Page 561 TITLE 7—AGRICULTURE CHAPTER 35—AGRICULTURAL ADJUSTMENT ACT of 1938

Page 561 TITLE 7—AGRICULTURE fecting accomplishment of purposes of the Sugar Act of Sec. 1937, expired on Dec. 31, 1947, and was covered by sec- 1330. Omitted. tion 410 of the Sugar Act of 1948, which was set out as SUBPART III—MARKETING QUOTAS—WHEAT former section 1160 of this title. Section 1183, acts Sept. 1, 1937, ch. 898, title V, § 513, 1331. Legislative finding of effect on interstate and 50 Stat. 916; Oct. 15, 1940, ch. 887, § 1, 54 Stat. 1178; Dec. foreign commerce and necessity of regula- 26, 1941, ch. 638, § 1, 55 Stat. 872; June 20, 1944, ch. 266, § 1, tion. 58 Stat. 283; July 27, 1946, ch. 685, § 1, 60 Stat. 706, speci- 1332. National marketing quota. fied that the powers of the Secretary under the Sugar 1333. National acreage allotment. Act of 1937 were to terminate on Dec. 31, 1947. Similar 1334. Apportionment of national acreage allot- provisions as to termination under the Sugar Act of ment. 1948 are contained in section 412 of act Aug. 8, 1947, ch. 1334a. Omitted. 519, 61 Stat. 933, set out as a note under former section 1334a–1. Summer fallow farms; upper limit on required 1100 of this title. set aside acreage for 1971 through 1977 wheat, feed grain, and cotton crops. CHAPTER 35—AGRICULTURAL ADJUSTMENT 1334b. Designation of States outside commercial ACT OF 1938 wheat-producing areas. 1335. Small-farm exemption; small-farm base acre- GENERAL PROVISIONS age; election; acreage allotment; land-use Sec. provisions; price support; wheat marketing 1281. Short title. certificates. 1282. Declaration of policy. 1336. Referendum. 1282a. Emergency supply of agricultural products. 1337. Repealed. 1338. Transfer of quotas. SUBCHAPTER I—ADJUSTMENT IN FREIGHT 1339. Land use. RATES, NEW USES AND MARKETS, AND DIS- 1339a. Repealed. POSITION OF SURPLUSES 1339b. Wheat diversion programs; credits in estab- 1291. Adjustments in freight rates. lishment of State, county and farm acreage 1292. New uses and markets for commodities. allotments for wheat. 1293. Transferred. 1339c. Feed grains diversion programs for 1964 and SUBCHAPTER II—LOANS, PARITY PAYMENTS, subsequent years; feed grain acreage consid- CONSUMER SAFEGUARDS, MARKETING ered wheat acreage and wheat acreage con- QUOTAS, AND MARKETING CERTIFICATES sidered feed grain acreage. 1339d. Hay production on set-aside or diverted acre- PART A—DEFINITIONS, LOANS, PARITY PAYMENTS, AND age; storage; emergency use; loans. CONSUMER SAFEGUARDS 1340. Supplemental provisions relating to wheat marketing quotas; marketing penalty for 1301. Definitions. rice; crop loans on cotton, wheat, rice, to- 1301a. References to parity prices, etc., in other laws bacco, and peanuts. after January 1, 1950. 1301b, 1302. Repealed. SUBPART IV—MARKETING QUOTAS—COTTON 1303. Parity payments. 1304. Consumer safeguards. 1341. Legislative findings. 1305. Transfer of acreage allotments or feed grain 1342. National marketing quota; proclamation; bases on public lands upon request of State amount; date of proclamation. agencies. 1342a. National cotton production goal. 1306. Projected yields; determination; base period. 1343. Referendum. 1307. Limitation on payments under wheat, feed 1344. Apportionment of national acreage allot- grains, and cotton programs for 1974 ments. through 1977 crops. 1344a. Exclusion of 1949 acreage in computation of 1308. Payment limitations. future allotments. 1308–1. Notification of interests; payments limited to 1344b. Sale, lease, or transfer of cotton acreage al- active farmers. lotments. 1308–2. Denial of program benefits. 1345. Farm marketing quotas; farm marketing ex- 1308–3. Foreign persons made ineligible for program cess. benefits. 1346. Penalties. 1308–3a. Adjusted gross income limitation. 1347. Repealed. 1308–4. Education program. 1348. Payments in kind to equalize cost of cotton 1308–5. Treatment of multiyear program contract to domestic and foreign users; rules and payments. regulations; termination date; persons eli- 1308a. Cost reduction options. gible; amount; terms and conditions; raw 1309. Normally planted acreage and target prices. cotton in inventory. 1310. American agriculture protection program. 1349. Export market acreage. 1310a. Normal supply of commodity for 1986 through 1350. National base acreage allotment. 1995 crops. 1350a. Repealed. SUBPART V—MARKETING QUOTAS—RICE PART B—MARKETING QUOTAS 1351 to 1356. Omitted or Repealed. SUBPART I—MARKETING QUOTAS—TOBACCO SUBPART VI—MARKETING QUOTAS—PEANUTS 1311 to 1316. Repealed. 1357 to 1359a. Repealed. SUBPART II—ACREAGE ALLOTMENTS—CORN SUBPART VII—FLEXIBLE MARKETING ALLOTMENTS FOR 1321. Legislative finding of effect on interstate and SUGAR foreign commerce and necessity of regulation. 1359aa. Definitions. 1322 to 1325. Repealed. 1359bb. Flexible marketing allotments for sugar. 1326. Adjustment of farm marketing quotas. 1359cc. Establishment of flexible marketing allot- 1327 to 1329. Omitted. ments. 1329a. Discontinuance of acreage allotments on 1359dd. Allocation of marketing allotments. corn. 1359ee. Reassignment of deficits. § 1281 TITLE 7—AGRICULTURE Page 562

Sec. Sec. 1359ff. Provisions applicable to producers. SUBPART II—APPROPRIATIONS AND ADMINISTRATIVE 1359gg. Special rules. EXPENSES 1359hh. Regulations; violations; publication of Sec- 1391. Authorization of appropriations; loans from retary’s determinations; jurisdiction of the Commodity Credit Corporation. courts; United States attorneys. 1392. Administrative expenses; posting names and 1359ii. Appeals. compensation of local employees. 1359jj. Administration. 1393. Allotment of appropriations. 1359kk. Administration of tariff rate quotas. 1359ll. Period of effectiveness. SUBCHAPTER III—COTTON POOL PARTICIPATION TRUST CERTIFICATES PART C—ADMINISTRATIVE PROVISIONS 1401 to 1407. Omitted. SUBPART I—PUBLICATION AND REVIEW OF QUOTAS GENERAL PROVISIONS 1361. Application of subpart. 1362. Publication of marketing quota; mailing of § 1281. Short title allotment notice. 1363. Review of quota; review committee. This chapter may be cited as the ‘‘Agricul- 1364. Compensation of review committee. tural Adjustment Act of 1938’’. 1365. Institution of proceeding for court review of (Feb. 16, 1938, ch. 30, § 1, 52 Stat. 31.) committee findings. 1366. Court review. EFFECTIVE DATE OF 1985 AMENDMENT 1367. Stay of proceedings and exclusive jurisdic- Pub. L. 99–198, title XVIII, § 1801, Dec. 23, 1985, 99 Stat. tion. 1660, provided that: ‘‘Except as otherwise provided in 1368. Effect of increase on other quotas. this Act, this Act and the amendments made by this SUBPART II—ADJUSTMENT OF QUOTAS AND ENFORCEMENT Act [see Tables for classification] shall become effective on the date of the enactment of this Act [Dec. 23, 1371. General adjustment of quotas. 1985].’’ 1372. Payment, collection, and refund of penalties. 1373. Reports and records. SHORT TITLE OF 1999 AMENDMENT 1374. Measurement of farms and report of plant- Pub. L. 106–113, div. B, § 1000(a)(3) [title IV, § 401], Nov. ings; remeasurement. 29, 1999, 113 Stat. 1535, 1501A–210, provided that: ‘‘This 1375. Regulations. title [amending section 1387 of this title] may be cited 1376. Court jurisdiction; duties of United States at- as the ‘Mississippi National Forest Improvement Act of torneys; remedies and penalties as addi- 1999’.’’ tional. 1377. Preservation of unused acreage allotments. SHORT TITLE OF 1990 AMENDMENT 1378. Transfer of acreage allotments ensuing from Pub. L. 101–577, § 1, Nov. 15, 1990, 104 Stat. 2856, pro- agency acquisition of farmlands. vided: ‘‘That this Act [amending sections 1314e and 1379 1379. Reconstitution of farms. of this title] may be cited as the ‘Farm Poundage Quota Revisions Act of 1990’.’’ PART D—WHEAT MARKETING ALLOCATION SHORT TITLE OF 1986 AMENDMENT 1379a. Legislative findings. 1379b. Wheat marketing allocation; amount; na- Pub. L. 99–260, § 1, Mar. 20, 1986, 100 Stat. 45, provided tional allocation percentage; commercial that: ‘‘This Act [enacting section 1433c–1 of this title, and noncommercial wheat-producing areas. amending sections 259, 1431, 1441–1, 1444–1, 1444e, 1445b–3, 1379c. Marketing certificates. 1446, 1464, 1466, 1736–1, 1736s, and 1736v of this title, sec- 1379d. Marketing restrictions. tion 5312 of Title 5, Government Organization and Em- 1379e. Assistance in purchase and sale of marketing ployees, and section 714b of Title 15, Commerce and certificates; regulations; administrative ex- Trade, enacting provisions set out as notes under sec- penses; interest. tions 608c, 1441–1, and 1446 of this title, and amending 1379f. Conversion factors. provisions set out as a note under section 2025 of this 1379g. Authority to facilitate transition. title] may be cited as the ‘Food Security Improvements 1379h. Applicability of provisions to designated per- Act of 1986’.’’ sons; reports and records; examinations by SHORT TITLE OF 1985 AMENDMENT the Secretary. 1379i. Penalties. Pub. L. 99–198, § 1, Dec. 23, 1985, 99 Stat. 1354, provided 1379j. Regulations. that: ‘‘This Act [see Tables for classification] may be cited as the ‘Food Security Act of 1985’.’’ PART E—RICE CERTIFICATES SHORT TITLE OF 1982 AMENDMENT 1380a to 1380p. Omitted. Pub. L. 97–218, § 1, July 20, 1982, 96 Stat. 197, provided PART F—MISCELLANEOUS PROVISIONS AND that: ‘‘This Act [enacting sections 1314–1, 1314b–1, APPROPRIATIONS 1314b–2, 1445–1, and 1445–2 of this title, amending sections 1301, 1314, 1314b, 1314c, 1314e, 1314f, 1316, 1373, and SUBPART I—MISCELLANEOUS 1445 of this title, and enacting provisions set out as 1381 to 1382. Omitted. notes under sections 1314, 1314b, 1445, 1445–1, and 1445–2 1383. Insurance of cotton; reconcentration. of this title, and under section 590h of Title 16, Con- 1383a. Written consent for reconcentration of cot- servation] may be cited as the ‘No Net Cost Tobacco ton. Program Act of 1982’.’’ 1384. Repealed. SHORT TITLE OF 1981 AMENDMENT 1385. Finality of payments and loans; substitution of beneficiaries. Pub. L. 97–98, § 1, Dec. 22, 1981, 95 Stat. 1213, provided 1386. Exemption from laws prohibiting interest of in part that Pub. L. 97–98 [see Tables for classification] Members of Congress in contracts. be cited as the ‘‘Agriculture and Food Act of 1981’’. 1387. Photographic reproductions and maps. SHORT TITLE OF 1977 AMENDMENT 1388. Utilization of local agencies. 1389. Personnel. Pub. L. 95–113, § 1, Sept. 29, 1977, 91 Stat. 913, provided: 1390. Separability. ‘‘That this Act [enacting sections 1308 to 1310, 1444c, Page 563 TITLE 7—AGRICULTURE § 1282

1445b to 1445f, 1715, 2027, 2266, 2267, 2281 to 2289, 2669, 2670, section 590p of Title 16, Conservation, and provisions 3101 to 3103, 3121 to 3128, 3151 to 3154, 3171 to 3178, 3191 set out as note under section 1441 of this title] may be to 3201, 3221, 3222, 3241, 3251, 3252, 3261 to 3263, 3271, 3281, cited as the ‘Feed Grain Act of 1963’.’’ 3282, 3291, 3301 to 3304, 3311 to 3316, and 3401 to 3417 of this title and section 590q–3 of Title 16, Conservation, SHORT TITLE OF 1962 AMENDMENT amending sections 75 to 79b, 84, 87 to 87b, 87e, 87f–1, Pub. L. 87–703, § 1, Sept. 27, 1962, 76 Stat. 605, provided: 87f–2, 87h, 341 to 343, 361c, 390 to 390j, 427, 450i, 450j, 450l, ‘‘That this Act [enacting sections 1334b, 1339 to 1339c, 608e–1, 612c–3, 1011, 1307, 1352, 1358 to 1359, 1373, 1374, 1377, 1379a to 1379j, 1431d, 1445a and 1991 of this title and sec- 1385, 1427 to 1428, 1431, 1441, 1444, 1446, 1446a, 1447, 1622, tion 713a–13 of Title 15, Commerce and Trade, amending 1702, 1724, 1731 to 1733, 1736b, 1736c, 1781, 1782, 1923, 1929, sections 608c, 1010, 1011, 1301, 1331 to 1334, 1335, 1336, 1340, 1929a, 1932, 1942, 2011 to 2026, 2201, 2204, 2652, 2654, 2662, 1371, 1385, 1427, 1431, 1431b, 1444b, 1697, 1731 to 1733, 1735, 2663, and 2667 of this title, section 714b of Title 15, Com- 1736, 1923, 1926, 1929, and 1942 of this title and sections merce and Trade, sections 590h, 590o, 1002, 1005, 1006a, 590g, 590h, 590p, 1004 and 1005 of Title 16, Conservation, and 1505 of Title 16, and section 6651 of Title 42, The repealing section 1337 of this title, enacting provisions Public Health and Welfare, repealing section 390k of set out as notes under this section, sections 1301, 1334, this title, enacting provisions set out as notes under and 1441 of this title, and section 590p of Title 16] may this section, sections 74, 75a, 612c, 1307, 1330, 1331, 1342, be cited as the ‘Food and Agriculture Act of 1962’.’’ 1352, 1353, 1358, 1358a, 1359, 1373, 1377, 1379d, 1385, 1427, 1428, 1441, 1444, 1444b, 1444c, 1445a to 1445c, 1446, 1446d, SHORT TITLE OF 1958 AMENDMENT 1447, 1691, 2011, 2012, 2266, 3101, and 3401 of this title, and Pub. L. 85–835, § 1, Aug. 28, 1958, 72 Stat. 988, provided section 714b of Title 15, and amending provisions set that: ‘‘This Act [enacting sections 1344 note, 1378, 1431a, out as notes under sections 74, 79, 135b, 608c, 612c, 1308, 1441 note, 1443, 1444, 1853 note, amending sections 1313, and 2011 of this title and under section 1382e of Title 42] 1334, 1342, 1344, 1347, 1353, 1358, 1423, 1425, 1427, 1441, 1446, may be cited as the ‘Food and Agriculture Act of 1977’.’’ 1446a, 1782 to 1784, and repealing section 1301b of this title] may be cited as the ‘Agricultural Act of 1958’ ’’. SHORT TITLE OF 1973 AMENDMENT Pub. L. 93–86, § 6, formerly § 5, Aug. 10, 1973, 87 Stat. SHORT TITLE OF 1956 AMENDMENT 250, as renumbered Pub. L. 95–113, title XIII, § 1304(b)(1), Act May 28, 1956, ch. 327, § 1, 70 Stat. 188, provided: Sept. 29, 1977, 91 Stat. 980, provided that: ‘‘This Act [en- ‘‘That this Act [see Tables for classification] may be acting sections 428b, 612c–2, 612c–3, 1282a, 1427a, 1434, cited as the ‘Agricultural Act of 1956’.’’ 1441a, 1736e, and 2026 of this title and sections 1501 to 1510 of Title 16, Conservation, amending sections 450j, SHORT TITLE OF 1948 AMENDMENT 450l, 608c, 1301, 1305, 1306, 1307, 1334a–1, 1342a, 1344b, 1350, Act July 3, 1948, ch. 827, 62 Stat. 1247, provided in 1374, 1379b, 1379c, 1379g, 1428, 1444, 1444b, 1445a, 1446, part: ‘‘That this Act [see Tables for classification] may 1446a, 1703, 1736c, 1782, 1787, 1925, 1926, 1932, 2012, 2014, be cited as the ‘Agricultural Act of 1948’.’’ 2016, 2019, 2025, 2119, 2651, and 2654 of this title, repealing section 1628 of this title, enacting provisions set out as SEPARABILITY notes under sections 608c, 612c, 624, 1301, 1305, 1306, Pub. L. 87–703, title IV, § 405, Sept. 27, 1962, 76 Stat. 1344b, 1350, 1379b, 1379c, 1379d, 1441, 1444, 1445a, and 1446 632, provided that: ‘‘If any provision of this Act [see of this title, section 142 of Title 13, Census, and section Short Title of 1962 Amendment note above] is declared 71 of Title 45, Railroads, and amending provisions set unconstitutional, or the applicability thereof to any out as notes under sections 135b, 608c, 1305, 1330 to 1336, person or circumstance is held invalid, the validity of 1338, 1339, 1342, 1343, 1344, 1344b, 1345, 1346, 1377 to 1379, the remainder of this Act and the applicability thereof 1379b, 1379c, 1385, 1427, 1428, 1441, 1445a, 1446, and 1446d of to other persons and circumstances shall not be af- this title] may be cited as the ‘Agriculture and Con- fected thereby.’’ sumer Protection Act of 1973’.’’ § 1282. Declaration of policy SHORT TITLE OF 1970 AMENDMENT Pub. L. 91–524, § 1, Nov. 30, 1970, 84 Stat. 1358, provided: It is declared to be the policy of Congress to ‘‘That this Act [as amended by section 1 of Pub. L. continue the Soil Conservation and Domestic 93–86, enacting sections 428b, 612c–2, 612c-3, 1282a, 1307, Allotment Act, as amended [16 U.S.C. 590a et 1334a–1, 1339d, 1342a, 1350a, 1427a, 1434, 1441a, 1736e, 1787, seq.], for the purpose of conserving national re- 1930, and 2119 of this title, sections 590q–2 and 1501 to sources, preventing the wasteful use of soil fer- 1510 of Title 16, Conservation, and section 3122 of Title tility, and of preserving, maintaining, and re- 42, The Public Health and Welfare, amending sections building the farm and ranch land resources in 450j, 450l, 608c, 1301, 1305, 1306, 1344b, 1350, 1374, 1378, 1379, the national public interest; to accomplish these 1379b, 1379c, 1379d, 1379e, 1379g, 1385, 1427, 1428, 1444, 1444a, 1444b, 1445a, 1446, 1446a, 1703, 1704, 1736, 1736c, 1782, purposes through the encouragement of soil- 1787, 1925, 1926, 1932, 2651, and 2654 of this title and sec- building and soil-conserving crops and practices; tion 590p of Title 16, Conservation, and enacting provi- to assist in the marketing of agricultural com- sions set out as notes under sections 135b, 608c, 624, modities for domestic consumption and for ex- 1301, 1305, 1306, 1330, 1331, 1332, 1333, 1334, 1335, 1336, 1338, port; and to regulate interstate and foreign com- 1339, 1342, 1342a, 1343, 1344, 1344b, 1345, 1346, 1350, 1359, merce in cotton, wheat, corn, and rice to the ex- 1377, 1378, 1379, 1379b to 1379j, 1385, 1427, 1428, 1441, 1444, tent necessary to provide an orderly, adequate, 1444b, 1445, 1445a, 1446, and 1446d of this title, section 142 and balanced flow of such commodities in inter- of Title 13, Census, and section 71 of Title 45 Railroads] state and foreign commerce through storage of may be cited as the ‘Agricultural Act of 1970’.’’ reserve supplies, loans, marketing quotas, as- SHORT TITLE OF 1964 AMENDMENT sisting farmers to obtain insofar as practicable, Pub. L. 88–297, § 1, Apr. 11, 1964, 78 Stat. 173, provided: parity prices for such commodities and parity of ‘‘That this Act [enacting sections 1348 to 1350 of this income, and assisting consumers to obtain an title, amending sections 1301, 1334, 1336, 1339, 1344, 1376, adequate and steady supply of such commodities 1377, 1379b, 1379c, 1379d, 1385, 1421, 1427, 1444, and 1445a of at fair prices. this title, enacting provisions set out as notes under sections 1332 and 1379b of this title, and amending pro- (Feb. 16, 1938, ch. 30, § 2, 52 Stat. 31; Pub. L. visions set out as a note under section 1441 of this title] 108–357, title VI, § 611(e), Oct. 22, 2004, 118 Stat. may be cited as the ‘Agricultural Act of 1964’.’’ 1522.)

SHORT TITLE OF 1963 AMENDMENT REFERENCES IN TEXT Pub. L. 88–26, § 1, May 20, 1963, 77 Stat. 44, provided: The Soil Conservation and Domestic Allotment Act, ‘‘That this Act [amending section 1339a of this title and as amended, referred to in text, is act Apr. 27, 1935, ch. § 1282a TITLE 7—AGRICULTURE Page 564

85, 49 Stat. 163, as amended, which is classified gener- ‘‘(e) recognize the importance of the family farm as ally to chapter 3B (§ 590a et seq.) of Title 16, Conserva- an efficient unit of production and as an economic tion. For complete classification of this Act to the base for towns and cities in rural areas and encour- Code, see section 590q of Title 16 and Tables. age, promote, and strengthen this form of farm enter- prise; AMENDMENTS ‘‘(f) facilitate and improve credit services to farm- 2004—Pub. L. 108–357 struck out ‘‘tobacco,’’ after ers by revising, expanding, and clarifying the laws re- ‘‘corn,’’. lating to agricultural credit; ‘‘(g) assure consumers of a continuous, adequate, EFFECTIVE DATE OF 2004 AMENDMENT and stable supply of food and fiber at fair and reasonable prices; Amendment by Pub. L. 108–357 applicable to the 2005 ‘‘(h) reduce the cost of farm programs, by prevent- and subsequent crops of tobacco, see section 643 of Pub. ing the accumulation of surpluses; and L. 108–357, set out as an Effective Date note under sec- ‘‘(i) use surplus farm commodities on hand as fully tion 518 of this title. as practicable as an incentive to reduce production as SAVINGS PROVISION may be necessary to bring supplies on hand and firm demand in balance.’’ Amendment by sections 611 to 614 of Pub. L. 108–357 not to affect the liability of any person under any pro- CONGRESSIONAL DECLARATION OF POLICY FOR YEAR vision of law so amended with respect to the 2004 or an 1949 earlier crop of tobacco, see section 614 of Pub. L. Act July 3, 1948, ch. 827, title I, § 1(d), 62 Stat. 1248, 108–357, set out as a note under section 515 of this title. provided that: ‘‘It is hereby declared to be the policy of TRANSFER OF FUNCTIONS the Congress that the lending and purchase operations of the Department of Agriculture (other than those re- Functions of Agricultural Adjustment Administra- ferred to in subsections (a), (b), and (c) hereof [sub- tion transferred to Secretary of Agriculture by 1946 sections (a) and (b) are set out as notes under this sec- Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, tion and subsection (c) is set out as a note under sec- 60 Stat. 1100. See note set out under section 610 of this tion 713a–8 of Title 15, Commerce and Trade]) shall be title. carried out until January 1, 1950, so as to bring the Soil Conservation Service and Agricultural Adjust- price and income of the producers of other agricultural ment Administration consolidated with other agencies commodities not covered by subsections (a), (b), and (c) into Agricultural Conservation and Adjustment Admin- to a fair parity relationship with the commodities in- istration for duration of war, see Ex. Ord. No. 9069, set cluded under subsections (a), (b), and (c), to the extent out in note under section 601 of Appendix to Title 50, that funds for such operations are available after tak- War and National Defense. ing into account the operations with respect to the Functions of Soil Conservation Service in Depart- commodities covered by subsections (a), (b), and (c). In ment of Agriculture with respect to soil and moisture carrying out the provisions of this subsection the Sec- conservation operations conducted on lands under ju- retary of Agriculture shall have the authority to re- risdiction of Department of the Interior transferred to quire compliance with production goals and marketing Department of the Interior, to be administered under regulations as a condition to eligibility of producers for direction and supervision of Secretary of the Interior price support.’’ through such agency or agencies in Department of the Interior as Secretary shall designate, by 1940 Reorg. STUDY OF PARITY INCOME POSITION OF FARMERS; Plan No. IV, § 6, eff. June 30, 1940, set out in the Appen- REPORT TO CONGRESS BY JUNE 30, 1966 dix to Title 5, Government Organization and Employ- Pub. L. 89–321, title VII, § 705, Nov. 3, 1965, 79 Stat. ees. See, also, sections 13 to 15 of said plan for provi- 1210, directed the Secretary of Agriculture to make a sions relating to transfer of functions of department study of the parity income position of farmers, and re- heads, records, property, personnel, and funds. port the results of such study to the Congress not later than June 30, 1966. CONGRESSIONAL DECLARATION OF POLICY UNDER AGRICULTURAL ACT OF 1961 PRICE STABILIZATION DURING YEAR 1950 Pub. L. 87–128, § 2, Aug. 8, 1961, 75 Stat. 294, provided Act July 3, 1948, ch. 827, title I, § 1(a), (b), 62 Stat. 1247, that: ‘‘In order more fully and effectively to improve, 1248, as amended June 10, 1949, ch. 191, 63 Stat. 169, au- maintain, and protect the prices and incomes of farm- thorized the Secretary of Agriculture through any in- ers, to enlarge rural purchasing power, to achieve a strumentality or agency within or under the direction better balance between supplies of agricultural com- of the Department of Agriculture, by loans, purchases, modities and the requirements of consumers therefor, or other operations to support prices received by pro- to preserve and strengthen the structure of agriculture, ducers of cotton, wheat, corn, tobacco, rice, and pea- and to revitalize and stabilize the overall economy at nuts marketed before June 30, 1950 (Sept. 30, 1950, in the reasonable costs to the Government, it is hereby de- case of Maryland and the cigar-leaf types of tobacco), clared to be the policy of Congress to— if producers had not disapproved marketing quotas for ‘‘(a) afford farmers the opportunity to achieve par- such commodity for the marketing year beginning in ity of income with other economic groups by provid- the calendar year in which the crop is harvested. ing them with the means to develop and strengthen Act July 3, 1948, ch. 827, title I, § 2, 62 Stat. 1248, au- their bargaining power in the Nation’s economy; thorized the Secretary, from any funds available to the ‘‘(b) encourage a commodity-by-commodity ap- Department of Agriculture or any agency operating proach in the solution of farm problems and provide under its direction for price support operations or for the means for meeting varied and changing condi- the disposal of agricultural commodities, to use such tions peculiar to each commodity; sums as may be necessary to carry out the provisions ‘‘(c) expand foreign trade in agricultural commod- of section 1 of the Act (enacting provisions set out as ities with friendly nations, as defined in section 107 of notes under this section and amending provisions set Public Law 480, 83d Congress, as amended (7 U.S.C. out as a note under section 713a–8 of this title). 1707), and in no manner either subsidize the export, sell, or make available any subsidized agricultural § 1282a. Emergency supply of agricultural prod- commodity to any nations other than such friendly ucts nations and thus make full use of our agricultural (a) Establishment of prices to insure orderly, abundance; adequate and steady supply of products ‘‘(d) utilize more effectively our agricultural pro- ductive capacity to improve the diets of the Nation’s Notwithstanding any other provision of law, needy persons; the Secretary of Agriculture shall assist farm- Page 565 TITLE 7—AGRICULTURE § 1292 ers, processors, and distributors in obtaining and practices relating to the transportation of such prices for agricultural products that an or- farm products, the Board shall cause the Sec- derly, adequate and steady supply of such prod- retary to be notified, and, upon application by ucts will exist for the consumers of this nation. the Secretary, shall permit the Secretary to ap- (b) Adjustments in maximum price of products pear and be heard. subject to any price control or freeze order (b) Secretary as party to proceedings or regulation to increase supply If such rate, charge, tariff, or practice com- The President shall make appropriate adjust- plained of is one affecting the public interest, ments in the maximum price which may be upon application by the Secretary, the Board charged under the provisions of Executive Order shall make the Secretary a party to the proceed- 11723 (dated June 13, 1973) or any subsequent Ex- ing. In such case the Secretary shall have the ecutive Order for any agricultural products (at rights of a party before the Board and the rights any point in the distribution chain) as to which of a party to invoke and pursue original and ap- the Secretary of Agriculture certifies to the pellate judicial proceedings involving the President that the supply of the product will be Board’s determination. The liability of the Sec- reduced to unacceptably low levels as a result of retary in any such case shall extend only to li- any price control or freeze order or regulation ability for court costs. and that alternative means for increasing the (c) Utilization of records, services, etc., of De- supply are not available. partment of Agriculture (c) ‘‘Agricultural products’’ defined For the purposes of this section, the Surface Under this section, the term ‘‘agricultural Transportation Board is authorized to avail it- products’’ shall include meat, poultry, vegeta- self of the cooperation, records, services, and fa- bles, fruits and all other agricultural commod- cilities of the Department of Agriculture. ities in raw or processed form, except forestry (d) Cooperation with complaining farm associa- products or fish or fishery products. tions (d) Implementation of policies to encourage full The Secretary is authorized to cooperate with production in periods of short supply at fair and assist cooperative associations of farmers and reasonable prices making complaint to the Surface Transpor- The Secretary of Agriculture is directed to im- tation Board with respect to rates, charges, tar- plement policies under this Act which are de- iffs, and practices relating to the transportation signed to encourage American farmers to of farm products. produce to their full capabilities during periods (Feb. 16, 1938, ch. 30, title II, § 201, 52 Stat. 36; of short supply to assure American consumers Pub. L. 104–88, title III, § 311, Dec. 29, 1995, 109 with an adequate supply of food and fiber at fair Stat. 948.) and reasonable prices. AMENDMENTS (Pub. L. 91–524, title VIII, § 815, as added Pub. L. 93–86, § 1(27)(B), Aug. 10, 1973, 87 Stat. 240.) 1995—Pub. L. 104–88 substituted ‘‘Surface Transpor- tation Board’’ for ‘‘Interstate Commerce Commission’’ REFERENCES IN TEXT in subsecs. (a), (c), and (d), ‘‘Board’’ for ‘‘Commission’’ wherever appearing in subsecs. (a) and (b), and Executive Order 11723 (dated June 13, 1973), referred ‘‘Board’s’’ for ‘‘Commission’s’’ in subsec. (b). to in subsec. (b), was revoked by Ex. Ord. No. 11788, June 18, 1974, 39 F.R. 22113. EFFECTIVE DATE OF 1995 AMENDMENT This Act, referred to in subsec. (d), is Pub. L. 91–524, Nov. 30, 1970, 84 Stat. 1358, known as the Agricultural Amendment by Pub. L. 104–88 effective Jan. 1, 1996, Act of 1970. For complete classification of this Act to see section 2 of Pub. L. 104–88, set out as an Effective the Code, see Short Title of 1970 Amendment note set Date note under section 701 of Title 49, Transportation. out under section 1281 of this title and Tables. § 1292. New uses and markets for commodities CODIFICATION (a) Regional research laboratories Section was enacted as part of the Agricultural Act The Secretary is authorized and directed to es- of 1970 as added by the Agriculture and Consumer Pro- tection Act of 1973, and not as part of the Agricultural tablish, equip, and maintain four regional re- Adjustment Act of 1938 which comprises this chapter. search laboratories, one in each major farm producing area, and, at such laboratories, to con- SUBCHAPTER I—ADJUSTMENT IN FREIGHT duct researches into and to develop new sci- RATES, NEW USES AND MARKETS, AND entific, chemical, and technical uses and new DISPOSITION OF SURPLUSES and extended markets and outlets for farm commodities and products and byproducts thereof. § 1291. Adjustments in freight rates Such research and development shall be devoted (a) Complaints by Secretary of Agriculture; no- primarily to those farm commodities in which tice of hearings there are regular or seasonal surpluses, and their products and byproducts. The Secretary of Agriculture is authorized to make complaint to the Surface Transportation (b) Acquisition of land for laboratories; dona- Board with respect to rates, charges, tariffs, and tions practices relating to the transportation of farm For the purposes of subsection (a) of this sec- products, and to prosecute the same before the tion, the Secretary is authorized to acquire land Board. Before hearing or disposing of any com- and interests therein, and to accept in the name plaint (filed by any person other than the Sec- of the United States donations of any property, retary) with respect to rates, charges, tariffs, real or personal, to any laboratory established § 1293 TITLE 7—AGRICULTURE Page 566 pursuant to this section, and to utilize vol- ‘‘SEC. 2 [Contract authority; sale of export marketing untary or uncompensated services at such lab- certificates and pro rata share of such certificates for oratories. Donations to any one of such labora- financing agreements; rules and regulations]. The Sec- tories shall not be available for use by any other retary of Agriculture is authorized to enter into agreements with organizations of wheat growers, farm orga- of such laboratories. nizations, and such other organizations as he may deem (c) Cooperation with governmental agencies, as- appropriate to carry out a program of research and pro- sociations, etc. motion designed to expand domestic and foreign mar- In carrying out the purposes of subsection (a) kets and increase utilization for United States wheat and to carry out any other such program which he of this section, the Secretary is authorized and deems will benefit wheat producers in the United directed to cooperate with other departments or States. Notwithstanding any other provision of law, agencies of the Federal Government, States, the Secretary shall use the total net proceeds from the State agricultural experiment stations, and sale of export marketing certificates during the mar- other State agencies and institutions, counties, keting year ending June 30, 1969, to finance the cost of municipalities, business or other organizations, such agreements, except that he shall provide for the corporations, associations, universities, sci- issuance of a pro rata share of export marketing certifi- entific societies, and individuals, upon such cates for such marketing year to any producer eligible therefor under section 379c of the Agricultural Adjust- terms and conditions as he may prescribe. ment Act of 1938, as amended [section 1379c of this (d) Appropriation for purposes of subsection (a) title], who applies for such certificates not later than To carry out the purposes of subsection (a) of ninety days after the date of enactment of this Act this section, the Secretary is authorized to uti- [Sept. 26, 1970]. The Secretary is authorized to prescribe such rules and regulations as may be necessary to lize in each fiscal year, beginning with the fiscal carry out the provisions of this Act.’’ year beginning July 1, 1938, a sum not to exceed $4,000,000 of the funds appropriated pursuant to § 1293. Transferred section 1391 of this title, or section 590o of title 16, for such fiscal year. The Secretary shall allo- CODIFICATION cate one-fourth of such sum annually to each of Section, act Feb. 16, 1938, ch. 30, title II, § 204, 52 Stat. the four laboratories established pursuant to 38, which provided for annual report of Federal Surplus this section. Commodities Corporation, was transferred to section 713c–1 of Title 15, Commerce and Trade. (e) Repealed. Aug. 30, 1954, ch. 1076, § 1(3), 68 Stat. 966 SUBCHAPTER II—LOANS, PARITY PAY- MENTS, CONSUMER SAFEGUARDS, MAR- (f) Appropriation to Secretary of Commerce KETING QUOTAS, AND MARKETING CER- There is allocated to the Secretary of Com- TIFICATES merce for each fiscal year, beginning with the fiscal year beginning July 1, 1938, out of funds PART A—DEFINITIONS, LOANS, PARITY appropriated for such fiscal year pursuant to PAYMENTS, AND CONSUMER SAFEGUARDS section 1391 of this title, or section 590o of title 16 the sum of $1,000,000 to be expended for the § 1301. Definitions promotion of the sale of farm commodities and (a) General definitions products thereof in such manner as he shall direct. Of the sum allocated under this subsection For the purposes of this subchapter and the to the Secretary of Commerce for the fiscal year declaration of policy— beginning July 1, 1938, $100,000 shall be devoted (1)(A) The ‘‘parity price’’ for any agricul- to making a survey and investigation of the tural commodity, as of any date, shall be de- cause or causes of the reduction in exports of ag- termined by multiplying the adjusted base ricultural commodities from the United States, price of such commodity as of such date by the in order to ascertain methods by which the sales parity index as of such date. in foreign countries of basic agricultural com- (B) The ‘‘adjusted base price’’ of any agricul- modities produced in the United States may be tural commodity, as of any date, shall be (i) increased. the average of the prices received by farmers for such commodity, at such times as the Sec- (g) Duty of Secretary retary may select during each year of the ten- It shall be the duty of the Secretary to use year period ending on the 31st of December available funds to stimulate and widen the use last before such date, or during each market- of all farm commodities in the United States ing season beginning in such period if the Sec- and to increase in every practical way the flow retary determines use of a calendar year basis of such commodities and the products thereof to be impracticable, divided by (ii) the ratio of into the markets of the world. the general level of prices received by farmers (Feb. 16, 1938, ch. 30, title II, § 202, 52 Stat. 37; for agricultural commodities during such pe- Aug. 30, 1954, ch. 1076, § 1(3), 68 Stat. 966.) riod to the general level of prices received by farmers for agricultural commodities during AMENDMENTS the period January 1910 to December 1914, in- 1954—Subsec. (e). Act Aug. 30, 1954, repealed subsec. clusive. As used in this subparagraph, the (e) which required reports to Congress of the activities term ‘‘prices’’ shall include wartime subsidy of, expenditures by, and donations to, the laboratories payments made to producers under programs established pursuant to subsec. (a). designed to maintain maximum prices estab- WHEAT RESEARCH AND PROMOTION ACT lished under the Emergency Price Control Act Pub. L. 91–430, Sept. 26, 1970, 84 Stat. 885, provided: of 1942. ‘‘[Section 1. Short Title]. That this Act shall be (C) The ‘‘parity index’’, as of any date, shall known as the ‘Wheat Research and Promotion Act.’ be the ratio of (i) the general level of prices for Page 567 TITLE 7—AGRICULTURE § 1301

articles and services that farmers buy, wages agriculture for such year as the average gross paid hired farm labor, interest on farm indebt- income from such commodity for the preced- edness secured by farm real estate, and taxes ing ten calendar years bears to the average on farm real estate, for the calendar month gross income from agriculture for such ten ending last before such date to (ii) the general calendar years. level of such prices, wages, rates, and taxes (3) The term ‘‘interstate and foreign com- during the period January 1910 to December merce’’ means sale, marketing, trade, and 1914, inclusive. traffic between any State or Territory or the (D) The prices and indices provided for here- District of Columbia or Puerto Rico, and any in, and the data used in computing them, shall place outside thereof; or between points with- be determined by the Secretary, whose deter- in the same State or Territory or within the mination shall be final. District of Columbia or Puerto Rico, through (E) Notwithstanding the provisions of sub- any place outside thereof; or within any Terri- paragraph (A) of this paragraph, the transi- tory or within the District of Columbia or tional parity price for any agricultural com- Puerto Rico. modity, computed as provided in this subpara- (4) The term ‘‘affect interstate and foreign graph, shall be used as the parity price for commerce’’ means, among other things, in such commodity until such date after January such commerce, or to burden or obstruct such 1, 1950, as such transitional parity price may commerce or the free and orderly flow thereof; be lower than the parity price, computed as or to create or tend to create a surplus of any provided in subparagraph (A) of this para- agricultural commodity which burdens or ob- graph, for such commodity. The transitional structs such commerce or the free and orderly parity price for any agricultural commodity flow thereof. as of any date shall be— (5) The term ‘‘United States’’ means the sev- (i) its parity price determined in the man- eral States and Territories and the District of ner used prior to the effective date of the Columbia and Puerto Rico. Agricultural Act of 1948, less (ii) 5 per centum of the parity price so de- (6) The term ‘‘State’’ includes a Territory termined multiplied by the number of full and the District of Columbia and Puerto Rico. calendar years (not counting 1956 in the case (7) The term ‘‘Secretary’’ means the Sec- of basic agricultural commodities) which, as retary of Agriculture, and the term ‘‘Depart- of such date, have elapsed after January 1, ment’’ means the Department of Agriculture. 1949, in the case of non-basic agricultural (8) The term ‘‘person’’ means an individual, commodities, and after January 1, 1955, in partnership, firm, joint-stock company, cor- the case of the basic agricultural commod- poration, association, trust, estate, or any ities. agency of a State. (9) The term ‘‘corn’’ means field corn. (F) Notwithstanding the provisions of sub- (b) Definitions applicable to one or more com- paragraphs (A) and (E) of this paragraph, if the modities parity price for any agricultural commodity, computed as provided in subparagraphs (A) For the purposes of this subchapter— and (E) of this paragraph, appears to be seri- (1)(A) ‘‘Actual production’’ as applied to any ously out of line with the parity prices of acreage of corn means the number of bushels other agricultural commodities, the Secretary of corn which the local committee determines may, and upon the request of a substantial would be harvested as grain from such acreage number of interested producers shall, hold if all the corn on such acreage were so har- public hearings to determine the proper rela- vested. In case of a disagreement between the tionship between the parity price of such com- farmer and the local committee as to the ac- modity and the parity prices of other agricul- tual production of the acreage of corn on the tural commodities. Within sixty days after farm, or in case the local committee deter- commencing such hearing the Secretary shall mines that such actual production is substan- complete such hearing, proclaim his findings tially below normal, the local committee, in as to whether the facts require a revision of accordance with regulations of the Secretary, the method of computing the parity price of shall weigh representative samples of ear corn such commodity, and put into effect any revi- taken from the acreage involved, make proper sion so found to be required. deductions for moisture content, and deter- (G) Notwithstanding the foregoing provi- mine the actual production of such acreage on sions of this section, the parity price for any the basis of such samples. basic agricultural commodity, as of any date (B) ‘‘Actual production’’ of any number of during the six-year period beginning January acres of cotton, rice or peanuts on a farm 1, 1950, shall not be less than its parity price means the actual average yield for the farm computed in the manner used prior to October times such number of acres. 31, 1949. (2) ‘‘Bushel’’ means in the case of ear corn (2) ‘‘Parity’’, as applied to income, shall be that amount of ear corn, including not to ex- that gross income from agriculture which will ceed 151⁄2 per centum of moisture content, provide the farm operator and his family with which weighs seventy pounds, and in the case a standard of living equivalent to those af- of shelled corn, means that amount of shelled forded persons dependent upon other gainful corn including not to exceed 151⁄2 per centum occupation. ‘‘Parity’’ as applied to income of moisture content, which weighs fifty-six from any agricultural commodity for any pounds. year, shall be that gross income which bears (3)(A) ‘‘Carry-over’’, in the case of corn, rice, the same relationship to parity income from and peanuts for any marketing year shall be § 1301 TITLE 7—AGRICULTURE Page 568

the quantity of the commodity on hand in the if such poultry or livestock, or the products United States at the beginning of such mar- thereof, are consumed or to be consumed by keting year, not including any quantity which the farmer’s family, employees, or household. was produced in the United States during the (6)(A) ‘‘Market’’, in the case of corn, cotton, calendar year then current. rice, and wheat, means to dispose of, in raw or (B) ‘‘Carry-over’’ of cotton for any market- processed form, by voluntary or involuntary ing year shall be the quantity of cotton on sale, barter, or exchange, or by gift inter hand in the United States at the beginning of vivos, and, in the case of corn and wheat, by such marketing year, not including any part feeding (in any form) to poultry or livestock of the crop which was produced in the United which, or the products of which, are sold, bar- States during the calendar year then current. tered, or exchanged, or to be so disposed of, (C) ‘‘Carry-over’’ of wheat, for any market- but does not include disposing of any such ing year shall be the quantity of wheat on commodities as premium to the Federal Crop hand in the United States at the beginning of Insurance Corporation under the Federal Crop such marketing year, not including any wheat Insurance Act [7 U.S.C. 1501 et seq.]. which was produced in the United States dur- (B) ‘‘Marketed’’, ‘‘marketing’’, and ‘‘for mar- ing the calendar year then current, and not in- ket’’ shall have corresponding meanings to the cluding any wheat held by the Federal Crop term ‘‘market’’ in the connection in which Insurance Corporation under the Federal Crop they are used. Insurance Act [7 U.S.C. 1501 et seq.]. (C) ‘‘Market’’, in the case of peanuts, means (4)(A) ‘‘Commercial corn-producing area’’ to dispose of peanuts, including farmers’ stock shall include all counties in which the average peanuts, shelled peanuts, cleaned peanuts, or production of corn (excluding corn used as si- peanuts in processed form, by voluntary or in- lage) during the ten calendar years imme- voluntary sale, barter, or exchange, or by gift diately preceding the calendar year for which inter vivos. such area is determined, after adjustment for (7) ‘‘Marketing year’’ means, in the case of abnormal weather conditions, is four hundred the following commodities, the period begin- and fifty bushels or more per farm and four ning on the first and ending with the second bushels or more for each acre of farm land in date specified below: the county. Corn, September 1–August 31; (B) Whenever prior to February 1 of any cal- Cotton, August 1–July 31; endar year the Secretary has reason to believe Rice, August 1–July 31; that any county which is not included in the Tobacco (flue-cured), July 1–June 30; commercial corn-producing area determined Tobacco (other than flue-cured), October pursuant to the provisions of subparagraph (A) 1–September 30; of this subsection, but which borders upon one Wheat, June 1–May 31. of the counties in such area, or that any minor (8)(A) ‘‘National average yield’’ as applied to civil division in a county bordering on such cotton or wheat shall be the national average area, is producing (excluding corn used for si- yield per acre of the commodity during the ten lage) an average of at least four hundred and calendar years in the case of wheat, and dur- fifty bushels of corn per farm and an average ing the five calendar years in the case of cot- of at least four bushels for each acre of farm ton, preceding the year in which such national land in the county or in the minor civil divi- average yield is used in any computation au- sion, as the case may be, he shall cause imme- thorized in this subchapter, adjusted for ab- diate investigation to be made to determine normal weather conditions and, in the case of such fact. If, upon the basis of such investiga- wheat, but not in the case of cotton, for trends tion, the Secretary finds that such county or in yields. minor civil division is likely to produce corn (B) ‘‘Projected national yield’’ as applied to in such average amounts during such calendar any crop of wheat shall be determined on the year, he shall proclaim such determination basis of the national yield per harvested acre and, commencing with such calendar year, of the commodity during each of the five cal- such county shall be included in the commer- endar years immediately preceding the year in cial corn-producing area. In the case of a coun- which such projected national yield is deter- ty included in the commercial corn-producing mined, adjusted for abnormal weather condi- area pursuant to this subparagraph, whenever tions affecting such yield, for trends in yields prior to February 1 of any calendar year the and for any significant changes in production Secretary has reason to believe that facts jus- practices. tifying the inclusion of such county are not (9) ‘‘Normal production’’ as applied to any likely to exist in such calendar year, he shall number of acres of corn or rice means the nor- cause an immediate investigation to be made mal yield for the farm times such number of with respect thereto. If, upon the basis of such acres. ‘‘Normal production’’ as applied to any investigation, the Secretary finds that such number of acres of cotton or wheat means the facts are not likely to exist in such calendar projected farm yield times such number of year, he shall proclaim such determination, acres. and commencing with such calendar year, (10)(A) ‘‘Normal supply’’ in the case of corn, such county shall be excluded from the com- rice, wheat, and peanuts for any marketing mercial corn-producing area. year shall be (i) the estimated domestic con- (5) ‘‘Farm consumption’’ of corn means consumption of the commodity for the marketing sumption by the farmer’s family, employees, year ending immediately prior to the market- or household, or by his work stock; or con- ing year for which normal supply is being de- sumption by poultry or livestock on his farm termined, plus (ii) the estimated exports of the Page 569 TITLE 7—AGRICULTURE § 1301

commodity for the marketing year for which any county in which the years 1935–1939, inclu- normal supply is being determined, plus (iii) sive, are equally as representative, such period an allowance for carry-over. The allowance for may be used in determining the normal yields carry-over shall be the following percentage of for counties in the State. the sum of the consumption and exports used (C) In applying subparagraph (A) or (B) of in computing normal supply: 15 per centum in this paragraph, if for any such year the data the case of corn; 10 per centum in the case of are not available, or there is no actual yield, rice; 20 per centum in the case of wheat; and an appraised yield for such year, determined 15 per centum in the case of peanuts. In deter- in accordance with regulations issued by the mining normal supply the Secretary shall Secretary, shall be used as the actual yield for make such adjustments for current trends in such year. In applying such subparagraphs, if, consumption and for unusual conditions as he on account of drought, flood, insect pests, may deem necessary. plant disease, or other uncontrollable natural (B) The ‘‘normal supply’’ of cotton for any cause, the yield in any year of such ten-year marketing year shall be the estimated domes- period or five-year period, as the case may be, tic consumption of cotton for the marketing is less than 75 per centum of the average (com- year for which such normal supply is being de- puted without regard to such year) such year termined, plus the estimated exports of cotton shall be eliminated in calculating the normal for such marketing year, plus, 30 per centum yield per acre. of the sum of such consumption and exports as (D) ‘‘Normal yield’’ for any county, in the an allowance for carry-over. case of rice and wheat, shall be the average (11)(A) ‘‘Normal year’s domestic consump- yield per acre of rice or wheat, as the case tion’’, in the case of corn and wheat, shall be may be, for the county during the five cal- the yearly average quantity of the commod- endar years immediately preceding the year ity, wherever produced, that was cosumed 1 in for which such normal yield is determined in the United States during the ten marketing the case of rice, or during the five years imme- years immediately preceding the marketing diately preceding the year in which such nor- year in which such consumption is deter- mal yield is determined in the case of wheat, mined, adjusted for current trends in such con- adjusted for abnormal weather conditions and sumption. for trends in yields. If for any such year data (B) ‘‘Normal year’s domestic consumption’’, are not available, or there is no actual yield, in the case of cotton, shall be the yearly aver- an appraised yield for such year, determined age quantity of the commodity produced in in accordance with regulations issued by the the United States that was consumed in the Secretary, taking into consideration the United States during the ten marketing years yields obtained in surrounding counties during immediately preceding the marketing year in such year and the yield in years for which data which such consumption is determined, ad- are available, shall be used as the actual yield justed for current trends in such consumption. for such year. (C) ‘‘Normal year’s domestic consumption’’, (E) ‘‘Normal yield’’ for any farm, in the case in the case of rice, shall be the yearly average of rice and wheat, shall be the average yield quantity of rice produced in the United States per acre of rice or wheat, as the case may be, that was consumed in the United States dur- for the farm during the five calendar years im- ing the five marketing years immediately pre- mediately preceding the year for which such ceding the marketing year in which such con- normal yield is determined in the case of rice, sumption is determined, adjusted for current or during the five years immediately preced- trends in such consumption. ing the year in which such normal yield is de- (12) ‘‘Normal year’s exports’’ in the case of termined in the case of wheat, adjusted for ab- corn, cotton, rice, and wheat shall be the year- normal weather conditions and for trends in ly average quantity of the commodity pro- yields. If for any such year the data are not duced in the United States that was exported available or there is no actual yield, then the from the United States during the ten market- normal yield for the farm shall be appraised in ing years (or, in the case of rice, the five mar- accordance with regulations issued by the Sec- keting years) immediately preceding the mar- retary, taking into consideration abnormal keting year in which such exports are deter- weather conditions, trends in yields, the nor- mined, adjusted for current trends in such ex- mal yield for the county, the yields obtained ports. on adjacent farms during such year and the (13)(A) Repealed. Pub. L. 87–703, title III, yield in years for which data are available. § 320(1), Sept. 27, 1962, 76 Stat. 625. (F) In applying subparagraphs (D) and (E) of (B) ‘‘Normal yield’’ for any county, in the this paragraph, if on account of drought, flood, case of peanuts, shall be the average yield per insect pests, plant disease, or other uncontrol- acre of peanuts for the county, adjusted for ab- lable natural cause, the yield for any year of normal weather conditions, during the five such five-year period is less than 75 per cen- calendar years immediately preceding the tum of the average, 75 per centum of such av- year in which such normal yield is deter- erage shall be substituted therefor in calculat- mined. For 1942, the normal yield for any ing the normal yield per acre. If, on account of county, in the case of peanuts, shall be the av- abnormally favorable weather conditions, the erage yield per acre for peanuts for the coun- yield for any year of such five-year period is in ty, adjusted for abnormal conditions, during excess of 125 per centum of the average, 125 per the years 1936–1940, inclusive, except that for centum of such average shall be substituted therefor in calculating the normal yield per 1 So in original. Probably should be ‘‘consumed’’. acre. § 1301 TITLE 7—AGRICULTURE Page 570

(G) ‘‘Normal yield’’ for any farm, in the case such farm as provided in subparagraph (E) of of corn or peanuts, shall be the average yield this paragraph. per acre of corn or peanuts, as the case may (L) ‘‘Projected national, State, and county be, for the farm, adjusted for abnormal weath- yields’’ for any crop of cotton shall be deter- er conditions, during the five calendar years mined on the basis of the yield per harvested immediately preceding the year in which such acre of such crop in the United States, the normal yield is determined. For 1942, the nor- State and the county, respectively, during mal yield for any farm, in the case of peanuts, each of the five calendar years immediately shall be the average yield per acre of peanuts preceding the year in which such projected for the farm, adjusted for abnormal condi- yield for the United States, the State, and the tions, during the years 1936–1940, inclusive, ex- county, respectively, is determined, adjusted cept that for any county in which the years for abnormal weather conditions affecting 1935–1939, inclusive, are equally as representa- such yield, for trends in yields, and for any tive, such period may be used in determining significant changes in production practices. normal yields for farms in the county. If for (M) ‘‘Projected farm yield’’ for any crop of any such year the data are not available or cotton shall be determined on the basis of the there is no actual yield, then the normal yield yield per harvested acre of such crop on the for the farm shall be appraised in accordance farm during each of the three calendar years with regulations of the Secretary, taking into immediately preceding the year in which such consideration abnormal weather conditions, projected farm yield is determined, adjusted the normal yield for the county, and the yield for abnormal weather conditions affecting in years for which data are available. such yield, for trends in yields, and for any (H) ‘‘Normal yield’’ for any county, for any significant changes in production practices, crop of cotton, shall be the average yield per but in no event shall such projected farm yield acre of cotton for the county, adjusted for ab- be less than the normal yield for such farm as normal weather conditions and any significant provided in subparagraph (I) of this paragraph. changes in production practices during the (14) ‘‘Reserve supply level’’, in the case of five calendar years immediately preceding the corn, shall be a normal year’s domestic con- year in which the national marketing quota sumption and exports of corn plus 10 per cen- for such crop is proclaimed. If for any such tum of a normal year’s domestic consumption year the data are not available, or there is no and exports, to insure a supply adequate to actual yield, an appraised yield for such year, meet domestic consumption and export needs determined in accordance with regulations is- in years of drought, flood, or other adverse sued by the Secretary, shall be used as the ac- conditions, as well as in years of plenty. tual yield for such year. (15)(A) ‘‘Total supply’’ of wheat, corn, rice, (I) ‘‘Normal yield’’ for any farm, for any and peanuts for any marketing year shall be crop of cotton, shall be the average yield per the carry-over of the commodity for such mar- acre of cotton for the farm, adjusted for abnor- keting year, plus the estimated production of mal weather conditions and any significant the commodity in the United States during changes in production practices during the the calendar year in which such marketing three calendar years immediately preceding year begins and the estimated imports of the the year in which such normal yield is deter- commodity into the United States during such mined. If for any such year the data are not marketing year. available, or there is no actual yield, then the (B) ‘‘Total supply’’ of cotton for any market- normal yield for the farm shall be appraised in ing year shall be the carry-over at the begin- accordance with regulations of the Secretary, ning of such marketing year, plus the esti- taking into consideration abnormal weather mated production of cotton in the United conditions, the normal yield for the county, States during the calendar year in which such changes in production practices, and the yield marketing year begins and the estimated im- in years for which data are available. ports of cotton into the United States during (J) ‘‘Projected county yield’’ for any crop of such marketing year. wheat shall be determined on the basis of the yield per harvested acre of such commodity in (c) Use of Federal statistics the county during each of the five calendar The latest available statistics of the Federal years immediately preceding the year in Government shall be used by the Secretary in which such projected county yield is deter- making the determinations required to be made mined, adjusted for abnormal weather condi- by the Secretary under this chapter. tions affecting such yield, for trends in yields (d) Exclusion of stocks of certain commodities and for any significant changes in production In making any determination under this chap- practices. ter or under the Agricultural Act of 1949 [7 (K) ‘‘Projected farm yield’’ for any crop of U.S.C. 1421 et seq.] with respect to the carryover wheat shall be determined on the basis of the of any agricultural commodity, the Secretary yield per harvested acre of such commodity on shall exclude from such determination the the farm during each of the three calendar stocks of any commodity acquired pursuant to, years immediately preceding the year in or under the authority of, the Strategic and which such projected farm yield is determined, Critical Materials Stock Piling Act (60 Stat. 596) adjusted for abnormal weather conditions af- [50 U.S.C. 98 et seq.]. fecting such yield, for trends in yields and for any significant changes in production prac- (Feb. 16, 1938, ch. 30, title III, § 301, 52 Stat. 38; tices, but in no event shall such projected Apr. 7, 1938, ch. 107, §§ 2–4, 52 Stat. 202; June 13, farm yield be less than the normal yield for 1940, ch. 360, § 1, 54 Stat. 392; July 2, 1940, ch. 521, Page 571 TITLE 7—AGRICULTURE § 1301

§§ 3–5, 54 Stat. 727, 728; Nov. 22, 1940, ch. 914, §§ 1, ‘‘reserve supply level’’ of tobacco, ‘‘reserve stock level’’ 3, 4, 54 Stat. 1209, 1210; Nov. 25, 1940, ch. 917, 54 in the case of Flue-cured tobacco, and ‘‘reserve stock Stat. 1211; Apr. 3, 1941, ch. 39, §§ 2, 3, 55 Stat. 91, level’’ in the case of Burley tobacco. Subsec. (b)(15). Pub. L. 108–357, § 611(f)(7), (10), redesig- 92; July 9, 1942, ch. 497, § 1(4), (5), 56 Stat. 654; nated par. (16) as (15) and struck out former par. (15) July 3, 1948, ch. 827, title II, § 201(a), (b), (d), (e), which defined ‘‘tobacco’’ and ‘‘kind of tobacco’’. 62 Stat. 1250; Aug. 29, 1949, ch. 518, § 2(a), 63 Stat. Subsec. (b)(16). Pub. L. 108–357, § 611(f)(10), redesig- 675; Oct. 31, 1949, ch. 792, title IV, §§ 409(a)–(d), nated par. (16) as (15). 415(c)–(e), 418(b), (c), 63 Stat. 1056–1058, 1062; July Subsec. (b)(16)(B), (C). Pub. L. 108–357, § 611(f)(8), re- 8, 1952, ch. 587, 66 Stat. 442; July 17, 1952, ch. 933, designated subpar. (C) as (B) and struck out former sub- § 1, 66 Stat. 758; July 14, 1953, ch. 194, § 6, 67 Stat. par. (B) which defined ‘‘total supply’’ of tobacco for any marketing year. 152; Aug. 28, 1954, ch. 1041, title III, §§ 301, 302, 68 Subsec. (b)(17). Pub. L. 108–357, § 611(f)(9), struck out Stat. 902; May 28, 1956, ch. 327, title V, § 502, title par. (17) which defined ‘‘domestic manufacturer of ciga- VI, § 602, 70 Stat. 212, 213; Pub. L. 85–92, § 1, July rettes’’. 10, 1957, 71 Stat. 284; Pub. L. 87–703, title III, § 320, 2002—Subsec. (b)(14)(C). Pub. L. 107–171 substituted Sept. 27, 1962, 76 Stat. 625; Pub. L. 88–297, title I, ‘‘60,000,000’’ for ‘‘100,000,000’’ in cl. (i) and ‘‘10 percent’’ § 106(5)–(7), Apr. 11, 1964, 78 Stat. 177; Pub. L. for ‘‘15 percent’’ in cl. (ii). 1986—Subsec. (b)(14)(C), (D). Pub. L. 99–272, § 1103(a)(1), 89–321, title IV, § 403, title V, §§ 509, 511(a), Nov. 3, added subpars. (C) and (D). 1965, 79 Stat. 1197, 1204, 1205; Pub. L. 91–524, title Subsec. (b)(17). Pub. L. 99–272, § 1103(a)(2), added par. IV, § 405(b), Nov. 30, 1970, as added Pub. L. 93–86, (17). § 1(12)(a), Aug. 10, 1973, 87 Stat. 229; Pub. L. 94–61, 1985—Subsec. (b)(7). Pub. L. 99–198 substituted ‘‘Corn, § 1, July 25, 1975, 89 Stat. 302; Pub. L. 97–218, title September 1–August 31’’ for ‘‘Corn, October III, § 303(a), July 20, 1982, 96 Stat. 211; Pub. L. 1–September 30’’. 1982—Subsec. (b)(15). Pub. L. 97–218 inserted proviso 99–198, title X, § 1020, Dec. 23, 1985, 99 Stat. 1459; that for purposes of section 1314e of this title, types 22 Pub. L. 99–272, title I, § 1103(a), Apr. 7, 1986, 100 and 23, fire-cured tobacco shall be treated as one ‘‘kind Stat. 85; Pub. L. 107–171, title I, § 1610, May 13, of tobacco’’. 2002, 116 Stat. 218; Pub. L. 108–357, title VI, 1975—Subsec. (b)(7). Pub. L. 94–61 substituted ‘‘Wheat, § 611(f), Oct. 22, 2004, 118 Stat. 1522.) June 1–May 31’’ for ‘‘Wheat, July 1–June 30’’. 1973—Subsec. (b)(13)(K). Pub. L, 91–524, § 405(b), as REFERENCES IN TEXT added by Pub. L. 93–86, temporarily inserted ‘‘(five cal- Emergency Price Control Act of 1942, referred to in endar years in the case of wheat)’’ after ‘‘three cal- subsec. (a)(1)(B), was act Jan. 30, 1942, ch. 26, 56 Stat. 23, endar years’’. See Effective and Termination Dates of as amended, which was classified to section 901 et seq. 1973 Amendment note below. of Title 50, Appendix, War and National Defense, and 1965—Subsec. (b)(8). Pub. L. 89–321, § 509(1), designated which terminated June 30, 1947. existing provisions as subpar. (A) and added subpar. (B). For effective date of the Agricultural Act of 1948, re- Subsec. (b)(9). Pub. L. 89–321, § 511(a), struck out ‘‘cot- ferred to in subsec. (a)(1)(E)(i), see Effective Date of ton’’ and ‘‘wheat’’ in first sentence, and inserted defini- 1948 Amendment note set out under section 624 of this tion of normal production when applied to any number title with reference to title I of said act, and Effective of acres of cotton or wheat. Date of 1948 Amendment note set out below with ref- Subsec. (b)(13). Pub. L. 89–321, §§ 403, 509(2), added sub- erence to titles II and III of said Act. pars. (J), (K), (L), and (M). The Federal Crop Insurance Act, referred to in sub- 1964—Subsec. (b)(13). Pub. L. 88–297, § 106(5)–(7), struck sec. (b)(3)(C), (6)(A), is subtitle A of title V of act Feb. out ‘‘cotton or’’ before ‘‘peanuts’’ in subpar. (B) in two 16, 1938, ch. 30, 52 Stat. 72, which is classified generally places, struck out ‘‘, cotton,’’ after ‘‘corn’’ in subpar. to subchapter I (§ 1501 et seq.) of chapter 36 of this title. (G) in two places, and added subpars. (H) and (I), respec- For complete classification of this Act to the Code, see tively. 1962—Subsec. (b)(13). Pub. L. 87–703 struck out par. (A) section 1501 of this title and Tables. The Agricultural Act of 1949, referred to in subsec. which defined ‘‘normal yield’’ for any county in the (d), is act Oct. 31, 1949, ch. 792, 63 Stat. 1051, as amend- case of corn or wheat; inserted in pars. (D) and (E) ‘‘and ed, which is classified principally to chapter 35A (§ 1421 wheat’’ after ‘‘in the case of rice’’, ‘‘or wheat, as the et seq.) of this title. For complete classification of this case may be,’’ after ‘‘per acre of rice’’, and ‘‘in the case Act to the Code, see Short Title note set out under sec- of rice, or during the five years immediately preceding tion 1421 of this title and Tables. the year in which such normal yield is determined in The Strategic and Critical Materials Stock Piling the case of wheat’’ after ‘‘determined’’; and struck out Act, referred to in subsec. (d), is act June 7, 1939, ch. from par. (G) ‘‘wheat,’’ after ‘‘corn,’’ in two places, 190, as revised generally by Pub. L. 96–41, § 2, July 30, ‘‘and, in the case of wheat, but not in the case of corn, 1979, 93 Stat. 319, which is classified generally to sub- cotton, or peanuts, for trends in yields’’ after ‘‘abnor- chapter III (§ 98 et seq.) of chapter 5 of Title 50, War and mal weather conditions’’, ‘‘ten calendar years in the National Defense. For complete classification of this case of wheat, and’’ before ‘‘five calendar years’’ and Act to the Code, see section 98 of Title 50 and Tables. ‘‘in the case of corn, cotton, or peanuts’’ after ‘‘five calendar years’’. AMENDMENTS 1957—Subsec. (b)(15). Pub. L. 85–92 inserted proviso re- 2004—Subsec. (b)(3)(C), (D). Pub. L. 108–357, § 611(f)(1), lating to treatment of type 21 fire-cured tobacco as a redesignated subpar. (D) as (C) and struck out former ‘‘kind of tobacco’’. subpar. (C) which defined ‘‘carry-over’’ of tobacco for 1956—Subsec. (a)(1)(E). Act May 28, 1956, § 602, inserted any marketing year. ‘‘(not counting 1956 in the case of basic agricultural Subsec. (b)(6)(A). Pub. L. 108–357, § 611(f)(2), struck out commodities)’’ after ‘‘full calendar years’’. ‘‘tobacco,’’ after ‘‘rice,’’. Subsec. (b)(13). Act May 28, 1956, § 502, limited deter- Subsec. (b)(10)(B), (C). Pub. L. 108–357, § 611(f)(3), re- mination of normal yield provided for in subpar. (D) designated subpar. (C) as (B) and struck out former sub- only to counties and authorized adjustments for abnor- par. (B) which defined ‘‘normal supply’’ in the case of mal weather conditions and for trends in yields, added tobacco. subpars. (E) and (F), and redesignated subpar. (E) as Subsec. (b)(11)(B). Pub. L. 108–357, § 611(f)(4), struck (G). out ‘‘and tobacco’’ after ‘‘cotton’’. 1954—Subsec. (a)(1)(E). Act Aug. 28, 1954, § 301, Subsec. (b)(12). Pub. L. 108–357, § 611(f)(5), struck out changed definition of ‘‘transitional parity price’’ as ap- ‘‘tobacco,’’ after ‘‘rice,’’. plied to basic agricultural commodities so as to make Subsec. (b)(14). Pub. L. 108–357, § 611(f)(6), struck out it ‘‘old parity’’ less 5 per centum for each full year ‘‘(A)’’ after ‘‘(14)’’ and subpars. (B) to (D) which defined elapsed since Jan. 1, 1955, instead of Jan. 1, 1949. § 1301 TITLE 7—AGRICULTURE Page 572

Subsec. (b). Act Aug. 28, 1954, § 302, increased carry- resentative, such period may be used in determining over allowance from 10 per centum to 15 per centum in normal yields for farms in the county’’. case of corn and from 15 per centum to 20 per centum 1941—Subsec. (b)(1)(B). Act April 3, 1941, § 2, inserted in case of wheat in subpar. (10)(A), and provided for ‘‘or peanuts’’ after ‘‘cotton’’. computing county and farm ‘‘normal yields’’ on the Subsec. (b)(6)(C). Act Apr. 3, 1941, § 3, added subpar. basis of 5-year yields instead of 10-year yields in case of (C). corn in subpars. (13)(A) and (13)(E). 1940—Subsec. (a)(1). Act Nov. 22, 1940, § 3, inserted 1953—Subsec. (d). Act July 14, 1953, added subsec. (d). ‘‘and, in the case of Burley and flue-cured tobacco, 1952—Subsec. (a)(1)(G). Act July 17, 1952, extended shall be the period August 1934 to July 1939; except that dual parity provisions for two years. the August 1919–July 1929 base period shall be used in Subsec. (b)(3)(C), (16)(B). Act July 8, 1952, provided for allocating any funds appropriated prior to September 1, computation of carry-over as of Jan. 1st, following the 1940’’ after ‘‘July, 1929’’ in last sentence. beginning of the marketing year instead of Oct. 1st the Subsec. (b)(3)(C). Act June 13, 1940, inserted excep- beginning of the marketing year. tion. Former subsec. (b)(6)(C), (D) were omitted in amend- 1949—Subsec. (a)(1)(B). Act Oct. 31, 1949, § 409(a), in- ment to subsec. (b)(6) by act July 2, 1940. serted last sentence. Subsec. (b)(13)(A). Act July 2, 1940, § 4, among other Subsec. (a)(1)(C). Act Oct. 31, 1949, § 409(b), inserted changes inserted ‘‘or wheat’’ after ‘‘corn’’ wherever ap- ‘‘, wages paid hired farm labor’’ after ‘‘buy’’ and pearing and substituted ‘‘county’’ for ‘‘farm’’ wherever ‘‘, wages’’ after ‘‘such prices’’. appearing. Subsec. (a)(1)(G). Act Oct. 31, 1949, § 409(c), added sub- Subsec. (b)(13)(B). Act July 2, 1940, § 5, among other par. (G). changes, struck out ‘‘wheat or’’ before ‘‘cotton’’ and Subsec. (b)(1)(B). Act Oct. 31, 1949, § 418(b), included ‘‘and, in the case of wheat but not in the case of cotton, the actual production of rice. for trends in yields, during the ten calendar years in Subsec. (b)(3)(B). Act Oct. 31, 1949, § 415(e), repealed the case of wheat, and’’ after ‘‘weather conditions’’. amendatory provisions of act July 3, 1948, ch. 827, title Subsec. (b)(13)(E). Act Nov. 25, 1940, in first sentence II, § 201(c), 62 Stat. 1250. substituted ‘‘in which such normal yield is determined’’ Act Aug. 29, 1949, § 2(a)(1), changed definition of for ‘‘with respect to such normal yield is used in any ‘‘carry-over’’ of cotton by excluding United States cot- computation authorized under this title’’. ton on hand outside the United States. Subsec. (b)(15). Act Nov. 22, 1940, §§ 1, 4, among other Subsec. (b)(9). Act Oct. 31, 1949, § 418(c), included nor- changes substituted ‘‘Fire-cured tobacco comprising mal production of rice. types 21, 22, 23, and 24; Dark air-cured tobacco compris- Subsec. (b)(10(A). Act Oct. 31, 1949, § 409(d), increased ing types 35 and 36’’ for ‘‘Fire-cured and dark air cured from 7 per centum to 10 per centum the carryover al- tobacco comprising types 21, 22, 23, 24, 35, 36, and 37’’ lowance for corn. and inserted proviso at end of last sentence. Act Aug. 29, 1949, § 2(a)(2), made provision inapplica- 1938—Subsec. (b)(13). Act Apr. 7, 1938, substituted ble to cotton. ‘‘county’’ for ‘‘farm’’ in subpars. (A) and (B) and added Subsec. (b)(10)(C). Act Aug. 29, 1949, § 2(a)(2), added subpar. (E). subpar. (C) which was also reenacted by act Oct. 31, 1949, § 415(c). EFFECTIVE DATE OF 2004 AMENDMENT Subsec. (b)(16)(A). Act Oct. 31, 1949, § 415(d), struck Amendment by Pub. L. 108–357 applicable to the 2005 out ‘‘cotton,’’ after ‘‘corn,’’. and subsequent crops of tobacco, see section 643 of Pub. Act Aug. 29, 1949, § 2(a)(3), made provision inapplica- L. 108–357, set out as an Effective Date note under sec- ble to cotton. tion 518 of this title. Subsec. (b)(16)(C). Act Aug. 29, 1949, § 2(a)(3), added subpar. (C) which was also reenacted by act Oct. 31, EFFECTIVE DATE OF 1975 AMENDMENT 1949, § 415(d). Pub. L. 94–61, § 2, July 25, 1975, 89 Stat. 302, provided 1948—Subsec. (a). Act July 3, 1948, § 201(a), struck out that: ‘‘The amendment made by the first section of this paragraphs (1) and (2) and inserted new paragraphs (1) Act [amending this section] shall become effective and (2) to change the method of computing parity June 1, 1975’’. prices to give recognition to changes in relationships among the prices of agricultural commodities them- EFFECTIVE AND TERMINATION DATES OF 1973 selves which have occurred since the base period 1910 to AMENDMENT 1914, and redefined ‘‘parity’’. Pub. L. 91–524, title IV, § 405(b), as added by Pub. L. Subsec. (b)(3)(A). Act July 3, 1948, § 201(b), redefined 93–86, § 1(12)(a), Aug. 10, 1973, 87 Stat. 229, provided that ‘‘carry-over’’ in the case of corn, rice, and peanuts. the amendment made by Pub. L. 91–524 is effective with Subsec. (b)(3)(B). Act July 3, 1948, § 201(c), redefined respect to the 1974 through 1977 crops. ‘‘carry-over’’ in the case of cotton. Subsec. (b)(10). Act July 3, 1948, § 201(d), redefined EFFECTIVE DATE OF 1965 AMENDMENT ‘‘normal supply’’. Pub. L. 89–321, title V, § 511(a), Nov. 3, 1965, 79 Stat. Subsec. (b)(16). Act July 3, 1948, § 201(e), redefined 1205, provided that the amendment made by that sec- ‘‘total supply’’. tion is effective beginning with the crop planted for 1942—Subsec. (b)(13)(B). Act July 9, 1942, § 1(4), in- harvest in 1966. serted ‘‘or peanuts’’ after ‘‘cotton’’ wherever appearing, and added a new sentence reading ‘‘For 1942, the normal EFFECTIVE DATE OF 1962 AMENDMENT yield for any county, in the case of peanuts, shall be Pub. L. 87–703, title III, § 323, Sept. 27, 1962, 76 Stat. the average yield per acre for peanuts for the county, 626, provided that: ‘‘The amendments to the Agricul- adjusted for abnormal conditions, during the years tural Adjustment Act of 1938, as amended, and to Pub- 1936–1940, inclusive, except that for any county in which lic Law 74, Seventy-seventh Congress, as amended, the years 1935–1939, inclusive, are equally as representa- made by sections 310 through 322 of this Act [enacting tive, such period may be used in determining the nor- sections 1334b and 1339 of this title, amending this sec- mal yields for counties in the State’’. tion and sections 1331 to 1336, 1340, 1371 and 1385 of this Subsec. (b)(13)(E). Act July 9, 1942, § 1(5), struck out title, and repealing section 1337 of this title] shall be in ‘‘or’’ after ‘‘wheat’’ and before ‘‘cotton’’ wherever ap- effect only with respect to programs applicable to the pearing, inserted ‘‘or peanuts’’ after ‘‘cotton’’ wherever crops planted for harvest in the calendar year 1964 or appearing, and inserted after first sentence ‘‘For 1942, any subsequent year and the marketing years begin- the normal yield for any farm, in the case of peanuts, ning in the calendar year 1964, or any subsequent year’’. shall be the average yield per acre of peanuts for the farm, adjusted for abnormal conditions, during the EFFECTIVE DATE OF 1949 AMENDMENT years 1936–1940, inclusive, except that for any county in Act Oct. 31, 1949, ch. 792, title IV, § 415(a), (b), 63 Stat. which the years 1935–1939, inclusive, are equally as rep- 1057, provided that: Page 573 TITLE 7—AGRICULTURE § 1303

‘‘(a) Except as modified by this Act or by Public Law (4) prices to be determined in the same man- 272 [see Tables for classification], Eighty-first Con- ner as provided by this chapter prior to Janu- gress, sections 201(b), 201(d), 201(e), 203, 207(a), and 208 of ary 1, 1950 for the determination of parity the Agricultural Act of 1948 [amending this section and prices, sections 1312, 1322, and 1328 of this title] shall be effective for the purpose of taking any action with respect with respect to prices for agricultural commod- to the 1950 and subsequent crops upon the enactment of ities and products thereof, shall after January 1, this Act [Oct. 31, 1949]. If the time within which any 1950 be deemed to refer to parity prices as deter- such action is required to be taken shall have elapsed mined in accordance with the provisions of sec- prior to the enactment of this Act, such action shall be taken within thirty days after the enactment of the tion 1301(a)(1) of this title. Act. (July 3, 1948, ch. 827, title III, § 302(f), 62 Stat. ‘‘(b) No provision of the Agricultural Act of 1948 shall 1258.) be deemed to supersede any provision of Public Law 272, Eighty-first Congress.’’ CODIFICATION

EFFECTIVE DATE OF 1948 AMENDMENT Section was enacted as part of the Agricultural Act of 1948, and not as part of the Agricultural Adjustment Act July 3, 1948, ch. 827, title III, § 303, 62 Stat. 1259, Act of 1938 which comprises this chapter. provided that: ‘‘Titles II and III of this Act [amending this section and sections 602, 608c, 612c, 672, 1301a, 1302, EFFECTIVE DATE 1312, 1322, 1328, 1333, 1335, 1336, 1343, 1345, 1355, and 1385 Section effective Jan. 1, 1950, see section 303 of act of this title and repealing sections 608e and 1322a of this July 3, 1948, set out as an Effective Date of 1948 Amend- title] shall take effect on January 1, 1950.’’ ment note under section 1301 of this title. SAVINGS PROVISION § 1301b. Repealed. Pub. L. 85–835, title I, § 108, Amendment by sections 611 to 614 of Pub. L. 108–357 Aug. 28, 1958, 72 Stat. 993 not to affect the liability of any person under any provision of law so amended with respect to the 2004 or an Section, act Aug. 29, 1949, ch. 518, § 3(a), 63 Stat. 676, earlier crop of tobacco, see section 614 of Pub. L. prescribed standard cotton grade for parity and price 108–357, set out as a note under section 515 of this title. support purposes.

