S 1571 IS
107th CONGRESS
1st Session
S. 1571
To provide for the continuation of agricultural programs through
fiscal year 2006.
IN THE SENATE OF THE UNITED STATES
October 18, 2001
Mr. LUGAR introduced the following bill; which was read twice and referred to
the Committee on Agriculture, Nutrition, and Forestry
A BILL
To provide for the continuation of agricultural programs through
fiscal year 2006.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE- This Act may be cited as the `Farm and Ranch Equity Act
of 2001'.
(b) TABLE OF CONTENTS- The table of contents of this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I--COMMODITY PROGRAMS
Subtitle A--Farm Financial Protection
Sec. 112. Risk management contract.
Sec. 113. Whole farm revenue insurance.
Sec. 114. Risk management stabilization accounts.
Sec. 115. Risk management options available in marketplace.
Sec. 116. Conforming amendments.
Subtitle B--Phase Out of Commodity Programs
Sec. 121. Prohibition on agricultural price support and production
adjustment.
Sec. 122. Agricultural Market Transition Act.
Sec. 123. Agricultural Adjustment Act of 1938.
Sec. 124. Commodity Credit Corporation Charter Act.
Sec. 125. Agricultural Act of 1949.
Sec. 126. Agricultural Adjustment Act.
Sec. 127. Agricultural Act of 1970.
Sec. 128. General commodity provisions.
Sec. 129. Specific commodity provisions.
Sec. 130. Effect of amendments.
TITLE II--CONSERVATION
Subtitle A--Working Land Conservation Programs
Sec. 201. Environmental quality incentives program.
Sec. 202. Conservation reserve program.
Sec. 203. Wetlands reserve program.
Sec. 204. Farmland and grassland protection program.
Sec. 205. Wildlife Habitat Incentive Program.
Subtitle B--Miscellaneous Reforms and Extensions
Sec. 211. Privacy of personal information relating to natural resources
conservation programs.
Sec. 212. Reform and consolidation of conservation programs.
Sec. 213. Certification of private providers of technical
assistance.
Sec. 214. National environmental benefits index.
Sec. 215. Extension of conservation authorities.
Sec. 216. Technical amendments.
Sec. 217. Effect of amendments.
TITLE III--TRADE
Subtitle A--Agricultural Trade Development and Assistance Act of 1954 and
Related Statutes
Sec. 301. Levels of assistance.
Sec. 302. Food Aid Consultative Group.
Sec. 303. Assistance for stockpiling and rapid transportation, delivery,
and distribution of shelf-stable prepackaged foods.
Sec. 304. Prepositioning.
Sec. 305. Expiration date.
Sec. 306. Micronutrient fortification pilot program.
Sec. 307. Farmer-to-farmer program.
Sec. 308. Bill Emerson Humanitarian Trust.
Subtitle B--Agricultural Trade Act of 1978
Sec. 321. Export credit guarantee program.
Sec. 322. Market access program.
Sec. 323. Export enhancement program.
Sec. 324. Foreign market development cooperator program.
Sec. 325. Food for progress.
Sec. 326. Exporter assistance initiative.
Subtitle C--Miscellaneous Agricultural Trade Provisions
Sec. 331. Emerging markets.
Sec. 332. Sense of the Senate concerning unilateral sanctions.
Sec. 333. Biotechnology and agricultural trade program.
Sec. 334. Dairy export incentive program.
TITLE IV--NUTRITION PROGRAMS
Subtitle A--Food Stamp Program
Sec. 411. Categorical eligibility for recipients of cash
assistance.
Sec. 412. Disregarding of infrequent and unanticipated income.
Sec. 413. Simplified treatment of individuals complying with child
support orders.
Sec. 414. Coordinated and simplified definition of income.
Sec. 415. Exclusion of interest and dividend income.
Sec. 416. Alignment of standard deduction with poverty line.
Sec. 417. Simplified dependent care deduction.
Sec. 418. Alternative procedures to assist elderly and disabled
persons.
Sec. 419. Simplified determination of housing costs.
Sec. 420. Simplified determination of utility costs.
Sec. 421. Simplified determination of earned income.
Sec. 422. Simplified determination of deductions.
Sec. 423. Simplified resource eligibility limit.
Sec. 424. Exclusion of licensed vehicles from financial resources.
Sec. 425. Exclusion of retirement accounts from financial
resources.
Sec. 426. Coordinated and simplified definition of resources.
Sec. 427. Alternative issuance systems in disasters.
Sec. 428. Simplified reporting systems.
Sec. 429. Simplified time limit.
Sec. 430. Preservation of access to electronic benefits.
Sec. 431. Cost-neutrality for electronic benefit transfer systems.
Sec. 432. Simplified procedures for residents of certain group
facilities.
Sec. 433. Simplified determinations of continuing eligibility.
Sec. 434. Simplified application procedures for the elderly and
disabled.
Sec. 435. Transitional food stamps for families moving from
welfare.
Sec. 436. Quality control.
Sec. 437. Improvement of calculation of State performance
measures.
Sec. 438. Bonuses for States that demonstrate high performance.
Sec. 439. Simplified funding rules for employment and training
programs.
Sec. 440. Reauthorization of food stamp program.
Sec. 441. Expanded grant authority.
Sec. 442. Exemption of waivers from cost-neutrality requirement.
Sec. 443. Program simplification demonstration projects.
Sec. 444. Consolidated block grants.
Sec. 445. Expanded availability of commodities.
Subtitle B--Miscellaneous Provisions
Sec. 451. Reauthorization of commodity programs.
Sec. 452. Work requirement for legal immigrants.
Sec. 453. Qualified aliens.
Sec. 454. Congressional Hunger Fellows Program.
Sec. 455. Effective date.
TITLE V--CREDIT
Subtitle A--Farm Ownership Loans
Sec. 502. Financing of bridge loans.
Sec. 503. Limitations on amount of farm ownership loans.
Sec. 504. Joint financing arrangements.
Sec. 505. Guarantee percentage for beginning farmers and ranchers.
Sec. 506. Guarantee of loans made under State beginning farmer or
rancher programs.
Sec. 507. Down payment loan program.
Sec. 508. Beginning farmer and rancher contract land sales
program.
Subtitle B--Operating Loans
Sec. 512. Loans for tribal farm operations.
Sec. 513. Refinancing of other debt.
Subtitle C--Administrative Provisions
Sec. 521. Eligibility of limited liability companies for farm ownership
loans, farm operating loans, and emergency loans.
Sec. 522. Debt settlement.
Sec. 523. Temporary authority to enter into contracts; private
collection agencies.
Sec. 524. Interest rate options for loans in servicing.
Sec. 525. Annual review of borrowers.
Sec. 526. Simplified loan applications.
Sec. 527. Inventory property.
Sec. 529. Loan authorization levels.
Sec. 530. Interest rate reduction program.
Sec. 531. Options for satisfaction of obligation to pay recapture amount
for shared appreciation agreements.
Sec. 532. Waiver of borrower training certification requirement.
Sec. 533. Annual review of borrowers.
Subtitle D--Farm Credit
Sec. 541. Board of Directors of the Federal Agricultural Mortgage
Corporation.
Subtitle E--General Provisions
Sec. 551. Inapplicability of finality rule.
Sec. 552. Technical amendments.
Sec. 553. Effect of amendments.
Sec. 554. Effective date.
TITLE VI--RURAL DEVELOPMENT
Subtitle A--Rural America Empowerment and Development
Sec. 601. Full funding of pending rural development loan and grant
applications.
Sec. 602. Broadband access for rural America.
Sec. 603. Value-added agricultural product market development
grants.
Sec. 604. National Rural Development Information Clearinghouse.
Sec. 605. White House Conference on Rural America.
Sec. 606. Bioenergy and biochemical projects.
Subtitle B--National Rural Development Partnership
Sec. 612. National Rural Development Partnership.
Subtitle C--Consolidated Farm and Rural Development Act
Sec. 621. Water or waste disposal grants.
Sec. 622. Rural business opportunity grants.
Sec. 623. Rural water and wastewater circuit rider program.
Sec. 624. Rural development assistance organizations.
Sec. 625. Emergency community water assistance grant program.
Sec. 626. Water and waste facility grants for Native American
tribes.
Sec. 627. Water systems for rural and native villages in Alaska.
Sec. 628. Rural cooperative development grants.
Sec. 629. Value-added intermediary relending program.
Sec. 630. Use of rural development loans and grants for other
purposes.
Sec. 631. Simplified application forms for loan guarantees.
Sec. 632. Grants for emergency weather radio transmitters.
Sec. 633. Programs for rural seniors.
Sec. 634. Rural community advancement program.
Sec. 635. Delta Regional Authority.
Sec. 636. SEARCH grants for small communities.
Subtitle D--Food, Agriculture, Conservation, and Trade Act of 1990
Sec. 641. Alternative Agricultural Research and Commercialization
Corporation.
Sec. 642. Telemedicine and distance learning services in rural
areas.
Subtitle E--Miscellaneous Rural Development Provisions
Sec. 651. Guarantees for bonds and notes issued for electrification or
telephone purposes.
Sec. 652. Expansion of 911 access.
Subtitle F--Miscellaneous
Sec. 661. Senate confirmation requirement for Rural Utilities Service
Administrator.
Subtitle G--Effective Date
Sec. 671. Effective date.
TITLE VII--AGRICULTURAL RESEARCH, EDUCATION, AND EXTENSION AND RELATED
MATTERS
Subtitle A--National Agricultural Research, Extension, and Teaching Policy
Act of 1977
Sec. 702. National Agricultural Research, Extension, Education, and
Economics Advisory Board.
Sec. 703. Grants and fellowships for food and agricultural sciences
education.
Sec. 704. Policy research centers.
Sec. 705. Nutrition education program.
Sec. 706. Animal health and disease research programs.
Sec. 707. Education grants programs for Hispanic-serving
institutions.
Sec. 708. Competitive grants for international agricultural science and
education programs.
Sec. 709. Indirect costs.
Sec. 710. Research equipment grants.
Sec. 711. Agricultural research programs.
Sec. 712. Extension education.
Sec. 713. Special authorization for biosecurity planning and
response.
Sec. 714. Availability of competitive grant funds.
Sec. 715. Joint requests for proposals.
Sec. 716. Supplemental and alternative crops.
Sec. 718. Rangeland research.
Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990
Sec. 731. National genetic resources program.
Sec. 732. High-priority research and extension initiatives.
Sec. 733. Nutrient management research and extension initiative.
Sec. 734. Organic agriculture research and extension initiative.
Sec. 735. Agricultural telecommunications program.
Sec. 736. Assistive technology program for farmers with
disabilities.
Subtitle C--Agricultural Research, Extension, and Education Reform Act of
1998
Sec. 741. Initiative for Future Agriculture and Food Systems.
Sec. 742. Partnerships for high-value agricultural product quality
research.
Sec. 743. Precision agriculture.
Sec. 744. Biobased products.
Sec. 745. Thomas Jefferson Initiative for Crop Diversification.
Sec. 746. Integrated research, education, and extension competitive
grants program.
Sec. 747. Support for research regarding diseases of wheat and barley
caused by fusarium graminearum.
Sec. 748. Office of Pest Management Policy.
Subtitle D--Land-Grant Funding
Chapter 1--1862 Institutions
Sec. 752. Reporting of technology transfer activities.
Sec. 753. Compliance with multistate and integration requirements.
Chapter 2--1994 Institutions
Sec. 754. Extension at 1994 Institutions.
Sec. 755. Equity in Educational Land-Grant Status Act of 1994.
Sec. 756. Eligibility for integrated grants program.
Chapter 3--1890 Institutions
Sec. 757. Authorization percentages for research and extension formula
funds.
Sec. 759. Reporting of technology transfer activities.
Sec. 760. Grants to upgrade agricultural and food sciences facilities at
1890 land-grant colleges, including Tuskegee University.
Sec. 761. National research and training centennial centers.
Sec. 762. Matching funds requirement for research and extension
activities.
Chapter 4--Land-Grant Institutions in Insular Areas
Sec. 771. Distance education grants program for insular area land-grant
institutions.
Sec. 772. Matching requirements for research and extension formula funds
for insular area land-grant institutions.
Sec. 773. Education grants for Pacific Islander serving
institutions.
Chapter 5--Land-grant Institutions
Sec. 776. Priority-setting process.
Subtitle E--Other Laws
Sec. 781. Critical agricultural materials.
Sec. 782. Research facilities.
Sec. 783. Federal agricultural research facilities.
Sec. 784. Competitive, special, and facilities research grants.
Sec. 785. Risk management education for beginning farmers and
ranchers.
Sec. 787. Biomass research and development.
Subtitle F--New Authorities
Sec. 792. Regulatory and inspection research.
Sec. 793. Emergency research transfer authority.
Sec. 794. Review of Agricultural Research Service.
Sec. 795. Technology transfer for rural development.
Sec. 796. Beginning farmer and rancher development program.
Sec. 797. Sense of Congress regarding doubling of funding for
agricultural research and increasing capacity for research on biosecurity
and animal and plant health diseases.
Sec. 798. Rural policy research.
Sec. 798A. Priority for farmers and ranchers participating in
conservation programs.
Subtitle G--Administration
Sec. 799. Effect of amendments.
TITLE VIII--FORESTRY
Sec. 801. Office of International Forestry.
Sec. 802. Renewable resources extension activities.
Sec. 803. Forestry incentives program.
Sec. 804. Sustainable forestry assistance program.
TITLE IX--ENERGY
Sec. 901. Carbon sequestration demonstration program.
TITLE X--MISCELLANEOUS
Subtitle A--Agriculture Infrastructure Security
Sec. 1001. Agriculture Infrastructure Security Fund.
Sec. 1002. Agriculture Infrastructure Security Commission.
Subtitle B--Outreach and Assistance for Socially Disadvantaged Farmers and
Ranchers
Sec. 1011. Outreach and assistance for socially disadvantaged farmers
and ranchers.
TITLE I--COMMODITY PROGRAMS
SEC. 101. SHORT TITLE.
This title may be cited as the `Farm Financial Protection Act'.
SEC. 102. PURPOSES.
The purposes of this title are--
(1) to encourage producers to select strategies for managing risk in the
farming or ranching operation of the producer by providing financial
assistance that can be applied to the risk management strategy that the
producer believes best addresses the unique financial, business, and
agricultural conditions of the farm or ranch of the producer; and
(2) to provide new programs that--
(A) allow producers to address the risk management strategies that
best suit the farming or ranching operation of the producer; and
(B) do not distort commercial markets and are consistent with
international obligations of the United States.
Subtitle A--Farm Financial Protection
SEC. 111. DEFINITIONS.
(1) ADJUSTED GROSS REVENUE- The term `adjusted gross revenue' means the
adjusted gross income for all agricultural enterprises of a producer in an
applicable year, excluding revenue earned from nonagricultural sources, as
determined by the Secretary--
(A) by taking into account gross receipts from the sale of crops and
livestock on all agricultural enterprises of the producer, including
insurance indemnities resulting from losses in the agricultural
enterprises;
(B) by including all farm payments paid by the Secretary for all
agricultural enterprises of the producer, including--
(i) a voucher received under section 112; and
(ii) any marketing loan gains described in section 1001(3)(A) of the
Food Security Act of 1985 (7 U.S.C. 1308(3)(A));
(C) by deducting the cost or basis of livestock or other items
purchased for resale, such as feeder livestock, on all agricultural
enterprises of the producer; and
(i) a schedule F of the Federal income tax returns of the producer;
or
(ii) a comparable tax form related to the agricultural enterprises
of the producer, as approved by the Secretary.
(2) AGRICULTURAL COMMODITY- The term `agricultural commodity' means any
agricultural commodity, food, feed, fiber, or livestock.
(3) AGRICULTURAL ENTERPRISE- The term `agricultural enterprise' means
the production and marketing of all agricultural commodities (including
livestock but excluding tobacco) on a farm or ranch.
(4) APPLICABLE YEAR- The term `applicable year' means the year during
which the producer elects to receive a voucher under a risk management
contract.
(5) AVERAGE ADJUSTED GROSS REVENUE- The term `average adjusted gross
revenue' means--
(A) the average of the adjusted gross revenue of a producer for each
of the preceding 5 taxable years; or
(B) in the case of a beginning farmer or rancher or other producer
that does not have adjusted gross revenue for each of the preceding 5
taxable years, the estimated income of the producer that will be earned
from all agricultural enterprises for the applicable year, as determined
by the Secretary.
(6) PRODUCER- The term `producer' means an individual or entity, as
determined by the Secretary for an applicable year, that--
(A) shares in the risk of producing, or provides a material
contribution in producing, an agricultural commodity for the applicable
year;
(B) has a substantial beneficial interest in the agricultural
enterprise in which the agricultural commodity is produced;
(C)(i) during each of the preceding 5 taxable years, has
filed--
(I) a schedule F of the Federal income tax returns; or
(II) a comparable tax form related to the agricultural enterprises
of the individual or entity, as approved by the Secretary;
or
(ii) is a beginning farmer or rancher or other producer that does not
have adjusted gross revenue for each of the preceding 5 taxable years, as
determined by the Secretary; and
(D)(i) has earned at least $20,000 in average adjusted gross revenue
for each of the preceding 5 taxable years;
(ii) is a limited resource farmer or rancher, as determined by the
Secretary; or
(iii) in the case of a beginning farmer or rancher or other producer
that does not have adjusted gross revenue for each of the preceding 5
taxable years, has at least $20,000 in estimated income from all
agricultural enterprises for the applicable year, as determined by the
Secretary.
(7) RISK MANAGEMENT CONTRACT- The term `risk management contract' means
a contract entered into under section 112 annually for each applicable
year.
(8) SECRETARY- The term `Secretary' means the Secretary of
Agriculture.
SEC. 112. RISK MANAGEMENT CONTRACT.
(a) OFFER- The Secretary shall offer to enter into a risk management
contract annually for each of the 2003 through 2006 crops with each producer
that is engaged in the production of an agricultural commodity for an
applicable year.
(1) IN GENERAL- Under a risk management contract, the Secretary shall
pay to a producer a voucher that is equivalent in value to the average
adjusted gross revenue of the producer.
(2) PAYMENT RATE- The payment rate for a voucher each year shall be
equal to the total of--
(A) 6 percent for the amount of the average adjusted gross revenue of
a producer that is less than $250,000;
(B) 4 percent for the amount of the average adjusted gross revenue of
a producer that is $250,000 or more but less than $500,000;
(C) 1 percent for the amount of the average adjusted gross revenue of
a producer that is $500,000 or more but less than $1,000,000; and
(D) 0 percent for the amount of the average adjusted gross revenue of
a producer that is $1,000,000 or more.
(1) IN GENERAL- An individual or entity may not receive directly or
indirectly a voucher that is equal in value to more than $30,000 in a
year.
(2) INELIGIBLE ENTITIES- An entity shall be ineligible to receive a
voucher under this section if the entity is--
(A) an agency of the Federal Government, a State, or a political
subdivision of a State;
(B) an entity that has shares traded on a public stock exchange;
or
(C) another entity, as determined by the Secretary.
(3) VERIFICATION- The Secretary shall determine which individuals or
entities are eligible for a voucher under this section by using social
security numbers or taxpayer identification numbers, respectively.
(1) IN GENERAL- In exchange for a voucher under a risk management
contract, a producer shall--
(A) purchase whole farm revenue insurance coverage under section 525
of the Federal Crop Insurance Act (as added by section 113(a)) that
provides a revenue guarantee of at least 80 percent of the average
adjusted gross revenue of the producer at a payment rate of 100
percent;
(B) contribute an amount that is at least equal to the amount of the
voucher to an Account established under section 114; or
(C) redeem the voucher for a cash payment and use the payment to carry
out 1 or more risk management strategies for the farm under section 115
that are sufficient to guarantee a net income from all agricultural
enterprises of the producer for the applicable year that is at least 80
percent of the average adjusted gross revenue of the producer.
(2) CONSERVATION COMPLIANCE- In addition to implementing 1 of the risk
management strategies under paragraph (1), a producer shall agree, in
exchange for a voucher, to--
(A) comply with applicable highly erodible land conservation
requirements under subtitle B of title XII of the Food Security Act of
1985 (16 U.S.C. 3811 et seq.); and
(B) comply with applicable wetland conservation requirements under
subtitle C of title XII of that Act (16 U.S.C. 3821 et seq.).
(3) EXCESS VOUCHER AMOUNTS-
(A) WHOLE FARM REVENUE INSURANCE COVERAGE- If a producer elects to use
a voucher to purchase whole farm revenue insurance coverage under section
525 of the Federal Crop Insurance Act (as added by section 113(a)) and the
amount of the voucher exceeds the premium for the coverage, the producer
may only deposit the amount of the voucher that exceeds the premium into
an Account in accordance with section 114.
(B) RISK MANAGEMENT OPTIONS- If a producer elects to use a voucher to
carry out 1 or more risk management strategies under section 115 and the
amount of the voucher exceeds the amount necessary to carry out the
strategies, the producer may only deposit the amount of the voucher that
exceeds the amount necessary
to carry out the strategies into an Account in accordance with section 114.
(4) TENANTS AND SHARECROPPERS- In carrying out this subtitle, the
Secretary shall provide adequate safeguards to protect the interests of
tenants and sharecroppers.
(1) APPLICATION- A producer that elects to enter into a risk management
contract for an applicable year shall submit an application to the Secretary
prior to the beginning of the calendar year in which the voucher would be
paid.
(2) PAYMENT OF VOUCHER- The Secretary shall make available to the
producer the full amount of the voucher required to be paid for the
applicable year not earlier than October 1 of the applicable year.
(3) INTERNET- The Secretary shall facilitate the contract process
required under this section, to the maximum extent practicable, by using the
Internet.
(4) COMPLIANCE- The Secretary shall perform random audits of producers
that enter into risk management contracts to ensure that the producers
comply with the risk management contracts.
(5) VIOLATIONS- If a producer has accepted a risk management payment for
an applicable year and the producer fails to comply with subsection (d) with
respect to the applicable year, the producer--
(A) shall refund to the Secretary an amount equal to the amount of the
voucher; and
(B) may be determined to be ineligible to receive a voucher under this
subtitle for a period of not to exceed 5 years, as determined by the
Secretary.
(f) SHARING OF BENEFITS- The Secretary shall provide for the sharing of
benefits under this subtitle among all producers on a farm on a fair and
equitable basis.
(g) COMMODITY CREDIT CORPORATION- The Secretary shall use the funds,
facilities, and authorities of the Commodity Credit Corporation to carry out
this section.
SEC. 113. WHOLE FARM REVENUE INSURANCE.
(a) IN GENERAL- The Federal Crop Insurance Act (7 U.S.C. 1501 et. seq.) is
amended by adding at the end the following:
`SEC. 525. WHOLE FARM REVENUE INSURANCE.
`(a) DEFINITIONS- In this section:
`(1) ADJUSTED GROSS REVENUE- The term `adjusted gross revenue' means the
adjusted gross income for all agricultural enterprises of a producer,
excluding revenue earned from nonagricultural sources, as determined by the
Secretary--
`(A) by taking into account gross receipts from the sale of all crops
and livestock on all agricultural enterprises of the producer, including
insurance indemnities resulting from losses in the agricultural
enterprises;
`(B) by deducting the cost or basis of livestock or other items
purchased for resale, such as feeder livestock, on all agricultural
enterprises of the producer; and
`(i) a schedule F of the Federal income tax returns; or
`(ii) a comparable tax form related to the agricultural enterprises
of the producer, as approved by the Secretary.
`(2) AGRICULTURAL COMMODITY- The term `agricultural commodity' means any
agricultural commodity, livestock (as defined in section 523(b)(1)), food,
feed, or fiber.
`(3) AGRICULTURAL ENTERPRISE- The term `agricultural enterprise' means
the production and marketing of all agricultural commodities (including
livestock) on a farm or ranch.
`(4) AVERAGE ADJUSTED GROSS REVENUE- The term `average adjusted gross
revenue' means--
`(A) the average adjusted gross revenue of a producer for the
preceding 5 taxable years; or
`(B) in the case of a beginning farmer or rancher or other producer
that does not have adjusted gross revenue for each of the preceding 5
taxable years, the estimated income of the producer that will be earned
from all agricultural enterprises for the applicable year, as determined
by the Secretary.
`(b) REVENUE INSURANCE- If a producer elects to use a voucher in
accordance with section 112(d)(1)(A) of the Farm and Ranch Equity Act of 2001,
the producer may use the voucher to obtain insurance that provides a revenue
guarantee for all agricultural enterprises of the producer.
`(c) REVENUE GUARANTEE- The amount of the revenue guarantee for a policy
of revenue insurance under this section for the agricultural enterprises of a
producer shall be equal to the product obtained by multiplying--
`(1) the coverage level; by
`(2) the average adjusted gross revenue of the producer.
`(d) COVERAGE LEVEL- The coverage level for whole farm revenue insurance
under this section shall be 80 percent of the average adjusted gross revenue
of a producer.
`(e) PURCHASE OF MULTIPERIL OR REVENUE COVERAGES- A producer that
purchases coverage under this section shall not be required to purchase other
policies of multiperil or revenue coverage under this title.
`(f) ADMINISTRATION- In providing a policy of whole farm revenue insurance
to a producer under this section, the Secretary shall--
`(1) offer the policy through a reinsurance agreement with a private
insurance company;
`(2) ensure that the policy is actuarially sound;
`(3) require the producer to pay administrative fees and premiums for
the policy in accordance with subsections (c)(10) and (d), respectively, of
section 508; and
`(4) pay a portion of the premium for the policy in an amount that does
not exceed the amount authorized under section 508(e)(2)(F).
`(g) DELIVERY REQUIRED- Notwithstanding any other provision of law, each
insurance company that is reinsured under the Standard Reinsurance Agreement
shall offer a whole farm revenue insurance policy described in this
section.
`(h) REINSURANCE YEARS- This section shall apply to each of the 2003
through 2006 reinsurance years.'.
(b) CONFORMING AMENDMENT- Section 508(e)(2)(F) of the Federal Crop
Insurance Act (7 U.S.C. 1508(e)(2)(F)) is amended by inserting `(including
whole farm revenue insurance)' after `not based on individual yield'.
SEC. 114. RISK MANAGEMENT STABILIZATION ACCOUNTS.
(a) DEFINITION OF ACCOUNT- In this section, the term `Account' means a
Risk Management Stabilization Account that is established in the name of a
participating producer in a bank or financial institution that is selected by
the producer and approved by the Secretary, consisting of--
(1) contributions of the producer; and
(2) matching contributions of the Secretary.
(b) ESTABLISHMENT- If a producer elects to use a voucher in accordance
with section 112(d)(1)(B), the producer shall establish an Account under
which--
(1) the producer shall provide monetary contributions to the
Account;
(2) the Secretary shall provide matching contributions to the Account;
and
(3) the producer may withdraw accumulated funds from the Account.
(1) PRODUCER CONTRIBUTION- A producer shall deposit an amount that is at
least equal to the amount of the voucher determined under section
112(b).
(2) MATCHING CONTRIBUTION-
(A) IN GENERAL- Subject to subparagraph (C), the Secretary shall
provide a matching contribution that is equal to the amount deposited by
the producer into the Account.
(B) VALUE- Before a voucher is deposited into an Account under
subparagraph (A), the voucher shall have no value during the applicable
year.
(C) CONTRIBUTIONS EXCEEDING VOUCHER- The amount of any producer
contributions into the Account that exceed the amount of the voucher shall
not be eligible for matching contributions.
(3) INTEREST- Funds deposited into the Account may earn interest at the
commercial rates provided by the bank or financial institution in which the
Account is established.
(d) MAXIMUM ACCOUNT BALANCE- The balance of an Account of a producer may
not exceed 150 percent of the average adjusted gross revenue of the
producer.
(e) USE- Funds credited to the Account--
(1) shall be available for withdrawal by a producer, in accordance with
subsection (f); and
(2) may be used for purposes determined by the producer.
(1) IN GENERAL- Subject to paragraphs (2) and (3), a producer may
withdraw funds from the Account if the estimated net income for an
applicable year from the agricultural enterprises of the producer is less
than the average adjusted gross revenue of the producer.
(2) AMOUNT- The amount of a withdrawal by a producer from an Account may
not exceed the difference between (as determined by the Secretary)--
(A) the average adjusted gross revenue of the producer; and
(B) the estimated net income for the agricultural enterprises of the
producer for the year for which a withdrawal occurs.
(3) RETIREMENT- A producer that ceases to be actively engaged in
farming, as determined by the Secretary--
(A) may withdraw the full balance from, and close, the Account;
and
(B) may not establish another Account.
(g) ADMINISTRATION- The Secretary shall administer this section through
the Farm Service Agency and local and county offices of the Department of
Agriculture.
(h) COMMODITY CREDIT CORPORATION- The Secretary shall use the funds,
facilities, and authorities of the Commodity Credit Corporation to carry out
this section.
SEC. 115. RISK MANAGEMENT OPTIONS AVAILABLE IN MARKETPLACE.
(a) DEFINITION OF REGULATED EXCHANGE- The term `regulated exchange' means
a board of trade (as defined in section 1a of the Commodity Exchange Act (7
U.S.C. 1a)) that is designated as a contract market under section 2(a)(1)(C)
of that Act (7 U.S.C. 2a(a)(1)(C)).
(b) FARM PRICE PROTECTION- If a producer elects to use a voucher in
accordance with section 112(d)(1)(C), the producer shall redeem the voucher
for a cash payment and use the payment to carry out 1 or more risk management
strategies for the farm described in subsection (c) during the applicable year
that are sufficient to guarantee a net income from all agricultural
enterprises of the producer for the applicable year that is at least 80
percent of the average adjusted gross revenue of the producer.
(c) RISK MANAGEMENT STRATEGIES- A producer may use a cash payment obtained
under subsection (b) to purchase--
(1) crop or revenue insurance available under the Federal Crop Insurance
Act (7 U.S.C. 1501 et seq.) (other than whole farm revenue insurance under
section 525 of that Act) or private insurance (such as hail coverage);
(2) a future or option on a regulated exchange, as determined by the
Secretary;
(3) an agricultural trade option, purchased other than on a regulated
exchange, for an agricultural commodity produced by the producer that
is--
(A) an equity option (as defined in section 1256(g) of the Internal
Revenue Code of 1986); or
(B) a hedging transaction (as defined in section 1256(e)(2) of that
Code);
(4) a cash forward or other marketing contract;
(5) a trust that is authorized by Federal law for eligible farming
businesses that may be established to accept tax deductible contributions;
or
(6) other type of farm price protection that is available in the private
sector and approved by the Secretary.
SEC. 116. CONFORMING AMENDMENTS.
Section 506(m) of the Federal Crop Insurance Act (7 U.S.C. 1506(m)) is
amended--
(1) in paragraph (1), by striking `participation in the multiple peril
crop insurance program' and inserting `a covered person to participate in
the multiple peril crop insurance program (including whole farm revenue
insurance under section 525) or entering into a risk management contract
under section 112 of the Farm Financial Protection Act';
(2) by striking `policyholder' each place it appears and inserting
`covered person'; and
(3) in paragraph (2), by striking `POLICYHOLDERS' and inserting `COVERED
PERSONS'.
Subtitle B--Phase Out of Commodity Programs
SEC. 121. PROHIBITION ON AGRICULTURAL PRICE SUPPORT AND PRODUCTION
ADJUSTMENT.
(a) IN GENERAL- Notwithstanding any other provision of law, except as
otherwise provided in this subtitle and effective beginning with the 2003 crop
or the 2003 marketing, reinsurance, fiscal, or calendar year (as applicable)
for each agricultural commodity, the Secretary of Agriculture and the
Commodity Credit Corporation may not provide loans, purchases, payments, or
other operations or take any other action to support the price, or adjust or
control the production, of an agricultural commodity by using the funds,
facilities, and authorities of the Commodity Credit Corporation or under the
authority of any law.
(b) EXCEPTIONS- Subsection (a) shall not apply to--
(1) any activities under the Agricultural Adjustment Act (7 U.S.C. 601
et seq.), reenacted with amendments by the Agricultural Marketing Act of
1937;
(2) section 32 of the Act of August 24, 1935 (7 U.S.C. 612c; 49 Stat.
774, chapter 641);
(3) part I of subtitle B of title III of the Agricultural Adjustment Act
of 1938 (7 U.S.C. 1311 et seq.); and
(4) sections 106, 106A, and 106B of the Agricultural Act of 1949 (7
U.S.C. 1445, 1445-1, 1445-2).
SEC. 122. AGRICULTURAL MARKET TRANSITION ACT.
(1) 2003 and subsequent crops- Effective beginning with the 2003 crop,
the Agricultural Market Transition Act (7 U.S.C. 7201 et seq.) is repealed,
other than the following:
(A) Subtitle A (7 U.S.C. 7201 et seq.).
(B) Sections 131, 132, and 133 (7 U.S.C. 7231, 7232, 7233).
(C) Subsections (a) through (d) of section 134 (7 U.S.C.
7234).
(D) Section 135 (7 U.S.C. 7235).
(E) Sections 141 and 142 (7 U.S.C. 7251, 7252).
(F) Chapter 2 of subtitle D (7 U.S.C. 7271 et seq.).
(G) Sections 161 through 165 (7 U.S.C. 7281 et seq.).
(H) Subtitle H (7 U.S.C. 7331 et seq.).
(2) 2003 and subsequent calendar years- Effective January 1, 2003,
sections 141 and 142 of the Agricultural Market Transition Act (7 U.S.C.
7251, 7252) are repealed.
(3) 2006 and subsequent crops- Effective beginning with the 2006 crop,
the following provisions of the Agricultural Market Transition Act (7 U.S.C.
7231 et seq.) are repealed:
(A) Subtitle C (7 U.S.C. 7231 et seq.).
(B) Chapter 2 of subtitle D (7 U.S.C. 7271 et seq.), other than
section 156(f) (7 U.S.C. 7272(f)).
(b) AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS- Section 131 of
the Agricultural Market Transition Act (7 U.S.C. 7231) is amended --
(1) in subsection (a) by striking `2002' and inserting `2005'; and
(2) by striking subsection (b) and inserting the following:
`(b) ELIGIBLE PRODUCTION- The producers on a farm shall be eligible for a
marketing assistance loan under subsection (a) for any quantity of a loan
commodity produced on the farm.'.
(c) LOAN RATES FOR MARKETING ASSISTANCE LOANS- Section 132 of the
Agricultural Market Transition Act (7 U.S.C. 7232) is amended to read as
follows:
`SEC. 132. LOAN RATES FOR MARKETING ASSISTANCE LOANS.
`(a) WHEAT- The loan rate for a marketing assistance loan under section
131 for wheat shall be 90 percent for the 2003 crop, 85 percent for the 2004
crop, and 80 percent for the 2005 crop, of the simple average price received
by producers of wheat, as determined by the Secretary, during the marketing
years for the immediately preceding 5 crops of wheat, excluding the year in
which the average price was the highest and the year in which the average
price was the lowest in the period.
`(1) CORN- The loan rate for a marketing assistance loan under section
131 for corn shall be 90 percent for the 2003 crop, 85 percent for the 2004
crop, and 80 percent for the 2005 crop, of the simple average price received
by producers of corn, as determined by the Secretary, during the marketing
years for the immediately preceding 5 crops of corn, excluding the year in
which the average price was the highest and the year in which the average
price was the lowest in the period.
`(2) OTHER FEED GRAINS- The loan rate for a marketing assistance loan
under section 131 for grain sorghum, barley, and oats, respectively, shall
be established at such level as the Secretary determines is fair and
reasonable in relation to the rate that loans are made available for corn,
taking into consideration the feeding value of the commodity in relation to
corn.
`(c) UPLAND COTTON- The loan rate for a marketing assistance loan under
section 131 for upland cotton shall be 90 percent for the 2003 crop, 85
percent for the 2004 crop, and 80 percent for the 2005 crop, of the simple
average price received by producers of upland cotton, as determined by the
Secretary, during the marketing years for the immediately preceding 5 crops of
upland cotton, excluding the year in which the average price was the highest
and the year in which the average price was the lowest in the period.
`(d) EXTRA LONG STAPLE COTTON- The loan rate for a marketing assistance
loan under section 131 for extra long staple cotton shall be 90 percent for
the 2003 crop, 85 percent for the 2004 crop, and 80 percent for the 2005 crop,
of the simple average price received by producers of extra long staple cotton,
as determined by the Secretary, during the marketing years for the immediately
preceding 5 crops of extra long staple cotton, excluding the year in which the
average price was the highest and the year in which the average price was the
lowest in the period.
`(e) RICE- The loan rate for a marketing assistance loan under section 131
for rice shall be 90 percent for the 2003 crop, 85 percent for the 2004 crop,
and 80 percent for the 2005 crop, of the simple average price received by
producers of rice, as determined by the Secretary, during the marketing years
for the immediately preceding 5 crops of rice, excluding the year in which the
average price was the highest and the year in which the average price was the
lowest in the period.
`(1) SOYBEANS- The loan rate for a marketing assistance loan under
section 131 for soybeans shall be 90 percent for the 2003 crop, 85 percent
for the 2004 crop, and 80 percent for the 2005 crop, of the simple average
price received by producers of soybeans, as determined by the Secretary,
during the marketing years for the immediately preceding 5 crops of
soybeans, excluding the year in which the average price was the highest and
the year in which the average price was the lowest in the period.
`(2) SUNFLOWER SEED, CANOLA, RAPESEED, SAFFLOWER, MUSTARD SEED, AND
FLAXSEED- The loan rate for a marketing assistance loan under section 131
for sunflower seed, canola, rapeseed, safflower, mustard seed, and flaxseed,
individually, shall be 90 percent for the 2003 crop, 85 percent for the 2004
crop, and 80 percent for the 2005 crop, of the simple average price received
by producers of sunflower seed, individually, as determined by the
Secretary, during the marketing years for the immediately preceding 5 crops
of sunflower seed, individually, excluding the year in which the average
price was the highest and the year in which the average price was the lowest
in the period.
`(3) OTHER OILSEEDS- The loan rates for a marketing assistance loan
under section 131 for other oilseeds shall be established at such level as
the Secretary determines is fair and reasonable in relation to the loan rate
available for soybeans, except in no event shall the rate for the oilseeds
(other than cottonseed) be less than the rate established for soybeans on a
per-pound basis for the same crop.'.
(d) PEANUT PROGRAM- Section 155 of the Agricultural Market Transition Act
(7 U.S.C. 7271) is amended by striking subsections (h) and (i) and inserting
the following:
`(h) PHASED REDUCTION OF LOAN RATE- For each of the 2003, 2004, and 2005
crops of quota and additional peanuts, the Secretary shall lower the loan rate
for each succeeding crop in a manner that progressively and uniformly lowers
the loan rate for quota and additional peanuts to $0 for the 2006 crop.
`(i) CROPS- This section shall be effective only for the 1996 through 2005
crops.'.
(e) SUGAR PROGRAM- Section 156 of the Agricultural Market Transition Act
(7 U.S.C. 7272) is amended--
(1) in subsection (e), by striking paragraph (1) and inserting the
following:
`(1) LOANS- The Secretary shall carry out this section through the use
of recourse loans.';
(2) in subsection (f), by striking `2003' each place it appears and
inserting `2006';
(3) by redesignating subsection (i) as subsection (j);
(4) by inserting after subsection (h) the following:
`(i) PHASED REDUCTION OF LOAN RATE- For each of the 2003, 2004, and 2005
crops of sugar beets and
sugarcane, the Secretary shall lower the loan rate for each succeeding crop
in a manner that progressively and uniformly lowers the loan rate for sugar
beets and sugarcane to $0 for the 2006 crop.'; and
(5) in subsection (j) (as redesignated), by striking `2002' and
inserting `2005'.
(f) CONFORMING AMENDMENTS-
(1) FLOOD RISK REDUCTION- Section 385 of the Federal Agriculture
Improvement and Reform Act of 1996 (7 U.S.C. 7334) is repealed.
(2) CONSERVATION FARM OPTION- Section 1240M of the Food Security Act of
1985 (16 U.S.C. 3839bb) is repealed.
SEC. 123. AGRICULTURAL ADJUSTMENT ACT OF 1938.
(1) 2003 and subsequent marketing years and crops- Effective beginning
with the 2003 marketing or crop year (as applicable), the Agricultural
Adjustment Act of 1938 (7 U.S.C. 1281 et seq.) is repealed, other than the
following:
(A) The first section (7 U.S.C. 1281).
(B) Section 301 (7 U.S.C. 1301).
(C) Part I of subtitle B of title III (7 U.S.C. 1311 et
seq.).
(D) Part VI of subtitle B of title III (7 U.S.C. 1357 et
seq.).
(E) Subtitle C of title III (7 U.S.C. 1361 et seq.).
(F) Subtitle F of title III (7 U.S.C. 1381 et seq.).
(G) Title V (7 U.S.C. 1501 et seq.).
(2) 2006 and subsequent marketing years and crops- Effective beginning
with the 2006 marketing year or crop year (as applicable), part VI of
subtitle B of title III (7 U.S.C. 1357 et seq.) is repealed.
(1) EXTENSION- Sections 358-1, 358b(c), 358c(d), and 358e(i) of the
Agricultural Adjustment Act of 1938 (7 U.S.C. 1358-1, 1358b(c), 1358c(d),
1359a(i)) are amended by striking `2002' each place it appears and inserting
`2005'.
(2) PEANUT QUOTA- Part VI of subtitle B of title III of the Agricultural
Adjustment Act of 1938 (7 U.S.C. 1357 et seq.) is amended by adding at the
end the following:
`SEC. 358f. PHASED INCREASE IN QUOTA.
`For each of the 2003, 2004, and 2005 crops of quota peanuts, the
Secretary shall increase the marketing quota and allotment for each succeeding
marketing year in a manner that progressively and uniformly increases the
marketing quota to anticipate the elimination of the marketing quota for the
2006 crop.'.
(c) CONFORMING AMENDMENTS-
(1) REFERENCES TO PARITY PRICES- Section 302 of the Agricultural Act of
1948 (7 U.S.C. 1301a) is amended by striking subsection (f).
(2) TRANSFER OF ACREAGE ALLOTMENTS- Section 706 of the Food and
Agriculture Act of 1965 (7 U.S.C. 1305) is repealed.
(3) PROJECTED YIELDS- Section 708 of the Food and Agriculture Act of
1965 (7 U.S.C. 1306) is repealed.
(4) WHEAT DIVERSION PROGRAMS- Section 327 of the Food and Agriculture
Act of 1962 (7 U.S.C. 1339b) is repealed.
(5) FARM MARKETING QUOTAS- The Joint Resolution entitled `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), is repealed.
(6) COTTON ACREAGE ALLOTMENTS- The Act of March 29, 1949 (63 Stat. 17,
chapter 38; 7 U.S.C. 1344a), is repealed.
(7) RECONCENTRATION OF COTTON- The Act of June 16, 1938 (52 Stat. 762,
chapter 480; 7 U.S.C. 1383a), is repealed.
(8) REQUIREMENTS FOR CORN- Section 308 of the Agricultural Act of 1956
(7 U.S.C. 1442) is repealed.
(9) FIELD MEASUREMENT- Section 1112 of the Omnibus Budget Reconciliation
Act of 1987 (101 Stat. 1330-8) is amended by striking subsection (c).
SEC. 124. COMMODITY CREDIT CORPORATION CHARTER ACT.
(a) IN GENERAL- Section 5 of the Commodity Credit Corporation Charter Act
(15 U.S.C. 714c) is amended--
(1) by striking subsection (a); and
(2) by redesignating subsections (b) through (g) as subsections (a)
through (f), respectively.
(b) CONFORMING AMENDMENT- Section 619 of the Agricultural Trade
Development and Assistance Act of 1954 (7 U.S.C. 1738r) is amended by striking
`section 5(f) of the Commodity Credit Corporation Charter Act' and inserting
`section 5(e) of the Commodity Credit Corporation Charter Act (15 U.S.C.
