,,ii #aaeth ,,congress #ast ,session ,s4 #abei ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,may #be1 #bjag ,mr4 ,thune introduced the following bill2 which was read twice and referred to the ,committee on ,agriculture1 ,nutrition1 and ,forestry ,a ,,bill ,to improve and extend agricultural commodity programs1 and for other purposes4 #a4 ,short title2 table of contents 7a7 ,in general ,this ,act may be cited as the ,commodity ,program ,improvement ,act of #bjag4 7b7 ,table of contents ,the table of contents for this ,act is as follows3 ,sec4 #a4 ,short title2 table of contents4 ,sec4 #b4 ,definitions4 ,,title ,i--,commodity ,policy ,sec4 #aja4 ,base acres4 ,sec4 #ajb4 ,payment yields4 ,sec4 #ajc4 ,payment acres4 ,sec4 #ajd4 ,producer election4 ,sec4 #aje4 ,price loss coverage4 ,sec4 #ajf4 ,agriculture risk coverage4 ,sec4 #ajg4 ,producer agreements4 ,,title ,,ii--,marketing ,loans ,sec4 #bja4 ,availability of nonrecourse marketing assistance loans for loan commodities4 ,sec4 #bjb4 ,loan rates for nonrecourse marketing assistance loans4 ,sec4 #bjc4 ,term of loans4 ,sec4 #bjd4 ,repayment of loans4 ,sec4 #bje4 ,loan deficiency payments4 ,sec4 #bjf4 ,payments in lieu of loan deficiency payments for grazed acreage4 ,sec4 #bjg4 ,special marketing loan provisions for upland cotton4 ,sec4 #bjh4 ,special competitive provisions for extra long staple cotton4 ,sec4 #bji4 ,availability of recourse loans for high moisture feed grains and seed cotton4 ,sec4 #baj4 ,adjustments of loans4 ,,title ,,iii--,administration ,sec4 #cja4 ,administration generally4 ,sec4 #cjb4 ,suspension of permanent price support authority4 ,sec4 #cjc4 ,conforming amendments4 #b4 ,definitions ,in this ,act3 7#a7 ,actual crop revenue ,the term actual crop revenue1 with respect to a covered commodity for a crop year1 means the amount determined by the ,secretary under section #ajf7;b74 7#b7 ,agriculture risk coverage ,the term agriculture risk coverage means coverage provided under section #ajf4 7#c7 ,agriculture risk coverage guarantee ,the term agriculture risk coverage guarantee1 with respect to a covered commodity for a crop year1 means the amount determined by the ,secretary under section #ajf7;c74 7#d7 ,base acres ,the term base acres means the number of acres on a farm designated as base acres pursuant to part ,,ii of subtitle ,a of title ,i of the ,agricultural ,act of #bjad 7#g ,u4,s4,c4 #ijaa et seq47 for the #bjah crop year4 7#e7 ,county coverage ,the term county coverage means agriculture risk coverage selected under section #ajd7;b77#a7 to be obtained at the county level4 7#f7 ,covered commodity ,the term covered commodity means wheat1 oats1 and barley 7including wheat1 oats1 and barley used for haying and grazing71 corn1 grain sorghum1 long grain rice1 medium grain rice1 pulse crops1 soybeans1 other oilseeds1 and peanuts4 7#g7 ,effective price ,the term effective price1 with respect to a covered commodity for a crop year1 means the price calculated by the ,secretary under section #aje7;b7 to determine whether price loss coverage payments are required to be provided for that crop year4 7#h7 ,extra long staple cotton ,the term extra long staple cotton means cotton that-- 7,a7 is produced from pure strain varieties of the ,barbadense species or any hybrid of the species1 or other similar types of extra long staple cotton1 designated by the ,secretary1 having characteristics needed for various end uses for which ,united ,states upland cotton is not suitable and grown in irrigated cotton-growing regions of the ,united ,states designated by the ,secretary or other areas designated by the ,secretary as suitable for the production of the varieties or types2 and 7,b7 is ginned on a roller-type gin or1 if authorized by the ,secretary1 ginned on another type gin for experimental purposes4 7#i7 ,individual coverage ,the term individual coverage means agriculture risk coverage selected under section #ajd7;b77#b7 to be obtained at the farm level4 7#aj7 ,medium grain rice ,the term medium grain rice includes short grain rice and temperate japonica rice4 7#aa7 ,other oilseed ,the term other oilseed means a crop of sunflower seed1 rapeseed1 canola1 safflower1 flaxseed1 mustard seed1 crambe1 sesame seed1 or any oilseed designated by the ,secretary4 7#ab7 ,payment acres ,the term payment acres1 with respect to the provision of price loss coverage payments and agriculture risk coverage payments1 means the number of acres determined for a farm under section #ajc4 7#ac7 ,payment yield ,the term payment yield1 for a farm for a covered commodity1 means-- 7,a7 the yield used to make payments pursuant to section #aajd or #acjd of the ,food1 ,conservation1 and ,energy ,act of #bjjh 7#g ,u4,s4,c4 #hgad1 #hged71 as in effect on ,september #cj1 #bjac2 or 7,b7 the yield established under section #ajb4 7#ad7 ,price loss coverage ,the term price loss coverage means coverage provided under section #aje4 7#ae7 ,producer 7,a7 ,in general ,the term producer means an owner1 operator1 landlord1 tenant1 or sharecropper that shares in the risk of producing a crop and is entitled to share in the crop available for marketing from the farm1 or would have shared had the crop been produced4 7,b7 ,hybrid seed ,in determining whether a grower of hybrid seed is a producer1 the ,secretary shall-- 7i7 not take into consideration the existence of a hybrid seed contract2 and 7ii7 ensure that program requirements do not adversely affect the ability of the grower to receive a payment under this ,act4 7#af7 ,pulse crop ,the term pulse crop means dry peas1 lentils1 small chickpeas1 and large chickpeas4 7#ag7 ,reference price ,the term reference price1 with respect to a covered commodity for a crop year1 means the following3 7,a7 ,for wheat1 #e4ej per bushel4 7,b7 ,for corn1 #c4gj per bushel4 7,c7 ,for grain sorghum1 #c4ie per bushel4 7,d7 ,for barley1 #d4ie per bushel4 7,e7 ,for oats1 #b4dj per bushel4 7,f7 ,for long grain rice1 #ad4jj per hundredweight4 7,g7 ,for medium grain rice1 #ad4jj per hundredweight4 7,h7 ,for soybeans1 #h4dj per bushel4 7,i7 ,for other oilseeds1 #bj4ae per hundredweight4 7,j7 ,for peanuts1 #ece4jj per ton4 7,k7 ,for dry peas1 #aa4jj per hundredweight4 7,l7 ,for lentils1 #ai4ig per hundredweight4 7,m7 ,for small chickpeas1 #ai4jd per hundredweight4 7,n7 ,for large chickpeas1 #ba4ed per hundredweight4 7#ah7 ,secretary ,the term ,secretary means the ,secretary of ,agriculture4 7#ai7 ,state ,the term ,state means-- 7,a7 a ,state2 7,b7 the ,district of ,columbia2 7,c7 the ,commonwealth of ,puerto ,rico2 and 7,d7 any other territory or possession of the ,united ,states4 7#bj7 ,temperate japonica rice ,the term temperate japonica rice means rice that is grown in high altitudes or temperate regions of high latitudes with cooler climate conditions1 in the ,western ,united ,states1 as determined by the ,secretary1 for the purpose of-- 7,a7 the update of base acres under section #aja2 7,b7 the establishment of a reference price 7as required under section #aje7;g77 and an effective price pursuant to section #aje2 and 7,c7 the determination of the actual crop revenue and agriculture risk coverage guarantee pursuant to section #ajf4 7#ba7 ,transitional yield ,the term transitional yield has the meaning given the term in section #ejb7;b7 of the ,federal ,crop ,insurance ,act 7#g ,u4,s4,c4 #aejb7;b774 7#bb7 ,united ,states ,the term ,united ,states1 when used in a geographical sense1 means all of the ,states4 7#bc7 ,united ,states premium factor ,the term ,united ,states ,premium ,factor means the percentage by which the difference in the ,united ,states loan schedule premiums for ,strict ,middling 7,,sm7 #aa_/h-;inch upland cotton and for ,middling 7,m7 #ac_/cb-;inch upland cotton exceeds the difference in the applicable premiums for comparable international qualities4 7#bd7 ,updated base acres ,the term updated base acres1 with respect to a covered commodity on a farm1 means the number of base acres updated by the ,secretary under section #aja4 ,i ,commodity ,policy #aja4 ,base acres 7a7 ,mandatory one-,time update of base acres 7#a7 ,in general ,as soon as practicable after the date of enactment of this ,act1 the ,secretary shall update base acres on a farm for the #bjai crop year in accordance with this section4 7#b7 ,mandatory update ,for the purpose of applying this title to covered commodities1 the ,secretary shall determine the updated base acres on a farm by updating all of the base acres for covered commodities on the farm among those covered commodities planted on the farm at any time during the #bjad through #bjag crop years4 7#c7 ,update formula ,the updated base acres among covered commodities on a farm shall be the proportion that-- 7,a7 the #d-year average of-- 7i7 the acreage planted on the farm to each covered commodity for harvest1 grazing1 haying1 silage1 or other similar purposes for the #bjad through #bjag crop years2 and 7ii7 any acreage on the farm that the producers were prevented from planting during the #bjad through #bjag crop years to that covered commodity because of drought1 flood1 or other natural disaster1 or other condition beyond the control of the producers1 as determined by the ,secretary2 bears to 7,b7 the #d-year average of-- 7i7 the