[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6849 Enrolled Bill (ENR)]
H.R.6849
One Hundred Tenth Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Thursday,
the third day of January, two thousand and eight
An Act
To amend the commodity provisions of the Food, Conservation, and Energy
Act of 2008 to permit producers to aggregate base acres and reconstitute
farms to avoid the prohibition on receiving direct payments, counter-
cyclical payments, or average crop revenue election payments when the
sum of the base acres of a farm is 10 acres or less, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

dc497fdc3ad6fdcf1761ab5ed87cc6ed784a800c33de804388b5fc5b0fcd1ed1

(a) Suspension of Prohibition.--
(1) In general.--Section 1101(d) of the Food, Conservation, and
Energy Act of 2008 (7 U.S.C. 8711(d)) is amended by adding at the
end the following:
``(4) Suspension of prohibition.--Paragraphs (1) through (3)
shall not apply during the 2008 crop year.''.
(2) Peanuts.--Section 1302(d) of the Food, Conservation, and
Energy Act of 2008 (7 U.S.C. 8752(d)) is amended by adding at the
end the following:
``(4) Suspension of prohibition.--Paragraphs (1) through (3)
shall not apply during the 2008 crop year.''.
(b) Extension of 2008 Signup for Direct Payments and Counter-
Cyclical Payments.--
(1) In general.--Section 1106 of the Food, Conservation, and
Energy Act of 2008 (7 U.S.C. 8716) is amended by adding at the end
the following:
``(f) Extension of 2008 Signup.--
``(1) In general.--Notwithstanding any other provision of law,
the Secretary shall extend the 2008 crop year deadline for the
signup for benefits under this subtitle by producers on a farm with
base acres of 10 acres or less until the later of--
``(A) November 14, 2008; or
``(B) the end of the 45-day period beginning on the date of
the enactment of this subsection.
``(2) Penalties.--The Secretary shall ensure that no penalty
with respect to benefits under this subtitle or subtitle B is
assessed against producers on a farm described in paragraph (1) for
failure to submit reports under this section or timely comply with
other program requirements as a result of compliance with the
extended signup deadline under that paragraph.''.
(2) Peanuts.--Section 1305 of the Food, Conservation, and
Energy Act of 2008 (7 U.S.C. 8755) is amended by adding at the end
the following:
``(f) Extension of 2008 Signup.--
``(1) In general.--Notwithstanding any other provision of law,
the Secretary shall extend the 2008 crop year deadline for the
signup for benefits under this subtitle by producers on a farm with
base acres of 10 acres or less until the later of--
``(A) November 14, 2008; or
``(B) the end of the 45-day period beginning on the date of
the enactment of this subsection.
``(2) Penalties.--The Secretary shall ensure that no penalty
with respect to benefits under this subtitle is assessed against
producers on a farm described in paragraph (1) for failure to
submit reports under this section or timely comply with other
program requirements as a result of compliance with the extended
signup deadline under that paragraph.''.
(c) Offsetting Reduction.--Section 515(k)(1) of the Federal Crop
Insurance Act (7 U.S.C. 1515(k)(1)) is amended by striking ``2011'' and
inserting ``2010, and not more than $9,000,000 for fiscal year 2011''.

0bf148a77071fdb26d563070dd34bdeab494782e28e198ce30d681ef8a6e7321

(a) Federal Crop Insurance Act.--
(1) Definitions.--Section 531(a) of the Federal Crop Insurance
Act (7 U.S.C. 1531(a)) is amended--
(A) in paragraph (3)(B), by inserting ``has'' after ``on a
farm that'';
(B) in paragraph (4), by striking ``section 1102 of the
Farm Security and Rural Investment Act of 2002'' and all that
follows through the end of the paragraph and inserting
``under--
``(i) section 1102 or 1302 of the Farm Security and
Rural Investment Act of 2002 (7 U.S.C. 7912, 7952);
``(ii) section 1102 or 1301(6) of the Food,
Conservation, and Energy Act of 2008 (7 U.S.C. 8712,
8751(6)); or
``(iii) a successor section.'';
(C) in paragraph (5)(B)(ii), by striking ``, the total
loss'' and all that follows through the end of the paragraph
and adding ``the actual production on the farm is less than 50
percent of the normal production on the farm.'';
(D) in paragraph (7)--
(i) in subparagraph (A), by inserting ``for sale or on-
farm livestock feeding (including native grassland intended
for haying)'' after ``harvest''; and
(ii) in subparagraph (C), by inserting ``for sale''
after ``crop'';
(E) by redesignating paragraphs (2) through (4), (5)
through (12), and (13) through (18) as paragraphs (3) through
(5), (7) through (14), and (16) through (21), respectively;
(F) by inserting after paragraph (1) the following:
``(2) Actual production on the farm.--The term `actual
production on the farm' means the sum of the value of all crops
produced on the farm, as determined under subsection (b)(6)(B).'';
(G) by inserting after paragraph (5) (as redesignated by
subparagraph (E)) the following:
``(6) Crop of economic significance.--The term `crop of
economic significance' shall have the uniform meaning given the
term by the Secretary for purposes of subsections (b)(1)(B) and
(g)(6).''; and
(H) by inserting after paragraph (14) (as redesignated by
subparagraph (E)) the following:
``(15) Normal production on the farm.--The term `normal
production on the farm' means the sum of the expected revenue for
all crops on the farm, as determined under subsection (b)(6)(A).''.