714c(e))'.
(c) CROPS- The amendments made by this section apply beginning with the
2006 crop.
SEC. 125. AGRICULTURAL ACT OF 1949.
(a) IN GENERAL- The Agricultural Act of 1949 (7 U.S.C. 1421 et seq.) is
repealed, other than the following:
(1) The first section (7 U.S.C. 1421 note).
(2) Sections 106, 106A, and 106B (7 U.S.C. 1445, 1445-1, 1445-2).
(3) Section 416 (7 U.S.C. 1431)
(b) CONFORMING AMENDMENTS-
(1) AMOUNT OF ASSESSMENTS- Section 4609 of the Omnibus Trade and
Competitiveness Act of 1988 (7 U.S.C. 624 note; Public Law 100-418) is
repealed.
(2) AMERICAN AGRICULTURE PROTECTION PROGRAM- Section 1002 of the Food
and Agriculture Act of 1977 (7 U.S.C. 1310) is repealed.
(3) ADVANCE RECOURSE LOANS- Section 13 of the Food Security Improvements
Act of 1986 (7 U.S.C. 1433c-1) is repealed.
(4) CONVERSION INTO FUELS- Section 2001 of the Food and Agriculture Act
of 1977 (7 U.S.C. 1435) is amended--
(A) by striking subsection (a); and
(i) by striking the subsection designation;
(ii) by redesignating paragraphs (1) through (4) as subsections (a)
through (d), respectively;
(iii) in subsection (a) (as so redesignated), by striking `During'
and all that follows through `1949, the' and inserting `The';
and
(iv) by striking `subsection' each place it appears and inserting
`section'.
(5) REIMBURSEMENT OF CCC- Section 412 of the Agricultural Trade
Development and Assistance Act of 1954 (7 U.S.C. 1736f) is amended by
striking subsection (d).
(A) Section 9 of the Honey Research, Promotion, and Consumer
Information Act (7 U.S.C. 4608) is amended--
(i) by striking subsection (d);
(ii) by redesignating subsections (e) through (i) as subsections (d)
through (h), respectively;
(iii) in subsection (a), by striking `(d), (e), and (i)' and
inserting `(d) and (h)';
(iv) in subsection (f) (as so redesignated), by striking `(f)' and
inserting `(e)'; and
(v) in subsection (g)(1) (as so redesignated)--
(I) in subparagraph (A), by striking `(A)'; and
(II) by striking subparagraph (B).
(B) Section 13(b)(2) of the Honey Research, Promotion, and Consumer
Information Act (7 U.S.C. 4612(b)(2)) is amended--
(i) in subparagraph (A)(ii), by striking `4608(h)(1)' and inserting
`4608(g)(1)'; and
(ii) in subparagraph (B)(ii), by striking `4608(h)(1)' and inserting
`4608(g)(1)'.
(7) ESSENTIAL AGRICULTURAL USE- Section 273 of the Biomass Energy and
Alcohol Fuels Act of 1980 (15 U.S.C. 3391a) is amended--
(A) by adding `and' at the end of paragraph (1);
(B) by striking paragraph (2); and
(C) by redesignating paragraph (3) as paragraph (2).
(8) CONSERVATION RESERVE-
(A) RENTAL PAYMENTS- Section 1234(f)(3) of the Food Security Act of
1985 (16 U.S.C. 3834(f)(3)) is amended--
(i) by striking `this Act,' and inserting `this Act or';
and
(ii) by striking `, or the Agricultural Act of 1949 (7 U.S.C. 1421
et seq.)'.
(B) ENVIRONMENTAL EASEMENT PAYMENTS- Section 1239C(f)(3) of the Food
Security Act of 1985 (16 U.S.C. 3839c(f)(3)) is amended--
(i) by striking `this Act,' and inserting `this Act or';
and
(ii) by striking `, or the Agricultural Act of 1949 (7 U.S.C. 1421
et seq.)'.
(9) TAXABLE YEAR FOR DISASTER PAYMENTS- The second sentence of section
451(d) of the Internal Revenue Code of 1986 is amended by striking `the
Agricultural Act of 1949, as amended, or'.
(10) INTEREST PENALTIES- Section 3902(h) of title 31, United States
Code, is amended--
(A) by striking paragraph (2); and
(B) by redesignating paragraphs (3) and (4) as paragraphs (2) and (3),
respectively.
(11) COLORADO RIVER STORAGE PROJECT- Section 4 of the Act of April 11,
1956 (70 Stat. 107, chapter 203; 43 U.S.C. 620c), is amended by striking `,
as defined in the Agricultural Act of 1949, or any amendment
thereof,'.
(12) SURPLUS CROPS- Section 212 of the Reclamation Projects
Authorization and Adjustment Act of 1992 (Public Law 102-575; 106 Stat.
4625) is repealed.
SEC. 126. AGRICULTURAL ADJUSTMENT ACT.
Effective January 1, 2003, section 8c(5) of the Agricultural Adjustment
Act (7 U.S.C. 608c(5)), reenacted with amendments by the Agricultural
Marketing Agreement Act of 1937, is amended by adding at the end the
following:
`(i) IN GENERAL- Notwithstanding any other provision of this
subsection, the Secretary shall establish--
`(I) 1 class of milk for fluid milk; and
`(II) 1 class of milk for other uses of milk.
`(ii) COMPONENT PRICES- The classes of milk established under clause
(i) shall be used to determine the prices of milk
components.'.
SEC. 127. AGRICULTURAL ACT OF 1970.
Section 813 of the Agricultural Act of 1970 (7 U.S.C. 1427a) is
repealed.
SEC. 128. GENERAL COMMODITY PROVISIONS.
(a) PAYMENT LIMITATIONS- Section 1001 of the Food Security Act of 1985 (7
U.S.C. 1308) is amended by striking paragraph (1) and inserting the
following:
`(1) LIMITATION ON VOUCHERS AND PAYMENTS-
`(A) VOUCHERS- The total amount of vouchers made under section 112 of
the Farm Financial Protection Act made directly or indirectly to an
individual or entity during any applicable year may not exceed
$30,000.
`(B) ENVIRONMENTAL QUALITY INCENTIVES PROGRAM- The total amount of
payments made under chapter 4 of subtitle D of title XII of the Food
Security Act of 1985 (16 U.S.C. 3839aa et seq.) made directly or
indirectly to an individual or entity during any applicable year may not
exceed $50,000.
`(C) ADMINISTRATION- Notwithstanding any other paragraph of this
section, sections 1001A(b), 1001B, and 1001C shall apply to an individual
or entity that receives a voucher or payment described in this
paragraph.'.
(b) NORMALLY PLANTED ACREAGE- Section 1001 of the Food and Agriculture Act
of 1977 (7 U.S.C. 1309) is repealed.
(c) NORMAL SUPPLY- Section 1019 of the Food Security Act of 1985 (7 U.S.C.
1310a) is repealed.
(d) DETERMINATIONS OF THE SECRETARY- Section 1017 of the Food Security Act
of 1985 (7 U.S.C. 1385 note; Public Law 99-198) is repealed.
(e) FINANCIAL IMPACT STUDY- Section 1147 of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C. 1421a) is repealed.
(f) PLANTING ON SET-ASIDE ACREAGE- Section 814 of the Agricultural Act of
1970 (7 U.S.C. 1434) is repealed.
(g) COST OF PRODUCTION STUDY- Section 808 of the Agricultural Act of 1970
(7 U.S.C. 1441a) is repealed.
(h) STORAGE PAYMENTS- Section 1124 of the Food, Agriculture, Conservation,
and Trade Act of 1990 (7 U.S.C. 1445e note; Public Law 101-624) is
repealed.
(i) COMPUTATION OF CARRYOVER- Section 105 of the Agricultural Act of 1954
(7 U.S.C. 1745) is repealed.
(j) ADJUSTMENT OF LOANS- Section 2(b) of the Act of December 20, 1944 (12
U.S.C. 1150a(b)), is amended--
(1) by striking `Agricultural Adjustment Act (of 1933);'; and
(2) by striking `sections 303' and all that follows through `adjustment
payments;'.
(k) TARGETED OPTION PAYMENTS- Section 121 of the Food, Agriculture,
Conservation, and Trade Act Amendments of 1991 (105 Stat. 1843) is
repealed.
SEC. 129. SPECIFIC COMMODITY PROVISIONS.
(a) MILK- Section 101 of the Agriculture and Food Act of 1981 (7 U.S.C.
608c note; Public Law 97-98) is amended by striking subsection (b).
(1) RECOURSE LOAN PROGRAM FOR SILAGE- Section 403 of the Food Security
Act of 1985 (7 U.S.C. 1444e-1) is repealed.
(2) CALCULATION OF REFUNDS- Section 405 of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C. 1445j note; Public Law
101-624) is repealed.
(3) ACREAGE DIVERSION PROGRAMS- Section 328 of the Food and Agriculture
Act of 1962 (7 U.S.C. 1339c) is repealed.
SEC. 130. EFFECT OF AMENDMENTS.
(a) IN GENERAL- Except as otherwise specifically provided in this title
and notwithstanding any other provision of law, this subtitle and the
amendments made by this subtitle shall not affect the authority of the
Secretary of Agriculture to carry out an agricultural market transition, price
support, or production adjustment program for any of the 1996 through 2002
crops, or for any of the 1996 through 2002 marketing, reinsurance, fiscal, or
calendar years, as applicable, under a provision of law in effect immediately
before the enactment of this subtitle.
(b) LIABILITY- A provision of this title or an amendment made by this
subtitle shall not affect the liability of any person under any provision of
law as in effect immediately before of enactment of this subtitle.
SEC. 131. CROP.
This subtitle and the amendments made by this subtitle apply beginning
with the 2003 crop of each agricultural commodity or the 2003 marketing,
reinsurance, fiscal, or calendar year, as applicable.
TITLE II--CONSERVATION
Subtitle A--Working Land Conservation Programs
SEC. 201. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM.
Chapter 4 of subtitle D of title XII of the Food Security Act of 1985 (16
U.S.C. 3839aa et seq.) is amended to read as follows:
`CHAPTER 4--ENVIRONMENTAL QUALITY INCENTIVES PROGRAM
`SEC. 1240. PURPOSES.
`The purposes of the environmental quality incentives program established
by this chapter are to promote agricultural production and environmental
quality as compatible national goals, and to maximize environmental benefits
per dollar expended, by--
`(1) assisting producers in complying with this title, the Federal Water
Pollution Control Act (33 U.S.C. 1251 et seq.), the Safe Drinking Water Act
(42 U.S.C. 300f et seq.), the Clean Air Act (42 U.S.C. 7401 et seq.), and
other Federal, State, and local environmental laws (including
regulations);
`(2) avoiding, to the maximum extent practicable, the need for resource
and regulatory programs by assisting producers in protecting soil, water,
air, and related natural resources and meeting environmental quality
criteria established by Federal, State, and local agencies;
`(3) providing flexible technical and financial assistance to producers
to install and maintain conservation systems that enhance soil, water,
related natural resources (including grazing land and wetland), and wildlife
while sustaining production of food and fiber;
`(4) assisting producers to make beneficial, cost effective changes to
cropping systems, grazing management, nutrient management associated with
livestock, pest or irrigation management, or other practices on agricultural
land;
`(5) facilitating partnerships and joint efforts among producers and
governmental and nongovernmental organizations; and
`(6) consolidating and streamlining conservation planning and regulatory
compliance processes to
reduce administrative burdens on producers and the cost of achieving
environmental goals.
`SEC. 1240A. DEFINITIONS.
`(1) COMPREHENSIVE NUTRIENT MANAGEMENT-
`(A) IN GENERAL- The term `comprehensive nutrient management' means
any combination of structural practices, land management practices, and
management activities associated with crop or livestock production
described in subparagraph (B) that collectively ensure that the goals of
crop or livestock production and preservation of natural resources,
especially the preservation and enhancement of water quality, are
compatible.
`(B) ELEMENTS- For the purpose of subparagraph (A), structural
practices, land management practices, and management activities associated
with livestock production are--
`(i) manure and wastewater handling and storage;
`(ii) land treatment practices;
`(iii) nutrient management;
`(v) feed management; and
`(vi) other waste utilization options.
`(i) PLANNING- The development of a comprehensive nutrient
management plan shall be a practice that is eligible for incentive
payments and technical assistance under this chapter.
`(ii) IMPLEMENTATION- The implementation of a comprehensive nutrient
plan shall be accomplished through structural and land management
practices identified in the plan.
`(2) ELIGIBLE LAND- The term `eligible land' means agricultural land
(including cropland, rangeland, pasture, private nonindustrial forest land,
and other land on which crops or livestock are produced), including
agricultural land that the Secretary determines poses a serious threat to
soil, water, or related resources by reason of the soil types, terrain,
climatic, soil, topographic, flood, or saline characteristics, or other
factors or natural hazards.
`(3) LAND MANAGEMENT PRACTICE- The term `land management practice' means
a site-specific nutrient or manure management, integrated pest management,
irrigation management, tillage or residue management, grazing management,
air quality management, or other land management practice carried out on
eligible land that the Secretary determines is needed to protect, in the
most cost-effective manner, water, soil, or related resources from
degradation.
`(5) LIVESTOCK- The term `livestock' means dairy cattle, beef cattle,
laying hens, broilers, turkeys, swine, sheep, and such other animals as
determined by the Secretary.
`(6) MAXIMIZE ENVIRONMENTAL BENEFITS PER DOLLAR EXPENDED-
`(A) IN GENERAL- The term `maximize environmental benefits per dollar
expended' means to maximize environmental benefits to the extent the
Secretary determines is practicable and appropriate, taking into account
the amount of funding made available to carry out this chapter.
`(B) LIMITATION- The term `maximize environmental benefits per dollar
expended' does not require the Secretary--
`(i) to provide the least cost practice or technical assistance;
or
`(ii) to require the development of a plan under section 1240E as
part of an application for payments or technical assistance.
`(7) PRACTICE- The term `practice' means 1 or more structural practices,
land management practices, and comprehensive nutrient management planning
practices.
`(8) PRODUCER- The term `producer' means a person that is engaged in
livestock or agricultural production, as determined by the Secretary.
`(9) STRUCTURAL PRACTICE- The term `structural practice' means--
`(A) the establishment on eligible land of a site-specific animal
waste management facility, terrace, grassed waterway, contour grass strip,
filterstrip, tailwater pit, permanent wildlife habitat, constructed
wetland, or other structural practice that the Secretary determines is
needed to protect, in the most cost-effective manner, water, soil, or
related resources from degradation; and
`(B) the capping of abandoned wells on eligible land.
`SEC. 1240B. ESTABLISHMENT AND ADMINISTRATION OF ENVIRONMENTAL QUALITY
INCENTIVES PROGRAM.
`(1) IN GENERAL- During each of the 2003 through 2006 fiscal years, the
Secretary shall provide technical assistance, cost-share payments, and
incentive payments to producers, that enter into contracts with the
Secretary, through an environmental quality incentives program in accordance
with this chapter.
`(A) STRUCTURAL PRACTICES- A producer that implements a structural
practice shall be eligible for any combination of technical assistance,
cost-share payments, and education.
`(B) LAND MANAGEMENT PRACTICES- A producer that performs a land
management practice shall be eligible for any combination of technical
assistance, incentive payments, and education.
`(C) COMPREHENSIVE NUTRIENT MANAGEMENT PLANNING- A producer that
develops a comprehensive nutrient management plan shall be eligible for
any combination of technical assistance, incentive payments, and
education.
`(3) EDUCATION- The Secretary may provide conservation education at
national, State, and local levels consistent with the purposes of the
environmental quality incentives program to--
`(A) any producer that is eligible for assistance under this chapter;
or
`(B) any producer that is engaged in the production of an agricultural
commodity.
`(b) APPLICATION AND TERM- With respect to practices implemented under
this chapter--
`(1) a contract between a producer and the Secretary may--
`(A) apply to 1 or more structural practices, land management
practices, and comprehensive nutrient management planning practices;
and
`(B) have a term of not less than 3, nor more than 10, years, as
determined appropriate by the Secretary, depending on the practice or
practices that are the basis of the contract; and
`(2) each farm may not adopt more than 1 structural practice involving
nutrient management during the period of fiscal years 2003 through
2006.
`(c) APPLICATION AND EVALUATION-
`(1) IN GENERAL- The Secretary shall establish an application and
evaluation process for awarding technical assistance, cost-share payments,
and incentive payments to a producer in exchange for the performance of 1 or
more practices that maximizes environmental benefits per dollar
expended.
`(2) COMPARABLE ENVIRONMENTAL VALUE-
`(A) IN GENERAL- The Secretary shall establish a process for selecting
applications for technical assistance, cost-share payments, and incentive
payments when there are numerous applications for assistance for practices
that would provide substantially the same level of environmental
benefits.
`(B) CRITERIA- The process under subparagraph (A) shall be based
on--
`(i) a reasonable estimate of the projected cost of the proposals
described in the applications; and
`(ii) the priorities established under this subtitle and other
factors that maximize environmental benefits per dollar
expended.
`(3) CONSENT OF OWNER- If the producer making an offer to implement a
structural practice is a tenant of the land involved in agricultural
production, for the offer to be acceptable, the producer shall obtain the
consent of the owner of the land with respect to the offer.
`(4) BIDDING DOWN- If the Secretary determines that the environmental
values of 2 or more applications for technical assistance, cost-share
payments, or incentive 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 established under this chapter.
`(d) COST-SHARE PAYMENTS-
`(1) IN GENERAL- Except as provided in paragraph (2), the Federal share
of cost-share payments to a producer proposing to implement 1 or more
practices shall be not more than 75 percent of the projected cost of the
practice, as determined by the Secretary.
`(A) LIMITED RESOURCE AND BEGINNING FARMERS; NATURAL DISASTERS- The
Secretary may increase the maximum Federal share under paragraph (1) to
not more than 90 percent if the producer is a limited resource farmer or a
beginning farmer or to address a natural disaster, as determined by the
Secretary.
`(B) COST-SHARE ASSISTANCE FROM OTHER SOURCES- Any cost-share payments
received by a producer from a State or private organization or person for
the implementation of 1 or more practices shall be in addition to the
Federal share of cost-share payments provided to the producer under
paragraph (1).
`(3) OTHER PAYMENTS- A producer shall not be eligible for cost-share
payments for practices on eligible land under this chapter if the producer
receives cost-share payments or other benefits for the same practice on the
same land under chapter 1 and this chapter.
`(e) INCENTIVE PAYMENTS- The Secretary shall make incentive payments in an
amount and at a rate determined by the Secretary to be necessary to encourage
a producer to perform 1 or more practices.
`(f) Technical Assistance-
`(1) IN GENERAL- The Secretary shall allocate funding under this chapter
for the provision of technical assistance according to the purpose and
projected cost for which the technical assistance is provided for a fiscal
year.
`(2) AMOUNT- The allocated amount may vary according to--
`(A) the type of expertise required;
`(B) the quantity of time involved; and
`(C) other factors as determined appropriate by the
Secretary.
`(3) LIMITATION- Funding for technical assistance under this chapter
shall not exceed the projected cost to the Secretary of the technical
assistance provided for a fiscal year.
`(4) OTHER AUTHORITIES- The receipt of technical assistance under this
chapter shall not affect the eligibility of the producer to receive
technical assistance under other authorities of law available to the
Secretary.
`(5) NON-FEDERAL ASSISTANCE-
`(A) IN GENERAL- The Secretary may request the services of, and enter
into a cooperative agreement with, a State water quality agency, State
fish and wildlife agency, State forestry agency, or any other governmental
or nongovernmental organization or person considered appropriate to assist
in providing the technical assistance necessary to develop and implement
conservation plans under the program.
`(i) IN GENERAL- The Secretary shall ensure that the processes of
writing and developing proposals and plans for contracts under this
chapter, and of assisting in the implementation of practices covered by
the contracts, are open to qualified private persons,
including--
`(I) agricultural producers;
`(II) representatives from agricultural
cooperatives;
`(III) agricultural input retail dealers;
`(IV) certified crop advisers;
`(V) persons providing technical consulting services;
and
`(VI) other persons, as determined appropriate by the
Secretary.
`(ii) OTHER CONSERVATION PROGRAMS- The requirements of this
subparagraph shall also apply to each other conservation program of the
Department of Agriculture.
`(6) INCENTIVE PAYMENTS FOR TECHNICAL ASSISTANCE-
`(A) IN GENERAL- A producer that is eligible to receive technical
assistance for a practice involving the development of a comprehensive
nutrient management plan may obtain an incentive payment that can be used
to obtain technical assistance associated with the development of any
component of the comprehensive nutrient management plan.
`(B) PURPOSE- The purpose of the payment shall be to provide a
producer the option of obtaining technical assistance for developing any
component of a comprehensive nutrient management plan from a private
person earlier than the producer would otherwise receive the technical
assistance from the Secretary.
`(C) PAYMENT- The incentive payment shall be--
`(i) in addition to cost-share or incentive payments that a producer
would otherwise receive for structural practices and land management
practices;
`(ii) used only to procure technical assistance from a private
person that is necessary to develop any component of a comprehensive
nutrient management plan; and
`(iii) in an amount determined appropriate by the Secretary, taking
into account--
`(I) the extent and complexity of the technical assistance
provided;
`(II) the costs that the Secretary would have incurred in
providing the technical assistance; and
`(III) the costs incurred by the private provider in providing the
technical assistance.
`(D) ELIGIBLE PRACTICES- The Secretary may determine, on a case by
case basis, whether the development of a comprehensive nutrient management
plan is eligible for an incentive payment under this paragraph.
`(E) CERTIFICATION BY SECRETARY-
`(i) IN GENERAL- Only private persons that have been certified by
the Secretary under section 16 of the Soil Conservation and Domestic
Allotment Act shall be eligible to provide technical assistance under
this subsection.
`(ii) QUALITY ASSURANCE- The Secretary shall ensure that certified
private providers are capable of providing technical assistance
regarding comprehensive nutrient management in a manner that meets the
specifications and guidelines of the Secretary and that meets the needs
of producers under the environmental quality incentives
program.
`(F) ADVANCE PAYMENT- On the determination of the Secretary that the
proposed comprehensive nutrient management of a producer is eligible for
an incentive payment, the producer may receive a partial advance of the
incentive payment in order to procure the services of a certified private
provider.
`(G) FINAL PAYMENT- The final installment of the incentive payment
shall be payable to a producer on presentation to the Secretary of
documentation that is satisfactory to the Secretary and that
demonstrates--
`(i) completion of the technical assistance; and
`(ii) the actual cost of the technical assistance.
`(g) PARTNERSHIPS AND COOPERATION-
`(1) PURPOSES- The Secretary may designate special projects, as
recommended by the State Conservationist, with advice from the State
technical committee, to enhance technical and financial assistance provided
to several producers within a specific area to address environmental issues
affected by agricultural production with respect to--
`(A) meeting the purposes and requirements of--
`(i) the Federal Water Pollution Control Act (33 U.S.C. 1251 et
seq.) or comparable State laws in impaired or threatened
watersheds;
`(ii) the Safe Drinking Water Act (42 U.S.C. 300f et seq.) or
comparable State laws in watersheds providing water for drinking water
supplies; or
`(iii) the Clean Air Act (42 U.S.C. 7401 et seq.) or comparable
State laws; or
`(B) watersheds of special significance or other geographic areas of
environmental sensitivity; or
`(C) enhancing the technical capacity of producers to facilitate
community-based planning, implementation of special projects, and
conservation education involving multiple producers within an area.
`(2) INCENTIVES- To realize the objectives of the special projects under
paragraph (1), the Secretary shall provide incentives to producers
participating in the special projects to encourage partnerships and sharing
of technical and financial resources among producers and among producers and
governmental and nongovernmental organizations.
`(A) IN GENERAL- The Secretary shall make available 5 percent of funds
provided for each fiscal year under this chapter to carry out this
subsection.
`(B) SPECIAL PROJECTS- The purposes of the special projects under this
subsection shall be to encourage--
`(i) producers to cooperate in the installation and maintenance of
conservation systems that affect multiple agricultural
operations;
`(ii) sharing of information and technical and financial resources;
and
`(iii) cumulative environmental benefits across operations of
producers.
`(A) IN GENERAL- The Secretary may enter into agreements with States,
local governmental and nongovernmental organizations, and persons to allow
greater flexibility to adjust the application of eligibility criteria,
approved practices, innovative conservation practices, and other elements
of the programs described in subparagraph (B) to better reflect unique
local circumstances and goals in a manner that is consistent with the
purposes of this chapter.
`(B) APPLICABLE PROGRAMS- Subparagraph (A) shall apply to--
`(i) the environmental quality incentives program established by
this chapter;
`(ii) the program to establish conservation buffers announced on
March 24, 1998 (63 Fed. Reg. 14109) or a successor program;
`(iii) the conservation reserve enhancement program announced on May
27, 1998 (63 Fed. Reg. 28965) or a successor program; and
`(iv) the wetlands reserve program established under subchapter C of
chapter 1.
`(5) UNUSED FUNDING- Any funds made available for a fiscal year under
this subsection that are not obligated by June 1 of the fiscal year may be
used to carry out other activities under this chapter during the fiscal year
in which the funding becomes available.
`(h) MODIFICATION OR TERMINATION OF CONTRACTS-
`(1) VOLUNTARY MODIFICATION OR TERMINATION- The Secretary may modify or
terminate a contract entered into with a producer under this chapter
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 this chapter if the Secretary determines that the producer violated
the contract.
`SEC. 1240C. EVALUATION OF OFFERS AND PAYMENTS.
`In evaluating applications for technical assistance, cost-share payments,
and incentive payments, the Secretary shall accord a higher priority to
assistance and payments that--
`(1) maximize environmental benefits per dollar expended; and
`(2)(A) address national conservation priorities involving--
`(i) comprehensive nutrient management;
`(ii) water quality, particularly in impaired watersheds;
`(B) are provided in conservation priority areas established under
section 1230(c); or
`(C) are provided in special projects under section 1240B(g) with
respect to which State or local governments have provided, or will provide,
financial or technical assistance to producers for the same conservation or
environmental purposes.
`SEC. 1240D. DUTIES OF PRODUCERS.
`To receive technical assistance, cost-share payments, or incentive
payments under this chapter, a producer shall agree--
`(1) to implement an environmental quality incentives program plan that
describes conservation and environmental goals to be achieved through 1 or
more practices that are approved by the Secretary;
`(2) not to conduct any practices on the farm or ranch that would tend
to defeat the purposes of this chapter;
`(3) on the violation of a term or condition of the contract at any time
the producer has control of the land, to refund any cost-share or incentive
payment received with interest, and forfeit any future payments under this
chapter, as determined by the Secretary;
`(4) on the transfer of the right and interest of the producer in land
subject to the contract, unless the transferee of the right and interest
agrees with the Secretary to assume all obligations of the contract, to
refund all cost-share payments and incentive payments received under this
chapter, as determined by the Secretary;
`(5) to supply information as required by the Secretary to determine
compliance with the environmental quality incentives program plan and
requirements of the program; and
`(6) to comply with such additional provisions as the Secretary
determines are necessary to carry
out the environmental quality incentives program plan.
`SEC. 1240E. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM PLAN.
`(a) IN GENERAL- To be eligible to receive technical assistance,
cost-share payments, or incentive payments under the environmental quality
incentives program, an owner or producer of a livestock or agricultural
operation must submit to the Secretary for approval a plan of operations that
incorporates practices covered under this chapter, and is based on such
principles, as the Secretary considers necessary to carry out the program,
including a description of the practices to be implemented and the objectives
to be met by the implementation of the plan.
`(b) AVOIDANCE OF DUPLICATION- The Secretary shall, to the maximum extent
practicable, eliminate duplication of planning activities under the
environmental quality incentives program and comparable conservation
programs.
`SEC. 1240F. DUTIES OF THE SECRETARY.
`To the extent appropriate, the Secretary shall assist a producer in
achieving the conservation and environmental goals of an environmental quality
incentives program plan by--
`(1) providing technical assistance in developing and implementing the
plan;
`(2) providing technical assistance, cost-share payments, or incentive
payments for developing and implementing 1 or more practices, as
appropriate;
`(3) providing the producer with information, education, and training to
aid in implementation of the plan; and
`(4) encouraging the producer to obtain technical assistance, cost-share
payments, or grants from other Federal, State, local, or private
sources.
`SEC. 1240G. LIMITATION ON PAYMENTS.
`(a) IN GENERAL- Subject to subsection (b), the total amount of cost-share
and incentive payments paid to a producer under this chapter may not
exceed--
`(1) $50,000 for any fiscal year; or
`(2) $150,000 for any multiyear contract.
`(b) ATTRIBUTION- An individual or entity may not receive, directly or
indirectly, payments under this chapter that exceed $50,000 for any fiscal
year.
`(c) VERIFICATION- The Secretary shall identify individuals and entities
that are eligible for a payment under this chapter using social security
numbers and taxpayer identification numbers, respectively.
`SEC. 1240H. CONSERVATION INNOVATION GRANTS.
`(a) IN GENERAL- From funds made available to carry out this chapter, the
Secretary shall use $100,000,000 for each fiscal year to pay the Federal share
of competitive grants that are intended to stimulate innovative approaches to
leveraging Federal investment in environmental enhancement and protection, in
conjunction with agricultural production, through the environmental quality
incentives program.
`(b) USE- The Secretary shall award grants under this section to
governmental and nongovernmental organizations and persons, on a competitive
basis, to carry out projects that--
`(1) involve producers that are eligible for payments or technical
assistance under this chapter;
`(2) implement innovative projects, such as--
`(A) market-based pollution credit trading; and
`(B) provision of funds to promote adoption of best management
practices and the storing of carbon in the soil; and
`(3) leverage funds made available to carry out 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) FEDERAL SHARE- The Federal share of a grant made to carry out a
project under this section shall not exceed 50 percent of the cost of the
project.
`(d) UNUSED FUNDING- Any funds made available for a fiscal year under this
section that are not obligated by June 1 of the fiscal year may be used to
carry out other activities under this chapter during the fiscal year in which
the funding becomes available.
`SEC. 1240I. WORKING LAND ENVIRONMENTAL IMPROVEMENT OPTION.
`(a) PURPOSES- The purposes of this section are--
`(1) to provide incentives to producers on agricultural working land to
attain increased environmental benefits by implementing a systems approach
to the conservation needs on the farm or ranch of the producer;
`(2) to target conservation systems instead of individual conservation
practices;
`(3) to emphasize more comprehensive, multiyear agreements that enable a
more integrated natural resource plan for the farm or ranch of the producer;
and
`(4) to emphasize conservation systems that are based on land management
instead of structural practices or land retirement.
`(b) DEFINITION OF CONSERVATION SYSTEM- In this section, the term
`conservation system' means a set of multiple conservation practices that--
`(1) address 1 or more natural resources on a farm or ranch of a
producer;
`(2) requires planning, implementation, management, and
maintenance;
`(3) promotes 1 or more conservation purposes identified in the plan
developed and approved by the Secretary under section 1240D;
`(4) has not been implemented on the applicable agricultural land of the
producer before receipt of a payment under this section; and
`(A) a basic conservation activity, such as pest management, contour
farming, residue management, nutrient management, or similar activities,
as determined by the Secretary;
`(B) a land use adjustment or protection activity, such as
resource-conserving crop rotation, controlled, rotational grazing, or
similar activities, as determined by the Secretary; or
`(C) an activity that fosters the long-term sustainability of all
natural resources on the agricultural operation, as determined by the
Secretary.
`(1) IN GENERAL- The Secretary shall establish a program that is
designed to--
`(A) function as part of the environmental quality incentives program
under this chapter; and
`(B) provide an option for producers to receive a bonus payment for
engaging in new and more environmentally beneficial conservation practices
on agricultural working land.
`(A) IN GENERAL- In exchange for a producer entering into a working
land environmental improvement option contract, the Secretary shall
provide an annual bonus payment, in an amount determined by the Secretary,
to the producer in accordance with the contract.
`(B) RELATION TO EQUIP- A contract under this section may be a
component of, or separate from, a contract under section 1240B.
`(C) TERM- A contract entered into under this section shall have a
term of not less than 5, nor more than 10, years.
`(D) LINKAGE- The Secretary shall not require that any producer enter
into a contract under any other program under this chapter to be eligible
to receive a bonus payment under a contract entered into under this
section.
`(3) CONSERVATION SYSTEM PLAN-
`(A) IN GENERAL- A conservation system plan developed under this
section that incorporates an integrated approach to conservation of
natural resources on the farm or ranch of a producer may be included in a
plan developed under section 1240D, under which conservation goals are
achieved through individual practices.
`(B) ELIGIBLE SYSTEMS- A conservation system that is eligible for a
bonus payment under this section may be associated with a land management
practice, structural practice, or comprehensive nutrient management
practice that has been otherwise approved by the Secretary under this
chapter.
`(4) IDENTIFICATION OF CONSERVATION SYSTEMS- The State Conservationist
and State Technical Committee for each State shall identify conservation
activities that, in combination--
`(A) address the geographical, agronomic, and environmental conditions
that are unique to the State or area; and
`(B) qualify as conservation systems under this section.
`(5) BONUS PAYMENTS- A producer that implements a conservation system
shall be eligible to receive an annual bonus payment that is in addition to
any incentive payment, cost share payment, or technical assistance available
to the producer under this chapter.
`(d) EVALUATION OF CONTRACT OFFERS-
`(1) EVALUATION FACTORS- In order to maximize environmental benefits per
dollar expended under this section, the Secretary shall establish a list of
multiple evaluation factors that are to be used to evaluate and rank the
conservation systems proposed by producers.
`(2) REQUIRED PRIORITY FACTORS- The Secretary shall give priority to
offers that--
`(A) demonstrate the prior use of a conservation activity, such as
conservation tillage;
`(B) address multiple natural resource conservation goals;
`(C) implement more comprehensive conservation systems; or
`(D) are submitted by a limited resource farmer, beginning farmer, or
Indian tribe (as defined in section 4 of the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 450b)), as determined by the
Secretary.
`(3) DISCRETIONARY FACTORS- Additional evaluation factors may
include--
`(A) the number of farms and ranches within the soil and water
conservation district in which the agricultural operation of the producer
is located;
`(B) with respect to the agricultural operation of the
producer--
`(ii) the potential for pesticide and nutrient leaching;
`(iii) animal waste generation; and
`(C) other factors, as determined by the Secretary.
`(4) POINTS- Each evaluation factor shall be accorded a point value as
determined by the Secretary.
`(5) OFFERS- Each offer of a producer to enter into a contract under
this section shall be ranked by the Secretary according to the number of
points assigned the conservation system proposed in the offer.
`(e) PROCEDURE FOR RANKING AND SELECTING OFFERS-
`(1) LOCAL ENVIRONMENTAL PROBLEMS AND PRIORITIES- Each soil and water
conservation district, or local working group, as designated by the
Secretary, shall--
`(A) identify the environmental problems that exist within the
district; and
`(B) determine which conservation systems and practices would best
ameliorate the environmental problems of the district; and
`(C) make recommendations to the State conservationist and State
technical committee of the respective State concerning the issues
described in subparagraphs (A) and (B).
`(2) STATE CONSERVATIONIST- The State conservationist for each State, in
consultation with the State technical committee, shall--
`(A) summarize the information and recommendations provided by each
soil and water conservation district of the State; and
`(B) transmit the information and recommendations to the Secretary
(including a detailed description of intended priorities for funding
within the State).
`(3) STATE FUNDING ALLOCATIONS-
`(A) IN GENERAL- The Secretary may use the information and
recommendations supplied by each State Conservationist, including natural
resource inventories, statistical studies, and reports, to determine
funding allocations under this section for each State.
`(B) ELEMENTS OF ALLOCATION DETERMINATIONS- A funding allocation shall
be determined on the basis of--
`(i) the evaluation factors described in subsection (d);
and
`(ii) the information and recommendations summarized by State
conservationists under paragraph (2)(A).
`(C) NOTIFICATION- The State conservationist for each State shall be
notified of the funding allocation for the State.
`(4) RANKING, SELECTION OF OFFERS, AND AWARD OF BONUS PAYMENTS-
`(A) RANKING OFFERS- The State conservationist of the appropriate
State, in consultation with the State technical committee and the soil and
water conservation district in which the agricultural operation of a
producer is located, shall rank each offer according to--
`(i) the criteria established by the Secretary; and
`(ii) the number of points awarded to the offer.
`(B) ACCEPTANCE OF OFFERS- Based on the ranking of each offer of a
producer by the State and the availability of funds for the State, the
State conservationist may accept offers of producers that will receive
bonus payments.
`(C) DETERMINATION OF BONUS PAYMENTS- The State conservationist, in
consultation with the State technical committee, and in consultation with
the soil and water conservation district in which the agricultural
operation of a producer is located, shall determine the amount of the
bonus payment applicable to the conservation system that the producer
offers to implement.
`(D) DETERMINATION OF AMOUNT OF BONUS PAYMENTS- The amount of an
annual bonus payment, to the extent practicable, shall be determined by
the State conservationist, in consultation with the State technical
committee and the soil and water conservation district in which the
agricultural operation of the producer is located, using criteria
established under the guidelines described in subparagraph (E).
`(E) GUIDELINES- The criteria used to determine the amount of a bonus
payment may be--
`(i) as objective and transparent as practicable; and
`(I) to the maximum extent practicable, outcome-based factors
relating to the natural resource and environmental benefits that
result from the adoption, maintenance, and improvement in
implementation of the conservation practice carried out by the
producer;
`(II) system-based factors, including--
`(aa) the level and extent of conservation systems to be established
or maintained;
`(bb) the cost of the adoption, maintenance, and improvement in
implementation of the conservation system;
`(cc) the income loss that would be experienced, or economic value
that would be forgone, by the producer because of land use adjustments resulting
from the adoption, maintenance, and improvement of the conservation system;
and
`(dd) the extent to which compensation would ensure maintenance and
improvement of the conservation system; and
`(III) such other factors as the Secretary determines to be
appropriate to encourage participation under this
section.
`(f) LIMITATION ON ASSISTANCE- The total amount of bonus payments a
producer may receive under this section shall not exceed $25,000 for any
fiscal year.
`(g) FUNDING- Of the funds made available to carry out this chapter, the
Secretary shall use to carry out this section--
`(1) $100,000,000 for fiscal year 2003;
`(2) $150,000,000 for fiscal year 2004; and
`(3) $400,000,000 for each of fiscal years 2005 and 2006.'.
(b) FUNDING- Section 1241(b) of the Food Security Act of 1985 (16 U.S.C.
3841(b)) is amended--
(1) in paragraph (1), by striking `$130,000,000' and all that follows
through `2002,' and inserting `$750,000,000 for fiscal year 2003,
$1,250,000,000 for fiscal year 2004, and $2,150,000,000 for each of fiscal
years 2005 through 2006,'; and
(2) by striking paragraph (2) and inserting the following:
`(2) OBLIGATION OF FUNDS-
`(A) IN GENERAL- If a contract under the environmental quality
incentives program under chapter 4 of subtitle D is terminated prior to
the end of the term of the contract and funds obligated for the contract
are remaining, the remaining funds may be used to carry out any other
contract under the program during the same fiscal year in which the
original contract was terminated.
`(B) ADDITIONAL USES OF FUNDS- Funding for contracts that terminate
under the program administered under subchapter B of chapter 1 may be
transferred to, and used to carry out, the program under chapter 4 of
subtitle D.'.
(c) COOPERATION WITH OTHER GOVERNMENT AGENCIES- Section 11 of the
Commodity Credit Corporation Charter Act (15 U.S.C. 714i) is amended in the
last sentence by inserting `but excluding transfers and allotments for
conservation technical assistance' after `activities'.
SEC. 202. CONSERVATION RESERVE PROGRAM.
(a) EXTENSION OF PROGRAM-
(1) IN GENERAL- Section 1231 of the Food Security Act of 1985 (16 U.S.C.
3831) is amended--
(A) in subsections (a) and (b)(3), by striking `2002' each place it
appears and inserting `2006';
(i) by striking `2002' and inserting `2006'; and
(ii) by striking `36,400,000' and inserting `40,000,000';
and
(C) in subsection (h)(1), by striking `the 2001 and 2002' and
inserting `each of the 2001 through 2006'.
(2) DUTIES OF OWNERS AND OPERATORS- Section 1232(c) of the Food Security
Act of 1985 (16 U.S.C. 3832(c)) is amended by striking `2002' and inserting
`2006'.
(b) CONSERVATION BUFFERS AND CONSERVATION RESERVE ENHANCEMENT PROGRAM-
Section 1231 of the Food Security Act of 1985 (16 U.S.C. 3831) is amended--
(1) in subsection (b)(4)--
(A) in subparagraph (C), by striking `or' at the end;
(B) in subparagraph (D), by striking the period at the end and
inserting `; or'; and
(C) by adding at the end the following:
`(E) if the Secretary determines that the cropland is a part of a
field and is no longer feasible to farm as a result of the remainder of
the field having been enrolled--
`(i) to establish conservation buffers as part of the program
announced on March 24, 1998 (63 Fed. Reg. 14109) or a successor program;
or
`(ii) into the conservation reserve enhancement program announced on
May 27, 1998 (63 Fed. Reg. 28965) or a successor program.';
and
(A) by striking `2002' and inserting `2006'; and
(B) by inserting before the period at the end the following: `, of
which not less than 4,000,000 acres shall be enrolled--
`(1) to establish conservation buffers as part of the program announced
on March 24, 1998 (63 Fed. Reg. 14109) or a successor program; and
`(2) through the conservation reserve enhancement program announced on
May 27, 1998 (63 Fed. Reg. 28965) or a successor program.'.
(c) HARDWOOD TREES- Section 1231(e)(2) of the Food Security Act of 1985
(16 U.S.C. 3831(e)(2)) is amended--
(1) by striking `In the' and inserting the following:
`(A) IN GENERAL- In the';
(2) by striking `The Secretary' and inserting the following:
`(B) EXISTING HARDWOOD TREE CONTRACTS- The Secretary'; and
(3) by adding at the end the following:
`(C) EXTENSION OF HARDWOOD TREE CONTRACTS-
`(i) IN GENERAL- In the case of land devoted to hardwood trees under
a contract entered into under this subchapter before the date of
enactment of this subparagraph, on the request of the owner or operator
of the land, the Secretary shall extend the contract for a term of 15
years.
`(ii) RENTAL PAYMENTS- The amount of a rental payment for a contract
extended under clause (i) shall be 50 percent of the rental payment that
was applicable to the contract before the contract was
extended.'.
(d) HAYING AND GRAZING ON BUFFER STRIPS- Section 1232(a)(7) of the Food
Security Act of 1985 (16 U.S.C. 3832(a)(7)) is amended--
(1) by striking `except that the Secretary--' and inserting `except
that--';
(2) in subparagraph (A)--
(A) by striking `(A) may' and inserting `(A) the Secretary may';
and
(B) by striking `and' at the end;
(3) in subparagraph (B)--
(A) by striking `(B) shall' and inserting `(B) the Secretary shall';
and
(B) by striking the period at the end and inserting a
semicolon;
(4) in subparagraph (C), by striking the period at the end and inserting
`; and'; and
(5) by adding at the end the following:
`(D) for maintenance purposes, the Secretary shall permit harvesting
or grazing or other commercial uses of forage, in a manner that is
consistent with the purposes of this subchapter and a conservation plan
approved by the Secretary, on acres enrolled--
`(i) to establish conservation buffers as part of the program
announced on March 24, 1998 (63 Fed. Reg. 14109) or a successor program;
and
`(ii) into the conservation reserve enhancement program announced on
May 27, 1998 (63 Fed. Reg. 28965) or a successor program.'.