acreage planted on the farm to all covered commodities for harvest1 grazing1 haying1 silage1 or other similar purposes for the #bjad through #bjag crop years2 and 7ii7 any acreage on the farm that the producers were prevented from planting during the #bjad through #bjag crop years to covered commodities because of drought1 flood1 or other natural disaster1 or other condition beyond the control of the producers1 as determined by the ,secretary4 7#d7 ,inclusion of all #d years in average ,for the purpose of determining a #d-year acreage average under paragraph 7#c7 for a farm1 the ,secretary shall not exclude any crop year in which a covered commodity was not planted4 7#e7 ,treatment of multiple planting or prevented planting ,for the purpose of determining under paragraph 7#c7 the acreage on a farm that producers planted or were prevented from planting during the #bjad through #bjag crop years to covered commodities1 if the acreage that was planted or prevented from being planted was devoted to another covered commodity in the same crop year 7other than a covered commodity produced under an established practice of double cropping71 the owner-- 7,a7 may elect the commodity to be used for that crop year in determining the #d-year average2 but 7,b7 may not include both the initial commodity and the subsequent commodity4 7b7 ,adjustment of base acres 7#a7 ,in general ,notwithstanding the update of base acres under subsection 7a71 the ,secretary shall provide for an adjustment1 as appropriate1 in the updated base acres for covered commodities for a farm whenever any of the following circumstances occur3 7,a7 ,a conservation reserve contract entered into under section #abca of the ,food ,security ,act of #aihe 7#af ,u4,s4,c4 #chca7 with respect to the farm expires or is voluntarily terminated4 7,b7 ,cropland is released from coverage under a conservation reserve contract by the ,secretary4 7,c7 ,the producer has eligible oilseed acreage as the result of the ,secretary designating additional oilseeds1 which shall be determined in the same manner as eligible oilseed acreage under section #aaja7;a77#a77;,d7 of the ,food1 ,conservation1 and ,energy ,act of #bjjh 7#g ,u4,s4,c4 #hgaa7;a77#a77;,d774 7#b7 ,special conservation reserve acreage payment rules ,for the crop year in which an updated base acres adjustment under subparagraph 7,a7 or 7,b7 of paragraph 7#a7 is first made1 the owner of the farm shall elect to receive price loss coverage or agriculture risk coverage with respect to the acreage added to the farm under this subsection or a prorated payment under the conservation reserve contract1 but not both4 7c7 ,prevention of excess updated base acres 7#a7 ,required reduction ,if the updated base acres for a farm exceeds the actual cropland acreage of the farm1 the ,secretary shall reduce the updated base acres for one or more covered commodities for the farm so that the sum of the base acres and the other acreage described in paragraph 7#b7 does not exceed the actual cropland acreage of the farm4 7#b7 ,other acreage ,the other acreage referred to in paragraph 7#a7 is the following3 7,a7 ,any acreage on the farm enrolled in the conservation reserve program or wetlands reserve program 7or successor programs7 under chapter #a of subtitle ,d of title ,,xii of the ,food ,security ,act of #aihe 7#af ,u4,s4,c4 #chcj et seq474 7,b7 ,any other acreage on the farm enrolled in a ,federal conservation program for which payments are made in exchange for not producing an agricultural commodity on the acreage4 7,c7 ,if the ,secretary designates additional oilseeds1 any eligible oilseed acreage1 which shall be determined in the same manner as eligible oilseed acreage under subsection 7b77#a77;,c74 7#c7 ,selection of acres ,the ,secretary shall give the owner of the farm the opportunity to select the updated base acres for a covered commodity for the farm against which the reduction required by paragraph 7#a7 will be made4 7#d7 ,exception for double-cropped acreage ,in applying paragraph 7#a71 the ,secretary shall make an exception in the case of double cropping1 as determined by the ,secretary4 7d7 ,reduction in updated base acres 7#a7 ,reduction at option of owner 7,a7 ,in general ,the owner of a farm may reduce1 at any time1 the updated base acres for any covered commodity for the farm4 7,b7 ,effect of reduction ,a reduction under subparagraph 7,a7 shall be permanent and made in a manner prescribed by the ,secretary4 7#b7 ,required action by ,secretary 7,a7 ,in general ,the ,secretary shall proportionately reduce updated base acres on a farm for land that has been subdivided and developed for multiple residential units or other nonfarming uses if the size of the tracts and the density of the subdivision is such that the land is unlikely to return to the previous agricultural use1 unless the producers on the farm demonstrate that the land-- 7i7 remains devoted to commercial agricultural production2 or 7ii7 is likely to be returned to the previous agricultural use4 7,b7 ,requirement ,the ,secretary shall establish procedures to identify land described in subparagraph 7,a74 #ajb4 ,payment yields 7a7 ,effect of lack of payment yield ,in the case of a covered commodity on a farm for which updated base acres have been established1 if no payment yield is otherwise established for the covered commodity on the farm1 the ,secretary shall establish an appropriate payment yield for the covered commodity on the farm under subsection 7b74 7b7 ,use of similarly situated farms 7#a7 ,in general ,to establish an appropriate payment yield for a covered commodity on a farm as required by subsection 7a71 the ,secretary shall take into consideration the farm program payment yields applicable to that covered commodity for similarly situated farms4 7#b7 ,applicability of other laws ,the use of any data described in paragraph 7#a7 in an appeal1 by the ,secretary or by the producer1 shall not be subject to any other provision of law4 #ajc4 ,payment acres 7a7 ,determination of payment acres 7#a7 ,general rule ,for the purpose of price loss coverage and agriculture risk coverage when county coverage has been selected1 subject to subsection 7c71 the payment acres for each covered commodity on a farm shall be equal to #he percent of the updated base acres for the covered commodity on the farm4 7#b7 ,effect of individual coverage ,in the case of agriculture risk coverage when individual coverage has been selected1 subject to subsection 7c71 the payment acres for a farm shall be equal to #fe percent of the updated base acres for all of the covered commodities on the farm4 7b7 ,effect of minimal payment acres 7#a7 ,prohibition on payments ,notwithstanding any other provision of this ,act1 a producer on a farm may not receive price loss coverage payments or agriculture risk coverage payments if the sum of the updated base acres on the farm is #aj acres or less1 as determined by the ,secretary4 7#b7 ,exceptions ,paragraph 7#a7 does not apply to a producer that is-- 7,a7 a socially disadvantaged farmer or rancher 7as defined in section #cee7;e7 of the ,consolidated ,farm and ,rural ,development ,act 7#g ,u4,s4,c4 #bjjc7;e7772 or 7,b7 a limited resource farmer or rancher1 as defined by the ,secretary4 7c7 ,effect of planting fruits and vegetables 7#a7 ,reduction required ,in the manner provided in this subsection1 payment acres on a farm shall be reduced in any crop year in which fruits1 vegetables 7other than mung beans and pulse crops71 or wild rice have been planted on updated base acres on a farm4 7#b7 ,price loss coverage and county coverage ,in the case of price loss coverage payments and agricultural risk coverage payments using county coverage1 the reduction under paragraph 7#a7 shall be the amount equal to the updated base acres planted to crops referred to in that paragraph in excess of #ae percent of updated base acres4 7#c7 ,individual coverage ,in the case of agricultural risk coverage payments using individual coverage1 the reduction under paragraph 7#a7 shall be the amount equal to the updated base acres planted to crops referred to in that paragraph in excess of #ce percent of updated base acres4 7#d7 ,reduction exceptions ,no reduction to payment acres shall be made under this subsection if-- 7,a7 cover crops or crops referred to in paragraph 7#a7 are grown solely for conservation purposes and not harvested for use or sale1 as determined by the ,secretary2 or 7,b7 in any region in which there is a history of double-cropping covered commodities with crops referred to in paragraph 7#a7 and those crops were so double-cropped on the updated base acres1 as determined by the ,secretary4 #ajd4 ,producer election 7a7 ,election required ,for the #bjai through #bjbd crop years1 all of the producers on a farm shall make a one-time1 irrevocable election to obtain-- 7#a7 price loss coverage on a covered commodity-by-covered-commodity basis2 or 7#b7 agriculture risk coverage4 7b7 ,coverage options ,in the election under subsection 7a71 the producers on a farm that elect under paragraph 7#b7 of that subsection to obtain agriculture risk coverage shall unanimously select whether to receive agriculture risk coverage payments based on-- 7#a7 county coverage