficient number of qualified and trained 
        employees to adequately supervise the secondary market 
        activities of the Corporation; and
          (2) the supervision of the powers, functions, and 
        duties of the Corporation is performed, to the extent 
        practicable, by personnel who are not responsible for 
        the supervision of the banks and associations of the 
        Farm Credit System.

           *       *       *       *       *       *       *


  Subtitle B--Regulation of Financial Safety and Soundness of Federal 
Agricultural Mortgage Corporation

           *       *       *       *       *       *       *


SEC. 8.32. RISK-BASED CAPITAL LEVELS.

  (a) Risk-Based Capital Test.--[Not sooner than the expiration 
of the 3-year period beginning on the date of enactment of the 
Farm Credit System Reform Act of 1996, the] The Director of the 
Office of Secondary Market Oversight shall, by regulation, 
establish a risk-based capital test under this section for the 
Corporation. When applied to the Corporation, the risk-based 
capital test shall determine the amount of regulatory capital 
for the Corporation that is sufficient for the Corporation to 
maintain positive capital during a 10-year period in which both 
of the following circumstances occur:
          (1) Credit risk.--
                  (A) In general.--With respect to securities 
                representing an interest in, or obligations 
                backed by, a pool of qualified loans owned or 
                guaranteed by the Corporation and other 
                obligations of the Corporation, losses on the 
                underlying qualified loans occur throughout the 
                United States at a rate of default and severity 
                (based on any measurements of default 
                reasonably related to prevailing industry 
                practice in determining capital adequacy) 
                reasonably related to the rate and severity 
                that occurred in contiguous areas of the United 
                States containing an aggregate of not less than 
                5 percent of the total population of the United 
                States that, for a period of not less than 2 
                years (as established by the Director), 
                experienced the highest rates of default and 
                severity of agricultural mortgage losses, in 
                comparison with such rates of default and 
                severity of agricultural mortgage losses in 
                other such areas for any period of such 
                duration, as determined by the Director.
                  (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)] 8.0(7)(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.
          (2) Interest rate risk.--Interest rates on Treasury 
        obligations of varying terms increase or decrease over 
        the first 12 months of such 10-year period by not more 
        than the lesser of (A) 50 percent (with respect to the 
        average interest rates on such obligations during the 
        12-month period preceding the 10-year period), or (B) 
        600 basis points, and remain at such level for the 
        remainder of the period. This paragraph may not be 
        construed to require the Director to determine interest 
        rate risk under this paragraph based on the interest 
        rates for various long-term and short-term obligations 
        all increasing or all decreasing concurrently.
  (b) Considerations.--
          (1) Establishment of test.--In establishing the risk-
        based capital test under subsection (a)--
                  (A) the Director shall take into account 
                appropriate distinctions based on various types 
                of agricultural mortgage products, varying 
                terms of Treasury obligations, and any other 
                factors the Director considers appropriate;
                  (B) the Director shall conform loan data used 
                in determining credit risk to the minimum 
                geographic and commodity diversification 
                standards applicable to pools of qualified 
                loans eligible for guarantee;
                  (C) the Director may take into account 
                retained subordinated participating interests 
                under section 8.6(b)(2) (as in effect before 
                the date of the enactment of the Farm Credit 
                System Reform Act of 1996);
                  (D) the Director may take into account other 
                methods or tests to determine credit risk 
                developed by the Corporation before December 
                13, 1991; and
                  (E) the Director shall consider any other 
                information submitted by the Corporation in 
                writing during the 180-day period beginning on 
                December 13, 1991.
          (2) Revising test.--Upon the expiration of the 8-year 
        period beginning on December 13, 1991, the Director 
        shall examine the risk-based capital test under 
        subsection (a) and may revise the test. In making 
        examinations and revisions under this paragraph, the 
        Director shall take into account that, before December 
        13, 1991, the Corporation has not issued guarantees for 
        pools of qualified loans. To the extent that the 
        revision of the risk-based capital test causes a change 
        in the classification of the Corporation within the 
        enforcement levels established under section 8.35, the 
        Director shall waive the applicability of any 
        additional enforcement actions available because of 
        such change for a reasonable period of time, to permit 
        the Corporation to increase the amount of regulatory 
        capital of the Corporation accordingly.
  (c) Risk-Based Capital Level.--For purposes of this subtitle, 
the risk-based capital level for the Corporation shall be equal 
to the sum of the following amounts:
          (1) Credit and interest rate risk.--The amount of 
        regulatory capital determined by applying the risk-
        based capital test under subsection (a) to the 
        Corporation, adjusted to account for foreign exchange 
        risk.
          (2) Management and operations risk.--To provide for 
        management and operations risk, 30 percent of the 
        amount of regulatory capital determined by applying the 
        risk-based capital test under subsection (a) to the 
        Corporation.
  (d) Specified Contents.--
          (1) In general.--The regulations establishing the 
        risk-based capital test under this section shall--
                  (A) be issued by the Director for public 
                comment in the form of a notice of proposed 
                rulemaking, to be first published after the 
                expiration of the period referred to in 
                subsection (a); and
                  (B) contain specific requirements, 
                definitions, methods, variables, and parameters 
                used under the risk-based capital test and in 
                implementing the test (such as loan loss 
                severity, float income, loan-to-value ratios, 
                taxes, yield curve slopes, default experience, 
                prepayment rates, and performance of pools of 
                qualified loans).
          (2) Specificity.--The regulations referred to in 
        paragraph (1) shall be sufficiently specific to permit 
        an individual other than the Director to apply the test 
        in the same manner as the Director.
  (e) Availability of Model.--The Director shall make copies of 
the statistical model or models used to implement the risk-
based capital test under this section available for public 
acquisition and may charge a reasonable fee for such copies.

SEC. 8.33. MINIMUM CAPITAL LEVEL.

  (a) In General.--Except as provided in subsection (b), for 
purposes of this subtitle, the minimum capital level for the 
Corporation shall be an amount of core capital equal to the sum 
of--
          (1) 2.75 percent of the aggregate on-balance sheet 
        assets of the Corporation, as determined in accordance 
        with generally accepted accounting principles; and
          (2) 0.75 percent of the aggregate off-balance sheet 
        obligations of the Corporation, which, for the purposes 
        of this subtitle, shall include--
                  (A) the unpaid principal balance of 
                outstanding securities that are guaranteed by 
                the Corporation and backed by pools of 
                qualified loans;
                  (B) instruments that are issued or guaranteed 
                by the Corporation and are substantially 
                equivalent to instruments described in 
                subparagraph (A); and
                  (C) other off-balance sheet obligations of 
                the Corporation.
  (b) Transition Period.--
          (1) In general.--For purposes of this subtitle, the 
        minimum capital level for the Corporation--
                  (A) prior to January 1, 1997, shall be the 
                amount of core capital equal to the sum of--
                          (i) 0.45 percent of aggregate off-
                        balance sheet obligations of the 
                        Corporation;
                          (ii) 0.45 percent of designated on-
                        balance sheet assets of the 
                        Corporation, as determined under 
                        paragraph (2); and
                          (iii) 2.50 percent of on-balance 
                        sheet assets of the Corporation other 
                        than assets designated under paragraph 
                        (2);
                  (B) during the 1-year period ending December 
                31, 1997, shall be the amount of core capital 
                equal to the sum of--
                          (i) 0.55 percent of aggregate off-
                        balance sheet obligations of the 
                        Corporation;
                          (ii) 1.20 percent of designated on-
                        balance sheet assets of the 
                        Corporation, as determined under 
                        paragraph (2); and
                          (iii) 2.55 percent of on-balance 
                        sheet assets of the Corporation other 
                        than assets designated under paragraph 
                        (2);
                  (C) during the 1-year period ending December 
                31, 1998, shall be the amount of core capital 
                equal to--
                          (i) if the Corporation's core capital 
                        is not less than $25,000,000 on January 
                        1, 1998, the sum of--
                                  (I) 0.65 percent of aggregate 
                                off-balance sheet obligations 
                                of the Corporation;
                                  (II) 1.95 percent of 
                                designated on-balance sheet 
                                assets of the Corporation, as 
                                determined under paragraph (2); 
                                and
                                  (III) 2.65 percent of on-
                                balance sheet assets of the 
                                Corporation other than assets 
                                designated under paragraph (2); 
                                or
                          (ii) if the Corporation's core 
                        capital is less than $25,000,000 on 
                        January 1, 1998, the amount determined 
                        under subsection (a); and
                  (D) on and after January 1, 1999, shall be 
                the amount determined under subsection (a).
          (2) Designated on-balance sheet assets.--For purposes 
        of this subsection, the designated on-balance sheet 
        assets of the Corporation shall be--
                  (A) the aggregate on-balance sheet assets of 
                the Corporation acquired under section [8.6(e)] 
                8.6(d); and
                  (B) the aggregate amount of qualified loans 
                purchased and held by the Corporation under 
                section 8.3(c)(13).

           *       *       *       *       *       *       *


SEC. 8.35. ENFORCEMENT LEVELS.

  (a) In General.--The Director shall classify the Corporation, 
for purposes of this subtitle, according to the following 
enforcement levels:
          (1) Level i.--The Corporation shall be classified as 
        within level I if the Corporation--
                  (A) maintains an amount of regulatory capital 
                that is equal to or exceeds the risk-based 
                capital level established under section 8.32; 
                and
                  (B) equals or exceeds the minimum capital 
                level established under section 8.33.
          (2) Level ii.--The Corporation shall be classified as 
        within level II if--
                  (A) the Corporation--
                          (i) maintains an amount of regulatory 
                        capital that is less than the risk-
                        based capital level; and
                          (ii) equals or exceeds the minimum 
                        capital level; or
                  (B) the Corporation is otherwise classified 
                as within level II under subsection (b) of this 
                section.
          (3) Level iii.--The Corporation shall be classified 
        as within level III if--
                  (A) the Corporation--
                          (i) does not equal or exceed the 
                        minimum capital level; and
                          (ii) equals or exceeds the critical 
                        capital level established under section 
                        8.34; or
                  (B) the Corporation is otherwise classified 
                as within level III under subsection (b) of 
                this section.
          (4) Level iv.--The Corporation shall be classified as 
        within level IV if the Corporation--
                  (A) does not equal or exceed the critical 
                capital level; or
                  (B) is otherwise classified as within level 
                IV under subsection (b) of this section.
  (b) Discretionary Classification.--If at any time the 
Director determines in writing (and provides written 
notification to the Corporation and the Farm Credit 
Administration) that the Corporation is taking any action not 
approved by the Director that could result in a rapid depletion 
of core capital or that the value of the property subject to 
mortgages securitized by the Corporation or property underlying 
securities guaranteed by the Corporation, has decreased 
significantly, the Director may classify the Corporation--
          (1) as within level II, if the Corporation is 
        otherwise within level I;
          (2) as within level III, if the Corporation is 
        otherwise within level II; or
          (3) as within level IV, if the Corporation is 
        otherwise within level III.
  (c) Quarterly Determination.--The Director shall determine 
the classification of the Corporation for purposes of this 
subtitle on not less than a quarterly basis (and as appropriate 
under subsection (b)). The first such determination shall be 
made for the quarter ending March 31, 1992.
  (d) Notice.--Upon determining under subsection (b) or (c) 
that the Corporation is within level II or III, the Director 
shall provide written notice to the Congress and to the 
Corporation--
          (1) that the Corporation is within such level;
          (2) that the Corporation is subject to the provisions 
        of section 8.36 or 8.37, as applicable; and
          (3) stating the reasons for the classification of the 
        Corporation within such level.
  [(e) Implementation.--Notwithstanding paragraphs (1) and (2) 
of subsection (a), during the period beginning on December 13, 
1991, and ending on the effective date of the risk based 
capital regulation issued by the Director under section 8.32, 
the Corporation shall be classified as within level I if the 
Corporation equals or exceeds the minimum capital level 
established under section 8.33.]

           *       *       *       *       *       *       *


[SEC. 8.38. RECAPITALIZATION OF THE CORPORATION.

  [(a) Mandatory Recapitalization.--The Corporation shall 
increase the core capital of the Corporation to an amount equal 
to or greater than $25,000,000, not later than the earlier of--
          [(1) the date that is 2 years after the date of 
        enactment of this section; or
          [(2) the date that is 180 days after the end of the 
        first calendar quarter that the aggregate on-balance 
        sheet assets of the Corporation, plus the outstanding 
        principal of the off-balance sheet obligations of the 
        Corporation, equal or exceed $2,000,000,000.
  [(b) Raising Core Capital.--In carrying out this section, the 
Corporation may issue stock under section 8.4 and otherwise 
employ any recognized and legitimate means of raising core 
capital in the power of the Corporation under section 8.3.
  [(c) Limitation on Growth of Total Assets.--During the 2-year 
period beginning on the date of enactment of this section, the 
aggregate on-balance sheet assets of the Corporation plus the 
outstanding principal of the off-balance sheet obligations of 
the Corporation may not exceed $3,000,000,000 if the core 
capital of the Corporation is less than $25,000,000.
  [(d) Enforcement.--If the Corporation fails to carry out 
subsection (a) by the date required under paragraph (1) or (2) 
of subsection (a), the Corporation may not purchase a new 
qualified loan or issue or guarantee a new loan-backed security 
until the core capital of the Corporation is increased to an 
amount equal to or greater than $25,000,000.]

           *       *       *       *       *       *       *

                              ----------                              


                       AGRICULTURAL MARKETING ACT



           *       *       *       *       *       *       *
                        [general powers of board

  [Sec. 4. The board--
  [(1) shall maintain its principal office within the 
Washington, D.C.-Maryland-Virginia standard metropolitan 
statistical area, and such other offices in the United States 
as in its judgment are necessary.
  [(2) shall have an official seal which shall be judicially 
noticed.
  [(3) shall make an annual report to Congress upon the 
administration of this Act and any other matter relating to the 
better effectuation of the policy declared in section 1, 
including recommendations for legislation.
  [(4) may make such regulations as are necessary to execute 
the functions vested in it by this Act.
  [(5) may appoint and fix the salaries of a secretary and such 
experts, and, in accordance with the Classification Act of 
1923, as amended, and subject to the provisions of the civil 
service laws, such other officers and employees, as are 
necessary to execute such functions.
  [(6) may make such expenditures (including expenditures for 
rent and personal services at the seat of government and 
elsewhere, for law books, periodicals, and books of reference, 
and for printing and binding) as are necessary to execute such 
functions. Expenditures by the board shall be allowed and paid 
upon the presentation of itemized vouchers therefor approved by 
the chairman of the board.
  [(7) may sell at public or private sale to the highest 
responsible bidder, upon such terms and after such public 
advertisement as the Farm Credit Administration may deem in the 
public interest, any property, real or personal, or any 
interest therein, acquired by the United States on account of 
or as a result of any loans made from the revolving fund 
authorized by section 6 of this Act, as amended; may lease any 
such property, pending its sale, on such terms and for such 
period, not in excess of five years, as the Farm Credit 
Administration may deem in the public interest; and may incur 
and pay, from the said revolving fund, obligations and expenses 
for the operation, upkeep, maintenance, repair, disposition, 
insurance, and protection of any such property: Provided, That 
section 3709 of the Revised Statutes shall not be construed to 
apply to any purchase or service on account of such property.

                        [special powers of board

  [Sec. 5. The board is authorized and directed--
  [(1) to promote education in the principles and practices of 
cooperative marketing of agricultural commodities and food 
products thereof.
  [(2) to encourage the organization, improvement in methods, 
and development of effective cooperative associations.
  [(3) to keep advised from any available sources and make 
reports as to crop prices, experiences, prospects, supply, and 
demand, at home and abroad.

                            [revolving fund

  [Sec. 6. There is hereby authorized to be appropriated the 
sum of $500,000,000 which shall be made available by the 
Congress as soon as practicable after the approval of this Act 
and shall constitute a revolving fund to be administered by the 
board as provided in this Act. Any and all funds derived from 
the sale, lease, operation, or other disposition of any 
property, real or personal, acquired by the United States on 
account of or as a result of any loan made pursuant to the 
provisions of this Act, shall be covered into and become a part 
of said revolving fund. Effective upon enactment of this 
sentence the sum authorized to be appropriated for the 
aforesaid revolving fund is reduced from $500,000,000 to 
$150,000,000 and any amount in said fund in excess of 
$150,000,000 (including any amount thereof used to purchase 
capital stock in the central and regional banks for 
cooperatives) shall be credited to miscellaneous receipts of 
the Treasury.

                   [loans to cooperative associations

  [Sec. 7. (a) Upon application by any cooperative association 
the board is authorized to make loans to it from the revolving 
fund to assist in--
  [(1) the effective merchandising of agricultural commodities 
and food products thereof and the financing of its operations;
  [(2) the construction or acquisition by purchase or lease, or 
refinancing the cost of such construction or acquisition, of 
physical facilities.
  [(b) No loan shall be made to any cooperative association 
unless, in the judgment of the board, the loan is in 
furtherance of the policy declared in section 1 and the 
cooperative association applying for the loan has an 
organization and management, and business policies, of such 
character as to insure the reasonable safety of the loan and 
the furtherance of such policy.
  [(c) Loans for the construction or acquisition by purchase or 
lease of physical facilities, or for refinancing the cost of 
such construction or acquistion shall be subject to the 
following conditions:
  [(1) No such loan shall be made in an amount in excess of 60 
per centum of the appraised value of the security thereof.
  [(2) No loan for the purchase or lease of such facilities 
shall be made unless the Governor of the Farm Credit 
Administration finds that the purchase price or rent to be paid 
is reasonable.
  [(d) Loans for the construction or purchase of physical 
facilities, together with interest on the loans, shall be 
repaid upon an amortization plan over a period not in excess of 
twenty years.

                     [miscellaneous loan provisions

  [Sec. 8. (a)
  [(b) Payments of principal or interest upon any such loan or 
advance shall be covered into the revolving fund.
  [(c) Loans to any cooperative association or stabilization 
corporation shall be made upon the terms specified in this Act 
and upon such other terms not inconsistent therewith and upon 
such security as the board deems necessary.
  [(d) No loan or insurance agreement shall be made by the 
board if in its judgment the agreement is likely to increase 
unduly the production of any agricultural commodity of which 
there is commonly produced a surplus in excess of the annual 
marketing requirements.]

           *       *       *       *       *       *       *


              [examination of books and accounts of board

  [Sec. 14. Vouchers approved by the chairman of the board for 
expenditures from the revolving fund pursuant to any loan or 
advance or from insurance moneys pursuant to any insurance 
agreement, shall be final and conclusive upon all officers of 
the Government; except that all financial transactions of the 
board shall, subject to the above limitations, be examined by 
the General Accounting Office at such times and in such manner 
as the Comptroller General of the United States may by 
regulation prescribe.

                       [miscellaneous provisions

  [Sec. 15. (a) As used in this Act the term ``cooperative 
association'' means any association in which farmers act 
together in collectively processing, preparing for market, 
handling and/or marketing the farm products of persons so 
engaged and also means any association in which farmers act 
together in collectively purchasing, testing, grading, and/or 
processing their farm supplies: Provided, however, That such 
associations are operated for the mutual benefit of the members 
thereof as such producers or purchasers and conform to one or 
both of the following requirements:First. That no member of the 
association is allowed more than one vote because of the amount 
of stock or membership capital he may own therein; andSecond. 
That the association does not pay dividends on stock or 
membership capital in excess of 8 per centum per annum.And in 
any case to the following:Third. That the association shall not 
deal in the products of or supplies for non-members to an 
amount greater in value than such as are handled by it for 
members.
  [(b) It shall be unlawful for any member, officer, or 
employee of the board to speculate, directly or indirectly, in 
any agricultural commodity or product thereof, or in contracts 
relating thereto, or in the stock or membership interests of 
any association or corporation engaged in handling, processing, 
or disposing of any such commodity or product. Any person 
violating this subdivision shall upon conviction thereof be 
fined not more than $10,000, or imprisoned not more than ten 
years, or both.
  [(c) It shall be unlawful (1) for any cooperative 
association, stabilization corporation, clearing house 
association, or commodity committee, or (2) for any director, 
officer, employee, or member or person acting on behalf of any 
such association, corporation, or committee, to which or to 
whom information has been imparted in confidence by the board, 
to disclose such information in violation of any regulation of 
the board. Any such association, corporation, or committee, or 
director, officer, employee, or member thereof, violating this 
subdivision, shall be fined not more than $5,000, or imprisoned 
not more than five years, or both.
  [(d) If any provision of this Act is declared 
unconstitutional, or the applicability thereof to any person, 
circumstance, commodity, or class of transactions with respect 
to any commodity is held invalid, the validity of the remainder 
of the Act and the applicability of such provision to other 
persons, circumstances, commodities, and classes of 
transactions shall not be affected thereby.
  [(e) This Act may be cited as the ``Agricultural Marketing 
Act.''
  [(f) As used in this Act, the term ``agricultural commodity'' 
includes, in addition to other agricultural commodities, crude 
gum (oleoresin) from a living tree, and the following products 
as processed by the original producer of the crude gum 
(oleoresin) from which derived: Gum spirits of turpentine and 
gum rosin, as defined in the Naval Stores Act, approved March 
3, 1923.]
                              ----------                              


                          ACT OF JUNE 22, 1939



  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, [That 
interest rates in excess of the rates set forth in notes or 
other obligations taken by the Federal Farm Board or the Farm 
Credit Administration for loans made from the revolving fund 
authorized by section 6 of the Agricultural Marketing Act, 
approved June 15, 1929 (46 Stat. 11), shall not be charged or 
collected on any of said loans, whether such loans have been 
heretofore or are hereafter paid in whole or in part, except 
that in those cases where a borrower by specific contract has 
agreed to pay a higher rate of interest, the contract rate 
shall be charged for the period agreed upon; and the amount of 
any interest collected in excess of the rates thus set forth or 
contracted for shall be refunded out of said fund or credited 
on the borrower's indebtedness.]
                              ----------                              


             EMERGENCY RELIEF AND CONSTRUCTION ACT OF 1932



           *       *       *       *       *       *       *
         TITLE II--LOANS BY RECONSTRUCTION FINANCE CORPORATION

  [Sec. 201.
  [(e) The Farm Credit Administration is further authorized to 
create in any of the twelve Federal land-bank districts where 
it may deem the same to be desirable a regional agricultural 
credit corporation with a paid-up capital of not less than 
$3,000,000, to be subscribed for by the Farm Credit 
Administration and paid for out of the unexpended balance of 
the amounts allocated and made available to the Secretary of 
Agriculture under section 2 of the Farm Credit Administration 
Act. Such corporations shall be managed by officers and agents 
to be appointed by the Farm Credit Administration under such 
rules and regulations as its board of directors may prescribe. 
Such corporations are hereby authorized and empowered to make 
loans or advances to farmers and stockmen, the proceeds of 
which are to be used for an agricultural purpose (including 
crop production), or for the raising, breeding, fattening, or 
marketing of livestock, to charge such rates of interest or 
discount thereon as in their judgment are fair and equitable, 
subject to the approval of the Farm Credit Administration, and 
to rediscount with the Farm Credit Administration and the 
various Federal reserve banks and Federal intermediate credit 
banks any paper that they acquire which is eligible for such 
purpose. All expenses incurred m connection with the operation 
of such corporations shall be supervised and paid by the Farm 
Credit Administration under such rules and regulations as its 
board of directors may prescribe.]

           *       *       *       *       *       *       *

                              ----------                              


                 SECTION 2 OF THE ACT OF JULY 14, 1953

                            (Public Law 115)

  AN ACT TO amend the Act of April 6, 1949, to provide for additional 
 emergency assistance to farmers and stockmen, and for other puproses.

  [Sec. 2.  Loans under this Act shall be secured by the 
personal obligation and available security of the producer or 
producers, and in the case of loans to corporations or other 
business organizations, by the personal obligation and 
available security of each person holding as much as 10 per 
centum of the stock or other interest in the corporation or 
organization.]
                              ----------                              


                        FARM CREDIT ACT OF 1937



           *       *       *       *       *       *       *
  [Sec. 32.  Each regional agricultural credit corporation, 
created under the authority of section 201 (e) of the Emergency 
Relief and Construction Act of 1932 (U.S.C., 1934 edition, 
title 12, sec. 1148), in addition to the powers heretofore 
granted, shall have and, upon order or approval of the Farm 
Credit Administration, shall exercise the following rights, 
powers, and authority:
  [(a) To conduct, transact, and operate its business in any 
State in the continental United States, in the District of 
Columbia, and in Puerto Rico.
  [(b) To borrow money (other than by way of discount) from any 
other regional agricultural credit corporation, or any Federal 
intermediate credit bank, and to give security therefor.
  [(c) To lend any of its available funds to any other regional 
agricultural credit corporation at such rates of interest and 
upon such terms and conditions as may be approved by the Farm 
Credit Administration.
  [(d) To sell to or purchase from any other regional 
agricultural credit corporation or any corporation formed by 
consolidation or merger as provided in section 33 of this Act, 
any part of or all the assets of any such corporation, upon 
such terms and conditions as may be approved by the Farm Credit 
Administration, including the assumption of the liabilities of 
any such corporation, in whole or in part.
  [Sec. 33. (a) The Farm Credit Administration shall have the 
power and authority to order and effect the consolidation or 
merger of two or more regional agricultural credit 
corporations, on such terms and conditions as it shall direct.
  [(b) The Farm Credit Administration is authorized to grant 
charters to, prescribe bylaws for, and fix the capital of, 
regional agricultural credit corporations which may be formed 
by the consolidation of two or more regional agricultural 
credit corporations, and to approve or prescribe such 
amendments to the charter and bylaws of any regional 
agricultural credit corporation as it may from time to time 
deem necessary. Corporations formed by the consolidation of two 
or more regional agricultural credit corporations, as herein 
provided, shall have all the rights, powers, authority, and 
exemptions and shall be subject to the same supervision and 
control in the same manner as provided by law in respect to 
regional agricultural credit corporations organized under 
section 201 (e) of the Emergency Relief and Construction Act of 
1932.
  [Sec. 34.  Nothing contained in sections 32 and 33 of this 
Act shall be construed as limiting the rights, powers, and 
authority heretofore granted to the regional agricultural 
credit corporations, the Farm Credit Administration, or the 
Governor thereof by any Acts of Congress or Executive orders.]

           *       *       *       *       *       *       *

                              ----------                              


                          ACT OF MARCH 3, 1932



  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, [That the 
Secretary of Agriculture is hereby authorized to make advances 
or loans to individuals, under such regulations as he may 
prescribe, for the purpose of assisting in forming local 
agricultural-credit corporations, livestock-loan companies, or 
like organizations, or of increasing the capital stock of such 
corporations, companies, or organizations qualified to do 
business with Federal intermediate credit banks, or to which 
such privileges may be extended.]
  [Sec. 2. (a) No loans shall be made to individual 
stockholders on the capital stock of, or to create or increase 
the capital stock of such corporation, company, or organization 
in an amount in excess of 75 per centum of the par value of the 
capital stock of such corporation, company, or organization 
owned by or proposed to be subscribed to by such individual.
  [(b) No loan shall be made upon the capital stock of any 
corporation until the Secretary of Agriculture shall find that 
the financial structure of such corporation is sound and 
unimpaired and by him approved, nor shall any loan be made upon 
the capital stock of such corporation until the management of 
such company shall be made known to and approved by the 
Secretary, and the Secretary shall have the right at any time 
to declare the indebtedness to the Government that may be 
created hereunder due whenever in his judgement the financial 
structure of the corporation shall become so impaired or the 
management become so unsatisfactory as to jeopardize the 
interests of the Government.
  [Sec. 3.  No loan or advance shall be made to any individual 
upon the capital stock of or to create or increase the capital 
stock of any corporation, unless the paid in capital stock of 
such corporation shall be at least $10,000.
  [Sec. 4.  To carry out the provisions of this resolution, 
including all expenses incurred thereunder, there are 
authorized to be appropriated, out of the unexpended balances 
of appropriations made to carry out the provisions of Public 
Resolution Numbered 112, Seventy-first Congress (46 Stat. 
1032), as amended by the Interior Department Appropriation Act 
for the fiscal year ending June 30, 1932, and as amended by 
Public Resolution Numbered 120 (46 Stat. 1167), and out of the 
collections from loans made under Public Resolution Numbered 
112, as so amended, a sum not exceeding $10,000,000, which sum 
shall be paid into a revolving fund. Not to exceed 2 per centum 
of such fund may be used for expenses of administration. All 
moneys received from time to time upon the repayment of any 
advance or loan made pursuant to this Act, together with the 
interest, shall be paid into the revolving fund and shall 
thereafter be available for the purposes and in the manner 
hereinbefore provided.]

           *       *       *       *       *       *       *

                              ----------                              


                    AGRICULTURAL CREDIT ACT OF 1987



           *       *       *       *       *       *       *
                   TITLE V--STATE MEDIATION PROGRAMS

Subtitle A--Matching Grants for State Mediation Programs

           *       *       *       *       *       *       *


SEC. 506. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
subtitle $7,500,000 for each of the fiscal years 1988 through 
[2018] 2023.

           *       *       *       *       *       *       *

                              ----------                              


                     RURAL DEVELOPMENT ACT OF 1972



           *       *       *       *       *       *       *
TITLE V--RURAL DEVELOPMENT AND SMALL FARM RESEARCH AND EDUCATION

           *       *       *       *       *       *       *


  Sec. 502. Programs Authorized.--The Secretary of Agriculture 
(referred to in this title as the ``Secretary'') may conduct, 
in cooperation and coordination with colleges and universities, 
the following programs to carry out the purposes and achieve 
the goals of this title.
  (a) Rural Development Extension Programs.--Rural development 
extension programs shall consist of the collection, 
interpretation, and dissemination of useful information and 
knowledge from research and other sources to units of 
multistate regional agencies, State, county, municipal, and 
other units of government, multicounty planning and development 
districts, organizations of citizens contributing to community 
and rural development, businesses, Indian tribes on Federal or 
State reservations or other federal recognized Indian tribal 
groups, and industries that employ or may employ people in 
rural area. The rural development extension programs shall also 
promote coordinated and integrated rural community initiatives 
that advance and empower capacity building through leadership 
development, entrepreneurship, business development and 
management training, and strategic planning to increase jobs, 
income, and quality of life in rural communities. These 
programs also shall include technical services and educational 
activities, including instruction for persons not enrolled as 
students in colleges or universities, to facilitate and 
encourage the use and practical application of this 
information. These programs may also include feasibly studies 
and planning assistance.
  (b) Rural Development Research.--Rural development research 
shall consist of research, investigations, and basic 
feasibility studies in any field or discipline that may develop 
principles, facts, scientific and technical knowledge, new 
technology, and other information that may be useful to 
agencies of Federal, State, and local government, industries in 
rural areas, Indian tribes on Federal and State reservations or 
other federally recognized Indian tribal groups, and other 
organizations involved in community and rural development 
programs and activities in planning and carrying out such 
programs and activities or otherwise be practical and useful in 
achieving the purposes and goals of this title.
  (c) Small Farm Research Programs.--Small farm research 
programs shall consist of programs of research to develop new 
approaches for initiating and upgrading small farm operations 
through management techniques, agricultural production 
techniques, farm machinery technology, new products, new 
marketing techniques, and small farm finance; to develop new 
enterprises that can use labor, skills, or natural resources 
available to the small farm family; or that will help to 
increase the quality and availability of services and 
facilities needed by the small farm family.
  (d) Small Farm Extension Programs.--Small farm extension 
programs shall consist of extension programs to improve small 
farm operations, including management techniques, agricultural 
production techniques, farm machinery technology, marketing 
techniques and small farm finance; to increase use by small 
farm families of existing services offered by the Department of 
Agriculture and other public and private agencies and 
organizations; to assist small farm families in establishing 
and operating cooperatives for the purpose of improving their 
family income from farming or other economic activities; to 
increase the quality and availability of services and 
facilities needed by small farm families; and to develop new 
enterprises that can use labor, skills, or natural resources 
available to the small farm family.
  (e) Special Grants Programs.--Special grants programs shall 
consist of extension and research programs to strengthen 
research and education on national and regional issues in rural 
development, including the assessment of alternative policies 
and strategies for rural development and balanced growth; to 
develop alternative strategies for national and regional 
investment, and the creation of employment, in rural areas; to 
develop alternative energy policies to meet rural development 
needs; and to strengthen rural development programs of agencies 
of the Department of Agriculture and those in other Federal 
departments and agencies.
  (h) Rural Development Extension Work.--
          (1) National program.--The Secretary [of Agriculture] 
        shall establish a national program, to be administered 
        by the National Institute of Food and Agriculture, to 
        provide rural citizens with training in, technical and 
        management assistance regarding, and educational 
        opportunities to enhance their knowledge of--
                  (A) beginning businesses through 
                entrepreneurship;
                  (B) the procedures necessary to establish new 
                businesses in rural areas;
                  (C) self-employment opportunities in rural 
                areas;
                  (D) the uses of modern telecommunications and 
                computer technologies;
                  (E) business and financial planning; and
                  (F) such other training, assistance, and 
                educational opportunities as the Secretary 
                determines are necessary to carry out the 
                program established under this subsection.
          (2) Leadership abilities.--The program established 
        under this subsection shall provide assistance designed 
        to increase the leadership abilities of residents in 
        rural areas. Such assistance shall include--
                  (A) information relevant to the development 
                of community goals;
                  (B) instruction regarding the methods by 
                which State or Federal funding for rural 
                development projects might be obtained;
                  (C) instruction regarding the successful 
                writing of applications for loan or grant funds 
                from government and private sources;
                  (D) an updated listing of State, Federal, and 
                other economic development programs available 
                to rural areas; and
                  (E) such other training, information, and 
                assistance as the Secretary determines 
                necessary to increase the leadership abilities 
                of residents in rural areas.
          (3) Catalog of programs.--The National Rural 
        Information Center Clearinghouse of the National 
        Agricultural Library, in cooperation with the Extension 
        Service in each State, should develop, maintain, and 
        provide to each community, and make accessible to any 
        other interested party, a catalog of available State, 
        Federal, or private programs that provide leadership 
        training or other information or services similar or 
        complementary to the training or services required by 
        this subsection. Such catalog should include, at a 
        minimum, the following entities within the State that 
        provide such training or services:
                  (A) Any rural electric cooperative.
                  (B) Any nonprofit company development 
                corporation.
                  (C) Any economic development district that 
                serves a rural community.
                  (D) Any nonprofit subsidiary of any private 
                entity.
                  (E) Any nonprofit organization whose 
                principal purpose is to promote economic 
                development in rural areas.
                  (F) Any investor or publicly owned electric 
                utility.
                  (G) Any small business development center or 
                small business investment company.
                  (H) Any regional development organization.
                  (I) Any vocational or technical school.
                  (J) Any Federal, State, or local government 
                agency or department.
                  (K) Any other entity that the Secretary deems 
                appropriate.
        The extension service in each State should include in 
        the catalog information on the specific training or 
        services provided by each entity in the catalog.
          (4) Employee training.--The Secretary shall provide 
        training for appropriate State extension service 
        employees, assigned to programs other than rural 
        development, to ensure that such employees understand 
        the availability of rural development programs in their 
        respective States and the availability of National 
        Institute of Food and Agriculture staff qualified to 
        provide to rural citizens and to State extension staff 
        training and materials for technical, management, and 
        educational assistance.
          (5) Coordination of assistance.--The Secretary shall 
        ensure, to the extent practicable, that assistance 
        provided under this subsection is coordinated with and 
        delivered in cooperation with similar services or 
        assistance provided by other Federal agencies or 
        programs for rural residents.
  (i) Rural Health and Safety Education Programs.--
          (1) Programs authorized.--
                  (A) Individual and family health education.--
                The Secretary may make grants for the 
                establishment of individual and family health 
                education programs that shall provide 
                individuals and families with--
                          (i) information concerning the value 
                        of good health;
                          (ii) information to increase the 
                        individual or families motivation to 
                        take more responsibility for their own 
                        health;
                          (iii) access to health promotion 
                        activities; and
                          (iv) training for volunteers and 
                        health services providers concerning 
                        health promotion and health care 
                        services, in cooperation with the 
                        Department of Health and Human 
                        Services.
                  (B) Farm safety education.--The Secretary may 
                make grants for the establishment of farm 
                safety education programs that shall provide 
                information and training to farm workers, 
                timber harvesters, and farm families concerning 
                safety in the work place, including information 
                and training concerning--
                          (i) the reduction of occupational 
                        injury and death rates;
                          (ii) the reduction and prevention of 
                        exposure to farm chemicals;
                          (iii) the reduction of agricultural 
                        respiratory diseases and dermititis;
                          (iv) the reduction and prevention of 
                        noise induced hearing loss;
                          (v) the occupational rehabilitation 
                        of farmers and timber harvesters with 
                        physical disabilities; and
                          (vi) farm accident rescue procedures.
                  (C) Rural health leadership development.--The 
                Secretary, in consultation with the Office of 
                Rural Health Policy of the Department of Health 
                and Human Services, may make grants to academic 
                medical centers or land grant colleges and 
                universities, or any combination thereof, for 
                the establishment of rural health leadership 
                development education programs that shall 
                assist rural communities in developing health 
                care services and facilities that will provide 
                the maximum benefit for the resources invested 
                and assist community leaders and public 
                officials in understanding their roles and 
                responsibilities relative to rural health 
                services and facilities, including--
                          (i) community decisions regarding 
                        funding for and retention of rural 
                        hospitals;
                          (ii) rural physician and allied 
                        health professionals recruitment and 
                        retention;
                          (iii) the aging rural population and 
                        senior services required to care for 
                        the population;
                          (iv) the establishment and 
                        maintenance of rural emergency medical 
                        services systems; and
                          (v) the application of computer-
                        assisted capital budgeting decision 
                        aids for rural health services and 
                        facilities.
          (2) Coordination of programs.--Educational programs 
        conducted with grants awarded under this subsection 
        shall be coordinated with the State offices of rural 
        health and other appropriate programs of the Department 
        of Health and Human Services.
          (3) Dissemination of information.--Educational 
        programs conducted with grants awarded under this 
        subsection shall provide leadership within the State 
        for the dissemination of appropriate rural health and 
        safety information resources possessed by the Rural 
        Information Center established at the National 
        Agricultural Library.
          (4) Procedures and limitations.--The Secretary shall 
        establish policies, procedures and limitations that 
        shall apply to States or entities described in 
        paragraph (1)(C) that desire to receive a grant under 
        this subsection. In States with land-grant colleges and 
        universities that are eligible to receive funds under 
        the Act of July 2, 1862 (7 U.S.C. 301 et seq.), and the 
        Act of August 30, 1890 (7 U.S.C. 321 et seq.), 
        including Tuskegee University, and universities which 
        receive Rural Health Research Center grants, such 
        eligible institutions shall mutually determine the type 
        of rural health and safety education program needed in 
        the State within which such institutions reside.
          (5) Procedure during temporary reprioritizations.--
        While a temporary reprioritization announced under 
        section 608 of the Rural Development Act of 1972 is in 
        effect, in making grants under this subsection, the 
        Secretary shall give priority to an applicant that will 
        use the grant to address the announced emergency.
          [(5)] (6) Limitations on authorization of 
        appropriations.--For grants under this subsection, 
        there are authorized to be appropriated $5,000,000 for 
        fiscal year 1991, $10,000,000 for fiscal year 1992, 
        $15,000,000 for fiscal year 1993, and $20,000,000 for 
        fiscal year 1994 and each subsequent fiscal year. 
        Amounts appropriated under this subsection shall remain 
        available until expended.

           *       *       *       *       *       *       *


TITLE VI--MISCELLANEOUS

           *       *       *       *       *       *       *


SEC. 608. TEMPORARY PRIORITIZATION OF RURAL HEALTH ASSISTANCE.

  (a) Authority to Prioritize Certain Rural Health 
Applications.--The Secretary, after consultation with such 
public health officials as may be necessary, may announce a 
temporary reprioritization for certain rural development loan 
and grant applications to assist rural communities in 
responding to a specific health emergency.
  (b) Content of Announcement.--In the announcement, the 
Secretary shall--
          (1) specify the nature of the emergency affecting the 
        heath of rural Americans;
          (2) describe the actual and potential effects of the 
        emergency on the rural United States;
          (3) identify the services and treatments which can be 
        used to reduce those effects; and
          (4) publish the specific temporary changes needed to 
        assist rural communities in responding to the emergency
  (c) Notice.--Not later than 48 hours after making or 
extending an announcement under 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, and transmit to the Secretary of 
Health and Human Services, a written notice of the declaration 
or extension.
  (d) Extension.--The Secretary may extend an announcement 
under subsection (a) if the Secretary determines that the 
emergency will continue after the declaration would otherwise 
expire.
  (e) Expiration.--An announcement under subsection (a) shall 
expire on the earlier of--
          (1) the date the Secretary determines that the 
        emergency has ended; or
          (2) the end of the 360-day period beginning with the 
        later of--
                  (A) the date the announcement was made; or
                  (B) the date the announcement was most 
                recently extended.
                              ----------                              


                        ACT OF OCTOBER 28, 1992

                          (Public Law 102-551)

 AN ACT To amend the Food, Agriculture, Conservation, and Trade Act of 
 1990 to improve health care services and educational services through 
              telecommunications, and for other purposes.

SECTION 1. IMPROVEMENT OF HEALTH CARE SERVICES AND EDUCATIONAL SERVICES 
                    THROUGH TELECOMMUNICATIONS.

  (a) Amendatory (Omitted)
  (b) Extension of Chapter 1.--Notwithstanding any 
otherprovision of law, chapter 1 of subtitle D of title XXIII 
of the Food, Agriculture, Conservation and Trade Act of 1990 (7 
U.S.C. 950aaa et seq.), including the amendments made by this 
section,shall be effective until September 30, [2018] 2023.
  (c) Amendatory (Omitted)
  (d) Effect of Amendments.--The amendments made by this 
section shall not apply to funds appropriated for fiscal year 
1993to carry out subtitle D of title XXIII of the Food, 
Agriculture,Conservation, and Trade Act of 1990 (7 U.S.C. 
950aaa et seq.)or require the revision of any regulation 
proposed to carry outsuch subtitle during fiscal year 1993.
                              ----------                              


                   RURAL ELECTRIFICATION ACT OF 1936

TITLE I

           *       *       *       *       *       *       *


SEC. 8. LIMITATIONS ON USE OF ASSISTANCE.

  (a) Subject to subsections (b) and (c) of this section, the 
Secretary may allow a recipient of a grant, loan, or loan 
guarantee under this title to set aside not more than 10 
percent of the amount so received to provide retail broadband 
service.
  (b) A recipient who sets aside funds under subsection (a) of 
this section may use the funds only in an area that is not 
being provided with the minimum acceptable level of broadband 
service established under section 601(e), unless the recipient 
meets the requirements of section 601(d).
  (c) Nothing in this section shall be construed to limit the 
ability of any borrower to finance or deploy services 
authorized under this title.

           *       *       *       *       *       *       *

  Sec. 12. (a) The Secretary is authorized and empowered to 
extend the time of payment of interest or principal of any 
loans made by the Secretary pursuant to this Act, except that, 
with respect to any loan made under section 4 or section 201, 
the payment of interest or principal shall not be extended more 
than five years after such payment shall have become due.
  (b)(1) Subject to limitations established in appropriations 
Acts, the Secretary shall permit any borrower to defer the 
payment of principal and interest on any insured or direct loan 
made under this Act under circumstances described in this 
subsection, notwithstanding any limitation contained in 
subsection (a), except that such deferment shall not be 
permitted based on the determination of the Secretary of the 
financial hardship of the borrower.
  (2)(A) In the case of deferments made to enable the borrower 
to provide financing to local businesses, the deferment shall 
be repaid in equal installments, without the accrual of 
interest, over the 60-month period beginning on the date of the 
deferment, and the total amount of such payments shall be equal 
to the amount of the payment deferred.
  (B) In the case of deferments made to enable the borrower to 
provide community development assistance, technical assistance 
to businesses, and for other community, business, or economic 
development projects not included under subparagraph (A), the 
deferment shall be repaid in equal installments, without the 
accrual of interest, over the 120-month period beginning on the 
date of the deferment, and the total amount of such payments 
shall be equal to the amount of the payment deferred.
  (3)(A) A borrower may defer its debt service payments only in 
an amount equal to an investment made by such borrower as 
described in paragraph (2).
  (B) The amount of the deferment shall not exceed 50 percent 
of the total cost of a community or economic development 
project for which a deferment is provided under this 
subsection.
  (C) The total amount of deferments under this subsection 
during each of the fiscal years 1990 through 1993 shall not 
exceed 3 percent of the total payments due during such fiscal 
year from all borrowers on direct and insured loans made under 
this Act and shall not exceed 5 percent of such total payments 
due in each subsequent fiscal year.
  (D) At the time of a deferment, the borrower shall make a 
payment to a cushion of credit account established and 
maintained pursuant to section 313 in an amount equal to the 
amount of the payment deferred. The balance of such account 
shall not be reduced by the borrower below the level of the 
unpaid balance of the payment deferred. Subject to limitations 
established in annual appropriations Acts, such cushion of 
credit amounts and any other cushion of credit and advance 
payments of any borrower shall be included in the interest 
differential calculation under section [313(b)(2)(A)] 
313(b)(2).
  (4) The Secretary shall undertake all reasonable efforts to 
permit the full amount of deferments authorized by this 
subsection during each fiscal year.
  (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. 18. GENERAL PROHIBITIONS.

  (a) No Consideration of Borrower's Level of General Funds.--
The Secretary [and the Governor of the telephone bank] shall 
not deny or reduce any loan or loan advance under this Act 
based on a borrower's level of general funds.
  (b) Loan Origination Fees.--The Secretary [and the Governor 
of the telephone bank] may not charge any fee or charge not 
expressly provided in this Act in connection with any loan made 
or guaranteed under this Act.
  (c) Consultants.--
          (1) In general.--To facilitate timely action on 
        applications by borrowers for financial assistance 
        under this Act and for approvals required of the Rural 
        Electrification Administration pursuant to the terms of 
        outstanding loan or security instruments or otherwise, 
        the Secretary may use consultants funded by the 
        borrower, paid for out of the general funds of the 
        borrower, for financial, legal, engineering, and other 
        technical advice and services in connection with the 
        review of the application by the Rural Electrification 
        Administration.
          (2) Conflicts of interest.--The Secretary shall 
        establish procedures for the selection and the 
        provision of technical services by consultants to 
        ensure that the consultants have no financial or other 
        conflicts of interest in the outcome of the application 
        of the borrower.
          (3) Payment of costs.--The Secretary may not, without 
        the consent of the borrower, require, as a condition of 
        processing an application for approval, that the 
        borrower agree to pay the costs, fees, and expenses of 
        consultants hired to provide technical or advisory 
        services to the Secretary.
          (4) Contracts, grants, and agreements.--The Secretary 
        may enter into such contracts, grants, or cooperative 
        agreements as are necessary to carry out this section.
          (5) Use of consultants.--Nothing in this subsection 
        shall limit the authority of the Secretary to retain 
        the services of consultants from funds made available 
        to the Secretary or otherwise.

           *       *       *       *       *       *       *


                                TITLE II

  Sec. 201. From such sums as are from time to time made 
available by the Congress to the Secretary for such purpose, 
pursuant to section 3 of the Rural Electrification Act of 1936, 
as amended, the Secretary or is authorized and empowered to 
make loans to persons now providing or who may hereafter 
provide telephone service in rural areas, to public bodies now 
providing telephone service in rural areas and to cooperative, 
nonprofit, limited dividend, or mutual associations. Except as 
otherwise provided by this title, such loans shall be made 
under the same terms and conditions as are provided in section 
4 of said Act, for the purpose of financing the improvement, 
expansion, construction, acquisition, and operation of 
telephone lines, facilities, or systems to furnish and improve 
telephone service in rural areas: Provided, however, That the 
Secretary, in making such loans, shall give preference to 
persons providing telephone service in rural areas, to public 
bodies now providing telephone service in rural areas, and to 
cooperative, nonprofit, limited dividend, or mutual 
associations: And provided further, That for a period of one 
year from and after the effective date of this title 
applications for loans received by the Secretary from persons 
who on the effective date of this title are engaged in the 
operation of existing telephone service in rural areas shall be 
considered and acted upon before action is taken upon any 
application received from any other person for any loan to 
finance the furnishing or improvement of telephone service to 
substantially the same subscribers. The Secretary in making 
such loans shall, insofar as possible, obtain assurance that 
the telephone service to be furnished or improved thereby will 
be made available to the [wildest] widest practical number of 
rural users. When it is determined by the Secretary to be 
necessary in order to furnish or improve telephone service in 
rural areas, such loans may be made for the improvement, 
expansion, construction, acquisition, and operation of 
telephone lines, facilities, or systems without regard to their 
geographical location. The Secretary is further authorized and 
empowered to make loans for the purpose of refinancing 
outstanding indebtedness of persons furnishing telephone 
service in rural areas including indebtedness on a loan made 
under section 601: Provided, That such refinancing shall be 
determined by the Secretary to be necessary in order to furnish 
and improve telephone service in rural areas: And provided 
further, That such refinancing shall constitute not more than 
40 per centum of any loan made under this title. Loans under 
this section shall not be made unless the Secretary finds and 
centifies that in his judgment the security therefor is 
reasonably adequate and such loan will be repaid within the 
time agreed, nor shall such loan be made in any State which now 
has or may hereafter have a State regulatory body having 
authority to regulate telephone service and to require 
certificates of convenience and necessity to the applicant 
unless such certificate from such agency is first obtained. In 
a State in which there is no such agency or regulatory body 
legally authorized to issue such certificates to the applicant, 
no loan shall be made under this section unless the Secretary 
shall determine (and set forth his reasons therefor in writing) 
that no duplication of lines, facilities, or systems, providing 
reasonably adequate services will result therefrom.

           *       *       *       *       *       *       *


SEC. 204. LOAN FEASIBILITY.

   The Secretary [and the Governor of the telephone bank] may 
not, as a condition of making a telephone loan to an applicant 
therefor, require the applicant to--
          (1) increase the rates charged to the applicant's 
        customers or subscribers; or
          (2) increase the applicant's ratio of--
                  (A) net income or margins before interest; to
                  (B) the interest requirements on all of the 
                applicant's outstanding and proposed loans.

SEC. 205. CERTAIN RURAL DEVELOPMENT INVESTMENTS BY QUALIFIED TELEPHONE 
                    BORROWERS NOT TREATED AS DIVIDENDS OR 
                    DISTRIBUTIONS.

  (a) In General.--The Secretary [and the Governor of the 
telephone bank] shall not--
          (1) treat any amount invested by any qualified 
        telephone borrower for any purpose described in section 
        607(c)(2) of the Rural Development Act of 1972 
        (including any investment in, or extension of credit, 
        guarantee, or advance made to, an affiliated company of 
        the borrower, that is used by such company for such a 
        purpose) as a dividend or distribution of capital to 
        the extent that, immediately after such investment, the 
        aggregate of such investments does not exceed \1/3\ of 
        the net worth of the borrower; or
          (2) require a qualified telephone borrower to obtain 
        the approval of the Secretary [or the Governor of the 
        telephone bank] in order to make an investment 
        described in paragraph (1).
  (b) Qualified Telephone Borrower Defined.--As used in 
subsection (a), the term ``qualified telephone borrower'' means 
a person--
          (1) to whom a telephone loan has been made or 
        guaranteed under this Act; and
          (2) whose net worth is at least 20 percent of the 
        total assets of such person.

SEC. 206. GENERAL DUTIES AND PROHIBITIONS.

  (a) Duties.--The Secretary [and the Governor of the telephone 
bank] shall--
          (1) notwithstanding section 553(a)(2) of title 5, 
        United States Code, cause to be published in the 
        Federal Register, in accordance with subsections (b) 
        through (e) of section 553 of such title, all rules, 
        regulations, bulletins, and other written policy 
        standards governing the operations of the telephone 
        loan and loan guarantee programs administered under 
        this Act other than those relating to agency management 
        and personnel;
          (2) in evaluating the feasibility of a telephone loan 
        to be made to a borrower for telephone services, use--
                  (A) with respect to items for which the 
                regulatory authority with jurisdiction over the 
                provision of such services has approved the 
                depreciation rates used by the borrower, such 
                approved rates; and
                  (B) with respect to other items, the average 
                of the depreciation rates used by borrowers of 
                telephone loans made under this Act;
          (3) annually determine and publish the average 
        described in paragraph (2)(B); and
          (4) make loans for all purposes for which telephone 
        loans are authorized under section 201 [or 408], to the 
        extent of qualifying applications therefor.
  (b) Prohibitions.--The Secretary [and the Governor of the 
telephone bank] shall not--
          (1) rescind an insured telephone loan[, or a Rural 
        Telephone Bank loan,] made under this Act without the 
        consent of the borrower, unless all of the purposes for 
        which telephone loans have been made to the borrower 
        under this Act have been accomplished with funds 
        provided under this Act;
          (2) regulate the order or sequence of advances of 
        funds under telephone loans made under this Act to any 
        borrower who has received any combination of telephone 
        loans from the Secretary[, the Rural Telephone Bank,] 
        or the Federal Financing Bank; or
          (3) deny a loan or advance to, or take any other 
        adverse action against, an applicant for, or a borrower 
        of, a telephone loan under this Act for any reason that 
        is not based on a rule, regulation, bulletin, or other 
        written policy standard that has not been published 
        pursuant to section 553 of title 5, United States Code.

SEC. 207. PROMPT PROCESSING OF TELEPHONE LOANS.

   Within ten days after the end of the second and fourth 
calendar quarters of each year, the Secretary shall submit to 
the Committee on Agriculture and the Committee on 
Appropriations of the House of Representatives, and to the 
Committee on Agriculture, Nutrition, and Forestry and the 
Committee on Appropriations of the Senate, a report--
          (1) identifying each completed application for a 
        telephone loan under section [305,] 305 or a guarantee 
        of a telephone loan under section 306[, or a loan under 
        section 408,] that has not been finally acted upon 
        within ninety days after the date the completed 
        application is submitted; and
          (2) stating the reasons for the failure to finally 
        act upon the completed applications within such ninety-
        day period.

SEC. 208. AUTHORITY TO OBLIGATE, BUT NOT DISBURSE, FUNDS BEFORE THE 
                    COMPLETION OF REVIEWS.

  (a) In General.--The Secretary may obligate, but shall not 
disburse, funds under this title for a project before the 
completion of any otherwise required environmental, historical, 
or other review of the project.
  (b) Authority to Deobligate Funds.--The Secretary may 
deobligate funds under this title for a project if any such 
review will not be completed within a reasonable period of 
time.

                               TITLE III

  Sec. 301. Rural Electrification and Telephone Revolving 
Fund.--There is hereby established in the Treasury of the 
United States a fund, to be known as the Rural Electrification 
and Telephone Revolving Fund (hereinafter referred to as the 
``Fund''), consisting of:
          (1) all notes, bonds, obligations, liens, mortgages, 
        and property delivered or assigned to the Secretary 
        pursuant to loans heretofore or hereafter made under 
        sections 4, 5, and 201 of this Act and under this 
        title, as of the effective date of this title, as 
        revised herein, and all proceeds from the sales 
        hereunder of such notes, bonds, obligations, liens, 
        mortgages, and property, which shall be transferred to 
        and be assets of the fund;
          (2) undisbursed balances of electric and telephone 
        loans made under sections 4, 5, and 201, which as of 
        the effective date of this title, as revised herein, 
        shall be transferred to and be assets of the fund;
          (3) all collections of principal and interest 
        received on and after July 1, 1972, on notes, bonds, 
        judgments, or other obligations made or held under 
        titles I and II of this Act and under this title, 
        [except for net collection proceeds previously 
        appropriated for the purchase of class A stock in the 
        Rural Telephone Bank,] which shall be paid into and be 
        assets of the fund;
          (4) all appropriations for interest subsidies and 
        losses required under this title which may hereafter be 
        made by the Congress and the unobliged balances of any 
        funds made available for loans under the item ``Rural 
        Electrification Administration'' in the Department of 
        Agriculture and Agriculture-Environmental and Consumer 
        Protection Appropriations Acts; or
          (5) moneys borrowed from the Secretary of the 
        Treasury pursuant to section 304(a)[; and].
          [(6) shares of the capital stock of the Rural 
        Telephone Bank purchased by the United States pursuant 
        to section 406(a) of this Act and moneys received from 
        said bank upon retirement of said shares of stock in 
        accordance with the provisions of title IV of this Act, 
        when said shares and moneys shall be assets of the 
        fund.]

           *       *       *       *       *       *       *


SEC. 305. INSURED LOANS; INTEREST RATES AND LENDING LEVELS.

  (a) In General.--The Secretary is authorized to make insured 
loans under this title and at the interest rates hereinafter 
provided to the full extent of the assets available in the 
fund, subject only to limitations as to amounts authorized for 
loans and advances as may be from time to time imposed by the 
Congress of the United States for loans to be made in any one 
year, which amounts shall remain available until expended: 
Provided, That the Congress in the annual appropriation Act may 
also authorize the transfer of any excess cash in the fund for 
deposit into the Treasury as miscellaneous receipts: And 
provided further, That any such loans and advances shall not be 
included in the totals of the budget of the United States 
Government and shall be exempt from any general limitation 
imposed by statute on expenditures and net lending (budget 
outlays) of the United States.
  (b) Insured Loans.--Loans made under this section shall be 
insured by the Secretary when purchased by a lender. As used in 
this Act, an insured loan is one which is made, held, and 
serviced by the Secretary, and sold and insured by the 
Secretary hereunder; such loans shall be sold and insured by 
the Secretary without undue delay.
  (c) Insured Electric Loans.--
          (1) Hardship loans.--
                  (A) In general.--The Secretary shall make 
                insured electric loans, to the extent of 
                qualifying applications for the loans, at an 
                interest rate of 5 percent per year to any 
                applicant for a loan who meets each of the 
                following requirements:
                          (i) The average revenue per kilowatt-
                        hour sold by the applicant is not less 
                        than 120 percent of the average revenue 
                        per kilowatt-hour sold by all utilities 
                        in the State in which the applicant 
                        provides service.
                          (ii) The average residential revenue 
                        per kilowatt-hour sold by the applicant 
                        is not less than 120 percent of the 
                        average residential revenue per 
                        kilowatt-hour sold by all utilities in 
                        the State in which the applicant 
                        provides service.
                          (iii) The average per capita income 
                        of the residents receiving electric 
                        service from the applicant is less than 
                        the average per capita income of the 
                        residents of the State in which the 
                        applicant provides service, or the 
                        median household income of the 
                        households receiving electric service 
                        from the applicant is less than the 
                        median household income of the 
                        households in the State.
                  (B) Severe hardship loans.--In addition to 
                hardship loans that are made under subparagraph 
                (A), the Secretary may make an insured electric 
                loan at an interest rate of 5 percent per year 
                to an applicant for a loan if, in the sole 
                discretion of the Secretary, the applicant has 
                experienced a severe hardship.
                  (C) Limitation.--Except as provided in 
                subparagraph (D), the Secretary may not make a 
                loan under this paragraph to an applicant for 
                the purpose of furnishing or improving electric 
                service to a consumer located in an urban area 
                (as defined by the Bureau of the Census) if the 
                average number of consumers per mile of line of 
                the total electric system of the applicant 
                exceeds 17.
                  (D) Extremely high rates.--In addition to 
                hardship loans that are made under 
                subparagraphs (A) and (B), the Secretary shall 
                make insured electric loans, to the extent of 
                qualifying applications for the loans, at an 
                interest rate of 5 percent per year to any 
                applicant for a loan whose residential revenue 
                exceeds 15.0 cents per kilowatt-hour sold. A 
                qualifying application from such an applicant 
                for the purpose of furnishing or improving 
                electric service to a consumer located outside 
                of an urbanized area shall not be subject to 
                the conditions or limitation of subparagraph 
                (A) or (C).
          (2) Municipal rate loans.--
                  (A) In general.--The Secretary shall make 
                insured electric loans, to the extent of 
                qualifying applications for the loans, at the 
                interest rate described in subparagraph (B) for 
                the term or terms selected by the applicant 
                pursuant to subparagraph (C).
                  (B) Interest rate.--
                          (i) In general.--Subject to clause 
                        (ii), the interest rate described in 
                        this subparagraph on a loan to a 
                        qualifying applicant shall be--
                                  (I) the interest rate 
                                determined by the Secretary to 
                                be equal to the current market 
                                yield on outstanding municipal 
                                obligations with remaining 
                                periods to maturity similar to 
                                the term selected by the 
                                applicant pursuant to 
                                subparagraph (C), but not 
                                greater than the rate 
                                determined under section 
                                307(a)(3)(A) of the 
                                Consolidated Farm and Rural 
                                Development Act (7 U.S.C. 
                                1927(a)(3)(A)) that is based on 
                                the current market yield on 
                                outstanding municipal 
                                obligations; plus
                                  (II) if the applicant for the 
                                loan makes an election pursuant 
                                to subparagraph (D) to include 
                                in the loan agreement the right 
                                of the applicant to prepay the 
                                loan, a rate equal to the 
                                amount by which--
                                          (aa) the interest 
                                        rate on commercial 
                                        loans for a similar 
                                        period that afford the 
                                        borrower such a right; 
                                        exceeds
                                          (bb) the interest 
                                        rate on commercial 
                                        loans for the period 
                                        that do not afford the 
                                        borrower such a right.
                          (ii) Maximum rate.--The interest rate 
                        described in this subparagraph on a 
                        loan to an applicant for the loan shall 
                        not exceed 7 percent if--
                                  (I) the average number of 
                                consumers per mile of line of 
                                the total electric system of 
                                the applicant is less than 
                                5.50; or
                                  (II)(aa) the average revenue 
                                per kilowatt-hour sold by the 
                                applicant is more than the 
                                average revenue per kilowatt-
                                hour sold by all utilities in 
                                the State in which the 
                                applicant provides service; and
                                  (bb) the average per capita 
                                income of the residents 
                                receiving electric service from 
                                the applicant is less than the 
                                average per capita income of 
                                the residents of the State in 
                                which the applicant provides 
                                service, or the median 
                                household income of the 
                                households receiving electric 
                                service from the applicant is 
                                less than the median household 
                                income of the households in the 
                                State.
                          (iii) Exception.--Clause (ii) shall 
                        not apply to a loan to be made to an 
                        applicant for the purpose of furnishing 
                        or improving electric service to 
                        consumers located in an urban area (as 
                        defined by the Bureau of the Census) if 
                        the average number of consumers per 
                        mile of line of the total electric 
                        system of the applicant exceeds 17.
                  (C) Loan term.--
                          (i) In general.--Subject to clause 
                        (ii), the applicant for a loan under 
                        this paragraph may select the term for 
                        which an interest rate shall be 
                        determined pursuant to subparagraph 
                        (B), and, at the end of the term (and 
                        any succeeding term selected by the 
                        applicant under this subparagraph), may 
                        renew the loan for another term 
                        selected by the applicant.
                          (ii) Maximum term.--
                                  (I) Applicant.--The applicant 
                                may not select a term that ends 
                                more than 35 years after the 
                                beginning of the first term the 
                                applicant selects under clause 
                                (i).
                                  (II) Secretary.--The 
                                Secretary may prohibit an 
                                applicant from selecting a term 
                                that would result in the total 
                                term of the loan being greater 
                                than the expected useful life 
                                of the assets being financed.
                  (D) Call provision.--The Secretary shall 
                offer any applicant for a loan under this 
                paragraph the option to include in the loan 
                agreement the right of the applicant to prepay 
                the loan on terms consistent with similar 
                provisions of commercial loans.
          (3) Other source of credit not required in certain 
        cases.--The Secretary may not require any applicant for 
        a loan made under this subsection who is eligible for a 
        loan under paragraph (1) to obtain a loan from another 
        source as a condition of approving the application for 
        the loan or advancing any amount under the loan.
  (d) Insured Telephone Loans.--
          (1) Hardship loans.--
                  (A) In general.--The Secretary shall make 
                insured telephone loans, to the extent of 
                qualifying applications for the loans, at an 
                interest rate of 5 percent per year, to any 
                applicant who meets each of the following 
                requirements:
                          (i) The average number of subscribers 
                        per mile of line in the service area of 
                        the applicant is not more than 4.
                          (ii) The applicant is capable of 
                        producing net income or margins before 
                        interest of not less than 100 percent 
                        (but not more than 300 percent) of the 
                        interest requirements on all of the 
                        outstanding and proposed loans of the 
                        applicant.
                          (iii) The Secretary has approved a 
                        telecommunications modernization plan 
                        for the State under paragraph (3) and, 
                        if the plan was developed by telephone 
                        borrowers under this title, the 
                        applicant is a participant in the plan.
                          (iv) The average number of 
                        subscribers per mile of line in the 
                        area included in the proposed loan is 
                        not more than 17.
                  (B) Authority to waive tier requirement.--The 
                Secretary may waive the requirement of 
                subparagraph (A)(ii) in any case in which the 
                Secretary determines (and sets forth the 
                reasons for the waiver in writing) that the 
                requirement would prevent emergency restoration 
                of the telephone system of the applicant or 
                result in severe hardship to the applicant.
                  (C) Effect of lack of funds.--On request of 
                any applicant who is eligible for a loan under 
                this paragraph for which funds are not 
                available, the applicant shall be considered to 
                have applied for a loan under title IV.
          (2) Cost-of-money loans.--
                  (A) In general.--The Secretary may make 
                insured telephone loans for the acquisition, 
                purchase, and installation of telephone lines, 
                systems, and facilities (other than buildings 
                used primarily for administrative purposes, 
                vehicles not used primarily in construction, 
                and customer premise equipment) related to the 
                furnishing, improvement, or extension of rural 
                telecommunications service, at an interest rate 
                equal to the then current cost of money to the 
                Government of the United States for loans of 
                similar maturity, but not more than 7 percent 
                per year, to any applicant for a loan who meets 
                the following requirements:
                          (i) The average number of subscribers 
                        per mile of line in the service area of 
                        the applicant is not more than 15, or 
                        the applicant is capable of producing 
                        net income or margins before interest 
                        of not less than 100 percent (but not 
                        more than 500 percent) of the interest 
                        requirements on all of the outstanding 
                        and proposed loans of the applicant.
                          (ii) The Secretary has approved a 
                        telecommunications modernization plan 
                        for the State under paragraph (3) and, 
                        if the plan was developed by telephone 
                        borrowers under this title, the 
                        applicant is a participant in the plan.
                  (B) Concurrent loan authority.--On request of 
                any applicant for a loan under this paragraph 
                during any fiscal year, the Secretary shall--
                          (i) consider the application to be 
                        for a loan under this paragraph [and a 
                        loan under section 408]; and
                          (ii) if the applicant is eligible for 
                        a loan, make a loan to the applicant 
                        under this paragraph in an amount equal 
                        to the amount that bears the same ratio 
                        to the total amount of loans for which 
                        the applicant is eligible under this 
                        paragraph [and under section 408], as 
                        the amount made available for loans 
                        under this paragraph for the fiscal 
                        year bears to the total amount made 
                        available for loans under this 
                        paragraph [and under section 408] for 
                        the fiscal year.
                  (C) Effect of lack of funds.--On request of 
                any applicant who is eligible for a loan under 
                this paragraph for which funds are not 
                available, the applicant shall be considered to 
                have applied for a loan guarantee under section 
                306.
          (3) State telecommunications modernization plans.--
                  (A) Approval.--If, not later than 1 year 
                after final regulations are promulgated to 
                carry out this paragraph, any State, either by 
                statute or through the public utility 
                commission of the State, develops a 
                telecommunications modernization plan that 
                meets the requirements of subparagraph (B), the 
                Secretary shall approve the plan for the State. 
                If a State does not develop a plan in 
                accordance with the requirements of the 
                preceding sentence, the Secretary shall approve 
                any telecommunications modernization plan for 
                the State that meets the requirements that is 
                developed by a majority of the borrowers of 
                telephone loans made under this title who are 
                located in the State.
                  (B) Requirements.--For purposes of 
                subparagraph (A), a telecommunications 
                modernization plan must, at a minimum, meet the 
                following objectives:
                          (i) The plan must provide for the 
                        elimination of party line service.
                          (ii) The plan must provide for the 
                        availability of telecommunications 
                        services for improved business, 
                        educational, and medical services.
                          (iii) The plan must encourage and 
                        improve computer networks and 
                        information highways for subscribers in 
                        rural areas.
                          (iv) The plan must provide for--
                                  (I) subscribers in rural 
                                areas to be able to receive 
                                through telephone lines--
                                          (aa) conference 
                                        calling;
                                          (bb) video images; 
                                        and
                                          (cc) data at a rate 
                                        of at least 1,000,000 
                                        bits of information per 
                                        second; and
                                  (II) the proper routing of 
                                information to subscribers.
                          (v) The plan must provide for uniform 
                        deployment schedules to ensure that 
                        advanced services are deployed at the 
                        same time in rural and nonrural areas.
                          (vi) The plan must provide for such 
                        additional requirements for service 
                        standards as may be required by the 
                        Secretary.
                  (C) Finality of approval.--A 
                telecommunications modernization plan approved 
                under subparagraph (A) may not subsequently be 
                disapproved. Notwithstanding paragraphs 
                (1)(A)(iii) and (2)(A)(iii), [and section 
                408(b)(4)(C), the Secretary and the Governor of 
                the telephone bank] the Secretary may make a 
                loan to a borrower serving a State that does 
                not have a telecommunication modernization plan 
                approved by the Secretary if the loan is made 
                less than 1 year after the Secretary has 
                adopted final regulations implementing this 
                paragraph.
  Sec. 306. Guaranteed Loans; Accommodation and Subordination 
of Liens.--The Secretary may provide financial assistance to 
borrowers for purposes provided in the Rural Electrification 
Act of 1936, as amended, by guaranteeing loans, in the full 
amount thereof, made by [the Rural Telephone Bank, National 
Rural Utilities Cooperative Finance Corporation,] the National 
Rural Utilities Cooperative Finance Corporation and any other 
legally organized lending agency, or by accommodating or 
subordinating liens or mortgages in the fund held by the 
Secretary as owner or as trustee or custodian for purchases of 
notes from the fund, or by any combination of such guarantee, 
accommodation, or subordination. The Secretary shall not 
provide such assistance to any borrower of a telephone loan 
under this Act unless the borrower specifically applies for 
such assistance. No fees or charges shall be assessed for any 
such accommodation or subordination. Guaranteed loans shall 
bear interest at the rate agreed upon by the borrower and the 
lender. Guaranteed loans, and accommodation and subordination 
of liens or mortgages, may be made concurrently with an insured 
loan. The amount of guaranteed loans shall be subject only to 
such limitations as to amounts as may be authorized from time 
to time by the Congress of the United States: Provided, That 
any amounts guaranteed hereunder shall not be included in the 
totals of the budget of the United States Government and shall 
be exempt from any general limitation imposed by statute on 
expenditures and net lending (budget outlays) of the United 
States. As used in this title a guaranteed loan is one which is 
initially made, held, and serviced by a legally organized 
lending agency and which is guaranteed by the Secretary 
hereunder. A guaranteed loan, including the related guarantee, 
may be assigned to the extent provided in the contract of 
guarantee executed by the Secretary under this title; the 
assignability of such loan and guarantee shall be governed 
exclusively by said contract of guarantee.

           *       *       *       *       *       *       *


SEC. 309. LOAN TERMS AND CONDITIONS.

  Loans made for or insured through the fund shall be for the 
same purpose and on the same terms and conditions as are 
provided for loans in titles I and II of this Act except as 
otherwise provided in sections 303 to 308 inclusive. [The 
preceding sentence shall not be construed to make section 
408(b)(2) or 412 applicable to this title.]

           *       *       *       *       *       *       *


SEC. 313. CUSHION OF CREDIT PAYMENTS PROGRAM.

  (a) Establishment.--
          (1) In general.--The Secretary shall develop and 
        promote a program to encourage borrowers to voluntarily 
        make deposits into cushion of credit accounts 
        established within the Rural Electrification and 
        Telephone Revolving Fund.
          (2) Interest.--Amounts in each cushion of credit 
        account shall accrue interest to the borrower at a rate 
        of 5 percent per annum.
          (3) Balance.--A borrower may reduce the balance of 
        its cushion of credit account only if the amount 
        obtained from the reduction is used to make scheduled 
        payments on loans made or guaranteed under this Act.
  (b) Uses of Cushion of Credit Payments.--
          (1) In general.--
                  (A) Cash balance.--Cushion of credit payments 
                shall be held in the Rural Electrification and 
                Telephone Revolving Fund as a cash balance in 
                the cushion of credit accounts of borrowers.
                  (B) Interest.--All cash balance amounts 
                (obtained from cushion of credit payments, loan 
                payments, and other sources) held by the Fund 
                shall bear interest to the Fund at a rate equal 
                to the weighted average rate on outstanding 
                certificates of beneficial ownership issued by 
                the Fund.
                  (C) Credits.--The amount of interest accrued 
                on the cash balances shall be credited to the 
                Fund as an offsetting reduction to the amount 
                of interest paid by the Fund on its 
                certificates of beneficial ownership.
          (2) Rural economic development subaccount.--
                  [(A) Maintenance of account.--]The Secretary 
                shall maintain a subaccount within the Rural 
                Electrification and Telephone Revolving Fund to 
                which shall be credited, on a monthly basis, a 
                sum determined by multiplying the outstanding 
                cushion of credit payments made after October 
                1, 1987, by the difference (converted to a 
                monthly basis) between the average weighted 
                interest rate paid on outstanding certificates 
                of beneficial ownership issued by the Fund and 
                the 5 percent rate of interest provided to 
                borrowers on cushion of credit payments.
                  [(B) Grants.--The Secretary is authorized, 
                from the interest differential sums credited 
                this subaccount and from any other funds made 
                available thereto, to provide grants or zero 
                interest loans to borrowers under this Act for 
                the purpose of promoting rural economic 
                development and job creation projects, 
                including funding for project feasibility 
                studies, start-up costs, incubator projects, 
                and other reasonable expenses for the purpose 
                of fostering rural development.
                  [(C) Repayments.--In the case of zero 
                interest loans, the Secretary shall establish 
                such reasonable repayment terms as will ensure 
                borrower participation.
                  [(D) Proceeds.--All proceeds from the 
                repayment of such loans shall be returned to 
                the subaccount.
                  [(E) Number of grants.--Such loans and grants 
                shall be made during each fiscal year to the 
                full extent of the amounts held by the rural 
                economic development subaccount, subject only 
                to limitations as may be from time-to-time 
                imposed by law.]

SEC. 313A. GUARANTEES FOR BONDS AND NOTES ISSUED FOR ELECTRIFICATION OR 
                    TELEPHONE PURPOSES.

  [(a) In General.--Subject to subsection (b), the Secretary 
shall guarantee payments on bonds or notes issued by 
cooperative or other lenders organized on a not-for-profit 
basis if the proceeds of the bonds or notes are used to make 
loans for any electrification or telephone purpose eligible for 
assistance under this Act, including section 4 or 201 or to 
refinance bonds or notes issued for such purposes.]
  (a) Guarantees.--
          (1) In general.--Subject to subsection (b), the 
        Secretary shall guarantee payments on bonds or notes 
        issued by cooperative or other lenders organized on a 
        not-for-profit basis, if the proceeds of the bonds or 
        notes are used to make utility infrastructure loans, or 
        refinance bonds or notes issued for such purposes, to a 
        borrower that has at any time received, or is eligible 
        to receive, a loan under this Act.
          (2) Terms.--A bond or note guaranteed under this 
        section shall--
                  (A) have a term of 35 years; and
                  (B) by agreement between the Secretary and 
                the borrower, be repaid by the borrower by--
                          (i) periodic installments of 
                        principal and interest;
                          (ii) periodic installments of 
                        interest and, at the end of the term of 
                        the bond or note, by the repayment of 
                        the outstanding principal; or
                          (iii) a combination of the methods 
                        for repayment provided under clauses 
                        (i) and (ii).
  (b) Limitations.--
          (1) Outstanding loans.--A lender shall not receive a 
        guarantee under this section for a bond or note if, at 
        the time of the guarantee, the total principal amount 
        of such guaranteed bonds or notes outstanding of the 
        lender would exceed the principal amount of outstanding 
        loans of the lender [for eligible electrification or 
        telephone purposes consistent with this Act] to 
        borrowers described in subsection (a).
          (2) Generation of electricity.--The Secretary shall 
        not guarantee payment on a bond or note issued by a 
        lender, the proceeds of which are used for the 
        generation of electricity.
          (3) Qualifications.--The Secretary may deny the 
        request of a lender for the guarantee of a bond or note 
        under this section if the Secretary determines that--
                  (A) the lender does not have appropriate 
                expertise or experience or is otherwise not 
                qualified to make loans [for electrification or 
                telephone purposes] to borrowers under this 
                Act;
                  (B) the bond or note issued by the lender 
                would not be investment grade quality without a 
                guarantee; or
                  (C) the lender has not provided to the 
                Secretary a list of loan amounts approved by 
                the lender that the lender certifies are [for 
                eligible purposes described in subsection (a)] 
                to borrowers described in subsection (a).
          (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).
  (c) Fees.--
          (1) In general.--A lender that receives a guarantee 
        issued under this section on a bond or note shall pay a 
        fee to the Secretary.
          (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 
                guarantees as provided for in subsection 
                (e)(2).
          (4) Rural economic development subaccount.--Subject 
        to subsection (e)(2), fees collected under this 
        subsection shall be--
                  (A) deposited into the rural economic 
                development subaccount [maintained under 
                section 313(b)(2)(A)] that shall be maintained 
                as required by sections 313(b)(2) and 313B(f), 
                to remain available until expended; and
                  (B) used for the purposes described in 
                section [313(b)(2)(B)] 313(b)(2).
  (d) Guarantees.--
          (1) In general.--A guarantee issued under this 
        section shall--
                  (A) be for the full amount of a bond or note, 
                including the amount of principal, interest, 
                and call premiums;
                  (B) be fully assignable and transferable; and
                  (C) represent the full faith and credit of 
                the United States.
          (2) Limitation.--To ensure that the Secretary has the 
        resources necessary to properly examine the proposed 
        guarantees, the Secretary may limit the number of 
        guarantees issued under this section to 5 per year.
          (3) Department opinion.--On the timely request of a 
        lender, the General Counsel of the Department of 
        Agriculture shall provide the Secretary with an opinion 
        regarding the validity and authority of a guarantee 
        issued to the lender under this section.
  (e) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated such sums as are necessary to carry out 
        this section.
          (2) Fees.--To the extent that the amount of funds 
        appropriated for a fiscal year under paragraph (1) are 
        not sufficient to carry out this section, the Secretary 
        may use up to \1/3\ of the fees collected under 
        subsection (c) for the cost of providing guarantees of 
        bonds and notes under this section before depositing 
        the remainder of the fees into the rural economic 
        development subaccount [maintained under section 
        313(b)(2)(A)] required to be maintained by sections 
        313(b)(2) and 313B(f).
  (f) Termination.--The authority provided under this section 
shall terminate on September 30, [2018] 2023.

SEC. 313B. RURAL DEVELOPMENT LOANS AND GRANTS.

  (a) In General.--The Secretary shall provide grants or zero 
interest loans to borrowers under this Act for the purpose of 
promoting rural economic development and job creation projects, 
including funding for project feasibility studies, start-up 
costs, incubator projects, and other reasonable expenses for 
the purpose of fostering rural development.
  (b) Repayments.--In the case of zero interest loans, the 
Secretary shall establish such reasonable repayment terms as 
will encourage borrower participation.
  (c) Proceeds.--All proceeds from the repayment of such loans 
made under this section shall be returned to the subaccount 
that the Secretary shall maintain in accordance with sections 
313(b)(2) and 313B(f).
  (d) Number of Grants.--Loans and grants required under this 
section shall be made during each fiscal year to the full 
extent of the amounts made available under subsection (e).
  (e) Funding.--
          (1) Discretionary funding.--In addition to other 
        funds that are available to carry out this section, 
        there is authorized to be appropriated not more than 
        $10,000,000 for each of fiscal years 2019 through 2023 
        to carry out this section, to remain available until 
        expended.
          (2) Other funds.--In addition to the funds described 
        in paragraph (1), the Secretary shall use to provide 
        grants and loans under this section--
                  (A) the interest differential sums credited 
                to the subaccount described in subsection (c); 
                and
                  (B) subject to section 313A(e)(2), the fees 
                described in subsection (c)(4) of such section.
  (f) Maintenance of Account.--The Secretary shall maintain the 
subaccount described in section 313(b)(2), as in effect in 
fiscal year 2017, for purposes of carrying out this section.

[SEC. 314. LIMITATIONS ON AUTHORIZATION OF APPROPRIATIONS.

  [(a) Definition of Adjustment Percentage.--As used in this 
section, the term ``adjustment percentage'' means, with respect 
to a fiscal year, the percentage (if any) by which--
          [(1) the average of the Consumer Price Index (as 
        defined in section 1(f)(5) of the Internal Revenue Code 
        of 1986) for the 1-year period ending on July 31 of the 
        immediately preceding fiscal year; exceeds
          [(2) the average of the Consumer Price Index (as so 
        defined) for the 1-year period ending on July 31, 1993.
  [(b) Fiscal Years 1994 Through 1998.--In the case of each of 
fiscal years 1994 through 1998, there are authorized to be 
appropriated to the Secretary such sums as may be necessary for 
the cost of loans in the following amounts, for the following 
purposes:
          [(1) Electric hardship loans.--For loans under 
        section 305(c)(1)--
                  [(A) for fiscal year 1994, $125,000,000; and
                  [(B) for each of fiscal years 1995 through 
                1998, $125,000,000, increased by the adjustment 
                percentage for the fiscal year.
          [(2) Electric municipal rate loans.--For loans under 
        section 305(c)(2)--
                  [(A) for fiscal year 1994, $600,000,000; and
                  [(B) for each of fiscal years 1995 through 
                1998, $600,000,000, increased by the adjustment 
                percentage for the fiscal year.
          [(3) Telephone hardship loans.--For loans under 
        section 305(d)(1)--
                  [(A) for fiscal year 1994, $125,000,000; and
                  [(B) for each of fiscal years 1995 through 
                1998, $125,000,000, increased by the adjustment 
                percentage for the fiscal year.
          [(4) Telephone cost-of-money loans.--For loans under 
        section 305(d)(2)--
                  [(A) for fiscal year 1994, $198,000,000; and
                  [(B) for each of fiscal years 1995 through 
                1998, $198,000,000, increased by the adjustment 
                percentage for the fiscal year.
  [(c) Funding Levels.--The Secretary shall make insured loans 
under this title for the purposes, in the amounts, and for the 
periods of time specified in subsection (b), as provided in 
advance in appropriations Acts.
  [(d) Availability of Funds for Insured Loans.--Amounts made 
available for loans under section 305 are authorized to remain 
available until expended.]

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 Education 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 [2018] 2023.

           *       *       *       *       *       *       *


                               [TITLE IV

  [Sec. 401. Establishment, General Purposes, and Status of the 
Telephone Bank.--(a) There is hereby established a body 
corporate to be known as the Rural Telephone Bank (hereinafter 
called the telephone bank).
  [(b) The general purposes of the telephone bank shall be to 
obtain an adequate supply of supplemental funds to the extent 
feasible from non-Federal sources, to utilize said funds in the 
making of loans under section 408 of this title, and to conduct 
its operations to the extent practicable on a self-sustaining 
basis.
  [(c) The telephone bank shall be deemed to be an 
instrumentality of the United States, and shall, for the 
purposes of jurisdiction and venue, be deemed a citizen and 
resident of the District of Columbia. The telephone bank is 
authorized to make payments to State, territorial, and local 
governments in lieu of property taxes upon real property and 
tangible personal property which was subject to State, 
territorial, and local taxation before acquisition by the 
telephone bank. Such payment may be in the amounts, at the 
times, and upon such terms as the telephone bank deems 
appropriate but the telephone bank shall be guided by the 
policy of making payments not in excess of the taxes which 
would have been payable upon such property in the condition in 
which it was acquired.
  [Sec. 402. General Powers.-- To carry out the specific powers 
herein authorized, the telephone bank shall have power to (a) 
adopt, alter, and use a corporate seal; (b) sue and be sued in 
its corporate name; (c) make contracts, leases, and cooperative 
agreements, or enter into other transactions as may be 
necessary in the conduct of its business, and on such terms as 
it may deem appropriate; (d) acquire, in any lawful manner, 
hold, maintain, use, and dispose of property: Provided, That 
the telephone bank may only acquire property needed in the 
conduct of its banking operations or pledged or mortgaged to 
secure loans made hereunder or in temporary operation or 
maintenance thereof: Provided further, That any such pledged or 
mortgaged property so acquired shall be disposed of as promptly 
as is consistent with prudent liquidation practices, but in no 
event later than five years after such acquisition; (e) accept 
gifts or donations of services or of property in aid of any of 
the purposes herein authorized; (f) appoint such officers, 
attorneys, agents, and employees, vest them with such powers 
and duties, fix and pay such compensation to them for their 
services as the telephone bank may determine; (g) determine the 
character of and the necessity for its obligations and 
expenditures, and the manner in which they shall be incurred, 
allowed, and paid; (h) execute, in accordance with its bylaws, 
all instruments necessary or appropriate in the exercise of any 
of its powers; (i) collect or compromise all obligations 
assigned to or held by it and all legal or equitable rights 
accruing to it in connection with the payment of such 
obligations until such time as such obligations may be referred 
to the Attorney General for suit or collection; and (j) 
exercise all such other powers as shall be necessary or 
incidental to carrying out its functions under this title.
  [Sec. 403. Special Provisions Governing Telephone Bank as an 
Agency of the United States Until Conversion of Ownership, 
Control, and Operation.-- Until the ownership, control, and 
operation of the telephone bank is converted as provided in 
section 410(a) of this title and not thereafter--
          [(a) the telephone bank shall be an agency of the 
        United States and shall be subject to the supervision 
        and direction of the Secretary of Agriculture 
        (hereinafter called the Secretary): Provided, however, 
        That the telephone bank shall at no time be entitled to 
        transmission of its mail free of postage, nor shall it 
        have the priority of the United States in the payment 
        of debts out of bankrupt, insolvent, and decedents' 
        estates;
          [(b) in order to perform its responsibilities under 
        this title, the telephone bank may partially or jointly 
        utilize the facilities and the services of employees of 
        the Secretary, without cost to the telephone bank;
          [(c) the telephone bank shall be subject to the 
        provisions of the Government Corporation Control Act, 
        as amended (31 U.S.C. 841, et seq.), in the same manner 
        and to the same extent as if it were included in the 
        definition of ``wholly owned Government corporation'' 
        as set forth in section 101 of said Act (31 U.S.C. 
        486);
          [(d) the telephone bank may without regard to the 
        civil service classification laws appoint and fix the 
        compensation of such officers and employees of the 
        telephone bank as it may deem necessary;
          [(e) the telephone bank shall be subject to the 
        provisions of sections 517, 519, and 2679 of title 28, 
        United States Code.
  [Sec. 404. Governor.-- Subject to the provisions of section 
410, the Secretary shall designate an official of the 
Department of Agriculture who shall serve as the chief 
executive officer of the telephone bank (herein called the 
Governor of the telephone bank). Except as to matters 
specifically reserved to the Telephone Bank Board in this 
title, the Governor of the telephone bank shall exercise and 
perform all functions, powers, and duties of the telephone 
bank.

[SEC. 405. BOARD OF DIRECTORS.

  [(a) In General.--The management of the telephone bank, 
within the limitations prescribed by law, shall be vested in a 
board of directors (in this title referred to as the 
``Telephone Bank Board'').
  [(b) Membership.--The Telephone Bank Board shall consist of 
thirteen individuals, as follows:
          [(1) Presidential appointees.--The President shall 
        appoint seven individuals to serve on the Telephone 
        Bank Board who shall serve at the pleasure of the 
        President--
                  [(A) five of whom shall be officers or 
                employees of the Department of Agriculture and 
                not officers or employees of the Secretary; and
                  [(B) two of whom shall be from the general 
                public and not officers or employees of the 
                Federal Government.
          [(2) Cooperative members.--The cooperative-type 
        entities, and organizations controlled by such 
        entities, that hold class B or class C stock shall 
        elect three individuals to serve on the Telephone Bank 
        Board for a term of two years, by a plurality vote of 
        the stockholders voting in the election.
          [(3) Commercial members.--The commercial-type 
        entities, and the organizations controlled by such 
        entities, that hold class B or class C stock shall 
        elect three individuals to serve on the Telephone Bank 
        Board for a term of two years, by a plurality vote of 
        the stockholders voting in the election.
  [(c) Elections.--
          [(1) Validity.--An election under paragraph (2) or 
        (3) of subsection (b) shall not be considered valid 
        unless a majority of the stockholders eligible to vote 
        in the election have voted in the election.
          [(2) Balloting.--Balloting in an election under 
        paragraph (2) or (3) of subsection (b) shall be 
        conducted by mail pursuant to the procedures authorized 
        in the bylaws of the telephone bank.
          [(3) No cumulative voting.--Cumulative voting shall 
        not be permitted in any election under paragraph (2) or 
        (3) of subsection (b).
  [(d) Compensation.--
          [(1) In general.--Except as provided in paragraph 
        (2), each member of the Telephone Bank Board shall 
        receive $100 per day for each day or part thereof, not 
        to exceed fifty days per year, spent in the performance 
        of their official duties, and shall be reimbursed for 
        travel and other expenses in such manner and subject to 
        such limitations as the Telephone Bank Board may 
        prescribe.
          [(2) Exceptions.--The five members of the Telephone 
        Bank Board appointed under subsection (b)(1)(A) shall 
        not receive compensation by reason of their service on 
        the Telephone Bank Board.
  [(e) Succession.--A member of the Telephone Bank Board may 
serve after the expiration of the term of office of such member 
until the successor for such member has taken office.
  [(f) Chairperson.--The members of the Telephone Bank Board 
shall elect one of such members to be the Chairperson of the 
Board, in accordance with the bylaws of the telephone bank. The 
Chairperson shall preside at all meetings of the Board and may 
vote on a matter before the Board unless the vote would result 
in a tie vote on the matter.
  [(g) Bylaws.--The Telephone Bank Board shall prescribe 
bylaws, not inconsistent with law, regulating the manner in 
which the telephone bank's business shall be conducted, its 
directors and officers elected, its stock issued, held, and 
disposed of, its property transferred, its bylaws amended, and 
the powers and privilages granted to it by law exercised and 
enjoyed.
  [(h) Meetings.--The Telepehone Bank Board shall meet at such 
times and places as it may fix and determine, but shall hold at 
least four regularly scheduled meetings a year, and special 
meetings may be held on call in the manner specified in the 
bylaws of the telephone bank.
  [(i) Annual Report.--The Telephone Bank Board shall make an 
annual report to the Secretary for transmittal to the Congress 
on the administration of this title IV and any other matters 
relating to the effectuation of the policies of title IV, 
including recommendations for legislation.
  [(j) Open Meetings.--For purposes of section 552b of title 5, 
United States Code, the Telephone Bank Board shall be treated 
as an agency within the meaning of subsection (a)(1) of such 
section.
  [Sec. 406. Capitalization.--(a) The telephone bank's capital 
shall consist of capital subscribed by the United States, by 
borrowers from the telephone bank, by corporations and public 
bodies eligible to become borrowers from the telephone bank, 
and by organizations controlled by such borrowers, 
corporations, and public bodies. Beginning with the fiscal year 
1971 and for each fiscal year thereafter but not later than 
fiscal year 1991, the United States shall furnish capital for 
the purchase of class A stock and there are hereby authorized 
to be appropriated such amounts, not to exceed $30,000,000 
annually, for such purchases until such class A stock shall 
equal $600,000,000: Provided, That on or before July 1, 1975, 
the Secretary shall make a report to the President for 
transmittal to the Congress on the status of capitalization of 
the telephone bank by the United States with appropriate 
recommendations. As used in this section and section 301, the 
term ``net collection proceeds'' shall be deemed to mean 
payments from and after July 1, 1969, of principal and interest 
on loans heretofore or hereafter made under section 201 of this 
Act, less an amount representing interest payable to the 
Secretary of the Treasury on loans to the Secretary for 
telephone purposes.
  [(b) The capital stock of the telephone bank shall consist of 
three classes, class A, class B, and class C, the rights, 
powers, privileges, and preferences of the separate classes to 
be as specified, not inconsistent with law, in the bylaws of 
the telephone bank. Class B and class C stock shall be voting 
stock, but no holder of said stock shall be entitled to more 
than one vote, nor shall class B and class C stockholders, 
regardless of their number, which are owned or controlled by 
the same person, group of persons, firm, association, or 
corporation, be entitled in any event to more than one vote.
  [(c) Class A stock shall be issued only to the Secretary on 
behalf of the United States in exchange for capital furnished 
to the telephone bank pursuant to subsection (a), and such 
class A stock shall be redeemed and retired by the telephone 
bank as soon as practicable after September 30, 1995, but not 
to the extent that the Telephone Bank Board determines that 
such retirement will impair the operations of the telephone 
bank: Provided, That the minimum amount of class A stock that 
shall be retired each year after said date shall equal the 
amount of class B stock sold by the telephone bank during such 
year. Class A stock shall be entitled to a return, payable from 
income, at the rate of 2 per centum per annum on the amounts of 
said class A stock actually paid into the telephone bank. Such 
return shall be cumulative and shall be payable annually into 
miscellaneous receipts of the Treasury.
  [(d) Class B stock shall be held only by recipients of loans 
under section 408 of this Act. Borrowers receiving loan funds 
pursuant to section 408(a)(1) or (2) shall be required to 
invest in class B stock 5 per centum of the amount of loan 
funds so provided, by paying an amount equal to 5 per centum of 
the amount of each loan advance, at the time of such advance. 
No dividends shall be payable on class B stock. All holders of 
class B stock shall be entitled to patronage refunds in class B 
stock under terms and conditions to be specified in the bylaws 
of the telephone bank.
  [(e) Class C stock shall be available for purchase and shall 
be held only by borrowers, or by corporations and public bodies 
eligible to borrow under section 408 of this Act, or by 
organizations controlled by such borrowers, corporations and 
public bodies, and shall be entitled to dividends in the manner 
specified in the bylaws of the telephone bank. Such dividends 
shall be payable only from income and, until all class. A stock 
is retired, shall not exceed the current average rate payable 
on its telephone debentures.
  [(f) If a firm, association, corporation, or public body is 
not authorized under the laws of the jurisdiction in which it 
is organized to acquire stock of the telephone bank, the 
telephone bank shall, in lieu thereof, permit such organization 
to pay into a special fund of the telephone bank a sum 
equivalent to the amount of stock to be purchased. Each 
reference in this title to capital stock, or to class B, or 
class C sock, shall include also the special fund equivalents 
of such stock, and to the extent permitted under the laws of 
the jurisdiction in which such organization is organized, a 
holder of special fund equivalents of class B, or class C 
stock, shall have the same rights and status as a holder of 
class B or class C stock, respectively. The rights and 
obligations of the telephone bank in respect of such special 
fund equivalent shall be identical to its rights and 
obligations in respect of class B or class C stock, 
respectively.
  [(g) After payment of all operating expenses of the telephone 
bank, including interest on its telephone debentures, setting 
aside appropriate funds for the reserve for loan losses, and 
making payments in lieu of taxes, and returns on class A stock 
as provided in section 406(c), and on class C stock, the 
Telephone Bank Board shall annually set aside the remaining 
earnings of the telephone bank for patronage refunds in 
accordance with the bylaws of the telephone bank. The telephone 
bank may not establish any reserve other than the reserves 
referred to in this subsection and in subsection (h).
  [(h) There is hereby established in the telephone bank a 
reserve for losses due to interest rate fluctuations. Within 30 
days after the date of the enactment of this subsection, the 
Governor of the telephone bank shall transfer to the reserve 
for losses due to interest rate fluctuations all amounts in the 
reserve for contingencies as of the date of the enactment of 
this subsection. All amounts so transferred shall not be 
transferred, directly or indirectly, to the reserve for 
contingencies. Amounts in the reserve for interest rate 
fluctuations may be expended only to cover operating losses of 
the telephone bank (other than losses attributable to loan 
defaults) and only after taking into consideration any 
recommendations made by the General Accounting Office under 
section 1413(b) of the Omnibus Budget Reconciliation Act of 
1987.
  [(i) The Governor of the telephone bank may invest in 
obligations of the United States the amounts in the account in 
the Treasury of the United States numbered 12X8139 (known as 
the ``RTB Equity Fund'').
  [Sec. 407. Borrowing Power.--(a) The telephone bank is 
authorized to obtain funds through the public or private sale 
of its bonds, debentures, notes, and other evidences of 
indebtedness (herein collectively called telephone debentures). 
Telephone debentures shall be issued at such times, bear 
interest at such rates, and contain such other terms and 
conditions as the Telephone Bank Board shall determine: 
Provided, however, That the amount of the telephone debentures 
which may be outstanding at any one time pursuant to this 
section shall not exceed twenty times the paid-in capital and 
retained earnings of the telephone bank. Telephone debentures 
shall not be exempt, either as to principal or interest, from 
any taxation now or hereafter imposed by the United States, by 
any territory, dependency, or possession thereof, or by any 
State or local taxing authority. Telephone debentures shall be 
lawful investments and may be accepted as security for all 
fiduciary, trust, and public funds, the investment or deposit 
of which shall be under the authority and control of the United 
States or any officer or officers thereof.
  [(b) The Telephone Bank is also authorized to issue telephone 
debentures to the Secretary of the Treasury, and the Secretary 
of the Treasury may in his discretion purchase any such 
debentures, and for such purpose the Secretary of the Treasury 
is authorized to use as a public debt transaction the proceeds 
of the sale of any securities hereafter issued under the Second 
Liberty Bond Act, as now or hereafter in force, and the 
purposes for which securities may be issued under the Second 
Liberty Bond Act as now or hereafter in force are extended to 
include such purchases. Each purchase of telephone debentures 
by the Secretary of the Treasury under this subsection shall be 
upon such terms and conditions as to yield a return at a rate 
not less than a rate determined by the Secretary of the 
Treasury, taking into consideration the current average yield 
on outstanding marketable obligations of the United States of 
comparable maturity. The Secretary of the Treasury may sell, 
upon such terms and conditions and at such price or prices as 
he shall determine, any of the telephone debentures acquired by 
him under this subsection. All purchases and sales by the 
Secretary of the Treasury of such debentures under this 
subsection shall be treated as public debt transactions of the 
United States.
  [(c) Purchases and resales by the Secretary of the Treasury 
as authorized in subsection (b) of this section shall not be 
included in the totals of the budget of the United States 
Government and shall be exempt from any general limitation 
imposed by statute on expenditures and net lending (budget 
outlays) of the United States.
  [Sec. 408. Lending Power.--(a) The Governor of the telephone 
bank shall make loans on behalf of the telephone bank, to the 
extent that there are qualifying applications therefor, subject 
only to limitations as to amounts authorized for loans and 
advances as may be imposed by law enacted by the Congress of 
the United States for loans to be made in any one year, and in 
conformance with policies approved by the Telephone Bank Board, 
to corporations and public bodies which have received a loan or 
loan commitment pursuant to section 201 of this Act, or which 
have been certified by the Secretary to be eligible for such a 
loan or loan commitment, (1) for the same purposes and under 
the same limitations for which loans may be made under section 
201 of this Act, (2) for the acquisition, purchase, and 
installation of telephone lines, systems, and facilities (other 
than buildings used primarily for administrative purposes, 
vehicles not used primarily in construction, and customer 
premise equipment) related to the furnishing, improvement, or 
extension of rural telecommunications service, and (3) of the 
purchase of class B stock required to be purchased under 
section 406(d) of this Act but not for the purchase of class C 
stock, subject, as to the purposes set forth in (2) hereof, to 
the following provisions: That in the case of any such loan for 
the acquisition of telephone lines, facilities, or systems, the 
acquisition shall be approved by the Secretary, the location 
and character thereof shall be such as to improve the 
efficiency, effectiveness, or financial stability of the 
telephone system of the borrower, and in respect of exchange 
facilities for local services, the size of each acquisition 
shall not be greater than the borrower's existing system at the 
time it receives its first loan from the telephone bank, taking 
into account the number of subscribers served, miles or line, 
and plant investment. Loans and advances made under this 
section shall not be included in the totals of the budget of 
the United States Government and shall be exempt from any 
general limitation imposed by statute on expenditures and net 
lending (budget outlays) of the United States.
  [(b) Loans under this section shall be on such terms and 
conditions as the Governor of the telephone bank shall 
determine, subject, however, to the following restrictions:
          [(1) All loans made under this section shall be fully 
        amortized over a period not to exceed fifty years.
          [(2) Funds to be loaned under this Act to any 
        borrower shall be loaned under this section in 
        preference to section 201 if the borrower is eligible 
        for such a loan and funds are available therefor. 
        Notwithstanding the foregoing or any other provision of 
        law, all loans made pursuant to this Act for facilities 
        for telephone systems with an average subscriber 
        density of three or fewer per mile shall be made under 
        section 201 of this Act; but this provision shall not 
        preclude the making of such loans from the telephone 
        bank at the election of the borrower.
          [(3)(A) Loans under this section shall bear interest 
        at the ``cost of money rate''. The cost of money rate 
        is defined as the average cost of moneys to the 
        telephone bank as determined by the Governor, but not 
        less than 5 per centum per annum.
          [(B) On and after the date of the enactment of this 
        subparagraph, advances made on or after such date of 
        enactment under loan commitments made on or after 
        October 1, 1987, shall bear interest at the rate 
        determined under subparagraph (C), but in no event at a 
        rate that is less than 5 percent per annum.
          [(C) The rate determined under this subparagraph 
        shall be--
                  [(i) for the period beginning on the date the 
                advance is made and ending at the close of the 
                fiscal year in which the advance is made, the 
                average yield (on the date of the advance) on 
                outstanding marketable obligations of the 
                United States having a final maturity 
                comparable to the final maturity of the 
                advance; and
                  [(ii) after the fiscal year in which the 
                advance is made, the cost of money rate for 
                such fiscal year, as determined under 
                subparagraph (D).
          [(D) Within 30 days after the end of each fiscal 
        year, the Governor shall determine to the nearest 0.01 
        percent the cost of money rate for the fiscal year, by 
        calculating the sum of the results of the following 
        calculations:
                  [(i) The aggregate of all amounts received by 
                the telephone bank during the fiscal year from 
                the issuance of class A stock, multiplied by 
                the rate of return payable by the telephone 
                bank during the fiscal year, as specified in 
                section 406(c), to holders of class A stock, 
                which product is divided by the aggregate of 
                the amounts advanced by the telephone bank 
                during the fiscal year.
                  [(ii) The aggregate of all amounts received 
                by the telephone bank during the fiscal year 
                from the issuance of class B stock, multiplied 
                by the rate at which dividends are payable by 
                the telephone bank during the fiscal year, as 
                specified in section 406(d), to holders of 
                class B stock, which product is divided by the 
                aggregate of the amounts advanced by the 
                telephone bank during the fiscal year. For 
                purposes of the calculation under this 
                subparagrpah, such rate shall be zero.
                  [(iii) The aggregate of all amounts received 
                by the telephone bank during the fiscal year 
                from the issuance of class C stock, multiplied 
                by the rate at which dividends are payable by 
                the telephone bank during the fiscal year, 
                under section 406(e), to holders of class C 
                stock, which product is divided by the 
                aggregate of the amounts advanced by the 
                telephone bank during the fiscal year.
                  [(iv)(I) The sum of the results of the 
                calculations described in subclause (II).
                  [(II) The amounts received by the telephone 
                bank during the fiscal year from each issue of 
                telephone debentures and other obligations of 
                the telephone bank, multiplied, respectively, 
                by the rates at which interest is payable 
                during the fiscal year by the telephone bank to 
                holders of each issue, each of which products 
                is divided, respectively, by the aggregate of 
                the amounts advanced by the telephone bank 
                during the fiscal year.
                  [(v)(I) The amount by which the aggregate of 
                the amounts advanced by the telephone bank 
                during the fiscal year exceeds the aggregate of 
                the amounts received by the telephone bank from 
                the issuance of class A stock, class B stock, 
                class C stock, and telephone debentures and 
                other obligations of the telephone bank during 
                the fiscal year, multiplied by the historic 
                cost of money rate as of the close of the 
                fiscal year immediately preceding the fiscal 
                year, which product is divided by the aggregate 
                of the amounts advanced by the telephone bank 
                during the fiscal year.
                  [(II) For purposes of this clause, the term 
                ``historic cost of money rate'', with respect 
                to the close of a preceding fiscal year, means 
                the sum of the results of the following 
                calculations: The amounts advanced by the 
                telephone bank in each fiscal year during the 
                period beginning with fiscal year 1974 and 
                ending with the preceding fiscal year, 
                multiplied, respectively, by the cost of money 
                rate for the fiscal year (as set forth in the 
                table in subparagraph (E)) for fiscal years 
                1974 through 1987, and as determined by the 
                Governor under this subparagraph for fiscal 
                years after fiscal year 1987), each of which 
                products is divided, respectively, by the 
                aggregate of the amounts advanced by the 
                telephone bank during the period.
                  [(E) For purposes of subparagraph (D)(II), 
                the cost of money rate for the fiscal years in 
                which each advance was made shall be as set 
                forth in the following table:

                                                       The cost of money
  [For advances made in--                                rate shall be--
        Fiscal year 1974................................  5.01 percent  
        Fiscal year 1975................................  5.85 percent  
        Fiscal year 1976................................  5.33 percent  
        Fiscal year 1977................................  5.00 percent  
        Fiscal year 1978................................  5.87 percent  
        Fiscal year 1979................................  5.93 percent  
        Fiscal year 1980................................  8.10 percent  
        Fiscal year 1981................................  9.46 percent  
        Fiscal year 1982................................  8.39 percent  
        Fiscal year 1983................................  6.99 percent  
        Fiscal year 1984................................  6.55 percent  
        Fiscal year 1985................................  5.00 percent  
        Fiscal year 1986................................  5.00 percent  
        Fiscal year 1987................................  5.00 percent. 