TRANSFER OF FUNCTIONS EFFECTIVE DATE OF REPEAL Functions of all officers, agencies, and employees of Pub. L. 85–835, title I, § 108, Aug. 28, 1958, 72 Stat. 993, Department of Agriculture transferred, with certain ex- provided in part that: ‘‘This section [amending section ceptions, to Secretary of Agriculture by 1953 Reorg. 1423 of this title and repealing this section] shall be- Plan No. 2, § 1, eff. June 4, 1953, 18 F.R. 3219, 67 Stat. 633, come effective with the 1961 crop.’’ set out as a note under section 2201 of this title. Administration of program of Federal Crop Insurance § 1302. Repealed. Oct. 31, 1949, ch. 792, title IV, Corporation transferred to Secretary of Agriculture by § 414, 63 Stat. 1057 1946 Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, 60 Stat. 1100, set out in the Appendix to Title 5, Section, acts Feb. 16, 1938, ch. 30, title III, § 302, 52 Government Organization and Employees. Stat. 43; June 21, 1938, ch. 554, title V, § 502, 52 Stat. 820; Functions of Bureau of Agricultural Economics July 3, 1948, ch. 827, title II, § 202(a), 62 Stat. 1252, relat- transferred to other units of Department of Agriculture ed to price support of agricultural commodities. under Secretary’s memorandum 1320, supp. 4, of Nov. 2, 1953. § 1303. Parity payments

RULEMAKING PROCEDURES If and when appropriations are made therefor, the Secretary is authorized and directed to Pub. L. 99–272, title I, § 1108(c), Apr. 7, 1986, 100 Stat. 95, provided that: ‘‘The Secretary of Agriculture shall make payments to producers of corn, wheat, implement sections 1102 through 1109, and the amend- cotton, or rice, on their normal production of ments made by such sections [enacting sections 1314g, such commodities in amounts which, together 1314h, and 1445–3 of this title, amending this section and with the proceeds thereof, will provide a return sections 1312, 1314c, 1314e, 1372, 1445, 1445–1, and 1445–2 of to such producers which is as nearly equal to this title, and enacting provisions set out as notes parity price as the funds so made available will under sections 1314c, 1314e, 1314g, 1314h, 1372, 1445, permit. All funds available for such payments 1445–1, and 1445–2 of this title], without regard to the with respect to these commodities shall unless provisions requiring notice and other procedures for public participation in rulemaking contained in section otherwise provided by law, be apportioned to 553 of title 5, United States Code, or in any directive of these commodities in proportion to the amount the Secretary.’’ by which each fails to reach the parity income. Such payments shall be in addition to and not in STUDY OF METHODS OF IMPROVING PARITY FORMULA substitution for any other payments authorized Act May 28, 1956, ch. 327, title VI, § 602, 70 Stat. 213, by law. required the Secretary to make a thorough study of the possible methods of improving the parity formula and (Feb. 16, 1938, ch. 30, title III, § 303, 52 Stat. 45; report thereon, with specific recommendations, includ- Pub. L. 108–357, title VI, § 611(g), Oct. 22, 2004, 118 ing drafts of necessary legislation to carry out such Stat. 1522.) recommendations, to Congress not later than Jan. 31, AMENDMENTS 1957. 2004—Pub. L. 108–357 substituted ‘‘or rice,’’ for ‘‘rice, § 1301a. References to parity prices, etc., in other or tobacco,’’. laws after January 1, 1950 EFFECTIVE DATE OF 2004 AMENDMENT All references in other laws to— Amendment by Pub. L. 108–357 applicable to the 2005 (1) parity, and subsequent crops of tobacco, see section 643 of Pub. (2) parity prices, L. 108–357, set out as an Effective Date note under sec- (3) prices comparable to parity prices, or tion 518 of this title. § 1304 TITLE 7—AGRICULTURE Page 574

SAVINGS PROVISION CODIFICATION Amendment by sections 611 to 614 of Pub. L. 108–357 Section was enacted as part of the Food and Agri- not to affect the liability of any person under any pro- culture Act of 1965, and not as part of the Agricultural vision of law so amended with respect to the 2004 or an Adjustment Act of 1938 which comprises this chapter. earlier crop of tobacco, see section 614 of Pub. L. AMENDMENTS 108–357, set out as a note under section 515 of this title. 1973—Pub. L. 93–86 amended Pub. L. 91–524. See 1970 § 1304. Consumer safeguards Amendment notes below. 1970—Pub. L. 91–524, § 606, temporarily inserted at end The powers conferred under this chapter shall ‘‘The term ‘acreage allotments’ as used in this section not be used to discourage the production of sup- includes the farm base acreage allotments for upland plies of foods and fibers sufficient to maintain cotton.’’ See Effective and Termination Dates of 1970 normal domestic human consumption as deter- Amendment note below. mined by the Secretary from the records of do- Pub. L. 91–524, § 405(2), which temporarily inserted at end ‘‘The term ‘acreage allotments’ as used in this sec- mestic human consumption in the years 1920 to tion includes the domestic allotment for wheat.’’, was 1929, inclusive, taking into consideration in- repealed by Pub. L. 93–86. creased population quantities of any commodity Pub. L. 91–524, § 405(a), formerly § 405, as renumbered that were forced into domestic consumption by and amended by Pub. L. 93–86, temporarily inserted ‘‘or decline in exports during such period, current the Agricultural Act of 1949, as amended,’’ after ‘‘title trends in domestic consumption and exports of 16,’’. See Effective and Termination Dates of 1970 particular commodities, and the quantities of Amendment note below. substitutes available for domestic consumption EFFECTIVE DATE OF 1973 AMENDMENT within any general class of food commodities. In Pub. L. 93–86, § 1(12)(a), Aug. 10, 1978, 87 Stat. 229, pro- carrying out the purposes of this chapter it shall vided that the repeal of section 405(2) of Pub. L. 91–524 be the duty of the Secretary to give due regard is effective with the 1974 crop. to the maintenance of a continuous and stable EFFECTIVE AND TERMINATION DATES OF 1970 supply of agricultural commodities from domes- AMENDMENT tic production adequate to meet consumer de- Pub. L. 91–524, title IV, § 405(a), formerly § 405, Nov. 30, mand at prices fair to both producers and con- 1970, 84 Stat. 1366, as renumbered and amended by Pub. sumers. L. 93–86, § 1(12)(a), Aug. 10, 1973, 87 Stat. 229, provided (Feb. 16, 1938, ch. 30, title III, § 304, 52 Stat. 45.) that the amendment made by section 405(a) of Pub. L. 91–524 is effective only with respect to the 1971 through § 1305. Transfer of acreage allotments or feed 1977 crops of wheat. grain bases on public lands upon request of Pub. L. 91–524, title VI, § 606, Nov. 30, 1970, 84 Stat. 1378, as amended by Pub. L. 93–86, § 1(22), Aug. 10, 1973, State agencies 87 Stat. 235, provided that the amendment made by sec- Notwithstanding any other provision of law, tion 606 of Pub. L. 91–524 is effective only with respect the Secretary, upon the request of any agency of to the 1971 through 1977 crops. any State charged with the administration of § 1306. Projected yields; determination; base pe- the public lands of the State, may permit the riod transfer of acreage allotments or feed grain bases together with relevant production his- Notwithstanding any other provision of law, in tories which have been determined pursuant to the determination of farm yields the Secretary this chapter, or section 590p of title 16, from any may use projected yields in lieu of normal farm composed of public lands to any other farm yields. In the determination of such yields the or farms in the same county composed of public Secretary shall take into account the actual lands: Provided, That as a condition for the yield proved by the producer for the base period transfer of any allotment or base an acreage used in determining the projected yield, and the equal to or greater than the allotment or base projected yield shall not be less than such ac- transferred prior to adjustment, if any, shall be tual yield proved by the producer. devoted to and maintained in permanent vegeta- (Pub. L. 89–321, title VII, § 708, Nov. 3, 1965, 79 tive cover on the farm from which the transfer Stat. 1211; Pub. L. 91–524, title IV, § 405(b), as is made. The Secretary shall prescribe regula- added Pub. L. 93–86, § 1(12)(a), Aug. 10, 1973, 87 tions which he deems necessary for the adminis- Stat. 229.) tration of this section, which may provide for CODIFICATION adjusting downward the size of the allotment or base transferred if the farm to which the allot- Section was enacted as part of the Food and Agri- culture Act of 1965, and not as part of the Agricultural ment or base is transferred normally has a high- Adjustment Act of 1938 which comprises this chapter. er yield per acre for the commodity for which the allotment or base is determined, for reason- AMENDMENTS able limitations on the size of the resulting al- 1973—Pub. L. 91–524, § 405(b), as added by Pub. L. 93–86, lotments and bases on farms to which transfers temporarily inserted ‘‘(except that in the case of are made, taking into account the size of the al- wheat, if the yield is abnormally low in any one of the lotments and bases on farms of similar size in calendar years of the base period because of drought, flood, or other natural disaster, the Secretary shall the community, and for retransferring allot- take into account the actual yield proved by the pro- ments or bases and relevant histories if the con- ducer in the other four years of such base period)’’ after ditions of the transfers are not fulfilled. ‘‘determining the projected yield’’. See Effective and (Pub. L. 89–321, title VII, § 706, Nov. 3, 1965, 79 Termination Dates of 1973 Amendment note below. Stat. 1210; Pub. L. 91–524, title IV, § 405(a), for- EFFECTIVE AND TERMINATION DATES OF 1973 merly § 405, title VI, § 606, Nov. 30, 1970, 84 Stat. AMENDMENT 1366, 1378, renumbered § 405(a) and amended Pub. Pub. L. 91–524, title IV, § 405(b), as added by Pub. L. L. 93–86, § 1(12)(a), Aug. 10, 1973, 87 Stat. 229.) 93–86, § 1(12)(a), Aug. 10, 1973, 87 Stat. 229, provided that Page 575 TITLE 7—AGRICULTURE § 1308 the amendment made by Pub. L. 91–524 is effective with Title IV of the Food and Agriculture Act of 1977 en- respect to the 1974 through 1977 crops. acted section 1445b of this title, amended sections 1385, 1427, and 1428 of this title, and enacted provisions set § 1307. Limitation on payments under wheat, out as notes under sections 1330, 1331, 1379d, 1385, 1427, feed grains, and cotton programs for 1974 1428, 1445a, and 1445b of this title. Title V of the Food through 1977 crops and Agriculture Act of 1977 enacted section 1444c of this title and enacted provisions set out as notes under sec- Notwithstanding any other provision of law— tions 1444b and 1444c of this title. For complete classi- (1) The total amount of payments which a per- fication of this Act to the Code, see Short Title of 1977 son shall be entitled to receive under one or Amendment note set out under 1281 of this title and more of the annual programs established by Tables. titles IV, V, and VI of this Act for the 1974 CODIFICATION through 1976 crops of the commodities and by titles IV and V of the Food and Agriculture Act Section was enacted as part of the Agricultural Act of 1977 and titles IV, V, and VI of this Act for of 1970, and not as part of the Agricultural Adjustment the 1977 crop of the commodities shall not ex- Act of 1938 which comprises this chapter. ceed $20,000. AMENDMENTS (2) The term ‘‘payments’’ as used in this sec- 1977—Par. (1). Pub. L. 95–113 substituted ‘‘to receive tion shall not include loans or purchases, or any under one or more of the annual programs established part of any payment which is determined by the by titles IV, V, and VI of this Act for the 1974 through Secretary to represent compensation for re- 1976 crops of the commodities and by titles IV and V of source adjustment or public access for recre- the Food and Agriculture Act of 1977 and titles IV, V, ation. and VI of this Act for the 1977 crop’’ for ‘‘to receive (3) If the Secretary determines that the total under one or more of the annual programs established amount of payments which will be earned by by titles IV, V, and VI of this Act for the 1974 through 1977 crops’’. any person under the program in effect for any 1973—Par. (1). Pub. L. 93–86 substituted ‘‘one or more crop will be reduced under this section, the set- of the annual programs established by titles IV, V, and aside acreage for the farm or farms on which VI of this Act for the 1974 through 1977 crops of the such person will be sharing in payments earned Commodities shall not exceed $20,000’’ for ‘‘each of the under such program shall be reduced to such ex- annual programs established by titles IV, V, and VI of tent and in such manner as the Secretary deter- this Act for the 1971, 1972, or 1973 crop of the commod- mines will be fair and reasonable in relation to ity shall not exceed $55,000’’. the amount of the payment reduction. Par. (2). Pub. L. 93–86 substituted ‘‘shall not include (4) The Secretary shall issue regulations defin- loans or purchases, or any part of any payment which is determined by the Secretary to represent compensa- ing the term ‘‘person’’ and prescribing such tion for resource adjustment or public access for recre- rules as he determines necessary to assure a fair ation’’ for ‘‘includes price-support payments, set-aside and reasonable application of such limitation: payments, diversion payments, public access payments, Provided, That the provisions of this Act which and marketing certificates, but does not include loans limit payments to any person shall not be appli- or purchases’’. cable to lands owned by States, political sub- Par. (3). Pub. L. 93–86 reenacted par. (3) without divisions, or agencies thereof, so long as such change. lands are farmed primarily in the direct further- Par. (4). Pub. L. 93–86 inserted provision that the rules for determining whether corporations and their ance of a public function, as determined by the stockholders may be considered as separate persons Secretary. The rules for determining whether shall be in accordance with the regulations issued by corporations and their stockholders may be con- the Secretary on December 18, 1970. sidered as separate persons shall be in accordance with the regulations issued by the Sec- EFFECTIVE DATE OF 1977 AMENDMENT retary on December 18, 1970. Pub. L. 95–113, title XIX, § 1901, Sept. 29, 1977, 91 Stat. 1045, provided that: ‘‘Except as otherwise provided here- (Pub. L. 91–524, title I, § 101, Nov. 30, 1970, 84 Stat. in, the provisions of this Act [see Short Title of 1977 1358; Pub. L. 93–86, § 1(1), Aug. 10, 1973, 87 Stat. Amendment note set out under section 1281 of this 221; Pub. L. 95–113, title I, § 104, Sept. 29, 1977, 91 title] shall become effective October 1, 1977.’’ Stat. 919.) EXEMPTION OF DISASTER PAYMENT LIMITATIONS RE- REFERENCES IN TEXT SPECTING 1977 CROPS OF WHEAT, FEED GRAINS, UP- LAND COTTON, AND RICE This Act, referred to in pars. (1) and (4), is Pub. L. 91–524, Nov. 30, 1970, 84 Stat. 1358, as amended, known as Pub. L. 95–156, Nov. 8, 1977, 91 Stat. 1264, provided: the Agricultural Act of 1970. Title IV of that Act en- ‘‘That, notwithstanding any other provision of law, the acted section 1334a–1 of this title, amended sections term ‘payments’ as used in section 101 of the Agricul- 1301, 1305, 1306, 1378, 1379, 1379b, 1379c, 1379d, 1379e, 1379g, tural Act of 1970, as amended [this section], and section 1385, 1427, 1428, and 1445a of this title, and enacted pro- 101(g)(13) of the Agricultural Act of 1949, as amended visions set out as notes under sections 1301, 1305, 1306, [section 1441(g)(13) of this title], shall not include any 1330 to 1334, 1335, 1336, 1338, 1339, and 1379c of this title. part of any payment which is determined by the Sec- Title V of that Act amended section 1444b of this title retary of Agriculture to represent compensation for and provisions set out as a note under section 1444b of disaster loss with respect to the 1977 crops of wheat, this title. Title VI of that Act enacted sections 1342a, feed grains, upland cotton, and rice.’’ 1350a, and 2119 of this title, amended sections 1305, 1344b, 1350, 1374, 1378, 1379, 1385, 1427, 1428, 1444, and 1444a § 1308. Payment limitations of this title, and enacted provisions set out as notes (a) Definitions under sections 1305, 1342, 1342a, 1343, 1344, 1344b, 1345, 1346, 1377, 1378, 1379, 1385, 1427, 1428, 1444, and 1446d of In this section through section 1308–5 of this this title. For complete classification of this Act to the title: Code, see Short Title of 1970 Amendment note set out (1) Covered commodity under section 1281 of this title and Tables. The Food and Agriculture Act of 1977, referred to in The term ‘‘covered commodity’’ has the par. (1), is Pub. L. 95–113, Sept. 29, 1977, 91 Stat. 913. meaning given that term in section 1001 of the § 1308 TITLE 7—AGRICULTURE Page 576

Food, Conservation, and Energy Act of 2008 [7 or legal entity for any crop year for 1 or more U.S.C. 8702]. covered commodities (except for peanuts) may (2) Family member not exceed the sum of— (A) $65,000; and The term ‘‘family member’’ means a person (B) the amount by which the direct pay- to whom a member in the farming operation is ment limitation is reduced under paragraph related as lineal ancestor, lineal descendant, (1)(B). sibling, spouse, or otherwise by marriage. (c) Limitation on direct payments, counter-cycli- (3) Legal entity cal payments, and ACRE payments for pea- The term ‘‘legal entity’’ means an entity nuts that is created under Federal or State law and (1) Direct payments that— (A) owns land or an agricultural commod- The total amount of direct payments re- ity; or ceived, directly or indirectly, by a person or (B) produces an agricultural commodity. legal entity (except a joint venture or a general partnership) for any crop year under sub- (4) Person title C of title I of the Food, Conservation, and The term ‘‘person’’ means a natural person, Energy Act of 2008 [7 U.S.C. 8751 et seq.] for and does not include a legal entity. peanuts may not exceed— (5) Secretary (A) in the case of a person or legal entity that does not participate in the average crop The term ‘‘Secretary’’ means the Secretary revenue election program under section 1105 of Agriculture. of that Act [7 U.S.C. 8715], $40,000; or (b) Limitation on direct payments, counter-cycli- (B) in the case of a person or legal entity cal payments, and ACRE payments for cov- that participates in the average crop reve- ered commodities (other than peanuts) nue election program under section 1105 of (1) Direct payments that Act, an amount equal to— (i) the payment limit specified in sub- The total amount of direct payments re- paragraph (A); less ceived, directly or indirectly, by a person or (ii) the amount of the reduction in direct legal entity (except a joint venture or a gen- payments under section 1105(a)(1) of that eral partnership) for any crop year under sub- Act. title A of title I of the Food, Conservation, and Energy Act of 2008 [7 U.S.C. 8711 et seq.] (2) Counter-cyclical payments for 1 or more covered commodities (except for In the case of a person or legal entity (ex- peanuts) may not exceed— cept a joint venture or a general partnership) (A) in the case of a person or legal entity that does not participate in the average crop that does not participate in the average crop revenue election program under section 1105 of revenue election program under section 1105 the Food, Conservation, and Energy Act of of that Act [7 U.S.C. 8715], $40,000; or 2008, the total amount of counter-cyclical pay- (B) in the case of a person or legal entity ments received, directly or indirectly, by the that participates in the average crop reve- person or legal entity for any crop year under nue election program under section 1105 of subtitle C of title I of that Act [7 U.S.C. 8751 that Act, an amount equal to— et seq.] for peanuts may not exceed $65,000. (i) the payment limit specified in sub- (3) ACRE and counter-cyclical payments paragraph (A); less (ii) the amount of the reduction in direct In the case of a person or legal entity (ex- payments under section 1105(a)(1) of that cept a joint venture or a general partnership) Act. that participates in the average crop revenue election program under section 1105 of the (2) Counter-cyclical payments Food, Conservation, and Energy Act of 2008, In the case of a person or legal entity (ex- the total amount of average crop revenue elec- cept a joint venture or a general partnership) tion payments received, directly or indirectly, that does not participate in the average crop by the person or legal entity for any crop year revenue election program under section 1105 of for peanuts may not exceed the sum of— the Food, Conservation, and Energy Act of (A) $65,000; and 2008, the total amount of counter-cyclical pay- (B) the amount by which the direct payments received, directly or indirectly, by the ment limitation is reduced under paragraph person or legal entity for any crop year under (1)(B). subtitle A of title I of that Act [7 U.S.C. 8711 (d) Limitation on applicability et seq.] for 1 or more covered commodities (except for peanuts) may not exceed $65,000. Nothing in this section authorizes any limitation on any benefit associated with the market- (3) ACRE and counter-cyclical payments ing assistance loan program or the loan defi- In the case of a person or legal entity (ex- ciency payment program under title I of the cept a joint venture or a general partnership) Food, Conservation, and Energy Act of 2008 [7 that participates in the average crop revenue U.S.C. 8701 et seq.]. election program under section 1105 of the (e) Attribution of payments Food, Conservation, and Energy Act of 2008, the total amount of average crop revenue elec- (1) In general tion payments and counter-cyclical payments In implementing subsections (b) and (c) and received, directly or indirectly, by the person a program described in paragraphs (1)(C) and Page 577 TITLE 7—AGRICULTURE § 1308

(2)(B) of section 1308–3a(b) of this title, the by another legal entity (a second-tier legal Secretary shall issue such regulations as are entity) shall be attributed to the second- necessary to ensure that the total amount of tier legal entity in proportion to the own- payments are attributed to a person by taking ership of the second-tier legal entity in the into account the direct and indirect ownership first-tier legal entity. interests of the person in a legal entity that is (ii) Ownership by a person eligible to receive the payments. If the second-tier legal entity is owned (2) Payments to a person (in whole or in part) by a person, the Each payment made directly to a person amount of the payment made to the first- shall be combined with the pro rata interest of tier legal entity shall be attributed to the the person in payments received by a legal en- person in the amount that represents the tity in which the person has a direct or indi- indirect ownership in the first-tier legal rect ownership interest unless the payments of entity by the person. the legal entity have been reduced by the pro (D) Third and fourth levels rata share of the person. (i) In general (3) Payments to a legal entity Except as provided in clause (ii), the Sec- (A) In general retary shall attribute payments at the Each payment made to a legal entity shall third and fourth tiers of ownership in the be attributed to those persons who have a di- same manner as specified in subparagraph rect or indirect ownership interest in the (C). legal entity unless the payment to the legal (ii) Fourth-tier ownership entity has been reduced by the pro rata share of the person. If the fourth-tier of ownership is that of (B) Attribution of payments a fourth-tier legal entity and not that of a person, the Secretary shall reduce the (i) Payment limits amount of the payment to be made to the Except as provided in clause (ii), pay- first-tier legal entity in the amount that ments made to a legal entity shall not ex- represents the indirect ownership in the ceed the amounts specified in subsections first-tier legal entity by the fourth-tier (b) and (c). legal entity. (ii) Exception for joint ventures and gen- (f) Special rules eral partnerships (1) Minor children Payments made to a joint venture or a (A) In general general partnership shall not exceed, for each payment specified in subsections (b) Except as provided in subparagraph (B), and (c), the amount determined by mul- payments received by a child under the age tiplying the maximum payment amount of 18 shall be attributed to the parents of the specified in subsections (b) and (c) by the child. number of persons and legal entities (other (B) Regulations than joint ventures and general partner- The Secretary shall issue regulations ships) that comprise the ownership of the specifying the conditions under which pay- joint venture or general partnership. ments received by a child under the age of 18 (iii) Reduction will not be attributed to the parents of the Payments made to a legal entity shall be child. reduced proportionately by an amount (2) Marketing cooperatives that represents the direct or indirect own- Subsections (b) and (c) shall not apply to a ership in the legal entity by any person or cooperative association of producers with re- legal entity that has otherwise exceeded spect to commodities produced by the mem- the applicable maximum payment limita- bers of the association that are marketed by tion. the association on behalf of the members of (4) 4 levels of attribution for embedded legal the association but shall apply to the produc- entities ers as persons. (A) In general (3) Trusts and estates Attribution of payments made to legal en- (A) In general tities shall be traced through 4 levels of With respect to irrevocable trusts and es- ownership in legal entities. tates, the Secretary shall administer this (B) First level section through section 1308–5 of this title in Any payments made to a legal entity (a such manner as the Secretary determines first-tier legal entity) that is owned in whole will ensure the fair and equitable treatment or in part by a person shall be attributed to of the beneficiaries of the trusts and estates. the person in an amount that represents the (B) Irrevocable trust direct ownership in the first-tier legal entity (i) In general by the person. In order for a trust to be considered an (C) Second level irrevocable trust, the terms of the trust (i) In general agreement shall not— Any payments made to a first-tier legal (I) allow for modification or termi- entity that is owned (in whole or in part) nation of the trust by the grantor; § 1308 TITLE 7—AGRICULTURE Page 578

(II) allow for the grantor to have any cy of the government, may receive payments future, contingent, or remainder interest described in subsections (b), (c), and (d) if in the corpus of the trust; or the lessee otherwise meets all applicable cri- (III) except as provided in clause (ii), teria. provide for the transfer of the corpus of (7) Changes in farming operations the trust to the remainder beneficiary in less than 20 years beginning on the date (A) In general the trust is established. In the administration of this section (ii) Exception through section 1308–5 of this title, the Sec- retary may not approve any change in a Clause (i)(III) shall not apply in a case in farming operation that otherwise will in- which the transfer is— crease the number of persons to which the (I) contingent on the remainder bene- limitations under this section are applied ficiary achieving at least the age of ma- unless the Secretary determines that the jority; or change is bona fide and substantive. (II) contingent on the death of the grantor or income beneficiary. (B) Family members (C) Revocable trust The addition of a family member to a farming operation under the criteria set out For the purposes of this section through in section 1308–1 of this title shall be consid- section 1308–5 of this title, a revocable trust ered a bona fide and substantive change in shall be considered to be the same person as the farming operation. the grantor of the trust. (8) Death of owner (4) Cash rent tenants (A) Definition (A) In general In this paragraph, the term ‘‘cash rent ten- If any ownership interest in land or a com- ant’’ means a person or legal entity that modity is transferred as the result of the rents land— death of a program participant, the new (i) for cash; or owner of the land or commodity may, if the (ii) for a crop share guaranteed as to the person is otherwise eligible to participate in amount of the commodity to be paid in the applicable program, succeed to the con- rent. tract of the prior owner and receive payments subject to this section without regard (B) Restriction to the amount of payments received by the A cash rent tenant who makes a signifi- new owner. cant contribution of active personal man- (B) Limitations on prior owner agement, but not of personal labor, with respect to a farming operation shall be eligible Payments made under this paragraph shall to receive a payment described in subsection not exceed the amount to which the previous (b) or (c) only if the tenant makes a signifi- owner was entitled to receive under the cant contribution of equipment to the farm- terms of the contract at the time of the ing operation. death of the prior owner. (5) Federal agencies (g) Public schools (A) In general (1) In general Notwithstanding subsection (d), a Federal Notwithstanding subsection (f)(6)(A), a State agency shall not be eligible to receive any or local government, or political subdivision payment, benefit, or loan under title I of the or agency of the government, shall be eligible, Food, Conservation, and Energy Act of 2008 subject to the limitation in paragraph (2), to [7 U.S.C. 8701 et seq.] or title XII of this Act receive a payment described in subsection (b) [16 U.S.C. 3801 et seq.]. or (c) for land owned by the State or local government, or political subdivision or agency of (B) Land rental the government, that is used to maintain a A lessee of land owned by a Federal agency public school. may receive a payment described in sub- (2) Limitation section (b), (c), or (d) if the lessee otherwise meets all applicable criteria. (A) In general (6) State and local governments For each State, the total amount of pay- (A) In general ments described in subsections (b) and (c) that are received collectively by the State Notwithstanding subsection (d), except as and local government and all political sub- provided in subsection (g), a State or local divisions or agencies of those governments government, or political subdivision or agen- shall not exceed $500,000. cy of the government, shall not be eligible to receive any payment, benefit, or loan under (B) Exception title I of the Food, Conservation, and Energy The limitation in subparagraph (A) shall Act of 2008 [7 U.S.C. 8701 et seq.] or title XII not apply to States with a population of less of this Act [16 U.S.C. 3801 et seq.]. than 1,500,000. (B) Tenants (h) Time limits; reliance A lessee of land owned by a State or local Regulations of the Secretary shall establish government, or political subdivision or agen- time limits for the various steps involved with Page 579 TITLE 7—AGRICULTURE § 1308 notice, hearing, decision, and the appeals proce- Subsec. (a)(2). Pub. L. 110–246, § 1603(b)(1)(B), (C), dure in order to ensure expeditious handling and added par. (2) and struck out former par. (2). Prior to settlement of payment limitation disputes. Not- amendment, text read as follows: ‘‘The term ‘loan commodity’ has the meaning given that term in section withstanding any other provision of law, actions 1001 of the Farm Security and Rural Investment Act of taken by an individual or other entity in good 2002, except that the term does not include wool, mo- faith on action or advice of an authorized rep- hair, or honey.’’ resentative of the Secretary may be accepted as Subsec. (a)(3) to (5). Pub. L. 110–246, § 1603(b)(1)(B), (C), meeting the requirement under this section or added pars. (3) and (4) and redesignated former par. (3) section 1308–1 of this title, to the extent the Sec- as (5). Subsecs. (b) to (d). Pub. L. 110–246, § 1603(b)(2), added retary deems it desirable in order to provide fair subsecs. (b) to (d) and struck out former subsecs. (b) to and equitable treatment. (d) which related to limitation on direct payments, (Pub. L. 99–198, title X, § 1001, Dec. 23, 1985, 99 limitation on counter-cyclical payments, and limita- Stat. 1444; Pub. L. 99–500, § 108(a), Oct. 18, 1986, tion on marketing loan gains and loan deficiency payments, respectively. 100 Stat. 1783–346, and Pub. L. 99–591, § 108(a), Subsecs. (e) to (h). Pub. L. 110–246, § 1603(b)(3), added Oct. 30, 1986, 100 Stat. 3341–346; Pub. L. 100–71, subsecs. (e) to (g), redesignated former subsec. (g) as title I, July 11, 1987, 101 Stat. 428; Pub. L. 100–203, (h), and struck out former subsecs. (e) and (f) which re- title I, §§ 1301(a)(1), (2), 1303, 1305(c), 1307, Dec. 22, lated to issuance of regulations defining ‘‘person’’ and 1987, 101 Stat. 1330–12, 1330–16, 1330–18, 1330–19; prescribing rules determined necessary to assure a fair Pub. L. 101–217, §§ 1, 2, Dec. 11, 1989, 103 Stat. 1857; and reasonable application of section limitation, and Pub. L. 101–624, title XI, § 1111(a), (c), (e), Nov. 28, inapplicability to public schools of provisions limiting payments to any person. 1990, 104 Stat. 3497–3499; Pub. L. 102–237, title I, 2002—Pub. L. 107–171, § 1603(a), substituted section § 118(b), Dec. 13, 1991, 105 Stat. 1841; Pub. L. catchline for former section catchline. 103–66, title I, § 1101(b)(3)(A), Aug. 10, 1993, 107 Subsec. (a) to (d). Pub. L. 107–171, § 1603(a), added sub- Stat. 314; Pub. L. 104–127, title I, § 115(b), Apr. 4, secs. (a) to (d) and struck out former pars. (1) to (4) 1996, 110 Stat. 902; Pub. L. 107–171, title I, which related to limitation on payments under produc- § 1603(a), (b), May 13, 2002, 116 Stat. 213, 214; Pub. tion flexibility contracts, limitation on marketing loan L. 110–234, title I, § 1603(a), (b), May 22, 2008, 122 gains and loan deficiency payments, description of payments subject to limitation, and definitions, respec- Stat. 1002; Pub. L. 110–246, § 4(a), title I, § 1603(a), tively. (b), June 18, 2008, 122 Stat. 1664, 1730.) Subsec. (e). Pub. L. 107–171, § 1603(b)(1), redesignated par. (5) as subsec. (e), inserted heading, further redesig- REFERENCES IN TEXT nated former subpars., cls., and subcls. as pars., sub- The Food, Conservation, and Energy Act of 2008, re- pars., and cls., respectively, substituted ‘‘paragraph (1), ferred to in subsecs. (b)(1), (2), (c)(1), (2), (d), and subject to subparagraph (B)’’ for ‘‘subparagraph (A), (f)(5)(A), (6)(A), is Pub. L. 110–246, June 18, 2008, 122 subject to clause (ii)’’ in subsec. (e)(2)(A) and ‘‘as de- Stat. 1651. Title I of the Act is classified principally to scribed in subsections (b), (c), and (d) of this section’’ chapter 113 (§ 8701 et seq.) of this title. Subtitles A and for ‘‘as described in paragraphs (1) and (2)’’ in subsec. C of title I of the Act are classified generally to sub- (e)(2)(C)(ii), and struck out second sentence of subsec. chapters I (§ 8711 et seq.) and III (§ 8751 et seq.), respec- (e)(1) which read as follows: ‘‘Such regulations shall in- tively, of chapter 113 of this title. For complete classi- corporate the provisions in subparagraphs (B) through fication of this Act to the Code, see Short Title note (E) of this paragraph, paragraphs (6) and (7), and sec- set out under section 8701 of this title and Tables. tions 1308–1 through 1308–3 of this title.’’ Title XII of this Act, referred to in subsec. (f)(5)(A), Subsec. (f). Pub. L. 107–171, § 1603(b)(2), redesignated (6)(A), means title XII of the Food Security Act of 1985, par. (6) as subsec. (f) and inserted heading. Pub. L. 99–198, Dec. 23, 1985, 99 Stat. 1504, popularly Subsec. (g). Pub. L. 107–171, § 1603(b)(3), redesignated known as the Sodbuster Law, which is classified prin- par. (7) as subsec. (g) and inserted heading. cipally to chapter 58 (§ 3801 et seq.) of Title 16, Con- 1996—Pars. (1) to (4). Pub. L. 104–127 added pars. (1) to servation. (4) and struck out former pars. (1) to (4) which established limitations on payments under wheat, feed CODIFICATION grains, upland cotton, extra long staple cotton, honey, Pub. L. 110–234 and Pub. L. 110–246 made identical and rice programs for 1987 through 1997 crops. amendments to this section. The amendments by Pub. 1993—Pars. (1)(A), (B), (2)(A). Pub. L. 103–66 sub- L. 110–234 were repealed by section 4(a) of Pub. L. stituted ‘‘1997’’ for ‘‘1995’’. 1991—Par. (2)(B)(iv). Pub. L. 102–237 inserted ‘‘sec- 110–246. tion’’ before ‘‘107B(c)(1)’’. Pub. L. 99–591 is a corrected version of Pub. L. 99–500. 1990—Par. (1). Pub. L. 101–624, § 1111(a)(1), designated Section was enacted as part of the Food Security Act existing provisions as subpar. (A), substituted ‘‘1995’’ of 1985, and not as part of the Agricultural Adjustment for ‘‘1990’’, and added subpar. (B). Act of 1938 which comprises this chapter. Par. (2)(A). Pub. L. 101–624, § 1111(a)(2), substituted PRIOR PROVISIONS ‘‘1991 through 1995 crops’’ for ‘‘1987 through 1990 crops’’ and substituted ‘‘and’’ for ‘‘honey, and (with respect to A prior section 1308, Pub. L. 97–98, title XI, § 1101, Dec. clause (iii)(II) of subparagraph (B))’’ after ‘‘rice,’’. 22, 1981, 95 Stat. 1263; Pub. L. 98–88, § 6, Aug. 26, 1983, 97 Par. (2)(B)(iii). Pub. L. 101–624, § 1111(a)(3)(A), added Stat. 499, related to programs for 1982 through 1985 cl. (iii) and struck out former cl. (iii) which read as fol- crops. lows: ‘‘(iii)(I) any gain realized by a producer from re- Another prior section 1308, Pub. L. 95–113, title I, § 101, paying a loan for a crop of wheat, feed grains, upland Sept. 29, 1977, 91 Stat. 917; Pub. L. 96–213, § 5, Mar. 18, cotton, rice, or honey at the rate permitted under sec- 1980, 94 Stat. 120, related to programs for 1978 through tion 107D(a)(5), 105C(a)(4), 103A(a)(5), 101A(a)(5), or 1981 crops. 201(b)(2), respectively, of the Agricultural Act of 1949 or (II) any gain realized by a producer from repaying a AMENDMENTS loan for a crop of any other commodity at a lower level 2008—Subsec. (a). Pub. L. 110–246, § 1603(b)(1)(A), in- than the original loan level established under the Agri- serted ‘‘through section 1308–5 of this title’’ after ‘‘this cultural Act of 1949;’’ section’’ in introductory provisions. Par. (2)(B)(iv). Pub. L. 101–624, § 1111(a)(3)(B), sub- Subsec. (a)(1). Pub. L. 110–246, § 1603(a), substituted stituted ‘‘107B(c)(1) or 105B(c)(1)’’ for ‘‘section 107D(c)(1) ‘‘Food, Conservation, and Energy Act of 2008’’ for or 105C(c)(1)’’, and ‘‘section 107B(a)(3) or 105B(a)(3)’’ for ‘‘Farm Security and Rural Investment Act of 2002’’. ‘‘section 107D(a)(4) or 105C(a)(3)’’. § 1308 TITLE 7—AGRICULTURE Page 580

Par. (2)(B)(v). Pub. L. 101–624, § 1111(a)(3)(C), added cl. paragraph, paragraphs (6) and (7), and sections 1308–1 (v) and struck out former cl. (v) which read as follows: through 1308–3 of this title’’ and struck out at end ‘‘(v) any loan deficiency payment received for a crop of ‘‘Such regulations shall provide that the term ‘person’ wheat, feed grains, upland cotton, or rice under section does not include any cooperative association of produc- 107D(b), 105C(b), 103A(b), or 101A(b), respectively, of the ers that markets commodities for producers with re- Agricultural Act of 1949; and’’. spect to the commodities so marketed for producers.’’ Par. (2)(B)(vi). Pub. L. 101–624, § 1111(a)(3)(D), sub- Par. (5)(B). Pub. L. 100–203, § 1303(a)(2), (3), added substituted ‘‘section 107B(f), 105B(f), 103B(f), or 101B(f)’’ for par. (B) and redesignated former subpar. (B) as (C). ‘‘section 107D(g), 105C(g), 103A(g), or 101A(g)’’. Par. (5)(C). Pub. L. 100–203, § 1303(a)(3), redesignated Par. (5)(B)(ii)(III). Pub. L. 101–624, § 1111(e), added subpar. (B) as (C). subcl. (III). Par. (5)(D), (E). Pub. L. 100–203, § 1303(a)(4), added sub- Par. (5)(B)(iii). Pub. L. 101–624, § 1111(c), amended cl. pars. (D) and (E). (iii) generally. Prior to amendment, cl. (iii) read as fol- Par. (6). Pub. L. 100–203, § 1303(b), amended par. (6) lows: ‘‘Such regulations shall provide that, with re- generally. Prior to amendment, par. (6) read as follows: spect to any married couple, the husband and wife shall ‘‘The provisions of this section that limit payments to be considered to be one person, except that any married any person shall not be applicable to lands or animals couple consisting of spouses who, prior to their mar- owned by States, political subdivisions, or agencies riage, were separately engaged in unrelated farming op- thereof, so long as such lands are farmed or animals are erations, each spouse shall be treated as a separate per- husbanded primarily in the direct furtherance of a pub- son with respect to the farming operation brought into lic function, as determined by the Secretary.’’ the marriage by such spouse so long as such operation Par. (7). Pub. L. 100–203, § 1305(c), added par. (7). remains as a separate farming operation, for the pur- 1986—Par. (1). Pub. L. 99–500 and Pub. L. 99–591, poses of the application of the limitations under this § 108(a)(1), in temporarily amending par. (1) generally, section.’’ substituted provision limiting, for each of the 1987 1989—Par. (5)(D). Pub. L. 101–217, § 2, amended subpar. through 1990 crops, the total amount of deficiency pay- (D) generally, striking out cl. (i) designation, substitut- ments, excluding deficiency payments described in par. ing ‘‘Any’’ for ‘‘Except as provided in clause (ii), any’’ (2)(B)(I)(iv) and land diversion payments that any one and ‘‘ineligible to receive any payment specified in person be entitled to as not to exceed $50,000 for provi- paragraph (1) or (2) or subtitle D of title XII with re- sion limiting, for each of the 1986 through 1990 crops, spect to such land’’ for ‘‘considered the same person as the total amount of payments, excluding disaster pay- the landlord’’, and struck out cls. (ii) and (iii) which ments, that any one person be entitled to as not to ex- read as follows: ceed $50,000. See Effective and Termination Dates of ‘‘(ii) A tenant that because of any act or failure to 1986 Amendment note below. act would otherwise be considered the same person as Par. (2). Pub. L. 99–500 and Pub. L. 99–591, § 108(a)(1), the landlord under clause (i) shall not be considered the in temporarily amending par. (2) generally, designated same person as the landlord if the Secretary has at any existing provision as subpar. (A), and in subpar. (A) as time made a determination, for purposes of this sec- so designated, substituted provision limiting, for each tion, regarding the number of persons with respect to of the 1987 through 1990 crops, the total amount of pay- the tenant’s operation on such land for the 1989 crop ments set forth in subpar. (B) that any one person be year and the landlord did not consent to or knowingly entitled to as not to exceed $250,000 and inserting honey participate in such act or failure to act. as an eligible crop for provision limiting, for each of ‘‘(iii) Any tenant that would be considered to be the the 1986 through 1990 crops, the total amount of disas- same person as the landlord but for the operation of ter payments not any one person be entitled to as not clause (ii) shall be eligible to receive any payment to exceed $100,000, and added subpars. (B) and (C). See specified in paragraph (1) or (2) or subtitle D of title XII Effective and Termination Dates of 1986 Amendment with respect to such land only to the extent that the note below. tenant would be eligible for such payments if the ten- Par. (3). Pub. L. 99–500 and Pub. L. 99–591, § 108(a)(1), ant were to be considered the same person as the land- temporarily substituted provision authorizing the Sec- lord under the regulations in place immediately prior retary, if he determines that a limitation will have an to the enactment of this subparagraph.’’ adverse effect on a program, to adjust upward such lim- Pub. L. 101–217, § 1, in temporarily amending subpar. itation as appropriate or necessary for provision speci- (D) generally, designated existing provisions as cl. (i) fying what is not included within the term ‘‘payments’’ and added cls. (ii) and (iii). See Effective and Termi- as used in this section. See Effective and Termination nation Dates of 1989 Amendment note below. Dates of 1986 Amendment note below. 1987—Par. (1). Pub. L. 100–203, § 1301(a)(1), substituted Par. (5)(A). Pub. L. 99–500 and Pub. L. 99–591, ‘‘Subject to sections 1308–1 through 1308–3 of this title, § 108(a)(2), temporarily inserted provision that the term for each’’ for ‘‘For each’’. ‘‘person’’ not include any cooperative association of Par. (2)(A). Pub. L. 100–203, § 1301(a)(2)(A), substituted producers that markets commodities for producers ‘‘Subject to sections 1308–1 through 1308–3 of this title, with respect to the commodities so marketed for pro- for each’’ for ‘‘For each’’. ducers. See Effective and Termination Dates of 1986 Par. (2)(C). Pub. L. 100–203, § 1307, struck out cl. (ii) Amendment note below. designation, and struck out cl. (i) which read as fol- Par. (6). Pub. L. 99–500 and Pub. L. 99–591, § 108(a)(3), lows: ‘‘The total amount of loans on a crop of honey temporarily substituted ‘‘lands or animals owned’’ for that a person may have outstanding at any one time ‘‘lands owned’’ and inserted ‘‘or animals are hus- under the annual program established for such crop banded’’. See Effective and Termination Dates of 1986 under the Agricultural Act of 1949 may not exceed Amendment note below. $250,000 less the amount of payments, as described in paragraph (1) and subparagraphs (A) and (B) of this EFFECTIVE DATE OF 2008 AMENDMENT paragraph, received by such person for the crop year involved.’’ Amendment of this section and repeal of Pub. L. Pub. L. 100–203, § 1301(a)(2)(B), which directed substi- 110–234 by Pub. L. 110–246 effective May 22, 2008, the tution of ‘‘Subject to sections 1308–1 through 1308–3 of date of enactment of Pub. L. 110–234, see section 4 of this title, the total’’ for ‘‘The total’’ could not be exe- Pub. L. 110–246, set out as an Effective Date note under cuted in view of amendments by Pub. L. 100–71 and sec- section 8701 of this title. tion 1307 of Pub. L. 100–203. EFFECTIVE DATE OF 1990 AMENDMENT Pub. L. 100–71 designated existing provision as cl. (i) and added cl. (ii). Amendment by Pub. L. 101–624 effective beginning Par. (5)(A). Pub. L. 100–203, § 1303(a)(1), (2), inserted with 1991 crop of an agricultural commodity, with pro- after first sentence ‘‘Such regulations shall incorporate vision for prior crops, see section 1171 of Pub. L. 101–624, the provisions in subparagraphs (B) through (E) of this set out as a note under section 1421 of this title. Page 581 TITLE 7—AGRICULTURE § 1308

EFFECTIVE AND TERMINATION DATES OF 1989 uniform application to individual farming operations of AMENDMENT the provisions of law and regulation relating to the payment provisions of sections 1001 through 1001C of Pub. L. 101–217, § 1, Dec. 11, 1989, 103 Stat. 1857, pro- the Food Security Act of 1985. Particular emphasis vided that the amendment made by that section is ef- shall be given to the changes in the law made by sec- fective only for the 1989 crops. tions 1301, 1302, and 1303 of this Act [enacting section Pub. L. 101–217, § 2, Dec. 11, 1989, 103 Stat. 1857, as 1308–1 of this title, amending this section, and enacting amended by Pub. L. 101–624, title XI, § 1111(i), Nov. 28, provisions set out as notes under this section and sec- 1990, 104 Stat. 3500, provided that the amendment made tion 1308–1 of this title]. by that section is effective beginning with the 1990 ‘‘(3) IMPLEMENTATION.—The education program shall crops. be fully implemented, and the training completed, not EFFECTIVE DATE OF 1987 AMENDMENT later than 30 days after the date final regulations are issued to carry out the amendments made by this sub- Pub. L. 100–203, title I, §§ 1301(a), 1303, Dec. 22, 1987, 101 title [enacting sections 1308–1 to 1308–3 of this title and Stat. 1330–12, 1330–16, provided that the amendments amending this section and section 1308–1 of this title]. made by sections 1301(a)(1), (2) and 1303 of Pub. L. ‘‘(4) COMMODITY CREDIT CORPORATION.—The Secretary 100–203 are effective beginning with 1989 crops. shall carry out the program provided under this sub- EFFECTIVE AND TERMINATION DATES OF 1986 section through the Commodity Credit Corporation.’’ AMENDMENT REGULATIONS TO CARRY OUT 1987 AMENDMENTS; Pub. L. 99–500, § 108(a), Oct. 18, 1986, 100 Stat. 1783–346, TRANSITION RULES; EQUITABLE ADJUSTMENTS and Pub. L. 99–591, § 108(a), Oct. 30, 1986, 100 Stat. Pub. L. 100–203, title I, § 1305(a), (b), Dec. 22, 1987, 101 3341–346, provided that the amendment made by Pub. L. Stat. 1330–18, provided that: 99–500 and Pub. L. 99–591 is effective with respect to ‘‘(a) REGULATIONS.— each of the 1987 through 1990 crops. ‘‘(1) ISSUANCE.—The Secretary of Agriculture shall Pub. L. 99–500, § 108(b), Oct. 18, 1986, 100 Stat. 1783–347, issue— and Pub. L. 99–591, § 108(b), Oct. 30, 1986, 100 Stat. ‘‘(A) proposed regulations to carry out the 3341–347, provided that: ‘‘The amendments made by sub- amendments made by this subtitle [enacting sec- section (a) [amending this section] shall not apply with tions 1308–1 to 1308–3 of this title and amending this respect to any payment or loan received under any section and section 1308–1 of this title] not later agreement or contract made before the date of enact- than April 1, 1988; and ment of this Act [Oct. 18, 1986].’’ ‘‘(B) final regulations to carry out such amend- TRANSITION PROVISIONS ments not later than August 1, 1988. ‘‘(2) FIELD INSTRUCTIONS.—Any field instructions re- Pub. L. 110–234, title I, § 1603(h), May 22, 2008, 122 Stat. lating to, or other supplemental clarifications of, the 1012, and Pub. L. 110–246, § 4(a), title I, § 1603(h), June 18, regulations issued under sections 1001 through 1001C 2008, 122 Stat. 1664, 1740, provided that: ‘‘Section 1001, of the Food Security Act of 1985 [sections 1308 to 1001A, and 1001B of the Food Security Act of 1985 (7 1308–3 of this title] shall not be used in resolving is- U.S.C. 1308, 1308–1, 1308–2), as in effect on September 30, sues involved in the application of the payment limi- 2007, shall continue to apply with respect to the 2007 tations or restrictions under such sections or regula- and 2008 crops of any covered commodity or peanuts.’’ tions to individuals, other entities, or farming oper- [For definition of ‘‘covered commodity’’ as used in ations until copies of the publication are made avail- section 1603(h) of Pub. L. 110–246, set out above, see sec- able to the public. tion 8702 of this title.] ‘‘(b) ALLOWANCE FOR EQUITABLE REORGANIZATIONS.— [Pub. L. 110–234 and Pub. L. 110–246 enacted identical To allow for the equitable reorganization of farming provisions. Pub. L. 110–234 was repealed by section 4(a) operations to conform to the limitations and restric- of Pub. L. 110–246, set out as a note under section 8701 tions contained in the amendments made to the Food of this title.] Security Act of 1985 by this subtitle [enacting sections Pub. L. 107–171, title I, § 1603(d), May 13, 2002, 116 Stat. 1308–1 to 1308–3 of this title and amending this section 215, provided that: ‘‘Section 1001 of the Food Security and section 1308–1 of this title] in cases in which the ap- Act of 1985 (7 U.S.C. 1308), as in effect on the day before plication of such limitations and restrictions will re- the date of the enactment of this Act [May 13, 2002], duce payments to the farming operation (as determined shall continue to apply with respect to the 2001 crop of by the Secretary), the Secretary may waive the appli- any covered commodity.’’ cation of the substantive change rule under section 1001(5)(E) [section 1308(5)(E) of this title], as added by EQUITABLE RELIEF section 1303 of this Act, or any regulation of the Sec- Pub. L. 101–217, § 3, Dec. 11, 1989, 103 Stat. 1858, pro- retary containing a comparable rule, to any reorganiza- vided that: ‘‘Nothing in this Act [amending this section tion applied for prior to the final date when producers and enacting provisions set out as notes under this sec- are eligible to enter into contracts to participate in the tion] shall be construed in any way to limit the author- commodity programs established for the 1989 crop year, ity of the Secretary of Agriculture to provide equitable to the extent the Secretary determines appropriate to relief under any provision of law.’’ facilitate any such equitable reorganizations that does not increase such payments.’’ PAYMENT PROVISIONS EDUCATION PROGRAM CONSERVATION RESERVE APPLICATION Pub. L. 100–203, title I, § 1304(a), Dec. 22, 1987, 101 Stat. 1330–17, provided that: Section 1305(d) of Pub. L. 100–203 provided that: ‘‘Not- ‘‘(1) IN GENERAL.—The Secretary of Agriculture shall withstanding section 1234(f)(2) of the Food Security Act implement a payment provisions education program for of 1985 (16 U.S.C. 3834(f)), paragraphs (5) through (7) of appropriate personnel of the Department of Agriculture section 1001 [section 1308(5)–(7) of this title], as amend- and members and other personnel of local, county, and ed by this subtitle, and sections 1001A through 1001C, of State committees established under section 8(b) of the the Food Security Act of 1985 [sections 1308–1 to 1308–3 Soil Conservation and Domestic Allotment Act (16 of this title] shall apply to the conservation reserve U.S.C. 590h(b)), for the purpose of fostering more effec- program under subtitle D of title XII of such Act (16 tive and uniform application of the payment limita- U.S.C. 3830 et seq.) with respect to rental payments to tions and restrictions under sections 1001 through 1001C persons under contracts entered into after the date of of the Food Security Act of 1985 [sections 1808 to 1308–3 the enactment of this Act [Dec. 22, 1987], except with of this title]. respect to landlords that receive cash rent, or a crop ‘‘(2) TRAINING.—The education program shall provide share guaranteed as to the amount of the commodity training to such personnel in the fair, accurate, and to be paid in rent, for the use of the land.’’ § 1308–1 TITLE 7—AGRICULTURE Page 582

REVISION OF REGULATIONS (2) Classes actively engaged Pub. L. 99–500, § 108(c), Oct. 18, 1986, 100 Stat. 1783–347, Except as provided in subsections (c) and and Pub. L. 99–591, § 108(c), Oct. 30, 1986, 100 Stat. (d)— 3341–347, provided that: (A) a person (including a person participat- ‘‘(1)(A) The Secretary of Agriculture shall review the ing in a farming operation as a partner in a regulations in effect on the date of enactment of this Act [Oct. 18, 1986] that define ‘person’ under section 1001 general partnership, a participant in a joint of the Food Security Act of 1985 [this section] and re- venture, a grantor of a revocable trust, or a lated regulations in effect on such date otherwise af- participant in a similar entity, as deter- fecting the payment limitations under such section, to mined by the Secretary) shall be considered determine ways in which such regulations can be re- to be actively engaged in farming with revised to better ensure the fair and reasonable applica- spect to a farming operation if— tion of limitations and eliminate fraud and abuse in the (i) the person makes a significant con- application of such payment limitations. tribution (based on the total value of the ‘‘(B) The Secretary also shall review the amendments to section 1001 of the Food Security Act of 1985 made by farming operation) to the farming oper- this section. ation of— ‘‘(2) Based on the reviews conducted under paragraph (I) capital, equipment, or land; and (1), the Secretary of Agriculture shall submit to the (II) personal labor or active personal Committee on Agriculture, Nutrition, and Forestry of management; the Senate and the Committee on Agriculture of the (ii) the person’s share of the profits or House of Representatives, not later than March 1, 1987, a report on such reviews and— losses from the farming operation is com- ‘‘(A) with respect to the matters reviewed under mensurate with the contributions of the paragraph (1)(A), proposed regulations or amend- person to the farming operation; and ments to regulations, to take effect not earlier than (iii) the contributions of the person are October 1, 1987, that will meet the object with respect at risk; to limitations specified in paragraph (1)(A); and ‘‘(B) with respect to the matters reviewed under (B) a legal entity that is a corporation, paragraph (1)(B), recommendations on legislative joint stock company, association, limited changes to section 1001 of the Food Security Act of partnership, charitable organization, or 1985 that the Secretary determines are necessary or other similar entity determined by the Sec- appropriate.’’ retary (including any such legal entity par- SEPARATE PERSON STATUS AMONG FAMILY MEMBERS ticipating in the farming operation as a partner in a general partnership, a partici- Pub. L. 99–198 (last sentence), as added by Pub. L. 99–500, § 101(a) [title VI, § 636], Oct. 18, 1986, 100 Stat. pant in a joint venture, a grantor of a rev- 1783, 1783–34, and Pub. L. 99–591, § 101(a) [title VI, § 636], ocable trust, or as a participant in a similar Oct. 30, 1986, 100 Stat. 3341, 3341–34, provided that: ‘‘Ef- legal entity as determined by the Secretary) fective for each of the 1987 through 1990 crops, the Sec- shall be considered as actively engaged in retary may not deny a person status as a separate per- farming with respect to a farming operation son solely on the ground that a family member cosigns if— for, or makes a loan to, such person and leases, loans, (i) the legal entity separately makes a or gives such person equipment, land or labor, if such significant contribution (based on the family members were organized as separate units prior total value of the farming operation) of to December 31, 1985.’’ capital, equipment, or land; § 1308–1. Notification of interests; payments lim- (ii) the stockholders or members collec- ited to active farmers tively make a significant contribution of personal labor or active personal manage- (a) Notification of interests ment to the operation; and To facilitate administration of section 1308 of (iii) the standards provided in clauses (ii) this title and this section, each person or legal and (iii) of subparagraph (A), as applied to entity receiving payments described in sub- the legal entity, are met by the legal en- sections (b) and (c) of section 1308 of this title as tity; a separate person or legal entity shall sepa- (C) if a legal entity that is a general part- rately provide to the Secretary, at such times nership, joint venture, or similar entity, as and in such manner as prescribed by the Sec- determined by the Secretary, separately retary— (1) the name and social security number of makes a significant contribution (based on each person, or the name and taxpayer identi- the total value of the farming operation in- fication number of each legal entity, that volved) of capital, equipment, or land, and holds or acquires an ownership interest in the the standards provided in clauses (ii) and separate person or legal entity; and (iii) of subparagraph (A), as applied to the (2) the name and taxpayer identification legal entity, are met by the legal entity, the number of each legal entity in which the per- partners or members making a significant son or legal entity holds an ownership inter- contribution of personal labor or active per- est. sonal management shall be considered to be actively engaged in farming with respect to (b) Actively engaged the farming operation involved; and (1) In general (D) in making determinations under this To be eligible to receive a payment de- subsection regarding equipment and per- scribed in subsection (b) or (c) of section 1308 sonal labor, the Secretary shall take into of this title, a person or legal entity shall be consideration the equipment and personal actively engaged in farming with respect to a labor normally and customarily provided by farming operation as provided in this sub- farm operators in the area involved to section or subsection (c). produce program crops. Page 583 TITLE 7—AGRICULTURE § 1308–1

(c) Special classes actively engaged rent, or a crop share guaranteed as to the (1) Landowner amount of the commodity to be paid in rent, for the use of the land. A person or legal entity that is a landowner contributing the owned land to a farming op- (2) Other persons and legal entities eration shall be considered to be actively en- Any other person or legal entity that the gaged in farming with respect to the farming Secretary determines does not meet the stand- operation if— ards described in subsections (b)(2) and (c) (A) the landowner receives rent or income shall not be considered to be actively engaged for the use of the land based on the produc- in farming with respect to a farming oper- tion on the land or the operating results of ation. the operation; and (Pub. L. 99–198, title X, § 1001A, as added and (B) the person or legal entity meets the amended Pub. L. 100–203, title I, §§ 1301(a)(3), 1302, standards provided in clauses (ii) and (iii) of Dec. 22, 1987, 101 Stat. 1330–12, 1330–14; Pub. L. subsection (b)(2)(A). 101–624, title XI, § 1111(d), (f), Nov. 28, 1990, 104 (2) Adult family member Stat. 3498, 3499; Pub. L. 102–237, title I, § 118(c), Dec. 13, 1991, 105 Stat. 1841; Pub. L. 104–127, title If a majority of the participants in a farm- I, § 115(c)(1), Apr. 4, 1996, 110 Stat. 903; Pub. L. ing operation are family members, an adult 107–171, title I, § 1603(c)(1), May 13, 2002, 116 Stat. family member shall be considered to be ac- 215; Pub. L. 110–234, title I, § 1603(c), (d), May 22, tively engaged in farming with respect to the 2008, 122 Stat. 1007, 1008; Pub. L. 110–246, § 4(a), farming operation if the person— title I, § 1603(c), (d), June 18, 2008, 122 Stat. 1664, (A) makes a significant contribution, 1735, 1736.) based on the total value of the farming operation, of active personal management or per- CODIFICATION sonal labor; and Pub. L. 110–234 and Pub. L. 110–246 made identical (B) with respect to such contribution, amendments to this section. The amendments by Pub. meets the standards provided in clauses (ii) L. 110–234 were repealed by section 4(a) of Pub. L. and (iii) of subsection (b)(2)(A). 110–246. Section was enacted as part of the Food Security Act (3) Sharecropper of 1985, and not as part of the Agricultural Adjustment A sharecropper who makes a significant con- Act of 1938 which comprises this chapter. tribution of personal labor to a farming oper- AMENDMENTS ation shall be considered to be actively en- 2008—Pub. L. 110–246, § 1603(c)(1), substituted ‘‘Notifi- gaged in farming with respect to the farming cation of interests’’ for ‘‘Prevention of creation of enti- operation if the contribution meets the stand- ties to qualify as separate persons’’ in section catch- ards provided in clauses (ii) and (iii) of sub- line. section (b)(2)(A). Subsec. (a). Pub. L. 110–246, § 1603(c)(2), added subsec. (a) and struck out former subsec. (a) which related to (4) Growers of hybrid seed prevention of use of multiple legal entities to avoid ef- In determining whether a person or legal en- fective application of payment limitations under sec- tity growing hybrid seed under contract shall tion 1308 of this title. be considered to be actively engaged in farm- Subsecs. (b) to (d). Pub. L. 110–246, § 1603(d), added subsecs. (b) to (d) and struck out former subsec. (b) which ing, the Secretary shall not take into consid- related to requirement that a person be an individual eration the existence of a hybrid seed con- or entity described in former section 1308(e)(2)(A) of tract. this title and actively engaged in farming with respect (5) Custom farming services to a particular farming operation to be separately eligible for farm program payments with respect to that (A) In general operation. A person or legal entity receiving custom 2002—Subsec. (a)(1). Pub. L. 107–171, § 1603(c)(1), sub- farming services shall be considered sepa- stituted ‘‘section 1308(e)(2)(A) of this title’’ for ‘‘section 1308(5)(B)(i) of this title’’ and ‘‘section 1308(e)(2)(A)(ii) rately eligible for payment limitation pur- of this title’’ for ‘‘section 1308(5)(B)(i)(II) of this title’’. poses if the person or legal entity is actively Subsec. (b)(1). Pub. L. 107–171, § 1603(c)(1)(B), sub- engaged in farming based on subsection stituted ‘‘section 1308(e)(2)(A) of this title’’ for ‘‘section (b)(2) or paragraphs (1) through (4) of this 1308(5)(B)(i) of this title’’. subsection. Subsec. (b)(2)(B). Pub. L. 107–171, § 1603(c)(1)(A), substituted ‘‘section 1308(e)(2)(A)(ii) of this title’’ for ‘‘sec- (B) Prohibition tion 1308(5)(B)(i)(II) of this title’’. No other rules with respect to custom 1996—Subsec. (a)(1). Pub. L. 104–127, § 115(c)(1)(A), farming shall apply. struck out ‘‘under the Agricultural Act of 1949 (7 U.S.C. 1421 et seq.)’’ before ‘‘may not also hold’’. (6) Spouse Subsec. (b)(1). Pub. L. 104–127, § 115(c)(1)(B), struck out If 1 spouse (or estate of a deceased spouse) is ‘‘under the Agricultural Act of 1949’’ before ‘‘with respect to a particular’’. determined to be actively engaged, the other 1991—Subsec. (a)(2). Pub. L. 102–237 struck out ‘‘0 to’’ spouse shall be determined to have met the re- after ‘‘less than’’. quirements of subsection (b)(2)(A)(i)(II). 1990—Subsec. (a)(2). Pub. L. 101–624, § 1111(f), substituted ‘‘0 to 10 percent’’ for ‘‘10 percent’’. (d) Classes not actively engaged Subsec. (b)(6). Pub. L. 101–624, § 1111(d), added par. (6). (1) Cash rent landlord 1987—Subsec. (b). Pub. L. 100–203, § 1302, added subsec. (b). A landlord contributing land to a farming operation shall not be considered to be ac- EFFECTIVE DATE OF 2008 AMENDMENT tively engaged in farming with respect to the Amendment of this section and repeal of Pub. L. farming operation if the landlord receives cash 110–234 by Pub. L. 110–246 effective May 22, 2008, the § 1308–2 TITLE 7—AGRICULTURE Page 584 date of enactment of Pub. L. 110–234, see section 4 of (d) Joint and several liability Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title. Any legal entity (including partnerships and joint ventures) and any member of any legal en- EFFECTIVE DATE OF 1990 AMENDMENT tity determined to have knowingly participated Amendment by Pub. L. 101–624 effective beginning in a scheme or device to evade, or that has the with 1991 crop of an agricultural commodity, with pro- purpose of evading, sections 1308, 1308–1, or vision for prior crops, see section 1171 of Pub. L. 101–624, 1308–3 of this title shall be jointly and severally set out as a note under section 1421 of this title. liable for any amounts that are payable to the EFFECTIVE DATE OF 1987 AMENDMENT Secretary as the result of the scheme or device (including amounts necessary to recover those Pub. L. 100–203, title I, § 1302, Dec. 22, 1987, 101 Stat. 1330–14, provided that the amendment made by that amounts). section is effective beginning with the 1989 crops. (e) Release

EFFECTIVE DATE The Secretary may partially or fully release Pub. L. 100–203, title I, § 1301(a), Dec. 22, 1987, 101 Stat. from liability any person or legal entity who co- 1330–12, provided that this section is effective beginning operates with the Secretary in enforcing sec- with the 1989 crops. tions 1308, 1308–1, and 1308–3 of this title, and this section. TRANSITION PROVISIONS (Pub. L. 99–198, title X, § 1001B, as added Pub. L. Section, as in effect on Sept. 30, 2007, to continue to apply with respect to the 2007 and 2008 crops of any cov- 100–203, title I, § 1304(b), Dec. 22, 1987, 101 Stat. ered commodity or peanuts, see section 1603(h) of Pub. 1330–17; amended Pub. L. 107–171, title I, L. 110–246, set out as a note under section 1308 of this § 1603(c)(2), May 13, 2002, 116 Stat. 215; Pub. L. title. 110–234, title I, § 1603(e), May 22, 2008, 122 Stat. 1010; Pub. L. 110–246, § 4(a), title I, § 1603(e), June § 1308–2. Denial of program benefits 18, 2008, 122 Stat. 1664, 1738.) (a) 2-year denial of program benefits CODIFICATION A person or legal entity shall be ineligible to Pub. L. 110–234 and Pub. L. 110–246 made identical receive payments specified in subsections (b) amendments to this section. The amendments by Pub. and (c) of section 1308 of this title for the crop L. 110–234 were repealed by section 4(a) of Pub. L. year, and the succeeding crop year, in which the 110–246. Secretary determines that the person or legal Section was enacted as part of the Food Security Act entity— of 1985, and not as part of the Agricultural Adjustment (1) failed to comply with section 1308–1(b) of Act of 1938 which comprises this chapter. this title and adopted or participated in adopt- AMENDMENTS ing a scheme or device to evade the application of section 1308, 1308–1, or 1308–3 of this 2008—Pub. L. 110–246, § 1603(e), amended section generally. Prior to amendment, text read as follows: ‘‘If the title; or Secretary of Agriculture determines that any person (2) intentionally concealed the interest of has adopted a scheme or device to evade, or that has the person or legal entity in any farm or legal the purpose of evading, section 1308, 1308–1, or 1308–3 of entity engaged in farming. this title, such person shall be ineligible to receive (b) Extended ineligibility farm program payments (as described in subsections (b), (c), and (d) of section 1308 of this title as being sub- If the Secretary determines that a person or ject to limitation) applicable to the crop year for which legal entity, for the benefit of the person or such scheme or device was adopted and the succeeding legal entity or the benefit of any other person or crop year.’’ legal entity, has knowingly engaged in, or aided 2002—Pub. L. 107–171 substituted ‘‘as described in sub- in the creation of a fraudulent document, failed sections (b), (c), and (d) of section 1308 of this title’’ for to disclose material information relevant to the ‘‘as described in paragraphs (1) and (2) of section 1308 of administration of sections 1308 through 1308–5 of this title’’. this title, or committed other equally serious EFFECTIVE DATE OF 2008 AMENDMENT actions (as identified in regulations issued by Amendment of this section and repeal of Pub. L. the Secretary), the Secretary may for a period 110–234 by Pub. L. 110–246 effective May 22, 2008, the not to exceed 5 crop years deny the issuance of date of enactment of Pub. L. 110–234, see section 4 of payments to the person or legal entity. Pub. L. 110–246, set out as an Effective Date note under (c) Pro rata denial section 8701 of this title. (1) In general EFFECTIVE DATE Payments otherwise owed to a person or Pub. L. 100–203, title I, § 1304(b), Dec. 22, 1987, 101 Stat. legal entity described in subsections (a) or (b) 1330–17, provided that this section is effective beginning shall be denied in a pro rata manner based on with the 1989 crops.

the ownership interest of the person or legal TRANSITION PROVISIONS entity in a farm. Section, as in effect on Sept. 30, 2007, to continue to (2) Cash rent tenant apply with respect to the 2007 and 2008 crops of any cov- Payments otherwise payable to a person or ered commodity or peanuts, see section 1603(h) of Pub. legal entity shall be denied in a pro rata man- L. 110–246, set out as a note under section 1308 of this ner if the person or legal entity is a cash rent title. tenant on a farm owned or under the control § 1308–3. Foreign persons made ineligible for proof a person or legal entity with respect to gram benefits which a determination has been made under subsection (a) or (b). Notwithstanding any other provision of law: Page 585 TITLE 7—AGRICULTURE § 1308–3

(a) In general REFERENCES IN TEXT Any person who is not a citizen of the United The Immigration and Nationality Act, referred to in States or an alien lawfully admitted into the subsecs. (a) and (b), is act June 27, 1952, ch. 477, 66 Stat. United States for permanent residence under the 163, as amended, which is classified principally to chap- Immigration and Nationality Act (8 U.S.C. 1101 ter 12 (§ 1101 et seq.) of Title 8, Aliens and Nationality. For complete classification of this Act to the Code, see et seq.) shall be ineligible to receive any type of Short Title note set out under section 1101 of Title 8 loans or payments made available under title I and Tables. of the Food, Conservation, and Energy Act of The Food, Conservation, and Energy Act of 2008, re- 2008 [7 U.S.C. 8701 et seq.], the Agricultural Mar- ferred to in subsec. (a), is Pub. L. 110–246, June 18, 2008, ket Transition Act [7 U.S.C. 7201 et seq.], the 122 Stat. 1651. Title I of the Act is classified principally Commodity Credit Corporation Charter Act (15 to chapter 113 (§ 8701 et seq.) of this title. For complete U.S.C. 714 et seq.), or subtitle D of title XII of classification of this Act to the Code, see Short Title the Food Security Act of 1985 (16 U.S.C. 3831 et note set out under section 8701 of this title and Tables. 1 The Agricultural Market Transition Act, referred to seq.), or under any contract entered into under in subsec. (a), is title I of Pub. L. 104–127, Apr. 4, 1996, title XII [16 U.S.C. 3801 et seq.], with respect to 110 Stat. 896, which is classified principally to chapter any commodity produced, or land set aside from 100 (§ 7201 et seq.) of this title. For complete classifica- production, on a farm that is owned or operated tion of this Act to the Code, see References in Text by such person, unless such person is an individ- note set out under section 7201 of this title and Tables. ual who is providing land, capital, and a sub- The Commodity Credit Corporation Charter Act, re- stantial amount of personal labor in the produc- ferred to in subsec. (a), is act June 29, 1948, ch. 704, 62 tion of crops on such farm. Stat. 1070, as amended, which is classified generally to subchapter II (§ 714 et seq.) of chapter 15 of Title 15, Commerce and Trade. For complete classification of (b) Corporations or other entities this Act to the Code, see Short Title note set out under For purposes of subsection (a) of this section, section 714 of Title 15 and Tables. a corporation or other entity shall be considered The Food Security Act of 1985, referred to in subsec. a person that is ineligible for production adjust- (a), is Pub. L. 99–198, Dec. 23, 1985, 99 Stat. 1354, as ment payments, price support program loans, amended. Title XII of the Act, popularly known as the ‘‘Sodbuster Law’’, is classified principally to chapter 58 payments, or benefits if more than 10 percent of (§ 3801 et seq.) of Title 16, Conservation. Subtitle D of the beneficial ownership of the entity is held by title XII of the Act is classified generally to subchapter persons who are not citizens of the United IV (§ 3830 et seq.) of chapter 58 of Title 16. For complete States or aliens lawfully admitted into the classification of this Act to the Code, see Short Title of United States for permanent residence under the 1985 Amendment note set out under section 1281 of this Immigration and Nationality Act [8 U.S.C. 1101 title and Tables. et seq.], unless such persons provide a substan- CODIFICATION tial amount of personal labor in the production of crops on such farm. Notwithstanding the fore- Pub. L. 110–234 and Pub. L. 110–246 made identical going provisions of this subsection, with respect amendments to this section. The amendments by Pub. L. 110–234 were repealed by section 4(a) of Pub. L. to an entity that is determined to be ineligible 110–246. to receive such payments, loans, or other bene- Section was enacted as part of the Food Security Act fits, the Secretary may make payments, loans, of 1985, and not as part of the Agricultural Adjustment and other benefits in an amount determined by Act of 1938 which comprises this chapter. the Secretary to be representative of the percentage interests of the entity that is owned by AMENDMENTS citizens of the United States and aliens lawfully 2008—Subsec. (a). Pub. L. 110–246, § 1603(a), substituted admitted into the United States for permanent ‘‘Food, Conservation, and Energy Act of 2008’’ for residence under the Immigration and National- ‘‘Farm Security and Rural Investment Act of 2002’’. ity Act. 2002—Subsec. (a). Pub. L. 107–171 inserted ‘‘title I of the Farm Security and Rural Investment Act of 2002,’’ after ‘‘made available under’’. (c) Prospective application 1996—Subsec. (a). Pub. L. 104–127 substituted ‘‘Any No person shall become ineligible under this person’’ for ‘‘For each of the 1991 through 1997 crops, section for production adjustment payments, any person’’, substituted ‘‘loans or payments made price support program loans, payments or bene- available under the Agricultural Market Transition fits as the result of the production of a crop of Act,’’ for ‘‘production adjustment payments, price sup- an agricultural commodity planted, or commod- port program loans, payments, or benefits made available under the Agricultural Act of 1949 (7 U.S.C. 1421 et ity program or conservation reserve contract seq.),’’, and struck out ‘‘during the 1989 through 1997 entered into, before December 22, 1987. crop years’’ before ‘‘, with respect to any commodity (Pub. L. 99–198, title X, § 1001C, as added Pub. L. produced’’. 100–203, title I, § 1306, Dec. 22, 1987, 101 Stat. 1993—Subsec. (a). Pub. L. 103–66 substituted ‘‘1997’’ for ‘‘1995’’ in two places. 1330–19; amended Pub. L. 101–624, title XI, 1990—Subsec. (a). Pub. L. 101–624 substituted ‘‘1991 § 1111(b), Nov. 28, 1990, 104 Stat. 3498; Pub. L. through 1995 crops’’ for ‘‘1989 and 1990 crops’’ and in- 103–66, title I, § 1101(b)(3)(B), Aug. 10, 1993, 107 serted ‘‘, or under any contract entered into under title Stat. 314; Pub. L. 104–127, title I, § 115(c)(2), Apr. XII during the 1989 through 1995 crop years,’’ after ‘‘(16 4, 1996, 110 Stat. 903; Pub. L. 107–171, title I, U.S.C. 3831 et seq.)’’. § 1603(c)(3), May 13, 2002, 116 Stat. 215; Pub. L. EFFECTIVE DATE OF 2008 AMENDMENT 110–234, title I, § 1603(a), May 22, 2008, 122 Stat. 1002; Pub. L. 110–246, § 4(a), title I, § 1603(a), June Amendment of this section and repeal of Pub. L. 18, 2008, 122 Stat. 1664, 1730.) 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under 1 See References in Text note below. section 8701 of this title. § 1308–3a TITLE 7—AGRICULTURE Page 586

EFFECTIVE DATE OF 1990 AMENDMENT adjusted gross farm income, and average ad- Amendment by Pub. L. 101–624 effective beginning justed gross nonfarm income would have with 1991 crop of an agricultural commodity, with pro- been declared and reported had the persons vision for prior crops, see section 1171 of Pub. L. 101–624, filed 2 separate returns; and set out as a note under section 1421 of this title. (B) the Secretary determines that the method described in the statement is con- EFFECTIVE DATE sistent with the information supporting the Pub. L. 100–203, title I, § 1306, Dec. 22, 1987, 101 Stat. filed joint tax return. 1330–19, provided that this section is effective beginning with the 1989 crops. (b) Limitations (1) Commodity programs § 1308–3a. Adjusted gross income limitation (A) Nonfarm limitation (a) Definitions Notwithstanding any other provision of (1) In general law, a person or legal entity shall not be eligible to receive any benefit described in sub- In this section: paragraph (C) during a crop, fiscal, or pro- (A) Average adjusted gross income gram year, as appropriate, if the average ad- The term ‘‘average adjusted gross in- justed gross nonfarm income of the person come’’, with respect to a person or legal en- or legal entity exceeds $500,000. tity, means the average of the adjusted gross (B) Farm limitation income or comparable measure of the person Notwithstanding any other provision of or legal entity over the 3 taxable years pre- law, a person or legal entity shall not be eli- ceding the most immediately preceding com- gible to receive a direct payment under sub- plete taxable year, as determined by the title A or C of title I of the Food, Conserva- Secretary. tion, and Energy Act of 2008 [7 U.S.C. 8711 et (B) Average adjusted gross farm income seq., 8751 et seq.] during a crop year, if the The term ‘‘average adjusted gross farm in- average adjusted gross farm income of the come’’, with respect to a person or legal en- person or legal entity exceeds $750,000. tity, means the average of the portion of ad- (C) Covered benefits justed gross income of the person or legal Subparagraph (A) applies with respect to entity that is attributable to activities re- the following: lated to farming, ranching, or forestry for (i) A direct payment or counter-cyclical the 3 taxable years described in subpara- payment under subtitle A or C of title I of graph (A), as determined by the Secretary in the Food, Conservation, and Energy Act of accordance with subsection (c). 2008 [7 U.S.C. 8711 et seq., 8751 et seq.] or an (C) Average adjusted gross nonfarm income average crop revenue election payment under subtitle A of title I of that Act [7 The term ‘‘average adjusted gross nonfarm U.S.C. 8711 et seq.]. income’’, with respect to a person or legal (ii) A marketing loan gain or loan defi- entity, means the difference between— ciency payment under subtitle B or C of (i) the average adjusted gross income of title I of the Food, Conservation, and En- the person or legal entity; and ergy Act of 2008 [7 U.S.C. 8731 et seq., 8751 (ii) the average adjusted gross farm in- et seq.]. come of the person or legal entity. (iii) A payment or benefit under section (2) Special rules for certain persons and legal 196 of the Federal Agriculture Improve- entities ment and Reform Act of 1996 (7 U.S.C. In the case of a legal entity that is not re- 7333). quired to file a Federal income tax return or (iv) A payment or benefit under section a person or legal entity that did not have tax- 1506 of the Food, Conservation, and Energy able income in 1 or more of the taxable years Act of 2008 [7 U.S.C. 8773]. used to determine the average under subpara- (v) A payment or benefit under title IX graph (A) or (B) of paragraph (1), the Sec- of the Trade Act of 1974 [19 U.S.C. 2497 et retary shall provide, by regulation, a method seq.] or subtitle B of the Federal Crop In- for determining the average adjusted gross insurance Act [7 U.S.C. 1531]. come, the average adjusted gross farm income, (2) Conservation programs and the average adjusted gross nonfarm in- (A) Limits come of the person or legal entity for purposes (i) In general of this section. Notwithstanding any other provision of (3) Allocation of income law, except as provided in clause (ii), a per- On the request of any person filing a joint son or legal entity shall not be eligible to tax return, the Secretary shall provide for the receive any benefit described in subpara- allocation of average adjusted gross income, graph (B) during a crop, fiscal, or program average adjusted gross farm income, and aver- year, as appropriate, if the average ad- age adjusted gross nonfarm income among the justed gross nonfarm income of the person persons filing the return if— or legal entity exceeds $1,000,000, unless (A) the person provides a certified state- not less than 66.66 percent of the average ment by a certified public accountant or at- adjusted gross income of the person or torney that specifies the method by which legal entity is average adjusted gross farm the average adjusted gross income, average income. Page 587 TITLE 7—AGRICULTURE § 1308–3a

(ii) Exception (K) payments or other benefits received The Secretary may waive the limitation under section 196 of the Federal Agriculture established under clause (i) on a case-by- Improvement and Reform Act of 1996 (7 case basis if the Secretary determines that U.S.C. 7333); environmentally sensitive land of special (L) payments or other benefits received significance would be protected. under title IX of the Trade Act of 1974 [19 U.S.C. 2497 et seq.] or subtitle B of the Fed- (B) Covered benefits eral Crop Insurance Act [7 U.S.C. 1531]; Subparagraph (A) applies with respect to (M) risk management practices, including the following: benefits received under a program author- (i) A payment or benefit under title XII ized under the Federal Crop Insurance Act (7 of this Act [16 U.S.C. 3801 et seq.]. U.S.C. 1501 et seq.) (including a catastrophic (ii) A payment or benefit under title II of risk protection plan offered under section the Farm Security and Rural Investment 508(b) of that Act (7 U.S.C. 1508(b))); and Act of 2002 (Public Law 107–171; 116 Stat. (N) any other activity related to farming, 223) or title II of the Food, Conservation, ranching, or forestry, as determined by the and Energy Act of 2008. Secretary. (iii) A payment or benefit under section 524(b) of the Federal Crop Insurance Act (7 (2) Income derived from farming, ranching, or U.S.C. 1524(b)). forestry (c) Income determination In determining the average adjusted gross (1) In general farm income of a person or legal entity, in addition to the inclusions described in paragraph In determining the average adjusted gross (1), the Secretary shall include any income re- farm income of a person or legal entity, the ported on the Schedule F or other schedule Secretary shall include income or benefits de- used by the person or legal entity to report in- rived from or related to— come from farming, ranching, or forestry oper- (A) the production of crops, including spe- ations to the Internal Revenue Service, to the cialty crops (as defined in section 3 of the extent such income is not already included Specialty Crops Competitiveness Act of 2004 under paragraph (1). (7 U.S.C. 1621 note; Public Law 108–465)) and unfinished raw forestry products; (3) Special rule (B) the production of livestock (including If not less than 66.66 percent of the average cattle, elk, reindeer, bison, horses, deer, adjusted gross income of a person or legal en- sheep, goats, swine, poultry, fish, and other tity is derived from farming, ranching, or for- aquacultural products used for food, honey- estry operations described in paragraphs (1) bees, and other animals designated by the and (2), in determining the average adjusted Secretary) and products produced by, or de- gross farm income of the person or legal en- rived from, livestock; tity, the Secretary shall also include— (C) the production of farm-based renewable (A) the sale of equipment to conduct farm, energy (as defined in section 9001 of the ranch, or forestry operations; and Farm Security and Rural Investment Act of (B) the provision of production inputs and 2002 (7 U.S.C. 8101)); services to farmers, ranchers, foresters, and (D) the sale, including the sale of ease- farm operations. ments and development rights, of farm, (d) Enforcement ranch, or forestry land, water or hunting rights, or environmental benefits; (1) In general (E) the rental or lease of land or equip- To comply with subsection (b), at least once ment used for farming, ranching, or forestry every 3 years a person or legal entity shall operations, including water or hunting provide to the Secretary— rights; (A) a certification by a certified public ac- (F) the processing (including packing), countant or another third party that is ac- storing (including shedding), and transport- ceptable to the Secretary that the average ing of farm, ranch, and forestry commod- adjusted gross income, average adjusted ities, including renewable energy; gross farm income, and average adjusted (G) the feeding, rearing, or finishing of gross nonfarm income of the person or legal livestock; entity does not exceed the applicable limita- (H) the sale of land that has been used for tion specified in that subsection; or agriculture; (B) information and documentation re- (I) payments or other benefits received garding the average adjusted gross income, under any program authorized under title I average adjusted gross farm income, and av- of the Farm Security and Rural Investment erage adjusted gross nonfarm income of the Act of 2002 (7 U.S.C. 7901 et seq.) or title I of person or legal entity through other proce- the Food, Conservation, and Energy Act of dures established by the Secretary. 2008 [7 U.S.C. 8701 et seq.]; (J) payments or other benefits received (2) Denial of program benefits under any program authorized under title If the Secretary determines that a person or XII of this Act [16 U.S.C. 3801 et seq.], title legal entity has failed to comply with this sec- II of the Farm Security and Rural Invest- tion, the Secretary shall deny the issuance of ment Act of 2002 (Public Law 107–171; 116 applicable payments and benefits specified in Stat. 223), or title II of the Food, Conserva- paragraphs (1)(C) and (2)(B) of subsection (b) to tion, and Energy Act of 2008; the person or legal entity, under similar terms § 1308–4 TITLE 7—AGRICULTURE Page 588

and conditions as described in section 1308–2 of Pub. L. 107–171, May 13, 2002, 116 Stat. 134. Title I of the this title. Act is classified principally to chapter 106 (§ 7901 et seq.) of this title. Title II of the Act enacted, amended, (3) Audit and repealed numerous sections and provisions set out The Secretary shall establish statistically as notes in this title, Title 16, Conservation, and Title valid procedures under which the Secretary 43, Public Lands. For complete classification of this shall conduct targeted audits of such persons Act to the Code, see Short Title note set out under sec- or legal entities as the Secretary determines tion 7901 of this title and Tables. are most likely to exceed the limitations CODIFICATION under subsection (b). Pub. L. 110–234 and Pub. L. 110–246 made identical (e) Commensurate reduction amendments to this section. The amendments by Pub. In the case of a payment or benefit described L. 110–234 were repealed by section 4(a) of Pub. L. in paragraphs (1)(C) and (2)(B) of subsection (b) 110–246. made in a crop, program, or fiscal year, as ap- Section was enacted as part of the Food Security Act of 1985, and not as part of the Agricultural Adjustment propriate, to an entity, general partnership, or Act of 1938 which comprises this chapter. joint venture, the amount of the payment or benefit shall be reduced by an amount that is PRIOR PROVISIONS commensurate with the direct and indirect own- A prior section 1001D of Pub. L. 99–198 was renum- ership interest in the entity, general partner- bered section 1001E and is classified to section 1308–4 of ship, or joint venture of each person who has an this title. average adjusted gross income, average adjusted AMENDMENTS gross farm income, or average adjusted gross 2008—Pub. L. 110–246, § 1604(a), amended section gener- nonfarm income in excess of the applicable limi- ally, substituting subsecs. (a) to (f) for former provi- tation specified in subsection (b). sions which related to: in subsec. (a), definition of ‘‘av- (f) Effective period erage adjusted gross income’’; in subsec. (b), limitation This section shall apply only during the 2009 on benefits if average adjusted gross income exceeded $2,500,000; in subsec. (c), certification that average ad- through 2012 crop, program, or fiscal years, as justed gross income did not exceed limitation; in sub- appropriate. sec. (d), reduction of benefits commensurate with own- (Pub. L. 99–198, title X, § 1001D, as added Pub. L. ership interest; and in subsec. (e), applicability of sec- 107–171, title I, § 1604(2), May 13, 2002, 116 Stat. tion during 2003 through 2007 crop years. 215; amended Pub. L. 110–234, title I, § 1604(a), EFFECTIVE DATE OF 2008 AMENDMENT May 22, 2008, 122 Stat. 1012; Pub. L. 110–246, § 4(a), Amendment of this section and repeal of Pub. L. title I, § 1604(a), June 18, 2008, 122 Stat. 1664, 110–234 by Pub. L. 110–246 effective May 22, 2008, the 1740.) date of enactment of Pub. L. 110–234, see section 4 of REFERENCES IN TEXT Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title. The Food, Conservation, and Energy Act of 2008, referred to in subsecs. (b)(1)(B), (C)(i), (ii), (2)(B)(ii) and TRANSITION PROVISIONS (c)(1)(I), (J), is Pub. L. 110–246, June 18, 2008, 122 Stat. Pub. L. 110–234, title I, § 1604(b), May 22, 2008, 122 Stat. 1651. Title I of the Act is classified principally to chap- 1016, and Pub. L. 110–246, § 4(a), title I, § 1604(b), June 18, ter 113 (§ 8701 et seq.) of this title. Subtitles A, B, and 2008, 122 Stat. 1664, 1744, provided that: ‘‘Section 1001D C of title I of the Act are classified generally to sub- of the Food Security Act of 1985 (7 U.S.C. 1308–3a), as in chapters I (§ 8711 et seq.), II (§ 8731 et seq.), and III (§ 8751 effect on September 30, 2007, shall apply with respect to et seq.), respectively, of chapter 113 of this title. Title the 2007 and 2008 crop, fiscal, or program year, as appro- II of the Act enacted, amended, and repealed numerous priate, for each program described in paragraphs (1)(C) sections and provisions set out as notes in this title, and (2)(B) of subsection (b) of that section (as amended Title 16, Conservation, and Title 43, Public Lands. For by subsection (a)).’’ complete classification of this Act to the Code, see [Pub. L. 110–234 and Pub. L. 110–246 enacted identical Short Title note set out under section 8701 of this title provisions. Pub. L. 110–234 was repealed by section 4(a) and Tables. of Pub. L. 110–246, set out as a note under section 8701 The Trade Act of 1974, referred to in subsecs. of this title.] (b)(1)(C)(v) and (c)(1)(L), is Pub. L. 93–618, Jan. 3, 1975, 88 Stat. 1978. Title IX of the Act is classified generally § 1308–4. Education program to subchapter VIII (§ 2497 et seq.) of chapter 12 of Title 19, Customs Duties. For complete classification of this (a) In general Act to the Code, see section 2101 of Title 19 and Tables. The Secretary shall carry out a payment pro- The Federal Crop Insurance Act, referred to in sub- visions education program for appropriate per- secs. (b)(1)(C)(v) and (c)(1)(L), (M), is subtitle A of title sonnel of the Department of Agriculture and V of act Feb. 16, 1938, ch. 30, 52 Stat. 72, which is classified generally to subchapter I (§ 1501 et seq.) of chapter members and other personnel of county and 36 of this title. Subtitle B of the Federal Crop Insur- State committees established under section ance Act probably means subtitle B (§ 531) of title V of 590h(b) of title 16, for the purpose of fostering act Feb. 16, 1938, which is classified generally to sub- more effective and uniform application of the chapter II (§ 1531) of chapter 36 of this title. For com- payment limitations and restrictions estab- plete classification of this Act to the Code, see section lished under sections 1308 through 1308–3 of this 1501 of this title and Tables. title. Title XII of this Act, referred to in subsecs. (b)(2)(B)(i) and (c)(1)(J), is title XII of the Food Secu- (b) Training rity Act of 1985, Pub. L. 99–198, Dec. 23, 1985, 99 Stat. The education program shall provide training 1504, popularly known as the ‘‘Sodbuster Law’’, which to the personnel in the fair, accurate, and uni- is classified principally to chapter 58 (§ 3801 et seq.) of form application to individual farming oper- Title 16, Conservation. For complete classification of title XII to the Code, see Tables. ations of the provisions of law and regulation re- The Farm Security and Rural Investment Act of 2002, lating to the payment provisions of sections 1308 referred to in subsecs. (b)(2)(B)(ii) and (c)(1)(I), (J), is through 1308–3 of this title. Page 589 TITLE 7—AGRICULTURE § 1308a

