Text: H.R.6849 — 110th Congress (2007-2008)All Bill Information (Except Text)

10/13/2008 Became Public Law No: 110-398

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[Congressional Bills 110th Congress]
[From the U.S. Government Printing Office]
[H.R. 6849 Enrolled Bill (ENR)]

        H.R.6849

                       One Hundred Tenth Congress

                                 of the

                        United States of America


                          AT THE SECOND SESSION

          Begun and held at the City of Washington on Thursday,
            the third day of January, two thousand and eight


                                 An Act


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

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,
SECTION 1. TREATMENT OF FARMS WITH LIMITED BASE ACRES.
    (a) Suspension of Prohibition.--
        (1) In general.--Section 1101(d) of the Food, Conservation, and 
    Energy Act of 2008 (7 U.S.C. 8711(d)) is amended by adding at the 
    end the following:
        ``(4) Suspension of prohibition.--Paragraphs (1) through (3) 
    shall not apply during the 2008 crop year.''.
        (2) Peanuts.--Section 1302(d) of the Food, Conservation, and 
    Energy Act of 2008 (7 U.S.C. 8752(d)) is amended by adding at the 
    end the following:
        ``(4) Suspension of prohibition.--Paragraphs (1) through (3) 
    shall not apply during the 2008 crop year.''.
    (b) Extension of 2008 Signup for Direct Payments and Counter-
Cyclical Payments.--
        (1) In general.--Section 1106 of the Food, Conservation, and 
    Energy Act of 2008 (7 U.S.C. 8716) is amended by adding at the end 
    the following:
    ``(f) Extension of 2008 Signup.--
        ``(1) In general.--Notwithstanding any other provision of law, 
    the Secretary shall extend the 2008 crop year deadline for the 
    signup for benefits under this subtitle by producers on a farm with 
    base acres of 10 acres or less until the later of--
            ``(A) November 14, 2008; or
            ``(B) the end of the 45-day period beginning on the date of 
        the enactment of this subsection.
        ``(2) Penalties.--The Secretary shall ensure that no penalty 
    with respect to benefits under this subtitle or subtitle B is 
    assessed against producers on a farm described in paragraph (1) for 
    failure to submit reports under this section or timely comply with 
    other program requirements as a result of compliance with the 
    extended signup deadline under that paragraph.''.
        (2) Peanuts.--Section 1305 of the Food, Conservation, and 
    Energy Act of 2008 (7 U.S.C. 8755) is amended by adding at the end 
    the following:
    ``(f) Extension of 2008 Signup.--
        ``(1) In general.--Notwithstanding any other provision of law, 
    the Secretary shall extend the 2008 crop year deadline for the 
    signup for benefits under this subtitle by producers on a farm with 
    base acres of 10 acres or less until the later of--
            ``(A) November 14, 2008; or
            ``(B) the end of the 45-day period beginning on the date of 
        the enactment of this subsection.
        ``(2) Penalties.--The Secretary shall ensure that no penalty 
    with respect to benefits under this subtitle is assessed against 
    producers on a farm described in paragraph (1) for failure to 
    submit reports under this section or timely comply with other 
    program requirements as a result of compliance with the extended 
    signup deadline under that paragraph.''.
    (c) Offsetting Reduction.--Section 515(k)(1) of the Federal Crop 
Insurance Act (7 U.S.C. 1515(k)(1)) is amended by striking ``2011'' and 
inserting ``2010, and not more than $9,000,000 for fiscal year 2011''.
SEC. 2. SUPPLEMENTAL REVENUE ASSISTANCE PROGRAM.
    (a) Federal Crop Insurance Act.--
        (1) Definitions.--Section 531(a) of the Federal Crop Insurance 
    Act (7 U.S.C. 1531(a)) is amended--
            (A) in paragraph (3)(B), by inserting ``has'' after ``on a 
        farm that'';
            (B) in paragraph (4), by striking ``section 1102 of the 