        For purposes of this paragraph, the term ``fiscal 
        year'' means the 12-month period ending on September 30 
        of the designated year.
          [(F)(i) Notwithstanding subparagraph (B), if a 
        borrower holds a commitment for a loan under this 
        section made on or after October 1, 1987, and before 
        the date of the enactment of this paragraph, part or 
        all of the proceeds of which have not been advanced as 
        of such date of enactment, the borrower may, until the 
        later of the date the next advance under the loan 
        commitment is made or 90 days after such date of 
        enactment, elect to have the interest rate specified in 
        the loan commitment apply to the unadvanced portion of 
        the loan in lieu of the rate which (but for this 
        clause) would apply to the unadvanced portion under 
        this paragraph. If any borrower makes an election under 
        this clause with respect to a loan, the Governor shall 
        adjust the interest rate which applies to the 
        unadvanced portion of the loan accordingly.
          [(ii)(I) If the telephone bank, pursuant to section 
        407(b), issues telephone debentures on any date to 
        refinance telephone debentures or other obligations of 
        the telephone bank, the telephone bank shall, in 
        addition to any interest rate reduction required by any 
        other provision of this paragraph, for the period 
        applicable to the advance, reduce the interest rate 
        charged on each advance made under this section during 
        the fiscal year in which the refinanced debentures or 
        other obligations were originally issued by the amount 
        applicable to the advance.
          [(II) For purposes of subclause (I), the term ``the 
        period applicable to the advance'' means the period 
        beginning on the issue date described in subclause (I) 
        and ending on the earlier of the date the advance 
        matures or is completely prepaid.
          [(III) For purposes of subclause (I), the term ``the 
        amount applicable to the advance'' means an amount 
        which fully reflects that percentage of the funds saved 
        by the telephone bank as a result of the refinancing 
        which is equal to the percentage representation of the 
        advance in all advances described in subclause (I).
          [(IV) Within 60 days after any issue date described 
        in subclause (I), the Governor shall amend the loan 
        documentation for each advance described in subclause 
        (I), as necessary, to reflect any interest rate 
        reduction applicable to the advance by reason of this 
        clause, and shall notify each affected borrower of the 
        reduction.
          [(G) Within 30 days after the publication of any 
        determination made under subparagraph (D), any affected 
        borrower may obtain review of the determination, or any 
        other equitable relief as may be determined 
        appropriate, by the United States court of appeals for 
        the judicial circuit in which the borrower does 
        business by filing a written petition requesting the 
        court to set aside or modify such determination. On 
        receipt of such a petition, the clerk of the court 
        shall transmit a copy of the petition to the Governor. 
        On receipt of a copy of such a petition from the clerk 
        of the court, the Governor shall file with the court 
        the record on which the determination is based. The 
        court shall have jurisdiction to affirm, set aside, or 
        modify the determination.
          [(H) Within 5 days after determining the cost of 
        money rate for a fiscal year, the Governor shall--
                  [(i) cause the determination to be published 
                in the Federal Register in accordance with 
                section 552 of title 5, United States Code; and
                  [(ii) furnish a copy of the determination to 
                the Comptroller General of the United States.
          [(I) The telephone bank shall not sell or otherwise 
        dispose of any loan made under this section, except as 
        provided in this paragraph.
          [(4) The Governor of the telephone bank may make a 
        loan under this section only to an applicant for the 
        loan who meets the following requirements:
                  [(A) The average number of subscribers per 
                mile of line in the service area of the 
                applicant is not more than 15, or the applicant 
                is capable of producing net income or margins 
                before interest of not less than 100 percent 
                (but not more than 500 percent) of the interest 
                requirements on all of the outstanding and 
                proposed loans of the applicant.
                  [(B) The Secretary has approved, under 
                section 305(d)(3), a telecommunications 
                modernization plan for the State in which the 
                applicant is located and, if the plan was 
                developed by telephone borrowers under title 
                III, the applicant is a participant in the 
                plan.
          [(5) No loan shall be made in any State which now has 
        or may hereafter have a State regulatory body having 
        authority to regulate telephone service and to require 
        certificates of convenience and necessity to the 
        applicant unless such certificate from such agency is 
        first obtained. In a State in which there is no such 
        agency or regulatory body legally authorized to issue 
        such certificates to the applicant, no loan shall be 
        made under this section unless the Governor of the 
        telephone bank shall determine (and set forth his 
        reasons therefor in writing) that no duplication of 
        lines, facilities, or systems, providing reasonably 
        adequate services will result therefrom.
          [(6) As used in this section, the term telephone 
        service shall have the meaning prescribed for this term 
        in section 203(a) of this Act, and the term telephone 
        lines, facilities, or systems shall mean lines, 
        facilities, or systems used in the rendition of such 
        telephone service.
          [(7) No borrower of funds under section 408 of this 
        Act shall, without approval of the Governor of the 
        telephone bank under rules established by the Telephone 
        Bank Board, sell or dispose of its property, rights, or 
        franchises, acquired under the provisions of this Act, 
        until any loan obtained from the telephone bank, 
        including all interest and charges, shall have been 
        repaid.
          [(8)(A) A borrower with a loan from the Rural 
        Telephone Bank may prepay such loan (or any part 
        thereof) by paying the face amount thereof without 
        being required to pay the prepayment penalty set forth 
        in the note covering such loan, except for any 
        prepayment penalty provided for in a loan agreement 
        entered into before the date of enactment of the Rural 
        Electrification Loan Restructuring Act of 1993.
          [(B) If a borrower prepays part or all of a loan made 
        under this section, then, notwithstanding section 
        407(b), the Governor of the telephone bank shall--
                  [(i) use the full amount of the prepayment to 
                repay obligations of the telephone bank issued 
                pursuant to section 407(b) before October 1, 
                1991, to the extent any such obligations are 
                outstanding; and
                  [(ii) in repaying the obligations, first 
                repay the advances bearing the greatest rate of 
                interest.
          [(9) On request of any applicant for a loan under 
        this section during any fiscal year, the Governor of 
        the telephone bank shall--
                  [(A) consider the application to be for a 
                loan under this section and a loan under 
                section 305(d)(2); and
                  [(B) if the applicant is eligible for a loan, 
                make a loan to the applicant under this section 
                in an amount equal to the amount that bears the 
                same ratio to the total amount of loans for 
                which the applicant is eligible under this 
                section and under section 305(d)(2), as the 
                amount made available for loans under this 
                section for the fiscal year bears to the total 
                amount made available for loans under this 
                section and under section 305(d)(2) for the 
                fiscal year.
          [(10) On request of any applicant who is eligible for 
        a loan under this section for which funds are not 
        available, the applicant shall be considered to have 
        applied for a loan under section 305(d)(2).
  [(c) The Governor of the telephone bank is authorized under 
rules established by the Telephone Bank Board to adjust, on an 
amortized basis, the schedule of payments of interest or 
principal of loans made under this section upon his 
determination that with such readjustment there is reasonable 
assurance of repayment: Provided, however, That no adjustment 
shall extend the period of such loans beyond fifty years.
  [(d)(1) Except as provided in paragraph (2), the term of any 
loan made under this title shall be determined by the borrower 
at the time the application for the loan is submitted.
  [(2) The term of any loan made under this title shall not 
exceed the maximum term for which a loan may be made under 
section 4.
  [(e) Loans and advances made under this section on or after 
November 5, 1990, shall bear interest at a rate determined 
under this section, taking into account all assets and 
liabilities of the telephone bank. This subsection shall not 
apply to loans obligated before the date of enactment of this 
subsection. Funds are not authorized to be appropriated to 
carry out this subsection until the funds are appropriated in 
advance to carry out this subsection.
  [Sec. 409. Telephone Bank Receipts.-- Any receipts from the 
activities of the telephone bank shall be available for all 
obligations and expenditures of the telephone bank.
  [Sec. 410. Conversion of Ownership, Control and Operation of 
Telephone Bank.--(a) Whenever fifth-one per centum of the 
maximum amount of class A stock issued to the United States and 
outstanding at any time after September 30, 1985, has been 
fully redeemed and retired pursuant to section 406(c) of this 
title--
          [(1) the powers and authority of the Governor of the 
        telephone bank granted to the Secretary by this title 
        IV shall vest in the Telephone Bank Board, and may be 
        exercised and performed through the Governor of the 
        telephone bank, to be selected by the Telephone Bank 
        Board, and through such other employees as the 
        Telephone Bank Board shall designate;
          [(2) the five members of the Telephone Bank Board 
        designated by the President pursuant to section 
        405(b)(1)(A) shall cease to be members, and the number 
        of Board members shall be accordingly reduced to eight 
        unless other provision is thereafter made in the bylaws 
        of the telephone bank;
          [(3) the telephone bank shall cease to be an agency 
        of the United States, but shall continue in existence 
        in perpetuity as an instrumentality of the United 
        States and as a banking corporation with all of the 
        powers and limitations conferred or imposed by this 
        title IV except such as shall have lapsed pursuant to 
        the provisions of this title.
  [(b) When all class A stock has been fully redeemed and 
retired, loans made by the telephone bank shall not continue to 
be subject to the restrictions prescribed in the provisions of 
section 408(a)(2).
  [(c) Congress reserves the right to review the continued 
operations of the telephone bank after all class A stock has 
been fully redeemed and retired.
  [Sec. 411. Liquidation or Dissolution of the Telephone 
Bank.-- In the case of liquidation or dissolution of the 
telephone bank, after the payment or retirement, as the case 
may be, first, of all liabilities; second, of all class A stock 
at par; third, of all class B stock at par; fourth, of all 
class C stock par; then any surpluses and contingency reserves 
existing on the effective date of liquidation or dissolution of 
the telephone bank shall be paid to the holders to of class A 
and class B stock issued and outstanding before the effective 
date of such liquidation or dissolution, pro rata.
  [Sec. 412. Borrower Net Worth.-- Except as provided in 
subsection (b)(2) of section 408, notwithstanding any other 
provision of law, a loan shall not be made under section 201 of 
this Act to any borrower which during the immediately preceding 
year had a net worth in excess of 20 per centum of its assets 
unless the Secretary finds that the borrower cannot obtain such 
a loan from the telephone bank or from other reliable sources 
at reasonable rates of interest and terms and conditions.]
          * * * * * * *

                    TITLE VI--RURAL BROADBAND ACCESS

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 
construction, improvement, and acquisition of facilities and 
equipment for broadband service or middle mile infrastructure 
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) Middle mile infrastructure.--The term ``middle 
        mile infrastructure'' means any broadband 
        infrastructure that does not connect directly to end 
        user locations (including anchor institutions) and may 
        include interoffice transport, backhaul, Internet 
        connectivity, data centers, or special access transport 
        to rural areas.
          [(2)] (3) 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 proposed in the application.
          [(3)] (4) 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) in the case of a direct loan, 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] shall make loans and shall guarantee 
        loans to eligible entities described in subsection (d) 
        to provide funds for the construction, improvement, or 
        acquisition of facilities and equipment for the 
        provision of broadband service and to construct, 
        improve, or acquire middle mile infrastructure in rural 
        areas.
          (2) Priority.--In making loans or loan guarantees 
        under paragraph (1), the Secretary shall--
                  (A) establish [not less than 2 evaluation 
                periods] 1 evaluation period for each fiscal 
                year to compare loan and loan guarantee 
                applications and to prioritize loans and loan 
                guarantees to all or part of rural communities 
                that do not have residential broadband service 
                that meets the minimum acceptable level of 
                broadband service established under subsection 
                (e);
                  (B) give the highest priority to applicants 
                that offer to provide broadband service to, or 
                in the case of middle mile infrastructure, 
                offer the future ability to link, the greatest 
                proportion of unserved households or households 
                that do not have residential broadband service 
                that meets the minimum acceptable level of 
                broadband service established under subsection 
                (e), as--
                          (i) certified by the affected 
                        community, city, county, or designee; 
                        or
                          (ii) demonstrated on--
                                  (I) the broadband map of the 
                                affected State if the map 
                                contains address-level data; or
                                  (II) the National Broadband 
                                Map if address-level data is 
                                unavailable; and
                  (C) provide equal consideration to all 
                qualified applicants, including applicants that 
                have not previously received loans or loan 
                guarantees under paragraph (1)[; and].
                  [(D) give priority to applicants that offer 
                in the applications of the applicants to 
                provide broadband service not predominantly for 
                business service, if at least 25 percent of the 
                customers in the proposed service territory are 
                commercial interests.]
          (3) Limitation on middle mile infrastructure 
        projects.--The Secretary shall limit loans or loan 
        guarantees for middle mile infrastructure projects to 
        no more than 20 percent of the amounts made available 
        to carry out this section.
          (4) Fees.--In the case of a loan guarantee issued or 
        modified under this section, the Secretary shall charge 
        and collect from the recipient of the guarantee fees in 
        such amounts as are necessary so that the sum of the 
        total amount of fees so charged in each fiscal year and 
        the total of the amounts appropriated for all such loan 
        guarantees for the fiscal year equals the subsidy cost 
        for the loan guarantees in the fiscal year.
  (d) Eligibility.--
          (1) Eligible entities.--
                  (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 in order to meet the 
                        minimum acceptable level of broadband 
                        service established under subsection 
                        (e), or extend broadband service to all 
                        or part of an unserved rural area or an 
                        area below the minimum acceptable level 
                        of broadband service established under 
                        subsection (e);]
                          (i) demonstrate the ability to 
                        furnish or improve service in order to 
                        meet the broadband service standards 
                        established under subsection (e)(1) or 
                        extend middle mile infrastructure in 
                        all or part of an unserved or 
                        underserved 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] infrastructure 
                        or middle mile infrastructure described 
                        in the loan application by not later 
                        than [3] 5 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 telecommunications 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 appropriated under 
                subsection (k) for the fiscal year.
          (2) Eligible projects.--
                  (A) In general.--Except as provided in 
                subparagraphs (B) and (C), the proceeds of a 
                loan made or guaranteed 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 15 percent of the 
                        households in the proposed service 
                        territory are unserved or have service 
                        levels below the minimum acceptable 
                        level of broadband service established 
                        under subsection (e); and
                          (ii) broadband service is not 
                        provided in any part of the proposed 
                        service territory by 3 or more 
                        incumbent service providers.
                  (B) Exception to 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 or install middle mile infrastructure 
                in the proposed service territory.
                  (C) Exception to incumbent service provider 
                requirement.--
                          (i) In general.--Except as provided 
                        in clause (ii), subparagraph (A)(ii) 
                        shall not apply to an incumbent service 
                        provider in the portion of a proposed 
                        service territory in which the provider 
                        is upgrading broadband service to meet 
                        the minimum acceptable level of 
                        broadband service established under 
                        subsection (e) for 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.]
                          (ii) Exception.--Clause (i) shall not 
                        apply with respect to a project if the 
                        project is eligible for funding under 
                        another title of this Act.
                  (D) Exception for middle mile 
                infrastructure.--Portions of a middle mile 
                infrastructure project that ultimately meet the 
                rural service requirements of this section may 
                traverse an area not described in subsection 
                (b)(4) when necessary.
          (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 Secretary 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 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 Secretary a 
                        market survey.
                          (iii) Information.--Information 
                        submitted under this subparagraph shall 
                        be--
                                  (I) certified by the affected 
                                community, city, county, or 
                                designee; or
                                  (II) demonstrated on--
                                          (aa) the broadband 
                                        map of the affected 
                                        State if the map 
                                        contains address-level 
                                        data; or
                                          (bb) the National 
                                        Broadband Map if 
                                        address-level data is 
                                        unavailable.
          (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, or 
        construct, improve, or acquire middle mile 
        infrastructure in, a rural area.
          (5) Notice requirements.--The Secretary shall 
        promptly provide a fully searchable database on the 
        website of the Rural Utilities Service that contains, 
        at a minimum--
                  (A) notice of each application for a loan or 
                loan guarantee under this section describing 
                the application, including--
                          (i) the identity of the applicant;
                          (ii) a description of each 
                        application, including--
                                  (I) each area proposed to be 
                                served by the applicant; and
                                  (II) the amount and type of 
                                support requested by each 
                                applicant;
                          (iii) the status of each application;
                          (iv) the estimated number and 
                        proportion relative to the service 
                        territory of households without 
                        terrestrial-based broadband service in 
                        those areas; and
                          (v) a list of the census block groups 
                        or proposed service territory, in a 
                        manner specified by the Secretary, that 
                        the applicant proposes to service or, 
                        in the case of middle mile 
                        infrastructure, connect;
                  (B) notice of each entity receiving 
                assistance under this section, including--
                          (i) the name of the entity;
                          (ii) the type of assistance being 
                        received;
                          (iii) the purpose for which the 
                        entity is receiving the assistance;
                          (iv) each semiannual report submitted 
                        under paragraph (8)(A) (redacted to 
                        protect any proprietary information in 
                        the report); and
                  (C) such other information as is sufficient 
                to allow the public to understand assistance 
                provided under this section.
          (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 (particularly 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 
        establish a process under which a prospective applicant 
        may seek a determination of area eligibility prior to 
        preparing a loan application under this section.
          (8) Reporting.--
                  (A) In general.--The Secretary shall require 
                any entity receiving assistance under this 
                section to submit a semiannual report for 3 
                years after completion of the project, in a 
                format specified by the Secretary, that 
                describes--
                          (i) the use by the entity of the 
                        assistance, including new equipment and 
                        capacity enhancements that support 
                        high-speed broadband access for 
                        educational institutions, health care 
                        providers, and public safety service 
                        providers (including the estimated 
                        number of end users who are currently 
                        using or forecasted to use the new or 
                        upgraded infrastructure); and
                          (ii) the progress towards fulfilling 
                        the objectives for which the assistance 
                        was granted, including--
                                  (I) the number [and location] 
                                of residences and businesses 
                                that will or may receive new 
                                broadband service, existing 
                                network service improvements, 
                                and facility upgrades resulting 
                                from the Federal assistance;
                                  (II) the speed of broadband 
                                service or capability of middle 
                                mile infrastructure;
                                  (III) the average price of 
                                broadband service in a proposed 
                                service area, if applicable;
                                  (IV) [any changes in 
                                broadband service adoption 
                                rates, including] new 
                                subscribers generated from 
                                demand-side projects; and
                                  (V) any metrics the Secretary 
                                determines to be 
                                appropriate[;].
                  (B) Additional reporting.--The Secretary may 
                require any additional reporting and 
                information by any recipient of any assistance 
                under this section so as to ensure compliance 
                with this section.
          (9) Default and deobligation.--In addition to other 
        authority under applicable law, the Secretary shall 
        establish written procedures for all broadband programs 
        administered by the Rural Utilities Service under this 
        or any other Act that, to the maximum extent 
        practicable--
                  (A) recover funds from loan defaults;
                  (B) deobligate any awards, less allowable 
                costs that demonstrate an insufficient level of 
                performance (including metrics determined by 
                the Secretary) or fraudulent spending, to the 
                extent funds with respect to the award are 
                available in the account relating to the 
                program established by this section;
                  (C) award those funds, on a competitive 
                basis, to new or existing applicants consistent 
                with this section; and
                  (D) minimize overlap among the programs.
          (10) Service area assessment.--The Secretary shall, 
        with respect to an application for assistance under 
        this section--
                  (A) provide not less than 15 days for 
                broadband service providers to voluntarily 
                submit information concerning the broadband 
                services that the providers offer in the census 
                block groups or tracts described in paragraph 
                (5)(A)(v) so that the Secretary may assess 
                whether the applications submitted meet the 
                eligibility requirements under this section; 
                and
                  (B) if no broadband service provider submits 
                information under subparagraph (A), consider 
                the number of providers in the census block 
                group or tract to be established by using--
                          (i) the most current National 
                        Broadband Map of the National 
                        Telecommunications and Information 
                        Administration; or
                          (ii) any other data regarding the 
                        availability of broadband service that 
                        the Secretary may collect or obtain 
                        through reasonable efforts.
          (11) Authority to obligate, but not disburse, funds 
        before completion of reviews; authority to deobligate 
        funds.--The Secretary may obligate, but shall not 
        disburse, funds under this section for a project before 
        the completion of any otherwise required environmental, 
        historical, or other review of the project. The 
        Secretary may deobligate funds under this section for a 
        project if any such review will not be completed within 
        a reasonable period of time.
  (e) Broadband Service.--
          [(1) In general.--Subject to paragraph (2), for 
        purposes of this section, the minimum acceptable level 
        of broadband service for a rural area shall be at 
        least--
                  [(A) a 4-Mbps downstream transmission 
                capacity; and
                  [(B) a 1-Mbps upstream transmission capacity.
          [(2) Adjustments.--
                  [(A) In general.--At least once every 2 
                years, the Secretary shall review, and may 
                adjust through notice published in the Federal 
                Register, the minimum acceptable level of 
                broadband service established under paragraph 
                (1) to ensure that high quality, cost-effective 
                broadband service is provided to rural areas 
                over time.
                  [(B) Considerations.--In making an adjustment 
                to the minimum acceptable level of broadband 
                service under subparagraph (A), the Secretary 
                may consider establishing different 
                transmission rates for fixed broadband service 
                and mobile broadband service.]
          (1) In general.--Subject to paragraph (2), for 
        purposes of this section, the Secretary shall establish 
        broadband service standards for rural areas which 
        provide for--
                  (A) a minimum acceptable standard of service 
                that requires the speed to be at least 25 
                megabits per second downstream transmission 
                capacity and 3 megabits per second upstream 
                transmission capacity; and
                  (B) projections of minimum acceptable 
                standards of service for 5, 10, 15, 20, and 30 
                years into the future.
          (2) Adjustments.--
                  (A) In general.--At least once every 2 years, 
                the Secretary shall review, and may adjust 
                through notice published in the Federal 
                Register, the broadband service standards in 
                effect under paragraph (1) to encourage the 
                delivery of high quality, cost-effective 
                broadband service in rural areas.
                  (B) Considerations.--In establishing and 
                adjusting the broadband service standards in 
                effect under paragraph (1), the Secretary shall 
                consider--
                          (i) the broadband service needs of 
                        rural families and businesses;
                          (ii) broadband service available to 
                        urban and suburban areas;
                          (iii) future technology needs of 
                        rural residents;
                          (iv) advances in broadband 
                        technology; and
                          (v) other relevant factors as 
                        determined by the Secretary.
          (3) 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.
          (4) Agreement.--The Secretary shall not provide a 
        loan or loan guarantee under this section for a project 
        unless the Secretary determines, at the time the 
        agreement to provide the loan or loan guarantee is 
        entered into, that, at any time while the loan or loan 
        guarantee is outstanding, the project will be capable 
        of providing broadband service at not less than the 
        minimum acceptable standard of service established 
        under paragraph (1)(B) for that time.
          (5) Substitute service standards for unique service 
        territories.--If an applicant shows that it would be 
        cost prohibitive to meet the minimum acceptable level 
        of broadband service established under paragraph (1)(B) 
        for the entirety of a proposed service territory due to 
        the unique characteristics of the proposed service 
        territory, the Secretary and the applicant may agree to 
        utilize substitute standards for any unserved portion 
        of the project. Any substitute service standards should 
        continue to consider the matters described in paragraph 
        (2)(B) and reflect the best technology available to 
        meet the needs of the residents in the unserved area.
  (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 Guarantees.--
          (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--
                                  (I) the cost of borrowing to 
                                the Department of the Treasury 
                                for obligations of comparable 
                                maturity; or
                                  (II) 4 percent; and
                          (ii) in the case of a guaranteed 
                        loan, the current applicable market 
                        rate for a loan of comparable maturity; 
                        and
                  (B) have a term of such length, not exceeding 
                35 years, as the borrower may request, if the 
                Secretary determines that the loan is 
                adequately secured.
          (2) Terms.--In determining the term and conditions of 
        a loan or loan guarantee, the Secretary may--
                  (A) consider whether the recipient is or 
                would be serving an area that is unserved or 
                has service levels below the minimum acceptable 
                [level of broadband service established under 
                subsection (e)] standard of service established 
                under subsection (e)(1)(A); and
                  (B) if the Secretary makes a determination in 
                the affirmative under subparagraph (A), 
                establish a limited initial deferral period or 
                comparable terms necessary to achieve the 
                financial feasibility and long-term 
                sustainability of the project.
          (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.
          (4) Minimum standards.--To the extent possible, the 
        terms and conditions under which a loan or loan 
        guarantee is provided to an applicant for a project 
        shall require that, at any time while the loan or loan 
        guarantee is outstanding, the broadband network 
        provided by the project will meet the lower of--
                  (A) the minimum acceptable standard of 
                service projected under subsection (e)(1)(B) 
                for that time, as agreed to by the applicant at 
                the time the loan or loan guarantee is 
                provided; or
                  (B) the minimum acceptable standard of 
                service in effect under subsection (e)(1)(A) 
                for that time.
  (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, particularly 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 security.--
        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 Deployment of 
Broadband Service or Middle Mile Infrastructure.--
Notwithstanding any other provision 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, or on any 
other loan if the purpose for which such other loan was made is 
a telecommunications purpose for which assistance may be 
provided under this Act, if the use of the proceeds for that 
purpose will support the construction, improvement, or 
acquisition of facilities and equipment for the provision of 
broadband service or middle mile infrastructure 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] Each 
year, the Secretary shall submit to the Congress a report that 
describes the extent of participation in the broadband loan, 
loan guarantee, and grant programs administered by the 
Secretary for the preceding fiscal year, including a 
description of --
          (1) the number of [loans applied for and provided 
        under this section] loans, loan guarantees, and grants 
        applied for and provided under the programs, including 
        any loan terms or conditions for which the Secretary 
        provided additional assistance to unserved areas;
          (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] 
        loans, loan guarantees, and grants provided under the 
        programs;
          (3) the period of time required to approve each [loan 
        application under this section] application under the 
        programs;
          (4) any outreach activities carried out by the 
        Secretary to encourage entities in rural areas without 
        broadband service to submit applications under [this 
        section] the programs;
          (5) the method by which the Secretary determines that 
        a [service] technology enables a subscriber to 
        originate and receive high-quality voice, data, 
        graphics, and video for purposes of subsection [(b)(1)] 
        (e)(1);
          (6) each broadband service or middle mile 
        infrastructure, including the type and speed of 
        broadband service, for which assistance was sought, and 
        each broadband service or middle mile infrastructure 
        for which assistance was provided, under [this section] 
        the programs; and
          (7) the overall progress towards fulfilling the goal 
        of improving the quality of rural life by expanding 
        rural broadband access, as demonstrated by metrics, 
        including--
                  (A) the number of residences and businesses 
                receiving new broadband services;
                  (B) network improvements, including facility 
                upgrades and equipment purchases;
                  (C) average broadband speeds and prices on a 
                local and statewide basis;
                  (D) any changes in broadband adoption rates; 
                and
                  (E) any specific activities that increased 
                high speed broadband access for educational 
                institutions, health care providers, and public 
                safety service providers.
  (k) Funding.--
          [(1) Authorization of appropriations.--There is 
        authorized to be appropriated to the Secretary to carry 
        out this section $25,000,000 for each of fiscal years 
        2008 through 2018, to remain available until expended.]
          (1) Limitations on authorization of appropriations.--
        For loans and loan guarantees under this section, there 
        is authorized to be appropriated to the Secretary 
        $150,000,000 for each of fiscal years 2019 through 
        2023, 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] grants, 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] 
                grants, 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, [2018] 2023.

[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 
Telecommunications 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 formulation 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 provision 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 penetration 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. 602. INCENTIVES FOR HARD TO REACH COMMUNITIES.

  (a) Definitions.--In this section:
          (1) Associated loan.--The term ``associated loan'' 
        means a loan or loan guarantee to finance all or part 
        of a project under title I or II or this title for 
        which an application has been submitted under such 
        title and for which an application has also been 
        submitted for a grant under this section.
          (2) Density.--
                  (A) In general.--The term ``density'' means 
                service points per road mile.
                  (B) Method of calculation.--The Secretary 
                shall further define, by rule, a method for 
                calculating service points per road-mile, where 
                appropriate by geography, which--
                          (i) divides the total number of 
                        service points by the total number of 
                        road-miles in a proposed service 
                        territory;
                          (ii) requires an applicant to count 
                        all potential service points in a 
                        proposed service territory; and
                          (iii) includes any other requirements 
                        the Secretary deems necessary to 
                        protect the integrity of the program.
          (3) Eligible project.--The term ``eligible project'' 
        means any project for which the applicant--
                  (A) has submitted an application for an 
                associated loan; and
                  (B) does not receive any other broadband 
                grant administered by the Rural Utilities 
                Service; and
                  (C) proposes to--
                          (i) offer retail broadband service to 
                        rural households;
                          (ii) serve an area with a density of 
                        less than 12;
                          (iii) provide service that meets the 
                        standard that would apply under section 
                        601(e)(4) if the associated loan had 
                        been applied for under section 601;
                          (iv) provide service in an area where 
                        no incumbent provider delivers fixed 
                        terrestrial broadband service at or 
                        above the minimum broadband speed 
                        described in section 601(e)(1); and
                          (v) provide service in an area where 
                        no eligible borrower, other than the 
                        applicant, has outstanding Rural 
                        Utilities Service telecommunications 
                        debt or is subject to a current Rural 
                        Utilities Service telecommunications 
                        grant agreement.
          (4) Service point.--The term ``service point'' means 
        a home, business, or institution in a proposed service 
        area.
          (5) Road-mile.--The term ``road-mile'' means a mile 
        of road in a proposed service area.
  (b) Establishment of Grant Program.--The Secretary shall 
establish a competitive grant program to provide applicants 
funds to carry out eligible projects for the purposes of 
construction, improvement, or acquisition of facilities for the 
provision of broadband service in rural areas.
  (c) Applications.--The Secretary shall establish an 
application process for grants under this section that--
          (1) has 1 application window per year;
          (2) permits a single application for the grant and 
        the associated loan; and
          (3) provides a single decision to award the grant and 
        the associated loan.
  (d) Priority.--In making grants under this section, the 
Secretary shall prioritize applications in which the applicant 
proposes to--
          (1) provide the highest quality of service as 
        measured by--
                  (A) network speed;
                  (B) network latency; and
                  (C) data allowances;
          (2) serve the greatest number of service points; and
          (3) use the greatest proportion of non-Federal 
        dollars.
  (e) Amount.--The Secretary shall make each grant under this 
section in an amount that is--
          (1) not greater than 75 percent of the total project 
        cost with respect to an area with a density of less 
        than 4;
          (2) not greater than 50 percent of the total project 
        cost with respect to an area with a density of 4 or 
        more and not more than 9; and
          (3) not greater than 25 percent of the total project 
        cost with respect to an area with a density of more 
        than 9 and not more than 12.
  (f) Terms and Conditions.--With respect to a grant provided 
under this section, the Secretary shall require that--
          (1) the associated loan is secured by the assets 
        purchased with funding from the grant and from the 
        loan;
          (2) the agreement in which the terms of the grant are 
        established is for a period equal to the duration of 
        the associated loan; and
          (3) at any time at which the associated loan is 
        outstanding, the broadband service provided by the 
        project will meet the lower of the standards that would 
        apply under section 601(g)(4) if the associated loan 
        had been made under section 601.
  (g) Payment Assistance for Certain Applicants Under This 
Title.--
          (1) In general.--As part of the grant program under 
        this section, the Secretary, at the sole discretion of 
        the Secretary, may provide to applicants who are 
        eligible borrowers under this title and not eligible 
        borrowers under title I or II all or a portion of the 
        grant funds in the form of payment assistance.
          (2) Payment assistance.--The Secretary may provide 
        payment assistance under paragraph (1) by reducing a 
        borrower's interest rate or periodic principal payments 
        or both.
          (3) Agreement on milestones and objectives.--With 
        respect to payment assistance provided under paragraph 
        (1), before entering into the agreement for the grant 
        and associated loan under which the payment assistance 
        will be provided, the applicant and the Secretary shall 
        agree to milestones and objectives of the project.
          (4) Condition.--The Secretary shall condition any 
        payment assistance provided under paragraph (1) on--
                  (A) the applicant fulfilling the terms and 
                conditions of the grant agreement under which 
                the payment assistance will be provided; and
                  (B) completion of the milestones and 
                objectives agreed to under paragraph (3).
          (5) Amendment of milestones and objectives.--The 
        Secretary and the applicant may jointly agree to amend 
        the milestones and objectives agreed to under paragraph 
        (3).
  (h) Existing Projects.--The Secretary may not provide a grant 
under this section to an applicant for a project that was 
commenced before the date of the enactment of this section.
  (i) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $350,000,000 for each 
of fiscal years 2019 to 2023.

SEC. 603. [RURAL GIGABIT NETWORK PILOT]  INNOVATIVE BROADBAND 
                    ADVANCEMENT PROGRAM.

  [(a) Definition of Ultra-High Speed Service.--In this 
section, the term ``ultra-high speed service'' means broadband 
service operating at a 1 gigabit per second downstream 
transmission capacity.
  [(b) Pilot Program.--The Secretary shall establish a pilot 
program to be known as the ``Rural Gigabit Network Pilot 
Program'', under which the Secretary may, at the discretion of 
the Secretary, provide grants, loans, or loan guarantees to 
eligible entities.
  [(c) Eligibility.--
          [(1) In general.--To be eligible to obtain assistance 
        under this section, an entity shall--
                  [(A) demonstrate to the Secretary the ability 
                to furnish or extend ultra-high speed service 
                to a rural area;
                  [(B) submit to the Secretary an application 
                at such time, in such manner, and containing 
                such information as the Secretary may require;
                  [(C) not already provide ultra-high speed 
                service to a rural area within any State in the 
                proposed service territory; and
                  [(D) agree to complete buildout of ultra-high 
                speed service by not later than 3 years after 
                the initial date on which assistance under this 
                section is made available.
          [(2) Eligible projects.--Assistance under this 
        section may only be used to carry out a project in a 
        proposed service territory if--
                  [(A) the proposed service territory is a 
                rural area; and
                  [(B) ultra-high speed service is not provided 
                in any part of the proposed service territory.]
  (a) In General.--The Secretary shall establish a program to 
be known as the ``Innovative Broadband Advancement Program'', 
under which the Secretary may provide a grant, a loan, or both 
to an eligible entity for the purpose of demonstrating 
innovative broadband technologies or methods of broadband 
deployment that significantly decrease the cost of broadband 
deployment, and provide substantially faster broadband speeds 
than are available, in a rural area.
  (b) Rural Area.--In this section, the term ``rural area'' has 
the meaning provided in section 601(b)(3).
  (c) Eligibility.--To be eligible to obtain assistance under 
this section for a project, an entity shall--
          (1) submit to the Secretary an application--
                  (A) that describes a project designed to 
                decrease the cost of broadband deployment, and 
                substantially increase broadband speed to not 
                less than the 20-year broadband speed 
                established by the Rural Utilities Service 
                under this title, in a rural area to be served 
                by the project; and
                  (B) at such time, in such manner, and 
                containing such other information as the 
                Secretary may require;
          (2) demonstrate that the entity is able to carry out 
        the project; and
          (3) agree to complete the project build-out within 5 
        years after the date the assistance is first provided 
        for the project.
  (d) Prioritization.--In awarding assistance under this 
section, the Secretary shall give priority to proposals for 
projects that--
          (1) involve partnerships between or among multiple 
        entities;
          (2) would provide broadband service to the greatest 
        number of rural residents at or above the minimum 
        broadband speed referred to in subsection (c)(1)(A); 
        and
          (3) the Secretary determines could be replicated in 
        rural areas described in paragraph (2).
  [(d)] (e) Authorization of Appropriations.--There is 
authorized to be appropriated to carry out this section 
$10,000,000 for each of fiscal years [2014 through 2018] 2019 
through 2023.

SEC. 604. OUTDATED BROADBAND SYSTEMS.

  Beginning October 1, 2020, the Secretary shall consider any 
portion of a service territory subject to an outstanding grant 
agreement between the Secretary and a broadband provider in 
which broadband service is not provided at at least 10 megabits 
per second download and at least 1 megabit per second upload as 
unserved for the purposes of all broadband loan programs under 
this Act, unless the broadband provider has constructed or 
begun to construct broadband facilities in the service 
territory that meet the minimum acceptable standard of service 
established under section 601(e)(1) for the area in which the 
service territory is located.
                              ----------                              


                AGRICULTURAL RISK PROTECTION ACT OF 2000

TITLE II--AGRICULTURAL ASSISTANCE

           *       *       *       *       *       *       *


                   Subtitle D--Agricultural Marketing

SEC. 231. VALUE-ADDED AGRICULTURAL PRODUCT MARKET DEVELOPMENT GRANTS.

  (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 commodity 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 demonstrated 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 commodity 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 agricultural commodity or 
                product is available to the producer of the 
                commodity or product.
  (b) Grant Program.--
          (1) In general.--From amounts made available under 
        paragraph (7), the Secretary shall award competitive 
        grants--
                  (A) to an eligible independent producer (as 
                determined by the Secretary) of a value-added 
                agricultural product to assist the producer--
                          (i) in developing a business plan for 
                        viable marketing opportunities for the 
                        value-added agricultural product; or
                          (ii) in developing strategies that 
                        are intended to create marketing 
                        opportunities for the producer; and
                  (B) to an eligible agricultural producer 
                group, farmer or rancher cooperative, or 
                majority-controlled producer-based business 
                venture (as determined by the Secretary) to 
                assist the entity--
                          (i) in developing a business plan for 
                        viable marketing opportunities in 
                        emerging markets for a value-added 
                        agricultural product; or
                          (ii) in developing strategies that 
                        are intended to create marketing 
                        opportunities in emerging markets for 
                        the value-added agricultural product.
          (2) Amount of grant.--
                  (A) In general.--The total amount provided 
                under this subsection to a grant recipient 
                shall not exceed $500,000.
                  (B) Majority-controlled producer-based 
                business ventures.--The amount of grants 
                provided to majority-controlled producer-based 
                business ventures under paragraph (1)(B) for a 
                fiscal year may not exceed 10 percent of the 
                amount of funds that are used to make grants 
                for the fiscal year under this subsection.
          (3) Grantee strategies.--A grantee under paragraph 
        (1) shall use the grant--
                  (A) to develop a business plan or perform a 
                feasibility study to establish a viable 
                marketing opportunity for a value-added 
                agricultural product; or
                  (B) to provide capital to establish alliances 
                or business ventures that allow the producer of 
                the value-added agricultural product to better 
                compete in domestic or international markets.
          (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.--
                  (A) Eligible independent producers of value-
                added agricultural products.--In awarding 
                grants under paragraph (1)(A), the Secretary 
                shall give priority to--
                          (i) operators of small- and medium-
                        sized farms and ranches that are 
                        structured as family farms;
                          (ii) beginning farmers or ranchers;
                          (iii) socially disadvantaged farmers 
                        or ranchers; and
                          (iv) veteran 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))).
                  (B) Eligible agricultural producer groups, 
                farmer or rancher cooperatives, and majority-
                controlled producer-based business venture.--In 
                awarding grants under paragraph (1)(B), the 
                Secretary shall give priority to projects 
                (including farmer or rancher cooperative 
                projects) that best contribute to creating or 
                increasing marketing opportunities for 
                operators, farmers, and ranchers described in 
                subparagraph (A).
          (7) Funding.--
                  [(A) Mandatory funding.--On the date of 
                enactment of the Agricultural Act of 2014, of 
                the funds of the Commodity Credit Corporation, 
                the Secretary shall make available to carry out 
                this subsection $63,000,000, to remain 
                available until expended.]
                  [(B)] (A) Discretionary funding.--There is 
                authorized to be appropriated to carry out this 
                subsection [$40,000,000 for each of fiscal 
                years 2008 through 2018] $50,000,000 for each 
                of fiscal years 2019 through 2023.
                  [(C)] (B) Reservation of funds for projects 
                to benefit beginning farmers or ranchers, 
                socially disadvantaged 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 disadvantaged 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 applications 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.
  (c) Agricultural Marketing Resource Center Pilot Project.--
          (1) Establishment.--Notwithstanding the limitation on 
        grants in subsection (b)(2), the Secretary shall not 
        use more than 5 percent of the funds made available 
        under subsection (b) to establish a pilot project (to 
        be known as the ``Agricultural Marketing Resource 
        Center'') at an eligible institution described in 
        paragraph (2) that will--
                  (A) develop a resource center with electronic 
                capabilities to coordinate and provide to 
                independent producers and processors (as 
                determined by the Secretary) of value-added 
                agricultural commodities and products of 
                agricultural commodities information regarding 
                research, business, legal, financial, or 
                logistical assistance; and
                  (B) develop a strategy to establish a 
                nationwide market information and coordination 
                system.
          (2) Eligible institution.--To be eligible to receive 
        funding to establish the Agricultural Marketing 
        Resource Center, an applicant shall demonstrate to the 
        Secretary--
                  (A) the capacity and technical expertise to 
                provide the services described in paragraph 
                (1)(A);
                  (B) an established plan outlining support of 
                the applicant in the agricultural community; 
                and
                  (C) the availability of resources (in cash or 
                in kind) of definite value to sustain the 
                Center following establishment.
  (d) Matching Funds.--A recipient of funds under subsection 
(a) or (b) shall contribute an amount of non-Federal funds that 
is at least equal to the amount of Federal funds received.
  (e) Limitation.--Funds provided under this section may not be 
used for--
          (1) planning, repair, rehabilitation, acquisition, or 
        construction of a building or facility (including a 
        processing facility); or
          (2) the purchase, rental, or installation of fixed 
        equipment.

           *       *       *       *       *       *       *

                              ----------                              


             SECTION 15751 OF TITLE 40, UNITED STATES CODE

Sec. 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 [2018] 2023.
  (b) Administrative Expenses.--
          (1) In general.--Except as provided in paragraph (2), 
        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.
          (2) Limited funding.--In a case in which less than 
        $10,000,000 is made available to a Commission for a 
        fiscal year under this section, paragraph (1) shall not 
        apply.
                              ----------                              


                          HOUSING ACT OF 1949



           *       *       *       *       *       *       *
TITLE V--FARM HOUSING

           *       *       *       *       *       *       *


                        definition of rural area

  Sec. 520. As used in this title, the terms ``rural'' and 
``rural area'' mean any open country, or any place, town, 
village, or city which is not (except in the cases of Pajaro, 
in the State of California, and Guadalupe, in the State of 
Arizona) part of or associated with an urban area and which (1) 
has a population not in excess of 2,500 inhabitants, or (2) has 
a population in excess of 2,500 but not in excess of 10,000 if 
it is rural in character, or (3) has a population in excess of 
10,000 but not in excess of 20,000, and (A) is not contained 
within a standard metropolitan statistical area, and (B) has a 
serious lack of mortgage credit for lower and moderate-income 
families, as determined by the Secretary and the Secretary of 
Housing and Urban Development. For purposes of this title, any 
area classifed as ``rural'' or a ``rural area'' prior to 
October 1, 1990, and determined not to be ``rural'' or a 
``rural area'' as a result of data received from or after the 
1990, 2000, [or 2010 decennial census] 2010, or 2020 decennial 
census, and any area deemed to be a ``rural area'' for purposes 
of this title under any other provision of law at any time 
during the period beginning January 1, 2000, and ending 
[December 31, 2010,] December 31, 2020, shall continue to be so 
classified until the receipt of data from the decennial census 
in the [year 2020] year 2030, if such area has a population in 
excess of 10,000 but not in excess of 35,000, is rural in 
character, and has a serious lack of mortgage credit for lower 
and moderate-income families. Notwithstanding any other 
provision of this section, the city of Plainview, Texas, shall 
be considered a rural area for purposes of this title, and the 
city of Altus, Oklahoma, shall be considered a rural area for 
purposes of this title until the receipt of data from the 
decennial census in the year 2000.

           *       *       *       *       *       *       *

                              ----------                              


                           ACT OF MAY 7, 1971

                           (Public Law 92-12)

 AN ACT To amend the Rural Electrification Act of 1936, as amended, to 
   provide an additional source of financing for the rural telephone 
                    program, and for other purposes.



  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, [That it is 
hereby declared to be the policy of the Congress that the 
growing capital needs of the rural telephone systems require 
the establishment of a rural telephone bank which will furnish 
assured and viable sources of supplementary financing with the 
objective that said bank will become an entirely privately 
owned, operated, and financed corporation. The Congress further 
finds that many rural telephone systems require financing under 
the terms and conditions provided in title I1 of the Rural 
Electrification Act of 1936, as amended. In order to effectuate 
this policy, the Rural Electrification Act of 1936, as amended 
(7 U.S.C. 921-924), is amended as hereinafter provided.]

           *       *       *       *       *       *       *

                              ----------                              


                          ACT OF JUNE 30, 1972

                          (Public Law 92-324)

 AN ACT To amend the Rural Electrification Act of 1936, as amended, to 
enhance the ability of the Rural Telephone Bank to obtain funds for the 
   supplementary financing program on favorable terms and conditions.



  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, [That it is 
hereby declared to be the policy of the Congress that the Rural 
Telephone Bank should have the capability of obtaining adequate 
funds for its supplementary financing program at the lowest 
possible costs. In order to effectuate this policy, it will be 
necessary to expand the market for debentures to be issued by 
the Telephone Bank. The Rural Electrification Act of 1936, as 
amended (7 U.S.C. 901-950(b)), is therefore further amended as 
hereinafter provided.]

           *       *       *       *       *       *       *

                              ----------                              


               OMNIBUS BUDGET RECONCILIATION ACT OF 1987



           *       *       *       *       *       *       *
TITLE I--AGRICULTURE AND RELATED PROGRAMS

           *       *       *       *       *       *       *


Subtitle D--Rural Electrification Administration Programs

           *       *       *       *       *       *       *


               CHAPTER 2--RURAL TELEPHONE BANK BORROWERS

[SEC. 1411. RURAL TELEPHONE BANK INTEREST RATES AND LOAN PREPAYMENTS

  [(a) Findings.--Congress finds that--
          [(1) overcharging or Rural Telephone Bank borrowers 
        has resulted in $179,000,000 in excess profits and has 
        imperiled borrowers by raising costs to ratepayers;
          [(2) borrowers will be able to seek redress under 
        section 408(b)(3)(G) of the Rural Electrification Act 
        of 1936, as added by subsection (c), or may leave the 
        Rural Telephone Bank, but in no case may the Governor 
        of the Bank issue regulations requiring any penalty 
        from borrowers seeking to retire debt prior to 
        maturity; and
          [(3) any reduction in Federal Government expenditures 
        in the operation of the Rural Telephone Bank, from the 
        borrowers' conduct resulting from the implementation of 
        the amendments made by subsections (b) and (c), should 
        be included in all calculations of the budget of the 
        United States Government, authorized under the Balanced 
        Budget and Emergency Deficit Control Reaffirmation Act 
        of 1987.
  [(b) Rural Telephone Bank Loan Repayments.--
          [(1) Prepayments Authorized.--Section 408(b) of the 
        Rural Electrification Act of 1936 (7 U.S.C. 948(b)) is 
        amended by adding at the end the following new 
        paragraph:
          [``(8) A borrower with a loan from the Rural 
        Telephone Bank may prepay such loan (or any part 
        thereof) by paying the face amount thereof without 
        being required to pay the prepayment penalty set forth 
        in the note covering such loan, if such prepayment is 
        not made later than September 30, 1988.''.
          [(2) Prepayment Regulations.--The Governor of the 
        Rural Telephone Bank shall issue regulations to carry 
        out the amendment made by paragraph (1) within 30 days 
        after the date of enactment of this Act. Such 
        regulations shall implement the amendment made by 
        paragraph (1) without the addition of any restrictions 
        set forth in such amendment.]
  (c) [Omitted amendatory text]

           *       *       *       *       *       *       *


[SEC. 1414. PUBLICATION OF RURAL TELEPHONE BANK POLICIES AND 
                    REGULATIONS.

  [Notwithstanding the exemption contained in section 553(a)(2) 
of title 5, United States Code, the Governor of the telephone 
bank shall cause to be published in the Federal Register, in 
accordance with section 553 of title 5, United States Code, all 
rules, regulations, bulletins, and other written policy 
standards governing the operation of the telephone bank's 
programs relating to public property, loans, grants, benefits, 
or contracts. After September 30, 1988, the telephone bank may 
not deny a loan or advance to, or take any other adverse action 
against, any applicant or borrower for any reason which is 
based upon a rule, regulation, bulletin, or other written 
policy standard which has not been published pursuant to such 
section.]

           *       *       *       *       *       *       *

                              ----------                              


       SECTION 105 OF THE NATIONAL CONSUMER COOPERATIVE BANK ACT



           *       *       *       *       *       *       *
                              eligibility

  Sec. 105. (a) For the purpose of all titles of this Act, 
subject to the limitations of subsection (d) of this section, 
an eligible cooperative is an organization chartered or 
operated on a cooperative, not-for-profit basis for producing 
or furnishing goods, services or facilities, primarily for the 
benefit of its members or voting stockholders who are ultimate 
consumers of such goods, services, or facilities, or a legally 
chartered entity primarily owned and controlled by any such 
organization or organizations, if it--
  (1) makes such goods, services or facilities directly or 
indirectly available to its members or voting stockholders on a 
not-for-profit basis;
  (2) does not pay dividends on voting stock or membership 
capital in excess of such percentage per annum as may be 
approved under the bylaws of the Bank;
  (3) provides that its net savings shall be allocated or 
distributed to all members or patrons, in proportion to their 
patronage, or shall be retained for the actual or potential 
expansion of its services or the reduction of its charges to 
the patrons, or for such other purposes as may be authorized by 
its membership not inconsistent with its purposes;
  (4) makes membership available on a voluntary basis, without 
any social, political, racial, or religious discrimination and 
without any discrimination on the basis of age, sex, or marital 
status, to all persons who can make use of its services and are 
willing to accept the responsibilities of membership, subject 
only to limitations under applicable Federal or State laws or 
regulations;
  (5) in the case of the primary cooperative organizations 
restricts its voting control to members or voting stockholders 
on a one vote per person basis (except that this requirement 
shall not apply to any housing cooperative in existence on 
March 21, 1980, which did not meet such requirement on such 
date) and takes positive steps to insure economic democracy and 
maximum participation by members of the cooperative including 
the holding of annual meetings and, in the case of 
organizations owned by groups of cooperatives, provided 
positive protections to insure economic democracy; and
  (6) is not a credit union, mutual savings bank, or mutual 
savings and loan association.
  (b) No organization shall be ineligible because it produces, 
markets, or furnishes goods, services, or facilities on behalf 
of its members as primary producers, unless the dollar volume 
of loans made by the Bank to such organizations exceeds 10 per 
centum of the gross assets of the Bank.
  (c) As used in this section, the term ``net savings'' means, 
for any period, the borrower's gross receipts, less the 
operating and other expenses deductible therefrom in accordance 
with generally accepted accounting principles, including, 
without limitation, contributions to allowable reserves, and 
after deducting the amounts of any dividends on its capital 
stock or other membership capital payable during, or within 
forty-five days after, the close of such period.
  (d) An eligible cooperative which also has been determined to 
be eligible for credit assistance from the Rural 
Electrification Administration, the National Rural Utilities 
Cooperative Finance Corporation, [the Rural Telephone Bank,] 
the Banks for Cooperatives or other institutions of the Farm 
Credit System, or the Farmers Home Administration may receive 
the assistance authorized by this Act only (1) if the Bank 
determines that a request for assistance from any such source 
or sources has been rejected or denied solely because of the 
unavailability of funds from such source or sources, or (2) by 
agreement between the Bank and the agency or agencies involved.
  (e) Notwithstanding any other provision of this section, a 
credit union serving predominantly low-income members (as 
defined by the Administrator of the National Credit Union 
Administration) may receive technical asistance under title II.
                              ----------                              


                      TITLE 31, UNITED STATES CODE



           *       *       *       *       *       *       *
SUBTITLE VI--MISCELLANEOUS

           *       *       *       *       *       *       *


CHAPTER 91--GOVERNMENT CORPORATIONS

           *       *       *       *       *       *       *


Sec. 9101. Definitions

   In this chapter--
          (1) ``Government corporation'' means a mixed-
        ownership Government corporation and a wholly owned 
        Government corporation.
          (2) ``mixed-ownership Government corporation'' 
        means--
                  (A) the Central Bank for Cooperatives.
                  (B) the Federal Deposit Insurance 
                Corporation.
                  (C) the Federal Home Loan Banks.
                  (D) the Federal Intermediate Credit Banks.
                  (E) the Federal Land Banks.
                  (F) the National Credit Union Administration 
                Central Liquidity Facility.
                  (G) the Regional Banks for Cooperatives.
                  [(H) the Rural Telephone Bank when the 
                ownership, control, and operation of the Bank 
                are converted under section 410(a) of the Rural 
                Electrification Act of 1936 (7 U.S.C. 950(a)).]
                  [(I)] (H) the Financing Corporation.
                  [(J)] (I) the Resolution Trust Corporation.
                  [(K)] (J) the Resolution Funding Corporation.
          (3) ``wholly owned Government corporation'' means--
                  (A) the Commodity Credit Corporation.
                  (B) the Community Development Financial 
                Institutions Fund.
                  (C) the Export-Import Bank of the United 
                States.
                  (D) the Federal Crop Insurance Corporation.
                  (E) Federal Prison Industries, Incorporated.
                  (F) the Corporation for National and 
                Community Service.
                  (G) the Government National Mortgage 
                Association.
                  (H) the Overseas Private Investment 
                Corporation.
                  (I) the Pennsylvania Avenue Development 
                Corporation.
                  (J) the Pension Benefit Guaranty Corporation.
                  [(K) the Rural Telephone Bank until the 
                ownership, control, and operation of the Bank 
                are converted under section 410(a) of the Rural 
                Electrification Act of 1936 (7 U.S.C. 950(a)).
                  [(L)] (K) the Saint Lawrence Seaway 
                Development Corporation.
                  [(M)] (L) the Secretary of Housing and Urban 
                Development when carrying out duties and powers 
                related to the Federal Housing Administration 
                Fund.
                  [(N)] (M) the Tennessee Valley Authority.
                  [(P)] (N) the Panama Canal Commission.
                  [(Q)] (O) the Millennium Challenge 
                Corporation.
                  [(R)] (P) the International Clean Energy 
                Foundation.

           *       *       *       *       *       *       *


Sec. 9108. Obligations

  (a) Before a Government corporation issues obligations and 
offers obligations to the public, the Secretary of the Treasury 
shall prescribe--
          (1) the form, denomination, maturity, interest rate, 
        and conditions to which the obligations will be 
        subject;
          (2) the way and time the obligations are issued; and
          (3) the price for which the obligations will be sold.
  (b) A Government corporation may buy or sell a direct 
obligation of the United States Government, or an obligation on 
which the principal, interest, or both, is guaranteed, of more 
than $100,000 only when the Secretary approves the purchase or 
sale. The Secretary may waive the requirement of this 
subsection under conditions the Secretary may decide.
  (c) The Secretary may designate an officer or employee of an 
agency to carry out this section if the head of the agency 
agrees.
  (d)(1) This section does not apply to a mixed-ownership 
Government corporation when the corporation has no capital of 
the Government.
  (2) Subsections (a) and (b) of this section do not apply to 
[the Rural Telephone Bank (when the ownership, control, and 
operation of the Bank are converted under section 410(a) of the 
Rural Electrification Act of 1936 (7 U.S.C. 950(a))),] the 
Federal Intermediate Credit Banks, the Central Bank for 
Cooperatives, the Regional Banks for Cooperatives, and the 
Federal Land Banks. However, the head of each of those banks 
shall consult with the Secretary before taking action of the 
kind described in subsection (a) or (b). If agreement is not 
reached, the Secretary may make a written report to the 
corporation, the President, and Congress on the reasons for the 
Secretary's disagreement.

           *       *       *       *       *       *       *

                              ----------                              


   LAUNCHING OUR COMMUNITIES' ACCESS TO LOCAL TELEVISION ACT OF 2000



           *       *       *       *       *       *       *
                        [TITLE X--LOCAL TV ACT]

         TITLE X--SATELLITE CARRIER RETRANSMISSION ELIGIBILITY

[SEC. 1001. SHORT TITLE.

  [This title may be cited as the ``Launching Our Communities' 
Access to Local Television Act of 2000''.

[SEC. 1002. PURPOSE.

  [The purpose of this Act is to facilitate access, on a 
technologically neutral basis and by December 31, 2006, to 
signals of local television stations for households located in 
nonserved areas and underserved areas.

[SEC. 1003. LOCAL TELEVISION LOAN GUARANTEE BOARD.

  [(a) Establishment.--There is established the LOCAL 
Television Loan Guarantee Board (in this Act referred to as the 
``Board'').
  [(b) Members.--
          [(1) In general.--Subject to paragraph (2), the Board 
        shall consist of the following members:
                  [(A) The Secretary of the Treasury, or the 
                designee of the Secretary.
                  [(B) The Chairman of the Board of Governors 
                of the Federal Reserve System, or the designee 
                of the Chairman.
                  [(C) The Secretary of Agriculture, or the 
                designee of the Secretary.
                  [(D) The Secretary of Commerce, or the 
                designee of the Secretary.
          [(2) Requirement as to designees.--An individual may 
        not be designated a member of the Board under paragraph 
        (1) unless the individual is an officer of the United 
        States pursuant to an appointment by the President, by 
        and with the advice and consent of the Senate.
  [(c) Functions of the Board.--
          [(1) In general.--The Board shall determine whether 
        or not to approve loan guarantees under this Act. The 
        Board shall make such determinations consistent with 
        the purpose of this Act and in accordance with this 
        subsection and section 4.
          [(2) Consultation authorized.--
                  [(A) In general.--In carrying out its 
                functions under this Act, the Board shall 
                consult with such departments and agencies of 
                the Federal Government as the Board considers 
                appropriate, including the Department of 
                Commerce, the Department of Agriculture, the 
                Department of the Treasury, the Department of 
                Justice, the Department of the Interior, the 
                Board of Governors of the Federal Reserve 
                System, the Federal Communications Commission, 
                the Federal Trade Commission, and the National 
                Aeronautics and Space Administration.
                  [(B) Response.--A department or agency 
                consulted by the Board under subparagraph (A) 
                shall provide the Board such expertise and 
                assistance as the Board requires to carry out 
                its functions under this Act.
          [(3) Approval by majority vote.--The determination of 
        the Board to approve a loan guarantee under this Act 
        shall be by an affirmative vote of not less than three 
        members of the Board.

[SEC. 1004. APPROVAL OF LOAN GUARANTEES.

  [(a) Authority To Approve Loan Guarantees.--Subject to the 
provisions of this section and consistent with the purpose of 
this Act, the Board may approve loan guarantees under this Act.
  [(b) Regulations.--
          [(1) Requirements.--The Administrator (as defined in 
        section 1005), under the direction of and for approval 
        by the Board, shall prescribe regulations to implement 
        the provisions of this Act and shall do so not later 
        than 120 days after funds authorized to be appropriated 
        under section 1011 have been appropriated in a bill 
        signed into law.
          [(2) Elements.--The regulations prescribed under 
        paragraph (1) shall--
                  [(A) set forth the form of any application to 
                be submitted to the Board under this Act;
                  [(B) set forth time periods for the review 
                and consideration by the Board of applications 
                to be submitted to the Board under this Act, 
                and for any other action to be taken by the 
                Board with respect to such applications;
                  [(C) provide appropriate safeguards against 
                the evasion of the provisions of this Act;
                  [(D) set forth the circumstances in which an 
                applicant, together with any affiliate of an 
                applicant, shall be treated as an applicant for 
                a loan guarantee under this Act;
                  [(E) include requirements that appropriate 
                parties submit to the Board any documents and 
                assurances that are required for the 
                administration of the provisions of this Act; 
                and
                  [(F) include such other provisions consistent 
                with the purpose of this Act as the Board 
                considers appropriate.
          [(3) Construction.--(A) Nothing in this Act shall be 
        construed to prohibit the Board from requiring, to the 
        extent and under circumstances considered appropriate 
        by the Board, that affiliates of an applicant be 
        subject to certain obligations of the applicant as a 
        condition to the approval or maintenance of a loan 
        guarantee under this Act.
          [(B) If any provision of this Act or the application 
        of such provision to any person or entity or 
        circumstance is held to be invalid by a court of 
        competent jurisdiction, the remainder of this Act, or 
        the application of such provision to such person or 
        entity or circumstance other than those as to which it 
        is held invalid, shall not be affected thereby.
  [(c) Authority Limited by Appropriations Acts.--The Board may 
approve loan guarantees under this Act only to the extent 
provided for in advance in appropriations Acts.
  [(d) Requirements and Criteria Applicable to Approval.--
          [(1) In general.--The Board shall utilize the 
        underwriting criteria developed under subsection (g), 
        and any relevant information provided by the 
        departments and agencies with which the Board consults 
        under section 1003, to determine which loans may be 
        eligible for a loan guarantee under this Act.
          [(2) Prerequisites.--In addition to meeting the 
        underwriting criteria under paragraph (1), a loan may 
        not be guaranteed under this Act unless--
                  [(A) the loan is made to finance the 
                acquisition, improvement, enhancement, 
                construction, deployment, launch, or 
                rehabilitation of the means by which local 
                television broadcast signals will be delivered 
                to a nonserved area or underserved area;
                  [(B) the proceeds of the loan will not be 
                used for operating, advertising, or promotion 
                expenses, or for the acquisition of licenses 
                for the use of spectrum in any competitive 
                bidding under section 309(j) of the 
                Communications Act of 1934 (47 U.S.C. 309(j));
                  [(C) the proposed project, as determined by 
                the Board in consultation with the National 
                Telecommunications and Information 
                Administration, is not likely to have a 
                substantial adverse impact on competition that 
                outweighs the benefits of improving access to 
                the signals of a local television station in a 
                nonserved area or underserved area and is 
                commercially viable;
                  [(D)(i) the loan--
                          [(I) is provided by any entity 
                        engaged in the business of commercial 
                        lending--
                                  [(aa) if the loan is made in 
                                accordance with loan-to-one-
                                borrower and affiliate 
                                transaction restrictions to 
                                which the entity is subject 
                                under applicable law; or
                                  [(bb) if item (aa) does not 
                                apply, the loan is made only to 
                                a borrower that is not an 
                                affiliate of the entity and 
                                only if the amount of the loan 
                                and all outstanding loans by 
                                that entity to that borrower 
                                and any of its affiliates does 
                                not exceed 10 percent of the 
                                net equity of the entity; or
                          [(II) is provided by a nonprofit 
                        corporation, including the National 
                        Rural Utilities Cooperative Finance 
                        Corporation, engaged primarily in 
                        commercial lending, if the Board 
                        determines that such nonprofit 
                        corporation has one or more issues of 
                        outstanding long-term debt that is 
                        rated within the highest three rating 
                        categories of a nationally recognized 
                        statistical rating organization;
                  [(ii) if the loan is provided by a lender 
                described in clause (i)(II) and the Board 
                determines that the making of the loan by such 
                lender will cause a decline in such lender's 
                debt rating as described in that clause, the 
                Board at its discretion may disapprove the loan 
                guarantee on this basis;
                  [(iii) no loan may be made for purposes of 
                this Act by a governmental entity or affiliate 
                thereof, or by the Federal Agricultural 
                Mortgage Corporation, or any institution 
                supervised by the Federal Housing Finance 
                Agency, or any affiliate of such entities;
                  [(iv) any loan must have terms, in the 
                judgment of the Board, that are consistent in 
                material respects with the terms of similar 
                obligations in the private capital market;
                  [(v) for purposes of clause (i)(I)(bb), the 
                term ``net equity'' means the value of the 
                total assets of the entity, less the total 
                liabilities of the entity, as recorded under 
                generally accepted accounting principles for 
                the fiscal quarter ended immediately prior to 
                the date on which the subject loan is approved;
                  [(E) repayment of the loan is required to be 
                made within a term of the lesser of--
                          [(i) 25 years from the date of the 
                        execution of the loan; or
                          [(ii) the economically useful life, 
                        as determined by the Board or in 
                        consultation with persons or entities 
                        deemed appropriate by the Board, of the 
                        primary assets to be used in the 
                        delivery of the signals concerned; and
                  [(F) the loan meets any additional criteria 
                developed under subsection (g).
          [(3) Protection of united states financial 
        interests.--The Board may not approve the guarantee of 
        a loan under this Act unless--
                  [(A) the Board has been given documentation, 
                assurances, and access to information, persons, 
                and entities necessary, as determined by the 
                Board, to address issues relevant to the review 
                of the loan by the Board for purposes of this 
                Act; and
                  [(B) the Board makes a determination in 
                writing that--
                          [(i) to the best of its knowledge 
                        upon due inquiry, the assets, 
                        facilities, or equipment covered by the 
                        loan will be utilized economically and 
                        efficiently;
                          [(ii) the terms, conditions, 
                        security, and schedule and amount of 
                        repayments of principal and the payment 
                        of interest with respect to the loan 
                        protect the financial interests of the 
                        United States and are reasonable;
                          [(iii) the value of collateral 
                        provided by an applicant is at least 
                        equal to the unpaid balance of the loan 
                        amount covered by the loan guarantee 
                        (the ``Amount'' for purposes of this 
                        clause); and if the value of collateral 
                        provided by an applicant is less than 
                        the Amount, the additional required 
                        collateral is provided by any affiliate 
                        of the applicant;
                          [(iv) all necessary and required 
                        regulatory and other approvals, 
                        spectrum licenses, and delivery 
                        permissions have been received for the 
                        loan and the project under the loan;
                          [(v) the loan would not be available 
                        on reasonable terms and conditions 
                        without a loan guarantee under this 
                        Act; and
                          [(vi) repayment of the loan can 
                        reasonably be expected.
  [(e) Considerations.--
          [(1) Type of market.--
                  [(A) Priority considerations.--To the maximum 
                extent practicable, the Board shall give 
                priority in the approval of loan guarantees 
                under this Act in the following order:
                          [(i) First, to projects that will 
                        serve households in nonserved areas. In 
                        considering such projects, the Board 
                        shall balance projects that will serve 
                        the largest number of households with 
                        projects that will serve remote, 
                        isolated communities (including 
                        noncontiguous States) in areas that are 
                        unlikely to be served through market 
                        mechanisms.
                          [(ii) Second, to projects that will 
                        serve households in underserved areas. 
                        In considering such projects, the Board 
                        shall balance projects that will serve 
                        the largest number of households with 
                        projects that will serve remote, 
                        isolated communities (including 
                        noncontiguous States) in areas that are 
                        unlikely to be served through market 
                        mechanisms.
                Within each category, the Board shall consider 
                the project's estimated cost per household and 
                shall give priority to those projects that 
                provide the highest quality service at the 
                lowest cost per household.
                  [(B) Additional consideration.--The Board 
                should give additional consideration to 
                projects that also provide high-speed Internet 
                service.
                  [(C) Prohibitions.--The Board may not approve 
                a loan guarantee under this Act for a project 
                that--
                          [(i) is designed primarily to serve 
                        one or more of the top 40 designated 
                        market areas (as that term is defined 
                        in section 122(j) of title 17, United 
                        States Code); or
                          [(ii) would alter or remove National 
                        Weather Service warnings from local 
                        broadcast signals.
          [(2) Other considerations.--The Board shall consider 
        other factors, which shall include projects that 
        would--
                  [(A) offer a separate tier of local broadcast 
                signals, but for applicable Federal, State, or 
                local laws or regulations;
                  [(B) provide lower projected costs to 
                consumers of such separate tier; and
                  [(C) enable the delivery of local broadcast 
                signals consistent with the purpose of this Act 
                by a means reasonably compatible with existing 
                systems or devices predominantly in use.
          [(3) Further consideration.--In implementing this 
        Act, the Board shall support the use of loan guarantees 
        for projects that would serve households not likely to 
        be served in the absence of loan guarantees under this 
        Act.
  [(f) Guarantee Limits.--
          [(1) Limitation on aggregate value of loans.--The 
        aggregate value of all loans for which loan guarantees 
        are issued under this Act (including the unguaranteed 
        portion of such loans) may not exceed $1,250,000,000.
          [(2) Guarantee level.--A loan guarantee issued under 
        this Act may not exceed an amount equal to 80 percent 
        of a loan meeting in its entirety the requirements of 
        subsection (d)(2)(A). If only a portion of a loan meets 
        the requirements of that subsection, the Board shall 
        determine that percentage of the loan meeting such 
        requirements (the ``applicable portion'') and may issue 
        a loan guarantee in an amount not exceeding 80 percent 
        of the applicable portion.
  [(g) Underwriting Criteria.--Within the period provided for 
under subsection (b)(1), the Board shall, in consultation with 
the Director of the Office of Management and Budget and an 
independent public accounting firm, develop underwriting 
criteria relating to the guarantee of loans that are consistent 
with the purpose of this Act, including appropriate collateral 
and cash flow levels for loans guaranteed under this Act, and 
such other matters as the Board considers appropriate.
  [(h) Credit Risk Premiums.--
          [(1) Establishment and acceptance.--
                  [(A) In general.--The Board may establish and 
                approve the acceptance of credit risk premiums 
                with respect to a loan guarantee under this Act 
                in order to cover the cost, as defined in 
                section 502(5) of the Federal Credit Reform Act 
                of 1990, of the loan guarantee.
                  [(B) Authority limited by appropriations 
                acts.--Credit risk premiums under this 
                subsection shall be imposed only to the extent 
                provided for in advance in appropriations Acts. 
                To the extent that appropriations of budget 
                authority are insufficient to cover the cost, 
                as so defined, of a loan guarantee under this 
                Act, credit risk premiums shall be accepted 
                from a non-Federal source under this subsection 
                on behalf of the applicant for the loan 
                guarantee.
          [(2) Credit risk premium amount.--
                  [(A) In general.--The Board shall determine 
                the amount of any credit risk premium to be 
                accepted with respect to a loan guarantee under 
                this Act on the basis of--
                          [(i) the financial and economic 
                        circumstances of the applicant for the 
                        loan guarantee, including the amount of 
                        collateral offered;
                          [(ii) the proposed schedule of loan 
                        disbursements;
                          [(iii) the business plans of the 
                        applicant for providing service;
                          [(iv) any financial commitment from a 
                        broadcast signal provider; and
                          [(v) the concurrence of the Director 
                        of the Office of Management and Budget 
                        as to the amount of the credit risk 
                        premium.
                  [(B) Proportionality.--To the extent that 
                appropriations of budget authority are 
                sufficient to cover the cost, as determined 
                under section 502(5) of the Federal Credit 
                Reform Act of 1990, of loan guarantees under 
                this Act, the credit risk premium with respect 
                to each loan guarantee shall be reduced 
                proportionately.
                  [(C) Payment of premiums.--Credit risk 
                premiums under this subsection shall be paid to 
                an account (the ``Escrow Account'') established 
                in the Treasury which shall accrue interest and 
                such interest shall be retained by the account, 
                subject to subparagraph (D).
                  [(D) Deductions from escrow account.--If a 
                default occurs with respect to any loan 
                guaranteed under this Act and the default is 
                not cured in accordance with the terms of the 
                underlying loan or loan guarantee agreement, 
                the Administrator, in accordance with 
                subsections (i) and (j) of section 1005, shall 
                liquidate, or shall cause to be liquidated, all 
                assets collateralizing such loan as to which it 
                has a lien or security interest. Any shortfall 
                between the proceeds of the liquidation net of 
                costs and expenses relating to the liquidation, 
                and the guarantee amount paid pursuant to this 
                Act shall be deducted from funds in the Escrow 
                Account and credited to the Administrator for 
                payment of such shortfall. At such time as 
                determined under subsection (d)(2)(E) of this 
                section when all loans guaranteed under this 
                Act have been repaid or otherwise satisfied in 
                accordance with this Act and the regulations 
                promulgated hereunder, remaining funds in the 
                Escrow Account, if any, shall be refunded, on a 
                pro rata basis, to applicants whose loans 
                guaranteed under this Act were not in default, 
                or where any default was cured in accordance 
                with the terms of the underlying loan or loan 
                guarantee agreement.
  [(i) Limitations on Guarantees for Certain Cable Operators.--
Notwithstanding any other provision of this Act, no loan 
guarantee under this Act may be granted or used to provide 
funds for a project that upgrades or enhances the services 
provided over any cable system, nor for a project that extends 
the services provided by a cable operator, or its successor or 
assignee, over any cable system to an area that, as of the date 
of enactment of this Act, is covered by a cable franchise 
agreement that obligates a cable system operator to serve such 
area.
  [(j) Judicial Review.--The decision of the Board to approve 
or disapprove the making of a loan guarantee under this Act 
shall not be subject to judicial review.
  [(k) Applicability of APA.--Except as otherwise provided in 
subsection (j), the provisions of subchapter II of chapter 5 
and chapter 7 of title 5, United States Code (commonly referred 
to as the Administrative Procedure Act), shall apply to actions 
taken under this Act.

[SEC. 1005. ADMINISTRATION OF LOAN GUARANTEES.

  [(a) In General.--The Administrator of the Rural Utilities 
Service (in this Act referred to as the ``Administrator'') 
shall issue and otherwise administer loan guarantees that have 
been approved by the Board in accordance with sections 1003 and 
1004.
  [(b) Security for Protection of United States Financial 
Interests.--
          [(1) Terms and conditions.--An applicant shall agree 
        to such terms and conditions as are satisfactory, in 
        the judgment of the Board, to ensure that, as long as 
        any principal or interest is due and payable on a loan 
        guaranteed under this Act, the applicant--
                  [(A) shall maintain assets, equipment, 
                facilities, and operations on a continuing 
                basis;
                  [(B) shall not make any discretionary 
                dividend payments that impair its ability to 
                repay obligations guaranteed under this Act;
                  [(C) shall remain sufficiently capitalized; 
                and
                  [(D) shall submit to, and cooperate fully 
                with, any audit of the applicant under section 
                1006(a)(2).
          [(2) Collateral.--
                  [(A) Existence of adequate collateral.--An 
                applicant shall provide the Board such 
                documentation as is necessary, in the judgment 
                of the Board, to provide satisfactory evidence 
                that appropriate and adequate collateral 
                secures a loan guaranteed under this Act.
                  [(B) Form of collateral.--Collateral required 
                by subparagraph (A) shall consist solely of 
                assets of the applicant, any affiliate of the 
                applicant, or both (whichever the Board 
                considers appropriate), including primary 
                assets to be used in the delivery of signals 
                for which the loan is guaranteed.
                  [(C) Review of valuation.--The value of 
                collateral securing a loan guaranteed under 
                this Act may be reviewed by the Board, and may 
                be adjusted downward by the Board if the Board 
                reasonably believes such adjustment is 
                appropriate.
          [(3) Lien on interests in assets.--Upon the Board's 
        approval of a loan guarantee under this Act, the 
        Administrator shall have liens on assets securing the 
        loan, which shall be superior to all other liens on 
        such assets, and the value of the assets (based on a 
        determination satisfactory to the Board) subject to the 
        liens shall be at least equal to the unpaid balance of 
        the loan amount covered by the loan guarantee, or that 
        value approved by the Board under section 
        1004(d)(3)(B)(iii).
          [(4) Perfected security interest.--With respect to a 
        loan guaranteed under this Act, the Administrator and 
        the lender shall have a perfected security interest in 
        assets securing the loan that are fully sufficient to 
        protect the financial interests of the United States 
        and the lender.
          [(5) Insurance.--In accordance with practices in the 
        private capital market, as determined by the Board, the 
        applicant for a loan guarantee under this Act shall 
        obtain, at its expense, insurance sufficient to protect 
        the financial interests of the United States, as 
        determined by the Board.
  [(c) Assignment of Loan Guarantees.--The holder of a loan 
guarantee under this Act may assign the loan guaranteed under 
this Act in whole or in part, subject to such requirements as 
the Board may prescribe.
  [(d) Expiration of Loan Guarantee Upon Stripping.--
Notwithstanding subsections (c), (e), and (h), a loan guarantee 
under this Act shall have no force or effect if any part of the 
guaranteed portion of the loan is transferred separate and 
apart from the unguaranteed portion of the loan.
  [(e) Adjustment.--The Board may approve the adjustment of any 
term or condition of a loan guarantee or a loan guaranteed 
under this Act, including the rate of interest, time of payment 
of principal or interest, or security requirements only if--
          [(1) the adjustment is consistent with the financial 
        interests of the United States;
          [(2) consent has been obtained from the parties to 
        the loan agreement;
          [(3) the adjustment is consistent with the 
        underwriting criteria developed under section 1004(g);
          [(4) the adjustment does not adversely affect the 
        interest of the Federal Government in the assets or 
        collateral of the applicant;
          [(5) the adjustment does not adversely affect the 
        ability of the applicant to repay the loan; and
          [(6) the National Telecommunications and Information 
        Administration has been consulted by the Board 
        regarding the adjustment.
  [(f) Performance Schedules.--
          [(1) Performance schedules.--An applicant for a loan 
        guarantee under this Act for a project covered by 
        section 4(e)(1) shall enter into stipulated performance 
        schedules with the Administrator with respect to the 
        signals to be provided through the project.
          [(2) Penalty.--The Administrator may assess against 
        and collect from an applicant described in paragraph 
        (1) a penalty not to exceed three times the interest 
        due on the guaranteed loan of the applicant under this 
        Act if the applicant fails to meet its stipulated 
        performance schedule under that paragraph.
  [(g) Compliance.--The Administrator, in cooperation with the 
Board and as the regulations of the Board may provide, shall 
enforce compliance by an applicant, and any other party to a 
loan guarantee for whose benefit assistance under this Act is 
intended, with the provisions of this Act, any regulations 
under this Act, and the terms and conditions of the loan 
guarantee, including through the submittal of such reports and 
documents as the Board may require in regulations prescribed by 
the Board and through regular periodic inspections and audits.
  [(h) Commercial Validity.--A loan guarantee under this Act 
shall be incontestable--
          [(1) in the hands of an applicant on whose behalf the 
        loan guarantee is made, unless the applicant engaged in 
        fraud or misrepresentation in securing the loan 
        guarantee; and
          [(2) as to any person or entity (or their respective 
        successor in interest) who makes or contracts to make a 
        loan to the applicant for the loan guarantee in 
        reliance thereon, unless such person or entity (or 
        respective successor in interest) engaged in fraud or 
        misrepresentation in making or contracting to make such 
        loan.
  [(i) Defaults.--The Board shall prescribe regulations 
governing defaults on loans guaranteed under this Act, 
including the administration of the payment of guaranteed 
amounts upon default.
  [(j) Recovery of Payments.--
          [(1) In general.--The Administrator shall be entitled 
        to recover from an applicant for a loan guarantee under 
        this Act the amount of any payment made to the holder 
        of the guarantee with respect to the loan.
          [(2) Subrogation.--Upon making a payment described in 
        paragraph (1), the Administrator shall be subrogated to 
        all rights of the party to whom the payment is made 
        with respect to the guarantee which was the basis for 
        the payment.
          [(3) Disposition of property.--
                  [(A) Sale or disposal.--The Administrator 
                shall, in an orderly and efficient manner, sell 
                or otherwise dispose of any property or other 
                interests obtained under this Act in a manner 
                that maximizes taxpayer return and is 
                consistent with the financial interests of the 
                United States.
                  [(B) Maintenance.--The Administrator shall 
                maintain in a cost-effective and reasonable 
                manner any property or other interests pending 
                sale or disposal of such property or other 
                interests under subparagraph (A).
  [(k) Action Against Obligor.--
          [(1) Authority to bring civil action.--The 
        Administrator may bring a civil action in an 
        appropriate district court of the United States in the 
        name of the United States or of the holder of the 
        obligation in the event of a default on a loan 
        guaranteed under this Act. The holder of a loan 
        guarantee shall make available to the Administrator all 
        records and evidence necessary to prosecute the civil 
        action.
          [(2) Fully satisfying obligations owed the united 
        states.--The Administrator may accept property in 
        satisfaction of any sums owed the United States as a 
        result of a default on a loan guaranteed under this 
        Act, but only to the extent that any cash accepted by 
        the Administrator is not sufficient to satisfy fully 
        the sums owed as a result of the default.
  [(l) Breach of Conditions.--The Administrator shall commence 
a civil action in a court of appropriate jurisdiction to enjoin 
any activity which the Board finds is in violation of this Act, 
the regulations under this Act, or any conditions which were 
duly agreed to, and to secure any other appropriate relief, 
including relief against any affiliate of the applicant.
  [(m) Attachment.--No attachment or execution may be issued 
against the Administrator or any property in the control of the 
Administrator pursuant to this Act before the entry of a final 
judgment (as to which all rights of appeal have expired) by a 
Federal, State, or other court of competent jurisdiction 
against the Administrator in a proceeding for such action.
  [(n) Fees.--
          [(1) Application fee.--The Board shall charge and 
        collect from an applicant for a loan guarantee under 
        this Act a fee to cover the cost of the Board in making 
        necessary determinations and findings with respect to 
        the loan guarantee application under this Act. The 
        amount of the fee shall be reasonable.
          [(2) Loan guarantee origination fee.--The Board shall 
        charge, and the Administrator may collect, a loan 
        guarantee origination fee with respect to the issuance 
        of a loan guarantee under this Act.
          [(3) Use of fees collected.--
                  [(A) In general.--Any fee collected under 
                this subsection shall be used, subject to 
                subparagraph (B), to offset administrative 
                costs under this Act, including costs of the 
                Board and of the Administrator.
                  [(B) Subject to appropriations.--The 
                authority provided by this subsection shall be 
                effective only to such extent or in such 
                amounts as are provided in advance in 
                appropriations Acts.
                  [(C) Limitation on fees.--The aggregate 
                amount of fees imposed by this subsection shall 
                not exceed the actual amount of administrative 
                costs under this Act.
  [(o) Requirements Relating to Affiliates.--
          [(1) Indemnification.--The United States shall be 
        indemnified by any affiliate (acceptable to the Board) 
        of an applicant for a loan guarantee under this Act for 
        any losses that the United States incurs as a result 
        of--
                  [(A) a judgment against the applicant or any 
                of its affiliates;
                  [(B) any breach by the applicant or any of 
                its affiliates of their obligations under the 
                loan guarantee agreement;
                  [(C) any violation of the provisions of this 
                Act, and the regulations prescribed under this 
                Act, by the applicant or any of its affiliates;
                  [(D) any penalties incurred by the applicant 
                or any of its affiliates for any reason, 
                including violation of a stipulated performance 
                schedule under subsection (f); and
                  [(E) any other circumstances that the Board 
                considers appropriate.
          [(2) Limitation on transfer of loan proceeds.--An 
        applicant for a loan guarantee under this Act may not 
        transfer any part of the proceeds of the loan to an 
        affiliate.
  [(p) Effect of Bankruptcy.--
          [(1) Notwithstanding any other provision of law, 
        whenever any person or entity is indebted to the United 
        States as a result of any loan guarantee issued under 
        this Act and such person or entity is insolvent or is a 
        debtor in a case under title 11, United States Code, 
        the debts due to the United States shall be satisfied 
        first.
          [(2) A discharge in bankruptcy under title 11, United 
        States Code, shall not release a person or entity from 
        an obligation to the United States in connection with a 
        loan guarantee under this Act.

[SEC. 1006. ANNUAL AUDIT.

  [(a) Requirement.--The Comptroller General of the United 
States shall conduct on an annual basis an audit of--
          [(1) the administration of the provisions of this 
        Act; and
          [(2) the financial position of each applicant who 
        receives a loan guarantee under this Act, including the 
        nature, amount, and purpose of investments made by the 
        applicant.
  [(b) Report.--The Comptroller General shall submit to the 
Committee on Banking, Housing, and Urban Affairs of the Senate 
and the Committee on Banking and Financial Services of the 
House of Representatives a report on each audit conducted under 
subsection (a).

[SEC. 1007. IMPROVED CELLULAR SERVICE IN RURAL AREAS.

  [(a) Reinstatement of Applicants as Tentative Selectees.--
          [(1) In general.--Notwithstanding the order of the 
        Federal Communications Commission in the proceeding 
        described in paragraph (3), the Commission shall--
                  [(A) reinstate each applicant as a tentative 
                selectee under the covered rural service area 
                licensing proceeding; and
                  [(B) permit each applicant to amend its 
                application, to the extent necessary to update 
                factual information and to comply with the 
                rules of the Commission, at any time before the 
                Commission's final licensing action in the 
                covered rural service area licensing 
                proceeding.
          [(2) Exemption from petitions to deny.--For purposes 
        of the amended applications filed pursuant to paragraph 
        (1)(B), the provisions of section 309(d)(1) of the 
        Communications Act of 1934 (47 U.S.C. 309(d)(1)) shall 
        not apply.
          [(3) Proceeding.--The proceeding described in this 
        paragraph is the proceeding of the Commission In re 
        Applications of Cellwave Telephone Services L.P., 
        Futurewave General Partners L.P., and Great Western 
        Cellular Partners, 7 FCC Rcd No. 19 (1992).
  [(b) Continuation of License Proceeding; Fee Assessment.--
          [(1) Award of licenses.--The Commission shall award 
        licenses under the covered rural service area licensing 
        proceeding within 90 days after the date of the 
        enactment of this Act.
          [(2) Service requirements.--The Commission shall 
        provide that, as a condition of an applicant receiving 
        a license pursuant to the covered rural service area 
        licensing proceeding, the applicant shall provide 
        cellular radiotelephone service to subscribers in 
        accordance with sections 22.946 and 22.947 of the 
        Commission's rules (47 CFR 22.946, 22.947); except that 
        the time period applicable under section 22.947 of the 
        Commission's rules (or any successor rule) to the 
        applicants identified in subparagraphs (A) and (B) of 
        subsection (d)(1) shall be 3 years rather than 5 years 
        and the waiver authority of the Commission shall apply 
        to such 3-year period.
          [(3) Calculation of license fee.--
                  [(A) Fee required.--The Commission shall 
                establish a fee for each of the licenses under 
                the covered rural service area licensing 
                proceeding. In determining the amount of the 
                fee, the Commission shall consider--
                          [(i) the average price paid per 
                        person served in the Commission's 
                        Cellular Unserved Auction (Auction No. 
                        12); and
                          [(ii) the settlement payments 
                        required to be paid by the permittees 
                        pursuant to the consent decree set 
                        forth in the Commission's order, In re 
                        the Tellesis Partners (7 FCC Rcd 3168 
                        (1992)), multiplying such payments by 
                        two.
                  [(B) Notice of fee.--Within 30 days after the 
                date an applicant files the amended application 
                permitted by subsection (a)(1)(B), the 
                Commission shall notify each applicant of the 
                fee established for the license associated with 
                its application.
          [(4) Payment for licenses.--No later than 18 months 
        after the date that an applicant is granted a license, 
        each applicant shall pay to the Commission the fee 
        established pursuant to paragraph (3) for the license 
        granted to the applicant under paragraph (1).
          [(5) Auction authority.--If, after the amendment of 
        an application pursuant to subsection (a)(1)(B), the 
        Commission finds that the applicant is ineligible for 
        grant of a license to provide cellular radiotelephone 
        services for a rural service area or the applicant does 
        not meet the requirements under paragraph (2) of this 
        subsection, the Commission shall grant the license for 
        which the applicant is the tentative selectee (pursuant 
        to subsection (a)(1)(B) by competitive bidding pursuant 
        to section 309(j) of the Communications Act of 1934 (47 
        U.S.C. 309(j)).
  [(c) Prohibition of Transfer.--During the 5-year period that 
begins on the date that an applicant is granted any license 
pursuant to subsection (a), the Commission may not authorize 
the transfer or assignment of that license under section 310 of 
the Communications Act of 1934 (47 U.S.C. 310). Nothing in this 
Act may be construed to prohibit any applicant granted a 
license pursuant to subsection (a) from contracting with other 
licensees to improve cellular telephone service.
  [(d) Definitions.--For the purposes of this section, the 
following definitions shall apply:
          [(1) Applicant.--The term ``applicant'' means--
                  [(A) Great Western Cellular Partners, a 
                California general partnership chosen by the 
                Commission as tentative selectee for RSA #492 
                on May 4, 1989;
                  [(B) Monroe Telephone Services L.P., a 
                Delaware limited partnership chosen by the 
                Commission as tentative selectee for RSA #370 
                on August 24, 1989 (formerly Cellwave Telephone 
                Services L.P.); and
                  [(C) FutureWave General Partners L.P., a 
                Delaware limited partnership chosen by the 
                Commission as tentative selectee for RSA #615 
                on May 25, 1990.
          [(2) Commission.--The term ``Commission'' means the 
        Federal Communications Commission.
          [(3) Covered rural service area licensing 
        proceeding.--The term ``covered rural service area 
        licensing proceeding'' means the proceeding of the 
        Commission for the grant of cellular radiotelephone 
        licenses for rural service areas #492 (Minnesota 11), 
        #370 (Florida 11), and #615 (Pennsylvania 4).
          [(4) Tentative selectee.--The term ``tentative 
        selectee'' means a party that has been selected by the 
        Commission under a licensing proceeding for grant of a 
        license, but has not yet been granted the license 
        because the Commission has not yet determined whether 
        the party is qualified under the Commission's rules for 
        grant of the license.]