applicable on a covered commodity-by-covered-commodity basis2 or 7#b7 individual coverage applicable to all of the covered commodities on the farm4 7c7 ,effect of failure ,to make unanimous election ,if all the producers on a farm fail to make a unanimous election under subsection 7a7 for the #bjai crop year-- 7#a7 the ,secretary shall not make any payments with respect to the farm for the #bjai crop year under this title2 and 7#b7 the producers on the farm shall be deemed to have elected price loss coverage for all covered commodities on the farm for the #bjbj through #bjbd crop years4 7d7 ,effect of selection of county coverage ,if all the producers on a farm select county coverage for a covered commodity1 the ,secretary may not make price loss coverage payments to the producers on the farm with respect to that covered commodity4 7e7 ,effect of selection of individual coverage ,if all the producers on a farm select individual coverage1 in addition to the selection and election under this section applying to each producer on the farm1 the ,secretary shall consider1 for purposes of making the calculations required by subsections 7b77#b7 and 7c77#c7 of section #ajf1 the share of the producer of all farms in the same ,state-- 7#a7 in which the producer has an interest2 and 7#b7 for which individual coverage has been selected4 7f7 ,prohibition on reconstitution ,the ,secretary shall ensure that producers on a farm do not reconstitute the farm to void or change an election or selection made under this section4 #aje4 ,price loss coverage 7a7 ,price loss coverage payments ,if all of the producers on a farm make the election under subsection 7a7 of section #ajd to obtain price loss coverage or1 subject to subsection 7c77#a7 of that section1 are deemed to have made that election under subsection 7c77#b7 of that section1 the ,secretary shall make price loss coverage payments to producers on the farm on a covered commodity-by-covered-commodity basis if the ,secretary determines that1 for any of the #bjai through #bjbd crop years-- 7#a7 the effective price for the covered commodity for the crop year2 is less than 7#b7 the reference price for the covered commodity for the crop year4 7b7 ,effective price ,the effective price for a covered commodity for a crop year shall be the higher of-- 7#a7 the national average market price received by producers during the #ab-month marketing year for the covered commodity1 as determined by the ,secretary2 or 7#b7 the national average loan rate for a marketing assistance loan for the covered commodity in effect for that crop year under title ,,ii4 7c7 ,payment rate ,the payment rate shall be equal to the difference between-- 7#a7 the reference price for the covered commodity2 and 7#b7 the effective price determined under subsection 7b7 for the covered commodity4 7d7 ,payment amount ,if price loss coverage payments are required to be provided under this section for any of the #bjai through #bjbd crop years for a covered commodity1 the amount of the price loss coverage payment to be paid to the producers on a farm for the crop year shall be equal to the product obtained by multiplying-- 7#a7 the payment rate for the covered commodity under subsection 7c72 7#b7 the payment yield for the covered commodity2 and 7#c7 the payment acres for the covered commodity4 7e7 ,time for payments ,if the ,secretary determines under this section that price loss coverage payments are required to be provided for the covered commodity1 the payments shall be made beginning ,october #a1 or as soon as practicable thereafter1 after the end of the applicable marketing year for the covered commodity4 7f7 ,effective price for barley ,in determining the effective price for barley under subsection 7b71 the ,secretary shall use the all-barley price4 7g7 ,reference price for temperate japonica rice ,the ,secretary shall provide a reference price with respect to temperate japonica rice in an amount equal to #aae percent of the amount established in subparagraphs 7,f7 and 7,g7 of section #b7ag7 in order to reflect price premiums4 #ajf4 ,agriculture risk coverage 7a7 ,agriculture risk coverage payments ,if all of the producers on a farm make the election under section #ajd7;a7 to obtain agriculture risk coverage1 the ,secretary shall make agriculture risk coverage payments based on the physical location of the farm to producers on the farm if the ,secretary determines that1 for any of the #bjai through #bjbd crop years-- 7#a7 the actual crop revenue determined under subsection 7b7 for the crop year2 is less than 7#b7 the agriculture risk coverage guarantee determined under subsection 7c7 for the crop year4 7b7 ,actual crop revenue 7#a7 ,county coverage ,in the case of county coverage1 the amount of the actual crop revenue for a county for a crop year of a covered commodity shall be equal to the product obtained by multiplying-- 7,a7 the actual average county yield per planted acre for the covered commodity1 as determined by the ,secretary2 and 7,b7 the higher of-- 7i7 the national average market price received by producers during the #ab-month marketing year for the covered commodity1 as determined by the ,secretary2 or 7ii7 the national average loan rate for a marketing assistance loan for the covered commodity in effect for that crop year under title ,,ii4 7#b7 ,individual coverage ,in the case of individual coverage1 the amount of the actual crop revenue for a producer on a farm for a crop year shall be based on the share of the producer of all covered commodities planted on all farms for which individual coverage has been selected and in which the producer has an interest1 to be determined by the ,secretary as follows3 7,a7 ,for each covered commodity1 the product obtained by multiplying-- 7i7 the total production of the covered commodity on those farms1 as determined by the ,secretary2 and 7ii7 the higher of-- 7,i7 the national average market price received by producers during the #ab-month marketing year1 as determined by the ,secretary2 or 7,,ii7 the national average loan rate for a marketing assistance loan for the covered commodity in effect for that crop year under title ,,ii4 7,b7 ,the sum of the amounts determined under subparagraph 7,a7 for all covered commodities on those farms4 7,c7 ,the quotient obtained by dividing-- 7i7 the amount determined under subparagraph 7,b72 by 7ii7 the total planted acres of all covered commodities on those farms4 7c7 ,agriculture risk coverage guarantee 7#a7 ,in general ,the agriculture risk coverage guarantee for a crop year for a covered commodity shall be equal to #hf percent of the benchmark revenue4 7#b7 ,benchmark revenue for county coverage ,in the case of county coverage1 the benchmark revenue shall be the product obtained by multiplying-- 7,a7 subject to paragraph 7#d71 the average historical county yield1 as determined by the ,secretary1 for the most recent #e crop years1 excluding each of the crop years with the highest and lowest yields2 and 7,b7 subject to paragraph 7#e71 the national average market price received by producers during the #ab-month marketing year for the most recent #e crop years1 excluding each of the crop years with the highest and lowest prices4 7#c7 ,benchmark revenue for individual coverage ,in the case of individual coverage1 the benchmark revenue for a producer on a farm for a crop year shall be based on the share of the producer of all covered commodities planted on all farms for which individual coverage has been selected and in which the producer has an interest1 to be determined by the ,secretary as follows3 7,a7 ,for each covered commodity for each of the most recent #e crop years1 the product obtained by multiplying-- 7i7 subject to paragraph 7#d71 the yield per planted acre for the covered commodity on those farms1 as determined by the ,secretary2 and 7ii7 subject to paragraph 7#e71 the national average market price received by producers during the #ab-month marketing year4 7,b7 ,for each covered commodity1 the average of the revenues determined under subparagraph 7,a7 for the most recent #e crop years1 excluding each of the crop years with the highest and lowest revenues4 7,c7 ,for each of the #bjai through #bjbd crop years1 the sum of the amounts determined under subparagraph 7,b7 for all covered commodities on those farms1 but adjusted to reflect the proportion that-- 7i7 the total number of acres planted on those farms to a covered commodity2 bears to 7ii7 the total number of acres of all covered commodities planted on those farms4 7#d7 ,yield conditions ,if the yield per planted acre for the covered commodity or historical county yield per planted acre for the covered commodity for any of the #e most recent crop years1 as determined by the ,secretary1 is less than #gj percent of the transitional yield1 as determined by the ,secretary1 the amounts used for any of those years in paragraph 7#b77;,a7 or 7#c77;,a77i7 shall be #gj percent of the transitional yield4 7#e7 ,reference price ,if the national average market price received by producers during the #ab-month marketing year for any of the #e most recent crop years is lower than the reference price for the covered commodity1 the ,secretary shall use the reference price for any