(e) COST SHARE FOR HARDWOOD TREES- Section 1234(b)(3) of the Food Security
Act of 1985 (16 U.S.C. 3834(b)(3)) is amended by striking `4-year' and
inserting `5-year'.
(f) BASE HISTORY- Section 1236 of the Food Security Act of 1985 (16 U.S.C.
3836) is amended by striking subsection (d) and inserting the following:
`(d) REDUCTION OR TERMINATION OF CROPLAND-
`(1) IN GENERAL- In addition to any other remedy available under any
other law, the Secretary may reduce or terminate the quantity of cropland
base and allotment history preserved under subsection (c) for acreage with
respect to which a violation of a term or condition of a contract covering
that acreage occurs.
`(2) REQUIRED TERMINATION- The Secretary shall terminate the cropland
base and allotment history for all cropland--
`(A) enrolled under this subchapter; and
`(i) the planting of hardwood trees under section
1231(e)(2);
`(ii) the pilot program under section 1231(h); or
`(I) to establish conservation buffers as part of the program
announced on March 24, 1998 (63 Fed. Reg. 14109) or a successor
program; or
`(II) in the program announced on May 27, 1998 (63 Fed. Reg.
28965) or a successor program.'.
(g) FUNDING- Section 1241(a) of the Food Security Act of 1985 (16 U.S.C.
3841(a)) is amended--
(1) by striking `1996 through 2002' and inserting `2003 through 2006';
and
(2) in paragraph (1), by inserting `, including technical assistance'
before the semicolon at the end.
SEC. 203. WETLANDS RESERVE PROGRAM.
(a) MAXIMUM ENROLLMENT- Section 1237(b)(1) of the Food Security Act of
1985 (16 U.S.C. 3837(b)(1)) is amended by striking `975,000 acres' and
inserting `1,975,000 acres'.
(b) EXTENSION OF PROGRAM- Section 1237(c) of the Food Security Act of 1985
(16 U.S.C. 3837(c)) is amended by striking `2002' and inserting `2006'.
(c) WETLANDS RESERVE ENHANCEMENT PROGRAM- Section 1237 of the Food
Security Act of 1985 (16 U.S.C. 3837) is amended by adding at the end the
following:
`(h) WETLANDS RESERVE ENHANCEMENT PROGRAM-
`(1) IN GENERAL- The Secretary may enter into cooperative agreements
with State or local governments, and with private organizations, to develop,
on land that is enrolled, or is eligible to be enrolled, in the wetland
reserve established under this subchapter, wetland restoration activities in
watershed areas.
`(2) PURPOSE- The purpose of the agreements shall be to address critical
environmental issues, including hypoxia, eutrophication, wildlife habitat,
flooding, and groundwater recharge.
`(3) LIMITATION- The total number of acres that may be covered by
agreements entered into under this subsection shall not exceed 50,000 acres
for each calendar year.'.
(d) MONITORING AND MAINTENANCE- Section 1237C(a)(2) of the Food Security
Act of 1985 (16 U.S.C. 3837c(a)(2)) is amended by striking `assistance' and
inserting `assistance (including monitoring and maintenance)'.
(e) TECHNICAL ASSISTANCE- Section 1241(a)(2) of the Food Security Act of
1985 (16 U.S.C. 3841(a)(2)) is amended by inserting `, including technical
assistance' before the semicolon at the end.
SEC. 204. FARMLAND AND GRASSLAND PROTECTION PROGRAM.
Section 388 of the Federal Agriculture Improvement and Reform Act of 1996
(16 U.S.C. 3830 note; Public Law 104-127) is amended to read as follows:
`SEC. 388. FARMLAND AND GRASSLAND PROTECTION PROGRAM.
`(a) DEFINITION OF AGRICULTURAL LAND- In this section, the term
`agricultural land' means land on a farm or ranch that is--
`(2) rangeland or grassland;
`(4) private forest land.
`(b) ESTABLISHMENT- The Secretary of Agriculture shall establish and carry
out a farmland protection program under which the Secretary shall purchase
conservation easements or other interests in agricultural land with prime,
unique, or other productive soil that is subject to a pending offer for the
purpose of protecting topsoil by limiting nonagricultural uses of the land
from--
`(1) any agency of any State or local government, or federally
recognized Indian tribe, including farmland protection boards and land
resource councils established under State law; and
`(2) any organization that--
`(A) is 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 clauses (i), (ii), and (iii) of section
170(h)(4)(A) of the Internal Revenue Code of 1986;
`(B) is an organization described in section 501(c)(3) of that Code
that is exempt from taxation under section 501(a) of that Code;
`(C) is described in section 509(a)(2) of that Code; or
`(D) is described in section 509(a)(3) of that Code and is controlled
by an organization described in section 509(a)(2) of that Code.
`(c) CONSERVATION PLAN- Any agricultural land for which a conservation
easement or other interest is purchased under this section shall be subject to
the requirements of a conservation plan that ensures that continued
agricultural use of the agricultural land--
`(1) will not degrade the environment; and
`(2) in the case of cropland, will require the conversion of the
agricultural land to less intensive uses, at the option of the
Secretary.
`(1) IN GENERAL- Of the funds of the Commodity Credit Corporation, the
Secretary shall make available $65,000,000 for each of fiscal years 2003
through 2006 for providing technical assistance and purchasing conservation
easements under this section.
`(A) FEDERAL SHARE- The Federal share of the cost of purchasing a
conservation easement or other interest described in subsection (b) shall
not exceed 50 percent.
`(B) NON-FEDERAL SHARE- The non-Federal share of the cost of any
project relating to the purchase of a conservation easement under this
section may be made in the form of donations from any non-Federal source
(including donations of conservation easements in a project area) that
materially advance the goals of the project, as determined by the
Secretary.'.
SEC. 205. WILDLIFE HABITAT INCENTIVE PROGRAM.
Section 387(c) of the Federal Agriculture Improvement and Reform Act of
1996 (16 U.S.C. 3836a(c)) is amended by striking `a total of $50,000,000 shall
be made available for fiscal years 1996 through 2002' and inserting `the
Secretary shall make available $50,000,000 for each of fiscal years 2003
through 2006'.
Subtitle B--Miscellaneous Reforms and Extensions
SEC. 211. PRIVACY OF PERSONAL INFORMATION RELATING TO NATURAL RESOURCES
CONSERVATION PROGRAMS.
Subtitle E of title XII of the Food Security Act of 1985 (16 U.S.C. 3841
et seq.) is amended--
(1) by redesignating sections 1244 and 1245 (16 U.S.C. 3844, 3845) as
sections 1245 and 1246, respectively; and
(2) by inserting after section 1243 (16 U.S.C. 3843) the
following:
`SEC. 1244. PRIVACY OF PERSONAL INFORMATION RELATING TO NATURAL RESOURCES
CONSERVATION PROGRAMS.
`(a) INFORMATION RECEIVED FOR TECHNICAL AND FINANCIAL ASSISTANCE-
`(1) IN GENERAL- In accordance with section 552(b)(3) of title 5, United
States Code, except as provided in paragraph (3) and subsection (c),
information described in paragraph (2) --
`(A) shall not be considered to be public information; and
`(B) shall not be released to any person or Federal, State, local, or
tribal agency outside the Department of Agriculture.
`(2) INFORMATION- The information referred to in paragraph (1) is
information--
`(A) provided to, or developed by, the Secretary (including a
contractor of the Secretary) for the purpose of providing technical or
financial assistance to an owner or producer with respect to any natural
resources conservation program administered by the Natural Resources
Conservation Service or the Farm Service Agency; and
`(B) that is proprietary to the agricultural operation or land that is
a part of an agricultural operation of the owner or producer.
`(3) EXCEPTION- Information compiled by the Secretary, such as a list of
owners or producers that have received payments from the Secretary and the
amounts received, shall be--
`(A) considered to be public information; and
`(B) may be released to any person or any Federal, State, local, or
tribal agency outside the Department of Agriculture.
`(b) INVENTORY, MONITORING, AND SITE SPECIFIC INFORMATION- Except as
provided in subsection (c) and notwithstanding any other provision of law, in
order to maintain the personal privacy, confidentiality, and cooperation of
owners and producers, and to maintain the integrity of sample sites, the
specific geographic locations of the National Resources Inventory of the
Department of Agriculture data gathering sites and the information generated
by those sites--
`(1) shall not be considered to be public information; and
`(2) shall not be released to any person or Federal, State, local, or
tribal agency outside the Department of Agriculture.
`(1) RELEASE AND DISCLOSURE FOR ENFORCEMENT- The Secretary may release
or disclose to the Attorney General information covered by subsection (a) or
(b) to the extent necessary to enforce the natural resources conservation
programs referred to in subsection (a).
`(2) DISCLOSURE TO COOPERATING PERSONS AND AGENCIES-
`(A) IN GENERAL- The Secretary may release or disclose information
covered by subsection (a) or (b) to a person or Federal, State, local, or
tribal agency working in cooperation with the Secretary in providing
technical and financial assistance described in subsection (a) or
collecting information from National Resources Inventory data gathering
sites.
`(B) USE OF INFORMATION- The person or Federal, State, local, or
tribal agency that receives information described in subparagraph (A) 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 National Resources Inventory
data gathering sites.
`(3) STATISTICAL AND AGGREGATE INFORMATION- Information covered by
subsection (b) may be disclosed to the public if the information has been
transformed into a statistical or aggregate form that does not allow the
identification of any individual owner, producer, or specific data gathering
site.
`(4) CONSENT OF OWNER OR PRODUCER-
`(A) IN GENERAL- An owner or producer may consent to the disclosure of
information described in subsection (a) or (b).
`(B) CONDITION OF OTHER PROGRAMS- The participation of the owner or
producer in, and the receipt of any benefit by the owner or producer
under, this title or any other program administered by the Secretary may
not be conditioned on the owner or operator providing consent under this
paragraph.
`(d) 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 section.'.
SEC. 212. REFORM AND CONSOLIDATION OF CONSERVATION PROGRAMS.
(a) IN GENERAL- The Secretary of Agriculture shall develop a plan for--
(1) consolidating conservation programs administered by the Secretary
that are targeted at agricultural land; and
(2) to the maximum extent practicable--
(A) designing forms that are applicable to all such conservation
programs;
(B) reducing and consolidating paperwork requirements for such
programs;
(C) developing universal classification systems for all information
obtained on the forms that can be used by other agencies of the Department
of Agriculture;
(D) ensuring that the information and classification systems developed
under this paragraph can be shared with other agencies of the Department
through computer technologies used by agencies; and
(E) developing 1 format for a conservation plan that can be applied to
all conservation programs targeted at agricultural land.
(b) REPORT- Not later than 180 days after the date of enactment of this
Act, the Secretary shall submit to the Committee on Agriculture of the House
of Representatives and the Committee on Agriculture, Nutrition, and Forestry
of the Senate a report that describes the plan developed under subsection (a),
including any recommendations for implementation of the plan.
(c) NATIONAL CONSERVATION PLAN- Not later than 180 days after the date of
enactment of this Act, the Secretary shall submit to the Committee on
Agriculture of the House of Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a plan and estimated budget for
implementing the appraisal of the soil, water, and related resources of the
Nation contained in the National Conservation Program under section 5 of the
Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 2004) as the
primary vehicle for managing conservation on agricultural land in the United
States.
SEC. 213. CERTIFICATION OF PRIVATE PROVIDERS OF TECHNICAL ASSISTANCE.
The Soil Conservation and Domestic Allotment Act is amended by inserting
after section 15 (16 U.S.C. 590o) the following:
`SEC. 16. CERTIFICATION OF PRIVATE PROVIDERS OF TECHNICAL ASSISTANCE.
`(a) ESTABLISHMENT- The Secretary of Agriculture shall establish
procedures for certifying private persons to provide technical assistance to
agricultural producers and landowners participating in conservation programs
administered by the Secretary.
`(b) STANDARDS- The Secretary shall establish standards for the conduct
of--
`(1) the certification process conducted by the Secretary; and
`(2) periodic recertification by the Secretary of private
providers.
`(c) CERTIFICATION REQUIRED- A private provider may not provide technical
assistance under any conservation program administered by the Secretary
without certification approved by the Secretary.
`(d) FEE- In exchange for certification, a private provider shall pay a
fee to the Secretary in an amount determined by the Secretary.
`(e) PROVIDER- Except as provided in section 1240B(f)(6) of the Food
Security Act of 1985 (7 U.S.C. 3839aa-(f)(6)), the Secretary shall determine
under what individual cases and conservation programs technical assistance may
be delivered by private providers or by the Secretary.
`(f) OTHER REQUIREMENTS- The Secretary may establish other requirements as
the Secretary determines are necessary to carry out this section.'.
SEC. 214. NATIONAL ENVIRONMENTAL BENEFITS INDEX.
(a) STUDY- Not later than January 1, 2003, the Secretary of Agriculture
shall request the National Academy of Sciences to conduct a study--
(1) to identify the natural resources targeted in conservation programs
administered by the Secretary;
(2) to identify the environmental goals of the conservation programs;
and
(3) to develop a single environmental benefits index that may be applied
to all conservation programs that would allow--
(A) personnel and funding of the Department of Agriculture to be
better targeted at conservation priorities;
(B) to facilitate the more effective participation of owners and
producers in the conservation programs; and
(C) to maximize environmental benefits per dollar expended.
(b) REPORTS- Not later than 18 months after the date on which the study
under subsection (a) is commenced, 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 results of the study conducted under subsection (a);
and
(2) includes any appropriate recommendations and a model environmental
benefits index described in subsection (a)(3).
(c) FUNDING- Of the funds of the Commodity Credit Corporation, the
Secretary shall make available to carry out this section $2,000,000 for fiscal
year 2003.
SEC. 215. EXTENSION OF CONSERVATION AUTHORITIES.
(a) ECARP AUTHORITY- Section 1230(a)(1) of the Food Security Act of 1985
(16 U.S.C. 3830(a)(1)) is amended by striking `2002' and inserting `2006'.
(b) FLOOD RISK REDUCTION- Section 385(a) of the Federal Agriculture
Improvement and Reform Act of 1996 (7 U.S.C. 7334(a)) is amended by striking
`2002' and inserting `2006'.
(c) RESOURCE CONSERVATION AND DEVELOPMENT PROGRAM- Section 1538 of the
Agriculture and Food Act of 1981 (16 U.S.C. 3461) is amended in the first
sentence by striking `2002' and inserting `2006'.
SEC. 216. TECHNICAL AMENDMENTS.
(a) DELINEATION OF WETLANDS; EXEMPTIONS TO PROGRAM INELIGIBILITY-
(1) REFERENCES TO PRODUCER- Section 322(e) of the Federal Agriculture
Improvement and Reform Act of 1996 (Public Law 104-127; 110 Stat. 991) is
amended by inserting `each place it appears' before `and inserting'.
(2) GOOD FAITH EXEMPTION- Section 1222(h)(2) of the Food Security Act of
1985 (16 U.S.C. 3822(h)(2)) is amended by striking `to actively' and
inserting `to be actively'.
(3) DETERMINATIONS- Section 1222(j) of the Food Security Act of 1985 (16
U.S.C. 3822(j)) is amended by striking `National' and inserting
`Natural'.
(b) WILDLIFE HABITAT INCENTIVE PROGRAM- Section 387 of the Federal
Agriculture Improvement and Reform Act of 1996 (16 U.S.C. 3836a) is amended in
the section heading by striking `incentives' and inserting `incentive'.
SEC. 217. EFFECT OF AMENDMENTS.
(a) IN GENERAL- Except as otherwise specifically provided in this title
and notwithstanding any other provision of law, this title and the amendments
made by this title shall not affect the authority of the Secretary of
Agriculture to carry out a conservation program for any of the 1996 through
2002 fiscal or calendar years under a provision of law in effect immediately
before the date of enactment of this Act.
(b) LIABILITY- A provision of this title or an amendment made by this
title shall not affect the liability of any person under any provision of law
as in effect immediately before the date of enactment of this Act.
TITLE III--TRADE
Subtitle A--Agricultural Trade Development and Assistance Act of 1954
and Related Statutes
SEC. 301. LEVELS OF ASSISTANCE.
Section 204(a) of the Agricultural Trade Development and Assistance Act of
1954 (7 U.S.C. 1724(a)) is amended by striking `2002' each place it appears
and inserting `2006'.
SEC. 302. FOOD AID CONSULTATIVE GROUP.
Section 205(f) of the Agricultural Trade Development and Assistance Act of
1954 (7 U.S.C. 1725(f)) is amended by striking `2002' and inserting `2006'.
SEC. 303. ASSISTANCE FOR STOCKPILING AND RAPID TRANSPORTATION, DELIVERY, AND
DISTRIBUTION OF SHELF-STABLE PREPACKAGED FOODS.
Section 208(f) of the Agricultural Trade Development and Assistance Act of
1954 (7 U.S.C. 1726b(f)) is amended by striking `and 2002' and inserting
`through 2006'.
SEC. 304. PREPOSITIONING.
Section 407(c)(4) of the Agricultural Trade Development and Assistance Act
of 1954 (7 U.S.C. 1736a(c)(4)) is amended by striking `and 2002' and inserting
`through 2006'.
SEC. 305. EXPIRATION DATE.
Section 408 of the Agricultural Trade Development and Assistance Act of
1954 (7 U.S.C. 1736b) is amended by striking `2002' and inserting `2006'.
SEC. 306. MICRONUTRIENT FORTIFICATION PILOT PROGRAM.
Section 415 of the Agricultural Trade Development and Assistance Act of
1954 (7 U.S.C. 1736g-2) is amended by striking subsection (d).
SEC. 307. FARMER-TO-FARMER PROGRAM.
Section 501(c) of the Agricultural Trade Development and Assistance Act of
1954 (7 U.S.C. 1737(c)) is amended--
(1) by striking `2002' and inserting `2006'; and
(2) by striking `0.4' and inserting `0.5'.
SEC. 308. BILL EMERSON HUMANITARIAN TRUST.
Section 302 of the Bill Emerson Humanitarian Trust Act (7 U.S.C. 1736f-1)
is amended in subsection (b)(2)(B)(i) and paragraphs (1) and (2) of subsection
(h) by striking `2002' each place it appears and inserting `2006'.
Subtitle B--Agricultural Trade Act of 1978
SEC. 321. EXPORT CREDIT GUARANTEE PROGRAM.
(a) REAUTHORIZATION- Section 211(b)(1) of the Agricultural Trade Act of
1978 (7 U.S.C. 5641(b)(1)) is amended by striking `2002' and inserting
`2006'.
(b) PROCESSED AND HIGH-VALUE PRODUCTS- Section 202(k)(1) of the
Agricultural Trade Act of 1978 (7 U.S.C. 5622(k)(1)) is amended by striking `,
2001, and 2002' and inserting `through 2006'.
(c) COMMERCIAL SALES TO CHINA- The Secretary of Agriculture shall evaluate
the eligibility of the People's Republic of China for financing under the
export credit guarantee program in light of the country risk profile and bank
credit ceiling analyses for that country, which, as of the date of enactment
of this Act, may preclude financing under the program.
SEC. 322. MARKET ACCESS PROGRAM.
(a) FUNDING- Section 211(c)(1) of the Agricultural Trade Act of 1978 (7
U.S.C. 5641(c)(1)) is amended by striking `not less than $200,000,000' and all
that follows through `1996 through 2002' and inserting `$110,000,000 for
fiscal year 2003, $110,000,000 for fiscal year 2004, and $130,000,000 for each
of fiscal years 2005 and 2006'.
(b) UNITED STATES QUALITY EXPORT INITIATIVE-
(1) FINDINGS- Congress finds that--
(A) the market access program and foreign market development program
target generic and value-added products, with little emphasis on the high
quality of a United States product; and
(B) new promotional tools are needed to enable United States products
to compete in higher margin, international markets on the basis of
quality.
(2) AMENDMENT- Section 203 of the Agricultural Trade Act of 1978 (7
U.S.C. 5623) is amended by adding at the end the following:
`(h) UNITED STATES QUALITY EXPORT INITIATIVE-
`(1) IN GENERAL- Using the authorities under this section, the Secretary
shall develop a competition in which, using practical and objective
criteria, several products are selected to carry the `U.S. Quality'
seal.
`(2) PROMOTIONAL ACTIVITIES- Products selected under paragraph (1) shall
be promoted using the `U.S. Quality' seal at trade fairs in key markets
through electronic and print media.'.
SEC. 323. EXPORT ENHANCEMENT PROGRAM.
Section 301(e)(1)(G) of the Agricultural Trade Act of 1978 (7 U.S.C.
5651(e)(1)(G)) is amended by striking `fiscal year 2002' and inserting `each
of fiscal years 2002 through 2006'.
SEC. 324. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.
The Agricultural Trade Act of 1978 is amended by striking section 703 (7
U.S.C. 5723) and inserting the following:
`SEC. 703. FUNDING.
`(a) COMMODITY CREDIT CORPORATION- The Secretary shall use the funds,
facilities, and authorities of the Commodity Credit Corporation to carry out
this title.
`(1) COMMODITY CREDIT CORPORATION- Of the funds of the Commodity Credit
Corporation, the Secretary shall make available to carry out this
title--
`(A) $31,500,000 for fiscal year 2003;
`(B) $36,000,000 for fiscal year 2004;
`(C) $37,500,000 for fiscal year 2005; and
`(D) $43,250,000 for fiscal year 2006.
`(2) NEW ENTRANTS AND MARKETS-
`(A) GOALS- The Secretary shall encourage--
`(i) the participation of additional eligible trade organizations;
and
`(ii) the development of new markets for United States agricultural
commodities in foreign countries.
`(B) TARGETED FUNDING- Of funds made available under paragraph (1),
the Secretary shall use to accomplish the goals under subparagraph
(A)--
`(i) $2,000,000 for fiscal year 2003;
`(ii) $4,250,000 for fiscal year 2004;
`(iii) $5,000,000 for fiscal year 2005; and
`(iv) $7,875,000 for fiscal year 2006.
`(3) USE OF UNOBLIGATED FUNDS- For each fiscal year, funds described in
paragraph (2)(B) that are not obligated by July 1 of the fiscal year may be
used for any purpose authorized under this title.'.
SEC. 325. FOOD FOR PROGRESS.
(a) IN GENERAL- The Agricultural Trade Act of 1978 (7 U.S.C. 5601 et seq.)
is amended by adding at the end the following:
`TITLE VIII--FOOD FOR PROGRESS
`SEC. 801. DEFINITIONS.
`(1) COOPERATIVE- The term `cooperative' means a private sector
organization the members of which--
`(A) own and control the organization;
`(B) share in the profits of the organization; and
`(C) are provided services (such as business services and outreach in
cooperative development) by the organization.
`(2) CORPORATION- The term `Corporation' means the Commodity Credit
Corporation.
`(3) DEVELOPING COUNTRY- The term `developing country' means a foreign
country that has--
`(A) a shortage of foreign exchange earnings; and
`(B) difficulty meeting all of the food needs of the country through
commercial channels.
`(4) ELIGIBLE COMMODITY- The term `eligible commodity' means an
agricultural commodity acquired by the Secretary or the Corporation for
disposition in a program authorized under this title through--
`(A) commercial purchases; or
`(B) inventories of the Corporation.
`(5) ELIGIBLE ORGANIZATION- The term `eligible organization' means a
private voluntary organization, cooperative, or intergovernmental
organization, as determined by the Secretary.
`(6) EMERGING AGRICULTURAL COUNTRY- The term `emerging agricultural
country' means a foreign country that--
`(A) is an emerging democracy; and
`(B) has made a commitment to introduce or expand free enterprise
elements in the agricultural economy of the country.
`(7) 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.
`(8) INTERGOVERNMENTAL ORGANIZATION-
`(A) IN GENERAL- The term `intergovernmental organization' means an
organization that operates on a local level to solve development problems
in a foreign country in which the organization is located.
`(B) EXCLUSION- The term `intergovernmental organization' does not
include an organization that is primarily an agency or instrumentality of
the government of a foreign country.
`(9) PRIVATE VOLUNTARY ORGANIZATION-
`(A) IN GENERAL- The term `private voluntary organization' means a
nonprofit, intergovernmental organization that--
`(I) funds from private sources; and
`(II) voluntary contributions of money, staff time, or in-kind
support from the public; and
`(ii) is engaged in or is planning to engage in nonreligious
voluntary, charitable, or development assistance activities.
`(B) IN UNITED STATES- The term `private voluntary organization', when
used with respect to an organization in the United States, means an
organization described in section 501(c)(3) of the Internal Revenue Code
of 1986 that is exempt from taxation under section 501(a) of the
Code.
`(10) PRODUCED IN THE UNITED STATES- The term `produced in the United
States', used with respect to a product of an agricultural commodity,
excludes a product of an agricultural commodity that contains 1 or more
ingredients that are not produced in the United States if those ingredients
are commercially available in the United States at fair and reasonable
prices.
`(11) PROGRAM- The term `program' means a food or nutrition assistance
or development initiative proposed by an eligible organization and approved
by the Secretary under this title.
`(12) RECIPIENT COUNTRY- The term `recipient country' means a developing
country covered by a program.
`SEC. 802. FOOD FOR PROGRESS PROGRAM.
`(a) IN GENERAL- To provide agricultural commodities to support the
introduction or expansion of free trade enterprises in national economies, and
to provide food or nutrition assistance, the Secretary shall establish the
Food for Progress Program under which the Secretary may enter into agreements
(including multiyear agreements) with--
`(1) the governments of emerging democracies;
`(2) private voluntary organizations;
`(3) nonprofit agricultural organizations and cooperatives;
`(4) intergovernmental organizations; and
`(5) other private entities.
`(b) CONSIDERATIONS- In determining whether to enter into an agreement to
establish a program under subsection (a), the Secretary shall take into
consideration whether a potential recipient country is committed to carrying
out, or is carrying out, policies that promote--
`(2) private production of food commodities for domestic consumption;
and
`(3) the creation and expansion of efficient domestic markets for the
purchase and sale of those commodities.
`(1) IN GENERAL- The Secretary may provide agricultural commodities
under this title on--
`(B) subject to paragraph (2), credit terms.
`(2) CREDIT TERMS- Payment for agricultural commodities made available
under this title that are purchased on credit terms shall be made on the
same basis as payments made under section 103 of the Agricultural Trade
Development and Assistance Act of 1954 (7 U.S.C. 1703).
`(3) NO EFFECT ON DOMESTIC PROGRAMS- The Secretary shall not make an
agricultural commodity available for disposition under this section in any
amount that will reduce the amount of the commodity that is traditionally
made available through donations to domestic feeding programs or agencies,
as determined by the Secretary.
`(d) REPORTS- Each eligible organization that enters into an agreement
under this title shall submit to the Secretary, at such time as the Secretary
may request, a report containing such information as the Secretary may request
relating to the use of commodities and funds provided to the eligible
organization under this title.
`(e) COORDINATION- To ensure that the provision of commodities under this
section is coordinated with and complements other foreign assistance provided
by the United States, assistance under this section shall be coordinated
through the mechanism designated by the President to coordinate assistance
under the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C.
1691 et seq.).
`(f) QUALITY ASSURANCE- The Secretary shall ensure, to the maximum extent
practicable, that each eligible organization participating in 1 or more
programs under this section--
`(1) uses eligible commodities made available under this title--
`(A) in an effective manner;
`(B) in the areas of greatest need; and
`(C) in a manner that promotes the purposes of this title;
`(2) in using eligible commodities, assesses and takes into account the
needs of recipient countries and the target populations of those
countries;
`(3) to the maximum extent practicable consistent with the purposes of
this title, uses the lowest cost means of delivering eligible commodities
and providing other assistance authorized under this title;
`(4) works with recipient countries and indigenous institutions or
groups in recipient countries to design and carry out mutually acceptable
programs authorized in subsection (g)(2)(C)(i);
`(5) monitors and reports on the distribution or sale of eligible
commodities provided under this title using methods that, as determined by
the Secretary, facilitate accurate and timely reporting;
`(6) periodically evaluates the effectiveness of the program of the
eligible organization, including, as applicable, an evaluation of whether
the development or food and nutrition purposes of the program can be
sustained in a recipient country if the assistance provided to the recipient
country is reduced and eventually terminated; and
`(7) considers means of improving the operation of the program of the
eligible organization.
`(g) TRANSSHIPMENT AND RESALE-
`(1) IN GENERAL- The transshipment or resale of an eligible commodity to
a country other than a recipient country shall be prohibited unless the
transshipment or resale is approved by the Secretary.
`(A) IN GENERAL- Subject to subparagraphs (B) through (D), an eligible
commodity provided under this section may be sold for foreign currency or
United States dollars or bartered only with the approval of the
Secretary.
`(B) SALE OR BARTER OF FOOD ASSISTANCE- The sale or barter of eligible
commodities under this title may be conducted only within a recipient
country or countries adjacent to the recipient country, unless, as
determined by the Secretary--
`(i) the sale or barter within the recipient country or adjacent
countries is not practicable; and
`(ii) the sale or barter within countries other than the recipient
country or adjacent countries will not disrupt commercial markets for
the agricultural commodity involved.
`(C) HUMANITARIAN OR DEVELOPMENT PURPOSES- The Secretary may authorize
the use of proceeds or exchanges to reimburse, within a recipient country
or other country in the same region, the costs incurred by an eligible
organization for--
`(i)(I) programs targeted at hunger and malnutrition; or
`(II) development programs involving food security or
education;
`(ii) transportation, storage, and distribution of eligible
commodities provided under this title; and
`(iii) administration, sales, monitoring, and technical
assistance.
`(D) EXCEPTION- The Secretary shall not approve the use of proceeds
described in subparagraph (C) to fund any administrative expenses of a
foreign government.
`(h) DISPLACEMENT OF COMMERCIAL SALES- In carrying out this title, the
Secretary shall, to the maximum extent practicable consistent with the
purposes of this title, avoid--
`(1) displacing any commercial export sale of United States commodities
that would otherwise be made;
`(2) disrupting world prices of agricultural commodities; or
`(3) disrupting normal patterns of commercial trade with foreign
countries.
`(i) DEADLINE FOR PROGRAM ANNOUNCEMENTS-
`(1) IN GENERAL- Before the beginning of the applicable fiscal year, the
Secretary shall, to the maximum extent practicable--
`(A) make all determinations concerning program agreements and
resource requests for programs under this title; and
`(B) announce those determinations.
`(2) REPORT- Not later than November 1 of the applicable fiscal 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 list of programs, countries, and commodities, and the total
amount of funds for transportation and administrative costs, approved under
this title.
`(j) MILITARY DISTRIBUTION OF ASSISTANCE-
`(1) IN GENERAL- The Secretary shall ensure, to the maximum extent
practicable, that agricultural commodities made available under this section
are provided without regard to--
`(A) the political affiliation, geographic location, ethnic, tribal,
or religious identity of the recipient; or
`(B) any extraneous factors.
`(2) PROHIBITION ON HANDLING OF COMMODITIES BY THE MILITARY-
`(A) IN GENERAL- Except as provided in subparagraph (B), the Secretary
shall not enter into an agreement under this title to provide agricultural
commodities if the agreement requires or permits the distribution,
handling, or allocation of agricultural commodities by the military forces
of any foreign government or insurgent group.
`(B) EXCEPTION- The Secretary may authorize the distribution,
handling, or allocation of commodities by the military forces of a country
in exceptional circumstances in which--
`(i) nonmilitary channels are not available for distribution,
handling, or allocation;
`(ii) the distribution, handling, or allocation is consistent with
paragraph (1); and
`(iii) the Secretary determines that the distribution, handling, or
allocation is necessary to meet the emergency health, safety, or
nutritional requirements of the population of a recipient
country.
`(3) ENCOURAGEMENT OF SAFE PASSAGE- In entering into an agreement under
this title that involves 1 or more areas within a recipient country that is
experiencing protracted warfare or civil unrest, the Secretary shall, to the
maximum extent practicable, encourage all parties to the conflict to--
`(A) permit safe passage of the commodities and other relief supplies;
and
`(B) establish safe zones for--
`(i) medical and humanitarian treatment; and
`(ii) evacuation of injured persons.
`(k) BUDGET- The cost of commodities made available under this section,
and the expenses incurred in connection with the provision of those
commodities--
`(1) shall be in addition to the level of assistance provided under the
Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1691 et
seq.); and
`(2) may not be considered expenditures for international affairs and
finance.
`(l) INTERNATIONAL EDUCATION AND NUTRITION PROGRAM-
`(1) IN GENERAL- In cooperation with other countries, the Secretary
shall establish an initiative within the Food for Progress Program under
this title to be known as the `International Education and Nutrition
Program', through which the Secretary may provide to eligible organizations
agricultural commodities and technical and nutritional assistance in
connection with education programs to improve food security and enhance
educational opportunities for preschool age and primary school age children
in recipient countries.
`(2) AGREEMENTS- In carrying out this subsection, the Secretary may
enter into agreements with eligible organizations--
`(A) to purchase, acquire, and donate eligible commodities to eligible
organizations; and
`(B) to provide technical and nutritional assistance.
`(3) OTHER DONOR COUNTRIES- The Secretary shall encourage other donor
countries, directly or through eligible organizations--
`(A) to donate goods and funds to recipient countries; and
`(B) to provide technical and nutritional assistance to recipient
countries.
`(4) PRIVATE SECTOR- The President and the Secretary are urged to
encourage the support and active involvement of the private sector,
foundations, and other individuals and organizations in programs and
activities assisted under this subsection.
`(5) GRADUATION- An agreement with an eligible organization under this
subsection shall include provisions--
`(A) to estimate the period of time required until the recipient
country or eligible organization is able to provide sufficient assistance
without additional assistance under this subsection; or
`(B) to provide other long-term benefits to targeted populations of
the recipient country.
`(6) ANNUAL 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 that
describes--
`(A) the results of the implementation of this subsection during the
year covered by the report, including the impact on the enrollment,
attendance, and performance of children in preschools and primary schools
targeted under the initiative established under this subsection;
and
`(B) the level of commitments by, and the potential for obtaining
additional goods and assistance from, other countries for subsequent
years.
`(m) COMMODITY CREDIT CORPORATION-
`(1) IN GENERAL- Subject to paragraphs (4) through (6), the Secretary
may use the funds, facilities, and authorities of the Corporation to carry
out this title.
`(A) IN GENERAL- Subject to paragraph (3), from the funds of the
Corporation, the Secretary shall make available to carry out this title
$490,000,000 for each of fiscal years 2003 through 2006.
`(B) AUTHORIZATION OF APPROPRIATIONS- In addition to funds made
available under subparagraph (A), there are authorized to be appropriated
such sums as are necessary to carry out this title.
`(3) INTERNATIONAL EDUCATION AND NUTRITION PROGRAM- Of the funds made
available under paragraph (2), the Secretary may use not more than
$300,000,000 for each fiscal year to carry out the initiative established
under subsection (l).
`(4) LIMITATION ON PURCHASES OF COMMODITIES- The Corporation may
purchase agricultural commodities for disposition under this title only if
Corporation inventories are insufficient to satisfy commitments made in
agreements entered into under this title.
`(5) ELIGIBLE COSTS AND EXPENSES-
`(A) IN GENERAL- Subject to subparagraph (B), with respect to an
eligible commodity made available under this title, the Corporation may
pay--
`(i) the costs of acquiring the eligible commodity;
`(ii) the costs associated with packaging, enriching, preserving,
and fortifying of the eligible commodity;
`(iii) the processing, transportation, handling, and other
incidental costs incurred before the date on which the commodity is
delivered 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 the eligible commodity
from United States ports to designated points of entry abroad in a case
in which--
`(I) a recipient country is landlocked;
`(II) ports of a recipient country cannot be used effectively
because of natural or other disturbances;
`(III) carriers to a specific country are unavailable;
or
`(IV) substantial savings in costs or time may be gained by the
use of points of entry other than ports;
`(vi) the transportation and associated distribution costs incurred
in moving the commodity (including repositioned commodities) from
designated points of entry or ports of entry abroad to storage and
distribution sites;
`(vii) the charges for general average contributions arising out of
the ocean transport of commodities transferred; and
`(viii) the costs, in addition to costs authorized by clauses (i)
through (vii), of providing--
`(I) assistance in the administration, sale, and monitoring of
food assistance activities under this title; and
`(II) technical assistance for monetization
programs.
`(B) FUNDING- Except for costs described in subparagraph (A)(i), not
more than $40,000,000 of funds made available under paragraph (2) may be
used to cover costs under this paragraph unless authorized in advance in
an appropriation Act.
`(6) PAYMENT OF ADMINISTRATIVE COSTS- An eligible organization that
receives payment for administrative costs through monetization of the
eligible commodity under subsection (g)(2) shall not be eligible to receive
payment for the same administrative costs through direct payments under
paragraph (5)(A)(viii)(I).'.
(b) CONFORMING AMENDMENT- The Food Security Act of 1985 is amended by
striking section 1110 (7 U.S.C. 1736o).
SEC. 326. EXPORTER ASSISTANCE INITIATIVE.
(a) FINDINGS- Congress find that--
(1) information in the possession of Federal agencies other than the
Department of Agriculture that is necessary for the export of agricultural
commodities and products is available only from multiple disparate sources;
and
(2) because exporters often need access to information quickly,
exporters lack the time to search multiple sources to access necessary
information, and exporters often are unaware of where the necessary
information can be located.
(b) AMENDMENT- Title I of the Agricultural Trade Act of 1978 (7 U.S.C.
5601 et seq.) is amended by adding at the end the following:
`SEC. 107. EXPORTER ASSISTANCE INITIATIVE.
`(a) IN GENERAL- In order to create a single source of information for
exports of agricultural products, the Secretary shall develop a website on the
Internet that collates onto a single website all information from all agencies
of the Federal Government that is relevant to the export of agricultural
products.
`(b) AUTHORIZATION OF APPROPRIATIONS- There are authorized to be
appropriated to carry out subsection (a)--
`(1) $1,000,000 for each of fiscal years 2003 and 2004; and
`(2) $500,000 for each of fiscal years 2005 and 2006.'.
Subtitle C--Miscellaneous Agricultural Trade Provisions
SEC. 331. EMERGING MARKETS.
Section 1542 of the Food, Agriculture, Conservation, and Trade Act of 1990
(7 U.S.C. 5622 note; Public Law
101-624) is amended in subsections (a) and (d)(1)(A)(i) by striking `2002'
each place it appears and inserting `2006'.
SEC. 332. SENSE OF THE SENATE CONCERNING UNILATERAL SANCTIONS.
It is the sense of the Senate that--
(1) the current statutory prohibition on the imposition of unilateral
sanctions involving agricultural commodities, medicine, and medical devices
should apply to all foreign countries, except when--
(A) the United States is at war with, or hostilities are imminent
with, a particular country;
(B) an agricultural commodity, medicine, or medical device can be used
for dual purposes; or
(C) a particular country sponsors terrorism;
(2) the International Trade Commission should periodically review and
report to the President on each unilateral sanction in effect to determine
the cost-effectiveness of the sanction, including--
(A) the economic activity that is prohibited, restricted, or
conditioned by the unilateral agricultural sanction; and
(B) the national interest that would be jeopardized if the unilateral
sanction were ended; and
(3) in response to the report of the International Trade Commission, the
President should recommend whether the unilateral sanction should be
continued, modified, or repealed.
SEC. 333. BIOTECHNOLOGY AND AGRICULTURAL TRADE 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 adding at the end the
following:
`(g) BIOTECHNOLOGY AND AGRICULTURAL TRADE PROGRAM-
`(1) IN GENERAL- The Secretary of Agriculture shall establish a program
to enhance foreign acceptance of agricultural biotechnology and United
States agricultural products developed through biotechnology.
`(2) FOCUS- The program shall address the continuing and increasing
market access, regulatory, and marketing issues relating to export commerce
of United States agricultural biotechnology products.
`(3) EDUCATION AND OUTREACH-
`(A) FOREIGN MARKETS- Support for United States agricultural market
development organizations to carry out education and other outreach
efforts concerning biotechnology shall target such educational initiatives
as--
`(i) producers, buyers, consumers, and media in foreign markets
through initiatives in foreign markets; and
`(ii) government officials, scientists, and trade officials from
foreign countries through exchange programs.
`(B) FUNDING FOR EDUCATION AND OUTREACH- Funding for activities under
subparagraph (A) may be--
`(I) the emerging markets program under this
section;
`(II) the emerging markets program under section 1542 (7 U.S.C.
3292); or
`(III) the Cochran Fellowship Program under section 1543 (7 U.S.C.
3293); or
`(ii) applied directly to foreign market development cooperators
through the foreign market development cooperator program under section
702 of the Agricultural Trade Act of 1978 (7 U.S.C. 5722).
`(A) IN GENERAL- The Secretary shall assist agricultural exporters of
the United States in cases in which the exporters are harmed by
unwarranted and arbitrary barriers to trade due to--
`(i) marketing of biotechnology products;
`(iv) other sanitary or phytosanitary concerns.
`(B) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this paragraph $1,000,000 for each of fiscal
years 2003 through 2006.
`(A) COMMODITY CREDIT CORPORATION- The Secretary shall use the funds,
facilities, and authorities of the Commodity Credit Corporation to carry
out this subsection.
`(B) FUNDING AMOUNT- Of the funds of the Commodity Credit Corporation,
the Secretary shall make available to carry out this subsection
$15,000,000 for each of fiscal years 2003 through 2006.'.
SEC. 334. DAIRY EXPORT INCENTIVE PROGRAM.
Section 153(a) of the Food Security Act of 1985 (15 U.S.C. 713a-14(a)) is
amended by striking `2002' and inserting `2006'.
TITLE IV--NUTRITION PROGRAMS
SEC. 401. SHORT TITLE.
This title may be cited as the `Food Stamp Simplification Act of 2001'.
Subtitle A--Food Stamp Program
SEC. 411. CATEGORICAL ELIGIBILITY FOR RECIPIENTS OF CASH ASSISTANCE.
Section 5(a) of the Food Stamp Act of 1977 (7 U.S.C. 2014(a)) is
amended--
(1) in the second sentence, by striking `receives benefits' and
inserting `receives cash assistance'; and
(2) in the third sentence, by striking `receives benefits' and inserting
`receives cash assistance'.
SEC. 412. DISREGARDING OF INFREQUENT AND UNANTICIPATED INCOME.
Section 5(d)(2) of the Food Stamp Act of 1977 (7 U.S.C. 2014(d)(2)) is
amended by striking `$30' and inserting `$100'.
SEC. 413. SIMPLIFIED TREATMENT OF INDIVIDUALS COMPLYING WITH CHILD SUPPORT
ORDERS.
(a) EXCLUSION- Section 5(d)(6) of the Food Stamp Act of 1977 (7 U.S.C.
2014(d)(6)) is amended by adding at the end the following: `including 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,'.
(b) SIMPLIFIED PROCEDURE- Section 5 of the Food Stamp Act of 1977 (7
U.S.C. 2014) is amended--
(1) in subsection (e), by striking paragraph (4) and inserting the
following:
`(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 (7).'; and
(2) by adding at the end the following:
`(n) STATE OPTIONS TO SIMPLIFY DETERMINATION OF CHILD SUPPORT PAYMENTS
MADE BY HOUSEHOLD MEMBERS-
`(1) IN GENERAL- Regardless of whether a State agency elects to provide
a deduction under subsection (e)(4), the Secretary shall establish
simplified procedures to allow State agencies to determine the amount of the
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. 661 et seq.) concerning payments made in prior months in lieu of
obtaining current information from the household.
`(2) DURATION OF DETERMINATION OF AMOUNT OF SUPPORT PAYMENTS- If a State
agency makes a determination of the amount of support payments of a
household under paragraph (1), the amount of the exclusion or deduction for
the household shall not change until the eligibility of the household is
next redetermined under section 11(e)(4).'.
SEC. 414. COORDINATED AND SIMPLIFIED DEFINITION OF INCOME.