SEC. [1008.]  1001. TECHNICAL AMENDMENT.

  Section 339(c) of the Communications Act of 1934 (47 U.S.C. 
339(c)) is amended by adding at the end the following new 
paragraph:
          ``(5) Definition.--Notwithstanding subsection (d)(4), 
        for purposes of paragraphs (2) and (4) of this 
        subsection, the term `satellite carrier' includes a 
        distributor (as defined in section 119(d)(1) of title 
        17, United States Code), but only if the satellite 
        distributor's relationship with the subscriber includes 
        billing, collection, service activation, and service 
        deactivation.''.

[SEC. 1009. SUNSET.

  [No loan guarantee may be approved under this Act after 
December 31, 2006.

[SEC. 1010. DEFINITIONS.

   [In this Act:
          [(1) Affiliate.--The term ``affiliate''--
                  [(A) means any person or entity that 
                controls, or is controlled by, or is under 
                common control with, another person or entity; 
                and
                  [(B) may include any individual who is a 
                director or senior management officer of an 
                affiliate, a shareholder controlling more than 
                25 percent of the voting securities of an 
                affiliate, or more than 25 percent of the 
                ownership interest in an affiliate not 
                organized in stock form.
          [(2) Nonserved area.--The term ``nonserved area'' 
        means any area that--
                  [(A) is outside the grade B contour (as 
                determined using standards employed by the 
                Federal Communications Commission) of the local 
                television broadcast signals serving a 
                particular designated market area; and
                  [(B) does not have access to such signals by 
                any commercial, for profit, multichannel video 
                provider.
          [(3) Underserved area.--The term ``underserved area'' 
        means any area that--
                  [(A) is outside the grade A contour (as 
                determined using standards employed by the 
                Federal Communications Commission) of the local 
                television broadcast signals serving a 
                particular designated market area; and
                  [(B) has access to local television broadcast 
                signals from not more than one commercial, for-
                profit multichannel video provider.
          [(4) Common terms.--Except as provided in paragraphs 
        (1) through (3), any term used in this Act that is 
        defined in the Communications Act of 1934 (47 U.S.C. 
        151 et seq.) has the meaning given that term in the 
        Communications Act of 1934.

[SEC. 1011. AUTHORIZATIONS OF APPROPRIATIONS.

  [(a) Cost of Loan Guarantees.--
          [(1) Authorization of appropriations.--For the cost 
        of the loans guaranteed under this Act, including the 
        cost of modifying the loans, as defined in section 502 
        of the Congressional Budget Act of 1974 (2 U.S.C. 
        661(a)), there are authorized to be appropriated for 
        fiscal years 2001 through 2006, such amounts as may be 
        necessary.
          [(2) Commodity credit corporation funds.--
                  [(A) In general.--Notwithstanding any other 
                provision of law, subject to subparagraph (B), 
                in addition to amounts made available under 
                paragraph (1), of the funds of the Commodity 
                Credit Corporation, the Secretary of 
                Agriculture shall make available for loan 
                guarantees to carry out this title $80,000,000 
                for the period beginning on the date of 
                enactment of this paragraph and ending on 
                December 31, 2006, to remain available until 
                expended.
                  [(B) Broadband loans and loan guarantees.--
                          [(i) In general.--Amounts made 
                        available under subparagraph (A) that 
                        are not obligated as of the release 
                        date described in clause (ii) shall be 
                        available to the Secretary to make 
                        loans and loan guarantees under section 
                        601 of the Rural Electrification Act of 
                        1936.
                          [(ii) Release date.--For purposes of 
                        clause (i), the release date is the 
                        date that is the earlier of--
                                  [(I) the date the Secretary 
                                determines that at least 75 
                                percent of the designated 
                                market areas (as defined in 
                                section 122(j) of title 17, 
                                United States Code) not in the 
                                top 40 designated market areas 
                                described in section 
                                1004(e)(1)(C)(i) of the 
                                Launching Our Communities' 
                                Access to Local Television Act 
                                of 2000 (47 U.S.C. 
                                1103(e)(1)(C)(i)) have access 
                                to local television broadcast 
                                signals for virtually all 
                                households (as determined by 
                                the Secretary); or
                                  [(II) December 31, 2006.
                  [(C) Advanced appropriations.--Subsections 
                (c) and (h)(1)(B) of section 1004 and section 
                1005(n)(3)(B) shall not apply to amounts made 
                available under this paragraph.
  [(b) Cost of Administration.--There is hereby authorized to 
be appropriated such sums as may be necessary to carry out the 
provisions of this Act, other than to cover costs under 
subsection (a).
  [(c) Availability.--Any amounts appropriated pursuant to the 
authorizations of appropriations in subsections (a) and (b) 
shall remain available until expended.

[SEC. 1012. PREVENTION OF INTERFERENCE TO DIRECT BROADCAST SATELLITE 
                    SERVICES.

  [(a) Testing for Harmful Interference.--The Federal 
Communications Commission shall provide for an independent 
technical demonstration of any terrestrial service technology 
proposed by any entity that has filed an application to provide 
terrestrial service in the direct broadcast satellite frequency 
band to determine whether the terrestrial service technology 
proposed to be provided by that entity will cause harmful 
interference to any direct broadcast satellite service.
  [(b) Technical Demonstration.--In order to satisfy the 
requirement of subsection (a) for any pending application, the 
Commission shall select an engineering firm or other qualified 
entity independent of any interested party based on a 
recommendation made by the Institute of Electrical and 
Electronics Engineers (IEEE), or a similar independent 
professional organization, to perform the technical 
demonstration or analysis. The demonstration shall be concluded 
within 60 days after the date of enactment of this Act and 
shall be subject to public notice and comment for not more than 
30 days thereafter.
  [(c) Definitions.--As used in this section:
          [(1) Direct broadcast satellite frequency band.--The 
        term ``direct broadcast satellite frequency band'' 
        means the band of frequencies at 12.2 to 12.7 
        gigahertz.
          [(2) Direct broadcast satellite service.--The term 
        ``direct broadcast satellite service'' means any direct 
        broadcast satellite system operating in the direct 
        broadcast satellite 
        frequency band.]
                              ----------                              


   AGRICULTURAL RESEARCH, EXTENSION, AND EDUCATION REFORM ACT OF 1998



           *       *       *       *       *       *       *
     TITLE IV--NEW AGRICULTURAL RESEARCH, EXTENSION, AND EDUCATION 
INITIATIVES

           *       *       *       *       *       *       *


SEC. 405. NATIONAL FOOD SAFETY TRAINING, EDUCATION, EXTENSION, 
                    OUTREACH, AND TECHNICAL ASSISTANCE PROGRAM.

  (a) In General.--The Secretary shall award grants under this 
section to carry out the competitive grant program established 
under section 1011(d) of the Federal Food, Drug, and Cosmetic 
Act, pursuant to any memoranda of understanding entered into 
under such section.
  (b) Integrated Approach.--The grant program described under 
subsection (a) shall be carried out under this section in a 
manner that facilitates the integration of food safety 
standards and guidance with the variety of agricultural 
production systems, encompassing conventional, sustainable, 
organic, and conservation and environmental practices.
  (c) Priority.--In awarding grants under this section, the 
Secretary shall give priority to projects that target small and 
medium-sized farms, beginning farmers, socially disadvantaged 
farmers, small processors, or small fresh fruit and vegetable 
merchant wholesalers.
  (d) Program Coordination.--
          (1) In general.--The Secretary shall coordinate 
        implementation of the grant program under this section 
        with the National Integrated Food Safety Initiative.
          (2) Interaction.--The Secretary shall--
                  (A) in carrying out the grant program under 
                this section, take into consideration applied 
                research, education, and extension results 
                obtained from the National Integrated Food 
                Safety Initiative; and
                  (B) in determining the applied research 
                agenda for the National Integrated Food Safety 
                Initiative, take into consideration the needs 
                articulated by participants in projects funded 
                by the program under this section.
  (e) Grants.--
          (1) In general.--In carrying out this section, the 
        Secretary shall make competitive grants to support 
        training, education, extension, outreach, and technical 
        assistance projects that will help improve public 
        health by increasing the understanding and adoption of 
        established food safety standards, guidance, and 
        protocols.
          (2) Encouraged features.--The Secretary shall 
        encourage projects carried out using grant funds under 
        this section to include co-management of food safety, 
        conservation systems, and ecological health.
          [(3) Maximum term and size of grant.--
                  [(A) In general.--A grant under this section 
                shall have a term that is not more than 3 
                years.
                  [(B) Limitation on grant funding.--The 
                Secretary may not provide grant funding to an 
                entity under this section after such entity has 
                received 3 years of grant funding under this 
                section.]
          (3) Term of grant.--A grant under this section shall 
        have a term that is not more than 3 years.
  (f) Grant Eligibility.--
          (1) In general.--To be eligible for a grant under 
        this section, an entity shall be--
                  (A) a State cooperative extension service;
                  (B) a Federal, State, local, or tribal 
                agency, a nonprofit community-based or non-
                governmental organization, or an organization 
                representing owners and operators of farms, 
                small food processors, or small fruit and 
                vegetable merchant wholesalers that has a 
                commitment to public health and expertise in 
                administering programs that contribute to food 
                safety;
                  (C) an institution of higher education (as 
                defined in section 101(a) of the Higher 
                Education Act of 1965 (20 U.S.C. 1001(a))) or a 
                foundation maintained by an institution of 
                higher education;
                  (D) a collaboration of 2 of more eligible 
                entities described in this subsection; or
                  (E) such other appropriate entity, as 
                determined by the Secretary.
          (2) Multistate partnerships.--Grants under this 
        section may be made for projects involving more than 1 
        State.
  (g) Regional Balance.--In making grants under this section, 
the Secretary shall, to the maximum extent practicable, 
ensure--
          (1) geographic diversity; and
          (2) diversity of types of agricultural production.
  (h) Technical Assistance.--The Secretary may use funds made 
available under this section to provide technical assistance to 
grant recipients to further the purposes of this section.
  (i) Best Practices and Model Programs.--Based on evaluations 
of, and responses arising from, projects funded under this 
section, the Secretary may issue a set of recommended best 
practices and models for food safety training programs for 
agricultural producers, small food processors, and small fresh 
fruit and vegetable merchant wholesalers.
  (j) Authorization of Appropriations.--For the purposes of 
making grants under this section, there are authorized to be 
appropriated such sums as may be necessary for fiscal years 
[2011 through 2015] 2019 through 2023.

SEC. 406. INTEGRATED RESEARCH, EDUCATION, AND EXTENSION COMPETITIVE 
                    GRANTS PROGRAM.

  (a) Purpose.--It is the purpose of this section to authorize 
the Secretary of Agriculture to establish an integrated 
research, education, and extension competitive grant program to 
provide funding for integrated, multifunctional agricultural 
research, extension, and education activities.
  (b) Competitive Grants Authorized.--Subject to the 
availability of appropriations to carry out this section, the 
Secretary may award grants to 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)), 
1994 Institutions, and Hispanic-serving agricultural colleges 
and universities on a competitive basis for integrated 
agricultural research, education, and extension projects in 
accordance with this section.
  (c) Criteria for Grants.--Grants under this section shall be 
awarded to address priorities in United States agriculture, 
determined by the Secretary in consultation with the Advisory 
Board, that involve integrated research, extension, and 
education activities.
  (d) Term of Grant.--A grant under this section shall have a 
term of not more than 5 years.
  (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 1999 through [2018] 2023.

           *       *       *       *       *       *       *


SEC. 408. SUPPORT FOR RESEARCH REGARDING DISEASES OF WHEAT, TRITICALE, 
                    AND BARLEY CAUSED BY FUSARIUM GRAMINEARUM OR BY 
                    TILLETIA INDICA.

  (a) Research Grants Authorized.--The Secretary of Agriculture 
may make grants to consortia of land-grant colleges and 
universities to enhance the ability of the consortia to carry 
out multi-State research projects aimed at understanding and 
combating diseases of wheat, triticale, and barley caused by 
Fusarium graminearum and related fungi (referred to in this 
section as ``wheat scab'') or by Tilletia indica and related 
fungi (referred to in this section as ``Karnal bunt'').
  (b) Research Components.--Funds provided under this section 
shall be available for the following collaborative, multi-State 
research activities:
          (1) Identification and understanding of the 
        epidemiology of wheat scab or of Karnal bunt, and the 
        toxicological properties of vomitoxin, a toxic 
        metabolite commonly occurring in wheat, triticale, and 
        barley infected with wheat scab.
          (2) Development of crop management strategies to 
        reduce the risk of wheat scab or Karnal bunt 
        occurrence.
          (3) Development of--
                  (A) efficient and accurate methods to monitor 
                wheat, triticale, and barley for the presence 
                of Karnal bunt or of wheat scab and resulting 
                vomitoxin contamination;
                  (B) post-harvest management techniques for 
                wheat, triticale, and barley infected with 
                wheat scab or with Karnal bunt; and
                  (C) milling and food processing techniques to 
                render wheat scab contaminated grain safe.
          (4) Strengthening and expansion of plant-breeding 
        activities to enhance the resistance of wheat, 
        triticale, and barley to wheat scab and to Karnal bunt, 
        including the establishment of a regional advanced 
        breeding material evaluation nursery and a germplasm 
        introduction and evaluation system.
          (5) Development and deployment of alternative 
        fungicide application systems and formulations to 
        control wheat scab and Karnal bunt and consideration of 
        other chemical control strategies to assist farmers 
        until new more resistant wheat, triticale, and barley 
        varieties are available.
  (c) Communications Networks.--Funds provided under this 
section shall be available for efforts to concentrate, 
integrate, and disseminate research, extension, and outreach-
orientated information regarding wheat scab or Karnal bunt.
  (d) Management.--To oversee the use of a grant made under 
this section, the Secretary may establish a committee composed 
of the directors of the agricultural experiment stations in the 
States in which land-grant colleges and universities that are 
members of the consortium are located.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section--
          (1) such sums as may be necessary for each of fiscal 
        years 1999 through 2013; and
          (2) $10,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

SEC. 410. GRANTS FOR YOUTH ORGANIZATIONS.

  (a) In General.--The Secretary, acting through the Director 
of the National Institute of Food and Agriculture, shall make 
grants to the Girl Scouts of the United States of America, the 
Boy Scouts of America, the National 4-H Council, and the 
National FFA Organization to establish pilot projects to expand 
the programs carried out by the organizations in rural areas 
and small towns (including, with respect to the National 4-H 
Council, activities provided for in Public Law 107-19 (115 
Stat. 153)).
  (b) Flexibility.--The Secretary shall provide maximum 
flexibility in content delivery to each organization receiving 
funds under this section so as to ensure that the unique goals 
of each organization, as well as the local community needs, are 
fully met.
  (c) Redistribution of Funding Within Organizations 
Authorized.--Recipients of funds under this section may 
redistribute 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--
          (1) such sums as are necessary for each of fiscal 
        years 2008 through 2013; and
          (2) $3,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

           *       *       *       *       *       *       *


SEC. 412. SPECIALTY CROP RESEARCH INITIATIVE.

  (a) Definitions.--In this section:
          (1) Citrus disease subcommittee.--The term ``citrus 
        disease subcommittee'' means the subcommittee 
        established under section 1408A(a)(2) of the National 
        Agricultural Research, Extension, and Teaching Policy 
        Act of 1977.
          (2) Initiative.--The term ``Initiative'' means the 
        specialty crop research and extension initiative 
        established by subsection (b).
          (3) 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).
          (4) Specialty crops committee.--The term ``specialty 
        crops committee'' means the committee established under 
        section 1408A of the National Agricultural Research, 
        Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
        3123a).
  (b) Establishment.--There is established within the 
Department 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, genomics, 
        and other methods 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 
                resistance to pests and diseases resulting in 
                reduced application management strategies[; 
                and];
                  (E) enhanced phytonutrient content; and
                  (F) size-controlling rootstock systems for 
                perennial crops;
          (2) efforts to identify and address threats from 
        pests and diseases, [including threats to specialty 
        crop pollinators;] including--
                  (A) threats to specialty crop pollinators; 
                and 
                  (B) emerging and invasive species;
          (3) efforts to improve production efficiency, 
        handling and processing, productivity, and 
        profitability over the long term (including specialty 
        crop policy and [marketing);] marketing) and a better 
        understanding of the soil rhizosphere microbiome, 
        including--
                  (A) pesticide application systems and 
                certified drift-reduction technologies; and 
                  (B) systems to improve and extend storage 
                life of specialty crops; 
          (4) efforts to promote a more effective understanding 
        and use of existing natural enemy complexes;
          [(4)] (5) new innovations and technology, [including 
        improved mechanization and technologies that delay or 
        inhibit ripening; and] including--
                  (A) technologies that delay or inhibit 
                ripening; 
                  (B) mechanization and automation of labor-
                intensive tasks on farms and in packing 
                facilities;
                  (C) decision support systems driven by 
                phenology and environmental factors;
                  (D) improved monitoring systems for 
                agricultural pests; and
                  (E) effective systems for pre- and post-
                harvest management of quarantine pests; and
          [(5)] (6) 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 this 
section 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) Review of Proposals.--In carrying out this section, the 
Secretary shall award competitive grants on the basis of--
          (1) a scientific peer review conducted by a panel of 
        subject matter experts from Federal agencies, non-
        Federal entities, and the specialty crop industry; and
          (2) a review and ranking for merit, relevance, and 
        impact conducted by a panel of specialty crop industry 
        representatives for the specific specialty crop.
  (e) Consultation.--Each fiscal year, before conducting the 
scientific peer review described in paragraph (1) of subsection 
(d) and the merit and relevancy review described in paragraph 
(2) of such subsection, the Secretary shall consult with the 
specialty crops committee regarding such reviews. The committee 
shall provide the Secretary--
          (1) in the first fiscal year in which that 
        consultation occurs, any recommendations for conducting 
        such reviews in such fiscal year; and
          (2) in any subsequent fiscal year in which such 
        consultation occurs--
                  (A) an assessment of the procedures and 
                objectives used by the Secretary for such 
                reviews in the previous fiscal year;
                  (B) any recommendations for such reviews for 
                the current fiscal year; and
                  (C) any comments on grants awarded under 
                subsection (d) during the previous fiscal year.
  (f) 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 report 
on--
          (1) the results of the consultations with the 
        specialty crops committee (and subcommittees thereof) 
        conducted under subsection (e) of this section and 
        subsection (g) of section 1408A of the National 
        Agricultural Research, Extension, and Teaching Policy 
        Act of 1977 (7 U.S.C. 3123a);
          (2) the specialty crops committee's (and 
        subcommittees thereof) recommendations, if any, 
        provided to the Secretary during such consultations; 
        and
          (3) the specialty crops committee's (and 
        subcommittees thereof) review of the grants awarded 
        under subsection (d) and (j), as applicable, in the 
        previous fiscal year.
  (g) Administration.--
          (1) In general.--With respect to grants awarded under 
        this section, the Secretary shall seek and accept 
        proposals for grants.
          (2) Term.--The term of a grant under this section may 
        not exceed 10 years.
          (3) Other conditions.--The Secretary may set such 
        other conditions on the award of a grant under the 
        Initiative as the Secretary determines to be 
        appropriate.
  (h) Priorities.--In making grants under the Initiative, the 
Secretary 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.
  (i) 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).
  (j) Emergency Citrus Disease Research and Extension 
Program.--
          (1) Establishment and purpose.--The Secretary shall 
        establish a competitive research and extension grant 
        program to combat diseases of citrus under which the 
        Secretary awards competitive grants to eligible 
        entities--
                  (A) to conduct scientific research and 
                extension activities, technical assistance, and 
                development activities to combat citrus 
                diseases and pests, both domestic and invasive, 
                which pose imminent harm to the United States 
                citrus production and threaten the future 
                viability of the citrus industry, including 
                huanglongbing and the Asian Citrus Psyllid; and
                  (B) to provide support for the dissemination 
                and commercialization of relevant information, 
                techniques, and technologies discovered 
                pursuant to research and extension activities 
                funded through--
                          (i) the emergency citrus disease 
                        research and extension program; or
                          (ii) other research and extension 
                        projects intended to solve problems 
                        caused by citrus production diseases 
                        and invasive pests.
          (2) Priority.--In awarding grants under this 
        subsection, the Secretary shall give priority to grants 
        that address the research and extension priorities 
        established pursuant to subsection (g)(4) of section 
        1408A of the National Agricultural Research, Extension, 
        and Teaching Policy Act of 1977 (7 U.S.C. 3123a).
          (3) Coordination.--When developing the proposed 
        research and extension agenda and budget under 
        subsection (g)(2) of section 1408A of the National 
        Agricultural Research, Extension, and Teaching Policy 
        Act of 1977 (7 U.S.C. 3123a) for the funds made 
        available under this subsection for a fiscal year, the 
        citrus disease subcommittee shall--
                  (A) seek input from Federal and State 
                agencies and other entities involved in citrus 
                disease response; and
                  (B) take into account other public and 
                private citrus-related research and extension 
                projects and the funding for such projects.
          (4) Nonduplication.--The Secretary shall ensure that 
        funds made available to carry out the emergency citrus 
        disease research and extension activities under this 
        subsection shall be in addition to and not supplant 
        funds made available to carry out other citrus disease 
        activities carried out by the Department of Agriculture 
        in consultation with State agencies.
          (5) Authorization of appropriations.--In addition to 
        the amounts reserved under subsection (k)(1)(C), there 
        are authorized to be appropriated to carry out this 
        subsection, $25,000,000 for each of fiscal years 2014 
        through [2018] 2023.
          (6) Definitions.--In this subsection:
                  (A) Citrus.--The term ``citrus'' means edible 
                fruit of the family Rutaceae, including any 
                hybrid of such fruits and products of such 
                hybrids that are produced for commercial 
                purposes in the United States. 
                  (B) Citrus producer.--The term ``citrus 
                producer'' means any person that is engaged in 
                the domestic production and commercial sale of 
                citrus in the United States. 
                  (C) Emergency citrus disease research and 
                extension program.--The term ``emergency citrus 
                disease research and extension program'' means 
                the emergency citrus research and extension 
                grant program established under this 
                subsection.
  (k) Funding.--
          (1) Mandatory funding.--
                  (A) Fiscal years 2008 through 2012.--Of the 
                funds of the Commodity Credit Corporation, the 
                Secretary shall make available to carry out 
                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.
                  (B) Subsequent funding.--Of the funds of the 
                Commodity Credit Corporation, the Secretary 
                shall make available to carry out this section 
                $80,000,000 for fiscal year 2014 and each 
                fiscal year thereafter.
                  (C) Reservation.--For each of fiscal years 
                2014 through [2018] 2023, the Secretary shall 
                reserve not less than $25,000,000 of the funds 
                made available under subparagraph (B) to carry 
                out the program established under subsection 
                (j).
                  (D) Availability of funds.--Funds reserved 
                under subparagraph (C) shall remain available 
                and reserved for the purpose described in such 
                subparagraph until expended.
          (2) Authorization of appropriations for fiscal years 
        2014 through [2018] 2023.--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 2014 through [2018] 2023.
          (3) Fiscal year 2013.--There is authorized to be 
        appropriated to carry out this section $100,000,000 for 
        fiscal year 2013.
          (4) Transfer.--Of the funds made available to the 
        Secretary 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.
          (5) 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.

           *       *       *       *       *       *       *


                   TITLE VI--MISCELLANEOUS PROVISIONS

Subtitle A--Existing Authorities

           *       *       *       *       *       *       *


SEC. 604. FOOD ANIMAL RESIDUE AVOIDANCE DATABASE PROGRAM.

  (a) Continuation of Program.--The Secretary of Agriculture 
shall continue operation of the Food Animal Residue Avoidance 
Database program (referred to in this section as the ``FARAD 
program'') through contracts, grants, or cooperative agreements 
with appropriate colleges or universities.
  (b) Activities.--In carrying out the FARAD program, the 
Secretary shall--
          (1) provide livestock producers, extension 
        specialists, scientists, and veterinarians with 
        information to prevent drug, pesticide, and 
        environmental contaminant residues in food animal 
        products;
          (2) maintain up-to-date information concerning--
                  (A) withdrawal times on FDA-approved food 
                animal drugs and appropriate withdrawal 
                intervals for drugs used in food animals in the 
                United States, as established under section 
                512(a) of the Federal Food, Drug, and Cosmetic 
                Act (21 U.S.C. 360b(a));
                  (B) official tolerances for drugs and 
                pesticides in tissues, eggs, and milk;
                  (C) descriptions and sensitivities of rapid 
                screening tests for detecting residues in 
                tissues, eggs, and milk; and
                  (D) data on the distribution and fate of 
                chemicals in food animals;
          (3) publish periodically a compilation of food animal 
        drugs approved by the Food and Drug Administration;
          (4) make information on food animal drugs available 
        to the public through handbooks and other literature, 
        computer software, a telephone hotline, and the 
        Internet;
          (5) furnish producer quality-assurance programs with 
        up-to-date data on approved drugs;
          (6) maintain a comprehensive and up-to-date, residue 
        avoidance database;
          (7) provide professional advice for determining the 
        withdrawal times necessary for food safety in the use 
        of drugs in food animals; and
          (8) engage in other activities designed to promote 
        food safety.
  (c) Contract, Grants, and Cooperative Agreements.--The 
Secretary shall offer to enter into a contract, grant, or 
cooperative agreement with 1 or more appropriate colleges and 
universities to operate the FARAD program. The term of the 
contract, grant, or cooperative agreement shall be 3 years, 
with options to extend the term of the contract triennially.
  (d) Indirect Costs.--Federal funds provided by the Secretary 
under a contract, grant, or cooperative agreement under this 
section shall be subject to reduction for indirect costs of the 
recipient of the funds in an amount not to exceed 19 percent of 
the total Federal funds provided under the contract, grant, or 
cooperative agreement.
  (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 [2018] 2023.

           *       *       *       *       *       *       *


Subtitle B--New Authorities

           *       *       *       *       *       *       *


SEC. 614. OFFICE OF PEST MANAGEMENT POLICY.

  (a) Purpose.--The purpose of this section is to establish an 
Office of Pest Management Policy to provide for the effective 
coordination of agricultural policies and activities within the 
Department of Agriculture related to pesticides and of the 
development and use of pest management tools, while taking into 
account the effects of regulatory actions of other government 
agencies.
  (b) Establishment of Office; Principal Responsibilities.--The 
Secretary of Agriculture shall establish in the Department an 
Office of Pest Management Policy, which shall be responsible 
for--
          (1) the development and coordination of Department 
        policy on pest management and pesticides;
          (2) the coordination of activities and services of 
        the Department, including research, extension, and 
        education activities, regarding the development, 
        availability, and use of economically and 
        environmentally sound pest management tools and 
        practices;
          (3) assisting other agencies of the Department in 
        fulfilling their responsibilities related to pest 
        management or pesticides under the Food Quality 
        Protection Act of 1996 (Public Law 104-170; 110 Stat. 
        1489), the Federal Insecticide, Fungicide, and 
        Rodenticide Act (7 U.S.C. 136 et seq.), the Federal 
        Food, Drug, and Cosmetic Act (21 U.S.C. 301 et seq.), 
        and other applicable laws; and
          (4) performing such other functions as may be 
        required by law or prescribed by the Secretary.
  (c) Interagency Coordination.--In support of its 
responsibilities under subsection (b), the Office of Pest 
Management Policy shall provide leadership to ensure 
coordination of interagency activities with the Environmental 
Protection Agency, the Food and Drug Administration, and other 
Federal and State agencies.
  (d) Outreach.--The Office of Pest Management Policy shall 
consult with agricultural producers that may be affected by 
pest management or pesticide-related activities or actions of 
the Department or other agencies as necessary in carrying out 
the Office's responsibilities under this section.
  (e) Director.--The Office of Pest Management Policy shall be 
under the direction of a Director appointed by the Secretary, 
who shall report directly to the Secretary or a designee of the 
Secretary.
  (f) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section--
          (1) such sums as are necessary for each of fiscal 
        years 1999 through 2013; and
          (2) $3,000,000 for each of fiscal years 2014 through 
        [2018] 2023.

           *       *       *       *       *       *       *


SEC. 617. FORESTRY PRODUCTS ADVANCED UTILIZATION RESEARCH.

  (a) Establishment.--The Secretary shall establish a forestry 
and forestry products research and extension initiative to 
develop and disseminate science-based tools that address the 
needs of the forestry sector and their respective regions, 
forest and timberland owners and managers, and forestry 
products engineering, manufacturing, and related interests.
  (b) Activities.--The initiative described in subsection (a) 
shall include the following activities:
          (1) Research conducted for purposes of--
                  (A) wood quality improvement with respect to 
                lumber strength and grade yield;
                  (B) the development of novel engineered 
                lumber products and renewable energy from wood; 
                and
                  (C) enhancing the longevity, sustainability, 
                and profitability of timberland through sound 
                management and utilization.
          (2) Demonstration activities and technology transfer 
        to demonstrate the beneficial characteristics of wood 
        as a green building material, including investments in 
        life cycle assessment for wood products.
          (3) Projects designed to improve--
                  (A) forestry products, lumber, and evaluation 
                standards and valuation techniques;
                  (B) lumber quality and value-based, on-forest 
                management techniques; and
                  (C) forestry products conversion and 
                manufacturing efficiency, productivity, and 
                profitability over the long term (including 
                forestry product marketing).
  (c) Grants.--
          (1) In general.--The Secretary shall make competitive 
        grants to carry out the activities described in 
        subsection (b).
          (2) Priorities.--In making grants under this section, 
        the Secretary shall give higher priority to activities 
        that are carried out by entities that--
                  (A) are multistate, multiinstitutional, or 
                multidisciplinary;
                  (B) have explicit mechanisms to communicate 
                results to producers, forestry industry 
                stakeholders, policymakers, and the public; and
                  (C) have--
                          (i) extensive history and 
                        demonstrated experience in forestry and 
                        forestry products research;
                          (ii) existing capacity in forestry 
                        products research and dissemination; 
                        and
                          (iii) a demonstrated means of 
                        evaluating and responding to the needs 
                        of the related commercial sector.
          (3) Administration.--In making grants under this 
        section, the Secretary shall follow the requirements of 
        paragraphs (4), (7), (8), and (11)(B) of subsection (b) 
        of the Competitive, Special, and Facilities Research 
        Grant Act (7 U.S.C. 450i).
          (4) Term.--The term of a grant made under this 
        section may not exceed 10 years.
  (d) Coordination.-- The Secretary shall ensure that any 
activities carried out under this section are carried out in 
coordination with the Forest Service, including the Forest 
Products Laboratory, and other appropriate agencies of the 
Department.
  (e) Report.--The Secretary shall submit an annual report to 
the Committee on Agriculture of the House of Representatives 
and the Committee on Agriculture, Nutrition, and Forestry of 
the Senate describing, for the period covered by the report--
          (1) the research that has been conducted under 
        paragraph (2) of subsection (b);
          (2) the number of buildings the Forest Service has 
        built with wood as the primary structural material; and
          (3) the investments made by the Forest Service in 
        green building and wood promotion.
  (f) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated to carry out this section $7,000,000 for 
        each of fiscal years 2014 through [2018] 2023.
          (2) Matching funds.--To the extent practicable, the 
        Secretary shall match any funds made available under 
        paragraph (1) with funds made available under section 7 
        of the Forest and Rangeland Renewable Resources 
        Research Act of 1978 (16 U.S.C.1646).

           *       *       *       *       *       *       *

                              ----------                              


                  CRITICAL AGRICULTURAL MATERIALS ACT



           *       *       *       *       *       *       *
  Sec. 16. (a) There are authorized to be appropriated to the 
Secretary of Agriculture to carry out this Act--
          (1) such sums as are necessary for each of fiscal 
        years 1991 through 2013; and
          (2) $2,000,000 for each of fiscal years 2014 through 
        [2018] 2023.
  (b) No more than 3 per centum of funds authorized under 
subsection (a) shall be available for administration and 
management of the program.
  (c) Notwithstanding any other provisions of this Act the 
authority to enter into contracts shall be effective for any 
fiscal year only to such extent or in such amounts as are 
provided in appropriations Acts.
  (d) Notwithstanding any other provisions of this Act, the 
Secretaries and the Joint Commission shall limit their 
activities under this Act to critical agricultural materials 
other than native latex after the close of the fiscal year 
ending September 30, 1988.

           *       *       *       *       *       *       *

                              ----------                              


          EQUITY IN EDUCATIONAL LAND-GRANT STATUS ACT OF 1994



           *       *       *       *       *       *       *
TITLE V--MISCELLANEOUS PROVISIONS

           *       *       *       *       *       *       *


PART C--1994 INSTITUTIONS

           *       *       *       *       *       *       *


[SEC. 532. DEFINITION OF 1994 INSTITUTION.

  [In this part, the term ``1994 Institution'' means any of the 
following colleges:
          [(1) Aaniiih Nakoda College.
          [(2) Bay Mills Community College.
          [(3) Blackfeet Community College.
          [(4) Cankdeska Cikana Community College.
          [(5) Chief Dull Knife College.
          [(6) College of Menominee Nation.
          [(7) College of the Muscogee Nation.
          [(8) D-Q University.
          [(9) Dine College.
          [(10) Fond du Lac Tribal and Community College.
          [(11) Fort Berthold Community College.
          [(12) Fort Peck Community College.
          [(13) Haskell Indian Nations University.
          [(14) Ilisagvik College.
          [(15) Institute of American Indian and Alaska Native 
        Culture and Arts Development.
          [(16) Keweenaw Bay Ojibwa Community College.
          [(17) Lac Courte Oreilles Ojibwa Community College.
          [(18) Leech Lake Tribal College.
          [(19) Little Big Horn College.
          [(20) Little Priest Tribal College.
          [(21) Navajo Technical College.
          [(22) Nebraska Indian Community College.
          [(23) Northwest Indian College.
          [(24) Oglala Lakota College.
          [(25) Saginaw Chippewa Tribal College.
          [(26) Salish Kootenai College.
          [(27) Sinte Gleska University.
          [(28) Sisseton Wahpeton College.
          [(29) Sitting Bull College.
          [(30) Southwestern Indian Polytechnic Institute.
          [(31) Stone Child College.
          [(32) Tohono O'odham Community College.
          [(33) Turtle Mountain Community College.
          [(34) United Tribes Technical College.
          [(35) White Earth Tribal and Community College.]

SEC. 532. DEFINITION OF 1994 INSTITUTION.

  In this part, the term ``1994 Institution'' means any of the 
following colleges:
          (1) Aaniiih Nakoda College.
          (2) Bay Mills Community College.
          (3) Blackfeet Community College.
          (4) Cankdeska Cikana Community College.
          (5) Chief Dull Knife College.
          (6) College of Menominee Nation.
          (7) College of the Muscogee Nation.
          (8) D-Q University.
          (9) Dine College.
          (10) Fond du Lac Tribal and Community College.
          (11) Fort Peck Community College.
          (12) Haskell Indian Nations University.
          (13) Ilisagvik College.
          (14) Institute of American Indian and Alaska Native 
        Culture and Arts Development.
          (15) Keweenaw Bay Ojibwa Community College.
          (16) Lac Courte Oreilles Ojibwa Community College.
          (17) Leech Lake Tribal College.
          (18) Little Big Horn College.
          (19) Little Priest Tribal College.
          (20) Navajo Technical University.
          (21) Nebraska Indian Community College.
          (22) Northwest Indian College.
          (23) Nueta Hidatsa Sahnish College.
          (24) Oglala Lakota College.
          (25) Red Lake Nation College.
          (26) Saginaw Chippewa Tribal College.
          (27) Salish Kootenai College.
          (28) Sinte Gleska University.
          (29) Sisseton Wahpeton College.
          (30) Sitting Bull College.
          (31) Southwestern Indian Polytechnic Institute.
          (32) Stone Child College.
          (33) Tohono O'odham Community College.
          (34) Turtle Mountain Community College.
          (35) United Tribes Technical College.
          (36) White Earth Tribal and Community College.

SEC. 533. LAND-GRANT STATUS FOR 1994 INSTITUTIONS.

  (a) In General.--
          (1) Status of 1994 institutions.--Except as provided 
        in paragraph (2), 1994 Institutions shall be considered 
        land-grant colleges established for the benefit of 
        agriculture and the mechanic arts in accordance with 
        the provisions of the Act of July 2, 1862 (12 Stat. 
        503; 7 U.S.C. 301 et seq.) (commonly known as the First 
        Morrill Act).
          (2)  1994 institutions.--(A) 1994 Institutions shall 
        not be considered as land-grant colleges that are 
        eligible to receive funding under--
                  (i) the Act of March 2, 1887 (24 Stat. 440, 
                chapter 314; 7 U.S.C. 361a et seq.);
                  (ii) the Act of May 8, 1914 (38 Stat. 373, 
                chapter 79; 7 U.S.C. 343), except as provided 
                under section 3(b)(3) of such Act (as added by 
                section 534(b)(1) of this part); or
                  (iii) the Act of August 30, 1890 (26 Stat. 
                417, chapter 841; 7 U.S.C. 321 et seq.) 
                (commonly known as the Second Morrill Act).
          (B) In lieu of receiving donations under the 
        provisions of the Act of July 2, 1862 (12 Stat. 503; 7 
        U.S.C. 301 et seq.) (commonly known as the First 
        Morrill Act), relating to the donations of public land 
        or scrip for the endowment and maintenance of colleges 
        for the benefit of agriculture and the mechanic arts, 
        1994 Institutions shall receive funding pursuant to the 
        authorization under subsection (b).
          (3) Accreditation.--To receive funding under this 
        section and sections 534, 535, and 536, a 1994 
        Institution shall certify to the Secretary that the 
        1994 Institution--
                  (A) is accredited by a nationally recognized 
                accrediting agency or association determined by 
                the Secretary, in consultation with the 
                Secretary of Education, to be a reliable 
                authority regarding the quality of training 
                offered; or
                  (B) is making progress toward the 
                accreditation, as determined by the nationally 
                recognized accrediting agency or association.
  (b) Authorization of Appropriations.--There are authorized to 
be appropriated such sums as are necessary to carry out this 
section for each of fiscal years 1996 through [2018] 2023. 
Amounts appropriated pursuant to this section shall be held and 
considered to have been granted to 1994 Institutions to 
establish an endowment pursuant to subsection (c).
  (c) Endowment.--
          (1) In general.--In accordance with this subsection, 
        the Secretary of the Treasury shall establish a 1994 
        Institutions Endowment Fund (hereafter in this 
        subsection referred to as the ``endowment fund''). The 
        Secretary may enter into such agreements as are 
        necessary to carry out this subsection.
          (2) Deposit to the endowment fund.--The Secretary 
        shall deposit in the endowment fund any--
                  (A) amounts made available by appropriations 
                pursuant to subsection (b) (hereafter in this 
                subsection referred to as the ``endowment fund 
                corpus''); and
                  (B) interest earned on the endowment fund 
                corpus.
          (3) Investments.--The Secretary shall invest the 
        endowment fund corpus and income in interest-bearing 
        obligations of the United States.
          (4) Withdrawals and expenditures.--The Secretary may 
        not make a withdrawal or expenditure from the endowment 
        fund corpus. On the termination of each fiscal year, 
        the Secretary shall withdraw the amount of the income 
        from the endowment fund for the fiscal year, and after 
        making adjustments for the cost of administering the 
        endowment fund, distribute the adjusted income as 
        follows:
                  (A) 60 percent of the adjusted income shall 
                be distributed among the 1994 Institutions on a 
                pro rata basis. The proportionate share of the 
                adjusted income received by a 1994 Institution 
                under this subparagraph shall be based on the 
                Indian student count (as defined in section 
                390(3) of the Carl D. Perkins Vocational and 
                Applied Technology Education Act, as such 
                section was in effect on the day preceding the 
                date of enactment of the Carl D. Perkins 
                Vocational and Applied Technology Education 
                Amendments of 1998) for each 1994 Institution 
                for the fiscal year.
                  (B) 40 percent of the adjusted income shall 
                be distributed in equal shares to the 1994 
                Institutions.
  (d) Memorandum of Agreement.--Not later than January 6, 1997, 
the Secretary shall develop and implement a formal memorandum 
of agreement with the 1994 Institutions to establish programs 
to ensure that tribally controlled colleges and Native American 
communities equitably participate in Department of Agriculture 
employment, programs, services, and resources.

           *       *       *       *       *       *       *


SEC. 535. INSTITUTIONAL CAPACITY BUILDING GRANTS.

  (a) Definitions.--As used in this section:
          (1) Federal share.--The term ``Federal share'' means, 
        with respect to a grant awarded under subsection (b), 
        the share of the grant that is provided from Federal 
        funds.
          (2) Non-federal share.--The term ``non-Federal 
        share'' means, with respect to a grant awarded under 
        subsection (b), the matching funds paid with funds 
        other than funds referred to in paragraph (1), as 
        determined by the Secretary.
          (3) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.
  (b) In General.--
          (1) Institutional capacity building grants.--For each 
        of fiscal years 1996 through [2018] 2023, the Secretary 
        shall make two or more institutional capacity building 
        grants to assist 1994 Institutions with constructing, 
        acquiring, and remodeling buildings, laboratories, and 
        other capital facilities (including fixtures and 
        equipment) necessary to conduct instructional 
        activities more effectively in agriculture and 
        sciences.
          (2) Requirements for grants.--The Secretary shall 
        make grants under this section--
                  (A) on the basis of a competitive application 
                process under which appropriate officials of 
                1994 Institutions may submit applications to 
                the Secretary in such form and manner as the 
                Secretary may prescribe; and
                  (B) in such manner as to ensure geographic 
                diversity with respect to the 1994 Institutions 
                that are the subject of the grants.
          (3) Demonstration of need.--The Secretary shall 
        require, as part of an application for a grant under 
        this subsection, a demonstration of need. The Secretary 
        may only award a grant under this subsection to an 
        applicant that demonstrates a failure to obtain funding 
        for a project after making a reasonable effort to 
        otherwise obtain the funding.
          (4) 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 specified by the Secretary.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to the Department of Agriculture to carry out 
this section, such sums as are necessary for each of fiscal 
years 2002 through [2018] 2023.

SEC. 536. RESEARCH GRANTS.

  (a) Research Grants Authorized.--The Secretary of Agriculture 
may make grants under this section, on the basis of a 
competitive application process (and in accordance with such 
regulations as the Secretary may promulgate), to a 1994 
Institution to assist the Institution to conduct agricultural 
research that addresses high priority concerns of tribal, 
national, or multistate significance.
  (b) Requirements.--Grant applications submitted under this 
section shall certify that the research to be conducted will be 
performed under a cooperative agreement with--
          (1) the Agricultural Research Service of the 
        Department of Agriculture; or
          (2) at least 1--
                  (A) other land-grant college or university 
                (exclusive of another 1994 Institution);
                  (B) non-land-grant college of agriculture (as 
                defined in section 1404 of the National 
                Agricultural Research, Extension, and Teaching 
                Policy Act of 1977 (7 U.S.C. 3103)); or
                  (C) cooperating forestry school (as defined 
                in that 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 1999 through [2018] 2023. 
Amounts appropriated shall remain available until expended.

           *       *       *       *       *       *       *

                              ----------                              


                        RESEARCH FACILITIES ACT



           *       *       *       *       *       *       *
SEC. 2. DEFINITIONS.

   In this Act:
          (1) Agricultural research facility.--The term 
        ``agricultural research facility'' means a proposed 
        facility for research in food and agricultural sciences 
        for which Federal funds are requested by [a college, 
        university, or nonprofit institution] an entity 
        eligible to receive funds under a capacity and 
        infrastructure program (as defined in section 
        251(f)(1)(C) of the Department of Agriculture 
        Reorganization Act of 1994 (7 U.S.C. 6971(f)(1)(C))) to 
        assist in the construction, alteration, acquisition, 
        modernization, renovation, or remodeling of the 
        facility.
          (2) Congressional agriculture committees.--The term 
        ``congressional agriculture committees'' means the 
        Committee on Appropriations and the Committee on 
        Agriculture of the House of Representatives and the 
        Committee on Appropriations and the Committee on 
        Agriculture, Nutrition, and Forestry of the Senate.
          (3) Food and agricultural sciences.--The term ``food 
        and agricultural sciences'' has the meaning given that 
        term in section 1404 of the National Agricultural 
        Research, Extension, and Teaching Policy Act of 1977 (7 
        U.S.C. 3103).
          (4) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.

SEC. 3. REVIEW PROCESS.

  (a) Submission to Secretary.--Each proposal for an 
agricultural research facility shall be submitted to the 
Secretary for review. The Secretary shall review the proposals 
in the order in which the proposals are received.
  (b) Application Process.--In consultation with the 
congressional agriculture committees, the Secretary shall 
establish an application process for the submission of 
proposals for agricultural research facilities.
  (c) Criteria for Approval.--
          (1) Determination by secretary.--With respect to each 
        proposal for an agricultural research facility 
        submitted under subsection (a), the Secretary shall 
        determine whether the proposal meets the criteria set 
        forth in paragraph (2).
          (2) Criteria.--A proposal for an agricultural 
        research facility shall meet the following criteria:
                  (A) Non-federal share.--The proposal shall 
                certify the availability of at least a 50 
                percent non-Federal share of the cost of the 
                facility. The non-Federal share shall be paid 
                in cash and may include funding from private 
                sources or from units of State or local 
                government.
                  (B) Nonduplication of facilities.--The 
                proposal shall demonstrate how the agricultural 
                research facility would be complementary to, 
                and not duplicative of, facilities of colleges, 
                universities, and nonprofit institutions, and 
                facilities of the Agricultural Research 
                Service, within the State and region.
                  (C) National research priorities.--The 
                proposal shall demonstrate how the agricultural 
                research facility would serve--
                          (i) 1 or more of the national 
                        research policies and priorities set 
                        forth in section 1402 of the National 
                        Agricultural Research, Extension, and 
                        Teaching Policy Act of 1977 (7 U.S.C. 
                        3101); and
                          (ii) national or multistate needs.
                  (D) Long-term support.--The proposal shall 
                demonstrate that the [recipient college, 
                university, or nonprofit institution] recipient 
                entity has the ability and commitment to 
                support the long-term, ongoing [operating 
                costs] operating and maintenance costs of--
                          (i) the agricultural research 
                        facility after the facility is 
                        completed; and
                          (ii) each program to be based at the 
                        facility.
  (d) Evaluation of Proposals.--Not later than 90 days after 
receiving a proposal under subsection (a), the Secretary 
shall--
          (1) evaluate and assess the merits of the proposal, 
        including the extent to which the proposal meets the 
        criteria set forth in subsection (c); and
          (2) report to the congressional agriculture 
        committees on the results of the evaluation and 
        assessment.
  (e) National or Multistate Needs Served by ARS Facilities.--
The Secretary shall ensure that each research activity 
conducted by a facility of the Agricultural Research Service 
serves a national or multistate need.

SEC. 4. COMPETITIVE GRANT PROGRAM.

  The Secretary shall establish a program to make competitive 
grants to assist in the construction, alteration, acquisition, 
modernization, renovation, or remodeling of agricultural 
research facilities.

           *       *       *       *       *       *       *


SEC. 6. AUTHORIZATION OF APPROPRIATIONS.

  (a) In General.--Subject to [subsection (b),] subsections 
(b), (c), and (d), there are authorized to be appropriated such 
sums as are necessary for each of fiscal years 1996 through 
[2018] 2023 for the study, plan, design, structure, and related 
costs of agricultural research facilities under this Act. Funds 
appropriated pursuant to the preceding sentence shall be 
available until expended.
  (b) Allowable Administrative Costs.--Not more than 3 percent 
of the funds made available for any project for an agricultural 
research facility shall be available for administration of the 
project.
  (c) Maximum Amount.--Not more than 25 percent of the funds 
made available pursuant to subsection (a) for any fiscal year 
shall be used for any single agricultural research facility 
project.
  (d) Project Limitation.--An entity eligible to receive funds 
under this Act may receive funds for only one project at a 
time.
                              ----------                              


        COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH GRANT ACT



           *       *       *       *       *       *       *
SEC. 2. COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH GRANTS.

  (a) Establishment of Grant Program.--(1) In order to promote 
research in food, agriculture, and related areas, a research 
grants program is hereby established in the Department of 
Agriculture.
  (2) Short Title.--This section may be cited as the 
``Competitive, Special, and Facilities Research Grant Act''.
  (b) Agriculture and Food Research Initiative.--
          (1) Establishment.--There is established in the 
        Department 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 
                products.--Plant systems, including--
                          (i) plant genome structure and 
                        function;
                          (ii) molecular and cellular genetics 
                        and plant biotechnology;
                          (iii) conventional breeding, 
                        including cultivar and breed 
                        development, selection theory, applied 
                        quantitative 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 systems;
                          (v) crop plant response to 
                        environmental stresses;
                          (vi) unproved nutrient qualities of 
                        plant products; and
                          (vii) new food and industrial uses of 
                        plant products.
                  (B) Animal health and production and animal 
                products.--Animal systems, including--
                          (i) aquaculture;
                          (ii) cellular and molecular basis of 
                        animal reproduction, 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 abiotic 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 products and uses;
                          (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;
                          (ix) the research and development of 
                        surveillance methods, vaccines, 
                        vaccination delivery systems, or 
                        diagnostic tests for pests and 
                        diseases, including--
                                  (I) epizootic diseases in 
                                domestic livestock (including 
                                deer, elk, bison, and other 
                                animals of the family 
                                Cervidae); and
                                  (II) zoonotic diseases 
                                (including bovine brucellosis 
                                and bovine tuberculosis) in 
                                domestic livestock or wildlife 
                                reservoirs that present a 
                                potential concern to public 
                                health; and
                          (x) the identification of animal drug 
                        needs and the generation and 
                        dissemination of data for safe and 
                        effective therapeutic applications of 
                        animal drugs for minor species and 
                        minor uses of such drugs in major 
                        species.
                  (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) Bioenergy, natural resources, and 
                environment.--Natural resources and the 
                environment, including--
                          (i) fundamental structures and 
                        functions of ecosystems;
                          (ii) biological and physical bases of 
                        sustainable production systems;
                          (iii) soil health;
                          [(iii)] (iv) minimizing soil and 
                        water losses and sustaining surface 
                        water and ground water quality;
                          [(iv)] (v) the effectiveness of 
                        conservation practices and technologies 
                        designed to address nutrient losses and 
                        improve water quality;
                          [(v)] (vi) global climate effects on 
                        agriculture;
                          [(vi)] (vii) forestry; and
                          [(vii)] (viii) biological diversity.
                  (E) Agriculture systems and technology.--
                Engineering, products, and processes, 
                including--
                          (i) new uses and new products from 
                        traditional and nontraditional crops, 
                        animals, byproducts, and natural 
                        resources;
                          (ii) robotics, energy efficiency, 
                        computing, and expert systems;
                          (iii) new hazard and risk assessment 
                        and mitigation measures; [and]
                          (iv) water quality and management[.]; 
                        and
                          (v) tools that accelerate the use of 
                        automation or mechanization for labor-
                        intensive tasks in the production and 
                        distribution of crops.
                  (F) Agriculture economics and rural 
                communities.--Markets, trade, economics, and 
                policy, including--
                          (i) strategies for entering into and 
                        being competitive 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 operations;
                          (iii) new decision tools for farm and 
                        market systems;
                          (iv) choices and applications of 
                        technology;
                          (v) the economic costs, benefits, and 
                        viability of producers adopting 
                        conservation practices and technologies 
                        designed to improve water quality;
                          (vi) technology assessment; [and]
                          (vii) new approaches to rural 
                        development, including rural 
                        entrepreneurship[.]; and
                          (viii) barriers and bridges to entry 
                        and farm viability for young, 
                        beginning, socially disadvantaged, 
                        veteran, and immigrant farmers and 
                        ranchers, including farm succession, 
                        transition, transfer, entry, and 
                        profitability issues.
          (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 conduct 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));
                  (E) in seeking proposals for grants under 
                this subsection and in performing peer review 
                evaluations of such proposals, seek the widest 
                participation of qualified individuals in the 
                Federal Government, colleges and universities, 
                State agricultural experiment stations, and the 
                private sector; and
                  (F) establish procedures, including 
                timelines, under which an entity established 
                under a commodity promotion law (as such term 
                is defined under section 501(a) of the Federal 
                Agriculture Improvement and Reform Act of 1996 
                (7 U.S.C. 7401(a))) or a State commodity board 
                (or other equivalent State entity) may directly 
                submit to the Secretary for consideration 
                proposals for requests for applications that 
                specifically address particular issues related 
                to the priority areas specified in paragraph 
                (2). 
          (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 subsection (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 multidisciplinary 
                        teams; and
                          (ii) not more than 2 percent is used 
                        for equipment grants under paragraph 
                        (6)(A); [and]
                  (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))[.] that--
                          (i) is of national scope; or 
                          (ii) is commodity-specific, so long 
                        as any such funds allocated for 
                        commodity-specific research are matched 
                        with funds from a non-Federal source at 
                        least equal to the amount of such funds 
                        so allocated. 
          (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 education capacity of 
                the institution through the acquisition of 
                special research equipment and the improvement 
                of agricultural 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 extensive 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;
                  (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; and
                  (E) to eligible entities to carry out the 
                specific proposals submitted under procedures 
                established under paragraph (4)(F) only if such 
                specific proposals are consistent with a 
                priority area specified in paragraph (2).
          (7) Eligible entities.--The Secretary may make grants 
        to carry out research, extension, and education under 
        this subsection 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, foundations, 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 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).
          (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 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.
                          [(iii) Exemption.--The matching funds 
                        requirement under section 1492 of the 
                        National Agricultural Research, 
                        Extension, and Teaching Policy Act of 
                        1977 shall not apply in the case of a 
                        grant made under paragraph (6)(A).]
                  (B) Contribution requirement for commodity 
                promotion grants.--
                          (i) In general.--Subject to [clauses 
                        (ii) and (iii)] clause (ii), as a 
                        condition of funding a grant under 
                        paragraph (6)(E), the Secretary shall 
                        require that the grant be matched with 
                        an equal contribution of funds from the 
                        entities described in paragraph (4)(F) 
                        submitting proposals under procedures 
                        established under such paragraph.
                          (ii) Availability of funds.--
                                  (I) In general.--
                                Contributions required by 
                                clause (i) shall be available 
                                to the Secretary for obligation 
                                and remain available until 
                                expended for the purpose of 
                                making grants under paragraph 
                                (6)(E).
                                  (II) Administration.--Of 
                                amounts contributed to the 
                                Secretary under clause (i), not 
                                more than 4 percent may be 
                                retained by the Secretary to 
                                pay administrative costs 
                                incurred by the Secretary in 
                                carrying out this subsection.
                                  (III) Restriction.--Funds 
                                contributed to the Secretary by 
                                an entity under clause (i) in 
                                connection with a proposal 
                                submitted by that entity under 
                                procedures established under 
                                paragraph (4)(F) may only be 
                                used to fund grants in 
                                connection with that proposal.
                                  (IV) Remaining funds.--Funds 
                                contributed to the Secretary by 
                                an entity under clause (i) that 
                                remain unobligated at the time 
                                of grant closeout shall be 
                                returned to that entity.
                                  (V) Indirect costs.--The 
                                indirect cost rate applicable 
                                to appropriated funds for a 
                                grant funded under paragraph 
                                (6)(E) shall apply to amounts 
                                contributed by an entity under 
                                clause (i).
                          [(iii) Other matching funds 
                        requirements.--The contribution 
                        requirement under clause (i) shall be 
                        in addition to any matching funds 
                        requirement for grant recipients 
                        required by section 1492 of the 
                        National Agricultural Research, 
                        Extension, and Teaching Policy Act of 
                        1977.]
          (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 
                appropriated to carry out this subsection 
                $700,000,000 for each of fiscal years 2008 
                through [2018] 2023, of which--
                          (i) not less than 30 percent shall be 
                        made available 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] 5 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.
  (c) Special Grants.--(1) The Secretary of Agriculture may 
make grants, for periods not to exceed 3 years--
          (A) to State agricultural experiment stations, all 
        colleges and universities, other research institutions 
        and organizations, Federal agencies, private 
        organizations or corporations, and individuals for the 
        purpose of conducting research, extension, or education 
        activities to facilitate or expand promising 
        breakthroughs in areas of the food and agricultural 
        sciences of importance to the United States; and
          (B) to State agricultural experiment stations, land-
        grant colleges and universities, research foundations 
        established by land-grant colleges and universities, 
        colleges and universities receiving funds under the Act 
        of October 10, 1962 (16 U.S.C. 582a et seq.), and 
        accredited schools or colleges of veterinary medicine 
        for the purpose of facilitating or expanding ongoing 
        State-Federal food and agricultural research, 
        extension, or education programs that--
                  (i) promote excellence in research, 
                extension, or education on a regional and 
                national level;
                  (ii) promote the development of regional 
                research centers;
                  (iii) promote the research partnership 
                between the Department of Agriculture, colleges 
                and universities, research foundations, and 
                State agricultural experiment stations for 
                regional research efforts; and
                  (iv) facilitate coordination and cooperation 
                of research, extension, or education among 
                States through regional grants.
  (2) Limitations.--The Secretary may not make a grant under 
this subsection--
          (A) for any purpose for which a grant may be made 
        under subsection (d); or
          (B) for the planning, repair, rehabilitation, 
        acquisition, or construction of a building or facility.
  (3) Matching Funds.--Grants made under this subsection shall 
be made without regard to matching funds.
  (4) Set Asides.--Of amounts appropriated for a fiscal year to 
carry out this subsection--
          (A) ninety percent of such amounts shall be used for 
        grants for regional research projects; and
          (B) four percent of such amounts may be retained by 
        the Secretary to pay administrative costs incurred by 
        the Secretary to carry out this subsection.
          (5) Review requirements.--
                  (A) Research activities.--The Secretary shall 
                make a grant under this subsection for a 
                research activity only if the activity has 
                undergone scientific peer review arranged by 
                the grantee in accordance with regulations 
                promulgated by the Secretary.
                  (B) Extension and education activities.--The 
                Secretary shall make a grant under this 
                subsection for an extension or education 
                activity only if the activity has undergone 
                merit review arranged by the grantee in 
                accordance with regulations promulgated by the 
                Secretary.
          (6) Reports.--
                  (A) In general.--A recipient of a grant under 
                this subsection shall submit to the Secretary 
                on an annual basis a report describing the 
                results of the research, extension, or 
                education activity and the merit of the 
                results.
                  (B) Public availability.--
                          (i) In general.--Except as provided 
                        in clause (ii), on request, the 
                        Secretary shall make the report 
                        available to the public.
                          (ii) Exceptions.--Clause (i) shall 
                        not apply to the extent that making the 
                        report, or a part of the report, 
                        available to the public is not 
                        authorized or permitted by section 552 
                        of title 5, United States Code, or 
                        section 1905 of title 18, United States 
                        Code.
  (e) Inter-Regional Research Project Number 4.--(1) The 
Secretary of Agriculture shall establish an Inter-Regional 
Research Project Number 4 (hereinafter referred to in this 
subsection as the ``IR-4 Program'') to assist in the collection 
of residue and efficacy data in support of--
          (A) the registration or reregistration of pesticides 
        for minor agricultural use and for use on specialty 
        crops (as defined in section 3 of the Specialty Crops 
        Competitiveness Act of 2004 (7 U.S.C. 1621 note)), 
        under the Federal Insecticide, Fungicide, and 
        Rodenticide Act (7 U.S.C. 136 et seq.); and
          (B) tolerances for residues of minor use chemicals in 
        or on raw agricultural commodities under sections 408 
        and 409 of the Federal Food, Drug, and Cosmetic Act (21 
        U.S.C. 346a, 348).
  (2) The Secretary shall carry out the IR-4 Program in 
cooperation with the Administrator of the Environmental 
Protection Agency, State agricultural experiment stations, 
colleges and universities, extension services, private 
industry, and other interested parties.
  (3) In carrying out the IR-4 Program, the Secretary shall 
give priority to registrations, reregistrations, and tolerances 
for pesticide uses related to the production of agricultural 
crops for food use.
  (4) As part of carrying out the IR-4 Program, the Secretary 
shall--
          (A) participate in research activities aimed at 
        reducing residues of pesticides registered for minor 
        agricultural use and for use on specialty crops;
          (B) develop analytical techniques applicable to 
        residues of pesticides registered for minor 
        agricultural use, including automation techniques and 
        validation of analytical methods;
          (C) prioritize potential pest management technology 
        for minor agricultural use and for use on specialty 
        crops;
          (D) conduct research to develop the data necessary to 
        facilitate pesticide registrations, reregistrations, 
        and associated tolerances;
          (E) assist in removing trade barriers caused by 
        residues of pesticides registered for minor 
        agricultural use and for use on domestically grown 
        specialty crops;
          (F) assist in the registration and reregistration of 
        pest management technologies for minor agricultural use 
        and for use on specialty crops; and
          (G) coordinate with other programs within the 
        Department of Agriculture and the Environmental 
        Protection Agency designed to develop and promote 
        biological and other alternative control measures.
  (5) The Secretary shall prepare and submit, to appropriate 
Committees of Congress, a report on an annual basis that 
contains--
          (A) a listing of all registrations, reregistrations, 
        and tolerances for which data has been collected in the 
        preceding year;
          (B) a listing of all registrations, reregistrations, 
        and tolerances for which data collection is scheduled 
        to occur in the following year, with an explanation of 
        the priority system used to develop this list; and
          (C) a listing of all activities the IR-4 Program has 
        carried out pursuant to paragraph (4).
  (6) The Secretary shall submit to Congress not later than 
November 28, 1991, a report detailing the feasibility of 
requiring recoupment of the costs of developing residue data 
for registrations, reregistrations, or tolerances under this 
program. Such recoupment shall only apply to those registrants 
which make a profit on such registration, reregistration, or 
tolerance subsequent to residue data development under this 
program. Such report shall include:
          (A) an analysis of possible benefits to the IR-4 
        Program of such a recoupment;
          (B) an analysis of the impact of such a payment on 
        the availability of registrants to pursue registrations 
        or reregistrations of minor use pesticides; and
          (C) recommendations for implementation of such a 
        recoupment policy.
  (7) There are authorized to be appropriated $25,000,000 for 
fiscal year 1991, and such sums as are necessary for subsequent 
fiscal years to carry out this subsection.
  (f) Record Keeping.--Each recipient of assistance under this 
section shall keep such records as the Secretary of Agriculture 
shall, by regulation, prescribe, including records which fully 
disclose the amount and disposition by such recipient of the 
proceeds of such grants, the total cost of the project or 
undertaking in connection with which such funds are given or 
used, and the amount of that portion of the costs of the 
project or undertaking in connection with which such funds are 
given or used, and the amount of that portion of the costs of 
the project or undertaking supplied by other sources, and such 
other records as will facilitate an effective audit. The 
Secretary of Agriculture and the Comptroller General of the 
United States or any of their duly authorized representatives 
shall have access for the purpose of audit and examination to 
any books, documents, papers, and records of the recipients 
that are pertinent to the grants received under this section.
  (g) Limits on Overhead Costs.--The Secretary of Agriculture 
shall limit allowable overhead costs, with respect to grants 
awarded under this section, to those necessary to carry out the 
purposes of the grants.
  (h) Authorization of Appropriations.--Except as otherwise 
provided in subsections (b) and (e), there are hereby 
authorized to be appropriated such sums as are necessary to 
carry out this section.
  (i) Rules.--The Secretary of Agriculture may issue such rules 
and regulations as the Secretary deems necessary to carry out 
this section.
  (j) Application of Other Laws.--The Federal Advisory 
Committee Act (5 U.S.C. App. 2) and title XVIII of the Food and 
Agriculture Act of 1977 (7 U.S.C. 2281 et seq.) shall not apply 
to a panel or board created for the purpose of reviewing 
applications or proposals submitted under this section.
  (k) Emphasis on Sustainable Agriculture.--The Secretary of 
Agriculture shall ensure that grants made under subsections (b) 
and (c) are, where appropriate, consistent with the development 
of systems of sustainable agriculture. For purposes of this 
section, the term ``sustainable agriculture'' has the meaning 
given that term in section 1404 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
3103).
                              ----------                              


               RENEWABLE RESOURCES EXTENSION ACT OF 1978



           *       *       *       *       *       *       *
                      appropriations authorization

  Sec. 6. There is authorized to be appropriated to carry out 
this Act $30,000,000 for each of fiscal years 2002 through 
[2018] 2023. Generally, States shall be eligible for funds 
appropriated under this Act according to the respective 
capabilities of their private forests and rangelands for 
yielding renewable resources and relative needs for such 
resources identified in the periodic Renewable Resource 
Assessment provided for in section 3 of the Forest and 
Rangeland Renewable Resources Planning Act of 1974 and the 
periodic appraisal of land and water resources provided for in 
section 5 of the Soil and Water Resources Conservation Act of 
1977.

           *       *       *       *       *       *       *


                             effective date

  Sec. 8. The provisions of this Act shall be effective for the 
period beginning October 1, 1978, and ending September 30, 
[2018] 2023.
                              ----------                              


                    NATIONAL AQUACULTURE ACT OF 1980



           *       *       *       *       *       *       *
                   authorizations for appropriations

  Sec. 10. For purposes of carrying out the provisions of this 
Act, there are authorized to be appropriated--
          (1) to the Department of Agriculture, $1,000,000 for 
        each of fiscal years 1991 through [2018] 2023;
          (2) to the Department of Commerce, $1,000,000 for 
        each of fiscal years 1991 through [2018] 2023; and
          (3) to the Department of Interior, $1,000,000 for 
        each of fiscal years 1991 through [2018] 2023.
Funds authorized by this section shall be in addition to, and 
not in lieu of, funds authorized by any other Act.

           *       *       *       *       *       *       *

                              ----------                              


  NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING POLICY ACT 
                           AMENDMENTS OF 1985



           *       *       *       *       *       *       *
TITLE XIV--AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING

           *       *       *       *       *       *       *


  authorization for appropriations for federal agricultural research 
                               facilities

  Sec. 1431. There are authorized to be appropriated for each 
of the fiscal years 1991 through [2018] 2023, such sums as may 
be necessary for the planning, construction, acquisition, 
alternation, and repair of buildings and other public 
improvements, including the cost of acquiring or obtaining 
rights to use land, of or used by the Agricultural Research 
Service, except that--
          (1) the cost of planning any one facility shall not 
        exceed $500,000; and
          (2) the total cost of any one facility shall not 
        exceed $5,000,000.

           *       *       *       *       *       *       *

                              ----------                              


 DISTRICT OF COLUMBIA PUBLIC POSTSECONDARY EDUCATION REORGANIZATION ACT



           *       *       *       *       *       *       *
TITLE II--BOARD OF TRUSTEES

           *       *       *       *       *       *       *


                 EsTABLISHMENT OF LAND-GRANT UNIVERSITY

  Sec. 209. (a) In the administration of--
          (1) the Act of August 30,1890 (7 U.S.C. 321-326,928) 
        (known as the Second Morrill Act),
          (2) the tenth paragraph under the heading "Emergency 
        Appropriations" in the Act of March 4, 1907 (7 U.S.C. 
        322)(known as the Nelsen amendment),
          (3) section 22 of the Act of June 29, 1935 (7 U.S.C. 
        329)(known as the Bankhead-Jones Act),
          (4) the Act of March 4,1940 (7 U.S.C 33l), and
          (5) the Agricultural Marketing Act of 1946 (7 U.S.C. 
        1621- 1627), the University shall be considered to be a 
        university established for the benefit of agriculture 
        and the mechanic arts in accordance with the provisions 
        of the Act of July 2,1862 (7 U.S.C. 301-305, 307, 308) 
        (known as the First Morrill Act); and the term "State" 
        as used in the laws and provisions of law listed in the 
        preceding paragraphs of this section shall include the 
        District of Columbia.
  (b) In the administration of the Act of May 8,1914 (7 U.S.C. 
341- 346, 34721-349) (known as the Smith-Lever Act)--
          (1) the University shall be considered to be a 
        university established for the benefit of agriculture 
        and the mechanic arts in accordance with the provisions 
        of the Act of July 2,1862 (7 1J.S.C. 301-305, 307, 
        308); and
          (2) the term "State" as used in such Act of May 8, 
        1949, shall include the District of Columbia.
  (c) In lieu of an authorization of appropriations for the 
District of Columbia under section 3(c) of such Act of May 8, 
1914, there is authorized to be appropriated such sums as may 
be necessary to provide cooperative agricultural extension work 
in the District of Columbia under such Act[.], which may be 
used to pay no more than one-half of the total cost of 
providing such extension work. Any reference in such Act (other 
than section 3(c) thereof) to funds appropriated under such Act 
shall in the case of the District of Columbia be considered a 
reference to funds appropriated under this subsection.
  (d) Four per centum of the sums appropriated under subsection 
(c) for each fiscal year shall be allotted to the Federal 
Extension Service of the Department of Agriculture for 
administrative, technical, and other services provided by the 
Service in carrying out the purposes of this section.
  (e) Reserved.

           *       *       *       *       *       *       *

                              ----------                              


                            SMITH-LEVER ACT



           *       *       *       *       *       *       *
  Sec. 3. (a) there are hereby authorized to be appropriated 
for the purposes of this Act such sums as Congress may from 
time to time determine to be necessary.
  (b)(1) Out of such sums, each State and the Secretary of 
Agriculture shall be entitled to receive annually a sum of 
money equal to the sums available from Federal cooperative 
extension funds for the fiscal year 1962, and subject to the 
same requirements as to furnishing of equivalent sums by the 
State, except that amounts heretofore made available to the 
Secretary for allotment on the basis of special needs shall 
continue available for use on the same basis.
  (2) There is authorized to be appropriated for the fiscal 
year ending June 30, 1971, and for each fiscal year thereafter, 
for payment to the Virgin Islands and Guam, $100,000 each, 
which sums shall be in addition to the sums appropriated for 
the several States of the United States and Puerto Rico under 
the provisions of this section. The amount paid by the Federal 
Government to the Virgin Islands and Guam pursuant to this 
paragraph shall not exceed during any fiscal year, except the 
fiscal years ending, June 30, 1971, and June 30, 1972, when 
such amount may be used to pay the total cost of providing 
services pursuant to this Act, the amount available and 
budgeted for expenditure by the Virgin Islands and Guam for the 
purposes of this Act.
          (3) There are authorized to be appropriated for the 
        fiscal year ending June 30, 1996, and for each fiscal 
        year thereafter, for payment on behalf of the 1994 
        Institutions (as defined in section 532 of the Equity 
        in Educational Land-Grant Status Act of 1994), such 
        sums as are necessary for the purposes set forth in 
        section 2. The balance of any annual funds provided 
        under the preceding sentence for a fiscal year that 
        remains unexpended at the end of that fiscal year shall 
        remain available without fiscal year limitation. Such 
        sums shall be in addition to the sums appropriated for 
        the several States and Puerto Rico, the Virgin Islands, 
        and Guam under the provisions of this section. Such 
        sums shall be distributed on the basis of a competitive 
        application process to be developed and implemented by 
        the Secretary and paid by the Secretary to 1994 
        Institutions (in accordance with regulations that the 
        Secretary may promulgate) and may be administered by 
        the 1994 Institutions through cooperative agreements 
        with colleges and universities eligible to receive 
        funds under the Act of July 2, 1862 (12 Stat. 503, 
        chapter 130; 7 U.S.C. 301 et seq.), or the Act of 
        August 30, 1890 (26 Stat. 419, chapter 841; 7 U.S.C. 
        321 et seq.), including Tuskegee University, located in 
        any State.
          (4) Annual appropriation for hispanic-serving 
        agricultural 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 
                        agricultural colleges and universities 
                        in the State in accordance with 
                        regulations promulgated by the 
                        Secretary.
  (c) Any sums made available by the Congress or further 
development of cooperative extension work in addition to those 
referred to in subsection (b) hereof shall be distributed as 
follows:
  (1) Four per centum of the sum so appropriated for each 
fiscal year shall be allotted to the Secretary of Agriculture 
for administrative, technical, and other services, and for 
coordinating the extension work of the Department and the 
several States, Territories and possessions.
  (2) Of the remainder so appropriated for each fiscal year 20 
per centum shall be paid to the several States in equal 
proportions, 40 per centum shall be paid to the several States 
in the proportion that the rural population of each bears to 
the total rural population of the several States as determined 
by the census, and the balance shall be paid to the several 
States in the proportion that the farm population of each bears 
to the total farm population of the several States as 
determined by the census. Any appropriation made hereunder 
shall be allotted in the first and succeeding years on the 
basis of the decennial census current at the time such 
appropriation is first made, and as to any increase, on the 
basis of decennial census current at the time such increase is 
first appropriated.
  (d) The Secretary of Agriculture shall receive such amounts 
as Congress shall determine for administration, technical, and 
other services and for coordinating the extension work of the 
Department and the several States, Territories, and 
possessions. A college or university eligible to receive funds 
under the Act of August 30, 1890 (7 U.S.C. 321 et seq.), 
including Tuskegee University, may compete for and receive 
funds directly from the Secretary of Agriculture.
  (e) Matching Funds.--
          (1) Requirement.--Except as provided in paragraph (4) 
        and subsection (f), no allotment shall be made to a 
        State under subsection (b) or (c), and no payments from 
        the allotment shall be made to a State, in excess of 
        the amount that the State makes available out of non-
        Federal funds for cooperative extension work.
          (2) Failure to provide matching funds.--If a State 
        fails to comply with the requirement to provide 
        matching funds for a fiscal year under paragraph (1), 
        the Secretary of Agriculture shall withhold from 
        payment to the State for that fiscal year an amount 
        equal to the difference between--
                  (A) the amount that would be allotted and 
                paid to the State under subsections (b) and (c) 
                (if the full amount of matching funds were 
                provided by the State); and
                  (B) the amount of matching funds actually 
                provided by the State.
          (3) Reapportionment.--
                  (A) In general.--The Secretary of Agriculture 
                shall reapportion amounts withheld under 
                paragraph (2) for a fiscal year among the 
                States satisfying the matching requirement for 
                that fiscal year.
                  (B) Matching requirement.--Any 
                reapportionment of funds under this paragraph 
                shall be subject to the matching requirement 
                specified in paragraph (1).
          (4) Exception for insular areas.--
                  (A) In general.--Effective beginning for 
                fiscal year 2003, in lieu of the matching funds 
                requirement of paragraph (1), the insular areas 
                of the Commonwealth of Puerto Rico, Guam, and 
                the Virgin Islands of the United States shall 
                provide matching funds from non-Federal sources 
                in an amount equal to not less than 50 percent 
                of the formula funds distributed by the 
                Secretary to each of the insular areas, 
                respectively, under this section.
                  (B) Waivers.--The Secretary may waive the 
                matching fund requirement of subparagraph (A) 
                for any fiscal year if the Secretary determines 
                that the government of the insular area will be 
                unlikely to meet the matching requirement for 
                the fiscal year.
  (f) Matching Funds Exception for 1994 Institutions and 
Hispanic-Serving Agricultural Colleges and Universities.--There 
shall be no matching requirement for funds made available to a 
1994 Institution or Hispanic-serving agricultural colleges and 
universities in accordance with paragraphs (3) and (4) of 
subsection (b).
  (g)(1) The Secretary of Agriculture may conduct educational, 
instructional, demonstration, and publication distribution 
programs and enter into cooperative agreements with private 
nonprofit and profit organizations and individuals to share the 
cost of such programs through contributions from private 
sources as provided in this subsection.
  (2) The Secretary may receive contributions under this 
subsection from private sources for the purposes described in 
paragraph (1) and provide matching funds in an amount not 
greater than 50 percent of such contributions.
  (h) Multistate Cooperative Extension Activities.--
          (1) In general.--Not less than the applicable 
        percentage specified under paragraph (2) of the amounts 
        that are paid to a State under subsections (b) and (c) 
        during a fiscal year shall be expended by States for 
        cooperative extension activities in which 2 or more 
        States cooperate to solve problems that concern more 
        than 1 State (referred to in this subsection as 
        ``multistate activities'').
          (2) Applicable percentages.--
                  (A)  1997 expenditures on multistate 
                activities.--Of the Federal formula funds that 
                were paid to each State for fiscal year 1997 
                under subsections (b) and (c), the Secretary of 
                Agriculture shall determine the percentage that 
                the State expended for multistate activities.
                  (B) Required expenditures on multistate 
                activities.--Of the Federal formula funds that 
                are paid to each State for fiscal year 2000 and 
                each subsequent fiscal year under subsections 
                (b) and (c), the State shall expend for the 
                fiscal year for multistate activities a 
                percentage that is at least equal to the lesser 
                of--
                          (i) 25 percent; or
                          (ii) twice the percentage for the 
                        State determined under subparagraph 
                        (A).
                  (C) Reduction by secretary.--The Secretary 
                may reduce the minimum percentage required to 
                be expended for multistate activities under 
                subparagraph (B) by a State in a case of 
                hardship, infeasibility, or other similar 
                circumstance beyond the control of the State, 
                as determined by the Secretary.
                  [(D) Plan of work.--The State shall include 
                in the plan of work of the State required under 
                section 4 a description of the manner in which 
                the State will meet the requirements of this 
                paragraph.]
          (3) Applicability.--This subsection does not apply to 
        funds provided--
                  (A) by a State or local government pursuant 
                to a matching requirement;
                  (B) to a 1994 Institution (as defined in 
                section 532 of the Equity in Educational Land-
                Grant Status Act of 1994 (Public Law 103-382; 7 
                U.S.C. 301 note)); or
                  (C) to the Commonwealth of Puerto Rico, the 
                Virgin Islands, or Guam.
  (i) Merit Review.--
          (1) Review required.--Effective October 1, 1999, 
        extension activity carried out under subsection (h) 
        shall be subject to merit review.
          (2) Other requirements.--An extension activity for 
        which merit review is conducted under paragraph (1) 
        shall be considered to have satisfied the requirements 
        for review under section 103(e) of the Agricultural 
        Research, Extension, and Education Reform Act of 1998.
  (j) Integration of Research and Extension.--Section 3(i) of 
the Hatch Act of 1887 (7 U.S.C. 361c(i)) shall apply to amounts 
made available to carry out this Act.

SEC. 4. ASCERTAINMENT OF ENTITLEMENT OF STATE TO FUNDS; TIME AND MANNER 
                    OF PAYMENT; STATE REPORTING REQUIREMENTS; PLANS OF 
                    WORK.

  (a) Ascertainment of Entitlement.--On or about the first day 
of October in each year after the passage of this Act, the 
Secretary of Agriculture shall ascertain as to each State 
whether it is entitled to receive its share of the annual 
appropriation for cooperative agricultural extension work under 
this Act and the amount which it is entitled to receive. Before 
the funds herein provided shall become available to any college 
for any fiscal year, plans for the work to be carried on under 
this Act shall be submitted by the proper officials of each 
college and approved by the Secretary of Agriculture. The 
Secretary shall ensure that each college seeking to receive 
funds under this Act has in place appropriate guidelines, as 
determined by the Secretary, to minimize actual or potential 
conflicts of interest among employees of such college whose 
salaries are funded in whole or in part with such funds.
  (b) Time and Manner of Payment; Related Reports.--The amount 
to which a State is entitled shall be paid in equal quarterly 
payments in or about July, October, January, and April of each 
year to the treasurer or other officer of the State duly 
authorized by the laws of the State or receive the same, and 
such officer shall be required to report to the Secretary of 
Agriculture on or about the first day of April of each year, a 
detailed statement of the amount so received during the 
previous fiscal year and its disbursement, on forms prescribed 
by the Secretary of Agriculture.
  (c) Requirements Related to Plan of Work.--Each extension 
plan of work for a State required under subsection (a) shall 
contain descriptions of the following:
          [(1) The critical short-term, intermediate, and long-
        term agricultural issues in the State and the current 
        and planned extension programs and projects targeted to 
        address the issues.
          [(2) The process established to consult with 
        extension users regarding the identification of 
        critical agricultural issues in the State and the 
        development of extension programs and projects targeted 
        to address the issues.
          [(3) The efforts made to identify and collaborate 
        with other colleges and universities within the State, 
        and within other States, that have a unique capacity to 
        address the identified agricultural issues in the State 
        and the extent of current and emerging efforts 
        (including regional efforts) to work with those other 
        institutions.
          [(4) The manner in which research and extension, 
        including research and extension activities funded 
        other than through formula funds, will cooperate to 
        address the critical issues in the State, including the 
        activities to be carried out separately, the activities 
        to be carried out sequentially, and the activities to 
        be carried out jointly.
          [(5) The education and outreach programs already 
        underway to convey available research results that are 
        pertinent to a critical agricultural issue, including 
        efforts to encourage multicounty cooperation in the 
        dissemination of research results.]
          (1) A summary of planned projects or programs in the 
        State using formula funds.
          (2) A description of the manner in which the State 
        will meet the requirements of section 3(h).
          (3) A description of the manner in which the State 
        will meet the requirements of section 3(i)(2) of the 
        Hatch Act of 1887.
          (4) A description of matching funds provided by the 
        State with respect to the previous fiscal year.
  (d) Extension Protocols.--
          (1) Development.--The Secretary of Agriculture shall 
        develop protocols to be used to evaluate the success of 
        multistate, multi-institutional, and multidisciplinary 
        extension activities and joint research and extension 
        activities in addressing critical agricultural issues 
        identified in the plans of work submitted under 
        subsection (a).
          (2) Consultation.--The Secretary of Agriculture shall 
        develop the protocols in consultation with 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) and land-
        grant colleges and universities.
  (e) Treatment of Plans of Work for Other Purposes.--To the 
maximum extent practicable, the Secretary shall consider a plan 
of work submitted under subsection (a) to satisfy other 
appropriate Federal reporting requirements.
  (f) Relationship to Audits.--Notwithstanding any other 
provision of law, the procedures established pursuant to 
subsection (c) shall not be subject to audit to determine the 
sufficiency of such procedures.

           *       *       *       *       *       *       *

                              ----------                              


                           HATCH ACT OF 1887



           *       *       *       *       *       *       *
  Sec. 3. (a) There are hereby authorized to be appropriated 
for the purposes of this Act such sums as Congress may from 
time to time determine to be necessary.
  (b)(1) Out of such sums each State shall be entitled to 
receive annually a sum of money equal to and subject to the 
same requirement as to use for marketing research projects as 
the sums received from Federal appropriations for State 
agricultural experiment stations for the fiscal year 1955, 
except that amounts heretofore made available from the fund 
known as the ``Regional research fund. Office of Experiment 
Stations'' shall continue to be available for the support of 
cooperative regional projects as defined in subsection (c)(3), 
and the said fund shall be designated ``Regional research fund, 
State agricultural experiment stations'', and the Secretary of 
Agriculture shall be entitled to receive annually for the 
administration of this Act, a sum not less than that available 
for this purpose for the fiscal year ending June 30, 1955: 
Provided, That if the appropriations hereunder available for 
distribution in any fiscal year are less than those for the 
fiscal year 1955 the allotment to each State and the amounts 
for Federal administration and the regional research fund shall 
be reduced in proportion to the amount of such reduction.
  (2) There is authorized to be appropriated for the fiscal 
year ending June 30, 1973, and for each year thereafter, for 
payment to the Virgin Islands and Guam, $100,000 each, which 
sums shall be in addition to the sums appropriated for the 
several States of the United States and Puerto Rico under the 
provisions of this section. The amount paid by the Federal 
Government to the Virgin Islands and Guam pursuant to this 
paragraph shall not exceed during any fiscal year, except the 
fiscal years ending June 30, 1971, and June 30, 1972, when such 
amount may be used to pay the total cost of providing services 
pursuant to this Act, the amount available and budgeted for 
expenditure by the Virgin Islands and Guam for the purposes of 
this Act.
  (c) Any sums made available by the Congress in addition to 
those provided for in subsection (b) hereof for State 
agricultural experiment station work shall be distributed as 
follows:
          (1) Twenty per centum shall be allotted equally to 
        each State;
          (2) Not less than 52 per centum of such sums shall be 
        allotted to each State, as follows: One-half in an 
        amount which bears the same ratio to the total amount 
        to be allotted as the rural population of the State 
        bears to the total rural population of all the States 
        as determined by the last preceding decennial census 
        current at the time each such additional sum is first 
        appropriated; and one-half in an amount which bears the 
        same ratio to the total amount to be allotted as the 
        farm population of the State bears to the total farm 
        population of all the States as determined by the last 
        preceding decennial census current at the time such 
        additional sum is first appropriated;
          (3) Not less than 25 percent shall be allotted to the 
        States for cooperative research employing 
        multidisciplinary approaches in which a State 
        agricultural experiment station, working with another 
        State agricultural experiment station, the Agricultural 
        Research Service, or a college or university, 
        cooperates to solve problems that concern more than 1 
        State. The funds available under this paragraph, 
        together with the funds available under subsection (b) 
        for a similar purpose, shall be designated as the 
        ``Multistate Research Fund, State Agricultural 
        Experiment Stations''.
          (4) Three per centum shall be available to the 
        Secretary of Agriculture for administration of this 
        act. These administrative funds may be used for 
        transportation of scientists who are not officers or 
        employees of the United States to research meetings 
        convened for the purpose of assessing research 
        opportunities or research planning.
  (d) Matching Funds.--
          (1) Requirement.--Except as provided in paragraph 
        (4), no allotment shall be made to a State under 
        subsection (b) or (c), and no payments from the 
        allotment shall be made to a State, in excess of the 
        amount that the State makes available out of non-
        Federal funds for agricultural research and for the 
        establishment and maintenance of facilities for the 
        performance of the research.
          (2) Failure to provide matching funds.--If a State 
        fails to comply with the requirement to provide 
        matching funds for a fiscal year under paragraph (1), 
        the Secretary of Agriculture shall withhold from 
        payment to the State for that fiscal year an amount 
        equal to the difference between--
                  (A) the amount that would be allotted and 
                paid to the State under subsections (b) and (c) 
                (if the full amount of matching funds were 
                provided by the State); and
                  (B) the amount of matching funds actually 
                provided by the State.
          (3) Reapportionment.--
                  (A) In general.--The Secretary of Agriculture 
                shall reapportion amounts withheld under 
                paragraph (2) for a fiscal year among the 
                States satisfying the matching requirement for 
                that fiscal year.
                  (B) Matching requirement.--Any 
                reapportionment of funds under this paragraph 
                shall be subject to the matching requirement 
                specified in paragraph (1).
          (4) Exception for insular areas and the district of 
        columbia.--
                  (A) In general.--Effective beginning for 
                fiscal year 2003, in lieu of the matching funds 
                requirement of paragraph (1), the insular areas 
                of the Commonwealth of Puerto Rico, Guam, and 
                the Virgin Islands of the United States and the 
                District of Columbia shall provide matching 
                funds from non-Federal sources in an amount 
                equal to not less than 50 percent of the 
                formula funds distributed by the Secretary to 
                each of the insular areas, respectively, and 
                the District of Columbia under this section.
                  (B) Waivers.--The Secretary may waive the 
                matching fund requirement of subparagraph (A) 
                for any fiscal year if the Secretary determines 
                that the government of the insular area or the 
                District of Columbia will be unlikely to meet 
                the matching requirement for the fiscal year.
  (e) ``Administration'' as used in this section shall include 
participation in planning and coordinating cooperative regional 
research as defined in subsection (c)(3).
  (f) In making payments to States, the Secretary of 
Agriculture is authorized to adjust any such payment to the 
nearest dollar.
  (g) If in any year the amount made available by a State from 
its own funds (including any revenue-sharing funds) to a State 
agricultural experiment station is reduced because of an 
increase in the allotment made available under this Act, the 
allotment to the State agricultural experiment station from the 
appropriation in the next succeeding fiscal year shall be 
reduced in an equivalent amount. The Secretary shall 
reapportion the amount of such reduction to other States for 
use by their agricultural experiment stations.
  [(h) Peer Review and Plan of Work.--
          [(1) Peer review.--Research carried out under 
        subsection (c)(3) shall be subject to scientific peer 
        review. The review of a project conducted under this 
        paragraph shall be considered to satisfy the merit 
        review requirements of section 103(e) of the 
        Agricultural Research, Extension, and Education Reform 
        Act of 1998.
          [(2) Plan of work.--The State shall include in the 
        plan of work of the State required under section 7 a 
        description of the manner in which the State will meet 
        the requirements of subsection (c)(3).]
  (h) Peer Review.--Research carried out under subsection 
(c)(3) shall be subject to scientific peer review. The review 
of a project conducted under this subsection shall be 
considered to satisfy the merit review requirements of section 
103(e) of the Agricultural Research, Extension, and Education 
Reform Act of 1998.
  (i) Integration of Research and Extension.--
          (1) In general.--Not less than the applicable 
        percentage specified under paragraph (2) of the Federal 
        formula funds that are paid under this Act and 
        subsections (b) and (c) of section 3 of the Smith-Lever 
        Act (7 U.S.C. 343) to colleges and universities 
        eligible to receive funds under the Act of July 2, 1862 
        (12 Stat. 503, chapter 130; 7 U.S.C. 301 et seq.), 
        during a fiscal year shall be expended for activities 
        that integrate cooperative research and extension 
        (referred to in this subsection as ``integrated 
        activities'').
          (2) Applicable percentages.--
                  (A)  1997 expenditures on multistate 
                activities.--Of the Federal formula funds that 
                were paid to each State for fiscal year 1997 
                under this Act and subsections (b) and (c) of 
                section 3 of the Smith-Lever Act (7 U.S.C. 
                343), the Secretary of Agriculture shall 
                determine the percentage that the State 
                expended for integrated activities.
                  (B) Required expenditures on multistate 
                activities.--Of the Federal formula funds that 
                are paid to each State for fiscal year 2000 and 
                each subsequent fiscal year under this Act and 
                subsections (b) and (c) of section 3 of the 
                Smith-Lever Act (7 U.S.C. 343), the State shall 
                expend for the fiscal year for integrated 
                activities a percentage that is at least equal 
                to the lesser of--
                          (i) 25 percent; or
                          (ii) twice the percentage for the 
                        State determined under subparagraph 
                        (A).
                  (C) Reduction by secretary.--The Secretary of 
                Agriculture may reduce the minimum percentage 
                required to be expended by a State for 
                integrated activities under subparagraph (B) in 
                a case of hardship, infeasibility, or other 
                similar circumstance beyond the control of the 
                State, as determined by the Secretary.
                  [(D) Plan of work.--The State shall include 
                in the plan of work of the State required under 
                section 7 of this Act or section 4 of the 
                Smith-Lever Act (7 U.S.C. 344), as applicable, 
                a description of the manner in which the State 
                will meet the requirements of this paragraph.]
          (3) Applicability.--This subsection does not apply to 
        funds provided--
                  (A) by a State or local government pursuant 
                to a matching requirement;
                  (B) to a 1994 Institution (as defined in 
                section 532 of the Equity in Educational Land-
                Grant Status Act of 1994 (Public Law 103-382; 7 
                U.S.C. 301 note)); or
                  (C) to the Commonwealth of Puerto Rico, the 
                Virgin Islands, or Guam.
          (4) Relationship to other requirements.--Federal 
        formula funds described in paragraph (1) that are used 
        by a State for a fiscal year for integrated activities 
        in accordance with paragraph (2)(B) may also be used to 
        satisfy the multistate activities requirements of 
        subsection (c)(3) of this section and section 3(h) of 
        the Smith-Lever Act (7 U.S.C. 343(h)) for the same 
        fiscal year.

           *       *       *       *       *       *       *


SEC. 7. DUTIES OF SECRETARY; ASCERTAINMENT OF ENTITLEMENT OF STATE TO 
                    FUNDS; PLANS OF WORK.

  (a) Duties of Secretary.--The Secretary of Agriculture is 
hereby charged with the responsibility for the proper 
administration of this Act, and is authorized and directed to 
prescribe such rules and regulations as may be necessary to 
carry out its provisions. It shall be the duty of the Secretary 
to furnish such advice and assistance as will best promote the 
purposes of this Act, including participation in coordination 
of research initiated under this Act by the State agricultural 
experiment stations, from time to time to indicate such lines 
of inquiry as to him seem most important, and to encourage and 
assist in the establishment and maintenance of cooperation by 
and between the several State agricultural experiment stations, 
and between the stations and the United States Department of 
Agriculture.
  (b) Ascertainment of Entitlement.--On or before the first day 
of October in each year after the passage of this Act, the 
Secretary of Agriculture shall ascertain as to each State 
whether it is entitled to receive its share of the annual 
appropriations for agricultural experiment stations under this 
Act and the amount which thereupon each is entitled, 
respectively, to receive.
  (c) Carryover.--
          (1) In general.--The balance of any annual funds 
        provided under this Act to a State agricultural 
        experiment station for a fiscal year that remains 
        unexpended at the end of the fiscal year may be carried 
        over for use during the following fiscal year.
          (2) Failure to expend full allotment.--
                  (A) In general.--If any unexpended balance 
                carried over by a State is not expended by the 
                end of the second fiscal year, an amount equal 
                to the unexpended balance shall be deducted 
                from the next succeeding annual allotment to 
                the State.
                  (B) Redistribution.--Federal funds that are 
                deducted under subparagraph (A) for a fiscal 
                year shall be redistributed by the Secretary in 
                accordance with the formula set forth in 
                section 3(c) to those States for which no 
                deduction under subparagraph (A) has been taken 
                for that fiscal year.
  (d) Plan of Work Required.--Before funds may be provided to a 
State under this Act for any fiscal year, a plan of work to be 
carried out under this Act shall be submitted by the proper 
officials of the State and shall be approved by the Secretary 
of Agriculture.
  (e) Requirements Related to Plan of Work.--Each plan of work 
for a State required under subsection (d) shall contain 
descriptions of the following:
          [(1) The critical short-term, intermediate, and long-
        term agricultural issues in the State and the current 
        and planned research programs and projects targeted to 
        address the issues.
          [(2) The process established to consult with users of 
        agricultural research regarding the identification of 
        critical agricultural issues in the State and the 
        development of research programs and projects targeted 
        to address the issues.
          [(3) The efforts made to identify and collaborate 
        with other colleges and universities within the State, 
        and within other States, that have a unique capacity to 
        address the identified agricultural issues in the State 
        and the extent of current and emerging efforts 
        (including regional efforts) to work with those other 
        institutions.
          [(4) The manner in which research and extension, 
        including research and extension activities funded 
        other than through formula funds, will cooperate to 
        address the critical issues in the State, including the 
        activities to be carried out separately, the activities 
        to be carried out sequentially, and the activities to 
        be carried out jointly.]
          (1) A summary of planned projects or programs in the 
        State using formula funds.
          (2) A description of the manner in which the State 
        will meet the requirements of subsections (c)(3) and 
        (i)(2) of section 3.
          (3) A description of matching funds provided by the 
        State with respect to the previous fiscal year.
  (f) Research Protocols.--
          (1) Development.--The Secretary of Agriculture shall 
        develop protocols to be used to evaluate the success of 
        multistate, multi-institutional, and multidisciplinary 
        research activities and joint research and extension 
        activities in addressing critical agricultural issues 
        identified in the plans of work submitted under 
        subsection (d).
          (2) Consultation.--The Secretary of Agriculture shall 
        develop the protocols in consultation with 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) and land-
        grant colleges and universities.
  (g) Treatment of Plans of Work for Other Purposes.--To the 
maximum extent practicable, the Secretary shall consider a plan 
of work submitted under subsection (d) to satisfy other 
appropriate Federal reporting requirements.
  (h) Relationship to Audits.--Notwithstanding any other 
provision of law, the procedures established pursuant to 
subsection (e) shall not be subject to audit to determine the 
sufficiency of such procedures.

           *       *       *       *       *       *       *

                              ----------                              


              COOPERATIVE FORESTRY ASSISTANCE ACT OF 1978



           *       *       *       *       *       *       *
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;
          (5) as feasible, appropriate military installations 
        where the voluntary participation and management of 
        private or State-owned or other public forestland is 
        able to support, promote, and contribute to the 
        missions of such installations; and
          (6) for purposes of the Forest Legacy Program under 
        section 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.
  (e) Sufficiency.--Once approved by the Secretary, a State-
wide assessment and State-wide strategy developed under 
subsection (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 
        [2018] 2023.
          (2) Additional funding sources.--In addition to the 
        funds appropriated for a fiscal year pursuant to the 
        authorization 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. 7. FOREST LEGACY PROGRAM.