(c) Administration CODIFICATION The State office of the Agricultural Stabiliza- Section was enacted as part of the Food Security Act tion and Conservation Service shall make the of 1985, and not as part of the Agricultural Adjustment initial determination concerning the application Act of 1938 which comprises this chapter. of payment limitations and restrictions estab- EFFECTIVE DATE lished under sections 1308 through 1308–3 of this Section effective beginning with 1991 crop of an agri- title to farm operations consisting of more than cultural commodity, with provision for prior crops, see 5 persons, subject to review by the Secretary. section 1171 of Pub. L. 101–624, set out as an Effective (d) Commodity Credit Corporation Date of 1990 Amendment note under section 1421 of this title. The Secretary shall carry out the program provided under this section through the Com- § 1308a. Cost reduction options modity Credit Corporation. (a) Authority of Secretary to take action (Pub. L. 99–198, title X, § 1001E, formerly § 1001D, Notwithstanding any other provision of law, as added Pub. L. 101–624, title XI, § 1111(g), Nov. whenever the Secretary of Agriculture deter- 28, 1990, 104 Stat. 3499; renumbered § 1001E, Pub. mines that an action authorized under sub- L. 107–171, title I, § 1604(1), May 13, 2002, 116 Stat. section (c), (d), or (e) of this section will reduce 215.) the total of the direct and indirect costs to the CODIFICATION Federal Government of a commodity program Section was enacted as part of the Food Security Act administered by the Secretary without ad- of 1985, and not as part of the Agricultural Adjustment versely affecting income to small- and medium- Act of 1938 which comprises this chapter. sized producers participating in such program, the Secretary shall take such action with re- PRIOR PROVISIONS spect to the commodity program involved. A prior section 1001E of Pub. L. 99–198 was renum- (b) Reservation of Secretary’s right to reopen or bered section 1001F and is classified to section 1308–5 of this title. change contracts if producer agrees In the announcement of the specific provisions EFFECTIVE DATE of any commodity program administered by the Section effective beginning with 1991 crop of an agri- Secretary of Agriculture, the Secretary shall in- cultural commodity, with provision for prior crops, see clude a statement setting forth which, if any, of section 1171 of Pub. L. 101–624, set out as an Effective the actions are to be initially included in the Date of 1990 Amendment note under section 1421 of this title. program, and a statement that the Secretary reserves the right to initiate at a later date any § 1308–5. Treatment of multiyear program con- action not previously included but authorized by tract payments this section, including the right to reopen and change a contract entered into by a producer (a) In general under the program if the producer voluntarily Notwithstanding any other provision of law, in agrees to the change. the event of a transfer of ownership of land (or (c) Purchase from other sources of commodities an ownership interest in land) by way of devise covered by nonrecourse loans or descent, the Secretary of Agriculture may, if the new owner succeeds to the prior owner’s con- When a nonrecourse loan program is in effect tract entered into under title XII,1 make pay- for a crop of a commodity, the Secretary may ments to the new owner under such contract enter the commercial market to purchase such without regard to the amount of payments re- commodity if the Secretary determines that the ceived by the new owner under any contract en- cost of such purchases plus appropriate carrying tered into under title XII 1 executed prior to charges will probably be less than the com- such devise or descent. parable cost of later acquiring the commodity through defaults on nonrecourse loans under the (b) Limitation program. Payments made pursuant to this section shall (d) Reduction in settlement price of nonrecourse not exceed the amount to which the previous loans owner was entitled to receive under the terms of the contract at the time of the death of the When the domestic market price of a commod- prior owner. ity for which a nonrecourse loan program (including the program authorized by section 1445e (Pub. L. 99–198, title X, § 1001F, formerly § 1001E, of this title) is in effect is insufficient to cover as added Pub. L. 101–624, title XI, § 1111(h), Nov. the principal and accumulated interest on a loan 28, 1990, 104 Stat. 3499; renumbered § 1001F, Pub. made under such program, thereby encouraging L. 107–171, title I, § 1604(1), May 13, 2002, 116 Stat. default by a producer, the Secretary may pro- 215.) vide for settlement of such loan and redemption REFERENCES IN TEXT by the producer of the commodity securing such Title XII, referred to in subsec. (a), is title XII of the loan for less than the total of the principal and Food Security Act of 1985, Pub. L. 99–198, Dec. 23, 1985, all interest accumulated thereon if the Sec- 99 Stat. 1504, as amended, popularly known as the ‘‘Sod- retary determines that such reduction in the buster Law’’, which is classified principally to chapter settlement price will yield benefits to the Fed- 58 (§ 3801 et seq.) of Title 16, Conservation. For complete eral Government due to— classification of title XII to the Code, see Tables. (1) receipt by the Federal Government of a portion rather than none of the accumulated 1 See References in Text note below. interest; § 1309 TITLE 7—AGRICULTURE Page 590

(2) avoidance of default; or or more of the 1982 through 1995 crops of wheat (3) elimination of storage, handling, and car- and feed grains, the Secretary of Agriculture rying charges on the forfeited commodity. may require, as a condition of eligibility for (e) Reopening of production control or loan pro- loans, purchases, and payments for such crops grams to allow for payment in kind under the Agricultural Act of 1949 [7 U.S.C. 1421 When a production control or loan program is et seq.], that producers not exceed the acreage in effect for a crop of a major agricultural com- on the farm normally planted to crops des- modity, the Secretary may at any time prior to ignated by the Secretary, adjusted as deemed harvest reopen the program to participating necessary by the Secretary to be fair and equi- producers for the purpose of accepting bids from table among producers and reduced by any set- producers for the conversion of acreage planted aside or diverted acreage. Such normal crop to such crop to diverted acres in return for pay- acreage for any crop year shall be determined as ment in kind from Commodity Credit Corpora- provided by the Secretary. The Secretary may tion surplus stocks of the commodity to which require producers participating in the program the acreage was planted, if the Secretary deter- to keep such records as the Secretary determines that (1) changes in domestic or world sup- mines necessary to assist in making such deter- ply or demand conditions have substantially mination. changed after announcement of the program for (b) Established price payments that crop, and (2) without action to further ad- Notwithstanding any other provision of law— just production, the Federal Government and (1) Whenever the Secretary, for one or more producers will be faced with a burdensome and of the 1982 through 1995 crops of wheat and costly surplus. Such payments in kind shall not feed grains, requires that producers not exceed be included within the payment limitation per the acreage on the farm normally planted to person established under section 1308 of this crops designated by the Secretary in accord- title, but shall be limited to a total $20,000 per ance with subsection (a) of this section, the year per producer for any one commodity. Secretary may increase the established price (f) Other authorities of Secretary not affected payments for any such commodity by such amount (or if there are no such payments in The authority provided in this section shall be effect for such crop by providing for payments in addition to, and not in place of, any authority in such amount) as the Secretary determines granted to the Secretary under any other provi- appropriate to compensate producers for not sion of law. exceeding the acreage on the farm normally (Pub. L. 99–198, title X, § 1009, Dec. 23, 1985, 99 planted to crops designated by the Secretary Stat. 1453; Pub. L. 101–134, § 3, Oct. 30, 1989, 103 and participation in any required set-aside Stat. 781; Pub. L. 110–234, title I, § 1603(g)(1), May with respect to such commodity. 22, 2008, 122 Stat. 1011; Pub. L. 110–246, § 4(a), title (2) In determining the amount of any pay- I, § 1603(g)(1), June 18, 2008, 122 Stat. 1664, 1739.) ments for any commodity under this subsection, the Secretary shall take into account CODIFICATION changes in the costs of production resulting Pub. L. 110–234 and Pub. L. 110–246 made identical from not exceeding the acreage on the farm amendments to this section. The amendments by Pub. normally planted to crops designated by the L. 110–234 were repealed by section 4(a) of Pub. L. 110–246. Secretary and participation in any required Section was enacted as part of the Food Security Act set-aside with respect to such commodity. of 1985, and not as part of the Agricultural Adjustment (3) If payments are provided for any com- Act of 1938 which comprises this chapter. modity under this subsection, the Secretary may provide for payments for any other com- AMENDMENTS modity in such amount as the Secretary deter- 2008—Subsec. (e). Pub. L. 110–246, § 1603(g)(1), struck mines necessary for effective operation of the out ‘‘of $50,000’’ before ‘‘per person’’ in second sentence. program. 1989—Subsec. (d). Pub. L. 101–134, in introductory pro- (4) The Secretary shall adjust any payments visions, inserted ‘‘(including the program authorized by section 1445e of this title)’’ after ‘‘nonrecourse loan pro- under this subsection to reflect, in whole or in gram’’ and substituted ‘‘benefits’’ for ‘‘savings’’ and part, any land diversion payments for the struck out concluding provisions which read as follows: commodity for which an increase is deter- ‘‘but the Secretary may not reduce the settlement mined. price to less than the principal due on the loan’’. (c) Marketing quotas in effect for 1987 through EFFECTIVE DATE OF 2008 AMENDMENT 1995 crops of wheat; reduction in normally Amendment of this section and repeal of Pub. L. planted acreage as condition prerequisite for 110–234 by Pub. L. 110–246 effective May 22, 2008, the loan, etc. date of enactment of Pub. L. 110–234, see section 4 of Notwithstanding any other provision of law, Pub. L. 110–246, set out as an Effective Date note under whenever marketing quotas are in effect for any section 8701 of this title. of the 1987 through 1995 crops of wheat, the Sec- § 1309. Normally planted acreage and target retary of Agriculture may require, as a condi- prices tion of eligibility for loans, purchases, and payments on any commodity under the Agricultural (a) Authorized planted acreage for 1982 through Act of 1949 (7 U.S.C. 1421 et seq.), that the acre- 1995 crops of wheat and feed grains as pre- age normally planted to crops designated by the requisite for loan, etc.; eligibility; determina- Secretary, adjusted as considered necessary by tions; records the Secretary to be fair and equitable among Notwithstanding any other provision of law, producers, shall be reduced by a quantity equal whenever a set-aside program is in effect for one to— Page 591 TITLE 7—AGRICULTURE § 1310

(1) the acreage that the Secretary deter- acreage normally planted to designated crops by the mines would normally be planted to wheat on acreage set-aside or diversion for the 1978 through 1981 a farm; minus crops of wheat, feed grains, upland cotton, and rice. See (2) the individual farm program acreage for Effective and Termination Dates of 1980 Amendment 1 note below. the farm under section 107B(d)(3)(A) of such Subsec. (b). Pub. L. 96–213 amended subsec. (b) gener- Act. ally, temporarily substituting provisions relating to in- (Pub. L. 95–113, title X, § 1001, Sept. 29, 1977, 91 creases of the established price as compensation to pro- Stat. 950; Pub. L. 95–279, title I, § 101, May 15, ducers for not exceeding the acreage in accordance with subsection (a) and participating in set-asides for 1978, 92 Stat. 240; Pub. L. 95–334, title V, § 501(a), 1980 and 1980 crops for provisions relating to increases Aug. 4, 1978, 92 Stat. 434; Pub. L. 96–213, § 6, Mar. of the established prices to compensate producers for 18, 1980, 94 Stat. 120; Pub. L. 97–98, title XI, § 1106, participation in set-asides for 1978 through 1981 crops. Dec. 22, 1981, 95 Stat. 1265; Pub. L. 99–198, title X, See Effective and Termination Dates of 1980 Amend- § 1014, Dec. 23, 1985, 99 Stat. 1456; Pub. L. 101–624, ment note below. title XI, § 1141, Nov. 28, 1990, 104 Stat. 3515.) Subsec. (c). Pub. L. 96–213, in amending section generally, temporarily added subsec. (c). See Effective and REFERENCES IN TEXT Termination Dates of 1980 Amendment note below. 1978—Subsec. (b). Pub. L. 95–334 added applicability to The Agricultural Act of 1949, referred to in subsecs. rice. (a) and (c), is act Oct. 31, 1949, ch. 792, 63 Stat. 1051, as Pub. L. 95–279 designated existing provisions as sub- amended, which is classified principally to chapter 35A sec. (a) and added subsec. (b). (§ 1421 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out EFFECTIVE DATE OF 1990 AMENDMENT under section 1421 of this title and Tables. Section 107B(d)(3)(A) of such Act, referred to in sub- Amendment by Pub. L. 101–624 effective beginning sec. (c)(2), is section 107B(d)(3)(A) of the Agricultural with 1991 crop of an agricultural commodity, with pro- Act of 1949, which was classified to section vision for prior crops, see section 1171 of Pub. L. 101–624, 1445b–3a(d)(3)(A) of this title prior to repeal by Pub. L. set out as a note under section 1421 of this title. 104–127, title I, § 171(b)(2)(D), Apr. 4, 1996, 110 Stat. 938. EFFECTIVE DATE OF 1981 AMENDMENT CODIFICATION Amendment by Pub. L. 97–98 effective Dec. 22, 1981, Section was enacted as part of the Food and Agri- see section 1801 of Pub. L. 97–98, set out as an Effective culture Act of 1977, and not as part of the Agricultural Date note under section 4301 of this title. Adjustment Act of 1938 which comprises this chapter. EFFECTIVE AND TERMINATION DATES OF 1980 AMENDMENT AMENDMENTS Pub. L. 96–213, § 6, Mar. 18, 1980, 94 Stat. 120, provided 1990—Subsecs. (a), (b)(1), (c). Pub. L. 101–624, § 1141(1), that the amendment made by that section is effective substituted ‘‘1995’’ for ‘‘1990’’. for the 1980 and 1981 crops. Subsec. (c)(2). Pub. L. 101–624, § 1141(2), substituted ‘‘section 107B(d)(3)(A)’’ for ‘‘section 107D(d)(3)(A)’’. EFFECTIVE DATE OF 1978 AMENDMENTS 1985—Subsecs. (a), (b)(1). Pub. L. 99–198 substituted ‘‘1982 through 1990’’ for ‘‘1982 through 1985’’. Pub. L. 95–334, title V, § 501(b), Aug. 4, 1978, 92 Stat. Subsec. (c). Pub. L. 99–198 added subsec. (c). 434, provided that: ‘‘This section [amending this sec- 1981—Subsec. (a). Pub. L. 97–98 substituted provision tion] shall become effective October 1, 1978, and any authorizing the Secretary, whenever a set-aside pro- producers who, prior to such date, receive payments on gram is in effect for one or more of the 1982 through the 1978 crop of rice as computed under the Agricul- 1985 crops of wheat and feed grains, to require as a con- tural Act of 1949 [see Short Title note set out under dition of eligibility for loans, purchases, and payments section 1421 of this title], as amended by the Food and for such crops that the producers not exceed the acre- Agriculture Act of 1977 [see Short Title of 1977 Amend- age on the farm normally planted to crops designated ment note set out under section 1281 of this title], may by the Secretary and permitting the Secretary to re- elect after September 30, 1978, to receive payments as quire producers participating in the program to keep computed under section 1001(b) of the Food and Agri- records necessary to assist the Secretary in determin- culture Act of 1977, as amended by this section.’’ ing normal crop acreage for any crop year for provision Pub. L. 95–279, title I, § 103, May 15, 1978, 92 Stat. 241, authorizing the Secretary, effective for one or more of provided that: ‘‘Sections 101 and 102 [amending this sec- the 1980 and 1981 crops of wheat, feed grains, upland tion and section 1444 of this title] of this title shall be- cotton, and rice, to require as a condition of eligibility come effective October 1, 1978, and any producers who, for loans, purchases, and payments that the producers prior to such date, receive loans and payments on the not exceed the acreage on the farm normally planted to 1978 crop of the commodity as computed under the Ag- crops designated by the Secretary. ricultural Act of 1949 [see Short Title note set out Subsec. (b). Pub. L. 97–98 substituted provision relat- under section 1421 of this title], as amended by the ing to established price increase for one or more of the Food and Agriculture Act of 1977 [see Short Title of 1982 through 1985 crops of wheat and feed grains for pro- 1977 Amendment note set out under section 1281 of this vision relating to established price increase for one or title] may elect after September 30, 1978, to receive more of the 1980 and 1981 crops of wheat, feed grains, loans and payments as computed under this title.’’ upland cotton, and rice. EFFECTIVE DATE Subsec. (c). Pub. L. 97–98 struck out subsec. (c) which related to loans, purchases, and payments for producers Section effective Oct. 1, 1977, see section 1901 of Pub. of the 1980 crop of any commodity who exceeded the au- L. 95–113, set out as an Effective Date of 1977 Amend- thorized acreage. ment note under section 1307 of this title. 1980—Subsec. (a). Pub. L. 96–213 amended subsec. (a) generally, temporarily substituting provisions relating § 1310. American agriculture protection program to requiring producers not to exceed the acreage on the (a) Determination of short supply; suspension of farm normally planted to designated crops, as reduced, for the 1980 and 1981 crops of wheat, feed grains, upland commercial export sales; parity price cotton, and rice, for provisions relating to reduction of Notwithstanding any other provision of law, whenever the President or any other member of 1 See References in Text note below. the executive branch of the Federal Government § 1310a TITLE 7—AGRICULTURE Page 592 causes to be suspended, based upon a determina- AMENDMENTS tion of short supply, the commercial export 1990—Pub. L. 101–624 substituted ‘‘1995’’ for ‘‘1990’’. sales of any commodity, as defined in subsection (c) of this section, to any country or area with EFFECTIVE DATE OF 1990 AMENDMENT which the United States otherwise continues Amendment by Pub. L. 101–624 effective beginning commercial trade, the Secretary of Agriculture with 1991 crop of an agricultural commodity, with pro- shall, on the day the suspension is initiated, set vision for prior crops, see section 1171 of Pub. L. 101–624, the loan level for such commodity under the Ag- set out as a note under section 1421 of this title. ricultural Act of 1949, as amended [7 U.S.C. 1421 PART B—MARKETING QUOTAS et seq.], if a loan program is in effect for the commodity, at 90 per centum of the parity price SUBPART I—MARKETING QUOTAS—TOBACCO for the commodity, as such parity price is determined on the day the suspension is initiated. §§ 1311 to 1314–1. Repealed. Pub. L. 108–357, title (b) Duration of loan level VI, § 611(a), Oct. 22, 2004, 118 Stat. 1522 Any loan level established pursuant to sub- Section 1311, act Feb. 16, 1938, ch. 30, title III, § 311, 52 section (a) of this section shall remain in effect Stat. 45, set forth legislative findings. as long as the suspension of commercial export Section 1312, acts Feb. 16, 1938, ch. 30, title III, § 312, sales described in subsection (a) of this section 52 Stat. 46; Mar. 26, 1938, ch. 54, 52 Stat. 120; Aug. 7, 1939, ch. 562, 563, 53 Stat. 1261; June 13, 1940, ch. 360, §§ 2, 3, 54 remains in effect. Stat. 392; Nov. 22, 1940, ch. 914, §§ 2, 5, 54 Stat. 1209, 1210; (c) ‘‘Commodity’’ defined Feb. 28, 1942, ch. 123, 56 Stat. 121; July 3, 1948, ch. 827, For purposes of this section, the term ‘‘com- title II, § 208, 62 Stat. 1257; Aug. 9, 1955, ch. 639, 69 Stat. modity’’ shall include any of the following: 557; June 22, 1956, ch. 427, 70 Stat. 330; Pub. L. 99–272, wheat, corn, grain sorghum, soybeans, oats, rye, title I, § 1104(a), Apr. 7, 1986, 100 Stat. 89, related to national tobacco marketing quotas. barley, rice, flaxseed, and cotton. Section 1313, acts Feb. 16, 1938, ch. 30, title III, § 313, (Pub. L. 95–113, title X, § 1002, Sept. 29, 1977, 91 52 Stat. 47; Apr. 7, 1938, ch. 107, § 5, 52 Stat. 202; May 31, Stat. 950.) 1938, ch. 292, § 2, 52 Stat. 586; Aug. 7, 1939, ch. 564, 53 Stat. 1261; June 13, 1940, ch. 360, § 4, 54 Stat. 392; Feb. 6, REFERENCES IN TEXT 1942, ch. 44, § 1, 56 Stat. 51; Apr. 29, 1943, ch. 80, 57 Stat. The Agricultural Act of 1949, referred to in subsec. 69; Oct. 17, 1951, ch. 511, 65 Stat. 422; Mar. 31, 1955, ch. (a), is act Oct. 31, 1949, ch. 792, 63 Stat. 1051, as amend- 21, §§ 3, 4, 69 Stat. 24; Aug. 11, 1955, ch. 789, 69 Stat. 670; ed, which is classified principally to chapter 35A (§ 1421 Aug. 11, 1955, ch. 799, 69 Stat. 684; Pub. L. 85–489, § 1, et seq.) of this title. For complete classification of this July 2, 1958, 72 Stat. 291; Feb. 16, 1938, ch. 30, title III, Act to the Code, see Short Title note set out under sec- § 378(d), as added Pub. L. 85–835, title V, § 501, Aug. 28, tion 1421 of this title and Tables. 1958, 72 Stat. 995; Pub. L. 89–12, § 2, Apr. 16, 1965, 79 Stat. 72; Pub. L. 90–106, Oct. 12, 1967, 81 Stat. 275, related to CODIFICATION apportionment of national marketing quotas. Section was enacted as part of the Food and Agri- Section 1314, acts Feb. 16, 1938, ch. 30, title III, § 314, culture Act of 1977, and not as part of the Agricultural 52 Stat. 48; Aug. 7, 1939, ch. 565, 53 Stat. 1262; June 13, Adjustment Act of 1938 which comprises this chapter. 1940, ch. 360, § 5, 54 Stat. 393; Feb. 19, 1946, ch. 31, § 2, 60 Stat. 21; June 22, 1954, ch. 339, 68 Stat. 270; Mar. 31, 1955, EFFECTIVE DATE ch. 21, § 5, 69 Stat. 24; Pub. L. 97–218, title I, § 103, title Section effective Oct. 1, 1977, see section 1901 of Pub. II, § 206(a), July 20, 1982, 96 Stat. 201, 206, related to pen- L. 95–113, set out as an Effective Date of 1977 Amend- alties for marketing of tobacco which is in excess of ment note under section 1307 of this title. quotas or not eligible for price supports. Section 1314–1, act Feb. 16, 1938, ch. 30, title III, § 314A, § 1310a. Normal supply of commodity for 1986 as added Pub. L. 97–218, title III, § 306, July 20, 1982, 96 through 1995 crops Stat. 215, related to limitation on sale of tobacco floor sweepings. Notwithstanding any other provision of law, if the Secretary of Agriculture determines that EFFECTIVE DATE OF REPEAL the supply of wheat, corn, upland cotton, or rice Repeal applicable to the 2005 and subsequent crops of for the marketing year for any of the 1986 tobacco, see section 643 of Pub. L. 108–357, set out as an through 1995 crops of such commodity is not Effective Date note under section 518 of this title. likely to be excessive and that program meas- SAVINGS PROVISION ures to reduce or control the planted acreage of the crop are not necessary, such a decision shall Repeal not to affect the liability of any person under constitute a determination that the total supply this subpart with respect to the 2004 or an earlier crop of the commodity does not exceed the normal of tobacco, see section 614 of Pub. L. 108–357, set out as a note under section 515 of this title. supply and no determination to the contrary shall be made by the Secretary with respect to § 1314a. Repealed. Pub. L. 90–51, § 2, July 7, 1967, such commodity for such marketing year. 81 Stat. 121 (Pub. L. 99–198, title X, § 1019, Dec. 23, 1985, 99 Section, act Feb. 16, 1938, ch. 30, title III, § 315, as Stat. 1459; Pub. L. 101–624, title XI, § 1142, Nov. added Aug. 21, 1958, Pub. L. 85–705, 72 Stat. 703, provided 28, 1990, 104 Stat. 3515.) for a referendum among producers of type 21 (Virginia) fire-cured tobacco and type 37 Virginia sun-cured to- CODIFICATION bacco on the question of a single combined tobacco Section was enacted as part of the Food Security Act acreage allotment and provided for establishment and of 1985, and not as part of the Agricultural Adjustment subsequent increases and decreases in allotments. Act of 1938 which comprises this chapter. §§ 1314b to 1314j. Repealed. Pub. L. 108–357, title PRIOR PROVISIONS VI, § 611(a), Oct. 22, 2004, 118 Stat. 1522 A prior section 1310a, Pub. L. 97–98, title XI, § 1107, Dec. 22, 1981, 95 Stat. 1266, provided for a normal supply Section 1314b, act Feb. 16, 1938, ch. 30, title III, § 316, of commodities for the 1982 through 1985 crops. as added Pub. L. 87–200, Sept. 6, 1961, 75 Stat. 469; Page 593 TITLE 7—AGRICULTURE § 1316 amended Pub. L. 87–530, July 10, 1962, 76 Stat. 151; Pub. Section 1314g, act Feb. 16, 1938, ch. 30, title III, § 320A, L. 87–824, Oct. 15, 1962, 76 Stat. 947; Pub. L. 88–68, July as added Pub. L. 99–272, title I, § 1103(d), Apr. 7, 1986, 100 19, 1963, 77 Stat. 81; Pub. L. 88–80, July 30, 1963, 77 Stat. Stat. 88, related to submission of purchase intentions 114; Pub. L. 88–469, §§ 1, 2, Aug. 20, 1964, 78 Stat. 581; Pub. by cigarette manufacturers. L. 89–29, May 27, 1965, 79 Stat. 118; Pub. L. 89–321, title Section 1314h, act Feb. 16, 1938, ch. 30, title III, § 320B, VII, § 703, Nov. 3, 1965, 79 Stat. 1210; Pub. L. 89–471, June as added Pub. L. 99–272, title I, § 1106(a), Apr. 7, 1986, 100 24, 1966, 80 Stat. 220; Pub. L. 90–6, Mar. 29, 1967, 81 Stat. Stat. 90; amended Pub. L. 108–357, title VI, § 613, Oct. 22, 6; Pub. L. 90–52, July 7, 1967, 81 Stat. 121; Pub. L. 90–559, 2004, 118 Stat. 1524, related to purchase requirements § 1(1), Oct. 11, 1968, 82 Stat. 996; Pub. L. 91–284, §§ 1–4, and penalty for failure to meet them. June 19, 1970, 84 Stat. 314; Pub. L. 92–311, June 6, 1972, Section 1314i, act Feb. 16, 1938, ch. 30, title III, § 320C, 86 Stat. 215; Pub. L. 93–80, Aug. 1, 1973, 87 Stat. 178; Pub. as added Pub. L. 103–66, title I, § 1106(a), Aug. 10, 1993, L. 93–464, Oct. 24, 1974, 88 Stat. 1416; Pub. L. 94–445, Oct. 107 Stat. 318; amended Pub. L. 103–465, title IV, § 422(a), 1, 1976, 90 Stat. 1489; Pub. L. 95–54, June 25, 1977, 91 Stat. Dec. 8, 1994, 108 Stat. 4964, related to quantity of to- 250; Pub. L. 97–218, title II, § 201, July 20, 1982, 96 Stat. bacco grown in the United States that is required to be 201; Pub. L. 98–180, title II, §§ 205(a), 206, Nov. 29, 1983, 97 used by a cigarette manufacturer. Stat. 1145, 1147; Pub. L. 100–203, title I, § 1112(a), Dec. 22, Section 1314j, act Feb. 16, 1938, ch. 30, title III, § 320D, 1987, 101 Stat. 1330–7; Pub. L. 101–134, § 2(b), Oct. 30, 1989, as added Pub. L. 106–47, § 1, Aug. 13, 1999, 113 Stat. 228, 103 Stat. 781; Pub. L. 106–78, title VIII, § 803(c)(6)(A), (B), and Pub. L. 106–78, title VII, § 755(b), Oct. 22, 1999, 113 Oct. 22, 1999, 113 Stat. 1177, 1178; Pub. L. 107–171, title I, Stat. 1170; amended Pub. L. 106–113, div. B, § 1000(a)(5) § 1611(a), May 13, 2002, 116 Stat. 218, related to lease or [title II, § 211], Nov. 29, 1999, 113 Stat. 1536, 1501A–295, re- sale of acreage allotments. lated to release of tobacco production and marketing Section 1314b–1, act Feb. 16, 1938, ch. 30, title III, information. § 316A, as added Pub. L. 97–218, title II, § 202, July 20, 1982, 96 Stat. 205; amended Pub. L. 98–180, title II, EFFECTIVE DATE OF REPEAL § 207(a), Nov. 29, 1983, 97 Stat. 1148, related to mandatory Repeal applicable to the 2005 and subsequent crops of sale of certain Flue-cured tobacco acreage allotments tobacco, see section 643 of Pub. L. 108–357, set out as an and marketing quotas. Effective Date note under section 518 of this title. Section 1314b–2, act Feb. 16, 1938, ch. 30, title III, § 316B, as added Pub. L. 97–218, title III, § 302, July 20, SAVINGS PROVISION 1982, 96 Stat. 210; amended Pub. L. 98–180, title II, Repeal not to affect the liability of any person under § 207(b), Nov. 29, 1983, 97 Stat. 1148, related to mandatory this subpart with respect to the 2004 or an earlier crop sale of certain Burley tobacco acreage allotments and of tobacco, see section 614 of Pub. L. 108–357, set out as marketing quotas. a note under section 515 of this title. Section 1314c, act Feb. 16, 1938, ch. 30, title III, § 317, as added Pub. L. 89–12, § 1, Apr. 16, 1965, 79 Stat. 66; TOBACCO DEFINITION AND INCREASE OF MARKETING amended Pub. L. 91–284, § 5, June 19, 1970, 84 Stat. 314; QUOTAS AND ACREAGE ALLOTMENTS TO MEET DE- Pub. L. 97–218, title II, §§ 203, 205(a), 206(b), July 20, 1982, MAND UNAFFECTED BY ACREAGE-POUNDAGE MARKET- 96 Stat. 205–207; Pub. L. 98–180, title II, §§ 205(b), 208–210, ING QUOTAS AND PRICE SUPPORT PROVISIONS Nov. 29, 1983, 97 Stat. 1147–1149; Pub. L. 99–182, § 4, Dec. Pub. L. 89–12, § 4, Apr. 16, 1965, 79 Stat. 72, which pro- 13, 1985, 99 Stat. 1173; Pub. L. 99–241, § 1, Jan. 30, 1986, 100 vided that nothing in the Act could be construed as af- Stat. 3; Pub. L. 99–272, title I, §§ 1103(b), 1104(c), fecting the authority or responsibility of the Secretary 1105(a)(1), Apr. 7, 1986, 100 Stat. 86, 89, 90; Pub. L. of Agriculture under former sections 1301(b)(15) or 100–203, title I, § 1112(b), Dec. 22, 1987, 101 Stat. 1330–8; 1313(i) of this title with respect to providing that dif- Pub. L. 101–134, § 2(a)(2), Oct. 30, 1989, 103 Stat. 781; Pub. ferent types of tobacco were to be treated as different L. 103–66, title I, § 1106(d)(2), Aug. 10, 1993, 107 Stat. 323; kinds of tobacco, or with respect to increasing allot- Pub. L. 103–437, § 4(a)(5), Nov. 2, 1994, 108 Stat. 4581, re- ments or quotas for farms producing certain types of lated to acreage-poundage quotas. tobacco, was repealed by Pub. L. 108–357, title VI, Section 1314d, act Feb. 16, 1938, ch. 30, title III, § 318, §§ 611(n), 643, Oct. 22, 2004, 118 Stat. 1523, 1536, applicable as added Pub. L. 90–51, § 1, July 7, 1967, 81 Stat. 120; to the 2005 and subsequent crops of tobacco. amended Pub. L. 90–387, July 5, 1968, 82 Stat. 293; Pub. L. 92–144, Oct. 23, 1971, 85 Stat. 393; Pub. L. 98–180, title § 1315. Repealed. Pub. L. 108–357, title VI, II, § 212(a), Nov. 29, 1983, 97 Stat. 1149; Pub. L. 102–566, § 1, § 611(o), Oct. 22, 2004, 118 Stat. 1523 Oct. 28, 1992, 106 Stat. 4269; Pub. L. 106–224, title II, § 204(b)(8), June 20, 2000, 114 Stat. 402, related to trans- Section, acts July 12, 1952, ch. 709, 66 Stat. 597; Mar. fers involving fire-cured, dark air-cured, and Virginia 31, 1955, ch. 21, § 2, 69 Stat. 24, related to additional Bur- sun-cured tobacco. ley tobacco acreage allotments. Section 1314e, act Feb. 16, 1938, ch. 30, title III, § 319, as added Pub. L. 92–10, § 1, Apr. 14, 1971, 85 Stat. 23; EFFECTIVE DATE OF REPEAL amended Pub. L. 97–218, title III, § 303(b)–(j), July 20, Repeal applicable to the 2005 and subsequent crops of 1982, 96 Stat. 211–214; Pub. L. 98–59, § 2, July 25, 1983, 97 tobacco, see section 643 of Pub. L. 108–357, set out as an Stat. 296; Pub. L. 98–180, title II, § 211, Nov. 29, 1983, 97 Effective Date note under section 518 of this title. Stat. 1149; Pub. L. 99–241, § 2, Jan. 30, 1986, 100 Stat. 3; Pub. L. 99–272, title I, §§ 1103(c), 1104(b), (d), 1105(a)(2), SAVINGS PROVISION 1107, Apr. 7, 1986, 100 Stat. 86, 89–91; Pub. L. 100–387, title Repeal not to affect the liability of any person under III, § 304(a)(1), Aug. 11, 1988, 102 Stat. 948; Pub. L. 101–134, this section with respect to the 2004 or an earlier crop § 2(a)(1), Oct. 30, 1989, 103 Stat. 781; Pub. L. 101–577, § 2(a), of tobacco, see section 614 of Pub. L. 108–357, set out as (b), (d), (e), Nov. 15, 1990, 104 Stat. 2856, 2857; Pub. L. a note under section 515 of this title. 102–237, title I, § 116(1), Dec. 13, 1991, 105 Stat. 1840; Pub. L. 103–66, title I, § 1106(d)(1), Aug. 10, 1993, 107 Stat. 323; § 1316. Repealed. Pub. L. 108–357, title VI, Pub. L. 106–78, title VII, § 755(a), Oct. 22, 1999, 113 Stat. § 611(p), Oct. 22, 2004, 118 Stat. 1523 1170; Pub. L. 106–224, title II, § 204(b)(9)–(12), June 20, 2000, 114 Stat. 403; Pub. L. 108–7, div. A, title VII, Section, Pub. L. 89–321, title VII, § 703, Nov. 3, 1965, 79 § 765(a), Feb. 20, 2003, 117 Stat. 47, related to farm pound- Stat. 1210; Pub. L. 91–284, § 6, June 19, 1970, 84 Stat. 314; age quotas for certain kinds of tobacco. Pub. L. 97–218, title II, § 205(b), July 20, 1982, 96 Stat. 206, Section 1314f, act Feb. 16, 1938, ch. 30, title III, § 320, related to transfer of allotments subsequent to 1965. as added Pub. L. 93–411, Sept. 3, 1974, 88 Stat. 1089; EFFECTIVE DATE OF REPEAL amended Pub. L. 95–592, § 17, Nov. 4, 1978, 92 Stat. 2534; Pub. L. 97–98, title XI, § 1108, Dec. 22, 1981, 95 Stat. 1266; Repeal applicable to the 2005 and subsequent crops of Pub. L. 97–218, title II, § 204, July 20, 1982, 96 Stat. 206, tobacco, see section 643 of Pub. L. 108–357, set out as an related to nonquota tobacco subject to quota. Effective Date note under section 518 of this title. § 1321 TITLE 7—AGRICULTURE Page 594

SAVINGS PROVISION corn marketed as corn which is transported Repeal not to affect the liability of any person under from the regions where produced to the regions this section with respect to the 2004 or an earlier crop where livestock is fattened for market in inter- of tobacco, see section 614 of Pub. L. 108–357, set out as state and foreign commerce. a note under section 515 of this title. Substantially all the corn moving in interstate commerce, substantially all the corn fed SUBPART II—ACREAGE ALLOTMENTS—CORN to livestock transported in interstate commerce AMENDMENTS for fattening, and substantially all the corn fed to livestock marketed in interstate and foreign 1954—Act Aug. 28, 1954, ch. 1041, title III, § 303, 68 Stat. 902, substituted ‘‘Acreage Allotments—Corn’’ for ‘‘Mar- commerce, is produced in the commercial corn- keting Quotas—Corn’’ in subpart II heading. producing area. Substantially all the corn produced in the commercial corn-producing area, § 1321. Legislative finding of effect on interstate with the exception of a comparatively small and foreign commerce and necessity of regu- amount used for farm consumption, is either lation sold or transported in interstate commerce, or is fed to livestock transported in interstate com- Corn is a basic source of food for the Nation, merce for feeding, or is fed to livestock mar- and corn produced in the commercial corn-pro- keted in interstate and foreign commerce. Al- ducing area moves almost wholly in interstate most all the corn produced outside the commer- and foreign commerce in the form of corn, live- cial corn-producing area is either consumed, or stock, and livestock products. is fed to livestock which is consumed, in the Abnormally excessive and abnormally defi- State in which such corn is produced. cient supplies of corn acutely and directly af- The conditions affecting the production and fect, burden, and obstruct interstate and foreign marketing of corn and the livestock products of commerce in corn, livestock, and livestock prod- corn are such that, without Federal assistance, ucts. When abnormally excessive supplies exist, farmers, individually or in cooperation, cannot transportation facilities in interstate and for- effectively prevent the recurrence of disparities eign commerce are overtaxed, and the handling between the supplies of livestock moving in and processing facilities through which the flow interstate and foreign commerce and the supply of interstate and foreign commerce in corn, live- of corn available for feeding, and provide for or- stock, and livestock products is directed become derly marketing of corn in interstate and for- acutely congested. Abnormally deficient sup- eign commerce and livestock and livestock plies result in substantial decreases in livestock products in interstate and foreign commerce. production and in an inadequate flow of live- The national public interest requires that the stock and livestock products in interstate and burdens on interstate and foreign commerce foreign commerce, with the consequence of un- above described be removed by the exercise of reasonably high prices to consumers. Federal power. By reason of the administrative Violent fluctuations from year to year in the and physical impracticability of regulating the available supply of corn disrupt the balance be- movement of livestock and livestock products in tween the supply of livestock and livestock interstate and foreign commerce and the inad- products moving in interstate and foreign com- equacy of any such regulation to remove such merce and the supply of corn available for feed- burdens, such power can be feasibly exercised ing. When available supplies of corn are exces- only by providing for the withholding from mar- sive, corn prices are low and farmers overexpand ket of excessive and burdensome supplies of corn livestock production in order to find outlets for in times of excessive production, and providing corn. Such expansion, together with the relative a reserve supply of corn available for market in scarcity and high price of corn, forces farmers to times of deficient production, in order that a market abnormally excessive supplies of live- stable and continuous flow of livestock and livestock in interstate commerce at sacrifice prices, stock products in interstate and foreign com- endangering the financial stability of producers, merce may at all times be assured and main- and overtaxing handling and processing facili- tained. ties through which the flow of interstate and foreign commerce in livestock and livestock (Feb. 16, 1938, ch. 30, title III, § 321, 52 Stat. 48.) products is directed. Such excessive marketings deplete livestock on farms, and livestock mar- INAPPLICABILITY OF SECTION keted in interstate and foreign commerce con- Section inapplicable to 2002 through 2007 crops of cov- sequently becomes abnormally low, with result- ered commodities, peanuts, and sugar and inapplicable ant high prices to consumers and danger to the to milk during period beginning May 13, 2002, through financial stability of persons engaged in trans- Dec. 31, 2007, see section 7992(a)(1) of this title. porting, handling, and processing livestock in Section inapplicable to 1996 through 2001 crops of loan interstate and foreign commerce. These high commodities, peanuts, and sugar and inapplicable to prices in turn result in another overexpansion of milk during period beginning Apr. 4, 1996, and ending livestock production. Dec. 31, 2002, see section 7301(a)(1)(A) of this title. Recurring violent fluctuations in the price of corn resulting from corresponding violent fluc- § 1322. Repealed. Aug. 28, 1954, ch. 1041, title III, tuations in the supply of corn directly affect the § 304, 68 Stat. 902 movement of livestock in interstate commerce Section, acts Feb. 16, 1938, ch. 30, title III, § 322, 52 from the range cattle regions to the regions Stat. 49; July 3, 1948, ch. 827, title II, § 203, 62 Stat. 1255; where livestock is fattened for market in inter- Oct. 31, 1949, ch. 792, title IV, § 409(e), 63 Stat. 1057, re- state and foreign commerce, and also directly lated to establishment, referendum, and suspension of affect the movement in interstate commerce of farm marketing quotas. Page 595 TITLE 7—AGRICULTURE § 1331

§ 1322a. Repealed. July 3, 1948, ch. 827, title II, §§ 1327 to 1329. Omitted

§ 203(b), 62 Stat. 1256 CODIFICATION Section, act July 26, 1939, ch. 378, 53 Stat. 1125, related Sections provided for establishment of a commercial to time for proclamation of referendum. corn-producing area and corn acreage allotments, which were discontinued. See sections 1329a, 1444a, and EFFECTIVE DATE OF REPEAL 1444b of this title. Section 1327, acts Feb. 16, 1938, ch. 30, title III, § 327, Repeal effective Jan. 1, 1950, see section 303 of act 52 Stat. 51; Aug. 28, 1954, ch. 1041, title III, § 304, 68 Stat. July 3, 1948, set out as a note under section 1301 of this 903, provided for proclamation of commercial corn-pro- title. ducing area not later than February 1 of each year. Section 1328, acts Feb. 16, 1938, ch. 30, title III, § 328, §§ 1323 to 1325. Repealed. Aug. 28, 1954, ch. 1041, 52 Stat. 52; Apr. 7, 1938, ch. 107, § 6, 52 Stat. 202; July 3, title III, § 304, 68 Stat. 902 1948, ch. 827, title II, § 207(a), 62 Stat. 1257; Oct. 31, 1949, ch. 792, title IV, § 409(f), 63 Stat. 1057; Aug. 28, 1954, ch. Section 1323, act Feb. 16, 1938, ch. 30, title III, § 323, 52 1041, title III, § 305, 68 Stat. 903, provided for establish- Stat. 50, related to amount of farm marketing quota ment of acreage allotment of corn for each calendar with respect to corn. year and proclamation of such acreage allotment not Section 1324, act Feb. 16, 1938, ch. 30, title III, § 324, 52 later than February 1 of each year. Stat. 50, related to storage amounts. Section 1329, acts Feb. 16, 1938, ch. 30, title III, § 329, Section 1325, act Feb. 16, 1938, ch. 30, title III, § 325, 52 52 Stat. 52; Aug. 28, 1954, ch. 1041, title III, § 306, 68 Stat. Stat. 51, related to penalties for marketing corn in ex- 903, provided for apportionment of acreage allotment cess of quota. for corn.

§ 1326. Adjustment of farm marketing quotas § 1329a. Discontinuance of acreage allotments on corn (a) Whenever in any county or other area the Secretary finds that the actual production of Notwithstanding any other provision of law, corn plus the amount of corn stored under seal acreage allotments and a commercial corn-pro- in such county or other area is less than the ducing area shall not be established for the 1959 normal production of the marketing percentage and subsequent crops of corn. of the farm acreage allotments in such county (Feb. 16, 1938, ch. 30, title III, § 330, as added Oct. or other area, the Secretary shall terminate 31, 1949, ch. 792, title I, § 104(b)(1), as added Pub. farm marketing quotas for corn in such county L. 85–835, title II, § 201, Aug. 28, 1958, 72 Stat. 994.) or other area. INAPPLICABILITY OF SECTION (b) Whenever, upon any farm, the actual production of the acreage of corn is less than the Section inapplicable to 2002 through 2007 crops of cov- normal production of the marketing percentage ered commodities, peanuts, and sugar and inapplicable of the farm acreage allotment, there may be to milk during period beginning May 13, 2002, through Dec. 31, 2007, see section 7992(a)(1) of this title. marketed, without penalty, from such farm an Section inapplicable to 1996 through 2001 crops of loan amount of corn from the corn stored under seal commodities, peanuts, and sugar and inapplicable to pursuant to section 1324 of this title which, to- milk during period beginning Apr. 4, 1996, and ending gether with the actual production of the then Dec. 31, 2002, see section 7301(a)(1)(A) of this title. current crop, will equal the normal production 1958 REFERENDUM FOR SELECTION OF ALTERNATIVE of the marketing percentage of the farm acreage CORN PROGRAM; OPERATIVE STATUS OF CERTAIN PRO- allotment. VISIONS (c) Whenever, in any marketing year, market- Corn producers voted for adoption of price support ing quotas are not in effect with respect to the program as provided in section 1444a(b) of this title crop of corn produced in the calendar year in (254,262) rather than alternative corn acreage allotment which such marketing year begins, all market- and price support program (102,907), the ballot making ing quotas applicable to previous crops of corn operative sections 1329a and 1444b and repeal of section shall be terminated. 1441(d)(4) of this title. (Feb. 16, 1938, ch. 30, title III, § 326, 52 Stat. 51.) § 1330. Omitted

CODIFICATION REFERENCES IN TEXT Section, acts May 26, 1941, ch. 133, 55 Stat. 203; Dec. Section 1324 of this title, referred to in subsec. (b), 26, 1941, ch. 626, § 2, 55 Stat. 860; Dec. 26, 1941, ch. 636, 55 was repealed by act Aug. 28, 1954, ch. 1041, title III, § 304, Stat. 872; Aug. 29, 1949, ch. 518, § 3(b), 63 Stat. 676; July 68 Stat. 902. 14, 1953, ch. 194, § 3, 67 Stat. 151; Aug. 28, 1954, ch. 1041, title III, § 313, 68 Stat. 905, initially contained supple- INAPPLICABILITY OF SECTION mental provisions relating to wheat and corn market- Section inapplicable to 2002 through 2007 crops of cov- ing quotas; marketing penalty for cotton and rice; crop ered commodities, peanuts, and sugar and inapplicable loans on cotton, corn, wheat, rice, tobacco, and pea- to milk during period beginning May 13, 2002, through nuts, but was amended generally in 1954 to make it in- Dec. 31, 2007, see section 7992(a)(1) of this title. applicable to corn. See section 1340 of this title. Section inapplicable to 1996 through 2001 crops of loan Section was not enacted as part of the Agricultural commodities, peanuts, and sugar and inapplicable to Adjustment Act of 1938 which comprises this chapter. milk during period beginning Apr. 4, 1996, and ending Dec. 31, 2002, see section 7301(a)(1)(A) of this title. SUBPART III—MARKETING QUOTAS—WHEAT § 1331. Legislative finding of effect on interstate REPEALS and foreign commerce and necessity of regu- Act Aug. 28, 1954, ch. 1041, title III, § 304, 68 Stat. 902, lation repealed this section insofar as it is applicable to corn. Section has been made applicable to wheat by sections Wheat is a basic source of food for the Nation, 1330(6) and 1340(6) of this title. is produced throughout the United States by § 1331 TITLE 7—AGRICULTURE Page 596 more than a million farmers, is sold on the of a commodity could create a sufficient surplus country-wide market and, as wheat or flour, to affect seriously the price of such commodity flows almost entirely through instrumentalities in interstate and foreign commerce. Large of interstate and foreign commerce from produc- changes in the supply of such commodity could ers to consumers. have a more acute effect on the price of the Abnormally excessive and abnormally defi- commodity in interstate and foreign commerce cient supplies of wheat on the country-wide and, also, could overtax the handling, process- market acutely and directly affect, burden, and ing, and transportation facilities through which obstruct interstate and foreign commerce. Ab- the flow of interstate and foreign commerce in normally excessive supplies overtax the facili- such commodity is directed. Such adverse ef- ties of interstate and foreign transportation, fects caused by overproduction in one year could congest terminal markets and milling centers in further result in a deficient supply of the com- the flow of wheat from producers to consumers, modity in the succeeding year, causing excessive depress the price of wheat in interstate and for- increases in the price of the commodity in inter- eign commerce, and otherwise disrupt the or- state and foreign commerce in such year. It is, derly marketing of such commodity in such therefore, necessary to prevent acreage diverted commerce. Abnormally deficient supplies result from the production of wheat to be used to in an inadequate flow of wheat and its products produce commodities which are in surplus sup- in interstate and foreign commerce with con- ply or which will be in surplus supply if they are sequent injurious effects to the instrumental- permitted to be grown on the diverted acreage. ities of such commerce and with excessive in- The provisions of this subpart affording a co- creases in the prices of wheat and its products in operative plan to wheat producers are necessary interstate and foreign commerce. in order to minimize recurring surpluses and It is in the interest of the general welfare that shortages of wheat in interstate and foreign interstate and foreign commerce in wheat and commerce, to provide for the maintenance of its products be protected from such burdensome adequate reserve supplies thereof, to provide for surpluses and distressing shortages, and that a an adequate and orderly flow of wheat and its supply of wheat be maintained which is ade- products in interstate and foreign commerce at quate to meet domestic consumption and export prices which are fair and reasonable to farmers requirements in years of drought, flood, and and consumers, and to prevent acreage diverted other adverse conditions as well as in years of from the production of wheat from adversely af- plenty, and that the soil resources of the Nation fecting other commodities in interstate and for- be not wasted in the production of such burden- eign commerce. some surpluses. Such surpluses result in disas- trously low prices of wheat and other grains to (Feb. 16, 1938, ch. 30, title III, § 331, 52 Stat. 52; wheat producers, destroy the purchasing power Pub. L. 87–703, title III, § 310, Sept. 27, 1962, 76 of grain producers for industrial products, and Stat. 618.) reduce the value of the agricultural assets sup- AMENDMENTS porting the national credit structure. Such 1962—Pub. L. 87–703 provided additional findings re- shortages of wheat result in unreasonably high specting the addition of wheat to total supply of wheat prices of flour and bread to consumers and loss and effect of such addition on price of wheat and supply of market outlets by wheat producers. and price of livestock and livestock products, the need The conditions affecting the production and to prevent the use of acreage diverted from wheat pro- marketing of wheat are such that, without Fed- duction to produce other commodities in surplus supply eral assistance, farmers, individually or in co- and the consequences of a small or large change in the operation, cannot effectively prevent the recur- supply of a commodity and the necessity of a coopera- rence of such surpluses and shortages and the tive plan to wheat producers to provide for flow of wheat at fair and reasonable prices to farmers and con- burdens on interstate and foreign commerce re- sumers and to prevent diverted acreage from produc- sulting therefrom, maintain normal supplies of tion of wheat from adversely affecting other commod- wheat, or provide for the orderly marketing ities in interstate and foreign commerce. thereof in interstate and foreign commerce. Wheat which is planted and not disposed of EFFECTIVE DATE OF 1962 AMENDMENT prior to the date prescribed by the Secretary for Amendment by Pub. L. 87–703 effective only with re- the disposal of excess acres of wheat is an addi- spect to programs applicable to crops planted for har- tion to the total supply of wheat and has a di- vest in calendar year 1964 or any subsequent year and rect effect on the price of wheat in interstate marketing years beginning in calendar year 1964, or and foreign commerce and may also affect the any subsequent year, see section 323 of Pub. L. 87–703, set out as a note under section 1301 of this title. supply and price of livestock and livestock products. In the circumstances, wheat not disposed INAPPLICABILITY OF SECTION of prior to such date must be considered in the Section inapplicable to 2002 through 2007 crops of cov- same manner as mechanically harvested wheat ered commodities, peanuts, and sugar and inapplicable in order to achieve the policy of the chapter. to milk during period beginning May 13, 2002, through The diversion of substantial acreages from Dec. 31, 2007, see section 7992(a)(1) of this title. wheat to the production of commodities which Section inapplicable to 1996 through 2001 crops of loan are in surplus supply or which will be in surplus commodities, peanuts, and sugar and inapplicable to supply if they are permitted to be grown on the milk during period beginning Apr. 4, 1996, and ending diverted acreage would burden, obstruct, and ad- Dec. 31, 2002, see section 7301(a)(1)(A) of this title. Pub. L. 101–624, title III, § 303, Nov. 28, 1990, 104 Stat. versely affect interstate and foreign commerce 3400, provided that: ‘‘Sections 331 through 339, 379b, and in such commodities, and would adversely affect 379c of the Agricultural Adjustment Act of 1938 (7 the prices of such commodities in interstate and U.S.C. 1331 through 1339, 1379b, and 1379c) shall not be foreign commerce. Small changes in the supply applicable to the 1991 through 1995 crops of wheat.’’ Page 597 TITLE 7—AGRICULTURE § 1332

Pub. L. 99–198, title III, § 310(b), Dec. 23, 1985, 99 Stat. retary determines that the total stocks of wheat 1395, provided that: ‘‘Sections 331, 339, 379b, and 379c of in the Nation are insufficient to assure an ade- such Act [the Agricultural Adjustment Act of 1938] (7 quate carryover for the next succeeding market- U.S.C. 1331, 1339, 1379b, and 1379c) shall not be applica- ing year, the national marketing quota other- ble to the 1986 through 1990 crops of wheat.’’ Pub. L. 97–98, title III, § 303, Dec. 22, 1981, 95 Stat. 1227, wise determined shall be increased by the provided that: ‘‘Sections 331, 332, 333, 334, 335, 336, 338, amount the Secretary determines to be nec- 339, 379b, and 379c of the Agricultural Adjustment Act essary to assure an adequate carryover: And proof 1938 [this section and sections 1332, 1333, 1334, 1335, vided further, That the national marketing quota 1336, 1338, 1339, 1379b, and 1379c of this title] shall not be for wheat for any marketing year shall be not applicable to the 1982 through 1985 crops of wheat.’’ less than one billion bushels. Pub. L. 95–113, title IV, § 404, Sept. 29, 1977, 91 Stat. 927, provided that: ‘‘Sections 331, 332, 333, 334, 335, 336, (c) National emergencies or material increase in 338, 339, 379b, and 379c of the Agricultural Adjustment demand; investigation; increase or termi- Act of 1938, as amended [this section and sections 1332, nation 1333, 1334, 1335, 1336, 1338, 1339, 1379b, and 1379c of this If, after the proclamation of a national mar- title], shall not be applicable to the 1978 through 1981 crops of wheat.’’ keting quota for wheat for any marketing year, Pub. L. 91–524, title IV, § 404(1), Nov. 30, 1970, 84 Stat. the Secretary has reason to believe that, be- 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, cause of a national emergency or because of a 87 Stat. 229, provided that this section is not applicable material increase in the demand for wheat, the to 1971 through 1977 crops of wheat. national marketing quota should be terminated or the amount thereof increased, he shall cause § 1332. National marketing quota an immediate investigation to be made to deter- (a) Proclamation; duration of program mine whether such action is necessary in order Whenever prior to April 15 in any calendar to meet such emergency or increase in the de- year the Secretary determines that the total mand for wheat. If, on the basis of such inves- supply of wheat in the marketing year begin- tigation, the Secretary finds that such action is ning in the next succeeding calendar year will, necessary, he shall immediately proclaim such in the absence of a marketing quota program, finding and the amount of any such increase likely be excessive, the Secretary shall proclaim found by him to be necessary and thereupon that a national marketing quota for wheat shall such national marketing quota shall be so in- be in effect for such marketing year and for ei- creased or terminated. In case any national ther the following marketing year or the follow- marketing quota is increased under this sub- ing two marketing years, if the Secretary deter- section, the Secretary shall provide for such in- mines and declares in such proclamation that a crease by increasing acreage allotments estab- two- or three-year marketing quota program is lished under this subpart by a uniform percent- necessary to effectuate the policy of the chap- age. ter. (d) Farm marketing quotas for wheat crops (b) Amount; minimum planted in calendar years 1966–1970 If a national marketing quota for wheat has Notwithstanding any other provision of this been proclaimed for any marketing year, the chapter, the Secretary shall proclaim a national Secretary shall determine and proclaim the marketing quota for the crops of wheat planted amount of the national marketing quota for for harvest in the calendar years 1966 through such marketing year not earlier than January 1 1970, and farm marketing quotas shall not be in or later than April 15 of the calendar year pre- effect for such crops of wheat. ceding the year in which such marketing year (Feb. 16, 1938, ch. 30, title III, § 332, 52 Stat. 53; begins. The amount of the national marketing Aug. 28, 1954, ch. 1041, title III, § 307, 68 Stat. 903; quota for wheat for any marketing year shall be Pub. L. 87–703, title III, § 311, Sept. 27, 1962, 76 an amount of wheat which the Secretary esti- Stat. 619; Pub. L. 89–321, title V, § 501(1), Nov. 3, mates (i) will be utilized during such marketing 1965, 79 Stat. 1199; Pub. L. 90–559, § 1(1), Oct. 11, year for human consumption in the United 1968, 82 Stat. 996; Pub. L. 99–198, title III, § 302, States as food, food products, and beverages, Dec. 23, 1985, 99 Stat. 1378.) composed wholly or partly of wheat, (ii) will be utilized during such marketing year in the AMENDMENTS United States for seed, (iii) will be exported ei- 1985—Pub. L. 99–198 temporarily substituted ‘‘Procla- ther in the form of wheat or products thereof, mation of marketing quotas’’ for ‘‘National marketing and (iv) will be utilized during such marketing quota’’ in section catchline. See Effective and Termi- year in the United States as livestock (including nation Dates of 1985 Amendment note below. poultry) feed, excluding the estimated quantity Subsec. (a). Pub. L. 99–198 amended subsec. (a) generally, temporarily substituting provisions defining the of wheat which will be utilized for such purpose terms ‘‘base period’’ and ‘‘marketing quota period’’ for as a result of the substitution of wheat for feed provisions which authorized the Secretary to proclaim grains under section 1339c of this title; less (A) a national marketing quota for wheat for either a two- an amount of wheat equal to the estimated im- or three-year period. See Effective and Termination ports of wheat into the United States during Dates of 1985 Amendment note below. such marketing year and, (B) if the stocks of Subsec. (b). Pub. L. 99–198 amended subsec. (b) gener- wheat owned by the Commodity Credit Corpora- ally, temporarily substituting provisions authorizing tion are determined by the Secretary to be ex- the proclamation of a national marketing quota for each marketing year, not later than June 15, 1986, in an cessive, an amount of wheat determined by the amount which the Secretary determines is required to Secretary to be a desirable reduction in such meet anticipated needs during such marketing year, marketing year in such stocks to achieve the and the conducting of a marketing quota referendum policy of the chapter: Provided, That if the Sec- not later than Aug. 1, 1986 for provisions which had au- § 1333 TITLE 7—AGRICULTURE Page 598 thorized the proclamation of a national marketing Section inapplicable to 1996 through 2001 crops of loan quota upon a determination made between Jan. 1 and commodities, peanuts, and sugar and inapplicable to Apr. 15 of the calendar year preceding the year in which milk during period beginning Apr. 4, 1996, and ending the marketing year began, which determination had to Dec. 31, 2002, see section 7301(a)(1)(A) of this title. provide a minimum of one billion bushels for any mar- Section inapplicable to 1991 through 1995 crops of keting year, and investigation of stocks to adjust for wheat, see section 303 of Pub. L. 101–624, set out as a imports and excessive or insufficient amounts gener- note under section 1331 of this title. ally. See Effective and Termination Dates of 1985 Pub. L. 101–270, Apr. 10, 1990, 104 Stat. 134, provided: Amendment note below. ‘‘That section 332 of the Agricultural Adjustment Act Subsec. (c). Pub. L. 99–198 amended subsec. (c) gener- of 1938 (7 U.S.C. 1332) shall not be applicable to the 1991 ally, temporarily substituting provisions requiring the crop of wheat.’’ Secretary to adjust or terminate the national market- Pub. L. 99–198, title III, § 310(a), Dec. 23, 1985, 99 Stat. ing quota in the event of a national emergency or ma- 1395, provided that: ‘‘Sections 332, 333, 334, 335, 336, and terial change in the demand for wheat for provisions 338 of the Agricultural Adjustment Act of 1938 (7 U.S.C. which had required the Secretary to cause an imme- 1332–1336 and 1338) shall not be applicable to the 1986 diate investigation to be made to determine whether crop of wheat.’’ Section inapplicable to 1982 through 1985 crops of termination or increase in the quota was necessary in wheat, see section 303 of Pub. L. 97–98, set out as a note order to meet such emergency or increase in demand, under section 1331 of this title. and struck out provisions requiring the Secretary to Section inapplicable to 1978 through 1981 crops of proclaim such findings and the amount of any increase, wheat, see section 404 of Pub. L. 95–113, set out as a with any such increase to be based on a uniform per- note under section 1331 of this title. centage. See Effective and Termination Dates of 1985 Pub. L. 91–524, title IV, § 404(1), Nov. 30, 1970, 84 Stat. Amendment note below. 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, Subsec. (d). Pub. L. 99–198 amended section generally, 87 Stat. 229, provided that this section is not applicable temporarily striking out subsec. (d) which provided for to 1971 through 1977 crops of wheat. farm marketing quotas for wheat crops planted in calendar years 1969–1970. See Effective and Termination 1965 CROP NATIONAL MARKETING QUOTA AND CROP Dates of 1985 Amendment note below. ACREAGE ALLOTMENT 1968—Subsec. (d). Pub. L. 90–559 provided for a one Pub. L. 88–297, title II, § 201, Apr. 11, 1964, 78 Stat. 178, year extension through 1970. directed Secretary to not proclaim a national market- 1965—Subsec. (b). Pub. L. 89–321 changed item (iv) ing quota for 1965 crop of wheat and that farm market- from the average amount of wheat which was used for ing quotas shall not be in effect for such crop of wheat, livestock feed during 1959–60 to the amount which will and required Secretary to proclaim a national acreage be utilized during the marketing year for which the allotment for 1965 crop of wheat which shall be the quota is being determined for livestock feed, excluding number of acres which he determined would make the estimated quantity of wheat which will be utilized available an adequate supply of wheat, but not less for such purpose as a result of the substitution of wheat than forty-nine million five hundred thousand acres. for feed grains under section 1339c of this title. Subsec. (d). Pub. L. 89–321 added subsec. (d). DEFERRAL OF PROCLAMATION FOR 1963 CROP 1962—Pub. L. 87–703 substituted provisions for procla- Pub. L. 87–485, June 15, 1962, 76 Stat. 103, authorized mation of a national marketing quota upon a deter- Secretary of Agriculture to defer until July 15, 1962, mination made prior to April 15 in any calendar year, any proclamation under this section with respect to a the duration of such a program, the amount of, includ- national acreage allotment for 1963 crop of wheat and ing the minimum, quota, and investigation of stocks to any proclamation under section 1335 of this title with increase or terminate the quota during national emer- respect to marketing quotas for such crop of wheat. gencies or material increase in demand for provision Pub. L. 87–450, May 15, 1962, 76 Stat. 69, authorized for proclamation, not later than May 15 of each cal- Secretary of Agriculture to defer until June 15, 1962, endar year, of a national marketing quota for the crop any proclamation under this section with respect to a produced in the next calendar year. national acreage allotment for 1963 crop of wheat and 1954—Act Aug. 28, 1954, struck out proclamations re- any proclamation under section 1335 of this title for lating to supplies, and changed proclamation date from such crop of wheat. July 15 to May 15. DEFERRAL OF PROCLAMATION FOR 1960 CROP EFFECTIVE AND TERMINATION DATES OF 1985 AMENDMENT Pub. L. 86–27, May 15, 1959, 73 Stat. 25, authorized Sec- retary of Agriculture to defer until June 1, 1959, any Pub. L. 99–198, title III, § 302, Dec. 23, 1985, 99 Stat. proclamation under this section with respect to a na- 1378, provided that the amendment made by that sec- tional acreage allotment for 1960 crop of wheat and any tion is effective only for the 1987 through 1990 crops of proclamation under section 1335 of this title with re- wheat. spect to marketing quotas for such crop of wheat. EFFECTIVE DATE OF 1965 AMENDMENT § 1333. National acreage allotment Pub. L. 89–321, title V, § 501, Nov. 3, 1965, 79 Stat. 1199, provided that the amendments made by section 501 The Secretary shall proclaim a national acre- (amending this section and sections 1333, 1334, 1335, and age allotment for each crop of wheat. The 1339 of this title) are effective beginning with the crop amount of the national acreage allotment for planted for harvest in the calendar year 1966. any crop of wheat shall be the number of acres EFFECTIVE DATE OF 1962 AMENDMENT which the Secretary determines on the basis of the projected national yield and expected under- Amendment by Pub. L. 87–703 effective only with re- plantings (acreage other than that not harvested spect to programs applicable to crops planted for harvest in calendar year 1964 or any subsequent year and because of program incentives) of farm acreage marketing years beginning in calendar year 1964, or allotments will produce an amount of wheat any subsequent year, see section 323 of Pub. L. 87–703, equal to the national marketing quota for wheat set out as a note under section 1301 of this title. for the marketing year for such crop, or if a national marketing quota was not proclaimed, the INAPPLICABILITY OF SECTION quota which would have been determined if one Section inapplicable to 2002 through 2007 crops of cov- had been proclaimed. ered commodities, peanuts, and sugar and inapplicable to milk during period beginning May 13, 2002, through (Feb. 16, 1938, ch. 30, title III, § 333, 52 Stat. 53; Dec. 31, 2007, see section 7992(a)(1) of this title. June 20, 1938, ch. 518, 52 Stat. 775; July 26, 1939, Page 599 TITLE 7—AGRICULTURE § 1334 ch. 377, 53 Stat. 1125; July 3, 1948, ch. 827, title II, to milk during period beginning May 13, 2002, through § 207(b), 62 Stat. 1257; Pub. L. 87–703, title III, Dec. 31, 2007, see section 7992(a)(1) of this title. § 312, Sept. 27, 1962, 76 Stat. 620; Pub. L. 89–321, Section inapplicable to 1996 through 2001 crops of loan title V, § 501(2), Nov. 3, 1965, 79 Stat. 1199; Pub. L. commodities, peanuts, and sugar and inapplicable to milk during period beginning Apr. 4, 1996, and ending 99–198, title III, § 303, Dec. 23, 1985, 99 Stat. 1379.) Dec. 31, 2002, see section 7301(a)(1)(A) of this title. AMENDMENTS Section inapplicable to 1991 through 1995 crops of wheat, see section 303 of Pub. L. 101–624, set out as a 1985—Pub. L. 99–198 amended section generally, tem- note under section 1331 of this title. porarily substituting provisions relating to the estab- Section inapplicable to 1986 crop of wheat, see section lishment and determination of a marketing quota ap- 310(a) of Pub. L. 99–198, set out as a note under section portionment factor for each crop of wheat for which a 1332 of this title. national marketing quota is proclaimed under section Section inapplicable to 1982 through 1985 crops of 1332 of this title for provisions relating to the procla- wheat, see section 303 of Pub. L. 97–98, set out as a note mation and determination of a national acreage allotment for each crop of wheat. See Effective and Termi- under section 1331 of this title. nation Dates of 1985 Amendment note below. Section inapplicable to 1978 through 1981 crops of 1965—Pub. L. 89–321 substituted projected national wheat, see section 404 of Pub. L. 95–113, set out as a yield for expected yield in the determination of the note under section 1331 of this title. basis to be used in arriving at the national acreage al- Pub. L. 91–524, title IV, § 404(2), Nov. 30, 1970, 84 Stat. lotment, inserted limiting parenthetical reference to 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, acreage other than that harvested because of program 87 Stat. 229, provided that this section is not applicable incentives, and struck out references to expected pro- to 1972 through 1977 crops of wheat. duction on the increases in acreage allotments for 1965 CROP ACREAGE ALLOTMENT farms based upon small-farm base acreages pursuant to section 1335 of this title and to the expected production Proclamation of a national acreage allotment for 1965 on the increased acreages resulting from the small- crop of wheat that will make available an adequate farm exemption pursuant to section 1335 of this title. supply of wheat but shall not be less than forty-nine 1962—Pub. L. 87–703 substituted provision for procla- million five hundred thousand acres, see section 201 of mation of a national acreage allotment at the time of Pub. L. 88–297, set out as a note under section 1332 of proclamation of the national marketing quota in an this title. amount that would be the number of acres which on the basis of expected yields would, together with the ex- § 1334. Apportionment of national acreage allot- pected production on increases in acreage allotments ment for small farms and on increased acreages resulting from the small-farm exemption, make available a sup- (a) Apportionment among States; special acreage ply equal to the national marketing quota for provision reserve for determination of the national acreage allotment as such acreage as on the basis of the national average The national allotment for wheat, less a re- yield would produce an amount, which, with estimated serve of not to exceed 1 per centum thereof for carryover and imports, would make available a supply apportionment as provided in this subsection equal to a normal year’s domestic consumption and ex- and less the special acreage reserve provided for ports plus 30 per centum and prescribing a national in this subsection, shall be apportioned by the acreage allotment for wheat for 1938 at sixty-two mil- Secretary among the States on the basis of the lion five hundred thousand acres and for any year at not less than fifty-five million acres. preceding year’s allotment for each such State, 1948—Act July 3, 1948, required the Secretary to take including all amounts allotted to the State and imports into consideration in determining acreage al- including for 1967 the increased acreage in the lotments for the purposes of marketing quotas. State allotted for 1966 under section 1335 of this 1939—Act July 26, 1939, amended last sentence. title, adjusted to the extent deemed necessary 1938—Act June 20, 1938, inserted last sentence. by the Secretary to establish a fair and equi- EFFECTIVE AND TERMINATION DATES OF 1985 table apportionment base for each State, taking AMENDMENT into consideration established crop rotation Pub. L. 99–198, title III, § 303, Dec. 23, 1985, 99 Stat. practices, estimated decrease in farm allot- 1379, provided that the amendment made by that sec- ments because of loss of history, and other rel- tion is effective only for the 1987 through 1990 crops of evant factors. The reserve acreage set aside wheat. herein for apportionment by the Secretary shall EFFECTIVE DATE OF 1965 AMENDMENT be used (1) to make allotments to counties in ad- Amendment by Pub. L. 89–321 effective beginning dition to the county allotments made under sub- with crop planted for harvest in calendar year 1966, see section (b) of this section, on the basis of the section 501 of Pub. L. 89–321, set out as a note under sec- relative needs of counties for additional allot- tion 1332 of this title. ments because of reclamation and other new areas coming into production of wheat, or (2) to EFFECTIVE DATE OF 1962 AMENDMENT increase the allotment for any county, in which Amendment by Pub. L. 87–703 effective only with re- wheat is the principal grain crop produced, on spect to programs applicable to crops planted for har- the basis of its relative need for such increase if vest in calendar year 1964 or any subsequent year and marketing years beginning in calendar year 1964, or the average ratio of wheat acreage allotment to any subsequent year, see section 323 of Pub. L. 87–703, cropland on old wheat farms in such county is set out as a note under section 1301 of this title. less by at least 20 per centum than such average ratio on old wheat farms in an adjoining county EFFECTIVE DATE OF 1948 AMENDMENT or counties in which wheat is the principal grain Amendment by act July 3, 1948, effective Jan. 1, 1950, crop produced or if there is a definable contig- see section 303 of act July 3, 1948, set out as a note uous area consisting of at least 10 per centum of under section 1301 of this title. the cropland acreage in such county in which INAPPLICABILITY OF SECTION the average ratio of wheat acreage allotment to Section inapplicable to 2002 through 2007 crops of cov- cropland on old wheat farms is less by at least ered commodities, peanuts, and sugar and inapplicable 20 per centum than such average ratio on the re- § 1334 TITLE 7—AGRICULTURE Page 600 maining old wheat farms in such county, pro- mated decrease in farm allotments because of vided that such low ratio of wheat acreage allot- loss of history, and other relevant factors. ment to cropland is due to the shift prior to 1951 (c) Apportionment among farms; overplanted al- from wheat to one or more alternative income- lotments; reductions; notice producing crops which, because of plant disease or sustained loss of markets, may no longer be (1) The allotment to the county shall be appor- produced at a fair profit and there is no other al- tioned by the Secretary, through the local com- ternative income-producing crop suitable for mittees, among the farms within the county on production in the area or county. The increase the basis of past acreage of wheat, tillable acres, in the county allotment under clause (2) of the crop-rotation practices, type of soil, and topog- preceding sentence shall be used to increase al- raphy. Not more than 3 per centum of the State lotments for old wheat farms in the affected allotment shall be apportioned to farms on area to make such allotments comparable with which wheat has not been planted during any of those on similar farms in adjoining areas or the three marketing years immediately preced- counties but the average ratio of increased al- ing the marketing year in which the allotment lotments to cropland on such farms shall not ex- is made. For the purpose of establishing farm ceed the average ratio of wheat acreage allot- acreage allotments—(i) the past acreage of ment to cropland on old wheat farms in the ad- wheat on any farm for 1958 or 1965 shall be the joining areas or counties. There also shall be base acreage determined for the farm under the made available a special acreage reserve of not regulations issued by the Secretary for deter- in excess of one million acres as determined by mining 1958 or 1965 farm wheat acreage allot- the Secretary to be desirable for the purposes ments; (ii) if subsequent to the determination of hereof which shall be in addition to the national such base acreage the 1958 or 1965 wheat acreage acreage reserve provided for in this subsection. allotment for the farm is increased through ad- Such special acreage reserve shall be made ministrative, review, or court proceedings, the available to the States to make additional allot- 1958 or 1965 farm base acreage shall be increased ments to counties on the basis of the relative in the same proportion; and (iii) the past acre- needs of counties, as determined by the Sec- age of wheat for 1959 and any subsequent year retary, for additional allotments to make ad- except 1965 shall be the wheat acreage on the justments in the allotments on old wheat farms farm which is not in excess of the farm wheat (that is, farms on which wheat has been seeded acreage allotment, plus, in the case wheat acre- or regarded as seeded to one or more of the three age on the farm which is not in excess of wheat crops immediately preceding the crop for which acreage allotment, the acreage diverted under Provided the allotment is established) on which the ratio such wheat allotment programs: , That of wheat acreage allotment to cropland on the for 1959 and subsequent years in the case of any farm is less than one-half the average ratio of farm on which the entire amount of the farm wheat acreage allotment to cropland on old marketing excess is delivered to the Secretary wheat farms in the county. Such adjustments or stored in accordance with applicable regula- shall not provide an allotment for any farm tions to avoid or postpone payment of the pen- which would result in an allotment-cropland alty, the past acreage of wheat for the year in ratio for the farm in excess of one-half of such which such farm marketing excess is so deliv- county average ratio and the total of such ad- ered or stored shall be the farm base acreage of justments in any county shall not exceed the wheat determined for the farm under the regula- acreage made available therefor in the county. tions issued by the Secretary for determining Such apportionment from the special acreage re- farm wheat acreage allotments for such year, serve shall be made only to counties where but if any part of the amount of wheat so stored wheat is a major income-producing crop, only to is later depleted and penalty becomes due by farms on which there is limited opportunity for reason of such depletion, for the purpose of es- the production of an alternative income-produc- tablishing farm wheat acreage allotments subse- ing crop, and only if an efficient farming oper- quent to such depletion the past acreage of ation on the farm requires the allotment of ad- wheat for the farm for the year in which the ex- ditional acreage from the special acreage re- cess was produced shall be reduced to the farm serve. For the purposes of making adjustments wheat acreage allotment for such year. hereunder the cropland on the farm shall not in- (2) Notwithstanding any other provision of clude any land developed as cropland subsequent law, each old or new farm acreage allotment for to the 1963 crop year. the 1962 crop of wheat as determined on the basis of a minimum national acreage allotment (b) Apportionment among counties of fifty-five million acres shall be reduced by 10 The State acreage allotment for wheat, less a per centum. In the event notices of farm acreage reserve of not to exceed 3 per centum thereof for allotments for the 1962 crop of wheat have been apportionment as provided in subsection (c) of mailed to farm operators prior to the effective this section, shall be apportioned by the Sec- date of this subparagraph (2), new notices show- retary among the counties in the State, on the ing the required reduction shall be mailed to basis of the preceding year’s wheat allotment in farm operators as soon as practicable. each such county, including for 1967 the in- (3) Notwithstanding the provisions of para- creased acreage in the county allotted for 1966 graph (1) of this subsection, the past acreage of pursuant to section 1335 of this title, adjusted to wheat for 1967 and any subsequent year shall be the extent deemed necessary by the Secretary in the acreage of wheat planted, plus the acreage order to establish a fair and equitable apportion- regarded as planted, for harvest as grain on the ment base for each county, taking into consider- farm which is not in excess of the farm acreage ation established crop rotation practices, esti- allotment. Page 601 TITLE 7—AGRICULTURE § 1334

(4) Notwithstanding any other provision of ble of producing durum wheat (class II), and (2) this subsection (c), the farm acreage allotment have produced such wheat for commercial food for the 1967 and any subsequent crop of wheat products during one or more of the five years shall be established for each old farm by appor- immediately preceding the year in which such tioning the county wheat acreage allotment crop is harvested. The Secretary shall determine among farms in the county on which wheat has the percentage factor by which the average acre- been planted, or is considered to have been age of durum wheat (class II) produced during planted, for harvest as grain in any one of the the last two-year period for which statistics are three years immediately preceding the year for available (excluding any increases in durum which allotments are determined on the basis of wheat acreage as a result of increases in wheat past acreage of wheat and the farm acreage al- acreage allotments authorized by this sub- lotment for the year immediately preceding the section) must be increased to satisfy such de- year for which the allotment is being estab- mand. The wheat acreage allotment for any lished, adjusted as hereinafter provided. For farm established for such crop without regard to purposes of this paragraph, the acreage allot- this subsection, after reduction in the case of ment for the immediately preceding year may the 1962 crop as required by subsection (c)(2) of be adjusted to reflect established crop-rotation this section (hereinafter referred to as the practices, may be adjusted downward to reflect ‘‘original allotment’’), shall be increased by an a reduction in the tillable acreage on the farm, acreage computed by multiplying the average and may be adjusted upward to reflect such acreage of durum wheat (class II) on the farm other factors as the Secretary determines during such two-year period (excluding any in- should be considered for the purpose of estab- crease in the acreage of durum wheat as a result lishing a fair and equitable allotment: Provided, of an increase in the wheat acreage allotment That (i) for the purposes of computing the allot- for the farm authorized by this subsection) by ment for any year, the acreage allotment for the such percentage factor: Provided, That such in- farm for the immediately preceding year shall creased allotment shall not exceed the cropland be decreased by 7 per centum if for the year im- on the farm well suited to wheat. The increase mediately preceding the year for which such re- in the wheat acreage allotment for any farm duction is made neither a voluntary diversion shall be conditioned upon the production of an program nor a voluntary certificate program acreage of durum wheat (class II) at least equal was in effect and there was noncompliance with to the average acreage of such wheat produced the farm acreage allotment for such year; (ii) for during such two-year period plus the number of purposes of clause (i), any farm on which the en- acres by which the allotment is increased. Any tire amount of farm marketing excess is deliv- increases in wheat acreage allotments author- ered to the Secretary, stored, or adjusted to zero ized by this subsection shall be in addition to in accordance with applicable regulations to the National, State, and county wheat acreage avoid or postpone payment of the penalty when allotments, and such increases shall not be con- farm marketing quotas are in effect, shall be sidered in establishing future State, county, and considered in compliance with the allotment, farm allotments. The provisions of sections but if any part of the amount of wheat so stored 1326(b) and 1340(6) of this title, relating to the re- is later depleted and penalty becomes due by duction of the storage amount of wheat shall reason of such depletion, the allotment for such apply to the allotment for the farm established farm next computed after determination of such without regard to this subsection and not to the depletion shall be reduced by reducing the allot- increased allotment under this subsection. As ment for the immediately preceding year by 7 used in this subsection the term ‘‘durum wheat’’ per centum; and (iii) for purposes of clause (i) if means durum wheat (class II) other than the va- the Secretary determines that the reduction in rieties known as ‘‘Golden Ball’’ and ‘‘Peliss’’. the allotment does not provide fair and equi- Any farm receiving an increased allotment table treatment to producers on farms following under this subsection shall not be required as a special crop rotation practices, he may modify condition of eligibility for price support, or per- such reduction in the allotment as he deter- mitted, to participate in the special 1962 wheat mines to be necessary to provide fair and equi- program formulated under section 124 of the Ag- table treatment to such producers. ricultural Act of 1961, or section 307 of the Food (d) Repealed. Pub. L. 89–321, title V, § 501(6), Nov. and Agriculture Act of 1962. The Secretary shall 3, 1965, 79 Stat. 1201 give growers and millers of durum wheat and (e) Increase in acreage allotments and marketing manufacturers of semolina products an oppor- quotas for class II durum wheat tunity to present their views and recommendations, prior to making any determination here- If, with respect to the 1962 and 1963 crops of under. wheat, the Secretary determines that the acreage allotments of farms producing durum wheat (f) Voluntary surrender of acreage allotment are inadequate to provide for the production of Any part of any 1955, 1956, or 1957 farm wheat a sufficient quantity of durum wheat to satisfy acreage allotment on which wheat will not be the demands therefor (but not including export planted and which is voluntarily surrendered to demand involving a subsidy by, or a loss to, the the county committee shall be deducted from Federal Government), he shall increase the farm the allotment to such farm and may be reappor- marketing quotas and acreage allotments for tioned by the county committee to other farms such crop of wheat for farms located in counties in the same county receiving allotments in in the States of North Dakota, Minnesota, Mon- amounts determined by the county committee tana, South Dakota, and California, designated to be fair and reasonable on the basis of past by the Secretary as counties which (1) are capa- acreage of wheat tillable acres, crop rotation § 1334 TITLE 7—AGRICULTURE Page 602 practices, type of soil, and topography. If all of age allotments, and such increases shall not be the allotted acreage voluntarily surrendered is considered in establishing future State, county, not needed in the county, the county committee and farm allotments. The provisions of sections may surrender the excess acreage to the State 1326(b) and 1340(6) of this title, relating to the re- committee to be used for the same purposes as duction of the storage amount of wheat shall the State acreage reserve under subsection (c) of apply to the allotment for the farm established this section. Any allotment transferred under without regard to this subsection and not to the this provision shall be regarded for the purposes increased allotment under this subsection. The of subsection (c) of this section as having been land-use provisions of section 1339 of this title planted on the farm from which transferred shall not be applicable to any farm receiving an rather than on the farm to which transferred, increased allotment under this subsection and except that this shall not operate to make the the producers on such farms shall not be re- farm from which the allotment was transferred quired to comply with such provisions as a con- eligible for an allotment as having wheat plant- dition of eligibility for price support. ed thereon during the three-year base period: (j) Increased durum wheat acreage allotments to Provided, That notwithstanding any other provi- Tulelake area, California, for 1970 and subse- sions of law, any part of any 1955, 1956, or 1957 quent years; factors determinative; effect of farm acreage allotment may be permanently re- increased allotments on marketing alloca- leased in writing to the county committee by tions and diversion payments the owner and operator of the farm, and reapportioned as provided herein. Acreage surrendered, Notwithstanding any other provision of this reapportioned under this subsection, and plant- chapter, the Secretary shall increase the acre- ed shall be credited to the State and county in age allotments for the 1970 and subsequent crops determining future acreage allotments. of wheat for privately owned farms in the irriga- ble portion of the area known as the Tulelake (g) Plantings in excess of allotments or where no division of the Klamath project of California lo- allotment is established cated in Modoc and Siskiyou Counties, Califor- Notwithstanding any other provision of law, nia, as defined by the United States Department no acreage in the commercial wheat-producing of the Interior, Bureau of Reclamation, and area seeded to wheat for harvest as grain in 1958 hereinafter referred to as the area. The increase or thereafter except 1965 in excess of acreage al- for the area for each such crop shall be deter- lotments shall be considered in establishing fu- mined by adding, to the extent applications are ture State and county acreage allotments. The made therefor, to the total allotments estab- planting on a farm in the commercial wheat- lished for privately owned farms in the area for producing area of wheat of the 1958 or any subse- the particular crop without regard to this sub- quent crop for which no farm wheat acreage al- section (hereinafter referred to as the original lotment was established shall not make the allotments) an acreage sufficient to make avail- farm eligible for an allotment as an old farm able for each such crop a total allotment of pursuant to the first sentence of subsection (c) twelve thousand acres for the area. The addi- of this section nor shall such farm by reason of tional allotments made available by this sub- such planting be considered ineligible for an al- section shall be in addition to the National, lotment as a new farm under the second sen- State, and county allotments otherwise estab- tence of such subsection. lished under this section, and the acreage plant- (h) Omitted ed to wheat pursuant to such increases in allotments shall not be taken into account in estab- (i) Increase in acreage allotments for any kind of lishing future State, county, and farm acreage wheat in short supply; storage reduction and allotments except as may be desirable in provid- land-use provisions inapplicable to such ing increases in allotments for subsequent years wheat under this subsection for the production of If, with respect to any crop of wheat, the Sec- Durum wheat. The Secretary shall apportion the retary finds that the acreage allotments of additional allotment acreage made available farms producing any type of wheat are inad- under this subsection between Modoc and Sis- equate to provide for the production of a suffi- kiyou Counties on the basis of the relative needs cient quantity of such type of wheat to satisfy for additional allotments for the portion of the the demand therefor, the wheat acreage allot- area in each county. The Secretary shall allot ment for such crop for each farm located in a such additional acreage to individual farms in county designated by the Secretary as a county the area for which applications for increased which (1) is capable of producing such type of acreages are made on the basis of tillable acres, wheat, and (2) has produced such type of wheat crop rotation practices, type of soil and topog- for commercial food products during one or raphy, and the original allotment for the farm, more of the five years immediately preceding if any. The increase in the wheat acreage allot- the year in which such crop is harvested, shall ment for any farm under this subsection (1) be increased by such uniform percentage as he shall not be taken into account in computing deems necessary to provide for such quantity. the farm wheat marketing allocation under sec- No increase shall be made under this subsection tion 1379b of this title, and (2) shall be condi- in the wheat acreage allotment of any farm for tioned upon the production of Durum wheat on any crop if any wheat other than such type of the original allotment and on the increased wheat is planted on such farm for such crop. acreage. The producers on a farm receiving an Any increases in wheat acreage allotments au- increased allotment under this subsection shall thorized by this subsection shall be in addition not be eligible for diversion payments under sec- to the National, State, and county wheat acre- tion 1339 of this title. Page 603 TITLE 7—AGRICULTURE § 1334