of those years for the amounts in paragraph 7#b77;,b7 or 7#c77;,a77ii74 7d7 ,payment rate ,the payment rate for a covered commodity1 in the case of county coverage1 or a farm1 in the case of individual coverage1 shall be equal to the lesser of-- 7#a7 the amount that-- 7,a7 the agriculture risk coverage guarantee for the crop year applicable under subsection 7c72 exceeds 7,b7 the actual crop revenue for the crop year applicable under subsection 7b72 or 7#b7 #aj percent of the benchmark revenue for the crop year applicable under subsection 7c74 7e7 ,payment amount ,if agriculture risk coverage payments are required to be paid for any of the #bjai through #bjbd crop years1 the amount of the agriculture risk coverage payment for the crop year shall be determined by multiplying-- 7#a7 the payment rate determined under subsection 7d72 and 7#b7 the payment acres4 7f7 ,time for payments ,if the ,secretary determines that agriculture risk coverage payments are required to be provided for the covered commodity1 payments shall be made beginning ,october #a1 or as soon as practicable thereafter1 after the end of the applicable marketing year for the covered commodity4 7g7 ,additional duties of the ,secretary ,in providing agriculture risk coverage1 the ,secretary shall-- 7#a7 to the maximum extent practicable1 use all available information and analysis1 including data mining1 to check for anomalies in the determination of agriculture risk coverage payments2 7#b7 to the maximum extent practicable1 calculate a separate actual crop revenue and agriculture risk coverage guarantee for irrigated and nonirrigated covered commodities2 7#c7 in the case of individual coverage1 assign an average yield for a farm on the basis of the yield history of representative farms in the ,state1 region1 or crop reporting district1 as determined by the ,secretary1 if the ,secretary determines that the farm has planted acreage in a quantity that is insufficient to calculate a representative average yield for the farm2 and 7#d7 in the case of county coverage1 assign an actual or benchmark county yield for each planted acre for the crop year for the covered commodity on the basis of the yield history of representative farms in the ,state1 region1 or crop reporting district1 as determined by the ,secretary1 if-- 7,a7 the ,secretary cannot establish the actual or benchmark county yield for each planted acre for a crop year for a covered commodity in the county in accordance with subsection 7b77#a7 or 7c77#b72 or 7,b7 the yield determined under subsection 7b77#a7 or 7c77#b7 is an unrepresentative average yield for the county1 as determined by the ,secretary4 #ajg4 ,producer agreements 7a7 ,compliance with certain requirements 7#a7 ,requirements ,before the producers on a farm may receive payments under this title with respect to the farm1 the producers shall agree1 during the crop year for which the payments are made and in exchange for the payments-- 7,a7 to comply with applicable conservation requirements under subtitle ,b of title ,,xii of the ,food ,security ,act of #aihe 7#af ,u4,s4,c4 #chaa et seq472 7,b7 to comply with applicable wetland protection requirements under subtitle ,c of title ,,xii of that ,act 7#af ,u4,s4,c4 #chba et seq472 7,c7 to effectively control noxious weeds and otherwise maintain the land in accordance with sound agricultural practices1 as determined by the ,secretary2 and 7,d7 to use the land on the farm1 in a quantity equal to the attributable updated base acres for the farm and any updated base acres for an agricultural or conserving use1 and not for a nonagricultural commercial1 industrial1 or residential use1 as determined by the ,secretary4 7#b7 ,compliance ,the ,secretary may issue such rules as the ,secretary considers necessary to ensure producer compliance with paragraph 7#a74 7#c7 ,modification ,at the request of the transferee or owner1 the ,secretary may modify the requirements of this subsection if the modifications are consistent with the objectives of this subsection1 as determined by the ,secretary4 7b7 ,transfer or change of interest in farm 7#a7 ,termination 7,a7 ,in general ,except as provided in paragraph 7#b71 a transfer of 7or change in7 the interest of the producers on a farm for which payments under this title are provided shall result in the termination of the payments1 unless the transferee or owner of the acreage agrees to assume all obligations under subsection 7a74 7,b7 ,effective date ,the termination shall take effect on the date determined by the ,secretary4 7#b7 ,exception ,if a producer entitled to a payment under this title dies1 becomes incompetent1 or is otherwise unable to receive the payment1 the ,secretary shall make the payment in accordance with rules issued by the ,secretary4 7c7 ,acreage reports ,as a condition on the receipt of any benefits under this ,act1 the ,secretary shall require producers on a farm to submit to the ,secretary annual acreage reports with respect to all cropland on the farm4 7d7 ,production reports ,as an additional condition on receiving agriculture risk coverage payments for individual coverage1 the ,secretary shall require a producer on a farm to submit to the ,secretary annual production reports with respect to all covered commodities produced on all farms in the same ,state-- 7#a7 in which the producer has an interest2 and 7#b7 for which individual coverage has been selected4 7e7 ,effect of inaccurate reports ,no penalty with respect to benefits under this ,act shall be assessed against a producer on a farm for an inaccurate acreage or production report unless the ,secretary determines that the producer on the farm knowingly and willfully falsified the acreage or production report4 7f7 ,tenants and sharecroppers ,in carrying out this title1 the ,secretary shall provide adequate safeguards to protect the interests of tenants and sharecroppers4 7g7 ,sharing of payments ,the ,secretary shall provide for the sharing of payments made under this title among the producers on a farm on a fair and equitable basis4 ,,ii ,marketing ,loans #bja4 ,availability of nonrecourse marketing assistance loans for loan commodities 7a7 ,definition of loan commodity ,in this title1 the term loan commodity means wheat1 corn1 grain sorghum1 barley1 oats1 upland cotton1 extra long staple cotton1 long grain rice1 medium grain rice1 peanuts1 soybeans1 other oilseeds1 graded wool1 nongraded wool1 mohair1 honey1 dry peas1 lentils1 small chickpeas1 and large chickpeas4 7b7 ,nonrecourse loans available 7#a7 ,in general ,for each of the #bjai through #bjbd crops of each loan commodity1 the ,secretary shall make available to producers on a farm nonrecourse marketing assistance loans for loan commodities produced on the farm4 7#b7 ,terms and conditions ,the marketing assistance loans shall be made under terms and conditions that are prescribed by the ,secretary and at the loan rate established under section #bjb for the loan commodity4 7c7 ,eligible production ,the producers on a farm shall be eligible for a marketing assistance loan under subsection 7b7 for any quantity of a loan commodity produced on the farm4 7d7 ,compliance with conservation and wetlands requirements ,as a condition of the receipt of a marketing assistance loan under subsection 7b71 the producer shall comply with applicable conservation requirements under subtitle ,b of title ,,xii of the ,food ,security ,act of #aihe 7#af ,u4,s4,c4 #chaa et seq47 and applicable wetland protection requirements under subtitle ,c of title ,,xii of that ,act 7#af ,u4,s4,c4 #chba et seq47 during the term of the loan4 7e7 ,special rules for peanuts 7#a7 ,in general ,this subsection shall apply only to producers of peanuts4 7#b7 ,options for obtaining loan ,a marketing assistance loan under this section1 and loan deficiency payments under section #bje1 may be obtained at the option of the producers on a farm through-- 7,a7 a designated marketing association or marketing cooperative of producers that is approved by the ,secretary2 or 7,b7 the ,farm ,service ,agency4 7#c7 ,storage of loan peanuts ,as a condition on the approval by the ,secretary of an individual or entity to provide storage for peanuts for which a marketing assistance loan is made under this section1 the individual or entity shall agree-- 7,a7 to provide the storage on a nondiscriminatory basis2 and 7,b7 to comply with such additional requirements as the ,secretary considers appropriate to accomplish the purposes of this section and promote fairness in the administration of the benefits of this section4 7#d7 ,storage1 handling1 and associated costs 7,a7 ,in general ,to ensure proper storage of peanuts for which a loan is made under this section1 the ,secretary shall pay handling and other associated costs 7other than storage costs7 incurred at the time at which the peanuts are placed under loan1 as determined by the ,secretary4 7,b7 ,redemption and forfeiture ,the ,secretary shall-- 7i7 require the repayment of handling and other associated costs paid under subparagraph 7,a7 for all peanuts pledged as collateral for a loan that is redeemed under this section2 and 7ii7 pay storage1 handling1 and other associated costs for all peanuts pledged as collateral that are forfeited