        Farm Security and Rural Investment Act of 2002'' and all that 
        follows through the end of the paragraph and inserting 
        ``under--
                ``(i) section 1102 or 1302 of the Farm Security and 
            Rural Investment Act of 2002 (7 U.S.C. 7912, 7952);
                ``(ii) section 1102 or 1301(6) of the Food, 
            Conservation, and Energy Act of 2008 (7 U.S.C. 8712, 
            8751(6)); or
                ``(iii) a successor section.'';
            (C) in paragraph (5)(B)(ii), by striking ``, the total 
        loss'' and all that follows through the end of the paragraph 
        and adding ``the actual production on the farm is less than 50 
        percent of the normal production on the farm.'';
            (D) in paragraph (7)--
                (i) in subparagraph (A), by inserting ``for sale or on-
            farm livestock feeding (including native grassland intended 
            for haying)'' after ``harvest''; and
                (ii) in subparagraph (C), by inserting ``for sale'' 
            after ``crop'';
            (E) by redesignating paragraphs (2) through (4), (5) 
        through (12), and (13) through (18) as paragraphs (3) through 
        (5), (7) through (14), and (16) through (21), respectively;
            (F) by inserting after paragraph (1) the following:
        ``(2) Actual production on the farm.--The term `actual 
    production on the farm' means the sum of the value of all crops 
    produced on the farm, as determined under subsection (b)(6)(B).'';
            (G) by inserting after paragraph (5) (as redesignated by 
        subparagraph (E)) the following:
        ``(6) Crop of economic significance.--The term `crop of 
    economic significance' shall have the uniform meaning given the 
    term by the Secretary for purposes of subsections (b)(1)(B) and 
    (g)(6).''; and
            (H) by inserting after paragraph (14) (as redesignated by 
        subparagraph (E)) the following:
        ``(15) Normal production on the farm.--The term `normal 
    production on the farm' means the sum of the expected revenue for 
    all crops on the farm, as determined under subsection (b)(6)(A).''.
        (2) Supplemental revenue assistance payments.--Section 531(b) 
    of the Federal Crop Insurance Act (7 U.S.C. 1531(b)) is amended--
            (A) in paragraph (1)--
                (i) by striking ``(1) in general.--The Secretary'' and 
            inserting the following:
        ``(1) Payments.--
            ``(A) In general.--The Secretary''; and
                (ii) by adding at the end the following:
            ``(B) Crop loss.--To be eligible for crop loss assistance 
        under this subsection, the actual production on the farm for at 
        least 1 crop of economic significance shall be reduced by at 
        least 10 percent due to disaster, adverse weather, or disaster-
        related conditions.'';
            (B) in paragraph (2), by adding at the end the following:
            ``(C) Exclusion of subsequently planted crops.--In 
        calculating the disaster assistance program guarantee under 
        paragraph (3) and the total farm revenue under paragraph (4), 
        the Secretary shall not consider the value of any crop that--
                ``(i) is produced on land that is not eligible for a 
            policy or plan of insurance under subtitle A or assistance 
            under the noninsured crop assistance program; or
                ``(ii) is subsequently planted on the same land during 
            the same crop year as the crop for which disaster 
            assistance is provided under this subsection, except in 
            areas in which double-cropping is a normal practice, as 
            determined by the Secretary.'';
            (C) in paragraph (3)(A)(ii)(III)--
                (i) in the matter before item (aa), by inserting ``50 
            percent of'' before ``the higher of''; and
                (ii) in item (aa), by striking ``guarantee'';
            (D) in paragraph (4)--
                (i) in subparagraph (A)(i)--