(2) Supplemental revenue assistance payments.--Section 531(b)
of the Federal Crop Insurance Act (7 U.S.C. 1531(b)) is amended--
(A) in paragraph (1)--
(i) by striking ``(1) in general.--The Secretary'' and
inserting the following:
``(1) Payments.--
``(A) In general.--The Secretary''; and
(ii) by adding at the end the following:
``(B) Crop loss.--To be eligible for crop loss assistance
under this subsection, the actual production on the farm for at
least 1 crop of economic significance shall be reduced by at
least 10 percent due to disaster, adverse weather, or disaster-
related conditions.'';
(B) in paragraph (2), by adding at the end the following:
``(C) Exclusion of subsequently planted crops.--In
calculating the disaster assistance program guarantee under
paragraph (3) and the total farm revenue under paragraph (4),
the Secretary shall not consider the value of any crop that--
``(i) is produced on land that is not eligible for a
policy or plan of insurance under subtitle A or assistance
under the noninsured crop assistance program; or
``(ii) is subsequently planted on the same land during
the same crop year as the crop for which disaster
assistance is provided under this subsection, except in
areas in which double-cropping is a normal practice, as
determined by the Secretary.'';
(C) in paragraph (3)(A)(ii)(III)--
(i) in the matter before item (aa), by inserting ``50
percent of'' before ``the higher of''; and
(ii) in item (aa), by striking ``guarantee'';
(D) in paragraph (4)--
(i) in subparagraph (A)(i)--
(I) by striking subclauses (I) and (II) and
inserting the following:
``(I) the actual production by crop on a farm for
purposes of determining losses under subtitle A or the
noninsured crop assistance program; and''; and
(II) by redesignating subclause (III) as subclause
(II);
(ii) in subparagraph (B)--
(I) in clause (i), by striking ``and'' at the end;
(II) in clause (ii), by striking the period at the
end and inserting ``; and''; and
(iii) by adding at the end the following:
``(iii) as the Secretary determines appropriate, to
reflect regional variations in a manner consistent with the
operation of the crop insurance program under subtitle A
and the noninsured crop assistance program.'';
(E) in paragraph (5)--
(i) in the matter preceding subparagraph (A), by
striking ``the sum obtained by adding'';
(ii) in subparagraph (A)--
(I) in the matter preceding clause (i), by striking
``the product'' and inserting ``for each insurable
commodity, the product'';
(II) in clause (i), by striking ``greatest'' and
inserting ``greater'';
(III) in clause (iii), by striking ``of the
insurance price guarantee; and'' and inserting ``of the
price election for the commodity used to calculate an
indemnity for an applicable policy of insurance if an
indemnity is triggered; and''; and
(iii) in subparagraph (B)--
(I) in the matter preceding clause (i), by striking
``the product'' and inserting ``for each noninsurable
crop, the product'';
(II) in clause (i), by striking ``and'' at the end;
(III) by redesignating clause (ii) as clause (iii);
and
(IV) by inserting after clause (i) the following:
``(ii) the acreage planted or prevented from being
planted for each crop; and''; and
(F) by adding at the end the following:
``(6) Production on the farm.--
``(A) Normal production on the farm.--The normal production
on the farm shall equal the sum of the expected revenue for
each crop on a farm as determined under paragraph (5).