Section 5(d) of the Food Stamp Act of 1977 (7 U.S.C. 2014(d)) is
amended--
(1) by striking `and (15)' and inserting `(15)'; and
(2) by inserting before the period at the end the following: `, (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, or the amount of, 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 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. 1381 et seq.), regular payments from a government source (such as
unemployment benefits and general assistance), worker's compensation, 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'.
SEC. 415. EXCLUSION OF INTEREST AND DIVIDEND INCOME.
Section 5(d) of the Food Stamp Act of 1977 (7 U.S.C. 2014(d)) (as amended
by section 414(2)) is amended by inserting before the period at the end the
following: `, and (19) any interest or dividend income received by a member of
the household'.
SEC. 416. ALIGNMENT OF STANDARD DEDUCTION WITH POVERTY LINE.
Section 5(e) of the Food Stamp Act of 1977 (7 U.S.C. 2014(e)) is amended
by striking paragraph (1) and inserting the following:
`(A) IN GENERAL- Subject to the other provisions of this paragraph,
the Secretary shall allow a standard deduction for each household that
is--
`(i) equal to the applicable percentage specified in subparagraph
(D) of the income standard of eligibility established under subsection
(c)(1); but
`(ii) not less than the minimum deduction specified in subparagraph
(E).
`(B) GUAM- The Secretary shall allow a standard deduction for each
household in Guam that is--
`(i) equal to the applicable percentage specified in subparagraph
(D) 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 less than the minimum deduction for Guam specified in
subparagraph (E).
`(C) HOUSEHOLDS OF 6 OR MORE MEMBERS- The income standard of
eligibility established under subsection (c)(1) for a household of 6
members shall be used to calculate the standard deduction for each
household of 6 or more members.
`(D) APPLICABLE PERCENTAGE- For the purpose of subparagraph (A), the
applicable percentage shall be--
`(i) 8 percent for fiscal year 2002;
`(ii) 8.5 percent for each of fiscal years 2003 through
2005;
`(iii) 9 percent for each of fiscal years 2006 through
2008;
`(iv) 9.5 percent for each of fiscal years 2009 and 2010;
and
`(v) 10 percent for each fiscal year thereafter.
`(E) MINIMUM DEDUCTION- The minimum deduction shall be $134, $229,
$189, $269, and $118 for the 48 contiguous States and the District of
Columbia, Alaska, Hawaii, Guam, and the Virgin Islands of the United
States, respectively.'.
SEC. 417. SIMPLIFIED DEPENDENT CARE DEDUCTION.
Section 5(e)(3) of the Food Stamp Act of 1977 (7 U.S.C. 2014(e)(3)) is
amended by adding at the end the following:
`(C) STANDARD DEPENDENT CARE ALLOWANCES-
`(i) ESTABLISHMENT OF ALLOWANCES-
`(I) IN GENERAL- In determining the dependent care deduction under
this paragraph, in lieu of requiring the household to establish the
actual dependent care costs of the household, a State agency may use
standard dependent care allowances established under subclause (II)
for each dependent for whom the household incurs costs for
care.
`(II) AMENDMENT TO STATE PLAN- A State agency that elects to use
standard dependent care allowances under subclause (I) shall submit
for approval by the Secretary an amendment to the State plan of
operation under section 11(d) that--
`(aa) describes the allowances that the State agency will use;
and
`(bb) includes supporting documentation.
`(ii) HOUSEHOLD ELECTION-
`(I) IN GENERAL- Except as provided in clause (iii), a household
may elect to have the dependent care deduction of the household based
on actual dependent care costs rather that the allowances established
under clause (i).
`(II) FREQUENCY- The Secretary may by regulation limit the
frequency with which households may make the election described in
subclause (I) or reverse the election.
`(iii) MANDATORY DEPENDENT CARE ALLOWANCES- The State agency may
make the use of standard dependent care allowances established under
clause (i) mandatory for all households that incur dependent care
costs.'.
SEC. 418. ALTERNATIVE PROCEDURES TO ASSIST ELDERLY AND DISABLED
PERSONS.
Section 5(e)(6) of the Food Stamp Act of 1977 (7 U.S.C. 2014(e)(6)) is
amended--
(1) in subparagraph (A), by striking `A household' and inserting `At the
option of the State agency, a household';
(2) in subparagraph (B)(i), by striking `shall offer an eligible
household under subparagraph (A)' and inserting `that elects to offer a
deduction under subparagraph (A) shall offer an eligible household';
and
(3) by adding at the end the following:
`(C) ALTERNATIVE PROCEDURES TO ASSIST ELDERLY AND DISABLED MEMBERS
WITH MEDICAL EXPENSES- Any State agency that elects not to offer the
deduction under this paragraph shall establish procedures to treat an
application from an elderly or disabled member for an allotment under this
Act as an application for coverage under section 1902(a)(10)(E) of the
Social Security Act (42 U.S.C. 1396a(a)(10)(E)) unless the member declines
the coverage.'.
SEC. 419. SIMPLIFIED DETERMINATION OF HOUSING COSTS.
(a) IN GENERAL- Section 5(e)(7) of the Food Stamp Act of 1977 (7 U.S.C.
2014(e)(7)) is amended--
(1) in subparagraph (A)--
(A) by striking `A household' and inserting the following:
`(i) IN GENERAL- A household'; and
(B) by adding at the end the following:
`(ii) INCLUSION OF CERTAIN PAYMENTS- In determining the shelter
expenses of a household under this paragraph, the State agency shall
include any required payment to the landlord of the household without
regard to whether the required payment is designated to pay specific
charges.'; and
(2) by adding at the end the following:
`(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.
`(ii) INELIGIBILITY- The State agency may make a household with
extremely low shelter costs ineligible for the alternative deduction
under clause (i).'.
(b) CONFORMING AMENDMENTS- Section 5 of the Food Stamp Act of 1977 (7
U.S.C. 2014) is amended--
(A) by striking paragraph (5); and
(B) by redesignating paragraphs (6) and (7) as paragraphs (5) and (6),
respectively; and
(2) in subsection (k)(4)(B), by striking `subsection (e)(7)' and
inserting `subsection (e)(6)'.
SEC. 420. SIMPLIFIED DETERMINATION OF UTILITY COSTS.
Section 5(e)(6)(C)(iii) of the Food Stamp Act of 1977 (as amended by
section 419(b)(1)(B)) is amended--
(1) in subclause (I)(bb), by inserting `(without regard to subclause
(III))' after `Secretary finds'; and
(2) by adding at the end the following:
`(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).'.
SEC. 421. SIMPLIFIED DETERMINATION OF EARNED INCOME.
Section 5(f)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2014(f)(1)) is
amended by adding at the end the following:
`(C) SIMPLIFIED DETERMINATION OF EARNED INCOME-
`(i) IN GENERAL- A State agency may elect to determine monthly
earned income by multiplying weekly income by 4 and biweekly income by
2.
`(ii) ADJUSTMENT OF EARNED INCOME DEDUCTION- A State agency that
makes an election described in clause (i) shall adjust the earned income
deduction under subsection (e)(2)(B) to the extent necessary to prevent
the election from resulting in increased costs to the food stamp
program, as determined consistent with standards promulgated by the
Secretary.'.
SEC. 422. SIMPLIFIED DETERMINATION OF DEDUCTIONS.
Section 5(f)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2014(f)(1)) (as
amended by section 421) is amended by adding at the end the following:
`(D) 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
redetermination 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.'.
SEC. 423. SIMPLIFIED RESOURCE ELIGIBILITY LIMIT.
Section 5(g)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2014(g)(1)) is
amended by striking `a member who is 60 years of age or older' and inserting
`an elderly or disabled member'.
SEC. 424. EXCLUSION OF LICENSED VEHICLES FROM FINANCIAL RESOURCES.
(a) IN GENERAL- Section 5(g)(2) of the Food Stamp Act of 1977 (7 U.S.C.
2014(g)(2)) is amended--
(1) in subparagraph (B)--
(A) in clause (iii), by adding `and' at the end;
(B) by striking clause (iv); and
(C) by redesignating clause (v) as clause (iv);
(2) by striking subparagraph (C) and inserting the following:
`(C) EXCLUDED VEHICLES- The Secretary shall exclude from financial
resources any licensed vehicle used for household transportation.';
and
(3) by striking subparagraph (D).
(b) CONFORMING AMENDMENT- Section 17 of the Food Stamp Act of 1977 (7
U.S.C. 2026) is amended by striking subsection (h).
SEC. 425. EXCLUSION OF RETIREMENT ACCOUNTS FROM FINANCIAL RESOURCES.
Section 5(g)(2)(B) of the Food Stamp Act of 1977 (7 U.S.C. 2014(g)(2)(B))
(as amended by section 424(a)(1)) is amended by striking clause (iv) and
inserting the following:
`(iv) any savings account (other than a retirement account
(including an individual account)).'.
SEC. 426. COORDINATED AND SIMPLIFIED DEFINITION OF RESOURCES.
Section 5(g) of the Food Stamp Act of 1977 (7 U.S.C. 2014(g)) is amended
by adding at the end the following:
`(6) EXCLUSION OF TYPES OF FINANCIAL RESOURCES NOT CONSIDERED UNDER
CERTAIN OTHER FEDERAL PROGRAMS-
`(A) IN GENERAL- Subject to subparagraph (B), the Secretary shall
promulgate regulations under which 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- Subparagraph (A) does not authorize a State agency
to exclude--
`(ii) amounts in any account in a financial institution that are
readily available to the household; or
`(iii) 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 food
stamp program, except to the extent that any of those types of resources
are excluded under another paragraph of this subsection.'.
SEC. 427. ALTERNATIVE ISSUANCE SYSTEMS IN DISASTERS.
Section 5(h)(3)(B) of the Food Stamp Act of 1977 (7 U.S.C. 2014(h)(3)(B))
is amended--
(1) in the first sentence, by inserting `issuance methods and' after
`shall adjust'; and
(2) in the second sentence, by inserting `, any conditions that make
reliance on electronic benefit transfer systems described in section 7(i)
impracticable,' after `personnel'.
SEC. 428. SIMPLIFIED REPORTING SYSTEMS.
Section 6(c)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2015(c)(1)) is
amended--
(1) in subparagraph (B), by striking `monthly' and inserting `periodic';
and
(2) by adding at the end the following:
`(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
standard established under section 5(c)(2).'.
SEC. 429. SIMPLIFIED TIME LIMIT.
(a) IN GENERAL- Section 6(o) of the Food Stamp Act of 1977 (7 U.S.C.
2015(o)) is amended--
(A) by striking `36-month' and inserting `12-month';
(B) by striking `3' and inserting `6'; and
(C) in subparagraph (D), by striking `(4), (5), or (6)' and inserting
`(4), or (5)';
(2) by striking paragraph (5);
(3) in paragraph (6)(A)(ii)--
(A) in subclause (III), by adding `and' at the end;
(B) in subclause (IV), by striking `; and' and inserting a period;
and
(C) by striking subclause (V); and
(4) by redesignating paragraphs (6) and (7) as paragraphs (5) and (6),
respectively.
(b) IMPLEMENTATION OF AMENDMENTS- For the purpose of implementing the
amendments made by subsection (a), a State agency shall disregard any period
during which an individual received food stamp benefits before the effective
date of this title.
SEC. 430. PRESERVATION OF ACCESS TO ELECTRONIC BENEFITS.
(a) IN GENERAL- Section 7(i)(1) of the Food Stamp Act of 1977 (7 U.S.C.
2016(i)(1)) is amended by adding at the end the following:
`(E) PROTECTION OF THE ELDERLY, THE DISABLED, AND OTHERS HAVING
DIFFICULTY WITH EBT SYSTEMS-
`(i) IN GENERAL- No benefits shall be taken off-line or otherwise
made inaccessible because of inactivity until at least 180 days have
elapsed since a household last accessed the account of the
household.
`(ii) NOTICE TO HOUSEHOLD- In a case in which benefits are taken
off-line or otherwise made inaccessible, the household shall be sent a
notice that--
`(I) explains how to reactivate the benefits; and
`(II) offers assistance if the household is having difficulty
accessing the benefits of the household.'.
(b) APPLICABILITY- The amendment made by subsection (a) shall apply with
respect to each contract to operate an electronic benefit transfer system that
a State agency enters into after the date of enactment of this Act.
SEC. 431. COST-NEUTRALITY FOR ELECTRONIC BENEFIT TRANSFER SYSTEMS.
Section 7(i)(2)(A) of the Food Stamp Act of 1977 (7 U.S.C. 2016(i)(2)(A))
is amended by striking `system to ensure' and all that follows and inserting
`system;'.
SEC. 432. SIMPLIFIED PROCEDURES FOR RESIDENTS OF CERTAIN GROUP
FACILITIES.
(a) IN GENERAL- Section 8 of the Food Stamp Act of 1977 (7 U.S.C. 2017) is
amended by adding at the end the following:
`(f) SIMPLIFIED PROCEDURES FOR RESIDENTS OF CERTAIN GROUP FACILITIES-
`(1) IN GENERAL- At the option of the State agency, allotments for
residents of facilities described in subparagraph (A), (B), or (E) of
section 3(i)(5) may be determined and issued under this subsection in lieu
of subsection (a).
`(2) AMOUNT OF ALLOTMENT- The allotment for each eligible resident
described in paragraph (1) shall be calculated in accordance with
standardized procedures established by the Secretary that take into account
the allotments typically received by residents of facilities described in
paragraph (1).
`(3) ISSUANCE OF ALLOTMENT-
`(A) IN GENERAL- The State agency shall issue an allotment determined
under this subsection to the administration of a facility described in
paragraph (1) as the authorized representative of the residents of the
facility.
`(B) ADJUSTMENT- The Secretary shall establish procedures to ensure
that a facility described in paragraph (1) 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 facility.
`(4) DEPARTURES OF COVERED RESIDENTS-
`(A) NOTIFICATION- Any facility described in paragraph (1) that
receives an allotment for a resident under this subsection
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--
`(I) is eligible for continued benefits under the food stamp
program; and
`(II) should contact the State agency concerning continuation of
the benefits.
`(B) ISSUANCE TO DEPARTED RESIDENTS- On receiving a notification under
subparagraph (A)(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 food stamp program; and
`(ii) may issue an allotment for the month following the month of
the departure (but not any subsequent month) based on this subsection
unless the departed resident reapplies to participate in the food stamp
program.
`(C) AUTHORIZED DELAY IN ISSUANCE- The State agency may delay issuance
under subparagraph (B)(i) if the State agency lacks sufficient information
on the location of the departed resident to provide the
allotment.
`(D) EFFECT OF REAPPLICATION- If the departed resident reapplies to
participate in the food stamp program, the allotment of the departed
resident shall be determined without regard to this subsection.'.
(b) CONFORMING AMENDMENTS-
(1) Section 3(i) of the Food Stamp Act of 1977 (7 U.S.C. 2012(i)) is
amended--
(A) by striking `(i) `Household' means (1) an' and inserting the
following:
`(i)(1) `Household' means--
(B) in the first sentence, by striking `others, or (2) a group' and
inserting the following: `others; or
(C) in the second sentence, by striking `Spouses' and inserting the
following:
(D) in the third sentence, by striking `Notwithstanding' and inserting
the following:
(E) in paragraph (3) (as designated by subparagraph (D)), by striking
`the preceding sentences' and inserting `paragraphs (1) and (2)';
(F) in the fourth sentence, by striking `In no event' and inserting
the following:
(G) in the fifth sentence, by striking `For the purposes of this
subsection, residents' and inserting the following:
`(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:
(H) in paragraph (5) (as designated by subparagraph (G))--
(i) by striking `Act, or are individuals' and inserting the
following: `Act.
(ii) by striking `such section, temporary' and inserting the
following: `that section.
(iii) by striking `children, residents' and inserting the following:
`children.
(iv) by striking `coupons, and narcotics' and inserting the
following: `coupons.
(v) by striking `shall not' and all that follows and inserting a
period.
(2) Section 5(a) of the Food Stamp Act of 1977 (7 U.S.C. 2014(a)) is
amended by striking `the third sentence of section 3(i)' each place it
appears and inserting `section 3(i)(4)'.
(3) Section 8(e)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2017(e)(1))
is amended by striking `the last sentence of section 3(i)' and inserting
`section 3(i)(5)'.
(4) Section 17(b)(1)(B)(iv)(III)(aa) of the Food Stamp Act of 1977 (7
U.S.C. 2026(b)(1)(B)(iv)(III)(aa)) is amended by striking
`the last 2 sentences of section 3(i)' and inserting `paragraphs (4) and (5)
of section 3(i)'.
SEC. 433. SIMPLIFIED DETERMINATIONS OF CONTINUING ELIGIBILITY.
(a) IN GENERAL- Section 11(e) of the Food Stamp Act of 1977 (7 U.S.C.
2020(e)) is amended--
(1) by striking paragraph (4) and inserting the following:
`(4)(A) that the State agency shall periodically require each household
to cooperate in a redetermination of the eligibility of the household.
`(B) A redetermination under subparagraph (A) shall--
`(i) be based on information supplied by the household; and
`(ii) conform to standards established by the Secretary.
`(C) The interval between redeterminations of eligibility under
subparagraph (A) shall not exceed the eligibility review period;' and
(A) by striking `within the household's certification period';
and
(B) by striking `or until' and all that follows through `occurs
earlier'.
(b) CONFORMING AMENDMENTS-
(1) Section 3(c) of the Food Stamp Act of 1977 (7 U.S.C. 2012(c)) is
amended--
(A) by striking `Certification period' and inserting `Eligibility
review period'; and
(B) by striking `certification period' each place it appears and
inserting `eligibility review period'.
(2) Section 5 of the Food Stamp Act of 1977 (7 U.S.C. 2014) is
amended--
(A) in subsection (d)(2), by striking `in the certification period
which' and inserting `that'; and
(B) in subsection (e) (as amended by section 419(b)(1)(B))--
(i) in paragraph (5)(B)(ii)--
(I) in subclause (II), by striking `certification period' and
inserting `eligibility review period'; and
(II) in subclause (III), by striking `has been anticipated for the
certification period' and inserting `was anticipated when the
household applied or at the most recent redetermination of eligibility
for the household'; and
(ii) in paragraph (6)(C)(iii)(II), by striking `the end of a
certification period' and inserting `each redetermination of the
eligibility of the household'.
(3) Section 6 of the Food Stamp Act of 1977 (7 U.S.C. 2015) is
amended--
(A) in subsection (c)(1)(C)(iv), by striking `certification period'
each place it appears and inserting `interval between required
redeterminations of eligibility'; and
(B) in subsection (d)(1)(D)(v)(II), by striking `a certification
period' and inserting `an eligibility review period'.
(4) Section 8(c) of the Food Stamp Act of 1977 (7 U.S.C. 2017(c)) is
amended--
(A) in the second sentence of paragraph (1), by striking `within a
certification period'; and
(B) in paragraph (2)(B), by striking `expiration of' and all that
follows through `during a certification period,' and inserting
`termination of benefits to the household,'.
(5) Section 11(e)(16) of the Food Stamp Act of 1977 (7 U.S.C.
2020(e)(16)) is amended by striking `the certification or recertification'
and inserting `determining the eligibility'.
SEC. 434. SIMPLIFIED APPLICATION PROCEDURES FOR THE ELDERLY AND
DISABLED.
(a) IN GENERAL- Section 11(i) of the Food Stamp Act of 1977 (7 U.S.C.
2020(i)) is amended--
(A) by striking `income shall be informed' and inserting the
following: `income shall be--
(B) by striking `program and be assisted' and inserting the following:
`program;
(C) by striking `office and be certified' and inserting the following:
`office; and
(2) by adding at the end the following:
`(3) DUAL-PURPOSE APPLICATIONS-
`(A) IN GENERAL- Under regulations promulgated by the Secretary after
consultation with the Commissioner of Social Security, a State agency may
enter into a memorandum of understanding with the Commissioner
under
which an application for supplemental security income benefits under title
XVI of the Social Security Act (42 U.S.C. 1381 et seq.) from a household
composed entirely of applicants for or recipients of those benefits shall also
be considered to be an application for benefits under the food stamp program.
`(B) CERTIFICATION; REPORTING REQUIREMENTS- A household covered by a
memorandum of understanding under subparagraph (A)--
`(i) shall be certified based exclusively on information provided to
the Commissioner, including such information as the Secretary shall
require to be collected under the terms of any memorandum of
understanding under this paragraph; and
`(ii) shall not be subject to any reporting requirement under
section 6(c).
`(C) EXCEPTIONS TO VALUE OF ALLOTMENT- The Secretary shall provide by
regulation for such exceptions to section 8(a) as are necessary because a
household covered by a memorandum of understanding under subparagraph (A)
did not complete an application under subsection (e)(2).
`(D) COVERAGE- In accordance with standards promulgated by the
Secretary, a memorandum of understanding under subparagraph (A) need not
cover all classes of applicants and recipients referred to in subparagraph
(A).
`(E) EXEMPTION FROM CERTAIN APPLICATION PROCEDURES- In the case of any
member of a household covered by a memorandum of understanding under
subparagraph (A), the Commissioner shall not be required to comply
with--
`(i) subparagraph (B) or (C) of paragraph (1); or
`(ii) subsection (j)(1)(B).
`(F) RIGHT TO APPLY UNDER REGULAR PROGRAM- The Secretary shall ensure
that each household covered by a memorandum of understanding under
subparagraph (A) is informed that the household may--
`(i)(I) submit an application under subsection (e)(2);
and
`(II) have the eligibility and value of the allotment of the
household under the food stamp program determined without regard to this
paragraph; or
`(ii) decline to participate in the food stamp program.
`(G) TRANSITION PROVISION- Notwithstanding the requirement for the
promulgation of regulations under subparagraph (A), the Secretary may
approve a request from a State agency to enter into a memorandum of
understanding in accordance with this paragraph during the
period--
`(i) beginning on the date of enactment of this paragraph;
and
`(ii) ending on the earlier of--
`(I) the date of promulgation of the regulations;
or
`(II) the date that is 3 years after the date of enactment of this
paragraph.'.
(b) CONFORMING AMENDMENTS- Section 11(j)(1) of the Food Stamp Act of 1977
(7 U.S.C. 2020(j)(1)) is amended--
(1) by striking `shall be informed' and inserting the following: `shall
be--
(2) by striking `program and informed' and inserting the following:
`program; and
SEC. 435. TRANSITIONAL FOOD STAMPS FOR FAMILIES MOVING FROM WELFARE.
(a) IN GENERAL- Section 11 of the Food Stamp Act of 1977 (7 U.S.C. 2020)
is amended by adding at the end the following:
`(s) TRANSITIONAL BENEFITS OPTION-
`(1) IN GENERAL- A State agency may provide transitional food stamp
benefits 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.).
`(2) TRANSITIONAL BENEFITS PERIOD- Under paragraph (1), a household may
continue to receive food stamp benefits for a period of not more than 6
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 food stamp benefits
equal to the allotment received in the month immediately preceding the date
on which cash assistance was terminated, adjusted for--
`(A) the change in household income as a result of the termination of
cash assistance; and
`(B) any changes in circumstances that may result in an increase in
the food stamp allotment of the household and that the household elects to
report.
`(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 redetermination of
eligibility to receive an authorization card; and
`(B) initiate a new eligibility review period for the household
without regard to whether the preceding eligibility review 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.'.
(b) CONFORMING AMENDMENTS-
(1) Section 3(c) of the Food Stamp Act of 1977 (7 U.S.C. 2012(c)) is
amended by adding at the end the following: `The limits specified in this
section may be extended until the end of any transitional benefit period
established under section 11(s).'.
(2) Section 6(c) of the Food Stamp Act of 1977 (7 U.S.C. 2015(c)) is
amended by striking `No household' and inserting `Except in a case in which
a household is receiving transitional benefits during the transitional
benefits period under section 11(s), no household'.
SEC. 436. QUALITY CONTROL.
(a) IN GENERAL- Section 16(c) of the Food Stamp Act of 1977 (7 U.S.C.
2025(c)) is amended--
(1) in paragraph (1), by striking `Under such system' and all that
follows and inserting the following: `The system referred to in the
preceding sentence shall have the following elements:
`(A) CORRECTIVE ACTION PLANS- The Secretary shall foster management
improvements by the States by requiring State agencies to develop and
implement corrective action plans to reduce payment errors.
`(B) INVESTIGATION AND INITIAL SANCTIONS-
`(i) INVESTIGATION- Except as provided under subparagraph (C), for
any fiscal year in which the Secretary determines that a 95 percent
statistical probability exists that the payment error rate of a State
agency exceeds the national performance measure for payment error rates
announced under paragraph (6) by more than 1 percentage point, other
than for good cause shown, the Secretary shall investigate the
administration by the State agency of the food stamp program unless the
Secretary determines that sufficient information is already
available.
`(ii) INITIAL SANCTIONS- If an investigation under clause (i)
results in a determination that the State agency has been seriously
negligent (as determined under standards promulgated by the Secretary),
the State agency shall pay the Secretary an amount that reflects the
extent of such negligence (as determined under standards promulgated by
the Secretary), not to exceed 5 percent of the amount provided to the
State agency under subsection (a) for the fiscal year.
`(C) ADDITIONAL SANCTIONS- If, for any fiscal year, the Secretary
determines that a 95 percent statistical probability exists that the
payment error rate of a State agency exceeds the national performance
measure for payment error rates announced under paragraph (6) by more than
1 percentage point, other than for good cause shown, and that the State
agency was sanctioned under this paragraph or was the subject of an
investigation under subparagraph (B)(i) for each of the 2 immediately
preceding fiscal years, the State agency shall pay to the Secretary an
amount equal to the product obtained by multiplying--
`(i) the value of all allotments issued by the State agency in the
fiscal year;
`(aa) the amount by which the payment error rate of the State agency
for the fiscal year exceeds by more than 1 percentage point the national
performance measure for the fiscal year; bears to
`(bb) 10 percent; or
`(iii) the amount by which the payment error rate of the State
agency for the fiscal year exceeds by more than 1 percentage point the
national performance measure for the fiscal year.';
(2) in paragraph (2)(A), by inserting before the semicolon the
following: `, as adjusted downward as appropriate under paragraph
(10)';
(3) in the first sentence of paragraph (4), by striking `, enhanced
administrative funding,' and all that follows and inserting `under this
subsection, high performance bonus payment under paragraph (11), or claim
for payment error under paragraph (1).';
(4) in the first sentence of paragraph (5), by striking `to establish'
and all that follows and inserting the following: `to establish the payment
error rate for the State agency for the fiscal year, to comply with
paragraph (10), and to determine the amount of any high performance bonus
payment of the State agency under paragraph (11) or claim under paragraph
(1).';
(5) in the first sentence of paragraph (6), by striking `incentive
payments or claims pursuant to paragraphs (1)(A) and (1)(C),' and inserting
`claims under paragraph (1),'; and
(6) by adding at the end the following:
`(10) ADJUSTMENTS OF PAYMENT ERROR RATE-
`(i) FISCAL YEAR 2002- Subject to clause (ii), for fiscal year 2002,
in applying paragraph (1), the Secretary shall adjust the payment error
rate determined under paragraph (2)(A) as necessary to eliminate any
increases in errors that result from the State agency's serving a higher
percentage of households with earned income, households with 1 or more
members who are not
United States citizens, or both, than the lesser of, as the case may be--
`(I) the percentage of households of the corresponding type that
receive food stamps nationally; or
`(II) the percentage of--
`(aa) households with earned income that received food stamps in the
State in fiscal year 1992; or
`(bb) households with members who are not United States citizens that
received food stamps in the State in fiscal year 1998.
`(ii) EXPANDED APPLICABILITY TO STATE AGENCIES SUBJECT TO SANCTIONS-
In the case of a State agency subject to sanctions for fiscal year 2001
or any fiscal year thereafter under paragraph (1), the adjustments
described in clause (i) shall apply to the State agency for the fiscal
year.
`(B) CONTINUATION OR MODIFICATION OF ADJUSTMENTS- For fiscal year 2003
and each fiscal year thereafter, the Secretary may determine whether the
continuation or modification of the adjustments described in subparagraph
(A)(i) or the substitution of other adjustments is most consistent with
achieving the purposes of this Act.'.
(b) CONFORMING AMENDMENT- Section 22(h) of the Food Stamp Act of 1977 (7
U.S.C. 2031(h)) is amended by striking the last sentence.
(c) APPLICABILITY- Except as otherwise provided in the amendments made by
subsection (a), the amendments made by subsection (a) shall apply to fiscal
year 2001 and each fiscal year thereafter.
SEC. 437. IMPROVEMENT OF CALCULATION OF STATE PERFORMANCE MEASURES.
Section 16(c)(8)(C) of the Food Stamp Act of 1977 (7 U.S.C. 2025(c)(8)(C))
is amended by striking `30 days thereafter' and inserting `the first June 30
after the end of the fiscal year referred to in subparagraph (A)'.
SEC. 438. BONUSES FOR STATES THAT DEMONSTRATE HIGH PERFORMANCE.
(a) IN GENERAL- Section 16(c) of the Food Stamp Act of 1977 (7 U.S.C.
2025(c)) (as amended by section 436(a)(6)) is amended--
(1) in the first sentence of paragraph (1), by striking `enhanced
administrative funding to States with the lowest error rates.' and inserting
`bonus payments to States that demonstrate high levels of performance.';
and
(2) by adding at the end the following:
`(11) HIGH PERFORMANCE BONUS PAYMENTS-
`(A) IN GENERAL- For each fiscal year, the Secretary shall--
`(i) measure the performance of each State agency with respect to
each of the performance measures specified in subparagraph (B);
and
`(ii) subject to subparagraph (D), make high performance bonus
payments to the State agencies with the highest achievement with respect
to those performance measures.
`(B) PERFORMANCE MEASURES- The performance measures specified in this
subparagraph are--
`(i)(I) the greatest dollar amount of total claims collected in the
fiscal year as a proportion of the overpayment dollar amount in the
previous fiscal year; and
`(II) the greatest percentage point improvement under clause (i)(I)
from the previous fiscal year to the fiscal year;
`(ii) the greatest improvement from the previous fiscal year to the
fiscal year in the ratio, expressed as a percentage, that--
`(I) the number of households in the State that--
`(aa) have incomes less than 130 percent of the poverty line (as
defined in section 673 of the Community Services Block Grant Act (42 U.S.C.
9902));
`(bb) are eligible for food stamp benefits; and
`(cc) receive food stamps benefits; bears to
`(II) the number of households in the State that--
`(aa) have incomes less than 130 percent of the poverty line (as so
defined); and
`(bb) are eligible for food stamp benefits;
`(iii) the lowest overpayment error rate;
`(iv) the greatest percentage point improvement from the previous
fiscal year to the fiscal year in the overpayment error
rate;
`(v) the lowest negative error rate;
`(vi) the greatest percentage point improvement from the previous
year to the fiscal year in the negative error rate;
`(vii) the lowest underpayment error rate;
`(viii) the greatest percentage point improvement from the previous
year to the fiscal year in the underpayment error rate;
`(ix) the greatest percentage of new applications processed within
the deadlines established under paragraphs (3) and (9) of section 11(e);
and
`(x) the least average period of time needed to process applications
under paragraphs (3) and (9) of section 11(e).
`(C) HIGH PERFORMANCE BONUS PAYMENTS-
`(i) DEFINITION OF CASELOAD- In this subparagraph, the term
`caseload' has the meaning given the term in section
6(o)(5)(A).
`(ii) AMOUNT OF PAYMENTS-
`(I) IN GENERAL- For each fiscal year, the Secretary
shall--
`(aa) make 1 high performance bonus payment of $10,000,000 for each
of the 10 performance measures under subparagraph (B); and
`(bb) allocate the high performance bonus payment with respect to
each performance measure in accordance with subclauses (II) and (III).
`(II) PAYMENT FOR PERFORMANCE MEASURE CONCERNING CLAIMS COLLECTED-
For each fiscal year, the Secretary shall allocate the high
performance bonus payment made for the performance measure under
subparagraph (B)(i) among the 20 State agencies with the highest
performance
in the performance measure in the ratio that--
`(aa) the caseload of each such State agency; bears to
`(bb) the caseloads of all such State agencies.
`(III) PAYMENTS FOR OTHER PERFORMANCE MEASURES- For each fiscal
year, the Secretary shall allocate the high performance bonus payment
made for the performance measure under each of clauses (ii) through
(x) of subparagraph (B) among the 10 State agencies with the highest
performance in the performance measure in the ratio
that--
`(aa) the caseload of each such State agency; bears to
`(bb) the caseloads of all such State agencies.
`(iii) DETERMINATION OF HIGHEST PERFORMERS-
`(I) IN GENERAL- In determining the highest performers under
clause (ii), the Secretary shall calculate applicable percentages to 2
decimal places.
`(II) DETERMINATION IN EVENT OF A TIE- If, under subclause (I), 2
or more State agencies have the same percentage with respect to a
performance measure, the Secretary shall calculate the percentage for
the performance measure to as many decimal places as are necessary to
determine which State agency has the greatest
percentage.
`(D) LIMITATIONS FOR STATE AGENCIES SUBJECT TO SANCTIONS- If, for any
fiscal year, a State agency is subject to a sanction under paragraph
(1)--
`(i) the State agency shall not be eligible for a high performance
bonus payment under clause (iii), (iv), (vii), or (viii) of subparagraph
(B) for the fiscal year; and
`(ii) the State agency shall not receive a high performance bonus
payment for which the State agency is otherwise eligible under this
paragraph for the fiscal year until the obligation of the State agency
under the sanction has been satisfied (as determined by the
Secretary).
`(E) PAYMENTS NOT SUBJECT TO JUDICIAL REVIEW- A determination by the
Secretary whether, and in what amount, to make a high performance bonus
payment under this paragraph shall not be subject to judicial
review.'.
(b) APPLICABILITY- The amendment made by subsection (a) shall apply to
fiscal year 2003 and each fiscal year thereafter.
SEC. 439. SIMPLIFIED FUNDING RULES FOR EMPLOYMENT AND TRAINING
PROGRAMS.
(a) LEVELS OF FUNDING- Section 16(h)(1) of the Food Stamp Act of 1977 (7
U.S.C. 2025(h)(1)) is amended--
(1) in subparagraph (A)--
(A) by striking `, to remain available until expended,'; and
(B) by striking clause (vii) and inserting the following:
`(vii) to remain available until expended--
`(I) for fiscal year 2002, $122,000,000;
`(II) for fiscal year 2003, $129,000,000;
`(III) for fiscal year 2004, $135,000,000;
`(IV) for fiscal year 2005, $142,000,000; and
`(V) for fiscal year 2006, $149,000,000.';
(2) by striking subparagraph (B) and inserting the following:
`(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).'; and
(3) by striking subparagraphs (E) through (G).
(b) RESCISSION OF CARRYOVER FUNDS- Notwithstanding any other provision of
law, funds provided under section 16(h)(1)(A) of the Food Stamp Act of 1977 (7
U.S.C. 2025(h)(1)(A)) for any fiscal year before fiscal year 2002 shall cease
to be available on the date of enactment of this Act, unless obligated by a
State agency before that date.
(c) PARTICIPANT EXPENSES- Section 6(d)(4)(I)(i)(I) of the Food Stamp Act
of 1977 (7 U.S.C. 2015(d)(4)(I)(i)(I)) is amended by striking `$25 per month'
and inserting `an amount not less than $25 per month'.
(d) FEDERAL REIMBURSEMENT- Section 16(h)(3) of the Food Stamp Act of 1977
(7 U.S.C. 2025(h)(3)) is amended by striking `$25' and inserting `the limit
established by the State agency under section 6(d)(4)(I)(i)(I)'.
SEC. 440. REAUTHORIZATION OF FOOD STAMP PROGRAM.
(a) REDUCTIONS IN PAYMENTS FOR ADMINISTRATIVE COSTS- Section 16(k)(3) of
the Food Stamp Act of 1977 (7 U.S.C. 2025(k)(3)) is amended--
(1) in the first sentence of subparagraph (A), by striking `2002' and
inserting `2006'; and
(2) in subparagraph (B)(ii), by striking `2002' and inserting
`2006'.
(b) CASH PAYMENT PILOT PROJECTS- Section 17(b)(1)(B)(vi) of the Food Stamp
Act of 1977 (7 U.S.C.
2026(b)(1)(B)(vi)) is amended by striking `2002' and inserting `2006'.
(c) GRANTS TO IMPROVE FOOD STAMP PARTICIPATION- Section 17(i)(1)(A) of the
Food Stamp Act of 1977 (7 U.S.C. 2026(i)(1)(A)) is amended in the first
sentence by striking `2002' and inserting `2006'.
(d) AUTHORIZATION OF APPROPRIATIONS- Section 18(a)(1) of the Food Stamp
Act of 1977 (7 U.S.C. 2027(a)(1)) is amended in the first sentence by striking
`2002' and inserting `2006'.
SEC. 441. EXPANDED GRANT AUTHORITY.
Section 17(a)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2026(a)(1)) is
amended--
(1) by striking `, by way of making' and inserting `make';
(2) by striking `agencies,' and inserting `agencies under this section
to'; and
(3) by adding at the end the following: `The waiver authority of the
Secretary under subsection (b) shall extend to all contracts and grants
under this section.'.
SEC. 442. EXEMPTION OF WAIVERS FROM COST-NEUTRALITY REQUIREMENT.
Section 17(b)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2026(b)(1)) is
amended by adding at the end the following:
`(i) REQUIREMENTS FOR WAIVERS-
`(I) ESTIMATION OF COSTS AND SAVINGS OF WAIVERS- Before approving
a waiver for any demonstration project proposed under this subsection,
the Secretary shall estimate the costs or savings likely to result
from the waiver.
`(II) APPROVAL OF WAIVERS- The Secretary shall not approve any
waiver that the Secretary estimates will increase costs to the Federal
Government unless--
`(aa) exigent circumstances require the approval of the
waiver;
`(bb) the increase in costs is insignificant; or
`(cc) the increase in costs is necessary for a designated research
demonstration project under clause (ii).
`(III) MULTIYEAR COST NEUTRALITY- A waiver shall not be considered
to increase costs to the Federal Government based on the impact of the
waiver in any 1 fiscal year if the waiver is not expected to increase
costs to the Federal Government over any 3-fiscal year period that
includes the fiscal year.
`(ii) EXEMPTION FROM COST-NEUTRALITY REQUIREMENT FOR CERTAIN
PROJECTS-
`(I) IN GENERAL- For each fiscal year, the Secretary may designate
research demonstration projects that--
`(aa) have a substantial likelihood of producing information on
important issues of food stamp program design or operation; and
`(bb) the Secretary estimates are likely to increase costs to the
Federal Government by a total of not more than $50,000,000 during the period of
fiscal years 2002 through 2006.
`(II) EXEMPTION- A project described in subclause (I) shall be
exempt from clause (i).
`(iii) OFFSETS IN OTHER PROGRAMS- In making determinations of costs
to the Federal Government under this subparagraph, the Secretary shall
estimate and consider savings to the Federal Government in other
programs in such a manner as the Secretary determines to be
appropriate.
`(iv) NO LOOK-BACK- The Secretary shall not be required to adjust
any estimate made under this subparagraph to reflect the actual costs of
a demonstration project as implemented by a State agency.'.
SEC. 443. PROGRAM SIMPLIFICATION DEMONSTRATION PROJECTS.
(a) ENHANCED WAIVER AUTHORITY- Section 17 of the Food Stamp Act of 1977 (7
U.S.C. 2026) is amended by striking subsection (e) and inserting the
following:
`(e) PROGRAM SIMPLIFICATION DEMONSTRATION PROJECTS-
`(1) IN GENERAL- With the approval of the Secretary, not more than 5
State agencies may carry out demonstration projects to test, for a period of
not more than 3 years, promising approaches to simplifying the food stamp
program.
`(2) TYPES OF DEMONSTRATION PROJECTS- Each demonstration project under
paragraph (1) shall test changes in food stamp program rules in not more
than 1 of the following 2 areas:
`(A)(i) Reporting requirements under section 6(c).
`(ii) Verification methods under section 11(e)(3) (including reliance
on data from preceding periods that can be obtained or verified
electronically).
`(iii) A combination of reporting requirements and verification
methods.
`(B) The income standard of eligibility established under section
5(c)(1), deductions under section 5(e), and income budgeting procedures
under section 5(f).
`(3) SELECTION OF DEMONSTRATION PROJECTS-
`(A) IN GENERAL- The Secretary shall establish a competitive process
to select, from all projects proposed by State agencies, the demonstration
projects to be carried out under this subsection based on which projects
have the greatest likelihood of producing useful information on important
issues of food stamp program design or operation, as determined by the
Secretary.
`(B) GOALS- In selecting demonstration projects, the Secretary shall
seek, at a minimum, to achieve a balance between--
`(i) simplifying the food stamp program;
`(ii) reducing administrative burdens on State agencies, households,
and other individuals and entities;
`(iii) providing nutrition assistance to individuals most in need;
and
`(iv) improving access to nutrition assistance.
`(C) PROJECTS NOT ELIGIBLE FOR SELECTION- The Secretary shall not
select any demonstration project under this subsection that the Secretary
determines does not have a strong likelihood of producing useful
information on important issues of food stamp program design or
operation.
`(D) DIVERSITY OF APPROACHES AND AREAS- In selecting demonstration
projects to be carried out under this subsection, the Secretary shall seek
to include--
`(i) projects that take diverse approaches;
`(ii) at least 1 project that will operate in an urban area;
and
`(iii) at least 1 project that will operate in a rural
area.
`(E) MAXIMUM AGGREGATE COST OF PROJECTS- The estimated aggregate cost
of projects selected by the Secretary under this subsection shall not
exceed $90,000,000.
`(4) SIZE OF AREA- Each demonstration project selected under this
subsection shall be carried out in an area that contains not more than the
greater of--
`(A) one-third of the total households receiving allotments in the
State; or
`(B) the minimum number of households needed to measure the effects of
the demonstration projects.
`(A) IN GENERAL- The Secretary shall provide, through contract or
other means, for detailed, statistically valid evaluations to be conducted
of each demonstration project carried out under this subsection.
`(B) MINIMUM REQUIREMENTS- Each evaluation under subparagraph
(A)--
`(i) shall include the study of control groups or areas;
and
`(ii) shall analyze, at a minimum, the effects of the project design
on--
`(I) costs of the food stamp program;
`(II) State administrative costs;
`(III) the integrity of the food stamp program, including errors
as measured under section 16(c);
`(IV) participation by households in need of nutrition assistance;
and
`(V) changes in allotment levels experienced by--
`(aa) households of various income levels;
`(bb) households with elderly, disabled, and employed
members;
`(cc) households with high shelter costs relative to the incomes of
the households; and
`(dd) households receiving subsidized housing, child care, or health
insurance.
`(C) FUNDING- From funds made available to carry out this Act, the
Secretary shall reserve not more than $6,000,000 to conduct evaluations
under this paragraph.
`(6) REPORT TO CONGRESS- Not later than January 1, 2006, the Secretary
shall submit to Congress a report on the impact of the demonstration
projects carried out under this subsection on the food stamp program,
including the effectiveness of the demonstration projects in--
`(A) delivering nutrition assistance to households most at risk;
and
`(B) reducing administrative burdens.'.
(b) CONFORMING AMENDMENT- Section 17(b)(1)(B)(iv)(III)(ii) of the Food
Stamp Act of 1977 (7 U.S.C. 2026(b)(1)(B)(iv)(III)(ii)) is amended by striking
`paragraph' and inserting `section'.
SEC. 444. CONSOLIDATED BLOCK GRANTS.