                    (I) by striking subclauses (I) and (II) and 
                inserting the following:
                    ``(I) the actual production by crop on a farm for 
                purposes of determining losses under subtitle A or the 
                noninsured crop assistance program; and''; and
                    (II) by redesignating subclause (III) as subclause 
                (II);

                (ii) in subparagraph (B)--

                    (I) in clause (i), by striking ``and'' at the end;
                    (II) in clause (ii), by striking the period at the 
                end and inserting ``; and''; and

                (iii) by adding at the end the following:
                ``(iii) as the Secretary determines appropriate, to 
            reflect regional variations in a manner consistent with the 
            operation of the crop insurance program under subtitle A 
            and the noninsured crop assistance program.'';
            (E) in paragraph (5)--
                (i) in the matter preceding subparagraph (A), by 
            striking ``the sum obtained by adding'';
                (ii) in subparagraph (A)--

                    (I) in the matter preceding clause (i), by striking 
                ``the product'' and inserting ``for each insurable 
                commodity, the product'';
                    (II) in clause (i), by striking ``greatest'' and 
                inserting ``greater'';
                    (III) in clause (iii), by striking ``of the 
                insurance price guarantee; and'' and inserting ``of the 
                price election for the commodity used to calculate an 
                indemnity for an applicable policy of insurance if an 
                indemnity is triggered; and''; and

                (iii) in subparagraph (B)--

                    (I) in the matter preceding clause (i), by striking 
                ``the product'' and inserting ``for each noninsurable 
                crop, the product'';
                    (II) in clause (i), by striking ``and'' at the end;
                    (III) by redesignating clause (ii) as clause (iii); 
                and
                    (IV) by inserting after clause (i) the following:

                ``(ii) the acreage planted or prevented from being 
            planted for each crop; and''; and
            (F) by adding at the end the following:
        ``(6) Production on the farm.--
            ``(A) Normal production on the farm.--The normal production 
        on the farm shall equal the sum of the expected revenue for 
        each crop on a farm as determined under paragraph (5).
            ``(B) Actual production on the farm.--The actual production 
        on the farm shall equal the sum obtained by adding--
                ``(i) for each insurable commodity on the farm, the 
            product obtained by multiplying--

                    ``(I) 100 percent of the price election for the 
                commodity used to calculate an indemnity for an 
                applicable policy of insurance if an indemnity is 
                triggered; and
                    ``(II) the quantity of the commodity produced on 
                the farm, adjusted for quality losses; and

                ``(ii) for each noninsurable commodity on a farm, the 
            product obtained by multiplying--

                    ``(I) 100 percent of the noninsured crop assistance 
                program established price for the commodity; and
                    ``(II) the quantity of the commodity produced on 
                the farm, adjusted for quality losses.''.

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

                    (I) by striking subclauses (I) and (II) and 
                inserting the following:
                    ``(I) the actual production by crop on a farm for 
                purposes of determining losses under the Federal Crop 
                Insurance Act (7 U.S.C. 1501 et seq.) or the noninsured 
                crop assistance program; and''; and
                    (II) by redesignating subclause (III) as subclause 
                (II);

                (ii) in subparagraph (B)--

                    (I) in clause (i), by striking ``and'' at the end;
                    (II) in clause (ii), by striking the period at the 
                end and inserting ``; and''; and

                (iii) by adding at the end the following:
                ``(iii) as the Secretary determines appropriate, to 
            reflect regional variations in a manner consistent with the 
            operation of the Federal crop insurance program under the 
            Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) and the 
            noninsured crop assistance program.'';
            (E) in paragraph (5)--
                (i) in the matter preceding subparagraph (A), by 
            striking ``the sum obtained by adding'';
                (ii) in subparagraph (A)--

                    (I) in the matter preceding clause (i), by striking 
                ``the product'' and inserting ``for each insurable 
                commodity, the product'';
                    (II) in clause (i), by striking ``greatest'' and 
                inserting ``greater'';
                    (III) in clause (iii), by striking ``of the 
                insurance price guarantee; and'' and inserting ``of the 
                price election for the commodity used to calculate an 
                indemnity for an applicable policy of insurance if an 
                indemnity is triggered; and''; and

                (iii) in subparagraph (B)--

                    (I) in the matter preceding clause (i), by striking 
                ``the product'' and inserting ``for each noninsurable 
                crop, the product'';
                    (II) in clause (i), by striking ``and'' at the end;
                    (III) by redesignating clause (ii) as clause (iii); 
                and
                    (IV) by inserting after clause (i) the following:

                ``(ii) the acreage planted or prevented from being 
            planted for each crop; and''; and
            (F) by adding at the end the following:
        ``(6) Production on the farm.--
            ``(A) Normal production on the farm.--The normal production 
        on the farm shall equal the sum of the expected revenue for 
        each crop on a farm as determined under paragraph (5).
            ``(B) Actual production on the farm.--The actual production 
        on the farm shall equal the sum obtained by adding--
                ``(i) for each insurable commodity on the farm, the 
            product obtained by multiplying--

                    ``(I) 100 percent of the price election for the 
                commodity used to calculate an indemnity for an 
                applicable policy of insurance if an indemnity is 
                triggered; and
                    ``(II) the quantity of the commodity produced on 
                the farm, adjusted for quality losses; and

                ``(ii) for each noninsurable commodity on a farm, the 
            product obtained by multiplying--

                    ``(I) 100 percent of the noninsured crop assistance 
                program established price for the commodity; and
                    ``(II) the quantity of the commodity produced on 
                the farm, adjusted for quality losses.''.