``(B) Actual production on the farm.--The actual production
on the farm shall equal the sum obtained by adding--
``(i) for each insurable commodity on the farm, the
product obtained by multiplying--
``(I) 100 percent of the price election for the
commodity used to calculate an indemnity for an
applicable policy of insurance if an indemnity is
triggered; and
``(II) the quantity of the commodity produced on
the farm, adjusted for quality losses; and
``(ii) for each noninsurable commodity on a farm, the
product obtained by multiplying--
``(I) 100 percent of the noninsured crop assistance
program established price for the commodity; and
``(II) the quantity of the commodity produced on
the farm, adjusted for quality losses.''.
(3) Waiver for socially disadvantaged, limited resource, or
beginning farmer or rancher.--Section 531(d)(5)(B)(ii) of the
Federal Crop Insurance Act (7 U.S.C. 1531(d)(5)(B)(ii)) is amended
by striking ``section'' and inserting ``subsection''.
(4) Tree assistance program.--Section 531(f)(2)(A) of the
Federal Crop Insurance Act (7 U.S.C. 1531(f)(2)(A)) is amended by
striking ``the Secretary shall provide'' and inserting ``the
Secretary shall use such sums as are necessary from the Trust Fund
to provide''.
(5) De minimis exception to risk management purchase
requirement.--Section 531(g) of the Federal Crop Insurance Act (7
U.S.C. 1531(g)) is amended by adding at the end the following:
``(6) De minimis exception.--
``(A) In general.--For purposes of assistance under
subsection (b), at the option of an eligible producer on a
farm, the Secretary shall waive paragraph (1)--
``(i) in the case of a portion of the total acreage of
a farm of the eligible producer that is not of economic
significance on the farm, as established by the Secretary;
or
``(ii) in the case of a crop for which the
administrative fee required for the purchase of noninsured
crop disaster assistance coverage exceeds 10 percent of the
value of that coverage.
``(B) Treatment of acreage.--The Secretary shall not
consider the value of any crop exempted under subparagraph (A)
in calculating the supplemental revenue assistance program
guarantee under subsection (b)(3) and the total farm revenue
under subsection (b)(4).''.
(6) Risk management purchase requirement waiver for 2009 crop
year.--Section 531(g) of the Federal Crop Insurance Act (7 U.S.C.
1531(g)) is amended--
(A) in paragraph (1)--
(i) in the matter preceding subparagraph (A), by
striking ``(other than subsection (c))'' and inserting
``(other than subsections (c) and (d))''; and
(ii) in subparagraph (A), by inserting ``, excluding
grazing land'' after ``producers on the farm'';
(B) in paragraph (2), by striking ``grazed, planted,'' and
inserting ``planted'';
(C) in paragraph (4), by striking ``(4)'' and all that
follows through ``In the case'' and inserting the following:
``(4) Waivers for certain crop years.--
``(A) 2008 crop year.--In the case''; and
(D) by adding at the end the following:
``(B) 2009 crop year.--In the case of an insurable
commodity or noninsurable commodity for the 2009 crop year that
does not meet the requirements of paragraph (1) and the
relevant crop insurance program sales closing date or
noninsured crop assistance program fee payment date was prior
to August 14, 2008, the Secretary shall waive paragraph (1) if
the eligible producer of the insurable commodity or
noninsurable commodity pays a fee in an amount equal to the
applicable noninsured crop assistance program fee or
catastrophic risk protection plan fee required under paragraph
(1) to the Secretary not later than 90 days after the date of
enactment of this subparagraph.''.
(7) Payment limitations.--Section 531(h) of the Federal Crop
Insurance Act (7 U.S.C. 1531) is amended by adding at the end the
following:
``(5) Transition rule.--Sections 1001, 1001A, 1001B, and 1001D
of the Food Security Act of 1985 (7 U.S.C. 1308 et seq.) as in
effect on September 30, 2007, shall continue to apply with respect
to 2008 crops.''.