  (a) Establishment and Purpose.--The Secretary shall establish 
a program, to be known as the Forest Legacy Program, in 
cooperation with appropriate State, regional, and other units 
of government for the purposes of ascertaining and protecting 
environmentally important forest areas that are threatened by 
conversion to nonforest uses and, through the use of 
conservation easements and other mechanisms, for promoting 
forest land protection and other conservation opportunities. 
Such purposes shall also include the protection of important 
scenic, cultural, fish, wildlife, and recreational resources, 
riparian areas, and other ecological values.
  (b) State and Regional Forest Legacy Programs.--The Secretary 
shall exercise the authority under subsection (a) in 
conjunction with State or regional programs that the Secretary 
deems consistent with this section.
  (c) Interests in Land.--In addition to the authorities 
granted under section 6 of the Act of March 1, 1911 (16 U.S.C. 
515), and section 11(a) of the Department of Agriculture 
Organic Act of 1956 (7 U.S.C. 428a(a)), the Secretary may 
acquire from willing landowners lands and interests therein, 
including conservation easements and rights of public access, 
for Forest Legacy Program purposes. The Secretary shall not 
acquire conservation easements with title held in common 
ownership with any other entity.
  (d) Implementation.--
          (1) In general.--Lands and interests therein acquired 
        under subsection (c) may be held in perpetuity for 
        program and easement administration purposes as the 
        Secretary may provide. In administering lands and 
        interests therein under the program, the Secretary 
        shall identify the environmental values to be protected 
        by entry of the lands into the program, management 
        activities which are planned and the manner in which 
        they may affect the values identified, and obtain from 
        the landowner other information determined appropriate 
        for administration and management purposes.
          (2) Initial programs.--Not later than November 28, 
        1991, the Secretary shall establish a regional program 
        in furtherance of the Northern Forest Lands Study in 
        the States of New York, New Hampshire, Vermont, and 
        Maine under Public Law 100-446. The Secretary shall 
        establish additional programs in each of the Northeast, 
        Midwest, South, and Western regions of the United 
        States, and the Pacific Northwest (including the State 
        of Washington), on the preparation of an assessment of 
        the need for such programs.
  (e) Eligibility.--Not later than November 28, 1991, and in 
consultation with State Forest Stewardship Coordinating 
Committees established under section 19(b) and similar regional 
organizations, the Secretary shall establish eligibility 
criteria for the designation of forest areas from which lands 
may be entered into the Forest Legacy Program and subsequently 
select such appropriate areas. To be eligible, such areas shall 
have significant environmental values or shall be threatened by 
present or future conversion to nonforest uses. Of land 
proposed to be included in the Forest Legacy Program, the 
Secretary shall give priority to lands which can be effectively 
protected and managed, and which have important scenic or 
recreational values; riparian areas; fish and wildlife values, 
including threatened and endangered species; or other 
ecological values.
  (f) Application.--For areas included in the Forest Legacy 
Program, an owner of lands or interests in lands who wishes to 
participate may prepare and submit an application at such time 
in such form and containing such information as the Secretary 
may prescribe. The Secretary shall give reasonable advance 
notice for the submission of all applications to the State 
forester, equivalent State official, or other appropriate State 
or regional natural resource management agency. If applications 
exceed the ability of the Secretary to fund them, priority 
shall be given to those forest areas having the greatest need 
for protection pursuant to the criteria described in subsection 
(e).
  (g) State Consent.--Where a State has not approved the 
acquisition of land under section 6 of the Act of March 1, 1911 
(16 U.S.C. 515), the Secretary shall not acquire lands or 
interests therein under authority granted by this section 
outside an area of that State designated as a part of a program 
established under subsection (b).
  (h) Forest Management Activities.--
          (1) In general.--Conservation easements or deed 
        reservations acquired or reserved pursuant to this 
        section may allow forest management activities, 
        including timber management, on areas entered in the 
        Forest Legacy Program insofar as the Secretary deems 
        such activities consistent with the purposes of this 
        section.
          (2) Assignment of responsibilities.--For Forest 
        Legacy Program areas, the Secretary may delegate or 
        assign management and enforcement responsibilities over 
        federally owned lands and interests in lands only to 
        another governmental entity.
  (i) Duties of Owners.--Under the terms of a conservation 
easement or other property interest acquired under subsection 
(b), the landowner shall be required to manage property in a 
manner that is consistent with the purposes for which the land 
was entered in the Forest Legacy Program and shall not convert 
such property to other uses. Hunting, fishing, hiking, and 
similar recreational uses shall not be considered inconsistent 
with the purposes of this program.
  (j) Compensation and Cost Sharing.--
          (1) Compensation.--The Secretary shall pay the fair 
        market value of any property interest acquired under 
        this section. Payments under this section shall be in 
        accordance with Federal appraisal and acquisition 
        standards and procedures.
          (2) Cost sharing.--In accordance with terms and 
        conditions that the Secretary shall prescribe, costs 
        for the acquisition of lands or interests therein or 
        project costs shall be shared among participating 
        entities including regional organizations, State and 
        other governmental units, landowners, corporations, or 
        private organizations. Such costs may include, but are 
        not limited to, those associated with planning, 
        administration, property acquisition, and property 
        management. To the extent practicable, the Federal 
        share of total program costs shall not exceed 75 
        percent, including any in-kind contribution.
  (k) Easements.--
          (1) Reserved interest deeds.--As used in this 
        section, the term ``conservation easement'' includes an 
        easement utilizing a reserved interest deed where the 
        grantee acquires all rights, title, and interests in a 
        property, except those rights, title, and interests 
        that may run with the land that are expressly reserved 
        by a grantor.
          (2) Prohibitions on limitations.--Notwithstanding any 
        provision of State law, no conservation easement held 
        by the United States or its successors or assigns under 
        this section shall be limited in duration or scope or 
        be defeasible by--
                  (A) the conservation easement being in gross 
                or appurtenant;
                  (B) the management of the conservation 
                easement having been delegated or assigned to a 
                non-Federal entity;
                  (C) any requirement under State law for re-
                recordation or renewal of the easement; or
                  (D) any future disestablishment of a Forest 
                Legacy Program area or other Federal project 
                for which the conservation easement was 
                originally acquired.
          (3) Construction.--Notwithstanding any provision of 
        State law, conservation easements shall be construed to 
        effect the Federal purposes for which they were 
        acquired and, in interpreting their terms, there shall 
        be no presumption favoring the conservation easement 
        holder or fee owner.
  (l) Optional State Grants.--
          (1) In general.--The Secretary shall, at the request 
        of a participating State, provide a grant to the State 
        to carry out the Forest Legacy Program in the State.
          (2) Administration.--If a State elects to receive a 
        grant under this subsection--
                  (A) the Secretary shall use a portion of the 
                funds made available under subsection (m), as 
                determined by the Secretary, to provide a grant 
                to the State; and
                  (B) the State shall use the grant to carry 
                out the Forest Legacy Program in the State, 
                including the acquisition by the State of lands 
                and interests in lands.
          (3) Transfer of forest legacy program land--
                  (A) In general.--Subject to any terms and 
                conditions that the Secretary may require 
                (including the requirements described in 
                subparagraph (B)), the Secretary may, at the 
                request of the State of Vermont, convey to the 
                State, by quitclaim deed, without 
                consideration, any land or interest in land 
                acquired in the State under the Forest Legacy 
                Program.
                  (B) Requirements.--In conveying land or an 
                interest in land under subparagraph (A), the 
                Secretary may require that--
                          (i) the deed conveying the land or 
                        interest in land include requirements 
                        for the management of the land in a 
                        manner that--
                                  (I) conserves the land or 
                                interest in land; and
                                  (II) is consistent with any 
                                other Forest Legacy Program 
                                purposes for which the land or 
                                interest in land was acquired;
                          (ii) if the land or interest in land 
                        is subsequently sold, exchanged, or 
                        otherwise disposed of by the State of 
                        Vermont, the State shall--
                                  (I) reimburse the Secretary 
                                in an amount that is based on 
                                the current market value of the 
                                land or interest in land in 
                                proportion to the amount of 
                                consideration paid by the 
                                United States for the land or 
                                interest in land; or
                                  (II) convey to the Secretary 
                                land or an interest in land 
                                that is equal in value to the 
                                land or interest in land 
                                conveyed.
                  (C) Disposition of funds.--Amounts received 
                by the Secretary under subparagraph (B)(ii) 
                shall be credited to the Wildland Fire 
                Management account, to remain available until 
                expended.
  [(m) Appropriation.--There are authorized to be appropriated 
such sums as may be necessary to carry out this section.]
  (m) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $35,000,000 for each 
of fiscal years 2019 through 2023.

SEC. 7A. COMMUNITY FOREST AND OPEN SPACE CONSERVATION PROGRAM.

  (a) Definitions.--In this section:
          (1) Eligible entity.--The term ``eligible entity'' 
        means a local governmental entity, Indian tribe, or 
        nonprofit organization 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 
        governmental 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 programs, including 
                        vocational education programs in 
                        forestry;
                          (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 Program 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.
          (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 equivalent 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 
provide 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.]
  (g) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2019 through 2023.

           *       *       *       *       *       *       *


[SEC. 13A. COMPETITIVE ALLOCATION OF FUNDS TO STATE FORESTERS 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 
allocation of funds under subsection (a), the Secretary shall 
consult 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 
strategies submitted under section 2A(a)(2) will best promote 
the national priorities specified in section 2(c).]

SEC. 13A. STATE AND PRIVATE FOREST LANDSCAPE-SCALE RESTORATION PROGRAM.

  (a) Purpose.--The purpose of this section is to establish a 
landscape-scale restoration program to support landscape-scale 
restoration and management that results in measurable 
improvements to public benefits derived from State and private 
forest land, as identified in--
          (1) a State-wide assessment described in section 
        2A(a)(1); and
          (2) a long-term State-wide forest resource strategy 
        described in section 2A(a)(2).
  (b) Definitions.--In this section:
          (1) Private forest land.--The term ``private forest 
        land'' means land that--
                  (A)(i) has existing tree cover; or
                  (ii) is suitable for growing trees; and
                  (B) is owned by--
                          (i) an Indian Tribe (as defined in 
                        section 4 of the Indian Self-
                        Determination and Education Assistance 
                        Act (25 U.S.C. 5304)); or
                          (ii) any private individual or 
                        entity.
          (2) Regional.--The term ``regional'' means of any 
        region of the National Association of State Foresters.
          (3) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture, acting through the Chief of 
        the Forest Service.
          (4) State forest land.--The term ``State forest 
        land'' means land that is owned by a State or unit of 
        local government.
          (5) State forester.--The term ``State Forester'' 
        means a State Forester or equivalent State official.
  (c) Establishment.--The Secretary, in consultation with State 
Foresters or other appropriate State agencies, shall establish 
a landscape-scale restoration program--
          (1) to provide financial and technical assistance for 
        landscape-scale restoration projects on State forest 
        land or private forest land; and
          (2) that maintains or improves benefits from trees 
        and forests on such land.
  (d) Requirements.--The landscape-scale restoration program 
established under subsection (c) shall--
          (1) measurably address the national private forest 
        conservation priorities described in section 2(c);
          (2) enhance public benefits from trees and forests, 
        as identified in--
                  (A) a State-wide assessment described in 
                section 2A(a)(1); and
                  (B) a long-term State-wide forest resource 
                strategy described in section 2A(a)(2); and
          (3) in accordance with the purposes described in 
        section 2(b), include one or more of the following 
        objectives--
                  (A) protecting or improving water quality or 
                quantity;
                  (B) reducing wildfire risk, including through 
                hazardous fuels treatment;
                  (C) protecting or enhancing wildlife habitat, 
                consistent with wildlife objectives established 
                by the applicable State fish and wildlife 
                agency;
                  (D) improving forest health and forest 
                ecosystems, including addressing native, 
                nonnative, and invasive pests; or
                  (E) enhancing opportunities for new and 
                existing markets in which the production and 
                use of wood products strengthens local and 
                regional economies.
  (e) Measurement.--The Secretary, in consultation with State 
Foresters, shall establish a measurement system (including 
measurement tools) that--
          (1) consistently measures the results of landscape-
        scale restoration projects described in subsection (c); 
        and
          (2) is consistent with the measurement systems of 
        other Federal programs delivered by State Foresters.
  (f) Use of Amounts.--
          (1) Allocation.--Of the amounts made available for 
        the landscape-scale restoration program established 
        under subsection (c), the Secretary shall allocate to 
        State Foresters--
                  (A) 50 percent for the competitive process in 
                accordance with subsection (g); and
                  (B) 50 percent proportionally to States, in 
                consultation with State Foresters--
                          (i) to maximize the achievement of 
                        the objectives described in subsection 
                        (d)(3); and
                          (ii) to address the highest national 
                        priorities, as identified in--
                                  (I) State-wide assessments 
                                described in section 2A(a)(1); 
                                and
                                  (II) long-term State-wide 
                                forest resource strategies 
                                described in section 2A(a)(2).
          (2) Multiyear projects.--The Secretary may provide 
        amounts under this section for multiyear projects.
  (g) Competitive Process.--
          (1) In general.--The Secretary shall distribute 
        amounts described in subsection (f)(1)(A) through a 
        competitive process for landscape-scale restoration 
        projects described in subsection (c) to maximize the 
        achievement of the objectives described in subsection 
        (d)(3).
          (2) Eligibility.--To be eligible for funding through 
        the competitive process under paragraph (1), a State 
        Forester, or another entity on approval of the State 
        Forester, shall submit to the Secretary one or more 
        landscape-scale restoration proposals that--
                  (A) in accordance with paragraph (3)(A), 
                include priorities identified in--
                          (i) State-wide assessments described 
                        in section 2A(a)(1); and
                          (ii) long-term State-wide forest 
                        resource strategies described in 
                        section 2A(a)(2);
                  (B) identify one or more measurable results 
                to be achieved through the project;
                  (C) to the maximum extent practicable, 
                include activities on all land necessary to 
                accomplish the measurable results in the 
                applicable landscape;
                  (D) to the maximum extent practicable, are 
                developed in collaboration with other public 
                and private sector organizations and local 
                communities; and
                  (E) derive not less than 50 percent of the 
                funding for the project from non-Federal 
                sources, unless the Secretary determines--
                          (i) the applicant is unable to derive 
                        not less than 50 percent of the funding 
                        for the project from non-Federal 
                        sources; and
                          (ii) the benefits of the project 
                        justify pursuing the project.
          (3) Prioritization.--In carrying out the competitive 
        process under paragraph (1), the Secretary--
                  (A) shall give priority to projects that, as 
                determined by the Secretary, best carry out 
                priorities identified in State-wide assessments 
                described in section 2A(a)(1) and long-term 
                State-wide forest resource strategies described 
                in section 2A(a)(2), including--
                          (i) involvement of public and private 
                        partnerships;
                          (ii) inclusion of cross-boundary 
                        activities on--
                                  (I) Federal forest land;
                                  (II) State forest land; or
                                  (III) private forest land;
                          (iii) involvement of areas also 
                        identified for cost-share funding by 
                        the Natural Resources Conservation 
                        Service or any other relevant Federal 
                        agency;
                          (iv) protection or improvement of 
                        water quality or quantity;
                          (v) reduction of wildfire risk; and
                          (vi) otherwise addressing the 
                        national private forest conservation 
                        priorities described in section 2(c); 
                        and
                  (B) may give priority to projects in 
                proximity to other landscape-scale projects on 
                other land under the jurisdiction of the 
                Secretary, the Secretary of the Interior, or a 
                Governor of a State, including--
                          (i) ecological restoration treatments 
                        under the Collaborative Forest 
                        Landscape Restoration Program 
                        established under section 4003 of the 
                        Omnibus Public Land Management Act of 
                        2009 (16 U.S.C. 7303);
                          (ii) projects on landscape-scale 
                        areas designated for insect and disease 
                        treatment under section 602 of the 
                        Healthy Forests Restoration Act of 2003 
                        (16 U.S.C. 6591a);
                          (iii) authorized restoration services 
                        under section 8206 of the Agricultural 
                        Act of 2014 (16 U.S.C. 2113a);
                          (iv) watershed restoration and 
                        protection services under section 331 
                        of the Department of the Interior and 
                        Related Agencies Appropriations Act, 
                        2001 (Public Law 106-291; 16 U.S.C. 
                        1011 note);
                          (v) stewardship end result 
                        contracting projects under section 604 
                        of the Healthy Forests Restoration Act 
                        of 2003 (16 U.S.C. 6591c); or
                          (vi) projects under other relevant 
                        programs, as determined by the 
                        Secretary.
          (4) Proposal review.--
                  (A) In general.--The Secretary shall 
                establish a process for the review of proposals 
                submitted under paragraph (2) that ranks each 
                proposal based on--
                          (i) the extent to which the proposal 
                        would achieve the requirements 
                        described in subsection (d); and
                          (ii) the priorities described in 
                        paragraph (3)(A).
                  (B) Regional review.--The Secretary may carry 
                out the process described in subparagraph (A) 
                at a regional level.
          (5) Compliance with nepa.--Financial and technical 
        assistance carried out under this section for landscape 
        restoration projects on State forest land or private 
        forest land shall not constitute a major Federal action 
        for the purposes of section 102(2)(C) of the National 
        Environmental Policy Act of 1969 (42 U.S.C. 
        4332(2)(C)).
  (h) Report.--Not later than 3 years after the date of the 
enactment of the Agriculture and Nutrition Act of 2018, 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--
          (1) a description of the status of the development, 
        execution, and administration of landscape-scale 
        projects selected under the program under this section;
          (2) an accounting of expenditures under such program; 
        and
          (3) specific accomplishments that have resulted from 
        landscape-scale projects under such program.
  (i) Authorization of Appropriations.--There is authorized to 
be appropriated to the Secretary for the landscape-scale 
restoration program established under subsection (c) 
$10,000,000 for each of fiscal years 2019 through 2023, to 
remain available until expended.

           *       *       *       *       *       *       *

                              ----------                              


                HEALTHY FORESTS RESTORATION ACT OF 2003



           *       *       *       *       *       *       *
TITLE I--HAZARDOUS FUEL REDUCTION ON FEDERAL LAND

           *       *       *       *       *       *       *


SEC. 103. PRIORITIZATION.

  (a) In General.--In accordance with the Implementation Plan, 
the Secretary shall develop an annual program of work for 
Federal land that gives priority to authorized hazardous fuel 
reduction projects that provide for the protection of at-risk 
communities or watersheds or that implement community wildfire 
protection plans.
  (b) Collaboration.--
          (1) In general.--The Secretary shall consider 
        recommendations under subsection (a) that are made by 
        at-risk communities that have developed community 
        wildfire protection plans.
          (2) Exemption.--The Federal Advisory Committee Act (5 
        U.S.C. App.) shall not apply to the planning process 
        and recommendations concerning community wildfire 
        protection plans.
  (c) Administration.--
          (1) In general.--Federal agency involvement in 
        developing a community wildfire protection plan, or a 
        recommendation made in a community wildfire protection 
        plan, shall not be considered a Federal agency action 
        under the National Environmental Policy Act of 1969 (42 
        U.S.C. 4321 et seq.).
          (2) Compliance.--In implementing authorized hazardous 
        fuel reduction projects on Federal land, the Secretary 
        shall, in accordance with section 104, comply with the 
        National Environmental Policy Act of 1969 (42 U.S.C. 
        4321 et seq.).
  (d) Funding Allocation.--
          (1) Federal land.--
                  (A) In general.--Subject to subparagraph (B), 
                the Secretary shall use not less than 50 
                percent of the funds allocated for authorized 
                hazardous fuel reduction projects in the 
                wildland-urban interface.
                  (B) Applicability and allocation.--The 
                funding allocation in subparagraph (A) shall 
                apply at the national level. The Secretary may 
                allocate the proportion of funds differently 
                than is required under subparagraph (A) within 
                individual management units as appropriate, in 
                particular to conduct authorized hazardous fuel 
                reduction projects on land described in section 
                102(a)(4).
                  (C) Wildland-urban interface.--In the case of 
                an authorized hazardous fuel reduction project 
                for which a decision notice is issued during 
                the 1-year period beginning on the date of 
                enactment of this Act, the Secretary shall use 
                existing definitions of the term ``wildland-
                urban interface'' rather than the definition of 
                that term provided under section 101.
          (2) Non-federal land.--
                  (A) In general.--In providing financial 
                assistance under any provision of law for 
                hazardous fuel reduction projects on non-
                Federal land, the Secretary shall consider 
                recommendations made by at-risk communities 
                that have developed community wildfire 
                protection plans.
                  (B) Priority.--In allocating funding under 
                this paragraph, the Secretary should, to the 
                maximum extent practicable, give priority to 
                communities that have adopted a community 
                wildfire protection plan or have taken 
                proactive measures to encourage willing 
                property owners to reduce fire risk on private 
                property.
          (3) Cross-boundary considerations.--For any fiscal 
        year for which the amount appropriated to the Secretary 
        for hazardous fuels reduction is in excess of 
        $300,000,000, the Secretary--
                  (A) is encouraged to use the excess amounts 
                for hazardous fuels reduction projects that 
                incorporate cross-boundary treatments of 
                landscapes on Federal land and non-Federal 
                land; and
                  (B) may use the excess amounts to support 
                authorized hazardous fuels reduction projects 
                on non-Federal lands through grants to State 
                Foresters, or equivalent State officials, in 
                accordance with subsection (e) in an amount 
                equal to the greater of--
                          (i) 20 percent of the excess amount; 
                        and
                          (ii) $20,000,000.
  (e) Cross-Boundary Fuels Reduction Projects.--
          (1) In general.--To the maximum extent practicable, 
        the Secretary shall use the excess funds described in 
        subsection (d)(3) to support hazardous fuels reduction 
        projects that incorporate treatments for hazardous 
        fuels reduction in landscapes across ownership 
        boundaries on Federal, State, county, or Tribal land, 
        private land, and other non-Federal land, particularly 
        in areas identified as priorities in applicable State-
        wide forest resource assessments or strategies under 
        section 2A(a) of the Cooperative Forestry Assistance 
        Act of 1978 (16 U.S.C. 2101a(a)), as mutually agreed to 
        by the State Forester and the Regional Forester.
          (2) Land treatments.--To conduct and fund treatments 
        for projects that include Federal and non-Federal land, 
        the Secretary may--
                  (A) use the authorities of the Secretary 
                relating to cooperation and technical and 
                financial assistance, including the good 
                neighbor authority under--
                          (i) section 8206 of the Agricultural 
                        Act of 2014 (16 U.S.C. 2113a); and
                          (ii) section 331 of the Department of 
                        the Interior and Related Agencies 
                        Appropriations Act, 2001 (16 U.S.C. 
                        1011 note; Public Law 106-291); and
                  (B) allocate excess funds under subsection 
                (d)(3) for projects carried out pursuant to 
                section 8206 of the Agricultural Act of 2014 
                (16 U.S.C. 2113a).
          (3) Cooperation.--In carrying out this subsection, 
        the State Forester, in consultation with the Secretary 
        (or a designee)--
                  (A) shall consult with the owners of State, 
                county, Tribal, and private land and other non-
                Federal land with respect to hazardous fuels 
                reduction projects; and
                  (B) shall not implement any project on non-
                Federal land without the consent of the owner 
                of the non-Federal land.
          (4) Existing laws.--Regardless of the individual or 
        entity implementing a project on non-Federal land under 
        this subsection, only the laws and regulations that 
        apply to non-Federal land shall be applicable with 
        respect to the project.

           *       *       *       *       *       *       *


                TITLE V--HEALTHY FORESTS RESERVE PROGRAM

SEC. 501. ESTABLISHMENT OF HEALTHY FORESTS RESERVE PROGRAM.

  (a) Establishment.--The Secretary of Agriculture shall 
establish the healthy forests reserve program for the purpose 
of restoring and enhancing forest ecosystems--
          (1) to promote the recovery of threatened and 
        endangered species;
          (2) to improve biodiversity; [and]
          (3) to conserve forest land that provides habitat for 
        species described in section 502(b)(1); and
          [(3)] (4) to enhance carbon sequestration.
  (b) Coordination.--The Secretary of Agriculture shall carry 
out the healthy forests reserve program in coordination with 
the Secretary of the Interior and the Secretary of Commerce.

SEC. 502. ELIGIBILITY AND ENROLLMENT OF LANDS IN PROGRAM.

  (a) In General.--The Secretary of Agriculture, in 
coordination with the Secretary of the Interior and the 
Secretary of Commerce, shall describe and define forest 
ecosystems that are eligible for enrollment in the healthy 
forests reserve program.
  [(b) Eligibility.--To be eligible for enrollment in the 
healthy forests reserve program, land shall be--
          [(1) private land the enrollment of which will 
        restore, enhance, or otherwise measurably increase the 
        likelihood of recovery of a species listed as 
        endangered or threatened under section 4 of the 
        Endangered Species Act of 1973 (16 U.S.C. 1533); and
          [(2) private land the enrollment of which will 
        restore, enhance, or otherwise measurably improve the 
        well-being of species that--
                  [(A) are not listed as endangered or 
                threatened under section 4 of the Endangered 
                Species Act of 1973 (16 U.S.C. 1533); but
                  [(B) are candidates for such listing, State-
                listed species, or special concern species.]
  (b) Eligibility.--To be eligible for enrollment in the 
healthy forests reserve program, land shall be private forest 
land, or private land being restored to forest land, the 
enrollment of which will maintain, restore, enhance, or 
otherwise measurably--
          (1) increase the likelihood of recovery of a species 
        that is listed as endangered or threatened under 
        section 4 of the Endangered Species Act of 1973 (16 
        U.S.C. 1533); or
          (2) improve the well-being of a species that--
                  (A) is--
                          (i) not listed as endangered or 
                        threatened under such section; and
                          (ii) a candidate for such listing, a 
                        State-listed species, or a special 
                        concern species; or
                  (B) is deemed a species of greatest 
                conservation need by a State wildlife action 
                plan.
  (c) Other Considerations.--In enrolling land that satisfies 
the criteria under subsection (b), the Secretary of Agriculture 
shall give additional consideration to land the enrollment of 
which will--
          (1) improve biological diversity; [and]
          (2) conserve forest lands that provide habitat for 
        species described in subsection (b)(1); and
          [(2)] (3) increase carbon sequestration.
  (d) Enrollment by Willing Owners.--The Secretary of 
Agriculture shall enroll land in the healthy forests reserve 
program only with the consent of the owner of the land.
  (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)] (2) Acreage owned by indian tribes.--
                  (A) Definition of acreage owned by Indian 
                tribes.--In this paragraph, the term ``acreage 
                owned by Indian tribes'' includes--
                          (i) land that is held in trust by the 
                        United States for Indian tribes or 
                        individual Indians;
                          (ii) land, the title to which is held 
                        by Indian tribes or individual Indians 
                        subject to Federal restrictions against 
                        alienation or encumbrance;
                          (iii) land that is subject to rights 
                        of use, occupancy, and benefit of 
                        certain Indian tribes;
                          (iv) land that is held in fee title 
                        by an Indian tribe; or
                          (v) land that is owned by a native 
                        corporation formed under section 17 of 
                        the Act of June 18, 1934 (commonly 
                        known as the ``Indian Reorganization 
                        Act'') (25 U.S.C. 477) or section 8 of 
                        the Alaska Native Claims Settlement Act 
                        (43 U.S.C. 1607); or
                          (vi) a combination of 1 or more types 
                        of land described in clauses (i) 
                        through (v).
                  (B) Enrollment of acreage.--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--
                          (i) a 30-year contract (the value of 
                        which shall be equivalent to the value 
                        of a 30-year easement);
                          [(ii) a 10-year cost-share agreement; 
                        or
                          [(iii) any combination of the options 
                        described in clauses (i) and (ii).]
                          (ii) a 10-year, cost-share agreement;
                          (iii) a permanent easement; or
                          (iv) any combination of the options 
                        described in clauses (i) through (iii).
  (f) Enrollment Priority.--
          (1) Species.--The Secretary of Agriculture shall give 
        priority to the enrollment of land that provides the 
        greatest conservation benefit to--
                  (A) primarily, species listed as endangered 
                or threatened under section 4 of the Endangered 
                Species Act of 1973 (16 U.S.C. 1533); and
                  [(B) secondarily, species that--
                          [(i) are not listed as endangered or 
                        threatened under section 4 of the 
                        Endangered Species Act of 1973 (16 
                        U.S.C. 1533); but
                          [(ii) are candidates for such 
                        listing, State-listed species, or 
                        special concern species.]
                  (B) secondarily, species that--
                          (i) are--
                                  (I) not listed as endangered 
                                or threatened under section 4 
                                of the Endangered Species Act 
                                of 1973 (16 U.S.C. 1533); and
                                  (II) candidates for such 
                                listing, State-listed species, 
                                or special concern species; or
                          (ii) are species of greatest 
                        conservation need, as identified in 
                        State wildlife action plans.
          (2) Cost-effectiveness.--The Secretary of Agriculture 
        shall also consider the cost-effectiveness of each 
        agreement or easement, and associated restoration 
        plans, so as to maximize the environmental benefits per 
        dollar expended.

SEC. 503. RESTORATION PLANS.

  (a) In General.--Land enrolled in the healthy forests reserve 
program shall be subject to a restoration plan, to be developed 
jointly by the landowner and the Secretary of Agriculture, in 
coordination with the [Secretary of Interior] Secretary of the 
Interior.
  [(b) Practices.--The restoration plan shall require such 
restoration practices as are necessary to restore and enhance 
habitat for--
          [(1) species listed as endangered or threatened under 
        section 4 of the Endangered Species Act of 1973 (16 
        U.S.C. 1533); and
          [(2) animal or plant species before the species reach 
        threatened or endangered status, such as candidate, 
        State-listed species, and special concern species.]
  (b) Practices.--The restoration plan shall require such 
restoration practices and measures, as are necessary to restore 
and enhance habitat for species described in section 502(b), 
including the following:
          (1) Land management practices.
          (2) Vegetative treatments.
          (3) Structural practices and measures.
          (4) Other practices and measures.

           *       *       *       *       *       *       *


SEC. 508. FUNDING.

  (a) Fiscal Years 2009 through 2013.--Of the funds of the 
Commodity Credit Corporation, the Secretary of Agriculture 
shall make available $9,750,000 for each of fiscal years 2009 
through 2012 to carry out this title.
  (b)  [Fiscal Years 2014 through 2018] Authorization of 
Appropriations.--There is authorized to be appropriated to the 
Secretary of Agriculture to carry out this section $12,000,000 
for each of fiscal years 2014 through [2018] 2023.
  (c) Additional Source of Funds.--In addition to funds 
appropriated pursuant to the authorization of appropriations in 
subsection (b) for a fiscal year, the Secretary may use such 
amount of the funds appropriated for that fiscal year to carry 
out the Soil Conservation and Domestic Allotment Act (16 U.S.C. 
590a et seq.) as the Secretary determines necessary to cover 
the cost of technical assistance, management, and enforcement 
responsibilities for land enrolled in the healthy forests 
reserve program pursuant to subsections (a) and (b) of section 
504.
  (d) Duration of Availability.--The funds made available under 
subsection (a) shall remain available until expended.

TITLE VI--MISCELLANEOUS

           *       *       *       *       *       *       *


SEC. 602. DESIGNATION OF TREATMENT AREAS.

  (a) Definition of Declining Forest Health.--In this section, 
the term ``declining forest health'' means a forest that is 
experiencing--
          (1) substantially increased tree mortality due to 
        insect or disease infestation; or
          (2) dieback due to infestation or defoliation by 
        insects or disease.
  (b) Designation of Treatment Areas.--
          (1) Initial areas.--Not later than 60 days after the 
        date of enactment of the Agricultural Act of 2014, the 
        Secretary shall, if requested by the Governor of the 
        State, designate as part of an insect and disease 
        treatment program 1 or more landscape-scale areas, such 
        as subwatersheds (sixth-level hydrologic units, 
        according to the System of Hydrologic Unit Codes of the 
        United States Geological Survey), in at least 1 
        national forest in each State that is experiencing an 
        insect or disease epidemic.
          (2) Additional areas.--After the end of the 60-day 
        period described in paragraph (1), the Secretary may 
        designate additional landscape-scale areas under this 
        section as needed to address insect or disease threats.
  (c) Requirements.--To be designated a landscape-scale area 
under subsection (b), the area shall be--
          (1) experiencing declining forest health, based on 
        annual forest health surveys conducted by the 
        Secretary;
          (2) at risk of experiencing substantially increased 
        tree mortality over the next 15 years due to insect or 
        disease infestation, based on the most recent National 
        Insect and Disease Risk Map published by the Forest 
        Service; or
          (3) in an area in which the risk of hazard trees 
        poses an imminent risk to public infrastructure, 
        health, or safety.
  (d) Treatment of Areas.--
          (1) In general.--The Secretary may carry out priority 
        projects on Federal land in the areas designated under 
        [subsection (b) to reduce the risk or extent of, or 
        increase the resilience to, insect or disease 
        infestation in the areas.] subsection (b)--
                  (A) to reduce the risk or extent of, or 
                increase the resilience to, insect or disease 
                infestation; or 
                  (B) to reduce hazardous fuels. 
          (2) Authority.--Any project under paragraph (1) [for 
        which a public notice to initiate scoping is issued on 
        or before September 30, 2018,] may be carried out in 
        accordance with subsections (b), (c), and (d) of 
        section 102, and sections 104, 105, and 106.
          (3) Effect.--Projects carried out under this 
        subsection shall be considered authorized hazardous 
        fuel reduction projects for purposes of the authorities 
        described in paragraph (2).
          (4) Report.--
                  (A) In general.--In accordance with the 
                schedule described in subparagraph (B), the 
                Secretary shall issue 2 reports on actions 
                taken to carry out this subsection, including--
                          (i) an evaluation of the progress 
                        towards project goals; and
                          (ii) recommendations for 
                        modifications to the projects and 
                        management treatments.
                  (B) Schedule.--The Secretary shall--
                          (i) not earlier than September 30, 
                        2018, issue the initial report under 
                        subparagraph (A); and
                          (ii) not earlier than September 30, 
                        2024, issue the second report under 
                        that subparagraph.
  (e) Tree Retention.--The Secretary shall carry out projects 
under subsection (d) in a manner that maximizes the retention 
of old-growth and large trees, as appropriate for the forest 
type, to the extent that the trees promote stands that are 
resilient to insects and disease.
  (f) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $200,000,000 for each 
of fiscal years 2014 through 2024.

SEC. 603. ADMINISTRATIVE REVIEW.

  (a) In General.--Except as provided in subsection (d), a 
project described in subsection (b) that is conducted [in 
accordance with section 602(d)] in accordance with section 
602(d)(1) may be--
          (1) considered an action categorically excluded from 
        the requirements of Public Law 91-190 (42 U.S.C. 4321 
        et seq.); and
          (2) exempt from the special administrative review 
        process under section 105.
  (b) Collaborative Restoration Project.--
          (1) In general.--A project referred to in subsection 
        (a) is a project to carry out forest restoration 
        treatments that--
                  (A) maximizes the retention of old-growth and 
                large trees, as appropriate for the forest 
                type, to the extent that the trees promote 
                stands that are resilient to insects and 
                disease;
                  (B) considers the best available scientific 
                information to maintain or restore the 
                ecological integrity, including maintaining or 
                restoring structure, function, composition, and 
                connectivity; and
                  (C) is developed and implemented through a 
                collaborative process that--
                          (i) includes multiple interested 
                        persons representing diverse interests; 
                        and
                          (ii)(I) is transparent and 
                        nonexclusive; or
                          (II) meets the requirements for a 
                        resource advisory committee under 
                        subsections (c) through (f) of section 
                        205 of the Secure Rural Schools and 
                        Community Self-Determination Act of 
                        2000 (16 U.S.C. 7125).
          (2) Inclusion.--A project under this subsection may 
        carry out part of a proposal that complies with the 
        eligibility requirements of the Collaborative Forest 
        Landscape Restoration Program under section 4003(b) of 
        the Omnibus Public Land Management Act of 2009 (16 
        U.S.C. 7303(b)).
  (c) Limitations.--
          (1) Project size.--A project under this section may 
        not exceed [3000] 6,000 acres.
          (2) Location.--A project under this section shall be 
        limited to areas--
                  (A) in the wildland-urban interface; or
                  (B) Condition Classes 2 or 3 in [Fire Regime 
                Groups I, II, or III] Fire Regime I, Fire 
                Regime II, Fire Regime III, Fire Regime IV, or 
                Fire Regime V, outside the wildland-urban 
                interface.
          (3) Roads.--
                  (A) Permanent roads.--
                          (i) Prohibition on establishment.--A 
                        project under this section shall not 
                        include the establishment of permanent 
                        roads.
                          (ii) Existing roads.--The Secretary 
                        may carry out necessary maintenance and 
                        repairs on existing permanent roads for 
                        the purposes of this section.
                  (B) Temporary roads.--The Secretary shall 
                decommission any temporary road constructed 
                under a project under this section not later 
                than 3 years after the date on which the 
                project is completed.
  (d) Exclusions.--This section does not apply to--
          (1) a component of the National Wilderness 
        Preservation System;
          (2) any Federal land on which, by Act of Congress or 
        Presidential proclamation, the removal of vegetation is 
        restricted or prohibited;
          (3) a congressionally designated wilderness study 
        area; or
          (4) an area in which activities under subsection (a) 
        would be inconsistent with the applicable land and 
        resource management plan.
  (e) Forest Management Plans.--All projects and activities 
carried out under this section shall be consistent with the 
land and resource management plan established under section 6 
of the Forest and Rangeland Renewable Resources Planning Act of 
1974 (16 U.S.C. 1604) for the unit of the National Forest 
System containing the projects and activities.
  (f) Public Notice and Scoping.--The Secretary shall conduct 
public notice and scoping for any project or action proposed in 
accordance with this section.
  (g) Accountability.--
          (1) In general.--The Secretary shall prepare an 
        annual report on the use of categorical exclusions 
        under this section that includes a description of all 
        acres (or other appropriate unit) treated through 
        projects carried out under this section.
          (2) Submission.--Not later than 1 year after the date 
        of enactment of this section, and each year thereafter, 
        the Secretary shall submit the reports required under 
        paragraph (1) to--
                  (A) the Committee on Agriculture, Nutrition, 
                and Forestry of the Senate;
                  (B) the Committee on Environment and Public 
                Works of the Senate;
                  (C) the Committee on Agriculture of the House 
                of Representatives;
                  (D) the Committee on Natural Resources of the 
                House of Representatives; and
                  (E) the Government Accountability Office.

           *       *       *       *       *       *       *

                              ----------                              


                     NATIONAL FOREST FOUNDATION ACT



           *       *       *       *       *       *       *
TITLE IV--FOREST FOUNDATION

           *       *       *       *       *       *       *


SEC. 405. ADMINISTRATIVE SERVICES AND SUPPORT.

  (a) Startup Funds.--For purposes of assisting the Foundation 
in establishing an office and meeting initial administrative, 
project, and other startup expenses, the Secretary is 
authorized to provide to the Foundation $500,000, from funds 
appropriated pursuant to section410(a), per year for the two 
years beginning October 1, 1992. Such funds shall remain 
available to the Foundation until they are expended for 
authorized purposes.
  (b) Matching Funds.--In addition to the startup funds 
provided under subsection (a) of this section, during fiscal 
years 2016 through [2018] 2023, the Secretary is authorized to 
provide matching funds for administrative and project expenses 
incurred by the Foundation as authorized by section 410(b) of 
this title including reimbursement of expenses under section 
403, not to exceed then current Federal Government per diem 
rates.
  (c) Administrative Expenses.--At any time, the Secretary may 
provide the Foundation use of Department of Agriculture 
personnel, facilities, and equipment, with partial or no 
reimbursement, with such limitations and on such terms and 
conditions as the Secretary shall establish.

           *       *       *       *       *       *       *


SEC. 410. AUTHORIZATION OF APPROPRIATIONS.

  (a) Start-Up Funds.--For the purposes of section 405 of this 
title, there are authorized to be appropriated $1,000,000.
  (b) Matching Funds.--For the purposes of section 405 of this 
title, there are authorized to be appropriated $3,000,000 for 
each of fiscal years 2016 through [2018] 2023 to the Secretary 
of Agriculture to be made available to the Foundation to match, 
on a one-for-one basis, private contributions made to the 
Foundation.

           *       *       *       *       *       *       *

                              ----------                              


   SECURE RURAL SCHOOLS AND COMMUNITY SELF-DETERMINATION ACT OF 2000



           *       *       *       *       *       *       *
               TITLE II--SPECIAL PROJECTS ON FEDERAL LAND

SEC. 201. DEFINITIONS.

   In this title:
          (1) Participating county.--The term ``participating 
        county'' means an eligible county that elects under 
        section 102(d) to expend a portion of the Federal funds 
        received under section 102 in accordance with this 
        title.
          (2) Project funds.--The term ``project funds'' means 
        all funds an eligible county elects under section 
        102(d) to reserve for expenditure in accordance with 
        this title.
          (3) Resource advisory committee.--The term ``resource 
        advisory committee'' means--
                  (A) an advisory committee established by the 
                Secretary concerned (or applicable designee (as 
                defined in section 205(c)(6))) under section 
                205; or
                  (B) an advisory committee determined by the 
                Secretary concerned (or applicable designee (as 
                defined in section 205(c)(6))) to meet the 
                requirements of section 205.
          (4) Resource management plan.--The term ``resource 
        management plan'' means--
                  (A) a land use plan prepared by the Bureau of 
                Land Management for units of the Federal land 
                described in section 3(7)(B) pursuant to 
                section 202 of the Federal Land Policy and 
                Management Act of 1976 (43 U.S.C. 1712); or
                  (B) a land and resource management plan 
                prepared by the Forest Service for units of the 
                National Forest System pursuant to section 6 of 
                the Forest and Rangeland Renewable Resources 
                Planning Act of 1974 (16 U.S.C. 1604).

           *       *       *       *       *       *       *


SEC. 204. EVALUATION AND APPROVAL OF PROJECTS BY SECRETARY CONCERNED.

  (a) Conditions for Approval of Proposed Project.--The 
Secretary concerned may make a decision to approve a project 
submitted by a resource advisory committee under section 203 
only if the proposed project satisfies each of the following 
conditions:
          (1) The project complies with all applicable Federal 
        laws (including regulations).
          (2) The project is consistent with the applicable 
        resource management plan and with any watershed or 
        subsequent plan developed pursuant to the resource 
        management plan and approved by the Secretary 
        concerned.
          (3) The project has been approved by the resource 
        advisory committee in accordance with section 205, 
        including the procedures issued under subsection (e) of 
        that section.
          (4) A project description has been submitted by the 
        resource advisory committee to the Secretary concerned 
        in accordance with section 203.
          (5) The project will improve the maintenance of 
        existing infrastructure, implement stewardship 
        objectives that enhance forest ecosystems, and restore 
        and improve land health and water quality.
  (b) Environmental Reviews.--
          (1) Request for payment by county.--The Secretary 
        concerned may request the resource advisory committee 
        submitting a proposed project to agree to the use of 
        project funds to pay for any environmental review, 
        consultation, or compliance with applicable 
        environmental laws required in connection with the 
        project.
          (2) Conduct of environmental review.--If a payment is 
        requested under paragraph (1) and the resource advisory 
        committee agrees to the expenditure of funds for this 
        purpose, the Secretary concerned shall conduct 
        environmental review, consultation, or other compliance 
        responsibilities in accordance with Federal laws 
        (including regulations).
          (3) Effect of refusal to pay.--
                  (A) In general.--If a resource advisory 
                committee does not agree to the expenditure of 
                funds under paragraph (1), the project shall be 
                deemed withdrawn from further consideration by 
                the Secretary concerned pursuant to this title.
                  (B) Effect of withdrawal.--A withdrawal under 
                subparagraph (A) shall be deemed to be a 
                rejection of the project for purposes of 
                section 207(c).
  (c) Decisions of Secretary Concerned.--
          (1) Rejection of projects.--
                  (A) In general.--A decision by the Secretary 
                concerned to reject a proposed project shall be 
                at the sole discretion of the Secretary 
                concerned.
                  (B) No administrative appeal or judicial 
                review.--Notwithstanding any other provision of 
                law, a decision by the Secretary concerned to 
                reject a proposed project shall not be subject 
                to administrative appeal or judicial review.
                  (C) Notice of rejection.--Not later than 30 
                days after the date on which the Secretary 
                concerned makes the rejection decision, the 
                Secretary concerned shall notify in writing the 
                resource advisory committee that submitted the 
                proposed project of the rejection and the 
                reasons for rejection.
          (2) Notice of project approval.--The Secretary 
        concerned shall publish in the Federal Register notice 
        of each project approved under subsection (a) if the 
        notice would be required had the project originated 
        with the Secretary.
  (d) Source and Conduct of Project.--Once the Secretary 
concerned accepts a project for review under section 203, the 
acceptance shall be deemed a Federal action for all purposes.
  (e) Implementation of Approved Projects.--
          (1) Cooperation.--Notwithstanding chapter 63 of title 
        31, United States Code, using project funds the 
        Secretary concerned may enter into contracts, grants, 
        and cooperative agreements with States and local 
        governments, private and nonprofit entities, and 
        landowners and other persons to assist the Secretary in 
        carrying out an approved project.
          (2) Best value contracting.--
                  (A) In general.--For any project involving a 
                contract authorized by paragraph (1) the 
                Secretary concerned may elect a source for 
                performance of the contract on a best value 
                basis.
                  (B) Factors.--The Secretary concerned shall 
                determine best value based on such factors as--
                          (i) the technical demands and 
                        complexity of the work to be done;
                          (ii)(I) the ecological objectives of 
                        the project; and
                          (II) the sensitivity of the resources 
                        being treated;
                          (iii) the past experience by the 
                        contractor with the type of work being 
                        done, using the type of equipment 
                        proposed for the project, and meeting 
                        or exceeding desired ecological 
                        conditions; and
                          (iv) the commitment of the contractor 
                        to hiring highly qualified workers and 
                        local residents.
  [(f) Requirements for Project Funds.--The Secretary shall 
ensure that at least 50 percent of all project funds be used 
for projects that are primarily dedicated--
          [(1) to road maintenance, decommissioning, or 
        obliteration; or
          [(2) to restoration of streams and watersheds.]
  (f) Requirements for Project Funds.--
          (1) In general.--Subject to paragraph (2), the 
        Secretary concerned shall ensure that at least 50 
        percent of the project funds reserved under section 
        102(d) by a participating county shall be available 
        only for projects that--
                  (A) include--
                          (i) the sale of timber or other 
                        forest products;
                          (ii) reduce fire risks; or
                          (iii) improve water supplies; and
                  (B) implement stewardship objectives that 
                enhance forest ecosystems or restore and 
                improve land health and water quality.
          (2) Applicability.--The requirement in paragraph (1) 
        shall apply only to project funds reserved by a 
        participating county whose boundaries include Federal 
        land that the Secretary concerned determines has been 
        subject to a timber or other forest products program 
        within 5 fiscal years before the fiscal year in which 
        the funds are reserved.

SEC. 205. RESOURCE ADVISORY COMMITTEES.

  (a) Establishment and Purpose of Resource Advisory 
Committees.--
          (1) Establishment.--The Secretary concerned (or 
        applicable designee) shall establish and maintain 
        resource advisory committees to perform the duties in 
        subsection (b), except as provided in paragraph (4).
          (2) Purpose.--The purpose of a resource advisory 
        committee shall be--
                  (A) to improve collaborative relationships; 
                and
                  (B) to provide advice and recommendations to 
                the land management agencies consistent with 
                the purposes of this title.
          (3) Access to resource advisory committees.--To 
        ensure that each unit of Federal land has access to a 
        resource advisory committee, and that there is 
        sufficient interest in participation on a committee to 
        ensure that membership can be balanced in terms of the 
        points of view represented and the functions to be 
        performed, the Secretary concerned (or applicable 
        designee) may, establish resource advisory committees 
        for part of, or 1 or more, units of Federal land.
          (4) Existing advisory committees.--
                  (A) In general.--An advisory committee that 
                meets the requirements of this section, a 
                resource advisory committee established before 
                September 29, [2018] 2023, or an advisory 
                committee determined by the Secretary concerned 
                (or applicable designee) before September 29, 
                [2018] 2023, to meet the requirements of this 
                section may be deemed by the Secretary 
                concerned (or applicable designee) to be a 
                resource advisory committee for the purposes of 
                this title.
                  (B) Charter.--A charter for a committee 
                described in subparagraph (A) that was filed on 
                or before September 29, [2018] 2023, shall be 
                considered to be filed for purposes of this 
                Act.
                  (C) Bureau of land management advisory 
                committees.--The Secretary of the Interior may 
                deem a resource advisory committee meeting the 
                requirements of subpart 1784 of part 1780 of 
                title 43, Code of Federal Regulations, as a 
                resource advisory committee for the purposes of 
                this title.
  (b) Duties.--A resource advisory committee shall--
          (1) review projects proposed under this title by 
        participating counties and other persons;
          (2) propose projects and funding to the Secretary 
        concerned under section 203;
          (3) provide early and continuous coordination with 
        appropriate land management agency officials in 
        recommending projects consistent with purposes of this 
        Act under this title;
          (4) provide frequent opportunities for citizens, 
        organizations, tribes, land management agencies, and 
        other interested parties to participate openly and 
        meaningfully, beginning at the early stages of the 
        project development process under this title;
          (5)(A) monitor projects that have been approved under 
        section 204; and
          (B) advise the designated Federal official on the 
        progress of the monitoring efforts under subparagraph 
        (A); and
          (6) make recommendations to the Secretary concerned 
        (or applicable designee) for any appropriate changes or 
        adjustments to the projects being monitored by the 
        resource advisory committee.
  (c) Appointment by the Secretary or Applicable Designee.--
          (1) Appointment and term.--
                  (A) In general.--The Secretary concerned (or 
                applicable designee), shall appoint the members 
                of resource advisory committees for a term of 4 
                years beginning on the date of appointment.
                  (B) Reappointment.--The Secretary concerned 
                (or applicable designee) may reappoint members 
                to subsequent 4-year terms.
          (2) Basic requirements.--The Secretary concerned (or 
        applicable designee) shall ensure that each resource 
        advisory committee established meets the requirements 
        of subsection (d).
          (3) Initial appointment.--Not later than 180 days 
        after the date of the enactment of this Act, the 
        Secretary concerned shall make initial appointments to 
        the resource advisory committees.
          (4) Vacancies.--The Secretary concerned (or 
        applicable designee) shall make appointments to fill 
        vacancies on any resource advisory committee as soon as 
        practicable after the vacancy has occurred.
          (5) Compensation.--Members of the resource advisory 
        committees shall not receive any compensation.
          (6) Applicable designee.--In this section, the term 
        ``applicable designee'' means--
                  (A) with respect to Federal land described in 
                section 3(7)(A), the applicable Regional 
                Forester; and
                  (B) with respect to Federal land described in 
                section 3(7)(B), the applicable Bureau of Land 
                Management State Director.
  (d) Composition of Advisory Committee.--
          (1) Number.--Each resource advisory committee shall 
        be comprised of [15 members] 9 members.
          (2) Community interests represented.--Committee 
        members shall be representative of the interests of the 
        following 3 categories:
                  (A) [5 persons] 3 persons that--
                          (i) represent organized labor or non-
                        timber forest product harvester groups;
                          (ii) represent developed outdoor 
                        recreation, off highway vehicle users, 
                        or commercial recreation activities;
                          (iii) represent--
                                  (I) energy and mineral 
                                development interests; or
                                  (II) commercial or 
                                recreational fishing interests;
                          (iv) represent the commercial timber 
                        industry; or
                          (v) hold Federal grazing or other 
                        land use permits, or represent 
                        nonindustrial private forest land 
                        owners, within the area for which the 
                        committee is organized.
                  (B) [5 persons] 3 persons that represent--
                          (i) nationally recognized 
                        environmental organizations;
                          (ii) regionally or locally recognized 
                        environmental organizations;
                          (iii) dispersed recreational 
                        activities;
                          (iv) archaeological and historical 
                        interests; or
                          (v) nationally or regionally 
                        recognized wild horse and burro 
                        interest groups, wildlife or hunting 
                        organizations, or watershed 
                        associations.
                  (C) [5 persons] 3 persons that--
                          (i) hold State elected office (or a 
                        designee);
                          (ii) hold county or local elected 
                        office;
                          (iii) represent American Indian 
                        tribes within or adjacent to the area 
                        for which the committee is organized;
                          (iv) are school officials or 
                        teachers; or
                          (v) represent the affected public at 
                        large.
          (3) Balanced representation.--In appointing committee 
        members from the 3 categories in paragraph (2), the 
        Secretary concerned (or applicable designee) shall 
        provide for balanced and broad representation from 
        within each category, consistent with the requirements 
        of paragraph (4).
          [(4) Geographic distribution.--The members of a 
        resource advisory committee shall reside within the 
        State in which the committee has jurisdiction and, to 
        extent practicable, the Secretary concerned shall 
        ensure local representation in each category in 
        paragraph (2).]
          (4) Geographic distribution.--The members of a 
        resource advisory committee shall reside within the 
        county or counties in which the committee has 
        jurisdiction, or an adjacent county.
          (5) Chairperson.--A majority on each resource 
        advisory committee shall select the chairperson of the 
        committee.
  (e) Approval Procedures.--
          (1) In general.--Subject to paragraph (3), each 
        resource advisory committee shall establish procedures 
        for proposing projects to the Secretary concerned under 
        this title.
          (2) Quorum.--A quorum must be present to constitute 
        an official meeting of the committee.
          (3) Approval by majority of members.--A project may 
        be proposed by a resource advisory committee to the 
        Secretary concerned under section 203(a), if the 
        project has been approved by a majority of members of 
        the committee from each of the 3 categories in 
        subsection (d)(2).
  (f) Other Committee Authorities and Requirements.--
          (1) Staff assistance.--A resource advisory committee 
        may submit to the Secretary concerned (or applicable 
        designee) a request for periodic staff assistance from 
        Federal employees under the jurisdiction of the 
        Secretary (or applicable designee).
          (2) Meetings.--All meetings of a resource advisory 
        committee shall be announced at least 1 week in advance 
        in a local newspaper of record and shall be open to the 
        public.
          (3) Records.--A resource advisory committee shall 
        maintain records of the meetings of the committee and 
        make the records available for public inspection.

           *       *       *       *       *       *       *


SEC. 209. PROGRAM FOR SELF-SUSTAINING RESOURCE ADVISORY COMMITTEE 
                    PROJECTS.

  (a) RAC Program.--The Chief of the Forest Service shall 
conduct a program (to be known as the ``self-sustaining 
resource advisory committee program'' or ``RAC program'') under 
which 10 resource advisory committees will propose projects 
authorized by subsection (c) to be carried out using project 
funds reserved by a participating county under section 102(d).
  (b) Selection of Participating Resource Advisory 
Committees.--The selection of resource advisory committees to 
participate in the RAC program is in the sole discretion of the 
Chief of the Forest Service.
  (c) Authorized Projects.--Notwithstanding the project 
purposes specified in sections 202(b), 203(c), and 204(a)(5), 
projects under the RAC program are intended to--
          (1) accomplish forest management objectives or 
        support community development; and
          (2) generate receipts.
  (d) Deposit and Availability of Revenues.--Any revenue 
generated by a project conducted under the RAC program, 
including any interest accrued from the revenues, shall be--
          (1) deposited in the special account in the Treasury 
        established under section 102(d)(2)(A); and
          (2) available, in such amounts as may be provided in 
        advance in appropriation Acts, for additional projects 
        under the RAC program.
  (e) Termination of Authority.--
          (1) In general.--The authority to initiate a project 
        under the RAC program shall terminate on September 30, 
        2023.
          (2) Deposits in treasury.--Any funds available for 
        projects under the RAC program and not obligated by 
        September 30, 2024, shall be deposited in the Treasury 
        of the United States.

           *       *       *       *       *       *       *


TITLE IV--MISCELLANEOUS PROVISIONS

           *       *       *       *       *       *       *


SEC. 403. TREATMENT OF FUNDS AND REVENUES.

  (a) Relation to Other Appropriations.--Funds made available 
under section 402 and funds made available to a Secretary 
concerned under section 206 shall be in addition to any other 
annual appropriations for the Forest Service and the Bureau of 
Land Management.
  (b) Deposit of Revenues and Other Funds.--[All revenues] 
Except as provided in section 209, all revenues generated from 
projects pursuant to title II, including any interest accrued 
from the revenues, shall be deposited in the Treasury of the 
United States.

           *       *       *       *       *       *       *

                              ----------                              


                  TRIBAL FOREST PROTECTION ACT OF 2004



           *       *       *       *       *       *       *
SEC. 2. TRIBAL FOREST ASSETS PROTECTION.

  (a) Definitions.--In this section:
          (1) Federal land.--The term ``Federal land'' means--
                  (A) land of the National Forest System (as 
                defined in section 11(a) of the Forest and 
                Rangeland Renewable Resources Planning Act of 
                1974 (16 U.S.C. 1609(a))) administered by the 
                Secretary of Agriculture, acting through the 
                Chief of the Forest Service; and
                  (B) public lands (as defined in section 103 
                of the Federal Land Policy and Management Act 
                of 1976 (43 U.S.C. 1702)), the surface of which 
                is administered by the Secretary of the 
                Interior, acting through the Director of the 
                Bureau of Land Management.
          (2) Indian forest land or rangeland.--The term 
        ``Indian forest land or rangeland'' means land that--
                  (A) is held in trust by, or with a 
                restriction against alienation by, the United 
                States for an Indian tribe or a member of an 
                Indian tribe; and
                  (B)(i)(I) is Indian forest land (as defined 
                in section 304 of the National Indian Forest 
                Resources Management Act (25 U.S.C. 3103)); or
                                  (II) has a cover of grasses, 
                                brush, or any similar 
                                vegetation; or
                          (ii) formerly had a forest cover or 
                        vegetative cover that is capable of 
                        restoration.
          (3) 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).
          (4) Secretary.--The term ``Secretary'' means--
                  (A) the Secretary of Agriculture, with 
                respect to land under the jurisdiction of the 
                Forest Service; and
                  (B) the Secretary of the Interior, with 
                respect to land under the jurisdiction of the 
                Bureau of Land Management.
  (b) Authority to Protect Indian Forest Land or Rangeland.--
          (1) In general.--[Not later than 120 days after the 
        date on which an Indian tribe submits to the Secretary] 
        In response to the submission by an Indian Tribe of a 
        request to enter into an agreement or contract to carry 
        out a project to protect Indian forest land or 
        rangeland (including a project to restore Federal land 
        that borders on or is adjacent to Indian forest land or 
        rangeland) that meets the criteria described in 
        subsection (c), the Secretary may issue public notice 
        of initiation of any necessary environmental review or 
        of the potential of entering into an agreement or 
        contract with the Indian tribe pursuant to [section 347 
        of the Department of the Interior and Related Agencies 
        Appropriations Act, 1999 (16 U.S.C. 2104 note; Public 
        Law 105-277) (as amended by section 323 of the 
        Department of the Interior and Related Agencies 
        Appropriations Act, 2003 (117 Stat. 275))] section 604 
        of the Healthy Forests Restoration Act of 2003 (16 
        U.S.C. 6591c), or such other authority as appropriate, 
        under which the Indian tribe would carry out activities 
        described in paragraph (3).
          (2) Environmental analysis.--Following completion of 
        any necessary environmental analysis, the Secretary may 
        enter into an agreement or contract with the Indian 
        tribe as described in paragraph (1).
          (3) Activities.--Under an agreement or contract 
        entered into under paragraph (2), the Indian tribe may 
        carry out activities to achieve land management goals 
        for Federal land that is--
                  (A) under the jurisdiction of the Secretary; 
                and
                  (B) bordering or adjacent to the Indian 
                forest land or rangeland under the jurisdiction 
                of the Indian tribe.
          (4) Time periods for consideration.--
                  (A) Initial response.--Not later than 120 
                days after the date on which the Secretary 
                receives a Tribal request under paragraph (1), 
                the Secretary shall provide an initial response 
                to the Indian Tribe regarding--
                          (i) whether the request may meet the 
                        selection criteria described in 
                        subsection (c); and
                          (ii) the likelihood of the Secretary 
                        entering into an agreement or contract 
                        with the Indian Tribe under paragraph 
                        (2) for activities described in 
                        paragraph (3).
                  (B) Notice of denial.--Notice under 
                subsection (d) of the denial of a Tribal 
                request under paragraph (1) shall be provided 
                not later than 1 year after the date on which 
                the Secretary received the request.
                  (C) Completion.--Not later than 2 years after 
                the date on which the Secretary receives a 
                Tribal request under paragraph (1), other than 
                a Tribal request denied under subsection (d), 
                the Secretary shall--
                          (i) complete all environmental 
                        reviews necessary in connection with 
                        the agreement or contract and proposed 
                        activities under the agreement or 
                        contract; and
                          (ii) enter into the agreement or 
                        contract with the Indian Tribe under 
                        paragraph (2).
  (c) Selection Criteria.--The criteria referred to in 
subsection (b), with respect to an Indian tribe, are whether--
          (1) the Indian forest land or rangeland under the 
        jurisdiction of the Indian tribe borders on or is 
        adjacent to land under the jurisdiction of the Forest 
        Service or the Bureau of Land Management;
          (2) Forest Service or Bureau of Land Management land 
        bordering on or adjacent to the Indian forest land or 
        rangeland under the jurisdiction of the Indian tribe--
                  (A) poses a fire, disease, or other threat 
                to--
                          (i) the Indian forest land or 
                        rangeland under the jurisdiction of the 
                        Indian tribe; or
                          (ii) a tribal community; or
                  (B) is in need of land restoration 
                activities;
          (3) the agreement or contracting activities applied 
        for by the Indian tribe are not already covered by a 
        stewardship contract or other instrument that would 
        present a conflict on the subject land; and
          (4) the Forest Service or Bureau of Land Management 
        land described in the application of the Indian tribe 
        presents or involves a feature or circumstance unique 
        to that Indian tribe (including treaty rights or 
        biological, archaeological, historical, or cultural 
        circumstances).
  (d) Notice of Denial.--If the Secretary denies a tribal 
request under [subsection (b)(1), the Secretary may] paragraphs 
(1) and (4)(B) of subsection (b), the Secretary shall issue a 
notice of denial to the Indian tribe, which--
          (1) identifies the specific factors that caused, and 
        explains the reasons that support, the denial;
          (2) identifies potential courses of action for 
        overcoming specific issues that led to the denial; and
          (3) proposes a schedule of consultation with the 
        Indian tribe for the purpose of developing a strategy 
        for protecting the Indian forest land or rangeland of 
        the Indian tribe and interests of the Indian tribe in 
        Federal land.
  (e) Proposal Evaluation and Determination Factors.--In 
entering into an agreement or contract in response to a request 
of an Indian tribe under subsection (b)(1), the Secretary may--
          (1) use a best-value basis; and
          (2) give specific consideration to tribally-related 
        factors in the proposal of the Indian tribe, 
        including--
                  (A) the status of the Indian tribe as an 
                Indian tribe;
                  (B) the trust status of the Indian forest 
                land or rangeland of the Indian tribe;
                  (C) the cultural, traditional, and historical 
                affiliation of the Indian tribe with the land 
                subject to the proposal;
                  (D) the treaty rights or other reserved 
                rights of the Indian tribe relating to the land 
                subject to the proposal;
                  (E) the indigenous knowledge and skills of 
                members of the Indian tribe;
                  (F) the features of the landscape of the land 
                subject to the proposal, including watersheds 
                and vegetation types;
                  (G) the working relationships between the 
                Indian tribe and Federal agencies in 
                coordinating activities affecting the land 
                subject to the proposal; and
                  (H) the access by members of the Indian tribe 
                to the land subject to the proposal.
  (f) No Effect on Existing Authority.--Nothing in this Act--
          (1) prohibits, restricts, or otherwise adversely 
        affects the participation of any Indian tribe in 
        stewardship agreements or contracting under the 
        authority of [section 347 of the Department of the 
        Interior and Related Agencies Appropriations Act, 1999 
        (16 U.S.C. 2104 note; Public Law 105-277) (as amended 
        by section 323 of the Department of the Interior and 
        Related Agencies Appropriations Act, 2003 (117 Stat. 
        275))] section 604 of the Healthy Forests Restoration 
        Act of 2003 (16 U.S.C. 6591c) or other authority 
        invoked pursuant to this Act; or
          (2) invalidates any agreement or contract under that 
        authority.
  (g) Report.--Not later than 4 years after the date of 
enactment of this Act, the Secretary shall submit to Congress a 
report that describes the Indian tribal requests received and 
agreements or contracts that have been entered into under this 
Act

           *       *       *       *       *       *       *

                              ----------                              


   WILDFIRE SUPPRESSION FUNDING AND FOREST MANAGEMENT ACTIVITIES ACT



           *       *       *       *       *       *       *
           TITLE I--WILDFIRE AND DISASTER FUNDING ADJUSTMENT

SEC. 102. WILDFIRE AND DISASTER FUNDING ADJUSTMENT.

  (a) Section 251(b)(2) of the Balanced Budget and Emergency 
Deficit Control Act of 1985 (2 U.S.C. 901(b)(2)) is amended--
          (1) in subparagraph (D)(i), by striking subclauses 
        (I) and (II) and inserting the following--
                  ``(I) the average over the previous 10 years 
                (excluding the highest and lowest years) of the 
                sum of the funding provided for disaster relief 
                (as that term is defined on the date 
                immediately before the date of enactment of the 
                Wildfire Suppression Funding and Forest 
                Management Activities Act);
                  ``(II) notwithstanding clause (iv), starting 
                in fiscal year 2018, five percent of the total 
                appropriations provided after fiscal year 2011 
                or in the previous 10 years, whichever is less, 
                net of any rescissions of budget authority 
                enacted in the same period, with respect to 
                amounts provided for major disasters declared 
                pursuant to the Robert T. Stafford Disaster 
                Relief and Emergency Assistance Act (42 U.S.C. 
                5121 et seq.) and designated by the Congress 
                and the President as an emergency pursuant to 
                subparagraph (A)(i) of this paragraph; and
                  ``(III) the cumulative net total of the 
                unused carryover for fiscal year 2018 and all 
                subsequent fiscal years, where the unused 
                carryover for each fiscal year is calculated as 
                the sum of the amounts in subclauses (I) and 
                (II) less the enacted appropriations for that 
                fiscal year that have been designated as being 
                for disaster relief.'';
          (2) in subparagraph (D)(ii), by striking ``not later 
        than 30 days after [the date of enactment] the date of 
        the enactment of the Budget Control Act of 2011'' and 
        inserting ``not later than 30 days after the date of 
        enactment of the Wildfire Suppression Funding and 
        Forest Management Activities Act''; and
          (3) by adding at the end the following:--
                  ``(F) Wildfire suppression.--
                          ``(i) Additional new budget 
                        authority.--If, for fiscal years 2020 
                        through 2027, a bill or joint 
                        resolution making appropriations for a 
                        fiscal year is enacted that provides an 
                        amount for wildfire suppression 
                        operations in the Wildland Fire 
                        Management accounts at the Department 
                        of Agriculture or the Department of the 
                        Interior, then the adjustments for that 
                        fiscal year shall be the amount of 
                        additional new budget authority 
                        provided in that Act for wildfire 
                        suppression operations for that fiscal 
                        year, but shall not exceed--
                                  ``(I) for fiscal year 2020, 
                                $2,250,000,000;
                                  ``(II) for fiscal year 2021, 
                                $2,350,000,000;
                                  ``(III) for fiscal year 2022, 
                                $2,450,000,000;
                                  ``(IV) for fiscal year 2023, 
                                $2,550,000,000;
                                  ``(V) for fiscal year 2024, 
                                $2,650,000,000;
                                  ``(VI) for fiscal year 2025, 
                                $2,750,000,000;
                                  ``(VII) for fiscal year 2026, 
                                $2,850,000,000; and
                                  ``(VIII) for fiscal year 
                                2027, $2,950,000,000.
                          ``(ii) Definitions.--In this 
                        subparagraph:
                                  ``(I) Additional new budget 
                                authority.--The term 
                                ``additional new budget 
                                authority'' means the amount 
                                provided for a fiscal year in 
                                an appropriation Act that is in 
                                excess of the average costs for 
                                wildfire suppression operations 
                                as reported in the budget of 
                                the President submitted under 
                                section 1105(a) of title 31, 
                                United States Code, for fiscal 
                                year 2015 and are specified to 
                                pay for the costs of wildfire 
                                suppression operations in an 
                                amount not to exceed the amount 
                                specified for that fiscal year 
                                in clause (i).
                                  ``(II) Wildfire suppression 
                                operations.--The term 
                                ``wildfire suppression 
                                operations'' means the 
                                emergency and unpredictable 
                                aspects of wildland 
                                firefighting, including--
                                          ``(aa) support, 
                                        response, and emergency 
                                        stabilization 
                                        activities;
                                          ``(bb) other 
                                        emergency management 
                                        activities; and
                                          ``(cc) the funds 
                                        necessary to repay any 
                                        transfers needed for 
                                        the costs of wildfire 
                                        suppression 
                                        operations.''.
  (b) The amendment made by paragraph (1) of subsection (a) 
shall begin to apply in fiscal year 2019.

           *       *       *       *       *       *       *


    TITLE IV--EXTENSION OF SECURE RURAL SCHOOLS AND COMMUNITY SELF-
                       DETERMINATION ACT OF 2000

SEC. 401. EXTENSION OF SECURE RURAL SCHOOLS AND COMMUNITY SELF-
                    DETERMINATION ACT OF 2000

  (a) Secure payments for states and counties containing 
federal land
          (1) Full funding amount Section 3(11) of the Secure 
        Rural Schools and Community Self-Determination Act of 
        2000 (16 U.S.C. 7102(11)) is amended--
                  (A) in subparagraph (B), by striking ``and'';
                  (B) in subparagraph (C)--
                          (i) by striking ``and each fiscal 
                        year thereafter'' and inserting 
                        ``through fiscal year 2015''; and
                          (ii) by striking the period and 
                        inserting a semi-colon; and
                  (C) by adding at the end the following:
                  ``(D) for fiscal year 2017, the amount that 
                is equal to 95 percent of the full funding 
                amount for fiscal year 2015; and
                  ``(E) for fiscal year 2018 and each fiscal 
                year thereafter, the amount that is equal to 95 
                percent of the full funding amount for the 
                preceding fiscal year.''.
          (2) Secure payments
                  (A) In general Section 101 of the Secure 
                Rural Schools and Community Self-Determination 
                Act of 2000 (16 U.S.C. 7111) is amended, in 
                subsections (a) and (b), by striking ``2015'' 
                each place it appears and inserting ``2015, 
                2017, and 2018''.
                  (B) Special rule for fiscal year 2017 
                payments Section 101 of the Secure Rural 
                Schools and Community Self-Determination Act of 
                2000 (16 U.S.C. 7111) is amended by adding at 
                the end the following:
  ``(d) Special rule for fiscal year 2017 payments
          ``(1) State payment If an eligible county in a State 
        that will receive a share of the State payment for 
        fiscal year 2017 has already received, or will receive, 
        a share of the 25-percent payment for fiscal year 2017 
        distributed to the State before the date of enactment 
        of this subsection, the amount of the State payment 
        shall be reduced by the amount of the share of the 
        eligible county of the 25-percent payment.
          ``(2) County payment If an eligible county that will 
        receive a county payment for fiscal year 2017 has 
        already received a 50-percent payment for fiscal year 
        2017, the amount of the county payment shall be reduced 
        by the amount of the 50-percent payment.
          ``(3) Prompt payment Not later than 45 days after the 
        date of enactment of this subsection, the Secretary of 
        the Treasury shall make all payments under this title 
        for fiscal year 2017.''.
          (3) Payments to states and counties
                  (A) Election to receive payment amount 
                Section 102(b) of the Secure Rural Schools and 
                Community Self-Determination Act of 2000 (16 
                U.S.C. 7112(b)) is amended--
                          (i) in paragraph (1), by adding after 
                        subparagraph (C) the following:
                  ``(D) Payments for fiscal years 2017 and 2018 
                The election otherwise required by subparagraph 
                (A) shall not apply for fiscal years 2017 or 
                2018.''; and
                          (ii) in paragraph (2)--
                                  (I) in subparagraph (A), by 
                                inserting ``and for fiscal 
                                years 2017 and 2018'' after 
                                ``2015''; and
                                  (II) in subparagraph (B), by 
                                inserting ``and for fiscal 
                                years 2017 and 2018'' after 
                                ``2015''.
                  (B) Expenditure rules for eligible counties 
                Section 102(d) of the Secure Rural Schools and 
                Community Self-Determination Act of 2000 (16 
                U.S.C. 7112(d)) is amended--
                          (i) in paragraph (1), by adding after 
                        subparagraph (E) the following:
                  ``(F) Payments for fiscal years 2017 and 2018 
                The election made by an eligible county under 
                subparagraph (B), (C), or (D) for fiscal year 
                2013, or deemed to be made by the county under 
                paragraph (3)(B) for that fiscal year, shall be 
                effective for fiscal years 2017 and 2018.''; 
                and
                          (ii) in paragraph (3)--
                                  (I) in subparagraph (B)(ii), 
                                by striking ``purpose described 
                                in section 202(b)'' and 
                                inserting ``purposes described 
                                in section 202(b), section 
                                203(c), or section 204(a)(5)''; 
                                and
                                  (II) by adding after 
                                subparagraph (C) the following:
                  ``(D) Payments for fiscal years 2017 and 2018 
                This paragraph does not apply for fiscal years 
                2017 and 2018.''.
                  (C) Elections as to allocation of balance 
                Section 102(d)(1) of the Secure Rural Schools 
                and Community Self-Determination Act of 2000 
                (16 U.S.C. 7112(d)(1)) is amended--
                          (i) in subparagraph (B)(ii), by 
                        striking ``not more than 7 percent of 
                        the total share for the eligible county 
                        of the State payment or the county 
                        payment'' and inserting ``any portion 
                        of the balance''; and
                          (ii) by striking subparagraph (C) and 
                        inserting the following:
                  ``(C) Counties with major distributions In 
                the case of each eligible county to which 
                $350,000 or more is distributed for any fiscal 
                year pursuant to paragraph (1)(B) or (2)(B) of 
                subsection (a), the eligible county shall elect 
                to do 1 or more of the following with the 
                balance of any funds not expended pursuant to 
                subparagraph (A):
                          ``(i) Reserve any portion of the 
                        balance for projects in accordance with 
                        title II.
                          ``(ii) Reserve not more than 7 
                        percent of the total share for the 
                        eligible county of the State payment or 
                        the county payment for projects in 
                        accordance with title III.
                          ``(iii) Return the portion of the 
                        balance not reserved under clauses (i) 
                        and (ii) to the Treasury of the United 
                        States.''.
                  (D) Treatment as supplemental funding Section 
                102 of the Secure Rural Schools and Community 
                Self-Determination Act of 2000 (16 U.S.C. 7112) 
                is amended by adding at the end the following:
  ``(f) Treatment as supplemental funding
          ``(1) In general None of the funds made available to 
        an eligible county under this Act may be used in lieu 
        of, or to otherwise offset, a State funding source for 
        a local school, facility, or educational purpose.
          ``(2) Continuation of direct payments Payments to 
        States made under the Secure Rural Schools and 
        Community Self-Determination Act of 2000 (16 U.S.C. 
        7101 et seq.) and 25-percent payments made to States 
        and Territories under the Acts of May 23, 1908, and 
        March 1, 1911 (16 U.S.C. 500), shall continue to be 
        made as direct payments and not as Federal financial 
        assistance.''.
                  (E) Distribution of payments to eligible 
                counties Section 103(d)(2) of the Secure Rural 
                Schools and Community Self-Determination Act of 
                2000 (16 U.S.C. 7113(d)(2)) is amended by 
                striking ``2015'' and inserting ``and for 
                fiscal years 2017 and 2018''.
  (b) Continuation of authority to conduct special projects on 
federal land
          (1) Repeal of contracting pilot program Section 
        204(e) of the Secure Rural Schools and Community Self-
        Determination Act of 2000 (16 U.S.C. 7124(e)) is 
        amended by striking paragraph (3).
          (2) Resource advisory committees Section 205(a)(4) of 
        the Secure Rural Schools and Community Self-
        Determination Act of 2000 (16 U.S.C. 7125(a)(4)) is 
        amended by striking ``2012'' each place it appears and 
        inserting ``2018''.
          (3) Availability of project funds Section 207(d)(2) 
        of the Secure Rural Schools and Community Self-
        Determination Act of 2000 (16 U.S.C. 7127(d)(2)) is 
        amended by striking ``subparagraph (B)'' and inserting 
        ``subparagraph (B)(i), (B)(ii),''.
          (4) Termination of authority Section 208 of the 
        Secure Rural Schools and Community Self-Determination 
        Act of 2000 (16 U.S.C. 7128) is amended--
                  (A) in subsection (a), by striking ``2017'' 
                and inserting ``2020''; and
                  (B) in subsection (b), by striking ``2018'' 
                and inserting ``2021''.
  (c) Termination of authority Section 304 of the Secure Rural 
Schools and Community Self-Determination Act of 2000 (16 U.S.C. 
7144) is amended--
          (1) in subsection (a), by striking ``2017'' and 
        inserting ``2020''; and
          (2) in subsection (b), by striking ``2018'' and 
        inserting ``2021''.

           *       *       *       *       *       *       *

                              ----------                              


            FARMER-TO-CONSUMER DIRECT MARKETING ACT OF 1976



           *       *       *       *       *       *       *
SEC. 6. FARMERS' MARKET AND LOCAL FOOD PROMOTION PROGRAM.

  (a) Establishment.--The Secretary shall carry out a program, 
to be known as the ``Farmers' Market and Local Food Promotion 
Program'' (referred to in this section as the ``Program''), to 
make grants to eligible entities for projects to establish, 
expand, and promote direct producer-to-consumer marketing and 
assist in the development of local food business enterprises.
  (b) Program Purposes.--The purposes of the Program are to 
increase domestic consumption of and access to locally and 
regionally produced agricultural products, and to develop new 
market opportunities for farm and ranch operations serving 
local markets, by developing, improving, expanding, and 
providing outreach, training, and technical assistance to, or 
assisting in the development, improvement and expansion of--
          (1) domestic farmers' markets, roadside stands, 
        community-supported agriculture programs, agritourism 
        activities, and other direct producer-to-consumer 
        market opportunities; and
          (2) local and regional food business enterprises 
        (including those that are not direct producer-to-
        consumer markets) that process, distribute, aggregate, 
        or store locally or regionally produced food products.
  (c) Eligible Entities.--An entity shall be eligible to 
receive a grant under the Program if the entity is--
          (1) an agricultural cooperative or other agricultural 
        business entity or a producer network or association, 
        including a community supported agriculture network or 
        association;
          (2) a local government;
          (3) a nonprofit corporation;
          (4) a public benefit corporation;
          (5) an economic development corporation;
          (6) a regional farmers' market authority; or
          (7) such other entity as the Secretary may designate.
  (d) Criteria and Guidelines.--The Secretary shall establish 
criteria and guidelines for the submission, evaluation, and 
funding of proposed projects under the Program.
  (e) Priorities.--In providing grants under the Program, 
priority shall be given to applications that include projects 
that benefit underserved communities, including communities 
that--
          (1) are located in areas of concentrated poverty with 
        limited access to fresh locally or regionally grown 
        foods; and
          (2) have not received benefits from the Program in 
        the recent past.
  (f) Funds Requirements for Eligible Entities.--
          (1) Matching funds.--An entity receiving a grant 
        under this section for a project to carry out a purpose 
        described in subsection (b)(2) shall provide matching 
        funds in the form of cash or an in-kind contribution in 
        an amount equal to 25 percent of the total cost of the 
        project.
          (2) Limitation on use of funds.--An eligible entity 
        may not use a grant or other assistance provided under 
        this section for the purchase, construction, or 
        rehabilitation of a building or structure.
  (g) Funding.--
          (1) Mandatory funding.--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;
                  (C) $10,000,000 for each of fiscal years 2011 
                and 2012; and
                  (D) $30,000,000 for each of fiscal years 2014 
                through 2018.
          [(2) Fiscal year 2013.--There is authorized to be 
        appropriated to carry out this section $10,000,000 for 
        fiscal year 2013.]
          [(3)] (2) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out [this 
        section $10,000,000 for each of fiscal years 2014 
        through 2018.] this section--
                  (A) $10,000,000 for each of fiscal years 2014 
                through 2018; and 
                  (B) $30,000,000 for each of fiscal years 2019 
                through 2023. 
          [(4)] (3) Use of funds.--Of the funds made available 
        to carry out this section for a fiscal year--
                  (A) 50 percent of the funds shall be used for 
                the purposes described in subsection (b)(1); 
                and
                  (B) 50 percent of the funds shall be used for 
                the purposes described in subsection (b)(2).
          [(5)] (4) Limitation on administrative expenses.--Not 
        more than 4 percent of the total amount made available 
        to carry out this section for a fiscal year may be used 
        for administrative expenses.
          [(6)] (5) Interdepartmental coordination.--In 
        carrying out this subsection, the Secretary shall 
        ensure coordination between the various agencies to the 
        maximum extent practicable.

           *       *       *       *       *       *       *

                              ----------                              


              SPECIALTY CROPS COMPETITIVENESS ACT OF 2004



           *       *       *       *       *       *       *
             TITLE I--STATE ASSISTANCE FOR SPECIALTY CROPS

SEC. 101. SPECIALTY CROP BLOCK GRANTS.

  (a) Availability and Purpose of Grants.--Using the funds made 
available under subsection (l), the Secretary of Agriculture 
shall make grants to States for each of the fiscal years 2005 
through [2018] 2023 to be used by State departments of 
[agriculture solely to enhance the competitiveness of specialty 
crops.] agriculture to--
          (1) enhance the competitiveness of specialty crops; 
          (2) leverage efforts to market and promote specialty 
        crops; 
          (3) assist producers with research and development; 
          (4) expand availability and access to specialty 
        crops; 
          (5) address local, regional, and national challenges 
        confronting specialty crop producers; and 
          (6) other priorities as determined by the Secretary 
        in consultation with relevant State departments of 
        agriculture. 
  (b) Grants Based on Value and Acreage.--Subject to subsection 
(c), for each State whose application for a grant for a fiscal 
year that is accepted by the Secretary under subsection (f), 
the amount of the grant for that fiscal year to the State under 
this section shall bear the same ratio to the total amount made 
available under subsection (l)(1) for that fiscal year as--
          (1) the average of the most recent available value of 
        specialty crop production in the State and the acreage 
        of specialty crop production in the State, as 
        demonstrated in the most recent Census of Agriculture 
        data; bears to
          (2) the average of the most recent available value of 
        specialty crop production in all States and the acreage 
        of specialty crop production in all States, as 
        demonstrated in the most recent Census of Agriculture 
        data.
  (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
          (2) \1/3\ of 1 percent of the total amount of funding 
        made available to carry out this section for the fiscal 
        year.
  (d) Eligibility.--To be eligible to receive a grant under 
this section, a State department of agriculture shall prepare 
and submit, for approval by the Secretary of Agriculture, an 
application at such time, in such a manner, and containing such 
information as the Secretary shall require by regulation, 
including--
          (1) a State plan that meets the requirements of 
        subsection (e);
          (2) an assurance that the State will comply with the 
        requirements of the plan; and
          (3) an assurance that grant funds received under this 
        section shall supplement the expenditure of State funds 
        in support of specialty crops grown in that State, 
        rather than replace State funds.
  (e) Plan Requirements.--The State plan shall identify the 
lead agency charged with the responsibility of carrying out the 
plan and indicate how the grant funds will be utilized to 
enhance the competitiveness of specialty crops.
  (f) Review of Application.--In reviewing the application of a 
State submitted under subsection (d), the Secretary of 
Agriculture shall ensure that the State plan would carry out 
the purpose of grant program, as specified in subsection (a). 
The Secretary may accept or reject applications for a grant 
under this section.
  (g) Effect of Noncompliance.--If the Secretary of 
Agriculture, after reasonable notice to a State, finds that 
there has been a failure by the State to comply substantially 
with any provision or requirement of the State plan, the 
Secretary may disqualify, for one or more years, the State from 
receipt of future grants under this section.
  (h) Audit Requirements.--For each year that a State receives 
a grant under this section, the State shall conduct an audit of 
the expenditures of grant funds by the State. Not later than 30 
days after the completion of the audit, the State shall submit 
a copy of the audit to the Secretary of Agriculture.
  (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 obligated 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) Multistate Projects.--Not later than 180 days after the 
effective date of the Agricultural Act of 2014, the Secretary 
of Agriculture shall issue guidance for the purpose of making 
grants to multistate projects under this section for projects 
involving--
          (1) food safety;
          (2) plant pests and disease;
          (3) research;
          (4) crop-specific projects addressing common issues; 
        and
          (5) any other area that furthers the purposes of this 
        section, as determined by the Secretary.
  (k) Administration.--
          (1) Department.--The Secretary of Agriculture may not 
        use more than 3 percent of the funds made available to 
        carry out this section for a fiscal year for 
        administrative expenses.
          (2) States.--A State receiving a grant under this 
        section may not use more than 8 percent of the funds 
        received under the grant for a fiscal year for 
        administrative expenses.
          (3) Evaluation of performance.--The Secretary shall 
        enter into a cooperative agreement with relevant State 
        departments of agriculture and specialty crop industry 
        stakeholders that agree to--
                  (A) develop, in consultation with the 
                Secretary, performance measures to be used as 
                the sole means for performing an evaluation 
                under subparagraph (B); and
                  (B) periodically evaluate the performance of 
                the program established under this section.
  (l) Funding.--
           (1) In general.--Of the funds of the Commodity 
        Credit Corporation, the Secretary of Agriculture shall 
        make grants under this section, using--
                  (A) $10,000,000 for fiscal year 2008;
                  (B) $49,000,000 for fiscal year 2009;
                  (C) $55,000,000 for each of fiscal years 2010 
                through 2012;
                  (D) $72,500,000 for each of fiscal years 2014 
                through 2017; and
                  (E) $85,000,000 for fiscal year 2018 and each 
                fiscal year thereafter.
          (2) Multistate projects.--Of the funds made available 
        under paragraph (1), the Secretary may use to carry out 
        subsection (j), to remain available until expended--
                  (A) $1,000,000 for fiscal year 2014;
                  (B) $2,000,000 for fiscal year 2015;
                  (C) $3,000,000 for fiscal year 2016;
                  (D) $4,000,000 for fiscal year 2017; and
                  (E) $5,000,000 for [fiscal year 2018] each of 
                fiscal years 2018 through 2023.

           *       *       *       *       *       *       *

                              ----------                              


                      PLANT VARIETY PROTECTION ACT



           *       *       *       *       *       *       *
    TITLE II--PROTECTABILITY OF PLANT VARIETIES AND CERTIFICATES OF 
PROTECTION

           *       *       *       *       *       *       *


CHAPTER 4. PROTECTABILITY OF PLANT VARIETIES

           *       *       *       *       *       *       *


SEC. 41. DEFINITIONS AND RULES OF CONSTRUCTION

  (a) Definitions.--As used in this Act:
          (1) Asexually reproduced.--The term ``asexually 
        reproduced'' means produced by a method of plant 
        propagation using vegetative material (other than seed) 
        from a single parent, including cuttings, grafting, 
        tissue culture, and propagation by root division.
          [(1)] (2) Basic seed.--The term ``basic seed'' means 
        the seed planted to produce certified or commercial 
        seed.
          [(2)] (3) Breeder.--The term ``breeder'' means the 
        person who directs the final breeding creating a 
        variety or who discovers and develops a variety. If the 
        actions are conducted by an agent on behalf of a 
        principal, the principal, rather than the agent, shall 
        be considered the breeder. The term does not include a 
        person who redevelops or rediscovers a variety the 
        existence of which is publicly known or a matter of 
        common knowledge.
          [(3)] (4) Essentially derived variety.--
                  (A) In general.--The term ``essentially 
                derived variety'' means a variety that--
                          (i) is predominantly derived from 
                        another variety (referred to in this 
                        paragraph as the ``initial variety'') 
                        or from a variety that is predominantly 
                        derived from the initial variety, while 
                        retaining the expression of the 
                        essential characteristics that result 
                        from the genotype or combination of 
                        genotypes of the initial variety;
                          (ii) is clearly distinguishable from 
                        the initial variety; and
                          (iii) except for differences that 
                        result from the act of derivation, 
                        conforms to the initial variety in the 
                        expression of the essential 
                        characteristics that result from the 
                        genotype or combination of genotypes of 
                        the initial variety.
                  (B) Methods.--An essentially derived variety 
                may be obtained by the selection of a natural 
                or induced mutant or of a somaclonal variant, 
                the selection of a variant individual from 
                plants of the initial variety, backcrossing, 
                transformation by genetic engineering, or other 
                method.
          [(4)] (5) Kind.--The term ``kind'' means one or more 
        related species or subspecies singly or collectively 
        known by one common name, such as soybean, flax, or 
        radish.
          [(5)] (6) Seed.--The term ``seed'', with respect to a 
        tuber propagated variety, means the tuber or the part 
        of the tuber used for propagation.
          [(6)] (7) Sexually reproduced.--The term ``sexually 
        reproduced'' includes any production of a variety by 
        seed, but does not include the production of a variety 
        by tuber propagation.
          [(7)] (8) Tuber propagated.--The term ``tuber 
        propagated'' means propagated by a tuber or a part of a 
        tuber.
          [(8)] (9) United states.--The terms ``United States'' 
        and ``this country'' mean the United States, the 
        territories and possessions of the United States, and 
        the Commonwealth of Puerto Rico.
          [(9)] (10) Variety.--The term ``variety'' means a 
        plant grouping within a single botanical taxon of the 
        lowest known rank, that, without regard to whether the 
        conditions for plant variety protection are fully met, 
        can be defined by the expression of the characteristics 
        resulting from a given genotype or combination of 
        genotypes, distinguished from any other plant grouping 
        by the expression of at least one characteristic and 
        considered as a unit with regard to the suitability of 
        the plant grouping for being propagated unchanged. A 
        variety may be represented by seed, transplants, 
        plants, tubers, tissue culture plantlets, and other 
        matter.
  (b) Rules of construction.--For the purposes of this Act:
          (1) Sale or disposition for nonreproductive 
        purposes.--The sale or disposition, for other than 
        reproductive purposes, of harvested material produced 
        as a result of experimentation or testing of a variety 
        to ascertain the characteristics of the variety, or as 
        a by-product of increasing a variety, shall not be 
        considered to be a sale or disposition for purposes of 
        exploitation of the variety.
          (2) Sale or disposition for reproductive purposes.--
        The sale or disposition of a variety for reproductive 
        purposes shall not be considered to be a sale or 
        disposition for the purposes of exploitation of the 
        variety if the sale or disposition is done as an 
        integral part of a program of experimentation or 
        testing to ascertain the characteristics of the 
        variety, or to increase the variety on behalf of the 
        breeder or the successor in interest of the breeder.
          (3) Sale or disposition of hybrid seed.--The sale or 
        disposition of hybrid seed shall be considered to be a 
        sale or disposition of harvested material of the 
        varieties from which the seed was produced.
          (4) Application for protection or entering into a 
        register of varieties.--The filing of an application 
        for the protection or for the entering of a variety in 
        an official register of varieties, in any country, 
        shall be considered to render the variety a matter of 
        common knowledge from the date of the application, if 
        the application leads to the granting of protection or 
        to the entering of the variety in the official register 
        of varieties, as the case may be.
          (5) Distinctness.--The distinctness of one variety 
        from another may be based on one or more identifiable 
        morphological, physiological, or other characteristics 
        (including any characteristics evidenced by processing 
        or product characteristics, such as milling and baking 
        characteristics in the case of wheat) with respect to 
        which a difference in genealogy may contribute 
        evidence.
          (6) Publicly known varieties.--
                  (A) In general.--A variety that is adequately 
                described by a publication reasonably 
                considered to be a part of the public technical 
                knowledge in the United States shall be 
                considered to be publicly known and a matter of 
                common knowledge.
                  (B) Description.--A description that meets 
                the requirements of subparagraph (A) shall 
                include a disclosure of the principal 
                characteristics by which a variety is 
                distinguished.
                  (C) Other means.--A variety may become 
                publicly known and a matter of common knowledge 
                by other means.

SEC. 42. RIGHT TO PLANT VARIETY PROTECTION; PLANT VARIETIES PROTECTABLE

  (a) In General.--The breeder of any sexually reproduced [or 
tuber propagated], tuber propagated, or asexually reproduced 
plant variety (other than fungi or bacteria) who has so 
reproduced the variety, or the successor in interest of the 
breeder, shall be entitled to plant variety protection for the 
variety, subject to the conditions and requirements of this 
Act, if the variety is--
          (1) new, in the sense that, on the date of filing of 
        the application for plant variety protection, 
        propagating or harvested material of the variety has 
        not been sold or otherwise disposed of to other 
        persons, by or with the consent of the breeder, or the 
        successor in interest of the breeder, for purposes of 
        exploitation of the variety--
                  (A) in the United States, more than 1 year 
                prior to the date of filing; or
                  (B) in any area outside of the United 
                States--
                          (i) more than 4 years prior to the 
                        date of filing, except that in the case 
                        of a tuberpropagated plant variety the 
                        Secretary may waive the 4-year 
                        limitationfor a period ending 1 year 
                        after the date of enactment ofthe 
                        Federal Agriculture Improvement and 
                        Reform Act of 1996; or
                          (ii) in the case of a tree or vine, 
                        more than 6 years prior to the date of 
                        filing;
          (2) distinct, in the sense that the variety is 
        clearly distinguishable from any other variety the 
        existence of which is publicly known or a matter of 
        common knowledge at the time of the filing of the 
        application;
          (3) uniform, in the sense that any variations are 
        describable, predictable, and commercially acceptable; 
        and
          (4) stable, in the sense that the variety, when 
        reproduced, will remain unchanged with regard to the 
        essential and distinctive characteristics of the 
        variety with a reasonable degree of reliability 
        commensurate with that of varieties of the same 
        category in which the same breeding method is employed.
  (b) Multiple Applicants.--
          (1) In general.--If 2 or more applicants submit 
        applications on the same effective filing date for 
        varieties that cannot be clearly distinguished from one 
        another, but that fulfill all other requirements of 
        subsection (a), the applicant who first complies with 
        all requirements of this Act shall be entitled to a 
        certificate of plant variety protection, to the 
        exclusion of any other applicant.
          (2) Requirements completed on same date.--
                  (A) In general.--Except as provided in 
                subparagraph (B), if 2 or more applicants 
                comply with all requirements for protection on 
                the same date, a certificate shall be issued 
                for each variety.
                  (B) Varieties indistinguishable.--If the 
                varieties that are the subject of the 
                applications cannot be distinguished in any 
                manner, a single certificate shall be issued 
                jointly to the applicants.

           *       *       *       *       *       *       *


TITLE III--PLANT VARIETY PROTECTION AND RIGHTS

           *       *       *       *       *       *       *


          CHAPTER 11. INFRINGEMENT OF PLANT VARIETY PROTECTION

SEC. 111. INFRINGEMENT OF PLANT VARIETY PROTECTION.

  (a) Except as otherwise provided in this title, it shall be 
an infringement of the rights of the owner of a protected 
variety to perform without authority, any of the following acts 
in the United States, or in commerce which can be regulated by 
Congress or affecting such commerce, prior to expiration of the 
right to plant variety protection but after either the issue of 
the certificate or the distribution of a protected plant 
variety with the notice under section 127:
          (1) sell or market the protected variety, or offer it 
        or expose it for sale, deliver it, ship it, consign it, 
        exchange it, or solicit an offer to buy it, or any 
        other transfer of title or possession of it;
          (2) import the variety into, or export it from, the 
        United States;
          (3) sexually or asexually multiply, or propagate bya 
        tuber or a part of a tuber, the variety as a step in 
        marketing (for growing purposes) the variety;
          (4) use the variety in producing (as distinguished 
        from developing) a hybrid or different variety 
        therefrom;
          (5) use seed which had been marked ``Unauthorized 
        Propagation Prohibited'' or ``Unauthorized Seed 
        Multiplication Prohibited'' or progeny thereof to 
        propagate the variety;
          (6) dispense the variety to another, in a form which 
        can be propagated, without notice as to being a 
        protected variety under which it was received;
          (7) condition the variety for the purpose of 
        propagation,except to the extent that the conditioning 
        is related to theactivities permitted under section 
        113;
          (8) stock the variety for any of the purposes 
        referredto in paragraphs (1) through (7);
          (9) perform any of the foregoing acts even in 
        instances in which the variety is multiplied other than 
        sexually, except in pursuance of a valid United States 
        plant patent; or
          (10) instigate or actively induce performance of any 
        of the foregoing acts.
  (b)(1) Subject to paragraph (2), the owner of a protected 
variety may authorize the use of the variety under this section 
subject to conditions and limitations specified by the owner.
          (2) In the case of a contract between a seed producer 
        and the owner of a protected variety of lawn, turf, or 
        forage grass seed, or alfalfa or clover seed for the 
        production of seed of the protected variety, the 
        producer shall be deemed to be authorized by the owner 
        to sell such seed and to use the variety if--
          (A) the producer has fulfilled the terms of the 
        contract;
          (B) the owner refuses to take delivery of the seed or 
        refuses to pay any amounts due under the contract 
        within 30 days of the payment date specified in the 
        contract; and
          (C) after the expiration of the period specified in 
        subparagraph (B), the producer notifies the owner of 
        the producer's intent to sell the seed and unless the 
        owner fails to pay the amounts due under the contract 
        and take delivery of the seed within 30 days of such 
        notification. For the purposes of this paragraph, the 
        term ``owner'' shall include any licensee of the owner.
          (3) Paragraph (2) shall apply to contracts entered 
        into with respect to plant varieties protected under 
        this Act (7 U.S.C. 2321 et seq.) as in effect on the 
        day before the effective date of this provision as well 
        as plant varieties protected under this Act as amended 
        by the Plant Variety Protection Act Amendments of 1994.
          (4) Nothing in this subsection shall affect any other 
        rightsor remedies of producers or owners that may exist 
        under otherFederal or State laws.
  (c) This section shall apply equally to--
          (1) any variety that is essentially derived from a 
        protected variety, unless the protected variety is an 
        essentially derived variety;
          (2) any variety that is not clearly distinguishable 
        from a protected variety;
          (3) any variety whose production requires the 
        repeated use of a protected variety; and"
          (4) harvested material (including entire plants and 
        parts of plants) obtained through the unauthorized use 
        of propagating material of a protected variety, unless 
        the owner of the variety has had a reasonable 
        opportunity to exercise the rights provided under this 
        Act with respect to the propagating material.
  (d) It shall not be an infringement of the rights of the 
owner of a variety to perform any act concerning propagating 
material of any kind, or harvested material, including entire 
plants and parts of plants, of a protected variety that is sold 
or otherwise marketed with the consent of the owner in the 
United States, unless the act involves further propagation of 
the variety or involves an export of material of the variety, 
that enables the propagation of the variety, into a country 
that does not protect varieties of the plant genus or species 
to which the variety belongs, unless the exported material is 
for final consumption purposes.
  (e) It shall not be an infringement of the rights of the 
owner of a variety to perform any act done privately and for 
noncommercial purposes.
  (f) As used in this section, the term ``perform without 
authority''includes performance without authority by any State, 
anyinstrumentality of a State, and any officer or employee of a 
Stateor instrumentality of a State acting in the official 
capacity of the officer or employee. AnyState, and any such 
instrumentality, officer, or employee, shallbe subject to the 
provisions of this Act in the same manner andto the same extent 
as any nongovernmental entity.