(a) CONSOLIDATED FUNDING- Section 19(a)(1) of the Food Stamp Act of 1977
(7 U.S.C. 2028(a)(1)) is amended--
(1) in subparagraph (A)--
(A) by striking `the Commonwealth of Puerto Rico' and inserting
`governmental entities specified in subparagraph (D)';
(B) in clause (ii), by striking `and' at the end; and
(C) by striking clause (iii) and all that follows and inserting the
following:
`(iii) for fiscal year 2002, $1,356,000,000; and
`(iv) for each of fiscal years 2003 through 2006, the amount provided in
clause (iii), as adjusted by the percentage by which the thrifty food plan
has been adjusted under section 3(o)(4) between June 30, 2001, and June 30
of the immediately preceding fiscal year;
to pay the expenditures for nutrition assistance programs for needy
persons as described in subparagraphs (B) and (C).';
(2) in subparagraph (B), by inserting `of Puerto Rico' after
`Commonwealth' each place it appears; and
(3) by adding at the end the following:
`(C) AMERICAN SAMOA- For each fiscal year, the Secretary shall reserve
0.4 percent of the funds made available under subparagraph (A) for payment
to American Samoa to pay the expenditures for a nutrition assistance
program extended under section 601(c) of Public Law 96-597 (48 U.S.C.
1469d(c)).
`(D) GOVERNMENTAL ENTITY- A governmental entity specified in this
subparagraph is--
`(i) the Commonwealth of Puerto Rico; and
`(ii) for fiscal year 2003 and each fiscal year thereafter, American
Samoa.'.
(b) CONFORMING AMENDMENT- Section 24 of the Food Stamp Act of 1977 (7
U.S.C. 2033) is repealed.
(c) EFFECTIVE DATE- The amendments made by this section take effect on
October 1, 2002.
SEC. 445. EXPANDED AVAILABILITY OF COMMODITIES.
Section 27(a) of the Food Stamp Act of 1977 (7 U.S.C. 2036(a)) is
amended--
(1) by striking `From amounts' and inserting the following:
`(1) IN GENERAL- From amounts';
(2) by striking `for each of fiscal years 1997 through 2002, the
Secretary shall purchase $100,000,000 of' and inserting `the Secretary shall
use the amount specified in paragraph (2) to purchase'; and
(3) by adding at the end the following:
`(2) AMOUNTS- The amounts specified in this paragraph are--
`(A) for each of fiscal years 1997 through 2001, $100,000,000;
and
`(B) for each of fiscal years 2002 through 2006,
$140,000,000.'.
Subtitle B--Miscellaneous Provisions
SEC. 451. REAUTHORIZATION OF COMMODITY PROGRAMS.
(a) COMMODITY DISTRIBUTION PROGRAM- Section 4(a) of the Agriculture and
Consumer Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93-86) is
amended in the first sentence by striking `2002' and inserting `2006'.
(b) COMMODITY SUPPLEMENTAL FOOD PROGRAM- Section 5 of the Agriculture and
Consumer Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93-86) is
amended in subsections (a)(2) and (d)(2) by striking `2002' each place it
appears and inserting `2006'.
(c) DISTRIBUTION OF SURPLUS COMMODITIES TO SPECIAL NUTRITION PROJECTS-
Section 1114(a)(2)(A) of the Agriculture and Food Act of 1981 (7 U.S.C.
1431e(2)(A)) is amended in the first sentence by striking `2002' and inserting
`2006'.
(d) EMERGENCY FOOD ASSISTANCE- Section 204(a)(1) of the Emergency Food
Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) is amended in the first
sentence--
(1) by striking `2002' and inserting `2006';
(2) by striking `administrative'; and
(3) by inserting `storage,' after `processing,'.
SEC. 452. WORK REQUIREMENT FOR LEGAL IMMIGRANTS.
(a) WORKING IMMIGRANT FAMILIES- Section 402(a)(2)(B)(ii)(I) of the
Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (8
U.S.C. 1612(a)(2)(B)(ii)(I)) is amended by striking `40' and inserting `40
(or, in the case of the specified Federal program described in paragraph
(3)(B), 16)'.
(b) CONFORMING AMENDMENTS-
(1) Section 213A(a)(3)(A) of the Immigration and Nationality Act (8
U.S.C. 1183a(a)(3)(A)) is amended by striking `40' and inserting `40 (or, in
the case of the specified Federal program described in section 402(a)(3)(B)
of the Personal Responsibility and Work Opportunity Reconciliation Act of
1996 (8 U.S.C. 1612(a)(3)(B)), 16)'.
(2) Section 403(c)(2) of the Personal Responsibility and Work
Opportunity Reconciliation Act of 1996 (8 U.S.C. 1613(c)(2)) is amended by
adding at the end the following:
`(L) Assistance or benefits under the Food Stamp Act of 1977 (7 U.S.C.
2011 et seq.).'.
(3) Section 421(b)(2)(A) of the Personal Responsibility and Work
Opportunity Reconciliation Act of 1996 (8 U.S.C. 1631(b)(2)(A)) is amended
by striking `40' and inserting `40 (or, in the case of the specified Federal
program described in section 402(a)(3)(B), 16)'.
SEC. 453. QUALIFIED ALIENS.
Section 402(a)(2) of the Personal Responsibility and Work Opportunity
Reconciliation Act of 1996 (8 U.S.C. 1612(a)(2)) is amended by adding at the
end the following:
`(L) FOOD STAMP EXCEPTION FOR CERTAIN QUALIFIED ALIENS- With respect
to eligibility for benefits for the specified Federal program described in
paragraph (3)(B), paragraph (1) shall not apply to any individual who has
continuously resided in the United States as a qualified alien for a
period of 5 years or more.'.
SEC. 454. CONGRESSIONAL HUNGER FELLOWS PROGRAM.
(a) SHORT TITLE- This section may be cited as the `Congressional Hunger
Fellows Act of 2001'.
(b) FINDINGS- Congress finds that--
(A) a critical need for compassionate individuals who are committed to
assisting people who suffer from hunger; and
(B) a need for those individuals to initiate and administer solutions
to the hunger problem;
(2) Bill Emerson, the distinguished late Representative from the 8th
District of Missouri, demonstrated--
(A) his commitment to solving the problem of hunger in a bipartisan
manner;
(B) his commitment to public service; and
(C) his great affection for the institution and the ideals of
Congress;
(3) George T. (Mickey) Leland, the distinguished late Representative
from the 18th District of Texas, demonstrated--
(A) his compassion for individuals in need;
(B) his high regard for public service; and
(C) his lively exercise of political talents;
(4) the special concern that Mr. Emerson and Mr. Leland demonstrated
during their lives for the hungry and poor was an inspiration for others to
work toward the goals of equality and justice for all; and
(5) since those 2 outstanding leaders maintained a special bond of
friendship regardless of political affiliation and worked together to
encourage future leaders to recognize and provide service to others, it is
especially appropriate to honor the memory of Mr. Emerson and Mr. Leland by
establishing a fellowship program to develop and train the future leaders of
the United States to pursue careers in humanitarian service.
(c) DEFINITIONS- In this section:
(1) APPROPRIATE CONGRESSIONAL COMMITTEES- The term `appropriate
congressional committees' means--
(A) the Committee on Agriculture and the Committee on International
Relations of the House of Representatives; and
(B) the Committee on Agriculture, Nutrition, and Forestry and the
Committee on Foreign Relations of the Senate.
(2) BOARD- The term `Board' means the Board of Trustees of the
Program.
(3) FUND- The term `Fund' means the Congressional Hunger Fellows Trust
Fund established by subsection (g).
(4) PROGRAM- The term `Program' means the Congressional Hunger Fellows
Program established by subsection (d).
(d) ESTABLISHMENT- There is established as an independent entity of the
legislative branch of the United States Government an entity to be known as
the `Congressional Hunger Fellows Program'.
(1) IN GENERAL- The Program shall be subject to the supervision and
direction of a Board of Trustees.
(2) MEMBERS OF THE BOARD-
(i) IN GENERAL- The Board shall be composed of 6 voting members
appointed under clause (ii) and 1 nonvoting ex-officio member designated
by clause (iii).
(ii) VOTING MEMBERS- The voting members of the Board shall be the
following:
(I) 2 members appointed by the Speaker of the House of
Representatives.
(II) 1 member appointed by the minority leader of the House of
Representatives.
(III) 2 members appointed by the majority leader of the
Senate.
(IV) 1 member appointed by the minority leader of the
Senate.
(iii) NONVOTING MEMBER- The Executive Director of the Program shall
serve as a nonvoting ex-officio member of the Board.
(i) IN GENERAL- Each member of the Board shall serve for a term of 4
years.
(ii) INCOMPLETE TERM- If a member of the Board does not serve the
full term of the member, the individual appointed to fill the resulting
vacancy shall be appointed for the remainder of the term of the
predecessor of the individual.
(C) VACANCY- A vacancy on the Board--
(i) shall not affect the powers of the Board; and
(ii) shall be filled in the same manner as the original appointment
was made.
(D) CHAIRPERSON- As the first order of business of the first meeting
of the Board, the members shall elect a Chairperson.
(i) IN GENERAL- Subject to clause (ii), a member of the Board shall
not receive compensation for service on the Board.
(ii) TRAVEL- A member of the Board 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
Board.
(i) ESTABLISHMENT- The Board shall establish such bylaws and other
regulations as are appropriate to enable the Board to carry out this
section, including the duties described in this paragraph.
(ii) CONTENTS- Bylaws and other regulations established under clause
(i) shall include provisions--
(I) for appropriate fiscal control, accountability for funds, and
operating principles;
(II) to prevent any conflict of interest, or the appearance of any
conflict of interest, in--
(aa) the procurement and employment actions taken by the Board or by
any officer or employee of the Board; and
(bb) the selection and placement of individuals in the fellowships
developed under the Program;
(III) for the resolution of a tie vote of the members of the
Board; and
(IV) for authorization of travel for members of the
Board.
(iii) SUBMISSION TO CONGRESS- Not later than 90 days after the date
of the first meeting of the Board, the Chairperson of the Board shall
submit to the appropriate congressional committees a copy of the bylaws
established by the Board.
(B) BUDGET- For each fiscal year in which the Program is in
operation--
(i) the Board shall determine a budget for the Program for the
fiscal year; and
(ii) all spending by the Program shall be in accordance with the
budget unless a change is approved by the Board.
(C) PROCESS FOR SELECTION AND PLACEMENT OF FELLOWS- The Board shall
review and approve the process established by the Executive Director for
the selection and placement of individuals in the fellowships developed
under the Program.
(D) ALLOCATION OF FUNDS TO FELLOWSHIPS- The Board shall
determine--
(i) the priority of the programs to be carried out under this
section; and
(ii) the amount of funds to be allocated for the fellowships
established under subsection (f)(3)(A).
(f) PURPOSES; AUTHORITY OF PROGRAM-
(1) PURPOSES- The purposes of the Program are--
(A) to encourage future leaders of the United States to pursue careers
in humanitarian service;
(B) to recognize the needs of people who are hungry and poor;
(C) to provide assistance and compassion for people in need;
(D) to increase awareness of the importance of public service;
and
(E) to provide training and development opportunities for the leaders
through placement in programs operated by appropriate entities.
(2) AUTHORITY- The Program may develop fellowships to carry out the
purposes of the Program, including the fellowships described in paragraph
(3).
(A) IN GENERAL- The Program shall establish and carry out the Bill
Emerson Hunger Fellowship and the Mickey Leland Hunger
Fellowship.
(i) IN GENERAL- The fellowships established under subparagraph (A)
shall provide experience and training to develop the skills and
understanding necessary to improve the humanitarian conditions and the
lives of individuals who suffer from hunger, including--
(I) training in direct service to the hungry in conjunction with
community-based organizations through a program of field placement;
and
(II) experience in policy development through placement in a
governmental entity or nonprofit organization.
(I) BILL EMERSON HUNGER FELLOWSHIP- The Bill Emerson Hunger
Fellowship shall address hunger and other humanitarian needs in the
United States.
(II) MICKEY LELAND HUNGER FELLOWSHIP- The Mickey Leland Hunger
Fellowship shall address international hunger and other humanitarian
needs.
(iii) WORK PLAN- To carry out clause (i) and to assist in the
evaluation of the fellowships under paragraph (4), the Program shall,
for each fellow, approve a work plan that identifies the target
objectives for the fellow in the fellowship, including the specific
duties and responsibilities relating to the objectives.
(C) PERIOD OF FELLOWSHIP-
(i) EMERSON FELLOWSHIP- A Bill Emerson Hunger Fellowship awarded
under this paragraph shall be for a period of not more than 1
year.
(ii) LELAND FELLOWSHIP- A Mickey Leland Hunger Fellowship awarded
under this paragraph shall be for a period of not more than 2 years, of
which not less than 1 year shall be dedicated to fulfilling the
requirement of subparagraph (B)(i)(I).
(D) SELECTION OF FELLOWS-
(i) IN GENERAL- A fellowship shall be awarded through a nationwide
competition established by the Program.
(ii) QUALIFICATION- A successful applicant shall be an individual
who has demonstrated--
(I) an intent to pursue a career in humanitarian service and
outstanding potential for such a career;
(II) leadership potential or leadership experience;
(III) diverse life experience;
(IV) proficient writing and speaking skills;
(V) an ability to live in poor or diverse communities;
and
(VI) such other attributes as the Board determines to be
appropriate.
(I) IN GENERAL- Each individual awarded a fellowship under this
paragraph shall receive a living allowance and, subject to subclause
(II), an end-of-service award as determined by the
Program.
(II) REQUIREMENT FOR SUCCESSFUL COMPLETION OF FELLOWSHIP- Each
individual awarded a fellowship under this paragraph shall be entitled
to receive an end-of-service award at an appropriate rate for each
month of satisfactory service as determined by the Executive
Director.
(iv) RECOGNITION OF FELLOWSHIP AWARD-
(I) EMERSON FELLOW- An individual awarded a Bill Emerson Hunger
Fellowship shall be known as an `Emerson Fellow'.
(II) LELAND FELLOW- An individual awarded a Mickey Leland Hunger
Fellowship shall be known as a `Leland Fellow'.
(A) IN GENERAL- The Program shall conduct periodic evaluations of the
Bill Emerson and Mickey Leland Hunger Fellowships.
(B) REQUIRED ELEMENTS- Each evaluation shall include--
(i) an assessment of the successful completion of the work plan of
each fellow;
(ii) an assessment of the impact of the fellowship on the
fellows;
(iii) an assessment of the accomplishment of the purposes of the
Program; and
(iv) an assessment of the impact of each fellow on the
community.
(1) ESTABLISHMENT- There is established in the Treasury of the United
States a fund to be known as the `Congressional Hunger Fellows Trust Fund',
consisting of--
(A) amounts appropriated to the Fund under subsection (k);
(B) any amounts earned on investment of amounts in the Fund under
paragraph (2); and
(C) amounts received under subsection (i)(3)(A).
(2) INVESTMENT OF AMOUNTS-
(i) AUTHORITY TO INVEST- The Secretary of the Treasury shall invest
such portion of the Fund as is not, in the judgment of the Secretary of
the Treasury, required to meet current withdrawals.
(ii) TYPES OF INVESTMENTS- Each investment may be made only in an
interest-bearing obligation of the United States or an obligation
guaranteed as to principal and interest by the United States that, as
determined by the Secretary of the Treasury in consultation with the
Board, has a maturity suitable for the Fund.
(B) ACQUISITION OF OBLIGATIONS- For the purpose of investments under
subparagraph (A), obligations may be acquired--
(i) on original issue at the issue price; or
(ii) by purchase of outstanding obligations at the market
price.
(C) SALE OF OBLIGATIONS- Any obligation acquired by the Fund may be
sold by the Secretary of the Treasury at the market price.
(D) CREDITS TO FUND- The interest on, and the proceeds from the sale
or redemption of, any obligations held in the Fund shall be credited to
and form a part of the Fund.
(3) TRANSFERS OF AMOUNTS-
(A) IN GENERAL- The amounts required to be transferred to the Fund
under this subsection shall be transferred at least monthly from the
general fund of the Treasury to the Fund on the basis of estimates made by
the Secretary of the Treasury.
(B) ADJUSTMENTS- Proper adjustment shall be made in amounts
subsequently transferred to the extent prior estimates were in excess of
or less than the amounts required to be transferred.
(h) EXPENDITURES; AUDITS-
(1) IN GENERAL- The Secretary of the Treasury shall transfer to the
Program from the amounts described in subsections (g)(2)(D) and (i)(3)(A)
such sums as the Board determines to be necessary to enable the Program to
carry out this section.
(2) LIMITATION- The Secretary may not transfer to the Program the
amounts appropriated to the Fund under subsection (k).
(3) USE OF FUNDS- Funds transferred to the Program under paragraph (1)
shall be used--
(A) to provide a living allowance for the fellows;
(B) to defray the costs of transportation of the fellows to the
fellowship placement sites;
(C) to defray the costs of appropriate insurance of the fellows, the
Program, and the Board;
(D) to defray the costs of preservice and midservice education and
training of fellows;
(E) to pay staff described in subsection (i);
(F) to make end-of-service awards under subsection (f)(3)(D)(iii)(II);
and
(G) for such other purposes as the Board determines to be appropriate
to carry out the Program.
(4) AUDIT BY COMPTROLLER GENERAL-
(A) IN GENERAL- The Comptroller General of the United States shall
conduct an annual audit of the accounts of the Program.
(B) BOOKS- The Program shall make available to the Comptroller General
all books, accounts, financial records, reports, files, and other papers,
things, or property belonging to or in use by the Program and necessary to
facilitate the audit.
(C) REPORT TO CONGRESS- The Comptroller General shall submit to the
appropriate congressional committees a copy of the results of each audit
under subparagraph (A).
(i) STAFF; POWERS OF PROGRAM-
(A) IN GENERAL- The Board shall appoint an Executive Director of the
Program who shall--
(i) administer the Program; and
(ii) carry out such other functions consistent with this section as
the Board shall prescribe.
(B) RESTRICTION- The Executive Director may not serve as Chairperson
of the Board.
(C) COMPENSATION- The Executive Director shall be paid at a rate not
to exceed the rate payable for level V of the Executive Schedule under
section 5316 of title 5, United States Code.
(A) IN GENERAL- With the approval of a majority of the Board, the
Executive Director may appoint and fix the pay of such additional
personnel as the Executive Director considers necessary to carry out this
section.
(B) COMPENSATION- An individual appointed under subparagraph (A) shall
be paid at a rate not to exceed the rate payable for level GS-15 of the
General Schedule.
(i) IN GENERAL- The Program may solicit, accept, use, and dispose of
gifts, bequests, or devises of services or property, both real and
personal, for the purpose of aiding or facilitating the work of the
Program.
(ii) USE OF GIFTS- Gifts, bequests, or devises of money and proceeds
from
sales of other property received as gifts, bequests, or devises shall--
(I) be deposited in the Fund; and
(II) be available for disbursement on order of the
Board.
(B) PROCUREMENT OF TEMPORARY AND INTERMITTENT SERVICES- To carry out
this section, the Program may procure temporary and intermittent services
in accordance with section 3109(b) of title 5, United States Code, at
rates for individuals that do not exceed the daily equivalent of the
annual rate of basic pay payable for level GS-15 of the General
Schedule.
(C) CONTRACT AUTHORITY- To carry out this section, the Program may,
with the approval of a majority of the members of the Board, contract with
and compensate Government and private agencies or persons without regard
to section 3709 of the Revised Statutes (41 U.S.C. 5).
(D) OTHER NECESSARY EXPENDITURES-
(i) IN GENERAL- Subject to clause (ii), the Program may make such
other expenditures as the Program considers necessary to carry out this
section.
(ii) PROHIBITION- The Program may not expend funds to develop new or
expanded projects at which fellows may be placed.
(j) REPORT- Not later than December 31 of each year, the Board shall
submit to the appropriate congressional committees a report on the activities
of the Program carried out during the preceding fiscal year that includes--
(1) an analysis of the evaluations conducted under subsection (f)(4)
during the fiscal year; and
(A) the total amount of funds attributable to gifts received by the
Program in the fiscal year under subsection (i)(3)(A); and
(B) the total amount of funds described in subparagraph (A) that were
expended to carry out the Program in the fiscal year.
(k) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this section $18,000,000.
(l) EFFECTIVE DATE- This section takes effect on October 1, 2002.
SEC. 455. EFFECTIVE DATE.
Except as otherwise provided in this title, the amendments made by this
title take effect on July 1, 2002, except that a State agency may, at the
option of the State agency, elect not to implement the amendments until
October 1, 2002.
TITLE V--CREDIT
Subtitle A--Farm Ownership Loans
SEC. 501. DIRECT LOANS.
Section 302(b)(1) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1922(b)(1)) is amended by striking `operated' and inserting
`participated in the business operations of'.
SEC. 502. FINANCING OF BRIDGE LOANS.
Section 303(a)(1) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1923(a)(1)) is amended--
(1) in subparagraph (C), by striking `or' at the end;
(2) in subparagraph (D), by striking the period at the end and inserting
`; or'; and
(3) by adding at the end the following:
`(E) refinancing, during a fiscal year, a short-term, temporary bridge
loan made by a commercial or cooperative lender to a beginning farmer or
rancher for the acquisition of land for a farm or ranch, if--
`(i) the Secretary approved an application for a direct farm
ownership loan to the beginning farmer or rancher for acquisition of the
land; and
`(ii) funds for direct farm ownership loans under section 346(b)
were not available at the time at which the application was
approved.'.
SEC. 503. LIMITATIONS ON AMOUNT OF FARM OWNERSHIP LOANS.
Section 305 of the Consolidated Farm and Rural Development Act (7 U.S.C.
1925) is amended by striking subsection (a) and inserting the following:
`(a) IN GENERAL- The Secretary shall not make or insure a loan under
section 302, 303, 304, 310D, or 310E that would cause the unpaid indebtedness
under those sections of any 1 borrower to exceed the lesser of--
`(1) the value of the farm or other security; or
`(2)(A) in the case of a loan made by the Secretary--
`(i) to a beginning farmer or rancher, $250,000, as adjusted
(beginning with fiscal year 2003) by the inflation percentage applicable
to the fiscal year in which the loan is made; or
`(ii) to a borrower other than a beginning farmer or rancher,
$200,000; or
`(B) in the case of a loan guaranteed by the Secretary, $700,000,
as--
`(i) adjusted (beginning with fiscal year 2000) by the inflation
percentage applicable to the fiscal year in which the loan is guaranteed;
and
`(ii) reduced by the amount of any unpaid indebtedness of the borrower
on loans under subtitle B that are guaranteed by the Secretary.'.
SEC. 504. JOINT FINANCING ARRANGEMENTS.
Section 307(a)(3)(D) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1927(a)(3)(D)) is amended--
(1) by striking `If' and inserting the following:
`(i) IN GENERAL- Subject to clause (ii), if'; and
(2) by adding at the end the following:
`(ii) BEGINNING FARMERS AND RANCHERS- The interest rate charged a
beginning farmer or rancher for a loan described in clause (i) shall be
50 basis points less than the rate charged farmers and ranchers that are
not beginning farmers or ranchers.'.
SEC. 505. GUARANTEE PERCENTAGE FOR BEGINNING FARMERS AND RANCHERS.
Section 309(h)(6) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1929(h)(6)) is amended by striking `GUARANTEED UP' and all that follows
through `more than' and inserting `GUARANTEED AT 95 PERCENT- The Secretary
shall guarantee'.
SEC. 506. GUARANTEE OF LOANS MADE UNDER STATE BEGINNING FARMER OR RANCHER
PROGRAMS.
Section 309 of the Consolidated Farm and Rural Development Act (7 U.S.C.
1929) is amended by adding at the end the following:
`(j) GUARANTEE OF LOANS MADE UNDER STATE BEGINNING FARMER OR RANCHER
PROGRAMS- The Secretary may guarantee under this title a loan made under a
State beginning farmer or rancher program, including a loan financed by the
net proceeds of a qualified small issue agricultural bond for land or property
described in section 144(a)(12)(B)(ii) of the Internal Revenue Code of
1986.'.
SEC. 507. DOWN PAYMENT LOAN PROGRAM.
Section 310E of the Consolidated Farm and Rural Development Act (7 U.S.C.
1935) is amended--
(A) in paragraph (1), by striking `30 percent' and inserting `40
percent'; and
(B) in paragraph (3), by striking `10 years' and inserting `20 years';
and
(2) in subsection (c)(3)(B), by striking `10-year' and inserting
`20-year'.
SEC. 508. BEGINNING FARMER AND RANCHER CONTRACT LAND SALES PROGRAM.
(a) IN GENERAL- Subtitle A of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1922 et seq.) is amended by adding at the end the following:
`SEC. 310F. BEGINNING FARMER AND RANCHER CONTRACT LAND SALES PROGRAM.
`Not later than October 1, 2002, the Secretary may initiate a pilot
program in not fewer than 10 geographically dispersed States, as determined by
the Secretary, to guarantee up to 5 loans per State in each of fiscal years
2003 through 2006 made by a private seller of a farm or ranch to a qualified
beginning farmer or rancher on a contract land sale basis, if the loan meets
applicable underwriting criteria and a commercial lending institution agrees
to serve as escrow agent.'.
(b) REGULATIONS- The promulgation of the regulations and administration of
the amendment made by subsection (a) shall be made without regard to--
(1) the notice and comment provisions of section 553 of title 5, United
States Code;
(2) the Statement of Policy of the Secretary of Agriculture effective
July 24, 1971 (36 Fed. Reg. 13804), relating to notices of proposed
rulemaking and public participation in rulemaking; and
(3) chapter 35 of title 44, United States Code (commonly known as the
`Paperwork Reduction Act').
Subtitle B--Operating Loans
SEC. 511. DIRECT LOANS.
Section 311(c)(1)(A) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1941(c)(1)(A)) is amended by striking `who has not' and all that
follows through `5 years'.
SEC. 512. LOANS FOR TRIBAL FARM OPERATIONS.
(a) GUARANTEE AMOUNT- Section 309(h) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1929(h)) is amended--
(1) in paragraph (4), by striking `paragraphs (5) and (6)' and inserting
`paragraphs (5), (6), and (7)'; and
(2) by adding at the end the following:
`(7) AMOUNT OF GUARANTEE OF LOANS FOR TRIBAL OPERATIONS- In the case of
an operating loan made to a Native American farmer or rancher whose farm or
ranch is within an Indian reservation (as defined in section
335(e)(1)(A)(ii)), the Secretary shall guarantee 95 percent of the
loan.'.
(b) WAIVER OF LIMITATIONS- Section 311(c) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1941(c)) is amended--
(1) in paragraph (1), by striking `paragraph (3)' and inserting
`paragraphs (3) and (4)'; and
(2) by adding at the end the following:
`(4) WAIVER FOR LOANS FOR TRIBAL OPERATIONS- The Secretary shall waive
the limitation under paragraph (1)(C) for a direct loan made under this
subtitle to a Native American farmer or rancher whose farm or ranch is
within an Indian reservation (as defined in section 335(e)(1)(A)(ii)) if the
Secretary determines that commercial credit is not generally available for
such farm or ranch operations.'.
SEC. 513. REFINANCING OF OTHER DEBT.
Section 312(a)(9)(B)(ii) of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1942(a)(9)(B)(ii)) is amended by striking `debt' and inserting
`nondelinquent debt'.
Subtitle C--Administrative Provisions
SEC. 521. ELIGIBILITY OF LIMITED LIABILITY COMPANIES FOR FARM OWNERSHIP
LOANS, FARM OPERATING LOANS, AND EMERGENCY LOANS.
(a) IN GENERAL- Sections 302(a), 311(a), and 321(a) of the Consolidated
Farm and Rural Development Act (7 U.S.C. 1922(a), 1941(a), 1961(a)) are
amended by striking `and joint operations' each place it appears and inserting
`joint operations, and limited liability companies'.
(b) CONFORMING AMENDMENT- Section 321(a) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1961(a)) is amended by striking `or joint
operations' each place it appears and inserting `joint operations, or limited
liability companies'.
SEC. 522. DEBT SETTLEMENT.
Section 331(b)(4) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1981(b)(4)) is amended by striking `carried out--' and all that follows
through `(B) after' and inserting `carried out after'.
SEC. 523. TEMPORARY AUTHORITY TO ENTER INTO CONTRACTS; PRIVATE COLLECTION
AGENCIES.
(a) IN GENERAL- Section 331 of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1981) is amended by striking subsections (d) and (e).
(b) APPLICATION- The amendment made by subsection (a) shall not apply to a
contract entered into before the effective date of this Act.
SEC. 524. INTEREST RATE OPTIONS FOR LOANS IN SERVICING.
Section 331B of the Consolidated Farm and Rural Development Act (7 U.S.C.
1981b) is amended--
(1) by striking `lower of (1) the' and inserting the following: `lowest
of--
(2) by striking `original loan or (2) the' and inserting the following:
`original loan;
`(2) the rate being charged by the Secretary for loans, other than
guaranteed loans, of the same type at the time at which the borrower applies
for a deferral, consolidation, rescheduling, or reamortization; or
SEC. 525. ANNUAL REVIEW OF BORROWERS.
Section 333 of the Consolidated Farm and Rural Development Act (7 U.S.C.
1983) is amended by striking paragraph (2) and inserting the following:
`(2) except with respect to a loan under section 306, 310B, or
314--
`(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;'.
SEC. 526. SIMPLIFIED LOAN APPLICATIONS.
Section 333A(g)(1) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1983a(g)(1)) is amended by striking `of loans the principal amount of
which is $50,000 or less' and inserting `of farmer program loans the principal
amount of which is $100,000 or less'.
SEC. 527. INVENTORY PROPERTY.
Section 335(c) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1985(c)) is amended--
(A) in subparagraph (B)--
(i) in clause (i), by striking `75 days' and inserting `135 days';
and
(ii) by adding at the end the following:
`(iv) COMBINING AND DIVIDING OF PROPERTY- To the maximum extent
practicable, the Secretary shall maximize the opportunity for beginning
farmers and ranchers to purchase real property acquired by the Secretary
under this title by combining or dividing inventory parcels of the
property in such manner as the Secretary determines to be appropriate.';
and
(B) in subparagraph (C)--
(i) by striking `75 days' and inserting `135 days'; and
(ii) by striking `75-day period' and inserting `135-day
period';
(2) by striking paragraph (2) and inserting the following:
`(2) PREVIOUS LEASE- In the case of real property acquired before April
4, 1996, that the Secretary leased before April 4, 1996, not later than 60
days after the lease expires, the Secretary shall offer to sell the property
in accordance with paragraph (1).'; and
(A) in subparagraph (A), by striking `subparagraph (B)' and inserting
`subparagraphs (B) and (C)'; and
(B) by adding at the end the following:
`(C) OFFER TO SELL OR GRANT FOR FARMLAND PRESERVATION- For the purpose
of farmland preservation, the Secretary shall offer to sell or grant an
easement, restriction, development right, or similar legal right to real
property to a State, a political subdivision of a State, or a private
nonprofit organization separately from the underlying fee or other rights
to the property owned by the United States.'.
SEC. 528. DEFINITIONS.
(a) QUALIFIED BEGINNING FARMER OR RANCHER- Section 343(a)(11)(F) of the
Consolidated Farm and Rural Development Act (7 U.S.C. 1991(a)(11)(F)) is
amended by striking `25 percent' and inserting `30 percent'.
(b) DEBT FORGIVENESS- Section 343(a)(12) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1991(a)(12)) is amended by striking
subparagraph (B) and inserting the following:
`(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.'.
SEC. 529. LOAN AUTHORIZATION LEVELS.
Section 346 of the Consolidated Farm and Rural Development Act (7 U.S.C.
1994) is amended--
(A) by striking paragraph (1) and inserting the following:
`(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 $3,750,000,000 for each of fiscal years
2002 through 2006, of which, for each fiscal year--
`(A) $750,000,000 shall be for direct loans, of which--
`(i) $200,000,000 shall be for farm ownership loans under subtitle
A; and
`(ii) $550,000,000 shall be for operating loans under subtitle B;
and
`(B) $3,000,000,000 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) $2,000,000,000 shall be for guarantees of operating loans
under subtitle B.'; and
(B) in paragraph (2)(A)(ii), by striking `farmers and ranchers' and
all that follows and inserting `farmers and ranchers 35 percent for each
of fiscal years 2002 through 2006.'; and
(2) in subsection (c), by striking the last sentence.
SEC. 530. INTEREST RATE REDUCTION PROGRAM.
Section 351 of the Consolidated Farm and Rural Development Act (7 U.S.C.
1999) is amended--
(A) by striking `PROGRAM- ' and all that follows through `The
Secretary' and inserting `PROGRAM- The Secretary'; and
(B) by striking paragraph (2);
(2) by striking subsection (c) and inserting the following:
`(c) AMOUNT OF INTEREST RATE REDUCTION-
`(1) IN GENERAL- In return for a contract entered into by a lender under
subsection (b) for the reduction of the interest rate paid on a loan, the
Secretary shall make payments to the lender in an amount equal to not more
than 100 percent of the cost of reducing the annual rate of interest payable
on the loan, except that such payments shall not exceed the cost of reducing
the rate by more than--
`(A) in the case of a borrower other than a beginning farmer or
rancher, 3 percent; and
`(B) in the case of a beginning farmer or rancher, 4 percent.
`(2) BEGINNING FARMERS AND RANCHERS- The percentage reduction of the
interest rate for which payments are authorized to be made for a beginning
farmer or rancher under paragraph (1) shall be 1 percent more than the
percentage reduction for farmers and ranchers that are not beginning farmers
or ranchers.'; and
(3) in subsection (e), by striking paragraph (2) and inserting the
following:
`(2) MAXIMUM AMOUNT OF FUNDS-
`(A) IN GENERAL- The total amount of funds used by the Secretary to
carry out this section shall not exceed $750,000,000.
`(B) BEGINNING FARMERS AND RANCHERS-
`(i) IN GENERAL- The Secretary shall reserve not less than 25
percent of the funds used by the Secretary under subparagraph (A) to
make payments for guaranteed loans made to beginning farmers and
ranchers.
`(ii) DURATION OF RESERVATION OF FUNDS- Funds reserved for beginning
farmers or ranchers under clause (i) for a fiscal year shall be reserved
only until April 1 of the fiscal year.'.
SEC. 531. OPTIONS FOR SATISFACTION OF OBLIGATION TO PAY RECAPTURE AMOUNT FOR
SHARED APPRECIATION AGREEMENTS.
(a) IN GENERAL- Section 353(e)(7) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 2001(e)(7)) is amended--
(1) in subparagraph (C), by redesignating clauses (i) and (ii) as
subclauses (I) and (II), respectively, and adjusting the margins
appropriately;
(2) by redesignating subparagraphs (A) through (C) as clauses (i)
through (iii), respectively, and adjusting the margins appropriately;
(3) by striking the paragraph heading and inserting the following:
`(7) OPTIONS FOR SATISFACTION OF OBLIGATION TO PAY RECAPTURE
AMOUNT-
`(A) IN GENERAL- As an alternative to repaying the full recapture
amount at the end of the term of the agreement as determined by the
Secretary in accordance with this section, a borrower may satisfy the
obligation to pay the amount of recapture by--
`(i) financing the recapture payment in accordance with subparagraph
(B); or
`(ii) with the approval of the Secretary, granting the Secretary an
agricultural use protection and conservation easement on the property
subject to the shared appreciation agreement in accordance with
subparagraph (C).
`(B) FINANCING OF RECAPTURE PAYMENT- '; and
(4) by adding at the end the following:
`(C) AGRICULTURAL USE PROTECTION AND CONSERVATION EASEMENT-
`(i) IN GENERAL- Subject to clause (iv), the Secretary may accept an
agricultural use protection and conservation easement from the borrower
for all or part of the real security property subject to the shared
appreciation agreement in lieu of payment of the recapture
amount.
`(ii) VALUATION- The Secretary shall reduce the amount of the
recapture payment by the amount that is equal to the value of the
easement.
`(iii) TERM- The term of an easement accepted by the Secretary under
this subparagraph shall be not less than 20 years.
`(iv) CONDITIONS- The easement shall require that the property
subject to the easement shall continue to be used or conserved for
agricultural and conservation uses in accordance with sound farming and
conservation practices, as determined by the Secretary.
`(v) REPLACEMENT OF METHOD OF SATISFYING OBLIGATION- With the
approval of the Secretary, a borrower that has begun financing of a
recapture payment under subparagraph (B) may replace that financing with
an agricultural use protection and conservation easement under this
subparagraph.'.
(b) APPLICABILITY- The amendments made by subsection (a) shall not apply
to a shared appreciation agreement that terminated before the effective date
of this title and for which the recapture amount as of the effective date of
this title--
(1) has been paid in full by the borrower; or
SEC. 532. WAIVER OF BORROWER TRAINING CERTIFICATION REQUIREMENT.
Section 359 of the Consolidated Farm and Rural Development Act (7 U.S.C.
2006a) is amended by striking subsection (f) and inserting the following:
`(1) IN GENERAL- The Secretary may waive the requirements of this
section for an individual borrower if the Secretary determines that the
borrower demonstrates adequate knowledge in areas described in this
section.
`(2) CRITERIA- The Secretary shall establish criteria providing for the
application of paragraph (1) consistently in all counties
nationwide.'.
SEC. 533. ANNUAL REVIEW OF BORROWERS.
Section 360(d)(1) of the Consolidated Farm and Rural Development Act (7
U.S.C. 2006b(d)(1)) is amended by striking `biannual' and inserting
`annual'.
Subtitle D--Farm Credit
SEC. 541. BOARD OF DIRECTORS OF THE FEDERAL AGRICULTURAL MORTGAGE
CORPORATION.
Section 8.2(b) of the Farm Credit Act of 1971 (12 U.S.C. 2279aa-2(b)) is
amended--
(A) by striking `15' and inserting `17';
(B) in subparagraph (A), by striking `common stock' and all that
follows and inserting `Class A voting common stock;';
(C) in subparagraph (B), by striking `common stock' and all that
follows and inserting `Class B voting common stock;';
(D) by redesignating subparagraph (C) as subparagraph (D);
and
(E) by inserting after subparagraph (B) the following:
`(C) 2 members shall be elected by holders of Class A voting common
stock and Class B voting common stock, 1 of whom shall be the chief
executive officer of the Corporation and 1 of whom shall be another
executive officer of the Corporation; and';
(2) in paragraph (3), by striking `(2)(C)' and inserting `(2)(D)';
(A) in subparagraph (A), by striking `(A) or (B)' and inserting `(A),
(B), or (C)'; and
(B) in subparagraph (B), by striking `(2)(C)' and inserting
`(2)(D)';
(4) in paragraph (5)(A)--
(A) by inserting `executive officers of the Corporation or' after
`from among persons who are'; and
(B) by striking `such a representative' and inserting `such an
executive officer or representative';
(5) in paragraph (6)(B), by striking `(A) and (B)' and inserting `(A),
(B), and (C)';
(6) in paragraph (7), by striking `8 members' and inserting `Nine
members';
(A) in the paragraph heading, by inserting `OR EXECUTIVE OFFICERS OF
THE CORPORATION' after `EMPLOYEES'; and
(B) by inserting `or executive officers of the Corporation' after
`United States'; and
(8) by striking paragraph (9) and inserting the following:
`(A) ELECTION- The permanent board shall annually elect a chairperson
from among the members of the permanent board.
`(B) TERM- The term of the chairperson shall coincide with the term
served by elected members of the permanent board under paragraph
(6)(B).'.
Subtitle E--General Provisions
SEC. 551. INAPPLICABILITY OF FINALITY RULE.
Section 281(a)(1) of the Department of Agriculture Reorganization Act of
1994 (7 U.S.C. 7001(a)(1)) is amended--
(1) by striking `This subsection' and inserting the following:
`(A) IN GENERAL- Except as provided in subparagraph (B), this
subsection'; and
(2) by adding at the end the following:
`(B) AGRICULTURAL CREDIT DECISIONS- This subsection shall not apply
with respect to an agricultural credit decision made by such a State,
county, or area committee, or employee of such a committee, under the
Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et
seq.).'.
SEC. 552. TECHNICAL AMENDMENTS.
(a) Section 321(a) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1961(a)) is amended by striking `Disaster Relief and Emergency
Assistance Act' each place it appears and inserting `Robert T. Stafford
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)'.
(b) Section 336(b) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1986(b)) is amended in the second sentence by striking `provided for in
section 332 of this title'.
(c) Section 359(c)(1) of the Consolidated Farm and Rural Development Act
(7 U.S.C. 2006a(c)(1)) is amended by striking `established pursuant to section
332,'.
(d) Section 360(a) of the Consolidated Farm and Rural Development Act (7
U.S.C. 2006b(a)) is amended by striking `established pursuant to section
332'.
SEC. 553. EFFECT OF AMENDMENTS.
(a) IN GENERAL- Except as otherwise specifically provided in this title
and notwithstanding any other provision of law, this title and the amendments
made by this title shall not affect the authority of the Secretary of
Agriculture to carry out a farm credit program for any of the 1996 through
2001 fiscal years under a provision of law in effect immediately before the
enactment of this Act.
(b) LIABILITY- A provision of this title or an amendment made by this
title shall not affect the liability of any person under any provision of law
as in effect immediately before the enactment of this Act.
SEC. 554. EFFECTIVE DATE.
(a) IN GENERAL- Except as provided in subsection (b), this title and the
amendments made by this title take effect on October 1, 2001.
(b) BOARD OF DIRECTORS OF THE FEDERAL AGRICULTURAL MORTGAGE CORPORATION-
The amendments made by section 541 take effect on the date of enactment of
this Act.
TITLE VI--RURAL DEVELOPMENT
Subtitle A--Rural America Empowerment and Development
SEC. 601. FULL FUNDING OF PENDING RURAL DEVELOPMENT LOAN AND GRANT
APPLICATIONS.
(a) DEFINITION OF APPLICATION- In this section, the term `application'
does not include an application for a loan, loan guarantee, or grant that, as
of the date of
enactment of this Act, is in the pre-application phase of consideration under
regulations of the Secretary of Agriculture in effect on the date of enactment
of this Act.
(b) ACCOUNT- There is established in the Treasury of the United States an
account to be known as the `Rural America Infrastructure Development Account'
(referred to in this section as the `Account') to fund rural development
loans, loan guarantees, and grants described in subsection (d) that are
pending on the date of enactment of this Act.
(1) PAYMENT- Not later than 30 days after the date of enactment of this
Act, out of any funds in the Treasury not otherwise appropriated, the
Secretary of the Treasury shall transfer to the Account such sums as are
necessary to carry out this section.
(2) ENTITLEMENT- The Secretary of Agriculture--
(A) shall be entitled to receive the funds transferred to the Account
under paragraph (1);
(B) shall accept the funds; and
(C) shall use the funds to carry out this section.
(3) AVAILABILITY OF FUNDS- Funds provided under this subsection shall
remain available for obligation until expended.
(1) ELIGIBLE PROGRAMS- Subject to paragraph (2), the Secretary shall use
the funds in the Account to provide funds for applications that are pending
on the date of enactment of this Act for--
(A) community facility direct loans under section 306(a)(1) of the
Consolidated Farm and Rural Development Act (7 U.S.C.
1926(a)(1));
(B) community facility grants under paragraph (19), (20), or (21) of
section 306(a) of that Act (7 U.S.C. 1926(a));
(C) water or waste disposal grants or direct loans under paragraph (1)
or (2) of section 306(a) of that Act (7 U.S.C. 1926(a));
(D) rural water or wastewater technical assistance and training grants
under section 306(a)(14) of that Act (7 U.S.C. 1926(a)(14));
(E) business and industry guaranteed loans authorized under section
310B(a)(1) of that Act (7 U.S.C. 1932(a)(1)); and
(F) solid waste management grants under section 310B(b) of that Act (7
U.S.C. 1932(b)).
(A) APPROPRIATED AMOUNTS- Funds in the Account shall be available to
the Secretary to provide funds for pending applications for loans, loan
guarantees, and grants described in paragraph (1) only to the extent that
funds for the loans, loan guarantees, and grants appropriated in the
annual appropriations Act for fiscal year 2002 have been
exhausted.