(k) Transfer of farm wheat acreage allotments in acreage reserve and a special reserve which were pro- case of natural disasters vided for herein, among the States on the basis of each State’s allotment for the preceding year, adjusted to Notwithstanding any other provision of this the extent deemed necessary by the Secretary to estab- chapter, if the Secretary determines that be- lish a fair and equitable apportionment base for each cause of a natural disaster a portion of the farm State. See Effective and Termination Dates of 1985 wheat acreage allotments in a county cannot be Amendment note below. timely planted or replanted, he may authorize Subsec. (b). Pub. L. 99–198 amended subsec. (b) gener- the transfer of all or a part of the wheat acreage ally, temporarily substituting provisions establishing a formula for determination of the farm marketing quota allotment for any farm in the county so affected for provisions which required the Secretary to appor- to another farm in the county or in an adjoining tion each State’s acreage allotment for wheat among county on which one or more of the producers on the counties of the State, less a reserve not to exceed the farm from which the transfer is to be made 3 per centum thereof, on the basis of the preceding will be engaged in the production of wheat and year’s wheat allotment in each such county, adjusted will share in the proceeds thereof, in accordance to the extent deemed necessary by the Secretary in with such regulations as the Secretary may pre- order to establish a fair and equitable apportionment base for each county. See Effective and Termination scribe. Any farm allotment transferred under Dates of 1985 Amendment note below. this subsection shall be deemed to be planted on Subsec. (c). Pub. L. 99–198 amended subsec. (c) gener- the farm from which it was transferred for the ally, temporarily substituting provisions defining the purposes of acreage history credits under this circumstances under which wheat shall be considered chapter. to have been planted for harvest on the farm in any crop year for provisions relating to the apportionment (Feb. 16, 1938, ch. 30, title III, § 334, 52 Stat. 53; among farms of each county’s allotment under this sec- Apr. 7, 1938, ch. 107, § 7, 52 Stat. 203; Feb. 6, 1942, tion. See Effective and Termination Dates of 1985 ch. 44, § 2, 56 Stat. 52; July 14, 1953, ch. 194, § 1, 67 Amendment note below. Stat. 151; Jan. 30, 1954, ch. 2, § 4, 68 Stat. 6; Aug. Subsec. (d). Pub. L. 99–198, in amending section gener- 28, 1954, ch. 1041, title III, § 308, 68 Stat. 903; Feb. ally, temporarily added subsec. (d). Subsecs. (e) to (k). Pub. L. 99–198, in amending sec- 19, 1955, ch. 8, 69 Stat. 9; Mar. 16, 1956, ch. 86, 70 tion generally, temporarily struck out subsecs. (e) to Stat. 50; May 28, 1956, ch. 327, title III, § 301, 70 (k) as follows: Stat. 203; Aug. 7, 1956, ch. 1030, § 2, 70 Stat. 1117; Subsec. (e) related to increase in acreage allot- Pub. L. 85–13, Apr. 2, 1957, 71 Stat. 10; Pub. L. ments and marketing quotas for class II durum 85–203, § 2, Aug. 28, 1957, 71 Stat. 477; Pub. L. wheat. 85–366, Apr. 4, 1958, 72 Stat. 78; Pub. L. 85–390, Subsec. (f) related to voluntary surrender of acreage allotments for 1955, 1956, and 1957 crops of wheat. May 1, 1958, 72 Stat. 101; Feb. 16, 1938, ch. 30, title Subsec. (g) related to plantings in excess of allot- III, § 378(d), as added Pub. L. 85–835, title V, § 501, ments or where no allotment was established, in the Aug. 28, 1958, 72 Stat. 996; Pub. L. 86–385, Feb. 20, case of 1958 and subsequent crops of wheat. 1960, 74 Stat. 4; Pub. L. 86–419, Apr. 9, 1960, 74 Subsec. (h). There is no subsec. (h) for 1964 and sub- Stat. 39; Pub. L. 87–128, title I, §§ 121, 125, Aug. 8, sequent crop years. Subsec. (h) was omitted pursuant 1961, 75 Stat. 296, 300; Pub. L. 87–357, Oct. 4, 1961, to the 1963 amendment to this section by Pub. L. 88–64. See 1963 Amendments note set out under this 75 Stat. 778; Pub. L. 87–703, title III, §§ 308(a), 313, section. Sept. 27, 1962, 76 Stat. 618, 620; Pub. L. 88–64, July Subsec. (i) related to an increase in acreage allot- 17, 1963, 77 Stat. 79; Pub. L. 88–297, title II, ments for any kind of wheat in short supply, and enu- § 202(1)–(5), Apr. 11, 1964, 78 Stat. 178, 179; Pub. L. merated provisions of law inapplicable to such wheat. 89–321, title V, § 501(3)–(7), Nov. 3, 1965, 79 Stat. Subsec. (j) related to increased durum wheat acre- 1199–1201; Pub. L. 90–243, Jan. 2, 1968, 81 Stat. 781; age allotments to the Tulelake area in California for 1970 and subsequent crops of wheat. Pub. L. 91–220, Mar. 31, 1970, 84 Stat. 86; Pub. L. Subsec. (k) related to transfer of farm wheat acre- 99–198, title III, § 304, Dec. 23, 1985, 99 Stat. 1379.) age allotments in case of natural disasters. See Effective and Termination Dates of 1985 Amend- REFERENCES IN TEXT ment note below. Section 124 of the Agricultural Act of 1961, referred to 1970—Subsec. (j). Pub. L. 91–220 removed the 1963 in subsec. (e), is section 124 of Pub. L. 87–128 which was deadline on the Secretary’s power to increase acreage set out below. allotments, empowering him to do so for the 1970 and Section 307 of the Food and Agriculture Act of 1962, subsequent wheat crops, made the area increase for referred to in subsec. (e), is section 307 of Pub. L. 87–703 each crop determinable, among other factors, by the which was set out below. extent to which applications are received therefor, removed requirement that acreage planted to wheat pur- CODIFICATION suant to increased allotments be considered in estab- For omission of subsec. (h), see 1963 Amendment note lishing future state, county and farm acreage allot- below. ments except where such consideration may be desirable in providing increased allotments for production AMENDMENTS of Durum wheat in subsequent years, conditioned 1985—Pub. L. 99–198, in amending section generally, wheat acreage allotments upon the production of temporarily substituted ‘‘Farm marketing quotas’’ for Durum wheat on the original and increased acreage al- ‘‘Apportionment of national acreage allotment’’ in sec- lotment, prohibited consideration of the increased tion catchline. See Effective and Termination Dates of acreage allotment in computing the farm wheat mar- 1985 Amendment note below. keting allocation under section 1379b of this title, made Subsec. (a). Pub. L. 99–198 amended subsec. (a) gener- producers on farms receiving increased allotments in- ally, temporarily substituting provisions requiring the eligible for diversion payments under section 1339 of Secretary to establish, for each crop of wheat for which this title, and struck out provisions prohibiting such a national marketing quota under section 1332 of this producers from receiving price support, provisions title has been proclaimed, a farm marketing quota for making land use rules of section 1339 of this title inap- each farm on which wheat was planted, or considered plicable to farms receiving additional allotments, and planted, for harvest during the base period for provi- provisions relating to 1962 and 1963 wheat crops. sions which required the Secretary to apportion the na- 1968—Subsec. (a). Pub. L. 90–243 inserted provisions tional acreage allotment for wheat, less a national allowing the Secretary to make additional use, with § 1334 TITLE 7—AGRICULTURE Page 604 specified limitations, of the 1 percent national wheat Food and Agriculture Act of 1962 and substituted ‘‘the acreage allotment reserve in counties which have 1962 and 1963 crops’’ for ‘‘any of the 1962, 1963, and 1964 wheat as the principal grain crop, an average ratio of crops’’, respectively. wheat acreage allotment to cropland on old wheat Subsec. (g). Pub. L. 87–703, § 313(2), redesignated farms at least 20 percent below that in an adjoining former subsec. (h) as (g). Former subsec. (g), which re- county or alternative ratio, a low ratio caused by a lated to weather conditions, underplanting, and sub- shift prior to 1951 from wheat to an alternative crop or normal production affecting acreage allotments, was crops which have become unprofitable because of plant repealed by such section 313(2). See section 1377 of this disease or sustained loss of markets, and no alternative title. income-producing crop. Subsec. (h). Pub. L. 87–703, § 313 (2), (3), redesignated 1965—Subsec. (a). Pub. L. 89–321, § 501(3), substituted former subsec. (i) as (h) and inserted the sentence ‘‘The the preceding year’s allotment for the acreage seeded land-use provisions of section 1339 of this title shall not for the production of wheat over the preceding ten-year be applicable to any farm receiving an additional allot- period as the basis for determining the state’s appor- ment under this subsection.’’ Former subsec. (h) redes- tioned share of the national acreage allotment and ignated (g). See Effective Date of 1962 Amendment note made provision for a special acreage reserve to be ap- below making the changes effective with the 1964 portioned only to counties where wheat is a major in- Wheat Crop. Pub. L. 88–64, § 1(a), redesignated former come-producing crop. subsec. (i) (so designated through the 1963 Wheat Crop) Subsec. (b). Pub. L. 89–321, § 501(4), substituted the as (j). There is no subsec. (h) for 1964 and Subsequent county’s allotment covering the preceding year for the Wheat Crops. See 1963 Amendment note above. acreage seeded for the production of wheat during the Subsec. (i). Pub. L. 87–703, § 313(4), added subsec. (i). ten calendar years immediately preceding the calendar Former subsec. (i) redesignated (h). year in which the national acreage allotment is deter- 1961—Subsec. (c). Pub. L. 87–128, § 121, designated ex- mined as the basis for determining the county’s allot- isting provisions as par. (1) and added par. (2). ment. Subsec. (e). Pub. L. 87–128, § 125, authorized the Sec- Subsec. (c)(3), (4). Pub. L. 89–321, § 501(5), added pars. retary to increase durum wheat acreage allotment dur- (3) and (4). ing 1962, 1963, and 1964 crops of wheat when he deter- Subsec. (d). Pub. L. 89–321, § 501(6), repealed subsec. (d) mines that acreage allotments established for durum dealing with farms on which the entire amount of the wheat farms will be inadequate to produce a sufficient farm marketing excess has been delivered to the Sec- quantity of durum wheat to meet demand therefor, not retary or stored in accordance with applicable provi- including export demand involving a subsidy by or loss sions. to the Federal Government, by such percentage factor Subsec. (g). Pub. L. 89–321, § 501(7), struck out ‘‘except as is determined to be necessary to provide for the in- as prescribed in the provisos to the first sentence of crease in quantity the increase not to exceed the crop- subsections (a) and (b) respectively of this section’’ land on the farm well suited to wheat and to be condi- after ‘‘county acreage allotments.’’ tioned upon the production of an acreage of durum 1964—Subsec. (a). Pub. L. 88–297, § 202(1), provided (1) wheat (class II) at least equal to the average acreage of for the apportionment among the States of the na- such wheat produced during prescribed two-year period tional acreage allotment for wheat less the special plus the number of acres by which the allotment is in- acreage reserve; (2) that in establishing State acreage creased, provided that any farm receiving an increased allotments, the acreage seeded for the production of durum wheat allotment shall not be required as a con- wheat plus the acreage diverted for 1965 for any farm dition of price support, or permitted, to participate in shall be the base acreage of wheat determined for the the special 1962 wheat diversion program, and required farm under regulations for determining farm wheat the Secretary to become familiar with the views and acreage allotments for 1965; and (3) beginning with the recommendations of durum wheat grower and millers 1965 crop, a special acreage reserve and uses of such re- and manufacturers of semolina products prior to mak- serve and apportionment to counties of such reserve. ing any determinations. Former provisions of the sub- Subsec. (b). Pub. L. 88–297, § 202(2), provided that in section related to increase in allotment for durum establishing county acreage allotments, the acreage wheat farms for 1957 crop of wheat, conditioned upon seeded for the production of wheat plus the acreage di- the production of durum wheat (class II) on the in- verted for 1965 for any farm shall be the base acreage creased acreage and determined by adding to the allot- of wheat determined for the farm under regulations for ment established without regard to subsec. (e) an acre- determining farm wheat acreage allotments for 1965. age equal to the acreage by which the original allot- Subsec. (c)(1). Pub. L. 88–297, § 202(3), inserted in third ment exceeded the 1957 acreage on the farm of classes sentence, cls. (i) and (ii), ‘‘or 1965’’ after ‘‘1958’’ wher- of wheat other than durum wheat (class II), but not ex- ever appearing and in third sentence, cl. (iii), ‘‘except ceeding the smaller of the cropland on the farm well 1965’’ after ‘‘any subsequent year.’’ suited to wheat or the wheat acreage on the farm. Subsec. (g). Pub. L. 88–297, § 202(4), inserted in first Subsec. (i). Pub. L. 87–357 substituted ‘‘1958 through sentence ‘‘except 1965’’ after ‘‘in 1958 or thereafter’’. 1963’’ for ‘‘1958 through 1961’’, and excluded from any Subsec. (k). Pub. L. 88–297, § 202(5), added subsec. (k). general reduction in farm acreage allotments or farm 1963—Subsec. (h). There is no subsec. (h) for 1964 and acreage diversion program for the 1962 or 1963 wheat Subsequent Wheat Crops. Pub. L. 87–703, § 313(2), redes- crop, the farms for which acreage allotments are in- ignated former subsec. (i) (so designated through the creased under the provisions hereof, unless such reduc- 1963 Wheat Crop) as (h). Pub. L. 88–64, § 1(a), redesig- tion is specifically made applicable. nated former subsec. (i) (so designated through the 1963 1960—Subsec. (d). Pub. L. 86–419 added subsec. (d). Wheat Crop) as (j). Subsec. (i). Pub. L. 86–385 substituted ‘‘1958 through Subsec. (i). Pub. L. 88–64, § 1(a), redesignated former 1961’’ for ‘‘1958 and 1959’’. subsec. (i) (so designated through the 1963 Wheat Crop) 1958—Subsec. (a). Pub. L. 85–366, § 1(1), inserted pro- as (j). Pub. L. 87–703, § 313(4), added subsec. (i) (effective viso that in establishing State acreage allotments acre- with the 1964 Wheat Crop). See 1962 Amendment note age seeded plus acreage diverted for 1959 and subse- hereunder. quent years for farm on which entire marketing excess Subsec. (j). Pub. L. 88–64 redesignated former subsec. is delivered to Secretary or stored to avoid penalty (i) (so designated through the 1963 Wheat Crop) as (j), shall be base acreage determined for farm by Sec- inserted ‘‘privately owned’’ before ‘‘farms’’ in first and retary’s regulations for such year, but if such stored second sentences and increased from eight to twelve wheat is subsequently depleted, resulting in penalty, thousand acres the total acreage allotment for each farm’s seeded plus diverted acreage for year excess was crop. produced shall be reduced to acreage allotment for such 1962—Subsec. (e). Pub. L. 87–703, §§ 308(a), 313(1), in- year. serted provision respecting participation in the special Subsec. (b). Pub. L. 85–366, § 1(2), inserted proviso that wheat program formulated under section 307 of the in establishing county acreage allotments acreage Page 605 TITLE 7—AGRICULTURE § 1334 seeded plus acreage diverted for 1959 and subsequent tion is effective only for the 1987 through 1990 crops of years for farm on which entire marketing excess is de- wheat. livered to Secretary or stored to avoid penalty shall be base acreage determined for farm by Secretary’s regu- EFFECTIVE DATE OF 1965 AMENDMENT lations for such year, but if such stored wheat is subse- Amendment by Pub. L. 89–321 effective beginning quently depleted, resulting in penalty, farm’s seeded with crop planted for harvest in calendar year 1966, see plus diverted acreage for year excess was produced section 501 of Pub. L. 89–321, set out as a note under sec- shall be reduced to acreage for such year. tion 1332 of this title. Subsec. (c). Pub. L. 85–366, § 1(3), inserted sentence relating to establishment of farm acreage allotment for EFFECTIVE DATE OF 1962 AMENDMENT 1958 and past acreage for 1959 and subsequent years, Amendment by section 313 of Pub. L. 87–703 effective with the proviso that for 1959 and subsequent years, only with respect to programs applicable to crops any farm on which entire marketing excess is delivered planted for harvest in calendar year 1964 or any subse- to Secretary or stored to avoid penalty, the past acre- quent year and marketing years beginning in calendar age for the year of delivery or storage shall be the base year 1964, or any subsequent year, see section 323 of acreage determined for farm by Secretary’s regulations Pub. L. 87–703, set out as a note under section 1301 of for such year, but if such stored wheat is subsequently this title. depleted, resulting in penalty, past acreage of wheat for year excess was produced shall be reduced to farm al- EFFECTIVE DATE OF 1956 AMENDMENT lotment for such year. Act Aug. 7, 1956, ch. 1030, § 2, 70 Stat. 1117, provided Subsec. (d). Act Feb. 16, 1938, § 378(d), as added by Pub. that the amendment made by that act is effective be- L. 85–835, repealed subsec. (d) which related to adjust- ginning with the 1957 crop of wheat. ment of allotment upon acquisition of part of farms by United States for defense. EFFECTIVE DATE OF 1955 AMENDMENT Subsec. (h). Pub. L. 85–366, § 1(4), substituted ‘‘future State and county acreage allotments except as pre- Act Feb. 19, 1955, ch. 8, 69 Stat. 9, provided that the scribed in the provisos to the first sentence of sub- amendment made by that act is effective beginning sections (a) and (b), respectively, of this section’’ for with the 1955 crop of wheat. ‘‘future State, county, and farm acreage allotments’’. EFFECTIVE DATE OF 1953 AMENDMENT Subsec. (i). Pub. L. 85–390 added subsec. (i). 1957—Subsec. (e). Pub. L. 85–13 substituted ‘‘1957’’ for Act July 14, 1953, ch. 194, § 5, 67 Stat. 152, provided ‘‘1956’’ in two places, substituted ‘‘1952 through 1956’’ that: ‘‘Sections 1, 2, and 3 of this Act [amending this for ‘‘1951 through 1955’’, prohibited increase of acreage section and section 1340 of this title and repealing sec- allotment under subsec. (e) by more than 60 acres, in- tion 1339 of this title] shall become effective with re- serted clause providing for fixing ‘‘farm acreage allot- spect to the 1954 and subsequent crops of wheat.’’ ment’’ as allotment established without regard to subsec. (e) and clause providing for counting each acre SAVINGS PROVISION planted to durum wheat as one-half acre of wheat for Transfer or reassignment of allotment as remaining application of section 1821(a)(1) of this title, and in- in effect and ineligibility of displaced farm owner for serted provision that ‘‘wheat acreage on the farm’’ in- additional allotment notwithstanding repeal of subsec. cludes acreage in the wheat acreage report. (d), see note set out under section 1378 of this title. Subsec. (h). Pub. L. 85–203 added subsec. (h). 1956—Subsec. (e). Act Mar. 16, 1956, extended in- INAPPLICABILITY OF SECTION creased durum allotment to the 1956 crop and to certain Section inapplicable to 2002 through 2007 crops of cov- counties in California, shortened the production his- ered commodities, peanuts, and sugar and inapplicable tory from 10 to 5 years and advanced it 1 year to in- to milk during period beginning May 13, 2002, through clude 1955, and made increased durum allotment de- Dec. 31, 2007, see section 7992(a)(1) of this title. pendent upon reduced planting of other wheat. Section inapplicable to 1996 through 2001 crops of loan Subsec. (f). Act May 28, 1956, substituted ‘‘1955, 1956, commodities, peanuts, and sugar and inapplicable to or 1957’’ for ‘‘1955’’, in two places. milk during period beginning Apr. 4, 1996, and ending Subsec. (g). Act Aug. 7, 1956, added subsec. (g). Dec. 31, 2002, see section 7301(a)(1)(A) of this title. 1955—Subsec. (e). Act Feb. 19, 1955, removed for 1955, Section inapplicable to 1991 through 1995 crops of requirements restricting increased acreage allotments wheat, see section 303 of Pub. L. 101–624, set out as a to producers who devote a normal share of their origi- note under section 1331 of this title. nal allotment to durum and who have produced durum Section inapplicable to 1986 crop of wheat, see section in 1 or more of the preceding 3 years. 310(a) of Pub. L. 99–198, set out as a note under section 1954—Subsec. (e). Act Jan. 30, 1954, added subsec. (e). 1332 of this title. Subsec. (f). Act Aug. 28, 1954, added subsec. (f). Section inapplicable to 1982 through 1985 crops of 1953—Subsec. (a). Act July 14, 1953, provided a reserve wheat, see section 303 of Pub. L. 97–98, set out as a note of up to 1 percent of the national acreage allotment for under section 1331 of this title. counties in which new areas have come into produc- Section inapplicable to 1978 through 1981 crops of tion. Subsec. (b). Act July 14, 1953, provided for a 3 percent wheat, see section 404 of Pub. L. 95–113, set out as a reserve of State acreage allotments for new farms. note under section 1331 of this title. Subsec. (c). Act July 14, 1953, recognized the use of Pub. L. 91–524, title IV, § 404(2), Nov. 30, 1970, 84 Stat. past acreage as a factor in making farm allotments and 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, placed the reserves for new farms on a State basis in- 87 Stat. 229, provided that this section is not applicable stead of a county basis. to 1972 through 1977 crops of wheat. Subsec. (d). Act July 14, 1953, made the provision re- FARM ACREAGE ALLOTMENTS FOR 1966 CROP OF WHEAT lating to farms acquired for national-defense purposes apply to farms acquired in 1950 or thereafter instead of Pub. L. 89–321, title V, § 512, Nov. 3, 1965, 79 Stat. 1205, 1940 or thereafter. required the national, State, county, and farm acreage 1942—Subsec. (d). Act Feb. 6, 1942, added subsec. (d). allotments for the 1966 crop of wheat to be established 1938—Subsec. (b). Act Apr. 7, 1938, struck out ‘‘net’’ in accordance with the provisions of law in effect prior before ‘‘acreage diverted’’ from parenthetical provision. to Nov. 3, 1965.

EFFECTIVE AND TERMINATION DATES OF 1985 1963 DIVERTED WHEAT ACREAGE PROGRAM AMENDMENT Pub. L. 87–703, title III, § 307, Sept. 27, 1962, 76 Stat. Pub. L. 99–198, title III, § 304, Dec. 23, 1985, 99 Stat. 615, provided that payments were authorized to be 1379, provided that the amendment made by that sec- made in cash or wheat by the Commodity Credit Cor- § 1334a TITLE 7—AGRICULTURE Page 606 poration to producers on any farm, except farms with wheat for the 1950 crop: Provided, That no acreage was new farm wheat allotments, if marketing quotas were to be included under (A) or (B) which the Secretary, by in effect for the 1963 wheat crop, if they diverted cer- appropriate regulations, determined would become an tain acreage from wheat production, and if they de- undue erosion hazard under continued farming. To the voted such acreage to conservation uses; that such extent that the allotment to any county was insuffi- acreage was to be in addition to acreage diverted to cient to provide for such minimum farm allotments, conservation uses for which payment was made under the Secretary was to allot such county such additional other federal programs although cost-sharing payments acreage (which was to be in addition to the county, under the agricultural conservation program or the State, and national acreage allotments otherwise pro- Great Plains program were not precluded; that advance vided for under the Agricultural Adjustment Act of payments up to fifty per cent could be made; that 1938, as amended [this chapter]) as was necessary in wheat stored to avoid a marketing quota penalty was order to provide for such minimum farm allotments. not to be released for underplanting based on such di- EMERGENCY FARM ACREAGE ALLOTMENT verted acreage; that the Secretary could promulgate regulations; and that the Commodity Credit Corpora- Act Feb. 28, 1945, ch. 15, 59 Stat. 9, provided for farm tion could use its capital funds and assets to make pay- acreage allotment during national emergency pro- ments. claimed by the President on Sept. 8, 1939, and May 27, 1941. Such emergencies terminated on July 25, 1947, by APPLICABILITY OF 1963 DIVERTED WHEAT ACREAGE the provisions of Joint Res. July 25, 1947, ch. 327, § 3, 61 PROGRAM TO INCREASED ALLOTMENT FARMS Stat. 451. Pub. L. 87–703, title III, § 308(b), Sept. 27, 1962, 76 Stat. § 1334a. Omitted 618, provided that the special wheat program formulated under section 307 of Pub. L. 87–703 [set out above] CODIFICATION was not applicable to any farm receiving an additional Section, act Aug. 28, 1954, ch. 1041, title III, § 314, 68 acreage allotment for wheat in short supply under sec- Stat. 905, related to 1955 wheat acreage allotment in tion 334(i) of the Agricultural Adjustment Act of 1938, areas where a summer fallow crop rotation of wheat as amended [subsec. (i) of this section]. was a common practice. 1962 DIVERTED WHEAT ACREAGE PROGRAM § 1334a–1. Summer fallow farms; upper limit on Pub. L. 87–128, title I, § 124, Aug. 8, 1961, 75 Stat. 297, required set aside acreage for 1971 through as amended by Pub. L. 87–410, Mar. 3, 1962, 76 Stat. 19; 1977 wheat, feed grain, and cotton crops Pub. L. 87–451, §§ 1–3, May 15, 1962, 76 Stat. 70, provided that producers on any farm, except farms with a new Notwithstanding any other provision of law, farm wheat allotment, were entitled to payments if for the 1971 through 1977 crops of wheat, feed marketing quotas were in effect for the 1962 wheat grains and cotton, if in any year at least 55 per crop, if they diverted certain acreage from wheat pro- centum of the cropland acreage on an estab- duction, and if such diverted acreage were devoted to lished summer fallow farm is devoted to a sum- conservation uses; that the payments were to be made mer fallow use, no further acreage shall be re- by the Commodity Credit Corporation in cash or wheat and computed as therein provided; that additional acre- quired to be set aside under the wheat, feed age could be diverted and payments made with respect grain and cotton programs for such year. thereto; that any diverted acreage was to be in addition (Pub. L. 91–524, title IV, § 410, Nov. 30, 1970, 84 to acreage diverted for conservation uses for which Stat. 1367; Pub. L. 93–86, § 1(17), Aug. 10, 1973, 87 payment is made under any other federal program ex- Stat. 230.) cept that cost-sharing payments under the agricultural conservation program or the Great Plains program CODIFICATION were not precluded; that advance payments up to 50 per Section was enacted as part of the Agricultural Act cent could be made; that wheat stored to avoid a mar- of 1970, and not as part of the Agricultural Adjustment keting quota penalty was not to be released for under- Act of 1938 which comprises this chapter. planting based on such diverted acreage; that the Sec- retary could promulgate regulations; and that the AMENDMENTS Commodity Credit Corporation could use its capital 1973—Pub. L. 93–86 substituted ‘‘1971 through 1977’’ for funds and assets to make payments. ‘‘1971, 1972, and 1973’’. ACREAGE ALLOTMENT FOR 1954 CROP § 1334b. Designation of States outside commer- Act July 14, 1953, ch. 194, § 4(a), 67 Stat. 152, provided cial wheat-producing areas that the National acreage allotment for the 1954 crop of wheat shall not be less than sixty-two million acres. If the acreage allotment for any State for any crop of wheat is twenty-five thousand acres or ACREAGE ALLOTMENT FOR 1950 CROP less, the Secretary, in order to promote efficient Act Aug. 29, 1949, ch. 518, § 5, 63 Stat. 677, provided administration of this chapter and the Agricul- that the farm acreage allotment of wheat for 1950 crop tural Act of 1949 [7 U.S.C. 1421 et seq.], may des- for any farm was not to be less than the larger of— ignate such State as outside the commercial (A) 50 per centum of— wheat-producing area for the marketing year for (1) the acreage on the farm seeded for the production of wheat in 1949, and such crop. If such State is so designated, acreage (2) any other acreage seeded for the production of allotments for such crop and marketing quotas wheat in 1948 which was fallowed and from which no for the marketing year therefor shall not be ap- crop was harvested in the calendar year 1949, or plicable to any farm in such State. Acreage al- (B) 50 per centum of— lotments in any State shall not be increased by (1) the acreage on the farm seeded for the produc- reason of such designation. tion of wheat in 1948, and (2) any other acreage seeded for the production of (Feb. 16, 1938, ch. 30, title III, § 334a, as added wheat in 1947 which was fallowed and from which no Pub. L. 87–703, title III, § 314, Sept. 27, 1962, 76 crop was harvested in the calendar year 1948, Stat. 620.) adjusted in the same ratio as the national average seed- ings for the production of wheat during the ten cal- REFERENCES IN TEXT endar years 1939–1948 (adjusted as provided by this The Agricultural Act of 1949, referred to in text, is chapter) bore to the national acreage allotment for act Oct. 31, 1949, ch. 792, 63 Stat. 1051, as amended, Page 607 TITLE 7—AGRICULTURE § 1335 which is classified principally to chapter 35A (§ 1421 et under this section shall be in addition to Na- seq.) of this title. For complete classification of this tional, State, and county acreage allotments. Act to the Code, see Short Title note set out under sec- This section shall not be applicable to the crops tion 1421 of this title and Tables. planted for harvest in 1967 and subsequent years. EFFECTIVE DATE (Feb. 16, 1938, ch. 30, title III, § 335, 52 Stat. 54; Section effective only with respect to programs appli- July 26, 1939, ch. 379, 53 Stat. 1126; June 6, 1940, cable to crops planted for harvest in calendar year 1964 ch. 237, 54 Stat. 232; July 3, 1948, ch. 827, title II, or any subsequent year and marketing years beginning §§ 204(a), 62 Stat. 1256; Aug. 28, 1954, ch. 1041, title in calendar year 1964, or any subsequent year, see section 323 of Pub. L. 87–703, set out as an Effective Date III, § 309, 68 Stat. 903; Pub. L. 85–203, § 1, Aug. 28, of 1962 Amendment note under section 1301 of this title. 1957, 71 Stat. 477; Pub. L. 87–128, title I, § 122(e), Aug. 8, 1961, 75 Stat. 297; Pub. L. 87–703, title III, INAPPLICABILITY OF SECTION § 315, Sept. 27, 1962, 76 Stat. 621; Pub. L. 89–321, Section inapplicable to 2002 through 2007 crops of cov- title V, § 501(8), Nov. 3, 1965, 79 Stat. 1201; Pub. L. ered commodities, peanuts, and sugar and inapplicable 99–198, title III, § 305, Dec. 23, 1985, 99 Stat. 1380.) to milk during period beginning May 13, 2002, through Dec. 31, 2007, see section 7992(a)(1) of this title. AMENDMENTS Section inapplicable to 1996 through 2001 crops of loan 1985—Pub. L. 99–198 amended section generally, tem- commodities, peanuts, and sugar and inapplicable to porarily substituting provisions relating to marketing milk during period beginning Apr. 4, 1996, and ending penalties for provisions for small-farm exemptions Dec. 31, 2002, see section 7301(a)(1)(A) of this title. from marketing quotas. See Effective and Termination Section inapplicable to 1991 through 1995 crops of Dates of 1985 Amendment note below. wheat, see section 303 of Pub. L. 101–624, set out as a 1965—Pub. L. 89–321 made section inapplicable to note under section 1331 of this title. crops planted for harvest in 1967 and subsequent years. § 1335. Small-farm exemption; small-farm base 1962—Pub. L. 87–703 substituted provisions for small- acreage; election; acreage allotment; land-use farm exemption from marketing quotas for provisions of subsecs. (a), (b), (c), (e), and (f), respecting the estab- provisions; price support; wheat marketing lishment of marketing quotas, the amount of national certificates and farm marketing quotas, designation of States out- Notwithstanding any other provision of this side commercial wheat-producing areas (now covered by section 1334b of this title), and feed wheat exemption subpart, no farm marketing quota for any crop permitting any producer to harvest up to 30 acres of of wheat shall be applicable to any farm with a wheat without penalty if the entire crop is used on the farm acreage allotment of less than fifteen acres farm where produced. if the acreage of such crop of wheat does not ex- 1961—Subsec. (d). Pub. L. 87–128 repealed subsec. (d) ceed the small-farm base acreage determined for which provided that no farm marketing quota with re- the farm, unless the operator elects in writing spect to wheat shall be applicable in any marketing on a form and within the time prescribed by the year to any farm on which the normal production of Secretary to be subject to the farm acreage al- the acreage planted to wheat of the current crop is less than 200 bushels. lotment and marketing quota. The small-farm 1957—Subsec. (f). Pub. L. 85–203 added subsec. (f). base acreage for a farm shall be the smaller of 1954—Subsec. (a). Act Aug. 28, 1954, § 309(a), sub- (A) the average acreage of the crop of wheat stituted ‘‘May 15’’ for ‘‘July 1’’. planted for harvest in the three years 1959, 1960, Subsec. (e). Act Aug. 28, 1954, § 309(b), added subsec. and 1961, or such later three-year period, exclud- (e). ing 1963, determined by the Secretary to be rep- 1948—Subsec. (a). Act July 3, 1948, changed conditions resentative, with adjustments for abnormal which must be determined by the Secretary to exist be- weather conditions, established crop-rotation fore marketing quotas can be imposed. 1940—Subsec. (d). Act June 6, 1940, substituted ‘‘two practices on the farm, and such other factors as hundred’’ for ‘‘one hundred’’. the Secretary determines should be considered for the purpose of establishing a fair and equi- EFFECTIVE AND TERMINATION DATES OF 1985 table small-farm base acreage, or (B) fifteen AMENDMENT acres. The acreage allotment for any farm shall Pub. L. 99–198, title III, § 305, Dec. 23, 1985, 99 Stat. be the larger of (1) the small-farm base acreage 1380, provided that the amendment made by Pub. L. determined as provided above on the basis of the 99–198 is effective only for the 1987 through 1990 crops of three-year period 1959–1961, reduced by the same wheat. percentage by which the national acreage allotment for the crop is reduced below fifty-five mil- EFFECTIVE DATE OF 1965 AMENDMENT lion acres, or (2) the acreage allotment deter- Amendment by Pub. L. 89–321 effective beginning mined without regard to (1) above. If the opera- with the crop planted for harvest in calendar year 1966, tor of any such farm fails to make such election see section 501 of Pub. L. 89–321, set out as a note under with respect to any crop of wheat, (i) for the section 1332 of this title. purposes of section 1340 of this title, the farm EFFECTIVE DATE OF 1962 AMENDMENT acreage allotment for such crop of wheat shall be deemed to be the larger of (A) the small-farm Amendment by Pub. L. 87–703 effective only with re- base acreage or (B) the acreage allotment for spect to programs applicable to crops planted for harvest in calendar year 1964 or any subsequent year and the farm, (ii) the land-use provisions of section marketing years beginning in calendar year 1964, or 1339 of this title shall be inapplicable to the any subsequent year, see section 323 of Pub. L. 87–703, farm, (iii) such crop of wheat shall not be eligi- set out as a note under section 1301 of this title. ble for price support, and (iv) wheat marketing certificates applicable to such crop shall not be EFFECTIVE DATE OF 1961 AMENDMENT issued with respect to the farm. The additional Pub. L. 87–128, title I, § 122(e), Aug. 8, 1961, 75 Stat. 297, acreage required to provide acreage allotments provided that the amendment made by Pub. L. 87–128 is for farms based upon small-farm base acreages effective with the 1962 crop of wheat. § 1336 TITLE 7—AGRICULTURE Page 608

EFFECTIVE DATE OF 1948 AMENDMENT 87–703, title III, § 316, Sept. 27, 1962, 76 Stat. 621; Amendment by act July 3, 1948, effective Jan. 1, 1950, Pub. L. 88–297, title II, § 202(6), Apr. 11, 1964, 78 see section 303 of act July 3, 1948, set out as a note Stat. 179; Pub. L. 89–82, July 24, 1965, 79 Stat. 258; under section 1301 of this title. Pub. L. 91–348, July 23, 1970, 84 Stat. 448; Pub. L. 91–455, Oct. 15, 1970, 84 Stat. 969; Pub. L. 93–68, INAPPLICABILITY OF SECTION July 10, 1973, 87 Stat. 161; Pub. L. 95–48, June 17, Section inapplicable to 2002 through 2007 crops of cov- 1977, 91 Stat. 229; Pub. L. 97–24, § 1, July 23, 1981, ered commodities, peanuts, and sugar and inapplicable 95 Stat. 143; Pub. L. 97–62, Oct. 14, 1981, 95 Stat. to milk during period beginning May 13, 2002, through 1010; Pub. L. 97–67, § 2, Oct. 20, 1981, 95 Stat. 1039; Dec. 31, 2007, see section 7992(a)(1) of this title. Section inapplicable to 1996 through 2001 crops of loan Pub. L. 97–77, § 2(b), Nov. 13, 1981, 95 Stat. 1069; commodities, peanuts, and sugar and inapplicable to Pub. L. 99–63, July 11, 1985, 99 Stat. 119; Pub. L. milk during period beginning Apr. 4, 1996, and ending 99–198, title III, § 306, Dec. 23, 1985, 99 Stat. 1382.) Dec. 31, 2002, see section 7301(a)(1)(A) of this title. CODIFICATION Section inapplicable to 1991 through 1995 crops of wheat, see section 303 of Pub. L. 101–624, set out as a ‘‘December 20, 1985’’ substituted in text for ‘‘adjourn- note under section 1331 of this title. ment sine die of the first session of the Ninety-ninth Section inapplicable to 1986 crop of wheat, see section Congress’’. 310(a) of Pub. L. 99–198, set out as a note under section AMENDMENTS 1332 of this title. Section inapplicable to 1982 through 1985 crops of 1985—Pub. L. 99–198, temporarily amended section wheat, see section 303 of Pub. L. 97–98, set out as a note generally. Prior to amendment, section read as follows: under section 1331 of this title. ‘‘If a national marketing quota for wheat for one, two, Section inapplicable to 1978 through 1981 crops of or three marketing years is proclaimed, the Secretary wheat, see section 404 of Pub. L. 95–113, set out as a shall, not later than August 1 of the calendar year in note under section 1331 of this title. which such national marketing quota is proclaimed, Pub. L. 91–524, title IV, § 404(1), Nov. 30, 1970, 84 Stat. conduct a referendum, by secret ballot, of farmers to 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, determine whether they favor or oppose marketing 87 Stat. 229, provided that this section is not applicable quotas for the marketing year or years for which pro- to 1971 through 1977 crops of wheat. claimed. Any producer who has a farm acreage allotment shall be eligible to vote in any referendum held § 1336. Referendum pursuant to this section, except that a producer who has a farm acreage allotment of less than fifteen acres If a national marketing quota for wheat for shall not be eligible to vote unless the farm operator one, two, or three marketing years is pro- elected pursuant to section 1335 of this title to be sub- claimed, the Secretary shall, not later than Au- ject to the farm marketing quota. The Secretary shall gust 1 of the calendar year in which such na- proclaim the results of any referendum held hereunder tional marketing quota is proclaimed, conduct a within thirty days after the date of such referendum, referendum, by secret ballot, of farmers to de- and if the Secretary determines that more than one- third of the farmers voting in the referendum voted termine whether they favor or oppose marketing against marketing quotas, the Secretary shall proclaim quotas for the marketing year or years for that marketing quotas will not be in effect with respect which proclaimed. Any producer who has a farm to the crop of wheat produced for harvest in the cal- acreage allotment shall be eligible to vote in endar year following the calendar year in which the ref- any referendum held pursuant to this section, erendum is held. If the Secretary determines that two- except that a producer who has a farm acreage thirds or more of the farmers voting in a referendum allotment of less than fifteen acres shall not be approve marketing quotas for a period of two or three marketing years, no referendum shall be held for the eligible to vote unless the farm operator elected subsequent year or years of such period. Notwithstand- pursuant to section 1335 of this title to be sub- ing any other provision hereof, the referendum with re- ject to the farm marketing quota. The Secretary spect to the national marketing quota for wheat for the shall proclaim the results of any referendum marketing year beginning June 1, 1986, may be con- held hereunder within thirty days after the date ducted not later than thirty-one days after adjourn- of such referendum, and if the Secretary deter- ment sine die of the first session of the Ninety-ninth mines that more than one-third of the farmers Congress.’’ See Effective and Termination Dates of 1985 Amendment note below. voting in the referendum voted against market- Pub. L. 99–63 substituted ‘‘year beginning June 1, ing quotas, the Secretary shall proclaim that 1986, may be conducted not later than thirty-one days marketing quotas will not be in effect with re- after adjournment sine die of the first session of the spect to the crop of wheat produced for harvest Ninety-ninth Congress’’ for ‘‘year beginning June 1, in the calendar year following the calendar year 1982, may be conducted not later than the earlier of the in which the referendum is held. If the Secretary following: (1) thirty days after adjournment sine die of determines that two-thirds or more of the farm- the first session of the Ninety-seventh Congress, or (2) January 1, 1982’’. ers voting in a referendum approve marketing 1981—Pub. L. 97–77 substituted ‘‘January 1, 1982’’ for quotas for a period of two or three marketing ‘‘November 15, 1981’’ in sentence covering the date of years, no referendum shall be held for the subse- the referendum for the national marketing quota for quent year or years of such period. Notwith- wheat for the marketing year beginning June 1, 1982. standing any other provision hereof, the referen- Pub. L. 97–62 and Pub. L. 97–67 made identical amend- dum with respect to the national marketing ments providing for substitution of ‘‘November 15, quota for wheat for the marketing year begin- 1981’’ for ‘‘October 15, 1981’’ in sentence covering the date of the referendum for the national marketing ning June 1, 1986, may be conducted not later quota for wheat for the marketing year beginning June than thirty-one days after December 20, 1985. 1, 1982. (Feb. 16, 1938, ch. 30, title III, § 336, 52 Stat. 55; Pub. L. 97–24 substituted ‘‘June 1, 1982’’ for ‘‘June 1, July 3, 1948, ch. 827, title II, § 204(b), 62 Stat. 1256; 1978’’, ‘‘Ninety-seventh Congress’’ for ‘‘Ninety-fifth Congress’’, and ‘‘October 15, 1981’’ for ‘‘October 15, Pub. L. 87–104, July 25, 1961, 75 Stat. 220; Pub. L. 1977’’. 87–128, title I, § 122(f), Aug. 8, 1961, 75 Stat. 297; 1977—Pub. L. 95–48 substituted provisions extending Pub. L. 87–540, July 19, 1962, 76 Stat. 170; Pub. L. the date for the conduct of the referendum with respect Page 609 TITLE 7—AGRICULTURE § 1338 to the national marketing for wheat for the marketing 99–198 is effective only for the 1987 through 1990 crops of year beginning June 1, 1978, by allowing the referendum wheat. to be conducted not later than thirty days after the adjournment sine die of the first session of the Ninety- EFFECTIVE DATE OF 1962 AMENDMENT fifth Congress or Oct. 15, 1977, whichever is earlier, for Amendment by Pub. L. 87–703 effective only with re- provisions which had set the time limits for the ref- spect to programs applicable to crops planted for har- erendums with respect to the national marketing vest in calendar year 1964 or any subsequent year and quotas for wheat for the marketing years beginning marketing years beginning in calendar year 1964, or July 1, 1966, July 1, 1971, and July 1, 1974, respectively. any subsequent year, see section 323 of Pub. L. 87–703, 1973—Pub. L. 93–68 extended time within which the set out as a note under section 1301 of this title. Secretary of Agriculture is required to conduct a referendum with respect to the 1974 crop of wheat, if mar- EFFECTIVE DATE OF 1948 AMENDMENT keting quotas are to be in effect for that crop, to the Amendment by act July 3, 1948, effective Jan. 1, 1950, earlier of thirty days after adjournment of the first ses- see section 303 of act July 3, 1948, set out as a note sion of the Ninety-third Congress or Oct. 15, 1973. under section 1301 of this title. 1970—Pub. L. 91–455 inserted provision extending until 30 days after adjournment sine die of the second session INAPPLICABILITY OF SECTION of the 91st Congress the time within which the Sec- retary of Agriculture is required to conduct a referen- Section inapplicable to 2002 through 2007 crops of cov- dum with respect to the 1971 crop of wheat, if market- ered commodities, peanuts, and sugar and inapplicable ing quotas are to be in effect for that crop. to milk during period beginning May 13, 2002, through Pub. L. 91–348 extended the time within which the Dec. 31, 2007, see section 7992(a)(1) of this title. Secretary of Agriculture is required to conduct a ref- Section inapplicable to 1996 through 2001 crops of loan erendum with respect to the 1971 crop of wheat, if mar- commodities, peanuts, and sugar and inapplicable to keting quotas are to be in effect for that crop, to the milk during period beginning Apr. 4, 1996, and ending earlier of thirty days after adjournment sine die of the Dec. 31, 2002, see section 7301(a)(1)(A) of this title. second session of the ninety-first Congress or October Section inapplicable to 1991 through 1995 crops of 15, 1970. wheat, see section 303 of Pub. L. 101–624, set out as a 1965—Pub. L. 89–82 extended until 30 days after ad- note under section 1331 of this title. journment sine die of the first session of the 89th Con- Section inapplicable to 1986 crop of wheat, see section gress the time within which the Secretary of Agri- 310(a) of Pub. L. 99–198, set out as a note under section culture is required to conduct a referendum with re- 1332 of this title. spect to the 1966 crop of wheat, if marketing quotas are Section inapplicable to 1982 through 1985 crops of to be in effect for that crop. wheat, see section 303 of Pub. L. 97–98, set out as a note 1964—Pub. L. 88–297 substituted ‘‘not later than Au- under section 1331 of this title. gust 1 of the calendar year in which such national mar- Section inapplicable to 1978 through 1981 crops of keting quota is proclaimed’’ for ‘‘not later than sixty wheat, see section 404 of Pub. L. 95–113, set out as a days after such proclamation is published in the Fed- note under section 1331 of this title. eral Register’’. Pub. L. 91–524, title IV, § 404(1), Nov. 30, 1970, 84 Stat. 1962—Pub. L. 87–703 substituted provisions for a ref- 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, erendum to be held not later than sixty days after pub- 87 Stat. 229, provided that this section is not applicable lication in the Federal Register of national marketing to 1971 through 1977 crops of wheat. quota proclamation to determine if the farmers favor or oppose the quota for the year or years for which pro- DATE OF REFERENDUM FOR 1954 CROP claimed, making producers on farms having farm acre- Act July 14, 1953, ch. 194, § 4(b), 67 Stat. 152, provided age allotments eligible to vote except farmers with that the referendum with respect to 1954 crop of wheat small farm base acreage for which the operator did not could be held as late as Aug. 15, 1953. elect to be subject to the program, directing results of referendum to be proclaimed within 30 days after date § 1337. Repealed. Pub. L. 87–703, title III, § 317, of referendum for provisions for referendum between Sept. 27, 1962, 76 Stat. 622 date of proclamation of national marketing quota and July 25, making farmers, who produced more than 15 Section, act Feb. 16, 1938, ch. 30, title III, § 337, 52 acres of wheat eligible to vote, excluding farmers who Stat. 55, related to adjustment and suspension of obtained the feed wheat exemption for the immediately quotas. preceding crop, permitting such referendum for marketing year beginning July 1, 1962, to be held not later EFFECTIVE DATE OF REPEAL than Aug. 26, 1961, and excluding farmers from voting in Repeal effective only with respect to programs appli- the 1961 referendum who had not produced in excess of cable to crops planted for harvest in calendar year 1964 13.5 acres of wheat in at least one of the years 1959, 1960, or any subsequent year and marketing years beginning or 1961 and permitting such referendum for marketing in calendar year 1964, or any subsequent year, see sec- year beginning July 1, 1963, to be held not later than tion 323 of Pub. L. 87–703, set out as a note under sec- Aug. 31, 1962. tion 1301 of this title. Pub. L. 87–540 inserted provisions for conducting wheat marketing quota referendum for marketing year § 1338. Transfer of quotas beginning July 1, 1963, not later than August 31, 1962. 1961—Pub. L. 87–128 prohibited farmers who have not Farm marketing quotas for wheat shall not be produced in excess of 13.5 acres of wheat in at least one transferable, but, in accordance with regula- of the years 1959, 1960, or 1961 from voting in the ref- tions prescribed by the Secretary for such pur- erendum conducted with respect to the national mar- pose, any farm marketing quota in excess of the keting quota for the marketing year beginning July 1, supply of wheat for such farm for any marketing 1962. Pub. L. 87–104 inserted provisions for conducting year may be allocated to other farms on which wheat marketing quota referendum for marketing year the acreage allotment has not been exceeded. beginning July 1, 1962, not later than August 26, 1961. 1948—Act July 3, 1948, substituted ‘‘July 25’’ for ‘‘June (Feb. 16, 1938, ch. 30, title III, § 338, 52 Stat. 55; 10’’. Pub. L. 99–198, title III, § 307, Dec. 23, 1985, 99 Stat. 1382.) EFFECTIVE AND TERMINATION DATES OF 1985 AMENDMENT AMENDMENTS Pub. L. 99–198, title III, § 306, Dec. 23, 1985, 99 Stat. 1985—Pub. L. 99–198 amended section generally, tem- 1382, provided that the amendment made by Pub. L. porarily substituting provisions for voluntary surren- § 1339 TITLE 7—AGRICULTURE Page 610 der of any part of a farm marketing quota by the pro- equal to the increased acreage allotted for 1966 ducer and reallocation by the Secretary to other farms pursuant to section 1335 of this title) is reduced having farm marketing quotas for provisions authoriz- below fifty-five million acres by the number of ing allocation of excess quotas to other farms on which acres in the national acreage allotment (less an the acreage allotment had not been exceeded. See Ef- fective and Termination Dates of 1985 Amendment note acreage equal to the increased acreage allotted below. for 1966 pursuant to section 1335 of this title). The actual production of any crop subject to EFFECTIVE AND TERMINATION DATES OF 1985 penalty under this subsection shall be regarded AMENDMENT as available for marketing and the penalty on Pub. L. 99–198, title III, § 307, Dec. 23, 1985, 99 Stat. such crop shall be computed on the actual acre- 1382, provided that the amendment made by Pub. L. age of such crop at the rate of 65 per centum of 99–198 is effective only for the 1987 through 1990 crops of the parity price per bushel of wheat as of May 1 wheat. of the calendar year in which such crop is har- INAPPLICABILITY OF SECTION vested, multiplied by the normal yield of wheat per acre established for the farm. Until the pro- Section inapplicable to 2002 through 2007 crops of covered commodities, peanuts, and sugar and inapplicable ducers on any farm pay the penalty on such to milk during period beginning May 13, 2002, through crop, the entire crop of wheat produced on the Dec. 31, 2007, see section 7992(a)(1) of this title. farm and any subsequent crop of wheat subject Section inapplicable to 1996 through 2001 crops of loan to marketing quotas in which the producer has commodities, peanuts, and sugar and inapplicable to an interest shall be subject to a lien in favor of milk during period beginning Apr. 4, 1996, and ending the United States for the amount of the penalty. Dec. 31, 2002, see section 7301(a)(1)(A) of this title. Each producer having an interest in the crop or Section inapplicable to 1991 through 1995 crops of crops on acreage diverted or required to be di- wheat, see section 303 of Pub. L. 101–624, set out as a note under section 1331 of this title. verted from the production of wheat shall be Section inapplicable to 1986 crop of wheat, see section jointly and severally liable for the entire 310(a) of Pub. L. 99–198, set out as a note under section amount of the penalty. The persons liable for 1332 of this title. the payment or collection of the penalty under Section inapplicable to 1982 through 1985 crops of this section shall be liable also for interest wheat, see section 303 of Pub. L. 97–98, set out as a note thereon at the rate of 6 per centum per annum under section 1331 of this title. from the date the penalty becomes due until the Section inapplicable to 1978 through 1981 crops of date of payment of such penalty. wheat, see section 404 of Pub. L. 95–113, set out as a note under section 1331 of this title. (2) The Secretary may require that the acre- Pub. L. 91–524, title IV, § 404(1), Nov. 30, 1970, 84 Stat. age on any farm diverted from the production of 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, wheat be land which was diverted from the pro- 87 Stat. 229, provided that this section is not applicable duction of wheat in the previous year, to the ex- to 1971 through 1977 crops of wheat. tent he determines that such requirement is necessary to effectuate the purposes of this part. § 1339. Land use (3) The Secretary may permit the diverted (a) Penalties: computation, lien, joint and several acreage to be grazed in accordance with regula- liability and interest; exceptions: nonsurplus tions prescribed by the Secretary. supply crops, substantial impairment, and (b) Payment program for 1964 through 1970 nonproduction of wheat; diverted acreage: crops; terms and conditions; amount; addi- amount, annual identity, and grazing; crops tional diverted acreage; conservation and available for marketing soil-conserving uses; adjustment; knowledge (1) During any year in which marketing quotas of exceeding acreage allotment; acreage al- for wheat are in effect, the producers on any lotment not exceeded by delivery to Sec- farm (except a new farm receiving an allotment retary of farm marketing excess or storage in from the reserve for new farms) on which any accordance with regulations to avoid or post- crop is produced on acreage required to be di- pone payment of penalty or by farms exempt verted from the production of wheat shall be from marketing quota; new farms ineligible subject to a penalty on such crop, in addition to for payments; sharing and medium of pay- any marketing quota penalty applicable to such ments crops, as provided in this subsection unless (1) The Secretary is authorized to formulate and the crop is designated by the Secretary as one carry out a program with respect to the crops of which is not in surplus supply and will not be in wheat planted for harvest in the calendar years surplus supply if it is permitted to be grown on 1964 through 1970 under which, subject to such the diverted acreage, or as one the production of terms and conditions as he determines are desir- which will not substantially impair the purpose able to effectuate the purposes of this section, of the requirements of this section, or (2) no payments may be made in amounts not in excess wheat is produced on the farm, and the produc- of 50 per centum of the estimated basic county ers have not filed an agreement or a statement support rate for wheat not accompanied by mar- of intention to participate in the payment pro- keting certificates on the normal production of gram formulated pursuant to subsection (b) of the acreage diverted taking into account the in- this section. The acreage required to be diverted come objectives of the chapter, determined by from the production of wheat on the farm shall the Secretary to be fair and reasonable with re- be an acreage of cropland equal to the number of spect to acreage diverted pursuant to subsection acres determined by multiplying the farm acre- (a) of this section. Any producer who complies age allotment by the diversion factor deter- with his 1964 farm acreage allotment for wheat mined by dividing the number of acres by which and with the other requirements of the program the national acreage allotment (less an acreage shall be eligible to receive payments under the Page 611 TITLE 7—AGRICULTURE § 1339 program for the 1964 crop of wheat. The Sec- duction of guar, sesame, safflower, sunflower, retary may permit producers on any farm to di- castor beans, mustard seed, crambe, plantago vert from the production of wheat an acreage, in ovato, and flaxseed, if he determines that such addition to the acreage diverted pursuant to production of the commodity is needed to pro- subsection (a) of this section, equal to 50 per vide an adequate supply, is not likely to in- centum of the farm acreage allotment for wheat: crease the cost of the price-support program and Provided, That the producers on any farm may, will not adversely affect farm income, subject to at their election, divert such acreage in addition the condition that payment with respect to di- to the acreage diverted pursuant to subsection verted acreage devoted to any such crop shall be (a) of this section, as will bring the total acre- at a rate determined by the Secretary to be fair age diverted on the farm to twenty-five acres. and reasonable taking into consideration the Such program shall require (1) that the diverted use of such acreage for the production of such acreage shall be devoted to conservation uses crops: Provided, That in no event shall the pay- approved by the Secretary; (2) that the total ment exceed one-half the rate which otherwise acreage of cropland on the farm devoted to soil- would be applicable if such acreage were devoted conserving uses, including summer fallow and to conservation uses. idle land but excluding the acreage diverted as (f) Additional terms and conditions provided above, shall be not less than the total average acreage of cropland devoted to soil-con- The program formulated pursuant to sub- serving uses including summer fallow and idle section (b) of this section may include such land on the farm during a representative period, terms and conditions, including provision for as determined by the Secretary, adjusted to the the control of erosion, in addition to those spe- extent the Secretary determines appropriate for cifically provided for herein, as the Secretary (i) abnormal weather conditions or other factors determines are desirable to effectuate the pur- affecting production, (ii) established crop-rota- poses of this section. tion practices on the farm, (iii) participation in (g) Regulations other Federal farm programs, (iv) unusually The Secretary is authorized to promulgate high percentage of land on the farm devoted to such regulations as may be desirable to carry conserving uses, and (v) other factors which the out the provisions of this section. Secretary determines should be considered for the purpose of establishing a fair and equitable (h) Commodity Credit Corporation funds and au- soil-conserving acreage for the farm; and (3) thorization of appropriations for payments that the producer shall not knowingly exceed (i) and administrative expenses any farm acreage allotment in effect for any The Commodity Credit Corporation is author- commodity produced on the farm, and (ii) except ized to utilize its capital funds and other assets as the Secretary may by regulations prescribe, for the purpose of making the payments author- with the farm acreage allotments on any other ized in this section and to pay administrative farm for any crop in which the producer has a expenses necessary in carrying out this section share: Provided, That no producer shall be during the period ending June 30, 1965. There is deemed to have exceeded a farm acreage allot- authorized to be appropriated such amounts as ment for wheat if the entire amount of the farm may be necessary thereafter to pay such admin- marketing excess is delivered to the Secretary istrative expenses. or stored in accordance with applicable regulations to avoid or postpone payment of the pen- (Feb. 16, 1938, ch. 30, title III, § 339, as added Pub. alty: And provided further, That no producer L. 87–703, title III, § 318, Sept. 27, 1962, 76 Stat. shall be deemed to have exceeded a farm acreage 622; amended Pub. L. 88–297, title II, § 202(7)–(9), allotment for any crop of wheat if the farm is Apr. 11, 1964, 78 Stat. 179; Pub. L. 89–321, title V, exempt from the farm marketing quota for such §§ 501(9), (10), 507, Nov. 3, 1965, 79 Stat. 1201, 1204; crop under section 1335 of this title. The produc- Pub. L. 90–559, § 1(1), Oct. 11, 1968, 82 Stat. 996.) ers on a new farm shall not be eligible for pay- PRIOR PROVISIONS ments hereunder. The Secretary shall provide A prior section 1339, act Feb. 16, 1938, ch. 30, title III, for the sharing of payment among producers on § 339, 52 Stat. 55, related to penalties for marketing the farm on a fair and equitable basis. Payments wheat in excess of quotas, prior to repeal by act July may be made in cash or in wheat. 14, 1953, ch. 194, §§ 2, 5, 67 Stat. 151, 152, effective with re- (c) Adjustment of payments spect to the 1954 and subsequent crops of wheat. See The Secretary may provide for adjusting any section 1340(2) of this title. payment on account of failure to comply with AMENDMENTS the terms and conditions of the land-use pro- 1968—Subsec. (b). Pub. L. 90–559 provided for a one gram formulated under subsection (b) of this year extension through 1970. section. 1965—Subsec. (a)(1). Pub. L. 89–321, § 507, inserted (d) Advance payments ‘‘(less an acreage equal to the increased acreage allotted for 1966 pursuant to section 1335 of this title)’’ after Not to exceed 50 per centum of any payment to ‘‘national acreage allotment’’ wherever appearing. producers under subsection (b) of this section Subsec. (b). Pub. L. 89–321, § 501(9), substituted ‘‘crops may be made in advance of determination of of wheat planted for harvest in the calendar years 1964 performance. through 1969’’ for ‘‘1964 and 1965 crops of wheat’’, ‘‘50 per (e) Diverted acreage used for production of cer- centum of the farm acreage allotment’’ for ‘‘20 per cen- tain crops; rate of payment; limitation on tum of the farm acreage allotment’’, and ‘‘twenty-five rate acres’’ for ‘‘fifteen acres’’. Subsec. (e). Pub. L. 89–321, § 501(10), authorized Sec- The Secretary may permit all or any part of retary to permit all or part of diverted acreage to be the diverted acreage to be devoted to the pro- devoted to mustardseed, crambe, and plantago ovato in § 1339a TITLE 7—AGRICULTURE Page 612 addition to previously authorized guar, sesame, saf- 87 Stat. 229, provided that this section is not applicable flower, sunflower, castor beans, and flax, if he deter- to 1971 through 1977 crops of wheat. mines that such production of the commodity is need- WHEAT DIVERSION PROGRAMS; CREDITS IN ESTABLISH- ed, is not likely to increase cost of price-support pro- MENT OF STATE, COUNTY AND FARM ACREAGE ALLOT- gram, and will not adversely affect farm income, and MENTS FOR WHEAT removed from proviso the prohibition against making available price supports for production of such crops on Credits to State, county and farm of acreage diverted diverted acreage. from production of wheat as though actually devoted to 1964—Subsec. (a)(1). Pub. L. 88–297, § 202(7), tempo- such production, see section 1339b of this title. rarily suspended land-use penalties and made the diversion of land from the production of wheat only a condi- § 1339a. Repealed. Pub. L. 107–171, title I, tion of eligibility for receiving wheat marketing cer- § 1613(j)(1), May 13, 2002, 116 Stat. 221 tificates. See Effective and Termination Dates of 1964 Section, Pub. L. 87–703, title III, § 326, Sept. 27, 1962, 76 Amendment note below. Stat. 631; Pub. L. 88–26, § 4, May 20, 1963, 77 Stat. 47; Subsec. (b). Pub. L. 88–297, § 202(8), inserted in first Pub. L. 89–321, title III, § 303, Nov. 3, 1965, 79 Stat. 1192; sentence ‘‘for wheat not accompanied by marketing Pub. L. 101–624, title XI, § 1132(c), Nov. 28, 1990, 104 Stat. certificates’’ after ‘‘basic county support rate’’ and in- 3515; Pub. L. 102–237, title I, § 118(d), Dec. 13, 1991, 105 serted after first sentence ‘‘Any producer who complies Stat. 1842, related to good faith reliance. with his 1964 farm acreage allotment for wheat and with the other requirements of the program shall be el- § 1339b. Wheat diversion programs; credits in es- igible to receive payments under the program for the tablishment of State, county and farm acre- 1964 crop of wheat.’’ age allotments for wheat Subsec. (h). Pub. L. 88–297, § 202(9), substituted ‘‘June 30, 1965’’ for ‘‘June 30, 1963’’. In the establishment of State, county, and farm acreage allotments for wheat under this EFFECTIVE DATE OF 1965 AMENDMENT chapter, the acreage which is determined under Amendment by section 501 of Pub. L. 89–321 effective regulations of the Secretary to have been di- beginning with crop planted for harvest in calendar verted from the production of wheat under the year 1966, see section 501 of Pub. L. 89–321, set out as a special programs formulated pursuant to section note under section 1332 of this title. 307 of this Act, section 1339 of this title, and sec- Pub. L. 89–321, title V, § 507, Nov. 3, 1965, 79 Stat. 1204, tion 124 of the Agricultural Act of 1961, shall be provided that the amendment made by that section is credited to the State, county, and farm as effective beginning with the crop planted for harvest in though such acreage had actually been devoted calendar year 1967. to the production of wheat. (Pub. L. 87–703, title III, § 327, Sept. 27, 1962, 76 EFFECTIVE AND TERMINATION DATES OF 1964 AMENDMENT Stat. 631.) Pub. L. 88–297, title II, § 202(7), Apr. 11, 1964, 78 Stat. REFERENCES IN TEXT 179, as amended by Pub. L. 89–321, title V, § 505(1), Nov. Section 307 of this Act (the Food and Agriculture Act 3, 1965, 79 Stat. 1203; Pub. L. 90–559, § 1(1), Oct. 11, 1968, of 1962) and section 124 of the Agricultural Act of 1961, 82 Stat. 996, provided that the amendment made by sec- referred to in text, are set out as notes under section tion 202(7) of Pub. L. 88–297 is effective only with re- 1334 of this title. spect to the crops planted for harvest in calendar years 1964 through 1970. CODIFICATION Section was enacted as part of the Food and Agri- EFFECTIVE DATE culture Act of 1962, and not as part of the Agricultural Adjustment Act of 1938 which comprises this chapter. Section effective only with respect to programs applicable to crops planted for harvest in calendar year 1964 § 1339c. Feed grains diversion programs for 1964 or any subsequent year and marketing years beginning and subsequent years; feed grain acreage in calendar year 1964, or any subsequent year, see sec- considered wheat acreage and wheat acreage tion 323 of Pub. L. 87–703, set out as an Effective Date considered feed grain acreage of 1962 Amendment note under section 1301 of this title. Effective with the 1964 crop, during any year INAPPLICABILITY OF SECTION in which an acreage diversion program is in effect for feed grains, the Secretary shall, not- Section inapplicable to 2002 through 2007 crops of cov- withstanding any other provision of law, permit ered commodities, peanuts, and sugar and inapplicable to milk during period beginning May 13, 2002, through producers of feed grains to have acreage devoted Dec. 31, 2007, see section 7992(a)(1) of this title. to the production of feed grains considered as Section inapplicable to 1996 through 2001 crops of loan devoted to the production of wheat and produc- commodities, peanuts, and sugar and inapplicable to ers of wheat to have acreage devoted to the pro- milk during period beginning Apr. 4, 1996, and ending duction of wheat considered as devoted to the Dec. 31, 2002, see section 7301(a)(1)(A) of this title. production of feed grains to such extent and sub- Section inapplicable to 1991 through 1995 crops of ject to such terms and conditions as the Sec- wheat, see section 303 of Pub. L. 101–624, set out as a retary determines will not impair the effective note under section 1331 of this title. operation of the program for feed grains or Section inapplicable to 1986 through 1990 crops of wheat, see section 310(b) of Pub. L. 99–198, set out as a wheat. In establishing terms and conditions for note under section 1331 of this title. permitting wheat to be planted in lieu of oats Section inapplicable to 1982 through 1985 crops of and rye, the Secretary may take into account wheat, see section 303 of Pub. L. 97–98, set out as a note the number of feed units per acre of wheat in re- under section 1331 of this title. lation to the number of feed units per acre of Section inapplicable to 1978 through 1981 crops of oats and rye. wheat, see section 404 of Pub. L. 95–113, set out as a note under section 1331 of this title. (Pub. L. 87–703, title III, § 328, Sept. 27, 1962, 76 Pub. L. 91–524, title IV, § 404(1), Nov. 30, 1970, 84 Stat. Stat. 631; Pub. L. 89–321, title V, § 514, Nov. 3, 1366, as amended by Pub. L. 93–86, § 1(11), Aug. 10, 1973, 1965, 79 Stat. 1206.) Page 613 TITLE 7—AGRICULTURE § 1340

AMENDMENTS REFERENCES IN TEXT 1965—Pub. L. 89–321 authorized the Secretary, in es- The wheat program under title IV of this Act, the tablishing terms and conditions for permitting wheat feed grain program under title V of this Act, and the to be planted in lieu of oats and rye, to take into ac- cotton program under title VI of this Act, referred to count the number of feed units per acre of wheat in re- in subsec. (a), mean the programs for such crops as set lation to the number of feed units per acre of oats and out in the Agricultural Act of 1970, Pub. L. 91–524, Nov. rye. 30, 1970, 84 Stat. 1358, as amended. Title IV of that Act enacted section 1334a–1 of this title, amended sections CODIFICATION 1301, 1305, 1306, 1378, 1379, 1379b, 1379c, 1379d, 1379e, 1379g, Section was enacted as part of the Food and Agri- 1385, 1427, 1428, and 1445a of this title, and enacted pro- culture Act of 1962, and not as part of the Agricultural visions set out as notes under sections 1301, 1305, 1306, Adjustment Act of 1938 which comprises this chapter. 1330 to 1334, 1335, 1336, 1338, 1339, and 1379c of this title. Title V of that Act amended section 1444b of this title § 1339d. Hay production on set-aside or diverted and provisions set out as a note under section 1444b of acreage; storage; emergency use; loans this title. Title VI of that Act enacted sections 1342a, 1350a, and 2119 of this title, amended sections 1305, (a) Notwithstanding any other provision of 1344b, 1350, 1374, 1378, 1379, 1385, 1427, 1428, 1444, and 1444a law, the Secretary shall permit any producer of this title, and enacted provisions set out as notes who is participating in the wheat program under under sections 1305, 1342, 1342a, 1343, 1344, 1344b, 1345, title IV of this Act, in the feed grain program 1346, 1377, 1378, 1379, 1385, 1427, 1428, 1444, and 1446d of under title V of this Act, or in the cotton pro- this title. For complete classification of this Act to the gram under title VI of this Act, in any year in Code, see Short Title of 1970 Amendment note set out which an acreage diversion or set-aside program under section 1281 of this title and Tables. is in effect, under any such program in which CODIFICATION such producer is participating, subject to the Section was enacted as part of the Agricultural Act conditions prescribed in subsection (b) of this of 1970, and not as part of the Agricultural Adjustment section, to plant and harvest hay from 25 per Act of 1938 which comprises this chapter. centum of the acreage on the farm diverted from production under such programs or twenty-five § 1340. Supplemental provisions relating to acres, whichever is greater. wheat marketing quotas; marketing penalty (b) Any producer who elects to plant and har- for rice; crop loans on cotton, wheat, rice, to- vest hay on diverted or set aside acreage pursu- bacco, and peanuts ant to this section shall first agree not to use Notwithstanding the other provisions of this any such hay harvested from such acreage un- chapter— less authorized to do so by the Secretary. (1) The farm marketing quota for any crop of (c) When any diverted or set aside acreage has wheat shall be the actual production of the been planted and harvested under authority of acreage planted to such crop of wheat on the this section, the hay harvested therefrom shall farm less the farm marketing excess. The farm be baled and stored in sealed storage on the marketing excess shall be an amount equal to farm in accordance with such regulations as the twice the projected farm yield multiplied by Secretary may prescribe and shall be available the number of acres of such crop of wheat on only for use during periods of emergency de- the farm in excess of the farm acreage allot- clared by the Secretary. In order to avoid dete- ment for such crop unless the producer, in ac- rioration of such hay stored on the farm for cordance with regulations issued by the Sec- emergency purposes pursuant to this section, retary and within the time prescribed therein, the Secretary may permit such hay to be re- establishes to the satisfaction of the Secretary moved and used or sold from time to time so the actual production of such crop of wheat on long as an amount of hay equal to the amount the farm. If such actual production is so estab- removed is previously placed in storage and lished, the farm marketing excess shall be an sealed. amount equal to the actual production of the (d) Any farmer who has hay stored on his farm number of acres of wheat on the farm in excess for emergency purposes pursuant to this section of the farm acreage allotment for such crop. In may remove such hay from storage and use it determining the farm marketing quota and whenever the Secretary has (1) designated as an farm marketing excess, any acreage of wheat emergency area the area in which such farm is remaining after the date prescribed by the located, and (2) specifically authorized the use of Secretary for the disposal of excess acres of emergency hay by farmers in the area. wheat shall be included as acreage of wheat on (e) The Secretary of Agriculture is authorized the farm, and the production thereof shall be to make or guarantee loans to farmers, both appraised in such manner as the Secretary de- tenants and landowners, to assist such farmers termines will provide a reasonably accurate in the construction of storage facilities on the estimate of such production. Any acreage of farm for the storage of emergency hay pursuant wheat disposed of in accordance with regula- to the provisions of this section if such farmers tions issued by the Secretary prior to such are unable to obtain loans from commercial date as may be prescribed by the Secretary sources at reasonable rates and on reasonable shall be excluded in determining the farm terms and conditions. Loans made by the Sec- marketing quota and farm marketing excess. retary under this subsection shall be made at Self-seeded (volunteer) wheat shall be included the current rate of interest for periods not ex- in determining the acreage of wheat. Market- ceeding ten years, and on such other terms and ing quotas for any marketing year shall be in conditions as the Secretary may prescribe. effect with respect to wheat harvested in the (Pub. L. 91–524, title VIII, § 805, Nov. 30, 1970, 84 calendar year in which such marketing year Stat. 1382.) begins notwithstanding that the wheat is mar- § 1340 TITLE 7—AGRICULTURE Page 614

keted prior to the beginning of such market- exceeds the planted acreage. The provisions of ing year. section 1326(b) and (c) of this title shall be ap- (2) Whenever farm marketing quotas are in plicable also to wheat. effect with respect to any crop of wheat, the (7) Until the farm marketing excess of wheat producers on a farm shall be subject to a pen- is stored or delivered to the Secretary or the alty on the farm marketing excess of wheat at penalty thereon is paid, each bushel of the a rate per bushel equal to 65 per centum of the commodity produced on the farm which is sold parity price per bushel of wheat as of May 1 of by the producer to any person within the the calendar year in which the crop is har- United States shall be subject to the penalty vested. Each producer having an interest in as specified in paragraph (2) of this section. the crop of wheat on any farm for which a Such penalty shall be paid by the buyer, who farm marketing excess of wheat is determined may deduct an amount equivalent to the pen- shall be jointly and severally liable for the en- alty from the price paid to the producer. If the tire amount of the penalty on the farm mar- buyer fails to collect such penalty, such buyer keting excess. and all persons entitled to share in the wheat (3) The farm marketing excess for wheat marketed from the farm or the proceeds there- shall be regarded as available for marketing, of shall be jointly and severally liable for such and the penalty and the storage amount or penalty. amounts to be delivered to the Secretary of (8) The marketing penalty for rice produced the commodity shall be computed upon twice in the calendar year in which any marketing the normal production of the excess acreage. year begins (if beginning with or after the Where, upon the application of the producer 1941–1942 marketing year) shall be at a rate for an adjustment of penalty or of storage, it equal to 50 per centum of the basic rate of the is shown to the satisfaction of the Secretary loan for cooperators for such marketing year that the actual production of the excess acre- under section 1302 of this title and this sec- age is less than twice the normal production tion. thereof, the difference between the amount of (9) Omitted. the penalty or storage as computed upon the (10) The provisions of this section are basis of twice the normal production and as amendatory of and supplementary to this computed upon the basis of actual production chapter, and all provisions of law applicable in shall be returned to or allowed the producer. respect of marketing quotas and loans under The Secretary shall issue regulations under such chapter as so amended and supplemented which the farm marketing excess of the com- shall be applicable, but nothing in this section modity for the farm may be stored or deliv- shall be construed to amend or repeal sections ered to him. Upon failure to store or deliver to 1301(b)(6), 1323(b), or 1335(d) of this title. the Secretary the farm marketing excess with- (11) The persons liable for the payment or in such time as may be determined under reg- collection of the penalty on any amount of ulations prescribed by the Secretary, the pen- wheat shall be liable also for interest thereon alty computed as aforesaid shall be paid by at the rate of 6 per centum per annum from the producer. Any wheat delivered to the Sec- the date the penalty becomes due until the retary hereunder shall become the property of date of payment of such penalty. the United States and shall be disposed of by (12) If marketing quotas for wheat are not in the Secretary for relief purposes in the United effect for any marketing year, all previous States or in foreign countries or in such other marketing quotas applicable to wheat shall be manner as he shall determine will divert it terminated, effective as of the first day of from the normal channels of trade and com- such marketing year. Such termination shall merce. not abate any penalty previously incurred by (4) Until the producers on any farm store, a producer or relieve any buyer of the duty to deliver to the Secretary, or pay the penalty remit penalties previously collected by him. on, the farm marketing excess of any crop of (May 26, 1941, ch. 133, 55 Stat. 203; Dec. 26, 1941, wheat, the entire crop of wheat produced on ch. 626, § 2, 55 Stat. 860; Dec. 26, 1941, ch. 636, 55 the farm and any subsequent crop of wheat Stat. 872; Aug. 29, 1949, ch. 518, § 3(b), 63 Stat. 676; subject to marketing quotas in which the pro- July 14, 1953, ch. 194, § 3, 67 Stat. 151; Aug. 28, ducer has an interest shall be subject to a lien 1954, ch. 1041, title III, § 313, 68 Stat. 905; Pub. L. in favor of the United States for the amount of 87–128, title I, § 122(d), Aug. 8, 1961, 75 Stat. 297; the penalty. Pub. L. 87–703, title III, §§ 309, 319, Sept. 27, 1962, (5) The penalty upon wheat stored shall be 76 Stat. 618, 624; Pub. L. 87–801, Oct. 11, 1962, 76 paid by the producer at the time, and to the Stat. 909; Pub. L. 89–321, title V, § 511(b), Nov. 3, extent, of any depletion in the amount of the 1965, 79 Stat. 1205.) commodity so stored, except depletion resulting from some cause beyond the control of the REFERENCES IN TEXT producer. Section 1302 of this title, referred to in par. (8), was (6) Whenever the planted acreage of the then repealed by act Oct. 31, 1949, ch. 792, title IV, § 414, 63 current crop of wheat on any farm is less than Stat. 1057. the farm acreage allotment for such commod- Section 1323(b) of this title, referred to in par. (10), ity, the total amount of the commodity from was repealed by act Aug. 28, 1954, ch. 1041, title III, § 304, any previous crops required to be stored in 68 Stat. 902, and had provided that no farm marketing quota with respect to any crop of corn shall be applica- order to postpone or avoid payment of penalty ble to any farm on which the normal production of the shall be reduced by that amount which is acreage planted to corn is less than 300 bushels. equal to the normal production of the number Section 1335(d) of this title, referred to in par. (10), of acres by which the farm acreage allotment was repealed by Pub. L. 87–129, title I, § 122(e), Aug. 8, Page 615 TITLE 7—AGRICULTURE § 1340