           *       *       *       *       *       *       *


CHAPTER 12. REMEDIES FOR INFRINGEMENT OF PLANT VARIETY PROTECTION, AND 
                             OTHER ACTIONS

SEC. 128. FALSE MARKING; CEASE AND DESIST ORDERS.

  (a) Each of the following acts, if performed in connection 
with the sale, offering for sale, or advertising of sexually or 
asexually reproducible plant material or tubers or parts of 
tubers, is prohibited, and the Secretary may, if the Secretary 
determines after an opportunity for hearing that the act is 
being so performed, issue an order to cease and desist, said 
order being binding unless appealed under section 71:
          (1) Use of the words ``U.S. Protected Variety'' or 
        any word or number importing that the material is a 
        variety protected under certificate, when it is not.
          (2) Use of any wording importing that the material is 
        a variety for which an application for plant variety 
        protection is pending, when it is not.
          (3) Use of the phrase ``propagation prohibited'' or 
        similar phrase without reasonable basis, a statement of 
        this basis being promptly filed with the Secretary if 
        the phrase is used beyond testing and no application 
        has been filed. Any reasonable gasis expires one year 
        after the first sale of the variety except as justified 
        thereafter by a pending application or a certificate 
        still in force.
          (4) Failure to use the name of a variety for which 
        acertificate of protection has been issued under this 
        Act, evenafter the expiration of the certificate, 
        except that lawn, turf,or forage grass seed, or alfalfa 
        or clover seed may be soldwithout a variety name unless 
        use of the name of a varietyfor which a certificate of 
        protection has been issued underthis Act is required 
        under State law.
  (b) An one convicted of violating a binding cease and desist 
order, or of per P orming any act prohibited in subsection (a) 
of this section for the purpose of deceiving the public, shall 
be fined not more than $10,000 and not less than $500.
  (c) Anyone whose business is damaged or is likely to be 
damaged by an act prohibited in subsection (a) of this section, 
or is subjected to competition in connection with which such 
act is performed, may have remedy by civil action.

           *       *       *       *       *       *       *

                              ----------                              


                  ORGANIC FOODS PRODUCTION ACT OF 1990



           *       *       *       *       *       *       *
TITLE XXI--ORGANIC CERTIFICATION

           *       *       *       *       *       *       *


SEC. 2115. ACCREDITATION PROGRAM.

  (a) In General.--The Secretary shall establish and implement 
a program to accredit a governing State official, and any 
private person, that meets the requirements of this section as 
a certifying agent for the purpose of certifying a farm or 
handling operation as a certified organic farm or handling 
operation.
  (b) Requirements.--To be accredited as a certifying agent 
under this section, a governing State official or private 
person shall--
          (1) prepare and submit, to the Secretary, an 
        application for such accreditation;
          (2) have sufficient expertise in organic farming and 
        handling techniques as determined by the Secretary; and
          (3) comply with the requirements of this section and 
        section 2116.
  (c) Satellite Offices and Overseas Operations.--The 
Secretary--
          (1) has oversight and approval authority with respect 
        to a certifying agent accredited under this section who 
        is operating as a certifying agent in a foreign country 
        for the purpose of certifying a farm or handling 
        operation in such foreign country as a certified 
        organic farm or handling operation; and
          (2) shall require that each certifying agent that 
        intends to operate in any foreign country as described 
        in paragraph (1) is authorized by the Secretary to so 
        operate on an annual basis.
  [(c)] (d) Duration of Designation.--An accreditation made 
under this section shall be for a period of not to exceed 5 
years, as determined appropriate by the Secretary, and may be 
renewed.

           *       *       *       *       *       *       *


SEC. 2119. NATIONAL ORGANIC STANDARDS BOARD.

  (a) In General.--The Secretary shall establish a National 
Organic Standards Board (in accordance with the Federal 
Advisory Committee Act (5 U.S.C. App. 2 et seq.)) (hereafter 
referred to in this section as the ``Board'') to assist in the 
development of standards for substances to be used in organic 
production and to advise the Secretary on any other aspects of 
the implementation of this title.
  (b) Composition of Board.--The Board shall be composed of 15 
members, of which--
          (1) four shall be individuals who own or operate an 
        organic farming operation, or employees of such 
        individuals;
          (2) two shall be individuals who own or operate an 
        organic handling operation, or employees of such 
        individuals;
          (3) one shall be an individual who owns or operates a 
        retail establishment with significant trade in organic 
        products, or an employee of such individual;
          (4) three shall be individuals with expertise in 
        areas of environmental protection and resource 
        conservation;
          (5) three shall be individuals who represent public 
        interest or consumer interest groups;
          (6) one shall be an individual with expertise in the 
        fields of toxicology, ecology, or biochemistry; and
          (7) one shall be an individual who is a certifying 
        agent as identified under section 2116.
  (c) Appointment.--Not later than 180 days after the date of 
enactment of this title, the Secretary shall appoint the 
members of the Board under paragraph (1) through (6) of 
subsection (b) (and under subsection (b)(7) at an appropriate 
date after the certification of individuals as certifying 
agents under section 2116) from nominations received from 
organic certifying organizations, States, and other interested 
persons and organizations.
  (d) Term.--A member of the Board shall serve for a term of 5 
years, except that the Secretary shall appoint the original 
members of the Board for staggered terms. A member cannot serve 
consecutive terms unless such member served an original term 
that was less than 5 years.
  (e) Meetings.--The Secretary shall convene a meeting of the 
Board not later than 60 days after the appointment of its 
members and shall convene subsequent meetings on a periodic 
basis.
  (f) Compensation and Expenses.--A member of the Board shall 
serve without compensation. While away from their homes or 
regular places of business on the business of the Board, 
members of the Board may be allowed travel expenses, including 
per diem in lieu of subsistence, as is authorized under section 
5703 of title 5, United States Code, for persons employed 
intermittently in the Government service.
  (g) Chairperson.--The Board shall select a Chairperson for 
the Board.
  (h) Quorum.--A majority of the members of the Board shall 
constitute a quorum for the purpose of conducting business.
  (i) Decisive Votes.--Two-thirds of the votes cast at a 
meeting of the Board at which a quorum is present shall be 
decisive of any motion.
  (j) Other Terms and Conditions.--The Secretary shall 
authorize the Board to hire a staff director and shall detail 
staff of the Department of Agriculture or allow for the hiring 
of staff and may, subject to necessary appropriations, pay 
necessary expenses incurred by such Board in carrying out the 
provisions of this title, as determined appropriate by the 
Secretary.
  (k) Responsibilities of the Board.--
          (1) In general.--The Board shall provide 
        recommendations to the Secretary regarding the 
        implementation of this title.
          (2) National list.--The Board shall develop the 
        proposed National List or proposed amendments to the 
        National List for submission to the Secretary in 
        accordance with section 2118.
          (3) Technical advisory panels.--The Board shall 
        convene technical advisory panels to provide scientific 
        evaluation of the materials considered for inclusion in 
        the National List. Such panels may include experts in 
        agronomy, entomology, health sciences and other 
        relevant disciplines.
          (4) Special review of botanical pesticides.--The 
        Board shall, prior to the establishment of the National 
        List, review all botanical pesticides used in 
        agricultural production and consider whether any such 
        botanical pesticide should be included in the list of 
        prohibited natural substances.
          (5) Product residue testing.--The Board shall advise 
        the Secretary concerning the testing of organically 
        produced agricultural products for residues caused by 
        unavoidable residual environmental contamination.
          (6) Emergency spray programs.--The Board shall advise 
        the Secretary concerning rules for exemptions from 
        specific requirements of this title (except the 
        provisions of section 2112) with respect to 
        agricultural products produced on certified organic 
        farms if such farms are subject to a Federal or State 
        emergency pest or disease treatment program.
  (l) Requirements.--In establishing the proposed National List 
or proposed amendments to the National List, the Board shall--
          (1) review available information from the 
        Environmental Protection Agency, the National Institute 
        of Environmental Health Studies, and such other sources 
        as appropriate, concerning the potential for adverse 
        human and environmental effects of substances 
        considered for inclusion in the proposed National List;
          (2) work with manufacturers of substances considered 
        for inclusion in the proposed National List to obtain a 
        complete list of ingredients and determine whether such 
        substances contain inert materials that are 
        synthetically produced[; and];
          (3) submit to the Secretary, along with the proposed 
        National List or any proposed amendments to such list, 
        the results of the Board's evaluation [and the 
        evaluation of the technical advisory panel], the 
        evaluation of the technical advisory panel, and the 
        determinations of the task force required under 
        paragraph (4) of all substances considered for 
        inclusion in the National List[.]; and
          (4) in the case of a substance not included in the 
        National List that the Commissioner of Food and Drugs 
        has determined to be safe for use within the meaning of 
        section 201(s) of the Federal Food, Drug, and Cosmetic 
        Act (21 U.S.C. 321(s)) or the Administrator of the 
        Environmental Protection Agency has determined there is 
        a reasonable certainty that no harm will result from 
        aggregate exposure to the pesticide chemical residue, 
        including all anticipated dietary exposures and all 
        other exposures for which there is reliable 
        information, convene a task force to consult with the 
        Commissioner or Administrator (or the designees 
        thereof), as applicable, to determine if such substance 
        should be included in the National List.
  (m) Evaluation.--In evaluating substances considered for 
inclusion in the proposed National List or proposed amendment 
to the National List, the Board shall consider--
          (1) the potential of such substances for detrimental 
        chemical interactions with other materials used in 
        organic farming systems;
          (2) the toxicity and mode of action of the substance 
        and of its breakdown products or any contaminants, and 
        their persistence and areas of concentration in the 
        environment;
          (3) the probability of environmental contamination 
        during manufacture, use, misuse or disposal of such 
        substance;
          (4) the effect of the substance on human health;
          (5) the effects of the substance on biological and 
        chemical interactions in the agroecosystem, including 
        the physiological effects of the substance on soil 
        organisms (including the salt index and solubility of 
        the soil), crops and livestock;
          (6) the alternatives to using the substance in terms 
        of practices or other available materials; and
          (7) its compatibility with a system of sustainable 
        agriculture.
  [(n) Petitions.--The Board shall establish procedures under 
which persons may petition the Board for the purpose of 
evaluating substances for inclusion on the National List.]
  (n) Petitions.--
          (1) In general.--The Board shall establish procedures 
        under which persons may petition the Board for the 
        purpose of evaluating substances for inclusion on the 
        National List.
          (2) Expedited review.--The Secretary shall develop 
        procedures under which the review of a petition 
        referred to in paragraph (1) may be expedited if the 
        petition seeks to include on the National List a 
        postharvest handling substance that is related to food 
        safety or a class of such substances.
          (3) Rule of construction.--Nothing in paragraph (2) 
        shall be construed as providing that section 2118(d) 
        does not apply with respect to the inclusion of a 
        substance on the National List pursuant to such 
        paragraph.
  (o) Confidentiality.--Any confidential business information 
obtained by the Board in carrying out this section shall not be 
released to the public.

SEC. 2120. RECORDKEEPING, INVESTIGATIONS, AND ENFORCEMENT.

  (a) Recordkeeping.--
          (1) In general.--Except as otherwise provided in this 
        title, each person who sells, labels, or represents any 
        agricultural product as having been produced or handled 
        using organic methods shall make available to the 
        Secretary or the applicable governing State official, 
        on request by the Secretary or official, all records 
        associated with the agricultural product.
          (2) Certified operations.--Each producer that 
        operates a certified organic farm or certified organic 
        handling operation under this title shall maintain, for 
        a period of not less than 5 years, all records 
        concerning the production or handling of any 
        agricultural product sold or labeled as organically 
        produced under this title, including--
                  (A) a detailed history of substances applied 
                to fields or agricultural products;
                  (B) the name and address of each person who 
                applied such a substance; and
                  (C) the date, rate, and method of application 
                of each such substance.
          (3) Certifying agents.--
                  (A) Maintenance of records.--A certifying 
                agent shall maintain all records concerning the 
                activities of the certifying agent under this 
                title for a period of not less than 10 years.
                  (B) Access for Secretary.--A certifying agent 
                shall provide to the Secretary and the 
                applicable governing State official (or a 
                representative) access to all records 
                concerning the activities of the certifying 
                agent under this title.
                  (C) Transference of records.--If a private 
                person that was certified under this title is 
                dissolved or loses accreditation, all records 
                and copies of records concerning the activities 
                of the person under this title shall be--
                          (i) transferred to the Secretary; and
                          (ii) made available to the applicable 
                        governing State official.
          (4) Unlawful act.--It shall be unlawful and a 
        violation of this title for any person covered by this 
        title to fail or refuse to provide accurate information 
        (including a delay in the timely delivery of such 
        information) required by the Secretary under this 
        title.
          (5) Confidentiality.--Except as provided in section 
        2107(a)(9), or as otherwise directed by the Secretary 
        or the Attorney General for enforcement purposes, no 
        officer, employee, or agent of the United States shall 
        make available to the public any information, 
        statistic, or document obtained from, or made available 
        by, any person under this title, other than in a manner 
        that ensures that confidentiality is preserved 
        regarding--
                  (A) the identity of all relevant persons 
                (including parties to a contract); and
                  (B) proprietary business information.
  (b) Investigations.--
          (1) In general.--The Secretary may take such 
        investigative actions as the Secretary considers to be 
        necessary--
                  (A) to verify the accuracy of any information 
                reported or made available under this title; 
                and
                  (B) to determine whether a person covered by 
                this title has committed a violation of any 
                provision of this title, including an order or 
                regulation promulgated by the Secretary 
                pursuant to this title.
          (2) Specific investigative powers.--In carrying out 
        this title, the Secretary may--
                  (A) administer oaths and affirmations;
                  (B) subpoena witnesses;
                  (C) compel attendance of witnesses;
                  (D) take evidence; and
                  (E) require the production of any records 
                required to be maintained under this title that 
                are relevant to an investigation.
  (c) Violations of Title.--
          (1) Misuse of label.--Any person who knowingly sells 
        or labels a product as organic, except in accordance 
        with this title, shall be subject to a civil penalty of 
        not more than $10,000.
          (2) False statement.--Any person who makes a false 
        statement under this title to the Secretary, a 
        governing State official, or a certifying agent shall 
        be punished in accordance with section 1001 of title 
        18, United States Code.
          (3) Ineligibility.--
                  (A) In general.--Except as provided in 
                subparagraph (C), any person that carries out 
                an activity described in subparagraph (B), 
                after notice and an opportunity to be heard, 
                shall not be eligible, for the 5-year period 
                beginning on the date of the occurrence, to 
                receive a certification under this title with 
                respect to any farm or handling operation in 
                which the person has an interest.
                  (B) Description of activities.--An activity 
                referred to in subparagraph (A) is--
                          (i) making a false statement;
                          (ii) attempting to have a label 
                        indicating that an agricultural product 
                        is organically produced affixed to an 
                        agricultural product that a person 
                        knows, or should have reason to know, 
                        to have been produced or handled in a 
                        manner that is not in accordance with 
                        this title; or
                          (iii) otherwise violating the 
                        purposes of the applicable organic 
                        certification program, as determined by 
                        the Secretary.
                  (C) Waiver.--Notwithstanding subparagraph 
                (A), the Secretary may modify or waive a period 
                of ineligibility under this paragraph if the 
                Secretary determines that the modification or 
                waiver is in the best interests of the 
                applicable organic certification program 
                established under this title.
          (4) Reporting of violations.--A certifying agent 
        shall immediately report any violation of this title to 
        the Secretary or the applicable governing State 
        official.
          (5) Violations by certifying agent.--A certifying 
        agent that is a private person that violates the 
        provisions of this title or falsely or negligently 
        certifies any farming or handling operation that does 
        not meet the terms and conditions of the applicable 
        organic certification program as an organic operation, 
        as determined by the Secretary or the applicable 
        governing State official shall, after notice and an 
        opportunity to be heard--
                  (A) lose accreditation as a certifying agent 
                under this title; and
                  (B) be ineligible to be accredited as a 
                certifying agent under this title for a period 
                of not less than 3 years, beginning on the date 
                of the determination.
          (6) Effect on other law.--Nothing in this title 
        alters--
                  (A) the authority of the Secretary concerning 
                meat, poultry and egg products under--
                          (i) the Federal Meat Inspection Act 
                        (21 U.S.C. 601 et seq.);
                          (ii) the Poultry Products Inspection 
                        Act (21 U.S.C. 451 et seq.); or
                          (iii) the Egg Products Inspection Act 
                        (21 U.S.C. 1031 et seq.);
                  (B) the authority of the Secretary of Health 
                and Human Services under the Federal Food, 
                Drug, and Cosmetic Act (21 U.S.C. 301 et seq.); 
                or
                  (C) the authority of the Administrator of the 
                Environmental Protection Agency under the 
                Federal Insecticide, Fungicide, and Rodenticide 
                Act (7 U.S.C. 136 et seq.).
  (d) Collaborative Investigations and Enforcement.--
          (1) Information sharing during active 
        investigation.--In carrying out this title, all parties 
        to an active investigation (including certifying 
        agents, State organic certification programs, and the 
        national organic program) may share confidential 
        business information with Federal and State government 
        officers and employees and certifying agents involved 
        in the investigation as necessary to fully investigate 
        and enforce potential violations of this title.
          (2) Access to data documentation systems.--The 
        Secretary shall have access to available data from 
        cross-border documentation systems administered by 
        other Federal agencies, including--
                  (A) the Automated Commercial Environment 
                system of U.S. Customs and Border Protection; 
                and
                  (B) the Phytosanitary Certificate Issuance 
                and Tracking system of the Animal and Plant 
                Health Inspection Service.
          (3) Additional documentation and verification.--The 
        Secretary, acting through the Deputy Administrator of 
        the national organic program under this title, has the 
        authority, and shall grant an accredited certifying 
        agent the authority, to require producers and handlers 
        to provide additional documentation or verification 
        before granting certification under section 2104, in 
        the case of a known area of risk or when there is a 
        specific area of concern, with respect to meeting the 
        national standards for organic production established 
        under section 2105, as determined by the Secretary or 
        the certifying agent.

           *       *       *       *       *       *       *


SEC. 2122. ADMINISTRATION.

  (a) Regulations.--Not later than 540 days after the date of 
enactment of this title, the Secretary shall issue proposed 
regulations to carry out this title.
  (b) Assistance to State.--
          (1) Technical and other assistance.--The Secretary 
        shall provide technical, administrative, and National 
        Institute of Food and Agriculture assistance to assist 
        States in the implementation of an organic 
        certification program under this title.
          (2) Financial assistance.--The Secretary may provide 
        financial assistance to any State that implements an 
        organic certification program under this title.
  (c) Reporting Requirement.--Not later than March 1, 2019, and 
annually thereafter through March 1, 2023, the Secretary shall 
submit to Congress a report describing national organic program 
activities with respect to all domestic and overseas 
investigations and compliance actions taken pursuant to this 
title during the preceding year.

SEC. 2123. AUTHORIZATION OF APPROPRIATIONS.

  (a) In General.--There are authorized to be appropriated for 
each fiscal year such sums as may be necessary to carry out 
this title.
  [(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;
          [(6) $15,000,000 for each of fiscal years 2014 
        through 2018; and
          [(7) in addition to those amounts, such additional 
        sums as are necessary for fiscal year 2009 and each 
        fiscal year thereafter.
  [(c) Modernization and Technology Upgrade for National 
Organic Program.--
          [(1) In general.--The Secretary shall modernize 
        database and technology systems of the national organic 
        program.
          [(2) Funding.--Of the funds of the Commodity Credit 
        Corporation and in addition to any other funds made 
        available for that purpose, the Secretary shall make 
        available to carry out this subsection $5,000,000 for 
        fiscal year 2014, to remain available until expended.]
  (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) $15,000,000 for fiscal year 2018;
          (2) $16,500,000 for fiscal year 2019;
          (3) $18,000,000 for fiscal year 2020;
          (4) $20,000,000 for fiscal year 2021;
          (5) $22,000,000 for fiscal year 2022; and
          (6) $24,000,000 for fiscal year 2023.
  (c) Modernization and Improvement of International Trade 
Technology Systems and Data Collection.--
          (1) In general.--The Secretary shall modernize 
        international trade tracking and data collection 
        systems of the national organic program.
          (2) Activities.--In carrying out paragraph (1), the 
        Secretary shall modernize trade and transaction 
        certificates to ensure full traceability without unduly 
        hindering trade, such as through an electronic trade 
        document exchange system.
          (3) Funding.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall make available 
        $5,000,000 for fiscal year 2019 for the purposes of--
                  (A) carrying out this subsection; and
                  (B) maintaining the database and technology 
                upgrades previously carried out under this 
                subsection, as in effect on the day before the 
                date of the enactment of the Agriculture and 
                Nutrition Act of 2018.
          (4) Availability.--The amounts made available under 
        paragraph (3) are in addition to any other funds made 
        available for the purposes specified in such paragraph 
        and shall remain available until expended.

           *       *       *       *       *       *       *

                              ----------                              


          FEDERAL INSECTICIDE, FUNGICIDE, AND RODENTICIDE ACT



           *       *       *       *       *       *       *
SEC. 2. DEFINITIONS.

  For purposes of this Act--
  (a) Active Ingredient.--The term ``active ingredient'' 
means--
          (1) in the case of a pesticide other than a plant 
        regulator, defoliant, desiccant, or nitrogen 
        stabilizer, an ingredient which will prevent, destroy, 
        repel, or mitigate any pest;
          (2) in the case of a plant regulator, an ingredient 
        which, through physiological action, will accelerate or 
        retard the rate of growth or rate of maturation or 
        otherwise alter the behavior of ornamental or crop 
        plants or the product thereof;
          (3) in the case of a defoliant, an ingredient which 
        will cause the leaves or foliage to drop from a plant;
          (4) in the case of a desiccant, an ingredient which 
        will artificially accelerate the drying of plant 
        tissue; and
          (5) in the case of a nitrogen stabilizer, an 
        ingredient which will prevent or hinder the process of 
        nitrification, denitrification, ammonia volatilization, 
        or urease production through action affecting soil 
        bacteria.
  (b) Administrator.--The term ``Administrator'' means the 
Administrator of the Environmental Protection Agency.
  (c) Adulterated.--The term ``adulterated'' applies to any 
pesticide if--
          (1) its strength or purity falls below the professed 
        standard of quality as expressed on its labeling under 
        which it is sold;
          (2) any substance has been substituted wholly or in 
        part for the pesticide; or
          (3) any valuable constituent of the pesticide has 
        been wholly or in part abstracted.
  (d) Animal.--The term ``animal'' means all vertebrate and 
invertebrate species, including but not limited to man and 
other mammals, birds, fish, and shellfish.
  (e) Certified Applicator, Etc.--
          (1) Certified applicator.--The term ``certified 
        applicator'' means any individual who is certified 
        under section 11 as authorized to use or supervise the 
        use of any pesticide which is classified for restricted 
        use. Any applicator who holds or applies registered 
        pesticides, or uses dilutions of registered pesticides 
        consistent with subsection (ee), only to provide a 
        service of controlling pests without delivering any 
        unapplied pesticide to any person so served is not 
        deemed to be a seller or distributor of pesticides 
        under this Act.
          (2) Private applicator.--The term ``private 
        applicator'' means a certified applicator who uses or 
        supervises the use of any pesticide which is classified 
        for restricted use for purposes of producing any 
        agricultural commodity on property owned or rented by 
        the applicator or the applicator's employer or (if 
        applied without compensation other than trading of 
        personal services between producers of agricultural 
        commodities) on the property of another person.
          (3) Commercial applicator.--The term ``commercial 
        applicator'' means an applicator (whether or not the 
        applicator is a private applicator with respect to some 
        uses) who uses or supervises the use of any pesticide 
        which is classified for restricted use for any purpose 
        or on any property other than as provided by paragraph 
        (2).
          (4) Under the direct supervision of a certified 
        applicator.--Unless otherwise prescribed by its 
        labeling, a pesticide shall be considered to be applied 
        under the direct supervision of a certified applicator 
        if it is applied by a competent person acting under the 
        instructions and control of a certified applicator who 
        is available if and when needed, even though such 
        certified applicator is not physically present at the 
        time and place the pesticide is applied.
  (f) Defoliant.--The term ``defoliant'' means any substance or 
mixture of substances intended for causing the leaves or 
foliage to drop from a plant, with or without causing 
abscission.
  (g) Desiccant.--The term ``desiccant'' means any substance or 
mixture of substances intended for artificially accelerating 
the drying of plant tissue.
  (h) Device.--The term ``device'' means any instrument or 
contrivance (other than a firearm) which is intended for 
trapping, destroying, repelling, or mitigating any pest or any 
other form of plant or animal life (other than man and other 
than bacteria, virus, or other microorganism on or in living 
man or other living animals); but not including equipment used 
for the application of pesticides when sold separately 
therefrom.
  (i) District Court.--The term ``district court'' means a 
United States district court, the District Court of Guam, the 
District Court of the Virgin Islands, and the highest court of 
American Samoa.
  (j) Environment.--The term ``environment'' includes water, 
air, land, and all plants and man and other animals living 
therein, and the interrelationships which exist among these.
  (k) Fungus.--The term ``fungus'' means any non-chlorophyll-
bearing thallophyte (that is, any non-chlorophyll-bearing plant 
of a lower order than mosses and liverworts), as for example, 
rust, smut, mildew, mold, yeast, and bacteria, except those on 
or in living man or other animals and those on or in processed 
food, beverages, or pharmaceuticals.
  (l) Imminent Hazard.--The term ``imminent hazard'' means a 
situation which exists when the continued use of a pesticide 
during the time required for cancellation proceeding would be 
likely to result in unreasonable adverse effects on the 
environment or will involve unreasonable hazard to the survival 
of a species declared endangered by the Secretary of the 
Interior under Public Law 91-135.
  (m) Inert Ingredient.--The term ``inert ingredient'' means an 
ingredient which is not active.
  (n) Ingredient Statement.--The term ``ingredient statement'' 
means a statement which contains--
          (1) the name and percentage of each active 
        ingredient, and the total percentage of all inert 
        ingredients, in the pesticide; and
          (2) if the pesticide contains arsenic in any form, a 
        statement of the percentages of total and water soluble 
        arsenic, calculated as elementary arsenic.
  (o) Insect.--The term ``insect'' means any of the numerous 
small invertebrate animals generally having the body more or 
less obviously segmented, for the most part belonging to the 
class insecta, comprising six-legged, usually winged forms, as 
for example, beetles, bugs, bees, flies, and to other allied 
classes of arthropods whose members are wingless and usually 
have more than six legs, as for example, spiders, mites, ticks, 
centipedes, and wood lice.
  (p) Label and Labeling.--
          (1) Label.--The term ``label'' means the written, 
        printed, or graphic matter on, or attached to, the 
        pesticide or device or any of its containers or 
        wrappers.
          (2) Labeling.--The term ``labeling'' means all labels 
        and all other written, printed, or graphic matter--
                  (A) accompanying the pesticide or device at 
                any time; or
                  (B) to which reference is made on the label 
                or in literature accompanying the pesticide or 
                device, except to current official publications 
                of the Environmental Protection Agency, the 
                United States Departments of Agriculture and 
                Interior, the Department of Health and Human 
                Services, State experiment stations, State 
                agricultural colleges, and other similar 
                Federal or State institutions or agencies 
                authorized by law to conduct research in the 
                field of pesticides.
  (q) Misbranded.--
          (1) A pesticide is misbranded if--
                  (A) its labeling bears any statement, design, 
                or graphic representation relative thereto or 
                to its ingredients which is false or misleading 
                in any particular;
                  (B) it is contained in a package or other 
                container or wrapping which does not conform to 
                the standards established by the Administrator 
                pursuant to section 25(c)(3);
                  (C) it is an imitation of, or is offered for 
                sale under the name of, another pesticide;
                  (D) its label does not bear the registration 
                number assigned under section 7 to each 
                establishment in which it was produced;
                  (E) any word, statement, or other information 
                required by or under authority of this Act to 
                appear on the label or labeling is not 
                prominently placed thereon with such 
                conspicuousness (as compared with other words, 
                statements, designs, or graphic matter in the 
                labeling) and in such terms as to render it 
                likely to be read and understood by the 
                ordinary individual under customary conditions 
                of purchase and use;
                  (F) the labeling accompanying it does not 
                contain directions for use which are necessary 
                for effecting the purpose for which the product 
                is intended and if complied with, together with 
                any requirements imposed under section 3(d) of 
                this Act, are adequate to protect health and 
                the environment;
                  (G) the label does not contain a warning or 
                caution statement which may be necessary and if 
                complied with, together with any requirements 
                imposed under section 3(d) of this Act, is 
                adequate to protect health and the environment; 
                or
                  (H) in the case of a pesticide not registered 
                in accordance with section 3 of this Act and 
                intended for export, the label does not 
                contain, in words prominently placed thereon 
                with such conspicuousness (as compared with 
                other words, statements, designs, or graphic 
                matter in the labeling) as to render it likely 
                to be noted by the ordinary individual under 
                customary conditions of purchase and use, the 
                following: ``Not Registered for Use in the 
                United States of America''.
          (2) A pesticide is misbranded if--
                  (A) the label does not bear an ingredient 
                statement on that part of the immediate 
                container (and on the outside container or 
                wrapper of the retail package, if there be one, 
                through which the ingredient statement on the 
                immediate container cannot be clearly read) 
                which is presented or displayed under customary 
                conditions of purchase, except that a pesticide 
                is not misbranded under this subparagraph if--
                          (i) the size or form of the immediate 
                        container, or the outside container or 
                        wrapper of the retail package, makes it 
                        impracticable to place the ingredient 
                        statement on the part which is 
                        presented or displayed under customary 
                        conditions of purchase; and
                          (ii) the ingredient statement appears 
                        prominently on another part of the 
                        immediate container, or outside 
                        container or wrapper, permitted by the 
                        Administrator;
                  (B) the labeling does not contain a statement 
                of the use classification under which the 
                product is registered;
                  (C) there is not affixed to its container, 
                and to the outside container or wrapper of the 
                retail package, if there be one, through which 
                the required information on the immediate 
                container cannot be clearly read, a label 
                bearing--
                          (i) the name and address of the 
                        producer, registrant, or person for 
                        whom produced;
                          (ii) the name, brand, or trademark 
                        under which the pesticide is sold;
                          (iii) the net weight or measure of 
                        the content, except that the 
                        Administrator may permit reasonable 
                        variations; and
                          (iv) when required by regulation of 
                        the Administrator to effectuate the 
                        purposes of this Act, the registration 
                        number assigned to the pesticide under 
                        this Act, and the use classification; 
                        and
                  (D) the pesticide contains any substance or 
                substances in quantities highly toxic to man, 
                unless the label shall bear, in addition to any 
                other matter required by this Act--
                          (i) the skull and crossbones;
                          (ii) the word ``poison'' prominently 
                        in red on a background of distinctly 
                        contrasting color; and
                          (iii) a statement of a practical 
                        treatment (first aid or otherwise) in 
                        case of poisoning by the pesticide.
  (r) Nematode.--The term ``nematode'' means invertebrate 
animals of the phylum nemathelminthes and class nematoda, that 
is, unsegmented round worms with elongated, fusiform, or 
saclike bodies covered with cuticle, and inhabiting soil, 
water, plants, or plant parts; may also be called nemas or 
eelworms.
  (s) Person.--The term ``person'' means any individual, 
partnership, association, corporation, or any organized group 
of persons whether incorporated or not.
  (t) Pest.--The term ``pest'' means (1) any insect, rodent, 
nematode, fungus, weed, or (2) any other form of terrestrial or 
aquatic plant or animal life or virus, bacteria, or other 
micro-organism (except viruses, bacteria, or other micro-
organisms on or in living man or other living animals) which 
the Administrator declares to be a pest under section 25(c)(1).
  (u) Pesticide.--The term ``pesticide'' means (1) any 
substance or mixture of substances intended for preventing, 
destroying, repelling, or mitigating any pest, (2) any 
substance or mixture of substances intended for use as a plant 
regulator, defoliant, or desiccant, and (3) any nitrogen 
stabilizer, except that the term ``pesticide'' shall not 
include any article that is a ``new animal drug'' within the 
meaning of section 201(w) of the Federal Food, Drug, and 
Cosmetic Act (21 U.S.C. 321(w)), that has been determined by 
the Secretary of Health and Human Services not to be a new 
animal drug by a regulation establishing conditions of use for 
the article, or that is an animal feed within the meaning of 
section 201(x) of such Act (21 U.S.C. 321(x)) bearing or 
containing a new animal drug. The term ``pesticide'' does not 
include liquid chemical sterilant products (including any 
sterilant or subordinate disinfectant claims on such products) 
for use on a critical or semi-critical device, as defined in 
section 201 of the Federal Food, Drug, and Cosmetic Act (21 
U.S.C. 321). For purposes of the preceding sentence, the term 
``critical device'' includes any device which is introduced 
directly into the human body, either into or in contact with 
the bloodstream or normally sterile areas of the body and the 
term ``semi-critical device'' includes any device which 
contacts intact mucous membranes but which does not ordinarily 
penetrate the blood barrier or otherwise enter normally sterile 
areas of the body.
  (v) Plant Regulator.--The term ``plant regulator'' means any 
substance or mixture of substances intended, through 
physiological action, for accelerating or retarding the rate of 
growth or rate of maturation, or for otherwise altering the 
behavior of plants or the produce thereof, but shall not 
include substances to the extent that they are intended as 
plant nutrients, trace elements, nutritional chemicals, plant 
inoculants, and soil amendments. Also, the term ``plant 
regulator'' shall not be required to include any of such of 
those nutrient mixtures or soil amendments as are commonly 
known as vitamin-hormone horticultural products, intended for 
improvement, maintenance, survival, health, and propagation of 
plants, and as are not for pest destruction and are nontoxic, 
nonpoisonous in the undiluted packaged concentration.
  (w) Producer and Produce.--The term ``producer'' means the 
person who manufacturers, prepares, compounds, propagates, or 
processes any pesticide or device or active ingredient used in 
producing a pesticide. The term ``produce'' means to 
manufacture, prepare, compound, propagate, or process any 
pesticide or device or active ingredient used in producing a 
pesticide. The dilution by individuals of formulated pesticides 
for their own use and according to the directions on registered 
labels shall not of itself result in such individuals being 
included in the definition of ``producer'' for the purposes of 
this Act.
  (x) Protect Health and the Environment.--The terms ``protect 
health and the environment'' and ``protection of health and the 
environment'' mean protection against any unreasonable adverse 
effects on the environment.
  (y) Registrant.--The term ``registrant'' means a person who 
has registered any pesticide pursuant to the provisions of this 
Act.
  (z) Registration.--The term ``registration'' includes 
reregistration.
  [(aa) State.--The term] (aa)  State; State Lead Agency._
          (1) State._The term  ``State'' means a State, the 
        District of Columbia, the Commonwealth of Puerto Rico, 
        the Virgin Islands, Guam, the Trust Territory of the 
        Pacific Islands, and American Samoa.
          (2) State lead agency.--The term ``State lead 
        agency'' means a statewide department, agency, board, 
        bureau, or other entity in a State that is authorized 
        to regulate, in a manner consistent with section 24(a), 
        the sale or use of any federally registered pesticide 
        or device in such State.
  (bb) Unreasonable Adverse Effects on the Environment.--The 
term ``unreasonable adverse effects on the environment'' means 
(1) any unreasonable risk to man or the environment, taking 
into account the economic, social, and environmental costs and 
benefits of the use of any pesticide, or (2) a human dietary 
risk from residues that result from a use of a pesticide in or 
on any food inconsistent with the standard under section 408 of 
the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 346a). The 
Administrator shall consider the risks and benefits of public 
health pesticides separate from the risks and benefits of other 
pesticides. In weighing any regulatory action concerning a 
public health pesticide under this Act, the Administrator shall 
weigh any risks of the pesticide against the health risks such 
as the diseases transmitted by the vector to be controlled by 
the pesticide.
  (cc) Weed.--The term ``weed'' means any plant which grows 
where not wanted.
  (dd) Establishment.--The term ``establishment'' means any 
place where a pesticide or device or active ingredient used in 
producing a pesticide is produced, or held, for distribution or 
sale.
  (ee) To Use Any Registered Pesticide in a Manner Inconsistent 
With Its Labeling.--The term ``to use any registered pesticide 
in a manner inconsistent with its labeling'' means to use any 
registered pesticide in a manner not permitted by the labeling, 
except that the term shall not include (1) applying a pesticide 
at any dosage, concentration, or frequency less than that 
specified on the labeling unless the labeling specifically 
prohibits deviation from the specified dosage, concentration, 
or frequency, (2) applying a pesticide against any target pest 
not specified on the labeling if the application is to the 
crop, animal, or site specified on the labeling, unless the 
Administrator has required that the labeling specifically state 
that the pesticide may be used only for the pests specified on 
the labeling after the Administrator has determined that the 
use of the pesticide against other pests would cause an 
unreasonable adverse effect on the environment, (3) employing 
any method of application not prohibited by the labeling unless 
the labeling specifically states that the product may be 
applied only by the methods specified on the labeling, (4) 
mixing a pesticide or pesticides with a fertilizer when such 
mixture is not prohibited by the labeling, (5) any use of a 
pesticide in conformance with section 5, 18, or 24 of this Act, 
or (6) any use of a pesticide in a manner that the 
Administrator determines to be consistent with the purposes of 
this Act. After March 31, 1979, the term shall not include the 
use of a pesticide for agricultural or forestry purposes at a 
dilution less than label dosage unless before or after that 
date the Administrator issues a regulation or advisory opinion 
consistent with the study provided for in section 27(b) of the 
Federal Pesticide Act of 1978, which regulation or advisory 
opinion specifically requires the use of definite amounts of 
dilution.
  (ff) Outstanding Data Requirement.--
          (1) In general.--The term ``outstanding data 
        requirement'' means a requirement for any study, 
        information, or data that is necessary to make a 
        determination under section 3(c)(5) and which study, 
        information, or data--
                  (A) has not been submitted to the 
                Administrator; or
                  (B) if submitted to the Administrator, the 
                Administrator has determined must be 
                resubmitted because it is not valid, complete, 
                or adequate to make a determination under 
                section 3(c)(5) and the regulations and 
                guidelines issued under such section.
          (2) Factors.--In making a determination under 
        paragraph (1)(B) respecting a study, the Administrator 
        shall examine, at a minimum, relevant protocols, 
        documentation of the conduct and analysis of the study, 
        and the results of the study to determine whether the 
        study and the results of the study fulfill the data 
        requirement for which the study was submitted to the 
        Administrator.
  (gg) To Distribute or Sell.--The term ``to distribute or 
sell'' means to distribute, sell, offer for sale, hold for 
distribution, hold for sale, hold for shipment, ship, deliver 
for shipment, release for shipment, or receive and (having so 
received) deliver or offer to deliver. The term does not 
include the holding or application of registered pesticides or 
use dilutions thereof by any applicator who provides a service 
of controlling pests without delivering any unapplied pesticide 
to any person so served.
  (hh) Nitrogen Stabilizer.--The term ``nitrogen stabilizer'' 
means any substance or mixture of substances intended for 
preventing or hindering the process of nitrification, 
denitrification, ammonia volatilization, or urease production 
through action upon soil bacteria. Such term shall not 
include--
          (1) dicyandiamide;
          (2) ammonium thiosulfate; or
          (3) any substance or mixture of substances.--
                  (A) that was not registered pursuant to 
                section 3 prior to January 1, 1992; and
                  (B) that was in commercial agronomic use 
                prior to January 1, 1992, with respect to which 
                after January 1, 1992, the distributor or 
                seller of the substance or mixture has made no 
                specific claim of prevention or hindering of 
                the process of nitrification, denitrification, 
                ammonia volatilization urease production 
                regardless of the actual use or purpose for, or 
                future use or purpose for, the substance or 
                mixture.
Statements made in materials required to be submitted to any 
State legislative or regulatory authority, or required by such 
authority to be included in the labeling or other literature 
accompanying any such substance or mixture shall not be deemed 
a specific claim within the meaning of this subsection.
  (jj) Maintenance Applicator.--The term ``maintenance 
applicator'' means any individual who, in the principal course 
of such individual's employment, uses, or supervises the use 
of, a pesticide not classified for restricted use (other than a 
ready to use consumer products pesticide); for the purpose of 
providing structural pest control or lawn pest control 
including janitors, general maintenance personnel, sanitation 
personnel, and grounds maintenance personnel. The term 
``maintenance applicator'' does not include private applicators 
as defined in section 2(e)(2); individuals who use 
antimicrobial pesticides, sanitizers or disinfectants; 
individuals employed by Federal, State, and local governments 
or any political subdivisions thereof, or individuals who use 
pesticides not classified for restricted use in or around their 
homes, boats, sod farms, nurseries, greenhouses, or other 
noncommercial property.
  (kk) Service Technician.--The term ``service technician'' 
means any individual who uses or supervises the use of 
pesticides (other than a ready to use consumer products 
pesticide) for the purpose of providing structural pest control 
or lawn pest control on the property of another for a fee. The 
term ``service technician'' does not include individuals who 
use antimicrobial pesticides, sanitizers or disinfectants; or 
who otherwise apply ready to use consumer products pesticides.
  (ll) Minor Use.--The term ``minor use'' means the use of a 
pesticide on an animal, on a commercial agricultural crop or 
site, or for the protection of public health where--
          (1) the total United States acreage for the crop is 
        less than 300,000 acres, as determined by the Secretary 
        of Agriculture; or
          (2) the Administrator, in consultation with the 
        Secretary of Agriculture, determines that, based on 
        information provided by an applicant for registration 
        or a registrant, the use does not provide sufficient 
        economic incentive to support the initial registration 
        or continuing registration of a pesticide for such use 
        and--
                  (A) there are insufficient efficacious 
                alternative registered pesticides available for 
                the use;
                  (B) the alternatives to the pesticide use 
                pose greater risks to the environment or human 
                health;
                  (C) the minor use pesticide plays or will 
                play a significant part in managing pest 
                resistance; or
                  (D) the minor use pesticide plays or will 
                play a significant part in an integrated pest 
                management program.
The status as a minor use under this subsection shall continue 
as long as the Administrator has not determined that, based on 
existing data, such use may cause an unreasonable adverse 
effect on the environment and the use otherwise qualifies for 
such status.
  (mm) Antimicrobial Pesticide.--
          (1) In general.--The term ``antimicrobial pesticide'' 
        means a pesticide that--
                  (A) is intended to--
                          (i) disinfect, sanitize, reduce, or 
                        mitigate growth or development of 
                        microbiological organisms; or
                          (ii) protect inanimate objects, 
                        industrial processes or systems, 
                        surfaces, water, or other chemical 
                        substances from contamination, fouling, 
                        or deterioration caused by bacteria, 
                        viruses, fungi, protozoa, algae, or 
                        slime; and
                  (B) in the intended use is exempt from, or 
                otherwise not subject to, a tolerance under 
                section 408 of the Federal Food, Drug, and 
                Cosmetic Act (21 U.S.C. 346a and 348) or a food 
                additive regulation under section 409 of such 
                Act.
          (2) Excluded products.--The term ``antimicrobial 
        pesticide'' does not include --
                  (A) a wood preservative or antifouling paint 
                product for which a claim of pesticidal 
                activity other than or in addition to an 
                activity described in paragraph (1) is made;
                  (B) an agricultural fungicide product; or
                  (C) an aquatic herbicide product.
          (3) Included products.--The term ``antimicrobial 
        pesticide'' does include any other chemical sterilant 
        product (other than liquid chemical sterilant products 
        exempt under subsection (u)), any other disinfectant 
        product, any other industrial microbiocide product, and 
        any other preservative product that is not excluded by 
        paragraph (2).
  (nn) Public Health Pesticide.--The term ``public health 
pesticide'' means any minor use pesticide product registered 
for use and used predominantly in public health programs for 
vector control or for other recognized health protection uses, 
including the prevention or mitigation of viruses, bacteria, or 
other microorganisms (other than viruses, bacteria, or other 
microorganisms on or in living man or other living animal) that 
pose a threat to public health.
  (oo) Vector.--The term ``vector'' means any organism capable 
of transmitting the causative agent of human disease or capable 
of producing human discomfort or injury, including mosquitoes, 
flies, fleas, cockroaches, or other insects and ticks, mites, 
or rats.

SEC. 3. REGISTRATION OF PESTICIDES.

  (a) Requirement of Registration.--Except as provided by this 
Act, no person in any State may distribute or sell to any 
person any pesticide that is not registered under this Act. To 
the extent necessary to prevent unreasonable adverse effects on 
the environment, the Administrator may by regulation limit the 
distribution, sale, or use in any State of any pesticide that 
is not registered under this Act and that is not the subject of 
an experimental use permit under section 5 or an emergency 
exemption under section 18.
  (b) Exemptions.--A pesticide which is not registered with the 
Administrator may be transferred if--
          (1) the transfer is from one registered establishment 
        to another registered establishment operated by the 
        same producer solely for packaging at the second 
        establishment or for use as a constituent part of 
        another pesticide produced at the second establishment; 
        or
          (2) the transfer is pursuant to and in accordance 
        with the requirements of an experimental use permit.
  (c) Procedure for Registration.--
          (1) Statement required.--Each applicant for 
        registration of a pesticide shall file with the 
        Administrator a statement which includes--
                  (A) the name and address of the applicant and 
                of any other person whose name will appear on 
                the labeling;
                  (B) the name of the pesticide;
                  (C) a complete copy of the labeling of the 
                pesticide, a statement of all claims to be made 
                for it, and any directions for its use;
                  (D) the complete formula of the pesticide;
                  (E) a request that the pesticide be 
                classified for general use or for restricted 
                use, or for both; and
                  (F) except as otherwise provided in paragraph 
                (2)(D), if requested by the Administrator, a 
                full description of the tests made and the 
                results thereof upon which the claims are 
                based, or alternatively a citation to data that 
                appear in the public literature or that 
                previously had been submitted to the 
                Administrator and that the Administrator may 
                consider in accordance with the following 
                provisions:
                          (i) With respect to pesticides 
                        containing active ingredients that are 
                        initially registered under this Act 
                        after the date of enactment of the 
                        Federal Pesticide Act of 1978, data 
                        submitted to support the application 
                        for the original registration of the 
                        pesticide, or an application for an 
                        amendment adding any new use to the 
                        registration and that pertains solely 
                        to such new use, shall not, without the 
                        written permission of the original data 
                        submitter, be considered by the 
                        Administrator to support an application 
                        by another person during a period of 
                        ten years following the date the 
                        Administrator first registers the 
                        pesticide, except that such permission 
                        shall not be required in the case of 
                        defensive data.
                          (ii) The period of exclusive data use 
                        provided under clause (i) shall be 
                        extended 1 additional year for each 3 
                        minor uses registered after the date of 
                        enactment of this clause and within 7 
                        years of the commencement of the 
                        exclusive use period, up to a total of 
                        3 additional years for all minor uses 
                        registered by the Administrator if the 
                        Administrator, in consultation with the 
                        Secretary of Agriculture, determines 
                        that, based on information provided by 
                        an applicant for registration or a 
                        registrant, that--
                                  (I) there are insufficient 
                                efficacious alternative 
                                registered pesticides available 
                                for the use;
                                  (II) the alternatives to the 
                                minor use pesticide pose 
                                greater risks to the 
                                environment or human health;
                                  (III) the minor use pesticide 
                                plays or will play a 
                                significant part in managing 
                                pest resistance; or
                                  (IV) the minor use pesticide 
                                plays or will play a 
                                significant part in an 
                                integrated pest management 
                                program.
                        The registration of a pesticide for a 
                        minor use on a crop grouping 
                        established by the Administrator shall 
                        be considered for purposes of this 
                        clause 1 minor use for each 
                        representative crop for which data are 
                        provided in the crop grouping. Any 
                        additional exclusive use period under 
                        this clause shall be modified as 
                        appropriate or terminated if the 
                        registrant voluntarily cancels the 
                        product or deletes from the 
                        registration the minor uses which 
                        formed the basis for the extension of 
                        the additional exclusive use period or 
                        if the Administrator determines that 
                        the registrant is not actually 
                        marketing the product for such minor 
                        uses.
                          (iii) Except as otherwise provided in 
                        clause (i), with respect to data 
                        submitted after December 31, 1969, by 
                        an applicant or registrant to support 
                        an application for registration, 
                        experimental use permit, or amendment 
                        adding a new use to an existing 
                        registration, to support or maintain in 
                        effect an existing registration, or for 
                        reregistration, the Administrator may, 
                        without the permission of the original 
                        data submitter, consider any such item 
                        of data in support of an application by 
                        any other person (hereinafter in this 
                        subparagraph referred to as the 
                        ``applicant'') within the fifteen-year 
                        period following the date the data were 
                        originally submitted only if the 
                        applicant has made an offer to 
                        compensate the original data submitter 
                        and submitted such offer to the 
                        Administrator accompanied by evidence 
                        of delivery to the original data 
                        submitter of the offer. The terms and 
                        amount of compensation may be fixed by 
                        agreement between the original data 
                        submitter and the applicant, or, 
                        failing such agreement, binding 
                        arbitration under this subparagraph. 
                        If, at the end of ninety days after the 
                        date of delivery to the original data 
                        submitter of the offer to compensate, 
                        the original data submitter and the 
                        applicant have neither agreed on the 
                        amount and terms of compensation nor on 
                        a procedure for reaching an agreement 
                        on the amount and terms of 
                        compensation, either person may 
                        initiate binding arbitration 
                        proceedings by requesting the Federal 
                        Mediation and Conciliation Service to 
                        appoint an arbitrator from the roster 
                        of arbitrators maintained by such 
                        Service. The procedure and rules of the 
                        Service shall be applicable to the 
                        selection of such arbitrator and to 
                        such arbitration proceedings, and the 
                        findings and determination of the 
                        arbitrator shall be final and 
                        conclusive, and no official or court of 
                        the United States shall have power or 
                        jurisdiction to review any such 
                        findings and determination, except for 
                        fraud, misrepresentation, or other 
                        misconduct by one of the parties to the 
                        arbitration or the arbitrator where 
                        there is a verified complaint with 
                        supporting affidavits attesting to 
                        specific instances of such fraud, 
                        misrepresentation, or other misconduct. 
                        The parties to the arbitration shall 
                        share equally in the payment of the fee 
                        and expenses of the arbitrator. If the 
                        Administrator determines that an 
                        original data submitter has failed to 
                        participate in a procedure for reaching 
                        an agreement or in an arbitration 
                        proceeding as required by this 
                        subparagraph, or failed to comply with 
                        the terms of an agreement or 
                        arbitration decision concerning 
                        compensation under this subparagraph, 
                        the original data submitter shall 
                        forfeit the right to compensation for 
                        the use of the data in support of the 
                        application. Notwithstanding any other 
                        provision of this Act, if the 
                        Administrator determines that an 
                        applicant has failed to participate in 
                        a procedure for reaching an agreement 
                        or in an arbitration proceeding as 
                        required by this subparagraph, or 
                        failed to comply with the terms of an 
                        agreement or arbitration decision 
                        concerning compensation under this 
                        subparagraph, the Administrator shall 
                        deny the application or cancel the 
                        registration of the pesticide in 
                        support of which the data were used 
                        without further hearing. Before the 
                        Administrator takes action under either 
                        of the preceding two sentences, the 
                        Administrator shall furnish to the 
                        affected person, by certified mail, 
                        notice of intent to take action and 
                        allow fifteen days from the date of 
                        delivery of the notice for the affected 
                        person to respond. If a registration is 
                        denied or canceled under this 
                        subparagraph, the Administrator may 
                        make such order as the Administrator 
                        deems appropriate concerning the 
                        continued sale and use of existing 
                        stocks of such pesticide. Registration 
                        action by the Administrator shall not 
                        be delayed pending the fixing of 
                        compensation.
                          (iv) After expiration of any period 
                        of exclusive use and any period for 
                        which compensation is required for the 
                        use of an item of data under clauses 
                        (i), (ii), and (iii), the Administrator 
                        may consider such item of data in 
                        support of an application by any other 
                        applicant without the permission of the 
                        original data submitter and without an 
                        offer having been received to 
                        compensate the original data submitter 
                        for the use of such item of data.
                          (v) The period of exclusive use 
                        provided under clause (ii) shall not 
                        take effect until 1 year after 
                        enactment of this clause, except where 
                        an applicant or registrant is applying 
                        for the registration of a pesticide 
                        containing an active ingredient not 
                        previously registered.
                          (vi) With respect to data submitted 
                        after the date of enactment of this 
                        clause by an applicant or registrant to 
                        support an amendment adding a new use 
                        to an existing registration that does 
                        not retain any period of exclusive use, 
                        if such data relates solely to a minor 
                        use of a pesticide, such data shall 
                        not, without the written permission of 
                        the original data submitter, be 
                        considered by the Administrator to 
                        support an application for a minor use 
                        by another person during the period of 
                        10 years following the date of 
                        submission of such data. The applicant 
                        or registrant at the time the new minor 
                        use is requested shall notify the 
                        Administrator that to the best of their 
                        knowledge the exclusive use period for 
                        the pesticide has expired and that the 
                        data pertaining solely to the minor use 
                        of a pesticide is eligible for the 
                        provisions of this paragraph. If the 
                        minor use registration which is 
                        supported by data submitted pursuant to 
                        this subsection is voluntarily canceled 
                        or if such data are subsequently used 
                        to support a nonminor use, the data 
                        shall no longer be subject to the 
                        exclusive use provisions of this clause 
                        but shall instead be considered by the 
                        Administrator in accordance with the 
                        provisions of clause (i), as 
                        appropriate.
                  (G) If the applicant is requesting that the 
                registration or amendment to the registration 
                of a pesticide be expedited, an explanation of 
                the basis for the request must be submitted, in 
                accordance with paragraph (10) of this 
                subsection.
          (2) Data in support of registration.--
                  (A) In general.--The Administrator shall 
                publish guidelines specifying the kinds of 
                information which will be required to support 
                the registration of a pesticide and shall 
                revise such guidelines from time to time. If 
                thereafter the Administrator requires any 
                additional kind of information under 
                subparagraph (B) of this paragraph, the 
                Administrator shall permit sufficient time for 
                applicants to obtain such additional 
                information. The Administrator, in establishing 
                standards for data requirements for the 
                registration of pesticides with respect to 
                minor uses, shall make such standards 
                commensurate with the anticipated extent of 
                use, pattern of use, the public health and 
                agricultural need for such minor use, and the 
                level and degree of potential beneficial or 
                adverse effects on man and the environment. The 
                Administrator shall not require a person to 
                submit, in relation to a registration or 
                reregistration of a pesticide for minor 
                agricultural use under this Act, any field 
                residue data from a geographic area where the 
                pesticide will not be registered for such use. 
                In the development of these standards, the 
                Administrator shall consider the economic 
                factors of potential national volume of use, 
                extent of distribution, and the impact of the 
                cost of meeting the requirements on the 
                incentives for any potential registrant to 
                undertake the development of the required data. 
                Except as provided by section 10, within 30 
                days after the Administrator registers a 
                pesticide under this Act the Administrator 
                shall make available to the public the data 
                called for in the registration statement 
                together with such other scientific information 
                as the Administrator deems relevant to the 
                Administrator's decision.
                  (B) Additional data.--(i) If the 
                Administrator determines that additional data 
                are required to maintain in effect an existing 
                registration of a pesticide, the Administrator 
                shall notify all existing registrants of the 
                pesticide to which the determination relates 
                and provide a list of such registrants to any 
                interested person.
                  (ii) Each registrant of such pesticide shall 
                provide evidence within ninety days after 
                receipt of notification that it is taking 
                appropriate steps to secure the additional data 
                that are required. Two or more registrants may 
                agree to develop jointly, or to share in the 
                cost of developing, such data if they agree and 
                advise the Administrator of their intent within 
                ninety days after notification. Any registrant 
                who agrees to share in the cost of producing 
                the data shall be entitled to examine and rely 
                upon such data in support of maintenance of 
                such registration. The Administrator shall 
                issue a notice of intent to suspend the 
                registration of a pesticide in accordance with 
                the procedures prescribed by clause (iv) if a 
                registrant fails to comply with this clause.
                  (iii) If, at the end of sixty days after 
                advising the Administrator of their agreement 
                to develop jointly, or share in the cost of 
                developing data, the registrants have not 
                further agreed on the terms of the data 
                development arrangement or on a procedure for 
                reaching such agreement, any of such 
                registrants may initiate binding arbitration 
                proceedings by requesting the Federal Mediation 
                and Conciliation Service to appoint an 
                arbitrator from the roster of arbitrators 
                maintained by such Service. The procedure and 
                rules of the Service shall be applicable to the 
                selection of such arbitrator and to such 
                arbitration proceedings, and the findings and 
                determination of the arbitrator shall be final 
                and conclusive, and no official or court of the 
                United States shall have power or jurisdiction 
                to review any such findings and determination, 
                except for fraud, misrepresentation, or other 
                misconduct by one of the parties to the 
                arbitration or the arbitrator where there is a 
                verified complaint with supporting affidavits 
                attesting to specific instances of such fraud, 
                misrepresentation, or other misconduct. All 
                parties to the arbitration shall share equally 
                in the payment of the fee and expenses of the 
                arbitrator. The Administrator shall issue a 
                notice of intent to suspend the registration of 
                a pesticide in accordance with the procedures 
                prescribed by clause (iv) if a registrant fails 
                to comply with this clause.
                  (iv) Notwithstanding any other provision of 
                this Act, if the Administrator determines that 
                a registrant, within the time required by the 
                Administrator, has failed to take appropriate 
                steps to secure the data required under this 
                subparagraph, to participate in a procedure for 
                reaching agreement concerning a joint data 
                development arrangement under this subparagraph 
                or in an arbitration proceeding as required by 
                this subparagraph, or to comply with the terms 
                of an agreement or arbitration decision 
                concerning a joint data development arrangement 
                under this subparagraph, the Administrator may 
                issue a notice of intent to suspend such 
                registrant's registration of the pesticide for 
                which additional data is required. The 
                Administrator may include in the notice of 
                intent to suspend such provisions as the 
                Administrator deems appropriate concerning the 
                continued sale and use of existing stocks of 
                such pesticide. Any suspension proposed under 
                this subparagraph shall become final and 
                effective at the end of thirty days from 
                receipt by the registrant of the notice of 
                intent to suspend, unless during that time a 
                request for hearing is made by a person 
                adversely affected by the notice or the 
                registrant has satisfied the Administrator that 
                the registrant has complied fully with the 
                requirements that served as a basis for the 
                notice of intent to suspend. If a hearing is 
                requested, a hearing shall be conducted under 
                section 6(d) of this Act. The only matters for 
                resolution at that hearing shall be whether the 
                registrant has failed to take the action that 
                served as the basis for the notice of intent to 
                suspend the registration of the pesticide for 
                which additional data is required, and whether 
                the Administrator's determination with respect 
                to the disposition of existing stocks is 
                consistent with this Act. If a hearing is held, 
                a decision after completion of such hearing 
                shall be final. Notwithstanding any other 
                provision of this Act, a hearing shall be held 
                and a determination made within seventy-five 
                days after receipt of a request for such 
                hearing. Any registration suspended under this 
                subparagraph shall be reinstated by the 
                Administrator if the Administrator determines 
                that the registrant has complied fully with the 
                requirements that served as a basis for the 
                suspension of the registration.
                  (v) Any data submitted under this 
                subparagraph shall be subject to the provisions 
                of paragraph (1)(D). Whenever such data are 
                submitted jointly by two or more registrants, 
                an agent shall be agreed on at the time of the 
                joint submission to handle any subsequent data 
                compensation matters for the joint submitters 
                of such data.
                  (vi) Upon the request of a registrant the 
                Administrator shall, in the case of a minor 
                use, extend the deadline for the production of 
                residue chemistry data under this subparagraph 
                for data required solely to support that minor 
                use until the final deadline for submission of 
                data under section 4 for the other uses of the 
                pesticide established as of the date of 
                enactment of the Food Quality Protection Act of 
                1996, if--
                          (I) the data to support other uses of 
                        the pesticide on a food are being 
                        provided;
                          (II) the registrant, in submitting a 
                        request for such an extension, provides 
                        a schedule, including interim dates to 
                        measure progress, to assure that the 
                        data production will be completed 
                        before the expiration of the extension 
                        period;
                          (III) the Administrator has 
                        determined that such extension will not 
                        significantly delay the Administrator's 
                        schedule for issuing a reregistration 
                        eligibility determination required 
                        under section 4; and
                          (IV) the Administrator has determined 
                        that based on existing data, such 
                        extension would not significantly 
                        increase the risk of any unreasonable 
                        adverse effect on the environment. If 
                        the Administrator grants an extension 
                        under this clause, the Administrator 
                        shall monitor the development of the 
                        data and shall ensure that the 
                        registrant is meeting the schedule for 
                        the production of the data. If the 
                        Administrator determines that the 
                        registrant is not meeting or has not 
                        met the schedule for the production of 
                        such data, the Administrator may 
                        proceed in accordance with clause (iv) 
                        regarding the continued registration of 
                        the affected products with the minor 
                        use and shall inform the public of such 
                        action. Notwithstanding the provisions 
                        of this clause, the Administrator may 
                        take action to modify or revoke the 
                        extension under this clause if the 
                        Administrator determines that the 
                        extension for the minor use may cause 
                        an unreasonable adverse effect on the 
                        environment. In such circumstance, the 
                        Administrator shall provide, in writing 
                        to the registrant, a notice revoking 
                        the extension of time for submission of 
                        data. Such data shall instead be due in 
                        accordance with the date established by 
                        the Administrator for the submission of 
                        the data.
                  (vii) If the registrant does not commit to 
                support a specific minor use of the pesticide, 
                but is supporting and providing data in a 
                timely and adequate fashion to support uses of 
                the pesticide on a food, or if all uses of the 
                pesticide are nonfood uses and the registrant 
                does not commit to support a specific minor use 
                of the pesticide but is supporting and 
                providing data in a timely and adequate fashion 
                to support other nonfood uses of the pesticide, 
                the Administrator, at the written request of 
                the registrant, shall not take any action 
                pursuant to this clause in regard to such 
                unsupported minor use until the final deadline 
                established as of the date of enactment of the 
                Food Quality Protection Act of 1996, for the 
                submission of data under section 4 for the 
                supported uses identified pursuant to this 
                clause unless the Administrator determines that 
                the absence of the data is significant enough 
                to cause human health or environmental 
                concerns. On the basis of such determination, 
                the Administrator may refuse the request for 
                extension by the registrant. Upon receipt of 
                the request from the registrant, the 
                Administrator shall publish in the Federal 
                Register a notice of the receipt of the request 
                and the effective date upon which the uses not 
                being supported will be voluntarily deleted 
                from the registration pursuant to section 
                6(f)(1). If the Administrator grants an 
                extension under this clause, the Administrator 
                shall monitor the development of the data for 
                the uses being supported and shall ensure that 
                the registrant is meeting the schedule for the 
                production of such data. If the Administrator 
                determines that the registrant is not meeting 
                or has not met the schedule for the production 
                of such data, the Administrator may proceed in 
                accordance with clause (iv) of this 
                subparagraph regarding the continued 
                registration of the affected products with the 
                minor and other uses and shall inform the 
                public of such action in accordance with 
                section 6(f)(2). Notwithstanding the provisions 
                of this clause, the Administrator may deny, 
                modify, or revoke the temporary extension under 
                this subparagraph if the Administrator 
                determines that the continuation of the minor 
                use may cause an unreasonable adverse effect on 
                the environment. In the event of modification 
                or revocation, the Administrator shall provide, 
                in writing, to the registrant a notice revoking 
                the temporary extension and establish a new 
                effective date by which the minor use shall be 
                deleted from the registration.
                  (viii)(I) If data required to support 
                registration of a pesticide under subparagraph 
                (A) is requested by a Federal or State 
                regulatory authority, the Administrator shall, 
                to the extent practicable, coordinate data 
                requirements, test protocols, timetables, and 
                standards of review and reduce burdens and 
                redundancy caused to the registrant by multiple 
                requirements on the registrant.
                  (II) The Administrator may enter into a 
                cooperative agreement with a State to carry out 
                subclause (I).
                  (III) Not later than 1 year after the date of 
                enactment of this clause, the Administrator 
                shall develop a process to identify and assist 
                in alleviating future disparities between 
                Federal and State data requirements.
                  (C) Simplified procedures.--Within nine 
                months after the date of enactment of this 
                subparagraph, the Administrator shall, by 
                regulation, prescribe simplified procedures for 
                the registration of pesticides, which shall 
                include the provisions of subparagraph (D) of 
                this paragraph.
                  (D) Exemption.--No applicant for registration 
                of a pesticide who proposes to purchase a 
                registered pesticide from another producer in 
                order to formulate such purchased pesticide 
                into the pesticide that is the subject of the 
                application shall be required to--
                          (i) submit or cite data pertaining to 
                        such purchased product; or
                          (ii) offer to pay reasonable 
                        compensation otherwise required by 
                        paragraph (1)(D) of this subsection for 
                        the use of any such data.
                  (E) Minor use waiver.--In handling the 
                registration of a pesticide for a minor use, 
                the Administrator may waive otherwise 
                applicable data requirements if the 
                Administrator determines that the absence of 
                such data will not prevent the Administrator 
                from determining--
                          (i) the incremental risk presented by 
                        the minor use of the pesticide; and
                          (ii) that such risk, if any, would 
                        not be an unreasonable adverse effect 
                        on the environment.
          (3) Time for acting with respect to Application.--
                  (A) In general.--The Administrator shall 
                review the data after receipt of the 
                application and shall, as expeditiously as 
                possible, either register the pesticide in 
                accordance with paragraph (5), or notify the 
                applicant of the Administrator's determination 
                that it does not comply with the provisions of 
                the Act in accordance with paragraph (6).
                  (B) Identical or substantially similar.--(i) 
                The Administrator shall, as expeditiously as 
                possible, review and act on any application 
                received by the Administrator that--
                          (I) proposes the initial or amended 
                        registration of an end-use pesticide 
                        that, if registered as proposed, would 
                        be identical or substantially similar 
                        in composition and labeling to a 
                        currently-registered pesticide 
                        identified in the application, or that 
                        would differ in composition and 
                        labeling from such currently-registered 
                        pesticide only in ways that would not 
                        significantly increase the risk of 
                        unreasonable adverse effects on the 
                        environment; or
                          (II) proposes an amendment to the 
                        registration of a registered pesticide 
                        that does not require scientific review 
                        of data.
                  (ii) In expediting the review of an 
                application for an action described in clause 
                (i), the Administrator shall--
                          (I) review the application in 
                        accordance with section 33(f)(4)(B) 
                        and, if the application is found to be 
                        incomplete, reject the application;
                          (II) not later than the applicable 
                        decision review time established 
                        pursuant to section 33(f)(4)(B), or, if 
                        no review time is established, not 
                        later than 90 days after receiving a 
                        complete application, notify the 
                        registrant if the application has been 
                        granted or denied; and
                          (III) if the application is denied, 
                        notify the registrant in writing of the 
                        specific reasons for the denial of the 
                        application.
                  (C) Minor use registration.--
                          (i) The Administrator shall, as 
                        expeditiously as possible, review and 
                        act on any complete application--
                                  (I) that proposes the initial 
                                registration of a new pesticide 
                                active ingredient if the active 
                                ingredient is proposed to be 
                                registered solely for minor 
                                uses, or proposes a 
                                registration amendment solely 
                                for minor uses to an existing 
                                registration; or
                                  (II) for a registration or a 
                                registration amendment that 
                                proposes significant minor 
                                uses.
                          (ii) For the purposes of clause (i)--
                                  (I) the term ``as 
                                expeditiously as possible'' 
                                means that the Administrator 
                                shall, to the greatest extent 
                                practicable, complete a review 
                                and evaluation of all data, 
                                submitted with a complete 
                                application, within 12 months 
                                after the submission of the 
                                complete application, and the 
                                failure of the Administrator to 
                                complete such a review and 
                                evaluation under clause (i) 
                                shall not be subject to 
                                judicial review; and
                                  (II) the term ``significant 
                                minor uses'' means 3 or more 
                                minor uses proposed for every 
                                nonminor use, a minor use that 
                                would, in the judgment of the 
                                Administrator, serve as a 
                                replacement for any use which 
                                has been canceled in the 5 
                                years preceding the receipt of 
                                the application, or a minor use 
                                that in the opinion of the 
                                Administrator would avoid the 
                                reissuance of an emergency 
                                exemption under section 18 for 
                                that minor use.
                  (D) Adequate time for submission of minor use 
                data.--If a registrant makes a request for a 
                minor use waiver, regarding data required by 
                the Administrator, pursuant to paragraph 
                (2)(E), and if the Administrator denies in 
                whole or in part such data waiver request, the 
                registrant shall have a full-time period for 
                providing such data. For purposes of this 
                subparagraph, the term ``full-time period'' 
                means the time period originally established by 
                the Administrator for submission of such data, 
                beginning with the date of receipt by the 
                registrant of the Administrator's notice of 
                denial.
          (4) Notice of application.--The Administrator shall 
        publish in the Federal Register, promptly after receipt 
        of the statement and other data required pursuant to 
        paragraphs (1) and (2), a notice of each application 
        for registration of any pesticide if it contains any 
        new active ingredient or if it would entail a changed 
        use pattern. The notice shall provide for a period of 
        30 days in which any Federal agency or any other 
        interested person may comment.
          (5) Approval of [registration.--] [The Administrator] 
        registration._
                  (A) In general._The Administrator;  shall 
                register a pesticide if the Administrator 
                determines that, when considered with any 
                restrictions imposed under subsection (d)--
                          [(A)] (i) its composition is such as 
                        to warrant the proposed claims for it;
                          [(B)] (ii) its labeling and other 
                        material required to be submitted 
                        comply with the requirements of this 
                        Act;
                          [(C)] (iii) it will perform its 
                        intended function without unreasonable 
                        adverse effects on the environment[; 
                        and];
                          [(D)] (iv) when used in accordance 
                        with widespread and commonly recognized 
                        practice it will not generally cause 
                        unreasonable adverse effects on the 
                        environment[.]; and
                          (v) when used in accordance with 
                        widespread and commonly recognized 
                        practice it is not likely to jeopardize 
                        the survival of a federally listed 
                        threatened or endangered species or 
                        directly or indirectly alter, in a 
                        manner that is likely to appreciably 
                        diminish its value, critical habitat 
                        for both the survival and recovery of 
                        such species.
         [The Administrator shall not make any lack of 
        essentiality a criterion for denying registration of 
        any pesticide. Where two pesticides meet the 
        requirements of this paragraph, one should not be 
        registered in preference to the other. In considering 
        an application for the registration of a pesticide, the 
        Administrator may waive data requirements pertaining to 
        efficacy, in which event the Administrator may register 
        the pesticide without determining that the pesticide's 
        composition is such as to warrant proposed claims of 
        efficacy. If a pesticide is found to be efficacious by 
        any State under section 24(c) of this Act, a 
        presumption is established that the Administrator shall 
        waive data requirements pertaining to efficacy for use 
        of the pesticide in such State. ]
                  (B) Principles to be applied to certain 
                determinations.--In determining whether the 
                condition specified in subparagraph (A)(v) is 
                met, the Administrator shall take into account 
                the best scientific and commercial information 
                and data available, and shall consider all 
                directions for use and restrictions on use 
                specified by the registration. In making such 
                determination, the Administrator shall use an 
                economical and effective screening process that 
                includes higher-tiered probabilistic ecological 
                risk assessments, as appropriate. 
                Notwithstanding any other provision of law, the 
                Administrator shall not be required to consult 
                or otherwise communicate with the Secretary of 
                the Interior and the Secretary of Commerce 
                except to the extent specified in subparagraphs 
                (C) and (D).
                  (C) Species information and data.--
                          (i) Request.--Not later than 30 days 
                        after the Administrator begins any 
                        determination under subparagraph (A)(v) 
                        with respect to the registration of a 
                        pesticide, the Administrator shall 
                        request that the Secretary of the 
                        Interior and the Secretary of Commerce 
                        transmit, with respect to any federally 
                        listed threatened and endangered 
                        species involved in such determination, 
                        the Secretaries' best available and 
                        authoritative information and data on--
                                  (I) the location, life 
                                history, habitat needs, 
                                distribution, threats, 
                                population trends and 
                                conservation needs of such 
                                species; and
                                  (II) relevant physical and 
                                biological features of 
                                designated critical habitat for 
                                such species.
                          (ii) Transmission of data.--After 
                        receiving a request under clause (i), 
                        the Secretary of the Interior and the 
                        Secretary of Commerce shall transmit 
                        the information described in such 
                        clause to the Administrator on a timely 
                        basis, unless the Secretary of the 
                        Interior and the Secretary of Commerce 
                        have made such information available 
                        through a web-based platform that is 
                        updated on at least a quarterly basis.
                          (iii) Failure to transmit data.--The 
                        failure of the Secretary of the 
                        Interior or the Secretary of Commerce 
                        to provide information to the 
                        Administrator under clause (ii) shall 
                        not constitute grounds for extending 
                        any deadline for action under section 
                        33(f).
                  (D) Consultation.--
                          (i) In general.--At the request of an 
                        applicant, the Administrator shall 
                        request consultation with the Secretary 
                        of the Interior and the Secretary of 
                        Commerce.
                          (ii) Requirements.--With respect to a 
                        consultation under this subparagraph, 
                        the Administrator and the Secretary of 
                        the Interior and the Secretary of 
                        Commerce shall comply with subpart D of 
                        part 402 of title 50, Code of Federal 
                        Regulations (commonly known as the 
                        Joint Counterpart Endangered Species 
                        Act Section 7 Consultation), or 
                        successor regulations.
                  (E) Failure to consult.--
                          (i) Not actionable.--Notwithstanding 
                        any other provision of law, beginning 
                        on the date of the enactment of this 
                        subparagraph, the failure of the 
                        Administrator to consult with the 
                        Secretary of the Interior and the 
                        Secretary of Commerce, except as 
                        provided by this section, is not 
                        actionable in any Federal court.
                          (ii) Remedy.--In any action pending 
                        in Federal court on the date of the 
                        enactment of this subparagraph or any 
                        action brought in Federal court after 
                        such date, with respect to the 
                        Administrator's failure to consult with 
                        the Secretary of the Interior and the 
                        Secretary of Commerce, the sole and 
                        exclusive remedy for any such action, 
                        other than as otherwise specified in 
                        this Act, shall be scheduling the 
                        determinations required by section 
                        3(c)(5)(E) for an active ingredient 
                        consistent with the periodic review of 
                        registrations established by this 
                        section.
                  (F) Essentiality and efficacy.--The 
                Administrator shall not make any lack of 
                essentiality a criterion for denying 
                registration of any pesticide. Where two 
                pesticides meet the requirements of this 
                paragraph, one should not be registered in 
                preference to the other. In considering an 
                application for the registration of a 
                pesticide, the Administrator may waive data 
                requirements pertaining to efficacy, in which 
                event the Administrator may register the 
                pesticide without determining that the 
                pesticide's composition is such as to warrant 
                proposed claims of efficacy. If a pesticide is 
                found to be efficacious by any State under 
                section 24(c), a presumption is established 
                that the Administrator shall waive data 
                requirements pertaining to efficacy for use of 
                the pesticide in such State.
          (6) Denial of registration.--If the Administrator 
        determines that the requirements of paragraph (5) for 
        registration are not satisfied, the Administrator shall 
        notify the applicant for registration of the 
        Administrator's determination and of the 
        Administrator's reasons (including the factual basis) 
        therefor, and that, unless the applicant corrects the 
        conditions and notifies the Administrator thereof 
        during the 30-day period beginning with the day after 
        the date on which the applicant receives the notice, 
        the Administrator may refuse to register the pesticide. 
        Whenever the Administrator refuses to register a 
        pesticide, the Administrator shall notify the applicant 
        of the Administrator's decision and of the 
        Administrator's reasons (including the factual basis) 
        therefor. The Administrator shall promptly publish in 
        the Federal Register notice of such denial of 
        registration and the reasons therefor. Upon such 
        notification, the applicant for registration or other 
        interested person with the concurrence of the applicant 
        shall have the same remedies as provided for in section 
        6.
          (7) Registration under special circumstances.--
        Notwithstanding the provisions of paragraph (5)--
                  (A) The Administrator may conditionally 
                register or amend the registration of a 
                pesticide if the Administrator determines that 
                (i) the pesticide and proposed use are 
                identical or substantially similar to any 
                currently registered pesticide and use thereof, 
                or differ only in ways that would not 
                significantly increase the risk of unreasonable 
                adverse effects on the environment, and when 
                used in accordance with widespread and commonly 
                recognized practice, it is not likely to 
                jeopardize the survival of a federally listed 
                threatened or endangered species or appreciably 
                diminish the value of critical habitat for both 
                the survival and recovery of the listed 
                species, and (ii) approving the registration or 
                amendment in the manner proposed by the 
                applicant would not significantly increase the 
                risk of any unreasonable adverse effect on the 
                environment and it is not likely to jeopardize 
                the survival of a federally listed threatened 
                or endangered species or appreciably diminish 
                the value of critical habitat for both the 
                survival and recovery of the listed species. An 
                applicant seeking conditional registration or 
                amended registration under this subparagraph 
                shall submit such data as would be required to 
                obtain registration of a similar pesticide 
                under paragraph (5). If the applicant is unable 
                to submit an item of data because it has not 
                yet been generated, the Administrator may 
                register or amend the registration of the 
                pesticide under such conditions as will require 
                the submission of such data not later than the 
                time such data are required to be submitted 
                with respect to similar pesticides already 
                registered under this Act.
                  (B) The Administrator may conditionally amend 
                the registration of a pesticide to permit 
                additional uses of such pesticide 
                notwithstanding that data concerning the 
                pesticide may be insufficient to support an 
                unconditional amendment, if the Administrator 
                determines that (i) the applicant has submitted 
                satisfactory data pertaining to the proposed 
                additional use, and (ii) amending the 
                registration in the manner proposed by the 
                applicant would not significantly increase the 
                risk of any unreasonable adverse effect on the 
                environment and it is not likely to jeopardize 
                the survival of a federally listed threatened 
                or endangered species or directly or indirectly 
                appreciably diminish the value of critical 
                habitat for both the survival and recovery of 
                the listed species. Notwithstanding the 
                foregoing provisions of this subparagraph, no 
                registration of a pesticide may be amended to 
                permit an additional use of such pesticide if 
                the Administrator has issued a notice stating 
                that such pesticide, or any ingredient thereof, 
                meets or exceeds risk criteria associated in 
                whole or in part with human dietary exposure 
                enumerated in regulations issued under this 
                Act, and during the pendency of any risk-
                benefit evaluation initiated by such notice, if 
                (I) the additional use of such pesticide 
                involves a major food or feed crop, or (II) the 
                additional use of such pesticide involves a 
                minor food or feed crop and the Administrator 
                determines, with the concurrence of the 
                Secretary of Agriculture, there is available an 
                effective alternative pesticide that does not 
                meet or exceed such risk criteria. An applicant 
                seeking amended registration under this 
                subparagraph shall submit such data as would be 
                required to obtain registration of a similar 
                pesticide under paragraph (5). If the applicant 
                is unable to submit an item of data (other than 
                data pertaining to the proposed additional use) 
                because it has not yet been generated, the 
                Administrator may amend the registration under 
                such conditions as will require the submission 
                of such data not later than the time such data 
                are required to be submitted with respect to 
                similar pesticides already registered under 
                this Act.
                  (C) The Administrator may conditionally 
                register a pesticide containing an active 
                ingredient not contained in any currently 
                registered pesticide for a period reasonably 
                sufficient for the generation and submission of 
                required data (which are lacking because a 
                period reasonably sufficient for generation of 
                the data has not elapsed since the 
                Administrator first imposed the data 
                requirement) on the condition that by the end 
                of such period the Administrator receives such 
                data and the data do not meet or exceed risk 
                criteria enumerated in regulations issued under 
                this Act, and on such other conditions as the 
                Administrator may prescribe. A conditional 
                registration under this subparagraph shall be 
                granted only if the Administrator determines 
                that use of the pesticide during such period 
                will not cause any unreasonable adverse effect 
                on the environment, and that use of the 
                pesticide is in the public interest.
          (8) Interim administrative review.--Notwithstanding 
        any other provision of this Act, the Administrator may 
        not initiate a public interim administrative review 
        process to develop a risk-benefit evaluation of the 
        ingredients of a pesticide or any of its uses prior to 
        initiating a formal action to cancel, suspend, or deny 
        registration of such pesticide, required under this 
        Act, unless such interim administrative process is 
        based on a validated test or other significant evidence 
        raising prudent concerns of unreasonable adverse risk 
        to man or to the environment. Notice of the definition 
        of the terms ``validated test'' and ``other significant 
        evidence'' as used herein shall be published by the 
        Administrator in the Federal Register.
          (9) Labeling.--
                  (A) Additional statements.--Subject to 
                subparagraphs (B) and (C), it shall not be a 
                violation of this Act for a registrant to 
                modify the labeling of an antimicrobial 
                pesticide product to include relevant 
                information on product efficacy, product 
                composition, container composition or design, 
                or other characteristics that do not relate to 
                any pesticidal claim or pesticidal activity.
                  (B) Requirements.--Proposed labeling 
                information under subparagraph (A) shall not be 
                false or misleading, shall not conflict with or 
                detract from any statement required by law or 
                the Administrator as a condition of 
                registration, and shall be substantiated on the 
                request of the Administrator.
                  (C) Notification and disapproval.--
                          (i) Notification.--A registration may 
                        be modified under subparagraph (A) if 
                        --
                                  (I) the registrant notifies 
                                the Administrator in writing 
                                not later than 60 days prior to 
                                distribution or sale of a 
                                product bearing the modified 
                                labeling; and
                                  (II) the Administrator does 
                                not disapprove of the 
                                modification under clause (ii).
                          (ii) Disapproval.--Not later than 30 
                        days after receipt of a notification 
                        under clause (i), the Administrator may 
                        disapprove the modification by sending 
                        the registrant notification in writing 
                        stating that the proposed language is 
                        not acceptable and stating the reasons 
                        why the Administrator finds the 
                        proposed modification unacceptable.
                          (iii) Restriction on sale.--A 
                        registrant may not sell or distribute a 
                        product bearing a disapproved 
                        modification.
                          (iv) Objection.--A registrant may 
                        file an objection in writing to a 
                        disapproval under clause (ii) not later 
                        than 30 days after receipt of 
                        notification of the disapproval.
                          (v) Final action.--A decision by the 
                        Administrator following receipt and 
                        consideration of an objection filed 
                        under clause (iv) shall be considered a 
                        final agency action.
                  (D) Use dilution.--The label or labeling 
                required under this Act for an antimicrobial 
                pesticide that is or may be diluted for use may 
                have a different statement of caution or 
                protective measures for use of the recommended 
                diluted solution of the pesticide than for use 
                of a concentrate of the pesticide if the 
                Administrator determines that --
                          (i) adequate data have been submitted 
                        to support the statement proposed for 
                        the diluted solution uses; and
                          (ii) the label or labeling provides 
                        adequate protection for exposure to the 
                        diluted solution of the pesticide.
          (10) Expedited registration of pesticides.--
                  (A) Not later than 1 year after the date of 
                enactment of this paragraph, the Administrator 
                shall, utilizing public comment, develop 
                procedures and guidelines, and expedite the 
                review of an application for registration of a 
                pesticide or an amendment to a registration 
                that satisfies such guidelines.
                  (B) Any application for registration or an 
                amendment, including biological and 
                conventional pesticides, will be considered for 
                expedited review under this paragraph. An 
                application for registration or an amendment 
                shall qualify for expedited review if use of 
                the pesticide proposed by the application may 
                reasonably be expected to accomplish 1 or more 
                of the following:
                          (i) Reduce the risks of pesticides to 
                        human health.
                          (ii) Reduce the risks of pesticides 
                        to nontarget organisms.
                          (iii) Reduce the potential for 
                        contamination of groundwater, surface 
                        water, or other valued environmental 
                        resources.
                          (iv) Broaden the adoption of 
                        integrated pest management strategies, 
                        or make such strategies more available 
                        or more effective.
                  (C) The Administrator, not later than 30 days 
                after receipt of an application for expedited 
                review, shall notify the applicant whether the 
                application is complete. If it is found to be 
                incomplete, the Administrator may either reject 
                the request for expedited review or ask the 
                applicant for additional information to satisfy 
                the guidelines developed under subparagraph 
                (A).
  (d) Classification of Pesticides.--
          (1) Classification for general use, restricted use, 
        or both.--
                  (A) As a part of the registration of a 
                pesticide the Administrator shall classify it 
                as being for general use or for restricted use. 
                If the Administrator determines that some of 
                the uses for which the pesticide is registered 
                should be for general use and that other uses 
                for which it is registered should be for 
                restricted use, the Administrator shall 
                classify it for both general use and restricted 
                use. Pesticide uses may be classified by 
                regulation on the initial classification and 
                registered pesticides may be classified prior 
                to reregistration. If some of the uses of the 
                pesticide are classified for general use and 
                other uses are classified for restricted use, 
                the directions relating to its general uses 
                shall be clearly separated and distinguished 
                from those directions relating to its 
                restricted uses. The Administrator may require 
                that its packaging and labeling for restricted 
                uses shall be clearly distinguishable from its 
                packaging and labeling for general uses.
                  (B) If the Administrator determines that the 
                pesticide, when applied in accordance with its 
                directions for use, warnings and cautions and 
                for the uses for which it is registered, or for 
                one or more of such uses, or in accordance with 
                a widespread and commonly recognized practice, 
                will not generally cause unreasonable adverse 
                effects on the environment, the Administrator 
                will classify the pesticide, or the particular 
                use or uses of the pesticide to which the 
                determination applies, for general use.
                  (C) If the Administrator determines that the 
                pesticide, when applied in accordance with its 
                directions for use, warnings and cautions and 
                for the uses for which it is registered, or for 
                one or more of such uses, or in accordance with 
                a widespread and commonly recognized practice, 
                may generally cause, without additional 
                regulatory restrictions, unreasonable adverse 
                effects on the environment, including injury to 
                the applicator, the Administrator shall 
                classify the pesticide, or the particular use 
                or uses to which the determination applies, for 
                restricted use:
                          (i) If the Administrator classifies a 
                        pesticide, or one or more uses of such 
                        pesticide, for restricted use because 
                        of a determination that the acute 
                        dermal or inhalation toxicity of the 
                        pesticide presents a hazard to the 
                        applicator or other persons, the 
                        pesticide shall be applied for any use 
                        to which the restricted classification 
                        applies only by or under the direct 
                        supervision of a certified applicator.
                          (ii) If the Administrator classifies 
                        a pesticide, or one or more uses of 
                        such pesticide, for restricted use 
                        because of a determination that its use 
                        without additional regulatory 
                        restriction may cause unreasonable 
                        adverse effects on the environment, the 
                        pesticide shall be applied for any use 
                        to which the determination applies only 
                        by or under the direct supervision of a 
                        certified applicator, or subject to 
                        such other restrictions as the 
                        Administrator may provide by 
                        regulation. Any such regulation shall 
                        be reviewable in the appropriate court 
                        of appeals upon petition of a person 
                        adversely affected filed within 60 days 
                        of the publication of the regulation in 
                        final form.
          (2) Change in classification.--If the Administrator 
        determines that a change in the classification of any 
        use of a pesticide from general use to restricted use 
        is necessary to prevent unreasonable adverse effects on 
        the environment, the Administrator shall notify the 
        registrant of such pesticide of such determination at 
        least forty-five days before making the change and 
        shall publish the proposed change in the Federal 
        Register. The registrant, or other interested person 
        with the concurrence of the registrant, may seek relief 
        from such determination under section 6(b).
          (3) Change in classification from restricted use to 
        general use.--The registrant of any pesticide with one 
        or more uses classified for restricted use may petition 
        the Administrator to change any such classification 
        from restricted to general use. Such petition shall set 
        out the basis for the registrant's position that 
        restricted use classification is unnecessary because 
        classification of the pesticide for general use would 
        not cause unreasonable adverse effects on the 
        environment. The Administrator, within sixty days after 
        receiving such petition, shall notify the registrant 
        whether the petition has been granted or denied. Any 
        denial shall contain an explanation therefor and any 
        such denial shall be subject to judicial review under 
        section 16 of this Act.
  (e) Products With Same Formulation and Claims.--Products 
which have the same formulation, are manufactured by the same 
person, the labeling of which contains the same claims, and the 
labels of which bear a designation identifying the product as 
the same pesticide may be registered as a single pesticide; and 
additional names and labels shall be added to the registration 
by supplemental statements.
  (f) Miscellaneous.--
          (1) Effect of change of labeling or formulation.--If 
        the labeling or formulation for a pesticide is changed, 
        the registration shall be amended to reflect such 
        change if the Administrator determines that the change 
        will not violate any provision of this Act.
          (2) Registration not a defense.--In no event shall 
        registration of an article be construed as a defense 
        for the commission of any offense under this Act. As 
        long as no cancellation proceedings are in effect 
        registration of a pesticide shall be prima facie 
        evidence that the pesticide, its labeling and packaging 
        comply with the registration provisions of the Act.
          (3) Authority to consult other federal agencies.--In 
        connection with consideration of any registration or 
        application for registration under this section, the 
        Administrator may consult with any other Federal 
        agency.
          (4) Mixtures of nitrogen stabilizers and fertilizer 
        products.--Any mixture or other combination of--
                  (A) 1 or more nitrogen stabilizers registered 
                under this Act; and
                  (B) 1 or more fertilizer products,
        shall not be subject to the provisions of this section 
        or sections 4, 5, 7, 15, and 17(a)(2) if the mixture or 
        other combination is accompanied by the labeling 
        required under this Act for the nitrogen stabilizer 
        contained in the mixture or other combination, the 
        mixture or combination is mixed or combined in 
        accordance with such labeling, and the mixture or 
        combination does not contain any active ingredient 
        other than the nitrogen stabilizer.
          (5) Use of authorized pesticides.--Except as provided 
        in section 402(s) of the Federal Water Pollution 
        Control Act, the Administrator or a State may not 
        require a permit under such Act for a discharge from a 
        point source into navigable waters of a pesticide 
        authorized for sale, distribution, or use under this 
        Act, or the residue of such a pesticide, resulting from 
        the application of such pesticide.
  (g) Registration Review.--
          (1)(A) General rule.--
                  (i) In general.--The registrations of 
                pesticides are to be periodically reviewed.
                  (ii) Regulations.--In accordance with this 
                subparagraph, the Administrator shall by 
                regulation establish a procedure for 
                accomplishing the periodic review of 
                registrations.
                  (iii) Initial registration review.--The 
                Administrator shall complete the registration 
                review of each pesticide or pesticide case, 
                which may be composed of 1 or more active 
                ingredients and the products associated with 
                the active ingredients, not later than the 
                later of--
                          (I) October 1, 2022; or
                          (II) the date that is 15 years after 
                        the date on which the first pesticide 
                        containing a new active ingredient is 
                        registered.
                  (iv) Subsequent registration review.--Not 
                later than 15 years after the date on which the 
                initial registration review is completed under 
                clause (iii) and each 15 years thereafter, the 
                Administrator shall complete a subsequent 
                registration review for each pesticide or 
                pesticide case.
                  (v) Cancellation.--No registration shall be 
                canceled as a result of the registration review 
                process unless the Administrator follows the 
                procedures and substantive requirements of 
                section 6.
                  (vi) Ensuring protection of species and 
                habitat.--The Administrator shall complete the 
                determination required under subsection 
                (c)(5)(A)(v) for an active ingredient 
                consistent with the periodic review of 
                registrations under clauses (ii) and (iii) in 
                accordance with the following schedule:
                          (I) With respect to any active 
                        ingredient first registered on or 
                        before October 1, 2007, not later than 
                        October 1, 2026.
                          (II) With respect to any active 
                        ingredient first registered between 
                        October 1, 2007, and the day before the 
                        date of the enactment of this clause, 
                        not later than October 1, 2033.
                          (III) With respect to any active 
                        ingredient first registered on or after 
                        the date of the enactment of this 
                        clause, not later than 48 months after 
                        the effective date of registration.
          (B) Docketing.--
                  (i) In general.--Subject to clause (ii), 
                after meeting with 1 or more individuals that 
                are not government employees to discuss matters 
                relating to a registration review, the 
                Administrator shall place in the docket minutes 
                of the meeting, a list of attendees, and any 
                documents exchanged at the meeting, not later 
                than the earlier of--
                          (I) the date that is 45 days after 
                        the meeting; or
                          (II) the date of issuance of the 
                        registration review decision.
                  (ii) Protected information.--The 
                Administrator shall identify, but not include 
                in the docket, any confidential business 
                information the disclosure of which is 
                prohibited by section 10.
          (C) Limitation.--Nothing in this subsection shall 
        prohibit the Administrator from undertaking any other 
        review of a pesticide pursuant to this Act.
          (2)(A) Data.--The Administrator shall use the 
        authority in subsection (c)(2)(B) to require the 
        submission of data when such data are necessary for a 
        registration review.
          (B) Data submission, compensation, and exemption.--
        For purposes of this subsection, the provisions of 
        subsections (c)(1), (c)(2)(B), and (c)(2)(D) shall be 
        utilized for and be applicable to any data required for 
        registration review.
  (h) Registration Requirements for Antimicrobial Pesticides.--
          (1) Evaluation of process.--To the maximum extent 
        practicable consistent with the degrees of risk 
        presented by an antimicrobial pesticide and the type of 
        review appropriate to evaluate the risks, the 
        Administrator shall identify and evaluate reforms to 
        the antimicrobial registration process that would 
        reduce review periods existing as of the date of 
        enactment of this subsection for antimicrobial 
        pesticide product registration applications and 
        applications for amended registration of antimicrobial 
        pesticide products, including--
                  (A) new antimicrobial active ingredients;
                  (B) new antimicrobial end-use products;
                  (C) substantially similar or identical 
                antimicrobial pesticides; and
                  (D) amendments to antimicrobial pesticide 
                registrations.
          (2) Review time period reduction goal.--Each reform 
        identified under paragraph (1) shall be designed to 
        achieve the goal of reducing the review period 
        following submission of a complete application, 
        consistent with the degree of risk, to a period of not 
        more than--
                  (A) 540 days for a new antimicrobial active 
                ingredient pesticide registration;
                  (B) 270 days for a new antimicrobial use of a 
                registered active ingredient;
                  (C) 120 days for any other new antimicrobial 
                product;
                  (D) 90 days for a substantially similar or 
                identical antimicrobial product;
                  (E) 90 days for an amendment to an 
                antimicrobial registration that does not 
                require scientific review of data; and
                  (F) 120 days for an amendment to an 
                antimicrobial registration that requires 
                scientific review of data and that is not 
                otherwise described in this paragraph.
          (3) Implementation.--
                  (A) Proposed rulemaking.--
                          (i) Issuance.--Not later than 270 
                        days after the date of enactment of 
                        this subsection, the Administrator 
                        shall publish in the Federal Register 
                        proposed regulations to accelerate and 
                        improve the review of antimicrobial 
                        pesticide products designed to 
                        implement, to the extent practicable, 
                        the goals set forth in paragraph (2).
                          (ii) Requirements.--Proposed 
                        regulations issued under clause (i) 
                        shall--
                                  (I) define the various 
                                classes of antimicrobial use 
                                patterns, including household, 
                                industrial, and institutional 
                                disinfectants and sanitizing 
                                pesticides, preservatives, 
                                water treatment, and pulp and 
                                paper mill additives, and other 
                                such products intended to 
                                disinfect, sanitize, reduce, or 
                                mitigate growth or development 
                                of microbiological organisms, 
                                or protect inanimate objects, 
                                industrial processes or 
                                systems, surfaces, water, or 
                                other chemical substances from 
                                contamination, fouling, or 
                                deterioration caused by 
                                bacteria, viruses, fungi, 
                                protozoa, algae, or slime;
                                  (II) differentiate the types 
                                of review undertaken for 
                                antimicrobial pesticides;
                                  (III) conform the degree and 
                                type of review to the risks and 
                                benefits presented by 
                                antimicrobial pesticides and 
                                the function of review under 
                                this Act, considering the use 
                                patterns of the product, 
                                toxicity, expected exposure, 
                                and product type;
                                  (IV) ensure that the 
                                registration process is 
                                sufficient to maintain 
                                antimicrobial pesticide 
                                efficacy and that antimicrobial 
                                pesticide products continue to 
                                meet product performance 
                                standards and effectiveness 
                                levels for each type of label 
                                claim made; and
                                  (V) implement effective and 
                                reliable deadlines for process 
                                management.
                          (iii) Comments.--In developing the 
                        proposed regulations, the Administrator 
                        shall solicit the views from 
                        registrants and other affected parties 
                        to maximize the effectiveness of the 
                        rule development process.
                  (B) Final regulations.--
                          (i) Issuance.--The Administrator 
                        shall issue final regulations not later 
                        than 240 days after the close of the 
                        comment period for the proposed 
                        regulations.
                          (ii) Failure to meet goal.--If a goal 
                        described in paragraph (2) is not met 
                        by the final regulations, the 
                        Administrator shall identify the goal, 
                        explain why the goal was not attained, 
                        describe the element of the regulations 
                        included instead, and identify future 
                        steps to attain the goal.
                          (iii) Requirements.--In issuing final 
                        regulations, the Administrator shall--
                                  (I) consider the 
                                establishment of a 
                                certification process for 
                                regulatory actions involving 
                                risks that can be responsibly 
                                managed, consistent with the 
                                degree of risk, in the most 
                                cost-efficient manner;
                                  (II) consider the 
                                establishment of a 
                                certification process by 
                                approved laboratories as an 
                                adjunct to the review process;
                                  (III) use all appropriate and 
                                cost-effective review 
                                mechanisms, including--
                                          (aa) expanded use of 
                                        notification and non-
                                        notification 
                                        procedures;
                                          (bb) revised 
                                        procedures for 
                                        application review; and
                                          (cc) allocation of 
                                        appropriate resources 
                                        to ensure streamlined 
                                        management of 
                                        antimicrobial pesticide 
                                        registrations; and
                                  (IV) clarify criteria for 
                                determination of the 
                                completeness of an application.
                  (C) Expedited review.--This subsection does 
                not affect the requirements or extend the 
                deadlines or review periods contained in 
                subsection (c)(3).
                  (D) Alternative review periods.--If the final 
                regulations to carry out this paragraph are not 
                effective 630 days after the date of enactment 
                of this subsection, until the final regulations 
                become effective, the review period, beginning 
                on the date of receipt by the Agency of a 
                complete application, shall be--
                          (i) 2 years for a new antimicrobial 
                        active ingredient pesticide 
                        registration;
                          (ii) 1 year for a new antimicrobial 
                        use of a registered active ingredient;
                          (iii) 180 days for any other new 
                        antimicrobial product;
                          (iv) 90 days for a substantially 
                        similar or identical antimicrobial 
                        product;
                          (v) 90 days for an amendment to an 
                        antimicrobial registration that does 
                        not require scientific review of data; 
                        and
                          (vi) 120 days for an amendment to an 
                        antimicrobial registration that 
                        requires scientific review of data and 
                        that is not otherwise described in this 
                        subparagraph.
                  (E) Wood preservatives.--An application for 
                the registration, or for an amendment to the 
                registration, of a wood preservative product 
                for which a claim of pesticidal activity listed 
                in section 2(mm) is made (regardless of any 
                other pesticidal claim that is made with 
                respect to the product) shall be reviewed by 
                the Administrator within the same period as 
                that established under this paragraph for an 
                antimicrobial pesticide product application, 
                consistent with the degree of risk posed by the 
                use of the wood preservative product, if the 
                application requires the applicant to satisfy 
                the same data requirements as are required to 
                support an application for a wood preservative 
                product that is an antimicrobial pesticide.
                  (F) Notification.--
                          (i) In general.--Subject to clause 
                        (iii), the Administrator shall notify 
                        an applicant whether an application has 
                        been granted or denied not later than 
                        the final day of the appropriate review 
                        period under this paragraph, unless the 
                        applicant and the Administrator agree 
                        to a later date.
                          (ii) Final decision.--If the 
                        Administrator fails to notify an 
                        applicant within the period of time 
                        required under clause (i), the failure 
                        shall be considered an agency action 
                        unlawfully withheld or unreasonably 
                        delayed for purposes of judicial review 
                        under chapter 7 of title 5, United 
                        States Code.
                          (iii) Exemption.--This subparagraph 
                        does not apply to an application for an 
                        antimicrobial pesticide that is filed 
                        under subsection (c)(3)(B) prior to 90 
                        days after the date of enactment of 
                        this subsection
                          (iv) Limitation.--Notwithstanding 
                        clause (ii), the failure of the 
                        Administrator to notify an applicant 
                        for an amendment to a registration for 
                        an antimicrobial pesticide shall not be 
                        judicially reviewable in a Federal or 
                        State court if the amendment requires 
                        scientific review of data within--
                                  (I) the time period specified 
                                in subparagraph (D)(vi), in the 
                                absence of a final regulation 
                                under subparagraph (B); or
                                  (II) the time period 
                                specified in paragraph (2)(F), 
                                if adopted in a final 
                                regulation under subparagraph 
                                (B).
          (4) Annual report.--
                  (A) Submission.--Beginning on the date of 
                enactment of this subsection and ending on the 
                date that the goals under paragraph (2) are 
                achieved, the Administrator shall, not later 
                than March 1 of each year, prepare and submit 
                an annual report to the Committee on 
                Agriculture of the House of Representatives and 
                the Committee on Agriculture, Nutrition, and 
                Forestry of the Senate.
                  (B) Requirements.--A report submitted under 
                subparagraph (A) shall include a description 
                of--
                          (i) measures taken to reduce the 
                        backlog of pending registration 
                        applications;
                          (ii) progress toward achieving 
                        reforms under this subsection; and
                          (iii) recommendations to improve the 
                        activities of the Agency pertaining to 
                        antimicrobial registrations.