(B) PROGRAM REQUIREMENTS- The Secretary may use the Account to provide
funds for a pending application for a loan, loan guarantee, or grant
described in paragraph (1) only if the Secretary processes, reviews, and
approves the application in accordance with regulations in effect on the
date of enactment of this Act.
SEC. 602. BROADBAND ACCESS FOR RURAL AMERICA.
The Rural Electrification Act of 1936 (7 U.S.C. 901 et seq.) is amended by
adding at the end the following:
`TITLE VI--RURAL BROADBAND ACCESS
`SEC. 601. DEFINITIONS.
`(1) BROADBAND SERVICE- The term `broadband service' means
telecommunications service (including service provided over copper wire,
fiber, wireless, cable, or satellite) capable of delivering large quantities
of data to and from a customer at the greater of--
`(A) a minimum speed of 200 kilobits per second; or
`(B) an alternative minimum speed considered by the Federal
Communications Commission as broadband.
`(2) ELIGIBLE ENTITY- The term `eligible entity' means 1 or more of the
following entities capable of providing, or proposing to provide, broadband
service in a rural area:
`(A) An institution of higher education.
`(D) An Indian tribe (as defined in section 4 of the Indian
Self-Determination and Education Assistance Act (25 U.S.C.
450b)).
`(E) A limited dividend or mutual association that is incorporated or
is a limited liability company.
`(F) A nonprofit organization.
`(G) A State or local government.
`(H) Other public entity.
`(3) RURAL AREA- The term `rural area' means any area of a State
that--
`(A) is outside a metropolitan statistical area designated by the
Director of the Office of Management and Budget; and
`(B) is not included within the boundaries of any incorporated or
unincorporated city, village, or borough having a population in excess of
25,000 inhabitants.
`(4) STATE- The term `State' means any of the States, the Commonwealth
of Puerto Rico, Guam, American Samoa, the Commonwealth of the Northern
Mariana Islands, the Federated States of Micronesia, the Republic of the
Marshall Islands, the Republic of Palau, and the Virgin Islands of the
United States.
`SEC. 602. LOANS.
`(a) IN GENERAL- To the extent qualified applications are available for
the loans, the Secretary may make loans to eligible entities to provide or
improve broadband services in rural areas where the Secretary determines the
services are not adequate.
`(b) INTEREST RATE- The interest rate charged for a loan under this
section shall--
`(1) be determined by the Secretary; and
`(2) reflect the current cost of funds to the Department of the Treasury
for obligations of comparable maturity to the remaining term of the
loan.
`(c) REPAYMENT- No loan may be made under this section unless the
Secretary--
`(1) is reasonably certain that the borrower will be able to repay the
loan; and
`(2) determines that the borrower has provided security for the loan
that is adequate to assure repayment of the loan.
`(1) IN GENERAL- The Secretary shall prescribe the terms and conditions
for loans made under this section.
`(2) LENGTH OF LOANS- The term of a loan shall not exceed the useful
life of the assets, as a whole, financed by the loan.
`SEC. 603. GRANTS.
`(a) IN GENERAL- To the extent qualified applications are available for
the loans, the Secretary may make grants to eligible entities to provide or
improve broadband services in remote rural areas that the Secretary determines
are not receiving broadband services.
`(b) DURATION- To be eligible to obtain a grant under this section, an
applicant for the grant shall demonstrate to the Secretary that the project
financed by the grant will be sustained for a reasonable period, as determined
by the Secretary.
`(c) RESTRICTION- The Secretary may not make both a loan under section
602, and a grant under this section, to finance the same project.
`(d) APPROVAL OF GRANT APPLICATIONS- In approving applications for grants
under this section, the Secretary shall consider--
`(1) the need for the broadband services to be provided and the benefits
from the services;
`(2) the economic need of the rural area to be served; and
`(3) other factors determined appropriate by the Secretary.
`SEC. 604. PLANNING GRANTS FOR ENHANCING ACCESS TO BROADBAND SERVICE.
`(a) IN GENERAL- The Secretary may make grants, on a competitive basis to
States, local governments, and community or regional entities engaged in
activities and partnerships between public and private entities that are
designed to develop business plans, to be completed in not more than 3 years,
for bringing broadband service to rural areas in the most appropriate
technological manner practicable.
`(b) MATCHING REQUIREMENT- As a condition of receiving a grant under this
section, a recipient of a grant shall provide a matching contribution from
non-Federal sources that is equal to the amount of the grant.
`(c) ADMINISTRATIVE COSTS- The Secretary may use not more than 4 percent
of the funds made available for grants for a fiscal year under this section
for administrative costs incurred by the Secretary in carrying out this
section.
`(d) BUILDINGS AND FACILITIES- Funds made available for grants under this
section may not be used for--
`(1) the construction of a new building or facility;
`(2) the acquisition or improvement of an existing building or facility;
or
`(3) the leasing of office space.
`SEC. 605. SURVEY OF BROADBAND ACCESS NEEDS.
`(a) IN GENERAL- Out of appropriations made available to agencies in the
rural development mission area of the Department of Agriculture, the Secretary
shall carry out a survey of State economic development agencies to determine
the broadband service needs of current and prospective businesses located in,
or prospectively locating to, rural areas.
`(b) REPORT- Not later than 1 year after the date of enactment of this
title, the Secretary shall submit to the Committee on Agriculture of the House
of Representatives and the Committee on Agriculture, Nutrition, and Forestry
of the Senate a report on the results of the survey.
`(c) EXEMPTION- The Secretary shall carry out the survey required by this
section without regard to chapter 35 of title 44, United States Code (commonly
known as the `Paperwork Reduction Act of 1995').
`SEC. 606. CONSULTATION.
`In carrying out this title, the Secretary is encouraged to consult
with--
`(1) the Federal Communications Commission;
`(2) the Secretary of Commerce; and
`(3) the National Academy of Sciences.
`SEC. 607. AUTHORIZATION OF APPROPRIATIONS.
`There are authorized to be appropriated such sums as are necessary to
carry out this title.'.
SEC. 603. VALUE-ADDED AGRICULTURAL PRODUCT MARKET DEVELOPMENT GRANTS.
Section 231 of the Agriculture Risk Protection Act of 2000 (7 U.S.C. 1621
note; Public Law 106-224) is amended--
(1) by redesignating subsections (a) through (d) as subsections (b)
through (e), respectively;
(2) by inserting after the section heading the following:
`(a) DEFINITION OF VALUE-ADDED AGRICULTURAL PRODUCT- In this section, the
term `value-added agricultural product' means any agricultural commodity or
product that has been subject to a greater level of processing that--
`(1) expands the market for the agricultural commodity or product;
and
`(2) results in a greater portion of the revenue derived from the
processing of the agricultural commodity or product being made available to
the initial producer of the agricultural commodity or product.';
(3) in subsection (b) (as so redesignated)--
(i) by striking `Of the' and all that follows through `Secretary to'
and inserting `The Secretary may'; and
(ii) by striking `value-added agricultural commodities and products
of agricultural commodities' and inserting `value-added agricultural
products'; and
(iii) in subparagraph (A), by striking `value-added agricultural
commodity or product of an agricultural commodity' and inserting
`value-added agricultural product';
(B) in paragraph (3)(A), by striking `value-added agricultural
commodity or product of an agricultural commodity' and inserting
`value-added agricultural product'; and
(C) by adding at the end the following:
`(4) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this subsection $50,000,000 for each of fiscal
years 2003 through 2006.';
(4) in subsection (c)(1) (as so redesignated)--
(A) by striking `subsection (a)(2)' and inserting `subsection
(b)(2)';
(B) by striking `subsection (a)' and inserting `subsection (b)';
and
(C) in subparagraph (A), by striking `value-added agricultural
commodities and products of agricultural commodities' and inserting
`value-added agricultural products'; and
(5) in subsection (d) (as so redesignated), by striking `subsection (a)
or (b)' and inserting `subsection (b) or (c)'.
SEC. 604. NATIONAL RURAL DEVELOPMENT INFORMATION CLEARINGHOUSE.
Section 2381 of the Food, Agriculture, Conservation, and Trade Act of 1990
(7 U.S.C. 3125b) is amended to read as follows:
`SEC. 2381. NATIONAL RURAL DEVELOPMENT INFORMATION CLEARINGHOUSE.
`(a) ESTABLISHMENT- The Secretary shall establish and maintain, within the
rural development mission area of the Department of Agriculture, a National
Rural Development Information Clearinghouse (referred to in this section as
the `Clearinghouse') to perform the functions specified in subsection (b).
`(b) FUNCTIONS- The Clearinghouse shall collect information and data from,
and disseminate information and data to, any person or public or private
entity about programs and services provided by Federal, State, local, and
tribal agencies, institutions of higher education, and private, for-profit and
nonprofit organizations and institutions under which a person or public or
private entity residing or operating in a rural area may be eligible for any
kind of financial, technical, or other assistance, including business, venture
capital, economic, credit and community development assistance, health care,
job training, education, and emotional and financial counseling.
`(c) MODES OF COLLECTION AND DISSEMINATION OF INFORMATION- In addition to
other modes for the collection and dissemination of the types of information
and data specified under subsection (b), the Secretary shall ensure that the
Clearinghouse maintains an Internet website that provides for dissemination
and collection, through voluntary submission or posting, of the information
and data.
`(d) FEDERAL AGENCIES- On request of the Secretary and to the extent
permitted by law, 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 this section.
`(e) STATE, LOCAL, AND TRIBAL AGENCIES, INSTITUTIONS OF HIGHER EDUCATION,
AND NONPROFIT AND FOR-PROFIT ORGANIZATIONS- The Secretary shall request State,
local, and tribal governments, institutions of higher education, and nonprofit
and for-profit organizations and institutions to provide to the Clearinghouse
information concerning applicable programs or services described in subsection
(b).
`(f) PROMOTION OF CLEARINGHOUSE- The Secretary prominently shall promote
the existence and availability of the Clearinghouse in all activities of the
Department of Agriculture relating to rural areas of the United States.
`(1) IN GENERAL- Subject to paragraph (2), the Secretary shall use to
operate and maintain the Clearinghouse not more than $600,000 of the funds
available to the Rural Housing Service, the Rural Utilities Service, and the
Rural Business-Cooperative Service for each fiscal year.
`(2) LIMITATION- Funds available to the Rural Housing Service, the Rural
Utilities Service, and the Rural Business-Cooperative Service for the
payment of loan costs (as defined in section 502 of Federal Credit Reform
Act of 1990 (2 U.S.C. 661a)) shall not be used to operate and maintain the
Clearinghouse.'.
SEC. 605. WHITE HOUSE CONFERENCE ON RURAL AMERICA.
(a) IN GENERAL- The President may call and conduct a White House
Conference on Rural America (referred to in this section as the `Conference')
which shall be held not earlier than November 1, 2002, and not later than
October 30, 2004.
(b) PURPOSE- The purpose of the Conference shall be to bring together the
resources of governmental agencies and the private and nonprofit sectors to
develop policy recommendations and integrative strategies for addressing the
unique challenges facing rural areas of the United States.
(1) IN GENERAL- The Conference shall be comprised of--
(A) representatives of organizations devoted to rural
development;
(C) representatives of the Department of Agriculture and other Federal
agencies;
(D) State, local, and tribal elected officials and
representatives;
(E) representatives of land-grant colleges and universities, State and
tribal extension services, and State rural development councils;
and
(F) individuals with special knowledge of and expertise in rural and
community development, cooperative business, agricultural credit,
venture capital, health care, and rural demography.
(2) SELECTION- Of the participants in the Conference described in
paragraph (1)--
(A) 1/3 of the members shall be selected by the President;
(B) 1/3 of the members shall be selected by the Chairman and the
ranking member of the Committee of the Committee on Agriculture of the
House of Representatives; and
(C) 1/3 of the members shall be selected by the Chairman and the
ranking member of the Committee of the Committee on Agriculture,
Nutrition, and Forestry of the Senate.
(3) REPRESENTATION- In selecting the participants of the Conference, the
President and the Chairman of each Committee referred to in paragraph (2)
shall ensure, to the maximum extent practicable, that the participants are
representative of the ethnic, racial, and linguistic diversity of rural
areas of the United States.
(1) REPORT TO PRESIDENT- Not later than 120 days after the termination
of the Conference, the Conference shall submit to the President a report
that contains the findings and recommendations of the Conference.
(2) REPORT MADE PUBLIC AND TO CONGRESS- Not later than 90 days after
receipt by the President, the President shall--
(A) make the report public; and
(B) transmit to the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition, and Forestry
of the Senate a copy of the report and a statement of the President
containing recommendations for implementing the report.
(3) PUBLICATION AND DISTRIBUTION-
(A) IN GENERAL- The Conference may publish and distribute the report
described in paragraph (1).
(B) MANDATORY DISTRIBUTION- The Conference shall provide a copy of a
report published under subparagraph (A), at no cost to--
(i) each Federal depository library; and
(I) each State, tribal, and local elected official in a rural area
of the United States; and
(II) each State rural development council.
(1) PAYMENT- Not later than 30 days after the date of enactment of this
Act, out of any funds in the Treasury not otherwise appropriated, the
Secretary of the Treasury shall transfer $2,000,000 to the President to
carry out this section.
(2) ENTITLEMENT- The President--
(A) shall be entitled to receive the funds transferred under paragraph
(1);
(B) shall accept the funds; and
(C) shall use the funds to carry out this section.
(3) AVAILABILITY OF FUNDS- Funds provided under this subsection shall
remain available for obligation until expended.
SEC. 606. BIOENERGY AND BIOCHEMICAL PROJECTS.
(a) RURAL DEVELOPMENT- Subtitle D of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1981 et seq.) is amended by adding at the end the
following:
`SEC. 376. BIOENERGY AND BIOCHEMICAL PROJECTS.
`In carrying out rural development loan, loan guarantee, and grant
programs under this title, the Secretary shall provide a priority for
bioenergy and biochemical projects.'.
(b) RURAL UTILITIES- Title I of the Rural Electrification Act of 1936 (7
U.S.C. 901 et seq.) is amended by adding at the end the following:
`SEC. 20. BIOENERGY AND BIOCHEMICAL PROJECTS.
`In carrying out rural electric loan, loan guarantee, and grant programs
under this Act, the Secretary shall provide a priority for bioenergy and
biochemical projects.'.
Subtitle B--National Rural Development Partnership
SEC. 611. SHORT TITLE.
This subtitle may be cited as the `National Rural Development Partnership
Act of 2001'.
SEC. 612. NATIONAL RURAL DEVELOPMENT PARTNERSHIP.
Subtitle E of the Consolidated Farm and Rural Development Act (7 U.S.C.
2009 et seq.) is amended by adding at the end the following:
`SEC. 381P. 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--
`(A) implements Federal law targeted at rural areas,
including--
`(i) the Act of April 24, 1950 (commonly known as the `Granger-Thye
Act') (64 Stat. 82, chapter 9);
`(ii) the Intergovernmental Cooperation Act of 1968 (82 Stat.
1098);
`(iii) section 41742 of title 49, United States Code;
`(iv) the Rural Development Act of 1972 (86 Stat. 657);
`(v) the Rural Development Policy Act of 1980 (94 Stat.
1171);
`(vi) the Rural Electrification Act of 1936 (7 U.S.C. 901 et
seq.);
`(vii) amendments made to section 334 of the Public Health Service
Act (42 U.S.C. 254g) by the Rural Health Clinics Act of 1983 (97 Stat.
1345); and
`(viii) the Rural Housing Amendments of 1983 (97 Stat. 1240) and the
amendments made by the Rural Housing Amendments of 1983 to title V of
the Housing Act of 1949 (42 U.S.C. 1471 et seq.); or
`(B) administers a program that has a significant impact on rural
areas, including--
`(i) the Appalachian Regional Commission;
`(ii) the Department of Agriculture;
`(iii) the Department of Commerce;
`(iv) the Department of Defense;
`(v) the Department of Education;
`(vi) the Department of Energy;
`(vii) the Department of Health and Human Services;
`(viii) the Department of Housing and Urban Development;
`(ix) the Department of the Interior;
`(x) the Department of Justice;
`(xi) the Department of Labor;
`(xii) the Department of Transportation;
`(xiii) the Department of the Treasury;
`(xiv) the Department of Veterans Affairs;
`(xv) the Environmental Protection Agency;
`(xvi) the Federal Emergency Management Administration;
`(xvii) the Small Business Administration;
`(xviii) the Social Security Administration;
`(xix) the Federal Reserve System;
`(xx) the United States Postal Service;
`(xxi) the Corporation for National Service;
`(xxii) the National Endowment for the Arts and the National
Endowment for the Humanities; and
`(xxiii) other agencies, commissions, and corporations.
`(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 established by subsection (b).
`(4) RURAL AREA- The term `rural area' means--
`(A) all the territory of a State that is not within the boundary of
any standard metropolitan statistical area designated by the Director of
the Office of Management and Budget;
`(B) all territory within any standard metropolitan statistical area
described in subparagraph (A) within a census tract having a population
density of less than 20 persons per square mile, as determined by the
Secretary according to the most recent census of the United States as of
any date; and
`(C) such areas as a State rural development council may identify as
rural.
`(5) STATE RURAL DEVELOPMENT COUNCIL- The term `State rural development
council' means a State rural development council that meets the requirements
of subsection (d).
`(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--
`(A) to empower and build the capacity of States and rural communities
within States to design unique responses to their own special rural
development needs, with local determinations of progress and selection of
projects and activities;
`(B) to encourage participants to be flexible and innovative in
establishing new partnerships and trying fresh, new approaches to rural
development issues, with responses to rural development that use different
approaches to fit different situations; and
`(C) to encourage all partners in the Partnership (Federal, State,
local, and tribal governments, the private sector, and nonprofit
organizations) to be fully engaged and share equally in
decisions.
`(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 shall 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 referred to in subsection
(a)(1)(B) 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 State rural development councils.
`(5) ROLE OF PRIVATE AND NONPROFIT SECTOR ORGANIZATIONS- Private and
nonprofit sector organizations are encouraged--
`(A) to act as full partners in the Partnership and State rural
development councils; and
`(B) to cooperate with participating government organizations in
developing innovative approaches to the solution of rural development
problems.
`(c) NATIONAL RURAL DEVELOPMENT COORDINATING COMMITTEE-
`(1) ESTABLISHMENT- The Secretary shall establish a National Rural
Development Coordinating Committee.
`(2) COMPOSITION- The Coordinating Committee shall be composed
of--
`(A) 1 representative of each agency with rural responsibilities that
elects to participate in the Coordinating Committee; 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) provide support for the work of the State rural development
councils;
`(B) facilitate coordination among Federal programs and activities,
and with State, local, tribal, and private programs and activities,
affecting rural development;
`(C) enhance the effectiveness, responsiveness, and delivery of
Federal programs in rural areas;
`(D) gather and provide to Federal authorities information and input
for the development and implementation of Federal programs impacting rural
economic and community development;
`(E) review and comment on policies, regulations, and proposed
legislation that affect or would affect rural areas;
`(F) provide technical assistance to State rural development councils
for the implementation of Federal programs; and
`(G) develop and facilitate strategies to reduce or eliminate
administrative and regulatory impediments.
`(4) ELECTION NOT TO PARTICIPATE- An agency with rural responsibilities
that elects not to participate in the Partnership and the Coordinating
Committee shall submit to Congress a report that describes--
`(A) how the programmatic responsibilities of the Federal agency that
target or have an impact on rural areas are better achieved without
participation by the agency in the Partnership; and
`(B) a more effective means of partnership-building and collaboration
to achieve the programmatic responsibilities of the agency.
`(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 establish a State rural
development council.
`(2) STATE DIVERSITY- Each State rural development council shall--
`(A) have a nonpartisan membership that is broad and representative of
the economic, social, and political diversity of the State; and
`(B) carry out programs and activities in a manner that reflects the
diversity of the State.
`(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 target or have an impact on
rural areas of the State;
`(B) enhance the effectiveness, responsiveness, and delivery of
Federal and State programs in rural areas of the State;
`(C) gather and provide to the Coordinating Committee and other
appropriate organizations information on the condition of rural areas in
the State;
`(D) monitor and report on policies and programs that address, or fail
to address, the needs of the rural areas of the State;
`(E) facilitate the formulation of local needs assessments for the
rural areas of the State and participate in the development of criteria
for the distribution of Federal funds to the rural areas of the
State;
`(F) provide comments to the Coordinating Committee and other
appropriate organizations on policies, regulations, and proposed
legislation that affect or would affect the rural areas of the
State;
`(G) 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;
`(H) use grant or cooperative agreement funds provided by the
Partnership under an agreement entered into under paragraph (1)
to--
`(i) retain an Executive Director and such support staff as are
necessary to facilitate and implement the directives of the State rural
development council; and
`(ii) pay expenses associated with carrying out subparagraphs (A)
through (G); and
`(I)(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) AUTHORITIES- A State rural development council may--
`(A) solicit funds to supplement and match funds provided under
paragraph (3)(H); and
`(B) engage in activities, in addition to those specified in paragraph
(3), appropriate to accomplish the purposes for which the State rural
development council is established.
`(5) COMMENTS OR RECOMMENDATIONS-
`(A) IN GENERAL- A State rural development council may provide
comments and recommendations to an agency with rural responsibilities
related to the activities of the State rural development council within
the State.
`(B) AGENCY- The agency with rural responsibilities shall provide to
the State rural development council a written response to the comments or
recommendations.
`(6) ACTIONS OF STATE RURAL DEVELOPMENT COUNCIL MEMBERS- When carrying
out a program or activity authorized by a State rural development council or
this subtitle, a member of the council shall be regarded as a full-time
employee of the Federal Government for purposes of chapter 171 of title 28,
United States Code, and the Federal Advisory Committee Act (5 U.S.C.
App.).
`(7) FEDERAL PARTICIPATION IN STATE RURAL DEVELOPMENT COUNCILS-
`(A) IN GENERAL- Subject to subparagraph (B), a Federal employee may
participate in a State rural development council.
`(B) CONFLICTS- A Federal employee who participates in a State rural
development council shall not participate in the making of any council
decision if the agency represented by the Federal employee has any
financial or other interest in the outcome of the decision.
`(C) FEDERAL GUIDANCE- The Office of Government Ethics, in
consultation with the Attorney General, shall issue guidance to all
Federal employees that participate in State rural development councils
that describes specific decisions that--
`(i) would constitute a conflict of interest for the Federal
employee; and
`(ii) from which the Federal employee must recuse himself or
herself.
`(8) PERFORMANCE EVALUATIONS- In conducting a performance evaluation of
an employee of an agency with rural responsibilities, the agency may
consider any comments submitted by a State rural development council.
`(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
an employee of the agency with rural responsibilities to the Partnership
without reimbursement for a period of up to 12 months.
`(B) CIVIL SERVICE STATUS- The detail shall be without interruption or
loss of civil service status or privilege.
`(2) ADDITIONAL SUPPORT- The Secretary shall provide for any additional
support staff to the Partnership as the Secretary determines to be necessary
to carry out the duties of the Partnership.
`(1) AUTHORIZATION OF APPROPRIATIONS-
`(A) IN GENERAL- There are authorized to be appropriated such sums as
are necessary to carry out this section.
`(B) FUNDING FORMULA- In the case of general financial support
provided by the Federal Government to all State rural development
councils, such support shall be, to the maximum extent practicable,
uniform in amount.
`(A) IN GENERAL- Notwithstanding any other provision of law limiting
the ability of an agency to provide funds to the Partnership with other
agencies, in order to carry out the purposes described in subsection
(b)(3), the Partnership shall be eligible to receive grants, gifts,
contributions, or technical assistance from, or enter into contracts with,
any Federal agency.
`(B) ASSISTANCE- Federal agencies are encouraged to use funds made
available for programs that target or have an impact on rural areas to
provide assistance to, and enter into contracts with, the Partnership, as
described in subparagraph (A).
`(3) CONTRIBUTIONS- The Partnership may accept private
contributions.
`(g) MATCHING REQUIREMENTS FOR STATE RURAL DEVELOPMENT COUNCILS- 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 determined by the Secretary that is not less than 33 percent of the
amount of Federal funds received under an agreement under subsection
(d)(1).
`(h) TERMINATION- The authority provided under this section shall
terminate on the date that is 5 years after the date of enactment of this
section.'.
Subtitle C--Consolidated Farm and Rural Development Act
SEC. 621. WATER OR WASTE DISPOSAL GRANTS.
Section 306(a)(2) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1926(a)(2)) is amended in the first sentence by striking `$590,000,000'
and inserting `$1,500,000,000'.
SEC. 622. RURAL BUSINESS OPPORTUNITY GRANTS.
Section 306(a)(11)(D) of the Consolidated Farm and Rural Development Act
(7 U.S.C. 1926(a)(11)(D)) is amended by striking `2002' and inserting
`2006'.
SEC. 623. RURAL WATER AND WASTEWATER CIRCUIT RIDER PROGRAM.
Section 306(a) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1926(a)) is amended by added at the end the following:
`(22) RURAL WATER AND WASTEWATER CIRCUIT RIDER PROGRAM-
`(A) IN GENERAL- The Secretary shall establish a national rural water
and wastewater circuit rider program that is based on the rural water
circuit rider program of the National Rural Water Association that (as of
the date of enactment of this paragraph) 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 $15,000,000 for each of fiscal
years 2003 through 2006.'.
SEC. 624. RURAL DEVELOPMENT ASSISTANCE ORGANIZATIONS.
Section 306(a) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1926(a)) (as amended by section 623) is amended by added at the end the
following:
`(23) RURAL DEVELOPMENT ASSISTANCE ORGANIZATIONS-
`(A) DEFINITION OF RURAL AREA- In this paragraph, the term `rural
area' has the meaning given the term in section 381P.
`(B) GRANTS- The Secretary shall provide grants to certified
organizations to pay the Federal share of the cost of providing technical
assistance in 1 or more rural development fields to eligible
entities.
`(C) CERTIFIED ORGANIZATIONS-
`(i) IN GENERAL- To be certified by the Secretary to provide
technical assistance in 1 or more rural development fields, an
organization shall--
`(I) be a nonprofit organization (which may include an institution
of higher education) with experience in providing technical assistance
in the applicable rural development field;
`(II) develop a plan, approved by the Secretary, describing the
manner in which grant funds will be used and the source of non-Federal
funds; and
`(III) meet such other criteria as the Secretary may establish,
based on the needs of eligible entities for the technical
assistance.
`(iii) LIST- The Secretary shall make a list of certified
organizations available to the public.
`(D) PRIORITY- In determining which certified organizations will
receive a grant under this paragraph, the Secretary shall provide a
priority to a certified 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 United States;
and
`(ii) has a history of providing substantive assistance to local
governments and economic development organizations.
`(E) ELIGIBLE ENTITIES- To receive technical assistance from a
certified organization under this paragraph, an entity shall--
`(II) an Indian tribe (as defined in section 4 of the Indian
Self-Determination and Education Assistance Act (25 U.S.C.
450b));
`(III) a local government;
`(IV) an economic development organization; and
`(ii) serve a population, at least 25 percent of which is located in
a rural area.
`(F) USES OF GRANTS- A certified organization shall use a grant
provided under this paragraph to improve the capability of an eligible
entity to assist communities in rural areas--
`(i) to develop and implement economic development
strategies;
`(ii) to perform analyses of infrastructure needs; and
`(iii) to provide assistance to local governments and individuals
concerning the availability of economic assistance from any
source.
`(G) MAXIMUM AMOUNT OF GRANTS- The amount of a grant provided to a
certified organization under this paragraph shall not exceed
$100,000.
`(i) IN GENERAL- Except as provided in clause (ii), the Federal
share of a grant provided under this paragraph shall be not more than 75
percent of the cost incurred by a certified organization to provide
technical assistance to an eligible entity.
`(ii) REDUCTION OR WAIVER OF NON-FEDERAL SHARE- In response to
information provided by a certified organization, the Secretary may
reduce or waive the non-Federal share required under this paragraph for
reasons of hardship or to further the purposes of this
paragraph.
`(I) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this paragraph $30,000,000 for each of fiscal
years 2003 through 2006.'.
SEC. 625. EMERGENCY COMMUNITY WATER ASSISTANCE GRANT PROGRAM.
Section 306A(i) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1926a(i)) is amended by striking `2002' and inserting `2006'.
SEC. 626. WATER AND WASTE FACILITY GRANTS FOR NATIVE AMERICAN TRIBES.
Section 306C of the Consolidated Farm and Rural Development Act (7 U.S.C.
1926c(e)) is amended by striking subsection (e) and inserting the
following:
`(e) AUTHORIZATION OF APPROPRIATIONS-
`(1) IN GENERAL- Subject to paragraph (2), there is authorized to be
appropriated--
`(A) for grants under this section, $30,000,000 for each fiscal
year;
`(B) for loans under this section, $30,000,000 for each fiscal year;
and
`(C) for grants under this section to benefit Indian tribes (as
defined in section 4 of the Indian Self-Determination and Education
Assistance Act (25 U.S.C. 450b)), $20,000,000 for each fiscal
year.
`(2) EXCEPTION- An entity eligible to receive funding through a grant
made under section 306D shall not be eligible for a grant from funds made
available under subparagraph (1)(C).'.
SEC. 627. 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 `and 2002' and inserting `through
2006'.
SEC. 628. RURAL COOPERATIVE DEVELOPMENT GRANTS.
Section 310B(e)(9) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1932(e)(9)) is amended by striking `2002' and inserting `2006'.
SEC. 629. VALUE-ADDED INTERMEDIARY RELENDING PROGRAM.
Section 310B of the Consolidated Farm and Rural Development Act (7 U.S.C.
1932) is amended by adding at the end the following:
`(h) VALUE-ADDED INTERMEDIARY RELENDING PROGRAM-
`(1) IN GENERAL- In accordance with this subsection, the Secretary shall
make loans under the intermediary relending program established under
section 1323(b)(2)(C) of the Food Security Act of 1985 (7 U.S.C. 1932 note;
Public Law 99-198).
`(2) LOANS- Using funds made available to carry out this subsection, the
Secretary shall make loans to eligible intermediaries to make loans to
ultimate recipients, under the terms and conditions of the intermediary
relending program, for projects to establish, enlarge, and operate
enterprises that add value to agricultural commodities and products of
agricultural commodities.
`(3) ELIGIBLE INTERMEDIARIES- Intermediaries that shall be eligible to
receive loans under paragraph (2) shall include State agencies.
`(4) PREFERENCE FOR BIOENERGY PROJECTS- In making loans using loan funds
made available under paragraph (2), an eligible intermediary shall give
preference to bioenergy projects in accordance with regulations promulgated
by the Secretary.
`(5) COMPOSITION OF CAPITAL- The capital for a project carried out by an
ultimate recipient and assisted with loan funds made available under
paragraph (2) shall be comprised of--
`(A) not more than 15 percent of the total cost of a project;
and
`(B) not less than 50 percent of the equity funds provided by
agricultural producers.
`(A) TERMS OF LOANS- A loan made to an intermediary using loan funds
made available under paragraph (2) shall have a term of not to exceed 30
years.
`(B) INTEREST- The interest rate on such a loan shall be--
`(i) in the case of each of the first 2 years of the loan period, 0
percent; and
`(ii) in the case of each of the remaining years of the loan period,
2 percent.
`(7) LIMITATIONS ON AMOUNT OF LOAN FUNDS PROVIDED-
`(A) IN GENERAL- Except as provided in subparagraph (B), an
intermediary or ultimate recipient shall be eligible to receive not more
than $2,000,000 of the loan funds made available under paragraph
(2).
`(B) STATE AGENCIES- Subparagraph (A) shall not apply in the case of a
State agency with respect to loan funds provided to the State agency as an
intermediary.'.
SEC. 630. USE OF RURAL DEVELOPMENT LOANS AND GRANTS FOR OTHER PURPOSES.
Subtitle A of the Consolidated Farm and Rural Development Act (7 U.S.C.
1921 et seq.) (as amended by section 508) is amended by adding at the end the
following:
`SEC. 310G. USE OF RURAL DEVELOPMENT LOANS AND GRANTS FOR OTHER
PURPOSES.
`If, after making a loan or a grant described in section 381E(d), the
Secretary determines that the circumstances under which the loan or grant was
made have sufficiently changed to make the project or activity for which the
loan or grant was made available no longer appropriate, the Secretary may
allow the loan borrower or grant recipient to use property (real and personal)
purchased with the loan or grant funds, or proceeds from the sale of property
(real and personal) purchased with such funds, for another project or activity
that (as determined by the Secretary)--
`(1) will be carried out in the same area as the original project or
activity;
`(2) meets the criteria for a loan or a grant described in section
381E(d); and
`(3) satisfies such additional requirements as are established by the
Secretary.'.
SEC. 631. SIMPLIFIED APPLICATION FORMS FOR LOAN GUARANTEES.
Section 333A(g) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1983a(g)) (as amended by section 526) is amended by striking `(g)(1)'
and all that follows through the end of paragraph (1) and inserting the
following:
`(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 $100,000 or
less; and
`(B) business and industry guaranteed loans under section 310B(a)(1)
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.'.
SEC. 632. GRANTS FOR EMERGENCY WEATHER RADIO TRANSMITTERS.
Subtitle D of the Consolidated Farm and Rural Development Act (7 U.S.C.
1981 et seq.) (as amended by section 606(a)) is amended by adding at the end
the following:
`SEC. 377. GRANTS FOR EMERGENCY 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 for
the Federal share of the cost of acquiring radio transmitters to increase
coverage of rural areas by the emergency 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 emergency weather radio broadcast system of the National
Oceanic and Atmospheric Administration.
`(c) FEDERAL SHARE- The Federal share of a grant provided under this
section shall be not more than 75 percent of the cost of acquiring a radio
transmitter described in subsection (a).
`(d) AUTHORIZATION- There is authorized to be appropriated to carry out
this section $2,000,000 for each of fiscal years 2002 through 2006.'.
SEC. 633. PROGRAMS FOR RURAL SENIORS.
Subtitle D of the Consolidated Farm and Rural Development Act (7 U.S.C.
1981 et seq.) (as amended by section 632) is amended by adding at the end the
following:
`SEC. 378. PROGRAMS FOR RURAL SENIORS.
`(a) INTERAGENCY COORDINATING COMMITTEE-
`(1) IN GENERAL- The Secretary shall establish an interagency
coordinating committee (referred to in this subsection as the `Committee')
to examine the special problems of rural seniors.
`(2) MEMBERSHIP- The Committee shall be comprised of--
`(A) the Undersecretary of Agriculture for Rural Development, who
shall serve as chairperson of the Committee;
`(B) 2 representatives of the Secretary of Health and Human Services,
of whom--
`(i) 1 shall have expertise in the field of health care;
and
`(ii) 1 shall have expertise in the field of programs under the
Older Americans Act of 1965 (42 U.S.C. 3001 et seq.);
`(C) 1 representative of the Secretary of Housing and Urban
Development;
`(D) 1 representative of the Secretary of Transportation; and
`(E) representatives of such other Federal agencies as the Secretary
may designate.
`(3) DUTIES- The Committee shall--
`(A) study health care, transportation, technology, housing,
accessibility, and other areas of need of rural seniors;
`(B) identify successful examples of senior care programs in rural
communities that could serve as models for other rural communities;
and
`(C) not later than 1 year after the date of enactment of this
section, submit to the Secretary recommendations for administrative and
legislative action.
`(1) IN GENERAL- The Secretary, acting through the Administrator of the
Rural Housing Service, shall make grants to nonprofit organizations to pay
the Federal share of the cost of programs that demonstrate creativity in
promoting wellness, affordable housing, technology adaptation, and
transportation, for seniors.
`(2) FEDERAL SHARE- The Federal share shall be 50 percent.
`(3) LEVERAGING- In selecting programs to receive grants under paragraph
(1), the Secretary shall give priority to proposals that leverage resources
to meet multiple rural community goals.
`(1) INTERAGENCY COORDINATING COMMITTEE- Funds available to any Federal
agency may be used to carry out interagency activities under subsection
(a).
`(2) GRANTS- There is authorized to be appropriated to carry out
subsection (b) $10,000,000 for each of fiscal years 2003 through
2006.'.
SEC. 634. RURAL COMMUNITY ADVANCEMENT PROGRAM.
(a) RURAL COMMUNITY ADVANCEMENT PROGRAM ACCOUNT- Section 381E of the
Consolidated Farm and Rural Development Act (7 U.S.C. 2009d) is amended--
(1) by striking the section heading and inserting the following:
`SEC. 381E. RURAL COMMUNITY ADVANCEMENT PROGRAM ACCOUNT.';
(2) by striking subsection (a) and inserting the following:
`(a) ESTABLISHMENT- There is established in the Treasury of the United
States a program account which shall be known as the Rural Community
Advancement Program Account (in this subtitle referred to as the `Program
Account').';
(A) by striking paragraph (4); and
(B) by redesignating paragraph (5) as paragraph (4);
(4) by striking `Trust Fund' each place it appears and inserting
`Program Account';
(5) by striking subsection (e) and inserting the following:
`(e) RESERVATIONS IN ACCOUNTS-
`(1) RESERVATION- Of the amount made available to carry out the
functions described in subsection (d)(1) for a fiscal year--
`(A) 15 percent of the amount shall be reserved for carrying out
projects that benefit senior citizens; and
`(B) 10 percent of the amount shall be reserved for projects that
increase the availability of child day care facilities.
`(2) RELEASE- Funds reserved under this subsection for a fiscal year
shall be reserved only until April 1 of the fiscal year.'; and
(6) by striking subsection (h).
(b) TRANSFERS OF FUNDS- Section 381F of the Consolidated Farm and Rural
Development Act (7 U.S.C. 2009e) is amended--
(1) by striking subsection (a) and inserting the following:
`(1) GENERAL AUTHORITY- During any fiscal year, the State director of
any State, subject to the approval of the Secretary, may transfer from each
account specified in section 381E(b) a total of not more than 25 percent of
the amount in the account that is initially allocated by the Secretary for
the State for the fiscal year to any other account in which amounts are
allocated for the State for the fiscal year.
`(2) INCENTIVE AUTHORITY- The percentage of funds authorized to be
transferred under paragraph (1) shall be increased to 35 percent for a State
if the State director demonstrates to the satisfaction of the Secretary that
local community and tribal development directors were included in the
preparation of the strategic plan required under section 381D.
`(3) LIMITATION- A State director shall not use the transfer authorities
under this subsection to increase the amount of an account by more than 25
percent of the amount allocated to the State for that account for a fiscal
year.';
(2) by striking subsection (b);
(3) by redesignating subsection (c) as subsection (b); and
(4) in subsection (b) (as redesignated by paragraph (3))--
(A) by striking `EXCEPTIONS- Subsections (a) and (b)' and inserting
`EXCEPTION FOR LACK OF APPLICATIONS- Subsection (a)'; and
(i) in subparagraph (A)--
(I) by striking `(A)'; and
(II) by striking `; or' and inserting a period; and
(ii) by striking subparagraph (B).
(c) GRANTS TO STATES; GUARANTEE AND COMMITMENT TO GUARANTEE LOANS-
Subtitle E of the Consolidated Farm and Rural Development Act (7 U.S.C. 2009
et seq.) is amended--
(1) by striking sections 381G and 381H (7 U.S.C. 2009f, 2009g);
and
(2) by redesignating sections 381I through 381O (7 U.S.C. 2009h through
2009n) and section 381P (as added by section 612 of this Act) as sections
381G through 381N, respectively.
(d) RURAL VENTURE CAPITAL DEMONSTRATION PROGRAM- Section 381N of the
Consolidated Farm and Rural Development Act (as redesignated by subsection
(c)(2)) is amended--
(A) in paragraph (2), by striking `From amounts in the national
reserve account of the Trust Fund, the' and inserting `The'; and
(B) in paragraph (3), by striking `2002' and inserting `2006';
and
(2) by adding at the end the following:
`(c) AUTHORIZATION OF APPROPRIATIONS- There are authorized to be
appropriated such sums as are necessary to carry out this section.'.
(e) REPORT- Not later than 18 months after the date of enactment of this
Act, the Secretary shall submit to the Committee on Agriculture of the House
of Representatives and the Committee on Agriculture, Nutrition, and Forestry
of the Senate a report on the implementation of the amendments made by this
section.
SEC. 635. 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
`2002' and inserting `2006'.
(b) TERMINATION OF AUTHORITY- Section 382N of the Consolidated Farm and
Rural Development Act (7 U.S.C. 2009aa-13) is amended by striking `2002' and
inserting `2006'.
SEC. 636. SEARCH GRANTS FOR SMALL COMMUNITIES.
The Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.) is
amended by adding at the end the following:
`Subtitle G--SEARCH Grants for Small Communities
`SEC. 383A. DEFINITIONS.
`(1) COUNCIL- The term `council' means an independent citizens' council
established by section 383B(d).
`(2) ENVIRONMENTAL PROJECT-
`(A) IN GENERAL- The term `environmental project' means a project
that--
`(i) improves environmental quality; and
`(ii) is necessary to comply with an environmental law (including a
regulation).
`(B) INCLUSION- The term `environmental project' includes an initial
feasibility study of a project.
`(3) REGION- The term `region' means a geographic area of a State, as
determined by the Governor of the State.
`(4) SEARCH GRANT- The term `SEARCH grant' means a grant for special
environmental assistance for the regulation of communities and habitat
awarded under section 383B(e)(3).
`(5) SMALL COMMUNITY- The term `small community' means an incorporated
or unincorporated rural community having a population of not more than 2,500
individuals.
`(6) STATE- The term `State' has the meaning given the term in section
381A.
`SEC. 383B. SEARCH GRANT PROGRAM.
`(a) IN GENERAL- There is established the SEARCH Grant Program.
`(1) IN GENERAL- Not later than October 1 of each fiscal year, a State
may submit to the Secretary an application to receive a grant under
subsection (c) for the fiscal year.
`(2) REQUIREMENTS- An application under paragraph (1) shall
contain--
`(A) a certification by the State that the State has appointed members
to the council of the State under subsection (c)(2)(C); and
`(B) such information as the Secretary may reasonably
require.
`(1) IN GENERAL- Not later than 60 days after the date on which the
Office of Management and Budget apportions any amounts made available under
this subtitle, for each fiscal year after the date of enactment of this
subtitle, the Secretary shall, on request by a State--
`(A) determine whether any application submitted by the State under
subsection (b) meets the requirements of subsection (b)(2); and
`(B) subject to paragraph (2) and subsection (d)(2)(C), if the
Secretary determines that the application meets the requirements of
subsection (b)(2), award a grant of not to exceed $1,000,000 to the State,
to be used by the council of the State to award SEARCH grants under
subsection (e).
`(2) GRANTS TO CERTAIN STATES- The aggregate amount of grants awarded to
States other than
Alaska, Hawaii, or 1 of the 48 contiguous States, under this subsection shall
not exceed $1,000,000 for any fiscal year.
`(d) INDEPENDENT CITIZENS' COUNCIL-
`(1) ESTABLISHMENT- There is established in each State an independent
citizens' council to carry out the duties described in this section.
`(A) IN GENERAL- Each council shall be composed of 9 members,
appointed by the Governor of the State.
`(B) REPRESENTATION; RESIDENCE- Each member of a council
shall--
`(i) represent an individual region of the State, as determined by
the Governor of the State in which the council is established;
and
`(ii) reside in a small community of the State.
`(C) APPOINTMENT- Before a State receives funds under this subtitle,
the State shall appoint members to the council for the fiscal year, except
that not more than 1 member shall be an agent, employee, or official of
the State government.
`(D) CHAIRPERSON- Each council shall select a chairperson from among
the members of the council, except that a member who is an agent,
employee, or official of the State government shall not serve as
chairperson.