1961, 75 Stat. 297, and had provided that no farm mar- Par. (11). Pub. L. 87–703, § 319(9), added par. (11). keting quota with respect to wheat shall be applicable Former par. (11) redesignated (10). in any marketing year to any farm on which the nor- Par. (12). Pub. L. 87–703, § 319(9), added par. (12). mal production of the acreage planted to wheat of the Former par. (12), which limited farm marketing excess current crop is less than 200 bushels. for any crop of wheat and provided for return to producer of difference between amount of penalty or stor- CODIFICATION age as computed upon farm marketing excess before ad- Section was not enacted as part of the Agricultural justment and as computed upon adjusted farm market- Adjustment Act of 1938 which comprises this chapter. ing excess, where a downward adjustment in amount of Par. (9), which directed the Commodity Credit Cor- farm marketing excess was made, was repealed by such poration to make loans upon the 1941 to 1946 cotton, section 319(9). wheat, rice, tobacco, and peanut crops for which pro- 1961—Par. (7). Pub. L. 87–128 authorized Secretary to ducers did not disapprove marketing quotas at the rate prescribe regulations relating to the exemption of of 85% of parity to cooperators and, to noncooperators, farms from marketing quotas on any crop of wheat, at the rate of 60% of the rate specified for cooperators specified the exemption for the 1962 crop and elimi- and limited to that amount of the commodity as would nated marketing penalty provisions relating to non- be subject to penalty if marketed by the noncoopera- allotment farms under the Soil Conservation and Do- tors, was omitted from the Code. mestic Allotment Act. 1954—Act Aug. 28, 1954, amended section generally to AMENDMENTS make it inapplicable to corn. 1965—Par. (1). Pub. L. 89–321 substituted ‘‘projected 1953—Act July 14, 1953, omitted penalty for market- farm yield’’ for ‘‘normal yield of wheat per acre estab- ing corn in excess of quotas and changed penalty for lished for the farm’’. marketing wheat in excess of quotas from 50 per cen- 1962—Par. (1). Pub. L. 87–703, § 319(1), substituted re- tum of basic loan rate on commodity for cooperators to quirement that computation of the farm marketing ex- 45 per centum of parity price. cess initially be double the farm normal yield of wheat 1949—Par. (9). Act Aug. 29, 1949, struck out ‘‘cotton times the excess acres, such excess acres being reduced and’’ after ‘‘penalty for’’. to the actual yield times the excess acres, upon proof 1941—Par. (10). Act Dec. 26, 1941, ch. 626, substituted by the producer of the actual yield, for provision that ‘‘1941, 1942, 1943, 1944, 1945 and 1946 crops of the commod- the farm marketing excess could not be more than the ities cotton, corn, wheat, rice, tobacco and peanuts’’ actual production of wheat on the farm less the normal for ‘‘1941 crop of the commodities cotton, corn, wheat, production of the farm acreage allotment and provided rice, or tobacco’’ and ‘‘for the marketing year begin- that the acreage of wheat not disposed of by the pre- ning in the calendar year in which such crop is har- scribed date would be considered wheat acreage, with vested’’ for ‘‘marketing year beginning in 1941.’’ the wheat production thereon appraised for the pur- Par. (12). Act Dec. 26, 1941, ch. 636, added par. (12). poses of determining the farm marketing quota and EFFECTIVE DATE OF 1962 AMENDMENT farm marketing excess, that wheat acreage disposed of prior to the disposal date would not be considered acre- Amendment by section 319 of Pub. L. 87–703 effective age and that the acreage of volunteer wheat not dis- only with respect to programs applicable to crops posed of would be considered wheat acreage. planted for harvest in calendar year 1964 or any subse- Par. (2). Pub. L. 87–703, § 319(2), increased from 45 to 65 quent year and marketing years beginning in calendar per centum the rate of penalty on farm marketing ex- year 1964, or any subsequent year, see section 323 of cess and provided for joint and several liability for such Pub. L. 87–703, set out as a note under section 1301 of penalty. this title. Par. (3). Pub. L. 87–703, § 319(3), required computation EFFECTIVE DATE OF 1953 AMENDMENT of the farm marketing excess initially upon twice the normal yield and eliminated reference to corn. Act Amendment by act July 14, 1953, effective with re- Aug. 28, 1954, had made the section in applicable to spect to 1954 and subsequent crops of wheat, see section corn. 5 of act July 14, 1953, set out as a note under section Par. (4). Pub. L. 87–703, § 319(4), inserted ‘‘and any sub- 1334 of this title. sequent crop of wheat subject to marketing quotas in TRANSFER OF FUNCTIONS which the producer has an interest’’ after ‘‘produced on the farm’’ and struck out reference to corn. Act Aug. Administration of program of Commodity Credit Cor- 28, 1954, had made the section inapplicable to corn. poration transferred to Secretary of Agriculture by 1946 Pars. (5), (6). Pub. L. 87–703, § 319(5), (6), struck out ref- Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, erence to corn. Act Aug. 28, 1954, had made section in- 60 Stat. 1100, set out in the Appendix to Title 5, Govern- applicable to corn. ment Organization and Employees. Par. (7). Pub. L. 87–703, § 319(7), (8), redesignated par. EXCEPTIONS FROM TRANSFER OF FUNCTIONS (8) as (7), and inserted provision for joint and several liability for penalty and struck out reference to corn, re- Functions of Corporations of Department of Agri- spectively. Act Aug. 28, 1954, had made section inap- culture, boards of directors and officers of such cor- plicable to corn. Provisions of former par. (7), which porations; Advisory Board of Commodity Credit Cor- provided a 15-acre exemption but provided for a farm poration; and Farm Credit Administration or any agen- marketing quota on 1962 crop of wheat to any farm on cy, officer or entity of, under, or subject to supervision which the acreage of wheat exceeded the smaller of (1) of said Administration excepted from functions of offi- 13.5 acres, or (2) of the highest number of acres actually cers, agencies, and employees transferred to Secretary planted to, wheat on the farm for harvest in any of the of Agriculture by 1953 Reorg. Plan No. 2, § 1, eff. June calendar years 1959, 1960, or 1961 and provisions of 4, 1953, 18 F.R. 3219, 67 Stat. 633, set out as a note under former par. (7), added by Pub. L. 87–703, § 309, which pro- section 2201 of this title. vided for a farm marketing quota on 1963 crop of wheat INAPPLICABILITY OF SECTION to any farm on which the acreage of wheat exceeded the smaller of (1) 15 acres, or (2) the highest number of Section inapplicable to crops of wheat planted for acres actually planted to wheat on the farm for harvest harvest in calendar years 2002 through 2007, see section in any of the calendar years 1959, 1960, or 1961, or 1963 7992(c) of this title. (provided by Pub. L. 87–801), were repealed by such sec- Section inapplicable to crops of wheat planted for tion 319(7) and are covered by section 1335 of this title. harvest in calendar years 1996 through 2002, see section Pars. (8) to (10). Pub. L. 87–703, § 319(7), redesignated 7301(c) of this title. pars. (9) to (11) as (8) to (10). Former par. (8) redesig- Pub. L. 101–624, title III, § 304, Nov. 28, 1990, 104 Stat. nated (7). 3400, provided that: ‘‘The joint resolution entitled ‘A § 1341 TITLE 7—AGRICULTURE Page 616 joint resolution relating to corn and wheat marketing sumption and export requirements in years of quotas under the Agricultural Adjustment Act of 1938, drought, flood, and other adverse conditions as as amended’, approved May 26, 1941 (7 U.S.C. 1330 and well as in years of plenty, and that the soil re- 1340) shall not be applicable to the crops of wheat sources of the Nation be not wasted in the pro- planted for harvest in the calendar years 1991 through 1995.’’ duction of excessive supplies of cotton. Pub. L. 99–198, title III, § 311, Dec. 23, 1985, 99 Stat. The provisions of this subpart affording a co- 1395, provided that: ‘‘The joint resolution entitled ‘A operative plan to cotton producers are necessary joint resolution relating to corn and wheat marketing and appropriate to prevent the burdens on inter- quotas under the Agricultural Adjustment Act of 1938, state and foreign commerce caused by the mar- as amended’, approved May 26, 1941 (7 U.S.C. 1330 and keting in such commerce of excessive supplies, 1340), shall not be applicable to the crops of wheat and to promote, foster, and maintain an orderly planted for harvest in the calendar years 1986 through flow of an adequate supply of cotton in such 1990.’’ Pub. L. 97–98, title III, § 304, Dec. 22, 1981, 95 Stat. 1227, commerce. provided that: ‘‘Public Law 74, Seventy-seventh Con- (Feb. 16, 1938, ch. 30, title III, § 341, 52 Stat. 55.) gress (55 Stat. 203, as amended) [this section] shall not be applicable to the crops of wheat planted for harvest INAPPLICABILITY OF SECTION in the calendar years 1982 through 1985.’’ Section inapplicable to 2002 through 2007 crops of cov- Pub. L. 95–113, title IV, § 406, Sept. 29, 1977, 91 Stat. ered commodities, peanuts, and sugar and inapplicable 927, provided that: ‘‘Public Law 74, Seventy-seventh to milk during period beginning May 13, 2002, through Congress (55 Stat. 203, as amended) [this section] shall Dec. 31, 2007, see section 7992(a)(1) of this title. not be applicable to the crops of wheat planted for har- Section inapplicable to 1996 through 2001 crops of loan vest in the calendar years 1978 through 1981.’’ commodities, peanuts, and sugar and inapplicable to Pub. L. 91–524, title IV, § 406, Nov. 30, 1970, 84 Stat. milk during period beginning Apr. 4, 1996, and ending 1367, as amended by Pub. L. 93–86, § 1(13), Aug. 10, 1973, Dec. 31, 2002, see section 7301(a)(1)(A) of this title. 87 Stat. 229, provided that: ‘‘Public Law 74, Seventy- seventh Congress (68 Stat. 905) [this section], shall not 1947 MARKETING QUOTAS AND ACREAGE ALLOTMENTS be applicable to the crops of wheat planted for harvest Joint Res. July 24, 1946, ch. 616, 60 Stat. 662, sus- in the calendar years 1971 through 1977.’’ pended marketing quotas and acreage allotments for 1947 in view of the critical shortage of fats and oils and SUBPART IV—MARKETING QUOTAS—COTTON protein feeds. § 1341. Legislative findings § 1342. National marketing quota; proclamation; amount; date of proclamation American cotton is a basic source of clothing and industrial products used by every person in Whenever during any calendar year the Sec- the United States and by substantial numbers of retary determines that the total supply of cot- people in foreign countries. American cotton is ton for the marketing year beginning in such sold on a world-wide market and moves from the calendar year will exceed the normal supply for places of production almost entirely in inter- such marketing year, the Secretary shall pro- state and foreign commerce to processing estab- claim such fact and a national marketing quota lishments located throughout the world at shall be in effect for the crop of cotton produced places outside the State where the cotton is pro- in the next calendar year. The Secretary shall duced. also determine and specify in such proclamation Fluctuations in supplies of cotton and the the amount of the national marketing quota in marketing of excessive supplies of cotton in terms of the number of bales of cotton (standard interstate and foreign commerce disrupt the or- bales of five hundred pounds gross weight) ade- derly marketing of cotton in such commerce quate, together with (1) the estimated carry- with consequent injury to and destruction of over at the beginning of the marketing year such commerce. Excessive supplies of cotton di- which begins in the next calendar year and (2) rectly and materially affect the volume of cot- the estimated imports during such marketing ton moving in interstate and foreign commerce year, to make available a normal supply of cot- and cause disparity in prices of cotton and in- ton: Provided, That beginning with the 1961 crop, dustrial products moving in interstate and for- the national marketing quota shall be not less eign commerce with consequent diminution of than a number of bales equal to the estimated the volume of such commerce in industrial prod- domestic consumption and estimated exports ucts. (less estimated imports) for the marketing year The conditions affecting the production and for which the quota is proclaimed, except that marketing of cotton are such that, without Fed- the Secretary shall make such adjustment in eral assistance, farmers, individually or in co- the amount of such quota as he determines nec- operation, cannot effectively prevent the recur- essary after taking into consideration the esti- rence of excessive supplies of cotton and fluctua- mated stocks of cotton in the United States (in- tions in supplies, cannot prevent indiscriminate cluding the qualities of such stocks) and stocks dumping of excessive supplies on the Nation- in foreign countries which would be available for wide and foreign markets, cannot maintain nor- the marketing year for which the quota is being mal carry-overs of cotton, and cannot provide proclaimed if no adjustment of such quota is for the orderly marketing of cotton in interstate made hereunder, to assure the maintenance of and foreign commerce. adequate but not excessive stocks in the United It is in the interest of the general welfare that States to provide a continuous and stable supply interstate and foreign commerce in cotton be of the different qualities of cotton needed in the protected from the burdens caused by the mar- United States and in foreign cotton consuming keting of excessive supplies of cotton in such countries, and for purposes of national security; commerce, that a supply of cotton be main- but the Secretary, in making such adjustments, tained which is adequate to meet domestic con- may not reduce the national marketing quota Page 617 TITLE 7—AGRICULTURE § 1342 for any year below (i) one million bales less than Pub. L. 101–624, title V, § 502, Nov. 28, 1990, 104 Stat. the estimated domestic consumption and esti- 3440, provided that: ‘‘Sections 342, 343, 344, 345, 346, and mated exports for the marketing year for which 377 of the Agricultural Adjustment Act of 1938 (7 U.S.C. such quota is being proclaimed, or (ii) ten mil- 1342–1346 and 1377) shall not be applicable to any of the 1991 through 1995 crops of upland cotton.’’ lion bales, whichever is larger. Such proclama- Pub. L. 99–198, title V, § 502, Dec. 23, 1985, 99 Stat. 1418, tion shall be made not later than October 15 of provided that: ‘‘Sections 342, 343, 344, 345, 346, and 377 of the calendar year in which such determination the Agricultural Adjustment Act of 1938 (7 U.S.C. is made. Notwithstanding the foregoing provi- 1342–1346 and 1377) [7 U.S.C. 1342, 1343, 1344, 1345, 1346, sions of this section, the national marketing and 1377] shall not be applicable to any of the 1986 quota for cotton for 1957 and 1958 shall be not through 1990 crops of upland cotton.’’ less than the number of bales required to pro- Pub. L. 98–88, § 3, Aug. 26, 1983, 97 Stat. 494, provided vide a national acreage allotment for 1957 and that: ‘‘Sections 342, 343, 344, 344a, 345, 346, and 377 of the Agricultural Adjustment Act of 1938, as amended [sec- 1958 equal to the national acreage allotment for tions 1342, 1343, 1344, 1344b, 1345, 1346, and 1377 of this 1956: Provided, That if the acreage allotment for title], shall not be applicable to the 1984 and subsequent any State for 1957 or 1958 is less than its allot- crops of extra long staple cotton.’’ ment for the preceding year by more than 1 per Pub. L. 97–98, title V, § 501, Dec. 22, 1981, 95 Stat. 1234, centum, such State allotment shall be increased provided that: ‘‘Sections 342, 343, 344, 345, 346, and 377 of so that the reduction shall not exceed 1 per cen- the Agricultural Adjustment Act of 1938 [sections 1342, tum per annum, and the acreage required for 1343, 1344, 1345, 1346, and 1377 of this title] shall not be such increase shall be in addition to the na- applicable to upland cotton of the 1982 through 1985 crops.’’ tional acreage allotment for such year. Addi- Pub. L. 95–113, title VI, § 601, Sept. 29, 1977, 91 Stat. tional acreage apportioned to a State for 1957 or 933, provided that: ‘‘Sections 342, 343, 344, 345, 346, and 1958 under the foregoing proviso shall not be 377 of the Agricultural Adjustment Act of 1938, as taken into account in establishing future State amended [sections 1342, 1343, 1344, 1345, 1346, and 1377 of allotments. Notwithstanding any other provi- this title], shall not be applicable to upland cotton of sion of this chapter, the national marketing the 1978 through 1981 crops.’’ quota for upland cotton for 1959 and subsequent Pub. L. 91–524, title VI, § 601(1), Nov. 30, 1970, 84 Stat. years shall be not less than the number of bales 1371, as amended by Pub. L. 93–86, § 1(19)(A), Aug. 10, 1973, 87 Stat. 233, provided that this section shall not be required to provide a national acreage allotment applicable to upland cotton of 1971 through 1977 crops. for each such year of sixteen million acres. PRELIMINARY ALLOTMENTS FOR 1996 CROP OF UPLAND (Feb. 16, 1938, ch. 30, title III, § 342, 52 Stat. 56; COTTON Aug. 29, 1949, ch. 518, § 1, 63 Stat. 670; May 28, 1956, ch. 327, title III, § 302, 70 Stat. 203; Pub. L. Pub. L. 101–624, title V, § 505, Nov. 28, 1990, 104 Stat. 3440, provided that: ‘‘Notwithstanding any other provi- 85–835, title I, § 103(1), (2), Aug. 28, 1958, 72 Stat. sion of law, the permanent State, county, and farm 989, 990.) base acreage allotments for the 1977 crop of upland cotton, adjusted for any underplantings in 1977 and recon- AMENDMENTS stituted as provided in section 379 of the Agricultural 1958—Pub. L. 85–835, § 103(1), substituted proviso pre- Adjustment Act of 1938 (7 U.S.C. 1379), shall be the prescribing, beginning with the 1961 crop, a minimum na- liminary allotments for the 1996 crop.’’ tional marketing quota for cotton equal to estimated PRELIMINARY ALLOTMENTS FOR 1991 CROP OF UPLAND domestic consumption and exports less imports subject COTTON to adjustment assuring maintenance of adequate but not excessive stocks, the adjustment not to reduce the Pub. L. 99–198, title V, § 506, Dec. 23, 1985, 99 Stat. 1418, national marketing quota for any year below the larger provided that: ‘‘Notwithstanding any other provision of of (1) estimated domestic consumption and exports less law, the permanent State, county, and farm base acre- one million bales or (2) ten million bales, for provisions age allotments for the 1977 crop of upland cotton, ad- prescribing for a national marketing quota not less justed for any underplantings in 1977 and reconstituted than the smaller of ten million bales or one million as provided in section 379 of the Agricultural Adjust- bales less than estimated domestic consumption plus ment Act of 1938 (7 U.S.C. 1379), shall be the prelimi- exports and providing for 1950 a national marketing nary allotments for the 1991 crop.’’ quota based on a twenty-one million national acreage allotment. PRELIMINARY ALLOTMENTS FOR 1986 CROP OF UPLAND Pub. L. 85–835, § 103(2), provided for a national mar- COTTON keting quota for upland cotton for 1959 and subsequent Pub. L. 97–98, title V, § 506, Dec. 22, 1981, 95 Stat. 1241, years based on a sixteen million national acreage allot- provided that: ‘‘Notwithstanding any other provision of ment. law, the permanent State, county, and farm base acre- 1956—Act May 28, 1956, provided that national mar- age allotments for the 1977 crop of upland cotton, ad- keting quota for cotton for 1957 and 1958 shall not be justed for any underplantings in 1977 and reconstituted less than the number of bales required to provide a na- as provided in section 379 of the Agricultural Adjust- tional acreage allotment for 1957 and 1958 equal to na- ment Act of 1938, as amended [section 1379 of this title], tional acreage allotment for 1956. shall again become effective as preliminary allotments 1949—Act Aug. 29, 1949, amended section generally to for the 1986 crop.’’ set up a national marketing quota and to provide for amount and proclamation of such quota. PRELIMINARY ALLOTMENTS FOR 1982 CROP OF UPLAND COTTON INAPPLICABILITY OF SECTION Pub. L. 95–113, title VI, § 606, Sept. 29, 1977, 91 Stat. Section inapplicable to 2002 through 2007 crops of cov- 940, provided that: ‘‘Notwithstanding any other provi- ered commodities, peanuts, and sugar and inapplicable sion of law, the permanent State, county, and farm to milk during period beginning May 13, 2002, through base acreage allotments for the 1977 crop of upland cot- Dec. 31, 2007, see section 7992(a)(1) of this title. ton, adjusted for any underplantings in 1977 and recon- Section inapplicable to 1996 through 2001 crops of loan stituted as provided in section 379 of the Agricultural commodities, peanuts, and sugar and inapplicable to Adjustment Act of 1938, as amended [section 1379 of this milk during period beginning Apr. 4, 1996, and ending title], shall again become effective as preliminary al- Dec. 31, 2002, see section 7301(a)(1)(A) of this title. lotments for the 1982 crop.’’ § 1342a TITLE 7—AGRICULTURE Page 618

§ 1342a. National cotton production goal thirty days after the date of such referendum. Notwithstanding any other provision hereof, the The Secretary shall, not later than November referendum with respect to the national market- 15, of the calendar years 1970 through 1976 pro- ing quota for cotton for the marketing year be- claim a national cotton production goal for the ginning August 1, 1986, may be conducted not 1971 and subsequent crops of upland cotton. The later than thirty-one days after adjournment national cotton production goal for any year sine die of the first session of the Ninety-ninth shall be the number of bales of upland cotton Congress. (standard bales of four hundred and eighty pounds net weight) equal to the estimated do- (Feb. 16, 1938, ch. 30, title III, § 343, 52 Stat. 56; mestic consumption and estimated exports for Apr. 7, 1938, ch. 107, § 8, 52 Stat. 203; July 26, 1939, the marketing year beginning in the calendar ch. 376, 53 Stat. 1125; July 3, 1948, ch. 827, title II, year for which such national cotton production § 207(c), 62 Stat. 1257; Aug. 29, 1949, ch. 518, § 1, 63 goal is proclaimed, plus an allowance of not less Stat. 670; Oct. 31, 1949, ch. 792, title IV, § 415(e), than 5 per centum of such estimated consump- 63 Stat. 1058; Pub. L. 97–77, § 2(c), Nov. 13, 1981, 95 tion and estimated exports for market expan- Stat. 1069; Pub. L. 99–157, § 4, Nov. 15, 1985, 99 sion except that the Secretary shall make such Stat. 818.) adjustments in the amount of such production CODIFICATION goal as he determines necessary after taking into consideration the estimated stocks of up- Provision that if marketing quotas were proclaimed for the 1950 crop, farmers eligible to vote in the referen- land cotton in the United States (including the dum with respect to such crop were to be those farmers qualities of such stocks) and stocks in foreign who had produced cotton in the 1948 calendar year was countries, which would be available for the mar- omitted from the Code. keting year, to assure the maintenance of ade- AMENDMENTS quate but not excessive carryover stocks in the United States (not less than 50 per centum of 1985—Pub. L. 99–157 amended last sentence generally, the average offtake for the three preceding mar- substituting ‘‘August 1, 1986, may be conducted not keting years) to provide a continuous and stable later than thirty-one days after adjournment sine die of the first session of the Ninety-ninth Congress’’ for supply of the different qualities of upland cotton ‘‘August 1, 1982, may be conducted not later than the needed in the United States and in foreign cot- earlier of the following: (1) thirty days after adjourn- ton consuming countries and, in addition, to ment sine die of the first session of the Ninety-seventh provide an adequate reserve for purposes of na- Congress, or (2) January 1, 1982’’. tional security. 1981—Pub. L. 97–77 inserted provision that the referendum with respect to the national marketing quota (Feb. 16, 1938, ch. 30, title III, § 342a, as added for cotton for the marketing year beginning Aug. 1, Pub. L. 91–524, title VI, § 601(2), Nov. 30, 1970, 84 1982, be conducted not later than the earlier of the fol- Stat. 1371; amended Pub. L. 93–86, § 1(19)(B), Aug. lowing: (1) thirty days after adjournment sine die of the 10, 1973, 87 Stat. 233.) first session of the Ninety-seventh Congress, or (2) Jan. 1, 1982. AMENDMENTS 1949—Act Aug. 29, 1949, amended section generally by 1973—Pub. L. 93–86 substituted ‘‘1970 through 1976’’ for providing for a secret referendum. Former provisions of ‘‘1970, 1971, and 1972’’. this section are now covered by section 1342 of this title. EFFECTIVE DATE Subsec. (a). Act Oct. 31, 1949, repealed amendatory provisions of act July 3, 1948. Pub. L. 91–524, title VI, § 601, Nov. 30, 1970, 84 Stat. 1948—Subsec. (a). Act July 3, 1948, required Secretary 1371, provided that this section is effective beginning to take imports into consideration in determining acre- with the 1971 crop of upland cotton. age allotments for purposes of marketing quotas. INAPPLICABILITY OF SECTION 1939—Subsec. (b). Act July 26, 1939, inserted last sentence. Section inapplicable to 2002 through 2007 crops of cov- 1938—Subsec. (c). Act Apr. 7, 1938, substituted ‘‘for ered commodities, peanuts, and sugar and inapplicable any year’’ for ‘‘for 1938 and 1939’’. to milk during period beginning May 13, 2002, through Dec. 31, 2007, see section 7992(a)(1) of this title. EFFECTIVE DATE OF 1948 AMENDMENT Section inapplicable to 1996 through 2001 crops of loan Amendment by act July 3, 1948, effective Jan. 1, 1950, commodities, peanuts, and sugar and inapplicable to see section 303 of act July 3, 1948, set out as a note milk during period beginning Apr. 4, 1996, and ending under section 1301 of this title. Dec. 31, 2002, see section 7301(a)(1)(A) of this title. INAPPLICABILITY OF SECTION § 1343. Referendum Section inapplicable to 1984 and subsequent crops of Not later than December 15 following the issu- extra long staple cotton, see section 3 of Pub. L. 98–88, ance of the marketing quota proclamation pro- set out as a note under section 1342 of this title. Section inapplicable to 2002 through 2007 crops of cov- vided for in section 1342 of this title, the Sec- ered commodities, peanuts, and sugar and inapplicable retary shall conduct a referendum, by secret to milk during period beginning May 13, 2002, through ballot, of farmers engaged in the production of Dec. 31, 2007, see section 7992(a)(1) of this title. cotton in the calendar year in which the referen- Section inapplicable to 1996 through 2001 crops of loan dum is held, to determine whether such farmers commodities, peanuts, and sugar and inapplicable to are in favor of or opposed to the quota so pro- milk during period beginning Apr. 4, 1996, and ending claimed. If more than one-third of the farmers Dec. 31, 2002, see section 7301(a)(1)(A) of this title. voting in the referendum oppose the national Section inapplicable to 1991 through 1995 crops of upland cotton, see section 502 of Pub. L. 101–624, set out marketing quota, such quota shall become inef- as a note under section 1342 of this title. fective upon proclamation of the results of the Section inapplicable to 1986 through 1990 crops of up- referendum. The Secretary shall proclaim the land cotton, see section 502 of Pub. L. 99–198, set out as results of any referendum held hereunder within a note under section 1342 of this title. Page 619 TITLE 7—AGRICULTURE § 1344

Section inapplicable to 1982 through 1985 crops of up- into account in establishing future State acre- land cotton, see section 501 of Pub. L. 97–98, set out as age allotments. Needs for additional acreage a note under section 1342 of this title. under the foregoing provisions and under the Section inapplicable to 1978 through 1981 crops of up- last proviso in subsection (e) of this section land cotton, see section 601 of Pub. L. 95–113, set out as a note under section 1342 of this title. shall be determined or estimated as though al- Pub. L. 91–524, title VI, § 601(1), Nov. 30, 1970, 84 Stat. lotments were first computed without regard to 1371, as amended by Pub. L. 93–86, § 1(19)(A), Aug. 10, subsection (f)(1) of this section. 1973, 87 Stat. 233, provided that this section is inapplicable to 1971 through 1977 crops of upland cotton. (c) Apportionment among States for years 1950 § 1344. Apportionment of national acreage allot- and 1951; computation and adjustment ments The national acreage allotments for cotton for (a) Basis the years 1950 and 1951 shall be apportioned to the States on the basis of a national acreage al- Whenever a national marketing quota is pro- lotment base of twenty-two million five hundred claimed under section 1342 of this title, the Sec- thousand acres, computed and adjusted as fol- retary shall determine and proclaim a national lows: acreage allotment for the crop of cotton to be produced in the next calendar year. The na- (1) The average of the planted acreages (in- tional acreage allotment for cotton shall be that cluding acreage regarded as planted under the acreage, based upon the national average yield provisions of Public Law 12, Seventy-ninth per acre of cotton for the four years imme- Congress) in the States for the years 1945, 1946, diately preceding the calendar year in which the 1947, and 1948 shall constitute the national national marketing quota is proclaimed, re- base; except that in the case of any State hav- quired to make available from such crop an ing a 1948 planted cotton acreage of over one amount of cotton equal to the national market- million acres and less than 50 per centum of ing quota. the 1943 allotment, the average of the acreage planted (or regarded as planted under Public (b) Apportionment among States for year 1953 Law 12, Seventy-ninth Congress) for the years and subsequent years; adjustment; national 1944, 1945, 1946, 1947, and 1948 shall constitute acreage reserve the base for such State and shall be included The national acreage allotment for cotton for in computing the national base; to this is to be 1953 and subsequent years shall be apportioned added (A) the estimated additional acreage for to the States on the basis of the acreage planted each State required for small-farm allotments to cotton (including the acreage regarded as under subsection (f)(1) of this section; (B) the having been planted to cotton under the provi- acreage required as a result of the State ad- sions of Public Law 12, Seventy-ninth Congress) justment provisions of paragraph (2) of this during the five calendar years immediately pre- subsection; (C) the additional acreage required ceding the calendar year in which the national to determine a total national allotment base marketing quota is proclaimed, with adjust- of twenty-two million five hundred thousand ments for abnormal weather conditions during acres, which additional acreage shall be dis- such period: Provided, That there is established tributed on a proportionate basis among a national acreage reserve consisting of three States receiving no adjustment under para- hundred and ten thousand acres which shall be graph (2) of this subsection. in addition to the national acreage allotment; (2) Notwithstanding the provisions of para- and such reserve shall be apportioned to the graph (1) of this subsection, the acreage allot- States on the basis of their needs for additional ment base for 1950 and 1951 for any State (on acreage for establishing minimum farm allot- the basis of a national acreage allotment base ments under subsection (f)(1) of this section, as of twenty-two million five hundred thousand determined by the Secretary without regard to acres) shall not be less than the larger of (1) 95 State and county acreage reserves (except that per centum of the average acreage actually the amount apportioned to Nevada shall be one planted to cotton in the State during the thousand acres). For the 1960 and succeeding years 1947 and 1948, or (2) 85 per centum of the crops of cotton, the needs of States (other than acreage planted to cotton in the State in 1948. Nevada) for such additional acreage for such (3) If the national acreage allotment for 1950 purpose may be estimated by the Secretary, or 1951 is more or less than twenty-two million after taking into consideration such needs as de- five hundred thousand acres, horizontal ad- termined or estimated for the preceding crop of justments shall be made percentagewise by cotton and the size of the national acreage allot- States so as to reflect the ratio of the national ment for such crop. The additional acreage so acreage allotment for 1950 and 1951 to twenty- apportioned to the State shall be apportioned to two million five hundred thousand acres. the counties on the basis of the needs of the counties for such additional acreage for such (d) Apportionment for year 1952; adjustment purpose, and added to the county acreage allotment for apportionment to farms pursuant to The national acreage allotment for cotton for subsection (f) of this section (except that no 1952 shall be apportioned to States on the basis part of such additional acreage shall be used to of the acreage planted to cotton (including the increase the county reserve above 15 per centum acreage regarded as having been planted to cot- of the county allotment determined without re- ton under the provisions of Public Law 12, Sev- gard to such additional acreage). Additional enty-ninth Congress) during the years 1946, 1947, acreage apportioned to a State for any year 1948, and 1950, with adjustments for abnormal under the foregoing proviso shall not be taken weather conditions during such period. § 1344 TITLE 7—AGRICULTURE Page 620

(e) Apportionment among counties; reservation nuts picked and threshed; wheat or rice for of acreage; additional acreage for establish- feeding to livestock for market; or lands de- ing minimum farm allotments termined to be devoted primarily to orchards The State acreage allotment for cotton shall or vineyards, and nonirrigated lands in irri- be apportioned to counties on the same basis as gated areas: Provided, however, That if a farm to years and conditions as is applicable to the would be allotted under this paragraph an State under subsections (b), (c), and (d) of this acreage together with the amount of the allot- section: Provided, That the State committee ment to such farm under paragraph (1)(A) of may reserve not to exceed 10 per centum of its this subsection in excess of the largest acreage State acreage allotment (15 per centum if the planted (and regarded as planted under Public State’s 1948 planted acreage was in excess of one Law 12, Seventy-ninth Congress) to cotton million acres and less than half its 1943 allot- during any of the preceding three years, the ment) which shall be used to make adjustments acreage allotment for such farm shall not ex- in county allotments for trends in acreage, for ceed such largest acreage so planted (and re- counties adversely affected by abnormal condi- garded as planted under Public Law 12, Sev- tions affecting plantings, or for small or new enty-ninth Congress) in any such year. (3) The county committee may reserve not farms, or to correct inequities in farm allot- in excess of 15 per centum of the county allotments and to prevent hardship: Provided further, ment (15 per centum if the State’s 1948 planted That if the additional acreage allocated to a cotton acreage was in excess of one million State under the proviso in subsection (b) of this acres and less than half its 1943 allotment) section is less than the requirements as deter- which, in addition to the acreage made avail- mined or estimated by the Secretary for estab- able under the proviso in subsection (e) of this lishing minimum farm allotments for the State section, shall be used for (A) establishing al- under subsection (f)(1) of this section, the acre- lotments for farms on which cotton was not age reserved under this subsection shall not be planted (or regarded as planted under Public less than the smaller of (1) the remaining acre- Law 12, Seventy-ninth Congress) during any of age so determined or estimated to be required the three calendar years immediately preced- for establishing minimum farm allotments or (2) ing the year for which the allotment is made, 3 per centum of the State acreage allotment; on the basis of land, labor, and equipment and the acreage which is required to be reserved available for the production of cotton, crop-ro- under this proviso shall be allocated to counties tation practices, and the soil and other phys- on the basis of their needs for additional acreage ical facilities affecting the production of cot- for establishing minimum farm allotments ton; and (B) making adjustments of the farm under subsection (f)(1) of this section, and added acreage allotments established under para- to the county acreage allotment for apportion- graphs (1) and (2) of this subsection so as to es- ment to farms pursuant to subsection (f) of this tablish allotments which are fair and reason- section (except that no part of such additional able in relation to the factors set forth in this acreage shall be used to increase the county re- paragraph and abnormal conditions of produc- serve above 15 per centum of the county allot- tion on such farms, or in making adjustments ment determined without regard to such addi- in farm acreage allotments to correct inequi- tional acreages). ties and to prevent hardship: Provided, That (f) Apportionment among farms not less than 20 per centum of the acreage re- The county acreage allotment, less not to ex- served under this subsection shall, to the exceed the percentage provided for in paragraph 3 tent required, be allotted, upon such basis as of this subsection, shall be apportioned to farms the Secretary deems fair and reasonable to on which cotton has been planted (or regarded as farms (other than farms to which an allotment having been planted under the provisions of has been made under paragraph (1)(B) of this Public Law 12, Seventy-ninth Congress) in any subsection), if any, to which an allotment of one of the three years immediately preceding not exceeding fifteen acres may be made under the year for which such allotment is determined other provisions of this subsection. on the following basis: (4) Any part of the acreage allotted for 1950 (1) Insofar as such acreage is available, there to individual farms in any county under the shall be allotted the smaller of the following: provisions of this section which will not be (A) ten acres; or (B) the acreage allotment es- planted to cotton and which is voluntarily sur- tablished for the farm for the 1958 crop. rendered to the county committee shall be de- (2) The remainder shall be allotted to farms ducted from the allotments to such farms and other than farms to which an allotment has may be reapportioned by the county commit- been made under paragraph (1)(B) of this sub- tee to other farms in the same county receiv- section so that the allotment to each farm ing allotments to the extent necessary to pro- under this paragraph together with the vide such farms with the allotments author- amount of the allotment to such farm under ized under paragraph (5) of this subsection. If paragraph (1)(A) of this subsection shall be a any acreage remains after providing such al- prescribed percentage (which percentage shall lotments, it may be apportioned in amounts be the same for all such farms in the county or determined by the county committee to be administrative area) of the acreage, during the fair and reasonable to other farms in the same preceding year, on the farm which is tilled an- county receiving allotments which the county nually or in regular rotation, excluding from committee determines are inadequate and not such acreages the acres devoted to the produc- representative in view of their past production tion of sugarcane for sugar; sugar beets for of cotton and to new farms in such county. No sugar; wheat, tobacco, or rice for market; pea- allotment shall be made, or increased, by rea- Page 621 TITLE 7—AGRICULTURE § 1344

son of this paragraph to an acreage in excess paragraph (1)(A) of this subsection shall be a of 40 per centum of the acreage on the farm prescribed percentage (which percentage shall which is tilled annually or in regular rotation, be the same for all such farms in the county) as determined under regulations prescribed by of the average acreage planted to cotton on the Secretary. Any transfer of allotment the farm during the three years immediately under this paragraph shall not operate to re- preceding the year for which such allotment is duce the allotment for any subsequent year for determined, adjusted as may be necessary for the farm from which acreage is transferred, abnormal conditions affecting plantings dur- except in accordance with paragraph (1)(B) and ing such three-year period: Provided, That the the proviso in paragraph (2) of this subsection: county committee may in its discretion limit Provided, That any part of any farm acreage any farm acreage allotment established under allotment may be permanently released in the provisions of this paragraph for any year writing to the county committee by the owner to an acreage not in excess of 50 per centum of and operator of the farm and may be reappor- the cropland on the farm, as determined pur- tioned in the manner set forth above. In any suant to the provisions of paragraph (2) of this subsequent year, unless hereafter otherwise subsection: Provided further, That any part of provided by law, acreage surrendered under the county acreage allotment not apportioned this paragraph and reallocated pursuant to ap- under this paragraph by reason of the initial plications filed in accordance with the provi- application of such 50 per centum limitation sions of paragraph (5) of this section shall be shall be added to the county acreage reserve credited to the State and county in determin- under paragraph (3) of this subsection and ing acreage allotments. shall be available for the purposes specified (5) Notwithstanding any other provision of therein. If the county acreage allotment is ap- law and without reducing any farm acreage al- portioned among the farms of the county in lotment determined pursuant to the foregoing accordance with the provisions of this para- provisions of this subsection, each farm acre- graph, the acreage reserved under paragraph age allotment for 1950 shall be increased by (3) of this subsection may be used to make ad- such amount as may be necessary to provide justments so as to establish allotments which an allotment equal to the larger of 65 per cen- are fair and reasonable to farms receiving al- tum of the average acreage planted to cotton lotments under this paragraph in relation to (or regarded as planted to cotton under the the factors set forth in paragraph (3) of this provisions of Public Law 12, Seventy-ninth subsection. Congress) on the farm in 1946, 1947, and 1948, or (7)(A) In the event that any farm acreage al- 45 per centum of the highest acreage planted lotment is less than that prescribed by para- to cotton (or regarded as planted to cotton graph (1) of this subsection, such acreage al- under Public Law 12, Seventy-ninth Congress) lotment shall be increased to the acreage pre- on the farm in any one of such three years; but scribed by said paragraph (1). The additional no such allotment shall be increased by reason acreage required to be allotted to farms under of this provision to an acreage in excess of 40 this paragraph shall be in addition to the per centum of the acreage on the farm which county, State, and national acreage allot- is tilled annually or in regular rotation, as de- ments and the production from such acreage termined under regulations prescribed by the shall be in addition to the national marketing Secretary. An increase in any 1950 farm acre- quota. age allotment shall be made pursuant to this (B) Notwithstanding any other provision of paragraph only upon application in writing by law— the owner or operator of the farm within such (i) the acreage by which any farm acreage reasonable period of time (in no event less allotment for 1959 or any subsequent crop es- than fifteen days) as may be prescribed by the tablished under paragraph (1) of this sub- Secretary. The additional acreage required to section exceeds the acreage which would be allotted to farms under this paragraph shall have been allotted to such farm if its allot- be in addition to the county, State, and na- ment had been computed on the basis of the tional acreage allotments and the production same percentage factor applied to other from such acreage shall be in addition to the farms in the county under paragraph (2), (6), national marketing quota. The additional or (8) of this subsection shall not be taken acreage authorized by this paragraph shall not into account in establishing the acreage al- be taken into account in establishing future lotment for such farm for any crop for which State, county, and farm acreage allotments. acreage is allotted to such farm under para- (6) Notwithstanding the provisions of paragraph (2), (6), or (8) of this subsection; and graph (2) of the subsection, if the county com- acreage shall be allotted under paragraph mittee recommends such action and the Sec- (2), (6), or (8) of this subsection to farms retary determines that such action will result which did not receive 1958 crop allotments in in a more equitable distribution of the county excess of ten acres if and only if the Sec- allotment among farms in the county, the re- retary determines (after considering the al- mainder of the county acreage allotment lotments to other farms in the county for (after making allotments as provided in para- such crop compared with their 1958 allot- graph (1) of this subsection) shall be allotted ments and other relevant factors) that eq- to farms other than farms to which an allot- uity and justice require the allotment of ad- ment has been made under paragraph (1)(B) of ditional acreage to such farm under para- this subsection so that the allotment to each graph (2), (6), or (8) of this subsection, farm under this paragraph together with the (ii) the acreage by which any county acre- amount of the allotment of such farm under age allotment for 1959 or any subsequent § 1344 TITLE 7—AGRICULTURE Page 622

crop is increased from the national or State (g) Law and conditions governing establishment reserve on the basis of its needs for addi- of acreage allotments and yields tional acreage for establishing minimum Notwithstanding the foregoing provisions of farm allotments shall not be taken into ac- this section— count in establishing future county acreage (1) State, county, and farm acreage allot- allotments, and ments and yields for cotton shall be estab- (iii) the additional acreage allotted pursu- lished in conformity with section 1344a of this ant to subparagraph (A) of this paragraph (7) title. shall not be taken into account in establish- (2) In apportioning the county allotment ing future State, county, or farm acreage al- among the farms within the county, the Sec- lotments. retary, through the local committees, shall (8) Notwithstanding the foregoing provisions take into consideration different conditions of paragraphs (2) and (6) of this subsection, the within separate administrative areas within a Secretary shall, if allotments were in effect county if any exist, including types, kinds, the preceding year, provide for the county and productivity of the soil so as to prevent acreage allotment for the 1959 and succeeding discrimination among the administrative crops of cotton, less the acreage reserved areas of the county. under paragraph (3) of this subsection, to be (h) Repealed. Feb. 16, 1938, ch. 30, title III, apportioned to farms on which cotton has been § 378(d), as added Aug. 28, 1958, Pub. L. planted in any one of the three years imme- 85–835, title V, § 501, 72 Stat. 996 diately preceding the year for which such allotment is determined, on the basis of the (i) Excess planting; old and new farm allotment farm acreage allotment for the year imme- Notwithstanding any other provision of this diately preceding the year for which such ap- chapter, any acreage planted to cotton in excess portionment is made, adjusted as may be nec- of the farm acreage allotment shall not be taken essary (i) for any change in the acreage of into account in establishing State, county, and cropland available for the production of cot- farm acreage allotments. Notwithstanding any ton, or (ii) to meet the requirements of any other provision of this chapter, beginning with provision (other than those contained in para- the 1960 crop the planting of cotton on a farm in graphs (2) and (6)) with respect to the counting any of the immediately preceding three years of acreage for history purposes: Provided, that allotments were in effect but no allotment That, beginning with allotments established was established for such farm for any year of for the 1961 crop of cotton, if the acreage actu- such three-year period shall not make the farm ally planted (or regarded as planted under the eligible for an allotment as an old farm under Soil Bank Act, the environmental quality in- subsection (f) of this section: Provided, however, centives program established under chapter 4 That by reason of such planting the farm need of subtitle D of title XII of the Food Security not be considered as ineligible for a new farm al- Act of 1985 [16 U.S.C. 3839aa et seq.], and the lotment under subsection (f)(3) of this section. release and reapportionment provisions of subsection (m) (2) of this section) to cotton on the (j) Availability of records for inspection farm in the preceding year was less than 75 per Notwithstanding any other provision of this centum of the farm allotment for such year or, chapter, State and county committees shall in the case of a farm which qualified for price make available for inspection by owners or oper- support on the crop produced in such year ators of farms receiving cotton acreage allot- under section 1444(b) of this title, 75 per cen- ments all records pertaining to cotton acreage tum of the farm domestic allotment estab- allotments and marketing quotas. lished under section 1350 of this title for such (k) Minimum allotments to States year, whichever is smaller, in lieu of using Notwithstanding any other provision of this such allotment as the farm base as provided in section except subsection (g)(1) of this section, this paragraph, the base shall be the average there shall be allotted to each State for which of (1) the cotton acreage for the farm for the an allotment is made under this section not less preceding year as determined for purposes of than the smaller of (A) four thousand acres or this proviso and (2) the allotment established (B) the highest acreage planted to cotton in any for the farm pursuant to the provisions of this one of the three calendar years immediately pre- subsection for such preceding year; and the ceding the year for which the allotment is made. 1958 allotment used for establishing the mini- l mum farm allotment under paragraph (1) of ( ) Administration of law governing war crops this subsection shall be adjusted to the aver- Notwithstanding any other provision of law, age acreage so determined. The base for a farm the Secretary, in administering the provisions shall not be adjusted as provided in this para- of Public Law 12, Seventy-ninth Congress, as it graph if the county committee determines relates to war crops, shall carry out the provi- that failure to plant at least 75 per centum of sions of such Act in the following manner: the farm allotment was due to conditions be- (i) A survey shall be conducted of every farm yond the control of producers on the farm. The which had a 1942 cotton acreage allotment, Secretary shall establish limitations to pre- and of such other farms as the Secretary con- vent allocations of allotment to farms not af- siders necessary in the administration of Pub- fected by the foregoing proviso, which would lic Law 12. This survey shall obtain for each be excessive on the basis of the cropland, past farm the most accurate information possible cotton acreage, allotments for other commod- on (a) the total acreage in cultivation, and (b) ities, and good soil conservation practices on the acreage of individual crops planted on such farms. each farm in the years 1941, 1945, 1946, and 1947. Page 623 TITLE 7—AGRICULTURE § 1344

(ii) An eligible farm for war-crop credit shall the State in 1952. The additional acreage made be a farm on which (a) the cotton acreage on available to States under clause (B) of the pre- the farm in 1945, 1946, or 1947, was reduced ceding sentence shall not be taken into ac- below the cotton acreage planted on the farm count in establishing future State acreage al- in 1941; (b) the war-crop acreage on the farm in lotments. The additional acreage made avail- 1945, 1946, or 1947, was increased above the war- able to States under the provisions of this crop acreage on the farm in 1941; and (c) the paragraph shall be apportioned to counties on farm had a cotton acreage allotment in 1942. the basis of their respective shares of the (iii) A farm shall be regarded as having State acreage allotment heretofore appor- planted cotton (in addition to the actual acre- tioned pursuant to subsection (e) of this sec- age planted to cotton) to the extent of the tion, and the additional acreage shall be ap- lesser of (a) the reduction in cotton acreage portioned to farms pursuant to the provisions for each of the years 1945, 1946, and 1947, below of subsection (f) of this section: Provided, the acreage planted to cotton in 1941, or (b) That, if the county committee determines the increase in war crops for each of the years that such action will result in a more equi- 1945, 1946, and 1947, above that planted to such table distribution of the additional county al- war crops in 1941. However, the county com- lotment among farms in the county, the addi- mittee may be given the discretion to adjust tional acreage shall be apportioned by the such war-crop credit when the county commit- county committee to farms so as to provide tee determines that the reduction in cotton each farm with an allotment equal to the larg- acreage was not related to an increase in war er of 65 per centum of the average acreage crops, but the adjustment shall be made only planted to cotton on the farm in 1951, 1952, and after consultation with the producer. 1953 (as determined by the county committee (iv) The Secretary, using the best informa- in establishing allotments under subsection (f) tion obtainable, and working with and through of this section) or 40 per centum of the highest the State and county committees, shall use acreage planted to cotton on the farm in any whatever means necessary to make an accu- one of such three years as so determined: Pro- rate determination of the credits due each in- vided, That the State committee in each State dividual farm, under Public Law 12. shall limit such increase based on the system (v) The total of the war-crop credits due the of farming, soil, crop-rotation practices, and individual farms in each county shall be cred- other physical factors affecting production in ited to the county and the total of the war- such State, to an acreage not in excess of 50 crop credits due all of the counties in a State per centum of the cropland on the farm, as de- shall be credited to the State. termined under regulations heretofore pre- (vi) The acreage credited to States, counties, scribed by the Secretary. If the additional and farms for the years 1945, 1946, or 1947, be- acreage is insufficient to meet the total of the cause of war crops, shall be taken into full ac- farm increases so computed, such farm in- count in the determination and distribution of creases shall be reduced pro rata to the addi- cotton acreage allotments on a national, tional acreage available to the county; if the State, county, and farm basis. additional acreage available to the county is in excess of the total of the farm increases so (m) Acreage allotments, 1954; increases; appor- computed the acreage remaining after making tionments; limitations; unallotted farm acre- such increases shall be allotted to farms pur- age; reapportionment of surrendered acre- suant to the provisions of subsection (f)(3) of age; extra long staple cotton; reserve acreage this section. Notwithstanding the foregoing Notwithstanding any other provision of law— provisions of this paragraph, if the State com- (1) The national acreage allotment estab- mittee determines that such action will result lished under subsection (a) of this section for in a more equitable distribution of the addi- the 1954 crop of cotton shall be increased to tional acreage made available to the State twenty-one million acres and apportioned to under this paragraph it shall apportion such the States in the same manner in which the additional allotment directly to farms so as to national acreage allotment heretofore estab- provide each farm with an allotment equal to lished for 1954 was apportioned to the States. the larger of 65 per centum of the average In addition to such increased national acreage acreage planted to cotton on the farm in 1951, allotment, and in order to provide equitable 1952, and 1953 (as determined by the county adjustments in 1954 farm acreage allotments, committee in establishing allotments under (A) three hundred and fifteen thousand addi- subsection (f) of this section) or 40 per centum tional acres shall be prorated as follows: one- of the highest acreage planted to cotton on the half to the States of Arizona, California, and farm in any one of such three years as so de- New Mexico, and one-half to the other States termined: Provided, That the State committee (excluding those which receive a minimum al- in each State shall limit such increase based lotment under subsection (k) of this section), on the system of farming, soil, crop-rotation the proration of each half being made to the practices, and other physical factors affecting States participating therein on the basis of production in such State, to an acreage not in their respective shares of the increased na- excess of 50 per centum of the cropland on the tional acreage allotment, and (B) such addi- farm, as determined under regulations here- tional acreage shall be added as may be re- tofore prescribed by the Secretary: Provided, quired to provide each State a total allotment That if the State total of the farm increases so under subsection (b) of this section and the computed exceeds the additional acreage made provisions of this paragraph of not less than 66 available to the State under this paragraph, per centum of the acreage planted to cotton in such farm increases shall be reduced pro rata § 1344 TITLE 7—AGRICULTURE Page 624

to the additional acreage available to the (3) Notwithstanding any other provision of State. Any acreage unallotted to farms be- this section or other provision of law, the cause of the limitations contained in the pre- acreage allotted to any State for 1954 under ceding sentence shall be apportioned by the the provisions of subsection (b) of this section State committee to counties on the basis of and the provisions of paragraph (1) of this sub- past acreages planted to cotton and shall be section which is less than one hundred thou- used by county committees for adjustments in sand acres but more than thirty thousand farm allotments on the basis of one or more of acres shall be increased by an acreage equal to the following: The past acreage of cotton on 15 per centum of the acreage allotted to it the farm, the percentage of cropland here- prior to January 30, 1954. Such acreage shall be tofore determined under subsection (f)(2) of used by the State committee as a reserve to this section, and the factors enumerated in make equitable adjustments in 1954 farm acre- subsection (f)(3) of this section. Before appor- age allotments on the basis of land, labor, tioning such unallotted acreage to counties as equipment available for the production of cot- provided in the foregoing sentence, the State ton, crop-rotation practices, past acreages of committee may, if it determines that such ac- cotton, soil, and other physical factors affect- tion is required to provide equitable allot- ing the production of cotton. ments within the State, apportion such un- (n) Transfer of farm cotton acreage allotments in allotted acreage directly to farms to the ex- case of natural disasters; eligibility for allot- tent required to provide each farm with the ment minimum allotment described in subsection (f)(1) of this section. Any part of the county al- Notwithstanding any other provision of this lotment heretofore established for the 1954 chapter, if the Secretary determines for any crop which was not apportioned to farms be- year that because of a natural disaster a portion cause of the limitation contained in the proof the farm cotton acreage allotments in a coun- viso in subsection (f)(2) of this section shall be ty cannot be timely planted or replanted in such available to the State committee and used as year, he may authorize for such year the trans- provided above for apportionment of un- fer of all or a part of the cotton acreage allot- allotted acreage to farms. The provisions of ment for any farm in the county so affected to this subsection, except paragraph (2) of this another farm in the county or in an adjoining subsection, shall not apply to extra long staple county on which one or more of the producers on cotton covered by section 1347 of this title. the farm from which the transfer is to be made (2) Any part of any farm cotton acreage al- will be engaged in the production of cotton and lotment on which cotton will not be planted will share in the proceeds thereof, in accordance and which is voluntarily surrendered to the with such regulations as the Secretary may pre- county committee shall be deducted from the scribe. Any farm allotment transferred under allotment to such farm and may be reappor- this paragraph shall be deemed to be released tioned by the county committee to other acreage for purposes of acreage history credits farms in the same county receiving allotments under subsections (f)(8) and (m)(2) of this sec- in amounts determined by the county commit- tion, and section 1377 of this title: Provided, tee to be fair and reasonable on the basis of That, notwithstanding the provisions of sub- past acreage of cotton land, labor, equipment section (m)(2) of this section, the transfer of any available for the production of cotton, crop ro- farm allotment under this subsection for any tation practices, and soil and other physical year shall operate to make the farm from which facilities affecting the production of cotton. If the allotment was transferred eligible for an al- all of the allotted acreage voluntarily surren- lotment as having cotton planted thereon dur- dered is not needed in the county, the county ing the three-year base period. committee may surrender the excess acreage (Feb. 16, 1938, ch. 30, title III, § 344, 52 Stat. 57; to the State committee to be used for the Apr. 7, 1938, ch. 107, § 9, 52 Stat. 203; May 31, 1938, same purposes as the State acreage reserve ch. 292, § 1, 52 Stat. 586; Mar. 13, 1939, ch. 9, 53 under subsection (e) of this section. Any allot- Stat. 512; June 22, 1939, ch. 238, §§ 1–3, 53 Stat. 853; ment released under this provision shall be re- Feb. 6, 1942, ch. 44, § 3, 56 Stat. 52; Aug. 29, 1949, garded for the purposes of establishing future ch. 518, § 1, 63 Stat. 670; Oct. 31, 1949, ch. 792, title allotments as having been planted on the farm IV, § 419, 63 Stat. 1062; Mar. 31, 1950, ch. 81, § 1, 64 and in the county where the release was made Stat. 40; Jan. 30, 1954, ch. 2, §§ 1–3, 68 Stat. 4–6; rather than on the farm and in the county to Aug. 28, 1954, ch. 1041, title III, § 310, 68 Stat. 904; which the allotment was transferred, except May 28, 1956, ch. 327, title III, § 303(a)–(d), 70 Stat. that this shall not operate to make the farm 203; Pub. L. 85–456, June 11, 1958, 72 Stat. 186; from which the allotment was transferred eli- Pub. L. 85–835, title I, §§ 103(4), 104(a)–(d), 105–107, gible for an allotment as having cotton plant- Aug. 28, 1958, 72 Stat. 990–992; Feb. 16, 1938, ch. 30, ed thereon during the three-year base period: title III, § 378(d), as added Pub. L. 85–835, title V, Provided, That notwithstanding any other pro- § 501, Aug. 28, 1958, 72 Stat. 996; Pub. L. 86–172, § 2, visions of law, any part of any farm acreage Aug. 18, 1959, 73 Stat. 393; Pub. L. 87–37, May 20, allotment may be permanently released in 1961, 75 Stat. 84; Pub. L. 87–446, Apr. 27, 1962, 76 writing to the county committee by the owner Stat. 64; Pub. L. 88–12, Apr. 26, 1963, 77 Stat. 13; and operator of the farm, and reapportioned as Pub. L. 88–297, title I, § 106(3), (8), Apr. 11, 1964, 78 provided herein. Acreage released under this Stat. 177; Pub. L. 104–127, title III, § 336(b)(2)(A), paragraph shall be credited to the State in de- Apr. 4, 1996, 110 Stat. 1006.) termining future allotments. The provisions of this paragraph shall apply also to extra long REFERENCES IN TEXT staple cotton covered by section 1347 of this Public Law 12, Seventy-ninth Congress, referred to in title. subsecs. (b), (c), (d), (f), (l), is act Feb. 28, 1945, ch. 15, Page 625 TITLE 7—AGRICULTURE § 1344

59 Stat. 9, which related to Emergency Farm Acreage Subsec. (i). Pub. L. 86–172, § 2(3), inserted provisions Allotments. See note below. For complete classifica- respecting eligibility for old and new farm allotment. tion of this Act to the Code, see Tables. Subsec. (m)(2). Pub. L. 86–172, § 2(4), struck out ‘‘; but The Soil Bank Act, referred to in subsec. (f)(8), is act no such acreage shall be surrendered to the State com- May 28, 1956, ch. 327, 70 Stat. 188, as amended, which mittee so long as any farmer receiving a cotton acreage was classified to subchapters I to III of chapter 45 (§ 1801 allotment in such county desires additional cotton et seq.) of this title and was repealed by Pub. L. 89–321, acreage’’ after ‘‘subsection (e) of this section’’ and subtitle VI, § 601, Nov. 3, 1965, 79 Stat. 1206. For complete stituted ‘‘Any allotment released under this provision classification of this Act to the Code prior to its repeal, shall be regarded for the purpose of establishing future see Tables. allotments as having been planted on the farm and in The Food Security Act of 1985, referred to in subsec. the county where the release was made rather than on (f)(8), is Pub. L. 99–198, Dec. 23, 1985, 99 Stat. 1354, as the farm and in the county to which the allotment was amended. Chapter 4 of subtitle D of title XII of the Act transferred’’ for ‘‘Any allotment transferred under this is classified generally to part IV (§ 3839aa et seq.) of provision shall be regarded for the purposes of sub- subchapter IV of chapter 58 of Title 16, Conservation. section (f) of this section as having been planted on the For complete classification of this Act to the Code, see farm from which transferred rather than on the farm to Short Title of 1985 Amendment note set out under sec- which transferred’’ and ‘‘Acreage released under this tion 1281 of this title and Tables. paragraph shall be credited to the State in determining Section 1347 of this title, referred to in subsec. (m)(1), future allotments’’ for ‘‘Acreage surrendered, reappor- (2), was repealed by Pub. L. 98–88, § 2, Aug. 26, 1983, 97 tioned under this paragraph, and planted shall be cred- Stat. 494. ited to the State and county in determining future AMENDMENTS acreage allotments’’. 1958—Subsec. (a). Pub. L. 85–835, § 103(4), substituted 1996—Subsec. (f)(8). Pub. L. 104–127 substituted ‘‘envi- ‘‘four’’ for ‘‘five’’ in second sentence. ronmental quality incentives program established Subsec. (b). Pub. L. 85–835, § 104(a), established a na- under chapter 4 of subtitle D of title XII of the Food tional acreage reserve of 310,000 acres in addition to the Security Act of 1985’’ for ‘‘Great Plains program’’. national acreage allotment, provided that apportion- 1964—Subsec. (f)(8). Pub. L. 88–297, § 106(3), inserted ments of additional acreage shall not be taken into ac- ‘‘or, in the case of a farm which qualified for price sup- count in establishing future State allotments, and in- port on the crop produced in such year under section 1444(b) of this title, 75 per centum of the farm domestic serted provisions for determination of needs for addi- allotment established under section 1350 of this title for tional acreage. Subsec. (e). Pub. L. 85–835, § 104(b), inserted proviso such year, whichever is smaller’’ after ‘‘75 per centum relating to additional acreage allocated to a State. of the farm allotment for such year’’ to protect the Subsec. (f)(1). Pub. L. 85–835, § 104(c), substituted ‘‘(A) farm base of any farm participating in the domestic al- ten acres; or (B) the acreage allotment established for lotment choice program if the acreage planted on the the farm for the 1958 crop’’ for ‘‘(A) four acres; or (B) farm was at least 75 per centum of the farm domestic the highest number of acres planted to cotton in any allotment. Subsec. (n). Pub. L. 88–297, § 106(8), extended the trans- year of such three-year period’’. fer provisions to natural disasters occurring in any Subsec. (f)(6). Pub. L. 85–835, § 104(d), substituted year instead of only during 1963. ‘‘provisions of paragraph (2) of this subsection’’ for 1963—Subsec. (n). Pub. L. 88–12 substituted ‘‘portion ‘‘foregoing provisions of this subsection except para- of the 1963’’ for ‘‘substantial portion of the 1962’’, and graph (3) of this subsection’’, ‘‘remainder of the county inserted proviso ‘‘that notwithstanding subsection acreage allotment (after making allotments as pro- (m)(2) of this section, transfers under this subsection vided in paragraph (1) of this subsection) shall be allot- for 1963 makes the farm from which the allotment was ted’’ for ‘‘county acreage allotment, less the acreage transferred eligible for an allotment as having cotton reserved under paragraph (3) of this subsection, shall be during the three-year period’’. apportioned’’, and inserted provisions requiring the al- 1962—Subsec. (n). Pub. L. 87–466 substituted ‘‘1962’’ for lotments to be a prescribed percentage of the average ‘‘1961’’. acreage planted to cotton on the farm during the three 1961—Subsec. (n). Pub. L. 87–37 substituted ‘‘1961’’ for years immediately preceding the year for which such ‘‘1958’’, and ‘‘Any farm allotment transferred under this allotment is determined. paragraph shall be deemed to be released acreage for Subsec. (f)(7). Pub. L. 85–835, § 105, added par. (7). purposes of acreage history credits under subsections Subsec. (f)(8). Pub. L. 85–835, § 106, added par. (8). (f)(8) and (m)(2) of this section, and section 1377 of this Subsec. (h). Act Feb. 16, 1938, § 378(d), as added by Pub. title’’ for ‘‘Acreage history credits for transferred acre- L. 85–835, § 501, repealed subsec. (h) which related to ap- age shall be governed by the provisions of subsection portionment by county committee and reallocation of (m)(2) of this section pertaining to the release and re- flood lands. apportionment of acreage allotments. No transfer here- Subsec. (m)(2). Pub. L. 85–835, § 107, provided that any under shall be made to a farm covered by a 1958 acreage cotton acreage which is surrendered shall be retained reserve contract for cotton.’’ in the county and not surrendered to the State com- 1959—Subsec. (f)(8). Pub. L. 86–172, § 2(1), inserted pro- mittee so long as any farmer in the county desires ad- viso for determination of base beginning with allot- ditional cotton acreage. ments established for the 1961 crop of cotton, and in- Subsec. (n). Pub. L. 85–456 added subsec. (n). serted provisions prohibiting the adjustment of the 1956—Subsec. (b). Act May 28, 1956, § 303(a), tempo- base for a farm where the county committee deter- rarily inserted ‘‘Provided, That there is hereby estab- mines that failure to plant at least 75 per centum of the lished a national acreage reserve consisting of one hun- farm allotment was due to conditions beyond control of dred thousand acres which shall be in addition to the producers on the farm, and requiring the Secretary to national acreage allotment; and such reserve shall be establish limitations to prevent allocations of allot- apportioned to the States on the basis of their needs for ment to farms not affected by proviso. additional acreage for establishing minimum farm al- Subsec. (g)(3). Pub. L. 86–172, § 2(2), repealed par. (3) lotments under subsection (f)(1) of this section, as de- which provided that for any farm on which the acreage termined by the Secretary without regard to State and planted to cotton in any year was less than the farm county acreage reserves (except that the amount appor- acreage allotment for such year by not more than the tioned to Nevada shall be one thousand acres), and the larger of 10 per centum of the allotment or one acre, an additional acreage so apportioned to the State shall be acreage equal to the farm acreage allotment should be apportioned to the counties on the same basis and deemed to be the acreage planted to cotton on such added to the county acreage allotment for apportion- farm, and the additional acreage added to the cotton ment to farms pursuant to subsection (f) of this section acreage history for the farm should be added to the cot- (except that no part of such additional acreage shall be ton acreage history for the county and State. used to increase the county reserve above 15 per cen- § 1344 TITLE 7—AGRICULTURE Page 626 tum of the county allotment determined without re- Subsec. (h). Act Jan. 30, 1954, § 2, inserted sentence regard to such additional acreage). Additional acreage lating to reallocation of flood lands. apportioned to a State for any year under the foregoing Subsec. (m). Act Jan. 30, 1954, § 1, added subsec. (m). proviso shall not be taken into account in establishing Subsec. (m)(2). Act Aug. 28, 1954, § 310(b), struck out future State acreage allotments. Needs for additional ‘‘1954 or 1955’’ wherever appearing. acreage under the foregoing proviso and under the last 1950—Subsec. (f)(4), (5). Act Mar. 31, 1950, added pars. proviso in subsection (e) of this section shall be deter- (4) and (5). mined as though allotments were first computed with- 1949—Subsec. (f)(3). Act Oct. 31, 1949, increased re- out regard to subsection (f)(1) of this section.’’ See Ef- serve percentage of county allotment from 10 to 15 in fective and Termination Dates of 1956 Amendment note first sentence and decreased percentage of acreage re- below. served from 30 to 20 in proviso. Subsec. (e). Act May 28, 1956, § 303(b), temporarily in- Act Aug. 29, 1949, amended section generally to pro- serted ‘‘Provided further, That if the additional acreage vide for a national acreage base to be used in appor- allocated to a State under the proviso in subsection (b) tioning to the States the actual national acreage allot- of this section is less than the requirements as deter- ment, and to make the national acreage allotment base mined by the Secretary for establishing minimum farm and the outlined division among the States such as will allotments for the State under subsection (f)(1) of this complement the minimum national marketing quota section, the acreage reserved by the State committee provisions and thus permit a gradual reduction of any under this subsection shall not be less than the smaller excessive carryover. of (1) the remaining acreage so determined to be re- 1942—Subsec. (j). Act Feb. 6, 1942, added subsec. (j). quired for establishing minimum farm allotments or (2) 1939—Subsec. (e)(1). Act June 22, 1939, § 1, substituted 3 per centum of the State acreage allotment; and the ‘‘For 1938, 1939, and any subsequent year’’ for ‘‘For 1938 acreage which the State committee is required to re- and 1939’’. serve under this proviso shall be allocated to counties Subsec. (g). Act June 22, 1939, § 2, substituted ‘‘For on the basis of their needs for additional acreage for es- 1938, 1939, and each subsequent year’’ for ‘‘For each of tablishing minimum farm allotments under subsection the years 1938 and 1939’’. (f)(1) of this section, and added to the county acreage Subsec. (h). Act June 22, 1939, § 3, substituted ‘‘for allotment for apportionment to farms pursuant to sub- 1938, 1939, and each subsequent year’’ for ‘‘For each of section (f) of this section (except that no part of such the years 1938 and 1939’’. additional acreage shall be used to increase the county Act Mar. 13, 1939, substituted ‘‘for any crop year’’ for reserve above 15 per centum of the county allotment ‘‘for the crop year 1938’’ and struck out ‘‘for 1938’’ from determined without regard to such additional acre- first proviso. ages).’’ See Effective and Termination Dates of 1956 1938—Subsec. (b). Act Apr. 7, 1938, § 9(a), amended sec- Amendment note below. ond sentence. Subsec. (f)(1). Act May 28, 1956, § 303(c), temporarily Subsec. (d)(3). Act Apr. 7, 1938, § 9(b), inserted ‘‘sugar- inserted ‘‘Insofar as such acreage is available,’’, sub- cane for sugar,’’ after ‘‘excluding from such acreage the stituted ‘‘four acres’’ for ‘‘five acres’’, and struck out acres devoted to the production of’’ in second sentence, ‘‘(or regarded as planted under Public Law 12, Seventy- and ‘‘wheat or rice’’ after ‘‘rice for market or,’’. ninth Congress)’’ after ‘‘planted’’. See Effective and Subsec. (e). Act Apr. 7, 1938, § 9(c), designated existing Termination Dates of 1956 Amendment note below. provisions as par. (1) and added par. (2). Subsec. (f)(6). Act May 28, 1956, § 303(d), temporarily Subsec. (g). Act Apr. 7, 1938, § 9(d), added subsec. (g). substituted ‘‘provisions of paragraph (2) of this sub- Subsec. (h). Act May 31, 1938, among other changes, section’’ for ‘‘foregoing provisions of this subsection ex- inserted ‘‘and for the crop year 1938 any part of the cept paragraph (3) of this subsection’’ and ‘‘the remain- acreage allotted to individual farms in the State which der of the county acreage allotment (after making al- it is determined, in accordance with regulations pre- lotments as provided in paragraph (1) of this sub- scribed by the Secretary, will not be planted to cotton section) shall be allotted to farms other than farms to in the year for which the allotment is made, shall be which an allotment has been made under paragraph deducted from the allotments to such farms and may be (1)(B) of this subsection so that the allotment to each apportioned, in amounts determined by the Secretary farm under this paragraph together with the amount of to be fair and reasonable, preference being given to the allotment of such farm under paragraph (1)(A) of farms in the same county receiving allotments which this subsection shall be a prescribed percentage (which the Secretary determines are inadequate and not rep- percentage shall be the same for all such farms in the resentative in view of the past production of cotton and county) of the average acreage planted to cotton on the the acreage diverted from the production of cotton on farm during the three years immediately preceding the such farms under the agricultural conservation pro- year for which such allotment is determined,’’ for ‘‘the gram in the immediately preceding year: Provided, county acreage allotment, less the acreage reserved That any such transfer of allotment for 1938 shall not under paragraph (3) of this subsection, shall be appor- affect apportionment for any subsequent year’’ after tioned to farms on which cotton has been planted in ‘‘Secretary’’. any one of the three years immediately preceding the Act Apr. 7, 1938, § 9(d), added subsec. (h). year for which such allotment is determined, on the Subsec. (i). Act Apr. 7, 1938, § 9(d), added subsec. (i). basis of the acreage planted to cotton on the farm during such three-year period,’’ and struck out ‘‘(A) appor- EFFECTIVE DATE OF 1958 AMENDMENT tion such county allotment by first establishing mini- Pub. L. 85–835, title I, § 104(e), Aug. 28, 1958, 72 Stat. mum allotments in accordance with paragraph (1) of 991, provided that: ‘‘The amendments made by this sec- this subsection and by allotting the remaining acreage tion [amending this section] shall be effective begin- to farms other than those receiving an allotment under ning with the 1959 crop.’’ paragraph (1)(B) in accordance with the foregoing pro- Pub. L. 85–835, title I, § 105, Aug. 28, 1958, 72 Stat. 991, visions of this paragraph and (B)’’ after ‘‘committee provided that the amendment made by that section is may in its discretion’’. See Effective and Termination effective beginning with the 1959 crop. Dates of 1956 Amendment note below. 1954—Subsec. (e). Act Jan. 30, 1954, § 3(a), inserted at EFFECTIVE AND TERMINATION DATES OF 1956 end ‘‘or to correct inequities in farm allotments and to AMENDMENT prevent hardship’’. Subsec. (f)(3). Act Jan. 30, 1954, § 3(b), inserted ‘‘, or in Act May 28, 1956, ch. 327, title III, § 303(e), 70 Stat. 204, making adjustments in farm acreage allotments to cor- provided that: ‘‘The amendments made by this section rect inequities and to prevent hardship’’. [amending this section] shall be effective only with re- Subsec. (f)(6). Act Aug. 28, 1954, § 310(a), inserted pro- spect to 1957 and 1958 crops. For the 1956 crop, an acre- viso to first sentence. age in each State equal to the acreage allotted in such Act Jan. 30, 1954, § 3(c), added par. (6). State which the Secretary determines will not be Page 627 TITLE 7—AGRICULTURE § 1344b planted, placed in the acreage reserve or conservation (Mar. 29, 1949, ch. 38, 63 Stat. 17.) reserve, or considered as planted under section 377 of the Agricultural Adjustment Act of 1938, as amended [7 CODIFICATION U.S.C. 1377], may be apportioned by the Secretary Section was not enacted as part of the Agriculture among farms in such State having allotments of less Adjustment Act of 1938 which comprises this chapter. than the smaller of the following: (1) four acres, or (2) the highest number of acres planted to cotton in any of § 1344b. Sale, lease, or transfer of cotton acreage the years 1953, 1954, and 1955.’’ allotments EFFECTIVE DATE OF 1954 AMENDMENT (a) Authority for calendar years 1966 through Act Jan. 30, 1954, ch. 2, § 3, 68 Stat. 6, provided that 1970; transfer periods the amendments made by section 3 are effective begin- Notwithstanding any other provision of law, ning with the 1955 crop. the Secretary, if he determines that it will not SAVINGS PROVISION impair the effective operation of the program Transfer or reassignment of allotment as remaining involved, (1) may permit the owner and operator in effect and ineligibility of displaced farm owner for of any farm for which a cotton acreage allot- additional allotment notwithstanding repeal of subsec. ment is established to sell or lease all or any (h), see note set out under section 1378 of this title. part or the right to all or any part of such allot- INAPPLICABILITY OF SECTION ment (excluding that part of the allotment which the Secretary determines was apportioned Section inapplicable to 1984 and subsequent crops of to the farm from the national acreage reserve) extra long staple cotton, see section 3 of Pub. L. 98–88, set out as a note under section 1342 of this title. to any other owner or operator of a farm for Section inapplicable to 2002 through 2007 crops of cov- transfer to such farm; (2) may permit the owner ered commodities, peanuts, and sugar and inapplicable of a farm to transfer all or any part of such al- to milk during period beginning May 13, 2002, through lotment to any other farm owned or controlled Dec. 31, 2007, see section 7992(a)(1) of this title. by him; Provided, That the authority granted Section inapplicable to 1996 through 2001 crops of loan under this section may be exercised for the cal- commodities, peanuts, and sugar and inapplicable to endar years 1966 through 1970, but all transfers milk during period beginning Apr. 4, 1996, and ending hereunder shall be for such period of years as Dec. 31, 2002, see section 7301(a)(1)(A) of this title. Section inapplicable to 1991 through 1995 crops of up- the parties thereto may agree. land cotton, see section 502 of Pub. L. 101–624, set out (b) Requisite conditions for transfer of acreage as a note under section 1342 of this title. allotments Section inapplicable to 1986 through 1990 crops of upland cotton, see section 502 of Pub. L. 99–198, set out as Transfers under this section shall be subject to a note under section 1342 of this title. the following conditions: (i) no allotment shall Section inapplicable to 1982 through 1985 crops of up- be transferred to a farm in another State or to land cotton, see section 501 of Pub. L. 97–98, set out as a person for use in another State; (ii) no farm al- a note under section 1342 of this title. lotment may be sold or leased for transfer to a Section inapplicable to 1978 through 1981 crops of up- farm in another county unless the producers of land cotton, see section 601 of Pub. L. 95–113, set out as cotton in the county from which transfer is a note under section 1342 of this title. being made have voted in a referendum within Pub. L. 91–524, title VI, § 601(1), Nov. 30, 1970, 84 Stat. 1371, as amended by Pub. L. 93–86, § 1(19)(A), Aug. 10, three years of the date of such transfer, by a 1973, 87 Stat. 233, provided that this section is inap- two-thirds majority of the producers participat- plicable to 1971 through 1977 crops of upland cotton. ing in such referendum, to permit the transfer of allotments to farms outside the county, which EMERGENCY FARM ACREAGE ALLOTMENT referendum, insofar as practicable, shall be held Act Feb. 28, 1945, ch. 15, 59 Stat. 9, provided for farm in conjunction with the marketing quota ref- acreage allotment during national emergency pro- erendum for the commodity; (iii) no transfer of claimed by the President on Sept. 8, 1939, and May 27, an allotment from a farm subject to a mortgage 1941, and which emergencies terminated on July 25, 1947, by the provisions of Joint Res. July 25, 1947, ch. or other lien shall be permitted unless the trans- 327, § 3, 61 Stat. 451. fer is agreed to by the lienholder; (iv) no sale of a farm allotment shall be permitted if any sale COUNTY COMMITTEE ALLOTMENT of cotton allotment to the same farm has been Act Mar. 13, 1939, ch. 9, 53 Stat. 512, in addition to made within the three immediately preceding amending former subsec. (h), contained the following: crop years; (v) the total cotton allotment for ‘‘Provided, That hereafter such allotment of acreage in any farm to which allotment is transferred by counties shall be to such farms as the County Commit- sale or lease shall not exceed the farm acreage tee of such county may designate. In making such des- allotment (excluding reapportioned acreage) es- ignation the County Committee shall consider only the character and adaptability of the soil and other phys- tablished for such farm for 1965 by more than ical facilities affecting the production of cotton and one hundred acres; (vi) no cotton in excess of the the need of operator for an additional allotment to remaining acreage allotment on the farm shall meet the requirement of the families engaging in the be planted on any farm from which the allot- production of cotton on the farm in such year.’’ ment (or part of an allotment) is sold for a period of five years following such sale, nor shall § 1344a. Exclusion of 1949 acreage in computa- any cotton in excess of the remaining acreage tion of future allotments allotment on the farm be planted on any farm Notwithstanding the provisions of subchapter from which the allotment (or part of an allot- III of this chapter, or of any other law, State, ment) is leased during the period of such lease, county, and farm acreage allotments and yields and the producer on such farm shall so agree as for cotton for any year after 1949 shall be com- a condition precedent to the Secretary’s ap- puted without regard to yields or to the acreage proval of any such sale or lease; and (vii) no planted to cotton in 1949. transfer of allotment shall be effective until a § 1344b TITLE 7—AGRICULTURE Page 628 record thereof is filed with the county commit- committee by the owners and operators of the tee of the county to which such transfer is made farms, and the transfer of allotment between the and such committee determines that the trans- farms shall include transfer of the related acre- fer complies with the provisions of this section. age history for the commodity. The exchange Such record may be filed with such committee shall be acre for acre or on such other basis as only during the period beginning June 1 and end- the Secretary determines is fair and reasonable, ing December 31. taking into consideration the comparative pro- (c) Extent of estate transferred ductivity of the soil for the farms involved and other relevant factors. No farm from which the The transfer of an allotment shall have the ef- entire cotton or rice allotment has been trans- fect of transferring also the acreage history, ferred shall be eligible for an allotment of cot- farm base, and marketing quota attributable to ton or rice as a new farm within a period of five such allotment and if the transfer is made prior crop years after the date of such exchange. to the determination of the allotment for any year the transfer shall include the right of the (i) Applicability to cotton restricted to upland owner or operator to have an allotment deter- cotton mined for the farm for such year: Provided, That The provisions of this section relating to cot- in the case of a transfer by lease, the amount of ton shall apply only to upland cotton. the allotment shall be considered for purposes of (Feb. 16, 1938, ch. 30, title III, § 344a, as added determining allotments after the expiration of Pub. L. 89–321, title IV, § 405, Nov. 3, 1965, 79 Stat. the lease to have been planted on the farm from 1197; amended Pub. L. 90–559, § 1(2), Oct. 11, 1968, which such allotment is transferred. 82 Stat. 996; Pub. L. 91–524, title VI, § 601(3)(1), (d) Period of ineligibility of land for new allot- Nov. 30, 1970, 84 Stat. 1372; Pub. L. 93–86, ment § 1(19)(C), (D), Aug. 10, 1973, 87 Stat. 233.)