           *       *       *       *       *       *       *


SEC. 5. EXPERIMENTAL USE PERMITS.

  (a) Issuance.--Any person may apply to the Administrator for 
an experimental use permit for a pesticide. The Administrator 
shall review the application. After completion of the review, 
but not later than one hundred and twenty days after receipt of 
the application and all required supporting data, the 
Administrator shall either issue the permit or notify the 
applicant of the Administrator's determination not to issue the 
permit and the reasons therefor. The applicant may correct the 
application or request a waiver of the conditions for such 
permit within thirty days of receipt by the applicant of such 
notification. The Administrator may issue an experimental use 
permit only if the Administrator determines that the applicant 
needs such permit in order to accumulate information necessary 
to register a pesticide under section 3 of this Act and that 
the issuance of such a permit is not likely to jeopardize the 
survival of a federally listed threatened or endangered species 
or diminish the value of critical habitat for both the survival 
and recovery of the listed species. An application for an 
experimental use permit may be filed at any time.
  (b) Temporary Tolerance Level.--If the Administrator 
determines that the use of a pesticide may reasonably be 
expected to result in any residue on or in food or feed, the 
Administrator may establish a temporary tolerance level for the 
residue of the pesticide before issuing the experimental use 
permit.
  (c) Use Under Permit.--Use of a pesticide under an 
experimental use permit shall be under the supervision of the 
Administrator, and shall be subject to such terms and 
conditions and be for such period of time as the Administrator 
may prescribe in the permit.
  (d) Studies.--When any experimental use permit is issued for 
a pesticide containing any chemical or combination of chemicals 
which has not been included in any previously registered 
pesticide, the Administrator may specify that studies be 
conducted to detect whether the use of the pesticide under the 
permit may cause unreasonable adverse effects on the 
environment. All results of such studies shall be reported to 
the Administrator before such pesticide may be registered under 
section 3.
  (e) Revocation.--The Administrator may revoke any 
experimental use permit, at any time, if the Administrator 
finds that its terms or conditions are being violated, or that 
its terms and conditions are inadequate to avoid unreasonable 
adverse effects on the environment.
  (f) State Issuance of Permits.--Notwithstanding the foregoing 
provisions of this section, the Administrator shall, under such 
terms and conditions as the Administrator may by regulations 
prescribe, authorize any State to issue an experimental use 
permit for a pesticide. All provisions of section 11 relating 
to State plans shall apply with equal force to a State plan for 
the issuance of experimental use permits under this section.
  (g) Exemption for Agricultural Research Agencies.--
Notwithstanding the foregoing provisions of this section, the 
Administrator may issue an experimental use permit for a 
pesticide to any public or private agricultural research agency 
or educational institution which applies for such permit. Each 
permit shall not exceed more than a one-year period or such 
other specific time as the Administrator may prescribe. Such 
permit shall be issued under such terms and conditions 
restricting the use of the pesticide as the Administrator may 
require. Such pesticide may be used only by such research 
agency or educational institution for purposes of 
experimentation.

SEC. 6. ADMINISTRATIVE REVIEW; SUSPENSION.

  (a) Existing Stocks and Information.--
          (1) Existing stocks.--The Administrator may permit 
        the continued sale and use of existing stocks of a 
        pesticide whose registration is suspended or canceled 
        under this section, or section 3 or 4, to such extent, 
        under such conditions, and for such uses as the 
        Administrator determines that such sale or use is not 
        inconsistent with the purposes of this Act.
          (2) Information.--If at any time after the 
        registration of a pesticide the registrant has 
        additional factual information regarding unreasonable 
        adverse effects on the environment of the pesticide, 
        the registrant shall submit such information to the 
        Administrator.
  (b) Cancellation and Change in Classification.--If it appears 
to the Administrator that a pesticide or its labeling or other 
material required to be submitted does not comply with the 
provisions of this Act or, when used in accordance with 
widespread and commonly recognized practice, generally causes 
unreasonable adverse effects on the environment or does not 
meet the criteria specified in section 3(c)(5)(A)(v), the 
Administrator may issue a notice of the Administrator's intent 
either--
          (1) to cancel its registration or to change its 
        classification together with the reasons (including the 
        factual basis) for the Administrator's action, or
          (2) to hold a hearing to determine whether or not its 
        registration should be canceled or its classification 
        changed.
Such notice shall be sent to the registrant and made public. In 
determining whether to issue any such notice, the Administrator 
shall include among those factors to be taken into account the 
impact of the action proposed in such notice on production and 
prices of agricultural commodities, retail food prices, and 
otherwise on the agricultural economy. At least 60 days prior 
to sending such notice to the registrant or making public such 
notice, whichever occurs first, the Administrator shall provide 
the Secretary of Agriculture with a copy of such notice and an 
analysis of such impact on the agricultural economy. If the 
Secretary comments in writing to the Administrator regarding 
the notice and analysis within 30 days after receiving them, 
the Administrator shall publish in the Federal Register (with 
the notice) the comments of the Secretary and the response of 
the Administrator with regard to the Secretary's comments. If 
the Secretary does not comment in writing to the Administrator 
regarding the notice and analysis within 30 days after 
receiving them, the Administrator may notify the registrant and 
make public the notice at any time after such 30-day period 
notwithstanding the foregoing 60-day time requirement. The time 
requirements imposed by the preceding 3 sentences may be waived 
or modified to the extent agreed upon by the Administrator and 
the Secretary. Notwithstanding any other provision of this 
subsection (b) and section 25(d), in the event that the 
Administrator determines that suspension of a pesticide 
registration is necessary to prevent an imminent hazard to 
human health, then upon such a finding the Administrator may 
waive the requirement of notice to and consultation with the 
Secretary of Agriculture pursuant to subsection (b) and of 
submission to the Scientific Advisory Panel pursuant to section 
25(d) and proceed in accordance with subsection (c). When a 
public health use is affected, the Secretary of Health and 
Human Services should provide available benefits and use 
information, or an analysis thereof, in accordance with the 
procedures followed and subject to the same conditions as the 
Secretary of Agriculture in the case of agricultural 
pesticides. The proposed action shall become final and 
effective at the end of 30 days from receipt by the registrant, 
or publication, of a notice issued under paragraph (1), 
whichever occurs later, unless within that time either (i) the 
registrant makes the necessary corrections, if possible, or 
(ii) a request for a hearing is made by a person adversely 
affected by the notice. In the event a hearing is held pursuant 
to such a request or to the Administrator's determination under 
paragraph (2), a decision pertaining to registration or 
classification issued after completion of such hearing shall be 
final. In taking any final action under this subsection, the 
Administrator shall consider restricting a pesticide's use or 
uses as an alternative to cancellation and shall fully explain 
the reasons for these restrictions, and shall include among 
those factors to be taken into account the impact of such final 
action on production and prices of agricultural commodities, 
retail food prices, and otherwise on the agricultural economy, 
and the Administrator shall publish in the Federal Register an 
analysis of such impact.
  (c) Suspension.--
          (1) Order.--If the Administrator determines that 
        action is necessary to prevent an imminent hazard 
        during the time required for cancellation or change in 
        classification proceedings, the Administrator may, by 
        order, suspend the registration of the pesticide 
        immediately. Except as provided in paragraph (3), no 
        order of suspension may be issued under this subsection 
        unless the Administrator has issued, or at the same 
        time issues, a notice of intention to cancel the 
        registration or change the classification of the 
        pesticide under subsection (b). Except as provided in 
        paragraph (3), the Administrator shall notify the 
        registrant prior to issuing any suspension order. Such 
        notice shall include findings pertaining to the 
        question of ``imminent hazard''. The registrant shall 
        then have an opportunity, in accordance with the 
        provisions of paragraph (2), for an expedited hearing 
        before the Administrator on the question of whether an 
        imminent hazard exists.
          (2) Expedite hearing.--If no request for a hearing is 
        submitted to the Administrator within five days of the 
        registrant's receipt of the notification provided for 
        by paragraph (1), the suspension order may be issued 
        and shall take effect and shall not be reviewable by a 
        court. If a hearing is requested, it shall commence 
        within five days of the receipt of the request for such 
        hearing unless the registrant and the Administrator 
        agree that it shall commence at a later time. The 
        hearing shall be held in accordance with the provisions 
        of subchapter II of title 5 of the United States Code, 
        except that the presiding officer need not be a 
        certified hearing examiner. The presiding officer shall 
        have ten days from the conclusion of the presentation 
        of evidence to submit recommended findings and 
        conclusions to the Administrator, who shall then have 
        seven days to render a final order on the issue of 
        suspension.
          (3) Emergency order.--Whenever the Administrator 
        determines that an emergency exists that does not 
        permit the Administrator to hold a hearing before 
        suspending, the Administrator may issue a suspension 
        order in advance of notification to the registrant. The 
        Administrator may issue an emergency order under this 
        paragraph before issuing a notice of intention to 
        cancel the registration or change the classification of 
        the pesticide under subsection (b) and the 
        Administrator shall proceed to issue the notice under 
        subsection (b) within 90 days of issuing an emergency 
        order. If the Administrator does not issue a notice 
        under subsection (b) within 90 days of issuing an 
        emergency order, the emergency order shall expire. In 
        the case of an emergency order, paragraph (2) shall 
        apply except that (A) the order of suspension shall be 
        in effect pending the expeditious completion of the 
        remedies provided by that paragraph and the issuance of 
        a final order on suspension, and (B) no party other 
        than the registrant and the Administrator shall 
        participate except that any person adversely affected 
        may file briefs within the time allotted by the 
        Administrator's rules. Any person so filing briefs 
        shall be considered a party to such proceeding for the 
        purposes of section 16(b).
          (4) Judicial review.--A final order on the question 
        of suspension following a hearing shall be reviewable 
        in accordance with Section 16 of this Act, 
        notwithstanding the fact that any related cancellation 
        proceedings have not been completed. Any order of 
        suspension entered prior to a hearing before the 
        Administrator shall be subject to immediate review in 
        an action by the registrant or other interested person 
        with the concurrence of the registrant in an 
        appropriate district court, solely to determine whether 
        the order of suspension was arbitrary, capricious or an 
        abuse of discretion, or whether the order was issued in 
        accordance with the procedures established by law. The 
        effect of any order of the court will be only to stay 
        the effectiveness of the suspension order, pending the 
        Administrator's final decision with respect to 
        cancellation or change in classification. This action 
        may be maintained simultaneously with any 
        administrative review proceeding under this section. 
        The commencement of proceedings under this paragraph 
        shall not operate as a stay of order, unless ordered by 
        the court.
  (d) Public Hearings and Scientific Review.--In the event a 
hearing is requested pursuant to subsection (b) or determined 
upon by the Administrator pursuant to subsection (b), such 
hearing shall be held after due notice for the purpose of 
receiving evidence relevant and material to the issues raised 
by the objections filed by the applicant or other interested 
parties, or to the issues stated by the Administrator, if the 
hearing is called by the Administrator rather than by the 
filing of objections. Upon a showing of relevance and 
reasonable scope of evidence sought by any party to a public 
hearing, the Hearing Examiner shall issue a subpena to compel 
testimony or production of documents from any person. The 
Hearing Examiner shall be guided by the principles of the 
Federal Rules of Civil Procedure in making any order for the 
protection of the witness or the content of documents produced 
and shall order the payment of reasonable fees and expenses as 
a condition to requiring testimony of the witness. On contest, 
the subpena may be enforced by an appropriate United States 
district court in accordance with the principles stated herein. 
Upon the request of any party to a public hearing and when in 
the Hearing Examiner's judgment it is necessary or desirable, 
the Hearing Examiner shall at any time before the hearing 
record is closed refer to a Committee of the National Academy 
of Sciences the relevant questions of scientific fact involved 
in the public hearing. No member of any committee of the 
National Academy of Sciences established to carry out the 
functions of this section shall have a financial or other 
conflict of interest with respect to any matter considered by 
such committee. The Committee of the National Academy of 
Sciences shall report in writing to the Hearing Examiner within 
60 days after such referral on these questions of scientific 
fact. The report shall be made public and shall be considered 
as part of the hearing record. The Administrator shall enter 
into appropriate arrangements with the National Academy of 
Sciences to assure an objective and competent scientific review 
of the questions presented to Committees of the Academy and to 
provide such other scientific advisory services as may be 
required by the Administrator for carrying out the purposes of 
this Act. As soon as practicable after completion of the 
hearing (including the report of the Academy) but not later 
than 90 days thereafter, the Administrator shall evaluate the 
data and reports before the Administrator and issue an order 
either revoking the Administrator's notice of intention issued 
pursuant to this section, or shall issue an order either 
canceling the registration, changing the classification, 
denying the registration, or requiring modification of the 
labeling or packaging of the article. Such order shall be based 
only on substantial evidence of record of such hearing and 
shall set forth detailed findings of fact upon which the order 
is based.
  (e) Conditional Registration.--
          (1) The Administrator shall issue a notice of intent 
        to cancel a registration issued under section 3(c)(7) 
        of this Act if (A) the Administrator, at any time 
        during the period provided for satisfaction of any 
        condition imposed, determines that the registrant has 
        failed to initiate and pursue appropriate action toward 
        fulfilling any condition imposed, or (B) at the end of 
        the period provided for satisfaction of any condition 
        imposed, that condition has not been met. The 
        Administrator may permit the continued sale and use of 
        existing stocks of a pesticide whose conditional 
        registration has been canceled under this subsection to 
        such extent, under such conditions, and for such uses 
        as the Administrator may specify if the Administrator 
        determines that such sale or use is not inconsistent 
        with the purposes of this Act and will not have 
        unreasonable adverse effects on the environment.
          (2) A cancellation proposed under this subsection 
        shall become final and effective at the end of thirty 
        days from receipt by the registrant of the notice of 
        intent to cancel unless during that time a request for 
        hearing is made by a person adversely affected by the 
        notice. If a hearing is requested, a hearing shall be 
        conducted under subsection (d) of this section. The 
        only matters for resolution at that hearing shall be 
        whether the registrant has initiated and pursued 
        appropriate action to comply with the condition or 
        conditions within the time provided or whether the 
        condition or conditions have been satisfied within the 
        time provided, and whether the Administrator's 
        determination with respect to the disposition of 
        existing stocks is consistent with this Act. A decision 
        after completion of such hearing shall be final. 
        Notwithstanding any other provision of this section, a 
        hearing shall be held and a determination made within 
        seventy-five days after receipt of a request for such 
        hearing.
  (f) General Provisions.--
          (1) Voluntary cancellation.--
                  (A) A registrant may, at any time, request 
                that a pesticide registration of the registrant 
                be canceled or amended to terminate one or more 
                pesticide uses.
                  (B) Before acting on a request under 
                subparagraph (A), the Administrator shall 
                publish in the Federal Register a notice of the 
                receipt of the request and provide for a 30-day 
                period in which the public may comment.
                  (C) In the case of a pesticide that is 
                registered for a minor agricultural use, if the 
                Administrator determines that the cancellation 
                or termination of uses would adversely affect 
                the availability of the pesticide for use, the 
                Administrator--
                          (i) shall publish in the Federal 
                        Register a notice of the receipt of the 
                        request and make reasonable efforts to 
                        inform persons who so use the pesticide 
                        of the request; and
                          (ii) may not approve or reject the 
                        request until the termination of the 
                        180-day period beginning on the date of 
                        publication of the notice in the 
                        Federal Register, except that the 
                        Administrator may waive the 180-day 
                        period upon the request of the 
                        registrant or if the Administrator 
                        determines that the continued use of 
                        the pesticide would pose an 
                        unreasonable adverse effect on the 
                        environment.
                  (D) Subject to paragraph (3)(B), after 
                complying with this paragraph, the 
                Administrator may approve or deny the request.
          (2) Publication of notice.--A notice of denial of 
        registration, intent to cancel, suspension, or intent 
        to suspend issued under this Act or a notice issued 
        under subsection (c)(4) or (d)(5)(A) of section 4 shall 
        be published in the Federal Register and shall be sent 
        by certified mail, return receipt requested, to the 
        registrant's or applicant's address of record on file 
        with the Administrator. If the mailed notice is 
        returned to the Administrator as undeliverable at that 
        address, if delivery is refused, or if the 
        Administrator otherwise is unable to accomplish 
        delivery of the notice to the registrant or applicant 
        after making reasonable efforts to do so, the notice 
        shall be deemed to have been received by the registrant 
        or applicant on the date the notice was published in 
        the Federal Register.
          (3) Transfer of registration of pesticides registered 
        for minor agricultural uses.--In the case of a 
        pesticide that is registered for a minor agricultural 
        use:
                  (A) During the 180-day period referred to in 
                paragraph (1)(C)(ii), the registrant of the 
                pesticide may notify the Administrator of an 
                agreement between the registrant and a person 
                or persons (including persons who so use the 
                pesticide) to transfer the registration of the 
                pesticide, in lieu of canceling or amending the 
                registration to terminate the use.
                  (B) An application for transfer of 
                registration, in conformance with any 
                regulations the Administrator may adopt with 
                respect to the transfer of the pesticide 
                registrations, must be submitted to the 
                Administrator within 30 days of the date of 
                notification provided pursuant to subparagraph 
                (A). If such an application is submitted, the 
                Administrator shall approve the transfer and 
                shall not approve the request for voluntary 
                cancellation or amendment to terminate use 
                unless the Administrator determines that the 
                continued use of the pesticide would cause an 
                unreasonable adverse effect on the environment.
                  (C) If the Administrator approves the 
                transfer and the registrant transfers the 
                registration of the pesticide, the 
                Administrator shall not cancel or amend the 
                registration to delete the use or rescind the 
                transfer of the registration, during the 180-
                day period beginning on the date of the 
                approval of the transfer unless the 
                Administrator determines that the continued use 
                of the pesticide would cause an unreasonable 
                adverse effect on the environment.
                  (D) The new registrant of the pesticide shall 
                assume the outstanding data and other 
                requirements for the pesticide that are pending 
                at the time of the transfer.
          (4) Utilization of data for voluntarily canceled 
        pesticide.--When an application is filed with the 
        Administrator for the registration of a pesticide for a 
        minor use and another registrant subsequently 
        voluntarily cancels its registration for an identical 
        or substantially similar pesticide for an identical or 
        substantially similar use, the Administrator shall 
        process, review, and evaluate the pending application 
        as if the voluntary cancellation had not yet taken 
        place except that the Administrator shall not take such 
        action if the Administrator determines that such minor 
        use may cause an unreasonable adverse effect on the 
        environment. In order to rely on this subsection, the 
        applicant must certify that it agrees to satisfy any 
        outstanding data requirements necessary to support the 
        reregistration of the pesticide in accordance with the 
        data submission schedule established by the 
        Administrator.
  (g) Notice for Stored Pesticides With Canceled or Suspended 
Registrations.--
          (1) In general.--Any producer or exporter of 
        pesticides, registrant of a pesticide, applicant for 
        registration of a pesticide, applicant for or holder of 
        an experimental use permit, commercial applicator, or 
        any person who distributes or sells any pesticide, who 
        possesses any pesticide which has had its registration 
        canceled or suspended under this section shall notify 
        the Administrator and appropriate State and local 
        officials of--
                  (A) such possession,
                  (B) the quantity of such pesticide such 
                person possesses, and
                  (C) the place at which such pesticide is 
                stored.
          (2) Copies.--The Administrator shall transmit a copy 
        of each notice submitted under this subsection to the 
        regional office of the Environmental Protection Agency 
        which has jurisdiction over the place of pesticide 
        storage identified in the notice.
  (h) Judicial Review.--Final orders of the Administrator under 
this section shall be subject to judicial review pursuant to 
section 16.

           *       *       *       *       *       *       *


SEC. 12. UNLAWFUL ACTS.

  (a) In General.--
          (1) Except as provided by subsection (b), it shall be 
        unlawful for any person in any State to distribute or 
        sell to any person--
                  (A) any pesticide that is not registered 
                under section 3 or whose registration has been 
                canceled or suspended, except to the extent 
                that distribution or sale otherwise has been 
                authorized by the Administrator under this Act;
                  (B) any registered pesticide if any claims 
                made for it as a part of its distribution or 
                sale substantially differ from any claims made 
                for it as a part of the statement required in 
                connection with its registration under section 
                3;
                  (C) any registered pesticide the composition 
                of which differs at the time of its 
                distribution or sale from its composition as 
                described in the statement required in 
                connection with its registration under section 
                3;
                  (D) any pesticide which has not been colored 
                or discolored pursuant to the provisions of 
                section 25(c)(5);
                  (E) any pesticide which is adulterated or 
                misbranded; or
                  (F) any device which is misbranded.
          (2) It shall be unlawful for any person--
                  (A) to detach, alter, deface, or destroy, in 
                whole or in part, any labeling required under 
                this Act;
                  (B) to refuse to--
                          (i) prepare, maintain, or submit any 
                        records required by or under section 5, 
                        7, 8, 11, or 19;
                          (ii) submit any reports required by 
                        or under section 5, 6, 7, 8, 11, or 19; 
                        or
                          (iii) allow any entry, inspection, 
                        copying of records, or sampling 
                        authorized by this Act;
                  (C) to give a guaranty or undertaking 
                provided for in subsection (b) which is false 
                in any particular, except that a person who 
                receives and relies upon a guaranty authorized 
                under subsection (b) may give a guaranty to the 
                same effect, which guaranty shall contain, in 
                addition to the person's own name and address, 
                the name and address of the person residing in 
                the United States from whom the person received 
                the guaranty or undertaking;
                  (D) to use for the person's own advantage or 
                to reveal, other than to the Administrator, or 
                officials or employees of the Environmental 
                Protection Agency or other Federal executive 
                agencies, or to the courts, or to physicians, 
                pharmacists, and other qualified persons, 
                needing such information for the performance of 
                their duties, in accordance with such 
                directions as the Administrator may prescribe, 
                any information acquired by authority of this 
                Act which is confidential under this Act;
                  (E) who is a registrant, wholesaler, dealer, 
                retailer, or other distributor to advertise a 
                product registered under this Act for 
                restricted use without giving the 
                classification of the product assigned to it 
                under section 3;
                  (F) to distribute or sell, or to make 
                available for use, or to use, any registered 
                pesticide classified for restricted use for 
                some or all purposes other than in accordance 
                with section 3(d) and any regulations 
                thereunder, except that it shall not be 
                unlawful to sell, under regulations issued by 
                the Administrator, a restricted use pesticide 
                to a person who is not a certified applicator 
                for application by a certified applicator;
                  (G) to use any registered pesticide in a 
                manner inconsistent with its labeling;
                  (H) to use any pesticide which is under an 
                experimental use permit contrary to the 
                provisions of such permit;
                  (I) to violate any order issued under section 
                13;
                  (J) to violate any suspension order issued 
                under section 3(c)(2)(B), 4, or 6;
                  (K) to violate any cancellation order issued 
                under this Act or to fail to submit a notice in 
                accordance with section 6(g);
                  (L) who is a producer to violate any of the 
                provisions of section 7;
                  (M) to knowingly falsify all or part of any 
                application for registration, application for 
                experimental use permit, any information 
                submitted to the Administrator pursuant to 
                section 7, any records required to be 
                maintained pursuant to this Act, any report 
                filed under this Act, or any information marked 
                as confidential and submitted to the 
                Administrator under any provision of this Act;
                  (N) who is a registrant, wholesaler, dealer, 
                retailer, or other distributor to fail to file 
                reports required by this Act;
                  (O) to add any substance to, or take any 
                substance from, any pesticide in a manner that 
                may defeat the purpose of this Act;
                  (P) to use any pesticide in tests on human 
                beings unless such human beings (i) are fully 
                informed of the nature and purposes of the test 
                and of any physical and mental health 
                consequences which are reasonably foreseeable 
                therefrom, and (ii) freely volunteer to 
                participate in the test;
                  (Q) to falsify all or part of any information 
                relating to the testing of any pesticide (or 
                any ingredient, metabolite, or degradation 
                product thereof), including the nature of any 
                protocol, procedure, substance, organism, or 
                equipment used, observation made, or conclusion 
                or opinion formed, submitted to the 
                Administrator, or that the person knows will be 
                furnished to the Administrator or will become a 
                part of any records required to be maintained 
                by this Act;
                  (R) to submit to the Administrator data known 
                to be false in support of a registration; or
                  (S) to violate any regulation issued under 
                section 3(a) or 19.
  (b) Exemptions.--The penalties provided for a violation of 
paragraph (1) of subsection (a) shall not apply to--
          (1) any person who establishes a guaranty signed by, 
        and containing the name and address of, the registrant 
        or person residing in the United States from whom the 
        person purchased or received in good faith the 
        pesticide in the same unbroken package, to the effect 
        that the pesticide was lawfully registered at the time 
        of sale and delivery to the person, and that it 
        complies with the other requirements of this Act, and 
        in such case the guarantor shall be subject to the 
        penalties which would otherwise attach to the person 
        holding the guaranty under the provisions of this Act;
          (2) any carrier while lawfully shipping, 
        transporting, or delivering for shipment any pesticide 
        or device, if such carrier upon request of any officer 
        or employee duly designated by the Administrator shall 
        permit such officer or employee to copy all of its 
        records concerning such pesticide or device;
          (3) any public official while engaged in the 
        performance of the official duties of the public 
        official;
          (4) any person using or possessing any pesticide as 
        provided by an experimental use permit in effect with 
        respect to such pesticide and such use or possession; 
        or
          (5) any person who ships a substance or mixture of 
        substances being put through tests in which the purpose 
        is only to determine its value for pesticide purposes 
        or to determine its toxicity or other properties and 
        from which the user does not expect to receive any 
        benefit in pest control from its use.
  (c) Lawful Use of Pesticide Resulting in Incidental Taking of 
Certain Species.--If the Administrator determines, with respect 
to a pesticide that is registered under this Act, that the 
pesticide meets the criteria specified in section 
3(c)(5)(A)(v), any taking of a federally listed threatened or 
endangered species that is incidental to an otherwise lawful 
use of such pesticide pursuant to this Act shall not be 
considered unlawful under--
          (1) section 4(d) of the Endangered Species Act of 
        1973 (16 U.S.C. 1533(d)); or
          (2) section 9(a)(1)(B) of the Endangered Species Act 
        of 1973 (16 U.S.C. 1538(a)(1)(B)).

           *       *       *       *       *       *       *


SEC. 22. DELEGATION AND COOPERATION.

  (a) Delegation.--All authority vested in the Administrator by 
virtue of the provisions of this Act may with like force and 
effect be executed by such employees of the Environmental 
Protection Agency as the Administrator may designate for the 
purpose.
  (b) Cooperation.--The Administrator shall cooperate with the 
Department of Agriculture, any other Federal agency, and any 
appropriate agency of any State or any political subdivision 
thereof, in carrying out the provisions of this Act, and in 
securing uniformity of regulations promulgated by the 
Administrator or, when authorized pursuant to a cooperative 
agreement entered into under section 23(a)(1), by a State lead 
agency for a State.

SEC. 23. STATE COOPERATION, AID, AND TRAINING.

  (a) Cooperative Agreements.--The Administrator may enter into 
cooperative agreements with States and Indian tribes--
          (1) to delegate to any State or Indian tribe the 
        authority to cooperate in the enforcement of this Act 
        through the use of its personnel or facilities, to 
        train personnel of the State or Indian tribe to 
        cooperate in the enforcement of this Act, to authorize 
        the State or Indian Tribe to establish and maintain 
        uniform regulation of pesticides within the State or 
        for the Indian Tribe, and to assist States and Indian 
        tribes in implementing cooperative enforcement programs 
        through grants-in-aid; and
          (2) to assist States in developing and administering 
        State programs, and Indian tribes that enter into 
        cooperative agreements, to train and certify 
        applicators consistent with the standards the 
        Administrator prescribes.
Effective with the fiscal year beginning October 1, 1978, there 
are authorized to be appropriated annually such funds as may be 
necessary for the Administrator to provide through cooperative 
agreements an amount equal to 50 percent of the anticipated 
cost to each State or Indian tribe, as agreed to under such 
cooperative agreements, of conducting training and 
certification programs during such fiscal year. If funds 
sufficient to pay 50 percent of the costs for any year are not 
appropriated, the share of each State and Indian tribe shall be 
reduced in a like proportion in allocating available funds.
  (b) Contracts for Training.--In addition, the Administrator 
may enter into contracts with Federal, State, or Indian tribal 
agencies for the purpose of encouraging the training of 
certified applicators.
  (c) Information and Education.--The Administrator shall, in 
cooperation with the Secretary of Agriculture, use the services 
of the cooperative State extension services to inform and 
educate pesticide users about accepted uses and other 
regulations made under this Act.

SEC. 24. AUTHORITY OF STATES.

  (a) In General.--[A State may] A State, but not a political 
subdivision of a State, may regulate the sale or use of any 
federally registered pesticide or device in the State, but only 
if and to the extent the regulation does not permit any sale or 
use prohibited by this Act.
  (b) Uniformity.--Such State shall not impose or continue in 
effect any requirements for labeling or packaging in addition 
to or different from those required under this Act.
  (c) Additional Uses.--
          (1) A State may provide registration for additional 
        uses of federally registered pesticides formulated for 
        distribution and use within that State to meet special 
        local needs in accord with the purposes of this Act and 
        if registration for such use has not previously been 
        denied, disapproved, or canceled by the Administrator. 
        Such registration shall be deemed registration under 
        section 3 for all purposes of this Act, but shall 
        authorize distribution and use only within such State.
          (2) A registration issued by a State under this 
        subsection shall not be effective for more than ninety 
        days if disapproved by the Administrator within that 
        period. Prior to disapproval, the Administrator shall, 
        except as provided in paragraph (3) of this subsection, 
        advise the State of the Administrator's intention to 
        disapprove and the reasons therefor, and provide the 
        State time to respond and the State registration is not 
        likely to jeopardize the survival of a federally listed 
        threatened or endangered species or directly or 
        indirectly alter in a manner that is likely to 
        appreciably diminish the value of critical habitat for 
        both the survival and recovery of the listed species. 
        The Administrator shall not prohibit or disapprove a 
        registration issued by a State under this subsection 
        (A) on the basis of lack of essentiality of a pesticide 
        or (B) except as provided in paragraph (3) of this 
        subsection, if its composition and use patterns are 
        similar to those of a federally registered pesticide.
          (3) In no instance may a State issue a registration 
        for a food or feed use unless there exists a tolerance 
        or exemption under the Federal Food, Drug, and Cosmetic 
        Act that permits the residues of the pesticide on the 
        food or feed. If the Administrator determines that a 
        registration issued by a State is inconsistent with the 
        Federal Food, Drug, and Cosmetic Act, or the use of, a 
        pesticide under a registration issued by a State 
        constitutes an imminent hazard, the Administrator may 
        immediately disapprove the registration.
          [(4) If the Administrator finds, in accordance with 
        standards set forth in regulations issued under section 
        25 of this Act, that a State is not capable of 
        exercising adequate controls to assure that State 
        registration under this section will be in accord with 
        the purposes of this Act or has failed to exercise 
        adequate controls, the Administrator may suspend the 
        authority of the State to register pesticides until 
        such time as the Administrator is satisfied that the 
        State can and will exercise adequate controls. Prior to 
        any such suspension, the Administrator shall advise the 
        State of the Administrator's intention to suspend and 
        the reasons therefor and provide the State time to 
        respond.]

SEC. 25. AUTHORITY OF ADMINISTRATOR.

  (a) In General.--
          (1) Regulations.--The Administrator is authorized in 
        accordance with the procedure described in paragraph 
        (2), to prescribe regulations to carry out the 
        provisions of this Act. Such regulations shall take 
        into account the difference in concept and usage 
        between various classes of pesticides, including public 
        health pesticides, and differences in environmental 
        risk and the appropriate data for evaluating such risk 
        between agricultural, nonagricultural, and public 
        health pesticides.
          (2) Procedure.--
                  (A) Proposed regulations.--At least 60 days 
                prior to signing any proposed regulation for 
                publication in the Federal Register, the 
                Administrator shall provide the Secretary of 
                Agriculture and each State lead agency with a 
                copy of such regulation. [If the Secretary 
                comments in writing to the Administrator 
                regarding any such regulation within 30 days 
                after receiving it, the Administrator shall 
                publish in the Federal Register (with the 
                proposed regulation) the comments of the 
                Secretary and the response of the Administrator 
                with regard to the Secretary's comments.] If 
                the Secretary or any State lead agency or any 
                State lead agency comments in writing to the 
                Administrator regarding any such regulation 
                within 30 days after receiving the copy of the 
                regulation, the Administrator shall publish in 
                the Federal Register (with the proposed 
                regulation) all such comments and the response 
                of the Administrator to the comments. If the 
                Secretary or any State lead agency does not 
                comment in writing to the Administrator 
                regarding the regulation within 30 days after 
                receiving it, the Administrator may sign such 
                regulation for publication in the Federal 
                Register any time after such 30-day period 
                notwithstanding the foregoing 60-day time 
                requirement.
                  (B) Final regulations.--At least 30 days 
                prior to signing any regulation in final form 
                for publication in the Federal Register, the 
                Administrator shall provide the Secretary of 
                Agriculture and each State lead agency with a 
                copy of such regulation. [If the Secretary 
                comments in writing to the Administrator 
                regarding any such final regulation within 15 
                days after receiving it, the Administrator 
                shall publish in the Federal Register (with the 
                final regulation) the comments of the 
                Secretary, if requested by the Secretary, and 
                the response of the Administrator concerning 
                the Secretary's comments.] If the Secretary or 
                any State lead agency or any State lead agency 
                comments in writing to the Administrator 
                regarding any such regulation within 15 days 
                after receiving the copy of the regulation, the 
                Administrator shall publish in the Federal 
                Register (with the final regulation) the 
                comments of the Secretary or State lead agency, 
                if requested by the Secretary or State lead 
                agency, and the response of the Administrator 
                to the comments. If the Secretary or any State 
                lead agency does not comment in writing to the 
                Administrator regarding the regulation within 
                15 days after receiving it, the Administrator 
                may sign such regulation for publication in the 
                Federal Register at any time after such 15-day 
                period notwithstanding the foregoing 30-day 
                time requirement. In taking any final action 
                under this subsection, the Administrator shall 
                include among those factors to be taken into 
                account the effect of the regulation on 
                production and prices of agricultural 
                commodities, retail food prices, and otherwise 
                on the agricultural economy, and the 
                Administrator shall publish in the Federal 
                Register an analysis of such effect.
                  (C) Time requirements.--The time requirements 
                imposed by subparagraphs (A) and (B) may be 
                waived or modified to the extent agreed upon by 
                the Administrator and the Secretary, in 
                consultation with the State lead agencies.
                  (D) Publication in the federal register.--The 
                Administrator shall, simultaneously with any 
                notification to the Secretary of Agriculture 
                under this paragraph prior to the issuance of 
                any proposed or final regulation, publish such 
                notification in the Federal Register.
          (3) Congressional committees.--At such time as the 
        Administrator is required under paragraph (2) of this 
        subsection to provide the Secretary of Agriculture with 
        a copy of proposed regulations and a copy of the final 
        form of regulations, the Administrator shall also 
        furnish a copy of such regulations to the Committee on 
        Agriculture of the House of Representatives and the 
        Committee on Agriculture, Nutrition, and Forestry of 
        the Senate.
          (4) Congressional review of regulations.--
        Simultaneously with the promulgation of any rule or 
        regulation under this Act, the Administrator shall 
        transmit a copy thereof to the Secretary of the Senate 
        and the Clerk of the House of Representatives. The rule 
        or regulation shall not become effective until the 
        passage of 60 calendar days after the rule or 
        regulation is so transmitted.
  (b) Exemption of Pesticides.--The Administrator may exempt 
from the requirements of this Act by regulation any pesticide 
which the Administrator determines either (1) to be adequately 
regulated by another Federal agency, or (2) to be of a 
character which is unnecessary to be subject to this Act in 
order to carry out the purposes of this Act.
  (c) Other Authority.--The Administrator, after notice and 
opportunity for hearing, is authorized--
          (1) to declare a pest any form of plant or animal 
        life (other than man and other than bacteria, virus, 
        and other micro-organisms on or in living man or other 
        living animals) which is injurious to health or the 
        environment;
          (2) to determine any pesticide which contains any 
        substance or substances in quantities highly toxic to 
        man;
          (3) to establish standards (which shall be consistent 
        with those established under the authority of the 
        Poison Prevention Packaging Act (Public Law 91-601)) 
        with respect to the package, container, or wrapping in 
        which a pesticide or device is enclosed for use or 
        consumption, in order to protect children and adults 
        from serious injury or illness resulting from 
        accidental ingestion or contact with pesticides or 
        devices regulated by this Act as well as to accomplish 
        the other purposes of this Act;
          (4) to specify those classes of devices which shall 
        be subject to any provision of paragraph 2(q)(1) or 
        section 7 of this Act upon the Administrator's 
        determination that application of such provision is 
        necessary to effectuate the purposes of this Act;
          (5) to prescribe regulations requiring any pesticide 
        to be colored or discolored if the Administrator 
        determines that such requirement is feasible and is 
        necessary for the protection of health and the 
        environment; and
          (6) to determine and establish suitable names to be 
        used in the ingredient statement.
  (d) Scientific Advisory Panel.--
          (1) In general.--The Administrator shall submit to an 
        advisory panel for comment as to the impact on health 
        and the environment of the action proposed in notices 
        of intent issued under section 6(b) and of the proposed 
        and final form of regulations issued under section 
        25(a) within the same time periods as provided for the 
        comments of the Secretary of Agriculture under such 
        sections. The time requirements for notices of intent 
        and proposed and final forms of regulation may not be 
        modified or waived unless in addition to meeting the 
        requirements of section 6(b) or 25(a), as applicable, 
        the advisory panel has failed to comment on the 
        proposed action within the prescribed time period or 
        has agreed to the modification or waiver. The 
        Administrator shall also solicit from the advisory 
        panel comments, evaluations, and recommendations for 
        operating guidelines to improve the effectiveness and 
        quality of scientific analyses made by personnel of the 
        Environmental Protection Agency that lead to decisions 
        by the Administrator in carrying out the provisions of 
        this Act. The comments, evaluations, and 
        recommendations of the advisory panel submitted under 
        this subsection and the response of the Administrator 
        shall be published in the Federal Register in the same 
        manner as provided for publication of the comments of 
        the Secretary of Agriculture under such sections. The 
        chairman of the advisory panel, after consultation with 
        the Administrator, may create temporary subpanels on 
        specific projects to assist the full advisory panel in 
        expediting and preparing its evaluations, comments, and 
        recommendations. The subpanels may be composed of 
        scientists other than members of the advisory panel, as 
        deemed necessary for the purpose of evaluating 
        scientific studies relied upon by the Administrator 
        with respect to proposed action. Such additional 
        scientists shall be selected by the advisory panel. The 
        panel referred to in this subsection shall consist of 7 
        members appointed by the Administrator from a list of 
        12 nominees, 6 nominated by the National Institutes of 
        Health and 6 by the National Science Foundation, 
        utilizing a system of staggered terms of appointment. 
        Members of the panel shall be selected on the basis of 
        their professional qualifications to assess the effects 
        of the impact of pesticides on health and the 
        environment. To the extent feasible to insure 
        multidisciplinary representation, the panel membership 
        shall include representation from the disciplines of 
        toxicology, pathology, environmental biology, and 
        related sciences. If a vacancy occurs on the panel due 
        to expiration of a term, resignation, or any other 
        reason, each replacement shall be selected by the 
        Administrator from a group of 4 nominees, 2 submitted 
        by each of the nominating entities named in this 
        subsection. The Administrator may extend the term of a 
        panel member until the new member is appointed to fill 
        the vacancy. If a vacancy occurs due to resignation, or 
        reason other than expiration of a term, the 
        Administrator shall appoint a member to serve during 
        the unexpired term utilizing the nomination process set 
        forth in this subsection. Should the list of nominees 
        provided under this subsection be unsatisfactory, the 
        Administrator may request an additional set of nominees 
        from the nominating entities. The Administrator may 
        require such information from the nominees to the 
        advisory panel as the Administrator deems necessary, 
        and the Administrator shall publish in the Federal 
        Register the name, address, and professional 
        affiliations of each nominee. Each member of the panel 
        shall receive per diem compensation at a rate not in 
        excess of that fixed for GS-18 of the General Schedule 
        as may be determined by the Administrator, except that 
        any such member who holds another office or position 
        under the Federal Government the compensation for which 
        exceeds such rate may elect to receive compensation at 
        the rate provided for such other office or position in 
        lieu of the compensation provided by this subsection. 
        In order to assure the objectivity of the advisory 
        panel, the Administrator shall promulgate regulations 
        regarding conflicts of interest with respect to the 
        members of the panel. The advisory panel established 
        under this section shall be permanent. In performing 
        the functions assigned by this Act, the panel shall 
        consult and coordinate its activities with the Science 
        Advisory Board established under the Environmental 
        Research, Development, and Demonstration Authorization 
        Act of 1978. Whenever the Administrator exercises 
        authority under section 6(c) of this Act to immediately 
        suspend the registration of any pesticide to prevent an 
        imminent hazard, the Administrator shall promptly 
        submit to the advisory panel for comment, as to the 
        impact on health and the environment, the action taken 
        to suspend the registration of such pesticide.
          (2) Science review board.--There is established a 
        Science Review Board to consist of 60 scientists who 
        shall be available to the Scientific Advisory Panel to 
        assist in reviews conducted by the Panel. Members of 
        the Board shall be selected in the same manner as 
        members of temporary subpanels created under paragraph 
        (1). Members of the Board shall be compensated in the 
        same manner as members of the Panel.
  (e) Peer Review.--The Administrator shall, by written 
procedures, provide for peer review with respect to the design, 
protocols, and conduct of major scientific studies conducted 
under this Act by the Environmental Protection Agency or by any 
other Federal agency, any State or political subdivision 
thereof, or any institution or individual under grant, 
contract, or cooperative agreement from or with the 
Environmental Protection Agency. In such procedures, the 
Administrator shall also provide for peer review, using the 
advisory panel established under subsection (d) of this section 
or appropriate experts appointed by the Administrator from a 
current list of nominees maintained by such panel, with respect 
to the results of any such scientific studies relied upon by 
the Administrator with respect to actions the Administrator may 
take relating to the change in classification, suspension, or 
cancellation of a pesticide. Whenever the Administrator 
determines that circumstances do not permit the peer review of 
the results of any such scientific study prior to the 
Administrator's exercising authority under section 6(c) of this 
Act to immediately suspend the registration of any pesticide to 
prevent an imminent hazard, the Administrator shall promptly 
thereafter provide for the conduct of peer review as provided 
in this sentence. The evaluations and relevant documentation 
constituting the peer review that relate to the proposed 
scientific studies and the results of the completed scientific 
studies shall be included in the submission for comment 
forwarded by the Administrator to the advisory panel as 
provided in subsection (d). As used in this subsection, the 
term ``peer review'' shall mean an independent evaluation by 
scientific experts, either within or outside the Environmental 
Protection Agency, in the appropriate disciplines.

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                              ----------                              


                  FEDERAL WATER POLLUTION CONTROL ACT



           *       *       *       *       *       *       *
TITLE IV--PERMITS AND LICENSES

           *       *       *       *       *       *       *


            national pollutant discharge elimination system

  Sec. 402. (a)(1) Except as provided in sections 318 and 404 
of this Act, the Administrator may, after opportunity for 
public hearing, issue a permit for the discharge of any 
pollutant, or combination of pollutants, notwithstanding 
section 301(a), upon condition that such discharge will meet 
either (A) all applicable requirements under sections 301, 302, 
306, 307, 308, and 403 of this Act, or (B) prior to the taking 
of necessary implementing actions relating to all such 
requirements, such conditions as the Administrator determines 
are necessary to carry out the provisions of this Act.
  (2) The Administrator shall prescribe conditions for such 
permits to assure compliance with the requirements of paragraph 
(1) of this subsection, including conditions on data and 
information collection, reporting, and such other requirements 
as he deems appropriate.
  (3) The permit program of the Administrator under paragraph 
(1) of this subsection, and permits issued thereunder, shall be 
subject to the same terms, conditions, and requirements as 
apply to a State permit program and permits issued thereunder 
under subsection (b) of this section.
  (4) All permits for discharges into the navigable waters 
issued pursuant to section 13 of the Act of March 3, 1899, 
shall be deemed to be permits issued under this title, and 
permits issued under this title shall be deemed to be permits 
issued under section 13 of the Act of March 3, 1899, and shall 
continue in force and effect for their term unless revoked, 
modified, or suspended in accordance with the provisions of 
this Act.
  (5) No permit for a discharge into the navigable waters shall 
be issued under section 13 of the Act of March 3, 1899, after 
the date of enactment of this title. Each application for a 
permit under section 13 of the Act of March 3, 1899, pending on 
the date of enactment of this Act shall be deemed to be an 
application for a permit under this section. The Administrator 
shall authorize a State, which he determines has the capability 
of administering a permit program which will carry out the 
objective of this Act, to issue permits for discharges into the 
navigable waters within the jurisdiction of such State. The 
Administrator may exercise the authority granted him by the 
preceding sentence only during the period which begins on the 
date of enactment of this Act and ends either on the ninetieth 
day after the date of the first promulgation of guidelines 
required by section 304(i)(2) of this Act, or the date of 
approval by the Administrator of a permit program for such 
State under subsection (b) of this section, whichever date 
first occurs, and no such authorization to a State shall extend 
beyond the last day of such period. Each such permit shall be 
subject to such conditions as the Administrator determines are 
necessary to carry out the provisions of this Act. No such 
permit shall issue if the Administrator objects to such 
issuance.
  (b) At any time after the promulgation of the guidelines 
required by subsection (i)(2) of section 304 of this Act, the 
Governor of each State desiring to administer its own permit 
program for discharges into navigable waters within its 
jurisdiction may submit to the Administrator a full and 
complete description of the program it proposes to establish 
and administer under State law or under an interstate compact. 
In addition, such State shall submit a statement from the 
attorney general (or the attorney for those State water 
pollution control agencies which have independent legal 
counsel), or from the chief legal officer in the case of an 
interstate agency, that the laws of such State, or the 
interstate compact, as the case may be, provide adequate 
authority to carry out the described program. The Administrator 
shall approve each such submitted program unless he determines 
that adequate authority does not exist:
  (1) To issue permits which--
          (A) apply, and insure compliance with, any applicable 
        requirements of sections 301, 302, 306, 307, and 403;
          (B) are for fixed terms not exceeding five years; and
          (C) can be terminated or modified for cause 
        including, but not limited to, the following:
                  (i) violation of any condition of the permit;
                  (ii) obtaining a permit by misrepresentation, 
                or failure to disclose fully all relevant 
                facts;
                  (iii) change in any condition that requires 
                either a temporary or permanent reduction or 
                elimination of the permitted discharge;
          (D) control the disposal of pollutants into wells;
  (2)(A) To issue permits which apply, and insure compliance 
with, all applicable requirements of section 308 of this Act, 
or
  (B) To inspect, monitor, enter, and require reports to at 
least the same extent as required in section 308 of this Act;
  (3) To insure that the public, and any other State the waters 
of which may be affected, receive notice of each application 
for a permit and to provide an opportunity for public hearing 
before a ruling on each such application;
  (4) To insure that the Administrator receives notice of each 
application (including a copy thereof) for a permit;
  (5) To insure that any State (other than the permitting 
State), whose waters may be affected by the issuance of a 
permit may submit written recommendations to the permitting 
State (and the Administrator) with respect to any permit 
application and, if any part of such written recommendations 
are not accepted by the permitting State, that the permitting 
State will notify such affected State (and the Administrator) 
in writing of its failure to so accept such recommendations 
together with its reasons for so doing;
  (6) To insure that no permit will be issued if, in the 
judgment of the Secretary of the Army acting through the Chief 
of Engineers, after consultation with the Secretary of the 
department in which the Coast Guard is operating, anchorage and 
navigation of any of the navigable waters would be 
substantially impaired thereby;
  (7) To abate violations of the permit or the permit program, 
including civil and criminal penalties and other ways and means 
of enforcement;
  (8) To insure that any permit for a discharge from a publicly 
owned treatment works includes conditions to require the 
identification in terms of character and volume of pollutants 
of any significant source introducing pollutants subject to 
pretreatment standards under section 307(b) of this Act into 
such works and a program to assure compliance with such 
pretreatment standards by each such source, in addition to 
adequate notice to the permitting agency of (A) new 
introductions into such works of pollutants from any source 
which would be a new source as defined in section 306 if such 
source were discharging pollutants, (B) new introductions of 
pollutants into such works from a source which would be subject 
to section 301 if it were discharging such pollutants, or (C) a 
substantial change in volume or character of pollutants being 
introduced into such works by a source introducing pollutants 
into such works at the time of issuance of the permit. Such 
notice shall include information on the quality and quantity of 
effluent to be introduced into such treatment works and any 
anticipated impact of such change in the quantity or quality of 
effluent to be discharged from such publicly owned treatment 
works; and
  (9) To insure that any industrial user of any publicly owned 
treatment works will comply with sections 204(b), 307, and 308.
  (c)(1) Not later than ninety days after the date on which a 
State has submitted a program (or revision thereof) pursuant to 
subsection (b) of this section, the Administrator shall suspend 
the issuance of permits under subsection (a) of this section as 
to those discharges subject to such program unless he 
determines that the State permit program does not meet the 
requirements of subsection (b) of this section or does not 
conform to the guidelines issued under section 304(i)(2) of 
this Act. If the Administrator so determines, he shall notify 
the State of any revisions or modifications necessary to 
conform to such requirements or guidelines.
  (2) Any State permit program under this section shall at all 
times be in accordance with this section and guidelines 
promulgated pursuant to section 304(i)(2) of this Act.
  (3) Whenever the Administrator determines after public 
hearing that a State is not administering a program approved 
under this section in accordance with requirements of this 
section, he shall so notify the State and, if appropriate 
corrective action is not taken within a reasonable time, not to 
exceed ninety days, the Administrator shall withdraw approval 
of such program. The Administrator shall not withdraw approval 
of any such program unless he shall first have notified the 
State, and made public, in writing, the reasons for such 
withdrawal.
          (4) Limitations on partial permit program returns and 
        withdrawals.--A State may return to the Administrator 
        administration, and the Administrator may withdraw 
        under paragraph (3) of this subsection approval, of--
                  (A) a State partial permit program approved 
                under subsection (n)(3) only if the entire 
                permit program being administered by the State 
                department or agency at the time is returned or 
                withdrawn; and
                  (B) a State partial permit program approved 
                under subsection (n)(4) only if an entire 
                phased component of the permit program being 
                administered by the State at the time is 
                returned or withdrawn.
  (d)(1) Each State shall transmit to the Administrator a copy 
of each permit application received by such State and provide 
notice to the Administrator of every action related to the 
consideration of such permit application, including each permit 
proposed to be issued by such State.
  (2) No permit shall issue (A) if the Administrator within 
ninety days of the date of his notification under subsection 
(b)(5) of this section objects in writing to the issuance of 
such permit, or (B) if the Administrator within ninety days of 
the date of transmittal of the proposed permit by the State 
objects in writing to the issuance of such permit as being 
outside the guidelines and requirements of this Act. Whenever 
the Administrator objects to the issuance of a permit under 
this paragraph such written objection shall contain a statement 
of the reasons for such objection and the effluent limitations 
and conditions which such permit would include if it were 
issued by the Administrator.
  (3) The Administrator may, as to any permit application, 
waive paragraph (2) of this subsection.
  (4) In any case where, after the date of enactment of this 
paragraph, the Administrator, pursuant to paragraph (2) of this 
subsection, objects to the issuance of a permit, on request of 
the State, a public hearing shall be held by the Administrator 
on such objection. If the State does not resubmit such permit 
revised to meet such objection within 30 days after completion 
of the hearing, or, if no hearing is requested within 90 days 
after the date of such objection, the Administrator may issue 
the permit pursuant to subsection (a) of this section for such 
source in accordance with the guidelines and requirements of 
this Act.
  (e) In accordance with guidelines promulgated pursuant to 
subsection (i)(2) of section 304 of this Act, the Administrator 
is authorized to waive the requirements of subsection (d) of 
this section at the time he approves a program pursuant to 
subsection (b) of this section for any category (including any 
class, type, or size within such category) of point sources 
within the State submitting such program.
  (f) The Administrator shall promulgate regulations 
establishing categories of point sources which he determines 
shall not be subject to the requirements of subsection (d) of 
this section in any State with a program approved pursuant to 
subsection (b) of this section. The Administrator may 
distinguish among classes, types, and sizes within any category 
of point sources.
  (g) Any permit issued under this section for the discharge of 
pollutants into the navigable waters from a vessel or other 
floating craft shall be subject to any applicable regulations 
promulgated by the Secretary of the Department in which the 
Coast Guard is operating, establishing specifications for safe 
transportation, handling, carriage, storage, and stowage of 
pollutants.
  (h) In the event any condition of a permit for discharges 
from a treatment works (as defined in section 212 of this Act) 
which is publicly owned is violated, a State with a program 
approved under subsection (b) of this section or the 
Administrator, where no State program is approved or where the 
Administrator determines pursuant to section 309(a) of this Act 
that a State with an approved program has not commenced 
appropriate enforcement action with respect to such permit, may 
proceed in a court of competent jurisdiction to restrict or 
prohibit the introduction of any pollutant into such treatment 
works by a source not utilizing such treatment works prior to 
the finding that such condition was violated.
  (i) Nothing in this section shall be construed to limit the 
authority of the Administrator to take action pursuant to 
section 309 of this Act.
  (j) A copy of each permit application and each permit issued 
under this section shall be available to the public. Such 
permit application or permit, or portion thereof, shall further 
be available on request for the purpose of reproduction.
  (k) Compliance with a permit issued pursuant to this section 
shall be deemed compliance, for purposes of sections 309 and 
505, with sections 301, 302, 306, 307, and 403, except any 
standard imposed under section 307 for a toxic pollutant 
injurious to human health. Until December 31, 1974, in any case 
where a permit for discharge has been applied for pursuant to 
this section, but final administrative disposition of such 
application has not been made, such discharge shall not be a 
violation of (1) section 301, 306, or 402 of this Act, or (2) 
section 13 of the Act of March 3, 1899, unless the 
Administrator or other plaintiff proves that final 
administrative disposition of such application has not been 
made because of the failure of the applicant to furnish 
information reasonably required or requested in order to 
process the application. For the 180-day period beginning on 
the date of enactment of the Federal Water Pollution Control 
Act Amendments of 1972, in the case of any point source 
discharging any pollutant or combination of pollutants 
immediately prior to such date of enactment which source is not 
subject to section 13 of the Act of March 3, 1899, the 
discharge by such source shall not be a violation of this Act 
if such a source applies for a permit for discharge pursuant to 
this section within such 180-day period.
  (l) Limitation on Permit Requirement.--
          (1) Agricultural return flows.--The Administrator 
        shall not require a permit under this section for 
        discharges composed entirely of return flows from 
        irrigated agriculture, nor shall the Administrator 
        directly or indirectly, require any State to require 
        such a permit.
          (2) Stormwater runoff from oil, gas, and mining 
        operations.--The Administrator shall not require a 
        permit under this section, nor shall the Administrator 
        directly or indirectly require any State to require a 
        permit, for discharges of stormwater runoff from mining 
        operations or oil and gas exploration, production, 
        processing, or treatment operations or transmission 
        facilities, composed entirely of flows which are from 
        conveyances or systems of conveyances (including but 
        not limited to pipes, conduits, ditches, and channels) 
        used for collecting and conveying precipitation runoff 
        and which are not contaminated by contact with, or do 
        not come into contact with, any overburden, raw 
        material, intermediate products, finished product, 
        byproduct, or waste products located on the site of 
        such operations.
          (3) Silvicultural activities.--
                  (A) NPDES permit requirements for 
                silvicultural activities.--The Administrator 
                shall not require a permit under this section 
                nor directly or indirectly require any State to 
                require a permit under this section for a 
                discharge from runoff resulting from the 
                conduct of the following silviculture 
                activities conducted in accordance with 
                standard industry practice: nursery operations, 
                site preparation, reforestation and subsequent 
                cultural treatment, thinning, prescribed 
                burning, pest and fire control, harvesting 
                operations, surface drainage, or road 
                construction and maintenance.
                  (B) Other requirements.--Nothing in this 
                paragraph exempts a discharge from 
                silvicultural activity from any permitting 
                requirement under section 404, existing 
                permitting requirements under section 402, or 
                from any other federal law.
                  (C) The authorization provided in Section 
                505(a) does not apply to any non-permitting 
                program established under 402(p)(6) for the 
                silviculture activities listed in 402(l)(3)(A), 
                or to any other limitations that might be 
                deemed to apply to the silviculture activities 
                listed in 402(l)(3)(A).
  (m) Additional Pretreatment of Conventional Pollutants Not 
Required.--To the extent a treatment works (as defined in 
section 212 of this Act) which is publicly owned is not meeting 
the requirements of a permit issued under this section for such 
treatment works as a result of inadequate design or operation 
of such treatment works, the Administrator, in issuing a permit 
under this section, shall not require pretreatment by a person 
introducing conventional pollutants identified pursuant to a 
section 304(a)(4) of this Act into such treatment works other 
than pretreatment required to assure compliance with 
pretreatment standards under subsection (b)(8) of this section 
and section 307(b)(1) of this Act. Nothing in this subsection 
shall affect the Administrator's authority under sections 307 
and 309 of this Act, affect State and local authority under 
sections 307(b)(4) and 510 of this Act, relieve such treatment 
works of its obligations to meet requirements established under 
this Act, or otherwise preclude such works from pursuing 
whatever feasible options are available to meet its 
responsibility to comply with its permit under this section.
  (n) Partial Permit Program.--
          (1) State submission.--The Governor of a State may 
        submit under subsection (b) of this section a permit 
        program for a portion of the discharges into the 
        navigable waters in such State.
          (2) Minimum coverage.--A partial permit program under 
        this subsection shall cover, at a minimum, 
        administration of a major category of the discharges 
        into the navigable waters of the State or a major 
        component of the permit program required by subsection 
        (b).
          (3) Approval of major category partial permit 
        programs.--The Administrator may approve a partial 
        permit program covering administration of a major 
        category of discharges under this subsection if--
                  (A) such program represents a complete permit 
                program and covers all of the discharges under 
                the jurisdiction of a department or agency of 
                the State; and
                  (B) the Administrator determines that the 
                partial program represents a significant and 
                identifiable part of the State program required 
                by subsection (b).
          (4) Approval of major component partial permit 
        programs.--The Administrator may approve under this 
        subsection a partial and phased permit program covering 
        administration of a major component (including 
        discharge categories) of a State permit program 
        required by subsection (b) if--
                  (A) the Administrator determines that the 
                partial program represents a significant and 
                identifiable part of the State program required 
                by subsection (b); and
                  (B) the State submits, and the Administrator 
                approves, a plan for the State to assume 
                administration by phases of the remainder of 
                the State program required by subsection (b) by 
                a specified date not more than 5 years after 
                submission of the partial program under this 
                subsection and agrees to make all reasonable 
                efforts to assume such administration by such 
                date.
  (o) Anti-Backsliding.--
          (1) General prohibition.--In the case of effluent 
        limitations established on the basis of subsection 
        (a)(1)(B) of this section, a permit may not be renewed, 
        reissued, or modified on the basis of effluent 
        guidelines promulgated under section 304(b) subsequent 
        to the original issuance of such permit, to contain 
        effluent limitations which are less stringent than the 
        comparable effluent limitations in the previous permit. 
        In the case of effluent limitations established on the 
        basis of section 301(b)(1)(C) or section 303(d) or (e), 
        a permit may not be renewed, reissued, or modified to 
        contain effluent limitations which are less stringent 
        than the comparable effluent limitations in the 
        previous permit except in compliance with section 
        303(d)(4).
          (2) Exceptions.--A permit with respect to which 
        paragraph (1) applies may be renewed, reissued, or 
        modified to contain a less stringent effluent 
        limitation applicable to a pollutant if--
                  (A) material and substantial alterations or 
                additions to the permitted facility occurred 
                after permit issuance which justify the 
                application of a less stringent effluent 
                limitation;
                  (B)(i) information is available which was not 
                available at the time of permit issuance (other 
                than revised regulations, guidance, or test 
                methods) and which would have justified the 
                application of a less stringent effluent 
                limitation at the time of permit issuance; or
                  (ii) the Administrator determines that 
                technical mistakes or mistaken interpretations 
                of law were made in issuing the permit under 
                subsection (a)(1)(B);
                  (C) a less stringent effluent limitation is 
                necessary because of events over which the 
                permittee has no control and for which there is 
                no reasonably available remedy;
                  (D) the permittee has received a permit 
                modification under section 301(c), 301(g), 
                301(h), 301(i), 301(k), 301(n), or 316(a); or
                  (E) the permittee has installed the treatment 
                facilities required to meet the effluent 
                limitations in the previous permit and has 
                properly operated and maintained the facilities 
                but has nevertheless been unable to achieve the 
                previous effluent limitations, in which case 
                the limitations in the reviewed, reissued, or 
                modified permit may reflect the level of 
                pollutant control actually achieved (but shall 
                not be less stringent than required by effluent 
                guidelines in effect at the time of permit 
                renewal, reissuance, or modification).
        Subparagraph (B) shall not apply to any revised waste 
        load allocations or any alternative grounds for 
        translating water quality standards into effluent 
        limitations, except where the cumulative effect of such 
        revised allocations results in a decrease in the amount 
        of pollutants discharged into the concerned waters, and 
        such revised allocations are not the result of a 
        discharger eliminating or substantially reducing its 
        discharge of pollutants due to complying with the 
        requirements of this Act or for reasons otherwise 
        unrelated to water quality.
          (3) Limitations.--In no event may a permit with 
        respect to which paragraph (1) applies be renewed, 
        reissued, or modified to contain an effluent limitation 
        which is less stringent than required by effluent 
        guidelines in effect at the time the permit is renewed, 
        reissued, or modified. In no event may such a permit to 
        discharge into waters be renewed, reissued, or modified 
        to contain a less stringent effluent limitation if the 
        implementation of such limitation would result in a 
        violation of a water quality standard under section 303 
        applicable to such waters.
  (p) Municipal and Industrial Stormwater Discharges.--
          (1) General rule.--Prior to October 1, 1994, the 
        Administrator or the State (in the case of a permit 
        program approved under section 402 of this Act) shall 
        not require a permit under this section for discharges 
        composed entirely of stormwater.
          (2) Exceptions.--Paragraph (1) shall not apply with 
        respect to the following stormwater discharges:
                  (A) A discharge with respect to which a 
                permit has been issued under this section 
                before the date of the enactment of this 
                subsection.
                  (B) A discharge associated with industrial 
                activity.
                  (C) A discharge from a municipal separate 
                storm sewer system serving a population of 
                250,000 or more.
                  (D) A discharge from a municipal separate 
                storm sewer system serving a population of 
                100,000 or more but less than 250,000.
                  (E) A discharge for which the Administrator 
                or the State, as the case may be, determines 
                that the stormwater discharge contributes to a 
                violation of a water quality standard or is a 
                significant contributor of pollutants to waters 
                of the United States.
          (3) Permit requirements.--
                  (A) Industrial discharges.--Permits for 
                discharges associated with industrial activity 
                shall meet all applicable provisions of this 
                section and section 301.
                  (B) Municipal discharge.--Permits for 
                discharges from municipal storm sewers--
                          (i) may be issued on a system- or 
                        jurisdiction-wide basis;
                          (ii) shall include a requirement to 
                        effectively prohibit non-stormwater 
                        discharges into the storm sewers; and
                          (iii) shall require controls to 
                        reduce the discharge of pollutants to 
                        the maximum extent practicable, 
                        including management practices, control 
                        techniques and system, design and 
                        engineering methods, and such other 
                        provisions as the Administrator or the 
                        State determines appropriate for the 
                        control of such pollutants.
          (4) Permit application requirements.--
                  (A) Industrial and large municipal 
                discharges.--Not later than 2 years after the 
                date of the enactment of this subsection, the 
                Administrator shall establish regulations 
                setting forth the permit application 
                requirements for stormwater discharges 
                described in paragraphs (2)(B) and (2)(C). 
                Applications for permits for such discharges 
                shall be filed no later than 3 years after such 
                date of enactment. Not later than 4 years after 
                such date of enactment the Administrator or the 
                State, as the case may be, shall issue or deny 
                each such permit. Any such permit shall provide 
                for compliance as expeditiously as practicable, 
                but in no event later than 3 years after the 
                date of issuance of such permit.
                  (B) Other municipal discharges.--Not later 
                than 4 years after the date of the enactment of 
                this subsection, the Administrator shall 
                establish regulations setting forth the permit 
                application requirements for stormwater 
                discharges described in paragraph (2)(D). 
                Applications for permits for such discharges 
                shall be filed no later than 5 years after such 
                date of enactment. Not later than 6 years after 
                such date of enactment, the Administrator or 
                the State, as the case may be, shall issue or 
                deny each such permit. Any such permit shall 
                provide for compliance as expeditiously as 
                practicable, but in no event later than 3 years 
                after the date of issuance of such permit.
          (5) Studies.--The Administrator, in consultation with 
        the States, shall conduct a study for the purposes of--
                  (A) identifying those stormwater discharges 
                or classes of stormwater discharges for which 
                permits are not required pursuant to paragraphs 
                (1) and (2) of this subsection;
                  (B) determining, to the maximum extent 
                practicable, the nature and extent of 
                pollutants in such discharges; and
                  (C) establishing procedures and methods to 
                control stormwater discharges to the extent 
                necessary to mitigate impacts on water quality.
        Not later than October 1, 1988, the Administrator shall 
        submit to Congress a report on the results of the study 
        described in subparagraphs (A) and (B). Not later than 
        October 1, 1989, the Administrator shall submit to 
        Congress a report on the results of the study described 
        in subparagraph (C).
          (6) Regulations.--Not later than October 1, 1993, the 
        Administrator, in consultation with State and local 
        officials, shall issue regulations (based on the 
        results of the studies conducted under paragraph (5)) 
        which designate stormwater discharges, other than those 
        discharges described in paragraph (2), to be regulated 
        to protect water quality and shall establish a 
        comprehensive program to regulate such designated 
        sources. The program shall, at a minimum, (A) establish 
        priorities, (B) establish requirements for State 
        stormwater management programs, and (C) establish 
        expeditious deadlines. The program may include 
        performance standards, guidelines, guidance, and 
        management practices and treatment requirements, as 
        appropriate.
  (q) Combined Sewer Overflows.--
          (1) Requirement for permits, orders, and decrees.--
        Each permit, order, or decree issued pursuant to this 
        Act after the date of enactment of this subsection for 
        a discharge from a municipal combined storm and 
        sanitary sewer shall conform to the Combined Sewer 
        Overflow Control Policy signed by the Administrator on 
        April 11, 1994 (in this subsection referred to as the 
        ``CSO control policy'').
          (2) Water quality and designated use review 
        guidance.--Not later than July 31, 2001, and after 
        providing notice and opportunity for public comment, 
        the Administrator shall issue guidance to facilitate 
        the conduct of water quality and designated use reviews 
        for municipal combined sewer overflow receiving waters.
          (3) Report.--Not later than September 1, 2001, the 
        Administrator shall transmit to Congress a report on 
        the progress made by the Environmental Protection 
        Agency, States, and municipalities in implementing and 
        enforcing the CSO control policy.
  (r) Discharges Incidental to the Normal Operation of 
Recreational Vessels.--No permit shall be required under this 
Act by the Administrator (or a State, in the case of a permit 
program approved under subsection (b)) for the discharge of any 
graywater, bilge water, cooling water, weather deck runoff, oil 
water separator effluent, or effluent from properly functioning 
marine engines, or any other discharge that is incidental to 
the normal operation of a vessel, if the discharge is from a 
recreational vessel.
  (s) Discharges of Pesticides.--
          (1) No permit requirement.--Except as provided in 
        paragraph (2), a permit shall not be required by the 
        Administrator or a State under this Act for a discharge 
        from a point source into navigable waters of a 
        pesticide authorized for sale, distribution, or use 
        under the Federal Insecticide, Fungicide, and 
        Rodenticide Act, or the residue of such a pesticide, 
        resulting from the application of such pesticide.
          (2) Exceptions.--Paragraph (1) shall not apply to the 
        following discharges of a pesticide or pesticide 
        residue:
                  (A) A discharge resulting from the 
                application of a pesticide in violation of a 
                provision of the Federal Insecticide, 
                Fungicide, and Rodenticide Act that is relevant 
                to protecting water quality, if--
                          (i) the discharge would not have 
                        occurred but for the violation; or
                          (ii) the amount of pesticide or 
                        pesticide residue in the discharge is 
                        greater than would have occurred 
                        without the violation.
                  (B) Stormwater discharges subject to 
                regulation under subsection (p).
                  (C) The following discharges subject to 
                regulation under this section:
                          (i) Manufacturing or industrial 
                        effluent.
                          (ii) Treatment works effluent.
                          (iii) Discharges incidental to the 
                        normal operation of a vessel, including 
                        a discharge resulting from ballasting 
                        operations or vessel biofouling 
                        prevention.

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                              ----------                              


                          PLANT PROTECTION ACT



           *       *       *       *       *       *       *
TITLE IV--PLANT PROTECTION ACT

           *       *       *       *       *       *       *


Subtitle A--Plant Protection

           *       *       *       *       *       *       *


[SEC. 419. METHYL BROMIDE.

  [(a) In General.--The Secretary, upon request of State, 
local, or tribal authorities, shall determine whether methyl 
bromide treatments or applications required by State, local, or 
tribal authorities to prevent the introduction, establishment, 
or spread of plant pests (including diseases) or noxious weeds 
should be authorized as an official control or official 
requirement. The Secretary shall not authorize such treatments 
or applications unless the Secretary finds there is no other 
registered, effective, and economically feasible alternative 
available.
  [(b) Methyl Bromide Alternative.--The Secretary, in 
consultation with State, local and tribal authorities, shall 
establish a program to identify alternatives to methyl bromide 
for treatment and control of plant pests and weeds. For uses 
where no registered, effective, economically feasible 
alternatives available can currently be identified, the 
Secretary shall initiate research programs to develop 
alternative methods of control and treatment.
  [(c) Registry.--Not later than 180 days after the date of 
enactment of this section, the Secretary shall publish, and 
thereafter maintain, a registry of State, local, and tribal 
requirements authorized by the Secretary under this section.
  [(d) Administration.--
          [(1) Timeline for determination.--Upon the 
        promulgation of regulations to carry out this section, 
        the Secretary shall make the determination required by 
        subsection (a) not later than 90 days after receiving 
        the request for such a determination.
          [(2) Construction.--Nothing in this section shall be 
        construed to alter or modify the authority of the 
        Administrator of the Environmental Protection Agency or 
        to provide any authority to the Secretary of 
        Agriculture under the Clean Air Act or regulations 
        promulgated under the Clean Air Act.]

SEC. 419. METHYL BROMIDE.

  (a) Authorization.--
          (1) In general.--Subject to paragraphs (2) and (3), a 
        State, local, or Tribal authority may authorize the use 
        of methyl bromide for a qualified use if the authority 
        determines the use is required to respond to an 
        emergency event. The Secretary may authorize such a use 
        if the Secretary determines such a use is required to 
        respond to an emergency event.
          (2) Notification.--Not later than 5 days after the 
        date on which a State, local, or Tribal authority makes 
        the determination described in paragraph (1), the 
        State, local, or Tribal authority intending to 
        authorize the use of methyl bromide for a qualified use 
        shall submit to the Secretary a notification that 
        contains the information described in subsection (b).
          (3) Objection.--A State, local, or Tribal authority 
        may not authorize the use of methyl bromide under 
        paragraph (1) if the Secretary objects to such use 
        under subsection (c) within the 5-day period specified 
        in such subsection.
  (b) Notification Contents.--A notification submitted under 
subsection (a)(2) by a State, local, or Tribal authority shall 
contain--
          (1) a certification that the State, local, or Tribal 
        authority requires the use of methyl bromide to respond 
        to an emergency event;
          (2) a description of the emergency event and the 
        economic loss that would result from such emergency 
        event;
          (3) the identity and contact information for the 
        responsible individual of the authority; and
          (4) with respect to the qualified use of methyl 
        bromide that is the subject of the notification--
                  (A) the specific location in which the methyl 
                bromide is to be used and the total acreage of 
                such location;
                  (B) the identity of the pest or pests to be 
                controlled by such use;
                  (C) the total volume of methyl bromide to be 
                used; and
                  (D) the anticipated date of such use.
  (c) Objection.--
          (1) In general.--The Secretary, not later than 5 days 
        after the receipt of a notification submitted under 
        subsection (a)(2), may object to the authorization of 
        the use of methyl bromide under such subsection by a 
        State, local, or Tribal authority by sending the State, 
        local, or Tribal authority a notification in writing of 
        such objection that--
                  (A) states the reasons for such objection; 
                and
                  (B) specifies any additional information that 
                the Secretary would require to withdraw the 
                objection.
          (2) Reasons for objection.--The Secretary may object 
        to an authorization described in paragraph (1) if the 
        Secretary determines that--
                  (A) the notification submitted under 
                subsection (a)(2) does not--
                          (i) contain all of the information 
                        specified in paragraphs (1) through (4) 
                        of subsection (b); or
                          (ii) demonstrate the existence of an 
                        emergency event; or
                  (B) the qualified use specified in the 
                notification does not comply with the 
                limitations specified in subsection (e).
          (3) Withdrawal of objection.--The Secretary shall 
        withdraw an objection under this subsection if--
                  (A) not later than 14 days after the date on 
                which the Secretary sends the notification 
                under paragraph (1) to the State, local, or 
                Tribal authority involved, the State, local, or 
                Tribal authority submits to the Secretary the 
                additional information specified in such 
                notification; and
                  (B) such additional information is submitted 
                to the satisfaction of the Secretary.
          (4) Effect of withdrawal.--Upon the issuance of a 
        withdrawal under paragraph (3), the State, local, or 
        Tribal authority involved may authorize the use of 
        methyl bromide for the qualified use specified in the 
        notification submitted under subsection (a)(2).
  (d) Use for Emergency Events Consistent With FIFRA.--The 
production, distribution, sale, shipment, application, or use 
of a pesticide product containing methyl bromide in accordance 
with an authorization for a use under subsection (a) shall be 
deemed an authorized production, distribution, sale, shipment, 
application, or use of such product under the Federal 
Insecticide, Fungicide, and Rodenticide Act, regardless of 
whether the intended use is registered and included in the 
label approved for the product by the Administrator of the 
Environmental Protection Agency under such Act.
  (e) Limitations on Use.--
          (1) Limitations on use per emergency event.--The 
        amount of methyl bromide that may be used per emergency 
        event at a specific location shall not exceed 20 metric 
        tons.
          (2) Limits on aggregate amount.--The aggregate amount 
        of methyl bromide allowed pursuant to this section for 
        use in the United States in a calendar year shall not 
        exceed the total amount authorized by the Parties to 
        the Montreal Protocol pursuant to the Montreal Protocol 
        process for critical uses in the United States in 
        calendar year 2011.
  (f) Ensuring Adequate Supply of Methyl Bromide.--
Notwithstanding any other provision of law, it shall not be 
unlawful for any person or entity to produce or import methyl 
bromide, or otherwise supply methyl bromide from inventories 
(produced or imported pursuant to the Clean Air Act for other 
purposes) in response to an emergency event in accordance with 
subsection (a).
  (g) Exclusive Authority of the Secretary.--Nothing in this 
section shall be construed to alter or modify the authority of 
the Secretary to use methyl bromide for quarantine and pre-
shipment, without limitation, under the Clean Air Act.
  (h) Definitions.--
          (1) Emergency event.--The term ``emergency event'' 
        means a situation--
                  (A) that occurs at a location on which a 
                plant or commodity is grown or produced or a 
                facility providing for the storage of, or other 
                services with respect to, a plant or commodity;
                  (B) for which the lack of availability of 
                methyl bromide for a particular use would 
                result in significant economic loss to the 
                owner, lessee, or operator of such a location 
                or facility or the owner, grower, or purchaser 
                of such a plant or commodity; and
                  (C) that, in light of the specific 
                agricultural, meteorological, or other 
                conditions presented, requires the use of 
                methyl bromide to control a pest or disease in 
                such location or facility because there are no 
                technically or economically feasible 
                alternatives to methyl bromide easily 
                accessible by an entity referred to in 
                subparagraph (B) at the time and location of 
                the event that--
                          (i) are registered under the Federal 
                        Insecticide, Fungicide, and Rodenticide 
                        Act (7 U.S.C. 136 et seq.) for the 
                        intended use or pest to be so 
                        controlled; and
                          (ii) would adequately control the 
                        pest or disease presented at such 
                        location or facility.
          (2) Pest.--The term ``pest'' has the meaning given 
        such term in section 2 of the Federal Insecticide, 
        Fungicide, and Rodenticide Act (7 U.S.C. 136).
          (3) Qualified use.--The term ``qualified use'' means, 
        with respect to methyl bromide, a methyl bromide 
        treatment or application in an amount not to exceed the 
        limitations specified in subsection (e) in response to 
        an emergency event.

           *       *       *       *       *       *       *

                              ----------                              


                       FEDERAL CROP INSURANCE ACT



           *       *       *       *       *       *       *
                        TITLE V--CROP INSURANCE

Subtitle A--Federal Crop Insurance Act

           *       *       *       *       *       *       *


SEC. 508. CROP INSURANCE.