`(E) FEDERAL REPRESENTATION- An agent, employee, or official of the
Federal Government may participate in the activities of the
council--
`(i) in an advisory capacity; and
`(ii) at the invitation of the council.
`(A) IN GENERAL- Each council shall review applications for, and
recommend awards of, SEARCH grants to small communities that meet the
eligibility criteria under subsection (c).
`(B) RECOMMENDATIONS- In awarding a SEARCH grant, a State--
`(i) shall follow the recommendations of the council of the
State;
`(ii) shall award the funds for any recommended environmental
project in a timely and expeditious manner; and
`(iii) shall not award a SEARCH grant to a grantee or project in
violation of any law of the State (including a regulation).
`(C) NO MATCHING REQUIREMENT- A small community that receives a SEARCH
grant under this section shall not be required to provide matching
funds.
`(e) SEARCH GRANTS FOR SMALL COMMUNITIES-
`(1) ELIGIBILITY- A SEARCH grant shall be awarded under this section
only to a small community for 1 or more environmental projects for which the
small community--
`(A) needs funds to carry out initial feasibility or environmental
studies before applying to traditional funding sources; or
`(B) demonstrates, to the satisfaction of the council, that the small
community has been unable to obtain sufficient funding from traditional
funding sources.
`(A) DATE- The council shall establish such deadline by which small
communities shall submit applications for grants under this section as
will permit the council adequate time to review and make recommendations
relating to the applications.
`(B) LOCATION OF APPLICATION- A small community shall submit an
application described in subparagraph (A) to the council in the State in
which the small community is located.
`(C) CONTENT OF APPLICATION- An application described in subparagraph
(A) shall include--
`(i) a description of the proposed environmental project (including
an explanation of how the project would assist the small community in
complying with an environmental law (including a
regulation));
`(ii) an explanation of why the project is important to the small
community;
`(iii) a description of all actions taken with respect to the
project, including a description of any attempt to secure funding and a
description of demonstrated need for funding for the project, as of the
date of the application; and
`(iv) a SEARCH grant application form provided by the council,
completed and with all required supporting documentation.
`(3) REVIEW AND RECOMMENDATION-
`(A) IN GENERAL- Except as provided in subparagraph (B), not later
than March 5 of each fiscal year, each council shall--
`(i) review all applications received under paragraph (2);
and
`(ii) recommend for award SEARCH grants to small communities based
on--
`(I) an evaluation of the eligibility criteria under paragraph
(1); and
`(II) the content of the application.
`(B) EXTENSION OF DEADLINE- The State may extend the deadline
described in subparagraph (A) by not more than 10 days in a case in which
the receipt of recommendations from a council under subparagraph (A)(ii)
is delayed because of circumstances beyond the control of the council, as
determined by the State.
`(A) IN GENERAL- If, for any fiscal year, any unexpended funds remain
after SEARCH grants are awarded under subsection (b)(3)(B), the council
may repeat the application and review process so that any remaining funds
may be recommended for award, and awarded, not later than July 30 of the
fiscal year.
`(i) IN GENERAL- Any unexpended funds that are not awarded under
subsection (b)(3)(B) or subparagraph (A) shall be retained by the State
for award during the following fiscal year.
`(ii) LIMITATION- A State that accumulates a balance of unexpended
funds described in clause (i) of more than $3,000,000 shall be
ineligible to apply for additional funds for SEARCH grants until such
time as the State expends the portion of the balance that exceeds
$3,000,000.
`SEC. 383C. REPORT.
`Not later than September 1 of the first fiscal year for which a SEARCH
grant is awarded by a council, and annually thereafter, the council shall
submit to the Secretary a report that--
`(1) describes the number of SEARCH grants awarded during the fiscal
year;
`(2) identifies each small community that received a SEARCH grant during
the fiscal year;
`(3) describes the project or purpose for which each SEARCH grant was
awarded, including a statement of the benefit to public health or the
environment of the environmental project receiving the grant funds;
and
`(4) describes the status of each project or portion of a project for
which a SEARCH grant was awarded, including a project or portion of a
project for which a SEARCH grant was awarded for any fiscal year before the
fiscal year in which the report is submitted.
`SEC. 383D. FUNDING.
`(a) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out section 383B(c) $51,000,000, of which not to exceed
$1,000,000 shall be used to make grants under section 383B(c)(3).
`(b) ACTUAL APPROPRIATION- If funds to carry out section 383B(c) are made
available for a fiscal year in an amount that is less than the amount
authorized under subsection (a) for the fiscal year, the appropriated funds
shall be divided equally among the 50 States.
`(c) UNUSED FUNDS- If, for any fiscal year, a State does not apply, or
does not qualify, to receive funds under section 383B(b), the funds that would
have been made available to the State under section 383B(c) on submission by
the State of a successful application under section 383B(b) shall be
redistributed for award under this subtitle among States, the councils of
which awarded 1 or more SEARCH grants during the preceding fiscal year.
`(d) OTHER EXPENSES- There are authorized to be appropriated such sums as
are necessary to carry out the provisions of this subtitle (other than section
383B(c)).'.
Subtitle D--Food, Agriculture, Conservation, and Trade Act of
1990
SEC. 641. ALTERNATIVE AGRICULTURAL RESEARCH AND COMMERCIALIZATION
CORPORATION.
(a) REPEAL OF CORPORATION AUTHORIZATION- Subtitle G of title XVI of the
Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5901 et seq.)
is repealed.
(b) DISPOSITION OF ASSETS- On the date of enactment of this Act--
(1) the assets, both tangible and intangible, of the Alternative
Agricultural Research and Commercialization Corporation (referred to in this
section as the `Corporation'), including the funds in the Alternative
Agricultural Research and Commercialization Revolving Fund as of the date of
enactment of this Act, are transferred to the Secretary of Agriculture;
and
(2) notwithstanding the Federal Property and Administrative Services Act
of 1949 (40 U.S.C. 471 et seq.), the Secretary shall have authority to
manage and dispose of the assets transferred under paragraph (1) in a manner
that, to the maximum extent practicable, provides the greatest return on
investment.
(1) IN GENERAL- Funds transferred under subsection (b), and any income
from assets or proceeds from the sale of assets transferred under subsection
(b), shall be deposited into an account in the Treasury, and shall remain
available to the Secretary until expended, without further appropriation, to
pay--
(A) any outstanding claims or obligations of the Corporation;
and
(B) the costs incurred by the Secretary in carrying out this
section.
(2) FINAL DISPOSITION- On final disposition of all assets transferred
under subsection (b), any funds remaining in the account described in
paragraph (1) shall be transferred into miscellaneous receipts in the
Treasury.
(d) CONFORMING AMENDMENTS-
(1) The following provisions are repealed:
(A) Section 730 of the Federal Agriculture Improvement and Reform Act
of 1996 (7 U.S.C. 5902 note; Public Law 104-127).
(B) Section 9101(3)(Q) of title 31, United States Code.
(2) Section 401(c) of the Agricultural Research, Education, and
Extension Reform Act of 1998 (7 U.S.C. 7621(c)) is amended by striking
paragraph (1) and inserting the following:
`(1) CRITICAL EMERGING ISSUES- Subject to paragraph (2), the Secretary
shall use the funds in the Account for research, extension, and education
grants (referred to in this section as `grants') to address critical
emerging agricultural issues related to--
`(A) future food production;
`(B) environmental quality and natural resource management;
or
(3) Section 793(c)(1)(A)(ii)(II) of the Federal Agriculture Improvement
and Reform Act of 1996 (7 U.S.C. 2204f(c)(1)(A)(ii)(II)) is amended by
striking `subtitle G of title XVI and'.
SEC. 642. TELEMEDICINE AND DISTANCE LEARNING SERVICES IN RURAL AREAS.
(a) IN GENERAL- Section 2335A of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 950aaa-5) is amended by striking `2002' and
inserting `2006'.
(b) CONFORMING AMENDMENT- Section 1(b) of Public Law 102-551 (7 U.S.C.
950aaa note) is amended by striking `1997' and inserting `2006'.
Subtitle E--Rural Electrification Act of 1936
SEC. 651. GUARANTEES FOR BONDS AND NOTES ISSUED FOR ELECTRIFICATION OR
TELEPHONE PURPOSES.
(a) IN GENERAL- The Rural Electrification Act of 1936 is amended by
inserting after section 313 (7 U.S.C. 940c) the following:
`SEC. 313A. GUARANTEES FOR BONDS AND NOTES ISSUED FOR ELECTRIFICATION OR
TELEPHONE PURPOSES.
`(a) IN GENERAL- Subject to subsection (b), the Secretary may guarantee
payments on bonds or notes issued by cooperative lenders if the proceeds of
the bonds or notes are used for electrification or telephone purposes eligible
for assistance under this Act.
`(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
amount of such guaranteed bonds or notes outstanding of the lender would
exceed the amount of outstanding loans of the lender for electrification or
telephone purposes that have been made concurrently with loans approved for
such purposes under this Act.
`(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; or
`(B) the bond or note issued by the lender is not of reasonable and
sufficient quality.
`(4) INTEREST RATE REDUCTION-
`(A) IN GENERAL- Except as provided in subparagraph (B), a lender may
not use any amount obtained from the reduction in funding costs as a
result of the guarantee of a bond or note under this section to reduce the
interest rate on a new or outstanding loan.
`(B) CONCURRENT LOANS- A lender may use any amount described in
subparagraph (A) to reduce the interest rate on a loan if the loan
is--
`(i) approved by the Secretary after the date of enactment of this
section;
`(ii) made by the lender for electrification or telephone purposes
that are eligible for assistance under this Act; and
`(iii) made concurrently with a loan approved by the Secretary under
this Act for such a purpose.
`(5) TOTAL AMOUNT- The total amount of guarantees outstanding under this
section at any time shall not exceed $500,000,000.
`(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- The amount of a fee paid for the guarantee of a bond or
note under this section shall be equal to 12.5 basis points of the amount of
the unpaid principal of the loan guaranteed under this section.
`(3) PAYMENT- A lender shall pay the fees required under this subsection
on a semiannual basis.
`(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), to remain available until expended;
and
`(B) used for the purposes described in section 313(b)(2)(B).
`(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
establish a limit on the number of guarantees issued under this
section.
`(3) DEPARTMENT OPINION- On the request of an eligible 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- There are authorized to be
appropriated such sums as are necessary to cover the cost of providing
guarantees of bonds and notes under this section.
`(f) TERMINATION- The authority provided under this section shall
terminate on September 30, 2006.'.
(b) ADMINISTRATION OF CUSHION OF CREDIT PAYMENTS PROGRAM- Section
313(b)(2)(B) of the Rural Electrification Act of 1936 (7 U.S.C.
940c)(b)(2)(B)) is amended by inserting `, acting through the Rural Utilities
Service,' after `Secretary'.
(1) REGULATIONS- Not later than 180 days after the date of enactment of
this Act, the Secretary of Agriculture shall promulgate regulations to carry
out the amendments made by this section.
(2) IMPLEMENTATION- Not later than 240 days after the date of enactment
of this Act, the Secretary shall implement the amendment made by this
section.
SEC. 652. EXPANSION OF 911 ACCESS.
Title III of the Rural Electrification Act of 1936 (7 U.S.C. 931 et seq.)
is amended by adding the following:
`SEC. 315. EXPANSION OF 911 ACCESS.
`(a) IN GENERAL- Subject to such terms and conditions as the Secretary may
prescribe, the Secretary may make telephone loans under this title to 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 911 access in
underserved rural areas.
`(b) AUTHORIZATION OF APPROPRIATIONS- There are authorized to be
appropriated such sums as are necessary to carry out this section.'.
Subtitle F--Miscellaneous
SEC. 661. SENATE CONFIRMATION REQUIREMENT FOR RURAL UTILITIES SERVICE
ADMINISTRATOR.
(a) REPEAL- Section 232 of the Department of Agriculture Reorganization
Act of 1994 (7 U.S.C. 6942(b)) is amended--
(1) by striking subsection (b); and
(2) by redesignating subsection (c) as subsection (b).
(b) SUCCESSION- Any official who is serving as Administrator of the Rural
Utilities Service on the effective date of this section and who was appointed
by the President, by and with the advice and consent of the Senate--
(1) may be considered to be serving in the position of Administrator of
the Rural Utilities Service as established by the Secretary; and
(2) shall be not be required to be reappointed by the Secretary to that
position by reason of the enactment of this section.
Subtitle G--Effective Date
SEC. 671. EFFECTIVE DATE.
This title and the amendments made by this title take effect on October 1,
2002.
TITLE VII--AGRICULTURAL RESEARCH, EDUCATION, AND EXTENSION AND RELATED
MATTERS
Subtitle A--National Agricultural Research, Extension, and Teaching
Policy Act of 1977
SEC. 701. DEFINITIONS.
(a) IN GENERAL- Section 1404 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103) is amended--
(1) by redesignating paragraphs (10) through (17) as paragraphs (11)
through (18), respectively;
(2) by inserting after paragraph (9) the following:
`(10) INSULAR AREA- The term `insular area' means the Commonwealth of
Puerto Rico, Guam, American Samoa, the Commonwealth of the Northern Mariana
Islands, the Federated States of Micronesia, the Republic of the Marshall
Islands, the Republic of Palau, and the Virgin Islands of the United
States.'; and
(3) by striking paragraph (13) (as so redesignated) and inserting the
following:
`(13) STATE- The term `State' means any of the States, the District of
Columbia, and any insular area.'.
(b) EFFECT OF AMENDMENTS- The amendments made by subsection (a) shall not
affect any basis for distribution of funds by formula (in effect on the date
of enactment of this Act) to the Federated States of Micronesia, the Republic
of the Marshall Islands, or the Republic of Palau.
SEC. 702. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, EDUCATION, AND
ECONOMICS ADVISORY BOARD.
Section 1408(h) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3123(h)) is amended by striking `2002'
and inserting `2006'.
SEC. 703. GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURAL SCIENCES
EDUCATION.
Section 1417 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3152) is amended--
(A) by striking `and' after `economics,'; and
(B) by inserting `, and rural economic, community, and business
development' before the period;
(A) in paragraph (1), by inserting `, or in rural economic, community,
and business development' before the semicolon;
(B) in paragraph (2), by inserting `, or in rural economic, community,
and business development' before the semicolon;
(C) in paragraph (3), by inserting `, or teaching programs emphasizing
rural economic, community, and business development' before the
semicolon;
(D) in paragraph (4), by inserting `, or programs emphasizing rural
economic, community, and business development,' after `programs';
and
(E) in paragraph (5), by inserting `, or professionals in rural
economic, community, and business development' before the
semicolon;
(A) in paragraph (1), by inserting `, or in rural economic, community,
and business development,' after `sciences'; and
(B) in paragraph (2), by inserting `, or in the rural economic,
community, and business development workforce,' after `workforce';
and
(4) in subsection (l), by striking `2002' and inserting `2006'.
SEC. 704. POLICY RESEARCH CENTERS.
Section 1419A(d) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3155(d)) is amended by striking `2002'
and inserting `2006'.
SEC. 705. NUTRITION EDUCATION PROGRAM.
Section 1425(c)(3) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3175(c)(3)) is amended by striking
`2002' and inserting `2006'.
SEC. 706. ANIMAL HEALTH AND DISEASE RESEARCH PROGRAMS.
Section 1433(a) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3195(a)) is amended in the first
sentence by striking `2002' and inserting `2006'.
SEC. 707. EDUCATION GRANTS PROGRAMS FOR 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 `2002'
and inserting `2006'.
SEC. 708. COMPETITIVE GRANTS FOR INTERNATIONAL AGRICULTURAL SCIENCE AND
EDUCATION PROGRAMS.
Section 1459A(c) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3292b(c)) is amended by striking `2002'
and inserting `2006'.
SEC. 709. INDIRECT COSTS.
Section 1462 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3310) is amended--
(1) by inserting `(a) IN GENERAL- ' before `Except';
(2) by striking `19 percent' and inserting `the negotiated indirect cost
rate established for an institution by the cognizant Federal audit agency
for the institution'; and
(3) by adding at the end the following:
`(b) EXCEPTION- The limitation on indirect costs contained in subsection
(a) shall not apply to a grant awarded competitively under section 9 of the
Small Business Act (15 U.S.C. 638).'.
SEC. 710. 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:
`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 described in
subsection (b).
`(b) ELIGIBLE INSTITUTIONS- The Secretary may make a grant under this
section to--
`(1) a college or university; or
`(2) a State cooperative institution.
`(c) MAXIMUM GRANT- The amount of a grant made to an eligible institution
under this section shall not exceed $500,000.
`(d) PROHIBITION ON CHARGE OF 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.
`(e) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this section $10,000,000 for each of fiscal years
2003 through 2006.'.
SEC. 711. AGRICULTURAL RESEARCH PROGRAMS.
Section 1463 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3311) is amended--
(1) in subsection (a), by striking `$850,000,000 for each of the fiscal
years 1991 through 2002' and inserting `$1,500,000,000 for each of fiscal
years 2002 through 2006'; and
(2) in subsection (b), by striking `2002' and inserting `2006'.
SEC. 712. EXTENSION EDUCATION.
Section 1464 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3312) is amended by striking
`$420,000,000' and all that follows and inserting the following: `$500,000,000
for each of fiscal years 2003 through 2006.'.
SEC. 713. SPECIAL AUTHORIZATION FOR BIOSECURITY PLANNING AND RESPONSE.
Section 1465 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (91 Stat. 1018) is amended to read as follows:
`SEC. 1465. 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 such sums as are
necessary for fiscal years 2003 through 2007.
`(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 necessary--
`(1) to reduce the vulnerability of the United States food and
agricultural system to chemical or biological attack;
`(2) to counter any such chemical or biological attack; or
`(3) to respond to any such chemical or biological attack.'.
SEC. 714. AVAILABILITY OF COMPETITIVE GRANT FUNDS.
The National Agricultural Research, Extension, and Teaching Policy Act of
1977 is amended by inserting after section 1469 (7 U.S.C. 3315) the
following:
`SEC. 1469A. AVAILABILITY OF COMPETITIVE GRANT FUNDS.
`Except as otherwise provided by law, funds made available to the
Secretary to carry out a competitive agricultural research, education, or
extension grant program under this or any other Act shall be available for
obligation for a 2-year period beginning on October 1 of the fiscal year for
which the funds are made available.'.
SEC. 715. JOINT REQUESTS FOR PROPOSALS.
(a) PURPOSES- The purposes of this section are--
(1) to reduce the duplication of administrative functions relating to
grant awards and administration among Federal agencies conducting similar
types of research, education, and extension programs;
(2) to maximize the use of peer review resources in research, education,
and extension programs; and
(3) to reduce the burden on potential recipients that may offer similar
proposals to receive competitive grants under different Federal programs in
overlapping subject areas.
(b) AUTHORITY- The National Agricultural Research, Extension, and Teaching
Policy Act of 1977 is amended by inserting after section 1473A (7 U.S.C.
3319a) the following:
`SEC. 1473B. JOINT REQUESTS FOR PROPOSALS.
`(a) IN GENERAL- In carrying out any competitive agricultural research,
education, or extension grant program authorized under this or any other Act,
the Secretary may cooperate with 1 or more other Federal agencies (including
the National Science Foundation) in issuing joint requests for proposals,
awarding grants, and administering grants, for similar or related research,
education, or extension projects or activities.
`(1) SECRETARY- The Secretary may transfer funds to, or receive funds
from, a cooperating Federal agency for the purpose of carrying out the joint
request for proposals, making awards, or administering grants.
`(2) COOPERATING AGENCY- The cooperating Federal agency may transfer
funds to, or receive funds from, the Secretary for the purpose of carrying
out the joint request for proposals, making awards, or administering
grants.
`(3) LIMITATIONS- Funds transferred or received under this subsection
shall be--
`(A) used only in accordance with the laws authorizing the
appropriation of the funds; and
`(B) made available by grant only to recipients that are eligible to
receive the grant under the laws.
`(1) SECRETARY- The Secretary may delegate authority to issue requests
for proposals, make grant awards, or administer grants, in whole or in part,
to a cooperating Federal agency.
`(2) COOPERATING FEDERAL AGENCY- The cooperating Federal agency may
delegate to the Secretary authority to issue requests for proposals, make
grant awards, or administer grants, in whole or in part.
`(d) REGULATIONS; RATES- The Secretary and a cooperating Federal agency
may agree to make applicable to recipients of grants--
`(1) the post-award grant administration regulations and indirect cost
rates applicable to recipients of grants from the Secretary; or
`(2) the post-award grant administration regulations and indirect cost
rates applicable to recipients of grants from the cooperating Federal
agency.
`(e) JOINT PEER REVIEW PANELS- Subject to section 1413B, the Secretary and
a cooperating Federal agency may establish joint peer review panels for the
purpose of evaluating grant proposals.'.
SEC. 716. SUPPLEMENTAL AND ALTERNATIVE CROPS.
Section 1473D(a) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3319d(a)) is amended by striking `2002'
and inserting `2006'.
SEC. 717. AQUACULTURE.
Section 1477 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3324) is amended in the first sentence
by striking `2002' and inserting `2006'.
SEC. 718. RANGELAND RESEARCH.
Section 1483(a) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3336(a)) is amended by striking `2002'
and inserting `2006'.
Subtitle B--Food, Agriculture, Conservation, and Trade Act of
1990
SEC. 731. NATIONAL GENETIC RESOURCES PROGRAM.
Section 1635(b) of the Food, Agriculture, Conservation, and Trade Act of
1990 (7 U.S.C. 5844(b)) is amended by striking `2002' and inserting `2006'.
SEC. 732. HIGH-PRIORITY RESEARCH AND EXTENSION INITIATIVES.
Section 1672(h) of the Food, Agriculture, Conservation, and Trade Act of
1990 (7 U.S.C. 5925(h)) is amended by striking `2002' and inserting `2006'.
SEC. 733. NUTRIENT MANAGEMENT RESEARCH AND EXTENSION INITIATIVE.
Section 1672A(g) of the Food, Agriculture, Conservation, and Trade Act of
1990 (7 U.S.C. 5925a(g)) is amended by striking `2002' and inserting
`2006'.
SEC. 734. ORGANIC AGRICULTURE RESEARCH AND EXTENSION INITIATIVE.
Section 1672B(e) of the Food, Agriculture, Conservation, and Trade Act of
1990 (7 U.S.C. 5925b(e)) is amended by striking `2002' and inserting
`2006'.
SEC. 735. AGRICULTURAL TELECOMMUNICATIONS PROGRAM.
Section 1673(h) of the Food, Agriculture, Conservation, and Trade Act of
1990 (7 U.S.C. 5926(h)) is amended by striking `2002' and inserting `2006'.
SEC. 736. ASSISTIVE TECHNOLOGY PROGRAM FOR FARMERS WITH DISABILITIES.
Section 1680(c)(1) of the Food, Agriculture, Conservation, and Trade Act
of 1990 (7 U.S.C. 5933(c)(1)) is amended by striking `2002' and inserting
`2006'.
Subtitle C--Agricultural Research, Extension, and Education Reform Act
of 1998
SEC. 741. INITIATIVE FOR FUTURE AGRICULTURE AND FOOD SYSTEMS.
Section 401(b) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7621(b)) is amended--
(1) by striking `IN GENERAL- ' and inserting `IN GENERAL-
`(A) TRANSFERS FOR FISCAL YEARS 1998 THROUGH 2001- ';
(2) by striking `2002' and inserting `2001'; and
(3) by adding at the end the following:
`(B) TRANSFERS FOR FISCAL YEARS 2003 THROUGH 2006- On October 1, 2002,
and each October 1 thereafter through October 1, 2005, out of any funds in
the Treasury not otherwise appropriated, the Secretary of the Treasury
shall transfer $360,000,000 to the Account.'.
SEC. 742. PARTNERSHIPS FOR HIGH-VALUE AGRICULTURAL PRODUCT QUALITY
RESEARCH.
Section 402(g) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7622(g)) is amended by striking `2002' and
inserting `2006'.
SEC. 743. PRECISION AGRICULTURE.
Section 403(i)(1) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7623(i)(1)) is amended by striking `2002' and
inserting `2006'.
SEC. 744. BIOBASED PRODUCTS.
Section 404 of the Agricultural Research, Extension, and Education Reform
Act of 1998 (7 U.S.C. 7624) is amended--
(1) in subsection (e)(2), by striking `2001' and inserting `2006';
and
(2) in subsection (h), by striking `2002' and inserting `2006'.
SEC. 745. THOMAS JEFFERSON INITIATIVE FOR CROP DIVERSIFICATION.
Section 405(h) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7625(h)) is amended by striking `2002' and
inserting `2006'.
SEC. 746. INTEGRATED RESEARCH, EDUCATION, AND EXTENSION COMPETITIVE GRANTS
PROGRAM.
Section 406 of the Agricultural Research, Extension, and Education Reform
Act of 1998 (7 U.S.C. 7626) is amended--
(1) by redesignating subsection (e) as subsection (f);
(2) by inserting after subsection (d) the following:
`(e) TERM OF GRANT- A grant under this section shall have a term of not
more than 5 years.'; and
(3) in subsection (f) (as so redesignated), by striking `2002' and
inserting `2006'.
SEC. 747. SUPPORT FOR RESEARCH REGARDING DISEASES OF WHEAT AND BARLEY CAUSED
BY FUSARIUM GRAMINEARUM.
Section 408(e) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7628(e)) is amended by striking `2002' and
inserting `2006'.
SEC. 748. OFFICE OF PEST MANAGEMENT POLICY.
Section 614(f) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7653(f)) is amended by striking `2002' and
inserting `2006'.
Subtitle D--Land-Grant Funding
CHAPTER 1--1862 INSTITUTIONS
SEC. 751. CARRYOVER.
Section 7 of the Hatch Act of 1887 (7 U.S.C. 361g) is amended by striking
subsection (c) and inserting the following:
`(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- 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.'.
SEC. 752. REPORTING OF TECHNOLOGY TRANSFER ACTIVITIES.
Section 7(e) of the Hatch Act of 1887 (7 U.S.C. 361g(e)) is amended by
adding at the end the following:
`(5) The technology transfer activities conducted with respect to
federally funded agricultural research.'.
SEC. 753. COMPLIANCE WITH MULTISTATE AND INTEGRATION REQUIREMENTS.
(a) MULTISTATE- Section 3 of the Smith-Lever Act (7 U.S.C. 343) is amended
by striking subsection (h) and inserting the following:
`(h) MULTISTATE COOPERATIVE EXTENSION ACTIVITIES-
`(1) DEFINITION OF MULTISTATE ACTIVITY- In this subsection, the term
`multistate activity' means a cooperative extension activity in which 2 or
more States cooperate to resolve problems that concern more than 1
State.
`(A) IN GENERAL- To receive funding under subsections (b) and (c) for
a fiscal year, a State, in the previous fiscal year, must have expended on
multistate activities an amount equivalent to not less than 25 percent of
the
funds paid to the State under subsections (b) and (c) for the previous fiscal
year.
`(B) DETERMINATION OF AMOUNT- In determining compliance with
subparagraph (A), the Secretary shall include all cooperative extension
funds expended by the State in the previous fiscal year, including
Federal, State, and local funds.
`(3) REDUCTION OF PERCENTAGE- The Secretary may reduce the minimum
percentage required to be expended for multistate activities under paragraph
(2) by a State in a case of hardship, infeasibility, or other similar
circumstances beyond the control of the State, as determined by the
Secretary.
`(4) 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 subsection.
`(5) APPLICABILITY- This subsection does not apply to funds
provided--
`(A) to 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)); or
`(B) to the Commonwealth of Puerto Rico, the Virgin Islands, or
Guam.'.
(b) INTEGRATED- Section 3 of the Hatch Act of 1887 (7 U.S.C. 361c) is
amended by striking subsection (i) and inserting the following:
`(i) INTEGRATED RESEARCH AND EXTENSION ACTIVITIES-
`(A) REQUIREMENT- To receive funding under this Act and subsections
(b) and (c) of section 3 of the Smith-Lever Act (7 U.S.C. 343) for a
fiscal year, a State, in the previous fiscal year, must have expended on
activities that integrate cooperative research and extension (referred to
in this section as `integrated activities') an amount equivalent to not
less than 25 percent of the funds paid to the State under this section and
subsections (b) and (c) of section 3 of the Smith-Lever Act (7 U.S.C. 343)
for the previous fiscal year.
`(B) DETERMINATION OF AMOUNT- In determining compliance with
subparagraph (A), the Secretary shall include all cooperative research and
extension funds expended by the State in the prior fiscal year, including
Federal, State, and local funds.
`(2) REDUCTION OF PERCENTAGE- The Secretary may reduce the minimum
percentage required to be expended for integrated activities under paragraph
(1) by a State in a case of hardship, infeasibility, or other similar
circumstances beyond the control of the State, as determined by the
Secretary.
`(3) PLAN OF WORK- The State shall include in the plan of work of the
State required under section 7 of this Act and under 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 subsection.
`(4) APPLICABILITY- This subsection does not apply to funds
provided--
`(A) to 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)); or
`(B) to the Commonwealth of Puerto Rico, the Virgin Islands, or
Guam.
`(5) RELATIONSHIP TO OTHER REQUIREMENTS- Funds described in paragraph
(1)(B) that a State uses to calculate the required amount of expenditures
for integrated activities under paragraph (1)(A) may also be used in the
same fiscal year to calculate the amount of expenditures for multistate
activities required under subsection (c)(3) of this section and section 3(h)
of the Smith-Lever Act (7 U.S.C. 343(h)).'.
(c) EFFECTIVE DATE- The amendments made by this section take effect on
October 1, 2002.
CHAPTER 2--1994 INSTITUTIONS
SEC. 754. EXTENSION AT 1994 INSTITUTIONS.
Section 3(b) of the Smith-Lever Act (7 U.S.C. 343(b)) is amended by
striking paragraph (3) and inserting the following:
`(3) EXTENSION AT 1994 INSTITUTIONS-
`(A) IN GENERAL- There are authorized to be appropriated for fiscal
year 2002 and each subsequent fiscal year, for payment to 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)),
such sums as are necessary for the purposes set forth in section 2, to
remain available until expended.
`(B) DISTRIBUTION- Amounts made available under subparagraph
(A)--
`(i) shall be distributed on the basis of a formula to be developed
and implemented by the Secretary, in consultation with the 1994
Institutions; and
`(ii) may include payments for extension activities carried out
during 1 or more fiscal years.
`(C) COOPERATIVE AGREEMENT- In accordance with such regulations as the
Secretary may promulgate, a 1994 Institution may administer funds received
under this paragraph through a cooperative agreement with an 1862
Institution or an 1890 Institution (as those terms are defined in section
2 of the Agricultural Research, Extension, and Education Reform Act of
1998 (7 U.S.C. 7601)).'.
SEC. 755. EQUITY IN EDUCATIONAL LAND-GRANT STATUS ACT OF 1994.
(a) TECHNICAL AMENDMENT TO REFLECT NAME CHANGES- Section 532 of the Equity
in Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public Law
103-382) is amended by striking paragraphs (1) through (30) and inserting the
following:
`(1) Bay Mills Community College.
`(2) Blackfeet Community College.
`(3) Cankdeska Cikana Community College.
`(4) College of Menominee Nation.
`(5) Crownpoint Institute of Technology.
`(8) Dull Knife Memorial College.
`(9) Fond du Lac Tribal and Community College.
`(10) Fort Belknap College.
`(11) Fort Berthold Community College.
`(12) Fort Peck Community College.
`(13) Haskell Indian Nations University.
`(14) Institute of American Indian and Alaska Native Culture and Arts
Development.
`(15) Lac Courte Oreilles Ojibwa Community College.
`(16) Leech Lake Tribal College.
`(17) Little Big Horn College.
`(18) Little Priest Tribal College.
`(19) Nebraska Indian Community College.
`(20) Northwest Indian College.
`(21) Oglala Lakota College.
`(22) Salish Kootenai College.
`(23) Sinte Gleska University.
`(24) Sisseton Wahpeton Community College.
`(25) Si Tanka/Huron University.
`(26) Sitting Bull College.
`(27) Southwestern Indian Polytechnic Institute.
`(28) Stone Child College.
`(29) Turtle Mountain Community College.
`(30) United Tribes Technical College.
`(31) White Earth Tribal and Community College.'.
(b) ACCREDITATION REQUIREMENT FOR RESEARCH GRANTS- Section 533(a)(3) 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 `sections 534 and 535' and
inserting `sections 534, 535, and 536'.
(c) LAND-GRANT STATUS 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 by striking `$4,600,000 for each of fiscal years 1996
through 2002' and inserting `such sums as are necessary for each of fiscal
years 2002 through 2006'.
(d) CHANGE OF INDIAN STUDENT COUNT FORMULA- Section 533(c)(4)(A) 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 `(as defined in section 390(3) of the Carl
D. Perkins Vocational and Applied Technology Education Act (20 U.S.C.
2397h(3)) for each 1994 Institution for the fiscal year' and inserting `(as
defined in section 2(a) of the Tribally Controlled College or University
Assistance Act of 1978 (25 U.S.C. 1801(a)))'.
(e) INCREASE IN INSTITUTIONAL PAYMENTS- Section 534(a)(1)(A) 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 `$50,000' and inserting `$100,000'.
(f) 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--
(1) in subsection (b)(1), by striking `2002' and inserting `2006';
and
(2) in subsection (c), by striking `$1,700,000 for each of fiscal years
1996 through 2002' and inserting `such sums as are necessary for each of
fiscal years 2002 through 2006'.
(g) 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 by striking `2002' and inserting `2006'.
SEC. 756. ELIGIBILITY FOR INTEGRATED GRANTS PROGRAM.
Section 406(b) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7626(b)) is amended by inserting `and 1994
Institutions' before `on a competitive basis'.
CHAPTER 3--1890 INSTITUTIONS
SEC. 757. AUTHORIZATION PERCENTAGES FOR RESEARCH AND EXTENSION FORMULA
FUNDS.
(a) EXTENSION- Section 1444(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3221(a)) is amended--
(1) by striking the second sentence; and
(2) in the third sentence, by striking `Beginning' through `6 per
centum' and inserting `Beginning with fiscal year 2002, there shall be
appropriated under this section for each fiscal year an amount that is not
less than 15 percent'.
(b) RESEARCH- Section 1445(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3222(a)) is amended--
(1) by striking `(a) There' and inserting the following:
`(a) AUTHORIZATION OF APPROPRIATIONS-
(2) by striking the second sentence and inserting the following:
`(2) MINIMUM AMOUNT- Beginning with fiscal year 2002, there shall be
appropriated under this section for each fiscal year an amount that is not
less than 25 percent of the total appropriations for the fiscal year under
section 3 of the Hatch Act of 1887 (7 U.S.C. 361c).';
(3) by striking `Funds appropriated' and inserting the following:
`(3) USES- Funds appropriated';
(4) by striking `The eligible' and inserting the following:
`(4) COORDINATION- The eligible'; and
(5) by striking `No more' and inserting the following:
`(5) CARRYOVER- No more'.
SEC. 758. CARRYOVER.
Section 1445(a) of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3222(a) (as amended by section 757(b))
is amended by striking paragraph (5) and inserting the following:
`(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- 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.'.
SEC. 759. REPORTING OF TECHNOLOGY TRANSFER ACTIVITIES.
Section 1445(c)(3) of the National Agriculture Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3222(c)(3)) is amended by adding at the
end the following:
`(F) The technology transfer activities conducted with respect to
federally-funded agricultural research.'.
SEC. 760. 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
`$15,000,000 for each of fiscal years 1996 through 2002' and inserting
`$25,000,000 for each of fiscal years 2002 through 2006'.
SEC. 761. NATIONAL RESEARCH AND TRAINING CENTENNIAL CENTERS.
Section 1448 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3222c) is amended by striking `2002'
each place it appears in subsections (a)(1) and (f) and inserting `2006'.
SEC. 762. MATCHING FUNDS REQUIREMENT FOR RESEARCH AND EXTENSION
ACTIVITIES.
Section 1449 of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3222d) is amended by striking
subsections (c) and (d) and inserting the following:
`(1) IN GENERAL- For each of fiscal years 2003 through 2006, the State
shall provide matching funds from non-Federal sources.
`(2) AMOUNT- The amount of the matching funds shall be equal to not less
than--
`(A) for fiscal year 2003, 60 percent of the formula funds to be
distributed to the eligible institution; and
`(B) for each of fiscal years 2004 through 2006, 110 percent of the
amount required under this paragraph for the previous fiscal
year.
`(d) WAIVERS- Notwithstanding subsection (f), for any of fiscal years 2003
through 2006, the Secretary may waive the matching funds requirement under
subsection (c) for any amount above the level of 50 percent for an eligible
institution of a State if the Secretary determines that the State will be
unlikely to meet the matching requirement.'.
CHAPTER 4--LAND-GRANT INSTITUTIONS
SEC. 771. DISTANCE EDUCATION GRANTS PROGRAM FOR INSULAR AREA LAND-GRANT
INSTITUTIONS.
The National Agricultural Research, Extension, and Teaching Policy Act of
1977 (7 U.S.C. 3101 et seq.) is amended by adding at the end the following:
`Subtitle N--Land Grant Institutions in Insular Areas
`SEC. 1484. DISTANCE EDUCATION GRANTS FOR INSULAR AREAS.
`(a) IN GENERAL- The Secretary may make competitive or noncompetitive
grants to State cooperative institutions in insular areas to strengthen the
capacity of State cooperative 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, including a
minority business or a business located in a HUBZone established under
section 31 of the Small Business Act (15 U.S.C. 657a); 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 State
cooperative institutions in the Atlantic and Pacific Oceans.
`(e) MATCHING REQUIREMENT-
`(1) IN GENERAL- The Secretary may establishment a requirement that a
State cooperative 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 requirement shall include an option for the Secretary to
waive the requirement for an insular area State cooperative 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 $4,000,000 for each of fiscal years
2002 through 2006.'.
SEC. 772. MATCHING REQUIREMENTS FOR RESEARCH AND EXTENSION FORMULA FUNDS FOR
INSULAR AREA LAND-GRANT INSTITUTIONS.
(a) EXPERIMENT STATIONS- Section 3(d) of the Hatch Act of 1887 (7 U.S.C.
361c(d)) is amended by striking paragraph (4) and inserting the following:
`(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.'.
(b) COOPERATIVE AGRICULTURAL EXTENSION- Section 3(e) of the Smith-Lever
Act (7 U.S.C. 343(e)) is amended by striking paragraph (4) and inserting the
following:
`(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.'.
SEC. 773. EDUCATION GRANTS FOR PACIFIC ISLANDER SERVING INSTITUTIONS.
Section 759(b) of the Agriculture, Rural Development, Food and Drug
Administration, and Related Agencies Appropriations Act, 2000 (7 U.S.C.
3242(b)), is amended--
(1) by redesignating paragraphs (1), (2), and (3) as paragraphs (2),
(3), and (4), respectively;
(2) by inserting after the subsection heading the following:
`(1) DEFINITION OF PACIFIC ISLANDER SERVING INSTITUTION- In this
subsection, the term `Pacific Islander serving institution' includes--
`(A) a land-grant institution in Guam, American Samoa, or the
Commonwealth of the Northern Mariana Islands; and
`(B) the College of Micronesia.';
(3) in paragraph (2) (as so redesignated), by striking `Native Hawaiian
serving institutions' the second place it appears and inserting `Native
Hawaiian serving institutions or Pacific Islander serving institutions;
and
(4) in paragraph (3) (as so redesignated)--
(A) by striking `Native Hawaiian serving institutions' each place it
appears and inserting `Native Hawaiian serving institutions or Pacific
Islander serving institutions'; and
(B) in subparagraph (C), by inserting `and affiliated Pacific insular
areas served by Pacific Islander serving institutions' after `United
States'.
CHAPTER 5--LAND-GRANT INSTITUTIONS
SEC. 776. PRIORITY-SETTING PROCESS.
Section 102(c) of the Agricultural Research, Extension, and Education
Reform Act of 1998 (7 U.S.C. 7612(c)) is amended--
(1) by striking `establish and implement a process for obtaining' and
inserting `obtain public'; and
(2) by striking the period at the end and inserting the following:
`through a process that reflects transparency and opportunity for input from
diverse agricultural crop, geographic, and cultural communities.'.
Subtitle E--Other Laws
SEC. 781. CRITICAL AGRICULTURAL MATERIALS.
Section 16(a) of the Critical Agricultural Materials Act (7 U.S.C.
178n(a)) is amended by striking `2002' and inserting `2006'.
SEC. 782. RESEARCH FACILITIES.
Section 6(a) of the Research Facilities Act (7 U.S.C. 390d(a)) is amended
by striking `2002' and inserting `2006'.
SEC. 783. FEDERAL AGRICULTURAL RESEARCH FACILITIES.
Section 1431 of the National Agricultural Research, Extension, and
Teaching Policy Act Amendments of 1985 (Public Law 99-198; 99 Stat. 1556) is
amended by striking `2002' and inserting `2006'.
SEC. 784. COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH GRANTS.
The Competitive, Special, and Facilities Research Grant Act (7 U.S.C.
450i) is amended in subsection (b)--
(1) in paragraph (2), by striking `in--' and all that follows and
inserting `, as those needs are determined by the Secretary, in consultation
with the National Agricultural Research, Extension, Education, and Economics
Advisory Board, not later
than July 1 of each fiscal year for the purposes of the following fiscal
year.'; and
(2) in paragraph (10), by striking `2002' and inserting `2006'.
SEC. 785. RISK MANAGEMENT EDUCATION FOR BEGINNING FARMERS AND RANCHERS.
Section 524(a)(3) of the Federal Crop Insurance Act (7 U.S.C. 1524(a)(3))
is amended by striking subparagraph (A) and inserting the following:
`(A) AUTHORITY- The Secretary, acting through the Cooperative State
Research, Education, and Extension Service, shall establish a program
under which competitive grants are made to qualified public and private
entities (including land-grant colleges and universities, cooperative
extension services, colleges or universities, and community colleges), as
determined by the Secretary, for the purpose of--
`(i) educating producers generally 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, and other
risk management strategies; or
`(ii) educating beginning farmers and ranchers--
`(I) in the areas described in clause (i); and
`(II) in risk management strategies, as part of programs that are
specifically targeted at beginning farmers and
ranchers.'.
SEC. 786. AQUACULTURE.
Section 10 of the National Aquaculture Act of 1980 (16 U.S.C. 2809) is
amended by striking `2002' each place it appears and inserting `2006'.
SEC. 787. BIOMASS RESEARCH AND DEVELOPMENT.
Sections 307(f) and 310 of the Biomass Research and Development Act of
2000 (7 U.S.C. 7624 note; Public Law 106-224) are amended by striking `2005'
each place it appears and inserting `2006'.
Subtitle F--New Authorities
SEC. 791. DEFINITIONS.
(1) DEPARTMENT- The term `Department' means the Department of
Agriculture.
(2) SECRETARY- The term `Secretary' means the Secretary of
Agriculture.
SEC. 792. REGULATORY AND INSPECTION RESEARCH.
(a) DEFINITIONS- In this section:
(1) INSPECTION OR REGULATORY AGENCY OF THE DEPARTMENT- The term
`inspection or regulatory agency of the Department' includes--
(A) the Animal and Plant Health Inspection Service;
(B) the Food Safety and Inspection Service;
(C) the Grain Inspection, Packers, and Stockyards Administration;
and
(D) the Agricultural Marketing Service.
(2) URGENT APPLIED RESEARCH NEEDS- The term `urgent, applied research
needs' includes research necessary to carry out--
(A) agricultural marketing programs;
(B) programs to protect the animal and plant resources of the United
States; and
(C) educational programs or special studies to improve the safety of
the food supply of the United States.
(b) TIMELY COST-EFFECTIVE RESEARCH- To meet the urgent applied research
needs of inspection or regulatory agencies of the Department, the
Secretary--
(1) may use a public or private source; and
(2) shall use the most practicable source to provide timely,
cost-effective means of providing the research.