(b) Trade Act of 1974.--
(1) Definitions.--Section 901(a) of the Trade Act of 1974 (19
U.S.C. 2497(a)) is amended--
(A) in paragraph (3)(B), by inserting ``has'' after ``on a
farm that'';
(B) in paragraph (4), by striking ``section 1102 of the
Farm Security and Rural Investment Act of 2002'' and all that
follows through the end of the paragraph and inserting
``under--
``(i) section 1102 or 1302 of the Farm Security and
Rural Investment Act of 2002 (7 U.S.C. 7912, 7952);
``(ii) section 1102 or 1301(6) of the Food,
Conservation, and Energy Act of 2008 (7 U.S.C. 8712,
8751(6)); or
``(iii) a successor section.'';
(C) in paragraph (5)(B)(ii), by striking ``, the total
loss'' and all that follows through the end of the paragraph
and adding ``the actual production on the farm is less than 50
percent of the normal production on the farm.'';
(D) in paragraph (7)--
(i) in subparagraph (A), by inserting ``for sale or on-
farm livestock feeding (including native grassland intended
for haying)'' after ``harvest''; and
(ii) in subparagraph (C), by inserting ``for sale''
after ``crop'';
(E) by redesignating paragraphs (2) through (4), (5)
through (12), and (13) through (18) as paragraphs (3) through
(5), (7) through (14), and (16) through (21), respectively;
(F) by inserting after paragraph (1) the following:
``(2) Actual production on the farm.--The term `actual
production on the farm' means the sum of the value of all crops
produced on the farm, as determined under subsection (b)(6)(B).'';
(G) by inserting after paragraph (5) (as redesignated by
subparagraph (E)) the following:
``(6) Crop of economic significance.--The term `crop of
economic significance' shall have the uniform meaning given the
term by the Secretary for purposes of subsections (b)(1)(B) and
(g)(6).''; and
(H) by inserting after paragraph (14) (as redesignated by
subparagraph (E)) the following:
``(15) Normal production on the farm.--The term `normal
production on the farm' means the sum of the expected revenue for
all crops on the farm, as determined under subsection (b)(6)(A).''.
(2) Supplemental revenue assistance payments.--Section 901(b)
of the Trade Act of 1974 (19 U.S.C. 2497(b)) is amended--
(A) in paragraph (1)--
(i) by striking ``(1) in general.--The Secretary'' and
inserting the following:
``(1) Payments.--
``(A) In general.--The Secretary''; and
(ii) by adding at the end the following:
``(B) Crop loss.--To be eligible for crop loss assistance
under this subsection, the actual production on the farm for at
least 1 crop of economic significance shall be reduced by at
least 10 percent due to disaster, adverse weather, or disaster-
related conditions.'';
(B) in paragraph (2), by adding at the end the following:
``(C) Exclusion of subsequently planted crops.--In
calculating the disaster assistance program guarantee under
paragraph (3) and the total farm revenue under paragraph (4),
the Secretary shall not consider the value of any crop that--
``(i) is produced on land that is not eligible for a
policy or plan of insurance under the Federal Crop
Insurance Act (7 U.S.C. 1501 et seq.) or assistance under
the noninsured crop assistance program; or
``(ii) is subsequently planted on the same land during
the same crop year as the crop for which disaster
assistance is provided under this subsection, except in
areas in which double-cropping is a normal practice, as
determined by the Secretary.'';
(C) in paragraph (3)(A)(ii)(III)--
(i) in the matter before item (aa), by inserting ``50
percent of'' before ``the higher of'';
(ii) in item (aa), by striking ``guarantee'';
(D) in paragraph (4)--
(i) in subparagraph (A)(i)--
(I) by striking subclauses (I) and (II) and
inserting the following:
``(I) the actual production by crop on a farm for
purposes of determining losses under the Federal Crop
Insurance Act (7 U.S.C. 1501 et seq.) or the noninsured
crop assistance program; and''; and
(II) by redesignating subclause (III) as subclause
(II);
(ii) in subparagraph (B)--
(I) in clause (i), by striking ``and'' at the end;
(II) in clause (ii), by striking the period at the
end and inserting ``; and''; and
(iii) by adding at the end the following:
``(iii) as the Secretary determines appropriate, to
reflect regional variations in a manner consistent with the
operation of the Federal crop insurance program under the
Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) and the
noninsured crop assistance program.'';
(E) in paragraph (5)--
(i) in the matter preceding subparagraph (A), by
striking ``the sum obtained by adding'';
(ii) in subparagraph (A)--
(I) in the matter preceding clause (i), by striking
``the product'' and inserting ``for each insurable
commodity, the product'';
(II) in clause (i), by striking ``greatest'' and
inserting ``greater'';
(III) in clause (iii), by striking ``of the
insurance price guarantee; and'' and inserting ``of the
price election for the commodity used to calculate an
indemnity for an applicable policy of insurance if an
indemnity is triggered; and''; and
(iii) in subparagraph (B)--
(I) in the matter preceding clause (i), by striking
``the product'' and inserting ``for each noninsurable
crop, the product'';
(II) in clause (i), by striking ``and'' at the end;
(III) by redesignating clause (ii) as clause (iii);
and
(IV) by inserting after clause (i) the following:
``(ii) the acreage planted or prevented from being
planted for each crop; and''; and
(F) by adding at the end the following:
``(6) Production on the farm.--
``(A) Normal production on the farm.--The normal production
on the farm shall equal the sum of the expected revenue for
each crop on a farm as determined under paragraph (5).