  (a) Authority to Offer Insurance.--
          (1) In general.--If sufficient actuarial data are 
        available (as determined by the Corporation), the 
        Corporation may insure, or provide reinsurance for 
        insurers of, producers of agricultural commodities 
        grown in the United States under 1 or more plans of 
        insurance determined by the Corporation to be adapted 
        to the agricultural commodity concerned. To qualify for 
        coverage under a plan of insurance, the losses of the 
        insured commodity must be due to drought, flood, or 
        other natural disaster (as determined by the 
        Secretary).
          (2) Period.--Except in the cases of tobacco, 
        potatoes, and sweet potatoes, insurance shall not 
        extend beyond the period during which the insured 
        commodity is in the field. As used in the preceding 
        sentence, in the case of an aquacultural species, the 
        term ``field'' means the environment in which the 
        commodity is produced.
          (3) Exclusion of losses due to certain actions of 
        producer.--
                  (A) Exclusions.--Insurance provided under 
                this subsection shall not cover losses due to--
                          (i) the neglect or malfeasance of the 
                        producer;
                          (ii) the failure of the producer to 
                        reseed to the same crop in such areas 
                        and under such circumstances as it is 
                        customary to reseed; or
                          (iii) the failure of the producer to 
                        follow good farming practices, 
                        including scientifically sound 
                        sustainable and organic farming 
                        practices.
                  (B) Good farming practices.--
                          (i) Informal administrative 
                        process.--A producer shall have the 
                        right to a review of a determination 
                        regarding good farming practices made 
                        under subparagraph (A)(iii) in 
                        accordance with an informal 
                        administrative process to be 
                        established by the Corporation.
                          (ii) Administrative review.--
                                  (I) No adverse decision.--The 
                                determination shall not be 
                                considered an adverse decision 
                                for purposes of subtitle H of 
                                the Department of Agriculture 
                                Reorganization Act of 1994 (7 
                                U.S.C. 6991 et seq.).
                                  (II) Reversal or 
                                modification.--Except as 
                                provided in clause (i), the 
                                determination may not be 
                                reversed or modified as the 
                                result of a subsequent 
                                administrative review.
                          (iii) Judicial review.--
                                  (I) Right to review.--A 
                                producer shall have the right 
                                to judicial review of the 
                                determination without 
                                exhausting any right to a 
                                review under clause (i).
                                  (II) Reversal or 
                                modification.--The 
                                determination may not be 
                                reversed or modified as the 
                                result of judicial review 
                                unless the determination is 
                                found to be arbitrary or 
                                capricious.
                  (C) Limitation on revenue coverage for 
                potatoes.--No policy or plan of insurance 
                provided under this subtitle (including a 
                policy or plan of insurance approved by the 
                Board under subsection (h)) shall cover losses 
                due to a reduction in revenue for potatoes 
                except as covered under a whole farm policy or 
                plan of insurance, as determined by the 
                Corporation.
          (4) Expansion to other areas or single producers.--
                  (A) Area expansion.--The Corporation may 
                offer plans of insurance or reinsurance for 
                production of agricultural commodities in the 
                Commonwealth of Puerto Rico, the Virgin 
                Islands, Guam, American Samoa, the Commonwealth 
                of the Northern Mariana Islands, the Republic 
                of the Marshall Islands, the Federated States 
                of Micronesia, and the Republic of Palau in the 
                same manner as provided in this section for 
                production of agricultural commodities in the 
                United States.
                  (B) Producer expansion.--In an area in the 
                United States or specified in subparagraph (A) 
                where crop insurance is not available for a 
                particular agricultural commodity, the 
                Corporation may offer to enter into a written 
                agreement with an individual producer operating 
                in the area for insurance coverage under this 
                subtitle if the producer has actuarially sound 
                data relating to the production by the producer 
                of the commodity or similar commodities and the 
                data is acceptable to the Corporation.
          (5) Dissemination of crop insurance information.--
                  (A) Available information.--The Corporation 
                shall make available to producers through local 
                offices of the Department--
                          (i) current and complete information 
                        on all aspects of Federal crop 
                        insurance; and
                          (ii) a listing of insurance agents 
                        and companies offering to sell crop 
                        insurance in the area of the producers.
                  (B) Use of electronic methods.--
                          (i) Dissemination by corporation.--
                        The Corporation shall make the 
                        information described in subparagraph 
                        (A) available electronically to 
                        producers and approved insurance 
                        providers.
                          (ii) Submission to corporation.--To 
                        the maximum extent practicable, the 
                        Corporation shall allow producers and 
                        approved insurance providers to use 
                        electronic methods to submit 
                        information required by the 
                        Corporation.
          (6) Addition of new and specialty crops.--
                  (A) Data collection.--Not later than 180 days 
                after the date of enactment of this paragraph, 
                the Secretary shall issue guidelines for 
                publication in the Federal Register for data 
                collection to assist the Corporation in 
                formulating crop insurance policies for new and 
                specialty crops.
                  (B) Addition of new crops.--Not later than 1 
                year after the date of enactment of this 
                paragraph, and annually thereafter, the 
                Corporation shall report to Congress on the 
                progress and expected timetable for expanding 
                crop insurance coverage under this subtitle to 
                new and specialty crops.
                  (C) Addition of direct sale perishable 
                crops.--Not later than 1 year after the date of 
                enactment of this paragraph, the Corporation 
                shall report to Congress on the feasibility of 
                offering a crop insurance program designed to 
                meet the needs of specialized producers of 
                vegetables and other perishable crops who 
                market through direct marketing channels.
                  (D) Addition of nursery crops.--Not later 
                than 2 years after the date of enactment of 
                this subparagraph, the Corporation shall 
                conduct a study and limited pilot program on 
                the feasibility of insuring nursery crops.
          (7) Adequate coverage for states.--
                  (A) Definition of adequately served.--In this 
                paragraph, the term ``adequately served'' means 
                having a participation rate that is at least 50 
                percent of the national average participation 
                rate.
                  (B) Review.--The Board shall review the 
                policies and plans of insurance that are 
                offered by approved insurance providers under 
                this subtitle to determine if each State is 
                adequately served by the policies and plans of 
                insurance.
                  (C) Report.--
                          (i) In general.--Not later than 30 
                        days after completion of the review 
                        under subparagraph (B), the Board shall 
                        submit to Congress a report on the 
                        results of the review.
                          (ii) Recommendations.--The report 
                        shall include recommendations to 
                        increase participation in States that 
                        are not adequately served by the 
                        policies and plans of insurance.
          (8) Special provisions for cotton and rice.--
        Notwithstanding any other provision of this subtitle, 
        beginning with the 2001 crops of upland cotton, extra 
        long staple cotton, and rice, the Corporation shall 
        offer plans of insurance, including prevented planting 
        coverage and replanting coverage, under this subtitle 
        that cover losses of upland cotton, extra long staple 
        cotton, and rice resulting from failure of irrigation 
        water supplies due to drought and saltwater intrusion.
          (9) Premium adjustments.--
                  (A) Prohibition.--Except as provided in 
                subparagraph (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); or
                          [(ii) a performance-based discount 
                        authorized under subsection (d)(3); or]
                          [(iii)] (ii) 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.
                  (C) Publication of violations.--
                          (i) Publication required.--Subject to 
                        clause (ii), the Corporation shall 
                        publish in a timely manner on the 
                        website of the Risk Management Agency 
                        information regarding each violation of 
                        this paragraph, including any sanctions 
                        imposed in response to the violation, 
                        in sufficient detail so that the 
                        information may serve as effective 
                        guidance to approved insurance 
                        providers, agents, and producers.
                          (ii) Protection of privacy.--In 
                        providing information under clause (i) 
                        regarding violations of this paragraph, 
                        the Corporation shall redact the 
                        identity of the persons and entities 
                        committing the violations in order to 
                        protect the privacy of those persons 
                        and entities.
          (10) Commissions.--
                  (A) Definition of immediate family.--In this 
                paragraph, the term ``immediate family'' means 
                an individual's father, mother, stepfather, 
                stepmother, brother, sister, stepbrother, 
                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) for the sale 
                or service of a policy or plan of insurance 
                offered under this subtitle 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 individual 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 
                        specified 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 subtitle for the 
                        reinsurance year.
                  (C) Reporting.--Not later than 90 days after 
                the annual settlement date of the reinsurance 
                year, any individual that received directly or 
                indirectly any compensation for the service or 
                sale of any policy or plan of insurance offered 
                under this subtitle in the prior reinsurance 
                year shall certify to applicable approved 
                insurance providers that the compensation that 
                the individual received was in compliance 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.
  (b) Catastrophic Risk Protection.--
          (1) Coverage availability.--
                  [(A) In general.--Except as provided in 
                subparagraph (B), the] The Corporation shall 
                offer a catastrophic risk protection plan to 
                indemnify producers for crop loss due to loss 
                of yield or prevented planting, if provided by 
                the Corporation, when the producer is unable, 
                because of drought, flood, or other natural 
                disaster (as determined by the Secretary), to 
                plant other crops for harvest on the acreage 
                for the crop year.
                  [(B) Exception.--Coverage described in 
                subparagraph (A) shall not be available for 
                crops and grasses used for grazing.]
          (2) Amount of coverage.--
                  (A) In general.--Subject to subparagraph 
                (B)--
                          (i) in the case of each of the 1995 
                        through 1998 crop years, catastrophic 
                        risk protection shall offer a producer 
                        coverage for a 50 percent loss in 
                        yield, on an individual yield or area 
                        yield basis, indemnified at 60 percent 
                        of the expected market price, or a 
                        comparable coverage (as determined by 
                        the Corporation); and
                          (ii) in the case of each of the 1999 
                        and subsequent crop years, catastrophic 
                        risk protection shall offer a producer 
                        coverage for a 50 percent loss in 
                        yield, on an individual yield or area 
                        yield basis, indemnified at 55 percent 
                        of the expected market price, or a 
                        comparable coverage (as determined by 
                        the Corporation).
                  (B) Reduction in actual payment.--The amount 
                paid to a producer on a claim under 
                catastrophic risk protection may reflect a 
                reduction that is proportional to the out-of-
                pocket expenses that are not incurred by the 
                producer as a result of not planting, growing, 
                or harvesting the crop for which the claim is 
                made, as determined by the Corporation.
          (3) Alternative catastrophic coverage.--Beginning 
        with the 2001 crop year, the Corporation shall offer 
        producers of an agricultural commodity the option of 
        selecting either of the following:
                  (A) The catastrophic risk protection coverage 
                available under paragraph (2)(A).
                  (B) An alternative catastrophic risk 
                protection coverage that--
                          (i) indemnifies the producer on an 
                        area yield and loss basis if such a 
                        policy or plan of insurance is offered 
                        for the agricultural commodity in the 
                        county in which the farm is located;
                          (ii) provides, on a uniform national 
                        basis, a higher combination of yield 
                        and price protection than the coverage 
                        available under paragraph (2)(A); and
                          (iii) the Corporation determines is 
                        comparable to the coverage available 
                        under paragraph (2)(A) for purposes of 
                        subsection (e)(2)(A).
          (4) Sale of catastrophic risk coverage.--
                  (A) In general.--Catastrophic risk coverage 
                may be offered by--
                          (i) approved insurance providers, if 
                        available in an area; and
                          (ii) at the option of the Secretary 
                        that is based on considerations of 
                        need, local offices of the Department.
                  (B) Need.--For purposes of considering need 
                under subparagraph (A)(ii), the Secretary may 
                take into account the most efficient and cost-
                effective use of resources, the availability of 
                personnel, fairness to local producers, the 
                needs and convenience of local producers, and 
                the availability of private insurance carriers.
                  (C) Delivery of coverage.--
                          (i) In general.--In full consultation 
                        with approved insurance providers, the 
                        Secretary may continue to offer 
                        catastrophic risk protection in a State 
                        (or a portion of a State) through local 
                        offices of the Department if the 
                        Secretary determines that there is an 
                        insufficient number of approved 
                        insurance providers operating in the 
                        State or portion of the State to 
                        adequately provide catastrophic risk 
                        protection coverage to producers.
                          (ii) Coverage by approved insurance 
                        providers.--To the extent that 
                        catastrophic risk protection coverage 
                        by approved insurance providers is 
                        sufficiently available in a State (or a 
                        portion of a State) as determined by 
                        the Secretary, only approved insurance 
                        providers may provide the coverage in 
                        the State or portion of the State.
                          (iii) Timing of determinations.--Not 
                        later than 90 days after the date of 
                        enactment of this subparagraph, the 
                        Secretary shall announce the results of 
                        the determinations under clause (i) for 
                        policies for the 1997 crop year. For 
                        subsequent crop years, the Secretary 
                        shall make the announcement not later 
                        than April 30 of the year preceding the 
                        year in which the crop will be 
                        produced, or at such other times during 
                        the year as the Secretary finds 
                        practicable in consultation with 
                        affected crop insurance providers for 
                        those States (or portions of States) in 
                        which catastrophic coverage remains 
                        available through local offices of the 
                        Department.
                          (iv) Current policies.--This clause 
                        shall take effect beginning with the 
                        1997 crop year. Subject to clause (ii) 
                        all catastrophic risk protection 
                        policies written by local offices of 
                        the Department shall be transferred to 
                        the approved insurance provider for 
                        performance of all sales, service, and 
                        loss adjustment functions. Any fees in 
                        connection with such policies that are 
                        not yet collected at the time of the 
                        transfer shall be payable to the 
                        approved insurance providers assuming 
                        the policies. The transfer process for 
                        policies for the 1997 crop year with 
                        sales closing dates before January 1, 
                        1997, shall begin at the time of the 
                        Secretary's announcement under clause 
                        (iii) and be completed by the sales 
                        closing date for the crop and county. 
                        The transfer process for all subsequent 
                        policies (including policies for the 
                        1998 and subsequent crop years) shall 
                        begin at a date that permits the 
                        process to be completed not later than 
                        45 days before the sales closing date.
          (5) Administrative fee.--
                  (A) Basic fee.--Each producer shall pay an 
                administrative fee for catastrophic risk 
                protection in the amount of [$300] $500 per 
                crop per county.
                  (B) Payment of catastrophic risk protection 
                fee on behalf of producers.--
                          (i) Payment authorized.--If State law 
                        permits a licensing fee to be paid by 
                        an insurance provider to a cooperative 
                        association or trade association and 
                        rebated to a producer through the 
                        payment of catastrophic risk protection 
                        administrative fees, a cooperative 
                        association or trade association 
                        located in that State may pay, on 
                        behalf of a member of the association 
                        in that State or a contiguous State who 
                        consents to be insured under such an 
                        arrangement, all or a portion of the 
                        administrative fee required by this 
                        paragraph for catastrophic risk 
                        protection.
                          (ii) Selection of provider.--Nothing 
                        in this subparagraph limits the option 
                        of a producer to select the licensed 
                        insurance agent or other approved 
                        insurance provider from whom the 
                        producer will purchase a policy or plan 
                        of insurance or to refuse coverage for 
                        which a payment is offered to be made 
                        under clause (i).
                          (iii) Delivery of insurance.--
                        Catastrophic risk protection coverage 
                        for which a payment is made under 
                        clause (i) shall be delivered by a 
                        licensed insurance agent or other 
                        approved insurance provider.
                          (iv) Additional coverage 
                        encouraged.--A cooperative association 
                        or trade association, and any approved 
                        insurance provider with whom a 
                        licensing fee is made, shall encourage 
                        producer members to purchase 
                        appropriate levels of coverage in order 
                        to meet the risk management needs of 
                        the member producers.
                  (C) Time for payment.--The administrative fee 
                required by this paragraph shall be paid by the 
                producer on the same date on which the premium 
                for a policy of additional coverage would be 
                paid by the producer.
                  (D) Use of fees.--
                          (i) In general.--The amounts paid 
                        under this paragraph shall be deposited 
                        in the crop insurance fund established 
                        under section 516(c), to be available 
                        for the programs and activities of the 
                        Corporation.
                          (ii) Limitation.--No funds deposited 
                        in the crop insurance fund under this 
                        subparagraph may be used to compensate 
                        an approved insurance provider or agent 
                        for the delivery of services under this 
                        subsection.
                  (E) Waiver of fee.--The Corporation shall 
                waive the amounts required under this paragraph 
                for limited resource farmers and beginning 
                farmers or ranchers, as defined by the 
                Corporation.
          (6) Participation requirement.--A producer may obtain 
        catastrophic risk coverage for a crop of the producer 
        on land in the county only if the producer obtains the 
        coverage for the crop on all insurable land of the 
        producer in the county.
          (7) Limitation due to risk.--The Corporation may 
        limit catastrophic risk coverage in any county or area, 
        or on any farm, on the basis of the insurance risk 
        concerned.
          (8) Transitional coverage for 1995 crops.--Effective 
        only for a 1995 crop planted or for which insurance 
        attached prior to January 1, 1995, the Corporation 
        shall allow producers of the crops until not later than 
        the end of the 180-day period beginning on the date of 
        enactment of the Federal Crop Insurance Reform Act of 
        1994 to obtain catastrophic risk protection for the 
        crop. On enactment of such Act, a producer who made 
        timely purchases of a crop insurance policy before the 
        date of enactment of such Act, under the provisions of 
        this subtitle then in effect, shall be eligible for the 
        same benefits to which a producer would be entitled 
        under comparable additional coverage under subsection 
        (c).
          (9) Simplification.--
                  (A) Catastrophic risk protection plans.--In 
                developing and carrying out the policies and 
                procedures for a catastrophic risk protection 
                plan under this subtitle, the Corporation 
                shall, to the maximum extent practicable, 
                minimize the paperwork required and the 
                complexity and costs of procedures governing 
                applications for, processing, and servicing of 
                the plan for all parties involved.
                  (B) Other plans.--To the extent that the 
                policies and procedures developed under 
                subparagraph (A) may be applied to other plans 
                of insurance offered under this subtitle 
                without jeopardizing the actuarial soundness or 
                integrity of the crop insurance program, the 
                Corporation shall apply the policies and 
                procedures to the other plans of insurance 
                within a reasonable period of time (as 
                determined by the Corporation) after the 
                effective date of this paragraph.
          (10) Loss adjustment.--The rate for reimbursing an 
        approved insurance provider or agent for expenses 
        incurred by the approved insurance provider or agent 
        for loss adjustment in connection with a policy of 
        catastrophic risk protection shall not exceed 6 percent 
        of the premium for catastrophic risk protection that is 
        used to define loss ratio.
  (c) General Coverage Levels.--
          (1) Additional coverage generally.--
                  (A) In general.--The Corporation shall offer 
                to producers of agricultural commodities grown 
                in the United States plans of crop insurance 
                that provide additional coverage.
                  (B) Purchase.--To be eligible for additional 
                coverage, a producer must apply to an approved 
                insurance provider for purchase of additional 
                coverage if the coverage is available from an 
                approved insurance provider. If additional 
                coverage is unavailable privately, the 
                Corporation may offer additional coverage plans 
                of insurance directly to producers.
                  (C) Ineligible crops and acres.--Crops for 
                which the producer has elected under section 
                1117 of the Agriculture and Nutrition Act of 
                2018 to receive agriculture risk coverage and 
                acres that are enrolled in the stacked income 
                protection plan under section 508B shall not be 
                eligible for--
                          (i) coverage based on an area yield 
                        and loss basis under paragraph 
                        (3)(A)(ii); or
                          (ii) supplemental coverage under 
                        paragraph (4)(C).
          (2) Transfer of relevant information.--If a producer 
        has already applied for catastrophic risk protection at 
        the local office of the Department and elects to 
        purchase additional coverage, the relevant information 
        for the crop of the producer shall be transferred to 
        the approved insurance provider servicing the 
        additional coverage crop policy.
          (3) Yield and loss basis options.--A producer shall 
        have the option of purchasing additional coverage based 
        on--
                  (A)(i) an individual yield and loss basis;
                  (ii) an area yield and loss basis;
                  (B) an individual yield and loss basis, 
                supplemented with coverage based on an area 
                yield and loss basis to cover a part of the 
                deductible under the individual yield and loss 
                policy, as described in paragraph (4)(C); or
                  (C) a margin basis alone or in combination 
                with the coverages available under subparagraph 
                (A) or (B).
          (4) Level of coverage.--
                  (A) Dollar denomination and percentage of 
                yield.--Except as provided in subparagraph (C), 
                the level of coverage--
                          (i) shall be dollar denominated; and
                          (ii) may be purchased at any level 
                        not to exceed 85 percent of the 
                        individual yield or 95 percent of the 
                        area yield (as determined by the 
                        Corporation).
                  (B) Information.--The Corporation shall 
                provide producers with information on 
                catastrophic risk and additional coverage in 
                terms of dollar coverage (within the allowable 
                limits of coverage provided in this paragraph).
                  (C) Supplemental coverage option.--
                          (i) In general.--Notwithstanding 
                        subparagraph (A), in the case of the 
                        supplemental coverage option described 
                        in paragraph (3)(B), the Corporation 
                        shall offer producers the opportunity 
                        to purchase coverage in combination 
                        with a policy or plan of insurance 
                        offered under this subtitle that would 
                        allow indemnities to be paid to a 
                        producer equal to a part of the 
                        deductible under the policy or plan of 
                        insurance--
                                  (I) at a county-wide level to 
                                the fullest extent practicable; 
                                or
                                  (II) in counties that lack 
                                sufficient data, on the basis 
                                of such larger geographical 
                                area as the Corporation 
                                determines to provide 
                                sufficient data for purposes of 
                                providing the coverage.
                          (ii) Trigger.--Coverage offered under 
                        paragraph (3)(B) and clause (i) shall 
                        be triggered only if the losses in the 
                        area exceed 14 percent of normal levels 
                        (as determined by the Corporation).
                          (iii) Coverage.--Subject to the 
                        trigger described in clause (ii), 
                        coverage offered under paragraph (3)(B) 
                        and clause (i) shall not exceed the 
                        difference between--
                                  (I) 86 percent; and
                                  (II) the coverage level 
                                selected by the producer for 
                                the underlying policy or plan 
                                of insurance.
                          [(iv) Ineligible crops and acres.--
                        Crops for which the producer has 
                        elected under section 1116 of the 
                        Agricultural Act of 2014 to receive 
                        agriculture risk coverage and acres 
                        that are enrolled in the stacked income 
                        protection plan under section 508B 
                        shall not be eligible for supplemental 
                        coverage under this subparagraph.]
                          [(v)] (iv) Calculation of premium.--
                        Notwithstanding subsection (d), the 
                        premium for coverage offered under 
                        paragraph (3)(B) and clause (i) shall--
                                  (I) be sufficient to cover 
                                anticipated losses and a 
                                reasonable reserve; and
                                  (II) include an amount for 
                                operating and administrative 
                                expenses established in 
                                accordance with subsection 
                                (k)(4)(F).
          (5) Expected market price.--
                  (A) Establishment or approval.--For the 
                purposes of this subtitle, the Corporation 
                shall establish or approve the price level 
                (referred to in this subtitle as the ``expected 
                market price'') of each agricultural commodity 
                for which insurance is offered.
                  (B) General rule.--Except as otherwise 
                provided in subparagraph (C), the expected 
                market price of an agricultural commodity shall 
                be not less than the projected market price of 
                the agricultural commodity, as determined by 
                the Corporation.
                  (C) Other authorized approaches.--The 
                expected market price of an agricultural 
                commodity--
                          (i) may be based on the actual market 
                        price of the agricultural commodity at 
                        the time of harvest, as determined by 
                        the Corporation;
                          (ii) in the case of revenue and other 
                        similar plans of insurance, may be the 
                        actual market price of the agricultural 
                        commodity, as determined by the 
                        Corporation;
                          (iii) in the case of cost of 
                        production or similar plans of 
                        insurance, shall be the projected cost 
                        of producing the agricultural 
                        commodity, as determined by the 
                        Corporation; or
                          (iv) in the case of other plans of 
                        insurance, may be an appropriate 
                        amount, as determined by the 
                        Corporation.
                  (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 Corporation 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 
                                determining an expected market 
                                price for sorghum for both the 
                                production and revenue-based 
                                plans of insurance to more 
                                accurately reflect the actual 
                                price at harvest.
                                  (II) Requirements.--The 
                                expert reviewers under 
                                subclause (I) shall be 
                                comprised of agricultural 
                                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 methodology 
                                to determine the expected 
                                market price for grain sorghum 
                                under both the production and 
                                revenue-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 production 
                                and revenue-based plans of 
                                insurance that is transparent 
                                and replicable.
                                  (II) Interim methodology.--
                                Until the date on which the new 
                                pricing methodology is 
                                implemented, the Corporation 
                                may continue to use the pricing 
                                methodology that the 
                                Corporation determines best 
                                establishes the expected market 
                                price.
                                  (III) Availability.--On an 
                                annual basis, the Corporation 
                                shall make available the 
                                pricing methodology and data 
                                used to determine the expected 
                                market prices for grain sorghum 
                                under the production 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.
          (6) Price elections.--
                  (A) In general.--Subject to subparagraph (B), 
                insurance coverage shall be made available to a 
                producer on the basis of any price election 
                that equals or is less than the price election 
                established by the Corporation. The coverage 
                shall be quoted in terms of dollars per acre.
                  (B) Minimum price elections.--The Corporation 
                may establish minimum price elections below 
                which levels of insurance shall not be offered.
                  (C) Wheat classes and malting barley.--The 
                Corporation shall, as the Corporation 
                determines practicable, offer producers 
                different price elections for classes of wheat 
                and malting barley (including contract prices 
                in the case of malting barley), in addition to 
                the standard price election, that reflect 
                different market prices, as determined by the 
                Corporation. The Corporation shall, as the 
                Corporation determines practicable, offer 
                additional coverage for each class determined 
                under this subparagraph and charge a premium 
                for each class that is actuarially sound.
                  (D) Organic crops.--
                          (i) In general.--As soon as possible, 
                        but not later than the 2015 reinsurance 
                        year, the Corporation shall offer 
                        producers of organic crops price 
                        elections for all organic crops 
                        produced in compliance with standards 
                        issued by the Department of Agriculture 
                        under the national organic program 
                        established under the Organic Foods 
                        Production Act of 1990 (7 U.S.C. 6501 
                        et seq.) that reflect the actual retail 
                        or wholesale prices, as appropriate, 
                        received by producers for organic 
                        crops, as determined by the Secretary 
                        using all relevant sources of 
                        information.
                          (ii) Annual report.--The Corporation 
                        shall 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 progress 
                        made in developing and improving 
                        Federal crop insurance for organic 
                        crops, including--
                                  (I) the numbers and varieties 
                                of organic crops insured;
                                  (II) the progress of 
                                implementing the price 
                                elections required under this 
                                subparagraph, including the 
                                rate at which additional price 
                                elections are adopted for 
                                organic crops;
                                  (III) the development of new 
                                insurance approaches relevant 
                                to organic producers; and
                                  (IV) any recommendations the 
                                Corporation considers 
                                appropriate to improve Federal 
                                crop insurance coverage for 
                                organic crops.
          (7) Fire and hail coverage.--For levels of additional 
        coverage equal to 65 percent or more of the recorded or 
        appraised average yield indemnified at 100 percent of 
        the expected market price, or an equivalent coverage, a 
        producer may elect to delete from the additional 
        coverage any coverage against damage caused by fire and 
        hail if the producer obtains an equivalent or greater 
        dollar amount of coverage for damage caused by fire and 
        hail from an approved insurance provider. On written 
        notice of the election to the company issuing the 
        policy providing additional coverage and submission of 
        evidence of substitute coverage on the commodity 
        insured, the premium of the producer shall be reduced 
        by an amount determined by the Corporation to be 
        actuarially appropriate, taking into account the 
        actuarial value of the remaining coverage provided by 
        the Corporation. In no event shall the producer be 
        given credit for an amount of premium determined to be 
        greater than the actuarial value of the protection 
        against losses caused by fire and hail that is included 
        in the additional coverage for the crop.
          (8) State premium subsidies.--The Corporation may 
        enter into an agreement with any State or agency of a 
        State under which the State or agency may pay to the 
        approved insurance provider an additional premium 
        subsidy to further reduce the portion of the premium 
        paid by producers in the State.
          (9) Limitations on additional coverage.--The Board 
        may limit the availability of additional coverage under 
        this subsection in any county or area, or on any farm, 
        on the basis of the insurance risk involved. The Board 
        shall not offer additional coverage equal to less than 
        50 percent of the recorded or appraised average yield 
        indemnified at 100 percent of the expected market 
        price, or an equivalent coverage.
          (10) Administrative fee.--
                  (A) Fee required.--If a producer elects to 
                purchase coverage for a crop at a level in 
                excess of catastrophic risk protection, the 
                producer shall pay an administrative fee for 
                the additional coverage of $30 per crop per 
                county.
                  (B) Use of fees; waiver.--Subparagraphs (D) 
                and (E) of subsection (b)(5) shall apply with 
                respect to the collection and use of 
                administrative fees under this paragraph.
                  (C) Time for payment.--Subsection (b)(5)(C) 
                shall apply with respect to the collection date 
                for the administrative fee.
  (d) Premiums.--
          (1) Premiums required.--The Corporation shall fix 
        adequate premiums for all the plans of insurance of the 
        Corporation at such rates as the Board determines are 
        actuarially sufficient to attain an expected loss ratio 
        of 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.
          (2) Premium amounts.--The premium amounts for 
        catastrophic risk protection under subsection (b) and 
        additional coverage under subsection (c) shall be fixed 
        as follows:
                  (A) In the case of catastrophic risk 
                protection, the amount of the premium 
                established by the Corporation for each crop 
                for which catastrophic risk protection is 
                available shall be reduced by the percentage 
                equal to the difference between the average 
                loss ratio for the crop and 100 percent, plus a 
                reasonable reserve, as determined by the 
                Corporation.
                  (B) In the case of additional coverage equal 
                to or greater than 50 percent of the recorded 
                or appraised average yield indemnified at not 
                greater than 100 percent of the expected market 
                price, or a comparable coverage for a policy or 
                plan of insurance that is not based on 
                individual yield, the amount of the premium 
                shall--
                          (i) be sufficient to cover 
                        anticipated losses and a reasonable 
                        reserve; and
                          (ii) include an amount for operating 
                        and administrative expenses, as 
                        determined by the Corporation, on an 
                        industry-wide basis as a percentage of 
                        the amount of the premium used to 
                        define loss ratio.
          [(3) Performance-based discount.--The Corporation may 
        provide a performance-based premium discount for a 
        producer of an agricultural commodity who has good 
        insurance or production experience relative to other 
        producers of that agricultural commodity in the same 
        area, as determined by the Corporation.]
          [(4)] (3) Billing date for premiums.--Effective 
        beginning with the 2012 reinsurance year, the 
        Corporation shall establish August 15 as the billing 
        date for premiums.
  (e) Payment of Portion of Premium by Corporation.--
          (1) In general.--For the purpose of encouraging the 
        broadest possible participation of producers in the 
        catastrophic risk protection provided under subsection 
        (b) and the additional coverage provided under 
        subsection (c), the Corporation shall pay a part of the 
        premium in the amounts provided in accordance with this 
        subsection.
          (2) Amount of payment.--Subject to paragraphs (3), 
        (6), and (7), the amount of the premium to be paid by 
        the Corporation shall be as follows:
                  (A) In the case of catastrophic risk 
                protection, the amount shall be equivalent to 
                the premium established for catastrophic risk 
                protection under subsection (d)(2)(A).
                  (B) In the case of additional coverage equal 
                to or greater than 50 percent, but less than 55 
                percent, of the recorded or appraised average 
                yield indemnified at not greater than 100 
                percent of the expected market price, or a 
                comparable coverage for a policy or plan of 
                insurance that is not based on individual 
                yield, the amount shall be equal to the sum 
                of--
                          (i) 67 percent of the amount of the 
                        premium established 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 
                        operating and administrative expenses.
                  (C) In the case of additional coverage equal 
                to or greater than 55 percent, but less than 65 
                percent, of the recorded or appraised average 
                yield indemnified at not greater than 100 
                percent of the expected market price, or a 
                comparable coverage for a policy or plan of 
                insurance that is not based on individual 
                yield, the amount shall be equal to the sum 
                of--
                          (i) 64 percent of the amount of the 
                        premium established 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 
                        operating and administrative expenses.
                  (D) In the case of additional coverage equal 
                to or greater than 65 percent, but less than 75 
                percent, of the recorded or appraised average 
                yield indemnified at not greater than 100 
                percent of the expected market price, or a 
                comparable coverage for a policy or plan of 
                insurance that is not based on individual 
                yield, the amount shall be equal to the sum 
                of--
                          (i) 59 percent of the amount of the 
                        premium established 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 
                        operating and administrative expenses.
                  (E) In the case of additional coverage equal 
                to or greater than 75 percent, but less than 80 
                percent, of the recorded or appraised average 
                yield indemnified at not greater than 100 
                percent of the expected market price, or a 
                comparable coverage for a policy or plan of 
                insurance that is not based on individual 
                yield, the amount shall be equal to the sum 
                of--
                          (i) 55 percent of the amount of the 
                        premium established 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 
                        operating and administrative expenses.
                  (F) In the case of additional coverage equal 
                to or greater than 80 percent, but less than 85 
                percent, of the recorded or appraised average 
                yield indemnified at not greater than 100 
                percent of the expected market price, or a 
                comparable coverage for a policy or plan of 
                insurance that is not based on individual 
                yield, the amount shall be equal to the sum 
                of--
                          (i) 48 percent of the amount of the 
                        premium established 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 
                        operating and administrative expenses.
                  (G) Subject to subsection (c)(4), in the case 
                of additional coverage equal to or greater than 
                85 percent of the recorded or appraised average 
                yield indemnified at not greater than 100 
                percent of the expected market price, or a 
                comparable coverage for a policy or plan of 
                insurance that is not based on individual 
                yield, the amount shall be equal to the sum 
                of--
                          (i) 38 percent of the amount of the 
                        premium established 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 
                        operating and administrative expenses.
                  (H) In the case of the supplemental coverage 
                option authorized in subsection (c)(4)(C), the 
                amount shall be equal to the sum of--
                          (i) 65 percent of the additional 
                        premium associated with the coverage; 
                        and
                          (ii) the amount determined under 
                        subsection (c)(4)(C)(v)(II), subject to 
                        subsection (k)(4)(F), for the coverage 
                        to cover operating and administrative 
                        expenses.
          (3) Prohibition on continuous coverage.--
        Notwithstanding paragraph (2), during each of the 2001 
        and subsequent reinsurance years, additional coverage 
        under subsection (c) shall be available only in 5 
        percent increments beginning at 50 percent of the 
        recorded or appraised average yield.
          (4) Premium payment disclosure.--Each policy or plan 
        of insurance under this subtitle shall prominently 
        indicate the dollar amount of the portion of the 
        premium paid by the Corporation.
          (5) Enterprise and whole farm units.--
                  (A) In general.--The Corporation may pay 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.
                  (D) Nonirrigated crops.--Beginning with the 
                2015 crop year, the Corporation shall make 
                available separate enterprise units for 
                irrigated and nonirrigated acreage of crops in 
                counties.
          (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 established 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 
                        operating and administrative expenses.
                  (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 established 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 
                        operating 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 established 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 
                        operating 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 established 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 
                        operating 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 established 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 
                        operating 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 established 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 
                        operating 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 established 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 
                        operating and administrative expenses.
          (8) Premium for beginning farmers or ranchers.--
        Notwithstanding any other provision of this subsection 
        regarding payment of a portion of premiums, a beginning 
        farmer or rancher shall receive premium assistance that 
        is 10 percentage points greater than premium assistance 
        that would otherwise be available under paragraphs (2) 
        (except for subparagraph (A) of that paragraph), (5), 
        (6), and (7) for the applicable policy, plan of 
        insurance, and coverage level selected by the beginning 
        farmer or rancher.
  (f) Eligibility.--
          (1) In general.--To participate in catastrophic risk 
        protection coverage under this section, a producer 
        shall submit an application at the local office of the 
        Department or to an approved insurance provider.
          (2) Sales closing date.--
                  (A) In general.--For coverage under this 
                subtitle, each producer shall purchase crop 
                insurance on or before the sales closing date 
                for the crop by providing the required 
                information and executing the required 
                documents. Subject to the goal of ensuring 
                actuarial soundness for the crop insurance 
                program, the sales closing date shall be 
                established by the Corporation to maximize 
                convenience to producers in obtaining benefits 
                under price and production adjustment programs 
                of the Department.
                  (B) Established dates.--Except as provided in 
                subparagraph (C), the Corporation shall 
                establish, for an insurance policy for each 
                insurable crop that is planted in the spring, a 
                sales closing date that is 30 days earlier than 
                the corresponding sales closing date that was 
                established for the 1994 crop year.
                  (C) Exception.--If compliance with 
                subparagraph (B) results in a sales closing 
                date for an agricultural commodity that is 
                earlier than January 31, the sales closing date 
                for that commodity shall be January 31 
                beginning with the 2000 crop year.
          (3) Records and reporting.--To obtain catastrophic 
        risk protection under subsection (b) or additional 
        coverage under subsection (c), a producer shall--
                  (A) provide annually records acceptable to 
                the Secretary regarding crop acreage, acreage 
                yields, and production for each agricultural 
                commodity insured under this subtitle or accept 
                a yield determined by the Corporation; and
                  (B) report acreage planted and prevented from 
                planting by the designated acreage reporting 
                date for the crop and location as established 
                by the Corporation.
  (g) Yield Determinations.--
          (1) In general.--Subject to paragraph (2), the 
        Corporation shall establish crop insurance underwriting 
        rules that ensure that yield coverage, as specified in 
        this subsection, is provided to eligible producers 
        obtaining catastrophic risk protection under subsection 
        (b) or additional coverage under subsection (c).
          (2) Yield coverage plans.--
                  (A) Actual production history.--Subject to 
                subparagraph (B) and paragraph (4)(C), the 
                yield for a crop shall be based on the actual 
                production history for the crop, if the crop 
                was produced on the farm without penalty during 
                each of the 4 crop years immediately preceding 
                the crop year for which actual production 
                history is being established, building up to a 
                production data base for each of the 10 
                consecutive crop years preceding the crop year 
                for which actual production history is being 
                established.
                  (B) Assigned yield.--If the producer does not 
                provide satisfactory evidence of the yield of a 
                commodity under subparagraph (A), the producer 
                shall be assigned--
                          (i) a yield that is not less than 65 
                        percent of the transitional yield of 
                        the producer (adjusted to reflect 
                        actual production reflected in the 
                        records acceptable to the Corporation 
                        for continuous years), as specified in 
                        regulations issued by the Corporation 
                        based on production history 
                        requirements;
                          (ii) a yield determined by the 
                        Corporation, in the case of--
                                  (I) a producer that has not 
                                had a share of the production 
                                of the insured crop for more 
                                than two crop years, as 
                                determined by the Secretary;
                                  (II) a producer that produces 
                                an agricultural commodity on 
                                land that has not been farmed 
                                by the producer; or
                                  (III) a producer that rotates 
                                a crop produced on a farm to a 
                                crop that has not been produced 
                                on the farm; or
                          (iii) if the producer is a beginning 
                        farmer or rancher who was previously 
                        involved in a farming or ranching 
                        operation, including involvement in the 
                        decisionmaking or physical involvement 
                        in the production of the crop or 
                        livestock on the farm, for any acreage 
                        obtained by the beginning farmer or 
                        rancher, a yield that is the higher 
                        of--
                                  (I) the actual production 
                                history of the previous 
                                producer of the crop or 
                                livestock on the acreage 
                                determined under subparagraph 
                                (A); or
                                  (II) a yield of the producer, 
                                as determined in clause (i).
                  (C) Area yield.--The Corporation may offer a 
                crop insurance plan based on an area yield that 
                allows an insured producer to qualify for an 
                indemnity if a loss has occurred in an area (as 
                specified by the Corporation) in which the farm 
                of the producer is located. Under an area yield 
                plan, an insured producer shall be allowed to 
                select the level of area production at which an 
                indemnity will be paid consistent with such 
                terms and conditions as are established by the 
                Corporation.
                  (D) Commodity-by-commodity basis.--A producer 
                may choose between individual yield or area 
                yield coverage or combined coverage, if 
                available, on a commodity-by-commodity basis.
                  (E) Sources of yield data.--To determine 
                yields under this paragraph, the Corporation--
                          (i) shall use county data collected 
                        by the Risk Management Agency, the 
                        National Agricultural Statistics 
                        Service, or both; or
                          (ii) if sufficient county data is not 
                        available, may use other data 
                        considered appropriate by the 
                        Secretary.
          (3) Transitional yields for producers of feed or 
        forage.--
                  (A) In general.--If a producer does not 
                provide satisfactory evidence of a yield under 
                paragraph (2)(A), the producer shall be 
                assigned a yield that is at least 80 percent of 
                the transitional yield established by the 
                Corporation (adjusted to reflect the actual 
                production history of the producer) if the 
                Secretary determines that--
                          (i) the producer grows feed or forage 
                        primarily for on-farm use in a 
                        livestock, dairy, or poultry operation; 
                        and
                          (ii) over 50 percent of the net farm 
                        income of the producer is derived from 
                        the operation.
                  (B) Yield calculation.--The Corporation 
                shall--
                          (i) for the first year of 
                        participation of a producer, provide 
                        the assigned yield under this paragraph 
                        to the producer of feed or forage; and
                          (ii) for the second year of 
                        participation of the producer, apply 
                        the actual production history or 
                        assigned yield requirement, as provided 
                        in this subsection.
                  (C) Termination of authority.--The authority 
                provided by this paragraph shall terminate on 
                the date that is 3 years after the effective 
                date of this paragraph.
          (4) Adjustment in actual production history to 
        establish insurable yields.--
                  (A) Application.--This paragraph shall apply 
                whenever the Corporation uses the actual 
                production records of the producer to establish 
                the producer's actual production history for an 
                agricultural commodity for any of the 2001 and 
                subsequent crop years.
                  (B) Election to use percentage of 
                transitional yield.--If, for one or more of the 
                crop years used to establish the producer's 
                actual production history of an agricultural 
                commodity, the producer's recorded or appraised 
                yield of the commodity was less than 60 percent 
                of the applicable transitional yield, as 
                determined by the Corporation, the Corporation 
                shall, at the election of the producer--
                          (i) exclude any of such recorded or 
                        appraised yield; and--
                          (ii)(I) replace each excluded yield 
                        with a yield equal to 60 percent of the 
                        applicable transitional yield; or
                          (II) in the case of beginning farmers 
                        or ranchers, replace each excluded 
                        yield with a yield equal to 80 percent 
                        of the applicable transitional yield.
                  (C) Election to exclude certain history.--
                          (i) In general.--Notwithstanding 
                        paragraph (2), with respect to 1 or 
                        more of the crop years used to 
                        establish the actual production history 
                        of an agricultural commodity of the 
                        producer, the producer may elect to 
                        exclude any recorded or appraised yield 
                        for any crop year in which the per 
                        planted acre yield of the agricultural 
                        commodity in the county of the producer 
                        was at least 50 percent below the 
                        simple average of the per planted acre 
                        yield of the agricultural commodity in 
                        the county during the previous 10 
                        consecutive crop years.
                          (ii) Contiguous counties.--In any 
                        crop year that a producer in a county 
                        is eligible to make an election to 
                        exclude a yield under clause (i), a 
                        producer in a contiguous county is 
                        eligible to make such an election.
                          (iii) Irrigation practice.--For 
                        purposes of determining whether the per 
                        planted acre yield of the agricultural 
                        commodity in the county of the producer 
                        was at least 50 percent below the 
                        simple average of the per planted acre 
                        yield of the agricultural commodity in 
                        the county during the previous 10 
                        consecutive crop years, the Corporation 
                        shall make a separate determination for 
                        irrigated and nonirrigated acreage.
                  (D) Premium adjustment.--In the case of a 
                producer that makes an election under 
                subparagraph (B) or (C), the Corporation shall 
                adjust the premium to reflect the risk 
                associated with the adjustment made in the 
                actual production history of the producer.
          (5) Adjustment to reflect increased yields from 
        successful pest control efforts.--
                  (A) Situations justifying adjustment.--The 
                Corporation shall develop a methodology for 
                adjusting the actual production history of a 
                producer when each of the following apply:
                          (i) The producer's farm is located in 
                        an area where systematic, area-wide 
                        efforts have been undertaken using 
                        certain operations or measures, or the 
                        producer's farm is a location at which 
                        certain operations or measures have 
                        been undertaken, to detect, eradicate, 
                        suppress, or control, or at least to 
                        prevent or retard the spread of, a 
                        plant disease or plant pest, including 
                        a plant pest (as defined in section 102 
                        of the Department of Agriculture 
                        Organic Act of 1944 (7 U.S.C. 147a)).
                          (ii) The presence of the plant 
                        disease or plant pest has been found to 
                        adversely affect the yield of the 
                        agricultural commodity for which the 
                        producer is applying for insurance.
                          (iii) The efforts described in clause 
                        (i) have been effective.
                  (B) Adjustment amount.--The amount by which 
                the Corporation adjusts the actual production 
                history of a producer of an agricultural 
                commodity shall reflect the degree to which the 
                success of the systematic, area-wide efforts 
                described in subparagraph (A), on average, 
                increases the yield of the commodity on the 
                producer's farm, as determined by the 
                Corporation.
          (6) Continued authority.--
                  (A) In general.--The Corporation shall 
                establish--
                          (i) underwriting rules that limit the 
                        decrease in the actual production 
                        history of a producer, at the election 
                        of the producer, to not more than 10 
                        percent of the actual production 
                        history of the previous crop year 
                        provided that the production decline 
                        was the result of drought, flood, 
                        natural disaster, or other insurable 
                        loss (as determined by the 
                        Corporation); and
                          (ii) actuarially sound premiums to 
                        cover additional risk.
                  (B) Other authority.--The authority provided 
                under subparagraph (A) is in addition to any 
                other authority that adjusts the actual 
                production history of the producer under this 
                Act.
                  (C) Effect.--Nothing in this paragraph shall 
                be construed to require a change in the 
                carrying out of any provision of this Act as 
                the Act was carried out for the 2018 
                reinsurance year.
  (h) Submission of Policies and Materials to Board.--
          (1) Authority to submit.--
                  (A) In general.--In addition to any standard 
                forms or policies that the Board may require be 
                made available to producers under subsection 
                (c), a person (including an approved insurance 
                provider, a college or university, a 
                cooperative or trade association, or any other 
                person) may prepare for submission or propose 
                to the Board--
                          (i) other crop insurance policies and 
                        provisions of policies; and
                          (ii) rates of premiums for multiple 
                        peril crop insurance pertaining to 
                        wheat, soybeans, field corn, and any 
                        other crops determined by the 
                        Secretary.
                  (B) Review and submission by corporation.--
                The Corporation shall review any policy 
                developed under section 522(c) or any pilot 
                program developed under section 523 and submit 
                the policy or program to the Board under this 
                subsection if the Corporation, at the sole 
                discretion of the Corporation, finds that the 
                policy or program--
                          (i) will likely result in a viable 
                        and marketable policy consistent with 
                        this subsection;
                          (ii) would provide crop insurance 
                        coverage in a significantly improved 
                        form; and
                          (iii) adequately protects the 
                        interests of producers.
          (2) Submission of policies.--A policy or other 
        material submitted to the Board under this subsection 
        may be prepared without regard to the limitations 
        contained in this subtitle, including the requirements 
        concerning the levels of coverage and rates and the 
        requirement that a price level for each commodity 
        insured must equal the expected market price for the 
        commodity as established by the Board.
          (3) Review and approval by the board.--
                  (A) In general.--A policy, plan of insurance, 
                or other material submitted to the Board under 
                this subsection shall be reviewed by the Board 
                and shall be approved by the Board for 
                reinsurance and for sale by approved insurance 
                providers to producers at actuarially 
                appropriate rates and under appropriate terms 
                and conditions if the Board determines that--
                          (i) the interests of producers are 
                        adequately protected;
                          (ii) the proposed policy or plan of 
                        insurance will--
                                  (I) provide a new kind of 
                                coverage that is likely to be 
                                viable and marketable;
                                  (II) provide crop insurance 
                                coverage in a manner that 
                                addresses a clear and 
                                identifiable flaw or problem in 
                                an existing policy; or
                                  (III) provide a new kind of 
                                coverage for a commodity that 
                                previously had no available 
                                crop insurance, or has 
                                demonstrated a low level of 
                                participation or coverage level 
                                under existing coverage; and
                          (iii) the proposed policy or plan of 
                        insurance will not have a significant 
                        adverse impact on the crop insurance 
                        delivery system.
                  (B) Consideration.--In approving policies or 
                plans of insurance, the Board shall in a timely 
                manner--
                          (i) first, consider policies or plans 
                        of insurance that address underserved 
                        commodities, including commodities for 
                        which there is no insurance;
                          (ii) second, consider existing 
                        policies or plans of insurance for 
                        which there is inadequate coverage or 
                        there exists low levels of 
                        participation; and
                          (iii) last, consider all policies or 
                        plans of insurance submitted to the 
                        Board that do not meet the criteria 
                        described in clause (i) or (ii).
                  (C) Specified review and approval 
                priorities.--In reviewing policies and other 
                materials submitted to the Board under this 
                subsection for approval, the Board--
                          (i) shall make the development and 
                        approval of a revenue policy for peanut 
                        producers a priority so that a revenue 
                        policy is available to peanut producers 
                        in time for the 2015 crop year;
                          (ii) shall make the development and 
                        approval of a margin coverage policy 
                        for rice producers a priority so that a 
                        margin coverage policy is available to 
                        rice producers in time for the 2015 
                        crop year; and
                          (iii) may approve a submission that 
                        is made pursuant to this subsection 
                        that would, beginning with the 2015 
                        crop year, allow producers that 
                        purchase policies in accordance with 
                        subsection (e)(5)(A) to separate 
                        enterprise units by risk rating for 
                        acreage of crops in counties.
          (4) Guidelines for submission and review.--The 
        Corporation shall issue regulations to establish 
        guidelines for the submission, and Board review, of 
        policies or other material submitted to the Board under 
        this subsection. At a minimum, the guidelines shall 
        ensure the following:
                  (A) Confidentiality.--
                          (i) In general.--A proposal submitted 
                        to the Board under this subsection 
                        (including any information generated 
                        from the proposal) shall be considered 
                        to be confidential commercial or 
                        financial information for the purposes 
                        of section 552(b)(4) of title 5, United 
                        States Code.
                          (ii) Standard of confidentiality.--If 
                        information concerning a proposal could 
                        be withheld by the Secretary under the 
                        standard for privileged or confidential 
                        information pertaining to trade secrets 
                        and commercial or financial information 
                        under section 552(b)(4) of title 5, 
                        United States Code, the information 
                        shall not be released to the public.
                          (iii) Application.--This subparagraph 
                        shall apply with respect to a proposal 
                        only during the period preceding any 
                        approval of the proposal by the Board.
                  (B) Personal presentation.--The Board shall 
                provide an applicant with the opportunity to 
                present the proposal to the Board in person if 
                the applicant so desires.
                  (C) Notification of intent to disapprove.--
                          (i) Time period.--The Board shall 
                        provide an applicant with notification 
                        of intent to disapprove a proposal not 
                        later than 30 days prior to making the 
                        disapproval.
                          (ii) Modification of application.--
                                  (I) Authority.--An applicant 
                                that receives the notification 
                                may modify the application, and 
                                such application, as modified, 
                                shall be considered by the 
                                Board in the manner provided in 
                                subparagraph (D) within the 30-
                                day period beginning on the 
                                date the modified application 
                                is submitted.
                                  (II) Time period.--Clause (i) 
                                shall not apply to the Board's 
                                consideration of the modified 
                                application.
                          (iii) Explanation.--Any notification 
                        of intent to disapprove a policy or 
                        other material submitted under this 
                        subsection shall be accompanied by a 
                        complete explanation as to the reasons 
                        for the Board's intention to deny 
                        approval.
                  (D) Determination to approve or disapprove 
                policies or materials.--
                          (i) Time period.--Not later than 120 
                        days after a policy or other material 
                        is submitted under this subsection, the 
                        Board shall make a determination to 
                        approve or disapprove the policy or 
                        material.
                          (ii) Explanation.--Any determination 
                        by the Board to disapprove any policy 
                        or other material shall be accompanied 
                        by a complete explanation of the 
                        reasons for the Board's decision to 
                        deny approval.
                          (iii) Failure to meet deadline.--
                        Notwithstanding any other provision of 
                        this subtitle, if the Board fails to 
                        make a determination within the 
                        prescribed time period, the submitted 
                        policy or other material shall be 
                        deemed approved by the Board for the 
                        initial reinsurance year designated for 
                        the policy or material, unless the 
                        Board and the applicant agree to an 
                        extension.
                  (E) Consultation.--
                          (i) Requirement.--As part of the 
                        feasibility and research associated 
                        with the development of a policy or 
                        other material for fruits and 
                        vegetables, tree nuts, dried fruits, 
                        and horticulture and nursery crops 
                        (including floriculture), the submitter 
                        prior to making a submission under this 
                        subsection shall consult with groups 
                        representing producers of those 
                        agricultural commodities in all major 
                        producing areas for the commodities to 
                        be served or potentially impacted, 
                        either directly or indirectly.
                          (ii) Submission to the board.--Any 
                        submission made to the Board under this 
                        subsection shall contain a summary and 
                        analysis of the feasibility and 
                        research findings from the impacted 
                        groups described in clause (i), 
                        including a summary assessment of the 
                        support for or against development of 
                        the policy and an assessment on the 
                        impact of the proposed policy to the 
                        general marketing and production of the 
                        crop from both a regional and national 
                        perspective.
                          (iii) Evaluation by the board.--In 
                        evaluating whether the interests of 
                        producers are adequately protected 
                        pursuant to paragraph (3) with respect 
                        to a submission made under this 
                        subsection, the Board shall review the 
                        information provided pursuant to clause 
                        (ii) to determine if the submission 
                        will create adverse market distortions 
                        with respect to the production of 
                        commodities that are the subject of the 
                        submission.
          (5) Premium schedule.--
                  (A) Payment by corporation.--In the case of a 
                policy or plan of insurance developed and 
                approved under this subsection or section 522, 
                or conducted under section 523 (other than a 
                policy or plan of insurance applicable to 
                livestock), the Corporation shall pay a portion 
                of the premium of the policy or plan of 
                insurance that is equal to--
                          (i) the percentage, specified in 
                        subsection (e) for a similar level of 
                        coverage, of the total amount of the 
                        premium used to define loss ratio; and
                          (ii) an amount for administrative and 
                        operating expenses determined in 
                        accordance with subsection (k)(4).
                  (B) Transitional schedule.--Effective only 
                during the 2001 reinsurance year, in the case 
                of a policy or plan of insurance developed and 
                approved under this subsection or section 522, 
                or conducted under section 523 (other than a 
                policy or plan of insurance applicable to 
                livestock), and first approved by the Board 
                after the date of the enactment of this 
                subparagraph, the payment by the Corporation of 
                a portion of the premium of the policy may not 
                exceed the dollar amount that would otherwise 
                be authorized under subsection (e) (consistent 
                with subsection (c)(5), as in effect on the day 
                before the date of the enactment of this 
                subparagraph).
          (6) Additional prevented planting policy coverage.--
                  (A) In general.--Beginning with the 1995 crop 
                year, the Corporation shall offer to producers 
                additional prevented planting coverage that 
                insures producers against losses in accordance 
                with this paragraph.
                  (B) Approved insurance providers.--Additional 
                prevented planting coverage shall be offered by 
                the Corporation through approved insurance 
                providers.
                  (C) Timing of loss.--A crop loss shall be 
                covered by the additional prevented planting 
                coverage if--
                          (i) crop insurance policies were 
                        obtained for--
                                  (I) the crop year the loss 
                                was experienced; and
                                  (II) the crop year 
                                immediately preceding the year 
                                of the prevented planting loss; 
                                and
                          (ii) the cause of the loss occurred--
                                  (I) after the sales closing 
                                date for the crop in the crop 
                                year immediately preceding the 
                                loss; and
                                  (II) before the sales closing 
                                date for the crop in the year 
                                in which the loss is 
                                experienced.
  (i) Adoption of Rates and Coverages.--
          (1) In general.--The Corporation shall adopt, as soon 
        as practicable, rates and coverages that will improve 
        the actuarial soundness of the insurance operations of 
        the Corporation for those crops that are determined to 
        be insured at rates that are not actuarially sound, 
        except that no rate may be increased by an amount of 
        more than 20 percent over the comparable rate of the 
        preceding crop year.
          (2) Review of rating methodologies.--To maximize 
        participation in the Federal crop insurance program and 
        to ensure equity for producers, the Corporation shall 
        periodically review the methodologies employed for 
        rating plans of insurance under this subtitle 
        consistent with section 507(c)(2).
          (3) Analysis of rating and loss history.--The 
        Corporation shall analyze the rating and loss history 
        of approved policies and plans of insurance for 
        agricultural commodities by area.
          (4) Premium adjustment.--If the Corporation makes a 
        determination that premium rates are excessive for an 
        agricultural commodity in an area relative to the 
        requirements of subsection (d)(2) for that area, then, 
        for the 2002 crop year (and as necessary thereafter), 
        the Corporation shall make appropriate adjustments in 
        the premium rates for that area for that agricultural 
        commodity.
  (j) Claims for Losses.--
          (1) In general.--Under rules prescribed by the 
        Corporation, the Corporation may provide for adjustment 
        and payment of claims for losses. The rules prescribed 
        by the Corporation shall establish standards to ensure 
        that all claims for losses are adjusted, to the extent 
        practicable, in a uniform and timely manner.
          (2) Denial of claims.--
                  (A) In general.--Subject to subparagraph (B), 
                if a claim for indemnity is denied by the 
                Corporation or an approved provider on behalf 
                of the Corporation, an action on the claim may 
                be brought against the Corporation or Secretary 
                only in the United States district court for 
                the district in which the insured farm is 
                located.
                  (B) Statute of limitations.--A suit on the 
                claim may be brought not later than 1 year 
                after the date on which final notice of denial 
                of the claim is provided to the claimant.
          (3) Indemnification.--The Corporation shall provide 
        approved insurance providers with indemnification, 
        including costs and reasonable attorney fees incurred 
        by the approved insurance provider, due to errors or 
        omissions on the part of the Corporation.
          (4) Marketing windows.--The Corporation shall 
        consider marketing windows in determining whether it is 
        feasible to require planting during a crop year.
          (5) Settlement of claims on farm-stored production.--
        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.
  (k) Reinsurance.--
          (1) In general.--Notwithstanding any other provision 
        of this subtitle, the Corporation shall, to the maximum 
        extent practicable, provide reinsurance to insurers 
        approved by the Corporation that insure producers of 
        any agricultural commodity under 1 or more plans 
        acceptable to the Corporation.
          (2) Terms and conditions.--The reinsurance shall be 
        provided on such terms and conditions as the Board may 
        determine to be consistent with subsections (b) and (c) 
        and sound reinsurance principles.
          (3) Share of risk.--The reinsurance agreements of the 
        Corporation with the reinsured companies shall require 
        the reinsured companies to bear a sufficient share of 
        any potential loss under the agreement so as to ensure 
        that the reinsured company will sell and service 
        policies of insurance in a sound and prudent manner, 
        taking into consideration the financial condition of 
        the reinsured companies and the availability of private 
        reinsurance.
          (4) Rate.--
                  (A) In general.--Except as otherwise provided 
                in this paragraph, the rate established by the 
                Board to reimburse approved insurance providers 
                and agents for the administrative and operating 
                costs of the providers and agents shall not 
                exceed--
                          (i) for the 1998 reinsurance year, 27 
                        percent of the premium used to define 
                        loss ratio; and
                          (ii) for each of the 1999 and 
                        subsequent reinsurance years, 24.5 
                        percent of the premium used to define 
                        loss ratio.
                  (B) Proportional reductions.--A policy of 
                additional coverage that received a rate of 
                reimbursement for administrative and operating 
                costs for the 1998 reinsurance year that is 
                lower than the rate specified in subparagraph 
                (A)(i) shall receive a reduction in the rate of 
                reimbursement that is proportional to the 
                reduction in the rate of reimbursement between 
                clauses (i) and (ii) of subparagraph (A).
                  (C) Other reductions.--Beginning with the 
                2002 reinsurance year, in the case of a policy 
                or plan of insurance approved by the Board that 
                was not reinsured during the 1998 reinsurance 
                year but, had it been reinsured, would have 
                received a reduced rate of reimbursement during 
                the 1998 reinsurance year, the rate of 
                reimbursement for administrative and operating 
                costs established for the policy or plan of 
                insurance shall take into account the factors 
                used to determine the rate of reimbursement for 
                administrative and operating costs during the 
                1998 reinsurance year, including the expected 
                difference in premium and actual administrative 
                and operating costs of the policy or plan of 
                insurance relative to an individual yield 
                policy or plan of insurance and other 
                appropriate factors, as determined by the 
                Corporation.
                  (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.
                  (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 
                subsequent 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 reinsurance years, the 
                reimbursement rate for area policies and plans 
                of insurance widely available as of the date of 
                enactment of this subparagraph or authorized 
                under subsection (c)(4)(C) or section 508B 
                shall be 12 percent of the premium used to 
                define loss ratio for that reinsurance year.
          (5) Cost and regulatory reduction.--Consistent with 
        section 118 of the Federal Crop Insurance Reform Act of 
        1994, and consistent with maintenance of program 
        integrity, prevention of fraud and abuse, the need for 
        program expansion, and improvement of quality of 
        service to customers, the Board shall alter program 
        procedures and administrative requirements in order to 
        reduce the administrative and operating costs of 
        approved insurance providers and agents in an amount 
        that corresponds to any reduction in the reimbursement 
        rate required under paragraph (4) during the 5-year 
        period beginning on the date of enactment of this 
        paragraph.
          (6) Agency discretion.--The determination of whether 
        the Corporation is achieving, or has achieved, 
        corresponding administrative cost savings shall not be 
        subject to administrative review, and is wholly 
        committed to agency discretion within the meaning of 
        section 701(a)(2) of title 5, United States Code.
          (7) Plan.--The Corporation shall submit to Congress a 
        plan outlining the measures that will be used to 
        achieve the reduction required under paragraph (5). If 
        the Corporation can identify additional cost reduction 
        measures, the Corporation shall describe the measures 
        in the plan.
          (8) Renegotiation of standard reinsurance 
        agreement.--
                  (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 determined 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 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)(ii), the 
                Corporation shall notify the Committee 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 
                providers may confer with each other and 
                collectively with the Corporation during any 
                renegotiation under subparagraph (A).
                  (E) 2011 reinsurance year.--
                          (i) In general.--As part of the 
                        Standard Reinsurance 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 considered under clause 
                        (i) shall include--
                                  (I) methods that--
                                          (aa) are graduated 
                                        and base reimbursement 
                                        rates in a State on 
                                        changes in premiums in 
                                        that State;
                                          (bb) are graduated 
                                        and base reimbursement 
                                        rates in a State on the 
                                        loss ratio for crop 
                                        insurance for that 
                                        State; and
                                          (cc) are graduated 
                                        and base reimbursement 
                                        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.
                  (F) Budget.--
                          (i) In general.--The Board shall 
                        ensure that any Standard Reinsurance 
                        Agreement negotiated under subparagraph 
                        (A)(ii) shall--
                                  (I) to the maximum extent 
                                practicable, be estimated as 
                                budget neutral with respect to 
                                the total amount of payments 
                                described in paragraph (9) as 
                                compared to the total amount of 
                                such payments estimated to be 
                                made under the immediately 
                                preceding Standard Reinsurance 
                                Agreement if that Agreement 
                                were extended over the same 
                                period of time;
                                  (II) comply with the 
                                applicable provisions of this 
                                Act establishing the rates of 
                                reimbursement for 
                                administrative and operating 
                                costs for approved insurance 
                                providers and agents, except 
                                that, to the maximum extent 
                                practicable, the estimated 
                                total amount of reimbursement 
                                for those costs shall not be 
                                less than the total amount of 
                                the payments to be made under 
                                the immediately preceding 
                                Standard Reinsurance Agreement 
                                if that Agreement were extended 
                                over the same period of time, 
                                as estimated on the date of 
                                enactment of the Agricultural 
                                Act of 2014; and
                                  (III) in no event 
                                significantly depart from 
                                budget neutrality unless 
                                otherwise required by this Act.
                          (ii) Use of savings.--To the extent 
                        that any budget savings are realized in 
                        the renegotiation of a Standard 
                        Reinsurance Agreement under 
                        subparagraph (A)(ii), and the savings 
                        are determined not to be a significant 
                        departure from budget neutrality under 
                        clause (i), the savings shall be used 
                        to increase reimbursements or payments 
                        described under paragraphs (4) and (9).
          (9) Due date for payment of underwriting gains.--
        Effective beginning with the 2011 reinsurance year, the 
        Corporation shall make payments for underwriting gains 
        under this subtitle on--
                  (A) for the 2011 reinsurance year, October 1, 
                2012; and
                  (B) for each reinsurance year thereafter, 
                October 1 of the following calendar year.
  (l) Optional Coverages.--The Corporation may offer specific 
risk protection programs, including protection against 
prevented planting, wildlife depredation, tree damage and 
disease, and insect infestation, under such terms and 
conditions as the Board may determine, except that no program 
may be undertaken if insurance for the specific risk involved 
is generally available from private companies.
  (m) Quality Loss Adjustment Coverage.--
          (1) Effect of coverage.--If a policy or plan of 
        insurance offered under this subtitle includes quality 
        loss adjustment coverage, the coverage shall provide 
        for a reduction in the quantity of production of the 
        agricultural commodity considered produced during a 
        crop year, or a similar adjustment, as a result of the 
        agricultural commodity not meeting the quality 
        standards established in the policy or plan of 
        insurance.
          (2) Additional quality loss adjustment.--
                  (A) Producer option.--Notwithstanding any 
                other provision of law, in addition to the 
                quality loss adjustment coverage available 
                under paragraph (1), the Corporation shall 
                offer producers the option of purchasing 
                quality loss adjustment coverage on a basis 
                that is smaller than a unit with respect to an 
                agricultural commodity that satisfies each of 
                the following:
                          (i) The agricultural commodity is 
                        sold on an identity-preserved basis.
                          (ii) All quality determinations are 
                        made solely by the Federal agency 
                        designated to grade or classify the 
                        agricultural commodity.
                          (iii) All quality determinations are 
                        made in accordance with standards 
                        published by the Federal agency in the 
                        Federal Register.
                          (iv) The discount schedules that 
                        reflect the reduction in quality of the 
                        agricultural commodity are established 
                        by the Secretary.
                  (B) Basis for adjustment.--Under this 
                paragraph, the Corporation shall set the 
                quality standards below which quality losses 
                will be paid based on the variability of the 
                grade of the agricultural commodity from the 
                base quality for the agricultural commodity.
          (3) Review of criteria and procedures.--
                  (A) Review.--The Corporation shall contract 
                with a qualified person to review the quality 
                loss adjustment procedures of the Corporation 
                so that the procedures more accurately reflect 
                local quality discounts that are applied to 
                agricultural commodities insured under this 
                subtitle.
                  (B) Procedures.--Effective beginning not 
                later than the 2004 reinsurance year, based on 
                the review, the Corporation shall make 
                adjustments in the procedures, taking into 
                consideration the actuarial soundness of the 
                adjustment and the prevention of fraud, waste, 
                and abuse.
          (4) Quality of agricultural commodities delivered to 
        warehouse operators.--In administering this subtitle, 
        the Secretary shall accept, in the same manner and 
        under the same terms and conditions, evidence of the 
        quality of agricultural commodities delivered to--
                  (A) warehouse operators that are licensed 
                under the United States Warehouse Act (7 U.S.C. 
                241 et seq.);
                  (B) warehouse operators that--
                          (i) are licensed under State law; and
                          (ii) have entered into a storage 
                        agreement with the Commodity Credit 
                        Corporation; and
                  (C) warehouse operators that--
                          (i) are not licensed under State law 
                        but are in compliance with State law 
                        regarding warehouses; and
                          (ii) have entered into a commodity 
                        storage agreement with the Commodity 
                        Credit Corporation.
          (5) Special provisions for malting barley.--The 
        Corporation shall promulgate special provisions under 
        this subsection specific to malting barley, taking into 
        consideration any changes in quality factors, as 
        required by applicable market conditions.
          (6) Test weight for corn.--
                  (A) In general.--The Corporation shall 
                establish procedures to allow insured producers 
                not more than 120 days to settle claims, in 
                accordance with procedures established by the 
                Secretary, involving corn that is determined to 
                have low test weight.
                  (B) Implementation.--As soon as practicable 
                after the date of enactment of this paragraph, 
                the Corporation shall implement subparagraph 
                (A) on a regional basis based on market 
                conditions and the interests of producers.
                  (C) Termination of effectiveness.--The 
                authority provided by this paragraph terminates 
                effective on the date that is 5 years after the 
                date on which subparagraph (A) is implemented.
  (n) Limitation on Multiple Benefits for Same Loss.--
                  (1) In general.--Except as provided in 
                paragraph (2), if a producer who is eligible to 
                receive benefits under catastrophic risk 
                protection under subsection (b) is also 
                eligible to receive assistance for the same 
                loss under any other program administered by 
                the Secretary, the producer shall be required 
                to elect whether to receive benefits under this 
                subtitle or under the other program, but not 
                both. A producer who purchases additional 
                coverage under subsection (c) may also receive 
                assistance for the same loss under other 
                programs administered by the Secretary, except 
                that the amount received for the loss under the 
                additional coverage together with the amount 
                received under the other programs may not 
                exceed the amount of the actual loss of the 
                producer.
                  (2) Exception.--Paragraph (1) shall not apply 
                to emergency loans under subtitle C of the 
                Consolidated Farm and Rural Development Act (7 
                U.S.C. 1961 et seq.) or to coverage described 
                in section 508D.
  (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, or the 
                producer cannot substantiate that the ground 
                has ever been tilled, for the production of an 
                annual crop as of the date of enactment of this 
                subsection.
          (2) Reduction in benefits.--
                  (A) In general.--During the first 4 crop 
                years of planting, as determined by the 
                Secretary, native sod acreage that has been 
                tilled for the production of an annual crop 
                after the date of enactment of the Agricultural 
                Act of 2014 shall be subject to a reduction in 
                benefits under this subtitle as described in 
                this paragraph.
                  (B) De minimis acreage exemption.--The 
                Secretary shall exempt areas of 5 acres or less 
                from subparagraph (A).
                  (C) Administration.--
                          (i) Reduction.--For purposes of the 
                        reduction in benefits for the acreage 
                        described in subparagraph (A)--
                                  (I) the crop insurance 
                                guarantee shall be determined 
                                by using a yield equal to 65 
                                percent of the transitional 
                                yield of the producer; and
                                  (II) the crop insurance 
                                premium subsidy provided for 
                                the producer under this 
                                subtitle, except for coverage 
                                authorized pursuant to 
                                subsection (b)(1), shall be 50 
                                percentage points less than the 
                                premium subsidy that would 
                                otherwise apply.
                          (ii) Yield substitution.--During the 
                        period native sod acreage is covered by 
                        this subsection, a producer may not 
                        substitute yields for the native sod.
          (3) Application.--This subsection shall only apply to 
        native sod acreage in the States of Minnesota, Iowa, 
        North Dakota, South Dakota, Montana, and Nebraska.
  (p) Coverage Levels by Practice.--Beginning with the 2015 
crop year, a producer that produces an agricultural commodity 
on both dry land and irrigated land may elect a different 
coverage level for each production practice.

           *       *       *       *       *       *       *


SEC. 508D. COVERAGE FOR FORAGE AND GRAZING.

  Notwithstanding section 508A, and in addition to any other 
available coverage, for crops that can be both grazed and 
mechanically harvested on the same acres during the same 
growing season, producers shall be allowed to purchase, and be 
independently indemnified on, separate policies for each 
intended use, as determined by the Corporation.

           *       *       *       *       *       *       *


SEC. 516. FUNDING.

  (a) Authorization of Appropriations.--
          (1) Discretionary expenses.--There are authorized to 
        be appropriated for fiscal year 1999 and each 
        subsequent fiscal year such sums as are necessary to 
        cover the salaries and expenses of the Corporation.
          (2) Mandatory expenses.--There are authorized to be 
        appropriated such sums as are necessary to cover for 
        each of the 1999 and subsequent reinsurance years the 
        following:
                  (A) The administrative and operating expenses 
                of the Corporation for the sales commissions of 
                agents.
                  (B) Premium subsidies, including the 
                administrative and operating expenses of an 
                approved insurance provider for the delivery of 
                policies with additional coverage.
                  (C) Costs associated with the conduct of 
                livestock and wild salmon pilot programs 
                carried out under section 523, subject to the 
                limitations in subsection (a)(3)(E)(ii) of that 
                section.
                  (D) Costs associated with the reimbursement, 
                contracting, and partnerships for research and 
                development under section 522.
  (b) Payment of Corporation Expenses From Insurance Fund.--
          (1) Expenses generally.--For each of the 1999 and 
        subsequent reinsurance years, the Corporation may pay 
        from the insurance fund established under subsection 
        (c) all expenses of the Corporation (other than 
        expenses covered by subsection (a)(1) and expenses 
        covered by paragraph (2)(A)), including the following:
                  (A) Premium subsidies and indemnities.
                  (B) Administrative and operating expenses of 
                the Corporation necessary to pay the sales 
                commissions of agents.
                  (C) All administrative and operating expense 
                reimbursements due under a reinsurance 
                agreement with an approved insurance provider.
                  (D) Costs associated with the conduct of 
                livestock and wild salmon pilot programs 
                carried out under section 523, subject to the 
                limitations in subsection (a)(3)(E)(ii) of that 
                section.
                  (E) Costs associated with the reimbursement, 
                contracting, and partnerships for research and 
                development under section 522.
          (2) Policy consideration and implementation.--
                  (A) In general.--For each of the 1999 and 
                subsequent reinsurance years, the Corporation 
                may use the insurance fund established under 
                subsection (c), but not to exceed $3,500,000 
                for each fiscal year, to pay the following:
                          (i) Costs associated with the 
                        consideration and implementation of 
                        policies, plans of insurance, and 
                        related materials submitted under 
                        section 508(h) or developed under 
                        section 522 or 523.
                          (ii) Costs to contract for the review 
                        of policies, plans of insurance, and 
                        related materials under section 505(e) 
                        and to contract for other assistance in 
                        considering policies, plans of 
                        insurance, and related materials.
                  (B) Dairy options pilot program.--Amounts 
                necessary to carry out the dairy options pilot 
                program shall not be counted toward the 
                limitation on expenses specified in 
                subparagraph (A).
                  (C) Reviews, compliance, and integrity.--
                          (i) In general.--For each of the 2014 
                        and subsequent reinsurance years, the 
                        Corporation may use the insurance fund 
                        established under subsection (c), but 
                        not to exceed [$9,000,000] $7,000,000 
                        for each fiscal year, to pay costs--
                                  (I) to reimburse expenses 
                                incurred for the operations and 
                                review of policies, plans of 
                                insurance, and related 
                                materials (including actuarial 
                                and related information); and
                                  (II) to assist the 
                                Corporation in maintaining 
                                program actuarial soundness and 
                                financial integrity.
                          (ii) Secretarial action.--For the 
                        purposes described in clause (i), the 
                        Secretary may, without further 
                        appropriation--
                                  (I) merge some or all of the 
                                funds made available under this 
                                subparagraph into the accounts 
                                of the Risk Management Agency; 
                                and
                                  (II) obligate those funds.
                          (iii) Maintenance of funding.--Funds 
                        made available under this subparagraph 
                        shall be in addition to other funds 
                        made available for costs incurred by 
                        the Corporation or the Risk Management 
                        Agency.
  (c) Insurance Fund.--
          (1) In general.--There is established an insurance 
        fund, for the deposit of premium income, amounts made 
        available under subsection (a)(2), and civil fines 
        collected under section 515(h), to be available without 
        fiscal year limitation.
          (2) Commodity credit corporation funds.--If at any 
        time the amounts in the insurance fund are insufficient 
        to enable the Corporation to carry out subsection (b), 
        to the extent the funds of the Commodity Credit 
        Corporation are available--
                  (A) the Corporation may request the Secretary 
                to use the funds of the Commodity Credit 
                Corporation to carry out subsection (b); and
                  (B) the Secretary may use the funds of the 
                Commodity Credit Corporation to carry out 
                subsection (b).

           *       *       *       *       *       *       *


SEC. 522. RESEARCH AND DEVELOPMENT.

  (a) Definition of Policy.--In this section, the term 
``policy'' means a policy, plan of insurance, provision of a 
policy or plan of insurance, and related materials.
  (b) Reimbursement of Research, Development, and Maintenance 
Costs.--
          (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.]
                  (B) Reimbursement.--
                          (i) In general.--An applicant who 
                        submits a policy under section 508(h) 
                        shall be eligible for the reimbursement 
                        of reasonable and actual research and 
                        development costs directly related to 
                        the policy if the policy is approved by 
                        the Board for sale to producers.
                          (ii) Reasonable costs.--For the 
                        purpose of reimbursing research and 
                        development and maintenance costs under 
                        this section, costs of the applicant 
                        shall be considered reasonable and 
                        actual costs if the costs are based 
                        on--
                                  (I) wage rates equal to 2 
                                times the hourly wage rate plus 
                                benefits, as provided by the 
                                Bureau of Labor Statistics for 
                                the year in which such costs 
                                are incurred, calculated using 
                                the formula applied to an 
                                applicant by the Corporation in 
                                reviewing proposed project 
                                budgets under this section on 
                                October 1, 2016; or
                                  (II) actual documented costs 
                                incurred by the applicant.
          (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 
                procedures 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 
                procedures 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 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 demonstrate 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 identified risks 
                        are insurable under this subtitle.
                  (D) Review.--
                          (i) Experts.--If the requirements of 
                        subparagraph (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 subparagraphs (C) and (D) 
                        of section 508(h)(4) shall apply to the 
                        review of concept proposals under this 
                        subparagraph.
                  (E) Approval.--
                          (i) In general.--The Board may 
                        approve up to 50 percent 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 the 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 section 508(h);
                                  (II) at the sole discretion 
                                of the Board, the concept, if 
                                developed into a policy and 
                                approved by the Board, would 
                                provide crop insurance 
                                coverage--
                                          (aa) in a 
                                        significantly improved 
                                        form;
                                          (bb) to a crop or 
                                        region not 
                                        traditionally served by 
                                        the Federal crop 
                                        insurance program; or
                                          (cc) 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 reasonable, as 
                                determined by the Board; and
                                  (V) the concept proposal 
                                meets any other requirements 
                                that the Board determines 
                                appropriate.
                          (ii) Waiver.--The Board may waive the 
                        50-percent limitation and, upon request 
                        of the submitter after the submitter 
                        has begun research and development 
                        activities, the Board may approve an 
                        additional 25 percent advance payment 
                        to the submitter for research and 
                        development costs, if, at the sole 
                        discretion of the Board, the Board 
                        determines that--
                                  (I) the intended policy or 
                                plan of insurance developed by 
                                the submitter will provide 
                                coverage for a region or crop 
                                that is underserved by the 
                                Federal crop insurance program, 
                                including specialty crops; and
                                  (II) the submitter is making 
                                satisfactory progress towards 
                                developing a viable and 
                                marketable policy or plan of 
                                insurance consistent with 
                                section 508(h).
                  (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 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 submitted 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 determined 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 reimbursement under paragraph 
                (1)(B).
          (3) Marketability.--The Corporation shall approve a 
        reimbursement under paragraph (1) only after 
        determining that the policy is marketable based on a 
        reasonable marketing plan, as determined by the Board.
          (4) Maintenance payments.--
                  (A) Requirement.--The Corporation shall 
                reimburse maintenance costs associated with the 
                annual cost of underwriting for a policy 
                described in paragraph (1).
                  (B) Duration.--Payments with respect to 
                maintenance costs may be provided for a period 
                of not more than four reinsurance years 
                subsequent to Board approval for payment under 
                this subsection.
                  (C) Options for maintenance.--On the 
                expiration of the 4-year period described in 
                subparagraph (B), the [approved insurance 
                provider] applicant responsible for maintenance 
                of the policy may--
                          (i) maintain the policy and charge a 
                        fee to approved insurance providers 
                        that elect to sell the policy under 
                        this subsection; or
                          (ii) transfer responsibility for 
                        maintenance of the policy to the 
                        Corporation.
                  (D) Fee.--
                          (i) Amount.--Subject to approval by 
                        the Board, the amount of the fee that 
                        is payable by an approved insurance 
                        provider that elects to sell the policy 
                        shall be an amount that is [determined 
                        by the approved insurance provider] 
                        determined by the applicant maintaining 
                        the policy.
                          [(ii) Approval.--The Board shall 
                        approve the amount of a fee determined 
                        under clause (i) for maintenance of the 
                        policy unless the Board determines that 
                        the amount of the fee--
                                  [(I) is unreasonable in 
                                relation to the maintenance 
                                costs associated with the 
                                policy; or
                                  [(II) unnecessarily inhibits 
                                the use of the policy.]
                          (ii) Approval.--Subject to clause 
                        (iii), the Board shall approve the 
                        amount of a fee determined under clause 
                        (i) unless the Board determines, based 
                        on substantial evidence in the record, 
                        that the amount of the fee 
                        unnecessarily inhibits the use of the 
                        policy.
                          (iii) Consideration.--The Board shall 
                        not disapprove a fee on the basis of--
                                  (I) a comparison to 
                                maintenance fees paid with 
                                respect to the policy; or
                                  (II) the potential for the 
                                fee to result in a financial 
                                gain or loss to the applicant 
                                based on the number of policies 
                                sold.
          (5) Treatment of payment.--Payments made under this 
        subsection for a policy shall be considered as payment 
        in full by the Corporation for the research and 
        development conducted with regard to the policy and any 
        property rights to the policy.
          (6) Reimbursement amount.--The Corporation shall 
        determine the amount of the payment under this 
        subsection for an approved policy based on the 
        complexity of the policy and the size of the area in 
        which the policy or material is expected to be sold.
  (c) Research and Development Authority.--
          (1) Authority.--The Corporation may conduct 
        activities or enter into contracts to carry out 
        research and development to maintain or improve 
        existing policies or develop new policies to--
                  (A) increase participation in States in which 
                the Corporation determines that--
                          (i) there is traditionally, and 
                        continues to be, a low level of Federal 
                        crop insurance participation and 
                        availability; and
                          (ii) the State is underserved by the 
                        Federal crop insurance program;
                  (B) increase participation in areas that are 
                underserved by the Federal crop insurance 
                program; and
                  (C) increase participation by producers of 
                underserved agricultural commodities, including 
                specialty crops.
          (2) Underserved agricultural commodities and areas.--
                  (A) Authority.--The Corporation may conduct 
                research and development or enter into 
                contracts under procedures prescribed by the 
                Corporation with qualified persons to carry out 
                research and development for policies that 
                promote the purposes of paragraph (1).
                  (B) Consultation.--Before conducting research 
                and development or entering into a contract 
                under subparagraph (A), the Corporation shall 
                consult with groups representing producers of 
                agricultural commodities that would be served 
                by the policies that are the subject of the 
                research and development.
          (3) Qualified persons.--A person with experience in 
        crop insurance or farm or ranch risk management 
        (including a college or university, an approved 
        insurance provider, and a trade or research 
        organization), as determined by the Corporation, shall 
        be eligible to enter into a contract with the 
        Corporation under this subsection.
          (4) Types of contracts.--A contract under this 
        subsection may provide for research and development 
        regarding new or expanded policies, including policies 
        based on adjusted gross income, cost-of-production, 
        quality losses, and an intermediate base program with a 
        higher coverage and cost than catastrophic risk 
        protection.
          (5) Use of resulting policies.--The Corporation may 
        offer any policy developed under this subsection that 
        is approved by the Board after expert review in 
        accordance with section 505(e).
          (6) Research and development priorities.--The 
        Corporation shall establish as one of the highest 
        research and development priorities of the Corporation 
        the development of policies that increase participation 
        by producers of underserved agricultural commodities, 
        including sweet sorghum, biomass sorghum, rice, 
        peanuts, sugarcane, alfalfa, pennycress, dedicated 
        energy crops, and specialty crops.
          [(7) Study of multiyear coverage.--
                  [(A) In general.--The Corporation shall 
                contract with a qualified person to conduct a 
                study to determine whether offering policies 
                that provide coverage for multiple years would 
                reduce fraud, waste, and abuse by persons that 
                participate in the Federal crop insurance 
                program.
                  [(B) Report.--Not later than 1 year after the 
                date of the enactment of this section, the 
                Corporation 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 results of the study conducted under 
                subparagraph (A).
          [(8) Contract for revenue coverage plans.--The 
        Corporation shall enter into a contract for research 
        and development regarding one or more revenue coverage 
        plans that are designed to enable producers to take 
        maximum advantage of fluctuations in market prices and 
        thereby maximize revenue realized from the sale of an 
        agricultural commodity. A revenue coverage plan may 
        include the use of existing market instruments or the 
        development of new market instruments. Not later than 
        15 months after the date of the enactment of this 
        section, the Corporation 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 results of the 
        contract entered into under this paragraph.
          [(9) Contract for cost of production policy.--
                  [(A) Authority.--The Corporation shall enter 
                into a contract for research and development 
                regarding a cost of production policy.
                  [(B) Research and development.--The research 
                and development shall--
                          [(i) take into consideration the 
                        differences in the cost of production 
                        on a county-by-county basis; and
                          [(ii) cover as many commodities as is 
                        practicable.
          [(10) 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 production 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.
          [(11) 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 
                        controlled 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 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 contracts 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 contracts 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 operations, 
                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.
          [(12) 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.
                  [(C) Research and development.--Research and 
                development described in subparagraph (B) shall 
                evaluate the effectiveness of risk management 
                tools for the production of poultry, including 
                policies and plans of insurance that provide 
                protection for production or revenue losses, or 
                both, while the poultry is in production.
          [(13) 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.
          [(14) Adjusted gross revenue policies for beginning 
        producers.--The Corporation shall offer to enter into a 
        contract with a qualified entity to carry out research 
        and development into needed modifications of adjusted 
        gross revenue insurance 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.
          [(15) 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 determined 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.
          [(16) Margin coverage for catfish.--
                  [(A) In general.--The Corporation shall offer 
                to enter into a contract with a qualified 
                entity to conduct research and development 
                regarding a policy to insure producers against 
                reduction in the margin between the market 
                value of catfish and selected costs incurred in 
                the production of catfish.
                  [(B) Eligibility.--Eligibility for the policy 
                described in subparagraph (A) shall be limited 
                to freshwater species of catfish that are 
                propagated and reared in controlled or selected 
                environments.
                  [(C) Implementation.--The Board shall review 
                the policy described in subparagraph (B) under 
                section 508(h) and approve the policy if the 
                Board finds that the policy--
                          [(i) will likely result in a viable 
                        and marketable policy consistent with 
                        this subsection;
                          [(ii) would provide crop insurance 
                        coverage in a significantly improved 
                        form;
                          [(iii) adequately protects the 
                        interests of producers; and
                          [(iv) meets other requirements of 
                        this subtitle determined appropriate by 
                        the Board.
          [(17) Biomass and sweet sorghum energy crop insurance 
        policies.--
                  [(A) In general.--The Corporation shall offer 
                to enter into 1 or more contracts with 
                qualified entities to carry out research and 
                development regarding--
                          [(i) a policy to insure biomass 
                        sorghum that is grown expressly for the 
                        purpose of producing a feedstock for 
                        renewable biofuel, renewable 
                        electricity, or biobased products; and
                          [(ii) a policy to insure sweet 
                        sorghum that is grown for a purpose 
                        described in clause (i).
                  [(B) Research and development.--Research and 
                development with respect to each of the 
                policies required in subparagraph (A) shall 
                evaluate the effectiveness of risk management 
                tools for the production of biomass sorghum or 
                sweet sorghum, 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 indices, 
                        including excessive or inadequate 
                        rainfall, to protect the interest of 
                        crop producers; and
                          [(iii) provide protection for 
                        production or revenue losses, or both.
          [(18) Study on swine catastrophic disease program.--
                  [(A) In general.--The Corporation shall 
                contract with 1 or more qualified entities to 
                conduct a study to determine the feasibility of 
                insuring swine producers for a catastrophic 
                event.
                  [(B) Report.--Not later than 1 year after the 
                date of the enactment of this paragraph, the 
                Corporation 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 results of the study conducted under 
                subparagraph (A).]
          [(19)] (7) Whole farm diversified risk management 
        insurance plan.--
                  (A) In general.--Unless the Corporation 
                approves a whole farm insurance plan, similar 
                to the plan described in this paragraph, to be 
                available to producers for the 2016 reinsurance 
                year, the Corporation shall conduct activities 
                or enter into contracts to carry out research 
                and development to develop a whole farm risk 
                management insurance plan, with a liability 
                limitation of $1,500,000, that allows a 
                diversified crop or livestock producer the 
                option to qualify for an indemnity if actual 
                gross farm revenue is below 85 percent of the 
                average gross farm revenue or the expected 
                gross farm revenue that can reasonably be 
                expected of the producer, as determined by the 
                Corporation.
                  (B) Eligible producers.--The Corporation 
                shall permit producers (including direct-to-
                consumer marketers and producers servicing 
                local and regional and farm identity-preserved 
                markets) who produce multiple agricultural 
                commodities, including specialty crops, 
                industrial crops, livestock, and aquaculture 
                products, to participate in the plan developed 
                under subparagraph (A) in lieu of any other 
                plan under this subtitle.
                  (C) Diversification.--The Corporation may 
                provide diversification-based additional 
                coverage payment rates, premium discounts, or 
                other enhanced benefits in recognition of the 
                risk management benefits of crop and livestock 
                diversification strategies for producers that--
                          (i) grow multiple crops; or
                          (ii) may have income from the 
                        production of livestock that uses a 
                        crop grown on the farm.
                  (D) Market readiness.--The Corporation may 
                include coverage for the value of any packing, 
                packaging, or any other similar on-farm 
                activity the Corporation determines to be the 
                minimum required in order to remove the 
                commodity from the field.
                  (E) Beginning farmer or rancher defined.--
                Notwithstanding section 502(b)(3), with respect 
                to plans described under this paragraph, the 
                term ``beginning farmer or rancher'' means a 
                farmer or rancher who has not actively operated 
                and managed a farm or ranch with a bona fide 
                insurable interest in a crop or livestock as an 
                owner-operator, landlord, tenant, or 
                sharecropper for more than 10 crop years.
          [(20) Study on poultry catastrophic disease 
        program.--
                  [(A) In general.--The Corporation shall 
                contract with a qualified person to conduct a 
                study to determine the feasibility of insuring 
                poultry producers for a catastrophic event.
                  [(B) Report.--Not later than 1 year after the 
                date of the enactment of this paragraph, the 
                Corporation 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 results of the study conducted under 
                subparagraph (A).
          [(21) Poultry business interruption insurance 
        policy.--
                  [(A) Definitions.--In this paragraph, the 
                terms ``poultry'' and ``poultry grower'' have 
                the meanings given those terms 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 a contract or cooperative 
                agreement with an institution of higher 
                education or other legal entity to carry out 
                research and development regarding a policy to 
                insure the commercial production of poultry 
                against business interruptions caused by 
                integrator bankruptcy.
                  [(C) Research and development.--As part of 
                the research and development conducted pursuant 
                to a contract or cooperative agreement entered 
                into under subparagraph (B), the entity shall--
                          [(i) evaluate the market place for 
                        business interruption insurance that is 
                        available to poultry growers;
                          [(ii) determine what statutory 
                        authority would be necessary to 
                        implement a business interruption 
                        insurance through the Corporation;
                          [(iii) assess the feasibility of a 
                        policy or plan of insurance offered 
                        under this subtitle to insure against a 
                        portion of losses due to business 
                        interruption or to the bankruptcy of an 
                        business integrator; and
                          [(iv) analyze the costs to the 
                        Federal Government of a Federal 
                        business interruption insurance program 
                        for poultry growers or producers.
                  [(D) Deadline for contract or cooperative 
                agreement.--Not later than 180 days after the 
                date of enactment of this paragraph, the 
                Corporation shall offer to enter into the 
                contract or cooperative agreement required by 
                subparagraph (B).
                  [(E) Deadline for completion of research and 
                development.--Not later than 1 year after the 
                date of enactment of this paragraph, the 
                Corporation 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 results of the research and development 
                conducted pursuant to the contract or 
                cooperative agreement entered into under 
                subparagraph (B).]
          [(22) Study of food safety insurance.--
                  [(A) In general.--The Corporation shall offer 
                to enter into a contract with 1 or more 
                qualified entities to conduct a study to 
                determine whether offering policies that 
                provide coverage for specialty crops from food 
                safety and contamination issues would benefit 
                agricultural producers.
                  [(B) Subject.--The study described in 
                subparagraph (A) shall evaluate policies and 
                plans of insurance coverage that provide 
                protection for production or revenue impacted 
                by food safety concerns including, at a 
                minimum, government, retail, or national 
                consumer group announcements of a health 
                advisory, removal, or recall related to a 
                contamination concern.
                  [(C) Report.--Not later than 1 year after the 
                date of enactment of this paragraph, the 
                Corporation 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 results of the study conducted under 
                subparagraph (A).
          [(23) Alfalfa crop insurance policy.--
                  [(A) In general.--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 
                alfalfa.
                  [(B) Report.--Not later than 1 year after the 
                date of enactment of this paragraph, the 
                Corporation 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 results of the study conducted under 
                subparagraph (A).]
          [(24)] (8) Relation to limitations.--A policy 
        developed under this subsection may be prepared without 
        regard to the limitations of this subtitle, including--
                  (A) the requirement concerning the levels of 
                coverage and rates; and
                  (B) the requirement that the price level for 
                each insured agricultural commodity must equal 
                the expected market price for the agricultural 
                commodity, as established by the Board.
          (9) Tropical storm or hurricane insurance.--
                  (A) In general.--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 crops, 
                including tomatoes, peppers, and citrus, 
                against losses due to a tropical storm or 
                hurricane.
                  (B) Research and development.--Research and 
                development with respect to the policy required 
                under subparagraph (A) shall--
                          (i) evaluate the effectiveness of a 
                        risk management tool for a low 
                        frequency, catastrophic loss weather 
                        event; and
                          (ii) provide protection for 
                        production or revenue losses, or both.
          (10) Subsurface irrigation practices.--The 
        Corporation shall offer to enter into a contract with a 
        qualified entity to conduct research and development 
        regarding the creation of a separate practice for 
        subsurface irrigation, including the establishment of a 
        separate transitional yield within the county that is 
        reflective of the average gain in productivity and 
        yield associated with the installation of a subsurface 
        irrigation system.
          (11) Study and report on grain sorghum rates and 
        yields.--
                  (A) Study.--The Corporation shall contract 
                with a qualified entity to conduct a study to 
                assess the difference in rates, average yields, 
                and coverage levels of grain sorghum policies 
                as compared to other feed grains within a 
                county.
                  (B) Report.--Not later than 1 year after the 
                date of enactment of this paragraph, the 
                Corporation 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 results of the study conducted under 
                subparagraph (A).
          (12) Quality losses.--
                  (A) In general.--The Corporation shall offer 
                to enter into a contract with a qualified 
                entity to conduct research and development 
                regarding the establishment of an alternative 
                method of adjusting for quality losses that 
                does not impact the average production history 
                of producers.
                  (B) Requirements.--Notwithstanding 
                subsections (g) and (m) of section 508, if the 
                Corporation uses any method developed as a 
                result of the contract described in 
                subparagraph (A) to adjust for quality losses, 
                such method shall be--
                          (i) optional for producers to elect 
                        to use; and
                          (ii) offered at an actuarially sound 
                        premium rate.
  [(d) Partnerships for Risk Management Development and 
Implementation.--
          [(1) Purpose.--The purpose of this subsection is to 
        authorize the Corporation to enter into partnerships 
        with public and private entities for the purpose of 
        either--
                  [(A) increasing the availability of loss 
                mitigation, financial, and other risk 
                management tools for producers, with a priority 
                given to risk management tools for producers of 
                agricultural commodities covered by section 196 
                of the Agricultural Market Transition Act (7 
                U.S.C. 7333), specialty crops, and underserved 
                agricultural commodities; or
                  [(B) improving analysis tools and technology 
                regarding compliance or identifying and using 
                innovative compliance strategies.
          [(2) Authority.--The Corporation may enter into 
        partnerships with the National Institute of Food and 
        Agriculture, the Agricultural Research Service, the 
        National Oceanic Atmospheric Administration, and other 
        appropriate public and private entities with 
        demonstrated capabilities in developing and 
        implementing risk management and marketing options for 
        producers of specialty crops and underserved 
        agricultural commodities.
          [(3) Objectives.--The Corporation may enter into a 
        partnership under paragraph (2)--
                  [(A) to enhance the notice and timeliness of 
                notice of weather conditions that could 
                negatively affect crop yields, quality, and 
                final product use in order to allow producers 
                to take preventive actions to increase end 
                product profitability and marketability and to 
                reduce the possibility of crop insurance 
                claims;
                  [(B) to develop a multifaceted approach to 
                pest management and fertilization to decrease 
                inputs, decrease environmental exposure, and 
                increase application efficiency;
                  [(C) to develop or improve techniques for 
                planning, breeding, planting, growing, 
                maintaining, harvesting, storing, shipping, and 
                marketing that will address quality and 
                quantity challenges associated with year-to-
                year and regional variations;
                  [(D) to clarify labor requirements and assist 
                producers in complying with requirements to 
                better meet the physically intense and time-
                compressed planting, tending, and harvesting 
                requirements associated with the production of 
                specialty crops and underserved agricultural 
                commodities;
                  [(E) to provide assistance to State foresters 
                or equivalent officials for the prescribed use 
                of burning on private forest land for the 
                prevention, control, and suppression of fire;
                  [(F) to provide producers with training and 
                informational opportunities so that the 
                producers will be better able to use financial 
                management, farm financial benchmarking, crop 
                insurance, marketing contracts, and other 
                existing and emerging risk management tools;
                  [(G) to improve analysis tools and technology 
                regarding compliance or identifying and using 
                innovative compliance strategies; and
                  [(H) to develop other risk management tools 
                to further increase economic and production 
                stability.]
  [(e)] (d) Funding.--
          (1) Reimbursements.--Of the amounts made available 
        from the insurance fund established under section 
        516(c), the Corporation may use to provide 
        reimbursements under subsection (b) not more than 
        $7,500,000 for fiscal year 2008 and each subsequent 
        fiscal year.
          (2) Contracting.--
                  (A) Conducting and contracting for research 
                and development.--Of the amounts made available 
                from the insurance fund established under 
                section 516(c), the Corporation may use to 
                conduct research and development and carry out 
                contracting and partnerships [under subsections 
                (c) and (d)] under subsection (c) [not more 
                than $12,500,000 for fiscal year 2008 and each 
                subsequent fiscal year.] not more than--
                          (i) $12,500,000 for fiscal year 2008 
                        through 2018; and 
                          (ii) $8,000,000 for fiscal year 2019 
                        and each fiscal year thereafter.
                  (B) Underserved states.--Of the amount made 
                available under subparagraph (A) for a fiscal 
                year, the Corporation shall use not more than 
                $5,000,000 for the fiscal year to conduct 
                research and development and carry out 
                contracting for research and development to 
                carry out the purpose described in subsection 
                (c)(1)(A).
          (3) Unused funding.--If the Corporation determines 
        that the amount available under this section for a 
        fiscal year is not needed for such purposes, the 
        Corporation may use--
                  (A) not more than $5,000,000 for each fiscal 
                year to improve program integrity, including 
                by--
                          (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. 524. EDUCATION AND RISK MANAGEMENT ASSISTANCE.

  [(a) Education Assistance.--
          [(1) In general.--Subject to the amounts made 
        available under paragraph (5)--
                  [(A) the Corporation shall carry out the 
                program established under paragraph (2); and
                  [(B) the Secretary, acting through the 
                National Institute of Food and Agriculture, 
                shall carry out the program established under 
                paragraph (3).
          [(2) Education and information.--The Corporation 
        shall establish a program under which crop insurance 
        education and information is provided to producers in 
        States in which (as determined by the Secretary)--
                  [(A) there is traditionally, and continues to 
                be, a low level of Federal crop insurance 
                participation and availability; and
                  [(B) producers are underserved by the Federal 
                crop insurance program.
          [(3) Partnerships for risk management education.--
                  [(A) Authority.--The Secretary, acting 
                through the National Institute of Food and 
                Agriculture, shall establish a program under 
                which competitive grants are made to qualified 
                public and private entities (including land 
                grant colleges, cooperative extension services, 
                and colleges or universities), as determined by 
                the Secretary, for the purpose of educating 
                agricultural producers about the full range of 
                risk management activities, including futures, 
                options, agricultural trade options, crop 
                insurance, cash forward contracting, debt 
                reduction, production diversification, farm 
                resources risk reduction, farm financial 
                benchmarking, and other risk management 
                strategies.
                  [(B) Basis for grants.--A grant under this 
                paragraph shall be awarded on the basis of 
                merit and shall be subject to peer or merit 
                review.
                  [(C) Obligation period.--Funds for a grant 
                under this paragraph shall be available to the 
                Secretary for obligation for a 2-year period.
                  [(D) Administrative costs.--The Secretary may 
                use not more than 4 percent of the funds made 
                available for grants under this paragraph for 
                administrative costs incurred by the Secretary 
                in carrying out this paragraph.
          [(4) Requirements.--In carrying out the programs 
        established under paragraphs (2) and (3), the Secretary 
        shall place special emphasis on risk management 
        strategies (including farm financial benchmarking), 
        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.
          [(5) Funding.--From the insurance fund established 
        under section 516(c), there is transferred--
                  [(A) for the education and information 
                program established under paragraph (2), 
                $5,000,000 for fiscal year 2001 and each 
                subsequent fiscal year; and
                  [(B) for the partnerships for risk management 
                education program established under paragraph 
                (3), $5,000,000 for fiscal year 2001 and each 
                subsequent fiscal year.
  [(b) Agricultural Management Assistance.--
          [(1) Authority.--The Secretary shall provide 
        financial assistance to producers in the States of 
        Connecticut, Delaware, Hawaii, Maryland, Massachusetts, 
        Maine, Nevada, New Hampshire, New Jersey, New York, 
        Pennsylvania, Rhode Island, Utah, Vermont, West 
        Virginia, and Wyoming.
          [(2) Uses.--A producer may use financial assistance 
        provided under this subsection to--
                  [(A) construct or improve--
                          [(i) watershed management structures; 
                        or
                          [(ii) irrigation structures;
                  [(B) plant trees to form windbreaks or to 
                improve water quality;
                  [(C) mitigate financial risk through 
                production or marketing diversification or 
                resource conservation practices, including--
                          [(i) soil erosion control;
                          [(ii) integrated pest management;
                          [(iii) organic farming; or
                          [(iv) to develop and implement a plan 
                        to create marketing opportunities for 
                        the producer, including through value-
                        added processing;
                  [(D) enter into futures, hedging, or options 
                contracts in a manner designed to help reduce 
                production, price, or revenue risk;
                  [(E) enter into agricultural trade options as 
                a hedging transaction to reduce production, 
                price, or revenue risk; or
                  [(F) conduct any other activity relating to 
                an activity described in subparagraphs (A) 
                through (E), as determined by the Secretary.
          [(3) Payment limitation.--The total amount of 
        payments made to a person (as defined in section 
        1001(5) of the Food Security Act (7 U.S.C. 1308(5))) 
        (before the amendment made by section 1703(a) of the 
        Food, Conservation, and Energy Act of 2008) under this 
        subsection for any year may not exceed $50,000.
          [(4) Commodity credit corporation.--
                  [(A) In general.--The Secretary shall carry 
                out this subsection through the Commodity 
                Credit Corporation.
                  [(B) Funding.--
                          [(i) In general.--Except as provided 
                        in clause (ii), the Commodity Credit 
                        Corporation shall make available to 
                        carry out this subsection not less than 
                        $10,000,000 for each fiscal year.
                          [(ii) Exception for certain fiscal 
                        years.--For each of fiscal years 2008 
                        through 2014, the Commodity Credit 
                        Corporation shall make available to 
                        carry out this subsection $15,000,000.
                  [(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. 524. EDUCATION AND RISK MANAGEMENT ASSISTANCE.

  (a) Education Assistance.--Subject to the amounts made 
available under subsection (d), the Secretary, acting through 
the National Institute of Food and Agriculture, shall carry out 
the program established under subsection (b).
  (b) Partnerships for Risk Management Education.--
          (1) Authority.--The Secretary, acting through the 
        National Institute of Food and Agriculture, shall 
        establish a program under which competitive grants are 
        made to qualified public and private entities 
        (including land-grant colleges, cooperative extension 
        services, and colleges or universities), as determined 
        by the Secretary, for the purpose of educating 
        agricultural producers about the full range of risk 
        management activities, including futures, options, 
        agricultural trade options, crop insurance, cash 
        forward contracting, debt reduction, production 
        diversification, farm resources risk reduction, farm 
        financial benchmarking, and other risk management 
        strategies.
          (2) Basis for grants.--A grant under this subsection 
        shall be awarded on the basis of merit and shall be 
        subject to peer or merit review.
          (3) Obligation period.--Funds for a grant under this 
        subsection shall be available to the Secretary for 
        obligation for a 2-year period.
          (4) Administrative costs.--The Secretary may use not 
        more than 4 percent of the funds made available for 
        grants under this subsection for administrative costs 
        incurred by the Secretary in carrying out this 
        subsection.
  (c)  Requirements.--In carrying out the program established 
under subsection (b), the Secretary shall place special 
emphasis on risk management strategies (including farm 
financial benchmarking), education, and outreach specifically 
targeted at--
          (1) beginning farmers or ranchers;
          (2) legal immigrant farmers or ranchers that are 
        attempting to become established producers in the 
        United States;
          (3) socially disadvantaged farmers or ranchers; and
          (4) farmers or ranchers that--
                  (A) are preparing to retire;
                  (B) are using transition strategies to help 
                new farmers or ranchers get started; and
                  (C) new or established farmers or ranchers 
                that are converting production and marketing 
                systems to pursue new markets.
  (d)  Funding.--From the insurance fund established under 
section 516(c), there is transferred for the partnerships for 
risk management education program established under subsection 
(b) $5,000,000 for fiscal year 2018 and each subsequent fiscal 
year.

           *       *       *       *       *       *       *

                              ----------                              


                      ANIMAL HEALTH PROTECTION ACT



           *       *       *       *       *       *       *
TITLE X--MISCELLANEOUS

           *       *       *       *       *       *       *


Subtitle E--Animal Health Protection

           *       *       *       *       *       *       *


SEC. 10409A. NATIONAL ANIMAL HEALTH LABORATORY NETWORK.

  (a) Definition of Eligible Laboratory.--In this section, the 
term ``eligible laboratory'' means a diagnostic laboratory that 
meets specific criteria developed by the Secretary, in 
consultation with State animal health officials, State 
veterinary diagnostic laboratories, and veterinary diagnostic 
laboratories at institutions of higher education (as defined in 
section 101 of the Higher Education Act of 1965 (20 U.S.C. 
1001)).
  (b) In General.--The Secretary, in consultation with State 
veterinarians, shall offer to enter into contracts, grants, 
cooperative agreements, or other legal instruments with 
eligible laboratories for any of the following purposes:
          (1) To enhance the capability of the Secretary to 
        respond in a timely manner to emerging or existing 
        bioterrorist threats to animal health.
          (2) To provide the capacity and capability for 
        standardized--
                  (A) test procedures, reference materials, and 
                equipment;
                  (B) laboratory biosafety and biosecurity 
                levels;
                  (C) quality management system requirements;
                  (D) interconnected electronic reporting and 
                transmission of data; and
                  (E) evaluation for emergency preparedness.
          (3) To coordinate the development, implementation, 
        and enhancement of national veterinary diagnostic 
        laboratory capabilities, with special emphasis on 
        surveillance planning and vulnerability analysis, 
        technology development and validation, training, and 
        outreach.
  (c) Priority.--To the extent practicable and to the extent 
capacity and specialized expertise may be necessary, the 
Secretary shall give priority to existing Federal facilities, 
State facilities, and facilities at institutions of higher 
education.
  [(d) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $15,000,000 for 
each of fiscal years 2014 through 2018.]

SEC. 10409B. NATIONAL ANIMAL DISEASE PREPAREDNESS AND RESPONSE PROGRAM.

  (a) Program Required.--The Secretary shall establish a 
program, to be known as the ``National Animal Disease 
Preparedness and Response Program'', to address the increasing 
risk of the introduction and spread of animal pests and 
diseases affecting the economic interests of the livestock and 
related industries of the United States, including the 
maintenance and expansion of export markets.
  (b) Eligible Entities.--To carry out the National Animal 
Disease Preparedness and Response Program, the Secretary shall 
offer to enter into cooperative agreements, or other legal 
instruments, with eligible entities, to be selected by the 
Secretary, which may include any of the following entities, 
either individually or in combination:
          (1) A State department of agriculture.
          (2) The office of the chief animal health official of 
        a State.
          (3) A land-grant college or university or NLGCA 
        Institution (as those terms are defined in section 1404 
        of the National Agricultural Research, Extension, and 
        Teaching Policy Act of 1977 (7 U.S.C. 3103)).
          (4) A college of veterinary medicine, including a 
        veterinary emergency team at such college.
          (5) A State or national livestock producer 
        organization with direct and significant economic 
        interest in livestock production.
          (6) A State emergency agency.
          (7) A State, national, allied, or regional veterinary 
        organization or specialty board recognized by the 
        American Veterinary Medical Association.
          (8) An Indian Tribe (as defined in section 4 of the 
        Indian Self-Determination and Education Assistance Act 
        (25 U.S.C. 5304)).
          (9) A Federal agency.
  (c) Activities.--
          (1) Program activities.--Activities under the 
        National Animal Disease Preparedness and Response 
        Program shall include, to the extent practicable, the 
        following:
                  (A) Enhancing animal pest and disease 
                analysis and surveillance.
                  (B) Expanding outreach and education.
                  (C) Targeting domestic inspection activities 
                at vulnerable points in the safeguarding 
                continuum.
                  (D) Enhancing and strengthening threat 
                identification and technology.
                  (E) Improving biosecurity.
                  (F) Enhancing emergency preparedness and 
                response capabilities, including training 
                additional emergency response personnel.
                  (G) Conducting technology development and 
                enhancing electronic sharing of animal health 
                data for risk analysis between State and 
                Federal animal health officials.
                  (H) Enhancing the development and 
                effectiveness of animal health technologies to 
                treat and prevent animal disease, including--
                          (i) veterinary biologics and 
                        diagnostics;
                          (ii) animal drugs for minor use and 
                        minor species; and
                          (iii) animal medical devices.
                  (I) Such other activities as determined 
                appropriate by the Secretary, in consultation 
                with eligible entities specified in subsection 
                (b).
          (2) Priorities.--In entering into cooperative 
        agreements or other legal instruments under subsection 
        (b), the Secretary shall give priority to applications 
        submitted by--
                  (A) a State department of agriculture or an 
                office of the chief animal health official of a 
                State; or
                  (B) an eligible entity that will carry out 
                program activities in a State or region--
                          (i) in which an animal pest or 
                        disease is a Federal concern; or
                          (ii) which the Secretary determines 
                        has potential for the spread of an 
                        animal pest or disease after taking 
                        into consideration--
                                  (I) the agricultural 
                                industries in the State or 
                                region;
                                  (II) factors contributing to 
                                animal disease or pest in the 
                                State or region, such as the 
                                climate, natural resources, and 
                                geography of, and native and 
                                exotic wildlife species and 
                                other disease vectors in, the 
                                State or region; and
                                  (III) the movement of animals 
                                in the State or region.
          (3) Consultation.--For purposes of setting priorities 
        under this subsection, the Secretary shall consult with 
        eligible entities specified in subsection (b). The 
        Federal Advisory Committee Act (5 U.S.C. App.) shall 
        not apply to consultation carried out under this 
        paragraph.
  (d) Application.--
          (1) In general.--An eligible entity specified in 
        subsection (b) seeking to enter into a cooperative 
        agreement, or other legal instrument, under the 
        National Animal Disease Preparedness and Response 
        Program shall submit to the Secretary an application 
        containing such information as the Secretary may 
        require.
          (2) Notification.--The Secretary shall notify each 
        applicant of--
                  (A) the requirements to be imposed on the 
                recipient of funds under the Program for 
                auditing of, and reporting on, the use of such 
                funds; and
                  (B) the criteria to be used to ensure 
                activities supported using such funds are based 
                on sound scientific data or thorough risk 
                assessments.
          (3) Non-Federal contributions.--When deciding whether 
        to enter into an agreement or other legal instrument 
        under the Program with an eligible entity describe
          (1) d in subsection (b), the Secretary--
                  (A) may take into consideration an eligible 
                entity's ability to contribute non-Federal 
                funds to carry out such a cooperative agreement 
                or other legal instrument under the Program; 
                and
                  (B) shall not require such an entity to make 
                such a contribution.
  (e) Use of Funds.--
          (1) Use consistent with terms of cooperative 
        agreement.--The recipient of funds under the National 
        Animal Disease Preparedness and Response Program shall 
        use the funds for the purposes and in the manner 
        provided in the cooperative agreement, or other legal 
        instrument, under which the funds are provided.
          (2) Sub-agreement.--Nothing in this section prevents 
        an eligible entity from using funds received under the 
        Program to enter into sub-agreements with political 
        subdivisions of the State that have legal 
        responsibilities relating to animal disease prevention, 
        surveillance, or rapid response.
  (f) Reporting Requirement.--Not later than 90 days after the 
date of completion of an activity conducted using funds 
provided under the National Animal Disease Preparedness and 
Response Program, the recipient of such funds shall submit to 
the Secretary a report that describes the purposes and results 
of the activities.