under this section4 7#e7 ,marketing ,a marketing association or cooperative may market peanuts for which a loan is made under this section in any manner that conforms to consumer needs1 including the separation of peanuts by type and quality4 7#f7 ,reimbursable agreements and payment of administrative expenses ,the ,secretary may implement any reimbursable agreements or provide for the payment of administrative expenses under this subsection only in a manner that is consistent with those activities in regard to other loan commodities4 #bjb4 ,loan rates for nonrecourse marketing assistance loans 7a7 ,in general ,for purposes of each of the #bjai through #bjbd crop years1 the loan rate for a marketing assistance loan under section #bja for a loan commodity shall be equal to the following3 7#a7 ,in the case of wheat1 #b4id per bushel4 7#b7 ,in the case of corn1 #a4ie per bushel4 7#c7 ,in the case of grain sorghum1 #a4ie per bushel4 7#d7 ,in the case of barley1 #a4ie per bushel4 7#e7 ,in the case of oats1 #a4ci per bushel4 7#f7 ,in the case of base quality of upland cotton1 for each of the #bjai through #bjbd crop years1 the simple average of the adjusted prevailing world price for the #b immediately preceding marketing years1 as determined by the ,secretary and announced ,october #a preceding the next domestic plantings1 but in no case less than #j4de per pound or more than #j4eb per pound4 7#g7 ,in the case of extra long staple cotton1 #j4gigg per pound4 7#h7 ,in the case of long grain rice1 #f4ej per hundredweight4 7#i7 ,in the case of medium grain rice1 #f4ej per hundredweight4 7#aj7 ,in the case of soybeans1 #e4jj per bushel4 7#aa7 ,in the case of other oilseeds1 #aj4ji per hundredweight for each of the following kinds of oilseeds3 7,a7 ,sunflower seed4 7,b7 ,rapeseed4 7,c7 ,canola4 7,d7 ,safflower4 7,e7 ,flaxseed4 7,f7 ,mustard seed4 7,g7 ,crambe4 7,h7 ,sesame seed4 7,i7 ,other oilseeds designated by the ,secretary4 7#ab7 ,in the case of dry peas1 #e4dj per hundredweight4 7#ac7 ,in the case of lentils1 #aa4bh per hundredweight4 7#ad7 ,in the case of small chickpeas1 #g4dc per hundredweight4 7#ae7 ,in the case of large chickpeas1 #aa4bh per hundredweight4 7#af7 ,in the case of graded wool1 #a4ae per pound4 7#ag7 ,in the case of nongraded wool1 #j4dj per pound4 7#ah7 ,in the case of mohair1 #d4bj per pound4 7#ai7 ,in the case of honey1 #j4fi per pound4 7#bj7 ,in the case of peanuts1 #cee per ton4 7b7 ,single county loan rate for other oilseeds ,the ,secretary shall establish a single loan rate in each county for each kind of other oilseeds described in subsection 7a77#aa74 #bjc4 ,term of loans 7a7 ,term of loan ,in the case of each loan commodity1 a marketing assistance loan under section #bja shall have a term of #i months beginning on the first day of the first month after the month in which the loan is made4 7b7 ,extensions prohibited ,the ,secretary may not extend the term of a marketing assistance loan for any loan commodity4 #bjd4 ,repayment of loans 7a7 ,general rule ,the ,secretary shall permit the producers on a farm to repay a marketing assistance loan under section #bja for a loan commodity 7other than upland cotton1 long grain rice1 medium grain rice1 extra long staple cotton1 peanuts and confectionery and each other kind of sunflower seed 7other than oil sunflower seed77 at a rate that is the lesser of-- 7#a7 the loan rate established for the commodity under section #bjb1 plus interest 7determined in accordance with section #afc of the ,federal ,agriculture ,improvement and ,reform ,act of #aiif 7#g ,u4,s4,c4 #gbhc772 7#b7 a rate 7as determined by the ,secretary7 that-- 7,a7 is calculated based on average market prices for the loan commodity during the preceding #cj-;day period2 and 7,b7 will minimize discrepancies in marketing loan benefits across ,state boundaries and across county boundaries2 or 7#c7 a rate that the ,secretary may develop using alternative methods for calculating a repayment rate for a loan commodity that the ,secretary determines will-- 7,a7 minimize potential loan forfeitures2 7,b7 minimize the accumulation of stocks of the commodity by the ,federal ,government2 7,c7 minimize the cost incurred by the ,federal ,government in storing the commodity2 7,d7 allow the commodity produced in the ,united ,states to be marketed freely and competitively1 both domestically and internationally2 and 7,e7 minimize discrepancies in marketing loan benefits across ,state boundaries and across county boundaries4 7b7 ,repayment rates for upland cotton1 long grain rice1 and medium grain rice ,the ,secretary shall permit producers to repay a marketing assistance loan under section #bja for upland cotton1 long grain rice1 and medium grain rice at a rate that is the lesser of-- 7#a7 the loan rate established for the commodity under section #bjb1 plus interest 7determined in accordance with section #afc of the ,federal ,agriculture ,improvement and ,reform ,act of #aiif 7#g ,u4,s4,c4 #gbhc772 or 7#b7 the prevailing world market price for the commodity1 as determined and adjusted by the ,secretary in accordance with this section4 7c7 ,repayment rates for extra long staple cotton ,repayment of a marketing assistance loan for extra long staple cotton shall be at the loan rate established for the commodity under section #bjb1 plus interest 7determined in accordance with section #afc of the ,federal ,agriculture ,improvement and ,reform ,act of #aiif 7#g ,u4,s4,c4 #gbhc774 7d7 ,prevailing world market price ,for purposes of this section and section #bjg1 the ,secretary shall prescribe by regulation-- 7#a7 a formula to determine the prevailing world market price for each of upland cotton1 long grain rice1 and medium grain rice2 and 7#b7 a mechanism by which the ,secretary shall announce periodically those prevailing world market prices4 7e7 ,adjustment of prevailing world market price for upland cotton1 long grain rice1 and medium grain rice 7#a7 ,rice ,the prevailing world market price for long grain rice and medium grain rice determined under subsection 7d7 shall be adjusted to ,united ,states quality and location4 7#b7 ,cotton ,the prevailing world market price for upland cotton determined under subsection 7d7-- 7,a7 shall be adjusted to ,united ,states quality and location1 with the adjustment to include-- 7i7 a reduction equal to any ,united ,states ,premium ,factor for upland cotton of a quality higher than ,middling 7,m7 #ac_/cb-;inch2 and 7ii7 the average costs to market the commodity1 including average transportation costs1 as determined by the ,secretary2 and 7,b7 may be further adjusted1 during the period beginning on the date of enactment of this ,act and ending on ,july #ca1 #bjbe1 if the ,secretary determines the adjustment is necessary-- 7i7 to minimize potential loan forfeitures2 7ii7 to minimize the accumulation of stocks of upland cotton by the ,federal ,government2 7iii7 to ensure that upland cotton produced in the ,united ,states can be marketed freely and competitively1 both domestically and internationally2 and 7iv7 to ensure an appropriate transition between current-crop and forward-crop price quotations1 except that the ,secretary may use forward-crop price quotations prior to ,july #ca of a marketing year only if-- 7,i7 there are insufficient current-crop price quotations2 and 7,,ii7 the forward-crop price quotation is the lowest such quotation available4 7#c7 ,guidelines for additional adjustments ,in making adjustments under this subsection1 the ,secretary shall establish a mechanism for determining and announcing the adjustments in order to avoid undue disruption in the ,united ,states market4 7f7 ,repayment rates for confectionery and other kinds of sunflower seeds ,the ,secretary shall permit the producers on a farm to repay a marketing assistance loan under section #bja for confectionery and each other kind of sunflower seed 7other than oil sunflower seed7 at a rate that is the lesser of-- 7#a7 the loan rate established for the commodity under section #bjb1 plus interest 7determined in accordance with section #afc of the ,federal ,agriculture ,improvement and ,reform ,act of #aiif 7#g ,u4,s4,c4 #gbhc772 or 7#b7 the repayment rate established for oil sunflower seed4 7g7 ,payment of cotton storage costs ,effective for each of the #bjai through #bjbd crop years1 the ,secretary shall make cotton storage payments available in the same manner1 and at the same rates as the ,secretary provided storage payments for the #bjjf crop of cotton1 except that the rates shall be reduced by #aj percent4 7h7 ,repayment rate for peanuts ,the ,secretary shall permit producers on a farm to repay a marketing assistance loan for peanuts under section #bja at a rate that is the lesser of-- 7#a7 the loan rate established for peanuts under section #bjb7;a77#bj71 plus interest 7determined in accordance with section #afc of the ,federal ,agriculture ,improvement and ,reform ,act of #aiif 7#g ,u4,s4,c4 #gbhc772 or 7#b7 a rate that the ,secretary determines will-- 7,a7 minimize potential loan forfeitures2 7,b7 minimize the accumulation of stocks of peanuts by the ,federal ,government2 7,c7 minimize the cost incurred by the ,federal ,government in storing peanuts2 and 7,d7 allow peanuts produced in