(c) CONFLICTS OF INTEREST- The Secretary shall establish guidelines to
prevent any conflict of interest that may arise if an inspection or regulatory
agency of the Department obtains research from any Federal agency the work or
technology transfer efforts of which are funded in part by an industry subject
to the jurisdiction of the inspection or regulatory agency of the
Department.
(d) REGULATIONS- The Secretary may promulgate such regulations as are
necessary to carry out this section.
SEC. 793. EMERGENCY RESEARCH TRANSFER AUTHORITY.
(a) IN GENERAL- Subject to subsection (b), in addition to any other
authority that the Secretary may have to transfer appropriated funds, the
Secretary may transfer up to 2 percent of any appropriation made available to
an office or agency of the Department for a fiscal year for agricultural
research, extension, marketing, animal and plant health, nutrition, food
safety, nutrition education, or forestry programs to any other appropriation
for an office or agency of the Department for emergency research, extension,
or education activities needed to address imminent threats to animal and plant
health, food safety, or human nutrition, including bioterrorism.
(b) LIMITATIONS- The Secretary may transfer funds under subsection (a)
only--
(1) on a determination by the Secretary that the need is so imminent
that the need will not be timely met by annual, supplemental, or emergency
appropriations;
(2) in an aggregate amount that does not exceed $5,000,000 for any
fiscal year; and
(3) with the approval of the Director of the Office of Management and
Budget.
SEC. 794. REVIEW OF AGRICULTURAL RESEARCH SERVICE.
(a) IN GENERAL- The Secretary shall conduct a review of the purpose,
efficiency, effectiveness, and impact on agricultural research of the
Agricultural Research Service.
(b) ADMINISTRATION- In conducting the review, the Secretary shall use
persons outside the Department, including--
(2) college and university faculty;
(3) private and nonprofit scientists; or
(4) other persons familiar with the Agricultural Research Service and
the role of the Service in conducting agricultural research in the United
States.
(c) REPORT- Not later than September 30, 2004, the Secretary shall submit
to the Committee on Agriculture of the House of Representatives and the
Committee on Agriculture, Nutrition, and Forestry of the Senate a report on
the results of the review.
(d) FUNDING- The Secretary shall use to carry out this section not more
than 0.1 percent of the amount of appropriations made available to the
Agricultural Research Service for each of fiscal years 2002 through 2004.
SEC. 795. TECHNOLOGY TRANSFER FOR RURAL DEVELOPMENT.
(a) IN GENERAL- The Secretary, acting through the Rural
Business-Cooperative Service and the Agricultural Research Service, shall
establish a program to promote the availability of technology transfer
opportunities of the Department to rural businesses and residents.
(b) COMPONENTS OF PROGRAM- The program shall, to the maximum extent
practicable, include--
(1) a website featuring information about the program and technology
transfer opportunities of the Department;
(2) an annual joint program for State economic development directors and
Department rural development directors regarding technology transfer
opportunities of the Agricultural Research Service and other offices and
agencies of the Department; and
(3) technology transfer opportunity programs at each Agricultural
Research Service laboratory, conducted at least biennially, which may
include participation by other local Federal laboratories, as
appropriate.
(c) FUNDING- The Secretary shall use to carry out this section--
(1) amounts made available to the Agricultural Research Service;
and
(2) amounts made available to the Rural Business-Cooperative Service for
salaries and expenses.
SEC. 796. 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 foster training, education, outreach, and technical
assistance initiatives for beginning farmers or ranchers.
(1) IN GENERAL- In carrying out this section, the Secretary may make
competitive grants 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) mentoring, apprenticeships, and internships;
(B) resources and referral;
(C) assisting beginning farmers or ranchers in acquiring land from
retiring farmers and ranchers;
(D) innovative farm and ranch transfer strategies;
(E) entrepreneurship and business training;
(F) model land leasing contracts;
(G) financial management training;
(I) conservation assistance;
(J) risk management education;
(K) diversification and marketing strategies;
(L) curriculum development;
(M) understanding the impact of combination and
globalization;
(N) basic livestock and crop farming practices;
(O) the acquisition and management of agricultural credit;
(P) environmental compliance;
(Q) information processing; and
(R) other similar subject areas of use to beginning farmers or
ranchers.
(2) ELIGIBILITY- To be eligible to receive a grant under this
subsection, the recipient shall be a collaborative State, local, or
regionally-based network or partnership of public or private entities, which
may include--
(A) a State cooperative extension service;
(B) a Federal or State agency;
(C) a community-based and nongovernmental organization;
(D) a college or university (including an institution awarding an
associate's degree); or
(E) any other appropriate entities, as determined by the
Secretary.
(3) TERM OF GRANT- The term of a grant under this subsection shall not
exceed 3 years.
(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.
(5) SET-ASIDE- Not less than 25 percent of funds used to carry out this
subsection for a fiscal year shall be used to support programs and services
that address the needs of limited resource and socially disadvantaged
beginning farmers or ranchers.
(6) PROHIBITION- A grant made under this subsection may not be used for
the planning, repair, rehabilitation, acquisition, or construction of a
building or facility.
(1) IN GENERAL- The Secretary shall establish, and develop curricula
for, beginning farmer and rancher education teams to conduct educational
programs and workshops for beginning farmers or
ranchers in diverse geographical areas of the United States.
(2) CURRICULUM- In developing the curricula for the education teams, the
Secretary shall, to the maximum extent practicable, include modules 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- In carrying out this subsection, the Secretary shall
cooperate, to the maximum extent practicable, with--
(A) State cooperative extension services;
(B) Federal and State agencies;
(C) community-based and nongovernmental organizations;
(D) colleges and universities (including community colleges) or
foundations maintained by a college or university; and
(E) other appropriate entities, as determined by the
Secretary.
(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; and
(2) national, State, and local organizations, and other persons, with
expertise in operating beginning farmer and rancher programs.
(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 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 beginning farmers and ranchers.
(1) FEES AND CONTRIBUTIONS-
(A) IN GENERAL- The Secretary may--
(i) charge a fee to cover all or part of the costs of curriculum
development and the delivery of programs or workshops provided
by--
(I) a beginning farmer and rancher education team established
under subsection (d); or
(II) the online clearinghouse established under subsection (e);
and
(ii) notwithstanding chapter 63 of title 31, United States Code,
accept contributions from cooperating entities to cover all or part of
the costs for the delivery of programs or workshops by the beginning
farmer and rancher education teams.
(B) AVAILABILITY- Fees and contributions received by the Secretary
under subparagraph (A) shall--
(i) be deposited in the account that incurred the costs to carry out
this section, to remain available to the Secretary without further
appropriation and remain available until expended; and
(ii) be in addition to any funds made available under paragraph
(2).
(2) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this section $10,000,000 for each of fiscal years
2002 through 2006.
SEC. 797. SENSE OF CONGRESS REGARDING DOUBLING OF FUNDING FOR AGRICULTURAL
RESEARCH AND INCREASING CAPACITY FOR RESEARCH ON BIOSECURITY AND ANIMAL AND
PLANT HEALTH DISEASES.
(a) DOUBLING OF FUNDING FOR AGRICULTURAL RESEARCH- It is the sense of
Congress that--
(1) Federal funding for food and agricultural research has been
essentially constant for 2 decades, putting at risk the scientific base on
which food and agricultural advances have been made;
(2) the resulting increase in the relative proportion of private sector,
industry investments in food and agricultural research has led to questions
about the independence and objectivity of research and outreach conducted by
the Federal and university research sectors; and
(3) funding for food and agricultural research should be at least
doubled over the next 5 fiscal years--
(A) to restore the balance between public and private sector funding
for food and agricultural research; and
(B) to maintain the scientific base on which food and agricultural
advances are made.
(b) INCREASING CAPACITY FOR RESEARCH ON BIOSECURITY AND ANIMAL AND PLANT
HEALTH DISEASES- It is the sense of Congress that funding for the Agricultural
Research Service, the Animal and Plant Health Inspection Service, and other
agencies of the Department of Agriculture with responsibilities for
biosecurity should be increased as necessary to improve the capacity of the
agencies to conduct research and analysis of, and respond to, bioterrorism and
animal and plant diseases.
SEC. 798. RURAL POLICY RESEARCH.
(a) IN GENERAL- The Secretary may award competitive research grants for
policy research and analysis of rural issues relating to--
(2) effects of demographic change, including aging population,
outmigration, and labor resources;
(3) needs of groups of rural citizens, including senior citizens,
families, youth, children, and socially disadvantaged individuals;
(4) rural community development;
(5) rural infrastructure, including water and waste, community
facilities, telecommunications, electricity, and high-speed broadband
services;
(6) rural business development, including credit, venture capital,
cooperatives, and value-added enterprises;
(7) farm management, including strategic planning, business and
marketing opportunities, risk management, natural resources and
environmental management, and intergenerational transfer strategies;
(8) rural education and extension programs, including methods of
delivery, availability of resources, and use of distance learning; and
(9) rural health, including mental health, on-farm safety, and food
safety.
(b) REQUIREMENTS- In making grants under this section, the Secretary
shall--
(1) solicit and consider public input from persons who conduct or use
agricultural research, extension, education, or rural development programs;
and
(2) ensure that funded proposals will provide high-quality research that
may be of use to public policymakers and private entities in making
decisions that affect development in rural areas.
(c) ELIGIBLE GRANTEES- The Secretary may make a grant under this section
to--
(2) a college or university or a research foundation maintained by a
college or university;
(3) a State cooperative institution;
(5) a nonprofit organization, institution, or association;
(6) a business association;
(7) an agency of a State, local, or tribal government; or
(8) a regional partnership of public and private agencies.
(d) TERM- A grant under this section shall have a term that does not
exceed 5 years.
(1) IN GENERAL- Subject to paragraph (2), the Secretary may require as a
condition of the grant that the grant funding be matched, in whole or in
part, with matching funds from a non-Federal source.
(2) BUSINESS ASSOCIATIONS- The Secretary shall require that a grant to a
business association be matched with equal matching funds from a non-Federal
source.
(f) ADMINISTRATIVE COSTS- The Secretary may use not more than 4 percent of
the funds made available for grants under this section to pay administrative
costs incurred by the Secretary in carrying out this section.
(g) AUTHORIZATION OF APPROPRIATIONS-
(1) IN GENERAL- There are authorized to be appropriated such sums as are
necessary to carry out this section.
(2) AVAILABILITY OF FUNDS- Funds for grants under this section shall be
available to the Secretary for obligation for a 2-year period.
SEC. 798A. PRIORITY FOR FARMERS AND RANCHERS PARTICIPATING IN CONSERVATION
PROGRAMS.
In carrying out new on-farm research or extension programs or projects
authorized by this Act or any Act enacted after the date of enactment of this
Act, the Secretary of Agriculture shall give priority to using farms or
ranches of farmers or ranchers that participate in Federal agricultural
conservation programs.
Subtitle G--Administration
SEC. 799. EFFECT OF AMENDMENTS.
(a) IN GENERAL- Except as otherwise specifically provided in this title
and notwithstanding any other provision of law, this title and the amendments
made by this title shall not affect the authority of the Secretary of
Agriculture to carry out a research, extension, or education program for any
of the 1996 through 2002 fiscal years under a provision of law in effect
immediately before the enactment of this Act.
(b) LIABILITY- A provision of this title or an amendment made by this
title shall not affect the liability of any person under any provision of law
as in effect immediately before the enactment of this Act.
TITLE VIII--FORESTRY
SEC. 801. OFFICE OF INTERNATIONAL FORESTRY.
Section 2405(d) of the Global Climate Change Prevention Act of 1990 (7
U.S.C. 6704(d)) is amended by striking `2002' and inserting `2006'.
SEC. 802. RENEWABLE RESOURCES EXTENSION ACTIVITIES.
(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 `2002' and
inserting `2006'.
(b) EFFECTIVE 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 `2000'
and inserting `2006'.
SEC. 803. FORESTRY INCENTIVES PROGRAM.
Section 4(j) of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C.
2103(j)) is amended by striking `2002' and inserting `2006'.
SEC. 804. SUSTAINABLE FORESTRY ASSISTANCE PROGRAM.
The Cooperative Forestry Assistance Act of 1978 is amended by striking
section 6 (16 U.S.C. 2103b) and inserting the following:
`SEC. 6. SUSTAINABLE FORESTRY ASSISTANCE PROGRAM.
`(a) FINDINGS AND PURPOSES-
`(1) FINDINGS- Congress finds that--
`(A) the United States is becoming increasingly dependent on
nonindustrial private forest land to supply necessary market commodities
and nonmarket values;
`(B) there is a strong demand for expanded assistance programs for
owners of nonindustrial private forest land because the majority of the
wood supply of the United States comes from nonindustrial private forest
land;
`(C) the soil and water and air quality of the United States would be
maintained and improved through good stewardship of nonindustrial private
forest land;
`(D) the products and services resulting from stewardship of
nonindustrial private forest land provide income and employment that
contribute to the economic health and diversity of rural
communities;
`(E) catastrophic wildfires threaten human lives, property, forests,
and other resources;
`(F) Federal and State cooperation in forest fire prevention and
control has proven effective and valuable because properly managed forest
stands are less susceptible to catastrophic fire, as demonstrated by the
catastrophic fire seasons of 1998 and 2000;
`(G) owners of private nonindustrial forest land are being faced with
increased pressure to make that land available for development and other
uses;
`(H)(i) complex, long-rotation forest investments, including
sustainable hardwood management are often the most difficult commitments
for owners of small areas of nonindustrial private forest land;
and
`(ii) such investments in a small area of nonindustrial private forest
land should receive consideration equal to that given to owners of larger
areas of nonindustrial private forest land under cost-share programs;
and
`(I) the investment of a single Federal dollar in State and private
forestry programs is estimated to leverage, on the average, $9 from State,
local, and private sources.
`(2) PURPOSES- The purposes of this section are--
`(A) to strengthen the commitment of the Secretary to sustainable
forestry; and
`(B) to establish a coordinated and cooperative Federal, State, and
local sustainable forestry program for the establishment, management,
maintenance, enhancement, and restoration of forests on nonindustrial
private forest land.
`(b) DEFINITIONS- In this section:
`(1) COMMITTEE- The term `Committee' means a State Forest Stewardship
Coordinating Committee.
`(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) INITIATIVE- The term `initiative' means the Sustainable Forestry
Assistance Program established under subsection (c)(1).
`(4) MANAGEMENT PLAN- The term `management plan' means a stewardship,
forest, or stand management plan submitted under subsection (f)(3)(A).
`(5) NONINDUSTRIAL PRIVATE FOREST LAND- The term `nonindustrial private
forest land' means rural land, as determined by the Secretary, that--
`(A)(i) has existing tree cover; or
`(ii) is suitable for growing trees; and
`(B) is owned by any nonindustrial private individual, group,
association, corporation, Indian tribe, or other private legal
entity.
`(6) OWNER- The term `owner' means an owner of nonindustrial private
forest land.
`(7) STATE FORESTER- The term `State forester' means the director or
other head of a State forestry agency (or an equivalent State
official).
`(1) IN GENERAL- In consultation with State foresters, the Secretary
shall establish a sustainable forestry assistance program to--
`(A) provide financial, technical, educational, and related assistance
to State foresters; and
`(B) encourage the long-term sustainability of nonindustrial private
forest land in the United States by assisting the owners of nonindustrial
private forest land in more actively managing the nonindustrial private
forest land and related resources of those owners through the use of
State, Federal, and private sector resource management expertise,
financial assistance, and educational programs.
`(2) COORDINATION- The Secretary shall implement the initiative in
coordination with--
`(d) STATE PRIORITY PLAN- As a condition of receipt of funding under the
initiative, a State shall develop, in consultation with the committee of the
State, and submit to the Secretary, a 5-year plan that describes the funding
priorities of the State in meeting the goals of the initiative.
`(e) OBJECTIVES- In implementing the initiative, the Secretary shall
allocate resources of the Secretary among States in accordance with subsection
(k) to ensure, in accordance with the plan of each State described in
subsection (d)--
`(1) the investment in practices to establish, restore, protect, manage,
maintain, and enhance the health and productivity of the nonindustrial
private forest land in the United States;
`(2) the occurrence of afforestation, reforestation, improvement of
poorly stocked stands, timber stand improvement, practices necessary to
improve seedling growth and survival, and growth enhancement practices as
needed to enhance and sustain the long-term productivity of timber and
nontimber forest resources to--
`(A) meet projected public demand for forest resources; and
`(B) provide environmental benefits;
`(3) the protection of riparian buffers and forest wetland;
`(4) the preservation of fish and wildlife habitat;
`(5) the enhancement of soil and water quality;
`(6) through the use of agroforestry practices, the reduction of soil
erosion and maintenance of soil quality;
`(7) the maintenance and enhancement of the forest landbase;
`(8) the reduction of the threat of catastrophic wildfires; and
`(9) the preservation of aesthetic quality and opportunities for outdoor
recreation.
`(A) IN GENERAL- An owner shall be eligible to receive cost-share
assistance under the initiative if the owner--
`(i) agrees to develop and implement, in cooperation with, and with
the approval of, the State forester (or the head of a private sector
program in consultation with the State forester), a management plan (or
other written plan) that addresses site-specific activities and
practices;
`(ii) agrees to implement approved activities in accordance with a
management plan for a period of not less than 10 years, unless the State
forester approves a modification to the management plan; and
`(iii) except as provided in subparagraph (B), owns not more than
1,000 acres of nonindustrial private forest land.
`(B) EXCEPTION FOR SIGNIFICANT PUBLIC BENEFITS- Subject to paragraph
(2), the Secretary may approve the provision of cost-share assistance to
an owner that owns more than 1,000 acres of nonindustrial private forest
land if the Secretary, in consultation with the appropriate Committee,
determines that significant public benefits will accrue as a result of the
approval.
`(A) QUANTITY OF LAND- The Secretary shall not approve the provision
of cost-share assistance under paragraph (1) to any owner that owns more
than 5,000 acres of nonindustrial private forest land.
`(B) DUPLICATIVE ASSISTANCE- An owner shall receive no cost-share
assistance for management of nonindustrial private forest land under this
section if the owner receives cost-share assistance for that land under
the forestry incentives program under section 4.
`(3) MANAGEMENT PLAN- An owner that seeks to enroll nonindustrial
private forest land in the initiative shall--
`(A) submit to the State forester a management plan that--
`(i) meets the requirements of this section; and
`(ii)(I) is prepared by a professional resource manager;
`(II) identifies and describes projects and activities to be carried
out by the owner to protect soil, water, range, aesthetic quality,
recreation, timber, water, wetland, and fish and wildlife resources on
the land in a manner that is compatible with the objectives of the
owner; and
`(III) is approved by the State forester; and
`(B) agree that all projects and activities conducted on the land
shall be consistent with the management plan.
`(4) STATE PRIORITIES- The Secretary, in consultation with the
appropriate State forester and Committee, may establish State priorities for
cost sharing under the initiative that will promote the forest management
objectives of the State.
`(g) APPROVED ACTIVITIES-
`(1) IN GENERAL- The Secretary, in consultation with the appropriate
Committee, shall develop for each State a list of approved forest activities
and practices eligible for cost-share assistance under the initiative.
`(2) TYPES OF ACTIVITIES- Approved activities and practices under
paragraph (1) shall consist of activities and practices to establish,
restore, manage, maintain, and enhance forests and trees through--
`(A) the establishment, management, maintenance, and restoration of
forests for shelterbelts, windbreaks, aesthetic quality, and other
conservation purposes;
`(B) the sustainable growth and management of forests for timber
production;
`(C) the restoration, use, and enhancement of forest wetland and
riparian areas;
`(D) the protection of water quality and watersheds through--
`(i) the application of State-developed forestry best management
practices; and
`(ii) the planting of trees in riparian areas;
`(E) the preservation of habitat for flora and fauna;
`(F) the enhanced management and maintenance of native vegetation on
land vital to water quality;
`(G)(i) the control, detection, monitoring, and prevention of the
spread of invasive species and pests on forest land; and
`(ii) the provision of resources for the restoration of forest land
affected by invasive species and pests;
`(H) the conduct of other management activities, such as the reduction
of hazardous fuel use, that reduce the risks to forests posed by, and that
restore, recover, and mitigate the damage to forests caused by,
fire;
`(I) the development of management plans;
`(J) the management or development of fish and wildlife
habitat;
`(K) the acquisition of permanent easements to maintain forest cover;
and
`(L) the conduct of other activities approved by the Secretary, in
coordination with the appropriate Committees.
`(h) COOPERATION- In implementing the initiative, the Secretary shall
cooperate with--
`(1) other Federal, State, and local natural resource management
agencies;
`(3) institutions of higher education; and
`(1) IN GENERAL- An owner may receive cost-share assistance from the
Secretary, as the Secretary determines appropriate, for the cost of--
`(A) developing a management plan; and
`(B) implementing approved projects and activities in accordance with
the management plan.
`(2) RATE; SCHEDULE- The Secretary shall determine the rate and timing
of cost-share payments.
`(A) PERCENTAGE OF COST- Subject to subparagraph (B), a cost-share
payment shall not exceed the lesser of an amount equal to--
`(i) 75 percent of the total cost of implementing the project or
activity; or
`(ii) such lesser percentage of the total cost of implementing the
project or activity as is determined by the appropriate State
forester.
`(B) AGGREGATE PAYMENT LIMIT- The Secretary shall determine the
maximum aggregate amount of cost-share payments that an owner may receive
under this section.
`(1) IN GENERAL- The Secretary shall establish a procedure to recoup
cost-share payments made to an owner under this section in any case in which
the owner fails to implement a project or activity in accordance with the
management plan.
`(2) ADDITIONAL AUTHORITY- The authority under paragraph (1) is in
addition to any other authority available to the Secretary.
`(k) DISTRIBUTION- The Secretary shall distribute funds available for cost
sharing under the initiative among States only after considering--
`(1) the total acreage of nonindustrial private forest land in each
State that is environmentally fragile (considering the objectives of the
initiative as described in subsection (e));
`(2) the potential productivity of that land;
`(3) the number of owners eligible for cost sharing in each State;
`(4) the opportunities to enhance nontimber resources on that
land;
`(5) the anticipated demand for timber and nontimber resources in each
State;
`(6) the need to improve forest health to minimize the damaging effects
of catastrophic fire, insects, disease, or weather;
`(7) the need and demand for agroforestry practices in each State;
`(8) the need to maintain and enhance the forest landbase; and
`(9) the need for afforestation, reforestation, and timber stand
improvement.
`(l) COMMODITY CREDIT CORPORATION-
`(1) IN GENERAL- The Secretary shall use the funds, facilities, and
authorities of the Commodity Credit Corporation to carry out this
section.
`(2) FUNDING- Of the funds of the Commodity Credit Corporation, the
Secretary shall make available to carry out this section $70,000,000 for
each of fiscal years 2003 through 2006.'.
TITLE IX--ENERGY
SEC. 901. CARBON SEQUESTRATION DEMONSTRATION PROGRAM.
(a) FINDINGS- Congress finds that--
(1) greenhouse gas emissions resulting from human activity present
potential risks and potential opportunities for production
agriculture;
(2) there is a need to identify cost-effective methods that can be used
in the agricultural and forestry sectors to reduce the threat of climate
change;
(3) deforestation and other land use changes account for approximately
1,600,000,000 of the 7,900,000,000 metric tons of the average annual
worldwide quantity of carbon emitted during the 1990s;
(4) ocean and terrestrial systems each sequestered approximately
2,300,000,000 metric tons of carbon annually, resulting in a sequestration
of 60 percent of the annual human-induced emissions of carbon during the
1990s;
(5) there are opportunities for increasing the quantity of carbon that
can be stored in terrestrial systems through improved, human-induced
agricultural and forestry practices;
(6) increasing the carbon content of soil helps to reduce erosion,
reduce flooding, minimize the effects of drought, prevent nutrients and
pesticides from washing into water bodies, and contribute to water
infiltration, air and water holding capacity, and good seed germination and
plant growth;
(7) tree planting and wetland restoration could play a major role in
sequestering carbon and reducing greenhouse gas concentrations in the
atmosphere;
(8) nitrogen management is a cost-effective method of addressing
nutrient overenrichment in the estuaries of the United States and of
reducing emissions of nitrous oxide;
(9) animal feed and waste management can be cost-effective methods to
address water quality issues and reduce emissions of methane; and
(10) there is a need to--
(A) demonstrate that carbon sequestration in soils, plants, and
forests and reductions in greenhouse gas emissions through nitrogen and
animal feed and waste management can be measured and verified;
and
(B) develop and refine quantification, verification, and auditing
methodologies for carbon sequestration and greenhouse gas emission
reductions on a project by project basis.
(b) AMENDMENT- Title IV of the Agricultural Research, Extension, and
Education Reform Act of 1998 (7 U.S.C. 7621 et seq.) is amended by adding at
the end the following:
`SEC. 409. CARBON SEQUESTRATION DEMONSTRATION PROGRAM.
`(a) DEFINITIONS- In this section:
`(1) ELIGIBLE PROJECT- The term `eligible project' means a project that
is likely to result in--
`(A) demonstrable reductions in net emissions of greenhouse gases;
or
`(B) demonstrable net increases in the quantity of carbon sequestered
in soils and forests.
`(2) ENVIRONMENTAL TRADE- The term `environmental trade' means a
transaction between an
emitter of a greenhouse gas and an agricultural producer under which the
emitter pays to the agricultural producer a fee to sequester carbon or otherwise
reduce emissions of greenhouse gases.
`(3) PANEL- The term `panel' means the panel of experts established
under subsection (b)(4)(A).
`(4) SECRETARY- The term `Secretary' means the Secretary of Agriculture,
acting in consultation with--
`(A) the Under Secretary of Agriculture for Natural Resources and
Environment;
`(B) the Under Secretary of Agriculture for Research, Education, and
Economics;
`(C) the Chief Economist of the Department; and
`(b) DEMONSTRATION PROGRAM-
`(1) ESTABLISHMENT- The Secretary shall establish a program to provide
grants, on a competitive, cost-shared basis, to agricultural producers to
assist in paying the costs incurred in measuring, estimating, monitoring,
verifying, auditing, and testing methodologies involved in environmental
trades (including costs incurred in employing independent third persons to
carry out those activities).
`(2) CONDITIONS FOR RECEIPT OF GRANT- As a condition of the acceptance
of a grant under paragraph (1), an agricultural producer shall--
`(A) establish a carbon and greenhouse gas monitoring, verification,
and reporting system that meets such requirements as the Secretary shall
prescribe; and
`(B) under the system and through the use of an independent third
party for any necessary monitoring, verifying, reporting, and auditing,
measure and report to the Secretary the quantity of carbon sequestered, or
the quantity of greenhouse gas emissions reduced, as a result of the
conduct of an eligible project.
`(3) CRITERIA FOR AWARD OF GRANT-
`(A) IN GENERAL- In awarding a grant for an eligible project under
paragraph (1), the Secretary shall take into consideration--
`(i) the likelihood of the eligible project in succeeding in
achieving greenhouse gas emissions reductions and net carbon
sequestration increases; and
`(ii) the usefulness of the information to be obtained from the
eligible project in determining how best to quantify, monitor, and
verify sequestered carbon or reductions in greenhouse gas
emissions.
`(B) PRIORITY CRITERIA- The Secretary shall give priority in awarding
a grant under paragraph (1) to an eligible project that--
`(i) involves multiple parties, a whole farm approach, or any other
approach, such as the aggregation of land areas, that
would--
`(I) increase the environmental benefits or reduce the transaction
costs of the eligible project; and
`(II) reduce the costs of measuring, monitoring, and verifying any
net sequestration of carbon or net reduction in greenhouse gas
emissions;
`(ii) is designed to achieve long-term sequestration of carbon or
long-term reductions in greenhouse gas emissions;
`(iii) is designed to address concerns concerning
leakage;
`(iv) provides certain other benefits, such as improvements
in--
`(IV) soil erosion management; and
`(V) the use of renewable resources to produce energy;
or
`(v) does not involve the reforestation of land that has been
deforested since 1990.
`(A) IN GENERAL- The Secretary shall establish a panel to provide
advice and recommendations to the Secretary with respect to criteria for
awarding grants under this subsection.
`(B) COMPOSITION- The panel shall be composed of the following
representatives, to be appointed by the Secretary:
`(i) Experts from each of--
`(II) the Environmental Protection Agency; and
`(III) the Department of Energy.
`(ii) Experts from nongovernmental and academic
entities.
`(5) PAYMENT OF GRANT FUNDS- The Secretary shall provide a grant awarded
under this section in such number of installments as is necessary to ensure
proper implementation of an eligible project.
`(c) METHODOLOGY GRANT PROGRAM-
`(1) ESTABLISHMENT- The Secretary shall establish a program to provide
grants to determine the best methodologies for estimating and measuring
increases or decreases in--
`(A) agricultural greenhouse gas emissions; and
`(B) the quantity of carbon sequestered in soils and forests.
`(2) ELIGIBLE RECIPIENTS- The Secretary shall award a grant under
paragraph (1), on a competitive basis, to a college or university, or other
research institution, that seeks to demonstrate the viability of a
methodology described in paragraph (1).
`(d) DISSEMINATION OF INFORMATION- As soon as practicable after the date
of enactment of this section, the Secretary shall establish an Internet site
through which agricultural producers may obtain information concerning--
`(1) potential environmental trades; and
`(2) activities of the Secretary under this section.
`(e) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this section $20,000,000 for each of fiscal years
2002 through 2006.
`SEC. 410. PROCUREMENT AND TESTING OF BIOBASED PRODUCTS.
`(a) IN GENERAL- The Secretary, in consultation with the heads of other
Federal agencies, shall establish a program to require Federal agencies to
purchase biobased products that the Secretary determines are--
`(1) environmentally preferable; and
`(2) comparable to nonbiobased products in price, availability, and
performance.
`(b) GRANTS- The Secretary may make grants to eligible persons (as
determined by the Secretary) to assist in collecting data concerning testing
of, and performing lifecycle analyses of, biobased products for use in making
the determination under subsection (a).
`(c) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be
appropriated to carry out this section $500,000 for each of fiscal years 2003
through 2006.'.
Subtitle A--Agriculture Infrastructure Security
SEC. 1001. AGRICULTURE INFRASTRUCTURE SECURITY FUND.
(1) DEPARTMENT- The term `Department' means the Department of
Agriculture.
(2) FUND- The term `Fund' means the Agriculture Infrastructure Security
Fund Account established by subsection (b).
(3) SECRETARY- The term `Secretary' means the Secretary of
Agriculture.
(b) ESTABLISHMENT- There is established in the Treasury of the United
States an account, to be known as the `Agriculture Infrastructure Security
Fund Account', consisting of funds appropriated or transferred to the Fund
under subsection (d).
(c) PURPOSES- The purposes of the Fund are to provide funding to protect
and strengthen the Federal food safety and agricultural infrastructure
that--
(1) safeguards against animal and plant diseases and pests;
(2) ensures the safety of the food supply; and
(3) ensures sound science in support of food and agricultural
policy.
(1) INITIAL APPROPRIATION-
(A) IN GENERAL- Out of any moneys in the Treasury not otherwise
appropriated, there is appropriated to the Fund $400,000,000 for fiscal
year 2002.
(B) ENTITLEMENT- The Secretary--
(i) shall be entitled to receive the funds referred to in
subparagraph (A): and
(ii) shall accept the funds.
(2) SUBSEQUENT AUTHORIZATION OF APPROPRIATIONS- There are authorized to
be appropriated to the Fund such sums as are necessary for each of fiscal
years 2003 through 2006.
(3) CONTRIBUTIONS AND OTHER PROCEEDS- The Secretary shall deposit into
the Fund any funds received--
(A) as proceeds from the sale of assets under subsection (f);
or
(B) as gifts under subsection (g).
(4) AVAILABILITY OF FUNDS- Amounts in the Fund shall remain available
until expended without further Act of appropriation.
(e) EXPENDITURES FROM FUND-
(1) IN GENERAL- Subject to paragraph (2), on request by the Secretary,
the Secretary of the Treasury shall transfer from the Fund to the Secretary,
without further appropriation, such amounts as the Secretary determines to
be necessary to pay--
(A) the costs of planning, design, development, construction,
acquisition, modernization, leasing, and disposal of facilities,
equipment, and technology used by the Department in carrying out programs
relating to the purposes specified in subsection (c), notwithstanding the
Federal Property and Administrative Services Act of 1949 (40 U.S.C. 471 et
seq.) or any other law that prescribes procedures for the procurement,
use, or disposal of property or services by a Federal agency;
(B) the costs of acquisition of specialized services relating to the
purposes specified in subsection (c); and
(C) notwithstanding chapter 63 of title 31, United States Code, the
costs of entering into cooperative arrangements with State, local and
tribal governments, and other public and private entities, to carry out
programs relating to the purposes specified in subsection (c).
(A) FEDERAL EMPLOYEES- Amounts in the Fund shall not be used to create
any new full or part-time permanent Federal employee position.
(B) ADMINISTRATIVE EXPENSES- For any fiscal year, not more than 1
percent of the amounts remaining in the Fund may be used for
administrative expenses of the Secretary in carrying out the activities
described in paragraph (1).
(1) DISPOSAL AUTHORITY- Notwithstanding the Federal Property and
Administrative Services Act of 1949 (40 U.S.C. 471 et seq.), the Secretary
by sale may dispose of all or any part of any right or title in land
(excluding National Forest System land), facilities, or equipment in the
custody of the Department (including land and facilities at the Beltsville
Agricultural Research Center) used for the purposes specified in subsection
(c).
(2) DISPOSITION OF PROCEEDS- Proceeds from any sale conducted by the
Secretary under paragraph (1) shall be deposited into the Fund in accordance
with subsection (d)(3)(A).
(1) IN GENERAL- To carry out the purposes specified in subsection (c),
the Secretary may accept gifts (including bequests) of funds, property,
equipment, services, and other in-kind contributions from State, local, and
tribal governments, colleges and universities, individuals, and other public
and private entities.
(A) IN GENERAL- For the purposes of this subsection, the Secretary
shall not consider a State or local government, Indian tribe (as defined
in section 4 of the Indian Self-Determination and Education Assistance Act
(25 U.S.C. 450b)), other public entity, or college or university, to be a
prohibited source under any Department rule or policy that prohibits the
acceptance of gifts from individuals and entities that do business with
the Department.
(B) EXCEPTION- Notwithstanding any Department rule or policy that
prohibits the acceptance of gifts by the Department from individuals or
private entities that do business with the Department or that, for any
other reason, are considered to be prohibited sources, the Secretary may
accept gifts under this subsection if the Secretary determines that it is
in the public interest to accept the gift.
(3) DISPOSITION OF GIFTS- The Secretary shall deposit any gift of funds
under this subsection into the Fund in accordance with subsection
(d)(3)(B).
SEC. 1002. AGRICULTURE INFRASTRUCTURE SECURITY COMMISSION.
(a) DEFINITIONS- In this section:
(1) AGRICULTURAL RESEARCH FACILITY- The term `agricultural research
facility' means a facility--
(A) at which agricultural research is regularly carried out or
proposed to be carried out; and
(i)(I) an Agricultural Research Service facility; or
(II) a Forest Service facility;
(ii) a Federal agricultural facility in the process of being planned
or being constructed; or
(iii) any other facility under the jurisdiction of the
Secretary.
(2) COMMISSION- The term `Commission' means the Agriculture
Infrastructure Security Commission established under subsection (b).
(3) DEPARTMENT- The term `Department' means the Department of
Agriculture.
(4) SECRETARY- The term `Secretary' means the Secretary of
Agriculture.
(b) ESTABLISHMENT OF COMMISSION- The Secretary shall establish a
commission to be known as the `Agriculture Infrastructure Security Commission'
to carry out the duties described in subsection (g).
(i) IN GENERAL- The Commission shall be composed of 15 voting
members, appointed by the Secretary in accordance with clause (ii),
based on nominations solicited from the public.
(ii) QUALIFICATIONS- The Secretary shall appoint members
that--
(I) represent a balance of the public and private sectors;
and
(aa) facilities development, modernization, construction, security,
consolidation, and closure;
(bb) plant diseases and pests;
(cc) animal diseases and pests;
(dd) food safety;
(ee) biosecurity;
(ff) the needs of farmers and ranchers;
(gg) public health;
(hh) State, local, and tribal government; and
(ii) any other area related to agriculture infrastructure security,
as determined by the Secretary.
(B) NONVOTING MEMBERS- The Commission shall be composed of the
following nonvoting members:
(ii) 4 representatives appointed by the Secretary of Health and
Human Services from--
(I) the Public Health Service;
(II) the National Institutes of Health;
(III) the Centers for Disease Control and Prevention;
and
(IV) the Food and Drug Administration.
(iii) 1 representative appointed by the Attorney
General.
(iv) 1 representative appointed by the Director of Homeland
Security.
(v) Not more than 4 representatives of the Department appointed by
the Secretary.
(2) DATE OF APPOINTMENT- The appointment of a member of the Commission
shall be made not later than 90 days after the date of enactment of this
Act.
(1) TERM- The term of office of a member of the Commission shall be 4
years, except that the members initially appointed shall be appointed to
serve staggered terms (as determined by the Secretary).
(2) VACANCIES- A vacancy on the Commission shall be filled in the same
manner as the original appointment was made.
(1) IN GENERAL- The Commission shall meet at the call of--
(B) a majority of the voting members of the Commission; or
(2) FEDERAL ADVISORY COMMITTEE ACT-
(A) IN GENERAL- The Federal Advisory Committee Act (5 U.S.C. App.) and
title XVIII of the Food and Agriculture Act of 1977 (7 U.S.C. 2281 et
seq.) shall not apply to the Commission.
(B) OPEN MEETINGS; RECORDS- Subject to subparagraph (C)--
(i) a meeting of the Commission shall be--
(I) publicly announced in advance; and
(II) open to the public; and
(ii) the Commission shall--
(I) keep detailed minutes of each meeting and other appropriate
records of the activities of the Commission; and
(II) make the minutes and records available to the public on
request.
(C) EXCEPTION- When required in the interest of national
security--
(i) the Chairperson may choose not to give public notice of a
meeting;
(ii) the Chairperson may close all or a portion of any meeting to
the public, and the minutes of the meeting, or portion of a meeting,
shall not be made available to the public; and
(iii) by majority vote, the Commission may redact the minutes of a
meeting that was open to the public.
(f) CHAIRPERSON- The Secretary shall select a Chairperson from among the
voting members of the Commission.
(1) IN GENERAL- The Commission shall--
(A) advise the Secretary on the uses of the Agriculture Infrastructure
Security Fund established by section 1001;
(B) review all agricultural research facilities for--
(i) research importance; and
(ii) importance to agriculture infrastructure security;
(C) identify any agricultural research facility that should be closed,
realigned, consolidated, or modernized to carry out the research agenda of
the Secretary and protect agriculture infrastructure security;
(D) develop recommendations concerning agricultural research
facilities; and
(E)(i) evaluate the agricultural research facilities acquisition and
modernization system (including acquisitions by gift, grant, or any other
form of agreement) used by the Department; and
(ii) based on the evaluation, recommend improvements to the
system.
(2) STRATEGIC PLAN- To assist the Commission in carrying out the duties
described in paragraph (1), the Commission shall use the 10-year
strategic plan prepared by the Strategic Planning Task Force established
under section 4 of the Research Facilities Act (7 U.S.C. 390b).
(A) IN GENERAL- Not later than 240 days after the date of enactment of
this Act, and each June 1 thereafter, the Commission shall prepare and
submit to the Secretary, the Committee on Agriculture and the Committee on
Appropriations of the House of Representatives, and the Committee on
Agriculture, Nutrition, and Forestry and the Committee on Appropriations
of the Senate, a report on the findings and recommendations under
paragraph (1).
(B) WRITTEN RESPONSE- Not later than 90 days after the date of receipt
of a report from the Commission under subparagraph (A), the Secretary
shall provide to the Commission a written response concerning the manner
and extent to which the Secretary will implement the recommendations in
the report.
(i) IN GENERAL- Subject to clause (ii), the report submitted by the
Commission, and any response made by the Secretary, under this
subsection shall be available to the public.
(I) NATIONAL SECURITY- The Commission or the Secretary may
determine that any report or response, or any portion of a report or
response, shall not be publicly released in the interest of national
security.
(II) FREEDOM OF INFORMATION ACT- Upon such a determination, the
report or response, a portion of the report or response, or any
records relating to the report or response, shall not be released
under section 552 of title 5, United States Code.
(h) COMMISSION PERSONNEL MATTERS-
(1) COMPENSATION OF MEMBERS-
(A) NON-FEDERAL EMPLOYEES- A voting member of the Commission who is
not a regular full-time employee of the Federal Government shall, while
attending meetings of the Commission or otherwise engaged in the business
of the Commission (including travel time), be entitled to receive
compensation at a rate fixed by the Secretary, but not exceeding the daily
equivalent of the annual rate specified at the time of such service under
GS-15 of the General Schedule established under section 5332 of title 5,
United States Code.
(B) TRAVEL EXPENSES- A voting 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.
(2) STAFF- The Secretary shall provide the Commission with any personnel
and other resources as the Secretary determines appropriate.
(i) AUTHORIZATION OF APPROPRIATIONS-
(1) FISCAL YEAR 2002- For the purpose of establishing the Commission,
the Secretary shall use, for fiscal year 2002, such sums from the
Agriculture Infrastructure Security Fund established by section 1001 as the
Secretary determines to be appropriate.
(2) FISCAL YEARS 2003 THROUGH 2006- There are authorized to be
appropriated to carry out this section such sums as are necessary for each
of fiscal years 2002 through 2006.
Subtitle B--Outreach and Assistance for Socially Disadvantaged Farmers
and Ranchers
SEC. 1011. OUTREACH AND ASSISTANCE FOR SOCIALLY DISADVANTAGED FARMERS AND
RANCHERS.
Section 2501 of the Food, Agriculture, Conservation, and Trade Act of 1990
(7 U.S.C. 2279) is amended by striking subsection (a) and inserting the
following:
`(a) OUTREACH AND ASSISTANCE-
`(1) DEFINITIONS- In this subsection:
`(A) DEPARTMENT- The term `Department' means the Department of
Agriculture.
`(B) ELIGIBLE ENTITY- The term `eligible entity' means--
`(i) 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;
`(II) provides documentary evidence of work with socially
disadvantaged farmers and ranchers during the 2-year period preceding
the submission of an application for assistance under this subsection;
and
`(III) does not engage in activities prohibited under section
501(c)(3) of the Internal Revenue Code of 1986;
`(ii)(I) a land-grant college or university (as defined in section
1404 of the National Agricultural Research, Extension, and Teaching
Policy Act of 1977 (7 U.S.C. 3103));
`(II) an Indian tribal community college;
`(III) an Alaska Native cooperative college;
`(IV) a 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)); and
`(V) 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; and
`(iii) 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.
`(C) SECRETARY- The term `Secretary' means the Secretary of
Agriculture.
`(2) PROGRAM- The Secretary shall carry out an outreach and technical
assistance program to encourage and assist socially disadvantaged farmers
and 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.
`(3) REQUIREMENTS- The outreach and technical assistance program under
paragraph (2) shall--
`(A) enhance coordination of the outreach, technical assistance, and
education efforts authorized under various agriculture programs;
and
`(B) include information on and assistance with--
`(i) commodity, conservation, credit, rural, and business
development programs;
`(ii) application and bidding procedures;
`(iii) farm and risk management;
`(v) other activities essential to participation in agricultural and
other programs of the Department.
`(4) GRANTS AND CONTRACTS- The Secretary may make grants to, and enter
into contracts and other agreements with, an eligible entity to provide
information and technical assistance under this subsection.
`(5) FUNDING- There is authorized to be appropriated to carry out this
subsection, $25,000,000 for each fiscal year.'.
END