SEC. 10409C. NATIONAL ANIMAL HEALTH VACCINE BANK.

  (a) Establishment.--The Secretary shall establish a national 
vaccine bank (to be known as the ``National Animal Health 
Vaccine Bank'') for the benefit of the domestic interests of 
the United States and to help protect the United States 
agriculture and food system against terrorist attack, major 
disaster, and other emergencies.
  (b) Elements of Vaccine Bank.--Through the National Animal 
Health Vaccine Bank, the Secretary shall--
          (1) maintain sufficient quantities of animal vaccine, 
        antiviral, therapeutic, or diagnostic products to 
        appropriately and rapidly respond to an outbreak of 
        those animal diseases that would have the most damaging 
        effect on human health or the United States economy; 
        and
          (2) leverage, when appropriate, the mechanisms and 
        infrastructure that have been developed for the 
        management, storage, and distribution of the National 
        Veterinary Stockpile of the Animal and Plant Health 
        Inspection Service.
  (c) Priority for Response to Foot and Mouth Disease.--The 
Secretary shall prioritize the acquisition of sufficient 
quantities of foot and mouth disease vaccine, and accompanying 
diagnostic products, for the National Animal Health Vaccine 
Bank. As part of such prioritization, the Secretary shall 
consider contracting with one or more entities that are capable 
of producing foot and mouth disease vaccine and that have surge 
production capacity of the vaccine.

           *       *       *       *       *       *       *


SEC. 10417. [AUTHORIZATION OF APPROPRIATIONS.]  FUNDING.

  (a)  [In General] General Authorization of Appropriations.--
There are authorized to be appropriated such sums as are 
necessary to carry out this subtitle.
  (b) Transfer of Funds.--
          (1) In general.--In connection with an emergency 
        under which a pest or disease of livestock threatens 
        any segment of agricultural production in the United 
        States, the Secretary may transfer from other 
        appropriations or funds available to the agencies or 
        corporations of the Department of Agriculture such 
        funds as the Secretary determines are necessary for the 
        arrest, control, eradication, or prevention of the 
        spread of the pest or disease of livestock and for 
        related expenses.
          (2) Availability.--Any funds transferred under this 
        subsection shall remain available until expended, 
        without fiscal year limitation.
          (3) Reviewability.--The action of any officer, 
        employee, or agent of the Secretary in carrying out 
        this section (including determining the amount of and 
        making any payment authorized to be made under this 
        subtitle) shall not be subject to review by any officer 
        or employee of the Federal Government other than the 
        Secretary or the designee of the Secretary.
  (c) Use of Funds.--In carrying out this subtitle, the 
Secretary may use funds made available [to carry out this 
subtitle] pursuant to the authorization of appropriations in 
subsection (a) for--
          (1) the employment of civilian nationals in foreign 
        countries; and
          (2) the construction and operation of research 
        laboratories, quarantine stations, and other buildings 
        and facilities for special purposes.
  (d) Availability of Funds for Specified Purposes.--
          (1) Mandatory funding.--
                  (A) Fiscal year 2019.--Of the funds of the 
                Commodity Credit Corporation, the Secretary 
                shall make available for fiscal year 2019 
                $250,000,000 to carry out sections 10409A, 
                10409B, and 10409C, of which--
                          (i) $30,000,000 shall be made 
                        available to carry out the National 
                        Animal Health Laboratory Network under 
                        section 10409A;
                          (ii) $70,000,000 shall be made 
                        available to carry out the National 
                        Animal Disease Preparedness and 
                        Response Program under section 10409B; 
                        and
                          (iii) $150,000,000 shall be made 
                        available to establish and maintain the 
                        National Animal Health Vaccine Bank 
                        under section 10409C.
                  (B) Subsequent fiscal years.--Of the funds of 
                the Commodity Credit Corporation, the Secretary 
                shall make available to carry out sections 
                10409A, 10409B, and 10409C, $50,000,000 for 
                each of fiscal years 2020 through 2023, of 
                which not less than $30,000,000 shall be made 
                available for each of those fiscal years to 
                carry out the National Animal Disease 
                Preparedness and Response Program under section 
                10409B.
          (2) Additional authorization of appropriations.--In 
        addition to the funds made available under 
        subparagraphs (A)(i) and (B) of paragraph (1) and funds 
        authorized to be appropriated by subsection (a), there 
        are authorized to be appropriated $15,000,000 for each 
        of fiscal years 2019 through 2023 to carry out the 
        National Animal Health Laboratory Network under section 
        10409A.
          (3) Administrative costs Of the funds made available 
        under subparagraphs (A)(i), (A)(ii), and (B) and 
        subparagraph (B) of paragraph (1), not more than four 
        percent may be retained by the Secretary to pay 
        administrative costs incurred by the Secretary to carry 
        out the National Animal Health Laboratory Network under 
        section 10409A and the National Animal Disease 
        Preparedness and Response Program under section 10409B. 
        Of the funds made available under subparagraphs (A)(ii) 
        and (B) to carry out the National Animal Disease 
        Preparedness and Response Program under section 10409B 
        and (B) of such paragraph, not more than ten percent 
        may be retained by an eligible entity to pay 
        administrative costs incurred by the eligible entity to 
        carry out such program.
          (4) Duration of availability.--Funds made available 
        under this subsection, including any proceeds credited 
        under paragraph (5), shall remain available until 
        expended.
          (5) Proceeds from vaccine sales.--Any proceeds of a 
        sale of vaccine or antigen from the National Animal 
        Health Vaccine Bank shall be--
                  (A) deposited into the Treasury of the United 
                States; and
                  (B) credited to the account for the operation 
                of the National Animal Health Vaccine Bank.
          (6) Limitations on use of funds for certain 
        purposes.--Funds made available under the National 
        Animal Health Laboratory Network, the National Animal 
        Disease Preparedness and Response Program, and the 
        National Animal Health Vaccine Bank shall not be used 
        for the construction of a new building or facility or 
        the acquisition or expansion of an existing building or 
        facility, including site grading and improvement and 
        architect fees.

           *       *       *       *       *       *       *

                              ----------                              


      FEDERAL CROP INSURANCE REFORM AND DEPARTMENT OF AGRICULTURE 
                       REORGANIZATION ACT OF 1994



           *       *       *       *       *       *       *
TITLE III--MISCELLANEOUS

           *       *       *       *       *       *       *


SEC. 309. OFFICE OF TRIBAL RELATIONS.

  The Secretary shall maintain in the Office [of the Secretary] 
of Partnerships and Public Engagement established under section 
226B an Office of Tribal Relations, which shall advise the 
Secretary on policies related to Indian tribes and carry out 
such other functions as the Secretary considers appropriate.
                              ----------                              


                      HIGHER EDUCATION ACT OF 1965



           *       *       *       *       *       *       *
TITLE VI--INTERNATIONAL EDUCATION PROGRAMS

           *       *       *       *       *       *       *


PART C--INSTITUTE FOR INTERNATIONAL PUBLIC POLICY

           *       *       *       *       *       *       *


SEC. 625. INTERNSHIPS.

  (a) In General.--The Institute shall enter into agreements 
with historically Black colleges and universities, tribally 
controlled colleges or universities, Alaska Native-serving, 
Native Hawaiian-serving, and Hispanic-serving institutions, 
other institutions of higher education with significant numbers 
of minority students, and institutions of higher education with 
programs in training foreign service professionals, to provide 
academic year internships during the junior and senior year and 
summer internships following the sophomore and junior academic 
years, by work placements with international, voluntary or 
government organizations or agencies, including the Agency for 
International Development, the Department of State, the 
International Monetary Fund, the National Security Council, the 
Organization of American States, the Export-Import Bank, the 
Overseas Private Investment Corporation, the Department of 
State, Office of the United States Trade Representative, the 
World Bank, and the United Nations.
  (b) Postbaccalaureate Internships.--The Institute shall enter 
into agreements with institutions of higher education described 
in the first sentence of subsection (a) to conduct internships 
for students who have completed study for a baccalaureate 
degree. The internship program authorized by this subsection 
shall--
          (1) assist the students to prepare for a master's 
        degree program;
          (2) be carried out with the assistance of the Woodrow 
        Wilson International Center for Scholars; and
          (3) contain work experience for the students designed 
        to contribute to the students' preparation for a 
        master's degree program.
  (c) Interagency Committee on Minority Careers in 
International Affairs.--
          (1) Establishment.--There is established in the 
        executive branch of the Federal Government an 
        Interagency Committee on Minority Careers in 
        International Affairs composed of not less than 7 
        members, including--
                  (A) the [Under Secretary for Farm and Foreign 
                Agricultural Services] Under Secretary of 
                Agriculture for Trade and Foreign Agricultural 
                Affairs of the Department of Agriculture, or 
                the Under Secretary's designee;
                  (B) the Assistant Secretary and Director 
                General, of the United States and Foreign 
                Commercial Service of the Department of 
                Commerce, or the Assistant Secretary and 
                Director General's designee;
                  (C) the Under Secretary of Defense for 
                Personnel and Readiness of the Department of 
                Defense, or the Under Secretary's designee;
                  (D) the Assistant Secretary for Postsecondary 
                Education in the Department of Education, or 
                the Assistant Secretary's designee;
                  (E) the Director General of the Foreign 
                Service of the Department of State, or the 
                Director General's designee; and
                  (F) the General Counsel of the Agency for 
                International Development, or the General 
                Counsel's designee.
          (2) Functions.--The Interagency Committee established 
        by this section shall--
                  (A) on an annual basis inform the Secretary 
                and the Institute regarding ways to advise 
                students participating in the internship 
                program assisted under this section with 
                respect to goals for careers in international 
                affairs;
                  (B) locate for students potential internship 
                opportunities in the Federal Government related 
                to international affairs; and
                  (C) promote policies in each department and 
                agency participating in the Committee that are 
                designed to carry out the objectives of this 
                part.

           *       *       *       *       *       *       *

                              ----------                              


                        AGRICULTURAL ACT OF 1961



           *       *       *       *       *       *       *
TITLE III--AGRICULTURAL CREDIT

           *       *       *       *       *       *       *


Subtitle D--Administrative Provisions

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  Sec. 343. (a) As used in this title:
          (1) The term ``farmer'' includes a person who is 
        engaged in, or who, with assistance afforded under this 
        title, intends to engage in, fish farming.
          (2) The term ``farming'' shall be deemed to include 
        fish farming.
          (3) The term ``owner-operator'' shall include in the 
        State of Hawaii the lessee-operator of real property in 
        any case in which the Secretary determines that such 
        real property cannot be acquired in fee simple by such 
        lessee-operator, that adequate security is provided for 
        the loan with respect to such real property for which 
        such lessee-operator applies under this title, and that 
        there is a reasonable probability of accomplishing the 
        objectives and repayment of such loan.
          (4) The word ``insure'' as used in this title 
        includes guarantee, which means to guarantee the 
        payment of a loan originated, held, and serviced by a 
        private financial agency or other lender approved by 
        the Secretary.
          (5) The term ``contract of insurance'' includes a 
        contract of guarantee.
          (6) The terms ``United States'' and ``State'' shall 
        include each of the several States, the Commonwealth of 
        Puerto Rico, the Virgin Islands of the United States, 
        Guam, American Samoa, the Commonwealth of the Northern 
        Mariana Islands, and, to the extent the Secretary 
        determines it to be feasible and appropriate, the Trust 
        Territory of the Pacific Islands.
          (7) The term ``joint operation'' means a joint 
        farming operation in which two or more farmers work 
        together sharing equally or unequally land, labor, 
        equipment, expenses, and income.
          (8) The term ``beginning farmer or rancher'' means 
        such term as defined by the Secretary.
          (9) The term ``direct loan'' means a loan made or 
        insured from funds in the account created by section 
        309.
          (10) The term ``farmer program loan'' means a farm 
        ownership loan (FO) under section 303, operating loan 
        (OL) under section 312, soil and water loan (SW) under 
        section 304, emergency loan (EM) under section 321, 
        economic emergency loan (EE) under section 202 of the 
        Emergency Agricultural Credit Adjustment Act (title II 
        of Public Law 95-334), economic opportunity loan (EO) 
        under the Economic Opportunity Act of 1961 (42 U.S.C. 
        2942), softwood timber loan (ST) under section 1254 of 
        the Food Security Act of 1985, or rural housing loan 
        for farm service buildings (RHF) under section 502 of 
        the Housing Act of 1949.
          (11) The term ``qualified beginning farmer or 
        rancher'' means an applicant, regardless of whether the 
        applicant is participating in a program under section 
        310E--
                  (A) who is eligible for assistance under this 
                title;
                  (B) who has not operated a farm or ranch, or 
                who has operated a farm or ranch for not more 
                than 10 years;
                  (C) in the case of a cooperative, 
                corporation, partnership, joint operation, or 
                such other legal entity as the Secretary 
                considers appropriate, who has members, 
                stockholders, partners, or joint operators who 
                are all related to one another by blood or 
                marriage;
                  (D)(i) in the case of an owner and operator 
                of a farm or ranch, who--
                          (I) in the case of a loan made to an 
                        individual, individually or with the 
                        immediate family of the applicant--
                                  (aa) materially and 
                                substantially participates in 
                                the operation of the farm or 
                                ranch; and
                                  (bb) provides substantial 
                                day-to-day labor and management 
                                of the farm or ranch, 
                                consistent with the practices 
                                in the State or county in which 
                                the farm or ranch is located; 
                                or
                          (II)(aa) in the case of a loan made 
                        to a cooperative, corporation, 
                        partnership, joint operation, or such 
                        other legal entity as the Secretary 
                        considers appropriate, has members, 
                        stockholders, partners, joint 
                        operators, or owners, materially and 
                        substantially participate in the 
                        operation of the farm or ranch; and
                          (bb) in the case of a loan made to a 
                        cooperative, corporation, partnership, 
                        joint operation, or other such legal 
                        entity as the Secretary considers 
                        appropriate, has members, stockholders, 
                        partners, or joint operators, all of 
                        whom are qualified beginning farmers or 
                        ranchers; and
                  (ii) in the case of an applicant seeking to 
                own and operate a farm or ranch, who--
                          (I) in the case of a loan made to an 
                        individual, individually or with the 
                        immediate family of the applicant, 
                        will--
                                  (aa) materially and 
                                substantially participate in 
                                the operation of the farm or 
                                ranch; and
                                  (bb) provide substantial day-
                                to-day labor and management of 
                                the farm or ranch, consistent 
                                with the practices in the State 
                                or county in which the farm or 
                                ranch is located; or
                          (II)(aa) in the case of a loan made 
                        to a cooperative, corporation, 
                        partnership, joint operation, or such 
                        other legal entity as the Secretary 
                        considers appropriate, will have 
                        members, stockholders, partners, joint 
                        operators, or owners, materially and 
                        substantially participate in the 
                        operation of the farm or ranch; and
                          (bb) in the case of a loan made to a 
                        cooperative, corporation, partnership, 
                        joint operation, or other such legal 
                        entity as the Secretary considers 
                        appropriate, has members, stockholders, 
                        partners, or joint operators, all of 
                        whom are qualified beginning farmers or 
                        ranchers;
                  (E) who agrees to participate in such loan 
                assessment, borrower training, and financial 
                management programs as the Secretary may 
                require;
                  (F) who does not own land or who, directly or 
                through interests in family farm corporations, 
                owns land, the aggregate acreage of which does 
                not exceed 30 percent of the average acreage of 
                the farms or ranches, as the case may be, in 
                the county in which the farm or ranch 
                operations of the applicant are located, as 
                reported in the most recent census of 
                agriculture, except that this subparagraph 
                shall not apply to a loan made or guaranteed 
                under subtitle B; and
                  (G) who demonstrates that the available 
                resources of the applicant and spouse (if any) 
                of the applicant are not sufficient to enable 
                the applicant to continue farming or ranching 
                on a viable scale.
          (12) Debt forgiveness.--
                  (A) In general.--Except as provided in 
                subparagraph (B), the term ``debt forgiveness'' 
                means reducing or terminating a farmer program 
                loan made or guaranteed under this title, in a 
                manner that results in a loss to the Secretary, 
                through--
                          (i) writing down or writing off a 
                        loan under section 353;
                          (ii) compromising, adjusting, 
                        reducing, or charging-off a debt or 
                        claim under section 331;
                          (iii) paying a loss on a guaranteed 
                        loan under section 357; or
                          (iv) discharging a debt as a result 
                        of bankruptcy.
                  (B) Exceptions.--The term ``debt 
                forgiveness'' does not include--
                          (i) consolidation, rescheduling, 
                        reamortization, or deferral of a loan; 
                        or
                          (ii) any write-down provided as part 
                        of a resolution of a discrimination 
                        complaint against the Secretary.
          (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 subparagraphs 
                                (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 
                        (or other official designated by the 
                        Secretary), the Under Secretary or 
                        designated official 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 
                        or designated official finds that the 
                        part is rural in character, as 
                        determined by the Under Secretary or 
                        designated official.
                          (iii) Administration.--In carrying 
                        out this subparagraph, the Under 
                        Secretary for Rural Development (or 
                        other official designated by the 
                        Secretary) shall--
                                  (I) not delegate the 
                                authority to carry out this 
                                subparagraph;
                                  (II) consult with the 
                                applicable rural development 
                                State or regional director of 
                                the Department of Agriculture 
                                and the governor of the 
                                respective State;
                                  (III) provide to the 
                                petitioner an opportunity to 
                                appeal to the Under Secretary 
                                or designated official a 
                                determination made under this 
                                subparagraph;
                                  (IV) release to the public 
                                notice of a petition filed or 
                                initiative of the Under 
                                Secretary or designated 
                                official 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 subparagraph not 
                                less than 15 days, and not more 
                                than 60 days, after the release 
                                of the notice under subclause 
                                (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 
                provision 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 considered 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 
                                        Secretary 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 adjacent to a 
                                city or town described in 
                                subparagraph (A)(i).
                          (ii) Adjustments.--The Secretary may, 
                        by regulation 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 appropriate 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 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) As used in sections 307(e), 331D, 335 (e) and (f), 
338(b), 352 (b) and (c), 353, and 357:
          (1) The term ``borrower'' means any farm borrower who 
        has outstanding obligations to the Secretary under any 
        farmer program loan, without regard to whether the loan 
        has been accelerated, but does not include any farm 
        borrower all of whose loans and accounts have been 
        foreclosed on or liquidated, voluntarily or otherwise.
          (2) The term ``loan service program'' means, with 
        respect to a farmer program borrower, a primary loan 
        service program or a preservation loan service program.
          (3) The term ``primary loan service program'' means--
                  (A) loan consolidation, rescheduling, or 
                reamortization;
                  (B) interest rate reduction, including the 
                use of the limited resource program;
                  (C) loan restructuring, including deferral, 
                set aside, or writing down of the principal or 
                accumulated interest charges, or both, of the 
                loan; or
                  (D) any combination of actions described in 
                subparagraphs (A), (B), and (C).
          (4) Preservation loan service program.--The term 
        ``preservation loan service program'' means homestead 
        retention as authorized under section 352.

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NATIVE AMERICAN BUSINESS DEVELOPMENT, TRADE PROMOTION, AND TOURISM ACT 
                                OF 2000



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SEC. 6. INTERTRIBAL TOURISM DEMONSTRATION PROJECTS.

  (a) Program To Conduct Tourism Projects.--
          (1) In general.--The Secretary, acting through the 
        Director, shall conduct a Native American tourism 
        program to facilitate the development and conduct of 
        tourism demonstration projects by Indian tribes, on a 
        tribal, intertribal, or regional basis.
          (2) Demonstration projects.--
                  (A) In general.--Under the program 
                established under this section, in order to 
                assist in the development and promotion of 
                tourism on and in the vicinity of Indian lands, 
                the Secretary, acting through the Director, 
                shall, in coordination with the Under Secretary 
                of Agriculture for Rural Development (or other 
                official designated by the Secretary of 
                Agriculture), assist eligible entities in the 
                planning, development, and implementation of 
                tourism development demonstration projects that 
                meet the criteria described in subparagraph 
                (B).
                  (B) Projects described.--In selecting tourism 
                development demonstration projects under this 
                section, the Secretary, acting through the 
                Director, shall select projects that have the 
                potential to increase travel and tourism 
                revenues by attracting visitors to Indian lands 
                and lands in the vicinity of Indian lands, 
                including projects that provide for--
                          (i) the development and distribution 
                        of educational and promotional 
                        materials pertaining to attractions 
                        located on and near Indian lands;
                          (ii) the development of educational 
                        resources to assist in private and 
                        public tourism development on and in 
                        the vicinity of Indian lands; and
                          (iii) the coordination of tourism-
                        related joint ventures and cooperative 
                        efforts between eligible entities and 
                        appropriate State and local governments 
                        that have jurisdiction over areas in 
                        the vicinity of Indian lands.
          (3) Grants.--To carry out the program under this 
        section, the Secretary, acting through the Director, 
        may award grants or enter into other appropriate 
        arrangements with Indian tribes, tribal organizations, 
        intertribal consortia, or other tribal entities that 
        the Secretary, in consultation with the Director, 
        determines to be appropriate.
          (4) Locations.--In providing for tourism development 
        demonstration projects under the program under this 
        section, the Secretary, acting through the Director, 
        shall provide for a demonstration project to be 
        conducted--
                  (A) for Indians of the Four Corners area 
                located in the area adjacent to the border 
                between Arizona, Utah, Colorado, and New 
                Mexico;
                  (B) for Indians of the northwestern area that 
                is commonly known as the Great Northwest (as 
                determined by the Secretary);
                  (C) for the Oklahoma Indians in Oklahoma;
                  (D) for the Indians of the Great Plains area 
                (as determined by the Secretary); and
                  (E) for Alaska Natives in Alaska.
  (b) Assistance.--The Secretary, acting through the Director, 
shall provide financial assistance, technical assistance, and 
administrative services to participants that the Secretary, 
acting through the Director, selects to carry out a tourism 
development project under this section, with respect to--
          (1) feasibility studies conducted as part of that 
        project;
          (2) market analyses;
          (3) participation in tourism and trade missions; and
          (4) any other activity that the Secretary, in 
        consultation with the Director, determines to be 
        appropriate to carry out this section.
  (c) Infrastructure Development.--The demonstration projects 
conducted under this section shall include provisions to 
facilitate the development and financing of infrastructure, 
including the development of Indian reservation roads in a 
manner consistent with title 23, United States Code.

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                       REHABILITATION ACT OF 1973



           *       *       *       *       *       *       *
              TITLE I--VOCATIONAL REHABILITATION SERVICES

PART A--GENERAL PROVISIONS

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SEC. 101. STATE PLANS.

  (a) Plan Requirements.--
          (1) In general.--
                  (A) Submission.--To be eligible to receive 
                funds under this title for a fiscal year, a 
                State shall submit, and have approved by the 
                Secretary and the Secretary of Labor, a unified 
                State plan in accordance with section 102, or a 
                combined State plan in accordance with section 
                103, of the Workforce Innovation and 
                Opportunity Act. The unified or combined State 
                plan shall include, in the portion of the plan 
                described in section 102(b)(2)(D) of such Act 
                (referred to in this subsection as the 
                ``vocational rehabilitation services 
                portion''), the provisions of a State plan for 
                vocational rehabilitation services, described 
                in this subsection.
                  (B) Nonduplication.--The State shall not be 
                required to submit, as part of the vocational 
                rehabilitation services portion of the unified 
                or combined State plan submitted in accordance 
                with subparagraph (A), policies, procedures, or 
                descriptions required under this title that 
                have been previously submitted to the 
                Commissioner and that demonstrate that such 
                State meets the requirements of this title, 
                including any policies, procedures, or 
                descriptions submitted under this title as in 
                effect on the day before the effective date of 
                the Workforce Innovation and Opportunity Act.
                  (C) Duration.--The vocational rehabilitation 
                services portion of the unified or combined 
                State plan submitted in accordance with 
                subparagraph (A) shall remain in effect until 
                the State submits and receives approval of a 
                new State plan in accordance with subparagraph 
                (A), or until the submission of such 
                modifications as the State determines to be 
                necessary or as the Commissioner may require 
                based on a change in State policy, a change in 
                Federal law (including regulations), an 
                interpretation of this Act by a Federal court 
                or the highest court of the State, or a finding 
                by the Commissioner of State noncompliance with 
                the requirements of this Act.
          (2) Designated state agency; designated state unit.--
                  (A) Designated state agency.--The State plan 
                for vocational rehabilitation services shall 
                designate a State agency as the sole State 
                agency to administer the plan, or to supervise 
                the administration of the plan by a local 
                agency, except that--
                          (i) where, under State law, the State 
                        agency for individuals who are blind or 
                        another agency that provides assistance 
                        or services to adults who are blind is 
                        authorized to provide vocational 
                        rehabilitation services to individuals 
                        who are blind, that agency may be 
                        designated as the sole State agency to 
                        administer the part of the plan under 
                        which vocational rehabilitation 
                        services are provided for individuals 
                        who are blind (or to supervise the 
                        administration of such part by a local 
                        agency) and a separate State agency may 
                        be designated as the sole State agency 
                        to administer or supervise the 
                        administration of the rest of the State 
                        plan;
                          (ii) the Commissioner, on the request 
                        of a State, may authorize the 
                        designated State agency to share 
                        funding and administrative 
                        responsibility with another agency of 
                        the State or with a local agency in 
                        order to permit the agencies to carry 
                        out a joint program to provide services 
                        to individuals with disabilities, and 
                        may waive compliance, with respect to 
                        vocational rehabilitation services 
                        furnished under the joint program, with 
                        the requirement of paragraph (4) that 
                        the plan be in effect in all political 
                        subdivisions of the State; and
                          (iii) in the case of American Samoa, 
                        the appropriate State agency shall be 
                        the Governor of American Samoa.
                  (B) Designated state unit.--The State agency 
                designated under subparagraph (A) shall be--
                          (i) a State agency primarily 
                        concerned with vocational 
                        rehabilitation, or vocational and other 
                        rehabilitation, of individuals with 
                        disabilities; or
                          (ii) if not such an agency, the State 
                        agency (or each State agency if 2 are 
                        so designated) shall include a 
                        vocational rehabilitation bureau, 
                        division, or other organizational unit 
                        that--
                                  (I) is primarily concerned 
                                with vocational rehabilitation, 
                                or vocational and other 
                                rehabilitation, of individuals 
                                with disabilities, and is 
                                responsible for the vocational 
                                rehabilitation program of the 
                                designated State agency;
                                  (II) has a full-time director 
                                who is responsible for the day-
                                to-day operation of the 
                                vocational rehabilitation 
                                program;
                                  (III) has a staff employed on 
                                the rehabilitation work of the 
                                organizational unit all or 
                                substantially all of whom are 
                                employed full time on such 
                                work;
                                  (IV) is located at an 
                                organizational level and has an 
                                organizational status within 
                                the designated State agency 
                                comparable to that of other 
                                major organizational units of 
                                the designated State agency; 
                                and
                                  (V) has the sole authority 
                                and responsibility within the 
                                designated State agency 
                                described in subparagraph (A) 
                                to expend funds made available 
                                under this title in a manner 
                                that is consistent with the 
                                purposes of this title.
                  (C) Responsibility for services for the 
                blind.--If the State has designated only 1 
                State agency pursuant to subparagraph (A), the 
                State may assign responsibility for the part of 
                the plan under which vocational rehabilitation 
                services are provided for individuals who are 
                blind to an organizational unit of the 
                designated State agency and assign 
                responsibility for the rest of the plan to 
                another organizational unit of the designated 
                State agency, with the provisions of 
                subparagraph (B) applying separately to each of 
                the designated State units.
          (3) Non-federal share.--The State plan shall provide 
        for financial participation by the State, or if the 
        State so elects, by the State and local agencies, to 
        provide the amount of the non-Federal share of the cost 
        of carrying out part B.
          (4) Statewideness.--The State plan shall provide that 
        the plan shall be in effect in all political 
        subdivisions of the State, except that--
                  (A) in the case of any activity that, in the 
                judgment of the Commissioner, is likely to 
                assist in promoting the vocational 
                rehabilitation of substantially larger numbers 
                of individuals with disabilities or groups of 
                individuals with disabilities, the Commissioner 
                may waive compliance with the requirement that 
                the plan be in effect in all political 
                subdivisions of the State to the extent and for 
                such period as may be provided in accordance 
                with regulations prescribed by the 
                Commissioner, but only if the non-Federal share 
                of the cost of the vocational rehabilitation 
                services involved is met from funds made 
                available by a local agency (including funds 
                contributed to such agency by a private agency, 
                organization, or individual); and
                  (B) in a case in which earmarked funds are 
                used toward the non-Federal share and such 
                funds are earmarked for particular geographic 
                areas within the State, the earmarked funds may 
                be used in such areas if the State notifies the 
                Commissioner that the State cannot provide the 
                full non-Federal share without such funds.
          (5) Order of selection for vocational rehabilitation 
        services.--In the event that vocational rehabilitation 
        services cannot be provided to all eligible individuals 
        with disabilities in the State who apply for the 
        services, the State plan shall--
                  (A) show the order to be followed in 
                selecting eligible individuals to be provided 
                vocational rehabilitation services;
                  (B) provide the justification for the order 
                of selection;
                  (C) include an assurance that, in accordance 
                with criteria established by the State for the 
                order of selection, individuals with the most 
                significant disabilities will be selected first 
                for the provision of vocational rehabilitation 
                services;
                  (D) notwithstanding subparagraph (C), permit 
                the State, in its discretion, to elect to serve 
                eligible individuals (whether or not receiving 
                vocational rehabilitation services) who require 
                specific services or equipment to maintain 
                employment; and
                  (E) provide that eligible individuals, who do 
                not meet the order of selection criteria, shall 
                have access to services provided through the 
                information and referral system implemented 
                under paragraph (20).
          (6) Methods for administration.--
                  (A) In general.--The State plan shall provide 
                for such methods of administration as are found 
                by the Commissioner to be necessary for the 
                proper and efficient administration of the 
                plan.
                  (B) Employment of individuals with 
                disabilities.--The State plan shall provide 
                that the designated State agency, and entities 
                carrying out community rehabilitation programs 
                in the State, who are in receipt of assistance 
                under this title shall take affirmative action 
                to employ and advance in employment qualified 
                individuals with disabilities covered under, 
                and on the same terms and conditions as set 
                forth in, section 503.
                  (C) Facilities.--The State plan shall provide 
                that facilities used in connection with the 
                delivery of services assisted under the State 
                plan shall comply with the Act entitled ``An 
                Act to insure that certain buildings financed 
                with Federal funds are so designed and 
                constructed as to be accessible to the 
                physically handicapped'', approved on August 
                12, 1968 (commonly known as the ``Architectural 
                Barriers Act of 1968''), with section 504, and 
                with the Americans with Disabilities Act of 
                1990.
          (7) Comprehensive system of personnel development.--
        The State plan shall--
                  (A) include a description (consistent with 
                the purposes of this Act) of a comprehensive 
                system of personnel development, which shall 
                include--
                          (i) a description of the procedures 
                        and activities the designated State 
                        agency will undertake to ensure an 
                        adequate supply of qualified State 
                        rehabilitation professionals and 
                        paraprofessionals for the designated 
                        State unit, including the development 
                        and maintenance of a system for 
                        determining, on an annual basis--
                                  (I) the number and type of 
                                personnel that are employed by 
                                the designated State unit in 
                                the provision of vocational 
                                rehabilitation services, 
                                including ratios of qualified 
                                vocational rehabilitation 
                                counselors to clients; and
                                  (II) the number and type of 
                                personnel needed by the State, 
                                and a projection of the numbers 
                                of such personnel that will be 
                                needed in 5 years, based on 
                                projections of the number of 
                                individuals to be served, the 
                                number of such personnel who 
                                are expected to retire or leave 
                                the vocational rehabilitation 
                                field, and other relevant 
                                factors;
                          (ii) where appropriate, a description 
                        of the manner in which activities will 
                        be undertaken under this section to 
                        coordinate the system of personnel 
                        development with personnel development 
                        activities under the Individuals with 
                        Disabilities Education Act (20 U.S.C. 
                        1400 et seq.);
                          (iii) a description of the 
                        development and maintenance of a system 
                        of determining, on an annual basis, 
                        information on the programs of 
                        institutions of higher education within 
                        the State that are preparing 
                        rehabilitation professionals, 
                        including--
                                  (I) the numbers of students 
                                enrolled in such programs; and
                                  (II) the number of such 
                                students who graduated with 
                                certification or licensure, or 
                                with credentials to qualify for 
                                certification or licensure, as 
                                a rehabilitation professional 
                                during the past year;
                          (iv) a description of the 
                        development, updating, and 
                        implementation of a plan that--
                                  (I) will address the current 
                                and projected vocational 
                                rehabilitation services 
                                personnel training needs for 
                                the designated State unit; and
                                  (II) provides for the 
                                coordination and facilitation 
                                of efforts between the 
                                designated State unit, 
                                institutions of higher 
                                education, and professional 
                                associations to recruit, 
                                prepare, and retain qualified 
                                personnel, including personnel 
                                from minority backgrounds, and 
                                personnel who are individuals 
                                with disabilities; and
                          (v) a description of the procedures 
                        and activities the designated State 
                        agency will undertake to ensure that 
                        all personnel employed by the 
                        designated State unit are appropriately 
                        and adequately trained and prepared, 
                        including--
                                  (I) a system for the 
                                continuing education of 
                                rehabilitation professionals 
                                and paraprofessionals within 
                                the designated State unit, 
                                particularly with respect to 
                                rehabilitation technology, 
                                including training implemented 
                                in coordination with entities 
                                carrying out State programs 
                                under section 4 of the 
                                Assistive Technology Act of 
                                1998 (29 U.S.C. 3003); and
                                  (II) procedures for acquiring 
                                and disseminating to 
                                rehabilitation professionals 
                                and paraprofessionals within 
                                the designated State unit 
                                significant knowledge from 
                                research and other sources, 
                                including procedures for 
                                providing training regarding 
                                the amendments to this Act made 
                                by the Workforce Innovation and 
                                Opportunity Act;
                  (B) set forth policies and procedures 
                relating to the establishment and maintenance 
                of standards to ensure that personnel, 
                including rehabilitation professionals and 
                paraprofessionals, needed within the designated 
                State unit to carry out this part are 
                appropriately and adequately prepared and 
                trained, including--
                          (i) the establishment and maintenance 
                        of standards that are consistent with 
                        any national or State approved or 
                        recognized certification, licensing, 
                        registration, or other comparable 
                        requirements that apply to the area in 
                        which such personnel are providing 
                        vocational rehabilitation services; and
                          (ii) the establishment and 
                        maintenance of education and experience 
                        requirements, to ensure that the 
                        personnel have a 21st century 
                        understanding of the evolving labor 
                        force and the needs of individuals with 
                        disabilities, including requirements 
                        for--
                                  (I)(aa) attainment of a 
                                baccalaureate degree in a field 
                                of study reasonably related to 
                                vocational rehabilitation, to 
                                indicate a level of competency 
                                and skill demonstrating basic 
                                preparation in a field of study 
                                such as vocational 
                                rehabilitation counseling, 
                                social work, psychology, 
                                disability studies, business 
                                administration, human 
                                resources, special education, 
                                supported employment, 
                                customized employment, 
                                economics, or another field 
                                that reasonably prepares 
                                individuals to work with 
                                consumers and employers; and
                                  (bb) demonstrated paid or 
                                unpaid experience, for not less 
                                than 1 year, consisting of--
                                          (AA) direct work with 
                                        individuals with 
                                        disabilities in a 
                                        setting such as an 
                                        independent living 
                                        center;
                                          (BB) direct service 
                                        or advocacy activities 
                                        that provide such 
                                        individual with 
                                        experience and skills 
                                        in working with 
                                        individuals with 
                                        disabilities; or
                                          (CC) direct 
                                        experience as an 
                                        employer, as a small 
                                        business owner or 
                                        operator, or in self-
                                        employment, or other 
                                        experience in human 
                                        resources, recruitment, 
                                        or experience in 
                                        supervising employees, 
                                        training, or other 
                                        activities that provide 
                                        experience in 
                                        competitive integrated 
                                        employment 
                                        environments; or
                                  (II) attainment of a master's 
                                or doctoral degree in a field 
                                of study such as vocational 
                                rehabilitation counseling, law, 
                                social work, psychology, 
                                disability studies, business 
                                administration, human 
                                resources, special education, 
                                management, public 
                                administration, or another 
                                field that reasonably provides 
                                competence in the employment 
                                sector, in a disability field, 
                                or in both business-related and 
                                rehabilitation-related fields; 
                                and
                  (C) contain provisions relating to the 
                establishment and maintenance of minimum 
                standards to ensure the availability of 
                personnel within the designated State unit, to 
                the maximum extent feasible, trained to 
                communicate in the native language or mode of 
                communication of an applicant or eligible 
                individual.
          (8) Comparable services and benefits.--
                  (A) Determination of availability.--
                          (i) In general.--The State plan shall 
                        include an assurance that, prior to 
                        providing an accommodation or auxiliary 
                        aid or service or any vocational 
                        rehabilitation service to an eligible 
                        individual, except those services 
                        specified in paragraph (5)(E) and in 
                        paragraphs (1) through (4) and (14) of 
                        section 103(a), the designated State 
                        unit will determine whether comparable 
                        services and benefits are available 
                        under any other program (other than a 
                        program carried out under this title) 
                        unless such a determination would 
                        interrupt or delay--
                                  (I) the progress of the 
                                individual toward achieving the 
                                employment outcome identified 
                                in the individualized plan for 
                                employment of the individual in 
                                accordance with section 102(b);
                                  (II) an immediate job 
                                placement; or
                                  (III) the provision of such 
                                service to any individual at 
                                extreme medical risk.
                          (ii) Awards and scholarships.--For 
                        purposes of clause (i), comparable 
                        benefits do not include awards and 
                        scholarships based on merit.
                  (B) Interagency agreement.--The State plan 
                shall include an assurance that the Governor of 
                the State, in consultation with the entity in 
                the State responsible for the vocational 
                rehabilitation program and other appropriate 
                agencies, will ensure that an interagency 
                agreement or other mechanism for interagency 
                coordination takes effect between any 
                appropriate public entity, including the State 
                entity responsible for administering the State 
                Medicaid program, a public institution of 
                higher education, and a component of the 
                statewide workforce development system, and the 
                designated State unit, in order to ensure the 
                provision of vocational rehabilitation services 
                described in subparagraph (A) (other than those 
                services specified in paragraph (5)(E), and in 
                paragraphs (1) through (4) and (14) of section 
                103(a)), and, if appropriate, accommodations or 
                auxiliary aids and services, that are included 
                in the individualized plan for employment of an 
                eligible individual, including the provision of 
                such vocational rehabilitation services 
                (including, if appropriate, accommodations or 
                auxiliary aids and services) during the 
                pendency of any dispute described in clause 
                (iii). Such agreement or mechanism shall 
                include the following:
                          (i) Agency financial 
                        responsibility.--An identification of, 
                        or a description of a method for 
                        defining, the financial responsibility 
                        of such public entity for providing 
                        such services, and a provision stating 
                        the financial responsibility of such 
                        public entity for providing such 
                        services.
                          (ii) Conditions, terms, and 
                        procedures of reimbursement.--
                        Information specifying the conditions, 
                        terms, and procedures under which a 
                        designated State unit shall be 
                        reimbursed by other public entities for 
                        providing such services, based on the 
                        provisions of such agreement or 
                        mechanism.
                          (iii) Interagency disputes.--
                        Information specifying procedures for 
                        resolving interagency disputes under 
                        the agreement or other mechanism 
                        (including procedures under which the 
                        designated State unit may initiate 
                        proceedings to secure reimbursement 
                        from other public entities or otherwise 
                        implement the provisions of the 
                        agreement or mechanism).
                          (iv) Coordination of services 
                        procedures.--Information specifying 
                        policies and procedures for public 
                        entities to determine and identify the 
                        interagency coordination 
                        responsibilities of each public entity 
                        to promote the coordination and timely 
                        delivery of vocational rehabilitation 
                        services (except those services 
                        specified in paragraph (5)(E) and in 
                        paragraphs (1) through (4) and (14) of 
                        section 103(a)), and accommodations or 
                        auxiliary aids and services.
                  (C) Responsibilities of other public 
                entities.--
                          (i) Responsibilities under other 
                        law.--Notwithstanding subparagraph (B), 
                        if any public entity other than a 
                        designated State unit is obligated 
                        under Federal or State law, or assigned 
                        responsibility under State policy or 
                        under this paragraph, to provide or pay 
                        for any services that are also 
                        considered to be vocational 
                        rehabilitation services (other than 
                        those specified in paragraph (5)(E) and 
                        in paragraphs (1) through (4) and (14) 
                        of section 103(a)), such public entity 
                        shall fulfill that obligation or 
                        responsibility, either directly or by 
                        contract or other arrangement.
                          (ii) Reimbursement.--If a public 
                        entity other than the designated State 
                        unit fails to provide or pay for the 
                        services described in clause (i) for an 
                        eligible individual, the designated 
                        State unit shall provide or pay for 
                        such services to the individual. Such 
                        designated State unit may claim 
                        reimbursement for the services from the 
                        public entity that failed to provide or 
                        pay for such services. Such public 
                        entity shall reimburse the designated 
                        State unit pursuant to the terms of the 
                        interagency agreement or other 
                        mechanism described in this paragraph 
                        according to the procedures established 
                        in such agreement or mechanism pursuant 
                        to subparagraph (B)(ii).
                  (D) Methods.--The Governor of a State may 
                meet the requirements of subparagraph (B) 
                through--
                          (i) a State statute or regulation;
                          (ii) a signed agreement between the 
                        respective officials of the public 
                        entities that clearly identifies the 
                        responsibilities of each public entity 
                        relating to the provision of services; 
                        or
                          (iii) another appropriate method, as 
                        determined by the designated State 
                        unit.
          (9) Individualized plan for employment.--
                  (A) Development and implementation.--The 
                State plan shall include an assurance that an 
                individualized plan for employment meeting the 
                requirements of section 102(b) will be 
                developed and implemented in a timely manner 
                for an individual subsequent to the 
                determination of the eligibility of the 
                individual for services under this title, 
                except that in a State operating under an order 
                of selection described in paragraph (5), the 
                plan will be developed and implemented only for 
                individuals meeting the order of selection 
                criteria of the State.
                  (B) Provision of services.--The State plan 
                shall include an assurance that such services 
                will be provided in accordance with the 
                provisions of the individualized plan for 
                employment.
          (10) Reporting requirements.--
                  (A) In general.--The State plan shall include 
                an assurance that the designated State agency 
                will submit reports in the form and level of 
                detail and at the time required by the 
                Commissioner regarding applicants for, and 
                eligible individuals receiving, services under 
                this title.
                  (B) Annual reporting.--In specifying the 
                information to be submitted in the reports, the 
                Commissioner shall require annual reporting of 
                information, on eligible individuals receiving 
                the services, that is necessary to assess the 
                State's performance on the standards and 
                indicators described in section 106(a) that are 
                determined by the Secretary to be relevant in 
                assessing the performance of designated State 
                units in carrying out the vocational 
                rehabilitation program established under this 
                title.
                  (C) Additional data.--In specifying the 
                information required to be submitted in the 
                reports, the Commissioner shall require 
                additional data, from each State, with regard 
                to applicants and eligible individuals related 
                to--
                          (i) the number of applicants and the 
                        number of individuals determined to be 
                        eligible or ineligible for the program 
                        carried out under this title, including 
                        the number of individuals determined to 
                        be ineligible (disaggregated by type of 
                        disability and age);
                          (ii) the number of individuals who 
                        received vocational rehabilitation 
                        services through the program, 
                        including--
                                  (I) the number who received 
                                services under paragraph 
                                (5)(E), but not assistance 
                                under an individualized plan 
                                for employment;
                                  (II) of those recipients who 
                                are individuals with 
                                significant disabilities, the 
                                number who received assistance 
                                under an individualized plan 
                                for employment consistent with 
                                section 102(b);
                                  (III) of those recipients who 
                                are not individuals with 
                                significant disabilities, the 
                                number who received assistance 
                                under an individualized plan 
                                for employment consistent with 
                                section 102(b);
                                  (IV) the number of 
                                individuals with open cases 
                                (disaggregated by those who are 
                                receiving training and those 
                                who are in postsecondary 
                                education), and the type of 
                                services the individuals are 
                                receiving (including supported 
                                employment);
                                  (V) the number of students 
                                with disabilities who are 
                                receiving pre-employment 
                                transition services under this 
                                title: and
                                  (VI) the number of 
                                individuals referred to State 
                                vocational rehabilitation 
                                programs by one-stop operators 
                                (as defined in section 3 of the 
                                Workforce Innovation and 
                                Opportunity Act), and the 
                                number of individuals referred 
                                to such one-stop operators by 
                                State vocational rehabilitation 
                                programs;
                          (iii) of those applicants and 
                        eligible recipients who are individuals 
                        with significant disabilities--
                                  (I) the number who ended 
                                their participation in the 
                                program carried out under this 
                                title and the number who 
                                achieved employment outcomes 
                                after receiving vocational 
                                rehabilitation services; and
                                  (II) the number who ended 
                                their participation in the 
                                program and who were employed 6 
                                months and 12 months after 
                                securing or regaining 
                                employment, or, in the case of 
                                individuals whose employment 
                                outcome was to retain or 
                                advance in employment, who were 
                                employed 6 months and 12 months 
                                after achieving their 
                                employment outcome, including--
                                          (aa) the number who 
                                        earned the minimum wage 
                                        rate specified in 
                                        section 6(a)(1) of the 
                                        Fair Labor Standards 
                                        Act of 1938 (29 U.S.C. 
                                        206(a)(1)) or another 
                                        wage level set by the 
                                        Commissioner, during 
                                        such employment; and
                                          (bb) the number who 
                                        received employment 
                                        benefits from an 
                                        employer during such 
                                        employment; and
                          (iv) of those applicants and eligible 
                        recipients who are not individuals with 
                        significant disabilities--
                                  (I) the number who ended 
                                their participation in the 
                                program carried out under this 
                                title and the number who 
                                achieved employment outcomes 
                                after receiving vocational 
                                rehabilitation services and, 
                                for those who achieved 
                                employment outcomes, the 
                                average length of time to 
                                obtain employment; and
                                  (II) the number who ended 
                                their participation in the 
                                program and who were employed 6 
                                months and 12 months after 
                                securing or regaining 
                                employment, or, in the case of 
                                individuals whose employment 
                                outcome was to retain or 
                                advance in employment, who were 
                                employed 6 months and 12 months 
                                after achieving their 
                                employment outcome, including--
                                          (aa) the number who 
                                        earned the minimum wage 
                                        rate specified in 
                                        section 6(a)(1) of the 
                                        Fair Labor Standards 
                                        Act of 1938 (29 U.S.C. 
                                        206(a)(1)) or another 
                                        wage level set by the 
                                        Commissioner, during 
                                        such employment; and
                                          (bb) the number who 
                                        received employment 
                                        benefits from an 
                                        employer during such 
                                        employment.
                  (D) Costs and results.--The Commissioner 
                shall also require that the designated State 
                agency include in the reports information on--
                          (i) the costs under this title of 
                        conducting administration, providing 
                        assessment services, counseling and 
                        guidance, and other direct services 
                        provided by designated State agency 
                        staff, providing services purchased 
                        under individualized plans for 
                        employment, supporting small business 
                        enterprises, establishing, developing, 
                        and improving community rehabilitation 
                        programs, providing other services to 
                        groups, and facilitating use of other 
                        programs under this Act and title I of 
                        the Workforce Innovation and 
                        Opportunity Act by eligible 
                        individuals; and
                          (ii) the results of annual evaluation 
                        by the State of program effectiveness 
                        under paragraph (15)(E).
                  (E) Additional information.--The Commissioner 
                shall require that each designated State unit 
                include in the reports additional information 
                related to the applicants and eligible 
                individuals, obtained either through a complete 
                count or sampling, including--
                          (i) information on--
                                  (I) age, gender, race, 
                                ethnicity, education, category 
                                of impairment, severity of 
                                disability, and whether the 
                                individuals are students with 
                                disabilities;
                                  (II) dates of application, 
                                determination of eligibility or 
                                ineligibility, initiation of 
                                the individualized plan for 
                                employment, and termination of 
                                participation in the program;
                                  (III) earnings at the time of 
                                application for the program and 
                                termination of participation in 
                                the program;
                                  (IV) work status and 
                                occupation;
                                  (V) types of services, 
                                including assistive technology 
                                services and assistive 
                                technology devices, provided 
                                under the program;
                                  (VI) types of public or 
                                private programs or agencies 
                                that furnished services under 
                                the program; and
                                  (VII) the reasons for 
                                individuals terminating 
                                participation in the program 
                                without achieving an employment 
                                outcome; and
                          (ii) information necessary to 
                        determine the success of the State in 
                        meetingthe standards and indicators 
                        established pursuant to section106.
                  (F) Completeness and confidentiality.--The 
                State plan shall include an assurance that the 
                information submitted in the reports will 
                include a complete count, except as provided in 
                subparagraph (E), of the applicants and 
                eligible individuals, in a manner permitting 
                the greatest possible cross-classification of 
                data and that the identity of each individual 
                for which information is supplied under this 
                paragraph will be kept confidential.
                  (G) Rules for reporting of data.--The 
                disaggregation of data under this Act shall not 
                be required within a category if the number of 
                individuals in a category is insufficient to 
                yield statistically reliable information, or if 
                the results would reveal personally 
                identifiable information about an individual.
                  (H) Comprehensive report.--The State plan 
                shall specify that the Commissioner will 
                provide an annual comprehensive report that 
                includes the reports and data required under 
                this section, as well as a summary of the 
                reports and data, for each fiscal year. The 
                Commissioner shall submit the report to the 
                Committee on Education and the Workforce of the 
                House of Representatives, the Committee on 
                Appropriations of the House of Representatives, 
                the Committee on Health, Education, Labor, and 
                Pensions of the Senate, and the Committee on 
                Appropriations of the Senate, not later than 90 
                days after the end of the fiscal year involved.
          (11) Cooperation, collaboration, and coordination.--
                  (A) Cooperative agreements with other 
                components of statewide workforce development 
                systems.--The State plan shall provide that the 
                designated State unit or designated State 
                agency shall enter into a cooperative agreement 
                with other entities that are components of the 
                statewide workforce development system of the 
                State, regarding the system, which agreement 
                may provide for--
                          (i) provision of intercomponent staff 
                        training and technical assistance with 
                        regard to--
                                  (I) the availability and 
                                benefits of, and information on 
                                eligibility standards for, 
                                vocational rehabilitation 
                                services; and
                                  (II) the promotion of equal, 
                                effective, and meaningful 
                                participation by individuals 
                                with disabilities in workforce 
                                development activities in the 
                                State through the promotion of 
                                program accessibility 
                                (including programmatic 
                                accessibility and physical 
                                accessibility), the use of 
                                nondiscriminatory policies and 
                                procedures, and the provision 
                                of reasonable accommodations, 
                                auxiliary aids and services, 
                                and rehabilitation technology, 
                                for individuals with 
                                disabilities;
                          (ii) use of information and financial 
                        management systems that link all 
                        components of the statewide workforce 
                        development system, that link the 
                        components to other electronic 
                        networks, including nonvisual 
                        electronic networks, and that relate to 
                        such subjects as employment statistics, 
                        and information on job vacancies, 
                        career planning, and workforce 
                        investment activities;
                          (iii) use of customer service 
                        features such as common intake and 
                        referral procedures, customer 
                        databases, resource information, and 
                        human services hotlines;
                          (iv) establishment of cooperative 
                        efforts with employers to--
                                  (I) facilitate job placement; 
                                and
                                  (II) carry out any other 
                                activities that the designated 
                                State unit and the employers 
                                determine to be appropriate;
                          (v) identification of staff roles, 
                        responsibilities, and available 
                        resources, and specification of the 
                        financial responsibility of each 
                        component of the statewide workforce 
                        development system with regard to 
                        paying for necessary services 
                        (consistent with State law and Federal 
                        requirements); and
                          (vi) specification of procedures for 
                        resolving disputes among such 
                        components.
                  (B) Replication of cooperative agreements.--
                The State plan shall provide for the 
                replication of such cooperative agreements at 
                the local level between individual offices of 
                the designated State unit and local entities 
                carrying out activities through the statewide 
                workforce development system.
                  (C) Interagency cooperation with other 
                agencies.--The State plan shall include 
                descriptions of interagency cooperation with, 
                and utilization of the services and facilities 
                of, Federal, State, and local agencies and 
                programs, including the State programs carried 
                out under section 4 of the Assistive Technology 
                Act of 1998 (29 U.S.C. 3003), programs carried 
                out by the Under Secretary for Rural 
                Development of the Department of Agriculture 
                (or other official designated by the Secretary 
                of Agriculture), noneducational agencies 
                serving out-of-school youth, and State use 
                contracting programs, to the extent that such 
                Federal, State, and local agencies and programs 
                are not carrying out activities through the 
                statewide workforce development system.
                  (D) Coordination with education officials.--
                The State plan shall contain plans, policies, 
                and procedures for coordination between the 
                designated State agency and education officials 
                responsible for the public education of 
                students with disabilities, that are designed 
                to facilitate the transition of the students 
                with disabilities from the receipt of 
                educational services in school to the receipt 
                of vocational rehabilitation services, 
                including pre-employment transition services, 
                under this title, including information on a 
                formal interagency agreement with the State 
                educational agency that, at a minimum, provides 
                for--
                          (i) consultation and technical 
                        assistance, which may be provided using 
                        alternative means for meeting 
                        participation (such as video 
                        conferences and conference calls), to 
                        assist educational agencies in planning 
                        for the transition of students with 
                        disabilities from school to post-school 
                        activities, including vocational 
                        rehabilitation services;
                          (ii) transition planning by personnel 
                        of the designated State agency and 
                        educational agency personnel for 
                        students with disabilities that 
                        facilitates the development and 
                        implementation of their individualized 
                        education programs under section 614(d) 
                        of the Individuals with Disabilities 
                        Education Act;
                          (iii) the roles and responsibilities, 
                        including financial responsibilities, 
                        of each agency, including provisions 
                        for determining State lead agencies and 
                        qualified personnel responsible for 
                        transition services; and
                          (iv) procedures for outreach to and 
                        identification of students with 
                        disabilities who need the transition 
                        services.
                  (E) Coordination with employers.--The State 
                plan shall describe how the designated State 
                unit will work with employers to identify 
                competitive integrated employment opportunities 
                and career exploration opportunities, in order 
                to facilitate the provision of--
                          (i) vocational rehabilitation 
                        services; and
                          (ii) transition services for youth 
                        with disabilities and students with 
                        disabilities, such as pre-employment 
                        transition services.
                  (F) Coordination with statewide independent 
                living councils and independent living 
                centers.--The State plan shall include an 
                assurance that the designated State unit, the 
                Statewide Independent Living Council 
                established under section 705, and the 
                independent living centers described in part C 
                of chapter 1 of title VII within the State have 
                developed working relationships and coordinate 
                their activities, as appropriate.
                  (G) Cooperative agreement regarding 
                individuals eligible for home and community-
                based waiver programs.--The State plan shall 
                include an assurance that the designated State 
                unit has entered into a formal cooperative 
                agreement with the State agency responsible for 
                administering the State Medicaid plan under 
                title XIX of the Social Security Act (42 U.S.C. 
                1396 et seq.) and the State agency with primary 
                responsibility for providing services and 
                supports for individuals with intellectual 
                disabilities and individuals with developmental 
                disabilities, with respect to the delivery of 
                vocational rehabilitation services, including 
                extended services, for individuals with the 
                most significant disabilities who have been 
                determined to be eligible for home and 
                community-based services under a Medicaid 
                waiver, Medicaid State plan amendment, or other 
                authority related to a State Medicaid program.
                  (H) Cooperative agreement with recipients of 
                grants for services to american indians.--In 
                applicable cases, the State plan shall include 
                an assurance that the State has entered into a 
                formal cooperative agreement with each grant 
                recipient in the State that receives funds 
                under part C. The agreement shall describe 
                strategies for collaboration and coordination 
                in providing vocational rehabilitation services 
                to American Indians who are individuals with 
                disabilities, including--
                          (i) strategies for interagency 
                        referral and information sharing that 
                        will assist in eligibility 
                        determinations and the development of 
                        individualized plans for employment;
                          (ii) procedures for ensuring that 
                        American Indians who are individuals 
                        with disabilities and are living on or 
                        near a reservation or tribal service 
                        area are provided vocational 
                        rehabilitation services;
                          (iii) strategies for the provision of 
                        transition planning, by personnel of 
                        the designated State unit, the State 
                        educational agency, and the recipient 
                        of funds under part C, that will 
                        facilitate the development and approval 
                        of the individualized plans for 
                        employment under section 102; and
                          (iv) provisions for sharing resources 
                        in cooperative studies and assessments, 
                        joint training activities, and other 
                        collaborative activities designed to 
                        improve the provision of services to 
                        American Indians who are individuals 
                        with disabilities.
                  (I) Coordination with assistive technology 
                programs.--The State plan shall include an 
                assurance that the designated State unit, and 
                the lead agency and implementing entity (if 
                any) designated by the Governor of the State 
                under section 4 of the Assistive Technology Act 
                of 1998 (29 U.S.C. 3003), have developed 
                working relationships and will enter into 
                agreements for the coordination of their 
                activities, including the referral of 
                individuals with disabilities to programs and 
                activities described in that section.
                  (J) Coordination with ticket to work and 
                self-sufficiency program.--The State plan shall 
                include an assurance that the designated State 
                unit will coordinate activities with any other 
                State agency that is functioning as an 
                employment network under the Ticket to Work and 
                Self-Sufficiency Program established under 
                section 1148 of the Social Security Act (42 
                U.S.C. 1320b-19).
                  (K) Interagency cooperation.--The State plan 
                shall describe how the designated State agency 
                or agencies (if more than 1 agency is 
                designated under paragraph (2)(A)) will 
                collaborate with the State agency responsible 
                for administering the State Medicaid plan under 
                title XIX of the Social Security Act (42 U.S.C. 
                1396 et seq.), the State agency responsible for 
                providing services for individuals with 
                developmental disabilities, and the State 
                agency responsible for providing mental health 
                services, to develop opportunities for 
                community-based employment in integrated 
                settings, to the greatest extent practicable.
          (12) Residency.--The State plan shall include an 
        assurance that the State will not impose a residence 
        requirement that excludes from services provided under 
        the plan any individual who is present in the State.
          (13) Services to american indians.--The State plan 
        shall include an assurance that, except as otherwise 
        provided in part C, the designated State agency will 
        provide vocational rehabilitation services to American 
        Indians who are individuals with disabilities residing 
        in the State to the same extent as the designated State 
        agency provides such services to other significant 
        populations of individuals with disabilities residing 
        in the State.
          (14) Semiannual review of individuals in extended 
        employment or other employment under special 
        certificate provisions of the fair labor standards act 
        of 1938.--The State plan shall provide for--
                  (A) a semiannual review and reevaluation of 
                the status of each individual with a disability 
                served under this title who is employed either 
                in an extended employment setting in a 
                community rehabilitation program or any other 
                employment under section 14(c) of the Fair 
                Labor Standards Act (29 U.S.C. 214(c)) for 2 
                years after the beginning of such employment, 
                and annually thereafter, to determine the 
                interests, priorities, and needs of the 
                individual with respect to competitive 
                integrated employment or training for 
                competitive integrated employment;
                  (B) input into the review and reevaluation, 
                and a signed acknowledgment that such review 
                and reevaluation have been conducted, by the 
                individual with a disability, or, if 
                appropriate, the individual's representative;
                  (C) maximum efforts, including the 
                identification and provision of vocational 
                rehabilitation services, reasonable 
                accommodations, and other necessary support 
                services, to assist individuals described in 
                subparagraph (A) in attaining competitive 
                integrated employment; and
                  (D) an assurance that the State will report 
                the information generated under subparagraphs 
                (A), (B), and (C), for each of the individuals, 
                to the Administrator of the Wage and Hour 
                Division of the Department of Labor for each 
                fiscal year, not later than 60 days after the 
                end of the fiscal year.
          (15) Annual state goals and reports of progress.--
                  (A) Assessments and estimates.--The State 
                plan shall--
                          (i) include the results of a 
                        comprehensive, statewide assessment, 
                        jointly conducted by the designated 
                        State unit and the State Rehabilitation 
                        Council (if the State has such a 
                        Council) every 3 years, describing the 
                        rehabilitation needs of individuals 
                        with disabilities residing within the 
                        State, particularly the vocational 
                        rehabilitation services needs of--
                                  (I) individuals with the most 
                                significant disabilities, 
                                including their need for 
                                supported employment services;
                                  (II) individuals with 
                                disabilities who are minorities 
                                and individuals with 
                                disabilities who have been 
                                unserved or underserved by the 
                                vocational rehabilitation 
                                program carried out under this 
                                title;
                                  (III) individuals with 
                                disabilities served through 
                                other components of the 
                                statewide workforce development 
                                system (other than the 
                                vocational rehabilitation 
                                program), as identified by such 
                                individuals and personnel 
                                assisting such individuals 
                                through the components; and
                                  (IV) youth with disabilities, 
                                and students with disabilities, 
                                including their need for pre-
                                employment transition services 
                                or other transition services;
                          (ii) include an assessment of the 
                        needs of individuals with disabilities 
                        for transition services and pre-
                        employment transition services, and the 
                        extent to which such services provided 
                        under this Act are coordinated with 
                        transition services provided under the 
                        Individuals with Disabilities Education 
                        Act (20 U.S.C. 1400 et seq.) in order 
                        to meet the needs of individuals with 
                        disabilities.
                          (iii) include an assessment of the 
                        need to establish, develop, or improve 
                        community rehabilitation programs 
                        within the State; and
                          (iv) provide that the State shall 
                        submit to the Commissioner a report 
                        containing information regarding 
                        updates to the assessments, for any 
                        year in which the State updates the 
                        assessments.
                  (B) Annual estimates.--The State plan shall 
                include, and shall provide that the State shall 
                annually submit a report to the Commissioner 
                that includes, State estimates of--
                          (i) the number of individuals in the 
                        State who are eligible for services 
                        under this title;
                          (ii) the number of such individuals 
                        who will receive services provided with 
                        funds provided under part B and under 
                        title VI, including, if the designated 
                        State agency uses an order of selection 
                        in accordance with paragraph (5), 
                        estimates of the number of individuals 
                        to be served under each priority 
                        category within the order;
                          (iii) the number of individuals who 
                        are eligible for services under this 
                        title, but are not receiving such 
                        services due to an order of selection; 
                        and
                          (iv) the costs of the services 
                        described in clause (i), including, if 
                        the designated State agency uses an 
                        order of selection in accordance with 
                        paragraph (5), the service costs for 
                        each priority category within the 
                        order.
                  (C) Goals and priorities.--
                          (i) In general.--The State plan shall 
                        identify the goals and priorities of 
                        the State in carrying out the program. 
                        The goals and priorities shall be 
                        jointly developed, agreed to, and 
                        reviewed annually by the designated 
                        State unit and the State Rehabilitation 
                        Council, if the State has such a 
                        Council. Any revisions to the goals and 
                        priorities shall be jointly agreed to 
                        by the designated State unit and the 
                        State Rehabilitation Council, if the 
                        State has such a Council. The State 
                        plan shall provide that the State shall 
                        submit to the Commissioner a report 
                        containing information regarding 
                        revisions in the goals and priorities, 
                        for any year in which the State revises 
                        the goals and priorities.
                          (ii) Basis.--The State goals and 
                        priorities shall be based on an 
                        analysis of--
                                  (I) the comprehensive 
                                assessment described in 
                                subparagraph (A), including any 
                                updates to the assessment;
                                  (II) the performance of the 
                                State on the standards and 
                                indicators established under 
                                section 106; and
                                  (III) other available 
                                information on the operation 
                                and the effectiveness of the 
                                vocational rehabilitation 
                                program carried out in the 
                                State, including any reports 
                                received from the State 
                                Rehabilitation Council, under 
                                section 105(c) and the findings 
                                and recommendations from 
                                monitoring activities conducted 
                                under section 107.
                          (iii) Service and outcome goals for 
                        categories in order of selection.--If 
                        the designated State agency uses an 
                        order of selection in accordance with 
                        paragraph (5), the State shall also 
                        identify in the State plan service and 
                        outcome goals and the time within which 
                        these goals may be achieved for 
                        individuals in each priority category 
                        within the order.
                  (D) Strategies.--The State plan shall contain 
                a description of the strategies the State will 
                use to address the needs identified in the 
                assessment conducted under subparagraph (A) and 
                achieve the goals and priorities identified in 
                subparagraph (C), including--
                          (i) the methods to be used to expand 
                        and improve services to individuals 
                        with disabilities, including how a 
                        broad range of assistive technology 
                        services and assistive technology 
                        devices will be provided to such 
                        individuals at each stage of the 
                        rehabilitation process and how such 
                        services and devices will be provided 
                        to such individuals on a statewide 
                        basis;
                          (ii) outreach procedures to identify 
                        and serve individuals with disabilities 
                        who are minorities and individuals with 
                        disabilities who have been unserved or 
                        underserved by the vocational 
                        rehabilitation program;
                          (iii) the methods to be used to 
                        improve and expand vocational 
                        rehabilitation services for students 
                        with disabilities, including the 
                        coordination of services designed to 
                        facilitate the transition of such 
                        students from the receipt of 
                        educational services in school to 
                        postsecondary life (including the 
                        receipt of vocational rehabilitation 
                        services under this title, 
                        postsecondary education, employment, 
                        and pre-employment transition 
                        services);
                          (iv) where necessary, the plan of the 
                        State for establishing, developing, or 
                        improving community rehabilitation 
                        programs;
                          (v) strategies to improve the 
                        performance of the State with respect 
                        to the evaluation standards and 
                        performance indicators established 
                        pursuant to section 106; and
                          (vi) strategies for assisting 
                        entities carrying out other components 
                        of the statewide workforce development 
                        system (other than the vocational 
                        rehabilitation program) in assisting 
                        individuals with disabilities.
                  (E) Evaluation and reports of progress.--The 
                State plan shall--
                          (i) include the results of an 
                        evaluation of the effectiveness of the 
                        vocational rehabilitation program, and 
                        a joint report by the designated State 
                        unit and the State Rehabilitation 
                        Council, if the State has such a 
                        Council, to the Commissioner on the 
                        progress made in improving the 
                        effectiveness from the previous year, 
                        which evaluation and report shall 
                        include--
                                  (I) an evaluation of the 
                                extent to which the goals 
                                identified in subparagraph (C) 
                                were achieved;
                                  (II) a description of 
                                strategies that contributed to 
                                achieving the goals;
                                  (III) to the extent to which 
                                the goals were not achieved, a 
                                description of the factors that 
                                impeded that achievement; and
                                  (IV) an assessment of the 
                                performance of the State on the 
                                standards and indicators 
                                established pursuant to section 
                                106; and
                          (ii) provide that the designated 
                        State unit and the State Rehabilitation 
                        Council, if the State has such a 
                        Council, shall jointly submit to the 
                        Commissioner an annual report that 
                        contains the information described in 
                        clause (i).
          (16) Public comment.--The State plan shall--
                  (A) provide that the designated State agency, 
                prior to the adoption of any policies or 
                procedures governing the provision of 
                vocational rehabilitation services under the 
                State plan (including making any amendment to 
                such policies and procedures), shall conduct 
                public meetings throughout the State, after 
                providing adequate notice of the meetings, to 
                provide the public, including individuals with 
                disabilities, an opportunity to comment on the 
                policies or procedures, and actively consult 
                with the Director of the client assistance 
                program carried out under section 112, and, as 
                appropriate, Indian tribes, tribal 
                organizations, and Native Hawaiian 
                organizations on the policies or procedures; 
                and
                  (B) provide that the designated State agency 
                (or each designated State agency if two 
                agencies are designated) and any sole agency 
                administering the plan in a political 
                subdivision of the State, shall take into 
                account, in connection with matters of general 
                policy arising in the administration of the 
                plan, the views of--
                          (i) individuals and groups of 
                        individuals who are recipients of 
                        vocational rehabilitation services, or 
                        in appropriate cases, the individuals' 
                        representatives;
                          (ii) personnel working in programs 
                        that provide vocational rehabilitation 
                        services to individuals with 
                        disabilities;
                          (iii) providers of vocational 
                        rehabilitation services to individuals 
                        with disabilities;
                          (iv) the director of the client 
                        assistance program; and
                          (v) the State Rehabilitation Council, 
                        if the State has such a Council.
          (17) Use of funds for construction of facilities.--
        The State plan shall provide that if, under special 
        circumstances, the State plan includes provisions for 
        the construction of facilities for community 
        rehabilitation programs--
                  (A) the Federal share of the cost of 
                construction for the facilities for a fiscal 
                year will not exceed an amount equal to 10 
                percent of the State's allotment under section 
                110 for such year;
                  (B) the provisions of section 306 (as in 
                effect on the day before the date of enactment 
                of the Rehabilitation Act Amendments of 1998) 
                shall be applicable to such construction and 
                such provisions shall be deemed to apply to 
                such construction; and
                  (C) there shall be compliance with 
                regulations the Commissioner shall prescribe 
                designed to assure that no State will reduce 
                its efforts in providing other vocational 
                rehabilitation services (other than for the 
                establishment of facilities for community 
                rehabilitation programs) because the plan 
                includes such provisions for construction.
          (18) Innovation and expansion activities.--The State 
        plan shall--
                  (A) include an assurance that the State will 
                reserve and use a portion of the funds allotted 
                to the State under section 110--
                          (i) for the development and 
                        implementation of innovative approaches 
                        to expand and improve the provision of 
                        vocational rehabilitation services to 
                        individuals with disabilities under 
                        this title, particularly individuals 
                        with the most significant disabilities, 
                        consistent with the findings of the 
                        statewide assessment and goals and 
                        priorities of the State as described in 
                        paragraph (15); and
                          (ii) to support the funding of--
                                  (I) the State Rehabilitation 
                                Council, if the State has such 
                                a Council, consistent with the 
                                plan prepared under section 
                                105(d)(1); and
                                  (II) the Statewide 
                                Independent Living Council, 
                                consistent with the plan 
                                prepared under section 
                                705(e)(1);
                  (B) include a description of how the reserved 
                funds will be utilized; and
                  (C) provide that the State shall submit to 
                the Commissioner an annual report containing a 
                description of how the reserved funds were 
                utilized during the preceding year.
          (19) Choice.--The State plan shall include an 
        assurance that applicants and eligible individuals or, 
        as appropriate, the applicants' representatives or 
        individuals' representatives, will be provided 
        information and support services to assist the 
        applicants and individuals in exercising informed 
        choice throughout the rehabilitation process, 
        consistent with the provisions of section 102(d).
          (20) Information and referral services.--
                  (A) In general.--The State plan shall include 
                an assurance that the designated State agency 
                will implement an information and referral 
                system adequate to ensure that individuals with 
                disabilities will be provided accurate 
                vocational rehabilitation information and 
                guidance, using appropriate modes of 
                communication, to assist such individuals in 
                preparing for, securing, retaining, or 
                regaining employment, and will be appropriately 
                referred to Federal and State programs (other 
                than the vocational rehabilitation program 
                carried out under this title), including other 
                components of the statewide workforce 
                development system in the State.
                  (B) Referrals.--An appropriate referral made 
                through the system shall--
                          (i) be to the Federal or State 
                        programs, including programs carried 
                        out by other components of the 
                        statewide workforce development system 
                        in the State, best suited to address 
                        the specific employment needs of an 
                        individual with a disability; and
                          (ii) include, for each of these 
                        programs, provision to the individual 
                        of--
                                  (I) a notice of the referral 
                                by the designated State agency 
                                to the agency carrying out the 
                                program;
                                  (II) information identifying 
                                a specific point of contact 
                                within the agency carrying out 
                                the program; and
                                  (III) information and advice 
                                regarding the most suitable 
                                services to assist the 
                                individual to prepare for, 
                                secure, retain, or regain 
                                employment.
          (21) State independent consumer-controlled 
        commission; state rehabilitation council.--
                  (A) Commission or council.--The State plan 
                shall provide that either--
                          (i) the designated State agency is an 
                        independent commission that--
                                  (I) is responsible under 
                                State law for operating, or 
                                overseeing the operation of, 
                                the vocational rehabilitation 
                                program in the State;
                                  (II) is consumer-controlled 
                                by persons who--
                                          (aa) are individuals 
                                        with physical or mental 
                                        impairments that 
                                        substantially limit 
                                        major life activities; 
                                        and
                                          (bb) represent 
                                        individuals with a 
                                        broad range of 
                                        disabilities, unless 
                                        the designated State 
                                        unit under the 
                                        direction of the 
                                        commission is the State 
                                        agency for individuals 
                                        who are blind;
                                  (III) includes family 
                                members, advocates, or other 
                                representatives, of individuals 
                                with mental impairments; and
                                  (IV) undertakes the functions 
                                set forth in section 105(c)(4); 
                                or
                          (ii) the State has established a 
                        State Rehabilitation Council that meets 
                        the criteria set forth in section 105 
                        and the designated State unit--
                                  (I) in accordance with 
                                paragraph (15), jointly 
                                develops, agrees to, and 
                                reviews annually State goals 
                                and priorities, and jointly 
                                submits annual reports of 
                                progress with the Council;
                                  (II) regularly consults with 
                                the Council regarding the 
                                development, implementation, 
                                and revision of State policies 
                                and procedures of general 
                                applicability pertaining to the 
                                provision of vocational 
                                rehabilitation services;
                                  (III) includes in the State 
                                plan and in any revision to the 
                                State plan, a summary of input 
                                provided by the Council, 
                                including recommendations from 
                                the annual report of the 
                                Council described in section 
                                105(c)(5), the review and 
                                analysis of consumer 
                                satisfaction described in 
                                section 105(c)(4), and other 
                                reports prepared by the 
                                Council, and the response of 
                                the designated State unit to 
                                such input and recommendations, 
                                including explanations for 
                                rejecting any input or 
                                recommendation; and
                                  (IV) transmits to the 
                                Council--
                                          (aa) all plans, 
                                        reports, and other 
                                        information required 
                                        under this title to be 
                                        submitted to the 
                                        Secretary;
                                          (bb) all policies, 
                                        and information on all 
                                        practices and 
                                        procedures, of general 
                                        applicability provided 
                                        to or used by 
                                        rehabilitation 
                                        personnel in carrying 
                                        out this title; and
                                          (cc) copies of due 
                                        process hearing 
                                        decisions issued under 
                                        this title, which shall 
                                        be transmitted in such 
                                        a manner as to ensure 
                                        that the identity of 
                                        the participants in the 
                                        hearings is kept 
                                        confidential.
                  (B) More than one designated state agency.--
                In the case of a State that, under section 
                101(a)(2), designates a State agency to 
                administer the part of the State plan under 
                which vocational rehabilitation services are 
                provided for individuals who are blind (or to 
                supervise the administration of such part by a 
                local agency) and designates a separate State 
                agency to administer the rest of the State 
                plan, the State shall either establish a State 
                Rehabilitation Council for each of the two 
                agencies that does not meet the requirements in 
                subparagraph (A)(i), or establish one State 
                Rehabilitation Council for both agencies if 
                neither agency meets the requirements of 
                subparagraph (A)(i).
          (22) Supported employment state plan supplement.--The 
        State plan shall include an assurance that the State 
        has an acceptable plan for carrying out title VI, 
        including the use of funds under that part to 
        supplement funds made available under part B of this 
        title to pay for the cost of services leading to 
        supported employment.
          (23) Annual updates.--The plan shall include an 
        assurance that the State will submit to the 
        Commissioner reports containing annual updates of the 
        information required under paragraph (7) (relating to a 
        comprehensive system of personnel development) and any 
        other updates of the information required under this 
        section that are requested by the Commissioner, and 
        annual reports as provided in paragraphs (15) (relating 
        to assessments, estimates, goals and priorities, and 
        reports of progress) and (18) (relating to innovation 
        and expansion), at such time and in such manner as the 
        Secretary may determine to be appropriate.
          (24) Certain contracts and cooperative agreements.--
                  (A) Contracts with for-profit 
                organizations.--The State plan shall provide 
                that the designated State agency has the 
                authority to enter into contracts with for-
                profit organizations for the purpose of 
                providing, as vocational rehabilitation 
                services, on-the-job training and related 
                programs for individuals with disabilities 
                under part A of title VI, upon a determination 
                by such agency that such for-profit 
                organizations are better qualified to provide 
                such rehabilitation services than nonprofit 
                agencies and organizations.
                  (B) Cooperative agreements with private 
                nonprofit organizations.--The State plan shall 
                describe the manner in which cooperative 
                agreements with private nonprofit vocational 
                rehabilitation service providers will be 
                established.
          (25) Services for students with disabilities.--The 
        State plan shall provide an assurance that, with 
        respect to students with disabilities, the State--
                  (A) has developed and will implement--
                          (i) strategies to address the needs 
                        identified in the assessments described 
                        in paragraph (15); and
                          (ii) strategies to achieve the goals 
                        and priorities identified by the State, 
                        in accordance with paragraph (15), to 
                        improve and expand vocational 
                        rehabilitation services for students 
                        with disabilities on a statewide basis; 
                        and
                  (B) has developed and will implement 
                strategies to provide pre-employment transition 
                services.
          (26) Job growth and development.--The State plan 
        shall provide an assurance describing how the State 
        will utilize initiatives involving in-demand industry 
        sectors or occupations under sections 106(c) and 108 of 
        the Workforce Innovation and Opportunity Act to 
        increase competitive integrated employment 
        opportunities for individuals with disabilities.
  (b) Submission; Approval; Modification.--The State plan for 
vocational rehabilitation services shall be subject to--
          (1) subsection (c) of section 102 of the Workforce 
        Innovation and Opportunity Act, in a case in which that 
        plan is a portion of the unified State plan described 
        in that section 102; and
          (2) subsection (b), and paragraphs (1), (2), and (3) 
        of subsection (c), of section 103 of such Act in a case 
        in which that State plan for vocational rehabilitation 
        services is a portion of the combined State plan 
        described in that section 103.
  (c) Construction.--Nothing in this part shall be construed to 
reduce the obligation under the Individuals with Disabilities 
Education Act (20 U.S.C. 1400 et seq.) of a local educational 
agency or any other agency to provide or pay for any transition 
services that are also considered special education or related 
services and that are necessary for ensuring a free appropriate 
public education to children with disabilities within the State 
involved.

           *       *       *       *       *       *       *

                              ----------                              


                          ACT OF MARCH 3, 1927



           *       *       *       *       *       *       *
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 
        producers of cotton; and
          (2) provide for the collection of classification fees 
        from participating producers or agents that voluntarily 
        agree to collect and remit the fees on behalf of 
        producers.
  (b) Fees.--
          (1)  Use of fees.--Classification fees collected 
        under subsection (a)(2) and the proceeds from the sales 
        of samples submitted under this section shall, to the 
        maximum extent practicable, 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 surcharge 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 
        representatives 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, if the Secretary determines that 
action would best effectuate the purposes of this Act.
  (g) Hiring Authority.--Notwithstanding any other provision of 
law, employees hired to provide cotton classification services 
pursuant to this section may work up to 240 calendar days in a 
service year and may be rehired non-competitively every year in 
the same or a successor position if they meet performance and 
conduct expectations, as determined by the Secretary.
  [(g)] (h) 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.

           *       *       *       *       *       *       *

                              ----------                              


                           ANIMAL WELFARE ACT



           *       *       *       *       *       *       *
SEC. 30. PROHIBITION OF SLAUGHTER OF DOGS AND CATS FOR HUMAN 
                    CONSUMPTION.

  (a) Prohibition.--No person may--
          (1) knowingly slaughter a dog or cat for human 
        consumption; or
          (2) knowingly ship, transport, move, deliver, 
        receive, possess, purchase, sell, or donate--
                  (A) a dog or cat to be slaughtered for human 
                consumption; or
                  (B) dog or cat parts for human consumption.
  (b) Penalty.--Any person who violates this section shall be 
subject to imprisonment for not more than 1 year, or a fine of 
not more than $2,500, or both.
  (c) Scope.--Subsection (a) shall apply only with respect to 
conduct in or affecting interstate or foreign commerce or 
within the special maritime and territorial jurisdiction of the 
United States.
  (d) Conflict With State Law.--This section shall not be 
construed to limit any State or local law or regulations 
protecting the welfare of animals or to prevent a State or 
local governing body from adopting and enforcing animal welfare 
laws and regulations that are more stringent than this section.



                            DISSENTING VIEWS

    The Agriculture and Nutrition Act, H.R. 2, threatens 
millions of rural and urban Americans, particularly those who 
rely on our farm and food programs most. The Majority's 
ideology driven reforms to nutrition assistance programs under 
the guise of a commitment to human dignity will ultimately 
leave nearly two million current beneficiaries without money to 
buy groceries. The exclusion of improvements to farm programs 
leaves agricultural producers vulnerable to market access and 
price volatility without an effective farm safety net. Most 
alarming however, is the manner in which H.R. 2 was written and 
negotiated. This farm bill has destabilized the historic common 
ground on which the Committee withstood over a century of sea 
change in favor of leadership driven politics and perception 
based policies.
    The Majority would have the public believe that this bill 
was a bipartisan effort. It was not. Regrettably, Minority 
priorities were included only when convenient, and cast aside 
when not. House Agriculture Committee Democrats cannot support 
legislation that needlessly compromises Americans' ability to 
feed themselves and farm. Nor can we support a process that 
undermines our power to protect their ability to eat, farm, 
ranch and support their families. Committee Democrats were 
pushed away from the bargaining table by the inclusion of 
ideology that we repeatedly warned the Majority we could not 
support. Therefore, Committee Democrats unanimously and 
vehemently opposed H.R. 2 at the markup. Partisan Reforms to 
the Supplemental Nutrition Assistance Program
    As Chairman Conaway is fond of pointing out, our Committee 
held 23 hearings on SNAP. We supported the Chairman's in-depth 
review of the program; even asking for an additional hearing to 
better understand the unique characteristics of the able bodied 
adults without dependents (ABAWDS), which never occurred. Over 
the course of those hearings, we learned that SNAP isn't a 
perfect program and heard ideas to improve it. None of those 
ideas included the creation of new mandatory state government 
bureaucracies for employment and training programs. None of the 
89 witnesses we heard from testified that we should eliminate 
categorical eligibility for SNAP benefits to pay for it.
    We agree with the Chairman that work is important. We 
support policies to empower those in poverty to lift themselves 
up by providing them opportunity and training to find and keep 
jobs. In the 2014 farm bill, we created 10 pilot programs for 
conducting work employment and training in conjunction with 
SNAP. Ensuring wise use of taxpayers' dollars requires us to 
give those pilot programs time to be evaluated before we embark 
on the nationwide experiment the Chairman demands in his bill.
    SNAP provides a way for our lowest income people in this 
country to afford food. It isn't a workforce training program, 
and USDA isn't an employment agency. Nevertheless, the 
Chairman's bill would require SNAP recipients to either work 20 
hours a week, or train 20 hours a week within an entirely new, 
state-run bureaucracy in order to obtain the average monthly 
benefit of $135 dollars. In his reckoning, some recipients will 
simply get fed-up with those demands and ``self-select'' out of 
the program. When the CBO did the math, they estimated roughly 
1.5 million people will lose benefits as a result of this 
policy of ``attrition through administration.''
    The Chairman's bill doesn't just cut people from SNAP 
through his misguided ``work'' regime; it kicks people off SNAP 
by eliminating states' flexibility to link social service 
programs and creating administrative burdens to utilization of 
the program and getting employment. It takes school breakfast 
and lunch from kids. It severs the link between SNAP and low-
income heating assistance.
    The Chairman's bill also spends twice as much money as it 
saves by forcing states to go after child support. Of course 
parents should pay child support, but throwing all this money 
at the issue--over $7 billion dollars--to recoup less than half 
that amount is a waste of taxpayer's dollars.
    After the worst recession since the Great Depression, our 
safety net provided support for those who needed it, expanding 
to meet a desperate need. The provisions in this bill would 
make such a response much more difficult should the need arise 
again.
Inadequate support for Agriculture in a time of need
    The Agriculture and Nutrition Act fails American farmers 
and ranchers already suffering from low prices, high input 
costs, and market uncertainty and distortion. While average 
farm income is at its lowest ebb since the Great Depression, 
this bill reauthorizes support at present levels. It does 
nothing to address the lack of an adequate safety net, which 
we've heard the need for over the last three years. In addition 
to the troubled farm economy, the budding trade war with China, 
NAFTA renegotiation, withdrawal from TPP, and the Trump 
Administration's repeated attacks on the Renewable Fuels 
Standard demonstrate the imperative of strengthening farm 
programs.
    This farm bill does not improve conditions in the current 
agriculture economy. Instead of raising reference prices to 
address the 52 percent decline in farm income, the Committee 
Majority did the opposite. This bill authorizes new assistance 
only when commodity prices increase and adjusted support only 
for selected crops.
    As the effects of the Administration's trade policy 
continue to wreak havoc with commodity markets, we believe the 
focus should be on boosting support levels for farm bill 
programs, rather than an inadequate, scattershot, one-time 
bailout.
    The potential devastation H.R. 2 imposes on American 
farmers and ranchers is not solely economic. This partisan bill 
and process have splintered the national farm bill coalition 
and opened the door to farm program opponents driven by 
ideology. Politically emboldened by a weakened agricultural 
community, proponents of the more radical cuts and reforms will 
now have a realistic chance of succeeding.
Imprudent changes to pesticide registration process
    This bill makes a problematic pesticide registration 
process worse, assures continued divisiveness and litigation 
between the pesticide manufacturing and nongovernmental 
organizations, and potentially increases the permissible 
takings of endangered species, fish and wildlife. Specifically, 
H.R. 2 removes the statutory requirement that the Environmental 
Protection Agency (EPA) consult with expert wildlife services 
in pesticide registration determinations, and perniciously 
curtails legal remedies by excluding plaintiffs from 
challenging EPA's failure to consult and limiting remedies in 
existing cases.
    The Endangered Species Act was implemented specifically to 
protect and recover imperiled species and their ecosystems. 
Section 7 of the Endangered Species Act, which requires action 
agencies to consult with the expert wildlife services, reflects 
Congress' recognition that action agencies like EPA are self-
interested in minimizing the effects of their desired 
activities on endangered species. By granting the EPA sole 
discretion regarding the effect a pesticide will have on 
endangered and threatened species, the heart of Section 7 is 
eviscerated. Further, the Administration has just embarked on 
an interagency process, with support from the pesticide 
manufacturers, growers, and the environmental community, to 
identify and implement improvements in the administrative 
process for consultation on pesticides. This promises to 
substantially reduce delays and effort to complete 
consultations while fully protecting listed species. This 
provision ignores that process.
    American agriculture can grow crops and protect endangered 
species; this provision forces a binary choice between 
producing crops and protecting creation.

A broken process

    There was a time when the Agriculture Committee created 
farm bills by building consensus among Committee members before 
introduction of legislative text. The development of this 
legislation bears no resemblance to that process. It is each 
chairman's prerogative to conduct this process however he or 
she sees fit. This Chairman chose to develop this legislation 
himself and dictate each step in its path to introduction. The 
ultimate result of this bill should provide an example to 
future chairmen or women on the type of process to avoid.
    Historically, a broad coalition supports the farm bill 
every five years. This coalition encompasses the breadth of 
America, from urban centers to the rural countryside. This 
Chairman's decision to advocate an extreme partisan agenda in 
title four of the bill has undercut the farm bill's historical 
coalition, and endangered the future legislative efforts of 
this Committee.

Conclusion

    We serve on the House Agriculture Committee because we care 
about American farmers and ranchers and the rural communities 
they support and sustain. We serve on this Committee because we 
are committed to providing a robust safety net for the most 
vulnerable citizens in this country. We know that our 
colleagues share these values and we are proud that our 
Committee has historically provided the model of bipartisanship 
for so many other committees in this House. So, when we 
received the Chairman's bill, with its partisan attack on SNAP 
participants and its neglect of farmers and ranchers facing a 
difficult political and economic reality, we were severely 
disappointed. Therefore, the House Committee on Agriculture 
Minority vehemently and unanimously opposed the Agriculture and 
Nutrition Act at markup. For all of the reasons discussed in 
these Dissenting Views, our Committee should not have voted to 
report this legislation to the House. If it ever reaches the 
House Floor, all Members should reject it.
            Sincerely,
                                   Collin C. Peterson.
                                   David Scott.
                                   Jim Costa.
                                   Timothy J. Walz.
                                   Marcia L. Fudge.
                                   James P. McGovern.
                                   Filemon Vela.
                                   Michelle Lujan Grisham.
                                   Ann McLane Kuster.
                                   Rick Nolan.
                                   Cheri Bustos.
                                   Sean Patrick Maloney.
                                   Stacey Plaskett.
                                   Alma Adams.
                                   Dwight Evans.
                                   Al Lawson.
                                   Tom O'Halleran.
                                   Jimmy Panetta.
                                   Darren Soto.
                                   Lisa Blunt Rochester.

                      DISSENTING VIEWS OF MR. WALZ

    As representative of the ninth largest agricultural-
producing district in the nation, I came to Congress, in part, 
to help write Farm Bills. I came to work together with my 
colleagues on both sides of the aisle. However, H.R. 2 is an 
ideological bill that lacked bipartisan support, failed to go 
through the regular committee process, and abandoned our 
farmers, consumers, veterans, and children in this process.
    Instead of supporting farmers' conservation efforts by 
enhancing programs like the Conservation Stewardship Program 
(CSP) and the Environmental Quality Incentives Program (EQIP) 
as my SOIL Stewardship Act would do, H.R. 2 would cut working 
lands programs and eliminate CSP. Instead of doing all they can 
to help facilitate the transfer of skills, knowledge and land 
between current and future generations of producers as my 
Beginning Farmer and Rancher Opportunity Act would do, 
Republicans failed to scale up and permanently reauthorize the 
Beginning Farmer and Rancher Development Program. Perhaps most 
indefensibly, instead of strengthening and making commonsense 
improvements to the Supplemental Nutrition Assistance Program 
(SNAP)--the most effective anti-hunger program in U.S. history 
and a source of economic vitality in southern Minnesota--
Republicans voted to risk creating barriers to access for 
veterans and children who rely on the program, which helps keep 
16,000 veterans from going to bed hungry in Minnesota alone.
Conservation
    The Agriculture and Nutrition Act, H.R. 2, threatens the 
ability of our farmers and ranchers to be leading stewards of 
the land. The bill proposes to cut nearly $1 billion in 
Conservation Title funding over the next ten years and 
completely eliminates the Conservation Stewardship Program 
(CSP). Conservation programs are continually oversubscribed, 
and thus the Majority's proposal to overhaul the Conservation 
Title would significantly hamstring farmers' abilities to meet 
stewardship goals and, in turn, would limit the viability and 
profitability of their operations.
    Within the Conservation Title of H.R. 2, of most 
significant concern is the elimination of CSP, which is not 
only the largest conservation program in the country, but it is 
also the only program that takes a comprehensive approach to 
conservation. While the Chairman claims that the bill proposes 
to retain the best parts of CSP within an expanded 
Environmental Quality Incentives Program (EQIP), this is simply 
untrue. Not only does H.R. 2 eliminate all the core components 
of CSP (a comprehensive approach to conservation that considers 
the entire operation, an emphasis on environmental stewardship 
to be eligible, and incentives for advanced conservation 
activities), but, in claiming to fold CSP into EQIP, the 
Majority proposal actually cuts working lands funding for EQIP 
and CSP combined by nearly $5 billion over 10 years. 
Furthermore, by moving other CSP funding to smaller programs 
without baseline, the Chairman's proposal eliminates nearly 
$1.5 billion in conservation baseline spending that would be 
available in the future.
    We've heard from farmers and ranchers that they utilize and 
depend upon the two largest working lands conservation 
programs--CSP and EQIP. While CSP and EQIP are both hugely 
important for the support they provide, they are separate 
programs for a reason; they each have unique roles to play in 
enhancing the sustainability of American agriculture. CSP helps 
producers implement advanced conservation, while EQIP is more 
of an ``on ramp'' to working lands conservation. For this 
reason, they absolutely must be kept separate, and we need to 
retain the key components of each program. While I agree that 
there are reforms we can make to ensure both programs are 
accessible, flexible, and coordinated, the solution to keeping 
these tools available is absolutely not to eliminate an entire 
program, as the Majority has proposed.
    The cuts to the Conservation Title and the complete 
elimination of CSP within H.R. 2 are a reckless abandonment of 
the conservation tools and support that our farmers and 
ranchers across the country depend upon.
Beginning farmers and ranchers
    To keep our agricultural economy strong, the next farm bill 
must facilitate the transfer of skills, knowledge, and land 
between current and future generations of farmers and ranchers. 
Sadly, however, the Chairman's bill falls far short of making 
the investments truly needed to ensure the success of the next 
generation of American farmers. Rather than address the 
fundamental barriers that new farmers face, this bill simply 
maintains the status quo across most titles. This is 
unacceptable and a disservice to the next generation who will 
be responsible for feeding our country and stewarding our 
natural resources for years to come.
    The Chairman's proposal fails to take advantage of this 
rare opportunity to knock down the longstanding barriers to 
entry for future generations and fails to include any of the 
innovative ideas put forward by my Beginning Farmer and Rancher 
Opportunity Act, or the BFROA (H.R. 4316). As it stands, H.R. 
2's solution to the crisis facing the next generation of 
farmers is to simply maintain the status quo and hope for the 
best.
    Specific ways that this bill falls far short of achieving 
the reforms and investments that are truly needed to ensure the 
success of the next generation and ensure our future food 
security in this country include:
           H.R. 2 fails to address longstanding issues 
        with the implementation of the advance payment option 
        within EQIP.
           The bill raises loan limits on guaranteed 
        loans to $1.75 million to allow fewer loans to larger 
        farms, reducing the total number of borrowers that can 
        be served and leaving small and mid-sized farms with 
        less access to credit. At the same time, the draft bill 
        makes no changes to Direct Farm Ownership Loans which 
        remain at $300,000, despite the inability of many small 
        and beginning farmers to utilize these loans due to the 
        rising costs of farmland.
           It fails to scale up and permanently 
        reauthorize the Beginning Farmer and Rancher 
        Development Program to ensure long-term support to 
        train new farmers in every state across the country.
           Rather than make important changes to the 
        Risk Management Education Partnership Program that 
        would ensure that beginning and socially disadvantaged 
        farmers better understand and utilize risk management 
        tools, the draft bill completely eliminates this 
        successful and popular program.
           Finally, H.R. 2 also fails to include the 
        innovative proposal within BFROA that would make it 
        easier for new farmers in their first 5 years of 
        farming to access revenue-based crop insurance policies 
        by allowing these farmers to obtain short-term coverage 
        through the Farm Service Agency's Non-Insured Crop 
        Disaster Assistance Program.
    Make no mistake, we are facing a farmer shortage in America 
today, and, if we do not take the opportunity we have been 
given in this Farm Bill, we will face a crisis of epic 
proportions in the future.
Impact on veterans
    In addition to the concerns raised in the minority 
dissenting views, I wanted to highlight the potentially 
negative impact of the Chairman's bill on our veterans. The 
Supplemental Nutrition Assistance Program (SNAP) is the most 
effective anti-hunger program in US history, and that includes 
helping keep many of our veterans from going hungry when they 
return home from war. According to the U.S. Census Bureau, 
Minnesota is home to an estimated 320,000 veterans. Of those 
320,000, an estimated 16,000 receive SNAP benefits.
    As a 24-year veteran of the Army national guard, I learned 
never to leave a fellow soldier behind. That's why I find the 
idea of a fellow veteran going hungry so offensive. Because one 
veteran being denied the basic human necessity of a meal is one 
too many, it is indefensible that the Chairman's bill risks 
creating barriers to access for veterans who rely on SNAP 
instead of strengthening and making commonsense improvements to 
the program.
            Sincerely,

                                                   Timothy J. Walz.

                                    
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