the ,united ,states to be marketed freely and competitively1 both domestically and internationally4 7i7 ,authority ,to temporarily adjust repayment rates 7#a7 ,adjustment authority ,in the event of a severe disruption to marketing1 transportation1 or related infrastructure1 the ,secretary may modify the repayment rate otherwise applicable under this section for marketing assistance loans under section #bja for a loan commodity4 7#b7 ,duration ,any adjustment made under paragraph 7#a7 in the repayment rate for marketing assistance loans for a loan commodity shall be in effect on a short-term and temporary basis1 as determined by the ,secretary4 #bje4 ,loan deficiency payments 7a7 ,availability of loan deficiency payments 7#a7 ,in general ,except as provided in subsection 7d71 the ,secretary may make loan deficiency payments available to producers on a farm that1 although eligible to obtain a marketing assistance loan under section #bja with respect to a loan commodity1 agree to forgo obtaining the loan for the commodity in return for loan deficiency payments under this section4 7#b7 ,unshorn pelts1 hay1 and silage 7,a7 ,marketing assistance loans ,subject to subparagraph 7,b71 nongraded wool in the form of unshorn pelts and hay and silage derived from a loan commodity are not eligible for a marketing assistance loan under section #bja4 7,b7 ,loan deficiency payment ,effective for each of the #bjai through #bjbd crop years1 the ,secretary may make loan deficiency payments available under this section to producers on a farm that produce unshorn pelts or hay and silage derived from a loan commodity4 7b7 ,computation ,a loan deficiency payment for a loan commodity or commodity referred to in subsection 7a77#b7 shall be equal to the product obtained by multiplying-- 7#a7 the payment rate determined under subsection 7c7 for the commodity2 and 7#b7 the quantity of the commodity produced by the eligible producers1 excluding any quantity for which the producers obtain a marketing assistance loan under section #bja4 7c7 ,payment rate 7#a7 ,in general ,in the case of a loan commodity1 the payment rate shall be the amount by which-- 7,a7 the loan rate established under section #bjb for the loan commodity2 exceeds 7,b7 the rate at which a marketing assistance loan for the loan commodity may be repaid under section #bjd4 7#b7 ,unshorn pelts ,in the case of unshorn pelts1 the payment rate shall be the amount by which-- 7,a7 the loan rate established under section #bjb for ungraded wool2 exceeds 7,b7 the rate at which a marketing assistance loan for ungraded wool may be repaid under section #bjd4 7#c7 ,hay and silage ,in the case of hay or silage derived from a loan commodity1 the payment rate shall be the amount by which-- 7,a7 the loan rate established under section #bjb for the loan commodity from which the hay or silage is derived2 exceeds 7,b7 the rate at which a marketing assistance loan for the loan commodity may be repaid under section #bjd4 7d7 ,exception for extra long staple cotton ,this section shall not apply with respect to extra long staple cotton4 7e7 ,effective date for payment rate determination ,the ,secretary shall determine the amount of the loan deficiency payment to be made under this section to the producers on a farm with respect to a quantity of a loan commodity or commodity referred to in subsection 7a77#b7 using the payment rate in effect under subsection 7c7 as of the date the producers request the payment4 #bjf4 ,payments in lieu of loan deficiency payments for grazed acreage 7a7 ,eligible producers 7#a7 ,in general ,effective for each of the #bjai through #bjbd crop years1 in the case of a producer that would be eligible for a loan deficiency payment under section #bje for wheat1 barley1 or oats1 but that elects to use acreage planted to the wheat1 barley1 or oats for the grazing of livestock1 the ,secretary shall make a payment to the producer under this section if the producer enters into an agreement with the ,secretary to forgo any other harvesting of the wheat1 barley1 or oats on that acreage4 7#b7 ,grazing of triticale acreage ,effective for each of the #bjai through #bjbd crop years1 with respect to a producer on a farm that uses acreage planted to triticale for the grazing of livestock1 the ,secretary shall make a payment to the producer under this section if the producer enters into an agreement with the ,secretary to forgo any other harvesting of triticale on that acreage4 7b7 ,payment amount 7#a7 ,in general ,the amount of a payment made under this section to a producer on a farm described in subsection 7a77#a7 shall be equal to the amount determined by multiplying-- 7,a7 the loan deficiency payment rate determined under section #bje7;c7 in effect1 as of the date of the agreement1 for the county in which the farm is located2 and 7,b7 the payment quantity determined by multiplying-- 7i7 the quantity of the grazed acreage on the farm with respect to which the producer elects to forgo harvesting of wheat1 barley1 or oats2 and 7ii7 7,i7 the payment yield in effect for the calculation of price loss coverage with respect to that loan commodity on the farm2 7,,ii7 in the case of a farm for which agriculture risk coverage is elected under section #ajf7;a71 the payment yield that would otherwise be in effect with respect to that loan commodity on the farm in the absence of that election2 or 7,,iii7 in the case of a farm for which no payment yield is otherwise established for that loan commodity on the farm1 an appropriate yield established by the ,secretary in a manner consistent with section #ajb7;a74 7#b7 ,grazing of triticale acreage ,the amount of a payment made under this section to a producer on a farm described in subsection 7a77#b7 shall be equal to the amount determined by multiplying-- 7,a7 the loan deficiency payment rate determined under section #bje7;c7 in effect for wheat1 as of the date of the agreement1 for the county in which the farm is located2 and 7,b7 the payment quantity determined by multiplying-- 7i7 the quantity of the grazed acreage on the farm with respect to which the producer elects to forgo harvesting of triticale2 and 7ii7 7,i7 the payment yield in effect for the calculation of price loss coverage with respect to wheat on the farm2 7,,ii7 in the case of a farm for which agriculture risk coverage is elected under section #ajf7;a71 the payment yield that would otherwise be in effect for wheat on the farm in the absence of that election2 or 7,,iii7 in the case of a farm for which no payment yield is otherwise established for wheat on the farm1 an appropriate yield established by the ,secretary in a manner consistent with section #ajb7;a74 7c7 ,time1 manner1 and availability of payment 7#a7 ,time and manner ,a payment under this section shall be made at the same time and in the same manner as loan deficiency payments are made under section #bje4 7#b7 ,availability 7,a7 ,in general ,the ,secretary shall establish an availability period for the payments authorized by this section4 7,b7 ,certain commodities ,in the case of wheat1 barley1 and oats1 the availability period shall be consistent with the availability period for the commodity established by the ,secretary for marketing assistance loans under this title4 7d7 ,prohibition on crop insurance indemnity or noninsured crop assistance ,a #bjai through #bjbd crop of wheat1 barley1 oats1 or triticale planted on acreage that a producer elects1 in the agreement required by subsection 7a71 to use for the grazing of livestock in lieu of any other harvesting of the crop shall not be eligible for an indemnity under a policy or plan of insurance authorized under the ,federal ,crop ,insurance ,act 7#g ,u4,s4,c4 #aeja et seq47 or noninsured crop assistance under section #aif of the ,federal ,agriculture ,improvement and ,reform ,act of #aiif 7#g ,u4,s4,c4 #gccc74 #bjg4 ,special marketing loan provisions for upland cotton 7a7 ,special import quota 7#a7 ,definition of special import quota ,in this subsection1 the term special import quota means a quantity of imports that is not subject to the overquota tariff rate of a tariff rate quota4 7#b7 ,establishment 7,a7 ,in general ,the ,president shall carry out an import quota program1 as provided in this subsection4 7,b7 ,program requirements ,whenever the ,secretary determines and announces that for any consecutive #d-week period1 the ,friday through ,thursday average price quotation for the lowest-priced ,united ,states growth1 as quoted for ,middling 7,m7 #ac_/cb-;inch cotton1 delivered to a definable and significant international market1 as determined by the ,secretary1 exceeds the prevailing world market price1 there shall immediately be in effect a special import quota4 7#c7 ,quantity ,the quota shall be equal to the consumption during a #a-week period of cotton by domestic mills at the seasonally adjusted average rate of the most recent #c months for which official data of the ,department of ,agriculture are available or1 in the absence of sufficient data1 as estimated by the ,secretary4 7#d7 ,application ,the quota shall apply to upland cotton-- 7,a7 purchased not later than #ij days after the date of the announcement of the ,secretary under paragraph 7#b72 and 7,b7 