The land in the farm from which the entire AMENDMENTS cotton allotment and acreage history have been transferred shall not be eligible for a new farm 1973—Subsec. (a). Pub. L. 93–86 struck out ‘‘for which a farm base acreage allotment is established (other cotton allotment during the five years following than pursuant to section 1350(e)(1)(A) of this title)’’ the year in which such transfer is made. after ‘‘to any other owner or operator of a farm’’ and (e) Transfer of allotments established under min- substituted ‘‘1978’’ for ‘‘1974’’. imum allotment provisions 1970—Subsec. (a). Pub. L. 91–524 temporarily directed Secretary to permit certain types of transfers of all or The transfer of a portion of a farm allotment part of farm base acreage allotments between farms in which was established under minimum farm al- same State. See Effective and Termination Dates of lotment provisions for cotton or which operates 1970 Amendment note below. to bring the farm within the minimum farm al- 1968—Subsec. (a). Pub. L. 90–559 provided for a one lotment provision for cotton shall cause the year extension, substituting ‘‘1966 through 1970’’ for minimum farm allotment or base to be reduced ‘‘1966, 1967, 1968, and 1969’’. to an amount equal to the allotment remaining EFFECTIVE DATE OF 1973 AMENDMENT on the farm after such transfer. Pub. L. 93–86, § 1(19)(C), Aug. 10, 1973, 87 Stat. 233, pro- (f) Rules and regulations vided that the amendment made by section 1(19)(C) of The Secretary shall prescribe regulations for Pub. L. 93–86 is effective beginning with the 1974 crop. the administration of this section, which shall EFFECTIVE AND TERMINATION DATES OF 1970 include provisions for adjusting the size of the AMENDMENT allotment transferred if the farm to which the Pub. L. 91–524, title VI, § 601(3), Nov. 30, 1970, 84 Stat. allotment is transferred has a substantially 1372, as amended by Pub. L. 93–86, § 1(19)(A), Aug. 10, higher yield per acre and such other terms and 1973, 87 Stat. 233, provided that the amendment made conditions as he deems necessary. by that section is effective only with respect to the 1971 through 1977 crops. (g) Adjustment upon transfer of land covered by conservation reserve contract INAPPLICABILITY OF SECTION If the sale or lease occurs during a period in Section inapplicable to 1984 and subsequent crops of which the farm is covered by a conservation re- extra long staple cotton, see section 3 of Pub. L. 98–88, serve contract, cropland conversion agreement, set out as a note under section 1342 of this title. cropland adjustment agreement, or other simi- Section inapplicable to 2002 through 2007 crops of covered commodities, peanuts, and sugar and inapplicable lar land utilization agreement, the rates of pay- to milk during period beginning May 13, 2002, through ment provided for in the contract or agreement Dec. 31, 2007, see section 7992(a)(1) of this title. of the farm from which the transfer is made Section inapplicable to 1996 through 2001 crops of loan shall be subject to an appropriate adjustment, commodities, peanuts, and sugar and inapplicable to but no adjustment shall be made in the contract milk during period beginning Apr. 4, 1996, and ending or agreement of the farm to which the allotment Dec. 31, 2002, see section 7301(a)(1)(A) of this title. is transferred. Pub. L. 91–524, title VI, § 601(3)(2), Nov. 30, 1970, 84 Stat. 1372, as amended by Pub. L. 93–86, § 1(19)(A), Aug. (h) Exchange of cotton acreage allotments for 10, 1973, 87 Stat. 233, provided that: ‘‘Subdivisions (ii), rice acreage allotments (iv), (v), and (vi) of subsection (b) [of this section], the The Secretary shall by regulations authorize last sentence of subsection (b) [of this section] and sub- the exchange between farms in the same county, sections (e) and (h) [of this section] shall not be applicable to the 1971 through 1977 crops: Provided, That no or between farms in adjoining counties within a farm allotment may be sold or leased for transfer to a State, of cotton acreage allotment for rice acre- farm in another county unless the Agricultural Sta- age allotment. Any such exchange shall be made bilization and Conservation Committee established on the basis of application filed with the county pursuant to section 8(b) of the Soil Conservation and Page 629 TITLE 7—AGRICULTURE § 1346

Domestic Allotment Act, as amended [16 U.S.C. marketing excess at a rate per pound equal to 50 590h(b)], for the county from which such transfers are per centum of the parity price per pound for cot- being made (1) finds that a demand for such acreage al- ton as of June 15 of the calendar year in which lotments no longer exists in such county and (2) ap- such crop is produced. proves any transfers of allotments to farms outside such county.’’ (b) The farm marketing excess of cotton shall be regarded as available for marketing and the § 1345. Farm marketing quotas; farm marketing amount of penalty shall be computed upon the excess normal production of the acreage on the farm planted to cotton in excess of the farm acreage The farm marketing quota for any crop of cot- allotment. If a downward adjustment in the ton shall be the actual production of the acreage amount of the farm marketing excess is made planted to cotton on the farm less the farm mar- pursuant to the proviso in section 1345 of this keting excess. The farm marketing excess shall title, the difference between the amount of the be the normal production of that acreage plant- penalty computed upon the farm marketing ex- ed to cotton on the farm which is in excess of cess before such adjustment and as computed the farm acreage allotment: Provided, That such upon the adjusted farm marketing excess shall farm marketing excess shall not be larger than be returned to or allowed the producer. the amount by which the actual production of (c) The person liable for payment or collection cotton on the farm exceeds the normal produc- of the penalty shall be liable also for interest tion of the farm acreage allotment, if the pro- thereon at the rate of 6 per centum per annum ducer establishes such actual production to the from the date the penalty becomes due until the satisfaction of the Secretary. date of payment of such penalty. (Feb. 16, 1938, ch. 30, title III, § 345, 52 Stat. 58; (d) Until the penalty on the farm marketing July 3, 1948, ch. 827, title II, § 205, 62 Stat. 1256; excess is paid, all cotton produced on the farm Aug. 29, 1949, ch. 518, § 1, 63 Stat. 674; Oct. 31, and marketed by the producer shall be subject 1949, ch. 792, title IV, § 415(e), 63 Stat. 1058.) to the penalty provided by this section and a lien on the entire crop of cotton produced on the AMENDMENTS farm shall be in effect in favor of the United 1949—Act Oct. 31, 1949, repealed amendatory provi- States. sions of act July 3, 1948. (e) Notwithstanding any other provision of Act Aug. 29, 1949, stated what the farm marketing this chapter, for the 1966 through 1970 crops of quota shall be and what the farm marketing excess upland cotton, if the farm operator elects to shall be. forgo price support for any such crop of cotton 1948—Act July 3, 1948, changed conditions which must be determined by Secretary to exist before marketing by applying to the county committee of the quotas can be imposed. county in which the farm is located for additional acreage under this subsection, he may EFFECTIVE DATE OF 1948 AMENDMENT plant an acreage not in excess of the farm acre- Amendment by act July 3, 1948, effective Jan. 1, 1950, age allotment established under section 1344 of see section 303 of act July 3, 1948, set out as a note this title plus the acreage apportioned to the under section 1301 of this title. farm from the national export market acreage INAPPLICABILITY OF SECTION reserve, and all cotton of such crop produced on the farm may be marketed for export free of any Section inapplicable to 1984 and subsequent crops of extra long staple cotton, see section 3 of Pub. L. 98–88, penalty under this section: Provided, That the set out as a note under section 1342 of this title. foregoing shall be applicable only to farms Section inapplicable to 2002 through 2007 crops of cov- which had upland cotton allotments for 1965 and ered commodities, peanuts, and sugar and inapplicable are operated by the same operator as in 1965 or to milk during period beginning May 13, 2002, through by his heir. Dec. 31, 2007, see section 7992(a)(1) of this title. For the 1966 crop the national export market Section inapplicable to 1996 through 2001 crops of loan acreage reserve shall be 250,000 acres. For each commodities, peanuts, and sugar and inapplicable to subsequent crop— milk during period beginning Apr. 4, 1996, and ending Dec. 31, 2002, see section 7301(a)(1)(A) of this title. If the carryover at the end of the The national ex- Section inapplicable to 1991 through 1995 crops of up- marketing year for the preced- port market land cotton, see section 502 of Pub. L. 101–624, set out ing crop is estimated to be less acreage reserve as a note under section 1342 of this title. than the carryover at the begin- shall be— Section inapplicable to 1986 through 1990 crops of up- ning of such marketing year land cotton, see section 502 of Pub. L. 99–198, set out as by— a note under section 1342 of this title. At least 1,000,000 bales ...... 250,000 acres. Section inapplicable to 1982 through 1985 crops of up- At least 750,000 bales, but not as 187,500 acres. land cotton, see section 501 of Pub. L. 97–98, set out as much as 1,000,000 bales. a note under section 1342 of this title. At least 500,000 bales, but not as 125,000 acres. Section inapplicable to 1978 through 1981 crops of up- much as 750,000 bales. land cotton, see section 601 of Pub. L. 95–113, set out as At least 250,000 bales, but not as 62,500 acres. a note under section 1342 of this title. much as 500,000 bales. Pub. L. 91–524, title VI, § 601(1), Nov. 30, 1970, 84 Stat. Less than 250,000 bales ...... None. 1371, as amended by Pub. L. 93–86, § 1(19)(A), Aug. 10, The national export market acreage reserve 1973, 87 Stat. 233, provided that this section is inap- shall be apportioned to farms by the Secretary plicable to 1971 through 1977 crops of upland cotton. on the basis of the applications therefor. No application shall be accepted for a greater acreage § 1346. Penalties than is available on the farm for the production (a) Whenever farm marketing quotas are in ef- of upland cotton. After apportionments are thus fect with respect to any crop of cotton, the pro- made to farms, the Secretary shall provide farm ducer shall be subject to a penalty on the farm operators a reasonable time in which to cancel § 1347 TITLE 7—AGRICULTURE Page 630 their applications (and agreements to forgo INAPPLICABILITY OF SECTION price support) and surrender to the Secretary Section inapplicable to 1984 and subsequent crops of through the county committee the export mar- extra long staple cotton, see section 3 of Pub. L. 98–88, ket acreage assigned to the farm. Acreage so set out as a note under section 1342 of this title. surrendered shall be available for reassignment Section inapplicable to 2002 through 2007 crops of cov- by the Secretary to other eligible farms to ered commodities, peanuts, and sugar and inapplicable which export market acreage has been appor- to milk during period beginning May 13, 2002, through tioned on the basis of the applications remain- Dec. 31, 2007, see section 7992(a)(1) of this title. Section inapplicable to 1996 through 2001 crops of loan ing outstanding. The operator of any farm who commodities, peanuts, and sugar and inapplicable to elects to forgo price support for any such crop milk during period beginning Apr. 4, 1996, and ending under this subsection shall not be eligible for Dec. 31, 2002, see section 7301(a)(1)(A) of this title. price support on cotton of such crop produced on Section inapplicable to 1991 through 1995 crops of up- any other farm in which he has a controlling or land cotton, see section 502 of Pub. L. 101–624, set out substantial interest as determined by the Sec- as a note under section 1342 of this title. retary. Acreage planted to cotton in excess of Section inapplicable to 1986 through 1990 crops of up- the farm acreage allotment established under land cotton, see section 502 of Pub. L. 99–198, set out as a note under section 1342 of this title. section 1344 of this title shall not be taken into Section inapplicable to 1982 through 1985 crops of up- account in establishing future State, county, land cotton, see section 501 of Pub. L. 97–98, set out as and farm acreage allotments. The operator of a note under section 1342 of this title. any farm to which export market acreage is ap- Section inapplicable to 1978 through 1981 crops of up- portioned, or the purchasers of cotton produced land cotton, see section 601 of Pub. L. 95–113, set out as on such farm, shall, under regulations issued by a note under section 1342 of this title. the Secretary, furnish a bond or other under- Pub. L. 91–524, title VI, § 601(1), Nov. 30, 1970, 84 Stat. taking prescribed by the Secretary providing for 1371, as amended by Pub. L. 93–86, § 1(19)(A), Aug. 10, 1973, 87 Stat. 233, provided that this section is inap- the exportation, without benefit of any Govern- plicable to 1971 through 1977 crops of upland cotton. ment cotton export subsidy and within such time as the Secretary may specify, of all cotton REMOVAL OF MARKETING PENALTIES ON CERTAIN LONG produced on such farm for such year. The bond STAPLE COTTON or other undertaking given pursuant to this sub- Act Jan. 9, 1951, ch. 1215, 64 Stat. 1237, provided that section shall provide that, upon failure to com- the marketing penalty provided in this section, shall ply with the terms and conditions thereof, the not be applied to long staple cotton of the 1950 crop person furnishing such bond or other under- ginned on saw type gins where such action was nec- taking shall be liable for liquidated damages in essary to conserve the cotton because of frost or weather damage. an amount which the Secretary determines and specifies in such undertaking will approximate § 1347. Repealed. Pub. L. 98–88, § 2, Aug. 26, 1983, the amount payable on excess cotton under sub- 97 Stat. 494 section (a) of this section. The Secretary may, in lieu of the furnishing of a bond or other Section, acts Feb. 16, 1938, ch. 30, title III, § 347, 52 Stat. 59; Aug. 29, 1949, ch. 518, § 1, 63 Stat. 675; July 17, undertaking, provide for the payment of an 1952, ch. 933, § 4, 66 Stat. 759; Aug. 28, 1958, Pub. L. 85–835, amount equal to that which would be payable as title I, § 103(3), 72 Stat. 990; Sept. 21, 1959, Pub. L. 86–341, liquidated damages under such bond or other title II, § 203, 73 Stat. 611; June 30, 1960, Pub. L. 86–566, undertaking. If such bond or other undertaking 74 Stat. 295; Aug. 11, 1968, Pub. L. 90–475, §§ 4, 6, 82 Stat. is not furnished, or if payment in lieu thereof is 701, 702, set out a program for long staple cotton. See not made as provided herein, at such time and in section 1444(h) of this title. the manner required by regulations of the Sec- EFFECTIVE DATE OF REPEAL retary, or if the acreage planted to cotton on the farm exceeds the sum of the farm acreage allot- Pub. L. 98–88, § 2, Aug. 26, 1983, 97 Stat. 494, provided that the repeal of this section is effective beginning ment established under section 1344 of this title with the 1984 crop of extra long staple cotton. and the acreage apportioned to the farm from the national export market acreage reserve, the § 1348. Payments in kind to equalize cost of cot- acreage planted to cotton in excess of the farm ton to domestic and foreign users; rules and acreage allotment established under section 1344 regulations; termination date; persons eligi- of this title shall be regarded as excess acreage ble; amount; terms and conditions; raw cot- for purposes of this section and section 1345 of ton in inventory this title. Amounts collected by the Secretary under this subsection shall be remitted to the In order to maintain and expand domestic con- Commodity Credit Corporation. sumption of upland cotton produced in the United States and to prevent discrimination (Feb. 16, 1938, ch. 30, title III, § 346, 52 Stat. 59; against the domestic users of such cotton, not- Aug. 29, 1949, ch. 518, § 1, 63 Stat. 674; Pub. L. withstanding any other provision of law, the 89–321, title IV, § 401(2), Nov. 3, 1965, 79 Stat. 1192; Commodity Credit Corporation, under such rules Pub. L. 90–559, § 1(2), Oct. 11, 1968, 82 Stat. 996.) and regulations as the Secretary may prescribe, is authorized and directed for the period begin- AMENDMENTS ning with April 11, 1964 and ending July 31, 1966, to make payments through the issuance of pay- 1968—Subsec. (e). Pub. L. 90–559 provided for a one ment-in-kind certificates to persons other than year extension, substituting ‘‘1966 through 1970’’ for ‘‘1966, 1967, 1968, and 1969’’. producers in such amounts and subject to such 1965—Subsec. (e). Pub. L. 89–321 added subsec. (e). terms and conditions as the Secretary deter- 1949—Act Aug. 29, 1949, amended section generally. mines will eliminate inequities due to dif- Former provisions of section were covered by section ferences in the cost of raw cotton between do- 1345 of this title. mestic and foreign users of such cotton, includ- Page 631 TITLE 7—AGRICULTURE § 1349 ing such payments as may be necessary to make than the carryover on the same date one year raw cotton in inventory on April 11, 1964 avail- earlier, if the carryover on such earlier date ex- able for consumption at prices consistent with ceeds eight million bales. For the 1965 crop, the the purposes of this section: Provided, That for Secretary may, after such hearing and inves- the period beginning August 1 of the marketing tigation as he finds necessary, announce an ex- year for the first crop for which price support is port market acreage which he finds will not in- made available under section 1444(b) of this crease the carryover of upland cotton at the be- title, and ending July 31, 1966, such payments ginning of the marketing year for the next suc- shall be made in an amount which will make up- ceeding crop above one million bales less than land cotton produced in the United States avail- the carryover on the same date one year earlier, able for domestic use at a price which is not in if the carryover on such earlier date exceeds excess of the price at which such cotton is made eight million bales. Such export market acreage available for export. The Secretary may extend shall be apportioned to the States on the basis the period for performance of obligations in- of the State acreage allotments established curred in connection with payments made for under section 1344 of this title and apportioned the period ending July 31, 1966, or may make by the States to farms receiving allotments payments on raw cotton in inventory on July 31, under section 1344 of this title, pursuant to regu- 1966, at the rate in effect on such date. No pay- lations issued by the Secretary, after consider- ments shall be made hereunder with respect to ing applications for such acreage filed with the 1966 crop cotton. county committee of the county in which the farm is located. The ‘‘export market acreage’’ (Feb. 16, 1938, ch. 30, title III, § 348, as added Pub. on any farm shall be the number of acres, not L. 88–297, title I, § 101, Apr. 11, 1964, 78 Stat. 173; exceeding the maximum export market acreage amended Pub. L. 89–321, title IV, § 401(1), Nov. 3, for the farm established pursuant to this sub- 1965, 79 Stat. 1192.) section, by which the acreage planted to cotton PRIOR PROVISIONS on the farm exceeds the farm acreage allotment. A prior section 1348, acts Feb. 16, 1938, ch. 30, title III, For purposes of sections 1345 and 1374 of this § 348, 52 Stat. 59; Aug. 29, 1949, ch. 518, § 1, 63 Stat. 675; title and the provisions of any law requiring Aug. 28, 1954, ch. 1041, title III, § 311(a), 68 Stat. 904, pro- compliance with a farm acreage allotment as a hibited agricultural conservation program payments to condition of eligibility for price support or pay- any farmer who knowingly harvested any basic com- ments under any farm program, the farm acre- modity in excess of his acreage allotment and was re- age allotment for farms with export market pealed by act May 23, 1955, ch. 45, 69 Stat. 65, effective acreage shall be the sum of the farm acreage al- with respect to 1955 and subsequent crops. lotment established under section 1344 of this AMENDMENTS title and the maximum export market acreage. 1965—Pub. L. 89–321 authorized Secretary to extend Export market acreage shall be in addition to period for performance of obligations incurred in con- the county, State, and National acreage allot- nection with payments made for period ending July 31, ments and shall not be taken into account in es- 1966, or to make payments in raw cotton in inventory tablishing future State, county, and farm acre- on July 31, 1966. age allotments. The provisions of this section shall not apply to extra-long-staple cotton or to INAPPLICABILITY OF SECTION any farm which receives price support under sec- Section inapplicable to 2002 through 2007 crops of cov- tion 1444(b) of this title. ered commodities, peanuts, and sugar and inapplicable to milk during period beginning May 13, 2002, through (b) Bond, other undertaking, and lieu payments Dec. 31, 2007, see section 7992(a)(1) of this title. for exportation without subsidy and within Section inapplicable to 1996 through 2001 crops of loan specified period; terms and conditions; liq- commodities, peanuts, and sugar and inapplicable to uidated damages; farm acreage allotment milk during period beginning Apr. 4, 1996, and ending upon noncompliance with conditions; remis- Dec. 31, 2002, see section 7301(a)(1)(A) of this title. sions to CCC for defraying costs of encouraging export sales of cotton § 1349. Export market acreage The producers on any farm on which there is (a) Supplementary allotments for 1964 and 1965; export market acreage or the purchasers of cot- acreage limitation; apportionment among ton produced thereon shall, under regulations is- States and farms; ‘‘export market acreage’’ sued by the Secretary, furnish a bond or other on any farm; farm acreage allotment for undertaking prescribed by the Secretary provid- farms with export acreage; additional allot- ing for the exportation, without benefit of any ment; establishment of future allotments Government cotton export subsidy and within without regard to export acreage; exclusion such period of time as the Secretary may speci- of extra-long-staple cotton and farms receiv- fy, of a quantity of cotton produced on the farm ing additional price support for 1964 and equal to the average yield for the farm multi- 1965 plied by the export market acreage as deter- The acreage allotment established under the mined pursuant to regulations issued by the provisions of section 1344 of this title for each Secretary. The bond or other undertaking given farm for the 1964 crop may be supplemented by pursuant to this section shall provide that, upon the Secretary by an acreage equal to such per- failure to comply with the terms and conditions centage, but not more than 10 per centum, of thereof, the person furnishing such bond or such acreage allotment as he determines will other undertaking shall be liable for liquidated not increase the carryover of upland cotton at damages in an amount which the Secretary de- the beginning of the marketing year for the next termines and specifies in such undertaking will succeeding crop above one million bales less approximate the amount payable on excess cot- § 1350 TITLE 7—AGRICULTURE Page 632 ton under section 1346(a) of this title. The Sec- such additional amount is necessary to provide retary may, in lieu of the furnishing of a bond or for a production which will equal the national other undertaking, provide for the payment of cotton production goal, except that such na- an amount equal to that which would be payable tional base acreage allotment shall be eleven as liquidated damages under such bond or other million five hundred thousand acres for the 1971 undertaking. If such bond or other undertaking crop and in the case of the 1972 through 1977 is not furnished, or if payment in lieu thereof is crops shall be in such amount as the Secretary not made as provided herein, at such time and in determines necessary to maintain adequate sup- the manner required by regulations of the Sec- plies. The national base acreage allotment for retary, or if the acreage planted to cotton on the the 1974 through 1977 crops shall not be less than farm exceeds the farm acreage allotment estab- eleven million acres. lished under the provisions of section 1344 of this (b) Apportionment to States title by more than the maximum export market acreage, the farm acreage allotment shall be the The national base acreage allotment for each acreage so established under section 1344 of this crop of upland cotton shall be apportioned by title. Amounts collected by the Secretary under the Secretary to the States on the basis of the this section shall be remitted to the Commodity acreage planted (including acreage regarded as Credit Corporation and used by the Corporation having been planted) to upland cotton within to defray costs of encouraging export sales of the farm acreage allotment or the farm base cotton under section 1853 1 of this title. acreage allotment, whichever is in effect, during the five calendar years immediately preceding (Feb. 16, 1938, ch. 30, title III, § 349, as added Pub. the calendar year in which the national cotton L. 88–297, title I, § 106(1), Apr. 11, 1964, 78 Stat. production goal is proclaimed, with adjustments 175.) for abnormal weather conditions or other natu- REFERENCES IN TEXT ral disaster during such period. Section 1853 of this title, referred to in subsec. (b), (c) Apportionment to counties was repealed by Pub. L. 103–465, title IV, § 412(c), Dec. 8, The State base acreage allotment for each 1994, 108 Stat. 4964. crop of upland cotton shall be apportioned to PRIOR PROVISIONS counties on the same basis as to years and conditions as is applicable to the State under sub- A prior section 1349, act Feb. 16, 1938, ch. 30, title III, § 349, 52 Stat. 59, was omitted by act Aug. 29, 1949, ch. section (b) of this section: Provided, That the 518, § 1, 63 Stat. 670 which amended sections 342 to 350 State committee may reserve not to exceed 2 of act Feb. 16, 1938, ch. 30, title III, 52 Stat. 56 to 60 (sec- per centum of its State acreage allotment which tions 1342 to 1344, 1345 to 1347, and prior sections 1348 to shall be used to make adjustments in county al- 1350 of this title) to be sections 342 to 348 of act Feb. 16, lotments for trends in acreage, for counties ad- 1938 (sections 1342 to 1344, 1345 to 1347, and a prior sec- versely affected by abnormal conditions affect- tion 1348 of this title). ing plantings, or for small or new farms, or to INAPPLICABILITY OF SECTION correct inequities in farm allotments and to prevent hardships. Section inapplicable to 2002 through 2007 crops of covered commodities, peanuts, and sugar and inapplicable (d) Adjustment of apportionment bases for coun- to milk during period beginning May 13, 2002, through ties Dec. 31, 2007, see section 7992(a)(1) of this title. Section inapplicable to 1996 through 2001 crops of loan The Secretary shall adjust the apportionment commodities, peanuts, and sugar and inapplicable to base for each county as may be necessary be- milk during period beginning Apr. 4, 1996, and ending cause of transfers of allotments across county Dec. 31, 2002, see section 7301(a)(1)(A) of this title. lines. § 1350. National base acreage allotment (e) Apportionment to farms (1) The county base acreage allotment for the (a) Establishment 1971 crop shall be apportioned to old cotton The Secretary shall establish for each of the farms in the county on the basis of the domestic 1971 through 1977 crops of upland cotton a na- acreage allotment established for the farm for tional base acreage allotment. Such national the 1970 crop. For the 1972 and each subsequent base acreage allotment shall be announced not crop of upland cotton the county base acreage later than November 15 of the calendar year pre- allotment shall be apportioned to old cotton ceding the year for which the national base farms in the county on the basis of the farm acreage allotment is to be effective. The na- base acreage allotment established for such tional base acreage allotment for any crop of farm for the preceding year. The county com- cotton shall be the number of acres which the mittee may reserve not in excess of 10 per cen- Secretary determines on the basis of the ex- tum of the county allotment which, in addition pected national yield will produce an amount of to the acreage made available under the proviso cotton equal to the estimated domestic con- in subsection (c) of this section, shall be used for sumption of cotton (standard bales of four hun- (A) establishing allotments for farms on which dred and eighty pounds net weight) for the mar- cotton was not planted (or regarded as planted) keting year beginning in the year in which the during any of the three calendar years imme- crop is to be produced, plus not to exceed 25 per diately preceding the year for which the allot- centum thereof if the Secretary, taking into ment is made, on the basis of land, labor, and consideration other actions he may take under equipment available for the production of cot- the Agricultural Act of 1970, determines that ton, crop-rotation practices, and the soil and other physical facilities affecting the production 1 See References in Text note below. of cotton; and (B) making adjustments of the Page 633 TITLE 7—AGRICULTURE § 1350 farm allotments established under this para- garded for the purpose of establishing future graph so as to establish allotments which are farm base acreage allotments as having been fair and reasonable in relation to the factors set planted on the farm and in the county where the forth in this paragraph and abnormal conditions release was made rather than on the farm and in of production on such farms, or in making ad- the county to which the allotment was trans- justments in farm allotments to correct inequi- ferred: Provided, That, notwithstanding any ties and to prevent hardships. No part of such other provision of law, any part of any farm base reserve shall be apportioned to a farm to reflect acreage allotment for any crop year may be per- new cropland brought into production after No- manently released in writing to the county com- vember 30, 1970. mittee by the owner and operator of the farm (2) If for any crop the total acreage of cotton and reapportioned as provided herein. Acreage planted on a farm is less than the farm base released under this subsection shall be credited acreage allotment, the farm base acreage allot- to the State in determining future allotments. ment used as a base for the succeeding crop (g) Compliance with set-aside requirements shall be reduced by the percentage by which such planted acreage was less than such farm Any farm receiving any base acreage allot- base acreage allotment, but such reduction shall ment through release and reapportionment or not exceed 20 per centum of the farm base acre- sale, lease, or transfer shall, as a condition to age allotment for the preceding crop. If not less the right to receive such allotment, comply with than 90 per centum of the base acreage allot- the set-aside requirements of section 1444(e)(4) of ment for the farm is planted to cotton, the farm this title applicable to such acreage as deter- shall be considered to have an acreage planted mined by the Secretary. to cotton equal to 100 per centum of such allot- (h) Transfer of farm base acreage allotments not ment. For purposes of this paragraph, an acre- planted because of natural disaster or condi- age on the farm which the Secretary determines tions beyond control of producer was not planted to cotton because of drought, Notwithstanding any other provision of this flood, other natural disaster, or a condition be- chapter, if the Secretary determines for any yond the control of the producer shall be consid- year that because of drought, flood, other natu- ered to be an acreage planted to cotton. For the ral disaster, or a condition beyond the control of purpose of this paragraph, the Secretary shall, the producer a portion of the farm base acreage in the event producers of wheat or feed grains allotment in a county cannot be timely planted are permitted to do so, permit producers of cot- or replanted in such year, he may authorize for ton to have acreage devoted to soybeans, wheat, such year the transfer of all or a part of such feed grains, guar, castor beans, triticale, oats, cotton acreage for any farm in the county so af- rye or such other crops as the Secretary may fected to another farm in the county or in any deem appropriate considered as devoted to the other nearby county on which one or more of production of cotton to such extent and subject the producers on the farm from which the trans- to such terms and conditions as the Secretary fer is to be made will be engaged in the produc- determines will not impair the effective oper- tion of upland cotton and will share in the pro- ation of the cotton or soybean program. ceeds thereof, in accordance with such regula- (3) If no acreage is planted to cotton for any tions as the Secretary may prescribe. Any farm three consecutive crop years on any farm which base acreage allotment transferred under this had a farm base acreage allotment for such subsection shall be regarded as planted to up- years, such farm shall lose its base acreage al- land cotton on the farm and in the county and lotment. State from which transfer is made for purposes (f) Surrender of farm base acreage allotments of establishing future farm, county and State al- Effective for the 1971 through 1977 crops, any lotments. part of any farm base acreage allotment on (Feb. 16, 1938, ch. 30, title III, § 350, as added Pub. which upland cotton will not be planted and L. 88–297, title I, § 105, Apr. 11, 1964, 78 Stat. 175; which is voluntarily surrendered to the county amended Pub. L. 89–321, title IV, § 401(3), Nov. 3, committee shall be deducted from the farm base 1965, 79 Stat. 1193; Pub. L. 90–559, § 1(2), Oct. 11, acreage allotment for such farm and may be re- 1968, 82 Stat. 996; Pub. L. 91–524, title VI, § 601(4), apportioned by the county committee to other Nov. 30, 1970, 84 Stat. 1372; Pub. L. 93–86, farms in the same county receiving farm base § 1(19)(A), (D)–(G), Aug. 10, 1973, 87 Stat. 233.) acreage allotments in amounts determined by the county committee to be fair and reasonable REFERENCES IN TEXT on the basis of past acreage of upland cotton, The Agricultural Act of 1970, referred to in subsec. land, labor, equipment available for the produc- (a), is Pub. L. 91–524, Nov. 30, 1970, 84 Stat. 1358, as tion of upland cotton, crop rotation practices, amended. For complete classification of this Act to the and soil and other physical facilities affecting Code, see Short Title of 1970 Amendment note set out the production of upland cotton. If all of the under section 1281 of this title and Tables. acreage voluntarily surrendered is not needed in PRIOR PROVISIONS the county, the county committee may surrender the excess acreage to the State committee A prior section 1350, act Feb. 16, 1938, ch. 30, title III, to be used to make adjustments in farm base § 350, 52 Stat. 60, was omitted by act Aug. 29, 1949, ch. acreage allotments for other farms in the State 518, § 1, 63 Stat. 670, which amended sections 342 to 350 of act Feb. 16, 1938, ch. 30, title III, 52 Stat. 56 to 60 (sec- adversely affected by abnormal conditions af- tions 1342 to 1344, 1345 to 1347, and prior sections 1348 to fecting plantings or to correct inequities or to 1350 of this title) to be sections 342 to 348 of act Feb. 16, prevent hardship. Any farm base acreage allot- 1938 (sections 1342 to 1344, 1345 to 1347, and a prior sec- ment released under this provision shall be re- tion 1348 of this title). See section 1347 of this title. § 1350a TITLE 7—AGRICULTURE Page 634

AMENDMENTS SUBPART V—MARKETING QUOTAS—RICE 1973—Subsec. (a). Pub. L. 93–86, § 1(19)(A), (D), (E), substituted ‘‘1971 through 1977’’ for ‘‘1971, 1972, and § 1351. Omitted 1973’’ and ‘‘1972 through 1977’’ for ‘‘1972 and 1973’’ and in- CODIFICATION serted requirement that the national base acreage allotment for the 1974 through 1977 crops shall not be less Section, act Feb. 16, 1938, ch. 30, title III, § 351, 52 than eleven million acres. Stat. 60, set forth the legislative findings relating to Subsec. (e)(2). Pub. L. 93–86, § 1(19)(F), substituted rice marketing quotas pursuant to this subpart and was ‘‘soybeans, wheat, feed grains, guar, castor beans, triti- omitted in view of the repeal of the remaining sections cale, oats, rye or such other crops as the Secretary may of the subpart. deem appropriate’’ for ‘‘soybeans, wheat or feed grains’’. §§ 1352 to 1356. Repealed. Pub. L. 97–98, title VI, Subsec. (f). Pub. L. 93–86, § 1(19)(A), substituted ‘‘1971 § 601, Dec. 22, 1981, 95 Stat. 1242 through 1977’’ for ‘‘1971, 1972, and 1973’’. Subsec. (h). Pub. L. 93–86, § 1(19)(G), substituted ‘‘to Section 1352, acts Feb. 16, 1938, ch. 30, title III, § 352, another farm in the county or in any other nearby 52 Stat. 60; Aug. 9, 1955, ch. 648, 69 Stat. 576; Feb. 16, county’’ for ‘‘to another farm in the county or in an ad- 1976, Pub. L. 94–214, title I, § 101, 90 Stat. 181; Sept. 29, joining county’’. 1977, Pub. L. 95–113, title VII, § 701, 91 Stat. 940, provided 1970—Pub. L. 91–524 designated existing provisions as for a national acreage allotment and allocation for 1976 subsec. (a), substituted provisions for the establish- through 1981 crops of rice. ment of a national base acreage allotment covering Section 1353, acts Feb. 16, 1938, ch. 30, title III, § 353, each of the 1971, 1972, and 1973 crops of upland cotton 52 Stat. 61; Oct. 31, 1949, ch. 792, title IV, § 418(a), 63 for provisions authorizing the establishing of a na- Stat. 1059; June 16, 1950, ch. 268, §§ 1, 2, 64 Stat. 232; Apr. tional domestic allotment for the 1966 through 1970 30, 1955, ch. 29, 69 Stat. 45; Apr. 30, 1955, ch. 30, 69 Stat. crops of upland cotton, and added subsecs. (b) to (h). 45; May 5, 1955, ch. 31, 69 Stat. 45; Aug. 9, 1955, ch. 652, 1968—Pub. L. 90–559 provided for a one year extension, 69 Stat. 578; May 28, 1956, ch. 327, title III, § 304, 70 Stat. substituting ‘‘1966 through 1970’’ for ‘‘1966, 1967, 1968, 205; June 4, 1958, Pub. L. 85–443, §§ 1, 2(a), (b), 3, 72 Stat. and 1969’’. 177; Aug. 28, 1958, Pub. L. 85–835, title III, § 301, 72 Stat. 1965—Pub. L. 89–321 extended domestic acreage allot- 994; Feb. 16, 1938, ch. 30, title III, § 378(d), as added Aug. ment program through the 1969 crop and otherwise 28, 1958, Pub. L. 85–835, title V, § 501, 72 Stat. 996; Mar. amended section generally to authorize establishment 6, 1962, Pub. L. 87–412, 76 Stat. 20; Jan. 28, 1964, Pub. L. of a national domestic allotment for each crop year 88–261, 78 Stat. 6; Nov. 3, 1965, Pub. L. 89–321, title VIII, equal to the estimated domestic consumption for the § 801, 79 Stat. 1212; Oct. 11, 1968, Pub. L. 90–559, § 1(8), 82 marketing year beginning in year in which crop is to be Stat. 996; Apr. 27, 1973, Pub. L. 93–27, 87 Stat. 27, related produced and to authorize determination of a farm do- to allocation of national acreage allotment. mestic acreage allotment percentage for each year by Section 1354, acts Feb. 16, 1938, ch. 30, title III, § 354, dividing national domestic allotment by total for all 52 Stat. 61; Oct. 31, 1949, ch. 792, title IV, § 418(a), 63 States of product of State acreage allotment and the Stat. 1059; Apr. 4, 1960, Pub. L. 86–408, 74 Stat. 15, relat- projected State yield. ed to proclamation of marketing quotas and referendum by farmers on such quotas. Section 1355, acts Feb. 16, 1938, ch. 30, title III, § 355, EFFECTIVE DATE OF 1973 AMENDMENT 52 Stat. 62; July 3, 1948, ch. 827, title II, § 206, 62 Stat. Pub. L. 93–86, § 1(19)(E)–(G), Aug. 10, 1973, 87 Stat. 233, 1256; Oct. 31, 1949, ch. 792, title IV, §§ 415(e), 418(a), 63 provided that the amendments made by section Stat. 1058, 1059, related to amount of farm marketing 1(19)(E)–(G) of Pub. L. 93–86 are effective beginning with quota. the 1974 crop. Section 1356, acts Feb. 16, 1938, ch. 30, title III, § 356, 52 Stat. 62; Oct. 31, 1949, ch. 792, title IV, § 418(a), 63 Stat. 1059; June 4, 1958, Pub. L. 85–443, § 4, 72 Stat. 178; EFFECTIVE DATE OF 1970 AMENDMENT Dec. 14, 1967, Pub. L. 90–191, 81 Stat. 578, related to pen- Pub. L. 91–524, title VI, § 601, Nov. 30, 1970, 84 Stat. alties for farm marketing excess when farm marketing 1371, provided that the amendment made by section 601 quotas are in effect and to avoidance or postponement of Pub. L. 91–524 is effective beginning with the 1971 of penalties by storage or other disposition. crop of upland cotton. EFFECTIVE DATE OF REPEAL

EFFECTIVE DATE OF 1965 AMENDMENT Pub. L. 97–98, title VI, § 601, Dec. 22, 1981, 95 Stat. 1242, provided that the repeal of sections 1352 to 1356 of this Pub. L. 89–321, title IV, § 401(3), Nov. 3, 1965, 79 Stat. title is effective beginning with the 1982 crop of rice. 1193, provided that the amendment made by section 401(3) of Pub. L. 89–321 is effective with the 1966 crop. SUBPART VI—MARKETING QUOTAS—PEANUTS

INAPPLICABILITY OF SECTION §§ 1357 to 1359a. Repealed. Pub. L. 107–171, title Section inapplicable to 2002 through 2007 crops of cov- I, § 1309(a)(1), May 13, 2002, 116 Stat. 179 ered commodities, peanuts, and sugar and inapplicable Section 1357, act Feb. 16, 1938, ch. 30, title III, § 357, as to milk during period beginning May 13, 2002, through added Apr. 3, 1941, ch. 39, § 1, 55 Stat. 88, related to legis- Dec. 31, 2007, see section 7992(a)(1) of this title. lative findings concerning peanut marketing quotas. Section inapplicable to 1996 through 2001 crops of loan Section 1358, act Feb. 16, 1938, ch. 30, title III, § 358, as commodities, peanuts, and sugar and inapplicable to added Apr. 3, 1941, ch. 39, § 1, 55 Stat. 88; amended July milk during period beginning Apr. 4, 1996, and ending 9, 1942, ch. 497, § 1(1), 56 Stat. 653; July 26, 1946, ch. 677, Dec. 31, 2002, see section 7301(a)(1)(A) of this title. 60 Stat. 705; Aug. 1, 1947, ch. 445, § 1, 61 Stat. 721; Aug. 29, 1949, ch. 518, § 4, 63 Stat. 676; Mar. 31, 1950, ch. 81, § 1350a. Repealed. Pub. L. 96–470, title I, § 102(e), § 6(b), 64 Stat. 43; Apr. 12, 1951, ch. 28, § 1, 65 Stat. 29; Oct. 19, 1980, 94 Stat. 2237 Pub. L. 85–717, § 1, Aug. 21, 1958, 72 Stat. 709; Feb. 16, 1938, ch. 30, title III, § 378(d), as added Pub. L. 85–835, Section, Pub. L. 91–524, title VI, § 609, Nov. 30, 1970, 84 title V, § 501, Aug. 28, 1958, 72 Stat. 996; Pub. L. 92–62, Stat. 1378, required Secretary to file annually with §§ 1–3, Aug. 3, 1971, 85 Stat. 163, 164; Pub. L. 94–247, Mar. President for transmission to Congress a complete re- 25, 1976, 90 Stat. 285; Pub. L. 95–113, title VIII, §§ 801(b), port of programs carried out under title VI of Pub. L. 802, Sept. 29, 1977, 91 Stat. 944; Pub. L. 97–98, title VII, 91–524. § 702, Dec. 22, 1981, 95 Stat. 1248; Pub. L. 99–157, § 5, Nov. Page 635 TITLE 7—AGRICULTURE § 1359aa

15, 1985, 99 Stat. 818; Pub. L. 99–198, title VII, § 702, Dec. 10, 1993, 107 Stat. 324. Part VII is shown herein, how- 23, 1985, 99 Stat. 1430; Pub. L. 102–237, title I, ever, as having been added by Pub. L. 107–171, title I, § 117(b)(2)(A), Dec. 13, 1991, 105 Stat. 1841, related to na- § 1403, May 13, 2002, 116 Stat. 187, without reference to tional marketing quota for peanuts. those intervening amendments because of the extensive Section 1358–1, act Feb. 16, 1938, ch. 30, title III, revision of part VII by Pub. L. 107–171. § 358–1, as added Pub. L. 101–624, title VIII, § 802, Nov. 28, 1990, 104 Stat. 3459; amended Pub. L. 102–237, title I, § 1359aa. Definitions § 117(b)(2)(B), Dec. 13, 1991, 105 Stat. 1841; Pub. L. 103–66, title I, § 1109(c)(1), Aug. 10, 1993, 107 Stat. 326; Pub. L. In this subpart: 104–127, title I, § 155(i)(1)(A), (2)–(4)(A), (5), Apr. 4, 1996, (1) Human consumption 110 Stat. 927–929, related to national poundage quotas and acreage allotments for peanuts. The term ‘‘human consumption’’, when used Section 1358a, act Feb. 16, 1938, ch. 30, title III, § 358a, in the context of a reference to sugar (whether as added Pub. L. 90–211, Dec. 18, 1967, 81 Stat. 658; in the form of sugar, in-process sugar, syrup, amended Pub. L. 91–122, Nov. 21, 1969, 83 Stat. 213; Pub. molasses, or in some other form) for human L. 91–568, Dec. 22, 1970, 84 Stat. 1499; Pub. L. 95–113, title consumption, includes sugar for use in human VIII, § 803, Sept. 29, 1977, 91 Stat. 946; Pub. L. 97–98, title food, beverages, or similar products. VII, § 703, Dec. 22, 1981, 95 Stat. 1251; Pub. L. 99–198, title VII, § 703, Dec. 23, 1985, 99 Stat. 1434; Pub. L. 100–387, (2) Mainland State title III, § 304(a)(2), Aug. 11, 1988, 102 Stat. 948, related to The term ‘‘mainland State’’ means a State transfer of peanut acreage allotments. other than an offshore State. Section 1358b, act Feb. 16, 1938, ch. 30, title III, § 358b, as added Pub. L. 101–624, title VIII, § 803, Nov. 28, 1990, (3) Market 104 Stat. 3466; amended Pub. L. 102–237, title I, § 122, (A) In general Dec. 13, 1991, 105 Stat. 1844; Pub. L. 104–127, title I, § 155(i)(1)(B), (4)(B), (6), Apr. 4, 1996, 110 Stat. 928, 929, re- The term ‘‘market’’ means to sell or other- lated to sale, lease, or transfer of farm poundage quota wise dispose of in commerce in the United for peanuts. States. Section 1358c, act Feb. 16, 1938, ch. 30, title III, § 358c, as added Pub. L. 101–624, title VIII, § 805, Nov. 28, 1990, (B) Inclusions 104 Stat. 3474; amended Pub. L. 104–127, title I, The term ‘‘market’’ includes— § 155(i)(1)(C), Apr. 4, 1996, 110 Stat. 928, related to experi- (i) the forfeiture of sugar under the loan mental and research programs for peanuts. program for sugar established under sec- Section 1359, act Feb. 16, 1938, ch. 30, title III, § 358d, formerly § 359, as added Apr. 3, 1941, ch. 39, § 1, 55 Stat. tion 7272 of this title; 90; amended July 9, 1942, ch. 497, § 1(2), (3), 56 Stat. 653; (ii) with respect to any integrated proc- Aug. 1, 1947, ch. 445, § 2, 61 Stat. 721; July 3, 1948, ch. 827, essor and refiner, the movement of raw title II, § 207(d), 62 Stat. 1257; Mar. 31, 1950, ch. 81, § 6(a), cane sugar into the refining process; and 64 Stat. 42; Apr. 12, 1951, ch. 28, § 2, 65 Stat. 31; Mar. 28, (iii) the sale of sugar for the production 1952, ch. 110, 66 Stat. 27; May 28, 1956, ch. 327, title III, of ethanol or other bioenergy product, if §§ 305, 306, 70 Stat. 205; Pub. L. 85–127, Aug. 13, 1957, 71 the disposition of the sugar is adminis- Stat. 344; Pub. L. 85–717, § 2, Aug. 21, 1958, 72 Stat. 709; tered by the Secretary under section 8110 Pub. L. 95–113, title VIII, § 804, Sept. 29, 1977, 91 Stat. 946; Pub. L. 96–31, July 7, 1979, 93 Stat. 81; Pub. L. 97–98, of this title. title VII, § 704, Dec. 22, 1981, 95 Stat. 1251; Pub. L. 99–198, (C) Marketing year title VII, § 704, Dec. 23, 1985, 99 Stat. 1435; Pub. L. 101–82, Forfeited sugar described in subparagraph title VI, § 601, Aug. 14, 1989, 103 Stat. 586; renumbered § 358d and amended Pub. L. 102–237, title I, § 117(a), (B)(i) shall be considered to have been mar- (b)(2)(C), Dec. 13, 1991, 105 Stat. 1841, related to peanut keted during the crop year for which a loan marketing penalties. is made under the loan program described in Section 1359a, act Feb. 16, 1938, ch. 30, title III, § 358e, that subparagraph. formerly § 359a, as added Pub. L. 101–624, title VIII, § 804, Nov. 28, 1990, 104 Stat. 3467; renumbered § 358e and (4) Offshore State amended Pub. L. 102–237, title I, § 117(a), (b)(2)(D), Dec. The term ‘‘offshore State’’ means a sugar- 13, 1991, 105 Stat. 1841; Pub. L. 103–66, title I, § 1109(c)(2), cane producing State located outside of the Aug. 10, 1993, 107 Stat. 326; Pub. L. 103–182, title III, continental United States. § 321(d)(1)(B), Dec. 8, 1993, 107 Stat. 2110; Pub. L. 103–465, title IV, § 404(e)(6), Dec. 8, 1994, 108 Stat. 4961; Pub. L. (5) State 104–127, title I, § 155(i)(1)(D), Apr. 4, 1996, 110 Stat. 928, Notwithstanding section 1301 of this title, related to marketing penalties and disposition of addi- the term ‘‘State’’ means— tional peanuts. (A) a State; TREATMENT OF 2001 CROP (B) the District of Columbia; and For applicability of this subpart, as in effect on the (C) the Commonwealth of Puerto Rico. day before May 13, 2002, with respect to the 2001 crop of (6) United States peanuts notwithstanding repeal of this subpart by Pub. L. 107–171, see section 7959(a)(2) of this title. The term ‘‘United States’’, when used in a geographical sense, means all of the States. SUBPART VII—FLEXIBLE MARKETING ALLOTMENTS (Feb. 16, 1938, ch. 30, title III, § 359a, as added FOR SUGAR Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 CODIFICATION Stat. 187; amended Pub. L. 110–234, title I, § 1403(a), May 22, 2008, 122 Stat. 981; Pub. L. Part VII of subtitle B of title III of the Agricultural Adjustment Act of 1938, comprising this subpart, was 110–246, § 4(a), title I, § 1403(a), June 18, 2008, 122 originally added to act Feb. 16, 1938, ch. 30, title III, by Stat. 1664, 1709.) Pub. L. 101–624, title IX, § 902, Nov. 28, 1990, 104 Stat. CODIFICATION 3479, and amended Pub. L. 102–237, title I, § 111(c)–(k), Dec. 13, 1991, 105 Stat. 1830–1836; Pub. L. 102–535, Oct. 27, Pub. L. 110–234 and Pub. L. 110–246 made identical 1992, 106 Stat. 3526; Pub. L. 103–66, title I, § 1107(b), Aug. amendments to this section. The amendments by Pub. § 1359bb TITLE 7—AGRICULTURE Page 636

L. 110–234 were repealed by section 4(a) of Pub. L. priate allotments under section 1359cc of this 110–246. title for the marketing by processors of sugar PRIOR PROVISIONS processed from sugar cane or sugar beets or in- process beet sugar (whether the sugar beets or A prior section 1359aa, act Feb. 16, 1938, ch. 30, title in-process beet sugar was produced domesti- III, § 359a, as added Pub. L. 101–624, title IX, § 902, Nov. cally or imported) at a level that is— 28, 1990, 104 Stat. 3479; amended Pub. L. 102–237, title I, (A) sufficient to maintain raw and refined § 111(c), Dec. 13, 1991, 105 Stat. 1830, related to information reporting with respect to sugar and crystalline sugar prices above forfeiture levels so that fructose marketing quotas, prior to the general amend- there will be no forfeitures of sugar to the ment of this subpart by Pub. L. 107–171. Commodity Credit Corporation under the A prior section 359a of act Feb. 16, 1938, was renum- loan program for sugar established under bered section 359e and was classified to section 1359a of section 7272 of this title; but this title prior to repeal by Pub. L. 107–171. (B) not less than 85 percent of the esti- AMENDMENTS mated quantity of sugar for domestic human consumption for the crop year. 2008—Pub. L. 110–246, § 1403(a), added pars. (1) and (3) and redesignated former pars. (1) to (4) as (2), (4), (5), (2) Products and (6), respectively. The Secretary may include sugar products, the majority content of which is sucrose for EFFECTIVE DATE OF 2008 AMENDMENT human consumption, derived from sugar cane, Amendment of this section and repeal of Pub. L. sugar beets, molasses, or sugar in the allot- 110–234 by Pub. L. 110–246 effective May 22, 2008, the ments established under paragraph (1) if the date of enactment of Pub. L. 110–234, see section 4 of Secretary determines it to be appropriate for Pub. L. 110–246, set out as an Effective Date note under purposes of this subpart. section 8701 of this title. (c) Coverage of allotments § 1359bb. Flexible marketing allotments for sugar (1) In general (a) Sugar estimates The marketing allotments under this sub- (1) In general part shall apply to the marketing by processors of sugar intended for domestic human Not later than August 1 before the beginning consumption that has been processed from of each of the 2008 through 2012 crop years for sugar cane, sugar beets, or in-process beet sugarcane and sugar beets, the Secretary shall sugar, whether such sugar beets or in-process estimate— beet sugar was produced domestically or im- (A) the quantity of sugar that will be sub- ported. ject to human consumption in the United (2) Exceptions States during the crop year; (B) the quantity of sugar that would pro- Consistent with the administration of mar- vide for reasonable carryover stocks; keting allotments for each of the 2002 through (C) the quantity of sugar that will be 2007 crop years, the marketing allotments available from carry-in stocks for human shall not apply to sugar sold— consumption in the United States during the (A) to facilitate the exportation of the crop year; sugar to a foreign country, except that the (D) the quantity of sugar that will be exports of sugar shall not be eligible to re- available from the domestic processing of ceive credits under reexport programs for re- sugarcane, sugar beets, and in-process beet fined sugar or sugar containing products ad- sugar; and ministered by the Secretary; (B) to enable another processor to fulfill (E) the quantity of sugars, syrups, and mo- an allocation established for that processor; lasses that will be imported for human con- or sumption or to be used for the extraction of (C) for uses other than domestic human sugar for human consumption in the United consumption, except for the sale of sugar for States during the crop year, whether the ar- the production of ethanol or other bioenergy ticles are under a tariff-rate quota or are in if the disposition of the sugar is adminis- excess or outside of a tariff-rate quota. tered by the Secretary under section 8110 of (2) Exclusion this title. The estimates under this subsection shall (3) Requirement not apply to sugar imported for the production The sale of sugar described in paragraph of polyhydric alcohol or to any sugar refined (2)(B) shall be— and reexported in refined form or in products (A) made prior to May 1; and containing sugar. (B) reported to the Secretary. (3) Reestimates (d) Prohibitions The Secretary shall make reestimates of (1) In general sugar consumption, stocks, production, and During all or part of any crop year for which imports for a crop year as necessary, but not marketing allotments have been established, later than the beginning of each of the second no processor of sugar beets or sugarcane shall through fourth quarters of the crop year. market for domestic human consumption a (b) Sugar allotments quantity of sugar in excess of the allocation established for the processor, except— (1) Establishment (A) to enable another processor to fulfill By the beginning of each crop year, the Sec- an allocation established for that other retary shall establish for that crop year appro- processor; or Page 637 TITLE 7—AGRICULTURE § 1359cc

(B) to facilitate the exportation of the (2) Adjustment sugar. Subject to paragraph (1), the Secretary shall (2) Civil penalty adjust the overall allotment quantity to main- Any processor who knowingly violates para- tain— graph (1) shall be liable to the Commodity (A) raw and refined sugar prices above for- Credit Corporation for a civil penalty in an feiture levels to avoid the forfeiture of sugar amount equal to 3 times the United States to the Commodity Credit Corporation; and market value, at the time of the commission (B) adequate supplies of raw and refined of the violation, of that quantity of sugar in- sugar in the domestic market. volved in the violation. (c) Marketing allotment for sugar derived from (Feb. 16, 1938, ch. 30, title III, § 359b, as added sugar beets and sugar derived from sugar- Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 cane Stat. 188; amended Pub. L. 110–234, title I, The overall allotment quantity for the crop § 1403(b), May 22, 2008, 122 Stat. 982; Pub. L. year shall be allotted between— 110–246, § 4(a), title I, § 1403(b), June 18, 2008, 122 (1) sugar derived from sugar beets by estab- Stat. 1664, 1710.) lishing a marketing allotment for a crop year at a quantity equal to the product of multiply- CODIFICATION ing the overall allotment quantity for the crop Pub. L. 110–234 and Pub. L. 110–246 made identical year by 54.35 percent; and amendments to this section. The amendments by Pub. (2) sugar derived from sugarcane by estab- L. 110–234 were repealed by section 4(a) of Pub. L. lishing a marketing allotment for a crop year 110–246. at a quantity equal to the product of multiply- PRIOR PROVISIONS ing the overall allotment quantity for the crop A prior section 1359bb, act Feb. 16, 1938, ch. 30, title year by 45.65 percent. III, § 359b, as added Pub. L. 101–624, title IX, § 902, Nov. (d) Filling cane sugar and beet sugar allotments 28, 1990, 104 Stat. 3480; amended Pub. L. 102–237, title I, § 111(d), Dec. 13, 1991, 105 Stat. 1831; Pub. L. 103–66, title (1) Cane sugar I, § 1107(b), Aug. 10, 1993, 107 Stat. 324, related to mar- Each marketing allotment for cane sugar es- keting allotments for sugar and crystalline fructose, tablished under this section may only be filled prior to the general amendment of this subpart by Pub. with sugar processed from domestically grown L. 107–171. sugarcane. AMENDMENTS (2) Beet sugar 2008—Pub. L. 110–246, § 1403(b), amended section gener- Each marketing allotment for beet sugar es- ally, substituting provisions relating to sugar esti- tablished under this section may only be filled mates for 2008 through 2012 crop years, establishment of allotments, coverage of allotments, and prohibition with sugar domestically processed from sugar against marketing in excess of allotments, for provi- beets or in-process beet sugar. sions relating to sugar estimates for 2002 through 2007 (e) State cane sugar allotments crop years, establishment of allotments, and prohibition against marketing in excess of allotments. (1) In general The allotment for sugar derived from sugar- EFFECTIVE DATE OF 2008 AMENDMENT cane shall be further allotted, among the Amendment of this section and repeal of Pub. L. States in the United States in which sugar- 110–234 by Pub. L. 110–246 effective May 22, 2008, the cane is produced, after a hearing (if requested date of enactment of Pub. L. 110–234, see section 4 of by the affected sugarcane processors and grow- Pub. L. 110–246, set out as an Effective Date note under section 8701 of this title. ers) and on such notice as the Secretary by regulation may prescribe, in a fair and equi- § 1359cc. Establishment of flexible marketing al- table manner as provided in this subsection lotments and section 1359dd(b)(1)(D) of this title. (a) In general (2) Offshore allotment The Secretary shall establish flexible market- (A) Collectively ing allotments for sugar for any crop year in Prior to the allotment of sugar derived which the allotments are required under section from sugarcane to any other State, 325,000 1359bb(b) of this title in accordance with this short tons, raw value shall be allotted to the section. offshore States. (b) Overall allotment quantity (B) Individually (1) In general The collective offshore State allotment The Secretary shall establish the overall provided for under subparagraph (A) shall be quantity of sugar to be allotted for the crop further allotted among the offshore States year (referred to in this subpart as the ‘‘over- in which sugarcane is produced, after a hear- all allotment quantity’’) at a level that is— ing (if requested by the affected sugarcane (A) sufficient to maintain raw and refined processors and growers) and on such notice sugar prices above forfeiture levels to avoid as the Secretary by regulation may pre- forfeiture of sugar to the Commodity Credit scribe, in a fair and equitable manner on the Corporation; but basis of— (B) not less than a quantity equal to 85 (i) past marketings of sugar, based on percent of the estimated quantity of sugar the average of the 2 highest years of pro- for domestic human consumption for the duction of raw cane sugar from the 1996 crop year. through 2000 crops; § 1359dd TITLE 7—AGRICULTURE Page 638

(ii) the ability of processors to market the reduction, the quantity of sugar marketed the sugar covered under the allotments for exceeds the processor’s reduced allocation, the the crop year; and allocation of an allotment next established for (iii) past processings of sugar from the processor shall be reduced by the quantity sugarcane, based on the 3-year average of of the excess sugar marketed. the 1998 through 2000 crop years. (Feb. 16, 1938, ch. 30, title III, § 359c, as added (3) Mainland allotment Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 The allotment for sugar derived from sugar- Stat. 189; amended Pub. L. 110–234, title I, cane, less the amount provided for under para- § 1403(c), May 22, 2008, 122 Stat. 983; Pub. L. graph (2), shall be allotted among the main- 110–246, § 4(a), title I, § 1403(c), June 18, 2008, 122 land States in the United States in which Stat. 1664, 1712.) sugarcane is produced, after a hearing (if re- CODIFICATION quested by the affected sugarcane processors and growers) and on such notice as the Sec- Pub. L. 110–234 and Pub. L. 110–246 made identical amendments to this section. The amendments by Pub. retary by regulation may prescribe, in a fair L. 110–234 were repealed by section 4(a) of Pub. L. and equitable manner on the basis of— 110–246. (A) past marketings of sugar, based on the average of the 2 highest years of production PRIOR PROVISIONS of raw cane sugar from the 1996 through 2000 A prior section 1359cc, act Feb. 16, 1938, ch. 30, title crops; III, § 359c, as added Pub. L. 101–624, title IX, § 902, Nov. (B) the ability of processors to market the 28, 1990, 104 Stat. 3481; amended Pub. L. 102–237, title I, sugar covered under the allotments for the § 111(e), Dec. 13, 1991, 105 Stat. 1832, related to establishment of marketing allotments, prior to the general crop year; and amendment of this subpart by Pub. L. 107–171. (C) past processings of sugar from sugarcane, based on the 3 crop years with the AMENDMENTS greatest processings (in the mainland States 2008—Subsec. (b). Pub. L. 110–246, § 1403(c)(1), added collectively) during the 1991 through 2000 subsec. (b) and struck out former subsec. (b) which re- crop years. lated to: in par. (1), establishment of the overall allotment quantity by deducting from the sum of the esti- (f) Filling cane sugar allotments mated sugar consumption and reasonable carryover Except as provided in section 1359ee of this stocks for the crop year 1,532,000 short tons, raw value, title, a State cane sugar allotment established and carry-in stocks of sugar, including sugar in Com- under subsection (e) of this section for a crop modity Credit Corporation inventory; and in par. (2), year may be filled only with sugar processed adjustment of overall allotment quantity to avoid the forfeiture of sugar to the Commodity Credit Corpora- from sugarcane grown in the State covered by tion. the allotment. Subsec. (d)(2). Pub. L. 110–246, § 1403(c)(2), inserted ‘‘or (g) Adjustment of marketing allotments in-process beet sugar’’ before period at end. Subsec. (g)(1). Pub. L. 110–246, § 1403(c)(3), substituted (1) Adjustments ‘‘Adjustments’’ for ‘‘In general’’ in par. heading, des- (A) In general ignated existing provisions as subpar. (A), inserted subpar. heading, substituted ‘‘Subject to subparagraph (B), Subject to subparagraph (B), the Secretary the Secretary’’ for ‘‘The Secretary’’, and added subpar. shall, based on reestimates under section (B). 1359bb(a)(3) of this title, adjust upward or Subsec. (h). Pub. L. 110–246, § 1403(c)(4), struck out downward marketing allotments in a fair subsec. (h). Prior to amendment, text read as follows: and equitable manner, as the Secretary de- ‘‘Whenever the Secretary estimates or reestimates termines appropriate, to reflect changes in under section 1359bb(a) of this title, or has reason to be- estimated sugar consumption, stocks, pro- lieve, that imports of sugars, syrups or molasses for human consumption or to be used for the extraction of duction, or imports. sugar for human consumption, whether under a tariff- (B) Limitation rate quota or in excess or outside of a tariff-rate quota, In carrying out subparagraph (A), the Sec- will exceed 1,532,000 short tons (raw value equivalent) (excluding any imports attributable to reassignment retary may not reduce the overall allotment under paragraph (1)(D) or (2)(C) of section 1359ee(b) of quantity to a quantity of less than 85 per- this title), and that the imports would lead to a reduc- cent of the estimated quantity of sugar for tion of the overall allotment quantity, the Secretary domestic human consumption for the crop shall suspend the marketing allotments established year. under this section until such time as the imports have been restricted, eliminated, or reduced to or below the (2) Allocation to processors level of 1,532,000 short tons (raw value equivalent).’’ In the case of any increase or decrease in an EFFECTIVE DATE OF 2008 AMENDMENT allotment, each allocation to a processor of the allotment under section 1359dd of this Amendment of this section and repeal of Pub. L. title, and each proportionate share established 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of with respect to the allotment under section Pub. L. 110–246, set out as an Effective Date note under 1359ff(c) of this title, shall be increased or de- section 8701 of this title. creased by the same percentage that the allotment is increased or decreased. § 1359dd. Allocation of marketing allotments (3) Carry-over of reductions (a) Allocation to processors Whenever a marketing allotment for a crop Whenever marketing allotments are estab- year is required to be reduced during the crop lished for a crop year under section 1359cc of year under this subsection, if, at the time of this title, in order to afford all interested per- Page 639 TITLE 7—AGRICULTURE § 1359dd sons an equitable opportunity to market sugar processors and growers) and on such notice under an allotment, the Secretary shall allocate as the Secretary by regulation may pre- each such allotment among the processors cov- scribe, may provide the processor with an ered by the allotment. allocation that provides a fair, efficient (b) Hearing and notice and equitable distribution of the allocations from the allotment for the State in (1) Cane sugar which the processor is located. (A) In general (ii) Proportionate share States The Secretary shall make allocations for In the case of proportionate share cane sugar after a hearing, if requested by States, the Secretary shall establish pro- the affected sugarcane processors and grow- portionate shares in a quantity sufficient ers, and on such notice as the Secretary by to produce the sugarcane required to sat- regulation may prescribe, in such manner isfy the allocations. and in such quantities as to provide a fair, (iii) Limitations efficient, and equitable distribution of the allocations under this paragraph. Each such The allotment for a new processor under allocation shall be subject to adjustment this subparagraph shall not exceed— under section 1359cc(g) of this title. (I) in the case of the first crop year of operation of a new processor, 50,000 short (B) Multiple processor States tons (raw value); and Except as provided in subparagraphs (C) (II) in the case of each subsequent crop and (D), the Secretary shall allocate the al- year of operation of the new processor, a lotment for cane sugar among multiple cane quantity established by the Secretary in sugar processors in a single State based on— accordance with this subparagraph and (i) past marketings of sugar, based on the criteria described in subparagraph the average of the 2 highest years of pro- (B) or (D), as applicable. duction of raw cane sugar from among the (iv) New entrant States 1996 through 2000 crops; (I) In general (ii) the ability of processors to market Notwithstanding subparagraphs (A) sugar covered by that portion of the allot- and (C) of section 1359cc(e)(3) of this ment allocated for the crop year; and title, to accommodate an allocation (iii) past processings of sugar from under clause (i) to a new processor lo- sugarcane, based on the average of the 3 cated in a new entrant mainland State, highest years of production during the 1996 the Secretary shall provide the new en- through 2000 crop years. trant mainland State with an allotment. (C) Talisman processing facility (II) Effect on other allotments In the case of allotments under subpara- The allotment to any new entrant graph (B) attributable to the operations of mainland State shall be subtracted, on a the Talisman processing facility before May pro rata basis, from the allotments 13, 2002, the Secretary shall allocate the al- otherwise allotted to each mainland lotment among processors in the State State under section 1359cc(e)(3) of this under subparagraph (A) in accordance with title. the agreements of March 25 and 26, 1999, be- (v) Adverse effects tween the affected processors and the Sec- retary of the Interior. Before providing an initial processor allocation or State allotment to a new en- (D) Proportionate share States trant processor or a new entrant State In the case of States subject to section under this subparagraph, the Secretary 1359ff(c) of this title, the Secretary shall al- shall take into consideration any adverse locate the allotment for cane sugar among effects that the provision of the allocation multiple cane sugar processors in a single or allotment may have on existing cane State based on— processors and producers in mainland (i) past marketings of sugar, based on States. the average of the 2 highest years of pro- (vi) Ability to market duction of raw cane sugar from among the Consistent with section 1359cc of this 1997 through 2001 crop years; title and this section, any processor allo- (ii) the ability of processors to market cation or State allotment made to a new sugar covered by that portion of the allot- entrant processor or to a new entrant ments allocated for the crop year; and State under this subparagraph shall be (iii) past processings of sugar from provided only after the applicant proc- sugarcane, based on the average of the 2 essor, or the applicable processors in the highest crop years of crop production dur- State, have demonstrated the ability to ing the 1997 through 2001 crop years. process, produce, and market (including (E) New entrants the transfer or delivery of the raw cane (i) In general sugar to a refinery for further processing Notwithstanding subparagraphs (B) and or marketing) raw cane sugar for the crop (D), the Secretary, on application of any year for which the allotment is applicable. processor that begins processing sugarcane (vii) Prohibition on or after May 13, 2002, and after a hear- Not more than 1 processor allocation ing (if requested by the affected sugarcane provided under this subparagraph may be § 1359dd TITLE 7—AGRICULTURE Page 640

applicable to any individual sugar process- (II) during the 1998 through 2000 crop ing facility. years, closed a sugar beet processing fac- (F) Transfer of ownership tory; (III) during the 1998 through 2000 crop If a sugarcane processor is sold or other- years, constructed a molasses wise transferred to another owner or is desugarization facility; or closed as part of an affiliated corporate (IV) during the 1998 through 2000 crop group processing consolidation, the Sec- years, suffered substantial quality losses retary shall transfer the allotment alloca- on sugar beets stored during any such tion for the processor to the purchaser, new crop year. owner, successor in interest, or any remain- (ii) Quantity ing processor of an affiliated entity, as applicable, of the processor. The quantity of beet sugar produced by a beet sugar processor under subparagraph (2) Beet sugar (C) shall be— (A) In general (I) in the case of a processor that Except as otherwise provided in this para- opened a sugar beet processing factory, graph and sections 1359cc(g), 1359ee(b), and increased by 1.25 percent of the total of 1359ff(b) of this title, the Secretary shall the adjusted weighted average quantities make allocations for beet sugar among beet of beet sugar produced by all processors sugar processors for each crop year that al- during the 1998 through 2000 crop years lotments are in effect on the basis of the ad- (without consideration of any adjust- justed weighted average quantity of beet ment under this subparagraph) for each sugar produced by the processors for each of sugar beet processing factory that is the 1998 through 2000 crop years, as deter- opened by the processor; mined under this paragraph. (II) in the case of a processor that closed a sugar beet processing factory, (B) Quantity decreased by 1.25 percent of the total of The quantity of an allocation made for a the adjusted weighted average quantities beet sugar processor for a crop year under of beet sugar produced by all processors subparagraph (A) shall bear the same ratio during the 1998 through 2000 crop years to the quantity of allocations made for all (without consideration of any adjust- beet sugar processors for the crop year as ment under this subparagraph) for each the adjusted weighted average quantity of sugar beet processing factory that is beet sugar produced by the processor (as de- closed by the processor; termined under subparagraphs (C) and (D)) (III) in the case of a processor that bears to the total of the adjusted weighted constructed a molasses desugarization average quantities of beet sugar produced by facility, increased by 0.25 percent of the all processors (as so determined). total of the adjusted weighted average (C) Weighted average quantity quantities of beet sugar produced by all processors during the 1998 through 2000 Subject to subparagraph (D), the weighted crop years (without consideration of any quantity of beet sugar produced by a beet adjustment under this subparagraph) for sugar processor during each of the 1998 each molasses desugarization facility through 2000 crop years shall be (as deter- that is constructed by the processor; and mined by the Secretary)— (IV) in the case of a processor that suf- (i) in the case of the 1998 crop year, 25 fered substantial quality losses on stored percent of the quantity of beet sugar pro- sugar beets, increased by 1.25 percent of duced by the processor during the crop the total of the adjusted weighted aver- year; age quantities of beet sugar produced by (ii) in the case of the 1999 crop year, 35 all processors during the 1998 through percent of the quantity of beet sugar pro- 2000 crop years (without consideration of duced by the processor during the crop any adjustment under this subpara- year; and graph). (iii) in the case of the 2000 crop year, 40 (E) Permanent termination of operations of a percent of the quantity of beet sugar pro- processor duced by the processor (including any quantity of sugar received from the Com- If a processor of beet sugar has been dis- modity Credit Corporation) during the solved, liquidated in a bankruptcy proceed- crop year. ing, or otherwise has permanently terminated operations (other than in conjunction (D) Adjustments with a sale or other disposition of the proc- (i) In general essor or the assets of the processor), the Sec- The Secretary shall adjust the weighted retary shall— average quantity of beet sugar produced by (i) eliminate the allocation of the proc- a beet sugar processor during the 1998 essor provided under this section; and through 2000 crop years under subpara- (ii) distribute the allocation to other graph (C) if the Secretary determines that beet sugar processors on a pro rata basis. the processor— (F) Sale of all assets of a processor to an- (I) during the 1996 through 2000 crop other processor years, opened a sugar beet processing If a processor of beet sugar (or all of the factory; assets of the processor) is sold to another Page 641 TITLE 7—AGRICULTURE § 1359dd

processor of beet sugar, the Secretary shall (bb) the new entrant and the third transfer the allocation of the seller to the party have owners in common; buyer unless the allocation has been distrib- (cc) the third party has the ability to uted to other sugar beet processors under exercise control over the new entrant subparagraph (E). by organizational rights, contractual (G) Sale of factories of a processor to another rights, or any other means; processor (dd) the third party has a contractual relationship with the new entrant (i) Effect of sale by which the new entrant will make Subject to subparagraphs (E) and (F), if use of the facilities or assets of the 1 or more factories of a processor of beet third party; or sugar (but not all of the assets of the proc- (ee) there are any other similar cir- essor) are sold to another processor of beet cumstances by which the Secretary de- sugar during a crop year, the Secretary termines that the new entrant and the shall assign a pro rata portion of the allo- third party are affiliated. cation of the seller to the allocation of the buyer to reflect the historical contribution (ii) Allocation for a new entrant that has of the production of the sold 1 or more fac- constructed a new factory or reopened tories to the total allocation of the seller, a factory that was not operated since unless the buyer and the seller have agreed before 1998 upon the transfer of a different portion of If a new entrant constructs a new sugar the allocation of the seller, in which case, beet processing factory, or acquires and re- the Secretary shall transfer that portion opens a sugar beet processing factory that agreed upon by the buyer and seller. last processed sugar beets prior to the 1998 (ii) Application of allocation crop year and there is no allocation currently associated with the factory, the The assignment of the allocation under Secretary shall— clause (i) shall apply— (I) assign an allocation for beet sugar (I) during the remainder of the crop to the new entrant that provides a fair year for which the sale described in and equitable distribution of the alloca- clause (i) occurs; and tions for beet sugar so as to enable the (II) during each subsequent crop year. new entrant to achieve a factory utiliza- (iii) Use of other factories to fill allocation tion rate comparable to the factory uti- If the assignment of the allocation under lization rates of other similarly-situated clause (i) to the buyer for the 1 or more processors; and purchased factories cannot be filled by the (II) reduce the allocations for beet production of the 1 or more purchased fac- sugar of all other processors on a pro tories, the remainder of the allocation rata basis to reflect the allocation to the may be filled by beet sugar produced by new entrant. the buyer from other factories of the (iii) Allocation for a new entrant that has buyer. acquired an existing factory with a (H) New entrants starting production, re- production history opening, or acquiring an existing factory (I) In general with production history If a new entrant acquires an existing (i) Definition of new entrant factory that has processed sugar beets (I) In general from the 1998 or subsequent crop year In this subparagraph, the term ‘‘new and has a production history, on the mu- entrant’’ means an individual, corpora- tual agreement of the new entrant and tion, or other entity that— the company currently holding the allo- (aa) does not have an allocation of cation associated with the factory, the the beet sugar allotment under this Secretary shall transfer to the new en- subpart; trant a portion of the allocation of the (bb) is not affiliated with any other current allocation holder to reflect the individual, corporation, or entity that historical contribution of the production has an allocation of beet sugar under of the 1 or more sold factories to the this subpart (referred to in this clause total allocation of the current allocation as a ‘‘third party’’); and holder, unless the new entrant and cur- (cc) will process sugar beets produced rent allocation holder have agreed upon by sugar beet growers under contract the transfer of a different portion of the with the new entrant for the produc- allocation of the current allocation hold- tion of sugar at the new or re-opened er, in which case, the Secretary shall factory that is the basis for the new transfer that portion agreed upon by the entrant allocation. new entrant and the current allocation (II) Affiliation holder. For purposes of subclause (I)(bb), a new (II) Prohibition entrant and a third party shall be con- In the absence of a mutual agreement sidered to be affiliated if— described in subclause (I), the new en- (aa) the third party has an ownership trant shall be ineligible for a beet sugar interest in the new entrant; allocation. § 1359ee TITLE 7—AGRICULTURE Page 642

(iv) Appeals icit to be assigned to it and taking into ac- Any decision made under this subsection count the interests of producers served by may be appealed to the Secretary in ac- the processors; cordance with section 1359ii of this title. (B) if after the reassignments the deficit cannot be completely eliminated, the Sec- (Feb. 16, 1938, ch. 30, title III, § 359d, as added retary shall reassign the estimated quantity Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 of the deficit proportionately to the allot- Stat. 191; amended Pub. L. 110–234, title I, ments for other cane sugar States, depend- § 1403(d), May 22, 2008, 122 Stat. 984; Pub. L. ing on the capacity of each other State to 110–246, § 4(a), title I, § 1403(d), June 18, 2008, 122 fill the portion of the deficit to be assigned Stat. 1664, 1712.) to it, with the reassigned quantity to each State to be allocated among processors in CODIFICATION that State in proportion to the allocations Pub. L. 110–234 and Pub. L. 110–246 made identical of the processors; amendments to this section. The amendments by Pub. (C) if after the reassignments the deficit L. 110–234 were repealed by section 4(a) of Pub. L. 110–246. cannot be completely eliminated, the Sec- retary shall reassign the estimated quantity PRIOR PROVISIONS of the deficit to the Commodity Credit Cor- A prior section 1359dd, act Feb. 16, 1938, ch. 30, title poration and shall sell such quantity of III, § 359d, as added Pub. L. 101–624, title IX, § 902, Nov. sugar from inventories of the Corporation 28, 1990, 104 Stat. 3483; amended Pub. L. 102–237, title I, unless the Secretary determines that such § 111(f), Dec. 13, 1991, 105 Stat. 1833, related to allocation sales would have a significant effect on the of marketing allotments, prior to the general amend- price of sugar; and ment of this subpart by Pub. L. 107–171. (D) if after the reassignments and sales, AMENDMENTS the deficit cannot be completely eliminated, the Secretary shall reassign the remainder 2008—Subsec. (b)(1)(F). Pub. L. 110–246, § 1403(d)(1), to imports of raw cane sugar. substituted ‘‘If’’ for ‘‘Except as otherwise provided in section 1359ff(c)(8) of this title, if’’. (2) Beet sugar Subsec. (b)(2)(G) to (I). Pub. L. 110–246, § 1403(d)(2), If the Secretary determines that a sugar added subpars. (G) and (H) and struck out former sub- beet processor who has been allocated a share pars. (G) to (I) which related to sale of factories of a of the beet sugar allotment will be unable to processor to another processor, new entrants starting production or reopening factories after May 13, 2002, market that allocation— and new entrants acquiring ongoing factories with pro- (A) the Secretary first shall reassign the duction history during the period of the 1998 through estimated quantity of the deficit to the al- 2000 crop years. lotments for other sugar beet processors, depending on the capacity of each other proc- EFFECTIVE DATE OF 2008 AMENDMENT essor to fill the portion of the deficit to be Amendment of this section and repeal of Pub. L. assigned to it and taking into account the 110–234 by Pub. L. 110–246 effective May 22, 2008, the interests of producers served by the proc- date of enactment of Pub. L. 110–234, see section 4 of essors; Pub. L. 110–246, set out as an Effective Date note under (B) if after the reassignments the deficit section 8701 of this title. cannot be completely eliminated, the Sec- § 1359ee. Reassignment of deficits retary shall reassign the estimated quantity of the deficit to the Commodity Credit Cor- (a) Estimates of deficits poration and shall sell such quantity of At any time allotments are in effect under sugar from inventories of the Corporation this subpart, the Secretary, from time to time, unless the Secretary determines that such shall determine whether (in view of then-current sales would have a significant effect on the inventories of sugar, the estimated production price of sugar; and of sugar and expected marketings, and other (C) if after the reassignments and sales, pertinent factors) any processor of sugarcane the deficit cannot be completely eliminated, will be unable to market the sugar covered by the Secretary shall reassign the remainder the portion of the State cane sugar allotment to imports of raw cane sugar. allocated to the processor and whether any proc- (3) Corresponding increase essor of sugar beets will be unable to market The allocation of each processor receiving a sugar covered by the portion of the beet sugar reassigned quantity of an allotment under this allotment allocated to the processor. subsection for a crop year shall be increased to (b) Reassignment of deficits reflect the reassignment. (1) Cane sugar (Feb. 16, 1938, ch. 30, title III, § 359e, as added If the Secretary determines that any sugar- Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 cane processor who has been allocated a share Stat. 197; amended Pub. L. 110–234, title I, of a State cane sugar allotment will be unable § 1403(e), May 22, 2008, 122 Stat. 986; Pub. L. to market the processor’s allocation of the 110–246, § 4(a), title I, § 1403(e), June 18, 2008, 122 State’s allotment for the crop year— Stat. 1664, 1714.) (A) the Secretary first shall reassign the CODIFICATION estimated quantity of the deficit to the allo- Pub. L. 110–234 and Pub. L. 110–246 made identical cations for other processors within that amendments to this section. The amendments by Pub. State, depending on the capacity of each L. 110–234 were repealed by section 4(a) of Pub. L. other processor to fill the portion of the def- 110–246. Page 643 TITLE 7—AGRICULTURE § 1359ff

PRIOR PROVISIONS closed and the remaining allocation shall be A prior section 1359ee, act Feb. 16, 1938, ch. 30, title unaffected. III, § 359e, as added Pub. L. 101–624, title IX, § 902, Nov. (4) Timing 28, 1990, 104 Stat. 3484; amended Pub. L. 102–237, title I, § 111(g), Dec. 13, 1991, 105 Stat. 1833, related to reassign- The determinations of the Secretary on the ment of sugar deficits, prior to the general amendment issues raised by the petition shall be made of this subpart by Pub. L. 107–171. within 60 days after the filing of the petition.

AMENDMENTS (c) Proportionate shares of certain allotments 2008—Subsec. (b)(1)(D), (2)(C). Pub. L. 110–246, § 1403(e), (1) Definition of seed inserted ‘‘of raw cane sugar’’ after ‘‘imports’’. (A) In general

EFFECTIVE DATE OF 2008 AMENDMENT In this subsection, the term ‘‘seed’’ means Amendment of this section and repeal of Pub. L. only those varieties of seed that are dedi- 110–234 by Pub. L. 110–246 effective May 22, 2008, the cated to the production of sugarcane from date of enactment of Pub. L. 110–234, see section 4 of which is produced sugar for human consump- Pub. L. 110–246, set out as an Effective Date note under tion. section 8701 of this title. (B) Exclusion § 1359ff. Provisions applicable to producers The term ‘‘seed’’ does not include seed of a high-fiber cane variety dedicated to other (a) Processor assurances uses, as determined by the Secretary 1 (1) In general (2) In general If allotments for a crop year are allocated to (A) States affected processors under section 1359dd of this title, the Secretary shall obtain from the processors In any case in which a State allotment is such assurances as the Secretary considers established under section 1359cc(f) of this adequate that the allocation will be shared title and there are in excess of 250 sugarcane among producers served by the processor in a producers in the State (other than Puerto fair and equitable manner that adequately re- Rico), the Secretary shall make a deter- flects producers’ production histories. mination under subparagraph (B). (2) Arbitration (B) Determination (A) In general The Secretary shall determine, for each State allotment described in subparagraph Any dispute between a processor and a pro- (A), whether the production of sugarcane, in ducer, or group of producers, with respect to the absence of proportionate shares, will be the sharing of the allocation to the proc- greater than the quantity needed to enable essor shall be resolved through arbitration processors to fill the allotment and provide by the Secretary on the request of either a normal carryover inventory of sugar. party. (3) Establishment of proportionate shares (B) Period If the Secretary determines under paragraph The arbitration shall, to the maximum ex- (2) that the quantity of sugar produced from tent practicable, be— sugarcane produced by producers in the area (i) commenced not more than 45 days covered by a State allotment for a crop year after the request; and will be in excess of the quantity needed to en- (ii) completed not more than 60 days able processors to fill the allotment for the after the request. crop year and provide a normal carryover in- (b) Sugar beet processing facility closures ventory of sugar, the Secretary shall establish (1) In general a proportionate share for each sugarcane-producing farm that limits the acreage of sugar- If a sugar beet processing facility is closed cane that may be harvested on the farm for and the sugar beet growers that previously de- sugar or seed during the crop year the allot- livered beets to the facility elect to deliver ment is in effect as provided in this sub- their beets to another processing company, section. Each such proportionate share shall the growers may petition the Secretary to be subject to adjustment under paragraph (8) modify allocations under this subpart to allow and section 1359cc(g) of this title. the delivery. (4) Method of determining (2) Increased allocation for processing company For purposes of determining proportionate shares for any crop of sugarcane: The Secretary may increase the allocation (A) The Secretary shall establish the to the processing company to which the grow- State’s per-acre yield goal for a crop of ers elect to deliver their sugar beets, with the sugarcane at a level (not less than the aver- approval of the processing company, to a level age per-acre yield in the State for the 2 that does not exceed the processing capacity highest years from among the 1999, 2000, and of the processing company, to accommodate 2001 crop years, as determined by the Sec- the change in deliveries. retary) that will ensure an adequate net re- (3) Decreased allocation for closed company turn per pound to producers in the State, The increased allocation shall be deducted taking into consideration any available pro- from the allocation to the company that owned the processing facility that has been 1 So in original. Probably should be followed by a period. § 1359ff TITLE 7—AGRICULTURE Page 644

duction research data that the Secretary sugarcane for sugar in excess of the farm’s considers relevant. proportionate share shall be liable to the (B) The Secretary shall adjust the per-acre Commodity Credit Corporation for a civil yield goal by the average recovery rate of penalty equal to one and one-half times the sugar produced from sugarcane by processors United States market value of the quantity in the State. of sugar that is marketed by the processor of (C) The Secretary shall convert the State such sugarcane in excess of the allocation of allotment for the crop year involved into a such processor for the crop year. The Sec- State acreage allotment for the crop by di- retary shall prorate penalties imposed under viding the State allotment by the per-acre this subparagraph in a fair and equitable yield goal for the State, as established under manner among all the producers of sugar- subparagraph (A) and as further adjusted cane harvested from excess acreage that is under subparagraph (B). acquired by such processor. (D) The Secretary shall establish a uni- (7) Waiver form reduction percentage for the crop by dividing the State acreage allotment, as de- Notwithstanding the preceding subpara- termined for the crop under subparagraph graph, the Secretary may authorize the coun- (C), by the sum of all adjusted acreage bases ty and State committees established under in the State, as determined by the Sec- section 590h(b) of title 16 to waive or modify retary. deadlines and other proportionate share re- (E) The uniform reduction percentage for quirements in cases in which lateness or fail- the crop, as determined under subparagraph ure to meet the other requirements does not (D), shall be applied to the acreage base for affect adversely the operation of proportionate each sugarcane-producing farm in the State shares. to determine the farm’s proportionate share (8) Adjustments of sugarcane acreage that may be harvested Whenever the Secretary determines that, be- for sugar or seed. cause of a natural disaster or other condition (5) Acreage base beyond the control of producers that adversely For purposes of this subsection, the acreage affects a crop of sugarcane subject to propor- base for each sugarcane-producing farm shall tionate shares, the amount of sugar from be determined by the Secretary, as follows: sugarcane produced by producers subject to (A) The acreage base for any farm shall be the proportionate shares will not be sufficient the number of acres that is equal to the av- to enable processors in the State to meet the erage of the acreage planted and considered State’s cane sugar allotment and provide a planted for harvest for sugar or seed on the normal carryover inventory of sugar, the Sec- farm in the 2 highest of the 1999, 2000, and retary may uniformly allow producers to har- 2001 crop years. vest an amount of sugarcane in excess of their (B) Acreage planted to sugarcane that pro- proportionate share, or suspend proportionate ducers on a farm were unable to harvest to shares entirely, as necessary to enable proc- sugarcane for sugar or seed because of essors to meet the State allotment and pro- drought, flood, other natural disaster, or vide a normal carryover inventory of sugar. other condition beyond the control of the (Feb. 16, 1938, ch. 30, title III, § 359f, as added producers may be considered as harvested Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 for the production of sugar or seed for pur- Stat. 198; amended Pub. L. 110–234, title I, poses of this paragraph. § 1403(f), May 22, 2008, 122 Stat. 986; Pub. L. (6) Violation 110–246, § 4(a), title I, § 1403(f), June 18, 2008, 122 (A) In general Stat. 1664, 1714.) Whenever proportionate shares are in ef- CODIFICATION fect in a State for a crop of sugarcane, pro- Pub. L. 110–234 and Pub. L. 110–246 made identical ducers on a farm shall not knowingly har- amendments to this section. The amendments by Pub. vest, or allow to be harvested, for sugar or L. 110–234 were repealed by section 4(a) of Pub. L. seed an acreage of sugarcane in excess of the 110–246. farm’s proportionate share for the crop year, PRIOR PROVISIONS or otherwise violate proportionate share regulations issued by the Secretary under sec- A prior section 1359ff, act Feb. 16, 1938, ch. 30, title III, tion 1359hh(a) of this title. § 359f, as added Pub. L. 101–624, title IX, § 902, Nov. 28, 1990, 104 Stat. 3484; amended Pub. L. 102–237, title I, (B) Determination of violation § 111(h), Dec. 13, 1991, 105 Stat. 1834; Pub. L. 102–535, Oct. No producer shall be considered to have 27, 1992, 106 Stat. 3526, related to provisions applicable violated subparagraph (A) unless the proc- to producers, prior to the general amendment of this subpart by Pub. L. 107–171. essor of the sugarcane harvested by such producer from acreage in excess of the pro- AMENDMENTS portionate share of the farm markets an 2008—Subsec. (c). Pub. L. 110–246, § 1403(f), added par. amount of sugar that exceeds the allocation (1), redesignated former pars. (1) to (7) as (2) to (8), re- of such processor for a crop year. spectively, in par. (3), substituted ‘‘paragraph (2)’’ for (C) Civil penalty ‘‘paragraph (1)’’, ‘‘quantity of sugar produced from sugarcane’’ for ‘‘quantity of sugarcane’’, and ‘‘para- Any producer on a farm who violates sub- graph (8)’’ for ‘‘paragraph (7)’’, in par. (6)(C), subparagraph (A) by knowingly harvesting, or stituted ‘‘acreage of sugarcane for sugar’’ for ‘‘acreage allowing to be harvested, an acreage of of sugarcane’’, in par. (8), substituted ‘‘the amount of Page 645 TITLE 7—AGRICULTURE § 1359gg sugar from sugarcane’’ for ‘‘the amount of sugarcane’’, Agency for the applicable county shall and struck out former par. (8) which related to petition place the acreage base in a pool for pos- to modify allocations to allow delivery to another sible assignment to other farms. sugarcane processing company if a processing facility was closed and the growers that had delivered sugar- (ii) Acceptance of requests cane to the facility prior to closure had elected to de- After providing reasonable notice to liver their sugarcane to another company. farm owners, operators, and growers of EFFECTIVE DATE OF 2008 AMENDMENT record in the county, the county committee shall accept requests from owners, op- Amendment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the erators, and growers of record in the coun- date of enactment of Pub. L. 110–234, see section 4 of ty. Pub. L. 110–246, set out as an Effective Date note under (iii) Assignment section 8701 of this title. The county committee shall assign the § 1359gg. Special rules acreage base to other farms in the county that are eligible and capable of accepting (a) Transfer of acreage base history the acreage base, based on a random draw- (1) Transfer authorized ing from among the requests received For the purpose of establishing propor- under clause (ii). tionate shares for sugarcane farms under sec- (F) Statewide reallocation tion 1359ff(c) of this title, the Secretary, on (i) In general application of any producer, with the written Any acreage base remaining unassigned consent of all owners of a farm, may transfer after the transfers and processes described the acreage base history of the farm to any in subparagraphs (A) through (E) shall be other parcels of land of the applicant. made available to the State committee of (2) Converted acreage base the Farm Service Agency for allocation (A) In general among the remaining county committees in the State representing counties with Sugarcane acreage base established under farms eligible for assignment of the base, section 1359ff(c) of this title that has been or based on a random drawing. is converted to nonagricultural use on or after May 13, 2002, may be transferred to (ii) Allocation other land suitable for the production of Any county committee receiving acreage sugarcane that can be delivered to a proc- base under this subparagraph shall allo- essor in a proportionate share State in ac- cate the acreage base to eligible farms cordance with this paragraph. using the process described in subpara- (B) Notification graph (E). Not later than 90 days after the Secretary (G) Status of reassigned base becomes aware of a conversion of any sugar- After acreage base has been reassigned in cane acreage base to a nonagricultural use, accordance with this subparagraph, the acre- the Secretary shall notify the 1 or more af- age base shall— fected landowners of the transferability of (i) remain on the farm; and the applicable sugarcane acreage base. (ii) be subject to the transfer provisions (C) Initial transfer period of paragraph (1). The owner of the base attributable to the (b) Preservation of acreage base history acreage at the time of the conversion shall If for reasons beyond the control of a producer be afforded 90 days from the date of the re- on a farm, the producer is unable to harvest an ceipt of the notification under subparagraph acreage of sugarcane for sugar or seed with re- (B) to transfer the base to 1 or more farms spect to all or a portion of the proportionate owned by the owner. share established for the farm under section (D) Grower of record 1359ff(c) of this title, the Secretary, on the application of the producer and with the written con- If a transfer under subparagraph (C) can- sent of all owners of the farm, may preserve for not be accomplished during the period speci- a period of not more than 5 consecutive years fied in that subparagraph, the grower of the acreage base history of the farm to the ex- record with regard to the acreage base on tent of the proportionate share involved. The the date on which the acreage was converted Secretary may permit the proportionate share to nonagricultural use shall— to be redistributed to other farms, but no acre- (i) be notified; and age base history for purposes of establishing (ii) have 90 days from the date of the re- acreage bases shall accrue to the other farms by ceipt of the notification to transfer the virtue of the redistribution of the proportionate base to 1 or more farms operated by the share. grower. (c) Revisions of allocations and proportionate (E) Pool distribution shares (i) In general The Secretary, after such notice as the Sec- If transfers under subparagraphs (B) and retary by regulation may prescribe, may revise (C) cannot be accomplished during the pe- or amend any allocation of a marketing allot- riods specified in those subparagraphs, the ment under section 1359dd of this title, or any county committee of the Farm Service proportionate share established or adjusted for a § 1359hh TITLE 7—AGRICULTURE Page 646 farm under section 1359ff(c) of this title, on the EFFECTIVE DATE OF 2008 AMENDMENT same basis as the initial allocation or propor- Amendment of this section and repeal of Pub. L. tionate share was required to be established. 110–234 by Pub. L. 110–246 effective May 22, 2008, the (d) Transfers of mill allocations date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as an Effective Date note under (1) Transfer authorized section 8701 of this title. A producer in a proportionate share State, upon written consent from all affected crop- § 1359hh. Regulations; violations; publication of share owners (or the representative of the af- Secretary’s determinations; jurisdiction of fected crop-share owners) of a farm may de- the courts; United States attorneys liver sugarcane to another processing com- (a) Regulations pany if the additional delivery, when combined with such other processing company’s The Secretary or the Commodity Credit Cor- existing deliveries, does not exceed the proc- poration, as appropriate, shall issue such regula- essing capacity of the company. tions as may be necessary to carry out the authority vested in the Secretary in administering (2) Allocation adjustment this subpart. Notwithstanding section 1359dd of this title, (b) Violation the Secretary shall adjust the allocations of each of such processing companies affected by Any person knowingly violating any regula- a transfer under paragraph (1) to reflect the tion of the Secretary issued under subsection (a) change in deliveries, based on— of this section shall be subject to a civil penalty (A) the number of acres of sugarcane base of not more than $5,000 for each violation. being transferred; and (c) Publication in Federal Register (B) the pro rata amount of allocation at Each determination issued by the Secretary to the processing company holding the applica- establish, adjust, or suspend allotments under ble allocation that equals the contribution this subpart shall be promptly published in the of the grower to allocation of the processing Federal Register and shall be accompanied by a company for the sugarcane acreage base statement of the reasons for the determination. being transferred. (d) Jurisdiction of courts; United States attor- (Feb. 16, 1938, ch. 30, title III, § 359g, as added neys Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 Stat. 201; amended Pub. L. 110–234, title I, (1) Jurisdiction of courts § 1403(g), May 22, 2008, 122 Stat. 987; Pub. L. The several district courts of the United 110–246, § 4(a), title I, § 1403(g), June 18, 2008, 122 States are vested with jurisdiction specifically Stat. 1664, 1715.) to enforce, and to prevent and restrain any CODIFICATION person from violating, this subpart or any regulation issued thereunder. Pub. L. 110–234 and Pub. L. 110–246 made identical amendments to this section. The amendments by Pub. (2) United States attorneys L. 110–234 were repealed by section 4(a) of Pub. L. Whenever the Secretary shall so request, it 110–246. shall be the duty of the several United States PRIOR PROVISIONS attorneys, in their respective districts, to institute proceedings to enforce the remedies A prior section 1359gg, act Feb. 16, 1938, ch. 30, title III, § 359g, as added Pub. L. 101–624, title IX, § 902, Nov. and to collect the penalties provided for in 28, 1990, 104 Stat. 3486; amended Pub. L. 102–237, title I, this subpart. The Secretary may elect not to § 111(i), Dec. 13, 1991, 105 Stat. 1835, related to special refer to a United States attorney any viola- rules, prior to the general amendment of this subpart tion of this subpart or regulation when the by Pub. L. 107–171. Secretary determines that the administration and enforcement of this subpart would be ade- AMENDMENTS quately served by written notice or warning to 2008—Subsec. (a). Pub. L. 110–246, § 1403(g)(1), added any person committing the violation. subsec. (a) and struck out former subsec. (a). Prior to amendment, text read as follows: ‘‘For the purpose of (e) Nonexclusivity of remedies establishing proportionate shares for sugarcane farms The remedies and penalties provided for in under section 1359ff(c) of this title, the Secretary, on this subpart shall be in addition to, and not ex- application of any producer, with the written consent of all owners of a farm, may transfer the acreage base clusive of, any remedies or penalties existing at history of the farm to any other parcels of land of the law or in equity. applicant.’’ (Feb. 16, 1938, ch. 30, title III, § 359h, as added Subsec. (d)(1). Pub. L. 110–246, § 1403(g)(2)(A), inserted Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 ‘‘affected’’ before ‘‘crop-share owners’’ in two places and struck out ‘‘, and from the processing company Stat. 202.) holding the applicable allocation for such shares,’’ be- PRIOR PROVISIONS fore ‘‘may deliver’’. Subsec. (d)(2). Pub. L. 110–246, § 1403(g)(2)(B), struck A prior section 1359hh, act Feb. 16, 1938, ch. 30, title out ‘‘the product of’’ after ‘‘based on’’ in introductory III, § 359h, as added Pub. L. 101–624, title IX, § 902, Nov. provisions, added subpars. (A) and (B), and struck out 28, 1990, 104 Stat. 3486; amended Pub. L. 102–237, title I, former subpars. (A) and (B) which read as follows: § 111(j), Dec. 13, 1991, 105 Stat. 1836, related to regula- ‘‘(A) the number of acres of proportionate shares tions, violations, publication of Secretary’s determina- being transferred; and tions, jurisdiction of courts, and United States attor- ‘‘(B) the State’s per acre yield goal established under neys, prior to the general amendment of this subpart section 1359ff(c)(3) of this title.’’ by Pub. L. 107–171. Page 647 TITLE 7—AGRICULTURE § 1359kk