        (3) Waiver for socially disadvantaged, limited resource, or 
    beginning farmer or rancher.--Section 901(d)(5)(B)(ii) of the Trade 
    Act of 1974 (19 U.S.C. 2497(d)(5)(B)(ii)) is amended by striking 
    ``section'' and inserting ``subsection''.
        (4) Tree assistance program.--Section 901(f)(2)(A) of the Trade 
    Act of 1974 (19 U.S.C. 2497(f)(2)(A)) is amended by striking ``the 
    Secretary shall provide'' and inserting ``the Secretary shall use 
    such sums as are necessary from the Trust Fund to provide''.
        (5) De minimis exception to risk management purchase 
    requirement.--Section 901(g) of the Trade Act of 1974 (19 U.S.C. 
    2497(g)) is amended by adding at the end the following:
        ``(6) De minimis exception.--
            ``(A) In general.--For purposes of assistance under 
        subsection (b), at the option of an eligible producer on a 
        farm, the Secretary shall waive paragraph (1)--
                ``(i) in the case of a portion of the total acreage of 
            a farm of the eligible producer that is not of economic 
            significance on the farm, as established by the Secretary; 
            or
                ``(ii) in the case of a crop for which the 
            administrative fee required for the purchase of noninsured 
            crop disaster assistance coverage exceeds 10 percent of the 
            value of that coverage.
            ``(B) Treatment of acreage.--The Secretary shall not 
        consider the value of any crop exempted under subparagraph (A) 
        in calculating the supplemental revenue assistance program 
        guarantee under subsection (b)(3) and the total farm revenue 
        under subsection (b)(4).''.
        (6) Risk management purchase requirement waiver for 2009 crop 
    year.--Section 901(g) of the Trade Act of 1974 (19 U.S.C. 2497(g)) 
    is amended--
            (A) in paragraph (1)--
                (i) in the matter preceding subparagraph (A), by 
            striking ``(other than subsection (c))'' and inserting 
            ``(other than subsections (c) and (d))''; and
                (ii) in subparagraph (A), by inserting ``, excluding 
            grazing land'' after ``producers on the farm'';
            (B) in paragraph (2), by striking ``grazed, planted,'' and 
        inserting ``planted'';
            (C) in paragraph (4), by striking ``(4)'' and all that 
        follows through ``In the case'' and inserting the following:
        ``(4) Waivers for certain crop years.--
            ``(A) 2008 crop year.--In the case''; and
            (D) by adding at the end the following:
            ``(B) 2009 crop year.--In the case of an insurable 
        commodity or noninsurable commodity for the 2009 crop year that 
        does not meet the requirements of paragraph (1) and the 
        relevant crop insurance program sales closing date or 
        noninsured crop assistance program fee payment date was prior 
        to August 14, 2008, the Secretary shall waive paragraph (1) if 
        the eligible producer of the insurable commodity or 
        noninsurable commodity pays a fee in an amount equal to the 
        applicable noninsured crop assistance program fee or 
        catastrophic risk protection plan fee required under paragraph 
        (1) to the Secretary not later than 90 days after the date of 
        enactment of this subparagraph.''.
        (7) Payment limitations.--Section 901(h) of the Trade Act of 
    1974 (19 U.S.C. 2497(h)) is amended by adding at the end the 
    following:
        ``(5) Transition rule.--Sections 1001, 1001A, 1001B, and 1001D 
    of the Food Security Act of 1985 (7 U.S.C. 1308 et seq.) as in 
    effect on September 30, 2007, shall continue to apply with respect 
    to 2008 crops.''.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.