entered into the ,united ,states not later than #ahj days after that date4 7#e7 ,overlap ,a special quota period may be established that overlaps any existing quota period if required by paragraph 7#b71 except that a special quota period may not be established under this subsection if a quota period has been established under subsection 7b74 7#f7 ,preferential tariff treatment ,the quantity under a special import quota shall be considered to be an in-quota quantity for purposes of-- 7,a7 section #bac7;d7 of the ,caribbean ,basin ,economic ,recovery ,act 7#ai ,u4,s4,c4 #bgjc7;d772 7,b7 section #bjd of the ,andean ,trade ,preference ,act 7#ai ,u4,s4,c4 #cbjc72 7,c7 section #ejc7;d7 of the ,trade ,act of #aigd 7#ai ,u4,s4,c4 #bdfc7;d772 and 7,d7 ,general ,note #c7;a77iv7 to the ,harmonized ,tariff ,schedule4 7#g7 ,limitation ,the quantity of cotton entered into the ,united ,states during any marketing year under the special import quota established under this subsection may not exceed the equivalent of #aj weeks of consumption of upland cotton by domestic mills at the seasonally adjusted average rate of the #c months immediately preceding the first special import quota established in any marketing year4 7b7 ,limited global import quota for upland cotton 7#a7 ,definitions ,in this subsection3 7,a7 ,demand ,the term demand means-- 7i7 the average seasonally adjusted annual rate of domestic mill consumption of cotton during the most recent #c months for which official data of the ,department of ,agriculture are available or1 in the absence of sufficient data1 as estimated by the ,secretary2 and 7ii7 the larger of-- 7,i7 average exports of upland cotton during the preceding #f marketing years2 or 7,,ii7 cumulative exports of upland cotton plus outstanding export sales for the marketing year in which the quota is established4 7,b7 ,limited global import quota ,the term limited global import quota means a quantity of imports that is not subject to the overquota tariff rate of a tariff rate quota4 7,c7 ,supply ,the term supply means1 using the latest official data of the ,department of ,agriculture-- 7i7 the carryover of upland cotton at the beginning of the marketing year 7adjusted to #dhj-pound bales7 in which the quota is established2 7ii7 production of the current crop2 and 7iii7 imports to the latest date available during the marketing year4 7#b7 ,program ,the ,president shall carry out an import quota program that provides that whenever the ,secretary determines and announces that the average price of the base quality of upland cotton1 as determined by the ,secretary1 in the designated spot markets for a month exceeded #acj percent of the average price of the quality of cotton in the markets for the preceding #cf months1 notwithstanding any other provision of law1 there shall immediately be in effect a limited global import quota subject to the following conditions3 7,a7 ,quantity ,the quantity of the quota shall be equal to #ba days of domestic mill consumption of upland cotton at the seasonally adjusted average rate of the most recent #c months for which official data of the ,department of ,agriculture are available or1 in the absence of sufficient data1 as estimated by the ,secretary4 7,b7 ,quantity if prior quota ,if a quota has been established under this subsection during the preceding #ab months1 the quantity of the quota next established under this subsection shall be the smaller of #ba days of domestic mill consumption calculated under subparagraph 7,a7 or the quantity required to increase the supply to #acj percent of the demand4 7,c7 ,preferential tariff treatment ,the quantity under a limited global import quota shall be considered to be an in-quota quantity for purposes of-- 7i7 section #bac7;d7 of the ,caribbean ,basin ,economic ,recovery ,act 7#ai ,u4,s4,c4 #bgjc7;d772 7ii7 section #bjd of the ,andean ,trade ,preference ,act 7#ai ,u4,s4,c4 #cbjc72 7iii7 section #ejc7;d7 of the ,trade ,act of #aigd 7#ai ,u4,s4,c4 #bdfc7;d772 and 7iv7 ,general ,note #c7;a77iv7 to the ,harmonized ,tariff ,schedule4 7,d7 ,quota entry period ,when a quota is established under this subsection1 cotton may be entered under the quota during the #ij-;day period beginning on the date the quota is established by the ,secretary4 7#c7 ,no overlap ,notwithstanding paragraph 7#b71 a quota period may not be established that overlaps an existing quota period or a special quota period established under subsection 7a74 7c7 ,economic adjustment assistance to users of upland cotton 7#a7 ,in general ,subject to paragraph 7#b71 the ,secretary shall1 on a monthly basis1 make economic adjustment assistance available to domestic users of upland cotton in the form of payments for all documented use of that upland cotton during the previous monthly period regardless of the origin of the upland cotton4 7#b7 ,value of assistance ,the value of the assistance provided under paragraph 7#a7 shall be #c cents per pound4 7#c7 ,allowable purposes ,economic adjustment assistance under this subsection shall be made available only to domestic users of upland cotton that certify that the assistance shall be used only to acquire1 construct1 install1 modernize1 develop1 convert1 or expand land1 plant1 buildings1 equipment1 facilities1 or machinery4 7#d7 ,review or audit ,the ,secretary may conduct such review or audit of the records of a domestic user under this subsection as the ,secretary determines necessary to carry out this subsection4 7#e7 ,improper use of assistance ,if the ,secretary determines1 after a review or audit of the records of the domestic user1 that economic adjustment assistance under this subsection was not used for the purposes specified in paragraph 7#c71 the domestic user shall be-- 7,a7 liable for the repayment of the assistance to the ,secretary1 plus interest1 as determined by the ,secretary2 and 7,b7 ineligible to receive assistance under this subsection for a period of #a year following the determination of the ,secretary4 #bjh4 ,special competitive provisions for extra long staple cotton 7a7 ,competitiveness program ,notwithstanding any other provision of law1 during the period beginning on the date of enactment of this ,act and ending on ,july #ca1 #bjbe1 the ,secretary shall carry out a program-- 7#a7 to maintain and expand the domestic use of extra long staple cotton produced in the ,united ,states2 7#b7 to increase exports of extra long staple cotton produced in the ,united ,states2 and 7#c7 to ensure that extra long staple cotton produced in the ,united ,states remains competitive in world markets4 7b7 ,payments under program2 trigger ,under the program1 the ,secretary shall make payments available under this section whenever-- 7#a7 for a consecutive #d-week period1 the world market price for the lowest priced competing growth of extra long staple cotton 7adjusted to ,united ,states quality and location and for other factors affecting the competitiveness of that cotton71 as determined by the ,secretary1 is below the prevailing ,united ,states price for a competing growth of extra long staple cotton2 and 7#b7 the lowest priced competing growth of extra long staple cotton 7adjusted to ,united ,states quality and location and for other factors affecting the competitiveness of that cotton71 as determined by the ,secretary1 is less than #acd percent of the loan rate for extra long staple cotton4 7c7 ,eligible recipients ,the ,secretary shall make payments available under this section to domestic users of extra long staple cotton produced in the ,united ,states and exporters of extra long staple cotton produced in the ,united ,states that enter into an agreement with the ,commodity ,credit ,corporation to participate in the program under this section4 7d7 ,payment amount ,payments under this section shall be based on the product obtained by multiplying-- 7#a7 the difference in the prices referred to in subsection 7b77#a7 during the fourth week of the consecutive #d-week period2 and 7#b7 the amount of documented purchases by domestic users and sales for export by exporters made in the week following that consecutive #d-week period4 #bji4 ,availability of recourse loans for high moisture feed grains and seed cotton 7a7 ,high moisture feed grains 7#a7 ,definition of high moisture ,state ,in this subsection1 the term high moisture state means corn or grain sorghum having a moisture content in excess of ,commodity ,credit ,corporation standards for marketing assistance loans made by the ,secretary under section #bja4 7#b7 ,recourse loans available ,for each of the #bjai through #bjbd crops of corn and grain sorghum1 the ,secretary shall make available recourse loans1 as determined by the ,secretary1 to producers on a farm that-- 7,a7 normally harvest all or a portion of their crop of corn or grain sorghum in a high moisture state2 7,b7 present-- 7i7 certified scale tickets from an inspected1 certified commercial scale1 including a licensed warehouse1 feedlot1 feed mill1 distillery1 or other similar entity approved by the ,secretary1 pursuant to regulations issued by the ,secretary2 or 7ii7 field or other physical measurements of the standing or stored crop in regions of the ,united ,states1 as determined by the ,secretary1 that do