§ 1359ii. Appeals § 1359jj. Administration (a) In general (a) Use of certain agencies An appeal may be taken to the Secretary from In carrying out this subpart, the Secretary any decision under section 1359dd of this title es- may use the services of local committees of tablishing allocations of marketing allotments, sugar beet or sugarcane producers, sugarcane or under section 1359ff or 1359gg(d) of this title, processors, or sugar beet processors, State and by any person adversely affected by reason of county committees established under section any such decision. 590h(b) of title 16, and the departments and agencies of the United States Government. (b) Procedure (b) Use of Commodity Credit Corporation (1) Notice of appeal The Secretary shall use the services, facilities, Any such appeal shall be taken by filing funds, and authorities of the Commodity Credit with the Secretary, within 20 days after the Corporation to carry out this subpart. decision complained of is effective, notice in writing of the appeal and a statement of the (Feb. 16, 1938, ch. 30, title III, § 359j, as added reasons therefor. Unless a later date is speci- Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 fied by the Secretary as part of the Sec- Stat. 203.) retary’s decision, the decision complained of PRIOR PROVISIONS shall be considered to be effective as of the A prior section 1359jj, act Feb. 16, 1938, ch. 30, title III, date on which announcement of the decision is § 359j, as added Pub. L. 101–624, title IX, § 902, Nov. 28, made. The Secretary shall deliver a copy of 1990, 104 Stat. 3488, related to administration of this any notice of appeal to each person shown by subpart, prior to the general amendment of this sub- the records of the Secretary to be adversely part by Pub. L. 107–171. affected by reason of the decision appealed, and shall at all times thereafter permit any § 1359kk. Administration of tariff rate quotas such person to inspect and make copies of ap- (a) Establishment pellant’s reasons for the appeal and shall on (1) In general application permit the person to intervene in Except as provided in paragraph (2) and not- the appeal. withstanding any other provision of law, at (2) Hearing the beginning of the quota year, the Secretary The Secretary shall provide each appellant shall establish the tariff-rate quotas for raw an opportunity for a hearing before an admin- cane sugar and refined sugars at the minimum istrative law judge in accordance with sec- level necessary to comply with obligations tions 554 and 556 of title 5. The expenses for under international trade agreements that conducting the hearing shall be reimbursed by have been approved by Congress. the Commodity Credit Corporation. (2) Exception (Feb. 16, 1938, ch. 30, title III, § 359i, as added Paragraph (1) shall not apply to specialty Pub. L. 107–171, title I, § 1403, May 13, 2002, 116 sugar. Stat. 202; amended Pub. L. 110–234, title I, (b) Adjustment § 1403(h), May 22, 2008, 122 Stat. 988; Pub. L. (1) Before April 1 110–246, § 4(a), title I, § 1403(h), June 18, 2008, 122 Stat. 1664, 1716.) Before April 1 of each fiscal year, if there is an emergency shortage of sugar in the United CODIFICATION States market that is caused by a war, flood, Pub. L. 110–234 and Pub. L. 110–246 made identical hurricane, or other natural disaster, or other amendments to this section. The amendments by Pub. similar event as determined by the Sec- L. 110–234 were repealed by section 4(a) of Pub. L. retary— 110–246. (A) the Secretary shall take action to increase the supply of sugar in accordance PRIOR PROVISIONS with sections 1359cc(b)(2) and 1359ee(b) of A prior section 1359ii, act Feb. 16, 1938, ch. 30, title III, this title, including an increase in the tariff- § 359i, as added Pub. L. 101–624, title IX, § 902, Nov. 28, rate quota for raw cane sugar to accommo- 1990, 104 Stat. 3487; amended Pub. L. 102–237, title I, date the reassignment to imports; and § 111(k), Dec. 13, 1991, 105 Stat. 1836, related to appeals, (B) if there is still a shortage of sugar in prior to the general amendment of this subpart by Pub. the United States market, and marketing of L. 107–171. domestic sugar has been maximized, and do- AMENDMENTS mestic raw cane sugar refining capacity has been maximized, the Secretary may increase 2008—Subsec. (a). Pub. L. 110–246, § 1403(h)(1), inserted ‘‘or 1359gg(d)’’ after ‘‘1359ff’’. the tariff-rate quota for refined sugars suffi- Subsec. (c). Pub. L. 110–246, § 1403(h)(2), struck out cient to accommodate the supply increase, if subsec. (c) which related to special appeal process re- the further increase will not threaten to regarding beet sugar allocations. sult in the forfeiture of sugar pledged as collateral for a loan under section 7272 of this EFFECTIVE DATE OF 2008 AMENDMENT title. Amendment of this section and repeal of Pub. L. (2) On or after April 1 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, see section 4 of On or after April 1 of each fiscal year— Pub. L. 110–246, set out as an Effective Date note under (A) the Secretary may take action to in- section 8701 of this title. crease the supply of sugar in accordance § 1359ll TITLE 7—AGRICULTURE Page 648

with sections 1359cc(b)(2) and 1359ee(b) of PART C—ADMINISTRATIVE PROVISIONS this title, including an increase in the tariff- rate quota for raw cane sugar to accommo- SUBPART I—PUBLICATION AND REVIEW OF QUOTAS date the reassignment to imports; and INAPPLICABILITY OF SUBPART (B) if there is still a shortage of sugar in Subpart inapplicable to 1996 through 2001 crops of the United States market, and marketing of peanuts, see section 7301(a)(1)(F) of this title. domestic sugar has been maximized, the Sec- Pub. L. 101–624, title VIII, § 801(4), Nov. 28, 1990, 104 retary may increase the tariff-rate quota for Stat. 3459, provided that subpart I of part C of this sub- raw cane sugar if the further increase will chapter (§ 1361 et seq.) is inapplicable to 1991 through not threaten to result in the forfeiture of 1995 crops of peanuts. sugar pledged as collateral for a loan under Pub. L. 99–198, title VII, § 701(4), Dec. 23, 1985, 99 Stat. 1430, provided that subpart I of part C of this subsection 7272 of this title. chapter (§ 1361 et seq.) is inapplicable to 1986 through (Feb. 16, 1938, ch. 30, title III, § 359k, as added 1990 crops of peanuts. Pub. L. 110–234, title I, § 1403(j), May 22, 2008, 122 Pub. L. 97–98, title VII, § 701(4), Dec. 22, 1981, 95 Stat. Stat. 988, and Pub. L. 110–246, § 4(a), title I, 1248, provided that subpart I of part C of this subchapter (§ 1361 et seq.) is inapplicable to 1982 through § 1403(j), June 18, 2008, 122 Stat. 1664, 1717.) 1985 crops of peanuts. CODIFICATION § 1361. Application of subpart Pub. L. 110–234 and Pub. L. 110–246 enacted identical This subpart shall apply to the publication sections. Pub. L. 110–234 was repealed by section 4(a) of Pub. L. 110–246. and review of farm marketing quotas established for corn, wheat, cotton, and rice, estab- PRIOR PROVISIONS lished under part B of this subchapter. A prior section 1359kk, act Feb. 16, 1938, ch. 30, title (Feb. 16, 1938, ch. 30, title III, § 361, 52 Stat. 62; III, § 359k, as added Pub. L. 107–171, title I, § 1403, May Apr. 3, 1941, ch. 39, § 4, 55 Stat. 92; Pub. L. 107–171, 13, 2002, 116 Stat. 204, related to reallocation of sugar title I, § 1309(h)(1), May 13, 2002, 116 Stat. 181; quota import shortfalls in 2002 through 2007 calendar Pub. L. 108–357, title VI, § 611(h), Oct. 22, 2004, 118 years, prior to repeal by Pub. L. 110–234, title I, § 1403(i), Stat. 1522.) May 22, 2008, 122 Stat. 988; Pub. L. 110–246, § 4, title I, § 1403(i), June 18, 2008, 122 Stat. 1664, 1716, effective May AMENDMENTS 22, 2008. 2004—Pub. L. 108–357 struck out ‘‘tobacco,’’ after ‘‘established for’’. EFFECTIVE DATE 2002—Pub. L. 107–171 struck out ‘‘peanuts,’’ after Enactment of this section and repeal of Pub. L. ‘‘cotton,’’. 110–234 by Pub. L. 110–246 effective May 22, 2008, the 1941—Act Apr. 3, 1941, inserted ‘‘peanuts,’’ after ‘‘cot- date of enactment of Pub. L. 110–234, see section 4 of ton,’’. Pub. L. 110–246, set out as a note under section 8701 of this title. EFFECTIVE DATE OF 2004 AMENDMENT Amendment by Pub. L. 108–357 applicable to the 2005 § 1359ll. Period of effectiveness and subsequent crops of tobacco, see section 643 of Pub. L. 108–357, set out as an Effective Date note under sec- (a) In general tion 518 of this title.

This subpart shall be effective only for the SAVINGS PROVISION 2008 through 2012 crop years for sugar. Amendment by sections 611 to 614 of Pub. L. 108–357 (b) Transition not to affect the liability of any person under any provision of law so amended with respect to the 2004 or an The Secretary shall administer flexible mar- earlier crop of tobacco, see section 614 of Pub. L. keting allotments for sugar for the 2007 crop 108–357, set out as a note under section 515 of this title. year for sugar on the terms and conditions provided in this subpart as in effect on the day be- § 1362. Publication of marketing quota; mailing fore the date of enactment of this section. of allotment notice (Feb. 16, 1938, ch. 30, title III, § 359l, as added All acreage allotments, and the farm market- Pub. L. 110–234, title I, § 1403(k), May 22, 2008, 122 ing quotas established for farms in a county or Stat. 989, and Pub. L. 110–246, § 4(a), title I, other local administrative area shall, in accord- § 1403(k), June 18, 2008, 122 Stat. 1664, 1717.) ance with regulations of the Secretary, be made and kept freely available for public inspection in REFERENCES IN TEXT such county or other local administrative area. The date of enactment of this section, referred to in An additional copy of this information shall be subsec. (b), is the date of enactment of Pub. L. 110–246, kept available in the office of the county agri- which was approved June 18, 2008. cultural extension agent or with the chairman of the local committee. Notice of the farm mar- CODIFICATION keting quota of his farm shall be mailed to the Pub. L. 110–234 and Pub. L. 110–246 enacted identical farmer. sections. Pub. L. 110–234 was repealed by section 4(a) of Notice of the farm acreage allotment estab- Pub. L. 110–246. lished for each farm shown by the records of the county committee to be entitled to such allot- EFFECTIVE DATE ment shall insofar as practicable be mailed to Enactment of this section and repeal of Pub. L. the farm operator in sufficient time to be re- 110–234 by Pub. L. 110–246 effective May 22, 2008, the ceived prior to the date of the referendum. date of enactment of Pub. L. 110–234, see section 4 of Pub. L. 110–246, set out as a note under section 8701 of (Feb. 16, 1938, ch. 30, title III, § 362, 52 Stat. 62; this title. Aug. 29, 1949, ch. 518, § 2(c), 63 Stat. 676.) Page 649 TITLE 7—AGRICULTURE § 1367

AMENDMENTS record upon which the determination com- 1949—Act Aug. 29, 1949, inserted paragraph providing plained of was made, together with its findings for mailing of notice of allotment. of fact.

§ 1363. Review of quota; review committee (Feb. 16, 1938, ch. 30, title III, § 365, 52 Stat. 63; Pub. L. 86–507, § 1(5), June 11, 1960, 74 Stat. 200.) Any farmer who is dissatisfied with his farm marketing quota may, within fifteen days after AMENDMENTS mailing to him of notice as provided in section 1960—Pub. L. 86–507 inserted ‘‘or by certified mail’’ 1362 of this title, have such quota reviewed by a after ‘‘registered mail’’. local review committee composed of three farmers from the same or nearby counties appointed § 1366. Court review by the Secretary. Such committee shall not in- The review by the court shall be limited to clude any member of the local committee which questions of law, and the findings of fact by the determined the farm acreage allotment, the nor- review committee, if supported by evidence mal yield, or the farm marketing quota for such shall be conclusive. If application is made to the farm. Unless application for review is made court for leave to adduce additional evidence, within such period, the original determination and it is shown to the satisfaction of the court of the farm marketing quota shall be final. that such additional evidence is material and (Feb. 16, 1938, ch. 30, title III, § 363, 52 Stat. 63; that there were reasonable grounds for failure to Apr. 12, 1951, ch. 28, § 3, 65 Stat. 31.) adduce such evidence in the hearing before the review committee, the court may direct such ad- AMENDMENTS ditional evidence to be taken before the review 1951—Act Apr. 12, 1951, provided that the Secretary committee in such manner and upon such terms appoint a local review committee composed of 3 farm- and conditions as to the court may seem proper. ers from the same or nearby counties. The review committee may modify its findings of fact or its determination by reason of the ad- REVIEW OF 1950 COTTON FARM ACREAGE ALLOTMENT ditional evidence so taken, and it shall file with Act Mar. 31, 1950, ch. 81, § 2, 64 Stat. 41, provided that the court such modified findings or determina- any farmer dissatisfied with his farm acreage allot- tion, which findings of fact shall be conclusive. ment for the 1950 cotton crop could have such allot- The court shall hear and determine the case ment reviewed in accordance with the provisions of this chapter. upon the original record of the hearing before the review committee, and upon such record as § 1364. Compensation of review committee supplemented if supplemented, by further hearing before the review committee pursuant to di- The members of the review committee shall rection of the court. The court shall affirm the receive as compensation for their services the review committee’s determination, or modified same per diem as that received by the members determination, if the court determines that the of the committee utilized for the purposes of same is in accordance with law. If the court de- chapter 3B of title 16. The members of the re- termines that such determination or modified view committee shall not be entitled to receive determination is not in accordance with law, the compensation for more than thirty days in any court shall remand the proceeding to the review one year. committee with direction either to make such (Feb. 16, 1938, ch. 30, title III, § 364, 52 Stat. 63.) determination as the court shall determine to be in accordance with law or to take such further REFERENCES IN TEXT proceedings as, in the court’s opinion, the law Chapter 3B [§ 590a et seq.] of title 16, referred to in requires. text, was in the original a reference to the Soil Con- servation and Domestic Allotment Act, as amended. (Feb. 16, 1938, ch. 30, title III, § 366, 52 Stat. 63; Pub. L. 98–620, title IV, § 402(6), Nov. 8, 1984, 98 § 1365. Institution of proceeding for court review Stat. 3357.) of committee findings AMENDMENTS If the farmer is dissatisfied with the deter- 1984—Pub. L. 98–620 substituted ‘‘The court’’ for ‘‘At mination of the review committee, he may, the earliest convenient time, the court, in term time or within fifteen days after a notice of such deter- vacation,’’. mination is mailed to him by registered mail or by certified mail, file a bill in equity against the EFFECTIVE DATE OF 1984 AMENDMENT review committee as defendant in the United Amendment by Pub. L. 98–620 not applicable to cases States district court, or institute proceedings pending on Nov. 8, 1984, see section 403 of Pub. L. 98–620, for review in any court of record of the State set out as an Effective Date note under section 1657 of having general jurisdiction, sitting in the coun- Title 28, Judiciary and Judicial Procedure. ty or the district in which his farm is located, § 1367. Stay of proceedings and exclusive juris- for the purpose of obtaining a review of such de- diction termination. Bond shall be given in an amount and with surety satisfactory to the court to se- The commencement of judicial proceedings cure the United States for the costs of the pro- under this subpart shall not, unless specifically ceeding. The bill of complaint in such proceed- ordered by the court, operate as a stay of the re- ing may be served by delivering a copy thereof view committee’s determination. Notwithstand- to any one of the members of the review coming any other provision of law, the jurisdiction mittee. Thereupon the review committee shall conferred by this subpart to review the legal va- certify and file in the court a transcript of the lidity of a determination made by a review com- § 1368 TITLE 7—AGRICULTURE Page 650 mittee pursuant to this subpart shall be exclu- (Feb. 16, 1938, ch. 30, title III, § 371, 52 Stat. 64; sive. No court of the United States or of any Apr. 3, 1941, ch. 39, § 5, 55 Stat. 92; Aug. 28, 1954, State shall have jurisdiction to pass upon the ch. 1041, title III, § 312, 68 Stat. 904; Pub. L. legal validity of any such determination except 87–703, title III, § 321, Sept. 27, 1962, 76 Stat. 626; in a proceeding under this subpart. Pub. L. 107–171, title I, § 1309(h)(2), May 13, 2002, (Feb. 16, 1938, ch. 30, title III, § 367, 52 Stat. 64.) 116 Stat. 182; Pub. L. 108–357, title VI, § 611(i), Oct. 22, 2004, 118 Stat. 1522.) § 1368. Effect of increase on other quotas AMENDMENTS Notwithstanding any increase of any farm marketing quota for any farm as a result of re- 2004—Subsec. (a). Pub. L. 108–357, § 611(i)(1), substituted ‘‘or rice’’ for ‘‘rice, or tobacco’’ in first sen- view of the determination thereof under this tence. subpart, the marketing quotas for other farms Subsec. (b). Pub. L. 108–357, § 611(i)(2), which directed shall not be affected. amendment of first sentence of subsec. (b) by substitut- (Feb. 16, 1938, ch. 30, title III, § 368, 52 Stat. 64.) ing ‘‘or rice’’ for ‘‘rice, or tobacco’’, was executed by making the substitution for ‘‘rice,, or tobacco’’, to reflect the probable intent of Congress. SUBPART II—ADJUSTMENT OF QUOTAS AND 2002—Subsec. (a). Pub. L. 107–171, § 1309(h)(2)(A), ENFORCEMENT struck out ‘‘peanuts,’’ before ‘‘or tobacco’’ in first sen- § 1371. General adjustment of quotas tence. Subsec. (b). Pub. L. 107–171, § 1309(h)(2)(B), struck out (a) Investigation and adjustment to maintain ‘‘peanuts’’ before ‘‘or tobacco’’ in first sentence. normal supply 1962—Subsec. (a). Pub. L. 87–703, § 321(1), struck out ‘‘corn, wheat,’’ before ‘‘cotton’’. If at any time the Secretary has reason to be- Subsec. (b). Pub. L. 87–703, § 321(2), struck out ‘‘any lieve that in the case of cotton,1 or rice the op- national acreage allotment for corn, or’’ after ‘‘export eration of farm marketing quotas in effect will demand,’’, ‘‘wheat,’’ before ‘‘cotton’’ and ‘‘in order to cause the amount of such commodity which is effect the declared policy of this chapter or’’ before ‘‘to free of marketing restrictions to be less than meet such emergency’’. the normal supply for the marketing year for 1954—Subsec. (b). Act Aug. 28, 1954, § 312(a), inserted the commodity then current, he shall cause an proviso relating to national acreage allotment for corn, and struck out corn from national marketing quota immediate investigation to be made with re- provision. spect thereto. In the course of such investiga- Subsec. (c). Act Aug. 28, 1954, § 312(b), inserted ‘‘or tion due notice and opportunity for hearing acreage allotment’’ after ‘‘marketing quota’’ wherever shall be given to interested persons. If upon the appearing. basis of such investigation the Secretary finds Subsec. (d). Act Aug. 28, 1954, § 312(c), repealed subsec. the existence of such fact, he shall proclaim the (d) which related to the adjustment of corn storage reg- same forthwith. He shall also in such proclama- ulations on change in marketing quotas. tion specify such increase in, or termination of, 1941—Subsecs. (a), (b). Act Apr. 3, 1941, inserted ‘‘peanuts,’’ after ‘‘rice,’’. existing quotas as he finds, on the basis of such investigation, is necessary to make the amount EFFECTIVE DATE OF 2004 AMENDMENT of such commodity which is free of marketing restrictions equal the normal supply. Amendment by Pub. L. 108–357 applicable to the 2005 and subsequent crops of tobacco, see section 643 of Pub. (b) Adjustment because of emergency or export L. 108–357, set out as an Effective Date note under sec- demand tion 518 of this title. If the Secretary has reason to believe that, because of a national emergency or because of a EFFECTIVE DATE OF 1962 AMENDMENT material increase in export demand, any na- Amendment by Pub. L. 87–703 effective only with re- tional marketing quota or acreage allotment for spect to programs applicable to the crops planted for cotton,1 or rice should be increased or termi- harvest in the calendar year 1964 or any subsequent nated, he shall cause an immediate investiga- year and the marketing years beginning in the calendar tion to be made to determine whether the in- year 1964, or any subsequent year, see section 323 of Pub. L. 87–703, set out as a note under section 1301 of crease or termination is necessary to meet such this title. emergency or increase in export demand. If, on the basis of such investigation, the Secretary SAVINGS PROVISION finds that such increase or termination is nec- Amendment by sections 611 to 614 of Pub. L. 108–357 essary, he shall immediately proclaim such find- not to affect the liability of any person under any pro- ing (and if he finds an increase is necessary, the vision of law so amended with respect to the 2004 or an amount of the increase found by him to be nec- earlier crop of tobacco, see section 614 of Pub. L. essary) and thereupon such quota or allotment 108–357, set out as a note under section 515 of this title. shall be increased, or shall terminate, as the case may be. INAPPLICABILITY TO 1991 THROUGH 1995 CROPS OF PEANUTS (c) Increase of farm quota on increase of national quota Pub. L. 101–624, title VIII, § 801(5), Nov. 28, 1990, 104 Stat. 3459, provided that this section is inapplicable to In case any national marketing quota or acre- 1991 through 1995 crops of peanuts. age allotment for any commodity is increased under this section, each farm marketing quota INAPPLICABILITY TO 1986 THROUGH 1990 CROPS OF or acreage allotment for the commodity shall be PEANUTS increased in the same ratio. Pub. L. 99–198, title VII, § 701(5), Dec. 23, 1985, 99 Stat. 1430, provided that this section is inapplicable to 1986 1 So in original. through 1990 crops of peanuts. Page 651 TITLE 7—AGRICULTURE § 1373

INAPPLICABILITY TO 1982 THROUGH 1985 CROPS OF AMENDMENTS PEANUTS 1986—Subsec. (b). Pub. L. 99–272 substituted ‘‘Except Pub. L. 97–98, title VII, § 701(5), Dec. 22, 1981, 95 Stat. as provided in section 1314h of this title, the’’ for 1248, provided that this section is inapplicable to 1982 ‘‘The’’. through 1985 crops of peanuts. 1979—Subsec. (d). Pub. L. 96–113 inserted provisions respecting exemption from marketing quota penalties § 1372. Payment, collection, and refund of pen- for State prison farms. alties 1940—Subsec. (c). Act July 2, 1940, substituted ‘‘within (a) The penalty with respect to the marketing, two years’’ for ‘‘within one year’’ and inserted ‘‘and the by sale, of wheat, cotton, or rice, if the sale is claimant bore the burden of the payment of such penalty’’ after ‘‘wrongfully collected’’ in first par. and in- to any person within the United States, shall be serted second par. authorizing regulations for farm collected by the buyer. identification, etc. (b) All penalties provided for in part B of this 1938—Subsecs. (c), (d). Act Apr. 7, 1938, added subsecs. subchapter shall be collected and paid in such (c) and (d). manner, at such times, and under such conditions as the Secretary may by regulations pre- EFFECTIVE DATE OF 1986 AMENDMENT scribe. Such penalties shall be remitted to the Pub. L. 99–272, title I, § 1106(b), Apr. 7, 1986, 100 Stat. Secretary by the person liable for the penalty, 91, provided that the amendment made by that section except that if any other person is liable for the is effective for the 1986 and subsequent crops of to- collection of the penalty, such other person bacco. shall remit the penalty. Except as provided in RULEMAKING PROCEDURES section 1314h 1 of this title, the amount of such penalties shall be covered into the general fund Secretary of Agriculture to implement amendments of the Treasury of the United States. by Pub. L. 99–272 without regard to provisions requiring (c) Whenever, pursuant to a claim filed with notice and other procedures for public participation in rulemaking contained in section 553 of Title 5, Govern- the Secretary within two years after payment to ment Organization and Employees, or in any other di- him of any penalty collected from any person rective of the Secretary, see section 1108(c) of Pub. L. pursuant to this chapter, the Secretary finds 99–272, set out as a note under section 1301 of this title. that such penalty was erroneously, illegally, or wrongfully collected and the claimant bore the § 1373. Reports and records burden of the payment of such penalty, the Sec- (a) Persons reporting retary shall certify to the Secretary of the Treasury for payment to the claimant, in ac- This subsection shall apply to warehousemen, cordance with regulations prescribed by the Sec- processors, and common carriers of corn, wheat, retary of the Treasury, such amount as the Sec- cotton, or rice, and 1 all ginners of cotton,2 all retary finds the claimant is entitled to receive persons engaged in the business of purchasing as a refund of such penalty. corn, wheat, cotton, or rice from producers. Any Notwithstanding any other provision of law, such person shall, from time to time on request the Secretary is authorized to prescribe by regu- of the Secretary, report to the Secretary such lations for the identification of farms and it information and keep such records as the Sec- shall be sufficient to schedule receipts into spe- retary finds to be necessary to enable him to cial deposit accounts or to schedule such re- carry out the provisions of this subchapter. ceipts for transfer therefrom, or directly, into Such information shall be reported and such the separate fund provided for in subsection (b) records shall be kept in accordance with forms of this section by means of such identification which the Secretary shall prescribe. For the without reference to the names of the producers purpose of ascertaining the correctness of any on such farms. report made or record kept, or of obtaining in- The Secretary is authorized to prescribe regu- formation required to be furnished in any re- lations governing the filing of such claims and port, but not so furnished, the Secretary is au- the determination of such refunds. thorized to examine such books, papers, records, (d) No penalty shall be collected under this accounts, correspondence, contracts, documents, chapter with respect to the marketing of any and memoranda as he has reason to believe are agricultural commodity grown for experimental relevant and are within the control of such per- purposes only by any publicly owned agricul- son. Any such person failing to make any report tural experiment station. Effective with the 1978 or keep any record as required by this sub- crops, no penalty shall be collected under this section or making any false report or record chapter with respect to the marketing of any shall be deemed guilty of a misdemeanor and agricultural commodity grown on State prison upon conviction thereof shall be subject to a farms for consumption within such State prison fine of not more than $500. system. (b) Proof of acreage yield (Feb. 16, 1938, ch. 30, title III, § 372, 52 Stat. 65; Farmers engaged in the production of corn, Apr. 7, 1938, ch. 107, § 11, 52 Stat. 204; July 2, 1940, wheat, cotton, or rice for market shall furnish ch. 521, § 6, 54 Stat. 728; Pub. L. 96–113, Nov. 16, such proof of their acreage, yield, storage, and 1979, 93 Stat. 850; Pub. L. 99–272, title I, § 1106(b), marketing of the commodity in the form of Apr. 7, 1986, 100 Stat. 91.) records, marketing cards, reports, storage under REFERENCES IN TEXT seal, or otherwise as the Secretary may pre- Section 1314h of this title, referred to in subsec. (b), scribe as necessary for the administration of was repealed by Pub. L. 108–357, title VI, § 611(a), Oct. this subchapter. 22, 2004, 118 Stat. 1522. 1 So in original. The word ‘‘and’’ probably should not appear. 1 See References in Text note below. 2 So in original. The word ‘‘and’’ probably should appear. § 1373 TITLE 7—AGRICULTURE Page 652

(c) Data as confidential 1990—Subsec. (a). Pub. L. 101–624 temporarily inserted All data reported to or acquired by the Sec- ‘‘all producers engaged in the production of peanuts,’’ before ‘‘all brokers and dealers in peanuts’’. See Effec- retary pursuant to this section shall be kept tive and Termination Dates of 1990 Amendment note confidential by all officers and employees of the below. Department, and only such data so reported or 1985—Subsec. (a). Pub. L. 99–198 temporarily inserted acquired as the Secretary deems relevant shall ‘‘all producers engaged in the production of peanuts,’’ be disclosed by them, and then only in a suit or before ‘‘all brokers and dealers in peanuts’’. See Effec- administrative hearing under this subchapter. tive and Termination Dates of 1985 Amendment note Nothing in this section shall be deemed to pro- below. hibit the issuance of general statements based 1982—Subsec. (c). Pub. L. 97–218 inserted provision that nothing in this section shall be deemed to prohibit upon the reports of a number of parties which the issuance of general statements based upon the re- statements do not identify the information fur- ports of a number of parties which statements do not nished by any person. identify the information furnished by any person. (Feb. 16, 1938, ch. 30, title III, § 373, 52 Stat. 65; 1981—Subsec. (a). Pub. L. 97–98 temporarily inserted June 13, 1940, ch. 360, § 6, 54 Stat. 394; Apr. 3, 1941, ‘‘all farmers engaged in the production of peanuts,’’ before ‘‘all brokers and dealers in peanuts’’. See Effective ch. 39, §§ 6, 7, 55 Stat. 92; Pub. L. 86–507, § 1(6), and Termination Dates of 1981 Amendment note below. June 11, 1960, 74 Stat. 200; Pub. L. 95–113, title 1977—Subsec. (a). Pub. L. 95–113 temporarily inserted VIII, § 805, Sept. 29, 1977, 91 Stat. 947; Pub. L. ‘‘all farmers engaged in the production of peanuts,’’ be- 97–98, title VII, § 706, Dec. 22, 1981, 95 Stat. 1256; fore ‘‘and brokers and dealers in peanuts’’. See Effec- Pub. L. 97–218, title III, § 304, July 20, 1982, 96 tive and Termination Dates of 1977 Amendment note Stat. 214; Pub. L. 99–198, title VII, § 706, Dec. 23, below. 1985, 99 Stat. 1441; Pub. L. 101–624, title VIII, 1960—Subsec. (a). Pub. L. 86–507 inserted ‘‘or by cer- § 807, Nov. 28, 1990, 104 Stat. 3478; Pub. L. 104–127, tified mail’’ after ‘‘registered mail’’. 1941—Subsec. (a). Act Apr. 3, 1941, § 6, among other title I, § 171(a)(2), Apr. 4, 1996, 110 Stat. 937; Pub. changes, inserted ‘‘peanuts’’ after ‘‘rice’’ wherever ap- L. 107–171, title I, § 1309(h)(3), May 13, 2002, 116 pearing and inserted ‘‘all brokers and dealers in pea- Stat. 182; Pub. L. 108–357, title VI, § 611(j), Oct. nuts, all agents marketing peanuts for producers, or ac- 22, 2004, 118 Stat. 1523.) quiring peanuts for buyers and dealers, and all peanut growers’ cooperative associations, all persons engaged AMENDMENTS in the business of cleaning, shelling, crushing, and salt- 2004—Subsec. (a). Pub. L. 108–357, § 611(j)(2)(B), sub- ing of peanuts and the manufacture of peanut products, stituted ‘‘$500.’’ for ‘‘$500; and any tobacco warehouse- and all persons owning or operating peanut-picking or man or dealer who fails to remedy such violation by peanut-threshing machines’’. making a complete and accurate report or keeping a Subsec. (b). Act Apr. 3, 1941, § 7, inserted ‘‘peanuts,’’ complete and accurate record as required by this sub- after ‘‘rice,’’. section within fifteen days after notice to him of such 1940—Subsec. (a). Act June 13, 1940, inserted all after violation shall be subject to an additional fine of $100 ‘‘$500;’’ in last sentence. for each ten thousand pounds of tobacco, or fraction thereof, bought or sold by him after the date of such EFFECTIVE DATE OF 2004 AMENDMENT violation: Provided, That such fine shall not exceed Amendment by Pub. L. 108–357 applicable to the 2005 $5,000; and notice of such violation shall be served upon and subsequent crops of tobacco, see section 643 of Pub. the tobacco warehouseman or dealer by mailing the L. 108–357, set out as an Effective Date note under sec- same to him by registered mail or by certified mail or tion 518 of this title. by posting the same at any established place of business operated by him, or both.’’ EFFECTIVE AND TERMINATION DATES OF 1996 Pub. L. 108–357, § 611(j)(2)(A), which directed that ‘‘all AMENDMENT persons engaged in the business of redrying, prizing, or Pub. L. 104–127, title I, § 171(a)(2), Apr. 4, 1996, 110 Stat. stemming tobacco for producers,’’ be struck out in first 937, provided that the amendment made by section sentence, was executed by striking out ‘‘, and all per- 171(a)(2) is effective only for the 1996 through 2002 crops sons engaged in the business of redrying, prizing, or of peanuts. stemming tobacco for producers’’ before period at end of first sentence, to reflect the probable intent of Con- EFFECTIVE AND TERMINATION DATES OF 1990 gress. AMENDMENT Pub. L. 108–357, § 611(j)(1), substituted ‘‘or rice’’ for Pub. L. 101–624, title VIII, § 807, Nov. 28, 1990, 104 Stat. ‘‘rice, or tobacco’’ in two places in first sentence. 3478, provided that the amendment made by section 807 Subsec. (b). Pub. L. 108–357, § 611(j)(1), substituted ‘‘or is effective only for the 1991 through 1995 crops of pea- rice’’ for ‘‘rice, or tobacco’’. 2002—Subsec. (a). Pub. L. 107–171, § 1309(h)(3)(A), in nuts. first sentence, struck out ‘‘peanuts,’’ after ‘‘rice,’’ in EFFECTIVE AND TERMINATION DATES OF 1985 two places, inserted ‘‘and’’ after ‘‘from producers,’’ and AMENDMENT substituted ‘‘for producers.’’ for ‘‘for producers, all producers engaged in the production of peanuts, all bro- Pub. L. 99–198, title VII, § 706, Dec. 23, 1985, 99 Stat. kers and dealers in peanuts, all agents marketing pea- 1441, provided that the amendment made by section 706 nuts for producers, or acquiring peanuts for buyers and is effective only for the 1986 through 1990 crops of pea- dealers, and all peanut growers’ cooperative associa- nuts. tions, all persons engaged in the business of cleaning, EFFECTIVE AND TERMINATION DATES OF 1981 shelling, crushing, and salting of peanuts and the man- AMENDMENT ufacture of peanut products, and all persons owning or operating peanut-picking or peanut-threshing ma- Pub. L. 97–98, title VII, § 706, Dec. 22, 1981, 95 Stat. chines.’’ 1256, provided that the amendment made by section 706 Subsec. (b). Pub. L. 107–171, § 1309(h)(3)(B), struck out is effective for the 1982 through 1985 crop of peanuts. ‘‘peanuts,’’ after ‘‘rice,’’. EFFECTIVE AND TERMINATION DATES OF 1977 1996—Subsec. (a). Pub. L. 104–127 temporarily inserted AMENDMENT ‘‘all producers engaged in the production of peanuts,’’ before ‘‘all brokers and dealers in peanuts’’. See Effec- Pub. L. 95–113, title VIII, § 805, Sept. 29, 1977, 91 Stat. tive and Termination Dates of 1996 Amendment note 947, provided that the amendment made by section 805 below. is effective for the 1978 through 1981 crops of peanuts. Page 653 TITLE 7—AGRICULTURE § 1374

SAVINGS PROVISION commodity. Unless the requirements for meas- Amendment by sections 611 to 614 of Pub. L. 108–357 urement of adjusted acreage are met by the not to affect the liability of any person under any pro- farm operator, the acreage prior to such adjust- vision of law so amended with respect to the 2004 or an ment as determined by the county committee earlier crop of tobacco, see section 614 of Pub. L. shall be considered the acreage of the commod- 108–357, set out as a note under section 515 of this title. ity on the farm in determining whether the ap- § 1374. Measurement of farms and report of plicable farm allotment has been exceeded. plantings; remeasurement (Feb. 16, 1938, ch. 30, title III, § 374, 52 Stat. 65; (a) The Secretary shall provide for ascer- Apr. 3, 1941, ch. 39, § 8, 55 Stat. 92; Aug. 29, 1949, taining, by measurement or otherwise, the acre- ch. 518, § 2(b), 63 Stat. 676; Aug. 28, 1954, ch. 1041, age of any agricultural commodity or land use title III, § 311(b), 68 Stat. 904; Pub. L. 86–553, §§ 1, on farms for which the ascertainment of such 2, June 30, 1960, 74 Stat. 258; Pub. L. 89–321, title acreage is necessary to determine compliance VII, §§ 701, 702, Nov. 3, 1965, 79 Stat. 1210; Pub. L. under any program administered by the Sec- 91–524, title VI, § 612, Nov. 30, 1970, as added Pub. retary. Insofar as practicable, the acreage of the L. 93–86, § 1(25), Aug. 10, 1973, 87 Stat. 236; Pub. L. commodity and land use shall be ascertained 95–113, title VI, § 605, Sept. 29, 1977, 91 Stat. 940; prior to harvest, and, if any acreage so ascer- Pub. L. 97–98, title V, § 505, Dec. 22, 1981, 95 Stat. tained is not in compliance with the require- 1241; Pub. L. 99–198, title V, § 505, Dec. 23, 1985, 99 ments of the program the Secretary, under such Stat. 1418; Pub. L. 101–624, title V, § 504, Nov. 28, terms and conditions as he prescribes, may pro- 1990, 104 Stat. 3440; Pub. L. 102–237, title I, vide a reasonable time for the adjustment of the § 116(2), Dec. 13, 1991, 105 Stat. 1840.) acreage of the commodity or land use to the re- AMENDMENTS quirements of the program. Where cotton is 1991—Subsec. (a). Pub. L. 102–237 inserted ‘‘(or, at the planted in skiprow patterns, the same rules that option of those cotton producers who had an estab- were in effect for the 1971 through 1973 crops for lished practice of using 32 inch rows before the 1991 classifying the acreage planted to cotton and crop, 32 inch rows)’’ after ‘‘30 inch rows’’ and inserted the area skipped shall also apply to the 1974 at end ‘‘For the 1992 through 1995 crops, the rules estab- through 1995 crops, except that, for the 1991 lishing the requirements for eligibility for conserving through 1995 crops, the rules shall allow 30 inch use for payment acres shall be the same rules as were in effect for 1991 crops.’’ rows (or, at the option of those cotton producers 1990—Subsec. (a). Pub. L. 101–624 substituted ‘‘1995 who had an established practice of using 32 inch crops, except that, for the 1991 through 1995 crops, the rows before the 1991 crop, 32 inch rows) to be rules shall allow 30 inch rows to be taken into account taken into account for classifying the acreage for classifying the acreage planted to cotton and the planted to cotton and the area skipped. For the area skipped’’ for ‘‘1990 crops’’. 1992 through 1995 crops, the rules establishing 1985—Subsec. (a). Pub. L. 99–198 substituted ‘‘1990 the requirements for eligibility for conserving crops’’ for ‘‘1985 crops’’. 1981—Subsec. (a). Pub. L. 97–98 substituted ‘‘1985 use for payment acres shall be the same rules as crops’’ for ‘‘1981 crops’’. were in effect for 1991 crops. 1977—Subsec. (a). Pub. L. 95–113 substituted ‘‘1981’’ for (b) With respect to cotton, the Secretary, upon ‘‘1977’’ in provisions setting the last year for applica- such terms and conditions as he may by regulation of the 1971 through 1973 skiprow patterns in clas- tion prescribe, shall provide, through the county sifying the acreage planted to cotton. and local committees for the measurement prior 1973—Subsec. (a). Pub. L. 91–524, § 612, as added by to planting of an acreage on the farm equal to Pub. L. 93–86, inserted provisions relating to cotton planted in skiprow patterns. the farm acreage allotment if so requested by 1965—Subsec. (a). Pub. L. 89–321, § 701, removed ref- the farm operator, and any farm on which the erences to county and local committees as the agent acreage planted to cotton does not exceed such for measuring commodity or land use acreage, sub- measured acreage shall be deemed to be in com- stituted a general reference to any agricultural compliance with the farm acreage allotment. modity or land use on farms requiring ascertainment of (c) The Secretary shall by appropriate regula- acreage for specific reference to corn, wheat, cotton, tions provide for the remeasurement upon re- peanuts, or rice, and substituted provisions requiring quest by the farm operator of the acreage plant- ascertainment of commodity and land use prior to harvesting and allowing a reasonable time for adjustment ed to such commodity on the farm and for the of acreage requirements for provisions requiring the fil- measurement of the acreage planted to such ing of a written report by the local committee with the commodity on the farm remaining after any ad- state committee in the event of planting in excess of justment of excess acreage hereunder and shall farm acreage allotment. prescribe the conditions under which the farm Subsec. (c). Pub. L. 89–321, § 702, struck out sentence operator shall be required to pay the county directing the Secretary to provide by regulation for the committee for the expense of the measurement adjustment of planted acreage to the farm acreage al- of adjusted acreage or the expense of remeasure- lotment if the acreage determined to be planted to any basic agricultural commodity on the farm is in excess ment after the initial measurement or the meas- of the farm acreage allotment. urement of adjusted acreage. The regulations 1960—Subsec. (b). Pub. L. 86–553, § 1, struck out second shall also provide for the refund of any deposit sentence which read as follows: ‘‘The Secretary shall or payment made for the expense of the re- similarly provide for the remeasurement upon request measurement of the initially determined acre- by the farm operator of the acreage planted to cotton age or the adjusted acreage when because of an on the farm, but the operator shall be required to reim- error in the determination of such acreage the burse the local committee for the expense of such remeasurement if the planted acreage is found to be in remeasurement brings the acreage within the al- excess of the allotted acreage’’ which is now covered by lotment or permitted acreage or results in a subsec. (c) of this section. change in acreage in excess of a reasonable vari- Subsec. (c). Pub. L. 86–553, § 2, authorized Secretary to ation normal to measurements of acreage of the provide by regulations for remeasurement of acreage § 1375 TITLE 7—AGRICULTURE Page 654 planted to a basic agricultural commodity and for rection of the Attorney General, to institute measurement of acreage planted to such commodity re- proceedings to collect the penalties provided in maining after adjustment of excess of measurement this subchapter. The remedies and penalties pro- and remeasurement and to provide for refunds, and pre- vided for herein shall be in addition to, and not scribed method of computing acreage in determining whether the applicable farm allotment has been exceed- exclusive of, any of the remedies or penalties ed. under existing law. This section also shall be ap- 1954—Subsec. (b). Act Aug. 28, 1954, struck out last plicable to liquidated damages provided for pur- sentence relating to overplanting of cotton acreage. suant to section 1349 of this title. Subsec. (c). Act Aug. 28, 1954, added subsec. (c). 1949—Act Aug. 29, 1949, redesignated existing provi- (Feb. 16, 1938, ch. 30, title III, § 376, 52 Stat. 66; sions as subsec. (a) and added subsec. (b). June 25, 1948, ch. 646, § 1, 62 Stat. 869; Pub. L. 1941—Act Apr. 3, 1941, inserted ‘‘peanuts,’’ after ‘‘cot- 88–297, title I, § 106(2), Apr. 11, 1964, 78 Stat. 176.) ton,’’. AMENDMENTS EFFECTIVE DATE OF 1990 AMENDMENT 1964—Pub. L. 88–297 provided for application of this Amendment by Pub. L. 101–624 effective beginning section to liquidated damages under section 1349 of this with 1991 crop of an agricultural commodity, with pro- title. vision for prior crops, see section 1171 of Pub. L. 101–624, CHANGE OF NAME set out as a note under section 1421 of this title. Act June 25, 1948, eff. Sept. 1, 1948, substituted EFFECTIVE DATE OF 1977 AMENDMENT ‘‘United States attorneys’’ for ‘‘district attorneys’’. See Amendment by Pub. L. 95–113 effective Oct. 1, 1977, section 541 of Title 28, Judiciary and Judicial Proce- see section 1901 of Pub. L. 95–113, set out as a note dure, and Historical and Revision Notes thereunder. under section 1307 of this title. § 1377. Preservation of unused acreage allot- § 1375. Regulations ments (a) The Secretary shall provide by regulations In any case in which, during any year begin- for the identification, wherever necessary, of ning with 1956, the acreage planted to a com- corn, wheat, cotton, rice, or peanuts so as to af- modity on any farm is less than the acreage al- ford aid in discovering and identifying such lotment for such farm, the entire acreage allot- amounts of the commodities as are subject to ment for such farm (excluding any allotment re- and such amounts thereof as are not subject to leased from the farm or reapportioned to the marketing restrictions in effect under this sub- farm and any allotment provided for the farm chapter. pursuant to subsection (f)(7)(A) of section 1344 of (b) The Secretary shall prescribe such regula- this title) shall, except as provided herein, be tions as are necessary for the enforcement of considered for the purpose of establishing future this subchapter. State, county and farm acreage allotments, to have been planted to such commodity in such (Feb. 16, 1938, ch. 30, title III, § 375, 52 Stat. 66; year on such farm, but the 1956 acreage allot- Apr. 3, 1941, ch. 39, § 9, 55 Stat. 92; Pub. L. 108–357, ment of any commodity shall be regarded as title VI, § 611(k), Oct. 22, 2004, 118 Stat. 1523.) planted under this section only if the owner or AMENDMENTS operator on such farm notified the county committee prior to the sixtieth day preceding the 2004—Subsec. (a). Pub. L. 108–357, § 611(k)(1), sub- beginning of the marketing year for such com- stituted ‘‘or peanuts’’ for ‘‘peanuts, or tobacco’’. Subsec. (c). Pub. L. 108–357, § 611(k)(2), which directed modity of his desire to preserve such allotment: amendment of this section by striking out subsec. (c), Provided, That beginning with the 1960 crop, ex- could not be executed because this section does not cept for federally owned land, the current farm contain a subsec. (c). acreage allotment established for a commodity 1941—Subsec. (a). Act Apr. 3, 1941, inserted ‘‘peanuts,’’ shall not be preserved as history acreage pursu- after ‘‘rice,’’. ant to the provisions of this section unless for EFFECTIVE DATE OF 2004 AMENDMENT the current year or either of the two preceding years an acreage equal to 75 per centum or more Amendment by Pub. L. 108–357 applicable to the 2005 of the farm acreage allotment for such year or, and subsequent crops of tobacco, see section 643 of Pub. in the case of upland cotton on a farm which L. 108–357, set out as an Effective Date note under section 518 of this title. qualified for price support on the crop produced in any such year under section 1444(b) of this SAVINGS PROVISION title, 75 per centum of the farm domestic allot- Amendment by sections 611 to 614 of Pub. L. 108–357 ment established under section 1350 of this title not to affect the liability of any person under any pro- for any such year, whichever is smaller was ac- vision of law so amended with respect to the 2004 or an tually planted or devoted to the commodity on earlier crop of tobacco, see section 614 of Pub. L. the farm (or was regarded as planted under pro- 108–357, set out as a note under section 515 of this title. visions of the Soil Bank Act or the environmental quality incentives program established § 1376. Court jurisdiction; duties of United States under chapter 4 of subtitle D of title XII of the attorneys; remedies and penalties as addi- Food Security Act of 1985 [16 U.S.C. 3839aa et tional seq.]): Provided further, That this section shall The several district courts of the United not be applicable in any case, within the period States are vested with jurisdiction specifically 1956 to 1959, in which the amount of the com- to enforce the provisions of this subchapter. If modity required to be stored to postpone or and when the Secretary shall so request, it shall avoid payment of penalty has been reduced be- be the duty of the several United States attor- cause the allotment was not fully planted. Acre- neys in their respective districts, under the di- age history credits for released or reapportioned Page 655 TITLE 7—AGRICULTURE § 1378 acreage shall be governed by the applicable pro- Section inapplicable to 1996 through 2001 crops of up- visions of this subchapter pertaining to the re- land cotton, see section 7301(a)(1)(G) of this title. lease and reapportionment of acreage allot- Section inapplicable to 1991 through 1995 crops of up- ments. land cotton, see section 502 of Pub. L. 101–624, set out as a note under section 1342 of this title. (Feb. 16, 1938, ch. 30, title III, § 377, as added May Section inapplicable to 1986 through 1990 crops of up- 28, 1956, ch. 327, title III, § 307, 70 Stat. 206; land cotton, see section 502 of Pub. L. 99–198, set out as amended Pub. L. 85–266, Sept. 2, 1957, 71 Stat. 592; a note under section 1342 of this title. Pub. L. 86–172, § 1, Aug. 18, 1959, 73 Stat. 393; Pub. Section inapplicable to 1982 through 1985 crops of upland cotton, see section 501 of Pub. L. 97–98, set out as L. 88–297, title I, § 106(4), Apr. 11, 1964, 78 Stat. a note under section 1342 of this title. 177; Pub. L. 95–113, title VIII, § 806, Sept. 29, 1977, Section inapplicable to 1978 through 1981 crops of 91 Stat. 947; Pub. L. 104–127, title III, rice, see section 703 of Pub. L. 95–113. § 336(b)(2)(A), Apr. 4, 1996, 110 Stat. 1006.) Section inapplicable to 1978 through 1981 crops of upland cotton, see section 601 of Pub. L. 95–113, set out as REFERENCES IN TEXT a note under section 1342 of this title. The Soil Bank Act, referred to in text, is act May 28, Pub. L. 94–214, title III, § 301, Feb. 16, 1976, 90 Stat. 187, 1956, ch. 327, 70 Stat. 188, as amended, which was classi- provided that: ‘‘Section 377 of the Agricultural Adjust- fied to subchapters I to III of chapter 45 (§ 1801 et seq.) ment Act of 1938 [this section] shall not be applicable of this title and was repealed by Pub. L. 89–321, title VI, to the 1976 and 1977 crops of rice.’’ § 601, Nov. 3, 1965, 79 Stat. 1206. For complete classifica- Pub. L. 91–524, title VI, § 601(1), Nov. 30, 1970, 84 Stat. tion of this Act to the Code prior to its repeal, see 1371, as amended by Pub. L. 93–86, § 1(19)(A), Aug. 10, Tables. 1973, 87 Stat. 233, provided that this section is inap- The Food Security Act of 1985, referred to in text, is plicable to 1971 through 1977 crops of upland cotton. Pub. L. 99–198, Dec. 23, 1985, 99 Stat. 1354, as amended. Chapter 4 of subtitle D of title XII of the Act is classi- § 1378. Transfer of acreage allotments ensuing fied generally to part IV (§ 3839aa et seq.) of subchapter from agency acquisition of farmlands IV of chapter 58 of Title 16, Conservation. For complete classification of this Act to the Code, see Short Title of (a) Allotment pool 1985 Amendment note set out under section 1281 of this Notwithstanding any other provision of this title and Tables. chapter, the allotment determined for any com- AMENDMENTS modity for any land from which the owner is displaced because of acquisition of the land for 1996—Pub. L. 104–127 substituted ‘‘environmental quality incentives program established under chapter 4 any purpose, other than for the continued proof subtitle D of title XII of the Food Security Act of duction of allotted crops, by any Federal, State, 1985’’ for ‘‘Great Plains program’’. or other agency having the right of eminent do- 1977—Pub. L. 95–113 temporarily inserted ‘‘or, in the main shall be placed in an allotment pool and case of peanuts, an acreage sufficient to produce 75 per shall be available only for use in providing allot- centum of the farm poundage quota’’ after ‘‘of the farm ments for other farms owned by the owner so acreage allotment for such year’’. See Effective and displaced. Upon application to the county com- Termination Dates of 1977 Amendment note below. 1964—Pub. L. 88–297 inserted ‘‘or, in the case of upland mittee, within three years after the date of such cotton on a farm which qualified for price support on displacement, any owner so displaced shall be the crop produced in any such year under section entitled to have allotments established for other 1444(b) of this title, 75 per centum of the farm domestic farms owned by him, taking into consideration allotment established under section 1350 of this title for the land, labor, and equipment available on such any such year, whichever is smaller’’ in first proviso other farms for the production of the commod- after ‘‘75 per centum or more of the farm acreage allot- ity, crop-rotation practices, and the soil and ment for such year’’ to protect the farm base of any other physical factors affecting the production farm participating in the domestic allotment choice program if the acreage planted on the farm was at least of the commodity: Provided, That the acreage 75 per centum of the farm domestic allotment. used to establish or increase the allotments for 1959—Pub. L. 86–172 excluded any allotment provided such farms shall be transferred from the pool for a farm under section 1344(f)(7)(A) of this title from and shall not exceed the allotment most re- the entire acreage allotment for the farm which is con- cently established for the farm acquired from sidered as planted in the year for the purpose of estab- the applicant and placed in the pool. During the lishing future acreage allotments and provided for the period of eligibility for the making of allot- preservation of the current farm acreage allotment as history acreage under prescribed conditions. ments under this section for a displaced owner, 1957—Pub. L. 85–266 struck out, for 1957, 1958, and 1959, acreage allotments for the farm from which the requirement of filing notice of intention not to plant owner was so displaced shall be established in full acreage allotment and provided that acreage his- accordance with the procedure applicable to tory credits for released or reapportioned acreage shall other farms, and such allotments shall be con- be governed by the applicable provisions of this sub- sidered to have been fully planted. After such al- chapter pertaining to the release and reapportionment lotment is made under this section, the propor- of acreage allotments. tionate part, or all, as the case may be, of the EFFECTIVE AND TERMINATION DATES OF 1977 past acreage used in establishing the allotment AMENDMENT most recently placed in the pool for the farm Pub. L. 95–113, title VIII, § 806, Sept. 29, 1977, 91 Stat. from which the owner was so displaced shall be 947, provided that the amendment made by that section transferred to and considered for the purposes of is effective for the 1978 through 1981 crops of peanuts. future State, county, and farm acreage allot- INAPPLICABILITY OF SECTION ments to have been planted on the farm to which allotment is made under this section. Ex- Section inapplicable to 1984 and subsequent crops of extra long staple cotton, see section 3 of Pub. L. 98–88, cept where subsection (c) of this section requires set out as a note under section 1342 of this title. the transfer of allotment to another portion of Section inapplicable to 2002 through 2007 crops of up- the same farm, for the purpose of this section (1) land cotton, see section 7992(a)(2) of this title. that part of any farm from which the owner is § 1378 TITLE 7—AGRICULTURE Page 656 so displaced and that part from which he is not eminent domain represents less than 15 per cen- so displaced shall be considered as separate tum of the total cropland on the farm, the allot- farms; and (2) an owner who voluntarily relin- ment attributable to that portion of the farm so quishes possession of the land subsequent to its acquired shall be transferred to that portion of acquisition by an agency having the right of the farm not so acquired. eminent domain shall be considered as having (Feb. 16, 1938, ch. 30, title III, § 378, as added Pub. been displaced because of such acquisition. The L. 85–835, title V, § 501, Aug. 28, 1958, 72 Stat. 995; former owner of land acquired as described in amended Pub. L. 86–423, § 1, Apr. 9, 1960, 74 Stat. this subsection shall not be considered for the 41; Pub. L. 87–33, May 16, 1961, 75 Stat. 78; Pub. purposes hereof to have been displaced from L. 91–524, title IV, § 404(3), title VI, § 605(1), Nov. such land during any period for which such land 30, 1970, 84 Stat. 1366, 1378; Pub. L. 92–10, § 2, Apr. is leased to such former owner: Provided, That the occupancy of the former owner under the 14, 1971, 85 Stat. 27; Pub. L. 92–354, July 26, 1972, lease follows immediately after his occupancy 86 Stat. 499; Pub. L. 107–171, title I, § 1309(h)(4), as owner: And provided further, That if a former May 13, 2002, 116 Stat. 182; Pub. L. 108–357, title owner has been displaced prior to April 9, 1960, VI, § 611(l), Oct. 22, 2004, 118 Stat. 1523.) and no allotment from the land owned by such CODIFICATION former owner has been transferred from the al- Part of subsec. (d) of section 378 of act Feb. 16, 1938, lotment pool and such former owner leases the is set out as a Savings Provision note below. The re- land formerly owned by him prior to two years mainder of such subsec. (d) repealed sections 1313(h), from April 9, 1960, such allotment shall be re- 1334(d), 1344(h), 1353(f), and 1358(h) of this title. transferred from the pool to such land and the AMENDMENTS occupancy of such former owner under the lease for the purposes of this subsection shall be 2004—Subsec. (c). Pub. L. 108–357, § 611(l)(1), which di- deemed to have begun immediately after his dis- rected amendment of subsec. (c) by substituting ‘‘and placement as owner. During any year of the cotton’’ for ‘‘cotton, and tobacco’’, was executed by making the substitution for ‘‘cotton and tobacco’’, to 3–year period the allotment from a farm may re- reflect the probable intent of Congress. main in the allotment pool, the displaced owner Subsecs. (d), (e). Pub. L. 108–357, § 611(l)(2), directed may, in accordance with regulations of the Sec- the repeal of subsecs. (d) and (e), added by Pub. L. retary, release for one year at a time any part 91–524, which had temporarily included farm base acre- or all of such farm allotment to the county com- age allotment for upland cotton and domestic allot- mittee for reapportionment to other farms in ment for wheat within the term ‘‘allotment’’ as used in the county having allotments for such commod- this section. See Codification note above and 1970 ity on the basis of the past acreage of the com- Amendment note below. l modity, land, labor, equipment available for the Subsec. (f). Pub. L. 108–357, § 611( )(2), struck out subsec. (f), which provided that the terms ‘‘allotment’’ and production of the commodity, crop rotation ‘‘acreage’’ would be construed to mean ‘‘marketing practices, and soil and other physical facilities quota’’ and ‘‘poundage’’, respectively, in applying pro- affecting the production of the commodity; and visions to a farm for which a quota had been deter- the allotment reapportioned shall, for purposes mined under section 1314e of this title. of establishing future farm allotments, not be 2002—Subsec. (c). Pub. L. 107–171 substituted ‘‘cotton regarded as planted on the farm to which the al- and tobacco,’’ for ‘‘cotton, tobacco, and peanuts,’’. lotment was transferred. 1972—Subsec. (a). Pub. L. 92–354 struck out the alternative time limitation for filing applications to the (b) Circumstances precluding application of pro- county committee and substituted provisions describ- visions ing allotments for provisions requiring the allotments The provisions of this section shall not be ap- to be comparable with allotments determined for other plicable if (1) there is any marketing quota pen- farms in the same area which are similar except for the alty due with respect to the marketing of the past acreage of the commodity. 1971—Subsec. (f). Pub. L. 92–10 added subsec. (f). commodity from the farm acquired by the Fed- 1970—Subsec. (d). Pub. L. 91–524, § 605(1), temporarily eral, State, or other agency or by the owner of added subsec. (d). See Effective and Termination Dates the farm; (2) any of the commodity produced on of 1970 Amendment note below. such farm has not been accounted for as re- Subsec. (e). Pub. L. 91–524, § 404(3), temporarily added quired by the Secretary; or (3) the allotment subsec. (e). See Effective and Termination Dates of 1970 next established for the farm acquired by the Amendment note below. Federal, State, or other agency would have been 1961—Pub. L. 87–33 substituted provisions permitting reduced because of false or improper identifica- displaced owners to release part or all of any allotment remaining in the allotment pool for reapportionment tion of the commodity produced on or marketed to other farms in the county having allotments for from such farm or due to a false acreage report. such commodity, for provisions making sections (c) Time of displacement determining applica- 1344(m)(2), 1353(e), and 1358(g) of this title inapplicable tion of provisions to allotments held under the lease by a displaced owner. This section shall not be applicable, in the 1960—Subsec. (a). Pub. L. 86–423 inserted sentences 1 case of and cotton, to any farm from which the providing that the former owner of land shall not be owner was displaced prior to 1950, in the case of considered to have been displaced during any period for wheat and corn, to any farm from which the which such land is leased to him if his occupancy under owner was displaced prior to 1954, and in the the lease immediately follows after his occupancy as case of rice, to any farm from which the owner owner, authorizing retransfer of allotments in cases was displaced prior to 1955. In any case where where a former owner leases land formerly owned by the cropland acquired for nonfarming purposes him prior to two years from April 9, 1960, and making sections 1344(m)(2), 1353(e), and 1358(g) of this title inap- from an owner by an agency having the right of plicable to allotments on lands held under the lease by a displaced owner which are subject to the provisions of 1 So in original. The word ‘‘and’’ probably should not appear. this amendment. Page 657 TITLE 7—AGRICULTURE § 1379a

EFFECTIVE DATE OF 2004 AMENDMENT 1211; amended Pub. L. 91–524, title IV, § 404(4), Amendment by Pub. L. 108–357 applicable to the 2005 title VI, § 605(2), Nov. 30, 1970, 84 Stat. 1366, 1378; and subsequent crops of tobacco, see section 643 of Pub. Pub. L. 98–180, title II, § 212(b), Nov. 29, 1983, 97 L. 108–357, set out as an Effective Date note under sec- Stat. 1149; Pub. L. 101–577, § 2(c), Nov. 15, 1990, 104 tion 518 of this title. Stat. 2856; Pub. L. 102–237, title I, § 116(3), Dec. 13, EFFECTIVE AND TERMINATION DATES OF 1970 1991, 105 Stat. 1841; Pub. L. 106–78, title VIII, AMENDMENT § 803(c)(6)(C), Oct. 22, 1999, 113 Stat. 1178; Pub. L. 108–357, title VI, § 611(m), Oct. 22, 2004, 118 Stat. Pub. L. 91–524, title IV, § 404, title VI, § 605, Nov. 30, 1970, 84 Stat. 1366, 1378, as amended by Pub. L. 93–86, 1523.) § 1(11), (22), Aug. 10, 1973, 87 Stat. 229, 235, provided that AMENDMENTS the amendments made by sections 404 and 605 are effective only with respect to the 1971 through 1977 crops. 2004—Pub. L. 108–357 struck out ‘‘(a)’’ before ‘‘In any case’’, struck out ‘‘, but this clause (6) shall not be ap- SAVINGS PROVISION plicable in the case of burley tobacco’’ before period at Amendment by sections 611 to 614 of Pub. L. 108–357 end of par. (6), and struck out subsecs. (b) and (c), not to affect the liability of any person under any pro- which related to combination of tracts in contiguous vision of law so amended with respect to the 2004 or an counties, and to burley tobacco poundage quota when a earlier crop of tobacco, see section 614 of Pub. L. farm is divided through reconstitution, respectively. 108–357, set out as a note under section 515 of this title. 1999—Subsec. (b). Pub. L. 106–78 inserted ‘‘or flue- Act Feb. 16, 1938, ch. 30, title III, § 378(d), as added by cured’’ after ‘‘Burley’’. Pub. L. 85–835, title V, § 501, Aug. 28, 1958, 72 Stat. 995, 1991—Subsecs. (a)(4) to (7), (c). Pub. L. 102–237 struck provided in part that: ‘‘any transfer or reassignment of out ‘‘or’’ at end of par. (4), substituted ‘‘; or’’ for period allotment heretofore made under the provisions of at end of par. (5), substituted a period for ‘‘; or’’ at end these sections [former sections 1313(h), 1334(d), 1344(h), of par. (6), and redesignated par. (7) as subsec. (c) and 1353(f), and 1358(h) of this title] shall remain in effect, moved subsec. (c) to follow subsec. (b). and any displaced farm owner for whom an allotment 1990—Subsec. (a)(7). Pub. L. 101–577 added par. (7). has been established under such repealed sections [such 1983—Pub. L. 98–180 designated existing provisions as sections] shall not be eligible for additional allotment subsec. (a) and added subsec. (b). under subsection (a) of this section [7 U.S.C. 1378(a)] be- 1970—Pub. L. 91–524 temporarily inserted provision cause of such displacement.’’ that term ‘‘acreage allotments’’ include the farm base acreage allotments for upland cotton and the domestic § 1379. Reconstitution of farms allotment for wheat. See Effective and Termination Dates of 1970 Amendment note below. In any case in which the ownership of a tract of land is transferred from a parent farm, the EFFECTIVE DATE OF 2004 AMENDMENT acreage allotments, history acreages, and base Amendment by Pub. L. 108–357 applicable to the 2005 acreages for the farm shall be divided between and subsequent crops of tobacco, see section 643 of Pub. such tract and the parent farm in the same pro- L. 108–357, set out as an Effective Date note under sec- portion that the cropland acreage in such tract tion 518 of this title. bears to the cropland acreage in the parent EFFECTIVE AND TERMINATION DATES OF 1970 farm, except that the Secretary shall provide by AMENDMENT regulation the method to be used in determining Pub. L. 91–524, title IV, § 404, title VI, § 605, Nov. 30, the division, if any, of the acreage allotments, 1970, 84 Stat. 1366, 1378, as amended by Pub. L. 93–86, histories, and bases in any case in which— § 1(11), (22), Aug. 10, 1973, 87 Stat. 229, 235, provided that (1) the tract of land transferred from the the amendments made by sections 404 and 605 are effec- parent farm has been or is being transferred to tive only with respect to the 1971 through 1977 crops. any agency having the right to acquire it by SAVINGS PROVISION eminent domain; (2) the tract of land transferred from the Amendment by sections 611 to 614 of Pub. L. 108–357 parent farm is to be used for nonagricultural not to affect the liability of any person under any pro- purposes; vision of law so amended with respect to the 2004 or an (3) the parent farm resulted from a combina- earlier crop of tobacco, see section 614 of Pub. L. 108–357, set out as a note under section 515 of this title. tion of two or more tracts of land and records are available showing the contribution of each PART D—WHEAT MARKETING ALLOCATION tract to the allotments, histories, and bases of the parent farm; § 1379a. Legislative findings (4) the appropriate county committee deter- Wheat, in addition to being a basic food, is one mines that a division based on cropland proof the great export crops of American agri- portions would result in allotments and bases culture and its production for domestic con- not representative of the operations normally sumption and for export is necessary to the carried out on any transferred tract during the maintenance of a sound national economy and base period; to the general welfare. The movement of wheat (5) the parent farm is divided among heirs in from producer to consumer, in the form of the settling an estate; or commodity or any of the products thereof, is (6) neither the tract transferred from the preponderantly in interstate and foreign com- parent farm nor the remaining portion of the merce. Unreasonably low prices of wheat to pro- parent farm receives allotments in excess of ducers impair their purchasing power for non- allotments for similar farms in the commu- agriculture products and place them in a posi- nity having allotments of the commodity or tion of serious disparity with other industrial commodities involved and such allotments are groups. The conditions affecting the production consistent with good land uses. of wheat are such that without Federal assist- (Feb. 16, 1938, ch. 30, title III, § 379, as added Pub. ance, producers cannot effectively prevent disas- L. 89–321, title VII, § 707, Nov. 3, 1965, 79 Stat. trously low prices for wheat. It is necessary, in § 1379b TITLE 7—AGRICULTURE Page 658 order to assist wheat producers in obtaining fair ‘‘payments authorized by section 1445a(c) of this title’’ prices, to regulate the price of wheat used for for ‘‘certificates on wheat’’, ‘‘wheat allotment’’ for ‘‘do- domestic food and for exports in the manner mestic wheat allotment’’, ‘‘thirteen and three-tenths provided in this part. million’’ for ‘‘13.3 million’’, ‘‘1971 crop; plus, if required by the Secretary, (ii) the acreage’’ for ‘‘1971 crop or 15 (Feb. 16, 1938, ch. 30, title III, § 379a, as added million acres in the case of the 1972 or 1973 crop, plus Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 (ii) the acreage’’, ‘‘The Secretary is authorized for the Stat. 626.) 1974 through 1977 crops to limit’’ for ‘‘The Secretary is authorized for the 1971, 1972, and 1973 crops to limit’’, INAPPLICABILITY OF SECTION ‘‘such percentage of the acreage allotment’’ for ‘‘such Section inapplicable to 2002 through 2007 crops of cov- percentage of the domestic wheat allotment as he de- ered commodities, peanuts, and sugar and inapplicable termines necessary to provide an orderly transition to to milk during period beginning May 13, 2002, through the program provided for under this section’’, ‘‘The Dec. 31, 2007, see section 7992(a)(3) of this title. Secretary shall permit producers to plant and graze on Section inapplicable to 1996 through 2001 crops of loan set-aside acreage sweet sorghum, and the Secretary commodities, peanuts, and sugar and inapplicable to may permit, subject to such terms and conditions as he milk during period beginning Apr. 4, 1996, and ending may prescribe, all or any of the set-aside acreage to be Dec. 31, 2002, see section 7301(a)(1)(H) of this title. devoted to hay and’’ for ‘‘Grazing shall not be permitted during any of the five principal months of the § 1379b. Wheat marketing allocation; amount; na- normal growing season as determined by the county tional allocation percentage; commercial and committee established pursuant to section 590h(b) of noncommercial wheat-producing areas Title 16 and subject to this limitation (1) the Secretary shall permit producers to plant and graze on the set- During any marketing year for which a mar- aside acreage sweet sorghum, and (2) the Secretary keting quota is in effect for wheat, beginning may permit, subject to such terms and conditions as he with the marketing year for the 1964 crop, a may prescribe, all or any of the set-aside acreage to be wheat marketing allocation program shall be in devoted to’’, and ‘‘flaxseed, triticale, oats, rye, or other effect as provided in this part. Whenever a commodity’’ for ‘‘flaxseed, or other commodity’’. See wheat marketing allocation program is in effect Effective and Termination Dates of 1973 Amendment for any marketing year the Secretary shall de- note below. termine (1) the wheat marketing allocation for Subsec. (c)(2). Pub. L. 91–524, § 402(b)(B)(i), as added by Pub. L. 93–86, temporarily substituted ‘‘payments au- such year which shall be the amount of wheat thorized by section 1445a(c) of this title’’ for ‘‘certifi- which in determining the national marketing cates authorized in subsection (b) of this section’’. See quota for such marketing year he estimated Effective and Termination Dates of 1973 Amendment would be used during such year for food products note below. for consumption in the United States, and that Subsec. (c)(3). Pub. L. 91–524, § 402(b)(B)(vii), as added portion of the amount of wheat which in deter- by Pub. L. 93–86, temporarily inserted provisions au- mining such quota he estimated would be ex- thorizing the Secretary, in the case of programs for the ported in the form of wheat or products thereof 1974 through 1977 crops, to pay an appropriate share of the cost of practices designated to protect set-aside during the marketing year on which the Sec- acreage against erosion, insects, weeds, and rodents retary determines that marketing certificates and to devote such acreage to wildlife food plots or shall be issued to producers in order to achieve, wildlife habitat. See Effective and Termination Dates insofar as practicable, the price and income ob- of 1973 Amendment note below. jectives of this part, and (2) the national alloca- Subsec. (c)(4). Pub. L. 91–524, § 402(b)(B)(i), as added by tion percentage which shall be the percentage Pub. L. 93–86, temporarily substituted ‘‘payments au- which the national marketing allocation is of thorized by section 1445a(c) of this title’’ for ‘‘market- the national marketing quota. Each farm shall ing certificates’’. See Effective and Termination Dates of 1973 Amendment note below. receive a wheat marketing allocation for such Subsec. (d). Pub. L. 91–524, § 402(b)(C), as added by marketing year equal to the number of bushels Pub. L. 93–86, temporarily struck out ‘‘certificates is- obtained by multiplying the number of acres in sued and of’’ before ‘‘payments made’’. See Effective the farm acreage allotment for wheat by the and Termination Dates of 1973 Amendment note below. projected farm yield, and multiplying the result- Subsec. (e). Pub. L. 91–524, § 402(b)(C), as added by ing number of bushels by the national allocation Pub. L. 93–86, temporarily struck out references to the percentage. If a noncommercial wheat-produc- issuance of certificates. See Effective and Termination ing area is established for any marketing year, Dates of 1973 Amendment note below. Subsec. (g). Pub. L. 91–524, § 402(b)(C), as added by farms in such area shall be given wheat market- Pub. L. 93–86, temporarily reenacted subsec. (g) without ing allocations which are determined by the change. See Effective and Termination Dates of 1973 Secretary to be fair and reasonable in relation Amendment note below. to the wheat marketing allocation given produc- Subsec. (i). Pub. L. 91–524, § 402(b)(C), as added by Pub. ers in the commercial wheat-producing area. L. 93–86, temporarily reenacted subsec. (i) without change. See Effective and Termination Dates of 1973 (Feb. 16, 1938, ch. 30, title III, § 379b, as added Amendment note below. Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 1970—Pub. L. 91–524, § 402(a), formerly § 402, tempo- Stat. 626; amended Pub. L. 88–297, title II, rarily substituted provisions covering the issuance of § 202(10), (11), Apr. 11, 1964, 78 Stat. 179, 180; Pub. domestic certificates to producers and a voluntary set- L. 89–321, title V, §§ 502, 503, Nov. 3, 1965, 79 Stat. aside program for wheat for provisions for a wheat mar- 1202; Pub. L. 90–559, § 1(1), Oct. 11, 1968, 82 Stat. keting allocation program for the 1964 to 1970 crops. See Effective and Termination Dates of 1970 Amend- 996; Pub. L. 91–524, title IV, § 402(a), (b)(B), (C), ment note below. Nov. 30, 1970, 84 Stat. 1362, as renumbered and 1968—Pub. L. 90–559 temporarily provided for a one amended Pub. L. 93–86, § 1(9), Aug. 10, 1973, 87 year extension through 1970. Stat. 225.) 1965—Pub. L. 89–321, § 502, temporarily amended section generally and, among other changes, extended the AMENDMENTS wheat marketing allocation program from 1964 and 1965 1973—Subsec. (c)(1). Pub. L. 91–524, § 402(b)(B)(i)–(vi), to 1966 through 1969, put a minimum limitation of five as added by Pub. L. 93–86, temporarily substituted hundred million bushels on the amount of wheat in- Page 659 TITLE 7—AGRICULTURE § 1379c cluded in the marketing allocation for food products to milk during period beginning May 13, 2002, through for consumption in the United States, and required the Dec. 31, 2007, see section 7992(a)(3) of this title. cost of any domestic marketing certificates issued to Section inapplicable to 1996 through 2001 crops of loan producers in excess of the number of certificates ac- commodities, peanuts, and sugar and inapplicable to quired by processors as a result of the application of milk during period beginning Apr. 4, 1996, and ending the five hundred million bushel minimum or an over- Dec. 31, 2002, see section 7301(a)(1)(H) of this title. estimate of the amount of wheat used during such year Section inapplicable to 1991 through 1995 crops of for food products for consumption in the United States wheat, see section 303 of Pub. L. 101–624, set out as a to be borne by the Commodity Credit Corporation. See note under section 1331 of this title. Effective and Termination Dates of 1965 Amendment Section inapplicable to 1986 through 1990 crops of note below. wheat, see section 310(b) of Pub. L. 99–198, set out as a Pub. L. 89–321, § 503, substituted ‘‘projected farm note under section 1331 of this title. yield’’ for ‘‘normal wheat for the farm as projected by Section inapplicable to 1982 through 1985 crops of the Secretary’’. wheat, see section 303 of Pub. L. 97–98, set out as a note 1964—Pub. L. 88–297, § 202(10), temporarily struck out under section 1331 of this title. introductory phrase ‘‘During any marketing year for Section inapplicable to 1978 through 1981 crops of which a marketing quota is in effect for wheat’’, re- wheat, see section 404 of Pub. L. 95–113, set out as a duced the national allocation percentage by the ex- note under section 1331 of this title. pected production on the acreage allotments for farms Pub. L. 91–524, title IV, § 402(b)(A), as added by Pub. L. which will not be in compliance with the requirements 93–86, § 1(9), Aug. 10, 1973, 87 Stat. 226, provided that: of the program, and struck out provisions for wheat ‘‘Section 379b of the Agricultural Adjustment Act of marketing allocations to non-commercial wheat-pro- 1938 [7 U.S.C. 1379b] (which provides for a wheat mar- ducing areas reasonably related to such allocations to keting certificate program) shall not be applicable to producers in commercial wheat-producing areas. See Effective and Termination Dates of 1964 Amendment the 1974 through 1977 crops of wheat, except as provided note below. in paragraphs (B) and (C) of this subsection [amending Pub. L. 88–297, § 202(11), substituted ‘‘food products for this section and enacting provisions set out as notes consumption in the United States’’ for ‘‘human con- under this section].’’ sumption in the United States, as food, food products, and beverages, composed wholly or partly of wheat’’ in § 1379c. Marketing certificates second sentence. (a) Issuance; amount; reduction; sharing among EFFECTIVE AND TERMINATION DATES OF 1973 producers; domestic and export certificates AMENDMENT The Secretary shall provide for the issuance of Pub. L. 91–524, title IV, § 402(b)(B), as added by Pub. L. wheat marketing certificates for each market- 93–86, § 1(9), Aug. 10, 1973, 87 Stat. 226, provided that sub- ing year for which a wheat marketing allocation sec. (c) of this section, as amended by section 402(a), program is in effect for the purpose of enabling (b)(B) of Pub. L. 91–524, is effective with respect to the 1974 through 1977 crops of wheat. producers on any farm with respect to which Pub. L. 91–524, title IV, § 402(b)(C), as added by Pub. L. certificates are issued to receive, in addition to 93–86, § 1(9), Aug. 10, 1973, 87 Stat. 226, provided that sub- the other proceeds from the sale of wheat, an secs. (d), (e), (g), and (i) of this section, as amended by amount equal to the value of such certificates. section 402(a), (b)(C) of Pub. L. 91–524, is effective for The wheat marketing certificates issued with the 1974 through 1977 crops. respect to any farm for any marketing year EFFECTIVE AND TERMINATION DATES OF 1970 shall be in the amount of the farm wheat mar- AMENDMENT keting allocation for such year, but not to ex- Pub. L. 91–524, title IV, § 402(a), formerly § 402, Nov. 30, ceed (i) the actual acreage of wheat planted on 1970, 84 Stat. 1362, as renumbered by Pub. L. 93–86, § 1(9), the farm for harvest in the calendar year in Aug. 10, 1973, 87 Stat. 225, provided that the amendment which the marketing year begins multiplied by made by section 402(a) of Pub. L. 91–524 is effective only the normal yield of wheat for the farm, plus (ii) with respect to the 1971, 1972, and 1973 crops of wheat. the amount of wheat stored under subsection (b) EFFECTIVE AND TERMINATION DATES OF 1965 of this section or to avoid or postpone a market- AMENDMENT ing quota penalty, which is released from stor- Pub. L. 89–321, title V, § 502, Nov. 3, 1965, 79 Stat. 1202, age during the marketing year on account of as amended by Pub. L. 90–559, § 1(1), Oct. 11, 1968, 82 underplanting or underproduction, and if this Stat. 996, provided that the amendment made by sec- limitation operates to reduce the amount of tion 502 of Pub. L. 89–321 is effective only with respect wheat marketing certificates which would to the crops of wheat planted for harvest in calendar otherwise be issued with respect to the farm, years 1966 through 1970, and marketing years for such such reduction shall be made first from the crops. Pub. L. 89–321, title V, § 503, Nov. 3, 1965, 79 Stat. 1202, amount of export certificates which would provided that the amendment made by section 503 of otherwise be issued. The Secretary shall provide Pub. L. 89–321 is effective beginning with the 1970 crop. for the sharing of wheat marketing certificates among producers on the farm on the basis of EFFECTIVE AND TERMINATION DATES OF 1964 AMENDMENT their respective shares in the wheat crop produced on the farm, or the proceeds therefrom; Pub. L. 88–297, title II, § 202(10), Apr. 11, 1964, 78 Stat. except that in any case in which the Secretary 179, provided that the amendment made by section 202(10) of Pub. L. 88–297 is effective only with respect to determines that such basis would not be fair and crops planted for harvest in 1964 and 1965. equitable, the Secretary shall provide for such Pub. L. 88–297, title II, § 202(11), Apr. 11, 1964, 78 Stat. sharing on such other basis as he may determine 180, provided that the amendment made by section to be fair and equitable. The Secretary shall, in 202(11) of Pub. L. 88–297 is effective with respect to the accordance with such regulation as he may pre- crops planted for harvest in calendar year 1966 and any scribe, provide for the issuance of domestic mar- subsequent year. keting certificates for the portion of the wheat INAPPLICABILITY OF SECTION marketing allocation representing wheat used Section inapplicable to 2002 through 2007 crops of cov- for food products for consumption in the United ered commodities, peanuts, and sugar and inapplicable States. The Secretary shall also provide for the § 1379c TITLE 7—AGRICULTURE Page 660 issuance of export marketing certificates to eli- ists and other qualified technicians, to have un- gible producers at the end of the marketing year desirable milling or baking qualities and has on a pro rata basis. For such purposes, the value made public announcement thereof. per bushel of export marketing certificates shall (c) Face value be an average of the total net proceeds from the The Secretary shall determine and proclaim sale of export marketing certificates during the for each marketing year the face value per bush- marketing year after deducting the total el of wheat marketing certificates. The face amount of wheat export subsidies paid to ex- value per bushel of domestic certificates shall be porters. An acreage on the farm which the Sec- the amount by which the level of price support retary finds was not planted to wheat for har- for wheat accompanied by domestic certificates vest in 1965 because of drought, flood, or other exceeds the level of price support for wheat not natural disaster shall be deemed by the Sec- accompanied by certificates (noncertificate retary to be an actual acreage of wheat planted wheat). for harvest for purposes of this subsection, pro- (d) Statement or form of certificates and trans- vided such acreage is not subsequently planted fers to any other price supported crop for 1965. An acreage on the farm not planted to wheat be- Marketing certificates and transfers thereof cause of drought, flood, or other natural disaster shall be represented by such documents, mar- shall be deemed to be an actual acreage of wheat keting cards, records, accounts, certifications, planted for harvest for purposes of this sub- or other statements or forms as the Secretary section provided such acreage is not subse- may prescribe. quently planted to any crop for which there are (e) Failure of producer to comply with programs; marketing quotas or voluntary adjustment pro- issuance of certificates grams in effect. Producers on any farm who In any case in which the failure of a producer have planted not less than 90 per centum of the to comply fully with the term and conditions of acreage of wheat required to be planted in order the programs formulated under this chapter pre- to earn the full amount of marketing certifi- clude the issuance of marketing certificates, the cates for which the farm is eligible shall be Secretary may, nevertheless, issue such certifi- deemed to have planted the entire acreage re- cates in such amounts as he determines to be quired to be planted for that purpose. equitable in relation to the seriousness of the (b) Producers eligible for certificates; storage default. conditions (Feb. 16, 1938, ch. 30, title III, § 379c, as added No producer shall be eligible to receive wheat Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 marketing certificates with respect to any farm Stat. 627; amended Pub. L. 88–297, title II, for any marketing year in which a marketing § 202(12)–(14), Apr. 11, 1964, 78 Stat. 180, 181; Pub. quota penalty is assessed for any commodity on L. 89–112, § 3, Aug. 6, 1965, 79 Stat. 447; Pub. L. such farm or in which the farm has not complied 89–321, title V, §§ 508, 510(a), 513(b), (c), 515, 517, with the land-use requirements of section 1339 of Nov. 3, 1965, 79 Stat. 1204–1206; Pub. L. 89–451, § 3, this title to the extent prescribed by the Sec- June 17, 1966, 80 Stat. 202; Pub. L. 91–524, title IV, retary, or in which, except as the Secretary may § 402(a), (b)(D), Nov. 30, 1970, 84 Stat. 1364, as re- by regulation prescribe, the producer exceeds numbered and amended Pub. L. 93–86, § 1(9), Aug. the farm acreage allotment on any other farm 10, 1973, 87 Stat. 225.) for any commodity in which he has an interest AMENDMENTS as a producer. No producer shall be deemed to 1973—Subsec. (a)(1). Pub. L. 91–524, § 402(b)(D), as have exceeded a farm acreage allotment for added by Pub. L. 93–86, temporarily substituted ref- wheat if the entire amount of the farm market- erences to a farm acreage allotment for references to ing excess is delivered to the Secretary or stored the farm domestic allotment wherever appearing, in accordance with applicable regulations to struck out provisions limiting the impact of the sec- avoid or postpone payment of the penalty. No tion to the 1972 and 1973 crops of wheat, substituted producer shall be deemed to have exceeded the ‘‘estimated national average yield for the crop for farm acreage allotment for wheat on any other which the determination is being made will produce the quantity (less imports) that he estimates will be uti- farm if such farm is exempt from the farm mar- lized domestically and for export during the marketing keting quota for such crop under section 1335 of year for such crop. If the Secretary determines that this title. Any wheat delivered to the Secretary carryover stocks are excessive or an increase in stocks hereunder shall become the property of the is needed to assure a desirable carryover, he may adjust United States and shall be disposed of by the the allotment by the amount he determines will ac- Secretary for relief purposes in the United complish the desired decrease or increase in carryover States or in foreign countries or in such other stocks’’ for ‘‘estimated national yield will result in manner as he shall determine will divert it from marketing certificates being issued to producers participating in the program in an amount equal to the the normal channels of trade and commerce. amount of wheat which he estimates will be used for Notwithstanding any other provision of this food products for consumption in the United States chapter, the Secretary may provide that a pro- during the marketing year for the crop (not less than ducer shall not be eligible to receive marketing 535 million bushels)’’ in the provisions covering the de- certificates, or may adjust the amount of mar- termination of the estimated national yield, and in- keting certificates to be received by the pro- serted ‘‘(1973 national domestic allotment in the case of ducer, with respect to any farm for any year in apportionment of the 1974 national acreage allotment)’’ which a variety of wheat is planted on the farm before ‘‘adjusted to the extent deemed necessary’’. See Effective and Termination Dates of 1973 Amendment which has been determined by the Secretary, note below. after consultation with State Agricultural Subsec. (a)(2). Pub. L. 91–524, § 402(b)(D), as added by Experiment Stations, agronomists, cereal chem- Pub. L. 93–86, temporarily struck out ‘‘domestic’’ be- Page 661 TITLE 7—AGRICULTURE § 1379c fore ‘‘acreage allotment’’ and ‘‘wheat allotment’’. See Subsec. (e). Pub. L. 89–321, § 515, added subsec. (e). Effective and Termination Dates of 1973 Amendment 1964—Subsec. (a). Pub. L. 88–297, § 202(12), inserted note below. ‘‘under subsection (b) of this section or’’ after ‘‘stored’’ Subsec. (a)(3). Pub. L. 91–524, § 402(b)(D), as added by in second sentence, added to such sentence provision Pub. L. 93–86, temporarily struck out ‘‘domestic’’ be- for reduction of wheat marketing certificates from fore ‘‘allotment’’ and ‘‘wheat allotment’’ wherever ap- amount of export certificates, and inserted provision pearing and struck out provisions establishing special for issuance of domestic marketing certificates for requirements to be met in determining the allotment wheat used for domestic consumption and export mar- for the 1971 crop of wheat. See Effective and Termi- keting certificates for wheat used for export. nation Dates of 1973 Amendment note below. Subsec. (b). Pub. L. 88–297, § 202(13), temporarily au- Subsec. (a)(4), (5). Pub. L. 91–524, § 402(b)(D), as added thorized producers who exceeded their wheat allot- by Pub. L. 93–86, temporarily struck out ‘‘domestic’’ be- ments to store their excess wheat in accordance with fore ‘‘allotment’’ wherever appearing. See Effective and regulations issued by the Secretary and be eligible for Termination Dates of 1973 Amendment note below. wheat marketing certificates, prohibited wheat stored Subsec. (a)(6). Pub. L. 91–524, § 402(b)(D), as added by under this provision from being removed from storage Pub. L. 93–86, temporarily reenacted par. (6) without until a subsequent year when acreage allotment was change. See Effective and Termination Dates of 1973 underplanted or the production on the acreage allot- Amendment note below. Subsec. (b)(1). Pub. L. 91–524, § 402(b)(D), as added by ment was less than normal, required the producer (for Pub. L. 93–86, temporarily struck out ‘‘domestic’’ be- removal of the wheat contrary to these conditions) to fore ‘‘allotment’’ wherever appearing and inserted pay an amount one and one-half times the value of the ‘‘, guar, castor beans, cotton, triticale, oats, rye, or wheat marketing certificates issued with respect to the such other crops as the Secretary may deem appro- farm for the year in which the wheat on the acreage in priate’’ after ‘‘feed grains for which there is a set-aside excess of the allotment was produced, and made pro- program in effect’’. See Effective and Termination ducers who exceeded their allotment and stored their Dates of 1973 Amendment note below. excess wheat ineligible for diversion payments. See Ef- Subsec. (b)(2). Pub. L. 91–524, § 402(b)(D), as added by fective and Termination Dates of 1964 Amendment note Pub. L. 93–86, temporarily struck out ‘‘domestic’’ be- below. fore ‘‘allotment’’ wherever appearing and substituted Subsec. (c). Pub. L. 88–297, § 202(14), struck out intro- ‘‘payments’’ for ‘‘certificates’’ and ‘‘section 1445a(c) of ductory phrase ‘‘Whenever a wheat marketing alloca- this title’’ for ‘‘this chapter’’. See Effective and Termi- tion program is in effect for any marketing year’’ from nation Dates of 1973 Amendment note below. first sentence, substituted in such sentence ‘‘each mar- 1970—Pub. L. 91–524, § 402(a), formerly § 402, tempo- keting year’’ for ‘‘such marketing year’’, inserted in rarily substituted provisions for the apportionment of such sentence ‘‘wheat’’ before ‘‘marketing certifi- the farm domestic allotment for each crop of wheat cates’’, substituted in second sentence ‘‘domestic cer- among the States for provisions covering the market- tificates shall be the amount’’ for ‘‘marketing certifi- ing certificates program. See Effective and Termi- cates shall be equal to the amount’’ and ‘‘domestic cer- nation Dates of 1970 Amendment note below. tificates’’ for ‘‘certificates’’ before ‘‘exceeds’’, and in- 1966—Subsec. (a). Pub. L. 89–451 substituted ‘‘any crop serted to such sentence provision for face value per for which there are marketing quotas or voluntary ad- bushel of export certificates. justment programs in effect’’ for ‘‘any other income- producing crops during such year’’ in penultimate sen- EFFECTIVE AND TERMINATION DATES OF 1973 tence. AMENDMENT 1965—Subsec. (a). Pub. L. 89–321, §§ 508, 513(b), author- Pub. L. 91–524, title IV, § 402(b)(D), as added by Pub. L. ized the Secretary to provide for the sharing of wheat 93–86, § 1(9), Aug. 10, 1973, 87 Stat. 227, provided that the marketing certificates among producers on a fair and amendment made by section 402(b)(D) of Pub. L. 91–524 equitable basis even though such basis might be other is effective only with respect to the 1974 through 1977 than the basis of their respective shares in the wheat crops of wheat. crop produced on the farm, provided that acreage not planted to wheat because of drought, flood, or other EFFECTIVE AND TERMINATION DATES OF 1970 natural disaster be deemed, with certain conditions, be AMENDMENT planted for harvest for purposes of this subsection, and Pub. L. 91–524, title IV, § 402(a), formerly § 402, Nov. 30, expanded the reference to the issuance of export mar- 1970, 84 Stat. 1362, as renumbered by Pub. L. 93–86, § 1(9), keting certificates by requiring their issuance on a pro Aug. 10, 1973, 87 Stat. 225, provided that the amendment rata basis and providing for the determination of such made by section 402(a) of Pub. L. 91–524 is effective only certificate’s value per bushel. Pub. L. 89–112 provided that the Secretary shall deem with respect to the 1971, 1972, and 1973 crops of wheat. acreage on the farm which the Secretary finds was not EFFECTIVE DATE OF 1965 AMENDMENT planted to wheat for harvest in 1965 because of drought, flood, or other natural disaster, to be an actual acreage Pub. L. 89–321, title V, § 508, Nov. 3, 1965, 79 Stat. 1204, of wheat planted for harvest when that acreage was not provided that the amendment made by section 508 of subsequently planted to any other price supported crop Pub. L. 89–321 is effective beginning with the crop for 1965. planted for harvest in calendar year 1966. Subsec. (b). Pub. L. 89–321, §§ 510(a), 517 substituted Pub. L. 89–321, title V, § 510(a), Nov. 3, 1965, 79 Stat. ‘‘projected farm yield’’ for ‘‘normal yield of wheat per 1205, provided that the amendment made by section acre established for the farm’’, permitted delivery to 510(a) of Pub. L. 89–321 is effective beginning with the the Secretary of the wheat produced on excess acreage 1966 crop. as an additional means of disposing of excess wheat so Pub. L. 89–321, title V, § 515, Nov. 3, 1965, 79 Stat. 1206, as to allow a producer to be deemed not to have exceed- provided that the amendment made by section 515 of ed the farm acreage allotment for wheat for purposes of Pub. L. 89–321 is effective beginning with the crop this section, and provided for the disposition of wheat planted for harvest in calendar year 1964. delivered to the Secretary and the adjustment of cer- EFFECTIVE AND TERMINATION DATES OF 1964 tificates to a producer who has produced an undesirable AMENDMENT variety of wheat following public announcement by the Secretary of its undesirable characteristics. Pub. L. 88–297, title II, § 202(13), Apr. 11, 1964, 78 Stat. Subsec. (c). Pub. L. 89–321, § 513(c), struck out provi- 180, as amended by Pub. L. 89–321, title V, § 505(2), Nov. sions that the face value per bushel of export certifi- 3, 1965, 79 Stat. 1203; Pub. L. 90–559, § 1(1), Oct. 11, 1968, cates shall be the amount by which the level of price 82 Stat. 996, provided that the amendment made by sec- support for wheat accompanied by export certificates tion 202(13) of Pub. L. 88–297 is effective with respect to exceeds the level of price support for noncertificate crops planted for harvest in calendar years 1965 through wheat. 1970. § 1379d TITLE 7—AGRICULTURE Page 662