``(B) Actual production on the farm.--The actual production
on the farm shall equal the sum obtained by adding--
``(i) for each insurable commodity on the farm, the
product obtained by multiplying--
``(I) 100 percent of the price election for the
commodity used to calculate an indemnity for an
applicable policy of insurance if an indemnity is
triggered; and
``(II) the quantity of the commodity produced on
the farm, adjusted for quality losses; and
``(ii) for each noninsurable commodity on a farm, the
product obtained by multiplying--
``(I) 100 percent of the noninsured crop assistance
program established price for the commodity; and
``(II) the quantity of the commodity produced on
the farm, adjusted for quality losses.''.
(3) Waiver for socially disadvantaged, limited resource, or
beginning farmer or rancher.--Section 901(d)(5)(B)(ii) of the Trade
Act of 1974 (19 U.S.C. 2497(d)(5)(B)(ii)) is amended by striking
``section'' and inserting ``subsection''.
(4) Tree assistance program.--Section 901(f)(2)(A) of the Trade
Act of 1974 (19 U.S.C. 2497(f)(2)(A)) is amended by striking ``the
Secretary shall provide'' and inserting ``the Secretary shall use
such sums as are necessary from the Trust Fund to provide''.
(5) De minimis exception to risk management purchase
requirement.--Section 901(g) of the Trade Act of 1974 (19 U.S.C.
2497(g)) is amended by adding at the end the following:
``(6) De minimis exception.--
``(A) In general.--For purposes of assistance under
subsection (b), at the option of an eligible producer on a
farm, the Secretary shall waive paragraph (1)--
``(i) in the case of a portion of the total acreage of
a farm of the eligible producer that is not of economic
significance on the farm, as established by the Secretary;
or
``(ii) in the case of a crop for which the
administrative fee required for the purchase of noninsured
crop disaster assistance coverage exceeds 10 percent of the
value of that coverage.
``(B) Treatment of acreage.--The Secretary shall not
consider the value of any crop exempted under subparagraph (A)
in calculating the supplemental revenue assistance program
guarantee under subsection (b)(3) and the total farm revenue
under subsection (b)(4).''.
(6) Risk management purchase requirement waiver for 2009 crop
year.--Section 901(g) of the Trade Act of 1974 (19 U.S.C. 2497(g))
is amended--
(A) in paragraph (1)--
(i) in the matter preceding subparagraph (A), by
striking ``(other than subsection (c))'' and inserting
``(other than subsections (c) and (d))''; and
(ii) in subparagraph (A), by inserting ``, excluding
grazing land'' after ``producers on the farm'';
(B) in paragraph (2), by striking ``grazed, planted,'' and
inserting ``planted'';
(C) in paragraph (4), by striking ``(4)'' and all that
follows through ``In the case'' and inserting the following:
``(4) Waivers for certain crop years.--
``(A) 2008 crop year.--In the case''; and
(D) by adding at the end the following:
``(B) 2009 crop year.--In the case of an insurable
commodity or noninsurable commodity for the 2009 crop year that
does not meet the requirements of paragraph (1) and the
relevant crop insurance program sales closing date or
noninsured crop assistance program fee payment date was prior
to August 14, 2008, the Secretary shall waive paragraph (1) if
the eligible producer of the insurable commodity or
noninsurable commodity pays a fee in an amount equal to the
applicable noninsured crop assistance program fee or
catastrophic risk protection plan fee required under paragraph
(1) to the Secretary not later than 90 days after the date of
enactment of this subparagraph.''.
(7) Payment limitations.--Section 901(h) of the Trade Act of
1974 (19 U.S.C. 2497(h)) is amended by adding at the end the
following:
``(5) Transition rule.--Sections 1001, 1001A, 1001B, and 1001D
of the Food Security Act of 1985 (7 U.S.C. 1308 et seq.) as in
effect on September 30, 2007, shall continue to apply with respect
to 2008 crops.''.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.

5a5fd569b3131af19421a2aeea517765dd052e4cfec5a64070a7db1d6ab8abb5

To amend the commodity provisions of the Food, Conservation, and Energy Act of 2008 to permit producers to aggregate base acres and reconstitute farms to avoid the prohibition on receiving direct payments, counter-cyclical payments, or average crop revenue election payments when the sum of the base acres of a farm is 10 acres or less, and for other purposes.

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