not have certified commercial scales from which certified scale tickets may be obtained within reasonable proximity of harvest operation2 7,c7 certify that the producers on the farm were the owners of the feed grain at the time of delivery to1 and that the quantity to be placed under loan under this subsection was in fact harvested on the farm and delivered to1 a feedlot1 feed mill1 or commercial or on-farm high-moisture storage facility1 or to a facility maintained by the users of corn and grain sorghum in a high moisture state2 and 7,d7 comply with deadlines established by the ,secretary for harvesting the corn or grain sorghum and submit applications for loans under this subsection within deadlines established by the ,secretary4 7#c7 ,eligibility of acquired feed grains ,a loan under this subsection shall be made on a quantity of corn or grain sorghum of the same crop acquired by the producer in a quantity equal to the product obtained by multiplying-- 7,a7 the acreage of the corn or grain sorghum in a high moisture state harvested on the farm of the producer2 and 7,b7 the lower of-- 7i7 the payment yield in effect for the calculation of price loss coverage1 or the payment yield deemed to be in effect or established under subclause 7,,ii7 or 7,,iii7 of section #bjf7;b77#a77;,b77ii71 with respect to corn or grain sorghum on a field that is similar to the field from which the corn or grain sorghum referred to in subparagraph 7,a7 was obtained2 or 7ii7 the actual yield of corn or grain sorghum on a field1 as determined by the ,secretary1 that is similar to the field from which the corn or grain sorghum referred to in subparagraph 7,a7 was obtained4 7b7 ,recourse loans available for seed cotton ,for each of the #bjai through #bjbd crops of upland cotton and extra long staple cotton1 the ,secretary shall make available recourse seed cotton loans1 as determined by the ,secretary1 on any production4 7c7 ,repayment rates ,repayment of a recourse loan made under this section shall be at the loan rate established for the commodity by the ,secretary1 plus interest 7determined in accordance with section #afc of the ,federal ,agriculture ,improvement and ,reform ,act of #aiif 7#g ,u4,s4,c4 #gbhc774 #baj4 ,adjustments of loans 7a7 ,adjustment authority ,subject to subsection 7e71 the ,secretary may make appropriate adjustments in the loan rates for any loan commodity 7other than cotton7 for differences in grade1 type1 quality1 location1 and other factors4 7b7 ,manner of adjustment ,the adjustments under subsection 7a7 shall1 to the maximum extent practicable1 be made in such a manner that the average loan level for the commodity will1 on the basis of the anticipated incidence of the factors1 be equal to the level of support determined in accordance with this title4 7c7 ,adjustment on county basis 7#a7 ,in general ,the ,secretary may establish loan rates for a crop for producers in individual counties in a manner that results in the lowest loan rate being #ie percent of the national average loan rate1 if those loan rates do not result in an increase in outlays4 7#b7 ,prohibition ,adjustments under this subsection shall not result in an increase in the national average loan rate for any year4 7d7 ,adjustment in loan rate for cotton 7#a7 ,in general ,the ,secretary may make appropriate adjustments in the loan rate for cotton for differences in quality factors4 7#b7 ,types of adjustments ,loan rate adjustments under paragraph 7#a7 may include-- 7,a7 the use of non-spot market price data1 in addition to spot market price data1 that would enhance the accuracy of the price information used in determining quality adjustments under this subsection2 7,b7 adjustments in the premiums or discounts associated with upland cotton with a staple length of #cc or above due to micronaire with the goal of eliminating any unnecessary artificial splits in the calculations of the premiums or discounts2 and 7,c7 such other adjustments as the ,secretary determines appropriate1 after consultations conducted in accordance with paragraph 7#c74 7#c7 ,consultation with private sector 7,a7 ,prior to revision ,in making adjustments to the loan rate for cotton 7including any review of the adjustments7 as provided in this subsection1 the ,secretary shall consult with representatives of the ,united ,states cotton industry4 7,b7 ,inapplicability of ,federal advisory committee ,act ,the ,federal ,advisory ,committee ,act 7#e ,u4,s4,c4 ,app47 shall not apply to consultations under this subsection4 7#d7 ,review of adjustments ,the ,secretary may review the operation of the upland cotton quality adjustments implemented pursuant to this subsection and may make further adjustments to the administration of the loan program for upland cotton1 by revoking or revising any adjustment taken under paragraph 7#b74 7e7 ,rice ,the ,secretary shall not make adjustments in the loan rates for long grain rice and medium grain rice1 except for differences in grade and quality 7including milling yields74 ,,iii ,administration #cja4 ,administration generally 7a7 ,use of commodity credit corporation ,the ,secretary shall use the funds1 facilities1 and authorities of the ,commodity ,credit ,corporation to carry out this ,act4 7b7 ,determinations by ,secretary ,a determination made by the ,secretary under this ,act shall be final and conclusive4 7c7 ,regulations 7#a7 ,in general ,except as otherwise provided in this subsection1 not later than #ij days after the date of enactment of this ,act1 the ,secretary and the ,commodity ,credit ,corporation1 as appropriate1 shall promulgate such regulations as are necessary to implement this ,act and the amendments made by this ,act4 7#b7 ,procedure ,the promulgation of the regulations and administration of this ,act and the amendments made by this ,act shall be made without regard to-- 7,a7 the notice and comment provisions of section #eec of title #e1 ,united ,states ,code2 7,b7 chapter #ce of title #dd1 ,united ,states ,code 7commonly known as the ,paperwork ,reduction ,act72 and 7,c7 the ,statement of ,policy of the ,secretary of ,agriculture effective ,july #bd1 #aiga 7#cf ,fed4 ,reg4 #achjd71 relating to notices of proposed rulemaking and public participation in rulemaking4 7#c7 ,congressional review of agency rulemaking ,in carrying out this subsection1 the ,secretary shall use the authority provided under section #hjh of title #e1 ,united ,states ,code4 7d7 ,adjustment authority related to trade agreements compliance 7#a7 ,required determination2 adjustment ,if the ,secretary determines that expenditures under this ,act that are subject to the total allowable domestic support levels under the ,uruguay ,round ,agreements 7as defined in section #b of the ,uruguay ,round ,agreements ,act 7#ai ,u4,s4,c4 #ceja77 will exceed those allowable levels for any applicable reporting period1 the ,secretary shall1 to the maximum extent practicable1 make adjustments in the amount of those expenditures during that period to ensure that those expenditures do not exceed the allowable levels4 7#b7 ,congressional notification ,before making any adjustment under paragraph 7#a71 the ,secretary shall submit to the ,committee on ,agriculture of the ,house of ,representatives and the ,committee on ,agriculture1 ,nutrition1 and ,forestry of the ,senate a report describing the determination made under that paragraph and the extent of the adjustment to be made4 #cjb4 ,suspension of permanent price support authority 7a7 ,agricultural adjustment ,act of #aich ,the following provisions of the ,agricultural ,adjustment ,act of #aich shall not be applicable to the #bjai through #bjbd crops of covered commodities and cotton3 7#a7 ,parts ,,ii through ,v of subtitle ,b of title ,,iii 7#g ,u4,s4,c4 #acbf et seq474 7#b7 ,in the case of upland cotton1 section #cgg 7#g ,u4,s4,c4 #acgg74 7#c7 ,subtitle ,d of title ,,iii 7#g ,u4,s4,c4 #acgi;a et seq474 7#d7 ,title ,,iv 7#g ,u4,s4,c4 #adja et seq474 7b7 ,agricultural ,act of #aidi ,the following provisions of the ,agricultural ,act of #aidi shall not be applicable to the #bjai through #bjbd crops of covered commodities and cotton3 7#a7 ,section #aja 7#g ,u4,s4,c4 #adda74 7#b7 ,section #ajc7;a7 7#g ,u4,s4,c4 #addd7;a774 7#c7 ,section #aje 7#g ,u4,s4,c4 #addd;b74 7#d7 ,section #ajg 7#g ,u4,s4,c4 #adde;a74 7#e7 ,section #aaj 7#g ,u4,s4,c4 #adde;e74 7#f7 ,section #aab 7#g ,u4,s4,c4 #adde;g74 7#g7 ,section #aae 7#g ,u4,s4,c4 #addek74 7#h7 ,section #bja 7#g ,u4,s4,c4 #addf74 7#i7 ,title ,,iii 7#g ,u4,s4,c4 #addg et seq474 7#aj7 ,title ,,iv 7#g ,u4,s4,c4 #adba et seq471 other than sections #djd1 #dab1 and #daf 7#g ,u4,s4,c4 #adbd1 #adbi1 and #adca74 7#aa7 ,title ,v 7#g ,u4,s4,c4 #adfa et seq474 7#ab7 ,title ,,vi 7#g ,u4,s4,c4 #adga et seq474 7c7 ,suspension of certain quota provisions ,the joint resolution entitled ,a joint resolution relating to corn and wheat marketing quotas under the ,agricultural ,adjustment ,act of #aich1 as amended1 approved ,may #bf1 #aida 7#g ,u4,s4,c4 #accj and #acdj71 shall not be applicable to the crops of wheat planted for harvest in the calendar years #bjai through #bjbd4 #cjc4 ,conforming amendments ,sections #abjg and #abjh of the ,agricultural ,act of #bjad 7#g ,u4,s4,c4 #ijcg1 #ijch7 are repealed4