INAPPLICABILITY OF SECTION such export, acquire export marketing certifi- Section inapplicable to 2002 through 2007 crops of cov- cates equivalent to the number of bushels so ex- ered commodities, peanuts, and sugar and inapplicable ported. The cost of the export marketing certifi- to milk during period beginning May 13, 2002, through cates per bushel to the exporter shall be that Dec. 31, 2007, see section 7992(a)(3) of this title. amount determined by the Secretary on a daily Section inapplicable to 1996 through 2001 crops of loan basis which would make United States wheat commodities, peanuts, and sugar and inapplicable to milk during period beginning Apr. 4, 1996, and ending and wheat flour generally competitive in the Dec. 31, 2002, see section 7301(a)(1)(H) of this title. world market, avoid disruption of world market Section inapplicable to 1991 through 1995 crops of prices, and fulfill the international obligations wheat, see section 303 of Pub. L. 101–624, set out as a of the United States. The Secretary may exempt note under section 1331 of this title. from the requirements of this subsection wheat Section inapplicable to 1986 through 1990 crops of wheat, see section 310(b) of Pub. L. 99–198, set out as a exported for donation abroad and other non- note under section 1331 of this title. commercial exports of wheat, wheat processed Section inapplicable to 1982 through 1985 crops of for use on the farm where grown, wheat pro- wheat, see section 303 of Pub. L. 97–98, set out as a note duced by a State or agency thereof and proc- under section 1331 of this title. essed for use by the State or agency thereof, Section inapplicable to 1978 through 1981 crops of wheat processed for donation, and wheat proc- wheat, see section 404 of Pub. L. 95–113, set out as a note under section 1331 of this title. essed for uses determined by the Secretary to be noncommercial. Such exemptions may be made REDUCTION OF WHEAT STORED BY PRODUCERS PRIOR TO applicable with respect to any wheat processed 1971 CROP or exported beginning July 1, 1964. There shall Pub. L. 91–524, title IV, § 407, Nov. 30, 1970, 84 Stat. be exempt from the requirements of this sub- 1367, as amended by Pub. L. 93–86, § 1(14), Aug. 10, 1973, section beverage distilled from wheat prior to 87 Stat. 229, provided that: ‘‘The amount of any wheat stored by a producer under section 379c(b) of the Agri- July 1, 1964. A beverage distilled from wheat cultural Adjustment Act of 1938, as amended [7 U.S.C. after July 1, 1964, shall be deemed to be removed 1379c(b)], prior to the 1971 crop of wheat may be reduced for sale or consumption at the time it is placed by the amount by which the actual total production of in barrels for aging except that upon the giving the 1971, 1972, or 1973 crop on the farm is less than the of a bond as prescribed by the Secretary, the number of bushels determined by multiplying three times the domestic allotment for such crop on the farm purchase of and payment for such marketing by the yield established for the farm for the purpose of certificates as may be required may be deferred issuance of domestic marketing certificates. The provi- until such beverage is bottled for sale. Wheat sions of such section shall continue to apply to the shipped to a Canadian port for storage in bond, wheat so stored to the extent not inconsistent there- or storage under a similar arrangement, and with. Notwithstanding the foregoing, the Secretary subsequent exportation, shall be deemed to have may authorize release of wheat stored by a producer been exported for purposes of this subsection under section 379c(b) of the Agricultural Adjustment Act of 1938, as amended, prior to the 1971 crop, when- when it is exported from the Canadian port. ever he determines such release will not significantly Marketing certificates shall be valid to cover affect market prices for wheat. As a condition of re- only sales or removals for sale or consumption lease, the Secretary may require a refund of such por- or exportations made during the marketing year tion of the value of certificates received in the crop with respect to which they are issued, and after year the excess wheat was produced as he deems appro- being once used to cover a sale or removal for priate considering the period of time the excess wheat has been in storage and the need to provide fair and sale or consumption or export of a food product equitable treatment among all wheat program partici- or an export of wheat shall be void and shall be pants.’’ disposed of in accordance with regulations prescribed by the Secretary. Notwithstanding the § 1379d. Marketing restrictions foregoing provisions hereof, the Secretary may (a) Transfers of certificates; purchases by Com- require marketing certificates issued for any modity Credit Corporation marketing year to be acquired to cover sales, re- Marketing certificates shall be transferable movals, or exportations made on or after the only in accordance with regulations prescribed date during the calendar year in which wheat by the Secretary. Any unused certificates le- harvested in such calendar year begins to be gally held by any person shall be purchased by marketed as determined by the Secretary even Commodity Credit Corporation if tendered to though such wheat is marketed prior to the be- the Corporation for purchase in accordance with ginning of the marketing year, and marketing regulations prescribed by the Secretary. certificates for such marketing year shall be (b) Processor and exporter acquisition of domes- valid to cover sales, removals, or exportations tic and export certificates; international made on or after the date so determined by the trade, expansion; refunds or credits for cer- Secretary. Whenever the face value per bushel of tificates; exemptions from requirements domestic marketing certificates for a marketing During any marketing year for which a wheat year is different from the face value of domestic marketing allocation program is in effect, (i) all marketing certificates for the preceding mar- persons engaged in the processing of wheat into keting year, the Secretary may require market- food products shall, prior to marketing any such ing certificates issued for the preceding market- food product or removing such food product for ing year to be acquired to cover all wheat proc- sale or consumption, acquire domestic market- essed into food products during such preceding ing certificates equivalent to the number of marketing year even though the food product bushels of wheat contained in such product and may be marketed or removed for sale or con- (ii) all persons exporting wheat shall, prior to sumption after the end of the marketing year. Page 663 TITLE 7—AGRICULTURE § 1379d

(c) Undertaking to secure marketing of commod- ment, and subsequent exportation, to be deemed as ity without certificate having been exported for purposes of this subsection when it is exported from the Canadian port, and, when- Upon the giving of a bond or other under- ever the face value per bushel of domestic marketing taking satisfactory to the Secretary to secure certificates for a marketing year is different from the the purchase of and payment for such marketing face value of domestic marketing certificates for the certificates as may be required, and subject to preceding marketing year, empowered the Secretary to such regulations as he may prescribe, any per- require marketing certificates issued for the preceding son required to have marketing certificates in marketing year to be acquired to cover all wheat processed into food products during such preceding market- order to market or export a commodity may be ing year even though the food product may be mar- permitted to market any such commodity with- keted or removed for sale or consumption after the end out having first acquired marketing certificates. of the marketing year. (d) ‘‘Food products’’ defined; exemption of flour Subsec. (d). Pub. L. 89–321, § 504(b), excluded four sec- second clears ond clears not used for human consumption from term ‘‘food products’’, authorized the Secretary at his elec- As used in this part, the term ‘‘food products’’ tion to administer the exemption for wheat processed means flour (excluding flour second clears not into flour second clears through refunds either to proc- used for human consumption as determined by essors of such wheat or to the users of such clears, and the Secretary), semolina, farina, bulgur, bev- permitted, for the purpose of such refunds, the wheat erage, and any other product composed wholly equivalent of flour second clears to be determined on or partly of wheat which the Secretary may de- the basis of conversion factors authorized by section 1379f of this title, even though certificates had been termine to be a food product. The Secretary surrendered on the basis of the weight of the wheat. may at his election administer the exemption 1964—Subsec. (a). Pub. L. 88–297, § 202(15), struck out for wheat processed into flour second clears provisions prohibiting persons from acquiring market- through refunds either to processors of such ing certificates from the producer to whom such cer- wheat or to the users of such clears. For the pur- tificates were issued, unless such certificates were ac- pose of such refunds, the wheat equivalent of quired in connection with acquisition from such pro- flour second clears may be determined on the ducer of a number of bushels of wheat equivalent to the marketing certificates and authorizing the CCC to pur- basis of conversion factors authorized by section chase from producers certificates not accompanied by 1379f of this title, even though certificates had wheat in cases where the Secretary determined that it been surrendered on the basis of the weight of would constitute an undue hardship to require the pro- the wheat. ducer to transfer his certificates only in connection with the disposition of wheat and substituted ‘‘by any (Feb. 16, 1938, ch. 30, title III, § 379d, as added person’’ for ‘‘by persons other than the producer to Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 whom such certificates are issued’’. Stat. 628; amended Pub. L. 88–297, title II, Subsec. (b). Pub. L. 88–297, § 202(16), in cl. (i) sub- § 202(15)–(17), Apr. 11, 1964, 78 Stat. 181, 182; Pub. stituted ‘‘marketing any such food product or removing L. 89–321, title V, §§ 504(a)–(c), 513(a), Nov. 3, 1965, such food product for sale or consumption’’ for ‘‘mar- 79 Stat. 1202, 1203, 1205; Pub. L. 91–524, title IV, keting any such product for human food in the United § 403(a)(1), (2), formerly § 403(1), (2), Nov. 30, 1970, States’’ and inserted ‘‘domestic’’ before ‘‘marketing certificates’’; in cl. (ii) struck out ‘‘or food products’’ 84 Stat. 1366, as renumbered Pub. L. 93–86, § 1(10), after ‘‘wheat’’ and inserted ‘‘export’’ before ‘‘marketing Aug. 10, 1973, 87 Stat. 228.) certificates’’; inserted references to removals for sale REFERENCES IN TEXT or consumption in two other places and to removals in two places to make it clear that certificates were re- This part, referred to in subsec. (d), commences with quired on all wheat processed into food products wheth- section 1379a of this title. er sold, removed for sale, or removed for consumption; AMENDMENTS required the CCC to refund to the exporter such part of the cost of the certificate as the Secretary determined 1970—Subsec. (b). Pub. L. 91–524, temporarily struck would make United States wheat and wheat flour gen- out provision limiting the section to only those mar- erally competitive in the world market, avoid disrup- keting years for which a wheat marketing allocation tion of world market prices, and fulfill the inter- program is in effect and inserted provisions authorizing national obligations of the United States; and author- the Secretary to temporarily suspend the requirement ized the Secretary to exempt from the requirement to for export marketing certificates for the period begin- have marketing certificates, wheat which was donated ning July 1, 1971, and ending June 30, 1974. See Effective abroad and wheat processed for use on the farm where and Termination Dates of 1970 Amendment note below. grown. 1965—Subsec. (b). Pub. L. 89–321, §§ 504(a), (c), 513(a), Subsec. (d). Pub. L. 88–297, § 202(17), redefined ‘‘food among other changes, amended second sentence, and products’’ to mean flour, semolina, farina, bulgur, bev- also authorized the Secretary to exempt from the re- erage, and any other product composed wholly or part- quirements of this subsection wheat produced by a ly of wheat which the Secretary may determine to be State or agency thereof and processed for use by the a food product instead of any product composed wholly State or agency thereof, wheat processed for donations, or partly of wheat to be used for human consumption, and wheat processed for uses determined by the Sec- including beverage. retary to be noncommercial, permitted exemptions to be made applicable with respect to any wheat processed EFFECTIVE AND TERMINATION DATES OF 1970 or exported beginning July 1, 1964, exempted from re- AMENDMENT quirements of this subsection beverage distilled from Pub. L. 91–524, title IV, § 403(a), formerly § 403, Nov. 30, wheat prior to July 1, 1964, required beverage distilled 1970, 84 Stat. 1366, as renumbered by Pub. L. 93–86, from wheat after July 1, 1964, to be deemed as being re- § 1(10), Aug. 10, 1973, 87 Stat. 228, provided that the moved for sale or consumption at the time it is placed amendment made by Pub. L. 91–524 is effective only in barrels for aging, permitted upon the giving of a with respect to the marketing years beginning July 1, bond as prescribed by the Secretary, the purchase of 1971, July 1, 1972, and July 1, 1973. and payment for such marketing certificates as may be required to be deferred until such beverage is bottled EFFECTIVE DATE OF 1965 AMENDMENT for sale, required wheat shipped to a Canadian port for Pub. L. 89–321, title V, § 504(a), Nov. 3, 1965, 79 Stat. storage in bond, or storage under a similar arrange- 1202, provided that the amendment made by section § 1379e TITLE 7—AGRICULTURE Page 664

504(a) of Pub. L. 89–321 is effective upon the enactment curred on funds of the Corporation invested in of Pub. L. 89–321 (Nov. 3, 1965). certificates purchased by it. Pub. L. 89–321, title V, § 504(b), Nov. 3, 1965, 79 Stat. 1202, provided in part that: ‘‘This subsection [amending (Feb. 16, 1938, ch. 30, title III, § 379e, as added this section] shall be effective as to products sold, or Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 removed for sale or consumption on or after sixty days Stat. 628; amended Pub. L. 89–321, title V, § 516, following enactment of this Act [Nov. 3, 1965], unless Nov. 3, 1965, 79 Stat. 1206; Pub. L. 90–559, § 1(6), the Secretary shall by regulation designate an earlier Oct. 11, 1968, 82 Stat. 996; Pub. L. 91–524, title IV, effective date within such sixty-day period.’’ § 403(a)(3), Nov. 30, 1970, 84 Stat. 1366.) INAPPLICABILITY OF SECTION CODIFICATION Section inapplicable to 2002 through 2007 crops of covered commodities, peanuts, and sugar and inapplicable The sentence added by Pub. L. 89–321, as amended by to milk during period beginning May 13, 2002, through Pub. L. 90–559, which directed the Commodity Credit Dec. 31, 2007, see section 7992(a)(3) of this title. Corporation to sell marketing certificates for the mar- Section inapplicable to 1996 through 2001 crops of loan keting years for the 1966 through 1970 wheat crops to commodities, peanuts, and sugar and inapplicable to persons processing food products at the face value milk during period beginning Apr. 4, 1996, and ending thereof less any amount by which price support for Dec. 31, 2002, see section 7301(a)(1)(H) of this title. wheat accompanied by domestic certificates exceeded Pub. L. 101–624, title III, § 302, Nov. 28, 1990, 104 Stat. $2 per bushel, was omitted as executed. 3400, provided that: ‘‘Sections 379d through 379j of the AMENDMENTS Agricultural Adjustment Act of 1938 (7 U.S.C. 1379d–1379j) (relating to marketing certificate require- 1970—Pub. L. 91–524, temporarily directed the Com- ments for processors and exporters) shall not be appli- modity Credit Corporation to sell marketing certifi- cable to wheat processors or exporters during the pe- cates for the marketing years for the 1971, 1972, and 1973 riod June 1, 1991, through May 31, 1996.’’ crops of wheat to persons engaged in the processing of Pub. L. 99–198, title III, § 309, Dec. 23, 1985, 99 Stat. food products but directed that, in determining the 1394, provided that: ‘‘Sections 379d, 379e, 379f, 379g, 379h, cost to processors of food products, the face value be 75 379i, and 379j of the Agricultural Adjustment Act of 1938 cents per bushel. See Effective and Termination Dates (7 U.S.C. 1379d–1379j) (relating to marketing certificate of 1970 Amendment note below. requirements for processors and exporters) shall not be 1968—Pub. L. 90–559 provided for a one year extension applicable to wheat processors or exporters during the of period for sale of marketing certificates, substitut- period June 1, 1986, through May 31, 1991.’’ ing ‘‘1966 through the 1970’’ for ‘‘1966 through the 1969’’ Pub. L. 97–98, title III, § 302, Dec. 22, 1981, 95 Stat. 1227, wheat crops. provided that: ‘‘Sections 379d, 379e, 379f, 379g, 379h, 379i, 1965—Pub. L. 89–321 required the Commodity Credit and 379j of the Agricultural Adjustment Act of 1938 Corporation to sell marketing certificates for the mar- [sections 1379d, 1379e, 1379f, 1379g, 1379h, 1379i, and 1379j keting years for the 1966 through the 1969 wheat crops of this title] (which deal with marketing certificate re- to persons engaged in the processing of food products at quirements for processors and exporters) shall not be the face value thereof less any amount by which price applicable to wheat processors or exporters during the support for wheat accompanied by domestic certifi- period June 1, 1982, through May 31, 1986.’’ cates exceeds $2 per bushel. Pub. L. 95–113, title IV, § 403, Sept. 29, 1977, 91 Stat. 926, provided that: ‘‘Sections 379d, 379e, 379f, 379g, 379h, EFFECTIVE AND TERMINATION DATES OF 1970 379i, and 379j of the Agricultural Adjustment Act of 1938 AMENDMENT [sections 1379d, 1379e, 1379f, 1379g, 1379h, 1379i, and 1379j Section 403(a) of Pub. L. 91–524 provided that the of this title] (which deal with marketing certificate re- amendment made by that section is effective only with quirements for processors and exporters) shall not be respect to marketing years beginning July 1, 1971, July applicable to wheat processors or exporters during the 1, 1972, and July 1, 1973. period July 1, 1973, through May 31, 1982.’’ Pub. L. 91–524, title IV, § 403(b), as added by Pub. L. INAPPLICABILITY OF SECTION 93–86, § 1(10), Aug. 10, 1973, 87 Stat. 228, provided in part Section inapplicable to 2002 through 2007 crops of cov- that: ‘‘Sections 379d, 379e, 379f, 379g, 379h, 379i, and 379j ered commodities, peanuts, and sugar and inapplicable of the Agricultural Adjustment Act of 1938 [sections to milk during period beginning May 13, 2002, through 1379d, 1379e, 1379f, 1379g, 1379h, 1379i and 1379j of this Dec. 31, 2007, see section 7992(a)(3) of this title. title] (which deal with marketing certificate require- Section inapplicable to 1996 through 2001 crops of loan ments for processors and exporters) shall not be appli- commodities, peanuts, and sugar and inapplicable to cable to wheat processed or exported during the period milk during period beginning Apr. 4, 1996, and ending July 1, 1973 through June 30, 1978’’. Dec. 31, 2002, see section 7301(a)(1)(H) of this title. § 1379e. Assistance in purchase and sale of mar- Section inapplicable to wheat processors or exporters keting certificates; regulations; administra- during period June 1, 1991, through May 31, 1996, see section 302 of Pub. L. 101–624, set out as a note under tive expenses; interest section 1379d of this title. For the purpose of facilitating the purchase Section inapplicable to wheat processors or exporters and sale of marketing certificates, the Commod- during period June 1, 1986, through May 31, 1991, see ity Credit Corporation is authorized to issue, section 309 of Pub. L. 99–198, set out as a note under section 1379d of this title. buy, and sell marketing certificates in accord- Section inapplicable to wheat processors or exporters ance with regulations prescribed by the Sec- during period June 1, 1982, through May 31, 1986, see retary. Such regulations may authorize the Cor- section 302 of Pub. L. 97–98, set out as a note under sec- poration to issue and sell certificates in excess tion 1379d of this title. of the quantity of certificates which it pur- Section inapplicable to wheat processors or exporters chases. Such regulations may authorize the Cor- during period July 1, 1973, through May 31, 1982, see sec- poration in the sale of marketing certificates to tion 403 of Pub. L. 95–113, set out as a note under sec- charge, in addition to the face value thereof, an tion 1379d of this title. Section inapplicable to wheat processed or exported amount determined by the Secretary to be ap- during period July 1, 1973, through June 30, 1978, see propriate to cover estimated administrative section 403(b) of Pub. L. 91–524, as added by section 1(10) costs in connection with the purchase and sale of Pub. L. 93–86, set out as a note under section 1379d of the certificates and estimated interest in- of this title. Page 665 TITLE 7—AGRICULTURE § 1379g

§ 1379f. Conversion factors under such terms and conditions as the Sec- retary may by regulation provide. Any such cer- The Secretary shall establish conversion fac- tificate shall be issued by Commodity Credit tors which shall be used to determine the Corporation. amount of wheat contained in any food product. (c) The Secretary is authorized to take such The conversion factor for any such food product action as he determines to be necessary to fa- shall be determined upon the basis of the weight cilitate the transition from the certificate proof wheat used in the manufacture of such prod- gram provided for under section 1379d of this uct. title to a program under which no certificates (Feb. 16, 1938, ch. 30, title III, § 379f, as added are required. Notwithstanding any other provi- Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 sion of law, such authority shall include, but Stat. 629.) shall not be limited to the authority to exempt INAPPLICABILITY OF SECTION all or a portion of wheat or food products made therefrom in the channels of trade on July 1, Section inapplicable to 2002 through 2007 crops of cov- 1973, from the marketing restrictions in sub- ered commodities, peanuts, and sugar and inapplicable to milk during period beginning May 13, 2002, through section (b) of section 1379d of this title, or to sell Dec. 31, 2007, see section 7992(a)(3) of this title. certificates to persons owning such wheat or Section inapplicable to 1996 through 2001 crops of loan food products made therefrom at such price and commodities, peanuts, and sugar and inapplicable to under such terms and conditions as the Sec- milk during period beginning Apr. 4, 1996, and ending retary may determine. Any such certificate Dec. 31, 2002, see section 7301(a)(1)(H) of this title. shall be issued by the Commodity Credit Cor- Section inapplicable to wheat processors or exporters poration. Nothing herein shall authorize the during period June 1, 1991, through May 31, 1996, see Secretary to require certificates on wheat proc- section 302 of Pub. L. 101–624, set out as a note under section 1379d of this title. essed after June 30, 1973. Section inapplicable to wheat processors or exporters (Feb. 16, 1938, ch. 30, title III, § 379g, as added during period June 1, 1986, through May 31, 1991, see Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 section 309 of Pub. L. 99–198, set out as a note under section 1379d of this title. Stat. 629; amended Pub. L. 89–321, title V, Section inapplicable to wheat processors or exporters § 504(d), Nov. 3, 1965, 79 Stat. 1203; Pub. L. 91–524, during period June 1, 1982, through May 31, 1986, see title IV, § 403(b), Nov. 30, 1970, as added Pub. L. section 302 of Pub. L. 97–98, set out as a note under sec- 93–86, § 1(10), Aug. 10, 1973, 87 Stat. 228.) tion 1379d of this title. Section inapplicable to wheat processors or exporters during period July 1, 1973, through May 31, 1982, see sec- REFERENCES IN TEXT tion 403 of Pub. L. 95–113, set out as a note under sec- This part, referred to in subsecs. (a) and (b), com- tion 1379d of this title. mences with section 1379a of this title. Section inapplicable to wheat processed or exported during period July 1, 1973, through June 30, 1978, see section 403(b) of Pub. L. 91–524, as added by section 1(10) AMENDMENTS of Pub. L. 93–86, set out as a note under section 1379d 1973—Subsec. (c). Pub. L. 91–524, § 403(b), as added by of this title. Pub. L. 93–86, added subsec. (c). § 1379g. Authority to facilitate transition 1965—Pub. L. 89–321 designated existing provisions as subsec. (a) and added subsec. (b). (a) The Secretary is authorized to take such action as he determines to be necessary to fa- INAPPLICABILITY OF SECTION cilitate the transition from the program currently in effect to the program provided for in Section inapplicable to 2002 through 2007 crops of cov- this part. Notwithstanding any other provision ered commodities, peanuts, and sugar and inapplicable to milk during period beginning May 13, 2002, through of this part, such authority shall include, but Dec. 31, 2007, see section 7992(a)(3) of this title. shall not be limited to, the authority to exempt Section inapplicable to 1996 through 2001 crops of loan all or a portion of the wheat or food products commodities, peanuts, and sugar and inapplicable to made therefrom in the channels of trade on the milk during period beginning Apr. 4, 1996, and ending effective date of the program under this part Dec. 31, 2002, see section 7301(a)(1)(H) of this title. from the marketing restrictions in subsection Section inapplicable to wheat processors or exporters (b) of section 1379d of this title, or to sell certifi- during period June 1, 1991, through May 31, 1996, see cates to persons owning such wheat or food section 302 of Pub. L. 101–624, set out as a note under products at such prices as the Secretary may de- section 1379d of this title. termine. Any such certificate shall be issued by Section inapplicable to wheat processors or exporters during period June 1, 1986, through May 31, 1991, see Commodity Credit Corporation. section 309 of Pub. L. 99–198, set out as a note under sec- (b) Whenever the face value per bushel of do- tion 1379d of this title. mestic marketing certificates for a marketing Section inapplicable to wheat processors or exporters year is substantially different from the face during period June 1, 1982, through May 31, 1986, see value of domestic marketing certificates for the section 302 of Pub. L. 97–98, set out as a note under sec- preceding marketing year, the Secretary is au- tion 1379d of this title. thorized to take such action as he determines Section inapplicable to wheat processors or exporters necessary to facilitate the transition between during period July 1, 1973, through May 31, 1982, see sec- marketing years. Notwithstanding any other tion 403 of Pub. L. 95–113, set out as a note under section 1379d of this title. provision of this part, such authority shall in- Section inapplicable to wheat processed or exported clude, but shall not be limited to, the authority during period July 1, 1973, through June 30, 1978, see to sell certificates to persons engaged in the section 403(b) of Pub. L. 91–524, as added by section 1(10) processing of wheat into food products covering of Pub. L. 93–86, set out as a note under section 1379d such quantities of wheat, at such prices, and of this title. § 1379h TITLE 7—AGRICULTURE Page 666

§ 1379h. Applicability of provisions to designated (b) Misdemeanors; punishment persons; reports and records; examinations Any person, except a producer in his capacity by the Secretary as a producer, who knowingly violates or at- This section shall apply to processors of tempts to violate or who knowingly participates wheat, warehousemen and exporters of wheat or aids in the violation of any provision of this and food products, and all persons purchasing, part, or of any regulation, governing the acqui- selling, or otherwise dealing in wheat marketing sition, disposition, or handling of marketing certificates. Any such person shall, from time to certificates or who knowingly fails to make any time on request of the Secretary, report to the report or keep any record as required by section Secretary such information and keep such 1379h of this title shall be deemed guilty of a records as the Secretary finds to be necessary to misdemeanor and upon conviction thereof shall enable him to carry out the provisions of this be subject to a fine of not more than $5,000 for part. Such information shall be reported and each violation. such records shall be kept in such manner as the (c) Forfeiture of right to receive certificates; pay- Secretary shall prescribe. For the purpose of as- ment of face value certaining the correctness of any report made or Any person who, in his capacity as a producer, record kept, or of obtaining information re- knowingly violates or attempts to violate or quired to be furnished in any report, but not so participates or aids in the violation of any pro- furnished, the Secretary is authorized to exam- vision of this part, or of any regulation, govern- ine such books, papers, records, accounts, cor- ing the acquisition, disposition, or handling of respondence, contracts, documents, and memo- marketing certificates or fails to make any re- randums as he has reason to believe are relevant port or keep any record as required by section and are within the control of such person. 1379h of this title shall, (i) forfeit any right to (Feb. 16, 1938, ch. 30, title III, § 379h, as added receive marketing certificates, in whole or in Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 part as the Secretary may determine, with re- Stat. 629.) spect to the farm or farms and for the marketing year with respect to which any such act or REFERENCES IN TEXT default is committed, or (ii), if such marketing This part, referred to in text, commences with sec- certificates have already been issued, pay to the tion 1379a of this title. Secretary, upon demand, the amount of the face INAPPLICABILITY OF SECTION value of such certificates, or such part thereof as the Secretary may determine. Such deter- Section inapplicable to 2002 through 2007 crops of covered commodities, peanuts, and sugar and inapplicable mination by the Secretary with respect to the to milk during period beginning May 13, 2002, through amount of such marketing certificates to be for- Dec. 31, 2007, see section 7992(a)(3) of this title. feited or the amount to be paid by such producer Section inapplicable to 1996 through 2001 crops of loan shall take into consideration the circumstances commodities, peanuts, and sugar and inapplicable to relating to the act or default committed and the milk during period beginning Apr. 4, 1996, and ending seriousness of such act or default. Dec. 31, 2002, see section 7301(a)(1)(H) of this title. Section inapplicable to wheat processors or exporters (d) Felonies; punishment during period June 1, 1991, through May 31, 1996, see Any person who falsely makes, issues, alters, section 302 of Pub. L. 101–624, set out as a note under forges, or counterfeits any marketing certifi- section 1379d of this title. cate, or with fraudulent intent possesses, trans- Section inapplicable to wheat processors or exporters during period June 1, 1986, through May 31, 1991, see fers, or uses any such falsely made, issued, al- section 309 of Pub. L. 99–198, set out as a note under sec- tered, forged, or counterfeited marketing cer- tion 1379d of this title. tificate, shall be deemed guilty of a felony and Section inapplicable to wheat processors or exporters upon conviction thereof shall be subject to a during period June 1, 1982, through May 31, 1986, see fine of not more than $10,000 or imprisonment of section 302 of Pub. L. 97–98, set out as a note under sec- not more than ten years, or both. tion 1379d of this title. Section inapplicable to wheat processors or exporters (Feb. 16, 1938, ch. 30, title III, § 379i, as added during period July 1, 1973, through May 31, 1982, see sec- Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 tion 403 of Pub. L. 95–113, set out as a note under sec- Stat. 629; amended Pub. L. 89–321, title V, tion 1379d of this title. § 510(b), Nov. 3, 1965, 79 Stat. 1205.) Section inapplicable to wheat processed or exported during period July 1, 1973, through June 30, 1978, see REFERENCES IN TEXT section 403(b) of Pub. L. 91–524, as added by section 1(10) This part, referred to in subsecs. (b) and (c), com- of Pub. L. 93–86, set out as a note under section 1379d mences with section 1379a of this title. of this title. AMENDMENTS § 1379i. Penalties 1965—Subsecs. (a), (b). Pub. L. 89–321 inserted ‘‘know- (a) Forfeitures; amount; civil action ingly’’ after ‘‘who’’ wherever appearing.

Any person who knowingly violates or at- EFFECTIVE DATE OF 1965 AMENDMENT tempts to violate or who knowingly participates or aids in the violation of any of the provisions Pub. L. 89–321, title V, § 510(b), Nov. 3, 1965, 79 Stat. 1205, provided that the amendment made by Pub. L. of subsection (b) of section 1379d of this title 89–321 is effective as of the effective date of the original shall forfeit to the United States a sum equal to enactment of this section. two times the face value of the marketing certificates involved in such violation. Such for- INAPPLICABILITY OF SECTION feiture shall be recoverable in a civil action Section inapplicable to 2002 through 2007 crops of cov- brought in the name of the United States. ered commodities, peanuts, and sugar and inapplicable Page 667 TITLE 7—AGRICULTURE §§ 1380a to 1380p to milk during period beginning May 13, 2002, through §§ 1380a to 1380p. Omitted Dec. 31, 2007, see section 7992(a)(3) of this title. Section inapplicable to 1996 through 2001 crops of loan CODIFICATION commodities, peanuts, and sugar and inapplicable to Sections 1380a to 1380p of this title were effective milk during period beginning Apr. 4, 1996, and ending only with respect to 1957 and 1958 rice crops. Dec. 31, 2002, see section 7301(a)(1)(H) of this title. Section 1380a, act Feb. 16, 1938, ch. 30, title III, § 380a, Section inapplicable to wheat processors or exporters as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. during period June 1, 1991, through May 31, 1996, see 208, provided legislative findings for this part. section 302 of Pub. L. 101–624, set out as a note under Section 1380b, act Feb. 16, 1938, ch. 30, title III, § 380b, section 1379d of this title. as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. Section inapplicable to wheat processors or exporters 208, related to effective date and termination of pro- during period June 1, 1986, through May 31, 1991, see gram. section 309 of Pub. L. 99–198, set out as a note under sec- Section 1380c, act Feb. 16, 1938, ch. 30, title III, § 380c, tion 1379d of this title. as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. Section inapplicable to wheat processors or exporters 208, related to determination of primary market quota during period June 1, 1982, through May 31, 1986, see for rice. section 302 of Pub. L. 97–98, set out as a note under sec- Section 1380d, act Feb. 16, 1938, ch. 30, title III, § 380d, tion 1379d of this title. as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. Section inapplicable to wheat processors or exporters 209, related to apportionment of the primary market during period July 1, 1973, through May 31, 1982, see sec- quota by the Secretary among the States and among tion 403 of Pub. L. 95–113, set out as a note under sec- farms. tion 1379d of this title. Section 1380e, act Feb. 16, 1938, ch. 30, title III, § 380e, Section inapplicable to wheat processed or exported as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. during period July 1, 1973, through June 30, 1978, see 209, provided that a farm operator to which a primary section 403(b) of Pub. L. 91–524, as added by section 1(10) market quota applied could have such quota reviewed. of Pub. L. 93–86, set out as a note under section 1379d Section 1380f, act Feb. 16, 1938, ch. 30, title III, § 380f, of this title. as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. § 1379j. Regulations 209, related to price supports made available to cooperators on crops of rice. The Secretary shall prescribe such regulations Section 1380g, act Feb. 16, 1938, ch. 30, title III, § 380g, as may be necessary to carry out the provisions as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. of this part including but not limited to regula- 209, related to certificates issued to cooperators. tions governing the acquisition, disposition, or Section 1380h, act Feb. 16, 1938, ch. 30, title III, § 380h, as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. handling of marketing certificates. 210, related to inventory adjustment payments to per- (Feb. 16, 1938, ch. 30, title III, § 379j, as added sons owning rough rice located in continental United Pub. L. 87–703, title III, § 324(2), Sept. 27, 1962, 76 States, for purpose of facilitating transition from price Stat. 630.) support program formerly in effect. Section 1380i, act Feb. 16, 1938, ch. 30, title III, § 380i, REFERENCES IN TEXT as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. This part, referred to in text, commences with sec- 210, related to set-aside of certain rough and processed tion 1379a of this title. rice. Section 1380j, act Feb. 16, 1938, ch. 30, title III, § 380j, INAPPLICABILITY OF SECTION as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. 210, related to exemptions from provisions of this part. Section inapplicable to 2002 through 2007 crops of cov- Section 1380k, act Feb. 16, 1938, ch. 30, title III, § 380k, ered commodities, peanuts, and sugar and inapplicable as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. to milk during period beginning May 13, 2002, through 210, related to rice processing restrictions. Dec. 31, 2007, see section 7992(a)(3) of this title. Section inapplicable to 1996 through 2001 crops of loan Section 1380l, act Feb. 16, 1938, ch. 30, title III, § 380l, commodities, peanuts, and sugar and inapplicable to as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. milk during period beginning Apr. 4, 1996, and ending 211, related to rice import restrictions. Dec. 31, 2002, see section 7301(a)(1)(H) of this title. Section 1380m, act Feb. 16, 1938, ch. 30, title III, Section inapplicable to wheat processors or exporters § 380m, as added May 28, 1956, ch. 327, title V, § 501(3), 70 during period June 1, 1991, through May 31, 1996, see Stat. 211, directed the Secretary to prescribe regula- section 302 of Pub. L. 101–624, set out as a note under tions governing the issuance, redemption, acquisition, section 1379d of this title. use, transfer, and disposition of certificates. Section inapplicable to wheat processors or exporters Section 1380n, act Feb. 16, 1938, ch. 30, title III, § 380n, during period June 1, 1986, through May 31, 1991, see as added May 28, 1956, ch 327, title V, § 501(3), 70 Stat. section 309 of Pub. L. 99–198, set out as a note under sec- 211, related to penalties for violations of import and tion 1379d of this title. processing restrictions of this part or regulations pre- Section inapplicable to wheat processors or exporters scribed by the Secretary for enforcing such provisions. during period June 1, 1982, through May 31, 1986, see Section 1380o, act Feb. 16, 1938, ch. 30, title III, § 380o, section 302 of Pub. L. 97–98, set out as a note under sec- as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. tion 1379d of this title. 211, related to reports and records. Section inapplicable to wheat processors or exporters Section 1380p, act Feb. 16, 1938, ch. 30, title III, § 380p, during period July 1, 1973, through May 31, 1982, see sec- as added May 28, 1956, ch. 327, title V, § 501(3), 70 Stat. tion 403 of Pub. L. 95–113, set out as a note under sec- 211, defined ‘‘cooperator’’, ‘‘processing of rough rice’’, tion 1379d of this title. ‘‘processed rice’’, ‘‘United States’’, ‘‘exporter’’, ‘‘rough Section inapplicable to wheat processed or exported rice equivalent’’, and ‘‘import’’, for purposes of this during period July 1, 1973, through June 30, 1978, see part. section 403(b) of Pub. L. 91–524, as added by section 1(10) of Pub. L. 93–86, set out as a note under section 1379d PART F—MISCELLANEOUS PROVISIONS AND of this title. APPROPRIATIONS AMENDMENTS PART E—RICE CERTIFICATES 1962—Pub. L. 87–703, title III, § 324(1), Sept. 27, 1962, 76 AMENDMENTS Stat. 626, redesignated part E as F. 1962—Pub. L. 87–703, title III, § 324(1), Sept. 27, 1962, 76 1956—Act May 28, 1956, ch. 327, title V, § 501(2), 70 Stat. Stat. 626, redesignated D as E. 208, redesignated as part E. §§ 1381 to 1382 TITLE 7—AGRICULTURE Page 668

SUBPART I—MISCELLANEOUS separate instrument given solely for that purpose, as required by this section. The giving of §§ 1381 to 1382. Omitted written consent for the reconcentration of cot- CODIFICATION ton shall not be made a condition upon the mak- Section 1381, acts Feb. 16, 1938, ch. 30, title III, § 381, ing of any loan hereafter made or arranged for 52 Stat. 66; Apr. 7, 1938, ch. 107, § 12, 52 Stat. 204, related by the Commodity Credit Corporation: Provided, to cotton price adjustment payments with respect to however, That in cases where there is congestion 1937 cotton crop, and to transfer of pledged cotton of and lack of storage facilities, and the local 1937 crop to Commodity Credit Corporation. Subsec. (c) warehouse certifies such fact and requests the of section 1381, which authorized sale of pledged cotton Commodity Credit Corporation to move the cot- by Commodity Credit Corporation, was repealed by act ton for reconcentration to some other point, or July 3, 1948, ch. 827, title II, § 202(b), 62 Stat. 1255. when the Commodity Credit Corporation deter- Section 1381a, act June 16, 1938, ch. 464, title I, 52 Stat. 745, which was not a part of the Agricultural Ad- mines such loan cotton is improperly ware- justment Act of 1938, related only to payments for 1937 housed and subject to damage, or if uninsured, crops. or if any of the terms of the loan agreement are Section 1382, act Feb. 16, 1938, ch. 30, title III, § 382, 52 violated, or if carrying charges are substantially Stat. 67, required the Commodity Credit Corporation to in excess of the average of carrying charges provide for the extension, from July 31, 1938, to July 31, available elsewhere, and the local warehouse, 1939, of 1937 cotton loan. after notice, declines to reduce such charges, § 1383. Insurance of cotton; reconcentration such written consent as provided in this section need not be obtained; and consent to movement (a) The Commodity Credit Corporation shall under any of the conditions of this proviso may place all insurance of every nature taken out by be required in future loan agreements. it on cotton, and all renewals, extensions, or continuations of existing insurance, with insur- (June 16, 1938, ch. 480, 52 Stat. 762.) ance agents who are bonafide residents of and CODIFICATION doing business in the State where the cotton is Section was not enacted as part of the Agricultural warehoused: Provided, That such insurance may Adjustment Act of 1938 which comprises this chapter. be secured at a cost not greater than similar insurance offered on said cotton elsewhere. TRANSFER OF FUNCTIONS (b) Cotton held as security for any loan here- Administration of program of Commodity Credit Cor- tofore or hereafter made or arranged for by the poration transferred to Secretary of Agriculture by 1946 Commodity Credit Corporation shall not here- Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, after be reconcentrated without the written con- 60 Stat. 1100, set out in the Appendix to Title 5, Govern- sent of the producer or borrower. ment Organization and Employees. (Feb. 16, 1938, ch. 30, title III, § 383, 52 Stat. 67.) EXCEPTIONS FROM TRANSFER OF FUNCTIONS Functions of Corporations of Department of Agri- TRANSFER OF FUNCTIONS culture, boards of directors and officers of such cor- Administration of program of Commodity Credit Cor- porations; Advisory Board of Commodity Credit Cor- poration transferred to Secretary of Agriculture by 1946 poration; and Farm Credit Administration or any agen- Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, cy, officer, or entity of, under, or subject to supervision 60 Stat. 1100, set out in the Appendix to Title 5, Govern- of said Administration excepted from functions of offi- ment Organization and Employees. cers, agencies, and employees transferred to Secretary of Agriculture by 1953 Reorg. Plan No. 2, § 1, effective EXCEPTIONS FROM TRANSFER OF FUNCTIONS June 4, 1953, 18 F.R. 3219, 67 Stat. 633, set out as a note Functions of Corporations of Department of Agri- under section 2201 of this title. culture, boards of directors and officers of such corporations; Advisory Board of Commodity Credit Cor- § 1384. Repealed. Aug. 7, 1946, ch. 770, § 1(3), 60 poration; and Farm Credit Administration or any agen- Stat. 866 cy, officer, or entity of, under, or subject to supervision of said Administration excepted from functions of offi- Section, act Feb. 16, 1938, ch. 30, title III, § 384, 52 cers, agencies, and employees transferred to Secretary Stat. 68, related to reports to Congress by the Sec- of Agriculture by 1953 Reorg. Plan No. 2, § 1, effective retary of Agriculture. June 4, 1953, 18 F.R. 3219, 67 Stat. 633, set out as a note under section 2201 of this title. § 1385. Finality of payments and loans; substitution of beneficiaries § 1383a. Written consent for reconcentration of The facts constituting the basis for any chap- cotton ter 3B of title 16 payment, any payment under In the administration of section 1383(b) of this the wheat, feed grain, upland cotton, extra long title the written consent of the producer or bor- staple cotton, and rice programs authorized by rower to the reconcentration of any cotton held chapter 35A of this title and this chapter, any as security for any loan heretofore or hereafter loan, or price support operation, or the amount made or arranged for by the Commodity Credit thereof, when officially determined in conform- Corporation shall not be deemed to have been ity with the applicable regulations prescribed by given unless such consent shall have been given the Secretary or by the Commodity Credit Cor- in an instrument made solely for that purpose. poration, shall be final and conclusive and shall Notwithstanding any provision of any loan not be reviewable by any other officer or agency agreement heretofore made, no cotton held of the Government. In case any person who is under any such agreement as security for any entitled to any such payment dies, becomes in- such loan shall be moved from one warehouse to competent, or disappears before receiving such another unless the written consent of the pro- payment, or is succeeded by another who ren- ducer or borrower shall have been obtained in a ders or completes the required performance, the Page 669 TITLE 7—AGRICULTURE § 1386 payment shall, without regard to any other pro- § 1(11), (22), Aug. 10, 1973, 87 Stat. 229, 235, provided that visions of law, be made as the Secretary of Agri- the amendments made by sections 404 and 605 are effec- culture may determine to be fair and reasonable tive only with respect to the 1971 through 1977 crops. in all the circumstances and provide by regula- EFFECTIVE DATE OF 1962 AMENDMENT tions. This section also shall be applicable to Amendment by Pub. L. 87–703 effective only with re- payments provided for under section 1348 of this spect to programs applicable to crops planted for har- title. vest in calendar year 1964 or any subsequent year and (Feb. 16, 1938, ch. 30, title III, § 385, 52 Stat. 68; marketing years beginning in calendar year 1964, or any subsequent year, see section 323 of Pub. L. 87–703, July 2, 1940, ch. 521, § 7, 54 Stat. 728; July 3, 1948, set out as a note under section 1301 of this title. ch. 827, title II, § 207(e), 62 Stat. 1257; Pub. L. 87–703, title III, § 322, Sept. 27, 1962, 76 Stat. 626; EFFECTIVE DATE OF 1948 AMENDMENT Pub. L. 88–297, title I, § 102, Apr. 11, 1964, 78 Stat. Amendment by act July 3, 1948, effective Jan. 1, 1950, 174; Pub. L. 91–524, title IV, § 404(5), title VI, see section 303 of act July 3, 1948, set out as a note § 605(3), Nov. 30, 1970, 84 Stat. 1366, 1378; Pub. L. under section 1301 of this title. 94–214, title III, § 302, Feb. 16, 1976, 90 Stat. 187; TRANSFER OF FUNCTIONS Pub. L. 95–113, title IV, § 405, Sept. 29, 1977, 91 Administration of program of Commodity Credit Cor- Stat. 927; Pub. L. 97–98, title XI, § 1102, Dec. 22, poration transferred to Secretary of Agriculture by 1946 1981, 95 Stat. 1263; Pub. L. 99–198, title X, Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, § 1017(a), Dec. 23, 1985, 99 Stat. 1459.) 60 Stat. 1100, set out in the Appendix to Title 5, Govern- ment Organization and Employees. REFERENCES IN TEXT EXCEPTIONS FROM TRANSFER OF FUNCTIONS Chapter 3B [§ 590a et seq.] of title 16, referred to in text, was in the original a reference to the Soil Con- Functions of Corporations of Department of Agri- servation Act, probably meaning the Soil Conservation culture, boards of directors and officers of such cor- and Domestic Allotment Act. porations; Advisory Board of Commodity Credit Cor- Chapter 35A [§ 1421 et seq.] of this title, referred to in poration; and Farm Credit Administration or any agen- text, was in the original a reference to the Agricultural cy, officer, or entity of, under, or subject to supervision Act of 1949. of said Administration excepted from functions of officers, agencies, and employees transferred to Secretary AMENDMENTS of Agriculture by 1953 Reorg. Plan No. 2, § 1, effective 1985—Pub. L. 99–198 inserted ‘‘extra long staple cot- June 4, 1953, 18 F.R. 3219, 67 Stat. 633, set out as a note ton,’’ after ‘‘upland cotton,’’ in first sentence. under section 2201 of this title. 1981—Pub. L. 97–98 amended first sentence generally. DETERMINATION OF RATE OF LOANS, PAYMENTS, AND 1977—Pub. L. 95–113 temporarily amended first sen- PURCHASES UNDER PRICE SUPPORT PROGRAM; NOTICE tence generally. See Effective and Termination Dates AND PUBLIC PARTICIPATION IN RULEMAKING NOT RE- of 1977 Amendment note below. QUIRED 1976—Pub. L. 94–214 temporarily inserted reference to payments under the rice program authorized by section Pub. L. 99–198, title X, § 1017(b), Dec. 23, 1985, 99 Stat. 1441(g) of this title. See Effective and Termination 1459, as amended by Pub. L. 101–624, title XI, § 1144, Nov. Dates of 1976 Amendment note below. 28, 1990, 104 Stat. 3516, provided that: ‘‘The Secretary of 1970—Pub. L. 91–524 temporarily inserted references Agriculture shall determine the rate of loans, pay- to payments under the cotton set-aside program and to ments, and purchases under a program established payments (including certificates) under the wheat and under the Agricultural Act of 1949 (7 U.S.C. 1421 et seq.) feed grain set-aside programs. See Effective and Termi- for any of the 1991 through 1995 crops of a commodity nation Dates of 1970 Amendment note below. without regard to the requirements for notice and pub- 1964—Pub. L. 88–297 provided for application of this lic participation in rulemaking prescribed in section section to payments in kind to equalize cost of cotton 553 of title 5, United States Code, or in any directive of to domestic and foreign users. the Secretary.’’ 1962—Pub. L. 87–703 inserted ‘‘payment under section 1339 of this title,’’ after ‘‘parity payment,’’. § 1386. Exemption from laws prohibiting interest 1948—Act July 3, 1948, substituted ‘‘loan, or price sup- of Members of Congress in contracts port operation’’ for ‘‘or loan’’. The provisions of section 6306 of title 41 and 1940—Act July 2, 1940, inserted last sentence. sections 431 and 432 of title 18 shall not be appli- EFFECTIVE DATE OF 1981 AMENDMENT cable to loans or payments made under this Amendment by Pub. L. 97–98 effective Dec. 22, 1981, chapter (except under section 1383(a) of this see section 1801 of Pub. L. 97–98, set out as an Effective title). Date note under section 4301 of this title. (Feb. 16, 1938, ch. 30, title III, § 386, 52 Stat. 68.)

EFFECTIVE AND TERMINATION DATES OF 1977 CODIFICATION AMENDMENT In text, ‘‘section 6306 of title 41’’ substituted for ‘‘sec- Pub. L. 95–113, title IV, § 405, Sept. 29, 1977, 91 Stat. tion 3741 of the Revised Statutes (U.S.C., 1934 edition, 927, provided that the amendment made by section 405 title 41, sec. 22)’’ on authority of Pub. L. 111–350, § 6(c), is effective only for the 1978 through 1981 crops. Jan. 4, 2011, 124 Stat. 3854, which Act enacted Title 41, EFFECTIVE AND TERMINATION DATES OF 1976 Public Contracts. ‘‘Sections 431 and 432 of title 18’’ substituted in text AMENDMENT for ‘‘sections 114 and 115 of the Criminal Code of the Pub. L. 94–214, title III, § 302, Feb. 16, 1976, 90 Stat. 187, United States (U.S.C., 1934 edition, title 18, secs. 204 and provided that the amendment made by section 302 is ef- 205)’’ on authority of act June 25, 1948, ch. 645, 62 Stat. fective only with respect to the 1976 and 1977 crops of 683, the first section of which enacted Title 18, Crimes rice. and Criminal Procedure.

EFFECTIVE AND TERMINATION DATES OF 1970 WOOL SUPPORT PROGRAM AMENDMENT Wool support program, application of this section to, Pub. L. 91–524, title IV, § 404, title VI, § 605, Nov. 30, see note set out under section 713a–8 of Title 15, Com- 1970, 84 Stat. 1366, 1378, as amended by Pub. L. 93–86, merce and Trade. § 1387 TITLE 7—AGRICULTURE Page 670

§ 1387. Photographic reproductions and maps from chapter 3B of title 16 payments, parity payments, or loans, or other payments under The Secretary may furnish reproductions of this chapter and chapter 3B of title 16, made un- information such as geo-referenced data from all less payment of such expenses is otherwise pro- sources, aerial or other photographs, mosaics, vided by law. The Secretary may make such and maps as have been obtained in connection payments to such committees in advance of de- with the authorized work of the Department to termination of performance by farmers. farmers and governmental agencies at the esti- (2)(A) The Secretary shall provide compensa- mated cost of furnishing such reproductions, tion to members of such county committees (at and to persons other than farmers at such prices not less than the level in effect on December 31, as the Secretary may determine (but not less 1985 for county committees) for work actually than the estimated costs of data processing, up- performed by such persons in cooperating in car- dating, revising, reformatting, repackaging and rying out this chapter and chapter 3B of title 16 furnishing the reproductions and information), in connection with which such committees are the money received from such sales to be depos- used. ited in the Treasury to the credit of the appro- (B) The rate of compensation received by such priation charged with the cost of making such persons for such work on December 23, 1985, reproductions. This section shall not affect the shall be increased at the discretion of the Sec- power of the Secretary to make other disposi- retary. tion of such or similar materials under any (c) Travel expenses other provisions of existing law. (1) The Secretary shall make payments to (Feb. 16, 1938, ch. 30, title III, § 387, 52 Stat. 68; members of local, county, and State committees Pub. L. 106–113, div. B, § 1000(a)(3) [title IV, § 407], to cover expenses for travel incurred by such Nov. 29, 1999, 113 Stat. 1535, 1501A–214.) persons (including, in the case of a member of a local or county committee, travel between the AMENDMENTS home of such member and the local county of- 1999—Pub. L. 106–113 substituted ‘‘information such as fice of the Agricultural Stabilization and Con- geo-referenced data from all sources, aerial’’ for ‘‘such servation Service) in cooperating in carrying aerial’’, struck out ‘‘(not less than estimated cost of out this chapter and chapter 3B of title 16 in furnishing such reproductions)’’ after ‘‘such prices’’, connection with which such Committees 1 are and inserted ‘‘(but not less than the estimated costs of used. data processing, updating, revising, reformatting, re- (2) Such travel expenses shall be paid in the packaging and furnishing the reproductions and infor- manner authorized under section 5703 of title 5 mation)’’ after ‘‘determine’’. for the payment of expenses and allowances for WOOL SUPPORT PROGRAM individuals employed intermittently in the Fed- Wool support program, application of this section to, eral Government service. see note set out under section 713a–8 of Title 15, Com- (Feb. 16, 1938, ch. 30, title III, § 388, 52 Stat. 68; merce and Trade. Pub. L. 99–198, title XVII, § 1713(a), (b), Dec. 23, 1985, 99 Stat. 1636, 1637.) § 1388. Utilization of local agencies REFERENCES IN TEXT (a) Designation of local agencies and local administrative areas Chapter 3B [§ 590a et seq.] of title 16, referred to in text, was in the original a reference to the Soil Con- The provisions of sections 590h(b) and 590k of servation and Domestic Allotment Act, as amended. title 16, relating to the utilization of State, AMENDMENTS county, local committees, the extension service, and other approved agencies, and to recognition 1985—Subsecs. (b), (c). Pub. L. 99–198 designated exist- and encouragement of cooperative associations, ing provisions of subsec. (b) as par. (1), added par. (2), and added subsec. (c). shall apply in the administration of this chapter; and the Secretary shall, for such purposes, EFFECTIVE DATE OF 1985 AMENDMENT utilize the same local, county, and State com- Pub. L. 99–198, title XVII, § 1713(c), Dec. 23, 1985, 99 mittees as are utilized under sections 590g, 590h, Stat. 1637, provided that: ‘‘The amendments made by 590i, and 590j to 590q of title 16. The local admin- this section [amending this section] shall become effec- istrative areas designated under section 590h(b) tive on January 1, 1986.’’ of title 16, for the administration of programs § 1389. Personnel under chapter 3B of title 16, and the local administrative areas designated for the adminis- The Secretary is authorized and directed to tration of this chapter shall be the same. provide for the execution by the Agricultural Adjustment Administration of such of the pow- (b) Payments to county committees for adminis- ers conferred upon him by this chapter as he trative expenses deems may be appropriately exercised by such (1) The Secretary is authorized and directed, Administration; and for such purposes the provi- from any funds made available for the purposes sions of law applicable to appointment and com- of this chapter and chapter 3B of title 16 in con- pensation of persons employed by the Agricul- nection with which county committees are uti- tural Adjustment Administration shall apply. lized, to make payments to county committees (Feb. 16, 1938, ch. 30, title III, § 389, 52 Stat. 69.) of farmers to cover the estimated administrative expenses incurred or to be incurred by them TRANSFER OF FUNCTIONS in cooperating in carrying out the provisions of Functions of all officers, agencies, and employees of this chapter and chapter 3B of title 16. All or Department of Agriculture transferred, with certain ex- part of such estimated administrative expenses of any such committee may be deducted pro rata 1 So in original. Probably should not be capitalized. Page 671 TITLE 7—AGRICULTURE § 1392 ceptions, to Secretary of Agriculture by 1953 Reorg. Credit Corporation is authorized and directed to Plan No. 2, § 1, eff. June 4, 1953, 18 F.R. 3219, 67 Stat. 633, loan to the Secretary such sums, not to exceed set out as a note under section 2201 of this title. $50,000,000, as he estimates will be required dur- Functions of Agricultural Adjustment Administra- ing such fiscal year, to make crop insurance pre- tion transferred to Secretary of Agriculture by 1946 Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, mium advances and to make advances pursuant 60 Stat. 1100, set out in the Appendix to Title 5, Govern- to the applicable provisions of sections 590h and ment Organization and Employees. See note set out 590l of title 16, in connection with programs ap- under section 610 of this title. plicable to crops harvested in the calendar year Agricultural Adjustment Administration consoli- in which such fiscal year ends, and to pay the dated with other agencies into Agricultural Conserva- administrative expenses of county agricultural tion and Adjustment Administration for duration of conservation associations for the calendar year war, see Ex. Ord. No. 9069. in which such fiscal year ends. The sums so § 1390. Separability loaned during any fiscal year shall be transferred to the current appropriation available for If any provision of this chapter, or the applica- carrying out sections 590g, 590h, 590i, and 590j to tion thereof to any person or circumstance, is 590q of title 16 and shall be repaid, with interest held invalid, the validity of the remainder of the at a rate to be determined by the Secretary but chapter and the application of such provision to not less than the cost of money to the Commod- other persons or circumstances, and the provi- ity Credit Corporation for a comparable period, sions of chapter 3B of title 16, shall not be af- during the succeeding fiscal year from the ap- fected thereby. Without limiting the generality propriation available for that year or from any of the foregoing, if any provision of this chapter unobligated balance of the appropriation for any should be held not to be within the power of the other year. Congress to regulate interstate and foreign commerce, such provision shall not be held invalid if (Feb. 16, 1938, ch. 30, title III, § 391, 52 Stat. 69; it is within the power of the Congress to provide July 2, 1940, ch. 521, § 8, 54 Stat. 728.) for the general welfare or any other power of the AMENDMENTS Congress. If any provision of this chapter for 1940—Subsec. (c). Act July 2, 1940, added subsec. (c). marketing quotas with respect to any commodity should be held invalid, no provision of this TRANSFER OF FUNCTIONS chapter for marketing quotas with respect to Administration of program of Commodity Credit Cor- any other commodity shall be affected thereby. poration transferred to Secretary of Agriculture by 1946 If the application of any provision for a referen- Reorg. Plan No. 3, § 501, eff. July 16, 1946, 11 F.R. 7877, dum should be held invalid, the application of 60 Stat. 1100, set out in the Appendix to Title 5, Govern- other provisions shall not be affected thereby. If ment Organization and Employees. by reason of any provision for a referendum the EXCEPTIONS FROM TRANSFER OF FUNCTIONS application of any such other provision to any person or circumstance is held invalid, the ap- Functions of Corporations of Department of Agri- culture, boards of directors and officers of such cor- plication of such other provision to other per- porations; Advisory Board of Commodity Credit Cor- sons or circumstances shall not be affected poration; and Farm Credit Administration or any agen- thereby. cy, officer, or entity of, under, or subject to supervision (Feb. 16, 1938, ch. 30, title III, § 390, 52 Stat. 69.) of said Administration excepted from functions of officers, agencies, and employees transferred to Secretary REFERENCES IN TEXT of Agriculture by 1953 Reorg. Plan No. 2, § 1, effective June 4, 1953, 18 F.R. 3219, 67 Stat. 633, set out as a note Chapter 3B [§ 590a et seq.] of title 16, referred to in under section 2201 of this title. text, was in the original a reference to the Soil Con- servation and Domestic Allotment Act, as amended. § 1392. Administrative expenses; posting names SUBPART II—APPROPRIATIONS AND and compensation of local employees ADMINISTRATIVE EXPENSES (a) The Secretary is authorized and directed to make such expenditures as he deems necessary § 1391. Authorization of appropriations; loans to carry out the provisions of this chapter and from Commodity Credit Corporation sections 590g, 590h, 590i, and 590j to 590q of title (a) Beginning with the fiscal year ending June 16, including personal services and rents in the 30, 1938, there is hereby authorized to be appro- District of Columbia and elsewhere; traveling priated, for each fiscal year for the administra- expenses; supplies and equipment; lawbooks, tion of this chapter and for the making of soil books of reference, directories, periodicals, and conservation and other payments such sums as newspapers; and the preparation and display of Congress may determine, in addition to any exhibits, including such displays at community, amount made available pursuant to section 590o county, State, interstate, and international of title 16. fairs within the United States. The Secretary of (b) For the administration of this chapter (and the Treasury is authorized and directed upon the the provisions of chapter 36 of this title) during request of the Secretary to establish one or the fiscal year ending June 30, 1938, there is more separate appropriation accounts into hereby authorized to be made available from the which there shall be transferred from the respec- funds appropriated for such fiscal year for carry- tive funds available for the purposes of this ing out the purposes of sections 590g, 590h, 590i, chapter and chapter 3B of title 16, in connection and 590j to 590q of title 16, a sum not to exceed with which personnel or other facilities of the $5,000,000. Agricultural Adjustment Administration are (c) During each fiscal year, beginning with the utilized, proportionate amounts estimated by fiscal year ending June 30, 1941, the Commodity the Secretary to be required by the Agricultural § 1393 TITLE 7—AGRICULTURE Page 672

Adjustment Administration for administrative ment Organization and Employees. See note set out expenses in carrying out or cooperating in car- under section 610 of this title. rying out any of the provisions of this chapter EXPENSES OF AN ADVISORY COMMITTEE ON SOIL AND and chapter 3B of title 16. WATER CONSERVATION (b) In the administration of this subchapter Act Aug. 3, 1956, ch. 934, 70 Stat. 989, provided: ‘‘That and sections 590g, 590h, 590i, and 590j to 590q of the Secretary of Agriculture is authorized to pay ex- title 16, the aggregate amount expended in any penses of an Advisory Committee on Soil and Water fiscal year, beginning with the fiscal year end- Conservation and related matters, but such Committee ing June 30, 1942, for administrative expenses in members (other than ex officio members) shall not be the District of Columbia, including regional of- deemed to be employees of the United States and shall fices, and in the several States (not including not receive compensation.’’ the expenses of county and local committees) TERMINATION OF ADVISORY COMMITTEES shall not exceed 3 per centum of the total Advisory committees in existence on Jan. 5, 1973, to amount available for such fiscal year for carry- terminate not later than the expiration of the 2-year ing out the purposes of this subchapter and period following Jan. 5, 1973, unless, in the case of a chapter 3B of title 16, unless otherwise provided committee established by the President or an officer of by appropriation or other law. In the adminis- the Federal Government, such committee is renewed by tration of section 612c of this title, and sections appropriate action prior to the expiration of such 2- 601, 602, 608a, 608b, 608c, 608d, 610, 612, 614, 624, year period, or in the case of a committee established and 671 to 673 of this title, the aggregate amount by the Congress, its duration is otherwise provided by law. See section 14 of Pub. L. 92–463, Oct. 6, 1972, 86 expended in any fiscal year beginning with the Stat. 776, set out in the Appendix to Title 5, Govern- fiscal year ending June 30, 1942, for administra- ment Organization and Employees. tive expenses in the District of Columbia, including regional offices, and in the several § 1393. Allotment of appropriations States (not including the expenses of county and All funds for carrying out the provisions of local committees) shall not exceed 4 per centum this chapter shall be available for allotment to of the total amount available for such fiscal bureaus and offices of the Department, and for year for carrying out the purposes of said sec- transfer to such other agencies of the Federal tions, unless otherwise provided by appropria- Government, and to such State agencies, as the tion or other law. In the event any administra- Secretary may request to cooperate or assist in tive expenses of any county or local committee carrying out the provisions of this chapter. are deducted in any fiscal year, beginning with the fiscal year ending June 30, 1939, from chapter (Feb. 16, 1938, ch. 30, title III, § 393, 52 Stat. 70.) 3B of title 16 payments, parity payments, or SUBCHAPTER III—COTTON POOL loans, each farmer receiving benefits under such PARTICIPATION TRUST CERTIFICATES provisions shall be apprised of the amount or percentage deducted from such benefit payment §§ 1401 to 1407. Omitted or loan on account of such administrative ex- CODIFICATION penses. The names and addresses of the members and employees of any county or local commit- Section 1401, act Feb. 16, 1938, ch. 30, title IV, § 401, 52 Stat. 70, authorized an appropriation of $1,800,000 to ac- tee, and the amount of such compensation re- complish the purposes declared in former provisions of ceived by each of them, shall be posted annually this subchapter and provided for payments by Sec- in a conspicuous place in the area within which retary of Treasury upon order of Secretary of Agri- they are employed. culture. Section 1402, act Feb. 16, 1938, ch. 30, title IV, § 402, 52 (Feb. 16, 1938, ch. 30, title III, § 392, 52 Stat. 69; Stat. 70, provided for deposit of appropriation to credit Jan. 31, 1942, ch. 32, 56 Stat. 41; Aug. 3, 1956, ch. of the Secretary of Agriculture for disbursement for 950, § 7, 70 Stat. 1034.) purposes stated in former provisions of this subchapter. Section 1403, acts Feb. 16, 1938, ch. 30, title IV, § 403, REFERENCES IN TEXT 52 Stat. 70; Apr. 7, 1938, ch. 107, § 13, 52 Stat. 204, pro- Chapter 3B [§ 590a et seq.] of title 16, referred to in vided allotment of funds to manager of cotton pool for text, was in the original a reference to the Soil Con- purchase of pool participation trust certificates, to be servation and Domestic Allotment Act, as amended. tendered by lawful holder and owner thereof on or before May 1, 1938, at rate of $1 per five-hundred-pound AMENDMENTS bale, payment of costs and expenses incident to such 1956—Subsec. (b). Act Aug. 3, 1956, changed the period purchases and covering into the Treasury as mis- to a comma at end of first and second sentences and in- cellaneous receipts balance remaining at expiration of serted ‘‘unless otherwise provided by appropriation or purchase period. other law’’. Section 1404, acts Feb. 16, 1938, ch. 30, title IV, § 404, 1942—Subsecs. (a), (b). Act Jan. 31, 1942, among other 52 Stat. 71; Apr. 7, 1938, ch. 107, § 14, 52 Stat. 204, ex- changes, inserted reference to sections of title 16, after tended the time limit for purchase of outstanding pool ‘‘this chapter’’ and ‘‘this subchapter’’. participation certificates to and including July 31, 1938, authorized issuance of rules and regulations and pro- EFFECTIVE DATE OF 1942 AMENDMENT hibited purchases from other than record holders on or before May 1, 1938. Act Jan. 31, 1942, provided that the amendments made Section 1404a, acts June 16, 1938, ch. 464, title I, 52 by that act are effective for the fiscal year 1942 and Stat. 747; Apr. 5, 1939, ch. 44, 53 Stat. 572, extended the subsequent fiscal years. time limit for purchase of certificates to and including Sept. 30, 1939 and made the date of May 1, 1938 inap- TRANSFER OF FUNCTIONS plicable. Agricultural Adjustment Administration consoli- Section 1404b, act June 16, 1938, ch. 464, title I, 52 dated into Production and Marketing Administration Stat. 747, provided for issuance of regulations for pay- by 1946 Reorg. Plan No. 3, eff. July 4, 1946, 11 F.R. 7876, ments on participation trust certificates in case of 60 Stat. 1100, set out in the Appendix to Title 5, Govern- death, incompetence or disappearance of payee. Page 673 TITLE 7—AGRICULTURE

Section 1405, act Feb. 16, 1938, ch. 30, title IV, § 405, 52 Sec. Stat. 71, authorized continuance of 1933 cotton produc- 1431d. Donations for school feeding programs ers pool as long as necessary to effectuate purposes of abroad; student financing; priorities. former provisions of this subchapter and use of funds 1431e. Distribution of surplus commodities to for payment of expenses. special nutrition projects; reprocessing Section 1406, act Feb. 16, 1938, ch. 30, title IV, § 406, 52 agreements with private companies. Stat. 71, prohibited purchase of certificates after expi- 1431f. Assistance to foreign countries to miti- ration of time limit. gate effects of HIV and AIDS. Section 1407, acts Feb. 16, 1938, ch. 30, title IV, § 407, 1432. Extension of price support on long staple 52 Stat. 71; Apr. 7, 1938, ch. 107, § 15, 52 Stat. 204, pro- cotton seeds and products. 1433. Repealed. vided for payment by assignee of certificate transferred 1433a. Forgiveness of violations; determina- subsequent to May 1, 1937, limited to the purchase price tions. paid by the assignee, with interest at rate of four per 1433b. Processing of surplus agricultural com- centum from date of purchase, not exceeding an modities into liquid fuels and agricul- amount of $1 per bale, payment to be based upon affida- tural commodity byproducts. vit of assignee. 1433c. Advance recourse commodity loans. 1433c–1. Advance recourse loans. INAPPLICABILITY OF SUBCHAPTER 1433d to 1433f. Omitted or Repealed. Subchapter, with the exception of former sections 1434. Encouragement of production of crops of 1404a and 1404b, inapplicable to 2002 through 2007 crops which United States is a net importer of covered commodities, peanuts, and sugar and inap- and for which price support programs plicable to milk during period beginning May 13, 2002, are not in effect; authority to plant on through Dec. 31, 2007, see section 7992(a)(4) of this title. set-aside acreage with no reduction in Subchapter, with the exception of former sections payment rate. 1404a and 1404b, inapplicable to 1996 through 2001 crops 1435. Production of commodities for conver- of loan commodities, peanuts, and sugar and inapplica- sion into alcohol or hydrocarbons for ble to milk during period beginning Apr. 4, 1996, and use as motor fuels or other fuels; terms ending Dec. 31, 2002, see section 7301(a)(1)(I) of this title. and conditions; determinations; payments, etc., for program. SETTLEMENT OF CERTAIN CLAIMS AND ACCOUNTS SUBCHAPTER II—BASIC AGRICULTURAL Act June 5, 1942, ch. 349, §§ 2, 3, 56 Stat. 324, authorized COMMODITIES Comptroller General to relieve disbursing and certify- 1441. Price support levels. ing officers from liability for payments made under 1441–1. Omitted. former provisions of this subchapter upon certificate of 1441–1a. Marketing certificates for rice. Secretary of Agriculture that such payments were 1441–2. Repealed. made in good faith, and also provided that no action 1441a. Cost of production study and establish- should be taken to recover such excess payments, if the ment of current national weighted av- Secretary of Agriculture should further certify that, in erage cost of production. view of the good faith of the parties or other circum- 1442. Price support and acreage requirements stances of the case, such attempt to recover them for corn and other feed grains. would be inadvisable or inequitable. 1443. Omitted. 1444. Cotton price support levels. CHAPTER 35A—PRICE SUPPORT OF 1444–1, 1444–2. Omitted or Repealed. AGRICULTURAL COMMODITIES 1444a. Corn and feed grains and cotton programs. SUBCHAPTER I—GENERAL PROVISIONS 1444b. Feed grains; price support program. 1444c to 1444e. Repealed or Omitted. Sec. 1444e–1. Loans and purchases for 1986 through 1421. Price support. 1996 crops of corn. 1421a. Financial impact study. 1444f to 1445–2. Repealed. 1421b. Costs of production. 1445–3. Purchase of inventory stock. 1421c. Repealed. 1445a. Wheat price support levels; ‘‘cooperator’’ 1421d. Commodity reports. defined. 1422. Increase of price support levels. 1445b to 1445c–3. Repealed, Transferred, or Omitted. 1423. Adjustments of support prices. 1445d. Special wheat acreage grazing and hay 1424. Utilization of services and facilities of program for 1978 through 1990 crop Commodity Credit Corporation. years. 1425. Producer rights and liabilities. 1445e. Farmer owned reserve program. 1425a. Producers of honey; loan obligations and 1445f. International Emergency Food Reserve. liabilities. 1445g. Production of commodities for conver- 1426. Repealed. sion into industrial hydrocarbons; 1427. Commodity Credit Corporation sales terms and conditions; incentive pay- price restrictions. ments; regulations; appropriations; ef- 1427–1. Quality requirements for Commodity fective date. Credit Corporation owned grain. 1445h. Repealed. 1427a. Reserve inventories for alleviation of 1445i. Multiyear set-aside contracts for 1986 distress of natural disaster. through 1990 crops of wheat, feed 1428. Definitions. grains, upland cotton, and rice. 1445j. Deficiency and land diversion payments. 1429. Determinations of Secretary as final and 1445k. Payments in commodities. conclusive. 1430. Retroactive effect. SUBCHAPTER III—NONBASIC AGRICULTURAL 1431. Disposition of commodities to prevent COMMODITIES waste. 1446. Price support levels for designated non- 1431a. Cotton donations to educational institu- basic agricultural commodities. tions. 1446a. Dairy products; availability through 1431b. Distribution of surplus commodities to Commodity Credit Corporation. other United States areas. 1446a–1. Use of Commodity Credit Corporation 1431c. Enrichment and packaging of cornmeal, funds for purchases of dairy products grits, rice, and white flour available requirements for school and other pro- for distribution. grams.